Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection

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FINAL PROJECT ON

COMPARE THE PRICING STRATEGIES OF "UFONE" WITH "TELENOR" IN PREPAID CONNECTIONS
A REPORT SUBMITTED TO THE DEPARTMENT OF MANAGEMENT SCIENCES, VIRTUAL UNIVERSITY OF PAKISTAN IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF MASTERS IN BUSINESS ADMINISTRATION

Department of management sciences Virtual university of Pakistan

Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection

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Table of contects:
acknowledgement Chapter 1: …………………………………………………………… Introduction 1.1 Introduction……………………………………… 1.2 Background of project……………………………. 1.3 Companies introduction…………………………. 1.3.1 Ufone…………………….. 1.3.2 Telenor…………………… 1.4 List of compotators……………………………….. 1.5 Project objectives………………………………… 1.6 Signification of project……………………………

5 5 5 5 6 6 7 7

Chapter 2: ………………………………………………………… Pricing strategies 2.1 Marketing mix…………………………………… 9 2.1.1 Product…………………… 9 2.1.2 Pricing…………………… 11 2.1.3 Promotion………………… 11 2.1.4 Placement………………… 12 2.2 Marketing segmentation…………………………… 13 2.3 Target market……………………………………… 13 2.4 Market domination………………………………….. 13 2.5 Market Differentiation………………………………. 13 2.6 Pricing objective of the company…………………… 13 2.7 Product mix pricing strategies……………………… 13 2.8 Price adjustment strategies…………………………. 14 2.9 Price changes……………………………………….. 14 2.10 Inflating price change……………………………….. 14 2.11 Competitor's reactions to price changes…………… 14 2.12 Company's responses to price changes……………… 14 Chapter 3: ………………………………………………………… Compotator analysis 3.1 Introduction of the compotator's firm………………. 3.2 Marketing mix……………………………………… 3.2.1 Product……………………… 3.2.2 Pricing…………………… 3.2.3 Promotion………………… 3.2.4 Placement………………… 3.3 Marketing segmentation…………………………… 3.4 Target market……………………………………… 3.5 Market domination…………………………………..

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5 Sample size………………………………………….7 3. 28 . 20 Inflating price change……………………………….10 3.6 Sampling technique…………………………………. 20 Competitor's reactions to price changes…………… 20 Company's responses to price changes……………… 20 Chapter 4: ………………………………………………………….1 Data processing and analysis & interpretation……. 22 4. 22 Chapter 5…………………………………………………… Data processing and analysis & interpretation 5.2 Data collection tools………………………………… 22 4. 27 6. Recommendation and Limitation 6. 19 Price changes……………………………………….8 3.1 Conclusion…………………………………………….6 3.2 Summary……………………………………………. 23 26 Chapter 6…………………………………………………… Conclusion...3 Limitation…………………………………………….4 Secondary sources…………………………………… 22 4.9 3. Methodology 4.13 Market Differentiation………………………………. 5.3 Primary sources…………………………………….Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 3 3.11 3. 18 Pricing objective of the company…………………… 19 Product mix pricing strategies……………………… 19 Price adjustment strategies…………………………... 22 4.1 Data collection sources……………………………… 22 4.12 3.2 Recommendation……………………………………… 27 6..

Chapter no 1 . First of all I am very thankful for my parents which enable me to this stage that I am able to write such types of project. Secondly I am great full for my teachers who help me about the title of the project and about the format of the project. The important problem has also solved in the project that “How we can aware the peoples about the cheaper as well as best company. Then I am helpful for all of my friends which help me to typing this. It was very difficult for me to make such project.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 4 Acknowledgement It is a very helpful project for the peoples who are in problem to find the cellular network company having strong network as well as low price rate. So some special persons help me to solve the problem easily. The project is also belonging to the marketing strategy.

The cellular network companies has been registering high growth for the last four or five years due to the country business.1 Ufone: From the beginnings of Posts & Telegraph Department in 1947 and establishment of Pakistan Telephone & Telegraph Department in 1962. PTCL has been a major player in telecommunication in Pakistan.1 Introduction: In all over the world. card-operated pay-phones. This sector can not be ignored because it is not a great business but it is most beneficial for us. The cellular network companies are proud of their usage by the users positively for the sake of business. It is largely used to dealing in between the far living traders. Pakistan Telecommunication Corporation (PTC) took over operations and functions from Pakistan Telephone and Telegraph Department under Pakistan Telecommunication Corporation Act 1991. making the users more loyal. But there is not need to make a large research about the telecom companies in Pakistan. It is major driver of economics. For this we need to very closely and detailed overview of the company.2 Background Of Project: The background of this project is to compare the Pricing Strategies of “UFONE” With "TELENOR" In Prepaid Connections. Because only few year ago telecom sector start its life and get great result. marketing success of the companies. As voice over IP. encouraging private sector participation and resulting in award of licenses for cellular. 1. paging and. web conferencing and online video sessions are becoming popular these companies have bright future ahead. Now a day we can talk our friend who is living in any country over the world by using any network connection. and the calling rates are much reliable.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 5 1. data communication services.3 Companies introduction: 1. Both the companies Ufone and Telenor is fulfilling perceive of the customer.3. lately. But in my research I will identify how much strong these arguments? What the reason are behind to successful fulfill perceived value of costumers. Both of the companies are providing reliable and more luxurious packages for all purposes. Their introduction is as under partially 1. . I will find out the reasons and factors that make them strengthen and strongest among peoples. cellular network companies sector is one of largest and important sector. Telenor and Ufone fulfill the whole of the costumer’s need as they want in every of aspects. It also used to set the time of meeting between to shining personalities. and the major aspects that are making the telecom company more attract full for the costumers. It put a large change on the economic. This coincided with the Government's competitive policy.

more than 200 franchisees and some 100. are some of the biggest of their kind in the industry. Pakistan Telecommunication Company Limited was formed and listed on all stock exchanges of Pakistan. 1. 1. In the most difficult terrains of the country.000 retail outlets. Telenor keeping ahead by investing heavily in infrastructure expansion. with a potential to result in USD750 million worth of orders from Telenor Pakistan. Zong 3.4 List of Competitor: Here is the list of competitors regarding Pakistani environment and my target cellular network companies also apart of this competition so these competitors are listed below: 1.10 per share. With USD2 billion already invested. The Company has fastest growing mobile network in the country. creating 2.2 Telenor: Telenor Pakistan launched its operations in March 2005 as the single largest direct European investment in Pakistan. with coverage reaching deep into many of the remotest areas of Pakistan. Telenor has extended agreements with companies vendors for network expansion and services until 2009. from the hilly northern areas to the sprawling deserts in the south. Pakistan Telecommunication Corporation Limited (PTCL) that started its operations in January 2001 under the brand name ‘Ufone’. As a result of PTCL’s privatization. In 1995.500 direct and 25. setting precedence for further foreign investments in the telecom sector. the Government in 1991. The company has crossed many milestones and grown in a number of directions. These vouchers were converted into PTCL shares in mid-1996. announced its plans to privatize PTCL. With a strong and uniquely humorous communication direction that has now become Ufone’s signature across all advertising media. Ufone gives its customers many reasons to smile and constantly introducing innovative services. Pakistan Telecommunication (Reorganization) Ordinance formed the basis for PTCL monopoly over basic telephony in the country. Telenor 2.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 6 Pursuing a progressive policy. Each had a par value of Rs. at times Telenor is only operator connecting the previously unconnected. Telenor has a network of 23 company-owned sales and service centers. Ufone Jazz 4. The agreements. and in 1994 issued six million vouchers exchangeable into 600 million shares of the would-be PTCL in two separate placements. making Telenor Pakistan a leading telecom operator of the country.3. Ufone became a part of the Emirates Telecommunication Corporation Group in 2006. which have been the first of their kind in the Pakistani cellular industry. The same year. The provisions of the Ordinance were lent permanence in October 1996 through Pakistan Telecommunication (Reorganization) Act.000-plus indirect employment opportunities. Warid 5. The company spread across Pakistan. .

5 Project Objective: How both the companies maximize the profit by the balancing price of connections and the calling rates How the companies can low their price through coupons.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 7 These are the top listed companies those are the competitors of each others. • Also signify that how company provide the best calling rates and have the best pricing strategy compare to the other. How both the companies set the prices to distinguish items in multiple product lines and how pricing differences can also distinguish product form each other. • • • • • 1. How the company create a price strategy to establish company’s leadership position in the market.6 Significance of the project: • According to assigned Project “compare the pricing strategies of Ufone and Telenor with in prepaid connections” it will be most helpful for us how the companies maintain the profit with the low price and also attracts the customers. • Project also clarify that how the other stake holder (related persons like the customer care centers and other like the easy load) who coordinate with the people and also the attitude of these with the customer and the dealing and communication language. • This project makes us that which company have a good pricing strategy compare to the other. special offer and discounts rates of connection and calling rates How the companies recover the cost of product by introducing a new package and new product and how both the companies increase the pricing again when introduce a new product. Chapter 2: . Most top of the list in competition among prepaid connection are “Telenor” and “Ufone”. 1.

Business executives enjoy the benefits and value added services connected with Postpay product of Ufone • Ufone For Everyone: The telecom market’s growing rate in Pakistan is higher than any Asian country. They recharge through the prepaid cards whenever they feel comfortable to load the cards. which is why company’s primary focus is on U.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 8 2. promotion and placement. etc. • U-Circle: Prepay provides an easy way to call Friends & Family. Through Mobile Number Portability (MNP). Now the consumers can talk more for less with the most economical rates to call their Ufone Circle.1. They are segmented on the basis of their age and status. who require making calls within the country or internationally for the business purposes. Ufone aims to provide with wider coverage.1 PRODUCT: Ufone understands the value of words and the need to communicate effectively and efficiently at all levels of society. Labor and Businessmen. 2.1 MARKETING MIX: I have analyzed the marketing mix of the Ufone. Marketing mix includes the analysis of the firm’s product. mobile phone subscribers can retain their mobile phone numbers when they change mobile operators.1. clear signals & voice quality to their valued customers. Ufone Postpay: Ufone Postpay is created for the executives and business class people. • U Share: Ufone Prepay customers can now share their balance with each other through a simple SMS in 3 easy steps. Ufone is making it easy for its consumers to call friends & family with U Circle. Ufone’s marketing mix can be 2. Mobile Number Portability: Ufone welcomes consumers to bring their mobile number to the best service. Ufone Prepay: Ufone prepay is the product segmented for the youngsters. Ufone offers lower rates and better network then other already established cellular companies.2 PRICING: • • • . All living standards have been captured by Ufone. superior connectivity. Prepay & Postpay services in the Telecom sector. Ufone offers. Therefore a 0300-xxxxxx or 0345-xxxxxxx can be a Ufone customer in the MNP regime. like Students. pricing.

fone is having its great deal of advertisement on television. The interesting part is that Ufone is sticking with its humorous appeal and is doing really good in it.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 9 As compare to other telecommunication companies.50 / SMS 2. broachers and leaflets has been utilized for the awareness of various customers.50 / SMS Ufone to Other Networks 24 Hours Re 1. Ufone promotes its services / schemes to their users and general public via using various type of promotion channels. For the satisfaction of valued consumer Ufone merged the low Price and high density services with wide network.00 / SMS Ufone to PTCL 24 Hours Rs 1. • • Print Media: . The advertisement of post pay has been very much attractive for the business class customers with the slogan of endless possibilities. Advertising campaign is special and impressive than other cellular companies.00 / SMS International 24 Hours Rs 2. models.3 PROMOTION: For the promotion of product. Ufone is motivated with providing best ads to people with quick service. The price of product matters in the market but low price with high density service is not an easy task to accomplish. Through the advertisements people get awareness about the product and are able to choose the best one for fulfill their requirement in Mobile Telecommunication.00 / Min Ufone to Other Mobiles 24 Hours Rs 1. electronic media. Both.60 / Min Standard rates apply Re 0. Time to time. Ufone offers its services with lower and affordable rates. Ufone is famous for its own style of humorous advertisements which are truly becoming the talk of the town. like concept. Electronic media: Ufone is making use of electronic media through Television advertisements. colors scheme and visualizing. print media. billboards. the Prepay & Postpay tariff are being defined as follows: Uwon: Ufone to Ufone 24 Hours Re 1.60 / Min Ufone to PTCL Ufone to International Ufone to Ufone 24 Hours 24 Hours 24 Hours Rs 1.1. to aware its consumers about the latest product offerings.

placement. Keeping up with its pace it is rapidly expanding its network. and value added services. Internet Marketing: There are users who are active users. Ufone is the ultimate means to stay connected wherever business takes consumers allowing seamless roaming through the network providing the best nationwide coverage. For example they have placed banner ads on various sites.ufone. Ufone keeps on adding new cities with same superior network that continues to expand. With addition of these. Ufone’s advertisements can be seen in newspapers and magazines.920 new cell sites during 2008-09. The renowned community FACEBOOK is also having its advertisements on the right pane of the window. Now retail stores and shops have also “adopted” the mobile brands.Ufone website (www.e web. Moreover. Ufone has added the highest number of cell sites in 2008-09 and that addition was 1. Ufone keeps them connected. They are in continues contact with www i. Ufone total cell sites have reached to 3.0 million subscribers in 2008-09 as compared to its addition of 6. which are having the most contact of the people.1. These users try to find the solutions through internet. being one of the leading cellular service providers has recently launched its service in many new cities. Call operators of customer service department are professional and proficient to resolve consumer problems and they are 24 hours available to respond customer’s query. Ufone is promoting its brand through cyber marketing in which they have placed their brand’s slogans and latest reviews.4 PLACEMENT: Ufone added 5. Website is playing a leading and significant role for the promotion of product. Super Highway & Motorway etc. coverage.com) contains bunch of information about the product. Ufone covers all major cities of Pakistan now consumers can enjoy comprehensive coverage in areas like the GT Road.400 outlets nationwide. Different kind of advertisement can be seen on Television and billboards. services.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 10 Ufone is actively providing its advertisements in print form as well. They are using various ways as a means of promoting the brand. Ufone is covering over 5642 key destinations. Ufone is also a co-sponsor of Cricket World Cup 2007. Billboards: Billboards (Including skyscrapers) are the key sources for the promotion of Ufone. 2. • Ufone’s Network Up gradation: • • . Ufone is vigorous in attracting people and making them upo date about any new information through print media as well. These billboards are the reminders of the brand through which people get attracted. the shops title boards are also being sponsored by Ufone over all Pakistan.5 million in previous year.Ufone is also in practice with placing billboards to the prominent areas. Ufone is the network operator which Operates with a network of more than 397 franchises and company-owned customer service centers along with a distribution network of 156. So wherever they are in Pakistan. People are seeing fabric stores. toy stores and even doctor’s offices displaying the phone company brand signboards.641. New packages or any updates about the product features are displayed. Ufone.

For being competitive in the market and while following the strategies based on market dominance.e. belongs to business class or people who are senior executives of the organizations 2.5 Market Differentiation: Due to aggressive competition in Pakistan mobile companies. product. for which Ufone is customizing the packages in order to preserve the existing small but profitable corporate of SME market segment. relative to competitive offerings. enables the telecom service provider to evolve into 3G smoothly 2.3 Target Market: Ufone has the target market concerning youth in the nation. 2. Technological . While being a leader of the various offerings.  Ufone Prepay is segmented for the youngsters.2 Market Segmentation: Ufone is segmenting the market according demographic segmentation. Huawei will provide Mobile Softswitch solution based on the advanced R4 architecture to satisfy Ufone's network expansion requirements.500 cities. service. it has maintained the marketing of its product within shortest span of time. 2. whit attractive packages to their requirements  Ufone Postpay is segmented for the people of mature age. Ufone is a measuring the strength of its brand. the operator needs to differentiate their product from others in order to attract more and more customers. This target market of youngsters comprises of the 40% population. for differentiating the product means to bring and implement some new and innovative technology. In the telecom industry. on the basis of age groups. Ufone with its basic or core product which is becoming homogenous with the other’s products is struggling to introduce the differentiating offers for the consumers. The network also allows Ufone subscribers to enjoy high-speed wireless data service. This maintenance has been done in order to make people aware about the latest offerings of the Ufone. and firm. having their own business. instead of follower or challenger of new offerings. towns. Huawei will provide its future-oriented EnerG GSM solution to expand Ufone's network to cover over 1. Ufone has segmented its product on the basis of its features. Ufone has become the LEADER. Ufone is targeting the emerging segments of middle class in the population to increase the number of subscribers as well as the revenue generation from these subscribers Ufone has also targeted the corporate class. The GSM contract for Ufone also include Huawei's new generation GSM dual density BTS that feature high integrated and receiving sensitivity to improve the network performance and lower the cost of network construction and O&M expenditure. In addition.4 Market Dominance: Ufone is having a concept of Market dominance. villages and all major highways in the country.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 11 Under the agreement. i. Ufone is having focused advertising towards the target market simultaneously focused brand building over the market segment of youth.

Company introduced the different modals in different shapes. Most of the companies are provide only the one side like the lowest call rates or only lowest rate of sms rate but the ufone is first company that provides both lowest call and also sms rates. Simple mobile phone is for low class like the students and other prepaid customer and the black burry is for the high class and used the business class. eid-ul-fiter. The basic focus of Ufone is to enhance its VAS. Company also provides the balance in sim that is optional the sim that have balance high than no balance. 2.7 Product mix pricing strategies: Ufone sets the product line pricing only the price is between Rs. But the both set can used in prepaid and post paid connection.50 to Rs. eid-ul-azha and many others occasion.200 so every customer can easily buy the product and all the packages are in every person’s range. Product-Bundle Pricing of ufone that it provide the simple phone and also black burry with its sim. valentine day. Some of the value added services offered by Ufone are o Missed Call Notification o Phonebook Saver o My Ufone Account Services o Urdu Info Services o Pocket Data Services o Virtual Private Network o Call Features o Messaging Services o U-Share 2. Ufone is providing as much as convenience to its consumers as they expect.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 12 improvements at Ufone are continuous process.6 Pricing objectives of the company: Pricing objective of the company is to provide their customer the lowest call rate price and give the better services to the customer ufone for this purpose ufone introduced many call packages that is suited to every person that used the mobile. Ufone is coming up with innovative products and becoming pioneer towards the new arenas.value added services. Ufone is not only emerging technologies but also maintaining a technological dominance for the services it is providing. Captive-Products Pricing is this company introduced the mobile phone that is lowest price rate and easily available on the ushops and customer care centers. Company also introduced special packages on special events like the basant. . Ufone is launching innovative packages and products for enhancing its revenues. The companies by products are SMS GPRS MMS and call features that provide the company that is some are already available on sim and are on activated on our request. These practices of bringing something new to the society at Ufone are emerging in the context of GPRS and 3G services.

one of the side is always high like if the calling rate is low sms rate is high and if the calling rate is high the sms rate is low most of the companies used this strategy but the Ufone is best that give the both lowest call and sms rate in one connection. 2. Most of the people used the Ufone.10 Inflating price changes: Company change the price with inflating price changes when the other company change the price low then ufone then company also introduce the other package compare to the competitors packages but the low price most of the packages are very compatible compare to the other cellular companies.8 Price adjustment strategies: Company adjust the different prices on different events and low the price and also provide the free connection on her shows and street program only the balance price is charged to the customer the connection is free of cost. The advertisements of the company are also attractive compare to other.12 Company's responses to price changes: Company also responds to compotators prices that offer. when the other companies are reduced the price ufone call rates is lowest compare to other. Pricing strategies are divided geographically and product packages when the company introduces its product company offer the low price and also some time free of cost. Ufone also introduced the lowest call rates in international wide .11 Competitor's reactions to price changes: Other companies are also low their price compare to Ufone but always the Ufone is the best that give the lowest call rate other companies also introduced different packages that’s fill only the one side lowest calling rates or the sms rates only most of the perfect compotator in the market comparatively close to Ufone is Telenor zong is also the a competitor that give the lowest calling rates and sms bundle but Ufone is the fully perfect all side of the market. 2.9 Price changes: Price changes when the company introduce the new package and launched in market When the other competitors change he price the ufone also change the call rates and also introduce the other service like the call block services that other companies are not provide but the ufone provide their customer that they block the call and also the sms. Most of the place the company distributes its connections free and on discount on the different event like Islamic event the company provides the discounted call rates and also sms rates and provides the new connection on discounted rates. Competition of the cellular companies in Pakistan is very strong because approximately 5 competitors are in provide there services in Pakistan and the customer also like that company which provide the lowest call rates and also the best services compare to other services providers. many of the other companies also provide the low call rates but the most attractive rates only ufone. 2. The signal problem is 2.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 13 2. When the prices of the other companies are set at low then Ufone also introduced the lowest call rates and distributed the free connections in market.

Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 14 but the other companies are not Ufone is the best I we call the internationally most of the country the calling rates is less then the other cellular companies. .

Telenor has a network of 23 company-owned sales and service centers. promotion and placement.1 PRODUCT: Ufone understands the value of words and the need to communicate effectively and efficiently at all levels of society. The company spread across Pakistan. They are segmented on the basis of their age and status. Business executives enjoy the benefits and value added services connected greats products. are some of the biggest of their kind in the industry.000-plus indirect employment opportunities. Ufone’s marketing mix can be 3. 3. Telenor has extended agreements with companies vendors for network expansion and services until 2009. with coverage reaching deep into many of the remotest areas of Pakistan. They recharge through the easyload. pricing. at times Telenor is only operator connecting the previously unconnected.2. Talkshawk & persona services in the Telecom sector. with a potential to result in USD750 million worth of orders from Telenor Pakistan. prepaid cards whenever they feel comfortable to load the cards.500 direct and 25. The agreements.000 retail outlets. With the USD2 billion already invested. Telenor talkshawk: Telenor talkshawk is the product segmented for the youngsters. The Company has fastest growing mobile network in the country. Telenor persona: telenor persona is created for the executives and business class people. more than 200 franchisees and some 100. Marketing mix includes the analysis of the firm’s product. Telenor is keeping ahead by investing heavily in infrastructure expansion.2 MARKETING MIX: I have also analyzed the marketing mix of telenor. creating 2. who require making calls within the country or internationally for the business purposes.1 COMPITETOR INTRODUTION: Telenor is the perfect competitor of Ufone and also provide the many services of compare to the Ufone like the Telenor easy paisa that is the largest advantages. In the most difficult terrains of the country. • smart Share: Telenor prepaid offer the balance share to other friends and family members even any number of the Telenor • • . which is why company’s primary focus is on telenor offers.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 15 Chapter 3: 3. from the hilly northern areas to the sprawling deserts in the south.

00 Free Rs. 2 Rs.5% CED only Free Services Rs. 1 Rs. telenor offers its services with low and affordable rates. 3.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 16 Mobile Number Portability: Now Telenor offer to every person that can convert their number that has any connection. the Prepay & Postpaid tariff are being defined as follows: Nationwide Call Rates • Charges To Telenor Friends and Family numbers To another Telenor number To any other mobile number To another PTCL number Inclusive of Interconnect and long distance charges All outgoing calls/airtime usage is subject to 19. Both. 1. Therefore a 0300-xxxxxx or 0345-xxxxxxx can be an Ufone customer in the MNP regime. when they change mobile operators. The price of product matters in the market but low price with high density service is not an easy task to accomplish. 2 All Incoming Calls Caller Line Identification (CLI) Call Waiting Conference Calling (subscription) Roaming (anywhere in Pakistan) SMS Outgoing Incoming Outgoing International Rs.2.00 . 5. 2 Rs.2 PRICING: Telenor pricing rates to other telecommunication companies.

These billboards are the reminders of the brand through which people get attracted.telenor.2. The interesting part is that Telenor is sticking with its humorous appeal and is doing really good in it Broachers: Telenor is actively providing its advertisements in print form as well. 15. to aware its consumers about the latest product offerings. Internet Marketing: There are users many who are active because it is the foreign company and investing in Pakistan. Internet & WAP Subscription MMS-Receiving MMS-Sending Internet/WAP Usage (Upload/Download per MB) Internet Bundle Free Free Rs. Telenor is having its great deal of advertisement on television. They have placed banner • • • • . They are in continues contact with web. billboards.com and for Pakistan www.com. Time to time.pk.00 Rs. Electronic media: Telenor is making use of electronic media through Television advertisements. New packages or any updates about the product features are displayed. telenor promotes its services / schemes to their users and general public via using various type of promotion channels. broachers and leaflets has been utilized for the awareness of various customers. Billboards: Billboards are the key sources for the promotion of Telenor. Through the advertisements people get awareness about the product and are able to choose the best one for fulfill their requirement in Mobile Telecommunication. They are using various ways as a means of promoting the brand.telenor. electronic media. print media. Website is playing a leading and significant role for the promotion of product.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 17 MMS. Telenor is vigorous in attracting people and making them up to date about any new information through print media. These users try to find the solutions through internet website of Telenor is www.00 3. Advertisements can be seen in newspapers and magazines. 5.3 PROMOTION: For the promotion of product.

Telenor starts its work with tamer bank.  Telenor talkshawk is segmented for the youngsters. Telenor with • . Telenor total cell sites have reached to 3. on the basis of age groups.8 million subscribers in 2008-09. Telenor is covering over 5442 key destinations.2.e. Ufone has segmented its product on the basis of its features.  Telenor persona is segmented for the people of mature age.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 18 ads on various sites. Telenor is having focused advertising towards the target market simultaneously focused brand building over the market segment of youth. 3. Telenor is the network operator which Operates with a network of more than 356 franchises and company-owned customer service centers along with a distribution network of 143.600 outlets nationwide. product. The renowned community FACEBOOK is also having its advertisements. Telenor is the ultimate means to stay connected wherever business takes consumers allowing seamless roaming through the network providing the best nationwide coverage. Up gradation through easy paisa: Telenor up grade its function the easy paisa shops it is the better then the other customer can easily pay its bill through Telenor easy paisa shop. This target market of youngsters comprises of the 40% population. Telenor is challenger of new offerings because it is foreign company and not completely knows the attitude and the culture of the population.3 Market Segmentation: Telenor is segmenting the market according demographic segmentation. For being competitive in the market and while following the strategies based on market dominance. i.4 PLACEMENT: Telenor added 4.5 Market Dominance: Telenor have a concept of Market dominance and measuring the strength of its brand. Telenor also targeting the middle class in the population to increase the number of subscribers as well as the revenue generation from these subscribers and has also targeted the corporate class. with attractive packages to their requirements mostly used for the call  Other prepaid Telenor dejuice mostly used young generation for sms. service. 3. having their own business. the operator needs to differentiate their product from others in order to attract more and more customers. 3.471.6 Market Differentiation: Due to aggressive competition in Pakistan mobile companies. 3. Call operators of customer service department are professional and proficient to resolve consumer problems and they are 24 hours available to respond. relative to competitive offerings.4 Target Market: Telenor has the target market concerning youth in the nation. belongs to business class or people who are senior executives of the organizations 3.

For this purpose ufone introduced many call packages that is suited to particular person that used the mobile. for differentiating the product means to bring and implement some new and innovative technology. These practices of bringing something new to the society at Ufone are emerging in the context of WAP and EDGE and GPRS services.7 Pricing objectives of the company: Company objective is to provide their customer the low call rate price and give the better services to the customer.300 so customer can buy the product and all the packages are in every person’s range.8 Product mix pricing strategies: Telenor sets the line pricing only the price is between Rs. when the other companies are reduced the price ufone call rates is lowest . 3. Company also introduced special packages on special events like the basant. Technological Improvements at Ufone are continuous process. Sim that have balance higher pricing rates than that have no balanced. Some of the value added services offered by Ufone are o Missed Call Alert o Phonebook Saver o Account Services o Entertainment o Urdu Info Services o Smart tune o Call Features o Messaging Services o Smart share 3. In the telecom industry. Ufone is providing as much as convenience to its consumers as they expect. eid-ul-fiter. Company used the market segmentation geographically.9 Price adjustment strategies: Company adjust the different prices on different events and low the price and also provide the free connection on her shows and street program only the balance price is charged to the customer the connection is free of cost.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 19 its basic product which is becoming better then other competitor with the other’s products is struggling to introduce the differentiating offers for the consumers. eid-ul-azha and many others occasion. Pricing strategies are divided geographically and product packages when the company introduces its product company offer the low price and also some time free of cost. Most of the place the company distributes its connections free and on discount on the different event like Islamic event the company provides the discounted call rates and also sms rates and provides the new connection on discounted rates.100 to Rs. 3. Company also provides the balance in sim that is optional. The companies by products are SMS GPRS MMS and call features that provide the company that is some are already available on sim and are activated on our request. It is also provide the lowest call rate and sms rates in different connection then every person can easily used that is perfect for him so it is the best strategy of the company. valentine day. age and financially.

The advertisements of the company are also attractive compare to other. 3.13 Company's responses to price changes: Company also respond to the compotators prices that they offer so when the prices of the other companies are set at low then Ufone also introduced the lowest call rates and distributed the free connections in market. 3.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 20 compare to other. Competition of the cellular companies in Pakistan is very strong because approximately 5 competitors are in provide there services in Pakistan and the customer also like that company which provide the lowest call rates and also the best services compare to other services providers. 3.12 Competitor's reactions to price changes: Other companies are also low their price compare to Ufone but always the Ufone is the best that give the lowest call rate other companies also introduced different packages that’s fill only the one side lowest calling rates or the sms rates only most of the perfect compotator in the market comparatively close to Ufone is Telenor zong is also the a compotator that give the lowest calling rates and sms bundle but Ufone is the fully perfect all side of the market.10 Price changes: Price changes when the company introduce the new package and launched in market When the other competitors change he price the ufone also change the call rates and also introduce the other service like the call block services that other companies are not provide but the ufone provide their customer that they block the call and also the sms. The signal problem is 3. many of the other companies also provide the low call rates but the most attractive rates only ufone. one of the side is always high like if the calling rate is low sms rate is high and if the calling rate is high the sms rate is low most of the companies used this strategy but the Ufone is best that give the both lowest call and sms rate in one connection. . Most of the people used the Ufone. Ufone also introduced the lowest call rates in international wide but the other companies are not Ufone is the best I we call the internationally most of the country the calling rates is less then the other cellular companies.11 Inflating price changes: Company change the price with inflating price changes when the other company change the price low then ufone then company also introduce the other package compare to the competitors packages but the low price most of the packages are very compatible compare to the other cellular companies.

encyclopedia. We have conduct secondary research from Internet. newspaper. newspaper articles. etc. All respondents were surveyed by Questionnaire during June . 4. Regarding to our target.3. and were qualified as propose check the calling rates of the Ufone. magazines. 4.2 Secondary Sources: Secondary research includes information from magazines.2 Data Collection Tools: There are many kinds of data collection tools but we collect data through the questionnaires and interview.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 21 Chapter 4: 4.1 Methodology: A total of 4 respondents were surveyed in Faisalabad due to short time. The study has a standard error of + 2.7% of Telenor. etc. 4.4 Sample size: Sample size is 120 people in different age different area and divided with different financial positions.3. Journals. Our primary research will be based on connection prices on different events and information gathered through questionnaires. It is the original data and easily analyzes it. primary and secondary sources: 4.3% of the respondents surveyed are willing to buy Ufone and 53.8%. 4.3 Data Collection Sources: There are two sources for the data collection. . As per my requirement to know about the pricing strategies of Ufone and Telenor brands I have been conducting Open ended questions and close ended Questions those will allow us to understand and making bright picture of pricing strategies. books. 4.July 2010. Over 56. internet.5 Sampling technique: Sampling technique is without replacement and the sampling frame is segmented with age and financial position and geographically.1 Primary Source: Primary sources are original works off or pronouncement that represents an official opinion or position. Telenor and its users.

In 2009 telenor 140 and the Ufone is 120.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 22 Chapter 5 Data processing analysis & interpretation The data processing and analysis is the focal point of results which we able to understand about right or wrong. . the data processing and analysis tool is very essential to find out the result in good manner it provide us clear picture all about our research related for that I will recommend the tool of SPSS 17. Conclusion and analysis will also be included in the report. so we analysis that he Ufone is cheaper than Telenor. like dislike etc. In 2007 the rate fall down and new rate of Telenor was 325 and Ufone remain same. Questionnaire Analysis Question: In how much price you have bought the connection? 400 350 300 250 200 150 100 50 0 2006 2007 2008 2009 Telenor Ufone Analysis This graph is showing about the price of new connection purchased it is clear form the graph that rate of both of the companies is falling down year by year it representing that Telenor sim price in 2006 was 350 Rs. In 2008 fall down and new rate represent on graph 175 and Ufone is 150 respectively. pie charts and line diagrams will also be used for the deep and comprehensive analysis of the data. bar diagrams. The other mathematical tools like graphs. good or bad. And Ufone price is the same year 300Rs. The data gathered through the primary and secondary sources will be analyzed by qualitative methods.0 this tool will help me in analysis data that I have been gathering from the different sources then put them in the computer system program and then by computerized process it will provide me results for my research and it is enough for my research which I have need to go through processes.

In urban area 40% Telenor and Ufone 60% in rural area 65% Telenor and Ufone 35% and according to customer care the 50% ufone and 50% is Telenor. Question: How many charges for calling rates? 2. And it is helpful for us to comparing the calling rates of companies.5 0 On netw ork Off Netw ork To Ptcl Favorite Numbers Telenor Ufone Calling rates Analysis: This graph is showing the call rates of the both companies.from ufone to ufone but telenor is 2RS for 1min from telenor to telenor. So this graph shows that the Telenor is best because the strong signals. And telenor provide 2RS for off net . The graph is showing that rate of the ufone is 1RS.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 23 Question: Why you use this connection? 70% 60% Percentage 50% 40% 30% 20% 10% 0% Low rates Urben area Rural area costumer care Telenor Ufone Reason Analysis: The graph is showing that 45% users are of Telenor due lowest rates and the 55% or Ufone.5 2 Rupees 1.5 1 0.

Only 30% user said that ufone not provide the special package but against the ufone telenor user said that the telenor not provide the special offer on any event only 40% say yes and 60% says no.5Rs. so we can easily said that the ufone is the best for every point of view. basant or other differ events.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 24 (other networks) and ufone provide 1.Also both companies provide a good option for costumers that they can make their own favorite numbers and both companies provide a call of 1min for 1rs only.but Ufone is providing a call of 1min only for 1. So ufone is charge the only 70% population of ufone said that company charge only 10 to 25 rupies to .5Rs for off net. Telenor is providing a call of 1min for 2Rs. And also a graph is showing the call rates on PTCL. Question: is your company received extra charges when new package is introduced? 80% 60% 40% 20% 0% 10-25 25-50 Ufone Telenor Analysis: every body knows that when new package in introduced the cellular company charge the extra prices to convert no this package it is the other way to recover the cost of production. Question: Is your company provides special or discounted calling rates at your connections on special events? 80% 60% 40% 20% 0% Yes No Ufone Telenor Analysis: The graph is about the special packages that customers company provide than we see that the ufone 70% user are said that the company provide the special offer on eid.

25 most of the packages that are introduced. Other important point is the calling rates of the ufone is lower than the telenor ufone provide the low calling rates and telenor calling rates are high. Most of the population used the ufone only the rural area the ufone is used less number and only few people used the telenor in urban area. .Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 25 convert on the new package and remaining 30 percent says that the company charge above Rs. The Ufone Company received only few charges when the ufone user want to convert on other packages but in the other hand the telenor received the high charge compare to the ufone in the question we can easily differenciate that the ufone is the best packages that is comparatively good from the telenor. 25 Summery After the above questionnaires and its analysis we find that the both of the companies the ufone and Telenor is the highly competitors and wants to provide the best services to the customers. 25 on other hand the telenor charge the above Rs. Most of the packages calling rates of ufone is low compare to the telenor like in the package of 30 second and the 60 second and the ufone introduce the many packages compare to the telenor. Telenor user 75% population said that the company charge the above the Rs. Ufone is user is large then the telenor and also in the urban area mostly the ufone connection is used compare to telenor and in the rural area telenor is used mostly because there is signal problem in ufone in the rural area and then the telenor connection is used in that area that us far away form the cities. In the most important event like the eid independence day and other many events ufone provide special offer like ufone increase the advance balance that provide at when the balance finished but telenor is only 5 rupees ufone is also provide the free minutes on special events but the telenor not provide the competitive packages. 25 compare to ufone. We also see that the ufone is provide the connection a the lowest price and telenor provide connection at high price compare to ufone. Telenor introduced only 5 packages but the ufone introduced approximately 8 packages. And other packages that’s calling rates are not competitive less then Rs. In other hand the ufone advertising and other advertising channels also good compare to the telenor.

Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 26 CHAPTER# 6 Conclusion. • Telenor low its calling rates same to Ufone and improve its services and the connection rates is also set at Ufone connection rates. other feature is not introduced the telenor. New package is introduced the most of the companies charged the extra charges when a user convert there connection on this package. • Telenor and Ufone also introduced the quick shops that facilitate the customers and then there is a perfect competition • Ufone also introduce the customer care like he easy paisa then Ufone became an other good service that is only in hand of Telenor . Most of the important is the ufone double number offer. So the ufone calling rates and the special offer.1 Conclusion: The reasons that can be given to provide justification to our conclusion are as follows: According to the objective we conclude that ufone maximize the profit compare to the ufone because most of the people used the ufone and the pricing and advertising strategies are also good compare to telenor and the calling rates are also good compare to telenor. discounted rates better compare to telenor. Many of the features are that the telenor not introduced. When the company low the calling rates and introduced the special offer its mean that the company want to provide the best calling rate and also attract the maximum peoples. Recommendation: In the light of entire project I would like to highlight some recommendation I found that in the light of pricing strategies of Ufone and Telenor gaining more and more competitive advantage because it purely involved according to the Pakistan environment but Telenor has some weaknesses which Ufone has to keep on focusing in the customers’ point of view like • Both companies low the then the customer attract the companies the Calling rates of Ufone is the low compare to Telenor and other compotators also. Both of the companies introduced the many packages like the 30 second 60 second and other packages when we compare this package the ufone introduced approximately 8 packages and telenor only the five package that is also have the high calling rates compare to the ufone package. ufone charge the lowest converting charges on any packages but the telenor is charged the two time to five time higher compare to ufone it is another disadvantage of telenor. In other feature like the call filter call tracker and online phone book. Recommendation and Limitations 6. • Ufone improve its signal problem in all over the Pakistan specially in the rural areas and that areas who are long distance from the cities. Company also checks that where the company stay at this time in the market and introduce and tell their customer but in the telenor user also not know where the company stay at this time. Customer care center and the other extra service like the sms block and call block and black berry service are great advantage in favor of Ufone.

2 Limitations: • • Due to time and resource constraints. 6. good dealing. only college students are selected for the study for making an analysis for the advertising strategies. fairness. service because the pricing strategies depend on the quality and the best calling rate and is also sustained by truth. and friendly attachment with there customer. . a randomly selected sample has been chosen respondents for making an analysis of advertising effectiveness on consumers. Due to resource and time constraints.Compare the pricing strategies of "Ufone" with "Telenor" in prepaid connection 27 • Telenor has to improve its quality sales.

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