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Vodafone

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company profile & marketing, mergers

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Vodafone

  1. 1. Welcome <ul><li>Sagar Agrawal </li></ul><ul><li>Pratik Gandhi </li></ul>
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  8. 11. Establishment <ul><li>The company was founded in 1982 as a joint venture . </li></ul><ul><li>the name was derived from the newly-found company's goal of establishing both voice (VO) and data (DA) services over a mobile telephone network. </li></ul><ul><li>Speechmark logo, suggesting conversation </li></ul>
  9. 12. Hutchison Essar <ul><li>Established - 1994 </li></ul><ul><li>an Essar group and Hutchison Whampoa undertaking, </li></ul><ul><li>acquiring the cellular mobile licence for Mumbai </li></ul><ul><li>has a nationwide market share of 16.4pc </li></ul><ul><li>the fourth-largest Indian operator. </li></ul><ul><li>'Most Respected Telecom Company‘ </li></ul><ul><li>'Best Mobile Service in the country' </li></ul><ul><li>'Most Creative and Most Effective Advertiser of the Year'. </li></ul>
  10. 13. OUR VISION To enrich our customers’ lives through unique power of mobile communication.
  11. 14. OUR PASSION <ul><li>1. FOR CUSTOMERS: </li></ul><ul><li>In anticipation of their customers’ trust Vodafone understands their needs & delights them with its services. </li></ul><ul><li>2. FOR OUR PEOPLE: </li></ul><ul><li>Outstanding people working together make Vodafone exceptionally successful. </li></ul><ul><li>3. FOR RESULTS: </li></ul><ul><li>Vodafone believes in being action oriented & is driven by a desire to be the BEST. </li></ul><ul><li>4. FOR THE WORLD AROUND US: </li></ul><ul><li>Vodafone believes helping people of the world to have fuller lives through their services & its impacts. </li></ul>
  12. 15. Products <ul><li>Prepaid Cellphone connection </li></ul><ul><li>Prepaid recharge card </li></ul><ul><li>Top - ups </li></ul><ul><li>Vodafone Postpaid </li></ul><ul><li>Calling Cards </li></ul><ul><li>Vodafone PCO </li></ul><ul><li>Vodafone Handyphone </li></ul><ul><li>I-Phone 3G </li></ul><ul><li>Magic box Handset </li></ul><ul><li>World Calling Cards </li></ul>
  13. 16. Service <ul><li>Tunes & Downloads </li></ul><ul><li>Entertainment  </li></ul><ul><li>Sports </li></ul><ul><li>Devotional </li></ul><ul><li>News & updates </li></ul><ul><li>Astrology </li></ul>Finance Travel Mail, messaging & more Dial in services Bill info Miscellaneous
  14. 17. Vodafone is a Mobile Network operator with its headquarters in Newbury, Berkshire, England, UK. It is the largest mobile telecommunications network company in the world by turnover and has a market value of £71.2 billion (November 2009) Vodafone currently has operations in 31 countries and partner networks in a further 40 countries.
  15. 18. Agenda <ul><li>Background and Introduction </li></ul><ul><li>Need identification </li></ul><ul><li>Segmentation, Targeting, Positioning </li></ul><ul><li>Advertising Strategy </li></ul><ul><li>Analysis </li></ul><ul><li>Learning </li></ul>
  16. 19. <ul><li>Vodafone entered India in December 2005 </li></ul><ul><li>Successfully rebranded 'Hutch' as 'Vodafone‘ </li></ul>Background
  17. 20. <ul><li>ACQUISITION DETAILS </li></ul><ul><li>Enterprise value of Hutchison Essar is $18.8 billion </li></ul><ul><li>Value of 67% stake in Hutch Essar - $11.1 billion </li></ul><ul><li>Vodafone acquired 10% in Bharti for $1.5 billion in Oct 2005 </li></ul><ul><li>Hutch has 23.3 million subscribers as of Dec 31, 2006 </li></ul><ul><li>Vodafone is targeting a 20-25 per cent market share by 2012 </li></ul><ul><li>Vodafone need – </li></ul><ul><li>Vodafone wants to expand into the asian markets. India had 2 nd largest market for mobile. It is growing at the rate of 6 million subscribers per month. </li></ul>
  18. 21. Before Acquisition
  19. 22. <ul><li>WHY HUTCH </li></ul><ul><li>Accelerates Vodafone’s move to a controlling position in a leading operator in the attractive and fast growing Indian mobile market </li></ul><ul><li>Hutch Essar delivers a strong existing platform in India </li></ul><ul><li>Driving additional value in Hutch Essar </li></ul><ul><li>Increases Vodafone’s exposure to high growth emerging markets </li></ul><ul><li>Hutch had overtaken many of the domectic competitors like orange,BPL </li></ul>
  20. 23. The telecom battle <ul><li>Bharti Airtel, Idea are biggest competitors </li></ul><ul><li>Airtel launched ‘My Airtel My Offer’ with Madhavan and Vidya Balan </li></ul><ul><li>Idea launched ‘Walk when you talk’ with Abhishek Bachan </li></ul>
  21. 24. <ul><li>Competitors in Market </li></ul>
  22. 25. Rebranding campaign <ul><li>Tagline – “ Change is good...” Baseline - “Hutch is now Vodafone” </li></ul><ul><li>“ Wherever you go our network follows..” To “ Make the most of now..” </li></ul><ul><li>Telecom major Vodafone Group Plc. wants its employees to see red. using its corporate colour to replace Hutch’s pink. </li></ul>
  23. 26. Vodafone Essar’s advertising campaign <ul><li>Promotional mix- </li></ul><ul><li>Advertisements – TVC, Print, Radio, hoardings </li></ul><ul><ul><li>Value added services ads – Visual ads supported by Print ads </li></ul></ul><ul><li>Events/programs – mtv splitsvilla </li></ul><ul><li>Sales Promotions – Special prepaid bundle for Diwali </li></ul>
  24. 27. <ul><li>Value Added Services of Vodafone needed more promotion </li></ul><ul><li>ZooZoos was the perfect way to spread awareness. </li></ul><ul><li>VAS is considered a cash cow for cellular companies </li></ul><ul><li>IPL season 2 had lot of scope to be taken advantage </li></ul>Need Identification
  25. 28. Advertising budget <ul><li>Hutchison Essar spent around Rs80 crores on advertising in 2006. </li></ul><ul><li>Initial annual budget that will be between Rs160 crores and Rs200 crores </li></ul><ul><li>To announce the name change, the company has earmarked an advertising budget of Rs 320 crores. </li></ul><ul><li>(Source : www.financialexpress.com , www.livemint.com ) </li></ul>
  26. 29. Introduction to ZooZoos
  27. 30. <ul><li>‘ Pug’ was the mascot for Vodafone </li></ul><ul><li>IPL 2008 had Vodafone going in Pug for </li></ul><ul><li>its ‘Happy to Help’ service </li></ul>
  28. 31. Characteristics each lends to ZooZoos: <ul><li>Cute </li></ul><ul><li>Quirky </li></ul><ul><li>Cuddly </li></ul><ul><li>Alien Species </li></ul><ul><li>Humanlike </li></ul><ul><li>Harmless </li></ul><ul><li>Kiddish </li></ul><ul><li>Archetype: Child </li></ul><ul><li>Humourous </li></ul><ul><li>Not complicated </li></ul><ul><li>Full of life </li></ul><ul><li>Simple </li></ul><ul><li>Approachable </li></ul><ul><li>Adorable </li></ul>
  29. 32. What do these characteristics convey? <ul><li>Familiarity </li></ul><ul><li>Cartoons we used to watch as kids </li></ul><ul><li>Invokes pleasant memories and fantastical world we used to live as children but branded by vodafone; cool to talk about </li></ul><ul><li>Does not produce bias of any kind(class, creed, religion…) </li></ul>
  30. 33. <ul><li>Zoozoos : Advertisement characters promoted by Vodafone during the India Premier League Season 2 </li></ul><ul><li>Campaign to communicate the VAS offered by the company </li></ul><ul><li>The ads were created by Ogilvy & Mather, an agency under Executive Creative Director, Rajiv Rao, South Asia. </li></ul>
  31. 34. Launch <ul><li>Launched on April 20, 2009 with about 30 different TVCs for VAS including – Cricket alerts, beauty alerts, phone backup, Chota Credit, Vodafone Maps, Vodafone call filter, Live games, Musical greetings... Etc </li></ul><ul><li>20 – 30 seconds duration with the ad message about the VAS. Ending with “Make the Most of Now” </li></ul>
  32. 35. Making of ZooZoos
  33. 36. <ul><li>Prakash Verma of Nirvana Films </li></ul><ul><li>Filmed in South Africa with local crew </li></ul><ul><li>Movement, Talk, Gestures, Emotions, </li></ul><ul><li>Costume designs and artwork </li></ul>
  34. 46. Costs <ul><li>Animations are 10-15 times costlier than real people </li></ul><ul><li>ZooZoos had low cost costumes, real people </li></ul><ul><li>Speedy Schedules </li></ul><ul><li>30 advertisements cost only Rs 3 Crores </li></ul><ul><li>20-30 sec long </li></ul><ul><li>ZooZoo name nowhere in commercial </li></ul><ul><li>Massive Viral Marketing </li></ul>
  35. 47. Use of internet for promotion <ul><li>Downloadable Ringtones, wallpapers, screensavers and videos </li></ul><ul><li>Facebook – aimed at building a community </li></ul><ul><li>Dedicated microsite – “What kind of Zoozoo are you?” </li></ul>
  36. 48. Official Fan page of ZooZoos on Facebook
  37. 49. Results… <ul><li>Big hit on the internet </li></ul><ul><li>Curiosity about the characters </li></ul><ul><li>According to Advertising Age: world’s most viewed video advertisement campaigns capturing first position </li></ul><ul><li>KOCHI: Vodafone has won PETA (People for Ethical Treatment for Animals) India's first Glitter Box awards for its popular 'ZooZoo' advertisement. </li></ul>
  38. 51. IPL Impact <ul><li>85% of most visible brand on screen </li></ul><ul><li>Hit in both the weeks </li></ul><ul><li>Most watched brand in breaks </li></ul><ul><li>Vodafone – 15% of commercial ads </li></ul>
  39. 52. Has been a Launch-Pad for both HTC and iPhone Mobile Phones
  40. 53. Official Sponsor for England Cricket Team since 15 years
  41. 54. Zoozoo Merchandise <ul><li>The various moods of the perky Zoozoos are aptly captured in the trendy T-shirts that are available at Rs.299 onwards, company officials said. (mugs, bed and bath accessories, key chains)
 </li></ul><ul><li>Vodafone customers will get 10 percent discount on their purchases of Zoozoo merchandise. </li></ul>
  42. 55. Mobile phones are becoming as indispensable as water <ul><li>Vodafone ‘totally automated’ Mobile </li></ul><ul><li>Phone Vending Machine </li></ul><ul><li>Innovation Award at the annual </li></ul><ul><li>UK Technology Innovation and Growth Award </li></ul>
  43. 56. Viral Marketing <ul><li>Vodafone was successful in effort of viral marketing </li></ul><ul><li>Strategy captured imagination of millions across the country </li></ul><ul><li>Every age group was interested in the ad and the related VAS products </li></ul>
  44. 57. <ul><li>ZooZoos dominating Social Networking sites </li></ul><ul><li>Created Strong Association </li></ul><ul><li>Wallpapers, emoticons, ringtones, videos, contests, pictures, stories etc </li></ul><ul><li>Videos had 3million hits in 3 weeks </li></ul><ul><li>Most watched viral video for 2 weeks </li></ul><ul><li>Youtube ad downloads </li></ul><ul><li>Twitter </li></ul>
  45. 58. SWOT Analysis
  46. 59. STRENGTHS <ul><li>Campaign penetrated both in the media as well as in social networking sites </li></ul><ul><li>Was representation of a common man depicted as a cartoon character ZOOZOO </li></ul><ul><li>Wide media coverage, more precisely through video </li></ul><ul><li>Easy and cheap animation leading to low production cost </li></ul><ul><li>No celebrity endorser - No associated risks and costs </li></ul>
  47. 60. WEAKNESS <ul><li>Had an undermining effect on the brand Vodafone </li></ul><ul><li>Difficulty in understanding faced by rural population </li></ul>
  48. 61. OPPORTUNITIES <ul><li>Revolution in the conventional way of advertising that was through public figures and celebrities </li></ul><ul><li>Low advertising cost leading to provision of cheaper services </li></ul><ul><li>IPL Season 2 expected to have good TRP’s </li></ul><ul><li>Huge Market. </li></ul>
  49. 62. THREATS <ul><li>A major intimidation to the brand VODAFONE </li></ul><ul><li>Ads could get lost in major marketing war during IPL </li></ul>
  50. 63. STP Analysis
  51. 64. Segmentation <ul><li>ZOOZOO - A cartoon character which represented common man </li></ul><ul><li>Segmented basis on types of services used </li></ul><ul><li>Urban and Rural region customers were separated out </li></ul>
  52. 65. Targeting <ul><li>Targeted customers who would use VAS services </li></ul><ul><li>Different kinds of VAS services were offered for different kinds of customers </li></ul><ul><li>Urban customers were more in focus </li></ul>
  53. 66. <ul><li>“ where you go the network follows you “ </li></ul><ul><li>Hutch , as a brand, always tried to connect with consumers in simple, honest and real manner, while vodafone is more young and fun brand. So consumer will see a shift reflecting a more vibrant brand. </li></ul><ul><li>The “pug” and actor Irfan Khan will be retained for the brand position. </li></ul>Positioning
  54. 67. Learnings <ul><li>Low cost ads can make good impact </li></ul><ul><li>Concept is important </li></ul><ul><li>Expensive Brand Ambassadors could be avoided </li></ul><ul><li>Ads more relate to common man </li></ul><ul><li>Most Importantly </li></ul><ul><ul><li>‘ Keep it simple’ </li></ul></ul>

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