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Report On Telstra Marketing Strategies

3129 words - 13 pages

AbstractMarketing strategies are the main drives for promoting a company's products to increase its sales and to build its brand. With regards to competition, a company needs to strengthen their marketing strategies to stay competitive. With the intense competition in the telecommunication industry, marketing is an important element in Telstra to build its presence in the community. This report seeks to analyse Telstra's marketing strategies and identify critiques help to point out the areas of development for Telstra.IntroductionFormed in 1901, Telstra is Australia's oldest and largest telecommunication service provider, with a market share of 74.5%. Telstra was partially privatized by the Commonwealth Government in two public offerings in 1997 and 1999. Due to government deregulations September 2002, Telstra has begun to open itself to more competition and the company's business has turned to be more transparent.Its current principle activities include a wide array of telecommunication and information products and services. As Telstra services a wide demographic of customers, their products are segmented according to different target markets.Market SegmentationUnder the management of its new CEO, Sol Trujillo, Telstra is aimed towards understanding and satisfying its customer needs (Shanahan 2006). New market research is to be conducted to satisfy different customer segments who had demonstrated different needs from the broader telecommunications industry. He mentions that, 'when the market research had been completed, Telstra would have interviewed over 90,000 consumer customers and created a small business 'panel' of 16,000 businesses'. This thorough market research is being conducted as it was shown that there is a reducing market in the mobile segment (Corner, 2006).Marketing Strategy AnalysisAs Telstra is involved in the telecommunications and information services industry, the marketing strategies will be divided and analysed according to their respective industries.Telecommunication IndustryProductTelstra provides various products and services in the telecommunications industry. Among them are landlines, mobile phones and the internet.LandlinesTelstra owns and manages most public switched telephone network (PSTN) services. Most of Telstra's revenues are generated from fixed-line services. However, its revenue from its fixed-line services has been declining due to the reduced number of local calls made. Among the fixed line products and services offered by Telstra are the business line plans, fixed and rental phones.Mobile PhonesTelstra has two core services in mobile phone communication - post-paid and pre-paid mobile phone plans. The company provides products such as mobile phones. As these mobile phone sales are a relatively small part of the total revenue these phones are to be viewed as a means to sell more plans. As Telstra emphasises on providing the latest technology in the industry, it has recently introduced its Next G network,...

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