ABS - Vodafone- Rohit Munjal

8/3/2019 ABS - Vodafone- Rohit Munjal

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Summer Internship : Vodafone Essar Mobile Services

Limited

Towards the partial fulfilment of

Masters of Business Administration (MBA)

2008-2010

MAJOR: MARKET RESEARCH AND PERFORMANCE

TRACKING OF RETAILERS FOR VAS (CT).

MINOR: MARKET SURVEY AND ANALYSIS ON

VODAFONE TUESDAYS.

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Submitted By:

Rohit Munjal

MBA (M & S) class of 2010

A0102208005

Amity Business School

[email protected]

Submitted To:

Ms. Anita Venaik


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I (ROHIT MUNJAL) studying in Third semester of Master of Business

Administration in the Academic Year 2008-10 at Amity Business School, Amity

University, Noida, Uttar Pradesh hereby declare that I have completed project in

Vodafone as a part of the course requirements of Masters of Business Administration

of Amity university.

We further declare that the information presented in this project is true and original to the

best of my knowledge.

Date:

Place: New Delhi

Rohit

Munjal

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Prof Anita Venaik, hereby inform that (Rohit Munjal) studying in Third semester of

Masters of Business Administration in the Academic Year 2008-10 at Amity Business

School, Amity University, Noida, Uttar Pradesh has completed project in Vodafone,

under my guidance for six weeks i.e., 11.05.2009 to 19.06.2009.

I further declare that information presented in this project is true and original to the best

of my knowledge.

Date:

Place: Noida

Prof Anita Venaik

Faculty Guide

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Icon like Vodafone which is fuelled by the individuals with so much zest and energy,

teaming up to form a formidable force, was in itself a true learning experience which

will help immensely in my career.

We have been extremely fortunate that we have had the opportunity of doing my summer

internship in the able guidance ofMs Parul Mattoo, Ms Richa Arya and Ms Geetika

Zadoo. Their support and patience proved to be very helpful in completing the project.

I would also like to thank the employees at Vodafone for their kind co-operation which

helped us to learn a lot from the organization.

Rohit Munjal

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With the emerging revolution where innovations are taking place at the blink of an eye, it

is impossible to keep pace with emerging trends. In organizations where making things

right in the first instance is the driving motto, perfection and accuracy are inevitable.

Excellence is an attitude that the whole of the human race is born with. It is the

environment that makes sure that whether the result of this attitude is visible or

otherwise. A well planned, properly executed and evaluated industrial training helps a lotin inculcating a professional attitude. It provides a linkage between the student and

industry to develop an awareness of industrial approach to problem solving, based on

broad understanding of process and mode of operation of organization.

During the period, the students get the real, firsthand experience for working in the

actual environment. Most of the theoretical knowledge that has been gained during the

course of their studies is put to test here. Apart from this, the students get an opportunity

to learn latest technology, which helps immensely in their career.

I had the opportunity to have real experience on many ventures, which has increased my

sphere of knowledge to great extent and all credit goes to organization Vodafone Essar

Limited which in true self made the telecom revolution happened in India.

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PAGE NO.

1. EXECUTIVE SUMMARY --------------------------------------------------------------------

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2. COMPANY PROFILE -------------------------------------------------------------------------

10

3. OBJECTIVES -----------------------------------------------------------------------------------

14

4. RESEARCH METHODOLOGY -------------------------------------------------------------

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5. MAJOR RTCTS

18 - 37

5.1) INTRODUCTION -------------------------------------------------------------------- 19

5.1.1) VAS 19

5.1.2) CALLER TUNES 21

5.2) SWOT ANALYSIS ------------------------------------------------------------------- 23

5.2) DATA ANALYSIS AND INTERPRETATION --------------------------------- 25

5.3) FINDINGS ----------------------------------------------------------------------------- 35

5.4) RECOMMENDATIONS ------------------------------------------------------------ 36

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5.5) CONCLUSION ------------------------------------------------------------------------ 37

6. MINOR VODAFONE TUESDAYS

38 - 41

6.1) INTRODUCTION -------------------------------------------------------------------- 39

6.2) ACTION PLAN ----------------------------------------------------------------------- 39

6.3) FINDINGS ------------------------------------------------------------------------------ 40

6.4) RECOMMENDATIONS ------------------------------------------------------------ 41

6.5) CONCLUSION ------------------------------------------------------------------------ 41

7. BIBLIOGRAPHY -------------------------------------------------------------------------------

42

8. APPENDICES ------------------------------------------------------------------------------------

44

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I have done this project with Vodafone Essar Mobile Services Limited, as everyone

knows that Vodafone is very well known telecom giant which caters to the 22 cities of

India and is the second most preferred brand after Airtel.

For the summer training project, I have chosen the Vodafone Essar Mobile ServicesLimited head office located at Okhla phase 2, New Delhi where I was assigned to work

on two projects namely RTCTS and Vodafone Tuesdays under my project guide and her

team.

In my project at Vodafone, I have made an attempt to gauge the level of satisfaction of

customers who had activated the caller tune through the retailers and also to keep a track

on the retailers performance in the four zones and simultaneously pushing them to up

sell VAS (CT).

Every day I used to call some of the retailers to take their feedback about the sales of

caller tunes and the customers feedback was also taken about the service. This feedback

regarding the service is very important because there was the need to take appropriate

actions as per the comments and also the feedback helped in making the decisions about

the launch of the other services and their success ratio.

The basic objective of the my report is to understand the various factors that may lead to

failure of RTCTS and how we can avoid these failures to make it a success and utilize

the retailers to up-sell more value added services making it beneficial to the customers,

retailer and the company.

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In the minor project at Vodafone, I have made an attempt to gauge the level of

satisfaction of customers who had availed the Vodafone Tuesdays service and also tried

to get the ideas from them regarding the promotional activities for it.

In every Vodafone Tuesdays store across the circle researcher took customer feedback

forms so that the customers can give their suggestions as a feedback to us. This feedback

regarding the service offered at tie up joints is very important because it helps to make

appropriate changes in promotional concept according to the customers preferences.

All the comments written by the customers on the customer feedback book had been

categorized by researcher into different parameters such as commendation, appreciations,

requests, suggestions, complaints or irrelevant, then the different steps that need to be

taken by the associates in order that customers complaints are resolved, commendations

are appreciated, requests are fulfilled and corrective action is taken in case of some valid

and good suggestions given by the customers.

The basic objective of the my report is to understand the various factors that may lead to

customer dissatisfactions and how one can avoid this situation by taking appropriate

action in proper time to convert this dissatisfaction into customer delight.

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Vodafone Group Plc is the world's leading mobile telecommunications company, with asignificant presence in Europe, the Middle East, Africa, Asia Pacific and the United

States through the Company's subsidiary undertakings, joint ventures, associated

undertakings and investments.

The Group's mobile subsidiaries operate under the brand name 'Vodafone'. In the US the

Group's associated undertaking operates as Verizon Wireless. During the last two

financial years, the Group has also entered into arrangements with network operators in

countries where the Group does not hold an equity stake. Under the terms of these

Partner Network Agreements, the Group and its partner networks co-operate in the

development and marketing of global services under dual brand logos.

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At 31 March 2009, based on the registered customers of mobile telecommunications

ventures in which it had ownership interests at that date, the Group had 303 million

customers, excluding paging customers, calculated on a proportionate basis in

accordance with the Company's percentage interest in these ventures.

The Company's ordinary shares are listed on the London Stock Exchange and the

Company's American Depositary Shares ('ADSs') are listed on the New York Stock

Exchange. The Company had a total market capitalisation of approximately 66.9 billion

at 18 May 2009.

Vodafone Group Plc is a public limited company incorporated in England under

registered number 1833679. Its registered office is Vodafone House, The Connection,

Newbury, Berkshire, RG14 2FN, England.

odafone Essaris a subsidiary of Vodafone group Plc, which operates under the brand name Vodafone in India. Operating in 22 telecom circles in India,

Vodafone Essar provides 2G services on 900MHZ and 1800MHZ digital GSM

technology. It provides both prepaid and post-paid mobile phone services. The company

has strong positions in major Indian cities. In India, Vodafone serves more than 63.34

million customers.

VVodafone Essar is jointly owned by Vodafone and Essar Group and other Indian

business organizations. Vodafone owns 67% stake of the company. The rest 33% is

jointly held by Reliance Communications, Hinduja Group, and Essar Global Limited.

Essar Global Limited is one of the leading business houses in India. It business areas

include steel manufacturing and service, energy, power, communications, shipping and

logistics and projects. The group also has operations in Canada, USA, Africa, the Middle

East, the Caribbean and South East Asia.

The company started its business in India in 1994. At that time it was named Hutchinson

Essar Limited and was jointly owned by Hutchison Telecommunications Limited and

Essar Group. Hutchinson Telecommunications Limited was previously owned by Li Ka

Shing Holdings. The company operated under the name, Hutch. On February 11, 2007,

Vodafone bought 67% stake of Hutchison Telecommunications International Limitedfrom Li Ka Shing Holdings for $11.1 billion. The transaction completed on May 8, 2007.

Currently, the market value of Vodafone Essar Limited stands at $18.8 billion.

The total subscriber base of Vodafone is 5,46,24,809 (till September, 2008). It represents23.38% of the total number of GSM mobile connections in India till Sept 2008.

1. Mumbai..41156712. Delhi. 37410373. Kolkata.. 2481872

4. Chennai1472340

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5. Gujarat.72411676. A.P..34300167. Karnataka.33332078. Punjab..19447339. Haryana..187833910. U.P.(E)..5589567

11. Rajasthan.434340712. UP (W)..382503513. West Bengal..400099414. Maharashtra..383371915. Tamil Nadu.450934116. Kerala.270441217. Orissa.13744518. Assam4548619. North East.2981420. MP3021321. Bihar..76349

Vodafone India posted revenues of 674 millionin the third quarter, up by 37.3 percent from thecorresponding quarter last year. The companydoes not disclose profit.

Revenue growth in India has slowed marginallyfrom last quarter. Despite strong competition andthe recession, the operator now has 60.9 million

customers in India. It added 2.1 millionsubscribers during the quarter assisted by itsexpansion into six new circles. It has addedaround 10,000 base stations during the quarter inthe country. Vodafone Indias share in the mobile

phone operator market rose to 18 percent. It willcontinue to drive increased volumes byintroducing promotional offers, the company hasnoted in its official earnings release.

Vodafone has seen a reduction in churn with subscribers moving towards Lifetime

Validity prepaid offerings. Its ARPU has also dropped to Rs 297 from Rs 305 inQ2 while voice usage increased from 56,745 minutes last quarter to 61,606 minutes inQ3.

Prepaid subscribers form 92.1 percent of the operators subscriber base. The companyclaims its visitor revenue (when subscribers of other operators roam into its network)suffered a negative impact due to the Mumbai attack and poor economic conditions thathave reduced travel in the country.

Vodafones infrastructure joint venture with Bharti and Idea - Indus Towers - hassteadily increased its operations. The independent tower company provides passive

network infrastructure to all operators.

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Rate RTCT as a retail VAS outreach program on the parameters of retailers

response, customers comfort and acceptability and overall efficiency levels of the

program.

Within this explore various other value added services that retailer would like to

sell seeking the customers response.

Rate VODAFONE TUESDAYS as a brand outreach program on the parameters

of customers awareness, acceptability and overall efficiency of the program.

Within this explore various other promotional activities that people would like tosee seeking the customers opinion.

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I have used structured questionnaire, personal interviews, internet some books and

journals in my research methodology.

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I have collected information through questionnaires which was filled by some 50

retailers, around 100 customers of RTCTS and 100 customers of Vodafone Tuesday. Ialso interviewed some of the retailers regarding the RTCTS.

PRIMARY DATA

My primary source of information is questionnaire which was responded by 100

customers and 50 retailers and data which I have got by few people. My questionnaire

consists of 7 and 11 mixed (open and close) questions for RTCTS and 13 open ended

questions for Vodafone Tuesdays.

I have given few choices and they were required to tick the choices as per their

preference and were made to give their views about the Vodafone initiatives. The

interviews were structured in such a way so as to produce results that are more reliable

and easily analyzed. By analyzing this data I got the necessary information.

SECONDARY DATA

Secondary data is the data which already exists and is easily accessible; therefore thisdata is collected by the information available on the projects URL and the material

supplied by the company in the printed form like documents regarding the launch of the

project.

Research Instrument - Questionnaire and Direct Interviews

Research Method - Survey Method

Sample Size - 50 retailers and 100 customers

Target Sample - Customers using CT

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5.1) INTRODUCTION TO PROJECT

RTCTSstands forRetailer Caller Tune Service. RTCTS is the first ever initiative by

any telecom major to sell the caller tune through retailer. Since VAS accounts for the

major revenues in any telecom sector, it becomes necessary for them to develop and

introduce various ways for retention of existing base and extracting more from their

subscribers.

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VAS is a huge revenue engine for the company and keeping the companys interest in

mind, Vodafone brings an opportunity to sell Caller tune for the retailers with

bumper margins.

To further understand about the RTCTS, it is necessary to understand few terms like

VAS and Caller Tunes.

5.1.1) VAS Industry

VAS stands forValue Added Services. Value Added Services (VAS) are those services

that are not part of the basic voice offer and are availed off separately by the end user.

They are used as a tool for differentiation and allow the mobile operators to develop

another stream of revenue.

Various Value Added Services that telecom operators offer are Caller tunes, GPRS,

MCI, Data Cards, Alerts, etc.

VAS services presently contribute 7% of the total telecom revenue for Indian operators.

Non voice revenues have been increasing since 2000. Mobile phones today have moved

beyond their fundamental role of communications and have graduated to become an

extension of the persona of the user. We are witnessing an era when user buy mobile

phones not just to be in touch but, to express themselves, their attitudes, feelings and

interests.

The mobile - VAS market in India is growing at 40% annually, but industry players say

price points have to come down and a more user friendly experience ushered in to sustain

growth.

Users today continuously want more from their phones. They use their mobiles to play

games, read the new headlines, surf the net, keep a tab on astrology, and listen to music,

make others to listen to their music, check their bank balance and the list will continue.

Thus, there exist a vast world beyond voice that needs to be explored and tapped and theentire cellular industry is heading towards it to provide innovative options to their

customers. Spoilt by chance the mobile phone subscribers are beginning to choose their

operators on the basis of the value added services they offer. The increased importance

of VAS has also made content developers burn the midnight oil to come with better and

newer concepts and services.

VAS comes at a price which is on the higher side for consumers. It needs to be re-

evaluated and reasonable point price should be set because the consumers are making the

choice, Buying an audio CD of an album would be more cost effective than

downloading a single track on the mobile.

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With the increasing competition and TRAI regulations, India has perhaps the lowest

ARPU for mobile users in the world.

In India average Minutes of Usage (MOU) and voice ARPU continue to decline due to

increased service penetration into lower income segments. As the Indian mobile market

enters a more mature stage, operators seek additional ways to generate revenue. Mobile

subscriptions in India continue to grow, although the rate of growth can vary

significantly from month to month.

Currently, the VAS market is valued at Rs 65 billion ($1.35 billion) and constitutes about

9 to 10 per cent of the total revenues for telecom operators in India. With 3G services

ironing its way in, the VAS industry is expected to increase its share manifold, with

some industry estimates pegging the figure at Rs 200 billion by 2015. The prime movers

in the VAS industry will be Bollywood and Cricket, but we see mythology content and

astrology fast catching up. SMS/IVR/music downloads/Internet apps/search which has a

huge market potential in the Indian market will also see an upsurge.

Telecom operators in India appear to be gung-ho over the prospects of value-addedservices (VAS) which help them to differentiate, add substantially to their margins whilesimultaneously be a precursor to third generation or 3G regime. The recent creativecampaigns of majors like Vodafone (Zoo Zoos), Airtel (R Madhavan and Vidya Balan),Virgin Mobile (music download) and Aircels (Internet applications) are a case in point.

The Internet and Mobile Association of India (IAMAI) predicts that the VAS industrywill touch Rs 9,760 crore by end of June 2009, growing at 70 per cent. Music, caller ring

back tones and wallpapers are the most consumed services. Over half of the music

industrys Intellectual Property Rights (IPRs) comes from the mobile space. Moreover,given the declining average revenue per user (ARPU) and increasing competition amongoperators as new players join in, there will be more focus on VAS.

For Indias largest private Telco, for instance, VAS will play an important role as BhartiAirtel moves towards achieving its target of adding another 100 million in just threeyears. The company has already crossed the 100-million subscriber mark. VAS accounts

for around 10 per cent of Airtels revenues (non-SMS would be around 6 per cent). Aswe move from plain generic communication to entertainment, VAS plays an importantrole. It acts as a productivity-enhancement and livelihood-enhancement tool. Forinstance, we have mandi prices for rural people on their mobiles; we give them weatherinformation and also provide local job search facility on mobiles. As SMS moves fromEnglish to vernacular languages, VAS revenue (both from SMS and non-SMS services)will only increase, says Raghunath Mandava, chief marketing officer, Airtel.

Harit Nagpal, director, new business and marketing at Vodafone Essar, has a slightlydifferent take on this subject. We cant go away from our core, network promotion. ZooZoos was to offer some variety. You have to have some variety in your campaign, he

says. VAS comprises around 10 per cent of its total revenue, and more than half of it

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comes from non-SMS services. For Vodafone, while there is no significant increase inVAS revenue share compared to the near-past, it has increased in value terms.

Prashant Singhal, telecom head at Ernst & Young, opines, Though voice is the killerapplication, operators dont have to induce customers to use voice. Thats why theresthis focus on VAS. Moreover for new operators, VAS gives better revenue margins too.

A new operator will end up paying 60-75 paisa (20 paisa termination charge and 45-55paisa carriage fee) on a national call while charging the customer only 1.50 paisa. On theother hand, chances are that an old operators call will terminate on its own subscriber(on account of penetration), which will save him both the charges. VAS gives Telcos amargin of 60-80 per cent.

Key challenges facing the VAS industry

A major challenge for VAS and telecom providers is getting the customers to use the

services. Customers find the download process frustrating and expensive and lose

interest.

Regulations with copyright, operators' revenue shares and infrastructure bandwidth are

also the major roadblocks in the VAS segment. However, slow data transfer and speeds

problem will be by and large alleviated by 3G networks. Rather than being reactive,

operators have to be little proactive in the industry to beat the stiff competition by

making marketing a continuous process, identifying new business opportunities and

developing a clearly defined value proposition for the target market.

5.1.2) CALLER TUNES

Society has come a long way with changing times and changing technology and so is themobile phone industry. It started off with short text messages, moved on to ringtones,faceplates and screensavers and now it has been added up with caller tunes.

Caller tunes are real music tracks that are played over the ringing tone when anyone calls

you. In this way, the caller hears a song of your choice instead of the usual ring-ring

while he is waiting for you to answer. There is no comparison in between caller tunes

and ringtones because ringtone is what you hear when your mobile phone rings whereas

caller tune is heard by the person who calls you at the same moment of time.

Since caller tunes are not ringtones, nothing is required to be installed on any phone for

the service to work and the tune heard by the caller shall be the one you had purchased

from the shop. Caller tunes are compatible with your mobile phone as well as of the

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person calling you and dont require being with t-mobile or anything special to be

downloaded into the phone.

To get a caller tune you have to call up your mobile phone service or the one who

provides the same and then ask for the available caller tunes of your choice. If you are

directly requesting for the caller tune to be activated in your mobile phones, it shall be

done within few minutes and a chargeable amount shall be deducted from your account

if you recharge your mobile each month. On the other hand, if you are a post-paid or

billing customer, this amount shall be credited to your outstanding bill. In case, you are

new to this service then you have to pay your first 22instalment of the monthly

subscription.

You can either send the text song code through short messaging service to the provider to

request for the caller tune. Many times, these text codes are available through

advertisements in the newspapers, magazines or television media from which you can

choose one.

You also have the facility to use your own customized caller tunes as it is feasible in

ringtones. You can also change your caller tune anytime by making a request to the

provider and if you are requesting it through sms then do remember to enter the right text

code for your choice of song.

RTCTS is all about activating the caller tune through retailers. Since TRAI restrictions

have increased on telecom operators to further push the service through phone, it

becomes very important for telecom major to think beyond and introduce new ways to

sell VAS.

Initially RTCTS is launched for test marketing on 100 best superstar retailers 4 a month

and then on 11th June it was introduced to all 2500 superstar retailers with some changes

in the functioning.

Proposed RTCT functioning:

Offering Caller tune activations through retail.

Customer to approach the retailer with the CT request

Customer to choose from the CTs available

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Retailer to send an SMS from his eTopUp number

o RTCTS to 111

Retailer to take Rs 45 for activation

CT to get activated within 8 hours of the initial request

Retailer to earn Rs 20 as cash and 5 Superstar points on each transaction

Auto debit of eTop Up to take place from retailers account daily for the CT

money less of commission

Transaction considered complete only post customer has been activated on caller

tune

Incentive plans for DSEs

o Every 100 CT acquisition Rs 500




5.2) SWOT ANALYSIS

STRENGTHS

1. First ever initiative by any telecom major in India. Seeing the restrictions

imposed by TRAI, correct time to take initiative.

2. Bumper margins for retailers and also the superstar points on each sale.

3. Test marketing on 100 retailers with good incentives for DSEs.

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4. A good customer base for Vodafone known for its excellent customer service and

providing customer delight.

WEAKNESS

1. RTCTS is needed to be explained thoroughly to retailers so as to make interest in them to

push the sales.

2. We need to be more alert towards an appropriate response to the customer for RTCTS.

OPPORTUNITIES

1. A good opportunity to cash in from new customers by providing VAS through retailers.

2. More of promotional schemes at retailer outlet can be introduced to induce or stimulate

impulse purchases for the customers such as Help yourself desk at corner.

3. A good opportunity is seen in targeting the females with the new connection.

THREATS

1. TRAI regulations on the push messages to the customers which is causing customer

retention difficult in terms of services used.

2. There is an emerging threat from the Airtels START and STOP service which is

customer friendly and gives wide options about VAS.

5.3) DATA ANALYSIS AND

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INTERPRETATION

I have been assigned a project to gauge the customer satisfaction among the existing and

the new customers who are regular users of caller tune as well as the customers who are

using it for the first time regarding the RTCTS initiative by Vodafone.

Part of my project was to track the performance of retailers on daily basis through the no.of sales they are making each day. Checking their sales was done through the URL

which manages the VAS service of Vodafone.

Performance Management System means:-

Identifying the parameters of performance and stating them very clearly

Setting performance standards

Planning in participative ways where appropriate, performance of all constituents

Identifying competencies and competency gaps that contribute/hinder to

performance

Planning performance development exercise

Recognizing and promoting performance culture.

Performance criteria for my report were to:

To keep a note of daily sales of 100 test retailers

Calculate total sales for a month of each zone

Calculate the performance of RM (relationship Manager)

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PERFORMANCE TRACKING: ZONE WISE

East Zone

East zone in Delhi and NCR covers three areas of Delhi which are East Delhi, Noida and

Ghaziabad.

*Pie chart is used to show the total sales made by each zone in a month.

*Line chart depicts the comparative sales trend of each area for a month starting from 16th May to 10th July.

*X Axis denotes the date and Y axis denotes the sales in number.

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ANALYSIS

As per the data collected, East Delhi sold maximum caller tunes when compared to other

subdivisions in East Zone. It can be concluded from the line trend that the sales declined

dramatically after the May month for each subdivision. The main reason for the decline

of the sales was the elimination of incentives of DSEs on CT from 1 st June onwards.

Also in whole of east zone the sales were good due to only three retailers who made total

sales of 100 and above each while rest of the retailers contributed less in the total sales

making an average of 20-30 sales each.

South Zone

South zone in Delhi and NCR covers two areas of Delhi which are South Delhi and

Faridabad.

*Pie chart is used to show the total sales made by each zone in a month.

*Line chart depicts the line trend of sales of each area.

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*X Axis denotes the date and Y axis denotes the sales in number.

ANALYSIS

As per the data collected, Faridabad sold maximum out of two subdivisions in south

zone. It was concluded that the retailers of the south zone were making strategies to push

CT to customers with the new activations and also they were selling CT at cheaper rate

than allotted by cutting their margins. The push by DSEs to sell VAS was also the main

reason for souths good sales at initial point of the project. Also in South zone, no. of

retailers contributing to good sales was greater than that of east zone; there around 6 out

of 26 retailers made an average sale of 100 caller tunes while others also did well.

North and West zones were covered by my team mate of whom the analysis part is not

shown in this report while the results are taken into account.

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Performance per zone

Zone No. of sales No. of days Avg. sales No. of

outlets total

assigned

Sales per

Retailer

NORTH 797 26 30.7 20 40

EAST 646 26 24.8 27 24

SOUTH 1076 26 41.4 27 40

WEST 1338 26 51.5 26 51

The data above mentioned is for the first phase where RTCTS was launched for 100 test

retailers and is from 16th may to 10th June.

ANALYSIS

As RTCTS was launched for 100 test retailers to up sell VAS (Caller tune), it wasrequired to keep a daily track on their sales. These 100 retailers were chosen in such a

way so as to cover all four zones equally. Moreover these retailers were few selected

ones out of 2500 superstar retailers who were the best in generating most of the revenue

for the company in Delhi and NCR region. From the analysis, it was observed that West

Zone caused for the maximum sales of CT in Delhi and NCR while East Zone was the

least performer. West Zone made an average sale of 51.5 caller tunes per day while East

Zone did a sale of 24.8 caller tunes per day. Also if the average sale of whole Delhi and

NCR region is calculated it comes out to be around 150 sales/day. That clearly depicts

the success of the program in its test marketing.

Second phase of RTCTS was launched on 11th June in which all 2500 superstar retailers

were brought under RTCTS with less commission of 10/- per CT successfully sold.

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Age

During the survey I divided age into 3 groups, namely: 15 25, 26 50 and 50

above.

ANALYSIS

It can be analyzed that 59 customers fall in the age group of 15 25 yrs, 37

customers fall in the age group of 26 50 yrs while the rest fall in the 50 + age

group. From this, I can conclude that RTCTS should mostly target the youth

which has the highest acceptability ratio. Also working class people are the good

prospects which can be targeted.

Social Class

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ANALYSIS

In the analysis it was found that 52 customers were from worker class. That

means retailers were mostly targeting the worker class who has least knowledge

about what caller tune actually is. Retailers actually were targeting the worker

class by charging them more with the new activations. Next Category with

maximum activations belong to the students i.e. 40,who are very much interested

in getting CT activated whenever there is a new release. The third category is the

service class which is least interested in getting CT activated.

Connection

Connection here refers to Age on network (AON) which signified that either theconnection on which CT has been activated is a new one or an old connection.

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ANALYSIS

During the test survey I concluded that out of 100 customers who activated CT

through retailers, most were activations on the new connection as retailers were

bundling CT with new connection. Moreover it was easy for retailers to target

labor class with the new activations.

Acceptability

Acceptability here refers to customers willingness to buy a CT through retailers.

This actually means that customer, without any influence of the retailer; want to

activate CT on his\her number.

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ANALYSIS

Through the surveys it can be concluded that, though the sales made by retailers

were good but consumer is showing least interest in activating it by his own and

67 customers out of 100 were influenced by the retailers or they were actually

being forced to buy a CT. When we took feedback from customers, they told that

CT was pushed by the retailers at cheaper rate and was also bundled with new

connection, and they really didnt want it and will deactivate it next month.

Awareness about CT

In our questionnaire to customers and retailers, I asked them about the awareness which

the retailers are making to customers about RTCTS. As RTCTS was test launched to 100

retailers only so it was entirely left on the retailers to promote RTCTS as no promotional

activity could be carried out by Vodafone.

As per the feedback given by retailers and customers we came to know that 1 on 1

interaction helped a lot in making the customers aware. Also some promotional print

outs were made to display outside shops by most of the retailers.

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Other VAS services

Our other objective was to explore various other VAS which the retailers are interested

in selling and at the same time feel that the customers would also be interested in buying.

I had mainly focussed on four other value added services which the company feels are

the most feasible to sell and has a wider scope ahead. These services are as follows:

1. MCI Missed Call Information

2. Alerts like cricket, news, astrology, etc.

3. GPRS Packs.

4. Data Cards.

ANALYSIS

In the questionnaire retailers were asked to give their preference about other VAS on a

ranking scale of 1-4. From the test survey of 50 retailers of east and south Delhi zone, I

concluded that the response for the data cards was good. Almost 65% retailers gave their

first preference to data cards as they think most of the customers today rely so much on

internet to access web and to stay updated with the world. Also demand for data cards is

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huge in students who often ask the retailers about such packs. Then GPRS packs are also

considered as a good option to sell with around 40% retailers agreeing to it to keep it as

their first preference. So it can be concluded that Data cards and GPRS packs can be

introduced as per the retailers point of view because these services have a great demand

to make it a potential market.

On the other hand, many feel that Alerts and MCI packs wont work as customers feel

that it is waste of money for them.

5.4) FINDINGS

FINDINGS ON THE BASIS OF PERFORMANCE

West zone is performing extremely well followed by south and north zone.

The performance of South zone is steady.

High margins made the retailer to pitch in for high sales.

DSEs played an important role in pushing the retailers to make sales.

Bundle selling is mostly employed by the retailers.

Customers (worker class) are also satisfied with the concept as they find it an easier

way to get CT.

The incentives on DSEs were withdrawn from 1 st June onwards and thereafter sales

of caller tunes declined dramatically.

First phase RTCTS launch gave an average of 3.5 sales per day per agent with 100

outlets.

Sales drop from 350 average per day with 100 retailers to 60 average sales per day

with 2500 retailers.

FINDINGS ON THE BASIS OF QUESTIONNAIRE

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As the questionnaires were analyzed I can conclude that most of the customers

activating CT are worker class who are getting it activated with new activations.

Majorities are not willing to buy CT but are being influenced by the cheap rates

being offered by some of the retailers.

One to One interaction helped the retailers to make them aware about the program.

Irrespective of low acceptance ratio, sales were high which implies retailers interest

is very much needed for the projects success.

A majority of customers who are mainly the new users of CT think that getting CT

activated through retailer is lot more simpler than through sms or calling as in this

case, a customer can easily go through the song booklet which has about 1200

popular songs.

The overall scenario regarding the display posters in many of the retail stores was

good since majority of the stores were visited by the researchers and customers

interviewed were of the view that the window display is good.

5.5) RECOMMENDATIONS

I had been at Vodafone for 7 weeks during my summer training program and I have

identified a few loopholes that would lead Vodafone from a level of customer

satisfaction to customer delight. Following are the number of recommendations that I

would like to make regarding the RTCTS operations at Vodafone.

We need to have more of promotional activities outside the store to attract more

customers inside the store.

Since our target customers for caller tunes are the youth so we can promote RTCTS

at the various D.U colleges as most of the buyers are college goers. Banners and

billboards can be displayed outside the colleges.

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There lies an opportunity everywhere; the only need is to identify that opportunity.

I had interacted with many of the prospective customers who went dissatisfied just

because of the fact that they did not get their favourite caller tune. There we do

need to update the song booklets given to the retailers so that the customers do not

go dissatisfied from the retailers store.

Creating a pull for customers

Through information

o Newspaper inserts in areas with details of the shops

o Cell site wise SMSes

Informal meetings with the retailers should be conducted so as to get more of the

feedback and to motivate them to sell as much as possible.

While we were there at Vodafone we had found out that many of the retailers were

not able to give the needed time to sell CT as the time needed per customer to

explain about RTCTS was much more than selling other bonus packs so as for their

convenience some easy way out should be adopted.

5.6) CONCLUSION

During the measurement of the effectiveness of the RTCTS provided by Vodafone

in terms of acceptance, responsiveness of the customers and the retailers, it was

found out that overall perception about its service is low.

Vodafone now focuses on promoting VAS through retailers as a result of which

customer base can be further increased.

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PRE and DSE involvement in pushing RTCT would most certainly enhance the

sales.

DSE incentives drive would certainly help to achieve the sales targets.

More emphasis in marketing and promotional activities would definitely lead to

enhancement in sales at retailer point.

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6.1) INTRODUCTION

Vodafone Tuesdays is a brand initiative by Vodafone to make the Vodafone customer

proud. Vodafone Tuesdays was first launched in Mumbai circle 2 years back and after

seeing its success, it was decided to launch the concept in Delhi. The main motive behind

the concept is to paint the whole city red with the brand Vodafone behind it.

What exactly Vodafone Tuesdays Is?

Vodafone Tuesday is a scheme which allows a Vodafone subscriber to bag two movietickets and meals at a price of one. Vodafone Mumbai subscribers are using this schemesince long and now it is even being made available to Delhi/NCR subscribers.

This scheme restricted to Tuesdays, will allow Vodafone users in Delhi/NCR to catch

movies at all outlets of Satyam (Nehru Place, Patel Nagar and Janak Puri) and DTCinemas (Gurgaon), and dine at restaurants like Bercos, Tantra, The Rock Caf, LittleItaly, and many more.

Vodafone Tuesdays coupons can be downloaded on mobile phones for a forthcomingTuesday on any day of the week.

While commenting on the scheme, Sanjay Warke, Chief Executive Officer, VodafoneEssar-Delhi said, Vodafone has always endeavored to bring innovative service offeringsto its varied customer base. With Vodafone Tuesdays, we plan to offer maximum valueto movie buffs and food enthusiasts in Delhi. This is another of our special initiatives to

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launch festive value-for-money offers in its effort to brighten up this Diwali for ourcustomers in and around Delhi.

6.2) ACTION PLAN

1) To achieve the set objectives we will understand the consumer behavior.

2) Through primary data collection, find out the performance of the program from a

pure quality point of view. Get customer response to get a complete picture.

Consumer Research

VT specific research and analysis

6.3) FINDINGS

There are 11 movie halls and around 220 food outlets s under Vodafone Tuesday.

Fair knowledge imparted by the people representing Vodafone at movie halls.

West zone people has good amount of awareness regarding the Vodafone

Tuesday.

South and East zone has least knowledge about Vodafone Tuesday and uses less

service by Vodafone.

The customers that use the Vodafone Tuesdays concept are mostly the students.

Talking about the promotion strategies for Vodafone Tuesdays:-

It is mainly done through radio and lots of prints are also given in various

magazines covers.

Display boards and Vodafone people are there on the tie up joints to make

customers aware.

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Vodafone campus and Vodafone Tuesdays promotions are being done in north

campus.

Through the surveys done at various outlets and movie halls, many customers got to

share their experience on Vodafone Tuesdays. Many consumers gave the refreshing

ideas that Vodafone should adopt. Some of the mostly said are listed below:-

Road shows

Events in the malls

Promotions at College fests

Zoo zoos to promote Vodafone Tuesday on TV.

6.4) RECOMMENDATIONS

Since this is the time many youngsters surf the net and visit the campus to get themselves

admitted in the colleges, it provides an ample opportunity for Vodafone to target the

youth to create awareness about the brand initiatives that Vodafone has taken to create a

mark and consumer friendly brand in the market.

Extending the promotional activity from north campus to south campus will

further strengthen the presence of Vodafone Tuesdays.

Promoting Vodafone Tuesdays by organizing events in the malls.

Advertisements in various social networking sites like Orkut, Face book, etc.

Pop-ups advertising can be done.

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Tie up with PVR cinemas will help Vodafone to reach larger customer base

through Vodafone Tuesdays.

6.5) CONCLUSION

7 out of 11 movie halls are in west zone which creates ample awareness about

Vodafone Tuesday in the zone.

4 movie halls cover south, north and east zone making it a need to tie up with

more movie halls in respective zones.

Less awareness amongst the people of south and east zones.

Aggressive awareness programmes are need to be employed in south, north and

east zones.

Customers using Vodafone Tuesdays are more interested in redeeming it for movies than

for food.

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Vodafone. RTCTS launch word doc

Vodafone. RTCTS revival doc

URL

http://172.20.23.81:8080/RTCT/MIS

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Web Links

http://www.vodafone.com/start/about_vodafone/who_we_are.html

http://www.medianama.com/2009/02/223-vodafone-india-revenue-up-373-percent-

arpu-down-mou-up/

http://www.efytimes.com/efytimes/33810/news.htm

http://www.business-standard.com/india/news/telcos-go-creativevas/358691/

Web Links

www.marketresearch.com

http://www.vodafone.in

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Dear Customer,

We will be thankful to you for giving your precious time while filing up

that questionnaire as it will help us to understand you better and will

help in improving the level of customer service.

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PERFORMANCE OF RMs

EAST

Data

RMNo ofretailer

TotalSales

Avg. sales perretailer

No. ofdays

Avg. sales perday

AKSHAY

AMBARDAR 2 113 56.5 26 4.3

HIMANSHUBHAYA 3 90 30.0 26 3.5

MANISH

SRIVASTAVA 2 50 25.0 26 1.9

NIKHIL

UPADHYAY 2 17 8.5 26 0.7

NIRMAL VERMA 1 11 11.0 26 0.4

PIYUSH

KAUSHAL 2 14 7.0 26 0.5

SANJEEV

KUMAR SINGH 4 132 33.0 26 5.1

SANTOSH

MISHRA 2 1 0.5 26 0.0

SAURABH

KAPUR 3 29 9.7 26 1.1

SUBHASH

RANA 2 25 12.5 26 1.0

SUSHEEL

SHARMA 1 13 13.0 26 0.5

VIKRAM MEHTA 1 131 131.0 26 5.0

VINAY

AGARWAL 2 17 8.5 26 0.7

Grand Total 27 643

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SOUTH

Data

RMNo. ofretailers

TotalSales

Avg. sales perretailer

No. ofdays

Avg. sales perday

ABHAY

SHARMA 3 57 19.0 26 2.2

GAGANDEEP

BHATIA 3 35 11.7 26 1.3

HIMANSHU

PANDEY 2 83 41.5 26 3.2

MUKUL MOGHE 1 130 130.0 26 5.0

NEERAJ

SHARMA 2 34 17.0 26 1.3

NITIN SHARMA 2 50 25.0 26 1.9

PANKAJ

AGGARWAL 6 266 44.3 26 10.2

ROHITBHARDWAJ 4 244 61.0 26 9.4

ROSHAN SAMI 3 159 53.0 26 6.1

VACANT 1 18 18.0 26 0.7

Grand Total 27 1076

Documents

ABS - Vodafone- Rohit Munjal