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about the
National Mobile Services Provider
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Table of Figures
Figure 1: Adopted from GSMA Intelligence report ...................................................................... 3
Figure 2: Mobitel SIM ................................................................................................................. 9
Figure 3: Mobitel Brand ............................................................................................................ 10
Figure 4: Tariff Plan adopted from www.mobitel.lk ................................................................... 12
Figure 5:mydeal Logo ............................................................................................................... 14
Figure 6:Mobitel Flagship Centre .............................................................................................. 17
Mobitel, a brand owned by the Sri Lanka Telecom PLC is a company which provide a
service rather than a product, hence this report consists a deeper analysis about the market
of the brand and I have arranged the report structure more simply and the complex topics
have been expanded carefully
In the first section of the report i have studied about the background of the company in a
detailed manner and provided a deep view about current market situation.
Then I have presented a SWOT analysis about the company and this SWOT analysis
discusses about the company itself and the whole industry. Then the report moves to the
objectives of the company and it discusses about the objectives that are set by the
company and the issues faced by the brand.
Marketing strategy have been discussed in the next section of the report and I have
expanded the sub topic as,
Finally I have concluded the report with the recommendations and these
recommendations are based on the facts that are previously discussed in section,” issues
and objectives”.
Mobitel, which started operations in 1993, became a wholly owned subsidiary of SLT in
October 2002 – making it 20 years of being Sri Lanka‟s National Mobile Service
Provider. Mobitel, the market challenger of the telecommunication field in Sri Lanka is
guided by the Ranjith G. Rubasinghe, the CEO of Mobitel.
Vision
To lead Sri Lanka towards an info-com and knowledge rich society through our service
offerings.
Mission
Theseare the 3 key ingredients in their relationship with their Shareholders, Employees,
and Customers. Committing to these 3 principles as an individual and as a team and by
regularly practicing them as an organization.
Mobitel has achieved many milestones. In January 2004, the company launched its fully-
fledged 2.5G GSM network that is EDGE/GPRS enabled and designed to operate on dual
band. In December 2007, the company launched its 3.5G HSPA network - the first Super
3.5G network in South Asia. Further, Mobitel successfully demonstrated HSPA + MIMO
technology with down link speed up to 28.8 Mbps and carried out successful trial of
4G/LTE technology with downlink speed exceeding 96 Mbps, for the first time in the
South Asian Region. Investments committed to date in the 2.5G/3.5G/4G networks and
service offering amounts to over US$ 500mn.
With a strategy of 'value innovation', the Mobitel customer always wins. Mobitel believes
that technology for its own sake is meaningless, and fosters an organizational culture that
focuses on Customer Centricity. This philosophy which is a way of life at Mobitel has
enabled to build long lasting relationships with Customers, which is evident by the ever
increasing customer base which currently stands beyond the 4 million mark. The features
and benefits built into the Innovative packages that Mobitel offer are all designed
carefully with the customer's best interest at heart, standing by its slogan of "We Care.
Always"
Political
Sri Lanka has very positive foreign investment policies. However though Sri Lanka
identified importance of liberalization early as in 1977, due to political interventions
bureaucratic attitudes inherited from colonial reign and poor governance, the country as a
whole and specifically the industry has not grown as it was foreseen at the time of
liberalization.
Economical
Unstable macro-economic environment and trade policy regime has a negative impact on
the industry. The fall of the exchange rate over the years happened on a gradual pace.
Since the inception of liberalization policy it has undergone massive reforms in this
sector. However Sri Lanka lags dynamics incorporated by India to attract foreign direct
investments. The attitude towards foreign direct investments needs to be improved.
Sri Lanka has better social conditions for example literacy rate is high, infant mortality
rate is low and life expectancy is long. The country also has an educated and trainable
work force. Nevertheless Sri Lankans inherit a bureaucratic attitude from the colonial
administration that results in inefficiencies and discrimination.
Technological
Sri Lanka depends on technology transfers from foreign direct investments. However
TRCSL encourages local research and development. The country comparatively has not
performed well enough to adapt technological changes on a timely manner. For example
the shift from analogue to digital and the adoption of CDMA technology materialized in a
slow pace.
TRCSL the regulatory body takes up multidimensional roles. It ensures fair enforcement
of Govt. policy, hold operators accountable for performance, address consumer issues,
monitor changing industry needs and provide feedback to the policy making units.
However TRCSL has been criticized over the years for information asymmetry,
inefficiency and discrimination.
The desire to provide innovative services and products includes a commitment to using
smarter technology that offers greater coverage, brings more applications, provides better
quality, uses less power, and requires fewer resources to operate in.
4 SWOT Analysis
4.1 Strengths
Mobitel has the second mover advantage of GSM technology in Sri Lanka.
Due to its strong infrastructure it has got one of the best and far reaching mobile
telecommunication coverage.
Relationship with the Sri Lanka Telecom.
Extension in collaborations maintaining good relations with other Telecom
companies has enabled Mobitel to have a global approach with services such as
and Satellite Coverage & roaming.
Mobitel Telecom has got a very aggressive marketing strategy which enables it to
have a good and stable Brand Equity.
Company‟s financial analysis proved excellent stability in financial statements
regarding investments.
Strong Public Relationship that has been built up over the years.
Expanded CSR initiatives increased the social value of the firm.
High quality technical innovations has made Mobitel market Challenger in Sri
Lanka.
Constant rise in the share prices has gained the confidence of the investors leading
to value increment.
Strong distribution network spread throughout the entire island.
Well managed customer care support techniques have increased the level of
customer satisfaction.
4.3 Opportunities
Telecom is one of the fastest growing sectors in Sri Lanka‟s 19.5million people
As per estimations 4.5million users would have mobile phones by the end of 2006
The communication industry is growing rapidly.
Fixed line penetration is low.
The approval and acceptability of the Value Added Services (VAS) by the users
has increased the probability and success of any new VAS initiative.
The strategic partnership of Mobitel Telecom with ZTE Corporation and Huawei
Technologies in China
Technology advancements especially in mobile multimedia technologies and the
advent and use of the next 4G mobile communications.
4.4 Threats
The existence of all the other three GSM Mobile service providers poses a big
threat to Mobitel Telekom.
India‟s Bharti Airtel Ltd. has got the license to be the fifth mobile operator in Sri
Lanka and launch the 2G and 3G services in 2007.
The three existing CDMA service providers also pose a different kind of threat.
Rapid changes in the political, social and economic conditions as well as the laws
and regulations.
Changes in currency exchange rates and high inflation which is inversely affecting
the global business.
Rapid change in customer preferences and their growing needs due to high level
of customer awareness.
Mobitel had to switch off all base station in northern-province during the last few
months due to military operations by the Sri Lankan Govt. forces.
When we look into the objectives of the Mobitel it is a must that we have to look into the
company objectives of the Sri Lanka Telecom Mobitel. They have stated their objectives
in the annual report.
5.1 Objectives
One of the key strategic objectives of the SLT Group is to drive broadband-based
consumer and enterprise services by expanding the broadband footprint via „Next
Generation Network‟ and „National Backbone Network‟ and Next generation access of
ADSL2+, VDSL2, Optical fibre, Carrier-grade Wi-Fi and both fixed and mobile 4G LTE
technologies. Group‟s total integrated solution portfolio includes Voice, Networking,
Data Hosting, Managed Services, Cloud Computing services and Mobile based consumer
and enterprise solutions provided through its fully owned subsidiary, Mobitel via its
2.5G/3.5G/4G LTE networks.
In addition to above key strategic objective I have identified following objectives of the
company as follows according to their annual report.
Enhance customer experience by being more responsive to customer needs
Grow and Protect Traditional Business
Transform themselves by changing the way we work and how we work, driving
new innovative products and services
Grow Broadband Coverage
Grow ICT capability
5.2 Issues
Always there are some barriers that a company or a brand itself faces when
accomplishing the strategic goals and objectives. These issues can be differentiated from
the threats and weaknesses since these are more specific while SWOT analysis gives a
general idea. I have sorted some problems faced by the Mobitel
I have explained how to overcome the above problems in the conclusion of the report.
6.2 Product
Mobitel provides mobile services, Broadband, Data Services, and Mobile Phones.
Mobitel offers mobile service that covered in 63 cities in Sri Lanka. And they offer 3G
coverage in 50 cities. And also Mobitel is the first mobile operator to launch super 3.5G
HSPA technology in South Asia. In January 2004, the company launched its full-fledged
2.5G GSM network that is EDGE/GPRS enabled and in December 2007 Mobitel
launched South Asia‟s first and only network with super 3.5G HSPA technology. An
investment committed to date in its 3.5G/2.5G networks and service offering totals over
US$ 200 million.
Recently they have introduced the Mobitel Wi-Fi and LTE 4G connection which brings a
speed up to 96Mbps.
M-cash is the latest product that they have introduced to the Sri Lankan market. If I
explained the product more deeply,
Core product
Mobile Operator
Brand Equity - Mobitel Provides quality, accessible, innovative mobile and network
solutions.
M-Cash
Mobitel doc-call
M-taxi
M-ticketing
Mobile Banking
SLT Directory Access
Data Services
3G services - Infotainment, Video SMS, Video mail, Video Blogging and high speed
internet connectivity with push email facility. Latest informational services are listed
below
News Alerts
Tips and Learning (e.g.: British council English)
M Adverts
International Services
Keep in touch with clients and family, yet keep it affordable. Mobitel offers IDD,
Roaming, International SMS, International Video Calling and more features.
IDD
Mobitel offers International Direct Dialling (IDD calls) from Sri Lanka with low rates;
Mobitel introduces HOT IDD 250 for the SMART Pre Paid community, which is a re-
charge card that is exclusively for making IDD calls. This is yet another new and
Upahara
Sri Lanka Telecom Mobitel announced the launch of a revolutionary Communications
package for State sector employees and pensioners which will bring unparalleled
economic benefits to the subscribers. The package is aptly named UPAHARA and
presented to them as a gesture of appreciation of their contribution to the development of
the country, and with the aim of bringing mobile telephony within reach of hundreds of
thousands of State sector employees spread countrywide.
Business Solution
Mobitel thinks that their business customer‟s needs are diverse. Mobitel offers a range of
services to suit customer‟s requirements. Mobitel provides individually designed
corporate packages ensuring you effectively manage your communication costs.
6.3 Price
Pricing Strategies
There are no doubts that the pricing strategy is the key for the success of Mobitel since
the market leader Dialog axiata becoming more and more rivalry. I have identified the
pricing strategies of Mobitel are varying according to the services they offer. Some of
them are briefly explained.
Adjusting price according to the competitor price can be seen in local call rates,
SMS,MMS rates, Data charges, Ringtone prices, WAP content, Voicemail, Video
call charges and call conferencing
Promotional prices are used with product bundle pricing which is an integrated
pricing strategy in Mobitel. USB dongle cum Post-paid data package are sold
together for a discounted price.
Market skimming pricing strategy are used in latest products such as M-taxi and
M-ticketing (especially in train tickets) to gain maximum out from less customers
(calling fees are 30+ in m Ticketing)
When come to the business solutions Mobitel uses a dynamic pricing strategy
which changes from each customer.
Bill Payments
Over the counter
Mobitel Branches, SLT Teleshops, SLT Regional Telecom Offices, SINGER Mega,
Authorized Dealers, Keells Super Outlets (Payment updated after 1 hour - credit cards
and cash payments only), Arpico, Banks – Bill Payments to People‟s Bank, Sampath
Bank, Hatton National Bank & Nations Trust Bank will be updated on line and Bill
Payments to Commercial Bank, Union Bank, PABC Bank & Seylan Bank will be updated
on the next working day
Via SMS
Mobitel customers banking with Hatton National Bank (HNB), Sampath Bank and
Commercial Bank and HSBC can reload their pre-paid accounts and pay their post-paid
bills through a simple SMS.
Cash
Customers can pay their bill by cash at any of our payment centres.
Cheques
By posting a cheque under registered cover to Manager Finance, Mobitel (Pvt) Limited,
108, W.A.D Ramanayake Mawatha, Colombo 02. The Cheque should be written in
favour of “Mobitel (Pvt) Ltd.”, along with the tear off part of the bill.
Standing Orders
M-cash
Now it‟s even easier to pay Mobitel bills or recharge the prepaid account using Mobitel
M-cash, the latest service of Mobitel.
6.4 Place
Value delivery network of a business should be effective when distributing product to a
place and must be appropriate and convenient to the customer. The product must be
available in the right place at the right time and in the right quantity. Mobitel has an
outstanding place mix with compared to other mobile operators in the country. Most
unique channel of mobitel is the “postal service” of Sri Lanka
Mobitel has shown their competitive position over the years in terms of formidable
distribution, product suit and brand. The features and benefits built into the Innovative
packages that they offer are all designed carefully with customer's best interest at heart,
because as their slogan goes "We Care always”
In this way the physical environment plays an important role in shaping the service
experience and delivering the customer satisfaction. So, Physical evidence is an essential
ingredient of the service mix, consumers will make perceptions based on their sight of the
service provision which will have an impact on the organizations perceptual plan of the
service.
The new store outlook is no different from a futuristic luxury hotel lobby. Friendly
customer care staff will always be there to open the door and usher customers in. In
accordance with “fast resolution concept” customers will no longer have to go through
the hassle of waiting in queues for petty matters; the information desk will be more than
happy to resolve those matters then and there.
Group Members
Name
01 L H A Premarathne
02 D M L P Dissanayake
03 G N Chamara
04 Y W A M Bandara
05 S N Shivantha
06 W A H M Wanniaracchi
07 G G B Danushkani
(All web based references and sources provided above are verified by a primary
references source)