Marketing Management

This report analyzes the marketing strategies and tactics of Vodafone company to increase profit and compete with competitors.

Running Head: Marketing Management 0
Vodafone company
Marketing Management
5/14/2019
This report is prepared so that the marketing strategies and the tactics in the company Vodafone can
be developed. In this report it has analyzed that marketing strategies are very important as it help in
knowing the customers’ demands, needs and their requirements. So if the company analyzed the
internal and the external environments of the marketing than the company can easily compete with
the competitors. In this report the customers are targeted so that high profit can be earned by the
company. The report has developed the marketing strategy and the tactics which helps in increasing
the profit of the company.

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Contents
Introduction.................................................................................................................................................2
Issue 1.........................................................................................................................................................3
Issue 2.........................................................................................................................................................4
Issue 3.........................................................................................................................................................6
Issue 4.........................................................................................................................................................8
Issue 5.......................................................................................................................................................10
Conclusion.................................................................................................................................................12
References.................................................................................................................................................13

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Introduction
The report is prepared so that the marketing management in the company Vodafone can be
evaluated. The main purpose of this report is to analyse the process of the organization and to
analyses their marketing perspective. In this report, the internal and the external environment of
the marketing has studied so that the proper marketing strategy can be developed (Nguyen,
2013). The macro environment forces will be analyzed which helps in analyzing the context of
the marketing. In this report, the legal, political, cultural, social factors will be explained which
will impact the marketing of the Vodafone. In this report, the SWOT analysis will be done so
that the company strengthens position can find out. In this report, the market research will be
done so that the 5 Cs of the marketing can be evaluated. What the customers want from the
company Vodafone and who are their competitors and the role plays by the collaborators will be
explained in this report. The marketing strategies and tactics will also be developing so that the
higher profit can be earned by the Vodafone and proper functioning of the business can be done.

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Issue 1
Vodafone Hutchison Australia Pty Limited is the mobile telecommunication company and also
the internet service provider. Vodafone Australia was founded in 2009 which has the
headquartered in North Sydney (Okyere, et al., 2011). The company basically deals with the
products of the prepaid and postpaid mobile phones and wireless broadband. The Vodafone
Company is the merger of the two companies which is also the third largest mobile carriers
between the Hutchison 3G Australia and Vodafone Australia. The company has a market share
of 19% and has subscribers approximately 5.8 million. The company has the number of
employees around 2500 and has a net income in the year 2017 is A$978.1 million (Beck, 2014).
The company also offers the wire broadcast services and the fixed line services through the
national broadband network.
The company has the joint venture in the 50:50 between the Hutchison telecommunication and
Vodafone Group Plc. The company also provides the 4G network services to its users for more
than 22 million Australians. The company also provides broadband services to the regional
centers and in the capital cities. The company’s main aim is to provide mobile services to
everyone who needs them so that more revenues can be earned by them (Sapre and Nagpal,
2009).

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Issue 2
5Cs of the Vodafone Hutchison Australia Limited
Company: The Company Vodafone Hutchison Australia has some strengths, weakness,
opportunities, and threats which are stated below:
Strength: The Company has different strengths such as the Forbes has recommended the
company Vodafone in the 395 ranks among the 2000 brands (Smith and Taylor, 2014). The
company operates 25 countries worldwide. The marketing of the Vodafone is legendary and it
has users everywhere in the world. The company has a good brand valuation and has earned
good revenue.
Weakness: In the last four years the subscribers of the Vodafone is declining. The range of the
customers is dropping and the core values of the company are declining (Bhatti, et al., 2016). In
the last few years, the brand valuation of the company is also declining. The company Vodafone
Hutchison Australia is also losing its market share in the USA as there is demanding the
premium cost.
Opportunity: The Company is targeting the emerging market and they have the opportunity to
develop their network in the rural market also. The biggest opportunity for the company is the
4G spectrum which had made people look at the telecom operators (Hartland and Skinner, 2014).
Threat: There is a lot of competition in the market as there are many companies which are
dealing with the same telecommunication and the broadcast services. Earlier the company
charges the premium cost but due to the declining market, the company started penetrative
pricing mechanism.
Customers: There is a lot of subscribers and customers the Vodafone have. They have around
444 million customers across globally and around 6 million customers in Australia which are
increasing. Vodafone is serving to every class of people. The company has the bureaucratic
behavior with their customers.
Collaborators: The Company Vodafone has many collaborators with the technology company
which plans to give the path of the 5G. The Vodafone Company is partnering and collaborating

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with many partnering with the Huawei, Ericsson, Intel, Nokia, Qualcomm Technologies, Inc.
The Vodafone Australia Company has the collaboration with the Vodafone Hutchison Australia
in the ratio of 50:50. The company Vodafone has done its collaboration with the practice of its
subsidiary Vodafone Global Enterprise.
Competitors: There are many competitors the company who are dealing with the
telecommunication business. as there are many companies also who are providing the broadcast
and mobile internet services with the vest speed such as the China Mobile, Verizon, Nippon,
Deutsche Telecom, Softbank Telecom. The company has a great brand image built due to the
increasing competition in the market the company net share of the profit is declining. Basically,
there were the two mobile network owners in Australia which are the major competitors for the
company Vodafone such as the Telstra and Optus (Morgan, et al., 2012).
Context: There are many factors that are affecting the organization of the Vodafone such as the
technological, legal and political factors which are stated below:
Technological factor: In the last five years the technological factors have a great impact on the
business of the Vodafone. As there the 4G technologies are upgraded to the business of the
Vodafone has somehow declined. In recent years the 5G technology in the mobile data is also
coming which will also have a great impact on the business (Bhatti, et al., 2016).
Political factor: The profitability of the company is getting affected due to political factors. The
government has put the political stability in the wireless communication sector and also put the
bureaucracy and interference in that which has a great impact on the business.
Legal political: There are many rules and regulations which the company has to comply and it
has a great impact on the profit of the Vodafone. There are the legal laws through which the
company has to comply such as the trade regulations and tariffs related to the technology, Anti-
trust laws related to the Wireless Communications (Mohammad, 2015).

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Issue 3
What do customers want?
The customers of the Vodafone Company want quality services. They want a high range of
speed, content, and coverage. The customers want that they should get the network in all the
areas and should need the network of the improving speed. The customers also want good value
and want their needs should be meeting. At the time of inflation, the company should not charge
the high prices (Hartland and Skinner, 2014). As today’s world is digital so the customers also
want that they should not compromise with the speed on the internet. They want the guarantee of
the broadcast network and want the security commitment so that if any case any default arises
the customers can claim the money in return. Customers also want that their issues should be
resolved as soon so no more conflicts can arise.
Which competitors pose a threat?
The biggest threat the company Vodafone has with the company Telstra Corporation Limited as
it is the Australia largest telecommunication company. Both the companies Telstra and Vodafone
operate in the telecommunication network and mobile internet and also provide good services in
the market. The headquartered of the Telstra is in Australia, Melbourne and the company
Vodafone also has it’s headquartering in the North Sydney, Australia. Due to the company
Telstra the profit of the company Vodafone is declining and it also affects their subscribers. The
company has a huge market share in the company and a lot of the customers who prefer to take
their services (Dwyer, 2014). So it is the biggest threat for the company Telstra as they are their
profit is losing and their subscribers are reducing.
As there are many companies in the market which are dealing with the telecommunication and
the broadcast cables so the competition is very high. But then new technology of the 4G has a
great impact on the company Vodafone as there are many companies who are providing the same
services (Singh, 2014).
How the context of business is changing, if at all?

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The context of the business is changing as there were government always builds up the new rules
and regulations which has a great impact on the profitability of the Vodafone. The company also
get affected due to the vast change in the technology as in the telecommunication the technology
plays an essential role (McLaren, 2014).
The political factors affect the Vodafone business as they charge very high EU Roaming
regulations which decrease the profit of the company. As the inflation rate was increasing at a
very high rate so many global economic issues have been seen. The changes in the economic
factor are also affecting the external factors of the company. The communication technology is
changing very rapidly which has a great impact on the business. The introduction of the 4G has
brought the large diversification as every company is providing the high quality of network
services and everyone is giving the huge quality of services (McLaren, 2014).
The telecommunication company gets affected by the legal laws also which are governed by the
Federal Communication Commission as they control the monopolies of the telephones. As per
the consumer protection and service standard, it is the universal obligation that the company has
to provide better standard telephone services so that the proper stability in the business can be
maintained.
What role do collaborators play in the process?
The Vodafone has done the collaboration with the Vodafone Hutchison Australia. Vodafone
Hutchison Australia is owned by the joint entity by the company Vodafone Group Plc. on the
basis of 50 50. The shares held by the Vodafone were 50.1% (Beck, 2014). The collaborators
play an essential role in the processing of the company as they manage the mobile voice and data
and also operated the many frequencies of the company. By collaborating these, the company
subscribers of the company have increased up to 7 million subscribers. The market share of the
company has increased up to 17%. The annual revenue of the company has also increased with
the rapid rate as it was A$ 4 billion. By this collaboration, the workplace of the Vodafone
Company has improved in a better way and the load of the work also get reduced. In the
collaboration, they worked as the team and it results in establishing the goals and outcomes
(Yaghubian, et al., 2016).

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Issue 4
The marketing strategies of the company are stated below:
A choice of the target market (/s)
The Vodafone target to each class of people whoever in need of good services. They don't have
any specification in targeting any group. As they provide a high range of services so it is the
choice of the people who wants to take the services. The company Vodafone is providing the
high rate of quality services and for that, they charge the premium prices. So basically these
charges are affordable by the high class or the rich class of the people. So the Vodafone
Company basically targets the high society people who can afford the price to take the premium
services (Shankar, et al., 2012).
They are targeting the more people every year who are connecting with them. They have targeted
the upper class of the segment which has a high growth rate. As there is high competition in the
market so the company Vodafone has targeted the rich society which can easily afford their
premium prices. But later on when their market share breaks down the company has charged the
primitive prices and targeted the middle and lower class of the people (Thompson, et al., 2014).
A value proposition for the target market (/s)
The Vodafone has a very large proposition of the market which has a strong targeting market.
The company Vodafone has many subscribers across the whole world and it also deserves many
services to the 4000 million subscribers. They are serving the services across the 1450 countries.
As they have a large market segment so they also have the employees who are more than 100000
over the world. As their market segment is big so these employees are needed by the company so
that the big segments of the work can be handled by them. The company Vodafone has a great
value proposition in the market as they target the potential customers rather than the employees,
partners or the suppliers of the company (Beck, 2014). Forgetting high success and to earn a
huge profit in the company the value proposition is necessary.
The company also has different services centers across the world which provides the services so
that the customer’s problems can be solved. In targeting the high market the need of the

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customers are important to evaluate so the company Vodafone provides the better services and
provides the high range of the data and also offer them the similar prices of their competitors.
A positioning statement for the target market (/s)
To target the markets the brand positioning is required as it helps in advertising the product at a
large scale. The company Vodafone can evaluate which customers are interested in their product
and collect the information by analyzing what the customers needed from the market. As their
high number of the customers who wanted to the high-speed data connection and their network
should be reachable to them all the time (Lourenço, et al., 2012). They want the 24*7 services
from the company so that if any issues arise then it can be sorted. The company Vodafone is
meeting the needs of the customers as they provide high-speed data, they also give the customer
care services to the customers for 24*7.

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Issue 5
Developing marketing tactics
The 7Ps will be elaborated so that the marketing strategy of the Vodafone Company will be
stated.
Product: The Company Vodafone sells the product of the prepaid and postpaid mobile phones
and wireless broadband. They also provide the 4 G internet connections to the customers so that
the high-speed data quality can be provided. The company has various generous communication
products such as Smartphones, Branded phones, voice, and messaging services, value-added
services, handsets, internet services, etc. Earlier the Vodafone product has only used for the
texting and calling but then ‘it has evolved into the great use (Erdemir, et al., 2015).
Price: The prices for the products of the Vodafone are competitively in order to beat its
competitors. The company has earned the loyalty of the customers as they provide the services to
the customers of the strong range and high-quality data. The price of the services decided by the
Vodafone is based on high speed, bandwidth, etc. (Agyapong, 2011). The price of the product is
relatable same of the competitors of the Vodafone so that the various segments can be targeted
and a large number of the services are provided to satisfy the customers.
Place: The Company Vodafone has the largest mobile network in Australia and also they have a
lot of subscribers. So most of the places they provide the services to their customers. They sold
their product through the shops and the care centers and some of the retailer shops too (Doyle,
2016). In the country of Australia there are lots of the stores across the area and they have the
string distribution channel network. They have a very storing network so they provide the
services to all the areas and they have strong distribution channels. They provide services
through online and offline services.
Promotion: The Company Vodafone focuses on the advertising as they have a strong leading
global network which promotes the brands of the Vodafone. The promotion done by the
Vodafone is through various sites such as online, TV, billboards, etc. The promotion of
Vodafone is the biggest element of the marketing mix because of the Vodafone ZooZoos.

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People: The Company Vodafone has always ensured that its customers will get the highest
priority. Across the 150 countries in the world, the Vodafone Company serves more than 400
million subscribers and also has the large strength of the workforce. The company has the
employees more than the 10000 across the world so there are many people who are connected
with the company Vodafone (Jaber, et al., 2015).
Process: In the service marketing the Vodafone plays the essential process as Vodafone is the
telecom industry so it should be effective and efficient. The company also has a good CRM
process which is helpful in maintaining the good network and the availability of the good signals.
Physical evidence: The Company Vodafone has the physical evidence of the sim cards which
were issued to every customer. The company also has the much physical evidence such as the
recharge, vouchers, service, stores, etc.

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Conclusion
From the above report, it is concluded that marketing strategies are very important to remain in
the competition and to earn more profit. As the company, Vodafone is the mobile
telecommunication company and also provides internet service. The company Vodafone
Hutchison Australia has some strengths, weakness, opportunities, and threats which are
explained in this report. With the help of their strength, the company has targeted a large number
of the subscribers and also providing the high data range of internet. They have around 444
million customers across globally and around 6 million customers in Australia which are
increasing. The Company Vodafone sells the product of the prepaid and postpaid mobile phones
and wireless broadband. They also provide the 4 G internet connections to the customers so that
the high-speed data quality can be provided. So in this report, the 7 Ps has also explained which
helps in making the marketing tactics and by evaluating the value proposition of the targeted
market and the positioning statement for the target market the strategies have also build.

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