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Date Submitted: 09/09/2011 07:18 AM
4.5 Strategy Formulation: Marketing Mix
The components of a marketing mix, with reference to the
McDonald model summarised in table 2.3, which are product, price,
promotion and place will be described now. These four elements
constitutes the marketing strategy
4.5.1 Product
The new South African mobile data product must have different
features that provide customers with opportunities to chat, play
games, send and receive pictures, change ring tones, receive
information about travel and sporting events, obtain billing
information, view video clips and make video calls. These products
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will be rolled out using Vodafone’s research and development
groups. The products must be adapted to suit the South African
culture. The content of these services must be changed to appeal to
South Africans. Different customers segments will want to use
different product services.
Alan Knott-Craig, chief executive for Vodacom, says that the
reception of mobile data could be an even bigger part of South
African’s lives than voice communication. Vodacom and its 35 per
cent shareholder, Vodafone, have joint forces to bring mobile data
to SA (Klein: 7 November 2004).
Vodacom must differentiate its data service with top of the range
products like the Blackberry. The Blackberry is a unique cellphone
combining easy access to e-mail, calendar and contacts, in an
innovative and stylish format (www.news24.com, 8 November
2004). Figure 4.3 illustrates the Blackberry device.
Figure 4. 11 BlackBerry 6210 Wireless Handheld
Source: RIM
4.5.2 Price
Ahonen (2002: 207) notes that tariffing has a bigger impact than
network dimensioning, sales provisions, handset subsidies or any
other decisions made relating to mobile services. Ahonen continues
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by stating that the underlying premise for tariffing and segmentation
is that some customers are willing to spend more money for a
similar, sometimes identical service than others. This investigation
venture...