Introduction
1.1 Brief Description
In modern life, the mobile phone has been part and parcel of human life and is one of the significant shopping products that is indispensable. The ever-increasing technological advancement has seen mobile phones advance in the ease of operations and thus attract more significant consumption demands globally. The industry of mobile phones has become one of the most competitive industries in the world, having diverse competitors, including Apple, Samsung, Huawei, Google Pixel, Xiaomi, One Plus, and Sony Corporation. The mobile phone has become one of the most iconic representations of one’s lifestyle and personality.
The main goal of a mobile phone is to enable effective communication. The daily consumers of mobile phones involve navigation, entertainment, social networking, and offices. Market segmentation of mobile phones has expanded to productivity, personal expression, and for purposes of entertainment.
1.2 How Mobile Phones Fulfill the Needs of Segment
Mobile Phones have various functions they fulfill, including;
Communication: Through mobile phones, consumers are able to communicate with their friends, colleagues, and family by voice calls, video calls, and text messaging.
Entertainment: Mobile Phones also fulfill the need for entertainment. Entertainment such as gaming, social media apps, music, and video streaming are used by consumers as portable entertainment models (Karjaluoto et al., 2020).
Productivity: Mobile Phones have been one of the most effective tools that enhances productivity. Mobile Functions such as documents, emails, and editors aid consumers who are working to plan and schedule their daily activities while in offices.
Convenience: Mobile Phones have eased some functionality that was done by other tools. Tools such as calculators, photograph cameras, and clocks have been replaced by mobile phones and can be accessed anywhere and with ease.
Personal Experience: Mobile phones have features and styles that allow consumers to express their lifestyles (Syeed et al., 2020). Thus, consumers have developed an emotional connection with their mobile phones.
Competitor Analysis
2.1Key Market Environment
Mobile Phones have an ever-changing environment that consists of macro and micro factors that align competition among the different mobile companies.
Microenvironment
Microenvironment factors are ones that directly impact the normal operations of the mobile phone market. They include;
Customers: The presence of diverse mobile phone customers, such as government organizations, individuals, and businesses, has diversified the advancement of mobile phone companies. Different mobile companies have advanced their mobile phones to suit the consumers.
Suppliers: Suppliers play vital roles in the mobile industry, such as providing different companies with different mobile phone parts such as cameras, processors, and batteries.
Competitors: The Mobile Industry is composed of competitors such as Xiaomi, Huawei, Samsung, and Apple that base their competition on pricing, product innovation, and brand reputation.
Intermediaries: Mobile Phones have various intermediaries that work to ensure that sales are done. Intermediaries include online marketplaces, carriers, and retailers, who also influence pricing strategies.
Macro environment
Macro environment factors are essential elements that affect the broader mobile phone market conditions. They include;
Economic Factors: Economic factors impact the purchasing power of consumers, and GDP growth can impact the demand for mobile phones globally.
Technological Factors: Recently, there has been an increase in technological advancement, thus leading to improvements in the manufacture of various phones. For phone companies to remain competitive, technological advancement is critical (Chen et al., 2019).
Social Factors: The trends of the society and the culture determine how consumers are attracted to particular mobile phones. Some communities that prefer eco-friendly mobile phones will affect the marketing and design of particular mobile phones.
Environmental Factors: Recently, various regulations and guidelines have been put in place to regulate mobile manufacturers that do not adhere to environmental considerations, thus impacting the mobile phone industry.
Global Factors: Geopolitics and internal issues of a particular nation may impact the distribution channel and the demand for particular mobile phones.
2.2 Key Competitors
The mobile industry is one of the major industries in the world that has competition. The competition is comprised of the major mobile phone companies that include;
Apple Inc: Apple mobile phone manufacturer is one of the significant mobile phone-producing companies that holds the biggest shares in terms of the attraction of consumers. This is because the company has continued to enhance its technology and the image of the mobile phones. The Apple Company is known for efficient innovation and services through its iPhones.
Samsung: Samsung company phone producers have also been a giant in the mobile industry. Samsung, over the years, has been producing budget-friendly phones and quality phones, making large consumers increasingly demand their mobile phones. Their display of potential technological mobile phones increases the different choices of phones that consumers can choose from.
Huawei: Chinese Huawei mobile phones have been known for their quality camera phones and the increasing advancement of technology. Huawei mobile phones compete both locally and internationally.
Xiaomi: Consumers that, after value-for-money, mobile phones go after Xiaomi smartphones. The smartphone company has progressively produced a broad range of cost-conscious consumer smartphones.
Google Pixel: Google Company ventured into making smartphones with precision on quality cameras and Android operations system. Google competes in the smartphone industry through the inclusion of services and software in their smartphones.
Each of the mobile competitors has a precise target audience and value proposition.
2.3 SWOT Analysis
SWOT analysis is an inclusion of the strengths, weaknesses, opportunities, and threats that are present in the mobile phone industry as a shopping product. In this discussion, the strengths, weaknesses, opportunities, and threats will be discussed.
Strengths:
Technology Innovation: Mobile companies have continued to invest in technology. Continuous investment in technology has improved the performance and features of mobile phones (Hamari et al., 2020).
Brand Recognition: Various smartphone manufacturers have developed their brands. The establishment of brands has increased the sales and marketing of different companies.
Diverse Product Portfolio: The ability of mobile companies to offer a variety of phones that are budget-friendly opens up diverse and different market segments.
Ecosystem Integrations: Mobile companies such as Apple have advanced their smartphones to offer friendly ecosystem devices to consumers.
Weaknesses
High Competition: Due to high competition in the mobile industry, it is challenging for new participants to establish a good market share.
Dependency on Supplier: Due to high dependency on suppliers, a slight disruption of the supply chain will hinder the continuous sales of smartphones and the production of mobile phones.
Rapid Technology Change: Technological advancement requires enormous capital to acquire newly produced smartphones. Due to the ever-changing technology, it is a challenge for some of the smartphone companies to invest in technology continuously.
Data Security Concerns: Data security has been on alert due to the advancement of technology. Increased use of smartphones by consumers poses the question of whether all uses are secure from data attacks.
Opportunity
Emerging Markets: The growth of African, Asian, and Latin American markets has increasingly provided new markets for mobile manufacturing companies to sell their products.
5G Technology: Due to the introduction of the 5G technology network, mobile phones have been improved in terms of connectivity and have also increased the use of the Internet of Things.
Sustainability: Increased demand for eco-friendly products from consumers makes it an opportunity for smartphone manufacturers to produce their products continuously.
Threats
Intense Competition: Increased competition among smartphone producers can result in reduced prices to attract most consumers. Thus, there is a loss in the profit margins from the original gain before intense rivalry.
Supply Chain Disruption: Supply chain disruption can be a result of geopolitics, pandemics, and natural disasters. A disruption of the supply chain could result in low distribution and production of mobile phones in a given market segment.
Application of Marketing Mix
The market mix includes the 4 Ps, mainly product, price, place, and promotion. In this section, I will explore how mobile companies explore and apply the 4 PS in market segments.
3.1 Product Consideration
Product Innovation and Differentiation
In the ever-advancing technological era, the mobile market needs to appreciate technology to increase demand for mobile phones. Mobile companies that invest in technological development will enhance the performance and features of their mobile phones. An increase in product differentiation is also essential; mobile companies can use strategies to improve on innovative designs, camera technology, and processor technology as a way of establishing the uniqueness of products to attract consumers (Asdi & Putra, 2020).
3.2 Distribution Considerations
Channel Selection
Consideration of good market channels improves the profit margins of various mobile companies. Distribution channels can be done through online marketplaces, retail stores, and brand stores. A correct channel distribution enhances sales, lowering costs and thus improving the brand experience for their consumers.
3.3 Pricing Consideration
Pricing Strategies
Various pricing strategies are used by mobile companies, including bundle pricing, value-based pricing, and skimming pricing, all in an attempt to capture and lure consumers. The different types of pricing strategies are all after the target market and to reduce the competitive landscape in the mobile industries.
3.4 promotion Ideas
Integrated Marketing communications
Eze et al. (2019) argued that Integrated marketing communication includes the promotion of similar activities in one channel and consistently, such as influencer partnerships, public relations, and advertising in events. Through promotion in these scenarios, companies can create an enhanced engagement with consumers.
Conclusion and Summary
The mobile industry is one of the most competitive industries that has an ever-changing technology that suits the consumer’s demands. Companies, therefore, must have a better understanding of the competitors and customers in the larger geographical markets. In this report, I have explored the integration of mobile phones, from simple communication gadgets to multifaceted smartphones that offer various functions.
In conclusion, Companies that are willing to invest in research in the mobile industry by engaging their customers and understanding market trends will be able to survive and dominate the markets.
References
Asdi, A., & Putra, A. H. P. K. (2020). The effect of the marketing mix (4P) on buying decision: Empirical study on brand of Samsung smartphone product. Point Of View Research Management, 1(4), 121-130.
Chen, S. C., & Lin, C. P. (2019). Understanding the effect of social media marketing activities: The mediation of social identification, perceived value, and satisfaction. Technological forecasting and social change, 140, 22-32.
Eze, S. C., Chinedu-Eze, V. C., Bello, A. O., Inegbedion, H., Nwanji, T., & Asamu, F. (2019). Mobile marketing technology adoption in service SMEs: a multi-perspective framework. Journal of science and technology policy management, 10(3), 569-596.
Hamari, J., Hanner, N., & Koivisto, J. (2020). ” Why pay a premium for freemium services?” A study on perceived value, continued use, and purchase intentions in free-to-play games. International Journal of Information Management, 51, 102040.
Karjaluoto, H., Shaikh, A. A., Saarijärvi, H., & Saraniemi, S. (2019). How perceived value drives the use of mobile financial services apps. International Journal of Information Management, 47, 252-261.
Syeed, A. B., Bhat, S. H., & Kaur, D. (2021). Study of the mobile app development industry. International Journal of Scientific Research in Computer Science, Engineering and Information Technology, 7(6), 154–170.
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