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Microcap & Penny Stocks : Globalstar Telecommunications Limited GSAT
GSAT 64.33+7.4%12:20 PM EST

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To: Maurice Winn who started this subject7/31/2000 7:56:00 AM
From: rf_hombre  Read Replies (2) of 29987
 
Targeting G* USA customers

By now, it is all too painfully clear to investors that G*'s global subscriber ramp up in general and that of G* USA in particular will be excruciatingly slow. While MOU price is often criticized, the real challenge it seems is the Herculean task of marketing the product and service to very diverse markets. Globalstar in a way needs to be all things to all people.

There is however no doubt that there is a substantial need for the product. It will just take time to devise different marketing strategies and tactics to the various markets.

For all its growing pains, G* USA has a formidable market research tool since it has or at least should have access to Vodafone’s subscriber databases. This information can be used to target with almost laser accuracy existing Vodafone customers at the fringe of cellular service areas, where service is likely to both analog and poor.

The engineering departments of the regional Vodafone operators know very well where the areas of spotty coverage lay thanks to predictive computer models (quite accurate in rural areas), drive test surveys of signal quality and customer complaints.

These zones in turn can be cross-referenced against zip codes and within these areas potential "G* targets" can be sorted in descending order with respect to income (or monthly bill). Finally, a segmented approach can be considered to market the phone and MOU’s to the various income levels. Appointments can be made with the most “valuable” potential customers, while a phone call or an informational package would do for the lower two tiers.

Of course, this presupposes that local Globalstar dealers understand the “vision” and have the necessary skill and resources to get the job done. Again, this may be assuming too much. Alarmingly, anecdotal evidence seems to be pointing to the latter.

It would be a strategic mistake to think that the points of sale methodology alone will be successful. In fact, having numerous points of sale will be valuable but only when G* becomes more mainstream and enters the general public product space. By its very nature, selling G* service requires a very focused approach.

rf_hombre
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