Submitted To: Submitted By:

Prof Shahla Sohaib

Course: Semester: Subject: Date:

MBA 2nd Semester Principles of Marketing 04-05-2011

Contents: Executive Summary........................................................................................5 Company Profile.............................................................................................6

History:........................................................................................................................................6 Telenor in Pakistan......................................................................................................................6 Vision:..........................................................................................................................................7 Mission Statement :......................................................................................................................9 Goals............................................................................................................................................9 Slogan..........................................................................................................................................9

SWOT Analysis............................................................................................10
Strengths....................................................................................................................................10 Weaknesses................................................................................................................................11 Opportunities..............................................................................................................................11 Threats........................................................................................................................................12 BCG Matrix...............................................................................................................................13 External Factors.........................................................................................................................17 Internal Factors..........................................................................................................................20

Pre-marketing Mix........................................................................................22
Designing a Customer Driven Marketing Strategy:...................................................................23 Market Segmentation:................................................................................................................23 Differentiation and Positioning..................................................................................................24 Market Strategy..........................................................................................................................27 Marketing Mix Strategy.............................................................................................................30 Product.......................................................................................................................................31 Elements Of The Product.......................................................................................................32 Product Mix...........................................................................................................................33 PREPAID ..............................................................................................................................34 Prepaid...................................................................................................................................34 Postpaid .................................................................................................................................36 Price...........................................................................................................................................37 Elements Of Price..................................................................................................................37 Prepaid Price..........................................................................................................................38 Recharge................................................................................................................................47 Postpaid Price.........................................................................................................................50 Placement...................................................................................................................................52 Elements Of Placement..........................................................................................................53 Promotion...................................................................................................................................56 Elements Of Promotion..........................................................................................................56 Advertising.............................................................................................................................57 Sales Promotion.....................................................................................................................58 Events and Experiences.........................................................................................................58 Public Relations.....................................................................................................................59 Direct Marketing....................................................................................................................59 Personal Selling.....................................................................................................................59

Suggestions...................................................................................................62 Conclusion.....................................................................................................63 References.....................................................................................................64

Executive Summary
The objective of this report is to put light on Marketing Strategy in different ways which include external analysis, internal analysis, MIS, pre-marketing mix, marketing mix and identify the customer satisfaction. The information provided in this report is not fictitious but is clearly based on facts and figures provided by the Telenor Employee and derived through our visits to Telenor Franchise Gullberg-III, Lahore and research from multiple websites.

Company Profile
History:
Telenor's history and background are in many ways also the history and background of the Norwegian people. Over 150 years telecommunications have played a vital part in the development of modern Norwegian society. The physical work has consisted in rolling out infrastructure and developing services, but our real job has been to build relations between people. In 1994, the Norwegian Telecom was established as a public corporation. In December 2000, the company was partly privatized and listed on the stock exchange.

Telenor in Pakistan
Telenor was the foreign company to start its operation in Pakistan. Before it Ufone, a government owned company was operating along with some private firms like Mobilink, Paktel and Instaphone. Telenor got the license to provide GSM services in Pakistan in April 2004, and started its services in Islamabad, Rawalpindi and Karachi on March 15, 2005. The official opening was held in Islamabad. In the second phase on March 23, 2005 Telenor started its services in Lahore, Faisalabad and Hyderabad. Telenor has become the second largest cellular network in Pakistan by covering over 500 cities and highways in one year time. Telenor has invested in PAKISTAN near about 1.9 million subscriptions. Telenor has its head office in Islamabad, with regional offices in Karachi and Lahore. According to license terms Telenor is to provide its services in 297 tehsils of Pakistan in 4 years time. Telenor has established its infrastructure well in Pakistan so far and it looks forward to combine it cellular experience with the Local Pakistan competition. Telenor's primary aim is to offer top quality mobile services and promote healthy competition in the mobile market.

Telenor has covered several milestones over the past eleven months and grown in a number of directions. Telenor has signed interconnect agreements with all four it competitions during December 2004, allowing its subscribers to exchange voice and data with subscribers on all active mobile networks including Paktel, Instaphone, Ufone, Mobilink and Warid. In addition to recruiting hundreds of people, Telenor established its Call Center on January 28 in Lahore.

Vision:
Our vision crystallizes our customer focus as the cornerstone of everything we do. Our values describe what behaviors are necessary to realize that vision. Our corporate responsibility mindset ensures that our vision and values nurture social concern and help us create shared value.

Our Vision:
Our vision is simple: We're here to help We exist to help our customers get the full benefit of communications services in their daily lives. The key to achieving this vision is a mindset where every one of us works together: Making it easy to buy and use our services. Delivering on our promises. Being respectful of differences. Inspiring people to find new ways. We believe in four core values:

Make it Easy:
We're practical. We don't complicate things. Everything we produce should be easy to understand and use. Because we never forget we're trying to make customers lives easier.

Keep Promises
Everything we set out to do should work, or if it doesn't, we're here to help. We're about delivery, not over promising, actions not words.

Be Inspiring

We are creative. We strive to bring energy to the things we do. Everything we produce should look good, modern and fresh. We are passionate about our business and customers.

Be Respectful
We acknowledge and respect local cultures. We do not impose one formula worldwide. We want to be a part of local communities wherever we operate. We believe loyalty has to be earned.

Mission Statement :
Like vision of the company, mission statement of the company is also well defined. Telenor's mission is to:Create value for shareholders through serving the customers, employees, partners and the general public interest. Company believes that in the long run by emphasizing on its commitment to employees and society, will enable it to perform better in its field and to create greater values for the customer. According to companys mission statement these values will be created through profitable and retainable growth. This growth will be maintained on the development of services that simplify the use of communication technology. It will contribute to give customers greater freedom of choice and more options. Its solutions shall simplify people's workday, make businesses and activities more efficient, and increase their competitive powers.

Goals
Telenor's main goal is to create value for shareholders through serving the customers, employees, partners and the general public interest.

Slogan

Ab Chaho Kuch Bhar Kar A Smart Call

SWOT Analysis
The overall evaluation of a companys strength, weaknesses, opportunities and threats is called SWOT analysis. It involves monitoring the external and internal marketing environment. External environment includes opportunities and threats, whereas internal environment includes strength and weaknesses. Telenor has setup new corporate identity as a result of dynamic changes in telecommunication industry.

Strengths

Technology- Telenor is using latest technology in Pakistan. For example main technology is SIEBEL. Telenor is using 5.7 version of Siebel while Warid is using 5.2 and Mobilink is using 5.0.And all the systems are directly operated by Oslo Norway.

Value Added Services- Strength of Telenor is its value added services. Telenor always been a trend setter for other companies. Telenor has launched some value added services which other companies are so far to launch; Smart share, Contact Backup, SMS Timer, EDGE, Cell info Display, Song Dedication Service and sports Portal. And there are other services like Bubble SMS and international roaming on prepaid packages were launched 1st time in Pakistan.

Promotions- A unique strength of Telenor is its promotions. At every time Telenor is busy in running a new promotion for every package. These promotions are like Free Balance, Discounts, Free content services, Discounts on shopping etc.

Coverage- By launch Telenor has decided to cover those area first which were deprive of any network coverage. That is another main strength of Telenor. Its network has covered almost each and every inch of Pakistan.

Advertising- In the year 2004 advertising was the weakness of Telenor, because they advertised the products not in our culture. But now a days

advertising is one of the main strengths of company. Telenor is investing a huge amount on advertising on TV channels, newspapers and banners etc.

Customer Care- Another main strength of company is its helpline 345. In May 2006 according to a survey conducted by PTA, It was declared that Telenor is providing best customer services in all 6 mobile operators and PTCL. Although customers have to wait a long to connect Customer Relation officer but the behavior of the officers has hide this weakness.

Weaknesses

Postpaid Packages- The main weakness of the company is its postpaid packages. Telenor is not providing too much attractive packages in postpaid as Warid and Mobilink are providing. Thats why main Telenor Share in all Postpaid customers in Pakistan is negligible.

Corporate Packages- Just like postpaid packages Telenor has only one CUG package for corporate sectors. And rates of CUG are also very high than its competitors.

Number of Franchises- Telenor is the fastest growing cellular network in Pakistan on the other hand there are only a few franchises in Pakistan. Some time customers have to travel more than 100 miles to reach a franchise for some particular problem.

Opportunities

Re-launching of Postpaid Packages - Telenor has re-launched its postpaid package in February 2007 and its really a great opportunity for Telenor. 3-G License- President Musharaf has promised with president of Telenor Bakssas to provide 3G license in August 2007. And after getting 3G license Telenor will be the king of telecommunication sector in Pakistan.

Service Level Of Call Centre- At March 2005 20% of total customers were able to connect with CRO, By hiring 300 new Customers Representative Officers in April 2006 this percentage increase to 45%and now in November Telenor is answering 60 % of calls on helpline daily. In future by hiring new Customer Representative Officers Telenor can answer 100% of calls. This is expected in May 2007.

Threats

New Cellular Companies In Market - PTA has issued tower cellular licenses to Vodafone and Etisillat. This will share market with existing companies in this way Telenor has to adopt attractive policies to survive.

Job Turnover Ratio in CRD- Due to irritating behavior of new management in CRD, job turnover ratio is very high. In the month of November 2006 106 Customer Representative Officers are resigned from Telenor. This is due to poor CRD policies which new hired management (From mobilink) is applying in CRO. AS CRD is the major division in Telenor so it will create too much problems for company.

BCG Matrix

HIGH

LOW

M A R K E T G R O T H

H I G H

STAR

QUESTION MARK

L O W

CASH COW

DOG

RELETIVE MARKET SHARE

CELLULAR SUBSCRIBERS

Mobilink 2005 2006 2007 2008

7,469,085 17,205,555 26,466,451 32,032,363

Ufone
2,579,103 7,487,005 14,014,044 18,100,440

Zong
924,486 1,040,503 1,024,563 3,950,758

Instaphone Telenor
454,147 336,696 333,081 321,204* 835,727 3,573,660 10,701,332 18,125,189

Warid
508,655 4,863,138 10,620,386 15,489,858

Total
12,771,203 34,506,557 63,159,857 88,019,812

Market share:
The market share of Telecom companies is shown below table,

Market Share of Telecom Companies

Mobilink 2005 2006 2007 2008
58.48% 49.85% 41.90% 36.40%

Ufone 20.20%
21.70% 22.19% 20.56%

Zong 7.24% 3.02% 1.62%

4.48%

Instaphone Telenor 3.56% 0.98% 0.53%

0.36%

Warid 3.98% 14.09% 16.82%

17.60%

Total 100% 100% 100% 100%

6.54% 10.36% 16.94%

20.60%

Market Growth:
Market Growth Rate of Telecom Companies

Mobilink 2005 2006 2007 2008

100% 14.76% Decrease 15.94% Decrease 13.12% Decrease

Ufone
100% 7.43%

Zong
100% 58.29% Decrease

Instaphone
100% 72.47% Decrease 45.92% Decrease 32.08% Decrease

Telenor
100% 58.41%

Warid
100% 254.02%

Increase
2.26%

Increase
63.51%

Increase
19.38%

Increase
7.35% Decrease

46.36% Decrease
176.54%

Increase
21.60%

Increase
4.64%

Increase

Increase

Increase

Under the light of BCG matrix, we can examine that Telenor Telecom is existing in the category of Question Mark because of low market share and high business

growth rate. In order to be the market leader, Telenor Telecom has to improve its market position.

Strategies under BCG matrix:

That is the exact time for Telenor Telecom to grow more rapidly with the showing of its internal strength to the market to make the market favorable. Following are the main strategies that will be helpful for Telenor Telecom to get a better market position.

1) Differentiation Strategy:
Differentiation strategy is that the company makes its products or services differ to the other companies. Telenor Telecom has to provide more values to its consumers, so that it will be beneficial to become the market leader.

2) Cost Leadership Strategy:

Telenor Telecom has to consider its cost to improve its profitability ratio. As the profitability ratio will increase, Telenor Telecom become stronger to invest more. There are number of costs that the company do not consider, Telenor Telecom has to be careful all type of costs.

3) Focus Strategy:

Focus strategy refers to the focus on the customer, focus on that target market, identify it and serve them better. Telenor Telecom is currently following this strategy in order to meet the organizational objective.

External Factors

1)Demographics:
Telenor Telecom is operating on large scale, so it has to keep in focus the Demographical changes that are the reason Telenor Telecom is using polycentric view of Management. The reasons for their extension is to either retain or increase there market share along with some other reasons they are also doing that because as the Demographics of the country is changing the Peoples attitude, their ages, their family life cycle are also changing. So Telenor Telecom has to overcome these facts in order to remain in the market. The population growth rate has also changed, so demographics have strong impact on Telenor Telecom.

2)Economic Factors:
The economic condition of Pakistan has also strong impact on Telenor Telecom. As Pakistan inflation rate is entering in galloping inflation rate, so the company has revise its strategies accordingly. As the People income is not increasing according to increase in Prices of different commodities. So Telenor Telecom should offer low prices as compare to other competitors. As far as wireless telecommunication industry is concerned, there is much competition especially price competition. So that Telenor Telecom has to strictly look through their cost and Prices also. They reduce their profit margin in order to survive in the market.

3)Physical Factors:
Physical factor also have a strong effect on Telenor Telecom. Physical factors include:

a. Structure:
Structure refers to the building structure and installments of the company.

Telenor Telecom has strong and so much helpful structure because their office
location and internal environment is very cool and their franchises cover almost every corner of their services area.

b. Infrastructure:
Infrastructure refers to the structure of the country like their roads, where the company is operating. Pakistan is not very strong as far as the infra structure is concerned but it is still helpful for Telenor Telecom because of our strong tale communication sector and it is providing the hub for operating their services in whole over the Asian countries.

4)Technology:
Technology is concerned with the rapid changes because of improvement in production, efficiency, quality etc. Technology has a positive impact on Telenor Telecom. Technology helps them to reduce their cost and to improve their quality. As Telenor Telecom is a newly entered company with the latest technology, such as
Technologies and plan to move to future (EDGE compatible) All radio networks is EDGE ready, hence wide band services can be offered

Media gateways (MGWs) and Intra-city Fiber Optic networks Split Architecture/MGW deployment planned to reduce dependency on leased media and enable local call routing Intra-City Fiber Optic network planned to reduce reliance on microwave and enable faster and smoother rollout of upcoming technologies Current MSCs can serve both as legacy switches and as MSC Servers which enables faster rollout of split architecture

LDI network

Telenor Pakistans own (long distance) LDI network ensures less reliance on other operators for carrying both nationwide and international calls

5)Political:
In Pakistan there is not much political stability, as Telenor Telecom is recently launched in country, so that it is not affected by the political conditions. Due to increasing gap between west and Islam, being a Muslim owned company, Telenor Telecom will not face any difficulty in Pakistan under political conditions.

6)Legal:
Telenor Telecom is efficiently meeting the legal rules and conditions of the country, so that is it not effecting by the legal factor.

7)Social:
Telenor Telecom is a market oriented Company, so it has to keep in mind the customers which are the basic key factors of any Company. So Telenor Telecom is

focusing on different events, festivals and different types of music concerts in order to mix with the culture of the country and People living in it.

8)Cultural:
In Pakistan, there is a mix culture and it is changing rapidly especially in the main cities. So that Telenor Telecom has to keep in mind the cultural changes and has to change its long term strategies accordingly.

Internal Factors

1)Customers:
Every companys customers can effect their organization, the organizations that do not care their customers, they suffer. Telenor Telecom has separate department by the name of Customer Services Department in order to satisfy its customers complaints, as it is one of their most important stated objective to maximize the customer satisfaction. There are the factors which is affecting the organization customers.

Factors affecting the Consumer buying Behavior:

Cultural factors:
Pakistan ha s great cultural background thats why, in most of the advertisements of Telenor they reflect the aspects of Pakistani culture like, stronger and long lasting relationship, lower the distance among the people.

Social Factors
Telenor has a special focus on the social aspects of Pakistan. They offer different call charges for the different social classes and wide connectivity among the rural

and remote areas of Pakistan because a major part of Pakistan population is living in villages.

Personal Factors
Telenor is offering different packages for the different personals like Djuice for the teens and students, Talkshwak for all ages people who want to make calls at lower prices, and Persona postpaid for the business class people who require superb services without wasting too much time.

Types Of consumer buying Behavior

1. Complex Buying behavior 2. Variety Seeking 3. Dissonance reducing Behavior 4. Habitual Buying behavior We put our product in the portion of variety seeking and habitual buying behavior.

2)Supplier :
The suppliers play an important role while considering the workings of the organization. The hardware and software required by the Company has to be supplied by the selected suppliers as the Company mainly requires specialized equipment. Furthermore, timely replacements and warranty claims require efficient and effective Suppliers, as a delay could adversely affect the workings of the organization.

3)Competitors:
Telenor Telecom is facing so much strong competition in Pakistan. Their major competitors are Mobilink, Ufone, Instaphone, Paktel and Warid. Because of these competitors, Telenor Telecom is facing a serious problem in order to attract new customers and retain their existing customer. In order to meet the competitors,

Telenor Telecom has to spent more money on advertising, promotional activities and area coverage for their customer satisfaction.

4) Distributors:
Walk In Center
These are outlets that provide sales and customer services to the end user but are completely owned and operated by the telenor itself.

Sales & Service Centers

Buy a Telenor Connection or have your queries regarding Telenor subscription resolved at any Telenor Sales & Service Center located in vital locations in all the cities where Telenor has had its services.

Franchise
Want to visit a near by Telenor Franchise or have your queries regarding Telenor subscription. Following are the address of some sales and customer service centers or Franchise in Lahore.

Pre-marketing Mix
In marketing mix we segment the market, and then target the market, after targeting we try to build the image on our target customers and increase the sale by differentiation.

Designing a Customer Driven Marketing Strategy:

Market Segmentation:
The purpose for segmenting a market is to allow your marketing/sales program to focus on the subset of prospects that are "most likely" to purchase your offering. If done properly this will help to insure the highest return for your marketing/sales expenditures. Depending on whether you are selling your offering to individual consumers or a business, there are definite differences in what you will consider when defining market segments. Through market segmentation, companies divide large, heterogeneous markets into smaller segments that can be reached more efficiently and effectively with products and services that match their unique needs. Segmenting Consumer Markets The major variables that might be used in segmenting consumer markets are as under:

 Geographic Segmentation Demographic Segmentation Psychographic Segmentation Behavioral Segmentation Geographic Segmentation Geographic segmentation calls for dividing the market into different geographical units such as nations, regions, states, counties, cities, or even neighborhoods. Demographic Segmentation Demographic segmentation divides the market into groups based on variables such as age, gender, family size, family life cycle, income, occupation, education, religion, race, generation, and nationality. Demographic factors are the most popular bases for segmenting customer groups. Age and Life-Cycle Stage is offering different products or using different marketing approaches for different age and life-cycle groups. Psychographic Segmentation Psychographic segmentation divides buyers into different groups based on social class, lifestyle, or personality characteristics. Marketers use personality variables to segment markets. Behavioral Segmentation Behavioral segmentation divides buyers into groups based on their knowledge, attitudes, uses, or responses to a product. Differentiation and Positioning Value proposition: How a company will create differentiated value for targeted segments and what positions it wants to occupy in those segments. A products position is the way the product is defined by consumers on important attributes.

Positioning Maps Perceptual positioning map show consumer perceptions of their brands versus competing products on important buying dimensions. Choosing a Differentiation and Positioning Strategy

The differentiation and positioning task consists of three steps: 1. Identifying a set of differentiating competitive advantages upon which to build a position, 2. Choosing the right competitive advantages, and 3. Selecting an overall positioning strategy. 4. Identifying Possible Value Differences and Competitive Advantages To the extent that a company can differentiate and position itself as providing superior customer value, it gains competitive advantage. It can differentiate along the lines of product, services, channels, people, or image. Choosing the Right Competitive Advantages How Many Differences to Promote Requirements for Effective Segmentation To be useful, market segments must be: Measurable: The size, purchasing power, and profiles of the segments can be measured. Accessible: The market segments can be effectively reached and served. Substantial: The market segments are large or profitable enough to serve. Differentiable: The segments are conceptually distinguishable and respond differently to different marketing mix elements and programs. Actionable: Effective programs can be designed for attracting and serving the segments.

Ad man Rosser Reeves believes a company should develop a unique selling proposition (USP) for each brand and stick to it. Other marketers think that companies should position themselves on more than one differentiator.

Which Differences to Promote

A difference is worth establishing to the extent that it satisfies the following criteria: Important: The difference delivers a highly valued benefit to target buyers. Distinctive: Competitors do not offer the difference, or the company can offer it in a more distinctive way. Superior: The difference is superior to other ways that customers might obtain the same benefit. Communicable: The difference is communicable and visible to buyers. Preemptive: Competitors cannot easily copy the difference. Affordable: Buyers can afford to pay for the difference. Profitable: The company can introduce the difference profitably. Selecting an Overall Positioning Strategy The full positioning of a brand is called the brands value proposition. More for More positioning involves providing the most upscale product or service and charging a higher price to cover the higher costs. More for the Same positioning involves introducing a brand offering comparable quality but at a lower price. The same for less positioning can be a powerful value propositioneveryone likes a good deal. Less for Much Less positioning is offering products that offer less and therefore cost less. Less-for-much-less positioning involves meeting consumers lower performance or quality requirements at a much lower price.

More for less positioning is the winning value proposition. In the long run, companies will find it very difficult to sustain such best-of-both positioning. Developing a Positioning Statement Company and brand positioning should be summed up in a positioning statement. The statement should follow the form: To (target segment and need) our (brand) is (concept) that (point of difference). Communicating and Delivering the Chosen Position Once it has chosen a position, the company must take strong steps to deliver and communicate the desired position to target consumers. All the companys marketing mix efforts must support the positioning strategy. Market Strategy Evaluating Market Segments In evaluating different market segments, a firm must look at three factors: 1. Segment size and growth, 2. Segment structural attractiveness, and 3. Company objectives and resources. The largest, fastest-growing segments are not always the most attractive ones for every company. The company also needs to examine major structural factors that affect long-run segment attractiveness. A segment is less attractive if it already contains many strong and aggressive competitors. The existence of many actual or potential substitute products may limit prices and the profits. The relative power of buyers also affects segment attractiveness. A segment may be less attractive if it contains powerful suppliers who can control prices.

Selecting Target Market Segments A target market consists of a set of buyers who share common needs or characteristics that the company decides to serve. (Figure 7.2) Undifferentiated Marketing Using an undifferentiated marketing (or mass-marketing) strategy, a firm might decide to ignore market segment differences and target the whole market with one offer. This mass-marketing strategy focuses on what is common in the needs of consumers rather than on what is different. Differentiated Marketing Using a differentiated marketing (or segmented marketing) strategy, a firm decides to target several market segments and designs separate offers for each. Concentrated Marketing Using a concentrated marketing (or niche marketing) strategy, instead of going after a small share of a large market, the firm goes after a large share of one or a few smaller segments or niches. It can market more effectively by fine-tuning its products, prices, and programs to the needs of carefully defined segments. It can market more efficiently, targeting its products or services, channels, and communications programs toward only consumers that it can serve best and most profitably. Micromarketing Micromarketing is the practice of tailoring products and marketing programs to suit the tastes of specific individuals and locations. Micromarketing includes local marketing and individual marketing. Local marketing involves tailoring brands and promotions to the needs and wants of local customer groupscities, neighborhoods, and even specific stores. Local marketing has drawbacks.

It can drive up manufacturing and marketing costs by reducing economies of scale. It can create logistics problems.

The brands overall image might be diluted if the product and message vary too much in different localities. Individual marketing is the tailoring of products and marketing programs to the needs and preferences of individual customers.

Individual marketing has also been labeled one-to-one marketing, mass customization, and markets-of-one marketing.

Market Strategy
Telenor used Segmentation strategy Market dominated by low-end, low-ARPU customers (largely untapped) Relatively large emerging middle class segment (Basic in Telenor Terminology) Strong youth culture with needs similar to other markets Private postpaid almost non-existent Small but profitable (high ARPU) Corporate/SME segment Women a largely untapped segment

Addressing the Segments

Telenor Groups segmentation model has been adopted and adapted to cover the Pakistani market Extensive Market research has been conducted and is updated on a regular basis Initial offerings targeted Primarily at Basic Consumers (Middle ground, prepaid) Secondarily at low end users Third at Corporate/SME customers Going forward, the offerings, distribution and communication will broaden and ultimately target all relevant segments

Marketing Mix Strategy

Marketing activities comes in many forms. One traditional depiction of marketing activities is in terms of the marketing mix, which has been defined as the set of tools the firm uses to pursue its marketing objectives. Mc Carthy classified these tools into four broad groups, which he called the four Ps of marketing.

Product

Promotio n

Marketing Mix

Place

Price

Product
A product is anything that can be offered to a market to satisfy a want or need of a customer at profit. Any product can be classified into either a consumer product or a business product. Consumer product is the one that is bought and consumed by a final consumer. While a business product is the one that is bought for the purposes of reselling or for business use. Telenors product comes under the definition of consumer product as an individual buys the product and he/she uses it. Telenor is a pure service product. Telenors product is the SIM that it sells in the market. It is a number that is activated in cell phone and a person can call or can be called. Basically this is the core level of the product that means it is serving the basic need that may be associated with it.

Elements Of The Product

SERVICE

PRODU CT

PACKAG ING

QUALIT Y

FEATUR E

VARIET Y

BRAND NAME

Product Mix
A product mix (also known as a product assortment) is the set of all products and items a particular sellers offer for sale. Telenor is providing five prepaid packages and four postpaid package. Prepaid Packages: 1- Telenor Talkshalk A1 2- Telenor Talkshalk HAR SECOND 3Telenor Talkshalk HAR MINUTE 4- Telenor Talkshalk 30 SECOND 5- Djuice Postpaid Package: 1- Persona Postpaid Economy 2- Persona Postpaid Favorite 3Persona Postpaid Special 4- Persona Postpaid Classic

Product Mix
Persona Postpaid
250 Line Rent 500 Line Rent 1000 Line Rent 1500 Line Rent
Talkshalk A1 Talkshalk HAR SECOND Talkshalk 30 SECOND Talkshalk HAR MINUTE

Prepaid

Djuice

PREPAID
Prepaid
Prepaid connection is the most successful mode product in cell phone industry in Pakistan, as anyone can afford a prepaid connection in Pakistan nowadays. Prepaid is a connection in which the users paid for the services first and then use them. of

Telenor talkshawk A1
Telenor talkshawk A1 package Not just a few millions, talk to all of Pakistan with the most simple and best call rates ever! Telenor introduces another exciting new prepaid package Telenor talkshawk A1, with amazing call rates, freedom to recharge through Easyload and a lot more.

Telenor Talkshawk Har Second

The smartest package to call any network, anytime Telenor introduces another exciting new prepaid

package Telenor talkshawk Har Second, with amazing call rates, freedom to recharge through Easyload and a lot more. .

Telenor talkshawk 30 second

The smartest package to call any network, anytime Telenor introduces another exciting new prepaid package Telenor talkshawk 30 second, with amazing call rates, freedom to recharge through Easyload and a lot more.

Telenor's talkshawk Har Minute

With Telenor's talkshawk Har Minute, you have the freedom to avail unlimited validity throughout the year. With simple and economical call rates, flexible loading of airtime, high value content and GPRS products - Telenor talkshawk Har Minute becomes an exciting offer.

Djuice
Djuice is a popular international mobile brand that is special designed to give you more of what you like. Djuice is more than just a mobile subscription. It is a world packed with friends, fun and laughter. Its a family. A family spread across Norway, Sweden, Ukraine, Hungary, Bangladesh and now in Pakistan.

Postpaid
Postpaid are the packages in which customer use the services but pay for the services after a specific period. In this option user use the service for the whole month and at the end of the month he / she get the bill and pay the dues. Telenor has following packages in its postpaid circle.

Plan 1 (250 Rs. line rent). Plan 2 (500 Rs. line rent). Plan 3 (1000 Rs. line rent). Plan 4 (1500 Rs. line rent).

Price
Amount of money needed to purchase something.

Elements Of Price

List Price

Credit Terms Price

Discounts

Payment Period

Allowances

Prepaid Price
Talkshawk A1
Tariff Voice
Telenor to Telenor* Telenor to Other Mobile Operators* Telenor to PTCL* Rs. 1 / min Rs. 1.4 / min Rs. 1.4 / min

SMS
Own network Other networks Rs. 1 Rs. 1

Talkshawk A1
Terms & conditions:
Standard CED and taxes apply.

Content Services
SMS Content charges MMS-WAP content charge Polyphonic Ringtones Mono Content Java games Background/Logo/Wallpapers Screensavers 101 short code Rs. 0.25 + content Content charges + GPRS session

Content Download Charges (Basic Downloads)

Rs. 5.00 Rs. 2.00 Rs. 25.00 Rs. 5.00 Rs. 5.00

Telenor Talkshawk Har Second

Friends & Family Telenor to Telenor Telenor to other networks Inclusive of Interconnect and long distance charges. All the above charges are inclusive of 3 Paisa (per sec) 4 Paisa (per sec) 5 Paisa (per sec)

taxes. Free Services All Incoming Calls. Caller Line Identification (CLI). Call Waiting. Conference Calling (subscription). Roaming (anywhere in Pakistan). SMS Outgoing Incoming Outgoing International MMS, Internet & WAP Subscription MMS-Receiving MMS-Sending Internet/WAP Usage (Upload/Download per MB) Missed Call Alerts Subscription Rs. 50 + tax Free Free Rs. 5.00 Rs. 15.00 Rs. 1.00 Free Rs. 5.00

Telenor Talkshawk Har Second Terms & conditions:

1. Subscriber can administrate these numbers by calling 555 2. Friends & Family administration charge (addition of number & modification of number) is Rs. 5 (excluding tax) 3. 3 Friends & Family numbers are available, subscribers have the option of either having all Friends & Family numbers as on-net or off-net. They can even have 2 numbers as on-net and 1 number as off-net and vice versa. 4. Friends & Family rates apply Throughout 24 hours. 5. Friends & Family functionality on all talkShawk subscribers has already been activated (there are no activation charges for this service).

Telenor talkshawk 30 second

To another Telenor number. To any other mobile number . To another PTCL number. Friends & Family Telenor-Telenor Friends & Family Telenor-Any other Network Inclusive of Interconnect and long distance charges. All outgoing calls/airtime usage is subject to 21% CED only. Free Services All Incoming Calls. Caller Line Identification (CLI). Call Waiting. Conference Calling (subscription). Roaming (anywhere in Pakistan). SMS Outgoing Incoming Outgoing International MMS, Internet & WAP Subscription MMS-Receiving MMS-Sending Internet/WAP Usage (Upload/Download per MB) Missed Call Alerts Subscription Rs. 50 + tax Free Free Rs. 5.00 Rs. 15.00 Rs. 1.00 Free Rs. 5.00 Rs. 0.75 Rs. 0.95 Rs. 0.95 Rs. 0.45 Rs. 0.95

Telenor talkshawk 30 second

Terms & conditions:
1. Subscriber can administrate these numbers by calling 555. 2. Friends & Family administration charge (addition of number & modification of number) is Rs. 5. 3. 3 Telenor Friends & Family numbers are available, subscribers have the option of either having all Friends & Family numbers as on-net or off-net. They can even have 2 numbers as on-net and 1 number as off-net and vice versa. 4. Friends & Family rates apply during 6 am 6 pm, regular call charges apply on these Friends & Family number in other time band. 5. Friends & Family functionality on all talkShawk subscribers has already been activated (there are no activation charges for this service). 6. Standard CED and taxes apply.

Telenor's talkshawk Har Minute

Rs. 1 Rs. 2 Rs. 2 Rs. 2

To Telenor Friends and Family numbers To another Telenor number To any other mobile number To another PTCL number Inclusive of Interconnect and long distance charges All outgoing calls/airtime usage is subject to 21% CED only Free Services All Incoming Calls Caller Line Identification (CLI) Call Waiting Conference Calling (subscription) Roaming (anywhere in Pakistan) SMS Outgoing Incoming Outgoing International

Rs. 1.00 Free Rs. 5.00

MMS, Internet & WAP Subscription MMS-Receiving MMS-Sending Internet/WAP Usage (Upload/Download per MB) Missed Call Alerts Subscription Rs. 50 + tax Free Free Rs. 5.00 Rs. 15.00

Telenor's talkshawk Har Minute

Terms & conditions:
1. 3 Telenor Friends & Family numbers are available 2. Subscriber can administrate these Telenor numbers by calling 555. 3. Friends & Family administration charge (addition of number & modification of number) is Rs. 5. 4. Friends & Family rates apply during 24 hours throughout the day. 5. Friends & Family functionality on all talkShawk subscribtions has already been activated (there are no activation charges for this service). 6. Use Rs.1 of your balance in the entire year and enjoy life time connection 7. Standard CED and taxes apply

Djuice Tariff
CALL NATIONWIDE RATES
Call 5 favorite Telenor numbers for just Rs.4 PER HOUR! Rates Apply from Midnight to 8am Daytime Rates (8am to midnight): Rs. 0.5/30 Sec Also enjoyAmazing NEW call Rates! Now call any Telenor number for just Rs. 0.5/30 sec And any Other Network/PTCL for just Rs. 1.25/30 sec Rates Apply from Midnight to 8am Daytime Rates (8am to midnight): To Any Telenor Number: Rs. 1.25/30 sec To Any Other Network/PTCL: Rs. 1.25/30 sec

MMS, INTERNET, WAP

Subscription MMS-Receiving MMS Sending Rs. 5.00/MMS To any Mobile Number in Pakistan International MMS Sending Internet/WAP Usage Rs. 15.00/MB (upload/download) per MB All rates mentioned here are exclusive of tax * For details on International MMS destinations please visit the international MMS page in the services catalogue Rs. 15/MMS* Free Free

SMS
To any number in Pakistan* Just for Rs. 0.20/sms To any International Number Rs. 5.00/sms * to a landline number for Rs. 0.40/sms All rates mentioned here are exclusive of tax

INTERNATIONAL CALL RATES

Telenor talkshawk A1
Group 1 Group 2 Group 3 Group 4 Group 5 Group 6 Group 7 Group 1 Australia (L) Austria (L) Belgium(L) 2.75 8 14 18 30 70 150 Group 2

Telenor talkshawk Har Minute

2.75 8 14 18 30 70 150 Group 3 4 7 9

Telenor talkshawk 30 Second

1.4 4 7 9

Telenor talkshawk Har Second

1.4

15 35 75 Group 4

15 35 75

Cyprus (L+M) Hong Kong (L+M) Japan (L) Malaysia (L+M)

Australia (M)

Austria (M)

Bangladesh (L+M) Belgium (M) excl. one in Group5 India (L+M) Iran (L+M) Denmark (M) France (M) excl.one in Group5

Canada (L+M) China (L+M) Denmark (L)

Russia(L+M) Japan (M) excl.one in Group7 South Africa (L) Kuwait (L+M)

Germany (M) Greece (M)

France (L) Germany (L) Greece (L) Ireland (L) Italy (L) Netherlands (L) Norway (L) Portugal (L) Singapore (L+M) Spain (L) Switzerland Taiwan (L) United kingdom (L) (USA) (L+M) (L)

South Korea (L+M) Philippines (L) Sweden (L) Thailand (L+M)

Ireland (M)

Saudi Arabia (L+M) Italy (M) excl. one in Group5 Sri Lanka (L+M) Taiwan (M) Turkey (L+M) UAE (L+M) Netherlands (M) Norway (M) Philippines (M) Portugal (M) South Africa (M) Spain (M) Sweden (M) excl. one in Group5 Switzerland (M) exc. one in Group5 & 6 United Kingdom (M) Rest Of The World

Uzbekistan (L+M)

Group 5 Belgium Mobile Base Bulgaria Mobile Comoros

Group 6

Group 7

Ascension Central African Repl Invivent Chile Fixed-Audiotext Cook Islands Estonia Fixed-Special Services

Cuba Cuba-Guantanamo Bay Diego Garcia East Timor Niue

Djibouti Fiji

French Guyana Mobile Guyana Italy Mobile Intermatica ItalyMobile -Elsacom Italy Mobile -RFI Mayotte Mobile Myanmar Saint Pierre & Miquelon Somalia Onkotel Somalia Soltelco Somalia Telcom Somalia Telcom Bosaso Sweden Mobile Others Switzerland Mobile Orange Switzerland Mobile Others

Falkland Islands Greenland Guinea Bissau Iceland Mobile-Null Niu Kiribati Korea North Liechtenstein Mobile Marshall Islands Nauru Palau Papua New Guinea Poland Directory Service Portugal Fixed-Video Samoa West Somalia Somalia Golis Somalia Hormuud Somalia Miccom Somalia Somtel Switzerland Mobile Global Net

Norfolk Island Poland Dial-Up Internet Access Russia Global Tel Saint Helena Sao Tome And Principe Solomon Islands Tokelau

Switzerland MobileTele2 Zimbabwe Mobile Econet

Tuvalu Vanuatu

Recharge

You can recharge your Telenor Talkshawk Azadi, Telenor Talkshawk Classic and Djuice through following options.

Cards
Cards are available in following four denominations.

Easy Load
You can recharge your balance through easy load from Rs. 10 to Rs. 5000 unlimited validity for incoming and outgoing call. For this you have to go to any Telenor franchise or any other shop who has the facility of easy loading.

Telenor Smart Share

Telenor values the sharing of little things in life. Smart Share is a service that enables sharing your Telenor Prepaid credit with any of your friends or family who are also using a Telenor Prepaid connection. Share anything between Rs. 20 to Rs. 500 from your credit.

How to share
To share an amount type the following code on the mobile phone screen and send: *1*1*923451234567*100# Once the balance is transferred, the sender would receive a confirmation of transaction and the receiver would get a confirmation SMS as well. The transferred amount will be subjected to 4% deduction as the transaction fee.

Scratch Cards Validity

Rs. 1000 Rs. 500 Rs. 250 Rs. 100 360 Days 180 Days 90 Days 30 Days

Easy load Validity

Rs. 1000 to Rs. 5000 Rs. 500 to Rs. 999 Rs. 250 to Rs. 499 Rs. 100 to Rs. 249 Rs.10 to Rs. 99 360 Days 180 Days 90 Days 30 Days 15 Days

Postpaid Price
Economy (Plan-1) Monthly Line Rent Voice (Rs.) Free Minutes Call Charges To Telenor Weekend Tariff (per 30 sec) * Weekday Tariff (per 30 sec) To all other networks All Week Tariff (per 30 sec) * Friends & Family (5 Numbers) To Telenor (per 30 sec) To all other networks (per 30 sec) SMS (Rs.) per SMS charges Other networks To Telenor International SMS MMS (Rs.) per MMS charges Outgoing MMS Incoming MMS International MMS The size of each MMS can be up to 275KB 5 0 15 5 0 15 5 0 15 5 0 15 1 0.5 5 1 0.5 5 1 0.5 5 1 0.5 5 0.5 1 0.4 0.9 0.3 0.85 0.2 0.8 1.25 1.1 1 0.9 0.5 0.75 0.4 0.5 0.3 0.4 0.2 0.3 250 500 1000 1500 250 Favourite (Plan-1) 500 Special (Plan-1) 1000 Classic (Plan-1) 1500

GPRS/EDGE (Rs.) per MB charges 15 Split of Free Minutes Minutes - Telenor number only Minutes - Telenor to other mobile operators Minutes - PTCL International Call (Rs.) Zone 1 Zone 2 Zone 3 Zone 4 Zone 5 Zone 6 Zone 7 2.25 7 13 17 30 70 150 2.25 7 13 17 30 70 150 2.25 7 13 17 30 70 150 2.25 7 13 17 30 70 150 150 50 50 300 100 100 600 200 200 900 300 300 15 15 15

Terms & conditions:

1. Security deposit for nationwide access is equal to price plan minimum credit limit. 2. For International dialing access, minimum security deposit is Rs. 2000 or price plan credit limit which ever is higher. 3. For International roaming, minimum security deposit is Rs. 15,000. Minimum credit Limit Price Plan (Rs) Economy (Plan-1) 1,000 Favourite (Plan-2) 1,500 Special (Plan-3) 2,500 Classic (Plan-4) 3,500 4. For more details, visit the nearest Telenor Sales and Service Center, or call 345 from your Telenor subscription. 5. Call forwarding charges: Airtime + CED (to any Telenor number)

Placement
Place includes company activities that make the product available to target consumers.

Placement is the process in which the final good or service is made available to the end customer. The channels used for this purpose are known as Marketing Channels. Marketing channels are defined as set of independent organization involved in the process of making a product or service available for the use or consumption by the consumer or business user.

Elements Of Placement

Channels

Transport

Coverage

Placemen t

Inventory

Assortme nts

Locations

Vertical Marketing Systems

A distribution channel structure in which products, wholesaler, and retailers act as a unified system. One channel member owns the others, has contracts with them, or has so much power that they all cooperate. Telenor is also using vertical marketing system in the placement if its products. Here come the concept franchises. That means, giving right to a third party to sell the product on their behalf. Telenor has basically two types of sales and customer center.

Walk in Center Sales and Customer Franchise

Walk In Center
These are outlets that provide sales and customer services to the end user but are completely owned and operated by the telenor itself.

Sales & Service Centers

Buy a Telenor Connection or have your queries regarding Telenor subscription resolved at any Telenor Sales & Service Center located in prominent locations in all the cities where Telenor has launched its services.

Franchise
Want to visit a near by Telenor Franchise or have your queries regarding Telenor subscription. Following are the address of some sales and customer service centers or Franchise in Lahore.

Address
1-Leeds Plaza, Main Boulevard, Lahore 2 Asif Block, Main Boulevard, Allama Iqbal Town, Opp Akbari Store, Lahore 28-G, Imran Arcade, Chowk Choburgi, Lahore 28/5 Opp Qatar Airways Office, Davis Road, Lahore 3/15 -K, Shalimar Link Road, Lahore 37-Ravi Road, Near Minar-e-Pakistan, Lahore E-84/2 Defence Main Boulevard, Lahore Main Boulevard, Gulberg, Lahore Qayum Park, Shadara More, Lahore Shop # 109, Khawaja Building, Model Town Link Road. Lahore Shop No. 21, Nisbat Road, Shah Alam Market, Lahore

Customer can visit any of these centers and attain the prescribed services of Telenor.

Promotion
Promotion means an activity that communicates the merits of the product and persuades target customers to buy it. Good Promotion always plays an important role in the success of any product. A good product can be fail if not properly promoted. Telenor is taking big steps to promote its product by maintaining good relationship with the community of Pakistan. The basic aim at the behind of these steps is to promote their own product through a moral way.

Elements Of Promotion

Advertisi ng

Personal Selling

Sales Promotio n

Promotio n Events And Experienc es Public Relations And Publicity

Direct Marketing

Advertising
Advertising is any paid form of nonpersonal presentation and promotion of ideas, goods or services by an identified sponsor. Today advertising agencies are redefining themselves as communication companies that assist clients to improve their overall communications effectiveness by offering strategic and practical advice on many forms of communications.

Like other organizations Telenor is also using different modes of media for advertising just like News Papers, Television, Radio, Magazines, Newsletters, Internet, Brochures etc.

Telenor is also engage in Place Advertising or Out Of Home Advertising just like Billboards and Public Spaces.

Sales Promotion
Sales promotion is short term incentives to increase a sale. Telenor mostly use these types of incentives to boost up the sales

Free sms or mms on any network in pakistan for a limited period. Load the greater then the value of 100 Rs. and get the 50% amount air time balance free. Purchase a new connection and get free airtime on first loading.

Events and Experiences

Telenor also use to promote many events and Experiences.

Recently Telenor Talkshawk has sponsored a concert of launching a new album of Ali Zafar. Because they have a contract with Ali Zafar that he will promote Telenor with his beautiful voice and also telenor has produced the new video of Ali Zafar Masti.

Telenor Pakistan, in its commitment to promoting Pakistani art and culture has launched Abrar-ul-Haqs newest album. At Telenor Pakistan we believe in going beyond mobile communications and adding value and color to the lives of our people. Based on the overwhelming response to Ali Zafars Masty album, we have got together with Pakistans Bhangra King Abrar-ulHaq, who has become another dynamic brand ambassador for Telenor Talkshawk. Telenor Talkshawk is the first brand to introduce online album release. The album has exclusive content, downloads of songs on our website and running a special consumer offer as well allowing users to have extra credit upon producing discount coupons from the Abrar-ul-Haq CDs and cassettes.

Public Relations
Public Relations involve a variety of programs designed to promote or protect a companys image or its individual products. Telenor is aware about the importance of public relations and has also used this tool to clear their image. Few years back when Denmark published the cartoons of our HOLY PROPHET (PBUH), at that time Pakistani boycotts Telenor fully. To control that situation Telenor use this tool to clear their image. They apologize from Pakistani nation and clear their side.

Direct Marketing
All Telenor franchise and outlets are engage in Direct Marketing.

Personal Selling
Telenor is not engage in personal selling.

Corporate Responsibility:

1. Solar-powered repeater site launched

(28 January, 2008) Telenor Pakistan has launched another environmentally-friendly initiative by using solar energy to power one of its repeater sites.

2. Pakistan's first CR report

(24 October, 2007) Telenor Pakistan supports a range of social activities. Here are the highlights from their first Corporate Responsibility Report.

3. Telenor Rabta centres launched

(24 September 2007) Telenor Pakistan has launched Telenor Rabta Centres to offer high speed Internet access to people in rural areas of Pakistan

4. Provides aid to flood victims

(8 August, 2007) Grameenphone, Telenor Pakistan and Telenor have initiated voluntary efforts and made donations to help the flood victims in Bangladesh and Pakistan

5. Telenor Pakistan connects the unconnected

(Islamabad, 9 May, 2007) Telenor Pakistan has launched a unique community project, apnaPCO, which aims at bringing access to the most disadvantaged rural communities in the country.

6. Telecom Futures
(Pakistan, June, 2006) Telenor Pakistan launched Telecom Futures in collaboration with Nokia, Siemens, and TEVTA (Technical Education & Vocational Training Authority).

7. Norwegian delegates visit SOS

Telenor Pakistan's Corporate Social Responsibility (CSR) unit took the delegates to visit the SOS Children's Village in Rawalpindi.

8. Exams over, party time

What do you do when a child passes their exams? You celebrate! That's just what we did with the children of SOS Villages..

9. Telenor contributes for Earthquake-affected Children

Telenor contributes Rs 3.2 million for Earthquake-affected Children.

10.

DUA - Telenor's CSR Program in Pakistan

Telenor's flagship Corporate Responsibility program called DUA is being launched on 23rd June.

Suggestions
In our point of view telenor did not launch itself properly in Pakistani market. There are few points that are of very importance.

One is that telenor did over-promotion in the first place. They advertised themselves extensively before the launch. But when they launched they even skipped the city like Lahore. So people were expecting more from them but they failed to deliver in the first place. On the other hand when Warid started its operations in Pakistan they learned from the Telenor experience and they launched their services in 28 cities of Pakistan in one phase.

Telenor is also lacking in after sale services area. Their sales and service center are far and few and are nor readily approached. Telenors Help line (345) is also very hard to get connected and consumer face a lot inconvenience in making their problem know to the company.

I will suggest the Telenor management to increase their coverage as much as they can. So that they can capture all the potential users of cell phone. Never the less Telenor is bound to progress in Pakistani market. They are professional people and are dedicated to their goals.

Pak-AIMS (Institute Of Management Science)

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Conclusion
If we conclude this report we come to know the following relevant points which need the attention of the management of the company while performing the functions. Telenor should concentrate on promotion of their products and try to enhance the target market. Telenor should try to capture the remove area market especially in rural areas. To get more market share it needs qualitative products with innovation styles and aggressive market activities to create awareness among public regarding their products. More attractive incentives should be designed to get more dealers interest in their product. To make their products technically round they need more technology advancement. A more innovative and new technology is needed. The management of this company does not use the sophisticated techniques while making or performing the function of the demand forecasting by the company. They rely more on the judgmental methods for the purpose of the projection by the company about their sales.

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References
We conducted an interview with the executive marketing of Telenor Pakistan. Few website links http://telenor.com/en/global-presence/ http://telenor.com/en/investor-relations/ http://www.telenor.com.pk/about/history.php http://www.telenor.com.pk/about/brand_Story.php http://www.telenor.com.pk/about/visual_identity.php http://www.telenor.com.pk/about/partners.php www.wikipedia.org www.scribd.com

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