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Prepared By:

Group Member’s
Name Roll No
Adnan ahmed MBA/2k17/7
Saif ul rehman MBA/2K17/144
Abdul rehman MBA/2K17/4
Kamran Ali MBA/2K17/60

Submitted to:
Prof: Dr Vishnu Parmar
Contents
Executive Summary .................... Error! Bookmark not defined.
CRM STRATEGY ......................................................................... 5
ANALYZE THE PRICING SITUATION ........ Error! Bookmark not
defined.
Competition-Based Pricing Strategy ........ Error! Bookmark not
defined.
Pricing Policies and Strategies .. Error! Bookmark not defined.
Strategic Marketing Planning process ..... Error! Bookmark not
defined.

EXECUTIVE SUMMARY

As you know, although Uber has been operating in Pakistan for a


year, no communications actions have been executed so far on the
behalf of the company. Instead, the public opinion has mainly been
dictated by the media. Especially parties criticizing the company
have been on display. Furthermore, because of lack of
communication the service is still quite unknown to many
Pakistanis. Therefore, the purpose of our report is to present an
overview of the current visibility and reputation of Uber in Pakistan,
and give recommendations on how the company with an
appropriate communications strategy could make a proper
entrance to the Pakistani market.

Media’s role as a dominant opinion-leader

We gathered information by conducting a Facebook survey and


reviewing related news articles from the launch of Uber Pakistan to
date. The survey had 21 respondents in total, 6 of which had used
Uber’s services. All respondents were young adults between the
ages of 20 and 30. There was no direct correlation between the sex
of the respondent and the usage of the service.

As the majority of respondents had either never used Uber or heard


of it, the surveys indicated a clear connection between media and
the overall impression of the company in Pakistan. Many of the
non-users referred to the news as their primary source when asked
how they had formed their opinion of Uber. To clarify, they stated
their views to be negative due to the general tone of the articles
presented in Pakistani media. However, out of the respondents
who had used Uber, 5 out of 6 had positive experiences and would
use it again.

In addition to the Facebook survey, we analysed media sources in


Pakistan and abroad. As Uber Pakistan has so far chosen not to
give statements to the media, the limelight has been dominated by
those who oppose the service, which explains the negative
response of the survey respondents unacquainted with the service.
The media has, for example, taken advantage of Uber Pakistan’s
silence by aggressively reporting on the questionable legality of the
service.
Directing media’s attention and establishing proper
communication

Based on the obtained data, we strongly recommend Uber


Pakistan to take the following actions:

1. Hire a communications manager to actively lead media’s


attention to issues that are more beneficial to Uber Pakistan
2. Start a program to systematically and coherently invalidate
the accusations thrown at Uber Pakistan by media and those
who see Uber as a threat
3. Launch a marketing campaign to raise awareness of Uber’s
presence in Pakistan and highlight the flexibility and many
possibilities of its service

Uber Pakistan has been presented in a very negative light by the


Pakistani media so far, and thus the communications manager
should take an active role in shifting the media focus away from
negative issues and highlight the positive features of the service
instead. For example, it can be promoted that Uber aims to tackle
private motoring and not the traditional taxi companies, which
would help people view Uber as a responsible company that cares
about the environment.

In addition, some taxi companies claim that Uber’s service is illegal,


when in fact the Pakistani Ministry of Transport and
Communications has already stated the opposite. This official
statement can be used in Uber Pakistan’s communication strategy
to silence the accusations of illegality by the media and the taxi
companies and to help change the company image from a threat
to a possibility.
Finally, given that Uber is not yet very well known in Pakistan, a
marketing campaign is needed. According to our survey and
observations, Uber is not for everyone. The major customer
segment appears relatively young (18-30 years). Therefore, the
marketing campaign should be executed on social media platforms
such as Facebook and Twitter for maximum coverage of potential
customers.

We are confident that with these actions Uber Pakistan can both
answer to the negative media attention and become better known
among Pakistani people and in positive light. In other words, Uber
gets a second chance to better manage the launch of its services
onto the Pakistani market.

CRM STRATEGY
Identify internal strategies and tools that any company uses.
Companies generally don’t disclose their tools that they use for
their business. It’s a part of their strategy. So, I would suggest just
understand your requirements and on the basis of that select the
best CRM tool for your business. These days, many cloud based
sales tools and CRMs are available in cost effective manner. You
can use any flexible CRM that fits best to your business.
I recommend Sales mate when it comes to best, affordable (low
cost) and easy to use SaaS-based B2B CRM. Sales mate CRM is
designed to help small and mid-sized business in their sales
growth with its intelligent features like sales automation, sales
reporting, streamlined communication, etc.
Top reasons why I recommend Sales mate for all small and mid-
sized businesses –
- Easy to use, simplified & effective
- Highly customized – Suited for all types of sales teams,
processes, and requirements.
- Highly affordable – Specially designed for small businesses
eliminating undesirable features for small businesses that leads to
increased cost.
- 24/7 Technical Support – Via email, live chat & call
If we talk about the features, Sales mate is more than a CRM and
dashboard. It can be defined as all-in-one sales intelligence tool
that makes it easy to build, maintain and update powerful
business processes with simple yet effective features.
Some of the top features that top sales teams love in Salesmate:
1. Smart Workflow Automation for eliminating manual work
Sales mate lets you automate simple to sophisticated sales
processes and increase productivity. Workflow automation helps
you to automate:
-- Lead and task assignment
-- Follow up emails
-- Update Records
-- Update Teammates

Customer value expectation


A recent shift in consumer attitudes toward service has created
profound pressures within the field service industry. Everything
from appointment windows to field technician behavior on-site has
become a potential differentiator. Many companies now
experience loss of market share attributable directly to customer
service—even if the product or service is superior to competitors.

It’s all about engaging customers in the way they wish to interact.
This means creating an experience that fulfills the key piece of
customer expectation—beyond product, service, or price.
Customers are far more concerned with convenience, ease of
use, mobility, field technician attitude, and duration of service
calls. Competitive pricing is not enough. If customers’ standards
for service are not met, they tend to vote with their feet.

According to a recent Aberdeen Group study, Best-in-


Class service organizations that improved customer
satisfaction also saw a seven percent increase in annual revenue.
Given this reality, how do field service companies go about
managing customer expectations? Here are a few ideas

1. Manage customer expectations as though your


business depends on them.
2. Engage and empower the customer.
3. Use social media to your advantage
4. Put the customer first and profits will follow.

New services by Uber


 Delivering food fast
 Helping businesses move ahead
 Changing the future of autonomous transportation
technology
 Making healthcare more accessible

Uber as a customer’s friendly

If you’ve ever taken an Uber, you know that the startup identified
practically every consumer pain point involved with hailing a taxi –
not being able to find one, standing in a long taxi line, rude
drivers, the credit card machine always being broken – and
addressed each one with a simple, easy-to-navigate mobile app.

What you might not know is something I learned from talking with
a friendly Uber driver in Seattle – which the company also
identified and addressed practically every driver pain point, too.
My Seattle Uber driver told me that at a traditional taxi company,
she had to pay a fortune for a taxi medallion, and even with that
monthly payment she was not covered by auto insurance, which
Uber provides without requiring a medallion. She had to carry a
lot of cash and was constantly afraid of being robbed. She had to
work specified hours instead of determining her own schedule.

Uber has become such a classic example because it figured out


how to create a simple, clean experience for both the customer
and the driver. When both sides work in perfect harmony,
everyone enjoys the experience. The taxi industry didn’t see Uber
coming, and has been slow to innovate in response.

User experience is an important subset of customer experience,


but it is a critical piece. While the term is often used in relation to
digital experience (ease of navigation, form fields that allow for
quick data entry, accessibility options, etc.), it also has
applications in the physical world.

According to the International Organization for Standardization,


user experience is a “person's perceptions and responses
resulting from the use and/or anticipated use of a product, system
or service” and is “a consequence of brand image, presentation,
functionality, system performance, interactive behaviour and
assistive capabilities of the interactive system.”

It is important to note that not every user experiences a product in


the same way. For example, iPhone users of a certain age
sometimes set the font so large that to others it looks like only
four or five words fit on the screen. But that’s because Apple –
which is known for creating an unbeatable user experience –
understood that older eyes need larger font sizes, and that the
ability to choose one’s own font size allows the user to
personalize his or her experience.

Pricing strategy for UBER services

Ever since Uber first appeared in San Francisco neighborhoods it


has strived for rapid growth and expansion. Six years later, Uber
has cars in over 50 countries and ended 2015 on a high note, with
a whopping $50 billion evaluation, and more than doubling the
company’s worth in just half a year.

Uber’s dynamic pricing strategy has always been a critical driver


of its success. Of course it’s also been the source of much
controversy. Most recently, new legislation has even been
proposed a ban to surge pricing in the U.S.

Despite Ubers pricing controversy we could all learn a lesson or


two in pricing from Uber.

Costs Aren’t Everything


Let’s not forget about the 5 C’s of Pricing. Costs, competition,
capacity, conditions and customers of course make up the 5Cs of
Pricing. Often companies get hung up on one or two elements,
and in particular, put too much emphasis on cost. But you must
consider all of the 5C’s in order to have a 360 degree view of
pricing and enough information to develop a comprehensive
pricing strategy.

Insight into costs is essential to being profitable. It establishes a


price floor. However, Uber gives us an example of how limiting
cost-plus pricing can be. While fares in traditional taxis begin at a
base fare, calculated according to vehicle and fuel costs among
other things, Uber’s overheard is only one of many variables
filtered into their much hushed-about pricing algorithm. Another
important factor is customer willingness-to-pay.

On the subject of the 5Cs, it’s tough not to mention Uber’s unique
capacity model as well. Like airlines and hotels, prices are largely
based on how close the service is to full capacity.

Its capacity model is reminiscent of a former client in the pulp and


paper industry. When demand for either pulp or paper changed,
the plant was designed to adapt its capacity accordingly.
Whichever was of greater need was in higher production.
Likewise, Uber’s drivers can turn on or off their availability at a
whim. The company tries to entice more cars on the road with
higher prices or vice versa. Casual drivers are less likely to drive
during ‘normal’, less lucrative periods.

It Never Pays to Play the ‘Guessing Game


Getting back to Uber’s core pricing algorithm, powered by
sophisticated big data analytics and rich customer insights, the
model incorporates price elasticity and other variables like
geography, to predict demand and supply. Leveraging this
information, Uber then generates the optimal price at different
times of the day, week and month.
This ‘smart’ model is what helps Uber adjust prices so quickly
when any one variable changes, effectively fast-tracking the
painful process of developing a pricing strategy from scratch.

And it’s ultimately Uber’s customers that accept or reject the fee,
including higher rates during peak periods. Uber’s rates can go as
high as 8Xs the normal price when demand is greater than its
supply. Of course, if too many customers reject the price, the
models validity is called into question. The perception of value is
lower, and Uber will drop its price until there are both fewer cars
on the road and fewer requests for rides – that is, until market
demand matches supply.

From a long-term price optimization standpoint, quickly adjusting


rates according to customers’ willingness-to-pay in a very
competitive market, makes Uber well-positioned to maximize the
value captured from each customer ahead of fierce competition.

Tell a Good Pricing Story


In spite of the significant media backlash, Uber has still attracted
a loyal fan base, largely because it delivers on its promise of
superior service.

I was in New York City a few weeks ago for a meeting with a
client. As I left, the client jumped into a waiting Uber car while I
tried to find a cab during rush hour on a rainy, cold day. While cab
drivers screened me – “depends where you’re going?” – my
colleague had known the exact make and model of the car route,
approximate fare, the driver’s rating and name before either of us
stepped onto the curb.

The convenience factor is a big reason people pay for Uber, and
why the higher fares during peak hours are acceptable to some
customers.
Uber’s value-advantaged and it’s resulted in greater profit
margins.

The lesson here is to learn what drives customer purchases and


use it to tell a good pricing story. Your pricing story is how your
company communicates and justifies current and future pricing to
consumers.

Uber’s pricing story is improving and we can certainly learn what


not to do from them as well. For instance, in one of the most-well
known PR missteps Uber was hounded for billing a customer $63
for travelling 0.73 miles. That certainly told a bad pricing story. But
since then the company has made changes to how it
communicates fare increases to consumers. Customers must now
tap their agreement before a car can even be requested on the
Uber app.

Your pricing model will never be effective if your customer refuses


to hear your pricing story

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