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31 May 2011

The Blackberry boys: A failed repositioning strategy in the mobile phone market

Blackberry used to be synonymous with corporate -workhorse devices known for security and reliability . But the iPhone and Android smart phones with large app stores look like the best business models in the fast moving telcom industry. My estimate is that Blackberry has  lost the battle to iPhone and Android market. (The chief marketing officer Keith Pardy has left the company in mrch 2011. Not a good sign.)

People do not want an affordable corporate mobile phone, they rather want a sexy new one. No matter if you are corporate or not. The competitive advantage of Blackberry in the corporate world has gone and Blackberry is not sexy enough to compete in a consumer market. That is why they are forecd to start a world wide repositioning strategy, downgrading the brand image by offering it to consumers.


Repositioning Blackberry
In South Africa Blackberry is repositioning the brand as a consumer and business brand instead of only a corporate brand. They have a 4% mobile phone market share, but consumer intention to buy a blackberry is high.  Suggesting a strong growth the next period. At least according to Rudolf Muller in http://mybroadband.co.za/news/cellular/19363-why-blackberry-rules-in-sa.html If this approach will work remains too be seen.

 
 
In India the Blackberrie mobile phone brand also follows a repositioning strategy . The youtube viral movie (sort of bollywood style) is nice to watch.

How effective is the repositioning strategy?
A critical review of this move by kaustav sengupta
http://ingene.blogspot.com/2010/10/we-are-blackberry-boys-blackberry-is.html
If moving to a mass market and losing the elite image is a smart move of blackberry remains too be seen. It can be seen as a downgrading. It could dilute the value of this brand and the elite will no longer use Blackberry. They will switch to the next big thing. Blackberry will have difficulty competing against mass market mobile phone brands and app platforms like Iphone and android based phones.

As the brand grows there is always that temptation to make some more bucks by repositioning your brand and targeting the unconventional prospects. Many brands fall prey to it and most of them fail, because one thing in a human brain can occupy one association at a time, in most of the cases. Going against this basic law about how humans percieve and then act and react leads to so many failures in re-positioning attempts by brand managers across the globe. Blackberry is trying to do something very "cheap" in terms of re-positioning a brand; just a communication facade and wrap up to enforce the Boy thing. It might give them some more boys and girls singing to their tune but more importantly and more likely, it can take away that loyal class of Executives which build the brand Blackberry.This is not at all an impressive move by the strategists and brand people at RIM."...



Blackcherry, an indian Blackberry clone.
This BlackBerry rip-off is available to you at just INR 2799. (around $60,-)
Features: Dual SIM, Dual Battery, Dual Memory Card Slot


If your brand is copied you must have been good. But I doubt how long this clone will be around considering the downgrading of the Blackberry brand.




http://techcrunch.com/2010/06/28/rim-sexy-blackberry/

http://online.wsj.com/article/SB10001424052748703580004576180721135993118.html

6 comments:

  1. I think blackberry should focus on social marketing campaign like Iphone.

    social media management

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  2. there have very useful strategy in the mobile phone market. i am very impress blackberry campaign.

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    Brand Consultant In Singapore

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  3. It's great post! I liked your blog very much. Blackberry is really nice mobile in our view. It's mobile structure is also the so good and easy to handle it. On the other hand Brandharvest is the banding company based in Mumbai, India. We do consulting for Brand strategies and positioning. For more details visit at: http://www.brandharvest.net/brand_strategy.htm

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  4. Hii.. I enjoyed this post a lot. Its really very informative and nice write up. Thanks for sharing this post. brand repositioning

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  5. I like your post. Brandharvest is is leading brand consultancy company in India. For more details visit us http://www.brandharvest.net/

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