DIGICOM

Q Moblie

New Product Development and Product Life

cycle Strategies

Muhammad Ajaz Awan

Muhammad Nawaz Khan (3192)
Syed Sameer Ahmad Jafri (3202)
Muhammad Adnan Malik
 Objectives
 Q Mobile develops new quality cell phones for its
consumers.

 Q Mobile gives life style oriented products.

 Q Mobile provides a new technology in low prices.

 Introduction
 LG is renowned in cell phone industry. They re-
launched their Cell phone accessories with a brand
name of Q mobile under a new company DigiCom.
 New Product Development
 Development of original products, product
improvements, product modification and new
brands through R & D efforts.

 Q mobile introduces complete new brands with

new features rather than doing modification.
 Product Development Process
Idea Generation
 In 2008, LG suffers huge stock losses during rains.
Also LG mobiles were loosing popularity among
its competitors in Pakistan. To keep in to the
market they planned to re-introduce themselves
with a complete different brands under a new
banner Q mobile.
 Idea Screening
 They come up with different product ideas but the
idea they finalized was to introduce a cell phone
range with all the salient features of a Blackberry
in affordable prices for every one.
 Concept Development and testing
 Surveys were done in major cities of Pakistan to
take the view point of an average cell phone
consumer in Pakistan.

 Q mobile import the technology from Korea it was

their R & D Labs efforts which done further
enhancement.
 Marketing Strategy Development
 Q mobile ‘s target market is from lower to middle
lower group who wants latest features in mobiles at
affordable range. Youth is a major target market
for Q mobile.

 Product Range
E500 = Rs.7000
E400 = Rs.4000
E200 = Rs.5300
 Q mobile started with an investment of 25 million
rupees and Now 100 million rupees stock is in
hand.

 Q mobiles estimated their profitability in next year

approx 50 million.
 Test Marketing
 Before launching the Q mobiles, they were first
introduced in Karachi only to check the customer’s
response.

 50 mobiles were given to their main distributor

(Gabba Communication) and they were sold all
their mobiles in just 2 days.
 Commercialization
 Q mobile have come up with several catchy
advertisement in print and electronic media to
capture the public attention.

 Though the main focus is to spend money on

Brand distribution rather than too much lavish
spending on advertisements.
 Product Life Cycle Stage
 Q mobile have successfully crossed the mature
stage of product life cycle and now entered into
Growth stage.

 Sales figures shows that Q mobile have greatly

accepted by the public and its sales and brand
image is growing rapidly.
 Strengths
 Experience workforce of LG mobile is transferred
to Digicom which is a big strength for the
company.

 Improved Sales Distribution channel across the

Pakistan.
 Weakness
 Unknown entity in the market

 Lack of Promotion

 Not much expansion left in the market.

 Opportunities
 Pakistan is a large market.

 Most people are attracted by latest features

Camera, MP3 player, Bluetooth.

 Spends lavishly on cell phones and change them

every now and then.
 Threats
 Unstable political condition of the country. Too
much investment is not feasible.

 China assembled mobiles.

 People have more trust in Nokia, Samsung mobiles.

 If any big problem found in Q mobile phones, it will

damage the image of Q mobile.
Thank You