Full assignment paper: Marketing Experience of Maxis Mobile Internet

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Table of contents
Table of contents……………………………………………………………………………………………… 1

List of figures and tables………………………………………………………………………………….. 2

  1. Introduction……………………………………………………………………………………………… 3
  2. Decision making process and consumer behavior…………………………………………… 3

2.1      Social influences………………………………………………………………………………. 5

2.2      Psychological value………………………………………………………………………….. 5

2.3      Life style…………………………………………………………………………………………. 5

2.4      Recall of events……………………………………………………………………………….. 6

  1. The 4Ps framework……………………………………………………………………………………. 6

3.1      The anatomy of a service…………………………………………………………………… 7

3.1.1     Coverage issues………………………………………………………………………. 7

3.1.2     Self help online checking of the data usage………………………………… 7

3.1.3     Stability and technical issues……………………………………………………. 8

3.1.4     Limits on the data usage volume………………………………………………. 8

3.2      Pricing strategies………………………………………………………………………………. 8

3.3      Distribution channels………………………………………………………………………. 10

3.4      Promotional mix…………………………………………………………………………….. 10

3.4.1     Advertising…………………………………………………………………………… 11

3.4.2     Personal selling and the salesman behaviors……………………………… 11

  1. Conclusion……………………………………………………………………………………………… 12

List of Reference…………………………………………………………………………………………… 13

 

 

 

List of figures and tables

 

Figure 1 Low consumer effort “Heuristic for finding” decision making……………4

Figure 2 The advertisement of Maxis broadband on mobile service…………………6

Figure 3 Maxis broadband persuasive advertisement………………………………..10

 

Table 1 Price plan of Maxis broadband on mobile service……………………………9

Marketing Experience of Maxis Mobile Internet

 

1.        Introduction

Mobile Internet or broadband on mobile service is designed to provide wireless Internet connection services to the customer who requires high speed wireless connection on the move (Lu 2002, p.137). In the middle of this year I had signed up a broadband on mobile service with Maxis, one of the largest telecommunication service providers in Malaysia with target to enjoy a wireless connection at anytime and anywhere and keep myself reachable by my friends and families through the Internet connection. To satisfy my social need which refers to the need to be affiliative – to have friends, to be loved and accepted by other people (Furnham 1992, p.129) will be the biggest demand that I had when I signed up the broadband on mobile service with Maxis.

2.        Decision making process and consumer behavior

The consumers’ decision making process could be described as the consumers’ selection behaviors between the competing products and also a problem solving process in which their cognitive representation of the problem is critical to the understanding of the process (Tyagi & Kumar 2004, p.39). For both the companies and the individual consumers, it is important to understand our consumers’ behaviors and psychological activities behind these behaviors to better understand the purchasing process the relative rationalities.

Figure 1 Low consumer effort “Heuristic for finding” decision making
Source: Hoyer, W. D. & Macinnis, D. J. 2010. Consumer Behavior. Mason, OH: South-Western Cengage Learning.

Under many purchasing behaviors and decisions, we as consumers, will tend to use a Heuristic for finding which involves low effort judgment and decision making to decide which product to buy without too much analysis and critical thinking (Hoyer & Macinnis 2010, p.248) by recalling some accessible events based on which decisions are made. This is also the decision making mode that I used when I signed up the broadband on mobile service with Maxis. In my circumstance, I was affected by the following accessible events and my own psychological activities:

2.1    Social influences

With more and more students starting to use the broadband on mobile service, even those who have not used service before have come to know the service well by watching other people’s using. And the social phenomenon that repeatedly appeared actually created social influence upon my decision making process to buy a broadband on mobile service.

2.2    Psychological value

Though the broadband on mobile service will be chargeable to us and it is not cheap to us as students, my personal value of respecting daily and work efficiency push me to make up the decision to sign up the service. I believe that life should be efficient and with the time saved we can do more valuable things, hence I do like to choose to buy a broadband on mobile service if it can help me to save up some time by connecting me to the Internet any time and in any places.

2.3    Life style

While valuing the life and work efficiency, my life style is not a very workaholic one, I do like reading stories and writing some essays and post them on my blog, what is more chatting with my friends and families is also necessary in my life. With this life style, I would love to choose to buy a broadband on mobile service because it provide wireless connection service on my laptop that I bring everywhere, school or cafe house.

2.4    Recall of events

 

Figure 2 The advertisement of Maxis broadband on mobile service
Source: Maxis.com.my 2011, Mobile & Plans 11 Nov 2011 [online] viewed on: http://www.maxis.com.my/personal/mobile/browse_search/index.asp

Another very direct factor that made me make up my mind to sign up the broadband on mobile service with Maxis was the recall of a number of events in my brain. The first even was Maxis’ advertisement showing that a lovely global suggesting that with a mobile broadband one can be connected to the globe; the second even was the scenario in which I was sitting in the taxi with my laptop but can not connect to the Internet, which made me anxious especially in case the traffic jam.

With these memories recalled in my brain and also considering my personal value and life style, I made up my own decision to sign up a broadband on mobile service with Maxis, one of the largest telecommunication service providers in Malaysia. Below I will reflect and summarize some customer experiences to support my understanding of the famous marketing mix, the 4Ps framework.

 

3.        The 4Ps framework

 

The 4Ps within the framework could be considered as independent, though not isolated, variables adopted as determinants to affect the dependent factors-the behaviors of the target market (Cheng, Kotler & Lee 2011, p.21).

 

3.1    The anatomy of a service

 

3.1.1            Coverage issues

It is claimed that Maxis has the most comprehensive coverage of its mobile broadband service, I do agree with this service feature, even I was on the move or in travel, in most time and locations I will still be able to access to the Internet and the signal is also strong enough for basic usage even in some extreme environments. For example, once I was in a travel and tour around an unknown island in east Malaysia, I was still able to connect to the Internet using the Maxis broadband on mobile service. This makes me believe that Maxis has delivered its promise to provide the most comprehensive coverage of its broadband on mobile service.

3.1.2            Self help online checking of the data usage

As a postpaid customer with monthly limit of 6 GB, I am able to check my data usage on the integrated main page for the Maxis mobile broadband which will automatically pop up each time my mobile Internet service is activated and connected. With the online check system, it saves time to check with the customer service center of Maxis which could take up a long time if there should be any call queue. But still I will say that it is not convenient for me to each time check on the page, and I prefer to see the data usage by click one or two bottoms in the user interface of the mobile broadband management system rather than log in to the website and click a number of buttons.

 

3.1.3            Stability and technical issues

Though the Maxis broadband on mobile service is well known for its comprehensive signal coverage, there is another key problem with the service which is the service instability caused by the technical issues. For example, in the past one month, I didn’t really like to use the broadband on mobile service to browse the Internet and chat with my friend except it was in urgent case; the reason is that the broadband on mobile service will frequently encounter some disconnection problems without any hints. When I called the customer service center, the technician advice me to do a number of trying such as changing to another USB hub or remove the SIM card for five minutes, but the same problem still keep pops up and annoys me. I will mark down the broadband on mobile service if it is working in a very unstable way like this.

 

3.1.4            Limits on the data usage volume

 

Another issue that really annoys me is the data usage limit. It is true that the broadband on mobile service provided by Maxis establishes high speed connection between the users and the World Wide Web, but limits that the company have on the data usage is very inconvenient to the users, regardless of the price, each plan has a relatively low volume limit, for example, I pay 89 each month but can only use 6GB which is in most case not enough for usage. And what is more, and then the quota is reached the service will to interrupted resulting in great inconvenience.

 

3.2    Pricing strategies

I believe that Maxis has adopted a creaming or skimming pricing strategy which shows the company’s desire to skim the market by selling at a premium price (Saxena 2009, p.327). Though there are competing companies offering the quite the same products, but the price that these service providers in Malaysia seem to be charging too much than similar providers in many other countries and the fact that their price are similar to each other make me feel that there could be collisions. But if the fact is that since the companies have invested heavily in the fundamental facility construction and building such as the signal tower, then the high price that they are charging would not be a creaming or skimming but it is rather a cost plus pricing strategy.

Table 1 Price plan of Maxis broadband on mobile service
Source: Maxis.com.my 2011 viewed on 14 Nov 2011 [online]: http://www.maxis.com.my/personal/mobile/browse_search/index.asp?iStruct=0:2

Another widely used pricing strategy by Maxis in its broadband on mobile services is the psychological pricing or price ending which refers to the consumer perceptions of retail prices (Pandey 2007, p.120). As the table above demonstrates, the company has used digits such as 58, 78 and 88 to make people feel that the price seems to be cheaper and also the number 8 is a lucky number for the consumers with a Chinese traditional culture background.

 

3.3    Distribution channels

Distribution channels deal with the media and channels through which services are distributed and extended to the end customers. Regarding the case of Maxis broadband on mobile service, after checking on the Internet, I have come to the conclusion that there are two major way of distribution. The first way of distribution is through mail delivery which will delivers the sim card and also the USB modem (if should be any) to the customers, this way of distribution is normally comes with the online sign up; the second distribution channel is by on site collection which means that the customers will directly collect the relative equipments on the shops or through the hand of the sale man. Though these two ways of distribution are both used by Maxis to deliver its mobile broadband service but they are with different focus. The usage of the mail delivery together with online sign up and booking, it will increase the efficiency of the distribution channel and also control to cost of selling. But the usage of the on-site collection will better serve the customers in term of provide clear guidance and instruction and also explanations to customers’ questions, this is especially important and helpful to the first time users.

 

3.4    Promotional mix

Different elements of promotion such as advertising, sales promotion and personal selling make up the promotion mix (Agarwal 2008, p.418). Below I will share the customer service that I had with the Maxis broadband on mobile service.

3.4.1
Advertising

 

Figure 3 Maxis broadband persuasive advertisement
Source: Praveenrajan.com 2007

It is known that advertisements have different types of objectives, divided by the different objective, the advertisement include Informative advertising, Persuasive advertising and Reminder advertising. According to the my experience with advertisements made by Maxis broadband on mobile service, they are majorly belonging to persuasive advertising for two major reasons: on one hand, the advertisements tend to use touching scenarios to entice to consumers into the buying behaviors. For example, the above shown advertisement is a typical persuasive advertisement that is used to persuade customers into the buying by touching their heart with the moving movements.

 

3.4.2            Personal selling and the salesman behaviors

Personal selling is a powerful, effective and human way of promotion. Based on my only one time experience with the personal selling with Maxis in which I singed up the broadband on mobile service eventually, I has been very satisfied with the salesman behaviors and the personal selling as a way of promotion. The sale man who served me did explained a lot to me about the service quality, features and also the contract term and other term and conditions to me and made me feel that he was a friend of mine. And one site, I was also given a free small gift for signing up the service. And after signing the contract, I went home with the usb modem and sim card, but the service is not yet activated, I did call the sale man that night and he managed to activate the service for me in the next morning. Though it was latter than I had expected, I was really appreciated with the sale man’s effort to follow up a new customer and guide through the first time usage.

 

4.        Conclusion

 

To conclude that above analysis, I will say that the broadband on mobile service provided by Maxis is basically satisfactory to me. On one hand, the purchasing experience was rather good to me and the sale man play an important role to satisfy my needs of enquires and also the service itself is okay though technical problems could happen sometimes, but in general it is acceptable; on the other hand, in the perspective of doing business, the promotion and distribution channel is well build and utilized. What is more, the high price and some unsatisfactory service features such as the quota limit should see some improvements.

 

 

List of Reference

Agarwal, R. D. 2008, Organization and management. New Delhi: Tata McGraw-Hill Publishing Company Limited, p.418
Cheng, H., Kotler, P. & Lee, N. 2011, Social marketing for public health: global trends and success stories. Sudbury, MA: Jones and Bartlett Publishers, LLC. p.21
Furnham, A. 1992, Personality at work: the role of individual differences in the workplace. London: Routledge. p.129

Hoyer, W. D. & Macinnis, D. J. 2010. Consumer Behavior. Mason, OH: South-Western Cengage Learning.

Praveenrajan.com 2007. Did Maxis rip the idea? [online] viewed on: http://praveenrajan.com/blog/2007/10/did-maxis-rip-idea.html

Saxena, R. 2009, Marketing Management 4 E. New Delhi: Tata McGraw-Hill Publishing Company Limited, p.327

Tyagi, C. L. & Kumar, A. 2004, Consumer Behaviour. New Delhi: Atlantic Publishers and Distributors. p.39

Lu, W. W. 2002, Broadband wireless mobile: 3G and beyond. West Sussex: John Wiley & Sos Ltd. p.137

Maxis.com.my 2011, Mobile & Plans. 11 Nov 2011 [online] viewed on: http://www.maxis.com.my/personal/mobile/browse_search/index.asp

Pandey, A. 2007, Pricing Management. New Delhi: Global Vision Publishing. p.120