Present Marketing Strategies and Approaches of Vodafone


  • Unit No: 2
  • Level: High school
  • Pages: 14 / Words 3517
  • Paper Type: Assignment
  • Course Code: MC4F12
  • Downloads: 859
Question :

This assessment will cover:

  • Strategies the effective marketing strategy of Vodafone
  • Give all the improvisation of the marketing strategy.
Answer :
Organization Selected : Vodafone


Marketing is the management procedure by which company can move goods and services from the concept to the customers. Moreover, it is the best tool through which company can promote their goods and services in the market area. It is the concept which involves coordination of four elements these are knows as 4P's of marketing: product, price, place and promotion (Bampinas and Panagiotidis, 2016). This assignment is based on Vodafone that is an telecommunication company providing their services at worldwide level. It was founded in 1991 on 16th September as well as products are fixed line telephone, mobile phone, broadband, digital and internet television, IPTV. Moreover, Vodafone have its several competitor one of them is British Telecommunication. Below mention report is going to describe current marketing strategy of Vodafone and its competitor. Along with this, some innovative ideas for improving its present marketing strategies and approaches.


Marketplace of The Organisation and its Marketing Strategy

Overview of Vodafone and its Marketplace -

Vodafone group was introduced in July 17,1984 is a telecommunication company which is headquartered in London. It is predominately in to two regions of Europe and Africa, Middle East and Asia pacific. The firm obtain a spectrum over a range to use high frequencies that furnish to Telecommunication facilities . There are several other products and services also offering by them cable, fibre and metallic brown networks to alter TV ,wideband and voices services. The company's Information technology sector furnish its data centres, client relation capacity, customer billing installation and online communicator (Behrens and Patzelt, 2016). Company is basically serving the multi-national customers through with straightforward sales teams, mediate partners and telesales channels. It's mobile services that is provided by company to its customised who are facultative them to call, text, approach the internet, flow music and ticker videos. Also, it has the range of communicating services considering mobile, video contented, cloud and hosting and internet prescript – virtual private network etc. It has too occupied in carrier services concern. The companies M- Pesa, , a money transferral service, assist a system of about 261,000 causal agent over 10 countries (Vodafone Group PLC (VOD.O). 2018). The company is successful to reach about in 90 countries in fourth generation (4G) roaming network.

SWOT Analysis



  • The Vodafone has diversified geographical portfolio which helps to grab customers at global level from different countries in order to gain better profits.
  • It has an effective network infrastructure which provide support to render accurate service to customers which make them loyal for the brand in terms of ensuring long term benefits.
  • The integration of subsidiaries under Vodafone umbrella which is also beneficial for company.
  • They have superior customer service which facilitate to attract new clients along with retaining the current ones to gain better profit share of market.
  • This company has weak US presence from where precious profit share can be grabbed and enhance business at larger level which is restricted.
  • It has been analysed that there is not presence of given brand in Latin America, many African nations and other markets which restrict in increase customers and sales to grab more market place.
  • It has generated most of the business soley in Europe which prevent to take advantage of globalisation in terms of enhancing brand globally along with achieving better profits.




  • They have an appropriate opportunity to utilise growing emerging trends of growing market in order to enhance business and boosting up profitability in proper manner.
  • It also includes to carrying out effective research and development of fresh mobile technologies for improving client experience and retaining them for long time with brand.
  • They can learn from other companies and modified strategies to establish efficient brand in market in respect of maintaining strong position in market.
  • It is observed that highly competitive market is threat because so many competitors are required to be deal with and maintain brand stability in market which become very difficult to be done.
  • There is another issue of extremely high penetration rate is observed in key European markets.
  • It is still lags behind major competitor in US which can beat by making effective strategies.
  • At last, the threat of this company also includes monetize growth of mobile data.


Overview of British Telecommunication and its Marketplace -

BT Group plc, or British telecommunication was firstly introduced on March 30,2001 is a communication service organisation which involved in marketing fixed – voice facilities, broadband, mobile and television commodity and work. They spread there services into various communication tools which starting from mobile and broadband done to managed web IT and cyber security covering (Shah and, 2017). The company involved in 5 various services are BT Global services, BT business, BT consumer, EE, BT whole sale and Open range five segments. The firm collaboration facilities help customers in change their customers in communicating channels and modify the way they act with their customers, colleagues, partners, and suppliers. It is being involved in fixed voice, networking and broadband services. The company has divided into four divisions including UK, SME, UK Corporate, BT Business solutions. Small companies is done by UK and SME where they supplies which ranges from traders through complex organisations with communication solutions with IT services (BT Group PLC (BT). 2018). BT consumer has fixed voice and broad band supplier in UK. Where an organization offers a different types of devices including telephones,small monitors and set top boxes through with street retailers. Also it offers commercial services for business requiring access to BT sport or connectivity done BT Wi-Fi.

Marketing Strategy –

It is the overall planning done by the marketing department of company for reaching peoples and turning them into the customers of particular goods and services which is offered by the business. Marketing strategy of the organisation involves value proposition of business, key marketing messages, information related to target customers and several other high-level elements. Moreover, it requires proper marketing plan which is an document that outline the types and timing of marketing activities. Vodafone also have its marketing strategy that help them in reaching or attracting peoples and then converting into loyal customers. Marketing strategy is also implemented by its competitor which is British Telecommunication because it is an effective tool that is required for increasing sales and profitability.

Marketing Strategy of Vodafone –

Marketing strategy is the key part of which is related to corporate strategy and it is totally related with designing plans for identifying requirement or wants of customers and meet them in effective manner. Strategy of Vodafone is customer focused and product led, respective organisation is developing latest products and services through using advance technologies (De Mooij, 2018). To keep its leading edge, same organisation is continuously adding value to their offerings as well as packages providing to the customers. For example Vodafone introduced Zoozoo that is an special character introduced specifically for conveying value added services (VAS). It is offering in each of the latest released commercials (Thakur and Workman, 2016). Now-a-days, Zoozoo become so famous and respective enterprise succeeded in its efforts. Apart from this, Vodafone focus on their customers also by providing different packages which can be affordable or in the reach of everyone.

Marketing Strategy of British Telecommunication –

Cost leadership is the marketing strategy utilising by British Telecommunication because it is effectual in gaining share from market and grabbing attention of customers (Karpen, Gemser and Calabretta, 2017). For implementing respective strategy management department of organisation work on reducing or decreasing cost of products not only single range but overall in the portfolio of enterprise. It doesn't mean that organisation will produce goods of inferior quality at comparatively cheap rates because it will result in failure of the strategy. For getting result of this strategy, BT group is producing fine quality products which are acceptable by the customers. Main reason behind utilising cost leadership marketing strategy is that, there is several competitors in market and customers only can attract with the help of low price with fine quality goods and services.

Reason Behind Choosing Marketing Strategy –

Vodafone is choosing customer focusing and product led strategy because it is the best way of attracting people and converting them into loyal customers. Along with this, telecommunication industry is wide and having lots of competition. Due to this, Vodafone is using product led marketing strategy and offering unique as well as innovative products to their existing and potential customers. Whereas, BT group is using cost leadership marketing strategy and reason behind this is to attract people by offering fine quality of goods and services at low rates (Kumar, 2015). There is much competition in telecommunication sector so for remaining in the market, this is essential to implement appropriate strategy.


New or Innovative Idea Which the Organisation Can Applying to Improve its Marketing Strategy and Approaches

Telecommunication sector is wide in nature and it have huge competition so for sustaining in market. Vodafone have to do something new or innovative in their existing marketing strategy (Rogers and Davidson, 2015). Creativity in the existing things is only way through which organisation can attract large number of people and then covert them in loyal customers. Below mention is the innovative idea which Vodafone can apply by implementing Ansoff matrix in their current strategies :-

Market Penetration –

This involves to make effective strategies to improve sales of existing services in present market place in proper manner to maintain profit share. Vodafone has utilised 4G services and penetrated more into data market to become strong competitor in market competition.

Product Development –

It is important because existing things regular utilisation can result in reducing sales and customers interest after sometime (Luchs, Swan and Creusen, 2016). Thus, there is requirement of doing something new or innovative in existing marketing strategies. Vodafone can do product development such as providing network facilities in rural area also and mainly internet because creation of goods which is new or different in characteristics and offering additional benefits to the customers. Respective organisation can develop their products by providing network facilities in area which is not totally developed. Along with this, Vodafone can enhance their internet facilities networks because lots of customers are not happy with their existing facilities. There are five elements of product development which have to be focused by Vodafone which doing innovation :-

Identification of Design Criteria –

In this step, idea related to developing network facilities in rural area specially internet has been identified and formal goods development strategy can be implemented.

Idea Analysis –

In second step, market research is conducted and concept studies are considering for determining the network developing in rural area is feasible for Vodafone in the context of their customers and overall business (Mummalaneni, 2014).

Concept Genesis –

At this stage, identified opportunities related to developing network in rural area and then turning into an tangible concept.

Prototyping –

It includes creating a rapid prototype for the concept of product which has been analysed to have business relevance and value. In this, model related to product development are applied quickly instead of refining model and marking them for later on.

Product Development –

This is the last stage, it involves ensuring that network developing in rural area help Vodafone in adding value to their business activities.

Market Development –

The market development strategy can be described about to promote current product in new market to grab more market share through attaining new customers from different countries in terms of enhancing business. In context of Vodafone, they put efforts in developing more services and rural data marketing to grab more market share.

Diversification –

This can be explained as to introduce fresh product in new market area for grabbing the relevant client towards brand effectively which helps to achieve better profits. The given company provides better facilities to people and premium offers to them which are relevant to data.

Opportunity Cost -

It refers to value, profit and benefit of something that should be provided to achieve or acquire something else. These are fundamental cost and used in the computing cost benefit analysis of profit. It represents advantages to a person, business and investors when selecting one alternative over the other. When Vodafone is using product development market strategy at that time their opportunity cost is product differentiation.

There is requirement of proper planning for implementing of something new or innovative in the Vodafone. While choosing one creative idea for existing marketing strategy there are few other which is loosing by the respective organisation. These are opportunity cost for them. For instance, Vodafone is using product development for innovating their existing customers focusing and product led marketing strategy (Nguyen and Pearce, 2015). Several other are loosing by them such as customer relationship, new advertising, brand opportunity and so on. Thus, these are opportunity cost for the Vodafone.

PESTEL Analysis

Political Factor –

This can be described about government rules and regulations which plays an important role while conducting business these are mandatory to be follow strictly in proper manner. In case of Vodafone, it is required that thoroughly analyse democratic and stable system of particular country because it should be suitable for conducting business successfully.

Economic Factor –

The economic factor basically includes interest rate, taxation, inflation, growth rate, GDP and many more relevant factors which plays an important duty at the time of establishing business sin specific area. Vodafone company should evaluate suitability about these factors because it impacts on demands and profitability of business which is essential for growth of the same.

Socio-Cultural Factor –

This can be explained as ethical norms, cultural values and social rules which are required to be followed as they strongly impact on perception of customers about brand. In context of Vodafone, they should put efforts to modify product attributes and improving customer’s confidence or interest in online shopping by making them aware about the same.

Technological Factor –

This involves different technological strategies which provide support to boost up productivity as well as profitability of business on regular basis. Vodafone is required to put efforts to improve internet services and they can utilise high PC & broadband diffusion which provide support to increase internet based sales appropriately.

Ecological and Environmental Factor –

This can be described as to conduct business operations by taking care of natural environment in terms of putting efforts to reduce related problems like pollution, ozone depletion and global warming. In case of Vodafone, they should use renewable resources, increase preference to green products and enhance brand with CSR.

Legal and Regulatory Factor –

The legal factors include various legislation, Acts and regulation made by government authorities are required to be followed by every organisation. Vodafone should obey every rules properly relevant to high taxation, equity Acts, health & safety act and so on.

Porter’s Five Forces Model

Threat of New Entrants –

This involves the new business concerns in market with similar concept of services like Vodafone which create problem to maintain position in market competition. It is necessary for the given company to make effective strategy to avoid negative impacts of new entrants of the same.

Power of Suppliers –

The monopoly of suppliers will create problem when they increase their cost of raw material which turns into loss for Vodafone because overall cost of production get increased and profit get reduced.

Power of Buyers –

This involves availability of various brand of specific product generate power of buyers as they have options to be selected then they will bargain to reduce price of service. Moreover, customers can change brand which is loss of business and decreasing price of product is also reducing profit so that it should be solved by establishing effective strategy.

Existing Industry Competitors –

This involves to apply changes in product of Vodafone with the help of appropriate tactics to retain strong position in market among various competitive organisations like BT Group, China mobile, Verizon, China Telecom, Nippon, Softbank telecom and so on.

Threat of Substitutes –

This can be described about substitute product which can replace the product of company and people will prefer the substituted services. Vodafone should make their facilities much effective so that customers will select its own products only by avoiding others to grab better profit share in market successfully.

Also read:- Marketing Essentials on Beauty Giant


For the above mention report, it has been recommended that Vodafone is the telecommunication sector organisation which is highly competitive. So for gaining marketing advantages, respective organisation have to provide unique products and services to their customers as this will result in attracting people and converting them into loyal customers. Along with this, they have to provide network services in the rural or undeveloped area which will also because several people are facing network problem. Most important is that Vodafone have to improve their internet facilities so that they can provide better services to the existing as well as potential customers. Apart from this, there is huge competition in the respective industry and Vodafone have several competitors. Thus, for gaining competitive benefits, the same company have to utilise cost leadership marketing strategy because this is the only way through which enterprise can attract large number of customers. Apart from this, Vodafone is doing innovation related to development of products so they can easily beet their competitors like BT Group. Get more details about online assignment help from our experts.


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