Comprehensive Report: Telstra's Marketing Strategy and Analysis

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This report provides a comprehensive analysis of Telstra's marketing strategy, examining its objectives, value statements, and product offerings within the telecommunications industry. It delves into the role of marketing, outlining Telstra's key objectives and strategies. The analysis incorporates the 5Cs framework (Company, Customers, Collaborators, Competitors, and Context), a SWOT analysis, and an STP (Segmentation, Targeting, Positioning) analysis to understand Telstra's market position and target audience. The report also includes PESTLE analysis to assess the political, economic, social, technological, legal, and environmental factors influencing Telstra. Consumer behavior is examined, focusing on customer needs and competitive threats. Furthermore, it explores the role of collaborators, develops a marketing strategy, and concludes with recommendations for Telstra's future marketing efforts and a discussion of the marketing mix.
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RUNNING HEAD: MARKETING MANAGEMENT - MASTERS LEVEL 1
Marketing Management -
Masters Level
Telstra
Submitted by:
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Contents
Brief description of organisation and the industry..........................................................................2
Mission statements.......................................................................................................................2
Value statements..........................................................................................................................2
Brief description of the product(s)...................................................................................................3
Role of organisation’s marketing strategy.......................................................................................3
Telstra's First Objective...............................................................................................................3
Telstra's Second Objective...........................................................................................................3
Telstra's Third Objective..............................................................................................................3
Analysis of 5Cs................................................................................................................................4
Company- SWOT Analysis.........................................................................................................4
Customers.....................................................................................................................................5
STP...........................................................................................................................................5
Collaborators their suppliers, distributors or other......................................................................6
Competitors..................................................................................................................................6
Context.........................................................................................................................................7
PESTLE Analysis.....................................................................................................................7
Consumer Behaviour....................................................................................................................8
What customers want?..............................................................................................................8
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Which competitors pose a threat?............................................................................................9
How the context of business is changing, if at all?..................................................................9
What role collaborators play in the process?............................................................................9
Developing marketing strategy......................................................................................................10
Recommendation and Justification............................................................................................10
Choice of target market (/s)....................................................................................................10
Value proposition for the target market (/s)...........................................................................10
A positioning statement for the target market (/s)..................................................................10
Marketing mix........................................................................................................................10
Conclusion.....................................................................................................................................11
References......................................................................................................................................11
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Brief description of organisation and the industry
Telstra Corporation is the Australia’s largest telecommunication and media organization. The
purpose of Telstra is to provide mobile network, internet access and entertainment services in
Australia. The company was founded on 12 June 1975. The company headquarter is located at
242 Exhibition Street, Melbourne, Australia (Mort and Drennan, 2002).
Mission statements
The company has a mission to enhance its position as one of the leading service
telecommunication provider. The primary focus of the company is to promote customer interest
by providing with world-class experience. Sustainability is a part of the business to develop an
effective stakeholder interest (Business Enterprise, 2017)
Value statements
The purpose is to articulate and direct the technique to do things. Their values are important to
business and bring into line the whole process.
Telstra, have five core values:
They Show care for the customers
To Work together in a better way.
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To Trust each other in order to deliver effective results
To derive effective result by Make better result
To find courage in attaining market competencies (Business Enterprise, 2017).
All these values stand for gaining market competencies in order to gain better result. Their
values insist action in order to gain competencies. Telstra has gained market competencies by
putting those values into action. In this way they are able to create a new kind of company with a
brilliant connectivity (Evans, 2010).
Brief description of the product(s)
Telstra is providing with products related to the telecommunication which includes Network,
Phones, and tablets, Telstra TV, Mobile on a plan, Internet and broadband facilities in Australia.
Role of organisation’s marketing strategy
The telecommunications market is incredibly big compared to ten years ago. The market
includes major competitors like Optus and Vodafone. The marketing strategy is important from
the point of gaining market competencies. They have gradually diversified into other market like
Telstra TV (Armstrong, et al 2014).
Telstra's First Objective
The primary marketing strategy of Telstra is to generate responsibility. The purpose is to gain
long term market sustainability and outreach. Telstra understands the purpose of gaining market
effectiveness by delivering diverse range of products (Roberts, 2005).
Telstra's Second Objective
The second strategy is to connect future in order to gain effectiveness. They value each of its
customers to gain competencies. Its Telstra responsibility to manage the changes in the market
they serve (Shankar, Carpenter and Farley, 2012).
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Telstra's Third Objective
Marketing strategy plays a crucial role for the organization. They understand the importance of
Change to implement little benefit. Alteration in the market strategy is to determine change in the
social, economic and cultural environment.
Telstra aspire at targeting the whole of Australia in term of Local and international customers. It
needs to turn out to be the foremost network and phone service provider in Australia. Telstra is
setting a high market goal for gaining market competencies and best quality products and
services (Palmatier, et al 2016).
1. Through an effective Product and Pricing
2. By Distribution and Promotion functions
3. Operational preparation and Sales Promotion
4. Advertising and Public Relations
5. Direct and Online Marketing Programme
Telstra is constantly improving and developing different ways to gain and initiate new
customers. They are constantly upgrading existing customers through innovative strategies. The
main policy is to achieve creating bundles/deals that suit every customer in a better way. They
form alliance with the companies in order to gain overseas mobile network market. In this way
Telstra can get rid of the overseas daily expenses. The Telecom market is full of variables, risks
of investment, difficult to control, and is of complex nature. Telstra faces competition and
complaints regarding monopoly from other rivals. It has gained the position as a leading
competitor due to the leading position in information and ICT services market. The future
prospect of Telstra is to dominate the wholesale market and to meet the upcoming challenges in
future (Mort and Drennan, 2002).
Analysis of 5Cs
Company- SWOT Analysis
1. It is Australia's leading 1. They have a Limited Liquidity
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telecommunications and
information services company
2. They offer a Wide Range of Service
Portfolio to the customers
3. They do have a Strong Customer
Service Base
4. Telstra has an Active sponsorship in
major sports events
5. They are values-led organization to
gain market opportunity
Position
2. Telstra has an exceptionally tough
market segment with a limited
market share
1. There are ample of business
opportunities in term of
diversification
2. Increasing the Demand for
Telecom Services
3. They can develop IT Services
Market in order to gain
competencies.
1. Technology is changing with time.
This is causing problem to the
company in order to manage the
business.
2. Severe policies
Extreme level of Competition
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Customers
STP
Segmentation
Telstra is currently focusing on mobile telecommunications services, broadband access and
Internet services. They are also managing IT and telecommunications services through
advertising, search and information services. Telstra has an effective market channel through
cable distribution services for FOXTEL and different television services (Zikmund et al 2014).
Target Group
They are providing Services to the majority homes and businesses in Australia. They are
providing services to other carriers, advertising service and ISP in order to gain market
competencies.
Positioning
They have a valuable market position. In a very short time they have gained a position of an
efficient network provider. They have moreover Improved Customer Service & Online “Crowd
Support” initiatives to gain a vital market position (Perrott, 2005).
Collaborators their suppliers, distributors or other
For a business organization like Telstra, collaboration and business association plays an
important role. Business associations play an important role in gaining market capabilities on a
long run. This further helps in gaining market capabilities. Telstra has formed business
association with small and large sized organizations. This is helping them in gaining
competency. They have formed alliance with government bodies to provide effective network
services to its customers. The purpose is to gain competencies against the other telecom service
provider. The brand has collaborated to focus on improving its productivity technology
experiences. There strategy of Telstra is to focus on managing experience to its customers by
enhancing their network connectivity (Chan, 2006). Overseas collaboration is important for
Telstra in achieving pre-defined targets. They understand the importance of collaborating with
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foreign companies. This allows them in gaining market competencies with pre-defined market
goals. This enables them in business expansion and growth.
Competitors
Telstra is facing competition from the Telecom provider in Australia: Vodafone, Optus and
Virgin Mobile. Telstra supplied almost 51 per cent of the 1.48 million NBN fixed-line services in
operation as on 31 December 2016. The competition in the telecom industry is limited. With
time the business is expanding. Telstra has diversified business in different sectors by
introducing Telstra TV, broad brand facilities etc. There are very few market players in the
current market. New business enterprise is enterprise is entering into the Telecom sectors. This is
causing competition to the company. The Telecommunication companies are increasing business
advancement creating a better opportunities. In this way it is possible to manage the growing
business opportunities in a best possible way.
Context
PESTLE Analysis
Political environment
The Australian political system supports business organization and mechanism in an effective
way. The business is supported by favourable external environment allowing organizations to
use the business facilities in an effective way. The legal system is well regulated with a better
framework allowing business to grow efficiently. The process is very well supported by the
political system and reformative policies are building according to the needs. Business in
Australia has a high degree of certainty while comparing it with other countries (Campbell,
2016).
Economic
Australian has a better life style and standard of living. The economic policies are effective
enough to handle the situation. People are ready to spend money lead a better life. The country
has a strong economic growth rates higher than in most OECD countries like US and UK. The
working GDP of Australia is higher than the other countries hence creating better opportunities.
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Social
The social and cultural background in Australia is effective enough. Telecom industry plays a
vital role in managing the local sector in a better way. The country is providing with best
employment opportunities. As a result, tertiary education is widely available and is undertaken
by a progressively larger proportion of the population. This is available in the form of higher
education program available in the country. The social environment creates better opportunities
for the local population (Nicholls, 2017).
Technological
Australian culture is promoting Technology and development. With an advancement of
technology and growth, there is a growth and development in different sectors creating ample of
opportunities. Telstra foster innovation and technology in its process. Software up-gradation is
their priority. For the reason, they have hired competent employees to help in gaining market
competencies. Technology up-gradation and development is important for gaining competencies
over the other companies. In such a scenario, it is becoming important to develop technological
competencies. Telstra has valued the internal culture through implementation of characteristics
like: humbleness, Desire to learn and with valor to confront ourselves and others.
Legal
The legal framework provides different act and regulation to support the interest of an individual
and an organization. The competition commission keeps a check over the monopoly of the
company. There are distinct rules and regulation that support the overall legal framework in a
better way. This help in enhancing the level of economy.
Environment
Telstra is a pioneer of sustainable growth and development. They do understand the importance
of environment in nature. It focuses on developing effective policies to support nature. CSR is an
important function in the organization. It consistently supports the interest of the public and the
organization in a better way.
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Consumer Behaviour
Telstra has a huge following in terms of consumer market. It has taken over a large amount of
market share. Consumers are more informed and demanding and less patient than at any other
time. The consumers do have a higher expectation from the company. They are ready to buy the
goods only when they are satisfied. Telstra in network applications and services business has an
enormous opportunity in Asia, as well as up-and-coming prospect in digital media, global
applications and platforms. Telecommunications companies are at the heart of a social and
economic change. Telstra understand the needs of the customer and working proactively to
mitigate the short-coming. They are market leader in telecommunication sector. With an
advancement of technology and communication the company is expanding its business into other
sectors. This is facilitating better growth opportunities.
What customers want?
The consumer desires are unpredictable and changing each day with technology advancement.
Consumers are more informed, further demanding and less patient. They are looking for better
services. They tend to switch to other Telecom provider, in case if they are not getting better
services and opportunities. Telstra is a pioneer of innovation and change. They incorporate
efficient technology in their system. This is helping them in meeting the gigantic targets. The
intelligence that now exists in networks has improved functionality. New generation human to
machine interfaces like Sire and Google permit technology to be used in a simple way. Machine
intelligence, gesture recognition is revolutionary in the industry. These machine user interfaces
are important in meeting the target. The brand has collaborated to focus on improving its
productivity technology experiences. There strategy of Telstra is to focus on managing
experience to its customers by enhancing their network connectivity (Business Insider Australia,
2013).
Which competitors pose a threat?
Virgin, Vodafone and Optus are causing an extreme level of competition to the company.
These serves are providing services at a completive rate. The competition is checked by
Competition commission in Australia. This is for promoting the interest of all the companies
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working in Australia. There are small players who are entering into the industry; However
Telstra has a wide market reach.
How the context of business is changing, if at all?
The business is expanding day by day creating better opportunities for the business
organization. Business organizations are expanding opportunities and diversifying
accordingly. There are other allied services provided by the Business in order to sustain
competition (Thomas, et al 2016).
What role collaborators play in the process?
Collaborator helps in business expansion and gaining market objectives. Collaboration and
business venture is important for a business in gaining market growth. Telecom companies are
regularly keeping a check over the activities. International expansion and collaboration is of
great importance in gaining better results. The marketing strategy is important from the point of
gaining market competencies. They have gradually diversified into other market like Telstra TV
(Purves, 2016).
Developing marketing strategy
Telstra is slowly expanding is business in Asia. This market expansion strategy will help in
gaining competencies over other companies. Asia is a wide market for gaining competency. In
order to grow in a better way, Market growth and strategy is important.
Recommendation and Justification
Choice of target market (/s)
Asia is a vast market with lot many opportunities. The economic division of the continent allow
in managing the business activities in a better way. Telstra can introduce the business policies
according to the market requirements.
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