HISTORY
PowerTel
Communications (Pvt) Ltd is a subsidiary of ZESA Holdings. PowerTel was
licensed as a data services operator in 2004 and in 2009 the scope of its
license was upgraded to encompass Internet Access Provision and Cross Border
interconnection with regional operators. The registered office of PowerTel (Head
Quarters) is located at 10th Floor Kopje Plaza, Number 1 Jason Moyo Avenue,
Harare, Zimbabwe, a second office is located in Bulawayo at Fidelity life
centre. The company’s services are present in Gweru, Kadoma, Kwekwe, Chinhoyi,
Mutare and Masvingo.
STAFFING LEVELS
Powertel
communications (Pvt) limited has a total of 110 employees on its payroll
national wide. Powertel Harare branch has a total of 91 employees, Powertel
Bulawayo has a total of 19 employees and other subsidiaries located in Gweru,
Masvingo, Kadoma, Kwekwe, Chinhoyi and Mutare, use ZETDC employees.
NATURE OF BUSINESS
PowerTel
service is classified according to the pattern of delivery, theirs is a
continuous basis. PowerTel Communications (Pvt) Ltd
is a Telecommunications company and currently provides the following products
and services: Carrier, Virtual Private Network (VPN), Mobile Internet, Internet
Bandwidth, and Mobile and Fixed Voice over Internet Protocols (VoIP) services.
The services are offered over OPGW backbone network and a combination of optic
fibre and wireless last mile access. The OPGW backbone network spans the
following routes: Harare to Plumtree via Kadoma, Kwekwe and Gweru; and Harare
to Mutare via Marondera and Rusape.
The OPGW backbone network is interconnected regionally to Botswana and
Mozambique. The mobile internet and mobile VoIP services are offered over a Code Division Multiple Access (CDMA)
network and the business plan covers the works involved in expansion of both
the CDMA wireless network and the optic fibre network. The organization is
fully licensed by the Postal and Telecommunications Regulatory Authority of
Zimbabwe (POTRAZ) to provide data communication services over a public data
network through the use of fibre optic cable, wireless and power line
communications technologies.
The license requires Powertel to operate
national and international data services through an interconnection agreement
with licensed gateway operators. Soon after its incorporation Powertel had been
a private company under the Companies Act (Chapter 24:03).
ZESA Holdings, its parent company, being the power utility company in
Zimbabwe which owns a network of power-lines and power equipment across the
country was therefore in a better position to run an optical fibre
communication network than any other company in Zimbabwe. Thus the capacity of
the fibre optic was so immense that it had to be commercialized.
COMPETITORS
Powertel in the ICT industry provides
fibre optic connectivity (Internet Access Provider) in Zimbabwe, competitors
are posing a great threat through the offering of substitutes. Powertel
competitors include YoAfrica, Liquid, Econet, Africom, Africa Online, Telone
Telecel and Netone. Some of Powertel competitors on the other side being
customers for example Econet is a customer for fibre connectivity whilst a
competitor for mobile internet.
PHYSICAL
ENVIRONMENT
It takes into account the tangible aspects of the service that is the
appearance of the employees, equipment in the Powertel shop. The shop is
painted in its current brand colors which are red, blue and white. The front
office consists of customer service personnel whilst the back office consists
of the technical team incharge of the network maintenance and attending to
customers’ faulty modems.The ambience is conducive for customers because the
shop is supported by an air conditioner and three customer services desks with
friendly personnel who attend for customer enquiries and queries. The customers
services desk have catalogues and brochures that explain clearly all PowerTel products, making it easy for
customer to be informed whilst they are in the queue. They are banners and
posters, in PowerTel brand colours, that decorate the shop.
POWERTEL PRODUCTS
are explained below:
·
Virtual Private Network (VPN): Metro
link of capacity 64Kbps to 10Mbps bandwidth within the city/town and intercity
links with capacity from 64K to multiples of 1 Mbps
·
Carrier: Inter-city n x E1
bandwidth, and multiples of STM-1
·
Mobile internet access
·
Internet Bandwidth retailing
(submarine cable connection)
·
Fixed and Mobile VOIP
The above
products are supplied locally in Zimbabwe in areas where we have network.
MOBILE
INTERNET (Power connect)This
is CDMA based wireless internet access which is divided into a narrow band
(CDMA 1X) and broadband (CDMA EVDO)users.
It is a wireless modem that does not need
a telephone line to connect to the internet. Just inserting a SIM card into a
modem enables one to surf the internet wirelessly. This type of wireless
service uses the Code Division Multiple Access (CDMA) System hence widely
termed CDMA.
The mobile internet was rebranded to Power
connect so as to enhance better service terminology among customers through
brand advertisement. This was due
to the fact that some customers name the service as CDMA whilst other use
mobile internet and 3G.The 3G name was acting as a missing opportunity to
Powertel since this service would be ranked the same with that of competitors’
like Econet’s 3G of which their service have a speed of 50 percent less as
compared to Power connects’ 3G.
PowerTel has two types of modems 1:the power connect ZTE
2: the 3G EVDO
Power
connect ZTE-Modem -Some of the
ZTE modems uses SIM cards whereby the SIM card is inserted into a ZTE modem,
whilst the other is used without a SIM card. This service was being sold as a
complete package meaning with both the modem and the SIM card. The speed of
this service is on a shared platform meaning that it depends on the number of
mobile internet customers connected at that time.
The maximum
speed of this platform is up to 2.4 Megabytes per second (mbps).
EVDO -this
type of mobile internet use SIM cards whereby the SIM card is inserted into an
EVDO modem. 3G EVDO have a speed up to 3.1 MBPS downlink and 1.8 MBPS uplink
whilst the ZTE had speed up to 2.4 Mbps. The speed of the mobile internet is on
a shared platform meaning that the actual speed is determined by the number of
users connected to the internet at that time .The ZTE was charged at $45 and
$50 per month whilst 3G EVDO is at $35 and $50 per month. Powertel is currently
removing the terminology of 3G on this service to its brand Power connect.
3G WIRELESS ROUTER-
VPN this business is made up of Metro links, intercity links
and logical links. Metro links with bandwidth ranging from 64kbps to 10mbps
within cities over optic fibre cable. The intercity link ranges from 64kbps to
E1 from one city to another over optic cable. It allows companies with branches
spread country wide to network their ICT resources as if they are in the same
building.
CARRIER BUSINESS
The company’s carrier business is mainly
composed of links ranging from E1 to multiples of STM-1 over SDH equipment with
this product; the client can lease bandwidth capacity on our fibre backbone
between cities
INTERNET
BANDWIDTH
The company distributes internet bandwidth
to ISPS and large cooperates. The service is provided by interconnecting the
company’s optic fibre network to the submarine cables through licensed
operators in neighboring countries.
VOIP the Company’s newest telephony service delivers voice
services and related value added services to the customer through internet
protocol technology.
METHOD OF PAYMENT
Individual customers using mobile internet pay in the PowerTel shops in
Harare or Bulawayo using cash. Customers in areas like Gweru,
Masvingo, Kadoma, Kwekwe, Chinhoyi and Mutare, make bank deposits at either ZB
bank or Stanbic bank. The use of Real Time Gross Settlement (RTGS).
Discounts to new customers on fibre optic connection mostly on the
installation costs which is the main difficult stage to these customers is
offered. This will enable them to strive to be connected and with better
initial payment terms. Flexible initial payments are granted to new fibre optic
customers
MAKING
CONTACT WITH NEW CUSTOMERS
Powertel communications (Pvt) limited
contacts potential customers in various ways which include advertising in the
media, sales promotions, personal selling, trade exhibitions and public
relations through press releases.
Advertising
in the media, it can be used
to build up a long-term image for a product and can reach geographically
dispersed buyers efficiently.
Powertel uses newspapers like the chronicle, Sunday news and the herald to
target potential customers, for example when advertising for the modem, they
used various newspapers. The social media is also used, these include
advertising on the website, using its Facebook page to inform customers on the
new products and techzim.
Personal selling-is normally done by
sales agents and marketing executives. They target corporates and individuals
using brochures and catalogues, to inform them about powertel’s products.
Trade
exhibition-powertel engages in trade shows like the Harare Agricultural show,
ZITF, Midlands show, Masvingo show and the Gwanda show.this platforms allows
powertel to meet with new customers.
Public relations and publicity. The appeal of
public relations and publicity is based on high credibility (news stories and features are more authentic
and credible than ads),(ability to
catch buyers off guard (reach prospects who prefer to avoid salespeople
and advertisements), and dramatization
(the potential for dramatizing a company or product).
Direct marketing, most forms of direct marketing are done at
PowerTel, that is, direct mail, telemarketing and Internet Marketing. These are
nonpublic
(the message is normally addressed to a specific person), customized (the message can be
prepared to appeal to the addressed individual), up-to-date (a message can be prepared very quickly); and interactive
(the message can be changed depending on the person’s response).
RETAINING
EXISTING CUSTOMERS
PowerTel`s
main aim is to keep customers satisfied. To achieve this , they have a 24 hour
call centre responsible for nurturing customers. Customers’ services personnel
in various distribution centres compile a database and send it to the call
centre in Harare. This database consists of the customer names, phone numbers,
physical address and e-mail address.
Retaining customers is far more
profitable for Powertel than losing them and searching for new customers. They
send direct mail and e-mails to customers or send their salespeople to make
follow ups on customers who are already using Powertel services.
Frequency marketing on loyal customers is done through programs that
reward customers with promotions, for example, instead of charging $50 per
month for mobile users, loyal customers may pay $35 or $40 per month for a
given period of time when they is a promotion.Retaining
existing customers results attract new customers through word of mouth..
INVISIBLE
ELEMENTS
Two main products are fibre connection and
mobile internet. When a new customer comes they are steps taken to make sure
the customer is in the database. Mobile internet users include the use of a
3Gmodem and VOIP service.to purchase a new modem a customer completes a form
which is taken to the cahier for payment and creation of account in the SAP. It
is then taken back to the customer services desk for activation of the UIM card
and to be added into the database.
Fibre connection is either internet
bandwidth, intercity links or metro links. To get connected a customer makes an
order either by payment or an e-mail to notify that they are going to pay. With
this order a job card is raised, and this is only done from the Harare office
because this process is centralised. When the job card is received, it is taken
to operations for the job to start and connect the customer.
PERIPHERAL
SERVICES
When a customer is not receiving their
service, a team of technicians is available to assist the customer at their
convenient area. In case a customers’ modem is faulty, Powertel replaces if it
is still under guarantee. During the Zimbabwe International Trade Fair,
Powertel offers a certain number of business tickets to loyal customers.
CUSTOMERS
Telecommunications clients such as Africom, Utande, Yo-Africa and Africa
On-Line are dealers of PowerTel’s international bandwidth whereby they buy this
internet bandwidth in bulk and sell it to customers in various low bandwidths. Large
corporates and individuals as well connect with PowerTel broadband.
MAIN
CLIENTS’ PROFILE
COMPANY NAME
|
POWERTEL PRODUCT BEING USED
|
CONTACT PERSON
|
CONTACT NUMBER
|
DELTA
CORPORATION
|
MOBILE
INTERNET, CARRIER, VPN AND INTERNET BANDWIDTH
|
JOSEPH
SHENJERE
|
0712
502 425
|
TURNALL
FIBRE CEMENT
|
VPN
AND INTERNET BANDWIDTH
|
DHLEMBEU
|
04/754625-31
|
OK
ZIMBABWE
|
MOBILE
INTERNET,
|
LAZARUS
MANDIZHA
|
0772
885 361
|
NUST
|
MOBILE
INTERNET, CARRIER, VPN AND INTERNET BANDWIDTH
|
H
TSOKODAI
|
263772881849
|
MIDLANDS
STATE UNIVERSITY
|
MOBILE
INTERNET, CARRIER, VPN AND INTERNET BANDWIDTH
|
LIBERTY
DANDIRA
|
0712
446 733
|
LANCET
LABORATORIES
|
VPN
|
EPHRAGE
CHIMBARARA
|
0772
612 349
|
CBZ
|
VPN
AND INTERNET BANDWIDTH
|
MWANJIRA
|
04-748050/70
|
ZB
BANK
|
VPN
AND INTERNET BANDWIDTH
|
ISAAC
CHINYADZA
|
0772
768 832
|
PSMI
|
MOBILE
INTERNET, VPN AND INTERNET BANDWIDTH
|
COLONIEL WOYO
|
04-700292
|
ZIMPOST
|
VPN
|
AMBROSE NAVHAYA
|
0772 983 820
|
NETONE
|
MOBILE INTERNET,
CARRIER, VPN AND INTERNET BANDWIDTH
|
PETER FARNET
|
0712 980 863
|
NESTLE
|
VPN AND INTERNET
BANDWIDTH
|
NYASHA SACHITI
|
0772414449
|
POWERTEL
COMMUNICATIONS’ MAIN CLIENTS
Different marketing strategies are used to different customers in
relation to its field of business. Powertel have sub grouped its clients into Telecommunication clients, Educational
clients, Finance clients, Health clients, NGO clients, Transport clients, Manufacturing
clients and others only to mention a few. All these clients to PowerTel
Communications for the Data transmission and internet they use. The table below
clearly shows the examples of different classes of Powertel clients
Client
category
|
Approximate
weight to Powertel(in term of revenue)
|
Telecommunication
|
![]() |
Financial sector
|
25%
|
Education
|
3%
|
Health
|
2%
|
Government
|
1%
|
NGO’s
|
4%
|
Transport
|
3%
|
Manufacturing
|
10%
|
Others
|
12%
|
Powertel obtains much
of its revenue from leasing fibre connectivity hence its main customers are on
fibre optic connectivity which includes VPN, Carrier and International
Bandwidth. The Powertel’s telecommunications clients are treated as an egg
which is not allowed to fall on the ground .Telecommunications clients such as
Africom, Utande, Yo-Africa and Africa On-Line are dealers of Powertel’s
international bandwidth whereby they buy this internet bandwidth in bulk and
sell it to customers in various low bandwidths.
This actually shows that Powertel Communications is a wholesaler and the
Internet service providers like he latest are retailers. An illustration is
that YoAfrica can buy 30 Mbps of international bandwidth and sell it to at
least 40 customers.
Among the Powertel main clients, Non-Governmental Organisations have
most of their headquarters in the large cities and towns connected to Powertel
Fibre. Powertel is losing business mostly to the NGOs stations in the rural
areas and small towns which require internet connectivity but there is no fibre
coverage of Powertel network, such areas include Buhera, Gokwe ,Zhombe
,Zvimba-Murombedzi, Nkayi and Lupane.
To safe guard the interest of all
Powertel stakeholders, Powertel enters into legally binding agreements with its
customers. Powertel has come up with a Service Level Agreement (S L A) which it
signs up with all its fibre clients so as to guarantee 99.9% good service.
However for CDMA Powertel does not sign any Service Level Agreement for it is a
best effort product which works just like an ordinary cell phone
CONTACT
PERSONNEL
After induction, new employees are
engaged on with on the job training, where experienced personnel assist the new
employees to familiarise themselves with the new job. Occasionally, Powertel
conducts workshops which train them on quality service improvement. The
managing director, frequently addresses workers on the expected service.
Frontline employees are not empowered in case of a service failure the issue is
directed to the Account Executive and this is done in writing, and will respond
after days for service recovery.
The most common forms of service failure
are when a modem is faulty, a modem is used where they is no network or the
company faces continuous days of network challenge. In such instances service
is recovered by: modem replacement when the modem is faulty, cash refund when
the modem was bought to be used in an area where we have no coverage like
Plumtree and when the network is down for several days the customer’s account
is credited with days they were not accessing the internet.
GENERAL
“To be the
preferred ICT services provider to customers in Zimbabwe, and globally.”
“We
are committed to providing world class ICT connectivity services and products
that delight our customers whilst creating value for our stakeholders.”
·
Innovation
·
Teamwork
·
Integrity
·
Commitment
·
Passion
for excellence
·
Purity
POWERTEL’S
STRATEGIC OBJECTIVES
Powertel’s vision is to be the preferred
Telecommunication Services provider in Zimbabwe and globally. This vision is
realized through implementation of its objectives, which are:
·
Building
infrastructure which is capable of
providing all aspects of communication services including;
·
Digital
and audio transmission
·
Circuit
lease
·
Internet
private line access and broadband private user access
·
Virtual
Private Network (VPN) access
·
Video
conferencing
·
Minimization
of service provision costs in line with competition.
·
To
build a stronger reputation on product lines and services in terms of quality,
reliability and responsiveness
·
To
gain in terms of network coverage, range of services and markets in which the
company operates
·
To
be in the forefront of innovative information and communication technology to
add value to the customer services.
·
To
put financial structures which are sustainable in both the short and long run,
creating profits for reinvestment and meeting all stakeholders’ needs.
·
To
have faster turnaround times in connecting customers relative to competition.
·
To
achieve recognition as a leader in innovative application of information and
communication technology for the benefit and convenience of the customer.
customers while creating value for our stakeholders
Service quality in a organization is a measure of
the extent to which a delivered service meets the customer’s expectations. It
is determined by the customer’s perception and not by the perceptions of the
providers of the service. PowerTel’s customers expect superfast internet as the
service quality. Therefore, PowerTel determines customer needs & wants and,
then design the service to meet these requirements. Service quality is
considered a critical determinant of competitiveness. Service quality can helps
PowerTel to differentiate itself from other organizations and gain a
competitive advantage. Superior service quality is a key to improved
profitability and it is achieved through:
Reliability: Perform promised service dependably and
accurately. Example: receive mail
at same time each day.
Responsiveness: Willingness to help customers promptly. Example: avoid keeping customers
waiting for no apparent reason.
Assurance: Ability to convey trust and
confidence. Example: being polite
and showing respect for customer.
Empathy: Ability to be approachable. Example: being a good listener.
Tangibles: Physical facilities and facilitating goods. Example: cleanliness.
REFERENCES
·
Powertel
communications Bulawayo. Fidelity life centre, corner 11th and fife
street.
· Philip
Kotler (1997),
Marketing Management: 7th Edition, Prentice hall North Western
University Kevin Lane Keller Dartmouth College
·
Philip
Kotler (2000),
Marketing Management: Millenium Edition, Prentice hall North Western
University Kevin Lane Keller Dartmouth College
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