impact of mergers and acquisitions on brands

8/8/2019 Impact of Mergers and Acquisitions on Brands

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Impact of Mergers and Acquisitions

on Brands

Hutch is now Vodafone

Group 2

Aniruddha Ghoshal(09P065)

Anshu Sharma(09P067)

Anunay Priyesh(09P069)Arjun M. (09P070)

Kanika Narang(09P086)



Brand Hutch

Brand Element

Brand Logo

Brand Slogan Wherever you go our Network

follows

Hi Hutch

Brand

Ambassador



Brand Hutch

Hutch has a very strong personality. The slogan Whereveryou go our network follows was closely tied with theHutch-Pug campaign

The ads had a very simple message that was communicatedthrough a dog with a backdrop of beautiful song

The Hutch network was personified as dog and the hutchbrand automatically drew the personality of being

adorable, cute

The pug became the brand ambassador and hutchleveraged the popularity of pug and used it in all itscommunications



Brand Vodafone

Brand Element

Brand Logo

Brand Slogan

follows

Brand

Ambassador

³Happy to help´



Brand Vodafone

Vodafone is of the leading global brands in the world and

in the brand value ranking 2008, Vodafone is ranked as

11th in the world and 2nd in Europe

Vodafone brand enjoys image of being youthful, cutting

edge, high on features (value added services), with high

spends in R&D

Vodafone spent around 50 million USD (250 crores INR)

for its brand transitioning



Brand Vodafone

Vodafones services were personified as quirky and lively

named ZooZoo

The comical way of communicating the message brought

in the good old connection what Hutch earlier had with

people

Vodafone could have forced its global appeal to Indian

market but it created a whole new persona for itself in

the Indian telecom market



Methodology

Sources of Data Collection:

a) Secondary Data Collection

Internet - Market share and subscribers base increment data

from the website of Cellular Operators Association of

India taken as an indicator of public sentiment regarding

the merger

b) Primary Data Collection:

Data Collection Tool : Online questionnaire aimed at

measuring:

a) Brand recall for Hutch and its brand elements

b) Effectiveness of Vodafones rebranding exercise

Sample size : 45



Secondary findings

30.25%

23.91%15.13%

15.05%

8.74%3.87%

1.13% 1.01%

0.67%

0.24%

Group Company wise % market share - Mar'2010

Bharti Airtel

Vodafone Essar

IDEA

BSNL

Aircel

Reliance Telecom

MTNL

Uninor

Loop Mobile

Stel



Secondary Findings

Sl. No.Name of

Company

Total Sub Figur es(20

07)

% MarketShar e(2007

)

Total Sub Figur es(20

10)

% MarketShar e(2010

)

% gr owthabsolute

gr owth

% of NewSubscr iber

s

1Bhar ti

Air tel37141210 30.59% 127619314 30% 244% 90478104 30%

2 BSNL 27428884 22.59% 63486339 15% 131% 36057455 12%

3Hutchison

Essar 26441838 21.78% 100858358 24% 281% 74416520 25%

4 IDEA 14010551 11.54% 63824688 15% 356% 49814137 17%

5 Air cel 5514467 4.54% 36861174 9% 568% 31346707 10%

6Reliance

Telecom4347593 3.58% 16311206 4% 275% 11963613 4%

7 MTNL 2746814 2.26% 4784453 1% 74% 2037639 1%

8 Spice 2728956 2.25%

9 BPL 1070853 0.88%

All India 121431166 100.00% 421860978 100% 247% 300429812



Survey Results

Yes56%

No

44%

Do you recall the colour of hutch

logo?

Correct

Response

89%

Incorrect

Response

11%

What was the leading character in

the ads of Hutch?

Yes

78%

No

22%

Do you recall the new ads broadcasted

after the Hutch-Vodafone merger took

place?

Correct

Response

89%

Incorrect

Response

11%

What color is the Vodafone logo?



Survey Findings

Majority of respondents recalled Brand Hutch and its brand

elements which speaks volumes of the strong brand

personality of Hutch, pug being its the strongest brand asset

A significant majority of respondents recalled Vodafone ads

post Hutch-Vodafone merger suggesting that Vodafone has

been effective in its rebranding exercise

Vodafone has been able to successfully innovate through its

ads just as Hutch used to, Zoo zoos have been the biggest

brand endorser for Vodafone



Our observations

The Brand as per our observation has undergone the

following shifts in terms of Brand image:

Warmth

Care

Cuteness

Ebullient

Jovial

Collectivistic

Sincerity Excitement



Rebranding lessons

Take lessons from the predecessor

a. Choose simple yet powerful brand elements

b. Connect to your audience and constantly innovate

through ads

impact of mergers and acquisitions on brands

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