Table of Contents
2. External Marketing Communication
3. Market Segmentation and Target Markets
4. Marketing Communication Strategies &Objectives
5. Corporate Social Responsibility
6. Effectives of Marketing Objectives
Telefonica O2 UK Limited (previously called Cellnet Limited and branded as O2) is the second largest provider of broadband internet access and telecommunications in the United Kingdom. Its national headquarters is located in Berkshire and is a privately owned subsidiary of Telefonica with a customer base of 21.million (mobile and broadband). O2 UK has 16million customers. External Marketing Communications.
When customers make key decisions about mobile phones and the networks they would like to use, they need details that make sense. They want to be aware of charges and tariffs before committing themselves. They will also want to make comparisons between themselves. Communication is the transfer of information from the sender to the receiver. There are two main ways of sending information verbal and no-verbal communication. Verbal communication involves people talking to one another. Non-verbal contact may include visual and written material. Verbal communication is face to face whiles non-verbal communication may include visual and written material. Successful communication relies on information been sent, received and understood. When there is an obstacle to this process, a barrier to communication is created. The O2 need to be in direct contact with its customers through verbal communication, it uses its stores or contact centres, this enables customers talk to the staff of O2 with regards to any issues or questions they have. Non-Verbal communication carries a wide range of methods, these include visual elements such as adverts, O2 logo’s, adverts in newspapers, TV and other media as well as the O2’s image. Other forms of non-verbal communication include the sales and information literature found in O2 shops across the UK.
Market Segmentation and Target Markets
According to Bako,K (2007)”Market Segmentation is the sub-division of the market into identifiable groups with the target of reaching each market segment”. Furthermore Smith (1956), defines market segmentation as the division of a market into different groups of customers with distinctly similar needs and products and service requirements. In other words, it is the division of a mass market into identifiable and distinct groups or segments, each of which have common characteristics, needs and display similar responses to marketing actions. Geographical Bases of Segmentation
Geographical segmentation involves the division of customers based by continent, country or state. Customer groups can also be formed on the basis of size of population of a particular region as asserted by Bako (2008). * O2 has gone live with a location based SMS and Service that pings opted in consumer’s vouchers and other information regarding specific stores and products when the consumer enters a geo fence around the store. This allows consumers to go about their normal day and automatically alerts them about when they are near a special offer available at their favourite retailers. This enables service consumers to connect with brands at the right place and in real time all via the mobile phone, example of companies are Starbucks and L’Oreal. This division is based on dividing customers under the location and thus falls under geographical segmentation. * 3000units to Abroad- The O2 has an offer on the market for 3000 units to call 3numbers abroad and the target market is the high immigrant population in the UK who want to stay in contact with their families back home. Demographic Bases of Segmentation
“Demography is the study of population characteristics and demographers...
References: Market Segmentation and Target Markets
According to Bako,K (2007)”Market Segmentation is the sub-division of the market into identifiable groups with the target of reaching each market segment”.
Furthermore Smith (1956), defines market segmentation as the division of a market into different groups of customers with distinctly similar needs and products and service requirements.
Psychographic Basis of Segmentation
According to Kotler et al (2000) psychographic segmentation is based on actual consumer buying for particular products, customers are segmented on the basis of their attitude towards brand loyalty.
Impact on Society:
* Independent Research-Based on scientific studies there are many health effects associated with using the mobile phone and the mobile phone musk as asserted by Steward Report (2002).
Since the Steward Report (2000), the O2 has supported the £7.4million mobile telecommunication and health Research programme by this support the O2 is communicating to public of its commitment to uncover the research and their concern to human health.
Osborne , C (2010) Marketing Communications
Holborn College, on 12th December. Available from: Slides. [Accessed: 12 December, 2010]
Bloomberg (2010) FTSE 100 Report
O2 UK financial report (2010) [Online]. Available from
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