Vertu Luxury Branding

connoisseurship presentation for cross offing for Luxury mathematical products course. HISTORY The virtu originally started in 1998 in Great Britain, now wholly own subsidiary of Finnish comp either Nokia. The same course of study erecter and headsman Designer, Italian Frank Nouvo began ordainting his ideas for virtu on paper and the climb on of Nokia gave the cipher a green light. Frank Nuovo was a design strategist at Nokia from 1995 to 2006, when he left to become connoisseurships turn over designer full time. Also in 1998 the company made it a company principle of hand making their products with exotic, r atomic number 18 and naturally perdur satismanufacturing plant materials.In 1999, their characteristic V form was established, and it is still eminently visible crossways the connoisseurship product portfolio. In 2000 connoisseurship began taking shape as a company, locating their headquarters in England, and started an extensive Research and Development- project and decided on some of the parts that would go into the phvirtuosos as come up as some design decisions, such as the arrange on of sky-blue crystals as a design-tweak. Three years in to operations, virtu was grant the vertu Concierge Service as a patent and this is still one of connoisseurships edges in the luxuriousness cell call offs grocery. connoisseurship launched what they themselves discover the irst ever extravagance smooth recollect near the Eiffel tower in Paris in 2002, the vertu contact. With the first phones now available on the sensitively created market for naughtylife phones, Vertu too had the opportunity to stomach one of their invitees help done the concierge service, with a flight from London to sweet York. In 2005 10. 000 concierge requests was made according to Vertu, a figure that is, and should be ( collectable to their customers privacy), heavy(p) to confirm. In 2003 they open their 50th retail location. By 2010, Vertu had to a gre ater extent than 90 own boutiques and was sold in over 600 locations in roughly 70 ountries, worldwide, according to Nokias financial statement for 2010. In 2007 Vertu went on a joint venture with Ferrari, creating an special edition phone marking the car companys 60th anniversary. CONCEPT AND singularity The concept of Vertu is to appeal to heights-end customers who look for something unique in their mobile phones. Through tingeing target customers standards about design, materials, legal injury and deformity Vertu has created a market for full(prenominal)life mobile phones. The additional serve, such as the Vertu Concierge give customers an elevated experience. Vertu aims to enhance and en productive customers lives through the services and products we offer. This enrichment bequeath now further extend to the experience in our hive aways with a focused, tailored approach to customer interaction. by Perry Oosting, President of Vertu BUSINESS STRATEGY Nokias first idea was to create a phone that was apprehendly contrary to the companys mass phone distri unlession and enter the luxuriousness market by creating the subsidiary company Vertu. In clubhouse to preserve the lavishness chain and status of Vertu, the phone was non associated with Nokias mass mobile phones.During the recession in 2009, the CEO Perry Oosting, announced that Vertu was launching cheaper phones and accessories as a tool to stop up the market shargons and survive the recession. recently 2011, the new CEO of Nokia, presented the new strategy to use a new operating system from Microsoft for their smartphones. This expirationed in a giant downfall in market shargons. As mentioned above, Vertus flagship stores are located at the more or less grievous bodily harm shopping districts, amongst other Rodeo Drive in Beverly Hills, in order to be associated with the same luxury atmosphere as the neighboring shops.Vertu overly put a huge emphasis on the store layout, everyt hing from special supply for the display cases, to the floor and lightening. For the ultimate luxury experience, they also provide high personal service with top skills. For the scoop shovelness and status of the luxury phone, it was chosen to be launched in connection with personal manner shows at Paris stylus week and was thereby becoming to be viewed as a fashion provoker instead of a technology smirch. This was a strategic pass to strengthen the image if the leaf blade. Vertu chose to launch their products in the BRIC countries, which consists of some of the most emerging markets in the world today.Additionally, the midway East and Japan are also two super important markets for Vertu, partly due to the inviolate technology awareness in these areas. The sales in these countries are bigger than in the western countries and the luxury company is exploiting the new wealth of the generations with high luxury awareness and taste. In order to gain greater market share in th e British and Hong-Kong market, Vertu has numerous joint ventures and partnerships with jewelry stores, such as King Fook Jewelry in Hong-Kong and Goldsmiths in Harrods, London. We experience communications technology. We believe now that we understand the luxury industry. It will strickle something for competition to match that. Nigel Litchfield, former president of Vertu, 2002 MARKETING MIX Product Vertu sells hand-made luxury phones made from fine materials care gold, platinum and sapphire. along with every purchase the buyer receives superior service and is entitled to dispatch concierge service which assists users with exclusive services handle restaurant and hotel reservations, priority bookings, and a orbiculate recommendation network. scathe Vertu prices roll out from $5,000 to over $300,000. The prices vary with the antithetic collections and the materials that are used in them. Place Vertu phones are selectively distributed. They are available at company-owned b outiques and at other various company-selected luxury stores like London Jewelers, Goldsmiths, Tourneau and Colette. Vertu locates its stores in luxury shopping districts of larger metropolitan areas and opens comparatively few stores. The stores are small, intimate and tolerate a luxury feel more like that of a jewelry store than a cell phone store. exclusively sale locations toilet be found on vertu. com. Promotion Vertu acquires much advancement from sales to celebrities like David Beckham, Madonna and Gwyneth Paltrow. As well Vertu has collaborated with big brands before like Ferrari, Boucheron and Audemars Piguet. Vertu releases different collections at different times and will all exercise a certain number of phones in order to keep a prestigious image and attract buyers. Vertu has a website for publicity which features product descriptions and photos of celebrities who own Vertu phones. POSITIONINGVertu was a pioneer in the luxury cell phone market and has positioned it self as the top-of-the-line targeting high-net-worth individuals. Vertu accomplishes this by using only the finest materials to manufacture their products which are all handcrafted ensuring that every product is of staring(a) quality. Vertu will release different collections each featuring different materials and designs which make the collections unique and prestigious their most expensive line ever was the Signature Cobra designed by Boucheron, only eight were made and they cost $310,000 each.Vertu will often collaborate with other luxury brands, like Boucheron, Audemars Piguet and Ferrari, to extend their mastery and name in the luxury product world. Vertu offers superior and individualize service to its clients, including a free concierge service anywhere in the world, guaranteeing customer satisfaction and loyalty. They also position themselves by showcasing the celebrities who own their products as an singularity that their products are for the rich and famous.Vertu has l ocations all over the world in 70 countries however they open relatively few boutiques solely in luxury shopping districts of large cities and thus are considered selectively distributed. Vertu boutiques are de wienerent, small, intimate venues which offer personalized service to clients wishing to make a purchase the other stores licensed to sell Vertu products are also luxury stores like Tourneau Watches and London Jewelers in the United States, Bandiera Jewelers in Canada, Colette in Paris and Ernest Jones in London.Vertu very successfully maintains a prestigious image with its ultra-luxurious products and superior service through its positioning. vertu SERVICES vertu brand offers services that are unique, independent and carefully customized to the particular needs and desires of their customers. All services are integrated into lash-up. connoisseurship CONCIERGE Vertu Concierge is added directly to the customers handset, offering luxury assistance and enrichment. The servic e is offered by verbalise call or email, and access through a dedicated signalise on the cell.At the moment of virtu phone registration and activation of connoisseurship Concierge service, initial fitting call is proposed. It can be done instantly at purchase time or later up to clients choice. The fitting call gives an opportunity to have full bill of services offered by Concierge, as well as client can ex weightlift her/his needs and desires which will be matched to this service. This includes the establishment of personal preferences, the range of the service they would wish and significantly, the sort of contact they wish to receive from Vertu.The Vertu Concierge Classic service offers the client with 24/7 access to a team of lifestyle managers, situated within a network of global centers covering all the main time zones including London, Dubai, Hong Kong, Tokyo, and San Francisco. Vertu Concierge also has managers on the ground in major destinations in order to create te rmination relationships with specialist suppliers of goods and services specifically for Vertu clients. Many customers choose to use Vertu Concierge for their travel and lodging requirements as Vertu has protected exclusive opportunities for its clients.Vertu Concierge can contact the widest network of hotels, restaurants and airlines, and can as a result meet the exact preferences and expectations of their customers. Vertu Concierge clients may also ask for die hard with purchases ranging from small luxury items to accompaniments to their property range. Vertu Concierge is available in English, French, German, Italian, Russian, Arabic, Japanese, mandarin orange tree and Cantonese. Vertu Classic Concierge is included free of charge for one year from the date of purchase of a Vertu handset. VERTU CITY BRIEFVertu city Brief is a global digest of knowledge covering more than 200 cities and destinations worldwide. Launched in September 2009, it is now one of Vertus most utilized serv ices. Independently written for Vertu by experts in their respective fields, Vertu City Brief is available on Vertu handsets in English, French, German, Italian, Russian, Arabic, Japanese and Simplified Chinese. Refreshed and updated on a pay spikeletness basis, Vertu City Brief al secondarys the user to hit the ground discharge on arrival in an unfamiliar territory or to search new or exciting opportunities in their home town.If the customer does not see anything which exactly meets their requirements, Vertu City Brief is the perfect aspiration to begin a conversation with a Vertu Concierge Lifestyle Manager. VERTU SELECT Vertu Select delivers original articles selected to inspire, inform and entertain establish on a users region, preferences and passions. Written by carefully selected global journalists, experts and organizations, the articles appear via the handsets RSS feed once a customer has registered their phone. Vertu Select is available in English, French, German, It alian, Russian, Arabic, Japanese and Simplified Chinese.VERTU. ME Introduced with the launch of conformation Quest in October 2010, vertu. me is a service that provides the user with a Vertu email account and effortless harmonization of the devices lifestyle and business tools. Should the customer choose, the users emails, contacts, calendar and task information can be automatically synchronized with Vertus secure servers, giving the benefit of protected back up of their data. Vertu offers the consumer complete peace of mind. Should the handset be lost, this data can be retrieved and seamlessly downloaded to a replacement phone.The system also en trusteds that whenever the vertu. me account is accessed, whether from the phone, a home or office computer (PC and Mac) or via the web, this information is up to date. TARGET CONSUMER The Vertu mobile is a highly luxurious product, which doubtlessly is made to fit the extremely wealthy population of this world. The main customers are rich and found in the urban areas, who are ceaselessly searching for the extraordinary products. Furthermore, their flagship- and department stores are situated in the finest areas, in order to attract the highly rich international shoppers. These are mess who buy the outgo quality watches, the best quality fashion devices Nigel Litchfield, former president of Vertu The special features and services of the phone such as the Vertu Concierge, attracts customers who are constantly travelling worldwide jet setters. The Vertu mobile was the first phone which was able function in over 180 different countries. This fact cover many needs and made it rapidly attractive for people who were constantly traveling such as celebrities and high ranked business people. In fact, Madonna, Beckham and Gwyneth Patrol were some of Vertus first users when it was launched.CONSUMER-BASED BRAND EQUITY PYRAMID crack Salience For Vertu achieving right brand identity involves brand salience. flock generally are not still aware of VERTU because it is relatively young brand and promotion is quite narrow. However their target consumer for sure can disavow and recognize this brand. So conclusion here is that grease salience is more depth than breadth. This basically means that even gibibyte there are not yet many people subtle VERTU, but those who do , they know all insights of it, can easily recall it and understands what this brand is about.Brand Performance The product itself is at the heart of brand equity, as it is the primary influence of what consumers experience with a brand, what they hear about the brand from others, and what the brand can tell customers about the brand in their communication. Brand Performance relates to the ways in which the product or service attempts to meet customers functional needs. This is on top level for VERTU brand. It is crucial to institute to customers desires, wants and needs. Vertu brand highly represents all what their HNWI customers want to have for pay a high price.The product is highly durable it has distinctive logo, agio pricing and advanced technology in gadgets. Unique services provided for customers by VERTY also attributes to brands performance. Brand tomography Another varying CBBE Pyramid is second type of brand meaning which involves brand imagery. Imagery deals with such a properties of a product, which meets customers psychological needs. It is more about what people think of it, how they see it. VERTUs imagery is extremely individualist and stylish.When customer is buying VERTU cell he/she buys a hit of it as well. As of VERTUs customer has a noticeable judgment of a brand as high quality luxury product. Credibility is high and customer see VERTU as superior, opportune brand. Brand Judgments Brand judgments focus upon customers personal opinions and evaluation with regard to brand. This involves how consumer put together all from performance and imagery association to make human body of an evalua tion. VERTUs clients evaluate this brand as a high quality luxury brand.Brand Feelings This variable shows emotional response with respect to VERTU brand. It shows what feelings are evoked by the marketing strategy for the VERTU and how does it extend to feelings about themselves and relationships with others. Customer of VERU is for sure status-conscious person. Customers of VERTU have a unique and warmth feeling about the brand. It can be exciting due to special relationship of beauty and technology in brands products. Customer feels it is trendy and relates to special status and therefore tender approval.Customer feels high security within this brand due to all advantages provided. As VERTU makes consumer feel better self-respect, pride, fulfillment and accomplishment also occurs. Brand sonorousness Final variable of pyramid shows brand relationships with a customer base on Salience, Performance, Imagery, Judgments and Feelings. As for VERTU even if general awareness is low the behavioral loyalty is very high, customer want to get back to this brand, consequently repeat purchase is possible. Brand loyalty is necessary but not sufficient for resonance to occur.Within VERTU brand customer is not returning to this brand again due to, for example, scarce of substitutes. VERTU win their main goal- safe personal attachment to brand. It goes beyond of having just a positive attitude to view brand. Another important part of resonance is active engagement. This probably is the strongest affirmation of brand loyalty. It occurs when client is willing to cast time, energy, money in to the brand. Constantly customers of VERTU are invited to special social events created by VERTU worldwide, and they are participating.Therefore VERTU has a very strong relationship with its customer. SWOT ANALISYS FOR VETRU STRENGHT * Masterpiece of design, engineering, and craftsmanship * Was truly innovative pioneering brand * Strong reputation (Products have established strong reputation in their field) * Global expansion (Includes significant growth over last 10 years) * Customer service * Control of Quality(As produced just in one factory in England) * London Symphony Orchestra is creating ringtones exclusively for each model of Vertu WEAKNESSES Extremely high production price (which leads to high product price) * limit access as distribution is exclusive and limited (Missing opportunities for new customers) * not able to buy online (More customers now go online) * Not enough technical foul innovation again (Many customers claim that gadgets are beautiful but not really practical) OPPORTUNITIES * E-business (launch buy option online) * Emerging markets * Mix VERTU styling with Nokia (in order to increase awareness ) * Change of consumer lifestyle (growing demand from young and higher-ranking people) THREATS Increasing Quality of Competing Products and Number of those * Importance of counterfeiting (Chinese counterfeiting factories already picked up th e idea) * Newer forms of luxury and innovation are constantly changing COMPETITORS GOLDVISH Brand established in Geneve, Switzerland in 2003. Very Haut-Couture style but extremely not practical. Cells are difficult to buy, narrow distribution channel. View itself as a pioneering brand of luxury cell phone on official website which is obvious lie. The pioneering brand was VERTU. Only 3 lines of phones are developed since 2003.The most expensive gadget is Le Millionaire and it costs $1,000 000. MOBIADO Canadian-based manufacturer of luxury phones with modern minimalistic design launched in 2004. It has 3 main lines Classic, Professional and Grand Line. Mobiado actively participates in social events in North America (such as Golden Globes and Couture dash hebdomad in NY). The brand is not very popular in Middle East and Europe. Still Distribution channel is not wide enough. Price range is from $1,900 to $57,000 GRESSO Gresso is Russia-based company which started its activity in 2007, so it is the newest competing brand in luxury phones field.Gresso has 5 main lines and they also provide customized phone for their clients. provided mostly popular in Russia and Vietnam, Ukraine and one distributor in regular army so far, however it is compensated by their option to buy products online. For Gresso products price range is from $3,000 to $42,000. RECOMMENDATIONS Focused and customized segmentation is valuable in this market, so VERTU must continuously concentrate on their customers needs and desires. As any luxury company which faces constant global expansion it has to pay economic aid to counterfeiting problem. For example, Apple Inc. ow faced big problem in China where tout ensemble Apple stores are opened and being fake. China already produces cheap unqualified cells, abusing the brand VERTU, so losses in long-term might be significant. VERTU must work on stiff anti-counterfeiting strategy in order to preserve the face of the brand. During this study we have discovered that general awareness of the brand is still low, therefore VERTU might collaborate with mother-company Nokia in order to produce some mixture of mix and make the brand more popular and easily recognized, as for example HM and Roberto Cavalli collaboration.Vertu is constantly launching Limited magnetic variation lines which are sufficient in this market, because best consumer wants something distinctive and really exclusive, and more important, the customer is ready to pay for that. Partnership with Ferrari, Boucheron and Ermenegildo Zegna increased popularity of the brand considerably. For that reason, we provoke VERTU to collaborate more also with fashion designers, thus gaining also fashion group customers. 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