Barrons: A number of hangups for Nokia

| June 1, 2012 | 52 Replies

Let’s take a look at this story from Barrons where according to their research, Lumia was a ‘hot phone’ 4-5 weeks after launch but had cooled down after in favour of the newer Droids, apparently taking the consumer mindshare.

http://online.barrons.com/article/SB50001424053111904081004577436772435135812.html?mod=BOL_twm_da

In terms of the USA and the Nokia Lumia 900 black and cyan frequently shuffle around the rankings, but have – amazingly, remained consistent in their placing. I have no idea what proportion of sales Amazon contributes.

During launch weeks, there is usually quite a lot of advertising going on around with the Lumias, but after that they kinda fizzle away. Where’s this rolling thunder we’re supposed to be hearing about?

Barrons also finds that regarding Windows Phone, it has not had a ‘significant’ positive inflection in global WP demand. Perhaps there is some significant positive demand in a rare few locations but what we need is for this to translate globally.

As such they are sceptical about ‘windows 8 handsets’. W8 handsets huh?

We have one more month of Q2 left.

BTW: Please consider the rules here before commenting. I understand this is a topic that some folks will love to flame about. Just keep things civil and on topic if you wish to comment:

http://mynokiablog.com/2012/05/29/commenting-help-tips-guides-and-rules/

Source: barrons

Cheers So Vatar for the tip

Category: Nokia

About the Author ()

Hey, thanks for reading my post. My name is Jay and I'm a medical student at the University of Manchester. When I can, I blog here at mynokiablog.com and tweet now and again @jaymontano. We also have a twitter and facebook accounts @mynokiablog and  Facebook.com/mynokiablog. Check out the tips, guides and rules for commenting >>click<< Contact us at tips(@)mynokiablog.com or email me directly on jay[at]mynokiablog.com

Comments (52)

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  1. DM says:

    When I walked into my local Three store to get a micro sim for my N9 I got talking to a member of staff, after I showed him around my N9 (which he had never seen or heard before) we started talking about the Lumia. I asked him how well they are selling and he said that when they first launched it was doing really well and they had quite strong sales, but he did go on to say that phones like the HTC one quickly overtook it and the sales of the phone gas slowed down.

    I just wanted to add that.

    by the way my local three store in Wales had a micro sim cutter which they used to cut my sim card down to micro sim size so if you need one do that in youth local store :)

  2. shallow ocean shoal says:

    Let’s see, this is what I have gleaned from [Your] Nokia Blog:

    For Global:
    Lumia 800 – Mediocre response

    For USA:
    Lumia 710 – Released on 1 carrier, T-Mobile, Above Average response
    Lumia 900 – Released on 1 carrier, AT&T, as of today bouncing between #1 to #3 ranking, and formally stated “Exceeded Expectations”

    Add Verizon, Windows 8, and PureView, and I think you are seeing your rolling thunder. Yes, the USA is not the world, but it’s a tough nut to crack, and it has been cracked.

    By the way, how are the Ashas doing? Those are some hot little devices…

    • shallow ocean shoal says:

      (rather, 1 – 3 as seen on Amazon)

    • Bloob says:

      http://gs.statcounter.com/#mobile_os-US-weekly-201218-201222

      While statcounter isn’t the perfect statistic, I do think that it shows that WP sales haven’t at least been increasing last few weeks.

      • Jay Montano says:

        The key for Nokia, and it has been evident for a long time, is that Nokia’s sales don’t simply increase.

        Nokia sales rate have to increase at the rate of the market growth (and possibly more). I’m sure Nokia is continuing to sell WP at an ok rate in USA (says Amazon anyway) but OK isn’t good enough. In order to increase market share it has to increase more than the rate that the competition is selling (and again, in line with market growth).

        There’s a consistent spike from week 20, 2012. Even in Finland. 8.19% and then back to 7.65 week after and then 7.66. It oddly corresponds to a growth for Symbian (the line for Symbian at those weeks is a mirror image to the WP one)

  3. RVM says:

    Let’s hope they will start shipping 808 asap, so it will increase ASP and revenue.

    • RVM says:

      for Q2.

    • miki69 says:

      Unfortunately it won’t. 808 will have even weaker reception, it’s a niche device (or modern term – for camera geeks), so it will have low to none impact on Nokia overall sales. Many carriers refused to order it, and those how did took quite low numbers (in Norway – 200 pieces, Greece – 180….). Bottom line, this phone will sell even less units than N8 did.

      WP8 is the only chance for big-time comeback of Nokia. If that fails, well take a look of what happen to once strong Ericsson.

      Cheers,
      Miki

  4. Paul Grenfell says:

    Lumias are selling reasonably well in Australia, but at the same time, they have lost many former Symbian customers.. So basically balanced out. We have good sales of HTC, IP and Samsung.. The new SGS3 was just launched and looks to be the Top seller. Considering Nokia Lumia isnt the only WP selling (there are several other brands as well), i dont see how they can make much of a headway.
    There is a huge demand for the 808, which could have boosted Nokias sales considerable, but alas, Nokia wont give it to us..

    • DM says:

      No offence man but that just sounds all opinion and no facts at all. Unless you have some prove about any of those points I am going to dismiss them all.

      • Paul Grenfell says:

        Well the Stats are not yet available for this year, but the trends were established last year. However,
        Allphones top 5 sellers are;]
        HTCx, SGS2 (SGS3 only just released), SGS Note, Sony Experia S, Lumia 800,
        Optus Top Sellers, SGS3, IP4s, SGS2, HTCx, SGNote, HTCs, Lumia 800.
        GSM Arena Daily interest,,
        SGS3 Daily interest 91% Total hits:4896835
        808 Daily interest 87% Total hits:3420973
        800 Daily interest 16% Total hits:5496123

        When i get the annual stats, i will post them asap.

        • James says:

          It was weird how the N9 totally disappeared from GSMArena’s daily interest about 3wks back.
          It was riding high for ages…..
          Then they had to make some changes or something, & since then it’s been nowhere near the top.

      • Paul Grenfell says:

        Message on Nokia Facebook Australia..
        “Nokia Australia Hi All,
        Our smartphone focus in Australia and New Zealand is Nokia with Windows Phone, which we believe is the best fit for Australians and Kiwis. We are not looking to bring the Nokia 808 PureView to this market, however, you will see variations of PureView imaging technology delivered to several Nokia products in the future.”

        • shallow ocean shoal says:

          The ship has sailed… ok to grieve, and then onward ho!

          • Paul Grenfell says:

            Yes,the SS-Samsung..
            SGS3 if i cant get 808 for reasonable price..I was going to get 900 for my Wife, but forget that now..Im peeved..

            • shallow ocean shoal says:

              Don’t do anything rash!!

            • steelicon says:

              I can help you get a reasonably priced Nokia 808 PV.

              • rustyknight17 says:

                Steel , could u help me get one pleaseeee ?

                • steelicon says:

                  @rustyknight17

                  All of us parallel importers and direct sellers from our regions and territories are doing what we can as of the moment. I personally have resorted contacting our Nokia country manager. We are coordinating with the rest of SEA parallel importers and direct sellers to address this issue. AFAIK I am the only one planning to sell this with little or no substantial mark up from the MSRP of the country of origin. When we can get it from another SEA market earlier, we’ll let you know. Best regards.

                  • Rustyknight17 says:

                    Many thanks steel !! The 808 PV is coming to the USA ( I’m from the USA lol !) according to Chris Weber of Nokia NA , but he hasn’t given a date … The PV is supposed to be out next week in India and a few other countries , so I’m a bit concerned … AFAIK the only NA offers now r Ebay for $999 from the UK and negrielectronics for $666.50 , both preorder with no ETA on stock grrr ! Agai , many thanks and look forward to hearing from u !

                    • James says:

                      Yeah but what Weber hasn’t made clear…
                      Is if local stock will be brought in, or if retailers will import from elsewhere. The latter = no local limited warranty/support.
                      If it’s the latter, we can kiss goodbye to any chance of good sales :(

                    • James says:

                      RE your response here….
                      http://mynokiablog.com/2012/06/01/barrons-a-number-of-hangups-for-nokia/comment-page-1/#comment-584506

                      Yeah they don’t have to sell it w/carriers if they don’t want or can’t.
                      But they could at least still make it “Local Stock”!
                      Not doing that scares away MANY who may have been considering buying off-contract.
                      Same thing happened to the poor old N9…
                      But maybe that’s what they’re hoping to achieve, who knows.

                      I didn’t know that they do still offer some basic support for imported Nokia’s.
                      I wonder if that’s true for all imported Nokia’s that aren’t official/local stock.
                      It’s still poor behaviour, they should be making the 808 local/official stock.
                      Which means “2yr coverage”* & a replacement 808 if your 808′s non-repairable!

                      *Limited Warranty’s now 2yrs worldwide, has been for about 1yr now.

          • gordonH says:

            If WP sales are weak we should keep pushing it.
            If Symbian sales are strong we should stop pushing it.

            Welcome to the Elopped world.

        • markc says:

          “Nokia with Windows Phone, which we believe is the best fit for Australians and Kiwis”

          (expletives deleted) That just makes me so angry! I’m an aussie but I have no intention of ever buying a WP phone from any manufacturer. I would like to give Nokia my money for a genuine local 808 PureView… but it looks like I can’t do that so the only “moving on” I’ll be doing is to a SGS3 and put OpenWebOS on it in another month or so.

  5. Savior29 says:

    Father’s Day is around the corner here in the U.S., I hope Nokia/AT&T bring out some new Lumia 900 commercials.

  6. stylinred says:

    major devices normally only have several weeks of “mind share” before the next thing comes along so that point of theirs seems moot

  7. DesR85 says:

    “During launch weeks, there is usually quite a lot of advertising going on around with the Lumias, but after that they kinda fizzle away. Where’s this rolling thunder we’re supposed to be hearing about?”

    I remember that in Malaysia, the Lumia ads lasted for roughly a month after both the 710 and the 800 are released before fizzling out, and the 610 ads are still running until now.

    Contrast that to both Sony (Xperia S) and HTC (One X and One S) where their ads seem to fizzle out after one or two weeks, both TV and newspaper ads. Samsung Galaxy Note ads, on the other hand, are still running in the latter regardless if it is an operator promotion or Samsung’s own ad. Maybe it does pay to be a big company dealing with multiple product lines like TVs, appliances, electronics, etc. in order to maintain that kind of advertising.

    • Nighty says:

      I don’t know about the rest of the world, but Samsung’s advertising in Malaysia compared to all other competitors are bloody insane though. They’ve also hijacked a lot of walls in key locations to aggressively promote Note.

      They have like double the advertisement presence against all the other competitors… combined.

      • shallow ocean shoal says:

        I wouldn’t worry too much about ads.

        Good technology sells itself. People will want it.

        • DesR85 says:

          “Good technology sells itself. People will want it.”

          True, assuming that most mobile phone buyers actually do research on the phones before buying them. Unfortunately, only a few do that. Most of them will end up getting swayed by the operator’s offer on either Android devices (mostly Samsung or HTC devices, to be precise) or iPhones and end up choosing those plans.

          Or if they want to buy the phone outright from independent mobile phone retailers, the attendants will persuade you to chose either an iPhone (any type) or Samsung Android devices. Very rarely have I seen them promote other Android devices from Sony or even Motorola. Not to mention that it is rare to see anyone with those devices.

          Not surprising why those two are not benefiting from the Android space based on that. It’s a pity because Sony does make good-looking (not to mention hip) devices and Motorola phones are known to be good quality and sturdy, enough to put Samsung’s phones to shame.

      • DesR85 says:

        “I don’t know about the rest of the world, but Samsung’s advertising in Malaysia compared to all other competitors are bloody insane though. They’ve also hijacked a lot of walls in key locations to aggressively promote Note.”

        Come to think of it, I also saw banners and stands at a number of mobile phone stores as well from my hometown, but no banners plastered on walls at certain locations and what not. I do agree that they are marketing their phones pretty aggressively, especially their Galaxy Note.

  8. manu says:

    absence of latest specs is one big reason for poor sales of lumia.one can by a dualcore droid with 4+inch screen for price of L800.

    • shallow ocean shoal says:

      Food for thought, the cost of the components in a Lumia 900 is higher than the cost of the components in the latest, and more expensive, iPhone…

  9. Mark says:

    Demand does ease off after a couple of months so not really a surprise. As I’ve mentioned, the Q2/Q3 sales will determine Nokia’s future.

    Bluntly, the odds are against success, at least in the short term and whilst remaining independent, but not impossible and WP still remains the least worst choice.

    If only the board hadn’t been so stupid and arrogant in 2007/8. Things may have been very different. Ah well, everything has an end.

    • With due respect says:

      Dave you heard of something called Android?

      • Mark says:

        Yeah, that’s the OS that has completely failed for Moto and SE, isn’t it?

        • James says:

          I dunno, Sony’s redoubled their efforts & become far more focused lately.
          They’re newest & coming devices are starting to look way more competitive.
          Wouldn’t be surprised if in another year they’ve gained lotsa ground against Sammy.
          Esp. since Samsung’s still spreading themselves quite thinly…

          • Rustyknight17 says:

            Regarding ur earlier reply to me , ur right , Chris Weber didn’t specify whether the 808 stock would be local .BUT he did say it was coming to the USA so I should think there would be some local stock , e.g, Amazon , newegg etc , don’t think the carriers will be sellling it …
            I recall that the 701 never did come to NA officially , yet it was available here in the USA , albeit only through importers …
            U also mentioned that if no local stock , no warranty support . That’s not quite true . The way a Nokia Care rep explained it to me is that they will service even non USA phones , provided u buy them from a USA retailer and u r within the one year period . The catch is , if the non USA phone is non repairable , as my 701 was , they will replace it with a original S3 phone , a steep downgrade grrrrrrr !

  10. Aliqudsi says:

    It would be amazing if they had some sort of record number before Q2 results come out ( 5 or 10 mill?) is that too much?? Although honestly speaking I’ve been in chicago for the past week and have yet to spot a Lumia in the wild (although admittedly I havent been out much) but when is topped by the At&t store I did spot a couple of customers trying them out and one walked out with one.

  11. rustyknight17 says:

    Well , well , it`s a bit early to say for sure but looks like I may be right .I`ve always said that WP has potential but it`s immature ( Takes 3 years to work out enough of the bugs and enough features in , to make a new OS reliable ) , seriously to the party and too many OEMs trying to get a piece of the action .
    Of course , to be fair , the Lumias haven`t been out too long , nor has Nokia had a chance to leave their mark on WP , though I understand they will with WP8 . I certainly hope so and I hope also that WP8 is a game changer , it needs to be …
    By the same token , however , WP hasn`t exactly taken off either ,it`s marketshare is still single digits . As I`ve been saying , I really don`t see WP as more than moderately successful at best. not in the third world due to infrastructure issues . Developed countries countries , yes , at least some of them .. USA , Finland and Russia , the Lumias r doing well , but many others , not so much , such as the UK . Nor do I see it doing well in China , most of the buyers there seemto be fashionistas and the more affluent , ditto for India .
    This is why I call for Elop`s firing ( and Ollia too , while we`re at it ! ) .Elop deliberately sank both Symbian andMeego to promote WP . He should be fired because if ur company is in dire straits , u don`t go killing proven cash cows ; in 2010 , Symbian was growing . Once 2011 got here and the memo rumours started flying , Symbian started decreasing and that decrease increased sharply after Febuary 11th .
    Ali , I haven`t seen a Lumia in the wild either !
    Miki , I susopect the 808 will do better than u think . After all , the N8 is a niche device too yet it did quite well !

  12. Twig says:

    Barrons is Murdock media which is in the calls for Aapl. ..enough said.

    although it was funny listening to Rush(Murdock media) trying to pump ipad sales after the Surface was shown by saying the ipad was cheaper to charge.

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