Vodafone Project 2011

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S
Introduction:
Customer satisfaction, a business term, is a measure of how products and services supplied by a company meet or surpass customer expectation. It is seen as a key performance indicator within business and is part of the four perspectives of a Balanced Scorecard. In a competitive marketplace where businesses compete for customers, customer satisfaction is seen as a key differentiator and increasingly has become a key element of business strategy. There is a substantial body of empirical literature that establishes the benefits of customer satisfaction for firms.
3.2) Measuring customer satisfaction

Organizations are increasingly interested in retaining existing customers while targeting non-customers; measuring customer satisfaction provides an indication of how successful the organization is at providing products and/or services to the marketplace. Customer satisfaction is an ambiguous and abstract concept and the actual manifestation of the state of satisfaction will vary from person to person and product/service to product/service. The state of satisfaction depends on a number of both psychological and physical variables which correlate with satisfaction behaviors such as return and recommend rate. The level of satisfaction can also vary depending on other options the customer may have and other products against which the customer can compare the organization's products. Because satisfaction is basically a psychological state, care should be taken in the effort of quantitative measurement, although a large quantity of research in this area has recently been developed. Work done by Berry, Brodeur between 1990 and 1998 defined ten 'Quality Values' which influence satisfaction behavior, further expanded by Berry in 2002 and known as the ten domains of satisfaction.
Bapuji Academy Of Management & Research, DAVANAGERE
These ten domains of satisfaction include: Quality, Value, Timeliness, Efficiency, Ease of Access, Environment, Inter-departmental Teamwork, Front line Service Behaviors, Commitment to the Customer and Innovation. These factors are emphasized for continuous improvement and organizational change measurement and are most often utilized to develop the architecture for satisfaction measurement as an integrated model. Work done by Parasuraman, Zeithaml and Berry between 1985 and 1988 provides the basis for the measurement of customer satisfaction with a service by using the gap between the customer's expectation of performance and their perceived experience of performance. This provides the measurer with a satisfaction "gap" which is objective and quantitative in nature. Work done by Cronin and Taylor propose the "confirmation/disconfirmation" theory of combining the "gap" described by Parasuraman, Zeithaml and Berry as two different measures (perception and expectation of performance) into a single measurement of performance according to expectation. According to Garbrand, customer satisfaction equals perception of performance divided by expectation of performance. The usual measures of customer satisfaction involve a survey with a set of statements using a Likert Technique or scale. The customer is asked to evaluate each statement and in term of their perception and expectation of performance of the organization being measured.
Industry Profile:
1.1)
Introduction:
The telecom network in India is the fifth largest network in the world meeting up
with global standards. Presently, the Indian telecom industry is currently slated to an estimated contribution of nearly 1% to Indias GDP. The Indian Telecommunications network with 110.01 million connections is the fifth largest in the world and the second largest among the emerging economies of Asia. Today, it is the fastest growing market in the world and represents unique opportunities for U.S. companies in the stagnant global scenario. The total subscriber base, which has grown by 40% in 2005, is expected to reach 250 million in 2007. According to Broadband Policy 2004, Government of India aims at 9 million broadband connections and 18 million internet connections by 2007. The wireless subscriber base has jumped from 33.69 million in 2004 to 62.57 million in FY2004- 2005. In the last 3 years, two out of every three new telephone subscribers were wireless subscribers. Consequently, wireless now accounts for 54.6% of the total telephone subscriber base, as compared to only 40% in 2003. Wireless subscriber growth is expected to bypass 2.5 million new subscribers per month by 2007. The wireless technologies currently in use are Global System for Mobile Communications (GSM) and Code Division Multiple Access (CDMA). There are primarily 9 GSM and 5CDMA operators providing mobile services in 19 telecom circles and 4 metro cities, covering 2000 towns across the country.
1.2) Year
1851 1881 1883 1923 1932 1947
Evolution of the Industry - Important Milestones: Description

First operational land lines were laid by the govt. near Calcutta(seat of British Power) Telephone Service introduced in India Merger with the postal system Formation of Indian Radio Telegraph Company (IRT) Merger of ETC and IRT into the Indian Radio and Communication Company(IRCC) Nationalization of all foreign telecommunication companies to form the Posts, Telephone and Telegraph(PTT), a monopoly run by the governments Ministry of Communication Department of Telecommunications (DOT) established, an exclusive provider of domestic and long-distance service that would be its own regulator (separate from the postal system) Conversion of DOT into two wholly government-owned companies: the Videsh Sanchar Nigam Limited (VSNL) for international telecommunications and Mahanagar Telephone Nigam Limited (MTNL) for service in metropolitan areas. Telecom Regulatory Authority of India created Cellular Services are launched in India. New National Telecom Policy is adopted. DoT becomes a corporation, BSNL
1985
1986
1997 1999 2000
(Source: The Indian Telecom Industry by consulting club, IIM Calcutta)
1.3)
Major Players:
There are three types of players in telecom services: State owned companies (BSNL and MTNL) Private Indian owned companies (Reliance Infocomm, Tata Teleservices) Foreign invested companies (Vodafone-Essar, Bharti Tele-Ventures, Escotel, Idea Cellular, BPL Mobile, Spice Communications) India's mobile telecom sector is one of the fastest growing sectors. Unlike in the 1990s when the mobile phone was an elitist product, mobile operators now tap a mass market with mass marketing techniques. "Unified licensing" rules allow basic and mobile operators into each others territory, and have ushered in perhaps the final phase of industry consolidation.
Bapuji Academy Of Management & Research, DAVANAGERE 4
It seems that only companies with deep pockets can effectively compete as primary operators mobile markets. Economies of scale, scope, and end-to-end presence in longdistance as well as local telecom, are desirable.
There are, besides, new challenges. Operators have to find new growth drivers for the wire line business. There are problems of getting broadband to take off, of technology choice, of when to introduce new technologies, and of developing a viable business model in an era of convergence
1.4)
Growth of mobile technology:

India has the fastest growing mobile markets in the world. The mobile services
were commercially launched in August 1995 in India. In the initial 5-6 years the average monthly subscribers additions were around 0.05 to 0.1 million only and the total mobile subscribers base in December 2002 stood at 10.5 millions. However, after the number of proactive initiatives taken by regulator and licensor, the monthly subscriber additions increased to around 2 million per month in the year 2003-04 and 2004-05. Although mobile telephones followed the New Telecom Policy 1994, growth was tardy in the early years because of the high price of hand sets as well as the high tariff structure of mobile telephones. The New Telecom Policy in 1999, the industry heralded several pro consumer initiatives. Mobile subscriber additions started picking up. The number of mobile phones added throughout the country in 2003 was 16 million, followed by 22 millions in 2004, 32 million in 2005 and 65 million in 2006. The only countries with more mobile phones than India with 156.31 million mobile phones are China 408 million and USA 170 million. India has opted for the use of both the GSM (global system for mobile communications) and CDMA (code-division multiple access) technologies in the mobile sector. The mobile tariffs in India have also become lowest in the world. A new mobile connection can be activated with a monthly commitment of US$ 5 only. In 2005 alone 32 million handsets were sold in India. The data reveals the real potential for growth of the Indian mobile market.
1.5)
Cellular Service Providers:
As on Apr 2007 India has 167 million mobile phone subscribers. Out of this 125 million are GSM users and 41 million CDMA users. BSNL, BhartiAirtel, Hutch, Idea, Aircel, Spice and MTNL are the main GSM providers in India. Reliance Communications and Tata Indicom are the main CDMA providers in India.
Vodafone Vodafone is another emerging GSM provider in India with coverage in Kerala, Mumbai, Delhi, Kolkata, Chennai, Gujarat, Andhra Pradesh, Karnataka and Punjab with a total subscriber base of 27 million.
Bharat Sanchar Nigam Limited (BSNL) BSNL is a state owned telecom company which has GSM presence in almost every cities and towns. BSNL has 27 million subscribers with a market share of 16%.
BhartiAirtel Airtel is providing cellular services in Delhi, Mumbai, Kolkata, Chennai, Andhra Pradesh, Gujarat, Haryana, Himachal Pradesh, Jammu and Kashmir, Karnataka, Kerala, Madhya Pradesh, Maharashtra, Goa, Orissa, Punjab, Rajasthan, Tamil Nadu, UP and West Bengal. Airtel is the No.1 cellular service provider in India using GSM technology. Airtel has 23% market share in India with a total subscriber base of 38 million.
Reliance Communications Reliance has both CDMA and GSM networks and total subscriber base of 29 million or 17% market share. It has GSM network in Assam, Bihar, Himachal Pradesh, Kolkata, North East, Madhya Pradesh, Orissa and West Bengal. Reliance has CDMA networks in other states and cities Tata Indicom Tata Indicom is a main CDMA provider in India with 16 million subscribers all over India. Tata Indicom has presence in almost every state and cities in India.
COMPANY PROFILE:
2.1) Introduction:
Vodafone is a mobile network operator headquartered in Berkshire, England, UK. It is the largest mobile telecommunications network company in the world by turnover and has a market value of about 75 billion (August 2008). Vodafone currently has operations in 25 countries and partner networks in a further 42 countries. The name Vodafone comes from Voice data fone, chosen by the company to "reflect the provision of voice and data services over mobile phones." As of 2006 Vodafone had an estimated 260 million customers in 25 markets across 5 continents. On this measure, it is the second largest mobile telecom group in the world behind China Mobile. In the United States, Vodafone owns 45% of Verizon Wireless.
2.2)Mission:
Vodafone is primarily a user of technology rather than a developer of it, and this fact is reflected in the emphasis of our work program 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.
2.3) Vision:
Our Vision is to be the worlds mobile communication leader enriching customers lives, helping individuals, businesses and Communities be more connected in a mobile world.
2.4) History:
In 1982 Racal Electronics plc's subsidiary Racal Strategic Radio Ltd. won one of two UK cellular telephone network licenses. The network, known as Racal Vodafone was 80% owned by Racal, with Millicom and the Hambros Technology Trust owning 15% and 5% respectively. Vodafone was launched on 1 January 1985. Racal Strategic Radio was renamed Racal Telecommunications Group Limited in 1985. On 29 December 1986 Racal Electronics bought out the minority shareholders of Vodafone for GB110 million. In September 1988 the company was again renamed Racal Telecom and on 26 October 1988 Racal Electronics floated 20% of the company. The flotation valued Racal Telecom at GB1.7 billion On 16 September 1991 Racal Telecom was demerged from Racal Electronics as Vodafone Group. In July 1996 Vodafone acquired the two thirds of Talkland it did not already own for 30.6 million. On 19 November 1996, in a defensive move, Vodafone purchased Peoples Phone for 77 million, a 181 store chain whose customers were overwhelmingly using Vodafone's network. In a similar move the company acquired the 80% of Astec Communications that it did not own, a service provider with 21 stores.
circl ; t
suggesting conversation. On 29 June 1999 Vodafone completed its purchase of AirTouch Communications, Inc. and changed its name to Vodafone Airtouch plc. Trading of the new company commenced on 30 June 1999. To approve the merger, Vodafone sold its 17.2% stake in E Plus Mobilfunk. The acquisition gave Vodafone a 35% share of Mannesmann, owner of the largest German mobile network.
Vodafones original logo used until the introduction of the speech mark logo in 1998.
those of Bell Atlantic Corp to form Veri on Wireless. The merger was completed on 4 April 2000. In November 1999 Vodafone made an unsolicited bid for Mannesmann, which was rejected. Vodafone's interest in Mannesmann had been increased by the latter's purchase of Orange, the UK mobile operator. Chris Gent would later say Mannesmann's move into the UK broke a "gentleman's agreement" not to compete in each other's home territory. The hostile takeover provoked strong protest in Germany and a "titanic struggle" which saw Mannesmann resists Vodafone's efforts. However, on 3 February 2000 the Mannesmann board agreed to an increased offer of 112bn, then the largest corporate merger ever. The EU approved the merger in April 2000. The conglomerate was subsequently broken up and all manufacturing related operations sold off.
Bapu i Academy Of Management & Research DAVANAGERE

M R C R R C
i t O's in t
it Speech mark l
as it is a quotation mark in a
Vodafone logot
e are opening and closing quotation marks,
On 21 September 1999 Vodafone agreed to merge its U.S. wireless assets with
On 28 July 2000 the Company reverted to its former name, Vodafone Group Plc. In April 2001 the first 3G voice call was made on Vodafone United Kingdom's 3G network. In 2001 the Company took over Eircell, then part of eircom in Ireland, and rebranded it as Vodafone Ireland. It then went on to acquire Japan's third-largest mobile operator J-Phone, which had introduced camera phones first in Japan. On 17 December 2001 Vodafone introduced the concept of "Partner Networks" by signing TDC Mobil of Denmark. The new concept involved the introduction of Vodafone international services to the local market, without the need of investment by Vodafone. The concept would be used to extend the Vodafone brand and services into markets where it does not have stakes in local operators. Vodafone services would be marketed under the dual-brand scheme, where the Vodafone brand is added at the end of the local brand. (i.e., TDC Mobil-Vodafone etc.) In February 2002 Finland was added into the mobile community, as Radiolinja is signed as a Partner Network. Radiolinja later changed its named to Elisa. Later that year the Company rebranded Japan's J-sky mobile internet service as Vodafone live! and on 3 December 2002 the Vodafone brand was introduced in the Estonian market with signing of a Partner Network Agreement with Radiolinja (Eesti). Radiolinja (Eesti) later changed its name to Elisa. On 7 January 2003 the Company signed a group-wide Partner agreement with mobilkom Austria. As a result, Austria, Croatia, and Slovenia were added to the community. In April 2003 Og Vodafone was introduced in the Icelandic market and in May 2003 Vodafone Italy (Omnitel Pronto-Italia) was rebranded Vodafone Italy. On 21 July 2003 Lithuania was added to the community, with the signing of a Partner Network agreement with Bit . In February 2004 Vodafone signed a Partner Network Agreement with Luxembourg's LuxGSM and a Partner Network Agreement with Cyta of Cyprus. Cyta agreed to rename its mobile phone operations to Cytamobile-Vodafone. In April 2004 the Company purchased Singlepoint airtime provider from John Caudwell (Caudwell Group) and approx 1.5million customers onto its base for 405million, adding sites in Stoke on Trent (England) to existing sites in Newbury (HQ), Birmingham, Warrington and Banbury.
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In November 2004 Vodafone introduced 3G services into Europe. In June 2005 the Company increased its participation in Romania's Connex to 99% and also bought the Czech mobile operator Oskar. On 1 July 2005 Oskar of the Czech Republic was rebranded as Oskar-Vodafone. Later that year on 17 October 2005 Vodafone Portugal launched a revised logo, using new text designed by Dalton Maag, and a 3D version of the Speech mark logo, but still retaining a red background and white writing (or vice versa). Also, various operating companies started to drop the use of the SIM card pattern in the company logo. (The rebranding of Oskar-Vodafone and Connex-Vodafone also does not use the SIM card pattern.) A custom typeface by Dalton Maag (based on their font family InterFace) formed part of the new identity. On 28 October 2005 Connex in Romania was rebranded as Connex-Vodafone and on 31 October 2005 the Company reached an agreement to sell Vodafone Sweden to Telenor for approximately 1 billion. After the sale, Vodafone Sweden became a Partner Network. In December 2005 Vodafone won an auction to buy Turkey's second-largest mobile phone company, Telsim, for $4.5 billion. In December 2005 Vodafone Spain became the second member of the group to adopt the revised logo: it was phased in over the following six months in other countries In 2006 the Company rebranded its Stoke-on-Trent site as Stoke Premier Centre, a centre of expertise for the company dealing with Customer Care for its higher value customers, technical support, sales and credit control. All cancellations and upgrades started to be dealt with by this call centre. On 5 January 2006 Vodafone announced the completion of the sale of Vodafone Sweden to Telenor. On February 2006 the Company closed its Birmingham Call Centre. In 1 February 2006 Oskar Vodafone became Vodafone Czech Republic, adopting the revised logo and on 22 February 2006 the Company announced that it was extending its footprint to Bulgaria with the signing of Partner Network Agreement with Mobiltel, which is part of mobilkom Austria group.
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On 12 March 2006 former chief, Sir Christopher Gent, who was appointed the honorary post Chairman for Life in 2003, quits following rumours of boardroom rifts. In April 2006 the Company announced that it has signed an extension to its Partner Network Agreement with BITE Group, enabling its Latvian subsidiary "BITE Latvija" to become the latest member of Vodafone's global partner community. Also in April 2006 Vodafone Sweden changed its name to Telenor Sverige AB and Connex-Vodafone became Vodafone Romania, also adopting the new logo. On 30 May 2006 Vodafone announced the biggest loss in British corporate history (14.9 billion) and plans to cut 400 jobs; it reported oneoff costs of 23.5 billion due to the revaluation of its Mannesmann subsidiary. On 24 July 2006 the respected head of Vodafone Europe, Bill Morrow, quit unexpectedly and on 25 August 2006 the Company announced the sale of its 25% stake in Belgium's Proximus for 2 billion. After the deal, Proximus was still part of the community as a Partner Network. On 5 October 2006 Vodafone announced the first single brand partnership with Og Vodafone which would operate under the name Vodafone Iceland and on 19 December 2006 the Company announced the sale of its 25% stake in Switzerland's Swisscom for CHF4.25 billion (1.8 billion). After the deal, Swisscom would still be part of the community as a Partner Network. Finally in December 2006 the Company completed the acquisition of Aspective, an enterprise applications systems integrator in the UK, signaling Vodafone's intent to grow a significant presence and revenues in the ICT marketplace. Early in January 2007 Telsim in Turkey adopted Vodafone dual branding as Telsim Vodafone and on 1 April 2007 Telsim Vodafone Turkey dropped its original brand and became Vodafone Turkey. On 1 May 2007 Vodafone added Jersey and Guernsey to the community, as Airtel was signed as Partner Network in both crown dependencies. In June 2007 the Vodafone live! Mobile Internet portal in the UK was relaunched. Front page was now charged for and previously "bundled" data allowance was removed from existing contract terms. All users were given access to the "full" web rather than a Walled Garden and Vodafone became the first mobile network to focus an entire media campaign on its newly launched mobile Internet portal in the UK. On 1 August 2007 Vodafone Portugal launched Vodafone Messenger, a service with Windows Live Messenger and Yahoo! Messenger.
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On 17 April 2008 Vodafone extended its footprint to Serbia as VIP mobile was added to the community as a Partner Network and on 20 May 2008 the Company added VIP Operator as a Partner Network thereby extending the global footprint to Macedonia. In May 2008 Kall of the Faroe Islands rebranded as Vodafone Faroe Islands. On 30 October 2008, the company announced a strategic, non-equity partnership with MTS group of Russia. The agreement adds Russia, Armenia, Turkmenistan, Ukraine, and Uzbekistan to the group footprint.
2.5) VODAFONE ESSAR

2.5.1) Introduction:
Vodafone Essar, previously Hutchison Essar is a cellular operator in India that covers 21 telecom circles in India. Despite the official name being Vodafone Essar, its products are simply branded Vodafone. It offers both prepaid and postpaid GSM cellular phone coverage throughout India and is especially strong in the major metros. Vodafone Essar provides 2G services based on 900 MHz and 1800 MHz digital GSM technology, offering voice and data services in 22 of the country's 23 licence areas.
2.5.2) Ownership:
Vodafone Essar is owned by Vodafone 52%, Essar Group 33%, and other Indian nationals, 15%. On February 11, 2007, Vodafone agreed to acquire the controlling interest of 67% held by Li KaShing Holdings in Hutch-Essar for US$11.1 billion, pipping Reliance Communications, Hinduja Group, and Essar Group, which is the owner of the remaining 33%. The whole company was valued at USD 18.8 billion. The transaction closed on May 8, 2007.
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2.6) Previous brands:

In December 2006, Hutch Essar re-launched the "Hutch" brand nationwide, consolidating its services under a single identity. The Company entered into agreement with NTT DoCoMo to launch i-mode mobile Internet service in India during 2007. 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 to Vodafone on 20 September 2007. On September 20, 2007 Hutch becomes Vodafone in one of the biggest brand transition exercises in recent times. Along with the transition, cheap cell phones have been launched in the Indian market under the Vodafone brand. There are plans to launch co-branded handsets sourced from global vendors as well. 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." .
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CUSTOMER SATISFACTION TOWAR S VODAFONE SERVICES
SWOT Anal sis:

SWOT ly i is a strategic planning method used to evaluate the Strengths,
Weaknesses, Opportunities, and Threats involved in a project or in a business ventu It re. involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieving that objective. The technique is credited to Albert Humphrey, who led a research p roject at Stanford University in the 1960s and 1970s using data from Fortune 500 companies.
Strengths
Leadership Position Global Brand Strength High Geographical reach
Centralized Flexibility
High Consumer churn rates
I e
al
Market driver
pp
i ie
Th ea
Expanding marketing boundaries Growth through 3G Strategic Alliances
Increased Competition Market saturation in Europe Emergencies of Low cost Brands
Ex e
al

!
Weak e
Control
Low
!
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SWOT analysis of Vodafone
3.1) Strengths:
The main strength of Vodafone within the telecommunications market lies in its brand image and recognition. Vodafone, having established a global presence and having invested highly in marketing a differentiated image by promoting a Vodafone life style, currently enjoys a differentiating advantage that, if exploited properly, can offer a lead in competition. The presence of Vodafone in numerous countries within Europe as well as in all part of the world enhances this image. It allows customers to travel and enjoy easily the services of their home country operator. In the few countries that Vodafone is not physically present (e.g. Norway) it has well established strategic alliances which allow for a better service of mobile clients.
3.2) Weaknesses:
The expansion of Vodafone has been completed at the expense of direct control of its operations. The company grew through a process of acquisitions of national telecommunications companies (e.g. the acquisition of the third biggest Czech mobile phone operator, Cesky mobile) rather than organic growth. This increased its subscribers base quickly, offering direct market knowledge and immediate additions of customer bases at the expense of direct effective control of the subsidiaries. At the same time though, it implicitly imposed a centralized operational structure for the group, nominating the UK headquarters as the leading business unit running a much centralised marketing and handset procurement at group level. This has resulted in the neglect of local markets and local differences, allowing market share to be gained by smaller local competitors. Due to the highly saturated Western European market this has resulted in an increase in the price elasticity of demand, with consumers becoming continuously price oriented. This has resulted in high customer churn rates reaching the level of 32.8% in the UK compared to O2s 24%.
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3.3) Opportunities:
The telecommunications market, even though highly saturated in some regions offers great potential due to the ageing population and the sophistication of the consumers. It offers great opportunities through a careful market segmentation and exploitation of particular profitable segments. Different strategies should be pursued simple phones and simplified pricing plans to the ageing population and more updated, sophisticated solutions for younger generations. The expanding Boundaries of the market could provide further opportunities by allowing Vodafone to enter more aggressively into fixed line service and to better enjoy the benefits of its high investment in 3G technology. Moreover the company has undertaken its first steps in establishing strategic alliances to develop customized solutions for end users: Vodafone recently announced two new partnerships, one with supermarket group ASDA to launch an ASDA branded mobile service in the UK, and another with electrical retailer DSG International to provide mobile solutions to small businesses. This could further be enhanced to avoid being a late entrant in this new method of distribution which offers access to a wide potential customer base.
3.4) Threats:
The European part of Vodafones market is characterized by existing high levels of competition. Major brands such as O2 and T Mobile are exploiting the price sensitivity of customers and in this way they are building a stronger image and presence in the market. Indirect competition is also increasing further, through the presence of Skype and other related (not only voice) Internet based services. This combined with the upcoming European legislative measures is expected to limit further the tariffs for the network providers imposing further need for price cuts which could harm the bottom line profitability of the company.
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RESEARCH METHODOLOGY:
Introduction:
Marketing research means the systematic gathering, recording, analyzing of data about problems relating to the marketing of goods and services Marketing research has proved an essential tool to make all the need of marketing management. Marketing research therefore is the scientific process of gathering and analyzing of marketing information to meet the needs of marketing management. But gathering of observation is must be systematic. The systematic conduct of research requires: Orderliness, in which the measurements are accurate. Impartiality in analysis and interpretation.
All of research can be categorized into basic and applied. 1. BASIC RESEARCH: - Basic Research is that intended to expand the body of knowledge for the use of others. 2. APPLIED RESEARCH: - Applied Research is one, which is carried out to find the solution for a particular problem or for guiding a specific decision. It is usually private in nature. My research on Vodafone is carried on for guiding specific decisions and its results are useful only to Vodafone for taking particular decision regarding product quality, staff and security. Hence the nature of my research study is APPLIED RESEARCH .
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4.1)
Objectives of Study:
Following are the main objective to study about the customer satisfaction on Vodafone. To study telecommunication industry. To study the company profile of Vodafone. To study customer satisfaction of Vodafone. To study various Marketing activities provided by Vodafone. To study the various services provided by Vodafone. To know the expectation of Vodafone Customers.
4.2)
Benefits of study:
There are many benefits related to take this study. Some of the benefits of taking this study are as follows: By analyzing this information, the company would be able to better design schemes & services & target right prospects needs & wants.
More people will get aware about Vodafone that will increase profit level of Vodafone.
This study helps to identify the behavior of consumerwhen there are no offers & schemes from Vodafone.
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CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICES
43
Pro ss of
rketin Research:
The marketing research is done in systematic process. The Researcher has pursued the below process of marketing for my study at Vodafone:
Data Analysis & Interpretation
Research Report & Presentation
4.4.1)Problem Identi i tion:

The first and the most important step of marketing research is properly defining the problem. In order to identify the research problem two categories of problem should be carefully noticed.
Here the researchers problems are: A number of customers are not satisfied with services, new schemes and offers. A number of customers are not satisfied with the network coverage. A number of customers are not satisfied with the current call rates of Vodafone. A number of customers are not satisfied with the Free SMS schemes. A number of customers are not satisfied with the service of customer care of Vodafone.
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"
Problem Identification
Research Design
Data Collection
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4.4.2)Research
design:
Research design indicates the methods and procedure of conducting research study. In this study the design used is Descriptive Research Design. As Descriptive research is undertaken when the researcher want to know the characteristics of certain groups. Hence, this research design is appropriate for this project study.
4.4.3)Data Collection and Sampling: A) Sources of Data Collection:Basically there are two types of data i.e. secondary and primary: I) Primar Data Collection:-
Primary data collection contains the following four types of methods: 1 Observation Method: It contains Causal observation, Systematic observation, direct observation and contrived observation. 2 Surve Method: It contains Personal Interview, Telephone Interview and Mail Interview. 3 Experimental Method. 4 Panel Method.
Secondar Data Collection: - It can be collected from internal as well as
external sources
1) Internal Source: Various internal sources like employee, books, sales activity, stock availability, product cost, etc.
2) External Sources: Libraries, trade publications, literatures, etc are some important sources of external data. In this our survey team have used primary data for the core purpose of the project and this primary data has been gathered by survey method. We have also used secondary data to know the background of the company.
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B) Data collection Tools:

To conduct a survey, a selected a structured questionnaire has been used as an instruction for gathering valuable information from the customers. Questionnaire, which is used for the survey, is consisting of questions and checklist questions to check the customer feedback.
Sampling unit:Who is to be surveyed?

For this, youngsters, businessmen, and housewives, employees are selected to conduct survey and to measure satisfaction level.
Sample Size:
Sample size means limited numbers of respondents covered under the research study from a population and they have taken a survey of 100 respondents to know the satisfaction level of customer.
I)
Sampling Area: The researchers area for survey was: Suma stores ,devarajus layout, Davanagere Telematics,kaipet, Davanagere BAMR ,Davanagere
II)
Sampling Unit: Here the researcher has randomly selected the respondents of the Davanagerecity.
Data Anal sis and Interpretation

After all the above steps are completed now the important step is data analyzing and interpretation. For this there are various analytical and statistical tools. Some of these tools are Percentage, Average, Dispersion, Co-relation, Co-efficient, etc.
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Data Analysis and Interpretation:

Table no 1:-Table showing to know about which telecommunication(operators) service they use with graph.
services No. of respondents
Vodafone
Airtel
BSNL
Idea
Reliance
Tata Indicom 9
Tata docomo 12
MTS
Aircel
90
10
21
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DIFFERENT SERVICE PROVIDERS BREAK UP

Vodafone 4% 5%
6%
Airtel BSNL
5% Idea 47%
13% Reliance Tata Indicom
Tata docomo 11% 4% 5% MTS Aircel
INFERENCE
According to survey 13% of the Major respondents using mobile are enjoying Vodafone services. use Reliance, 11% respondents use Idea while respondents
6%,5%,5%,5%,4%,4%respondents use Tata docomo ,Tata Indicom, Aircel,Airtel, BSNL, MTS respectively.
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Table no 2:-Table showing know about the awareness of Vodafone among all the respondents with graph.
Suggestions No. of respondents
Yes
90
No
10
INFERENCE
Major number of customer using enjoying Vodafone services. Here 100% of respondents are aware about Vodafone Services.
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T ble no 3:-Table showing to know from which source the responden came to know ts about Vodafone with graph.
Sources Advertisements Hoardings Newspapers Word of mouth
No. of respondents
18
14
20
38
Source of Awareness
20% 42%
H 16%
W d of Mouth
22%
INFE ENCE
Major number of customer using Vodafone services through Word of mouth.42% of the respondents are aware about Vodafone through Word of mouth, 22% are aware because of Newspapers while 20% and 16% of the respondents are aware because of Advertisements and Hoarding respectively.
89 8 7 6 ) 54
dings
ewsp pe s
03 2 1 0 )
Adve
se e s
25
T ble no 4:-Table showingto know about the usage time of Vodafone customers i.e. since how long they are using Vodafone serviceswith graph.
Time period Less than 1 month 2-6 months 6-12 months More than 1 year
No. of respondents
30 15 25 20
Usage ti e
% 33% Less than 1 month

2-6 months 6-12 months More than 1 year
8% 17%
INFE ENCE
Major Respondents using Vodafone are new customers. 33% of the respondents use Vodafone services from Less than 1 month , 28%respondents using Vodafone services 612 months, 22% respondents using Vodafone services More than 1 year , 17%respondents using Vodafone services 2-6 months
AA @
26
Table no 5:-Table showingto know which services do the Vodafone customer use, PrePaid or Post-Paidwith graph.
Services
No. respondents
of
Pre-Paid Post-paid
89 1
INFERENCE
According to my survey more number of custumer using prepaid services 99% of the respondents use pre-paid services while only 1% of the respondents use post-paid services.Less number of customer using post-paid
27
T ble no 6:-Table showingto know Reasons for opting prepaid with graph.
Reason
Economical Easy to use Both Online
No. of respondents
15 25 34 15
Reasons for going prepaid

17% 17% Economical
Eas to use Both
2 % 38%
Online
INFERENCE
Reason for using prepaid is Economical and easy to use 38% of the respondents use Vodafone services from Both , 28%respondents using Vodafone services Easy to use, 17% respondents using Vodafone services Economical , 17%respondents using Vodafone services Online
Table no 7:-Table showingReasons for Postpaid with graph Bapu i Academy Of Management & Research DAVANAGERE 28
Reason
High usage Services Lower call rates All of above
No. of respondents
1
INFERENCE
Reason for Less number of customers using post-paid is High usage
29
Table no 8:-Table showingto know which services are more helpful to the respondent while using Vodafone with graph.
Services Call Rates SMS Rates Network Value Added Services GPRS and 3G
No. of respondents
33 22 13 9 13
Wh Vodafone ?
14%
Call Rates
37%
10%
SMS Rates etw rk
15%
Value Added Services GPRS and 3G 24%
INFERENCE
Here major Respondents are youngsters so they mainly use Call Rates of Vodafone. 37% of the respondents use Vodafone for Call Rates while only 24% of the respondents use Vodafone for SMS Rates
E D
30
Table no 9:-Table showing to know how many times and how often the respondents call at customer care of Vodafone with graph.
Suggestions No. of respondents
Yes
78
No
12
INFERENCE
Major number of customer call to Vodafone customer care87% of the respondent calls at customer care while 13% respondents do not call at customer care.
31
If yes, how often you call at customer care
Time Period
No. of respondents
Daily Once a week Once a month Occasionally

2 76
INFERENCE
Major respondents here call customer care occasionally. 97% respondents call customer care Occasionally while 3% and respondents call once a month 0% of respondentsand not call tocustomer care Daily and Once in week
32
Table no 10:-Table showing to know the reason of the respondents regarding calling at customer care with graph.
Reasons Value Added Services Information regarding new schemes Other queries Complaining
No. of respondents
14 17 27 20
No. of respondents
Value Added Services
18%
6%
Other queries Complaining
34%
INFERENCE
Major number of customer call customer for other queries 34% of respondents call at customer care for other queries purpose while 26%, 22% and 18% of respondents call customer care for complaining , information regarding new schemes and value added services respectively.
FF
nformation regarding new schemes
33
Table no 11:-Table showing to know about the which plans are using more with graph.
plans
Lifetimeplan General plan
No. of respondents
11 79
No. of respondents
12%
Lifetime plan General plan
88%
INFERENCE
According to survey major number customer using general plan 88% of respondents using General plan and another 12% respondents using life time plan respectively.
34
Table no 12:-Table showing to know about opinion about the price aspects with graph
Price aspects
Cheaper Value for money Reliable Too heavy charges
No. of respondents
23 22 45 0
%
26% 24% 50% 0%
No. of respondents
50
40
30 20
10 0 23 22
45 No. of respondents
Cheaper
oo heavy charges
INFERENCE
50% of respondents opinion about the price aspects is Reliable while 24%, 26% and 0% of respondents opinion about the price aspects is Cheaper, Value for money, Too heavy charges respectively.
Table no 13:-Table showing Rate the following services on the basis of your satisfaction with graphs. Bapu i Academy Of Management & Research DAVANAGERE 35
Value for Reliable money
Services Network SMS rates New schemes and offers Customer Care Recharge outlets Call Rates Value Added Services
E cellent 65 34 26 7 8 10 15
Very Good 21 47 44 12 67 52 43
Fairly good 3 9 15 22 15 23 22
Average 1
Poor
5 49
5 9
1 1
Service level satisfaction

100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0%
Poor Average Fairly good
Very Good Excellent
Network:
36
Purpose:
The purpose of this analysis is to know the perspective of the customers of Vodafone regarding network service
Service Network
E cellent 63
Very Good 21
Fairly Good 3
Average 1
Poor 0
Network
Excellent Very Good Fairly Good 3% 1% 0% Average Poor
24%
72%
INFERENCE
Here major respondents are satisfy with the network coverage. 72% of the respondents are rate the Vodafones network excellent, 24% rate it very good, 3% rate it farely good while 1% and 0% rate it average and poor.
SMS Rates:
Bapu i Academy Of Management & Research DAVANAGERE 37
Purpose:
The purpose of this analysis is to know the perspective of the customers of vodafone regarding Rates of SMS.
Service
Excellent
Ver Good
Fairl Good
Average
Poor
SMS Rates
34
47
INFERENCE
Here major respondents are not much satisfied with the SMS rates of Vodafone as major respondents are youngsters. 38% of respondents rate it excellent, 52% rate it very good, 10% rate it fairly good, 0% rate it average, 0% rate it poor.
New Schemes and Offers:
38
Purpose:
The main purpose of this analysis is to the respondents perspective related to the new schemes and offers provided by Vodafone.
Service New schemes and offers
E cellent 26
Very Good 44
Fairly Good 15
Average 5
Poor 0
New schemes and offers

Excellent Very Good Fairly Good Average Poor
0%
5% 17% 29%
49%
INFERENCE
Here major respondents are satisfied with new schemes and offers of Vodafone. 49% respondents rate new schemes and offers as very good, 29% respondents rate it as Excellent, 17 % rate it as fairly good while 5% and 0% rate it as Average and Poor respectively.
Customer Care:
Purpose:
The main purpose of this analysis is to know about the satisfaction of customer care service provided by Vodafone to their customers.
Service Customer Care
E cellent 7
Very Good 12
Fairly Good 22
Average Poor 49 0
Customer Care
Excellent Very Good Fairly Good
0%
Average
Poor
8% 13%
54% 25%
INFERENCE
Customer care service of Vodafone is are not much satisfied with Customer Care of vodafone. 54% respondents rate it as Average, 25% rate it as fairly good, 13% rate it as Very good, and 8% and 0% rate it as excellent poor and poor respectively .
Recharge Outlets:
40
Purpose:
The purpose behind this analysis is to know about the satisfaction of the Vodafone customers regarding recharge outlets.
Service Recharge Outlets
E cellent 8
Very Good 67
Fairly Good 15
Average Poor 0 0
Recharge utlets
Excellent Very Good Fairly Good 0% 0% 9% Average Poor
17%
74%
INFERENCE
Recharge outlets of Vodafone are majorly rated on very good and fairly good basis. 72% of the respondents rate it asvery good, 17% rate it as fairly good, 9% rate it as Excellent, 0% rate it Average and 0% respondents rate it as poor.
Call Rates:
41
Purpose:
The purpose behind this analysis is to know about the perception of vodafone customers regarding different call rates.
Service Call Rates
E cellent 10
Very Good 52
Fairly Good Average Poor 23 5 1
Call Rates
Excellent Very Good Fairly Good
1% 6% 11%
Average
Poor
25%
57%
INFERENCE
Major percentage of respondents are happy with the call rates of Vodafone. 59% of respondents rate call rates of vodafone as Very good, 25% rate it as Farily good, 11% rate it as Excellent while 6% and 1% respondent rate it as Average and poor respectively.
Value Added Services:

Purpose:
The purpose behind this analysis is to know about the perception of vodafone customers regarding Value Added Services.
Service Value
E cellent Added 15
Very Good 43
Fairly Good Average Poor 22 9 1
Services
Value Added Ser ices

Excellent Very Good Fairly Good 1% Average Poor
10%
17%
4%
INFERENCE
Value added services of Vodafone are quite feasible as compared to some of the other services. 43% respondents rate it as Very good, 24% rate it as Fairly good, 17% rate it as Excellent while 10% and 1% rate it as Average and poor respectively.
Table no 14:-Table showing to know why other respondents do not use Vodafone services with graph. Bapu i Academy Of Management & Research DAVANAGERE 43
48%
Reasons Lack of awareness High Prices Poor Services Poor Network
No. of respondents
4 0 4 2
No. of respondents
40%
40%
Less Advertisements Less Publicity

Others
20%
INFERENCE
4 dont use Vodafone services because of lack of awareness. 4 respondents dont use Vodafone services because of poor services while 2 respondents dont use vodafone services because of poor network.
44
Table no 15:-Table showing to know the recommendations of the respondents towards Vodafone, whether they would like to recommend the Vod afone services to others or not with graph.
recommend No. of respondents
Yes
85
No
5
No. of respondents
Yes No
6%
94%
INFERENCE
Major number of customer recommend vodafone services. 94% of the Vodafone customers would like to recommend Vodafone services to others while 6% of the Vodafone Customers wont recommend to others.
45
Findin s&Su estion:
Findings
Majority of the respondents using Vodafone services. Majority of the respondents are aware about Vodafone Services available. The respondents are more aware through word of mouth. Most of the respondents are Vodafonecustomers and majority of them are new to Vodafone services. Majority of the respondents use prepaid services. Majorityof the respondents use Vodafone services for reasons ranging from Economicalto Easy to use purpose. Here major respondents are youngsters so they mainly prefer and go for call rates of Vodafone. Majorityof the respondent connect with customercare for their queries and complaints regarding services. General plan is the most popular plan used by majorityof respondents Majorityof respondents feel that Vodafone is reliableand prices are competent and reasonable. Majorityof the Vodafone customers would like to recommend Vodafone services to others.
46
Suggestions
Suggestions on the basis of study and observation made during the project. They might be helpful for Vodafone to serve its customers in an improved way and also increase its customer base in Davangere city: Vodafone should decrease call rates for local users.It can be done on the basis of type of usage.
Vodafone should introduce more schemes and offers for all categories.
Vodafone should introdused new SMS schems in their youth plans to meet the challenges of its rivals.
Vodafone should provide more schemes and offers to its old customers in order to retain them for the loyalty shown by them.
Vodafone should decrease call rates of STD and ISD to increase its subscriber base.
47
Conclusion:
It was a learning experience studying the customer satisfaction towards Vodafone services in Davangere city. Although it was not easy task collecting information from the customers but it was also a challenging and interesting one where I had real experience of customer inputs regarding a product. From the above analysis, I would like to conclude that major respondents are satisfied with Vodafone services like call rates, SMS rates and new schemes & offer many of the respondents are satisfied with the services of Vodafone and thus they would like to recommend Vodafone to others. Most of the respondents are also satisfied with the network provided by Vodafone
Vodafone can improve its customer base by innovating variety of services to its customer. Vodafone Super Weeks is one such example where they are targeting youth for the online services through mobile phones. Its a strategy which can get them to the market leader position in the coming year.
To conclude, Vodafone is growing because of satisfied customers with its services and new and innovative plans for all categories of customers.
48

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CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

3.2) Measuring customer satisfaction

Bapuji Academy Of Management & Research, DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

Bapuji Academy Of Management & Research, DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

Bapuji Academy Of Management & Research, DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

Evolution of the Industry - Important Milestones: Description

1997 1999 2000

(Source: The Indian Telecom Industry by consulting club, IIM Calcutta)

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

Growth of mobile technology:

Bapuji Academy Of Management & Research, DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

Cellular Service Providers:

Bapuji Academy Of Management & Research, DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

Bapuji Academy Of Management & Research, DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

Bapuji Academy Of Management & Research, DAVANAGERE

Bapu i Academy Of Management & Research DAVANAGERE

e are opening and closing quotation marks,

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

Bapuji Academy Of Management & Research, DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

Bapuji Academy Of Management & Research, DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

Bapuji Academy Of Management & Research, DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

2.5) VODAFONE ESSAR

Bapuji Academy Of Management & Research, DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

2.6) Previous brands:

Bapuji Academy Of Management & Research, DAVANAGERE

CUSTOMER SATISFACTION TOWAR S VODAFONE SERVICES

SWOT Anal sis:

High Consumer churn rates

Expanding marketing boundaries Growth through 3G Strategic Alliances

Increased Competition Market saturation in Europe Emergencies of Low cost Brands

Bapu i Academy Of Management & Research DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

SWOT analysis of Vodafone

Bapuji Academy Of Management & Research, DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

Bapuji Academy Of Management & Research, DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

Bapuji Academy Of Management & Research, DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

Bapuji Academy Of Management & Research, DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICES

Data Analysis & Interpretation

Research Report & Presentation

4.4.1)Problem Identi i tion:

Bapu i Academy Of Management & Research DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

Secondar Data Collection: - It can be collected from internal as well as

Bapuji Academy Of Management & Research, DAVANAGERE

CUSTOMER SATISFACTION TOWARDS VODAFONE SERVICE S

B) Data collection Tools:

Sampling unit:Who is to be surveyed?

Data Anal sis and Interpretation

Bapuji Academy Of Management & Research, DAVANAGERE