1. The 10 Step Marketing Plan for Sun Cellular Francis Benson C. Hugo Ateneo Graduate School of Business francishugo.blogspot.com

2. 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 francishugo.blogspot.com

3. Sun Cellular offers the latest in GSM technology, providing voice services (local, national, international calling), messaging services (short text or multimedia messaging), outbound and inbound international roaming, broadband wireless technology, and value-added services such as Mobile Internet, and up-to-date downloadable contents like ringtones, dial tunes, picture messages, and logos. Company Profile francishugo.blogspot.com

4. Steps 1 to 5Summary headline of Sun’s PTM and market Sun’s PTM are teens (10-21) and the working class (22-59) Who want to feel always connected to their family, friends and preferred sex. Can choose Smart & Globe Gap is focus on prepaid and postpaid services. Mobile broadband market (WAP, GPRS, MMS) and users using 3G and HSPA need to be developed and tapped as well Market size is 86.4M subscribers, Sun’s niche is 15.2M (18%) francishugo.blogspot.com

5. Sun Postpaid, Prepaid, Broadband and International services Affordable Uses all forms of media, internet and print ads Is distributed nationwide Generic Strategy is Niche Steps 6 to 10Summary of Sun’s marketing mix & strategy francishugo.blogspot.com

6. 1. Sun lights the way of both young and adult Filipinos Demographics: teens and working class Male or female, single or married, belongs to whatever social class Lifestyle: on-the-go: those who love to have 24/7 call and text messaging to family, wide network of friends and preferred sex Students (high school, college, grad, med and law) Professionals (CEOs, lawyers, doctors, etc.) Employed or self-employed, businessmen, investors Behavior: Filipinos consume most of their time texting and calling- whoever, wherever and whenever; always ensure their cell phone has a load francishugo.blogspot.com

7. 2. Sun’s PTM needs I am happy if I’m always connected I want to be loved Reference: Maslow’s Hierarcy of Needs Marketing Management, 11th ed, Philip Kotler 7 francishugo.blogspot.com

8. 2. Teens and the working class have basically the same needs Teens and the working class people need to belong, to be loved, and self-actualization Teens and working class people prefer Sun cellular over other telecommunication providers because of cheap call & text rates, excellent customer service and the brand’s promise of 24/7 unlimited connection with loved ones Teens and working class sector demand cheap means of communication, excellent customer service, and the feeling of security to be always connected to other people francishugo.blogspot.com

9. 3a. Sun has two gigantic direct competitors “The Power to Lead” “Abot mo ang mundo.” francishugo.blogspot.com

10. 3a. Other indirect competitors Indirect: Internet Snail Mail Email Telephone Personal/face-to-face communication francishugo.blogspot.com

11. 3a. Principal bases of competition Variables: Price Coverage Quality of service support Speed of network access Availability of calling features Value-for-money products & services francishugo.blogspot.com

12. Competitive Position Map for Telecom providers as of 2010 Price vs. Age Matrix Smart Globe Globe Smart Globe Smart Sun Sun Sun francishugo.blogspot.com

13. Benefit positioning vs. brand map for telecommunications provider Benefit Positioning vs. Brand Matrix francishugo.blogspot.com

14. 4. Gap between Sun customers and competition Where is the marketing opportunity? boost and develop mobile broadband networks and other value-added services What NWDs are not being addressed? mobile broadband, improvement of current 3G and HSPA What can be the unique selling proposition for the new product (totally new or repositioned.) Longer talking time for its 24/7 unlimited call and text, lower call and text rates francishugo.blogspot.com

15. 5a. Estimation of market size using competitor data: Smart 1. Sales of Smart from PLDT 2010 Annual Report (source: PLDT website) Total Sales (service revenues from its Wireless business) – P 95B % of sales from multi-product: 95B revenues from wireless segment / 144B consolidated revenues = 65.89% 2. As of December 2010, it has 45.6M subscribers (Smart website) 3. 45.6M / 86.4M subscribers = 53% market share francishugo.blogspot.com

17. 2009 – P 10B

18. 2010 – P 13Bfrancishugo.blogspot.com

19. 5c. Estimation of market size using customer data: Philippine Demographic Population Source: NSO 66.291M out of 94.013M or 71% of the total population francishugo.blogspot.com

20. 5c. Estimation of market size using customer data: Philippine Demographic Population Usage per day or per year Per person (ages 10-59) 66.291M x P25 ave. load per day = P1.657B P1.657B daily x 365 days = P 604.9B Per household Average persons in a household = 4 (source: NSO) P1.657B / 4 = P414M per household per day P414M x 365 days = P151B per year francishugo.blogspot.com

21. 5. Market size in pesos, based on year 2010 data Competitor (Smart) data= 95B sales in 2010 / 53% market share = P179B Company (Sun)data = 13B sales in 2010 / 18% market share = P 72B Customer Usage (2010 projected Phil. Population) data = P604.9B market size = P604B Note: a person can subscribe to more than 1 network provider francishugo.blogspot.com

22. 6a. Prepaid SIM Cards on the market Globe Prepaid SIM Smart Prepaid SIM Sun Prepaid SIM francishugo.blogspot.com

23. 6a. Sun’s Regular Prepaid Cards francishugo.blogspot.com

24. 6a. Prepaid Cards of Competitors francishugo.blogspot.com

25. 6a. Show how Sun product looks vs. competition Direct competitor Indirect competitors Sun products displayed in The Sun Shop @ Shangri-La Mall francishugo.blogspot.com

26. 6b. Sun Product Description Describe the physical features, specifications, attributes of the product. Info may be in product packaging, label, brochures or website. francishugo.blogspot.com

27. 6b. Sun Product Description Prepaid Products francishugo.blogspot.com

28. 6b. Sun Product Description Prepaid Products francishugo.blogspot.com

29. 6b. Sun Product Description Prepaid Products francishugo.blogspot.com

30. 7. Price Comparison of Call and Text Rates Pricing strategy used: Penetration pricing francishugo.blogspot.com

31. 7. Price Comparison of Prepaid Call & Text Cards Sun offers more free texts francishugo.blogspot.com

32. 8a. Modes of communication that Sun uses** ranking, 1-highest use 2 1 3 francishugo.blogspot.com

33. 8a. Sun’s TV commercials Underscores its “UNLIMITED” brand equity always, in a very affordable price francishugo.blogspot.com

34. 8a. Sun’s latest Promos from its website Hot deals offered francishugo.blogspot.com

35. 8a. Sun’s latest Promos from its website Call abroad for only P2/min with Sun P20 for 10 service! Todo IDD now has lower rates to more countries! Ideal for families with OFWs francishugo.blogspot.com

36. 8a. Sun’s latest Promos from its website francishugo.blogspot.com

37. 8a. Sun’s latest Promos from flyers/print ads Thru testimonials of other people francishugo.blogspot.com

38. 8a. Sun’s latest Promos from flyers/print ads Thru offering affordable deals francishugo.blogspot.com

39. 8a. Sun’s latest Promos from flyers/print ads Affordable and reasonable postpaid plans francishugo.blogspot.com

40. 8a. Sun’s latest Promos from flyers/print ads Thru communicating its UNLIMITED packages in every product/service francishugo.blogspot.com

41. 8a. Sun’s latest Promos from flyers/print ads It also shows that it has products suited for the upper working class francishugo.blogspot.com

42. Sun’s website It shows the awards received by the Company in spite of being a relatively new player in the industry francishugo.blogspot.com

43. 8b. Globe website Communicates the idea of the customer as being the king- he can do whatever he wants, in his way francishugo.blogspot.com

44. 8b. Globe latest TV commercial Communicates the idea of the customer as being the king- he can do whatever he wants, in his way francishugo.blogspot.com

45. 8b. Globe promos Hottest Android devices More than 200,000 apps Mobile Internet Plans francishugo.blogspot.com

46. 8b. Globe promos Additional services Promo is exclusive to Globe Prepaid subscribers. francishugo.blogspot.com

47. 8b. Globe promos Additional services francishugo.blogspot.com

48. 8b. Globe promos Additional services francishugo.blogspot.com

49. 8b. Globe promos Additional services francishugo.blogspot.com

50. 8b. Smart website Shows that the company has many things to offer francishugo.blogspot.com

51. 8b. Smart TV commercial Shows that its PTM are mostly high end consumers francishugo.blogspot.com

52. 8b. Smart promotions from Ads Sponsorships francishugo.blogspot.com

53. 8b. Smart promotions Sponsorships francishugo.blogspot.com

54. 8b. Smart promotions francishugo.blogspot.com

57. 9. Place Where are Sun products available? The company makes its Prepaid Services available through its thousands of: Xpressload retailers, The Sun Shop outlets Distributors and retail outlets nationwide Postpaid Services are provided to individuals, families, small and medium enterprises, and local companies francishugo.blogspot.com

58. The Sun Shop at SM Megamall francishugo.blogspot.com

59. Globe Store at SM Megamall francishugo.blogspot.com

60. 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 francishugo.blogspot.com

61. 59 SUMMARY francishugo.blogspot.com

62. Steps 1 to 5Summary headline of Sun’s PTM and market Sun’s PTM are teens (10-21) and the working class (22-59) Who want to feel always connected to their family, friends and preferred sex. Can choose Smart & Globe Gap is focus on prepaid and postpaid services. Mobile broadband market (WAP, GPRS, MMS) and users using 3G and HSPA need to be developed and tapped as well Market size is 86.4M subscribers, Sun’s niche is 15.2M (18%) francishugo.blogspot.com

63. Sun Postpaid, Prepaid, Broadband and International services Affordable Uses all forms of media, internet and print ads Is distributed nationwide Generic Strategy is Niche Steps 6 to 10Summary of Sun’s marketing mix & strategy francishugo.blogspot.com

64. 62 10 STEP Marketing Plan for Sun Cellular Francis Benson C. Hugo May 2011 francishugo.blogspot.com