Cellcos to cut marketing and sales costs over next three years

6 Jun 2014

China’s State-owned Assets Supervision and Administration Commission (SASAC) has set a three-year target for the country’s three main telecom operators – China Mobile, China Unicom and China Telecom – requiring the trio to cut marketing and sales expenses by 50% over the period, Marbridge Daily cites unconfirmed reports from local media as saying. China Mobile, the world’s largest cellco by subscribers, plans to cut CNY27 billion (USD4.37 billion) from its sales and marketing expenses this year – costs which include commissions for handset retailers and subscriber and terminal subsidies – equating to around 16% of the carrier’s planned CNY170 billion marketing spend for 2014. Unicom and Telecom meanwhile are expected to cut their expenses by CNY4 billion apiece this year.

China, China Mobile, China Unicom, China Telecom Corporation,

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