“WE WOULD LOVE TO BETHE NEW HUL”Marten Pieters, Vodafone India CEO OUTLOOK BUSINESS Cover Story Mach03,2012 By RASHMI K PRATAP PRESENTED BY SYED SAMI UDDIN NEERAJ PANT NISHANT ABHISHEK SHUKLA
THE ARTICLE IS DIVIDED INTO THE STORY OF VODAFONE THE STRONG BEGINNING THE INSIDE STORY LISTENING AT LEISURE NEW FOCUS AREAS SHORT IN THE ARMMumbai, March 5, 2008 WFA/ISA - Global Advertiser Conference 2
THE STORY OF VODAFONE INDIA 1992 Hutchison Whampoa and Analjit Singh’s Max Telecom set up HUTCHISON MAX TELECOM 1995 Hutchison Max starts cellular services in Mumbai under Max Touch brand 2000 Acquisition of Delhi operations and entry into Kolkata & Gujarat through Essar, Orange brand replaces Max Touch 2005 Buys BPL Mobile operations except Mumbai 2006 ORANGE RE-BRANDED AS HUTCH; Hutch decides to exit 2007 Vodafone buys 67% for $10.9 billion; Hutch rebranded as Vodafone 2011 VODAFONE buys out ESSAR
THE STRONG BEGINNING February 2007 Vodafone Plc. agreed to acquire a 67% stake in Hutchison India. After 2 months of acquisition the company was renamed as Vodafone Essar that costed company 250cr. OGILVY & MATHER launches “Hutch is now Vodafone” Campaign MAGIC BOX had a handset, CHOTA RECHARGE launched IN 2009 OGILVY& MATHET Created ZOOZOO And established brand identity what today Vodafone is Zoozoo’s were introduced during 2009 IPL with 29 films as a result they wrere an instant hit and brand recall and customer connect went up.
THE INSIDE STORY Vodafone is now INDIA’S SECOND-LARGEST mobile company by revenues VODAFONE’S sharing strategy with Rivals proved to be a big asset(INDUS TOWERS). 20% increase in revenue over FY11 realization per minute (RPM), from 59 paise in Q2 to 61 paise in Q3 Vodafone, as well as Hutchison when it controlled the Indian firm, had to give huge payouts to employees to COMPENSATE them for not bringing out an IPO and delaying stock options exit
LISTING AT LEISURE• Vodafone to bring IPO in 2013 says Vodafone Plc CEO Vittorio Colao• But the timing of IPO is not certain since market needs to be stable for IPO• Most investors are guessing Vodafone to be market value of Rs 55,000- 60,000 crore almost similar to Airtel and Idea• can Vodafone overtake Idea.
NEW FOCUS AREASVodafone’s priorities for the next few years are strengthening presence in SEVEN C CIRCLES( circles where Vodafone began operations just three years ago). growing the ENTERPRISE BUSINESS building up the data BUSINESS. A CENTRE OF EXCELLENCE has been set up in BENGALURU, which continuously monitors potential areas where people could be using data on mobile.
SHORT IN ARM The cancellation of 122 spectrum licences and reauction. Competition would be reduced on reauction Main beneficiaries would Airtel and Vodafone Vodafone and Idea have highly benifited with MNP (mobile number portability)