The initial success has prompted telecom companies to hardsell the new service.
From population control to superman – telecom companies are pulling out all the stops to break the clutter while hard selling their 3G services. Everyone is hoping the innovative concepts and the underlying humour would do the trick in the marketplace.
So if Vodafone showcased a superman with obvious shades of Rajnikanth, Idea has gone one up by pitching a 3G connection on your phone as a means to control population by providing entertainment and connectivity even during power cuts. On the other hand, Reliance Communications is sticking to basics as it is comparing buffering, glitched videos to super fast ones, emphasising on 3G speeds, in short and snappy television advertisements.
“Our campaign is timed with our 3G coverage expansion to 333 towns, making us the widest 3G network in India. It demonstrates our relative strength on quality vis-à-vis competitor networks,” says Sanjay Behl, Head, Brand & Marketing, Reliance Communications.
The RCom ad features two creatives – the ‘no pixilation’ film has a little girl reciting the nursery rhyme ‘I’m a little teapot’, while the ‘zero buffer time’ film shows a girl getting frustrated while trying to sing, until she switches to Reliance 3G.
As Reliance is trying to emphasise the quality of its network, Idea is pushing usage of its 3G brand. Idea Cellular Managing Director Himanshu Kapania says “We have observed that amongst our two million 3G subscriber base, only 25 per cent is active on a daily basis. We are looking to increase usage amongst our subscribers.”
The company’s latest campaign thus promotes the practical applications of 3G service. “Idea brand campaigns have always celebrated champion ideas. This time, the champion idea is 3G which has a strong entertainment appeal, and has been designed to resonate with the larger audience,” says Sashi Shankar, chief marketing officer of Idea Cellular.
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Analysts opine that the latest round of campaigns has come in after the success that 3G has seen in attracting new customers. According to data published by an international market research company Telegeography, the number of 3G subscribers in India is around 12.2 million, and has grown 400 per cent in the last one year, to March 2011.
Private telecom players have started 3G launches since November last year, with major companies like Vodafone and Bharti launching around March. State-owned telecom players BSNL and MTNL have been offering this service since 2009.
As coverage and competition increased, the subscription base went up by 73 per cent in the first quarter of 2011, coinciding with the 3G service launch by three companies, including Idea Cellular.
“A number of operators have de-bottlenecked their 3G networks. A number of pilots have proved to be successful. Moreover, they have also understood how consumers are reacting and adapting to the service, with some history behind them,” says Alok Shende, co-founder and principal analyst, Ascentius Consulting.
Services offered via 3G are also the future revenue drivers for operators after 2G voice services became commoditised due to fall in tariffs. “Going by some of the tariff plans, the margins in 3G are very good,” observes Shende.
Airtel, Aircel and Reliance Communications each own 3G spectrum licence in 13 of the 22 telecom circles, while Vodafone, Idea and the Tatas each have licence in nine circles. Since the stakes are high to gain traction, companies are also going beyond just pan-India TV commercials.
Vodafone recently launched ‘3G on wheels’ campaign where a LED bus with outdoor screens and illuminated message viewing is doing the rounds in the high traffic areas of Mumbai. The interior of the buses has been re-designed to create an experience zone.
“We had a high decibel launch campaign to announce and create awareness about Vodafone 3G. Now it’s time to go closer to the customers and help them get a firsthand experience. We are continuously doing so through on ground engagement, retail and experiential events,” says a spokesperson of Vodafone.
The second largest telecom player in the country claims that it has seen a surge of awareness amongst 70-75 per cent consumers.
Idea Cellular too set up 450 experience zones across major markets to spread awareness of the service along with handsets and devices. The operator is planning to expand 3G services to 3,000 towns by the end of this fiscal.
Last month, Bharti Airtel, Vodafone and Idea struck a deal that will allow them to share their networks with each other through inter and intra-circle roaming agreements to provide 3G services to their respective customers across India.
Companies also say that marketing around 3G will continue until there is widespread acceptance of this relatively new service. And what’s more, they also promise to advertise more, as more offers and tariff plans are introduced.