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Advertisement analysis of Vodafone:-

The major part of the report is dealing with study of the effectiveness of the
advertisement strategies adopted by Vodafone Essar with special reference to
Ernakulam district. The objective of the study is to understand the advertisement
strategies of Vodafone Essar, to make a study on the effectiveness of recent
advertisement campaign of Vodafone – “

Indian Premiere League Season - 2

And to make a study on the effectiveness of the advertisement strategies of


Vodafone in their current market. Vodafone Essar is the Indian subsidiary of
Vodafone Group and commenced operations in 1994when its predecessor
Hutchison Telecom acquired the cellular license for Mumbai. The company now
has operations across the country with over 74.08 million customers**. Over the
years, Vodafone Essar, under the Hutch brand, has been named the
‘Most Respected Telecom Company’, the ‘Best Mobile Service in the country’
and the ‘Most Creative and Most Effective advertiser of the Year’. The company
is a tie up of two groups namely Vodafone Group and Essar Group.Vodafone
Group is the world’s leading international mobile communications
corporation. It currently has equity interests in 27 countries across 5 continents
and 40 partner networks with over 303 million proportionate customers
worldwide. The Essar Group is Vodafone’s principalpartner in India. The Essar
Group is a diversified business corporation with a balanced portfolioof assets in
the manufacturing and services sectors of Steel, Energy, Power,
Communications,Shipping Ports & Logistics, and Projects. Essar employs more
than 50,000 people across offices in Asia, Africa, Europe and the Americas.The
study has found out that the advertisement strategies that have been used by
Vodafone Essar have caused in a better results in their sales. This has proved by
using the research tools such as hypothesis testing and correlation. This
research will help the company to make more innovations in their
advertisement strategies.

SWOT ANALYSIS OF VODAFONE

STRENGTHS:

1. Vodafone has its brand image and its ranking is 2nd in world. so here one
thing is conform that Vodafone has good network and outstanding services
that’s why its users are most after china mobiles. At gave some special
packages to the to attract customers. it can offer international roaming
facility more than any network in Pakistan. Financially Vodafone is strong
and is able to invest heavy amount in Pakistan.

WEAKNESS:

1. It has to take license from PTA and act according to rules of Pakistan due to
which it may not give it’s special services like 3G, vedio calling and call to
someone by hiding your phone number.

OPPURTUNITIES:

1. Vodafone can capture Asian market if it can grow in Pakistan ,55% of


population of Pakistan is young and mobile phones are most commonly
used by young ones. Demographs of Pakistan tell us that in this company
Vodafone can earn heavy amount of revenue. Today Mobilink is number 1
cellular company in Pakistan with 28.47 million customers. Total mobile
users in Pakistan is 89.9 million and the population of the country is 172.8
million. So there is space for market penetration. if Vodafone offers some
special packages for limited time then customer of other networks may
switch. Vodafone have better technology so it can capture the customers of
the other networks as well. With Pakistan Vodafone can capture asiaas well
because of population or demographs of Pakistan.

THREATS:

1. The current recession in market is not good for any kind of business
including telecommunication. Five cellular companies are already working
in Pakistan. The situation in Pakistan is not good specially political and
peace. There are a lot of uncertainties in the country.

Marketing Objectives:-

Short-term:

 Increase customer numbers from 368,000 to 618,000 (+58%) in the first 12


months.

 Increase brand awareness and reduce brand confusion.

Longer-term:

Sustain customer growth at profitable levels (3+ years).

Create a sustainable brand platform that could support all areas of the business

Vodafone’s Marketing Strategy:-

Marketing Challenge:-

1: Out-connected
2: Source of new customers

3: Out-spent

4: Threat of new competitors

5: Category complexity

Marketing Solution:-

1. Increase customer base.

2. Target 18 – 39 year olds.

3. Sustainable brand positioning.

4. ‘Instant’ brand recognition.

5. Focus on single product line.


What is Advertisement Strategy?

Advertising is a form of communication used to help sell products and services.


Typically it

communicates a message including the name of the product or service and how
that product or

service could potentially benefit the consumer. However, advertising does


typically attempt to

persuade potential customers to purchase or to consume more of a particular


brand of product or

service. Modern advertising developed with the rise of mass production in the
late 19th and early

20th centuries.

The strategies that have been used as advertisement strategies are:

MEDIA:-

Commercial advertising media can include wall paintings, billboards,


street furniture

components, printed flyers and rack cards, radio, cinema and television adverts,
web banners,

mobile telephone screens, etc.

COVERT ADVERTISING:-
Covert advertising, also known as guerrilla advertising, is when a product or brand
is embedded

in entertainment and media. For example, in a film, the main character can use
an item or other

of a definite brand, as in the movie Minority Report, where Tom Cruise's


character John

Anderton owns a phone with the Nokia logo clearly written in the top corner,
or his watch

engraved with the Bulgari logo.

TELEVISION COMMERCIALS:-

The TV commercial is generally considered the most effective mass-market


advertising format,

as is reflected by the high prices TV networks charge for commercial airtime


during popular TV

events. The annual Super Bowl football game in the United States is known as the
most

prominent advertising event on television. The average cost of a single thirty-


second TV spot

during this game has reached US$3 million (as of 2009).

INFOMERCIALS:-

There are two types of infomercials, described as long form and short
form. Long form
infomercials have a time length of 30 minutes. Short form infomercials are 30
seconds to two minutes long. The main objective in an infomercial is to create an
impulse purchase, so that the consumer sees the presentation and then
immediately buys the product through the advertised toll-free telephone number
or website.

CELEBRITIES:-

This type of advertising focuses upon using celebrity power, fame, money,
popularity to gain recognition for their products and promote specific
stores or products. Advertisers often advertise their products, for example,
when celebrities share their favorite products or wear clothes by specific
brands or designers. Celebrities are often involved in advertising campaigns such
as television or print adverts to advertise specific or general products.

About Indian Telecom Industry

(Source:http://www.fonearena.com/blog/wp-
content/uploads/2009/05/telecom.jpg)

Telecom in the real sense means transfer of information between two distant
points in space.India has one of the fastest growing telecom networks in the
world with its high population and Development potential. Reliance, BSNL, Airtel,
Aircel, Idea Cellular, Tata Indicomm, Vodafone,MTNL, and Loop Mobile are other
major operators in India. However, rural India still lacks strong infrastructure.
India’s public sector telecom company BSNL is the 7th largest telecom company
in world.For the past decade or so, telecommunication activities have gained
momentum in India. Efforts have been made from both governmental and
non-governmental platforms to enhance the infrastructure. The idea is to help
modern telecommunication technologies to serve all segments of India’s
culturally diverse society, and to transform it into a country of technologically
aware people.
EVOLUTION OF THE INDUSTRY-IMPORTANT MILESTONES

Year History of Indian Telecommunications 1851 First operational land lines


were laid by the government near Calcutta (seat of British power)

1881 Telephone service introduced in India

1883 Merger with the postal system

1923 Formation of Indian Radio Telegraph Company (IRT)

1932 Merger of ETC and IRT into the Indian Radio and Cable Communication
Company (IRCC)

1947 Nationalization of all foreign telecommunication companies to form the


Posts, Telephone and Telegraph (PTT), a monopoly run by the government's
Ministry of Communications

1985 Department of Telecommunications (DOT) established, an exclusive


provider of domestic and long-distance service that would be its own regulator
(separate from the postal system)

1986 Conversion of DOT into two wholly government-owned companies: the


Videsh Sanchar

Nigam Limited (VSNL) for International telecommunications and MahaNagar


Telephone

Nigam Limited (MTNL) for service in metropolitan areas.

Strong infrastructure. India’s public sector telecom company BSNL is the 7th
largest telecom company in world. For the past decade or so, telecommunication
activities have gained momentum in India. Efforts have been made from both
governmental and non-governmental platforms to enhance the
infrastructure. The idea is to help modern telecommunication technologies to
serve all segments of India’s culturally diverse society, and to transform it into a
country of technologically aware people.

EVOLUTION OF THE INDUSTRY-IMPORTANT MILESTONES

Year History of Indian Telecommunications

1851 First operational land lines were laid by the government near Calcutta (seat
of British power)

1881 Telephone service introduced in India

1883 Merger with the postal system

1923 Formation of Indian Radio Telegraph Company (IRT)

1932 Merger of ETC and IRT into the Indian Radio and Cable Communication
Company (IRCC)

1947 Nationalization of all foreign telecommunication companies to form the


Posts, Telephone and Telegraph (PTT), a monopoly run by the government's
Ministry of C communications’

1985 Department of Telecommunications (DOT) established, an exclusive


provider of domestic and long-distance service that would be its own regulator
(separate from the postal system)

1986 Conversion of DOT into two wholly government-owned companies: the


Videsh Sanchar Nigam Limited (VSNL) for International telecommunications and
MahaNagar Telephone

Nigam Limited (MTNL) for service in metropolitan areas.


Conclusions

This management thesis has been done for the company Vodafone Essar for
understanding the effectiveness of their advertisements for the people of
Kochi. The study proved that the advertisement has got relevant
effectiveness to the people of Kochi while they try for a new mobile
connection.The customers of Vodafone are happy with the services of the
company and they suggest the advertisements of Vodafone should be more
interactive and funny like the one that has been done by them during the IPL
Session – 2. The customers say that the people who are not usually watching
television came to know about the advertisement and they say that this
was the effectiveness of that advertisement.

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