Marketing Strategies for Cell C Essay

It has been argued that strategic marketing inventning can be viewed as the solution to multitudinous issues which face modern management (Haris, 1996). Indeed, it is often contended that the make of strategic marketing planning is crucial since planning determines what must be done in the future whilst giving an opportunity to test what has been achieved against the framework of the living plan. However, it is univers everyy acknowledged that not only is planning far from simple but also that few organizations plan well (Piercy, 1997).As Cell C, we retrieve using our marketing plan as a road map, to plan our course and help us reach our goals/destination. Typically a marketing plan should consist of information about the company and its products or services, marketing activities, objectives and strategies, and its method for measuring success. It should also have a designated time period (i.e. 6 ? 12 months) and one should document the costs of the planned marketing activities. (after D.K Schofield ? De-mystifying Marketing plans)MISSIONA company must get to the future not only prime(prenominal) but also for less. (HBR G. Hamel & C.K. Prahald) As Cell C is the third mobile operator in South Africa, this poses a tough challenge, but we believe were up for it, and we intend being First on innovation and Customer Service. Our goal is competitive innovation not competitive imitation (adapted from STRATEGIC smell ? C.K. Prahalad &G. Hamel)The marketing strategies for Cell C are focused on meeting the needs of our future customers, and keeping them met. We plan to achieve this through the provision of knowledge base class service and innovative products at competitive prices.MARKETING OBJECTIVESTo realise (win over) 15 ? 20 % of existing cell phone users.To attract rude(a) users from all spheres, in particular the under serviced areas i.e. rural and semi-urban communities.To create a visible profile through an explosive branding campaign.BUY CELL CTo be co mmensurate to offer customers the option of a 1 year contract, and still make a profit. (presently the two players in the market only offer 2 year contracts)FINANCIAL OBJECTIVESHaving seen that over the past year our competitors, Vodacom and MTN have attained give ins on capital invested of 41 % and 27 % respectively, we impart be aiming for a return of 20 %.MARKETING MIXWe believe that in order to put even a slight dent in the marked we need to be aggressive in our marketing attack. we can proceed with the implementation of our aggressive cellular network rollout, paving the look for us to introduce innovative new competitive service and product packages designed to further expand mobile telephony to the mass market. T. Laham Cell CCEOOur intention is to use a combine of marketing concepts in order to have the best impact i.e. Product concept, production concept and the market concept.Product conceptTo be in a position to offer cell phones and contracts that are in high demand but at the lowest possible price.Production conceptTo be able to offer unique products and offer the best quality and performance (on the 1800 Mhz spectrum.)We will find out what it is the customer wants and ensure that we give it to them in that way we will ensure customer satisfaction.Market conceptCustomer orientation ? The key to customer retention is customer satisfaction. We subscribe to the belief that perceived benefits go beyond product performance, to service quality, company image, sales service and relationships. (after A. Arbee & K. Naidu, Marketing Management)Collaboration ? We believe that it is the mandate of all employees of Cell C to undertake in the marketing of the company, after all if the marketing exercise fails Cell C fails.Competitive Advantage ? We are planning to build the reputations of and maintain successful brands, in this way ensure customers confidence in the brands ensuring repurchases.PRODUCTS AND SERVICESWe will offer all the products our competit ors offer but at a more competitive price.We will offer a 1 year contract to subscribers as opposed to the two year contracts offered by our competitors. (This will be accompanied by a free Siemens phone to the value of +/- R600)We will introduce a wristwatch phone (assuming that the technology is available) ? this will be marketed to children as well as in industry. The watch / phone will have two buttons, an answer key and a Hang up key, these will double up as pre-programmed dial buttons. (maximum of two numbers pre-programmed into the watch) I.e. a child needing to call mom to fetch them will push the pre-programmed button and this will automatically dial mom. Companies could head off those private call cell phone bills and stillkeep in touch with their drivers for instance.We will offer better connectivity and speed for data connection on the 1800 Mhz spectrum.COMPETITORSWe believe it to be of utmost important to be aware of what our competition has done, and are planning to d o. Not only do we have to scar what theyre doing but we have to do it that much better and faster.MTN OverviewMTN ranks as one of the largest GSM networks in the homo with operations in Africa (Rwanda, Swaziland, Uganda and bidding for licence in Nigeria?) and has roaming agreements with 153 networks in 76 countries.In September 1999, M-Cell acquired Orbicom, the largest provider of satellite services in Africa. The company distributes digital signals and manages value-added networks across Africa.The brand has established many world records in performance, includingjudged among worlds top three GSM operators (Financial Times London)product innovation (1st Prepaid in SA, Faxmail, global SMS on internet)MTN is pro-actively channeling resources towards the development of previously disadvantage areasconnecting more than 300 communities to the most modern form of communicationjob creation, skills development and economic empowerment through Community Payphones ProgrammeVodacom Overv iewVodacom started operations during 1994, thence becoming SAs first network operatorIt attracted 50 000 subscribers within the first month (June), the number rising to 100 000 by October of the same year.at once Vodacom owns the majority share of the market (approx. 55%) and services some 3,6 million customersVodacom has won awards for Advertising, Marketing, Corporate Social Investment, amongst others,PMR Golden Arrow and SA non-listed company of the yearVodacom is frankincense far considered a follower, providing products and services in response to MTNs innovationVodacom Corporate StructureVodacom Group (Pty)Ltd shareholders are Telkom SA Ltd 50% Vodafone Airtouch Plc 31,5% Rembrandt Group Limited 13,5% and HCI 5%(After MTN waver 2 presentation)Global mobile phone sales have shot past the total number of PCs soldMobile handsets have potential to cash in ones chips the most dominant device linked to the internet in the futureThe implicationsmore people will have access to the internet as cellular is cheaper than PCvalue added services will become more and more of a competitive edgemore specialization by service providers thus cutting down on customer confusion and finding own niches, e.g.ReferencesHaris, 1996, Piercy, 1997 adapted from article posted on Gmarketing website. Written by J. C. LevinsonDe-mystifying Marketing plans G marketing. D.K SchofieldCompeting for the future Harvard Business Review, July /August 1994-G. Hamel & C.K. PrahaldStrategic Intent Harvard Business Review, May/June 1989 C.K. Prahalad &G. HamelMarketing Management A. Arbee & K. Naidu, Book 1 Marketing Pilosophy and Strategy. 2001/2 edition