Nokia smartphone sales drop 36%
Nokia has posted a massive loss for the second quarter after smartphone sales plunged by 36% year on year.
Nokia: 'it's not technology, it's what you do with it' campaign
Sales of smartphones plunged from €2.35bn to €1.54bn year on year, contributing to an operating loss of €826m.
The company is making the transition from devices that use the Symbian operating system to Lumia devices that run off the Windows Phone operating system.
It has struggled to compete with rivals such as Apple and Samsung and made a $1.2bn pre-tax loss in 2011.
Lumia shipments have increased quarter on quarter in Q2 to four million units, in line with forecasts, but the average selling price of Lumia devices in the second quarter was €186 compared to €220 in the first quarter.
Last week, Nokia halved the price of its flagship Lumia 900 phone in the US.
Marketing expenditure increased on the previous quarter due to higher expenditure on Lumia devices alongside an expanded regional distribution of Lumia devices.
Year-on-year marketing spend declined primarily due to lower spend on Symbian devices and cost controls.
Stephen Elop, chief executive at Nokia, said: "We plan to provide updates to current Lumia products over time, well beyond the launch of Windows Phone 8.
"We believe the Windows Phone 8 launch will be an important catalyst for Lumia. We made good progress establishing our location-based platform with businesses like Yahoo, Flickr, and Bing."
This article was first published on marketingmagazine.co.uk
Latest jobs Jobs web feed
- Copywriter fishtank 25k to 40k per year GBP, Marlow, Buckinghamshire
- PR Account Director fishtank 40k to 55k per year GBP, Surrey
- Head of Marketing fishtank 45k to 60k per year GBP, United Kingdom
- Digital Search & Acquisitions Officer Topshop Up to £30,000 per annum + benefits, London
- planner > SHOPPER EVANGELIST > brilliant role for those SUITS looking to move across into PLANNING collectivo £30-40k + bens, London
- Marketing Executive Warner Bros £ Competitive + benefits, Holborn, London
Big Questions Live - Social Media, User Generated Content and the Power of Customer Insight (Webcast) External website
Brand Republic’s first ever online TV show, Big Questions Live wil...
The PR industry’s lack of success at the Cannes Lions festival 201...
Confused by hashtags? Tweetchats? Tweet walls? You’re not alone.Wi...
It’s fair to say we are truly in the age of content marketing, the...
As a nation, the UK is media and technology obsessed with over half of t...
All customers have the potential to become your brand advocates, driving...