comparative study of airtel
TRANSCRIPT
COMPARATIVE STUDY OF AIRTEL & VODAFONE
INDEX
CHAPTER 1: INDUSTRY PROFILE
CHAPTER 2: COMPANY PROFILE
AIRTEL
VODAFONE
CHAPTER 3: COMPARATIVE STUDY BETWEEN VODAFONE & AIRTEL
CHAPTER4: LIMITATION
CHAPTER5: RECOMMENDATION & CONCLUSION
CHAPTER6: BIBLOGRAPHY
Executive Summary
OBJECTIVE OF STUDY
1. To study how two different companies in same industry uses different pricing strategy.
2. To portray special characteristics of Telecom company and to know more about them.
CHAPTER 1
INDUSTRY PROFILE
The stupendous growth of the telecommunication companies in India over the last fifteen years can be attributed to the liberal government of India, economic policy. The economic renaissance effected in the early 1990s brought around a paradigm shift on the overall business scenario of India. The telecommunication companies in India went through a huge make-over during the implementation of the open-market policy of India.
The erstwhile closed market policy was replaced by a more liberal form of economic policy. A whole new form of Indian Telecommunication Policy was drafted to compliment the change effected in the economic policy of India. The amendment effected the new telecommunication policy of India made huge changes with
respect to investments and entry of Foreign Direct Investments (FDI) and Foreign Institution Investors (FII) respectively, into the virgin Indian telecommunication market. This resulted entry of private, domestic and foreign telecommunication companies in India.
The economic contribution made by these newly formed telecommunication companies of India is really mentioned worthy and this industry witnessed highest growth after the Indian Information Technology industry. The robust growth of Indian economy after the economic liberalization in the 1990s induced massive change in the telecom policy and new draft was framed and implemented by the 'Telecom Regulatory Authority of India' (TRAI) and 'Department of Telecommunication' (DOT), under the Ministry of Telecommunication government of India. The main aim of these telecommunication companies in India is to provide basic telephony services to each and every Indian.
With the advent of private telecommunication companies in India, the industry witnessed introduction of mobile telephones into the Indian market and it became popular amongst the Indian masses in no time. Today two types of mobile phone service providers operates in the Indian market, like the following -
Global System for Mobile Communications (GSM) Code Division Multiple Access (CDMA)
The main binding objective for all the telecommunication companies operating in India are as follows -
To facilitate telecommunication for all Ensuring quick availability of telephone connectivity Achieve universal service access at affordable price covering all Indian
villages, as early as possible Providing world class telecommunication services Solving consumer complaints, resolve disputes, and special attention to be
given to public interface To provide widest possible range of services at reasonable prices To emerges as a major manufacturing base and major exporter of
telecommunication equipment To protect the defense and security interests of the country
Three types of service providers exist in the Indian telecommunication sector, like the following -
State owned companies like - Bharat Sanchar Nigam Ltd, Videsh Sanchar Nigam Ltd and Mahanagar Telephone Nigam Ltd
Private Indian owned companies like - Reliance Infocomm and Tata Teleservices.
Foreign invested companies like - Hutchison-Essar, Bharti Tele-Ventures, Escotel, Idea Cellular, BPL Mobile, Spice Communications etc.
A list of states (including the metros Mumbai, Kolkata and Chennai in their
respective states and exluding National Capital Territory Delhi) with the largest
subscriber base as of Mar 03rd 2011 is given below
State Subscriber basePopulation
(01/03/2011)Mobile phones per 1000 population
Uttar Pradesh
106,192,054 199,581,477 532
Maharashtra 94,841,692 112,372,972 844
Tamil Nadu 68,168,580 72,138,958 945
Andhra Pradesh
59,364,339 84,665,533 701
West Bengal
60,928,561 91,347,736 667
Bihar 52,100,177 103,804,637 502
Karnataka 48,465,542 61,130,704 793
Gujarat 45,881,267 60,383,628 760
Rajasthan 42,380,958 68,621,012 618
Madhya Pradesh
44,256,394 72,597,565 610
Delhi 16,753,235 37,539,635 2,241
Kerala 30,954,858 33,387,677 927
Punjab 27,817,459 27,704,236 1,004
India 791,381,574 1,210,193,422 654
LIST OF MOBILE SUBSCRIBERS IN INDIA
(As on Jan 2011)
Operator Subscribers(in millions)
AIRTEL 155.75
VODAFONE 127.36
RELIANCE COMMUNICATION
128.87
IDEABSNLTATA DoCoMo , TATA INDICOMAircel
84.2883.59
86.0551.83
UninorVideoconMTNL
20.36.015.15
Loop MobileMTS
3.069.09
155.75
127.36
128.8784.28
83.59
86.05
51.83
20.3 6.01 5.15 3.06 9.09
subscribers (in millions)
AIRTELVODAFONERELIANCE COMMUNICATIONIDEABSNLTATA DoCoMo , TATA INDICOMAircelUninorVideoconMTNLLoop MobileMTS
MOBILE NUMBER PORTABILITY
TRAI announced the rules and regulations to be followed for the Mobile Number
Portability in their draft release on 23 September 2009. Mobile Number Portability
(MNP) allows users to retain their numbers, while shifting to a different service
provider provided they follow the guidelines set by TRAI. Once a customer changes
his/her service provider & retaining the same mobile number they are expected to
hold the mobile number with a given provider for at least 90 days, before they
decide to move to another service provider. This restriction is set in place to keep a
check on exploitation of MNP services provided by the service providers.
As per news reports, Government of India decided to implement MNP from
December 31, 2009 in Metros & category ‘A’ service areas and by March 20, 2010
in rest of the country.
It has been postponed to March 31, 2010 in Metros & category 'A' service areas.
However, time and time again, lobbying by the state-run firms, BSNL and MTNL
has resulted in innumerable delays in the implementation of Mobile Number
portability. The latest reports suggest BSNL and MTNL are finally ready to
implement the Mobile Number Portability by October 31, 2010.
A press release by the Department of Telecommunications on 30 June 2010 said
"Keeping the complexity and enormity of the testing involved before MNP is
implemented and keeping in view the present status of implementation by various
operators, it has now been decided to extend the time line for implementation of
MNP to 31st October 2010."
A news report on 25 November 2010 said Mobile Number Portability (MNP) was
finally launched in Haryana. The MNP service inaugurate by the Union Minister of
Communications & IT Mr. Kapil Sibal by making the inaugural call to Shri
Bhupindrer Singh Hooda, the Chief Minister of Haryana from a ported mobile
number in function held at Rohtak city. Another news report said it will be
implemented across India on January 20, 2011. Even as DoT has recommended a
porting fee of Rs. 19, some operators such as Idea Cellular may consider waiving
off the porting charges.
Chapter 2:
Company profile
History
Sunil Bharti Mittal founded the Bharti Group. In 1983, Sunil Mittal was into an
agreement with Germany's Siemens to manufacture the company's push-button
telephone models for the Indian market. In 1986, Sunil Bharti Mittal incorporated
Bharti Telecom Limited (BTL) and his company became the first in India to offer
push-button telephones, establishing the basis of Bharti Enterprises. This first-
mover advantage allowed Sunil Mittal to expand his manufacturing capacity
elsewhere in the telecommunications market. By the early 1990s, Sunil Mittal had
also launched the country's first fax machines and its first cordless telephones. In
1992, Sunil Mittal won a bid to build a cellular phone network in Delhi. In 1995,
Sunil Mittal incorporated the cellular operations as Bharti Tele-Ventures and
launched service in Delhi. In 1996, cellular service was extended to Himachal
Pradesh. In 1999, Bharti Enterprises acquired control of JT Holdings, and extended
cellular operations to Karnataka and Andhra Pradesh. In 2000, Bharti acquired
control of Skycell Communications, in Chennai. In 2001, the company acquired
control of Spice Cell in Calcutta. Bharti Enterprises went public in 2002, and the
company was listed on Bombay Stock Exchange and National Stock Exchange of
India. In 2003, the cellular phone operations were rebranded under the single Airtel
brand. In 2004, Bharti acquired control of Hexacom and entered Rajasthan. In
2005, Bharti extended its network to Andaman and Nicobar.
In 2009, Airtel launched its first international mobile network in Sri Lanka. In 2010,
Airtel began operating in Bangladesh and 16 African countries.
Today, Airtel is the largest cellular service provider in India and fifth largest in the
world.
Bharti airtel limited is a leading global telecommunications company with operations in 19 countries across Asia and Africa. The company offers mobile voice & data services, fixed line, high speed broadband, IPTV, DTH, turnkey telecom solutions for enterprises and national & international long distance services to carriers. bharti airtel has been ranked among the six best performing technology companies in the world by business week. bharti airtel had 200 million customers across its operations.
Vision & Promise
By 2015 airtel will be the most loved brand, enriching the lives of millions.
" Enriching lives means putting the customer at the heart of everything we do. We will meet their needs based on our deep understanding of their ambitions, wherever they are. By having this focus we will enrich our own lives and those of our other key stakeholders. Only then will we be thought of as exciting, innovation, on their side and a truly world class company."
Brand
Airtel was born free, a force unleashed into the market with a relentless and unwavering determination to succeed. A spirit charged with energy, creativity and a team driven “to seize the day” with an ambition to become the most admired telecom service provider globally. airtel, in just ten years of operations, rose to the pinnacle of achievement and continues to lead.
As India's leading telecommunications company, airtel brand has played the role of a major catalyst in India's reforms, contributing to its economic resurgence.
Today we touch people's lives with our Mobile services, Telemedia services, to connecting India's leading 1000+ corporates. We also connect Indians living in USA, UK and Canada with our callhome service.
Services
Voice
Mobility Solutions
Fixed Line and Broadband
Enterprise VAS
Data and IP
Internet access
Data Transport Solutions
Satellite Services
MPLS Solutions
Online Desktop
Website Builder
Hosted Mail
Business Ready Branch
Security Solutions
Conferencing
Audio Conference Service
Video Conference Service
Data Center
Product Vision
Integrated Service Offerings
Infrastructure and Footprint
Products
Network IT
Network Integration
Professional Services
Business ReadyBranch
Digital Media
Advertisement Ecosystem
Cinema Delivery
Digital Signage
News Gathering
Post Production
Teleport
SWOT ANALYSIS
STRENGTH:
• Largest Operator
• PAN India presence
• Having global presence
• First mover advantage
• Innovations
• Strategic alliance
WEEKNESS:
• Not having plan like Free local calls and Minutes as their competitors have
• Losing ground among teens and youth against their competitor like Reliance.
OPPORTUNITY:
• Only 41.8% Teledensity in India.
• Possible Expansion in nearest countries.
THREATS:
• Potential entry of global competitor.
• Competition from domestic Players.
Product & Price Mix
Product: Airtel Pre-paid
Airtel Post-paid
Blackberry Wireless Handheld
Value Added Services (VAS)
The different value added services provided by Airtel are-
Instant Balance Enquiry
24Hr recharge Facility
Caller line identification
Call divert, Call wait & Call Hold
Multimedia messaging service (MMS)
Airtel Live Portal
SMS based Information Service
Hello Tunes & Ring Tones
Voice Mail Service
Easy Post-paid bill collection
Gifting of Ring Tones & Hello Tunes
GPRS
Business Solutions
Price: Customer based pricing strategies.
Flexible pricing mechanism
Controlled by TRAI.
MARKETING STRATEGIES
M a r k e t
Airtel has targeted th bottom of the pyramid- VK Prahalad Concept
M arket s eg m en t a ti on:
Geographical segmentation – metropolitan & cities
India Demographic segmentation - low & middle
income group People age group of 20 to 28
Target market:
People living in cities and
towns Poor and middle
income groups Youngsters in
big cities Businessmen
Po s iti on i ng
Creating brands
Ads and promotion
M arke ti ng mi x
Price-low price strategy
Place-maximum outlets and service centers
Product -varieties available for various group
Promotion -various schemes for prepaid and
postpaid
Marke t ing S t ra t egy
Airtel strategy is to be leader in:-
Innovations
Network
Offers and Services
Strategy of making customers educated about the services like: -
1. “ What is roaming?”
2. “ What is coverage area?”
3. “ How to make international calls?”
Airtel adopted the product driven communication to make their
products successful in the market and also emotional communication to
target younger people.
Strateg i es Introduction Growth Maturity
Market i ng object i ves
Create product awareness and trial
Maximise market share
Maximise profits whole defending market share
Product Offer a basic product/ service.
Offer value added services
Increase in number of value added services.
Price Charge cost- plus Price to penetrate market
Price to match or best competitors
Distribution Build selective distribution
Build Intensive distribution.
Build more intensive distribution.
Advertising Build product awareness among early adopters and dealers.
Build awareness and interest in the mass market
Stress brand differences and benefits.
Sales Promotion Use heavy sales promotion to entice people to subscribe.
Increase to build and maintain relationships with customers.
Increase to encourage brand-switching.
Brand Ambassadors:
Famous celebrities: Shah Rukh Khan, Sachin Tendulkar , A R
Rehman, Kareena Kapoor, Saif Ali khan .
Previous Brands
Initially, around 1995, the company services were branded Max Touch¸ renamed to
Orange in 2000. In December 2006, Hutchison Essar re-launched the "Hutch" brand
nationwide, consolidating its services under a single identity.
The company used to be named Hutchison Essar, reflecting the name of its previous
owner, Hutchison. However, the brand was marketed as Hutch. After getting the
necessary government approvals with regards to the acquisition of a majority by
the Vodafone Group, the company was rebranded as Vodafone Essar. The marketing
brand was officially changed toVodafone on 20 September 2007.
On September 20, 2007 Hutch became Vodafone. Vodafone Essar spent somewhere
in the region of Rs. 250 crores on this high-profile brand transition. Cheap cell phones
were also launched simultaneously in the Indian market under the Vodafone brand.
The company planned to launch co-branded handsets sourced from global vendors.
A popular daily quoted a Vodafone Essar director as saying that "the objective is to
leverage Vodafone Group's global scale in bringing millions of low-cost handsets from
across-the-world into India."
Incidentally, China's ZTE, which is looking to set-up a manufacturing unit in the
country, is expected to provide several Vodafone handsets in India. Earlier this year
,Vodafone penned a global low-cost handset procurement deal with ZTE.
History
Hutchison Essar (1992-2007)
In 1992, Hutchison Whampoa and its Indian business partner – Max Group,
established a company that in 1994 was awarded a licence to provide mobile
telecommunications services in Bombay (now Mumbai) and launched commercial
services as Hutchison Max in November 1995. In Delhi, Uttar Pradesh (East),
Rajasthan and Haryana, Essar Group was the major partner. But later Hutch took the
majority stake.
By the time of Hutchison Telecom's Initial Public Offering in 2004, Hutchison Whampoa
had acquired interests in six mobile telecommunications operators providing service in
13 of India's 23 licence areas and following the completion of the acquisition of BPL
Mobile that number increased to 16. In 2006, it announced the acquisition of a
company (Essar Spacetel — A subsidiary of Essar Group) that held licence
applications for the seven remaining licence areas.
Initially, the company grew its business in the largest wireless markets in India — in
cities like Mumbai, Delhi and Kolkata. In these densely populated urban areas it was
able to establish a robust network, well known brand and large distribution network –
all vital to long-term success in India. Then it also targeted business users and high-
end post-paid customers which helped Hutchison Essar to consistently generate a
higher Average Revenue Per User (ARPU) than its competitors. By adopting this
focused growth plan, it was able to establish leading positions in India's largest markets
providing the resources to expand its footprint nationwide.
In February 2007, Hutchison Telecom announced that it had entered into a binding
agreement with a subsidiary of Vodafone Group Plc to sell its 67% direct and indirect
equity and loan interests in Hutchison Essar Limited for a total cash consideration
(before costs, expenses and interests) of approximately $11.1 billion.
Hutch was often praised for its award winning advertisements which all follow a clean,
minimalist look. A recurrent theme is that its message Hello stands out visibly though it
uses only white letters on red background. Another successful ad campaign in 2003
featured a pug named Cheeka following a boy around in unlikely places, with the
tagline, Wherever you go, our network follows. The simple yet powerful advertisement
campaigns won it many admirers. Ads featuring the pug were continued by Vodafone
even after rebranding.
Vodafone Group plc is a global telecommunications company headquartered
in London, United Kingdom. It is the world's largest mobile telecommunications
company measured by revenues and the world's second-largest measured by
subscribers (behind China Mobile), with around 341 million proportionate subscribers
as of November 2010. It operates networks in over 30 countries and has partner
networks in over 40 additional countries. It owns 45% of Verizon Wireless, the second
largest mobile telecommunications company in the United States measured by
subscribers.
The name Vodafone comes from voice data fone, chosen by the company to "reflect
the provision of voice and data services over mobile phones".
Vodafone is the world’s largest mobile telecommunications community, employing over 65,000 staff and with over 130 million customers. The business operates in 26 countries worldwide.Vodafone is a public limited company with listings on the London and New York stock exchanges. Global recognition of the Vodafone brand is growing as the company rolls out its identity into new markets. However, it retains local names and imagery in markets where this is essential to maintaining the trust of customers. To help promote its image worldwide, Vodafone uses leading sports stars from high profile global sports, including David Beckham and Michael Schumacher. This Case Study concentrates on how such promotion can help to keep a leading brand at the forefront of public awareness.
Timeline
1992: Hutchison Whampoa and Max Group establish Hutchison Max
2000: Acquisition of Delhi operations and entry into Calcutta (now Kolkata) and Gujarat
markets through Essar acquisition
2001: Won auction for licences to operate GSM services in Karnataka, Andhra
Pradesh and Chennai
2003: Acquired AirCel Digilink (ADIL — ESSAR Subsidiary) which operated in
Rajastan, Uttar Pradesh East and Haryana telecom circles and rebranded it 'Hutch'.
2004: Launched in three additional telecom circles of India namely Punjab, Uttar
Pradesh (West) and West Bengal.
2005: Acquired BPL Mobile operations in 3 circles. This left BPL with operations only in
Mumbai, where it still operates under the brand 'Loop Mobile'.
2007: Vodafone acquires a 67% stake in Hutchison Essar for $10.7 billion. The
company is renamed Vodafone Essar. 'Hutch' is rebranded to 'Vodafone'.
2008: Vodafone acquires the licences in remaining 7 circles and has starts its pending
operations in Madhya Pradesh circle, as well as in Orissa, Assam, North East and
Bihar.
VISION
Our Vision is to be the world’s mobile communication leader – enriching customers’
lives, helping individuals, businesses and communities be more connected in a mobile
world.
MISSION
Driving in a wireless worldVodafone is primarily a user of technology rather than a developer of it, and this
fact is reflected in the emphasis of our work programme on enabling new applications of mobile communications, using new technology for new services, research for improving operational efficiency and quality of our networks, and providing technology vision and leadership that can contribute directly to business decisions.
SWOT ANALYSIS
Strengths: The kind of subscriber bas it has in the indian market. It has the 2nd higest market share in India . It has a 2nd higest subscriber base in India 1st being airtel Its strong advertising startiges and impact on people Its Indias 3rd biggest mobile carrier The brand name it has in the Indian market
Weaknesses: Low R&D Ubiquitiouegory, products, services High customer churn (33.33%) Rural India unable to relate to the brand Poor network coverage
Opportunities: Emerging markets and expansion abroad Innovation Product and services expansion Growing data business and 3G auctioning VAS as a means to increase ARPU (big boss, Zoo Zoo) Growing Enterprise solution market Large capital can be raised by listing Vodafone on Indian Stock
Exchange(IPO) Tower sharing business with Indus Towers
Threats: Highly competitive Still lags behind
Extremely high
Product Mix
Post paid Prepaid Phones
Blackberry Services iPhones Magic Box
VAS Entertainment & Lifestyle Games, Downloads & Applications Social Networking Mail & Messaging Devotional News & Finance Travel & Transportation Caller Management Services
Online Anywhere 3Gworld
Price Mix
Vodafone wants to make its services accessible to as many people as possible: from the young, through apprentices and high powered business executives, to the more mature users.
It offers various pricing structures to suit different customer groups. Monthly price plans are available as well as prepay options. Phone users can top
up their phone on line. Vodafone UK gives NECTAR reward points for every £1 spent on calls, text
messages, picture messages and ring tones.
MARKETING STRATEGIES
M a r k e t
Vodafone has targeted th bottom of the pyramid- VK Prahalad Concept
M arket s eg m en t a ti on: Vodafone is adopting a multi-segment approach.
G eograph i cal s eg m en t a ti on – metropolitan & cities India
Vodafone wants to expand into the Asian markets.
India has 2nd largest market for mobile. It is growing at the rate of 6
million subscribers per month.
D e m ograph i c s eg m en t a t i on: low & middle income group
T arget m arke t :
Market from urban areas from middle and upper middle class families
Youngsters in big cities
Businessmen
Po s iti on i ng: -
“Where you go the network follows you” by Hutch, now Vodafone
Ads and promotion
M arke ti ng mi x:
Price-low price strategy
Place-maximum outlets and service centers
Product -varieties available for various group
Promotion -various schemes for prepaid and
postpaid
Market i ng O bject i ves
Vodafone says that they want to be the top mobile service provider of
India by the end of the year 2010
Market ing St rat egy
Our strategic objective is Innovate and delivers on our
customers’ total communications needs.
Vodafone, too, needed to educate consumers about cellular
telephony: - Can I call STD?
Can I use my phone in
a lift? What is airtime?
Vodafone also communicates regularly with its customers to keep them well
informed of the benefits of all Vodafone products.
Focus on free cash flow generation and execution
Progress
Drive operational performance
– Value enhancement
– Cost reduction
– Launched new products in a number of markets, which offer customers more value in return for increased commitment– Accelerated £1 billion cost reduction programme;expect to achieve 65% in Pursue growth
opportunities in total communications
– Mobile data– Enterprise
– Broadband
– Expanded range of data devices with the BlackBerry Storm, iPhone and netbooks with built- in broadband– Revenue growth of 9% in Vodafone GlobalEnterprise– 1 million new fixed broadband customers; Execute in emerging
markets– Delivery in existing markets
– Selective expansion/ cautious
– Nationwide footprint in India– Commenced operations in Qatar since year end– Acquired Gateway in Africa to strengthen total communications portfolio
Strengthen capital discipline
– Shareholder returns
– Clear priorities for surplus capital
– Returned over 87% of free cash flow before license and spectrum payments to shareholders in the 2009 financial year– In-market consolidation through merger ofVodafone Australia with Hutchison 3G Australia
Brand am bassadors:
H u t c h , as a brand, always tried to connect with consumers in a simple,
honest and real manner,
The “The Hutch pug.” and the actor Irfan Khan were retained for
the brand promotions.
While V odafone - a younger and fun brand. Z oozoo en t ers m arket
ZooZoo, small pseudo-animated character with big egg-shaped head,
round belly but extremely thin arms and legs, the new brand ambassador of
Vodafone, has created a furor in the advertising industry. Zoozoos have been
successful in giving Vodafone a makeover and establishing maximum brand
presence.
CHAPTER 3:
COMPARATIVE STUDY OF AIRTEL
VODAFONE
BHARTI AIRTEL VS VODAFONE ESSAR
Bharti Airtel Limited, a group company of Bharti Enterprises, is a leading emerging markets telcom with operations in 18 countries across Asia and Africa. The company has over 185 million customers across its operations. Bharti Airtel has been ranked among the six best performing technology companies in the world by Business Week.
Vodafone Essar is the Indian subsidiary of Vodafone Group and commenced operations in 1994 when its predecessor Hutchison Telecom acquired the cellular license for Mumbai. The company now has operations across the country with over 100 million customers. Vodafone is the world's leading international mobile communications group with approximately 333 million proportionate customers as on 31 December 2009. Vodafone currently has equity interests in 31 countries across five continents and around 40 partner networks worldwide.
Bharti Airtel -
1. Market segmentation - Geographical segment (metropolitans & cities India) Demographic segment - middle income groups People age group of 20 to 28 year
2. Target marketing - People who living in cities and towns. Poor or middle income group people. Youngsters in big cities. Businessmen
3. Positioning - Creating brands (Sharukh khan & Sachin Tendulker) Ads and promotions Promotion for study of poor childrens
4. Marketing mix - Price: low price strategy Place: maximum outlets and service centers Product: verities available for various groups Promotion: various schemes for pre-paid and post-paid.
Vodafone
Vodafone target the rural India. The main targeted customers of Vodafone are from rural India. By offering cheap and light mobile sets Vodafone attracts most of the customers of small villages and towns. Offering cheap handsets Vodafone offers cheap and free connections to all customers. The cost for these sets was Rs-799-849-1099 per set and onward. In every district and big towns Vodafone opens its service centers to provide better support and services
Strong logistics and supply chain Vodafone has a strong logistic and supply all over India. In every small town the potential customers can easily purchase the Vodafone SIM & Sets. Targeting youngsters in metropolitans Vodafone attracts youngsters by offering colorful handset at very low prices.
BRAND POSITIONING BY VODAFONE
1. Market segmentation Geographical segment (rural India) Demographic segment - middle income groups
2. Target marketing People living in small towns and villages. Poor and middle income groups. Youngsters in big cities. Businessmen
3. Positioning Creating brands Ads and promotions
4. Marketing mix Price : low price strategy Place : maximum outlets and service centers Product : verities available for various groups Promotion: various schemes for pre-paid and post-paid
CHAPTER 4:LIMITATION
The market of Telecommunication is too vast and it is not possible to cover each and every service provider.
CHAPTER
SUGGESTION
Following are the few suggestions to Airtel and Vodafone for improving the market share and image of the products concerned.
The brands must be made available easily in, PCO & general stores. Company must undertake extensive promotional activities like advertisements
must be released in different Medias to create brand awareness. Sales promotion tools like gifts, contests and coupons must be given to
retailers as well as customers and prospects. Catalogues should be distributed among customers. Price should be as competitive as other company maintains . Distribution of new connection should be in reach of customer pocket.
CHAPTER
CONCLUSION
After doing that all study we can conclude that yes the Gap
exist there in telecommunication industry. Consumers have a lot of
expectations from their service provider that are not performed or
deliver by their companies. As we know that consumer expect from
Vodafone to improve its customer care service that can be found
busy most of the times.
Now users of Airtel have rated it as a best company for value of
money but still they are not satisfied with some of company’s
strategies. So this is the Gap between Airtel users and company
performance.
Then we have example of Vodafone. Users of Vodafone are
not satisfied with company customer care service as it is a difficult
process because one has to wait a lot or call again and again to talk
with a customer care representative.
Airtel performance is good but Gap exists not just with Airtel, but
with all the companies in the industry. Various VAS (Value
Added Services) provided by company does not seems to be
satisfying their users. Customers are not satisfied with SMS pack that
is perceived costlier as compare to others companies SMS packs
by Airtel users.
Airtel is to be found the best service provider of network service and
customer care service as well. This is one company in the industry
that can be found delivering as per their customer expectations.
That’s why customers have rated it not as satisfactory but excellent.
But one has to pay more for superior service and Airtel is one
example of such service. Users of Airtel paying more for value
added services. And they expect from company to offer some of the
VAS at some of the competitive prices.
Price is the only Gap exists in Airtel between company and users.
CHAPTER
BIBLIOGRAPHY
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http://en.wikipedia.org/wiki/Bharti_Airtel#India
http://en.wikipedia.org/wiki/Vodafone_Essar
http://www.wikiswot.com/SWOT/4_User_Generated/Vodafone_India.html
http://en.wikipedia.org/wiki/Communications_in_India
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