In Norway

By:

Krista Witherspoon

Kristian Arnesen

Company Profile

Established July 1992 Do Communications Over the Mobile

Network 51 million cell phone subscribers in

Japan Revenue of over $5 billion Osaifu-Keitai

Norway

PDI – 25 IDV – 62 MAS – 8 UAI – 45 Population of 4,610,820 GDP per capita $42,800 Rate of 1.03 cell phones per capita (2005)

Environmental Challenges

An aging Norwegian population 3G licensing is limited to 4 initial

companies A 3G license will cost more than $100

million Current Norwegian government may be

reluctant to let a major Japanese company enter the market

Entering the market

Joint venture with the Norwegian cell phone service provider Telenor

Telenor has over 2.6 million subscribers in Norway.

Telenor has over 82 million subscribers worldwide

Has the most popular pay as you go service Government owns 53%

The Competition

NetCom is the only major competitor Only other cellular phone company

with a 3G license Does not offer any such service as

Osaifu-Keitai Smaller market share than Telenor at

only 1.2million subscribers

The Norwegian cell phone market

Norway has 1.03 cell phones per capita Norwegian cell phone market is larger than its

population, at over 4.7million subscribers Will target the entire market, consumers as young

as 8 years have cellular phones Teenagers without credit cards can use it with

prepaid charge cards which are popular in Norway Continuously being regenerated Cell phone is an “In” item

Marketing Objectives

Use Norway as a test market for Telenor’s entire subscription base

Phones will be subsidized through Telenor for new subscriptions for market penetration

Will be offered to existing Telenor subscribers that are looking for their one year replacement phone

First terminals for use at Statoil gas/grocery stores

Osaifu-Keitai

A mobile wallet Service provided by using

an ICC in a cell phone (Integrated circuit card)

Uses 3G technology Electronic tickets,

membership card, airline ticket, key to your house

Pin code or Biometric scan for security

Consolidation of bills

Promotion Advertisement through television and

publications Sponsor events that requires tickets such as

the “Quart” festival Sales promotion through buying subsidized

phones Sales promotion by offering discounts at

popular retailers

Place & Distribution

Focus on the service. The phone acts as a distribution channel for ICC cards which provides the service

The cell phone will be used

Pricing

Process

Sign up and download profile from our web portal

Add money through Telenor’s pay as you go cards which we are adapting

Use your credit card Used by holding the phone over a scanner Adapted additional security measures

Timeline

Questions?

Thank you for listening