Question

Topic: Strategy

Blue Collared Market

Posted by Anonymous on 3/18/2005 at 2:19 AM ET 125 Points
How would you guys market prepaid phone cards to blue collared workers? Taking into account that these workers have no residential address, phone numbers or internet access. Any good ideas anyone? Product in focus is pre-paid phone cards that have stored value in them.
To continue reading this question and the solution, sign up ... it's free!
SUBSCRIBE
Or, SIGN IN

RESPONSES

  • Posted by Peter (henna gaijin) on 3/18/2005 at 3:40 PM Member
    I am not convinced of the statement "these workers have no residential address, phone numbers". The definition of blue collar workers includes many union jobs, some of which have incomes of over $100k a year. These folks definitely have phones and addresses.

    I think you may need to sub-define your target. A high income blue collar worker wouldn't likely be the target for this. Lower income ones could.
  • Posted by Chris Blackman on 3/18/2005 at 6:14 PM Member
    Yes, I concur with the henna gaijin... I recommend you should study the nominated segment and make sure you have a very good understanding of its characteristics, behaviours and attributes before attempting to engage it.

    Why, though, are you specifying simply "blue collar workers" as the target segment?

    Do you have other target segments? (If not, why not?)

    If you are looking to boost sales of pre-paids, I would look at any prospective user who might be afraid of unwittingly incurring a bill they might struggle to pay, e.g.

    Students
    School kids
    People on welfare benefits, unemployed, pensioners
    Backpackers

    Also:

    Tourists (e.g. short-stay business people, and holidaymakers who want a cheaper alternative to global roaming)

    Low Users (people who want the security afforded by a cell phone, but who won't use it much, or may mainly use it for inbound calls).

    Are these segments of interest, had you considered them already?

    ChrisB
  • Posted by steven.alker on 3/18/2005 at 10:28 PM Member
    In the UK we promote phone cards in newsagents and anywhere else that supplies low value goods. It causes some problems though as the intrinsic value of the card stock is often huge for a small store, so some means of paying the supplier on re-sale is necessary and security for storage is high. Card promotion is via posters and POS material.

    If you really are implying that you want to market to the down and outs, then a low value card as a promotional item will be useful as sampler advertising. It would have an immediate value to the recipient and be memorable, possibly with a sponsors message as well as the name of the telecom provider.

    If you glued one to a bottle of Thunderbird, if the adhesive was sticky enough, they’d have an evens chance of waking up the next morning still with your card to take their mind off their hangover and with the right sponsor, a number to ring to discuss their problem(s).

    Good luck
  • Posted by steven.alker on 3/21/2005 at 5:28 AM Accepted
    Ambrose

    Thanks for the clarification. I'd still go for the free samplers as the cost of the card is about $0.02 and the cost to your network of the free calls is very small. It would establish your brand and create loyalty (That counts more in Singapore than in the west).

    I don't think that you could go for a further discounted offer printed on the card because the cost of redeeming it via low cost and diverse re-seller outlets would be too high.

    The real challenge would be to identify the thousands of low cost food stores, food stalls and hostels which might sell them and find a model which will allow them to purchase and stock a high value item securely without too much initial outlay.

    Food wholesalers might be a route into the eateries and stores, but then you are either piling margin onto margin or diluting your existing margin.

    Hostels will stock cards if their own phone will take the cards - they take a cut on calls made on site as well as the margin on the card.

    If the migrants are legal workers, the government will help you to identify the potential sites - they control everything with astonishing and frightening attention to detail. If you offered to print up the cards with a useful government approved message which would be of assistance to both the workers and the authorities, they could be very helpful.

    There are examples of charities doing just this but they are not well published. If you want some examples have a look at:

    https://app.mcys.gov.sg/web/comm_comminv_infonewvwos.asp

    Good luck

    Steve
BACK TO TOP

Post a Comment

Related Discussions

Community Info

Top 25 Experts
(Strategy)