Customer Segmentation

Business to Customer

Nokia has a huge market; almost 5 billion people own a mobile phone in the world, and Nokia has about a third of all hand sets sold.

Nokias biggest customer group at the moment would have to be young people. It shows it Nokias ads, they are very colourful, fun and show connectivity.

Today’s youth wants connectivity and social media in their hand set, like access to face book, twitter and other social networking sites.

Business to business

Nokia uses different companies in different market segments to reach their target market for a specific product, service or series of a product (Series meaning e.g. N-series, E-series...).

Meaning that Nokia products created for people who are concerned with appearance would be “tied” to other companies products that are in the same segment, for example using Dolce & Cabanas hand bags to market the 8800 sirocco diamond edition, by promoting the phone with the hand bag and then giving a discount for the phone with every hand bag purchase.

What is meant by this is that, marketing stylish phones to people would be accomplished by cutting a short term marketing deal with, for example Dolce & Cabana, so when the customer walks into the store and purchase the hand bag they will have an incentive to purchase that phone because they would be saving some money.

Segmenting by purchase behaviour

Nokia has a huge market with many different segments divided by needs, therefore Nokia has come up with different product lines for different segments.

Some examples of Nokia’s product lines include the C-series, E-series, X-series, N-series and the N-gages.

Nokia has a number of different product lines for its customers demands:

1000 series – the ultra basic and most affordable Nokia handsets, at first designed for developing countries.

2000 series – Basic series is a small upgrade from the 1000 series, it may have a camera or Bluetooth.

3000 series – Expression series is targeted at the youths, they are affordable and have all the basic features plus a camera, gps, mp3 and additions of that price level.

5000 series – Active series phones are very similar to the 3000 series phones, but are targeted at active individuals so their make might be stronger or they might be shock or water proof.

6000 series – Classic business series has phones from the lower range to higher range phones, usually with a respectable amount of functions meant for business professionals.

7000 series – Fashion & experimental series is for fashion conscious users, and user that want new features on their phones.

8000 series – Premium series consists phones are categorized by ergonomics and attractiveness.

9000 series – Communicator series has been discontinued but consisted of business communicators with full keyboards, created for business professionals.

C series – is optimized for social networking and sharing, the c series phones are also meant to be affordable to the younger market.

E series – (Enterprise class) Are phones optimized for business professionals.

N series – Has the most advanced smart phones, they are meant for people who want connectivity and multimedia features, they have as much technology put into them as possible.

X series – Music & entertainment series that targets a young audience.

N-gage series – Gaming series that came out with two models and was then discontinued.

VERTU

Vertu – Luxury phones that are made out of precious minerals that carry quite a price tag that can reach up to $300,000 US, puting this vertu model in the top 10 most expensive phones in the world.

Nokia creates all the hardware and software for the Vertu, but the gems and the design of the phone are done by Vertu and depending on the model a number of different luxury gewlers have put together the stones and valuable metals.

Nokia has many different kinds of products that vary from each other; there are products for young people like students which include Nokia’s xpress music, cheap models, and trendy looking phones, as listed above.