Marketing Management

This report discusses the internal and external factors affecting SingTel's business approach in the esports market. It includes a SWOT analysis and recommendations for market segmentation and positioning.

Running head: MARKETING MANAGEMENT
Marketing management
Name of the student
Name of the university
Author note

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Table of Contents
Introduction......................................................................................................................................2
Determination of the external marketing environment....................................................................3
Identification of the industry potentiality........................................................................................5
SWOT ana1ysis...............................................................................................................................6
Strengths......................................................................................................................................6
Weaknesses..................................................................................................................................6
Opportunity..................................................................................................................................7
Threats.........................................................................................................................................8
TOWS analysis................................................................................................................................9
Strengths – opportunities.............................................................................................................9
Weakness – opportunities............................................................................................................9
Strength – threat.........................................................................................................................10
Weakness – threat......................................................................................................................10
Benefit segmentation.....................................................................................................................11
Perpetual mapping.........................................................................................................................12
Market positioning strategies.........................................................................................................14
Recommendations..........................................................................................................................15
Conclusion.....................................................................................................................................16
Reference.......................................................................................................................................17

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Introduction
Internet plays an important role in the current global scenario including the business as
well as for the individual use. Moreover, the popularity of the internet is increasing with the
increase in its alternate uses among the users and becoming the major revenue source for the
telecommunication sector (Battistella 2014). This is due to the reason that a few years back,
mobile connectivity was the major source of revenue for the telecommunication sector but in the
current time, internet service is taking the pole position by making the voice call services
irrelevant. This situation is also making the exiting players in the telecommunication sector to
upgrade their connectivity infrastructure along with offering more internet based services. In this
case, Singaporean telecommunication limited is the one of the leading name in the Asian market
(Kim, Jun and Lee 2014).
Singaporean Telecommunications Limited or SingTel is based out of Singapore and is the
leader in providing the internet based services to the customers across Asia, Australia, Europe
and the United States. It is reported that they are currently having more than 650 million active
subscribers across the globe (singtel.com 2019). Currently, the service portfolio of SingTel
includes voice call services, information communication solutions and multimedia contents such
IPTV services. However, in the current business scenario, esports are also emerging as a
potential internet based services across the world with the more online players are getting
involved.
This report will discuss about the internal business factors for SingTel in their current
business approach along with determining their effectiveness in overcoming the challenges. In
addition, market segmentation and positioning will also be discussed for SingTel and

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accordingly a few recommended steps will be stated. The external determining factors will also
be discussed in this report that will help in identifying the competitive advantages of SingTel.
Determination of the external marketing environment
Political factors  Overall political environment in the South Asian region is
favorable and this is helping SingTel to expand well in the region.
 Holding of the Singaporean government in SingTel is also helping
in dealing with the regulations and political challenges effectively
(Keane and Fung 2018).
 Esports industry is related to the entertainment market and thus
they are having less political issues in respect to the customer
service providers.
Economical factors  Average cost for esports is reducing with the development in this
industry. Thus, potentiality is increasing for the operating firms.
 However, due to good initial cost in esports, emergence of
economic recession or downturns will cause reduction in the
potentiality (Seo 2013).
 Esports is still being given less preferences compared to the
conventional sports and thus spending will be more restricted.
Social factors  According to different reports, popularity of esports is rapidly
increasing and with the inclusion of online games in different sports
events such as Asian games, it is further getting amplified.
 Esports is also applicable for domestic and amateur usages and thus

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the social preferences are more over the conventional sports.
 There are less cultural barriers for esports and thus the social
challenges are also low.
Technological factors  Esports have come up a long way in terms of technological
improvement, which may be a challenge for the new entrants such
as SingTel in operating in this sector.
 Extensive infrastructure of SingTel will also help SingTel in
operate in this new sector in the most holistic manner.
Competitive advantages of SingTel
 Being in the business scenario in the South Asian region for years will help SingTel to
deal with the political challenges in the case of esports business also.
 SingTel is having adequate knowledge about the telecommunication sector and thus they
will be able to design the service elements according to the economic condition of the
target market.
 SingTel is already having favorable market penetration, which can help them in meeting
the increasing social preferences.
 It should be noted that the data services of SingTel should be in line of the current market
standards and they should offered the latest technologies in the market.
 However, SingTel is already offering different data services, which will help them to
design esports centered data services (Naha 2018).
Identification of the industry potentiality

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In the current time, internet services are highly penetrated in the market with having the
presence in each and every corners of the world. Thus, the population covered by the internet
services is also getting more (Das 2017). In the case of SingTel, entering in this market will be
one of most potential strategies. This is due to the reason that, according to the blue ocean
strategy, organizations should enter in the market, which is less competitive and emerging.
Growth of esports market is going recently and competition is still lower than that in other
internet based services such as IPTV and broadband.
SingTel will have the maximum potentiality by offering the internet facilities specific for
the requirements in the esports along with offering varieties of online games to different users.
This will help them to have both the forward and backward integration in providing the esports
services. In addition, the more will be the popularity of the esports, the more will be the demand
for data. Thus, offering esports centered data services will help SingTel in having more
potentiality.
SWOT ana1ysis
Determination of the internal effectiveness for SingTel is important to have fair
understanding about the gap areas in the current business approach.
Strengths
One of the major strengths for SingTel is their high market penetration mainly in the
Singaporean market. This is due to the reason that it reported about having the market leadership
in both voice and data services by SingTel. In addition, SingTel is having shares of some of
market leaders in the telecommunication sectors in other countries. For example, they are having
stakes of Bharti Airtel, which is the largest telecommunication service provider in India. Thus, it

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can be concluded that high market penetration of SingTel will help them to push the sales of
esports services in the market (Dos Santos 2014). In addition, it is also being identified that
global presence of SingTel will further help in having the larger available market for them for
their newer services. The average revenue per user (ARPU) is also more for them compared to
their competitors. This is mainly due to the higher level of operational profit of SingTel. It is
reported that net profit margin of SingTel is standing at 31 percent as of 2018. Thus they are
having the financial capability to develop their esports services and market around the world.
Weaknesses
One of the major weaknesses for SingTel is the dependence on the partnered firms
outside of Singapore. This is due to the fact that SingTel is not having the market leadership as
the single entity in any of their foreign country operations. This may pose challenges in their
distribution and marketing strategy of esports in different regions. In addition, it is also identified
that reduction of the liquidity position of SingTel is their major weaknesses (Dash et al. 2016).
This is due to the reason that liquidity ratio for SingTel is decreasing from the last few years,
which is already posing challenges for them to maintain their daily activities. Thus, lack of
liquidity will cause SingTel to face challenge in developing the esports services and offering
them to the customers. Moreover, entering in this sector will be perceived as the late entrant as
there is already number of players operating. Thus, the advantages of early mover will not be
gained by them. This will also pose challenge for SingTel to compete with the established
players in the market.
Opportunity

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One of the major opportunities for SingTel is the growing popularity for online gaming.
Thus, the more will be the trends for online gaming, the more will be the demand for game
specific and higher capacity internet services. It is denoting that market opportunity for SingTel
is increasing. It should also be noted that SingTel is already having the research and development
wing known as FutureNow Innovation Centre, which helps them in enhancing their digital
services (Jenny et al. 2017). Thus, it will be beneficial for them to develop the services in
relation to esports and will also be able to continue the developing cycle. It is identified that
SingTel is already developed wireless communication technologies, which will be beneficial for
them in developing the esports services. In terms of the marketing opportunities, SingTel will
gain the increasing viewership of the online gaming programs in their network. It is estimated
that by 2019, the global viewership for the esports will be more than 345 million, which denotes
that SingTel is awaiting huge traffic in their network if they can offer proper services in this
sector. Thus, it can be concluded that entering in the esports market will help SingTel to
diversify their existing business along with increasing the revenue.
Threats
Regulations and legislations are the major challenge for SingTel in operating in this
sector. This is due to the reason that different countries are having different sets of rules for
buying frequency spectrums. This will cause added cost for them. In addition, it should also be
noted that high level of taxation will also pose threat for SingTel due to the fact that
telecommunication sector is not exempted from any tax benefits. Thus, it will take the toll on the
profitability of SingTel. Emergence of competition can also be termed as a prime threat for
SingTel due to the reason that the more will be the competition; the lower will be the
profitability for them. In addition, increase in the competition will further change the market

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scenario frequently, which will also be a challenge for SingTel. Fluctuations in the foreign
exchange rates will also be a major threat for SingTel due to the reason that major chunk of the
business for them is coming from outside of Singapore. For example, reduction in the valuation
in one of their foreign markets will have direct impact on their investments and this will also
have adverse impact on the entire business. In addition, it should be noted that in the current
volatile business situations, probability of currency fluctuations is more for SingTel and thus the
chance of threat is also more.
Strength
 Higher market penetration
 Global presence
 Higher operational profits
Weakness
 Lower liquidity ratio
 Dependence on the partnered firms
 Late entrant in the esports sector
Opportunity
 Increasing popularity of esports
 Increase in the viewership
 Opportunity for alternate revenue
sources
Threat
 Stricter regulations and legislations
 Emergence of competition
 Currency fluctuations
TOWS analysis
Strengths – opportunities
This element states about leveraging the strengths of the company in taping the
opportunities. In the case of SingTel, the major strength for them is higher market penetration,
which can be used to tap the growing popularity of esports. Higher market penetration is also

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helping in having positive brand image in the different market. Thus, initiation of the product
development strategy will further help to market the esports services. It should be noted that with
the global presence of SingTel, they will be able to identify the available markets for esports and
with high level of market penetration; the new services can be effectively distributed. In addition,
it is also identified that another major opportunity for SingTel will be the provision for
alternative revenue sources, which can be met by their strength of higher operational profits. This
is due to the reason that favorable financial capability of SingTel will further helps them to
develop different services based on esports and can tap the different customer segments.
Weakness – opportunities
It is identified that SingTel is very much dependant on their strategic partnerships with
other firms in different countries. It is termed as weakness as it will create hindrances in foreign
market operations but with initiation of strategic relationships with the firms already operating in
esports, SingTel will be able to tap the growing market for online gaming. In addition, initiation
of the strategic relationships with that of different esports entities will help in gaining the
expertise required for SingTel to have the strong foothold in this sector. On the other hand, late
entry in this sector is also being identified as a major weakness for SingTel. However, this can
also have a number of benefits for them due to the fact that being the late entrant; SingTel will be
able to identify the key trends in the market and design their services accordingly. Thus, the
probability of facing market challenges will be less for them.
Strength – threat
One of the major threats of SingTel being identified is the emergence of competition. In
this case, the strength of SingTel in having favorable market penetration will be beneficial for

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fending off the competition. This is due to the reason that new entrants will find it difficult to
penetrate the market along with cover the market area served by SingTel. Thus, even though the
emergence of competition will affect SingTel by their profitability but it can be waived off with
the help of higher market penetration of them. In addition, it is also identified that SingTel is also
facing the threat of frequent currency fluctuations, which may be mitigated by leveraging on the
higher level of operational profits of them. This is due to the reason that higher operational
profits will be helpful for SingTel to deal with the fluctuations in the foreign currencies to a
certain extent.
Weakness – threat
One of the major weaknesses being identified for SingTel is lower level of liquidity ratio.
This may further led to the threat for currency fluctuations in the long term. This is due to the
reason that emergence of the currency fluctuations will have more impact on the business if
SingTel is not be able to posses proper financial health. Thus, it is recommended that cash flow
should be increased in the business that will enhance the liquidity ratio of the company. The
more will be the liquidity ratio of SingTel, the more will be their financial capability to withstand
the impact of currency fluctuations. On the other hand, it is also being identified that in terms of
the strategic partnerships, SingTel should opt more for acquisitions over joint ventures. This will
help them to have their presence in the esports sector along with having lower dependability on
other firms.
Benefit segmentation
In the current marketing scenario, conventional segmentation variables are becoming
more irrelevant due to the fact that customer segments are becoming more globalized and unified

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in nature. With the emergence of the globalization, the differences between the different
customers segments are reducing, which is resulting in offering more distinctive benefits by the
organizations. This is leading to the concept of benefit segmentation. This refers to the process of
segmenting the customers in terms of their benefit seeking preferences. In the case of SingTel,
benefit segmentation will help to target the particular customer segments on the basis of
distinctive and unique benefits to be offered by them. The following section will discuss about
these benefits.
Customer segments Benefits offered
Customer segments seeking
seamless services across
Singapore
With having the maximum market penetration, SingTel will
be able to offer the broad and seamless network in each and
every corner of Singapore including tier I, II, III cities.
Customer segments seeking
more speedy and strong
network
Customers are increasingly expecting their internet services to
offer more speed and in the esports, speedy network will be a
boon. Thus, offering more speed compared to the competitors
will help to target the speed seeking segments.
Customers seeking affordable
services
Customers across the different price levels are attracting
towards the esports and thus it is important to offer affordable
services in order to have further market area coverage.
SingTel should have more flexibility in terms of choosing the
plan for subscription and they should position as an affordable
offering.
Support for high resolution
games
With the development in the esports industry, online games
are coming with better graphics and specifications, which

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demands for better services. Thus, SingTel will target the
customers having preferences for high resolution game by
offering proper services.

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High cost
Low cost
High service qualityLow service quality
Starhub
M1
My Republic
SingTel
Perpetual mapping
It is identified that SingTel is currently positioned as affordable service provider in the
market. This is due to the reason that they are one of the earliest network operators in the
Singaporean market. In addition, they are also being positioned in the market on the basis of their
diverse service portfolio. This is due to the reason that currently, SingTel is offering voice
services, data services and other wireless services. Thus, customers are getting different sets of
services with having the single subscription of SingTel. However, in the case of esports, the
positioning strategy should be changed to have the more market effectiveness. The following
section will discuss a perpetual map for the newer positioning strategies of SingTel.

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The above perpetual map is being designed in a way that it will offer SingTel a
distinctive position in the market. This is due to the fact that in the above map, it shows that
majority of the competitors are either offering high quality service with high price points or vice
versa. Thus, SingTel will only be able to gain competitive advantages if they can position
themselves as affordable yet high quality service provider. According to the above
perpetual map, this positioning will help SingTel to have market area without any major
competition. In addition, in the case of esports, offering of high quality services in affordable
cost will help SingTel in gaining cost leadership over their competitors. It should be noted that
there are huge potentiality of esports in the affordable segments and this untapped market will be
available for SingTel with the recommended positioning in the above perpetual map.
Market positioning strategies
It is recommended that SingTel should position their esports services based on the
customer benefits and service characteristics. This is due to the reason that in the above section,
it is already discussed that benefit segmentation will be the most effective for SingTel and thus
leveraging on the customer benefits will help SingTel to have ideally positioning their services.
For example, SingTel should position their services as affordable and high speed network, which
are important for running esports. In addition, it should also be noted that positioning on the
basis of service characteristics will also reduce the relevancy of other factors such as pricing and
external factors. This strategy will also help SingTel to have the distinctive position in the market
due to the reason that not every competitor will be able to offer the same features as SingTel.
Another positioning strategy that can be initiated by SingTel is based on pricing. This is
recommended due to the reason that SingTel will offer affordable cost for their network and thus

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pricing should be used as a positioning variable. This should be noted that in the above perpetual
map, it is identified that competition is lower in the low cost segment and thus positioning the
services on the basis of the price will help SingTel to gain advantages over others. For example,
SingTel should position that a particular plan is available in lowest price in the market over their
competitors, which will attract more customers. On the other hand, it should also be noted that
application of the network especially for the higher requirements of esports is complex. Thus,
this factor can also be considered as a positioning element due to the reason that application of
the service of SingTel will be made more simplistic. This will made the customers having
impression that it will be easier to subscribe for the services of SingTel.
It is also recommended that SingTel should initiate the positioning strategy on the basis
of the approach of the competitors. This approach will help SingTel to have the distinctive
positioning in the market due to the reason that positioning strategy will be different to that of
the competitors. For instance, SingTel should first identify the dominant strategies followed by
their competitors and accordingly they should design their strategy. Hence it can be concluded
that implementation of these strategies will be beneficial for SingTel in marketing their new
services.
Recommendations
There are some steps that should be maintained by SingTel in order to gain competitive
advantages. It is recommended that they should initiate market development strategy to have
more market coverage for their esports services. This is due to the reason that initiation of the
market development strategy will help SingTel to offer global products in new markets across
their worldwide operations. It should also be noted that initiation of the market development

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strategy will help in gaining more customer bases, which will further help in having more
viability of the esports services. SingTel should also follow the FREEMIUM model in attracting
new customers. This will enable them to offer free services for a certain period of time and after
that the customers will have to subscribe for the services. Thus, offering good services will help
in providing positive experience to the customers, which will motivate them for subscription. It
is also recommended that SingTel should have strategic partnership with OEMs such as Asus
and Razer, which will help in having gaming hardware of SingTel in the market.
Conclusion
Thus it can be concluded entering in the esports will help SingTel in increasing their
business revenues. In this report, it is identified that increasing the popularity of esports is more
compared to other internet based services. In addition, the requirement for internet is also more
for esports, which is posing further potentiality for SingTel. Determining external factors are
being identified in the report along with the identification of the competitive advantages for
SingTel. It is also identified that high level of market penetration will be beneficial for SingTel
in catering to larger customer sections. This report recommended that SingTel should have their
presence both in terms of network and hardware to have the maximum outcome from the market.

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Reference
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telecommunication industry. Technological Forecasting and Social Change, 87, pp.60-79.
Das, M., 2017. International Regulation of Fantasy Sports: Comparative Legal Analysis of
United States, Australian, and Asian Laws. UNLV Gaming LJ, 8, p.93.
Dash, M., Koo, K.K., Krishnaswamy, S.P., Jin, Y. and Shi-Nash, A., 2016, June. Visualize
people's mobility-both individually and collectively-using mobile phone cellular data. In Mobile
Data Management (MDM), 2016 17th IEEE International Conference on (Vol. 1, pp. 341-344).
IEEE.
Dos Santos, M.A. ed., 2014. Strategies in Sports Marketing: Technologies and Emerging
Trends: Technologies and Emerging Trends. IGI Global.
Jenny, S.E., Manning, R.D., Keiper, M.C. and Olrich, T.W., 2017. Virtual (ly) athletes: Where
eSports fit within the definition of “sport”. Quest, 69(1), pp.1-18.
Keane, M. and Fung, A., 2018. Digital platforms: exerting China’s new cultural power in the
Asia-Pacific. Media Industries, 5(1), pp.47-50.
Kim, K., Jun, C.H. and Lee, J., 2014. Improved churn prediction in telecommunication industry
by analyzing a large network. Expert Systems with Applications, 41(15), pp.6575-6584.
Naha, S., 2018. Sport in emerging markets. In Managing Sport Business (pp. 147-162).
Routledge.

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Seo, Y., 2013. Electronic sports: A new marketing landscape of the experience
economy. Journal of Marketing Management, 29(13-14), pp.1542-1560..
singtel.com (2019). Company Profile - Singtel. [online] Singtel.com. Available at:
https://www.singtel.com/about-us/company/company-profile [Accessed 5 Jan. 2019].