Sei sulla pagina 1di 61

Banglalink - You First

1.0 INTRODUCTION

1.1 Introduction Much of the world has, at best, limited access to basic telephone service. Bangladesh is no exception to this rule. A brief survey of the telecommunications sector in Bangladesh (PBC) shows that in Bangladesh, which ranks among the most densely populated countries on the globe, one telephone serves 275 people, equating to one of the lowest teledensity measures worldwide. Of the total telephone count in Bangladesh, approximately 20 percent serve the rural areas. The need for telecommunications sector investment and growth is obvious. This is especially so if Bangladesh intends to participate and coexist economically and socially in a larger information-intensive world.

There were only 3,000 users when mobile phone was an expensive personal gadget of the society's affluent segment. Competition was introduced in 1996. Since then mobile phone gradually became a general-purpose communication tool and today it boasts of 6.25 million users representing a 132 percent compound annual growth rate. It is predicted that there will be around 10 million mobile subscribers in the country by 2006.

Middle to higher income citizens has been dominating the mobile customers. Lately the lower income group started joining the club. It was fuelled after Banglalink rocked the market by bundling subscription and handset at Tk1, 500 only. Later people became more excited after the launching of Teletalk.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 2 -

Banglalink - You First

AKTEL stunned the market introducing one-second pulse. GP made history with launching EDGE, the very first step towards third generation mobile phone. City Cell's free handset offer coincided with Sing Tel's acquiring this CDMA operator last week. Graph of our mobile phone market's growth was to take the shape of a "Hockey-stick" by this year.

Banglalink was the last addition to the GSM family of OTH. In September 2004, OTH acquired a mobile services company, Shebatel in Bangladesh with a nationwide GSM license valid until 2011. Since then, OTH has installed new management, upgraded the network and re-branded the company as Banglalink. Banglalink has rapidly deployed new network infrastructure, set up a distribution network and points of sale, and designed complete commercial plans to offer high quality voice and data telecommunications services at competitive prices to the people of Bangladesh. It is also worth mentioning that an unprecedented success of sales results followed the Commercial launch of Banglalink on the 10th of Feb 05.

The mobile phone market is a part of the consumer service industry. Banglalink, like any other successful company dealing with consumer commodity, has to keep a continual tap with the prevailing and potential subscribers. Due to this reason, Banglalink has to undertake intensive branding activities to facilitate the attainment of short-term organizational goals and long-term objectives.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 3 -

Banglalink - You First

1.2 Problem Statement At present Banglalink is facing intense competition from its major competitors like GP, Aktel & City Cell. They are competing with each other by cutting tariffs, offering more services, extending validity etc. So, the only way to make an impact on the subscribers mind is to create a strong brand & to effectively communicate the brand image to its target audience. In that way a company can set itself apart from its competitors. Under these circumstances, the problem statement would beBanglalink wants to know the impact of its branding & communication on subscriber perception, and based on the findings from the survey, intends to find out the position of Banglalinks brand image comparing to the brand image of its competitors.

1.3 Research Design In order to find out the brand image of Banglalink comparing to other mobile phone companies, exploratory research design has been implemented. Now there is rationale behind taking this exploratory research design over descriptive research design. Exploratory research is more flexible and versatile in nature. It can be conducted by a single researcher with a minimum no. of sample size. This kind of research gives more insights for developing an approach to the problem. It establishes priorities for further research. This research has given us a dictation of Banglalinks brand image.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 4 -

Banglalink - You First

2.0 BANGLADESH TELECOM INDUSTRIES


2.1 Introduction The definition of telecommunication is changing day by day. Before, telecommunications meant telephone systems. But today many other things have crept into modern telecommunication. Now, we have to deal with a wide spectrum of communications equipment and technology. In the broadest sense, telecommunication means any system that handles voice, data, video or any handling of information in motion, whenever it is found, in whatever form. Telecommunication is the main backbone of any country. No country can sustain development without a strong telecom infrastructure. One of the first priorities of any government is to be able to communicate smoothly around the country.

Despite the slow development of telecom services in the past, improved commitment, guaranteed funding and entering of new and powerful organizations both in and outside of the country gives the hope that the ongoing telecommunications projects will be successful and the overall telephone infrastructure of Bangladesh will grow stronger.

The mobile phone customers in Bangladesh have been happier than before at present because they have more choices regarding service providers at present. The market was dominated by only three networksGP, Citycell and Aktel till end 2004 when another major player entered the mobile industry. The market leader certainly sees the threat of new entrants not much of threat because of the steep learning curve, established customer base, efficient distribution model and strong brand presence etc. But the question arises whether this is enough to stop the redistribution of the market share for mobile phone operators

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 5 -

Banglalink - You First

2.2 History Bangladesh Telecom Limited (BTL) has obtained the license as the first company of the country to operate cellular, paging, and other wireless communication networks in 1989 and it turned into Hutchison Bangladesh Telecom Limited and launched Bangladesh's first cellular operation in August, 1993. And in February 1996, HBTL was renamed Pacific Bangladesh Limited (PBTL) and launched 'Citycell Digital' to market its cellular products.

Ending Citycell's monopoly business, TM International (Bangladesh) Limited, a joint venture company of Telekom Malaysia Berhad and A.K. Khan & Co. Limited was established in the year 1996 and the company launched its operation in 1997 under the brand name 'Aktel'.

The big player GrameenPhone (GP) obtained its cellular license in November 28, 1996 and launched its operation in March 26, 1997 and never looked back.

And after that another Malaysia-Bangladesh joint venture Sheba Telecom (Pvt) Limited launched its operation in 1998. But failing to come of the competitive edge, Sheba Telecom formally sold its cent percent shares to Egyptian telecom giant Orascom and Orascom formally launched its operation under new brand name Banglalink in February 10, 2005 and shook the market with its inaugural package.

Though the much-talked about state owned company Teletalk Bangladesh Limited (TBL), the mobile unit of BTTB was formed on December 26, 2004 and Prime Minister Begum Khaleda Zia inaugurated Teletalk Mobile Service on December 29, 2004, but it formally launched its mobile telecom service on commercial basis on March 31, 2005.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 6 -

Banglalink - You First

2.3 Present condition of the telecom industry In 1979 The Bangladesh Telegraph and Telephone Board (BTTB) was formally constructed and is still the biggest telephone operator of Bangladesh. But responding to the need for better communication that BTTB has to provide new and more efficient companies are entering the telecom market. BTTB is no more the sole provider of telecommunication services but it still does have a monopoly on fixed lines. Presently, BTTB has over 7 Lakh fixed connections but mainly based in the major cities and towns. Bangladesh has a low teledensity of 0.79 phones per 100 people- lowest in this region (BTTB to reduce, 2004). This is due to the fact that telephone services are still limited in the villages. Bangladeshs Rural Telecom Authority (BRTA) only had a capacity of 24,000 connections until 2002. Figure 2 below shows the percentage of waiting customers in four of the important divisions of the country as of June 2001.

Dhaka 62% Rajshahi 10% Chittagong 15%

Khulna 13%

Figure 1 Allocation of Telephone connection in different cities


Division Percentage Dhaka 62 Rajshahi 10 Chittagong 15 Khulna 13

Table 1 Allocation of Telephone connection in different cities With the introduction of wireless system in the early 70s, there was a massive change and sudden burst of telephone facilities in BD. In a true sense, with the implementation of wireless communication, general people are getting greater access to telephone facilities although it is yet not very significant level.
Comparing the Brand Image of Banglalink against the other Mobile Phone Companies Page - 7 -

Banglalink - You First

2.4 Introduction of mobile telecommunications system In 1998, four different private operators were allowed to operate in different types of telecommunication services. Of these 2 of the operators worked in rural areas, one was providing radio trunking and passive services and one was providing mobile phone services. The mobile service provider was City Cell sponsored by Pacific Bangladesh Telecom limited. City Cell provided telecom services both in rural and urban areas. Although mainly based in cities and towns, city cell had interconnectivity with Butts land lines. City Cell was the first mobile service provider of Bangladesh. Initially it had a monopoly on the mobile service but only until 1996. SHAPE \* MERGEFORMAT

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 8 -

Banglalink - You First

Figure 3.2: Interactive Cellular Coverage Map 1999

In 1996 two new operators entered the market- GP and Sheba. Shebas service was limited to Dhaka but GP spread its network rapidly. Today out of the 64 districts, GP serves 50 districts in Bangladesh and its network is divided into 6 zones- Dhaka, Chittagong, Khulna, Sylhet, Barishal, and Rajshahi. GP has two kinds of services- GP national and GP regular. GP national provides connection with BTTB and all other mobiles throughout the country wherever GP has its network. GP regular only connects to GP mobiles throughout the country according to its coverage. The map below shows the network coverage of GP in Bangladesh. According to the map, GPs network coverage is well spread out and increasing at a rapid pace- considering the fact that GP started in 1996 (General information. n.d.).

Grameens cell phones have reached a massive number of villages. GP, funded by the Grameen Bank (10%) and Nortel (90%), has used the optical fiber network owned by Bangladesh Railway. The fiber optic cables were originally laid by the Bangladesh Rural Transport Authority (BRTA) but never used. Therefore Grameen Phones network has been easily connected to any mobile users who are adjacent to Bangladesh railway tracks. The GPs village program was started in 1997 and is providing service to people in the remote rural areas of BD. According to statistics of October 2003, there are more than 39,000 village phones in operation. These village phones are operating in 58 districts and in approximately 28,000 villages- providing telecom facilities to more than 50 million people in remote areas.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 9 -

Banglalink - You First

Besides GP, CityCell and Sheba there was a fourth cell phone operator called Aktel. Aktel joined Bangladeshs fast cell phone operation in 1999. Although mainly based in Dhaka, like Banglalink, Aktel has been able to attract customers and maintain control of quality.

2.5 Network System Frequency (MHz) Network System Frequency (MHz) Pacific Bangladesh Telecom CDMA 800 Banglalink GSM 900 Aktel Telecom GSM 900 Grameen Telecom GSM 1800 & 900 Table 2 Present services and technology Table 2 above shows all of the cell phone providers in Bangladesh. According to the table, currently Bangladesh has 2 systems running in the country- Code division multiple access (CDMA) and Global standard mobile (GSM).

As in Bangladesh, Pakistan has expanded its telecom operations through encouragement of private companies- private cell phone operators. Thus, Bangladesh and Pakistan are similar in telecom operation. Bangladesh has four mobile operators- City Cell, Aktel, Sheba and Grameen. Of this Grameen is the major service provider which covers all 50 districts in Bangladesh (General Information. n.d.). On the other hand, Pakistan also has 4 mobile

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 10 -

Banglalink - You First

operators- Instaphone, Paktel, PTML, and Mobilink. Mobilink is the major service provider in Pakistan and controls 48 percent of mobile phone market. Pakcom or Instaphone was integrated in 1991. Today it offers country wide coverage in all provinces. Paktel is a joint venture company and the first one to introduce the idea of mobile in Pakistan. Mobilink which is the largest share holder is also a join venture. Mobilink has 1 million users in major cities and towns.

Bangladesh has a population of 130 million. Dhaka alone holds 12 million people and BTTB has less than 0.8 million subscribers. The rate of demand has been increasing since the inception of telephones but pending demand has been increasing for decades (BTTB history, n.d.). However, this is not the case in cell phone sector. The Cell phone is a relatively new concept in BD, yet cell phone operators have managed to increase their capacity- presently there are approximately 2 million cell phone subscribers (Land phones, 2004). Pending demand does not exist in the cell phone sector due to rapid growth. As mentioned earlier, Grameen alone covers 50 districts of BD and has a well spread out network. BTTB has been handicapped by inefficiency and corruption. BTTB does not work within agreed time frames. Therefore, delay in procurement and decision making causes delays in procuring and installing of equipment (exchanges in this case) which are the main equipment for increasing capacity.

Revenue collection has been one of the most noticeable successes of cell phone operators in contrast to BTTB. There is not scope for later payment or dues in the cell phone sector. If one does not pay his bill, he will be disconnected automatically. Thus, no one gets special benefits and as a result every subscriber is of equal importance regardless of his rank within

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 11 -

Banglalink - You First

the nation. On the contrary, cell phone operators have been practicing strategies to exploit subscribers. Compared to other countries, Bangladeshs cell phone operators charge high prices. Because they are not monitored by the government, and the fact that the demand for cell phone connections is high and operators have given birth to new concepts such as GP to GP and No outgoing. The first term GP to GP means that the subscriber can call only to a cell phone but not to a land line and No Outgoing means that the user can receive international calls but cannot make international calls.

3.0 BANGLALINK AN OVERVIEW


TM

3.1 Orascom Telecom Holding Ltd. Orascom Telecom Holding S.A.E (OTH), one of the most dynamic telecommunications company in the world, was established in 1998. Originally an Egyptian company, headquartered in Giza, Egypt, now operates in more than 10 countries and has grown to become the largest and most diversified GSM (Global Systems for Mobile Communications) network operator in the Middle East, Africa and Asia. With nine licenses covering the region, Orascom Telecom has positioned itself as a leading telecommunications conglomerate in emerging markets of this region. In fact, most of its companies are leading the industry in the country they operate, notably Mobilink in Pakistan. It is also the largest capitalized company on the Cairo & Alexandria Stock Exchange.

Orascom is a conglomerate of three different companies:


Comparing the Brand Image of Banglalink against the other Mobile Phone Companies Page - 12 -

Banglalink - You First

Orascom Construction Industries, Orascom Technologies, and Orascom for Hotels and Tourism.

However, Orascom Telecom is a holding company that owns and runs several mobile GSM networks across Egypt, the Middle East, Africa, and the Indian subcontinent. A Part of Orascom Telecom is publicly traded on the London and Cairo Stock Exchanges and the remainder of shares in the company is owned by the Sawiris family in Egypt.

Within five years from the date of its inception, OT established strong presence in the GSM Association (the world's leading wireless industry representative body), represented by Chairman and CEO Mr. Naguib Sawiris, who was selected to join the GSM Associations CEO Board since 2003. OT will have a strong impact on the multi-billion dollar global wireless network business, and will help guide the strategic planning for the future of the industry in the world.

The Sawiris family, of Egypt, owns the majority stake in the company (56.9%). Orascom Telecom Holding is a leading player in the Cairo and Alexandria Stock Exchange where it is traded under the symbol (ORTE.CA). On the London Stock Exchange, its GDR is traded under the symbol (ORTEq.L). OTH's IPO raised US$320 million during the year 2000, and was the largest offering on the Egyptian Stock Market at the time

The above operational facts indicate the following market share per subs: Country Algeria Brand name Djezzy Market Share 73.0%
Page - 13 -

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Banglalink - You First

Pakistan Mobilink 63.8% Egypt MobiNil 53.5% Tunisia Tunisiana 29.4% Iraq Iraqna 100.0% Bangladesh Banglalink 1.0% Congo Brazzaville Libertis 36.8% Zimbabwe Tel Zim 31.0% Democratic Republic of Congo Oasis Telecom 5.1% Table 3 Orascom's market share per subs

3.2 Banglalink - The Tiger Banglalink is the latest addition to the GSM family of OTH. Naguib Sawiris, Chairman and CEO of OTH, announced the acquisition of Sheba Telecom (Pvt.) Limited with a cost of US$60m in September of 2004. The company aims to make a difference in the lives of the people. Its vision is to understand people's needs best and will create and deliver appropriate communication services to improve people's life and make it easier. Their mission is, therefore, to reduce the total cost of ownership of buying and using a mobile phone. Moreover, to achieve this vision, the company has established some values that it tries to instill in its employees. They want their employees, and the company as a result, to be straight forward, reliable, innovative and, above all, passionate.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 14 -

Banglalink - You First

As Sheba Telecom, the worst performing network operator in the industry, the company had only 30,000 subscribers. To dispel this image, OTH had re-branded Sheba as Banglalink in an attempt to give it a completely new image. With that kind of a reputation at its disposition, the Banglalink management has placed one of the highest priorities on improving its network. In this respect, they have installed state-ofthe-art equipment from Siemens and Huawei and brought in over 1,000 people, including experts, from 15 countries around the world to set up the required infrastructure. The system took a record of four months (less than half the normal time) to build. In 2005 alone, Orascom plans to invest $120 million, earmarking close to another $300 million for future investments.

While Banglalink started out quite small, it has increased its coverage from 9 to 23 districts in just over three months. The company plans to provide mobile communication coverage to all the 61 districts of the country and its major highways by the end of the year. Moreover, in less than only four months, it now has more than 400,000 subscribers from a mere 30,000 in February before the launch.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 15 -

Banglalink - You First

3.3 Functional Departments of Banglalink There are approximately eight functional departments in the organization. The functions of these departments are described in the following sections: Sales Marketing Human Resources Customer Care IT & Billing Administration Finance Technical

1. 2. 3. 4. 5. 6. 7. 8.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 16 -

Banglalink - You First

Management Team Chief Executive Officer Lars P. Reichelt Chief Commercial Officer Mehboob Chowdhury Chief Information Officer Ramzi Chmaitilly Chief Financial Officer Ezzeldin M. Heikal Chief Technical Officer Moustafa Aly Ghidan Director Marketing Omer Rashid Director Sales Hassan Samy Chief of Human Resources Mohamed Ahmed Allam Table 4 Top Management of Banglalink

3.4 The Brand: BanglalinkTM and its prospects

In September 2004, OTH purchased 100% of Sheba Telecom in Bangladesh for US$ 60 million, and re-branded the company as Banglalink. Bangladesh is an extremely attractive market due to its large and highly concentrated population of 140 million, low mobile penetration of 2.5% and high growth of mobile subscribers. Banglalink launched its prepaid services in February 2005 in nine major cities and expects to invest over US$ 200 million in expanding its network coverage and capacity. Banglalink started its aggressive plans by quickly expanding its GSM network to provide high quality communications services at affordable prices. In just under five months, Banglalink launched its prepaid services in nine cities.
Comparing the Brand Image of Banglalink against the other Mobile Phone Companies Page - 17 -

Banglalink - You First

Bangladesh is an immensely promising telecoms market, with a population of 140 million. With mobile penetration of 2.5% and with a fixed line penetration of approximately 0.6%. Bangladesh is a densely populated country with more than 950 people per square kilometre, making it one of the most densely populated countries in the world. Currently, there are four operators, of which three are GSM and one CDMA. The state owned landline operator, Bangladesh Telegraph and Telephone Board (BTTB), is also expected to enter into the cellular market. It is estimated that about 10% of the urban population has access to telecom services.

Mission "Banglalink understands people's needs best and will create and deliver appropriate communication services to improve people's life and make it easier" Vision Banglalink aims to understand peoples' needs best and develop appropriate communication services to improve peoples' life and make it simple. All our work is aimed towards meeting our vision. All members of the Banglalink family are highly passionate individuals, fully committed to achieving the vision that we have set ourselves. Our customers' needs matter most to us- making their life simple and improving it is all we want.

To ensure their vision is achieved, we have set ourselves a few values, we want to be: Straight Forward Reliable Innovative

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 18 -

Banglalink - You First

Passionate

Objective: All the Banglalink family members have one thing in common-A passion to serve.

They want to go that extra mile, so that people can have the best possible service investing in the future of Bangladesh

3.5 Areas covered by Banglalink:

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 19 -

Banglalink - You First

Following map shows the current and expected coverage* of Banglalink.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 20 -

Banglalink - You First

Figure 2 Banglalink Coverage Map 3.6 SWOT Analysis of Banglalink 3.6.1 Strengths
Comparing the Brand Image of Banglalink against the other Mobile Phone Companies Page - 21 -

Banglalink - You First

Huge capital investment: As mentioned earlier, Orascom Telecom has great plans for Banglalink. Wherever OTH has gone, it has become the industry leader there or is on its way there. A possible explanation is that the organization kicks of its companies with a huge capital outlay to help get rid of or solve all the hitches. In 2005 alone, Orascom will invest $180 million, earmarking close to another $300 million for future investments. Expertise: As mentioned earlier, OTH had over 1000 people, including 15 experts, working on the infrastructure to get the company started in a record four months. These experts, with several years of experience in the telecom industry, now help in the day-to-day operation of the business. Tight control over sales process: Many people in the industry do not know the sales process, since its is dealt by their distributors and dealers. However, with the Direct Sales Booth, the people involved know the sales process intimately and are responsible for achieving the sales target and project implementation, thus giving the company a strong control over the process.

3.6.2 Weaknesses

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 22 -

Banglalink - You First

Network: The greatest weakness of Banglalink and also the most widely criticized service is its network. While the reception is quite clear when the user is out of doors, once inside, the reception breaks up. The worst part is the company has entered a market where the industry leader has been reigning supreme for years now and people are bound to compare the leaders services with Banglalinks performance, even if it is fairly new to the market. People tend to forget that it had taken the leader more than three years since its start to provide its subscribers with a decent connection; hence it is with Grameens present performance that Banglalink is compared and sure enough the latter does not fare well. Unorganized structure: OTH bought off Sheba (Pvt.) Limited last September and immediately started changing the structure of the loosing concern. They are constantly recruiting people, adding/deleting levels to the organogram. Thus, the environment is constantly chaotic, with many people not knowing who to contact or whom to report to and who is responsible for what. This takes away time and energy away from the selling activities. Inadequate human resources: While many people drop off their CVs at the office on a regular basis, finding sufficient numbers of people, with the correct qualifications, has become hard to find. Hence, a handful of people are doing the work of many leading to back log of work. Bureaucracy: The new management is trying to create a system where each individual is responsible and accountable for his duties. While it is a good idea, it has also created a

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 23 -

Banglalink - You First

bottleneck at the administrative & financial level, where work gets stuck and stays stuck until all papers are properly signed and taken care of.

3.6.3 Opportunities Re-invent itself: As mentioned earlier, the company created a strong buzz when it entered the market. Previously an unknown entity, many people now know of the existence of Orascom Telecom. They have done their studies and know that OTH stands for success. Thus, the people are ready to see Banglalink as a total different entity from its predecessor and are willing to give it another chance to re-invent its image in the market; not an issue to be taken lightly by the company.

3.6.4 Threats Price wars: While in the true sense it had been Banglalink who started this price war with its M2M package, it has created a series of price cuts that many cannot afford. After eight years of high call charges, Grameen has finally decreased its rates. BTTB has also entered this battle with Teletalk Bangladesh Limited. With free T&T incoming and outgoing, this is sure to become popular once it gains access to other operators networks.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 24 -

Banglalink - You First

4.0 BRAND - DEFINITION AND EXPLANATION


4.1 Introduction Branding is an effective marketing strategy tool that has been used with frequent success in the past. Today, branding is experiencing a new popularity resulting from new, innovative applications. Although there have been instances where branding has been less than successful, marketers are beginning to find the appropriate applications in a given setting. Issues and problems concerning branding strategy today include the selection of a brand name. This fundamental issue will impact on the success of a branding strategy. Once a name is selected, marketers have to choose the advertising strategy to support and communicate the name. Finally, keeping the brand in a strong position is a critical concern.

Organizations are using branding as a strategy tool in today's business environment with increasing regularity. Although brands and branding are not new ideas, firms are applying them to more diverse settings where the role of branding is becoming increasingly important (Wentz and Suchard, 1993). The traditional role for brands is also experiencing rejuvenated interest. Market analysts generally agree that this trend will continue and be part of a formula for successful firms in the future (Norris, 1992).

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 25 -

Banglalink - You First

4.2 Brand definition One definition for a brand has been offered in the Journal of Marketing Management by Professor Peter Doyle of Warwick University: "A name, symbol, design, or some combination which identifies the product of a particular organization as having a substantial, differentiated advantage" Some important definition of brand is given here. A brand suggests the best choice. Organizations develop brands as a way to attract and keep customers by promoting value, image, prestige, or lifestyle. Ginden, 1993 O'Malley, 1991, p. 107.

A brand as something the customer knows and will react to, and this image will influence the perceived worth of the product and will increase the brand's value to the customer, leading to brand loyalty The Economist, 1988

The purpose of branding is essentially to build the product's image. Cleary, 1981

Brands can also reduce the risk a consumer face when buying something that they know little about So we can say that, Branding is a technique to build a sustainable, differential advantage by playing on the nature of human beings. Only humans can attach meaning and feeling to inanimate objects and a random collection of symbols, which suggests the appeal of branding, is not entirely rational. Montgomery and Wernerfelt, 1992

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 26 -

Banglalink - You First

4.3 Background of Branding As previously mentioned, the use of branding by big business is not a new idea. Business historians agree that branding itself is over 100 years old, with the majority of countries having trademark acts to establish the legality of a protected asset by 1890 (The Economist, 1988). It was from 1800 through 1925 that was known as the richest period of name-giving (Hambleton, 1987). From these beginnings, branding has evolved as a major component of marketing strategy. Its uses and applications continue to grow and diversify. Although the focus of branding has shifted over the last two decades, its importance to the business community and the consumer has not diminished. In his book, Great American Brands, Cleary (1981) writes that without trademark brands, there would be no trustworthy marketplace and no sure, simple way to know what to reach for and what to avoid.

Main focus of the 1980s The main focus of the 1980s regarding brands was takeovers. This trend made successful brands very valuable on the open market. Large organizations felt and often still believe that the brand is more important than the product itself (Magrath, 1993). Many thought the only way to have a successful brand was to buy one. Karel (1991) says that there are many advantages to investing in a brand and company name simultaneously. Many feel the development of new megabrands would be impossible in the future and money would be better spent on acquisitions than on research and development. The fact that 90-95% of all

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 27 -

Banglalink - You First

new products failed strengthened the argument that takeovers made more sense than trying to develop new successful brands (Dagnoli, 1990; The Economist, 1988).

It was during this period that many brands began to suffer. With the changing management associated with takeovers and acquisitions, brands failed to maintain a clear image in the consumer's mind. Consumers were becoming confused about what a brand represented. Some feel that brands themselves are doomed because of years of inconsistent advertising and agency management, generic marketing, look-alike advertisements, indistinctive products, and the proliferation of promotions (Liesse, 1990; Wentz, 1993).

The strategy of the 1980s has influenced, but not dominated, the strategy for the 1990s. Firms are beginning to realize the shortcoming of the previous decade and are changing their focus on branding. The importance of the product itself is beginning to be emphasized. In her article, "What's in a name", Zbytniewski (1992) writes: "95% of consumers buy with their eyes. It's what's underneath the label that matters. The label is secondary (p. 11).

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 28 -

Banglalink - You First

4.4 Issues/problems regarding Branding Brand naming Perhaps the most fundamental problem regarding the issue of branding is what name to use. Berry (1988) goes as far as to say that a well-chosen name can give a company a marketing edge over comparable competitors. They concede that a name may not make or break a company but it may be a key factor in its success or failure. Ginden (1993) points out that the point of a name is to have consumers link it to quality. Early in the period of branding, products were given distinctive names to differentiate them (The Economist, 1988). These were usually the last names of the inventor, founder or investor. However, today the trend is toward more descriptive titles (Hambleton, 1987).

Six-step method Shipley and Howard (1993) suggest a six-step method for naming products that branders can use for other products as well. It starts with setting the brand objective followed by specifying branding criteria, generating name ideas, selecting name ideas, and finally, selecting a name. Berry et al. (1988) have set criteria for formulating brand names. They suggest a name should have four characteristics, including distinctiveness, relevance, exorability, and flexibility. All products should avoid generic sounding names and should convey the essence of the product through indirect connotations. Names should be simple, brief, and easy to pronounce and read. They should not rely on cuteness or gimmicks and should be broad enough to change over time. The use of geographic references and purely descriptive terms are not recommended. Effective graphics and logos are recommended, however, to support the name.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 29 -

Banglalink - You First

Brand advertising After spending resources on naming a product, it is imperative to support it through advertising and communication (Berry et al., 1988). For a product to succeed, the brand owner must dedicate more resources to promoting it through advertising. O'Malley (1991) writes that advertising is a key to sustaining appeal of brands. It is also a key to developing that appeal in the first place. Gregory (1993) says that the first job of advertising is to build brand awareness and corporate brand approval. Through advertising, marketers expose the potential consumer to the brand and give them the opportunity to accept it. Advertising should be thought of as an investment in the brand it is promoting. Just as a company would invest in technology and innovation, it must also invest in advertising and promotion if it is to succeed (Wentz, 1993).

Advertising, marketing and promotion In Liesse's (1990) article, John S. Bowen, chairman of D'Arcy Mesius Benton & Bowles says, "Brands that offer consumers a consistent ad message and regularly updated product will lead their industries" (p. 52). He goes on to say that companies which believe in outstanding advertising are those which will build leadership brands. The commitment to the brand's success is encompassed in its advertising. In the increasingly competitive marketplace, advertising, marketing, and promotion may be the only things that differentiate extremely similar products (Coonan, 1993).

Brand research and development Once a brand has successfully entered the marketplace and has achieved status as a leading brand, marketers must be concerned with keeping it there. O'Malley (1991) points out that,

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 30 -

Banglalink - You First

strong brands cannot rest on their success and brand owners must constantly review the appeal of their brands to ensure that they remain contemporary and relevant. Although it has been suggested that killing a brand leader is difficult (O'Malley, 1991; The Economist, 1988), companies which neglect their brands increase the risk.

Formal tracking method Market research should be used to monitor consumers, competition, and changes in the environment that may affect a company's brand (O'Malley, 1991). This gives the company the advantage of knowing how its brand compares with the competitions and how it fits into the big picture. It is important for a company to know if consumers have the same perception of its product as itself.

Creating a brand image Creating a brand image involves getting customers to know that the brand exists. Once a brand has been separated from the crowd, it is easier to develop its image. The branding process itself may be the starting point for product differentiation (Allen, 1992). Many brands are similar. Brand leaders are often close to being identical. The image a top brand develops may be the only way for the consumers to tell the difference (Carey, 1991). The difference will exist primarily in the mind of the consumer. The consumer will perceive one brand as more desirable than its competitor's and purchase it based on those perceptions. In his article, "The new you", Carey (1991) lists several criteria to decide if a brand has an identity, based on how well it has been differentiated. He suggests that if the brand has a recognizable identity, then it should be aimed at opportunity markets to yield maximum success.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 31 -

Banglalink - You First

4.5 Conclusion Branding can be an effective and powerful tool for all types of business organizations. If brand owners use their product correctly, the payoffs can be substantial. However, if brands are mismanaged, the results can be damaging. There are many ways to ensure success with branding. Choosing the right name, using the right advertising, applying the best strategy, and using the most relevant application techniques are some ingredients needed to make a branding effort successful. As stated earlier, this is not an easy function. Brand owners and marketers must deal with the changing environment and other factors that affect their ability to be effective.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 32 -

Banglalink - You First

5.0 RESEARCH FINDINGS 5.1 Overview Overview of Findings of Question No. 1: Question: You are the subscriber of which mobile company/ companies? Type Frequency In % Subscribers of 4 Companies 3 3.75 % Subscribers of 3 Companies 17 21.25 % Subscribers of 2 Companies 24 30.00 % Subscribers of 1 Company 36 45.00 % Total 80 100.00%

Table 5 Overview of Findings of Question No. 1


40 30 20 10 0 Subscribers 17 24 36 Subscribers of 4 Com panies Subscribers of 3 Com panies Subscribers of 2 Com panies Subscribers of 1 Com pany

Frequency

Figure 3 Overview of Findings of Question No. 1 In order to find out the brand image of Banglalink, the questionnaire was started out with a very important question. The first question was --- You are the subscriber of which mobile company/ companies? (If you have the subscription of all the four companies please tick all of them.). Among the thirty questions the respondents were asked, only in this first question they had the option to make a tick mark in more than one question. After the completion of
Comparing the Brand Image of Banglalink against the other Mobile Phone Companies Page - 33 -

Banglalink - You First

questionnaires it was observed that out of 80 respondents 3 respondents are using all of four mobile connections, 17 respondents are using three mobile connections, 24 respondents have two mobile connections and 36 respondents have only one mobile connection. Discussion: If this first question was asked just five years ago this it may sound very difficult. But in the year 2005, where all the prepaid SIM cards are highly affordable to purchase (even where the post paid connections are not that much expensive); this question was very much relevant. With this question it has become clear that the respondents have good amount of idea regarding which mobile company is offering which kind of services. With the help of this answer the researcher came to know that the following questions which will be filled up by the researcher is going to be more valid. In answering this first question many respondents said that though they carry more than one mobile companys SIM, end of the day they will be carrying only one SIM depending upon the service and tariff of the mobile company. There is a rationale behind this. A strong reason behind this is to simplify life, to get important phone calls on time. Because if the respective sample gives more than one mobile no. to different persons he or she can miss important phone calls and also important SMS, which will definitely disrupt others also. Overview of Findings of Question No. 2: Color Recall Testing Company Out of 80 GP 70 Aktel 30 City Cell 35 Banglalink 50

In Percentage 87.50 % 37.50 % 43.75 % 62.50 %

Table 6 Overview of Findings of Question No. 2


80 No. of Respondents 60 40 20 0 30 35 70 50 GP Aktel City Cell Bangla Link

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies
Mobile Companies

Page - 34 -

Banglalink - You First

In

Figure 4 Overview of Findings of Question No. 2 question the researcher tried to find out the color recall capability of the mobile phone advertisements. In all the four mobile phone advertisements and in their logos and graphics there are unique colors. Among the 80 respondents it was found that 70 respondents could recall (out of 80) the color of GP, 30 respondents could recall the color of Aktel, 35 can recall City Cells color and finally 50 can recall the color of Banglalink.

the

second

Discussion: Color recall testing was a very important question in finding out the brand image. It was observed that in order to build up a strong brand image it is very much essential to build up all the advertisements, logos and graphics upon one or more unique color. It helps customers to easily remind that which company is giving which advertisements. At that time it becomes easier for them to understand which company is giving the advertisement just by seeing the color only. GPs advertisements are basically built up by the major combination of red and green. This red and green represent the national flag of Bangladesh. Any color combination which represents the nationalism concept generally brings a good attraction among the population of a country. For this reason it was observed that 87.50 % respondents were capable to catch the exact color of GO. But in case of Aktel and City Cell the color recall test do not provide a strong color retention rate. In case of Aktel and City Cell it is 37.50 % and 43.75 % respectively. But in case of Banglalink it reaches a satisfactory point which is 62.50 %. From the very beginning Banglalink always plays with the color of orange. In its newsprint advertisements, television advertisements and also in other billboard advertisements; this orange color is very much dominating. This could be a good reason why

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 35 -

Banglalink - You First

the color retention of Banglalink is so much high. Later after the completion of each question we will be able to find out more valid reason whey this color retention rate is satisfactory in case of Banglalink. Overview of Findings of Question No. 3: Slogan Recall Testing Company Out of 80 GP 72 Aktel 55 City Cell 20 Banglalink 15

In Percentage 90.00 % 68.75 % 25.00 % 18.75 %

Table 7 Overview of Findings of Question No. 3


80 Responses out of 80 60 40 20 20 0 Nam e of the Company 15 72 55 GP Aktel City Cell Bangla Link

In

case

of

Figure 5 Overview of Findings of Question No. 3

searching

which

company has created strong brand image in the mobile phone industry slogan recall testing is very much important. In this question respondents were asked to find out the slogan of each company. All the four mobile companies slogan was attached with the question. Finally it was observed that among the 80 respondents 72 respondents were able to determine the slogan of GP, 55 respondents were correct in determining the slogan of Aktel, 20 respondents correctly choose the slogan of City Cell and only 15 respondents out of 80 were able to determine the slogan of Banglalink.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 36 -

Banglalink - You First

Discussion: Slogan recall testing help us to determine which companys media strategy in terms of spreading strong message to the market is powerful and which one is weak. 90 % respondents were able to determine the slogan of GP. As we have seen that in making the color combination; GP has selected the color combination of the national flag of Bangladesh; GP has applied the same tactics in positioning its slogan in the broad telecommunication market of Bangladesh. GPs slogan --- Amar Desh, Amar Ohonkar; if translated in English in English; it becomes, --- My country, my proud; is strongly represents that GPs slogan really build up under the nationalism concept of Bangladesh. The mass people of Bangladesh really love this kind of nationalistic concept. 68.75 % respondents were able to determine the slogan of Aktel. Aktels slogan --- Clearly Ahead is very much simple and easy to pronounce. This slogan clearly indicates that the companys service is advance in nature and they are the only one who brings all the new changes first; the other only follow them. We all know that the mobile company is a turbulence sector; every time new updated services are coming continuously. The slogan Clearly Ahead is really tough to maintain. In case of City Cell, 25 % respondents were able to recall the slogan. City Cells slogan is --- Because we care. There could be many reasons why this slogan recall rate is only 25 %, where GP and Aktel achieved a recall rate which is more than 50 %. One important reason could be that the slogan is tough to understand for the sample size, it could be tough to remember. In case of recalling the slogan of Banglalink, only 15 % were able to recall it. Comparing to other three mobile companies, this 15 % rate is definitely dissatisfactory for Banglalink. Banglalinks slogan is --- You, First. Many respondents verbally said that they are really confused regarding which is the exact slogan of Banglalink. Some said that they tough that the slogan may be --- Im a Tiger. Some said that they have never heard that Banglalinks

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 37 -

Banglalink - You First

slogan is --- You, First. Again some respondents gave comment that the slogan does not have a clear meaning. They are confused with this slogan.

Overview of Findings of Question No. 4: Technology Company GP Aktel City Cell Banglalink Recall Testing Out of 80 In Percentage 69 86.25 % 64 80.00 % 61 76.25 % 55 68.75 %

Table 8 Overview of Findings of Question No. 4


80 60 40 20 0 Mobile Companies 69 64 61

55

GP Aktel City Cell Bangla Link

Figure 6 Overview of Findings of Question No. 4 In the fourth question the samples were asked whether they can recall which company is providing which technology or not. After the survey it was observed that out of 80 samples 69 samples were able to recall what technology is provided by GP. 64 samples were able to recall what technology is provided by Aktel, 61samples were correct in answering City Cells technology and 55 samples were correct in answering which technology is provided by Banglalink. Discussion: With this question the researcher tried to find out how many respondents were able to answering which technology is provided by which company. Whenever a company is
Comparing the Brand Image of Banglalink against the other Mobile Phone Companies Page - 38 -

Banglalink - You First

coming up with new technology they made which promotion to educate the market. GP is going to bring the EDGE technology, Aktel has recently launched GPRS technology, City Cell is serving CDMA technology and Banglalink is serving GSM technology. In this question, it was observed that more or less all the companies are able to educate the market regarding which technology is offering by whom.

Overview of Findings of Question No. 5: 5. As a brand name which name seems expensive to you? Company Frequency In Percentage GP 38 47.50 Aktel 22 27.50 City Cell 9 11.25 Banglalink 11 13.75 Total 80 100.00 %
Table 9 Overview of Findings of Question No. 5

In the brand name related questions the researcher asked the respondents two very important questions (Q. no. 5 and 6). The first question was as a brand name which name seemed expensive to the respondents. This question was placed in the beginning of the

questionnaire so that the respondents feel interest to move forward to fill up the questionnaire. Among the 80 respondents 38 respondents said that they consider GP as an expensive brand name; 22 said Aktel, 9 said City Cell and 11 said Banglalink. From this question it is clear that most of the samples (47.50 %) consider GP as an expensive brand name.

Overview of Findings of Question No. 6: 6. Which company gives the best distinctive Package names of their products? Company Frequency In Percentage GP 29 36.25 Aktel 18 22.50 City Cell 7 8.75 Banglalink 26 32.50 Total 80 100.00 %
Comparing the Brand Image of Banglalink against the other Mobile Phone Companies Page - 39 -

Banglalink - You First

In this question out of 80 samples 29 said they think GP gives the most distinctive package names to their product; 18 said Aktel, 7 said City Cell and 26 said Banglalink.
Table 10 Overview of Findings of Question No. 6

Overview of Findings of Question No. 7: 7. Which mobile companys logo is Highly eye-catching? Company Frequency In Percentage GP 29 36.25 Aktel 23 28.75 City Cell 11 13.75 Banglalink 17 21.25 Total 80 100.00 %
Table 11 Overview of Findings of Question No. 7

Question no. 7 and 8 were related with logo and graphics. In the question no. 7 the respondents were asked which mobile companys logo is highly eye-catching. Among the 80 samples 29 said GP, 23 said Aktel, 11 said City Cell and 17 said

Banglalink.

Overview of Findings of Question No. 8: 8. Which mobile companys logo has The best color combination? Company Frequency In Percentage GP 26 32.50 Aktel 19 23.75 City Cell 14 17.50 Banglalink 21 26.25 Total 80 100.00 %
Table 12 Overview of Findings of Question No. 8

In this question 26 respondents out of 80 said GP has the best color combination, 19 said Aktel, 14 said City Cell and 21 said Banglalink.

Overview of Findings of Question No. 9 Question no. 9, 10, 11, and 12 were 9. In the daily newspaper, which mobile companys print advertisement coverage is more all related with print and television attractive? Company Frequency In Percentage advertisement. In the question no. 9 GP 34 42.50 Aktel 19 23.75 City Cell the Brand Image of Banglalink against the other Mobile Phone Companies 12 15.00 Comparing Page - 40 Banglalink 15 18.75 Total 80 100.00 %
Table 13 Overview of Findings of Question No. 9

Banglalink - You First

the respondents were asked in the daily newspaper, which mobile Companys print advertisement coverage is more attractive. Among the 80 respondents 34 said for GP, 19 said for Aktel, 12 said for City Cell and 15 said for Banglalink.

Overview of Findings of Question No. 10 10. In the daily newspapers, which mobile companys advertisement comes more frequently? Company Frequency In Percentage GP 33 41.25 Aktel 25 31.25 City Cell 8 10.00 Banglalink 14 17.50 Total 80 100.00 %
Table 14 Overview of Findings of Question No. 10

In this question the among the 80 respondents 33 said for GPs print advertisement comes more frequently in the daily newspapers, 25 said for Aktel, 8 said for City Cell and 14 said for Banglalink.

Overview of Findings of Question No. 11 11. Which mobile companys television advertisement is the most unique? Company Frequency In Percentage GP 33 41.25 Aktel 9 11.25 City Cell 26 32.50 Banglalink 12 15.00 Total 80 100.00 %
Table 15 Overview of Findings of Question No. 11

In this question among the 80 respondents 33 said GPs TV advertisement is the most unique, 9 said for Aktel, 26 said for City Cell and 12 said for Banglalink.

Overview of Findings of Question No. 12 In this question, among the 80 12. In the television advertisement, which companys tone or music is the best? Company Frequency In Percentage GP 35 43.75 Aktel 19 23.75 City Cell 15 18.75 Banglalink 11 13.75 Total 80 100.00 %

respondents 35 said in the television

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies Page - 41 Table 16 Overview of Findings of Question No. 12

Banglalink - You First

advertisement, GPs tone or music is the best, 19 said for Aktel, 15 said for City Cell and 11 said for Banglalink.

Overview of Findings of Question No. 13 13. Which company has the highest no. of bill board advertisements? Company Frequency In Percentage GP 35 43.75 Aktel 21 26.25 City Cell 13 16.25 Banglalink 11 13.75 Total 80 100.00 %
Table 17 Overview of Findings of Question No. 13

Question no. 13 to 17 were all related with outdoor advertisements. In this question, among the 80 respondents 35 said for GP, 21 said for Aktel, 13 said for City Cell and 11 said for Banglalink.

Overview of Findings of Question No. 14 Among the 80 respondents 29 said GPs billboard advertisement has the most distinctive message, 23 said for Aktel, 13 said for City Cell and 15 said for Banglalink. 14. Which billboard advertisement has the most distinctive message? Company Frequency In Percentage GP 29 36.25 Aktel 23 28.75 City Cell 13 16.25 Banglalink 15 18.75 Total 80 100.00 %
Table 18 Overview of Findings of Question No. 14

Overview of Findings of Question No. 15 15. Which billboard advertisement seems more colorful? Company Frequency In Percentage GP 34 42.50 Aktel 17 21.25 City Cell 11 13.75 Banglalink 18 22.50 Total 80 100.00 % In this question among the 80 respondents 34 said GPs billboard advertisement seems more colorful, 17 said for Aktel, 11 said for City Cell and 18 said for Banglalink.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 42 -

Banglalink - You First

Table 19 Overview of Findings of Question No. 15

Overview of Findings of Question No. 16 Among the 80 respondents 31 said GPs transport advertisements get the most

attraction, 24 said for Aktel, 12 said for City Cell and 13 said for Banglalink.

16. Which companys transport advertisements get the most attraction? Company Frequency In Percentage GP 31 38.75 Aktel 24 30.00 City Cell 12 15.00 Banglalink 13 16.25 Total 20 Overview of Findings of Question 100.00 % 80 Table No. 16

Overview of Findings of Question No. 17 17. Which company does the best public relations with its customers (providing free Tshirt to universities students, attractive Road shows etc.)? Company Frequency In Percentage GP 27 33.75 Aktel 17 21.25 City Cell 7 8.75 Banglalink 29 36.25 Total 80 100.00 %
Table 21 Overview of Findings of Question No. 17

In this question among the 80 respondents 27 said GP does the best public relation with its customers, 17 said for Aktel, 7 said for City Cell and 29 said for Banglalink.

Overview of Findings of Question No. 18 All product and service related questions were asked from question no. 18 to 20. In the question no. 18 the respondents were asked at the time of this survey, which company is offering the best prepaid package. Among

18. At the time of this survey, which company is offering the best prepaid package? Company Frequency In Percentage GP 21 26.25 Aktel 17 21.25 City Cell 11 13.75 Banglalink 31 38.75 Total 80 100.00 %
Table 22 Overview of Findings of Question No. 18

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 43 -

Banglalink - You First

the 80 respondents 21 said for GP, 17 said for Aktel, 11 said for City Cell and 31 said for Banglalink. Overview of Findings of Question No. 19 In this question among the 80 respondents 27 said at the time of this survey, GP is offering the best post paid package, 19 said for Aktel, 13 said for City Cell and 21 said for Banglalink. 19. At the time of this survey, which company is offering the best post paid package? Company Frequency In Percentage GP 27 33.75 Aktel 19 23.75 City Cell 13 16.25 Banglalink 21 26.25 Total 80 100.00 %

Table 23 Overview of Findings of Question No. 19

Overview of Findings of Question No. 20 20. Which company offers added services? Company Frequency GP 29 Aktel 21 City Cell 13 Banglalink 17 Total 80 the best value In Percentage 36.25 26.25 16.25 21.25 100.00 % Among the 80 respondents 29 said GP offers the best value added services, 21 said for Aktel, 13 said for City Cell and 17 said for Banglalink.

Table 24 Overview of Findings of Question No. 20

Overview of Findings of Question No. 21 Customer service related questions were asked in the question no. 21 to 23. In the question no. 21 the respondents were asked which companys customer services are highly devoted to their customers. Among 21. Which companys customer services are highly devoted to their customers? Company Frequency In Percentage GP 26 32.50 Aktel 22 27.50 City Cell 14 17.50 Banglalink 18 22.50 Total 80 100.00 %
Table 25 Overview of Findings of Question No. 21

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 44 -

Banglalink - You First

the 80 respondents 26 said for GP, 22 said for Aktel, 14 said for City Cell and 18 said for Banglalink.

Overview of Findings of Question No. 22 In this question among the 80 respondents 26 said GP really cares for customer retention, 19 said for Aktel, 11 said for City Cell and 14 said for Banglalink. 22. Which company really cares for customer retention? Company Frequency In Percentage GP 26 32.50 Aktel 19 23.75 City Cell 11 13.75 Banglalink 24 30.00 Total 80 100.00 %
Table 26 Overview of Findings of Question No. 22

Overview of Findings of Question No. 23 23. Which companys customer service has the fastest management information system? Company Frequency In Percentage GP 27 33.75 Aktel 18 22.50 City Cell 15 18.75 Banglalink 20 25.00 Total 80 100.00 % Among the 80 respondents 27 said GP has the fastest management information

system, 20 said for Aktel, 15 said for City Cell and 18 said for Banglalink.

Table 27 Overview of Findings of Question No. 23

Overview of Findings of Question No. 24 In the last two questions network issues have prioritized. In this question among the

24. Which mobile company has the best network coverage? Company Frequency In Percentage GP 45 56.25 Aktel 21 26.25 City Cell 9 11.25 Banglalink 5 6.25 Total 80 100.00 %
Page - 45 -

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Table 28 Overview of Findings of Question No. 24

Banglalink - You First

80 respondents 45 said for GP, 21 said for Aktel, 9 said for City Cell and 5 said for Banglalink.

Overview of Findings of Question No. 25 25. Which companys connectivity is the best? Company Frequency GP 36 Aktel 15 City Cell 14 Banglalink 15 Total 80 inter network In this question among the 80 respondents 36 GPs inter network connectivity is the best, 15 said for Aktel, 14 said for City Cell and 15 said for Banglalink.

In Percentage 45.00 18.75 17.50 18.75 100.00 %

Table 29 Overview of Findings of Question No. 25

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 46 -

Banglalink - You First

5.2 Data Analysis:

In order to analyze the data, frequency distribution (with the help of mean value) has been applied. From questionnaire 5 to 25, all the questionnaires were divided into 7 phases. The questionnaires were divided in seven phases in order to explore the brand image of Banglalink comparing to other mobile phone companies. The seven phases were as follows brand name related questions, logo and graphics related questions, print and TV advertisement related questions, billboard and transport advertisement related questions, product and package related questions, customer service related questions and network issue related questions.

The mean value (average) of the seven phases were calculated in the following table. For example in order to find out GPs the brand name related mean value the calculations were as

follows ---

Q.No.5 + Q.No.6 38 + 29 = = 33.5 . As because question no. 5 and 6 were solely 2 2

related with brand name, finding out the mean value in this way is strongly supported (Marketing Research, 3rd edition, Naresh K. Malhotra, 2003). All the other seven phases mean values were calculated in this way. Company 1. 2. Brand Logo Name and Graphics GP Aktel City Cell BL 33.5 20 8 18.5 27.5 21 12.5 19 3. Print and TV Advertise ment 33.75 18 15.25 13 4. 5. 6. 7. Outdoor Produc Customer Network Advertisement t And Service Issue (Billboard, Service Transport, Public Relation) 31.2 25.67 26.33 40.5 20.4 19.00 19.67 18 11.2 12.33 13.33 11.5 17.2 23.00 20.67 10 Table 10 Calculation of Mean for all seven phases

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 47 -

Banglalink - You First

GP
45 40 35 Frequency 30 25 20 15 10 5 0 1. Brand Name 2. Logo and Graphics

Aktel

City Cell

BL

3. Print and TV 4. Outdoor 5. Product And Advertisement Advertisement Service (Billboard, Transport, Public Relation) Category

6. Customer Service

7. Netw ork Issue

Figure 7: Comparison Mean for all seven phases among four private mobile companies

1. Brand Name Company Mean value GP 33.5 Aktel 20 City Cell 8 Banglalink 18.5

In the brand name related questions 33.5 samples out of 80 samples said that they consider GP as an expensive brand name, it means the majority of the population consider GP as a strong brand name over the other three mobile phone companies. This

kind boldness of GP has become possible due to the continuous support and service from the end of GP. In case of giving different new packages name, GP has also achieved the highest mean score (29 out of 80). The brand name related mean value of 33.5 also indicates that GPs different package names are very much unique, easy to pronounce, easy to remember and overall the package names have already taken strong position towards the major population. Even GPs packages are very much easy to understand regarding what type of product it is offering for example GP Regular, GP National, Anytime 300, Anytime 500, Easy Gold and Easy Prepaid. Random advertisement through out the whole media has created a strong brand name in the mobile telecommunication industry in Bangladesh.
Comparing the Brand Image of Banglalink against the other Mobile Phone Companies Page - 48 -

Banglalink - You First

Comparing to GP, Banglalink has also achieved a good mean value (18.5 out of 80) where Aktel and City Cells mean values are 20 and 8 respectively. Though the mean value of 18.5 is far behind than GPs mean value of 33.5, it is definitely satisfactory comparing to

Banglalinks other two competitors Aktel and City Cell. This mean value showed that within a very short span of time (6 to 7 months) through the different unique package names such as ipack, upper class and others Banglalink is trying to achieve a good brand name in the mobile phone industry of Bangladesh.

2. Logo and Graphics Company Mean value GP 27.5 Aktel 21 City Cell 12.5 Banglalink 19

GP has achieved a highest mean value (27.5 out of 80) in the logo and graphics related questions. This highest mean value indicates that GPs logo is the best attractive logo among the other mobile phone companies and this logo has the best color

combination. In the logo and graphics related questions Banglalink has achieved the second position. The explanation in achieving the third position is this that though Banglalink says that the logo represents the skin color of Royal Bengal Tiger, it is still confusing to many customers. Many customers become confuse when they heard that this logo represent the skin color of a tiger. And the color orange, though it is a very high eye catching color, it is somehow less suited with the tiger skin color. Banglalink needs to more clarify the explanation of its logo through the different types of promotion specially the print media advertising. After all the mean value of 19 is satisfactory in this sense that it has defeated the City Cells logo and graphics mean value (12.5) which means people perceive Banglalinks logo and graphics more attractively than City Cell. In indicates that in terms of getting attraction through logos and color combination Banglalink has defeated City Cell.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 49 -

Banglalink - You First

3. Print and TV Advertisement Company Mean value GP 33.75 Aktel 18 City Cell 15.25 Banglalink 13

Print and television advertisements have a good support in order to build up a brand image of a product or service. In fact with the help of these medias a company educate its market. Customers become more aware and conscious

regarding what the product is and also how much valuable the company is. Among the four companies GP has achieved a mean value of 33.75 out of 80 in the print and television advertisement part. This mean value is far beyond the mean value of Aktel (18), City Cell (15.25) and City Cell (13). GPs mean value of 33.75 has the following explanation --- GPs print media coverage is highly attractive comparing to its competitors. In most of the daily newspapers its print advertisement coverage rate is the highest. Customers perceive the GPs advertisement more than any other companys advertisements. The rate of circulation of GPs advertisement is in the peak position. This highest rate of circulation has given GP a strong product positioning towards the customers mindset. Now people perceive that daily newspapers will really face trouble if the continuous sponsorship of GP will not be provided. The highest mean value of GP also indicates that GPs advertisements are the most unique, they have the most distinctive flavor comparing to its competitors. GPs recent television advertisements are truly based by providing more values to the local people of Bangladesh.

Banglalink has gained the lowest mean value (13 out of 80) in the print and television advertisement. This lowest mean value carries the following justification --- Banglalinks print advertisement has started with the message Im a Tiger. On a certain point this message Im a Tiger has changed and instead of that message a new message has appeared which is --- You, First. This random changing of body copy has greatly loosed Banglalinks uniqueness and ultimately the print advertisement got less attraction.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 50 -

Banglalink - You First

Banglalinks print advertisements coverage area is still in small size comparing to its competitors for which customers attraction is losing. In many cases some of the advertisements need more explanation for the customers to understand what the advertisements would like to speak up. In the customer care of Banglalink, customers complain rate regarding the poor network is increasing. Customers are complaining that they do not find good network inside Dhaka city. In such a situation where the network coverage is still poor in Dhaka city, the International Roaming advertisement where the advertisement showed different customers talking over phone around the world and saying London, Banglalink; Calcutta, Banglalink is very much dissatisfactory to its customers. This types of advertisements really demotivate customers, customers consider this type of advertisements as an over promise which is not achievable by the company. Even the latest advertisement of Banglalink of the new package Upper Class is failed to explain its customers what the package really is.

4. Outdoor Advertisement (Billboard, Transport, Public Relation) Company Mean value GP 31.2 Aktel 20.4 City Cell 11.2 Banglalink 17.2

After

summarizing

the

billboard

and

transport

advertisement related questions, the results showed that GP has gained the highest mean value (31.2 out of 80). The explanation in achieving this highest mean value are as follows --- GP is the only mobile phone company which

has the highest no. of billboards all over the main roads of Dhaka city and also out the city. GPs new package djuice has created a great attraction through colorful billboards in all over the Dhaka city. The advertisement messages in the billboards of djuice are very much different, unique and eye-catching such as jotil prem, kothin bhab, heavy chalu and others. In case of transport advertisements, it is still believe that it is GP who has made this

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 51 -

Banglalink - You First

type of advertisement greatly popular in Bangladesh. Later many other companies followed the path of GP and also started with transport advertisement. Generally transport advertisement creates a great affect towards customers mind set. By observing the name GP in different private companys buses and yellow cabs; the name GP had greatly absorbed upon the population of Dhaka city. The other two mobile phone companys (Aktel and City Cell) transport advertisements are also attractive but the no. of vehicles carrying the advertisements are not that much huge comparing to GP. In the billboard and transport advertisement related questions Banglalink has got the third position (17.2 out of 80). In case of getting this third position the important factors are as follows--- Though Banglalink has started with only a few amount of transport and billboard advertisement; it does a huge public relation activities. Among the different public relation activities some of them are as follows visiting different universities to tell the students what type of offer are provided by GP, offering the students free T-shirt with Banglalinks logo. In the Banglalink Bashundhara Mobile Fair 2005 the company did a huge public relation. In that five days mobile fair, whoever comes in the fair has got a free T-shirt with the Banglalink logo. Different magic shows were arranged, and in one magic show the magician showed how to convert a prepaid sim card to postpaid sim. Due to these sorts of outdoor promotional activities Banglalink has achieved third position and defeated City Cell and has moved close to Aktel (mean value 20.4).

5. Product And Service Company Mean value GP 25.67 Aktel 19.00 City Cell 12.33 Banglalink 23.00

By summarizing all the product and service related questions it has been observed that GP has achieved the highest mean value (25.67 out of 80). Comparing to GP, Banglalink has also achieved a very good mean value which is 23.00 out of 80. The

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 52 -

Banglalink - You First

other companies, Aktel and City Cell remain in a lower position in the product and service related questions. At the time of this survey, among the 80 respondents 31 respondents said that Banglalink is the only company who offers the best pre paid package. In the question of which company offers the best post paid service, Banglalink also got good response. Achieving a mean value of 23.00 in the product and service related questions represent the following explanation --- Banglalink came up in the telecommunication market with such an offer (specially prepaid) which people never expected. This is the package with which Banglalink made a huge splash in the Bangladesh mobile industry on February 12th of the year 2005. The product had then been bundled with a handset and six scratch cards net worth Tk. 1,800. The entire package had been priced at only Tk. 3,400, meaning that the handset would cost a consumer only Tk. 1,500 (a M2M SIM is priced at Tk. 100, the lowest in the industry). The launch offer had allowed Banglalink to expand its subscriber base very quickly. Within one week of its launch the subscriber base had grown to 100,000 from a mere 30,000 and to over 300,000 in just one and half month. Later when in the month of June Bangladeshs Finance minister imposed Tk. 1200 tax on per sim card purchased, the sell of prepaid sim greatly decreased. With the legal fight, all the four mobile phone companies reduced that tax to Tk. 900. A sim card which was sold just at Tk. 200 then became Tk. 1100 (Tk. 200 + Tk. 900). At that moment, it is Banglalink who was come up with the ipack offer; which is basically the comfort of buying Banglalink Pre-Paid connection by paying connection fees and Government tax over a short period of time in installments. The policy is to pay a down payment and pay the rest over 5 to 8 months depending on the type of connection.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 53 -

Banglalink - You First

Table 31: Banglalinks ipack package Package Down Monthly Number of payment installment installments M2M Tk.350 Tk.150 5 M2M Plus Tk.350 Tk.150 7 Standard Tk.899 Tk.150 8

Total payment Tk.1,100 Tk.1,400 Tk.2,099

6. Customer Service Company Mean value GP 26.33 Aktel 19.67 City Cell 13.33 Banglalink 20.67

Customer service is a wide range of service in the mobile phone sector. All the four companies are trying to improve this sector so that they can give a good trust to their customers and get a positive word of mouth from them. By summarizing customer

service related questions, it has been found that GP has achieved the highest mean value (26.33 out of 80). Surprisingly Banglalink has achieved the second position (20.67) by overcoming Aktel (19.67) and City Cell (13.33) successfully. The reasons behind such an achievement are as follows --- Though Banglalink right now have only 3 customer care centre in Bangladesh; with this few customer care centre they continuously think for customer retention. Even in the question whether Banglalink really cares for customer retention it was seen that 24 samples out of 80 have supported this. For example, Banglalinks free SMS was a strong proof behind this logic. Banglalink offered its customers a free SMS (1000 SMS) offer for 6 months. The condition behind getting this offer was this that the customer must have to continuously recharges their account for six months.

7. Network Issue Company Mean value GP 40.5 Aktel 18 City Cell 11.5 Banglalink 10

Network

issues

are

very

much

vital

issues

in

the

telecommunication sector. Without the development in this sector a mobile phone company can not move further. After summarizing the network issue related questions, it has been

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 54 -

Banglalink - You First

observed that GP has achieved the highest mean value (40.5 out of 80). This highest mean value has the following explanation --- GP is currently providing its service to 61 districts of Bangladesh (370 Upazilas). This is the highest coverage rate among the other mobile phone companies. GP has successfully launched the GSM technology overall Bangladesh and now they are going to serve their new technology which the named EDGE. The most important feature regarding GP is this that their inter network connectivity is the best (36 out of 80); which is really a unique feature. Comparing to GP, Aktels mean value is 18; and City Cell and Banglalink remains far beyond GP; mean value of 11.5 and 10 respectively. In the inter network connectivity issue Banglalinks mean value remains very lower position (15 out of 80). This lower mean value of Banglalink indicates that the company really needs to give more importance to this network issue before going further.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 55 -

Banglalink - You First

5.3 Final Findings In the following table all the seven phases final mean value was calculated.

Company Final Mean Value GP 31.16 Aktel 19.56 City Cell 11.90 Banglalink 17.39
Table 32 Final Mean Value11

35 30 25 20 15 10 5 0 Final Mean Value GP Aktel City Cell Banglalink

Figure 8 Comparison of Final Mean Value among the four mobile companies

In order to minimize the complexity of the previous calculations, all the four companies final mean values have been calculated. This final mean values indicate which companys brand image is in which position.

The calculations of each companys final mean values are as follows --Mean value of GP, 33.5 + 27.5 + 33.75 + 31.20 + 25.67 + 26.00 + 40.50 = 31.16 7 20.00 + 21.00 + 18.00 + 20.40 + 19.00 + 20.50 + 18.00 = 19.56 7 8.00 + 12.50 + 15.25 + 11.20 + 12.33 + 12.50 + 11.50 = 11.90 7 18.50 + 19.00 + 13.00 + 17.20 + 23.00 + 21.00 + 10.00 = 17.39 7

Mean value of Aktel,

Mean value of City Cell,

Mean value of Banglalink,

The study which was carried out with the sample size of 80, indicates that right now GP is staying in a strong brand position in the mobile phone sector in Bangladesh (mean value
Comparing the Brand Image of Banglalink against the other Mobile Phone Companies Page - 56 -

Banglalink - You First

31.16 out of 80). Subscribers perceive GP as an expensive brand name, they consider its logo as a highly eye-catching logo; they like GPs print, television, billboard, transport and other outdoor advertisements. Overall GP has achieved a strong product positioning towards the customers mind set. Aktels brand image remains in the second position (mean value 19.56 out of 80); Banglalink in the third position (17.39 out of 80) and City Cell in fourth position (11.90 out of 80).

Getting a third position in the brand image question by defeating City Cell is definitely an achievement for the new mobile company Banglalink. Now Banglalink needs to think how to move further and strengthen its positioning towards customers mind by taking the challenge of Aktel which is the next biggest competitor of Banglalink. Not only that Banglalink needs to make proper strategic planning for both short term and for long term to make its brand image stronger in the market place for future growth.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 57 -

Banglalink - You First

6.0 RECOMMENDATIONS

The mobile industry in Bangladesh is still facing an oligopoly competition. In order to be competitive in this industry in future, the only important option is to build up a strong brand image. In this research it was observed that Banglalink is now staying in the third position in terms of brand image among the four mobile phone companies. At the end of this research, the researcher has come up with the following recommendation.

Products naming should not be based on social class: Banglalinks has launched its new product in August which they named Upper Class. Banglalink has already started to promote this package in different media coverage. This product is basically a customized post paid package with different added values. Whatever the product is, this kind of name Upper Class poses a question towards customers mind. A product name which is based on the differentiation of the social class is not a good idea in such a country like Bangladesh where most of the population is still living in a lower standard. With the name Upper Class Banglalink is going to divide its customers base in two parts --- Upper Class and Lower Class. This kind of naming may prove inappropriate in future because none of the multinationals or public and private limited companies of Bangladesh have come up with such an unique product name yet.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 58 -

Banglalink - You First

Television advertisements should be understandable and better if based by focusing on local culture: Banglalinks has recently launched its new package named Upper Class. Many of the respondents have claimed that these types of advertisements are really confusing for them to understand. Many television viewers became confused whether the advertisement is about Banglalink or not. This type of advertisement proved very much less efficient because Bangladeshi people do not see the flavor of local culture in the advertisements. Even in the Upper Class advertisement, it is confusing what the advertisement would like to tell the audience. Banglalink should not try to come up with these sorts of advertisements where it wont grab by the local people of Bangladesh.

Build up strong network first, then go for International Roaming: Currently Banglalinks network coverage is still in the preliminary stage. Even inside Dhaka City there are huge problems to get the network connections from one zone of Dhaka to the other zone. There are also other complains that it seems tough to get connections from Banglalink to Aktel or City Cell. Where the network situation is still in the baby stage, Banglalink launched a new service named International Roaming. Banglalink did huge promotion of this new service. In the television advertisement of International Roaming it showed that people are using this new service by staying even at Hong Kong or London and continuously saying Hong Kong, Banglalink, London, Banglalink. Where the network situation is still under complain, an advertisement like this is rarely acceptable to the audience. This kind of service could be launched later. Banglalink needs to bring more attention to these sorts of issues.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 59 -

Banglalink - You First

Stick into one color in order to branding: Banglalink has started all of its promotional campaign with the orange color. In the newspaper, magazine, television, billboards everywhere the color orange was extensively used. The color orange became the core color of Banglalink. In such a situation Banglalink launched its new package Upper Class with the use of purple color in all the advertisements. Many customers have claimed that the color purple is a duplication of GPs Flexi Loads advertisement. Banglalink needs to be more cautious in this color issue without which the core literature of branding will not be fulfilled.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 60 -

Banglalink - You First

8.0 CONCLUDING REMARKS

The mobile industry is growing at a phenomenal pace these days. While it took the industry leader more than six years to reach its first million subscribers, its last million it had acquired in a bit more than 2 month period. With an annual growth rate of 132% in the industry itself, it can be said to be the fastest growing industry in the country.

Banglalink made its mark with the launch of its first package where mobile was made more affordable at Tk. 1500 only. It now has a spontaneous brand awareness of more than 90%. It has kept its promise of making mobiles affordable not only through reducing its own prices, but it has managed to shake the rest of the industry into taking action. The whole industry is now at the height of its competition, with customers quietly reaping the benefits offered them. In a country where the mobile telephony penetration is below 2%, the best strategic move for any operator would be to concentrate on expanding the subscriber base . For this, packages such as Banglalinks launch offer and its most recent tariff plans are ideal, since like most emerging markets, Bangladesh is also a pre-paid driven market.

However, in a population where majority of the people live below the poverty line it is doubtful as to how far the companies can succeed in increasing percentage penetration. Hence, value added services like new and innovative SMS and IVR based products can help to raise the level of market share from its current position.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 61 -

Banglalink - You First

At the rate the Banglalink is going, in terms of developing unique ideas to make mobile owning affordable and easy (e.g. the ER for mobiles) and in terms of value added services and special offers, it is likely that it would soon topple the number 1 company in the country. However, it would be a tough fight to defeat the number 2.

Comparing the Brand Image of Banglalink against the other Mobile Phone Companies

Page - 62 -

Potrebbero piacerti anche