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Impact of marketing strategies on mobile companies with special reference to Vivo company

INTORDUCTION

Vivo Smartphones Pvt. Ltd. is a communication technology co., a Chinese company which is
owned by the BEK Electronics (make smartphones, software’s, smartphones accessories and
online services). Shen Wei founded this company in 2009, at Dongguan, China. Currently, it
is ranked under the top 5 smartphone’s manufacturer in India.

Apart from manufacturing smartphones vivo also has a sponsorship of Indian Premier
League, FIFA world cup, Pro Kabaddi tournament, U.S- National Basketball Association. It
is listed among the top smartphone’s brands in India.

Brand shows the real image of a company with unique features. The paper highlights about
the live project of Vivo Flagship (Flagship consider to launch a premium phone by a
company with latest features) launched in April 2018, in which the branding department of
Vivo analysed the brand visibility in the market as compared to the competitor’s brand
through the process of auditing.

Alina Wheeler (2018) said that the competition is too high which differentiated only by an
identity i.e. Brand and Brand identity which helps to connect with the customers emotionally
and also helps in creating long time relationship. A strong brand visible differently in the
crowded area. Business are strong only when if its brand strong in the market. It depicts
accessible meaning, fuels recognition, and helps in making big
The original Vivo logo, created in 2009, stayed with the brand for almost ten years. It was a bold custom
lettering in the lowercase of a smooth sans-serif typeface, executed in a calm blue color. The dot above
the letter “I” was drawn as a rhombus, with its angles slightly softened. As for the other elements of the
inscription, they featured their ends rounded, making the logotype look kind and friendly.

HISTORY OF VIVO
The company was founded in Dongguan, Guangdong, China, in 2009, and is currently owned
by BBK Electronics, which also owns other popular smartphone brands like Oppo and
OnePlus. Vivo began as a sub-brand of BBK Electronics, but quickly grew to become one of
the largest smartphone brands in China.

COMPANY PROFILE

Vivo Participances S/A (Vivo) is a Brazilian mobile telecommunication service provider,


controlled by two European companies: Portugal Telecom and Telefonica. The joint venture was
established in April 2003 and since then it is the largest mobile operator in the Southern
Hemisphere and one of the largest in the world. It is a leading mobile phone market with a
share of 29.9% and a base of about 50 million subscribers and roughly 10,500 direct employees.
It has national coverage and it is the only operator in Brazil that offers wireless services in
developed two key technologies used in the world – GSM and CDMA. Also it is the only one
that offers services of third generation, 3G and CDMA EVDO.

For the third consecutive year, Vivo’s brand has been regarded as the Country’s most valuable
mobile phone brand in the ranking organized by the British consulting firm Brand Finance,
recording a value of R$ 5.8 billion. The company is continuously focused on expanding and
improving connectivity among individuals, a commitment that has been summarized in the
expression “Vivo – Quality Signal”. For this purpose, it has been investing in the development
and improvement of technologies and services, as well as in policies geared to customer
satisfaction. As a result, Vivo has been offering to its customers a broad and innovative
portfolio of voice and data products and services.

Vivo’s main goal is to provide more and better services for customers to be able to connect
themselves – whenever they wish, however they wish, from wherever they wish, every time
more. Thus, it manages to stimulate a networked society, which brings along a huge source of
opportunities for people to develop progress and live better. Accordingly, Vivo feeds a virtuous
cycle which is reflected on the self-sustainable evolution of its own business.

In 2009, the company recorded a net income of R$ 16,4 Billion, a 5% growth over the previous
year. The company shares have been traded at the Sao Paulo Stock Exchange (BM&F Bovespa)
since 2006. These shares are also listed on the New York Stock Exchange1.2 RATIONALE

The mobile phone industry is one of the fastest growing industries in Brazil. In 2009, about 23
million new mobile phones started operating and according to Anatel (regulation institution),
the year ended with 175 million mobile phones in operation, a growth of about 16% in a year.
Vivo estimates that until 2012 the number of mobile phones in Brazil will exceed 200 million.
This means, on average, each Brazilian person will have a mobile phone of his/her own. These
days, mobile phones have been considered as part of consumers’ lives, a necessity rather than a
luxury. People can forget their wallets but not their mobile phones.

Due to a high rate of penetration (almost 94%), mobile phone operators have been struggling
to find new alternatives to increase their profits and retain their customers. Making profit from
new subscribers or voice revenues is becoming more and more challenging, since the market is
almost saturated and voice revenues have become a commodity. Bearing this in mind, Vivo has
been seeking applications that would allow them to provide long-term services for its
customers. Besides, Vivo recognizes that offering additional services can attract new customers
and stabilize its subscriber base. Data revenues growth is one of the answers that mobile phone
operators came up with to avoid decrease in ARPU (Average Revenue per User). In Brazil, non-
voice revenues represent only 13% of total ARPU. Though, Vivo is also the leading mobile
phone company regarding data ARPU revenues -18.4% on the last trimester of 2009. Mobile
operators in mature wireless markets such as South Korea and Japan have already reached 19%
and 29% of ARPU respectively.

On the other hand, customers are constantly searching for convenience and added value
services. They have become extremely demanding, taking advantage of the highly competitive
market that mobile companies are inserted in. Moreover, people expect companies to develop
products that exceed their expectations. Considering this scenery, Vivo spotted a great
opportunity to overcome those issues using its technology to develop a service called Mobile
Payment.

Mobile payment shows signs of being on the verge of enormous growth and, as such, offers
several strong incentives for mobile phone operators – including a new source of incremental
revenue and an incentive for customers to remain with a provider instead of switching.

LITERATURE REVIEW

Patrick Hartmann (2005) shows the main motive of brand positioning and brand attitude
perceived by the customers. The study analysed the emotional stability effected by the brand
of the company, so it must to improve and maintain the identity of the brand. Continuous
auditing helps in identifying the performance of brand which lead to the success of
framework.

Bhimrao M. Ghodeswar (2008) shows the important elements of brand building in the mobile
industry. As, brand building framework helps to make a good brand and its elements must be
in orders, which create the positioning in the market, shows the brand performance. Brand
building framework helps to easily access the brand auditing in the market.

Philip Kotler (2009) analysed the need of business to maintain the brand not only in the retail
market but also from business-to-business, which helps in succeeding the business and its
stock performance

Shirley Leitch (2013) shows the brand web conceptual framework which helps in creating the
ongoing analysis of brand relationship and brand corporate. This model related to today’s
corporate world economy which results high and tough competitions. This model deploys
through considering the relationship among the different corporate brands, identities, goals,
strategies, customers which help to make the relevant brand structure.

Alina Wheeler (2018) said that the competition is too high which differentiated only by an
identity i.e. Brand and Brand identity which helps to connect with the customers emotionally
and also helps in creating long time relationship. A strong brand visible differently in the
crowded area. Business are strong only when if its brand strong in the market. It depicts
accessible meaning, fuels recognition, and helps in making big ideas.
OBJECTIVES OF THE STUDY

The objectives of the present study include:

 To check the visibility of Vivo brand in the market by comparing the competitors
brand
 To work on various aspects of retail branding in Indian mobile industry
 To analyse the market data of Indian mobile industry and checked where Vivo brand
needs to improve
 To worked on competitor analysis and help in promotion of the products of Vivo

PART A – MARKETING PLANNING PROCESS

SITUATION ANALYSIS

Vivo currently offers mobile phone services to customers in its target market. Its core products
are voice-services (calls) and non-voice services (sms, media messaging, internet etc.). Those
services meet the needs of its market by offering the best quality from the customers’ view
point. Most consumers purchase Vivo’s services through stores (self-owned and dealers),
internet, telemarketing and consultants (corporative).

Its products gave it a competitive edge because Vivo has invested in the expansion of its
network across Brazil and in the improvement of its operations so that they could offer
customers greater coverage and a better signal quality. In the last few years, they have centered
all their resources and efforts in all that matters to the customers: services, customer relations
and billings/recharges.

Voice traffic is still the main source of income. In 2009 the total service’s revenue was R$ 15,006
millions (around £5,000 million) and voice contributed with R$ 12,000 millions and internet data
with the remaining – R$ 2,000 million.

The reason for this panorama is basically price. Internet access is still expensive compared to
voice tariffs.

Macro environment Analysis

Mobile phone providers, banks, brokerages, credit card companies and technologies businesses
have been investing over the years in payments services over the phone. Several pilot projects
are being tested. The stimulus could not be better. The number of mobiles phones in Brazil
reached 175 million last year.
The mobile money transfer and payment sector represents a significant prospective market for
mobile operators, financial service organizations, governments, retailers, and end users,
especially in developing markets like Brazil.

In the recent past, the whole Latin America was affected by hyper-inflation, resulting in the
desire for methods of fast money transfer in Brazil.

The desire to extend electronic payments to a convenient device like the ubiquitous and
personal mobile phone is high and, with mobile payments, the transaction can occur in real-
time – also desirable in a country with fluctuation inflation.

The rapid growth in access to mobile telecommunication in Brazil has created great
opportunities to provide secure, low-cost financial services using the local mobile networks.

Furthermore, mobile payments could also improve the economy and leverage financial
transactions since millions of people do not have bank accounts.

Even though this seems to be more beneficial then harmful, there is still no legislation which
could regulate this service over mobile phones. Though, the Federal Bank has already been
following this issue.

Industry Analysis

The mobile phone industry is one of the fastest growing industries in Brazil. In 2009 about 23
million new mobile phones started operating and, according to Anatel (regulation agency), the
year ended with 175 million mobile phones in operation, a growth of about 16% in a year.

Regarding the mobile phone rate payment plans, the prepayment plans continued to lead. They
are adopted by 80% of the whole domestic base. Meanwhile, post payment plans reached 28
million subscribers, that is, 20% of the total number.

Vivo estimates that until 2012 the number of cell phones in Brazil will exceed 200 million. This
means, on average, each Brazilian person will have a mobile phone.

The voice traffic is becoming saturated. More and more, people are demanding new services
and mobile phone providers have been trying to come up with new ideas. Services which could
improve its revenues as well as delivering services that can create value for customers.

The focus of this product development is about micro-payments. A high volume of transactions
of low amounts should attain economy of scale. Payments among people, door-to-door
businesses, delivery, loyalty programs and parallel market selling are some examples of
opportunities which mobile payment could tap into.

Mobile phone providers already have enough knowledge and technology to develop this
service. Their main advantage is that they could use their own network, avoiding extended
costs. In addition, they can benefit from its vast customers base.
The mobile payment service has a potential for rapid expansion, since the platform widely used
is SMS, compatible with any device. In the future, technology must be replaced by the NFC,
where the debt in the cell is done by passing the device in a sensor. In Japan, a pioneer in
mobile payment, this technology is already used for those using the phone as a transportation
vouchers, similar to the Oyster card system. There are already about 55 million mobile phones
acting as “electronic wallet” and the market grows 70% per annum and should reach 190
million people in 2012.

In Kenya, the mobile has become the main means of transferring money. The M-Pesa, used by
8 million people, equivalent to 18% of the population, is an alternative which was found to
overcome media precarious existence, how to send money by mail or bus drivers, in a country
where the population is little exposed to banking. This case shows how the telephone
operators, who generally have a range in the low income population much larger than the
banks, can exploit this opportunity to offer various financial services.

In Brazil, this is the keynote of the strategy of Oi Paggo , the only provider of mobile payment
service in the country where the service penetration is still low, but the potential is high. To the
public with access to credit card, the mobile payment functions are more practical and safe. As
for the pyramid’s base, it is the gateway to the same convenience similar to what a bank could
offer. The fact that the mobile POS payment is the shopkeeper’s own cell phone becomes a
great advantage because of the low cost of implementation, scope and practicality, since even
the seller of coconut water on the beach could use the phone as means of payment. The
opportunities are endless.

Critical Success Factors

Differentiate in a highly competitive market by developing innovative services which ease


peoples’ life and add value

Being recognized as the best mobile phone provider regarding service and signal quality

Distinctive Competency

Strong brand image

Leader in Market share

Knowledgeable staff – people

OBJECTIVES

Based on the analysis of our target market, competition, and the opportunities available in our
market, Vivo has developed marketing objectives and financial objectives for its marketing
efforts. In the end, these objectives support the company’s mission statement.

This section includes the objectives for this marketing plan, along with the keys to success and
critical issues that are associated with these objectives.
Corporate Objectives

The ultimate goal for this marketing plan is to improve the bottom line and increase
shareholder value. Financial objectives are in four categories: Sales, Margins, Profits, and Ratios.

To provide more and better services that foster a network society and to create potential
opportunities of development and progress – for people, corporation, society and country.

Quality services – Efforts to ensure that customers have access to quality services at the time
and where desired.

Customer services – Ensure customer satisfaction. Investing in training and systems which
provide an integrated view of information available on the customers.

Increase shareholders revenues – constant improvement in the company’s corporate


governance practices

Keep its leadership in the Brazilian mobile phone market – innovative solutions and increasing
coverage network.

Marketing Objectives

Increase the ARPU (average revenue per user) by 15%, within the next 2 years.

Retain the most active and profitable customers on the market – reducing the churn rate by
10% within the next 2 years – annualized 31.3% in 2008.

Continue reducing acquisition expenses investing in segmented markets – from R$ 102 (£ 34) in
2007 to R$ 77 (£ 26) in 2009 (per customer).

Introduce a new and revolutionary service that will ease customers’ life, creating another way of
payment (Mobile Payment) – register 2.5 million customers by the end of 2010 and increase
10% every month on the following year.

STRATEGIES

Vivo and its competitors have always been pursuing differentiation and innovation to get and
retain customers. Having this in mind, in the last few years Vivo has worked hard on its market
development, expanding its coverage nationally.

At the moment, in order to achieve its future goals, the most appropriated growth strategy is
one of product development. This could be achieved by enabling a revolutionary service, which
would add value for the company and for its customers.

The chosen competitive strategy was Differentiation. Vivo seeks to be unique in its industry
developing services that are widely valued by customers.
Segmentation, Targeting and Positioning

The segmentation analysis (showed below) demonstrates how customers are classified within
the company. These clusters were identified through behavioral measures. It includes service
usage and actual behavior such as buying patterns, usage data, channel, ownership, quantities,
brand loyalty, attitudes, etc. They have the following segmentation:

“Descomplicado” (Uncomplicated) – interested only in talking on the phone. Do not care about
the device and is highly price sensitive.

“Multifuncional” (Multifunctional) – interested in technologies, but in a moderate way. Wishes


to use every functionality of the device, such as email, agenda, video and photos in order to
facilitate their lives.

“Fashion” (Fashion) – concerned about individualization. Wants to be different and modern.


Focus on beauty than practicality.

“High-tech” (High-tech) – interested mainly in new technologies. Wants to have the latest
models. Little price sensitive.

TACTICS

The marketing mix approaches product, price, place, promotion, people, process and physical
evidence in the following ways:

Vivo Marketing Strategy & Marketing Mix (4Ps)

Product

Our main service, mobile payment, enables customer to benefit from convenience, facility and
an innovative service. This product will be the focus for targeting the “multifunctional” and
“high-tech” customers segments as it addresses the customers’ needs.

This is an intangible product and consists of 2 layers explained on the graphic below:

Here are some reasons to develop this product:

Retain and acquire new (profitable) customers

Continue to improve brand image

Increase non-voice services revenues

Price

The pricing of our product is based on Intermediate pricing. Our market is fairly developed and
has many competitors; therefore, our pricing strategy should be in line with competition.
A similar service has already been offered by one of our competitors (Company named Oi).
However, this company has a different approach of target, and the strategy used is slightly
different from ours. Besides, they haven’t reached great market share and its product is not
known of the public – 0.8% of its customer base is registered to use the service. For that reason,
we still considered our product as a USP.

Based on surveys and research of our target market, customers seem to be normally sensitive
to pricing of our products. We should price our product slightly above our competitors
following our strategy of having premium products.

The chart below shows details of our Pricing positioning.

Place

The main distribution channels for our products are through our own stores, dealers, internet
and telemarketing.

We want our product to be seen as an added value product, so it makes sense that it would be
available in every distribution channel. The distribution strategy adopted will be Direct and
Indirect Distribution.

The motives for choosing those two strategies is that we would like to have control of our
services, identify customers’ trends/behavior as well as using intermediates channels to
enhance marketing penetration.

Promotion

Launching a revolutionary product, we must communicate clearly with our customer and
prospects customers, it is important that we present a consistent marketing message between
the different marketing channels. Effective communication is vital to ensure that our service
generates significant impact within industry.

Objectives

There are 4 objectives to promote our products known as DRIP – Differentiate, Reinforce,
Inform and Persuade. Our main objective is to create awareness of our service. As mentioned
before, a similar service is offered by one of our competitors, but has not been wide spreading.
Therefore, it is still considered a new product to consumers and market.

Strategy

The company will implement both “push” and “pull” promotional strategy. However, we will do
this in 2 phases. At the beginning, we will focus on push strategy in order to better analyze the
response. Then, we can go to a more aggressive strategy, investing in heavy advertising and
campaigns.

Extended Marketing Mix

Since Vivo is considered as a major service category of company, there are some limitations
regarding tactics strategies which is more easily find in companies that deal with tangible
products. Services have four distinctive characteristic that greatly affect the design of marketing
programs: intangibility – cannot be seen, tasted, felt, heard or smelled before they are bought;
inseparability – services are typically produced and consumed simultaneously; variability –
services are highly variable, depends on who provides them; and perishability – services cannot
be stored. To overcome those limitations we need to use the extended P’s (People, Process and
Physical Evidence).

One of the most important competitive advantages of the company is being recognized as the
best mobile phone provider regarding service quality. Therefore it is highly important to
aggregate the extended mix in our tactics.

Vivo Product Strategy:


The product strategy and mix in Vivo marketing strategy can be explained as follows:
Vivo is a leading smartphone and consumer electronics brand. Vivo aims at providing quality
products and superior services in its marketing mix to its customers. Vivo positions itself as a
perfect selfie smartphone and thereby appeals to the youth. They focus on introducing
products that have a professional audio system, great appearance and provide fast and
smooth user experience. The Vivo brand believes in adopting creative and innovative
technology to produce new products.
In the year 2012, it introduced the X1 which is the first smartphone to incorporate a Hi-Fi chip
which gives an unparalleled audio experience. This feature has been included in all their
smartphones ever since. It has entered the Indian market in the year 2014. Vivo is ranked
among the top 10 smartphone makers in the world. In 2020, Vivo partnered with Zeiss to
develop new technological advancements in mobile imaging. More than 130 million
smartphones are sold by the brand every year.

Image: company website


Vivo Price/Pricing Strategy:
Below is the pricing strategy in Vivo marketing strategy:
Vivo offers high quality phones at affordable competitive prices. Vivo as a brand realizes some
of its markets are price sensitive market when it comes to the sale of smartphones and it is
important to be present in the right price band to have the advantage of gaining a healthy
market share.
Hence, Vivo has made its products available not only in all the price bands, but also in the
bands that have the maximum contribution towards the overall sales. Despite of this, the
products of the brand are priced a little higher as compared to similar products offered by other
competing brands. Mostly competitive pricing strategy is used in its marketing mix. The high
price of Vivo products is due to the number of features the phone offers, the look and design of
the piece, the battery life, the camera quality, performance and the audio and video quality as
well. However, a large number of customers are convinced to buy Vivo products despite of the
high prices due to the great after sales service that the brand offers. But many customers are
also of the view that Vivo needs to increase its value for money for its buyers by improving
specifications in some price segments, especially the low-price bands to further improve its
ranking in the Indian market. Vivo mobile phones start as low as $100 and the flagship models
can go up to $2000.
Read more about Vivo

 Vivo PESTLE Analysis


 Vivo SWOT Analysis
 Vivo Competitors

Vivo Place & Distribution Strategy:


Following is the distribution strategy in the Vivo marketing mix:
After being registered in the year 2009, Vivo has been registered in over 100 countries around
the world. It has internationally expanded in the Thailand, Indonesia, Vietnam, Malaysia,
Myanmar, the Philippines and India. India is one of the biggest markets for Vivo apart from
China and it is expected to surpass China in the near future. In 2017, Vivo was also launched
in Pakistan and is now the fastest growing smartphone brand in the country. Vivo sells its
products through online and well as offline mediums. They sell their products offline with the
help of various distributors, wholesalers and retailers that are spread across various countries.
The Vivo brand has adopted an aggressive offline strategy as it believes that the customers
want to get their hands on the device and experience how it feels before purchasing it. Their
focus is to make the product available in every electronics outlet and mega store, so that the
customer can experience the phone before purchasing it.
Vivo believes that the offline medium of selling their product is more effective as compared to
the online medium as there is no risk of unknown seller, product being different from
expectations and security threat.

Vivo Promotion & Advertising Strategy:


The promotional and advertising strategy in the Vivo marketing strategy is as follows:
Vivo is very proactive when it comes to advertising and promoting its brand. Vivo embraces a
360 degree marketing strategy and promotes its products through various conventional and
traditional mediums like ATL, BTL, print media, television commercials, social media, celebrity
endorsements and on-ground activities. It focuses specially on its on-ground activities which it
considers as its strongest advantage in China as well as in India. It also focuses on out of
home advertising to a good extent. Vivo has been actively sponsoring events like FIFA world
cup, IPL cricket and other big sporting events world over. The brand has also roped in several
celebrities as their brand ambassadors, who star in their commercial and talks about the new
Vivo phones. Vivo has also tied up with OOH companies to display its new smartphones on
billboards globally. This concludes the marketing mix of Vivo.

VIVO SWOT ANALYSIS


The purpose of SWOT analysis is to examine the Strengths, Weaknesses, Opportunities and Threats.
Hence, here is the Vivo Swot analysis.

SWOT Analysis
STRENGTHS
Following are the strengths under Vivo Swot analysis

SPONSORSHIPS
Vivo is one of the most prominent brands when it comes to sponsorship. The company has adopted a 360
degree marketing strategy but also uses sponsorships as a medium of establishing recall value. Therefore,
according to Vivo Swot analysis it gives the company a great amount of credibility and reliability.

HIGHLIGHTS:

Vivo was the title sponsor with the BCCI. The sponsorship is worth Rs 440 Crore. Sponsorship was
cancelled last year due to India-China political tension. However, the partnership is reportedly back on
track.
POPULARITY IN SOUTH ASIA
Vivo is a very popular smart phone company in South Asia. This is due to the primary reason of being
affordable and qualitatively better. Therefore , the popularity of the company in the South Asian markets
like India, Indonesia, and China helps generate high volumes of revenue.

HIGHLIGHTS:

Vivo saw a 45% growth in the Indian Market itself.

WEAKNESSES
Following are the weaknesses under Vivo Swot analysis

SIMILARITY WITH OTHER BRANDS


One of the greatest weaknesses of Vivo is that it appears similar to other phone brands. Therefore,
according to Vivo Swot analysis the company fails to distinguish its product from other competitors in
the market. Thus, according to Vivo Swot analysis, Vivo should focus on highlighting the difference in
its products.

HIGHLIGHTS:

The main competitors of vivo are Oneplus, Oppo and Xiaomi.

THREATS
Following are the weaknesses under Vivo Swot analysis

PRICE SENSITIVITY
The competition in the mobile phone business is highly price sensitive. Therefore, according to Vivo
Swot analysis, the competition is high because the alternative is presented at the same amount. The
alternative is the perfect substitute and thus the market for such smartphones is highly price sensitive as
the features of such phones are more or less similar.
QUALITY + BUDGET : VIVO MARKETING STRATEGY

Vivo Budget Smartphones


Vivo phones are not a spin off or a copy of some other phone present in the market. The Vivo marketing
strategy is extremely popular in channeling the quality as well as the budget aspect of the company. Price
of the Vivo phones is not high and can be afforded by a common person doing a modest job. Hence, the
company caters to quality and also user accessibility. Vivo marketing strategy highlights these key
aspects which enables the sales of Vivo phones.

UPDATING WITH TIME : VIVO MARKETING STRATEGY


The Vivo phones entered the market when smartphones were in great demand. People were looking for
smartphones which are affordable and usable at the same time. Vivo marketing strategy has always
promoted the technically advanced side of the company. The Vivo marketing strategy is responsible for
advocating the upgradation and relevance. Hence, this move of the Vivo marketing strategy has allowed
the people to retain faith in the company.

360 DEGREE MARKETING : VIVO MARKETING STRATEGY


This amazing Vivo marketing strategy has given it an upper hand in terms of advertising its interest. The
company has used various means and mediums of advertisement. There are popular TVCs with famous
actors and sports celebrities. Vivo marketing strategy is also prominent in print media and
digital marketing. Therefore, the brand not only sells a story but also an an idea which captures the
attention of the viewers. Vivo marketing strategy creates a mind blowing recall value in the minds of its
consumers.

Virat Kohli is currently the brand ambassador for Vivo. The brand wishes to portray and highlight
consistency. As a cricketer and a sportsman, Virat Kohli can do justice to the ideal of being consistent.
He matches the brand value and will be involved in a 360 degree promotion of the brand.
VIVO PESTLE ANALYSIS | VIVO MARKETING STRATEGY

Vivo PESTLE Analysis


POLITICAL FACTORS

 The US- China trade war. Consequently, the export duties to the US have sky rocketed ever since
the trade war began.

ECONOMIC FACTORS

 Vivo PESTLE analysis examines that, national currency of China with respect to the Dollar is at a
very delicate stage.
 The Vivo PESTLE analysis also examines that the high rate of unemployment in South Asia can
also affect the Vivo sales.

SOCIAL FACTORS

 Vivo PESTLE analysis examines that phones flaunt the social standing. People would like to buy
high end phones to reflect their social standing. Vivo is not considered a high end device.
 The Vivo marketing strategy is hence also affected by the social and cultural factors of a region,
according to Vivo PESTLE analysis.

TECHNOLOGICAL FACTORS

 Vivo PESTLE analysis examines that vivo should advance technically. Thus, only then will it be
possible to stay relevant in the market. The use of AI should be prevalent.
 A brand is likely to become extinct if the operating systems and other client requirements are not
fulfilled, according to Vivo PESTLE analysis.
LEGAL FACTORS

 Vivo created the elevated selfie camera. Such inventions should be trademarked instantly to
protect the theft of intellectual property, according to Vivo PESTLE analysis.
 As an international company, Vivo should also consider the laws of different lands and obey
them, according to Vivo PESTLE analysis.

ENVIRONMENTAL FACTORS

 Vivo PESTLE analysis examines that vivo should be careful with the carbon footprint that it
leaves behind after production of each unit.
DATA ANALYSIS AND INTERPRETATION
The following consist of the data analysis and interpretation of my questionnaire:

4.1 Survey analysis of data

4.1.1. Age of respondents

Table 4.1

S.NO PARTICULARS NO. OF RESPONDENTS PERCENTAGE

1 Below 18 5 8%
2 18-25 32 46%
3 25-30 9 13%
4 30-40 18 26%
5 ABOVE 40 5 7%
TOTAL 69 100%

Interpretation:

In the chart we can observe 46% of respondent are between age of 18-25. 26% of the
respondent are between age of 30-40. 13% of the respondent are between age of 25- 30. 8% of
the respondent are between age of below 18. 7% of the respondent are between age of above 40.
Mostly the age group between 18-25 are most preferred to purchase vivo products.
Fig 4.1 age of respondents

age of respondents
4.1.2. Gender of respondents

Table 4.2
S.NO PARTICULARS NO. OF RESPONDENTS PERCENTAGE

1 Male 37 53.6%

2 female 32 46.4%

TOTAL 69 100%

Interpretation:

From the chart 53.6% of the respondent is male. 46.4% of the respondent is female. The maximum 37
is male respondent and the minimum 32 is female respondent.

Fig 4.2 gender of respondents

gender of respondent
4.1.3. Educational Qualification of the respondents

Table 4.3

S.NO PARTICULARS NO. OF RESPONDENTS PERCENTAGE

1 Up to SSLC 2 3%

2 HSE 5 7%

3 Under graduate 32 47%

4 Post graduate 25 36%

5 Others 5 7%

TOTAL 69 100%

Interpretation:

From the chart 47% of the respondent is under graduate. 36% of the respondent is post
graduate. 7% respondent is HSE. 7% respondent is Others and 3% respondents is up to SSLC.
The maximum 47 is under graduate respondent and the minimum 3 is up to SSLC respondent.
educational qualification of respondents

Fig 4.3 Educational qualification of respondents:


4.1.4. WHY DO YOU PREFER VIVO PRODUCTS OF THE RESPONDENTS:

S.NO PARTICULARS NO. OF RESPONDENTS PERCENTAGE

1 Affordable 31 45%

2 Quality 25 36%

3 Others 13 19%

TOTAL 69 100%

Interpretation:

From the chart 45% of the respondent is affordable. 36% of the respondent is Quality.19%
respondent is others. The maximum 45 respondent is affordable and the minimum is 19
respondents is others.
WHY DO YOU PREFER VIVO PRODUCTS OF THE
RESPONDENTS

Fig 4.4 Why do you prefer vivo products respondents:


4.1.5. What is your occupation OF THE RESPONDENTs

Table 4.5

S.NO PARTICULARS NO OF PERCENTAGE


RESPONDENTS

1 School 10 14.4%

2 College 36 52.1%

3 Job 16 23.2%

4 Others 7 10.3%

TOTAL 69 100%

Interpretation:

From the chart 52.1% of the respondent is college. 23.2%of the respondent is job. 14.4%
respondent is school and 10.3% of the respondent is others. The maximum 52.1 is college
respondent and the minimum 10.3 is others respondents.
occupation

Fig 4.5 occupation of the respondents.

4.1.6. Since how long have you been using your vivo mobiles phone of respondents:

Table 4.6

S.NO PARTICULARS NO. OF RESPONDENTS PERCENTAGE

1 Less than 6 months 12 17.3%

2 Less than a year 23 33.3%

3 More than a year 34 49.4%

TOTAL 69 100%
Interpretation:

From the chart 49.4% of the respondent is more than a year. 33.3% of the respondent is less
than a year and 17.3% of the respondent is less than 6 months. The maximum is 49.4
respondent is more than a year and minimum 17.3 respondent is less than 6 months.

how long have you been using your vivo mobiles phone of respondents

Fig 4.6 how long have you been using your vivo mobiles phone of respondents

4.1.7. Which outlets do you prefer buying your vivo mobile from? Respondent
Table 4.7

S.NO PARTICULARS NO. OF RESPONDENTS PERCENTAGE

1 Mobile shop 28 40.5%

2 Hypermarkets & malls 6 8.6%

3 Place that offers 19 27.5%


payments installments
4 Online purchasing 16 23.4%

TOTAL 69 100%

Interpretation:

In the chart 40.5% of respondent is mobile shop. 27.5% of respondent is place that offers
payments installments.23.4% of respondent is online purchasing. 8.6% of respondent is
hypermarkets & malls. the maximum of respondents40.5 is mobile shop and the minimum of
respondents 8.6 hypermarkets and malls.
Which outlets do you prefer buying your vivo mobile respondents

Fig 4.7 outlets do you prefer buying your vivo mobile respondents:

4.1.8. What do you think about the quality of vivo mobile phones of respondents:

Table 4.8
S.NO PARTICULARS NO. OF PERCENTAGE
RESPONDENTS

1 Bad 22 31.8%

2 Good 36 52.3%

3 Best 11 15.9%

TOTAL 69 100%

Interpretation:

The above chart explains 52.3% of respondents is good. 3 1 . 8 % of respondents is bad and
15.9% of respondents is best. The maximum is 52.3 respondents is good and the minimum is 15.9
respondent is best.
the quality of mobile phones

Fig 4.8 the quality of vivo mobile phones of respondents


4.1.9. Which of the following statement is best choice you
when purchasing vivo mobile respondents:

Table 4.9

S.NO PARTICULARS NO. OF PARTICULARS


RESPONDENTS

1 Style 10 14.4%

2 Infotainment 12 17.6%

3 Multimedia 19 27.5%
4 Business 15 21.7%
5 Connected 13 18.8%
TOTAL 69 100%

Interpretation:

The table explains that 27.5% of the respondent is for multimedia .21.7% of respondent is for
business. 18.8% of the respondent is for connected. 17.6% of the respondents is for infotainment
and 14.4% of the respondents is for style. The maximum 27.5 respondent is for multimedia and
the minimum 14.4 respondent is for style.
best choice you when purchasing vivo mobiles

Fig 4.9 best choice you when purchasing vivo mobiles


4.1.10. How satisfied you are with the user enterprise respondents:

Table 4.10

S.NO PARTICULARS NO. OF PERCENTAGE


RESPONDENTS

1 Highly satisfied 32 46.3%

2 Satisfied 16 23.1%

3 Neutral 12 17.3%

4 Disagree 6 8.6%

5 Highly disagree 3 4.7%

TOTAL 69 100%

Interpretation:

The above table shows that 46.3% of the respondent is highly satisfied. 23.1% of the
respondents is satisfied. 17.3% of the respondents is neutral. 8.6% of the respondents is disagree
and 4.7% of the respondents is highly disagree. The maximum respondents is 46.3 is highly
satisfied and the minimum respondent is 4.7 for highly disagree.
satisfied you are with the user enterprise respondents

Fig 4.10 satisfied you are with the user enterprise respondents
4.1.11. Do you recommend vivo mobile phone to your friends and relatives respondents

Table 4.11

S.NO PARTICULARS NO. OF PERCENTAGE


RESPONDENTS

1 Yes of course 37 53.6%

2 May be couple of them 16 23.3%

3 No I won’t 5 7.2%

4 I don’t know 11 15.9%

TOTAL 69 100%

Interpretation:

From the chart 53.6% of the respondent is yes of course. 23.3% of the respondent is may be
couple of them. 15.9% of the respondent is I don’t know and 7.2% of the respondent is no I
won’t. The maximum 53.6 respondent is yes of course and minimum 7.2 respondents is no I
won’t.
recommend vivo mobile phone to your friends and relatives
respondents

yes of course may be couple of them no I wont I don’t know

Fig 4.11 recommends vivo mobile phone to your friends and relatives respondents

Do vivo mobiles phones complete your primary uses like gaming, music and social
networking respondents

Table 4.12

S.NO PARTICULARS NO. OF PERCENTAGE


RESPONDENTS

1 Yes 59 85.5%

2 No 10 14.5%

TOTAL 69 100%

Interpretation:

In The chart 85.5% of respondent is said yes and 14.5%of respondent is said no. The
maximum 85.5 respondents is yes and minimum 14.5 respondents is no.

Do vivo mobiles phones complete your primary uses like gaming,


music and social networking respondents

Fig 4.12 Do vivo mobiles phones complete your primary uses like gaming, music and social
networking respondents
Rate the preference on vivo mobiles

Table 4.13

S.NO PARTICULARS NO OF PERCENTAGE


RESPONDENTS

1 5 45 65.2%

2 4 6 8.6%

3 2 0 0

4 3 3 4.3%

5 1 15 21.9%

TOTAL 69 100%

Interpretation:

In The chart 65.2% of respondents is 5. 21.9% of respondent is 1. 8.6% of respondents is 4.


4.3% of respondents is 3 and 0% of the respondent is 2. The maximum 65.2 of respondents is
5 and minimum 4.3 of respondents is 3. And 0 is the respondent of 2.
Fig 4.13 Rate the preference on vivo mobiles
Rate the preference on vivo mobiles

How many vivo mobiles do you have now:

Table 4.14

S.NO PARTICULARS NO OF PERCENTAGE


RESPONDENTS
1 1 51 73.9%

2 2 10 14.4%

3 More than 2 8 11.7%

TOTAL 69 100%

Interpretation:

In The chart 73.9% of respondents is having 1 phone. 14.4% of respondent is having 2 phones
and 11.7% of respondents is having more than 2. The maximum 73.9 respondents is for 1 phone
and minimum 11.7 respondents is for more than 2 phone.
How many vivo mobiles do you have now:

Fig 4.14 How many vivo mobiles do you have now

What the range you are willing to pay for Vivo mobiles

Table 4.15

S.NO PARTICULARS NO OF PERCENTAGE


RESPONDENTS

1 10000 23 33.3%

2 12000 24 34.9%

3 More than 12000 22 31.8%


TOTAL 69 100%
Interpretation:

In The chart 34.9% of the respondents are 12000rs. 33.3% of respondents are 10000rs and 31.8%
of respondents are more than 12000. The maximum 34.9 respondents are 12000 and minimum
31.8 respondents are more than 12000.

DATA ANALYSIS AND INTERPRETATION


The following consist of the data analysis and interpretation of my questionnaire:

4.1 Survey analysis of data

4.1.1. Age of respondents

Table 4.1

S.NO PARTICULARS NO. OF RESPONDENTS PERCENTAGE

1 Below 18 5 8%
2 18-25 32 46%
3 25-30 9 13%
4 30-40 18 26%
5 ABOVE 40 5 7%
TOTAL 69 100%

Interpretation:

In the chart we can observe 46% of respondent are between age of 18-25. 26% of the
respondent are between age of 30-40. 13% of the respondent are between age of 25- 30. 8% of
the respondent are between age of below 18. 7% of the respondent are between age of above 40.
Mostly the age group between 18-25 are most preferred to purchase vivo products.
Fig 4.1 age of respondents

age of respondents
4.1.2. Gender of respondents

Table 4.2
S.NO PARTICULARS NO. OF RESPONDENTS PERCENTAGE

1 Male 37 53.6%

2 female 32 46.4%

TOTAL 69 100%

Interpretation:

From the chart 53.6% of the respondent is male. 46.4% of the respondent is female. The maximum 37
is male respondent and the minimum 32 is female respondent.

Fig 4.2 gender of respondents

gender of respondent
4.1.3. Educational Qualification of the respondents

Table 4.3

S.NO PARTICULARS NO. OF RESPONDENTS PERCENTAGE

1 Up to SSLC 2 3%

2 HSE 5 7%

3 Under graduate 32 47%

4 Post graduate 25 36%

5 Others 5 7%

TOTAL 69 100%

Interpretation:

From the chart 47% of the respondent is under graduate. 36% of the respondent is post
graduate. 7% respondent is HSE. 7% respondent is Others and 3% respondents is up to SSLC.
The maximum 47 is under graduate respondent and the minimum 3 is up to SSLC respondent.
educational qualification of respondents

Fig 4.3 Educational qualification of respondents:


4.1.4. WHY DO YOU PREFER VIVO PRODUCTS OF THE RESPONDENTS:

S.NO PARTICULARS NO. OF RESPONDENTS PERCENTAGE

1 Affordable 31 45%

2 Quality 25 36%

3 Others 13 19%

TOTAL 69 100%

Interpretation:

From the chart 45% of the respondent is affordable. 36% of the respondent is Quality.19%
respondent is others. The maximum 45 respondent is affordable and the minimum is 19
respondents is others.
WHY DO YOU PREFER VIVO PRODUCTS OF THE
RESPONDENTS

Fig 4.4 Why do you prefer vivo products respondents:


4.1.5. What is your occupation OF THE RESPONDENTs

Table 4.5

S.NO PARTICULARS NO OF PERCENTAGE


RESPONDENTS

1 School 10 14.4%

2 College 36 52.1%

3 Job 16 23.2%

4 Others 7 10.3%

TOTAL 69 100%

Interpretation:

From the chart 52.1% of the respondent is college. 23.2%of the respondent is job. 14.4%
respondent is school and 10.3% of the respondent is others. The maximum 52.1 is college
respondent and the minimum 10.3 is others respondents.
occupation

Fig 4.5 occupation of the respondents.

4.1.6. Since how long have you been using your vivo mobiles phone of respondents:

Table 4.6

S.NO PARTICULARS NO. OF RESPONDENTS PERCENTAGE

1 Less than 6 months 12 17.3%

2 Less than a year 23 33.3%

3 More than a year 34 49.4%

TOTAL 69 100%
Interpretation:

From the chart 49.4% of the respondent is more than a year. 33.3% of the respondent is less
than a year and 17.3% of the respondent is less than 6 months. The maximum is 49.4
respondent is more than a year and minimum 17.3 respondent is less than 6 months.

how long have you been using your vivo mobiles phone of respondents

Fig 4.6 how long have you been using your vivo mobiles phone of respondents

4.1.7. Which outlets do you prefer buying your vivo mobile from? Respondent
Table 4.7

S.NO PARTICULARS NO. OF RESPONDENTS PERCENTAGE

1 Mobile shop 28 40.5%

2 Hypermarkets & malls 6 8.6%

3 Place that offers 19 27.5%


payments installments
4 Online purchasing 16 23.4%

TOTAL 69 100%

Interpretation:

In the chart 40.5% of respondent is mobile shop. 27.5% of respondent is place that offers
payments installments.23.4% of respondent is online purchasing. 8.6% of respondent is
hypermarkets & malls. the maximum of respondents40.5 is mobile shop and the minimum of
respondents 8.6 hypermarkets and malls.
Which outlets do you prefer buying your vivo mobile respondents

Fig 4.7 outlets do you prefer buying your vivo mobile respondents:

4.1.8. What do you think about the quality of vivo mobile phones of respondents:

Table 4.8
S.NO PARTICULARS NO. OF PERCENTAGE
RESPONDENTS

1 Bad 22 31.8%

2 Good 36 52.3%

3 Best 11 15.9%

TOTAL 69 100%

Interpretation:

The above chart explains 52.3% of respondents is good. 3 1 . 8 % of respondents is bad and
15.9% of respondents is best. The maximum is 52.3 respondents is good and the minimum is 15.9
respondent is best.
the quality of mobile phones

Fig 4.8 the quality of vivo mobile phones of respondents


4.1.9. Which of the following statement is best choice you
when purchasing vivo mobile respondents:

Table 4.9

S.NO PARTICULARS NO. OF PARTICULARS


RESPONDENTS

1 Style 10 14.4%

2 Infotainment 12 17.6%

3 Multimedia 19 27.5%
4 Business 15 21.7%
5 Connected 13 18.8%
TOTAL 69 100%

Interpretation:

The table explains that 27.5% of the respondent is for multimedia .21.7% of respondent is for
business. 18.8% of the respondent is for connected. 17.6% of the respondents is for infotainment
and 14.4% of the respondents is for style. The maximum 27.5 respondent is for multimedia and
the minimum 14.4 respondent is for style.
best choice you when purchasing vivo mobiles

Fig 4.9 best choice you when purchasing vivo mobiles


4.1.10. How satisfied you are with the user enterprise respondents:

Table 4.10

S.NO PARTICULARS NO. OF PERCENTAGE


RESPONDENTS

1 Highly satisfied 32 46.3%

2 Satisfied 16 23.1%

3 Neutral 12 17.3%

4 Disagree 6 8.6%

5 Highly disagree 3 4.7%

TOTAL 69 100%

Interpretation:

The above table shows that 46.3% of the respondent is highly satisfied. 23.1% of the
respondents is satisfied. 17.3% of the respondents is neutral. 8.6% of the respondents is disagree
and 4.7% of the respondents is highly disagree. The maximum respondents is 46.3 is highly
satisfied and the minimum respondent is 4.7 for highly disagree.
satisfied you are with the user enterprise respondents

Fig 4.10 satisfied you are with the user enterprise respondents
4.1.11. Do you recommend vivo mobile phone to your friends and relatives respondents

Table 4.11

S.NO PARTICULARS NO. OF PERCENTAGE


RESPONDENTS

1 Yes of course 37 53.6%

2 May be couple of them 16 23.3%

3 No I won’t 5 7.2%

4 I don’t know 11 15.9%

TOTAL 69 100%

Interpretation:

From the chart 53.6% of the respondent is yes of course. 23.3% of the respondent is may be
couple of them. 15.9% of the respondent is I don’t know and 7.2% of the respondent is no I
won’t. The maximum 53.6 respondent is yes of course and minimum 7.2 respondents is no I
won’t.
recommend vivo mobile phone to your friends and relatives
respondents

yes of course may be couple of them no I wont I don’t know

Fig 4.11 recommends vivo mobile phone to your friends and relatives respondents

Do vivo mobiles phones complete your primary uses like gaming, music and social
networking respondents

Table 4.12

S.NO PARTICULARS NO. OF PERCENTAGE


RESPONDENTS

1 Yes 59 85.5%

2 No 10 14.5%

TOTAL 69 100%

Interpretation:

In The chart 85.5% of respondent is said yes and 14.5%of respondent is said no. The
maximum 85.5 respondents is yes and minimum 14.5 respondents is no.

Do vivo mobiles phones complete your primary uses like gaming,


music and social networking respondents

Fig 4.12 Do vivo mobiles phones complete your primary uses like gaming, music and social
networking respondents
Rate the preference on vivo mobiles

Table 4.13

S.NO PARTICULARS NO OF PERCENTAGE


RESPONDENTS

1 5 45 65.2%

2 4 6 8.6%

3 2 0 0

4 3 3 4.3%

5 1 15 21.9%

TOTAL 69 100%

Interpretation:

In The chart 65.2% of respondents is 5. 21.9% of respondent is 1. 8.6% of respondents is 4.


4.3% of respondents is 3 and 0% of the respondent is 2. The maximum 65.2 of respondents is
5 and minimum 4.3 of respondents is 3. And 0 is the respondent of 2.
Fig 4.13 Rate the preference on vivo mobiles
Rate the preference on vivo mobiles

How many vivo mobiles do you have now:

Table 4.14

S.NO PARTICULARS NO OF PERCENTAGE


RESPONDENTS
1 1 51 73.9%

2 2 10 14.4%

3 More than 2 8 11.7%

TOTAL 69 100%

Interpretation:

In The chart 73.9% of respondents is having 1 phone. 14.4% of respondent is having 2 phones
and 11.7% of respondents is having more than 2. The maximum 73.9 respondents is for 1 phone
and minimum 11.7 respondents is for more than 2 phone.
How many vivo mobiles do you have now:

Fig 4.14 How many vivo mobiles do you have now

What the range you are willing to pay for Vivo mobiles

Table 4.15

S.NO PARTICULARS NO OF PERCENTAGE


RESPONDENTS

1 10000 23 33.3%

2 12000 24 34.9%

3 More than 12000 22 31.8%


TOTAL 69 100%
Interpretation:

In The chart 34.9% of the respondents are 12000rs. 33.3% of respondents are 10000rs and 31.8%
of respondents are more than 12000. The maximum 34.9 respondents are 12000 and minimum
31.8 respondents are more than 12000.

FINDINGS, SUGGESTIONS AND CONCLUSION


Based on the analysis and discussion on primary data in the previous chapter. Finding,
Suggestions, and Conclusion of the study in logical manner.

5.1 FINDINGS
From the questionnaire, the following points are found and noted:
 Majority (46%) respondents are age between 18 – 25.
 Majority (53.6%) of gender of respondents are Male.
 Majority (47%) of the respondents are Under graduates.
 Majority (45%) of the respondents are Affordable.
 Majority (52.1%) of the respondents of occupation.
 Majority (49.4%) of respondents of how long have you been using vivo mobiles.
 Majority (40.5%) of the respondent’s outlets do you prefer buying your vivo mobile from
 Majority (52.3%) of the respondents are about the quality of vivo mobile phones.
 Majority (27.5%) of the respondents is best choice you prefer when purchasing vivo
mobiles.
 Majority (46.3%) of the respondents of how satisfied you are with the user enterprise
 Majority (53.6%) of the respondents do you recommend vivo mobile phone to your friends
and relatives.
 Majority (85.5%) of the respondents of mobiles phones complete your primary uses.
 Majority (65.2%) of the respondents gave 5 as rating.
 Majority (73.9%) of the respondents of how many vivo mobiles do you have now.
 Majority (73.9%) of the respondents of how many vivo mobiles do you have now.

5.2 SUGGESTIONS
 The overall experience index from the study reveals that the company (VIVO) is performing
very well and customers buying are much experience with the service given to them.
 Some of the customers have complained about the lack in the delivery process in online
shopping. Need to become little quicker, faster, and deliver the product without any damage
 That's not to say VIVO phones aren't good quality. From around
2018 onwards, VIVO's quality control and finesse improved
dramatically. It now makes some of the most durable and reliable
phones on the market at this price point.
 More attractive advertisement, offers, sales has to
provide through various advertisement media
channels.

5.3 CONCLUSION:

 VIVO is Chinese brand which came to INDIA in the year 2014 December
.
25th

 In Bhubaneswar it launched its product in 12th march 2015. it is


new to Indian market and has tuff competition with other
competitors

 So in this type of competition no company can rely on single direct marketing


form.

 So companies are using all types of direct marketing at so vivo


need to do remaining direct marketing forms.

REFERENCES:

 Faulker, C. (2018, January 30). 3 reasons why now is a


terrible time to buy a new vivo smartphone.
https://www.techradar.com/news/should-i-buy-a-new-
vivo- smartphone-today
 Sethi, A., & Chandel, A. (2015). Consumer buying
preference towards entry level smartphone.
 Stafford, M.R. (1996). Demographic Discriminators of
Service Quality in the Banking Industry.

WEBSITES:
 www.irjbm.org

 www.opec.org

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