1. WHAT ARE YOU CARRYING?
A SMART PHONE?
OR
A PAPER WEIGHT?

2. DO YOU HAVE THE LATEST SMART
PHONE IN THE MARKET?

3. ARE YOU THINKING TO CHANGE
YOUR SMARTPHONE?

4. WHAT IF THE NEXT MODEL COMES
WITHIN ONE MONTH OF YOUR
PURCHASE?

5. ARE YOU UPDATED?

6. MANY PROBLEMS???
.
.
.
ONE SOLUTION 

7. THINK BIGGER
.
THINK BETTER
.
THINK SMARTER
.

8. THINK ABOUT

9. TRACKR

10. PHONES ARE NOT MUTANT
ANYMORE !!!

11. OUR PRODUCT
• Value- Communication-Customization
• New concept called “Phone Bloks”
• Modular smart phone concept
• It is a social or esteem need
• Called as “ Pseudo basic need” in modern world
• Designed by Dutch designer Dave Hakkens
• In 2013, Project Ara- Google & Motorola
• Expected release- early 2015

15. OUR TECHNOLOGY
• Uni prog, m-phy
• Modules held by electro permanent magnets
• Cross between permanent magnet and electro
magnet
• Passive component-no power consumption
(OFF State-ON state switching)
• Shell maker app for 3-D shells

16. IDEA :
• Smart phone with modular components
• Easily removable defective/ performance
limiter parts
Dropped ideas
• Detachable screens- not feasible
• Detachable motherboards-not feasible
• Universal screen size

17. %
Snapshot of Digital India – August 2013
1
5.
5.
%
%
Indian Smartphone Market Shares
By Operating System
90%
10%
Others
By Brand
Others
32.7
0.9%
9
9%
18.8

18. Strengths
First movers advantage
Hardware customization
Operating system
Economic
Eco friendly
Weakness
New brand
Minute lags in performance
Not a one time investment
Opportunities
SWOT
Hyper growth stage of smartphone
market
Patented product
Minor market penetration
Threats
From minor manufacturers
Loss of brand value
Saturation of mobile market

19. Survey Results
• Sample size- 30
• Survey conducted from 6/9/2014 to
6/10/2014
• Questionnaire of 17 questions

20. No. of devices Owned
1
43%
>2
27%
2
30%
7%
52%
41%
Brand
Least
Important
Important
Most
Important
0%
10%
90%
Price
Least Important
Important
Most Important

21. Least
Important
13%
Camera
Most
Important
67%
Important
20%
Processor and RAM
3%
7%
90%
Least
Important
Important
Most
important
Least
Important
3%
Important
0%
Battery
Most
Important
97%
Connectivity Options
Least
Important
10%
Important
33%
Most
important
57%

22. Operating System
Least
Important
23%
Important
40%
Most
important
37%
Personalisation
Least
Important
Most
Important
67%
Important 16%
17%
Replacement/Upgrade Cycle
3%
30%
30%
17%
20%
6
12
18
24
>24

23. Results of Focus group Discussion:
• Sample size- 9 people
• Conducted on 24/09/2014
Interpretations:
Advantages:
 User friendly
 Highly customizable
 Cost reduction
 Lesser e-waste
 Personalization
 More batteries in a single phone

24. Questions/ Doubts:
• Loss of Brand value
• Security of the bloks
• Compatibility
• Operating system
• Chance of increase in e waste
• Not a one time expenditure
• Look of the phone changes
• Easily hack able?
• Number of pins
• New block development for new hardware?

25. Suggestions/ Requirements:
• Software updates should be taken care
• Security issues
• Include advanced features- Finger print
scanner etc.
• Maintain difference between basic, normal
and premium segments
• Make new bloks affordable
• Exchange of old bloks to reduce e waste

26. Retailers Survey
• Number of retailers interviewed- 4
• Most sold phones- Highlights
Retailer name Highest selling models Highlights according to
customer perception
Sagar Mobiles
Secunderabad
Samsung Galaxy S Duos
Micromax Canvas
Price, Design
Camera, Battery
Suman creations
Kakinada
China mobiles,
Micromax, Samsung galaxy
low end models
Design, Music, Price,
Battery
Univercell Secunderabad Sony, Samsung, Nokia low
end, HTC
Brand, Camera, Music
Sangeetha mobiles
Kakinada
Nokia Lumia, HTC Camera, Brand, OS

27. Consumer Behavior
Perceptual mapping

28. • Segmentation and Targeting:
GEOGRAPHIC
MARKET SEGMENT TARGET MARKET
City Delhi, Mumbai, Chennai etc.,
Population >5,00,000
Type Urban
BEHAVIORAL
MARKET SEGMENT TARGET MARKET
Benefits Customization, economy,
quality
Occasions Regular
User status Potential, regular, first time
Loyalty status medium
Usage rate Medium user, heavy user
Readiness Aware, unaware, interested
Attitude towards product Positive, enthusiastic

29. DEMOGRAPHIC
Market Segment Target market
Age 18-45
Gender Male, Female
Income > Rs. 300000
Family life cycle Married, unmarried, young,
PSYCHOGRAPHIC
old, children, without children
etc.
Occupation Professionals, technical,
students
Education Graduates, high school
graduates
Social class Lower middle, Middle, upper
middle, rich
Market segment Target market
Personality enthusiastic, ambitious, tech
savvy

30. POSITIONING
• Early stages of brand awareness
• Brand positioning must be concentrated
Brand
Identity
Brand
Salience
Brand
awareness
• Benefit positioning- Flexibility, continuous
hardware updates, economic
• Comparison- with other competitors

31. POP:
• Smart phone with all kind of latest features
• Frequently updated technology
• Customer driven innovation
POD:
• Upgradable hardware
• Eco friendly product
• Highly customizable

32. Sales Forecast
• A- definitely would buy = 40%
• B- % of definites who actually buy= 80%
• C- % of definite purchases =32%
• D- who probably would buy =43.33%
• E-% of probables who actually buy=30%
• F- Probable purchases = 13%
• G- Total trail rate= (C+F)=32+13= 45 %

33. • H- total households (millions)=246.6
• I- Penetration of House holds= 74.09 %
• J- Awareness= 10%
• K- ACV = 0.81%
• Total trail households= G*H*I*J*K
• L- Total trail house holds= 0.0665
• Retail selling price= Rs. 19000
• Retail sales Value= 19000*0.0665=Rs 126.3 Crores
• http://www.devinfolive.info/censusinfodashboard/website/index.php/pages/household_size
/total/Households
• http://www.trai.gov.in/WriteReadData/PressRealease/Document/Press%20Release-TSD-Mar,
14.pdf
• http://www.livemint.com/Industry/P6wpuhlHBY1c9V5lHBPtfL/Smartphone-sales-in-India-jump-
over-200-in-Q1-2014-CMR.html
• http://timesofindia.indiatimes.com/tech/tech-news/Flipkart-sells-1-million-Motorola-phones-
in-5-months/articleshow/38093792.cms

34. OUR PRICING STRATEGY
1. Pricing objective
• Primary Aim-Maximizing market share
• Maximum market skimming is secondary
2. Determining Demand
• Demand estimation by survey
• Smart phone market is highly elastic
3. Estimating costs
• Average fixed cost per unit= Rs. 7000
• Average variable cost per unit= Rs. 10000

35. 4. Analyzing competitors costs price and offers
• Manufacturing cost of iPhone 4S= Rs. 12000
• Retail markup= Rs. 8000
• Price= Rs. 20000
5.Pricing Method followed- Penetration pricing
• Initial offerings- cheaper price (estimation of
Rs. 19000)
• Max revenue from post sale purchases
Examples: Temple run, Subway surfers

36. PERCEIVED VALUE PRICING
• Customer’s perceived value – Customization, Economic, Eco friendly, Warranty,
Telephonic Support
• Competitor – I phone 4s
• I phone 4s 8GB price: Rs. 20000
• Comparative analysis:
Price Differential
Measures
TRACKR IPHONE 4S
Warranty Two-year one-year limited
warranty
Eco Friendly Yes No
Hardware
Yes No
Customization
Software
Customization
Yes Yes
Telephonic Support Life Time 90 Days

37. Pricing:
Rs. 20,000 is the phone’s price if it is only equivalent to
competitor’s product
Rs. 8,000 is the price premium for TRACKR’s superior
Customization
Rs. 2,000 is the price premium for TRACKR’s Eco friendly
attribute
Rs. 3,000 is the price premium for TRACKR’s Telephonic
support
Rs. 3,000 is the price premium for TRACKR’s longer
warranty
-----------------------------------
Rs. 36,000 is the Total Economic Value

38. • Goal of Marketing: Total Economic Value =
Perceived Value
TEV= Rs. 36000
Customer Profit=
Rs. 17000
PV= Rs.31000
Price=Rs. 19000
Company Value/Profit =
Rs. 2000
Cost of Goods Sold = Rs. 17000

39. Range Features Price points
Basic 1 GB RAM, 8GB internal
memory, 3G, Wi fi, 5 MP
camera, 4.0 inch screen, 1
Battery, block upgradable
compatibility
Rs. 19000
Normal/ Standard 2 GB RAM, 16GB internal
memory, 4G, Wi fi, 8MP
camera, 4.5 inch screen, 2
Batteries, block upgradable
compatibility
Rs. 25000
Premium/High end 3GB RAM, 64GB internal
memory, 4G, Wi fi, 13 MP
camera, 5 inch screen, 3
Batteries, block upgradable
compatibility
Rs. 32000

40. Component Low end (in Rs.) Medium (in Rs.) High end (in Rs.)S
Camera
8MP-16MP-20MP
2000 3500 5000
Battery 1500 2000 2800
RAM
1GB-2GB-3GB
1500 2000 3000
Processor
Intel-Cortex-
Snapdragon
3300 5000 8000
Speakers
Beats etc.,
2000 3200 4000
Connectivity
options
1800 2600 3500

41. OUR MARKETING STRATEGY
• Our strategy decides the price
• Initial strategy followed is Flash Sale
• Initial Sale only on e-commerce website flipkart
• Max sale- own website (www.trackr.com)
• Buzz marketing
• Reduced Inventory costs
• Publicity through social networking and internet
• Very low advertising costs

42. • Strategic tie-ups with e-commerce websites in
some countries
• Cross selling
• Upselling
• Shortage of supply- creates buzz
• Maximize market share
• Flash sale on every Sunday
• Bloks available on Blok store
• Customized 3D printing app on Blok store

43. Economics of Normal Sale
Costs & prices
Output

44. Economics of Flash Sale
Cost & Price
output

45. HOW DO WE COMMUNICATE?
• Lower advertising costs
• Communication objective- Category need
• Design of communications:
Message strategy- POP, POD
Creative strategy- Informational (product
attributes)
• Communication channel- Internet, social Media

46. Website (Blok
store)
Events and
Experiences
Public relations and
Publicity
Direct and
Interactive
marketing
Videos highlighting
phone attributes
Events like World
Mobile congress
etc.
Constant updates
to customers
Facebook
Twitter
Hash-tags
Online forums and
chat rooms for
bloggers
Road shows like
Motorola roadshow
Articles in
magazines and
newspapers
Email marketing
Building online
community
Celebrity
endorsements
Press kits Adf.ly etc. Online
advertisements
Customer support Product testimonial
videos
Focus on
community
relations
Advertising through
Google, Yahoo etc.,

47. Controversies
• Phone gets fatter
• Drop in battery life
• Speed of communication between the
modules
• Increased electronic waste

48. References
• http://tech.firstpost.com/news-analysis/
mobile-handset-sales-in-india-to-reach-
251-million-in-2013-gartner-47810.html
• http://www.emarketer.com/Article/US-Smartphone-
OS-Race-Still-Close-Men-
Younger-Users-Favor-Andro. In eMarketer
• http://www.emarketer.com/Article/US-Smartphone-
OS-Race-Still-Close-Men-
Younger-Users-Favor-Android/1009961

49. • http://edn.com/electronics-news/4358005/Know-your-supply-chain-costs
(accessed on 9/5/2014)
• http://www.google.com/url?sa=t&rct=j&q=&esrc=s&source=web&cd=2&v
ed=0CDIQFjAB&url=http%3A%2F%2Funpan1.un.org%2Fintradoc%2Fgroup
s%2Fpublic%2Fdocuments%2Fun%2Funpan001216.pdf&ei=8R4xVMnoF8jI
uATJhIHIDA&usg=AFQjCNE9LSTvvNOKg3EwX36IptdFh0XI_g&sig2=JEzLhftU
cY1e5gHmJrrS3A&bvm=bv.76802529,d.c2E&cad=rja
• (accessed on 10/5/2014)
• http://www.supplychainopz.com/2013/09/amazon-supply-chain.html
(accessed on 10/5/2014)
• http://articles.economictimes.indiatimes.com/2014-09-
29/news/54437136_1_apple-india-iphone-5s (accessed on 8/5/2014)
• http://yourstory.com/2014/09/xiaomi-pricing-strategy-hugo-barra/
(accessed on 8/5/2014)
• http://blog.custora.com/2014/07/custora-pulse-mobile-report/

50. MEET THE SMARTEST SMARTPHONE
EVER !!!

51. THANK YOU
T………………………. TEJUS
R……………………….RAVI
A……………………….AKANKSHA
C……………………….CHANAKYA
K………………………..KHANSA
R………………………..RAJEEV