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ABSTRACT In the year 2007, the world's largest telecom company in terms of revenue, Vodafone Plc (Vodafone) made a major foray into the Indian telecom market by acquiring a 67 percent stake in the Indian telecom company, Hutchison Essar Ltd, through a deal with the Hong Kong-based Hutchison Telecommunication International Ltd. It was the biggest deal in the Indian telecom market. Vodafone's main motive of going in for the deal was its strategy of expanding into emerging and high growth markets like India. In 2007, India had emerged as the fastest growing telecom market in the world outpacing China. But it still had low penetration rates, making it the most lucrative market for global telecom companies. Though Hutchison Essar was one of the established players in this market, Hutchinson Telecommunication International Ltd. had exited India as the urban markets in the country had become saturated. This brand management project aims to track Vodafone’s success in the Indian market right through its launch on 21st September 2007. The report is divided into three parts: Introduction, Analysis and Conclusion. The introduction section mainly gives an overview of the Indian Telecom industry, and about the company Vodafone. The Analysis section deals with competitors of Vodafone, and also giving an outline of the competitive growth of the telecom companies. It also discusses the various re-branding strategies adopted by Vodafone in order to successfully penetrate into the Indian market. A detailed analysis of the telecom brand Vodafone is done for the purpose of the study. INTRODUCTION Vodafone, the British mobile company that entered India after buying Hutch’s share and by creating Vodafone Essar in July 2007, has embarked on a major rebranding exercise in the country. The history of Indian mobile industry is not very old, not to mention the industry as a whole in itself is very new to the whole world. Telephones have been serving mankind for quite a long now and can boast of the world’s largest redundant legacy system. Thousands of miles of underground cables run through oceans to connect all the continents. Telecommunication industry as a whole has not seen a major revolution for a long time with the exception of a few new innovations in the type of services and call rated. The advent of wireless communication has brought about a slew of path breaking technological advancements in the way people use and see telephones. From being an equipment kept on the side table for talking, it has walked to occupy every persons’ pocket for all his information needs. Furthermore, the revolution has not ceased and it promises to bring even more of comfort and connectivity while on the move. Recognizing the crucial role that can be played by the telecommunication sector in India’s development, the Government of India in 1999 initiated a number of changes in the telecommunication and regulatory and policy framework. Through these the Government hoped to facilitate an increase in telecommunication penetration, which stood at 1.3% in 1995. The reforms, with an eye on a telecommunication penetration of 15% by 2010, resulted in a flurry of private operators entering the market breaking the monopoly of the incumbent operator Bharat Sanchar Nigam Limited (BSNL). India’s 1.1 billion population currently boasts a mobile telephone penetration rate of just 13 per cent. But it is growing by more than six million subscribers every month, making it the fastest growing market in the world and the focus of the industry. At the start of the decade, India was pretty much a telecom backwater. But now, India’s tele-density has grown by about 100 per cent to 17.16 per cent over the past two years. Last year it actually grew at a faster rate than China for the first time in new mobile phone connections.
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helping individuals. Rather than listing a web address.000 multi brand outlets. The popular and endearing brand Hutch was transitioned to Vodafone across India.com/print/Vodafone-In-India-Brand-Management/7777 Even as the mobile telephony market in India is booming. with increased mobile internet access expected to push up average revenues per user. whereas growth of internet access at home is much slower. Also.Vodafone In India . Kumar Mangalam Birla. The Group has an asset base of over Rs. This marked a significant chapter in the evolution of Vodafone as a dynamic and ever-growing brand. businesses and communities be more connected by delivering their total communication needs. The telecom market is at a stake with $22 billion which is expected to double by 2010.400 billion and employs over 20. so the Indian market is certainly a growth one. completed the acquisition of Hutchison Essar in May 2007 and the company was formally renamed Vodafone Essar in July 2007. Launch of Vodafone Essar Vodafone Essar was launched in India on 21st September 2007. with around six million customers being added every month. The Indian telecom industry recently witnessed its biggest deal Vodafone bidding for 67% stake in Hutch-Essar. India is the largest untapped market where the 20% of the total world's population lives. Communications. with 400. many billboard ads offer an SMS short-code which people can text to get more information. over 35 mobile stores and over 3.000 touch-points rebranded in two months. Vodafone has partnered with the Essar Group as its principal joint venture partner for the Indian market. It is even larger than Hutch’s own previous brand transitions. over 350 Vodafone stores. The Vodafone mission is to be the communications leader in an increasingly connected world – enriching customers’ lives. Anil Ambani.000 mini stores. the number of fixed line telephone subscribers dropped.Brand Management http://www. 2 of 10 8/6/2010 10:21 PM . The dramatis personae include leading names of India Inc—Sunil Bharti Mittal. Energy. Vodafone was welcomed in India with the “Hutch is now Vodafone” campaign.bignerds. with 60% completed within 48 hours of the launch. India’s tele-density of 17% is dreadful. Shipping & Logistics and Construction. And therein lies both the opportunity and the challenge. Mobile penetration in India is growing rapidly and it is becoming increasingly rare to see anyone without a 'hand-phone' as they are known.43 million a year ago. new and more multifunctional handset with features like cameras. About Vodafone Vodafone is the world's leading international mobile communications company. There are expected to be somewhere around 200 million subscribers by the end of the year. FM radio and mobile video.000 people. This brand unveiled nationally through a high profile campaign covering all important media.43 million in December as compared to 48. The Essar Group is a diversified business corporation with interests spanning the manufacturing and service sectors like Steel. But for a nation of 1. the world’s leading mobile telecommunication company. It presently has operations in 25 countries across 5 continents and 40 partner networks with over 200 million customers worldwide. The number of fixed line subscribers was down to 40. Vodafone. Power. Although the average Indian mobile user remains cost-conscious because of low-income living and huge size of mobile subscriber in India uses only SMS or voice services. whom the Hutch puppy will follow dutifully henceforth. suggesting that first-time users of telephones are opting for mobile phones. Ratan Tata and A K Sinha (of BSNL) — not to mention the 51-year-old Arun Sarin of Vodafone.3 billion people. The transition from Hutch to Vodafone is probably the largest brand change ever undertaken in this country and arguably as big as any in the world. The migration from Hutch to Vodafone was one of the fastest and most comprehensive brand transitions in the history of the Vodafone Group. over 1.
aspiring to be a global player can. bureaucratic hassles. of any size. Over the past few years they have worked hard to build a company capable of delivering innovative and compelling mobile services to all customers throughout the world. for long ignores this country which is expected to become one of the top three emerging economies. India. COMPETITORS OF VODAFONE PLAYERS OF INDIAN TELECOM • Vodafone • Airtel • Reliance Communications • IDEA/Spice • Aircel • TATA Indicom • BSNL • MTNL • HFCL Group • BPL Mobile • Shyam Telecom Ltd. shortages of power and infrastructural deficiencies. entertainment or assistance wherever they are.Brand Management http://www. It is also the second largest among emerging nations. The company’s idea to focus on marketing and services by outsourcing everything else including network 3 of 10 8/6/2010 10:21 PM . Vodafone is to be the leading telecommunication company in India.com/print/Vodafone-In-India-Brand-Management/7777 ANALYSIS The major reasons for Vodafone to make a move in the Indian market was that. and by making mobile communications the primary means of personal communications. due consideration should be given to the factor of the inherent difficulties and uncertainties of functioning in the Indian system. among the European investors. they are introducing new mobile services that will make Vodafone an even more important part of customers' lives. by making customers uses their mobile communications and making their life more fulfilled due to their experience. India is the fifth largest economy in the world and has the third largest GDP in the entire continent of Asia. is believed to be a good investment despite political uncertainty. Vodafone after completing the acquisition of Hutchison Essar in May 2007 and the company was formally renamed Vodafone Essar in July 2007 was granted for good in India’s market place. India is also one of the few markets in the world which offers high prospects for growth and earning potential in practically all areas of business. No company. Right now. Entering India's marketplace requires a well-designed plan backed by serious thought and careful research.bignerds. India presents a huge potential for overseas investment and is vigorously encouraging the entrance of foreign players into the market. While calculating. underestimation of its difficulty or overestimation of its possibilities can lead to failure. India is an opportunity for long-term growth. has been a leader among the private players with a 23% market share. Success in India will depend on the correct estimation of the country's potential. AIRTEL Sunil Bharti Mittal promoted Airtel. Vodafone has a strong aim to help people find information.Vodafone In India .
which make up half the national market and enjoy preference compared with many big names. However. Mobile telecom in India is an aggregation of circle markets and is not one homogeneous market. they bring down the cost per minute and pass it on to customers. the coverage and the voice and data quality that they offer.000 software and application developers. customer care and IT infrastructure. They are better placed with CDMA to offer 3G or data services. Their strength is in the ubiquity of our networks. Maharashtra and UP (West). It has also successfully played the value added services game by offering over 2. is a case study in itself. riding on its data-efficient CDMA networks. Though present in 13 select circles. they estimate to have a 20% market share. and GSM adding more customers. 4 of 10 8/6/2010 10:21 PM . This experience had taught them a lot and they plan to apply this learning to tap the rural opportunity. 500 Monsoon Hungama scheme speaks volumes of the company’s marketing acumen as it roped in a million customers in one stroke. it remains to be seen how the company will maintain its current growth rate. Their bouquet of services and content meet the customer’s needs. it is ahead of the big four with over 20% market share. Unlike Reliance. as it is the only operator in many rural areas. has climbed the subscriber charts. But with SIM cards—absent in CDMA handsets now—being commoditised.com/print/Vodafone-In-India-Brand-Management/7777 management. They are among the leaders in eight circles.500 mobile content applications over its Reliance Mobile World platform. operates under the Tata Indicom brand.Vodafone In India .Brand Management http://www. they would like to take on GSM players on their own turf. In this process. IDEA Idea Cellular is the dark horse in the telecom race. If they get there. and the demand will remain unmatched for some more time to come. TTSL had won 242 short distance charging areas under the universal service obligation tender and claims to have taken tele-density in these areas from 0. the company has managed a fair market share in rural areas. has been slowly but steadily gaining market share. in Haryana. The company currently has a CDMA 1X network. TATA INDICOM Tata Teleservices (TTSL). But it is losing out fast to private players and has to really wake up from its slumber. they will be among the top 2-3 players in the industry. having gained market share by default. The company got listed only recently and raised $480 million after its IPO was oversubscribed 57 times. RELIANCE Reliance Communications. BSNL is among the top three. and this is also a reason why both companies have not parted ways completely. The recent tender for 60 million GSM lines is just one pointer to the company’s scale of operations. though a late entrant. The company. According to the Joint Managing Director of Airtel. the company has lagged in marketing and customer awareness about its offerings. they have always believed that telecom runs on economies of scale. the other CDMA operator. which is good for data services and can deliver Internet speeds up to 144 kbps.bignerds. Their present market share is about 10% and by 2011. The Rs. BSNL In terms of subscriber numbers. Vodafone also benefited from closely watching Airtel in action. with other companies too spelling out their strategies for rural areas. Basically Reliance knows how to slice and dice the market. with 16 million subscribers and presence in 20 circles together with its sister concern Tata Teleservices Maharashtra. However.1% to 20%. the power supply unit can give any company a run for its money with the copper it has sunk over the years throughout India. Reliance today has a centralised data centre and over 20.
In May 2007. Vodafone saw its global mobile subscriber base grow by around 10. it could have also resulted in lower realisations. COMPETITIVE GROWTH OF TELECOM COMPANIES Vodafone. But in terms of subscriber base and revenues. this differentiator has been missing in India and the entry of Vodafone has helped in raising the bar.992 crores.Vodafone In India . GSM is the dominant wireless technology platform in India.bignerds. Idea Cellular Ltd and Vodafone Essar formed a joint venture called Indus Towers Ltd with some 70. India has been the fastest growing market. Vodafone’s India operations have recorded a 50% growth in turnover at Rs 15. Italy and Spain. which adds around 8 million subscribers every month.000 towers being shared by the operators in 16 Indian states. But for operators who are concentrating on rural markets. contributed to 2. The country also scores well on the profit margin front. the fight would be decided on how one operator is relevant and different from others. With significant consolidation being ruled out for the next three to four years. much like other telecoms in India will face competition in the coming months with as many as nine new companies such as Unitech Ltd.2061 crores in order to gain a foothold in the Indian mobile market. Vodafone is looks to offer phone services at lower costs. While this would have aided customer additions. In the third quarter which was around at the end of December. that is. the big players would like to make that their USP. at almost 18%. With 3G round the corner. even ahead of geographies such as Turkey. The monthly subscriber additions have been healthy at the rate of 1. resulting in a subscriber base of 44. the performance puts Vodafone behind Bharti and Reliance Communications. In contrast.5 million subscribers. Vodafone acquired a 52% stake in India’s Hutchison Essar Ltd for $10. It is at the quality of service level that regional players like Aircel and Spice who are planning an all-India rollout or HFCL and Shyam Telecom can play a differentiator. Vodafone Essar Ltd had overtaken the state-run Bharat Sanchar Nigam Ltd in terms of number of mobile subscribers.1 million as of March 2008.Brand Management http://www. While India contributed 4. around Rs. 71. Vodafone has attempted to shed its ‘premium’ image with offers such as ‘chota recharge’. Bharti Airtel and Reliance Communication. For Vodafone. Vodafone. 1 mobile telecom company. however.7 Rs4. the company’s market share of 17. Vodafone reported a 4. its global operations have grown by only 14 per cent during this period.3% put it behind Bharti Airtel Ltd at 23. By sharing more telecom infrastructure.58 million. Unlike developed markets where quality of service defines the customer retention capacity of a telecom operator.8 million to 252.3 million. have better operating margins on a higher revenue base. all Europe.6% and Reliance Communications Ltd. with Indian operations registering higher profitability than the UK and the Netherlands markets. world’s No. Germany. a lot will depend on the spectrum cost and licence fee and 3G could be limited to select areas. With the game evenly poised. including the UK.2 million to this number. It is said that Vodafone can see much as 12% of its global revenues to be coming from the Indian mobile phone market by 2012. As of 31st December. and Reliance Communications set to offer GSM-based phone services in India. In the initial three months till December.288 crore in fiscal 2007-08. In December. 5 of 10 8/6/2010 10:21 PM . even as average revenue per user continues to fall. This helped in having almost 56% growth in Vodafone India’s revenues. India accounts for 5 per cent of its global revenues. by revenue face intense competition from incumbents as well as new entrants in India. Bharti Airtel.com/print/Vodafone-In-India-Brand-Management/7777 Quality of service holds the key to retaining customers and reducing the churn rate. By September 2007.2% increase in revenues. it would be interesting to watch how companies play their cards in the coming years.
Average revenue per user has come down over the year for Vodafone. Now. messaging & more • Dial in Services • Bill Info RE-BRANDING STRATEGIES – Hutch to Vodafone MARKETING STRATEGIES Vodafone’s new advertising campaign in India carried on with the same popular pug that has become a brand ambassador for Hutch. the new campaign had started with Vodafone Essar earmarking Rs. One can make it theirs for Rs 1999. the company may expect savings on tower infrastructure expenditure too. but once it consolidates margins may improve. The main message of the brand transition exercise: The new Vodafone is the same old Hutch. our network follows. as with other operators.Brand Management http://www. but is still higher than that of Reliance Communications and Idea Cellular. may also explain lower margins. • Home Calling Cards Vodafone Home Calling Card is a Pre-paid calling card that allows one to make calls from landlines. In the advertisement. So talk more.Vodafone In India . PRODUCTS AND SERVICES PRODUCTS • Post-paid Services • Pre-paid Services • Magic Box Handsets • World Calling Cards World Calling Card from Vodafone is a Pre-paid long distance calling card that one can use with their Vodafone Prepaid and Post-paid mobile phones to make ISD & STD calls. The 6 of 10 8/6/2010 10:21 PM . • Handyphone Vodafone Handyphone is a landline that’s loaded with all the features of a cell phone .5 billion on the transition from Hutch to Vodafone. to cater to the mass market and Vodafone’s high decibel ad campaign to establish its new identity. with Hutchison Essar becoming part of the Vodafone Group.com/print/Vodafone-In-India-Brand-Management/7777 The packaging of services along with low-priced handsets. And helps save up to 90% as compared to International Roaming charges.including low call rates.bignerds. As a partner in Indus Towers. In India. spend less and always stay connected. 2. SERVICES • Tunes & downloads • Entertainment • Devotional • Sports • News & Updates • Call Management Services • Astrology • Finance • Travel • Mail. ‘Where ever you go. along with Bharti and Idea. Vodafone’s rural foray will mean more strain on margins.’ was the previous slogan with the pug following the child wherever he goes. And Vodafone Handyphone isn’t that expensive either. PCOs & mobile phones from over 100 countries. the pug sees a new home when it returns after an outing and feels the change is better.
Vodafone Essar launched low priced cell phones in India under the Vodafone brand. However. Previously. like RCOM and Tata Teleservices. Vodafone used all of the commercial airtime across all 13 channels in five languages (Hindi. a trigger. Therefore. this was the most apt platform for Vodafone launch. had a two-fold task to achieve: announce the entry of Vodafone into India and highlight the metamorphosis of Hutch into Vodafone. The print campaign kicked off on 21 September. transition bumpers and contest spots to promote the Vodafone Essar brand. Motorola.com/print/Vodafone-In-India-Brand-Management/7777 new catch phrase will be ‘Make the most of now.000 distribution outlets. By flooding the market with its low-cost handsets. ADVERTISING STRATEGIES Advertising is probably one of the most frequently used vehicles for Rebranding. ranging from about $19 to $25. Vodafone Essar distributed bundled handsets through its existing 400. moving out of a pink coloured kennel which symbolised Hutch making his way into a red one that is the Vodafone colour.enriching customers' lives.The start of a new conversation. It is a powerful way of reaching a broad or targeted audience quickly and is effective at signalling a change in positioning. Tamil. While the brand campaign had been addressing the transformation.’ Vodafone had tied up with Star India to run a complete roadblock of its fresh campaign on the entire network by unveiling the 24-hour nationwide rebranding campaign. and also co-branded handsets sourced from major global vendors. as it is fairly easy. Bengali. Ogilvy & Mather (O&M). thematic ad showing the trademark pug in a garden. Hutch is 7 of 10 8/6/2010 10:21 PM . Vodafone also became a mass mobile phone brand like Nokia. Conventionally awareness for a new brand takes some time to build.Brand Management http://www. a catalyst. While the campaign was heavy on television. Vodafone is the first GSM operator to follow suit. a mark of true pioneering. the Company. other good examples of where advertising has built a new position for a brand or built a strong emotional link with the public are where companies have created a sort of soap opera out of their advertising.Vodafone In India . The Advertising agency of Hutch and now Vodafone. Vodafone's logo is a representation of that belief . This exercise included TV commercials. Vodafone wanted to achieve this task at the shortest possible time. Commercial spots had also been purchased on Sony. By bringing in millions of low-cost handsets from across the globe into India.bignerds. it also included all other media vehicles. Considering that the Star Network is the lead network in India. helping individuals. businesses and communities be more connected by delivering their total communication needs. it was preparing to provide mobile handsets to new subscribers at ultra-cheap prices. however real or broad that may be. O&M realised that they had a fantastic property in the Hutch pug. a day after the television splash. O&M launched a rather direct. to show the transition from Hutch to Vodafone. and Sony Ericsson in addition to continuing as telecom services provider. chirpier version of the ‘You and I’ tune associated with Hutch was played towards the end. There are many examples of where advertising has either repositioned or strengthened brands. similar handset-driven expansion strategies to grow subscriber bases were adopted by CDMA players. A more energetic. Marathi and English) from 9 pm on 20 September to 9 pm on September 21. flexible and quick to change. Hence. Maxus and Star Network worked closely to address this challenge and came up with the idea wherein during the day of the launch a complete roadblock on the Star Network channels was conceptualized. This is a first of its kind mega media initiative in India by any brand. The Vodafone mission is to be the communications leader in an increasingly connected world . which they had been using for about five years. This strategy helped not only in achieving build rapid brand awareness but also breaks the clutter during such an important launch in the most happening category telecom. on the other hand was swiftly preparing for a price war in the Indian telecom space. Samsung. Indeed. and it concludes with ‘Change is good.
‘introducing’ the new brand’s logo to consumers. The print ads. drawing curtains aside to show the logo. This required nearly 250 crores of spending by Vodafone but they have successfully painted the town red. is a subtle. and pressures from certain pressure groups. PESTEL Analysis Political Political factors play an important role in the development of the network operating industry. and lastly. understated brand. as is known. For instance it can be regulation. There are other Governmental and legal issues affecting basically how the company operates. drying himself on a red mat. parasailing with the logo flying high behind them. infrastructure.1 billion and now had to rebrand itself so it has decided to run a new ad series which piggy banked on Hutch's dog mascot and the theme "Change is Good". 8 of 10 8/6/2010 10:21 PM . Political factors could include the provisions of certain laws. The same creative was used in outdoor hoardings as well. These five and 10 second spots cast the dog in situations where he. An interesting part of this campaign was on the opening day roadblock where they made a deal with Star India so that besides them no other commercials were aired (apart from in-channel promos) on the Star India's channels for 24 hours. It wasn’t easy integrating Vodafone with Hutch.com/print/Vodafone-In-India-Brand-Management/7777 now Vodafone’. The licensing of certain frequencies plays an important role in the development of the mobile operating network. This ad creates a wonderfully subtle message which really puts the point of chota (small) credit across. in all the 16 circles in which Vodafone now operates. dynamism and young vitality – all represented by its bright red speech mark logo.bignerds. A few advertisements include: Hutch is now Vodafone If you watch any of the star channels or tuned into 20-20 world cup. A Company could only begin to use a frequency once they have been granted to them by the local authority. literally. On 11 February 2007. popping up from a red cart. releasing a rocket bomb wherein the explosion reveals the logo. Each of these made use of the ‘Hutch is now Vodafone’ tagline. Vodafone represents high energy. The pug was shown in a red basket. And so they put in elements such as a more energetic tune and feel to the ads.Vodafone In India . saw red.Brand Management http://www. the latter. and banning of phone use in certain circumstances. while globally. and hiding in a red blanket. you would have seen this ad. Four other ads with the pug did the rounds of telly screens. It uses the positioning "Make the most of now" enjoy the video Vodafone Chota Credit Ink Ad This new ad had come as refreshing change and more so that this ad takes a very refreshing look at school and at fountain pens. O&M has also rolled out four Commercials featuring Hutch’s animated boy and girl. Vodafone agreed to acquire the controlling interest of 67% held by Cheung Kong Holdings in Hutch-Essar for US$11. in all major languages in several leading dailies. using the colour as a visual mnemonic to remember the brand by. were kept unbelievably simple: a still shot of the pug inside a red kennel. The four creatives which were of five seconds each included the duo peeping over a wall to see the logo. Valentine Day Special Ads: Vodafone Vodafone had released a simple and sweet ad for musical greetings targeted at couples during the valentine week the feature of this campaign is its simplicity and believability and is quite well received.
Environmental Environmental factors also play an important role in the development of network operating industry. Therefore. Targeting Vodafone is adopting a multi-segment approach. Also. The action of the companies is being monitored making sure they are environmentally friendly. etc are planning to come out with the 3G technology which further increase the competition to a great extent. High-income levels will result in an increase of usage of the Vodafone mobile services. There are certain demographic and cultural aspects of the environment which influence customer needs and the market size. and the other can be defined as Institutional where a company or any corporate purchases the connection and gives it to their employees whereby the bills expense would be borne by the company. Legal The market in which Vodafone is in has only one Legal force that is to provide safety in the use of its services through the handsets they sell and provide. For instance. There are other factors that influence the purchasing power of customers and the company. Social Social factors look at the structure of the population and the impact of which it has on the demand for the product and the supply of labour. while putting up towers. 10 ‘chota’ recharge. services can be defined as the customers who would prefer caller tunes. etc come under the latest trends. income distribution and many other economic trends determine the nature of the products and services provided by Vodafone. inexpensive SMS facility for the 9 of 10 8/6/2010 10:21 PM . technological development is based on the increase in efficiency and quality in the transfer of voice calls. The government is forcing Vodafone and other telecom operators to become more environmentally conscious. inflation. This means that development cost will need to be done to produce handsets that attract low radiation. Also. Idea. They are offering a series of differentiated products to their respective markets.bignerds. For instance. like cost of capital and cost of 3G licenses. For instance. consumption patterns. they have come out with Home calling cards for the family to those professionals who use to work abroad. They are targeting middle class customers which can be clearly justified by their products they are offering like Rs. or know about the financial. usage in terms of Post-paid or Pre-paid and further. and data between mobile phones. Vodafone’s competitors like Airtel. Technological The success of technological development plays the most important role in the success of telecommunication companies. Any negative externalities given out will have to be paid by a full social cost by Vodafone. high memory space. the segmentation can be done based on the geographical conditions. or interested in astrology.com/print/Vodafone-In-India-Brand-Management/7777 Economical The economic environment is dependent and influenced by the country’s economic policies. Vodafone's competitors are now offering the same GSM handsets as Vodafone. STP ANALYSIS Segmentation Vodafone’s services are spread wide across India. This is because among this crowd going with the mobile trend is more of a fashion statement. segmentation by Vodafone is done based on the service usage by the customer. In the network operating industry. the nature of customer also a segmentation strategy as a customer can be defined as a sole customer who purchases the connection on his name and uses it himself. There are people for whom camera phones.Vodafone In India . To an extent.Brand Management http://www. they have to keep various factors in mind. These include the rates of economic growth. This shows that technology is feasible in the market of network operators. Social trends and other mobile etiquettes are factors that any mobile customer would follow.
The baseline. Article: TeleCalm before the storm.google. while Vodafone is a more of a young and a fun brand. overtaking state-owned Bharat Sanchar Nigam Ltd (BSNL). Vodafone have always talked about the exclusivity of the network. honest and real manner.1 billion.vodafone. and the services they are offering to the customers very effectively. http://www. Coincidentally.bignerds. The important element in the changeover was to move without a glitch from Hutch to Vodafone with a positive attitude. It has already moved up to third from fourth place since being acquired.Vodafone In India .php 6. and this has significantly increased their presence in emerging markets.html 10 of 10 8/6/2010 10:21 PM . The transition of Hutch to Vodafone is estimated to be a mega Rs 200-crore campaign with multiple media channels being used to convey the message. http://www. http://www. So far India's "mobile revolution" has been mainly confined to the cities. bringing in a familiar mascot is what is expected to do the trick in convincing consumers. implies that even if a well-loved brand changes. To move seamlessly from one brand name to the next. India provides a very significant opportunity for future growth. The positioning strategies have been highly successful for Vodafone as they made a wise decision of restraining the ‘PUG’ dog which was a very powerful visual imagery. Article: Brand new impact. Also.indiantelevision. http://afp. Hutch is a brand that always tried to connect with customers in a simple. The pug is synonymous with Vodafone’s robust network and is the most endearing symbol of the brand.com/print/Vodafone-In-India-Brand-Management/7777 youth.html?sid=19184 5. Outlook Business 2. Business Line 3. Vodafone’s focus will be on rural markets and this is the reason why Vodafone has tied up with Chinese handset maker ZTE for low-cost handsets. actor Irfan Khan has been restrained for the brand promotions. With market penetration of around 14% and with a population of over 1. Change is Good. Positioning Initially. there are always positive aspects to it in the long run. but there are certain analysts who say that the real prize lies in its vast rural areas.com/perl/news/index.1 billion population live. Hutch positioned themselves as “Where you go the network follows you”. CONCLUSION The acquisition of interests in Hutchison Essar accelerates Vodafone's move to a controlling position in a leading operator in India.com/article/ALeqM5h0Ag13YpoQKLByzpqdsH7z8AoHoQ 4. Vodafone says it wants to make its Indian unit the number one mobile provider in India by 2010. while carrying our customers along with them.Brand Management http://www.com/start/investor_relations/strategy0. where nearly 70 percent of the country's 1. REFRENCES 1.afaqs. both brands already have an upmarket image in their respective markets and so transferring the values and emotions was not difficult for the mobile telephony brand. Hence.com/mam/headlines/y2k7/sep/sepmam89.
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