Let talk about the T-mobile, the wireless telephone industry is growing at a rapid pace. According to Solomon – Wolff associates, the strongest user group is the 31-45 age group and the growth trend is expected to peak over the next ten years. T-mobile is one of the fastest- growing nationwide providers of wireless data, messaging and voice services. Its annual revenue in 2004 was $11. 7 billion, a 40 percent increase from $8. 4 billion in 2003. In the new trend, T-mobile will provide caller tunes, pictures & video messaging, road assistance, 300 text messages, unlimited t-zones and 1000 text messages.
The competition will rise when the need are rise. Also, the consumer will require the high quality service. Five of the national service providers in the marketer are T-mobile, Cingular wireless, Verizon wireless, Sprint PCS and Alltel. The competition and promotions among cellular phone companies, the overall churn ratc of the industry has been about 1. 6 percent, but it’s on rise. In the new product, T-mobile will provide caller tunes, pictures & video messaging, road assistance, 300 text messages, unlimited t-zones and 1000 text messages.
The competition will rise when the need are rise. Also, the consumer will require the high quality service. From five of the points is relative advantage, compatibility, complexity, trial ability and observe ability. In the relative advantage, degree to which a new product is more advantageous to the customers than the competing brands. Rate of adoption of a new offering depends on its relative advantage as perceived by its prospective customers. In this case, pictures and video messaging should the relative advantage, because they have the stable facilities to provide the service.
In compatibility, I think the caller tunes is better than another four, because of the caller tunes is easy for any user and any mobile phone. Also, can let the consumer to choice which one they like. In complexity, I think the new product and new service should be not easy for all consumers, because of the new product is not easy to carry on. For trial ability, I think pictures and video can provide the trial ability to the consumer. For observe ability, I think road assistance is difficult to control because not everyone need to use this function.
2)Will the provision of M-commerce applications by T-Mobile help the company build a strong brand and maintain its competitiveness in the marketplace? A marketplace is a location where goods and services are exchanged. The traditional market square is a city square where traders set up stalls and buyers browse the merchandise. I think the provision of m- commerce applications by T-mobile help the company build a strong brand and maintain its competitiveness in the marketplace.
One of the products with set of benefit is better than no brand name support, a product or product line, store, or service with an identifiable set of benefits, wrapped in a recognizable personality. Usually the consumer would like to choice the brand name product. For T-mobile also have the functional elements. The elements are focus on the performance, quality, price, reliability and logistics. I think the m-commerce application helps to further build brand equity. The competitors providers in the marketer are T-mobile, Cingular wireless, Verizon wireless, Sprint PCS and Alltel.
T –mobile is the only the widely used digital standard, gsm in more than 10000cities nationwide. GSM (Global System for Mobile Communications: originally from Grouped Special Mobile) is the most popular standard for mobile telephony systems in the world. The GSM Association, its promoting industry trade organization of mobile phone carriers and manufacturers, estimates that 80% of the global mobile market uses the standard. The GSM standard also provides wireless subscribers with excellent call reliability and sound quality, in addition to integrated voice, paging and short messages and high speed data services.
3)Will M-commerce applications contribute to T-Mobile present business strategy, “Get more from life”? Mobile Commerce is any transaction, involving the transfer of ownership or rights to use goods and services, which is initiated and/or completed by using mobile access to computer-mediated networks with the help of an electronic device. The less price sensitive early adopters from the 13-25 age group could drive the initial growth. Growth in mobile products such as ringtones, games, and graphics may displace spending on many traditional youth products such as music, clothing, and movies.
This would radically change the dynamics of all visual entertainment and product-service distribution world wide so marketers could target end-users with diverse youth mind sets. The youth market has historically shown rapid viral growth which later gains acceptance in the mass market. While emerging markets are proving to be the ideal solution for sustaining revenues in the face of falling ARPU average price per unit, analysts say the rapid commercialization of 3G services is likely to open up new opportunities in developed markets.
In order to exploit the m-commerce market potential, handset manufacturers such as Nokia, Ericsson, Motorola, and Qualcomm are working with carriers such as AT&T Wireless and Sprint to develop WAP-enabled smart phones and ways to reach them. Using Bluetooth technology, smart phones offer fax, e-mail, and phone capabilities. “Profitability for device vendors and carriers hinges on high-end mobile devices and the accompanying killer applications,” said Burchett.
Perennial early adopters, such as the youth market, which are the least price sensitive, as well as more open to premium mobile content and applications, must also be a key target for device vendors. The slogan “get more form life”, promise to provide T-mobile subscribers with more service, the new forms of entertainment such as games and music and TV drama and news. Many young people like use the mobile to play games, because is convince for them. For the consumer can buying movie tickets and pay bills that can be make the consumer saving time in transactions.
Moreover, can take more and easier communication with frinds, which is instant messaging by phone-version Facebook / MSN. 4)Will M-commerce applications increase customer satisfaction among T-Mobile subscribers? In addition to mobile phone service, T-Mobile also operates WiFi hotspots in the United States and Europe. In the USA alone, it operates over 9,000 (as of December 22, 2006) T-Mobile HotSpot locations for Internet access, including such locations as airports, airline clubs, Starbucks coffeehouses (see below), Kinko’s, Borders Books and Music, Hyatt, and Red Roof Inn Hotels.
The U. S. WiFi infrastructure was completely replaced when T-Mobile bought the Wireless ISP MobileStar. In addition, Sony Computer Entertainment on behalf of T-Mobile introduced a HotSpot Locator and HotSpot Promotional Period (6 months from activation) for the Sony PSP system and Sony Mylo system. Both promotions are separate, and, by combining the total time allotted for each system, users can have up to one year free access, by using six months on the Mylo, and six months on the PlayStation Portable. As with many wireless providers, handset subscribers can get discounts on WiFi access.
These promotions are often extended to federal customers, frequent flyer programs and other various groups. Beginning the second quarter of 2008, T-Mobile will no longer be the provider of Wi-Fi access for Starbucks coffeehouses, which ended its 2001 deal, switching to AT&T. However, through a roaming agreement with AT&T, T-Mobile HotSpot subscribers will still be able to use the AT&T Starbucks wireless networks for a limited time. As of November, many T-Mobile subscribers who signed up under the impression they had access at any Starbucks are left in the dark.