HTC to sustain US$1b spending
Print Edition
HTC will spend US$1 billion on global marketing and sales promotions this year, the same as last year, and to focus on online marketing and strategic markets including China, the company’s chief marketing officer said yesterday in Beijing.
HTC, whose forecast revenue for the third quarter came in below expectations, also denied rumors that it is for sale.
In a bid to recapture sales, the company has launched a new brand campaign “Here’s to Change” and roped in Robert Downey Jr to promote its flagship model HTC One and improve brand awareness in China and other markets.
“We invested much last year but it was too scattered globally. We will become more focused this year,” Benjamin Ho said yesterday, adding that HTC is not for sale and it hopes to boost sales and revenue through the new marketing campaign.
HTC invested US$1 billion in marketing and sales globally last year and expects to maintain it in 2013. It will focus on strategic markets like China, the world’s biggest mobile phone market. Another focus will be online marketing and promotion, which will take up more than 60 percent of its total marketing budget this year, Ho said.
HTC, whose sales dropped in the past quarter, will see revenue of as much as NT$60 billion (US$967 million) in the three months ending in September, the Taiwan-based company said in a statement last month. But the figure missed the NT$72.7 billion average of 21 analysts‚ according to estimates compiled by Bloomberg News.
HTC may post a loss in the quarter, its first on a consolidated basis since at least 2008, analysts warned.
HTC is preparing for the 4G era in China, with Ho saying: “We are well prepared for China.”
China plans to issue 4G licenses by the end of this year, according to the Ministry of Industry and Information Technology.
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