A marketing research conducted to assess

the current situation of Telecom industry

and importance of customer satisfaction.

Marketing
M

Research
Plan
MOBILINK Telecom
company of Pakistan

Ali
 1

MARKETING RESEARCH PLAN

CURRENT MARKET SIZE GROWTH AND TRENDS WITHIN THE

TELECOM INDUSTRY:

The telecom industry in Pakistan has grown significantly. Its current size of
growth is estimated at US$ 11 billion during 2009-2010. Over 85% of the telecom
infrastructure is based on fibre-optic cables. Pakistan ranks among 10 countries
charging lowest call rates along with most progressive telecom regulations in the
region. This sector is operated by 5 cellular networks creating 1.36 million jobs across
Pakistan.

According to PTA, Mobilink leads the market with 32,499,495 million

subscribers, followed by Telenor (25,388,878 million), Ufone (20,358,752 million),
Warid (17,693,626 million) and Zong (9,201,121 million). This is shown here under:

In this way, Mobilink remains the largest cellular company with 31% market
share, while Telenor remains second with Ufone (19%) and Warid (17%) to follow.
The results are shown below:
 2

COMPETITOR ANALYSIS OF MOBILINK AGAINST TELENOR AND

UFONE:

Mobilinks competitors:

There is a cut throat competition now days among mobile operating

companies. Mobilink is enjoying the top position among all cellular connections
in Pakistan. Its major and direct competitors are:

o Telenor
o Ufone

All are offering as much products and services as possible to have

maximum market share and customers.

1. Telenor:

Telenor is a one of the leading telecom operators of

Pakistan, cove raging the remotest areas. It is an international
company providing high quality telecom services, data and
media communication services along with mobile operations in
Central and Eastern Europe and Asia.
 3

2. Ufone:
It is a GSM technology based cellular company introduced
by Pakistan. It provides quality service at low rates. Its main
strategy is to ensure that mobile phones become a daily tool of
communication in personal and business lives. Despite its
strategy to provide higher standard of service rather than
increasing the subscribers, it has achieved substantial market
share in a short period of time.

Competitors target audience:

1. Telenor:
Telenor has segmented its target audience into various parts.
Geographically, it targets those rural and northern areas where others are not
providing services. Demographically, its segmented market is the young
people of age 15-30. It offers pre-paid packages for students, youngsters and
middle class of the society. Whereas, the post-paid packages are meant to be
offered to business class and industrialists.

2. Ufone:
Ufone targets the lower and middle class people by providing low rates
and urdu named packages like Jazba to gain their attention. Its packages are
designed in such a way that every segment of society is covered.

3. Mobilink:
It targets major parts of corporate sectors, armed forces, business
communities, government organizations, embassies, bankers, teenagers etc.
Recently, is has introduced a blackberry professional software that targets
small and medium enterprises.

Competitors strengths and weaknesses:

1. Telenor:
o Strengths:
It has good network quality, excellent coverage and
distribution.
It provides better customer services.
It is financially strong.
Commercial launch of LDI and mobile services is one of its
biggest strengths.
It has developed contracts with Siemens and Nokia to enhance
its brand image of quality.
 4

o Weaknesses:
It has relatively lower market share.
The profit margin is also low.
It encountered negative cash flows in the initial years.

2. Ufone:
o Strengths:
It has strong network coverage.
It has introduced international roaming facility with lowest
call rates and no security and activation charges.
It provides GPRS roaming facility too.
It has got license for providing cellular services in Azad
Jammu and Kashmir and northern areas.
It is the pioneer of value added services, MMS and GPRS in
the country.
It enjoys second largest market share in the industry.
It is the representative of PTCL.

o Weaknesses:
The company is unable to meet the demands.
It has poor organization structure.
It is dependent on PTCL by being its subsidiary.
It lacks financial assets.
It has poor network coverage in northern areas.
It lacks in providing innovative services.

3. Mobilink:
o Strengths:
It is the leading telecommunication company and market
leader of Pakistan.
It has a brand name with good speed and network coverage. It
is the only company that provides coverage on M2 motorway.
It is the pioneer in GSM services in the country.
It has largest number of corporate customers.
It has short service message system that allows vehicle
tracking and fleet (VTF) management services.
It has wide network coverage with good services being
provided to its customers.
It has adequate financial resources.
It has good innovative and competitive skills.
It has increased brand equity and premium brand image.
 5

o Weaknesses:
It offers high call rates comparatively.
It has large organizational structure due to which inter-
connection and collaboration among departments lacks behind.
It has falling market share due to entrance of more
competitors.

Competitors strategies and objectives:

1. Telenor:
Its primary objective is to have its customers feel that the company
works in ethically responsible manner and let its employees to be socially
responsible of their duties. It applies corporate strategy in all of its activities.

2. Ufone:
It is a dynamic organization with a powerful culture. It is confident and
always ready to face the increasing challenges in the market. It has the ability
to retain customer satisfaction. Its objective is to be the leading
telecommunication service provider by offering innovative solutions for
customers along with exceeding shareholder value and employee expectation.

3. Mobilink:
Its objective is to be no. 1 in all mobile companies. It employs
innovative strategies to increase market share and achieve more turnover. It
aims to provide customer with best quality services. It tries its best to provide
the stakeholders with top value.

Market outlook:

I. Telenor:
It is a recent entrant with about o billion US dollars investment. Its
recent earning report shows great progress of it in recent years. It has
25,388,878 subscribers and has 24% of the market shares.

II. Ufone:
It is a wholly owned subsidiary of PTCL. It has 20,368,752 subscribers
and a market share of 19%. It is the company in Pakistan where local
investment can easily be made.
 6

III. Mobilink:
It is at the top of the Pakistan mobile companies. With 32,499,495
subscribers, it has the largest market share of 31%. Its shares are listed on the
Egyptian and London stock market (OTLD).

OPPORTUNITIES AND THREATS FACED BY MOBILINK:

Opportunities:

It has potential to provide WLL and ILD services in

competition to PTCL. In this way, it can provide opportunities
for infrastructure suppliers.
There is margin for growth of VAS-WIMAX networks and
mobile TV-series.
It can deploy 3G technology.
It is financially strong and has high competitive skills. Due to
this. It can target those cities and villages where there is no
coverage by other companies so far.
It can progress by adapting latest technologies.
It is completing certification of its field testing and General
Packet Radio Service (GPRS) products. Through this it can
deliver internet service packages to over 650 million GSM
subscribers.
It has potential to target as many customers as it can before new
upcoming competitors.
It can lower its charges to compete with other companies
through low-price strategy.
It can easily expand its target market and thus enter new target
segment.
It can target more customers by introducing new attractive
packages since it has faster market growth.

Threats:

Due to its expensive services, customers are switching to other

cheaper packages and services provided by other companies.
It is facing competition due to new entering competitors.
Network is getting more complex.
There is political instability which is one of the biggest threats
to Mobilink.
Customer service centres lack quality services.
Tax rates are high.
 7

There are increased imported equipments costs.

Local wireless service providers are also targeting less
developed areas.
Affiliation of PAKTEL with China resulted in many attractive
packages that customers preferred them than all others.
Ufone being a subsidiary of PTCL is also a big threat for it.
Telenor has strong background which enables it to fight with
Mobilink quite easily. So it is a threat also.

IMPROVEMENTS FOR THREATS AND OPPORTUNITIES:

Following are the suggestions and recommendations for Mobilink to

resolve above mentioned issues being faced by it:

It must employ cost-cut strategy and thus introduce less expensive packages so
the customers do not switch to other companies.
It has high resources. With this, it can easily remove threats of existing
competitors.
It must employ strategic solutions to work in competitive environment created
after new companies entrance.
Network must be provided less busy and not much loaded. It will positively
affect the brand image.
It should provide quality service to its customers.
Tax rates must be lowered.
It should give more attention to its brand image because now days people are
more attracted toward brand.
It should provide better packages for corporate customers.
The companys internal working environment should be strong enough to
perform best in the present highly competitive environment.
 8

MOBILNIKS PRODUCTS:

Mainly, Mobilink offers various products with each having different features,
target market and positioning strategies. They are:

1. Mobilink Infinity
2. Mobilink Indigo
3. Mobilink PCO
4. Mobilink World
5. Mobilink Jazz

Two of the above products are explained as given here under:

I. Mobilink Infinity:

This is a most reliable broadband and telephony product made by

Mobilink which brings internet access along with telephony services that are
exponentially better than the average dial up system. It employs Next
generation broadband technology which allows easy, quick and affordable
access to get connection where a conventional telephone network usually fails.
The internet connection is never down while simultaneously using the phone.

II. Mobilink PCO:

It is another product of Mobilink that brings revolution at the grass root

level. It is basically a fixed wireless phone that includes special PCO features.
It consists of two LCDs. One shows the duration of the call and other shows
cost of that call being made. It is a self-employment solution for Pakistanis. It
gives its customers high returns on very low investments. It has exceptional
coverage and easy to carry anywhere. After loading the jazz card you get
embarked on a successful business venture right away.

DIFFERENT TECHNIQUES TO ASSESS CUSTOMER RESPONSE FOR

MOBILNIKS PRODUCTS:

Customer response assessment involves gathering information from customers

and determining which suggestions can be implemented, based on the company's best
interests. They are useful for improving companys services and letting them to better
meet their customers' needs, as well as to make vital improvements to their customer
service methods. Companies gather this information from surveys, questionnaires and
customer suggestions etc.

Following are the means with which customers responses can be assessed by
Mobilink for its above explained two products:
 9

Direct methods:

These methods include means to contact customer directly and getting their
feedbacks. Following are the ways through which they can be directly tabbed:

1. Home customer surveys:

These include written surveys i.e. email and mailed surveys and
verbal feedback surveys i.e. phone or take home surveys, attached with
customers receipt. These surveys ask for information about
customers latest interaction with the product or company. Through
this, Mobilink can ask as how the customers feel about the services
they received and their opinion about the products i.e. infinity and
Mobilink PCO they purchased.

2. Third party agencies:

In this way, the company employee or third party representative
asks the customer directly that are they satisfied with the services
being provided to them. Mobilink can employ this method through its
employees getting and analysing feedbacks. They can also ask open-
ended questions to gather as much information and feedback as
possible.

3. Face to face conversation:

This technique can be employed for those customers who are
not hesitant to express their views about the products and services and
can easily negotiate and talk in meetings or face to face conversations.

4. Complaint/appreciation letter:
This will allow the customers to openly express their either
positive or negative remarks via appreciation letters or complaints
respectively.

Indirect methods:

1. Customer complaints:
This methodology will allow Mobilinks customers to report
the problems to the suppliers, faced while using any specific product or
related service. If that complaint or issue is resolved early then it
shows that Mobilink is performing well and retaining high level of
customer satisfaction.

2. Customer loyalty:
It is necessary for every company to interact and communicate
with its customer regularly to earn their loyalty. Through this,
 10

Mobilink can find out that whether the needs of its customers are being
fulfilled through these products. If they are successful in doing so, then
such loyal customers are bounded with a relationship with the
suppliers.

Customer service questionnaire:

These are the brief surveys that customers take when they approach a
customer service employee with a problem. If Mobilink employs this
technique, then it will let its employees to directly ask their customers about
complaints, asking them to take surveys about their product experience and
problems. Such surveys can give Mobilink an important assessment tool to
understand its customer's perception of the company's methods of handling
complicated problems related to their products and services.

Customer suggestions:

Customers often make helpful suggestions of ways companies can

improve their service. Mobilink can use suggestion forms; listen to
suggestions made during service or those made by customers who call into the
company. These suggestions will offer them the opportunity to listen to
customer opinions, and are different from surveys or questionnaires because
the information is volunteered. A customer will have to choose to fill out a
suggestion form, call customer service or approach an employee to voice a
concern. Through this, it can determine whether customers may wish to
purchase their products or learn about other services that customers would like
to see implemented. For example, Mobilink Infinity is only introduced in
Karachi. The customers from other cities like Lahore, Islamabad etc. can ask
them to implement it in their regions too.
 11

A CUSTOMER SATISFACTION SURVEY:

Given here under is a customer satisfaction survey designed for Mobilnik

users:

1. For how long you are using Mobilink?

3-6 months

7-12 months

more than one year

more than 5 years

2. What quality of service that Mobilink provides?

Very good

satisfactory

Average

Bad

3. What level of customer satisfaction and services that Mobilink provides?

Very good

satisfactory

Average

Bad

4. Which package of Jazz are you using?

Dont Remember

Jazz easy
 12

Jazz Octane

Jazz Budget

Jazz Ladies 1st

Jazz One

5. What is the best option that attracts you in this package?

SMS Rates

Late Night Option Calling Rates

Regular Call Rates

FNF Call Rates

6. Do you compare your existing package tariff with other companys package?

yes

no

7. Do the promotional activities attract you to use new features in your existing
package?

yes

no

8. What coverage level (signals) of Mobilink you receive anywhere you roam?

Very good

Satisfactory

Average

Bad
 13

9. Does the Value added Services attract you to use the Jazz connection?

yes

no

10. What Value added Services do you use?

Mobitunes

SMS

555

MMS

Others (Please specify)

11. How much level of ease of access you have to get the SIM and balance load on your
number?

everywhere

somewhere

rarely

12. If you have same or better offer from some other network, will you be willing to
switch to it?

yes

no

13. What other operators connection you are using along with the jazz number?

name the connection

 14

14. What character makes Mobilink a large cellular company?

Business excellence

Total customer satisfaction

Trust and integrity

Corporate social responsibility

15. How much Mobilink influences the society?

High

Moderate

Low

No

SURVEY RESULT:

The overall survey result is tabulated in the table and graph as shown below:
 15

REVIEW OF SURVEY CONDUCTED:

The results of the survey showed that around 80% of the customers are
satisfied with the services and products of Mobilink. Majority of its customers are
mature and among regular users of its services. Their satisfaction level is high and
are inspired by the new promotional schemes as well. Due to its maximum
coverage, it can roam anywhere in the world. The recharge facility is available every
where. Other than Mobilink, customers use Telenor and Ufone, as depicted by their
market shares on 2nd and 3rd positions. Mobilink shows total customer satisfaction
character. In this way, it no doubt is leading the cellular market in our country.
 16

Work Cited

1. http://www.telenor.com.pk/corporate-ethics/objectives-and-strategy
2. http://www.connectitpakistan.com/Connect%202012%20Brochure.pdf
3. http://www.evancarmichael.com/Business-Coach/4245/Four-Common-
Methods-To-Solicit-Client-Feedback.html
4. www.managementstudyguide.com
5. www.ehow.com
6. www.returncustomer.com
7. http://www.slideshare.net/nabeelhaiderkhan/mobilink-infinity