Case Study Presentation :

Sony Targets Laptop

Consumers in China

Akash Kumar – 010

Allan Jeba Selvam – 012
Presented by G R Kumar – 034
Business Kanukuntla Sathwik – 040
Unicorn Rumani Chakraborty –
076
Introduction

Positioning of VAIO

Sony VAIO Marketing Plan

Segment to Target

CLUES
A study of consumer values

Marketing Research Reports

Qualitative Interview Data

COMPAS
S A segmentation study
2
Road map of VAIO

3
Findings

The Shanghai Report

● Status seeking by purchasing foreign and high end brands for quality over counterfeit local brands
● 50% of population post 1980 was working age population well educated than previous generations and
exhibited more of status seeking behaviour
● Demographic data of desktop and laptop users with Sony’s chinese market share clearly forecasted
● Helped Sony understand customer mindset and earned them an elite customer base for VAIO laptops
Customer Interviews
● Brands convey the identity of a person, a sign of status
● Social interaction for product and technology advice
● Negligence of ambiguous information
● Helped Sony understand usage of laptops by different customers

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 Chinese Laptop User Survey (CLUES)
Segmentation of Chinese customers based on usage
● Customers aged 18-55 with laptops or wanted to purchase one
● To observe similarities and differences in needs between segments
● View of market opportunities as per the current population trend
● Insights on product preferences by various groups

18% 16% 22% 16% 15% 13%

Entertainment Business Family User Tech Fashion Heavy User
Lover Focused Enthusiast Oriented
- Video
games,Music player - Fastest and - Widest
- Cool looks
etc - Productivity tools - Highest women powerful Applications
- Business - Technology driven - Trendy and
- Youngest Segment - Stylish Laptops - All round activity
technology - Interfacing of fashionable
- Do not require - Simple interface - Functional
devices - Social networking
advanced features capability

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Project Compass:

 Share tech-information with peers

16% Technosocializers  Value interpersonal relationships and social connections Impacting features
 Desire to study and master latest technology 80
17% Performance Seekers  Likes to use advanced devices 70
 Prefers stylish and brand new technology
12% Status Focused  Do not care about performance, like to show off with them
60
50
 Looks for Simple Devices
24% Unfussy Basics  Do not care about technology 40
 Values both personal and professional social networks 30
9% Functional Socializers  Uses technology to aid social connections 20
Value empowering and life-enhancing technology
22% Quality of Lifers

 Self-reliant and live for getting the most of every moment
10
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INSIGHTS

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• Being a global survey, deeper insights were available.

Te
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• Key aspects to cover for attracting larger audience :

So
i) Technology & Software
ii) Multimedia & Productivity
iii) Stylish & Simplicity
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Improving Market share

● Sony has captured only 6.1% of the entire China shares which is only half of its global shares around 11.9%.
● Special efforts needed to attract the majority of population for improving market share.
Targeting Lower and Middle Classes:
● Laptop users from Upper class are at 46 percent, whereas they represent only 10 percent of total market
population.
● Lower and Middle class show reluctance due to the higher Average selling price.
● They can be attracted by releasing the same laptop model in low and mid range prices with slight
compromises in performance aspects.
● The high end model can be continued to showcase premium features
Population Division

Male Female 7
Reference : Exhibit 3
CLUES Segment Represented within the Compass
Segment in percentage
120

100 14 2
10 19
21 19 13 16
80 17 2 6
8 15
25 15
60 41
40 23
8 22 55
40 14 8
3 15 17 15
Heavy User 19
20 22 2
Fashion oriented 21 23 21
13 19
0 Tech0Enthusiast 8
Technosocializers

Performance Se...

Status Focused

Unfussy Basics

Functional Social...

Quality of Lifers
Family User
Business
Entertainment
Lover

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Selection of Target Segments in Chinese Market

● The strategy always adopted by Sony for the VAIO laptop is to bring together style and design in their high-
quality niche product, keeping in check various factors like weight and size.

● In addition to it, revenue will be generated by those segments who plan to purchase a new laptop within short
time.

● As a result, user segments like Entertainment Lover and Fashion Oriented can be approached at first,
followed by segments like Heavy User.

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Approach to Reach the Desired User Segments

Entertainment Lover
1. Buy new computers in step with changes in entertainment
technology
2. Want their laptop to serve as video game console, music player &
Video content player
3. Are not technology experts and are sometimes confused by
advanced features

Fashion Oriented
1. Frequently access social networking sites to discuss trends and
fashions
2. Value easy interfacing among multiple devices (music players,
mobile handsets, laptops)

Heavy user
1. Less interested in gadgets and high performance, more interested
in functions and capabilities
2. Use laptops almost exclusively for all life activities, including
social communication
3. Most knowledgeable about social networking applications 10
Appendix

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CLUES Segment Represented within the Compass Segment in percentage

Entertainme Business Family Tech Fashion Heavy User Total

nt Lover Focused User Enthusiast oriented

Technosocializers 13 19 14 8 25 21 100

Performance Seekers 8 22 3 40 8 19 100

Status Focused 21 15 22 15 17 10 100

Unfussy Basics 23 17 41 2 13 14 100

Functional Socializer 19 2 55 6 16 2 100

Quality of Lifers 21 15 8 23 15 19 100

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Compass Segment Represented within the CLUES Segment in percentage

Entertainment Business Family User Tech Fashion Heavy User

Lover Focused Enthusiast oriented

Technosocializers 12 18 10 8 26 25

Performance Seekers 8 24 2 43 9 25

Status Focused 14 12 12 11 14 9

Unfussy Basics 31 25 45 3 20 7

Functional Socializer 10 1 23 3 10 2

Quality of Lifers 26 20 8 31 22 32

Total 100 100 100 100 100 100

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