Vodafone's International Marketing Strategies and Challenges

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This report analyzes Vodafone's international marketing strategies, focusing on standardization, adaptation, and the reasons for international marketing research. It examines Vodafone's STP approach, competitive strategy, and differentiation strategy, highlighting its enterprise solutions, strong presence in EU markets, and innovative products. The report also identifies global challenges such as powerful consumers, sustainability standards, and distribution issues. It concludes that companies must prioritize marketing strategies, understand consumer behavior, and address global challenges to enhance profitability and gain a competitive advantage. The report references several academic sources to support its findings.
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Assessment 1
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Contents
Introduction......................................................................................................................................3
Section 1.................................................................................................................................3
Definition of standardisation and adaption of companies......................................................3
Section 2.................................................................................................................................3
Reasons for international marketing research........................................................................3
STP approach..........................................................................................................................4
Competitive strategy of Vodaphone.......................................................................................4
Differentiation strategy...........................................................................................................4
Global challenge company is facing.......................................................................................5
Conclusion.......................................................................................................................................5
References........................................................................................................................................7
Books and journals.................................................................................................................7
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Introduction
Section 1
Definition of standardisation and adaption of companies
A Standardization is the strategy which is used by a company in treating whole world as
one market and results in little meaning version. Now a days many of the company is using
standardisation strategy. On the other hand, adaptation is the products adaption as a this is a
process in which existing products is modified and serve it to the customers in effective manner.
There are certain trends in the international busines which could affects the international busines
and MNCs as they’re also facing some of the issues which re related with the target market and
results in reducing their profits and revenue (Bosah, 2020). So, these risk and issues are related
with the company products and services, their prices, distribution and their marketing channels,
then communication strategies issues. As these issues and trends which are affecting the
operations of international business and MNCs. The issues can be related with the cultural,
political, and technological etc. as this can affect the business in most effective manner.
Section 2
Reasons for international marketing research
The organisation or company which is taken in this given report is Vodaphone as it is one
of the biggest multinational telecommunication company of UK which is operating in all over
the world. This company is having the headquarter in England and it was founded in the year
1991 by Ernest Harrison and Gerry Whent. In modern world company is operating n more than
22 countries and providing its products and services to the customers. And it has a dealing with a
client in more than 150 countries so this could result in affecting various of trends in all over the
world. The products and services in which company deals with is fixed line telephones, mobile
phone, digital television, internet television, broadband etc. company is using effective
marketing strategies in order to communicate with its customers and reach out to target
customers so that their profits could be enhanced (Dey, Yen, and Samuel, 2020). There are about
93,000 employees working in a company right now to enhance their future.
Company is having more than 470 million of customer base in all over the world and they
all are satisfied with their products and services. It is connecting people from worldwide and
making communication across globally very conveniently and securely with their customers.
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Vodaphone is having many of the competitors and they are all working towards building their
effectiveness and enhancing their customer base. These competitors are Airtel etc. As they are
also making strong marketing strategy in attracting customer towards their products and services
and reaching to the potential customer base.
STP approach
Vodaphone segmentation strategies refers to the segment which is offering in the mobile
network services (Dixit, Alavi, and Ahuja, 2020). As it uses in demographical and geographical
segmentation.
Targeting of the company will be in various sections this is in societies with providing
different offerings to them. That is why it uses differentiated targeting strategy.
Vodaphone is making a campaign of Zoo- zoos ad which is most successful ad and it is
creating awareness in the minds. So, this is a value based positioning strategy.
Competitive strategy of Vodaphone
Enterprise solutions: As most of the revenue that is of 41 billion comes from Euros and
also it is coming from retailing customers which is offered by company. and this has
increased their sales up to 28% in their busines portfolio.
Strong hold in EU markets: As 66% are coming from European market so company is
maintaining their presence by facilitating 87% of the market while providing them 4G
network services.
Innovative products: Vodaphone is providing variety of services and innovative
products to the customers. These are portrait, M- Pesa, Vodacom and Vodaphone one and
Vodaphone speech mark. So, this has helped company in competing better with its
competitors and resulting in gaining competitive advantage in the market among
competitors.
Differentiation strategy
In this strategy one or more than one criterion for the selection of a customer is taken into
consideration. And then there is a business plan which is used by company to meet its their
criteria (Elboudali, and et.al., 2020). Many of the companies are coaming up with the plan that
refers to the changing of prices of a product to premium of their products. As in tis
differentiation strategy, company takes out a product which can be suitable for customers and
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which can meet the demands and needs of customers. As company is making such a unique
product which could results in increasing of the customer base and helps them in gaining
competitive advantage in the market among competitors. According to this strategy, Vodafone is
focusing on their unique advertisements to attract customer and also provides them various types
of other offers so that customer should be happy with them and results in increasing of their
profitability and productivity.
Global challenge company is facing
There are various types of global challenges which are being faced by international
companies (Fernández-Ferrín, and et.al., 2020). In the context of Vodafone these are discussed
below:
More powerful consumers: Powerful Consumer base is the most important issue which
company is facing. As keeping customers up to date about the company products and
service are the most important thing which company have to follow. For that they should
have to provide them quality of products. Vodafone should have to consider the demands
of customer and work accordingly.
Sustainability standards: sustainability standards the most important which company
should have to focus on. As customer now days becoming more friendly in their nature
and this results in listening demands and needs of a customer. Taking steps towards the
sustainability of an environment customers will be attracted towards the business.
Distribution and communication issue: This is considered as a most important issue as
distribution and communication strategy of the company should be most strong so this
will attract more customers. as at international level, company should have to focus on
marketing and communication strategy so that they should promote their products and
services very effectively (Nyame-Asiamah, and Kawalek, 2020). There is a use of
various technologies that company is using.
Conclusion
From the above report it has been concluded that at the international level companies should
have to more focus on their marketing strategies. That could help them in targeting their
customers. there are certain issues faces by international companies so these can be solved by
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focusing on the customer behaviour of a country and this will result in increasing of their profits
and revenues. Strong marketing results in attracting more customers and gaining more
competitive advantage.
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References
Books and journals
Bosah, G., 2020. Consumer Behaviour and Student Motivation Influence the Choice of Higher
Learning Institutions in Nigeria. In Higher Education Marketing in Africa (pp. 255-
274). Palgrave Macmillan, Cham.
Dey, B.L., Yen, D. and Samuel, L., 2020. Digital consumer culture and digital
acculturation. International Journal of Information Management, 51, p.102057.
Dixit, J.S., Alavi, S. and Ahuja, V., 2020. Measuring Consumer Brand Perception for Green
Apparel Brands. International Journal of E-Business Research (IJEBR), 16(1), pp.28-
46.
Elboudali, A and et.al., 2020. A customised virtual reality shopping experience framework based
on consumer behaviour: 3DR3CO. International Journal on Interactive Design and
Manufacturing (IJIDeM), pp.1-13.
Fernández-Ferrín, P and et.al., 2020. Sub-national consumer ethnocentrism and the importance
of the origin of food products: an exploratory analysis. British Food Journal.
Nyame-Asiamah, F. and Kawalek, P., 2020. Sustainability and Consumer Behaviour: Towards a
Cohered Emergent Theory. The Palgrave Handbook of Corporate Social Responsibility,
pp.1-18.
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