Marketing Management: Market Positioning and Marketing Audit of Melita

This report discusses the market positioning and marketing audit of Melita, a telecommunication organization based in Malta. It covers the background statement, marketing audit, 4 Ps of new product, competitive analysis, and unique selling proposition. The report also analyzes the external factors such as political, economic, social, technological, and legal factors that impact the marketing strategies of Melita.

Marketing Management

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
1. Background Statement.............................................................................................................3
Marketing Audit...........................................................................................................................6
4 Ps of New Product..................................................................................................................11
CONCLUSION ............................................................................................................................13
REFRANCES................................................................................................................................14

INTRODUCTION
Marketing management is a process that analysis market opportunities as well as also
evaluate all the potential threat in the market and based on the critical review about both the
factors strength and weaknesses a suitable marketing strategy is drafted and manage under the
marketing management. In this report Melita is taken as an organization. Melita is a
telecommunication organization based in Malta established in the year 1997. Headquarter of the
Melita Is located in Malta. Harald Rosch is the CEO of Melita. Melita initiated the culture of
high definition television in Malta. This report specifies about the market positioning. This report
also focuses over unique selling proposition related to the corporate organization. A marketing
audit is also reported to analyse about the market growth of the company. Valid specification has
also reported regarding the strength and weakness attached to the new product call Tele Buds
based on the 4P factor.
MAIN BODY
1. Background Statement
INDUSTRY BACKGROUND
Malta's telecom sector is the most advanced in Europe. It has high mobile and broadband
incursion rate. The sector is very well regulated and measures are designed to reduce prices and
increases competition. The broadband market is dominated by Melita and Go and the mobile
market is dominated by Melita Mobile, Vodafone Malta and Go mobile. The strategies are put in
place on infrastructure to develop e-commerce opportunities.
COMPANY BACKGROUND
Melita Limited is a Telecom service provider in Birkirkara, Malta. It was started in 1992
and today it has set a benchmark for digital technologies (Archer, 2018). It provides services in
more than 75% of Maltese households. It provides solution to businesses, powerful internet
services and mobile network. Melita has provided 4.5G mobile network to all its customers. It's
5G network connectivity is also ready (Shahriarpour and Tabriz, 2017). The purpose of the
organization is to provide high end security, cloud service and better connectivity.
SEGMENTATION TARGETING AND POSITIONING

Segmentation: It refers to dividing the market into small groups based on the needs. Melita has
targeted youth, businesses and professionals for its new product telebuds.
Targeting: It refers to the methods to be used to target the selected groups. Melita limited will
be using social media marketing practices to target its customer group.
Positioning: It refers to positioning the product in the market which can be done effectively by
conducting a competitive analysis.
COMPETITIVE ANALYSIS
Porter's Five Forces framework is used in determining and evaluating the competitive
strength and market positioning of the organization. A detailed analysis is carried out below.
Threat of new entrants: This force determines barriers and restriction that a company may face
to enter a new market. If the market is profitable and attractive with less or no barriers then it
increases the chances of threat of new entrants (David, David and David, 2017). By attaining
high level of efficiency Melita can make it competitive for new entrants to enter the market.
Malta's demographic characteristics makes it attractive for new competitors. Also, the offers and
benefits given by Melita is very attractive and grabs customers towards it and has strong
customer loyalty. Overall, the threat of new entrant is very less.
Threat of competitive rivalry: This factor is the major determinant of competition and
profitability. In a competitive industry, organizations compete aggressively to increase the
market share (Blankson, 2016). Malta has very small number of service providers so the
competition is mainly based on quality, price and innovation. Advancement in technology can
help organizations in facing competition by charging higher price for better quality till
competitors follow them. Melita Limited has used this technology to attract new customers
towards its product and services. The major competitor of Melita Limited is Go plc which gives
tough competition to Melita Limited.
Bargaining power of suppliers: It refers to the drive that makes it easy for the suppliers to
charge higher prices. A supplier is at strong position when number of suppliers are less in the
market, if products or service provided is unique and not available easily with others. The major
supplier of Melita is infrastructure and maintenance supplier which are the core part of the
organization (Wang and et.al.,., 2019). The bargaining power of suppliers is very high as lower
quality, higher prices and any delay on the part of suppliers may result in loss of revenue and

customer base. So, Melita has to negotiate carefully with the suppliers as it may cost huge loss if
not taken care.
Bargaining power of buyers: This power depends upon number of buyers in the market,
importance of each buyer and switching cost to buyer from one supplier to another. The
bargaining power of buyers is moderate as competition in this industry is limited due to
geographic constraints and also there is minor product differentiation. In Malta, firms have to
compete for wining customers as well as not to lose any of its customers (Achrol, R.S. and
Kotler, 2017). So, Melita Limited offers variety of offers to its customers to so that customers do
not switch to other competitors.
Threat of substitute products: This force is threatening when close substitutes of the products
are available to the buyers and that too with less price (Peattie, 2016). This reduces the
bargaining power of suppliers and market attractiveness. This mainly happens when company
fails to attract customer with its products and customers switches to other companies. Melita
comes up with number of options to the customers that makes it difficult for customers to switch.
Present Unique Selling Proposition(USP) of the company
The USP of Melita Limited is its wide range of product and services which sets it apart
from its competitors (Illiashenko and Strielkowski, 2016). It services includes flexi bundle
services, different types of internet services such as fibre power 30, fibre power 100, Melita Wi-
Fi. It also provides television services like Melita TV, on demand, TV channel line up, sports
schedule etc. It provides different types of mobile plans such as postpaid plans, hybrid plans,
discover 4.5G plan, mobile phones, international rates, roaming etc. It's USP is relevant for its
new tele bud product.
Marketing Audit
Marketing Audit is a review analysis of various factors attached in framing the marketing
strategies of Melita. Such factors will assess various external and internal factors associated with
the company in telecommunication market.
External Marketing Audit
External marketing audit will review and analyse various external factors. All such
external factors play the crucial role in framing marketing strategies of the company.
Political Factors Analysis: Telecommunication is one of the fastest growing sector because of
the increasing demand of telecommunication channels across the globe (Hunt, 2018).

Government of Malta framed various policies such as advancement of fibre optic cable,
implementation of 5G network across the Malta to improve the telecommunication network in
the country and also to improve the internet connectivity. Increasing need and demand of the
sector also attracted to the government of Malta to launch various policies such as tax deductions
to telecommunication companies and easy licensing policy that enabled the management of Melit
to take various political advantage by an efficient marketing strategies (Thakur and Workman,
2016). Government support created a smooth business environment in telecommunication sector
that also resulted into increasing demand of various telecommunication products and services
such as broadband services that guided the marketing strategies of Melita to improve the
consumer base by giving various attractive offers. The management of Melita has utilized all the
potential marketing platforms such as television, radio and social media to improve the consumer
base of the company. Demand of telecommunication sector has recently increases so many times
the governmental policies don't guide to companies towards the implementation that sometimes
created the extra hurdle for the management of Melita and it will identify the growth
opportunities for the company based on the market competitiveness of Melita.
Economical Factor Analysis: Economical environment of Malta also support the marketing
strategies of the Melita Limited. Economy of Malta drives the government to launch various
policies to improve the telecommunication network in the country. The proper utilization of
telecommunication channels create various opportunities for industry development and growth in
the country (Yang and Gabrielsson, 2017). The marketing strategies of Melita looks sufficient
enough to project all the needs related to the economical factor in all its marketing campaigns
that improved the customer base of the company. Economical factors provided various growth
opportunities to the company management with the help of effective marketing strategies but
many time it also impacted negatively the business opportunities of the Melita. The major
demerit the marketing strategies faced was because of the inflation rate in the Malta. Inflation
resulted into increased product prices that put an impact over company's sales. Inflation also
improved the marketing cost of the company that created extra burden over products selling
price. The government of Malta has also improved various taxes attached with the
telecommunication sales that also resulted into increased products cost for the company (Barbu,
Buzoianu and Margina, 2017). Various advantages of economical factors has improved the
branding of the Melita with the help of marketing campaigns but demerits attached to the

economical factors has also impacted the sales of the company that resulted into insufficient
marketing advantages. Apart from inflation and the policies of Malta government such as 5G
policy that provided a huge growth opportunities to the Melita Limited. The company
management is assuring a lower cost or cheaper data network services will enable the company
management to take competitive advantage in the telecommunication market of Malta.
Social Factor Analysis: Social factors are one of the dominating factors that impacts the
marketing strategies of the companies. Social factors involve the dimensions attached to the
population in Malta. Malta's population is well diversified as the people lives in both village and
cities that also impact the marketing strategies of the companies. Marketing campaign of Melita
Limited is implemented in such as way that enables the company management to take
competitive advantage's from the potential consumer base based in both city and villages
(Balmer and Yen, 2017). To entertain the rural region is a tough task as compare to the
consumer's based in urban part. The marketing strategies of the Melita Limited look sufficient
for the urban consumer's but the sales figures of the company depicts that the marketing
strategies of the company look not sufficient to convenience the rural consumer's as the company
has witnessed the decreasing sales trend in rural part of Malta. The cost affordability is also a
reason for the Melita Lrmited specially fo the consumer's based in rural part that also impacted
the company's performance in rural part. Income structure of consumer's based in rural part of
Malta is probably one of the reason behind such declining market performance in rural part that
impacted the company's performance and also influenced the competitive advantage of the
company in the rural market as other company's offered better services.

Technological Factors Analysis: The emerging need of technology has increased the market
base for the telecommunication products. The marketing strategies of the Melita Limited looks
well efficient to project all the emerging needs and demands of technology in both corporate
sector or for the general public that improved the market base for the company. The management
of the Melita Limited has tried to utilise all the technological mediums to project all the services
attached to the various packages of the company that enabled the company to improve the
market share and also to take competitive advantages in the form of increased sales with the
effective use of marketing campaign of the company. Marketing campaigns of Melita Limited
involve social media marketing and various advertisements over internet that positively impacted
the success of marketing campaign of the company (Mensah and et.al., 2017). The youth
oriented campaigns with the proper use of various marketing channels over internet social media,
youtube and internet the company management could sunesfully addressed the young consumer's
of Malta by efficiently convey various benefits attached with the services of company such as
faster and smoother network, faster speed, resolving faster compliance issues and cost
affordability factor that enabled the company management to improve the market share
specifically of urban part as the people out there are much more aware and lean towards
technology and social media but in rural part the company management could not effectively
addressed the need of the consumer's. Inappropriate advertisements over rural part influenced the
market performance of the company as the other competitors could address the demand of the
rural consumer's in more effective way that also resulted into decreased market share.
Legal Factor Analysis: Legal factors involve governmental laws and policies regarding
telecommunication sector. In the recent years the government of Malta has supported and took
various steps to improve the telecommunication base in the country. Various benefits attached
with the governmental policies such as tax benefits that improved the sales outcomes of the
company as the company management could provide more affordable cutomer services to the
people of Malta. Lower cost enabled the company management to take competitive advantages
in the telecommunication market of Malta. Cost affordability aspect of the Melita Limited could
also attract new customer's towards the telecommunication market. Apart from several positive
aspects of political factors such as tax benefits various negative factors also impacted the
competitive advantage of the Melita Limited in the telecommunication market of Malta. As the
government also approached to MNCs to conduct the business operations in Malta for the growth

of telecommunication sector in the country that resulted into increased competition in the market.
The management of the Melita Limited has tried to take advantage of all the legal factors to
improve the marketing efficiencies of the company but it not look well diversified as compare to
other multinational companies in Malta.
Environment Factors Analysis: In the recent few years the awareness in the people of Malta
towards environment protection has increased. The marketing strategies of the Melita Limited
look well efficient to justify the need of telecommunication products in the context of
environment friendly products. The management of the Melita Limited has also involved in
various environment protection campaigns as a part of various marketing strategies of the
company that also improved the market presence of the company. Marketing strategies related to
the social cause enabled the company management to earn trust of the potential customer's.
Internal Marketing Audit
Internal audit of marketing strategies involved various internal aspects related to the
company attached to the telecommunication market that can be specifies as follows.
Strength of Marketing Strategies: The marketing strategies of the Melita Limited has impacted
efficiently the brand image of the company that also resulted into increased market share for the
Melita Limited in the telecommunication sector (Jaworski, 2018). The proper utilization of
resources that also depicted into effective use of marketing channels for company's promotion's
could register its presence not just in urban part of the country but also in the rural market. The
organization structure of the company is also a well dynamic and creative that allows company
management to launch unique and new products based on the consumer's demand as the
management of Melita Lrmited is currently launching new product call Tele Buds that becomes
big strength for the company. Effective and optimum utilization of human and financial
resources provided the major strength to the company.
Weaknesses:Several demerits of the Melita Limited that influenced the market performance of
the company. The company could attract the young generations with its marketing strategies
related to the digital channels but the company could not attracted to the old age people that
states that the market segmentation and targetting strategies of the company is not appropriate.
The marketing campaigns of the company is also look unclear as the campaigns also don't focus
to a particular target group. Corporate sector has the huge market potential but the management

of the Melita Limited is not specifically focusing over corporate consumer base with no specific
product launch for corporate consumer's.
Opportunities: Telecommunication is among the major fastest growing sector across the globe
that provide major growth opportunities to all the business organizations work in
telecommunication sector. Analytical analysis of the telecommunication sector has depicted that
the Melita Limited has a potential consumer base in the telecommunication market of Malta but
the company can move towards the international market. The company management can even
work towards launching of new products and services to improve the consumer efficiencies
related to the telecommunication this will also improve the existing market share of the company
with the help of strong and dynamic marketing plan. The company management can also use the
proper market segmentation and targeting strategies that will positively improve the market
positioning of all the existing products of the company in the market. Well efficient market
positioning strategies will enable the company management to take more competitive advantage
in the current market. The company management can utilize its well diversified human resources
to implement the business strategies for market expansion and the optimum utilization of
financial resources will aid to the market presence of the company in the new market.
Threat: Competition in the market is always a big threat to the corporate entities. Specifically
the competition from the big groups and corporate body's that immensely affect the target market
for the company. Big groups carry the big operational budget that provide huge advantage to
such groups to implement all the operational activities effective (Lichtenthal, Tzempelikos, and
Tellefsen, 2018). Big operational budgets of the big companies provide luxury to utilize all the
major channel that can easily attract to the target consumer base of Melita Limited.
Telecommunication is among the rare sector where every day new technologies are introducing
by the big companies that create extra pressure on the domestic and small companies such as
Melta Limited to improve and upgrade the existing technologies in case to sustain in the market.
With the increased focus over launching of new products and also to upgrade the existing
services the company management can restrict the threat of new entrants and increased market
competition from the new and existing corporates.
Potential Market Growth: Increased product demands and use of telecommunication products
not just for the general people but also for the sector has resulted into increased dependency over
telecommunication. Specially in the corporate sector telecommunication becomes a crucial part

of all the operational aspects of the company that resulted into a huge dependency over
telecommunication products. Improved dependency over telecommunication products has
provided immense growth opportunities to all the telecommunication companies. Potential
marketing strategies also play the crucial role as the company can project all its products in such
a way to provide ease for operational activities of the company's that also became one of the
reason behind such a potential growth of telecommunication sector. The management of Melta
Limited can also explore the international market to catch more customer's for company's
products. Internationalization of business play the key role in creating immense growth
opportunities to the companies.
This chart specifically defies the growth of telecommunication sector across the globe.
The management of Melita Limited can channelize more aggressive marketing campaigns to
improve the growth potential of the company.
4 Ps of New Product
The management of Melita Limited has proposed a new product call Tele Buds. Tele
Buds will improve the consumer experience of Melta Limited by providing an experience of wire
less earphones.
Product: The management of Melta Limited is launching this new product call Tele Buds. Tele
Buds is a unique product that will give a high quality experience of ear phones to all the
consumer's. Tele Buds is a wireless ear phone brand that will enable to all the users to experience

all the videos and songs with high quality sound quality (TANG, GU and TAN, 2019). Tele
Buds will have an access of Bluetooth connectivity to connect from the various devices such as
mobile phones, computer, laptop and music systems. With the increased market demands of
wireless earphones this will help the management of the Melita Limited to improve the market
share of the company. The company management is also assuring a long term life cycle of Tele
Buds as compare to other competitors in the market by giving a warranty assurance of 4 years
that will enable the company management to take competitive advantage in the
telecommunication market. The company is offering various features to improve the consumer
experience.
Features of Tele buds:
 Wireless earphone experience
 Noise cancellation
 High quality sound
 Breathable earplugs while work out
 Water Resistant
 Scratch Resistant
 Bluetooth connectivity
 Wi-Fi Connectivity
 Auto call cancellation
The management of Melita Limited is trying to improve the ear phoning experience of all
the potential consumer's of the company by offering all such features. The marketing campaign
attached to the new product Tele Buds will immensely help the company to face the threat
related to the competition as this product will enable the company to build a unique brand image
of Melita Limited as the company is offering a quality product at the most affordable price range.
Price: The price of the new product Tele Buds will be € 50 Euro. The management of the Melita
Limited is setting this price to take all the competitive advantage in the telecommunication
market as this price for the Tele Buds is relatively lower as compare to other competitors in the
market. The company is also offering a warranty period of 4 years that will also impact the
potential market for the new product (Verhoef, Kooge and Walk, 2016). The management of
Melita Limited is also aiming to provide the affordable EMI facility to all the consumer's.
Facility of affordable EMI will enable the management of the company towards extra attention in

the market. The company is planning to engage with all the young buyer's by giving facility of
affordable EMIs. Affordable price range and easy EMI facility will give the major boost to the
new product of the company in the market. The price range of the new product will address the
threat related to the competition in the market.
Promotion: Promotion play the major role behind the product success. The management of the
Melita Limited is planning to channelize the promotional campaign for the new product Tele
Buds at all effective marketing channel. Various marketing strategies such as social media
marketing, radio marketing, television marketing and social marketing will enable the company
management to reach all the target consumer's for the new product. The company management
has segregated the entire promotional campaign in such a way that it can reach to all the target
customer segment effectively with the proper projection of all the marketing strategies. The
management of Melita has already conducted all the market segmentation and targeting process
so it can effectively position this new product with the proper use of all the framed marketing
strategies. The marketing and promotional campaign related to the new product will project all
the features and luxuries attached to the new product line in front of all the target consumer's.
The company management will also target to bring the new customer base for the new product
with the help of marketing strategies to improve the market share of the company in the
telecommunication sector of Malta. Promotional campaign for the new product will also target
the international consumer base as the company is offering the wire less earphone at a very
affordable price range so the promotional campaign will also be able to attract the internal
market with the help of potential marketing strategies.
Place: Place related to the product sale play the crucial role in framing the marketing strategies
related to the product. All the marketing strategies are framed based on the place of sale related
to the product. The management of the Melita Limited is planning to reach various channels such
as internet, radio, television, social media and other social channels to drive the marketing
campaign for the Tele Buds. The company management is also aiming to provide various
luxuries such as discount offers, gift cards and exchange offers to reach more consumer's over
internet and other sales platforms (Wojciech, 2017). This new product of Melita Limited will
also be available at various stores across the Malta to reach all the potential consumer base for
the new product. As per the market research and analysis social media will play the dominating
tool behind the product success of the new product Tele Buds as the target customer base for the

new product is all the young telecommunication enthusiasts and with the help of effective social
media marketing the company management is aiming to take advantage with the proper
marketing campaign over social media.
The effective use of 4Ps will enable the management of Melita Limited to get the huge
product success related to the new product launch with the effective use of all the marketing
channels.
CONCLUSION
This report concluded about different aspects of the industry and its impact over
company's performance in the market. In this report a precise description has also been
concluded to analysis about the market positioning of the company. All the impacts of market
positioning over product performance and company's brand image has been concluded in this
report. This report also conclude about the unique selling proposition and how the unique selling
proposition put a impact over a brand image of the company and also over the product
performance in the target market of the company. Various aspects of the marketing audit has
been concluded in this report. This report precisely concluded about how the different factors
attached to the marketing audit such as internal and external over the company's performance in
the market. This report also conclude about how and what impact all the internal and external
factors put over company's growth potentials in the target market. A proper utilization of the 4 P
model has also concluded in this report. This report precisely concluded about different factors
of 4p impact the marketing campaign of the company.
REFRANCES
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