Vodafone 2005 Annual Report Download - page 16

Business Overview continued
14 |Business
The Group has simplified tariff structures in a number of the Group’s mobile operating
subsidiaries. In some cases, these new price structures include large minute bundles
that allow customers to talk more freely.
During the year, the Group has continued to build its business voice offerings; for
example, the Vodafone Wireless Office proposition – a solution reducing the need for
fixed line phones – has been enhanced with an increased handset range, superior call
management software and availability across a broader geography.
The Group continues to invest in providing enhanced network coverage for services in
response to Group-wide customer feedback. In parallel, the Group is improving
network service quality to ensure that customers can use their mobile phone whenever
and wherever they want.
In May 2005, the Group announced the launch of Vodafone Simply, a new service
designed to provide an easy to use mobile solution for customers who want to use basic
voice and text services with minimum complexity to keep in touch with family and friends.
Social Products
Work continued this year on making mobile services more accessible to people with
special communication needs. This includes a product that converts text to speech,
known in English speaking markets as Vodafone Speaking Phone, which is now
available in six markets. This gives users who are blind or visually impaired access to
all handset features, including text messaging.
Non-voice Services
Messaging Services
All of the Group’s mobile operating subsidiaries offer a short message service, which
allows customers to send and receive text messages using mobile handsets and
various other devices. The multimedia messaging services (“MMS”), which offer
customers the ability to send and receive multiple media, such as pictures, music,
sound, video and text, to other compatible phones, are also available in all Group
mobile operating subsidiaries, with the exception of Albania.
Vodafone live!
Vodafone live!, the Group’s integrated communications and multimedia proposition,
initially launched in October 2002, has continued to grow strongly. The proposition,
targeted primarily at the young adult (“young active fun”) segment, has been launched in
six new markets since 31 March 2004, bringing the total number of countries now
offering Vodafone live! to 22. New markets added in the 2005 financial year include
Malta, Austria, Belgium, Croatia and Slovenia. There were 30.9 million Vodafone live!
active devices, including 12.8 million in Japan, on controlled networks at 31 March 2005,
with an additional 3.2 million devices connected in the Group’s associated companies.
Vodafone has continued to develop its Vodafone live! proposition by offering a new
range of services, content, handsets and tariffs. The design of the Vodafone live!
portal, through which customers can access a range of online services – games,
ringtones, news, sports and information – has been enhanced and an improved search
function has made it easier for customers to find and purchase content.
The important ringtones market has continued to develop with mass market adoption
of ‘real-tones’ where customers are able to purchase samples of real music recordings
as ringtones from artists signed to labels including EMI, Sony BMG Music
Entertainment, Universal Mobile and Warner Music.
Tariff structures have been updated, with a range of messaging and content based
bundles now available to customers. These have delivered improved customer value,
particularly when offered in conjunction with a handset purchase. In addition, browsing
charges for accessing the mobile Internet have been simplified, making it more
attractive for customers to browse the web using their mobile phones.
Over 23 new 2.5G phones have been added to the Vodafone live! portfolio in the 2005
financial year, with an increased emphasis on exclusive and customised devices. The
new handsets added have offered improved imaging capability across the range, better
connectivity, with a significant proportion of devices now offering ‘Bluetooth’ (a wireless
link function), and increased memory card storage to enable customers to save content
on their devices.
Throughout the 2005 financial year, Vodafone has continued to develop standards in
the areas of terminals, platforms, games, digital rights management and MMS. These
initiatives are expected to lead to increased speed to market and better services for
customers.
Vodafone live! with 3G
In November 2004, the Group launched Vodafone live! with 3G across 13 markets with
an initial portfolio of 10 devices. By 31 March 2005, there were 2.1 million devices on
controlled networks capable of accessing the Vodafone live! with 3G portal.
3G has enhanced the mobile experience with up to a ten-fold increase in portal and
content download speeds over GPRS, giving Vodafone live! customers access to a
unique range of high quality content and communication services. Vodafone live! with
3G customers can now experience news broadcasts, sports highlights, music videos,
movie trailers and a host of other video content at a quality approaching that of digital
television. With the signing of an exclusive deal with Twentieth Century Fox, Vodafone
customers were also the first to experience a new generation of made-for-mobile TV
and film content, so called “mobisodes”. Several markets have already launched TV
broadcast services and these will be developed further in the coming year. The wide
bandwidth of 3G supports access to sophisticated 3D games and Vodafone has
introduced a range of branded titles.
The 3G service also supports full track music downloads which allow customers to use
their phone to listen to music, choosing from a range that currently includes over
500,000 music tracks. Vodafone has secured music from some of the world’s greatest
artists through agreements with Sony BMG Music Entertainment and for music from
the catalogues of EMI and Warner Music. Using the 3G service, customers can also
download live performance videos and stream clips direct to their mobiles through
Vodafone’s agreement with MTV.
Clear and simple pricing, including free/flat rate browsing, service bundles and trial
promotions have also been introduced in the majority of markets offering Vodafone live!
with 3G. In addition, significant focus has been given to customer service with
dedicated 3G experts available in retail stores and call centres. This year has also seen
the launch in several markets of video call centres where customers can learn how to
use the new video telephony service.
Content Standards
Vodafone has recognised the need to provide leadership in content standards
development to protect customers from inappropriate content, contact and
commercialism. Specific emphasis is placed on protecting younger mobile phone
users. Vodafone is also proactive on a number of content standards issues, including
video and audio adult content, and continues to encourage pan-industry collaboration
and self regulation for mobile operators.
In July 2004, Vodafone launched the world’s first mobile age-based content control and
Internet filtering solution. This is now established in the UK and will be rolled out to all
other mobile operating subsidiaries.
Vodafone Mobile Connect data cards
The Vodafone Mobile Connect data card provides working mobility to customers
accessing email and company applications with access speeds up to 384 kilobits per
second when connected to a 3G network. The Vodafone Mobile Connect 3G/GPRS
data card has now been rolled out across 17 markets, including the Group’s associated
undertakings in France, Belgium and South Africa and the Group’s Partner Network
operators in Austria, Bahrain and Finland. The product portfolio was enhanced in the
financial year with the launch of a quad-band data card allowing customers to connect