Micromax by Sonu Final 2

Copyrights © Micromax Confidential / Restricted / Internal

Strategy Objective

The Renewed/ Marketing Strategy of Mobile.

Identify the best ‘P’ of Micromax.

Future Business Model


Product Category Electronic

Product Type Mobile Handsets

Brand Micromax

Model Mobile


MICROMAX

From Our Struggle days…….

• Micromax History

• Industry Overview

• Marketing Mix

• STP

• Proposed Business Model


To only 2 years in the market with 40,000 Stores….& are the 3rd Largest ‘Handset Vendor’… and the Quest for 2nd Rank !

Rajesh Agarwal ---Manages finances

Sumeet Arora -- Chief Technology

officer

Vikas Jain --Business Head

Rahul Sharma-- Risk taker with Ideas.


MicroMax

History

Software design

Software design

Computer PeripheralsComputer

PeripheralsMobilesMobiles Wireless Data

CardWireless Data

Card

PrinterMonitorscanner

Developing Software to various industry

X1iC200Q5BlingX600X800

USB drive,Fixed Wireless Drive,Data Cards


• The Mobile Phone Market in India is worth 130 million handsets annually.

• While 70% market share is taken by:• Nokia• Samsung• Sony Ericsson• Motorola & LG


Market Share• Micromax is currently the third-largest GSM vendor in the

Indian market,

• A share of 8.1%, perhaps just a few marks behind Samsung

• Samsung at the second position has 10.4% control, as per market reports.

• Nokia with 52.7% share is the number 1 vendor

• Source : Forbes India, 27 Feb. 2010



• 30-DAY BATTERY PHONESApril 2008: Rs 2,249; Now: Rs 1,999 The X1i, Micromax’s first phone, had a battery that could give 17 hours of talk time and go 30 days on a single charge.

• DUAL-SIM PHONESJuly 2008: Rs 1,999-12,999 For those who want two numbers but one handset.

• PHONE-CUM-STEREOFeb 2010: Rs 4,999 With 3D surround sound, fed by Yamaha and Wolfson

• BLINGFeb 2010: Rs 5,500 A big hit with women, comes with Swarovski embellishments.

• PHONE-CUM-REMOTEMay 2010: Rs 2,999 A mobile that can switch TV channels and even change the AC temperature

• IN THE WORKS A phone that can be used as a computer mouse.

PRODUCT STRATEGY• Micromax deliberately made an attempt to tap the Rural interiors of the

country, since this is THE segment, where the larger pie of the cake share is….and at an affordable price.

• The limited supply of electricity was a big roadblock to the growth.. And there evolved the Technology o.. which led to guarantee 30-day stand-by Battery (No other handset to compete)

• To cater to the wants of the customers to carry two handsets (to make most of the existing on-going tariff wars amongst service operators), Micromax started offering Dual SIM phones. Infact, existing product line consists of 27 phones, out of which 23 are Dual SIM.

• A clear differentiation was a significant factor that aided the significant growth of Micromax brand in Indian market.


Lots of Firsts to Credit…….. In the versatile product portfolio…….

Handsets with 30 days battery backup, Handsets with Dual SIM / Dual Standby, Handsets Switching Networks (GSM - CDMA) using gravity sensors, Aspirational Qwerty Keypad Handsets, Operator Branded 3G Handsets, Changing the phase of entry level


Many ideas poured in during the umpteen brainstorming sessions that the four conducted amongst themselves. Finally, they decided to marry mobile handsets and rural and price-sensitive India.

Thus, the company’s first phone (the X1i in the pic priced only @ ` 2150/-), was born in an environment that would transform into what would be proudly called the second-largest mobile market in the world, next only to US, with about 10-12 million subscribers being added every month.

And now the Company has 23 Domestic Offices coupled with International Offices in USA, Hongkong, Dubai etc with 40,000 Stores operational & is being aggressive to reach 70,000 Stores

1st handset X1i

An idea whose time has come was waiting there all along…


Price

• Entry level is priced between Rs.1800/

• High tech phone’s range starts from Rs.4,500/-


DISTRIBUTION STRATEGY

• High margins to Channel Partners• More Commission to those Partners who were

willing to stock-up its products.• Cash discount for advance payments• Extensive dealer network


Our PR Strategy…The brand was one of the big spenders in the latest edition of IPL .

Micromax has centered much of its brand building exercise around cricket.

.

Micromax has taken up the title sponsorship for the entire Indian cricketing season from May 2010

The ads are for individual products highlighting the product features and USPs.


http://www.google.com/hostednews/afp/slideshow/ALeqM5iHuK1OEVnwH5_Jz3hsO0mZr4n0AA?index=0

BRAND BUILDING INITIATIVES

• Micromax, has shelled out a whopping Rs 100 crore for its brand building initiative. It is targeting a wide base of new and existing subscribers, using a 360 degree media approach via multiple platforms.

• It has allotted Rs 60 crore for ATL (above the line) advertising, of which print will take the maximum share, followed by TV and radio. Another Rs 40 crore will go into the BTL (below-the-line) initiatives. The communication has been launched in the beginning of 2010.

• In 2009, the campaign was mostly product centric but this year, the efforts will be to create a brand that is aspired by all. Consumers have already experienced Micromax as a handset. Now, it is time for the consumers to remember ‘MICROMAX’ the brand.


STP

…………………..

Rural Sector The Urban Youth

High Profile Users


Proposed Business Model

Promotions

Tie up with Service Provider’s.

To develop High end product.

Try to change the brand image from value for money to status symbol

Acquisition or Merger


PromotionsAudio Visual Strategies (Content)

-10th Class Students to Graduation College Students

We intend to highlight the existing need of the Cell - phone usage as a “need” & not “Luxury” since this segment thrives with Parental involvement & lots of concerns & wrinkled foreheads amongst them due to the high frequency of their Children being traveling to-n-fro from college to tuition classes or for Competitive Exams.-Hence, we strongly feel the reality to be presented to the Segment. In-addition, its also plays a significant role of communication with the rising unpredictable scenario’s on the rise..


Promotions ( Contd)Audio Visual Strategies (Content)

With the Student Fraternity, we intend to boomerang the segment with customized strategy of presenting your ID card to the ‘’Outlet listed near your college’ (no hassle of running near your homes) and avail of the ‘’x % discount’’And extended to the All levels of Faculty of the college/school

Women Segment

-While there is no gender bias.. But Women at all ages are on the higher %age of cellphone usage in the way of a Worried Daughter, Girlfriend, Wife, Parent…


Tie up with Service Provider’s.

• Tie-up with Service Provider’s is essentially to make a ‘one-stop shop’ to effect the 1st time Users with Phone + Best Service Provider concept and with freebies & discount in the offing.


Luxury Hand-setWe aren’t alien to Cosmopolitan

Segment either..

Hence there is Q55 Bling the limited IIFA edition & also the Swaroskvi Elements launched by Twinkle khanna with line ‘it Twinkles’

With this, we intend to bring a wave of change amongst the Gen X with apps like Twitter, Facebook and all social networking sites with extravagant features for the Who-is-who in the Industry…….


And Our Quest continues to become the…..


1st Indian to Win the Silver in this Telecom Marathon……..

Micromax nothing like anything ……!!!!

Micromax by Sonu Final 2

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