After being branded for long as a quiet player, tata teleservices’ new flanking strategy has made much news. so far, so good; will the future be brighter? tsi's surbhi chawla does a reality check
It’s being called the DOCOMO effect! Well, you must have heard the DOCOMO jingle by now. You must have also heard about the benefits from the pay-per-second mobile plan from your peers. What you must not have heard of is that this clearly consumer friendly and radically progressive pay-per-second is primarily being held responsible by analysts for ensuring that some other telecom players suffer a significant fall in their toplines, bottomlines and share prices! It is said that it was Tata Telservices Ltd’s (TTSL’s) entry into the GSM arena (apart from its existing CDMA business), with the new brand christened Tata DOCOMO, that triggered-off this landslide – as this youthful and aspirational brand has started a never before seen round of per-second price war in the Indian telecom market! Clearly, TTSL isn’t caring less – in fact, they shouldn’t – for times are not proving all that bad when it comes to forging new tie-ups and implementing expansion plans.
TTSL, as is well known, has been offering its CDMA service along with the Richard Branson promoted Virgin Mobile. Therefore, the GSM entry was extremely important for TTSL. Less than a year old now, DOCOMO has already spread its wings across 15 circles in the country (out of a total of 22 circles) and has made Virgin Mobile only the third operator to offer a ‘dual technology’ package in India. More important for them therefore was on one hand the brand recall of DOCOMO (the intrepid tune being repeated regularly on channels is workings towards that) and on the other was market share – the most competitive pricing strategy was the route chosen.
On a third front, TTSL has shown its clearly innovative outlook by being the first in India to launch a cross sector promoted brand strategy, namely, ‘T24’ (with the Future Group). Though little is known about how this new partnership will function between TTSL and the Future Group, and how the consumers would stand to gain from this mix and match of retail and telecom, what has been revealed is that this new tie-up will also ride on TTSL’s GSM network and the services would first be rolled-out in south India, before it tries its luck in other zones. The grapevine has it that there are chances this T24 partnership may soon be extended to the CDMA sphere.
It’s being called the DOCOMO effect! Well, you must have heard the DOCOMO jingle by now. You must have also heard about the benefits from the pay-per-second mobile plan from your peers. What you must not have heard of is that this clearly consumer friendly and radically progressive pay-per-second is primarily being held responsible by analysts for ensuring that some other telecom players suffer a significant fall in their toplines, bottomlines and share prices! It is said that it was Tata Telservices Ltd’s (TTSL’s) entry into the GSM arena (apart from its existing CDMA business), with the new brand christened Tata DOCOMO, that triggered-off this landslide – as this youthful and aspirational brand has started a never before seen round of per-second price war in the Indian telecom market! Clearly, TTSL isn’t caring less – in fact, they shouldn’t – for times are not proving all that bad when it comes to forging new tie-ups and implementing expansion plans.
TTSL, as is well known, has been offering its CDMA service along with the Richard Branson promoted Virgin Mobile. Therefore, the GSM entry was extremely important for TTSL. Less than a year old now, DOCOMO has already spread its wings across 15 circles in the country (out of a total of 22 circles) and has made Virgin Mobile only the third operator to offer a ‘dual technology’ package in India. More important for them therefore was on one hand the brand recall of DOCOMO (the intrepid tune being repeated regularly on channels is workings towards that) and on the other was market share – the most competitive pricing strategy was the route chosen.
On a third front, TTSL has shown its clearly innovative outlook by being the first in India to launch a cross sector promoted brand strategy, namely, ‘T24’ (with the Future Group). Though little is known about how this new partnership will function between TTSL and the Future Group, and how the consumers would stand to gain from this mix and match of retail and telecom, what has been revealed is that this new tie-up will also ride on TTSL’s GSM network and the services would first be rolled-out in south India, before it tries its luck in other zones. The grapevine has it that there are chances this T24 partnership may soon be extended to the CDMA sphere.
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