O2's branding and marketing strategy Dissertation

O2's branding and marketing strategy - Dissertation Example eting 38 Achieving Branding and Marketing Goals 39 Effectiveness of O2’s Branding and Marketing Strategy 40 Effect of O2’s Marketing and Branding Strategy on the Market 41 RECOMMENDATIONS 41 References 54 CHAPTER 1: INTRODUCTION AND BACKGROUND Background of the Problem Aghapour, Manafi, Hojabri, Salehi, Saeidinia and Gheshmi (2011, p. 136) demonstrate that branding allows companies to promote their products and services in the market to achieve more sales. In this regard, branding has been described as one of the most effective methods of marketing a company’s products and services within its market. It is through branding that businesses have been able to win the confidentiality and loyalty of their customers (Marketing Week, 2009, p. 1). O2 is the second leading mobile operator within the telecommunication industry of the United Kingdom. O2 has concentrated in building brand loyalty within the UK mobile market. The company has remained unique in its branding an d marketing strategy. There are many changes within the UK telecommunication industry which O2 must adapt to in its marketing communication so that it would remain in the top of the mobile business. O2 whose parent company is Telefonica has maintained leadership in the UK mobile market through the use of loyalty deals (Marketing Week, 2009, p. 1). This is through alluring advertisements which are designed to depict the company’s brand as the most authentic and reliable within UK’s telecommunication sector. Technological, political, economic, legal, environmental, social and cultural changes have played a role in influencing the direction of the mobile business in the UK. O2 Mobile is no exception in the effects of the changing market forces especially for its branding and marketing strategy. According to Marketing Week (2009, p. 1), the marketing strategies used by O2 have received criticisms and assertions that the company has maintained old fashioned approaches of ma rketing its products. For example the company delayed in adopting 3G and 4G services like its business rivals because it considered them costly. Regardless of this, the company has been able to capture more than 24 million customers within the UK mobile market (Marketing Week, 2009, p. 1). This has led to annual turnover of more than 5 billion pounds from the company’s operations in the UK. However Marketing Week (2007, p. 10) reports that the changes in information and telecommunication industry are likely to catch up with O2’s branding and marketing strategies and make them less effective within the dynamic market. It is in this regard that the effectiveness of O2’