Consumer Motivation

Project Report
Consumer Motivation
Department of Consumer Behaviour
Curse code 8515
Prepared by Presented to
Mustanser Waqas Miss.Aliya Noreen
AT562212 Prof. Of AIOU
Kashitiwana656yahoo.!o" Isla"a#a$
AIOU Islamabad - 0 - Consumer Behavior
Consumer Motivation
Acknowledgment
I am great thankful to Almighty Allah that help me to complete my
assignments of Consumer Motivation !"hich are given to me by my
honest teacher Miss!"#$%" &'R((&!
And I can#t forget the help of my friends my seniors and collogue to give
me great support$ guidance$ about completion of my difficult task!
%inally$ I "ould like to thank my brilliant &eacher because there "as the
helping me in all the difficult tasks of this assignment! 'egards especially
to my s"eet parents for her unconditional love and support$ "ithout these
all support$ this study "as not possible for me to complete! It#s all
kindness of my beloved parents "hich pray to me and I "ill complete my
given task effectively and timely!
At the end I am again thankful to all "hich help and support of me!
AIOU Islamabad - ( - Consumer Behavior
Consumer Motivation
"bstract
Understanding consumer problems is probably one of the most repeated
e)pression in consumer behavior and marketing literature! &e)tbooks$
trade books$ *ournals$ maga+ines$ and other sources of kno"ledge in these
fields stress the relevance of interpreting consumer problems for various
marketing kno"ledge constituencies!
,o" have marketing scholars dealt "ith this concept to date- .o they
agree on ho" to define this concept- /hat role could consumer problems
play in a theory of consumption-
&his research monograph tries to ans"er these 0uestions through a
literature revie" on consumer problems that covers the past 10 years! &o
gain a broader perspective on consumer problems$ the revie" e)amines
its relationship "ith offerings and outcomes of consumption e)periences!
&his conceptual frame"ork helps highlight both current dra"backs and
solutions to address these "eaknesses!
%urthermore$ the book sheds light on the kno"ledge development system
in marketing and specifically on its social infrastructure as the main
factor affecting the production of kno"ledge! &his provides a conte)t to
assess ho" the concept of consumer problems has evolved!
&he monograph sho"s that consumer problems are a key element in a
theory of consumption and the lack of such a theory re0uires a rene"ed
interest in consumer motivation as a starting point to build it!
AIOU Islamabad - 2 - Consumer Behavior
Consumer Motivation
Table of Content
&opics 3age 4o!
(!Introduction55555555555555551
2!3ositive and 4egative 6otivation55555!55!7
3.Success and %ailure Influence 8oals5555555!!9
4.Defense Mechanisms:55555555555555!:
;!3ractical study555555555555555((
;!( Company 3rofile55555555555!((
;!2 Company Analysis5555555555(2
;!< 6arketing Analysis555555555!!!!(1
;!1 3romotion 5555555555555!!!(;
;!; Innovation55555555555555(:
;!7 ="ot Analysis555555555555!!(>
;!7!( =trength55555555555
;!7!2 Opportunities 55555555!!
;!7!< /eakness 5555555555
;!7!1 &hreats55555555555!
7!%indings55555555555!!55555520
9!Conclusion5555555555555555!!2(
:!'ecomendations5555555555555!!52(
>!'eferances555555555555555!5!!2<
AIOU Islamabad - < - Consumer Behavior
Consumer Motivation
CONSM!" N!!DS # MOT$%AT$ON
)nderstandin* human needs is ha+f the job of meetin* them
"d+ai ,tevenson
&hat is Moti'ation(
6otivation can be described as the driving force "ithin individuals
that impels them to action! &his driving force is produced by a state of
tension$ "hich e)ists as the result of an unfulfilled need!
Needs
?very individual has needs! =ome are innate$ others are ac0uired!
$nnate Needs@ are physiological Ai!e!$ biogenicB$ they include needs for
food$ "ater$ air$ clothing$ shelter or se)! Because they are needed to
sustain biological life$ the biogenic needs are considered primary needs or
motives!
Ac)ui*ed Needs: are needs that "e learn in response to our culture or
environment! &hese may include needs for self-esteem$ prestige$
affection$ po"er etc! Because ac0uired needs are generally psychological
Ai!e!$ psychogenicB$ they are considered secondary needs or motives!
&hey result from the individual#s sub*ective psychological state and from
relationships "ith others!
%or e)ample@ All individuals need shelterC thus$ finding a place to live
fulfills an important primary need for a ne"ly transferred employee!
,o"ever$ the kind of resident he rents or buys may be the result of
secondary needs! ,e may seek a place in "hich he and his "ife can
entertain large groups of people Aand fulfill social needsB! &he house of
an individual ultimately purchases thus may serve to fulfill both primary
and secondary needs!
+oals: are sought-after results of motivated behaviour! All behaviour is
goal-oriented!
+ene*ic +oals: 8eneral classes or cagegories of goals that consumers
select to fulfill their needs!
3roduct-=pecific 8oals@ =pecifically branded or lebelled products that
consumers select to fulfill their needs! ?)ample@ Conveying the
AIOU Islamabad - 1 - Consumer Behavior
Consumer Motivation
consumers information generally about usage of I& education$ selection
of best institute etc given by 4II& is generic! If 4II& conveys ho" it is
superior than others its productDservice specific!
?)ample2@ .airy "hitner usage information generic
If amul AamulyaB comes out "ith this focus then it is product specific!
Selection of goals:
%or any given need$ there are many different and appropriate goals!
&he goals selected by individuals depend on their personal e)periences$
physical capacity$ prevailing cultural norms and values$ and the goal#s
accessibility in the physical and social environment!
%or e)ample$ an individual may have a strong hunger need
he may go to the college canteen and have some food AmeatB
if his doctor has advised not to take any meat -E then he may go for
vegetarian
if doctor again has adviced not to take oily substances he may go for
something else!
It is based on individual perception again! Based on culture
pi++aDburgerDfastfoodDmeatDfried rice etc "ill be consumed!
$nte*de,endence of Needs and +oals:
4eeds and goals are interdependent$ neither e)i+sts "ithout the
other! ,o"ever$ people are often not as a"are of their needs as they are
a"are of their goals!
%or e)ample$
a college student may not consciously be a"are of his social need but
may *oin a voluntary organi+ation
a "omen may not recogni+e her achievement needs but may strive to
have the most successful internet bro"sing centerDcomputer education
center in her to"n!
Individuals are usually some"hat more a"are of their
physiological needs than they are of their psychological needs!
6ost people kno" "hen they are hungry or thirsty or cold$ and
they take appropriate steps to satisfy these needs! &he same people may
not consciously be a"are of their needs for acceptance$ for self-esteem$
AIOU Islamabad - ; - Consumer Behavior
Consumer Motivation
for status! &hey may$ ho"ever$ subconsciously engage in behaviour that
satisfies the psychological Aac0uired needsB!
-ositi'e and Negati'e Moti'ation:
6otivation can be positive or negative in direction! /e may feel a
driving force to"ard some ob*ect or condition$ or driving force a"ay
from some ob*ect or condition! %or e)ample$ a person may be impelled
to"ard a restaurant to fulfill a hunger need and a"ay from motorcycle
transportation to fulfill a safety need!
"ational %e*sus !motional Moti'es:
'ationality has been used in traditional economic sense$ "hich
assumes that consumers behave rationally "hen they carefully consider
all alternatives and choose those that give them the greatest utility Ai!e!$
economic man theoryB
In a marketing conte)t$ the term rationality implies that consumers
select goals$ based on totally ob*ective criteria$ such as si+e$ "eight$ price$
milesDlitre etc!
?motional motives imply the selection of goals according to
personal or sub*ective criteria A%or e)ample$ the desire for individuality$
pride$ fear$ affection$ statusB!
Consumer researchers come out "ith t"o persons@
-ositi'ist: "ho tend to vie" all consumer behaviour as rationally
motivated
!.,e*imentalists: "ho go for fun$ or fantasy$ or sensuality!
FE&he .ynamic 4ature of 6otivation@
FE4eeds and 8oals are constantly changing@
FE4eeds and goals are constantly gro"ing and changing in response to
an
individuals#physical condition$ environment$ interactions "ith others$ and
e)periences! As individuals attain their goals$ they develop ne" ones! If
they do not attain their goals$ they continue to strive for old ones or
develop substitute goals!
AIOU Islamabad - 7 - Consumer Behavior
Consumer Motivation
FE4eeds are never fully satisfied
6ost needs of the human being are never fully or permanently satisfied!
%or e)ample$ at regular intervals people e)perience hunger needs that
must be satisfied! &he same may be the case "ith higher order needs
also!
/. New needs eme*ge as old needs a*e satisfied
=ome motivational theorists behave that a hierarchy of needs
e)ists$ and
that ne"$ high-order needs emerge as lo"er-order needs are fulfilled! %or
e)ample$ a man "ho has largely satisfied his basic psychological needs
may turn his efforts to achieving acceptance among his ne" neighbours
by *oining their political clubs and supporting their candidates!
0. Success and 1ailu*e $nfluence +oals
In general$ individuals "ho successfully achieve their goals
usually set
ne" and higher goals for themselves$ and vice-versa!
Substitute +oals:
/hen for one reason or another$ an individual cannot attain a
specific goal or type of goal that he or she anticipates "ill satisfy certain
needs$ behaviour may be directed to a substitute goal! Although the
substitute goal may not be as satisfactory as the primary goal it may be
sufficient to dispen uncomfortable tension! %or e)ample$ a college
student "ho cannot afford to a =u+uki %iero may continue himself "ith
some economy models!
1*ust*ation
%ailure to achieve a goal often results in feelings of frustration! At
one time or another$ everyone has e)perienced the frustration that comes
from the inability to attain a goal! 'egardless of the cause$ individuals
react differently to frustrating situations!
AIOU Islamabad - 9 - Consumer Behavior
Consumer Motivation
Defense Mechanisms:
3eople "ho cannot cope "ith frustration often mentally redefine
the frustrating situation in order to protect their self-image and defend
their self-esteem!
AiB Ag*ession: Individuals "ho e)perience frustration may resort to
aggressive behaviour in attempting to protect their self-esteem!
%rustrated consumers have boycotted manufacturers to improve
product 0uality$ and boycotted retailers in efforts to have prices
lo"ered!
AiiB "ationali2ation: =ometimes individuals redefine a frustrating
situation by inventing plausible reasons for being unable to
attain their goals! %or e)ample$ consumers "ho cannot 0uit
smoking may continue themselves and others by saying they
use filter cigars only!
AiiiB "eg*ession: =ometimes people react to frustrating situations
"ith childish or immatured behaviour! %or e)ample$ in a
bargain sale$ the dissatisfied consumer may tear a garment
AunBkno"inglyB!
AivB &ithd*awal: %rustration is often resolved by simply
"ithdra"ing from the situation! %or e)ample$ a person "ho has
difficulty in achieving officer status in an organi+ation may
simply 0uit that organi+ation! %urther he may decide to use his
time more constructively in other activities! Another e)ample$
G'= =chemes 6utual %unds HIC =chemes etc take hold
of these consumers!
AvB -*o3ection: An individual may redefine a frustrating situation
by pro*ecting blame for his o"n failures and inabilities on other
ob*ects or persons! %or e)ample$ the driver "ho has an
automobile accident may blame the other driver or the condition
of the road!
AviB Autism: Autism$ or autistic thinking$ refers to thinking that is
almost completely dominated by needs and emotions$ "ith little
effort made to relate to reality! =uch day dreaming$ or
fantasi+ing$ enables the individual to attain imaginary
gratification of unfulfilled needs! A person "ho is shy and
lonely$ for e)ample$ may daydream about a romantic love affair!
AIOU Islamabad - : - Consumer Behavior
Consumer Motivation
AviiB $dentification: =ometimes people resolve their feelings of
frustration by subconsciously identifying "ith other persons or
situations they consider relevant! 6arketers have long
recogni+ed the importance of this defense mechanism and often
use it as the basis for advertising appeals! &hat is "hy slice-of-
life commercials and advertisements are so popular! =uch
advertisements usually portray a stereotypical situation in "hich
an individual e)periences a frustration and then overcomes the
problem that has caused the frustration by using the advertised
product!
AviiiB "e,*ession: Another "ay that individuals avoid the tension
arising from frustration is by repressing the unsatisfied need!
&hus$ individuals may Iforget a needC that is$ they force the
need out of their conscious a"areness! %or e)ample$ A couple
"ho cannotDdon#t have children husband "illDmay go to
library and "ife beng a school teacher in forgetting their
sorro"!
Slice4of4life Comme*cials:
&elevision commercials that depict a typical person or family
solving a problem using the advertised product or service! &hey focus on
Ireal-life situations "ith "hich the vie"er can identify solutions to
problems!
Multi,licit5 of Needs:
A consumer#s behaviour often fulfills more than one need! In fact$
it is more likely that specific goals are selected because they fulfill
several needs! /e buy clothing for protection and for modestyC in
addition$ our clothing fulfills an enormous range of personal and social
needs!
Needs and +oals %a*5 among $ndi'iduals:
3eople "ith different needs may seek fulfillment through selection
of the same goals! %or e)ample$ < peoples *oining social club
one J for time passing
t"o J for developing contacts
three J for social service
AIOU Islamabad - > - Consumer Behavior
Consumer Motivation
A*ousal of Moti'es
6ost of an individual#s specific needs are dormant much of the
time! &he arousal of any particular set of needs at a specific point in time
may be caused by internal stimuli found in the individual#s physiological
condition$ emotional or cognitive processes$ or by stimuli in the outside
environment!
-h5siological A*ousal
Bodily needs at any one specific moment in time are rooted in an
individual#s physiological condition at that moment! A drop in blood
sugar level or stomach contractions "ill trigger a"areness of a hunger
need! =ecretion of se) hormones "ill a"aken the se) need!
!motional A*ousal
=ometimes thinking or daydreaming results in the arousal or
stimulation of latent needs! 3eople "ho are bored or frustrated attempts
to achieve their goals often engage in daydreaming Aautistic thinkingB$ in
"hich they imagine themselves in all sorts of desirable situations! &hese
thoughts tend to arouse dormant needs$ "hich may produce
uncomfortable tensions that Ipush them into goal-oriented behaviour!
%or e)ample$
A young "oman "ho dreams of becoming a business tycoon may
enroll in business school!
A young man "ho dreams of becoming a grand master in chess may
*oin country chess coaching AclubB
Cogniti'e A*ousal
=ometimes random thoughts or personal achievement can lead to a
cognitive a"areness of needs! An advertisement that provides reminders
of home might trigger instant recognition of the need to speak "ith one#s
parents!
!n'i*onmental A*ousal
&he set of needs activated at a particular time are often determined
by specific cues in the environment$ "ithout these cues$ the needs "ould
remain dormant!
%or e)ample$ =akthi Chilli Chicken 6asala Ad on =unday morning
AIOU Islamabad - (0 - Consumer Behavior
Consumer Motivation
4arasus Coffee Ad on ?veryday morning
AIOU Islamabad - (( - Consumer Behavior
Consumer Motivation
Practica+ study
$nt*oduction
Com,an5 ,*ofile
3akistan telecom mobile ltd$ operating under the brand name of
ufone# a "holly-o"ned subsidiary of ptcl commenced its operations
On 2>th *anuary 200( as a gsm >00 service provider! =ince the outset
It has e)panded its coverage and customer base at a rapid pace and
?stablished itself as one of the leading cellular service providers in
3akistan! Ufone is no" considered to be one of the most active$
Aggressive and innovative players in the mobile sector of pakistan!
&he gro"th of cellular sector in pakistan can also be attributable to
8ood governance and conducive policies of the government of pakistan
In connection "ith that in april 2007 emirates telecommunication
Corporation$ "hich is commonly kno"n as etisalat$ has assumed
6anagement control of pakistan telecommunication corporation ltd J
3art of the K2!7bn deal to buy a 27L stake! &he successful
3rivati+ation of ptcl$ and conse0uently ufone$ is hailed as ushering in
A ne" era for telecommunications in pakistan!
As mobile users in the country have reached :: million at a very rapid
3ace$ ufone has a subscriber base of nearly (9!; million and a market
=hare of nearly 2(L! Ufone has seen a subscriber gro"th of over (0
6illion since *uly 2009 onto its net"ork! =ubse0uently the gro"th in
=ubscriber base caused a healthy trend in its revenues and margins!
Ufone has al"ays played a pivotal role in the development of cellular
6arket in pakistan! %or most part it has been a step ahead in
Introducing innovative products to the market! Ufone "as pioneer in
Haunching the gprs services and multi-media messaging service AmmsB
In pakistan$ including the lead in introducing gprs international
'oaming and prepaid international roaming for these services in the
3akistani market! Currently ufone has e)panded its product portfolio to
Include black berry handsets and providing one of the largest edge
4et"orks in the country today!
Ufone understands the need to communicate
effectively and efficiently
At all levels of society$ "hich is "hy various products are catering for
&he needs of the pakistan corporate market!
AIOU Islamabad - (2 - Consumer Behavior
Consumer Motivation
Com,an5 anal5sis
O*gani2ational st*uctu*e
&he structure of ufone comprises of board of directors "ho are being
'eported by ceo$ chief e)ecutive officer!
Ceo is a great supervision to the : ma*or operations of the company!
&hese operations are divided into departments that are@
1inance de,a*tment
&he head of finance department is designated as cfo J chief financial
Officer or vice president of financial head! &here are further 1 subheads
In finance department@
CNC
&he department is responsible for credit e)posure for ufone
3ostpaid connection! &he department maintains the record of all
3ostpaid subscribers in order to ensure the subscribers validity!
6udgeting and ,lanning
&he department is "orking over the budgets$ the planning of
Budget and its reports to the authorities! &his head provides the
Annual budget to be spent! &he function of this head is also to
%orecast any opportunities or threats to"ards the organi+ation!
&he reporting of the budget is being done on the monthly basis
&o the head of financial officer to keep the record of the budgets!
'elationship "ith banks are also being maintained in order to get
,elp in the need time!
Accounts
&he accounting head is responsible for the book keeping of the
'ecords! &he internal audits are done to ensure the stream lined
/orking of the processes as "ell as e)ternal audit by the
Accountancy firms!
"e'enue assu*ance
&here are revenue assurance policies M procedures being made
By the personnel! &his assurance head also liaise "ith other
.epartments$ obtain$ analy+e and reconcile reports to ensure
3revention of revenue leakage! &he sub-head also ensure error
%ree billing operations$ deployment of key revenue assurance
ApplicationsDsolutions$ fraud management!
Ma*keting de,a*tment
&he head of marketing department is designated as cmo- chief
6arketing officer or vice president of marketing head! &he department
,as further < subheads "orking in speciali+ed manner according to the
=kills and abilities of the employees!
AIOU Islamabad - (< - Consumer Behavior
Consumer Motivation
6*ands
&here are basically t"o products of the ufone "hich serves as
&he brands of the company! &his sub-head is responsible for the
?)ecution of the brand activities! Ufone is performing the
3romotional activities in brands sub-head$ including advertising
Over electronic media and print media! &he promotional
=trategies are made by the sub-head to get the implementation!
Ma*keting st*ateg5 and anal5sis
&he sub-head is "orking in order to formulari+e the marketing
=trategy according to the market re0uirement and consumer
3references! &he analysis about the market trend is done and the
=trategies are made in relevance! 6oreover$ competitors are
Biggest source of reacting to"ards the marketing activities!
Ufone is having a proactive marketing concept in conte)t of
Competition!
%AS 7 'alue added se*'ices
Gas sub-head is responsible for proficient functioning of
Conveniences provided to the customers$ these vas are virtual private
4et"ork$ call management$ missed call notification$ phonebook saver and
,ost of infotainment and entertainment services!
Custome* o,e*ations de,a*tment
One of the departments to preserve the e)isting consumers$ ufone is
,aving a department of customer operationsC the head of this
.epartment is designated as vp cops J vice president customer
Operations! &he department is having 2 further sub heads!
Custome* ca*e
Ufone provides customer care through customer care center
Hocated in all key cities$ across the country! Ufone#s customer
Care representatives are more helpful! &hey "ill not only resolve
Consumers issues but also guide them into customi+ing ufone$
According to their needs! Customers care is offered to through
Call cent*e
Cal centre representatives are providing services$ 21 hours
A day! &he customers can contact the ufone call center to
8et ans"ers to all their 0ueries! =ome of them include@
bill en0uiry Acredit limit$ e)piry date etc!B
reporting of lost phone
number blocking in case of lost or stolen sims
connection status Aactive D inactiveB
AIOU Islamabad - (1 - Consumer Behavior
Consumer Motivation
tariff
products information
ufone sales M service center information
nearest dealer information
ufone coverage areas
emergency number information
international roaming information
value added services information
missed call alerts
call for"arding
conference call
fnf activation D changes
post pay re"ard redemption
Ma*keting anal5sis
Ufone is having 2nd largest number of subscribers! Ufone has been
Attracting the masses since the time of its origination! Ufone is also
Nno"n for its 0uick marketing!
Ma*keting mi.
I have analy+ed the marketing mi) of the ufone! 6arketing mi)
Includes the analysis of the firm#s product$ pricing$ promotion and
3lacement! Ufone#s marketing mi) can be
-*oduct
Ufone understands the value of "ords and the need to communicate
?ffectively and efficiently at all levels of society$ "hich is "hy
Company#s primary focus is on u! Ufone offers$ ,*e,a5 M ,ost,a5
=ervices in the telecom sector!
fone ,*e,a5
Ufone prepay is the product segmented for the
Ooungsters! &hey are segmented on the basis of
&heir age and status! &hey recharge through the
3repaid cards "henever they feel comfortable to
Hoad the cards!
fone ,ost,a5
Ufone postpay is created for the e)ecutives and
Business class people$ "ho re0uire making calls
/ithin the country or internationally for the
AIOU Islamabad - (; - Consumer Behavior
Consumer Motivation
Business purposes! Business e)ecutives en*oy the
Benefits and value added services connected "ith postpay product of
Ufone
fone fo* e'e*5one
&he telecom market#s gro"ing rate in pakistan is
,igher than any asian country! Ufone offers lo"er
'ates and better net"ork then other already
?stablished cellular companies! All living standards
,ave been captured by ufone$ like students$ labor and businessmen$
?tc!
Ufone aims to provide "ith "ider coverage$ superior connectivity$ clear
=ignals M voice 0uality to their valued customers!
4ci*cle
3repay provides an easy "ay to call friends M family! fone is making
It easy for its consumers to call friends M family "ith u circle! 4o" the
Consumers can talk more for less "ith the most economical rates to
Call their ufone circle!
sha*e
Ufone prepay customers can no" share their balance "ith
?ach other through a simple sms in < easy steps!
Mobile numbe* ,o*tabilit5
Ufone "elcomes consumers to bring their mobile number to the best
=ervice! &hrough mobile number portability AmnpB$ mobile phone
=ubscribers can retain their mobile phone numbers "hen they change
6obile operators! &herefore a 0<00-)))))) or 0<1;-))))))) can be a
Ufone customer in the mnp regime!
-*omotion
%or the promotion of product$ print media$ electronic media$ billboards$
Broachers and leaflets has been utili+ed for the a"areness of various
Customers!
&ime to time$ ufone promotes its services D schemes to their users and
8C2eneral public via using various type of promotion channels! &hrough
&he advertisements people get a"areness about the product and are
Able to choose the best one for fulfill their re0uirement in mobile
&elecommunication!
?lect*onic media
Ufone is making use of electronic media
&hrough television advertisements! Ufone is
AIOU Islamabad - (7 - Consumer Behavior
Consumer Motivation
,aving its great deal of advertisement on
&elevision$ to a"are its consumers about the
Hatest product offerings! &he interesting part
Is that ufone is sticking "ith its humorous
Appeal and is doing really good in it! Ufone
Is famous for its o"n style of humorous
Advertisements "hich are truly becoming the talk of the to"n! Ufone is
6otivated "ith providing best ads to people "ith 0uick service!
Advertising campaign is special and impressive than other cellular
Companies$ like concept$ models$ colors scheme and visuali+ing! &he
Advertisement of ,ost ,a5 has been very much attractive for the
Business class customers "ith the slogan of en$less %ossi#ilities!
-*int media
Ufone is actively providing its advertisements in print form
As "ell! &hey are using various "ays as a means of
3romoting the brand! Ufone#s advertsisments can be seen
In ne"spapers and maga+ines! Ufone is vigorous in
Attracting people and making them upo date about any
4e" information through print media as "ell!
Billboa*ds
Billboards Aincluding skyscrapersB are the
Ney sources for the promotion of ufone!
Ufone is also in practice "ith placing
Billboards to the prominent areas$ "hich are having the most contact
Of the people! &hese billboards are the reminders of the brand through
/hich people get attracted! 4e" packages or any updates about the
3roduct features are displayed! .ifferent kind of advertisement can be
=een on television and billboards! Ufone is also a co-sponsor of cricket
/orld cup 2009! 6oreover$ the shops title boards are also being
=ponsored by ufone over all pakistan! 4o" retail stores and shops have
Also Iadopted the mobile brands! 3eople are seeing fabric stores$ toy
=tores and even doctor#s offices displaying the phone company brand
=ignboards!
Sms ma*keting
UCfone is not only making a use of electronic media as its promotional
Activities! But ufone is also doing marketing of its ne" packages$ their
Updates$ any ne" offerings through sms! Ufone is committed to retain
Its e)isting customers to get s"itched to other net"ork operator!
&hrough sms marketing$ ufone is making its consumers a"are$ "ith
4e" items launched and easy "ay to e)ercise those facilities by ufone!
AIOU Islamabad - (9 - Consumer Behavior
Consumer Motivation
$nte*net ma*keting
&here are users "ho are active
Users! &hey are in continues
Contact "ith """ i!e "eb!
&hese users try to find the
=olutions through internet!
Ufone "ebsite
A"""!ufone!comB contains
Bunch of information about the
3roduct$ services$ coverage$
3lacement$ and value added
=ervices! /ebsite is playing a
Heading and significant role for the promotion of product! Ufone is
3romoting its brand through cyber marketing in "hich they have
3laced their brand#s slogans and latest revie"s! %or e)ample they have
3laced banner ads on various sites! &he reno"ned community
%acebook is also having its advertisements on the right pane of the
/indo"!
Call operators of customer service department are professional and
3roficient to resolve consumer problems and they are 21 hours
Available to respond customer#s 0uery!
Ma*ket segmentation
Ufone is segmenting the market according demographic segmentation$
I!e! On the basis of age groups! Ufone has segmented its product on the
Basis of its features!
ufone prepay is segmented for the youngsters$ "hit attractive
3ackages to their re0uirements !ufone postpay is segmented for the
people of mature age$
,aving their o"n business$ belongs to business class or people
/ho are senior e)ecutives of the organi+ations
Ta*get ma*ket
Ufone has the target market concerning youth in the nation! &his target
6arket of youngsters comprises of the 10L population! Ufone is having
%ocused advertising to"ards the target market simultaneously focused
Brand building over the market segment of youth!
Ufone is targeting the emerging segments of middle class in the
3opulation to increase the number of subscribers as "ell as the
'evenue generation from these subscribers
Ufone has also targeted the corporate class$ for "hich ufone is
AIOU Islamabad - (: - Consumer Behavior
Consumer Motivation
Customi+ing the packages in order to preserve the e)isting small but
3rofitable corporate of sme market segment!
!
$nno'ation
The im,lementation of latest technolog5
3akistan telecom has a lot more to achieve$ the industry may further
?)pand and lo"er tariffs can also be achieved! &he present players
,ave many chances to take lead$ as consumers are more "ell-a"are
About their purchase decision concepts such as connectivity$ coverage$
Goice 0uality and value added services and "ill only go for the best
3ackages available! Broadband in the last mile$ value added products
And content development are rather barely e)plored markets and offer
A great deal to an aggressive investor! 3g se*'ices in ma*or cities
/ould take a slo" start but "ill catch on fairly "ell and "ill be a ma*or
Contributor in satisfying consumer#s needs provided these are offered
At affordable cost "ith easy access$ availability$ reliability and "ith
Abundant content!
Our industry already has ll Alocal loopB$ "ll A"ireless local loopB$
Hdi Along distance and internationalB$ and isp Ainternet service
3roviderB players and "ima)C <g cellular systems are e)pected be a
3art of this industry soon! 6any actions have been started to make <g
=ervices casual in society!
&he recent focus of the industry is the proliferation of broadband
=ervices at affordable rates throughout the nation! &he latest
&echnology of <g mobile communications Amobile broadbandB has been
?armarked and pta "ill soon be inviting applications for <g spectrum
Auction! &his technology "ill increase operating capacity and revenues
By using hspa technologyC at the same time it "ill also provide
=uperior and high speed broadband services$ video telephony$ internet$
Gideo streaming$ high 0uality mobile tv and a number of value added
=ervices! &he players are focusing on mass advertisement$ offering
?)panding coverage$ customer services and uni0ue and attractive
3ackages!
AIOU Islamabad - (> - Consumer Behavior
Consumer Motivation
S&OT Anal5sis of fone
?very Organi+ation has some =trengths$ /eakness$ Opportunities and
&hreats! =trengths and /eakness are the Internal %actors and
Opportunities and threats are ?)ternal %actors!
ST"!N+T8S:

&hey have the latest technology as compared to any other mobile
company
As government is backing them they can get as many fund as
re0uired by them to introduce the ne" technology
8ood 0uality service
3akistanPs second 8=6 net"ork
?stablished customer base including lo"er middle class
Hess rate than competitors
Only company present in all four provinces
,ighly motivated and trained "ork force
Offering products like mobile office$ mobile Internet and 66
&!A9N!SS!S@

Hess coverage in remote areas
4ot targeting the rural areas at the moment
4o proper planning to cater the e)cessive demand
O--O"TN$T$!S:


&hey can start their services in other cities of 3akistan
As they are the subsidiary of 3akistan telecommunication limited$
they can ac0uire as much fund needed to improve their technology
&hey can also target corporate secto
4e" &echnology
T8"!ATS:

Hegal environment$ government interference
3&CH has been given license for cellular operation
6obilink is also going to introduce some ne" technology and
committed to invest more in 3akistan
AIOU Islamabad - 20 - Consumer Behavior
Consumer Motivation
QO48$ 6obilink and &elenor phone have more coverage in
different cities of 3akistan then Ufone
,igh ta)es are imposed on the cellular industry in 3akistan
QO48 also no" has the 8=6 technology that is another threat for
Ufon
1indings
I observed a trend of aggressive marketing and advertisement by the
6obile operators in pakistan! &hey proudly announce ;0 paisa$ < paisa$
( paisa call rates! &rying to one-up other competitors$ the
Advertisements emphasi+e the lo"est possible rate to grab the
Consumer attention!
In reality the lo" rates being advertised come up "ith many
Conditions! &o figure it out one has to read the fine print carefully that
Usually marked "ith R AasteriskB! I think this is unfair to the consumers
And "e need to critici+e this trend "hich some may characteri+e as
.eceptive marketing!
3akistan has remarkable gro"th in telecommunication industry! It is
%ound that 9;L population of pakistan has mobile phones and the
Counting is increasing day by day! 3ta recorded customers are about
:: million! &his is huge cra+e in mobile industry!
=ince i am "orking on this pro*ect$ i found some irregularities@
Netwo*k connecti'it5 ,*oblem
3eople are "orried about cellular service they often complaint that
Cellular operators are not "illing to enhance their services! Caller feels
.isturbance$ busy net"ork$ and unauthori+ed call ending!
Di*t5 sms
Cellular operators provide bundle sms D mms offers "hich results huge
Hoad on net"orks! Bundle offers also cause dirty and unethical *okes
And sms!
"ough;un*eal ideas in ad'e*tising
6any cellular service companies are using rough ideas for tv
Advertisement! =pecially prepaid products are not belonging to
'ealities! &he imagination is not attractive and not belongs to human!
Too much ad'e*tisement
Cellular companies are having bombardment of advertisement on tv
Channels! 3eople are fading up "ith this type of unnecessary
Advertisements!
Ad'e*tising budget
Companies are spending millions dollars for in favor of advertising but
AIOU Islamabad - 2( - Consumer Behavior
Consumer Motivation
&hey don#t pay attention for the improvement in net"ork or service!
Although ufone#s management has signed rupees ;;0 million contract
&o spend its operation in interior areas and villages of pakistan but
&here is still more amount re0uired to provide better service for
Customers!
Conclusion
&elecom industry is most gro"ing industry of pakistan still huge
Investment re0uired for coverage! &he market also has strong
Competition after the entrance of china mobile company as player!
Competitors are hiring professionals to entertain the consumer "hich is
'esulting technological implementation and value added services!
Ufone is a place "here one can live his dreams and pursue a career
&hat reflects his skills and passions! 3eople in ufone give fle)ibility for
Change$ the opportunity to learn$ and providing career options "ith
?ndless possibilities the managers at ufone believes that all
?mployees have a right to offer input and be involved in helping their
Organi+ation gro"!
All departments are "orking together and they "ants to create a "ork
?nvironment in "hich employees can improve their minds$
Continuously learn$ gain professional gro"th and feel inspired by
=imilarly motivated individuals! &he ufone takes pride in providing the
Best possible "orking environment! &hey take a constant interest in
Ones progress by conducting evaluations and offering the support and
'esources one needs!
I reveal some complications in Ifindings! It has been analy+ed that
3eople are concerned about call rates they do not prefer any particular
Company! Consumer searches good service "ith lo"est call rates$
Although companies are minimi+ing call rates this "ill result more
8ro"th in the market and to meet the customer needs by satisfying
&hem!
"ecommendations
$nstallation of e)ui,ment with ,*ofessional
!nginee*s
Cellular companies must understand the "orth of their presence in
the
6arket! If there is a gro"th$ there is immense competition! Cellular
Companies should pay attention on the service "hich is providing
to
Customers! &hey *ust spend on their net"ork gro"th but don#t
reali+e
AIOU Islamabad - 22 - Consumer Behavior
Consumer Motivation
&he value of service! Advanced technological e0uipment should be
Installed "ith professional engineers this "ill benefit the
consumers!
Call *ates # sms bundle offe*
Companies should minimi+e the call rates instead of sms rates!
Ho"
=ms rates causing dirty and non-sense *okes "hich is building
Unsecured society! Adults are "asting their time in sending and
'eceiving unnecessary messages on mobile phone!
Att*acti'e ad'e*tising
After having comments on advertising campaigns "ith different
living
=tandards$ i observed that companies are not efficient in
advertising!
6ostly cellular advertisers are using rough and unreal ideas "hich
are
4ot changing consumer#s perception to"ards any cellular service!
6arketers should convince in polite "ay instead of #han&ra style!
Companies should implement the effective advertising strategies
/hich affect the consumer and easily deliver message!
Cont*ol on ad'e*tising and budget
&oo much advertising lost its importanceC companies should
control the
=pots of advertising! &hey should avoid too much repetition of ad!
3eople faded up and don#t "ant to "atch ads! &hey should educate
the
3eople and give proper complete message against call rates and
other
Galue added services!
Companies spend much money on advertising campaignsC they
should
Control it and pay attention on service!
"ecommendations
<g - the ma*or force for broadband penetration! &he follo"ing are
some
Of the recommendation for the gro"th of <g broadband market in
3akistan!
8overnment should provide ta) holiday to the "ireless operators
%or the implementation of <g services in pakistan!
&he e)pected <g license cost should be kept at a reasonable rate
&o spur gro"th in the broadband segment and should not be
AIOU Islamabad - 2< - Consumer Behavior
Consumer Motivation
Used as a vehicle for earning additional revenues for
8overnment!
Usf should also encompass the broadband services and should
,elp the operators in their e)pansion in semi urban areas and
Hater on in the rural areas of pakistan!
=ubsidies should be given on the computers$ customer premises
?0uipment and other hard"are! =teps should be taken to
?ncourage local manufacturing of such items!
Hocal content developers should be given special incentives and
Outside purchase of such content should be discouraged!
'egulation of pricing for maintaining businesses profitable
3g licensing
?)isting cellular industry is one of the most competitive industries
And it is recommended that no ne" entrant is offered licenses in 2g
Or <g market! As <g is a natural evolution for gsm and the
Broadband market is its infancy "ith limited market si+e! It is
'ecommended that A( ) ; mh+B spectrum is allocated to each
Operator and auction of remaining ;mh+ at a higher price to
Interested operator for additional spectrum! &his is help in
.eveloping the broadband market "ith significant coverage for <g
=ervices!
"#d fund
&he rMd fund is not being used for sectors benefit and it is
'ecommended that either the rMd fund is abolished or reduced to a
Hogical level "ith considering historical utili+ation "ith respect to
8ro"th in cellular industry! &he scope and utili+ation of the r and d
%und needs to focus on@
(! ?stablish of local manufacturing of handsets
2! =ubsidy on alternate uses of energy and local development
<! &raining and development of human resources for call centers
And research and telecom education
1! .evelopment of local content and soft"are development!
"efe*ences
&he information has been gathered through the various sources
Including
ufone J department of strategic planning
pakistan telecommunication authority J annual reports
2009-200:
"""!ufone!com
"""!telecompk!net
AIOU Islamabad - 21 - Consumer Behavior
Consumer Motivation
"""!pta!gov!pk !
"""!propakistani!com
"""!financialdaily!com
AIOU Islamabad - 2; - Consumer Behavior