BlackBerry in India: Losing its Premium Image?

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Case Details:

Case Code : MKTG291
Case Length :16 Pages
Period :2010-2011
Pub Date : 2012
Teaching Note : Not Available
Organization :Research In Motion
Industry : Smartphones
Countries : India

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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Excerpts

Mobile Market in India

In 2011, the Indian mobile market was cluttered with more than 100 players. However, only 10 players had a significant presence. The majority of the Indian mobile market was catered to by Nokia , Samsung , Micromax , BlackBerry, LG , G-five , Karbonn , Spice , Maxx , and Sony Ericsson...

Blackberry in India

BlackBerry entered India in 2004 with the help of carrier Bharti Airtel Ltd. In 2004, BlackBerry targeted the enterprise and business segments in India. It helped Small and Medium Enterprises to manage their business communication through its unique feature, Blackberry Message.

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During the launch of BlackBerry in India, Don Morrison, COO, RIM, said, "BlackBerry is designed to provide mobile professionals with the best combined wireless email, data, and phone experience. Its unique value has fuelled adoption in thousands of companies and government organizations throughout the world. Research in Motion, together with Bharti and its strong technical and service capabilities, is now aiming to bring the same level of experience to the Indian telecom market"...

Pricing

To cater to different segments, RIM changed its pricing too. "We have built up a portfolio at different price points to target different segments of consumers," said Krishnadeep Baruah (Baruah), Director, Marketing, RIM India...

Distribution

Baruah claimed that the youth and teenager segments were the fastest growing for BlackBerry in 2010. To reach the target segment, the company required a wide network of outlets. But unlike its biggest competitor Nokia, BlackBerry did not have exclusive stores. To improve the enterprise segment sector, RIM added Ingram Micro as a distributor in August 2011 for India. BlackBerry appointed Redington India as national distributors for GSM handsets. Also, Brightpoint India was appointed as National distributors for CDMA and genuine accessories. In addition to successful growth in Tier-I cities, RIM planned to strengthen its sales and service network in Tier-II and Tier-III cities...

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