Mkt Policy Of Grameen Phone

In: Business and Management

Mkt Policy Of Grameen Phone
Cellular phone has become such a vital necessity if our day to day life that we can not spend a single day without it. In the current scenario of today’s telecom sector, we find some names everywhere and their activities are touching our lives. The name of the cellular operators like GrameenPhone, AKTel, Banglalink, and Citycell & Teletalk is expanding with their activities to gain their respective goals. To execute their goals accurately, they adopt several marketing strategies. In our report we have focused the vital business strategies from different viewpoints of GrameenPhone. From this analysis we have able to identify their process of capturing different generations and the key factors of their market acceptance. From this study we are able to know about market segmentations, positions, marketing mix, SWOT analysis and various special features of GrameenPhone. Then we have discussed about the competitive advantage of the company. From our discussion we have found that grameen phone is the market leader, banglalink is the market challenger, AKTEL is the market follower and Citycell is the market nicher. Then last of all we have analyzed the SWOT analysis. In our SWOT analysis we have tried to discuss about the strength weakness opportunities and treats as broadly as possible. Then we have discussed about the marketing mix strategies. Marketing strategies are the strategies of each company with 4ps that is product, price, place and promotion. We have tried to discuss broadly the the company’s marketing mix strategy. From our overall activities, we can say that cellular phone sector is the most crucial for the growth of our economy and to survive in global market. We have tried to made our report as comparable as possible. We have tried to input as much data as possible. Last of all we have tries utmost to make it effective and interesting. Overview of GrameenPhone The big player GrameenPhone (GP) obtained its cellular license in November 28, 1996 and launched its operation in March 26, 1997 and never looked back. GrameenPhone (GP) is the single largest cell-phone operator in Bangladesh. GP is best known for its service rather than its low tariff and value added services. GP believes in service, a service that leads to good business and good development. Their important features are given below: Ownership Structure GrameenPhone is owned by Telenor As and Grameen Telecom of Bangladesh.

Telenor: Telenor as is the leading telecommunication company of Norway which owns 62% shares of Grameen Phone LTD. Grameen Telecom: Grameen Telecom, a non-profit company owns the rest 38% of the shares of Grameen phone LTD. It works collaboratively with Grameen Bank. Technology: High quality GSM cellular service Subscribers: more than 10,00,00,000 Company Mission Grameen Phone Ltd. aims to provide reliable, widespread, conveniently mobile and cost effective telephone services to the people in Bangladesh irrespective of where they live. Such services will also help Bangladesh keep space with other countries including those in South Asia region and reduce her existing disparity in telecom services between urban and rural areas. Company Vision To be the leading provider of telecommunication services all over Bangladesh with satisfied customers, shareholders and enthusiastic employees. Company Objective The main objective of GrameenPhone is to cover both urban and rural areas, whole of Bangladesh. For this to happen the company has a dual strategy of good business and at the same time good development of the country. With this objective in mind GrameenPhone plans to achieve economies of scale as well as healthy profit and at the same time serve the people of the country with good connectivity and other economic development. GP’s Management G P’s management and distribution system is quite similar to the other players in the industry. The following list is the management section of GP, but the functions of the managers are not explained in detail. Since this report focuses on the Sales and Distribution of GP, the functions of those managers are explained later in the report. Figure: Organogram of GP Overview of the Telecom Market Telecommunication is both an industry and an infrastructure, which helps other infrastructures to grow. Absence of good telecommunication facilities deters investments in other sectors of the economy. In order to enhance the investment in the telecommunication sector, the government has been pursuing the policy of raising the public sector allocation and attracting private sector investment by privatizing certain services e.g. rural telecommunication, cellular mobile service, paging and radio trunking services etc.

Within a very short time. has been able to capture a 5% market share. In such stage of this service a new operator is not capable enough to capture a huge amount of subscriber. though operating for a long time. With its unique CDMA technology in Bangladesh. which involves connecting isolated islands of . Targeting strategy of Grameen phone Grameen Phone’s basic strategy is coverage of both urban and rural areas. They are social class. Depending on social class it segments its market into upper class. User of Grameen Phone: Here in the graph we see the increasing rate of mobile user. Telekom Malaysia (TM). In contrast to the “island” strategy followed by some companies.We see in 2006Gp’suser is 10million. Banglalink has been managed to capture a 14% market share from the existing two cellular giant and currently celebrating their reaching two million (2.000).000) in number.Its shows the GP’s strength. and geographic location.000. Figure 1: Major operators and their market share It is quite clear that GrameenPhone is the market leader in this field with a subscriber base of more than ten million (10. The following graph will depict the current market scenario of the major operators in Bangladesh. Depending on geographic location GP divides its market into urban area and rural area. Citycell. Orascom and SingTel in rural network expansion in Bangladesh. so far.000 subscribers in the mobile market. The second highest market share belongs to AKTel.000) subscribers. which captures 21% of the mobile telephone market and numbers for more than three million (3. The cell phone service is now at a stage of maturity.000.000) which is around 58% of the total market share. Depending on income it segments its market into high-income level (such as business persons) and low or fixed income level persons. Different user of Grameen Phone: Segmentation process of Grameen phone Grameen phone (GP) has segmented its market depending on different factors. The foreign operators in collaboration with their local partners is working on with the infrastructure to widen the very base of mobile subscribers by removing the entry barrier and make the mobile telephone affordable even to rural masses.000. which is very small amount of the total market share. upper middle class middle class and lower class. Most of the affordable person has obtained a cell phone. The recently launched Teletalk has gained only 300. income level. which is a more than half a million (800.Current Scenario The most prospective and booming mobile telephone has brought about many positive changes in the country's economy and socio-economic sectors and has been successful by attracting a huge some of Foreign Direct Investment (FDI) by big telecom giants like Telenor.

Many leading local and multi-national companies. a telephone also acts as an income generating mechanism for a borrower. recognizing the importance of the special needs of the corporate customers. was the first telecommunications company in the country to offer a Corporate Sales Package initiative. cell after cell. GrameenPhone is bringing the digital revolution to the doorsteps of the rural poor and unconnected. By bringing electronic connectivity to rural Bangladesh.urban coverage through transmission links. Leveraging on Grameen Bank borrowers reduces the distribution cost of Grameen Phone's rural services. typically selects women by considering past borrowing records with the Bank. A typical Grameen Bank borrower takes a loan of Tk 6000 without collateral from the Bank to purchase. GP utilizes the bank borrowers to retail telecom services in the rural areas. The cow would then produce milk that the borrower could sell to her neighbors enabling her to make a living and pay off the loan. a cow. which provides microcredit only to the rural poor." A woman borrows about Tk 20. In collaboration with Grameen Bank. and has the potential to penetrate the rural areas rapidly and effectively. Grameen Telecom. contributing to the profitability of this segment. the basic strategy of cell-to-cell coverage is applied throughout GrameenPhone’s network. The process allows the poorest of the poor to stand up on their feet. This program enables Grameen Bank's borrowers to retail telephone service in their respective villages.000 from the Bank and purchases a handset and sells telephone services to the villagers. It delivers a total telecom solution under a Corporate Sales Package agreement. This emphasis on rural coverage brings a much-needed infrastructure in the underdeveloped rural areas. Grameen Bank's arm for administering the Village Phone operators. Village Phone Program The Village Phone program is GrameenPhone's unique method of bringing connectivity to the rural areas of Bangladesh. say. this strategy serves both the long distances as well as the rural markets. The Corporate Sales Section (CSS) of GP handles all sales and other related services provided to the corporate subscribers. making a living and thus paying off her loan. international . GrameenPhone builds continuous coverage. Service for the Rural Poor Establishing a nation wide network gives fair access to all geographical areas. Corporate Offers GrameenPhone Ltd. a telephone serves as another "cow. In the case of Village Phone. While the intensity of coverage may vary from area to area depending on market conditions. There are 2144 Village Phones in operation today and soon thousands of Village Phones around the country are expected across rural Bangladesh. It creates a self-employment opportunity in each village and provides access to telephone stall. From a business point of view.

They are discussed bellow:Functional Level Strategy: GP’s focus is on efficiency. This enables GP to earn competitive advantage over the competitors. Business Level Strategy: GrameenPhone mainly applies cost leadership strategy.organizations and banks have corporate agreements with GP. quality. The telecom industry is comprised of approximately 15 million subscribers and the market is growing at a rate more than 100%. In addition. Under such contracts. . they also apply differentiation strategy as their business level strategy. The immediate focus is towards the booming younger generation followed by the older generation. innovation. and customer responsiveness. By introducing djuice package GP is attracting young persons. The two important niches of the cell phone operators are the young generation and the older generation of total subscribers. Each company targets a specific market to run their business successfully as following: |Cell phone operators |Target Market | |[pic] |Corporate/ | | |Individual | | |Corporate/SME/ Individual | |[pic] |Corporate/SME/ Individual | | |Corporate/ | | |SME/ | | |Individual | |[pic] |Individual | Table : Target market of Cell phone operators Positioning strategy of grameen phone By adopting different positioning strategies grameen phone is trying to make position in the market. CSS adds more value propositions to the clients’ mobile communication package and forms a reliable and long-term partnership with the client as its main telecom service provider. The increasing popularity of mobile phone in the community at large has led to the formations of niche. The subscribers belong to both urban and rural areas. Young persons Grameen phone has targeted especially the young persons to make its customer.

it becomes easier to solve the problem. it presents an opportunity for companies that can deliver superior customer value and satisfaction. Quality of airtime . In mobile telecommunication industry. If they set expectations too low. and talk favorably to others about the company and its products & services. Airtime Airtime is the core offering of GrameenPhone. A company can always increase customer satisfaction by lowering its price increasing its services. but it may result in lower profits. When any problem is identified. It enables them to keep the cost low and earn better expertise. the purpose of marketing is to generate customer value profitably. That has been followed by primary research a survey to find out the ‘customer satisfaction level’ of GrameenPhone. it does not attempt to maximize customer satisfaction. there are direct and indirect factors that influence customer satisfaction. and marketer and competitor information and promises. If the product or service’s performance falls short of expectations.” Now. Satisfied customers are fewer prices sensitive.Corporate Level Strategy: Grameen Phone follows related diversification as their corporate level strategy. So. the opinion of friends and associates. they may satisfy those who buy but fail to attract enough buyers. In either case. In contrast. In the next part of my paper I have focused on the ‘Customer Satisfaction Factors’ of GrameenPhone. Marketer must be careful to set the right level of expectations. Thus. we have a very good idea regarding the importance of customer satisfaction. Today’s most successful companies are rising expectations—and delivering performance to match. Highly satisfied customers produce several benefits for the company. it is also important for the company to know about the satisfaction level of the customers. and customer satisfaction. the buyer is dissatisfied. perceived company performance. I tried to focus on the most important factors that influence customer satisfaction at GrameenPhone 1. Positioning by means of customer Satisfaction Customer satisfaction is the extent to which a product or service’s perceived performance matches a buyer’s expectations. If performance matches or exceeds expectations. So. quality of communication. are the most important customer satisfaction factors. Although the customer-centered firm seeks to deliver high customer satisfaction relative to its competitors. Dissatisfaction can arise either from a decrease in product and service quality or from an increase in customer expectations. remain customers for a longer period. network availability etc. This requires a very delicate balance: The marketer must continue to generate more customer value and satisfaction but not “give away house. Customer Satisfaction Factors of GP GrameenPhone is a highly growing mobile company. Expectations are based on customers’ past buying experiences. if they raise expectations too high buyers are likely to be disappointed. the buyer is satisfied or delighted. Such companies track their customers’ expectations.

Sylhet. 4. These info centers are situated in the prime divisional headquarters like Dhaka. In this part of my paper I tried to focus on the existing operations of the help line service of GP.depends on the ratio of subscribers and transmission base stations. It is computer aided information base to afford immediate access to the information about the subscribers. and so on by choosing different options. after Sales Services After sales service is very important in the mobile telecommunication industry. It is free of charge for the first minute. GrameenPhone has five information centers that are popularly known as ‘Info Centers’. usage. After that the subscriber reaches the Customer Relations Officer (CRO). But the operations are done manually. and Khulna. After that s/he can get information regarding bill. bank name that receives GP’s bill. quality of airtime goes down. A GP subscriber needs to dial 122 to reach GrameenPhone Help line. Interactive Voice Response (IVR) This is a newly introduced service by GrameenPhone. But there are some problems that cannot be solved there. I would like to focus on these tools one by one: 3. S/he just provides the information and the subscriber keeps the phone. The subscriber explains his/her problems to the CRO (Some Basic Queries are enclosed in The APPENDIX). credit policy. Rajshahi. Help line GP is the first company who introduce 24-hour help line in Bangladesh. the customer relation’s officer does not need to take help of information system. the subscribers can come directly . from the second minute the subscriber needs to pay TK 2 per minute. Information Centers Most of the problems of the subscribers are solved by the help line service. If the numbers of subscribers are increased without developing the network. Then s/he needs to wait for few seconds.Customers need to pay TK 4 per minute to take the service from help line. A GP subscriber needs to dial 123 to reach this service. 5. Subscribers need to come physically to deal with those problems. After dialing 122 the subscriber is first welcomed by an automated and standardized process. 2. Chittagong. The CRO starts the conversation with a greeting. If the inquiry is regarding general information. GP has extensive after sales customer care tools. This is an automated help line service. There are some queries that are very much more personalized and the CRO needs to get into the account of that particular subscriber and provide the service. In these information centers. In some cases the subscriber just keeps the complaint/request and later action is needed to be taken. which will enable us to understand the importance of the help line service.

Good relationship with regularity authority is strength of some of the other mobile operators while GP has achieved it to some extent by abiding by laws and showing positive results Introduction of Airtime Bundling & Loyalty Bonus will set apart GP from its competitor. SIM change. These after sales services are very crucial to keep the subscribers satisfied regarding GrameenPhone.). address change. which attracts the customers especially the young generation. 1 position | |Phone | |coverage | |as a cell phone operator | |Teletalk |Affordable |Medium quality & limited |GSM |Network expansion & low tariff | | | |coverage | | | Table 2: Market Positioning GrameenPhone offers subscription of two categories: ➢ Pre-Paid Subscription . detailed bill etc.with their problems like billing (wrong bill. English. To survive in an oligopoly market like telecom sector. Other positioning strategies By introducing djuice GP is trying to position in the market especially because of its characteristics of different interesting ring tone. every operator has to bit a tough interoperator competition. To make a distinctive. There are ring tones of different song of Bangla. handset problems etc. and Hindi that attracts the young generation. clear and desirable place in market each operator considers following factors: |Cell phone operators |Price & Tariff |Quality |Technology |Strategy | |Citycell |Low |Deteriorating services |CDMA |Network expansion & attractive | | | | | |products | |AKTel |Competitive |High quality service but |GSM |Increase coverage and market | | | |limited coverage | |share | |Banglalink |Very affordable |Medium quality and wide |GSM |Increase coverage and Market | | | |coverage | |share | |Grameen |Competitive |Good network with wider |GSM |To maintain the no.

But according to the technologies. Then they are protecting their current market share through good defensive and offensive actions and last of all they are trying to expand their market share further. etc. GP launched a new product “ Djuice”. They are expanding the market by developing new users.percent countries mobile. They are expanding the markets by discovering and promoting new uses for the product. promotion spending and quality service. new technology and new offers. To remain number one GP is taking following actions. Which offers less call charge. If GP can convince more Bangladeshi to use mobile it will benefit GP greatly. opportunities and market acceptance each company belongs to different positions. Post-Paid subscription is sub-divided into two plans: X-Plore Package 1: nationwide and international mobile and landline connectivity X-Plore Package 2: nationwide and international mobile and landline connectivity As the telecom business is booming in Bangladesh. . For this reason their markets are also expanding rapidly. strategies. Pre-Paid subscriptions are sub-divided into three plans: • Smile: previously known as Easy (mobile to mobile connectivity within Bangladesh). every operator wants to lead the market. imitate or avoid. It is maintaining a constant watch. Competitors focus on the GP as a company to challenge. extra khatir card facilities.➢ Post-Paid Subscription. • Smile PSTN :previously known as Easy Gold (nationwide and international mobile and land line connectivity) • Djuice: a youth based mobile to mobile connectivity within Bangladesh. because they sells more than ---. Other companies keep challenging its strengths or trying to take advantage of its weakness. we can depict the following positionsFigure 3: Competitive advantages of cell phone companies Market Leader Strategies GP is the market leader in the tele communication sector in Bangladesh. network coverage. A product innovation may come along and hurt them. GP gets a tremendous feedback from this product. They might grow arrogant or complacent and misjudge the competition. free SMS service. Identifying the total Market Demand GP is a leading firm normally gains the most when the total market expends. Finally they convincing to use their product more often. To attract young people. After observing strategic implementation and market acceptance. GP has the largest market share and usually leads the others firms in new product introductions. To maintain as a market leader is not easy. First of all they are expending the total demand.

They are trying to hold the current customers and win a fare share of new ones. They have also given 1. and distribution effectiveness. improved services and innovative features. The market leader often bears the huge expense of developing new products and other innovative things. AKTEL is just following the leaders’ experience. It keeps increasing its competitive effectiveness and value to customers. the price of sim was too high. Firstly. They are challenging the competitors by lower prices. To protect the position GP is doing the following things.Protecting Market Share While trying to expand total market size. within one year they cover 61 districts of Bangladesh. They are trying to bring distinct advantage to its target market. AKTEL can gain advantage as a market follower. They first define the market leader and their strategies and then attack the market leader. By contrast. Banglalink launches a full frontal attack on advertising. Before entering the market. They choose their opponents carefully and have a clearly defined and attainable objective. They offer less call price than any other firm. GP also have to protect its current business against competitors’ attacks. AKTEL (Market Follower) AKTEL is the market follower in the mobile sector. They are also challenging the market leader on its weakness that is call price.500 TK package for the subscriber. They are challenging the leader and other competitors in an aggressive bid for more market share. Expanding Market Share GP also grow by increasing their market shares further. They are trying to take more care to their subscribers than any other firm.location. This is providing the service in a less rate than market leader.000 sims free for their clients. Because they have sought expanded market shares to improve profitability and it increases as a business gains share relative to competitors in its served market. On average profitability rises with increasing market share. It attacks the market leader strength that is wide area network coverage. financing etc. To succeed with such an attack. First it prevents or fix weakness that provides opportunities for competitors. services. customer services. City-cell Market Nicher Strategies . GP refuses to be content with the way things are and leads the industry in new products. They are trying to provide the service at lower price. It always works tirelessly to keep strong relationships to valued customers. This is a high risk but potentially high gain strategy that makes good sense if the leader is not serving the market well. they have offered 1. they have some competitive advantage over the leader. Banglalink (Market Challenger Strategies) Banglalink is the runner up company in telecommunication section.

GP has a considerable amount of hold in the market. It will always have some weaknesses. 350 core) among competitive mobile Co. This is one of the biggest strengths of GP. Even though they are market niche. Sometimes the major competitors come to the specialized area of city cell. ➢ GP is currently offering the most attractive offer such as ‘Thank you crown’. We have covered a bit of its marketing and sales system and its strengths are given below. Most of its weakness lies in its distribution system. The proof of this can be seen now. they are targeting sub segments. City cell. GP doesn’t only have strength for their product quality but also their sales and distribution system. They have the lower shares of the local market and are highly profitable through smart niching. as its rivals reduce tariffs & increase the increased validity of the prepaid servicing immediately followed suit. Instead of pursuing the whole market or even large market segments. Strength Being the largest player in the market. In fact it came up with a whole new package called DJUICE. they are profitable because they end up target customer group so well that it meets there needs better than other firms that casually sell to the city cell. GP world. ➢ Largest GSM operator in mobile market. Ex-Operating as a market niche also carries some major risk.City-cell is the market niche. ➢ GP has the highest operating revenue (997 million) in the second quarter of 2006. mainly focuses on business people. They are building the skills and customer goodwill to defend itself against major competitors as they grow and become more attractive. as GP offers its services at roughly the same price. The points given below best describe the weakness of GP. This attitude of is a very big weakness as a new subscribers are . They are focuses on one or a few specific customer. ➢ Lowest call charge ever offered to the Mobil market of Bangladesh. ➢ GP has 310 international roaming partners which include all major and significant destination of traffic to and from Bangladesh. They are big enough to be profitable and have growth potential. The most important thing is that they have little interest over major competitors. ➢ GP is good at following suit rather than innovation. as its competitors and the quality of all the firms in the industry are homogeneous. which is the major threat of their business. the niche achieves high margins. consisting of reduced call rates. Weakness No matter how strong a firm may be. ➢ Top tax payer (Tk. City cell are trying to find one or more market that are safe and profitable.5 million) in Bangladesh. As a result they are charging a substantial mark-up over caste because of the added value whereas other company achieves high volume. EDGE connectivity etc. ➢ Biggest subscriber holding mobile phone company (more than 8.

➢ Marketing support provided by GP. This is a major setback for GP. ➢ Availability of concern contact point of GP. resulting in reduced profit. profit of GP is going down day by day & this might effect the smooth functioning of the entire sales & distribution system. ➢ Growing competition in telecom market. Opportunities Opportunities for GP are endless.immediately attendant to the price cut of GP’s rivals and by the time GP follows suit. As mentioned earlier. ➢ Increasing demand for Cellular Phone. The sales and distribution channel is supported by GP. No matter what the time is. So opportunities for GP are given below ➢ Court declaration as void of NBR’S fixation of tariff on SIM\RIM cards has created new opportunities particularly for GP. GP sells all cellular related products at the same place. Retailers also appreciate this facility to getting stock on credit and pay later ➢ Hand set and Kit lifting from the same point. Because of this goodwill many potential subscribers might be attracted to GP ➢ Helpful attitude from GP personnel. Many retailers are attracted to sell GP products as GP has a policy to take back unsold stock ➢ Stock receiving facility on credit. ➢ Stock return facility. it would have lost the potential subscribers to the rivals. ➢ Because of increasing competition. as most of the retailers can’t provide optimum services & thereby hurting GP’s image to same extent. The market for cellular phone is growing at an enormous rate. ➢ High overhead cost for stock carrying. So it is convenient for the consumer to get every thing under one roof Threats No matter how big or small. ➢ Lack of working capital for outlet and individual agents. They have the money and experience to diversify. Many potential users are being added to the market. companies will always have threats that question their very existence. However some threats remains within the company itself rather than from its rivals . which gives the channel a wider opportunity ➢ Brand Value of GP. there is always someone at GP to answer all the subscribers’ queries. People want pampering. GP products are well known for its services and quality.

Some of these threats are listed below. the infrastructure leasing cost from BTTB per E-1 PCM in Bangladesh is about 10 times higher compared to that in other countries of the south Asian Region. Day by day consumers are spread out to many other competitors in the market.or the anticipated new comers. then many subscribers can make decision in buying GP before they even think about other cellular companies. in this case GP. ➢ “Alap offer” of critical has also created threat for GP. The sales and distribution system of GP is under severe pressure all the time to increase the sales figure. ➢ The GP managing director further identifies fluctuations in the foreign exchange market as another area of concern while possible changes in fiscal policies like the tax regime may also have a negative growth of the mobile phone sector. ➢ Split sale. regulatory hindrances. ➢ Public demand for discount on price. ➢ Imposing sudden decision. This might pose a threat to GP. This hampers the smooth functioning of the entire system ➢ Decision making without prior consultation. This discourages the various sales agent selling GP products ➢ Reduced call rate of “Swedeshi phone” launched by Rangtel appear as a threat for GP. which prohibit GP to function smoothly. This would replace the existing BDT 2500 flat rate of import duty on handsets. For example. and high cost of interconnection. ➢ The GP managing director is anticipating a possible threat from the new entrant BTTB. Currently BTTB poses very little threat to GP as they have just started their operation and it will take quite sometime before GP is in trouble. The state owned fixed-line monopoly BTTB has entered the market with extremely low tariffs. high import duty on handsets. ➢ According to recent study. GP. If the consumer knows the future packages or the coverage expansion of GP in the future. The sales and distribution network has to cope with sudden decisions at times. The import duty on Handsets has been refixed at BDT 3000 for a handset costing over BDT 10000 and BDT 4000 for a handset costing over BDT 10000. Everyday consumers are demanding lower tariffs and better quality. It is thought that the competitive environment that prevails today might be destabilized as BTTB starts operating at full potential. ➢ Inadequate information flow regarding future planning of GP. We all know that pressure doesn’t always achieve the desired level of sales. Some decisions are made with out consulting the sales personnel ➢ Higher commission provided by the competitor cellular phone providers. . These threats could arise from the strategies adopted by the company. but it might disrupt it. even the existing cost of doing cellular telecom business in Bangladesh is relatively much higher than that of the neighboring countries because of the higher cost of leasing infrastructure. ➢ Tremendous sales pressure from.

The marketing mix is the set of controllable. Price 3. Once a company has decided on its overall competitive marketing strategy. Developing the marketing mix is one of the major concepts in modern marketing. Place 4. Product 2. tactical marketing tools that the firm blends to produce the response it wants in the target market. Promotion Product Strategy____________________________________ GrameenPhone offers subscription of two categories: ➢ Pre-Paid Subscription ➢ Post-Paid Subscription. • Provide product with new packages. • Want to maintain the market leadership. The marketing mix consists of everything the firm the firm can do to influence the demand for its product. • Grameen Phone wants to launch new product with new offer and privilege to customers. The many possibilities can be collected into 4 groups of variable 1.Financial Objective F irst and foremost is its profit objective. Services Provided by Post Paid Packages: Benefits at a glance . • Increase market share with an impressive growth rate. Marketing Objectives Grameen Phone’s Marketing objectives are: • Increase the number of user from 10 million to 12 million within the year 2007. Its aim is to receive an economic return on its investments and to contribute to the economic development of Bangladesh where telecommunications can play a critical role. it is ready to begin planning the details of the marketing mix.

ISD and Economy ISD) connectivity • Enjoy free incoming call from BTTB. • Reposition of slow moving products to different target markets. NWD. Call barring. Voice Mail. simple flat and low Tariff • Reduced rate on three F&F numbers • Economy ISD (012 ) • SMS Roaming • Breakfast News • Pre activated EDGE Service • GSM features (Caller ID. • Always branding GP with all packages with a GSM service Pricing Strategy____________________________________ Attractive pricing of the Grameen Phone has made it possible to be the market leader in several products. Voice SMS) • International Roaming facility • Flexible credit policy • Pay your bills from anywhere using FlexiLoad • Monthly 6-12% ThankYou discount on airtime & Crown Membership Product Development The strive to develop a better product will be a continuous process. Call Hold. • Continuous improvement of quality. Thus the product will be designed to meet the customers need. and Call waiting) • Wide collection of value added service (SMS. They will use the input to develop new product based on data they will get from survey.• Post-paid product with BTTB (Local. • Attractive Start-up Offer with Free VAS • No on-net/off net. Pricing Objectives: . Conducting of Market research will be in every three months. EDGE. Call divert. Welcome Tune.

Section-1. Place_______________________________________ Since mobile telephony is about connecting people. Uttara | |4 |GPC Gulshan |H# 1A. It extends its network in 380 Upazilas of 61 Districts. It innovatedto1800 MHz frequency through which services are done completely. dhaka-1216 | |3 |GPC Uttara |NR Tower. basic expectations among the users are to be reachable wherever he or she is. Offer often to capture the potential and occasional market (Eid festivals. And the strength of GP’s success is in the rural market.➢ To reach to the largest proportion of the population ➢ To minimize the price by maximizing the market thus by capturing new consumers.) discounts or especial price is offered to the market. Chittagong | |8 |GPC GEC |1012/A. Grameen Phone is famous for its powerful and extended network. all over the country. |Sl no |GPC |Address | |1 |GPC Motijheel |103. Pricing Method: • Competitor indexing: try to keep lower than the competitors. East Nasirabad. Gulshan-1. Mirpur. 21/22 Agrabad C/A. Bangla new year etc. So network coverage along with the strong distributive facility make this company the market leader. Dhaka – 1000 | |2 |GPC Mirpur |Rabiul plaza. | |6 |GPC Dhanmondi |H# 38/2. Dhaka-1212 | |5 |GPC Farmgate |71. R# 113. The consumer care centers are 24-hour open for consumer. Motijheel C/A. ` One of the GP’s employees said that 90% of their total subscribers are of Pre-paid holders. Dhaka. It has around 5000 outlets & sales centers. Sector-4. Farmgate. Dhanmondi R/A. Thus GrameenPhone is the leader since it has the countrywide network coverage which helps its packages to be more competitive than others. City Center. Shee-1/kha. GP has placed its outlets in convenient public places. CAD Avenue. R# 27(old). Dhaka-1205 | |7 |GPC Agrabad |Aktaruzzaman Center. • Following the market trend Special Offers: Some time GP provide special offers on different occasion to the customer to capture the market. Plot no. Kazi Nazrul Islam Avenue. Chittagong | .

Sadar Road. Paira Chottor. Mymensingh | |18 |GPC Maijdi |Mahfuza mansion. Shop # G-1. Gazipur | |26 |GPC Dhanmondi |Eastern Elite Center. Ibrahim Mansion. Maijdi Bazar. Uttara. Central Road. Dinajpur. Opposite fire service. Royal Chattar | |20 |GPC Satkhira |Abul Kashem Road. Dhaka | Promotional Strategy________________________________ Promotional Goals: . 11. Noakhali | |19 |GPC Khulna Shibbari |32/1. H # 50. Chittagong | |22 |GPC Chittagong Agrabad |Moitri Bhaban. Natore Road. Kotowali. RS Tower. Dhanmondi. Floor. Comilla | |17 |GPC Mymensingh |11. Comilla | |24 |GPC Chowmuhoni |BOC Market. R # 9/A. C. Jahautala. Holding No. Ghosh Road. Wari. 119. Dinajpur Town. Mymenshing road. G. Khan-A-Sabur Road. Chittagong | |23 |GPC Comilla |Holding # 27/29.|9 |GPC Rajshahi |Dainik Barta Complex. Chandana Chowrasta. Jessore | |15 |GPC Barisal |L L Tower. Nodda Bus Stand. G. KDA Avenue. Momin road. Rangpur | |11 |GPC Bogra |Kabi Nazrul Islam Road.6D. floor. Maijdi court. Kandirpar. K. Chowmuhoni | |25 |GPC Gazipur |Chandana Plaza. | |13 |GPC Khulna |181. Satkhira | |21 |GPC Chittagong Bahaddarhat |205. 1043/946. 107. Andarkilla. Solakbahar. Barisal | |16 |GPC Comilla |Holding No. Bogra | |12 |GPC Dinajpur |Goneshtala. Karimpur road. Rahman Mansion. khulna | |14 |GPC Jessore |RN Road. Biswa Road | |30 |GPC Purana Paltan |Shop # 8 & 9. Purana Paltan. Rajshahi | |10 |GPC Rangpur |Central Point. North Tower. Alu Patti. Dhaka | |28 |GPC Wari |8/1. Rankin street. Chawk Bazar. CDA Avenue. Dhaka | |27 |GPC Uttara |Shop # 02. Dhaka | |29 |GPC Badda |43.

GP offer discounts and bonus talk time as a part of sales promotion. customers will receive discounts & bonus talk time.• to communicate the products to all consumers. GP provides many advertisements. Slice 2 Objective: Profit Maximization. Current promotions | | | | || | || | | | ||| Slice 1 Objective: Increase the number of customers. . Activity: Increase 10% profit by the year 2007. GP spends a lot for TV & newspaper advertisements. • Billboard. Thank you: under this program. • to build a brand image. Promotional Mix: Advertising _____________________ • TV and other electronic media. In TV channels & newspapers. • Press . Activity: The existing number of present customer is 10 million and the plan regarding it is to increase the subscribers up to 12 million. GP has developed personal selling process of promotion. Now it is a big weapon. GP’s promotional activities are very strong.

F rom the survey that we have conducted. more and more foreign and private companies are getting curious to enter the market. • GP should have more back up servers as we see that on special occasions GP’s network stop responding and sending a message and calling becomes a nightmare. it is clear that many a subscribers expect reduced call tariff and free SMS. It is providing dynamic facilities to make lifestyle more easy and comfortable. Kotler. So. The cutthroat competition of cell phone companies has reached in such a position that from a business tycoon to a farmer of a remote area now also use cell phone.Slice 3 Objective: Reducing the call price. Principles of Marketing. and free SMS. Activity: GP wants to reduce the call price according to the customers demand Slice 4 Objective: Maintaining Market Leadership. Activity: GP’s present position in the market is one and they want to continue this position by expanding their features and market share. we have some sorts of recommendations. • They should be more flexible in terms of credit limit and call barring services to the postpaid users. Bibliography 1. GP should have more back up servers as we see that on special occasions GP’s network stop responding and sending a message and calling becomes a nightmare. Armstrong. 2. such as:• From the observation we have conducted. They should be more flexible in terms of credit limit and call barring services to the post-paid users. • It should have consistence between its offerings and services of those offerings. If such trend exists for a few years and in a morning the cell phone of a maid rings with the call of her mistress. it is clear that many a subscribers expect reduced call tariff. would not be surprising for us. Considering the importance and profitability of cell phone business. Annual Report 2003-2004 .

com 2. 5.Citycell.Teletalk.Website References 1. www. [pic][pic][pic][pic][pic][pic][pic][pic][pic] ----------------------Billboard is one of the most exclusive advertising media & GP holding the number one position Press is the innovative and ever advertising media Challenger Leader Competitive Advantages Follower Nicher Grameen Phone Citycell Teletalk AKTel & Banglalink TV & other Electronic media is most famous and well known advertising media & in this media GP is number one Company Profile Current Marketing Situation .com 3. 4.Banglalinkgsm. www.

Objectives Managing director GP Director Finance Director GRIP Director Regulatory and legal Director Administration Director Information Director Technical Division Director Sales and Distribution Director Customer Relation Products Offered BY Grameen Phone Executive Summary Competitive Advantages SWOT Analysis of Grameen Phone Marketing Mix Commercialization .

Action Program Conclusion .

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