Does the Fighter Brand Strategy Work for Mobile Phone Market? Part I

A fighter brand strategy is about offering a lower-priced brand, usually by a prominent company that already holds a strong image and premium offers to the market, with a view to fighting the low-priced competitors with its low-priced “fighter version”. Obviously, this strategy aims at safe-guarding the long-term market share of the premium brand and put the fighter version at head-on confrontation with the low-priced competition.
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This has been a classic strategy by marketers in many instances. Nokia’s Asha series could be an example. Companies having premium brands often draw competition based on all possible fronts like price, features, warranty etc. Just like in the global mobile phone (hardware) market, the low-priced competition has been intense for quite a long-time in Bangladesh also. However, the most noticeable thing would be the immense improvement in quality of these cheaper phones during the last few years. Thanks to the hazy and reluctant enforcement of intellectual property laws in the developing world (no pun intended) and growing ability of thirsty techies whose ability to reverse-engineer has galloped lately. Perhaps this was the reason why big premium companies did not feel the necessity of launching fighter brands until recently. They started feeling the pinch on their premium brands’ market share since many of the cheaper brands can offer almost equivalent specs, performance and warranty, except the image. Companies have to accept these realities on the ground. (read more)

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About 1mmarketing

Working as Associate Professor, School of Business, United International University, Bangladesh; a North-American graduate, with doctoral studies from UUM, Malaysia; cherishing a wide-view of the world, with multiple interests in culture, people, traveling, and specifically marketing science. I have a colorful and diversified background with a blend of corporate experience, research, consulting, training, public speaking and teaching. I love to write about marketing issues that affect our lives, and talk about its direction that would promote the greatest human welfare.
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