Week 5 - First element of assignment (Formative)
Student details: -
Name: Sana Ullah
Student ID# 18150003
Module: Leadership development (MAN 7066)
Selected Organization: Mobilink, Mobile telecommunication limited, a mobile operator multinational company in Pakistan.
PROFILE: - Mobilink (formerly known as Jazz) is a multinational mobile operator company in Pakistan. The head office of the the company is based in the city of Islamabad, Pakistan. The company is founded in 1994, and working in the sector of telecommunication. It is serving more than 2000 cities, towns and villages across the county with 2300 numbers of employees. The company has posted Rs. 101.7 billion in revenue for the first half of 2019, up by 22% from Rs. 82.4 billion during the same period last year.
Mobilink Hierarchy (Organizational Chart)
Marketing Problem of Mobilink: After introduction and Hierarchy, Now it’s time to discuss the challenges and issues that Mobilink facing. In this current situation Mobilink is now facing problems, first of all in the customer satisfaction area because as Mobilink sold over capacity connections in the market already. Secondly with the entry of new market players, Telenor and Ufone (Competitors) there is a tough marketing war is going on and how to target the new potential customers as well as satisfying existing one to retain its market position.
I would like to work with these issues and apply strategies to overcome these challenges.
WEEK-7
ABSTARCT: -
Every organization, whether it is a multinational, private business, government offices, etc. depend on its people. These people with working as leadership or management must be trained and kept motivated, offered good working environment and must be acknowledged at work.
Telecom industry is growing in Pakistan, with new companies getting license the competition is tough as a result the consumer is getting benefit and enjoying cheap call rates. With a huge population of users, telecom is one of the best revenue generated industry. As voice over IP, web conferencing and online video sessions are becoming popular these companies have bright future ahead.
Mobilink GSM, a subsidiary of Orascom Telecom, started its operations in 1994, and has become the market leader both in terms of growth as well as having the largest customer subscriber base in Pakistan - a base of over 28 million and growing. Mobilink prides on being the first cellular service provider to operate on a 100% digital GSM technology in Pakistan that also provides state-of-the-art communication solutions to its customers.
Mobilink offers exclusively designed tariff plans that cater to the communication needs of a diverse group of people, from individuals to businessmen to corporate and multinationals. To achieve this objective, we offer both postpaid (Indigo) and prepaid (JAZZ) solutions to our customers. Compared to our competitors, both the postpaid (Indigo) and prepaid (JAZZ) brands are the largest brands of their kind in the Pakistan cellular industry.
In addition to providing advanced voice communication services that makes the lives of millions that much easy, we also offer a host of value-added-services to our prized customers. At the same time, Mobilink places high importance to its coverage, which is why we cover you in 2000+ cities and towns nationwide as well as over 120 countries on international roaming service. In other words, we speak your language, everywhere. The company has a total number of 23,00 employees, and it has posted Rs 101.7 Billion in revenue for the first half of 2019.
.
MISSION
“To be a superior communication service company in Pakistan which provides the best value to its customers, employees, business partners and shareholders.”
VISION
To be the leading Telecommunication Services Provider in Pakistan by offering innovative communication solutions for our Customers while exceeding Shareholder value & Employee expectations".
VALUES
Commitment to Total Customer Satisfaction:
Customers are at the heart of our success. They have placed their trust and confidence in us. In return, we strive to anticipate their needs and deliver service, quality and value beyond their expectations.
Passion for Business Excellence:
We strive for excellence in all that we do. We aspire to the highest standards and raise the bar for ourselves every day. This commitment to delivering world-class quality translates into unmatched service and value for our customers and all stakeholders.
Trust & Integrity:
At Mobilink, we take pride in practicing the highest ethical standards in an open and honest environment, and by honoring our commitments. We take personal responsibility for our actions, and treat everyone fairly, and with trust and respect.
Respect for People:
Our relationships drive our business. We respect and esteem our employees and all stakeholders.
We believe in teamwork, empowerment and honor.
Responsible Corporate Citizen:
As the market leader, we recognize and fulfil our responsibility towards our country and the environment we operate in. We contribute to worthy causes and are dedicated to the development and progress of the society.
PRODUCTS
Mobilink offers both Pre-paid and Post-paid services.
They offer tariff plans that are exclusively designed to cater to the communication needs of a diverse group of people, taking into account occasional users to businessmen. To achieve this objective, they offer both postpaid (Indigo) and the prepaid (JAZZ) services to their customers.
Jazz is an amazing prepaid service that allows freedom from monthly bills and gives complete control over the customer’s cellular expenditure. The user can decide in advance when and how much he wants to spend. He can load a scratch card whenever he wants to and start talking. Jazz is simple, easy and loads of fun. not only Indigo and jazz mobilink have 13 more products given below,
1.
Mobilink Indigo
6.
Mobilink TV
11.
PIA Reservations
2.
Mobilink Jazz
7.
Mobilink Game ON
12.
Stock Watch
3.
Mobilink BlackBerry
8.
Jazz Cricket SIM
13.
Fax Mail
4.
Mobilink PCO
9.
Conference Bridge
14.
Corporate SMS
5.
Mobilink WiMAX
10.
PSO Cards
15.
SMS Advertiser
In addition to providing advanced voice communication services, Mobilink also offers a number of value added services to their valued subscribers.
MARKET SHARE
As of May 2019, PMCL (Jazz) held largest market share in Pakistan with 36.98 percent of mobile subscribers in Pakistan, followed by Telenor with 27.65 percent.
CORPORATE SOCIAL RESPONSIBILITY:
Mobilink Foundation:
Mobilink Foundation was established in December 2007 it reflects the commitment of Mobilink and its employees to benefit the community. The Mobilink Foundation is a grant-giving organization, which provides support for the local community not only financially but also through dedicated volunteer hours. Volunteers are their best asset and by aligning their efforts with those of the Foundation Mobilink enable the Mobilink Foundation to meet its objectives in a united way.
1) Health and Education
2) Trochbearers
Mission statement “Our vision is free access to education for children and primary healthcare for all Pakistanis.”
MAJOR PROBLEMS WITH MOBILINK
1) HIGH PRICING
Although Mobilink is covering whole Pakistan but its call rates are high and network quality is poor. These are the two major issues which brought Mobilink’s market share down to 36.87% in 2019 from 36.92% in previous year.
2) ADVERTISING & MARKETNG
Fewer advertisements now days shows that Mobilink is taking out its investment from marketing &its advertising is not active up to the mark. However, if we compare it with Telenor, Zong and Warid we’ll realize that they are heavily marketing their products.
3) POOR NETWROK & BAD QUALITY OF SERVICES
Mobilink’s network mostly remains busy in thickly populated cities such as Karachi, Lahore and Multan so people face a lot of difficulty while trying to connect to their friends and families. Even in few areas there is still no coverage of 3G/4G Mobile internet service. However, Telenor network provides crystal clear voice quality so many of Mobilink’s customers (including me) have shifted to Telenor.
RECOMMENDATIONs: -
· PRICING STRATEGY
Pricing strategy plays a very important role for a share in a market where competitors giant is already working and moving forward. Mobilink must implement low pricing strategies to reach their goals in this tough game of competition. Pakistan population mostly contains the middle class and working class people. In this view of low pricing strategy for Mobilink can get the attention of many customers. Mobilink have to use dynamic pricing strategy and market penetration pricing strategy to meet the needs of its customers and to face competitors. ARPU (Average Revenue Per User) starts from around Rs. 232 in 2019, however, average MBs used per month per user almost doubled from 464 MBs per user per month to 821 MBs per user month. On the other hand, Telenor and Ufone offering 2000 MBs of Data at just Rs. 150. In Tariff comparison, Telenor is charging R.s 1 per minute, while Mobilink is charging Rs. 1.50 per minute. With current pricing policy Mobilink is losing its customer attraction from both sides, existing customers and as well as new potential customers. The shocking fact is company has reduced its operating expenses by 5%, while they are following the revenue generating by 6% for last 2 years, and that’s become the reason of high pricing of its products.
Customer complaint recovery system is too slow, Mobilink has categorized its customers in different segments:
Segment 1 (Bronze I, II, New Users)
Segment 2 (Silver)
Segment 3 (Gold I, II, Platinum)
According to this segmentation, the customers who belong to Gold/Platinum can get urgent assistance regarding to any service issue within a day, Silver users will get help from 1-2 days, while the Bronze users will have to wait for 1-5 days to resolve their problems. Whereas, fact is the most number of users are belonging to Bronze, Silver and then Gold respectively. Mobilink should direct segments to different teams of technical support that will provide equal assistance to all users at a time. They need to categorize their technical support teams as well to cop better with customer’s problems.
Mobilink can lower its call rates, SIM charges, Mobitune charges, GPRS charges and other extra charges in order to capture a larger market to make business difficult for rival companies. In this way it can segment a larger market and may capture the customers of low income group as well.
· ADVERTISEMENT & MARKETING
Through proper advertisement also Mobilink can target as many customers as it can in order to augment and give support to its falling market share.
Mobilink can develop a stronger market by focusing on segments such as teenagers, adults, office workers, girls and ladies as well as old people by offering innovative packages.
These packages could be offered keeping in view the time consideration as well as pocket of each segment. These packages could be at low cost for teenagers and grand parents as their pocket is small but could be little expensive for the rest.
Moreover, Company should adopt proper advertisement and marketing channels. Social media (Facebook, YouTube, Instagram, Twitter etc.) is biggest tool to attract new customers and a way to improve company sales and revenues, even these channels provide excellent marketing and advertisement facilities at cheaper price with high speed to specific targeted group of people.
Pakistan is an Islamic country with strong culture background, people celebrate their religious and cultural festivals warmly and regularly, even there are many national celebrations as well where people, especially youth are being seen participating actively. By these occasions, Mobilink can run advertisement and marketing campaigns to attract more and more customers. Mobilink should also sponsor these events with its official Logo. Another efficient way to attract new potential customers is to sponsor sports events nationally and internationally, as cricket is being most favorite sports of the nation.
SMS and Email marketing is also a better tool used by different telecom companies to promote their business and get more and more customers.
· POOR NETWROK & BAD QUALITY OF SERVICES
Mobilink is the largest mobile telecom operator in Pakistan in terms of market share and users, but it has been fined by government for its bad services. It may be a big question mark of its quality and being a good player in competition among others. Due to heavy traffic of users, users often face network issue to use services properly. There are still some areas in province of Baluchistan and Khyber Pakhtunkhwa that are fully out of coverage, in those area few locations are well populated and people using mobile phone operating services. Even in thickly populated cities like Karachi, Lahore, Multan and Faisalabad people face a lot of difficulty while trying to connect to their family and friends
Mobilink’s network mostly remains busy in thickly populated cities such as Karachi, Lahore and Multan so people face a lot of difficulty while trying to connect to their friends and families. However, Ufone’s network provides crystal clear voice quality so many of Mobilink’s customers (including me) have shifted to Ufone.
Mobilink has been fined twice by Pakistan Telecommunication Authority over its bad service. It must try and emphasize on providing better services to its customers instead on concentrating only on expansion.
Mobilink must use Frequent advancements in telecommunications technology, means Mobilink must well prepare for shorter and shorter upgrade cycles to bring the latest technology to its users.
Mobilink must also continually increase their networks’ capacities to handle more traffic, particularly due to today’s demand for data in both existing and potential markets. These expenses will convert in revenue as new potential customers will join the network.
Mobilink must maintain telecom inventory consists of all the hardware, propriety and licensed software, phones and digital assets a business uses to conduct daily communications. In total, that telecom inventory for the average company today might incorporate many of the following:
· Wireline phones and devices
· Wireless phone, smartphones and devices
· Voice over internet phones
· Software licenses
· Telecommunications network hardware
· Network surveillance and entry technology
· On-premise, hosted or hybrid cloud services
REFERENCES
· https://www.statista.com
· https://www.pta.gov.pk/
(Pakistan Telecommunication Authority, Published Data)
· https://www.jazz.com.pk/
(Official Website of Mobilink Jazz, Published Data)
· www.scribd.com (Articles and Blogs)
· https://www.infopulse.com
· https://www.propakistani.pk
· https://www.phoneworld.com.pk/
CHIEF EXECUTIVE OFFICER
Chief HR Chief Technical
Head of Marketing
Director Brands
Senior Manager
Managers
Assistant Managers
Chief Commercial Chief Financial
Director Internet Director Pricing