MKT 305IMC Project Group: A Presented by


Marwa Magdi Imam

Presented to: Dr. Omnia Zaazou
Company Background: Vodafone

Vodafone Group is a global telecommunications company headquartered in Newbury, United Kingdom. It is the world's largest mobile telecommunications company measured by revenues and the world's second largest measured by subscribers (behind China Mobile) with 347 million proportionate subscribers as at 30 June 2010. It operates networks in 31 countries and has partner networks in a further 44 countries. It owns 45% of Verizon Wireless, the largest mobile telecommunications company in the United States measured by subscribers. The name Vodafone comes from voice data fone, chosen by the company to "reflect the provision of voice and data services over mobile phones". Vodafone Group Plc is the world's leading mobile telecommunications company, with a significant presence in Europe, the Middle East, Africa, Asia Pacific and the United States through the Company's subsidiary undertakings, joint ventures, associated undertakings and investments. Vodafone itself was formed in 1982 as a joint venture between Racal Electronics plc's subsidiaries Racal Strategic Radio Ltd (who won one of two UK cellular telephone network licenses) along with Millicom and the Hambros Technology Trust. The network was known as Racal Vodafone, with the Vodafone name being derived from the firm's goal of establishing a voice and data services over cellular telecommunication networks. Hence VO

represented voice and DA symbolized data — yielding the name Vodafone. In 1997 Vodafone introduced its new corporate Speechmark logo. This represents a quotation mark within a circle. With the 'O's in the Vodafone logotype being opening and closing quotation marks, suggesting conversation.

Vodafone's vision and mission Vision:
To be the world's mobile communications leader – enriching customers' lives, helping individuals, businesses, and communities be more connected in a mobile world.

Driving in a wireless world 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.


History of Vodafone Egypt: In November 1998. Vodafone Egypt is a total telecommunications provider. Vodafone Egypt network went live under the name ClickGSM. Launched in 1998. Vodafone Egypt supported by Vodafone Group’s know-how and its own local market research provides innovative products perfectly suited for its customers. the aim was to secure further expansion of corporate communication services. When the Vodafone Egypt General Assembly voted in September 2006 in favor of the acquisition of 51% of Raya Telecom shares – a telecom leader on its own right. The leading Vodafone Egypt spirit and its ever broadening network have paved the way for numerous investment opportunities and world-class continuous customer support. both on the short and long terms. A further acquisition of up to 97. ADSL and broadband Internet services. as well as 3G. serving different Egyptian businesses and companies. Vodafone investments in Egypt are an evident reflection of its commitment to its civic involvement for a stronger market foothold.52% of Raya Telecom shares followed after the ground-breaking success of the 4 . covering a wide array of voice and data exchange services.

exporting high-tech products and the launch of its renowned call center in Egypt. The call center has leaped from success to success ever since its inception in 2006. enabling unprecedented visual communication. Later.5% to 44. 2007. Vodafone still owns a dominant 54. and a variety of invaluable corporate services ranging from the Vodafone Mobile Connect Card. the USB modem.initial step. particularly when Vodafone Egypt signed call center contracts with Vodafone Australia. the Little Box for wireless internet services (Wi-Fi) for large corporations and businessmen and broadband internet access for individuals and corporations. Vodafone secured an even stronger market share when Telecom Egypt pushed for a major increase of its own Vodafone corporate share from 25. Today. Another giant step for Vodafone Egypt was its close matching of its own corporate policy with local government policy through the provision of job opportunities for young graduates. The crowning event of this cooperation was the resounding and very successful introduction of 3G Broadband technology to the Vodafone Egypt network on May 11.7% in a massive stock acquisition move.9% share of Vodafone Egypt and is cooperating very actively with the selective and powerful local team. This international expansion further sealed the confidence of Vodafone Group in its Egyptian counterpart for the provision of call 5 . song downloads. New Zealand and lately the UK to provide top-notch customer and technical support for customers in these countries.

Telecom services of world quality and standards. 6 . Vodafone Egypt staff is now 6000-member strong and is proud to be serving more than 25. and how it is embedded into our business here. Vodafone Egypt's current CEO is Hatem Dowidar Vodafone's biggest competitors are Mobinil. Vodafone Egypt is also proud to offer effective roaming communication supported by agreements with 564 partners in 188 countries spanning the world. This reflects the commitment to Corporate Responsibility at the most senior level. TE data and Link ADSL. Vodafone Egypt is one of the first corporate companies in Egypt to establish a department dedicated to Corporate Social Responsibility activities.79 million customers (June 2010) all over Egypt. It aims to connect and develop the community and accelerate the advancement of Egypt. Etisalat. and its trust in the ever expanding possibilities of the Egyptian youth. innovative products and a determined goal-based strategy. Its success relies on its superior network. privileged customer service. Vodafone Egypt’s Corporate Social Responsibility (CSR) Vodafone Egypt is proud to be considered as leaders in CSR in Egypt.

Asia Pacific and to some extent the U.Community support programs .Education development . Vodafone has a very strong brand name and a very reputable company. strong human resources and very qualified managers managing the company.Employment engagement programs to encourage a community spirit among our people Situation Analysis: SWOT Analysis: Strengths: Diversified geographical portfolio with strong telecommunications in Europe. 7 . The Middle East. Vodafone has a very qualified team of employees.The department was established in 2004 and has since then been engaged in philanthropic and community support projects.e. Vodafone has the largest number of retail stores around Egypt. waste management. and network deployment) . Africa.Health support programs .S. i. Vodafone Egypt’s Corporate Responsibility program covers a wide range of activities: Environmental issues (recycling.

Opening more Vodafone stores in Egypt.Network infrastructure Excellent customer service Weaknesses: Vodafone's coverage is weak to some extent. Vodafone's T. Etisalat's internet USB modem is cheaper and has enhanced connection to the internet. Opportunities: Focus on cost reductions to increase returns. Growth through 3G technology Threats: Increased Competition: Mobinil has planted under ground wires to improve coverage which makes Vodafone's coverage weaker.V. Research and development of new mobile technologies. 8 . ad's are not as effective as they're supposed to be.

Vodafone Egypt was its close matching of its own corporate policy with local government policy through the provision of job opportunities for young graduates 9 .Etisalat also launches cheaper products and services. PEST Analysis: Political factors: Vodafone is generally subject to regulations governing the operation of its business activities. Such regulations typically take the form of industry specific laws and regulations covering telecommunications services and general competition (antitrust) laws applicable to all activities.

for example the advertisements of Ramadan and the feast in Egypt and the Dog impersonating Vodafone in India. Technological factors: 10 . the lifestyle. Social factors: Also the Social factors have a big effect on Vodafone.Economic factors: The economic conditions may hugely affect Vodafone for example if there is a high unemployment rate it would affect the number of employees Vodafone wants to hire and this is why they hired an outsourcing company. even the advertisements are based on the social and cultural factors of each country. Also if there is a high illiteracy rate it will also affect the quality of human resources. The use of the telecommunications industry technology is now part of the life style and the 3g technology like surfing the internet from your phone in the younger generations.

and increasing quality of products. The R&D has a great impact on Vodafone's revenue's for example the type of product's sold in Vodafone stores like i-phone and blackberry phone all the 3G technology. B & C class. but each class is served different types of products according to their class category. job creation. For the A class & the business class Vodafone serves them the platinum and gold lines also the blackberry phones in the stores which targets the business men so that they can check their e-mails on spot. Also the roaming and international calls target the business and A class. 11 . the ipad and the laptops and all the new technological products has a great impact on Vodafone.Research and development (R&D) is a driving force behind economic growth. Consumer analysis The Company's target market: Vodafone targets the A. innovation of new products.

Age: They have Vodafone booths in many Universities selling scratch cards. and the Vodafone points that they use to give their customers products for free is a way for them to maintain their current customers and keep them satisfied. Vodafone also base the segmentation on lifestyle. usage rate and gender.As for the B class and the youth Vodafone targets them with the different products in the stores like the phones and the normal lines that are recharged by scratch card. 12 . Also the Usage rate by giving free minutes to customers they are likely to increase the usage rate to make benefit from the free minutes and free SMS. Also the C class are targeted by selling them the cheap phones and the lines that are recharged by for example the 10 pounds scratch card. Internet USB modems and flash sticks for students. Vodafone always gives value to their customers & they always care about serving their customers in the best way. Also the lifestyle like people who are surfing the internet through their phones or laptops or talking on the phone also the blackberry community and the BBM. age. Vodafone gives incentives and bonuses to their customers. And finally the gender where they sell USB modems and phones with different colors like pink to appeal to girls and green & blue to appeal to boys.

Questionnaire We conducted a questionnaire for Vodafone Egypt to measure how much people are aware of the IMC program of the company. These are the questions that we included and their analysis: 13 . We distributed this questionnaire to 40 samples consisting of youth and elders.

57% is a good percentage but Vodafone should also try to change the advertisements to appeal to more consumers.V. 2. What do you think of Vodafone's advertising campaign consisting of the puppets last Ramadan and feast? • Like • Dislike • Haven't seen the Ad 3% 40% Like Dislike 57% Haven't seen the Ad 57% of the sample we interviewed liked the T.1. ad. but 40% didn't like it. Do you remember the Ad's jingle? • • Yes No 14 .

Are you aware of Vodafone's publicity and public relations activities.25% Yes No 75% 75% of our sample actually do remember the ad's jingle. which is a good indicator that the jingle was associated with the consumer's minds and they can remember Vodafone whenever they listen to the jingle. 3. like concert & event sponsorships and charity? • Yes 15 .

4. Do you use any of the online services offered by Vodafone Egypt via the internet (pay online or buy online)? 16 .• No 15% Yes No 85% 85% actually are aware of Vodafone's public relations activities which means that Vodafone is doing a very good job in advertising their activities. while only 15% weren't aware.

while 65% prefer to actually go to the store to pay or buy.• Yes • No 35% Yes No 65% Only 35% of the sample we interviewed actually use the online services offered. Do you use the promotions that Vodafone Egypt offers? 17 . 4.

• • Yes No 15% Yes No 85% 85% of the sample use Vodafone's promotions while only 15% don't. Did you ever receive any direct mails or SMS from Vodafone? 18 . 5.

6.• • Yes No 20% Yes No 80% 80% of the sample do receive direct mail and SMS from Vodafone while 20% don't. Are you satisfied with Vodafone's network coverage? 19 .

20 . 20% were neutral. 12% were dissatisfied and 8% were extremely dissatisfied.1) Extremely satisfied 4) Dissatisfied 2) Satisfied 3) Neutral 5) Extremely dissatisfied 8% 12% 30% Extrem Satisfied ely Satisfied Neutral 20% Dissatisfied Extrem Dissatisfied ely 30% The rating of satisfaction of Vodafone's coverage was good where 30% were extremely satisfied. 30% were satisfied.

10% strongly agree.7. Vodafone's services have reasonable prices? (Rate) 1) Strongly disagree Neither agree or disagree Strongly agree Colum n1 2) Disagree 4) Agree 3) 5) 10% 7% 13% Strongly disagree Disagree Neither agree or disagree Agree Strongly agree 35% 15% The rating of customers to Vodafone's prices was also rated good where 35% agree about reasonable prices. 21 . 13% disagree and 7% strongly disagree. 15% were neutral.

We asked him the following questions.V. billboards. billboards. radio ads. 22 . 3) Where do you advertise and what are your advertising types? We use all the media vehicles like T. Telecom Egypt. facebook fan page and advertisements on websites. 4) Who are your main competitors? Our main competitors are Mobinil.Expert Interview We conducted an interview with the marketing executive of Vodafone. news papers.V ads. internet. ads. 2) Do you have an agency or an in house advertising department? He said that Vodafone has an advertising agency not an inhouse advertising department. and magazines. Mr. TE data and Link ADSL. I can't inform you about this information because it's confidential. 1) How much do you spend on advertising? Sorry. Below the line advertising: which refers to the advertisements that are not actually seen for example SMS. radio. There are two types of advertising that Vodafone uses which are: Above the line advertising: which are the seen advertisements like T. magazines and news papers. Etisalat. John Girguis.

44.872 million subscribers.47% Mobinil: 27.229 million subscribers. 595.872 million subscribers. Then comes Mobinil in the second place and in the third place comes Etisalat.295.172. The number of subscribers & market share: Vodafone: 27.55% 5) What's the brand image of the company in the eyes of consumers? Consumers perceive us as a strong brand image as it is a multinational company which makes it more prestigious in the consumer's eyes. 23 . but in the last statistical analysis made in September 2010 Vodafone became the market leader with the highest market share and the highest revenues of all the three companies. 11.Mobinil was the market leader with highest market share. 43.98% Etisalat: 7.

Maadi. Melody.V channels like El Hayat.". It also advertises on the Radio Channels such as. "El Akhbar". Dream. "Nogoom F. Vodafone also advertises on billboards around many of the Egyptian streets such as the Mehwar road. It also publishes ads in newspapers such as. "Ezaet El Aghany". Advertising Vodafone advertises in mass media such as T. "Radio Hits" and "Mega FM".M". "Radio Masr". Direct Marketing 24 .Vodafone Egypt's IMC program Vodafone Egypt implements the IMC program as follows: 1. 6th of October bridge. NTN. Nasr city… etc 2. the Ring road. "El Masry el Youm" and magazines such as "kelmetna" and "Teen stuff". "EL Ahram". also in Mohandeseen. "Nile F. "El Shark El Awsat". and Channel 1 & 2. Rotana.M. MBC. El Mehwer.

3. Vodafone also sends SMS's to their customers to inform them about promotions. they can also purchase some products and services online and receive information about new promotions. It also allows customers to pay their bills and know their balances through the internet. and also direct response ads through the internet. yahoo. Feast and Valentines Day. 25 . hotmail and msn. You can also recharge your cell phone online. Internet/Interactive marketing Vodafone publishes its ads on Facebook. 4. it also has telemarketing where Vodafone employees call their customers to inform them about new promotions. Sales promotion • • Vodafone offers free texts and free minutes in Enjoy 1500 free SMS to all Vodafone numbers occasions like Ramadan. it has a strong data base management. Vodafone sends catalogues by mail. With the Free 1500 SMSs *offer send FREE SMSs to any Vodafone number every day subscribe for only 4LE.Vodafone uses direct marketing through attaching direct response numbers which are toll free to its ads at the end for their customers to get more information.

live and operate. it's an investment. You can pay on installments* and also you’ll get a Vodafone line with a free golden number. 26 . all Thanaweya Amma and University students will enjoy free Vodafone lines and offers.OR Enjoy 500 free SMS to all Vodafone numbers With the Free 500 SMS's offer send FREE SMSs to any Vodafone number every day subscribe for only 2 LE • Now. for Vodafone it's not just a game. All you need to do is show your seat number together with your national ID or your parent’s ID or shows your University ID together with your national ID In any of Vodafone stores or in the Nile Kiosks. We believe in investing in tomorrow's athletes across many sports and look for ways to socially invest in the communities where we work. enjoy the best BlackBerry® prices for all the colors. You will also enjoy: Free subscription to the free SMS Service for 3 months • Now and only with Vodafone. Public Relations Sponsorships When it comes to sponsoring sports. 5.

and volleyball. Egypt grabbed the third position of the FIFA Club World Cup Japan 2006. Formula 1 What is the secret behind people’s love for Formula 1? And what makes the racers themselves fall in love with the ultimate speed? There is no answer but “it’s magic”. The Egyptian society thrives on the excitement and patriotism that is clearly demonstrated in any Egyptian sport. El Ahly is one of the oldest clubs in Egypt. Their football team is considered one of the strongest in Egypt. Finally. Vodafone’s partnership with El Ahly’s football team began in 2002. while individual games include gymnastics. it's a huge part of Egypt's national identity. table tennis.Sports bring us together. having won the Egyptian League 35 times and the Egyptian Cup 35 times. handball. El Ahly Club. Founded in 1907. El Ahly Vodafone is proud to be the official partner of the Club of the Century. 27 . and was named “Club of the Century” by the Confederation of African Football in 2000. karate and swimming. In 2005. tennis. track and field. Vodafone has extended the partnership by sponsoring El Ahly centennial celebration. Team sports include basketball. Vodafone went beyond football and took on El Ahly teams for nine other sports. with a fan base of over 40 million Egyptians. Last year.

In Vodafone retail stores the retail representatives always try to help consumers figure out what they need and provide them with the best service possible. It entered a new era after establishing a new international circuit race at Bahrain. 6. Vodafone also sponsors a lot of concerts and events such as Andrea Bocceli concert and many concerts in the opera. They also perform very well on the social charity work such as starting a fundraiser for street children and also they sponsored huge project which is building the 100 schools in Egypt. Personal Selling Vodafone really cares about their customers and always tries to fulfill their needs. Moreover they hosted Mohamed Mounir to sing for sick children in "57357" hospital. a sport which continues to deliver massive global television coverage and which has significant appeal for Vodafone’s consumer and business customers around the world. it consists of 18 races per year.Formula 1 is known to be the greatest and oldest car race in the world. Vodafone is raising its association with Formula 1 to the ultimate level. The sponsorship demonstrates Vodafone’s ongoing commitment to the Formula 1 World Championship. As Title Sponsor and Official Mobile Partner “Vodafone Mclaren Mercedes” team. 28 .

They are always friendly with the customers and solve their problems even if the customers were angry. Vodafone also uses the electronic service to measure satisfaction of their customers especially the premium customers. From our perspective after interviewing the expert and conducting the questionnaire we gave the following weights about how Vodafone distributes the use among the IMC tools: 29 .

Vodafone's IMCTools Advertising Sales Promotion 10% 5% 40% Public Relations Personal Selling Internet Marketing Direct Marketing 20% 10% 15% 40% for advertising 10% for direct marketing 10% for internet marketing 20% for sales promotion 15% for public relations 5% for personal selling Recommendations To improve the satisfaction of customers so that Vodafone attracts more customers and maintains the relationship 30 .

Vodafone should also try to decrease the waiting lines in their retail stores for customers to become more satisfied. especially when they used the same ads with the puppets in 2 consecutive years of Ramadan. 31 .V.between their current customers. Vodafone should also come up with new advertising ideas for their T. Here are some recommendations that the company may apply so that it keeps succeeding and excelling. ads that are more effective to their customers and in turn can result in an increase in their sales. especially when Mobinil planted wires to enhance the coverage which can be a threat to Vodafone. Vodafone should try to improve its coverage especially in the remote areas outside Cairo where the coverage is really weak. Vodafone can also emphasize the use of the online services offered by making customers more aware of the benefits of doing so and that it saves a lot of time.