AT & T Marketing Strategy Essay

ESSENTIALS OF MARKETING

ASSIGMENT 1

AT&T’s

MARKETING STRATEGY

SUBMITTED TO: Prof. Sujata Joshi

Faculty (Marketing)

FROM:

GARGI MODI (14020541147)

NAVDEEP SINGH (14020541148)

JASPREET SINGH (14020541149)

ABHINAV NIRWAN (14020541150) INTRODUCTION

AT&T Inc. is an American multinational telecommunications corporation, headquartered at Whitacre Tower in downtown Dallas, Texas. AT&T is the largest provider of mobile telephone and the largest provider of fixed telephone in the United States, and also provides broadband subscription television services. AT&T is the third-largest company in Texas (the largest non-oil company, behind only ExxonMobil and ConocoPhillips, and also the largest Dallas Company). As of May 2014, AT&T is the 23rd-largest

An organization must observe the market place, evaluate consumers in order to gain insight as to customer purchasing patterns, and discover which pricing strategy is the most appropriate option that would enable the company to obtain a significant return on investments. All products have a customized pricing structure that are based on the following factors- consumer demographic, premium, product integration, market share potential, competitiveness, economic variations, value, promotional etc. Pricing Strategy of AT&T

 AT&T is adequate in this regard. It is positioned to offer competitive pricing to the numerous services it offers. Rollover Minutes, Family utility plan.

 AT&T’S system includes tiers of pricing with monthly caps of 200 megabytes and 2 gigabytes of total usage – costing subscribers $15 a month and $25 a month, respectively.

 If customers exceed the allotted data usage limits, they pay an additional $10-$15 for additional streaming.

 Normally, AT&T would ask customers $199 for the GS4 followed by a two-year contract. AT&T depends on the two-year contract to recoup the remaining $450 of the device's retail price.

 With AT&T Next, however, there is no subsidized price or initial payment. Instead, AT&T has divided the cost of the GS4 into 20 monthly payments of $32.

4. Promotion

 The company’s advertising and marketing campaigns represent the diversity of the local communities that we serve, and they feature diverse individuals. The campaigns allow consumers to be informed about AT&T’s offerings by connecting with them through culturally relevant ways.

 Advanced TV, ringtones and cell phone content is designed specifically with multicultural consumers in mind. The company offers a strong portfolio of wireless, data, video and phone solutions for our customers.

 Promotion for these products can be seen and heard in a variety of methods. Television commercials were created showing the benefits and pricing. Local radio, newspaper and billboards were utilized.

 Having internet access as one of the products, advertising through the company’s web site is utilized to let customers browse the products and services, as well as some of the basic pricing techniques.

AT & T (JASPREET SINGH/PRN-14020541149)

SEGMENTATION AND