The document provides information on the Indian telecom industry and Vodafone's operations in India. Some key points: - India's mobile subscriber base has grown from under 2 million in 2000 to over 812 million in 2011, with an annual growth rate of 73%. Vodafone has a 15% market share in India. - Factors important to customers when choosing a provider include network quality, call rates, and value-added services. - A brand analysis of telecom operators showed Vodafone had the strongest brand image and highest customer loyalty, though call rates were a weakness. - The recommendations suggest Vodafone should focus on improving call rates and continuing large

1. Brand Analysis and
Evaluation PRESENTED BY:
HITAISHI GUPTA
043026

2. Indian Telecom Industry
Circles Number in millions
Metros 4 114
A circles 5 288
B circles 8 335.5
C circles 6 115
India's teledensity has improved from under 4% in March 2001 to around 71% by
the end of March 2011.
The mobile subscriber base (GSM and CDMA combined) has grown from under 2 m
at the end of FY00 to touch 812 m at the end of March 2011 (average annual
growth of nearly 73% during this eleven year period).

3. Indian Telecom Industry
Others, 3.90%
Reliance, 16.81
%
Bharti, 19.70%
Uninor, 3.67% Vodafone, 16.5
6%
Aircel, 6.84%
Tata, 9.97% Idea, 11.55%
BSNL, 10.91%
The GSM ARPU(Average revenue per user) is Rs 100 (~ USD 2.2) per month.
There is a wide disparity in the rural and urban teledensity with rural teledensity at
34% vs. urban teledensity of around 157%.

4. Vodafone-Overview
Vodafone Mobile Subscribers in Vodafone Mobile Penetration in
the world (%) the world (%)
140
Others, 16 Europe, 19
120 130
100
103
Africa, 10
US/Canada, 6
80
60 69 65
58
India, 15 40
Other Asia
pacific, 18 20
China, 16 0
Europe US/Canada India China Africa
The total mobile subscribers in the world is 5.6 billion , out of which India occupies a market
share of 15 % , after Europe and China.

5. Vodafone-Overview
Vodafone Customers by Market(%) Vodafone Revenue by Market (%)
Others, 17
Germany, 17
India, 36 Others, 29
Spain, 5
UK, 5 Italy, 12
Italy, 6
Vodacom, 12
Spain, 11
Egypt, 9
Vodacom,
Germany, 12
10 India, 8 UK, 11

6. Vodafone India-Overview
2007 • Vodafone acquired a 67% stake in Hutchison Essar for
$10.7 billion. The company was renamed Vodafone
Essar. 'Hutch' was rebranded to 'Vodafone'.
2008 • Vodafone acquired the licenses in remaining 7 circles
and started its pending operations in Madhya Pradesh
circle, as well as in Orissa, Assam, North East and Bihar.
• Vodafone Group buys out its partner Essar from its
2011 Indian mobile phone business. It paid $5.46 billion to
take Essar out of its 33% stake in the Indian subsidiary.
It left Vodafone owning 74% of the Indian business.

8. Vodafone India-Overview
20th September (9 PM) – 21st September (9 PM)
24-hour Nation-wide Rebranding Campaign
2500000000
13 Channels; 5 Languages
TV Commercials, Contests etc

9. An entire episode of CNBC covered the transition as a case study
Day-after brand recall for Vodafone was 80%
Proclaimed by the industry and media as one of the best brand-
launches the country has ever seen
35 Million Subscribers transitioned seamlessly into brand
Vodafone and within six months of launch, it became the brand
of choice for over 44 million subscribers
The brand transition was the largest, fastest and the most successful in the
whole world. During the transition 4,00,000 multi brand outlets, over 350
Vodafone stores, over 1,000 mini stores, over 35 mobile stores and over
3,000 touch-points were rebranded in two months, with 60% completed
within 48 hours of the launch
- Times of India

10. Vodafone India-Overview
Strengths Weaknesses
Strong brand name An international brand name may mean
Wide distribution network that Indians may view it as a foreign
Financially stable brand
Strong brand connect with the customer Low margins to distributors and retailers
Strong customer base Servicing of client needs.
Opportunities Threats
Untapped rural market A number of competitors entering the
Introduction of newer technologies telecom space
Value added services market Mobile number portability
Business markets Fear of consolidation in the industry

11. Vodafone India
PERCEPTUAL MAP
High on
service Vodafone
Airtel
BSNL Tata
Reliance
MTNL
Low on esteem High on esteem
Aircel
Idea
Unitech
Loop Videocon
MTS
Low on
service

12. Research Methodology
• To conduct a Brand Analysis of Vodafone on the
Research basis of the secondary research through a
questionnaire, and primary research, in depth
Objective interviews to tap the top of the mind brand and
brand image of Vodafone.
Scope of the • The study is limited to Delhi/NCR Region.
study
Sampling • The sampling technique applied is snowball
sampling technique.
technique
Sampling Unit • 120.

13. Research Design

14. Brand Analysis Framework

15. Brand Analysis Construct
Construct Component Item in Questionnaire
General Brand Impression Brand Awareness I can recognize the brand among
competing brands
I can quickly recall the logo of the brand
I can quickly recall the brand ambassador
of the brand
I can quickly recall its tv advertisement
Brand Image Has a good reputation
Is a prestigious brand
Brand Specific Association Perceived Quality Has a good Network
Has good Call rates
Has good availability
Has good services
Emotional values Is the brand I love
Makes me want to use it
I want to stay associated with the brand
Gives me pleasure
I will Choose this brand over
Competitors
Brand Commitment Brand Loyalty I am loyal to this brand
I will Choose this brand over
Competitors
Each item was measured on a 5-point Likert-type scale
anchored by “strongly disagree” (1) and “strongly agree”
(5).

16. Findings
Gender
Female
40%
Male
60%

17. Findings
Age (in years)
>40
8% <20
17%
30-40
28%
20-30
47%

18. Findings
Yearly Family Income
>300000
21%
>1000000
28%
600001- 300000-
1000000 600000
44% 7%

19. Findings
Monthly Spending on Mobile phone
Bill
50-100
1%
>400
30%
101-200
47%
201-400
22%

20. Findings
Favorite Telecom Brand
Reliance
5% Idea
8%
Airtel
28%
Vodafone
59%

21. Findings
Colleagu
Purchase Decision Influencers
es Dealers
2% 1%
Advertise
ments
41%
Friends
52%
Family
4%

22. Findings
Brand that understands Indian
Consumers well
Airtel
28%
Vodafone
45%
Idea
9%
Tata
Docomo Reliance
5% 13%

23. Findings
Brand Factors important while choosing aCustomer
Image Care
5%
mobile service provider. services
3%
Availability
Value 2%
added
services
22%
Network
Call rates 36%
25%
Offers
7%

24. Findings
Factors important while using mobile.
SMS packs
19%
Incoming
and
Internet outgoing
31% calls
50%

25. Favorite Telecom Brand- Analysis
Cross Tab-
association
between mobile
service provider
and favorite
telecom operator
P- value <0.05
54.3% Reject Null
Hypothesis
83.3%
50% H1: There is
association
between mobile
service provider
and favorite
telecom operator
70% of the total sample chose Vodafone as its favorite telecom brand.
Vodafone has good Brand equity and people like Vodafone as a brand but still they
have different mobile service provider ????

26. Favorite Telecom Brand- Analysis
Cross Tab-
association
66.7% between gender
and favorite
telecom service
provider
75%
P- value >0.05
Fail to Reject Null
Hypothesis
H0: There is no
association
between gender
and favorite
telecom service
provider
Be it males or females, both love Vodafone as a brand and choose it
over their own mobile service provider.

27. Monthly Spending on Mobile Phone Bill and Service Provider
Correlation
Cross Tab-
association
67.9% between
monthly mobile
bill and telecom
service provider
52.8% P- value <0.05
44.4% Reject Null
Hypothesis
H1: There is
association
between
monthly mobile
bill and telecom
service provider
It was seen that cost conscious consumers who don’t spend much on mobile
phones or want to spend low, have Reliance as their mobile connection.

28. Findings
Construct Component Item in Vodafone Airtel Idea Reliance Tata
questionnaire Docomo
General Brand Brand Image Has a good 4.48 4.16 3.12 1.77 2.47
Impression reputation
Is a prestigious 4.49 4.53 3.78 2.27 3.08
brand
Brand I can quickly recall 4.51 4.53 3.87 1.53 3.13
Awareness the logo of the
brand
I can quickly recall 4.5 4.48 3.8 2.18 3.07
the brand
ambassador of the
brand
I can quickly recall 4.55 4.47 4.51 1.63 3.02
the tv ads of the
brand
Brand Specific Perceived Has a good 4.53 3.80 3.74 1.68 2.36
Association Quality network
Has good call rates 2.39 2.37 3.83 4.54 4.51
Has good 4.48 4.52 3.8 3.75 3.03
availability
Has good services 4.51 3.84 3.13 3.03 3.08
Emotional Is the brand I love 4.47 3.13 2.34 2.29 2.33
Values
Makes me want to 4.46 3.12 2.38 2.28 2.39
use it
I want to stay 4.43 3.79 4.36 2.28 3.08
associated with the
brand
Brand Brand I am loyal to the 4.41 3.88 2.31 2.23 2.3
Commitment Loyalty brand
I will choose the 4.43 4.51 3.07 2.16 3
brand over
competitors

29. General Brand Impression- Brand Image
Has a good reputation Is a prestigious Brand
P-Value < 0.05 <0.05
Analysis Brand type has an effect Brand type has effect on:
on: having a good having it being perceived
reputation. as a prestigious brand.
Reliance has the most Tata Docomo and
poor reputation. Reliance aren’t
considered to be
prestigious.

30. General Brand Impression- Brand
Awareness
Recall of Logo Recall of brand Recall of tv ads of
ambassador the brand.
P-Value < 0.05 <0.05 <0.05
Analysis Brand type has an Brand type has an Brand type has an
effect on: the effect on: the effect on: the
Recall of logo of Recall of brand Recall of tv ads of
the brand. ambassador of the the brand.
Reliance logo had brand. Reliance has the
the poorest recall. Vodafone and least, followed by
Idea have the Tata Indicom.
highest recall.
Reliance has the
least.

31. Brand Specific Association- Perceived
Quality
Has a good Has good call Having good
Network rates. availability.
P-Value < 0.05 <0.05 <0.05
Analysis Brand type has an Brand type has an Brand type has an
effect on: having it effect on: brand effect on: brand
being perceived to having good call having good
have a good rates. availability.
network. Reliance Vodafone is
has the most poor perceived to have
Network. worst call rates
followed closely by
Airtel.

32. Brand Specific Association- Emotional
values
Is the brand I Makes me want to I want to stay
love use it. associated with
the Brand
P-Value < 0.05 <0.05 <0.05
Analysis Brand type has an Brand type has an Brand type has an
effect on: brand effect on: brand effect on: brand
being loved more. that pulls that customers
customers towards want to stay
. it. Reliance scores associated with.
the least and
Vodafone the
highest.

33. Brand Commitment-Brand Loyalty
I am loyal to the I will choose the Brand
Brand over Competitors
P-Value < 0.05 <0.05
Analysis Brand type has an Brand type has an
effect on: brand that effect on: brand that
customers are loyal to. customers over
Vodafone has the competitors.
highest loyalists.
.

34. Recommendations
Brand Customer
Factors important while using mobile. Factors important while choosing a
Image Care
mobile service provider.
1
5% services
3%
Availability
2%
SMS
packs Value
19% added
services
22%
Incoming
and Network
outgoing Call rates 36%
Internet
calls 25%
31%
50%
Offers
7%
• Vodafone should work on its call rates as it scores very low in
comparison to its competitors on having good call rates.
• Call rates form the second most important factor while choosing a mobile
service provider and Incoming and outgoing calls form the most important
factor while using mobile services.

35. Recommendations
Airtel Vodafone
2
20
17
3.1 2.85
Advertising Spent 2009 (Rs billion) Increase in users (million)
• Advertising spent has a direct correlation with increase in the number of subscribers.
Hence Vodafone should continue to advertise and penetrate deeper into the Indian
market.
• Vodafone should also go for Market Development for the Rural part of India. Tele
density in India is still 70%. There is 30% of the untapped market left to be tapped
and only 37% penetration in rural India.

36. Recommendations
Change in subscriber after MNP (lakhs)
3
Change in subscriber(lakhs)
8.24
7.11
6.5
Idea Rcom Vodafone Bharti Airtel
-12
• Idea gained the maximum subscribers after MNP because it made all
the effort to advertise for MNP.
• Vodafone should also advertise on the benefits that mobile users
would gain by changing their connection to Vodafone.

37. Recommendations
4
Since Five Indian states would stand
among the 20 most populous nations in the
world and Uttar Pradesh has a population
which is more than the fifth largest country
in the world, hence Vodafone should focus
its marketing efforts to acquire users in
these 5 states.

38. Recommendations
5
• B and C circle have very low penetration which gives Vodafone a market
development opportunity.
• Vodafone should come up with some special plans for these two circle in order to
increase its reach.

39. Recommendations
Monthly Spending on Mobile
6
phone Bill
50-100
1%
>400
30%
101-200
47%
201-400
22%
Vodafone, which has an average of 5 to 6 megahertz of spectrum in most
zones in India, compared with the 22 megahertz it holds on average in
other countries should use its global expertise and increase the spectrum in
India as well.
This would help it provide better Value Added Services at cheaper Rates
and increase average revenue per customer.

40. Recommendations
What connects you with Vodafone the most
Happy to Power to you Express yourself
7
Help 0% 2%
7%
Red/White
Colors
12%
Pug/Dog
21%
Zoo Zoo
58%
• The consumers tend to remember more about the zoo zoos and the pug
while the basic service attributes that can be attached to a telecom
operator are not really crossing the mind of the consumer when talking
about the brand.

41. Recommendations
8
• Vodafone’s tagline of “Happy to Help” is not going down well as consumers
who are not satisfied with Vodafone cite the main reason as poor customer
service. Clearly Vodafone is not being able to stand up to its own promise.

42. Indepth Interviews- Vodafone Users

43. Limitations
• We faced time constraint during our research, as we had less number
of days for the completion of the research.
• Money constraints: We haven’t had the proficiency to carry wide
surveys for collecting primary data, and hence were not also able to
hire specialized market experts and research agencies to collect
primary data. Thus, we had to go for obtaining secondary data that is
cheaper to obtain.
• Sample size: Due to time constraint, we had to go for snowball
sampling.
• The research was conducted in open marketplace where numerous
variables act on research settings.

44. References
• Lee, M.Y., Knight D., Kim Y.K. (2008). Brand analysis of a U.S. global brand in comparison with domestic brands.
Journal of Product & Brand Management.
• Bhardwaj, V., Kumar, A. and Kim, Y.K. (2010). Brand Analyses of U.S. Global and
• Local Brands in India: The Case of Levi's. Journal of Global Marketing.
• Kotler, P., Keller, K., Lane, Koshy, A., Jha, M. (2009), Marketing Management (13e), Prentice Hall, Delhi.
• Vodafone expects to triple data revenue in India, The Times of India, Jan 9, 2012. Accessed on 19 January 2012.
• Rajpurohit, R.C.S. and Dr. Vasita, M.L (2011), Consumer Preferences and Satisfaction towards various mobile phone
services providers.
• Sathish M (Feb. 2011), A Study on Consumer Switching Behaviour in Cellular Service Provider: A Study with reference
to Chennai.
• Service Provider wise Wireless Market Share (CMS) October 2011, http://www.indiatelecomonline.com/service-
provider-wise-wireless-market-share-october-2011/, accessed on 10 January 2012.
• Vodafone Annual
report2011, http://www.vodafone.com/content/annualreport/annual_report11/index.html, accessed on 9 January
2012.
• Snapshot: India Telecom Market, http://www.telecomcircle.com/2009/06/india-telecom/, accessed on 9 January
2012.
• Research Indian Telecom Industry, http://www.equitymaster.com/research-it/sector-info/telecom/, accessed on 9
January 2012.

45. Thank You