CONTENT

Preface ................................................................................................................. ii

Acknowledgement

...........................................................................................

vii

Introduction......................................................................................................1

Company

Profile

Vodafone

............................................................................

Service

of

Vodafone..........................................................................................9

Promotional

Strategy.....................................................................................28

Market

Situation.............................................................................................29

Competitive

Situation.....................................................................................29

Market

Segmentation.....................................................................................31

Target

Market

Segmentation........................................................................31

Positioning.......................................................................................................32

Product

Policy

and

Planning.........................................................................32

Vodafone

Marketing

Orientation.................................................................35

Marketing

Strategy

Adopted

by

Vodafone..................................................36

Distribution.....................................................................................................38

LITERATURE Telecommunication Indian Cellular

REVIEW Market Market in

.............................................................................41 India ................................................................ 41 47

.....................................................................................

GSM Market in India ....................................................................................... 48 Methodology...................................................................................................55 Objective Research .......................................................................................................... Methodology ..................................................................................... 55 55

Limitation Finding and

........................................................................................................

55

Analysis......................................................................................56

SWOT

Analysis

.............................................................................................76

Conclusion........................................................................................................77

Recommendation............................................................................................79

Bibliography...................................................................................................81

INTRODUCTION

COMPANY PROFILE VODAFONE

Vodafone Essar, previously Hutchison Essar is a cellular operator in India that covers 16 telecom circles in India. Despite the official name being Vodafone Essar, its products are simply branded Vodafone. It offers both prepaid and postpaid GSM cellular phone coverage throughout India and is especially strong in the major metros. Vodafone Essar provides 2G services based on 900Mhz and 1800Mhz digital GSM technology, offering voice and data services in 16 of the country's 23 licence areas Vodafone Essar is owned by Vodafone 52%, Essar Group 33%, and other Indian nationals, 15%. On 11 February 2007, Vodafone agreed to acquire the controlling interest of 67% held by Li Ka Shing Holdings in Hutch-Essar for US$11.1 billion, pipping Reliance Communications, Hinduja Group, and Essar Group, which is the owner of the remaining 33%. The whole company was valued at USD 18.8 billion. [2] . The transaction closed on 8 May 2007. Previous brands In December 2006, Hutch Essar re-launched the "Hutch" brand nationwide, consolidating its services under a single identity. The Company entered into agreement with NTT DoCoMo to launch i-mode mobile Internet service in India during 2007. The company used to be named Hutchison Essar, reflecting the name of its previous owner, Hutchison. However, the brand was marketed as Hutch. After getting the necessary government approvals with regards to the acquisition of a majority by the Vodafone Group, the company was rebranded as Vodafone Essar. The marketing brand was officially changed to Vodafone on 20 September 2007. In Mumbai, it was earlier known by the name Orange, a brand that used to be marketed by its former owner, Hutchison. Still earlier it was known as Max Touch and AceTel even before that On September 20, 2007 Hutch becomes Vodafone in one of the biggest brand transition exercises in recent times. Vodafone Essar is spending somewhere in the region of Rs 250 crores on this high-profile transition being unveiled today. Along with the transition, cheap cell phones have been launched in the Indian market under the Vodafone brand. There are plans to launch co-branded handsets sourced from global vendors as well. A popular daily quoted a Vodafone Essar director as saying that "the objective is to leverage Vodafone Group's global scale in bringing millions of low-cost handsets from across-the-world into India." While there is no revealing the prices of the low-cost Vodafone handsets, the

industry is abuzz that prices might start at Rs 666, undercutting Reliance Communications' much-hyped 'Rang Barse' with cheap handsets beginning at Rs 777. Meanwhile, Vodafone Essar sources said there would be no discounts or subsidized handset offers --rather handset-bundled schemes for customers. Incidentally, China's ZTE, which is looking to set-up a manufacturing unit in the country, is expected to provide several Vodafone handsets in India. Earlier this year, Vodafone penned a global low-cost handset procurement deal with ZTE Vodafone subscriber base The Vodafone subscriber base according to COAI -Cellular Operator Association of India as of March 2008 was:
Delhi - 3,216,769 Mumbai - 3,451,567 Chennai - 1,174,589 Kolkata - 1,974,177 Maharashtra & Goa - 2,610,389 Gujarat - 6,010,594 Andhra Pradesh - 2,601,458 Karnataka - 2,850,346 Tamil Nadu - 3,180,820 Kerala - 2,001,133 Punjab - 1,645,501 Haryana - 1,282,208 Uttar Pradesh (West) -2,858,429 Uttar Pradesh (East) -3,508,355 Rajasthan - 2,934,598 West Bengal & Andaman and Nicobar - 2,825,310

The total is 44,126,243 or 22.93% of the total 192,355,939 GSM mobile connections in India till March 2008. Vodafone does not operate in Assam, Bihar, Himachal Pradesh, Jammu & Kashmir,

Madhya Pradesh, Orissa and the North Eastern States Vodafone Hutch Deal (Including Quote & unquote) Britain's Vodafone announced on February 11 that it had decided to pay $11.1 billion in cash and assume $2 billion in debt to buy a 67% stake in Hutchison Essar, one of India's largest mobile operators with more than 22 million subscribers. Vodafone's purchase of the controlling interest in Hutchison Essar --or Hutch, as it is commonly called --from Hong Kong-based shipping and real estate baron Li Ka-Shing values the company at nearly $19 billion, which is twice as much as the first round of bidders in January thought it was worth. Four days later, the Aditya Birla group's Idea Cellular --another large mobile phone services provider with 12.4 million subscribers --found more than $27 billion in investor money bidding for its stock during the company's initial public offering, which had intended to raise some $480 million. The IPO was oversubscribed by 57 times, according to media reports. As both transactions show, India's mobile phone market is red hot --which begs the question whether it is too hot. Are these enormous valuations justified by the market's growth potential? Their view is that while it might appear that these transactions are overvalued, the market has lots of growth potential. As such, a shakeout --if it occurs -- is unlikely in the near future. The growth numbers explain most of the market's fervor. India's cell phone user population doubled during the past year to 150 million at the end of 2006. More than 6 million new subscribers are signing up for mobile services each month, making India the world's fastest growing mobile market. Cell phones are not just a way to keep in touch with loved ones in a country that loves to talk, but in a booming economy they also become workstations for millions in India's unorganized sectors. Vodafone's India-born CEO Arun Sarin said in a speech in Barcelona recently that he expects the 150 million subscriber base --which represents a penetration rate of just 13% --to grow to 500 million in a few years. Much of this growth is expected to come from more than 600,000 Delhis where millions of Indians live. "We are really excited to move into the rural areas," Sarin said in his speech. "Whenever we get into these rural areas, we find people love to talk. They light up our base stations immediately." Wharton marketing professor Jagmohan Raju says enterprise valuations at the level of Vodafone's payment for Hutchison Essar might not appear to be justified using conventional analysis tools, but he agrees with Sarin that most of the growth in the future will come from the lower end of the market in rural India. "The way to justify these valuations is not to base them on how many subscribers [the acquiring company plans] to have. The numbers are justified based on a prediction of higher value-added services, and also some sense of how mobile phones can be used for marketing. Will the mobile handset be a device that will be used to send ads --perhaps video ads --to subscribers? Can you add more services and more value at the lower end, with somebody else subsidizing the cost of the phones?" He says these value-added services could go

beyond ring tones and text messaging to bringing television and advertising to handsets. A.T. Kearney's Indian operation, believes that Vodafone's Hutch deal is good for shareholders of both companies as well as consumers. "This is a deal priced to perfection," he says. "It is a good strategic fit all around." this transaction secures Vodafone's position as a major player in the global telecom industry and gives the company a strategic presence in Asia. Like other global telecom firms, Vodafone is looking for growth in Asia because markets like the U.S. --which has an 80% penetration rate for cell phones -- offer little growth potential. This deal is also a "huge windfall for the Hutch guys,". "They could not have wished for anything more." He believes that Vodafone will now go about trying to increase its market share from 15% at present to at least 25% in the next few years. In the process, Vodafone will face strong competition from Indian mobile firms such as Reliance Communications. Price wars are likely as the battle heats up, and these will ultimately benefit Indian consumers. "They will get a better global franchise and access to technology and features as India becomes the tech battleground,. Significantly, Vodafone has signed a deal with India's biggest mobile operator, Bharti Airtel, to share the costs of infrastructure development in rural areas. "In the developed world, you have guaranteed power supply, but [in India] the power supply to your base station battery is uncertain, and that adds to the cost,". "The fact that Vodafone and Bharti Airtel are going to share base stations in rural areas is a good sign, because it has a multiplier effect." He sees the same underlying fundamentals driving the record subscriptions for Idea Cellular's IPO. "These are highly correlated," he says. "Those are mind-boggling numbers, and further validate the growth story for mobile phone services in India." Customer Service Clearly, Vodafone will face me-too competitors as it attempts to increase revenue and profitability with value-added services in the face of the lower ARPUs (average revenue per user) that industry analysts predict. ARPUs for Indian mobile phone service providers range from $10 to $20 a month, and Hutchison Essar currently occupies the top slot. So where does its competitive edge lie? Britain, Vodafone sets itself apart from the competition with "aboveaverage customer service." He describes Indian customer service levels as "abysmal" and notes that Vodafone could use its strengths in that department to increase ARPUs from higher-end customers and reduce customer churn. "It's about training your work force as you manage growth, and Vodafone has that capability, "Any player capable of doing that in the current Indian scenario will have to attract and retain a fickle and under-trained workforce. If it is executed well, this strategy can lead to significant rents." Vodafone's edge here, he says, could be that its

service levels will be "hard to replicate" for Indian mobile service providers as "it may not be part of their DNA." One of the key issues in valuations is the reliability of revenue recognition, and that will come with more post-paid subscribers than prepaid," he says. "The U.S. market has more post-paid subscribers than prepaid ones." Market estimates put prepaid mobile phone users in India at about 80% of the total. The gains are manifold for providers that are able to win over more postpaid users. "Post-paid services are easier to manage, and have fewer intermediaries," he says. "Right now, companies have to pay huge margins to retailers in India who sell these prepaid cards." Vodafone will face with its acquisition is ensuring synergies and integration across the two companies. "This is where the rubber meets the road. The high-growth, high-volume and lowmargin Indian market is significantly different from the rest of Vodafone's acquisitions. Vodafone will do well to emulate the lean model of [Bharti] Airtel, but it also has the opportunity to segment the consumer base and exercise price and service quality differentiation." The Vodafone deal is a precursor of more big-ticket transnational deals in the Indian marketplace. "With Indian firms becoming aggressive and attacking the incumbents in their home markets, the leaders in those markets will also try to make big moves. We have seen that happen in the business process outsourcing industry (such as Citigroup, IBM and GE expanding their Indian presence), and we will see it happening in IT too." Who moves first in these strategic wars before the other guy blinks will be decisive, Bhattacharya adds. "One option is to wait and get attacked. Or they [foreign companies] will look at defending themselves by launching their own attack."

As competition for India's mobile market heats up, a shakeout -- and possibly mergers --is likely, but A.T. Kearney's believes this will not happen anytime soon. "The market is still in its early stages," he says. "Penetration is still low, and the cell phone has become accessible technology for everyone. It is perhaps the one device that has broken the caste/economic barrier with ease." predicts that eventually India's penetration rates could rise as high as those in the U.S., though it is hard to predict how long that might take. "The market will grow and rural penetration will continue for the next three or four years," he says. Once that market is saturated, "a shakeout is natural, but that will happen a few years out." Until then, though, there should be enough room for India's mobile services operators to grow without stepping on one another's toes.

SERVICES OF VODAFONE Vodafone Prepaid Cell phone connection Go mobile with a Vodafone Prepaid cell mobile phone and control how much you spend with the best Prepaid cell phone tariff plan. Buy a special Prepaid mobile handset for your Vodafone Prepaid cellphone connection with our Prepaid mobile handset offers. To keep talking without any talktime or validity hassles make use of our flexible recharging options for your Vodafone Prepaid SIM cards: Prepaid recharge cards, eTopUp and Direct Top-Up. Its easy to find a Prepaid recharge top up too: weve got Prepaid outlets everywhere, so that you can stay connected wherever you are. And thats not all you can also subscribe to our unique Prepaid cellphone services and Prepaid mobilephone offers and make the most of your Vodafone Prepaid SIM cards in India. Prepaid mobile phone tariff plan Reach out to the world with a Vodafone Prepaid SIM card without worrying about mobile Prepaid recharge minutes and Prepaid phone rates. Select a Prepaid mobile phone tariff plan that works for you. Choose your Prepaid mobile phone tariff plan Prepaid phone services Subscribe to Vodafones unique Prepaid cellphone services and make the most of your Vodafone mobile phone. For our Prepaid cellular services. Bonus Cards Charge your Prepaid phone and enjoy slashed Prepaid phone rates with Bonus Cards for your Vodafone Prepaid cellphone tariff plans.

Vodafone Postpaid Go Vodafone with a new Vodafone Postpaid connection and talk without worrying about your bill. Become a Vodafone Postpaid user with a Postpaid mobile handset for your SIM by making use of Vodafones mobile handset offers. Make the most out of every penny you spend by choosing the right Vodafone Postpaid talkplan. And if you want to know which plan suits your usage best, ask us well be happy to help.

Whats more you can also subscribe to our Vodafone Postpaid offers and reduce expenses even more. Take a look at the various services we have for you and use your phone for many more than just making calls. And when it comes to paying you bill thats easy too! Weve got a wide variety of Vodafone Postpaid bill payment options. Choose the payment option that works best for you.

World Calling Cards Save up to 30% on your ISD & STD calls with World Calling Card from Vodafone for your Vodafone mobile phones. World Calling Card from Vodafone is a Prepaid long distance calling card that you can use with your Vodafone Prepaid and Postpaid mobile phones to make ISD & STD calls. Thats right you dont need individual ISD calling cards and STD calling cards anymore. With the help of this Prepaid World Calling Card, you can keep a tab on your longdistance call expenses. Plus no security deposit. Its easy to buy World Calling Cards in India. World Calling Cards are available at your nearest Vodafone Store, Vodafone Mini Store or at any shop that displays the World Calling Card sign. World Calling Card rates Make the most of your Vodafone mobile phone while making long distance calls with the special World Calling Card rates meant to help you save money. Check out World Calling Card rates International Prepaid calling cards Scratch the silver foil on the cell phone calling card for India to get your secret 12-digit PIN. Dial the toll free number on the back or 50118 / 50218 and enter the PIN from your Prepaid World Calling Card. To make an STD call with your Prepaid mobile phone card, dial 0 followed by the STD code and then the phone number. Gulf Calling Card Now you can call the Gulf at the lowest possible calling card rates with the best Prepaid phone card for the Gulf. Vodafone Home Calling Card Heres a way you can save on your international roaming bill while calling home use the

Prepaid Home Calling Cards from Vodafone to call to India to anywhere else in the world while travelling abroad. Vodafone Home Calling Card is a Prepaid calling card that allows you to make calls from landlines, PCOs & mobile phones from over 100 countries. And helps you save up to 90% as compared to International Roaming charges! So talk more, spend less and always stay connected. Home Calling Card rates Make the most of your Vodafone Prepaid & Postpaid cellphone while making long distance calls with the unique Home Calling Card rates and save money. Check out the Home Calling Card rates Need help with your Vodafone Prepaid Home Calling Card for India? Vodafone PCO Want to start making some money? Install a Vodafone PCO in your house or shop, and start earning today with fixed cellular terminals. Its easy to install, maintain and use and provides uninterrupted service. It doesnt even take up that much space!

Vodafone Handy phone Introducing the landline thats loaded with all the features of a cell phone -including low call rates. And Vodafone Handyphone arent that expensive either. You can make one yours for as little as Rs 1999. Key features: Calls to any 3 Vodafone numbers @ 20p / min Calls to all local mobile phones @ 40p / min Free local & STD calls every month

Vodafone Music Station Now your Vodafone mobile phone can replace your favourite FM Radio Station with Vodafone Music Station -your personal mobile music world! Find out more about Vodafone Music Station Ringtones
Make your phone sing your favourite tunes for you every time it rings with Vodafone Ringtones for your mobile phone. Take your pick from monophonic Ringtones, mobile polyphonic Ringtones, latest Bollywood MP3 Ringtones, funny Ringtones, Hindi music Ringtones, true tones Ringtones, real tones Ringtones, devotional Ringtones and lots more.

Themes, Wallpapers & More Create your own mobile wallpapers, just the way you want them. You can also download mobile wallpapers, themes and more by choosing from a wide range of categories.

Full Song Download Your Vodafone mobile phone can also be used for cool music downloads. Just download full songs -from the latest chartbusters to your favourite golden oldies. Find out more about Vodafone mobile music downloads SMS Tones
Ring in every message you get with a message alert tune of your choice. Find out more about

Videotones Dont just hear your favourite song every time your phone rings; watch it too. Find out more about downloading Videotones Astrology Demanding, chilled out, auspicious or fun-filled? Your Vodafone mobile phone knows how your day is going to be. Find out more daily forecasts on your Vodafone mobile phone

Rahukal & shubhkal Find out if this very moment is auspicious or not, with your Vodafone mobile phone. Just SMS. Panchang Match your best times ahead of time according to ancient Vedic astrology with your Vodafone mobile phone. Chogadia Be successful in everything you do. And ensure you do it at the right time, with your phone. Bill info You can get your Vodafone bill in your inbox. Or hear it on your phone. You can even choose the language it comes in. And do a lot more, all through your phone. EBill Get your Vodafone bill in your inbox, every month. Find out more about Vodafone EBill Itemised billing Keep an eye on your phone usage with a detailed billing statement. Find out more about itemised billing

My Vodafone bill Got questions about your bill? Get the answers anytime you need.

Vernacular bills Get your Vodafone bills in your language. Duplicate bill Log on to My Vodafone to request a Vodafone duplicate bill.

Payment centres Find out which Vodafone payment centre is closest to you.

Devotional Bible in mobile Read the Bible on your Vodafone mobile phone whenever you like. Just send an SMS and get to read inspiring verses right on your phone screen Find out more about Bible in your Vodafone mobile phone. Gurbaani Turn your mobile phone into a virtual Gurdwara. Just dial 390 and listen to the Gurbani live anytime, anywhere.

Devotional - Pope Get the daily quotes from His Holiness Pope Benedict XVIs on your mobile phone.

Bhaktisagar Chasing materialistic dreams in this fast-paced world? Snatch a moment of peace dial 389 for Bhaktisagar on your Vodafone mobile phone.

Osho Know more about Oshos life and teachings on your Vodafone mobile phone.

Vodafone Devotional Alerts Log on to Vodafone live! and click on the Spiritual link from the Vodafone live menu to access a cost of services.

Dial-in services Everything you need is just a call away, when you have Dial-in services from Vodafone by your side. Mail Messaging BlackBerry from Vodafone Get your hands on the BlackBerry smartphone the worlds most desired integrated communication device with the Vodafone advantage. Subscribe to the BlackBerry Enterprise solution and move your work out of your office. Use the BlackBerry Internet Service and stay in touch with colleagues, family and friends from anywhere, anytime.

Vodafone Mail Want to check your mails on mobile from wherever you are? Vodafone will make it possible for you.

Yahoo! Mail & Messenger on mobile Never lose touch with your Yahoo! buddies even while youre on the move.

TARIFF STRUCTURE Prepaid Tariffs Airtel Prepaid Ready Cellular Card and Recharge Cards are available, all over the city at over retail outlets including 24-hour outlets. Airtel Prepaid Ready Cellular Card and Recharge Cards are available, all over the city at over retail outlets including 24hour outlets.

Vodafone Prepaid Regular 449 SUK Pulse Rate Price of Pack (Rs.) Free Airtime on Pack (Rs.) Incoming Calls (Rs.) 60 sec Rs.449 Nil Free while in home network Vodafone GSM / CDMA (10 Digit) Rs.1.20 Rs.2.75 Rs.2.00 Rs.2.75 Landline / WLL

LOCAL RATES (Rs./min) STD RATES (Rs./min) ISD (Rs./min) USA, Canada, Europe (Fixed

Rs.2.40 Rs.2.75

Rs.6.40

Line), Australia, Singapore, Hong Kong, Thailand, Malaysia, Indonesia, New Zealand. Gulf, Europe (Mobile), SAARC countries, Africa & Rest of the world Cuba, Sao Tome & Principe, Guinea Bissau, Diego Garcia, Nauru, Solomon Islands, Vanuatu, Cook Islands, Tuvalu, Tokelau, Norfolk Island, Sakhalin SMS (Rs.) Local National International Other Details *Rs 50 Local Vodafone-Vodafone Mobile talk time per month for 6 months * First month Vodafone-Vodafone credit within 72hrs of activation & balance credit by 1st week of every month) *The SMS charge as applicable is per 160 characters * Validity- 24 months. Rs.1.20 Rs.2.00 Rs.5.00 Rs.40.00 Rs.9.20

POSTPAID Vodafone Postpaid allows you to choose from a variety of affordable talk plans, convenient payment options and host of rich features. So get set to enjoy a world of limitless possibilities! Reference Tarif Packages (RTP) ON TIME CHARGES Activation Charges Membership Fee

Rs. 600 NA

Security Deposit MONTHLY CHARGES (FIXED) Bill plan Charge Monthly Rental Clip MONTHLY CHARGES (OPTIONAL) Clip

Rs. 1000 Rs. 524 Rs. 425 Rs. 99 NA Rs. 99 Vodafone

GSM / CDMA (10 Digit) Rs 1.99

Landline / WLL Rs 1.99

Local Rates STD RATES 50 200 Km 200 500 Km 500 + Km

Rs. 1.99

ISD USA, Canda, Europe (Fixed Line), Austalia, Singapore, Hong Kong, Thailand, Malaysia, Indonesia, new Zealand Gulf, Europe (Mobile), SAARC Countries, Africa & Rest of the world Cuba, Sao tome & Principle, Guinea Bissau, Diego Garcia, Nauru, Solomon Islands, Vanuatu, Cook Island, Tuvalu, Tokelau, Norfolk Island, Sakhalin SMS Local National International Value Added Services (Rs.)

Rs. 7.20

Rs 9.99 Rs. 40.00

Rs. 1.50 Rs. 2.00 Rs. 5.00 Rs. 3.00

PROMOTIONAL STRATEGY Vodafone to Touch Tomorrow with a new brand vision The Hutch Mobile promoted Vodafone cellular service will go in for repositioning of its brand image. The new brand ethos is portrayed in two distinct fashions -the tag line "Touch Tomorrow", which underscores the leading theme for the new brand vision, followed by "The Good Life", which underscores a more caring, more customer centric organization. Aimed at reengineering its image as just simply a cellular service provider to an all out information communications services provider, Touch Tomorrow is meant to embrace the new generation of mobile communication services and the changing scope of customer needs and aspirations that come along with it The new communication is about a new dimension in the cellular category that goes beyond the Internet, SMS, roaming, IVRS, etc but which engulfs the whole gamut of wireless digital broadband services that will constitute tomorrows cellular services. The new campaign is in two phases -the first of which will communicate overall brand philosophy and the second products and services. According to Mr. Jagdish Kini, Chief Operating Officer, Hutch Mobile Limited, Karnataka "We are adopting a new brand-platform -Touch Tomorrow -not only to reflect our corporate ethos but also business strategy".
The new identity will have the logo in Red, Black and White colours along with lower case typography to convey warmth. Vodafone will incorporate the latest branding in all of its communication and will soon be going in for an enhanced promotional drive to establish the brand's presence

LIFE TIME PLAN PRE-PAID card users need not worry anymore about recharging their coupons every month. Company has launched a plan that allows users to take a pre-paid connection with lifetime

validity for a one time payment of Rs. 999. Subscribers availing themselves of this scheme will also get full talk time for the recharge coupon they purchase and also have the option to buy Taiwanese manufactured Bird mobile handsets for as low as Rs. 1,399. The move is aimed at stopping the churn in the pre-paid subscriber base. Once a subscriber takes this plan, he will always be an Vodafone subscriber whether the mobile is being used or not. MARKET SITUATION At the time of launch The first mover in the market was Vodafone which launched its services in Delhi in Aug 1995 (Informal launch). Essar Cellphone followed by launching its services informally in Oct 95. At this point of time, the market was at a nascent stage, awareness level was low and both operators independently tried to spread awareness and educate the people Once the networks were commercially launched, it became a number game with a multitude of schemes being offered to woo customers Initially the cellphone was perceived as a status symbol and utility took a back seat The target segment in Delhi were corporate and the high income group. The average capacity installed was for 1.5 lakh subscribers. This coupled with the steep license fee paid to DOT put pressure on the operators to break-even by rapidly expanding their markets. In the first two years, this led to a number of schemes being offered and prices crashing.

COMPETITIVE SITUATION Vodafone launched its services before Essar and skimmed the market picking up the bulk of the high usage premium clients. This is a very competitive industry with the two companies differentiating either on valueadded services or price. Vodafone is perceived as the high quality provider and has a premium image. Essar, on the other hand, is perceived as the lower end service provider. Vodafone positions itself as the market leader on the basis of the number of subscribers. Essar is trying to counter this by emphasising on the reach of its network and the quality of its service. However, Essar is somewhat not been very successful largely due to the inconsistency in advertising To promote themselves, both the players have been dependent on tactical advertising However, they have restrained from using comparative advertising Hoardings have been a very popular medium for carrying the advertisements Vodafone has also been advertising on television using the Hutch Telecom name.

SALES DEPARTMENT AND STRATEGY

A A. Major Accounts (Direct Channel) H Handles corporate (named and famed) accounts F Forecasting of sales M Mapping the accounts P Providing after sales support to the subscribers. M Maintaining call reports for records. Providing Feedback to the marketing department regarding the requirement of the market. B. IDC (indirect Channel) I H Handling distribution M Maintaining records and level check of the channel partner Liaisoning between the channel partner and the company.

T Target achievement Training the executives of the channel

.C. Distribution Support .1. Logistics 1 Monitor handset and SIM card requirements of channel partners and co-ordinate with s stores Settle areas of concerns such as incentive claims of channel partners .2. Rental 2 P Provide cellular services (SIM cards) on rent. P Provide cellular phones on rent Useful for people visiting Delhi for a short interval.

3 Telesales C Call customers and generate sales lead. F Follow up with the customers, if they need any assistance Pass on the sales lead to the channel department. 4 A Audit C Consultant to the Vodafone showrooms. Monitor the operations at the Vodafone distribution outlets Organize training.

5 5. Retail L Locate shops to open retail counters. Monitor the retail counters.

MARKET SEGMENTATION Segmentation is beneficial because of better predictability of the target consumer group, minimization of risk exposure, better ability to fine-tune a product / service to the requirement of target buyer and the resultant ease in designing a proper designing marketing mix strategy In this case segmentation is on the bade of income. In evaluating different market segments the company looks at two factors The overall attractiveness of the segments and the company's objectives & resources The present market for Cellular phones, pagers and conventional phones is as follows L

Premiu Middle Economy m Upper Lower Upper Lower Upper Lower Cellular Phones X X X Pager X X X X Conventional Phones X X X X X X Market Segment Targeted TARGET MARKET SEGMENT Vodafone has targeted the premium and upper middle class. The rationale behind it is that only those segments should be targeted who value time and have the paying capacity. It Is also planning to target the business tourists during their stay in the capital About 60% of the clientele are top executives of corporate houses. About 15% are foreign organisations and the rest are professionals and small businessmen. During the introduction stage there was intense pressure to get consumers across to hook up with their brand, because getting them to switch brand loyalty later would be hard So far Vodafone marketers have been concentrating totally on the business executive class but now that the basic viable volumes has beer) built up and prices have declined to a certain extent they are planning to venture further a field.

POSITIONING The product is sought to be positioned as a business efficiency tool. a lifestyle revolution and a status symbol The emphasis is to remove misconception that the cellphone is an expensive means of communication and drive home the point that the cellphone is actually a day-to-day utility PRODUCT POLICY AND PLANNING The product or service is the heart of the marketing mix. Without a product or a service customers' needs cannot be satisfied. The basic product promise by Vodafone is mobility. Vodafone's main marketing strategy is to be a first mover all the time. It has recognised the significance of making the first move--because in the field of Communication & Information Technology changes occur at a tremendous pace. Effective product segmentation has to be carried on continuously because basic services can be and will be copied and in time become expected component of the product. Vodafone seeks to carry out this segmentation through provision of new information services and making new facilities available. The product policy and planning depends on the stage of the product life cycle. At present the cellular phone market has reached the maturity stage. Since, the premium segment is nearing saturation the company targeting the upper middle and middle-middle class. In order to do so Vodafone is trying to optimise the price performance package by offering suitable "product bundling".

This involves the selection of the suitable hardware (handset) and its software (its services.) with reasonable price in order to deliver maximum price performance to its customers. In addition, it offers free Airtime services and other concessions to make the prices and thus the product more attractive. It has also opened a 24 hours customer service. Only price doesn't serve as an effective differentiator, value added services become the effective differentiator. The "Value Added Services" provided from Vodafone are:-i) Voice Mail service This system is similar to the answering machine -if the user is not able to answer a call for some reason the caller can leave messages in the voice mail box which can be later retrieved by the user ii) Short Message Service The short message service is like a two-way pager. It gives an option of sending and receiving text messages directly from one mobile phone to another without the intervention of an operator.

iii) Mobile Fax 1 Data Service This service helps the subscriber to send and receive Faxes, access E-mail, download computer files from other systems and remotely log on to another computer and surf the Internet.

iv) Cash Card The cash card is a pre-paid and pre-activated card which allows the buyers to buy air time in advance. All it requires is the payment of an initial amount. This is a useful service for people who travel to Delhi often and those who want to control the expenses on their calls.

v) Caller ID Displays calling person's number.

vi) Outgoing call restriction To prevent or limit outgoing calls, for example, in peak hours. Also possible to exclude one or several countries, or any geographical region, to permit only local calls, or to limit the outgoing calls to a listed number.

viii) Call forward Incoming calls can be forwarded to another fixed or mobile phone. Besides these some other services provided by Vodafone are -Call conferencing, Call Broadcast et cetera. It is in the operators -Interest that they not only get many subscribers but also get them to use the mobile facility frequently. In the early stages getting increases to subscribe may be easier than getting them to talk since they will find it costlier to use the mobile phone as compared to a conventional phone [if is believed that initially cellphones would be used buy] viii) Roaming Facility Roaming facility is available while the subscriber is travelling. The billing is done in the home network (Delhi). Roaming facility is available manually* as well as semiautomatically. Once a subscriber is In any other city or country, where a GSM network is available, simply insert the SIM card of the local operator Into your handset and start talking. * Manual Roaming means a separate SIM card is provided for each city ** Semi automatic roaming means one card has the facility for different cities.

VODAFONE'S MARKETING ORIENTATION

Since this is a high-involvement expensive product, the service provider has to fully take care of the customers. a) They take personal responsibility to "get" the answer for any problem faced by the customer b) They anticipate customers' problems and take pro-active steps to prevent them c) They give answers to the questions & requests, quickly & efficiently. d) They have a positive tone & manner while interacting with customers. e) They end the interaction on a positive or a humorous note-making the last 30 seconds count. Vodafone realises that attracting people 'Is easy but converting them into loyal customers is hard, hence emphasis is on maintaining a 'Smiling and a Friendly Atmosphere' to please and retain the customer. PRICE AND PRICING POLICY VODAFONE has realised that the Indian market is price sensitive. Therefore it care of the has come up with various innovative tariff schemes to take needs of different category of customersGenerally, the cellular services are more expensive than the land line based telephone services.

This is due to the reason that the operating companies are required to pay a fee to the government for using airtime.

MARKETING STRATEGYADOPTED BY VODAFONE Hutch has spent a considerable amount on advertising its mobile phone service, Vodafone. Besides print advertising, the company had put up large no of hoardings and kiosks in and around Delhi. The objective behind designing a promotion campaign for the Vodafone services is to promote the brand awareness and to build brand preferences. It is trying to set up a thematic campaign to build a stronger brand equity for Vodafone. Since the cellular phone category itself is too restricted, also the fact that a Cellular phone is a high involvement product, price doesn't qualify as an effective differentiator. The image of the service provider counts a great deal. Given the Cell phone category, it is the network efficiency and the quality of service that becomes important. What now the buyer is looking at is to get the optimum price-performance package. This also serves as an effective differentiator Brand awareness is spread through the' campaigns and brand preference through brand stature. Vodafone's campaign in the capital began with a series of 'teaser' hoardings across the city,' bearing just the company's name and without explaining what Vodafone was. In the next phase the campaign associated Vodafone with Cellular only thereafter was the Hutch Cellular connection brought up. Vans with Vodafone logos roamed the city, handing out brochures about the company and its services to all consumers. About 50,000 direct callers were sent out. When the name was well entrenched in the Delhiitess mind, the Vodafone campaign began to focus on the utility of Cellphone. In the first four months alone Airtei's advertisement spend exceeded Rs. 4 crores. As of today the awareness level Is 60% unaided. This implies that if potential or knowledgeable consumers are asked to name a Cellular phone service provider that is on the top of his/her mind 60% of them would name Vodafone. As for aided it -is 100% (by giving clues and hints etc.).

Brand strength of a product or the health of a brand is measured by the percentage score of the brand on the above aided and the unaided tests. The figures show that Vodafone is a healthy and a thriving brand. Every company has a goal, which might comprise a sales target and a game plan with due regard to Its competitor. Vodafone 's campaign strategy is designed keeping in

mind its marketing strategy. The tone, tenor and the stance of the visual ads are designed to convey the image of a market leader in terms of its market share. It tries to portray the image of being a "first mover every time" and that of a "market leader". The status of the product in terms of its life cycle has just reached the maturity stage in India. It is still on the rising part of the product life cycle curve in the maturity stage. The diagram on the left hand side shows the percentage of the users classified into heavy, medium and low categories. The right hand side shows the revenue share earned from the three types of users. Vodafone, keeping in mind the importance of the customer retention, values its heavy users the most and constantly indulges in service innovation. But, since heavy users comprise only 15 - 20% of the population the other segment cannot be neglected. The population which has just realised the importance of cellular phones has to be roped in. It is for this reason that the service provider offers a plethora of incentives and discounts. Concerts like the "Freedom concert" are being organised by Vodafone in order to promote sales. The media channel is chosen with economy in mind. The target segment is not very concrete but, there is an attempt to focus on those who can afford. The print advertisements and hoarding are placed in those strategic areas which most likely to catch the attention of those who need a cellular phone. The product promise (which might cost different 1 higher) is an important variable in determining the target audience. Besides this, other promotional strategies that Vodafone has adopted are . .(i) People who have booked Vodafone services have been treated to exclusive premiers of blockbuster movies. Vodafone has tied up with Lufthansa to offer customer bonus miles on the German airlines frequent flier's programs. .(ii) There have been educational campaigns, image campaigns, pre launch advertisements, launch advertisements, congratulatory advertisements, promotional advertisements, attacking advertisements and tactical advertisements

DISTRIBUTION

The-company whose operations are concentrated in and around Delhi. It 27 Franchisees and 15 Distributors-They also have 8 'instant access cash card counters-Each franchises or distributor can have any number of dealers under him as long as the person is approved by the Vodafone authority. Each franchises has to invest Rupees Ten Lakhs. to obtain a franchise and should employ an officer recruited by Vodafone. This person acts as an liaison between the company and the franchises. The franchises can it any number of dealers as long as their territories do not overlap. But unfortunately Vodafone has not been very successful in controlling territorial overlaps of dealers. The franchises can carry out his 1 her own promotional strategy. For this the. company contributes 75% of the money and the franchises contributes 25% of the money. The dealers under the franchisee receive the same commission. The franchises and the dealer obtain the feedback from the customers and they are sent through the liaison officer on a day-to-day basis to Vodafone. The dealer has to invest Rupees. One Lakh as an initial investment. The dealer of Vodafone are not allowed to provide any other operators' service. Target set for distributors and the dealers is 100 -150 activations per month. Hence the dealers can also go for their own promotions like banners and discounts on festivals etc. The dealer provides service promptly. The consumer on providing the bill of purchase for the handset and proof of residence has only to wait an hour before getting connected. The staff of the dealers and the franchisees are provided training by the Vodafone personnel.

The complaints encountered by the franchisees and dealers are either handset being nonfunctional or the SIM Card not getting activated. Anything more complicated is referred to the main Vodafone office in Delhi. WHAT DOES VODAFONE OFFER? With Vodafone, the subscriber wouldn't just get a personal phone that lets him/her be in touch,

always, but also gets a host of benefits that let him/her manage his/her time like never before. An Vodafone subscriber is provided with a Subscriber Identity Module Card (SIM card) - that is the key to operating his/her cellular phone. His card activates Vodafone cellular services and contains a complete micro-computer chip with memory to enable one to enjoy one's cellular phone thoroughly. Each SIM card contains a PIN code (Personal Identity Number) which may be entered by one. Just plug your SIM card into your cellular phone, enter the PIN code and it becomes 'your' personal phone'.

PRODUCT LIFE CYCLE The pattern of cellphone subscriber growth observed elsewhere in the world reveals that the growth in the market is Initially slow followed by a sharp acceleration, but so far that has not happened in India. As far as the Product Life Cycle is concerned. Indians are at the beginning of the maturity stage.

Product

Offer a basic product/ service.

Offer value added services

Increase in number of value added services.

Price

Charge cost- plus

Price to penetrate market Build Intensive distribution.

Price to match or best competitors Build more intensive distribution. Stress brand differences and benefits.

Distribution

Build selective distribution

Advertising

Build product awareness among early adopters and dealers. Use heavy sales promotion to entice people to subscribe.

Build awareness and interest in the mass market

Sales Promotion

Increase to build and maintain relationships with customers.

Increase to encourage brandswitching.

LITERATURE REVIEW

TELECOMMUNICATION MARKET IN INDIA The telecom industry is one of the fastest growing industries in India. India has nearly 200 million telephone lines making it the third largest network in the world after China and USA. With a growth rate of 45%, Indian telecom industry has the highest growth rate in the world. History of Indian Telecommunications started in 1851 when the first operational land lines were laid by the government near Calcutta (seat of British power). Telephone services were introduced in India in 1881. In 1883 telephone services were merged with the postal system. Indian Radio Telegraph Company (IRT) was formed in 1923. After independence in 1947, all the foreign telecommunication companies were nationalized to form the Posts, Telephone and Telegraph (PTT), a monopoly run by the government's Ministry of Communications. Telecom sector was

considered as a strategic service and the government considered it best to bring under state's control. Indian Telecom sector, like any other industrial sector in the country, has gone through many phases of growth and diversification. Starting from telegraphic and telephonic systems in the 19th century, the field of telephonic communication has now expanded to make use of advanced technologies like GSM, CDMA, and WLL to the great 3G Technology in mobile phones. Day by day, both the Public Players and the Private Players are putting in their resources and efforts to improve the telecommunication technology so as to give the maximum to their customers The Indian telecom sector can be broadly classified into Fixed Line Telephonyand mobile telephony. The major players of the telecom sector are experiencing a fierce competition in both the segments. The major players like BSNL, MTNL, VSNL in the fixed line and Airtel, Hutch, Idea, Tata, Reliance in the mobile segment are coming up with new tariffs and discount schemes to gain the competitive advantage. The Public Players and the Private Players share the fixed line and the mobile segments. Currently the Public Players have more than 60% of the market share

Market shares of public and Private Players Both fixed line and mobile segments serve the basic needs of local calls, long distance calls and the international calls, with the provision of broadband services in the fixed line segment and GPRS in the mobile arena. Traditional telephones have been replaced by the codeless and the wireless instruments. Mobile phone providers have also come up with GPRS-enabled multimedia messaging, Internet surfing, and mobile-commerce. The much-awaited 3G mobile technology is soon going to enter the Indian telecom market. The GSM, CDMA, WLL service providers are all upgrading themselves to provide 3G mobile services. Along with improvement in telecom services, there is also an improvement in manufacturing. In the beginning, there were only the Siemens handsets in India but now a whole series of new handsets, such as Nokia's latest N-series, Sony Ericsson's W-series, Motorola's PDA phones, etc. have come up. Touch screen and advanced technological handsets are gaining popularity. Radio services have also been incorporated in the mobile handsets, along with other applications like high storage memory, multimedia applications, multimedia games, MP3 Players, video generators, Camera's, etc. The value added services provided by the mobile service operators contribute more than 10% of the total revenue

The leading cellular service providers have the following number of subscribers:

Bharti Airtel has the largest customer base with 31% market share, followed by Hutch and BSNL with each holding 22% market share. The 2008 budget has brought further relief to the customers with the reduction in the tariffs, both local and long distance, and with slashing down the roaming rentals. This is likely to lead to even more people going for cellular services and more and more use of the value added services. However, landline telephony is likely to remain popular, too, in the foreseeable future. MTNL, the largest landline service provider, has recently taken some bold initiatives to retain its market share and, if possible, expand it. The cellular phone industry is one of India's rapidly growing industries. Since the industry came into being in the mid 1990s, its average per annum growth rate has been a phenomenal 85 percent. By the end of 2008, the Indian cellular phone industry had over 10 million subscribers. The industry has undergone a number of changes over the years. The National Telecom Policy 1999 was an important landmark in the development of the cellular telecom industry in India; the tariff rationalization and policy regulation introduced in the Policy helped the industry grow at the pace it did. The years 2007 and 2008 saw an increase in level of competition in the industry with more operators being given licenses, and fixed line providers also entering the mobile market.

In 2003, Telecom Regulatory Authority of India (TRAI) announced regulation of interconnect user charges to resolve conflicts between cellular operators and fixed line operators. Keywords Cellular phone industry, 1990, per annum, growth rate, phenomenal, 85 percent, 2002, Indian cellular phone industry, 10 million, subscribers, National Telecom Policy, 1999, tariff rationalization, policy regulation, 2001, 2002, competition, operators, mobile market, 2003, Telecom Regulatory Authority of India, TRAI, interconnect user charges, conflicts, cellular operators, fixed line operators

International studies indicate that for every one percent increase in the tale density (penetration rate of telecommunications) of a country, there is a corresponding increase of three percent in the gross domestic product of the country... The Indian telecommunications has been zooming up the growth curve at a feverish pace, emerging as one of the key sectors responsible for India's resurgent economic growth. India is set to surpass US to become the second largest wireless network in the world with a subscriber base of over 300 million by April, according to the the Telecom Regulatory Authority of India (Trai). The month of April 2008 will see India wireless subscriber base that currently stands at 250.93 million surpassing that of the US to become the second wireless network in the world. The year 2007 saw India achieving significant distinctions: having the world's lowest call rates (2-3 US cents), the fastest growth in the number of subscribers (15.31 million in 4 months), the fastest sale of million mobile phones (in a week), the world's cheapest mobile handset (US$ 17.2) and the world's most affordable colour phone (US$ 27.42) and largest sale of mobile handsets (in the third quarter).

Segment-wise growth Wireless segment has emerged as the preferred mode of telephone service by the consumers, reflected in the rising share of mobile phone connections to total connections. The share of mobile phones has increased from 71.69 per cent at the end of March 2006 to 87.68 per cent at the end of May 2008. While total mobile subscriber base was 277.92 million, wire line subscriber base was 39.05 million. Consequently, overall tele-density has increased to 27.59 per cent at the end of May 2008. India is likely to be second largest mobile market in the BRIC nations, with 560 million mobile users representing the next great growth curve for both mobile and interactive marketing industries, according to a report by eMarketers. Also, private sector has become the dominant player in the industry. While public sector

companies added 53.6 million subscribers during 1998-2007, private companies have added a whopping 133.58 million subscribers during the same period. The dominance has been much more pronounced in the mobile market, where private operators have added 124.68 million subscribers, while public sector operators added only 31.79 million subscribers.

Investment The booming domestic telecom market has been attracting accelerating amount of investment. During April 2000 to March 2008, cumulative FDI inflows into the Indian telecommunications sector amounted to US$ 3.84 billion, accounting for 6.81 per cent of the total FDI inflows into the country. In fact, the surge in mobile services market is likely to see investment worth about US$ 24 billion by 2010, going by industry estimates. This is understandable, when seen that the number of mobile subscribers is estimated to increase to 600 million by 2012, according to Standard Chartered Bank, implying a mobile in the hands of every second person in the country

Availability Q4. Is Vodafone recharge /new connection available in your near area? (1) Strongly Agree (3) Disagree (5) Neutral Strongly Agree Agree Disagree Strongly Disagree Neutral 90 79 50 48 23 (2) Agree (4) Strongly Disagree

From the sample size 300 here are the question would gives the insight Study on buying behaviour of consumer indicates that the Delhi retailers influences 35% of purchase occasions. Therefore sheer product availability can affect decision of brand choice, volumes and market share. Some of the FMCG giants like HLL took out project streamline to significantly enhance

the control on the Delhi supply chain through a network of Delhi sub-stockists, who are based only.

Form our survey result it is showing that 31% of says that Vodafone connection or recharges are easily available in their respective area and they are strongly agree with this. . Recommendation for Vodafone would be company can target first 34% people those who are disagree and not satisfied with the product availability of the Vodafone so at least Vodafone have more than 60% market share of those people who at least knew the product is available near store so they can easily bought them. Affordability Q 5. Is Vodafone recharge more affordable than the other recharge available on your nearest telecom shop? (1) Strongly Agree (3) Disagree (5) Neutral Strongly Agree Agree Disagree Strongly Disagree Neutral 76 97 38 46 43 (2) Agree (4) Strongly Disagree

This question gives us insight of the affordability of the product or service. With low disposable incomes, products need to be affordable to the Delhi consumer, most of who are on daily wages. Now we check what Delhi customer want from the company in terms of their product prices. Out of 300 sample size we consider to choose first strongly agree respondent who believes that Vodafone product is affordable for him/her 25% respondent out of 300 says Vodafone product is affordable in comparative of other competitor. While 33% are only agree with this statement that Vodafone has much affordable price of their respective product. Now moving ahead 28% respondent are still not agree or strongly disagree with this question they thought Vodafone

products are much costlier than the other mobile service provider companies product.

Recommendation for Vodafone would be target 28% people also to provide much more scheme and plan so they comes under the pie of affordable range. Acceptability Q6. Is Vodafone giving you same service as compare to Hutch? (1) Strongly Agree (3) Disagree (5) Neutral Strongly Agree Agree Disagree Strongly Disagree Neutral 45 134 121 46 43 (2) Agree (4) Strongly Disagree

This question gives us insight of the acceptability of the product or service. Gain acceptability for the product or service. Therefore, there is a need to offer products that suit the Delhi market. One company, which has reaped rich dividends by doing Out of 300 sample size we consider to choose first strongly agree respondent who believes that Vodafone and Hutch are the same and there service is also same for him/her only 12% respondent out of 300. While 34% are only agree with this statement that Vodafone has and Hutch giving him/her same service experience their respective product. Now moving ahead 43% respondent are still not agree or strongly disagree with this question they thought Vodafone service is not same like Hutch they perceive that Hutch has a better service than the Vodafone and 11% respondent said they have mixed view about the acceptability of Vodafone and Hutch at the same criteria.

Recommendation for Vodafone would be target those people first i.e. 43% who believe that Hutch has better service than the Vodafone while considering this fact there is huge chance that Vodafone will lose their business in Delhi region.

Awareness 7. Have the respondents heard about the Vodafone?

It is quite evident that the 96 % respondents are aware of Vodafone. And only 4% respondent said that they didnt know about the Vodafone while they are using mobile phone. With large parts of Delhi India inaccessible to conventional advertising media -only 41 per cent Delhi households have access to TV -building awareness is another challenge. Fortunately, however, the Delhi consumer has the same likes as the urban consumer -movies and music - and for both the urban and Delhi consumer, the family is the key unit of identity. However, the Delhi consumer expressions differ from his urban counterpart. Outing for the former is confined to local fairs and festivals and TV viewing is confined to the state-owned Doordarshan. Consumption of branded products is treated as a special treat or indulgence

8. Frequency of the purchase of the Vodafone product

The frequency of the purchase of the Vodafone Product recharges depends upon the work a person does and the purchasing power of the people. Form our survey clearly states that 14% respondent buy recharge i.e. may only monthly recharge of monthly basis and 34 % people buy Vodafone prepaid recharge 3-4 moths because most of them are using life time prepaid.

9. How the consumers come to know about the Vodafone?

Here we come to know that 35% of the consumers came to know about the Vodafone recharge in Delhi region through self research which includes the kind of low pay and high gain customer want from recharge, and following of this 30% people get to know about Vodafone trough advertisement i.e. quite effective advertisement point of view. Rest of 20% are influenced though their friend and colleagues or by friends and a small number i.e. 10% by the Hoardings and 5% by or any other means includes radio and magazine news paper article.

10. Will the consumers recommend the Vodafone to other persons?

Large numbers of consumers i.e. 91% are ready to recommend the Vodafone product to their friends but a small number i.e. 9% is not able to decide whether to recommend or not they are bit hesitate but they can be converted into potential consumers but none of the consumer are saying no. it is also states that Vodafone has good image over the customers.

11. Do you believe that India is potentially one of the most exciting mobile service providers in the world? Company Yes No

Airtel Vodafone Idea MTNL

4 4 4 4

1 1 1 1

As according to the above table 16 (80%) out of the total 20 interviewed people in all the above four specified Indian mobile service providers are of belief that India is potentially one of the most exciting mobile service providers in the world, whereas some 4 (20%) of them do not agree to this view.

12. Do you find that the governments telecom policy has had the most radical impact on the development of mobile service providers? Company Airtel Vodafone Idea MTNL Yes 4 3 3 5 No 1 2 2

As according to the above table 15 (75%) out of the total 20 interviewed people in all the above four specified Indian mobile service providers find that the governments telecom policy has had the most radical impact on the development of mobile service providers, whereas some 5 (25%) of them deny this.

14. To what extent, does you find that mobile service providers is a very complex standard? To great extent (6-10) Company Airtel Vodafone Idea MTNL To some extent (1-5) 3 2 2 3 2 3 3 2

As according to the above table 10 (50%) out of the total 20 interviewed people in all the above four major the mobile service providers in Indian Cellular industry find only to some extent that GSM is a very complex standard, whereas the another 10 (50%) respondents find to great extent that mobile service providers is a very complex standard. CONSUMER LEVEL 15. Do you believe that mobile service providers comes close to fulfilling the requirements for a personal communication system? No 1 2 2 5

Company Airtel Vodafone Idea MTNL

Yes 9 8 8 5

As the above shows 30 (75%) out of total 40 respondents are of the belief that mobile service providers comes close to fulfilling the requirements for a personal communication system, whereas 10 (25%) of them are in no way to this belief.

16. Do you find that mobile service providers as the most exciting and satisfying mobile standard? No 1 3 2 2

Company Airtel Vodafone Idea MTNL

Yes 9 7 8 8

As the above shows 32 (80%) out of total 40 respondents find that mobile service providers as the most exciting and satisfying mobile standard, whereas the remaining 8 (10%) respondents deny this.

S SWOT ANALYSIS STRENGTHS C Cost advantage C Current leaders in quality service L Largest distribution network A Ability to constantly innovate H Highly skilled workforce Entrepreneurial zeal

W WEAKNESSES T To prove credibility P Price pressures N Need for Government support Awareness

O OPPORTUNITIES T To sustain passion and commitment Vodafone market share increasing at other service provider expense. Thus opportunity to w wipe it out. A Attain higher value services C Collaborative business needs to be explored V Vertical repeatable solutions. Low penetration level in rural markets. T THREATS F Foreign investment G Global trends moving from GPS to WLL. L Lack of global parity in telecom tariff Other competition

CONCLUSION

India that has a lot of population with it definitely offers a great potential for the companies where the chances of outnumbering the urban areas in all aspects are very high. But only those companies would survive at these places and win over the Delhi consumers who can spend time and money on understanding the needs of them and come up with innovative ideas.

The companies should also strive to give more focus to the Delhi market in order to make it a market leader. This can happen only with the firm commitment of the top management and extension of full support to the marketing personnel by each and every department of the organization. In most of the Delhi areas of Delhi in different parts of the country, there is considerable awareness on various latest products that are available in the market. This has been possible due to the penetration of cable and satellite channels that have brought down the world at the finger tips of the common man. The media influenced the mindset of the Delhi consumer to such an extent that people who had money started purchasing the products unmindful of the costs, just to satisfy their needs as well as their ego. But, the growth of Delhi market could be attributed to many other reasons that in one way increased the sales as well as the profits of the companies. Some of the important causes for the growth of Delhi as a Delhi markets are .* The rise in disposable income of the Delhi families .* The economic boom .* Timely rains .* Delhi population involved themselves in business other than agriculture .* Increase white-collar jobs in nearby towns .* Commercialization of agriculture .* Saturation of the urban markets .* Media penetration in Delhi areas (particularly satellite channels) .* Globalization .* Economic liberalization .* Revolution in the Information Technology .* Women empowerment .* Improving infrastructure

However, there was a significant role of the corporate enterprises simultaneously in the development of Vodafone market in Delhi. Their timely intervention into the Delhi areas, their appropriate planning, their perception and identification about the growth of Delhi markets and the use of marketing strategies all have equally contributed for the progress of Delhi markets. Even though corporate houses were hedged with so many problems in the Delhi areas, they saw a galore of opportunities in the Delhi market and converted all the pessimistic characteristics of the Delhi market into affirmative attributes. They satisfied themselves with the availability of limited infrastructure, saw a sign of prosperity rather than fear during the entry of competitors into the Delhi markets, showed excitement at the availability of satellite channels in the Delhi households, visualized their cash bells ringing with the increase in purchasing power of the Delhi masses that came equivalent to their urban counterparts. They traced a constant rise in the demand for those products that were once confined mostly to the urban houses. But, blame it on

the kind of awareness created by the companies people started using the products for other purposes as seen earlier. Out of 300 sample size we consider to choose first strongly agree respondent who believes that Vodafone product is affordable for him/her 25% respondent out of 300 says Vodafone product is affordable in comparative of other competitor. While 33% are only agree with this statement that Vodafone has much affordable price of their respective product. Now moving ahead 28% respondent are still not agree or strongly disagree with this question they thought Vodafone products are much costlier than the other mobile service provider companies product. 14% respondent said they have mixed view about the affordability these people are those who are richer in Delhi region. Recommendation for Vodafone would be target 28% people also to provide much more scheme and plan so they comes under the pie of affordable range RECOMMENDATION

Today the marketer truly understands the needs of the Delhi consumers, he should strive to provide them with those products and services that would meet their requirements. The marketer has to focus on his core competencies like the technological expertise to design the products for the Delhi masses. Companies like Cavin Care who launched their shampoo in sachets, Britannia who conveniently packaged its Tiger brand biscuits with low price tag are the best examples of understanding the Delhi customer's needs and providing them with the desired products. The marketer's basic need is to understand the pulse of the Delhi masses and serve them accordingly. The companies need to make proper assessment while marketing for the Delhi India. This could most probably happen in one way by changing the profile of their managers. As most of them are management graduates bred in urban areas and are taught marketing principles and strategies applicable for the western countries, there is a mismatch in their thinking and the requirements of the Delhi consumers. Hence, hiring professionals who have expertise in Delhi marketing would go a long way to improve the situation as they can truly understand the Delhi traditions and cultures, understand the feelings of Delhi people before designing and actually launching the product. It is very essential for the Delhi marketer to understand the psychology of their consumers in terms of their usage habits and shopping behavior along with their emotions and value systems. The integration of both technological and managerial knowledge would help them to develop the various marketing strategies for the Delhi Indian markets. This will further lead to technologically superior, robust and low cost products that would be in resemblance with

the Indian tradition and culture. The marketers may also consider depending more on traditional media when marketing for Delhi consumers. This unconventional method acts as an effective way to create awareness as mass media is unreliable as it is too glamorous and interpersonal for the Delhi market. Uses of skits, magic shows, and education by NGOs are some of the most preferred traditional media which the marketers can usually use as it goes well with the tastes of the Delhi consumers.

According to our sample size 300 here are the question would gives the insight Study on buying behaviour of Delhi consumer indicates that the Delhi retailers influences 35% of purchase occasions. Therefore sheer product availability can affect decision of brand choice, volumes and market share. Some of the FMCG giants like HLL took out project streamline to significantly enhance the control on the Delhi supply chain through a network of Delhi sub-stockists, who are based in the Delhis only. Form our survey result it is showing that 31% of says that Vodafone connection or recharges are easily available in their respective area and they are strongly agree with this. Now the segment of people where they not strongly agree with the statement that Vodafone product reached their respective area 27% respondent said yes some time they will get and some time not also they suggested that some time new connection is not available. Also 34% respondent responded that they either strongly disagree or disagree with the statement that Vodafone not reached their respective area so far. Only 8% respondent says that they have neutral opinion on this. Recommendation for Vodafone would be company can target first 34% people those who are disagree and not satisfied with the product availability of the Vodafone so at least Vodafone have more than 60% market share of those people who at least knew the product is available near store so they can easily bought them.

BIBLIOGRAPHY Book & Research Paper .(1) Philip & Kotler: Marketing management .(2) Wharton business review .(3) HBS (Harvard business review) Internet .(1) Company website .(2) www.marketingtimes.com .(3) www. Airtel.com .(4) Www. Idea.com