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Product Life cycle of Nokia
Submitted to Presentation by
Prof. Kamal Sharma Rampal singh
Department of Mech. Engg. Mtech First year
1
Product Life-Cycle Strategies
• Product development
• Introduction
• Growth
• Maturity
• Decline
• Begins when the
company develops a
new-product idea
• Sales are zero
• Investment costs are
high
• Profits are negative
PLC Stages
Product Life-Cycle Strategies
• Product development
• Introduction
• Growth
• Maturity
• Decline
• Slow sales growth – cell
phones 15 yrs back, Hybrid
cars today, Blu-Ray
technology, HD TV
• Intensive promotions,
communications
• Price uncertainty
• Uncertain competition
reactions
• Uncertain consumer
responses
• Non-existent profits
• Negative cash flow
PLC Stages
Product Life-Cycle Strategies
• Product development
• Introduction
• Growth
• Maturity
• Decline
• Slow sales growth – Land
lines, 100cc motorbikes,
fountain pens
• Price reductions,
promotions
• Features changes /
reductions / new
• Profits go down
• Competitors introduce new
products
• Brand sustainability is
imperative in
communication
PLC Stages
Product Life-Cycle Strategies
• Product development
• Introduction
• Growth
• Maturity
• Decline
• Decline in sales – audio &
video cassette players,
pagers
• New products meet
satisfaction
• Profits erode
• Communication expenses
are stopped
PLC Stages
6
TIME
S
A
L
E
S
Product Life Cycle - Competitive Marketing
COMPANY PROFILE
Product Life Cycle - Competitive Marketing 7
Nokia Corporation is a Finland based
MNC
Headquarter -- Espoo, Finland
CEO – Stephen Elop
Founder – Fredrik Idestam 1865
Nokia started as a pulp, rubber & cable
manufacturer company
Time
Growth
Maturity
Decline
Introduction
Sales curve
The Concept Phones
Nokia E- series
Nokia Symbian
& N- Series
Nokia Windows &
Symbian phones
PRODUCT LIFE CYCLE OF NOKIA
Product Life Cycle - Competitive Marketing
5
Lifecycle
• Globally Nokia’s market is at Decline due to shift from
Symbian to Windows phone devices
Globally & in
India Placed
Here
Rs
Time
Product life cycle
4/11/2020 Product Life Cycle - Competitive Marketing 9
4/11/2020 Product Life Cycle - Competitive Marketing 10
INTRODUCTION STAGE ( 1995 – 2002)
NOKIA 2110
1. Entered India in 1995
2. Launched very few models
due to lesser demand &
innovation
3. GSM & CDMA phones
4. Launched 1st model Nokia
2110 with Nokia tune
5. 2110 was 1st model capable
of sending/receiving sms
6.Competed with the then
market leader ‘Motorola’
Product Life Cycle - Competitive Marketing 11
4/11/2020
Product Life Cycle - Competitive Marketing 12
GROWTH STAGE ( 2003 – 2009 )
a
Launched phones without
external antenna
Had better features like games,
alarm, ergonomic keypad,
display etc.
Models like Nokia 3310/3315
marked beginning of growth
stage
Launched models like N95 to
compete with Apple’s i-phone
4/11/2020 Product Life Cycle - Competitive Marketing 13
PRODUCT
a
Features :
Slider Phone
3G
Wi-Fi (WLAN)
Radio
MP3 Player
Video Record
Loudspeaker/Speakerphone
Bluetooth
Camera 5 Mega pixel
Video Record.
NOKIA N95 8GB
FEW POPULAR N-SERIES MODELS OF NOKIA
4/11/2020 Product Life Cycle - Competitive Marketing 14
31191 30016 29455 29267
34191
41121
51058 50710
40984
3362 4780 5011 4330 4639 5488
7985
4966
1197
2200 3381 3592 3207 3616 4306
7205
3988
891
0
10000
20000
30000
40000
50000
60000
2001 2002 2003 2004 2005 2006 2007 2008 2009
EURO(million)
YEARS
NOKIA
Net Sales Operating Profit Net Profit Linear (Net Sales)
4/11/2020 Product Life Cycle - Competitive Marketing 15
SALES FIGURE ( 2001 – 2009 )
a
4/11/2020 Product Life Cycle - Competitive Marketing 16
MATURITY STAGE ( 2009 – 2011 )
a
Launched a lot of touch screen
models
Launched 1st Maemo 5 OS
phone N-900
Launched Qwerty+touch
model N-97
Focussed on E-series phones to
compete with Blackberry
4/11/2020 Product Life Cycle - Competitive Marketing 17
PRODUCT
a
q
4/11/2020 Product Life Cycle - Competitive Marketing 18
DECLINE STAGE ( 2011 Q3 – PRESENT )
Product Life Cycle - Competitive Marketing 19
Upgraded its Symbian OS with ‘3’
& ‘Belle’
Shifted focus on Windows as
its main OS
Launched 1st Windows phone,
Lumia 800
Used Symbian only in low end
models
4/11/2020 Product Life Cycle - Competitive Marketing 20
PRODUCT
a
a
General 2G Network GSM 850 / 900 / 1800 / 1900
3G Network HSDPA 850 / 900 / 1900 / 2100 - RM-819
HSDPA 900 / 1900 / 2100 - RM-801 CV
Announced a 2011, October
Status Available. Released 2011, November
Display Type AMOLED capacitive touchscreen, 16M colors
Size 480 x 800 pixels, 3.7 inches (~252 ppi pixel density
3.5mm jack Yes
Memory Card slot No
Internal 16 GB storage, 512 MB RAM
Data GPRS Class 33
EDGE Class 33
Speed HSDPA 14.4 Mbps, HSUPA 5.76 Mbps
WLAN Wi-Fi 802.11 b/g/n
Bluetooth Yes, v2.1 with A2DP, EDR
USB Yes, microUSB v2.0
Camera Primary 8 MP, 3264x2448 pixels, Carl Zeiss optics, autofocus, dual-LED flash
Secondary No
Features OS Microsoft Windows Phone 7.5 Mango, upgradable to v7.8
Chipset Qualcomm MSM8255 Snapdragon
CPU 1.4 GHz Scorpion
NOKIA LUMIA 800
21
SALES FIGURE FROM 2009 - 2012
40984
42446
38659
30176
1197 2070
-1073 -2303
891 1850
-1164
-3106
-10000
0
10000
20000
30000
40000
50000
2009 2010 2011 2012
EURO(million)
YEARS
NOKIA
Net Sales Operating Profit/Loss Net Profit/Loss Linear (Net Sales)
22
Product Life Cycle - Competitive Marketing 23
NEW DRAFTING STRATEGIS
 • Nokia launched Windows Phones series dubbed as the Nokia Lumia.
Fast-forward to 2013, Nokia has a full portfolio of great Windows Phone 8
smart phones, from a 520 through the award winning Lumia 920 and the
ground-breaking Lumia 1020, which enables photography never seen
before in a Smartphone.
 • In September 2013, Nokia announces that it has entered into an
agreement with Microsoft whereby Microsoft would purchase
substantially all Devices & Services, the Nokia business which makes
mobile phones and Smartphone's.
 • Stephen Elop facilitated this deal and his role in it has been questionable.
 • Though Nokia is now reporting profits, it had lost its glory in the market
it once dominated singlehandedly.
WRONG DECESION
Product Life Cycle - Competitive Marketing 24
While the entire Smartphone OS industry was evolving,
manufacturers moved on and adopted various operating
systems like Android, Windows, Bada, Meego, et cetera, Nokia
decided to stick to Windows OS only.
 As Android and iOS became more popular, Nokia and its
windows phones failed to attract any attention.
 Though the new technologies developed by Nokia were
ground breaking, they were not promising enough
RESULTS
Product Life Cycle - Competitive Marketing 25
Microsoft has agreed a deal to buy Nokia's mobile phone
business for 5.4bn Euros ($7.2bn; £4.6bn).
Product Life Cycle - Competitive Marketing 26

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PRODUCT LIFE CYCLE

  • 1. Product Life cycle of Nokia Submitted to Presentation by Prof. Kamal Sharma Rampal singh Department of Mech. Engg. Mtech First year 1
  • 2. Product Life-Cycle Strategies • Product development • Introduction • Growth • Maturity • Decline • Begins when the company develops a new-product idea • Sales are zero • Investment costs are high • Profits are negative PLC Stages
  • 3. Product Life-Cycle Strategies • Product development • Introduction • Growth • Maturity • Decline • Slow sales growth – cell phones 15 yrs back, Hybrid cars today, Blu-Ray technology, HD TV • Intensive promotions, communications • Price uncertainty • Uncertain competition reactions • Uncertain consumer responses • Non-existent profits • Negative cash flow PLC Stages
  • 4. Product Life-Cycle Strategies • Product development • Introduction • Growth • Maturity • Decline • Slow sales growth – Land lines, 100cc motorbikes, fountain pens • Price reductions, promotions • Features changes / reductions / new • Profits go down • Competitors introduce new products • Brand sustainability is imperative in communication PLC Stages
  • 5. Product Life-Cycle Strategies • Product development • Introduction • Growth • Maturity • Decline • Decline in sales – audio & video cassette players, pagers • New products meet satisfaction • Profits erode • Communication expenses are stopped PLC Stages
  • 6. 6 TIME S A L E S Product Life Cycle - Competitive Marketing
  • 7. COMPANY PROFILE Product Life Cycle - Competitive Marketing 7 Nokia Corporation is a Finland based MNC Headquarter -- Espoo, Finland CEO – Stephen Elop Founder – Fredrik Idestam 1865 Nokia started as a pulp, rubber & cable manufacturer company
  • 8. Time Growth Maturity Decline Introduction Sales curve The Concept Phones Nokia E- series Nokia Symbian & N- Series Nokia Windows & Symbian phones PRODUCT LIFE CYCLE OF NOKIA Product Life Cycle - Competitive Marketing 5
  • 9. Lifecycle • Globally Nokia’s market is at Decline due to shift from Symbian to Windows phone devices Globally & in India Placed Here Rs Time Product life cycle 4/11/2020 Product Life Cycle - Competitive Marketing 9
  • 10. 4/11/2020 Product Life Cycle - Competitive Marketing 10 INTRODUCTION STAGE ( 1995 – 2002) NOKIA 2110 1. Entered India in 1995 2. Launched very few models due to lesser demand & innovation 3. GSM & CDMA phones 4. Launched 1st model Nokia 2110 with Nokia tune 5. 2110 was 1st model capable of sending/receiving sms 6.Competed with the then market leader ‘Motorola’
  • 11. Product Life Cycle - Competitive Marketing 11
  • 12. 4/11/2020 Product Life Cycle - Competitive Marketing 12 GROWTH STAGE ( 2003 – 2009 ) a
  • 13. Launched phones without external antenna Had better features like games, alarm, ergonomic keypad, display etc. Models like Nokia 3310/3315 marked beginning of growth stage Launched models like N95 to compete with Apple’s i-phone 4/11/2020 Product Life Cycle - Competitive Marketing 13 PRODUCT a
  • 14. Features : Slider Phone 3G Wi-Fi (WLAN) Radio MP3 Player Video Record Loudspeaker/Speakerphone Bluetooth Camera 5 Mega pixel Video Record. NOKIA N95 8GB FEW POPULAR N-SERIES MODELS OF NOKIA 4/11/2020 Product Life Cycle - Competitive Marketing 14
  • 15. 31191 30016 29455 29267 34191 41121 51058 50710 40984 3362 4780 5011 4330 4639 5488 7985 4966 1197 2200 3381 3592 3207 3616 4306 7205 3988 891 0 10000 20000 30000 40000 50000 60000 2001 2002 2003 2004 2005 2006 2007 2008 2009 EURO(million) YEARS NOKIA Net Sales Operating Profit Net Profit Linear (Net Sales) 4/11/2020 Product Life Cycle - Competitive Marketing 15 SALES FIGURE ( 2001 – 2009 ) a
  • 16. 4/11/2020 Product Life Cycle - Competitive Marketing 16 MATURITY STAGE ( 2009 – 2011 ) a
  • 17. Launched a lot of touch screen models Launched 1st Maemo 5 OS phone N-900 Launched Qwerty+touch model N-97 Focussed on E-series phones to compete with Blackberry 4/11/2020 Product Life Cycle - Competitive Marketing 17 PRODUCT a
  • 18. q 4/11/2020 Product Life Cycle - Competitive Marketing 18 DECLINE STAGE ( 2011 Q3 – PRESENT )
  • 19. Product Life Cycle - Competitive Marketing 19
  • 20. Upgraded its Symbian OS with ‘3’ & ‘Belle’ Shifted focus on Windows as its main OS Launched 1st Windows phone, Lumia 800 Used Symbian only in low end models 4/11/2020 Product Life Cycle - Competitive Marketing 20 PRODUCT a
  • 21. a General 2G Network GSM 850 / 900 / 1800 / 1900 3G Network HSDPA 850 / 900 / 1900 / 2100 - RM-819 HSDPA 900 / 1900 / 2100 - RM-801 CV Announced a 2011, October Status Available. Released 2011, November Display Type AMOLED capacitive touchscreen, 16M colors Size 480 x 800 pixels, 3.7 inches (~252 ppi pixel density 3.5mm jack Yes Memory Card slot No Internal 16 GB storage, 512 MB RAM Data GPRS Class 33 EDGE Class 33 Speed HSDPA 14.4 Mbps, HSUPA 5.76 Mbps WLAN Wi-Fi 802.11 b/g/n Bluetooth Yes, v2.1 with A2DP, EDR USB Yes, microUSB v2.0 Camera Primary 8 MP, 3264x2448 pixels, Carl Zeiss optics, autofocus, dual-LED flash Secondary No Features OS Microsoft Windows Phone 7.5 Mango, upgradable to v7.8 Chipset Qualcomm MSM8255 Snapdragon CPU 1.4 GHz Scorpion NOKIA LUMIA 800 21
  • 22. SALES FIGURE FROM 2009 - 2012 40984 42446 38659 30176 1197 2070 -1073 -2303 891 1850 -1164 -3106 -10000 0 10000 20000 30000 40000 50000 2009 2010 2011 2012 EURO(million) YEARS NOKIA Net Sales Operating Profit/Loss Net Profit/Loss Linear (Net Sales) 22
  • 23. Product Life Cycle - Competitive Marketing 23 NEW DRAFTING STRATEGIS  • Nokia launched Windows Phones series dubbed as the Nokia Lumia. Fast-forward to 2013, Nokia has a full portfolio of great Windows Phone 8 smart phones, from a 520 through the award winning Lumia 920 and the ground-breaking Lumia 1020, which enables photography never seen before in a Smartphone.  • In September 2013, Nokia announces that it has entered into an agreement with Microsoft whereby Microsoft would purchase substantially all Devices & Services, the Nokia business which makes mobile phones and Smartphone's.  • Stephen Elop facilitated this deal and his role in it has been questionable.  • Though Nokia is now reporting profits, it had lost its glory in the market it once dominated singlehandedly.
  • 24. WRONG DECESION Product Life Cycle - Competitive Marketing 24 While the entire Smartphone OS industry was evolving, manufacturers moved on and adopted various operating systems like Android, Windows, Bada, Meego, et cetera, Nokia decided to stick to Windows OS only.  As Android and iOS became more popular, Nokia and its windows phones failed to attract any attention.  Though the new technologies developed by Nokia were ground breaking, they were not promising enough
  • 25. RESULTS Product Life Cycle - Competitive Marketing 25 Microsoft has agreed a deal to buy Nokia's mobile phone business for 5.4bn Euros ($7.2bn; £4.6bn).
  • 26. Product Life Cycle - Competitive Marketing 26

Editor's Notes

  1. Page 10
  2. Page 12