The importance of reviewing your strategy: Nokia

Between 1984 and 2012 Nokia brought some legendary phones into the market. Nokia was one of the most popular brands in that time. The Nokia 3310 was a great success, with 125 billion sold phones and the Nokia 1100 sold even better: 250 billion phones.

When the smartphone made its big entrance into the market (>2012), Nokia was missing the point. They were not active on the market for two years. Also, Nokia has been taken over by Microsoft, so they lost their brand name.


Symbian

Nokia had her own operating system: Symbian. This operating system had a 62,5% market share in 2007, while Nokia had a 50% market share with their phones. Nowadays, Symbian doesn’t exist anymore, or barely. The latest model with the Symbian operating system, the Pureview 808, is dated from 2012.

Since mid-2010 it’s going downhills with Nokia’s market share. It appears that Symbian wasn’t suited for being an operating system on smartphones with touchscreens.

Value proposition

The marketing department from Nokia didn’t seem to understand what their value proposition was. The value proposition is the reason why people are interested in buying your product. When it’s not clear for the marketing department where to focus on, there is a small chance that their marketing campaign will work. If you don’t have a proper value proposition, people don’t have a reason to buy your products.

Most of Nokia’s employees had no idea how their product was better than others. For example: iPhones are seen as the most prestigious phones. If you have a MacBook, there are several reasons to choose for an Apple-family member, like an iPad or iPhone.

Samsung’s Android-phones are seen as the most diverse phones. Also, some people state that the Samsung phones are more user friendly than others.

But how do we see Nokia? They have no value proposition. We know that the classic models will never break, but their smartphones have nothing special. Not like Samsung or Apple offer.

In our opinion, you should have a proper value proposition so you can focus on good marketing. Effective marketing is important: let people understand what the main reasons are to buy your product. This is where Nokia failed.

What do you think? Did Nokia fail mainly because of her bad marketing and the lack of a proper value proposition? Or can you name other main reasons that made Nokia fail?

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One thought on “The importance of reviewing your strategy: Nokia

  1. What happened to Nokia is no secret: Apple and Android crushed it. Apple released their iPhone and Android offers their galaxy line. What went wrong with Nokia? Maybe they havent spent a lot of money to their research and development, maybe they had hired employees who are not innovative enouch or maybe they had Just bad luck. With my background, it is not possible in order to conclude what went wrong with Nokia.

    Liked by 1 person

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