Verizon Wireless Marketing Plan Essay
Business Mission: To provide the best quality of wireless and customer services in today’s market of wireless communications.
Marketing Objective: To decrease the monthly customer churn rate to less than 1%, therefore ensuring Verizon Wireless will continue to lead the competition in customer loyalty.
Executive Summary: Cellular communications is such a large aspect of today’s industries, and with the number of consumers already with cell phones drastically increasing all the time, it is good to think about the future, and maybe making the customers you already have, happy and content. There are only so many “new” customers you can gain in today’s market. Phone …show more content…
Perception of quality: Verizon Wireless is the leader in customer loyalty. For the year ending December 2006 and into the beginning months of 2007, Verizon Wireless holds the industry’s lowest customer churn rate, at an average of 1.1% per month. BUT, there is always room for improvement.
Strong Cash flows and high dividends: Verizon Wireless witnessed healthy cash flows for the fiscal year 2006. The cash flows from operations in 2006 were $23 billion, compared to 2005’s earnings of $20.4 billion.
Over Dependent on few suppliers: • The company depends on few supplies and vendors to provide it with equipment and services. • Relies on these primary companies for cell phones; Lucent, Nortel and Motorola • Nortel and Lucent supply all of its switching equipment • Limited suppliers for key equipment can put the company at a disadvantage as any surge in process charged or discontinuation of a contract can directly affect the company’s operations.
Losing Market leadership in terms of subscribers: • Despite large economic growth , Verizon lost its leadership position in terms of subscribers to AT&T • The Company lost its opportunity to be the exclusive