Omnitel Pronto

Italia
Syndicate 5
Agung Mahendra 29111324
Rangga Tri Raeros
29111314
Joseph Enrico 29111349
Reski Mapriharto 29111326
Gilang Surawijaya
29111350

Category Analisis Worksheet

Segment description
3794000 subscriber, penetration 6,5%, subscriber growth 61 % (1995)
Cellular penetration was 7.5% by the end of the first quarter of 1996
Current and Emerging Trends
Current trends
:
Offer subsidized handset
Peak and off-peak hours price rate
Emerging Trends :
Different tariff for local calls, long-distance calls, and international calls
Estimated Profit Potential of Trends
Outgoing call (13 minutes at peak, and 80 minutes at off peak)
= (Lit. 1595 x 13) + (Lit. 195 x 80)
= Lit. 36335 / month
Trends Needs not being met
Free monthly fee
Payment base on the cellular phone use rate,
Free activation fee,

In 1996, Italy celullar penetration just reach 7.5%, it

mean that 92.5% unpenetrated by celullar operator.
From 92.5%, it can be people who ever use the
celullar operator services, and people who never try
celullar operator services.
TIM dominate the celullar bussiness market because
they are the pioneer of the celullar operator
bussiness.
Omnitel as the new cellular operator want to gain
bigger market share in Italy, so they want to launch
new product that facilitate public needs, called
LIBERO.

Personal Users

Prospects

Rejector

Brand Loyal

18-34 yo
Use mainly of
peak

25-34 yo
More educated

Service
sensitive

25-44 yo

25-44 yo
Midclass

Peak charge

25-34 yo

Cost sensitive

Almost 60%
employees

25-34 yo
Higher social
class with small
families
25-54 yo
More
professionals

Females, non
workig
individuals, more
employees and
housewife
More males,
more selfemployed
Younger profile,
more educated

Mid class,
employees and
retired people

Personal Users

Prospects

Brand Loyal

Service
sensitive
Peak charge

-10 to brand

Cost sensitive

-13 in services

-9 to brand

Rejector

From conjoint analysis we can know that most of

all the Italy market (personal user, prospector, and
rejector) very concern to the service.
From conjoint analysis we have the data that show
prospector and personal user has negative value
in services based on the brand and peak charge.
Omnitel can emphasize this situation to gain the
big market share because Omnitel has a good
image as the best celullar services.
So based on the conjoint data, LIBERO target
market should :

Primary
Target

Target

Reason

Prospector

Secondar Personal User

y Target

Tertiary
Target

Rejector

Base on the conjoint data, the

prospector has negative value to
brand toward the service
The prospector is the part of people
who unpenetrated (92.5%)
Most of the prospector is
unsatisfied by Telecom fixed, and
concern about service and cost
sensitive.
Based on the conjoint data, the
personal user has negative value in
services toward to cost, and
negative value in brand toward to
peak charge.
Most of the personal user is a
willing to switch person
The rejector is the part of people
who unpenetrated (92.5%)
Most of the rejector concern to

Target Audience Worksheet

Demographic Psychographi Size of

s
cs
Market

Distribution
Points

Media Reach

Primary
Target

25-44 yo
midclass

50%

Cellphone
shopping center,
Omnitel Shop,
join venture with
credit card

TV,
newspaper
and
magazine,
bilboard

Secondar
y Target

Female

More educated
Employees
and house
wife
Retired people

25%

Cellphone
shopping center,
Omnitel Shop,
mall, event,
personal selling

TV,
newspaper
and
magazine,
bilboard

Teritary
Target

25-34 yo
almost 60 %
employees

Early adopters, 25%

willing to
switch, mainly
off peak calls

Cellphone
shopping center,
Omnitel Shop,
join venture with
credit card

TV,
newspaper
and
magazine,
bilboard

Unsatisfied by
telecom fixed
and positive
on private
operator

Competitive Analysis
Top 5
Brands

Estimated
Sales

TIM Euro
Family

TIM Euro
Profession
al

Omnitel

Points of
Differentiati
on
Target for
residence
subscribers

Perceived
Quality

Pricing

Celullar
pioneer

10000 of
Monthly Fee
Weekdays
1524 - 170
Weekend &
Holidays 170
in 24 hours
50000 of
Monthly Fee
Weekdays
412-663-412256-206
Saturday 412206
Holidays
206 in 24
hours
No monthly
fee
1595-195

Target toward
business
customer

Libero : Lit
437268

Middle class
customer
High quality
customer
service

Best
customer
service

Value
Propositi
on
Pioneer
in GSM
service in
Italy &
market
leader

Core Brand
Message

New
entrant
telecomu
nication
in Italy
that offer
high
quality
service

We listen to
you

You have
cellular
phone and
you are
somebody

Estimated
Marketing
Budget
$12.5
million
include all
TIM
marketing
budget

$25million

Points Differentiation
Worksheet
Brands

Parity Features

TIM Euro Family

Meaningful of Points
DIfferentiation
Monthly fee
Target for residence
Mobile phone subsidied
subscribers
Same monthly fee with
Free time (10000)
Same tariffs in
weekdays, weekend
and holidays with free
time Omnitel

#1 reason people buy

the brand
TIM is the first
telecomunication
provider in Italy

TIM Euro Professional

Monthly fee
Mobile phone subsidied

Target toward business

customer

Omnitel Free Time

Same monthly fee with

Eurofamily (10000)
Monthly fee
Mobile phone subsidied
Same tariffs in
weekdays, weekend
and holidays with free
time Omnitel

Monthly fee

Mobile phone subsidied

Omnitel Night/Day
Omnitel Libero

Free Monthly fee

Good customer service

quality.

Not to have pay a

monthly fee

Brand Positioning
Believable Options
Smart
Trendy
Cool
Efficient
The Pioneer
Service

3 Most Strategic
X
X
X

e was 3 most strategic believable option to support LIBERO asthe new product f
fit with the customer want :
fficient
e Pioneer
rvices

Brands in Category
TIM Euro Family
TIM Euro Professional
Omnitel Free Time
Omnitel Night/Day

Omnitel Libero

Key Customer Benefits

Mobile phone subsidized

Lower tarrif per minutes

Free activation cost,

freemonthly fee

Brand Positioning
Statement
TIM is a pioneer of celullar
operator,and the celular
market leader.

OMNITEL is the best customer

services in celullar operator
bussiness.
LIBERO is the celullar operator
for people who want the
efficient tarrif, because LIBERO
offer free activation cost, and
free monthly fee

new inovation from Omnitel, that has a meaningfull different from the competito
). This differentiation can use as the benefits we can offer to the consumer, such
vation cost, free monthly fee, and efficient tarrif (because the customer just need
tarrif based on the use rate).

Brand Element
Element
Memorability

LIBERO
When it launch to market, it will be remember by
Italian as the first one that offer flexibility in tariff
package
LIBERO means Free , it is easy to remember
because its association with free of taxes and
monthly fees.
LIBERO should use logo that simple and easy to
remember
Using mascot to leverage promotion

Meaningfulne LIBERO means Free , because it is free of

ss
taxes and monthly fees.
Likeability

Interesting offering, free of monthly fees and

flexible tariff usage
High quality costumer service

Transferabilit
y

The name LIBERO not directly linked to mobile

service so it become easily transferred across
category

Brand Element
Element

LIBERO

Adaptability

Using simple logo that can be retouch or remade for

future condition

Protect
ability

Check if brand name has not been patented

Register the brand name to be patented to protect
the brand legally
Do check and register the brand name when
expand to another region

r Italy market,LIBERO has a good name. It because it name (LIBERO) expressed t

enefit from the product. So consumer can easily remember name of the product.
e name can also use in another country,because LIBERO has a simmiliar meanin
BERTE or LIBERTY, that mean freedom (express the product benefits).

Conclution

LIBERO target is prospector (primary), personal

user (secondary), and rejector (terttiery)

LIBERO positioning : LIBERO is the celullar

operator for people who want the efficient
tarrif, because LIBERO offer free activation
cost, and free monthly fee
Libero should be the endorse brand
because with endorse brand, OMNITEL has
a good service image and can break from
competitors territory, in this case TIM.