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A

RESEARCH REPORT
On
A STUDY OF MARKET COMPETITIVENESS OF IDEA IN
MEERUT CITY

Submitted in Partial Fulfillment of the Requirement for


The Award of the Degree
Of
Bachelor of business administration
CCS University meerut
(2008-2011)

UNDERGUIDENCE:

SUBMITTED TO:

MR.VIKAS GUPTA

MR.

DECLARATION

DECLARATION
2

I, Deepak Kumar VIT MEERUT, Project Trainee, hereby declare that


the following project report titled: Market competiveness of idea in
Meerut City (with special reference to Retailers and End Users) is an
authentic work done by me.
The information and data given in this report are true and to the best of
my knowledge. I also acknowledge that I took the help of both primary
and secondary data collection through various available resources.
Deepak
VIT,
Project Trainee idea cellular ltd.

Kumar
Meerut

PREFACE

PREFACE
Financial success of any company often depends upon its marketing
ability. Finance, operation, accounting and the other business functions
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will not really matter if there is not sufficient demand of the products and
services so the company can make profit. Good marketing is no accident
but a result of careful planning and execution. The marketing
environment is changing at an accelerating rate, so the need for real time
marketing information is greater than at any time in the past.

Jack Welch (GEs brilliant former CEO) repeatedly warned his companyChange or die

But making the right decisions is not always easy. The companies at
greatest risk are those that fail to carefully monitoring their customers and
competitors to continuously improve their value offerings, thus marketing
information plays a vital role in designing the marketing strategy of the
companies.

ACKNOWLEDGEMENT

ACKNOWLEDGEMENT

If we look back and see, how we got here, what we think, and so on ` we
discover a debt to others. The work of some supportive people makes our
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lives easier everyday. We believe it's not only appropriate to acknowledge


all of these supportive persons; but it is also necessary to acknowledge to
those people we know who have directly shaped our life and our work.
This page is specifically printed to note mine appreciation of those
people who stand out most notably in my mind as contributing to the
content of what you will find in this Dissertation Report.
I would like to express my gratitude to all those who gave me
Possibility to complete my project. I would like to thankful to the entire
marketing team of Idea, Meerut for their support. Further I am also thanks
all the users of telecom who as respondent supported me through their
useful views toward the collection of the primary data
I am deeply indebted to Assistant. Professor (Dept. of Business
Administration VIT, Meerut ) and specially my profound gratitude to my
guide and mentor Mr. Vikas gupta whose valuable suggestions and
guidance enable to me complete the project successfully.

EXECUTIVE SUMMARY

THE EXECUTIVE SUMMARY


The project report is designed to measure the Competitiveness of the
Idea in

Meerut city. find out the in terms of various aspects like

connectivity, value added services, customer care services Internet


services and call rates etc. The study is based on telecoms users views of
Meerut views.
The study reveals that which company is ahead to the other players in
terms of various features like tariff plans, customer care service, good
advertisement campaign etc. But at the same time the study also finds
those areas where companies are lagging to other players. It means that
what are the extra features which are required by the consumer or which
feature can gives extra edge to the company.
Therefore the study can be concluded that which company is performing
well but there are areas of weakness which require remedial action in
order to provide customer satisfaction and grow its market share.
Thus it is recommended that The company should also develop a powerful mechanism to its
customer care service
The company is needed to improve the quality of its value added
service.
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INTRODUCTION
OF
COMPANY

INTRODUCTION
11

idea Cellular Limited was incorporated in 1995. The company is among


the top four mobile telephony players in India with an 11 per cent allIndia subscribers market share. More importantly, it ranks third in terms
of wireless revenue market share at 12.7 per cent. Idea ranks second with
20.8 per cent revenue market share in nine service areas where it holds
900MHz spectrum and which derive 48 per cent of industry's gross
revenues (based on gross revenues for UAS and mobile licenses only, for
December 2009 quarter, as released by TRAI).
The market positioning of Idea reflects the strength of its brand
considering the fact that Idea added 14 out of its total 22 service areas in
the past four years. Today it is a pan-India player with commercial
operations in all 22 service areas. Its subscriber base has grown multifold
from 7.37 million in March 2006 to 63.82 million in March 2010.
Idea holds 16 per cent stake in Indus Towers, a joint venture with other
telecom majors Bharti Airtel and Vodafone. Indus Towers is the world's
largest tower company with over one lakh towers. In 2007, Idea was
listed on the National Stock Exchange (NSE) and the Bombay Stock
Exchange (BSE).
Idea enjoys a market leadership position in many of its operational
areas. It offers GPRS on all its operating networks for all categories of
subscribers, and was the first company in India to commercially launch
the next generation EDGE technology in Delhi in 2003. As a pioneer in
technology deployment, it has been at the forefront through the adoption
of bio fuels to power its base stations, and by employing satellite
connectivity to reach inaccessible rural areas in Madhya Pradesh.
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Idea has been a leader in the introduction of value-added services, and


there are many firsts to its credit, including a voice portal 'Say Idea', Idea
TV, voice chat and instant messenger. Tariff plans have been customerfriendly, catering to the unique needs of different customer segments, for
instance the 'Women's Card' caters to the special needs of women on the
move, and 'Youth Card' covers the emerging youth segment.
Idea has won numerous awards and is the only Indian GSM operator to
win the prestigious GSM Association Award consecutively in the best
mobile technology category for the Best Billing and Customer Care
Solution both in 2006 and in 2007, even in the face of international
competition.

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OBJECTIVE OF COMPANY

To promote a profitable and sustainable business activity that meets


the customers needs.

To increase the company's market share

To gain the competitive edge

To increase the company's role in relations to social responsibility

To provide excellent customer service

ABOUT ADITYA BIRLA GROUP


14

The Aditya Birla Group is India first multinational corporation. Global in


vision, rooted in Indian values, the Group is driven by a performance
ethic pegged on value creation for its multiple stakeholders.
Currently a US $24 billion conglomerate, with a market capitalization of
US $ 23 billion, it is anchored by an extraordinary force of 100,000
employees belonging to over 25 different nationalities. Over 50 per cent
of its revenues flow from its operations across the world. The Groups
products and services offer distinctive customer solutions.Its 74 state-ofthe-art manufacturing units and sectoral services spanIndia, Thailand,
Laos, I ndonesia, Philippines, Egypt, Canada, Australia, China, USA,
UK, and Germany. Aditya Birla Group is a dominant player in all of the
sectors in which it operates. Among these are viscose staple fibers, non
ferrous metals, cement, viscose filament yarn, branded apparel, carbon
black, chemicals, fertilizers, sponge iron, insulators, financial services,
telecom, BPO, andIT services. The group has been adjudged The Best
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Employer

&

among

top

20

in

Asia

by

the

Hewitt

Economic Times & Wall Street Journal Study.


GLOBALLY, THE GROUPIS:-

The largest aluminum rolling company.

No one in viscose staple fiber.

The Third largest producer of insulators.

The Fourth largest producer of carbon black.

The Eleventh largest cement producer.

The best energy efficiency fertilizer plant.

Among the world top 15 BPO companies & amongIndias top three.

16

IN INDIA, THE GROUP IS:-

A Premier branded garments player

The Second largest player viscose filament yarn.

A long the first five mobile telephony players.

Leading player in life Insurance & Assets management.

GROUP COMPANIES:-

Grasim Industries Ltd.

UltraTech Cement Ltd.

Hindalco Industries Ltd.

Aditya Birla Nuvo Ltd.

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INDIAN COMPANIES:-

PSI Data systems.

TransWorks.

Essel Mining & Industries Ltd.

Idea Cellular Ltd.

Birla NGK Insulators.

Shree Dig Vijay Cell

INTERNATIONAL COMPANIES:-

Thai Rayon (Thailand)

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Century Textiles (Thailand)

Thai carbon Black (Thailand)

Aditya Birla Chemicals Ltd.(Thailand)

Indo Phil Textiles Ltd. (Philippines)

Indo Phil Cotton Ltd. (Philippines)

PTIndo Bharat Rayon (Indonesia)

PT Elegant TextileIndustry (Indonesia)

Alexander Carbon Black Company (Egypt)


Liaoning Birla Carbon (China)

A V CellIndustry (Canada)

A VNackawicIndustry (Canada)

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Aditya Birla Minerals Ltd.(Australia)

Birla Laos Pulp and Paper Plantation Company (Laos)

JOINT VENTURES:-

Birla Sun Life Insurance

Birla Sun Life Asset Management Company Ltd.

Birla Sun Life Distribution Company Ltd.

Tranfac Industry Ltd.

CHAIRMAN OF ADITYA BIRLA


20

Mr. Kumar Mangalam Birla

Mr. Kumar Mangalam Birla is the Chairman of the US$ 29 billion


Aditya Birla Group, a global conglomerate with operations spanning 27
countries. An iconic figure, Mr. Birla holds several key positions on
various regulatory and professional boards. He is a Director of the
Central Board of Directors of the Reserve Bank of India and Chairman
of the Staff Sub-Committee of the Central Board of the Reserve Bank of
India. He serves on the Prime Minister of India's Advisory Council on
Trade and Industry.
He was the Chairman of the Board of Trade constituted by the Ministry
of Commerce & Industry, and also Chairman of the Ministry of
Company Affairs' Advisory Committee.
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He served as the Chairman of Securities and Exchange Board of India's


(SEBI) Committee on Corporate Governance, and as Chairman of
SEBI's Committee on Insider Trading. He has authored the nation's First
Report on Corporate Governance.
Mr. Birla is on the National Council of the Confederation of Indian
Industry (CII), the Apex Advisory Council of the Associated Chambers
of Commerce and Industry of India, New Delhi, and the Advisory
Council

for

the

Centre

for

Corporate

Governance.

On the academic front, Mr. Birla is the Chancellor of BITS, Pilani,


Hyderabad, Goa and Dubai. He is a Director of the G. D. Birla Medical
Research and Education foundation. He is on the Asian Regional
Advisory Board of London Business School. He has been inducted on
The

Economic

Times

Corporate

Advisory

Board.

In recognition of his exemplary contribution, The Banaras Hindu


University awarded the D. Litt (Honoris Causa) Degree to him. The
Honorary Degree of Doctor of Science (Honoris Causa) was bestowed
on Mr. Birla for his invaluable contribution in the field of business
administration by the G. D. Pant University of Agriculture &
Technology, Pantnagar. "For the development of technology and also for
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involvement in the field of industries in bringing up the country at par


with other countries" the SRM University in Tamil Nadu conferred the
Degree

of

Doctor

of

Literature

on

Mr.

Birla.

The All India Management Association (AIMA) has bestowed the


AIMA Managing India Awards 2010 "Business Leader of the Year" on
Mr. Birla. Amongst earlier accolades conferred on Mr. Birla, feature
Bombay Management Association's "Entrepreneur of the Decade Award
2009", the AIMA "JRD Tata Corporate Leadership Award 2008",
"The Corporate Role Model Award 2008" by Amity International
Business School, the Asia Pacific Global HR Excellence "Exemplary
Leader" Award, and NDTV's "Global Indian Leader of the Year" and
"The Most Socially Responsible Leader" by Outlook business magazine
in 2007. Earlier, The Lakshmipat Singhania IIM, Lucknow National
Leadership Award 2006, Business Leader, was conferred on Mr. Birla
by

our

Prime

Minister.

Mr. Birla also has been named the World Economic Forum's "Young
Global Leader", "The Ernst & Young Entrepreneur of the Year, The
Economic Times"Business Leader of the Year", Business India's
"Businessman of the Year", Business Today's "Young Super Performer in
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the CEO Category", NITIE's "Business Visionary", and the Bombay


Management Association's "The Management Man of the Year".
To "salute his entrepreneurial excellence and exemplary contribution to
Indian business", AIMA conferred its "Honorary Fellowship" on him,
and the National HRD Network named him "The Outstanding
Businessman of the Year".
A chartered accountant, Mr. Birla earned an MBA from London Business
School, where he is also an Honorary Fellow. Mr. Birla and his wife, Mrs.
Neerja Birla, have three children, Ananyashree, Aryaman Vikram and
Advaitesha.

THE INDIAN TELECOM INDUSTRY


IDEA

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IDEA Cellular is part of the Aditya Birla Group, India's first truly
multinational corporation.

IDEA Cellular is a leading GSM mobile service operator with pan India
licenses. With a customer base of over 44 million in 17 service areas,
operations are soon expected to start in Chennai Metro; Kolkata & West
Bengal, North East & Assam, and J&K
A frontrunner in introducing revolutionary tariff plans, IDEA Cellular
has the distinction of offering the most customer friendly and
competitive Pre Paid offerings, for the first time in India, in an
increasingly segmented market. From basic voice & Short Message
Service (SMS) services to high-end value added services such as Mobile
TV, Games etc - IDEA is

seen as an innovative, customer focused

brand.
IDEA 'Women's Card' caters to the special needs of women on the move,
and 'Youth Card' covers the emerging youth segment. IDEA 'My Gang' the widely popular community user group product recently bagged the
prestigious 'Golden Peacock Award 2008' under the Most Innovative
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Product category at the "19th World Congress on Total Quality".

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VODAFONE

Vodafone Group Plc is the world's leading mobile telecommunications


company, with a significant presence in Europe, the Middle East, Africa,
Asia Pacific and the United States through the Company's subsidiary
undertakings, joint ventures, associated undertakings and investments.

At 31 March 2009, based on the registered customers of mobile


telecommunications ventures in which it had ownership interests at that
date, the Group had 303 million customers, excluding paging customers,
calculated on a proportionate basis in accordance with the Company's
percentage interest in these ventures.

BHARAT SANCHAR NIGAM LIMITED (BSNL)


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Bharat Sanchar Nigam Ltd. formed in October, 2000, is World's 7th


largest Telecommunications Company providing comprehensive range of
telecom services in India: Wireline, CDMA mobile, GSM Mobile,
Internet, Broadband, Carrier service, MPLS-VPN, VSAT, VoIP services,
IN Services etc. Within a span of five years it has become one of the
largest public sector unit in India. BSNL has installed Quality Telecom
Network in the country and now focusing on improving it, expanding the
network, introducing new telecom services with ICT applications in
villages and wining customer's confidence. Today, it has about 47.3
million line basic telephone capacity, 4 million WLL capacity, 20.1
Million GSM Capacity, more than 37382 fixed exchanges, 18000 BTS,
287 Satellite Stations, 480196 Rkm of OFC Cable, 63730 Rkm of
Microwave Network connecting 602 Districts, 7330 cities/towns and
5.5 Lakhs villages.
BSNL cellular service, CellOne, has more than 17.8 million cellular
customers, garnering 24 percent of all mobile users as its subscribers.
Scaling new heights of success, the present turnover of BSNL is more
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than Rs.351,820 million (US $ 8 billion) with net profit to the tune of
Rs.99,390 million (US $ 2.26 billion) for last financial year.

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RELIANCE COMMUNICATION

Reliance Communications is the flagship company of the Anil Dhirubhai


Ambani Group (ADAG) of companies. Listed on the National Stock
Exchange and the Bombay Stock Exchange, it is Indias leading
integrated telecommunication company with over 80 million customers.
Our business encompasses a complete range of telecom services covering
mobile and fixed line telephony. It includes broadband, national and
international long distance services and data services along with an
exhaustive range of value-added services and applications.
Today, we can proudly claim that we were instrumental in harnessing the
true power of information and commReliance Anil Dhirubhai Ambani
Group, an offshoot of the Reliance Group founded by Shri Dhirubhai H
Ambani (1932-2002), ranks among Indias top three private sector
business houses in terms of net worth. The group has business interests
that range from telecommunications (Reliance Communications Limited)
to financial services (Reliance Capital Ltd) and the generation and
distribution of power (Reliance Infrastructure Limited). It has established
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a pan-India, high-capacity, integrated (wireless and wireline), convergent


(voice, data and video) digital network, to offer services spanning the
entire infocomm value chain.

31

TATA INDICOM

Tata Communications is a leading global provider of a new world of


communications. With a leadership position in emerging markets, Tata
Communications leverages its advanced solutions capabilities and
domain expertise across its global and pan-India network to deliver
managed solutions to multi-national enterprises, service providers and
Indian consumers.
The Tata Global Network includes one of the most advanced and largest
submarine cable networks, a Tier-1 IP network, with connectivity to more
than 200 countries across 400 PoPs, and nearly 1 million square feet of
data center and colocation space worldwide.
Tata Communications' depth and breadth of reach in emerging markets
includes leadership in Indian enterprise data services, leadership in global
international voice, and strategic investments in operators in South Africa
(Neotel), Sri Lanka (Tata Communications Lanka Limited), Nepal
(United Telecom Limited), and subject to approval by the Chinese
government,

China

(China

Enterprise
32

Communications).

Tata

Communications Limited is listed on the Bombay Stock Exchange and


the National Stock Exchange of India and its ADRs are listed on the New
York Stock Exchange. (NYSE: TCL).

33

BHARTI AIRTEL

Established in 1995 by Sunil Mittal as a Public Limited Company, Airtel is the


largest telecom service provider in Indian telecom sector. With market
capitalization of over Rs. 1,360 billion, Airtel has 31% of total market share of
GSM service providers. Providing GSM services in all the 23 circles, Airtel was
the first private player in telecom sector to connect all states of India. Also,
Airtel is the first mobile service provider to introduce the lifetime prepaid
services and electronic recharge systems. After establishing itself in the
domestic market, Airtel is now spreading its wings in US by providing its
mobile service under the name 'CALLHOME' to the NRIs.

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Having achieved huge success in mobile services- postpaid and prepaid- Airtel
has now entered fixed-line telephony providing broadband services in 92 cities
across India. The company has an optical fiber network of 35,016 km and a
customer base of 35,440,406 GSM mobile and 1,819,083 broadband
subscribers. Airtel is listed on The Stock Exchange, Mumbai (BSE) and The
National Stock Exchange of India Limited (NSE).

AIRCEL

About Aircel The Aircel group is a joint venture between Maxis


Communications Berhad of Malaysia and Apollo Hospital Enterprise Ltd
of India, with Maxis Communications holding a majority stake of 74%.
Aircel began its outward expansion in 2005 and met with unprecedented
success in the Eastern frontier circles. It emerged a market leader in
Assam and in the North Eastern provinces within 18 months of
operations. Till today, the company gained a foothold in 18 circles
including Chennai, Tamil Nadu, Assam, North East, Orissa, Bihar,
Jammu & Kashmir, Himachal Pradesh, West Bengal, Kolkata, Kerala,
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Andhra Pradesh, Karnataka, Delhi, UP(West), UP(East), Maharashtra &


Goa and Mumbai.
Aircel has won many awards and recognitions. Voice and Data gave
Aircel the highest rating for overall customer satisfaction and network
quality in 2006. Aircel emerged as the top mid-size utility company in
Businessworlds List

of

Best

Mid-Size

Companies in

2007.

Additionally, Tele.net recognised Aircel as the best regional operator in


2008.
With over 20 million happy customers in the country, Aircel the fast
growing telecom company in India has revved up plans to become a fullfledged national operator by end of 2009.
VALUE-ADEDED SERVICES MARKET
A report by market research firm IMRB stated that the mobile valueadded services (MVAS) industry was valued at US$ 1.15 billion in June
2008, and is expected to grow rapidly at 70 per cent to touch US$ 1.96
billion by June 2009.
Currently, MVAS in India accounts for 10 per cent of the operator's
revenue, which is expected to reach 18 per cent by 2010. According to a

36

study by Stanford University and consulting firm BDA, the Indian MVAS
is poised to touch US$ 2.74 billion by 2010.
With the presence of many players in the field of GSM, the
organizations wants to know the growth prospect of the market so
that they can be able to make their long-term strategic plan, based
on the consumer buying behavior. The increased attention given to
consumer behavior and research is due to the following facts:

The consumer has more power than ever before,


The consumer has access to more information than ever before,
Marketers can offer more services and products than ever before.

PUBLIC AND PRIVATE PLAYERS

MTNL, BSNL, VSNL are the major Public Players, whereas Idea, Airtel,
Vodafone, Tata, Reliance, BPL are the leading Private players in the
country.
Both fixed line and mobile segments serve the basic needs of local calls,
long distance calls and the international calls, with the provision of
broadband services in the fixed line segment and GPRS in the mobile
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arena. Traditional telephones have been replaced by the codeless and the
wireless instruments. Mobile phone providers have also come up with
GPRS-enabled multimedia messaging, Internet surfing, and mobilecommerce.
The much-awaited 3G mobile technology is soon going to enter the
Indian telecom market. The GSM, CDMA, WLL service providers are all
upgrading them to provide 3G mobile services.

Along with improvement in telecom services, there is also an


improvement in manufacturing. In the beginning, there were only the
Siemens handsets in India but now a whole series of new handsets, such
as Nokia's latest N-series, Sony Ericsson's W-series, Motorola's PDA
phones, etc. have come up. Touch screen and advanced technological
handsets are gaining popularity. Radio services have also been
incorporated in the mobile handsets, along with other applications like
high storage memory, multimedia applications, multimedia games, MP3
Players, video generators, Camera's, etc. The value added services
provided by the mobile service operators contribute more than 10% of the
total rev
INTERNET SERVICES

38

There are Public Players and Private Players providing the Internet
Services such as Broadband, Dial-up, Pre-Paid and Post-Paid Internet,
Wi-Fi technology etc. subscriber base of Internet Services provided by
Public players is showing an upward trend.

Internet/Dialup
The TRAI report records that India had a total of 12.85 million Internet
(Dialup) connections at the end of December 2008. This base accelerated
slightly to achieve a 5.01% growth from 4.97% recorded during
September when there were 12.24 million connections. This does not
include broadband subscribers.
Bharat Sanchar Nigam Ltd (BSNL) has 6.38 million Internet connections
against 5.94 million at the end of last quarter. Mahanagar Telephone
Nigam Limited (MTNL) has retained second position with a base of
nearly 1.95 million. Idea Cellular Ltd is third with 0.93 million.
The minutes of use per connection per month dropped from 225 in June
2008 to 213.08 minutes in September quarter and crawled back up to
221.97 in December.
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Broadband & DSL


The number of broadband connections grew by 12.64% to 5.52 million in
December from 4.9 million users in September.
Twelve new ISPs joined the 72 broadband service providers in India
during the December quarter.DSL (Digital subscriber line, which has
download speeds of 8 Mbps) continues to be the most popular access
technology adopted by Indian ISPs with 4.711 million DSL connections,
0.485 million cable modems; 0.155 million Ethernet LAN-based
connections; 0.078 million fiber connections; 0.072 million wireless,
0.019 million leased lines and 0.003 million who use other technologies.

Mobile Internet Enabled Handsets


TRAI has noted that there are 101.10 million wireless data (GPRS,
HSDPA, etc) enabled handsets, up from 57.83 million in December 2007.
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Please note that the TRAI has listed them as wireless Internet subscribers,
and we do not agree with this classification - merely having a mobile
Internet enabled handset doesnt guarantee usage of the Mobile Internet.

DTH Ramps Up
There are 6 private DTH providers in India aside from Doordarshans free
DTH service. A total of 11.1 million DTH connections have been
registered at the end of quarter ending 31st December 2008. Videocon has
received a license and is still rolling out its services soon, according to
DTH News.

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Features of Idea Prepaid Connection


Here are some of the many advantages that New Idea Prepaid brings you.

Total Cost Control


You can control your Idea Prepaid like never before. No more rentals or
deposits simply recharge as much as you need to from as low as Rs. 10,
to as high as Rs. 10,000/-.

Pre activated STD/ISD without deposits or rentals


You can now enjoy a pre-activated STD/ISD on your Idea Prepaid. No
more paying deposits or having a minimum balance in your account to
make an STD/ISD call.

Strong Network Coverage


Enjoy complete clarity when calling with Ideas world-class technology
and unbreakable network coverage that spans over 23 circles across the
country.

Instant Balance and Validity Enquiry


Your account balance is updated on the screen of your handset at the end
of each chargeable call. You can also call 123 or simply dial *123#, press
'OK' or 'YES' button and your account balance will be displayed on the

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screen of your handset.

Recharge your Idea Prepaid


Recharging is Easy. The calling value on your card keeps reducing as you
make calls or use any other chargeable service. Choose the Idea Prepaid
Recharge Coupon thats right for you, from a variety of tailor made
recharge coupons with different denominations, which are available at a
number of outlets across your city. Simply follow the procedure to
recharge phone.

Subscription Alerts
Get regular alerts on news, jokes, business, health and films on your Idea
mobile phone with Subscription Services.

MMS (Multi-media Messaging Service)


Jazz up your messages with pictures, images and video clippings, with
MMS from Idea.

Idea Gprs / Edge Services


Download the latest ring tones, games, wallpapers, videos and much more
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news clips, watch live TV and download full songs on you phone.

Idea Voice mail Services


Send voice message any where in india..

Hello Tunes
Tired of that boring old tring tring on your phone? Now when a friend
calls, make them groove to the hottest new tracks burning up the music
charts with Hello Tunes from Idea Choose from a library of over 80000
songs from more
than 16 languages.

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OBJECTIVE
OF
THE STUDY

OBJECTIVES OF THE STUDY

45

The main objective of the present study is to understand, analyze and


interpret the local telecom market and to measure the competitiveness of
Idea in Meerut Telecom market.
In this study mobile users play a vital role like students, employees,
workers and specially retailers because they are in direct contact of the
customers. they are well aware of customers problems in service of any
telecom players schemes, plans, advertising campaign and other
offerings provided by the telecom companies.

The sub-objectives of the project are To conduct a survey and obtain the users view to identify the
various factors which are affecting the users satisfaction in terms of
various products and services provided by the present telecom
players.
To make out a clear picture of current status of the company
(among available telecom players) based from the analyses of
collected data.
To identify the areas the in which the company is lagging
behindthe other players.

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RESEARCH
METHODOLOGY

RESEARCH METHOLOGY

47

Descriptive research has been done to analyze the competitiveness of the


Idea Cellular Ltd. in comparison to other service providers in Meerut.

Data source:
Both primary and secondary data have been used in this Research whose
sources can be expressed in following manner-

Primary Source:
Data collected for this study are through Non Disguised Structured
Questionnaire

Secondary Data:
In this research the secondary data has collected from website, magazines
and books:
Websites
http:// www.idea cellular.com

http://www.adityabirla.com
http://www.scribed.com
Magazines
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Business World
4 Ps
News Papers
Business Standard
The Times Of India

Sample Design:
Simple Random Sampling has been done

Universe:
In this research universe is Meerut.

Sample Size:
Sample Size in this Research is 50 users of Meerut.

Sample Unit :
It is any user of telecom at Meerut.

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SWOT ANALYSIS

SWOT ANALYSIS

50

The Idea Cellular Ltd. - SWOT Analysis company profile is the


essential source for top-level company data and information. Idea
Cellular Ltd. - SWOT Analysis examines the companys key
business structure and operations, history and products, and provides
summary analysis of its key revenue lines and strategy.

Idea Cellular (Idea) is one of the leading providers of wireless


communication services in India. The company is part of the Aditya
Birla Group. It provides wireless and long distance voice and
internet services to consumer and enterprise markets. The company
also has a presence in telecom infrastructure market through a stake
in Indus Towers and other subsidiaries. The company primarily
operates in India. It is headquartered in Mumbai, India. The
company recorded revenues of INR101,484.1 million ($2,214.4
million) during the financial year ended March 2009 (FY2009), an
increase of 50.6% over 2008. The operating profit of the company
was INR14,314.3 million ($312.3 million) in FY2009, an increase of
2.8% over 2008. Its net profit was INR9,008.7 million ($196.6
million) in FY2009, a decrease of 13.6% over 2008. Note: The
companys FY2009 financial information is based on the
unauditedresults.
51

Scope of the Report

- Provides all the crucial information on Idea Cellular Ltd. required


for business and competitor intelligence needs
- Contains a study of the major internal and external factors
affecting Idea Cellular Ltd. in the form of a SWOT analysis as well
as a breakdown and examination of leading product revenue streams
of Idea Cellular Ltd.
-Data is supplemented with details on Idea Cellular Ltd. history, key
executives, business description, locations and subsidiaries as well
as a list of products and services and the latest available statement
from Idea Cellular Ltd.

Reasons to Purchase

- Support sales activities by understanding your customers


businesses better
52

- Qualify prospective partners and suppliers


- Keep fully up to date on your competitors business structure,
strategy and prospects
- Obtain the most up to date company information available

53

54

DATA
ANALYSIS

55

DATA ANALYSIS AND INTERPRETATION

1. On the basis of Customer preference to the company while taking a new


connection-:
Table No.4
Company Name
Airtel
Vodafone
Reliance
Idea
Tata Indicom
BSNL
Aircel

%
30
20
20
10
6
2
12

Frequency
15
10
10
5
3
1
6
Fig-5

The above diagram represents the most preferred brand by customers on th


basis of users and retailers view point.
Airtel is the most preferred brand among the customer with 30% demand.

56

2. On the basis of Feature


Table No.5
Features
Coverage
Schemes
Call rates
Roaming

%
40
30
30
15

Frequency
20
18
20
8
57

Fig-6

The above diagram represents the most preferred Feature by customers on th


basis of users and retailers view point.

Coverage is the most preferred feature among the customer with 40% demand
3. On the basis on using Prepaid or Postpaid connection-:
Table No.6
Connection
Postpaid
Prepaid
Both

%
20
70
10

Frequency
10
35
5
Fig-7

58

The above diagram represents the most preferred Connection


Prepaid/Postpaid using by customers on the basis of users and
retailers view point.

4. On the basis of services-:


(a) Postpaid servicesTable No.7
Company Name
Airtel
Vodafone
Reliance
Idea
Tata Indicom
BSNL
Aircel

%
32
16
12
6
6
28
0

Frequency
16
8
6
3
3
14
0

Fig-8
59

The above diagram represents the most preferred Postpaid service


provided by company to customers on the basis of users and
retailers view point.
Airtel is the most preferred by the customer with 32% demand.

60

(b) Prepaid services-:


Table No.8
Company Name
Airtel
Vodafone
Reliance
Idea
Tata Indicom
BSNL
Aircel

%
34
18
16
8
8
4
12

Frequency
17
9
8
10
4
2
6
Fig-9

61

The above diagram represents the most preferred Prepaid service


provided by company to customers on the basis of users and
retailers view point.
Airtel is the most preferred company by the customer with 35%
demand.

62

5. On the basis of best offers at the time of new connection-:


Table No.9
Company Name
Airtel
Vodafone
Reliance
Idea
Tata Indicom
BSNL
Aircel

%
16
12
24
20
8
6
14

Frequency
8
6
12
10
4
3
7
Fig-10

63

The above diagram represents the most preferred offers provided


by company to the customers, on the basis of users and retailers
view point.
Reliance is the most preferred company by the customer with 23%
demand and Idea got 2nd place with 20% demand and Airtel got 3rd
position with 16% demand.

64

6. On the basis on of best Customer Care Services-:


Table No.10
Company Name
Airtel
Vodafone
Reliance
Idea
Tata Indicom
BSNL
Aircel

%
28
20
16
10
10
4
12

Frequency
14
10
8
5
5
2
6
Fig-11

65

The above diagram represents the most preferred customer care


service provided by company to the customers, on the basis of
users and retailers view point.
Airtel is the most preferred brand by the customer with 28%
demand

66

7. On the basis on of best Network Connectivity-:


Table No.11
Company Name
Airtel
Vodafone
Reliance
Idea
Tata Indicom
BSNL
Aircel

%
32
16
10
16
10
8
8

Frequency
16
8
5
8
5
4
4
Fig-12

67

The above diagram represents the most preferred Network


connectivity service provided by company to the customers, on the
basis of users and retailers view point.
Airtel is the most preferred brand by the customer with 32%
demand

68

8. On the basis on of best Adverting Campaigns in Meerut region-:


Table No.12
Company Name
Airtel
Vodafone
Reliance
Idea
Tata Indicom
BSNL
Aircel

%
24
20
18
14
8
10
6

Frequency
5
50
50
50
50
50
50
Fig-13

69

The above diagram represents the best Advertisement campaigning


in Meerut provided by company, on the basis of users and
retailers view point.
Airtel is the most preferred company by the customer with 25%
demand

70

9. On the basis on of best Tariff Plans-:


Table No.13
Company Name
Airtel
Vodafone
Reliance
Idea
Tata Indicom
BSNL
Aircel

%
18
12
26
18
8
6
12

Frequency
9
6
13
9
4
3
6
Fig-14

71

The above diagram represents best Tariff Plan, provided by


company to the customers, on the basis of users and retailers view
point.
Reliance is the most preferred company by the customer with 25%
demand and Idia got 2nd position with 19% and Airtel got 3rd place
with 18% demand.

72

10. On the basis of best Roaming Facility-:


Table No.14
Company Name
Airtel
Vodafone
Reliance
Idea
Tata Indicom
BSNL
Aircel

Frequency
15
10
09
05
04
06
1
Fig-15

73

%
30
20
18
10
08
12
2

The above diagram represents the best Roaming Facility provided


by company to the customer, on the basis of users and retailers
view point.
Airtel is the most preferred company by the customer with 30%
demand.

74

11. On

the

basis

of

best

Communicating

Schemes(new scheme)-:
Table No.15
Company Name
Airtel
Vodafone
Reliance
Idea
Tata Indicom
BSNL
Aircel

%
30
20
14
12
8
12
6

Frequency t
15
10
7
6
4
6
3
Fig-16

75

Charges

The above diagram represents the best Communicating Charges Schemes


provided by company to the customer, on the basis of users and retailers
view point.
Airtel is the most preferred company by the customer with 30%
demand.

76

12.On the basis of best Data card/Internet services-:


Table No.16
Company Name
Airtel
Vodafone
Reliance
Idea
Tata Indicom
BSNL
Aircel

%
18
6
16
14
8
30
8

Frequency
9
3
8
7
4
15
4
Fig-17

77

The above diagram represents the best Data card/Internet Facility


provided by company to the customer, on the basis of users and
retailers view point.
BSNL is the most preferred company by the customer with 35%
demand and Airtel got 2nd place with 19% demand.

78

13.On the basis of best Value Added services-:


Table No.17
Company Name
Airtel
Vodafone
Reliance
Idea
Tata Indicom
BSNL
Aircel

%
30
20
18
8
10
10
4

Frequency
15
10
9
4
5
5
2
Fig-18

79

The above diagram represents the best Value Added service


provided by company to the customer, on the basis of users and
retailers view point.
Airtel is the most preferred company by the customer with 31%
demand.

80

FINDING

81

FINDINGS

Airtel has the highest demand from customers as per the survey
conducted on the users and retailers.
Coverage is the most preferred feature among the customers per
the survey conducted on the users and retailers.

Prepaid is the most preferred connection among the customer


per the survey conducted on the users and retailers.

Idea Postpaid services has most preferred by the customer as


per the survey conducted on the users and retailers.
Idea Prepaid services has most preferred by the customer as per
the survey conducted on the users and retailers.
According the retailers and users views Reliance and Idea is
better than Airtel in terms of providing New Offers.
82

According to survey Airtel, idea provides the best Customer


Care Service in the region.
According the survey of retailers and users views Idea has best
Network connectivity than other brands.
Airtel is best in terms of advertising campaign in Idea among all
other telecom players.
According the retailers and users views Reliance and Idea is
better than Airtel in terms of providing Tariff Plans.
According to survey Airtel provides the better Roaming Service
than other telecom players.
According the survey of retailers and users views Idea provides
best Communicating charges than other brands.
According the survey of retailers and users views BSNL
provides best Internet facility than other brands.
According to survey Airtel provides the better Value Added
Services than other telecom players.

83

LIMITATION

84

PROBLEM AND LIMITATION

The competitive activity coupled with the flexibility in offering tariffs


have led to a situation wherein a large number of tariff plans are
offered in the market and coupled with the services rendered by the
retailers makes altogether a complex composition to handle. So it is
very important to give a considerable thought before drafting the
market strategy.

The objective of the research is to understand and find the


relationships between various key factors, which can be vital for
nourishing a smooth flow of business between company and its
customers through vast pool of organized and unorganized retailers.

Limitation
85

The scope of the study is restricted only to the major areas of


Meerut and does not include the outskirts.
Responsive errorthis arises when respondents are unwilling to
listen or talk.
Time was the major constraints in interviewing required
retailers and telecom users.

CONCLUSIONS
86

CONCLUSION
Idea is the largest telecom service provider in Indian telecom sector.
With market capitalization of over Rs. 1,360 billion, Idea has 31% of
total market share of GSM service providers. Providing GSM services
in all the 23 circles, Idea was the first private player in telecom sector
to connect all states of India. Also, Airtel is the first mobile service
provider to introduce the EDGE services and electronic recharge
systems. Having achieved huge success in mobile services- postpaid
and prepaid. Idea has now entered fixed-line telephony providing
broadband services in 92 cities across India. But at the same time Idea
has some weaknesses in terms of its some services.
The present research project on the market competitiveness of Idea
helps to analyze and undertand the present market scenario in the city
of

Meerut. Reliance and Vodafone and Airtel are the strongest


87

competitors so Idea is required to work on its weaknesses like Offers


at the time of new connection, Tariff Plans and Data card and Internet
services and grab the opportunities beforehand to maintain and
improve its market position in the telecom sector.

SUGGESTIONS
88

SUGGESTIONS

After doing a two-month research I have enlisted certain points, which


company should consider while drafting its marketing strategy-:

Offers at the time of new connection


The company should provide more offers at the time of new
connection because company is lagging behind than other company
like Reliance and Airtel.

Tariff Plans
The company should provide new tariff plans because company is
lagging behind in terms of Tariff plans of Reliance and Airtel.

89

Data card and Internet service


The company should improve their Internet services and Data card
facility because company is lagging behind BSNL. BSNL has more
demand among the customers in term on Internet facility.

BIBLIOGRAPHY
90

BIBLIOGRAPHY

Books:
(a) R.C. Kothari

Research Methodology

(b) Philip Kotler

Marketing Management

Magazines
(1)

Pepsi & Coke Journals

(2)

Business Today

(3)

Business India

(4)

Business World

Newspaper
91

(1) Times of India


(2) Economic Times
Websites

www.trai.gov,in/trai/upload/tarifforders/54/torder21mar09.pdf
http://www.ideacellular.com

http://www.airtel.in/

http://www.aircel.com/dreamcarcontest/terms_conditions.asp

http://www.tataindicom.com/

http://www.rcom.co.in/webapp/Communications/rcom/index.jsp

http://www.ideacellular.com/IDEA.portal

http://www.vodafone.in/Pages/index.aspx

http://www.bsnl.co.in/

92

QUESTIONAIRE
93

QUESTIONNAIRE

Dear Sir,
We are BBA student and we are doing survey on Market
competitiveness of Idea in city of Meerut. So, we request you to spend
your valuable time in answering the questionnaire.

Personal detail

Name: .

Address...

Contact no

OCCUPATION
94

SEX a) Male [ ]

b) Female [ ]

Age: a) Below 20 [ ]

b) 20 to 25 [ ]

c) Above 25 [ ]

Please tick only one appropriate option-:


1. Which company you will prefer while taking a connection?
(i) Airtel

[]

(ii) Vodafone

[]

(iii) Reliance

[]

(iv) Idea

[]

(v) Tata Indicom

[]

(vi) BSNL

[]

(vii) Aircel [ ]

2. Which feature will you prefer while taking a connection?


(i) Coverage

[]

(ii) Scheme

[]

(iii) Call rates

[]

(iv) Roaming

[]

3. Are you using prepaid / postpaid connection?


(i) Prepaid

[]

(ii) Postpaid

[]

(iii) Both

[]

4. Which one of the following company provides best services for


Prepaid and Postpaid?
(i)

PREPAID
Airtel

POSTPAID
Airtel

[]
95

[]

(ii)
(iii)
(iv)
(v)
(vi)
(vii)

Vodafone
Reliance
Idea
Tata Indicom
BSNL
Aircel

[]
[]
[]
[]
[]
[]

Vodafone
[]
Reliance
Idea
Tata Indicom
BSNL
Aircel

[]
[]
[]
[]
[]

5. Which of the following companies gives the best offers at the time of
new connection ?
(i) Airtel

[]

(ii) Vodafone

[]

(iii) Reliance

[]

(iv) Idea

[]

(v) Tata Indicom

[]

(vi) BSNL

[]

(vii) Aircel [ ]

6. According to you which of following companies gives the best


Customer Care Services?
(i) Idea

[]

(ii) Vodafone

[]

(iii) Reliance

[]

(iv) Airtel

[]

(v) Tata Indicom

[]

(vi) BSNL

[]

(vii) Aircel [ ]

7. According to you which of following companies gives the best


Network Connectivity?
(i) Airtel

[]

(iv) Reliance

(ii) Vodafone
[]

[]

(v) Tata Indicom

(vii) Aircel [ ]
96

(iii) Idea
[]

[]

(vi) BSNL

[]

8. Which of the following companies is the best terms of Advertising


Campaigns in Meerut region?
(i) Airtel

[]

(ii) Vodafone

[]

(iii) Reliance

[]

(iv) Idea

[]

(v) Tata Indicom

[]

(vi) BSNL

[]

(vii) Aircel [ ]
9. Which one of the following companies provides the best Tariff Plans?
(i) Airtel

[]

(ii) Vodafone

(iv) Tata indicom [ ]

[]

(v) Idea

(iii) Reliance

[ ](vi) BSNL

[]

[]

(vii) Aircel [ ]

10. Which one of the following companies provides the best Roaming
Facility?
(i) Airtel

[]

(ii) Vodafone

[]

(iii) Reliance

[]

(iv) Idea

[]

(v) Tata Indicom

[]

(vi) BSNL

[]

(vii) Aircel [ ]

11. Which one of the following companies provides the best in


Communicating Charges Schemes (new scheme) ?
(i) Idea

[]

(ii) Vodafone

[]
97

(iii) Reliance

[]

(iv) Airtel

[]

(v) Tata Indicom

[]

(vii) Aircel

[]

12 .Which one of the following companies provides the best Data


card/Internet services?
(i) Airtel

[]

(ii) BSNL

[]

(iii) Reliance

(iv) Idea

[]

(v) Tata Indicom

[]

[]

(vi) vodafone [ ]

13. Which one of the following companies provides the best Value Added
services?
(i) Airtel

[]

(ii) Vodafone

[]

(iv) Idea

[]

(v) Tata Indicom

[]

98

(iii) Reliance

[]

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