Postpaid Presentation Final

ZONG POSTPAID Marketing Plan

“in the name of Allah the most beneficial and the merciful”.

Mardan institute of management sciences

Marketing plan – ZONG postpaid

ZONG POSTPAID

ZONG POSTPAID Marketing Plan

Presented By  Darbar Khan  Imran Yousafzai  Zeeshan Ali  Waseem Ali

CMPak Company Overview  China Mobile is the world's largest telecom operator.  Having a customer base of over 300 million

customers  China Mobile Pakistan (CMPak) is a 100% subsidiary of China Mobile.  China Mobile came through acquisition of a license from Millicom to operate a GSM network in Pakistan  Has currently established 172 franchises & 22 CSC throughout Pakistan  Has currently employs 19,289  Has established a huge chain of 100,000 retail outlets

Mission statement of CMPak  CMPak mission statement is:

We offer our customers with entertaining & innovative value added services and will empower them by giving a wide variety of products, services & content to choose from. It is our mission to empower and liberate the people of Pakistan in every nook and corner of the country. It will become a part of their hearts, their minds and bring about a change in their lives. We will be supported by ground breaking communications, trend setting customer service and an unmatched product. We are privileged to be the pioneering country introducing this brand with others to follow. And God willing, together we will also make ZONG a success story for others to try and replicate.

Objectives of the plan  To become a market leader  In terms of high market share & greater subscribers  To bring the trend of postpaid by giving a high

quality services and cheaper rates  To continue serving our loyal consumers with the unique feature/package of talkfree, now in postpaid

Situational analysis  ZONG, the first

international brand of China Mobile, has announced its entry into the extremely competitive ‘Postpaid’ market. Pakistan’s current situation is extremely competitive, with five telecommunication providers sharing almost more then 500 million customers.

Postpaid Market Share

15%

4% 32%

Indego Persona Postpay AL-Warid

24%

Zong 25%

Consumer analysis  Factors effecting consumers, purchasing

power  Quality network & availability of products and services  Quality advertisement and quality positioning of products  Prepaid cards taxes are increased from 9% to 15%  5 competitors providing flexible verity to subscribe to

purchase  Pakistan per capita income is $1043 in 2008-9

S.W.O.T Analysis  Strengths  Strong brand name  Strong advertisements  Work force of experienced and professional employees  Aggressive network expansion  Separate helpline for postpaid consumers  A unique service of BYN  A massive base of 100,000 outlets nationwide to pay the bill  Strong & rich CMCC

S.W.O.T Analysis

Weaknesses  Network is week comparatively in some

regions  Erroneous impact of paktel on ZONG specially in the mind of customers not consumers

S.W.O.T Analysis

Opportunities  The development of CMPak in rural areas of Pakistan  Mobile number portability MNP enables the customers to    

change the operator Book your number BYN enables the customers to personalize the number of his/her choice BYN home delivery enables the customers to receive the product on his/her door step The establishment of walk-in centers in small cities Great potential in the market growth Appr.1.5 million per month

S.W.O.T Analysis

 Threats  Intense competition  Political instability  less awareness & trend of postpaid  Economic recession  Mobile number portability MNP

Market Segmentation  Price conscious subscribers. (Psychographic Segmentation on the basis of low tariff rates motivational driving force)

 Network Quality and high Network availability conscious subscribers. (Psychographic Segmentation)

 Youth segment of mobile communication subscribers. (Behavioral and Psychographic Segmentation on the basis of youth taste)

 Business community segment. (Demographic, Psychographic, & Behavioral Segmentation on the basis of occupation, status, consumption, income level and

education level)

Target Market  We have divided the market for ZONG postpaid

in to three groups  First group of youngsters, where they can have access to a

maximum talk time in limited pocket money or earnings includes students & masses between the age of 18-25  The second group is made of business class. Which are having a trend of using postpaid  The third group includes those individuals who have been facilitated with ZONG talkfree packages in prepaid

Positioning ( Feel lighter)  Lowest, call rates, On-net & off

net

 Free Minutes & SMS on all

packages  Lowest GPRS rates SPOUSE NUMBER –  No hidden charges

Call one ZONG number for free 24/7

 Specialized unit at Call centre to

take care of our Postpaid customers  E-Care Do It yourself Customer Services  Virtual Credit Limit concept

Marketing Mix (Product strategy)

ZONG POSTPAID:  Easy to choose 5 new packages  SPOUSE NUMBER – Call one ZONG number for free

24/7 (differentiation strategy)  ZONG postpaid SIM has a powerful menu of- newest tones, video clips, animated pictures, games, anonymous chat, and all sorts of insights into what's happening on the social scene.

 Virtual Credit Limit concept,

discounts & benefits

 Lowest GPRS rates, through u can surf & download the newest ring tones, pictures, games, & video clips.

Marketing Mix (Pricing strategy)

Price We are following pricing concept for ZONG postpaid sales 

Market Penetration Pricing Strategy- charging low price to encourage the customers

 Free air time and SMS both on-net off-net  Free of cost sim for new subscribers  Lowest security charges in comparison with competitors  No hidden charges

Marketing Mix (Pricing) Zong POSTPAID packages Line Rent (Rs.)

100

300

600

1200

2000

On-Net Calls Airtime

0.5

0.45

0.375

0.3

0.1

Off-Net Calls Airtime

0.5

0.45

0.375

0.3

0.2

FNF (5 each on 100,300 & 600)

0.4

0.3

0.2

Spouse Number

N/A

Spouse Number (Rs.)

N/A

N/A

N/A

Free

N/A

Free SMS (On & Off-Net)

20

60

100

150

300

SMS Rate (Rs.) GPRS

1 15

1 15

1 15

1 15

1 15

Free Minutes  Free Minutes Break Up

100

300

600

1,200

6,800

On-Net

60

180

360

720

6,000

Off-Net-PTCL

20

60

120

240

400

Off-Net-OMO

20

60

120

240

400

1500

2500

4000

Refundable security deposit

600

1000

Marketing Mix (Place & Distribution strategy)  We perform both direct and indirect distribution of ZONG   





postpaid Direct distribution can be possible from the ZONG 178 franchises & 22 CSC which are acting throughout Pakistan While in indirect distribution we could use our 100,000 retail outlets Providence of service guides, Tariff plan, vouchers, helping post materials, products will be provided to the retailers through franchises sales team (RSOs) DSO activities will be made on both company & franchises level, where dedicated staff will be hired for the subject activities For good placement of ZONG postpaid, we will provide ZONG labeled baskets to several retailers and franchises

Marketing Mix (Promotion strategy) For the promotion of ZONG postpaid we are following these concepts  Repetition of advertisements with the slogan of “feel lighter” for one month through print media, TV channels, bill boards etc.  flexible commissions policy for franchisers and retailers up to *****% on ZONG postpaid sales  Launching special promotions campaign after aggressive advertisements in fist month, with additional new features like new tariff, extra free minutes, EDGE etc  DSO activities or personal selling to business customers

Financial projection for the plan 1.Personnel Cost

 compensation to personnel RS…………  Financial benefits to retailers and franchises for motivation

Rs……………

2.Packaging Cost

 SIM packs and SIM activation forms Rs……………  Postpaid service guide, tariff rates schedules & postpaid advertising posters Rs……… ……..

 Postpaid labeled baskets Rs………… 3.Promotional cost

 Payments to advertising Agency RS…….  Tax to Government on Bill board ads Rs……  Television commercials & news papers ads cost Rs…..  Cost of separate web site for ZONG Rs…….

Implementation &Controls  CMPak sales and marketing department must always need to remain in contact with following promotional sources for creating desirable image in target consumers mind for ZONG postpaid . 1.Advertising agencies to plan ad campaigns 2.Print media and electronic media of Pakistan

 CMPak will provide a very well compensation to its distributors, retailers on large selling of ZONG

Postpaid.

 CMPak will provide all the social and cultural value to its employees, we will

conduct different kind of trainings, informational meetings so they become motivated and works hard for gaining more customers for ZONG

postpaid.

Implementation &Controls o

We Well collect sales reports forms each region through our sales representatives, from retailer, sales and services centers to collect magnified information about ZONG

postpaid and to take an action in case of any problem in the plan.

o

will make random calls to our subscribers who have ZONG postpaid but not using it since 1 to 2 months for gathering information's, feedback, about ZONG postpaid positives and negatives. We

Q/A Thanks

Mardan institute of management sciences

Marketing plan – ZONG postpaid