A STUDY ON ADVERTISING AND PROMOTIONAL STRATEGIES AT VODAFONE IDEA

LIMITED

Dissertation submitted in partial fulfillment of the requirements for the

award of the Degree of
POST GRADUATE DIPLOMA IN MANAGEMENT
of
xxxxxx

Under the guidance of

xxxx

1
 DECLARATION

I hereby declare that PROJECT entitled “A STUDY ON ADVERTISING AND

PROMOTIONAL STRATEGIES ABOUT VODAFONE IDEA LIMITED”
It does not contain any part of the project submitted by any other candidate to this or any other
institute of the university. All such materials that have been obtained from other sources have been
duly acknowledged.
ACKNOWLEDGEMENT

I would like to express my profound gratitude to all those who have been
instrumental in the preparation of my project report. To start with, I would like to thank
VODAFONE IDEA LIMITED for providing me the chance to undertake this internship study and
allowing me to explore the advertising and promotional strategies which was entirely new to me and
which will surely be very beneficial for my education and career ahead.

Without any of the above people, this project would not have seen the light of the day.
TABLE OF CONTENTS

CHAPTER NO PARTICULARS PAGE NO.

ABSTRACT 7

I INTRODUCTION 8-17

a) Concept Exploration

b) Need and Importance of the Study

c) Objectives of the Study

d) Methodology of the Study

e) Techniques of Analysis

f) Period of the Study

g) Scope and Limitations of the Study

II REVIEW OF LITERATURE 18-25

III PROFILE OF INDUSTRY AND COMPANY 26-35

IV DATA ANALYSIS AND INTERPRETATION 36-56

V FINDINGS, CONCLUSIONS 57-60

AND SUGGESTIONS
APPENDIX 61-64

BIBILOGRAPHY 65-66
ABSTRACT

The project work examines the advertising strategies of Vodafone Idea Limited, a leading telecom
service provider in India. It explains how Idea promoted its services through several innovative ads
via variety of media like TV, print, out-of-home, and radio. Idea had not hired any celebrity to
promote its services till late 2007, in contrast to its competitors.

However, when Idea expanded its geographical presence to cover several telecom circles in India, it
hired film star Abhishek Bachchan to endorse its brand in October 2007. Idea's focus in its ads also
changed from highlighting its tariff plans and network coverage to using mobile telephony to solve
social issues. Idea also developed several websites to support its ads based on social issues.
Similarly it was zoozoos for Vodafone.

Idea also tied up with Indian Premier League (IPL) cricket team, Mumbai Indians, and popular
players like Sachin Tendulkar and Zaheer Khan were used to promote the brand. Idea chose to
promote its brand where as its competitors focused on promoting their value added services and
tariff plans.
 CHAPTER-1
INTRODUCTION
 INTRODUCTION

The word advertising originates from a Latin word advertise, which means to turn to. The
dictionary meaning of the term is “to give public notice or to announce publicly”. Advertising may
be defined as the process of buying sponsor-identified media space or time in order to promote a
product or an idea. The American Marketing Association, Chicago, has defined advertising as “any
form of non- personal presentation or promotion of ideas, goods or services, by an identified
sponsor.”

Advertisement is a mass communicating of information intended to persuade buyers to buy

products with a view to maximizing a company’s profits. The elements of advertising are:

 It is a mass communication reaching a large group of consumers.

 It makes mass production possible.

 It is non-personal communication, for it is not delivered by an actual person, nor is it

addressed to a specific person.
 It is a commercial communication because it is used to help assure the advertiser of a long
business life with profitable sales.
 Advertising can be economical, for it reaches large groups of people. This keeps the cost per
message low.
 The communication is speedy, permitting an advertiser to speak to millions of buyers in a
matter of a few hours.
 Advertising is identified communication. The advertiser signs his name to his advertisement
for the purpose of publicizing his identity.

ORIGIN AND DEVELOPMENT OF ADVERTISING:

It has been wrongly assumed that the advertising function is of recent origin. Evidences suggest that
the Romans practiced advertising; but the earliest indication of its use in this country dates back to
the middle Ages, when the use of the surname indicated a man’s occupation. The next stage in the
evolution of advertising was the use of signs as a visual expression of the tradesman’s function and
a means of locating the source of goods. This method is still in common use.

The seller in primitive times relied upon his loud voice to attract attention and inform consumers of
 the availability of his services. If there were many competitors, he relied upon his own personal
magnetism to attract attention to his merchandise. Often it became necessary for him to resort to
persuasion to pinpoint the advantages of his products. Thus, the seller was doing the complete
promotion job himself.
Most business organizations operate in a complex and competitive environment where demands are
constantly changing. To confront this challenge, management of business organisations have had to
increase the levels of resources with attention focused on attracting and retaining customers. This
situation has prompted the marketing concept that Kotler (1988) describes as the determination and
subsequent satisfaction of customer needs and wants more efficiently and effectively than one’s
competitors. In this era of intense competition, especially within the telecommunication sector, the
criterion for measuring success would much depend, on creating awareness, persuasion and informing
customers of the existence of offerings. This has however resulted in several marketing
communications tools being employed by marketers to help them succeed in this game of competition.
Telecom organizations generally, and GT (Vodafone) specifically, are managing their marketing
communications activities in an integrated manner, with the coordination of message, media and
timing, developed in support of the overall organizational objectives.

Over $245 billion was spent on advertising alone in the United States in 2003, (Advertising Age,
2005). According to a report by PricewaterhouseCoopers (2005), a global accounting firm, the
worldwide advertising spending rose to $385 billion. They projected that spending is likely to exceed
half a trillion dollars by 2010. A similar study conducted by Ernst & Young (1996) indicates that
promotional expenditure on leading branded goods represent between 7 and 10 per cent of sales
revenue. In spite of the enormous levels of spending, an important economic question is yet to be
resolved: is there a significant relationship between marketing communications expenditure and sales
as registered in volumes? Several years of academic research investigating this relationship and future
demand has yielded inconclusive findings. Much as promotion is considered necessary for the growth
and survival of a business, its influence on a firm’s budget cannot, however, be overlooked.
Promotional expense therefore can no longer be regarded as just a current expense but rather an
investment.
Development of retail stores, made the traders to be more concerned about attracting business.
Informing customers of the availability of supplies was highly important. Some types of outside
promotion were necessary. Signs on stores and in prominent places around the city and notices in
printed matters were sometimes used.

When customers were finally attracted to the store and satisfied with the service at least once, they
were still subjected to competitive influences; therefore, the merchant’s signs and advertisements
reminded customers of the continuing availability of his services. Sometimes traders would talk to
present and former customers in the streets, or join social organizations in order to have continuing
contacts with present and potential customers.

As the markets grew larger and the number of customers increased, the importance of attracting
them also grew. Increasing reliance was placed on advertising methods of informing about the
availability of the products. These advertising methods were more economical in reaching large
numbers of consumers. While these advertising methods were useful for informing and reminding
and reminding, they could not do the whole promotional job. They were used only to reach each
consumer personally. The merchant still used personal persuasion once the customers were attracted
to his store.

The invention of hand press increased the potentialities of advertising. By Shakespeare’s times,
posters had made their appearance, and assumed the function of fostering demand for existing
products. Another important event was the emergence of the pamphlet as an advertising medium.
The early examples of these pamphlets disclose their sponsorship by companies want to generate
goodwill for their activities. The low cost of posters and handbills encouraged a number of
publishers to experiment with other methods.
 A. CONCEPT EXPLORATION:

ADVERTISEMENT AND PROMOTIONAL STRATEGIES:

Adverting is only one element of the promotion mix, but it often considered prominent in the
overall marketing mix design. Its high visibility and pervasiveness made it as an important social
and encomia topic in Indian society. Promotion may be defined as “the co-ordination of all seller
initiated efforts to set up channels of information and persuasion to facilitate the scale of a good or
service.” Promotion is most often intended to be a supporting component in a marketing mix.
Promotion decision must be integrated and co-ordinated with the rest of the marketing mix,
particularly product/brand decisions, so that it may effectively support an entire marketing mix
strategy. The promotion mix consists of four basic elements. They are:-

1. Advertising - It is the dissemination of information by non-personal means through paid

media where the source is the sponsoring organization
2. Personal Selling - It is the dissemination of information by non-personal methods, like
face- to-face, contacts between audience and employees of the sponsoring organization. The
source of information is the sponsoring organization.
3. Sales Promotion - Sales promotion is the dissemination of information through a wide
variety of activities other than personal selling, advertising and publicity which stimulate
consumer purchasing and dealer effectiveness
4. Publicity - Publicity is the disseminating of information by personal or non-personal means
and is not directly paid by the organization and the organization is not the source.

What is Included in Advertising?

 The information in an advertisement should benefit the buyers. It should give them a more
satisfactory expenditure of their rupees.
 It should suggest better solutions to their problems.

 The content of the advertisement is within the control of the advertiser, not the medium.

 Advertising without persuasion is ineffective. The advertisement that fails to influence

anyone, either immediately or in the future, is a waste of money.
 The function of advertising is to increase the profitable sales volume. That is, advertising
expenses should not increase disproportionately.
Advertising includes the following forms of messages: The messages carried in-

 Newspapers and magazines

 On radio and television broadcasts

  Circular of all kinds, (whether distributed by mail, by person, thorough tradesmen, or by
inserts in packages)
 Dealer help materials

 Window display and counter – display materials and efforts

 Store signs, motion pictures used for advertising

 Novelties bearing advertising messages and Signature of the advertiser

 Label stags and other literature accompanying the merchandise.

The activities excluded from advertising are:

 The offering of premiums to stimulate the sale of product

 The use of exhibitions and demonstrations at fairs, show and conventions

 The use of samples and activities, involving news releases and the activities of personal
selling forces
 The payment of advertising allowances which are not used for advertising

 The entertainment of customers

 B. NEED AND IMPORTANCE OF THE STUDY:

The current study intends to measure the impact of Vodafone Idea advertisements on consumer
buying decisions. It is known fact that the recent idea advertisements which are endorsed by
Abhishek Bachan and the Vodafone advertisements which include ZooZoos has become very
popular. In this context there is a need to understand how far the awareness created by these
advertisements help company to increase its sales.
 C. OBJECTIVES OF THE STUDY:

Following were the objectives of the study: -

 To measure the awareness levels of recent Vodafone Idea Limited advertisements.

 To know which is the popular media channel.

 To measure how much influence these advertisements have on customer buying decision.
D. METHODOLOGY OF STUDY:

a) Types of research

Types of Research selected for this project is Analytical. Data were collected from both customers
and non-customers of Vodafone Idea Limited.

b) Sampling methodology
Sample Size - 56 respondents.
Sampling Area- Hyderabad
Sampling Technique - Random Sampling technique.

c) Method of data collection

Primary data has been used in the form of Questionnaire the survey was based on structured
questionnaire. The questionnaire was mainly based on objective type close-ended question, but few
open-ended questions were also included.

Secondary data has been used from various websites.

E. TECHNIQUES OF ANALYSIS:

Data has been analysed using frequency tables, cross tabulations, bar diagrams and pie charts.

Cross tabulation is a method to quantitatively analyse the relationship between multiple variables.
Also known as contingency tables or cross tabs, cross tabulation groups variables to understand the
correlation between different variables.

A bar chart or bar graph is a chart or graph that presents categorical data with rectangular bars with
heights or lengths proportional to the values that they represent. The bars can be plotted vertically
or horizontally.

A pie chart is a circular statistical graphic, which is divided into slices to illustrate numerical
proportion. In a pie chart, the arc length of each slice, is proportional to the quantity it represents.
F. PERIOD OF THE STUDY:

For the purpose of this study the data was collected from the year 2015-2019, i.e., for a period of 4
years.

G. SCOPE AND LIMITATIONS OF THE STUDY:

i. SCOPE OF STUDY:

Scope of the current study is limited to Vodafone Idea customers and non-customers who are
residing in Hyderabad and Secunderabad.

ii. LIMITATIONS OF THE STUDY:

 Detailed study of the project was not possible due to limited time.

 The analysis done in this project may not be 100% accurate as the Sample size is limited to
56 Responses.
 As the data has been collected from the existing customers of Vodafone Idea Limited, their
previous experience with the company may have influenced current opinions.
 Non customers of Vodafone Idea may be the users of other cellular service providers, so the
experience with their current service provider may have influenced their opinions.
 Questionnaires were administered at Vodafone Idea show rooms and a few public places.

 The survey is conducted only in the city of Hyderabad and Secunderabad.

 CHAPTER-2
REVIEW OF LITERATURE
REVIEW OF LITERATURE:

What is advertising?

Advertising is a non-personal form of promotion that is delivered through selected

media outlets that, under most circumstances, require the marketer to pay for message placement.
Advertising has long been viewed as a method of mass promotion in that a single message can
reach a large number of people. But, this mass promotion approach presents problems since many
exposed to an advertising message may not be within the marketer’s target market, and thus, may be
an inefficient use of promotional funds. However, this is changing as new advertising technologies
and the emergence of new media outlets offer more options for targeted advertising.

Types of advertising:

 Media

Paying people to hold signs is one of the oldest forms of advertising, as with this Human directional
pictured above

o A bus with an advertisement for GAP in Singapore. Buses and other vehicles are popular
mediums for advertisers.
o A DBAG Class 101 with UNICEF ads at Ingolstadt main railway station

Commercial advertising media can include wall paintings, billboards, street furniture components,
printed flyers and rack cards, radio, cinema and television ads, web banners, mobile telephone
screens, shopping carts, web popups, skywriting, bus stop benches, human directional, magazines,
newspapers, town criers, sides of buses or airplanes ("logojets"), taxicab doors, roof mounts and
passenger screens, musical stage shows, subway platforms and trains, elastic bands on disposable
diapers, stickers on apples in supermarkets, the opening section of streaming audio and video,
posters, and the backs of event tickets and supermarket receipts. Any place an "identified" sponsor
pays to deliver their message through a medium is advertising.
Another way to measure advertising effectiveness is known as ad tracking. This advertising
research methodology measures shifts in target market perceptions about the brand and product or
service. These shifts in perception are plotted against the consumers’ levels of exposure to the
company’s advertisements and promotions.

The purpose of Ad Tracking is generally to provide a measure of the combined effect of the media
weight or spending level, the effectiveness of the media buy or targeting, and the quality of the
advertising executions or creative. Ad Tracking Article

 Covert advertising

Covert advertising is when a product or brand is embedded in entertainment and media. For
example, in a film, the main character can use an item or other of a definite brand,

o As in the movie “Minority Report”, where Tom Cruise's character John Anderton owns a
phone with the Nokia logo clearly written in the top corner, or his watch engraved with the
Bulgari logo.
o Another example of advertising in film is in “I, Robot”, where main character played by
Will Smith mentions his Converse shoes several times, calling them "classics," because the
film is set far in the future.
o “I, Robot” and “Space balls” also showcase futuristic cars with the Audi and Mercedes-Benz
logos clearly displayed on the front of the vehicles.
o Cadillac chose to advertise in the movie “The Matrix Reloaded”, which as a result contained
many scenes in which Cadillac cars were used.

Similarly, product placement for Omega Watches, Ford, Vaio, BMW and Aston-Martin cars are
featured in recent James Bond films, most notably Casino Royale.

 Television commercials

Main article: Television advertisement

The TV commercial is generally considered the most effective mass-market advertising format, as
is reflected by the high prices TV networks charge for commercial airtime during popular TV
events. The annual Super Bowl football game in the United States is known as the most prominent
advertising event on television. The average cost of a single thirty-second TV spot during this game
has reached
$2.7 million (as of 2007).

Virtual advertisements may be inserted into regular television programming through computer
graphics. It is typically inserted into otherwise blank backdrops or used to replace local billboards
that are not relevant to the remote broadcast audience. More controversially, virtual billboards may
be inserted into the background where none existing in real-life. Virtual product placement is also
possible.

 Newer media and advertising approaches

Increasingly, other media are overtaking television because of a shift towards consumer's usage of
the internet as well as devices such as TiVo.

Advertising on the World Wide Web is a recent phenomenon. Prices of Web-based advertising
space are dependent on the "relevance" of the surrounding web content and the traffic that the
website receives.

E-mail advertising is another recent phenomenon. Unsolicited bulk E-mail advertising is known as
"spam".

Some companies have proposed to place messages or corporate logos on the side of booster rockets
and the International Space Station. Controversy exists on the effectiveness of subliminal
advertising (see mind control), and the pervasiveness of mass messages (see propaganda).

Unpaid advertising (also called word of mouth advertising), can provide good exposure at minimal
cost. Personal recommendations ("bring a friend", "sell it"), spreading buzz, or achieving the feat of
equating a brand with a common noun (in the United States, "Xerox" = "photocopier", "Kleenex" =
tissue, "Vaseline" = petroleum jelly, "Hoover" = vacuum cleaner, and "Band-Aid" = adhesive
bandage) — these are the pinnacles of any advertising campaign. However, some companies
oppose the use of their brand name to label an object. Equating a brand with a common noun also
risks turning that brand into a generalized trademark - turning it into a generic term which means
that its legal protection as a trademark is lost.

SMS (Short Message Service) text messages have taken Europe by storm and are breaking into
the USA. The addition of a text-back number is gaining prevalence as a www address of yesterday.
Used as part of your companies 'how to contact us' these can be very effective. These can be a
(rented) keyword on a short-code or your own system on a standard number (like Mojio
Messenger).

The benefit of SMS text messages is people can respond where they are, right now, stuck in traffic,
sitting on the metro. The use of SMS text messages can also be a great way to get a viral (word-of-
mouth) campaign off the ground to build your own database of prospects see viral marketing.
Interstitial advertisement is a form of advertisement which takes place while a page loads.

From time to time, The CW airs short programming breaks called "Content Wraps”, to advertise
one company's product during an entire commercial break. The CW pioneered "content wraps" and
some products featured were Herbal Essences, Crest, Guitar Hero 2, Cover Girl, and recently
Toyota.
Measuring the impact of mass advertising

The most common method for measuring the impact of mass media advertising is the use of the
rating point (RP) or the more accurate target rating point (TRP). These two measures refer to the
percentage of the universe of the existing base of audience members that can be reached by the use
of each media outlet in a particular moment in time. The difference between the two is that the
rating point refers to the percentage to the entire universe while the target rating point refers to the
percentage of a particular segment or target. This becomes very useful when focusing advertising
efforts on a particular group of people. One of the reasons advertising is successful is because it can
target a particular audience to build awareness of what the advertiser has to offer.
Negative effects of advertising

An extensively documented effect is the control and vetoing of free information by the advertisers.
Any negative information on a company or its products or operations often results in pressures from
the company to withdraw such information lines, threatening to cut their ads. This behaviour makes
the editors of the media self-censor content that might upset their ad payers. The bigger the
companies are, the bigger their relation becomes, maximizing control over a single piece of
information.

Advertisers may try to minimize information about or from consumer groups, consumer-controlled
purchasing initiatives (as joint purchase systems), or consumer-controlled quality information
systems.

Another indirect effect of advertising is to modify the nature of the communication media where it
is shown. Media that get most of their revenues from publicity try to make their medium a good
place for communicating ads before anything else. The clearest example is television, where
broadcasters try to make the public stay for a long time in a mental state that encourages spectators
not to switch the channel during advertisements. Programs that are low in mental stimulus, require
light concentration and are varied are best for long sitting times. These also make for much easier
emotional transition to ads, which are occasionally more entertaining than the regular shows. A
simple way to understand objectives in television programming is to compare the content of
programs paid for and chosen by the viewer with those on channels that get their income mainly
from advertisements.

In several books, articles and videos, communication professor Sut Jhally has argued that pervasive
commercial advertising, by constantly reinforcing a bogus association between consumption and
happiness and by focusing on individual immediate needs, leads to a squandering of resources and
stands in the way of a discussion of fundamental societal and long-term needs.
Managing Advertising Decisions

Delivering an effective marketing message through advertising requires many different decisions as
the marketer develops their advertising campaign. For small campaigns, that involve little creative
effort, one or a few people may handle the bulk of the work. In fact, the Internet has made do-it-
yourself advertising an easy to manage process and has especially empowered small businesses to
manage their advertising decisions. As we will see, not only can small firms handle the creation and
placement of advertisements that appear on the Internet, new services have even made it possible
for a single person to create advertisements that run on local television. For instance, a company
called Spot Runner allows users to select from a list of high-quality television ads that can be
customized and then placed within local cable television programming.

For larger campaigns the skills needed to make sound advertising decisions can be quite varied and
may not be easily handled by a single person. While larger companies manage some advertising
activities within the company, they are more likely to rely on the assistance of advertising
professionals, such as those found at advertising agencies, to help bring their advertising campaign
to market.
 CHAPTER-3
PROFILE OF INDUSTRY AND
COMPANY
INDUSTRY PROFILE

Telecom Industry in India

The telecom industry is one of the fastest growing industries in India. India has nearly 200 million
telephone lines making it the third largest network in the world after China and USA. With
agrowth rate of 45%, Indian telecom industry has the highestgrowth rate in the world. Much of the
growth in Asia Pacific Wireless Telecommunication Market is spurred by the growth in demand
in countries like India and China. India‘s mobile phone subscriber base is growing at a rate of
82.2%.China is the biggest market in Asia Pacific with a subscriber base of 48% of the total
subscribers in Asia Pacific. Compared to that
India’s share in Asia Pacific Mobile Phone market is 6.4%.Considering the fact that India and China
has almost comparable populations, India’s low mobile penetration offers huge scope for growth.

India is currently the world’s second-largest telecommunications market with a subscriber base of

1.20 billion and has registered strong growth in the past decade and half. The Indian mobile
economy is growing rapidly and will contribute substantially to India’s Gross Domestic Product
(GDP), according to report prepared by GSM Association (GSMA) in collaboration with the Boston
Consulting Group (BCG). As of January 2019, India has witnessed a 165 per cent growth in app
downloads in the past two years.

The liberal and reformist policies of the Government of India have been instrumental along with
strong consumer demand in the rapid growth in the Indian telecom sector. The government has
enabled easy market access to telecom equipment and a fair and proactive regulatory framework
that has ensured availability of telecom services to consumer at affordable prices. The deregulation
of Foreign Direct Investment (FDI) norms has made the sector one of the fastest growing and a top
five employment opportunity generator in the country.
History of Indian telecommunications

Started in 1851 when the first operational land lines were laid by the government near Calcutta (seat
of British power). Telephone services were introduced in India in 1881. In 1883 telephone services
were merged with the postal system. Indian Radiotelegraph Company (IRT) was formed in
1923.After independence in 1947, all the foreign telecommunication companies were nationalized
to form the Posts, Telephone and Telegraph (PTT), a monopoly run by the government's Ministry of
Communications.
Telecom sector was considered as a strategic service and the government considered it best to bring
under state's control. The first wind of reforms in telecommunications sector began to flow in 1980s
when the private sector was allowed in telecommunications equipment manufacturing. In 1985,
Department of Telecommunications (DOT) was established. It was an exclusive provider of
domestic and long-distance service that would be its own regulator (separate from the postal
system).In 1986, two wholly government-owned companies were created: The Videsh Sanchar
Nigam Limited (VSNL) for international telecommunications and Mahanagar Telephone Nigam
Limited (MTNL) for service in metropolitan areas.
In 1990s, telecommunications sector benefited from the general opening up of the economy. Also,
examples of telecom revolution in many other countries, which resulted in better quality of service
and lower tariffs, led Indian policy makers to initiate a change process finally resulting in opening
up of telecom services sector for the private sector.
National Telecom Policy (NTP) 1994 was the first attempt to give a comprehensive roadmap for the
Indian telecommunications sector. In 1997, Telecom Regulatory Authority of India (TRAI) was
created. TRAI was formed to act as a regulator to facilitate the growth of the telecom sector. New
National Telecom Policy was adopted in 1999 and cellular services were also launched in the same
year.
Telecommunication sector in India can be divided into two segments:

 Fixed Service Provider (FSPs)

 Cellular Services.

Fixed line services consist of basic services, national or domestic long distance and international
long distance services. The state operators (BSNL and MTNL), account for almost 90 per cent of
revenues from basic services. Private sector services are presently available in selective urban areas,
and collectively account for less than 5 per cent of subscriptions. However, private services focus
on the business/corporate sector, and offer reliable, high-end services, such as leased lines, ISDN,
closed user group and videoconferencing.
Cellular services can be further divided into two categories:

 Global System for Mobile Communications (GSM)

 Code Division Multiple Access (CDMA)

The GSM sector is dominated by Airtel, Vodafone Idea Cellular, while the CDMA sector is
dominated by Reliance and Tata Indicom. Opening up of international and domestic long
distance telephony services are the major growth drivers for cellular industry. Cellular operators
get substantial revenue from these services, and compensate them for reduction in tariffs on
airtime, which along with rental was the main source of revenue. The reduction in tariffs for
airtime, national long distance, international long-distance, and handset prices has driven
demand.

Market Size

With 560.01 million internet subscribers, as of September 2018, India ranks as the world’s second
largest market in terms of total internet users.

Further, India is also the world’s second largest telecommunications market with 1,197.87 million
subscribers, as of December 2018.

Moreover, in 2017, India surpassed USA to become the second largest market in terms of number
of app downloads. The country remained as the world’s fastest growing market for Google Play
downloads in the second and third quarter of 2018.

Over the next five years, rise in mobile-phone penetration and decline in data costs will add 500
million new internet users in India, creating opportunities for new businesses.
Investment/Major development

With daily increasing subscriber base, there have been a lot of investments and developments in the
sector. The industry has attracted FDI worth US$ 32.45 billion during the period April 2000 to
December 2018, according to the data released by Department of Industrial Policy and Promotion
(DIPP).

Some of the developments in the recent past are:

 During the first quarter of 2018, India became the world’s fastest-growing market for mobile
applications. The country remained as the world’s fastest growing market for Google Play
downloads in the second and third quarter of 2018.
 Bharti Airtel is planning to launch 6,000 new sites and 2,000 km of optical fiber in Gujarat
in 2018-19.
 The number of mobile wallet transaction increased 5 per cent month-on-month to 325.28
million in July 2018.
 As of June 2018, BSNL is expected to launch its 5G services by 2020.

 Vodafone India and Idea Cellular have merged into ‘Vodafone Idea’ to become India’s
largest telecom company, as of September 2018.
Government Initiatives

 The government has fast-tracked reforms in the telecom sector and continues to be proactive
in providing room for growth for telecom companies. Some of the other major initiatives
taken by the government are as follows:
 The Government of India is soon going to come out with a new National Telecom Policy
2018 in lieu of rapid technological advancement in the sector over the past few years. The
policy has envisaged attracting investments worth US$ 100 billion in the sector by 2022.
 The Department of Information Technology intends to set up over 1 million internet-enabled
common service centres across India as per the National e-Governance Plan.
 FDI cap in the telecom sector has been increased to 100 per cent from 74 per cent; out of
100 per cent, 49 per cent will be done through automatic route and the rest will be done
through the FIPB approval route.
 FDI of up to 100 per cent is permitted for infrastructure providers offering dark fibre,
electronic mail and voice mail.
 The Government of India has introduced Digital India programme under which all the
sectors such as healthcare, retail, etc. will be connected through internet
Achievements

Following are the achievements of the government in the past four years:

 Department of Telecommunication launched ‘Tarang Sanchar’ - a web portal sharing

information on mobile towers and EMF Emission Compliances.
 Six-fold increase in Government spending on telecommunications infrastructure and
services in the country – from Rs 9,900 crores (US$ 1.41 billion) during 2009-14 to Rs
60,000 crores (US$ 8.55 billion) (actual + planned) during 2014-19.
 Over 75 per cent increase in internet coverage – from 251 million users to 446 million

 Country-wide Optical Fibre Cable (OFC) coverage doubled – from 700,000 km to 1.4
million km
 Five-fold jump in FDI inflows in the Telecom Sector – from US$ 1.3 Billion in 2015-16 to
US$ 6.1 billion in 2017-18 (up to December 2017)

Road Ahead

Revenues from the telecom equipment sector are expected to grow to US$ 26.38 billion by 2020.
The number of internet subscribers in the country is expected to double by 2021 to 829 million and
overall IP traffic is expected to grow 4-fold at a CAGR of 30 per cent by 2021. The Indian
Government is planning to develop 100 smart city projects, where IoT would play a vital role in
development of those cities. The National Digital Communications Policy 2018 has envisaged
attracting investments worth US$ 100 billion in the telecommunications sector by 2022. The Indian
Mobile Value-Added Services (MVAS) industry is expected to grow at a CAGR of 18.3 per cent
during the forecast period 2015–2020 and reach US$ 23.8 billion by 2020. App downloads in India
are expected to increase to
18.11 billion in 2018F and 37.21 billion in 2022F.
COMPANY PROFILE

Overview

Vodafone Idea Limited is an Aditya Birla Group and Vodafone Group partnership. It is India’s
leading telecom service provider. The Company provides pan India Voice and Data services across
2G, 3G and 4G platform. With the large spectrum portfolio to support the growing demand for data
and voice, the company is committed to deliver delightful customer experiences and contribute
towards creating a truly ‘Digital India’ by enabling millions of citizens to connect and build a better
tomorrow. The Company is developing infrastructure to introduce newer and smarter technologies,
making both retail and enterprise customers future ready with innovative offerings, conveniently
accessible through an ecosystem of digital channels as well as extensive on-ground presence. The
Company is listed on National Stock Exchange (NSE) and Bombay Stock Exchange (BSE) in India.

Products

 Mobile telephony

 Wireless broadband

Vision

Create world class digital experiences to connect and inspire every Indian to build a better tomorrow

Mission

Customers: Be the most loved brand by continuously raising the bar in delivering simple, delightful
experience and meaningful innovations, through new age technologies.

Team: Be an inspirational, agile and exciting organisation that challenges the status quo, and
champions a diverse team that has a winning attitude and thrives on delivering customer excellence.
Shareholders: Be the most valued company through smart leadership committed to delivering
sustainable growth, while adhering to the highest standards of governance and compliance.

Community: Be the most respected company by leveraging technology and purposeful innovation
to catalyse social prosperity, digital literacy and inclusivity.
Our Values

Our values embody the spirit of our brand. They serve as the guiding principles for our every
thought and action.

Speed: We act with SPEED. Always. Procrastination is our enemy

Digital: We choose to be DIGITAL - FIRST, to make things simple for ourselves and our customers
Trust: We are straightforward and open in all that we do, to build a culture that fosters TRUST
Bold: We always adopt a BOLD outlook and are not afraid of failure
Passion: We act with PASSION for our brand and our customers

Operations

Vodafone Idea Limited competes with other major mobile operators including Airtel, BSNL,
MTNL and Reliance Jio. Tata DoCoMo – with whom Vodafone Idea Limited competed is now in
the process of merging their businesses with Airtel. Vodafone Idea Limited has gone far ahead of
the rest of these competitors with a Revenue Market Share of over 32.2%.

On 19 May 2010, in the 3G spectrum auction Vodafone Idea Limited paid ₹57.68 billion (US$830
million) for spectrum in 11 circles. Vodafone Idea Limited launched its first 3G services in 2011.

As of September 2018, Vodafone Idea Limited offers 4G LTE services on its own spectrum in all the
telecom circles.

Network Integration

Vodafone Idea announced the consolidation of its radio network integration in 8 telecom circles
within five months. The integration of radio network will enable both Vodafone and Idea customers
to enjoy a unified network experience on 2G, 3G and 4G in 8 telecom circles such as West Bengal,
Haryana, HP, Assam, North East, AP & Telangana (excluding Hyderabad), J&K and MP &
Chhattisgarh.
Vodafone-Idea Limited Content Partnerships

In 2019, Vodafone Idea Limited empowered its customer services with varied content partnerships
to encourage viewing on their mobile app. The first partnership was between Vodafone Idea
Limited and Sun TV Network for its OTT platform, Sun NXT, which will now be accessible to
Vodafone Idea users. Sun NXT caters to Tamil, Telugu, Kannada and Malayalam audiences having
over 50,000 hours of content. The partnership offers Vodafone and Idea’s customer’s access to Sun
NXT’s exclusive digital content for free.

Post this, Vodafone Idea Limited announced a partnership with Shemaroo and Zee5 or similar cost
effective content viewing options for their customers. There was an additional partnership created
between Idea and Amazon Prime for Idea’s Nirvana post-paid users.

Key people:

 Kumar Mangalam Birla (Chairman)

 Balesh Sharma (CEO)

4.1: In the Last 30 days where you saw/listen Vodafone Idea Advertisement?

Valid
Frequency Percent Percent
Valid Newspaper 10 17.9 17.9
TV Commercial 17 30.4 30.4
Hoardings 18 32.1 32.1
Leaflets 6 10.7 10.7
FM Radio 5 8.9 8.9
Total 56 100.0 100.0

INTERPRETATION: From the above study it is observed that, Majority of the respondents in the
survey said that they are looking at hoarding placed in Hyderabad and Secunderabad. This is
followed by TV commercials. 30% of the respondents were watching Vodafone Idea ads in
televisions. Newspapers contribute to 18% of the total. FM radio is at the least.

20
18
18 17
16

14

12
10
10

8
6
6 5
4

0
Newspaper TV Commercial Hoardings Leaflets FM Radio

Frequency

INFERENCE: From the above table, It is stated that Hoardings are the major sources for
respondents
 4.2: In which Telugu Newspaper you find more Vodafone Idea ads ?

Valid
Frequency Percent Percent
Valid Eenadu 10 17.9 17.9
Andhra Jyothi 14 25.0 25.0
Sakshi 32 57.1 57.1
Total 56 100.0 100.0

INTERPRETATION : From the above study it is observed that, 57% of the respondents saw print
ads in Sakshi newspaper. Eenadu is in the third place with 18% of the respondents’ advertisements in
it. Andhra Jyothi is occupying 25 % of the respondent’s views.

18%

57%
25%

Eenadu Andhra Jyothi Sakshi

INFERENCE : From the above graph, It is stated that people got more awareness after reading
Sakshi Telugu Newspaper.
 4.3: In which English Newspapers you find more Vodafone Idea ads?

Valid
Frequency Percent Percent
Valid Deccan chronicle 9 16.1 16.1
Times of India 23 41.1 41.1
The Hindu 19 33.9 33.9
Indian Express 5 8.9 8.9
Total 56 100.0 100.0

INTERPRETATION : From the above study it is observed that , English newspaper they saw more
Vodafone Idea advertisements, 41% of the respondents said that they saw in Times of India. Second
rating was given to the Hindu paper with 33%.and Indian express stood last with 9%.

25
23

20 19

15

10 9

5
5

0
Deccan chronicle Times of India The Hindu Indian Express

Frequency

INFERENCE : From the above graph, It is stated that Times Of India is the major Vodafone Idea
Ad promotor in English Newspaper.
 4.4: In Which Telugu TV Channel you find more Vodafone Idea ads?

Valid
Frequency Percent Percent
Valid E TV 03 5.4 5.4
Gemini TV 14 25.0 25.0
TV 9 39 69.6 69.6

INTERPRETATION: From the above study it is observed that, TV 9 is the most viewed channel of
Vodafone Idea ads. Almost 70% of the respondents said that they saw Vodafone Idea ads in TV 9. 25
% of the respondents watched this ad in Gemini TV. ETV stood with 5%.

5%

25%

70%

E TV Gemini TV TV 9

INFERENCE: From the above graph, It is stated that TV9 is the most viewed Telugu channel for
Vodafone Idea Ads.
 4.5: In Which Hindi TV Channel you find more Vodafone Idea ads?

Valid
Frequency Percent Percent
Valid Zee 12 21.4 21.4
Star plus 29 51.8 51.8
Sony 14 25.0 25.0
Zoom 1 1.8 1.8
Total 56 100.0 100.0

INTERPRETATION: From the above study it is observed that, 52% of the respondents saw
Vodafone Idea advertisement in star plus TV channel. Zoom TV stood last with only one viewer.
Many of the respondents watched this ad in Sony and Zee TV also.

35

30 29

25

20

15 14
12

10

1
0
Zee Star plus Sony Zoom

INFERENCE : From the above graph, It is stated that Star Plus is the most viewed Hindi channel
for Vodafone Idea Ads.
 4.6: How well do you remember the recent advertisement of Vodafone Idea?

Valid
Frequency Percent Percent
Valid Don’t remember at all
4 7.1 7.1

Remember company
but not product or ad 9 16.1 16.1

Remember company
and product but not ad 14 25.0 25.0

Remember ad 29 51.8 51.8

Total 56 100.0 100.0

INTERPRETATION: From the above study it is observed that, advertisement of Vodafone Idea of
frequency 7.1% don’t remember at all, and 16.1% remember company but not product or ad.
Remember company and product but not ad is 25%, the recent advertisement of Vodafone Idea of
frequency 51.8% remember ad.

35

30 29

25

20

15 14

10 9

5 4

0
Don’t remember at all Remember company but not Remember company and Remember ad
product or ad product but not ad

INFERENCE : From above graph, It is stated that major percent of the people remember it as an
Advertisement
 4.7: The ad Message is of Vodafone idea understandable?

Valid
Frequency Percent Percent
Valid Strongly Agree 42 75.0 75.0

Somewhat Agree 9 16.1 16.1

Neither 5 8.9 8.9

Total 56 100.0 100.0

INTERPRETATION: From the above study it is observed that,75% of the total respondents agree
that the message given in the advertisement is understandable. Nine of the total respondents said that
they somewhat agree with the understandable nature of the advertisement.16.1% said somewhat agree,
and 8.9% responds neither of frequency

9%

16%

75%

Strongly Agree Somewhat Agree Neither

INFERENCE: From the above graph, It is stated that major people understand the message of
Vodafone Idea Advertisement.
 4.8: The advertisement of Vodafone Idea believable?

Valid
Frequency Percent Percent
Valid Strongly Agree 4 7.1 7.1
Somewhat
44 78.6 78.6
Agree
Neither 8 14.3 14.3
Total 56 100.0 100.0

INTERPRETATION: From the above study it is observed that, 79 % said that the advertisement
is believable. None of the respondents said that they disagree with the ads.78.6%of frequency
somewhat agree, 7.1% strongly agree.14.3% were neither of ad is believable.

14% 7%

79%

Strongly Agree Somewhat Agree Neither

INFERENCE: From the above graph, it is stated that most of the people believe Vodafone Idea
Advertisement.
 4.9: The ads message is relevant to me?
Valid
Frequency Percent Percent
Valid Strongly Agree 4 7.1 7.1
Somewhat Agree 17 30.4 30.4
Neither 31 55.4 55.4
Somewhat
4 7.1 7.1
Disagree
Total 56 100.0 100.0

INTERPRETATION: From the above study it is observed that, 33% of the respondents feel that
the message conveyed in the advertisement is relevant to them. Majority of respondents (55%) where
unable to decide how far the message is helpful to them. only 7% of the respondents said that the
message is irrelevant to them.

8%

33%

60%

Strongly Agree Somewhat Agree Neither

INFERENCE : From the above graph, It is stated that the Vodafone Idea Ad is neither choosable.
 4.10: The benefits described in the ad are believable to me?

Valid
Frequency Percent Percent
Valid Strongly Agree 4 7.1 7.1
Somewhat Agree 18 32.1 32.1
Neither 21 37.5 37.5
Somewhat
5 8.9 8.9
disagree
Strongly
8 14.3 14.3
Disagree
Total 56 100.0 100.0

INTERPRETATION: From the above study it is observed that, 38% of the respondents were not
able to say whether they believe the information provided in the advertisement. This shows that the ad
failed in building the confidence among the target audience. Around 24% of the respondents said they
disagree with the benefits described in the ad.

25

21
20
18

15

10
8

5
5 4

0
Strongly Agree Somewhat Agree Neither Somewhat disagree Strongly Disagree

INFERENCE : From the above graph, It is stated that major people has no conclusion over the
Vodafone Idea Ad.
 4.11: After viewing this ad, I would consider purchasing the product?

Valid
Frequency Percent Percent
Valid Somewhat Agree 18 64.3 64.3
Neither 21 32.1 32.1
Somewhat 1.8 1.8
5
disagree
Strongly 1.8 1.8
8
Disagree
Total 56 100.0 100.0

INTERPRETATION: From the above study it is observed that¸ 64.3% said that they will
purchase Vodafone Idea connections. They agree that idea advertisement has influence on their
buying decision. This is a positive to the company. Again, 32.1% of the respondents said that they
somewhat agree for the influence of ad on their buying decision.

25

21
20
18

15

10
8

5
5

0
Somewhat Agree Neither Somewhat disagree Strongly Disagree

INFERENCE : From the above graph, It is stated that major people are unable to get a view of
purchasing after watching Vodafone Idea Ad
4.12: This ad is much better than other ads for products in this product category?

INTERPERTATION: From the above study it is observed that, When asked about how better
Vodafone Idea ad is when compared to other cellular service provider ads, majority of the respondents
(61%) said that they can’t differentiate between cellular ads publicized by these companies. 21 % of
the respondents were are opinion that Vodafone Idea ads are not better than competitors ads. Only ten
percent of the respondents were said that Vodafone Idea ads are better than other cellular companies’
ads.

Valid
Frequency Percent Percent
Valid Strongly Agree 6 10.7 10.7
Somewhat Agree 1 1.8 1.8
Neither 34 60.7 60.7
Somewhat Disagree 12 21.4 21.4
Strongly Disagree 3 5.4 5.4
Total 56 100.0 100.0

40

35 34

30

25

20

15
12
10
6
5 3
1
0
Strongly Agree Somewhat Agree Neither Somewhat Disagree Strongly Disagree

INFERENCE: From the above graph, It is stated that people doesn’t know much Vodafone Idea
ad.
 CHAPTER – V

FINDINGS, CONCLUSIONS AND

SUGGESTIONS
FINDINGS:

 It is identified that the respondents feel that the ad is unique and genuine. They also feel that
the ad is informative and believable.
 Majority of the respondents in the survey said that they are looking at hoarding placed in
Hyderabad and Secunderabad followed by TV commercials, newspapers, and Radios.
 More than 50% of the respondent’s saw the print ads in the Sakshi newspaper, followed by
Andhra Jyoti and Eenadu.
 Times of India is leading in English newspapers print ad when compared to other
newspapers.

 After watching the ad customers are willing to purchase new connections.

 Respondents feel that the message conveyed in the advertisement is relevant to them.

 According to the respondents, majority of the ads are satisfying and unique.

 50% of the respondents remember the Ads.

CONCLUSIONS:

 The new advertisement campaign of the Vodafone Idea has a positive impact on customers.
From the survey it can be concluded that the ad created a desire in the customers to buy
Vodafone Idea connection.
 It is also identified that the respondents feel that the ad is unique and genuine. They also feel
that the ad is informative and believable.
 However, few of the respondents didn’t find any difference between this ad and other ads of
the competitors. Few also expressed an opinion that the information given in the ad is not
believable.
 The good sign is that after watching this ad customers are willing to purchase new
connections.
SUGGESTIONS:

 Company should concentrate on giving more reliable information to the customers.

 Ads needs to be placed in leading newspapers and TV channels

 Focus should be given for FM radios

 Frequency and attractiveness of ads in print media has to be increased

 Advertising through billboards, with brand ambassadors or Vodafone idea need to be

improved to attain even wider attraction.
 New trends in advertising through 3d animation and 2d animation must be adapted.

 Advertising through popular serials of popular channels must be taken up.

 More money must be invested in promotional activities.

 Particular Brand ambassador for particular targeted and segmented audiences need to be
there to avoid lingual misrepresentations and misperceptions in the minds of targets
audiences.
 Social and personal life aspects of people in connection to telecommunication must be
highlighted more for more attraction.
 Idea internet services ads must be taken seriously and appropriate measure must be taken to
make it reach the target audience.
 Online advertising of Vodafone Idea should come up like Television advertising in a vast
way to reach and attract potential buyers of services.
APPENDIX
Name :

Gender :

Age :

Locality :

1. In the Last 30 days where you saw/listen Vodafone Idea advertisement.

i. Newspaper
ii. TV Commercial
iii. Hoardings
iv. Leaflets
v. FM Radio

2. In which Telugu Newspaper you find more Vodafone Idea ads.

i. Eenadu
ii. Andhra Jyoti
iii. Vaartha

3. In which English Newspapers you find more Vodafone Idea ads.

i. Deccan chronicle
ii. Times of India
iii. The Hindu
iv. Indian Express
 4. In Which Telugu TV Channel you find more Vodafone Idea ads.

i. E TV
ii. Gemini TV
iii. TV 9

5. In Which Hindi TV Channel you find more Vodafone Idea ads.

i. Zee
ii. Star plus
iii. Sony
iv. Zoom
 6. How well do you remember the recent advertisement of Vodafone Idea?

i. Don’t remember at all

ii. Remember company but not product or ad
iii. Remember company and product but not ad
iv. Remember ad

7. The ad Message is of Vodafone Idea understandable.

i. Strongly Agree
ii. Somewhat Agree
iii. Neither

8. The advertisement is of Vodafone Idea believable.

i. Strongly Agree
ii. Somewhat Agree
iii. Neither

9. The ads message is relevant to me.

i. Strongly Agree
ii. Somewhat Agree
iii. Neither
iv. Somewhat Disagree

10. The benefits described in the ad are believable to me.

i. Strongly Agree
ii. Somewhat Agree
iii. Neither
iv. Somewhat Disagree
v. Strongly Disagree

11. After viewing this ad, I would consider purchasing the product.

i. Strongly Agree
ii. Somewhat Agree
iii. Neither
iv. Somewhat Disagree
v. Strongly Disagree
 12. This ad is much better than other ads for products in this product category.

i. Strongly Agree
ii. Somewhat Agree
iii. Neither
iv. Somewhat Disagree
BIBILOGRAPHY
BOOKS REFERENCE:

 Philip kotler- Marketing Management-12th edition 2007, PHI, New Delhi.

 Rajan Saxena-Marketing Managemnet-4th edition 2004, TMH- New Delhi.

 Tapana.K.Panda-Marketing Management-2nd edition 2007, Excel Books, New Delhi

 Rajeev Batra, John.G, Myers, David.A.Aaker-Advertisement Management-5th edition 1999, PHI,

New Delhi.
 Cravens.Hills.Wood Ruff-Marketing Management-AITBS Publishers and Distributors, New
Delhi.

 Aaker,Kumar,Dankundli-Marketing Research-7th edition, John Wiley& sons, New Delhi.

 Nirmal Kumar-Marketing as Strategy, HBS Press, New Delhi.

 Subhash.C.Jain-Marketing Planning and Strategy-6th edition 2007, Thomson, Chennai.

 George.E.Belch & Michael.A.Belch-Advertising and Promotion-13th edition 2007, TMH, New

Delhi.

 S.H.H.Kazmi, satish.k.Batra, Advertising and sales promotionsj-2nd edition 2007, Excel

Books, New Delhi.

WEBSITES:

 www.google.com

 www.vodafoneidea.com

 www.vodafone.in
5
 www.ideacellular.com