Nokia- Sales and Distribution

Group:
Avishek Ghosh 115
Krishna Chaitanya A 123
Sonali Pimple 131
Kirti Rathi 133
Minu Sinha 148
Nilesh Somani 149
An Introduction
 The roots of Nokia go back to the year
1865 with the establishment of a forestry
enterprise located in Finland.
 In 1967 firms known as Finnish Rubber
Works Ltd, Finnish Cable Works Ltd, and
Nokia merged to form Nokia
Corporation.
 The Company has four main business
functions:
 Mobile Phones
 Multimedia
 Enterprise solutions
 Networks.
Products
Distribution Channel Struture

 Manufacturing- Chennai Plant

 NOKIA-HCL distribution network in North
and East India
 RDSS(Redistribution Stockiest Supplier)
 RDSS City and RDSS MD
 For West and South India Nokia has its own
distribution network.
Stock Norms

 Stock Norms of Nokia – HCL

 Minimum stock to avoid stock out
HCL – 7
RDSS City – 5
RDSS MD – 4
MD - 3
 Expected Target = 30 Stock norm
No. of working days of that level
New Concept Stores
 Provide one stop solution
for mobile users.
 Opportunity to experience
desired mobile features
before buying.
 Wide range of Nokia
mobiles with mobile
enhancements
 Opened in Metros and Large
Cities for exclusivity towards
brand
Franchisee

 Nokia Priority Dealers

 Visual Merchandising

 Loan for deposits

Rural Market Distribution

 Educate the benefits of mobile to villagers

 Micro financing

 Leverage distribution network

 Competition from ‘Samsung Guru’

Other Distribution Outlets

 Multi brand mobile stores

 Service
 Price discounts
 Hotspot
 The Mobile Store
Hotspot

 Mobile phones of all range

 Good after sales service
 Mobile accessories
 Mobile network connections
 Recharge vouchers
 Gaming device
The Mobile Store

 Standardized store aesthetics

 Wide range of mobiles of all brands
 Enhancement product
 Repair centre
GSM Vs CDMA
Brands Installed Base
GSM CDMA Total
(GSM + CDMA)
LG 4.4% 47.6% 14.4%

Motorola 7.8% 5.4% 17.2%

Nokia 62.6% 24.3% 53.7%

Samsung 9.0% 11.2% 9.5%

Sony-Ericsson 8.9% 6.8%

GSM Handset Distribution
Structure
CDMA Distribution Structure
Advertising Strategy

 Does not stress much on sales promotion

 No direct mail or telemarketing style direct
marketing
 Push Strategy
Promote their products via retailers
 Ad Campaigns have a short shelf life
 Nokia Internet Communications Launches Global
Advertising Campaign promoting the theme
“Welcome to Real World”
 Nokia Interactive Advertising
Channel Members

 Company owned distribution centers in West

and South India(COCO)
 HCL distributes in North and East(DODO)
 Mother Depot in Gurgaon
 Manufactured in Chennai

RDSS(MD and Micro-

Retailers
city) Distributors
Management Structure of Channel
Distribution
Regional GM(one each for
N,S,E,W)

Regional sales Manager(3-

4 in every region)

Area Sales Manager

Sales Force
Functions of Channel Members

Main functions of channel members in channel

distribution are-
 Risk taking
 Financing
 Physical distribution of goods
 Negotiations
 Matching
 Contacts
 Promotions
 Information
Interview with Shopkeeper

Positive aspects
 HCL as its distribution
partner.
 Efficient SCM

Negative aspects
 Low penetration in Rural market
 Different distribution channels for GSM & CDMA
Conclusion

 Excellent Distribution system

 Plans to penetrate Rural market
 Micro-finance for handset purchases
 Negotiations

Recommendation
 Fill the time gap between CDMA & GSM handsets
Thank You…