Analysis has revealed that Ionians formerly dominant position In the market has grossly dissolved to a 5% share; due to the Influx of new competitive firms, Ionians inertia and lack of innovation in the industry. Despite reactive efforts to contest the market, Ionians target market lost faith in the brand and consumers became disloyal, complicated and more demanding in their expectations. This caused them to change loyalties to different brands. Monika have been ill-prepared to deal with the strong competitive pressure from new market entrants and leaders.
The emergence of the smartened and the increasing use of touchstones technology as seen Monika fall well behind in the industry. Ionians success was primarily based on the quality, durability and reliability of their products, where many smartness today are fragile and delicate. Monika now has the opportunity to focus on reinvigorating this competitive advantage. Targeting those who have experienced Ionians quality and reconnecting with their lost consumers through emotional attachment and genuine products Is the premise In Nikolas new strategy.
Don’t waste your time!
Order your assignment!
The new strategy will seek to evoke different consumer emotions and gain a higher be increased to instigate the target market. The application of market spending will evitable the consumer perception of Monika and strengthen Ionians market share and brand perception and awareness. Humor and exaggeration will be utilized in the new marketing strategy to create this awareness and aim to refresh the consumer’s perception of Monika from a serious and inert brand to a boisterous and amusing yet reliable and resilient brand.
Since then, Monika has lunched several updated models, however the company is still struggling to regain its competitive advantage, currently holding only 5 percent market share strategy to implement for the lunch of the brand new Monika Alumina 925, which will be released in Australia at the end of July 2013(“Monika announces,” 2013, Para. 6). This paper will explain the campaign “You deserve the best, forget the rest”, from its development to the implementation stage, assessing its financial implication and possible positive financial outcomes. Age 5 of 29 2. 0 Company Overview 2. Background Monika started at a riverside paper mill in south-western Finland and over 150 years became a global telecommunications leader and connected over 1. 3 billion people. Over the years Monika created experienced handsets, established phone recycling schemes and remains committed to sustainability and being a socially responsible company. (Our company – Monika, 2013. Para 3). Monika has been put to the test as the mobile phone company faces its toughest competition. Competitors such as the Phone and the Samsung phones dominated in retain markets, especially in Australia, and the former market leader Monika has become the underdog.
Over the past few years, Ionians revenue continues to fall and just under 9,000 employees had to be cut out of a total of 122,000 this year alone (Milne, n. D. Para 6). The invention of the new Monika Alumina has raised the challenge of gaining high market share again. In Just a year Monika had made huge losses which calculated up to be over $billion euros, and in 2011 a loss of $38. 6 billion. However despite the losses and the massive drop in revenue, the new Alumina phone sold around 4. 4 lion handsets in the last three months of 2012 (Woods, n. D. Era 4). 2. 2 Mission “Ionians mission is simple: Connecting People. Our goal is to build great mobile products that enable billions of people worldwide to enjoy more of what life has to offer. Our challenge is to achieve this in an increasingly dynamic and competitive environment” (Our company – Monika. 2013. Para 1). Monika today has to face a high competitive market and strive to regain their market power over the two main industry players Samsung and Apple and the company that shares the same market share; ETC. Page 6 of 29 3. 0 Situational Analysis . Situation Review Monika competes on the global market with sales in over 150 countries with annual revenues of around 7. 7 Billion (Engaged, 2013). After Samsung, it is the world’s second-largest mobile phone maker in 2012 with a global market share of 5% (Anyone, 2013, Para. 5). Up until 2012 Monika was the world’s largest distributed of the past were often claimed as the best in their category and were sold generally at higher prices than their competitors 3. 2 Marketing Overview The current market of today has seen Ionians market share decline as a direct result of the increase in touchstones smartness.
In reaction, Monika entered into a strategic partnership with Microsoft and all Monika smartness now use Microsoft’s Windows Phone operating system Simian. Monika smartness compete against Apple phones which use Mac operating system and Samsung Galaxy phones which use Google’s Android operating system. Monika had the option to use the Android system, but in order to create strong product differentiation it decided to use Microsoft’s Windows phone operating system. 3. 3 Target Market Analysis The mobile industry itself has revenue in excess of $17. Billion in 2012 (Bedroom, 2012, Para. ), and in 2012 results state that seventy-six per cent of the market had a smartened (Australian Department of Broadband, Para. 3). The need for smartness has changed the way consumers’ purchase their phones. With technology quickly becoming out-dated, consumers are always seeking to find a device that will last. Monika Australia targets a broad range of consumers, primarily focusing on those who need smartened devices, although there is a smaller basic phone device market targeted by Monika.
Their portfolio has various price-points, ranging from low-, mid-, and high-range costing depending on the features of the vice and the needs of the consumer. Page 7 of 29 Ionians current mobile portfolio has sixteen different handsets available to the Australian market, catering to a saturated market where there are six million more mobile phones than there are people (Bedroom, 2012, Para. 16). However, this has not assisted the market share over the past years, having dropped from 33. % share in 2010, to a mere 5% in 2012 (Anyone, 2013, Para. 5). Ionians target market has gone from an older generation of people who ‘grew up’ with Monika to a new approach with a new product. With the launch of the Alumina line, Monika has shifted focus of its target audience awards a youth-centric market and those who are bold and fun (Miter, 2013, Para. 5). Monika seek to engage and reconnect users with the true potential of their devices, primarily with the Alumina product line, which comes in various models, features and colors.