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American International University Bangladesh

Principals of Marketing

Assignment Topic
“Marketing Mix (4 P’s) Analysis and Competitors
Evaluation: A study on “Grameenphone” Company Ltd”

Course Instructor
Mr. Hamidul Islam

Groups Members name


BRIGHT COSTA ID:09-14293-2
Letter of Transmittal
Date: 02 August 2010
Md. Hamidul Islam
Course Instructor
Principles of Marketing

Dear Sir,

It gives ours immense pleasure to submit a report on “Grameenphone”. This report is


submitted as a partial fulfillment as a part of our course. The preparation of the report
has given ours and insightful experience and in-depth knowledge on ‘Grameenphone
Company in Bangladesh. We have given our best effort to make it a worthy one and each
aspect of the problem is considered and studied as required.

If any confusion arises or further explanation is needed, we shall be available to explain


the matter to you as and when required despite when required despite having limitations.
Your benign and authoritative advice will encourage us to conduct further flawless
research in future.

Yours sincerely,

BRIGHT COSTA ID: 09-14293-2

ACKNOWLEDGEMENT
This marketing plan is prepared on the basis of the assignment given by Md. Hamidul
Islam, lecturer of the American international university of Bangladesh.
While preparing the report, We acknowledgement the encouragement and full guidance
given by my course instructor .without his relentless support, it would have been
impossible to conduct this study. We express my gratitude to our instructor for providing
us detailed feedback and technical assistance on the report.

Besides, a number of people and institutions are to be thanked


Chapter 1: Introduction

Company Overview

Grameenphone (গামীণোফান), widely known as GP, is the leading telecommunications


service provider in Bangladesh . With more than 20 million subscribers (as of June 2008),
Grameenphone is the largest cellular operator in the country. It is a joint venture
enterprise between Telenor and Grameen Telecom Corporation, a non-profit sister
concern of the internationally acclaimed microfinance organization and community
development bank Grameen Bank. Telenor, the largest telecommunications company in
Norway, owns 55.8% shares of Grameenphone, Grameen Telecom owns 34.2% and the
remaining 10% is publicly held.

Grameenphone was the first company to introduce GSM technology in Bangladesh. It


also established the first 24-hour Call Center to support its subscribers. With the slogan
Stay Close, stated goal of Grameenphone is to provide affordable telephony to the entire
population of Bangladesh.

History

The idea of providing wider mobile phone access to rural areas was originally conceived
by Iqbal Quadir, who is currently the founder and director of the Legatum Center for
Development and Entrepreneurship at MIT.\He was inspired by the Grameen Bank
microcredit model and envisioned a business model where a cell phone can serve as a
source of income. After leaving his job as an investment banker in the United States,
Quadir traveled back to Bangladesh, after meeting and successfully raising money from
New York based investor and philanthropist Joshua Mailman, and worked for three years
gaining support from various organizations including Nobel Peace Prize laureate
Muhammad Yunus of Grameen Bank and the Norwegian telephone company, Telenor.

He was finally successful in forming a consortium with Telenor and Grameen Bank to
establish Grameenphone. Quadir remained a shareholder of Grameenphone until 2004.

Grameenphone received a license for cellular phone operation in Bangladesh from the
Ministry of Posts and Telecommunications on November 28, 1996. Grameenphone
started operations on March 26, 1997, the Independence Day in Bangladesh.

Grameenphone originally offered a mobile-to-mobile connectivity (widely known as GP-


GP connection), which created a lot of enthusiasm among the users. It became the first
operator to reach the million subscriber milestone as well as ten million subscriber
milestone in Bangladesh
November 28, 1996: Grameenphone Ltd. received cellular license by the Ministry of
Posts and Telecommunications of Bangladesh.

March 26, 1997: Grameenphone launched its service on the Independence Day of
Bangladesh.

June 1998: Grameenphone started its services in Chittagong, the second largest city and
the port city of Bangladesh. Cell to cell coverage between Dhaka-Chittagong was
established.

1999: Grameenphone started its service in Khulna, the industrial city of Bangladesh. Also
cell to cell coverage between Dhaka and Khulna brought a number of other districts
under coverage.

2000: Grameenphone started its services in Rajshahi, the education city of Bangladesh.
Service also started in Sylhet and Barisal and thus all six divisional headquarters got the
cellular network coverage for the first time Bangladesh.

August 2003: Grameenphone's subscribes base has become more than one million.
Grameenphone became the first operator in the country to reach the million subscribers.

November 2005: Grameenphone registered more than 5 million subscribers.

November 5, 2006: Grameenphone crosses the 10 million subscriber mark after almost
ten years of operation.

September 20, 2007: Grameenphone reaches 15 million subscribers mark.

June 2008: Grameenphone reaches 20 million subscribers landmark.

Iqbal Quader
Oddvar hesjedal (Founder of GP)
(CEO of GP)
Logos of grameen phone:

Vertical logo:

Horizontal logo:

Company Vision

We are here to HELP


We exist to help our customer get the full benefit of communication services in their
daily life. We want to make it easy for customer to get what they want, when they
want it.

Company mission
The vision will be achieved by

1) connecting Bangladesh with ease and care


2) being user-friendly
3) providing value for money
4) providing simple and timely connections
5) having a right understandable process

CHAPTER-ONE: Objectives of the study


Broad objective

Products marketing strategies and competitors evaluation: A study on


GRAMEENPHONE ltd.
Specific objective

The objective of this study is to have a clear idea of grameenphone and to find the
limitations of the tasks carried out all sector of the grameenphone.

A) To find the business portfolio of GP.


B) To know the marketing strategy of GP.
C) Know the price of GP products
D) Communications process
E) Distributions system
F) Last year products performance.

Limitations of the study

in every research work there are some limitations faces when conducting different
activities. In the process of research work we also faces certain limitations that
hampers our general activity. some of this notable limitations are-

- The report has been conducted within a short time frame

- The study is mainly focused on product marketing strategy on


GRAMEENPHONE in Bangladesh but it is foreign company. But here we
emphasizing on GP in Bangladesh. so being concerned only within the GP in
Bangladesh seems to us limitation of a study.

- GP Headquarters is located in Gulshan . But they are very busy with their regular
task, so it becomes quit difficult for them to give time in outside. And also there
are some rules and regulation so that we can not enter the head office. So that we
have to talk with their customer center officer. that was a big limitation to us.

- GP it is huge company and there are lot of employers and customer care center is
also available. the study conducted can be hampered as the marketing strategy of
GP can not be covered at the short time. We got only 2-3 weeks for preparing this
report. It could be a limitation of the study.

- We faced a big problem by doing this report that is electricity problem that take
lot of time.

CHAPTER-2: Methodology of the Study


2.1: SAMPALING PLAN
-Sampling procedure:

The Sampling procedure has been conducted on the deliberate sampling method has
used where the respondents interviewees considered on my convince and priority.

-Sampling unit:

In order to carry out the research work, the study was focused on taking the
interviews of the personnel involved in the GRAMEENPHONE Company.

Number of respondents: 20
Age range: 20-35
Occupation: student, teacher, house wife, service holder.
Economic status: Higher middle class.
Geographical location: Gulshan, Baridhara, Banani, Dhanmondi, Santinogor,
Framgate.

2.2: Data collection techniques:

Questionnaire:
Unstructured and open-ended Questionnaire (please see appendix) we asked to the
different people in the different areas of Dhaka city to find whether they are satisfied
with GP performance or not.

Observations:
When we visited the Gulshan office of GP that time we used our own observation to
collect certain pieces of information about their product marketing strategy,new
product performance as well as up coming product.

Secondary information:
Secondary information has collected by reviewing websites and some articles printed
time to time and other relevant documents.

2.3: sources of data collection:

Primary:
The primary information is gathered through internal of the employees working over
there under GP center.

Secondary:
Secondary information sources had also used to collect information.
Sources include:
-Different articles, index of GP.
-Visiting website of Grameenphone official company.

CHAPTER-3: FINDING AND ANALYSIS


MARKETING MIX

Marketing Mix is the set of controllable tactical marketing tools the firm blends to
produce the response it wants in the target market. The marketing mix consists of
everything the firm can do to influence the demand for its product. The many possibilities
can be collected into four groups of variables known as the “four Ps”: product, price,
place, promotion. Figure shows the particular marketing tools under each p.

Product Price
Variety List price
Quality Discount
Design Allowance
Features Payment period
Brand Name Credit terms
Packaging
Services Target
Customers

Intended
Promotion Positioning Place
Advertising Channels
Sales proportion Coverage
Public relation Assortments
Personal selling Locations
Inventory
Transportation

Marketing Mix
Product means the goods and services combination the company effect
Product that offers to the target market for attention, acquisition, use, or
consumption that might satisfy a want or need.

Price is the amount of money charged for a product or service, or the


Price
sum of the values that consumers exchange for the benefits of having or
using the product or service.
Place Place includes company activities that make the product available to
target consumers.

Promotion Promotion means activities that communicate the merits of the product
and persuade target customer to buy it.

Grameenphone Product Mix

A product is anything that can be offered to a market and that is potentially valued by a
target market for the benefit or satisfactions it provides, including objects, services,
organization, places, people and ideas.

As in a service providing business Grameenphone provides different types of service in


its market as its products. In telecommunication business coverage and quality is more
important than the number of product or service offered. With its best coverage and good
quality Grameenphone has become the number one mobile operator in Bangladesh.
Grameenphone has categorized its products in two types. These are
1. Standardized and
2. Customized Products.
Standardized Product

Standardized Product also has been divided into two types: Pre-Paid and Post-Paid.

 Pre-Paid
The brand name of prepaid products is Smile Prepaid Standard and Smile (Mobile to
Mobile).
• Smile (Prepaid Standard)

• Shohoj Package

• Aapon Package

• Bondhu Package

Smile Standard prepaid allows consumers to make and receive ISD and NWD call in
all telecom operators.

• Smile (Mobile to Mobile)

Smile Mobile to Mobile allows its consumers to make and receive call from any mobile

 Postpaid

• Xplore

Xplore is the brand name of post paid product of Grameenphone. It is categorized in


two types: Xplore Package 1 and Xplore Package 2. Both of these Post-paid products
has BTTB (Local, NWD, ISD and Economy ISD) connectivity, Flexible Credit
Policy, Wide collection of value added service (SMS, EDGE, Welcome Tune, Voice
Mail, Voice SMS) and International Roaming facility.

Customized Product
“Business Solution” is provided as a customized service to different medium and large
organization and Professionals. This customization allows interesting call and sms charge
among the member of the organization, fax and internet service within the organization
branch. The customized service of one organization is never told to other or disclosed.
Separate Strategic Business Unit (SBU) is responsible for the success of each of this
product. As the way, this organization has proved that SBU is important for the success
of a product in its market.
Interestingly “d-juice”, which is claimed as a life style brand of Grameenphone, is not
mentioned with this product line.

Different types of value added services are provided with these products as product
feature.

Value Added Services


With Grameenphone’s VAS, consumer can use mobile phone for many other purposes
than making voice calls. With Grameenphone’s VAS, consumer can use mobile phone to:

• Send and receive text messages, picture messages, voice messages


• Download ring tones, logos, wallpapers
• Obtain news updates, cricket score updates
• Browse the Internet and also send and receive e-mails
• Transfer data and send fax
• Participate in competitions and vote for opinions
• Health line services.

Branding

The name or names that identify a company’s products can be very important in
positioning them. The brand name distinguishes a product from competitor’s
products. A strong brand identity creates major competitive advantages. A brand
that is recognized by buyers encourages repeat purchases. Grameenphone is
successful in its products branding. All most every prepaid mobile phone user is
aware about its “Smile” prepaid package and business consumers are aware about
“Business Solution”. This Branding images comes from good quality of
Grameenphone’s products as well as its high promotion activities. Corporate
branding places primary emphasis on building brand identity using the corporate
name. Grameenphone has become a corporate name in telecommunication business
in Bangladesh. Corporate branding offers the advantage of using one advertising
and sales promotion program to support all of the firm’s products. And it is often
found in Grameenphone advertisements. Corporate branding has become a branding
strategy because the product offering is relatively narrow in telecommunication
business.

Grameenphone’s Strategic Analysis of Existing Products

Grameenphone regularly evaluates the performance of its product. This evaluation of the
performance of the product portfolio provides its management with diagnostic
information to guide its strategies for new products, product modification, and product
elimination. But the strategic analysis of existing products requires tracking the
performance of the products in the portfolio, as shown below:

For tracking product performance Grameenphone’s management first establish the


criteria and levels of performance for gauging product performance. These include both
financial and non financial factors. Because of the various demand and cost
interrelationships among products, an information system is established to measure how
well a particular product is doing. The purpose of this tracking system is to maintain a
product review process that will help to spot problem products or products features.
Grameenphone’s management uses the diagnosis to help select a strategy for eliminating
the problem. Action includes adding new products, cost reduction, product improvement,
marketing strategy alteration or product elimination.

• Product life cycle analysis

The length of product life cycle is shorter in telecommunication business. So in a few


years Grameenphone’s products moved from its introduction in to the growth stage
and it is now in maturity stage. This first movement through the product life cycle
also creates the need to alter the cycle by introducing new products or products
feature.

• Product portfolio analysis

Grameenphone’s strategic analysis of the products portfolio determines if each


product is measuring up to management’s minimum performance criteria, and
assesses the strength and weaknesses of the product relative to other products in the
portfolio.

Portfolio grids highlight differences among products. After identifying the relative
attractiveness and business strength of the products in the portfolio, a more
comprehensive analysis of specific performance factors may be appropriate,
including:

• Profit contribution.
• Barriers to entry.
• Sales fluctuations.
• Extent of capacity utilization
• Responsiveness of sales to prices, promotional activities, service levels,
and other influences.
• The nature of technology (maturity, volatility, and complexity).
• Alternative production and process opportunities.

Several of these factors are included in the grid analysis when composite grid dimensions
are used.

Grameenphone’s Strategy for existing products

Cost reduction, product alteration, product elimination works as a strategy for existing
products within this organization.

• Cost reduction

Grameenphone’s lower cost comparatively its higher class products quality give this
company major advantage over the competition. Grameenphone’s technological
innovation, marketing productivity and high volume consumer helps to maintain this
lower cost.

• Product alteration
Products are often improved by changing their features and quality. A number of
features are included with Grameenphone’s products. And these features provide a
way of differentiating a brand against competition. In November, 2006
Grameenphone renamed its products as Easy to Smile; Regular to Explore. A number
of new features also have been added with these products in that time. But
consumer’s preferences suggest that quality is more important than features in the
choice of taking connection. So quality improvements are also considered as an
important strategy for increasing competitive advantage.

• Product elimination

In deciding to drop a product from product line, Grameenphone’s management


considers variety of performance criteria in addition to the product’s sales and
product priorities. In November, 2006 Grameenphone eliminates some of its products
from product line such as Any Time-300, Any Time-450 and Any Time-500. But
product elimination is a very important decision that is thoroughly evaluated by
Grameenphone’s management. Because Grameenphone’s core value is “Make it
easy”. Those similar type of products confused customer. There fore these have been
eliminated so that consumers feel easy to use Grameenphone’s products.

Grameenphone’s corporate culture committed to provide good quality services .It


believes that quality improvement is an organizational responsibility. So this will
continuingly introduce good quality services or product comparatively minimum price.
Analyzing the Pricing Situation of GP:
• Price Elasticity:

It is the percentage change in the quantity demanded when price changes, divided by the
percentage change in the price. GP has gained high price elasticity in the market.

• Non-price factors:

The Gold holders pay a high amount of money in buying to get the high facility.
• Cost Analysis:
Product cost provides essential information for pricing decisions. To analyze cost, GP
uses the following steps:

• Competitor Analysis:

Aktel is the major competitor of GP as it is consistent in its rates and facilities and gain a
most part of the market shares although Banglalink has more promotional activities and
call charge, they have not been able to hold the market yet. GP fixes its competitor on the
basis of market share. They fix price in keeping pace with the competitors’ price and their
probable responses to an alternative price strategies.

• Legal Anbd Ethical Ckonsiderations Of GP:

Price fixing in channels of distribution:

GP provides its distributors at low cost. In pricing the channels of distribution, it has
discrimination.

Price information:

GP publishes articles and advertisements in all national dailies and television about the
form and the availability of price information for the customers.

Price of Different Offers of GP at A Glance:


XPLORE PACKAGE 1

Tariff and line rent

GP-GP Any Mobile F&F BTTB (local/NWD/ISD) SMS Charge

(4 P.m. - 12 p.m.)
24 hours
TK.1.30/min
TK 1.30/min
F&F: Tk.0.50
Incoming: Free
4 F& F GP: Tk.1.00
TK 0.49/min Outgoing:
International:
TK 1.30/min
12 pm-4 pm Tk.2.00
TK 0.49/min

Line Rent: Tk.50/month (This fee too will be waived if the subscribers' monthly airtime
usage exceeds BDT 450)

BTCL Incoming is absolutely free for Xplore :

• 1 sec pulse from 1st minute onwards for all numbers except F&F

• 60 sec pulse from 1st minute onwards for F&F

• NWD calls: BTCL's Peak (8am - 10pm) & Off-peak (10pm - 8am) rate will be
applicable for BTCL charge

• All figures are excluding VAT. 15% VAT will be applicable.

• XPLORE PACKAGE 2:

Package 2 has come up with a very attractive and competitive tariff.

BTTB Incoming is absolutely free for xplore Package 2.

No Monthly Access Fee/Monthly Line Rent

Monthly Package Fee (Minimum Usage): Tk.1000


BTTB
Tariff F&F (local/NWD/ISD) SMS Charge

GP mobiles (6
am -1 am) Incoming: Free F&F: Tk.0.50
Tk.1.50/min
GP mobiles (1 Outgoing: GP GP: Tk.1.50
Tk. .30/min* Tk.1.0/min
am -6 am) Tariff + BTTB
charge (Local/ Other Operator:
Tk.1.50/min
Other operators NWD/ ISD) Tk.2.00
(24 Hrs)

* Promotional Tariff

New Prepaid Price Plans


Grameenphone brings you a new prepaid connection only at Tk 149 with a bonus
talktime of Tk 50. You will get a bonus talktime of Tk 20 instantly after recharging. This
connection, gives you the freedom to choose amongst the three exciting offers – Shohoj,
Bondhu and Aapon. You also have the option to move into the djuice package.

Special packages for new prepaid connections

Shohoj Package: Grameenphone prepaid connection comes with this pre-activated


package where you will be able to talk to any operator number at a low, flat rate of Tk
0.79. You can also send SMS at Tk 1/SMS to any operator ( GP/ others) number.

Time GP-GP GP-Other Operators


Voice call 24 Hours Tk. 0.79/min Tk. 0.79/min
SMS Tk. 1.00/SMS Tk. 1.00/SMS

Aapon Package: You will be able to talk to over 23 million Grameenphone numbers at a
low rate. The package offers the following features:

Time GP-GP GP-Other Operators


Voice call Morning Time: (8 am-12pm) Tk. 1.25/min Tk. 1.49/min
Day Time: (12pm-4pm) Tk. 0.49/min Tk. 1.49/min
Evening Time: (4pm-12 am) Tk. 1.25/min Tk. 1.49/min
Night time (12am-8 am) Tk. 0.49/min Tk. 0.99/min
3 FnF (Voice call) 24 Hours Tk. 0.49/min Not Applicable
SMS Tk. 1.00/SMS Tk. 1.00/SMS
SMS (FnF) Tk. 0.50/SMS Not Applicable

This package gives you the privilege of calling 3 FnF numbers at Tk 0.49 and sending
SMS at Tk 0.5 ( GP-GP, GP-other operator at Tk 1/SMS)

Bondhu Package: This package with the highest number of F&Fs allows you to talk to
your near and dear ones at the lowest rate. This package gives you the privilege of calling
7 FnF numbers at Tk 0.49/min. You can calls to all other numbers (Other than the seven
FnFs) are BDT 0.99 per minute. SMS rates are BDT 0.50 per SMS to FnF numbers and
BDT 1 to other GP-GP and other operator numbers.

Time GP-GP GP-Other Operators


7 FnF (Voice call) 24 Hours Tk. 0.49/min Not Applicable
Voice Call 24 Hours Tk. 0.99/min Tk. 0.99/min
SMS Tk. 1.00/SMS Tk. 1.00/SMS
SMS (7 FnF) Tk. 0.50/SMS Not Applicable

• International SMS:

Any GP user can send SMS to more than 100 million GSM subscribers all over the
world. It costs much less than making a call and is quite convenient to send.

Tariff:
Product djuice On-Net Off-Net International SMS
Smile BDT 1.50 BDT 1.50 BDT 2.00 BDT 2.00
Smile PSTN BDT 1.50 BDT 1.50 BDT 2.00 BDT 2.00
Post paid BDT 1.50 BDT 1.50 BDT 2.00 BDT 2.00
djuice BDT 0.50 BDT 1.00 BDT 1.50 BDT 2.00

News service:
GP provides news and sports update.

Tariff:

BDT 2.0 MP3 tones


• Grameenphone EDGE
Grameenphone offers EDGE (Enhanced Data Rates for Global Evolution), an advanced
mobile technology which enables high-speed mobile Internet and data services. It is
about 8 times faster than GPRS.

Tariff Structure

PACKAGE 1 PACKAGE 2

Subscribers ALL Post Paid Only


Monthly Access Fee None BDT 1,000.00
Browsing Charge BDT 0.02 / kb NIL
Content Download As per content As per content

Pricing: The following table shows price of different contents offered by GP:

Contents Price (in BDT)

1 Poly tones 15
2 True tones 20
3 Wallpaper 10
4 Animation 10
5 Color Logo 10
6 J2ME Games 40
7 Video Clips 30
8 Themes 20
Grameenphone Distribution Mix

 Importance Of Distribution In GP:

To perform the above task effectively GP uses its own distribution channels, which are
distinguishable from others. When initially selecting a channel of distribution for a new
product, the pricing strategy and desired positioning of the product may influence the
choice of the channel. Once the channel of distribution design is complete and
responsibilities for performing the various marketing functions are assigned, these
decisions establish guidelines for pricing, advertising and personal selling strategies. GP
is very much efficient in establishing these types of strategies. It helps them to maintain
an exclusive distribution channel to serve the end-users.

 Mission Of GP’s Distribution Strategy:

The motto of GP in establishing distribution channels is: to be the nearest of the


customers. And exactly their motto is realistic. GP is the nearest company of the
customers. It has opened all the doors to serve their customers most conveniently.

 Overview Of GP’s Distribution System:

The number of GP owned distribution centers all over the country is around 18. The
centers serve customers directly and deal them with guidelines and advices to make the
communication through network system easier and quicker. Besides there are around 60
franchises spreading all over the country right now.

These franchises deal with the customer problems and requirements; they gets complains
from customers, they collect creative suggestions from the valuable customers. And other
channels- such as dealers, retailers- are making the products and services of GP more
diversified to the customers.
GP has not come to its present situation instantly. Various types of changes incurred
during the years of its business. We will see the different channels at different time period
one by one.

Initial Distribution Channels

From the beginning of the business of GP, it supplied its SIM to the distribution centers.
Dealers got the product from the centers and sold those to retailers. The retailers, at last,
sold the product to end users. This was a traditional channel. Sometimes, end-users
purchased products from dealers as a whole to minimize the purchasing cost. Company
did not sell directly to the customers at that time.

Only three years ago GP introduced a new and convenient channels of distribution to
overcome the traditional system. The two tails of the channel is the most attraction part to
the customers.

Through around 30 distribution centers, GP distributes all key parts of the country.
Dealers, as an intermediary, purchase the products from the centers and disburse those to
two types of retailers. One is – exclusive retail outlet and another one is – non-exclusive
retail outlets are permitted to sell the products of only GP. They are the guaranteed or
authorized retailers. Non-exclusive retail outlets can sell other companies’ product as
well as they have no relation the customers or end-users buy products from either of two
types of retail outlets. They get the product or service of company in the most convenient
way at the student time period.

Grameenphone Promotional Mix


Grameenphone uses promotional activities that communicate the merits of the product
and persuade target customers to buy it. Grameenphone can succeed to acquire more than
10 million customers as of December 2006 not only providing good service but also
using high frequency promotional activities. Grameenphone uses most of the promotional
tools to give message for its customers on the new product & existing product and
product features. Grameenphone must do more than make good product- they have to
inform customers about product benefits and carefully position products in consumers’
mind. To do this Grameenphone promotes the promotion tools are:

Grameenphone Promotional tools

Advertising Sales Promotion Personal


Public Relation
Newspaper Selling
Television Inside Sales
Radio Publications Force
Magazines Price packs Events
Newslette News
Cash Refund Offers
r Sponsorships
Prizes
Internet Public service
Patronage Award
activities
Premium
Price Offs Identity Media

 Grameenphone Advertising process :

Any paid form of nonperson presentation and promotion of ideas, goods or services
by an identified sponsor. Grameenphone advertising can introduce the company and
the products. If the product embodies new features, advertising can explain them.
Advertising can remind customers of how to use the products and reassures them
about their purchase.

• Grameenphone Advertising Objectives:

Grameenphone uses advertising as a promotional tool to make a communication task


to be accomplished with a specific target audience during a specific period of time.
Grameenphone Advertising objectives
Informative advertising
Telling the market about a new product
Suggesting new uses for a product
Informing the market of a price change
Explain how the product works
Describing available services
Building a company image
Persuasive Advertising
Building brand preference
Encouraging switching to Grameenphone
Changing customer’s perception of product attributes
Persuading customer to purchase now
Persuading customer to receive a sales call
Reminder Advertising
Reminding consumer that the product may be needed in the near future
Reminding consumer where to buy it

• Grameenphone Advertising tools:

Grameenphone uses different types of media to acquire different types of objectives.


To select media depend on the target audience, product characteristics, message
characteristics and cost. The advertising tools that grameenphone uses as a media to
communicate with the existing and potential customers are:

o Newspapers
Newspaper covers all sorts of information about grameenphone’s product. It mainly
covers the informative and reminder advertising.

Target audience Message characteristics Duration Cost


Literate people. Flexibility, high believability Short life Lower

o Television

Television is an effective media for good mass-market coverage. Television telecasts


messages about new product and it is mostly used for persuasive advertisement.

Target audience Message characteristics Duration Cost


All types of High attention, high reach, high Long life High
people but clutter
teenagers
influences more

o Radio
Within a lower cost, grameenphone broadcast their massage through radio. It is a
better way for persuasive advertisement.

Target audience Message characteristics Duration Cost


All types of people Audio presentation only but usage Relatively Lower
but teenagers mass and cover high geographical area. short life
influences more.

o Magazines

An effective media that grameenphone uses as a promotional tool to achieve the


customer’s awareness about grameenphone and its product. It is an effective media
for informative and persuasive advertisement.

Target audience Message characteristics Duration Cost


Middle and Upper- High-quality reproduction, credibility long life Medium
income audience. and prestige.

o Newsletters

Grameenphone publishes newsletter regularly to inform existing customer as well as


potential customer about company’s recent activities and offer.

Target audience Message characteristics Duration Cost


Loyal Very high selectivity, full control. Short life Relatively
consumers and low cost
interest persons

o Internet
Internet performs effective promotional tools grameenphone advertising. It gathers all
sort of information about grameenphone.

Target audience Message characteristics Duration Cost


Internet browser High selectivity, interactive Long time Relatively
possibilities. still update low cost

 Grameenphone Sales promotions Process :

Grameenphone uses sales promotions that consist of a diverse collection of incentive


tools, mostly short term, designed to simulate quicker or greater purchase of
particular products or service by consumers or the trade.

• Grameenphone Sales Promotion Objectives:

Sales promotion tools vary on their specific objectives. Grameenphone uses sales
promotion to acquire broader promotion objectives:

Grameenphone Sales promotion objectives


For consumer
Encouraging purchase of large sized units.
Building trail among nonusers
Attracting switchers away competitors’ brand
For retailers
Persuading retailers to carry new items
Encouraging stocking of related items
Offsetting competitive promotions
Building brand loyalty
Gaining entry into new retailers outlets
For the sales force
Including encouraging support of a new product
Encouraging more prospecting
• Sales promotion tools:
Many tools can used to accomplish sales promotion objectives. Describes of the main
consumer, trade and business tools that grameenphone uses as short-term incentives
to encourages the purchase the product follow:

o Price-packs:
Nokia handset festival @ GPC’s
Grameenphone Ltd. kicked off the first handset bundled promotion at its
Grameenphone Centers around the country. Under this promotion free GP
connections and bonus talk time, Tk.660 to Tk.2000 depending on handset, are being
offered with select popular Nokia models.

o Cash Refund Offers:

thankyou
thankyou is grameenphone way of expressing their gratitude, because not only has
consumer loyalty touched us but has also made grameenphone the preferred mobile
operator. Grameenphone thankyou program provides consumer with a number of
rewards that will make consumer mobile phone experience with gramophone even
more satisfying.

o Prizes:
grameenphone pothe pothe utchob
Grameenphone’s mobile transport travels all around the country and arranges
different types of amusing game/contest for their loyal customers and offers attractive
prizes who win the game /contest.

o Patronage Awards:
thankyou crown, Be Special, Be crown
Grameenphone offers the prestigious thankyou crown membership to especially cater
to you. To enrich your life, grameenphone offers premium services and exclusive
discounts.

Average Monthly Usage Over Last Six Discount on SIM


Membership
Months Replacement
Platinum BDT 6500 and above 100%
Gold BDT 4500 to below BDT 6500 75%
Silver BDT 2500 to below BDT 4500 50%

You will also enjoy exceptional service at all our customer touch-points. Just
introduce yourself with your Grameenphone number and put your feet up! We will
take care of your problem while you relax.

o Premium:

Enjoy free stuffs with a new xplore Package2 connection


With every new xplore Package 2 connection, you will get 25 Text SMSs & 25 free
Voice SMSs, and 5 GP branded Ring tones. Subscriber has to use the free content and
VAS within 2 months after activation.

o Price-Off:

450 minutes free!

All Business Solutions postpaid subscribers will enjoy 150 minutes free talktime per
month for 3 months to call their F&F numbers.

For new subscribers, the offer is valid from the date of activation and for existing
subscribers, the offer is valid from 28 March '07.
 Grameenphone Public relations process:

Public relation is one of the grameenphone strategic promotion tools building good
relations with the company’s various publics by obtaining favorable publicity,
building up a good “corporate image”.

• Grameenphone Public relation Objectives:

Public relations can have a strong impact on public awareness at a muck lower cost
than advertising can. Grameenphone use public relations to communicate with their
publics by setting some public relation objectives. The objectives are:

Grameenphone Public relation objectives


Build marketing excitement before media advertising tools.
Build a one-to-one relationship with consumers.
Build a core customer base.
Turn satisfied customers into advocates.

• Grameenphone Public relation tools:

Grameenphone public relation uses several tools. The tools are following:

o Publications:

Grameenphone published some sorts of materials to reach and influence their target
market. Some publication materials are:

Annual report
Articles
Grameenphone Newsletter

o Events:
Grameenphone arranges some special event to draw attention to new products or
companies activities. Some special events that grameenphone arranges frequently:

Seminar
Conference
Trade shows

o Sponsorship:

Grameenphone promote their brands and corporate name by sponsoring sport and
cultural events and highly regarded causes. Some current sponsorship by
grameenphone are:

Grameenphone sponsors International Conference on ICT


Official sponsor of Bangladesh Cricket
Grameenphone sponsor International Trade Fair in Khulna

o News:

Grameenphone finds or creates favorable news about the company, its product and its
people and get the media to accept press release and attend press conference.
Grameenphone in its official website media site covers all news about grameenphone,
its product and its people.

o Public-Service Activities:

Grameenphone has always been more than just a mobile phone service provider in
Bangladesh. It builds goodwill by contributing money and time to good causes.
Public service activities that performed by grameenphone are:

• Mother's Day thankyou vaccination discount. On the occasion of ‘World


Mothers’ Day’, subscribers may also receive the following benefits:
 Samorita Hospital offers 25% off on screening test.
 Japan Bangladesh Friendship Hospital offers 50% off on screening
test and free EPI vaccination.

• Honoring unsung heroes. Grameenphone in collaboration with Prothom


Alo, a leading daily newspaper in Bangladesh, organized a program titled
“Prothom Alo-Grameenphone Shommanona 2006”. The aim of this program
was to bring the little-known development practitioners to the limelight
creating inspiration and confidence for others.

o Identify Media:

Grameenphone creates a good image by using promotional tools. Grameenphone


promotes the public relationship by its attractive logo, signs, uniform and others.

 Grameenphone personal selling process:

Grameenphone personal selling is a good way to communicate the target


customers. It focuses on more creative types of selling and the processes of
building and managing an effective sale forces.
• Grameenphone personal selling Objectives:

Personal selling serves as the grameenphone’s personal link to customer. The sales
representative is the grameenphone to many of its customers. Personal selling
performs for establish some objectives. Those are:

Grameenphone personal selling objectives


To diagnose customer problem and providing services to the customers.
Information gathering about the market.
Building company’s goodwill.
Increasing the sales forces.

• Grameenphone personal selling tool:

Grameenphone mainly focus on inside sales forces that conduct business from their
customer care centre via telephone or visits from prospective buyers.

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