

A
Summer Internship Project
on
Capturing Evolution of Telecom Sector in India with Special Emphasis to Vodafone Gujarat
Comparative Study of Vodafone Products & Services vis-à-vis other Telecom Sectors of Gujarat
At
Baroda & Surat
Essar Ltd.

By
MANOJ M.SHARMA
MBA 2009-11

SOM-LALIT INSTITUTE OF BUSINESS MANAGEMENT

 Executive Summary
Cellular Industry in India
Requirement of highly Competitive Market
Role of Retailers
Retailers Survey Findings :
-70% Retailer Ranked Vodafone No.1
- 80% Retailers were Satisfied
- 90% Successful Branding
Customers Survey Findings :
- Preference of customers
- awareness amongst customers
- customer satisfaction level
Snapshots of Findings :
- Vodafone awareness is very high
- Network Issues
- Dissatisfaction due to Tata Docomo
- Vodafone in excellent Health
 Ch-1 Indian Telecom Industry
-An Overview-
Introduction to Telecom Sector in World
Introduction to Telecom Industry in India
 Contribution of Telecom Services to
-National Economical Growth-

• Telecom Sector contributes 1.5% to National GDP

• India added 113.26 million new customers in 2008, the largest globally.
The country’s cellular base witnessed close to 50 per cent growth in 2008,
with an average 9.5 million customers added every month.
 
• It is projected that the industry will generate revenues worth US$ 43
billion in 2009-10. In this report we have tried to capture most of the
areas of Telecom Industry.
Tele-Density of India
 Major Happenings of Telecom Sector
• Liberalization
• National Telecom Policy 1994
• New Telecom Policy 1999
• TRAI
 Cell Phones an overview

• GSM
• CDMA
 Technological Adaptations

• 2G Services
• 3G Services
• Broadband Wireless Services
 Origin of Various Players in India in last
One Decade
• BSNL
• BHARTI AIRTEL
• MTNL
• RELIANCE INFOCOMM
• TATA TELESERVICES
• VSNL
• VODAFONE
• IDEA
• TATA DOCOMO
• UNINOR
 Telecom Market Share in 2010
• Bharti Airtel : 134.7 million (30.86%)
• Vodafone Essar : 106.1 million (23.87%)
• IDEA : 79.8 million (15.19%)
• BSNL : 59.4 million (15.08%)
• Aircel : 43.0 million (8.38%)
• Reliance Telecom : 25.7 million (4.0%)
• MTNL : 14.6 million (1.17%)
• Loop Mobile : 2.7 million (0.69%)
• Uninor : 2.5 million (0.64%)
• STel : 0.5 million (0.13%)

Total Users: 469.69 million ( 1st Jan 2010)

 Ch-2
-Vodafone-
A leading MNC in Cellular Industry
 Vodafone Company Profile

• Vision of the Company

• Passion of the Company
- Passion for Customers
- Passion for People
- Passion for Result
- Passion for the world around them
• Mission of the company
Hutch is Now Vodafone
Organizational Structure of Vodafone India
 Introduction to Products & Services

• Product Review
• Technology
• Services
- Voice
- Data
- Services
- Fixed & Other Services
 Vodafone Services

• Vodafone Office
• Vodafone Live ! – Internet on mobile
• Vodafone Mobile connect
• Vodafone Mobile connect card
• Mobile Advertising
• Vodafone handsets
• Vodafone handy phone
• Vodafone Business handsets
• Magic Box Handsets
Vodafone Roaming Services selects
Roam ware Solution
 VAS Provided by the Company

TEXT VOICE DATA

●
P2P Sms
●
Caller ●
Browsing
Tunes
●
P2A Sms ●
In-Dial
●
Downloa
●
A2P Sms ●
Voice Packs ding
 Marketing Strategies

• Promotional Strategies
-Revenue Simulation
-Cost Reduction
-Delivering total Communication
-Delivering Strong growth

• Sustainable Strategies
Mobile Number Portability
Ch-3 –Retailer & Consumer Survey-
Analysis & Findings
 Objectives of Research
• Objectives Of Retailers Survey :
• Recharge Sales ( Revenue ) – ( Vodafone vs. Competitors )
• Retailer Servicing – Comparative Study of Various Players
• Retailer Awareness of tariff and Schemes
• Perception of Vodafone Services in Retail
• Customer Brand Preference as per retailer
• To access the operator wise penetration in the limited available space of
retailers shop

• Objectives Of Customers Survey :

• Customers Preferences while taking a new connection
• Perception of customer towards Vodafone
• Evaluation of Sources of Brand Awareness of Vodafone
• Capturing probable Fall-Outs of MNP with specific reasons
• Overall impression of Vodafone
 Methodology of Survey Findings
• Sample Size : 100 Respondents ( 80% Male & 20% Female )
20 Retailers ( Baroda City)
30 Customers ( Baroda City)
20 Retailers ( Surat City)
30 Customers (Surat City)
 
• Location Of Survey : Baroda & Surat City
 
• Demographic Distribution of Customers :
Total 60 Customers ( Baroda & Surat)
16 – Private Sector Employees
4 - Businessman
20 – Students
20 – Auto Drivers

• Type of Connection :
80 % Pre-Paid
20 % Post-Paid
 Findings From Customers Survey Analysis :
1 ) Customers Preferences while Taking a new connection :
Total Respondents : 60 customers
15 customers – Call Charges
20 customers – Services
15 customers – Availability
10 customers - Brand Image

Customers Preferences while Taking a New

Connection

35%

30%

25%

20%

15%

10%

5%

0%
Call Charges Services Availability Brand Image
 Sources Of Brand Awareness :
• Total Respondents : 60 Customers
30 Customers : Aware of Various Service of Vodafone through friends
16 Customers : Aware of Various Service of Vodafone through Advertisements
10 Customers : Aware of Various Service of Vodafone through Newspapers
4 Customers : Aware of Various Service of Vodafone through Hoardings
Brand Awareness

50%

45%

40%

35%

30%

25%

20%

15%

10%

5%

0%
Through Friends Newspapers Advertisements Hoardings
 Capturing Fall-Outs Of MNP :
• Total Respondents : 60 Customers
28 Out of 60 (47%) would like to switch of their Present operator Service after MNP.
• 15 Customers – Due to High Call Charges
• 10 Customers – To Try a new operator
• 3 Customers – Due to Other Reasons ( GPRS Speed , Better Network Coverage )

Reasons for Obtaining for MNP

Other reasons

Try New Operator

Due to Call Charges

0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50%

Customers Perception Towards Vodafone :
• Total Respondents Surveyed : 48 Customers
9 Customers – Excellent
21 Customers – Good
15 Customers – Satisfied
3 Customers - Dissatisfied

Customers Perception towards Vodafone

40%

35%

30%

25%

20%

15%

10%

5%

0%
Excellent Good Satisfied Dissatisfied
 Findings From Retailers Survey Analysis :
  Recharges in a Month )
• Retailers Ranking : ( Maximum
• Total Respondents : 40 Retailers
• 1 Vodafone – 70%
• 2 Airtel - 25%
• 3 Reliance - 3%
• 4 Idea - 2%
Retailers Ranking (Maximum Recharges In a Month)
Reliance Idea
Airtel 3% 2%
25%

Vodafone
70%
 Quality of Service of Vodafone to Retailers :
• Total Respondents : 40 Retailers
 
• 32 Retailers : Satisfied
• 8 Retailers : Dissatisfied

Retailers View Towards Vodafone Service Quality

90%

80%

70%

60%

50%

40%

30%

20%

10%

0%
Satisfied Dissatisfied
 Branding at Retailer Point :
OPERATOR SIGNAGE LOLLYPOP BRANDED PREPAID CAMPAIGN BRANDED
BACKDROP CARD BASED POS BALLONS
SHEET HOLDER

VODAFONE √ √ √ √ √ √

AIRTEL √ √ √

IDEA √ √ √

RELIANCE √ √

TATA √ √ √
DOCOMO

VIDEOCON √ √
 SWOT ANALYSIS
 
• 1 ) STRENGTH :
• Excellent Service Quality
• Minimum Call Charges
• Customer Oriented Tariff Plans & Schemes
• Availability of 24*7 highly qualified team
• Maximum market share in Gujarat
 
• 2 ) WEAKNESS :
• Some retailers were talking about network issues in some areas of Surat
 
• 3 ) OPPURTUNITIES :
• Maximum Revenue can be generated through 3G Service
• Can acquire 50 % Market Share through Present Growth Rate in Gujarat
• Airtel Customers are facing problems in postpaid billing while Tata Docomo has network issues and
availability of recharge coupons.
• Hence Summarizing this; it’s a good Opportunity for Vodafone as they are front-line
Players in the Cellular Market
• With better rural network coverage; Vodafone Gujarat has best opportunity to take 1 st Mover
advantage
•  
• 4 ) THREATS :
• Aggressive new entrants bringing in lots of Schemes and Products and creating Cluster in the market
• Hence Vodafone has to prove actively attack and defense against each new entrant with a specific
strategy to retain its No.1 Position in Gujarat
 
• This being a Critical Time, Vodafone will be required to deliver its best.
 VODAFONE MARKETING MIX

• PRODUCT
• PLACE
• PRICE
• PROMOTION
 MAJOR FINDINGS
• Awareness about Vodafone Brand
• Non-Vodafone customers desires to shift to it if they provide
low call rates
• Complaints regarding wrong billing from Airtel postpaid
customers
• Effect of advertisements
• Some regions having low frequency of Signals
 MAJOR SUGGESTIONS

• Vodafone to take lead and initiative in launching various

Pre-Paid Schemes
• Vodafone to give lower rental plans and free-bees to
potential Customers of Post Paid
• Retailers need more branding products to promote
Vodafone as market goes with a cluster of Various Players
• To further improve network services in the city ( Baroda
& Surat ) as few customers and retailers complain of in
Peak Hours ( 16:00 to 20:00 Hrs)
 BIBLIOGRAPHY
• MAGAZINES/PERIODICALS:

• Marketing Management- Philip Kotler 13th Edition

• India today
• Brochures & Pamphlets of Vodafone Essar
 
• Web References

• www.vodafone.in
• www.indiatelecomnews.com
• www.telecomtigers.com
• www.telecomyatra.com
• www.trai.com
• www.cellular-news.com
THANK YOU