Marketing Strategy

An organization’s strategy that combines all of its marketing goals into one comprehensive
plan. A good marketing strategy should be drawn from market research and focus on the right
product mix in order to achieve the maximum profits potential and sustain the business. The
marketing strategy is the foundation of a marketing plan.

Marketing strategy has the fundamental goal of increasing sales and achieving a

sustainable competitive advantage. Marketing strategy includes all basic, short-term, and
long-term activities in the field of marketing that deal with the analysis of the strategic initial
situation of a company and the formulation, evaluation and selection of market-
oriented strategies that contribute to the goals of the company and its marketing objectives.

Developing a marketing strategy

Strategic planning begins with a scan of the business environment, both internal and external,
this includes understanding strategic constraints. An understanding of the external operating
environment, including political, economic, social and technological which includes
demographic and cultural aspects, is necessary for the identification of business opportunities
and threats. This analysis is called PEST, it stand for Political, Economic, Social
and Technological. A number of variants of the PEST analysis can be identified in literature,
including: PESTLE analysis (Political, Economic, Social, Legal and Environmental);
STEEPLE (adds ethics); STEEPLED (adds demographics) and STEER (adds regulatory).

Fig no. 1.01

The aim of the PEST analysis is to identify opportunities and threats in the wider operating
environment. Firms try to leverage opportunities while trying to buffer themselves against
potential threats. Basically, the PEST analysis guides strategic decision-making. The main
elements of the PEST analysis are.

 Political: political interventions with the potential to disrupt or enhance trading

conditions e.g. government statutes, policies, funding or subsidies, support for
specific industries, trade agreements, tax rates and fiscal policy.
 Economic: economic factors with the potential to affect profitability and the
prices that can be charged, such as, economic trends, inflation, exchange rates,
seasonality and economic cycles, consumer confidence, consumer purchasing
power and discretionary incomes.

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 Social: social factors that affect demand for products and services, consumer
attitudes, tastes and preferences like demographics, social influencers, role
models, shopping habits.
 Technological: Innovation, technological developments or breakthroughs that
create opportunities for new products, improved production processes or new
ways of transacting business e.g. new materials, new ingredients, new machinery,
new packaging solutions, new software and new intermediaries.
When carrying out a PEST analysis,
planners and analysts may consider the
operating environment at three levels,
namely the supranational; the
national and subnational or local level. As
businesses become more globalized, they
may need to pay greater attention to the
supranational level.

Fig no. 1.02

In addition to the PEST analysis, firms carry out a Strengths, Weakness,
Opportunities and Threats (SWOT) analysis. A SWOT analysis identifies.

 Strengths: distinctive capabilities, competencies, skills or assets that provide a

business or project with an advantage over potential rivals; internal factors that
are favorable to achieving company objectives
 Weaknesses: internal deficiencies that place the business or project at a
disadvantage relative to rivals; or deficiencies that prevents an entity from moving
in a new direction or acting on opportunities. internal factors that are unfavorable
to achieving company objectives
 Opportunities: elements in the environment that the business or project could
exploit to its advantage
 Threats: elements in the environment that could erode the firm's market position;
external factors that prevent or hinder an entity from moving in a desired direction
or achieving its goals
After setting the goals marketing strategy or marketing plan should be developed.
This is an explanation of what specific actions will be taken over time to achieve
the objectives. Plans can be extended to cover many years, with sub-plans for
each year. Although, as the speed of change in the merchandising environment
quickens, time horizons are becoming shorter. Ideally, strategies are dynamic and
interactive, partially planned and partially unplanned. To enable a firm to react to
unforeseen developments while trying to keep focused on a specific pathway, a
longer time frame is preferred. There are simulations such as customer lifetime
value models which can help marketers conduct "what-if" analyses to forecast
what might happen based on possible actions, and gauge how specific actions
might affect such variables as the revenue-per-customer and the churn rate.
Strategies often specify how to adjust the marketing mix; firms can use tools such
as Marketing Mix Modelling to help them decide how to allocate scarce

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 resources for different media, as well as how to allocate funds across a portfolio
of brands. In addition, firms can conduct analyses of performance, customer
analysis, competitor analysis, and target market analysis. A key aspect of
marketing strategy is often to keep marketing consistent with a company's
overarching mission statement.
Marketing strategy should not be confused with a marketing objective or mission. For
example, a goal may be to become the market leader, perhaps in a specific niche; a mission
may be something along the lines of "to serve customers with honour and dignity"; in
contrast, a marketing strategy describes how a firm will achieve the stated goal in a way
which is consistent with the mission, perhaps by detailed plans for how it might build a
referral network. Strategy varies by type of market. A well-established firm in a mature
market will likely have a different strategy than a start-up. Plans usually involve monitoring,
to assess progress, and prepare for contingencies if problems arise.

Reliance Jio Infocomm Limited provides broadband services to customers using WI-MAX as
access technology pan India. The company was formerly known as Infotel Broadband
Services Limited and changed its name to Reliance Jio Infocomm Limited in January, 2013.
The company was incorporated in 2007 and is based in Mumbai, India. Reliance Jio
Infocomm Limited operates as a subsidiary of Reliance Industries Limited.

Reliance Jio Infocomm Limited, or Jio, is an LTE mobile network operator in

India. It is a wholly owned subsidiary of Reliance Industries headquartered in Navi
Mumbai, Maharashtra that provides wireless 4G LTE service network (without 2G/3G based
services) and is the only 'VoLTE-only' (Voice over LTE) operator in the country which lacks
legacy network support of 2G and 3G, with coverage across all 22 telecom circles in India.
The services were first beta-launched to Jio's partners and employees on 27 December 2015
on the eve of 83rd birth anniversary of late Dhirubhai Ambani, founder of Reliance
Industries, and later services were commercially launched on 5th September 2016.

History of JIO Company

In June 2010, Reliance Industries (RIL) bought a 96% stake in Infotel Broadband Services
Limited (IBSL) for ₹4,800 crore (US$750 million). Although unlisted, IBSL was the only
company that won broadband spectrum in all 22 circles in India in the 4G auction that took
place earlier that year. Later continuing as RIL's telecom subsidiary, Infotel Broadband
Services Limited was renamed as Reliance Jio Infocomm Limited (RJIL) in January 2013.
In June 2015, Jio announced that it will start its operations all over the country by the end of
2015. However, four months later in October 2015, the company's spokesmen sent out a press
release stating that the launch was postponed to the first quarter of the financial year 2016-
2017.
Later in July, a PIL filed in the Supreme Court by an NGO called the Centre for Public
Interest Litigation, through Prashant Bhushan, challenged the grant of pan-India licence to Jio
by the Government of India. The PIL also alleged that Jio was allowed to provide voice
telephony along with its 4G data service, by paying an additional fees of just ₹165.8
crore (US$26 million) which was arbitrary and unreasonable, and contributed to a loss
of ₹2,284.2 crore (US$360 million) to the exchequer.

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The Indian Department of Telecom (DoT), however, refuted all of CAG's claims. In its
statement, DoT explained that the rules for 3G and BWA spectrum didn't restrict BWA
winners from providing voice telephony. As a result, the PIL was revoked, and the
accusations were dismissed.
Beta launch
The 4G services were launched internally to Jio's partners, its staff and their families on 27
December 2015. Bollywood actor Shah Rukh Khan, who is also the brand ambassador of Jio,
kick-started the launch event which took place in Reliance Corporate Park in Navi Mumbai,
along with celebrities like musician A R Rahman, actors Ranbir Kapoor and Javed Jaffrey,
and filmmaker Rajkumar Hirani.
Commercial launch
The company commercially launched its services on 5 September 2016. Within the first
month of commercial operations, Jio announced that it had acquired 16 million subscribers.
This is the fastest ramp-up by any mobile network operator anywhere in the world. Jio
crossed 50 million subscriber mark in 83 days since its launch. Subsequently crossing 100
million subscribers on 22 February 2017.
Partnerships
Jio shares spectrum with Reliance Communications. The sharing deal is for 800 MHz band
across seven circles other than the 10 circles for which Jio already owns.
In September 2016, Jio signed a pact with BSNL for intra-circle roaming which would enable
users of the operators to use each other's 4G and 2G spectrum in roaming mode.
In February 2017, Jio announced a partnership with Samsung to work on LTE - Advanced
Pro and 5G.

Services
Jio 4G Broadband

Fig no. 1.03

Jio 4G Broadband is one of the game-changers. The destructive idea that RJIL has
proposed, has shook the market. With Jio 4G broadband, people may be able to access
high-speed broadband for as low as Rs. 50 per GB. With 2300 Hz spectrum for 4G all
over India- 22 circles, and 800Hz and 1800Hz spectrum for 4G in 10 and 6 circles
respectively, Jio has it all covered.

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 The licenses are valid till 2035. With 250,000 km of fibre network across the  country, it
is supposed to be the fastest and the widest network with least data drop. With Jionet
WiFi, it can be used to transmit WiFi in homes and offices at affordable prices.

LYF Smartphones

Fig no. 1.04

Jio had earlier tied up with Intex for providing handsets with 4G VolTe technology all
over the country. They manufactured several models low on cost and high on features-
ready for the next level of 4G and voice telephony. However, they soon decided to
launch their own brand of phones. They named the range as Lyf phones. The names
have been consistent with the models such as Water 1, Water 2, Flame 1, Flame 2,
Wind, Earth, among others.

At present, the company offers more than 15 handsets with varying range of features.
They are mostly made in China phones repackaged as Lyf phones. They come with a Jio
preview offer, prior to September 5, the only way to get access to a Jio Sim.

Jio apps

Fig no. 1.05

Jio Apps- announced free till 2017, are one of the major ideas of investment of RJIL.
With subscription-based apps across various categories- all in beta phase so that they
can be tested and more content can be added easily, they have a base to get large
numbers of users through these apps alone. At present, the following apps are available
in beta phase only for Jio sim users (although anyone can download, it requires Jio sim
to use them),

 JioTV – live TV services

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 JioCinema – just like Netflix, a video library.
 JioChatMessenger – like Whatsapp, a messenger service for Jio users.
 JioMusic – music player and subscription model.
 JioJoin- Volte Phone Simulator
 JioMags- Magazine reader and subscriptions
 JioXpressNews – News and daily events
 JioSecurity – Security app
 JioDrive Cloud storage app
 JioMoney Wallet – like Paytm and Airtel money.

Jio Phone
Reliance Jio Infocomm will be launching 4G, VoLTE feature phones. These phones, pre-
bookings for which would begin from August 24, 2017 and deliveries from September. The
phone comes for INR 1,500, which has been called a refundable security - users can get it
back by returning the phone after 36 months. The base tariff is INR 153 a month, which
offers free voice calls and 0.5 GB data a day. The other pack offers 1 GB a day for 56 days
for INR 309.

About JIO
Jio is not just a telecom network; it is an entire ecosystem that allows Indians to live the
digital life to the fullest. This ecosystem consists of powerful broadband networks, useful
applications, best-in-class services and smart devices distributed to every doorstep in India.
Jio’s media offerings include the most comprehensive libraries and programs of recorded and
live music, sports, live and catch up television, movies and events. Jio is about creating
connected intelligence for 6 billion global minds to unleash the power of a young nation. We
are all set to change the way people work, play, learn and live.

JIO will transform the digital future of India with its below pillars:

Coverage:
Jio is committed to provide coverage across urban and major rural areas. Jio is aiming to
cover 90% of India's population in the next 18-24 months.

Quality:

Jio will offer HD quality voice to its subscribers with instantaneous call connect capability.
Superior data experience will be offered to the subscribers, which includes fastest page
download, highest peak download speed in the industry, video streaming without buffering &
real time gaming experience.

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Affordability:

The key idea is to make internet accessible and affordable to consumers in all parts of the
country. Jio will significantly up the quantity, quality and coverage of broadband internet
while lowering the cost to the user.

Jio will play a key role in the digital development of India – with applications for everything
from education to healthcare, security to financial services, technology to entertainment.

Shri. Mukesh Ambani, Chairman, Reliance Industries Ltd. says, "Jio is about bringing people
together, safely and securely. It is about inspiring people to join a movement – the digital
India movement. Jio is about you and your family, friends, community and all Indians
together in a movement to embrace and win in the digital world."

Simple, Smart and Secure

With an advanced network comes a connected digital world. Our revolutionary apps work
effortlessly so that every day activities become simpler, quicker and seamless. We are
creating a new digital life by combining revolutionary services such as high-definition voice
and video calling with life-enhancing apps and a network designed for the future.

Culture at Jio

Reliance is a global corporation with its legacy rooted in India. A vast majority of our
employees come from a socio-economic environment that is dynamic and incredibly diverse.
This cultural backdrop encourages unique behaviour patterns among employees at the
workplace.

MARKETING STRATEGY OF RELIANCE JIO

Reliance Jio is 4G only
The Reliance Jio network is running entirely on 4G - not "mostly 2G, sometimes 3G, and
once-ins-while 4G," Ambani said, taking a dig at other networks. To access the network, you
need a 4G compatible phone with VoLTE support. Reliance Retail's line-up of Lyf phones
offer a low cost option, starting from Rs. 2,999, though you can buy any phone that supports
VoLTE and use it. You are not ready to move away from your current phone, you can buy the
JioFi portable Wi-Fi hotspot at Rs. 1,999 and take advantage of Jio's plans as long as your
phone supports Wi-Fi.
100 Percent VoLTE
Reliance Jio is also a 100 percent VoLTE network - the largest in the world, according to
Ambani. VoLTE stands for Voice over LTE, by which you make voice calls over the data
network. As an end user, nothing is really different - you still dial a number just like you
always would, and during the preview offer at least, connections have been clear and reliable.

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But at the backend, even voice calls use data, compared to non-VoLTE networks, which treat
data and voice differently.
Everything is free
Although Reliance Jio plans were revealed, everything is going to be completely free for
users until March 31, 2017. Jio's data, voice, and video along with the full bouquet of
applications and content will be available fully free for everyone. Ambani called this Jio's
New Year Offer, which will enable everyone to try out Jio without spending any money. This
will also allow users to get comfortable with the various applications that Jio is offering, and
Jio will use this period to test interconnections with other operators and to get feedback from
customers.
Coverage
Jio's a new network, but its reach is already pretty wide - according to Ambani, the Reliance
Jio network already covers 18,000 cities and towns, and over 2 lakh villages. Although it is
already covering a large number of cities and villages, that doesn't mean that Jio's rollout has
completed yet. It still has some ways to go to cover all of India, and the next target is to reach
90 percent of the population by March 2017, Ambani added. A million Wi-Fi hotspots
Reliance Jio is now in the process of rolling out WiFi hotspots across India. By the middle of
2017, it plans to have 1 million Wi-Fi hotspots across the country, and it's offering Wi-Fi data
in the 4G plans it offers; for example, if your plan is for 4GB, you get 8GB of Wi-Fi access
as well, while the top 75GB plan gets 150GB of additional data via Wi-Fi hotspots. These
hotspots are coming up at schools, colleges, and other public places.
Free voice calls and roaming
Highlighting how operators only charge for data while voice and messaging are essentially
free, Ambani said that Jio will not charge for voice calls. "All voice calls for Jio customers
will be absolutely free," he said, adding, "Across India. To any network. Always. And in the
spirit of one India - no roaming charges also." This means that even if you're calling someone
on another network - for which Reliance has to pay termination charges to the other network -
it will pick up the tab.
The cheapest data in India
At the same time, describing data as oxygen, Ambani said that Reliance Jio's second principle
is that data must be affordable. "Current market practice is to charge a base rate of Rs. 4,000
to Rs. 10,000 per GB of data," He said, "Jio will have a base rate which is more than at a 90
percent discount over the industry. “Reliance Jio is offering data plans at Rs. 50 per GB,
though a look at the actual data prepaid plans shows that this isn't 100 percent accurate. On
the cheapest plan, Reliance offers 4GB of data for Rs. 499 - still a great deal, but not exactly
Rs. 50 per GB. However, Reliance is also giving 8GB of Wi-Fi access at Jio Wi-Fi hotspots,
and unlimited usage at night, so it definitely works out to a very reasonable amount, and
under that Rs. 50/ GB figure once you factor that in.
Bundled entertainment services
That's not all though - Reliance Jio is also going to give free access to its various Jio apps.
The full bouquet includes Jio's video on demand service, its music streaming platform, and
even a live TV service which allows you to view previously aired shows by scrolling back on
the timeline. There's a lot on offer, but we don't know anything about how the pricing for
these services will be structured, only that the full bouquet taken together will cost you Rs.

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15,000 per year. However, these are going to be given fully free to all users until the end of
2017.
E-KYC for fast sim activation
Noting how inefficient the paper-based manual process to on-board customers is, Ambani
noted that people had to wait for hours to get their service activated. In my experience getting
Reliance Jio SIM cards activated with in a day. A customer with an Aadhaar card will be able
to get the Jio sim with a working connection in 15 minutes.
Jio Fibre
Launch of this service is not yet announced but Jio is working on a fibre line network which
will provide FTTH services to commercial & residential customers. Jio has planted their fibre
across vast areas of India and planning to cover all over Indian region by 2018. This
broadband will surely provide more data transfer speeds compared to the current FTTH ISP
as they have their own single fibre line and are not dependant on any other ISP.