On 7th August, Mr. Amit Gupta, Associate Director of Strategy and Operations, KPMG conducted an interactive session on the topic-“Marketing and product management in telecom sector”. The agenda for the session was 4 P’s of marketing .He believes that the 4P’s of marketing are not product, place, price and promotion as defined by Kotler but are Please! Please! Please! Please! Consumer behaviour is changing rapidly and differentiation can only be achieved through quality service, convenience, responsiveness and availability.
He talked about Digital revolution and why it is so important to be online these days .India is a hypercompetitive market with 13 telecom operators, which is twice as compared to other countries .Only 30% of the people are smartphone users and rural penetration is just 48% which means India has a huge potential for data penetration. The maximum number of transactions happen in tier 1 and tier 2 cities. India has one of the lowest APUs globally and also spectrum challenge is acute in India. The margin pressure in India is lowest as compared to other countries and Indian Telecom industry is facing a lot of pressure due to this.
If we look back at how the consumers and market place have changed drastically, 1990s saw MNCs coming to India after which in 2000s there was the IT blow and arrival of IPOs. In 2008 global recession hit most of the nations but India was not affected as much. After 2008 India came out of hibernation .New things and trends emerged in India and lifestyle of the people changed. Instant gratification was one of the trends that emerged during this time. India also came out of the closet and people started discussing things openly. Now the society is more open.
Further he told spoke about the rise of digital consumer. The rising presence and reach of the internet coupled with the prolific growth of smartphones, tablets and related technologies has provided consumers with unmatched access to information. One of the biggest achievements of social media is that it is giving customers what they want .Terms like Omni channel marketing, big data is a marketing buzz word these days.
He further stated that cloud computing, social media, big data, augmented reach and mobility are some of the top disruptive technologies in digital space. Companies are continuously tracking your footprints on web and accumulating all the data and processing it into structured information. The consumer buying process has also changed .Earlier it was a traditional linear process. With the evolution of digital media there is no buying process now and anything can influence your buying behaviour. The key drivers of growth are content on demand, convergence, Internet of things and increased mobile penetration in rural areas. Some of the key trends affecting product management are market growth slowing, competition getting more aggressive and high churn.
In the end he concluded by saying that “Your competitors are not always who you think they are. Innovations like Loon by Google, Drone by Facebook and SPACEX can be the biggest threats to telecom companies in the future”.