Nokia, still relevant????

So Nokia are advertinsing the “real windows moible phone” to borrow from the words of their CEO, I watched the promo materials and the phone looks nice, their differentiation to the usual Windows Mobile user interface looks nice but should they really be as excited as they are about the market potential of this modile and their union with Microsoft?

Why am I sceptical? Well here we have 2 brands that are the weakest in the compititve smartphone market, Nokia has the lowest performance in terms of units sold and Microsoft can’t sell any phones on their own and HTC is regretting creating phones for Windows 7 put briefly Windows Mobile is even worse in the market that NOKIA’s Symbian software!!. Why are they excited?

I think Nokia needs to review its strategic thrust at the moment, this new relationship with Microsoft is at least 3 years too late and the consumer has moved on, the Windows Mobile platform’s unique proposition to the customer is social newtorking connectivity my problem with that is haven’t they heard of BBM? Social networking was all the rage 2 years ago, not its all about augmented reality, BBM and Facebook where does NOKIA  fit into all that?. Another question is, does NOKIA really need to be relevant in the smartphone market and how much of that effort takes their resources from their core market, low income people and cheap mobile phones?

I think NOKIA are getting spooked by the events around them but they are not strategically ready to respond to these new players taking over their upmarket customers. But, why should they fight on their competitors’ terms, they are still selling the most number of mobile phones in the world, cheap phones but still the most units in the industry. I would suggest, if anyone asked me, that NOKIA focuses on its bread and butter market, the cheap phone market, there are still enough lower income people in the world to make good business for NOKIA. Developing smartpones need not be an obsession for NOKIA but running a strategical sound business is more important. Smartphones for the lower income market, now that’s were the real money lies imagine a $100 simfree Apple phone or a $50 Android phone,that is were the marketers need to go next. Simfree phones or pay as you go phone still account for the large users on mobile telephony.

I’m just saying, stop fighting Apple and Google on their patch, go scratch your own new market and this applies to any other business fighting to survive against dominant rivals

One thought on “Nokia, still relevant????

  1. pj's avatar pj says:

    I agree with you that Nokia should stop fighting Apple, and infact in that catergory i think Samsung is the team to beat recent financials show that samsung has 28% market share Apple 15% and nokia 14 % in terms of smartphone shipment.
    BBM and Google seem to be focusing more on argumented communications which Apple was really the pioneer but due to is inflexibility is not making much progress (maybe now that jobs is dead we will see more in terms of collaborations and integration of other apps that run on ther IOS platform )
    the board of directors at Nokia should fire the Ceo, whoever he is for failing to see simple market trends and not understanding that Nokia grew too big too soon and has gained competencies that are nolonger relevant. U are spot on in saying they should scratch their own market elsewhere i however think that they should move forward than back coz even developing countries have jumped ahead to 3 G all they need to do is watch social media trends and provide services to new needs.

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