OPPO Company History: “When the roots are deep there

OPPO Electronics
Corp. (commonly referred to as OPPO) is a Chinese consumer electronics firm
based in Guangdong. OPPO’s major product lines include smartphones, Blu-ray
players and other electronic devices. The brand name OPPO was registered in
China in 2001 and launched in 2004.The Company has registered the OPPO brand
name in many parts of the world. OPPO is now known primarily for its
smartphones, mainly targeting younger consumers.

 

This report will
help you to understand Oppo mobile phones in terms of the marketing channel
used by the company, the company profile and also analysing the smartphone
market in India. The report highlights the analysis which we have done with
respect to the market share of various smartphone brand present in Indian
market .This report will also help you to understand the STP strategy used by
the company along with detail analysis on the 7P’s strategies used by the
company. We have also analysed the product with respect to the product life
cycle and included the insight in the report.

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This report
includes the SWOT & PESTEL analysis to understand the factor affecting the
Oppo Mobile phones and the analysis of PORTER 5 forces model. We have also
included the analysis from tableau depicting the word cloud related to Oppo
mobile phone. At last this report will help you to understand Oppo Mobile
phones with respect to end customer as well the insights of survey done at the
retailers end to understand the movement of the product in the market.

Company History:

 

“When
the roots are deep there is no reason to fear the wind”

 

Smartphones
market has grown to the extent that they have become an intrinsic to humans of
this generation. Chinese brands hold 48% of smartphone market share worldwide.
Oppo is a subsidiary of the Chinese company BBK Electronics and Oppo has been
ranked as the fourth largest brand worldwide since 2016. It also holds 8.4%
market share globally.

 

Oppo has been
focussing on breakthroughs in selfie technology for the last 10 years. It
started its expansion outside china in the year 2010 and entered Indian market
towards the end of 2013. It tried to attract Indian customers with its
innovative rotating camera phones but failed in that attempts. It still pursued
in its path in Indian market with new models. As per IDC report of August 2017
the company holds 8% of Indian smartphone market.

 

 

Marketing Channel of Oppo:

 

While most of
the recent smartphone vendors entering India were trying different ways in
sales and marketing like invite based as in Oneplus or flash sales as in Xiaomi
to attract customers, Oppo focussed on the traditional
offline channel. The company decided that for Indian market where people
are price conscious, people will buy the product if they could access and feel
the product before buying it. Oppo has a network of 200 distributors all across
India for its product. Two months the company has got approval from Indian
government to open 550 service centres all across India. It also has made
endorsements with few leading Bollywood stars for its marketing campaign.
Cricket being the most followed sport in India, the company has made a 165
million deal to sponsor the Indian cricket team. In the Indian market, Oppo has
been expanding its offline presence by targeting 35,000 point of sales and 180
after sales service centres for giving its consumers a better experience. 

 

Company Profile:

 

Founder                                   –           Chen
Mingyong

Headquarters                          –           Dongguan, Guangdong, China

CEO                                         –           Mike
Wang

Total Smartphones launched  –           67

Holding Company                   –           BBK
Electronics

Holding Company Valuation   –           70
Billion

 

Smartphone Brand Market in India:

 

Brand/Attribute

Operating
System

Brand Origin

UI

Current
Flagship Product

Brand Feeling

Apple

IOS

USA

IOS

Iphone
X

Premium
Quality

Samsung

Android

South
Korea

Touchwiz

Galaxy
Note 8

High
Quality

Xiaomi

Android

China

MIUI

Mi
Mix 2

Value
for Money

Oppo

Android

China

ColorOS

F5

Camera
Phone

Vivo

Android

China

 

X20

Budget
Phone

Oneplus

Android

China

Oxygen

5T

Value
for Money

Lenovo

Android

China

LenovoUI

Phab
2 Plus

Budget
phone

Google
Pixel

Android

USA

 

Pixel
2 XL

Premium
Quality

Others

Android

Others

 

 

 

 

Currently in
India smartphone penetration is around 22.4% which accounts to 300 million
users. The number of users in India is expected to grow up to 550 million in
2018.

 

 

Figure 1

 

 

Figure 2

In terms of
brand ranking though Oppo maintained the 4th position in 2017, its
market share fell from 9.3% in the beginning of the year to 7.9% towards the
end.

 

 

Figure 3

Xiaomi and Samsung both
hold the highest market share in Indian smartphone market. Xiaomi launched
Redmi note 4 in 2017 which sold a million units creating a rise in revenue for
the firm. The huge success of the phone was mainly because of availability of
the phone with decent features at an affordable price. Xiaomi phones use MIUI
as their UI in the phones. The success of MIUI is attributed to the resemblance
in appearance to Apple’s ios. For Samsung its flagship phones S7 edge and S8
were most sold for their unique zero bezel design and superior quality features.
Samsung uses Touchwiz UI which is similar to the stock android with few
gestures added. Still the sales of Samsung phones has decreased in 2017 due to
the battery explosion issue in its galaxy line of phones.

 

 

 

Market share of Lenovo has started to decrease since
the start of the 2017. It has been observed that the Lenovo moto model phones
fair better in the market compared to the Lenovo model phones. In the year 2017
almost all the moto model phones were successful in the market.

 

 

 

7P Analysis

 

Product:

The Oppo has various series of phones for
different target segments

·        
Oppo F Series

·        
Oppo A Series

·        
Oppo N Series

·        
Oppo R Series

·        
Oppo Neo Series

·        
Oppo Mirror Series

While most Chinese brands focused on low-cost
smartphone market, Oppo focused on delivering stellar user experiences and
first-class hardware specs, so that consumers receive the best in both
technology and design.