Philips was founded in 1891 by Anton and Gerard Philips and started by manufacturing carbon filaments. Over the years it grew to become a global company. To represent the company globally and connect with people, Philips launched a new branding campaign called "Let's make things better". Philips conducted market research with over 1650 consumers and 180 companies to understand its market position and identify areas for growth. It then positioned itself in the market with the campaign "sense and simplicity" focusing on products designed for customers that are easy to experience and advanced. However, there is a risk of vagueness using this positioning as simplicity does not clearly refer to design or technology. To ward off competition from inexpensive Japanese electronics, Philips needs to

2. PHILIPS
• Philips & Co. started
by Anton and Gerard
Philips in 1891
• Started by
manufacturing
carbon filaments

3. From manufacturer
of carbon filament
lamps
To a GLOBAL
company celebrating
75 years of leadership .
Let’s go through its
journey

4. Branding
From initial logo using letters of
Philips & Co. to Word Philips
appearing on glass of metal
filament lamps to a symbol of
waves and stars

5. Competition
• Faced tough competition
from Japanese consumer
electronics
• They had the advantage of
inexpensive consumer
goods

6. For a global representation of the company it
wanted to champion the idea that technology
will improve people’s lives.
New branding campaign- “Let’s make things better”
Primary objective was to connect with people

7. Market research
• Philips undertook a market research of more than
1650 consumers and 180 companies
• Focus groups and questionnaires helped to identify
routes for moving forward
• Understand its current market position

8. Positioning
Philips positioned itself into the minds of target
market by campaign “sense and simplicity “
Based on three premises –
Products designed around the customer
Easy to experience
Advanced

9. Points of Difference
• Attributes or benefits that
consumers strongly associate
with a brand
• Philips is known for its
technological prowess and
ability to innovate

10. Communicating Brand Positioning

14. MISSION
Mission : Improve the quality of
people’s lives through
technology-enabled meaningful
innovations
Philips strive to make the world
healthier and more sustainable
through innovation

15. Questions
1. Evaluate Philip’s “sense
and simplicity” strategy
.What are the risks the
company faces in using this
tagline ?

16. • Philips undertook a market research
which showed their customers had
trust on its products
• It was discovered that their core
target group consisted of well
educated and affluent decision
makers between 35 and 55

17. • Their need was hassle free
technology and easy to access. So,
the emphasis was on consumer
based designed products ,easy
experience and advanced.
• Risk was of vagueness and
ambiguousness as the simplicity
does not clearly refer to design or
technology.

18. 2.What strategies can Philips
follow to ward off
competition from Japanese
manufactures of
consumers electronics?

19. • Japanese manufacturer’s advantage was its
inexpensive consumer electronics, which was
its points of difference.
• So, to ward off this competition Philips need
to make their Points of difference their points
of parity .
• Philips can do so by cutting on its non core
business or less profitable ones.
• By, investing more on innovation because that
is what will make their products different.

20. SUMMARY

21. DISCLAIMER
Created by Pranav kumar of FDDI Chennai
during internship by Prof Sameer Mathur,IIM
Lucknow.
PRANAV KUMAR
Prof. SAMEER MATHUR