In today's fiercely competitive mobile phone industry, the differentiation strategy has major influences on brand development. Foreign brands such as Nokia and Motorola strive to occupy market share by improving the sales volume of low-end products. The data by CCID Consulting's Research Report on Mobile Phone Market in Jan.-Jun., 2007 reveals that Nokia and Motorola occupied a share of 57% in the 500-700 Yuan mobile phone market and 70% in the less-than- 500 Yuan mobile phone market.
Second-line domestic brands have also adjusted their product orientation. According to different market features, they have worked out differentiation product R&D and sales strategies, driven up the mobile phone customization provided by operators, produced dual-G/dual-mode dual-standby mobile phones, stock mobile phones and navigation mobile phones. Through marketing channels, these companies have also actively explored many modes such as TV-based direct selling, network-based direct selling, selling to high-end users and selling to specific areas and aimed to receive active market feedback. As the data from CCID Consulting shows, compared with the same period of last year, the sales value of Coolpad, HTWChina, K-TOUCH, Changhong, Huawei rose to a certain extent. Lenovo, the first domestic brand, made a solid achievement in sales in 2007 by adopting appropriate marketing strategies, executing strict quality control and process control in brand, product design, production and other processes, and forming its own unique product concept and design planning.
In view of the fierce competition in the current mobile phone market, domestic mobile phone brands shall follow the market and win customers by launching a series of brand popularity campaigns to interact and communicate with users. This will allow more users to better understand and know of enterprise products, which will in turn improve the novel and unique user experience in 3G, mobile phone TVs, smart mobile phones, and new technology and applications. Domestic mobile brands will hopefully immerse themselves into the hotspots of the mobile phone industry to carve out a differentiation development road, building up their brand image by first developing mobile phone TVs, GPSs and other integrated terminals, by developing high-end users for Chinese-specific handwriting mobile phones, and by cultivating rural users and developing farmer-specific low-end mobile phones. Experience has shown that differentiation strategies are an effective way to develop enterprises.
