With Lenovo’s US$2.91 Motorola acquisition set to close sometime later this year, the company will reportedly adopt a dual-brand strategy for its smartphone business. Citing anonymous “Taiwan-based supply chain makers,” the hit-and-miss Digitimes reports that it will use the Motorola brand for mid-range and high-end models in mature markets such as North America and Western Europe. Entry-level and mid-range devices will be offered under the Lenovo brand in China, Latin America and other emerging markets.
Lenovo’s strategy looks to continue to use the brands where they are already established. It could also mean that the two brands could coexist in certain markets such as Latin America where Motorola has established itself with devices such as the Moto G and the rumoured Moto E.
With Motorola under its wing, Lenovo expects to ship some 80 million handsets in 2014, up significantly from the 50 million it shipped in 2013. It is already well on its way with Q1 shipments reaching 20 million units. The Lenovo brand accounts for about 14 million and Motorola just announced it had shipped 6.5 million devices itself.
More details about Lenovo’s marketing should come to light when its Motorola acquisition closes sometime later this year.
Source : Digitimes