Customer Trend Toward SMS

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M.

Rahim Ejaz

CHAPTER 1
INTRODUCTION TO RESEARCH

Scope of Research
SMS are become very much important and significant, as people are more
educated, aware of and have considerable knowledge about different use
of SMS. People are much conscious about SMS.

On the same lines, the calls have also got the utmost importance.
Because, a greater number of customer make calls. Companies face much
and much competition from each other’s side, regarding promotional
campaign, obtaining market share and enhancing brand image among
consumers.

The demand for SMS is increasing steadily with the increase in the
population. So there is no need to boost up the demand but these three
sectors have to compete with each other in the competition. They attract
different market segments towards them by offering different
combinations of benefits, sought by those market segments.

The companies offering SMS packages to meet the needs and wants of
the customers:

• The customers use their maximum time in sending SMS.

• The customers want less and cheap SMS rate, that they satisfy their
needs and wants.

• People think that, these companies are charging the heavy cost of
promotion to us.

In Pakistan, the SMS are new, and they do not know well about the
Pakistani consumers. SMS are introduced in Pakistan just a few years

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back. The SMS are promoting it with heavy promotional budgets. The SMS
is being advertised on electronic media, print media.

Here our research will address to all the potential problems, controversies
faced by the customers of telecom companies.

We have designed and conducted our research on the topic stated as:

“Customer trend towards SMS Packages”.

Research objectives
We have undertaken conducted our research in D.G.Khan. So, in general,
the research will reveal and depict the response of Pakistani consumers,
and in particular the response of this backward area of the Punjab
province towards SMS trends.

• To explore the consumer behavior toward SMS.

• To solve the controversy that in the advertisement of Ufone, Zong


are targeting to lower working class. But it price is high and usually
out of the reach of that very class.

• To explore the factors that why the performance of SMS are not up
to the mark in spite of huge investment in its promotion.

Significance of the research


This research has been assigned to us an academic activity with the view
to throw us into the practical world. This report will complement our
educational and learning process from practical side. Certainly, this report
will extend and enhance our abilities to cope with the actual situations,
while we were preparing the research proposal, developing and designing
the questionnaire, getting the questionnaires filled in, analyzing the
results and presenting the findings and recommendations.

The results of this research report can be used by us to rectify the


customer trend towards SMS. The research will be a supplement to the
field of consumer behavior. The whole telecom industry can assess and
judge the potential threat posed from each other.

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SMS
SMS stands for “short messaging service”. It is cheap way of
communication. Data is electronically sent from one cell phone to other
one.

The role of “Research” in the “Business”


Business research covers a wide range of phenomena. For managers the
purpose of research is to fulfill their needs for knowledge of the
organization, the market, and the economy, the consumers or another
area of uncertainty.

• A financial manager may ask, “Will the environment for long-term


financing be better two years from now”?

• A personnel manager may ask, “What kind of training is necessary


for production employees”?

• A marketing manager may ask, “How can I monitor my sales in


retail trade activities”?

• A purchase manager may ask, “From where and from whom I can
purchase different things at lower cost with no commitment on
quality”.

Each of these questions require information about how the environment,


employees, customers, or the economy will respond t executive’s
decisions research may be one of the principal tools for answering these
practical questions.

What is business Research?


Literally the term “research” (re-search) means to “Search again”.

Business research is defined as “The systematic and objective process of


gathering, recording and analyzing data for aid in making business
decisions”.

“Scientific research is systematic, controlled, empirical, and critical


investigation of hypothetical propositions about the presumed relations
among phenomena”.

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The task of business research is to generate accurate information for use
in decision making. Business research helps decision-makers to shift from
intuitive information gathering to systematic and objective investigation.
Information from a manager’s experience is frequently used in an intuitive
manner because of time pressure on a business decision or because the
problem in minor. Fortunately, there might be success, but in the long run
intuition without research can lead to disappointment.

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CHAPTER 2
RESEARCH METHODOLOGIES

Problem Statement
We have stated our research problem in the following words:

How SMS capture the Pakistani marker while SMS are not so popular
Worldwide.

In order to have a clear understanding of the topic, here we will define


some terms used in our research problem statement.

The Research Design


After we have formulated the research problem, we will develop the
research design. A research design is a master plan specifying the
methods and procedures for collecting and analyzing the needed
information. It is a framework of the research plan of action. The
objectives of the study determined during the early stages of the research
are included in the design to ensure that the information collected is
appropriate for solving the problem.

Type of Study
The main purpose and task of our research is to figure out and explore the
underlying factors due to which SMS could not perform up to the mark.
The misperceptions of people about SMS. The flaws in the promotional
campaign of SMS from different telecom companies. As exploratory

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studies are conducted to clarify ambiguous problems, thus our research
project is of an exploratory one.

Exploratory Research
Initial research conducted to clarify and define the nature of a problem.

Basic Research Design Techniques


As our research will be conducted by applying primary data. “Data
gathered and assembled specifically for the research project at hand is
called as primary data”. And the most common, inexpensive and quick
method of generating primary data is through surveys.

Survey Research
“Surveys require asking people, who are called respondents, for
information, using either verbal or written questioning. Questionnaires or
interviews are utilized to collect data through the mail, on the telephone,
or face to face.” The more formal term sample survey emphasizes that
the purpose of contacting respondents is to obtain a representative
sample of the target population. Thus a survey is defined as “a method of
primary data collection based on communication with a representative
sample of individuals.”

And in our research we will use sample questionnaire for the data
collection method, while meeting the respondents personally.

Temporal Aspect of the Research


As we are exploring the response of the consumers towards SMS at a
single point in time. So our research is a cross sectional study.

Cross Sectional Study


A study in which various segments of a population are sampled at a single
point in time.

Selection of Sample Design

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What do we mean by sampling, as we use the technique of sampling in
our daily life? While selecting a book we read some pages or lines of it,
during cooking, the cook checks the taste of the whole dish by taking a
few grains or drops of the dish.

Sampling
The process of using a small number of items or parts of a larger
population to make conclusions about the whole population.

Sample

• A sample is a subset or some part of a larger population.

• In our research the sixty respondents who were selected by us


represent the sample.

Population
A complete group of entities sharing some common set of characteristics
is called as population. The population of our research was the total
population of D.G.Khan city.

Sampling Unit

• A single element or group of elements subject to selection in the


sample.

• In case of this research sampling unit was “selected respondents”.

Sampling Technique Applied


We selected non-probability-sampling technique. Under which we applied
quota sampling plus convenience sampling.

Non-Probability Sampling
In non-probability sampling the probability of any particular member of
the population being used in unknown. The selection of sampling units in

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non- probability sampling is quite arbitrary, as researchers rely heavily on
personal judgment or convenience.

Quota Sampling
A non-probability sampling procedure that ensures that certain
characteristics of a population sample will be represented to the exact
extent that the investigator desires.

Convenience Sampling
The sampling procedure used to obtain those units or people most
conveniently available.

Questionnaire Design
• Our questionnaire is consisted of 30 item questions.

• Relevancy and accuracy of the questions was considered as most


important. However, we also tried our best that the wording of the
questionnaire should be very easy and comprehensible.

• Our questionnaire requires two types of information.

• The most important of these are replies, response, suggestions,


attitudes and information that were directly related to his essence of
the research.

• And the second type of information that was needed for


classification and analysis.

• These questions were about education level, occupation and


residence.

• After deciding what should be asking, we focused our attention on


the following points.

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• Question content should be relevant & accurate.

• Question wording should be easy, and question sequence should be


logical.

• Questions should be pure of complexity and ambiguity.

• Open-ended questions were also asked.

Personal questions and questions that are more interesting, easier to


answer and less threatening are placed early in the sequence to
encourage response and to promote rapport.

Data Collection Methods


For data collection purpose, we used sample questionnaires. We
contacted people in their homes, in the markets and got the
questionnaires filled out from them on the spot. We assured our
respondents that their response would be kept completely confidential.

Sample Size Selection


The selection of the sample size is the most difficult job while you are
going to get the information from your population. We have taken the
simple size of 60. The reason behind this selection is that such type of
exploratory studies this is a sufficient sample size to get the information
and to represent the whole population. The second reason is the time
constraint, due to not having much time; we have selected this sample
size.

Sample Questionnaire
Our sample questionnaire is consisted of 30 item questions.

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CHAPTER 3
LITERATURE REVIEW

Segment Marketing
A market segment consists of a large identifiable group within a market. A
Company that practices segment marketing recognizes that buyers differ
in their wants, purchasing power, geographical locations, buying attitudes,
and buying habits. At the same time, though, the company is not willing to
customize its offer or communication bundles to each individual customer.
The company instead tries to isolate some broad segments that make up
a market.

Market Segmentation
The telecom companies of Pakistan have not segmented a special market
for SMS subscribers. Companies set the cheapest rates of SMS and as well
as call, that now cell phone are easily accessible to all people of Pakistan.
Especially low income people are taking advantage of it. The target
market is whole country for cellular users.

Bases for Segmenting Consumer Markets


Some researchers try to form segments by looking at consumer
characteristics. They commonly use geographic, demographic, and
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psychographic characteristics. Then they examine whether these
customer segments exhibit different needs or product responses.

Other researchers try to form segments by looking at consumer responses


to benefits sought, use occasions, or brands. Once the segments are
formed, the researcher sees whether different consumer characteristics
are associated with each consumer-response segment.

Geographic Segmentation
Geographic segmentation calls for dividing the market into different
geographical units such as nations, states, regions, countries, cities, or
neighborhoods.

Demographic Segmentation
In demographic segmentation, the market is divided into groups on the
basis of demographic variables such as age, family size, family life cycle,
gender, income, occupation, education, religion, race, generation,
nationally, or social class.

Income
Income segmentation is another longstanding practice in such product
and service categories as automobiles, boats, clothing, cosmetics, and
travel.

Social class
Social class has a strong influence on a person’s preference in cars,
clothing, home furnishings, leisure activities, reading habits, retailers, and
so on. Many companies design products or services for specific social
classes.

Psychographic Segmentation
In psychographic segmentation, buyers are divided into different groups
on the basis of lifestyle and personality.

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People’s product interests are influenced by their lifestyles. In fact, the
goods they consume express their lifestyles. Marketers are increasingly
segmenting their markets by consumer lifestyles.

Behavioral Segmentation
In Behavioral Segmentation, buyers are divided into groups on the basis of
their knowledge of attitude toward, use of, or response to a product.
Occasions, benefits, user status, usage rate, loyalty status, buyer-
readiness stage, and attitude are used for constructing market segments.

Occasions
Buyers can be distinguished according to the occasions they develop a
need, purchase a product, or use a product.

Benefits
A powerful form of segmentation involves classifying buyers according to
the benefits they seek from product.

User Status
Markets can be segmented into groups of nonusers, ex-users, potential
users, first-time users, and regular users of a product.

Usage Rate
Markets can be segmented into light, medium, and heavy product users.
Heavy users are often a small percentage of the market but account for a
high percentage of total consumption.

Requirements for Effective Segmentation


There are many ways to segment a market. Not all segmentation,
however, are effective. To be useful, market segments must be:

Measurable: The size, purchasing power, and characteristics of the


segments can be measured.

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Substantial: The segments are large and profitable enough to serve. A
segment should be the largest possible homogeneous group worth going
after with a tailored marketing program. It would not play, for example,
for an automobile manufacturer to develop cars for people who are
shorter than four feet.

Accessible: The segments can be effectively reached and served.

Differentiable: The segments are conceptually distinguishable and


respond differently to different marketing-mix elements and programs. If
married and unmarried women respond similarly to a sale on perfume,
they do not constitute separate segments.

Actionable: Effective programs can be formulated for attracting and


serving the segments.

Market Targeting
Once the firm has identified its market-segment opportunities, it has to
evaluate the various segments and decide how many and which ones to
target.

Evaluating the Market Segments


In evaluating different market segments, the firm must look at two
factors: the overall attractiveness of the segment, and company’s
objectives and resources. First, the firm must ask whether a potential
segment has the characteristics that make it generally attractive, such as
size, growth, profitability, scale economics, low risk, and so on. The
company should avoid targeting loyal of other brands or deal-prone
shoppers; rather, it should go after dissatisfied shoppers and those who
have not become firmly brand loyal. How much is their business worth’
(the company should target consumers who will spend a lot on the
category, stay loyal, and influence others).

Second, the firm must consider whether investing in the segment makes
sense given the firm’s objectives and resources. Some attractive
segments could be dismissed because they do not mesh with the
company’s long-run objectives. Even if the segment fits the company’s
objectives, the company must consider whether it possesses the skills and
resources it needs to succeed in that segment. The segment should be

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dismissed if the company lacks one or more necessary competencies and
is in no position to acquire them. But even if the company possesses the
requisite competencies, it needs to develop some superior advantages. It
should enter only market segments in which it can offer superior value.

Selecting the Market Segments


Having evaluated different segments, the company must decide which
and how many segments to serve. In other words, it must decide which
segments to target.

Single Segment Concentration


In the simplest case, the company selects a single segment e.g.
Volkswagen concentrates on the small-car market.

Selective Specialization
Here the firm selects a number of segments, each objectively attractive
and appropriate, given the firm’s objectives and resources. There may be
little or no synergy among the segments, but each segment promises to
be a moneymaker. This multi-segment coverage strategy has the
advantage of diversifying the firm’s risk. Even if one segment becomes
unattractive, the firm can continue to earn money in other segments.

Full Market Coverage


Here a firm attempts to serve all customer groups with all the products
that they might need. Only very large firms can undertake a full market
coverage strategy.

Undifferentiated Marketing
In undifferentiated marketing, the firm ignores market segment
differences and goes after the whole market with one market offer. It
focuses on buyers’ needs rather than differences among buyers. It
designs a product and a marketing program that will appeal to the
broadest number of buyers. It relies on mass distribution and mass
advertising. It aims to endow the product with a superior’ image in
people’s minds.
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When several competitors practice undifferentiated marketing, the result
is intense competition in the largest market segments and under-
satisfaction of the smaller ones.

Differentiated Marketing
In differentiated marketing, the firm operates in several market segments
and designs different programs for each segment.

Differentiated marketing typically creates more total sales than


undifferentiated marketing. However, it also increases the costs of doing
business.

Developing and Managing an Advertising Program


Advertising is one of the most common tools companies use to direct
persuasive communications to target buyers and publics.

Advertisement
Advertising is any paid form of non-personal presentation and promotion
of ideas, goods, or services by an identified sponsor.

In developing an advertising program, marketing managers must always


start by identifying the target market and buyer motives. Then they can
proceed to make the five major decisions in developing an advertising
program, known as the five:

Mission: What are the advertising objectives?

Money: How much can be spent?

Message: What message should be sent?

Media: What media should be used?

Measurement: How should the results is evaluated?

Setting the Advertising Objectives


The first step in developing an advertising program is to set the
advertising objectives. These objectives must flow from prior decisions on
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the target market, market positioning, and marketing mix. The marketing-
positioning and marketing-mix strategies define the job that advertising
must do in the total marketing program. Many specific communication
and sales objectives can be assigned to advertising.

Advertising objectives can be classified according to whether their aim is


to form, persuade, or remind.

Informative advertising figures heavily in the pioneering stage of a


product category where the objective is to build primary demand.

Persuasive advertising becomes important in the competitive stage,


where a company’s objective is to build selective demand for a particular
brand. Most advertising falls in this category. For example, Proctor &
Gamble attempts to persuade consumers that “Ariel” gives your clothes
more shining, cleanliness and brightness than any other brand.

Comparative advertising seeks to establish the superiority of one brand


through specific comparison of one or more attributes with one or more
other brands in the product class. Comparative advertising has been used
in such product categories as deodorants, fast food, toothpaste’s, tires,
and automobiles.

In using comparative advertising, a company should make sure that it can


prove its claim of superiority and that it cannot be counterattacked in an
area where the other brand is stronger.

Reminder advertising is highly important with mature products.

Reinforcement advertising seeks to assure current purchases that they


have made the right choice.

The choice of the advertising objective should be based on a thorough


analysis of the current marketing situation. For example, if the product
class is mature, the company is the market leader, and brand usage is
low, the proper objective should be to stimulate more brand usage. If the
product class is new, the company is not the market leader, but the brand

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is superior to the leader, then the proper objective is to convince the
market of the brand’s superiority.

Choosing the Advertising Message


Advertising campaigns differ in their creativity. Clearly, the effect of the
creativity factor in a campaign can be more important than the number of
dollars spent. Only after gaining attention can a commercial help to
increase the brand’s sales. The advertising adage is, “Until it’s compelling,
it isn’t selling”.

However, a warning is in order. All the creative advertising in the world


cannot boost market share for a flawed product.

Advertisers go through four steps to develop a creative strategy: message


generation, message evaluation and selection, message execution, and
message social-responsibility review.

Message Generation
In principle, the product’s message – the major benefit that the brand
offers should be decided as part of developing the product concept. Yet
even within this concept, there may be latitude for a number of possible
messages. And over time, the marketer might want to change the
message without changing the product, especially if consumers are
seeking new or different benefits from the product.

Creative people use several methods to generate possible advertising


appeal. Many creative people proceed inductively by talking to
consumers, dealers, experts, and competitors. Consumers are the major
source of good ideas. Their feelings about the strengths and shortcomings
of existing brands provide important clues to creative strategy.

Message Evaluation and Selection


The advertiser needs to evaluate the alternative message. A good ad
normally focuses on one core-selling proposition. Twedt suggested that
messages be rated on desirability, exclusiveness, and believability. The

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message must first say something desirable or interesting about the
product. The message must also say something exclusive or distinctive
that does not apply to every brand in the product category. Finally, the
message must be believable or provable.

Message Execution
The message’s impact depends not only upon what is said but also on
how it is said. Some ads aim for rational positioning and others for
emotional positioning. The choice of headlines, copy, and so on, can make
a difference in the ad’s impact.

Creative people must also find a style, tone, words, and format for
executing the message. All of these elements must deliver a cohesive
image and message.

Style
Any message can be presented in any of the following different execution
styles, or a combination of them:

Slice of Life: Shows one or more persons using the product in a normal
setting.

Lifestyle: Emphasizes how a product fits in with a lifestyle.

Fantasy: Creates a fantasy around the product or its use. Perfume ads
commonly use fantasy to appeal to consumers.

Mood or Image: Evokes a mood or image around the product, such as


beauty, love, or serenity. No claim is made about the product except
through suggestion.

Musical: Uses background’ music or shows one or more persons or


cartoon characters singing a song involving the product.

Personality Symbol: Creates a character that personifies the product.


The character might be animated or real.

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Technical Expertise: Shows the company’s expertise, experience, and
pride in making the product.

Scientific Evidence: Presents survey or scientific evidence that the


brand is preferred over or outperforms other brands. This style is common
in detergents.

Testimonial Evidence: This features a highly credible, likable, or expert


source endorsing the product. It could be a celebrity or ordinary people
saying how much they like the product.

Tone
The communicator must also choose an appropriate tone for the ad
Procter & Gamble is consistently positive in its tone – its ads say
something superlatively positive about the product, and humor is almost
always avoided so as not to take attention away from the message. In
contrast, ads for Staples office-supply super-stores, while advertising
equally mundane products, focus on a humorous situation rather than on
the products themselves. Other companies use emotions to set the tone
particularly film, telephone, and insurance companies, which stress
human connections and milestones.

Words
Memorable and attention-getting words must be found. The following
themes listed on the left would have had much less impact without the
creative phrasing on the right.

Theme Creative Copy

7-up is not a cola. “The Un-Cola”.

Let us drive you in our bus instead “Take the bus, and leave the of
driving your car. Driving to us”.

We don’t rent as many cars, so we “We try harder”. Have to do


more for our customers.

Creativity is especially required for headlines. There are six basic types of
headlines:

News
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“New Boom and More Inflation Ahead … and What You Can Do About It”

Question
“Have You Had It Lately?”

Narrative
“They Laughed When I Sat Down at the Piano, but When I Started to
Play!”

Command
“Don’t Buy Until You Try All Three”.

“12 Ways to Save on Your Income Tax”.

“Why They Can’t Stop Buying”.

Format
Format elements such as ad size, color, and illustration will make a
difference in an ad’s impact as well as its cost.

Deciding on the Media


After choosing the advertising message, the advertiser’s next task is to
choose advertising media to carry it. The steps here are deciding on
desired reach, frequency, and impact; choosing among major media
types; selecting specific media vehicles; deciding on media timing; and
deciding on geographical media allocation.

Deciding on reach, frequency, and impact

Media selection involves finding the most cost-effective media to deliver


the desired number of exposures to the target audience.

The effect of exposures, on audience awareness depends on the


exposures’ reach, frequency, and impact:

Reach: The number of different persons or households exposed to a


particular media schedule at least once during a specific time period.

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Frequency: The number of times within the specified time period that an
average person or household is exposed to the message.

Impact: The qualitative value of an exposure through a given medium


(thus a food ad in Good Housekeeping would have a higher impact than in
the Police Gazette).

Choosing among major media types


The media planner has to know the capacity of the major media types to
deliver reach, frequency, and impact.

Media planners make their choice among these media categories by


considering several variables, the most important of which are the
following:

Target Audience Media Habits: For example, radio and television are
the most effective media for reaching teenagers.

Product: Women’s dresses are best shown in color magazines, and


Polaroid cameras are best demonstrated on television. Media types have
different potentials for demonstration, visualization, explanation,
believability, and color.

Message: A message announcing a major sale tomorrow will require


radio or newspaper. A message containing a great deal of technical data
might require specialized magazines or mailings.

Advertisers have increased their spending outdoor media substantially


over the last decade. Outdoor advertising provides an excellent way to
reach important local consumer segments.

Another promising new media site is the store itself. Older promotional in-
stores vehicles, such as end-aisle displays and special price tags, are
being supplemented by a flurry of new media vehicles. Some
supermarkets are selling space on their tiled floors for company logos.

Advertising Effectiveness
Ads may be more effective when their message is congruent with their
surroundings. For example, a “happy” commercial placed within an
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upbeat television show is more likely to be effective than a downbeat
commercial in the same place. Similarly, a “serious” commercial usually
works best when placed within a serious program. In addition, people are
more likely to believe a TV or Radio advertisement, and to become more
positively disposed toward the brand it supports, when the ad is placed
within a program that they like or with which they are heavily involved.

CHAPTER 4
RESEARCH ANALYSIS

Telecom Market
Before making the analysis of SMS, following are the major characteristics
of our respondents, which include their mean age, region etc. These
things are important to understand because these determine the type and
nature of our respondent and the area to which they belong and these will
be helpful in understanding the differences among their behavior.

Introduction
The basic and fundamental element is to set some objectives for a
research. Every research needs an objective. The objective of our
research is Customer trend towards SMS packages. The basic purpose is

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to find out the trends regarding to price, quality and service. On the basis
of this objective we developed a research proposal. In this we selected the
sample size 20. We selected this sample from the age group of between
15 to 25. We selected this sample randomly.

After this activity we developed a questionnaire and distributed its copies


for survey purpose. The survey is conducted at local level. For our
easiness and convenience we divide the age group into 4 categories. We
analyze the data on the basis of these age groups.

Customer Trend toward SMS

60
50
40
30
Customer Trend toward SMS
20

10
0
SMS Call

Over all SMS Consumption

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25

20

15
SMS Consumption
10

0
500 1000 1500 2000 2500

Age Group 1 (15-17):


In this age group, 60% customers are satisfied with their SMS rates and
40% are not satisfied. Most customer of this age group consume Rs: 100
on SMS and 80% customers of this age group consume almost 2000 SMS
in a month.

40
35
30
25
20
SMSConsumption
15
10
5
0
500 1000 1500 2000

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Most of the customers of this age group are using cell phone for 2 years.
All the customers are satisfied with their network and network coverage.
80% customers has never port their sim card to another network. 60%
customers of this age group like the SMS packages. They feel that it is a
good way of communication and effecting the youth.

Age Group 2 (18-20):


In this age group, 60% customers are satisfied with their SMS charges and
40% are not satisfied. 80% customers consumed then Rs: 150 on SMS in a
month and 20% customer consume less then Rs: 100 on SMS in a month.
60% customers in this age group consume up to 2000 SMS in a month and
20% customer consumes more then 2000 SMS in a month.

40
35
30
25
20
SMSConsumption
15
10
5
0
1000 1500 2000 2500

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In this age group 80% customers are using mobile phone for more then 2
years. These all are satisfied with their network and network coverage and
quality. They all have never been port their sim card to another network.
The majority of this age group says SMS are good but people waste their
time in this activity. Their majority says calls are more easy way of
communication then SMS. They said SMS are effecting the youth in a
wrong direction.

Age Group 3 (21-23):


In this age group, 80% customer consumes only Rs: 50 on SMS in a
month. 60% customers consume less then 500 SMS in a month. 60%
customers of this age group are satisfied with their SMS package rates.

60

50

40

30
SMS consumption
20

10

0
-500 500 1000 1500

Business Research Methods | Customer trend towards SMS 26


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M. Rahim Ejaz
All the customers in this age group are using their mobile phone for more
then 2 years. 80% customers are satisfied with their network quality and
network coverage and they have never been port their sim card to
another network. All the customers have good opinion about SMS
packages. 60% customers of this age group say it is not an easy way of
communication.

Age Group 4 (24-25):


In this age group, 60% customer consumes more then Rs: 100 on SMS and
40% customers consume less then Rs: 100 on SMS in a month. 60%
customers consume more then 2000 SMS in a month and rest of them
consume less then 1000 SMS in a month. 80% customers are satisfied
with the charges of their SMS packages.

50

40

30
SMSConsumption
20

10

0
1000 1500 2000 2500

Business Research Methods | Customer trend towards SMS 27


Packages
M. Rahim Ejaz
All the customers of this age group are the mobile users of more then 2
years. 80% customers have been port their sim card to another network
due to low network quality and bad network coverage. Most of the
customers show good attitude towards the SMS. 60% customers of this
age group say it is an easy way of communication and it is effecting the
youth.

Price Analysis
Customer Preference toward SMS Rates

30

25

20

15 Customer Prefrence toward


SMSRates
10

0
Ufone Telenor Warid Mobilink Zong

Sim Portability Ratio

Business Research Methods | Customer trend towards SMS 28


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M. Rahim Ejaz
This is the ratio of Sim portability to other network among
customers

70
60
50
40
30 SimPortabilityRatio

20
10
0
yes No

Money Consumption
Hoe much customers consume money on SMS

50

40

30

MoneyConsumptiononSMS
20

10

0
50 100 150

Results

• 60% customers have trend towards SMS.

Business Research Methods | Customer trend towards SMS 29


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M. Rahim Ejaz
• 70% customers have never port their sim to another network.

• All the customers of SMS subscribers consume more then 1000 SMS
in a month.

• Majority of customers prefer low and cheap SMS rates as compared


to quality network.

• 80% customers are satisfied with their current SMS packages.

• 60% customer says that it is an easy way of communication.

• 80% customers are cell phone users for more then 2 years.

• 80% customers consume Rs.150 on SMS subscription in a month.

CHAPTER 5
FINDINGS

Findings
After analyzing the questionnaire from various aspects, we came to know
the following points:

• SMS are playing a vital role in effecting the youth.

• Regarding the consumption patterns of the consumers it is analyzed


that almost all the people want to subscribe and send SMS. It shows
that, SMS are specifically designed and marketed for the consumers
to increase their market share and to increase the sale of the
company.

• Some people also use SMS packages on temporary basis. It


suggests that are using SMS packages for specific purpose or on
Business Research Methods | Customer trend towards SMS 30
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M. Rahim Ejaz
some specific occasion. Though people like it for some special
purposes or occasions, but they are not using it regularly which
might be due to its relative high price that is out of their reach.

• 60% customers are satisfied with the pricing strategy of SMS


packages.

• Some people have negative attitude or some misperceptions about


its ad on T.V they state that it is paid; it is boring, irritating,
unattractive and is addressing to the middle class with the high
price.

• Some customers have negative perception about SMS packages.


They believe that SMS are the time wasting activity. Especially
young generation is effecting badly.

Business Research Methods | Customer trend towards SMS 31


Packages

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