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Nokia (NOK) Faces Uphill Battle in the U.S. Marketplace

February 13, 2012 1:39 PM EST
NOK Hot Sheet
Overall Analyst Rating:
    NEUTRAL (Down Down)

Revenue Growth %: +7.4%
Yes, Nokia (NYSE: NOK) still makes phones.

Seems obvious considering that Nokia is still atop many of the global mobile phone shipment boards... but it could be facing an uphill struggle in the U.S. Evidently, the Grammy awards were on yesterday night, and during the event Nokia ran an ad for its Lumia 710 smartphone, which runs Microsoft (Nasdaq: MSFT) Windows Phone OS.

According to WMPoweruser, messages written on Twitter showed some telling signs of Nokia's presence in the U.S. market. The following are some of the tweets:
  • "Nokia is still makin' phones???"
  • "I can't believe Nokia phones still exist!!!!"
  • "Nokia coming out with new phones...lmao"
  • "Def. was unaware that Nokia still made phones."
  • And the best: "...does it have Snakes?"
So, it appears that no matter how good a device Nokia releases, half the population still remembers monochrome screens and boxy shapes from Nokia. At this point, more people know about Research In Motion (Nasdaq: RIMM) still making phones compared with Nokia, and we all see how well RIM is doing.

Whether or not Nokia's marketing efforts will step up in the next few months is yet to be seen. Here's a little bit of free advice for Nokia: start shipping your phones with slithering reptiles...the people are expecting them.

And yes, it's still a publicly-traded company. Shares of Nokia are up 1.9 percent Monday.


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Comments

Nokia Design
Juan on Feb 14, 2012 09:48 AM
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Skandinavians are the best designers of the world. Nokia is so sleek you want to have it.

the phones are beautiful!
SimpleStuff on Feb 13, 2012 04:51 PM
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Go see the 710 at Costco. It was at the cell phone kiosk on west coast. They are gorgeous!!!! The interface moves like butter at the touch of your finger. Seeing is believing!

Only upside for Nokia
Lumia user on Feb 13, 2012 04:06 PM
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Nokia has no marketshare at US market so it is no news that people do not Know Nokia's products. It should be easy to gain marketshare with Lumia's.

Bright future
John on Feb 13, 2012 03:54 PM
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They obviously haven’t seen a device yet. Nokia and Microsoft have finally built a true competitor for Apple and Google. I’m looking forward to owning a phone that doesn’t need charging every 6 hours…

just a thought
Kim on Feb 13, 2012 02:49 PM
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were those the only Twitter comments, only over here in Europe the Lumia phones are doing real good ..... And you know what they say - There's no such thing as bad publicity.


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