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Retailer Satisfaction of Vodafone: Marketing Research Report ON
Retailer Satisfaction of Vodafone: Marketing Research Report ON
ON
RETAILER SATISFACTION
Of
VODAFONE
PREPARED BY
: - FAEEM BAGHAD
CLASS
: - T.Y.B.B.A.
ACADEMIC YEAR
: - 2010-2011
GUIDED BY
DECLARATION
I hereby declare that this project on STUDY OF THE RETAILER
SATISFACTION OF VODAFONE has been prepared by me during the
year 2010-2011 as a partial fulfilment of my Marketing management of
T.Y.B.B.A. This project report has not been submitted to any other
university or institution for award of any degree or diploma so far.
ACKNOWLEDGEMENT
PREFACE
The customers are very important and play a very crucial role in any
process of marketing. Today the customers are kings of the market
because the customers loyalty and customers preference are built by the
products and services offered to the customers and they seek for more
benefits and moneys worth for the amount they spend. But these services
and products are delivered to the end customers only by the Retailers who
work as the end medium in the whole chain of sales. That is where the
concept of Retailers preference and Retailers behaviour comes because
the Retailers make the marketers rethink about designing their services;
because of the important role they play in the whole chain. They have to
think about the market strategies, Retailer behaviour, Retailers taste etc.
also. Many marketers are smart enough to understand. Retailers needs,
wants and demands and perform beyond their expectation i.e. they delight
them. it provides them growth , profitability and creativity with lot of
inventions
Sr.
No.
1
Particulars
General Information
Company profile
Page
No
7-14
8
History
10
Company development
11
Vision
12
Mission
13
Chart of organization
14
Marketing Department
15-21
Introduction
16
Organization structure
17
Distribution channel
18
Advertisement
19
Competitor
21
Marketing Research
22-32
Introduction
23
Market research
24
Marketing research
25
Statement of objective
26
27
Research design
28
Data collection
30
Sampling method
31
33-41
Questionnaire
34
Conclusion
42
My Observation
45
Suggestion
47
Limitation of study
49
Future plan
51
10
SWOT Analysis
53
11
Questionnaire
58
12
Bibliography
62
GENERAL
INFORMATION
COMPANY PROFILE
Founded:
Headquarters:
Newbury, England, UK
Key people:
Industry:
Mobile telecommunications
Products:
Revenue:
Operating income:
Net income:
Employees:
72,375 (2009)
Website:
www.vodafone.com.
HISTORY OF VODAFONE
Company Beginnings
mobile customers.
COMPANY DEVELOPMENT
VISION
The Brand Vodafone has the following vision developed for itself:
MISSION
We will meet the mobile communication needs of our customers through:
Cost efficiency
CHART OF ORGANIZATION
CEO
GENERAL MANAGER
Chef
Marketing
Manager
District
Marketing
Manager
Chef
Finance
Manager
District
Finance
Manager
Chef
Chef
HR
Service
Manager
Manager
District
District
HR
Service
Manager
Manager
Assistant
Assistant
Assistant
Assistant
Marketing
Finance
HR
Service
Manager
Manager
Manager
Manager
Regional
Regional
Regional
Regional
Marketing
Finance
HR
Service
Head
Head
Head
Head
MARKETING
DEPARTMENT
INTRODUCTION
Marketing is the focus point of all business activities because the objectives of all
business enterprise are to satisfy the needs and wants of the customers. Production
and purchase has no meaning unless a firm is not able to market the goods and
services. Nothing happens unless somebody sells something. Marketing is the
distinguishing feature of business. A business is essential part from all other human
organization by the fact that it markets the product or services. Marketing is the basic
operative function of all business firms. It serves on the basis of business planning and
generates revenue for the firm. Efficient marketing management is essential for the
survival and growth of every enterprise.
Marketing is a system of integrated business activities designed to develop
marketing plans and programs leading to the satisfaction of customer wants.
Marketing department represents an important functional area of business
management efforts for the flow of goods and services from the producer to the
consumers.
Marketing department of the Vodafone Essar Limited is a crucial part of its
organization. The company can achieve its subsidiary objectives along with the primary
objectives with the help of marketing department. It not only helps the company to
achieve the goals that are directly related to marketing department but also helps in
achieving the goals that are related to other departments of the organization.
With the help of the marketing department Vodafone Essar Limited has not only
be successful in gaining the sales volume but also earned goodwill for itself, As a result
of the efforts made by the marketing department. Vodafone Essar Limited is enjoying a
prestigious position in the telecom industry.
ORGANIZATION STRUCTURE
Assi.
Assi.
Assi.
Assi.
Manager
Manager
Manager
Manager
Prepaid
Postpaid
Value Added
Services
Out Door
Mkting
DISTRIBUTION CHANNEL
Company
Distributor
Dealer
Salesman
Retailer
Customer
ADVERTISEMENTS
Advertising can be defined as mass paid communication of goods, services or
ideas by an identified sponsor. It is paid communication because the advertiser has to
pay for the space or time in which his advertisement appears in the recognized media
such as news paper, magazines, radio, T.V., Cinema film, posters, etc. Advertising can
create market for a new product. It is very powerful tool for the creation and retention of
consumer demand.
Vodafone Essar Limited spends more than 30% of its profit in advertisement. It
uses almost all media for its advertisement. Vodafone Essar Limited does its
advertisement through Lowe Lintas which is an advertising agency. Vodafones
advertisement is such that it informs, guides, protect buyers and helps in increasing the
standard of living.
Vodafone Essar Limited use following Medias for advertisement,
Print Media: It gives advertisement in each and every newspaper, magazines, and
periodicals. The company also distributes calendars, cards during Diwali, diary, pens,
clocks, key chains etc. to Retailers, customers.
Banners: Company provides banners to each and every Retailer and also to the
Distributors.
Hoarding: `
The Company has done the use of hoarding at the major point of cities in
Glow Shine Board (GSB): It is an electric board which is given to each and every Retailer.
COMPETITORS
In this growing competitive era each & every new & old, public & private all
companies will have to face competition against their competitors there is need to new
competition found in all kinds of business activities.
In this time Vodafone has the following main competitor in the industry
AIRTEL
IDEA
BSNL
RELIANCE
TATA DOCOMO
AIRCEL
VIDEOCON
UNINOR
MARKETING
RESEARCH
INTRODUCTION
19U was
considered a luxury, which only, multinationals like unit-lever and proctor and Gamble
and their like could afford. However it is not so now. This is because competition in all
sectors has increased manifold after 1985 especially after 1991 following liberalization
and decontrol most firms today find that the government no more takes strategy
decision I or them rather the arena.
MARKET RESEARCH
Market means actual end potential customers. Market research is the systematic
and intelligent investigation or study of the who, what, where, when, why, and how of
actual end of potential buyers it deals with research on customer demand. Market
research is primarily concerned with investigation, analysis and measurement of market
demand.
Degree of competition.
MARKETING RESEARCH
Marketing research is the systematic gathering, recording and analysis of data a1out
problems connected with the market price i.e. problems relating to product, price
promotion and distribution of the 4 Ps of the marketing mix. Marketing research may be
defined as the scientific and controlled process of 4.p gathering of non-routine
marketing information helping management to solve marketing problems. It
concentrates on the study of offering sound alternative solution to all marketing
problems relating to exchange of goods and services from producers to consumers.
STATEMENT OF OBJECTIVE
Market Share :One of the preliminary objectives kept in mind while conducting this survey
was to find out the market share of Vodafone Essar Limited as compared to its other
competitors in the field.
Retailer Satisfaction :The survey was also conducted keeping in mind that the Retailers are
satisfied with the facilities and benefits given to them by the company.
Middle class area :50% of the sample surveys were mainly from the middle class area, so as to
find area, so as to find out through the Retailers the usage of cellular telephony in
those areas.
There are various facilities provided to the Retailers for selling the product like Banners,
Posters, and GSB etc. Through this survey company can find out whether Retailers are
in need of any of these facilities or not.
Formulation of Research
Problem
Research Design
Determination of Sources of
Data
Collection of Information
RESEARCH DESIGN
The second step of the marketing research process calls for determining
the information needed and developing a plan for gathering it efficiently. A research
design can be defined as The plan, structure and strategy of investigation conceived so
as to obtain answers to research questions and to control variance. The marketing
manager needs to know the cost of the research plan before approving it. Designing a
research plan calls for decisions on the data sources, research approaches, research
instrument, sampling plan and contact methods. The researcher can gather secondary
data, Primary data or both. Secondary data were collected for another purpose and
Primary data are freshly collected for specific purpose for a specific research project.
Once it is realized that the secondary data are insufficient, the researcher
needs to decide upon one alternative design to collect the primary data. The three basic
methods which can be used are: -
1. The Observational Method: This method involves direct observation of people and situation through
one way mirrors, hidden cameras or disguised observers. Direct observation involves
watching actual behavior; indirect observation involves inferring behavior by looking at
the result of that behavior.
2. The Experimental Method: The most scientifically valid research is experimental research. The
purpose of experimental research is to capture cause-and-effect relationship by
eliminating competing explanations of the observed findings. To the extent that the
design and execution of the experiment eliminate alternatives hypothesis that might
explain the result, research and marketing managers can have confidence in the
conclusion. This method however, involves more time and is costly.
3. The Survey Method: Surveys are best suited for descriptive research. This method involves
learning about peoples knowledge, beliefs, preferences and satisfaction and to
measure these magnitudes in the general population. As in observation, survey
research can be structured or unstructured. Structured survey use formal lists of
question asked of all respondent the same way where as in unstructured researcher
use an open format that lets the interviewer probe respondents and guide the interview,
depending on their answers. There are three types of surveys namely:
Telephone Survey
Mail Survey
Personal Interview
Here, for the survey of retailers of Vodafone I have used survey method as tool for
research design.
DATA COLLECTION
Questionnaire:
A questionnaire consists of questions presented to the respondents for their
answers. Because of its flexibility, the questionnaire is by for the most common
instrument used to collect primary data.
In preparing a questionnaire, care should be taken in choosing the questions and
their form, wording and sequence. The questions included in the questionnaire can be
closed end questions prosperity all the possible answers and are easier to tabulate and
interpret. Open end questions allow respondents to answer in their own words and they
often reveal more as they give an insight into how people think.
The questionnaire should have simple, direct, unbiased working and a logical
order. The lead question should attempt to create interest. Difficult or personal questions
should be asked towards the end so the respondents do not become defensive early.
Mechanical Device:
Mechanical devices are occasionally used in marketing. They are used to
measure the interest or emotions aroused by exposure to a specific situation.
SAMPLING METHOD
Sampling plan:
After deciding research approach and instruments the marketing
researchers must design a sample plan. This calls for three decisions.
Sampling Unit:
The marketing researcher must define the target population that will be
sampled. In my case the target population was the retailers selling sim card of Vodafone
at Rajkot.
Sample Size:
Large samples give more reliable results than small samples. However, it
is not necessary to sample the entire target population or even a substantial portion to
achieve reliable results. In my survey the sample size was 50.
Sampling Procedure:
To obtain a representative sample a probability sample of the population
should be drawn. Probability sampling allows the calculation of confidence limits for
sampling errors. When the time and cost are involved the in probability sampling is
excessive, marketing researcher will take non-probability samples.
Non-probability Sampling
convenient sample
Judgment sample
Cluster sample
Quota sample
My survey falls under the category of the convenient sample under Non-probability
sampling. In this method the researcher is free to select. The respondents are selected
on the basis of the being available at the time of survey.
RESEARCH
ANALYSIS
&
FINDINGS
QUESTIONS
1.
Monthly turnover
Analysis: monthly turnover of the retailers in Rajkot is not much high. Out of 75 retailers,
8 of them have turnover less than 10000 per month. 36 and 31 have their turnover between
10000 to 25000 and 50000 to 100000 respectively. None of them have their turnover more
than 100000.
2.
Analysis: From the above graph it can be analyzed that out of every 75 retailers of
Vodafone, there are 71 dealing with airtel, 63 with idea, 58 with BSNL, 61 with Reliance, 50
with docomo, 38, 40, 21 with uninor, Videocon and aircel respectively.
Suggestions: I would like to suggest that company should try to maintain their coverage of
market even in future.
3.
Analysis: there are 11 retailers which are dealing with Vodafone from some months and
have not completed a year yet. There are 36, 18, 10 retailers dealing with Vodafone for 1 to
5 years, 5 to 7 years and less than 7 years respectively.
Suggestions: I like to suggest the company that company should try to increase
more and more retailers.
4.
Analysis:
i.
ii.
Vodafones recharge schemes are good, very good and excellent respectively.
Postpaid schemes: Out of 75 retailers addressed, there are 13 which say
that postpaid schemes of Vodafone is good. 21, 41, are with the opinion that
Vodafones postpaid are very good and excellent respectively.
iii.
iv.
v.
Vodafones after sales services are very good and excellent respectively.
Other services: Out of 75 retailers addressed, there are 3 not satisfied with
recharge schemes of Vodafone. 31, 21, 20 are with the opinion that Vodafones
other services are good, very good and excellent respectively.
5.
Analysis: out of 75 retailers of Vodafone there are 67 satisfied with the overall services
provided by Vodafone and the remaining 8 are not.
Suggestion: Company should study the reason of dissatisfaction and try to convert their
view.
6.
Analysis:
i.
ii.
iii.
iv.
7.
Analysis: The ranks were given from 1 to 3. There were 8 companies in the race.
Final ranks are given as per the highest number of votes given out of 75. For example:
42 out of 75 are of opinion that Vodafone is number 1 as per the services among all 8
companies. Vodafone is 1st in the services, 2nd in customer care, 1st in packages and
again 2nd as per the prices.
CONCLUSION
CONCLUSION
Vodafone Essar Limited is one of the leading service providers present today in the state
of Gujarat. It has been indeed a pleasure working for Vodafone Essar Limited, though as a part
of my training. I have conducted my project on Retailers Satisfaction of Vodafone Essar
Limited. As student trainees I have learnt immensely.
Vodafone family is very co-operative, friendly as well as professional and practical in
their approach. They have been guiding me whenever I viewed an obstacle. They have been of
great help when it came to providing information to me about themselves and their organization.
I wont be exaggerating, if I say that this project has helped me develop me as a person
because while conducting my survey I have met 50 people whose nature was different from one
another and each meeting in itself have been a memorable experience.
I would also like to say that this project has made me known the realities that exit in the
market today. I have also known the technicalities involves while finding the right sample for my
survey.
This project I have learnt a lot about Survey etc. which has me approach the real world
in quite an extent. Also this project has helped me have a more deepened knowledge about the
cellular phone market, on going cellular wars etc.
Vodafone Essar Limited is a company who has grown by leaps and bounds in these two
years and has emerged itself into new beginnings. Under the report, I have researched about
Retailers of Vodafone Essar Limited the findings of my survey say that Vodafone today is the
leader in the market and is still growing.
MY
OBSERVATIONS
MY OBSERVATIONS
Vodafone Essar Limited made me observe many things while on my survey of 50
Retailers in different areas. There were various reactions and gestures which, I observed
through people. Few are some of them: -
AMBIENCE & ATMOSPHERE: Retailers, I visited were friendly and helpful. As it progressed with my survey they were
PRICING STRUCTURE: Retailers insisted on a consistent stable and substantiate pricing policy as they were
really frustrated with the constantly changing price in the mobile world.
PERSONAL APPROACH: Retailers always want the executives coming to their places and making them
understand about the new scheme and plans, which are going to enter market.
SALESMEN SERVICE: -
Retailers are quite satisfied with the salesmen service. Whenever the retailers are in
need of SP, RV, etc. when they make a single call to salesmen then order will be made available
by salesmen with in an hour.
SUGGESTION
SUGGESTION
The highly professionalized management and totally modern marketing approach are the
basic key factors behind the success of Vodafone Essar Limited. The management of Vodafone
Essar Limited is very perfect and nice. As per companys perfect management there is no need
to give any suggestion to the company but I observed that each and every person in this
company is hard working which one of the positive points of this company.
According to my observation, company spends lots of amount on advertisement.
LIMITATION OF
STUDY
LIMITATION OF STUDY
Strength and weakness to any study is like inevitably that all coins do have two sides to
it. There are limitations to any study taken up. There are certain pitfalls they do exist even after
proper care and cautions are taken. The following are the limitations of this research:-
1. Limitation of Time :The project work had to be undertaken in a limited stature of time and thus it has been
not possible to cover the entire market thoroughly.
2. Limitation of Size :Only 50 Retailers are chosen out of the widely spread market, hence the data might not
represent, the true and fair picture of the market. It is possible that if, still a large portion of
market is surveyed, and then the views and opinions might differ.
3. Limitation of Retailer in disposition :There is a possibility that the survey might be taken up differently by the same samples
when they are in different moods and frame of mind and have different opinions as far as
preferences are concerned. It solely depends upon the Retailers mood swings and thus data
represented might not represent a true and accurate view of the market.
4. Language Problems :Most of the Retailers dont know even to read in English. So all the questions of survey
are to be explained in Gujarati and thus they give answer in Gujarati which is to be translated in
English and then it is written.
FUTURE PLAN
FUTURE PLAN
Vodafone Essar Limited has only one future plan and that is to excellent in its field and
conquer the market. Today there are more then 3 corer cellular phone users and the people who
use the land line are around 7 corers. There is a huge gap to be bridged and the only and future
term plan of Vodafone Essar Limited is to exceed the land line users.
Secondly their long term plan is to be consistent in the policy adopted by them for the
purpose of outright excellence in their field. The policy of quality coverage, subsistent rates and
a genuine customer convenience and care are high in standards presently and Vodafone feels
that if these are the factors that are maintained at a consistent level then the company will be
able to meet all its future plans and goals.
Thus Vodafone Essar Limited has no plans in particular except to lead the market in the
crucial times of Cellular wars, and out rightly exceed the usage of land lines by wireless cellular
telephones and maintain their standard of quality coverage
SWOT ANALYSIS
SWOT ANALYSIS
Strength
1.
DISTRIBUTION NETWORK: -
Vodafone has a wide spread network and to completely cover such network, it
has a predetermined channel which covers every nook and corner of the city so that all masers
are covered. With distribution network and an equal capacity to canalize makes Vodafone
strong in its own.
2.
For every job specification in Vodafone Essar Limited there is employed a live
wire professional who is best suited to his position and responsibility when it comes to skill,
talent, qualification and perfection. Having people with such zeal and enthusiasm,
professionalism comes as strength.
3.
Not only Vodafone Essar Limited is strong from within but when it comes to
external forces it proves its worth. Fabulous customer commonsense centers are established to
take care of any issue that may come as a problem to the mass proactive customer care is one
of the assets of the company while tele customer care comes as an icing to the cake.
4.
TELECOM FOOTPRINTS: -
Vodafone Essar Limited though establish recently has set its foot in major cellular
markets, be its markets of masses or geographical markets. The important states of India all
have Vodafone footprints with them. This is strength indeed.
Weakness
1.
FUNDAMENTAL CLASHES: -
As said earlier, corporate giants across the globe Tata, Birla, AT&T have joined
hands to form Vodafone Essar Limited. They all being supreme in their field, have their own
perceptions, these perception ideas and means are found to clash when they meet. Thus this
may be proved as a hindrance to the company and comes out as a weakness.
2.
As the three partners are huge corporate, the flow of decisions, actions and
understanding are channeliased through a long route. This may cause delay in any decision to
be taken and which might not be good for the company.
3.
TELECOM FOOTPRINTS: -
Vodafone is only present in some states only out of highly numbered 26 states
which show that geographically Vodafone is not able to cover entire state. This leaves behind
weak telecom footprints of the company.
Opportunities
Threats
1.
Day in day out there is various rules and regulations that are coming in the
market and which on highly volatile in nature. Price fluctuation, are one of them competitors
come in and go out in a jiffy, and in such a situation to hold an upright place is difficult in its even
words and thus proves a threat to excrescence of companies. The same has been observed by
Vodafone.
2.
With ongoing Cellular wars and advent of WLL, Cellular operators are now into
an artificial cover of threat. The threat of pricing policies, threat of customers care etc. is going
high as WLL have been setting its foot with predatory pricing policies to un channelise Cellular
operators.
3.
In order to survive in the market, Vodafone has to update its technologies, and this all
expansion requires huge cost pull expenditure and this increase costs in leaps and bounds.
QUESTIONNAIRE
RETAILOR SATISFACTION TO
VODAFONE
(This survey is being conducted by a B.B.A student as a part of advanced
marketing and this survey is purely meant for academic purpose.)
Q-1
Name
______________________________________________________________
Q-2
Address
______________________________________________________________
______________________________________________________________
Q-3
Contact No
______________________________________________________________
Q-4
Monthly turnover
Up to 10000
10000 to 25000
50000 to 10000
Q-5
Q-6
Q-7
25000 to 50000
100000 or above
VIDEOCON
IDEA
AIRTEL
RELIANCE
DOCOMO
UNINOR
BSNL
AIRCEL
1 year to 5 years
5 years to 7 years
How satisfied you are with the services provided to you by Vodafone?
SERVICES
Recharge Schemes
Post-Paid Schemes
Advertisement Material
After Sales Services
Other Services
GOOD
VERY
GOOD
EXCELLENT
NOT
GOOD
Q-8
Yes
Q-9
No
Q-10
I.
Kind of services
II.
schemes
III.
Advertisements
IV.
Packages
I.
Service:
1__________
2__________
3__________
II.
2__________
3__________
Q-11
III.
Packages:
1__________
2__________
3__________
IV.
Prices:
1__________
2__________
3__________
______________________________________________________________
______________________________________________________________
BIBLIOGRAPH
Y
BIBLOGRAPHY
1.
Marketing Management
- By PHILIP KOTLER
2.
Market Research
- By LUCK RUBIN
3.
Web site
- www.vodafone.com