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Group Members 
Manas Mohapatra! 
Neo Shi Jun! 
Piyush Pritam Sahoo! 
PLANET SATURN 
SINGAPORE LAUNCH PROPOSAL 
SINGAPORE MANAGEMENT UNIVERSITY
AGENDA 
SITUATION 
ANALYSIS 
RECOMMENDATIONS 
ISSUES & 
OBJECTIVES 
KEY SUCCESS 
FACTORS 
Introduction 
CONCLUSION
COMPANY PROFILE 
COMPANY 
PROFILE 
XIAN DAI 
! 
• Top 2 smartphone manufacturer in China" 
" 
• Limited market presence – sold through 
multiple channels but only within the China 
market" 
" 
• Relatively low cost compared to other 
smartphones in the market" 
Introduction 
2/9/14! 3!
PRODUCT SPECIFICATIONS 
PRODUCT 
SPECIFICATIONS 
Introduction 
PPLLANEETT SSATTURN 
• Android OS" 
• 4.9” Full HD Touchscreen" 
• Built in front camera and 11mp back 
camera" 
• Built in Wi-Fi and Bluetooth capabilities" 
• Lithium-ion battery lasting over 450 
hours of standby time" 
• 8.0mm thin and weighing 150g" 
2/9/14! 4!
Situation 
Analysis
LAUNCH ASSESSMENT 
? TO LAUNCH 
2/9/14! 
OR NOT TO! 
LAUNCH 
Situation 
Analysis
MARKET POTENTIAL Analysis 
ANALYSIS 
Situation 
QUANTITATIVE 
300.%# 
250.%# 
200.%# 
150.%# 
100.%# 
50.%# 
.%# 
Smartphone Users (% of mobile phone users)! 
2012# 2013# 2014# 2015# 2016# 2017# 2018# 
US# India# China# Asia8Pacific# World# 
Source: e-marketer" 
• Smartphone user base is ever expanding." 
• Growth of smartphone users in Asian counties and especially in 
Asia-pacific is predicted to reach at all-time high levels. " 
• The industry offers a bright opportunity for making huge profits. " 
2/9/14! 7!
MARKET POTENTIAL Analysis 
ANALYSIS 
Situation 
QUANTITATIVE 
INDUSTRY POTENTIAL IN THE NEXT 6 
MONTHS 
Market Value (MV) = P X N X W" 
P: Potential Number of Customers! 
N: Number of Units bought annually ! 
W: Weighted average price of a unit! 
Market Value (MV) in the next 6 months = " 
36%!of!the!popula5on!intends!to! 
change!from!current!phone!!to!a! 
smartphone!in!the!next!6!months! 
5,399,000" 
X $227 = $441,222,624 
1,944,000" 
Avg. price of smartphone" 
2/9/14! 8!
MARKET POTENTIAL Analysis 
ANALYSIS 
Situation 
QUALITATIVE 
IDEAL TEST MARKET 
• Culturally diverse" 
" 
• Politically stable" 
• Closer geographical location to China 
(greater degree of similarity/ large chinese 
population) " 
• Global city (widely varied nationalities, 
ethnicities, occupations)" 
• High smartphone penetration rate " 
2/9/14! 9!
LAUNCH ASSESSMENT 
2/9/14! 
YES TO 
LAUNCH 
Situation 
Analysis 
!
BUSINESS ENVIRONMENT Analysis 
ANALYSIS 
1 
2 
3 
Situation 
PROMOTION CHANNELS ANALYSIS 
4 
COMPETITOR ANALYSIS 
CONSUMER ANALYSIS 
DISTRIBUTION CHANNELS 
ANALYSIS 
TARGET MARKET 
2/9/14! 11!
PROMOTIONAL CHANNEL Analysis 
1 ANALYSIS 
Situation 
100%! 
90%! 
80%! 
70%! 
60%! 
50%! 
40%! 
30%! 
20%! 
10%! 
0%! 
Consumer Media Reach! 
PEOPLE!WHO! 
WATCH! 
TERRESTRIAL!TV! 
IN!THE!PAST! 
WEEK! 
PEOPLE!WHO! 
READ!DAILY! 
NEWSPAPERS!IN! 
THE!PAST!WEEK! 
PEOPLE!WHO! 
ACCESSED! 
INTERNET!IN! 
THE!PAST!WEEK! 
PEOPLE!WHO! 
LISTENED!TO! 
RADIO!IN!THE! 
PAST!WEEK! 
PEOPLE!WHO! 
VISITED! 
CINEMAS!IN! 
THE!PAST!WEEK! 
Consumer!Media! 
Reach! 
• Channels with the largest volume of 
consumers lies in TV, Newspaper and 
Internet. " 
• However, TV and newspaper 
spending are much costlier as 
compared to digital channel spending." 
2/9/14! 12!
PROMOTIONAL CHANNEL Analysis 
1 ANALYSIS 
Situation 
XIAN DAI SHOULD TAP ON SINGAPORE’S HIGH INTERNET, SOCIAL 
MEDIA USAGE AND MOBILE SUBSCRIPTION RATE AS PREFERRED 
PROMOTIONAL (COST- EFFECTIVE) CHANNELS . 
IMPLICATION! 1 
2/9/14! 13!
COMPETITORS Analysis 
ANALYSIS 
Situation 
• Nearly 91% of the smart phone 
industry in Singapore is dominated by 
the five companies: ALPHA, EPSILON, 
IOTA, KAPPA and BETA. " 
• The three major companies namely, 
ALPHA, EPSILON and IOTA occupy 
just less than 80% of the market share. " 
• These companies can be considered 
to be the major competitors for Xian 
Dai and pose a potential threat to its 
entry into the Singapore market. " 
Market# 
Share# 
0.7829! 
0.9146! 
0.35" 
0.3" 
0.25" 
0.2" 
0.15" 
0.1" 
0.05" 
2/9/14! 14! 
1.2! 
1! 
0.8! 
0.6! 
0.4! 
0.2! 
0! 
0" 
Smart!Phones! NonTSmart!Phones! Smart!phone!pareto! 
2
COMPETITORS Analysis 
2 ANALYSIS 
Situation 
88%! 94%! 91%! 91%! 82%! 75%! 83%! 86%! 
100%! 
80%! 
60%! 
40%! 
20%! 
0%! 
Brand!Awareness! 
• Brand Loyalty is stronger for well 
established brands. " 
" 
• This leads to lower costs and higher 
margins Incumbent players in the 
market have a very strong brand 
awareness. (Chart: Brand 
Awareness) " 
• The top three market share holders 
have very high brand awareness. " 
• This gives them a very strong 
foundation to build their brand 
equity which ultimately drives their 
revenue models. (See picture)" 
2/9/14! 15!
COMPETITORS Analysis 
2 ANALYSIS 
Situation 
ALPHA# 
Quality!&! 
Ease!of! 
OS!&!App! 
PriceT 
Value! 
Mul5med 
ia!&! 
Customer! 
Service! 
Baery! 
Life! 
Size! 
Style!&! 
Innova5o 
Messagin 
g! 
ALPHA! 
EPSILON# 
Quality!&! 
Ease!of! 
OS!&!App! 
PriceT 
Value! 
Mul5me 
Customdeia!&! 
r!Service! 
Baery! 
Life! 
Size! 
Style!&! 
Innova5o 
Messagin 
g! 
EPSILON! 
IOTA# 
Quality!&! 
Ease!of! 
OS!&!App! 
PriceT 
Value! 
Mul5medi 
a!&! 
Customer! 
Baery! 
Life! 
Size! 
Style!&! 
Innova5on! 
Messaging! Service! 
IOTA! 
• Not only that, the top three performers also posses strong perceived differentiating factors (Chart: Alpha, Epsilon, 
Iota). " 
• For example, Epsilon has a perceived Quality and Ease of use, Battery Life, Size and Style which enhance its brand 
equity and drive the revenue. " 
" 
• The new entrant, Xian Dai, must provide products that are better than the existing products in order for customers to 
see value. The intangible benefits that the company provides a strong brand equity. " 
2/9/14! 16!
COMPETITORS Analysis 
2 ANALYSIS 
Situation 
IMPLICATION! 
2 
NEED TO DEVISE A STRONG DIFFERENTIATION STRATEGY 
BY LOOKING AT ITS CURRENT PRODUCT STRENGTHS AND 
LOOK TO EXTEND MORE UNIQUE OFFERING TO COMPETE 
WITH THE BIG PLAYERS 
2/9/14! 17!
CONSUMER Analysis 
3 ANALYSIS 
Situation 
Gen Y represents approximately 
20% of the economically active 
population of Singapore. " 
" 
Gen Y’s in Singapore are tech-savvy 
and prefer an unconventional 
approach." 
" 
Tobacco/alcohol, mobile phone and 
food are listed as top three items 
that Gen Y prefer to spend the most." 
Gen Y is a generation like no other; 
for starters it’s the largest generation 
of them all and with access to huge 
social networks." 
SMARTPHONE USER ANALYSIS 
Total# Smartphone# 
(n=566)! (n=409)! 
%! %! 
Age! 
16-24" 18" 19" 
25-34" 18" 20" 
35-44" 21" 23" 
45-54" 25" 24" 
55-64" 18" 15" 
Mean! 40" 39" 
Age Range of Gen Y- early 1980s to the 
early 2000s" 
" 
• Represent more than half of the 
smartphone users" 
2/9/14! 18!
CONSUMER Analysis 
3 ANALYSIS 
Situation 
Smartphones-Users 
! Market Potential" 
SHORT TERM " 27% " 
LONG TERM " 45%" 
! Current User Profile: 
No differentiation based on age, 
gender, use. 
Majority - Postpaid user, 
Employed, household income > 
$2500" 
NON Smartphones-Users 
! Market Potential" 
SHORT TERM " 9% " 
LONG TERM " 18%" 
! Current User Profile: 
No differentiation based on age, 
gender, use. 
Majority - Postpaid user, 
Employed, household income > 
$2500" 
2/9/14! 19!
CONSUMER Analysis 
3 ANALYSIS 
Situation 
Smartphones-Users NON Smartphones-Users 
1. Targeting Emphasis when Bundling with Telco" 
• At monthly expenditure: All 5 price levels" 
• Special target at price level ($1-$30 ) & ($31-$60) " 
• Especially for age groups 16-24 & 25-44" 
" 
2. Potential Selling Points" 
• Open OS" 
• Upgrade to smartphones – at competitive price" 
• Battery life" 
• Exclusive Demand in general" 
" 
3. Target Segment Priority Needs" 
• Using mobile for Apps, GPS, Instant messaging, 
Emails, Wifi, Hotspots, Sync, Mobile TV, Game 
(offline, online), " 
1. Targeting Emphasis when Bundling with Telco" 
• At monthly expenditure: All 5 price levels" 
• Special target at price level ($31-$60)" 
2. Selling Point" 
• High Features:Price ratio" 
• Higher Battery life" 
• Exclusive Demand in general" 
" 
3. Fulfill market gap " 
• Using smartphone as Hotspots, Modem, Sync, 
Mobile TV" 
2/9/14! 20!
CONSUMER Analysis 
3 ANALYSIS 
Situation 
35%! 
30%! 
25%! 
20%! 
15%! 
10%! 
5%! 
0%! 
Sa5sfac5on!in!General! 
1! 2! 3! 4! 5! 6! 7! 8! 9! 10! 
Smartphone!Users! NonTSmartphones!Users! 
9! 
8! 
7! 
6! 
5! 
4! 
3! 
2! 
1! 
0! 
Sa5sfac5on!!w.r.t.!Categories! 
Smartphone!Users!(n=848)! (Mul5+Feature)! 
Trends 
• Increasing trend for higher satisfaction with Smartphone" 
• Market Gap: Battery Life (for both)" 
2/9/14! 21!
CONSUMER Analysis 
3 ANALYSIS 
Situation 
IMPLICATION! 
NEED TO DEVISE INNOVATIVE TARGETING STRATEGIES THAT MEET THE NEEDS OF TWO 
VARYING TARGET MARKET – CURRENT SMARTPHONE USERS AND NON-SMARTPHONE 
USERS WITH A FOCUS ON GENERATION Y. 
3 
2/9/14! 22!
DISTRIBUTION CHANNEL Analysis 
4 ANALYSIS 
• 58% of the smart phone sales 
Situation 
takes place through mobile 
operator retail stores " 
• The cost of this channel will be 
low as it avoids costs like setting 
up stores, hiring sales persons 
etc. " 
• Gives Xian Dai the opportunity to 
leverage on the success of the 
telecom operators. " 
Mobile Distribution Channels 
58%! 
11%! 
4%! 
20%! 
7%! 
A!mobile!Operator! 
retail!Shop! 
At!an!independent! 
telecom!shop! 
Other!Offline! 
Stores!/!Loca5ons! 
Online! 
Others!(Second!Hand! 
etc.)! 
IMPLICATION! 
NEED TO IDENTIFY THE BEST DISTRIBUTION CHANNELS TO WORK WITH AND WORK 
THROUGH IN ORDER TO REACH THE TARGET SEGMENT 
4 
2/9/14! 23!
Issues & 
Objectives
Situation 
OVERALL OBJECTIVES Analysis 
SUCCESSFUL LAUNCH 
OVERALL 
OBJECTIVES 
80% 40% 25% 10% 
PRODUCT 
AWARENESS 
IN THE FIRST 6 MONTHS 
ACHIEVE 4th POSITION IN MARKET SHARE 
CONSIDERATION CONVERSION AQUISITION 
2/9/14! 25!
KEY ISSUES & OBJECTIVES Issues & 
Objectives 
WHERE Xian Dai is Key ISSUES AT HAND WHERE Xian Dai WANTS TO BE 
NO UNIQUE PRODUCT/SERVICE 
OFFERING 
NEGATIVE PERCEPTION OF 
CHINA BRANDS IN GENERAL 
DIFFICULTY IN NEW MARKET 
PENETRATION 
TO BE GREATLY DIFFERENTIATED 
FROM ITS COMPETITOR AND 
DOMINATE IN CERTAIN PRODUCT 
OFFERINGS 
DO NOT POSSESS STRONG 
DIFFERENTIATION FACTOR TO STAND 
OUT AMONG ITS COMPETITORS 
TO BE A WELL KNOWN GLOBAL 
BRAND WITH STRONG PRESENCE IN 
ITS OWN MARKET AND OTHER MARKETS 
LIMITED PRESENCE IN OTHER MARKETS 
AND GENERALLY ATTACHED WITH 
NEGATIVE PERCEPTION 
OF CHINA PRODUCTS 
BECOME ONE OF THE LEADING 
SMARTPHONE LEADING COMPANY in 
SINGAPORE & THE WORLD 
AMONG THE TOP 2 SMARTPHONE 
MANUFACTURER IN CHINA BUT NO 
PRESENCE IN SINGAPORE 
2/9/14! 26!
STRATEGY OVERVIEW Issues & 
Objectives 
Key ISSUES AT HAND STRATWEHEGREI EXiSan Dai WANTS TO BE 
NO UNIQUE PRODUCT/ 
SERVICE OFFERING 1 
CHANGING NEGATIVE 
PERCEPTION OF CHINA 
BRANDS 
DIFFICULTY PENETRATING 
NEW MARKET (SINGAPORE) 
2 
3 
THE X FACTOR 
GLOBAL- LOCAL 
ADVOCATES 
BETTER TOGETHER 
2/9/14! 27!
STRATEGY OVERVIEW Issues & 
Objectives 
Key ISSUES AT HAND STRATWEHEGREI EXiSan Dai WANTS TO BE 
NO UNIQUE PRODUCT/ 
SERVICE OFFERING 
CHANGING NEGATIVE 
PERCEPTION OF CHINA 
BRANDS 
DIFFICULTY PENETRATING 
NEW MARKET (SINGAPORE) 
DIFFERENTIATION 
STRATEGY 
BRANDING STRATEGY 
PROMOTION STRATEGY 
PARTNERSHIP STRATEGY 
CONVERSION STRATEGY 
1 
2 
3 
EXTERNAL FACTORS 
2/9/14! 28!
Recommendations!
RECOMMENDATIONS 
GLOBAL 
-LOCAL 
ADVOCATES X 
FACTOR 
1 2 
THE 
Recommendations 
3 
BETTER 
TOGETHER 
2/9/14! 30!
1 
Recommendations! 
THE X FACTOR
1 OBJECTIVE & SELECTION 
Recommendations 
OBJECTIVE! 
TO IDENTIFY AND CAPTITALISE ON PRODUCT STRENGTHS AND EXPAND SERVICE 
OFFERINGS THEREBY DIFFERENTIATE AMONG ITS COMPETITORS 
1 
CREATING! 
COMPETITIVE! 
ADVANTAGE! 
DIFFERENTIATE! 
STRATEGIEY 
2/9/14! 32!
1 METHODOLOGY 
Recommendations 
CREATING! 
COMPETITIVE! 
ADVANTAGE! 
THE 
X 
FACTOR The “X” Factor " 
1 
DIFFERENTIATE! 
• Capitalizing on intrinsic product strengths" 
" 
• Strengthening through unique software & 
service offerings" 
- Unique applications that fulfills needs of 
smartphone users " 
2/9/14! 33!
RATIONALE OF METHODOLOGY Recommendations 
ALPHA# 
Quality!&! 
Ease!of!Use! 
OS!&!App! 
PriceTValue! 
Mul5medi 
a!&! 
CustomGera!ming! 
Baery!Life! 
Size! 
Style!&! 
Innova5on! 
Messaging! Service! 
ALPHA! 
EPSILON# 
Quality!&! 
Ease!of! 
Use! 
OS!&!App! 
PriceT 
Value! 
Mul5medi 
a!&! 
CustomGear!ming! 
Baery! 
Life! 
Size! 
Style!&! 
Innova5o 
n! 
Messaging! Service! 
EPSILON! 
IOTA# 
Quality!&! 
Ease!of!Use! 
1 
OS!&!App! 
PriceTValue! 
Mul5media! 
&!Gaming! 
Customer! 
Baery!Life! 
Size! 
Style!&! 
Innova5on! 
Messaging! Service! 
IOTA! 
• Not only that, the top three performers also posses strong perceived differentiating factors (Chart: Alpha, Epsilon, 
Iota). " 
• For example, Epsilon has a perceived Quality and Ease of use, Battery Life, Size and Style which enhance its brand 
equity and drive the revenue. " 
" 
• The new entrant, Xian Dai, must provide products that are better than the existing products in order for customers to 
see value. The intangible benefits that the company provides a strong brand equity. " 
2/9/14! 34!
1 RATIONALE OF METHODOLOGY 
Recommendations 
Xian!Dai! 
Saturn! 
Samsung!Note! 
3! iPhone!5s! 
Opera5ng!System! Android!OS! Android!4.3! iOS7! 
Screen!size! 4.9"!! 5.7"! 4.0"! 
HD! Yes! Yes! Yes! 
Touch!Screen! Yes! Yes! Yes! 
Wifi! Yes! Yes! Yes! 
Bluetooth! Yes! Yes! Yes! 
Baery!Life! 450!hours! 225!hours! 420!hours! 
Baery!! LithiumTIon! LiTPo! LiTIon! 
Width! 8.0mm!thin! 8.3mm!thin! 7.6mm!thin! 
Weight! 150g! 168g! 112g! 
Total# 
Key Drivers" 
Messaging! 17%! 
Baery!Life! 15%! 
Size! 15%! 
Mul5media!&!Gaming! 14%! 
Style!&!Innova5on! 13%! 
Customer!Service! 12%! 
PriceTValue! 11%! 
OS!&!App! 1%! 
Quality!&!Ease!of!Use! 1%! 
• The new entrant, Xian Dai can 
capitalise on its battery life feature to 
distinguish itself from its competitors. " 
• They can also look into developing 
innovative improvement 
applications(able to produce in short 
term) to improve such as messaging 
and multimedia & gaming so strengthen 
its unique offering. " 
2/9/14! 35!
2 
Recommendations! 
GLOBAL-LOCAL ADVOCATES
2 OBJECTIVE 
Recommendations 
OBJECTIVE! 
TO DEVISE THE BEST PROMOTIONAL AND BRANDING STRATEGY THAT 
WILL HAVE THE MOST IMPACT FOR SALES AND PRODUCT AWARENESSS 
BUILDING! 
ADVOCATES! 
GLOBAL BRAND! ONLINE! 
LOCALISED STRATEGIES! 
1 2 
BRANDING! PROMOTION! 
STRATEGIES 
2/9/14! 37!
2 GLOBAL BRAND! METHODOLOGY 
Recommendations 
LOCALISED STRATEGIES! 
GLOBAL BRAND! 
LOCALISED STRATEGIES! 
GLOBAL 
LOCAL 
1 
ADVOCATES BRANDING! 
Adopting Global Branding (Made for the world) ! 
• Renaming in multiple languages and include in all 
promotional materials " 
" 
Localised campaigns that feature local celebrities/ 
influencers and working with non-competing local 
brands! 
• Virtual life events features local gamers and Youtube 
Singers " 
2/9/14! 38!
2 RATIONALE OF METHODOLOGY 
Recommendations 
GLOBAL BRAND! 
LOCALISED STRATEGIES! 
GLOBAL BRAND! 
LOCALISED STRATEGIES! 
1 
BRANDING! 
Insights 
• Brands made in China are perceived to have low, 
substandard quality Perceived as “imitation” of an 
original: because of the “spelling” of some Chinese 
brands, e.g., Alfa for Alpha " 
• Willingness to buy is low BUT customers accept 
global brands that are marked “made in China” 
which means factory is “authorized” and quality 
control measures are in place." 
• Brand as global brand" 
• Localised naming via language 
translation" 
2/9/14! 39!
2 REFERENCE CASE 
Recommendations 
GLOBAL BRAND! 
LOCALISED STRATEGIES! 
LENOVO 
• Already!the!largest!PC!company!in!the!world!since!July! 
2013,!Lenovo!is!on!its!way!to!achieving!its!goal!of! 
becoming!the!No.!1!company!in!smartTconnected! 
devices.!! 
• With!opera5ons!in!more!than!60!countries!and!sales!in! 
about!160!na5ons,!Lenovo!has!become!a!mul5na5onal! 
company.! 
• Lenovo!has!focused!on!developing!a!massive!and! 
sophis5cated!branding!strategy,!tailoring!its!marke5ng! 
to!different!local!markets.! 
2/9/14! 40!
2 METHODOLOGY BUILDING! 
Recommendations 
ONLINE! 
ADVOCATES! 
BUILDING! 
ONLINE! 
ADVOCATES! 
GLOBAL 
LOCAL 
2 
ADVOCATES PROMOTION! 
Advocate Marketing " 
• Social media community building " 
" 
Digital and online membership system " 
• -Referral to stores “ points initiative”" 
" 
• Gamified journey for the launch" 
2/9/14! 41!
2 METHODOLOGY BUILDING! 
Recommendations 
ONLINE! 
ADVOCATES! 
GAMIFIED JOURNEYS 
SOCIAL MEDIA 
ENGAGEMENT PLAN 
GLOBAL 
LOCAL 
ADVOCATES 
2/9/14! 42!
2 RATIONALE OF METHODOLOGY 
Recommendations 
2 
BUILDING! 
ONLINE! 
ADVOCATES! 
BUILDING! 
ONLINE! 
ADVOCATES! 
PROMOTION! 
Total&(n=163)& 
15%$ 
13%$ 
12%$ 
6%$ 
5%$ 
11%$ 12%$ 
8%$ 
8%$ 
10%$ 
Looked$at$phone$displays$in$shops$ 
Spoke$to$friends/colleagues/rela?ves$ 
Looked$at$adver?sements$ 
Looked$on$service$provider's$site$on$the$ 
Internet$ 
Looked$on$manufacturer's$site$on$the$ 
Internet$ 
Read$phone$leaflets/brochures$ 
Read$reviews$and$blogs$on$the$Internet$ 
Read$in$magazine$or$papers$ 
Spoke$to$a$phone$salesperson$ 
Via$an$event$or$roadshow$ 
• WOM and Displays are most effective promotional mediums" 
• Our strategy will involve creating gamified journeys - product 
advocates to bring their friends/relatives to product displays 
and explain the product specifications and attribute to earn 
discount or membership points for discount at next purchase 
off related accessories" 
• " 
• This will combine the two most effective promotional 
channels " 
2/9/14! 43!
2 RATIONALE OF METHODOLOGY BUILDING! 
Recommendations 
ONLINE! 
ADVOCATES! 
Singapore has the world’s second highest social 
penetration rate in Singapore at 59 per cent, more 
than double the global average of 26 per cent. " 
" 
Social media users in Singapore spend 2.2 hours 
on average per day on all social media channels, 
slightly above the world average of 2.0 hours. " 
" 
The city state’s Internet penetration rate is 73 per 
cent, above the global average of 35 per cent." 
" 
The mobile penetration rate in Singapore stands 
at 148 per cent, smashing the global figure of 93 
per cent." 
" 
Source: Wearesocial.sg" 
60%# 
50%# 
40%# 
30%# 
20%# 
10%# 
0%# 
Internet Activties on Mobile Phone! 
Web surfing! Social networking! Mobile online 
banking! 
Mobile shopping! VOIP programs! I have not done 
any of the internet 
activities listed 
above in the last 
30 days! 
100%# 
90%# 
80%# 
70%# 
60%# 
50%# 
40%# 
30%# 
20%# 
10%# 
0%# 
Features Used! 
MP3#player# 
Sync#with#other#devices# 
Take#video# 
WiFi/#WiMax# 
Calendar# 
Memory#expansion# 
Review/#Edit#documents# 
Turned#phone#into#hotspot# 
FM/#broadcast#radio# 
Phone#as#internet#modem# 
Conferencing#from#phone# 
2/9/14! 44!
2 REFERENCE CASE 
Recommendations 
BUILDING! 
ADVOCATES! 
XIAOMI 
GAMIFIED JOURNEYS- FACEBOOK FLASH SALES 
ONLINE! 
• Number!three!in!the!Singapore!market!amer!Apple!and! 
Samsung,!according!to!data!from!research!firm!IDC.!! 
• Overtaken!more!established!rivals!like!Sony!and!HTC,! 
and!accounts!for!10!to!20!per!cent!of!all!smartphones! 
shipped!to!Singapore!in!the!second!quarter.! 
• Decided!to!have!direct!sales!through!its!website,!and! 
also!oneT!and!twoTyear!subscrip5on!op5ons!through! 
telcos!locally."" 
2/9/14! 45!
3 
Recommendations! 
BETTER TOGETHER
3 OBJECTIVE 
Recommendations 
OBJECTIVE! TO IDENTIFY THE BEST DISTRIBUTION CHANNEL TO GAIN 
PRODUCT AWARENESS AND SALES PURCHASE 
1 
FORGING! 
STRATEGIC! 
PARTNERSHIPS! 
PARTNERSHIP! 
STRATEGIEY 
2/9/14! 47!
Recommendations 
3 
FORGING! RATIONALE OF PARTNER SELECTION 
STRATEGIC! 
PARTNERSHIPS! 
200! 
150! 
100! 
FORGING! 50! 
TRIANGLE! 
0! 
ALPHA! IOTA! EPSILON! 
SQUARE! 
CIRCLE! 
STRATEGIC! 
PARTNERSHIPS! 
PARTNERSHIP! 
1 • Subscribers base for Circle is higher thus absolute 
numbers for re-contract will be higher. " 
• This suggests greater growth potential for purchase of 
more phones than other brands. " 
• In addition, launching in phases will be able to help Xian 
Dai manage supply and inventory better as they are 
able to have real data to predict or forecast demand 
more accurately. " 
2/9/14! 48!
3 POTENTIAL CHALLENGES 
Recommendations 
FORGING! 
STRATEGIC! 
PARTNERSHIPS! 
Bringing partners 
on Board 
Convincing the service providers, CIRCLE, 
SQUARE and TRIANGLE to enter into the 
agreement might be a major challenge for Xian 
Dai." 
" 
This challenge can be resolved by putting 
forward a unique value proposition that will 
enhance Xian Dai’s brand equity and drive 
revenue." 
NOTE ! 
Although, online sales is on the increasing trend, the proportion of smartphone sales via 
online platforms is very low compared to sales via mobile operator kiosks. ! 
! 
While online channels are a must have, it is something that Xian Dai should focus in the 
long term and not for the immediate release of the Saturn Smartphone in the next 2 
months. ! 
2/9/14! 49!
Recommendations STRATEGY OUTCOMES 
BRAND LOYALTY & SUSTAINED ENGAGEMENT THROUGH TARGETED 
CHANNELS OF COMMUNCIATION & GAMIFIED JOURNEYS 
MORE COST EFFECTIVE - DIGITAL AND SOCIAL MEDIA 
CHANNELS 
BETTER INVENTORY MANAGEMENT THROUGH CONTROLLED 
SUPPLY 
2/9/14! 50!
Key! 
Success Factors!
KEY SUCCESS FACTORS Key Success 
Factors 
THE 
GLOBAL 
-LOCAL 
ADVOCATES X 
FACTOR 
1 2 3 
BETTER 
TOGETHER 
2/9/14! 52!
Conclusion!
Conclusion CONCLUSION 
OBJECTIVES CRITICAL ISSUES STRATEGIES BENEFITS 
NO UNIQUE PRODUCT/ 
SERVICE OFFERING 
NEGATIVE PERCEPTION OF 
CHINA BRANDS IN GENERAL 
DIFFICULTY IN NEW MARKET 
PENETRATION 
THEX 
FACTOR 
GLOBAL-LOCAL 
ADVOCATES 
BETTER 
TOGETHER 
IN THE FIRST 6 MONTHS 
AFTER LAUNCH 
TO ACHIEVE TOP 4 
POSITION IN MARKET 
SHARE 
FAST, EFFECTIVE 
MARKET PENETRATION 
IMPACTFUL 
BRAND BUILDING AND 
SUSTAINABLE COMMUNITY 
ENGAGEMENT 
ACHIEVE BOTH SHORT 
TERM AND LONG TERM 
SUCCESS THROUGH 
DIFFERENTIATION 
2/9/14! 54!
Questions! 
Answers! &! 
Thank You!

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Nielson Case Competition Slides - Team Rubik Top 24

  • 1. Group Members Manas Mohapatra! Neo Shi Jun! Piyush Pritam Sahoo! PLANET SATURN SINGAPORE LAUNCH PROPOSAL SINGAPORE MANAGEMENT UNIVERSITY
  • 2. AGENDA SITUATION ANALYSIS RECOMMENDATIONS ISSUES & OBJECTIVES KEY SUCCESS FACTORS Introduction CONCLUSION
  • 3. COMPANY PROFILE COMPANY PROFILE XIAN DAI ! • Top 2 smartphone manufacturer in China" " • Limited market presence – sold through multiple channels but only within the China market" " • Relatively low cost compared to other smartphones in the market" Introduction 2/9/14! 3!
  • 4. PRODUCT SPECIFICATIONS PRODUCT SPECIFICATIONS Introduction PPLLANEETT SSATTURN • Android OS" • 4.9” Full HD Touchscreen" • Built in front camera and 11mp back camera" • Built in Wi-Fi and Bluetooth capabilities" • Lithium-ion battery lasting over 450 hours of standby time" • 8.0mm thin and weighing 150g" 2/9/14! 4!
  • 6. LAUNCH ASSESSMENT ? TO LAUNCH 2/9/14! OR NOT TO! LAUNCH Situation Analysis
  • 7. MARKET POTENTIAL Analysis ANALYSIS Situation QUANTITATIVE 300.%# 250.%# 200.%# 150.%# 100.%# 50.%# .%# Smartphone Users (% of mobile phone users)! 2012# 2013# 2014# 2015# 2016# 2017# 2018# US# India# China# Asia8Pacific# World# Source: e-marketer" • Smartphone user base is ever expanding." • Growth of smartphone users in Asian counties and especially in Asia-pacific is predicted to reach at all-time high levels. " • The industry offers a bright opportunity for making huge profits. " 2/9/14! 7!
  • 8. MARKET POTENTIAL Analysis ANALYSIS Situation QUANTITATIVE INDUSTRY POTENTIAL IN THE NEXT 6 MONTHS Market Value (MV) = P X N X W" P: Potential Number of Customers! N: Number of Units bought annually ! W: Weighted average price of a unit! Market Value (MV) in the next 6 months = " 36%!of!the!popula5on!intends!to! change!from!current!phone!!to!a! smartphone!in!the!next!6!months! 5,399,000" X $227 = $441,222,624 1,944,000" Avg. price of smartphone" 2/9/14! 8!
  • 9. MARKET POTENTIAL Analysis ANALYSIS Situation QUALITATIVE IDEAL TEST MARKET • Culturally diverse" " • Politically stable" • Closer geographical location to China (greater degree of similarity/ large chinese population) " • Global city (widely varied nationalities, ethnicities, occupations)" • High smartphone penetration rate " 2/9/14! 9!
  • 10. LAUNCH ASSESSMENT 2/9/14! YES TO LAUNCH Situation Analysis !
  • 11. BUSINESS ENVIRONMENT Analysis ANALYSIS 1 2 3 Situation PROMOTION CHANNELS ANALYSIS 4 COMPETITOR ANALYSIS CONSUMER ANALYSIS DISTRIBUTION CHANNELS ANALYSIS TARGET MARKET 2/9/14! 11!
  • 12. PROMOTIONAL CHANNEL Analysis 1 ANALYSIS Situation 100%! 90%! 80%! 70%! 60%! 50%! 40%! 30%! 20%! 10%! 0%! Consumer Media Reach! PEOPLE!WHO! WATCH! TERRESTRIAL!TV! IN!THE!PAST! WEEK! PEOPLE!WHO! READ!DAILY! NEWSPAPERS!IN! THE!PAST!WEEK! PEOPLE!WHO! ACCESSED! INTERNET!IN! THE!PAST!WEEK! PEOPLE!WHO! LISTENED!TO! RADIO!IN!THE! PAST!WEEK! PEOPLE!WHO! VISITED! CINEMAS!IN! THE!PAST!WEEK! Consumer!Media! Reach! • Channels with the largest volume of consumers lies in TV, Newspaper and Internet. " • However, TV and newspaper spending are much costlier as compared to digital channel spending." 2/9/14! 12!
  • 13. PROMOTIONAL CHANNEL Analysis 1 ANALYSIS Situation XIAN DAI SHOULD TAP ON SINGAPORE’S HIGH INTERNET, SOCIAL MEDIA USAGE AND MOBILE SUBSCRIPTION RATE AS PREFERRED PROMOTIONAL (COST- EFFECTIVE) CHANNELS . IMPLICATION! 1 2/9/14! 13!
  • 14. COMPETITORS Analysis ANALYSIS Situation • Nearly 91% of the smart phone industry in Singapore is dominated by the five companies: ALPHA, EPSILON, IOTA, KAPPA and BETA. " • The three major companies namely, ALPHA, EPSILON and IOTA occupy just less than 80% of the market share. " • These companies can be considered to be the major competitors for Xian Dai and pose a potential threat to its entry into the Singapore market. " Market# Share# 0.7829! 0.9146! 0.35" 0.3" 0.25" 0.2" 0.15" 0.1" 0.05" 2/9/14! 14! 1.2! 1! 0.8! 0.6! 0.4! 0.2! 0! 0" Smart!Phones! NonTSmart!Phones! Smart!phone!pareto! 2
  • 15. COMPETITORS Analysis 2 ANALYSIS Situation 88%! 94%! 91%! 91%! 82%! 75%! 83%! 86%! 100%! 80%! 60%! 40%! 20%! 0%! Brand!Awareness! • Brand Loyalty is stronger for well established brands. " " • This leads to lower costs and higher margins Incumbent players in the market have a very strong brand awareness. (Chart: Brand Awareness) " • The top three market share holders have very high brand awareness. " • This gives them a very strong foundation to build their brand equity which ultimately drives their revenue models. (See picture)" 2/9/14! 15!
  • 16. COMPETITORS Analysis 2 ANALYSIS Situation ALPHA# Quality!&! Ease!of! OS!&!App! PriceT Value! Mul5med ia!&! Customer! Service! Baery! Life! Size! Style!&! Innova5o Messagin g! ALPHA! EPSILON# Quality!&! Ease!of! OS!&!App! PriceT Value! Mul5me Customdeia!&! r!Service! Baery! Life! Size! Style!&! Innova5o Messagin g! EPSILON! IOTA# Quality!&! Ease!of! OS!&!App! PriceT Value! Mul5medi a!&! Customer! Baery! Life! Size! Style!&! Innova5on! Messaging! Service! IOTA! • Not only that, the top three performers also posses strong perceived differentiating factors (Chart: Alpha, Epsilon, Iota). " • For example, Epsilon has a perceived Quality and Ease of use, Battery Life, Size and Style which enhance its brand equity and drive the revenue. " " • The new entrant, Xian Dai, must provide products that are better than the existing products in order for customers to see value. The intangible benefits that the company provides a strong brand equity. " 2/9/14! 16!
  • 17. COMPETITORS Analysis 2 ANALYSIS Situation IMPLICATION! 2 NEED TO DEVISE A STRONG DIFFERENTIATION STRATEGY BY LOOKING AT ITS CURRENT PRODUCT STRENGTHS AND LOOK TO EXTEND MORE UNIQUE OFFERING TO COMPETE WITH THE BIG PLAYERS 2/9/14! 17!
  • 18. CONSUMER Analysis 3 ANALYSIS Situation Gen Y represents approximately 20% of the economically active population of Singapore. " " Gen Y’s in Singapore are tech-savvy and prefer an unconventional approach." " Tobacco/alcohol, mobile phone and food are listed as top three items that Gen Y prefer to spend the most." Gen Y is a generation like no other; for starters it’s the largest generation of them all and with access to huge social networks." SMARTPHONE USER ANALYSIS Total# Smartphone# (n=566)! (n=409)! %! %! Age! 16-24" 18" 19" 25-34" 18" 20" 35-44" 21" 23" 45-54" 25" 24" 55-64" 18" 15" Mean! 40" 39" Age Range of Gen Y- early 1980s to the early 2000s" " • Represent more than half of the smartphone users" 2/9/14! 18!
  • 19. CONSUMER Analysis 3 ANALYSIS Situation Smartphones-Users ! Market Potential" SHORT TERM " 27% " LONG TERM " 45%" ! Current User Profile: No differentiation based on age, gender, use. Majority - Postpaid user, Employed, household income > $2500" NON Smartphones-Users ! Market Potential" SHORT TERM " 9% " LONG TERM " 18%" ! Current User Profile: No differentiation based on age, gender, use. Majority - Postpaid user, Employed, household income > $2500" 2/9/14! 19!
  • 20. CONSUMER Analysis 3 ANALYSIS Situation Smartphones-Users NON Smartphones-Users 1. Targeting Emphasis when Bundling with Telco" • At monthly expenditure: All 5 price levels" • Special target at price level ($1-$30 ) & ($31-$60) " • Especially for age groups 16-24 & 25-44" " 2. Potential Selling Points" • Open OS" • Upgrade to smartphones – at competitive price" • Battery life" • Exclusive Demand in general" " 3. Target Segment Priority Needs" • Using mobile for Apps, GPS, Instant messaging, Emails, Wifi, Hotspots, Sync, Mobile TV, Game (offline, online), " 1. Targeting Emphasis when Bundling with Telco" • At monthly expenditure: All 5 price levels" • Special target at price level ($31-$60)" 2. Selling Point" • High Features:Price ratio" • Higher Battery life" • Exclusive Demand in general" " 3. Fulfill market gap " • Using smartphone as Hotspots, Modem, Sync, Mobile TV" 2/9/14! 20!
  • 21. CONSUMER Analysis 3 ANALYSIS Situation 35%! 30%! 25%! 20%! 15%! 10%! 5%! 0%! Sa5sfac5on!in!General! 1! 2! 3! 4! 5! 6! 7! 8! 9! 10! Smartphone!Users! NonTSmartphones!Users! 9! 8! 7! 6! 5! 4! 3! 2! 1! 0! Sa5sfac5on!!w.r.t.!Categories! Smartphone!Users!(n=848)! (Mul5+Feature)! Trends • Increasing trend for higher satisfaction with Smartphone" • Market Gap: Battery Life (for both)" 2/9/14! 21!
  • 22. CONSUMER Analysis 3 ANALYSIS Situation IMPLICATION! NEED TO DEVISE INNOVATIVE TARGETING STRATEGIES THAT MEET THE NEEDS OF TWO VARYING TARGET MARKET – CURRENT SMARTPHONE USERS AND NON-SMARTPHONE USERS WITH A FOCUS ON GENERATION Y. 3 2/9/14! 22!
  • 23. DISTRIBUTION CHANNEL Analysis 4 ANALYSIS • 58% of the smart phone sales Situation takes place through mobile operator retail stores " • The cost of this channel will be low as it avoids costs like setting up stores, hiring sales persons etc. " • Gives Xian Dai the opportunity to leverage on the success of the telecom operators. " Mobile Distribution Channels 58%! 11%! 4%! 20%! 7%! A!mobile!Operator! retail!Shop! At!an!independent! telecom!shop! Other!Offline! Stores!/!Loca5ons! Online! Others!(Second!Hand! etc.)! IMPLICATION! NEED TO IDENTIFY THE BEST DISTRIBUTION CHANNELS TO WORK WITH AND WORK THROUGH IN ORDER TO REACH THE TARGET SEGMENT 4 2/9/14! 23!
  • 25. Situation OVERALL OBJECTIVES Analysis SUCCESSFUL LAUNCH OVERALL OBJECTIVES 80% 40% 25% 10% PRODUCT AWARENESS IN THE FIRST 6 MONTHS ACHIEVE 4th POSITION IN MARKET SHARE CONSIDERATION CONVERSION AQUISITION 2/9/14! 25!
  • 26. KEY ISSUES & OBJECTIVES Issues & Objectives WHERE Xian Dai is Key ISSUES AT HAND WHERE Xian Dai WANTS TO BE NO UNIQUE PRODUCT/SERVICE OFFERING NEGATIVE PERCEPTION OF CHINA BRANDS IN GENERAL DIFFICULTY IN NEW MARKET PENETRATION TO BE GREATLY DIFFERENTIATED FROM ITS COMPETITOR AND DOMINATE IN CERTAIN PRODUCT OFFERINGS DO NOT POSSESS STRONG DIFFERENTIATION FACTOR TO STAND OUT AMONG ITS COMPETITORS TO BE A WELL KNOWN GLOBAL BRAND WITH STRONG PRESENCE IN ITS OWN MARKET AND OTHER MARKETS LIMITED PRESENCE IN OTHER MARKETS AND GENERALLY ATTACHED WITH NEGATIVE PERCEPTION OF CHINA PRODUCTS BECOME ONE OF THE LEADING SMARTPHONE LEADING COMPANY in SINGAPORE & THE WORLD AMONG THE TOP 2 SMARTPHONE MANUFACTURER IN CHINA BUT NO PRESENCE IN SINGAPORE 2/9/14! 26!
  • 27. STRATEGY OVERVIEW Issues & Objectives Key ISSUES AT HAND STRATWEHEGREI EXiSan Dai WANTS TO BE NO UNIQUE PRODUCT/ SERVICE OFFERING 1 CHANGING NEGATIVE PERCEPTION OF CHINA BRANDS DIFFICULTY PENETRATING NEW MARKET (SINGAPORE) 2 3 THE X FACTOR GLOBAL- LOCAL ADVOCATES BETTER TOGETHER 2/9/14! 27!
  • 28. STRATEGY OVERVIEW Issues & Objectives Key ISSUES AT HAND STRATWEHEGREI EXiSan Dai WANTS TO BE NO UNIQUE PRODUCT/ SERVICE OFFERING CHANGING NEGATIVE PERCEPTION OF CHINA BRANDS DIFFICULTY PENETRATING NEW MARKET (SINGAPORE) DIFFERENTIATION STRATEGY BRANDING STRATEGY PROMOTION STRATEGY PARTNERSHIP STRATEGY CONVERSION STRATEGY 1 2 3 EXTERNAL FACTORS 2/9/14! 28!
  • 30. RECOMMENDATIONS GLOBAL -LOCAL ADVOCATES X FACTOR 1 2 THE Recommendations 3 BETTER TOGETHER 2/9/14! 30!
  • 32. 1 OBJECTIVE & SELECTION Recommendations OBJECTIVE! TO IDENTIFY AND CAPTITALISE ON PRODUCT STRENGTHS AND EXPAND SERVICE OFFERINGS THEREBY DIFFERENTIATE AMONG ITS COMPETITORS 1 CREATING! COMPETITIVE! ADVANTAGE! DIFFERENTIATE! STRATEGIEY 2/9/14! 32!
  • 33. 1 METHODOLOGY Recommendations CREATING! COMPETITIVE! ADVANTAGE! THE X FACTOR The “X” Factor " 1 DIFFERENTIATE! • Capitalizing on intrinsic product strengths" " • Strengthening through unique software & service offerings" - Unique applications that fulfills needs of smartphone users " 2/9/14! 33!
  • 34. RATIONALE OF METHODOLOGY Recommendations ALPHA# Quality!&! Ease!of!Use! OS!&!App! PriceTValue! Mul5medi a!&! CustomGera!ming! Baery!Life! Size! Style!&! Innova5on! Messaging! Service! ALPHA! EPSILON# Quality!&! Ease!of! Use! OS!&!App! PriceT Value! Mul5medi a!&! CustomGear!ming! Baery! Life! Size! Style!&! Innova5o n! Messaging! Service! EPSILON! IOTA# Quality!&! Ease!of!Use! 1 OS!&!App! PriceTValue! Mul5media! &!Gaming! Customer! Baery!Life! Size! Style!&! Innova5on! Messaging! Service! IOTA! • Not only that, the top three performers also posses strong perceived differentiating factors (Chart: Alpha, Epsilon, Iota). " • For example, Epsilon has a perceived Quality and Ease of use, Battery Life, Size and Style which enhance its brand equity and drive the revenue. " " • The new entrant, Xian Dai, must provide products that are better than the existing products in order for customers to see value. The intangible benefits that the company provides a strong brand equity. " 2/9/14! 34!
  • 35. 1 RATIONALE OF METHODOLOGY Recommendations Xian!Dai! Saturn! Samsung!Note! 3! iPhone!5s! Opera5ng!System! Android!OS! Android!4.3! iOS7! Screen!size! 4.9"!! 5.7"! 4.0"! HD! Yes! Yes! Yes! Touch!Screen! Yes! Yes! Yes! Wifi! Yes! Yes! Yes! Bluetooth! Yes! Yes! Yes! Baery!Life! 450!hours! 225!hours! 420!hours! Baery!! LithiumTIon! LiTPo! LiTIon! Width! 8.0mm!thin! 8.3mm!thin! 7.6mm!thin! Weight! 150g! 168g! 112g! Total# Key Drivers" Messaging! 17%! Baery!Life! 15%! Size! 15%! Mul5media!&!Gaming! 14%! Style!&!Innova5on! 13%! Customer!Service! 12%! PriceTValue! 11%! OS!&!App! 1%! Quality!&!Ease!of!Use! 1%! • The new entrant, Xian Dai can capitalise on its battery life feature to distinguish itself from its competitors. " • They can also look into developing innovative improvement applications(able to produce in short term) to improve such as messaging and multimedia & gaming so strengthen its unique offering. " 2/9/14! 35!
  • 37. 2 OBJECTIVE Recommendations OBJECTIVE! TO DEVISE THE BEST PROMOTIONAL AND BRANDING STRATEGY THAT WILL HAVE THE MOST IMPACT FOR SALES AND PRODUCT AWARENESSS BUILDING! ADVOCATES! GLOBAL BRAND! ONLINE! LOCALISED STRATEGIES! 1 2 BRANDING! PROMOTION! STRATEGIES 2/9/14! 37!
  • 38. 2 GLOBAL BRAND! METHODOLOGY Recommendations LOCALISED STRATEGIES! GLOBAL BRAND! LOCALISED STRATEGIES! GLOBAL LOCAL 1 ADVOCATES BRANDING! Adopting Global Branding (Made for the world) ! • Renaming in multiple languages and include in all promotional materials " " Localised campaigns that feature local celebrities/ influencers and working with non-competing local brands! • Virtual life events features local gamers and Youtube Singers " 2/9/14! 38!
  • 39. 2 RATIONALE OF METHODOLOGY Recommendations GLOBAL BRAND! LOCALISED STRATEGIES! GLOBAL BRAND! LOCALISED STRATEGIES! 1 BRANDING! Insights • Brands made in China are perceived to have low, substandard quality Perceived as “imitation” of an original: because of the “spelling” of some Chinese brands, e.g., Alfa for Alpha " • Willingness to buy is low BUT customers accept global brands that are marked “made in China” which means factory is “authorized” and quality control measures are in place." • Brand as global brand" • Localised naming via language translation" 2/9/14! 39!
  • 40. 2 REFERENCE CASE Recommendations GLOBAL BRAND! LOCALISED STRATEGIES! LENOVO • Already!the!largest!PC!company!in!the!world!since!July! 2013,!Lenovo!is!on!its!way!to!achieving!its!goal!of! becoming!the!No.!1!company!in!smartTconnected! devices.!! • With!opera5ons!in!more!than!60!countries!and!sales!in! about!160!na5ons,!Lenovo!has!become!a!mul5na5onal! company.! • Lenovo!has!focused!on!developing!a!massive!and! sophis5cated!branding!strategy,!tailoring!its!marke5ng! to!different!local!markets.! 2/9/14! 40!
  • 41. 2 METHODOLOGY BUILDING! Recommendations ONLINE! ADVOCATES! BUILDING! ONLINE! ADVOCATES! GLOBAL LOCAL 2 ADVOCATES PROMOTION! Advocate Marketing " • Social media community building " " Digital and online membership system " • -Referral to stores “ points initiative”" " • Gamified journey for the launch" 2/9/14! 41!
  • 42. 2 METHODOLOGY BUILDING! Recommendations ONLINE! ADVOCATES! GAMIFIED JOURNEYS SOCIAL MEDIA ENGAGEMENT PLAN GLOBAL LOCAL ADVOCATES 2/9/14! 42!
  • 43. 2 RATIONALE OF METHODOLOGY Recommendations 2 BUILDING! ONLINE! ADVOCATES! BUILDING! ONLINE! ADVOCATES! PROMOTION! Total&(n=163)& 15%$ 13%$ 12%$ 6%$ 5%$ 11%$ 12%$ 8%$ 8%$ 10%$ Looked$at$phone$displays$in$shops$ Spoke$to$friends/colleagues/rela?ves$ Looked$at$adver?sements$ Looked$on$service$provider's$site$on$the$ Internet$ Looked$on$manufacturer's$site$on$the$ Internet$ Read$phone$leaflets/brochures$ Read$reviews$and$blogs$on$the$Internet$ Read$in$magazine$or$papers$ Spoke$to$a$phone$salesperson$ Via$an$event$or$roadshow$ • WOM and Displays are most effective promotional mediums" • Our strategy will involve creating gamified journeys - product advocates to bring their friends/relatives to product displays and explain the product specifications and attribute to earn discount or membership points for discount at next purchase off related accessories" • " • This will combine the two most effective promotional channels " 2/9/14! 43!
  • 44. 2 RATIONALE OF METHODOLOGY BUILDING! Recommendations ONLINE! ADVOCATES! Singapore has the world’s second highest social penetration rate in Singapore at 59 per cent, more than double the global average of 26 per cent. " " Social media users in Singapore spend 2.2 hours on average per day on all social media channels, slightly above the world average of 2.0 hours. " " The city state’s Internet penetration rate is 73 per cent, above the global average of 35 per cent." " The mobile penetration rate in Singapore stands at 148 per cent, smashing the global figure of 93 per cent." " Source: Wearesocial.sg" 60%# 50%# 40%# 30%# 20%# 10%# 0%# Internet Activties on Mobile Phone! Web surfing! Social networking! Mobile online banking! Mobile shopping! VOIP programs! I have not done any of the internet activities listed above in the last 30 days! 100%# 90%# 80%# 70%# 60%# 50%# 40%# 30%# 20%# 10%# 0%# Features Used! MP3#player# Sync#with#other#devices# Take#video# WiFi/#WiMax# Calendar# Memory#expansion# Review/#Edit#documents# Turned#phone#into#hotspot# FM/#broadcast#radio# Phone#as#internet#modem# Conferencing#from#phone# 2/9/14! 44!
  • 45. 2 REFERENCE CASE Recommendations BUILDING! ADVOCATES! XIAOMI GAMIFIED JOURNEYS- FACEBOOK FLASH SALES ONLINE! • Number!three!in!the!Singapore!market!amer!Apple!and! Samsung,!according!to!data!from!research!firm!IDC.!! • Overtaken!more!established!rivals!like!Sony!and!HTC,! and!accounts!for!10!to!20!per!cent!of!all!smartphones! shipped!to!Singapore!in!the!second!quarter.! • Decided!to!have!direct!sales!through!its!website,!and! also!oneT!and!twoTyear!subscrip5on!op5ons!through! telcos!locally."" 2/9/14! 45!
  • 47. 3 OBJECTIVE Recommendations OBJECTIVE! TO IDENTIFY THE BEST DISTRIBUTION CHANNEL TO GAIN PRODUCT AWARENESS AND SALES PURCHASE 1 FORGING! STRATEGIC! PARTNERSHIPS! PARTNERSHIP! STRATEGIEY 2/9/14! 47!
  • 48. Recommendations 3 FORGING! RATIONALE OF PARTNER SELECTION STRATEGIC! PARTNERSHIPS! 200! 150! 100! FORGING! 50! TRIANGLE! 0! ALPHA! IOTA! EPSILON! SQUARE! CIRCLE! STRATEGIC! PARTNERSHIPS! PARTNERSHIP! 1 • Subscribers base for Circle is higher thus absolute numbers for re-contract will be higher. " • This suggests greater growth potential for purchase of more phones than other brands. " • In addition, launching in phases will be able to help Xian Dai manage supply and inventory better as they are able to have real data to predict or forecast demand more accurately. " 2/9/14! 48!
  • 49. 3 POTENTIAL CHALLENGES Recommendations FORGING! STRATEGIC! PARTNERSHIPS! Bringing partners on Board Convincing the service providers, CIRCLE, SQUARE and TRIANGLE to enter into the agreement might be a major challenge for Xian Dai." " This challenge can be resolved by putting forward a unique value proposition that will enhance Xian Dai’s brand equity and drive revenue." NOTE ! Although, online sales is on the increasing trend, the proportion of smartphone sales via online platforms is very low compared to sales via mobile operator kiosks. ! ! While online channels are a must have, it is something that Xian Dai should focus in the long term and not for the immediate release of the Saturn Smartphone in the next 2 months. ! 2/9/14! 49!
  • 50. Recommendations STRATEGY OUTCOMES BRAND LOYALTY & SUSTAINED ENGAGEMENT THROUGH TARGETED CHANNELS OF COMMUNCIATION & GAMIFIED JOURNEYS MORE COST EFFECTIVE - DIGITAL AND SOCIAL MEDIA CHANNELS BETTER INVENTORY MANAGEMENT THROUGH CONTROLLED SUPPLY 2/9/14! 50!
  • 52. KEY SUCCESS FACTORS Key Success Factors THE GLOBAL -LOCAL ADVOCATES X FACTOR 1 2 3 BETTER TOGETHER 2/9/14! 52!
  • 54. Conclusion CONCLUSION OBJECTIVES CRITICAL ISSUES STRATEGIES BENEFITS NO UNIQUE PRODUCT/ SERVICE OFFERING NEGATIVE PERCEPTION OF CHINA BRANDS IN GENERAL DIFFICULTY IN NEW MARKET PENETRATION THEX FACTOR GLOBAL-LOCAL ADVOCATES BETTER TOGETHER IN THE FIRST 6 MONTHS AFTER LAUNCH TO ACHIEVE TOP 4 POSITION IN MARKET SHARE FAST, EFFECTIVE MARKET PENETRATION IMPACTFUL BRAND BUILDING AND SUSTAINABLE COMMUNITY ENGAGEMENT ACHIEVE BOTH SHORT TERM AND LONG TERM SUCCESS THROUGH DIFFERENTIATION 2/9/14! 54!