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Marketing strategy: Maxis Communications

Executive Summary

Maxis Communications Berhad is a telecome service provider with both ixed and IDD business and other Internet services. Maxis is the number one cellular service agency company in Malaysia.

Maxis Marketing communications Berhad (Maxis) is a mobile centered telecom service provider with fixed series and IDD businesses to support its wireless procedures. It is the number one cellular service provider in Malaysia by quality and quantity of users as well as success. The major part of my research on Maxis will give attention to its mobile section because this currently comprises the majority (over 90% of the total revenue) of the companyЇїЅs operations. The company is well put within an expanding and stable Malaysian telecommunication market, which should support continued important growth off an already impressive bottom. Given what Maxis has recently achieved, the company will likely stay one of the most important Southeast Asian oper

Introduction

This paper reviews the performance of Maxis Communications Berhad (Maxis), a mobile concentrated telecom service agency with fixed line and IDD business to support its wireless functions. It is the number one mobile provider in Malaysia by quality and quantity of subscribers as well as success. The major part of my research on maxis will focus on its mobile division because this presently comprises the majority of the companyЇїЅs functions (over 90% of total revenue). The review period masks 5 years from 1998 to 2002.

INDUSTRY DYNAMIC

Telecommunication Market Structure

Telecommunication services in Malaysia have been customarily provided over a monopolist basis. Since 1996 Malaysia has implemented an over-all liberalisation model in order to build up its telecommunication sector. Over the past years, the federal government has released licenses to many new providers - each a powerful corporate group. Because of this, the industry once monopolised by Telekom Malaysia now has panoply of players offering set line and cordless services. Starting of last year (2002) there were 5 accredited telecommunication companies; Telekom Malaysia, Celcom, Maxis Communication, TIMECel and Digi. The telecommunication providers have since been consolidated into three major players specifically Maxis Communication, Telekom Malaysiaand Digi.

ince Maxis is involved in both the post-paid and pre-paid market segments, it should do something to customise the marketing attempts of segments to attain best results. While both services attempt to portray a premium image within each section, the parting of the two ensures that the perception among rewarding business sections and high-income customers is not lessened.

MaxisЇїЅs strategy is to give attention to quality somewhat than number advertising by selecting the correct media and ensuring that the content of the communication is effective and consistent with the Maxis high grade brand image. Maxis could leverage on its marriage with sister companies such as Tanjong Golden Town (TGV) and Astro to market its product. These are the two most significant stations of communication as the majority of its audience are made of the younger generation, working men and women, housewives and older persons ЇїЅ incidentally the targeted consumer communities for this prepaid product. Apart from media, advertisement could also be made via the tv and radio, outdoor billboards, picked magazines and newspaper publishers.

People

Maxis recognises the value of developing an efficient human resource technique to support and support its growth. The business operates on a number of key performance indicators (KPI) such as overall service level, processing time and problem solution time. These traits are inculcated into its staff drive. Maxis also provides necessary customer support classes and connection in customer-facing functions for many its employees. Maxis feels these training initiatives would further promote MaxisЇїЅ customer-oriented culture. In its effort to sustain and appeal to quality labor force, Maxis presents competitive worker remuneration, performance-based bonus products, while offering a wide range of training programs through the Maxis Academy and external training with high quality working environment.

Furthermore, the Maxis senior management team has the combo of skills and multinational experience necessary to expand a mobile operator in a highly competitive environment, especially in the regions of marketing, branding, technology and financ

The Malaysia cellular market is continuing to grow by leaps and bounds lately, submitting 15%, 39%, 74%, 44% and 21% growth per 12 months through 1998 to 2002 to reach 9. 1 million clients by end 2002, implying about 38% penetration in the market. The recent durability is largely due to the popularisation of economical pre-paid services within the market as well as slipping costs for handsets and a restoration in monetary factors. The customer expansion data is provided in the stand below.

Customer service - from registration through after-sales service ЇїЅ is critical to subscriber retention and prime brand maintenance. MaxisЇїЅs customer target should maintain providing better customer management, easier access to Maxis support and services, increasing top-up stations and differentiating Maxis from its challengers. Maxis might use its existing service channels such as Maxis centres, Maxis Authorised Service Agents (MASA), Maxis i-centres, Maxis contact centres and Maxis e-customer services. The functions of each channel are as follow:

Maxis centres: These centres would be located at convenient locations across Malaysia and really should give you a complete selection of standard customer services.

MASA: Maxis could utilise its authorised providers to check maxis centres. The realtors could provide customer services such as repayment facilities, information on the latest value-added services, responding to enquiries, etc.

Maxis i-centres: These centres should be outfitted with Internet kiosks for customer usage of Maxis Internet services and display the latest mobile equipment.

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