Thus, a comprehensive of understanding consumers’ needs is essential in marketing of Sony Expatriate smartened. A market analysis being conducted by examining the segmentation of geographical (Penman) and demographical such as age (16-36 years old), gender, income and profession executive, manager, businessman). From the survey, it showed less popularity of Sony smartened among target audience compared to other competitors. Lack of brand awareness and wide varieties of smartened offering in market are considered the main reasons that contribute to the failure. 2. 1. Market Needs Smartened market becoming even more challenging, especially with wide selections of smartness from competitors. Sony emphasizes the market needs in order to win the heart and mind of consumers. Communicate to the world Today, communication is not limited to voice calling or text messaging, nonusers are demanding in perspective of online social networking, for example Backbone, Watchstrap, and Keep to ensure they are always connected to the world. High Quality and Reliable Smartened Consumers learn to appreciate quality difference and reliability of smartened.
They require durable smartened with power saving high performance and good camera quality. Value-based Pricing People becoming more price sensitive due to wide selections of smartened with all the features comparable, mainly from China smartened. To be impressive, added value to the product in tangible ways helps to reduce price sensitivity. . 1. 2 Market Trends The market trend for smartened is headed towards innovative technology, lifestyles and social participation. Consumers always looking forward on what is the next technology that is going to fulfill their curiosity and excitements.
Quality and Innovative Smartened Future smartened technology will not restrained and will definitely surpassed today’s technology. Consumers are expecting more technological breakthrough of smartened in features such as designs, hardware and software. Lifestyle and Social Participation Consumers’ buying behavior are very highly dependent on social factor, for example word of mouth by friends and family or opinion leader. Also, consumers being influenced to buy a smartened which can personify them into different social group and up-to-date lifestyle.
Environmental Friendly Technology Tech-savvy consumers are cautious about environmental issues surrounding us and they would make contribution to practice green living by supporting echo-friendly smartened program such as battery recycling, packaging and others. 2. 1. 3 Market Growth Smartened market expected to grow steadily in Malaysia but with slower speed. Based on Nielsen, smartened penetration in Malaysia hits 80%, indicates smartened product life cycle almost reach the Stage of maturity.
For this reason, Sony requires different marketing strategy for different life cycle stage to increase market growth. Figure 1 Smartened Penetration in Global 2. 2 SOOT Analysis In view of strength, Sony Sappier’;’ premium smartened offers 20. AMP camera that captures High-Dynamic-Range (HAD) images, incredible battery life of amah (up to 2 days), and dust-and waterproof design with IPPP rating. These will be the persuasive advantages that attract those consumer who love to “self” and photo shooting or recording to try the product.
However, Sony does not possess strong brand equity in smartened market due to its inability to differentiate its feature or offerings from other competitors. The unclear target segmentation which does not target potential buyers fails to gain the brand awareness among consumer. Sony weak customer relationship management and advertisement on wrong features also fails to attract prospect buyer. Looking at the bright side, Sony Malaysia’s GAP growth in 2014 will leads smartened sales to grow with increased purchasing power.
Android SO platform captured the biggest SO market hare, and Sony smartened will able to exploit the technology trend and continue to shine. Furthermore, online shopping or E-commerce becoming popular among shoppers in Malaysia, thus Sony should take advantage on the online selling approach to increase sales. Nevertheless, Sony encountered stiff price war from China smartened which offer comparable features at lower price. Besides, strong marketing strategy from competitors and competition with other smartness which are sharing the same SO platform indirectly put Sony into a losing situation.
Figure 2 SOOT Analysis Figure 3 Malaysia GAP Growth Rate 2. Competition and Product Comparison A study on premium smartness category of Sony Expert”;’ Z, Phones, Samsung Galaxy SO, and Hawaii Ascend UP features was conducted. Sony smartened offers the highest quality camera with 20. 7 Misapplies, highest RAM KGB and largest battery life amah among other models. On top of the advantages, Sony smartened is slightly heavier than other models due to big display size. Overall, Sony smartness features are still comparable with other models in market at reasonable price. 2. Key Success Factors To be successful, Sony has to increase brand awareness of its smartened treasures among consumers by actively participate in promotional activities through advertisement in magazines, social media and offer valuable pricing to attract consumers. For long term growth strategy, Sony need to enhance customer satisfaction by providing excellent customer service and be innovative in future smartened development to fulfill expectations from consumers on latest technology breakthrough. 2. 5 Critical Issue and Environmental Factors There are few critical issues being identified in marketing of Sony Expired smartness.
The growth of smartened market has slowly move into the maturity of the product life cycle. To address this issue, Sony has to restructure the stage from maturity to product extension. Sony faced aggressive price war from China smartness which successfully gain substantial market share in such short period. Hence, Sony has to be extra careful upon deciding the pricing for its offering. Besides, Sonny’s inability to market its brand and lead the technological changes also failed to gain the brand recognition from consumer.
In addition, rapid changes on the technology required Sony to invest heavily on Research & Development to achieve position of technology market leader. Figure 4 Product Life Cycle The macro-environment factors Of technological (watch the technological changes thoughtfully and emphasized on new product development), economic (consider buying power and spending patterns of target segment) and social/cultural (understand the behaviors, preferences and lifestyles of target segment) are likely to affect Sony marketing operations.
In micro- environment perspective, factors such as competitor (monitor competitors closely) and demography (study market needs, forecast market trend and consumption) are the main contributors that will impact the marketing strategies. 3. 0 Marketing Strategies 3. 1 Vision & Mission Sony Mobile vision is to be recognized as a company that brings the intelligence of technology that inspires consumer’s curiosity. To achieve the vision, Sony Mobile create a mission to develop innovative technology solutions that bring new experiences to consumer and strive the business to success. 3. Marketing Objectives To gain 70% of brand awareness level among targeted market within 6 months Of marketing period in Penman. Established strong and positive brand image of high quality smartened provider within a year of marketing period. To achieve Sony Xavier units sales volume of 35,000 during first year in Malaysia. 3. Financial Objectives To increase annual sales revenue of 30% from the current within a year of marketing period. To achieve an annual ROI of Sony Expertњ smartened at 20% within 2 years. To grow the earnings per share of Sony Corporation 10% annually. 3. Target Market According to Real Estate Research Malaysia, 50% population in Penman is being in the middle income group. The primary target market of Sony Expatriate smartened is the middle income group with monthly salary of ARM,001 – ARM,000, who desires all-in-one device which allow they send urgent work emails, connected with friends and family, and entertainment purpose. A secondary target segment is the young adults, aged 16-25 years old, who are early adopters and likely to use new product or technology before others as they are curious with the latest technological solutions. . 5 Positioning Sony Expertise will position itself based on high quality, value priced and world’s best camera smartened provider. Sonny’s target segments will recognize the value, excitement and outstanding offerings by Sony Expired smartened and this will lead Sony to success. 3. 6 Marketing Strategies Sony Sappier’;’ marketing mix comprised of following strategies to product, price, place promotion and people. -6. 1 Product Strategy Product strategy is used in marketing to identify Sony Xavier roadman to achieve its objectives.
By applying product differentiation strategy, Sony Expert”‘ smartened offers the premium design, excellent camera quality and highest waterproof rating. Today, Sony Expatriate outstanding camera quality with 20. 7 Misapplies Exxon R Sensor for image processing is currently leading other competitors in the market. With such camera quality as good as Sony digital camera, consumers who enjoy taking beautiful photos and videos will eventually shift their focus from other brands to Sony Expired.
According to The Star Online Malaysia (April 201 4), Penman was ranked 10th ‘silliest’ cities in the world, where young adults actively taking photos of their daily life and upload into Backbone or Mainstream. Looking into this, Sony Expired can capitalize its good camera quality leadership, exploit the current market trend Of “self” and be branded as the world’s best camera in a waterproof smartened. Besides, Sony Expired supports the Palpitations (SSW) Remote using Wife network whereby it allow consumer to play ASS games remotely using the smartened attached to the console anywhere in the mom.
Consumer no longer fight for TV for gaming or entertainment purpose. Hence, the product bundling combining both Experiment’ and ASS”‘ for sell will create added value to target market and this will help to increase Sony overall revenues. To accommodate different expectations from target market, Sony can design a built-it-yourself modular smartened which allow consumer to customize component modules/blocks (such as camera, RAM, and battery) and styles of phone casing according to their preference and lifestyle instead of buying a smartened with pre-defined components by manufacturers.
Through customization, consumer do not have to overpay and compromise for features that they do not want. Based on study conducted by Forrester Research, more than 35% of US online consumers are interested in customizing their own product features. Thus, the smartened customization will allow tech savvy consumers to participate in the product design and this will wins their loyalty and lead to greater market share.
For long term growth, Sony Expert”;’ must not focus on the camera quality leadership as the only competitive advantage, but to improve its existing smartened features to increase market share. For this reason, Sony could spend more revenues in Research & Development to explore environmental friendly solution for smartened charging, by designing another alternative that uses renewable energy to charge smartened on top of conventional way Of phone charging today, where this features still remain untapped by other competitors.
For example, a device that uses heat transfer and converts to thermal energy that used to charge the smartened. According to a report published by EIA World Energy Outlook, the renewable energy consumption will continue to increase in future and, Sony can be the market pioneer for genealogical leadership in using renewable energy for smartened charging. 3. 6. 2 price strategy price strategy is important for Sony to generate more revenues and maximize profits.
Looking at current pricing strategy for premium smartness, the retail price for Sony Expatriate Z is ARM,399 which may appear costly to target market that do not possess high purchasing power. Discount pricing is recommended by reducing the price to attract more consumers to increase sales and gain more market share. For example, Sony can offer both staff price and corporate discount of 30% to all Sony employees and manufacturing companies (Intel, Dell, Motorola), and participate in banks’ credit card affiliation program where card holders are entitled of discount upon payment.
Also, Sony can offers purchase with purchase (POP) program combining Expertise (premium) and STEPS where consumers get 30% discount for Sony Expertњ if they bought Sony It is recommended to sell at reasonable price of ARM,299 which will attract consumer to try both products. The discount pricing may initially not generating more revenues, but the intention is to generate word of mouth to raise awareness and attract new customers to try the product.
Table 1 Discounted Pricing List With respect to stiff price war and strong marketing strategy from other competitors, Sony Expert”‘ is highly recommended to price its smartened upon value pricing strategy. In reality, consumers want a good smartness without overpay. With increasing competition, majority smartness in market will comprise almost similar technology and features, thus, value pricing is the factor that is going to influence consumers buying decision. In previous survey, it showed that majority consumer’s budget for purchasing a smartened ranged from ARMOR -? RMI ,999. Hence, the value pricing of Sony
Expert”;’ being set in this marketing plan will range from ARMOR – RMI ,699 and will successfully fulfill the budget and expectation of consumer. Unlike Apple where it has only one product with costly pricing that not many people afford to buy and this caused Apple to lose its market share. Table 2 Proposed value pricing for customizable features smartened 3. 6. 3 Place Strategy Place tells how a company distribute a product so that it can be reach by consumer. Currently, Sony is deploying the exclusive distribution through retailer (Sony Centre) and network operator companies (Dig and Maxis) in shopping malls.
However, the location of some Sony Centre in Penman is not strategic and fail to invite sales. Thus, it is advisable that Sony Centre should be located strategically in central of the shopping malls so that it is easily reached by consumer and provide the opportunity to consumer to touch and feel the physical product. Also, by referring to Apple and Axiom, Sony can practice direct marketing of zero level channel through Internet selling. Nowadays, there is increasing trend in online shopping as it brings convenience to consumers where they can just click on the “Pay” button anywhere and anytime to purchase a product.
By using Internet selling, Sony can save the cost of intermediaries which will increase the operating profit. Figure 5 Malaysia online shopping rising 3. 6. 4 Promotion Strategy Promotion strategy will discussed how Sony communicates the products features and values to the consumer. 3. 6. 4. 1 Advertising Advertising is used to communicate a product offerings and values and build brand awareness in market. Nevertheless, Sony is not doing well on advertising its product features and fail in positioning the product to target market. Hence, advertising in Stuff magazine and online social media like
Sony official website and Backbone page are strongly suggested to convey informative and persuasive message closer to consumers where they can easily look for the product specifications, features and price. Besides, cinema advertisement, for example Golden Screen Cinema (Gurney Plaza and Queensland Mall) is highly recommended because that’s the time where consumer feels relax and easily absorb the message that delivered by the advertisement. According to Valerian Cinema Network, cinema advertising is proven to increase propensity to buy a product.
Figure 6 Cinema Advertising Increase Propensity of Purchase 3. . 4. 2 Sales Promotion Sales promotion is useful to stimulate rapid increases in sales. Unfortunately, the sales promotion activities in Penman were not eye-catching to grab consumer attention. It is recommended that Sony frequently organize special event pricing such as Year End sales and Festival sales promotion with attractive free gifts (for instance, Sony artist concert PIP tickets) and lucky draw participation to win free trips during the promotional period.
Besides, Sony can promote smartened recycling campaign where consumer is entitled to purchase Sony smartness with trade in discount while the national parts of Old phones can still be reconstruct and reused in the supply chain activities. Through this program, Sony reduces electronic waste (e-waste), build a good corporate image of practicing green living and attract consumer to try its product. 3. 6. 4. Personal Selling Personal selling delivers the product information through communication between salesperson and consumer. There are less promotional activities held in Penman, therefore consumers not even aware of Sony Expertise features or new product released. In this case, Sony can do better in participating PC Expo fair which held quarterly in SPICE (PISA) Penman, held read shows in shopping malls (Gurney Plaza and Queensland Mall) and manufacturing companies (Intel, Motorola and Dell) to promote its smartness to consumer.
In the event, Sony can organize Guess & Win contest that enlighten consumer about Sonny’s product knowledge, demonstrate its waterproof features by putting the smartened into water and high quality camera feature. These involves customer engagement to touch and feel the product and increase the brand awareness among consumer. 3. 6. 5 People Strategy The people discussed in this section refers to the employees that involved in he business operation such as customer service and salesperson. Today, excellent customer service is one of the formula for success in a company.
Consumers are more educated and aware of their rights. Thus, the quality of customer service on how they deal with customers in efficient timely manner is vital to maintain strong brand of services. Our survey discovered that the Sony salesperson do not perform their duty well in promoting the product to customers and fail to achieve sales. In view of salesperson, they need to recruit people who is fanatic about Sony Expired as it’s more likely they will reform better to convince potential customer on the product offerings.