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Project Report

Marketing audit of jbl


portable Sperakers

Subject – Marketing management


Semester - 2
Name – Shubham Binani
Roll No – 18027
EMBA

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CONTENTS

Sr. Page
No Particulars No. Sign

1 Objectives 3

2 Bluetooth Speaker Market overview 4

3 Reasons for Selecting the brand 6

4 JBL - Company Overview 7

5 SWOT Analysis of JBL 8

6 Key success factors of Competitors 11

7 Marketing Mix Of JBL 16

8 Marketing Mix of Competitors 21

9 Pitfalls in marketing strategies of JBL 28

10 Recommendations 30

11 Bibliography 31

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Objectives

 To understand the Indian bluetooth speaker market with


special focus on the portable and bluetooth segment.

 To understand the key players of the portable speaker market.

 To analyse and assess JBL’s position in the bluetooth speaker -


segment.

 Also to understand the marketing mix of JBL’s portable


speakers in India.

 Conducting a Swot and analysis of JBL as a brand in this


segment.

 Finding out major competitors for JBL in Indian market.

 Understanding the marketing Mix of the competitors.

 Recommending marketing strategies and plans through which


JBL can further improve its position in the market.

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Bluetooth Speakers Market Overview
Rising need for mobile infotainment systems is a key driver for
growing Bluetooth speakers market in India. The rising disposable
income, advancing wireless technology and rising smartphone
penetration pushed the demand for Bluetooth audio devices.
Bluetooth speakers provide wireless audio streaming. These
devices play media from a content source (tablet, laptop,
smartphone, or any Bluetooth enabled device). Most portable
Bluetooth devices include a rechargeable lithium polymer
battery. These speakers are portable, easy to use & carry, and
install.

Based on type, Bluetooth speakers have been classified into


portable and fixed. Portable speakers recorded large volume sales
in the country, owing to its ergonomic design and advancement in
audio technology. Also, improvement in lithium-ion battery used
in portable speakers provide long playback time, which has
supported the demand for these speakers. Growth of wireless
connectivity and adoption of smartphones across the country,
also contributed to the increased popularity of portable Bluetooth
speakers.

Based on distribution channel, Bluetooth speakers market


categorized into online and offline. Increasing internet
penetration, and growing e-commerce industry enabling
customers to compare multiple Bluetooth speakers led to rise in
online sales for these devices. E-commerce sites such as
Amazon.Com, flipkart.Com and others, offer discounted prices on
popular Bluetooth speaker brands, and offer a wide range of
Bluetooth speakers to choose from, attracting large volume sales.

Flexibility such as easy product return, and cash on delivery are


also boosting the online sales of Bluetooth speakers. Based on
price range, Bluetooth speakers market is classified into low-end,

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mid-range and premium. Small and sturdy Bluetooth speakers by
manufacturers such as BT50B by Phillips Corporation; and JBL Go
by Harman International Industries have gained traction among
millennials, due to its rigid design and clear sound clarity. These
speakers generally come under 2000rs and have an output power
range between 3W and 15W, which offers clear sound output to
users.

Bluetooth Speakers Market Dynamics

Growth Drivers

The increasing requirement for mobility, growing demand for


infotainment services, and rising smartphone/tablets adoption
are the key growth factors driving Bluetooth speakers market. The
popularity and growth of streaming services such as Netfli,
Amazon Prime, and YouTube, has led to rise in demand for
Bluetooth speakers. Also, features such as long battery life,
rugged design and waterproof Bluetooth speakers have also
gained popularity and supported the market growth. Moreover,
rising disposable income, particularly among urban as well as
young demographics is also driving the market growth.

Restraints

Availability of counterfeit speakers is one of the major concerns


impacting the growth of Bluetooth speakers market. The
materials used, sound clarity, and longevity of counterfeit
products is almost similar to the original Bluetooth speakers. Such
counterfeit products are available at a very low cost as compared
to original products. Growth of such counterfeit goods would
impact the market growth.

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Reasons for Selecting JBL Products

 JBL was founded in the year 1946. Therefore it has its presence
over the global markets for nearly 70+ years.

 With its Presence in the market for such a long duration JBL has
established itself as a brand on which people can trust and rely
on.

 It has diversified itself as two independent divisions namely -


JBL Consumer and JBL Professional. Due to its presence in the
professional circuit, JBL could create a good brand value for
itself even in the consumer segment.

 Diverse product portfolio with strong options in each product


category. These diversified products Cater to both Rich and
Middle class people. Therefore it can tap to a larger scale of
audience.

 Continuous innovation in the products (for Eg. Waterproof


Speakers) helps it to stay ahead of the competition.

 Majority of the world's luxury cars are equipped with JBL


(Harman's) premium audio and infotainment systems.

 Some of its products are market leaders in their respective


categories like JBL Go.

 The products across different categories are said to be priced in


such a way that the price to performance ratio is said to be very
high compared to the brands like Sony and Bose.

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Jbl – Company Overview

JBL is an American audio electronics company founded in 1946 by


James Bullough Lansing. Their primary products are loudspeakers
and associated electronics. There are two independent divisions
within the company — JBL Consumer and JBL Professional. The
former produces audio equipment for the consumer home market
while the latter produces professional equipment for the studio,
installed sound, tour sound, portable sound (production and DJ), and
cinema markets.
Currently, JBL deals in different audio products even in the consumer
segment. From complete wired on head headphones to completely
wireless earphones, JBL nearly deals in all various types of
headphones as per the consumer requirements on different price
points. JBL has always been known for the great output audio
speakers which they continue to manufacture for household
consumers. Apart from the traditional conventional wired speakers,
JBL has also shifted its focus on portable and Bluetooth speaker
product line. Due to advancements in technology and increase in the
use of smartphones, Bluetooth speaker hold as a day to day
requirement for the households. JBL is attempting to continuously
update itself and provide a great experience to all its customer low,
midrange and premium price segments in terms of portable
speakers.
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Swot Analysis – JBL

JBL is an audio electronics company founded in 1946. The company


manufacturers cutting-edge audio systems throughout the world.
The company’s product lines are Wireless speakers, Headphones,
Home Audio, Car speaker, etc. With a global headcount of over
12000 employees, the parent company i.e. Harman clocked in
revenues of $912 million in 2016. Here is the SWOT Analysis of JBL.

Strengths in the SWOT analysis of JBL :


1) Great Penetration into High and Mid Segment – The Company
has massive penetration into the high and mid-end segments
and therefore it is able to tap on to the large target audience
and can sustain larger profitability from them. Its presence in
the India is huge ever since it entered the market. It has also
launched its online brand store in India in August, 2018
through which the consumers can buy directly from JBL itself
without any mediator.

2) Long-Term Sustainability – The consumer mind set for high


tech audio systems is to stay for the next 2-3 decades, enabling
the company to constantly reinvent and rebrand for its existing
customers. With the brand name of JBL and the legacy it has,
loyalty from the existing customers can be expected.

3) Strong Foothold in Speaker Segment – JBL has built its name


in the speaker segment and as a strong market foothold in the
United States and in many parts of Asia (majorly India, China &
Japan. The level of quality and innovation in design has led
them to have sustainable sales. Its home audio speakers and
voice-activated Bluetooth and wireless speakers have had
massive sales over the last 3 years.

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4) Technology Dominance – JBL has massed enough technical
expertise in the last 2 decades. Its product lines are constantly
changing with times and today the company has forayed into
Wireless and Bluetooth systems too. The connectivity of
different devices to the JBL speaker has been a highlight for the
wireless Bluetooth speakers.

5) Value for money – JBL speakers and audio systems have high
value for money with the kind of quality and performance they
offer. They have consistent performance with respect to pitch
and balance. The installation process is very easy and all
product lines come with THX loudspeaker standard

Weaknesses in the SWOT analysis of JBL :


1) High Price – JBL audio systems are relatively costlier compared to
other variants in the market. This limits the company to tap into
profits from all segments, especially the cash-constrained segment of
users.

2) Slow Rate of Innovation – The rate of innovation is slow and this


puts JBL in the same league as many other audio systems. Companies
like Sony and Bose are constantly reinventing into Headphones and
portable device areas too.

3) Slow penetration into Emerging Cities – JBL has a presence in


India and China. However, local companies have fast outpaced the
company’s ability to move into new cities. The rising income levels of
Tier 2 cities gives a good opportunity, but many companies already
have deep pockets. This limits the company’s ability to grow rapidly
and scale for profitability.

4) Poor Branding – The company has not focused a lot on branding


and advertising. The Mindshare of consumers is low and this is the

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reason consumers are able to easily buy substitute products without
hesitation.

Opportunities in the SWOT analysis of JBL :


1) Penetration into Wider Segments – The Company has the
opportunity to manufacture its audio systems locally in order to
reduce prices and to cater to customers with strict budgets. This local
scale of production also helps the company to partner with a
company like India and get multiple benefits in terms of taxes.

2) Bundled Offering – Can leverage its existing technology innovation


with other companies in emerging markets for rapid expansion into
new territories. Example, it could pair up with Apple to offer inbuilt
audio systems for a new line of Apple products.

3) Launching Cheaper Product Lines – The Company can adopt wide


pricing mechanism to manufacturer cheaper audio systems. This will
allow the company to expand its existing profitability and venture
into new markets. Cheaper products attract the attention of the
consumers in a country like India. Therefore, this price effective
products will help to increase the level of turnover.

Threats in the SWOT analysis of JBL


1) High Substitute Goods – The Company faces heavy competition
because of the presence of many other substitute audio systems
from Sony, Bose Corporation, Beats, etc. This trend is further
continuing because of the growth in local manufacturing and piling
of Chinese goods across the world. Indian markets are highly
competitive market with cheap Chinese products flooding in the
market.

2) Weak Market Segment – JBL speaks are relatively costly in the


market and therefore are able to cater to only a niche market

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segment. The other end of the spectrum is already covered by audio
systems from Sony, Panasonic etc. This is a big threat because it
denies company entry into the other market segment.

Competitors for JBL in India –

JBL’s product line is wide spread, it provides speakers under different


categories and price ranges. It provides Bluetooth speakers from a
price point of 1500₹ to 35000₹. Therefore the competitors are
different among different categories. To understand the competitors
in a better way we need to divide the competitors among two
different categories. One would be the high end and premium
category and the other would be the low and mid range category.

Following are the competitors for JBL –

A) Premium / High end category –

1) Bose Corporation 2)SONY

B) Low & Mid-Range Category –

(1) Phlilps (2) Logitech/Ultimate Ears (3) Boat (4) MIVI

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Key Success factors / Strengths of the Competitors :
1) BOSE –
 Bose has never been an audiophile centric Company. Their focus
has always been on creating products that suit the requirements
of the consumers.
 Bose envisioned to create a sound experience which is enjoyable
for a normal consumer. Due to which even historically bose has
never been critically acclaimed, but they have been consumer
centric and this has resulted into solid sales numbers across
globes for a long period now.
 The legendary Bose 901 speakers were amazing and combined
with patented technologies, music just sounded, crisp, clear
and yes more ambient like.
 This however doesn't mean it had the right tonal balance or was
sonically balanced. They just sounded full and satisfying to most
consumers.
 As company grew it noticed consumers wanted smaller speakers
but without compromising on "fullness" and thus came out Wave
music system, Lifestyle Home theatre systems which were the
results of unique technologies like Truespace, waveguide, etc.
 In the last few years Bose has been churning out even smaller
systems to suit different (mostly younger) demographics. Bose
sound link series, cinemate 1 SR , lifestyle 135 etc which although
sound good but they are no way near to the quality of
conventional audio systems. After Bose was completely taken
over by MIT (Yes Bose's majority of the working shares are with
Massachusetts Institute of Technology) it was expected exciting
new technologies in audio will pave way to innovative products
but that's yet to be seen.

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 It's not downhill yet, Bose just looks stagnated in this very
competitive audio market. Bose customer service is still one of
the best and they stand by their products which is a rarity these
days.

2) Sony Corporation –
 Sony is a brand that needs no introduction. For Indians, the
world electronics is synonym with Sony. We all know that when it
comes to electronics, Sony just stands out.
 Sony produces almost a complete array of electrical equipment
and their distribution network is wide spread in the country.
Even at a small town if there is an electronic shop than you will
definitely a Sony product there.
 Moreover, Sony has been present in the Indian market for ages
now and the products offered are considered durable and of
premium quality which is the most important factor for the
Indian consumer.
 Creating such a mind-set among the Indians Sony has seen large
sales volume for all of their electronic devices.
 And when it comes to audio equipment, Sony produces some of
the best home theatres, Bluetooth speakers, and headphones.
 Also they offer speakers at a varied price points. This give the
option to buy Sony speakers to a larger scale of audience.
 They sell entry level speakers for a price point of around 3000₹
which allows the price sensitive consumers in India to own their
Speakers.
 Availability of products and huge channel of distribution are
other key factors of Sony’s growth in the speaker industry.

3) Philips – The company focuses on innovation and has been improving


its revenues from the past few years.

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Strengths in the SWOT Analysis of Philips :
Strong market position across all segments: Philips is present in
diversified segments; healthcare, lighting and consumer lifestyle.
This has landed Philips into top 100 world’s most valuable brands in
the world. It has a strong position in all the segments across the
world which gives significant bargaining power and wide customer
base.

Inorganic growth increases revenue streams: Philips has expanded


its business through acquisitions over the past few years. The acquire
companies they feel would help in raising their market share.

Strong focus on R&D: Philips has over 50 operational R&D centers


spread in Asia Pacific, Latin America and North America. Philips has
invested heavily on its R&D which has reaped benefits for Philips
with its innovative solutions in all its segments which give it a
competitive advantage.

E-Commerce Growth: The emergence of online retail and trading


across the world has opened various options for businesses around
the world. Philips operates an online store at Philips-store.com and is
expecting to increase sales substantially through its online portal.

4) Ultimate Ears (Logitech) –


 Ultimate Ears (UE) is a sub-brand of Logitech, which it has
created to establish a speaker brand to compete in the Indian
Markets.
 UE provides speakers of different sizes and composition at
different price points to tap a larger range of customers.
 The major highlight of these speaker are that all of them are
waterproof and they posses a good base along with good high
tones.

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 The built quality of the speaker is the main highlight in all the
major marketing ads of the product.

BOAT, MIVI –
 Neither of the two brands are well established nor they
conduct their operations globally. Both, Boat and Mivi are local
speaker brands that do not have a huge distribution channel or
large marketing budgets.
 Boat is a Mumbai based company which was started by an ex-
employee of Harman International viz. JBL’s parent company.
Boat is known for producing robust and splash proof design for
its speakers for a competitive price.
 Boat has created a considerable market share for itself in e-
commerce sales as far as portable speaker under 5000₹ are
concerned.
 MIVI is a Hyderabad based company conducting its locally in
India providing premium quality head phones and speaker
among different price caps.
 Both MIVI and Boat considers its major target audience as
youths. To tap on to this audience both the companies have
built associations and collaboration networks.
 They haven’t spent much for marketing via television and
outdoor marketing networks rather they have set focus on
social media and digital market as they are cost effective.
 MIVI has created associations with social media influencers and
Youtube stars such as Bhuvan bam, Mumbiker Nikhil,
Beyounick, etc.
 While Boat is spending much more in associations by signings
actors like Karthik Aryan, Jacqueline Fernandez & Cricketer
Hardik Pandya.

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Marketing Mix Of JBL
BL is an American origin company that is associated with the audio
electronics industry. It was founded in the year 1946 by its founder
James Bullough Lansing and hence the name of company JBL. The
company is a subsidiary of its parent company Harman International
and has dual independent divisions within itself JBL Professional and
JBL Consumer. Latter is associated with manufacturing and
producing of audio equipment to be used for consumer home
market and former offers professional equipment for cinema,
portable sound, tour sound and installed sound for a studio.

Product in the Marketing Mix Of JBL :


The primary product of JBL is loudspeakers and electronic items
associated with it. The company has entered into the partnership
with other brands like Motorola to bring quality audio to its
smartphone, Lenovo to offer superior audio to its Ultrabooks,
laptops and tablets, with TCL for tablets and ALCATEL for their
smartphone. It has also tie-ups with car manufacturers like Smart,
Ferrari and Toyota to supply the best car products. Its product
portfolio includes the following-

Wireless

 Home Speakers
 Portable Bluetooth-Speakers
 Accessories
 Wireless Headphones

Home Audio

 Subwoofers
 Wireless and Docks

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 Home Theatre Systems
 Soundbars
 Loudspeakers
 Computer Speakers

Headphones

 Yurbuds Sport Headphones


 On-Ear and Over-Ear Headphones
 Wireless Headphones
 Yurbuds Enhancers and Accessories

Car Equipment

 Connected Car
 Car Component Systems
 Car Speakers
 Car Processors and Amplifiers
 Car Subwoofers

Place in the Marketing Mix Of JBL (Global) :


JBL is an international company with its presence extended to
several countries. It has a widespread and strong distribution
network that includes services of distributors and corporate offices
in several parts of the world. Its subdivision JBL Professional is one of
the top marketer, manufacturer and designer and has its
headquarters base at Northridge in California.

JBL products can be easily obtained in places like South Africa, United
States, Mexico, Colombia, Canada and Brazil in Americas, China,
Australia, India, Malaysia, Japan, Thailand, Indonesia and New
Zealand in Asia-Pacific region and Austria, Norway, Germany, France
and United kingdom in Europe and Middle-eastern region. It has its
own website from where one can easily order a product and delivery
is assured as soon as possible. JBL is served by the help of a capable

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workforce that includes more than 12,000 employees for efficient
workings. With reference to the Indian market JBL has its presence in
every nooks and corners of the country. Majority of the people of
the age group below 30 at least know about JBL.

Price in the Marketing Mix Of JBL :


JBL caters to both middle-class section and rich class with help of its
diversified product portfolio. It wants to extend its customer range
so that everyone can easily afford its products. Moreover,
continuous innovation has helped the brand to remain ahead of its
competitors. It does not want to lose this advantage and hence has
adopted a skimming pricing strategy for new products so that it can
generate revenues as early as possible.

For established products, it has adopted a reasonable policy for


some products belonging to JBL Consumer and mid-premium policy
for JBL Professional products. Its products are leaders in their
respective fields and hence the company has been able to garner
good revenues and sales.

JBL’s USP as a brand has been that it offers products at each and
every price segment. As far as the Bluetooth speakers segment in
India is concerned it offers products from the price points of 1500₹
to 35000₹. Following is the portable speaker product line up of JBL at
different price levels –

1) JBL GO – 1500₹ to 3000₹ (2) JBL Clip – 3000₹ (approx.)

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(3) JBL Flip – 5000₹ to 9000₹ (4) JBL Charge – 10,000₹ to 12,000₹

(5) JBL Pulse – 15,000₹ (6) JBL Extreme – 20,000₹ (approx)

(7) JBL Boombox – 28000₹ (8) JBL PartyBox – 33000₹ - 35000₹

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Promotions in the Marketing Mix of JBL

JBL is a recognised brand and is a firm believer of advertising for


promoting its products. It has launched several ad campaigns
featuring normal people using its products like wireless headphone
at general places like café, on the treadmill and at work. The brand
has adopted a humorous approach in ads and a common person can
easily relate to it making these ads very popular amongst common
masses. Ads are shown via television channels, in the newspaper,
magazines and on hoardings.

From the Indian context JBL has been marketing its products through
associations with a few Known personnel. JBL has identified its brand
with individuals and created a mass market for its products. The
company has also roped in celebrities as its brand ambassadors.
Famous Indian music director and singer A. R. Rehman has become
associated with JBL to promote its brand. In 2014, JBL also had
associations with young Bollywood actors Arjun Kapoor and Parineeti
Chopra. In the year 2018 JBL associated with India’s ace badminton
player and Olympic silver medallist P.V. Sindhu to promote its sports-
wear Bluetooth earphones and on the go speakers. In September,
2018 it also signed Priyanka Chopra as global ambassador for all the
JBL products.

JBL launches online brand store in India on August 06, 2018. As part
of the inaugural promotion, two new JBL products — JBL Go +
Bluetooth speaker and JBL T205BT headphone were launched on this
website. JBL has decided to launch its own website because it is
increasingly finding counterfeit/deeply discounted JBL products
being sold on e-commerce marketplaces, Sumit Chauhan, Vice-
President — Lifestyle Audio, Harman India said, “JBL is the most
popular consumer audio brand in India. JBL.com will provide the best
price, expedite shipping and exclusive promotions for our customers.
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Importantly, consumers can be confident they are buying an
authentic product with professional after-sales support.”
Apart from JBL.com, Harman and JBL products are also sold online at
HarmanAudio.in, Samsung.com, Amazon, Flipkart, Paytm, Myntra,
Snapdeal, Tatacliq, Jabong and Headphone Zone. The share of e-
commerce in overall Harman — JBL Lifestyle products sales revenue
at present is approximately 50 per cent.

Marketing Mix of Competitor – BOSE


Bose Corporation is an American privately held company and a
leading player in the audio equipment industry. The company is
based out of Framingham, Massachusetts United States of America.
Dr.Amar G. Bose, a product of Massachusetts Institute of
Technology, founded the company in 1964.

Bose is best known for the manufacture of home audio systems and
speakers, professional audio systems, noise cancelling headphones,
and automobile sound systems. It specialises in wireless technology.
The company also has to its credit R&D work in the areas of
suspension technologies used for heavy-duty trucks and cars, and the
subject of cold fusion.

In fact, its strong R&D and acquisition skills have contributed to


making it a global player in the wireless audio device market having
footprints in almost every country in the world. It formidable its fans
who say that Bose is to audio systems what Microsoft tout
reputation in the area is to operating systems, Intel is to
microprocessor chips and Google is to search engines.

Though there are few other players also in the segment, none of
them offers the variety of products Bose does.

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Product in the Marketing Mix of Bose :
Wireless audio device market is a relatively new market. In this
scenario, Bose has emerged as a prominent player in the use of
wireless technologies in audio devices. Though there are other
players in the market; most of them are focused on one or two
products such as headphones and sound bar. Bose has an edge over
the others due to the sheer spectrum of products offered by it. It has
also successfully delved into areas like suspension technologies for
automobiles.

Its product range includes:

 Wireless Noise Cancelling Headphones


 Wireless Speakers
 Wireless Sound Bars
 Wireless Microphones
 Car Audio
 Automotive Suspension System
 Seat Suspension System for truck drivers

Within each of these broad categories, the company has on offered a


variety of products like Docking speakers, Home Theatre, Stereo
Speakers, Aviation Headsets, Over-Ear Headphones, SoundTouch
systems, SoundLink Speakers to name a few.

Place in the Marketing Mix of Bose :


Bose Corporation is a multi-national having its presence across the
globe. It has 190 stores in the United States and numerous locations
worldwide including technologically advanced countries like Japan
and Korea and emerging markets like India & China. In India, there
are eleven standard Bose stores and few in the ‘factory outlet’
variety. In fact, Bose Products are available in the following types of
stores:

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 Bose Stores
 Bose Factory Outlet
 Bose Airport Kiosks
 Bose Personal Audio Store
 Bose Showcase Store

The type of products available in the stores may vary. For example,
an airport kiosk store will feature products suitable for a traveller like
a wireless headphone. A showcase store, on the other hand, will
have on display an entire line of innovative Bose products.

Price in the Marketing Mix of Bose :


Bose Corporation caters to a niche target audience and relies on
minimal advertising. Its products are more highly priced than close
competitors like Sony. However, it’s important to mention that most
of its products are high-end because they are innovative and with
excellent sound system. The components and speakers also come at
a high price.

Some of its featured products like SoundLink Mini Bluetooth Speaker


II have a maximum retail price of Rs18, 000 in the Indian market. Its
close competitor Sony’s SRS-X3 costs marginally less at Rs. 1499.00.
At times, the price difference is considerable as in the case of Home
Theatre systems. Bose Home theatre systems start at Rs 23000. But
Sony’s Home Theatre systems are available even at 18, 844 as in the
case of Sony DZ-350 5.1.

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Promotions in the Marketing Mix of Bose –
 Bose Corporation relies on a low-key adverting policy
compared to its competitors in the industry or for that matter
other similar multinational giants. The company’s primary
marketing strategy is to make its products available to the
consumer directly with no middleman or resellers.

 To this end, Bose has focused on selling through exclusive


stores that the company has set up. E-commerce websites are
another option to make its products available to the
consumers.

 The strategy of minimal advertising is a little surprising


considering in consumer durable goods segments, product
features often undergo change and consumers need to be
communicated on the same actively.

 However, the company believes in targeting a niche market and


holding people’s attention with its innovative and atypical
products. Due to this nature of the company, competitors like
Sony and LG are moving higher in the value chain and
commanding a lot more consumer attention.

 As a corporate brand, it is said to be a company that reinvests


100% of its profits back into the company for growth and
development.

Marketing Mix of SONY –

One of the most recognized brand name in the world today. Sony
Corporation, established its India operations in 1994, focusing on the
sales and marketing of Sony products in thee country. In the span of
19 years, Sony India has emerged as digital lifestyle brand in the field

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of consumer electronics. With consistent commitment to quality and
dedicated customer satisfaction and high standards of service.

Sony India is one of the most recognized consumer electronics brand


in the country with a reputation for new age technology, digital
concepts and excellent after sales service.

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Price in Marketing mix of Sony

The prices of Sony’s products range from moderately high to high


prices, depending on the use and the targeted customer since the
company emphasizes more on product quality. But to increase their
market share they have launched mobiles and laptop in the low price
segment also. In the portable speaker segment Sony is trying to
provide products which are affordable for the Indian consumers. The
entry level speaker starts at the price range of 3000₹. In this way in
the speaker product line Sony is trying to further increase its target
audience and there by their market share.

Place in Marketing mix

Sony being the company which positions itself as a seller of durable


high end products, it is practising selective distribution of its
products from the selective dealers i.e. Sony World, Croma, Reliance
Digital, etc.

Sony distributes its products in various channels. It uses Zero-level


channel, one level channel and two level channels. In India, Sony has
used the method of one level distribution channel. This means that,
customers buy their Sony products from the retailers recognised by
Sony, and these retailers buy the products directly from the company
itself.

Promotion in Marketing Mix

Sony India will spend ₹ 200 cr. in this financial year on advertising
and promotion. The major elements of promotion mix include
advertising, personal selling, Sales promotion, direct marketing and
publicity. Sony Corporation has used all of these marketing
communication mix elements.

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Pitfalls in Marketing Strategies of JBL –

1) Marketing only to new customers – JBL in India has set focus


towards marketing their products to new customers, thereby
increasing their customer base and market size. They haven’t
considered any plans or policies for the customers who are loyal
towards the brand and are on consistent basis creating an audio eco-
system around them of JBL products.

2) Not differentiating themselves from the competition – Many


products of similar grade and similar price point or rather lower price
are available in the market. JBL needs to create a special or unique
feature in their products which only they can offer at a particular
price point.

3) Positioning the brand awkwardly – JBL’s target audience


historically has been the youth. It has therefore created products in
portable speakers segment which are youth centric. However in India
JBL hasn’t used the marketing channels appropriately to target this
section of the market. Their focus has rather been to be associated
with renowned faces to create a brand value which has worked well
for them, but in return they are paying the price by loosing their
market share to local brands, who have been successful in targeting
this audience.

4) Slow pace of innovation – Artificial intelligence is a major factor


that has emerged in the portable speaker industries. It was only a
few months ago when JBL could roll out A.I (Google Assistant)

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enabled speakers, which were very late compared to the competitor
like Amazon echo.

5) Ignorance in marketing the USP of the product – JBL is


continuously providing products that has something unique in them
but they seem to be ignorant of the fact that those unique
propositions are needed to be marketed with the product to the
point in order convince the customer to buy the products.

6) Providing products at cheap prices - The entry level price for a


Bose speaker is around 10,000 ₹, whereas that of JBL is 1500 ₹. This
is creating an image in the minds of the consumers that Bose is
providing more premium quality products than JBL. This has resulted
in the increase in the scale of audience that JBL caters but it has also
affected the sales of the premium range speakers, as the consumer
those do not posses knowledge about audio tones tend to believe
that Bose provides better quality speakers.

7) Using Social Media incorrectly – JBL India is a very inactive entity


on the social media front. They do posses pages on different social
media channels but they seem inconsistent in terms of updating
contents. Also the associated celebrity faces are not seen positing
about the brand regularly on their respective social media fronts.

8) Lack of presence on T.V ads – JBL does produce and broadcast


advertisements through their digital networks and through Youtube.
But there is no marketing as such through television advertisements
which is still considered as the best medium of marketing a brand in
India.
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Recommendations

1) Providing Discount offers or vouchers for customers buying


different products multiple times via the official Digital and Outlet
stores. This will help in retaining the loyal customers and will also
help in promoting sales.

2) Creating a USP of each and every product in different ranges. For


Example – Huge battery backup, Water and Shockproof, Good bass,
etc.

3) Marketing the USP of the product to the point. Like the JBL GO-2
speakers are completely waterproof with IPx7 certification, than
such unique proposition should be mention as a tag line of the
particular product.

4) Since the target audience for portable speakers for JBL is youth
than getting associated with fresh faces to attract this audience is
also necessary. For example local brand like Boat are in association
with youth centric faces like Karthik Aryan, Jacqueline Fernandez and
Hardik Pandya.

5) Also Youtube is a big platform for targeting the youth. So


associating with the top Indian Youtubers will also fetch good returns
for the company. Brands like MIVI are doing that by signing Bhuvan
Bam, Mumbiker Nikhil, Ashish Chanchlani, etc.

6) JBL also needs to price its product in such a way that in the mind-
set of the customers there is no doubt about the fact that their
products are of superior quality. They can do this by not pricing their
products exorbitantly low.

7) Lastly, JBL needs to increase their social media presence and also
role out a T.V advertisement, as these options are currently
considered as the best options for marketing in India.

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Bibliography

1. www.transparencymarketresearch.com
2. www.marketing91.com
3. www.campaignindia.in
4. www.headphonezone.in
5. www.mbaskool.com
6. www.bharatbook.com
7. in.jbl.com
8. www.techradar.com
9. notesmatic.com/sony-marketing-mix-and-marketing-strategy/
10. www.thehindubusinessline.com

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