Question: Task introductions: Your group has been appointed as a consultant for the telecommunication service provider that offers mobile and broadband plans and smartphones in the
Task introductions:
Your group has been appointed as a consultant for the telecommunication service provider that offers mobile and broadband plans and smartphones in the country. Your group has been approached by MaximCom Communications Berhad, a newly formed broadband service and smartphone provider based in Kuala Lumpur. MaximCom Communications Berhad has a satellite 5G network with complete coverage in Malaysia and some parts in Southeast Asia Region. The company has established some semblance of a marketing and management strategy, and you have been asked to review the current strategy and help the company go to the next level by growing its sales. Your group recently conducted the initial information-gathering meeting with the MaximCom's CEO, and received the following mass of information:
- MaximCom Communications maintains corporate offices in numerous cities in Malaysia but some in Southeast Asia region. However, its customer service outlets and retail sales are conducted through the company website, as well as through licensed electronics retailers. It does not maintain its own customer service or retail locations.
- Its target markets are both companies and individuals wanting smartphone phone service with worldwide 5G coverage and who are willing to pay a premium to get it. It already has about 3,000 customers in Malaysia but none in Southeast Asia region, and is hoping to grow to 10,000 by year-end including Southeast Asia Region.
- Corporate customers are more valuable customers because they are buying in larger volumes. Establishing a customer base is very important as this company attempts to establish itself.
- No sales force has been established. So far the company has received many customers in response to its advertising.
- It offers individual customers four different cost plans with respect to the broadband service, as well as five different own made smartphone options. However, corporate customers can negotiate variations within the established options.
- The smartphone themselves are similar to those used by MaximCom Communications competitors, but the satellite network providing the coverage is far more advanced.
- The company has retained a KL-based advertising and public relations agency to develop a nationwide advertising campaign. Print and television ads have recently saturated the Malaysia and Southeast Asia region and will soon be shown in the China market. The company is currently running several promotions to get its product and name known; however, its long-term goal is to offer a premium, non-discounted product that is desired
- because of its value and quality, not low price. Because the company and its product are in the early stages of development, there have been technical problems, and the company has had to provide a great deal of service to its customers.
- MaximCom Communications' CEO understands that it costs more to acquire new customers than to retain existing ones, so he would like to establish a CRM plan at some point to improve customer loyalty and retention. He has a well-trained customer service operator staff in place. However, he does not want to invest in a complicated software system right away. His current technology is giving him enough problems, he says.
The Task : Provide a report based on the following elements to be presented to MaximCom Communications' CEO:
1. Establish the company's strategy with respect to each of the four elements of the marketing mix (product, distribution, price, and promotion)? Based on the current marketing strategy, should the company's promotion mix focus be on personal selling or on advertising?
2. Establish CRM initiatives plans that you need to recommend to help MaximCom Communications' move toward to a more relationship-based business. What other recommendations might you make for him with respect to CRM?
3. Identify important types of a new sales force that need to recommend to MaximCom Communications.
4. Identify market opportunity, sales potential, and sales forecasting process that you need to recommend to MaximCom Communications.
5. Identify the compensation and incentives that you need to recommend to MaximCom Communications.
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