Marketing91

  • Home
  • All Tutorials
    • Marketing
      • Advertising
      • Branding
      • Sales
      • Retailing
      • Consumer Behavior
      • Customer Management
      • Distribution
      • Market Research
      • Pricing
      • Product Management
      • Strategy
      • STP Marketing
      • Services Marketing
    • Digital Marketing
      • Blogging
      • SEO
      • E-commerce
      • Email marketing
      • Social Media Marketing
      • Facebook Marketing
    • Brands Analysis
      • Marketing Mix
      • SWOT of Brands
      • Strategies
      • Competitors
      • Lists
    • Management
      • Communication
      • Leadership
      • Decision Making
      • Team Management and Delegation
      • Organizational Management
      • Motivation
      • Personal Development
      • Project & Risk Management
      • Time Management
      • Operations Management
    • Careers
      • Interviews
    • Business
      • Business Models
    • Human Resources
    • Skills
  • News
  • About Us
    • Contact Us
  • Academy
Home » Marketing Mix of Brands » Marketing mix of Micromax

Marketing mix of Micromax

May 23, 2023 | By Hitesh Bhasin | Filed Under: Marketing Mix of Brands

The Marketing mix of Micromax proves why Micromax has grown by leaps and bounds in India. Micromax Mobile was founded in 1991 by Rajesh Agarwaand who used to work as a computer hardware distributor. Rajesh was joined by three more Indians called Rahul Sharma, Sumit Arora and Vikas Jain in 1998 as co-founders. The four joined hands in transforming the company from a mere distributor to a telecommunication equipment marketer. And in 2008, Micromax joined the mobile handset market.

By 2010, the company had grown to become one of the largest Indian mobile handset companies and it differentiated itself by offering feature rich smart phones at very affordable prices. The company has ensured it survives the market by adapting to the changing market dynamics through the introductions of feature-rich smartphones and phones that are mostly a “me too product” and enter the market at an aggressive price. The company enjoys an impressive 22% market share in the smartphone segment in India, thanks to its excellent marketing mix.

About Micromax

  • Type: Consumer electronics company
  • Industry: Electronics
  • Founded: March 2000
  • Founder: Rahul Sharma
  • Headquarters: Gurugram, Haryana, India
  • Area served: India, Middle East, Africa, Southeast Asia
  • Key people: Rahul Sharma (Chairman) and Vikas Jain (CEO)
  • Number of employees: 10,000

Product in the Marketing mix of Micromax

Marketing mix of Micromax - 1

Micromax provides a wide range of phones with different features thus serving a variety of customers. The major differentiating factor of Micromax is that it has managed to distinguish different unique needs of customers and offer a product that solves them such as providing rural customers with long battery life, and providing urban customers with the best variety at least cost with excellent quality of smart phones. The company is also coming up with new and modern models that will provide competition to the existing mobile markers. So the company has launched many types of dual-SIM phones (this makes 85% of the total product portfolio). The company mainly produces android phones which have proved a huge success.

Starting from low end mobiles, Micromax has seen a huge success in their latest Canvas and turbo series. These feature rich smart phones have established them in the league of mobile giants. In fact sales figures show that micromax is second only to Samsung in India.

Also Read  Marketing Mix Of PVR Cinemas - PVR Cinemas Marketing Mix

Place in the Marketing mix of Micromax

The company employs a unique marketing strategy that targets the Indian market position. One strategy that it used very successfully was that it targeted the rural market when it started out. This was a unique strategy considering the fact that most companies start with the urban market before penetrating the rural markets. The first phone to be launched in the rural market was called Micromax X1i, a very unique brand that featured good battery backup. This hinged on the general consumer insight that rural folks normally have problems with electricity and producing a battery that lasts much longer would be a big success.

The success of this first phone triggered the company to make significant steps in entering the market despite the many challenges it had to face in penetrating the rural market. The problem of logistic was solved by setting up an elaborate distribution network comprising of 450 distributers and more than 50,000 retailers. One of the highlights of the company’s distribution strategy is that it made the distributors pay for the products in advance but offered generous margins as incentives in return. For those who did not make advance payments, they received thinner margins.

However, Micromax faces stiff competition from established brands like Nokia, Samsung, Apple, Spice, Karbon and cheap Chinese manufactured phones. Another issue which it faces during distribution is that it is not able to match the surge in demand and is several times found to be unavailable in the market, in case the purchase rises. Thus manufacturing needs to increase if it wants to keep its distributor base happy.

Promotions in the Marketing mix of Micromax

As already mentioned, Micromax has already gained traction in terms of penetrating the Indian mobile market which currently stands at 22%. Now the company is engaged in a marketing strategy that will help it create awareness for its products. For instance, it is trying to use Bollywood celebrities and MTV to publicize its brand image. Wolverine fame Hugh Jackman was roped in recently as its brand ambassador signaling the company’s intentions to expand its presence to the west and tap the overseas market in coming days.

Also Read  Marketing Mix Of Lloyd’s Bank - Lloyd’s Bank Marketing Mix

The company has also partnered with other companies like Yamaha, which it uses to enhance their audio experiences. It is also worth mentioning that Micromax uses online marketing, print and TVC advertising and billboards to advertise its products. Point of purchase advertising is also a strong feature of Micromax.

Pricing in the Marketing mix of Micromax

Pricing strategy is at the core of Micromax marketing strategy and is aimed at providing quality phones at an affordable price. So the company has adopted a penetration pricing strategy at both rural and urban market. The company realizes that pricing the product at a lower rate increases its market share and fends off the competition coming from giants like Nokia, Apple Samsung, among others. In fact, the success or failure of Micromax is solely dependent on the pricing of the smart phones.

The company has long term plans and wants to expand its growth to other Asian countries. It is planning to come with an IPO in later part of the year proceeds of which it aims to incur in R&D and setting up of state of the art manufacturing units apart from expanding its presence to the other parts of the world.

Liked this post? Check out the complete series on Marketing Mix

About Hitesh Bhasin

Hi, I am an MBA and the CEO of Marketing91. I am a Digital Marketer and an Entrepreneur with 12 Years of experience in Business and Marketing. Business is my passion and i have established myself in multiple industries with a focus on sustainable growth. You will generally find me online at the Marketing91 Academy.

Related posts:

  1. Marketing Mix of Gatorade – Gatorade Marketing Mix
  2. Marketing Mix Of Adobe – Adobe marketing mix
  3. Marketing Mix of Whirlpool – Whirlpool Marketing Mix
  4. Marketing Mix of IBM – IBM Marketing Mix
  5. Marketing Mix Of Chivas – Chivas Marketing Mix
  6. Marketing Mix Of Mini Cooper – Mini Cooper Marketing Mix
  7. Marketing Mix of Elle 18 – Elle 18 Marketing Mix
  8. Marketing Mix Of Gionee – Gionee Marketing Mix
  9. Marketing Mix Of Teacher’s – Teacher’s Marketing Mix
  10. Marketing Mix of VERO MODA – VERO MODA Marketing Mix
Not found what you are looking for? Search this website.

Comments

  1. Arpan modi says

    Every one should admit that micromax has some of the best marketing strategy somebody ever had. even they had launch the jhadoo mobile by knoeing the trending of the aap party. that’s the popint that i have to admit that they have some big guns to shoot.

    Reply
  2. Ayush agrawal says

    Student

    Reply

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Advertisement
Recent Posts
  • Digital Marketing: Definition, Importance, Types, Skills and Tools
  • 9 Characteristics of Quality
  • What is Television Advertising? Characteristics, Types & Examples
  • What is Women Entrepreneurship? Features, Functions and Characteristics
  • Consignment Sales: Definition, Advantages and Disadvantages
Advertisement

Marketing91

MORE INFO

  • About Marketing91
  • Marketing91 Team
  • Privacy Policy
  • Cookie Policy
  • Disclaimer
  • Terms of Use
  • Editorial Policy
  • Advertise
  • Contact us
  • Sitemap

WE WRITE ON

  • Marketing
  • Management
  • Strategy
  • Skills
  • Careers
  • Digital Marketing
  • Business
  • Human Resources
  • Operations Management
  • Marketing News
  • SWOT's
  • Marketing mix's
  • Competitors
  • Strategies
  • Lists
Search
[email protected]

Copyright © 2023 Marketing91 All Rights Reserved