Telstra have dominated the telecommunications market for over a century by providing integrated services with vast geographical coverage. Telstra’s main areas of expertise are providing telephone, mobile, internet services and its 3G network to households and businesses across Australia with 9.2 million fixed line services and 9.7 million mobile services. Telstra have strived to be number one in their industry and achieve ultimate customer satisfaction (Telstra website 2009).
After largely dominating the telecommunications market for a century, Telstra’s competition has recently become more widespread. In order to effectively adapt to this changing market, Telstra has employed the use of market segmentation in an attempt to increase its customer base and continue to meet the individual needs of its consumers. As Telstra’s customers consist of both consumer markets and business markets, segmentation of both sections was required. In the business market, the segments were divided into ‘Small Business’ and “Managers and ‘Entrepreneurs’. Whereas the consumer segments were more specifically divided into segments including ‘Friends, Fun and Fashion’, Family and Fun’, ‘Family and Self Development’, ‘Family Safe Keeper’, ‘Safe and Respected’, ‘Principled Professional’ and “Work Hard, Play Hard’. With the use of this segmentation, Telstra continues to dominate the telecommunications market.
Marketing Mix
Place
Telstra sells its prepaid mobile phones through a direct channel in the form of retail intermediaries (Telstra website 2009). As there are numerous Telstra stores established in all areas of Australia, this increases the rate of personal selling which in turn increases the potential of creating a customer relationship (Kotler et al. 2009). Another method of selling through its direct channel that has proved to be quite successful for Telstra is selling through its website. The modernised website contains information about various offers and deals
References: Field, D 2007, PC Authority Reliability and Service Awards 2007 - Full Results Revealed, Haymarket Media, viewed 16 May 2009, I am Australian - Telstra advertising campaign, image, 2008, Youtube, viewed 16 May 2009, Kotler, P, Adam, S, Denize, S & Armstrong, G, 2009, Principles of Marketing, 4th edn, Pearson Education Australia, Frenchs Forest, NSW Telstra Ad – We are Australian, image, 2006, Youtube, viewed 16 May 2009, Telstra Commercial - I am Australian – Birth, image, 2008, Youtube, viewed 16 May 2009, Telstra Website, 2009, Welcome to Telstra, viewed 17 May 2009, The Sydney Morning Herald 2006, Now you 're talking: Telstra finally gets through, Fairfax Digital, viewed 16 May 2009,