Last time we took a deep dive into the SWOT analysis of Airtel, one of India’s largest telecoms. Now we turn our attention to the Philippines and will conduct a SWOT analysis of Globe Telecom.
Globe Telecom Inc, commonly known as Globe, is the leading telecommunication giant in the Philippines. In this digital day, where there are so many rivals and so many services to offer, being the main telecommunication service provider in a country is a hard task, and maintaining its position as a market leader is even harder.
For market leaders like Globe Telecom, having a strong online presence is a must to be able to maintain its market leader position. Digital marketing has become more relevant than ever since businesses need to have an online business to stay in the game. If you are interested in knowing the latest marketing techniques as well, you should definitely check out IIDE’s Free MasterClass on Digital Marketing 101 by our CEO and Founder, Karan Shah.
To learn more about how the company has stayed in the leading position, we are going to do a SWOT Analysis of Globe Telecom – exploring its strengths, weaknesses, opportunities, and threats in detail.
So before we begin our deep dive, let us start by learning more about the company – its history, services, financial position and competitors.
About Globe Telecom
Globe Telecom as you know is a major telecommunications service provider in the Philippines. Founded in 1928 and the company offered its shares to the public in 1975. The telecommunication company is owned by one of the largest and oldest Filipino business groups – The Ayala Group. They had partnered with SingTel (Singapore Telecommunications) to launch a telecom industry in the Philippines.
Ernest Cu, the CEO of Globe Telecom, was named CEO of the Year at the World Communication Awards 2017. In the following year, Globe was announced as the best workplace in Asia. The major offerings of the corporation include providing commercial wireless services through its 3G, 4G LTE (Long Term Evolution), and LTE-A (Long Term Evolution-Advanced) networks. It has also started to deploy its 5G service offerings in some key areas in the Philippines.
Apart from this, in 2016 the organization also launched the Globe Lifestyle brand where the main focus was to expand the company in the fashion sector which would, in turn, help the firm’s lifestyle brand connect with the customers via fashion. It also ventured into the entertainment industry with 2 divisions namely Globe Studios which focuses on film and television production and Globe Live which focused on music events and live concerts.
|No. of Employees
|$6.78 billion (2020)
|$2.92 billion (2020)
|$371.48 million (2020)
What’s new with Globe Telecom?
Here’s what was buzzing around Globe Telecom recently:
- 5G rollout: Globe Telecom is rolling out 5G services across the Philippines, with plans to cover 90% of the country’s population by the end of 2023.
- Globe Business: Globe Business is expanding its offerings to meet the needs of businesses of all sizes, with new products and services for cloud computing, cybersecurity, and digital transformation.
- GCash: GCash, Globe’s mobile wallet, is continuing to grow rapidly, with over 60 million users and a wide range of financial services.
- Globe Rewards: Globe Rewards is a loyalty program that rewards customers for using Globe products and services. The program has been expanded in 2023 to offer more rewards and benefits to customers.
- Globe One Gate: Globe One Gate is a digital platform that provides customers with access to a wide range of products and services from Globe and its partners. The platform has been expanded in 2023 to offer more products and services, as well as a more seamless customer experience.
- Globe Cybersecurity: Globe Cybersecurity is a new business unit that provides cybersecurity solutions to businesses and consumers. The business unit offers a wide range of products and services, including security assessments, penetration testing, and managed security services.
- Globe Cloud: Globe Cloud is a new business unit that provides cloud computing solutions to businesses and consumers. The business unit offers a wide range of products and services, including infrastructure as a service (IaaS), platform as a service (PaaS), and software as a service (SaaS).
- Globe Digital Transformation: Globe Digital Transformation is a new business unit that helps businesses of all sizes to transform their businesses digitally. The business unit offers a wide range of services, including consulting, implementation, and support.
- Globe for Good: Globe for Good is Globe’s corporate social responsibility (CSR) program. The program focuses on four key areas: education, health, disaster preparedness and response, and environmental sustainability.
- Globe Innovation Hub: The Globe Innovation Hub is a space where Globe employees and partners can collaborate on new ideas and products. The hub has been expanded in 2023 to offer more resources and support to innovators.
- Globe Academy: Globe Academy is a training and development program that provides Globe employees with the skills and knowledge they need to succeed in the digital age. The program has been expanded in 2023 to offer more training courses and certifications.
Let’s now understand the target audience of Globe Telecom better with the help of a buyer persona.
Buyer Persona of Globe Telecom
A buyer persona generally refers to the detailed information of an ideal customer of a company. When it comes to Globe Telecom, people from India use it the most. This buyer persona will help you understand the attributes of a regular Globe Telecom user.
Quezon City, Metro Manila, Philippines
Marketing Manager at a multinational corporation
- Connectivity and Communication
- Productivity and Efficiency
- Digital Entertainment
- Getting discounts for budget-friendly choices
Interest & Hobbies
- Food Enthusiast
- Service Outages
- Billing Issues
- Slow Customer Support
- Data Limits
Social Media Presence
SWOT Analysis of Globe Telecom
SWOT stands for Strengths, Weaknesses, Opportunities, Threats. It is used as a tool to know and analyze the market position and general health of a business. It is extremely useful and is done by every old as well as a new business to determine the most effective future path.
So without any further ado, let us start the discussion of each segment in the SWOT analysis of Globe Telecom in the coming section:
Strengths of Globe Telecom
Some of the major advantages that Globe has over others are :
- Successful Innovations: Globe Telecom has achieved great success in launching new products. Under Globe Lifestyle, 0917 Lifestyle is the name for its tech and fashion brand. This helped them to venture into different industries and expand their customer base which helps them with internal promotions.
- Robust Domestic Market: The domestic market in which Telecom operates is both a source of strength and a hurdle to the company’s growth and innovation. The company can easily grow in its native market without much innovation, but to join the worldwide market, it will need to invest more in research and development.
- Intellectual Asset Rights: Through invention and the purchase of rights from creators, the corporation has amassed a large number of patents and copyrights. This could aid Telecom company in fending off competitors in a variety of businesses. Entrepreneurship, joint ventures, and regulation are all words that come to mind when thinking of entrepreneurship.
These are Globe Telecom’s strengths and benefits in dealing with competitors in many industries. Let’s take a look at the weaknesses of the company below.
Weaknesses of Globe Telecom
The areas where Globe Telecom lacks are as follows:
- Lack of Diversity: The lack of diversity arises because the primary focus of Globe has always been the domestic market. They have always limited themselves which has also led to facing issues specifically in human resources. As the Philippines has never been a tech-oriented country, they have faced a shortage of workforce in the field of technology & digital transformation.
- Limited Talent in AI: They are also struggling with limited talent in Artificial Intelligence (AI) and machine learning. This can be very disadvantageous in the future if a telecommunication giant from another country tries to enter the Philippine market because it is very important to keep evolving with the trend and technologies to sustain in this telecommunication sector.
- Dissatisfied Customers: Although there is no shortage of customers regarding their demand for telecommunication as well as other verticals of demand for Globe, there is a feeling of dissatisfaction amongst customers which is not taken care of very well.
This concludes the weaknesses of Globe Telecom. These flaws are the most important areas where Globe should concentrate its efforts. Now that we know about the weaknesses of the company, let’s focus on its opportunities.
Opportunities of Globe Telecom
The opportunities that Globe Telecom should focus on include:
- Access To International Markets: This is one of the areas where Globe Telecom has scarcity. They can overcome this challenge by increasing their budget towards hiring the workforce from tech-oriented countries. By granting access to this, it can help them expand and tap into other international markets. Hiring can be tough for other countries. However, Globe should focus on making arrangements for these skilled forces and also offer good packages with many benefits.
- E-Commerce Business Model: This model can help Globe Telecom partner with logistic providers in the international market. It can also help to tie up with local suppliers with the help inculcating it with Social Media strategies. The rise of digital marketing all around the world has made it easy to enter new markets making it cost-effective as well as extremely efficient.
- Expanding Adjacent Markets: The company can investigate adjacent sectors through entrepreneurship, joint partnerships, and regulation to expand the market, particularly by enhancing the attributes of current products and services.
These are the possibilities for the telecom company to improve its position in the market. In the next section, we’ll take a quick look at the company’s threats.
Threats of Globe Telecom
The threats that Globe Telecom faces are :
- Government Regulations: Under increasing pressure from protest groups and non-governmental organizations, the Telecom business should keep a close eye on rapidly changing government rules, particularly in the areas of environmental and labour safety.
- Environmental Restrictions: Increasing expenses factor for working in the developed market due to environmental restrictions. Globe Telecom must deal with these costs as governments attempt to collect greater environmental fees to promote cleaner solutions. It may result in greater logistics and packaging expenses for the telecom industry.
This was the in-detail SWOT analysis of Globe Telecom.
Failed Campaigns of Globe Telecom
Globe Telecom more than often grabs attention with its unique marketing. But, there have been a few times when the campaign failed to connect with the audiences and gained backlash.
Here are a few examples of failed campaigns of Globe Telecom:
- The “Unli” campaign: In 2016, Globe Telecom launched an “Unli” campaign that promised unlimited data, calls, and texts for a set monthly fee. However, the campaign was met with a lot of criticism from customers who complained that the speeds were too slow and that the data was capped.
- The “Free Wi-Fi” campaign: In 2017, Globe Telecom launched a “Free Wi-Fi” campaign that offered free Wi-Fi access in public places such as malls and parks. However, the campaign was met with a lot of criticism from customers who complained that the Wi-Fi was unreliable and that it was often difficult to connect.
- The “Super G” campaign: In 2018, Globe Telecom launched a “Super G” campaign that promised faster internet speeds. However, the campaign was met with a lot of criticism from customers who complained that the speeds were not as fast as advertised.
- The “GoSurf” campaign: In 2019, Globe Telecom launched a “GoSurf” campaign that offered mobile data packages with unlimited access to certain apps and websites. However, the campaign was met with a lot of criticism from customers who complained that the speeds were too slow and that the data was capped.
- The “One Globe” campaign: In 2020, Globe Telecom launched a “One Globe” campaign that promoted the company’s commitment to diversity and inclusion. However, the campaign was met with a lot of criticism from customers who said that the company was not doing enough to address its own diversity and inclusion issues.
Competitors of Globe Telecom
The Telecom industry is oligarchic, i.e., it has few but very intense competitors, Globe’s competitors are:
- SK Telecom
As we wrap up our analysis of Globe Telecom’s impressive digital marketing strategy, it’s clear that staying up-to-date with the latest trends and techniques is key to success in the digital marketing world.
Whether you’re a marketing professional or just starting out, be sure to check out our free digital marketing masterclass to gain a solid foundation in the essentials of digital marketing.
Who knows, you might just develop the next big marketing strategy like Globe Telecom’s! Don’t forget to share your thoughts and comments on Globe Telecom’s strategy in the comments below.