46515922 Mobilink Final
-
Upload
m-yasir-ali -
Category
Documents
-
view
241 -
download
2
Transcript of 46515922 Mobilink Final
Term Paper Fall – 2010
MobilinkWritten by:
Course Incharge:Dr. Kamaran Siddiqui
Bra
nd P
os i
tionin
g
TABLE OF CONTENTS
Table of Contents...................................................................................2
Introduction:...........................................................................................5
Need of Study:.....................................................................................5
Target Audience:.................................................................................5
RESEARCH METHODOLOGY:...................................................................6
Introduction:........................................................................................6
Research Methodology:.......................................................................6
Sampling Design:................................................................................6
Research Instruments:........................................................................7
Procedures:.........................................................................................7
Introduction............................................................................................8
Objectives of Brand Audit:...................................................................8
Scope of Brand Audit:..........................................................................8
Approach Used for Brand Audit:..........................................................9
Brand......................................................................................................9
Brand (Self Analysis):..........................................................................9
Product..............................................................................................10
Classification of SBUs according to growth-share matrix..................10
Pricing Strategy Of Mobilink: ............................................................11
Industry Reviews...............................................................................12
.............................................................................................................15
Page 2 of 28
Bra
nd P
os i
tionin
g
Consumer Analysis...............................................................................15
Segmentation & Target market.........................................................16
Competitor’s Analysis...........................................................................18
Competitive Comparison Matrix........................................................18
SWOT Analysis of Mobilink................................................................19
Competitors SWOT Matrix.................................................................20
.............................................................................................................20
.............................................................................................................21
Brand Inventory....................................................................................22
Brand Elements:................................................................................22
Brand Name: ...........................................................................................22
Urls :........................................................................................................22
Logos and Symbols:.................................................................................22
Slogans:...................................................................................................22
Colors:......................................................................................................22
Core Brand Value..............................................................................22
Quality:....................................................................................................23
Innovation:...............................................................................................23
Customer-Friendliness:............................................................................23
Coverage:.................................................................................................23
Marketing Program............................................................................23
Media:......................................................................................................24
Print media:..............................................................................................24
Sponsorship:............................................................................................24
Events:.....................................................................................................24
Philanthropy Activities ............................................................................25
Brand Portfolio Analysis....................................................................25
Page 3 of 28
Bra
nd P
os i
tionin
g
Brand Associations:..............................................................................25
Consumer Perceptual Analysis..........................................................26
Brand Positioning.................................................................................27
Page 4 of 28
Bra
nd P
os i
tionin
g
INTRODUCTION:
This project is about the brand tracking of Mobilink on Pakistani market
i.e. to know about the standing of Mobilink as a brand in comparison to
the competing brands. It will yield results as market standing, user
perception, attributes associated with the brand, current strategies of
Mobilink and the grey areas for Mobilink.
NEED OF STUDY:
The sole objective of this brand report is to know about the brand
potency of Mobilink in the Pakistani market in comparison to other
competing service providers. The other objective is to put a spotlight
on the different cellular companies operating in Pakistan and the
perception of the users about them.
TARGET AUDIENCE:
As far as the Mobilink is concerned, it has no specific target audience
because it is catering the requirement of all the users through its
different packages. Cell phone is a requirement of every one so it also
makes sense to launch multiple products to cater to the requirements
of several segments whether it is youth, ladies or corporate sector.
Page 5 of 28
Bra
nd P
os i
tionin
g
RESEARCH METHODOLOGY:
INTRODUCTION:
The purpose of the research methodology is to carry out different
methods of research to accomplish the set research objectives
pertinent to the brand tracking. For that purpose, a set of questions
have been made to inquire and analyze the responses of the
respondents.
RESEARCH METHODOLOGY:
The research methodology used in this brand tracking is qualitative as
well as quantitative in which we have not only used a questionnaire to
know the responses of the respondents of the sample group but also
open ended questions asked from a set of respondents at mobilink
franchises to get a more flexible response from the respondents.
Secondary research methods are also used to get the information
regarding the competitors and Mobilink to get to know the market
structure and the standing of the cellular companies in it. Triangulation
method is used to cross check the results from qualitative, quantitative
and secondary research to find the parity in results.
SAMPLING DESIGN:
The target population belongs to every segment and class of life
because cell phone users belong to every class of population and we
Page 6 of 28
Bra
nd P
os i
tionin
g
cannot discriminate the target market based on SECs. Subsequently,
the sample selection is random and random sampling method is used
for sample selection to get the feedback of the users from all the
classes. The sample size used for the questioning consists of 250
respondents.
RESEARCH INSTRUMENTS:
The instrument used for the research in this brand tracking activity is
primarily a multipurpose questionnaire which comprises of open and
close ended questions not only to help in the quantitative research but
also in the qualitative research as well. It consist questions pertaining
to the brand associations, brand recall, brand image, projective
responses and brand values. The reliability of the instrument is
measured through the triangulation method by comparing the results
of all three research methods.
PROCEDURES:
The data collection is through the questionnaire from a sample group
of 250 respondents. The screening of the information acquired from
these respondents is done manually using MS Excel as a tool for data
entry. All the information from the responses is entered as per the
frequency of respondents against the questions.
Page 7 of 28
Bra
nd P
os i
tionin
g
INTRODUCTION
OBJECTIVES OF BRAND AUDIT:
The objective of this brand audit report is to measure the brand
potency of Mobilink in line with the competing brands. The specific
issues faced by the brand in terms of market conditions, saturation in
the cellular market and the overall recession in the economy will also
be taken into account while studying the brand. Also, what sub-
products fall in the generalized master brand i.e. Mobilink and to which
segments these sub-brands are catering to
SCOPE OF BRAND AUDIT:
When speaking of the target audience for Mobilink, we should keep in
mind that in the world of today, cell phone is no longer a luxury as was
the case in 90s but now, it has become a necessity for everyone. So
when we speak of cell phone target market, we speak of all the socio-
economic classes from A to E. The brand audit is limited to Karachi
only because of limited time and resources. But, in order to get a
better understanding of the market, multiple areas of the metropolitan
are covered with a dynamic sample population to get diverse views
about the brands so as to get a better and augmented understanding
of the market perceptions about the brands.
Page 8 of 28
Bra
nd P
os i
tionin
g
APPROACH USED FOR BRAND AUDIT:
The approach used for brand audit is mainly the survey through set
questionnaire and secondary research methods regarding their inputs
on brand imagery & usage, brand recall, brand perception, brand
loyalty and brand awareness.
BRAND
BRAND (SELF ANALYSIS):
Pakistan Mobile Communications Limited, better known as Mobilink
GSM, is a telecommunication service provider in Pakistan. The
company is Pakistan's leading cellular operator with a subscriber base
of 31.5m and market share of 31% in October 2010. Mobilink's Head
office is located at Mobilink House, 1-A Kohistan Road, F-8 Markaz
Islamabad. Mobilink's corporate postpaid package is sold under the
brand name "Indigo" and prepaid by the name of "Jazz". Mobilink
started operations in 1994 as the first GSM cellular Mobile service in
Pakistan by MOTOROLA Inc., later it was sold to Orascom, an Egypt-based
multi-national company. In addition to cellular service, the Orascom
group is diversifying its service portfolio by setting up new businesses
and also expanding through acquisitions. Recently, they started
offering DSL broadband through a wholly owned subsidiary, Link.Net.
Additionally, the company has also launched its wireless broadband
Page 9 of 28
Bra
nd P
os i
tionin
g
service through WiMax based technology under the label of 'Mobilink
Infinity'. Technology is backed by Alcatel, and company is using a
ZYXEL Customer Premises equipment.
PRODUCT
Following are the Mobilink product •
• Jazz One
• Jazz Budget
• Jazz Ladies First
• Jazz Easy
• Jazz Octane
• Mobilink Indigo
• Mobilink PCO
BCG GROWTH-SHARE MATRIX
Companies that are large enough to be organized into strategic business units face the challenge of allocating resources among those units. In the early 1970's the Boston Consulting Group developed a model for managing a portfolio of different business units. The BCG growth-share matrix displays the various business units on a graph of the market growth rate vs. market share relative to competitors.
CLASSIFICATION OF SBUS ACCORDING TO GROWTH-SHARE MATRIX
Mobilink classifies it SBUs as followings
Cash Cow
• Jazz Ladies First• Mobilink Indigo• Jazz Budget
Page 10 of 28
Bra
nd P
os i
tionin
g
These packages are low growth, high share products. These established and successful SBUs need less investment to hold their market share. They produce a lot of cash to support the other SBUs that need investment.
Star
• JazzOneThis package is a high growth, high share product. There is need to invest more for its rapid growth.
Question Mark
• Jazz Easy • Mobilink PCO
These packages are low share in high growth markets. They require a lot of cash to hold their share. Management needs to think hard about question marks it should try to build into stars or should be phased out.
Dog
• Jazz Octane
It is low growth, low share product. It may generate enough cash to maintain itself but do not promise to be large source of cash.
PRICING STRATEGY OF MOBILINK:
Mobilink was offering Jazz connection for about 3000 rupees 5 years
ago. Its market oriented statement is “Aur Sunao” But through the
passage of time now Mobilink is offering Jazz connections for about 100
rupees. In 2002 Ufone which is one of the leading competitor of Jazz
introduced its prepay connection for about 2500 rupees. In 2005
Telenor came into existence in Pakistani market and offered its
connections for about 500 rupees. Then in 2005 Warid also entered the
market offering its connections for 250 rupees. In this way price war
Page 11 of 28
Bra
nd P
os i
tionin
g
started between these telecom brands in the market. Previously it was
Jazz’s oligopoly as they offered their prices. In 2005 Jazz offered a
Cellphone plus connection and prepaid card implementing a product-
bundle pricing strategy for creating more attention and attraction. The
major shift in the pricing strategy came in when they started
30.second operations using the promotional pricing strategy. In the
early days Jazz was offering its sim-cards for a high-price using captive-
product pricing strategy as its SIM-card is a main product that must be
used along with the cell phone. Initially Jazz’s call rates and SMS
charges were also reduced using discount and allowance strategy and
initially directing towards promotional strategy as the competition
between cellular brands in the market grew faster. Recently Jazz
introduced its offerings of 0.99 per minute call rates in their “happy
hour package” which represents their operations with the promotional
as well as psychological pricing of their services. Through its happy
hour package they are also operating with promotional strategy as
they are engaged in continuous promotion through their offerings.
INDUSTRY REVIEWS
In the era of globalization and information society, the fundamental
role of telecommunication technologies cannot be underestimated.
Although tremendous growth has taken place in the Pakistan telecom
sector but most of it can be attributed to the cellular growth. Fixed line
is still awaiting a takeoff. Similarly Value Added Services have grown
but are still a drop in the bucket. Now that the competition has been
introduced in the telecom sector some very positive impact have been
observed on the growth of the sector in a short span of time which is
expected to continue to grow for at least next five years if the daring
investors influx continue as in the last 3 years. Our Industry already
has LL (Local Loop), WLL (Wireless Local Loop), LDI (Long distance and
Page 12 of 28
Bra
nd P
os i
tionin
g
International), and ISP (Internet Service Provider) players and WiMax;
3G cellular systems are expected be a part of this Industry soon.
The Pakistan market has reached 100 million subscribers landmark
with cellular mobile tele density of over 60% (PTA press release Sep
2010).The growth slowed down in 2009 but has picked up again
gradually. At 2006 year end the total subscribers were 48.2 million. In
June 2007 the total mobile users reached over 63 million. Based on
numbers published at PTA website for 2007, the total number of
subscribers (technically it is the number of SIMs issued) was 76.6
million, a teledensity of nearly 49%. In 2007 the average growth rate
was about 2.5 million new subscribers each month! After second half of
2007 it seemed as if the growth had slowed down but overall it was
fine. One remarkable achievement was by Zong (formerly Paketl)
which launched very successful campaigns towards 2007 end
Page 13 of 28
Bra
nd P
os i
tionin
g
completed rebrand launch in April of 2008. Here’s a brief description of
the top mobile companies in Pakistan. At the top is Mobilink, the
Pakistani unit of Egypt-based telecom company Orascom. It has been
operating in Pakistan since 1994. Subscriber share is 31 % at the end
of Oct 2010. Ufone, a wholly owned subsidiary of Pakistan
Telecommunication Co. Ltd (PTCL), is now under the control of Etisalat
group of UAE. It has 20% of subscriber share and added the most lines
(2.4 million) from 2006-07. Warid, owned by the Abu Dhabi group of
the United Arab Emirates and sister of Wateen group is number 4 with
17.0% market of subscribers. Recently it sold 30% share to SingTel.
Norway’s Telenor, a recent entrant with about a billion US dollar
investment in Pakistan has been doing well, based on its recent
earning report. It has about 24% of the market share. Telenor stock is
listed in the Oslo stock market (TEL) and in US (TELNY.PK). CMPak
(Zong brand), formerly Paktel, was the latest target of foreign
acquisition. After it got acquired by China Mobile it was rebranded as
Zong and launched one of the most successful and aggressive
campaigns. Within a matter of few months, Zong has achieved a 8 %
market share.
Page 14 of 28
Bra
nd P
os i
tionin
g
CONSUMER ANALYSIS
The Pakistani mobile users are more price-conscious but in cellular
sector they also don’t compromise on the quality of voice. So, By
taking the advantage of this consciousness of the users mobile
operators re enhancing product offering in the form of low rate
packages and network expansion by installing boaster.
Mobile sector comes under verity seeking buying behavior by the
buyer because it occurs under the conditions of low consumer
involvement and significant brand difference. In this market, consumer
has low involvement they perceive the brand benefits on the basis
price, voice quality and coverage. The reason for this is that their
ultimate objective is to communicate to other at for off place.
Buying is initiated by “communication purpose”. Everybody can enter
in to buying process by need of communication. In the regard of this
communication media vehicles play an important role in getting their
service preferred by the users. These days there is a rush of packages
Page 15 of 28
Bra
nd P
os i
tionin
g
out in the market from the mobile service providers, targeting different
market segments and offering all kinds of discounts depending on who
you call or when you call. Off-peak timings have always been used by
service providers to create interest and to lure customers. So,
customer seeks indifference among services provided by these cellular
operators and switch according to their desire. Factors that influencing
on customer switch age to other operator of mobile network are,
Price: Users use services of the operator to communication so on of
the factor influencing the customer switch age is price. A person in this
segment seeks the prices most important factor and operator of
service are also offering verity of packages to make the customer
attract. Where the price of any product is low people change their
taste and divert towards that low price product.
Quality: After the price people prefer quality of voice second because
they are paying for the voice if the voice is not clear to them which
they are paying for they defiantly they switch to other operators.
Coverage: After the quality of voice second available factor for
customer switch age is coverage. Users perceive that the operator’s
services are available to them where they visit. If they find signal
problem they may switch to more coverage operator in the sectors
Promotion: With promoting services that has factor too for consumer
switch age. Fierce promotion leads an image in the mind of the
consumers that company offers many servers and “a customer focus
company”.
SEGMENTATION & TARGET MARKET
Segment one: Corporate cluster
• SMEs cluster Business class segment
• Professional cluster
Page 16 of 28
Bra
nd P
os i
tionin
g
Segment 2: Domestic users cluster
• Consumer class segment
• Youngster cluster
Pakistan currently has one of the largest allies of young people in its
history, with approximately 25 million people between the ages of 15
and 24. Target market group of cellular sector ranges from 15 to 64
percent which according to demographic profile of Pakistan consist of
56.9% (male 48,214,298; female 46,062,933) of total population. As in
the Buying behavior we have studied that Female and male both
contribute into making decision for the purchasing of the brand. So the
both genders would be in target market.
In spite of this professionals are also Mobilink target audience. The
Employment Status categorizes majority (45%) as employees followed
by own account workers (42%).
About one in ten workers (11%) are reported as unpaid family workers
and one & a half percent as employers. As far changes in the
comparative periods, unpaid family workers fall by some fractions,
employees indicate some increase while own account workers and
employers remain on the same level. In the buying and sales of
Mobilink brand also depends on these customers too. Along with the
rise of urban consumerism, global corporate such as Unilever, P & G,
GlaxoSmithline and many small & medium enterprise and local
national companies emerges both manufacture and sell their products
Page 17 of 28
Bra
nd P
os i
tionin
g
in Pakistan. In manufacturing and natural resources, Shell and BP are
present in addition to the Pakistani state oil company. Honda, Nissan
and Suzuki are among international automotive manufacturers with
plants in Pakistan. Mobilink fulfill needs of these local MNC’s local
national and SME’s firms by providing them special service package
Brand Inventory
COMPETITOR’S ANALYSIS
COMPETITIVE COMPARISON MATRIX
Player Positioning Technol
ogy
Product and
Services
Owner
Mobilink Plays upon as market leaderFocuses on quality and coverage.
GSMGPRSEDGEGSM-900/1800
Reduce its tariffs due to immense competition on rateData products (blackberry andUSB DSL modem)
Orascom
Ufone Attractive brandclaiming to be a trend setter in the industry.Cheap rates andmedium quality.“Its all about U”
GSMGPRSEDGEGSM-900/1800
Reduce rates and offers attractive packagesFunny promotional ads focusing general attention.Data products (blackberry andUSB DSL modem)
Etisalat
Telenor Has focused onstrong networkdeployment “The smart call”Claming strongQuality&
coverage
GSMGPRSEDGEGSM-900/1800
Reduce rates with attractive on net call packagesData products (blackberry)Abstract and party promotionwith renowned personalities.
TelenorASA
Warid Perceive as good quality but rates
GSMGPRS
Enhanced and diversified Value
AbuDhabi
Page 18 of 28
Bra
nd P
os i
tionin
g
are high as compared toothercompetitor
s
GSM-900/1800
added services portfolioImportant Value added services portfolio
Zong Has focused onstrong networkdeployment
GSMGPRSGSM-900/1800
Youth oriented VAS
portfolio
Free calls on Closed
user group
ChinaMobile
PLAYERS POSITIONING TECHNOLOGY PRODUCT & SERVICES OWNER
SWOT ANALYSIS OF MOBILINK
Strengths• Market leader
• Strong Brand Equity
• Wide network coverage
• International brand
• Network capacity (Having modern network capabilities in respect of infrastructure)
Weaknesses• High prices
• Customer servicing problem due to large customer base
• Foreign brand
Opportunities• Huge market size.• 3G technologies • Removal of international trade barriers.• Over 60 percent population in rural areas still underserved pent
up demand by aggressive network expansion. • Multiple SIM Mobilink being used as secondary connection
opportunity to stimulate the growth by improving network coverage
Page 19 of 28
Bra
nd P
os i
tionin
g
• Bring innovation and VAS and data services to increase revenue• Market Growth and industry expansion
Threats• Recession in economy.• Rapid change in consumer demand.• Inconsistent and adhoc decisions from regulatory authorities.• Political Instability, Security issues.• Adverse shifts in trade policies of government.• High taxation rate of activation tax is causing a slowdown in
consumer growth especially all in rural areas. • Price competition • Larger competitors network coverage • Strong advertisement and media presence of competitors • Entrance of new competitors like Zong. • Presence and the acceptability of competitor brand like Telenor
and Ufone
COMPETITORS SWOT MATRIX
Strengths:• Leveraging brand equity from international corporate “Abu Dhabi
Group”• Having modern network capabilities in respect of infrastructure.• Financial strength of share holder and their telecom expertise
‘Warid international”• Large Post paid based generating high ARPU• State of the art IP based contact center and leading data center• It has technical partnering involving “SingTel”, “Nokia” and
“Wateen”.Weaknesses:
• Need to expand network coverage.• Need to increase brand awareness and improved market
positioning• Lack of proactive churn management and stimulate programs to
address inactive subscriber
Page 20 of 28
Bra
nd P
os i
tionin
g
• Low promotional packages activities• The product line is too narrow.
Strengths:• Subsidiary of PTCL.• Stream line benefit.• Knowledge about country culture.• Experience Variety of• Value Added Service• Broad market coverage.
Weaknesses:• Stagnant Profitability• Low market share as compare to competitor (Mobilink).• Overly Dependent on PTCL
Strengths:
• Superior infrastructure & technology in PAKISTAN• Have a very strong financial.• They have the ability and resources to hire skilled engineers.• Large number of Subscriber
Weaknesses:
• Low market share as compare to competitor (mobilink)• Limited coverage due to newly introduce in the market• Signal problem due to limited network
Strengths:
• World biggest network• A product of China Mobile Company.
Page 21 of 28
Bra
nd P
os i
tionin
g
• Leverage financial resource from CMC• Experienced administration
Weaknesses:• Low market share as compare to competitor• They are unable to improve the network means that they are not
using their resources.• There is the diversion of customers towards other brands due to
connectivity issue
BRAND INVENTORY
BRAND ELEMENTS:
Brand elements consist of brand name, color, Urls, symbols slogans, sound and jingles through which one brand is differentiated from other brands.
Brand Name: Mobilink
Urls : http://www.mobilinkgsm.com
Logos and Symbols:
Slogans: Apna Hai
Colors:Purple and Whitish Purple
CORE BRAND VALUE
Page 22 of 28
Bra
nd P
os i
tionin
g
Quality:
Mobilink Telecom has an uncompromising commitment to quality in this regard. that is
why they spare no efforts in pursuing the best in network‚ services‚ product offerings.
Innovation:
For years‚ people complained of the same things on mobiles. At coverage‚ they are
constantly look to make the communication experience different by doing things in a
better way. They already introduced 3G supportable system for being see the need of this
in the near future. For seeing the growing trend of SMS usage Mobilink has introduces
SMSC-less messaging infrastructure that controls the traffic of SMS and makes sure the
delivery of messages without involving pending issues.
Customer-Friendliness:
They enjoy working and succeeding together by building close relationships. While they
have a sense of purpose in their operations‚ they also have a strong culture that
demonstrates to customers that “Reshaping communciation”. Mobilink considers the
needs of customers first.
Coverage:Mobilink has widest network coverage all over Pakistan. One can find
the network if they go to northern areas or remote city of Pakistan
MARKETING PROGRAM
Mobilink message are communicated through using all channels of media including building an identity for the corporation and brand, advertising campaigns, sponsorships, media relations (newspaper coverage, press releases, press conference before launching etc), point of sale material preparation (brochures, tariffs, flyers etc), website. Messagedelivered on electronic media through jingle and using celebrity endorsement. First everadd that comes in the electronic media is symbolize with rain season that bring hope andrefreshment and new joy. Now a day it bran message come man through ball to boys whoare playing Cricket symbolize that Mobilink is customer oriented and helping the customer in even small mattes.
Page 23 of 28
Bra
nd P
os i
tionin
g
Media:
Mobilink has always tried to deliver truthful and interesting advertising to its viewers. Through these ads they are trying to convey the message that Mobilink is solely meant for the people’s benefit and convenience. They advertise through Channels like Geo Super Geo, hum TV and through News channels, PTV, ARY and, News 1 TV, Dunya News etc.
Print media:
Mobilink has designed attractive brochures for their customers. These brochures contain all the necessary information about their package deals and tariffs. Hence, making it easier for the people to know about the general prices and services offered.
Sponsorship:
Mobilink advertise through sponsorship in Golf matches, Mobilink agreement with PCB and Mobilink and Citi card launch. Also it got sponsorship with Pizza Hut
Events:
Jazz Rock Lahore
Page 24 of 28
Bra
nd P
os i
tionin
g
Philanthropy Activities
Mobilink reaches 1000 families of IDPS
BRAND PORTFOLIO ANALYSIS
BRAND ASSOCIATIONS:
These are the desired associations which Mobilink wants to create in the mind ofcustomers.
Page 25 of 28
Mobilink Orascom Telecom
Company
Mobilink
Indingo Mobilink Jazz Mobilink Infinity
Jazz One Jazz Budget Jazz Ladies First Jazz Easy
Bra
nd P
os i
tionin
g
• Voice Quality
• Premium Brand
• Network Coverage
• Customer Oriented Services
• Brand slogan
CONSUMER PERCEPTUAL ANALYSIS
Mobilink telecom wanted to produce perception in the mind of
customer as premium brand with high quality service. The perception
map gives their intended perception they want to set in the mind of
Page 26 of 28
Brand Slogan
Network
Coverage
Premium
Brand
Customer
Oriented
Service
MOBILINK
Voice Quality
Bra
nd P
os i
tionin
g
customer and which they have somewhat successful through their
marketing programs.
Low Price
High Quality
Low Quality
High Price
BRAND POSITIONING
Mobilink is providing voice and data communications services through
its state of the art GSM, EDGE and GPRS network with best voice
quality and coverage along with most economical billing packages for
its subscribers. Mobilink will provide them high quality and stylish
Page 27 of 28
Bra
nd P
os i
tionin
g
products to improve their life style and make their life easy and
beautiful.
Page 28 of 28