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Nokia’s just posted a £1 billion loss, with sales of its smartphones down 52 per cent year-on-year and even its dumbphone sales are taking a battering, down 32 per cent. The only good news is that Nokia’s new Lumia range is selling well, but only in the US – apparently Brits don’t like them all that much.
Nokia’s CEO, Stephen Elop talked about how hard the company was finding it on our little island, and that the US launch had been better than expected.
“The actual [Lumia] sales results have been mixed. We exceeded expectations in markets including the United States, but establishing momentum in certain markets including the UK has been more challenging.”
The irony here is that Nokia traditionally couldn’t crack the US market and never did particularly well over the other side of the pond, despite the legendary Matrix Phone. In contrast, Nokia owned the UK market for years and at one point you couldn’t move for 3310s and snake-playing phones; the Nokia N95 was the smartphone to have at one point too. Unfortunately for Nokia, that market share has dwindled over the years as discerning UK smartphone buyers just didn’t want more Symbian, and I can’t personally blame them.
While Nokia’s Lumia phones are pretty solid devices — both hardware and software really aren’t bad — the UK is proving a much tougher nut to crack for Nokia. Maybe it needs a few more “challenge Nokias” to get things going. Whatever happens, Elop says there’s “a clear sense of urgency to move our strategy forward even faster”. With a colossal £1 billion loss eating into your bottom line, I’ll bet there is. [TechRadar]
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As you say Sam it’s a topsey-turvey world we are living in with Nokia selling well in the US but poorly here. The only problem I can see with their US Sales is that the 900 is exclusive to AT&T and being exclusive to one carrier in the US is a recipe for trouble long term.
In this country I reckon it’s just that the market is that more competitive. We have a lot of great options in the UK when it comes to phones, and they’re not all that expensive either. So when it comes to Nokia trying to compete, I reckon it’s got to play the long game or bust out something genuinely remarkable, which is exceptionally hard to do these days.
Releasing the 900 to the UK market would be a good start.
Good point.
Isn’t it due next week?
They need to get over themselves and simply release an Android model or two. Windows phones just aren’t selling that well by comparison to iOS or Android, and no matter how hard it is to stomach for them, their refusal to ditch things like Symbian, Maemo anhd continue to be “different” in unsuccessful ways is what’s killing their company.
Android is terrible. They should stay as far away from that as possible
The problem in the UK is contract providers just don’t want to sell them. There’s so much more interest in Apple and Android that they immediately try and fob you off with one of those come update time. My mother is due an update and I’m encouraging her to go Lumia; the UI is definitely uncomplicated enough for her while being cheaper too. But TMobile still tried to force the iPhone on her.
I’ve found that too, they will try to sell a iPhone above everything else. Do they get more money from selling an iPhone?
I think the biggest thing is that they sell what they know
I love my Lumia and I’d defiantly recommend one over an iPhone, (yes I know how stupid that sounds) but seriously, it’s a great piece of kit and unlike most people I love WP7.
Doesn’t sound stupid at all, I also think WP7 is great.
The Lumia 900 hasn’t even been released here yet. I wonder how well it will do and whether it will get some decent marketing.. no one will buy this phone if they don’t know it exists.
I liked the Lumia, but like the N9 more. To the extend where I was forced to go via ebay to get hold of one thanks to their non-support in the UK. Thanks Nokia!
I wonder what are the numbers for the rest of the Europe? Having travelled recently extensively around Europe I found that the Brits are the biggest iSnobs on the continent. Nowhere is the iPhone and iMac as prevalent as in UK – but that’s just anecdotal evidence from the streets, so I could be wrong.
I’m from the UK and for me Nokia need to have Quad Core, 1GB ram+ 32g ram+ built in with micro sd slot and better cameras. I also think Windows Phone 7 is shit and want them to use Android instead and a removable battery.
These are things I can all get on Android thing year and probably with the Galaxy S3.
No need for quad core..at all….1gb ram yeah 32gb internal storage yeah. You thinking WP7 is shit just proves you are a moron.
I bet you haven’t even used it.
Moron.
I think they’ve been pushing their PR campaigns too much in the US, trying to break into that market, and they’ve left Europe out in the cold slightly.
Yes they did have Deadmau5 playing in London about the Lumia 800 a few months ago, but apart from that there hasn’t been anything else come from them (Well not that I’ve seen anyway).
I found that. US lumia 900 users are getting $100 as way of an aplogogy for the teething problems the phones had like poor battery and data connection problems. They got a fix within 2 weeks.
Lumia 800 users had to wait months for a fix and get no money!
Absolute moron. Why are you bringing symbian into this? Just to have a go? There is nothing wrong with symbian it’s just people like you with their head up their arse that think it’s terrible.
Moron
Love my Lumia 800. Even though WP lacks quite a few basic features the UI helps me get past all of that. Not to mention that it’s built like a tank. I’ve dropped this phone onto concrete at least q0 times from head height and apart from a few dents on the corner it works absolutely perfectly.