Tuesday, November 24, 2009

MNP

http://www.business-standard.com/india/news/%5Cwill-number-portability-hit-old-telcos%5C/377511/

High-value post-paid subscribers are more likely to use number portability in India where the market is dominated by pre-paid subscribers who look for the cheapest service.

Vsevolod Rozanov
President and CEO, Sistema Shyam Teleservices Limited

‘After an initial spurt of activity among subscribers, the MNP trend will soon confine itself to a small percentage of the total high-end or post-paid subscribers’

India has reached another major milestone in terms of its unprecedented growth in the number of mobile phone subscribers and, just this month, it added its 500 millionth customer. There is still a lot more steam left in the market and it is estimated that another 600 million potential subscribers wait to be connected by mobile phones, and so there are serious efforts on to woo them by both the existing as well as the new telecom operators in the country.

The customer is truly king in the mobile phone space and he/she has all manner of choice, not just as far as telephone service providers, but even as far as a host of subscriber-billing plans are concerned. After the new operators came in, they introduced concepts like pay-per-second billing and this forced the incumbent players to follow suit and offer similar tariff plans.

The latest in the effort to fulfil the customers’ needs is the proposal of Telecom Regulatory Authority of India (Trai) to implement mobile number portability from January. Till now, a lot of subscribers in the post-paid category have been hesitant to change their operator even though they may want to, given the large number of call drops and poor reception quality on their existing networks because they stand to lose their telephone number.

Now, with Trai’s mobile number portability facility, subscribers can retain their telephone numbers when they move from one access provider to another irrespective of the mobile technology or from one cellular mobile technology to another of the same access provider. Overall churn rates — the proportion of customers who move from one mobile phone operator to another each month — is around 3-4 per cent already, a sign of just how dissatisfied customers are with their current mobile phone service providers.

As a new operator, we welcome any move to make the customer feel more comfortable and ensure smooth access for better services. The MTS network was adjudged among the best in terms of various quality parameters by Trai in its last survey. A congestion-free network, fewer call drops, high levels of voice clarity with high-speed data service are the hallmark of our service. We are sure that number portability will make our network a preferred choice for the discerning Indian customer. The move to introduce mobile number portability is one that favours the operator who provides better quality voice/data services along with attractive tariff plans.

Since the Indian mobile phone market is predominantly a pre-paid one, it has to be recognised that the dynamics of number portability will also be different from that seen in other major mobile phone markets across the globe. Pre-paid customers tend to be less fussy about retaining their phone numbers as compared to the post-paid segment. Also, mobile number portability comes with a small fee which will keep away the ultra-price conscious pre-paid customer. Besides, there will be a few days of blackout as customers shift from one operator to another.

There can be an initial spurt of activity among subscribers in the first phase leading to a churn of sorts in the first few months. This trend will then taper off to near normalcy, or a small percentage of the total high-end or post-paid subscribers. This has been the international trend too. In an intensely competitive market such as India, of course, even that small percentage churn becomes attractive and several of the new players will have planned for this in their business plans.

However, we know that it is not mobile number portability that will give us the required numbers, but the quality of our voice services and tariffs offerings that will do the trick. Number portability is a move which gives the subscribers a choice, and thus empowers them. The choice that this gives to customers, along with the increased competition that has occurred with new access providers coming in, will ensure that all operators will have to deliver good value to customers, both in terms of the quality of services as well as in terms of the tariff plans offered.

As a new operator, we are committed to quality and confident that it is the quality of services that will determine which access provider the subscriber finally settles for.

Samaresh ParidaSamaresh Parida
Director, Strategy Vodafone Essar

‘India has more new operators than any other market. High-value customers are likely to be nervous about moving to new networks with untested coverage and quality’

Vodafone Essar supports Mobile Number Portability (MNP) as it is good for customers. It might look as though MNP will give new operators a big opportunity to acquire customers from incumbent players by luring them with low tariff plans. But customers, particularly higher value customers, aren’t interested in the cheapest offer if the “total experience” is uncertain or poor. Network quality, innovative products and services, customer service and brand are more likely to influence their decisions.

In a competitive market, customers move towards the operator who provide them the best experience on all dimensions. This is the experience in markets across the world where MNP has been implemented. In India, we expect this trend to be even more pronounced. That’s because prices are so low that they are no longer a sustainable source of competitive advantage. Besides, India has more untested new entrant operators than any other market in the world. High-value customers are likely to be understandably nervous about moving to one of several new networks with poor or untested coverage and quality.

Competitive markets mean pressure to deliver for customers. Leading operators have worked hard on improving their network, processes and service delivery, as is evident from the improved showing on critical quality of service (QoS) parameters in recent months. This puts them in a strong position to retain existing customers and attract new ones. Operators who play the price game alone are likely to continue attracting only price-sensitive customers who will leave as soon as the next cheapest offer comes along.

Globally, more than 50 developed and developing markets have implemented MNP. In most markets, the number of customers porting was usually surprisingly low — less than than total churn in India of over 30 per cent per annum today. Understandably, customers analysed the various options before deciding to port. Established operators made efforts to improve their network and service structures in the run-up to MNP, thus reducing the reasons for customers to port.

According to recent studies, consumers with high average revenue per user (ARPU) and post-paid customers show a greater tendency to switch if MNP is introduced. This is logical since these customers have invested the most in their mobile numbers: They’ve usually had the number for longer, they have a broad network of contacts who know the number, and/or they have invested in business cards, stationery and other forms of listing and advertising. International experience and our internal research have suggested that these customers are sophisticated and seek overall value, not simply the cheapest price. They are highly focused on network coverage, quality of service and brand affinity. We also expect that many post-paid consumers who are currently with providers who have remained local or regional players will use this opportunity to move to larger operators who they know will provide sustained value. Again, this is a big opportunity for leading national players.

When MNP was introduced in markets such as the US, price/promotions were the leading drivers of porting. However, in India, with so many operators, and prices already so low, it will be quality, and smart, targeted marketing that will win the day. The leading players in India have been able to provide more targeted products and value for segmented customers than the challengers, who have relied more on price.

In India, there is another factor at play which is likely to mean they switch even less compared to other markets — customers already have their own version of MNP — the multiple number portfolio. Many customers have already opted for a multiple-SIM strategy, temporarily shifting across their personal SIM portfolios depending on the best tariff package. For low-usage customers in multi-SIM markets, porting will not be directly relevant. Further, MNP imposes costs which will have to be considered.

In conclusion, we expect that high-value post-paid subscribers are likely to use MNP more than pre-paid subscribers. Bigger brands with better overall customer experience are likely to gain such high-value porting subscribers. Established, large operators are already under pressure to fine-tune their processes and service delivery. They are likely to be net gainers as discerning value-seekers port to a provider most likely to give them sustained value.

Saturday, November 14, 2009

BM

http://www.watblog.com/2009/11/12/shaadi-launches-secure-talk-service-to-talk-to-nri-grooms/

http://www.financialexpress.com/news/Google-search-most-accessed-service-on-mobiles-too/537350/
[with a significant following over the internet, shaadi.com is the most acccessed web site followed by bharatmatrimony and jeevansaathi. ]

Thursday, November 12, 2009

facebook marketing


http://www.nytimes.com/2009/11/12/business/smallbusiness/12guide.html

A growing number of businesses are making Facebook an indispensible part of hanging out their shingles. Small businesses are using it to find new customers, build online communities of fans and dig into gold mines of demographic information.

“You need to be where your customers are and your prospective customers are,” said Clara Shih, author of “The Facebook Era” (Pearson Education, 2009). “And with 300 million people on Facebook, and still growing, that’s increasingly where your audience is for a lot of products and services.”


Start Small

For most businesses, Facebook Pages (distinct from individual profiles and Facebook groups) are the best place to start. Pages allow businesses to collect “fans” the way celebrities, sports teams, musicians and politicians do. There are now 1.4 million Facebook Pages and they collect more than 10 million fans every day, according to the site.

Businesses can easily create a Web presence with Facebook, even if they don’t have their own Web site (most companies still should maintain a Web site to reach people who don’t use Facebook or whose employers block access to the site). Businesses can claim a vanity address so that their Facebook address reflects the business name, like www.facebook.com/Starbucks. Facebook pages can link to the company’s Web site or direct sales to e-commerce sites like Ticketmaster or Amazon.

Facebook offers an array of tools and networks, and it’s easy to wander down too many paths. Ms. Shih recommends that newcomers start by asking themselves a simple question: What is your basic objective? Is it getting more customers in the door? Building brand awareness? Creating a venue for customer support? Once you have set your goal, you can strategize accordingly.

“You can waste a lot of time on Facebook,” said Ms. Shih, founder of Hearsay Labs, a Facebook marketing software company. “But if you’re a business, you don’t have any time to waste. Figure out your objectives first, start small and do things that help you accomplish your objectives.”

Ms. Shih suggests that businesses ask friends and family to become fans of their pages so that they display a respectable crowd of supporters when they debut. Pages can grow organically by word of mouth — the average Facebook user has 130 friends on the site — or by advertising or promotion.

You can enliven your page with photos, comments and useful information. As you grow more comfortable, you can add videos or business applications. Flaunt your personality. The page of an ice cream parlor should feel different than that of a funeral parlor. “The pages that are most successful,” said Tim Kendall, the director of monetization at Facebook, “are the ones that really replicate the personality of the business.”

It’s Not All About Selling

Art Meets Commerce, a New York marketing firm, has struck up a never-ending conversation with fans. The company uses Facebook as a crucial part of its publicity campaigns for theatrical productions. Its Facebook page for the show “Rock of Ages,” for example, has more than 13,000 fans.

Staff members constantly update the page with new photos, videos and quotes from the cast. They’ve also learned what not to do: Once they posted a video of Paris Hilton plugging the show and got negative feedback from fans who professed to be sick of her.

But it’s not just about marketing — or, at least, it’s not just about selling. “You end up moving away from being an Internet marketer and go into almost customer service,” said Jim Glaub, creative director at the agency. “A lot of times people use Facebook to ask questions: What’s the student rush? How long is the show? Where’s parking? You have to answer.”

Some basic rules: Buy-buy-buy messages won’t fly. The best practitioners make Facebook less about selling and more about interacting. Engage with fans and critics. Listen to what people are saying, good and bad. You may even pick up ideas for how to improve your business. Keep content fresh. Use status updates and newsfeeds to tell fans about specials, events, contests or anything of interest.

These interactions can take a vast amount of time — the “Rock of Ages” page has 300 to 600 interactions every week — but they can also provide a big payoff. Facebook is one of the show’s top sources of new ticket sales.

Last year, Art Meets Commerce introduced a Facebook ad campaign to promote an Off Broadway run of the musical “Fela!” The campaign aimed at Facebook users with interests like theatrical shows or Afro beat. According to the company, it generated 18 million impressions, more than 5,700 clicks and $40,000 in ticket sales — all for $4,400 spent on advertising.


“We can advertise all day, but if we don’t give them what they want they will not be a fan anymore,” said Mark Seeley, a marketing associate at Art Meets Commerce. “Even though we represent the shows as marketers, we don’t want to constantly tell people to buy tickets. You talk to them like you talk to your friends on Facebook.”



Aim at Potential Customers Only

Some guys use Facebook to find single women. Chris Meyer used it to find women who are already engaged.

Mr. Meyer, a wedding photographer in Woodbury, Minn., had had little luck with traditional advertising. A full-page ad in a bridal magazine generated zero leads and a trade show yielded only four bookings, barely covering the cost of his booth. But Facebook proved a digital bonanza.

Mr. Meyer aimed at women ages 22 to 28 who listed their martial status as engaged in the Minneapolis-St. Paul metropolitan area. He estimates that he has spent about $300 on Facebook ads in the last two years and has generated more than $60,000 in business. He says about three-quarters of his clients now come to him through Facebook, either from ads or recommendations from friends.

“I’d be out of business if I didn’t have Facebook,” Mr. Meyer said. “Especially with this economy, I need to stretch each marketing dollar as much as I possibly can.”

Facebook enables small businesses to engage in targeted marketing that they only could have dreamed about a few years ago. Facebook users fill out profiles with information like hometown, employer, religious beliefs, interests, education and favorite books, movies and TV shows — all of which can help advertisers deliver messages to specific demographic slices.

As you create an ad, you can add demographic criteria and keywords and see how many Facebook users fall into your target audience and modify it accordingly to get the most bang for your buck. Advertisers can elect to pay per impression or per click, set maximum budgets and schedule the ad to run on specific dates.

Thus a coffee shop in San Francisco can display advertisements only to local people whose profiles or group affiliations suggest they like coffee. According to Mr. Kendall, Facebook’s director of monetization, ads can also aim at people based on social exchanges, like a person who sends a message to a friend, “let’s get together for coffee” or who posts a status update about just having awakened and needing some java.

“We can help you find customers before they even think about searching for you,” Mr. Kendall said. “We’re very, very well-positioned to generate demand, based on the fact that we know a tremendous amount about a user.”

The Facebook ad system provides instant feedback with metrics like the number of impressions and clicks-through. This reporting allows Mr. Meyer to improve his advertising; if one ad doesn’t generate enough hits within 24 hours, he pulls it and tries something new.

Give Away Cupcakes!

Charles Nelson has an M.B.A. and is a former investment banker who owns a growing national chain of stores. Yet this 40-year-old entrepreneur checks Facebook with the frequency of a college student. Up to 30 times a day, he logs onto the social networking site via his laptop or Blackberry.

For Mr. Nelson, this is serious business. He and his wife, Candace, own Sprinkles, a cupcake bakery that relies on social media in lieu of traditional advertising. Mr. Nelson considers Facebook marketing essential. “People are out there talking about your business everyday, whether you’re looking or not,” he said. “This gives people a place to come and speak directly to us.”

Sprinkles uses Facebook to give customers a whiff of what’s cooking. Every day it posts a password on Facebook that can be redeemed for a free cupcake. Since April, its fan base has risen tenfold to 70,000.

Mr. Nelson and his wife previously worked as investment bankers in the technology sector and were keenly aware that, even for a traditional business like a bakery, social media is a crucial ingredient. His advice: make it relevant to the customer, keep it fresh and remember that the return on investment may come slowly.

“Be patient with it,” Mr. Nelson advised. “People are not going to flock to your social media site overnight. Technology is about the network effect. It takes time for those connections to build.”

Rubik's cube_contest


Can use rubik's cube contest

Wednesday, November 11, 2009

Pepsi, CSR

http://economictimes.indiatimes.com/news/news-by-company/corporate-trends/Pepsi-to-fizz-up-image-with-corporate-social-responsibility/articleshow/5221023.cms


12/11/09

ITC_sustainability report story_ ET

http://economictimes.indiatimes.com/opinion/columnists/t-k-arun/ITC-green-drive-cleans-tobacco-stain/articleshow/5221380.cms

dated 12/11/09

TI cycles, Vinay Kamath

http://www.thehindubusinessline.com/catalyst/2009/11/12/stories/2009111250020100.htm