Marketing Project Proposal for Vodafone in New Zealand

MK701 - GROUP 1
Lecturer: Intake:
Word Counts:

Armin Wartanian March 2013

1300 words

Submission Date: 18th April, 2013

Name
Limon Ghosh Joshua lopez Varun Anand Sandeep kumar Joseph thilakaratn

ID
1112027 1208046 1108010 1212023 1212009 -Team Leader -Team Member - Team Member - Team Member - Team Member

Executive Summary:
We are writing this proposal for Vodafone to conduct secondary research that would assist Vodafone to grow constantly in 2014. The primary objectives are to evaluate their current marketing strategies, tactics, systems and to determine promotional platforms that can be used to stay as a market leader. Vodafone is currently following bypass attacking strategy. In 2014 we are suggesting position strategy for Vodafone. Vodafone currently following vertical system and in 2014 we recommend horizontal system. Vodafones current marketing mix is functioning excellent and they can continue it in 2014. To achieve the objectives we will recommend Vodafone to follow position defensive strategy and horizontal marketing system to maintain growth.

Table of Contents
1. Introduction ---------------------------------------------------------------------------------4-5 Background---------------------------------------------------------------------------------4 Objectives-----------------------------------------------------------------------------------4 Scope ----------------------------------------------------------------------------------------4-5 2. Data Collection Method(s) --------------------------------------------------------------5 3. Body (Facts & Evidence) (LOs1/2) ----------------------------------------------------6-11 Description--------------------------------------------------------------------------------6-9 A Suggested Work plan-----------------------------------------------------------------10 Qualifications for the Task-------------------------------------------------------------10 Costs------------------------------------------------------------------------------------------11 4. Conclusions----------------------------------------------------------------------------------- 11 Referencing ----------------------------------------------------------------------------------- 12 Appendix----------------------------------------------------------------------------------------13

1. Introduction
Background
Vodafone New Zealand Ltd. is one of the leading telecommunications in New Zealand, and is an operating company of Vodafone Group Plc the world's leading mobile telecommunications company, with a significant presence in Europe, the Middle East, Africa, Asia Pacific and the United States. The telecommunication industry is currently characterized with stiff competition which has translated into improved services and a price war to the benefit of customers. There are four major market players Telecom New Zealand Ltd, AT&T Asia Pacific, Two Degrees Mobile Limited, and Skinny. Vodafone NZ Ltd has a market share of 47.8% (mobile) (www.vodafone.co.nz).

Objectives
Following the important step of defining the problem, our group met on March 10th, March 30 th and April 10th, 2013 to arrive at a common understanding of the objectives of the secondary research. Based on these meetings, the following two research objectives were mutually agreed upon: The primary objective is to evaluate Vodafones current marketing strategies, tactics, and systems. To determine promotional platforms that can be used to stay as a market leader. Increase the revenue 5% by applying position defense by 2014.

Scope
We will discuss the following: Marketing objectives

Determine promotional platforms and increase the revenue 5% by 2014. Marketing Systems

We will discuss the Vertical systems and recommends Horizontal; determine the benefits of it. Strategies

Discuss about the bypass attack strategies and suggest position defense strategy. Tactics

Will discuss about the marketing mix 4Ps of Vodafone New Zealand.

2. Data Collection Method(s)

We will use secondary data collection method from annual reports, media conversations, and journals about Vodafone and from Vodafone website. Also we collected data from the Internet and recent published data/ statistics which are available in different websites. Secondary data are data that were collected for another purpose and already exist somewhere (Evans, & Berman, 1995).

Advantages of Secondary data Economical. Time saving. It helps to make primary data collection more specific since with the help of secondary data, we are able to make out what are the gaps and deficiencies and what additional information needs to be collected. Improve the understanding of the problem (Malhotra, Hall, Shaw, & Oppenheim, 2007).

Disadvantages of Secondary Data Accuracy of secondary data is not known. Data may be outdated.

We are using secondary data collection method because of time frame we have given (Kotler & Keller, 2011).

3. Body (Facts & Evidence)

Description
In November 1998, Vodafone Group acquired its New Zealand business (previously known as BellSouth New Zealand). At the time of purchase, Bellsouth had 138,000 customers. On 31 March 2011, Vodafone New Zealand had a customer base of approx 2.5 million customers. Vodafones strategy is customer focused and product led; the company is continually developing new products and services which utilize the latest technological advances (www.vodafone.com).

Vodafone Marketing Strategies

Vodafone is currently following offensive strategy. To be more specific they are using Bypass Attack by buying Telestraclear Company. Vodafone should continue their promotions and their efficient service to customers in order to maintain/improve their market standing. They got a bigger market share, eliminated a top competitor and used the assets of Telstraclear to be more efficient and effective in serving the customers and prepare for the spread of 4G (www.vodafone.co.nz).

Bypass Attack is bypassing the enemy altogether to attack easier markets instead offers three lines of approach: diversifying into unrelated products, diversifying into new geographical markets, and leapfrogging into new technologies (Kotler & Keller, 2011).

In 2014, we suggest Vodafone to change to take position defense. Since Vodafone is the first to bring in new Zealand 4G, Vodafone should protect their 4G services by providing efficient and effective customer service so that Vodafone would have Gain root on the 4G market before the other competitors. Position defense means occupying the most desirable market space in consumers minds, making the brand almost impregnable (Kotler & Keller, 2011).

Vodafones Tactics:
Vodafones 4ps of marketing mix:

Price
In New Zealand Vodafone has been very competitive because of their innovative marketing strategies they are implementing. Vodafone is currently following both profit and sales oriented strategy. Mostly they are looking into the price factor especially when they enter into a market they always make sure to a thorough research as to a what sort of a market that they are going to sell their products (www.vodafone.co.nz).

Great value On Account plans for mobile:

Vodafone Red Smart Data Smart Smart BYO Mobile

Prepay plans:
Prepay Freebees Prepay Smart Supa Prepay

Product
Their entrepreneurship and Innovative team of researchers are doing a major contribution to improve their technology, this has been one of the key factors that Vodafone is being embraced by every generation.

Vodafone services:
Vodafone Blacklist Phone Insure

Roaming Data Angel Home phone Naked broadband In Home cable broadband Fiber broadband Mobile application Web hosting & domains Sky TV with broadband (www.vodafone.co.nz)

Place
Vodafone is currently doing intensive distribution. Vodafone is also always aware of the social and cultural forces of their markets so that they can manufacture multi range of products catering the gender role changers of different countries (www.vodafone.co.nz).

Promotion
Top management the Vodafone always believe in the monopolistic competitiveness so that they will be able to come out with deferent types of products so that they will be able to easily promote their product among the people of the different parts of the world by winning the attraction of the many people. Vodafones recent promotion on 4G advertisement is huge success. Some of the latest packages offered in the year 2012 Vodafone 360 store Vodafone PC backup Music downloads (www.vodafone.co.nz)

Marketing Systems:

Vertical Marketing Systems:

Vodafone presently adopting the vertical marketing system (VMS) where they formally coordinate distribution channels where its independent members work together to achieve greater efficiency and economics scale, and to eliminate, Channel conflict arising out of desperate individual objectives (www.vodafone.co.nz).

A vertical marketing system (VMS), by contrast, includes the producer, wholesaler(s), and Retailer(s) acting as a unified system. In conventional marketing systems, producers, wholesalers, and retailers are separate businesses that are all trying to maximize their profits (Kotler & Keller, 2011).

Horizontal Marketing system:

We recommend that Vodafone can follow a horizontal marketing system by merging the newly bought firm Telstraclear in order to pursue marketing opportunities. Meanwhile they may combine their resources such as production capabilities and distribution in order to maximize their earning potential. The horizontal marketing system, in which two or more unrelated companies put together resources or programs to exploit an emerging marketing opportunity. Corporations in a horizontal marketing system also have the option of combining their capital and production capabilities (Kotler & Keller, 2011).

A Suggested Work plan:

Gantt chart:
20-03-13 25-03-13 30-03-13 04-04-13 09-04-13 14-04-13 19-04-13 24-04-13 29-04-13 04-05-13 Team Formation Gathering of data Data analysis Interpretation of data Feedback Presentation Final report

Qualifications for the Task

We, in our Group, are qualified for this paper. Each of our group members are graduated on Business and all are experienced in their related sector. Project coordinator Chief Marketing Analyst Professional Accountant Sales & Distribution Specialist Research Specialist

Limon (Masters Degree in Marketing) Joshua (Masters degree in Marketing) Varun (Bachelor in Accounting) Sandeep (Bachelor of Commerce) Joseph (PhD in Accounting)

10

Costs
Time and money are the most valuable resources within this research and the latter section shows how finances will be utilized. The fees quoted below are exclusive of GST and are subject to the standard terms and conditions. We reserve the right to make adjustments should any assumptions prove to be incorrect.

Tasks
Consultation Fees Foods and beverages Labour Cost Travel Miscellaneous Total

Amount
$6000 $500 $2000 $400 $200 $9100

4. Conclusion:
Our group commissioned the Vodafone to fulfill two research objectives that emerged from the need to make well- informed resource allocation decisions. Vodafone is presently adopting the vertical marketing system. In 2014 we recommend Vodafone horizontal system. Vodafone is currently following bypass attacking strategy. In 2014 we recommend Vodafone position defense strategy. Vodafones current marketing mix-price, place, promotion, product is doing excellent and they can continue in 2014 also. We have developed an understanding of the theories and techniques of planning, conducting, analyzing and presenting market studies. We will study different methodologies with emphasis on Secondary research. We will uncover the present marketing strategies, tactics, system and objectives of Vodafone in order for us to have a basis for its future marketing strategies.

11

References
Evans, J., & Berman, B. (1995). Principles of marketing (3rd ed.). Englewood Cliffs, New Jersey: Prentice Hall. Kotler, P., & Keller, K. L. (2011). Marketing Management (14th ed.). Upper Saddle River, New Jersey: Prentice Hall.

Malhotra, N., Hall, J., Shaw, M., & Oppenheim, P. (2007). Essentials of marketing research: An applied orientation (2nd ed.). Australia: Pearson Education.

New Zealand Commerce Commission. (2012). Annual Telecommunications Monitoring Report 2011. http://www.comcom.govt.nz/TelecommunicationsMarketAnnualMonitoringReports/p20.

Vodafone New Zealand. Company Information. Retrieved November 19, 2012, from https://www.vodafone.co.nz

12

Appendix:

MK701 - GROUP 1
Group Norms
Group Members:
Name
Limon Ghosh Joshua lopez Varun Anand Sandeep kumar Joseph thilakaratn

ID
1112027 1208046 1108010 1212023 1212009 -Team Leader -Team Member - Team Member - Team Member - Team Member

Lecturer: Mr. Armin Wartanian Intake: March 2013 Team norms: 1. Everyone should be active. 2. Attend meetings on time and dont miss them. 3. Everyone should finish his part on time. 4. If someone cannot do his part, others should help him. 5. Respect each other and their efforts. 6. Trust each other and have confidence that issues, discussed on meetings, will be kept in secret. 7. Share information and results of his work, that everyone can make modifications. 8. Listen what others saying without interrupting and dont draw a hasty conclusion. 9. Decisions should be made by majority of the team. 10. Have fun!

13

Meeting Minutes

MK701 - GROUP 1
Meeting-1
Date 21/03/2013 Group 1 Meeting 1 Start 2:57PM End 3:25PM

Participants: Limon Ghosh Joshua lopez Varun Anand Sandeep kumar Joseph thilakaratn 1112027 1208046 1108010 1212023 1212009 -Team Leader -Team Member - Team Member - Team Member - Team Member

Topic: Discussion about doing the (Group) Project Proposal. Discussion We have decided to do Marketing Proposal on Vodafone New Zealand. The proposal has to be done by team effort. Joshua and Joseph will do body parts and Sandeep and Varun will do Introduction and data collection method. All the members will send their project task within Sunday (10/04/2013) to Limon Ghosh (Group leader). He will combine, edit and finalize the proposal to submit to Mr. Patrick.

14

MK701 - GROUP 1
Meeting-2
Date 11/04/2013 Group 1 Meeting 2 Start 2:45PM End 3:25PM

Participants: Limon Ghosh Joshua lopez Varun Anand Sandeep kumar Joseph thilakaratn 1112027 1208046 1108010 1212023 1212009 -Team Leader -Team Member - Team Member - Team Member - Team Member

Topic: Discussion about rough part of the proposal Discussion We have discussed various parts of the proposal and critically analyze the proposal. All the members will send their project task within Sunday (14/04/2013) to Limon Ghosh (Group leader). He will combine, edit and finalize the proposal to submit to Mr. Patrick.

15

Peer evaluation of group work

All students will be evaluating each of their group members on the standard of their work and effort. This means that, whilst there is a group mark for the assignment submitted as a group, each group member may receive a mark which may differ up to 3%. For example, if a group receives a mark of 26 for their group strategic plan report, some members may receive a score of 29 if they scored well on peer evaluation, and some may receive 27. The group members peer evaluation will be assessed by your lecturer, who may adjust the peer evaluation mark, if the lecturer disagrees with the peer evaluation. Criteria will be: Punctuality (attended meetings punctually; responded in a reasonable timeframe to email/phone/Facebook/ requests Contributed positively to group discussions Completed assigned tasks on time Quality of research and work submitted Contribution to overall success of the assignment Marks Marks you will award to your group members are out of 4 with 4 being highest, and 1 being lowest. 1 = did not meet the standard 2 = partially met the standard 3 = met the standard 4 = exceeded the standard

16

YOUR NAME: Sandeep kumar Criteria Example Group Fred member Bloggs Limon Ghosh Punctuality 3 3 and response Contributed 3 4 positively to group discussions Completed 2 4 his/her assigned tasks for the group on time Quality of 2 3 research and work submitted Contribution to 3 3 overall success of the assignment 13 17 Totals YOUR NAME: Varun Anand Criteria Example Fred Bloggs Punctuality and response Contributed positively to group discussions Completed his/her assigned tasks for the group on time Quality of research and work submitted Contribution to overall success of the assignment Totals 3 3 3 4

Group member Joshua lopez 2 2 3 2

Group member Varun

Group member Joseph

3 2

11

13

13

Group member Limon Ghosh 2 2

Group member Sandeep kumar 3 2

Group member Joshua lopez

Group member Joseph

3 2

13

17

11

13

13

17

YOUR NAME: Limon Ghosh Criteria Example Fred Bloggs Punctuality and response Contributed positively to group discussions Completed his/her assigned tasks for the group on time Quality of research and work submitted Contribution to overall success of the assignment Totals 3 3 3 3

Group member Varun Anand 3 3

Group member Sandeep kumar 3 3

Group member Joshua lopez

Group member Joseph thilakaratn 3 3

13

13

13

15

15

YOUR NAME: Joshua lopez Criteria Example Fred Bloggs Punctuality and response Contributed positively to group discussions Completed his/her assigned tasks for the group on time Quality of research and work submitted Contribution to overall success of the assignment Totals 3 3 3 4

Group member Limon Ghosh 2 2

Group member Sandeep kumar 3 2

Group member Varun

Group member Joseph

3 2

13

17

11

13

13

18

YOUR NAME: Limon Ghosh Criteria Example Fred Bloggs Punctuality and response Contributed positively to group discussions Completed his/her assigned tasks for the group on time Quality of research and work submitted Contribution to overall success of the assignment Totals 3 3 2 2

Group member Varun Anand 2 2

Group member Sandeep kumar 2 2

Group member Joshua lopez

Group member Limon Ghosh

2 2

13

11

19