Malay Bataviya Roll No. 05

Introduction• Joint venture between Telenor(67.25%) and Unitech

Group(32.75%)

• Started Mobile services in India in December 2009 focusing on the GSM technology.

• India’s 8th nation-wide mobile operator operating in 8 out of 22telecom circles in the country.

• Hub Head Offices at Delhi, Kochi, Chennai, Bangalore, Hyderabad,Kolkata, Patna, Mumbai, Lucknow, Guwahati, Chandigarh, Indore, Gujarat.

4 P’s of marketing Product- Prepaid CDMA and GSM mobile services in 8 circles out

of 22 circles in India.

Price -5% to 60% Discount

Place- 8 circles of 22 Indian telecom circles- in cities like Mumbai, Delhi, Kolkata, Chennai, Hyderabad, Bangalore, Kochi, Noida , Greater Noida, Agra, Lucknow, Varanasi, Gurgaon and Ghaziabad.

Promotion- Slogan- ‘Ab mera number hai’ Brand Ambassador- Young, Energetic, Ambitious

youth

Segmentation

o Youth centric

o Migrant labor

o High STD

o Chat & Browse

Promotion Product Promotion• Creative strategy- Informational with Positive appeal

‘Pride’• Slogan- ‘Ab mera number hai’• Advertising in Hindi, Kannada, English and many

more Indian regional languages.• The series of television ads (by creative agency Leo

Burnett) show 'young people in real-life situations’ rather than models or celebrities.

Contd…

• Even the outdoor campaign show young, ambitious, real people looking for challenges, wanting to make things happen.

• The company has around 2 lakh retail points across the country, including rural areas, apart from 50 company-owned stores.

• Innovational promotion in small towns.

Targeting• The company is targeting for 8% market share in India

by 2018.

• The country will have over 1.2 billion customers by 2018 as against 540 million now.

• Thus Uninor is targeting for 80 million customers by 2018.

• Break-even in 3 years

• Positive operating cash flow within 5 years in India.

Contd…

• Targeting youth as well as all the ambitious people.

• Selective specialization targeting strategy

• First priority is to roll out across the country; a credible market share can be built only after that. They hope to launch across the entire country by the end of the year

Opportunities

• Multi SIM market• Migrants & youth• Approximately 10-15 million mobile connections are

being added every month. The national mobile tele-density is about 39 per hundred, Urban areas-75 (in Mumbai), but Rural areas-13 & penetration is 44%

• Falling handset prices and tariff rates.• Increasing network distribution.

Challanges

• Brand Building• Clutter market with intense competition• Bloodbath in the market due to price war.• Extensive Government regulations through

TRAI as regards introduction of new services.• Product can be imitate without no time• Coverage- Limited width & Depth• Late entry with already having 13 player

Market Share Market leader (Vodafone & Airtel) covered almost

91% market

o VodafoneMarket share: 32%Revenue : 41%

o Uninor Market share: 0.98%Revenue: 0.22%

Research Methodology

Primary Research: Qualitative Research• Focus Group Interview• Observation

Quantitative Research• Questionnaire

Wheel of Consumer Analysis

Behavior Affect

andCognition

Affective responses Model toward Uninor

Type of Affective responses

• Emotions• Specific

Feelings• Moods• Evaluations

Level of Physiological Arousal

Higher arousal and activation

Lower arousal and activation

Intensity/ strength of Feeling

Stronger

Weaker

Note: Out of 5 respondents 1 mark for specific feeing i.e. He is satisfied with the service and 4 mark for evaluation of which 2 rated as favorable, 2 said unfavorable

Characteristics of Affective system

• Largely Reactive - stimulus• Little direct control• Felt physically in body• Virtually any type of stimulus• Learn

Characteristic of cognitive system

• Activation• Unconscious• Spreading activation• Limited capacity• Automatic Processing

Knowledge

General Knowledge (Schemas)

Episodic Semantic

Procedural Knowledge

Script

Semantic knowledge

• New player• Highest discount provider• Unclarity about the discount at different time

& location with respect to traffic on tower• Too much marketing• Showing young people in the ad.

Method of identify key attributes by consumer (Focus Group Interview)

R) Please tell me what characteristics you usually consider when deciding which brand of mobile card to purchase?

C) Call rates, Message scheme, Network, Recharge convenience

Contd..R) Here are several brand of mobile service provider like Vodafone,

Airtel, Idea, Reliance, Docomo, Videocon and Uninor. Please describe what each mean to you. I want you to sort them into group using any basis you wish.

C) Vodafone

AirtelIdea

DocomoVideocon

UninorReliance

High end customer service & good network (1800MV)

Between

Low call rates and good schemes & offers

Contd..

R) Assume that you are thinking of buying a mobile card. In what important way two of these similar and different from the third?

C) First two assortment is more or less similar in way that they give good service but relatively charge high where as the third group where high discount/ lower call rates and scheme has been given.

Laddering

R) You said that having high discount/ lower call rate and scheme are important in deciding what brand to buy. Why is it that?

C) Charge less so more affordable (Functional consequences)R) Why having low charge per call is important to you?C) Save cost and less number of time I need go and recharge balance

(Functional consequences)R) Why Save cost and less number of time need go and recharge

balance are important to you?C) With less balance also I can talk for a long with my friends and

family (Psychosocial consequences)R) Why talk for long with friends and family is important to you?C) I feel relax and enjoy after talk to them (Value – end goal)

Means-end framework

Attribute

Functional consequences

Psychosocia

l consequenc

es

Values

Dynamic pricing

Highest Discount & save

cost

I can talk for long with my friends

and family

I feel relax and

enjoy

Consumer cognitive process involved in interpretation

Exposure to environmental information

Interpretation Process- Attention- Compensation

Knowledge, meaning, and belief

Integration process-Attitude & Intention- Decision making

Behavior

1. Affective state2. Involvement3. Environment

Prominence

Meaning is not inherent in the stimuli itself, consumer construct meaning

Belief towards the Uninor

Uninor provide “Badlta Hua plan”It provide maximum discountCall rate is lowestGood networkConvenient recharge availableIt offers good schemes

The Fishbein’s Multiattribute Model

Belief strength Bi1) How likely It provide

maximum discount 92) How likely it has lowest call

rate? 83) How likely it has good

network? 54) How likely it Convenient

recharge available ? 7

Note: unlikely 1 2 3….. 10 likely

Belief evaluation Ei1) It has maximum discount. 22) It has lowest call rate. 23) It has good network?. 04) It Convenient recharge

available 1

very bad -3 -2 -1 0 1 2 3 good

The Fishbein’s Multiattribute Model

Ao = ∑biei

Ao = 9 (2) + 8 (2) + 5 (0) + 7 (1) = 41

Belief towards the Vodafone

Very strong brandBest NetworkMarket leaderVery creative adVodafone recharge available at every near by

areaVodafone have a strong base of brand of HutchCharge high but give value to money

The Fishbein’s Multiattribute Model

Belief strength Bi1) How likely it provide value to

money 92) How likely it Best Network 103) How likely it Very strong

brand with market leader? 104) How likely recharge available

at every near by area? 10

Note: unlikely 1 2 3….. 10 likely

Belief evaluation Ei1) It provide value to money 22) It has Best Network. 33) It has Very strong brand with

market leader. 34) It Convenient recharge

available 3

very bad -3 -2 -1 0 1 2 3 good

The Fishbein’s Multiattribute Model

Ao = ∑biei

Ao = 9 (2) + 10 (3) + 10 (3) + 10 (3) = 108

Cognitive process model of consumer decision making

Exposure to environmental information

Interpretation Process-Attention- Compensation

Knowledge, meaning, and belief

Integration process-Attitude & Intention- Decision making

Behavior

Memory

Stored knowledge, meanings & beliefs

A Generic Model of consumer problem solving

Problem recognition

Search for alternative

Evaluation of alternatives

Purchase

Post purchase

Basic motivation- Best Pdt. & Optimize satisfaction

End goal- Obtain desired value satisfaction

Goal hierarchy- More complex hierarchy

Consideration set- Several alternatives known & considered

Choice criteria- wide range of pdt. knowledge

Decision heuristics- Use many search & Decision heuristics

Level of involvement and product knowledge

High involvement High Knowledge

Mobile card

Limited (Moderate) problem solving

The Process of Classical Conditioning

Unconditioned stimulus

Unconditioned response

Unconditioned stimulus

Neutral Response

Unconditioned response

Conditioned response

Conditioned response

Some marketing tactics with classical conditioning principles

Unconditioned or previously conditioned stimulus

Conditioned stimulus Example

Exciting Event A pdt. Or theme song Uninor Uthrive Talent Ki Tsunami activation

Patriotic events or music A Pdt. Or person Navratri

Conditioning response to new stimuli

Use of familiar stimuli to elicit responses

Conditioned stimulus Conditioned responses Example

Familiar social cues Felling of friendship & love Television ads depicting calls from family or close friends

Familiar cues Excitement, attention, anxiety

Wishing Jiju on birthday

Strategies designed to influence overt consumer behavior

Type of strategy Strategic focus Sample StrategiesAffective Consumer emotion,

feeling, mood, evaluation

Classical conditioning emotion to product (Ab Mera Number Hai)

Cognitive Consumer knowledge, meaning & belief

Providing information highlighting competitive advantage (360 degree branding)

Behavior Consumer overt behavior

Positive reinforcement desired behavior (Dynamic pricing)

Combined More than one of the above

Information about the product with emotional tie-ins & rebates

Flow of influence in the social environment

Culture

Subculture

Social classOrganization

Reference group

FamilyMedia

Individual consumers

Promotion in different language

Relationship with dealers

by tilak

The Physical Environment

1. Spatial elements include all physical object of all types (including products & Brand)

2. Nonspatial include intangible factor like temperature, noise level etc.. Main Three factor time, weather, lighting

Physical Environment can be changed by:A. Promotion strategy – 360 degree brandingB. Product strategy – Special scheme for STD and heavy usersC. Distribution strategy – In short time they cover so many dealers, Lighting boards of Uninor to retailers, Profit Sharing to retailers rather than on commission baseD. Pricing Strategy – Dynamic pricing with lowest call rate

Cultural Process Model

Cultural Meanings in Social And physical environment

Culture meaning on Products and Services

RitualsAcquistion

Possession

Exchange

Grooming

Cultural meaning in consumers

Social Interactions Intentional Actions

Marketing Stg. Fashion SystemOther Institutions

Nurturing Personalization Divestment

Core values in India

• Humanitarianism • Relation- Uninor TVC in different language • Sharing• Hard work- “Ab Mere Number Hai” (Projecting we

are for every one want to achieve ambitions)• Patriotic• Respecting elder• Youth country- projecting normal youth in ads

Marketing Strategy adopted by Uninor

• 360 degree branding

Culture meaning on Products and Services

1) Acquisition Rituals a) Ambitious – “Ab Mere Number Hai b) Bargaining Ritual – Got Good Deal

2) Possession Ritual a) Call everyone that this is my new no.

3) Divestment Ritual a) Some special SIM even not destroy after

purchasing new one.

Cultural meaning in consumers

Market SegmentationAnalyze consumer-product relationship

Investigate segmentation bases

Develop product positioning

Design marketing mix strategy

Segmentation Bases for consumer market

Segmentation Bases

Behavioral Segmentation

Usage rate

User status

Usage situation

Combined Approach

Psychographics

Person

Type of Affective Response

Promotion Behavior

- Information contact

- Word of Mouth

Communication

Promotion Affect andCognition- Attitude

toward ad & persuasion

process

A General Model of the communication process for promotion

Source-Manufacturer- Promotion manager- Ad agency-

MessageAdvertisement- Sales Prom.- Personal Selling- Publicity

Transmission- Media: TV, Magazine, in-storeIn-Home, telephone- News paper

Receiver- Consumer

Action- Consumer

Goals of promotion communication

• Consumer must have a recognized need for need for the product category or product form

• Consumer must be aware of brand• Consumer must have a favorable brand attitude• Consumer must have an intention to purchase the

brand• Consumer must perform various behaviors to

purchase .

Elaboration Likelihood Model Exposure to persuasive communication

Higher Involvement with product or message

AttentionFocus on “Central” product related informationComprehension

-Deeper thoughts about Pdt. Attribute & conseq.

- More elaboration Persuasion

- Pdt. Beliefs- Brand attitude

- Purchase Intention

Lower Involvement with product or message Attention

Focus on “Peripheral” (non product) product related informationComprehension

-Shallow thoughts about Pdt. Attribute & conseq.

- Low elaboration Persuasion

- NonPdt. Beliefs-Attitude toward ad

-Band attitude- Brand Intention

Visual in Hoardings &

conceptual ad

Ad related meaning could be activated & create purchase

intention

Persuade consumer to buy

but in indirect manner

“The MECCAS Model”

Driving ForceThe value orientation of theAd. The end goal or value state implied in the ad, but

seldom stated explicitly.

Leverage point

The “hook” that connects the tangible attributes and

consequences to the Intangible personal values and goals

Consumer benefitsThe key benefits

consequences communicatedin the ad—verbally or visually.

Message elementsThe product or brand attributes

communicated in the ad—verbally or visually

ExecutionalFramework

How the ad Communicates the

advertising strategy.All details of the finished

Ad, including models, setting, clothing, other

props, the script or plot,the overall theme, and

the style of the ad

Aspects ofCreative strategy

Elements of Advertising strategy

Relevant levels of a Means-end chain

Terminal or Instrumental value

Psychosocial consequences

Functional consequences

attributes

A Strategic Approach to PricingAnalyze consumer product relationship

Analyze the environment situation

Determine the role of price in marketing strategy

Estimate relevant production & marketing costs

Set pricing objective

Develop pricing strategy and set prices

In terms of consumer cost-Money- Time- Cognitive activity- Behavioral effort

Game on pricing

Fixed cost of setting up tower

Marketing Strategy for desired WOCA

• As far as awareness is concern, they did well and have a strong brand recall but still people don’t connect well with concept

• Aware them about the script of Dynamic pricing strategy because people have too much confusion regarding the pricing

• To track with market 3G licence must require