Marketing Plan: Promoting Telstra's 4G and 3G Services in Australia

This marketing plan focuses on supporting Telstra in positioning its new 4G services alongside its 3G services, aiming to increase market share by 10% within six months and revenue by 5% within twelve months. The plan targets the millennial demographic, emphasizing product, price, promotion, and place strategies. It highlights the importance of competitive pricing, digital marketing, social media engagement, and public relations to attract and retain customers. The plan recommends monitoring stakeholder engagement and customer feedback to refine the strategies and ensure the successful implementation of the marketing initiatives. The executive summary, table of contents, target market and positioning, marketing mix strategies, evaluation, implementation schedule, and conclusion are included in the report.

Running Head: Marketing Foundation
MARKETING FOUNDATION

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Executive summary
Purpose of this marketing plan is to support Telstra to position new 4G services along with
their 3G services. It has been mentioned that aim of this company is to increase market share
by 10% within next six months and enhancement of revenue by 5% within 12 months. This
study focuses on development of strategies related to product, price, promotion, and place.
Target market and positioning strategy have been discussed at the beginning of this study.
Telstra needs to target millennial group in order to increase their revenue. In addition, it has
been mentioned that selection of appropriate marketing strategy may help this company to
position their new 4G and 3G services. It has been recommended to monitor level of
engagement of stakeholders in execution of marketing plan. Feedback of customers needs to
be studied in order to understand attitude of customers towards services of Telstra. At the end
of this study, conclusion part has been drawn from the overall discussion.

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Table of Contents
Target market of Telstra and positioning...................................................................................4
Selection of target market.......................................................................................................4
Positioning strategy................................................................................................................5
Positioning map......................................................................................................................6
Strategies of marketing mix.......................................................................................................6
a. Product................................................................................................................................6
b. Price....................................................................................................................................8
c. Promotion...........................................................................................................................9
d. Place.................................................................................................................................11
Evaluation and controlling.......................................................................................................13
Implementation of strategies and schedule preparation...........................................................14
Conclusion and recommendations...........................................................................................17
Reference list............................................................................................................................18

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Target market of Telstra and positioning
Selection of target market
Objectives of Telstra are to develop and introduce 4G and 3G services and earn
loyalty of customers. Aim of this company is to increase market share by 10% within next six
months and enhancement of revenue by 5% within 12 months. Millennial is the primary
target of this company as this generation spends more on mobile plans. Targeting this group
can help this company to generate maximum revenue. As opined by Morgan et al. (2019), it
has been noticed that Millennial are smart phones more frequently than other groups in
Australia. It means that this group can be considered as potential target customers for 4G and
3G services of Telstra. Near about 47% of this group use mobile phones at bedtime. This
statistic indicates that this group requires user-friendly plans for their mobile and they can use
internet with the help o 4G and 3G services of Telstra.
Maximum number of people under millennial group choose brand of
telecommunication based on reviews. Approximately 67% of individuals of this group rely
on limited brands with good quality brand image. On another hand, Hult & Ketchen (2017)
have mentioned that 61% f these people rely on new brands of telecommunication. It has
been noticed that 55% of Millennial avoid choosing brands that have fewer or no reviews.
This information is indicating that brand image and quality of service have great impact on
buying behavior of consumers. As suggested by Cacciolatti & Lee (2016), Telstra needs to
improve their brand image by improving service quality. This approach is potent enough to
help this company to influence customers in selecting their brand. This largest
telecommunication company has established its brand by serving top quality services to its
customers. This brand recognition may influence potential buyers to rely on new 4G and 3G
services of Telstra.

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Positioning strategy
Management of Telstra believes that serving better to customers may lead them to
position their business in marketplace with ease. They introduce flexible products and ensure
provision of digital service experience to their customer (Telstra.com.au, 2019). Mission of
this company is to be connected with the passion of their customers. As suggested by
Patrutiu-Baltes (2016), this company needs to focus on development of attractive
advertisement and public relation in order to position their new 4G and 3G services. Ability
of this company to provide good experience through their services may help them to achieve
success. This company needs to add tagline such as "Experience high-speed internet service
with less expense”. This tagline may help them to attract maximum potential customers
towards their new 4G and 3G mobile plans.
Implementation of this positioning strategy may help this company to influence
buying behavior of consumers. It is important to position these new services more efficiently
than similar services of their competitors. This approach may help Telstra to increase market
share by 10% within next six months. On another hand, Hasan & Ali (2015) have mentioned
that positioning of these services may help them to increase revenue as per their
predetermined service. Telstra may launch a new slogan for positioning new 4G and 3G
services in order to make Australian know that they are the best method to be connected with
people from all over the world.

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Positioning map
Figure 1: Positioning map
Strategies of marketing mix
a. Product
It can be seen that Telstra is a leading telecom organization in Australia. Different
category of products and various services are offered (Telstra.com.au, 2019). Products like
mobile, tablets and broadband are offered to customers of this firm. Smart home and mobile
broadband along with 3G services are also provided to customers. Several mobile plans and
cloud services are also provided by Telstra to their customers. As mentioned by Song et al.
(2018), variation in services increases satisfaction rate of customers. In addition, Telstra also
offers different digital office technology and broadband services.
However, it will be effective for Telstra to improve marketing strategy and include
advanced services like 4G for meeting marketing objectives. Moreover, different attractive
plans can be provided by this firm in order to achieve desired business objectives. At present,
customers of Australia prefer faster service with greater network speed (Baltes, 2015). Telstra
needs to distribute 4G service around different parts of Australia.
Features of new 4G service

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Faster speed than 3G: Bandwidth of 4G is greater than 3G, which helps to increase data
speed. This feature can be advantageous for mobile users.
Better signal that can offer greater consumer satisfaction rate: Users of 4G services can
be able to achieve uninterrupted service and superior connectivity.
Wider coverage as compared to other services: Coverage area of 4G network is wider as
compared to other services. This can help to achieve connection even in remote areas.
Affordability: This service was of higher cost during the time of its incorporation. However,
at present price has slashed down due to huge market competition. If Telstra provides faster
service at a low price then different business objective can be achieved.
Features of new 4g service
Faster speed than 3G
Better signal
Wider coverage
Affordability
Table 1: Features of new product of 4G
(Source: Telstra.com.au, 2019)
In addition, variation mobile plans can also help this organization to increase their
revenue percentage by 5% in the coming year. Different attractive mobile 3G and 4G data
plans can be able to satisfy targeted consumers of working professionals. As opined by
Kanagal (2015), Telstra can be able to access data at lower price, which can impact on
consumer loyalty. Monthly plans can be reviewed and greater amount of data can provide to
customers. In addition, longer plans of one year can be added that can help to establish a
good relationship with customers. Bonus data on recharging before ending current pack can
help to retain customers.
Data plans
Price $40/ month $59/ month $99/ month $500/year

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Data 25 GB + Free
local calls
70GB data +
unlimited free
calls
120GB+ 5GB
additional data
3 GB daily data
for a year
Table 2: New data plans
b. Price
Telecommunication sector in Australia is very much competitive in nature. Different other
companies offer same products and services that increase marketing competition. At present,
Telstra is using the strategy of competitive pricing in order to sell their products. As opined
by De Mooij (2018), competitive pricing strategy refers to setting price of a product at same
level as competitors. This helps to avoid market competition that can have huge impact on
company's revenue turnover.
Figure 1: Current prices mobile plans in Telstra
(Source: Telstra.com.au, 2019)
However, the new 4G service can be offered at penetrative pricing strategy. As mentioned by
Grewal et al. (2016), penetration pricing strategy can be used by an organization in order to
attract customers towards a new product. Telstra has reached about 30% of total population

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of Australia with 4G service and aiming to reach near about 66% of total population. In
addition, new base stations need to be installed and the company is aiming to install
approximately 1000 base stations. Demand of 4G network has also risen among Australians
that can provide proper support to this strategy. 4G internet usage has increased by 43%,
which can provide a proper chance for this company to capture the market. 59% of online
content is viewed by Australians on mobile phones.
c. Promotion
Telstra needs to focus on promoting its 4G and 3G services in order to attract maximum
potential as well as loyal customers towards their business. As stated by Ghezzi et al. (2015),
application of digital marketing strategy can be considered as effective one as it can help to
attract maximum number of millennial customers towards mobile plans offered by Telstra.
● Advertisement
This company has developed its brand image and people know about their official website. It
will be good to develop and post advertisements regarding new 4G and 3G services. Wirtz &
Lovelock (2017) have suggested that this company needs to offer discounts for new
customers on first purchasing. In addition, they can provide extra data to customers those will
buy new services through their website. On another hand, this company must develop new
commercial television advertisement for their new 4G and 3G services. This kind of exposure
can help them to reach maximum customers from all over the country.
● Social media marketing
Telstra has appointed experts to handle their business pages on popular social media
platform. They need to post advertisement for new data plan of 4G and 3G services.
Attractive offers regarding mobile plan need to be highlighted in advertisements for attracting
loyal customers from young generation. Davé et al. (2015) have narrated that marketers need

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to communicate with customers on social media sites and ask them to share their posts on
their profile. This approach may help to influence potential and loyal buyers.
● Public relation (PR)
This company will need to ensure strong media exposure in order to convey strong message
to its customers. They need to make people understand their effort behind introducing new
4G and 3G services. On another hand, Kim et al. (2016) have suggested that this company
needs to implement this strategy at lower cost. This company needs to arrange press release
in order to inform people about their project of developing 4G and 3G services.
On another hand, Guerrilla Marketing is a trending concept of PR that helps to ensure
maximum exposure to public. This company may focus on bus stop advertising in order to
attract moving people towards their new services (Davcik & Sharma, 2015). Bus stops are
crowded places visited by people from different age group. Users spent long hours while
waiting for busses. At that time, they will be able to read content of advertisement. Pop-up
stands must open in crowded busy areas in order to convey message of company to interested
buyers. This is a good technique of public relation and millennial groups are getting attracted
towards pop-up stands of telecommunication brands such as Telstra.
PR strategies for promoting 4G services along with 3G
services
 Press release
 Guerilla marketing
 Pop-up stands
Table 3: PR strategies
Marketing schedule
Mode of
promotion
May
19
Jun
19
Jul
19
Aug
19
Sep
19
Oct
19
Nov
19
Dec
19
Jan
20
Feb
20
Mar
20
Apr
20
Website
TV
advertise
Social
media

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PR
Table 4: Marketing Schedule for Telstra
d. Place
Currently, Telstra uses different online channels that help to sell different products and
services. Website of this organization plays an essential role in providing all information to
consumers (Telstra.com.au, 2019). As said by Lovelock & Patterson (2015), website and
online channels can be used to provide information and different products and services to
consumers. Moreover, they can distribute their products through offline stores.
Telstra can adopt different distribution channels, which includes manufacturer to consumers.
This is a direct distribution channel that helps to eliminate different mediators, which
increases price of products. As mentioned by Hu et al. (2015), this can be done through
websites and official social media pages. Various offers and new plans can be provided
through these distribution channels. Whereas, different other products like 3G and 4G sim
cards can be provided to customers through retailers and offline stores of this organization.
Offline stores can help to maintain public relations and different grievances can be heard
regarding service and products. Retailers can be used to distribute product, however, this
increases cost of products (Effing & Spil, 2016). Another essential channel of distribution can
be adopted by this firm. Manufacturer can sell their products to wholesaler and then these
products are distributed among retailers. Thus products are distributed through retailers
among customers.

MANUFACTURER
CONSUMER
CONSUMER
RETAILER
CONSUMER
RETAILER
WHOLESALER
MANUFACTURER
MANUFACTURER
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Figure 2: Different distribution channels that can be adopted by Telstra

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In the above figure, different distribution channels are described, which can be adopted by
Telstra in order to distribute their products. As mentioned by Chungyalpa & Bora (2015),
direct distribution channel is cost-effective, which provides greater benefit to a firm. Hence,
from the above discussion, it can be concluded that direct distribution will be most suitable
for Telstra for distributing new plans. Therefore, best channel of product distribution is
through online channels and offline stores.
Evaluation and controlling
Primary objective of this company is to develop 4G services along with 3G services that can
help increase their market share within 6 months. This objective can be measured by
calculating market share growth and increase in sales rate. Morgan et al. (2019) have said
that measurement can be taken per month by comparing sales rate of other competitors and
Telstra. This measurement needs to be done in every single month. Desired outcome of this
objective will be increased in market share by 10%. Responsibility of measurement of market
share needs to be performed by marketing department.
In addition, another objective of Telstra is to provide more options to customers regarding
mobile plans that can help them to increase revenue rate by 5% within a year. Testing of
methods can be done by measuring increase in sales turnover per month. Moreover, increase
in traffic in social media and website can be evaluated to measure increase in consumer
loyalty. Marketing executives and financial officers will be responsible for measuring
increase in revenue rate. Measurement can be done in every two months and desired outcome
will be increased in rate of revenue by 5% within a financial year.

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Objectives Measurements Time Responsibility Desired
outcome
Development of
3g/4g services for
increasing market
share up to 10%
within six months
 market share
growth
 Increase in
sales rate.
Per month Marketing
department.
increase in
market
share by
10%
Providing more
options to
customers
regarding mobile
plans and
increase revenue
rate by 5% in a
year
 increase in
sales
 increase in
traffic in
social media
and website
2 months Marketing
executives and
financial officer
increase in
rate of
revenue by
5%
Table 5: Evaluation of objectives and control
Implementation of strategies and schedule preparation
Implementation of strategies for product, price, promotion, and distribution needs to be done
with efficiency. Product strategy of Telstra will include development of 4G service, testing
new regions for 4G service, development of attractive mobile plan and modification of 3G
plans. Experts will be hired with technological knowledge in order to develop these services.
According to Hult & Ketchen (2017), it is important to maintain lower environmental impact

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while developing these services. Penetrative price strategy will be implemented in order to
beat existing substitute services of competitors. Conduction of market research may help this
company to develop and implement this pricing strategy for their 4G and 3G services.
Promotional strategy will include website advertisement, TV advertisement, Social media
marketing and development of public relation. Discussion about distribution strategy needs
to be done before applying appropriate strategy. After implementation of these strategies,
management of Telstra needs to evaluate changes in revenue generation, feedback of
customers and engagement levels of stakeholders.

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Products Ma
y 19
Jun
19
Jul
19
Aug
19
Sep
19
Oct
19
Nov
19
Dec
19
Jan
20
Fe
b
20
Ma
r
20
Ap
r
20
4G service
development
Test of 4G new
region
Development of
mobile plan
Modification of
3G plans
Products
4G service
development
Test of 4G new
region
Development of
mobile plan
Modification of
3G plans
Price
Implementation
of penetrative
pricing strategy
Promotion
Website
advertisement
TV
advertisement
Social media
marketing
Public relation
(PR)
Distribution
Discussing about
distribution
strategy
Implementation
of direct
distribution
channel
Evaluation
Evaluation of
revenue
Monitoring
engagement of
stakeholders
Evaluation of
customer’s

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feedback
Table 6: Implementation schedule
(Source: Created by Author)

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Conclusion and recommendations
From the above discussion of marketing plan, it can be concluded that development of and
implementation of strategies are important parts of business that helps in positioning new
products. In this paper, strategies regarding product, price, promotion, and place have been
mentioned and implementation of these strategies may help this company to increase market
share by 10% within six months after developing 4G services along with 3G services. On
another hand, it will be possible for Telstra to increase generation of revenue by 5% within 1
year through retaining loyal customers. Marketing is an essential part of business and it helps
to attract maximum potential as well as loyal customers towards new services. Hence, it can
be concluded that this marketing plan can be considered as helpful in positioning new
services of Telstra.
It is recommended that this organization needs to assess effectiveness of this marketing plan
after execution of plan. Response of customers to these new services of Telstra needs to be
evaluated. In order to evaluate, Telstra needs to study feedback of their customers regarding
4G and 3G services. They must work on grievances of customers for ensuring better
performance of their services in future. On another hand, it is recommended for this company
to measure changes in revenue generation after implementation of this marketing plan. It is
important to monitor changes in number of loyal customers of this business. Effectiveness of
advertisement must be measured for understanding areas of development. Engagement of all
stakeholders in implementation of this marketing plan must be ensured by the management of
Telstra.

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