GRAND PROJECT REPORT

ON
BHARTI AIRTEL LIMITED
SUBMITTED BY;-
Piyush Gaur

CONTENTS


Executive Summary 3
Intr!uctin "#$
History

Change in Brand Logo &
Taglines
O%&ective' (
Mission
Company Overview
Subsidiary Company )*
Or+ani'atin Structure )*
Strate+ic Bu'ine'' ,nit )-
Mar.et S/are 0 Airte1
)-#
)"
Subscriber Trend & Growth
Competitors
Bu'ine'' Partner' 2 Partner' R1e )"
Mar.etin+ Mix )3
4a1ue C/ain Strate+y )(
5inancia1 Ana1y'i'
-*#
-6
Company's Revenue

Company's or!ing Capital
"nalysis

Company's "dvertisement
#$penditure

Revenue %rom &alue "dded
services
Mar.etin+ Ana1y'i'
-6#
-(
'orters generic Strategy
BCG (atri$
)*+orce (odel
S,T "nalysis
A7ar!' 2 Rec+nitin' 3*
Research Methodology 3*

E8EC,TI4E S,MMAR9
This report on Bharti "irtel is done to -nd out certain ob.ective
regarding the strategic approach adopted by "irtel to stand
strongly in the competitive Telecom mar!et/ "irtel mar!eting
strategy analysis is done using various models li!e 'orters generic
Strategy0 BCG (atri$0 )*+orce (odel & S,T "nalysis o% "irtel
etc/
"lso the detailed study o% +inancial 'osition o% Company is done to
-nd out its position in (ar!et/ The study includes Revenue
"nalysis0 or!ing Capital "nalysis0 "sset turnover ratio o% "irtel0 &
its e$penditure on "dvertisement as a percentage o% Sales in
recent period/
The report gives in%ormation about how "irtel ad.usted itsel% in
changing mar!et conditions0 what are the various strategies it
ta!es to become 1ndia2s 3
st
company by Subscriber & Revenue/
INTROD,CTION
Bharti "irtel Limited %ormerly !nown as Bharti Tele*&entures LT4
5BT&L6 is an 1ndian company o7ering telecommunication services
in 38 countries/ 1t is the largest cellular service provider in 1ndia0
with more than 393 million subscriptions as o% "ugust :;3;/
Bharti "irtel is the world's third largest0 single*country mobile
operator and -%th largest telecom operator in the world with a
subscriber base o% over 3<; million/ 1t also o7ers -$ed line
services and broadband services/ 1t o7ers its telecom services
under the "irtel brand and is headed by Sunil Bharti (ittal/ Bharti
"irtel is the -rst 1ndian telecom service provider to achieve this
Cisco Gold Certi-cation/ To earn Gold Certi-cation0 Bharti "irtel
had to meet rigorous standards %or networ!ing competency0
service0 support and customer satis%action set %orth by Cisco/

The
company also provides land*line telephone services and
broadband 1nternet access 54SL6 in over 8= cities in 1ndia/ 1t also
acts as a carrier %or national and international long distance
communication services/ The company has a submarine cable
landing station at Chennai0 which connects the submarine cable
connecting Chennai and Singapore/
HISTOR9 O5 AIRTEL
Bharti Cellular launched cellular services '"1RT#L> in 4elhi in
388)0Himachal 'radesh in 388?0 @arnata!a and "ndhra 'radesh circles
in 3888
1n 388<0 Bharti Telenet obtained a license %or providing -$ed*line
services in (adhya 'radesh circle and in the same year0 Bharti Telecom
and British Telecom %ormed a )3A B 98A .oint venture
1n 38880 Cew Dor! Li%e 1nsurance +und acEuired a FA eEuity interest in
Bharti Cellular/
1n :;;30 Bharti Cellular entered into a .oint venture0 Bharti "Eua net0
with SingTel %or establishing a submarine cable landing station at
Chennai/
1n :;;:0 Bharti Cellular entered into license agreements to provide
cellular services in eight new circles/
1n :;;:0 Bharti Cellular Ties up with Secondary School Certi-cation
Board0 Hyderabad0 where Bharti will announce SSC results to its
customers on their mobile phones/
1n the same year0 :;;:0 1C1C1 Ban! ties up with Bharti %or pre*paid
mobile cards via "T(s/
1n :;;F0 Bharti Group's cellular brand "irtel has unveiled %ree
multimedia messaging services 5((S6 %or its customers/ The company
has also rolled out pan*1ndia G'RS 5General 'ac!et Radio Services6 %or
its corporate subscribers/
Launches its G1ndia,ne (eetHpress' audio*con%erencing service5:;;F6
"irtel provides S(S %acilities to hearing impaired in Chennai5:;;F6
1n :;;F0 "irtel Subscribers e$ceed F million mar!/
1n :;;90 Bharti Cellular entered into license agreements to provide
cellular services in = new circles including Ittar 'radesh 5#ast60 est
Bengal & "ndaman Cicobar0 ,rissa0 Bihar and Jammu & @ashmir/
Same year "irtel launches G'RS services %or pre*paid customers/
+ollowing are the reasons %or change in Tagline o% "irtel
:P7er t .ee; in Tuc/<
9EAR# )((6#)(($
SIGNI5ICANCE#
** The tag line ''ower to !eep in Touch' used in the brand promise
was designed to ma!e the user %eel 'in controlKpower%ul'
** 'ositioned in premium category aimed at elite class o% society/
** 'erception o% aspiration and li%estyle brand
REASON 5OR CHANGE#
** Cow0 cellular service operators could drop their prices and
target new customer segments/
** "s the category developed with prices going down sharply0
"irtel began tal!ing to a wider spectrum o% potential users/ This
gives the birth to the new Tagline/
:Tuc/ tmrr7<
9EAR# )(((#-**)
SIGNI5ICANCE=
** "irtel started tal!ing to new segments by positively positioning
and establishing itsel% as a brand that improved the Euality o% li%e/
** Cew loo! and the %eel o% the brand tagline indicated the core
values o% the brand i/e/ leadership0 per%ormance and dynamism/
REASON 5OR CHANGE#
** "irtel started to loo! %rom a regional level to pan 1ndia position
** Redi7ussion 4D&R0 which is the ad agency that too! charge o%
revamping "irtel's brand image thought0 To become a 1ndian
leader0 "irtel need to change its tagline
:Live Every Mment:
9EAR= -**-#-**3
SIGNI5ICANCE>
** This was the -rst time " R Rehman had agreed to wor! %or any
brand0 anywhere in the world/ The music %rom the commercial
became the most downloaded ring tone in the history o%
telecommunications/
** Tagline denotes that each and every person in 1ndia live every
moment 5emotions0 %eelings etc/6 o% the li%e with "irtel/
REASONS 5OR CHANGE=
** Redi7ussion 4D&R0 which is the ad agency that too! charge o%
revamping "irtel's brand image again changed the tagline to give
better tagline to "irtel which catches some emotional appeal/
:Ex;re'' yur'e10<
9EAR# -**3#-**$??@
SIGNI5ICANCE>
** >#$press yoursel%' was success%ully launched ta!ing the
ownership o% the entire space o% communication and
strengthening the emotional bond "irtel en.oys with its customers
** The masterminds behind the '#$press Doursel%' campaign are
the .oint vice*presidentsB (r/ 'rashant Godbole and Larwan 'atel/
** "irtel is a mar!et leader in the cellular networ! and they wanted
a very %resh and contemporary idea to build a brand image which
their customers could identi%yM/
4i'in* By end o% :;3; to be loved by more customers &
Benchmar! by more businesses/
Mi''in*To provides #rror %ree & cost e7ective service delivery
with 1nnovative products & Services to the customers/
4a1ue'# e will always put our customers -rst/ e will always
trust and respect each other/ e will respect our associates as we
respect each other/ e will wor! together through a process o%
continuous improvement/
COMPAN9 O4ER4IEA
Globally0 Bharti "irtel is the Frd largest in*country mobile
operator by subscriber base0 behind China (obile and China
Inicom/
1n 1ndia "irtel is Co/ 3 by subscriber base and revenue/
Bharti "irtel %ormerly !nown as Bharti Tele*ventures Limited
5BT&L6 is a J& between Singtel and Bharti Telecom/
1ndia2s +irst Telecom Company that provides telecom
services in all the circles/
The company also has a submarine cable landing station at
Chennai0 which connects the submarine cable connecting
Chennai and Singapore/
S,BSIDIAR9 COMPANIES
Bharti He$acom
Bharti Comtel
Bharti "Euanet
Bharti Broadband
Bharti 1n%ratel
Bharti Telemedia
Bharti "irtel 5I@0 IS"0 Canada0 Hong!ong0 IS"0 Lan!a6
,RG"C1S"T1,C STRICTIR#
CMDB' C5un!erD PrE1eF#
Suni1 B/arti Mitta1
He started his career at a young age o% 3< a%ter graduating
%rom 'un.ab Iniversity in 1ndia and then he %ounded Bharti/
Chairman & (anaging 4irector
since ,ctober :;;3
"geB 98 years
Today0 at 980 he heads a success%ul enterprise0 amongst the
top ) in 1ndia0 with a mar!et capitaliNation o% over ISO 9;
billion and employing over F;0;;; people/
He is an alumnus o% Harvard Business School0 IS"/
He has been con%erred one o% the highest civilian award P
'adma Bhushan/
He has been con%erred the degree o% 4octor o% Science by
the G B 'ant Iniversity o% "griculture & Technology/
5IG,RES 2 5ACTS
Total ireless subscribers in 1ndia 1n June ;8 & July ;8 are
)*-G33HG$$) &
)G *6G)HHG336 respectively/
Total ire line subscribers in 1ndia 1n June ;8 & July ;8 are
-G$-HG$$- & -G$3)G$-- respectively/
STRATEGIC B,SINESS ,NIT O5 AIRTEL
MARIET SHARE
S,BSCRIBER GROATH
PREPAID 2 POSTPAID ,SERS
COMPETITORS
Cational Long 4istance
BSCL0 R#L1"CC#0 &SCL0 &,4"'H,C#0 T"T"0 14#"
1nternational Long 4istance
&SCL0 R#L1"CC# 0 BSCL
B,SINESS PARTNERS
Out'urcin+ Dea1' 4en!r'JPartner' 5eature'JA!vanta
+e'
Cetwor! outsourcing
& maintenance
#ricssion
Co!ia siemens
networ!
#ase in networ!
planning
'ayments Lin!ed to
*Isage & Cetwor!
Euality
* Service level
agreement
1n%ormational
technology
1B( 'ricing & payment
as a A o% Revenue
'assive
in%rastructure
Bharti 1n%ratel
1ndus Towers
Reduced cape$
spend
1ncrease %ocus on
sharing passive
1n%rastructure
Call center
outsourcing
1B( 4a!sh
(phasis
#nhanced &
Consistent customer
e$perience
Hindu.a T(T
"egis B',
Cortel
Common plat%orm
across the group
Partner' R1e
Service Partner'J4en!r' R1e
(obile services #ricission & Co!ia
1B( 4a!sh
(phasis
Hindu.a T(T
Tele tech
Cetwor! #Euipments
partners
Call center
operations
Telemedia &
#nterprise services
Siemens
Cortel
#Euipments
suppliers
1T reEuirements 1B(
Cortel
Group wide
technology
reEuirements
Call center
technology
reEuirements
,TH#R "LL1"CC#
1n :;;?0 Bharti "irtel has entered into %ollowing ma.or agreements
and alliancesB
ith (icroso%t t o7er so%tware and services %or the Small
and (edium Business 5S(B6 mar!et in 1ndia/
"s part o% the agreement0 "irtel will bring Google search to
the "irtel Live mobile "' portal/ Google will also
incorporate advertising through its (obile "ds product on
the "irtel Live mobile portalQ
" three*year contract with N.ia at an estimated value
o% ISO 9;; mn to e$pand its managed GS(R G'RSR#4G#
networ!s in eight "irtel circles and deploy a pan 1ndia "'
solution across its networ!sQ
The company has a strategic alliance with SingTel/ The
investment made by SingTel is one o% the largest
investments made in the world outside Singapore0 in the
company/
MARIETING MI8
PROD,CTS
"irtel Connections 'ostpaid
"irtel Connections 'repaid
"irtel 4ata Cards
"irtel Blac!berry phones
* On 19 October 2004 Airtel announced the launch of a
Blackberry Wireless Solution in India. he launch is a result of a
tie!u" bet#een Bharti ele! $entures %i&ited and 'esearch In
(otion )'I(*.
"irtel 1 'hones
* As of 22 Au+ust 200,- the A""le i.hone /0 is a1ailable in
India on Airtel and $odafone.
"irtel 4igital T&
* On 9 October 200,- Airtel 2oined the 34 band#a+on in India
#ith Airtel 3i+ital $- a 3irect!to!4o&e ele1ision ser1ice
S,BSCRIBER BASE
The "irtel subscriber base according to TR"1 * Telecom
Regulatory "uthority o% 1ndia as o% +ebruary :;;8 wasB
4elhi * 90=?303??
(umbai * :0?8308=F
(adhya 'radesh * ?0=8;0=;8
Gu.arat * F08<30==;
"ndhra 'radesh * <0<8:0F)F
@arnata!a * 80<:;0<3:
Tamil Cadu * =0;;F0;9;
PRICE
Customer based pricing strategies/
+le$ible pricing mechanism
Controlled by TR"1/
PLACE
1t has wide and e$tensive presence even in the remotest
areas
"irtel Customer Care Touch 'oints
4istributors li!e
#/g/ 'aan shops0 grocery stores0 chemists0 outlet etc/
PROMOTION
Large scale print and video advertising/
Big celebrities li!e SR@ and Sachin are roped in to endorse
the product because it /
1n :;;: "irtel got its Signature tune %rom "/R/ Rehman0 this
signature tune is the most downloaded tune in 1ndia/
'rovides innovations such as Bollywood movie premiers0
music services such as ring bac! tones & many more/
PH9SICAL EN4IRONMENT
INNO4ATION
4AL,E CHAIN PROCESS
Te1ecm ;rce'' Detai1
Cu'tmer Im;rtance* +irst they -nd the customer
reEuirements/
Tec/n1+y* Latest change in telecom technology/
Cm;etitive ;'itin* Conduct S,T "nalysis o%
competitors
Ca;a%1e Su;;1ier'* Suppliers capable o% component design
Start* 4ecide which service we are going to provide using
which technology0 who is our customers0 &endors & partners/
CORPORATE C,STOMERS
Hathway P 1nternet gateway/ Cational Long distance services/
#+4 Corporation *
Raymond
Ba.a. "llianN
(phasis
ipro
1B( 4a!sh
Large Stoc! Bro!ing Company
5INANCIAL ANAL9SIS
ireless Customer mar!et share leadership at :9/? A/
Total minutes on networ! carried in SF P 39F billion/
Total employee strength P :)0))F/
Balance sheet strength B
"ssets * O 3: billion
Cet 4ebt * O =?? million
Cet 4ebt to #B1T4" P ;/:3 times
Economies of scale and efcient working capital
management helped boost proft margin
Companys policy of retaining entire profts helps in
keeping the D/E low despite surging loan book
Better controls helped check bad debt losses
Economies of scale help reduce the percentage cost of
advertisement ependiture
"1RT#L R#&#CI# T#L#C,( S#CT,R :;;?*;<
("R@#T1CG "C"LDS1S
TARGET C,STOMERS
Ip mar!et pro%essionals
#ntrepreneur with business plans
Low income mass category
Douth
omen and senior citiNens by post paid connection
PORTER GENERIC STRATEG9
NARROA
MARIET
#/g/B &#RG1C (,B1L#
BROAD MARIET #/g/B &,4"+,C# #/g/B "1RT#L
,NIK,ENESS
COMPETENC9
LOA COST
COMPETENC9
BCG Matrix 0 B/arti AIRTEL
MARIET GROATH
HIGH
STAR* 4TH & 1'T&0
BR,"4B"C4
L* R#T"1L
1CSIR"CC#
MARIET GROATH
LOA
COA* (,B1L#
S#R&1C#S
DOGS* +1H#4 L1C#
S#R&1C#S
MARIET SHARE
HIGH
MARIET SHARE
LOA
)*+,RC# (,4#L
Bi%1i+ra;/y
www/trai/gov/in
www/airtel/in
www/wi!ipedia/comRairtelR
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