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HTC needs more vivid image for promotional campaign
[October 09, 2014]

HTC needs more vivid image for promotional campaign


(China Post (Taiwan) Via Acquire Media NewsEdge) Being a global smartphone maker, HTC is one of Taiwan's flagship companies. However, the company has experienced fluctuating sales in the last couple of years, raising concerns for many locally that it may no longer hold its position as the pride of Taiwan.



Statistics show that HTC sells around 20 million phones per year. This economy of scale pales in comparison to its global competitors Apple and Samsung. In the mid and lowend markets, Chinese manufactures Lenovo, Xiaomi, ZTE and Huawei are also churning out 40 million to 70 million handsets per year.

In fact, HTC makes great phones, but there are two factors, namely stronger promotional efforts and advanced research and development (R&D) that will determine HTC's success down the road.


Apple has always enjoyed a strong brand image. With its legendary founder Steve Jobs, Apple gathered a huge fan base around the world. Its onceayear product launch event has always attracted attention, and this sensation is likely to last for another decade or two.

Samsung, on the other hand, has allocated a large budget for its advertising campaigns. Although lacking a charismatic representative, Samsung is well aware of the importance of instilling a vivid brand image in the minds of consumers. It has been rolling out marketing campaigns globally with the goal of acquainting everyone with its products.

American marketing expert Philip Kotler said during his recent visit to Taiwan that HTC puts out a rather bland image on the global market.

When asked if HTC may be considered a world player in the smartphone industry, like Apple and Samsung, Kotler said that he wasn't sure and asked "what is HTC doing?" Kotler's remark provides some feedback in terms of how HTC is viewed in the western world: it has failed to give consumers any surprises. The very name of the company inspires little emotion or excitement and it is hard for western consumers to develop a strong connection with the brand.

HTC tried to correct this before. American actor Robert Downey, Jr. was recruited by HTC last year to promote its products. Different phrases devised to represent HTC were created, including "here's to change," "happy telephone company" and "humongous tinfoil catamaran." On the technology side, HTC must differentiate itself by finding a new niche instead of making what everyone else is doing, marketing guru Kotler said, providing the development of new functionalities to attract fans as an example.

Indeed, as the adoption of smartphones becomes increasingly universal, it will become harder for phone companies to differentiate themselves when it comes to hardware. On this front, HTC's future advances in app and software development may give it an edge.

HTC recently struck a deal with Google to manufacture Google's Nexus 9 tablet. Although the partnership is not expected to give HTC a huge boost in revenues, it will give HTC the opportunity to access the source code of Android, providing HTC with an edge in software development.

In fact, HTC produces phones of great quality. According to Britishbased technology review website TechRadar, HTC's M8 ranks as the No. 1 smartphone in the world, defeating the iPhone 6, the Samsung Galaxy S5, the Sony Xperia Z2 and others. The website raved about the phone's exceptional performance in photo taking, web browsing and Internet gaming.

This is a testimony to the idea that what HTC lacks is an effective promotional campaign to solidify its brand image. Or else, it needs a catchier name. It might want to model itself after computer maker Acer, which after changing its name from Multitech to Acer 27 years ago, successfully repolished its image and gained a strong foothold in the global market.

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