On 15 July Sony Ericsson revealed it shipped 7.6 million units in the second quarter of the year, down from 11 million units during the same quarter last year.
Hilton was candid about the need for a successful campaign after the earthquake's damaging influence on sales and market share.
He said: "It's a competitive market and it is fair to say that our sales and market share are not as high as we expected them to be and there is a fundamental reason why that is the case, which is the Japan crisis affected us significantly greater than any of our competitors."
The company's main rivals, Samsung and HTC, manufacture their products in Korea and China.
Sony Ericsson, Samsung and HTC all offer smartphones using the Android operating system, consequently Hilton says Sony Ericsson is differentiating itself by offering a "more entertaining experience, whether that be through the Sony 3D technology, the Sony Bravia screen or the Sony PlayStation games".
Google's acquisition of Motorola is not a concern, according to Hilton, despite the internet giant owning the Android operating system.
He explained: "It's about protecting and defending the health of Android, which is the platform that we think is going to be the most successful smartphone platform out there – it will serve our better interests."
Hilton revealed the Japan earthquake came at one of the worst possible times for the company.
He explained: "Significantly [the earthquake] happened when we were launching the Xperia Arc, which was our flagship product of the year and it meant in the crucial first two months of launch, April and May, we were only able to supply about 10% of the orders to the marketplace.
"So that meant on that product we didn’t get any traction and we had to delay another product launch, the Xperia Neo, by some three months."
The tsunami created by the earthquake resulted in severe damage to the factory that makes the camera module for the Xperia Arc.
Sony Ericsson will launch the initial stage of its marketing campaign to push the Xperia Ray later this month.
The large-scale marketing campaign will comprise TV, outdoor, press and digital.
Sony Ericsson uses Saatchi & Saatchi and McCann Erickson for creative duties and LBi for digital activity.
.jpg)
.jpg)