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Change In Pattern Of Advertising Of Cellular Service Providers Submitted T o: Submitted By: Prof . Garima Sharda Bhavesh Vadukul Manank T urakhia Rakesh Vala Vishal Zalavadiya

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 Definition of advertising

• Advertising is a form of communication

intended to persuade an audience (viewers,

readers and listeners) to purchase or to take

some action upon products, ideas or services.

Objective

• Our objective is to study the change in the

advertising pattern/strategy of cellular service

providers in India during the past decade.

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Scope

• Our scope is to study the top three cellular

service providers:

Vodafone

Airtel

Idea

Our scope of research is based onexclusive library findings which includes

Books, Internet, Articles, Newspapers

and Magazines.

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 Players In The Market

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2010 MARKET SHARE

(Source: DoT) 

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Vodafone

• Vodafone itself was formed in 1982 and was launched on 1

January 1985. Vodafone name being derived from the firm's

goal of establishing a voice and data services over cellular

telecommunication networks. Hence VO represents voice and

DA symbolizes data.

• In 1997 Vodafone introduced its new corporate Speech mark

logo.

• Vodafone entered India in December 2005 Successfully

rebranded 'Hutch' as 'Vodafone‘ in 2007. Rebranding

included… “Change is good...” Baseline - “Hutch is now

Vodafone”. 

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Cont… 

• ‘Pink is now red as Hutch is Vodafone in India from September

21, 2007

• Pug’ taken over from Hutch, was the lucky charm for

Vodafone. IPL 2008 had Vodafone going in Pug for its ‘Happy

to Help’ service. 

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Cont…. 

• Essar employs more than 50,000 people

across offices in Asia, Africa, Europe and the

Americas.

• The total is Vodafone Essar = 106,347,368

subscribers i.e. 23.94% of the total

444,295,711 subscribers which was 17.6%

during 2008

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Changing pattern

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Introduction of ZooZoo

• Advertisement characters promoted by

Vodafone during the India Premier League

Season 2 (IPL).

• Campaign to communicate the VAS offered by

the company. The ads were created by Ogilvy

& Mather, an agency under Executive Creative

Director, Rajiv Rao, South Asia.

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 Strength

• Wasrepresentation of a common man

depicted as a

cartoon characterZOOZOO

• Wide mediacoverage, more

precisely throughvideo

• Easy and cheapanimation leadingto low production

cost

• No celebrityendorser - No

associated risksand costs

Weekness

• Had anunderminingeffect on the

brandVodafone

• Difficulty inunderstandingfaced by rural

population

Opportunities

• Revolution in theconventional way

of advertising

that was throughpublic figures andcelebrities

• Low advertisingcost leading to

provision of cheaper services

• IPL Season 2

expected to havegood TRP’s

• Huge Market.

Threats

• A majorintimidation to

the brandVODAFONE

• Ads could getlost in major

marketing warduring IPL

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Value Added Services

• Magic Box

• Stock Alerts

• International Roaming

• Bhakti Saagar

• Dating Tips

• Voice SMS

• Fashion Tips

• Recharge Anywhere

• Ringtone

• Group SMS

• Call Divert

• Beauty Tips

• Phone Backup

• IPL commentary

• Cricket Alerts

• IPL contests

• Chotta Credit

• Maps Live

• Live Games

• Musical greetings

• Background Music

• Exam Results

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Advertising through internet

• Internet “What kind of Zoozoo are you?” 

• Downloadable Ringtones, wallpapers,

screensavers and videos

• Facebook – aimed at building a community

• ZooZoos dominated social networking sites.

Videos had 3million hits in 3 weeks.• Most watched viral video for 2 weeks on

Youtube and Twitter.

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Advertising budget

• Vodafone spends around Rs 200 Cr as an

advertising Budget .

• Heavy spend on commercials i.e. 65% .

• The Two iconic characters Vodafone Puppy &

Zoozoo series has generated a firm Brand

Image.

• The recent sponsored event in colors “Big

Boss” by Vodafone. 

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Bharti Airtel

• Bharti Airtel Limited is an Indian company offering

telcommunication services in 19 countries.

Bharti Airtel is the world's third largest, single-country mobile operator and fifth largest telecom

operator in the world with a subscriber base of over

180 million. 

• It offers its telecom services under the Airtel brandand is headed by Sunil Bharti Mittal.

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Evolution of advertising

• A.R.Rahman became Airtel’s brand ambassador in

2002.

• The brand campaign for Airtel in 2002 featuring AR

Rahman was the first time he had appeared in atelevision commercial.

• When Rahman composed the tune, Airtel has 2

million customers.

• Today Airtel has over 90 million customers and the

Airtel signature tune composed by A R Rahman is

world’s most downloaded piece of mobile music in

the world with over 60 million downloads.

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Cont…. 

• Actors Madhavan and Vidya Balan impressed

everyone in Airtel advertisement.

•An emotional connect was made with theviewers through this advertisement.

• The main highlight of these ads was

“pyaar mein kabhi duriyan nahi aani chahiye” 

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Cont…. 

• Sharman Joshi brought along an all new

aspect to the advertisements in Airtel.

• The ads concentrated on the mentality of 

people by targeting their emotions.

• At the same time, it concentrated on

highlighting the Value Added Services by the

service provider.

• The main highlight of these ads were

“Baat karne se hi baat banti he.” 

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AirTel: Appropriating the value

of 'expression'

• Expressing and communicating are perhaps

two of the most basic emotions.

• The campaign is towards owning this through

'Expressyourself.‘ 

• Hence, all Airtel commercials are a blend of 

emotions and benefits.

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Number of subscribers of Airtel

0

20

40

60

80

100

120

140

160

2006 2007 2008 2009 2010

AIRTEL

No. Of Subscribers (In Millions)

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SWOT Analysis

Strength

• LargestTelecomPlayer in India,22.6%

• Strategic

Alliance withotherstakeholdersin Bharti Airtelinclude Sony-Ericsson,Nokia - and

Sing Tel• Pan India

Presence

• StrongFinancials

Weekness

• Outsourcingof CoreSystems

• Lack of 

emergingmarketinvestmentopportunity

Opportunities

• Bharti Infratel – Cutting Downcost in Rural area

• Match BoxStrategy – Scale

of Penetration• Current Tele-

Density – 30.6 isstill low amongdevelopingcountries

• Low Broadband

Penetration,Rural Telephoney

Threats

• India centric – Majorrevenuesfrom India

• Falling ARPU• IntenseCompetition& Shortageof Bandwidth

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 !dea Cellular

• !dea Cellular is a company (wireless telephony)that operates in around 22 telecom circles in

India.

• In 1995 it came into existence.• !dea Cellular is India's 3rd largest national mobile

operator by revenue, with over 74 million

subscribers.• !dea Cellular is an Aditya Birla Group Company,

India's first truly multinational corporation.

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ADVERTISING STRATEGY OF !DEA 

• Up to 2005 the commercials of !dea mainly

concentrated on network availability. Then with the

changing pattern of advertising its focus shifted from

network provider to social cause.• !dea hired Abhishek Bacchan as its brand

ambassador. Since then in all the !dea campaigns

Bachchan plays the spokesperson who gives an !dea

to solve a complex problem with surprisingly simplesolution, through the power of mobile telephony. 

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SWOT Analysis: 

STRENGTH

Reputation of the brand

Increase in Profit margin with high rate

Market share

Advertising and promotion in Idea 

WEAKNESS

• Low coverage in India 

• Market leader only in North India 

• No Broadband service 

OPPORTUNITY

• Increasing number of cellular phones

• Starting of 3G services

• Idea joined IBM to integrate some IT work

THREAT

Decline of ARPU

New Players Promotional prices

Brand name of other companies

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Conclusion

• Hence all the players have shown their

advertisements with their offer of services.

• At the end of the day it is all about retaining

customers and building brand.• As said "Customer is the King of the Market" is the

concept the players are now working.

• They are working on their offers to keep the

customer happy with their services.

• It is all about to tap the market with their offers.

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Th@nK YoU………