TABLE OF CONTENT

CONTENTS Page No.

List of Tables i

List of Figures ii

CHAPTER 1 INTRODUCTION 1-6

OBJECTIVES OF THE STUDY

SCOPE OF THE STUDY
RESEARCH METHODOLOGY

CHAPTER 2 REVIEW OF LITERATURE 7-23

CHAPTER 3 COMPANY PROFILE 24-30

CHAPTER 4 DATA ANALYSIS AND INTERPRETATIONS 31-41

CHAPTER 5 RECOMMENDATIONS AND CONCLUSIONS 42-45

BIBLIOGRAPHY 46-47
ANNEXURE 48-51
Questionnaire
 List of Tables

Sr. no Table no. Table Name Page No

1. Table 4.1 The product performs in terms of quality 32

2. Table 4.2 The product performs in terms of purchase experience 33

3. Table 4.3 The product performs in terms of value 34

4. Table 4.4 The product performs in terms of aftersales service 35

5. Table 4.5 Satisfactory level of customers 36

6. Table 4.6 Opinions for purchasing the product again 37

7. Table 4.7 The quality of companys sales organisation service 38

8. Table 4.8 Attempts to try other products 39

9. Table 4.9 How likely the product is recommended 40

10. Table 4.10 Rating of the purchase and product 41

i
 List of Figures

Sr. no Figure no. Figure Name Page No

1. Figure 4.1 The product performs in terms of quality 32

2. Figure 4.2 The product performs in terms of purchase experience 33

3. Figure 4.3 The product performs in terms of value 34

4. Figure 4.4 The product performs in terms of aftersales service 35

5. Figure 4.5 Satisfactory level of customers 36

6. Figure 4.6 Opinions for purchasing the product again 37

7. Figure 4.7 The quality of companys sales organisation service 38

8. Figure 4.8 Attempts to try other products 39

9. Figure 4.9 How likely the product is recommended 40

10. Figure 4.10 Rating of the purchase and product 41

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 CHAPTER 1

INTRODUCTION

OBJECTIVES OF THE STUDY

SCOPE OF THE STUDY
RESEARCH METHODOLOGY

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OBJECTIVES 0F THE STUDY

To understand consumer perception about products and services.

To understand the consumers satisfaction level about products and services.
To know the market potential of Vodafone products and services.
To analyze the brand awareness

SCOPE OF THE STUDY

The study is carried out to know the fallowing aspects.

To assess, the consumers needs and wants.

To predict, the consumers acceptance of firms various informational and
Environmental cues.

To gauge into the consumers mind and understand different consumption

related aspects, of individuals.
To know the percentage of usage of value added services.
To understand, satisfaction, of brand loyal consumer.
To understand, satisfactional pattern of potential consumer.
To analyze, the buying motives of the consumers, while making their purchase
decisions.

To understand, expectations and satisfaction level, of consumers.

A study of this kind helps to put theoretical aspects into the project and aims to give
information. Nature of the study methods used, findings of the investigation, conclusions, and
recommendations inferred from the findings aims to enable Vodafone to implement the
recommendations made at the end of the study.

The research is purely based on the survey conducted in Bangalore city and has been focused
on Vodafone subscribers. The number of respondents intervened is 100.The study covers
information about customer brand preference, brand awareness, service attributes, etc.
Overall scope of the study would be to enhance the services to the subscribers, in the city.

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RESEARCH METHODOLOGY:

SOURCES OF DATA:

Data, facts, figures, other relevant material of past and present and surveying are the basis for
study and analysis. Without an analysis of factual data no specific inferences can be drawn on
the questions under study. Inferences based on imagination or guesses cannot provide correct
answer to research questions. The relevance adequacy and reliability of data determine the
quality of the findings of a study.

For the purpose of the present study, data from two sources has been collected, namely
primary data and secondary data.

PRIMARY DATA:

Primary data is source from which the researcher collects the data. It is a first-hand data,
which is used directly for the analysis purposes. Primary data always gives the researcher a
fairer picture. In the present study primary data has been collected using questionnaires. For
the purpose of collecting the same, 100 respondents have been randomly selected. Even the
response of the respondents was taken into consideration. In this study, primary data plays a
vital role for analysis, INTERPRETATION:, conclusion and suggestions.

SECONDARY DATA:

Secondary data is data which is collected and compiled for other purposes. Secondary data
also plays a key factor in providing more information which will influence the analysis. Few
of the main sources of secondary data include newspapers, business journals, magazines,
internet and company reports, etc.

POPULATION
The aggregate of all the units pertaining to a study is called the population. Population is the
largest group to be studied. Its the total collection of elements about which we wish to make
inferences the populations for this research are the people residing in Bangalore City.

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SAMPLE DESIGN:
The part of the population is known as sample. The process of drawing a sample from a large
population is called sampling. The type of sample design used is Random Sampling. Random
Sampling gives every unit of the population a known and probability of being selected. Since
random sampling implies equal probability to every unit in the population, it is necessary that
the selection of Bangalore city only.

SAMPLE PLAN

SAMPLE SIZE:

The sample size for the survey is 100 respondents of which 50 are Existing VODAFONE
Subscribers and 50 are New VODAFONE Subscribers.

SAMPLE UNIT

One of the units into which an aggregate is divided or regarded as divided for the purpose of
sampling, each unit being regarded as individual and indivisible when the selection is made.
The definition of unit may be made on some natural basis for example households, persons,
units of product, etc. Hence, in the study the sample unit is Respondents who are Prepaid
Vodafone Subscribers.

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TOOLS AND TECHNIQUES OF DATA COLLECTION:

The following sampling techniques have been implemented:

Personal Interviews: Approaching people personally and interviewing directly.

QUESTIONNAIRE:

Designing the questions, in such a way, that it covers various opinions, views about
VODAFONE subscribers at the present market conditions. The questionnaire consisted of
various types of questions say Open-ended questionnaire, Close-ended or Dichotomous
questions, and Multiple-choice questions.

FIELD WORK

This project involved a field work where in the survey is conducted by having a personal
interaction with 100 subscribers who are VODAFONE subscribers. Personal interaction has
been carried out and the information sought as was required in the questionnaire for the
purpose of data processing and analyzing. The respondents have been directly contacted.

DESCRIPTION OF THE RESEARCH DESIGN:

The present study has been designed to collect the opinions and perspectives of the Vodafone
subscribers.

The data has been collected through questionnaires filled up by personal interviewing
subscribers. The questionnaires have been made as concise as possible. Personal information
has been collected in order to know their personal background. The questionnaire has been
administered to the respondents directly so that any doubt regarding the questionnaire could
be immediately clarified. The questionnaire consisted of various types of question namely
multiple choices, close ended, open ended, and ranking etc, a copy of the questionnaire is
enclosed in the annexure.

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RESEARCH DESIGN

The sampling design carried out is convenience sampling. The marketing research problem
calls for the descriptive types of research. Descriptive studies are undertaken in many
circumstances. When researcher is interested in knowing the characteristics of certain groups
such as age, sex, income level, etc. or in case researcher is interested in knowing the
proportion of people in a given population who have behaved in particular manner.

Descriptive research is used for the following data.

METHODOLOGICAL ASSUMPTIONS

For the purpose of the study the following assumptions have been made.

o It has been assumed that the information given by the respondents are authentic,
bonfire and genuine.
o The sources of the data are the basis, from which the actual required information can
be extracted.
o The sampling procedure adopted will help in choosing an appropriate sample that
truly represents that actual population.
o It has also been assumed that interview-questionnaire is more suitable for collecting
data for the present day.

LIMITATIONS OF THE STUDY:

The limitations of the study are as follows:

Sample size of the subscriber is limited.

Many subscribers do not give the exact picture of their opinion.
The time period for conducting the survey is inadequate as the sample size covers
only Bangalore city.
One subscriber may have more than one connection.
The opinion of the subscriber depends on the geographical location of the subscriber
this may include the network of the provider.

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 CHAPTER 2

REVIEW

OF

LITERATURE

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Consumer Satisfaction

Meaning and Definition:

Consumer satisfaction is the study of how individual customers, groups or organizations

select, buy, use, and dispose ideas, goods, and services to satisfy their needs and wants. It
refers to the actions of the consumers in the marketplace and the underlying motives for those
actions.

Marketers expect that by understanding what causes the consumers to buy particular goods
and services, they will be able to determinewhich products are needed in the marketplace,
which are obsolete, and how best to present the goods to the consumers.

The study of consumer satisfaction assumes that the consumers are actors in the marketplace.
The per-spective of role theory assumes that consumers play various roles in the marketplace.
Starting from the information provider, from the user to the payer and to the disposer,
consumers play these roles in the decision process.

Some selected definitions of consumer satisfaction are as follows:

1. According to Engel, Blackwell, and Mansard, consumer satisfaction is the actions and
decision processes of people who purchase goods and services for personal consumption.

2. According to Louden and Bitta, consumer satisfaction is the decision process and physical
activity, which individuals engage in when evaluating, acquiring, using or disposing of goods
and services.

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Nature of Consumer Satisfaction:

1. Influenced by various factors:

The various factors that influence the consumer satisfaction are as follows:

a. Marketing factors such as product design, price, promotion, packaging, positioning and
distribution.

b. Personal factors such as age, gender, education and income level.

c. Psychological factors such as buying motives, perception of the product and attitudes
towards the product.

d. Situational factors such as physical surroundings at the time of purchase, social

surroundings and time factor.

e. Social factors such as social status, reference groups and family.

f. Cultural factors, such as religion, social classcaste and sub-castes.

2. Undergoes a constant change:

Consumer satisfaction is not static. It undergoes a change over a period of time depending on
the nature of products. For example, kids prefer colourful and fancy footwear, but as they
grow up as teenagers and young adults, they prefer trendy footwear, and as middle-aged and
senior citizens they prefer more sober footwear. The change in buying satisfaction may take
place due to several other factors such as increase in income level, education level and
marketing factors.

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3. Varies from consumer to consumer:

All consumers do not behave in the same manner. Different consumers behave differently.
The differences in consumer satisfaction are due to individual factors such as the nature of
the consumers, lifestyle and culture. For example, some consumers are technoholics. They go
on a shopping and spend beyond their means.

They borrow money from friends, relatives, banks, and at times even adopt unethical means
to spend on shopping of advance technologies. But there are other consumers who, despite
having surplus money, do not go even for the regular purchases and avoid use and purchase
of advance technologies.

4. Varies from region to region and country to county:

The consumer satisfaction varies across states, regions and countries. For example, the
satisfaction of the urban consumers is different from that of the rural consumers. A good
number of rural consumers are conservative in their buying satisfactions.

The rich rural consumers may think twice to spend on luxuries despite having sufficient
funds, whereas the urban consumers may even take bank loans to buy luxury items such as
cars and household appliances. The consumer satisfaction may also varies across the states,
regions and countries. It may differ depending on the upbringing, lifestyles and level of
development.

5. Information on consumer satisfaction is important to the marketers:

Marketers need to have a good knowledge of the consumer satisfaction. They need to study
the various factors that influence the consumer satisfaction of their target customers.

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The knowledge of consumer satisfaction enables them to take appropriate marketing
decisions in respect of the following factors:

a. Product design/model

b. Pricing of the product

c. Promotion of the product

d. Packaging

e. Positioning

f. Place of distribution

6. Leads to purchase decision:

A positive consumer satisfaction leads to a purchase decision. A consumer may take the
decision of buying a product on the basis of different buying motives. The purchase decision
leads to higher demand, and the sales of the marketers increase. Therefore, marketers need to
influence consumer satisfaction to increase their purchases.

7. Varies from product to product:

Consumer satisfaction is different for different products. There are some consumers who may
buy more quantity of certain items and very low or no quantity of other items. For example,
teenagers may spend heavily on products such as cell phones and branded wears for snob
appeal, but may not spend on general and academic reading. A middle- aged person may
spend less on clothing, but may invest money in savings, insurance schemes, pension
schemes, and so on.

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8. Improves standard of living:

The buying satisfaction of the consumers may lead to higher standard of living. The more a
person buys the goods and services, the higher is the standard of living. But if a person
spends less on goods and services, despite having a good income, they deprives themselves of
higher standard of living.

9. Reflects status:

The consumer satisfaction is not only influenced by the status of a consumer, but it also
reflects it. The consumers who own luxury cars, watches and other items are considered
belonging to a higher status. The luxury items also give a sense of pride to the owners.

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FACTORS AFFECTING CONSUMER SATISFACTION

CULTURAL FACTORS AFFECTING CONSUMER SATISFACTION

Consumer satisfaction deals with the study of buying satisfaction of consumers. Consumer
satisfaction helps us understand why and why not an individual purchases goods and services
from the market.

There are several factors which influence the buying decision of consumers, cultural factors
being one of the most important factors.

What are Cultural Factors?

Cultural factors comprise of set of values and ideologies of a particular community or group
of individuals. It is the culture of an individual which decides the way he/she behaves. In
simpler words, culture is nothing but values of an individual. What an individual learns from
his parents and relatives as a child becomes his culture.

Example - In India, people still value joint family system and family ties. Children in India
are conditioned to stay with their parents till they get married as compared to foreign
countries where children are more independent and leave their parents once they start earning
a living for themselves.

Cultural factors have a significant effect on an individuals buying decision. Every individual
has different sets of habits, beliefs and principles which he/she develops from his family
status and background. What they see from their childhood becomes their culture.

Let us understand the influence of cultural factors on buying decision of individuals

with the help of various examples.

Females staying in West Bengal or Assam would prefer buying sarees as compared to
Westerns. Similarly a male consumer would prefer a Dhoti Kurta during auspicious
ceremonies in Eastern India as this is what their culture is. Girls in South India wear skirts
and blouses as compared to girls in north India who are more into Salwar Kameez.

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Our culture says that we need to wear traditional attire on marriages and this is what we have
been following since years.

People in North India prefer breads over rice which is a favorite with people in South India
and East India.

Subcultures

Each culture further comprises of various subcultures such as religion, age, geographical
location, gender (male/female), status etc.

Religion (Christianity, Hindu, Muslim, Sikhism, Jainism etc)

A Hindu bride wears red, maroon or a bright colour lehanga or saree whereas a Christian
bride wears a white gown on her wedding day. It is against Hindu culture to wear white on
auspicious occasions. Muslims on the other hand prefer to wear green on important
occasions.

For Hindus eating beef is considered to be a sin whereas Muslims and Christians absolutely
relish the same. Eating pork is against Muslim religion while Hindus do not mind eating it.

A sixty year old individual would not like something which is too bright and colorful. He
would prefer something which is more sophisticated and simple. On the other hand a teenager
would prefer funky dresses and loud colours.

In India widows are expected to wear whites. Widows wearing bright colours are treated with
suspicion.

Status (Upper Class, Middle class and Lower Class)

People from upper class generally have a tendency to spend on luxurious items such as
expensive gadgets, cars, dresses etc.You would hardly find an individual from a lower class
spending money on high-end products. A person who finds it difficult to make ends meet
would rather prefer spending on items necessary for survival. Individuals from middle class
segment generally are more interested in buying products which would make their future
secure.

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SOCIAL FACTORS AFFECTING CONSUMER SATISFACTION

Consumer Satisfaction is an effort to study and understand the buying tendencies of

consumers for their end use.

Social factors play an essential role in influencing the buying decisions of consumers.

Human beings are social animals. We need people around to talk to and discuss various
issues to reach to better solutions and ideas. We all live in a society and it is really important
for individuals to adhere to the laws and regulations of society.

Social Factors influencing consumer buying decision can be classified as under:

Reference Groups
Immediate Family Members
Relatives
Role in the Society
Status in the society

1. Reference Groups

Every individual has some people around who influence him/her in any way.
Reference groups comprise of people that individuals compare themselves with.
Every individual knows some people in the society who become their idols in due
course of time.

Reference groups are generally of two types:

a. Primary Group - consists of individuals one interacts with on a regular basis.

Primary groups include:

Friends
Family Members
Relatives
Co Workers

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 All the above influence the buying decisions of consumers due to following
reasons:

They have used the product or brand earlier.

They know what the product is all about. They have complete knowledge
about the features and specifications of the product.

Tim wanted to purchase a laptop for himself. He went to the nearby store and
purchased a Dell Laptop. The reason why he purchased a Dell Laptop was
because all his friends were using the same model and were quite satisfied
with the product. We tend to pick up products our friends recommend.

A married individual would show strong inclination towards buying products

which would benefit not only him but also his family members as compared to
a bachelor. Family plays an important role in influencing the buying
decisions of individuals.

A consumer who has a wife and child at home would buy for them rather than
spending on himself. An individual entering into marriage would be more
interested in buying a house, car, household items, furniture and so on. When
an individual gets married and starts a family, most of his buying decisions are
taken by the entire family.

Every individual goes through the following stages and shows a different
buying need in each stage:

Bachelorhood: Purchases Alcohol, Beer, Bike, Mobile Handsets

(Spends Lavishly)
Newly Married: Tend to purchase a new house, car, household
furnishings. (Spends sensibly)
Family with Children: Purchases products to secure his as well as his
familys future.
Empty nest (Children getting married)/Retirement/Old Age:
Medicines, Health Products, and Necessary Items.

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 A Ford Car in the neighbourhood would prompt three more families to buy the
same model.

b. Secondary Groups - Secondary groups share indirect relationship with the

consumer. These groups are more formal and individuals do not interact with
them on a regular basis, Example - Religious Associations, Political Parties,
Clubs etc.
2. Role in the Society

Each individual plays a dual role in the society depending on the group he
belongs to. An individual working as Chief Executive Officer with a reputed firm is
also someones husband and father at home. The buying tendency of individuals
depends on the role he plays in the society.

3. Social Status

An individual from an upper middle class would spend on luxurious items whereas an
individual from middle to lower income group would buy items required for his/her
survival.

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PERSONAL FACTORS AFFECTING CONSUMER SATISFACTION

Consumer Satisfaction helps us understand the buying tendencies and spending patterns of
consumers. Not all individuals would prefer to buy similar products.

Consumer satisfaction deals with as to why and why not an individual purchases particular
products and services.

Personal Factors play an important role in affecting consumer buying satisfaction.

1. Occupation

The occupation of an individual plays a significant role in influencing his/her

buying decision. An individuals nature of job has a direct influence on the products
and brands he picks for himself/herself.

Tim was working with an organization as Chief Executive Officer while Jack, Tims
friend now a retired professor went to a nearby school as a part time faculty. Tim
always looked for premium brands which would go with his designation whereas Jack
preferred brands which were not very expensive. Tim was really conscious about the
clothes he wore, the perfume he used, the watch he wore whereas Jack never really
bothered about all this.

That is the importance of ones designation. As a CEO of an organization, it was

really essential for Tim to wear something really elegant and unique for others to look
up to him. A CEO or for that matter a senior professional can never afford to wear
cheap labels and local brands to work.

2. Age

Age and human lifecycle also influence the buying satisfaction of consumers.
Teenagers would be more interested in buying bright and loud colours as compared to
a middle aged or elderly individual who would prefer decent and subtle designs.

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 A bachelor would prefer spending lavishly on items like beer, bikes, music, clothes,
parties, clubs and so on. A young single would hardly be interested in buying a house,
property, insurance policies, gold etc.An individual who has a family, on the other
hand would be more interested in buying something which would benefit his family
and make their future secure.

3. Economic Condition

The buying tendency of an individual is directly proportional to his

income/earnings per month. How much an individual brings home decides how
much he spends and on which products?

Individuals with high income would buy expensive and premium products as
compared to individuals from middle and lower income group who would spend
mostly on necessary items. You would hardly find an individual from a low income
group spending money on designer clothes and watches. He would be more interested
in buying grocery items or products necessary for his survival.

4. Lifestyle

Lifestyle, a term proposed by Austrian psychologist Alfred Adler in 1929, refers to

the way an individual stays in the society. It is really important for some people to
wear branded clothes whereas some individuals are really not brand conscious. An
individual staying in a posh locality needs to maintain his status and image. An
individuals lifestyle is something to do with his style, attitude, perception, his social
relations and immediate surroundings.

5. Personality

An individuals personality also affects his buying satisfaction. Every individual has
his/her own characteristic personality traits which reflect in his/her buying
satisfaction. A fitness freak would always look for fitness equipments whereas a
music lover would happily spend on musical instruments, CDs, concerts, musical
shows etc.

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PSYCHOLOGICAL FACTORS AFFECTING CONSUMER
SATISFACTION

Consumer Satisfaction deals with the study of buying satisfaction of consumers.

Let us understand the effect of psychological factors on consumer satisfaction:

Motivation

Nancy went to a nearby restaurant and ordered pizza for herself.

Why did Nancy buy pizza?

Answer - She was feeling hungry and wanted to eat something.

In the above example, Hunger was the motivating factor for Nancy to purchase pizza. There
are several other factors which motivate individuals to purchase products and services. An
individual who is thirsty would definitely not mind spending on soft drinks, packaged water,
juice and so on. Recognition and self-esteem also influence the buying decision of
individuals.

Why do people wear branded clothes?

Individuals prefer to spend on premium brands and unique merchandise for others to look up
to them. Certain products become their status symbol and people know them by their choice
of picking up products that are exclusive. An individual who wears a Tag Heuer watch would
never purchase a local watch as this would be against his image.

Perception

What is Perception?

What an individual thinks about a particular product or service is his/her perception towards
the same. For someone a Dell Laptop might be the best laptop while for others it could be just
one of the best brands available.

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Individuals with the same needs might not purchase similar products due to difference in
perception. Individuals perceive similar situation differently due to difference in the way they
interpret information.

There are three different processes which lead to difference in perception:

1. Selective Attention - Selective attention refers to the process where individuals pay
attention to information that is of use to them or their immediate family members. An
individual in a single day is exposed to numerous advertisements, billboards,
hoardings etc but he is interested in only those which would benefit him in any way.
He would not be interested in information which is not relevant at the moment.
2. Selective Distortion - Consumers tend to perceive information in a way which would
be in line to their existing thoughts and beliefs.
3. Selective Retention - Consumers remember information which would be useful to
them, rest all they forget in due course of time. Michael wanted to purchase a watch
for his wife and thus he remembered the RADO advertisement which he had seen
several days ago.

Learning

Learning comes only through experience. An individual comes to know about a product and
service only after he/she uses the same. An individual who is satisfied with a particular
product/service will show a strong inclination towards buying the same product again.

Beliefs and Attitude

Beliefs and attitude play an essential role in influencing the buying decision of consumers.
Individuals create a certain image of every product or service available in the market. Every
brand has an image attached to it, also called its brand image.

Consumers purchase products/services based on their opinions which they form towards a
particular product or service. A product might be really good but if the consumer feels it is
useless, he would never buy it.

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ROLE OF CONSUMER SATISFACTION IN MARKETING

Consumer Satisfaction refers to the study of buying tendencies of consumers. An individual

who goes for shopping does not necessarily end up buying products. There are several stages
a consumer goes through before he finally picks up things available in the market. Various
factors, be it cultural, social, personal or psychological influence the buying decision of
individuals.

Marketers need to understand the buying satisfaction of consumers for their products to do
well. It is really important for marketers to understand what prompts a consumer to
purchase a particular product and what stops him from buying.

What marketers need to understand?

The psychology of consumers (what they feel about a particular product and their brand on
the whole).

How consumers are influenced by their immediate surroundings, family members, friends,
coworkers and so on.

What a consumer thinks when he goes out for shopping ?

A marketer needs to first identify his target consumers and understand their lifestyles,
psychologies, income, spending capabilities, mentalities to offer them the right product.

Individuals from lower income group would never be interested in buying expensive and
luxurious products. He would first fulfill his basic physiological needs like food, air, water
etc. Trying to sell a Mercedes or a Rado watch to someone who finds it difficult to make ends
meet would definitely be a disaster.

It is really essential for the marketers to understand the needs of consumers. Find out what
they are actually looking for?

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There are ideally two different ways which enable marketers to understand their consumers.

Primary Research
Secondary Research

Primary Research - Primary Research refers to a research methodology where marketers

interact with consumers directly and gather as much information as they can. Information is
generally collected through surveys, questionnaires, feedback forms, interviews etc.

Secondary Research - Secondary Research often refers to relying on information which has
been collected by others at some point of time.

The background and family status of an individual also influence his/her buying satisfaction.

Selling a laptop to an individual who is not much educated would be pointless. Remember
consumers would show interest in your products only if they are of any use to them or their
immediate family members. A low grade worker would never be interested in purchasing
business suits or formal shirts.

It is also important to give complete information to end-users. Do not hide anything from
them. It is not ethical. All tobacco products come with a warning. Individuals should be
familiar with not only the benefits but also the side effects of the products.

Marketers must also take into account:

Age group of consumers

Geographical location
Lifestyle of consumers
Social Status of consumers

Funky designs, loud colours would be a hit among teenagers whereas middle aged and
elderly people would prefer subtle colours and sophisticated designs.

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 CHAPTER 3

COMPANY PROFILE

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INDUSTRY PROFILE:

INDIAN TELECOM INDUSTRY

The Cellular Operators Association of India (COAI) was constituted in 1995 as a registered,
non-profit, non-governmental society dedicated to the advancement of communication,
particularly modern communication through Cellular Mobile Telephone Services. With a
vision to establish and sustain a world-class cellular infrastructure and facilitate affordable
mobile communication services in India, COAI main objectives are to protect the common
& collective interests of its members.

The telecom industry is governed under National Telecom Policy -1999

The first GSM call was made in 1996 on Bharti Cellular Network in New Delhi.

SMS service started in the year 2000. India presently follows a CPP model, whereby calling
party pays. Incoming calls were made free since April 1, 2002 and that has substantially
boosted the subscriber growth rate. In India GPRS is widely offered by major operators. BPL
was the first operator to launch GPRS in India, followed by Airtel, Hutch and Idea.

The Indian Telecommunications industry is divided into four Service

segments:

Basic Services (Conventional Fixed line + CDMA Fixed line)

Mobile (GSM + CDMA)

National Long Distance (NLD) or Subscriber Trunk Dialing (STD)

International Long Distance (ILD)

ILD Voice over internet (VoIP)

The entire country is divided into Telecom License Zones known as Circles.

Licenses are awarded to the operators as per the circles, not as per the states.

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OUT LOOK

The recent tariff cuts announced by various telecom operators would affect the bottom line of
these companies. The companies that are unequipped to match up with the competition and
does not have economies of scale would lose out in this race. Smaller players might find
difficult to be in the business and may merge with big players leading to consolidation in the
industry. Hike in foreign direct investment (FDI) from 49% to 74% had hit roadblock due to
political indifference and security concerns expressed by intelligence bureau. This would
block cross border mergers in coming periods.

COMPANY PROFILE

ABOUT VODAFONE ESSAR LIMITED

Vodafone Essar in India is a subsidiary of Vodafone Group Plc and commenced operations in
1994 when its predecessor Hutchison Telecom acquired the cellular license for Mumbai.
Vodafone Essar now has operations in 16 circles covering 86% of Indias mobile customer
base, with over 34.1 million customers*.

Over the years, Vodafone Essar, under the Hutch brand, has been named the 'Most Respected
Telecom Company', the 'Best Mobile Service in the country' and the 'Most Creative and Most
Effective Advertiser of the Year'. Vodafone is the world's leading international mobile
communications company. It now has operations in 25 countries across 5 continents and 40
partner networks with over 200 million customers worldwide. Vodafone has partnered with
the Essar Group as its principal joint venture partner for the Indian market.

The Essar Group is a diversified business corporation with interests spanning the
manufacturing and service sectors like Steel, Energy, Power, Communications, Shipping &
Logistics and Construction. The Group has an asset base of over Rs.400 billion (US$ 10
billion) and employs over 20,000 people.

*Figures from Cellular Operators Association of India, August 31, 2007.

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HUTCH IS NOW VODAFONE 19 SEPTEMBER 2007

September 19, 2007: Vodafone, the worlds leading international mobile communications
company, has fully arrived in India. Vodafone Essar announced that the Vodafone brand
will be launched in India from 21st September onwards.

Vodafone, the worlds leading mobile telecommunication company, completed the

acquisition of Hutchison Essar in May 2007 and the company was formally renamed
Vodafone Essar in July 2007. "This transition is probably the largest brand change ever
undertaken in this country and arguably as big as any in the world. It is even larger than thier
previous brand transitions as it touched over 35 million customers, across 400,000 shops and
thousands of our own and our business associates' employees."

THE TOP MANAGEMENT

Asim Ghosh, Managing Director, Vodafone Essar

Harit Nagpal, Marketing and New Business Director, Vodafone Essar

Samuel Selvakumar, Chief Executive Officer, Vodafone Essar

The Vodafone mission is to be the communications leader in an increasingly connected world

enriching customers lives, helping individuals, businesses and communities is more
connected by delivering their total communication needs.

Vodafone's logo is a true representation of that belief - The start of a new conversation, a
trigger, a catalyst, a mark of true pioneering.

SERVICE PROFILE

The name Vodafone comes from Voice data fone chosen by the company to reflect the
provision of voice and data over mobile phones.

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 Vodafone services are-
TUNES AND DOWNLOADS
SPORTS AND TRAVEL
NEWS AND UPDATES
FINANCE
CALL MANAGMT SERVICES
DEVOTIONAL
ASTROLOGY
MAIL, MESSAGE, etc.
ENTERTAINMENT
BILL INFO

Vodafone products are-

POST-PAID
PRE-PAID
WORLD CALLING CARDS
HOME CALLING CARDS
VODAFONE -HANDY PHONES
VODAFONE- PCO

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AT A GLANCE

At Vodafone India, our customers are at the heart of everything we do. Thats why over 210
million Indians have chosen to stay connected with us.

Our knowledge of global best practices along with our deep exposure to local markets has made
us leaders in the telecommunications industry. Since commencing operations in 2007, we have
consistently been awarded for our best-in-class network, powerful brand, unique distribution and
unmatched customer service. Whether an individual or enterprise, our customers always receive
world-class services that cater to their needs.

Vodafone Group Vision

Our Vision is to be the communication leader in an increasingly connected world.

Meet our MD & CEO and our strategic leadership team.

Sunil Sood Balesh Sharma

Managing Director & CEO Chief Operating Officer

Vodafone India Ltd. Vodafone India Ltd.

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Thomas Reisten Kumar Das

Chief Financial Officer General Counsel

Vodafone India Ltd. Vodafone India Ltd.

Nick Gliddon P Balaji

Director Vodafone Business Director Regulatory, External

Services Affairs & CSR
Vodafone India Ltd. Vodafone India Ltd.

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 CHAPTER 4

DATA ANALYSIS

AND

INTERPRETATION

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Q.1 How did the product perform in terms of quality?

Options % of the respondents

Miserably 3%

Somewhat Satisfactory 15%

Satisfactory 22%

Delightful 60%

Table No. 4.1: The product performs in terms of quality.

% of the respondents

3%

15%
Miserably
22% Somewhat Satisfactory
60%
Satisfactory
Delightful

Figure No. 4.1: The product performs in terms of quality.

INTERPRETATION:

The above table shows that 60% respondents said the product was delightful in quality, 22%
respondents said the product was satisfactory in quality, 15% respondents said the product was
somewhat satisfactory in quality.

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Q.2 How did the product perform in terms of purchase experience?

Options % of the respondents

Miserably 5%

Somewhat Satisfactory 10%

Satisfactory 15%

Delightful 70%

Table No. 4.2: The product performs in terms of purchase experience.

% of the respondents

5% 10%
15% Miserably
Somewhat Satisfactory
70% Satisfactory
Delightful

Figure No. 4.2: The product performs in terms of purchase experience.

INTERPRETATION:

The above table shows that 70% respondents said the product was delightful in quality, 15%
respondents said the product was satisfactory in quality, 15% respondents said the product was
somewhat satisfactory in quality.

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Q.3 How did the product perform in terms of value?

Options % of the respondents

Miserably 2%

Somewhat Satisfactory 18%

Satisfactory 22%

Delightful 58%

Table No. 4.3: The product performs in terms of value.

% of the respondents

2%

18%
Miserably

58% 22% Somewhat Satisfactory

Satisfactory
Delightful

Figure No. 4.3: The product performs in terms of value.

INTERPRETATION:

The above table shows that 58% respondents said the product was delightful in quality, 22%
respondents said the product was satisfactory in quality, 18% respondents said the product was
somewhat satisfactory in quality.

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Q.4 How did the product perform in terms of aftersales service?

Options % of the respondents

Miserably 8%

Somewhat Satisfactory 4%

Satisfactory 18%

Delightful 70%

Table No. 4.4: The product performs in terms of aftersales service.

% of the respondents

4%
8%
18% Miserably
Somewhat Satisfactory
70% Satisfactory
Delightful

Figure No. 4.4: The product performs in terms of aftersales service.

INTERPRETATION:

The above table shows that 70% respondents said the product was delightful in quality, 18%
respondents said the product was satisfactory in quality, 4% respondents said the product was
somewhat satisfactory in quality.

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Q.5 Overall, how satisfied were you with the product?

Options % of the respondents

Not At All Satisfied 2%

Somewhat Satisfactory 4%

Satisfactory 54%

Delightful 40%

Table No. 4.5: Satisfactory level of customers.

% of the respondents

2% 4%

40% Not At All Satisfied

Somewhat Satisfactory
54%
Satisfactory
Delightful

Figure No. 4.5: Satisfactory level of customers.

INTERPRETATION:

The above table shows that 40% respondents said the product was delightful in quality, 54%
respondents said the product was satisfactory in quality, 4% respondents said the product was
somewhat satisfactory in quality.

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Q.6 Based on your experience with product, how likely are you to buy product again?

Options % of the respondents

Definitely Will 65%

Probably Will 10%

Might Or Might Not 13%

Probably Will Not 7%

Definitely Will Not 5%

Table No. 4.6: Opinions for purchasing the product again.

% of the respondents

7% 5%
13% Definitely Will
Probably Will
10%
65% Might Or Might Not
Probably Will Not
Definitely Will Not

Figure No. 4.6: Opinions for purchasing the product again.

INTERPRETATION:

The above table shows that 65% of respondents definitely will try other products, 10%
respondents will probably try, 13% might or might not try.

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Q.7 Overall, the quality of companys sales organisation service is?

Options % of the respondents

Poor 2%

Fair 8%

Good 15%

Very Good 25%

Excellent 50%

Table No. 4.7: The quality of companys sales organisation service.

% of the respondents
2%

8%
15% Poor
50%
Fair
Good
25% Very Good
Excellent

Figure No. 4.7: The quality of companys sales organisation service.

INTERPRETATION:

The above table shows that 50% of respondents said excellent, 25% respondents said very good,
15% said good quality of companys sales organisation service is being provided.

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Q.8 Based on your experience with this product, how likely you are to try other products of
the company?

Options % of the respondents

Definitely Will 60%

Probably Will 10%

Might Or Might Not 17%

Probably Will Not 10%

Definitely Will Not 3%

Table No. 4.8: Attempts to try other products.

% of the respondents
3%

10%
Definitely Will
17%
Probably Will
60% Might Or Might Not
10%
Probably Will Not
Definitely Will Not

Figure No. 4.8: Attempts to try other products.

INTERPRETATION:

The above table shows that 60% of respondents definitely will try other products, 10%
respondents will probably try, 17% might or might not try.

39 | P a g e
Q.9 Based on your experience with this product, how likely you are to recommend the
product to your friends and family?

Options % of the respondents

Definitely Will 62%

Probably Will 18%

Might Or Might Not 7%

Probably Will Not 10%

Definitely Will Not 3%

Table No. 4.9: How likely the product is recommended.

% of the respondents
3%

10%
7% Definitely Will
Probably Will
18%
62% Might Or Might Not
Probably Will Not
Definitely Will Not

Figure No. 4.9: How likely the product is recommended.

INTERPRETATION:

The above table shows that 62% of respondents definitely will try other products, 10%
respondents will probably try, 7% might or might not try.

40 | P a g e
Q.10 Based on your experience with this product, how likely will you rank your overall
satisfaction with the purchase and product?( 1 means least satisfied and 10 means most)

Options % of respondents

1-2 4%

3-4 12%

5-6 7%

7-8 17%

9-10 60%

Table No. 4.10: Ranking of the purchase and product.

% of respondents

4%
12%
7% 1 to 2
3 to 4
60% 17% 5 to 6
7 to 8
9 to 10

Figure No. 4.10: Ranking of the purchase and product.

INTERPRETATIONS:

The above table shows that 60% respondents ranked 9-10, 17% respondents ranked 7-8, 12%
respondents ranked 3-4 to their overall purchase and product satisfaction.

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 CHAPTER 5

RECOMMENDATIONS

AND

CONCLUSIONS

42 | P a g e
RECOMMENDATIONS

Vodafone is providing very good service to its customers and it is one of the best service
providers for telecommunication, it has to make use of its resources optimally.
In addition to implementing the suggestions given by customers, Vodafone should follow
the following steps to maximize profits, by means of customer satisfaction in an effective
manner.
Respondents suggest that overall service is not satisfactory and not meeting the customer
expectations or satisfaction level.
Network is the main factor for customer dissatisfaction, majority of the respondents
suggested to increase the number of towers ,widen the coverage to villages and network
congestion.
The tariffs have to be consistent for quite some time in order to avoid the confusion
among subscribers.
More quickly accessible contact numbers for customer care (increase no of lines)
promote them in order make the user aware of the facility.
Provide subsidized rates for calling or messaging to one or two numbers of our choice.
Provide good plans, schemes, and packages in order to have the customer with wide
choice.
Keep the subscriber well informed about any deductions or any change in the plan and
provide the value for what the customer is paying for.
Customers grievances should be dealt more quickly and immediately.

43 | P a g e
CONCLUSION:

Now buying mobile is not a rich mans possession any more. The mobile industry is on
whopping high. With various technologies creeping in every day you always are on a back seat
to keep your self-updated. With a major chunk of the users being teenagers it makes the situation
more dynamic and he helps to create a niche market in itself.

Looking at the trends in mobile segment, the growth is tremendous. Various cellular providers
try to be innovative in providing value added services to the subscribers. If the demand is rising
in the same pace then it is sure that the subscriber base of the mobile users will definitely exceed
the limit of the land line subscribers.

This report helps in knowing the consumer satisfaction of the Vodafone subscribers and what
perception customers have about the brand Vodafone . With its report company can capture its
loose pools or weaknesses and convert them in to their strengths and opportunities.

From the above study we come to the conclusion that in case of parameters of selection,
customer or subscriber will first look at the tariffs, network coverage and then other parameters.
The subscribers also expect the company to give in detail information of the service they are
availing.

An effective sales person has to be employed in order to influence the buyer decision.

The company should have exciting offers with the service they provide

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LIMITATIONS OF THE STUDY:

The limitations of the study are as follows:

Sample size of the subscriber is limited.

Many subscribers do not give the exact picture of their opinion.
The time period for conducting the survey is inadequate as the sample size covers only
Bangalore city.
One subscriber may have more than one connection.
The opinion of the subscriber depends on the geographical location of the subscriber this
may include the network of the provider.
Since its a prepaid service it may be temporarily be used.
Since most of the subscribers are teenagers it fails to give a general view of other age
groups.

45 | P a g e
 BIBLIOGRAPHY

46 | P a g e
 BIBLIOGRAPHY

BOOKS

Johnson & Scholars, "Exploring Corporate Strategy", Prentice Hall of India, New Delhi,
4th Edition, 2008.
Kotler Philip, "Marketing Management" Prentice Hall of India ,New Delhi, 4th Edition ,
2006,
Wilson & Gilligan, "Strategic Marketing Management" Viva Books Private Limited,
New Delhi, 6th Edition, 2008.
Kothari C.R., research methodology, new age publication house, New Delhi, (5nd
edition), 2004.

WEBSITES

www.vodafone.com
www.wikipedia.com

www.strategy-business.com

47 | P a g e
 ANNEXURE

QUESTIONNAIRE

48 | P a g e
Q.1 How did the product perform in terms of quality?

(a) Miserably
(b) Somewhat Satisfactory
(c) Satisfactory
(d) Delightful

Q.2 How did the product perform in terms of purchase experience?

(a) Miserably
(b) Somewhat Satisfactory
(c) Satisfactory
(d) Delightful

Q.3 How did the product perform in terms of value?

(a) Miserably
(b) Somewhat Satisfactory
(c) Satisfactory
(d) Delightful

Q.4 How did the product perform in terms of aftersales service?

(a) Miserably
(b) Somewhat Satisfactory
(c) Satisfactory
(d) Delightful

49 | P a g e
Q.5 Overall, how satisfied were you with the product?

(a) Not At All Satisfied

(b) Somewhat Satisfactory
(c) Satisfactory
(d) Delightful

Q.6 Based on your experience with product, how likely are you to buy product again?

(a) Definitely Will

(b) Probably Will
(c) Might Or Might Not
(d) Probably Will Not
(e) Definitely Will Not

Q.7 Overall, the quality of companys sales organisation service is?

(a) Poor
(b) Fair
(c) Good
(d) Very Good
(e) Excellent

Q.8 Based on your experience with this product, how likely you are to try other products of
the company?

(a) Definitely Will

(b) Probably Will
(c) Might Or Might Not
(d) Probably Will Not
(e) Definitely Will Not

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Q.9 Based on your experience with this product, how likely you are to recommend the
product to your friends and family?

(a) Definitely Will

(b) Probably Will

(c) Might Or Might Not

(d) Probably Will Not

(e) Definitely Will Not

Q.10 Based on your experience with this product, how likely will you rate your overall
satisfaction with the purchase and product?

(a) 1-2

(b) 3-4

(c) 5-6

(d) 7-8

(e) 9-10

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