Micromax is a consumer electronics firm and are mainly known for their dominance in the Indian mobile manufacturing market. In recent years, they have emerged as one of the top companies in India surpassing the likes of Nokia, Samsung and other local brands within just 8 years since their debut in the mobile handset market. Taking advantage of the ever-changing market dynamics, Micromax has successfully stayed afloat to dent a blow to their competitors.
Started by four friends way back in 2000, Micromax has surprised one and many. Their ethos has been to woo the young and local masses since the very beginning. Targeting the urban crowd, coming up with affordable and stylish handsets at a fair and reasonable price and out-of-the-box marketing strategies has been their motto.
The brilliance of Micromax using the 4P’s of Marketing!
The 4P’s of marketing are Product, Price, Place, Promotion and were expressed for the first time by E J McCarthy in 1960.
So how does Micromax make use of this?
A series of phones! (Product) – Micromax believes in their design and t
heir large series of smartphones. The looks and design of their products is always catchy keeping in mind their target audience. Local Indians can make use of the regional language support and consumers are offered various options depending on their requirements. The latest use of Android as the Operating System only makes their product more saleable.
Money matters! (Price) – The company specialises in the production of low-priced products. Targeting the local consumers who are hesitant to spend much, Micromax offer a range of smartphones that are affordable and are equally tech-upgraded.
Reaching the masses! (Place) – Micromax is one such company that targets the rural as well as urban market. In recent years, their promotions and strategies have been such to attract the International crowd as well. Their low-cost products help them to place them anywhere and everywhere resulting in a wide reach.
Wolverine gets in the mix! (Promotion) – Roping in Indian celebrities time and again, the mobile giants have managed to keep their image fresh and lively looking to seduce the large Indian market. Akshay Kumar was the first one to introduce the brand but Micromax did the unthinkable in 2013. They roped in Hugh “Wolverine” Jackman, the Australian movie star as their brand ambassador to lure the global audience. Was it worth it? The campaign didn’t quite strike a chord with the locals but it surely caught eye internationally.
SWOT Analysis plays a role as well!
The strengths of a company, their weakness against their compe
titors, the opportunities they possess and the threats they shall face form an important cluster for a brand. Micromax’s rise was nothing but the study and stra
tegies they put forth when they started out.
Their STRENGTH is that they produce good phones for much lower costs. Their functions and the latest technology are up-to-date with the market requirement and their products are long lasting. Their association with celebrities helps them to attract young and urban crowd, which results in the large sales. Micromax believes in uniting their audience and have time and again come up with campaigns to promote the same.
Micromax’s major WEAKNESS lies in their product quality. Though they are reliable and worth every penny spent, the material used is of inferior quality and many consumers doesn’t like the plastic feel it gives. The post-sale service is poor as well and though it hasn’t caused them much trouble, they are in dire need of improving their service for customer satisfaction.
Looking at the competition and Micromax’s market position, they have a lot of OPPORTUNITIES to stand out. Their recent strategic partnership with TranServ and Visa for easy payment solutions shows their efforts in improving their customer relationship bracket, which has been a weakness, up until now. Following the low price of their product and their reach in rural areas, Micromax has been successful to stay afloat amidst all the competition.
The local Indian brands as well as the increase of foreign brands making their way in Indian markets possess Micromax a lot of THREATS. Brands like Lava, Xiaomi and Karbonn have adopted similar strategies to develop low-priced phones offering stiff competition to Micromax.
Some jitters are good for business!
After achieving fair amount of success, Micromax had a dip in their sales in the last quarter of 2015. Facing stern competition from Chinese brands like Xiaomi, Oppo and Lenovo was a jolt and the necessity of a new marketing campaign arose. From “Nothing Like Anything” the tagline changed to “Nuts. Guts.
Glory.” The significance of the marketing campaign was to unite the youngsters by defying the conventional norms. They went desi (local) by signing Kapil Sharma, an Indian comedy artist. The campaign was instantly a hit but will it bring any change in the company’s stride towards winning back their faithfuls? Only time shall tell but Micromax is here to stay and make some noise, that’s a fact!
IANS., ( 2016). Micromax, TranServ, Visa form strategic partnership. Abplive.
http://www.abplive.in/gadgets/micromax-transerv-visa-form-strategic-partnership-319673 (Accessed on 24th July 2016)
Rajiv Rao., (2016). India’s Micromax gets knocked down by the Chinese. Zdnet.
http://www.zdnet.com/article/indias-micromax-gets-knocked-down-by-the-chinese/ (Accessed on 24th July 2016)
Roshni Nair., (2016). From Hugh Jackman to Kapil Sharma: Micromax’s desi leap. Bestmediainfo.
http://www.bestmediainfo.com/2016/07/from-hugh-jackman-to-kapil-sharma-micromaxs-desi-leap/ (Accessed on 24th July 2016)
Deepesh Singh., (2015). A case study on Micromax’s Mobile Marketing Strategies – How did it Become Big in Indian Market. Topbullets.
Student Name – Amey Dattatray Ansurkar
Student ID – 216045154