MTN plans big for customers as yuletide approaches

Many profit-oriented organisations, especially producers of Fast Moving Consumer Goods (FMCGs), have over the years, deployed robust sales promotion initiatives aimed at capturing a good share of their market. By so doing, they have popularised the idea of periodically dishing out freebies to customers and potential customers alike. Notable initiatives in this regard have seen lucky Nigerians smile home with millions of naira, exotic cars, and other eye-popping gifts from the concerned companies. Sectors that ran the show in the 1990s include the soft drinks giants, the beverage producers and the breweries.

The grand entry of the mobile telecommunications companies into the country changed the game, as they periodically struggle to out-do one another in impressing their subscribers and potential customers with freebies and other interesting offers. Buy One Get One Free (BOGOF), free SMSs and free calls are some of the freebies that vividly come to mind in this regard. The high level of competition among the telecommunications companies have therefore, made the general public tag whichever of the brands that isn’t meeting up with their expectation with respect to dishing out freebies among other offers, as ‘stingy’.

The word, ‘stingy’ is generally used to describe one who is unwilling to share, give, or spend possessions or money. Therefore, describing a brand as stingy could have far reaching implications. MTN, the telecommunications brand with the largest number of subscribers fall into the category of brands perceived by many, as not doing enough in the area of dishing out freebies and other goodies to its subscribers. Being the most maligned in this regard, one is therefore, not surprised that the telecommunications company seem to be in the fore-front of pioneering a season of surprises in which it intends to delight its subscribers.

Proponents of profitability will however negate this belief by many as they analyse critically, the essence of these promos and what they contribute to the bottom line of the concerned organisations. Tapping from the basic objectives of businesses which include liquidity, profitability and Corporate Social Responsibility (CSR) in that order, many organisations strive to achieve a perfect blend of the trio.

In the profitability versus promos question, many failed to realise the underlying differences that influence decision making in this regard. Though not the first telecommunications outfit to launch its network in Nigeria, the much maligned MTN had its network spread across the country like wild fire, reaching the remotest parts of the country within few years of launching its network in the country. The company is largely responsible for the penetration of mobile telephony in Nigeria, and by extension, most parts of Sub-Saharan Africa.

Around the time MTN channeled massive investments into network expansion, its peers in the telecommunications industry were probably busy dishing out freebies to their few subscribers, I suppose! In the light of this revelation, which should Nigerians have preferred, free SMSs and free calls or wider reach?

Many failed to realise that MTN’s massive investment in its network infrastructure would probably have led to a corresponding investment in quality man-power, research and innovation, while also investing heavily in maintaining the infrastructure put in place.

While not undermining the effort and huge investment of the other telecommunications companies, the fore-going is enough attestation to the fact that MTN probably carried and still carries the highest operating expenditure among the players in Nigeria’s telecommunications sector. Little wonder, despite insinuations that they are not giving enough freebies, the company still has the highest number of subscribers, far above any of its peers in the industry.

The company has not done badly in the area of giving contrary to what some people will say. MTN, despite its higher costs, has competed favourably with its competitors in this regard. The Who Wants To Be A Millionaire (WWTBAM) TV game show is just one of MTN’s testimonials in this respect.

Once sponsored by a competitor, MTN soon took over the sponsorship of Nigeria’s most watched TV game show and doubled the highest prize possible from N5million to N10million. Ten years down the line, Nigerians from various walks of life are still smiling home weekly, thanks to the generosity of the perceived ‘stingy one’ MTN.

It is also worthy of note that among the telecommunication companies, MTN is the only one that has openly dedicated a certain percentage of its annual profit to the life enriching activities of its Corporate Social Responsibility vehicle, the MTN Foundation (MTNF). Through this generous initiative of the perceived ‘stingy one’, MTN has reached out to many Nigerians in need, through MTNF’s various activities in the health sector, education sector and several other areas. What would Nigerians have asked for, the free SMSs and free calls or a CSR vehicle like the MTNF?

Yuletide is around the corner and the telecommunications companies in their usual manner are expected to commence another round of struggle to out-do one another, in impressing their subscribers. A careful observation of what MTN is up to this time indicates that the company, in a bid to impress its teeming subscribers is about surprising them with some eye-popping freebies any moment from now. The dailies and social media platforms are already awash with an ‘MTN Surprise’ campaign in this regard and many are wondering what the company is up to this time. An interesting newspaper advertorial in this regard depicts wonderfully, the ‘surprise’ element in the company’s package this time around. Sources from the grape-vine indicate that MTN, through this campaign plans to surprise its subscribers, while encouraging and enabling subscribers to also surprise their loved ones.