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Developing Navigation Strategies for Brazil, India & Russia 2010
SBD, Dec 2010, Pages: 45
Of the three emerging markets analysed in SBD’s latest research on developing navigation strategies, only Russia shows mature consumer demand for navigation and traffic information services. Meanwhile, demand for navigation in Brazil is expected to grow quickly over the coming years (in line with the anticipated rapid growth in car ownership). And demand for navigation in India remains stubbornly low despite a huge population and a large number of suppliers.
Regardless of how ready consumers in each of these markets are for navigation, it is clear that the boom in smartphone ownership will inevitably be accompanied by a boom in ownership of navigation-capable devices. Within the navigation market, this phenomenon is becoming known as the “Nokia-effect”.
Nokia has over 40% share of the smartphone market in these three emerging markets, and is now pre-fitting the vast majority of their smartphones with free maps and navigation software. With annual smartphone sales in all three markets expected to surpass 60 million by 2015, it is clear that for most consumers their first experience of navigation will be “free” via their smartphones. Therefore, companies that have traditionally relied on selling navigation in developed markets will therefore need to re-evaluate their strategies for emerging markets.
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