Acknowledgements

Here, we would like to specify that this final term project for the course, Advertisement & Sales Promotion, is dedicated to our Parents who have always been at our sides in all walks of life. My teachers and Professors have given us the knowledge, skills and the moral support due to which we got the courage to learn, fight and make our ways through the ever competitive environment. It is a fact that nobody is independent. There is no free lunch in this world means that you have to sacrifice something in order to get something. We, therefore, acknowledge all of our friends who provided us with their time, information, knowledge and gave us moral support and encouraged us in order to finalize this project. Above all, we give our regards, honor and greatest respect to Mr. Asad Awan who awakened the potential inside us that there is nothing in this world that is impossible for us to achieve. His teachings, words of wisdom and advices & suggestions will always be of great and foremost importance to us in our whole lives.

HYPOTHESIS

We have developed a hypothesis for our case study keeping in view the past, present and future scenario of telecom industry, the respective operators and their consumers in Pakistan. Then the economical situation and the business composition of the country were also noticed. It is stated as:

Warid Telecom has the best corporate strategy but it is not executing it in a real or effective manner, thus Warid Telecom is not enjoying a good brand perception among the consumers.

Telecom Market Trends in Pakistan

Introduction & Overview

The structure of the Pakistan Telecom sector is based on the traditional monopoly model wherein the state has assumed the responsibility of developing and supporting the telecom infrastructure. Until recently the legislation dating back to 1933 and its amendments still governed the telecom sector. As part of the liberalization agenda, the Government of Pakistan (GoP) started privatization of Allied and Value added services such as Cellular, Paging, Domestic Data as early as 1990s but it was in October, 1996 with the enactment of the telecom act that has proven to be the road map for the telecom industry.

SYNERGY INTRODUCTION
Synergy Advertising Pvt Ltd was formed in 1999 as a collective of advertising professionals who wanted to run an advertising agency that stood out from the rest by virtue of its professional conduct and solutions oriented approach to advertising communication. It was renamed in 2002 as Synergy Advertising, today the company is the fastest growing integrated media communications group in Pakistan with subsidiaries specializing in vast variety of advertising solutions and services such as event management, market research, branding, public relations, media buying and planning and a full range of design and creative services for all types of ATL & BTL media.

SITUATIONAL ANALYSIS

1. Company Analysis
Warid Telecom began its operations on May 23, 2005. In less than a year, they have a customer base of over 4.8 million and operate in over 110 cities across Pakistan, providing quality service to all its customers. Warid Telecom has grown at one of the fastest growth rates in Asia i.e.; 853 %, becoming the 3rd largest GSM operator in the country.

Warid Telecom
A leading GSM mobile company, Warid Telecom International is an Abu Dhabi based mobile telecommunication firm providing telephony services in Pakistan. Warid Telecom has implemented a new and modern corporate identity as a result of the dynamic changes taking place in the telecom industry in Pakistan. With a reflection of a new strategy, their aim is to be perceived not only as a telecommunication operator of voice services, but also as a universal provider of comprehensive communications services for both residential and business customers. Warid's corporate identity seeks to reflect the changes in telecom sector in relation to helping customers keep pace with rapidly changing technology in the field of communication, and to harmonize the customers' perception of their brand with the quality and range of their services. The objective is to provide optimum level of support and care through highly skilled and motivated team of professionals and through maximum network coverage and clear connectivity that they have committed to provide. Warid

Telecom is backed by The Abu Dhabi Group, one of the largest groups in the Middle East and the single largest foreign investor group in Pakistan.

The company has expanded rapidly in Pakistan and it is because of the immense potential that the group saw in the telecom business that they have decided to bid for the last GSM license being offered in Bangladesh as well as a new license in Congo and Uganda. In addition to its cellular GSM subsidiaries, Warid International has formed a company by the name of Wateen Telecom (Pvt.) Limited in Pakistan for laying out a 5000+ km fiber optic network through the length and breadth of the country, connecting 75 major cities and providing a brand new, stateof-the-art network for Warid and other operators in Pakistan to leverage their services on.

Business Overview
Warid Telecom was awarded the GSM license by Pakistan Telecommunication Authority (PTA) on May 26 2004 for a fee of $291 million, as part of the government's initiative to bring in foreign investment and expertise in the telecommunication sector and it begin its operations on May 23, 2005. The current mobile penetration in Pakistan is hovering at around 18% having a large population of over 15.5 million; thus the mobile market experiences a burgeoning appetite for communication services. This cellular penetration rate of Pakistan highlights the immense potential for growth available in the industry.

In order to gain a footing in the mobile market Warid Telecom has partnered with Ericsson to provide network solutions for the business. Being one of the top cellular vendors established in over 140 countries & with vast experience in the industry, Ericsson has been able to offer Warid Telecom the latest technology required for their business. This, coupled with Warid Telecom's sound financial backing, has placed it in a strong strategic position to capture the market share in the tapped as well as the untapped market. In accordance with its business strategy, Warid Telecom plans to establish itself as a leader, and increase the overall market size through broader coverage of all income groups. Warid Telecom's superior products, high quality of service, affordability, and customer support have enabled it to not only capture market share from existing players, but also acquire the so far untapped market.

2. Consumer Analysis
Route to Customer Satisfaction Develop the core brand proposition. Identify the target market that is the most valuable to Warid Thoroughly understand the needs of the target market. Satisfy the unique individual needs by unique individual offerings. Caring through CRM consisting of the highest value to the customers at the
least cost to the organization. Collaborate with other organizations to provide the bundle

The CRM platform will play an integral role in all aspects of customer management, including: Monitoring and capturing data on customer behavior. Supporting customer analysis. Managing ongoing customer needs and inquiries. Gathering feedback on existing products & services. Shaping new product/service offerings. Monitoring communication and promotional campaigns.

The CRM platform will facilitate Warids objective of understanding its customers on an individual basis, allowing Warid to offer personalized, differentiated services. The differentiated services will be made possible by using advanced CRM techniques. Understanding historic customer behavior and anticipating Interpreting patterns of behavior while at the same time

future behavior. accommodating individual personality and the lifestyle context in which the device is used. The consumer desires to have smooth mobile communication with the effective value additions like GPRS, MMS, Conference calling etc for corporate needs and so the brand offers the strong infrastructure providing top of the line technology that can bear strong climatic / environmental conditions and the financial strength to stay in with the emerging technology. It also provides the convenience in connectivity and accessibility. Warid cares for its customers with a 360 degree approach to customer interaction & involvement, owing to its Infrastructural strength.

Research & Analysis

We conducted the research relating to all the connections of Warid services to analyze the consumer perspective and preferences. The research has been carried out within Lahore including all the females and males.

Which connection do you use?

Which Warid campaign do you like?

Have you ever seen the Warid advertisements?

Why do you like these ads?

Do you find these ads persuasive?

3. Market Analysis

In Pakistan, apart from the license issued to PTCL, the following operating licenses have already been issued to the private sector; Cellular Mobile Data communications Voice mail services Card operated pay-phone services Audiotex services Electronic mail service International Calling Card Satellite Services Burglar Alarm Service Vehicle Tracking Systems

Brand Personality & Positioning - Description

Strong
Caring Owing to its strength, Warid cares for the individual and the society as a whole The financial backing The infrastructure to support their promises

Smart/Intelligent Inherently smart Connects with the customer desires on all levels Dynamic/Forward Looking In line with market dynamisms Future oriented

Reliable Reliability of service unmatched quality Mature Presents the outlook of a calm, settled and sophisticated solution provider

The strengt h to care

Flexible Provides the solutions for everyone Adapts to changing needs

Warid has positioned itself as the lowest cost provider of services. However, while this positioning was important initially to gain customers, now Warid focuses on building its brand by providing value to its customers in a way that will distinguish it from competing brands. As now the market gets increasingly saturated, the focus is moving from customer acquisition to customer retention.

4. Product Analysis:

Warid Corporate

ZEM

ZOOM

ZAHI

WARID is working on providing its different services like Warid prepaid, postpaid and zoom but we are focusing and analyzing its PREPAID service.

Warid Zem Warid Zem is the most affordable mobile communication solution based on highly customer oriented pre-paid packages to understand and offer flexible options for customers from all walks of life.

Brand Personality Zem

Flexible Through its various packages Innovative Keeps growing, keeps offering new facilities, options, stays ahead of the rest

Friendly Local, knows me and my needs The strength to care

Connecti vity

Afforda ble

Colorful Offers diversification

Economical Easy on the Pocket

ZEM (PREPAID) SWOT ANALYSIS

Strengths: Zem lies under the umbrella of Warid, thus supporting and Warid Zem provides the efficient billing option like 1 sec, 30 The Usage of top notch technology provides immediate update GPRS/MMS subscription for free. Voice clarity is its big strength. It has efficient connectivity. It provides variety of packages to choose from, appealing to

promoting this sub-brand. sec which is not provided by other connections. of remaining balance after every call.

varying segment of society. Weaknesses:

A very few areas are covered by Warid Zem service not Chota bill advertising campaign confuses the brand positioning

available everywhere. with Warid Zahi (Postpaid). As the matter of fact billing is associated with the post paid account not with pre-paid. Its rural expansion is not aggressive due to lack of significant Zem lacks in its differentiated positioning, as other competing services such as rural distribution and marketing activities. brands. E.g. every pre-paid package depicts outgoing youth in their communication. Pre-Paid It has danger of loss of focus, which could result from Hiatus communication strategy with Zem puts brand spreading out too much too quickly. (Everything for everyone) communication invisible most of the time. Whereas, competition has parallel. Execution strategy with post paid and pre paid brands. Opportunities Market is at a growth with major traffic on prepaid The increasing awareness of GPRS & MMS is expected to rise VAS will be the new differentiating factor after the price wars. The untapped rural audiences are the next potential consumers No systematic communication building of the brand is in stepZem may loose identity and end up just to be known as Warid wise pattern in the minds of people.

acquisitions. in the recent years. Their importance will become more prominent in the future. of the cellular technology.

Threats: of users. Zem faces the greater resistance from Jazz, Prepay and Talk It lacks the comprehensive infrastructure, especially in the

Shawk in view of greater focus and clarity of proposition. rural areas that could lead to stagnation in revenues and actual number

5. Competitive Analysis:
Six operators are currently providing mobile cellular telephony in Pakistan. These are Mobilink, U-fone, Warid Telecom, Telenor, Insta and Paktel. Paktel brought a revolution in the way Pakistanis communicate by introducing mobile telephony in Pakistan. In 1991 Paktel launched the first mobile service in Pakistan, at a time when the concept of mobile phones was alien. Initially owned by world renowned company Cable & Wireless; Paktel, through the use of TDMA technology developed a market of mobile cell phones by meeting the basic need of mobile one-to-one voice communication. It provides GSM coverage in above 300 cities and towns, a number which is increasing everyday. Mobilink GSM, a subsidiary of Orascom Telecom, started its operations in 1994, and has become the market leader both in terms of growth as well as having the largest customer subscriber base in Pakistan - a base of over 24 million and growing.

U-fone, the company commenced its operations on January 29, 2001. With their focus on U, they offer efficient and friendly customer services through 21 company-owned Sales & Customer Service Centers across Pakistan. With a total current investment of over $350 Million, including a recent contract of $161 Million for expansion & capacity for 2004-05, PTML believes in solid commitment to growth, security & reliability. Currently, with a market share of over 24%, and an aggressive commercial plan, the customer base has more than tripled from the last fiscal year to over 4.5 million subscribers.

Telenor acquired the license for providing GSM services in Pakistan in April 2004, and launched its services commercially in Islamabad, Rawalpindi and Karachi on March 15, 2005. On March 23, 2005 Telenor started its services in Lahore, Faisalabad and Hyderabad. Telenor has become the second largest cellular network in Pakistan by launching over 1100 destinations within two years.

The elements that have successfully propelled Warid as the fastest growing cellular provider in Pakistan are: Affordability & Availability Enhanced Customer Experience through CRM Innovative Routes to Market

Competitive Advantages of Warid:

Differentiated services Unique billing options (per sec / per 30 sec / per 60 sec) Lowest Rates On Net & Off Net free minutes Other VAS services Late Night Package SMS International Roaming

Cost Advantage for customer Least cost of ownership Customized packages for different usage bands.

Problems in Services

GPRS of Waridtel is somewhat expensive, each time one connects to Waridtel GPRS server he has to pay extra 3.80 per connection, keeping in mind that downloading charges are extra. Waridtel should keep an eye on its traffic of GPRS to attract business class. Other than this, coverage of Waridtel is fine but they have some network problems as their e-mail didnt reach some times. Waridtel SMS server goes down the website is not professional build. Waridtel is overall good Telecom company but they should improve their services in order to become giant in the industry.

Target Market

Warid Prepaid targets the young customers based primarily on their income status. Their brand communication shows users to be aged between 18 and 24, young professionals, students and ordinary individuals. The primary concerns of this market are the rates, and the need to stay in touch. Justification: The strategy of Prepaid is to create a brand that appeals to a wide range of market segments from the youth to young professionals and to ordinary men and women.

Warids Objectives

Warid Telecom has implemented a new and modern corporate identity as a result of the dynamic changes taking place in the telecom industry in Pakistan. With a reflection of a new strategy, they have the following aims and objectives: To establish Warid as the leading brand in the market,

covering a large number of destinations within Pakistan. They seek to be trendsetters in customer service, with the one

stop concept for all the telecom requirements. This will be achieved with the provision of a one window operation for on-the-spot issue resolution and one stop service. Customers are the most important element in any

organization. Warid distinguishes them as its biggest assets, and strive for excellence by listening to their needs. Warid works with its customers to gain an understanding of their business, their goals and their objectives, to ensure that they receive the best possible service and the right solutions to meet their demands. Warid Telecom's aim is to be perceived not only as a

telecommunication operator of voice services, but also as a universal provider of comprehensive communications services for both residential and business customers. They strive to provide optimum level of support and care through maximum network coverage and connectivity. Warid Telecom decided to opt for GSM (Global System for

Mobile Communication) technology as it is the global standard for digital

cellular telephone service. GSM networks support enhanced data applications and more than 1 billion customers in 109 countries are using this technology. Warid Telecom would be launching its cellular services based on 900 and 1800 GSM technology, in order to optimize the utilization of frequency, thus ensuring the highest quality and service.

CREATIVE
The new campaign of Warid prepaid LCR offers 30 seconds 60 paisa on every call 24 hours. The objective is to deliver the right message to right people through right media. This objective can be accomplished by implementing IBP (Integrated Brand Promotion). ATL & BTL activities are used to promote the benefits of new campaign and enhance the interests of target market to enjoy this package.

MEDIA STRATEGY
It is hard not to notice the mobile phone advertising campaigns in Pakistan. The mobile phone and services advertisements are in the media, on billboards and everywhere else imaginable. The competition among the mobile phone companies is driving this trend of intense advertising campaigns. The marketing department of every major mobile phone company is trying their best to get attention with catchy phrases, jingles by pop artists and attractive models to represent their products and services.

Warid Telecom is also spending a lot of money on its advertising and is launching a new campaign LCR. Warids media objective is to reach all communities and segments with tailored communication, so as to retrieve identical and viable trends towards Warid and its related brands. Their ads are vibrant and colorful, conveying a sense of excitement and empowerment. Warid will be implementing Flighting schedule for its new campaign. The ads will run for two weeks following with a break and then come back again. It is done to get people aware of the new campaign which offers low call rates and to check the response of the target market (youth). If people respond positively then it means that the campaign has a good impact and gained the interest of targeted youth.

SALES PROMOTION
This is the tool used to accelerate short term sales by building brand awareness and encouraging repeat buying through samples and displays. The campaign LCR is very attractive and is expected to attract the youth. They can now enjoy calling to their loved ones and friends at low call rates and enjoy its benefits. It is very effective way to promote the new campaign of Warid Prepaid as it will enhance the interest of target market and encourage them to buy the package of 30 seconds 60 paisa on every call.

EVENT MARKETING

Occasion based Campaigns

Warid has launched different campaigns on different occasions and will continue to do so. The objective of these campaigns is to burn the brand essence in the minds of the existing and potential audience and to establish the Strength to Care position as the source of the brand building platform. The basis of these campaigns is cashing the opportunity, where addressing the occasion based communication needs is destined to bring in added customer base. Eid Campaign: A corporate campaign, featuring Free MMS & SMS on Zahi and Free SMS on Zem, for 3 days of Eid appeared 3 days before the occasion. The promotion will features the reduced international call rates for 3 days. The targeted communities will be women, youth, and Young/Adult professionals who were specially benefit, as it allowed them to get in touch with their families (local and abroad) on the occasion. The first 3 communities are actually sensitive to price, and this was the right strategy to tap their share of pocket. This also helped bringing in their loyalties. Thus the promotion urges existing users and non-user to patronize relevant packages of Warid.

Pakistan Day Campaign: A campaign will be carried out on 14 August. The reason for that campaign was to align Warids image with patriotic feelings that arise on that

day. The campaign will pay tribute to the leaders who made the dream of Pakistan a reality and aligned Warids features and attributes with their sayings. The feel of the campaign is patriotic. It not only focuses on the greetings of National day but portrays Warid as a brand that is merged with the foundation of Pakistan by following in the footsteps of its nations heroes. The image completely complements the concept of the campaign.

Valentines Day Campaign: This campaign on the Valentines Day will have a very pleasant and fun feel to it. It basically offers download and packages specially designed for Valentines as Warid aims to keep you connected with your loved ones throughout the day.

Jashan-e-Baharan Campaign: Warids campaign is not only about celebrating but to keep others safe from the hazards of this festival. The feel of the campaign is fun but with a hint of seriousness and caution. A two step campaign in which the first step was to highlight the hazards of kite flying and how to keep it safe. The second step was to take initiative and arrange a major festival outside the city. The purpose is to be present throughout the Jashan-e-Baharan festival and create a positive and caring image of Warid. New Year Campaign: An aggressive New Year campaign will be launched from all sides. Warid aims to establish itself as the leading brand in the market and to be one with the people of Pakistan

 ATL Activities:
HOARDINGS

PRINT ADS

 BTL Activities:
POSTERS

FLYER FRONT

FLYER BACK

STANDEE

BUDGET
Photo shoot = Rs. 6 lac TVC Production = Rs. 2.5 million Campaign charges = Rs. 1.5 lac Hoardings at 4 locations = Rs. 60 lac 1 hoarding each = Rs. 15 lac Posters = Rs. 2 lac 1 Poster each = Rs. 150 TV on air = Rs. 1.5 billion Radio = Rs. 0.5 million Print ads = Rs. 6 million

CONCLUSION
Research Findings
People believe that Warid is now spending a lot to enhance the quality of their ads and thats why people not only watch their ads but also like them and are now also being persuaded and motivated to be a part of Warids family. Due to the selection of models (as their brand ambassadors) in their campaigns, people find these ads very appealing. The majority of the people are using Warids connection and the surprising thing is that not only the Warid customers but even the people who dont have Warid connection also use to watch Warids ads and are of the view that Warid is a superb media user but it doesnt knows the techniques of using media for advertisement purposes effectively. After Mobilink, Warid Telecom is using media more than any other mobile phone service. People appreciated their high budget ad campaigns.

 SWOT Key Findings

Warid Telecom is providing many user friendly packages which are available on very cheaper rates as compared to its other competitive networks. It has introduced very economic and user oriented packages for postpaid consumers and prepaid consumers as well. Warid Telecom is unable to get better response of its packages because its competitors are advertising their packages and services in the more strong and attractive manner. Warid is facing difficulties in increasing its market because of its less strong advertisements and campaigns and lack of vast range of services to a big number of cities. Warid Zem (the-postpaid) and Zahi (the-prepaid) are its packages which are highly appreciated by its users.

Campaigns Key Findings

Waird Zem is facing strong resistance from competition as Telenor Talkshowk and Mobilink Jazz have become very strong brand through frequent adverting campaigns. Warids ads are not too much liked by people.

HENCE PROVED!
Hypothesis for this study Warid Telecom has the best corporate strategy but it is not executing it in a real or effective manner, thus Warid Telecom is not enjoying a good brand perception among the consumers. is proved to be true on the basis of our survey, SWOT analysis and by the analysis of their advertisements.

RECOMMENDATIONS
The major problems which Warid Telecom is facing today are just due to the fact that the segmentation of their target audience is not appropriate. Thus they need firstly need to identify their audience clearly so that the message could be easily and effectively communicated. Warid Telecom needs to register their brand i.e. people are not much familiar to Zem, Zahi or Zoom and just know them as Warid PrePay and Warid Post-Paid respectively. So in order to make it familiar, they need to establish some strategies for its proper registration. After its proper registration in the market, it then needs to focus on its brand positioning and brand equity by using different advertising strategies. Warid Telecom should have to develop some more creative ideas for its advertising and should effectively communicate to its audience.

 Another important step which Warid Telecom has to take is to create the brand loyalty among its consumers and then should have to move towards brand parity. Warid Telecom is always found to be a follower both in its advertising and its packages. It, therefore, try to take some initiatives in order to win the situation. It should have to come up with some unique and innovative ideas. The product distribution of Warid Telecom is very weak. Their services are not available everywhere in Pakistan. Thus in order to remain stable in the market, it has to be strengthen by having joint ventures with both emerging and small companies. They should also give more attention towards the BTL activities. VAS Value Added Services should be focused as well in order to get popularity among the youth as they are the one who are much interested in such packages.