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Hutch Sri Lanka SWOT, PEST & Others

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This is a brief presentation of Hutch Sri Lanka.

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  • 1. Introduction What is HUTCH? A Hutchison Whampoa Company A member of Hutchison Asia Telecom Sri Lankan operation is known as Hutch Launched its GSM service in 2004

2. Company Vision Making every Lankan a mobile phone owner 3. Company Mission As the first objective to get a mobile phone into everyoneshand, Hutch have to address the facts ; What obstacles keep a person away from having a mobilephone? What are their problems? How can we resolve them? 4. SWOT Analysis SWOT Analysis involves understanding and analyzingstrengths and weaknesses of the company and identifyingopportunities in the market place as well as threats to thebusiness.Strengths WeaknessesOpportunities Threats 5. Strengths: Access to affordable telephone services Effective & strong service coverage for their customerbase Weaknesses:SWOT Analysis Incapability of introducing 4G network , yet. Limited network coverage throughout the island Deficiency of strong promotion strategies 6. Opportunities:SWOT Analysis Have a wide range of packages, so can share the servicesof each sector Proposed 4G Technology Mobile Phone users are increasing day by day Greater emphasis on Research 7. Threats:SWOT AnalysisInnovative package systems from other competing serviceprovidersAdvanced technology used by competitorsNew government policiesGovernment protection by the use of liscence 8. PEST analysis PEST analysis is designed to achieve to collect and analyzeenvironmental information in a well-structured way.PoliticalFactorsPESTSocial FactorsTechnologicalFactorsEconomicalFactors 9. PEST analysis Political Environment: Reduction of Taxes on electronics VAT Value Added Tax Bounded by government regulations 10. PEST analysis Economical EnvironmentIncreased Tax on 2013InflationIncome distributionConsumer spending patterns 11. PEST analysis Social EnvironmentTrends & FashionsCultural preferencesEnvironmental issues 12. Technological FactorsDigitalizationConstant research & DevelopmentNew Technological AdvancesPower Availability issuesNetwork IssuesPEST analysis 13. Competitor Analysis i.e. a set of activities which examines the comparativeposition of competing enterprises within a given strategicsector Main Competitors Objectives of Competitors Their strategies and how successful are they Strengths & Weaknesses of them Their behavior in relative to Hutchs actions 14. Competitor Analysis Competitors Hutch Deals with are, 15. Competitor Analysis Strengths of Competitors Customer Reliance - Mobitel, 20 years of service and being he Nationalservice provider Enormous Network Coverage Dialog Axiata PLC is Sri Lanka's largesttelecommunication service provider with the country'slargest mobile phone network of over 8.7 millionsubscribers International Recognition Airtel is currently operating in over 20countries across Asia and Africa 16. Porters Five Forces Porters Five forces help to understand where power lies in abusiness situationNew Entrants> Huge investment needed> Taxes & Legislations> Difficult to compete with well established firmslike DialogIndustry Rivalry> Market Growth for 3G, IDDetc> Competition with marketleaders like Dialog, MobitelSuppliers> Regulations of NationalService ProviderSubstitutes> Customer satisfaction towards well known firms asDialog & Mobitel> Vast Coverage of Dialog> 4G Technology of Dialog & MobitelBuyers> Low service rates> Various PackagesThreat of new entrantsThreat of substitutesBargaining power of BuyersBargaining power of Suppliers 17. Market Segmentation It is the process by which customers in markets with someheterogeneity can be grouped into smaller, more similar orhomogeneous segments Major Segmentation variables: Geographic Segmentation Demographic Segmentation Psychographic Segmentation Behavioral Segmentation 18. Market Segmentation Hutch follows a Demographic Segmentation Prepaid Packages Postpaid Packages Value Added Services Web Services Out Side Roamingfor both Voice & Internet 19. Targeting Strategies It is the task of prioritizing the segment or segments on whichan organization should focus its sales and marketing activities Three Basic Targeting Strategies:Undifferentiated StrategyConcentrated StrategyDifferentiated Strategy Hutch Sri Lanka follows the Differentiated Strategy to maintain theircustomer base 20. Targeting Strategies Prepaid Services:Value Internet targeting daily internet usersAlways Internet for 24x7 Internet usersPer Minute Plan 21. Targeting Strategies Post Paid ServicesPost Paid Lite low bill rentalsSmartphone Plans for smartphone users, basically young crowd 22. Targeting Strategies Value Added Services E channeling - to customers who prefer online channeling Facebook on SMS - targeting young crowd Learn English - target segment is students SMS Bankingand many more 23. Positioning It is the act of designing the image of the company to occupya distinctive place in the customers mind Basically, Positioning is not what is done to the product, its what iscreated in the minds of target customers Hutch has positioned themselves with the tag line, Low Rates Innovative packaging systems Limited but better coverage 24. BCG Growth-Share Matrix BCG Matrix is the observation of a company's business units can beclassified into four categories based on market growth and market shareRelative Market ShareMarket GrowthStar Problem ChildCash Cow Dog 25. BCG Growth-Share Matrix Hutch is a business unit with low market share in a relativelyhigh market growth Falls into Problem Child Category Hutch had a market share of 11% in February 2014 26. Ansoffs Matrix The Ansoff Matrix is a strategic planning tool that provides a framework tohelp marketers devise strategies for future growth. 27. Ansoffs Matrix Market Penetration - Hutch try to achieve increased marketshare through aggressive advertisingHutch Sri Lanka advertisement, September 2014Hutch 3G Touch. Feel. Love 28. Ansoffs Matrix Product Development Hutch launched their 3G network(GSM 2100) in 2012 Market Development Ghost Internet package for heavydownloaders 29. Marketing Cost, Distribution & Promotions Factors influenced for their pricing methods Installation fees Raw materials for Infrastructure Facilities associated with latest Technology 30. Marketing Cost, Distribution & Promotions Distribution methods and their locations Hutch Shops 31. Marketing Cost, Distribution & Promotions Voice & 3G Network Coverage 32. Marketing Cost, Distribution & Promotions Promotional strategies IDD Promotions SMS Promotions 33. Marketing Cost, Distribution & Promotions Hello Tunes Promotions Go Kart Racing with BNS 34. Marketing Cost, Distribution & Promotions Trendy Tips Promotions Astrology Services Promotion 35. Marketing Cost, Distribution & Promotions Promotional strategies 36. Marketing Cost, Distribution & PromotionsHutch Mi-Fi Router on 0% interest for HSBC Cardholders 37. Marketing Cost, Distribution & PromotionsDifferent Data Plans for 3G users 38. Thank You !