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A LWAYS L OCAL Eric Lee Eric LeMay Léa Leduc Berryman Sharon Luk Sarah MacKay.

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Presentation on theme: "A LWAYS L OCAL Eric Lee Eric LeMay Léa Leduc Berryman Sharon Luk Sarah MacKay."— Presentation transcript:

1 A LWAYS L OCAL Eric Lee Eric LeMay Léa Leduc Berryman Sharon Luk Sarah MacKay

2 B REAK E VEN A NAYLSIS 125,574Subscribers ($6,278,708 in Revenue) 1.64%of Rogers customers 30.60%of Targeted Rogers customers 0.605%of Canadians who own a cell phone

3 F INANCIAL A NALYSIS

4 M ARKETING MIX Product New SIM card technology Available through a new “Add-on” to Rogers Wireless plans Two features : Upgrade to total calling time Offer of two phone numbers in two Canadian area code

5 M ARKETING MIX Pricing $45 monthly service fee with Canadian Long distance Saver 125 $45 monthly service fee with AlwaysLocal Cost of the add-on$15$5 Number of short distance minutes 400 Number of long distance minutes 125400 Monthly bill $60 $50 Cost per long distance minute $0.12$0.02 Cost per additional long distance minute $0.35 * Cost of new SIM card = $15

6 M ARKETING MIX High switching costs Low switching costs Expensive Cheap Frequent traveler Infrequent traveler Long distance use Short distance use AlwaysLocal Nationwide 30 (Telus) 200 Canadian Long distance (Bell) My5 Local calls (Rogers) Positioning map

7 C ONSUMER AND M ARKET P ROFILE Target market Frequent travelers: Students (10.2% of the population) Business professionals (20% of the population) Students spend 81% of their disposable income on communications Baby boomers : highest purchasing power 57.5% of students do not pay for their cell phone bills Consumers are highly sensitive to price changes PMB Online. (2009a Spring). Business Travel. Retrieved October 30, 2009, from Print Measurement Bureau. PMB Online. (2009c Fall), Occupation. Retrieved October 30, 2009, from Print Measurement Bureau.

8 C ONSUMER AND M ARKET P ROFILE Market Profile In 2009, the Canadian wireless telecommunications services was worth $14.9 21.5 million subscribers 6% of Canadian households are cell phone only (20% increase in 2 years) 400 minutes of monthly talk Market not a saturation point yet Telecommunications industry will be growing by 30% over the next 5 years Euromonitor. (2009 January 20). Consumer Lifestyles. Retrieved October 25, 2009, from Global Market Information.

9 C ONSUMER AND M ARKET P ROFILE Direct competitors Market Share Rogers Communications : 37% BCE inc. : 30.3% Telus Corporation : 28.6% * Telus and BCE do not have GSM networks and SIM cards Indirect competitors Fixed-line telephony VoIP Datamonitor. (2009 July). Wireless Telecommunications services in Canada – Industry. Retrieved October 22, 2009.

10 B IBLIOGRAPHY Burns, Enid. (2006 August 25), Teen, College students are most active cell phone users. Retrieved November 1, 2009, from http://clickz.com/3530886. Datamonitor. (2009 July). Wireless Telecommunications services in Canada – Industry. Retrieved October 22, 2009. Euromonitor. (2009 January 20). Consumer Lifestyles. Retrieved October 25, 2009, from Global Market Information. Heller, David (2009 January 29), Grad school applications increase. Retrieved October 26, 2009, from http://media.www.gwhatchet.com/media/storage/paper332/news/2009/01/29/News/Grad- School.Applications.Increase-3603379.shtml http://media.www.gwhatchet.com/media/storage/paper332/news/2009/01/29/News/Grad- School.Applications.Increase-3603379.shtml K, Hercules. (2009 October 6), CDMA carrier Bell and Telus to launch iPhone in Canada. Retrieved October 25, 2009, from http://business2press.com/2009/10/06/cdma-bell-telus-to-launch-iphone-canada/http://business2press.com/2009/10/06/cdma-bell-telus-to-launch-iphone-canada/ PMB Online. (2009a Spring). Business Travel. Retrieved October 30, 2009, from Print Measurement Bureau. PMB Online. (2009b Fall), Cell phones, smartphones, Hhld Organizers. Retreived October 25, 2009, from Print Measurement Bureau. PMB Online. (2009c Fall), Occupation. Retrieved October 30, 2009, from Print Measurement Bureau.


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