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mamba
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Posted: 2007-04-03 10:45
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On 2007-04-03 10:33:41, coolapostle wrote:
On the popularity of mid-night calls, I advise u guys have a chat with students in our Universities and Polys. That is the population getting their first phones these days.

Ur absolutely right coola, the above 30yrs market is supposed to be saturated now cos I don't think those guys will like to change numbers.
The new subs now are the younger generation that are leaving secondary school for uni and are getting new lines. Most people I see with 0806, 0703, 0807 and 0808 are the younger generation that are most likely interested in free midnight calls. That explains why Celtel would have stagnated in subscriber growth if they don't join the others in free midnight calls. I personally know 3 people that went to purchase glo easytalk because of this free midnight calls.
coolapostle
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Posted: 2007-04-03 10:53
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Latest on 3G:

MTN has paid. The rest are yet to pay. I think payment deadline was extended.

How is Alheri Engineering going to pull it off? They have a 3G license but not a single base station in the country? Are they going to start from scratch? Or buy up MTEL from Transcorp?
My web properties: Nigerian GSM Articles
OluYom
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Posted: 2007-04-03 15:56
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On 2007-04-03 09:19:38, ambyzown wrote:
@Aya: you seem to have taken ur crusade in favour of Nokia smartphones to the ends of the earth. I read ur comments on the Nokia vs debate, as well as ur reaction to negative comments about the N95. You have to understand that u cant reason with fanatics.

Its not a crusade in favour of Nokia smartphones. It is a crusade for objectivity. That much was obvious from my exchanges with that toddler.

Nokia will not meet everyone's needs. Neither will SE or any other brand.

Not all Nokia phones are crappy, just as not all SE phones are.

The guy was making stupid, unfounded generalisations that bordered on the moronic. While we can't reason with fanatics, we can at least stand up to them and let them know that their fanaticism won't go unchallenged.


2007-04-03 10:33, coolapostle wrote:
On the popularity of mid-night calls, I advise u guys have a chat with students in our Universities and Polys. That is the population getting their first phones these days.

You guys are not thinking this through. We talk as if the network with the largest number of subscribers is necessarilly the most profitable, balanced or stable. There are more factors to business than subscriber numbers, as important as numbers are.

Example: This population getting their first phones are also the segment that spend the least on airtime. The very fact that "FREE" motivates them so much is proof. In all probability, a majority of these folks spend on their lines just enough to keep those lines active.

Guys like myself and many others I know exist who are changing our 35th phone or so, and just one of us still spends much more on the network we are loyal to than 10 of those freebie guys do on the network they jumped on for free calls!

Do the math. Celtel may not be losing anything with its current approach. That approach may not meet your particular needs; that approach may not make them the largest network in Nigeria, but that does not make their strategy wrong or flawed.

Find a network that meets your need and stay there.

PS: By way of reflection, how many people on this forum who got MTN or Celtel SIMs specifically for free GPRS last year really spent anything tangible on those networks? My MTN and Celtel SIMS are lying at the bottom of my drawer today. I used their freebie and stayed loyal to my network, like many others I know did.

On the N100 migration fee, I agree that this is sheer robbery. Other than that, Celtel has done nothing wrong with their approach.
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[ This Message was edited by: AYA on 2007-04-03 15:04 ]
mariwun
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Posted: 2007-04-03 17:19
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since i am not in nigeria i cant comment on the netwoek arguement.but from the last time i was there i think advertising played a major role than tarrif incentive or freebies(there waqsnt much difference in tarrifs and definately no freebies last time i was in nig)......while i was there it just seemed the norm to get a mtn sim if u wanted a new line....


getting my N95 tommoro peeps ..lol im so excited..hope it dosent dissapoint...is it on sale in nig yet?
mamba
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Posted: 2007-04-03 19:40
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Quote:

On 2007-04-03 17:19:34, mariwun wrote:
getting my N95 tommoro

i hope you'll give us a short review soon cos i'm planning to buy this monster of a phone once it arrives Nija. @Aya, the number of subs on a network translates to market share. young uni students receive the highest number of calls nowadays, especially girls. guys keep buying recharge card for them. they are amongst the highest spenders indirectly
coolapostle
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Posted: 2007-04-03 21:19
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On 2007-04-03 15:56:01, AYA wrote:
Other than that, Celtel has done nothing wrong with their approach.


With Celtel coming 6 months late?

It would have been suicidal for Celtel not to offer free midnight calls whether it makes sense or not, and whether the young new subs spend money or not. That segment is the only growing market today.

Celtel's "flat tariffs" do not even reward their Customers with extra-low rates. I can understand something a bit higher for calls to other networks because of interconnection rates but to penalise Celtel subs with the same tariffs AND TRY TO MAKE IT LOOK like an advantage is incredible! Celtel has lost its Customer-centric during the transfer of ownership heart.

So now, we have 3 GSM networks all offering the same kind of packages. It is unfortunate that they cannot seem to find solid niches with which to differentiate themselves.
OluYom
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Posted: 2007-04-03 22:49
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On 2007-04-03 21:19:04, coolapostle wrote:
With Celtel coming 6 months late?

What does it matter? You don't run the company. You have no idea the challenges they have had to face to come this far. You are simply an arm-chair critic with no clue as to what Celtel (or anyone else) has done to come this far.

You are simply being sentimental. I run a business organisation. I know how awry things can go inspite of the best-made plans. Then you have to explore various options and arrive at what you believe is a workable solution.


On 2007-04-03 21:19:04, coolapostle wrote:
It would have been suicidal for Celtel not to offer free midnight calls whether it makes sense or not, and whether the young new subs spend money or not. That segment is the only growing market today.

Suicidal in your opinion, but people still purchase Celtel SIMs everyday. Like they purchased MTN SIMs even when almost everyone called MTN evil.

Business is not run on sentiments.


On 2007-04-03 21:19:04, coolapostle wrote:
So now, we have 3 GSM networks all offering the same kind of packages. It is unfortunate that they cannot seem to find solid niches with which to differentiate themselves.

How are they supposed to find "solid niches" when you want all of them to offer the same products, services and at the same tariffs?

But the problem is your viewpoint. They are not all offering the same kind of packages. That is obvious enough.
PS: I used to be known as AYA
mamba
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Posted: 2007-04-03 23:22
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@coola, it seems you understand the telecom industry very well. Nigerians are only interested in talking & gist which obviously makes all the service providers a strategic group. there really is no incentive for differentiation. a company with long term focus should definitely tap the growing segment at a cost if necessary since those undergrads would eventually turn to future professionals earning income in 4 to 5 years time. if celtel didn't join in, it would have been disastrous on the long run.
OluYom
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Posted: 2007-04-04 00:09
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On 2007-04-03 23:22:00, mamba wrote:
Nigerians are only interested in talking & gist

This statement is another example of hasty generalisation (its like saying "Nigerians are only interested in 419"). Your assertion is simply not true in a blanket way, whether you admit it or not. To build your argument on such a flawed foundation is to present a fatally flawed argument.

I am a Nigerian, and I am not "only interested in talking & gist", as you say. There are also many others who do not fit your description. Obviously, many Nigerians do fit your description. In which case it wouldn't be too much of a mystery that they are the way they are today (I remember the long dialogue between Ihejirika and myself on an issue very much related to this).



On 2007-04-03 23:22:00, mamba wrote:
a company with long term focus should definitely tap the growing segment at a cost if necessary since those undergrads would eventually turn to future professionals earning income in 4 to 5 years time.

Agreed, without qualms, but you and coolapostle seem to think that there is only one way to do this - offer free midnight calls. That is simply.....


On 2007-04-03 23:22:00, mamba wrote:
if celtel didn't join in, it would have been disastrous on the long run.

Again; not necessarily. Its just that your view of the scenario is quite narrowed down to this free midnight call thing.

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[ This Message was edited by: AYA on 2007-04-03 23:18 ]
ambyzown
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Posted: 2007-04-04 01:02
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@coola: I fail to understand ur belief that free midnight calls is the key to profitability amongst gsm networks. If they offer free calls, that is good, but remember the network congestion that goes with free calls. How can this be good for the service provider?
Most people I know who have mtn lines for free midnight calls also have Glo or Celtel lines which they use during the day to make calls. They just ensure that their credit level on MTN is above N100, and so do not make call with it.
Also, Call completion rate on MTN is the poorest amongst the networks, and this is attributable to too many subscribers on the network than the system can handle. Talk about subscriber growth.
Tell me, if you are a businessman who needs to make calls on a particular network, and you have to dial a number 5-6 times before you get a connection, would you stick with it when you have alternatives that give you one touch access?
Remember also, the roadside business centers who make calls in excess of N30,000 daily? they aren't interested in free midnight calls, and a larger number of them are on Celtel and Glo. You dont believe me? go and find out. They hardly use MTN, because they pay N3000 access fee monthly, and cannot get to reap the benefits of the Bumper package due to network congestion. Is this your idea of a smart business plan?
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mamba
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Posted: 2007-04-04 16:24
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The most important thing is that Celtel did all their analysis, saw what I and Coola are seeing and decided to offer the free midnight and reduced tariff. Nigerians like to talk and Gist is another way of saying that the wap, MMS, 3G and other add-on's will not sell like voice calls just yet. How many people even pay for browsing on their celli if not people like AYA, Amby & mamba? We represent a niche that contributes peanuts to these guy's bottomline. Nigerians buy high-end phones and don't know what else to do other than talk and Gist at least for now as far as I'm concerned. I'm not generalizing but trying to portray the fact that we represent a market that isn't very significant to these providers unlike Multilinks, starcomms e.g. that rely a lot on data to boost their sales.
OluYom
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Posted: 2007-04-04 17:57
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On 2007-04-04 16:24:00, mamba wrote:
Nigerians like to talk and Gist is another way of saying that the wap, MMS, 3G and other add-on's will not sell like voice calls just yet.

I was not even thinking of data when I made gave my response. That response was in the context of free midnight calls.

Point: Voice calls wise, free midnight calls packages are not the only way of targeting the class of consumers you speak about. In my opinion, you guys simply finally got what you wanted: 3 networks offering the same things.

Too bad Celtel didn't have the guts to pursue a different course. But its their decision. They can live with it.
coolapostle
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Posted: 2007-04-04 18:00
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@Amby/AYA: What are u guys saying?

-that the free midnight calls do not translate into cash for MTN or Glo?

(Then u probably missed the story the other day about how much MTN made in 2006. MTN raked in 23-25 billion naira monthly. They made more money in the last 3 months of 2006.)

-that Celtel should NOT have copied the others?

(BTW it is a combo of free midnight calls, lower SMS, lower tariffs and introduction of Friends and Family that I am saying Celtel copied)

-that Celtel's new Unity package is an example of a superb counter-offensive that should be applauded?

-that there is any other major niche apart from Voice/SMS in the 9ja GSM market?

HERE IS WHAT I AM SAYING:

-Celtel has lost its customer-centric heart with this new package
-Celtel copied the others to survive
-Celtel's deal is not even as good as Glo (and we know Glo copied MTN and bettered them)

-9ja is a voice/SMS market. Period.
-Yes, some of u do a little browsing but your number is inconsequential
-9ja is a prepaid market. Period.
(A good example: after 5 years, MTN has just 100,000 Contract subs while prepaid is 12,000,000. Haba!)

-Free midnight calls are VERY POPULAR among students
-Free midnight calls can translate into major decisions on which network dominates in each household


I will be happy if you streamline your "argument"... if you have any.

OluYom
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Posted: 2007-04-04 21:48
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On 2007-04-04 18:00:58, coolapostle wrote:
@Amby/AYA: What are u guys saying?

-that the free midnight calls do not translate into cash for MTN or Glo?


In the simplest terms possible, free midnight calls are NOT the only means of attracting subscribers (you obviously missed or deliberately ignored my last post), and that free midnight calls do not necesarilly translate into significant cash inflow. That should be simple enough for you to understand.

Quote:

On 2007-04-04 18:00:58, coolapostle wrote:
(Then u probably missed the story the other day about how much MTN made in 2006. MTN raked in 23-25 billion naira monthly. They made more money in the last 3 months of 2006.)


So? MTN was raking in billions many months ago before they introduced free midnight calls. In all probability, they made a little bit more after introducing the free nighties.

Quote:

On 2007-04-04 18:00:58, coolapostle wrote:
-that Celtel should NOT have copied the others?


what is so difficult for anyone to understand about that?. They didnt have to copy them, but they have, and I'm okay with that. But they did NOT have to.

Just get the prejudice and sentiments out of your mind first and the rest is easy.


Oh, and by the way, Vmobile - in my opinion and by my standards - were never consumer/customer-centric in the sense that it was easier for a camel to pass through the eye of a needle than for a Vmobile customer to reach customer care. It does not matter what a network offers, if I cannot reach them for help conveniently and when I need the help, they do not score.
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[ This Message was edited by: AYA on 2007-04-04 20:54 ]
mariwun
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Posted: 2007-04-04 22:28
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N95 in hand...lookin impressive.still disvirgining my handset....anyone with questions please feel free to ask.i see we'r on page 500...a milestone..lol.
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