50 Years of Fame: Brandfame - Nokia

Marketing 21-Sep-05

Nokia, now Scandinavia's biggest company and the world's leading mobile phone manufacturer, has come a long way from its humble roots as a wood pulp mill.

The company, which is named after the Finnish town in which it was
founded in 1865, is no stranger to TV advertising, having relied on the
medium to establish itself across the world.

While it is not regarded as a classic TV advertiser, the company has

successfully used the medium to spread its consistent brand message of

'Connecting people'.

Nokia's TV ads have emphasised both the functional and lifestyle
benefits of its phones. Ads for the Communicator model demonstrated how
a phone could be transformed into an email or word-processing device,
while executions for the Fashion range highlight its pure stylishness of
design.

From its first ad on ITV in the early 90s and into the new millennium,
it used the same creatives across a number of European countries,
including the UK. Only recently has it moved away from this strategy
with more of a local focus supported by local product launches.

In addition to advertising on ITV in the UK, Nokia has used the network
for broadcast sponsorship such as its multimillion-pound deal to sponsor
The X-Factor. The sponsorship, now in its second year, fits perfectly
with Nokia's current focus on music and entertainment.

That strategy has been reflected in the brand's latest models. The N91
includes an MP3 player and is an attempt to take a slice of the iPod
market, while future models in the N-series will let users watch ITV on
the move.

Although Nokia has dominated the mobile phone market since it entered
the sector in 1993, it has not had everything its own way, and the past
two years have seen its market share cut back. Its much-publicised
failure to recognise the potential of the clamshell handset design, to
the delight of Motorola and Samsung, forced a radical rethink of its
strategy.

So far the signs are good. Market share is once again near the 40% mark
and Nokia's new handsets have been well received. More targeted
marketing such as its fashion phones campaign has also reaped rewards,
with the range selling well in the UK.

However, analysts are predicting that the market is facing a slow-down
as it nears saturation point. The challenge for Nokia will be to use TV
to ensure that its brand retains its current must-have status.