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RESEARCH REPORT
On
A STUDY OF MARKET COMPETITIVENESS OF IDEA IN
MEERUT CITY
SUBMITTED TO:
MR.VIKAS GUPTA
MR.
SUBMITTED BY:
Tanya Gupta
BBA 3RD YEAR
ROLL NO. 09392515
(2008-2011)
Venkateshwara Institute Of
Technology
2
DECLARATION
DECLARATION
I, Deepak Kumar VIT MEERUT, Project Trainee, hereby declare that the
following project report titled: Market competiveness of idea in Meerut City
(with special reference to Retailers and End Users) is an authentic work done
by me.
The information and data given in this report are true and to the best of my
knowledge. I also acknowledge that I took the help of both primary and
secondary data collection through various available resources.
Deepak Kumar
VIT, Meerut
Project Trainee idea cellular ltd.
PREFACE
PREFACE
Financial success of any company often depends upon its marketing ability.
Finance, operation, accounting and the other business functions will not really
matter if there is not sufficient demand of the products and services so the
company can make profit. Good marketing is no accident but a result of
careful planning and execution. The marketing environment is changing at an
accelerating rate, so the need for real time marketing information is greater
than at any time in the past.
Jack Welch (GEs brilliant former CEO) repeatedly warned his companyChange or die
But making the right decisions is not always easy. The companies at greatest
risk are those that fail to carefully monitoring their customers and competitors
to continuously improve their value offerings, thus marketing information plays
a vital role in designing the marketing strategy of the companies.
ACKONOWLEDGEME
NT
ACKNOWLEDGEMENT
If we look back and see, how we got here, what we think, and so on ` we
discover a debt to others. The work of some supportive people makes our
lives easier everyday. We believe it's not only appropriate to acknowledge all
of these supportive persons; but it is also necessary to acknowledge to those
people we know who have directly shaped our life and our work.
This page is specifically printed to note mine appreciation of those
people who stand out most notably in my mind as contributing to the content
of what you will find in this Dissertation Report.
I would like to express my gratitude to all those who gave me
Possibility to complete my project. I would like to thankful to the entire
marketing team of Idea, Meerut for their support. Further I am also thanks all
the users of telecom who as respondent supported me through their useful
views toward the collection of the primary data
I am deeply indebted to Assistant. Professor (Dept. of Business
Administration VIT, Meerut ) and specially my profound gratitude to my guide
and mentor Mr. Vikas gupta
DEEPAK KUMAR
BBA 3rd year
EXECUTIVE
SUMMARY
OBJECTIVE
OF
THE STUDY
To conduct a survey and obtain the users view to identify the various
factors which are affecting the users satisfaction in terms of various
products and services provided by the present telecom players.
RESEARCH
METHODOLOG
Y
RESEARCH METHOLOGY
Data source:
Both primary and secondary data have been used in this Research whose
sources can be expressed in following mannerPrimary Source:
Data collected for this study are through Non Disguised Structured
Questionnaire
Secondary Data:
In this research the secondary data has collected from website, magazines
and books:
Websites
http://www.adityabirla.com
http://www.scribed.com
Magazines
Business World
4 Ps
News Papers
Business Standard
Sample Design:
Simple Random Sampling has been done
Universe:
In this research universe is Meerut.
Sample Size:
Sample Size in this Research is 50 users of Meerut.
Sample Unit :
It is any user of telecom at Meerut.
INTRODUCTIO
N
OF
COMPANY
2
INTRODUCTION
idea Cellular Limited was incorporated in 1995. The company is among the
top four mobile telephony players in India with an 11 per cent all-India
subscribers market share. More importantly, it ranks third in terms of wireless
revenue market share at 12.7 per cent. Idea ranks second with 20.8 per cent
revenue market share in nine service areas where it holds 900MHz spectrum
and which derive 48 per cent of industry's gross revenues (based on gross
revenues for UAS and mobile licenses only, for December 2009 quarter, as
released by TRAI).
The market positioning of Idea reflects the strength of its brand considering
the fact that Idea added 14 out of its total 22 service areas in the past four
years. Today it is a pan-India player with commercial operations in all 22
service areas. Its subscriber base has grown multifold from 7.37 million in
March 2006 to 63.82 million in March 2010.
Idea holds 16 per cent stake in Indus Towers, a joint venture with other
telecom majors Bharti Airtel and Vodafone. Indus Towers is the world's largest
tower company with over one lakh towers. In 2007, Idea was listed on the
National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE).
Idea enjoys a market leadership position in many of its operational areas. It
offers GPRS on all its operating networks for all categories of subscribers,
and was the first company in India to commercially launch the next generation
EDGE technology in Delhi in 2003. As a pioneer in technology deployment, it
has been at the forefront through the adoption of bio fuels to power its base
stations, and by employing satellite connectivity to reach inaccessible rural
areas in Madhya Pradesh.
Idea has been a leader in the introduction of value-added services, and
there are many firsts to its credit, including a voice portal 'Say Idea', Idea TV,
voice chat and instant messenger. Tariff plans have been customer-friendly,
catering to the unique needs of different customer segments, for instance the
'Women's Card' caters to the special needs of women on the move, and
'Youth Card' covers the emerging youth segment.
Idea has won numerous awards and is the only Indian GSM operator to win
the prestigious GSM Association Award consecutively in the best mobile
technology category for the Best Billing and Customer Care Solution both in
2006 and in 2007, even in the face of international competition.
OBJECTIVE OF COMPANY
Mr. Birla also has been named the World Economic Forum's
"Young Global Leader", "The Ernst & Young Entrepreneur of the
Year, The Economic Times"Business Leader of the Year",
Business India's "Businessman of the Year", Business Today's
"Young Super Performer in the CEO Category", NITIE's
"Business Visionary", and the Bombay Management Association's
"The Management Man of the Year".
To "salute his entrepreneurial excellence and exemplary
contribution to Indian business", AIMA conferred its "Honorary
Fellowship" on him, and the National HRD Network named him
"The Outstanding Businessman of the Year".
SWOT
ANALYSIS
SWOT ANALYSIS
The Idea Cellular Ltd. - SWOT Analysis company profile is the essential
source for top-level company data and information. Idea Cellular Ltd. -
- Provides all the crucial information on Idea Cellular Ltd. required for
business and competitor intelligence needs
- Contains a study of the major internal and external factors affecting
Reasons to Purchase
IDEA Cellular is part of the Aditya Birla Group, India's first truly multinational
corporation.
IDEA Cellular is a leading GSM mobile service operator with pan India
licenses. With a customer base of over 44 million in 17 service areas,
operations are soon expected to start in Chennai Metro; Kolkata & West
Bengal, North East & Assam, and J&K
A frontrunner in introducing revolutionary tariff plans, IDEA Cellular has the
distinction of offering the most customer friendly and competitive Pre Paid
offerings, for the first time in India, in an increasingly segmented market.
From basic voice & Short Message Service (SMS) services to high-end
value added services such as Mobile TV, Games etc - IDEA is
seen as an
in India. IDEA has partnered with Research in Motion (RIM) to offer Blackberry
services on its network. IDEA 'NetSetter'- Plug & Play, EDGE enabled USB
Data Card offers affordable data connectivity with faster speed and
consistency.
IDEA has received several national and international recognitions for its pathbreaking innovations in mobile telephony products & services. It won the
GSM Association Award for "Best Billing and Customer Care Solution" for 2
consecutive years. It was awarded "Mobile Operator of the Year Award - India"
for 2007 and 2008 at the Annual Asian Mobile News Awards.
VODAFONE
ventures,
associated
undertakings
and
investments.
Bharat Sanchar Nigam Ltd. formed in October, 2000, is World's 7th largest
Telecommunications Company providing comprehensive range of telecom
services in India: Wireline, CDMA mobile, GSM Mobile, Internet, Broadband,
Carrier service, MPLS-VPN, VSAT, VoIP services, IN Services etc. Within a
span of five years it has become one of the largest public sector unit in India.
BSNL has installed Quality Telecom Network in the country and now focusing
on improving it, expanding the network, introducing new telecom services with
ICT applications in villages and wining customer's confidence. Today, it has
about 47.3 million line basic telephone capacity, 4 million WLL capacity,
20.1 Million GSM Capacity, more than 37382 fixed exchanges, 18000
BTS, 287 Satellite Stations, 480196 Rkm of OFC Cable, 63730 Rkm of
Microwave Network connecting 602 Districts, 7330 cities/towns and 5.5
Lakhs villages.
BSNL cellular service, CellOne, has more than 17.8 million cellular customers,
garnering 24 percent of all mobile users as its subscribers. Scaling new
heights of success, the present turnover of BSNL is more than Rs.351,820
million (US $ 8 billion) with net profit to the tune of Rs.99,390 million (US
$ 2.26 billion) for last financial year.
RELIANCE COMMUNICATION
TATA INDICOM
consumers.
The Tata Global Network includes one of the most advanced and largest
submarine cable networks, a Tier-1 IP network, with connectivity to more than
200 countries across 400 PoPs, and nearly 1 million square feet of data
center and colocation space worldwide.
Tata Communications' depth and breadth of reach in emerging markets
includes leadership in Indian enterprise data services, leadership in global
international voice, and strategic investments in operators in South Africa
(Neotel), Sri Lanka (Tata Communications Lanka Limited), Nepal (United
Telecom Limited), and subject to approval by the Chinese government, China
(China Enterprise Communications). Tata Communications Limited is listed on
the Bombay Stock Exchange and the National Stock Exchange of India and
its ADRs are listed on the New York Stock Exchange. (NYSE: TCL).
BHARTI AIRTEL
Established in 1995 by Sunil Mittal as a Public Limited Company, Airtel is the largest
telecom service provider in Indian telecom sector. With market capitalization of over
Rs. 1,360 billion, Airtel has 31% of total market share of GSM service providers.
Providing GSM services in all the 23 circles, Airtel was the first private player in
telecom sector to connect all states of India. Also, Airtel is the first mobile service
provider to introduce the lifetime prepaid services and electronic recharge systems.
After establishing itself in the domestic market, Airtel is now spreading its wings in
US by providing its mobile service under the name 'CALLHOME' to the NRIs.
Having achieved huge success in mobile services- postpaid and prepaid- Airtel has
now entered fixed-line telephony providing broadband services in 92 cities across
India. The company has an optical fiber network of 35,016 km and a customer base
of 35,440,406 GSM mobile and 1,819,083 broadband subscribers. Airtel is listed on
The Stock Exchange, Mumbai (BSE) and The National Stock Exchange of India
Limited (NSE).
AIRCEL
group is a
joint
venture
between
Maxis
Assam, North East, Orissa, Bihar, Jammu & Kashmir, Himachal Pradesh,
West Bengal, Kolkata, Kerala, Andhra Pradesh, Karnataka, Delhi, UP(West),
UP(East), Maharashtra & Goa and Mumbai.
Aircel has won many awards and recognitions. Voice and Data gave Aircel the
highest rating for overall customer satisfaction and network quality in 2006.
Aircel emerged as the top mid-size utility company in Businessworlds List of
Best Mid-Size Companies in 2007. Additionally, Tele.net recognised Aircel as
the
best
regional
operator
in
2008.
With over 20 million happy customers in the country, Aircel the fast
growing telecom company in India has revved up plans to become a fullfledged national operator by end of 2009.
they can be able to make their long-term strategic plan, based on the
consumer buying behavior. The increased attention given to consumer
behavior and research is due to the following facts:
MTNL, BSNL, VSNL are the major Public Players, whereas Idea, Airtel,
Vodafone, Tata, Reliance, BPL are the leading Private players in the country.
Both fixed line and mobile segments serve the basic needs of local calls, long
distance calls and the international calls, with the provision of broadband
services in the fixed line segment and GPRS in the mobile arena. Traditional
telephones have been replaced by the codeless and the wireless instruments.
Mobile phone providers have also come up with GPRS-enabled multimedia
messaging, Internet surfing, and mobile-commerce.
The much-awaited 3G mobile technology is soon going to enter the Indian
telecom market. The GSM, CDMA, WLL service providers are all upgrading
them to provide 3G mobile services.
INTERNET SERVICES
There are Public Players and Private Players providing the Internet Services
such as Broadband, Dial-up, Pre-Paid and Post-Paid Internet, Wi-Fi
technology etc. subscriber base of Internet Services provided by Public
players is showing an upward trend.
Internet/Dialup
The TRAI report records that India had a total of 12.85 million Internet (Dialup)
connections at the end of December 2008. This base accelerated slightly to
achieve a 5.01% growth from 4.97% recorded during September when there
were 12.24 million connections. This does not include broadband subscribers.
Bharat Sanchar Nigam Ltd (BSNL) has 6.38 million Internet connections
against 5.94 million at the end of last quarter. Mahanagar Telephone Nigam
Limited (MTNL) has retained second position with a base of nearly 1.95
million. Idea Cellular Ltd is third with 0.93 million.
The minutes of use per connection per month dropped from 225 in June 2008
to 213.08 minutes in September quarter and crawled back up to 221.97 in
December.
.
DATA ANALYSIS
connection-:
Table No.4
Company Name
Airtel
Vodafone
Reliance
Idea
Tata Indicom
BSNL
Aircel
%
30
20
20
10
6
2
12
Frequency
15
10
10
5
3
1
6
Fig-5
The above diagram represents the most preferred brand by customers on the basis
of users and retailers view point.
Airtel is the most preferred brand among the customer with 30% demand.
%
40
30
30
15
Frequency
20
18
20
8
Fig-6
The above diagram represents the most preferred Feature by customers on the
basis of users and retailers view point.
Coverage is the most preferred feature among the customer with 40% demand.
%
20
70
10
Frequency
10
35
5
Fig-7
%
32
16
12
6
6
28
0
Frequency
16
8
6
3
3
14
0
Fig-8
%
34
18
16
8
8
4
12
Frequency
17
9
8
10
4
2
6
Fig-9
%
16
12
24
20
8
6
14
Frequency
8
6
12
10
4
3
7
Fig-10
%
28
20
16
10
10
4
12
Frequency
14
10
8
5
5
2
6
Fig-11
Airtel is the most preferred brand by the customer with 28% demand
%
32
16
10
16
10
8
8
Frequency
16
8
5
8
5
4
4
Fig-12
Airtel is the most preferred brand by the customer with 32% demand
%
24
20
18
14
8
10
6
Frequency
5
50
50
50
50
50
50
Fig-13
%
18
12
26
18
8
6
12
Frequency
9
6
13
9
4
3
6
Fig-14
Frequency
15
10
09
05
04
06
1
Fig-15
%
30
20
18
10
08
12
2
%
30
20
14
12
8
12
6
Frequency t
15
10
7
6
4
6
3
Fig-16
Airtel is the most preferred company by the customer with 30% deman
%
18
6
16
14
8
30
8
Frequency
9
3
8
7
4
15
4
Fig-17
%
30
20
18
8
10
10
4
Frequency
15
10
9
4
5
5
2
Fig-18
The above diagram represents the best Value Added service provided
by company to the customer, on the basis of users and retailers view
point.
FINDING
FINDINGS
Airtel has the highest demand from customers as per the survey
conducted on the users and retailers.
According the retailers and users views Reliance and Idea is better
than Airtel in terms of providing New Offers.
According the survey of retailers and users views Idea has best
Network connectivity than other brands.
According the retailers and users views Reliance and Idea is better
than Airtel in terms of providing Tariff Plans.
LIMITATION
The competitive activity coupled with the flexibility in offering tariffs have
led to a situation wherein a large number of tariff plans are offered in the
market and coupled with the services rendered by the retailers makes
altogether a complex composition to handle. So it is very important to give
a considerable thought before drafting the market strategy.
CONCLUSIONS
CONCLUSION
Idea is the largest telecom service provider in Indian telecom sector. With
market capitalization of over Rs. 1,360 billion, Idea has 31% of total
market share of GSM service providers. Providing GSM services in all the
23 circles, Idea was the first private player in telecom sector to connect all
states of India. Also, Airtel is the first mobile service provider to introduce
the EDGE services and electronic recharge systems. Having achieved
huge success in mobile services- postpaid and prepaid. Idea has now
entered fixed-line telephony providing broadband services in 92 cities
across India. But at the same time Idea has some weaknesses in terms of
its some services.
At last I would like to say that Idea should maintain and improve its market
share by improving its services and providing customer satisfaction.
SUGGESTIONS
SUGGESTIONS
The company should provide more offers at the time of new connection
because company is lagging behind than other company like Reliance and
Airtel.
Tariff Plans
The company should provide new tariff plans because company is lagging
behind in terms of Tariff plans of Reliance and Airtel.
The company should improve their Internet services and Data card
facility because company is lagging behind BSNL. BSNL has more
demand among the customers in term on Internet facility.
BIBLIOGRAPHY
BIBLIOGRAPHY
www.trai.gov,in/trai/upload/tarifforders/54/torder21mar09.pdf
http://www.ideacellular.com
http://www.airtel.in/
http://www.aircel.com/dreamcarcontest/terms_conditions.asp
http://www.tataindicom.com/
http://www.rcom.co.in/webapp/Communications/rcom/index.jsp
http://www.ideacellular.com/IDEA.portal
http://www.vodafone.in/Pages/index.aspx
http://www.bsnl.co.in/
QUESTIONAIRE
QUESTIONNAIRE
Dear Sir,
We are BBA student and we are doing survey on Market
competitiveness of Idea in city of Meerut. So, we request you to spend your
valuable time in answering the questionnaire.
Personal detail
Name: .
Address...
Contact no
OCCUPATION
SEX a) Male [ ]
b) Female [ ]
Age: a) Below 20 [ ]
b) 20 to 25 [ ]
c) Above 25 [ ]
[]
(ii) Vodafone [ ]
(iv) Idea
[]
(vii) Aircel
[]
(iii) Reliance [ ]
[]
(vi) BSNL
[]
[]
(ii) Scheme
[]
[]
(iv) Roaming [ ]
[]
(ii) Postpaid
[]
(iii) Both
[]
4. Which one of the following company provides best services for Prepaid and
Postpaid?
(i)
(ii)
(iii)
(iv)
(v)
(vi)
(vii)
PREPAID
Airtel
[]
Vodafone
Reliance
Idea
Tata Indicom
BSNL
Aircel
POSTPAID
Airtel
Vodafone
Reliance
Idea
Tata Indicom
BSNL
Aircel
[]
[]
[]
[]
[]
[]
[]
[]
[]
[]
[]
[]
[]
5. Which of the following companies gives the best offers at the time of new
connection ?
(i) Airtel
[]
(ii) Vodafone [ ]
(iv) Idea
[]
(vii) Aircel
[]
(iii) Reliance [ ]
[]
(vi) BSNL
[]
[]
(ii) Vodafone [ ]
(iv) Airtel
[]
(vii) Aircel
[]
(iii) Reliance [ ]
[]
(vi) BSNL
[]
[]
(ii) Vodafone [ ]
(iv) Reliance [ ]
(vii) Aircel
(iii) Idea
[]
[]
(vi) BSNL
[]
[]
8. Which of
[]
(ii) Vodafone [ ]
(iv) Idea
[]
(vii) Aircel
[]
(iii) Reliance [ ]
[]
(vi) BSNL
[]
9. Which one of the following companies provides the best Tariff Plans?
(i) Airtel
[]
(ii) Vodafone [ ]
[]
(v) Idea
(iii) Reliance [ ]
[ ] (vi) BSNL
[]
[]
10. Which one of the following companies provides the best Roaming Facility?
(i) Airtel
[]
(ii) Vodafone [ ]
(iv) Idea
[]
(vii) Aircel
[]
(iii) Reliance [ ]
[]
(vi) BSNL
[]
11. Which one of the following companies provides the best in Communicating
Charges Schemes (new scheme) ?
(i) Idea
[]
(ii) Vodafone [ ]
(iv) Airtel
[]
(iii) Reliance [ ]
[]
(vii) Aircel
[]
[]
(ii) BSNL
[]
(iv) Idea
[]
(iii) Reliance [ ]
[]
(vi) vodafone [ ]
13. Which one of the following companies provides the best Value Added
services?
(i) Airtel
[]
(ii) Vodafone [ ]
(iv) Idea
[]
(iii) Reliance [ ]
[]