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OBJECTIVE OF THE STUDY

Every organization has to achieve its organization goals. For this it is very essential for an organization to know about the view of consumers and their competitive products. This survey research may be also aimed as to estimate potential buyer for the product. The objective of the study is as under:-

1. To identify the difference between market performance of Airtel industry and Vodafone. 2. To study the market of Airtel Industry and Vodafone on big scale telecommunication sector. 3. To compare various parameters of marketing strategies, manufacturing process, technology adopted production policy, advertising, collaboration, export scenario, future prospect for the two companies and government policies. 4. To study customer buying behavior and factors which influence the purchase decision process. 5. To know how the company has been successful in encountering the aggressive marketing strategies of competitors.

SYNOPSIS
Telecom Sector In India

Than 125 million telephones network is one of the largest communication networks in world, which continues to grow at a blistering pace. The rapid growth in the telecom sector can be attributed to the various pro-active and positive policy measures taken by the government as well as the dynamic and entrepreneurial spirit of the various telecom service providers both in private and public sector. The telecom sector has shown impressive growth during the past decade. Today, more Two striking features of this growth viz. increasing preference for mobile phones and higher contribution of private sector in the incremental growth have predominated the telecom sector. The share of mobile phones (including WLL mobile) has overtaken the share of landlines with 62% in the total number of phones. The private sector's contribution is also increasing rapidly. Currently more than 30 lakh phones are being added each month and it is targeted that by the end of 2008 the total number of phones may reach a level of 350 million taking the tele-density to more than 30% which is currently at 24.63%. Network Expansion: The total number of telephone subscribers has reached 281.62 million at the end of January 2008 as compared to 232.87 million in July 2007. The overall Teledensity has increased to 23.63% in January 2008 as compared to 21.20% in August 2007.

Wireless Service: The wireless segment saw a surge of 8.77 million subscribers last month compared to 8.17 million in December2007. This pushed the total wireless subscribers base to 242.40 million by Jan 31 2008. Wire line Subscribers: The wire line segment subscriber base stood at 39.73 million with a decrease of 0.16 million at the end of January 2008. Teledensity: The gross subscriber base reached 206.83 million at the end of March 2007. The Teledensity is 24.63%at the end of January 2008 as compared to 18.31% at the end of March 2007, registering an increase of 6%. Increasing Role of Private Sector: The private sector has played a significant role in the growth of telecom sector. The share of private sector has risen to 85 per cent in December 2007 from 64.14 per cent in November 2006. Tariff Rebalancing Measures: There has been a dramatic fall in the tariffs due to increased competition. The minimum effective charges for local calls have fallen considerably in recent months especially for cellular service. The long distance domestic as well as international charges have also fallen considerably. Telecom Regulatory Authority of India (TRAI): TRAI was established under the Telecom Regulatory Authority of India Act, 1997 enacted on March 28,1997. The goals and objectives of TRAI are focused towards providing a regulatory framework that facilitates achievement of the objectives of New Technology Policy (NTP) 1999.

TRAI has endeavored to encourage greater corporation in the telecom sector together with better quality and affordable prices.

AIRTEL
Airtel is a brand of telecommunication services in India operated by Bharti Airtel. Airtel is the largest cellular service provider in India in terms of number of subscribers. Bharti Airtel owns the Airtel brand and provides the following services under the brand name Airtel: Mobile Services (using GSM Technology), Broadband & Telephone Services (Fixed line, Internet Connectivity(DSL) and Leased Line), Long Distance Services and Enterprise Services (Telecommunications Consulting for corporates). It has presence in all 23 circles of the country and covers 71% of the current population (as of FY07). Leading international telecommunication companies such as Vodafone and SingTel held partial stakes in Bharti Airtel.

VODAFONE ESSAR

Vodafone Essar, previously Hutchison Essar is a cellular operator in India that covers 16 telecom circles in India Despite the official name being Vodafone Essar, its products are simply branded Vodafone. It offers both prepaid and postpaid GSM cellular phone coverage throughout India and is especially strong in the major metros. Vodafone Essar provides 2G services based on 900 MHz and 1800 MHz digital GSM technology, offering voice and data services in 16 of the country's 23 license areas. Vodafone Essar, previously Hutchison Essar is a cellular operator in India that covers 16 telecom circles in India . Despite the official name being Vodafone Essar, its products are simply branded Vodafone. It offers both prepaid and postpaid GSM cellular phone coverage throughout India and is especially strong in the major metros. Vodafone Essar provides 2G services based on 900 MHz and 1800 MHz digital GSM technology, offering voice and data services in 16 of the country's 23 license areas.

Introduction of the topic

BA C KGROUN D

The project is an extensive report on how the Airtel Company markets its strategies and how the company has been able in tackling the present tough competition and how it is scooping up by the allegations of the quality of its products. The report begins with the history of the products and the introduction of the Airtel Company. This report also contains the basic marketing strategies that are used by the Airtel Company of manufacturing process, technology, production policy, advertising, collaboration, export scenario, future prospect and government polici es. The report includes some of the key salient features of market trend issues. In todays world of cutthroat fierce competition, it is very essential to not only exist but also to excel in the market. Todays market is enormously more complex. Hence forth, to survive in the market, the company not only needs to maximize its profit but also needs to satisfy its customers and should try to build upon from there.

COMPANY PROFILE OF AIRTEL

Vision
"As we spread wings to expand our capabilities and explore new horizons, the fundamental focus remains unchanged: seek out the best technology in the world and put it at the service of our ultimate user: our customer." These are the premise on which Bharti Enterprises has based its entire plan of action. Bharti Enterprises has been at the forefront of technology and has revolutionized telecommunications with its world-class products and services. Established in 1985, Bharti has been a pioneering force in the telecom sector. With many firsts and innovations to its credit, ranging from being the first mobile service in Delhi, first private basic telephone service provider in the country, first Indian company to provide comprehensive telecom services outside India in Seychelles and first private sector service provider to launch National Long Distance Services in India. Bharti had approximately 3.21 million total customers nearly 2.88 million mobile and 334,000 fixed line customers. Its services sector businesses include mobile operations in Andhra Pradesh, Chennai, Delhi, Gujarat, Haryana, Himachal Pradesh, Karnataka, Kerala, Kolkata, Madhya Pradesh circle, Maharashtra circle, Mumbai, Punjab, Tamil Nadu and Uttar Pradesh (West) circle. In addition, it also has fixed-line operations in the states of Madhya Pradesh and Chhattisgarh, Haryana, Delhi, Karnataka and Tamil Nadu and nationwide broadband and long distance networks. Bharti has recently launched national long distance services by offering data transmission services and voice transmission services for calls originating and terminating on most of India's mobile networks. The Company is also implementing a submarine cable project connecting Chennai-Singapore for providing international bandwidth. Bharti Enterprises also manufactures and exports telephone terminals and cordless phones. Apart from being the largest manufacturer of telephone instruments, it is also the first telecom company to export its products to the USA. Bharti Tele-Ventures' strategic objective is to capitalize on the growth opportunities that the Company believes are available in the Indian telecommunications market and consolidate its

position to be the leading integrated telecommunications services provider in key markets in India, with a focus on providing mobile services.

The Company has developed the following strategies to achieve its strategic objective:

Focus on maximizing revenues and margins; Capture maximum telecommunications revenue potential with minimum geographical coverage; Offer multiple telecommunications services to provide customers with a "one-stop shop" solution;

Position itself to tap data transmission opportunities and offer advanced mobile data services; Focus on satisfying and retaining customers by ensuring high level of customer satisfaction; Leverage strengths of its strategic and financial partners; and Emphasize on human resource development to achieve operational efficiencies.

Businesses

Bharti Tele-Ventures current businesses include

Mobile services Fixed-line National and international long distance services VSAT, Internet services and network solutions Broadband services with DSL and Wi-Fi network

Competitive Strengths
Bharti Tele-Ventures believes that the following elements will contribute to the Company's success as an integrated telecommunication services provider in India and will provide the Company with a solid foundation to execute its business strategy:

Nationwide Footprint - approximately 92% of India's total mobile subscribers resided in the Company's fifteen mobile circles. These 15 circles collectively accounted for approximately 56% of India's land mass;

Focus on telecommunications to enable the Company to better anticipate industry trends and capitalize on new telecommunications-related business opportunities.

The strong brand name recognition and a reputation for offering high quality service to its customers;

Quality management team with vision and proven execution skills; and The Company's strong relationships with international strategic and financial investors such as SingTel, Warburg Pincus, International Finance Corporation, Asian Infrastructure Fund Group and New York Life Insurance.

Brand Architecture:
Bharti is working on a complex three-layered branding architecture to: Create specific brands for each service, Build sub-brands within each of these services and Use Bharti as the mother brand providing the group its corporate identity as well

as defining its goal to become a national builder of telecoms infrastructure.

BHARTI

AIRTEL
(Cellular Operations)

TOUCHTEL
(Basic Service Operations)

INDIA ONE
(National Long Distance)

Airtel - The flagship brand for cellular operations all across the Indian country. Touchtel - The brand earmarked for basic service operations. India One - The brand for national long distance (NLD) telephony Though the costs of creating new brands are heavy but the group wants to create distinct independent brands to address different customers and profiles.

Brand Strategy:
To understand the brand strategy, lets first look at the brand building exercise associated with Airtel a brand that had to be repositioned recently to address new needs in the market. When the brand was launched seven years ago, cellular telephony wasnt a mass market by any means. For the average consumer, owning a cellular phone was expensive as tariff rates (at Rs 8 a minute) as well as instrument prices were steep sometimes as much as buying a second-hand car. Bharti could have addressed the customer by rationally explaining to him the economic advantage of using a mobile phone. But Sachdev says that such a strategy would not have

worked for the simple reason that the value from using the phone at the time was not commensurate with the cost. Instead of the value-proposition model, we decided to address the sensory benefit it gave to the customer as the main selling tack. The idea was to become a badge value brand, he explains. So the Airtel leadership series campaign was launched showing successful men with their laptops and in their deluxe cars using the mobile phone. In simple terms, it meant Airtel was positioned as an inspirational brand that was meant for leaders, for customers who stood out in a crowd. Did it work? Repeated surveys following the launch showed that there were three core benefits that were clearly associated with the brand leadership, dynamism and performance. These were valuable qualities, but they only took Airtel far enough to establish its presence in the market. As tariffs started dropping, it became necessary for Airtel to appeal to a wider audience. And the various brand-tracking exercises showed that despite all these good things, there was no emotional dimension to the brand it was perceived as cold, distant and efficient. Sachdev and his team realized that in a business in which customer relationships were the core this could be a major weakness. The reason with tariffs identical to competitor Vodafone telecomm and roughly the same level of service and schemes, it had now become important for Bharti to humanize Airtel and use that relationship as a major differentiation. The brand had become something like Lufthansa cold and efficient. What they needed was to become Singapore Airlines, efficient but also human. A change in tack was important because this was a time when the cellular market was changing. The leadership series was okay when you were wooing the crme de la crme of society. Once you reached them you had to expand the market so there was need to address to new customers. By that time, Bharti was already the leading cellular subscriber in Delhi with a base of 3.77 lakh (it now has 1.8 million customers). And with tariffs becoming more affordable as cell companies started cutting prices it was time to expand the market. How could Bharti leverage this leadership position down the value chain? Surveys showed that the concept of leadership in the customers minds was also changing. Leadership did not mean

directing subordinates to execute orders but to work along with a team to achieve common objectives it was, again, a relationship game that needed to be reflected in the Airtel brand.

Also, a survey showed that 50 per cent of the new customers choose a mobile phone brand mostly through word-of-mouth endorsements from friends, family or colleagues. Thus, existing customers were an important tool for market expansion and Bharti now focused on building closer relationships with them. That is precisely what the brand tried to achieve through its new positioning under the Airtel Touch Tomorrow brand campaign. This set of campaigns portrayed mobile users surrounded by caring family members. Says Sachdev: The new campaign and positioning was designed to highlight the relationship angle and make the brand softer and more sensitive. As it looks to expand its cellular services nationwide to eight new circles apart from the seven in which it already operates Bharti is now realizing that there are new compulsions to rework the Airtel brand, and a new exercise is being launched to this effect. Right now, the company is unwilling to discuss the new positioning in detail. But broadly, the focus is on positioning Airtel as a power brand with numerous regional sub-brands reflecting customer needs in various parts of the country. If Airtel is becoming more humane and more sensitive as a brand, Bharti has also understood that one common brand for all cellular operations might not always work in urban markets that are now getting increasingly saturated. To bring in new customers, the company decided that it needed to segment the market. One such experiment, launched last year, is Youtopia, a brand aimed at the youth in the 14 to 19 age bracket and for those who are young at heart. With its earlier positioning, Airtel was perceived as a brand for the well-heeled older customer; there was nothing for younger people. With Youtopia, Airtel hoped to reverse that. In order to deliver the concept, Airtel offered rock bottom tariff rates (25 paise for 30 seconds) at night to Youtopia customers a time when they make the maximum number of calls. It also set up merchandising exercises around the scheme like a special portal for young people to buy things or bid for goods.

The company is now looking at offering other services at affordable prices to this segment which include music downloads on the mobile and bundling SMS rates with normal calls to make it cheaper for young people to use. The other experiment that Bharti has worked on is to go in for product segmentation through the Tango brand name. The brand was created to offer mobile users Internet-interface services or what is known as WAP (Wireless Application Protocol). The idea was to bring Internet and mobile in perfect harmony. The name was chosen from the popular movie title It Takes Two to Tango: basically, you need the two services to tango to offer customers a new choice, says Sachdev. This, however, had less to do with the branding exercise as with inefficiency of service (accusingly slow download speeds) and the limited utility of WAP services. Subsequently, the ads were withdrawn, but the company re-iterated that the branding exercise could be revived because Tango will be the brand to offer GPRS services or permanent Internet connectivity on the mobile phone which Airtel is expected to launch soon.

The Magic
Perhaps the more ambitious experiment has been with Magic the pre-paid card. The idea was to make the brand affordable, accessible and, most importantly, feasible as a means of expanding the market even faster.

PHASE I
Magic was aimed at bringing in infrequent users of a mobile phone into the market and assure him that he would have to pay only if he made a call. Such a customer used the phone sparingly mostly for emergencies and was not willing to pick up a normal mobile connection with its relatively high rentals (pre-paid cards do not include rental charges). To achieve its objectives Bharti did three things. One, the product was made available at prices ranging from Rs 300 to Rs 3,000 with no strings attached and was simple to operate. Two, the product was made accessible and distributed through small stores, telephone booths and even kirana shops so that the offering was well within arms reach. Third, to make the product more approachable to the customer, the company came with vernacular ad campaigns Like Magic Daalo Say Hello which appealed to local sensibilities. This apart, the company roped in Karisma Kapoor and Shah Rukh Khan for a major ad campaign all across Delhi, a ruse that saw the number of subscribers go up from 5.47 lakh to 1.2 million

today, overtaking Essars branded pre-paid card Speed, which was launched much ahead of Magic. The company is now re-working its Magic strategy even further. Earlier, the branding strategy was aimed at roping in only interested customers that is, customers who were already inclined to opt for mobile services. But now, with basic service providers having been allowed limited mobility at far cheaper rates, mobile service providers could find themselves under threat again. That is why the new exercise is aimed at co-opting non-adopters. While the exact strategy is under wraps, insiders say the new branding strategy would be aimed at offering them value which they had not perceived would be available from using a pre-paid card.

PHASE II Bharti used Airtel Magic to build a strong value proposition and accelerate market expansion through Indias first national pre-paid card TV brand campaign

First time ever in India - any pre-paid card brand goes on TV A combination of the film genre exposed through the TV medium designed to connect with the masses of India

Youth based - romance driven strategy platform makes the value proposition of Airtel Magic Mumkin Hai come alive

All elements - user imagery, context, tone & language created to connect the category to the lives of the SEC B & SEC C segment the middle class non-mobile user.

Airtel Magic positions itself on the platform of being excellent for emergency situations increasing productivity as a part of everyday life.

Sharukh Khan makes everything in life possible while romancing pretty Kareena Kapoor with Airtel Magic, Indias leading pre-paid mobile card. Airtel today unveiled its strategy for market expansion with the launch of its new Airtel Magic pre-paid card brand campaign Magic hai to Mumkin hai. The strategy is targeted at the nonuser segment defined as young adults, 15-30 years of age; in the Sec B & C segment is aimed at accelerating market expansion. The value proposition is centered around a persons desire to make all his / her dreams, ambitions & aspirations instantly possible. The new campaign for Airtel Magic is all about empowering millions of Indians to be on top of their lives. The brand is positioned to be relevant to the mass-market who want to make all their dreams, hopes & desires come alive instantly. (At just Rs.300/- per month Airtel Magic is so easy to buy.) Improving productivity, letting you befriend the world and opening up new horizons. It gives you the freedom to control your life in a way never possible before. Indeed, anything that you think is possible is possible with Airtel Magic. The new brand slogan Magic hai to Mumkin hai has been specially created to capture this effectively.

This strategy is designed to help us talk to this segment directly in the tone, manner & language of the masses. The Mumkin hai value proposition will help us expand the market and gain a higher percentage of market shares in the process. The brand ambassadors Shahrukh Khan and Kareena Kapoor embody this can do or Mumkin Hai spirit (infact that is the reason they were selected as brand ambassadors). Sharukh rose from a TV actor to become Indias top film star and national heartthrob. Kareenas success is due to her attitude, talent, hard work and the sheer ability to make a mark in such a short time. Both these stars have said Mumkin hai and made it happen for themselves. The genre of this new strategy & campaign is Hindi cinema led. This genre connects millions across India. The spirit of romance, dancing the Indian cinema, well known to most as Bollywood, holds millions of Indians together as one. The new TV campaign of Airtel Magic crafted in the Hindi film idiom, magnifies the empowering optimism of Mumkin Hai, in the endearing situation of a boy-girl romance. Where Sharukh Khan, sets his eyes on Kareena Kapoor and wins her love with the help of Airtel Magic. (Poignantly conveying that special feeling we all get when a dream is made possible and a victory of the heart is won). The strategy & new brand campaign is targeted at the large untapped base of intending mobile customers from Sec A, B & C. The estimated addressable market of such customers in the next two years is around 25 million in Airtels 16 states. The new strategy aims at correcting the perception that the mobile category is useful mainly for business or work related scenarios. The new strategy, brand positioning & brand slogan is an outcome of an extensive nationwide research and is an integral part of Airtel Magics new multi-media campaign. The campaign has been created by Percept Advertising.

PHASE III Bharti used Airtel Magic to build a strong value proposition and accelerate market expansion through Indias first national pre-paid card TV brand campaign

First time ever in India - any pre-paid card brand gives such freedom to recharge any value A combination of the film genre exposed through the TV medium designed to connect with the masses of India

Youth based - romance driven strategy platform makes the value proposition of Airtel Magic Aisi azaadi aur kahan? come alive

Sharukh Khan Makes everything in life possible Airtel today unveiled its strategy for market expansion with the launch of its new Airtel Magic pre-paid card brand campaign Magic Hai to Mumkin Hai. . The value proposition is centered on a persons desire to make all his / her dreams, ambitions & aspirations instantly possible. The new campaign for Airtel Magic is all about empowering millions of Indians to be on top of their lives. The brand is positioned to be relevant to the mass-market who want to make all their dreams, hopes & desires come alive instantly .At a amount of your choice you can recharge your account with available validity time .Improving productivity, letting you befriend the world and opening up new horizons. It gives you the freedom to control your life in a way never possible before. Indeed, anything that you think is possible is possible with Airtel Magic. The new brand slogan Aisi azadi aur kahan has been specially created to capture this effectively.

Other Brand Building Initiatives:The main idea is to stay ahead of competition for at least six months. Working on the above game plan Bharti is constantly coming up with newer product offerings for the customers. The focus, of course, is to offer better quality of service. To make the service simpler for customers using roaming facilities, Airtel has devised common numbers for subscribers across the country for services like customer care, food services and cinema amongst others. It will also launch a unified billing system across circles so, customers moving from one place to another do not have to close and then again open new accounts at another place. To assist customer care personnel to deal with subscriber queries, a storehouse of 40,000 frequently asked questions and their answers have been stored on the computers. Bharti expects that most of its new customers (one estimate is that it would be 60 to 70 per cent of the total new subscriber base) would come from the pre-paid card segment. So, they must be given value-added products and services which competitors dont provide. Bharti, for the first time for a cellular operator, has decided to offer roaming services even to its pre-paid customers, but the facility would be limited to the region in which they buy the card. To ensure that customers dont migrate to other competing services (which is known as churn and ranges from 10 to 15 per cent of the customer base every month), the company is also working on a loyalty program. This will offer subscribers tangible cash benefits depending upon their usage of the phone. The loyalty program will not be only for a badge value, it will provide real benefits to customers. The idea is to create an Airtel community. Another key area which Bharti is concentrating its attention upon is a new roaming service launched in Delhi under which calls of a roaming subscriber who is visiting the city will be routed directly to his mobile instead of traveling via his home network. The company also offers multi-media messaging systems under which customers having a specialized phone with a in-built camera can take pictures and e-mail it to friends or store it in the phone. The cost per picture is between Rs 5 to Rs 7.

Bharti is also aware that it has to make owning a ready-to-use cellular service much easier than it is today. A key area is to increase the number of activation centers. Earlier Bharti had 250 Airtel Connect stores which were exclusive outlets (for its services) and about 250 Airtel Points which were kiosks in larger shops. Now activation can be done by all of them, and not only by Connect outlets, all within 15 to 20 minutes. In comparison, the competition takes two to four hours.

Pre- paid cards are really catching up with the mobile phone users and it is actually helping the market to increase. First, they are easier to obtain and convenient to use. Unlike post-paid, one need not pay security deposits for picking up a pre-paid card. It is often available even with paanwalas. As befits a fast-moving consumer service, the game is now moving beyond price to expanding distribution reach and servicing a well-spread-out clientele with technology and strategic alliances. Bharti is focusing on two factors to make pre-paid cards more attractive. Keeping the entry cost low for consumers and making recharging more convenience.

Bharti is in the process of launching a new system in alliance with Mumbai-based Company Venture InfoTech which will enable a pre-paid card user to renew his subscription by just swiping a card. The system will not only save users the hassle of going out and buying a card every time it expires but also enable mobile companies to reduce the cost of printing and distributing cards.

Bharti Televentures has tied up with 'Waiter on wheels,' a company delivering food at home, to reach its Magic pre-paid cards to subscribers' doorsteps. The company is also joining hands with local grocery shops which will enable users to recharge their cards by just making a phone call to the shop. Apart from improving the convenience of recharging, mobile operators are beefing up their distribution channels. The company is constantly innovating to enhance the value proposition for its pre-paid service. They are leveraging technology to expand their distribution network and deliver round-the-clock recharge options to its MOTS (Mobile on the Spot) subscribers.

Bharti Cellular has also launched a special service, CareTouch, for high-value, corporate customers, providing them with instant, single-point access for any assistance they require. Customers can dial 777 and enjoy a slew of services, which includes easier payment of bills, service on priority basis, and value-added services without any additional paper work. Bharti Cellular is offering a range of services without going through an interactive voice recorder

ensuring that they save time. Dedicated CareTouch executives are expected to assist customers with any service on priority basis. Besides the regular proactive reminder calls for bill payment, customers can also call CareTouch for bill payments at free of cost. Airtel presented MTV Inbox; the first on-air SMS based interactive music dedication show exclusively for Airtel and Airtel Magic customers. Highly interactive VJ based show with realtime feedback mechanism. Both brands joined hands to target the high growth youth segment.

Bhartis View on its Branding strategy:First, brand building efforts in todays context have to be seen in a more holistic manner. Delivering value on a sustained basis is perhaps the most potent key to build a brand that lasts. Unflinching orientation to customer needs is the second key success factor. Customers (be it for industrial products or consumer goods and services) across the world are more informed and, at the same time, becoming more individualistic in their needs and far more demanding with the passage of time. Pro-active tracking of shifts in consumer behavior, anticipating redefined or emerging customer needs, and then reacting in real-time are essential to attract and retain customer loyalty a key element of creating brand equity in the present situation. Customizing the product (and communication of its benefit) to meet the specific needs of various consumer/customer sub-segments is the third element in creating brand appreciation. As far as allocation of time and financial resources are concerned, too many companies mistakenly allocate a disproportionate amount on mere advertising and promotion. This is not to say that advertising and promotion are less relevant. On the contrary, with more choices and higher media clutter, businesses need to budget for an increasingly higher spend on their brand promotion but this has to be undertaken in tandem with enterprise-wide reengineering of the business philosophy and core design, production, and delivery operations for the product itself. The positive spin to this argument is that by first addressing the fundamentals, the enterprise itself becomes more competitive. This can be the beginning of a virtuous cycle wherein brand equity continues to increase as the enterprise sustains delivery of an appropriate product or service at an ever increasing value. It is, however, crucial to note that in the years to come, not only will the cost of building a regional or a national (or an international) brand will continue to rise but also the time taken to do so will be longer and will need sustained and focused efforts.

Comparison of marketing strategies between Bharti Airtel and Vodafone.

Purpose of comparison

The sub main purpose of this report is to compare the marketing Strategies adopted by Bharti Airtel and its rival Vodafone

The comparison shows how both of the companies have been challenging each other to gain market shares.

Why comparison with vodafone

Bharti Airtel is the leader in telecommunication sector.

Bharti Airtel holds the lion share of market of communication sector.

However, Vodafone has been giving tough competition to Bharti Airtel.

Vodafone is the second largest player and share holder in Communication sector.

Since its launch Vodafone has been adopting aggressive marketing strategies.

The comparison shows how Hutchison Essar Telecom. Captured 22% market share in one month of its first launch of postpaid subscription in 2002.AD.

With a different technology Vodafone creates its own market.

Vodafone odafone. Today deals in every business of communication sector.

Vodafone making and changing the strategies to capture the market shares

Brand positioning by Bharti Airtel

Market segmentation
Geographical segment (metropolitans & cities India)

Demographic segment - middle income groups

People age group of 20 to 28 year

Target marketing
People who living in cities and towns.

Poor or middle income group people.

Youngsters in big cities.

Businessmen

Positioning
Creating brands (Sharukh khan & Sachin Tendulker)

Ads and promotions

Promotion for study of poor childrens.

Marketing mix
Price: low price strategy

Place:

maximum outlets and service centers

Product:

verities available for various groups

Promotion:

various schemes for pre-paid and post-paid

MARKETING STRATEGIES OF

VODAFONE.

Vodafone target the rural India

The main targeted customers of Vodafone are from rural India.

By offering cheap and light mobile sets Vodafone attracts most of the customers of small villages and towns.

Offering cheap handsets


Vodafone offers cheap and free connections to all customers.

The cost for these sets was Rs-799-849-1099\set and onward.

Free support and services


In every district and big towns Vodafone opens its service centers to provide better support and services.

Strong logistics and supply chain


Vodafone has a strong logistic and supply all over India.

In every small town the potential customers can easily purchase the Vodafone SIM & Sets.

Targeting youngsters in metropolitans


Vodafone attracts youngsters by offering colorful handset at very low prices.

BRAND POSITIONING BY VODAFONE

Market segmentation
Geographical segment (rural India)

Demographic segment - middle income groups

Target marketing
People living in small towns and villages.

Poor and middle income groups.

Youngsters in big cities.

Businessmen

Positioning
Creating brands

Ads and promotions

Marketing mix

Price : low price strategy

Place : maximum outlets and service centers

Product : verities available for various groups

Promotion: various schemes for pre-paid and post-paid

Services provided by Bharti Airtel


Mobile services with GSM technology Fixed-line connections National and international long distance services VSAT, Internet services and network solutions Broadband services

Services provided by Vodafone.


mobile services with GSM technology fixed-line telephone services Universal Internetworking VoIP (Voice over Internet Protocol) Interactive Television Visual Communication Broadband Portal

Telecommuting

RESEARCH METHODOLOGY
Achieving accuracy in any research requires a deep study regarding the subject. The prime objective of the project is to compare Airtel with the existing competitor (Vodafone) in the market and the impact of WLL on Airtel. The research methodology adopted is basically based on primary data via which the most recent and accurate piece of first hand information could be collected. Secondary data has been used to support primary data wherever needed.

Primary data was collected using the following techniques


Questionnaire Method Direct Interview Method and Observation Method The main tool used was, the questionnaire method. Further direct interview method, where a face-to-face formal interview was taken. Lastly observation method has been continuous with the questionnaire method, as one continuously observes the surrounding environment he works in.

Type of Research Methodology


EXPLORATORY:

TYPE OF RESEARCH CARRIED OUT WAS EXPLORATORY IN NATURE; THE OBJECTIVE OF SUCH RESEARCH IS TO DETERMINE THE APPROXIMATE AREA WHERE THE DRAWBACK OF THE COMPANY LIES AND ALSO TO IDENTIFY THE COURSE OF ACTION TO SOLVE IT. FOR THIS PURPOSE THE INFORMATION PROVED USEFUL FOR GIVING RIGHT SUGGESTION TO THE COMPANY.

DATA COLLECTION METHOD


THERE TWO TYPE OF METHOD OF DATA COLLECTION. PRIMARY DATA SECONDARY DATA

Primary data was collected using the following techniques


Questionnaire Method Direct Interview Method and Observation Method The main tool used was, the questionnaire method. Further direct interview method, where a face-to-face formal interview was taken. Lastly observation method has been continuous with the questionnaire method, as one continuously observes the surrounding environment he works in.

DATA USED FOR THE RESEARCH WORK WAS PRIMARY IN NATURE. PRIMARY DATA: PRIMARY DATA IS THAT WHICH IS THE COLLECTED FOR THE FIRST TIME AND THUS HAPPEN TO BE ORIGINATED IN CHARACTER.

QUESTIONNAIRE SURVEY: IN THE STUDIES A QUESTIONNAIRE IS PREPARED. THE QUESTIONNAIRE CONSISTS OF 15 QUESTIONS.

SECONDARY DATA: SECONDARY DATA REFER TO THE DATA THAT HAS BEEN ALREADY COLLECTED .THE SECONDARY DATA, WHICH HAS BEEN USED TO CARRY OUT THIS STUDY, ARE AS FOLLOW:

BOOKS, JOURNALS, MAGAZINES, NEWSPAPERS INDUSTRY REPORTS COMPANYS INTERNET SITE SOMEOTHER RELEVANT STUDY MATERIAL AND WEBSITES..

SAMPLE UNIT: - DELHI & NCR.

THE RESEARCH PROCESS WAS DONE BY INTERACTING WITH NUMBER OF CUSTOMERS DURING THE ACTIVITIES PERFORMED, WHICH INCLUDED,

MARKETS, COLD CALLING, CANOPIES, ETC. RANDOM SAMPLING.

SAMPLE DESIGN CONSISTS OF

SAMPLE SIZE: - 100 PEOPLE

METHOD OF COLLECTION: FIELD PROCEDURE FOR GATHERING PRIMARY DATA INCLUDED OBSERVATION AND INTERVIEW SCHEDULE IN WHICH THE QUESTIONNAIRES WERE FILED BY THE INTERVIEWER. PERSONAL INTERVIEWS THROUGH SELF ADMINISTERED SURVEY WAS DONE TO COLLECT THE DATA, MARKET RESEARCH WAS UNDERTAKEN, THAT WAS ACCOMPLISHED BY PERFORMING VARIOUS ACTIVITIES DESIGNED.

RESEARCH INSTRUMENT: QUESTIONNAIRE

THE QUESTIONNAIRE WAS FORMULATED BY KEEP IN MIND THE FOLLOWING POINTS: -

GIVING THE RESPONDENTS. CLEAR COMPREHENSION OF THE QUESTION. INDUCING THE RESPONDENTS TO CO-OPERATE. GIVING INSTRUCTIONS AS TO WHAT IS NEEDED. IDENTIFYING THE NEEDS TO BE KNOWN.

QUESTIONNAIRE
Dear Sir/Madam, I ayush mittal, student of MBA of manav rachna college of ebgineering. I am doing my project on Comparative analysis of marketing strategy of Vodafone and

Airtel. Please give your precious time for filling these details.
Q.1 Name those companies which provide telecom services now a days?

Airtel Vodafone Reliance TATA Idea

Q.2 which mobile company services you are using now a days?

Airtel Vodafone Reliance TATA Idea

Q. 3 Among them, which Brand you, prefer most?

Airtel Vodafone Reliance TATA Idea

Q.2 How long you have been using this Product?

0-2 Years 2-5 Years 5-10 Years More than 10 years

Q.3 Are you using other product instead of Airtel?

Yes No

Q.5 how would you rate the experience with Brand? Excellent

Good

Average Below Average

Airtel Vodafone Reliance

Q.6 Do you collect any information search before making purchase?

Yes No

Q.7 If yes, which sources are used?

Magazines Dealers Sales Executives Operators reference Pamphlets and catalogue Reference from friends and relatives Any other

Q.8

What are the features you look for in a product before making purchase decision? Give

preferences (1-Highest, 6- least)

Brand credibility Price and Discount After sales services and parts, network Value for money Vehicle performance Add on features or ergonomics of design

Q.9.

Which of these marketing / sales schemes attracts you while purchasing any connection?

Good Network Discount scheme Service package Any other

Q.10

If you have to purchase a new connection or product in near future, which Brand will you go for and why?

_________________________________________________ _________________________________________________ _________________________________________________

Q.11

Are you aware of various promotional activities being run by Airtel,

if

yes

then

how? Are you satisfied with these promotional activities? Very Satisfied

Satisfied

Somewhat Not Satisfied satisfied

Customer Care By Ad Films By Camp 24 hrs call center services

Q.12 Highest?)

How would you rate Airtel performance as your expectation on 5 points scale (5

4 5

After Sale service Maintenance Product as per expectation

Q.13

What are you suggestions for improving the product quality, service availability and parts availability?

______________________________________________________________________________ ______________________________________________________________________________ ________________________________________

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