The 3 Mobile Company Is Facing Different Factors Marketing Essay

3 Mobile started its operation in UK on 3 March 2003. Although, 3 undertook one of the fastest network rollouts in UK history and met their license regulatory requirements three years ahead of schedule. But, still they struggled to set in a market occupied by the other big Names like Vodafone, O2 and T Mobile. At the end of the year 2009 they have only 6.9 millions of customers and were at No. 4 behind all the big Names.

This document is a Plan based on the PEST and SWOT analysis to discover the opportunities. Then defining the objectives of the marketing, the budget allocation for the marketing, defining the target Market, defining the channels that will be used to deliver the message, the Integration of the message delivered on the channels and then at the end Evaluation.

2 Analysis

2.1 PEST Analysis

The 3 mobile Company is facing different Factors’ influences. To have an overview of these influences, a Pest analysis will be useful:

Political: This Company is owned by a non EU group. Whereas, its three main competitor in UK are owned by the local or EU groups.

Economical: There are financial issues all over the world due to the recession started in 2008 and UK is still not out of it properly.

Socio. Cultural: The biggest socio threat for 3 Mobiles is a report issued by the International Electromagnetic Field Collaborative and endorsed by 43 scientists from 13 countries has reviewed the evidence linking cell phone use to brain tumors, and refuting the methodology of a forthcoming industry-funded study expected to give the phones a clean bill of health.

Technical: The technical advantage 3 mobile got is that they have the strong 3G network; they also have the backup 2G signal coverage where their 3G coverage is not working properly. They are also providing free unlimited Skype-to-Skype calls to all customers.

2.2 SWOT Analysis

After having the PEST analysis we can better know the environment of the 3 Mobile and now the SWOT analysis will provide the better idea about the place of the company in the market:


3 Mobile enjoys a good repute as a brand in Europe and Australia.

It understands the needs of its customers.

It has a good relations with its parent for UK i.e. Hutchison Whampoa and with its partner Orange whose 2G network is used for backup where the coverage of 3G network of 3 fails.

It has the mixture of youth and experience people to improve its position in the UK’s Market.

It has the largest 3G coverage in the UK as compared to other competitors.


In UK most of the people are unaware of the facilities provided by 3G Network.

Most of the people are attracted by the phones, but not by the coverage provided by the mobile phone companies.


3 Mobile is partner in many sports event.

It is now in contract with skype for all skype to skype free calls on its mobiles.

It has different charity funds for different disasters at different times.


3 Mobile faces a strong risk from the other local and EU brands.

It has some threats from the reports published recently about the use of mobile can cause brain tumor and cancer.

3 Objectives

3.1 Corporate Objectives

To become the No. 1 choice of the Customer in UK, 3 Mobile is trying to build the best Network. 3 is building a bigger, better, faster network to give customers the best experience possible.

This means better coverage when it comes to making calls or using the internet on their phone.  It’ll also mean a faster service for our ever-growing number of Mobile Broadband customers. They are taking the following steps:

With 91% population coverage 3 has already built the UK’s biggest 3G network.

3’s goal is to build the best network and to make this happen they are willing to try new things. In a UK first 3 signed an agreement with T-Mobile to share a far bigger combined 3G network.

As well as having more masts, 3 is also upgrading their network and replacing older equipment to provide its customer the better and faster internet.

3.2 Marketing Objectives

As 3 is developing its network to facilitate it customer to get the better and faster connectivity in the bigger areas, almost all over the UK. The marketing objective of the campaign will be to get the more Customers from the UK. As investing in UK has the greater potential to get the customers as compared to the all other countries 3 is covering in Europe.

3.3Communication Objectives

Communication Objectives for this campaign will be as follows:

To increase the awareness of the People about 3 Mobile brand. As 3 is already a known brand in UK, so the awareness might not be increased by a large percentage.

To educate the people about the brand differences. The key things that differentiate us from other competitors.

To maintain the brand preference among the customers.

4 Budgets

The Allocated budget and its distribution for this campaign is as follows:

Budget (£)







Internet Budget


Sales Promotion & Others




This budget is just based on estimation and evaluation of the current charges different Newspaper magazines and TV channels charge. It can be modified by obtaining the discounts.

4.1 Press

We will be using the different newspaper and magazines to reach to the different Target Audience. This campaign will be for whole year. The businessman will be targeted by the business magazines like Financial Times and Automotive Industries etc.

The young audience will be targeted via the IT related Magazines to educate them about 3G networks and mobile broadband and to attract them towards our products. The total allocated budget of ₤ 1,000,000 will be used for this purpose.

4.2 TV

The 3 mobile advertisements will appear during the different Business, Music, Telecom and IT related programs on the weekends normally on BBC1. The advertisement can also appear on the SKY sports during the coverage of the EPL to attract the male consumers. The total allocated budget of ₤ 8,000,000 will be used for this purpose.

4.3 Sponsorships

This budget will be used to sponsor the Music, Gaming, Telecom and the IT related events. This will be more useful to attract the youth towards the 3 mobile.

Also this budget will be used to sponsor football team playing in EPL more likely Manchester United. Like 3 is doing in cricket for Australian team. The total allocated budget of ₤ 5,000,000 will be used for this purpose.

4.4 Internet Budget

The creations of games adapted to the 3 mobile brand, as well as screen savers may require specific knowledge. A budget of ₤ 300,000 will be needed to the creation of the games and for adaptation of the website.

4.5 Sales Promotion and Others

Free text and minutes will be provided to the customer for every top up. Sponsorship for the organization of different competitions will also be covered here. A total budget of ₤ 250,000 will be used for these purposes.

Three types of cause related marketing will also be supported: Environmental and Health and sport for youth development. Each of them will have a budget of ₤ 150,000. Hence the total will be ₤ 450,000.

5 Target Audience

Different Communication strategies will be used for the different target Audience depending upon the requirements and needs of the different users.

5.1 Business Community

The main target audiences of the campaign are Businessmen. The 3 mobile is providing different facilities to the businessmen according to their needs. The main consumer in the business industry is the persons having medium size business. So 3 introduced different package for them like Business Mix and Match and Business Flat rates.

The other way in which 3 mobile is targeting businessmen is their Broadband services and the Email facilities and the latest one is the addition of Microsoft office. So they are providing a complete range of solutions for their Business related Audience.

5.2 Youth

Youth can be targeted with the help of Telecom and the IT sponsorship. This means that 3 will be pulling the youth to its brand. 3 mobile can sponsor different exhibition and seminars on IT, Telecom and other fields to attract the attention of the youth.

This will increase the brand name as well for 3. On the other side as 3 provides the facility of using Social Networking websites, Emails, Music and Games on its network as well. All of these facilities can be used to target the youth. 3 mobile can sponsor Music Concerts and E Games competition to get the attraction of their users.

5.3 Male

3 mobile is reputed for its sponsorship of Cricket. The idea with this kind of sponsorship is to reach an extremely large audience. Indeed, sports events are followed by teams, leagues and individual supporters. In UK, the most attractive sports are football, Rugby and Tennis. Also the Olympics game will going to be held in UK in 2012, so before such an important competitions 3 mobile will intensify its advertisement campaign, i.e. develop a burst strategy during the events.

Football league is largely watched all over the UK, and 3 mobile will sponsor the champions Manchester United T shirts as Vodafone did in 1999. Also the banners are more useful if they can be placed around the stadium and/or inside the stadium, where people have time to really focus on the banners.

5.4 Others

Young Audience is more receptive to a campaign on TV and so, a program sponsorship will be used. The advantage is to avoid the clutter association with spot advertising, furthermore it is a cost-effective medium and it gives the opportunity for the target audience to make associations between the sponsor and the program. A static repartition of the diffusion will be to develop intense burst diffusion at the start of the campaign and then, light it in order to simply maintain the awareness of the product.

6 Channels

6.1 Press

Press advertising will be a burst campaign during end of Spring and Summer. Indeed, it is the period where people have more time to read magazines because it is the holiday time. Two different audiences will be targeted: Business related people and the youngster.

We will be using the different newspaper and magazines to reach to the different Target Audience. The businessman will be targeted by the business magazines like Financial Times and Automotive Industries etc.

The young audience will be targeted via the IT related Magazines to educate them about 3G networks and mobile broadband and to attract them towards our products.

In terms of creative approach, to attract youth, the advertising needs to be plenty of colors, with a more visual effect. The picture will be important and the text will just represent the brand.

The place of advertisement in the business magazines will be the right page and at the beginning of the journal (first advertisement if possible), as businessmen are more likely to read an advertisement at the beginning of the magazine than at the end and for young persons it will be the last cover page.

6.2 TV

The 3 mobile advertisements will appear during the different Business, Music, Telecom and IT related programs on the weekends normally on BBC1. The advertisement can also appear on the SKY sports during the coverage of the EPL to attract the male consumers.

6.3 Sponsorships

Sports sponsorships will be developed during the whole scholar year as there are no sport competitions during the summers. The sponsorship will be composed in banners inside the stadium during special events. The Manchester United Football team will be sponsored during the year.

6.4 Internet Budget

The competition will also be accessible from the website. In order to stimulate the awareness of the brand, some games, downloads; screen savers will be available from the website. This promotion will not be used on the product itself, but in the image that is transmitted by the brand. By developing some funny games and nice screen savers, young people will develop word of mouth about the website.

6.5 Sales Promotion and Others

As far as the promotions are concerned different competition and events are sponsored. Free minutes, text and Internet can be awarded on every top up. For the support of environment and health charity related work can also be sponsored.

A competition can be organized with a trip in US for the winner, and other prices like CDs, T-shirts and caps for the following winners. Trip can be for 5 days for two persons. The competition will be held in the June and July.

7 Integration

The advertisement done through all the channels have the same message for the customer i.e. “Internet for Everyone”. This will be the main focus because it is due to the biggest 3G network of the 3 mobile in all over UK.

Furthermore it almost covers all the facilities 3 mobile is providing to its customers. It covers Micro Soft office facility, Social Networking websites, Chatting, News on mobile, Music, Games and emails etc.

8 Evaluation

8.1 Advertising

To evaluate the impact of advertising, a pre testing method will be used, consisting on showing unfinished commercials to select groups of target audience with a view to refining the commercial and improve effectiveness. It is based on the qualitative and quantitative criteria. So for unfinished commercials, concept testing and focus groups will be used. However, it is important to notice that focus groups can be subjective and furthermore emotional commercial can affect people stronger than non emotional ones.

Furthermore, tracking will be used to inform an awareness levels of a commercial and image ratings of the brand. Tracking consists on interviewing people on regular basis, with the purpose of collecting data about buyer’s perception of the brand. A periodic tracking is more appropriate for established products.

Finally, test of likeability will be used as it is seen as the most powerful predictor. It consists on determining if people like the advertisement or not. If people like a commercial, they are less likely to zap it when they see it again. Then, it will increase their awareness of the product. The test should be conducted in terms of meaningful, credibility and stimulation and the commercial. People can like commercials but if there is no link with the brand, this is a failure.

8.2 Sales Promotions

Consumer audits, for manufacturing to consumer sale promotion will be an evaluation of the number of free minutes, text and internet allowed. The marketing objectives will be checked in terms of increase of sales.

8.3 Sponsorship

Sponsorship is really difficult to evaluate. It can be done essentially for sport sponsors by consumer surveys, e.g. personal interviews, telephone or postal surveys. Particularly, recall test will be used to define the impact on the memory of the target audience.

8.4 Public Relations

A corporate image evaluation should be a regular exercise, supported by management. There are three main aspects: key stakeholders and consumers should be questioned regarding their perceptions of the important attributes of the organization they are in; evaluation of the performance of the company in each of these attributes; and evaluation of the performances in these attributes in comparison to competitors.

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