Leadership development essay/ Assigment for MSc
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ReviewW9.docxLITERATURE REVIEW OF MOBILINK (WEEK-9)
INTRODUCTION:
For every individual cellular service has become a need, to contact with their relatives, family, friends and with the business people. In Pakistan, there are many cellular companies which offer prepaid and postpaid services. The satisfaction level of cellular services customer’s changes with their expectations. This can also be co-related with the potential of services a cellular company can offer to its customers.
In 1962 Telecommunication developed for the first time in Pakistan. In 1991 there was only one Telecommunication provider company which was working by the name of Pakistan Telecommunication Company Limited (PTCL). But in 1994 the situation changed because Multi-national companies started business in Pakistan and launched 1st cellular services “global system for mobile communications (GSM)”
in different cities of Pakistan, by then the services charges of the Network and prices of mobile set was very much high. Only people with good resources can afford cellular services facilities. Cellular services usage had become a sign of richness. In 2001 PTCL established a new cellular service company by the name of U-fone. By now, five major companies Mobilink, Telenor, Ufone, Warid and Zong are operating in Pakistan. Mobilink started its operation in Pakistan in 1994. Mobilink was first cellular service provider to operate on hundred percent digital GSM technology in Pakistan. Mobilink entered first and High market share and market growth, that’s why Mobilink became market leader in mobile companies in Pakistan. Today Mobilink is leading with 36 million subscribers.
In National Economy, according to Pakistan Telecommunication Authority (PTA), Telecom sector is considered as one of the developed sectors. It injected Rs 467 billion into national economy in the year 2018. As compared to last year, it showed 6.4% increase. Pakistan is having good position in Internet and cellular field. Latest statistics released by the PTA showed that registered cellular subscriptions have reached to 150.1+ million till 2019.
Companies learn and take experience when they come in interaction with unhappy & unsatisfied customers. According to Muzammil Hanif Sehrish Hafeez (2010) any cellular company who wants to maintain long term relationship with customers, it is possible only when they satisfy them in first instant, so it is important for a company to concentrate on the affecting factors. This paper is showing few variables which influence and should to be paid much attention which are affecting customers’ satisfaction.
Background of the Study:
In Pakistan, from past few years’ mobile communication has emerged as a fast growing industry. Pakistan is considered one of progressive country of the world in which Mobile phone subscribers has increased over 150 million. That’s the reason that many foreign companies are interested to investing this sector. Telephone & Telegraph (T&T) department provided telecom services for the first time in Pakistan. T&T department was run by the Government. T&T department was later merged into a Corporation. The corporation earned huge profits from its services. Corporation policy was to re-invest the profits in the market to expand its market base by providing more & more telecom services.
Statement of the Problem:
Mobile Communication Network has showed rapid growth in Pakistan and now it is considered one of the important sectors of economy from different prospective like foreign investment & economic growth. But interesting and important thing is that still cellular networks have not yet satisfied their customers due to low performance of services. They having high market share but these companies are unable to satisfy their customers.
Objective of the Study:
0. The main objective of the research is to identify those factors which are used into customer’s satisfaction in mobile communication.
0. Find out the relationship b/w mobile communication & quality of services.
0. Find out best marketing and advertisement tools to attract potential customers.
Customer Satisfaction:
Satisfaction defined and explained by different researchers in different ways and previous Researchers have given special importance to customer’s satisfaction. It can be defined satisfaction whether it may relate to cellular industries or others industries. “Satisfaction is a feature or characteristic that can full either a need or want of customer in better way than competitors”. Hanif et al (2010) whenever one company is providing a product or service. If the product or services according to requirement of the consumer, the consumer will get satisfaction the high will be quality of product brand, the high will be satisfaction of the consumers. (Gerpott el at, 2001) in coming future time, the company having chances to make more profit by keeping their customers satisfied. Hauser el at (1994) If the company wants to retain the consumers they should to satisfy them. Guo el at (2009) The Company unsatisfied customers quickly switched to other brands. Henkel et al. (2006) found that satisfied customer have high extent of usage and chances to repurchase in future.
In the words of (Rust and Zahorik, 1993), Customers Satisfaction has become a corporate level strategy for business. Many researcher and authors have discussed the importance of customer satisfaction in their own words. According to Drucker (1973) which stated that customer satisfaction is to be considered the base of success for any business. For the relationship b/w marketing and management customer satisfaction is corner stone (Claycomb & Martin, 2002), and for sort of organization customer satisfaction become a competitive advantage (Anderson et al.,1994).
According to Anderson, Fornell, and Lehmann, 1994Satisfaction is a person pleasure or disappoint feeling about a product resulting from comparing the product performance with actual and with the expectation.
In telecom sector satisfied customers have high usage of extent and having the possibility to repurchase in future again. Greater the satisfaction level the more will be chances of repurchasing by customers (Iqbal et al. 2008), and reduce customer whip (Henkel et al, 2006; Serenko & Turel, 2004).
Iqbal et al. (2008) also found that satisfied customer can pursue others to use the services provider.
Kim et al. (2004) found that customers’ satisfaction leads them to use current service and creates loyal customers for future. The customers who are loyal reported to produce higher retention rates, tend to commit a higher contribution of their category spending for the firm, and are more likely to pursue others to be a part of customers of the firm. (Zeithaml, 2000, Keiningham, et al. 2007)
Melisidou & Theocharis (n.d.) found that those customers which are satisfied from any cellular network, they don’t stay only as customer but also they are the creators of organization’s new business as well. Loyal & satisfied customers become a higher source margins for organization.
Customer Services:
User do not expect the company to be perfect, customers always do expect from company to fix things when going wrong. (Gronroos. 1984).it is responsibilities of the services provider staff to communicate everything with customers clearly and also the responsibility to solve the problem of customers what they are facing. The staff having also the responsibility to inform their customer from the company new services. Which are lunched by the company (Jawaria el at, (2009). For every business customer loyalty firm should provide good quality customer services (Han, 2009).
One of many reasons for your enhancement of network-services quality is actually of which clients be able to get into your company’s internet site through distinct locations worldwide as well as is able to assess your company’s assistance with other people company’s giving. Consequently, on-line customers’ expectancy is actually greater than traditional clients. Croninet al. (2000) found in which support good quality, support worth, and also full satisfaction are extremely straight away to customer’s objectives involving consumption. (Omachanuet al. 2008) explained that the Quality experienced a long phrase influence on the actual fulfillment of consumers.
Kim et al. (2004) indicated that network services including call quality and customer support participate a key role in constructing customer satisfaction for telecom services provider and then the satisfied customer become the loyal customer for the current services provider. (Baumannet al. 2006) expressed that satisfied customer become a corridor for other users to use that services from which they are satisfied.
Network Services:
According to Parasuraman et al. (1988), Aydin and Özer (2005), Ismail et al. (2006), A high and good service is a key factor to compete in the services market. Services provider firms give more attention to quality services because it has direct impact on customer satisfaction. Every customer having different expectation from the services provider firm when they get more and better services the customer may become satisfied and trust of the customer built on the services provider too. Evaluation of the performance services firm quality services is a key factor in the telecommunication.
Retailer Services:
Retailer purchased products or goods directly or through a whole sealer from manufacturers or importers and then it sells these products in small quantities to the end user. Retailer is considered the end of the supply chain. Retailer sale the merchandise to very fixed location, like department store, or by mail.
MARKETING PLAN OF MOBILINK:
Marketing strategy
Mobilink is currently working on market oriented strategy. There are two main function on which mobilink is currently enormously focusing.
1. Cost management.
2. Quality of services.
Mobilink has been successfully built a superior relationship with their customers including consumers and corporate. Mobilink is completely focusing on the need and wants of their consumers and providing them all their needs according to their desires.
Especially mobilink has a largest customer care center than other service providers. Mobink has 3 mainly customer service centers, and the difference is showed with the statistics which is given below;
100000 calls per day
20000 customers connected with customer services representative (CSR)
250-300 calls attended by one CSR in 8 hours including break.
Mobilink has largest call centers in Pakistan.
Product strategy
Product Strategy is perhaps the most important function of a company. It must take in account the capabilities in terms of engineering, of production, of distribution (sales) existing in the company or of time to acquire them (by hiring or by mergers). It must evaluate the customer’s expectations at the time of delivery. It must guestimate the competition (including new entrants) probable moves to enter the same market.
A product strategy in which a firm maintains an even combination of new, growing and mature products and also keeping in mind Product Life Cycle.
“Mobilink is focusing on quality products not the variety of product under a brand”
While other cellular service providers are claiming that they are come up with variety of products for the customers. But customer wants the quality not the variety.
Promotion strategy
Though there are a lot of communication objectives of the of the organizations but as the mobilink is concerned, Mobilink overall objective of the communication of the brand is to retain the customers that people shouldn’t forget about their brand, mobilink is still alive in the telecommunication sector.
Second communication objective of mobilink is to create awareness that is mobilink is the largest network in Pakistan.
What mobilink says?
“Where the all networks get jammed, the only mobilink connects you”.
Mobilink is using different promotional mix like;
· Advertisement
· Personal selling
· Sales Promotion
· Direct Marketing
· Publicity
In advertising Mobilink is communicating there positioning and promotional campaign about their brands. Different objectives are concerns with different promotional mix. In personal selling Mobilink is selling Mobilink indigo, Mobilink PCO, and Blackberry. Although the personal selling is two way communications so the mobilink is communicating the features and the value added services of the mobilink. These products actually need information by the customers so the mobilink is using this personal selling campaign for its products.
References:
· Muzammil Hanif Sehrish Hafeez, Adnan Riaz (2010), “Factors effecting customer satisfaction”,
· International Research Journal of Finance and Economics Issue 60, 44-51.
· Jawaria F.A., Imran Ali, Waseemullah, Ishfaq Ahmed, Muhammad Akram (2009), “Determinants of Consumer Retention in Cellular Industry of Pakistan, Proceedings 2nd CBRC, Lahore, Pakistan.
· Gerpott, T. J., Rams, W., & Schindler, A. (2001) Customer retention, loyalty, and satisfaction in the German mobile-cellular telecommunications market Telecommunications Policy, 25, 249-269.
· Henkel, D. Houchaime, N. Locatelli, N. Singh, S. Zeithaml, V.A. and Bittner The Impact of Emerging WLANs on Incumbent Cellular Service Providers in the U.S. M.J. Services marketing, McGraw-Hill Singapore, (2006)
· Rust, R. T., & Zahorik, A. J. (1993). Customer Satisfaction, Customer Retention and Market Share, Journal ofretailing, 69 (2), 193-215.
· Claycomb, C. and Martin, C.L. (2002), Building customer relationships: an inventory of service provider s objectives and practices, Journal of Services Marketing, Vol. 16 No. 7, pp.615-35.
· Anderson, E. W., Fornell, C. and Lehmann, D. R.(1994) “Customer Satisfaction, Market Share and Profitability: Findings from Sweden,” Journal of Marketing, 58(3), 5366.
· Melisidou S. & Theocharis N. (n.d.), Service quality, customer satisfaction and customer retention in the hospitality industry: keys to achieve tourism growth, Retrieved Feb 02,2010, from http://era.teipir.gr/era2/fullpap/B59.doc
· Gronroos. (1984). A service quality model and its marketing implications. Journal of the Academy of Marketing Science, 24(Winter), 36 – 44.
· Cronin Jr JJ, Taylor SA. Measuring service quality: A reexamination and extention. Journal of Marketing
1992;56(July):55 68.
· Parasuraman, A., Zeithamal, A. V., & Berry, L. L. (1988).SERVQUAL: Amultiple-item Scale for measuring consumer perceptions of service quality. Journal of Retailing, 12-40.
· Aydin, S., & Özer, G. (2005). The analysis of antecedents of customer loyalty in the Turkish mobile telecommunication Market. European Journal of Marketing, 910-925.
