Panasonic Marketing Mix
Panasonic Marketing Mix
Panasonic Founder - Konosuke Matsushita. Brand Slogan - A Better Life, A Better World. Founded Year - 1918 in Osaka, Japan
Panasonic is a well known global consumer electronics company. However, it also operates in three other divisions apart from consumer electronics including housing, automotive and B2B. The brand is known for innovative technology and quality and aims to make products that enrich people’s lives. In the recent years, it has also focused on business restructuring and reorganisation. The business world has become highly competitive and it is why Panasonic has shown heavy focus on R&D. In the fiscal year ending April 1, 2017, the brand achieved consolidated sales of 7343.7 Billion Yen, of which the largest percentage came from Appliances and Automotive and Industrial Systems.
This is a marketing mix of Panasonic analysing the four P’s of its business marketing strategy. As the competition in the business industry has kept growing, Panasonic is also investing in marketing for further growth. Its competitors are using aggressive marketing strategies and this is also a reason that sales of several of its products have suffered in several regions. This analysis will help you understand how the business is marketing itself and the four import elements (four P’s) in its marketing mix.
Panasonic operates in four business areas including consumer electronics, housing, automotive and B2B. It is a global brand selling in several overseas countries apart from its home market Japan. It has a very large product and services portfolio. In the consumer electronics category the products it makes and sells include ACs, televisions, refrigerators, washing machines, digital cameras, audio and video equipments and many more to make daily life easier and happier for its consumers. In the housing business it makes and sells interior and exterior furnishing materials, lighting fixtures, solar photovoltaic systems and many more products like wiring devices and lamps.
In the B2B segment, it sells inflight entertainment and connectivity solutions, welding components, PCs, Projectors and more similar products. Last is the automotive segment in which the brand sells electronic components and materials, semi conductors, LCD panels, dry batteries, automotive batteries and more products for the automotive industry.
Panasonic is a global brand whose business is spread over several countries globally. Its home country is Japan. However, the entire business which is operated through several divisional companies is spread from US to Asia and Europe in several nations. China and India have been most important markets for Panasonic in the recent years. The business is organised into 5 main divisions which are Appliances company, Eco solutions company, connected solutions company, Automotive and Industrial systems company and Housing and Urban development.
These main divisions are further divided into 13 sub-divisions or companies which makes operation of the entire business easier. Asia has become a very important market for panasonic where its business operates in India, China, Vietnam, Indonesia, Philippines, Thailand and more countries. Its home country Japan is also an important market where the demand for high value added products has kept increasing. Apart from it US, Turkey and other advanced economies are also important markets for the brand. In Europe, it has alliances with other important CE brands like Phillips which have helped it conduct business efficiently in this area and US.
Panasonic mainly targets the middle class through its consumer electronics products. However, to also makes high end products and supplies important products and parts to business in aviation and automotive. So, while its pricing strategy in Consumer electronics segment can be considered competitive, in the other areas it has used a mixed strategy based on demand and supply. Its Panasonic tough book is for the high end market and so are some other products. In the consumer electronics segment it has maintained the image of a competitive brand through its competitive pricing strategy.
The income of the middle class in the Asian countries has risen fast in the recent years which has cerated a major opportunity for Panasonic. In its entire range of consumer electronics products which is the biggest source of income for the brand, the largest number of products are meant for the middle class. However, the pricing strategy of products is affected by the class, business, geographical area as well as level of demand in specific markets too. Based upon these factors the pricing strategies behind various products and services can vary.
Panasonic has not been as aggressive in terms of marketing as most of its competitors. From Phillips to LG and Samsung, all invest heavily in promotion. However, Panasonic does not use an aggressive promotions or advertising strategy. The main channels of promotion for it are its website, the retail websites through which it sells its products and various customer contact points like Panasonic stores and showrooms. You will not come across many advertisements of Panasonic while advertisements of SONY, LG or Samsung will have immersed you during an entire day. However, to maximise the effectiveness of its marketing strategy, the brand is working on increasing its number of customer contact points. Moreover, it uses its sales network including Panasonic stores that offer remodelling services and act as showrooms for marketing.
In the coming years, Panasonic will stay focused on increasing the strength of its regional marketing systems through the use of IoT and other advanced technologies. Changing lifestyle of people has also mandated that Panasonic markets its Consumer Electronics products more aggressively. Social media has become a very important channel of marketing for the brand where it markets its products online through different social media accounts on Facebook and Twitter for different geographical regions and markets. For example it has separate accounts on Twitter for US and UK as Panasonic US and Panasonic UK. It is using YouTube too for promotion of its products. Separate accounts for Panasonic smartphones and Panasonic USA are used to showcase Panasonic products on YouTube.
Panasonic is a global brand that sells consumer electronics products, Automotives parts, Housing products and services and B2B products and services. It is a financially strong brand based in Japan the aims to enrich people’s lives and help the lead better and more convenient lives through its advanced and innovative technology. It invests heavily in research and development. The brand is poised for further growth through reorganisation and through mergers and acquisitions.