Mobile debate whether big marketing budgets will always be required to push flagship products.
Kezia Joseph says....YES
Investing in marketing is a way to boost sales and this will always be the case. It is not enough anymore to have the latest technology, as the mobile industry evolves there are fewer ways to differentiate in terms of specs.
In the saturated mobile market, it’s difficult to stand out if no one knows you’re there, and you need to pay to get yourself noticed.
It’s no surprise why Apple and Samsung are the top of most people’s smartphone wish list, the two companies spend a considerable amount on getting their brand and products out into the market, and it pays off.
Spending big on marketing is a gamble, there’s no guarantee it will resonate well with consumers or be able to permeate through the white noise of a crowded marketplace. Huawei have invested a significant amount into pushing their devices in the UK, but the unfamiliarity of its brand name failed to have a market impact.
In the brand focused UK, familiarity is everything and investing in a colourful billboard is just the tip of the iceberg. In order to boost sales, marketing needs to have blanket coverage and it needs to have a lot of investment behind it.
Many companies have used high profile partnerships to achieve this coverage, but it doesn’t come cheap and those willing to pay the price will reap the rewards.
Zak Garner-Purkis says....NO
There have never been more ways of marketing to the consumer than there are today. The methods companies have available to communicate to potential customers are more diverse and far reaching than ever before.
In such an environment it becomes increasingly hard and incredibly expensive to have a campaign on all fronts. This is only going to become more pronounced.
Devices and brands are becoming less distinct from one and other, democratising the marketing space further. There is already evidence from emerging markets of unknown brands becoming major brands, not through big marketing spends, but by offering a good mix of products and services. Sure, these are often in economies where price is major influence, but it still goes to show that high sales figures and massive marketing spend are not inextricably linked.
In the future, it will become less about the amount that you spend on marketing and be more about where you choose to focus it. Understanding your core market and tailoring your services and strategy to that base will be crucial in deciding if you are successful or not.
You can already see examples of how different marketing strategies are being pursued by brands within the same business. Huawei, for example markets its self-titled products with big marketing spends and celebrity endorsements. However, its Honor brand invests in social strategies and the development of brand advocates.
Both have proved successful for the manufacturer in China, and whilst it remains to be seen whether this success will be transferred to the UK in both cases, the fact that it chooses to take this approach shows how things are changing and it can be done. We’re not talking small figures either, Honor sold 20 million phones in the first half of 2015.