swot analysis for idea ad and promotion strategy

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IDEA CELLULAR’S ADVERTISING AND PROMOTION STRATEGIES BY M.V.SAIMAHESH 13BSP1569 SEC-B SWOT ANALYSIS FOR ‘A GOOD IDEA’ CAMPAIGN STRENGTHS: Strong distribution channel and good relations with parent company. High service quality and network coverage. Innovative strategies to attract customer attention. Low local call charges. Analysts appreciated Idea’s ads for being creative Celebrity endorsement for the product. Creative advertising team. WEAKNESSES: Spending huge money on Advertising Celebrity endorsement is high cost advertising than normal advertising Low coverage in India Market leader only in North India Less market share in urban market OPPORTUNITIES: The Indian telecommunication industry is growing at faster rate Low penetration, more particularly in rural India. Ad campaign like “What an idea sirji” by Bachchan is created huge market share and growth New advertising channels like Facebook, Bing, and YouTube etc.., Idea tied up with several news channels and radio broadcasters to promote this campaign further. “Walk when you talk” Campaign creates an opportunities for new customers Increasing number of subscribers. Opportunities of economies of scale and high customer value

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Page 1: Swot analysis for idea ad and promotion strategy

IDEA CELLULAR’S ADVERTISING AND PROMOTION STRATEGIES

BY

M.V.SAIMAHESH

13BSP1569

SEC-B

SWOT ANALYSIS FOR ‘A GOOD IDEA’ CAMPAIGN

STRENGTHS:

Strong distribution channel and good relations with parent company.

High service quality and network coverage.

Innovative strategies to attract customer attention.

Low local call charges.

Analysts appreciated Idea’s ads for being creative

Celebrity endorsement for the product.

Creative advertising team.

WEAKNESSES:

Spending huge money on Advertising

Celebrity endorsement is high cost advertising than normal advertising

Low coverage in India

Market leader only in North India

Less market share in urban market

OPPORTUNITIES:

The Indian telecommunication industry is growing at faster rate

Low penetration, more particularly in rural India.

Ad campaign like “What an idea sirji” by Bachchan is created huge market

share and growth

New advertising channels like Facebook, Bing, and YouTube etc..,

Idea tied up with several news channels and radio broadcasters to

promote this campaign further.

“Walk when you talk” Campaign creates an opportunities for new

customers

Increasing number of subscribers.

Opportunities of economies of scale and high customer value

Page 2: Swot analysis for idea ad and promotion strategy

THREATS:

Intense competition.

Customers loyalty is low

Increasing cost of promotion.

Increased network cost.

Alternative technologies like Imax, VOIP (Skype).

Market demand may slow down.

Govt. rules and regulations.

SWOT ANALYSIS FOR IDEA ASSOCIATION WITH IPL:

STRENGTHS:

Innovative campaign “Call the Cricketers” Sponsoring Mumbai Indians team as a plus point, where large number of

customers favourite team because of Sachin Tendulkar. Idea Logo on their uniforms during the IPL tour The campaign provided Idea with huge visibility. This campaign were publicized through TV ads, outdoor media, and on the

Internet. By this it will reach all the cricket lovers

WEAKENESSES:

This campaign is only for cricket lovers. Spending lot of money on IPL that to it attracts only cricket lovers. There is a less probability that few customers can change to other

networks because of this ad campaign, reasons are 1. It supporting only Mumbai Indians

2. From campaign people who are rejected from the interesting call list

they may be chance to change to other network.

OPPORTUNITIES:

According to data 75% of calls registered were from subscribers of other

service providers. It can increase their market share Up to 2011 it is a sponsor for Mumbai Indians

Page 3: Swot analysis for idea ad and promotion strategy

THREATHS:

From other IPL teams Aircel is for Chennai super kings and etc.., Competitors increasing marketing budgets. Increasing cost of promotion. Intense competition.

SWOT ANALYSIS FOR THE ‘OUT-OF-HOME’ CAMPAIGNS

STRENGTHS:

Idea had been using OOH media like hoardings, public transport systems

and bus shelters It used the entire railway station in the city to promote the brand. Around 65 trains passed through Surat station every day. Attention of train passengers and other passengers.

WEAKNESSES:

It covers only surat station in Gujarat This campaign reaches only to train passengers.

OPPORTUNITIES:

Company has upgraded the number of its cellular sites in surat Support from Indian Railways Value added services Expanding business operations

THREATHS:

Intense competition Entry of foreign players Regulatory risks and licensing fees Increasing cost of promotion Government rules and regulations