Vodafone UK Marketing Plan: Marketing Mix for Consumer Segments

This report presents a marketing plan for Vodafone UK, focusing on consumer market segmentation and marketing mix strategies. It differentiates between urban and rural market segments, outlining the product, price, place, and promotion strategies for each. The report also compares business-to-consumer marketing with business-to-business marketing, highlighting differences in product customization, pricing, and promotional approaches. Additionally, the report discusses how international marketing differs from domestic marketing, considering factors such as scope, risk, government interference, culture, regulatory mechanisms, infrastructure, and technology. The analysis provides insights into Vodafone's approach to market segmentation and its strategies for adapting to different market environments.

VODAFONE UK MARKETING PLAN

Marketing mixes for two different segments
in consumer markets for Vodafone UK
Due to increasing competition in the market, the Vodafone UK will target its offerings to both rural and
urban segments of the consumer market. This will support the company in achieving large market share
and more sales revenue in the business. The following slides are illustrating the market mix of both the
segments.

Urban segment
• Product – To this particular segment the company will focus on offerings its internet services,
fixed line and mobile telephony, Vodafone branded handsets and digital television.
• Place – The Company will establish its own stores around the country and will sell the
services and products by the help of independent retailers, like Carphone warehouse.
• Price – For the urban customers segment, the organisation will run monthly price plans and
prepay options. Moreover, the users will be allowed to recharge their phone by using online
services of the company. Also, NECTAR reward points will be given to the customers on
every £1 spent on text messages, ring tones, pictures messages and calls.
• Promotion – The Vodafone UK will make both above the line and below the line promotion in
its urban market. For above the line promotion, the company will run ads on TV, in magazines,
on billboards and in other outlets of media that can reach to wide clientele base. With regards
to below the line promotion, the organisation at its stores will run some special offers and
point of sale posters, in order to attract more customers to visit the store (Andrew, 2011).

Rural segment
• Product – The company to this particular segment will provide handsets with
many distinct features to play games, chat, change ring tones, receive and send
pictures, obtain billing information and to get travelling related information.
• Price – The organisation will introduce some small recharge top-ups, as per the
convenience of rural people. Moreover, some low call rates and cheap rate
internet service plans will be specifically design to target the rural segment by
the company.
• Place – The products and services of Vodafone in the rural market will be sold
by small distributors and door to door agents hired by the company.
• Promotion – The organisation will make promotion through newspapers to
create effective relations with the rural customers.

Differences in marketing to businesses
versus consumers
Recognition
of Needs
Information
Search
Evaluation of
Alternatives
Purchase
Decisions
Post Purchase
Behaviour
Consumer Buying Decision Making Process:
Business Buying Decision Making Process:
Problem
Recognition
General Need
Description
Product
Specification
Supplier
Search
Proposal
Solicitation
Supplier
Selection
Order Routine
Specification
Performance
Review

Differences in marketing to businesses
versus consumers
Vodafone Marketing Mix Business to Business Business to Consumer
Product
The volume of buying
products will be in bulk or
large
Purchase volume is small
Product are customized and
include technical
complexities
Product are standard and
specification takes place
Price
Prices are customizable
according to client’s needs
and specifications and
determined by pricing
contracts
Prices are fixed and
individual consumer compare
prices and offers between
companies

Differences in marketing to
businesses versus consumers
Vodafone Marketing Mix Business to Business Business to Consumer
Place
Advance demand or purchase
order is essential to streamline
the distribution
Not any demand or order in
advance is required
The location of buyer is
geographically concentrated
The location of buyer is
discrete
Promotions
Sales promotion does not
work
Sales promotional are more
effective
Sales presentation having
scientific data are required
Doesn’t require any
presentation or data

How and why international marketing
differs from domestic marketing
The following are some ways in which domestic marketing is different from the international one:
• Scope – The domestic marketing scope is restricted and dry up eventually. On the contrary, there are
endless scope and opportunities presented in the international marketing.
• Risk – The risk at the domestic level is not much in comparison to the international marketing. While,
there is high-level of risk presented in the global marketing, which includes foreign exchange risk, bad
debts, political restrictions and many more.
• Government interference – No government interference is presented in the domestic marketing. On the
other side, government interference is high in the international marketing. All items services and
exchanges are done according to the government rules and regulations (International Marketing VS
Domestic Marketing, 2007).

These are some reasons of differences in
domestic and international marketing
• Culture – The culture of different nations are not same and understanding the business and social culture
is the key to get success in the international marketing. It is often sensitive to understand the culture but
can allow a marketer to better prepare to adapt with the specific market. However, it is easy to
comprehend and deal with the local market culture with which the marketer is well-acquainted.
• Regulatory mechanism – No two nations have same legal and political systems, as each government has
its own strategies to deal with overseas businesses and their offerings. Therefore, an international
marketer must abide by the laws and rules of the country before entering into it to get long-term success
and sustainable position in the potential market (Vikram, 2010).

CONTD.
• Infrastructure – Similarly, the infrastructure of business in the foreign markets also impact on the
international firms marketing activities. The infrastructure may impact on the companies’ abilities to get
their offerings successfully to the market. Therefore, the international marketer is needed to research
about new target market and the manner in which products are moved in the particular region.
• Technological reasons – The technological level can substantially vary in the international markets. If the
global firms offerings require a high-level sophistication of technology to implement or use then market
with an inferior technology will not be appropriate for the business.

REFERENCES
• Andrew, 2011. Difference Between Domestic marketing and International marketing. [Online]. Available
through: <http://www.differencebetween.com/difference-between-domestic-marketing-and-international-
marketing/>. [Accessed on 7 February 2017].
• International Marketing VS Domestic Marketing. 2007. [Online]. Available through:
<http://www.citeman.com/2050-international-marketing-vs-domestic-marketing.html>. [Accessed on 7
February 2017].
• Vikram, R., 2010. Rural vs Urban Market. [Online]. Available through:
<http://www.saching.com/Articles/Rural-vs-Urban-Market-534.html>. [Accessed on 7 February 2017].

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