Summer Internship Report

On

“STRATEGIES TO INCREASE SALES IN DELHI”

By

Karan Khanna
A0102209066
MBA (M&S) Class of 2011

Under the Supervision of

My faculty Guide

In Partial Fulfilment of Award of Master of Business

Administration

AMITY BUSINESS SCHOOL

AMITY UNIVERSITY UTTAR PRADESH
SECTOR 125, NOIDA - 201303, UTTAR PRADESH,
INDIA
2010
 ACKNOWLEDGEMENT

An understanding study like this is never the outcome of the efforts of a single person
so I would like to express a word of thanks to all those whose sincere advice and
information made my training period an educative and informative one. I would
hence like to take this opportunity to thank Mr. Gaurav Bhateja, Prepaid Head,
Vodafone (Delhi), for allowing me to work on project “Strategies to Increase Sales in
Delhi (Wake up SID – Slums in Delhi)”. At the same time, I would also like to extend
all my gratitude to Ms Anita Venaik, my faculty guide in college who was always
ready to help me with her valuable guidance and support.
I would also like to take the opportunity to specially thank Mr. Rahul Jha, Assitant
Manager, Sales and Mr. Kapil Sahai, Distribution Head (Delhi), for assisting me with
different kinds of information that helped me immensely to carry out this project
successfully in a team. His patience with me as an intern was remarkable. Without his
invaluable support, guidance and co-operation, my internship project would not have
been possible.

Karan Khanna
MBA – M&S
Enroll. No. – A0102209066
BATCH- 2009-2011
 AMITY UNIVERSITY UTTAR PRADESH
AMITY BUSINESS SCHOOL

DECLARATION

I, Karan Khanna student of Masters of Business Administration from Amity Business

School, Amity University Uttar Pradesh hereby declare that I have completed
Summer Internship on “Strategies to increase Sales in Delhi (Wake up SID – Slums
In Delhi)” as part of the course requirement.

I further declare that the information presented in this project is true and original to
the best of my knowledge.

Date: 15/07/2010
Karan Khanna

Enroll. No: A0102209066

MBA – M&S

(2009-2011)

Place: Noida
 AMITY UNIVERSITY UTTAR PRADESH
AMITY BUSINESS SCHOOL

CERTIFICATE

I hereby certify that Karan Khanna student of Masters of Business

Administration (Marketing and Sales) at Amity Business School, Amity University
Uttar Pradesh has completed Summer Internship on “Strategies to Increase Sales in
Delhi – Wake Up SID”, under my guidance.

My Faculty Guide
Department of Information Technology
ABSTRACT

Telecom in the real sense means transfer of information between two distant points in
space. Telecom is a huge and varied bastion of technologies, companies, services and
politics that is truly global in nature.

Telecom stands as one of the most essential elements of the business world in terms
of connecting the world. The International Telecommunication Union (ITU) estimates
the number of mobile subscribers worldwide at 4.01 billion at the end of 2008, up
from 1.41 billion in 2003. This is a compound annual growth rate of 23.2%, and
represents 59.3% of world population. Global wireless subscribers will grow to over
5.5 billion by 2011 to 2012, as low-cost providers are making service prices low
enough to be affordable for vast numbers of people in Third World nations.
Inexpensive cell phones are now indispensable to consumers from Haiti to Africa to
New Guinea. Telecommunications remains one of the largest providers of
employment in the world, with over 1 million employees in the U.S. alone.
No other industry touches as many technology-related business sectors as
telecommunications, which, by definition, encompasses not only the traditional areas
of local and long-distance telephone service, but also advanced technology-based
services including wireless communications, the Internet, fiber-optics and satellites.
Telecom is also deeply intertwined with entertainment of all types, including cable
TV systems, since cable companies are now aggressively offering local exchange
service and high-speed Internet access.

Vodafone Essar in India is a subsidiary of Vodafone Group Plc and commenced

operations in 1994 when its predecessor Hutchison Telecom acquired the cellular
licence for Mumbai. Vodafone Essar now has operations in 16 circles covering 86%
of India's mobile customer base, with over 45.78 million customers. Vodafone Essar,
under the Hutch brand, has been named the 'Most Respected Telecom Company', the
'Best Mobile Service in the country' Corporate Catalyst India A report on Indian
Telecom Industry and the 'Most Creative and Most Effective Advertiser of the Year'.
Vodafone Essar is expecting to touch over 35 million customers across 400,000 shops
and thousand of hutch’s own employees along with employees of its business
associates.
The telecom market is expanding and there is huge scope for a well established brand
to tap its share of benefits. All it takes is the right choice of price, quality and services
and understanding of the target market. In this very industry the market leader 3 years
ago has gone into oblivion and new market leaders have emerged. So, Vodafone
along with its name and right mix of strategies has quite a good growth potential in
the India market.
TABLE OF CONTENTS

1. Introduction …………………………………………………………………. 9-
12

1.1. Company Introduction ………………………………………………..10

1.2. Vodafone in 2010 ………………………………………………………10

1.3. Vodafone Recognitions ………………………………………………12

2. Literature Review …………………………………………………………..13-15

3. Vodafone Sales and Distribution …………………………………………..16-22

4. Data Collection ……………………………………………………………...23-26

4.1. Market Survey 1

……………………………………………………….25

4.2. Market Survey 2

……………………………………………………….26

5. Data Analysis and Interpretation ………………………………………….27-39

5.1. Findings of the Market Survey ……………………………………….28

5.2. Wake up S-I-D …………………………………………………………32

6. Recommendations, Conclusion and Limitations………………………….40-44

7. Bibliography ………………………………………………………………...45-46

CHAPTER 1

INTRODUCTION
1.1 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
100.85 million customers**. Vodafone is the world's leading international mobile
communications group with approximately 341 million proportionate customers as on
31 March 2010. 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. **Figures from Cellular
Operators Association of India, March 2010.
Vodafone Essar, formerly known as Hutchison Essar is a cellular operator in India
that covers 23 telecom circles in India based in Mumbai. Vodafone Essar is owned by
Vodafone 67% and Essar Group 33%. It is the second largest mobile phone operator
in terms of revenue behind Bharti Airtel, and third largest in terms of customers. On
February 11, 2007, Vodafone agreed to acquire the controlling interest of 67% held
by Li Ka Shing Holdings in Hutch-Essar for US$11.1 billion, piping Reliance
Communications, Hinduja Group, and Essar Group, which is the owner of the
remaining 33%. The whole company was valued at USD 18.8 billion. The transaction
closed on May 8, 2007. Despite the official name being Vodafone Essar, its products
are simply branded Vodafone. It offers both prepaid and postpaid GSM cellular
phone coverage throughout India with good presence in the metros.

1.2 VODAFONE IN 2010

Vodafone group reported an increase of 8.4% in revenue to £44.5 Billion and an
operating profit of £11.9 Billion for the year ending 31st march ‘10, while Vodafone
India registered a growth of 14.7% in revenue and 9.2% in EBITDA. The Indian
operations have consistently gained revenue market share, and have reached the
significant milestone of 100 million customers.
Vodafone Essar becomes the world’s fifth operator with 100 million customers in a
single country. Vodafone has increased its market share to consolidate its position as
India’s second largest operator in terms of revenue. Around 60% of the Company’s
customer additions now come from upcountry areas. With a distribution reach of over
1.2 million outlets, Vodafone is well-geared to now serve customers residing in the
remotest corners of India.

The mobile industry in India has entered an exciting phase with 3G becoming a
reality. After 4 year delay, 34 days of hectic auction and 184 rounds of bidding, the
government has garnered revenue worth Rs 67,719 crores with the end of 3G
auctions. With more and more people looking forward to accessing information and
getting faster data access and multimedia services through their mobile phones, the
end of this much awaited auction comes as a relief to both operators and government.
Third generation or 3G mobile technology services have been introduced in over 100
countries worldwide. As in august ’09, there were around 870 million 3G subscribers
globally. This is great news for Vodafone which has won 9 circles for a bid amount of
Rs. 11,617.86 crores. Circles like Delhi, Mumbai, Maharastra, Gujrat, Tamil Nadu,
Kolkata, Haryana, UP west and West Bengal are now in Vodafone 3G kitty.
Vodafone and Bharti have paid a combined $5.1 Billion for 3G mobile licenses in
India.
One of the key points that emerged post the auction was the fact that the operators
seem to have focused on specific circles, instead of going all out to take an all India
footprint, resulting in no single operator emerging as a single winner for 3G services.
Vodafone wins have turned out to be the best in terms of revenue potential market.
This is destined to pave the way for Vodafone to deliver services like video calling
and high speed internet using phones.
1.3 Vodafone Recognition

• Vodafone Essar, under the hutch brand has been named the:
o Most Respected Telecom Company
o Best mobile Service in the Country
o Most Creative and Most Effective Advertiser of the year

• Vodafone has won the first Glitter Box award by PETA (People for Ethical
Treatment for Animals) India for its popular 'ZooZoo' advertisement.

• Vodafone Essar, one of India’s leading cellular services provider, announced

that its Zoozoo campaign won three accolades - two Gold and one Silver, at
the Asia Marketing Effectiveness (AME) awards ceremony.
(April, 2010)

About AME Awards

The Asian Marketing Effectiveness Awards are the region's most prestigious
awards that celebrate resourceful Asian marketing. The awards honour
effective marketing campaigns that delivered ROI and transform businesses.
The awards cover 21 categories across all marketing disciplines, including
advertising, direct marketing, product design, sales promotion, event
marketing, interactive marketing, eco/green marketing, to name but a few.
They are designed to set the standard for effective marketing within the region,
and aim to uncover the campaigns that show results through innovative spirit,
and combining creativity with effectiveness to build world class brands.
CHAPTER 2

REVIEW
OF
LITRATURE
India’s slum-dwelling population had risen from 27.9 million in 1981 to 61.8 million
in 2001, when the last census was done. The Minister for Housing and Urban Poverty
Alleviation, said. India’s economy has grown by an average of 8 per cent annually
over the past four years, and yet a quarter of its population of 1.1 billion still lives on
less than $1 (50p) a day. The expansion of India’s slums is partly due to the rise in
India’s total population, which increased from 683 million in 1981 to 1.03 billion in
2001. Delhi, the national capital, has the country’s second-largest slum population,
totalling about 1.8 million people, followed by Calcutta with about 1.5 million3.

More people in India, the world’s second most crowded country, have access to a
mobile telephone than to a toilet, according to a new UN study on how to cut the
number of people with inadequate sanitation. India has some 545 million cell phones,
enough to serve about 45 per cent of the population, but only about 366 million
people or 31 per cent of the population had access to improved sanitation in 20084.

With the addition of 20 million new users in March, the highest ever this year, the
mobile subscriber base in the country has jumped to 584.32 million customers,
according to Telecom Regulatory Authority of India. The wireless subscriber base
increased by 3.6 per cent from its February user base of 564.02 million, the sectoral
regulator said in a statement. With this addition, the total number of telephone
subscribers (wireless and wire line) in India increased to 621.28 million at the end of
March, 2010, from 600.98 million in February, 2010. The number of users in the wire
line segment remained unchanged at 36.96 million, as there was no net addition to
fixed line subscriptions, which have been witnessed negative to flat growth for quite
sometime now. With operators slashing tariffs further and new telecom players
offering innovative schemes, the total telecom subscriber base registered a growth of
3.38 per cent in March. The maximum new additions for operators came from the
Circle B and C cities, indicating that markets in the metros are saturating.

With this, the overall Tele - density in India touched has 52.74, which indicates that
every 53 out of every 100 people in India owns a telephone connection (wireless or
wire line). The wireless Tele – density stands at 49.60.
3
Minister for Housing and Urban Poverty Alleviation
4
UN Report, April 14th, 2010, India has more mobile telephones than toilets
In the wireless segment, Vodafone was able to add the maximum number of new
users to its network, followed by Reliance Communications and Bharti Airtel.
Vodafone trumped the country's largest operator, Bharti Airtel, by adding 3.6 million
subscribers in March, taking its total number of users to 100 million. In comparison,
Bharti Airtel added 3 million users to expand its subscriber base to 127.6 million, data
showed. However, Bharti Airtel remained the leader with a 21.84 per cent share of
the market at the end of March, followed by Reliance Communications with a 17.53
per cent share and Vodafone with a 17.26 per cent share, TRAI said. While the
subscriber base in the wireless segment increased from 564.02 million in February,
the number of users in the wire line segment remained unchanged at 36.96 million,
the statement added. In the wire line segment, Bharat Sanchar Nigam Ltd remained
the biggest player, holding a 75.31 percent market share as on March 31, 2010,
followed by state-run MTNL. The broadband subscriber base increased from 8.59
million in February to 8.75 million in March, 2010, a growth of around 2 per cent5.

5
The Indian Express Limited, APRIL 27 2010.
 CHAPTER 3
SALES
AND
DISTRIBUTION
Vodafone Delhi
Vodafone in India is divided into 23 circles. Each circle has its own working. These
circles are categorised by COAI (Cellular Operator Authority of India) into four
categories Metros, ‘A’ circle, ‘B’ circle, ‘C’ circle.

1. Mumbai (Metro)
2. Delhi (Metro)
3. Kolkata (Metro)
4. Chennai (Metro)
5. Gujarat (‘A’ circle)
6. Andra Preadesh (‘A’ circle)
7. Karnatka (‘A’ circle)
8. Punjab (‘B’ circle)
9. Haryana (‘B’ circle)
10. Uttar Pradesh – East (‘B’ circle)
11. Rajasthan (‘B’ circle)
12. Uttar Pradesh – West (‘B’ circle)
13. West Bengal (‘B’ circle)
14. Maharashtra (‘A’ circle)
15. Tamil Nadu (‘A’ circle)
16. Kerala (‘B’ circle)
17. Orissa (‘C’ circle)
18. Assam (‘C’ circle)
19. North East (‘C’ circle)
20. Madhya Pradesh (‘B’ circle)
21. Bihar (‘C’ circle)
22. HP (‘C’ circle)
23. Jammu & Kashmir (‘C’ circle)
ALL INDIA MARKET SHARE

Group Company wise % market share - May'2010

Name of Total Sub % Market

Sl. No.
Company Figures Share

1 Bharti Airtel 133619705 30.07%

2 Vodafone Essar 106347368 23.94%

3 IDEA 66726802 15.02%

4 BSNL 65790606 14.81%

5 Aircel 40079531 9.02%

Reliance
6 Telecom 16311206 3.67%

7 Uninor 5012929 1.13%

8 MTNL 4857967 1.09%

9 Loop Mobile 2911685 0.66%

10 Videocon 1394543 0.31%

11 Stel 1233247 0.28%

12 Etisalat 10122 0.00%

All India 444295711 100.00%

Note: - Reliance Telecom figures are not included as the same is not being reported.
Sales in Delhi are divided into four zones and further into nine regions as follows:

In Delhi – NCR region we have:

 4 Zone Heads

 9 Assistant Sales Managers (ASM)

 42 Relationship Managers (RM)

 36 PRE
3.2 VODAFONE PREPAID INCLUDES

Vodafone prepaid have a wide variety of products from coupons to bonus cards to
easy recharge. Coupons, bonus cards and world calling cards have different
denominations, which fulfil the entire need of the customer. Vodafone handsets are
also available in the market with a diverse price range starting from Rs999.
3.3 DISTRIBUTION

Delhi – NCR is divided into 4 zones and further 9 regions which have 67 distributors.
Every distributor has been assigned an area beyond which selling is not allowed.
Distributors have different types of manpower to handle different sales.

 RDSE (for Easy Recharge, Coupons and Handsets)

 ADSE (for Activation)

VODAFONE SALES HIERARCHY

These DSE’s reports to PRE’s and further these PRE report to RM’s (Relationship
managers). Vodafone has 4 zone managers, 9 assistant managers and 42 relationship
managers in Delhi – NCR region. For smooth workflow the following hierarchy is
followed

Vodafone has 475 ADSE and 465 RDSE to cater to the entire of Delhi – NCR area
that is total of 940 field sales person who serve lakhs of dealers across the city.

VODAFONE DEALERS
Vodafone dealers are categorized into three 3 types
 E – Top outlets

o Outlets selling recharge and coupons

o These dealers are served by only RDSE’s

 Activation and E – Top outlets:

o Outlets selling new connections with easy recharge and coupons

o They are served by both RDSE’s and ADSE’s

 Stable Outlets

o Outlets selling 3 new connections and selling easy recharge of Rs.

3000 per month for consecutive 3 months are considered as stable
outlets

o These outlets are served by RDSE’s, ADSE’s and PRE’s as well.

Categorization of dealers on the basis of Activation only

 Category ‘A’ outlets: 50 and more activation per month

 Category ‘B’ outlets: 25 – 49 activations per month

 Category ‘C’ outlets: 1 – 24 activations per month

 CHAPTER 4

DATA COLLECTION
The main motive to step into the market is to analyse the sales. We have defined
specific parameters with respect to which we visited the market. The result of the visit
will be interpreted based on these parameters. For market survey observation method
was used to analyse these parameters.

Parameters:

1. Revenue: We will analyse the revenue generated by different markets that is

the urban and rural markets. This will help us to know the percentage that
rural and urban markets contribute to total Vodafone sales.

2. Availability: This will help us to know the dealers buying behaviour which
can be distinguished according to different markets. This will also help us to
know which Vodafone products are in demand in different markets.

3. Visibility: Vodafone visibility can be recorded so that we can analyse the

total awareness in that area.

4. Market Penetration

5. Product Knowledge: To push the sales further, the dealer should have
complete knowledge of the product and the product range so that this
knowledge can be passed on to the customers.

6. Customer – Dealer Relationship

7. Competitive Position
Vodafone has diverse markets, from urban high profile markets to rural slum clusters.
These can be divided into 2 categories:

1. Urban Market
2. Rural market.

The Urban markets consist of upscale markets in Delhi which have a high footfall,
while on the other hand the Rural markets include the slum clusters. Every posh
locality in Delhi is followed by a slum cluster.

To have a first hand experience, different markets were visited with support of the
distributor, RM (Relationship Manager), PRE, ADSE and RDSE’s. For this purpose
different days were assigned in a week to explore different markets.

MARKET SURVEY: 1

The first week included exploring the market under south zone distributor “Krishna
Enterprise” under who the following areas are assigned:

• Lajpat Nagar -I,

• Lajpat Nagar – II,
• lajpat Nagar – III,
• Garhi,
• East of Kailash,
• Shrinivaspuri,
• Amar Colony,
• Okhla Mandi and
• Khan Market.
Krishna Enterprise has 7 RDSEs and 8 ADSEs that amount to a total of around 13
field sales executives. These sales executives visit the listed markets on a regular
basis.

In a week’s time 4 – 5 markets were visited, that nearly included around 150 – 200
dealers. The purpose of the visit was to get a first hand experience of the market and
explore the different areas where Vodafone can focus in order to develop a strategy to
keep their sales figures ticking. Visiting different dealers in various markets
personally was very useful since it helped me knowing the different perceptions and
behaviours of dealers to different situations.

Second market visit was for a specific reason. This visit helped us to understand
certain parameters on basis of which we can differentiate our inputs to urban markets
and slum markets.

MARKET SURVEY: 2

To verify our inputs another week of market survey was done. This time we were
working with another south zone distributor “P.S. Associates” which has a higher no.
of low profile areas in order to consolidate our findings.
Different under P.S. Associates are:

• Khanpur
• Dakshin Puri
• Sangam Vihar
• Pehlad Pur
• Deovli Village

P.S. Associates has a total of 20 field sales executive. 10 ADSEs and 10 RDSEs.

It was observed that, the dealer’s perception and way of working was more or less the
same.
Another 150 dealers were visited in a week’s time. This time the objective of the
survey was to know the customers buying power. We had a glimpse of the
households, the way dealers interact with the customers and how can we improve the
dealer - customer relationship.

CHAPTER 5
DATA ANALYSIS
AND
INTERPRETATION
6.1 Findings of Market Survey

• Krishna enterprise has a diverse market from an upscale khan

market, Lajpat Nagar to low profile Garhi market.

• It was observed that dealers in upscale markets believed in developing

customer relations since they have more no. of fixed customers as compared
to walk in customers; while on the other hand in a low profile market like
Garhi there are more walk in customers and less of fixed customers.

• Another point of difference was in the customer’s recharge amounts in both

the markets. In Garhi there is a higher demand of coupons of 10 and 30, and
on the other hand coupons of 30, 60 and 120 are more in demand in markets
like Lajpat Nagar.

• The demand of bonus cards and tariff cards is higher where student
population is more. Amar colony and East of Kailash form good examples of
such areas.

• In these markets the customer buys any connection whichever comes in his/her
mind, which can be controlled and can be bended towards Vodafone.

Difference in the rural and urban markets.

Parameters Urban Rural

Revenue Urban markets account for Rural markets contribute to
59% of total sales revenue around 41% to Vodafone’s
of Vodafone Delhi. sales revenue.
Availability In these markets, dealers
keep the entire range of
recharge coupons and
tariff cards. The demand
for the bonus cards is
higher as more people are
aware of the schemes and
want to cut down their call
rates.
Visibility In urban markets visibility
options are more as shops
having large area can be
utilised to display and
flaunt their brand.
Visibility in urban markets
is fully utilised as urban
markets have more
visibility options such as
big shops can have in shop
brandings, big backlit
Vodafone boards etc.
Product Knowledge In these markets dealers
have full product
knowledge. All the dealers
are up to date on new
tariffs and schemes
because a demand for
bonus cards is higher in
these areas.
Customer Dealer Customer relations are
Relationship good because they have
more no. of fixed
customers.
Competitive Position In these markets demand
Dealers in these markets
keep stock of low value
recharge coupons and very
limited tariff cards. People
here use mobile and make
recharge on daily basis. To
cater to these needs dealers
stock low value recharge
coupons
Rural markets have small
shops which have less
visibility options.
Visibility is inappropriate
in these areas which can be
increased and due to which
the sales can be increased.
Product knowledge in
slums is very limited and
can be increased.
In rural market dealer’s
rely more on walk ins
therefore customer
interaction and customer
relation is less.
But in rural markets
 of Vodafone and Airtel is
more as compared to other
telecom brands in the
market. While buying a
new connection customer
prefers these two brands.
Penetration Penetration in urban
market is up to date, dealer
base in appropriate. There
is a scope of improvement
which can help to increase
sales.
customer buys other
brands as well which ever
best suits their needs or
whichever brand dealer
pushes and is most
economical. This can be
stopped if there is more
visibility and awareness.
In slums in Delhi the
penetration is to be
improved so that there is
full market coverage.
Increase in dealer base will
increase in sales. Rural
markets have huge
potential that can be
grabbed to increase sales.

These low profile markets have an immense capacity and huge opportunities to grow.
Population in these areas is such that the sales can be manifolds. Every corner of a
Gali has a shop if not telecom, then it can be converted into a telecom shop.

This differentiation between urban and rural markets helped us to know the areas
which are fully utilised and area which are not fully utilised. These parameters helped
us to identify the areas that have lesser sales and can thus be improved. Slums in
Delhi have a huge potential to grow. Targeting these slums in Delhi, Vodafone can
increase sales to a large extent. In terms of revenue generation, urban markets
contribute to a large extent in Delhi- NCR region. On the other hand rural areas also
contribute a good percentage in sales revenue but can be increased extensively.
Vodafone has a wide distribution network, which caters to entire Delhi – NCR region.
Penetration in urban markets has almost reached saturation level and there is very
little scope of improvement in terms of penetration in urban markets. While in rural
markets the penetration is good but still there exists a large number of untapped areas
which can be captured owing to availability of a huge potential in such areas.

To increase sales in slums, visibility and awareness should be increased. If we talk

about awareness not only Vodafone awareness but also the telecom as a whole should
be increased. Visibility will help Vodafone to get into the eyes of the customer and
customers buying other connections can be attracted towards Vodafone.
These inputs were discussed in the company. A week’s discussion took place and all
the finding and parameters were discussed in detail. These parameters were also
discussed with respect to the urban and rural markets, so that the gap between these
markets can be filled. People participated in the discussion was the Prepaid Head,
Distribution head, Assistant manager sales. After the discussion, they came up with a
project which will focus on the slums only. This project will include all the slums and
low profile areas of Delhi. The sales will be increased by certain sales or marketing
activities that will done in certain allocated areas.

After analysing these markets, gaining these inputs and the through discussion the
solution to increase sales in Delhi in nutshell is to concentrate on these slums. More
would be the market coverage, higher will be the sales.

For this to be implemented, project “WAKE UP SID” was proposed by the company
i.e. WAKE UP Slums In Delhi
WAKE UP S-I-D (Slums in Delhi)

Telecom market has almost reached saturation level due to excessive competition. To
increase sales more penetration is required.

To increase sales, the market coverage in terms of dealer base should be good. This
can be achieved by reaching deep into these low profile markets by creating new
dealers and convincing non-telecom shops to sell Vodafone products. This will help
Vodafone to place their product in every nuk and corner of these slums.

Type of Settlement and Population of areas in Delhi

S no Type of settlement Approx population in millions

(2006)

1 Jhughi Jhompri Clusters 2.448

2 Slum Designated Areas 3.148

3 Unauthorized Colonies 0.874
4 Resettlement Colonies 3.909
5 Rural Village 0.874
6 Regularized – Unauthorized Colonies 2.099
7 Urban Villages 1.049
8 Planned Colonies 3.909
TOTAL 16.5

Source: Delhi Development Report 2008 (Delhi Water Supply and Sewerage Project Preparation Study
Report)
**Red dot denotes the location and size of Slum Cluster
Source: Delhi Urban Environment and Infrastructure Improvement project Part III, Slum
Upgrading programme Volume I

This project has been divided into different stages.

1. The First stage was to identify the slum areas. The slum identification was a
difficult task as in Delhi there are numerous slums that have not been
officially identified by the government. The primary objective of this stage is
to find the list of slums and segregate according to the zone i.e. north, east,
west and south.

LIST OF SLUMS ZONE WISE

AREA MARKET
South Delhi Khanpur J.J colony
South Delhi dakshin puri
South Delhi Sangam Vihar
South Delhi Badar Pur
South Delhi Nizammuddin
South Delhi Govind Puri
South Delhi Bhogal
South Delhi Okhla
South Delhi Pehlad Pur
South Delhi Mahrauli
South Delhi Hauzrani Village
South Delhi Tughlakabad
South Delhi Sewa Nagar
South Delhi Mahipal pur
South Delhi Deovli Village
South Delhi Chhatar pur
South Delhi R.K Puram Sec-3
Central Delhi Ajmeri Gate
Central Delhi Pahar Ganj
Central Delhi Farid puri
Central Delhi Bapa nagar
Central Delhi Prem Nagar
Central Delhi Nehru nagar
Central Delhi Khwaza basti
Central Delhi Todapur
Central Delhi Karol bag terminal
Central Delhi Anand Parbat
Central Delhi Manak pura
Central Delhi Inder puri
North delhi Shalimar Bagh
North delhi Wazir Pur Village
North delhi Narela
North delhi Badli
North delhi Shahabad Dairy
North delhi Bhalaswa dairy
North delhi Subzi Mandi
North delhi Bawana
North delhi Kishan Ganj
North delhi Lal bagh
North delhi Bharat Nagar
North delhi Shakti Nagar
North delhi Azad Pur
North delhi Lawrance rd indl area
North delhi Alipur
North delhi Pratap Nagar
North delhi Jhangir Puri
North delhi Swaroop nagar extn
East Delhi Gokul Puri
East Delhi Shastri Park
East Delhi Jafrabad
East Delhi Bhram puri
East Delhi Mandawali
East Delhi Seelam Pur
East Delhi Seemapuri
East Delhi Shakarpur
East Delhi Ghazi pur Village
East Delhi Ambedkar Basti
East Delhi Babar Pur
East Delhi Mandoli
West Delhi DHANSA
 West Delhi QUTUB VIHER
West Delhi JAI VIHAR , BAKKARWALA
West Delhi MAYAPURI
West Delhi shiv vihar
West Delhi Shah Pura
West Delhi durga park
West Delhi TAGORE GDN
West Delhi CHUNA BHATTI
West Delhi Dada Dev Road,Harijan Basti
West Delhi AMAN VIHAR
West Delhi RAMA ROAD
West Delhi Shahbad Mohmad Pur
West Delhi Kanjhawala,Jonti
West Delhi SECTOR 24
West Delhi PV NEAR WHITE HOUSE
West Delhi TARUN ENCLAVE
West Delhi TIKRI BORDER
West Delhi Ghavra J.J Colony

2. Secondly, the list that has been completed in the first stage is updated with the
population of that area. From this we can get a tentative idea of the no. of
people residing there. This data will help us to recognize the main areas where
we have more population. Mostly the population data was taken from the
census report of 2001 because some areas are not listed in the ward wise
census report 2001.

Total
AREA MARKET
Population
South Delhi Khanpur J.J colony 23,870
South Delhi dakshin puri 39,870
South Delhi Sangam Vihar 194,378
South Delhi Badar Pur 252,887
South Delhi Nizammuddin 88,135
South Delhi Govind Puri 51,234
South Delhi Bhogal 73,984
South Delhi Okhla 65,900
South Delhi Pehlad Pur 129,105
South Delhi Mahrauli 110,635
South Delhi Hauzrani Village 31,230
South Delhi Tughlakabad 105,698
South Delhi Sewa Nagar 12,230
South Delhi Mahipal pur 131,474
South Delhi Deovli Village 164,365
South Delhi Chhatar pur 121,591
South Delhi R.K Puram Sec-3 4,000
Central Delhi Ajmeri Gate 14,000
Central Delhi Pahar Ganj 25,000
Central Delhi Farid puri 10,000
Central Delhi Bapa nagar 30,000
Central Delhi Prem Nagar 20,000
Central Delhi Nehru nagar 20,000
Central Delhi Khwaza basti 4,000
Central Delhi Todapur 3,000
Central Delhi Karol bag terminal 2,000
Central Delhi Anand Parbat 30,000
Central Delhi Manak pura 20,000
Central Delhi Inder puri 18,000
North delhi Shalimar Bagh 20,000
North delhi Wazir Pur Village 3,000
North delhi Narela 3,000
North delhi Badli 10,000
North delhi Shahabad Dairy 20,000
North delhi Bhalaswa dairy 10,000
North delhi Subzi Mandi 35,000
North delhi Bawana 10,000
North delhi Kishan Ganj 10,000
North delhi Lal bagh 15,000
North delhi Bharat Nagar 35,000
North delhi Shakti Nagar 40,000
North delhi Azad Pur 10,000
North delhi Lawrance rd indl area 10,000
North delhi Alipur 18,000
North delhi Pratap Nagar 15,000
North delhi Jhangir Puri 15,000
North delhi Swaroop nagar extn 12,000
East Delhi Gokul Puri 142,647
East Delhi Shastri Park 55,000
East Delhi Jafrabad 75,000
East Delhi Bhram puri 45,000
East Delhi Mandawali 100,000
East Delhi Seelam Pur 95,718
East Delhi Seemapuri 106,693
East Delhi Shakarpur 83,832
East Delhi Ghazi pur Village 80,000
East Delhi Ambedkar Basti 80,036
East Delhi Babar Pur 100,576
East Delhi Mandoli 103,165
West Delhi DHANSA 5,000
West Delhi QUTUB VIHER 8,000
West Delhi JAI VIHAR , BAKKARWALA 15,000
West Delhi MAYAPURI 12,000
West Delhi shiv vihar 15,000
West Delhi Shah Pura 30,000
West Delhi durga park 12,000
West Delhi TAGORE GDN 18,000
West Delhi CHUNA BHATTI 25,000
West Delhi Dada Dev Road,Harijan Basti 15,000
West Delhi AMAN VIHAR 7,000
West Delhi RAMA ROAD 7,000
West Delhi Shahbad Mohmad Pur 5,000
West Delhi Kanjhawala,Jonti 20,000
West Delhi SECTOR 24 6,000
West Delhi PV NEAR WHITE HOUSE 2,000
 West Delhi TARUN ENCLAVE 1,000
West Delhi TIKRI BORDER 51,000
West Delhi Ghavra J.J Colony 17,000

3. This stage is very important, after we have the list of slums with the
population then we’ll analyse the available resources that Vodafone has in that
respective area. Vodafone resources includes:
a. Distributor
b. Distributor Sales Executive (DSE)
c. No. of Activation Outlets
d. No. of Recharge outlets
e. Total Recharge value of the area
f. Total no. of activation of that area

4. The next stage is to calculate the DPL (Dealer per Lakh). This is the concept
that Vodafone follows to calculate the market coverage of Vodafone. We can
calculate DPL by dividing the total no. of recharge outlets of that area by the
population of that area.
This DPL concept was started by Vodafone in 2009 under the project named
“Pappu”. The idea behind this project was to increase the dealer base so
intensively that every corner shop should have Vodafone recharge and even
the smallest member of the family or the household servant (pappu) can get
the recharge done.
The duration of this project was from April 2009 to March 2010. At the start
of the project in 2009 the DPL was around 140 -150 while the targeted DPL
was 200. To get this targeted DPL Vodafone had to increase the no. of dealers
to 40000. The final DPL achieved at the end of March 2010 was 39000, which
almost neared the targeted DPL.
The “Pappu” project was a great success for Vodafone which helped them to
widen their distribution network.
LIST OF SLUMS WITH THE CURRENT DPL
MARKET DPL
Khanpur J.J colony 327
dakshin puri 246
Sangam Vihar 177
Badar Pur 172
Nizammuddin 143
Govind Puri 127
Bhogal 122
Okhla 106
Pehlad Pur 105
Mahrauli 90
Hauzrani Village 86
Tughlakabad 85
Sewa Nagar 82
Mahipal pur 68
Deovli Village 64
Chhatar pur 53
R.K Puram Sec-3 50
Ajmeri Gate 214
Pahar Ganj 240
Farid puri 280
Bapa nagar 233
Prem Nagar 300
Nehru nagar 250
Khwaza basti 250
Todapur 400
Karol bag terminal 600
Anand Parbat 200
Manak pura 200
Inder puri 178
Shalimar Bagh 545
Wazir Pur Village 333
Narela 433
Badli 200
Shahabad Dairy 250
Bhalaswa dairy 250
Subzi Mandi 214
Bawana 200
Kishan Ganj 200
Lal bagh 200
Bharat Nagar 186
Shakti Nagar 185
Azad Pur 180
Lawrance rd indl area 180
Alipur 178
Pratap Nagar 147
Jhangir Puri 133
Swaroop nagar extn 50
Gokul Puri 150
Shastri Park 127
Jafrabad 107
Bhram puri 102
 Mandawali 100
Seelam Pur 63
Seemapuri 61
Shakarpur 42
Ghazi pur Village 38
Ambedkar Basti 27
Babar Pur 25
Mandoli 10
DHANSA 180
QUTUB VIHER 150
JAI VIHAR , BAKKARWALA 160
MAYAPURI 175
shiv vihar 173
Shah Pura 157
durga park 183
TAGORE GDN 144
CHUNA BHATTI 144
Dada Dev Road,Harijan Basti 140
AMAN VIHAR 129
RAMA ROAD 129
Shahbad Mohmad Pur 120
Kanjhawala,Jonti 105
SECTOR 24 100
PV NEAR WHITE HOUSE 100
TARUN ENCLAVE 100
TIKRI BORDER 92
Ghavra J.J Colony 82

5. In this stage we analyse the DPL of each area. If the DPL is less than 100 then
we work towards increasing the DPL. Areas which have 100 – 150 DPL are
proposed some activities to increase sales. The activities can be of marketing
activities as well as sales activities. Firstly the sales activities will be done the
next step is to sit with the marketing department to plan marketing activities

Wake up SID will increase the sales in slums by performing activities there. These
activities can be marketing or sales activities. In areas of low penetration we are
increasing the dealers so that the current DPL is increased, while on the other hand
we perform activities where current DPL is good.
 CHAPTER 6
RECOMMENDATIONS,
CONCLUSION

AND

LIMITATIONS
Recommendations (Proposed Activities)

1. AD Model:

DETAILS:

Penetration in slums can be increased, but the DSEs handling these areas have
many shops to cover in day. This reduces the opportunity to open new outlets.
To overcome this AD model is proposed. In this AD (Associate Distributor)
Model a person (AD) will be employed of the same profile as the Direct Sales
Executive (DSE) who will work in the assigned area with the distributor. The
AD will open new shops in that area so that the dealer base and sales are
increased. AD will get the share of the sales of those outlets started by him
and a fixed salary by Vodafone. This model will help in increasing the DPL of
the areas which have low DPL. The share given to the AD will help them to
sell more and find new dealers.

2. Vodafone Camps to increase awareness and giving the customers knowledge

about schemes and offers which suit their best needs. This activity will
increase sales as customers will buy our product to satisfy their
communication needs. Giving the solution for their requirement will help
increase loyalty and increase prospect of brand switching.

DETAILS:
Objective
The objective of the activity is to attract customers by giving them product
specific benefits and selling new connections by satisfying their daily
communication needs with help of Vodafone offers and Tariff plans.
Minutes of the Activity:
 Setting up of a Vodafone stalls in the designated area, outside the best
dealer or at the most crowded place which has the highest foot fall.

 It will be a two day activity, with one ADSE and one RDSE at the
stall.

 Supervision of the activity will be done by RM of that area.

3. CSR (corporate Social Responsibility):

Vodafone cold water taps in care of best outlet in the respective area. Summer
in Delhi last of 6-8 months in a year, helping them with water to drink will
make an impact in mind of the customer. This will also increase the visibility
and image of the company.
DETAILS:
Objective
The main objective of this CSR activity is to improve the visibility of the
company with providing benefit to the residents of that area.
Minutes of the Activity
 Placing a water cooler outside the premises of the best dealer of the
assigned area. It would be a permanent visibility solution as the cooler
will have a full Vodafone branding.

 Running of the water cooler will be done by the dealer.

 Regular supervision can be done by ADSE or RDSE who is

responsible for that dealer. Any technical faults in the water cooler will
be rectified by Vodafone.

 This CSR activity also suits the Vodafone “HAPPY TO HELP” tag.

4. A special pack of two numbers can be provided with a free calling facility.
These promotions will motivate customers to buy them for their daily
communication. Once we have the numbers working our recharge sales can be
increased.

DETAILS
Objective
Objective is to force customers to buy Vodafone for their daily
communication, which can be achieved by special Vodafone product.
Minutes of the Product
 A special pack of two similar numbers.
  Free calling between them.

 Both the numbers can be activated by one ID proof.

 Dealers by default will promote this product as they are getting two
activations at same time with one product.

 Special dealer incentive can be proposed to give a kick start to the

product.

 This product can be initiated from SID and further can be launched in
other markets.

5. Vodafone Sponsored “GULLY CRICKET”:

Vodafone organising gully cricket tournament in slums. This will help

Vodafone to increase awareness among youth in slums. This activity will
make a strong impact in the customers mind and will help people to bend
towards Vodafone.
DETAILS
Objective
This promotion will help Vodafone to increase awareness among youths in
SID.
Minutes of the Promotion
 A two day gully cricket tournament with six players a side and six
overs each.

 Team should have at least six players and all players should possess a
Vodafone connection to register.

 In every match we’ll pick a best batsman and a bowler to present him
with a Vodafone T-shirt.

 Man of the Tournament will be presented with a Vodafone handset

(Model – CLR 236, MRP 1199).
  We can hire 2-3 promoters who will work in coordination with the
ADSE, RDSE and PRE. RM and ASM can present goodies to the
winners.

CONCLUSION

Vodafone is very aggressive in this telecom industry. They constantly change and
improve their selling strategies. This project will help Vodafone to increase sales in
Delhi – NCR region. It specifically focuses on the untapped low profile markets
which have great capacity to improve and increase sales.

The project “Wake up SID” is implemented from 1st of July 2010 by Vodafone in
Delhi - NCR region, already the sales push has been started by Vodafone next is to
decide the sales and marketing activities which will be implemented in the targeted
areas.

Out of all the suggestions from my end, with discussion and alteration with the
Vodafone The proposal of AD (Associate Distributor) model is accepted and being
implemented.

This being one of the initiative by the company, a lot more is on its way on the
similar lines.

LIMITATIONS

 The targeted sample size which is Delhi region has 67 distributors, hundreds
of markets and thousand of dealers. In the short time span of two months, it
was not feasible enough to visit all the markets for inputs.

 Therefore, few of the target areas have not been covered. The studied markets
were taken as the universal sample data for the analysis.
 CHAPTER 7

BIBILOGRAPHY
 Minister for Housing and Urban Poverty Alleviation

 UN Report, April 14th, 2010, India has more mobile telephones than toilets

 The Indian Express Limited, APRIL 27 2010.

 Vodafone.com

 Vodafone News Letter, April 2010

 Wikipedia (http://en.wikipedia.org/wiki/Vodafone_India)