Relationship Marketing as Sustainable Competence a case study of Wateen Pakistan(Dissertation)

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Dissertation

Relationship Marketing as Sustainable Competence: a case study of Wateen Pakistan

5/30/2011

LONDON COLLEGE OF COMPUTING AND MANAGEMENT SCIENCES

BY

Abeer Fatima (MBA)

TO

Dr. Merry Ann


ACKNOWLEDGEMENTS        

ABSTRACT        

CHAPTER -1 INTRODUCTION        

    1.1 BROADBAND INDUSTRY IN PAKISTAN        

1.1.1 Technology Wise Net Addition in Subscribers        

1.1.2 Company Wise Market Share of Broadband Subscribers        

1.2 ALL ABOUT WATEEN        

1.2.3 Ideology behind its enterprise        

1.2.4 Target market        

1.2.5 Branding in itself        

   

CHAPTER-3 RESEARCH PHILOSOPHY – AN INTRODUCTION        

       

ACKNOWLEDGEMENTS

I am sincerely and heartily grateful to my advisor, Dr. Merry Ann, for the support and guidance he showed me throughout my dissertation writing. I am sure it would have not been possible without his help. Besides I would like to thank to my father and my classmates boosted me morally and provided me great information resources.

 

ABSTRACT

The study aims to discover the major factors behind the successful broadband company. It explores the elements behind the company’s strong vision and its focus on providing the best network, its relationship marketing factor and the effective customer services in reaching the masses within such a short span of time. Not only this, its penetration in the emerging market in this economic downturn and making it to the top most ladder of success despite the challenges.

For this very reason the inductive approach to research have been followed through which I have generated explanations from the collected data. I have selected Wateen and the message from the CEO is the driving element behind this research.

“We understand the business and are aware of the markets we operate in. We forecast the need for a fresh lifestyle which enables us to deliver solutions that are closely aligned with your individual needs and demands. We strive to deliver a hassle-free and efficient service, while concentrating on a unique and personalized customer care experience. We believe in creating value for our community through consistent efforts to deliver quality. “Wateen is your Winner” a fun platform for young-minded, free thinking and innovative people looking to spend quality time online. Wateen Pakistan will offer you global reach with a local flavor. We look forward to giving you the best in broadband”. (Wateen Pakistan, 2011)

Management (the Regional Head of Customer Services) and 35 prospective customers were selected and emailed. Many of them were young professionals at the management level in various public and multinationals and a small number of other respondents were taken as a sample.

The research findings clearly justified the reasons for Wateen to become your winner. Recommendations were based on the results and findings.

This is a comprehensive study within the Wateen and exploration of marketing relationship with service quality from different perspectives. We would be analysing having a Wimax technology as its competitive advantage, it has followed above the line and below the line brand communication, with provision of service quality and building lasting relationship with customer base in a short span of 1 year.

The basic aim of this research is to review the success factors of Wateenin emerging markets like Pakistan. Brand communication, relationship marketing and customer service aspects have been the core elements of discussion. The reason behind the very existence and survival in the market and to enable the readers to recognize the real vision behind the saying ‘my winner is Wateen’.

1.1 BROADBAND INDUSTRY IN PAKISTAN

The usage of internet has increased tremendously over the years.  As per the stats, it’s 900648 and would reach 1 million marks by August 2011 (Atta, 2011). In comparison to 43,893 subscribers in May 2011, there has been an addition of Internet service providers by 39,948 subscribers in June 2011. Although broadband growth rate has shown a decline over previous three months but if history repeats itself, there is an expectation of rise in coming months due to slashed rates. The penetration broadband in the country has reached at 0.52% at April 2011 end from 0.26% a year ago, exactly 100% penetration in one fiscal year. ()

1.1.1 Technology Wise Net Addition in Subscribers

The exact details have not been released by PTA in June 2011 about Technology wise subscribers. However EvDO has been in lead among broadband technology in terms of subscribers around 19,804 in May 2011. DSL is number 2 with 12,390 subscribers. Followed by HFC with a surprise entry of 7569 subscribers. Although, Wimax performed well over the years but it slipped at forth slot in May 2011. (Atta, 2011)

(Source: )

1.1.2 Company Wise Market Share of Broadband Subscribers

PTCL has been on number one with its huge base of subscribers and have 55% market share with DSL and EvDO services. According to PTA stats Wateen is second in line with 21% market share. Worldcall with third with 9%, followed by Wateen with 7%. Though Wateenhas been on fast lane as per its subscribers, however due to the change in definition of active subscribers, it has to reduce its subscribers. It is expected that with the summer offers Wateenwould have a rise in users.

(Source: )

1.2 ALL ABOUT WATEEN

1.2.1 Vision

 To be the top wireless broadband player in Pakistan in terms of market share 2012.”

1.2.2 Background

In May 2007, a consortium of three corporations combined to acquire Burraq Telecom Limited by taking control of 75 % of stakes. These new stakeholders are:  

(Source: Company Internal data)

Footprint

The company has telecom assets in over 5 countries with access to WiMAX spectrum (e.g. Jordan, Pakistan, Philippines).        

Acquisition Experience

The company has bid for over 10 licenses and assets with a success rate exceeding 50%.

Regulatory Requirements

Wateenhas ongoing discussions and relationships with regulators across most of the priority countries.

Strong Pipeline

Multiple opportunities are currently being assessed, with 3 in advanced stages.

Credibility                        

 Wateenis now established and recognized in the wi-max community – getting considerable support from vendors and potential partners.

(Source: Internal company data)

1.2.3 Ideology behind its enterprise

The core factors behind this establishment have been revolving around creating a fun Atmosphere that brings people online. To developing mutually benefitting relationships among its employees, partners and suppliers.  This would not only meet customer expectations but help in exceeding them by striving for innovation and maintaining a continuous relationship. Wateenensures to manage it’s our operations, finances and services with honesty, efficiency and effectiveness.

1.2.4 Target market

Young at heart aged between 18-35, internet savvy without necessarily a hard core user. An early adopter of new technology and wants to be a vanguard.

1.2.5 Branding in itself

Every company who wants to craft its brand presence in order to connect itself with a market spends a lot of time and effort for a perfect logo, its tagline, its design language and the tone of voice with regards to its marketing vehicles. One of the major elements in this all is the corporate naming.

1.2.6 Naming strategy

This can be thought of as a seed to your company’ brand. It sets the tone for both company’s short-term demand and long term credibility in market. The selection of name involves a strategy that not only rolls off the tongue and is captivating and unforgettable. It has to reach deep into the emotional gut of the market and has to have a connection that your competitors lack.

The naming strategy behind Wateen is significant to its very existence. The logic behind it is very simple. The word “wi” anchors brand to telecom and is an invitation to people to join a community. Thus, a corporate naming strategy that “says it all” is reflective in the marketing investments they have made.

1.2.7 Colour

The cool grey color shows the monotonous and colourless lives of people and burgundy colour illustrates that Wateen is filling people’s dull lives with colours. As Burgundy is a unique colour and not used by many of the companies in Pakistan that would make it stand out in local market. (Source: Internal company data)

1.3 PROBLEM DEFINITION

The basic aim of the study is to analyze the Asian in particular Pakistani broadband market and Wateen’ entrance, its position and competitive advantage over others. We would be evaluating the strength it has and would be sufficient to make it survive in the long run? Is it just the end or a beginning with broader prospects to capture other forms of technology (like DSL / Fibre)?

RQ1. What are the challenges faced by Wateen entering a new market?

RQ2.  How to counteract with rivalry while placing the products against them?

RQ3. Critically evaluate the marketing strategy to attract an emerging market?

RQ4: is there any link between service quality and productivity?

1.4 RESEARCH AIMS / OBJECTIVES

  • To critically analyse the potential Asian – Pakistani broadband market.
  • To determine the extent of competitive advantage of Wateen in comparison to its competitors.
  • To review the survival of the fittest strategy implementation.
  • To crucially analyse the strategies for capturing the emerging market.
  • To reassess its service quality as a means for relationship marketing.
  • To establish how service quality would bring long term sustainability.
  • A critical review with regards to marketing and brand communication.
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Saunders, et al (2007) describes “Reviewing the literature critically will provide the foundation on which research is built”. Thus literature review forms an integral part of the entire research process. The literature that would be reviewed would reflect marketing strategies and quality of service for bringing sustainability in the long run.

2.1 BRAND COMMUNICATION

A significant source for company sustainability is the development of a brand. It could be communicated by following above-the-line communication and below-the-line communication. Broderick and Pickton (2005) explain ATL (above-the-line) communication as advertising ...

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