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Customer Relationship Management of Vodafone India

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Customer Relationship Management of Vodafone India CUSTOMER RELATIONSHIP MANAGEMENT OF VODAFONE INDIA SUBMITTED TO: - T.Thirumal Reddy Asst. Professor SUBMITTED BY: - PRABHAKAR M6-16 About Company Vodafone was formed in 1984 as a subsidiary of Racal Electronics Plc. Then known as Racal Telecom Limited, approximately 20% of the company's capital was offered to the public in October 1988. It was fully demerged from Racal Electronics Plc and became an independent company in September 1991, at which time it changed its name to Vodafone Group Plc. Name VODAFONE comes from “Voice”, “Data” & “Phone”. 2nd largest telecom company in the world (subscriber base) after China Mobile. Vodafone Essar is the Indian subsidiary of Vodafone Group and commenced operations in 1994 when its predecessor Hutchison Telecom acquired the cellular license for Mumbai. The company now has operations across the country with over 85.82 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 group with approximately 315 million proportionate customers as on 30 June 2009. Vodafone currently has equity interests in 31 countries across five continents and around 40 partner networks worldwide. The Essar Group is a diversified business corporation with a balanced portfolio of assets in the manufacturing and services sectors of Steel, Energy, Power, Communications, Shipping Ports & Logistics, and Projects. Essar employs more than 50,000 people across offices in Asia, Africa, Europe and the Americas. Market share of different companies in INDIA Relationship with customers can only be built when the top management is fully committed towards that goal and this feeling can be captured beautifully by the below mentioned quote. “The most valuable brands in the world are those where the customer knows they’re going to get a good experience” - Sir John Bond, Chairman, Vodafone The Vodafone Promise Let’s have a look at the promises that Vodafone makes to its customers • A network you can rely on when you need it • Expert, friendly help and advice – you only have to ask once • When you’re abroad, the services you need will be as easy to use as at home, and you’ll know what you are paying. • New and inspiring solutions to help you make the most of your time. Vodafone Offerings:- Managed mobility services Mobile money transfer Vodafone live Vodafone mobile connect Vodafone connect to friends Vodafone passport Vodafone freedom packs Vodafone media systems CRM VISION & MISSION CUSTOMERS FOR LIFE ! To earn our customers' loyalty, we will anticipate their needs and act to create superior value in their eyes. We want to be known for Consistency Reliability Flexibility Responsiveness Innovative Services We will make this happen in an enriching environment of trust, cooperation and mutual respect. MISSION: - “Passion” VODAFONE CRM PHILOSPHY Involving Customers as Co-innovators CRM STRATEGY Broad CRM Objectives:- - Increased customer satisfaction - Higher use adoption - Revenue growth - Cost reduction - Streamlined business processes 5 point strategy for CRM implementation - Baseline current business processes & goal setting. - Identify the current user experience levels. - Benchmark current state. - Determine gaps & identify initiatives. - Prioritize initiatives & create a structured roadmap. ENRICHING CUSTOMER SERVICE Vodafone is able to offer the right solution to meet the needs of every client, driving measurable improvements in business processes, enabling closer relationships with customers and supporting the achievement of new levels of profitability. CRM SUBPROCESS • Vodafone’s ability to chart out an average life cycle allows it to market different services. It prospects aggressively through advertising. • 2nd stage combines provisioning and verification. Vodafone activates a customer’s account and makes a first rating of the customer based on the application. • Vodafone’s well planned welcome process includes a call informing clients of the Vodafone help line & various value added services. At the end of this stage their first bill is generated. • The first collection marks the start of up-selling and cross selling. Analytical module steps in, CRM has to make every attempt count since clients can only be approached only a fixed number of times. • This stage may see a client wishing to leave. To keep churn down, Vodafone uses retention policies and loyalty processes to bring clients back to the fold. Many clients are won back. CRM ORGANIZATION CULTURE In Vodafone, Custom analytics provide meaningful insight for personalized customer communications & interactions. Now, VODAFONE can: • Identify customers’ value segments • Understand customer needs and preferences • Create targeted marketing & sales campaigns for specific customer segments • Monitor customer responses • Apply experience to future campaigns • Steer customers’ buying behavior VODAFONE’S CUSTOMER STRATEGY IN INDIA VALUED CUSTOMER EXPERIENCE Vodafone has taken advantage of strong presence of Hutch Essar in Metros. It has LEADERSHIP IN CONTRACT SEGMENT. It has STRONG CUSTOMER FOCUS Mass market PREPAID FOCUS : e.g. low value 10/- sachet recharge. Innovative Value Added Services : Easy e-recharge E-recharge using SMS Ringback Tones International Voice & Data Roaming COLLABORATIVE EFFORTS STRATEGY IT PROCESS CULTURE Senior Managers of Vodafone personally supervised the FEEDBACK COLLECTION from customers which they used to prioritize customer related issues, and reinforced the CRM vision of “ANTICIPATING NEEDS & THEREBY CREATING SUPERIOR VALUE”. CRM PROCESS 2nd stage combines provisioning and verification. Vodafone activates a customer’s account and makes a first rating of the customer based on the application Vodafone’s well planned welcome process includes a call informing clients of the Vodafone help line & various value added services. At the end of this stage their first bill is generated. The first collection marks the start of up-selling and cross selling. Analytical module steps in, CRM has to make every attempt count since clients can only be approached only a fixed number of times. This stage may see a client wishing to leave. To keep churn down, Vodafone uses retention policies and loyalty processes to bring clients back to the fold. Many clients are won back. VODAFONE CRM MODEL VODAFONE CRM MODEL Stage 1, Interested: When the person comes to you as a prospect and he / she may or may our product. Stage 2, Invested: This is when the conversion from potential to actual has taken place and the customer has bought the promises made by the company along with the service. Stage3, Committed: Here the customer remains loyal to the company even in wake of competition. Stage4, Engaged: The customer needs to be properly treated and kept happy for him to be attached to the company forever. Stage 5, Embedded: This is achieved generally after 4 years of the first purchase i.e. a company had retained its customers for 4 or more years happily. Of course it varies with product to product but for a mobile operator it would be roughly 3 – 4 years. The steps company is taking to make its customers more satisfied especially after the takeover of Hutch by Vodafone. CRM INFORMATION Custom analytics provide meaningful insight for personalized customer communications & interactions. Now, VODAFONE can: Identify customers’ value segments Understand customer needs and preferences Create targeted marketing & sales campaigns for specific customer segments Monitor customer responses Apply experience to future campaigns Steer customers’ buying behavior Benefits • Intuitive user interface that works the way your people do • Flexibility to support your unique business processes Marketing – Obtain a clearer view of customers, make more informed investments, automate campaign management and increase campaign success Sales – Sales force automation, more informed real-time lead and opportunity management, shorter sales cycle, close more business. Service – Call center and field service management, job scheduling, service reporting and analysis Mobile access – Instant access to customer and activity data, increase productivity and efficiency, delivers more value to customers and improve win rates. Recognizing that different solutions address different levels of organizational complexity, Vodafone uses Oracle Siebel CRM and Microsoft® Dynamics™ CRM to offer the right solution to meet the needs of every client, driving measurable improvements in business processes, enabling closer relationships with customers and supporting the achievement of new levels of profitability Loyalty Program • The Roam and Redeem Outbound Loyalty Programme • Vodafone India is the only Indian operator that participates in Travelling Connects reward program (service that manages customer loyalty for international telecommunication companies). LEAST LOYAL SUBSCRIBERS ARE IN THE FOLLOWING CIRCLES • Mumbai and Delhi Metro, UP East and West, Gujarat, Rajasthan, Andhra Pradesh, Karnataka, Kerala, and Rest of West Bengal (does not include Kolkata Metro) HIGH RETENTION CIRCLES • Loyalty to operators is seen to be higher among lower socio-economic groups, older age groups, and among females. Circles in which subscribers show higher retention levels are Chennai Metro, Haryana, Himachal Pradesh, Punjab, UP East, Rest of Maharashtra (does not include Mumbai Metro),
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