PARTICIPANTS

PROJECT OF MM ONUFONE

Jamil Hassan KhattakAbrar HussainSammar AzeezFaiza TariqBeenish MehboobJaveria Mehmood

• Ufone understand the value of words and the need to communicate effectively and efficiently at all levels of society, that’s why ufone’s primary focus is on U, Ufone‘s valued customers bring strength to the company. Because UFONE IS ALL ABOUT YOU.

INTRODUCTION

• “Ufone, it’s all about U! W e are there where you want to be. We aim to provide you with wider coverage, superior connectivity, clear signals and voice quality. Wherever you are, Ufone keeps you connected”.

MISSION STATEMENT

VISION STATEMENT

• To be the leading telecommunication service provider in Pakistan by offering innovative communication solutions for our customers while exceeding shareholder value & employee satisfaction.

OPERATING PERFORMANCEUfone’s operational performance has

been very encouraging. Despite the stiff competition in Pakistan telecom market. Company managed to improve its revenue and after-tax profit by 87% and 54% respectively, as compared to last year.

MARKETING STRATEGYIn order to extend cellular network

to new cities, towns and highways and enhance its current installed capacities in existing cities, U fone has finalized a huge network expansion contract amounting to about USD 550 million.

MARKET SHARE

ORGANIZATIONAL STRUCTURE

• Abdul Aziz (President& Chief Executive Officer)• Naveed Khalid Butt (Chief Officer)• Muhaamad Aslam Khan (Chief Technical Officer)• Muhammad Nadeem Khan (Chief Financial Officer)• Saleem A Chauhan (GM Admin & Procurement)• Abdul Rehman Faisal (Senior Manager Human Resources)

• Maj. Gen. (R) Hamid Hassan Butt (GM Coordination)

UFONE MANAGEMENT

DEPARTMENTS IN UFONEThe Following departments are currently

working:• Human Resource Management• Marketing Department• Commercial Department• Sales Department• Finance Department• Payroll Department

MARKET SEGMENTATION• Cellular service market is a diverse set of

people. Ufone as well as other cellular service companies segment their market on four bases

• Economy• Age• Gender • Occupation

MARKET SEGMENTATION OF FEW BRANDS & PACKAGES OF UFONE

Brands T arget market Reason for targeting

Post pay Corporte class High usage for business & working people

Life Youth Night dwellers

Packages Target Market Reasons for Targeting

Public demand Lower class/lower youth High usage

5 ka 15 Ladies Ladies intention of 5 min’s chat usually exceeds to 15 min or more

Walkie Talkie Working class/ business class

Call conferencing

TARGET MARKETS

• Ufone main focus is ‘THE YOUTH ´ of Pakistan which is its Target Market. No doubt it has also launched packages, brands and offers for working people, business class, ladies and aged ones. Ufone seeks to target masses in the long run.

POSITIONING• Companies position themselves emotionally,

functionally or on the basis of brand quality.UFONE’S FORMER POSITIONING STATEMENT Everybody Loves to Ufone PrepayUFONE’S NEW POSITIONING STATEMENT Ufone tum hi toh ho’! ‘It’s All about U´

Conti…• Ufone changed the image of mobile

phones from a luxury only affordable by the elite, to necessity affordable by the common man. Since its inception, Ufone has positioned its brand for MASSES ´ on the basis of services it is providing and its lowest call rates.

DIFFERENTIATION• In these days of intense competition

marketers find it hard to differentiate their services from those of competitors. Now customer care about only price. An unsatisfied customer will immediately go for brand switching. Thus leaving a customer unsatisfied and not meeting his/her demands is out of question for marketers.

Differentiation Strategy

• Ufone has always strategized in satisfying the demands of its customers. In doing so it has been successful in differentiating itself in terms of

• Price • Quality service • Technology

MARKETING MIX

PRODUCT/SERVICES• Ufone is a service providing company. Service

is any intangible product that consists of activities, benefits or satisfactions offered for sale.

• Ufone has segmented its product on the basis of two features

Ufone Post-pay: is for the youngsters, with attractive packages to their requirements.

Conti…Ufone Prepay: is segmented for

the people of mature age, having their own business, belongs to business class or people who are senior executives of the organizations.

PRICECellular service providers are facing intense

price competition in contemporary market. Customers perceive pricing as the heart of brand selection.

STRATEGY Ufone strategize to capture the existing pricing

needs of its customers and use it well on occasional or timely basis. For example Ufone offered very good call rates on international calls in Eid days.

PLACE Place plays a very important part in the

distribution and promotion of services. Strategy Ufone strategize to widen its coverage to all

places in order to meet the requirements of its increasing customer base. Now Ufone is heading from cities to remote northern areas in expanding its network.

Conti… It is divided into four regions, which are given below:• N OR TH • SO UT H• CENTR AL-1• CENTR AL-2 Ufone covers all major cities of Pakistan now

consumers can enjoy comprehensive coverage in areas like GT Road, Super Highway & Motorway etc. So wherever they are in Pakistan, Ufone keeps them connected.

PROMOTION

Ufone believes in Integrated Marketing Communication which is a carefully blended mix of promotion tools. Ufone employ different marketing activities and channels to communicate and deliver value to customer.

Advertising, sales promotion, public relations, direct marketing & personal selling.

ADVERTISINGAdvertising Reach And Frequency To increase the reach and frequency of

advertisement Ufone is using repetitive strategy for its advertisements. And the humorous theme always makes the ads more appealing and engaging the minds of customers.

MEDIA• Print Media (Sunday magazine, akhabr-e-jahan etc)• Display Media (posters, wall paintings Shop• Boards etc)

SALES PROMOTION Sales promotions are short term incentives to

encourage the purchase or sale of a product or service´ Ufone utilizes sales promotion activities to boost its sales. It includes

• Contest• Games• Premiums• Free tickets

PUBLIC RELATIONS• Ufone is less conscious of developing its

general public relations. But recently it has launched its Hajj Guide´ service on Ufone.

DIRECT MARKETING Ufone employ on-road umbrella franchises where

they directly market and sell their connections and Sims.

PERSONAL SELLING• Ufone administer personal selling facility to sell their

Post Pay connections targeting well to do people.

COMPETITOR ANALYSIS

The competitive environment for mobile telephony in Pakistan is tough and Ufone is a major player of the market. It includes

DIRECT COMPETITION Direct competition to Ufone are:• Mobilink• Warid telecom• Telenor• Zong

INDIRECT COMPETITION The indirect competition is from:• Fixed line services• Card payphone services• Prepaid calling cards

COMPETITIVE STRATEGY

UN matchless call and SMS rates have given an edge to Ufone against its competitors. We can consider Warid telecom as the major competitor today, because of its rates. But Ufone outclass Warid with better quality and coverage.

Ufone is a market challenger in its competitive position, where MOBILINK is the market leader. Warid, Telenor and newly introduced ZONG are also strong contenders in market challenger category.

Conti…The major competitors of Ufone are domestic

companies like:MOBILIINK

Conti…• Pakistan Mobile Communications

Limited, better known as Mobilink GSM, is a telecommunication service provider in Pakistan. According to PTA statistics, Mobilink has 30.88 million customers by January 2008. Mobilink's Head office is located in Kulsum Plaza, Blue Area, and Islamabad.

TELENOR

Telenor is the incumbent telecommunications company in Norway, with headquarters located at Fornebu, close to Oslo. Today, Telenor is mostly an international wireless carrier with operations in Scandinavia, Eastern Europe and Asia. In addition, it has extensive broadband and TV distribution operations in four Nordic Countries.

WARID

Warid Telecom International is an Abu Dhabi based mobile

telecommunication firm providing Telephony services in Bangladesh, Pakistan and Uganda.

ZONG

Zong is the first International brand of China Mobile being launched in Pakistan. It is meant to

Empower and liberate the people of Pakistan in every nook and corner of the country.

Conti…

SWOT analysis is an overall evaluation of the company’s

• Strengths (S)• Weaknesses (W)• Opportunities (O)• Threats (T)

STRENGTHS Strengths include internal capabilities, resources,

and positive situational factors that may help the company to serve its customers and achieve its objectives.

The Strengths Of Ufone Are As Follows:-• Second largest cellular operator in Pakistan• Subscriber base of around 6.5 million and a market

share of nearly 25%.• Network coverage in more that 5885 locations and

across all major highways.

Conti…

• The company has also been awarded a new license for providing cellular services in Azad Jammu and Kashmir and Northern Areas.

• Quality coverage and clear connectivity. • Most reasonable prices for its users. • Ufone’s differentiation is its biggest strength.

Ufone offers lowest off-net call rates that differentiate it from its competitors

WEAKNESSESWeaknesses include• Unable to meet the demand which is

Ufone’s biggest weakness• Centralized structure• As Ufone is a subsidiary of PTCL, which

was formerly under government management, Ufone still has a shadow of a government organization

Conti…• It has many franchises in the whole

country but as its customers are increasing day by day so its present franchises are not enough to fulfill the needs of it customers.

• Not yet given many innovative services as compared to other cellular companies

• Ufone has pathetic billing system

OPPORTUNITIES

Opportunities are favorable factors or trends in the external environment that the company may be able to exploit to its advantage.

Ufone Has Following Opportunities In Its Way• Conversion of their GSM technology into 3G

(satellite based) technology• Ufone has the ability to expand globally.

Conti…• Ufone has the opportunity of growing its customer

base• Ufone has the opportunity to win the customers of

its competitors by providing them superior services on lower price.

• With the right marketing strategy they can acquire much more.

• Ufone should develop some new franchises in remote areas so that people will get more and more benefit from it and it will help to increase their customers.

THREATS Threats are unfavorable external factors or trends

that may present challenges to performance.Ufone Is Facing/About To Face The Following

Threats:-• Ufone’s biggest opportunity is its biggest threat as

well. The phase of its conversion of GSM technology to 3G technology can be a threat for it if not carried out properly.

• The boosting customer base of Warid and Zong is also a big threat for Ufone

Conti…• The decreasing economy rate and instability of

Pakistan.• Government interference in terms of taxes• Ufone is nothing just a cellular license to PTCL, PTCL

should provide more financial support to enhance profitability of its subsidiary company.

• Cut throat competition among cellular companies in Pakistan.

CONCLUSION• Ufone is penetrating its market by taking risks and

aggressively promoting & advertising itself. In this tough market Ufone isn’t only surviving but growing at an

exceptional rate. Ufone is using humorous theme in its ads which has become its benchmark. People enjoy

watching, discussing and following Ufone ads the most.And it is the biggest achievement of Ufone in

recent times. We wish a very best of luck to Ufone. May it progress in this field and achieve its desired goals.

REFERENCES• http://www.scribd.com/doc/18284574/Swot-

Analysis-Ufone• file://localhost/C:/Documents%20and

%20Settings/Administrator/Desktop/Marketing%20Report%20on%20Sales%20Promotion%20and%20Advertising%20of%20Ufone.mht

• www.paktelecom.com• www.scribd.com• www.barrons.com