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10 STEP

Marketing Plan for

Digitel Mobile Philippines, Inc. (DMPI)

– SUN Cellular

Jan Kenneth Obar

Sue Ann Silubrico

Francis Benson Hugo

Rustie Fidel

Ronald Patrick G. Wenceslao

June 2011

http://markmasuncell.blogspot.com/

This 10 Step Marketing Plan is part of the mandatory requirements of Prof. Remigio Joseph De Ungria‟s AGSB marketing management class.

The data included in this report are based on publicly available data such as those on internet websites, news, package declarations, public reports.

When appropriate, data are “masked” so as not to create unexpected conflicts.

The reports are posted and linked on slideshare, blogs and facebook so that there is easier sharing among students from different marketing classes.

Disclaimer

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1. PTM are students and young professionals

2. PTM demands for the cell phone services for the best value for money

3. Competitors are Globe & Smart

4. Application of new technology to services offered

5. 177 Billion Peso Market

Steps 1 to 5

Sun All you can! Plan

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6. Sun Cellular communication services

7. Most service provided for Money

8. Promotions

9. Gen Trade & Key accounts

10. Low Cost Provider

Steps 6 to 10

Sun All you can! Plan

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STEP 1:

Describe the primary target market

(PTM)*

Description Age

• Techy savvy keen to embrace and explore new technologies and services as soon as available

• Social climbers, „always on‟ professionals or the professionals of tomorrow who must have the right brand

• Urban family leaders with regular simple communication needs to fulfil their various roles in society

• Students pursuing socio economic advancement. Tech aware with growing communication needs, limited by budget

• Employees, mainly urban, have basic communication needs and apply a budget to usage

13-40

15-40

30+

18+

13-25C,D

C,D

A, B, C

A, B, C

A, B, C

SEC

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STEP 2:

Describe your PTM needs

6

Self-Actualization Needs

(Self-Development &

Realization)

Esteem Needs (Recognition, Status)

Social Needs (sense of belonging, love)

Safety Needs (security, protection)

Physiological needs (food, water, shelter)

Reference: Maslow‟s Hierarcy of Needs Marketing Management, 11th ed, Philip Kotler

Acceptance of the facts, creativity and spontaneity

The need of belongingness and acceptance

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Sun cellular PTM’s needs

and wants

Needs: To belong, They will do anything possible to feel welcome and accepted. That would help build theirSelf-Esteem, and enable them for Self Actualizationto attain their full potential as an individual.

Wants: Product offerings, promos, affordable price and competitive edge among its competitors.

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Sun cellular PTM’s

demands

Demand : Frequent communication with friends, families andBusiness associated thru unlimited text messaging and calls

and mobile Internet with affordable and efficient means of staying connected and building personal and business relationships;

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STEP 3a: Sun’s Competitors

Direct: Globe (touch mobile), Smart (buddy, talk & Text, Red Mobile)

Indirect: Landline phones, Internet, snail mail, BBM.

Variables: Price, Brand, reliability, features, Promotions, availability, convenience of use, social status, age.

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3b. Globe leads the high end post

paid market while Smart dominates

pre-paid

Sun Regular

Price/ Status Matrix

A B C D

High price

Low Price

SUN ELITE

Smart Buddy

Super Plan

TouchMobile

Social Status vs. Age Matrix

as of 2011

Globe Platinum

Talk & Text

Smart Gold

Red Mobile

Smart Infinity

Globe Pre-paid

Sun Pre Paid

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STEP 4b: Smart diversified

product line

Benefit Positioning vs. Brand Matrix

Harder to stand out amidst the competitive clutter.

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4. State of the industry:

Cell phone penetration at 96%

The Philippines, with a population of only 89 million, has now atotal of 84.5 million mobile phone subscribers.

*almost every Filipino, young and old, has a cell phone *or many Filipinos has one or up to three cell phones each.

In the words of industry research firm Frost & Sullivan, the country‟s mobile phone penetration rate is now 96 percent.

And the figure is expected to reach 125 percent by 2015! No wonder, RP is the text capital of the world!

Article “out of order” by Alfredo Gabot ( www.Philippinestodayus.com)

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4. Philippine Mobile Telecom

Industry ruled by 3 players

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4. Market Opportunity of 82%

Data taken fromArticle “out of order” by Alfredo Gabot ( www.Philippinestodayus.com)

Smart

Globe

Sun

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4. NWD not addressed:

Sun: Signal strength, Brand Value, Financial Services

Industry: GPS

Opportunities

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STEP 5a: Network’s Philippine Market

Share

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Sun Cellular reached more than 15 million subscribers.

With nearly 7,000 cell sites and fast expanding.

In Sept 2010 Sun Cellular was the first telecommunications provider to hit One million Postpaid Subscriptions, with 7 out of 10 new postpaid

subscribers choosing Sun for the past three years.

Sun’s Market Size

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Sun Cellular pioneered the intra-network unlimited wireless services in the Philippines through its 24/7 Call and Text Unlimited (CTU) and 24/7 Text Unlimited (TU). They also have Mobile Internet and downloads for music, games, movies and wallpapers. It holds the distinction of being the fastest growing mobile network provider in the country with more than 15 million customers supported by its nearly 7,000 cell sites nationwide.

STEP 6: Sun’s Product

Description

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Sun Prepaid

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Sun Postpaid

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Sun Broadband

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Call and Text Rates

Globe

Prepaid Rate

Sun Prepaid

Rate

Smart

Prepaid

Rate

Voice Rates (per minute)

Network to same network P 6.50 P 5.50 P 6.50

Network to other networks P 7.50 P 6.50 P 7.50

Network to landline P 7.50 P 6.50 P 7.50

Text Messages

Network to same network P 1.00 P 0.50 P 1.00

Network to other networks P 1.00 P 1.00 P 1.00

Comparison of Call and Text Rates

STEP 7: Price

Pricing strategy used: Penetration pricing

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Modes Sun Cellular Uses

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STEP 8:

Sun Cellular Promotions

Sun Cellular promotes heavily in above the line advertising mostly in TV and radio. It is also active in digital advertising with the help of Social Media presence like Youtube and Facebook.

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SUN Cellular Corporate Site

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SUN Cellular Shop and

Facebook Page

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SUN Cellular Call and Text

Unlimited TV Commercial

Catches the Filipino humor by using local jokes.

Highlights on affordability by using Php 5 coins.

Sun Call and Text Commercial

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Globe Corporate Site

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Globe Store & Facebook Page

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Globe Tatoo TV Commercial

TVC is heavy on graphics. It focuses on the design and speed of its product.

Very effective persuasion.

Globe Tatoo Commercial

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Smart Corporate Site

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Smart Wireless Center and

Facebook Page

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Smart LTE (4G) Commercial

Live demonstration in Boracay Philippines.

Shows evidence of speed.

Also an effective persuasion.

Smart LTE (4G) in Boracay

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Smart 2011 TV Commercial

SMART's 2011 TVC

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STEP 9: Sun Cellular have its

flagship in different Malls

Nationwide

True to its commitment to deliver the best-value and relationship-enhancing services to its consumers, industry mover Sun Cellular opens its new and first Flagship store in Robinson‟s Galleria mall.

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Sun Cellular also have Sun Shop

strategically placed wherein

subscriber can easily go to.

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SUN SHOP IN CENTRAL LUZON

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SUN SHOP IN NORTH LUZON

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SUN SHOP IN SOUTH LUZON

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SUN SHOP IN VISAYAS

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SUN SHOP IN MINDANAO

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STEP 10: Sun’s generic

winning strategy

Which of the 4 strategies are being used? (bold and underline to most dominant strategy)

Low Cost Producer

Supply and Distribution Leverage

Differentiation

Niche

http://markmasuncell.blogspot.com/

1. PTM are students and young professionals

2. PTM demands for the cell phone services for the best value for money

3. Competitors are Globe & Smart

4. Application of new technology to services offered

5. 177 Billion Peso Market

Steps 1 to 5

Sun All you can! Plan

http://markmasuncell.blogspot.com/

6. Sun Cellular communication services

7. Most service provided for Money

8. Promotions

9. Gen Trade & Key accounts

10. Low Cost Provider

Steps 6 to 10

Sun All you can! Plan

rgwenceslao.blogspot.com

10 STEP

Marketing Plan for

Digitel Mobile Philippines, Inc. (DMPI)

– SUN Cellular

Jan Kenneth Obar

Sue Ann Silubrico

Francis Benson Hugo

Rustie Fidel

Ronald Patrick G. Wenceslao

June 2011