Professional Documents
Culture Documents
Submitted By:
VARUN CHOPRA
MBA – IB 2008 - 10
Roll No. E79
Enroll No: A1802008516
Date of submission:
FACULTY GUIDE
1
AMITY INTERNATIONAL BUSINESS SCHOOL
DEPARTMENT OF MANAGEMENT
This is to certify that the project report titled “REBRANDING AND ITS EFFECTS “HUTCH
TO VODAFONE” carried out by Mr.VARUN CHOPRA, S/o ofSh.RAMESH CHOPRA has
been accomplished under my guidance & supervision as a duly registered MBA student of the
AMITY INTERNATIONAL BUSINESS SCHOOL,AMITY UNIVERSITY, NOIDA. This
project is being submitted by him in the partial fulfilment of the requirements for the award of
the Master of Business Administration from AMITY INTERNATIONAL BUSINESS
SCHOOL..
His dissertation represents his original work and is worthy of consideration for the award of the
degree of Master of Business Administration.
teacher
Title: REBRANDING AND ITS EFFECTS “HUTCH TO VODAFONE”
Date: ______________________________
2
AMITY INTERNATIONAL BUSINESS SCHOOL
DEPARTMENT OF MANAGEMENT
DECLARATION
I, "VARUN CHOPRA”, hereby declare that the work presented herein is genuine work done
originally by me and has not been published or submitted elsewhere for the requirement of a
degree programme. Any literature, data or works done by others and cited within this dissertation
has been given due acknowledgement and listed in the reference section.
VARUN CHOPRA
A1802008516
Date:__________________
3
Acknowledgment
No task is a single man’s effort. Various factors, situation & person integrate to provide the
background for the accomplishment of a task.
This project is the result of the contribution made by many people. I deeply acknowledge the role
played by all those who provided me their valuable support in the development of this project. I
am deeply indebted to ---------------- my faculty mentor for giving me this opportunity to work
on this project. . Only under his guidance I was able to take the opportunities to interact with the
real working environment and learned a lot.. I am grateful to him for his continuance guidance
and advice.
Last but not the least; I would also like to thank the respondents who provided full cooperation
and continuous support during the course of this assignment.
I also thank to the M.B.A Dept. of my university and its esteemed faculty for co-operating with
me.
4
Abstract
This Report is a summary of the work done as a final semester students of MBA in Amity
University. The project report begins with the detailed introduction of the branding and
rebranding. Then information regarding Vodafone history and Vodafone takes over hutch has
been given. The basic schemes and services of telecommunication offered by the Vodafone to its
customers have been included in the project report..Then primary data has been collected
through the help of questionnaire filled by different respondent. The main objective of the study
is to examine the how Rebranding affects customer loyalty. Scope of study is limited to the area
of Jallandhar and Ludhiana (Punjab) The analysis of the study has been done after taking into
consideration different parameters services, network, product, and customer care etc. And the
findings reveal that rebranding is affecting the customer loyalty.
5
TABLE OF CONTENTS
1. Introduction 7
4. Methodology of study 15
7. Description Of Hypothesis ` 28
10. Findings 56
11. Recommendation 57
References
Appendix-1 Questionnaire
6
INTRODUCTION
To start up with its very important to know meaning of brand and branding and rebranding.
A brand is the symbolic embodiment of all the information connected with a product or service.
It encompasses the set of expectations associated with a product or service, which typically arise
in the minds of "people" (consumers, buyers, or other target audiences). A brand typically
includes a name ("brand name"), logo, and other visual elements such as images, fonts, color
schemes, or symbols. In other contexts, the term "brand" may be used where the legal term
trademark is more appropriate.
Branding -The art of creating and maintaining a brand. Marketers seek to develop or align the
expectations comprising the target audience's brand experience through branding activities.
Branding carries the "promise" to the marketplace that a product or service has a certain quality
or characteristic which make it special or unique (i.e. differentiated). Whatever the mix of
Programs, branding techniques should be consistent and complementary when well executed.
Rebranding: This can be defined as "a process of giving a product or an organization a new
image, in order to make it more attractive and successful" (Collins English Dictionary). This is
done to ----
• increase consumer loyalty
• improve member professionalism
• enter a new market trend
• create a stronger voice in the industry
• increase share holder value
• to reenergize a company
7
Objective of study
Today many of the company are going for the re branding like
• Hindustan unilever
• Air Deccan
• Indian airlines
• Hutch
• Advertising
8
My projects reaveals about hutch rebranding to Vodafone and its effect on customer loyalty
Review of literature
4) Www.Domain-b.com
Vodafone to ''Make The Most of Now'' with Hutch essence news
20 September 2007
In this white paper researcher said that Vodafone has changed not only the name of hutch but
logo , colour scheme , and tag line also as earlier tagline of hutch was “ wherever you go our
network follows “ and new tagline is ” make the most of now “
5) www.indianmba.com
article written by Neha Mehta ( faculty at NIIMS )
9
TITLE – Bye bye hutch welcome Vodafone
In this article basically it is written that brand changes will effect consumer behavior in rural
sector especially in telecom sector as in this article it has been mentioned Vodafone wanted to
expand market to rural areas where hutch is not there so may be this this rebranding will not help
a lot
6) www.oppapers.com
Research paper by Mr. Arun verma faculty at IIM Indore
An empirical study of Vodafone rebranding to hutch
In this research paper he says that Vodafone coming to India by merging with hutch will
definitely be a great success due to following reasons
1) brand name
2) large customer base
3) large network
4) more concentrated on metropolitan cities
1) www.Telegyan.com
Vodafone Deals With Hutch
The main objective of this research was to understand why Vodafone choose hutch to come in
India and the main finding was that
• Hutch is having maximum market share in the metropolitan cities
• Youth was the main market segment
• Hutch has very strong grab in this segment
1) www.icmr.org
In this case study it is written that hutch has been rebranded to Vodafone as hutch has ---
a) Emotional connect with the customer
b) Long brand equity
c) Recognized brand for the country
10
1) Business line
Brand line “brand new impact “
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. Coincidentally, both brands already have an up market
image in their respective markets and so transferring the values and emotions is not going to be difficult
for the mobile telephony brand.
2) www.procurementheaders.com
11
corporate name of unilever .Air Deccan rebranding exercise is to build consumer loyalty for
Deccan. Rebranding exercise is complete without a large-scale, seen-wherever-you-go,
multimedia campaign.
12
efforts, Bharti Airtel has joined forces with Nokia to offer bundled phones at subsidized rates.
The two companies have entered into a "joint go-to-market strategy," combining some
advertising and marketing initiatives aimed at the mid-and lower-end segments, according to
India's Economic Times."We are deepening our alliance with Nokia on a large scale…We can
synergize our operations as both employ strategies such as using rural vans to promote services
and running outlets across the country. We are also working towards common outdoor
advertising and exploring other areas of partnership," Bharti Airtel's marketing and
communication head Gopal Vittal told the paper
6) www.businessindia.com
We had hinted earlier the Hutch might change colors again in What will Vodafone do with Hutch Looks
like Vodafone wants to spread its brand image in India soon. So its going to be the the Battle of the Reds
(Vodafone vs Airtel) as Hutch and Airtel are the largest mobile operators in India. Hutch has always been
seen as an elite brand in the country as it is present only in a few circles. Vodafone is known for its
Premium services around the world. Vodafone cannot use the same global pricing strategy in India for
sure due to the nature of the market here. Lets wait and watch Till
then it may may bid good bye to the Hutch Pug
On Wednesday announced that the Vodafone brand would be officially launched on Sep 21.
Vodafone acquired Hong Kong-based Hutchison International's Indian telecom arm Hutch's
stake in Hutch-Essar for $11 billion in May this year. "We've had a great innings as Hutch in
India. Today marks a new beginning for us, not as a departure from the fundamentals that
created Hutch, but an acceleration into the future with Vodafone's global expertise," Asim
Ghosh, managing director, Vodafone Essar, said in a statement. Vodafone's Indian-born CEO
Arun Sarin would be visiting India end this week to officially launch the brand transition from
three pink stars to the bright-red speech-bubble.
13
"This transition is probably the largest brand change ever undertaken in this country and
arguably as big as any in the world. It is even larger than our own previous brand transitions, as
it touches over 35 million customers, across 400,000 shops and thousands of our own and our
business associates' employees," Vodafone Essar's and new business director Harit Nagpal said.
The company earlier said it would be investing $2 billion in consolidating and expanding its
business here. It also announced that Essar's vice chairman Ravi Ruia would be chairman of the
new joint venture while Vodafone's Sarin would be vice-chairman.
8) www.emeraldinsight.com
Issue 6 year 2007
There are a number of studies, supportingcustomers’ retention (Fisher, 2001; Marple and
Zimmerman, 1999). However, there is little empirical research undertaken as far as can be
ascertained to investigate the constructs that explain customer loyalty in the telecommunication
industry especially in India. A number of studies focused on identifying some of the constructs
that are thought to be precursor to customer retention and developing a measure of customer
satisfaction, customer value and customer loyalty without examining other potential constructs.
9) www.emeraldinsight.com
Issue 8 year 2007
It has been proved in literature, that there is a link between customer loyalty and organizational
profitability (Reich held, 1996b). This is, as a consequence of reduced cost of retaining a
customer and achievement of a zero defection of profitable customers. However, retention
should not be taken for loyalty. Loyalty is valid when customers have options to choose from. As
such service providers should understand why customers choose to stay and should not assume
that it is a positive conscious
14
Research methodology
Reason
I am choosing 100 samples because I want those respondent who have switched over to the
Reasons
As I have to explore the reasons for the customer loyalty in rebranding hence exploratory
research is necessary
As we all know that we have to attend our classes regularly hence I am going for convenience
sampling method
15
HISTORY OF VODAFONE
Vodafone is a mobile network operator with its headquarters in Newbury, Berkshire, England,
and 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
The name Vodafone comes from Voice data fone, chosen by the company to "reflect the
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, the largest American mobile
telecommunications company.
Vodafone began trading on 18 October 1992 under the Telecel name, offering the public from the
start a fully operational GSM cellular communications service that, at the time, covered 57% of
Portuguese territory and 83% of the country's population. With the entry into service of our cellular
network, exactly one year after obtaining the operating licence, we set what was then the world record for
Vodafone's 1992 entry into the market, which at the time was an exclusive monopoly of a public
operator, radically changed the prevailing perception of the cellular phone, up until then considered a
status symbol or a tool reserved for an elite with high purchasing power. Opposing that image, Vodafone
introduced the concept of useful, accessible and adequate service for the various Customers'
communication needs. Vodafone was the main development and growth engine of the Portuguese cellular
market, profoundly changing the mobile telecommunications' scene in Portugal. We clearly stand out as
the second national Telecommunications operator. We have more than 4,6 million Customers registered
on our cellular service, representing more than one third of the total mobile service Customers in
16
Portugal. We maintain our differentiation as the most innovative and Customer oriented operator in
Portugal developing useful and competitive services, making available the best offer in the market.
Our Vision
To enrich our customer's lives through the unique power of mobile communication
Our mission
our customers have chosen to trust us. In return, we must strive to anticipate and understand their needs
and delight them with our service. We value our customers above everything else and aspire to make their
lives richer, more fulfilled and more connected. We must always listen and respond to each of our
customers. We will strive to delight our customers, anticipating their needs and delivery
List of ceo’s
17
Key milestones of Vodafone
2005
It completed the acquisition of MobiFon S.A. (Romania) and Oskar Mobile a.c. (Czech
Republic) (May). Launch of Vodafone Simply, a new easy-to-use service for customers who
want to use voice and text services with minimum complexity (May). Introduction of Vodafone
Passport, a voice roaming price plan that provides customers with greater price clarity when
2006
Sale of 25% stake in Switzerland's Swisscom (December) Sale of 25% stake in Belgium's
March 2006.We acquired Telsim Mobil Telekomunikasyon Hizmetleri (Turkey) in May 2006.
2007
A consortium led by Vodafone Group is awarded the second mobile phone licence in Qatar.
(December) Vodafone agrees to acquire Tele2 Italia SpA and Tele2 Telecommunication Services
SLU from Tele2 AB Group. (October) Vodafone announces completion of the acquisition of
2008
Vodafone acquires a 70% stake in Ghana Telecom for $900 million (July) Vodafone
18
Vodafone group
Vodafone UK
19
Products of Vodafone
Handsets
20
Company Financial Statements of Vodafone Group Plc
2008 2007
Note
£m £m
Fixed assets
Shares in Group undertakings 3 64,922 67,139
Current assets
Debtors: amounts falling due after more than one year 4 821 227
Debtors: amounts falling due within one year 4 126,099 99,404
126,920 99,631
Creditors: amounts falling due within one year 5 (98,784) (76,415)
Net current assets 28,136 23,216
Total assets less current liabilities 93,058 90,355
Creditors: amounts falling due after more than one year 5 (14,582) (14,388)
78,476 75,967
Arun Sarin
21
Vodafone-hutch deal happens when a corporation, which has accumulated hundreds of billions
of dollars of losses higher than any other company in global corporate history, which has an
M&A track record preposterously worse than that of any other corporation across any continent,
and which has brazenly attempted corporate crimes globally and has got fined by governments
after being shamefully convicted, decides to takeover one of India’s largest telecom
corporations, while already having invested in India’s number one telecom company? Well, the
answer’s not even ironic. Indians being what we’re well known for, we ludicrously celebrate!
Right from his decision to enter the dogfight to acquire AT&T Wireless in 2004 (which he
finally failed to do) to his asset write-down strategy in many of his regional subsidiaries acquired
through various acquisitions and mergers in Germany, Japan et al (which also explained
Vodafone’s biggest ever loss of $41.2 billion during 2006!), Arun Sarin has ensured that his
company and its shareholders have already seen the worst days ever seen in the history of global
corporations
and the worst is yet to come (one prays, not in the form of Hutch takeover)! Even this time,
while he announced his decision to acquire 67% in Hutchison Essar on February 11, 2007, for
$11.1 billion (his biggest deal for Vodafone), he must have prayed to the merger gods to be kind
to him this time round, as he had been lashed enough by his critics due to both his and
hispredecessors’ deeds (the main culprit being Christopher Gent, ex-CEO of Vodafone and
responsible for the insane shelling-out of a monumental $183 billion for acquiring Germany’s
Mannesman AG in 1999 – the biggest failed deal in M&A history!). Well, what do you say about
a company that, apart from the preposterous acquisition above, has made such a sweet breast of
accumulating regular pathetic losses aggregating more than $131 billion since 2002; and we’ve
not even included the current year’s forecasts. So what else can go wrong with Vodafone and
India?
22
Airtel, and with Vodafone part owner of Airtel, Sunil Bharti Mittal, not surprisingly, spoke up
for Arun, “We are pleased to welcome Vodafone and congratulate them on their Hutch
acquisition.” Evidently, the Indian telecom market is growing massively, easing out anti-
Vodafone rivalries. Opines Sridhar Pai, leading telecom analyst, “The Indian mobile operators
have not seen anything low or an ‘ebb cycle’. The market has only moved one way so far –
North! Vodafone has seen many industry cycles come and go
Wisdom for everyone in terms of early market signals, operational manoeuvres to handle slow-
downs.” According to Jignish Dabhalia, Niche Broking, “The buoyancy in the mobile telephone
segment portends well for the telecom industry, which will observe a three-fold increase in
subscribers from the current 150 million to 398 million in the coming five years.” With such a
positive outlook, all the players have lined up big expansion plans for the coming few years.
Bharti has lined up a capex of over $2 billion, RCL is not far behind with investment plans of
$1.5 billion and Idea Cellular has already filed for an IPO and would be raising close to Rs.21.25
billion to fund its expansion plans.Then pray, why should the other players be morbidly worried?
The fact is that globally, when relegated to a follower position, Vodafone has had a background
of decimating market profitability conditions by ensuring that cut-throat price wars and warfare
promotional offers completely devastate competition. One must consider the fact that Hutch is
only the fourth largest telecom player in the country with presence in only 18 circles.Whereas
players like Airtel, BSNL and Reliance have a widespread network covering the entire
geography of India. Given the losses that they can bear, it’s quite clear that Vodafone has
extremely (and abysmally) deep pockets; and reserves that can bleed any Indian telecom
company desert dry, BSNL, Idea, Reliance et al. And the most worrisome part of it all is that,
Vodafone internationally doesn’t have a sparkling white background, with respect to either ethics
or lawful behaviour, especially when it comes to government dealings, which India has loads of.
guilty until proven innocent For newbies, we could start blabbering about Vodafone’s scurrilous
history of rocking scandals in truly multinational style, of which the major one included Greek
regulators in 2006 fining it a whopping $128 million for deliberately failing to stop wire-tapping
of top government officials, including, you won’t believe it the Prime Minister himself (PM
Costas Karamanalis). Or we could mention how the Vodafone manager who blew the lid off this
scandal, was mysteriously found hanging some time after this came out. Or we could talk about
23
how Hungary’s Competition Office convicted Vodafone and slapped it with huge fines for
deliberately misleading ustomers! Or how the Italian Anti-trust Authority found Vodafone had
clearly abused its telecom dominance to prevent competition (final judgement expected in
February 2007). Or how in February 2007, Kenya’s investment investigation watchdog put
Vodafone under investigation for alleged corruption. Vodafone could chew up Indian
competitors for dessert, what to say about a full meal!
There are other issues. After playing around with markets and industry structures with their
ruthless strategy experiments, Vodafone, like a true alien, exits! And this is not just their
Chennai circle sell-off example one wishes to mention. August 2005, Vodafone exited Sweden;
March 2006, one of the world’s largest cellular markets, Japan, got the royal Vodafone kick;
August 2006, Belgium walked the pink slip tapestry; January 2007, the poor Swiss were shown
the metaphorical door. Really, Vodafone is more like a portfolio investor than one with
intentions to improve market dynamics. And most appropriately, it’s not enough for Indian
players to watch their backs, because when Vodafone hits, it’s the jaw they’re aiming at. And the
only sound we suspect we’ll hear is... Ouch!
Data collection
24
Data Collection Plan:
The first of Research consisted of secondary data search from the following sources:
• Websites
• magazines
In this, information about hutch and vodafone, their service features were collected.
For the conclusive research, questionnaires were developed on the basis of secondary data to
gather information on the research objective.
A pilot study was conducted to test these questionnaires. In this sample of 10 people was picked
up from the target population on convenience basis, so as to determine the limitation and
deficiencies in the questionnaires.
The final draft of the questionnaire (see Appendix) was then prepared on the basis of the
observations from the pilot study. These were then finally filled by 100 consumers, for the
conclusive study.
Finally the data collected was fed into the data analysis software- SPSS, to be analyzed using
statistical techniques like: frequencies, means, t-tests, Chi square distribution, correlation of
different variables, cross tabs etc.
Types of Primary Data collected:
• Demographic /Socioeconomic Characteristics:
Demographic and socioeconomic characteristics are sometimes called “states of
being” in that they represent the type of people. The factors on which we are
working are age, sex and occupation. Monthly income is also an important
parameter but it is difficult to verify. Although the amount of money that an
individual earns in a month is an absolute, not a relative quantity but it is a sensitive
topic in our society and it is difficult to determine
• Attitudes/Opinions:
Through the questionnaire we have tried to get hold of individual’s preference,
inclination and requirement from the products that the reliance money delivers to its
25
customers. Attitude is an important notion in the marketing literature, since it is
generally thought that the attitudes are related to the behavior of individual.
• Awareness/Knowledge:
They are used in marketing research refers to what respondents do or do not know
about the product.
• Intentions:
A person’s intentions refer to the individual’s anticipated or planned behavior. We
have tried to find out through the collected primary data the intentions of the people
in general about the product called de mat account. In this project we have
segregated the people as per their intentions about the de mat of reliance money.
The intentions gathered are divided into the following groups:
1. Definitely would like to take de mat of reliance money
2. Probably would like to take de mat of reliance money
3. Undecided
Probably would not like to take de mat of reliance money
4. Definitely would not like to take de mat of reliance money
• Motivation:
Through the questionnaire we have tried to find the hidden need or want of an
individual and have tried to find if these people can be tapped as the potential
customer for Standard Chartered.
• Behavior:
Behavior concerns what subjects have done or are doing. Through the questionnaire
we have tried to find out the behavior of the individuals regarding the product and
their responses. If the responses are favorable then the person can be said to be our
26
potential customer. The primary data serves as an important tool to measure the
behavioral trend of the customer. It helps in answering some of the vital Questions.
Thus, it helps to draw a comparison between the Purchase and the observed behavior of the
individuals.
Versatility:
It is the ability of a technique to collect the information on the many types of primary data of
interest to marketers. It has also been found that some of the people do not answer truthfully
to all the questions especially in the case of the personal details
Description Of Hypothesis
Hypothesis is just like a assumption or a quantitative statement about the population
STEP 1
Set up of hypothesis
There is not any significant difference between sampled population and whole population
27
Ha: customer has effect of rebranding of hutch to vodafone Alternate Hypothesis
It is just opposite of null hypothesis researchers believe it to hold true and he hopes that the
So far review of literature says there is no effect on customer loyalty on rebranding of hutch to
STEP 2
STEP 3
As far as tests are concerned many of them will depend upon the personal information of the
respondent
Genderwise Distribution
28
Gender of the respondant
29
Levene's Test for Equality of
Variances
When I summed up my likert scale in SPSS I got the total value of each questionnaire which is
summed up as customer loyalty now I applied t test to measure any significant difference in
gender and customer loyalty the value of significance is .000 which is less than .05 which means
it is highly significant which shows customer loyalty varies in gender (m/f)
Agewise Distribution
30
Test analysis of age with customer loyalty in rebranding of Vodafone to hutch
ANOVA
customer loyality
Total 3380.750 99
In this particular when I took age with customer loyalty again the significant value is .000 and it
is less than .05 which means it is highly significant ie customer loyalty varies in age group as
well but this variation is due to sample need to be checked hence I went for multiple variation
Test
31
Multiple Comparisons
customer loyality
Scheffe
In this test i compared each age group with other in which age group less than 20 and 21-25 have
same customer loyalty as the significance value is .048 close to .05
32
Occupation wise Distrbution
occupation of respondent
33
One Way Annova Test To Check Occupation And Customer Loyality
ANOVA
customer loyality
Total 3380.750 99
Again significance level is .000 hence customer loyalty varies with occupation as well the value
of signifance is less than .005 that means there is a significant difference between customer
loyalty and occupation
preference of services
34
From this graph we can analyze that Vodafone has more customers and than other players in
jallandhar and phagwara reliance and airtel holds almost equal market share
35
duration of services
36
ANOVA
customer loyality
Total 3380.750 99
When we talk about duration of services used by respondent again 4 parameters hence one way
annova is applied the significance value is .000 which is less than .05 hence the customer loyalty
varies with duration but this may occur due to sample size hence I went for a multiple variation
37
Multiple Comparisons
customer loyality
Scheffe
3 months 6 months
-4.553* .518 .000 -6.03 -3.08
6 months 3 months
4.553* .518 .000 3.08 6.03
1 year 3 months
11.935* .830 .000 9.57 14.30
From this multiple variation we found in each and every duration time the significant values is .
000 then customer layalty varies with duration of service
38
Awareness of the respondent about “hutch is now Vodafone “
awareness of respondent
39
Levene's Test for Equality of
Variances
Equal
variances not -24.695 32.341 .000
assumed
Here t test has been applied as because of two variables and more over the significant is .ooo
which is less than .05 which means awareness level is quite variable
40
Levene's Test for Equality of
Variances
Here t test has been applied as because of two variables and more over the significant is .ooo
which is less than .05 which means type of connection does not effect customer loyalty
41
Linkert scale questions
42
Vodafone has strong network strength than hutch
43
Vodafone has more value added services than hutch
44
45
Vodafone answers to your call quickly than hutch
46
47
Less formality in taking new connection of Vodafone than hutch
48
Your grievances were solved quickly in Vodafone than hutch
49
50
There is more transparency in your bills in Vodafone than hutch
Cumulative
Frequency Percent Valid Percent Percent
51
52
I would like to recommend people for Vodafone services
53
After using the services of the Vodafone most of the respondent are satisfied as compare to the
After analyzing all the linkert scale question its time to check the null hypothesis .
My null hypothesis was to “rebranding does not have any effect on the customer loyalty”
For this purpose i choose t test (single variable )as there were 8 question with 24 as assumed
value but after applying the test te mean was 16 hence null hypothesis’ was rejected
That means rebranding has effect on the customer loyality
One-Sample Statistics
One-Sample Test
Test Value = 24
54
REASONS FOR THE SUCCESS OF REBRANDING OF VODAFONE TO HUTCH AS
THEY NEVER MADE THESE MISTAKES
Smart marketers evolve their brands over time to keep them relevant. Some do it well, while oth-
ers become the target of cynical bloggers. To gear your next rebrand for success, sidestep these
All-too-common mistakes:
1. Clinging to history.
Rebranding well means staying relevant. Assumptions made when the brand was established
may no longer hold true. Analyze changes in target markets when exploring opportunities for
brand expansion, repositioning and revitalization.
Brands encompass everything from customer perception and experience to quality, look and feel,
Customer care, retail and web environments, the tone and voice of communications, and more.
Effective rebrands rely on a creative brief to keep everyone focused as the project progresses.
Include sections for a situation analysis, objectives, target markets, budget and resources, time-
frame, point person, known parameters, approval structure, stakeholders and metrics for assess-
ing results.
It’s ok to consider an agency that hasn’t worked in your specific industry before. Sometimes it’s
ideal – especially if you’re serious about a turnaround. Smart companies recognize the value of a
55
fresh perspective.
Dismissing brand equity when Rebranding alienates established customers, while unnecessary
overhauls can irreparably damage a brand’s perception. Consider the needs and mindset of the
target market carefully before digging into the process. Sometimes a small evolution – or a new
coat of paint – is all that’s needed to rejuvenate and make a brand relevant.
Simply calling your own 800-number or receptionist may reveal challenges customers face and
inform your Rebranding strategy. Take the time to navigate your own website, buy your
products and return something. Better yet, ask a friend or family member to do so and learn from
their experiences.
The rebrands story must be believable given the existing brand experience and customer
perception. It must also hold credibility internally. If employees who live the brand day-to-day
don’t believe, the target audience won't either.
Good branding consultants are more than graphic designers. The best ones help develop new
products, expand demographic focuses and even streamline business operations. Rein them
in when needed, but don’t limit their areas of influence.
It’s tempting for team members to walk away after the final presentation, however this is just
the beginning of the final stretch. The implementation process may require adaptation as the
rebrand rolls out. Acknowledge the need to keep the team and consultants together throughout
implementation.
The value of perfecting your physical environment, marketing materials, website, etc., is
decreased if your customers languish on hold for inordinate amounts of time. If your invoices
and contracts are written in 7-point legal jargon, the brand experience declines. Keep all
customer touch points in mind when Rebranding
.
Often ignored in brand strategy sessions, customer service and other front-line staff can yield
valuable information. This is the proverbial buck – the place where customers are the most
honest, no matter what research indicates.
13. Forgetting that people don’t do what they say. (They do what they do.)
Use caution when basing Rebranding strategies on focus group-type research Unless you’re
Physically in the customer’s environment observing them using your product or service, you’re
57
Not getting the full story. Actual observation, while not perfect, will get you a lot closer to the
Right solution.
It’s the client's responsibility to reel things in when necessary. You still know the most about
your brand and organization, the value of a non-immersed, fresh perspective notwithstanding.
Assuming you’ve hired capable-to-outstanding branding consultants, the quality of the work
delivered depends on sound, knowledgeable project management. Make sure your internal
point person has the skills, time and resources to drive the agency to its most effective work
yet.
Too many opinions delay the Rebranding process and diffuse the focus needed to achieve ROI.
Keep those with critical approval authority to an efficient shortlist, and assemble the smallest,
most essential project team possible. Include a mix of levels – not just executive.
There’s a lot of lip service about customers, but in brand strategy sessions they’re often
forgotten. Current and prospective customers should be front and center when creating solutions.
After all, the customer will be your ultimate test. Check sites like ReBrand.com for informative
case studies.
58
An ad campaign and a slogan do not equal brand positioning. Brand strategy should lead
advertising – not the other way around. Sometimes the most effective rebrands don’t include
traditional advertising.
Every brand needs refreshing to stay relevant as markets evolve. Smaller companies and non-
profits are not immune. Like larger brands, they too have brand positions that need to be
enhanced. Define your brand or be defined
59
FINDING OF THE PROJECT
1) My first objectives was to find out the customer loyalty with rebranding of hutch to
Vodafone
For this purpose I prepared a linkert scale questionnaire and the findings are:
Vodafone has more value added services than hutch
Vodafone has stronger network than hutch
Vodafone respond to the call of the customer more fastly as compare to the hutch
Vodafone does not have cheap call charges than hutch
Vodafone has more transparency in their bills
Vodafone has more satisfied customers
Last but not the least customer ae loyal to Vodafone
More when we talk about my research project finding then I find out customer loyalty
varies rebranding let us see some more finding:
Customer loyalty varies with in male and females moreover females are more
loyal to the Vodafone
Customer loyalty varies with in age group but less than 20 and 21-25 age group
has almost level of loyalty
Customer loyalty varies with in occupation students are less loyal and business
and private people more loyal to the service of Vodafone
Customer loyalty varies with in duration of services the person who are using the
service from hutch time is more loyal than last 3 months
Customer loyalty varies with in prepaid/postpaid services as postpaid customers
are more loyal towards services may be due to switch over cost
Awareness level is high as almost everyone knows “ hutch is most Vodafone “
As far as the secondary objectives which was totally based on secondary data so i gave
20 reasons why Vodafone rebranding didn’t fail
60
Recommendation for Vodafone
The first and foremost recommendation to the Vodafone I would like to give is they are
more concentrated towards value added services they should work on monthly recharge
Rebranding is being a huge success fo them they should maintain their relations with
customer
They should reduce their prices as hutch was having a comparatively less tariifs
Your services in customer care should be as good as they can respond more quickly as
they can
Customer satisfaction is the key to success so try for more strong network
61
Limitations of the project
There was difficulties/obstacle faced during the initial part of the project, which were
however overcome successfully. To list:-
• Due to lack of time and resources the scope of the project is limited only to
jallandhar and phagwara
• At the time of survey, it was difficult to break the ice with the common people
initially. It was a daunting task to convince them to fill in the personal details of the
questionnaire where they have to mention the address, occupation.
• The competitor analysis in the manual could only be compiled for a rough idea to the
nature of the products of vodafone. The product features keep on changing .
• Compilation of data on rebranding and customer loyality was difficult due to non-
availability of correct information
• It was really difficult to find those people who have switched to Vodafone after its
rebranding from hutch.
62
References
Books
News paper
Websites
http://www.oppapers.com/vodafone-hutch deal/%20%/home.axpx
http://www.business-standard.com/india/storypage.php?tp=on&autono=23119
http://www.business-standard.com/india/storypage.php?tp=on&autono=23006
http://www.thehindubusinessline.com/2007/05/05/stories/2007050506300100.htm
http://www.blonnet.com/2007/03/16/stories/2007031603970400.htm
http://www.ibtimes.co.in/articles/20070428/fipb-clears-vodafone-hutch-takeover-deal-finance-
ministry-039-s-approval-awaited.htm
http://www.icmrindia.org/casestudies/catalogue/Marketing/Rebranding%20of%20Hutch%20to
%20Vodafone%20Marketing%20Case%20Studies.htm
http://www.telegyaan.com/2007/10/16/the-biggest-rebranding-exercise-hutch-2-vodafone/
http://www.thehindubusinessline.com/2006/01/18/stories/2006011801410800.htm
http://www.thehindubusinessline.com/2006/03/31/stories/2006033101991900.htm
APPENDIX 1
64
QUESTIONNAIRE
Dear respondent,
I Amit Kumar lal student of MBA 4th semester and I am doing my final project
on the “rebranding and its effect” rebranding means “hutch to Vodafone” so
kindly fill this questionnaire.
1. Name
2. Address ____________________________________________________
____________________________________________________
____________________________________________________
____________________________________________________
3. Contact no ______
66
APPENDIX 2
SPSS CODING FOR THIS RESEARCH
67
VARIABLE DEFINITION IN SPSS
68