Vodafone Idea (Vi) is ramping up efforts on the ground to bolster its distribution network, focusing on expanding its retail presence to improve customer experience and drive subscriber growth. The Chief Marketing Officer (CMO) of Vi highlighted plans to open new brick-and-mortar stores in larger towns to cater to high average revenue per user (ARPU) and high net-worth individual (HNI) customers, according to an ET report.
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Plans for New Brick-and-Mortar Stores
"In the coming weeks and months, you will see the establishment of new stores, particularly brick-and-mortar ones in larger towns which will cater to our high average revenue per user (ARPU) and high net-worth individual (HNI) customers," the report quoted Vodafone Idea's Chief Marketing Officer Avneesh Khosla as saying.
Network Capacity Improvements and 5G Rollout
Khosla noted that while the company has faced challenges due to a lack of capital, it has made significant progress in increasing network capacity. He revealed that the long-anticipated rollout of 5G services is on the horizon, with impacts expected within 45 to 60 days.
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"We are eager to see our investments starting to hit the ground, enabling us to create the right kind of experience for our consumers. Ultimately, what consumers are purchasing is their network experience. While we have faced challenges because of lack of capital, we are actively addressing these issues and over the past few months, have made significant progress increasing network capacity in various clusters and markets," Khosla said, as the report added.
Subscriber Losses
Commenting on subscriber losses, Vi's CMO said that network densification will enable the company to compete more effectively in the market. "As we expand into new areas, we expect to enhance the quality of our network experience, which will help reduce churn as customer retention improves. We are optimistic about achieving positive net subscriber growth, especially with the introduction of 5G technology, as there is a segment of customers eager for this service," Khosla said, according to the report.
Also Read: Vodafone Idea to Launch 5G in 17 Circles by March 2025: Report
Vodafone Idea 5G Rollout
Vodafone Idea plans to launch 5G across 17 circles by March 2025, starting with Delhi and Mumbai, and aims to achieve 90 percent 4G coverage in India by June of next year. The company has raised Rs 24,000 crore in equity funding, including Rs 18,000 crore from a follow-on public offer, primarily to enhance 4G coverage and support the rollout of 5G services. This move is part of the company's strategy to compete more effectively against competitors Reliance Jio and Bharti Airtel, which commercially launched their 5G services in October 2022.
