Do It Show

Xiaochen Hua

“Do It Show” Case Analysis

Korean Telecom Freetel (KTF), the company provide mobile telecommunication service, is now the largest 3G service provider in Korean market. But actually, in the past 2G period, SK Telecom (SKT) had the largest proportion of customers in the market, which surpassed the KTF. For that, KTF always have the negative image of perennial number two of the market. But how did KTF change its position in just few years with the development of 3G and what marketing strategies did it use to achieve that? Let’s talk about that.

To know how KTF become successful now, we should know how it was at the past. In a long time, the Korean Telecommunication market was occupied by its competitor, SKT. It could even be called monopolization. In 2G market, SKT used the 800 MHz frequency channel, where KTF used 1.8 MHz frequency channel. These two channels had a big difference with providing telecommunication service. The 1.8 MHz had a much narrower transmission reach and since that, KTF should build more stations to make up this advantage. The cost of construction and maintenance was higher. So KTF was always losing to SKT in the 2G period. But it didn’t want to be that, it wanted to change their position. With the 3G coming, KTF found that it was a big opportunity to implement its strategy to beat SKT.

KTF did its best at the starting period. It got the first position in the 3G market. But will it keep its position as long as possible when other competitors get into the 3G service. What advantages does it have, which can help it to keep and extend its leading position and what about the disadvantages? The battle is just begin.

The first thing KTF did was to know what customers need and whether they want to change to 3G. And then it should find out how to make strategy to promote its product.

* Do a matrix for the attributes Korean customers consider most important when choosing a mobile service.

Customers/Attributes | Follow the...