April 6, 2013

Assignment on
Marketing Plan of Rovio

Marketing Plan for Rovio Gaming Consol

Executive Summary
Rovio is going to launch a new game for its user Angry Birds Series already make a huge The product offers unique features and benefits to the customers. The company is targeting specific segment in customer and business market and trying to get advantage by creating high demand. The primary marketing objective of the company is to sale this product in its own market at least 3 million and companies financial objective is to earn at least $50 million and keep first year losses to less than $5 million.

Current Market Situation

Rovio Entertainment Ltd. is a privately held entertainment media company reponsible for the hit mobile game Angry Birds. The privately-held app developer is backed by venture capital firms Accel Partners and Atomico Ventures after undergoing a Series A funding round in March 2011. In addition to Angry Birds, Rovio has released dozens of other titles, and has historically focused on real-time, multiplayer games. The company originally produced games for mobile devices, but has since expanded to computers and video game consoles to boost sales of Angry Birds. Rovio Entertainment Ltd. opened its first Angry Birds retail location in 2012 in China, Rovio's fastest growing market. Nintendo Co., Ltd. is a Japanese multinational consumer electronics company located in Kyoto, Japan. Founded on September 23, 1889 by Fusajiro Yamauchi, it produced handmade hanafuda cards. By 1963, the company had tried several small niche businesses, such as a cab company and a love hotel. Nintendo is the world's largest gaming company by revenue. Nintendo developed into a video game company, becoming the most influential in the industry, and Japan's third most valuable listed company, with a market value of over US$ 85 billion. Nintendo of America is also the majority owner of the Seattle Mariners Major League Baseball team.

The name Nintendo can be roughly translated from Japanese to English as "leave luck to heaven". As of October 18, 2010, Nintendo has sold over 565 million hardware units and 3.4 billion software units.

Market Description
Rovio have consumer and business buyer s in their market who want to use something new innovative exceptional. Specific segment being targeted those are household user and reseller for the first year. There are different types of model available in the market buyers can choose any one of them depends on different features. Rovio is focusing on their HD feature. People now prefer HD quality display for their entertainment with HD display and sound rovio included internet browsing and searching feature. With internet browsing feature consumers are enabling to search anything in the internet and they can easily download their search item on their computer. As a result consumer and business buyer are hoped to use this Game consol.

Product Review
Rovio Rov G-1 offers the following features 1. HD quality picture 2. Ultra fast internet via Wi-Fi 3. Intelligence peak LED 4. X-Reality picture engine 5. Motion flow XR 800 6. Edge LED 7. Intelligence picture 8. Motion flow 200Hz Expected sales revenue from the first year operation is $150 million from the wholesale of 6,00,00,000 units at $250 par. Rovio is also planning to introduce Rov G-2 in the second year with the following features 1. Skype ready 2. Internet TV 3. Facebook & Twitter built in.

Competitive Review
Several competitor are playing in the market with their different quality product like Nintendo, Sony, and Activation. Though there are few competators but they are strong competitors in the market place Rovio hope that it may able to capture the attraction of the consumer with its different features of game consol.

Channels and Logistic Review

The distribution process of Walton would be done through a network retailer of 35 Bangladeshi markets. Among them most important channels are 1. Online retailer: eBay, Amazon & Alibaba.com. 2. Computer stores: High Tech computer will carry Rovio product. If the company found great change in demand then the company will change its retail network.

Threat and opportunity analysis

In the way of Rovio there are some threat and opportunities those are

Threat
1. More companies are entering into the competition as a new brand it is a clear threat for the Rovio. 2. Due to increased competition the price of Game Console is decreasing it may not be possible for the Rovio to achieve its expected profit.

Opportunities
1. The price of Rovio game console is low so it is opportunity for Rovio to earn more profit. 2. As the product is innovative so the company hopes to get more customer attraction.

Weakness
There are some weakness regarding the product of Walton those are 1. As the brand is new in the market there is low awareness regarding this brand this is a weakness of the Rovio. 2. Also the Design of Rov G-1 is Heavy then other competitors Gaming Consol which may affect the competition of Rovio.

Objective and Issues

The objectives of the company are

First-year objectives
First-year objective is to earn Sales revenue of $150 million from the wholesale of 6,00,00,000 units at $250 par.

Second-year objectives
Change the design and increase sale total of 10,00,00,000 units of product.

Issues
Companys major issue is to establish a strong brand name for this issue company is ready to make large investment. Company would try to measure the awareness and response so that it can able to adjust its marketing effort properly.

Marketing strategy
Rovios marketing strategy is based on product differentiation. Company is targeting upper and middle class people who want to enjoy quality product with an affordable price. Company is also targeting higher level customer who dont think about product price. Company is also targeting wholesaler and retailer who want to sell new product and who want make customer introduced with a new product.

Positioning
Using product differentiation we are positioning the Rovio Rov G-1 as the most innovative and user friendly Game console. Our marketing strategy will try to provide the proper information to the targeted consumer.

Product strategy
The Rovio Rov G-1 will have one year warranty with the entire feature which already described earlier. Attractive brand logo will be attached with the product. Rovio Rov G-2 will be lunched with in the middle of the next year.

Pricing strategy
Rovio Rov G-1 will be available at $225 wholesale and at $250 estimated retail price par unit. We hope to get share of other competitors by lunching Rovio Rov G2 game console at $260 retail price par unit.

Distribution Strategy
Our marketing strategy is to use the countries well-known stores and online retailers. We will add more channel partner until we get full coverage to the whole country. Company will also use tele-marketing.

Marketing communication strategy

We will use all the media for advertising to reach our customer. We will also run advertising research for knowing the proper media and proper timing for advertising. Company will also create facebook game, facebook fan page and facebook group through which the company will easily able to communicate with its consumer. We also arrange a game competition and give 1000 user free game consol

Marketing Research
We will perform marketing research for knowing the specific features and wants that the consumer demanded. We will try to get the feedback of the consumer that will help us to develop our product and reduce problem regarding the product. Brand awareness will help us to determine the power of our advertising and efficiency of our media using.

Marketing Organization
Mikael Hed
Chief Executive Officer

Mikael Hed is the CEO of Rovio. He has transformed Rovio from a game studio and development partner to a world leader with the number one title in mobile gaming, and he is committed to taking the Angry Birds phenomenon to previously unseen heights.

Niklas Hed
Chief Operating Officer

Niklas Hed is the COO and co-founder of Rovio. In addition to running the day-to-day business at Rovio, he also helps steer Rovio's ambitious new forays outside the gaming domain.
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Peter Vesterbacka
Mighty Eagle, Chief Marketing Officer

Peter Vesterbacka is the CMO and Mighty Eagle of Rovio. Peter drives the companys marketing and brand strategy, taking Angry Birds to new and unexpected places.

Action Program
The Rov G-1 will be launched in December on the charismas eve. Following are the summarized action program for first three month

May: We will launch a $50000 trade sales promotion program. We will also take
part in the major trade fair. We will offer free sample to the consumer for their trial as charismas gift. We will try to find out powerful blogger and we will make our Facebook fan page and Facebook group more attractive.

June: We will start our internet, radio, print campaign targeting our consumer
that will show the functions of our product. We will use multimedia campaign for our product.

July: With the multimedia campaign we will also arrange offer for the consumer
that how they are using the product and sharing it in our Facebook fan page and give them chance to win different product. We will also use radio campaign.

Design of Rovio Rov G-1

Budgets
Expected revenue from the first year operation is projected $150 million with an average whole sale price of $250 per unit and variable cost of $10 per units sale of 6,00,00,000 units. We anticipate first year loss $5 million. Our break-even analysis of Rovio Rov G-1 assumes per unit profit of $50. Variable cost of $60 per units and estimated first year fixed cost of $ 3,90,00,000.

Controls
We are determining close controlling activities that will help us to Display quality and customer service. This will help us to response early in any issue.

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