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Virgin Mobile USA: Case study - Essay Example

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According to Mcgovern (2007), Virgin Mobile is a company located in the U.K. It is well recognized for its brand extension and the first organization to have had Mobile Virtual Network Operator (MVNO). It is also known for its stylish position of the mobile market targeted for the youth market from age 15 to 29 years. …
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Virgin Mobile USA: Case study
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Virgin Mobile USA: Case study

Download file to see previous pages... According to Mcgovern (2007), Virgin Mobile is a company located in the U.K. It is well recognized for its brand extension and the first organization to have had Mobile Virtual Network Operator (MVNO). It is also known for its stylish position of the mobile market targeted for the youth market from age 15 to 29 years. Globally, it is known that young people interact more effectively than older people do. There are mostly likely to purchase the commodity to fulfil their need of socializing. Youths particularly teens mostly use MMS and SMS that is affordable. Mcgovern continues to indicate that, young people are so much addicted to mobile phones that they can hardly live without them. Internet and media contact via mobiles is much preferred by youths as compared to other segments. Online games and internet is most used by youths as most identify themselves with the emerging technology. Most people in this target selection are students and few working. Secondly, there is a risk in targeting this target group in that a Company needs to set affordable prices that meet this group’s needs. Lastly, either most consumers are leaving at home or in college, thus their usage is inconsistent as a time they may not use the phone especially when in school or vacation. Given the Virgin Mobile’s target market (14-24 years old) the Company should structures it’s pricing at an affordable price that is not too low to the Company and still not high for consumers. ...Download file to see next pagesRead More
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