EXECUTIVE SUMMARY

This report on Bharti Airtel is done to find out certain objective regarding the strategic approach Adopted by Airtel to stand strongly in the competitive telecom market. Airtels marketing strategies are analyses using various models like SWOT analysis, BCG Matrix, Ansoffs matrix, porters five forces etc. The outcomes of these models are properly analyzed to find out the various aspects like companies position and competitors position in the market. This report on Airtel not just give description about the company but it also talks about the various marketing strategy adopted by the company. SWOT analysis of Airtel helps to find out the weak points of the company and to find out the way to overcome this problem. Similarly with the help of Ansoff matrix it can be finding that what are the different strategic options available to the company under the different market condition. and to find the answer that why company is looking for overseas market like Nigeria and Seychelles.

TELECOMMUNICATION MARKET IN INDIA

The Indian telecommunications Network with 250m

telephone connections is the fifth largest in the world and is the second largest among the emerging growing unique

economies of Asia. Today it is the fastest market in the world and represents

opportunities for UK companies in the stagnant global scenario. Tele-density, which was languishing at 2% in

1999, has shown an impressive jump to 9.5% in 2006 and 10.5% in 2007 and is set to increase to 20% in the next five years beating the Govt. target by three Accordingly, India requires incremental USD 20-25 bln for the next five years. Private operators have . made. mobile. telephony. the fastest growing (over 164% p.a.) in India. With more than 33 million users (both CDMA and GSM), wireless is the principal growth engine of the Indian telecom current growth trends, cellular years. of

investments

industry. Given the

connections in India will surpass fixed line by late. 2004/early 2 0 0 5 . Intense competition between the

four main private groups - Bharti, Vodafone, Tata and Reliance and with the State
2

sector

incumbents-BSNL

and AIRCEL has brought about a significant drop in tariffs. There has been almost 74% in cell phone

charges, 70% in ILD calls and 25% drop in NLD charges, resulting in a boom time for the consumers.

The Government has played a key enabling role by deregulating and liberalising the industry, ushering in competition and paving the way there for growth. While

were regulatory irregularities earlier, resulting in

litigation, these have all been addressed now. Customs duties on hardware and mobile handsets have been reduced from 14 percent to 5 percent.

The Indian

government has merged the IT to

and

Telecom Ministries on

speed up reforms.and decision Convergence the Bill Internet,

the Communication

toenable the common

regulation of

broadcasting and telecoms will be taken after the new Government assumes responsibilities in may this year. An independent regulatory body (TRAI) and dispute settlement body (TDSAT) is fully functional.

INDIAN CELLULAR MARKET

The Bharti Group, which operates in 23 circles, continues to be the country's largest cellular operator, with 50 lakh subscribers. BSNL, which operates in 22 circles, has a subscriber base of 37 lakh subscribers. Thus stands second largest cellular operator BSNL of

in terms

subscriber base at the end of the fiscal ending March 31, 2007, displacing Vodafone from the second position. Vodafone, which operates in only eighteen circles, is the

third largest operator with a subscriber base of 32 lakh. Unlike fellow public sector undertaking, AIRCEL, which operates in Mumbai and Delhi, BSNL has been a very aggressive player in the market. "Cellular operators who

expected BSNL to go the AIRCEL way, were taken by surprise and did not take effective steps to counter it,

till it was too late in the day," said a telecom analyst. Belying fears of a slowdown in cellular subscriber

acquisitions, the cell club has reported a 7.92% growth, the highest growth in any month so far, during March 2005. Year-on-year, the cellular subscriber has almost base in the country

doubled in March 2005, and is expanding at

4

the rate of 25% per year thereafter. The cellular subscriber club expanded by 21.31 lakh last month. This is much higher than 5.9 lakh subscribers

added in February 2005 and 2.13 lakh in January 2005. Idea, which operates in Seven circles, is the fourth

largest operator with a subscriber base of

17.80 lakh,

higher than BPL's 11.31 lakh subscribers across four circles. The subscriber numbers per operator drop sharply with the sixth largest operator, Spice Communications, having a subscriber Reliance Telecom's 8.9 AIRCEL is the ninth base of lakh 9.40 lakh, followed by

subscribers.

largest operator, with a base of

8.32 lakh subscribers. While the subscriber base-jumped by 3.38% to 44.39 lakh in the metros, subscriber base of category A circles of Maharashtra, Gujarat, Andhra Pradesh, Karnataka to reach and

Tamil Nadu jumped by 10.18 % Category B circles of

43.64 lakh.

Kerala, Punjab,

Haryana, Uttar

Pradesh (West), Uttar Pradesh (East), Rajasthan, Madhya Pradesh and West Bengal recorded a jump of 10.69%, with a total base of 33.74 lakh subscribers. Circle C has reported 12.74 % growth with subscriber numbers jumping to 5.08
5

lakh. Among the metros, while Mumbai added 1,63,180

subscribers, higher than the 1,58,646 added by Delhi, the Capital's cellular subscriber base of higher than Mumbai's 66.89 lakh. over 80 lakh is still While the cellular

industry has been on roll for the first three quarters of the previous financial year with an average of 16.75 lakh

monthly additions in the third quarter, the first two months of 2007 had seen the growth slowing down.

INTRODUCTION (Company overview)...

Incorporated on July 7, 1995, Bharti Airtel Ltd is a division of Bharti Enterprises. The businesses of Bharti Airtel are structured into two main strategic groups - Mobility and Infotel. The Mobility business provides GSM mobile services in all 23 telecommunications circles in India, while the Infotel business group provides telephone services and Internet access over DSL in 15 circles. The company complements its mobile, broadband, and telephone services with national and company also has a

international long-distance services. The

submarine cable landing station at Chennai, which connects the submarine cable connecting Chennai and Singapore. Bharti TeleVentures provides end-to-end data and enterprise services to fibre- optic

corporate customers by leveraging its nationwide

backbone, last mile connectivity in fixed-line and mobile circles, VSATs, ISP and international bandwidth access through the gateways and landing station. All of Bharti Tele-Ventures' services are provided under the Airtel brand.

As of September 2011, Bharti Tele-Ventures was the only company to

7

provide mobile services in all 23 telecom circles in India. By the end of July 2012, Bharti Tele-Ventures was serving more than 14.74 million GSM mobile subscribers and 1.10 million broadband and telephone (fixed line) customers. The equity shares of Bharti Tele-Ventures are currently listed on the National Stock Exchange of India Ltd (NSE) and the Stock Exchange, Mumbai (BSE). The main shareholders of Bharti Tele-Ventures were: Bharti Telecom Ltd (45.65%), a subsidiary of Bharti Enterprises; Singapore Telecom (15.69%), through its investment division

Pastel Ltd; and, Warburg Pincus (5.65%), through its investment company Brentwood Investment Holdings Ltd). Other shareholders with more than a 1% stake were: Citi Group Global Markets

Mauritius Pvt Ltd (2.99%); Europacific Growth Fund (2.04%); Morgan Stanley & Co International Ltd (1.93%); CLSA Merchant Bankers Ltd A/C Calyon (1.33%); Life Insurance Corporation of India (1.34%); and, The Growth Fund of America Inc (1.11%). Sunil Bharti Mittal, the founder-chairman of Bharti Enterprises (which owns Airtel), is today, the most celebrated face of the telecom sector in India. He symbolises the adage that success comes to those who dream big and then work assiduously to deliver it. Sunil Bharti
8

Mittal began his journey manufacturing spare parts for bicycles in the late 1970s. His strong entrepreneurial instincts gave him a unique flair for sensing new business opportunities. In the early years, Bharti established itself as a supplier of basic telecom equipment. His true calling came in the mid 1990s when the government opened up the sector and allowed private players to provide telecom services. Bharti Enterprises accepted every opportunity provided by this new policy to evolve into India's largest telecommunications company and one of India's most respected brands. Airtel was launched in 1995 in Delhi. In the ensuing years, as the Airtel network expanded to several parts of India, the brand came to symbolise the very essence of mobile services.

PRODUCTS
Airtel provides a host of voice and data products and services, including high- speed GPRS services. Airtel also offers a wide array of 'postpaid' and 'prepaid' mobile offers, with a range of tariff plans that target different segments. A comprehensive range of value-added, customised services are part of the unique package from Airtel. The company's products reflect a desire to

constantly innovate. Some of these are reflected in the fact that Airtel was the first to develop a 'single integrated billing system'. Airtel comes to you from Bharti Airtel Limited - a part of the biggest private integrated telecom conglomerate, Bharti Enterprises. Bharti is the leading cellular service provider, with an all India footprint covering all 23 telecom circles of the country. It has over 21 million satisfied customers. Bharti Enterprises has been at the forefront of technology and has revolutionized telecommunications with its

world class products and services. Established in 1976, Bharti has been a pioneering force in the telecom sector with many firsts and innovations to its credit. Bharti has many joint ventures with world leaders like Singtel (Singapore Telecom); USA; Telia, Sweden; Asian
10

Warburg Pincus, find, Mauritius;

infrastructure

International Finance Corporation, USA and New York Life International, USA. Bharti provides a range of telecom services,

which include Cellular, Basic, Internet and recently introduced National Long Distance. Bharti also manufactures and exports telephone terminals and cordless phones. Apart from being the largest manufacturer of telephone instruments in India, it is also the first company to export its products to the USA. Airtel's journey to leadership began in Delhi in 1995. Since then, Airtel has established itself across India in sixteen states covering a population of over 600 million people. Airtel will soon cover the entire country through a process of acquisitions and green field

projects. With a presence in over 1,400 towns, Airtel today has the largest network capacity in the country. In the last nine years Airtel has achieved many firsts and unique records: it was the first to launch nationwide roaming operations, it was the first to cross the one million and the five million customer marks. It was also the first to launch services overseas. There are other 'firsts' credited to Airtel - many of them in the area of innovative products and services. Today, Airtel innovates in almost everything that it presents to the market. An excellent
11

example is Easy

Charge

India's

first paperless electronic

recharging facility for prepaid customers. As evidence of its fine record, Airtel has also been conferred with numerous awards. It won the prestigious Techies Award for 'being the best cellular services provider' for four consecutive years between 1997 and 2000 - a record that is still unmatched. And in 2003, it received the Voice & Data Award for being 'India's largest cellular service provider', amongst others. As part of its continuing expansion, Airtel has invested over Rs. 1,065 billion in creating a new telecom infrastructure. In 2003/04, Bharti Tele-Ventures earned a gross profit of Rs. 16 billion on revenues of Rs. 50 billion.

12

CORPORATE STRUCTURE OF AIRTEL

AIRTEL SERVICES
13

Airtel Prepaid Airtel Prepaid, the Ready Cellular Card from Airtel comes to you from Bharti Enterprises, India's leading integrated telecom

service provider. Going mobile with Airtel Prepaid is a new way of life. With a host of great features, also simple to use, Airtel Prepaid makes everything that you dreamt and believed, possible. Total Cost Control You can control your Airtel 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 Airtel Prepaid. No more paying deposits or having a minimum balance in your account to make an STD/ISD call. Hassle-free calls are here to stay! Strong Network Coverage Enjoy complete clarity when calling with Airtels 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 from
14

your mobile phone and listen to the voice announcement or simply dial *123#, press 'OK' or 'YES' button and your account balance will be displayed on the screen of your handset. Recharge your Airtel Prepaid Recharging is Easy. The calling value on your card keeps

reducing as you make calls or use any other chargeable service. Choose the Airtel 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 recharge your phone. procedure mentioned below, to

Prepaid Roaming Airtel Prepaid comes preactivated with 'National Roaming', so you stay connected no matter wherever you are. You can also send or receive MMS, check your email and access other GPRS services while roaming in India as you would in your own city. While traveling abroad you can receive calls & send or receive SMS. Other Services Airtel brings you, a wide range of Services that will change the way you communicate. Try them and discover a whole new world of fun and excitement.

15

Call management Services Call waiting, call hold, call divert and Caller Line Identification Presentation all with your Airtel prepaid connection.

Voice Mail When your handset is switched off, or youre too busy to answer the phone, Airtel Voicemail will answer your calls and record a message. The best part is that there's no extra monthly cost for setting up Voicemail - you just pay for the phone call when you use the service.

SMS (Short Messaging Service) Send messages quickly and easily using text, if it's too noisy to talk or you don't have much time. It's the way to share those interesting one-liners, important reminders and rib-tickling jokes, with anyone, anytime, anywhere in the world.

Subscription Alerts Get regular alerts on news, jokes, business, health and films on your Airtel mobile phone with Subscription Services. SMS <SUB NEWS> to 3333 for News, <SUB JOKE> for Jokes, <SUB BIZ> for Business News, <SUB SPO> for Sports Alerts & <SUB VAASTU> for Vaastu tips.

16

MMS (Multi-media Messaging Service): Jazz up your messages with pictures, images and video clippings, with MMS from Airtel! To activate MMS on your phone, SMS 'MMS' to 56465 and save service settings. Airtel Live! Make your mobile the most happening entertainment destination with Airtel Live! Airtel brings you the latest in entertainment and information services, right on your phone!

Airtel Live! WAP Services: Download the latest ring tones, games, wallpapers, videos and much more. You can also get news clips, watch live TV and download full songs on you phone. To get Airtel Live! settings on your phone, SMS 'Live' to 56465 and save the settings that you receive as your preferred connection. Airtel Live! Portal can be accessed from you GPRS enabled phone, by sending a SMS 'FUN' to 56465.

Airtel Live! Voice Services: Just Dial 56465, and name the service. For e.g. say ring tones to download your favorite ring tones. You can also choose a variety of content options like Live Cricket Commentary, latest National / International News, Movie Reviews or Stock Market Updates.

Airtel Live! SIM Services: Access loads of fun content and exciting services like cricket, stocks, on your phone at the touch
17

of a few buttons with Airtel Live! SIM based Services on your SIM card menu. To download new services on your Airtel SIM, choose the "What's new" option under the "Airtel services" menu.

Airtel Live! SMS Services: You can enjoy a host of services by sending a keyword as an SMS to 56465! Choose Astrology / Horoscope, Cricket, Bollywood / Hollywood / Indi Pop Ring tones.

Hello Tunes Tired of that boring old tring tring on your phone? Well now when a friend calls, you can make them groove to the hottest new tracks burning up the music charts with Hello Tunes from Airtel! You get a wide choice of songs in the Popular & New Arrivals categories that are updated regularly. What's more you can directly call the number for your kind of music, e.g. call 678005 for English New and 678001 for Hindi New. This would

directly take you to your favorite artist's Hello Tunes listing. Copy a Hello Tune Get the tune you want, all you have to do is call 55055 and follow the simple voice instructions to copy your favorite Hello Tunes. Once inside the copy feature, just key in the 10-digit Airtel mobile number you want to copy the Hello Tune from and you get the same Hello Tune assigned to your number.
18

Gift a Hello Tune Forget gifting chocolates, flowers and greeting cards. Say it with a song instead! Gift a Hello Tune to that special someone. Just call 55055 and choose the song that you want to gift. Follow the simple voice instructions and key in the 10-digit Airtel mobile number that you want to gift the Hello Tune to. You will get an SMS notification upon successful receipt of that gift.

Buy Music - Airtel Music Shops Buying your favorite Hello Tune or Ring tone is as simple as recharging your phone with talk time. Simply walk into your nearest Airtel Shop and walk out with your favorite song. Choose from Bollywood Hits to Indipop Remixes, Hard Rock to Gujrati Garba, Bhajans to Jazz, Bhangra Beats to foot tapping Tamil Hits from a list of more than 18000 songs. Reach us Anytime Anywhere In case you need assistance, dial '121' - our toll-free number, accessible from anywhere in the country, even while roaming. You can also send us an SMS to 121 or mail us at

121@airtelindia.com. Airtel Postpaid Airtel welcomes you to a vibrant world of unlimited opportunities. More exciting, innovative yet simple new ways to communicate,
19

just when you

want to, not just through words but

ideas,

emotions and feelings. To give you the unlimited freedom to reach out to your special people in your special way.

Easy Billing Enjoy a host of rich features only with Airtel e-bill. Register free on My Airtel section and view your monthly bill with call details for last three months. Sort your calls between personal and official or analyze your usage, at the click of a button. To change your tariff plan call our IVR at 121 and leave a request.

Easy Payment Options. Anytime Anywhere You can choose from a host of convenient payment options only with Airtel. Walk into any Airtel relationship centre and make your payments by cash or credit card. Drop a cheque at any of the drop boxes for making payments or simply log on to My Airtel section and pay instantly through your credit card. You can also opt for easy payment options like: Standing Instructions You can give us standing instructions to debit your credit card account for your monthly Airtel bills. All you have to do is fill the Standing Instruction Form and mail, fax it to us or drop it any of
20

our relationship centers.

Electronic Clearing System Fill an ECS form and mail, fax it to us or drop it any of our relationship centres to directly debit your bank account for your monthly Airtel bill.

Pay while roaming Airtel has introduced 'Anywhere payment' that offers you the convenience of making payments while you roam. Walk in to any Airtel Relationship Centre in the country, make payments by cash or credit card and enjoy uninterrupted Airtel Services. Credit limit Your pre-set credit limit mentioned on your monthly bill helps you keep your mobile charges in control, keeps track of your usage and ensures that your mobile phone is not misused. Should you exceed your credit limit, you will be informed via a voice or a non-voice message to make an interim payment and reduce your account balance below your credit limit. You may also choose to pay us an additional refundable deposit to

enhance your credit limit or opt for our convenient payment method of Credit Card Standing instruction .You can also make use of ECS facility.
21

Strong Network Coverage Enjoy complete clarity when calling with Airtel .It offers you world class technology and unbreakable network coverage that spans over 23 circles across the country.

Long Distance Calling Facility Call long distance calls in India and Overseas with STD / ISD facility on your Airtel phone. Widest Roaming - National and International Airtel's roaming service allows you to stay connected and use your mobile phone to make or receive calls from almost anywhere in India and also over 160 countries, abroad. GPRS - Roaming Use Airtel Postpaid's GPRS services, while roaming, to access the internet and office mails (eg. BlackBerry services), from almost anywhere in India and abroad. Say it. In more than just words, with Services from Airtel Airtel brings you a wide range of Services that will change the way you communicate. Try them and discover a whole new world of fun and excitement. Call management Services Call waiting, call hold, call divert and Caller Line Identification
22

Presentation, help you do more with your Airtel Postpaid connection! Conference call You can hold a teleconference with 5 people simultaneously with Call Conferencing service from Airtel. In fact, you can set up a conference even when the other five are using a landline phone. To know more, call customer service at 121. Missed call alert A missed call alert is a SMS that you will receive for all the calls that you missed. The SMS will detail the CLI and the time when the call was made. To activate, dial *135*2# then press the call button and wait for the request to be completed. Voice Mail When your handset is switched off, or youre too busy to answer the phone, Airtel Voicemail will answer your calls and record a message. The best part is that there's no extra monthly cost for setting up Voicemail - you just pay for the phone call when you use the service.

SMS (Short Messaging Service) Send messages quickly and easily, using text, if it's too noisy to talk or you don't have much time. It's the way to Share those
23

interesting one-liners, important reminders and rib-tickling jokes, with anyone, anytime, anywhere in the world.

Subscription Alerts Get regular alerts on news, jokes, business, health and films on your Airtel mobile phone with Subscription Services. SMS <SUB NEWS> for News, <SUB JOKE> for Jokes, <SUB BIZ> for Business News, <SUB SPO> for Sports Alerts & <SUB VAASTU> for Vaastu tips to 3333. MMS (Multi-media Messaging Service): Jazz up your messages with pictures, images and video clippings, with MMS from Airtel! To activate MMS on your phone, SMS 'MMS' to 56465 and save service settings. Airtel Live! Make your mobile the most happening entertainment destination with Airtel Live! Airtel brings you the latest in entertainment and information services, right on your phone! Airtel Live! WAP Services: Download the latest ringtones,

games, wallpapers, videos and much more. You can also get news clips, watch live TV and download full songs on you phone! To get Airtel Live! settings on your phone SMS 'Live' to 56465 and save the settings that you receive as your preferred
24

connection. Airtel Live! Portal can be accessed from you GPRS enabled phone, by sending a SMS 'FUN' to 56465. Airtel Live! Voice Services: Just Dial 56465 and say the name of the service. For e.g. say Ring tones to download your

favourite ring tones. You can also choose a variety of content options like Live Cricket Commentary, latest National /

International News, Movie Reviews or Stock Market Updates. Airtel Live! SIM Services: Access loads of fun content and exciting services like cricket, stocks, on your phone at the touch of a few buttons with Airtel Live! SIM based Services on your SIM card menu. To download new services on your Airtel SIM, choose the "What's new" option under the "Airtel services" menu. Airtel Live! SMS Services: You can enjoy a host of services by sending a keyword as an SMS to 56465 ! Choose Astrology / Horoscope, Cricket, Bollywood / Hollywood / Indi Pop Ring tones. In case you need assistance SMS Help to 56465.

GPRS (General Packet Radio Services) Log on to the internet, with GPRS that allows data transmission at a higher speed. Access e-mails and internet across Airtel's pan-India presence using 'Mobile Office' with your phone or a phone and laptop both.

25

Get the EDGE Browse the internet on your mobile phone with Airtel's EDGE services. Enjoy live TV, enhanced WAP experience and Airtel Data Cards on our high speed network. Hello Tunes Tired of that boring old tring tring on your phone? Well now when a friend calls, you can make them groove to the hottest new tracks burning up the music charts with Hello Tunes from Airtel! You get a wide choice of songs in the Popular & New Arrivals categories that are updated regularly. What's more, you can directly call the number for your kind of music, e.g. call 678005 for English New and 678001 for Hindi New. This would directly take you to your favourite artist's Hello Tunes listing. Copy a Hello Tunes Like a tune you want, all you have to do is call 55055 and follow the simple voice instructions to copy your favourite Hello Tunes. Once inside the copy feature, just key in the 10-digit Airtel mobile number you want to copy the Hello Tune from and you get the same Hello Tune assigned to your number. Gift a Hello Tunes Forget gifting chocolates, flowers and greeting cards. Say it with a song instead! Gift a Hello Tune to that special someone. Just call 55055 and choose the song that you want to gift. Follow the
26

simple voice instructions and key in the 10-digit Airtel mobile number that you want to gift the Hello Tune to. You will get an SMS notification upon successful receipt of that gift. Buy Music - Airtel Music Shops Buying your favourite Hello Tune or Ringtone is as simple as recharging your phone with talktime. Simply walk into your

nearest Airtel Shop and walk out with your favourite song. Choose from Bollywood Hits to Indipop Remixes, Hard Rock to Gujrati Garba, Bhajans to Jazz, Bhangra Beats to foot tapping Tamil Hits from a list of more than 18000 songs. Reach us, Anytime Anywhere In case you need assistance, dial '121' - our toll-free number, accessible from anywhere in the country, even while roaming. *In case of email, mention your mobile no. like 9810012345 in the subject of the mail for a quicker response.

27

OBJECTIVES

The Indian communications scenario has transformed into a multiplayer, multi product market with varied market size and segments. Within the basic phone service the value chain has split into domestic/local calls, long distance players, and international long distance players. Apart from having to cope with the change in structure and culture (government to corporate), Airtel has had to gear itself to meet competition in various segments basic services, long distance(LD), International Long Distance (ILD), and Internet Service Provision (ISP).It has forayed into mobile service provision as well. Objective of study are: What marketing strategies the Airtel is implementing to defend and increase the market share. To find who are the competitors of the Airtel and the market shares of the competitors and what strategies Airtel is implementing to beat its competitors. To find out how Airtel react communications sector, to the technology changes in the

28

METHODOLOGY
The methodology adopted for this project is exploratory in nature since there is no hypothesis that has to be

tested. The conclusions have been drawn by exploratory research work. There have been two sources of information collected: Primary Sources I have met retailers of the Airtel of the company and have been able to get first hand information regarding the product, its features and the buying product. Their input has been valuable. patterns of the

Secondary Sources Secondary source has played a vital role to play in this report. A good amount of data has been collected from various published articles and and reports found in

magazines

journals. Another vital source has been

the Internet and particularly the companies own website.

29

SWOT ANALYSIS

Following is the SWOT Analysis for AIRTEL

ANALYSIS STRENGTHS
Very focused on telecom. Leadership in fast growing cellular segment. Pan-India footprint. The only Indian operator, other than VSNL, that has an international submarine cable

WEAKNESSES

Price competition from BSNL and MTNL Untapped Rural Market

The fast-expanding IPLC market. Latest technology and low cost advantage. Huge market

Competition from other cellular and mobile operators. Saturation point in Basic telephony service

OPPURTUNITIES

THREATS

30

STRENGTH
VERY FOCUSED ON TELECOM Bharti Airtel is largely focused on the telecom, around 93% of the total revenue comes from telecom

(Total telecom revenue Rs 3,326). LEADERSHIP IN FAST GROWING CELLULAR SEGMENT Airtel is holding leadership position in cellular market.. Bharti Airtel is one of India's leading private sector providers of telecommunications services based on an aggregate of 27,239,757 customers as on August 31, 2006, consisting of 25,648,686 GSM mobile and 1,591,071 broadband & telephone customers. PAN

INDIA

FOOTPRINT

Airtel

offers

the

most

expansive

roaming network. Letting you roam anywhere in India with its Pan-India presence, and trot across the globe with International Roaming spread in over 240 networks. The mobile services group provides GSM

mobile services across India in 23 telecom circles, while the B&T business group provides broadband & telephone services in 92 cities. THE ONLY OPERATOR IN INDIA OTHER THAN VSNL HAVING INTERNATIONAL SUBMARINE CABLES. Airtel, the monopoly breaker shattered the Telecom monopoly in the International Long Distance space with the launch of International Submarine cable Network i2i jointly with Singapore Telecommunications Ltd. in the year 2002. This has brought a huge value to the IPLC customers, delivering them an option besides the incumbent carrier, to connect to the outside world.

31

WEAKNESS
Price Competition from BSNL and AIRCEL. Airtel is tough competition from the operators like BSNL nd AIRCEL as these two operators are offering services at a low rate.

Untapped

Rural

market. Although

Airtel

have

strong

Presence

throughout the country but still they are far away from the Indian rural part and generally this part is covered by BSNL so indirectly Airtel is losing revenue from the rural sector.

OPPORTUNITIES
THE FAST EXTENDING IPLC MARKET An IPLC (international private leased circuit) is a point-to-point private line used by an organization to

communicate between offices that are geographically dispersedthroughout the world. An IPLC can be used for Internet access, business data exchange, video conferencing, and any other form of telecommunication. Airtel Enterprise Services and SingTel jointly provide IPLCs on the Network i2i. The Landing Station in Singapore is managed by SingTel and by Airtel in Chennai (India). Each Landing Station has Power Feeding Equipment, Submarine Line Terminating Equipment and SDH system to power the cable, add wavelengths respectively.
32

and convert the STM-64 output to STM-1 data streams

 LATEST TECHNOLOGY AND LOW COST ADVANTAGEThe costs of introducing cellular services for Airtel are marginal in nature, as it needs only to augment its cellular switch/equipment capacity and increase the number of base stations. The number of cities, towns and villages it has covered already works to its advantage as putting more base stations for cellular coverage in these areas comes with negligible marginal cost. Besides such cost

advantages, it has also other cost advantages for the latest cellular technology. As a late entrant into the cellular market, it has dual advantage of latest technology with modern features, unlike other private cellular operators who started their service more than 4-5 years back and low capital cost due to advantages of large scale buying of cellular switch/equipment.

HUGE MARKETThe cellular telephony market is presently expanding at a phenomenal / whopping rate every year and there is still vast scope for Airtel

to enter /expand in this market. Besides there is a vast rural segment where the cellular services have not made much headway and many customers are looking towards Airtel for providing the service to them. With its wide and extensive presence even in the remotest areas, Airtel poised to gain a big market share in this segment when it expands cellular services into the rural areas.

33

THREATS
COMPETITION FROM OTHER CELLULAR It is time for BSNL to improve/expand its cellular services. Fierce and cut-throat competition is already in place with the markets ever abuzz with several tariff reductions and announcement of attractive packages, trying to grab most of the mind share of the king - the consumer, whose benefits are increasing with passing of everyday. If BSNL is not innovative and agile, its cellular service will be a flop. It needs to be proactive with attractive packaging, pricing and marketing policies lest its presence in the market be treated with disdain by the private cellular companies. The launch of WLL services by Reliance Infocomm has aggravated the situation.

MARKET MATURITY IN BASIC TELEPHONY SEGMENT Although Airtel entered in the basic telephony market its a biggest there for the company as the basic telephony market has reached

34

BCG MATRIX

Stars HIGH Leased Private Circuit GROWTH %

Questionmarks

ISP Cellular

Cows LOW Basic Telephone (Fixed Line)

Dogs

HIGH Relative Market Share

LOW

BCG Matrix is used to find out the relative growth prospects of the product line. Within the Airtel product line leased, private, circuit are among star. Airtel is going to have a submarine cable between Singapore and Chennai with the collaboration of SingTel. This wills Airtel to maintain its position in IPLC market. Right in India only VSNL have such cables.

35

ANSOFF MATRIX
MARKET PENETRATION ENTERED IN BROADBAND AND FIXED LINE MARKET MARKET DEVELOPMENT LOOKING FOR OVERSEAS MARKET

PRODUCT DEVELOPMENT IPLC PRODUCTS

DIVERSIFICATION

OUTSOURCING

To portray alternative corporate growth strategies, Igor Ansoff conceptualized a matrix that focused on the firms present and potential products and markets / customers. He called the four product-market strategic alternatives market penetration [existing market + existing product], market development [existing product + new market], product development [existing market + new product], and Diversification [new product + new market]. The company should follow all four strategies depending on the demand and product as indicated in the matrix. The company perhaps needs to focus more on the comparatively neglected area of diversification. MARKET PENETRATION: Airtel entered in broadband and fixed phone line market. PRODUCT DEVELOPMENT: IPLC products MARKET DEVELOPMENT: Airtel is now looking for overseas market. DIVERSIFICATION : Airtel has now outsourcing sum of its services like customer services with IBM
36

INDUSTRY STRUCTURE PORTERS MODEL

Prior to Competition Post Competition

Supplier Power Low

Supplier Power is moderate

Entry Barriers Low

Industry Attractiveness High Earlier Low Now

Threats of Substitutes Low

Entry Barriers High

Threats of Substitutes High

BPC Getting Higher

BPC Low

The earlier pattern used to be that the national telecom company used to own every segment of the value chain till the international gateway. With liberalization there was competition in virtually every segment. There are companies that provide local connectivity, those that function as long distance carriers, and those that provide only gateway links. Some integrated players operate in all segments. The intensity of competitive pressures across the chain is reflected in the downward spiral being witnessed in tariffs and prices to customer. The value chain for cellular mobile service and Internet Service Providers (other than cable based net connections) are similar in as much as the calls reach the destination through similar local loop, long distance and international gateway.
37

ENVIRONMENTAL ANALYSIS
It is a systematic examination of all 3 levels of the environment with at least three purposes: Detecting important economic, social, cultural, environmental, health, technological, and political trends, situations, and events Identifying the potential opportunities and threats for the institution implied by these trends, situations, and events Gaining an accurate understanding of your organizations strengths and limitations

STEEP refers to changes in the social, technological, economic, environmental, and political sectors that affect organizations directly and indirectly.

A STEEP analysis of the macro environment indicates that economic (a phone call being a cheaper way to stay in touch than outstation travel for example) and social factors (working outside the home town) have forced the pace of utilization of technology (Public Call Offices, mobile phones, networked companies).

Increasing customer awareness has raised expectations and vocal demands are being articulated for consumer rights; such political factors have in turn impacted the competitive environment by way of entry of private players, independent regulation, and a policy framework tilted towards a level playing field for new entrants. A near environment analysis indicates that the competitors are becoming active resource rivals (political and financial) apart from applying pressures as customer rivals. The customer has, needless to say, benefited from increased choice from within the communications services basket itself.

38

CORE COMPETENCE
Airtel core competencies are sales & promotions and as of now Airtel is leading brand in mobile services in India. Airtel have three big personality Viz. Sachin Tendulkar , Shahrukh Khan and music maestro A. R. Rahman for endorsing there product and services currently Airtel is outsourcing there no competence function and try to fully concentrate on his core competency that is sales promotion.

39

Market SITUATION
At the time of launch
The first mover i n the market was Airtel which launched its services in Delhi in Aug 1995 (Informal launch). Essar Cellphone followed by launching its services informally in Oct 95. At this point of time, the market was at a nascent stage, awareness level was low and both operators independently tried to spread networks were

awareness and educate the people. Once the commercially launched, it

became a number game with a Initially

multitude of schemes being offered to woo customers

the cellphone was perceived as a status symbol and utility took a back seat The target segment in Delhi were and the high income corporate

group. The average capacity installed

was for 1.5 lakh subscribers. This coupled with the steep license fee paid to DOT put pressure on the operators to break-even by rapidly expanding their markets. In the first two years, this led to a number of schemes being offered and prices crashing.

40

COMPETITIVE SITUATION
Airtel launched its services before Essar and skimmed

the market picking up the bulk of the high usage premium clients. This is a very competitive industry with the two

companies differentiating either on value-added services or price. Airtel is perceived as the high quality provider and has

a premium image. Essar, on the other hand, is perceived as the lower end service provider. Airtel positions itself as the market leader on the basis of the number of subscribers. Essar is trying to counter this by emphasising on the reach of its network and the quality of its service. However, Essar is somewhat not been very successful largely due to the inconsistency in advertising To promote on themselves, tactical both the players However, have they been have

dependent

advertising

restrained from using comparative advertising Hoardings have been a very popular medium for carrying the advertisements Airtel has also been advertising on television using the Bharti

Telecom name.

41

SALES DEPARTMENT AND S T R A T E G Y A. Major Accounts (Direct Channel) Handles corporate (named and famed) accounts Forecasting of sales Mapping the accounts

Providing after sales support to the subscribers. Maintaining call reports for records. Providing Feedback to the marketing department regarding the requirement of the market.

B. IDC (indirect Channel) Maintaining records and level check of the channel partner Liaisoning between the channel partner and the company. Target achievement

C.

Distribution Support Logistics Monitor handset and SIM card requirements of

channel partners and co-ordinate with stores Settle areas of concerns such as incentive claims of channel partners

42

Rental Provide cellular services (SIM cards) on rent. Provide cellular phones on rent Useful for people visiting Delhi for a short interval.

Telesales Call customers and generate sales lead. Follow up with the customers, if they need any assistance. Pass on the sales lead to the channel department.

Audit Consultant to the AirTel showrooms. Monitor the operations at the AirTel distribution outlets Organize training.

Retail Locate shops to open retail counters. Monitor the retail counters.

43

MARKET SEGMENTATION
Segmentation is beneficial because of better predictability of the target consumer group, minimization of risk

exposure, better ability to fine-tune a product / service to the ease requirement of target in designing a buyer and the resultant

proper designing marketing mix

strategy In this case segmentation is on the bade of income. In evaluating different market segments the company attractiveness of the

looks at two factors

The overall

segments and the company's objectives &resources The present market for Cellular phones, pagers and

conventional phones is as follows

Premium

Middle

Economy

Upper Lower Upper Lower Upper Lower Cellular Phones Pager Conventional Phones X X X X X X X X X X X X -

44

TARGET MARKET SEGMENTATION

Airtel has targeted the premium and u p p e r middle class. The rationale behind it i s t h a t only those segments

s h o u l d b e targeted who value time and have the paying capacity. It is also planning to target the business tourists

during their stay in the capital About 60% o f the clientele are t o p executives of

corporate houses. About 15% are foreign organizations and the rest are professionals and small businessmen. During the introduction stage there was intense pressure to get

consumers across to hook up with their brand, because getting them to switch brand loyalty later would be hard. So far Airtel marketers have been concentrating totally on the business executive class but now that the basic viable volumes has beer) built up and prices have declined to a certain extent they are planning to venture further afield.
POSITIONING

The product is

sought to be positioned as a business

efficiency tool. a lifestyle revolution and a status symbol The emphasis is to remove misconception that the cell phone is an expensive means of communication and drive home the point that the cell phone is actually a day-to-day utility
45

PRODUCTS AND PLANNING

The p ro d u ct mix. Without a or service is t h e heart of the marketing product or a service customers' needs

cannot be satisfied. The basic product promise by Airtel is mobility. Airtels main marketing strategy is to be a first mover all the time. It has recognized the significance of making the first move because in the field of Communication & Information

Technology changes occur at a tremendous pace. Effective product segmentation has to be carried on

continuously because basic services can be and will be copied and in time become expected product. Airtel seeks component of the

to carry out this segmentation

through provision of new information services and making new facilities available. The product policy and planning At present maturity

depends on the stage of the product life cycle. the cellular phone market has reached the

stage. Since, the premium segment is nearing saturation the company targeting the upper middle and middle-middle class. In order to do so Airtel is trying to optimize the price performance bundling".
46

package

by

offering

suitable

"product

This involves the s e l e c t i o n

of

the

suitable hardware

(handset) and its software (its services.) With reasonable price in order to deliver maximum price performance to

its customers. In addition, it offers free Airtime services and other concessions to make the prices and thus the product more attractive. It has also opened a 24 hours customer service. Only price doesn't serve as an effective differentiator,

v alu e added services become the effective differentiator.

The "Value Added Services" provided from Airtel are:i) VoiceMailservice

This system

is similar to the answering machine - if the a call for some reason the

user is not able to answer

caller can leave messages in the voice mail box which can be later retrieved by the user

ii) Short Message Service The short message service is like a two-way pager. It gives an option of sending and receiving text messages directly from one mobile phone to another without the intervention of an operator.

47

iii) MobileFax DataService This service helps the subscriber to send and receive

Faxes, access E-mail, download computer files from other systems and remotely log on to another computer and surf the Internet.

iv) CashCard The cash card is a pre-paid and pre-activated card which allows the buyers to buy air time in advance. requires is the payment of an initial amount. All it

This is a and

useful service for people who travel to Delhi often those who want to control the expenses on their calls.

v) CallerID Displays calling person's number.

vi) Outgoingcallrestriction To p r e v e n t or hours. Also countries, local calls, limit outgoing possible to calls, for exclude example, in peak one or several

or any geographical region, to permit only or to limit the outgoing calls to a listed

number.

vii) Call Forward Incoming calls can be forwarded to another fixed or mobile phone. Besides these some other services provided by Airtel are - Call Conferencing, Call Broadcast.
48

It is in the operators -Interest that they not only get many subscribers but also get them to use the frequently. mobile facility

In the early stages getting increases to subscribe

may be easier than getting them to talk since they will find it costlier to use the mobile phone as compared to a conventional phone.

viii) Roaming Facility Roaming facility is available while the subscriber is travelling. The billing is done in the home network (Delhi). Roaming facility is available manually* as well as semi-automatically. Once a

subscriber is In any other city or country, where a GSM network is available, simply insert the SIM card of the local operator Into your handset and start talking. * Manual Roaming means a separate SIM card is provided for each city ** Semi automatic roaming means one card has the facility for different cities.

49

AIRTEL'S MARKETING ORIENTATION Since this is a high-involvement expensive product, the service provider has to fully take care of the customers. a) They take personal responsibility to "get" the answer for any problem faced by the customer b) They anticipate customers' problems and take pro active steps to prevent them c) They give answers to the questions & requests, quickly & efficiently. d) They have a positive tone & manner while interacting with customers. e) They end the interaction on a positive or a humorous note- making the last 30 seconds count.

Airtel realizes that attracting people i s easy but converting them into loyal customers is hard, hence emphasis is on maintaining a 'Smiling and a Friendly Atmosphere' to

please and retain the customer.

50

PRICE AND PRICING POLICY

AIRTEL has realized that the Indian market is up price with

sensitive. Therefore it care of

the has come

various innovative tariff schemes to take needs of different category of customers- Generally, the cellular services are more expensive than the land line based telephone

services. This is due to the reason that the operating companies are required to pay a fee to the government for using airtime.

51

Marketing Strategy Adopted By Bharti Airtel

Bharti has spent a considerable amount on advertising its mobile phone service, Airtel. Besides print advertising, the c o m p a n y had put up large no of hoardings and kiosks in and around Delhi. The objective behind designing campaign for a promotion

the Airtel services is to promote the brand

awareness and to build brand preferences. It is trying to set up a thematic campaign to build a Since the cellular phone also the fact that a

stronger brand equity for Airtel. category itself is too restricted,

Cellular phone is a high involvement product, price doesn't qualify as an effective differentiator. The image of the

service provider counts a great deal. Given the Cell phone category, service it is the network efficiency and that the quality of

becomes important. What now the buyer is

looking at is to get the optimum price-performance package. This also serves as an effective differentiator Brand awareness is spread through the' campaigns and

brand preference through brand in the capital began

stature. Airtel's campaign

with a series of 'teaser' hoardings

across the city,' bearing just the company's name and

52

without explaining what Airtel was.

In the next phase the

campaign associated Airtel with Cellular only thereafter was the Bharti Cellular connection brought up. Vans with Airtel logos roamed the city, handing out brochures about the

company and its services to all consumers. About 50,000 direct callers were sent out. When the name was well

entrenched in the Delhiitess mind, the Airtel campaign began to focus on the utility of Cell phone. In the f i r s t four months exceeded alone Airtei's advertisement spend

Rs. 4 crores.

As of today the awareness level Is 60% unaided. This implies that if potential or knowledgeable consumers are asked to name a Cellular phone service provider that is on the top of his/her mind 60% of them would name Airtel. As for aided it -is 100% (by giving clues and hints etc.). Brand strength of a product or the health of a brand is measured by the percentage score of the brand on the above aided and the unaided tests. The figures show that Airtel is a healthy and a thriving brand. Every company has a goal, which might comprise a sales target and a game plan with due regard to Its

competitor. Airtels campaign s t r a t e g y is designed keeping

53

in mind its marketing strategy. The tone, tenor and the stance of the visual ads are designed to convey the image of a market leader in terms of its market share. It tries to portray the image of being a "first mover every time" and that of a "market leader". The status of the product in

terms of its life cycle has just reached the maturity stage in India. It is still on the rising part of the product life cycle curve in the maturity stage. The diagram on the left hand side shows the percentage of the users classified into heavy, medium and low

categories. The right hand side shows the revenue share earned from the three types of users. Airtel, keeping in mind the importance of the customer retention, values its heavy users the m o s t a n d

c o n s t a n t l y indulges in service innovation. But since heavy users comprise only 15 - 20% of the population the other

segment cannot be neglected. The population which has just realized the importance of cellular phones has to be roped in. It is for this reason that the service provider offers a plethora of incentives and discounts. Concerts like the

"Freedom concert" are being organized by Airtel in order to promote sales. The media channel is chosen with economy
54

in mind. The target segment is not very concrete but, there is an attempt to focus on those who can afford. The print advertisements and hoarding are placed in those strategic areas which most who need important likely to catch the attention of those an

a cellular phone. The product promise is variable in determining

the target audience.

Besides this, other promotional strategies that Airtel has adopted are. (i) People who have booked Airtel services have been treated to exclusive premiers of blockbuster movies. Airtel has tied up with Lufthansa to offer customer bonus miles on the German airlines frequent flier's programs. (ii) There have been pre educational launch campaigns, image launch

campaigns,

advertisements,

advertisements, promotional

congratulatory attacking

advertisements, advertisements

advertisements,

and tactical advertisements.

55

DISTRIBUTION
Company

Franchisee

Distributor

Dealer

Dealers

Customer Customer

The- company whose operations are concentrated in and around Delhi. Its 27 Franchisees and 15 Distributors- They also have 8

'instant access cash card counters- Each franchises or distributor can have any number of dealers under him as long as the person is approved by the Airtel authority. Each franchises has to invest Rupees Ten Lakhs. to obtain a franchise and should employ an officer recruited by Airtel. This person acts as an liaison between the company and the franchises. The franchises can it any

number of dealers as long as their territories do not overlap. But unfortunately Airtel has not been very successful in controlling territorial overlaps of dealers. The franchises can carry out his 1 her own promotional strategy. For this the company contributes

56

75%

of the money and the franchises contributes 25% The dealers under the franchisee receive the

of the same

money.

commission. The franchises and the dealer obtain the feedback from the customers and they are sent through the liaison officer on a dayto-day basis to Airtel. The dealer has to invest Rupees. One Lakh as an initial investment. The dealer of Airtel are not

allowed to provide any other operators' service. Target set for distributors and the dealers is 100 -150 activations per month. Hence the dealers can also go for their The own

promotions like banners and discounts on festivals etc. dealer provides service promptly.

The consumer on providing the

bill of purchase for the handset and proof of residence has only to wait an hour before getting connected. The staff of the dealers and the franchisees are provided training by the Airtel personnel.

The complaints encountered by the franchisees and dealers are either handset being non-functional or the SIM Card not getting

activated. Anything more complicated is referred to the main Airtel office in Delhi.

WHAT DOES AIRTEL OFFER?

57

With Airtel, the subscriber wouldn't just get a personal phone that lets him/her be in touch, always, but also gets a host of benefits that let him/her manage his/her time like never before. An Airtel subscriber is provided with a Subscriber Identity Module Card (SIM card) - that is the key to operating his/her cellular phone. His card activates Airtel cellular services and contains a complete microcomputer chip with memory to enable one to enjoy one's cellular phone thoroughly. Each SIM card contains a PIN code (Personal Identity Number) which may be entered by one. Just plug your SIM card into your cellular phone, enter the PIN code and it becomes 'your' personal phone'. PRODUCT LIFE CYCLE The pattern of cell phone subscriber growth observed elsewhere in the world reveals that the growth in the market followed by a sharp acceleration, but so far is Initially slow that has not

happened in India.

As far as the Product Life Cycle is concerned.

Indians are at the beginning of the maturity stage.

58

MARKETING OBJECTIVES
Create product awareness and trial Maximise market share Maximise profits whole defending market share

Strategies
Product Offer a basic product/ service. Charge cost- plus Offer value added services Increase in number of value added services. Price to match or best competitors Build more intensive distribution. Stress brand differences and benefits.

Price

Price to penetrat e market Build Intensive distribution. Build awareness and interest in the mass market Increase to

Distribution

Build selective distribution Build product awareness among early adopters and dealers. Use heavy sales promotion to entice people to subscribe.

Advertising

Sales

Increase to

Promotion

build and maintain relationship s with customers.

encourag e brandswitching .

59

FINDINGS
1. Do you believe that India is potentially one of the most exciting mobile service providers in the world? Company Airtel Vodafone Idea AIRCEL Yes 4 4 4 4 No 1 1 1 1

As according to the above table 16 (80%) out of the total 20 interviewed people in all the above four specified Indian mobile service providers are of belief that India is potentially one of the most exciting mobile service providers in the world, whereas some 4 (20%) of them do not agree to this view.

No

1 4 0 2

Ye s

6 AirTel

8 Vodaf one

10 Idea

12 AIRCEL

14

16

18

60

2. Do you find that the governments telecom policy has had the most radical impact on the development of mobile service providers? Company Airtel Vodafone Idea AIRCEL Yes 4 3 3 5 No 1 2 2 --

As according to the above table 15 (75%) out of the total 20 interviewed people in all the above four specified Indian mobile service providers find that the governments telecom policy has had the most radical impact on the development of mobile service providers, whereas some 5 (25%) of them deny this.

5 4.5 4 3.5 3 2.5 2 1.5 1 0.5 0 Yes No AirTel Vodaf one Idea AIRCEL

61

3. Do you believe that one of the challenges facing mobile operators in India regions? Company Airtel Vodafone Idea AIRCEL Yes 2 3 3 2 No 3 2 2 3 is the diversity of the coverage

As according to the above table 10 (50%) out of the total 20 interviewed people in the mobile service providers are of belief that one of the challenges facing mobile operations in India is the diversify of the coverage regions, whereas interestingly another 10 (50%) of them deny this.

3 2.5 2 1.5 1 0.5 0 Yes No AirTel Vodaf one Idea AIRCEL

62

4. To what extent, does you find that mobile service providers is a very complex standard? Company Airtel Vodafone Idea AIRCEL To some extent (1-5) 3 2 2 3 To great extent (6-10) 2 3 3 2

As according to the above table 10 (50%) out of the total 20 interviewed people in all the above four major the mobile service providers in Indian Cellular industry find only to some extent that GSM is a very complex standard, whereas the another 10 (50%) respondents find to great extent that mobile service providers is a very complex standard.

3 2.5 2 1.5 1 0.5 0 To some extent To great extent AirTel Vodaf one Idea AIRCEL

63

CONSUMER LEVEL
1. Do you believe that mobile service providers comes close to fulfilling the requirements for a personal

communication system? Company Airtel Vodafone Idea AIRCEL Yes 9 8 8 5 No 1 2 2 5

As the above shows 30 (75%) out of total 40 respondents are of the belief that mobile service providers comes close to fulfilling the requirements for a personal communication system, whereas 10 (25%) of them are in no way to this belief.

3 2
No

2 2 AIRCEL Idea Vodafone 2 3

Yes

AirTel

3 3

64

2. Do you find that mobile service providers as the most exciting and satisfying mobile standard? Company Airtel Vodafone Idea AIRCEL Yes 9 7 8 8 No 1 3 2 2

As

the

above

shows 32 (80%) out

of

total

40

respondents

find that mobile service providers as the

most exciting and satisfying mobile standard, whereas the remaining 8 (10%) respondents de ny thi s.

No

Ye s

2 9 0

2 8 8 5 10 AirTel 15 Vodaf one Idea AIRCEL 20 25 30 35

Page 65 of 73

3. Do you believe that your service provider has a genuine commitment to creating a modern and efficient communications? Company Airtel Vodafone Idea AIRCEL Yes 10 8 10 8 No -2 -2

As the above shows 36 (90%) out of total 40 respondents are of the have belief that a their service providers to creating a

genuine commitment

modern and efficient communications whereas the remaining 4 (10%) respondents deny this.

2 0
No

2 0 8 10
Yes

AIRCEL Idea Vodafone AirTel

10 8

Page 66 of 73

RECOMMENDATIONS
PRICING

Depending on the market conditions / competition from cellular or wll-mobile service providers and also to suit local conditions, there should be flexible pricing mechanism (either at central or local level). IMPROVEMENT IN TECHNOLOGY

Airtel should immediately shift to third generation switches by replacing its c-dot switches. This will improve the quality of service to desired level and provide simultaneous integration with the nationwide to avoid no signal pockets ESTABLISHMENT OF DISTRIBUTION CHANNELS network. The special

distribution of the transmission towers should be increased

Airtel

should

establish

widespread

and

conspicuous

distribution to match that of the

competitors. The

distribution network shall make the product visible and available at convenient locations. UNTAPPED RURAL MARKET

Page 67 of 73

Large part of Indian rural market is still untapped therefore airtel is required to bring that area under mobility.

CONCLUSION

From above

the

details I conclude

that 70%

Airtel users preferred to remain with Airtel. Also good no. of users who were willing to switch from

their respective subscribers showed interest in Airtel. Hence, these statistics imply a bright future for the company. Also the company is now providing more services like the you dial the door to door services which is

Airtel customer care and would like to

send someone flowers the Airtel company delivers those flowers to the person concerned. Also Airtel is providing voice mail free text messaging service and free is also

service.

Call c o n f e r e n c i n g

another feature A irtel provides.

QUESTIONNAIRE
Page 68 of 73

NAME: ADDRESS: OCCUPATION:

1.

Do you believe that India is potentially exciting mobile in the service

one of the most providers world? Company Airtel Vodafone Idea AIRCEL

Yes

No

2. Do you find that the governments telecom policy has had the most radical impact on the

mobile service providers? Company Airtel Vodafone Idea AIRCEL Yes No

Page 69 of 73

3. Do you believe that one of the challenges facing mobile operators in India is the

diversity of the coverage regions? Company Airtel Vodafone Idea AIRCEL Yes No

4. To what extent, does you find that mobile service providers is a very complex standard? Company To some extent (1-5) Airtel Vodafone Idea AIRCEL To great extent (6-10)

CONSUMER LEVEL
Page 70 of 73

1.

Do you believe

that mobile service

providers

comes close to fulfilling the requirements for a personal communication system? Company Airtel Vodafone Idea AIRCEL Yes No

2. Do you find that mobile service providers as the most exciting and satisfying mobile standard? Company Airtel Vodafone Idea AIRCEL Yes No

3. Do you believe that your service provide has a genuine commitment to creating a modern and efficient communications?

Company Airtel Vodafone Idea AIRCEL

Yes

No

Page 71 of 73

CONCLUSION
From above the details I conclude that 70%

Airtel users preferred to remain with Airtel. Also good no. of users who were willing to switch from their showed interest in Airtel.

respective subscribers

Hence, these statistics imply a bright future for the company. Also the company is now providing more services like the door to door services.

Page 72 of 73

REFERENCES
Kotler, Philip, Marketing Management: Analysis, planning, Implementations and control, Pearson Education, New Delhi Stanton William J., Fundamentals of Marketing, McGraw Hill, New Delhi Czinkota, M.R., Marketing Management, Pearson

Education Asia, New Delhi Saxena Rajana, Marketing Management, Tata McGraw Hill, New Delhi BSNL Website:- www.bsnl.co.in Airtel Website:- www.airtel.com Aircel Website:- www.aircel.com

Page 73 of 73