Marketing Individual Assignment Essay Example

collective experiences with cameras to identify eight distinct segments that we would later explore through global research. Recognizing the importance of global marketing in meeting international buyers' demands, we decided to delve deeper into the preferences and ownership of cameras among the identified consumer segments. The ultimate goal was to define a value proposition that would resonate with the market.We conducted global research targeting University of Reading students as they represent an international audience. Additionally, we utilized social media to reach a wider and less geographically biased audience. Upon completing this analysis, it became evident to us the importance of having a solid marketing strategy. According to Dibs et al (2012), a marketing strategy involves planning and decision making to identify suitable target markets and establish a competitive advantage. It also requires understanding the external trading environment, market trends, the organization's capabilities and resources, consumer behaviors and expectations, as well as competitor intentions and propositions. As a team, we brainstormed internal and external factors using PESTLE and SWOT analysis to identify key issues and potential growth opportunities for introducing a new value proposition that could compete with smartphones on a global scale. Our proposition took into account market trends regarding smartphone usage in place of cameras, Onion's brand reinvention strategy to appeal to these smartphone users, survey results, and the key segments identified.

This text discusses the challenges of technology switch, competing with substitute products, changes in consumer behaviors, and the evolving photography market. The recommendation is to target smartened photo enthusiasts by offering a similar product that can compete in the "Smartened" market.

The proposed product is a smartened with a waterproof detachable case,

slim fit, and compact design. It aims to provide a similar experience to a smartened device while offering the advantage of interchangeable lenses and a Nixon camera app with integration to social media platforms like Facebook and Instagram.

Strengths of the proposal include addressing the impact of social media and the various photo enhancements offered by smartened devices. Survey research showed that 28% of respondents planned to purchase a camera in the next year, and 70% reported sharing pictures online daily.

This information confirmed the opportunity to offer this proposition, which leverages the younger, up-and-coming picture enthusiast who may become a loyal Nixon consumer as they migrate to other offerings. We saw this as an opportunity to cater to this market by being flexible in designing a solution that fits their preferences.

Another added benefit of this offering, which most smartwatches are currently developing, is the "waterproof feature." Despite the competitive aggression in the smartwatch market, with many companies targeting this segment, we felt that this feature would set our proposition apart and give it a chance at success.

Lastly, we hoped to use the lower cost base of this offering to compete with dominant smartwatch brands like Apple (which sold 150 million phones in 2013) and Samsung (which sold 300 million). We believed that their success and growth in the market, despite maintaining a higher price point, indicated the potential success a similar proposition priced slightly lower could achieve.

Our aim was to drive growth for Nixon by capturing new markets and customers while maintaining the brand's perception as an innovator in line with the current trends.Another strength of our proposition was that Samsung had

introduced a similar proposition in the market. However, they faced difficulties with the size of the smartphone being too chunky to carry around due to the lens. Complaints about the low battery life were also reported. In our proposition, we aimed to address these issues through a different design. This could potentially prevent these problems from arising (see appendix 1). Additionally, our proposition would allow Nixon to enter the younger and emerging consumer segments. With time and increased spending power, these consumers could become loyal Nixon customers and remain within the brand.

On the other hand, there were weaknesses in our product proposition. It was developed based on a survey conducted with 115 responses from individuals aged 15 and older. Among these respondents, 27.83% were aged 15-20 and 32.17% were aged 31-40. Geographically, 56% were from Europe, with smaller proportions from other regions. The weakness here is that the sample size was too small to be representative of the global population.

The survey results also showed that 50% of the younger generation (15-20 years) did not own a dedicated camera and had no plans to purchase one within the next 1-2 years. Furthermore, only 9% of this age group expressed interest in buying a compact camera, indicating a declining market.The results indicate that designing a proposal for this small and shrinking demographic may lack foresight. Additionally, our survey revealed that 86.86% of respondents do not use any accessories, which undermines the idea of a smartened with a detachable case. The survey also showed that 68% of respondents use their smartphones to take pictures instead of cameras, and they are satisfied with the quality of the pictures.

This further suggests that there is little likelihood of shifting preferences, no matter how small or slim the chance may be. The data from our respondents does not support the proposition we developed. In retrospect, this situation is reminiscent of marketers conducting research with preconceived notions and finding that the results do not align with their plan, leading them to discard the research. It reminds me of a similar case we discussed in class involving an Apprentice group conducting random research at a train station about car seat purchases, which was the wrong demographic and research question. In our case, we had already developed our thoughts on the proposal and were simply seeking validation from the research. Another weakness of our proposition is that it lacks originality, as Samsung has already attempted a similar enhancement with the Samsung K zoom.The argument was made that our proposition differs from the Samsung K zoom due to enhanced software features, which would improve picture quality compared to the lens zoom feature of Samsung. However, the final product did not support this claim. The product actually uses the same "lens detachable" format as Samsung (see appendix 1). This raises the question of what will make our proposition viable and competitive if it cannot be differentiated significantly from Samsung's current offering. It should be noted that even the Samsung K zoom is not performing well, partly because of the dominance of smartphones in the market. Additionally, many imitators will likely adopt the same strategy as Samsung. Therefore, using a cover to adapt the camera/phone is a questionable approach in terms of differentiation and gaining a competitive advantage for Nixon to

achieve further growth. The chances of this plan not succeeding as expected are heightened by competition in this saturated market. It would have been beneficial to place more emphasis on understanding Nixon's positioning in the market to assess the potential impact of this proposition from a competitor perspective.According to Vermouth (2015), using positioning maps can help companies identify gaps in the marketplace, determine if they are entering a crowded market, identify their closest competitors, and understand the key criteria customers use to position different brands.
Nixon, a premium brand known for offering high-quality products at a high price point, should have addressed potential impacts on brand prestige and the possibility of cannibalization with smaller cameras or association with brands like Samsung.
Repositioning the camera brand would involve considering the cost and developing a customer engagement plan, as well as utilizing a price skimming strategy for market penetration. However, this strategy may not have been justifiable in terms of potential return on investment given the brand's size. Another weakness in the strategy was the lack of current insights about customers' perceptions of Nixon, which could have been obtained through dialogue with them to better understand the concept.
It is unlikely that Nixon would have considered this proposition since their competitor Samsung does not. However, without knowledge of their specific marketing strategy at the time, we can only rely on the information and collective logic available to us.Testing the proposition in the market would have been extremely helpful to gather consumer feedback and insights on its effectiveness in addressing consumer needs, user-friendliness, and potential purchase intent at the proposed price point. The biggest potential risk with this proposition

is the possibility of brand cannibalization with existing brand offerings. According to Looms et al (2001), cannibalization refers to a decrease in sales volume, sales revenue, or market share of one product due to the introduction of a new product by the same producer. In the case of including a detachable case, this could lead to a loss of new sales for smaller cameras and a decrease in repeat sales from existing customers. Our survey indicated that 68% of respondents currently own a smartphone without a camera. If these customers were to shift towards purchasing the detachable case, Nixon could experience a decline in their small camera sales. Similarly, existing customers may choose not to upgrade their small cameras to the latest models as they would have the option of simply purchasing a detachable case.Looms and colleagues (2001) discuss the importance of understanding consumer response, volume sources, and impact on the parent brand when considering new product launches or line extensions. To achieve this understanding, they suggest monitoring and analyzing share movements of the parent brand and line extension, studying cross-purchasing between buyers of both before and after the launch, comparing behavior within the category before and after the launch, and assessing market share analysis to measure cannibalization.

This consideration also applies to Nixon's brand heritage, as they would be competing with lower-end brands like Samsung, who are not currently their main competitor. Nixon runs the risk of alienating existing customers who appreciate the brand's distinction as a "professional photography" focused brand for technologically savvy customers. Targeting the lower end of the market could undermine this brand image.

Furthermore, Samsung's introduction of the K zoom using a

similar strategy faced challenges such as battery life and product size. This proposition did not achieve the success they anticipated in the market.Despite Samsung's dominance in the smartphone market with a 95% market share, their underperformance has been cushioned, as reported by the BBC (2013). This situation restricts Nixon's potential for entering the market and highlights the challenge faced by other competitors in this already saturated industry. Additionally, there are significant cost implications to consider for consumer engagement, promotional activities during the launch period, availability and cost of raw materials, and the potential for economies of scale in production costs. Some argue for streamlining propositions as a way to control costs, which could potentially lead to higher returns. Ultimately, management must weigh the potential revenue from adding this proposition against the potential cannibalization and related costs, while also considering the impact on the brand's heritage. Despite the challenging economy and camera market, Nixon has successfully built a trusted and beloved brand in the professional photography market. This success has allowed them to double their market share and gain a competitive edge by realigning their focus on telescopes, medical equipment, and imaging technology.

To remain competitive in the uncertain future of photography, Nixon may need to simplify their portfolio, focus on their top-performing products, and sell off those that are not sustainable. One potential option is to sell the imaging unit to Sony, as Nixon already sources lenses from them. This would allow Nixon to streamline their portfolio and concentrate on their high-end customers, where they currently dominate.

Furthermore, this alternative would enable Nixon to better manage overhead costs related to the imaging division, concentrate their

brand strategy on the professional market, and expand their presence in this segment. By positioning themselves strategically, Nixon would show a commitment to their established customers and enhance brand confidence among those who value the brand's exclusivity.

Another possibility is to improve modular cameras by offering customization options such as different interfaces, faster shutter speeds, larger memory buffers, higher resolutions, and additional connectivity features (similar to how laptops or cars can be customized).

By putting more innovation into its products, Nixon could enhance its range and gain a stronger competitive advantage in the market. Additionally, simplifying the current product mix by selling cheaper Colloid cameras below IEEE range (57 cameras) through the imaging division would enable Nixon to focus its strategy on the professional photography segment, rather than targeting lower segments. This would result in various benefits such as cost reduction, brand strategy focus, and potential customer upgrades to the next tier of professional photography. Moreover, this approach would allow Nixon to allocate more resources, such as R&D, specifically to the development of the professional segment instead of having to distribute them among other products. Furthermore, the marketing team and resources would be dedicated to the development of the premium brand, allowing for expanded marketing activities and partnerships with key sports figures, sports events, journalists, and professional photographers. It is evident from shifts in consumer patterns that the future of photography is becoming increasingly elusive and threatened by technological advances.

Nixon must stay ahead in the market by developing long-term brand strategies that predict consumer behaviors and meet their needs. To achieve this, Nixon should focus on core brands that are successful and have long-lasting appeal,

rather than competing in the shrinking imaging market. However, the implementation of this strategy may raise ethical issues. Ethical principles can be viewed from a deontological perspective, which emphasizes obligations and fairness, or from a utilitarian perspective, which considers the consequences of actions. Therefore, Nixon must consider ethical considerations before, during, and after implementing the proposed proposition of launching a detachable case.

Before implementation, considerations would involve addressing uncertainties regarding possible high cost implementations, ethical use of superior knowledge, and managing the tension between innovation and company loyalty. Additionally, issues related to post-implementation effects on business and society need to be considered.

This includes examining how people's desire to capture memories and enhance their living standards relates to the new proposition involving cameras/smartphones. The potential negative effects on business and society, as well as ways to mitigate them, must be analyzed. A deeper understanding of how the proposition could impact society's wellbeing is necessary, such as the flashbulb effect on individuals with visual defects.

Another consideration is potential controversies arising from the camera's use in socially unacceptable or illegal situations, which can affect both the brand image and the dignity of those involved.

Nixon is concerned about the environmental considerations, such as the influence of clean energy and environmental activists' movements on consumers' purchasing decisions. They want to reduce their impact by addressing issues like CA emissions, waste reduction, and energy efficiency as part of their green strategy. Nixon also needs to be aware of regional legal requirements regarding warranties and their stance on refusing to service cheaper imports. Additionally, they need to consider how changing regulatory requirements may affect product design and packaging.

It is important for Nixon to understand the enforceability of patents across different regions and how they can leverage it to gain a competitive advantage in the future instead of opting for licensing agreements.