Monday, October 29, 2007

Smart Telecom : market analysis

The question for market analyst is who will buy service from Smart Telecom, NTC or Sampoerna Telecom. If we see the offer from Smart, which the main attraction will be the price, the answer is no body. The conglomerate employee probably will be the only subscriber. For the other people, they unlikely to buy service/number from Smart. The offer from other cellular operator is a lot more attractive, cheap and advertised intensively. One more, their service has been proven and they already have millions of customer. Smart don't advertise much and their ad only seen at almost nowhere. Their advertisement itself doesn't look attractive, and most people see it sceptically. Seem that their marketing team analysis is shallow.

The key for cellular operator to survive is to sell number, or if not, sell the whole company, which is unlikely the case for Smart. There is options to choose : to sell on normal price and nobody will buy, to sell with discount as the others did which unfortunately will not attract people. Both will burden the company because of no sales occured. Other options is to give away many services, give a lot of lower cost, provide many bonuses and sell very cheap mobile handset. Marketing team should work very hard to find an interesting combination. They should work together and negotiate with mobile vendor, regulators and others operator.

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