Connect with us

Hi, what are you looking for?

Cell Phones

Luxury Brands Target Cell Phone Market

506709.jpg

Luxury Brands Aim for Multi-Billion Dollar Revenues from the Mobile Handset Market, Says ABI Research

Dior recently introduced its own line of in-house designed mobile phones. Other prestige brands are also adding cellular handsets to their product lines. As personal items used frequently in public, mobile handsets can take on a powerful symbolism, representing the user’s social status and personality. In partnership with handset manufacturers and vendors, luxury brands are starting to carve out a distinct niche within the cellular handset industry.

ABI Research forecasts that revenues from luxury branded handsets will exceed $11 billion next year, increasing to more than $43 billion in 2013.

Research director Kevin Burden comments, “For luxury goods producers, mobile phones are a logical addition to their basic product portfolios of jewelry, watches, and other fashion accessories. From the perspective of handset manufacturers, a luxury mobile phone does not simply mean a new handset model, it represents a meaningful strategic approach to increased brand equity.”

Given the heated price competition in handset markets, vendors have struggled to deal with low margins. Cost-cutting alone is to some extent seen as of questionable effectiveness as a way around this impasse. Given the competitive environment in the handset market, manufacturers are looking for ways to differentiate their intangible assets: premium value and brand power.

Since a handset comprises a mass of technological attributes, its market value is basically determined by all of the components and labor, and its technological performance. This is not likely to change. But consumers are also very aware of brand image and premium value. This gives manufacturers additional leverage in securing customer loyalty, and increasingly forms part of vendors’ long-term strategies for growth.

ABI Research’s new study, Luxury Mobile Phones, demonstrates how the driving force behind the luxury handset market is closely related to handset manufacturers’ reliance on brand power. It examines consumer attributes associated with luxury and brand power, their impact on the various market participants, and the brand management issues for manufacturers. A case study provides lessons in luxury handset brand management.

It forms part of the firm’s Mobile Devices Research Service, which also includes other Research Reports, Research Briefs, Market Data, an Online Database, ABI Insights, ABI Vendor Matrices, and analyst inquiry support.

ABI Research is a leading market research firm focused on the impact of emerging technologies on global consumer and business markets. Utilizing a unique blend of market intelligence, primary research, and expert assessment from its worldwide team of industry analysts, ABI Research assists hundreds of clients each year with their strategic growth initiatives. For information, visit http://www.abiresearch.com, or call +1.516.624.2500.

Advertisement. Scroll to continue reading.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Advertisement

Latest Products

NIO ES8 EV Interior View

Car Audio

Dirac's Immersive Venue-Based Acoustics Technologies are being incorporated into the Third-Generation NIO ES8 EV.

Fosi Audio ZH3 DAC Headphone Amplifier Front Angle Fosi Audio ZH3 DAC Headphone Amplifier Front Angle

Headphone Amps

Fosi Audio ZH3 DAC/Headphone Amp/Preamp offers balanced outputs, ultra-low noise, high-res support, and replaceable op-amps for $199.99.

New HiFiMan Headphones in 2025 are Ananda Unveiled, Edition XV and HE600 New HiFiMan Headphones in 2025 are Ananda Unveiled, Edition XV and HE600

New Products

HiFiMAN launches three new planar magnetic open back headphones priced from $399 to $799, because why release just one?

REL Serie S Subwoofer Family 2025 REL Serie S Subwoofer Family 2025

New Products

Priced from $3,299 to $5,999, the REL Serie S 2025 subwoofers deliver deep, articulate bass, optional wireless, and Line Array towers because your neighbors...

Bang & Olufsen Beo Grace Wireless ANC Earbuds in hand at sunset Bang & Olufsen Beo Grace Wireless ANC Earbuds in hand at sunset

New Products

$1,500 Beo Grace earbuds from Bang & Olufsen push luxury, style, and audio performance but don’t forget the optional $400 leather pouch.

David Beckham wearing black Bowers & Wilkins Px8 S2 wireless headphones David Beckham wearing black Bowers & Wilkins Px8 S2 wireless headphones

New Products

Bowers & Wilkins Px8 S2 delivers flagship wireless sound, upgraded ANC, and aptX lossless at $799—lighter, smaller, and a strong value vs Focal and...

Gift Ideas?

Vinyl Music Lover Gift Guide 2025

Gift Guides

A new turntable, phono stage, cartridge or speaker could be the upgrade you've been looking for or the perfect gift for any vinyl lover.

You May Also Like

Advertisement

ecoustics is a hi-fi and music magazine offering product reviews, podcasts, news and advice for aspiring audiophiles, home theater enthusiasts and headphone hipsters. Read more

Copyright © 1999-2024 ecoustics | Disclaimer: We may earn a commission when you buy through links on our site.



SVS Bluesound PSB Speakers NAD Cambridge Audio Q Acoustics Denon Marantz Focal Naim Audio RSL Speakers