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A

RESEARCH PROJECT
ON
MARKETING STRATEGIES OF AIRTEL AND IDEA

(SUBMITTED IN THE PARTIAL FULFILLMENT FOR THE AWARD


OF BACHOLARS OF BUSINESS ADMINISTRATION)

UNDER THE GUIDANCE OF: -

Mr. Neeraj Kumar

SUBMITTED BY:

Malkhan Singh

BBA Faculty

BBA VIth Sem.


Roll No-7217530

Session 2015-2016
Ch. Harchand Singh Group of Colleges
Khurja Bulandshahr (College Code 721)

CONTENTS

o
o

Acknowledgement
Preface
Introduction
Airtel
Idea
Objective of the study
Research Methodology
Analysis and Interpretation
Findings
Limitations of the study
Suggestions and Recommendation
Conclusion
Annexure
Bibliography
Questionnaire

DECLARATION

I Malkhan Singh, B.B.A., 2 nd year of my college Ch. Harchand Singh


Group Of Colleges Khurja Bulandshahr, hereby declare that final
project report entitled Marketing strategy of AIRTEL vs. IDEA is an
original work and the same has not been submitted to any other
institute for award of any other degree.

A seminar presentation of the training report was made on the date


_______________ and suggestions as approved by the faculty were
duly incorporated.

Malkhan Singh

PREFACE
A determination to succeed is the only way to succeed. For
this, it is very important that all knowledge, which we have, should
be translated into action. It is only then that we can achieve
something. Project work is the way to convert our raw talent into
potential management. Classroom knowledge can only then be
efficient when it is effectively wedded to the realities of the
situation existing outside the classroom. In this project work place
an important role. In this regard, I was given a project entitled
MARKETING STRATEGY OF AIRTEL AND IDEA

ACKNOWLEDGEMENT
Success is not brought inherited. It is a product of what we put in. Success
begins with a good feeling about where we are and a positive attitude about
where we want to be. With this willingness, I have started this project.
First of all, I would like to thank to the supreme power, the almighty
god, who has always guided me to work on the right track of my life and has
always blessed me with his blessing by giving me the best. Next to him are
my parents, whom I am greatly indebted for having me brought up with love
and encouragement.
Next comes a person, without whose guidance and encouragement,
this project report would not have been successful. So, I would like to
express my gratitude towards Ms. Puja Mann, HOD, N.C.College of
Engineering, Israna.

Malkhan Singh

EXECUTIVE SUMMARY
First of all we have to know the meaning of research, research
is increasing the knowledge in existing knowledge or we
can say that search for new ideas. So, I am taking out my
research to find out the perception of the consumers
towards different cellular services, I prepared my
questionnaire and record the responses of consumers.

The presented report is an effort to find solution for the present day Problem in
the cellular service providers. Where the Company interested to find out the
solution for the fact that being a AIRTEL the Number one in the cellular service
provider I proposed them to undertake a Strategic Market Research where we
would Read the Market perception of the AIRTEL and IDEA . Starting with the
Retailers perception and then the Companys Perception and finally Customers
perception. We have presented this Research study with respect to three different
Areas with different samples size and completely different set of response
Parameters.

The sampling technique used in all the three spheres of Research is Exploratory.
The data collected under all the three distinct perception point is completely

primary data as I was the prima fascia for theses responses. Primary data are
collected taking the view of consumers towards these cellular services.

And

secondary data also collected from the secondary sources like the customer care
services, business magazines.

As a result of this research I have see the loose pools of the company to modify
their strategy at certain points with respect to all the three perception nodes. In
the Retailers perception segment I have suggested the Company to increase the
number of visits at retailer outlet and boost the retailer with emotional support
and confidence. In Company perception I suggested them to improve the cellular
services and introduce some new schemes to consumers with customer attracting
schemes which should be available at dealers.

INTRODUCTION TO COMPANY

Today the tele communication sector is very important in INDIA. There is very
tough competition between various companies. Now a days telecommunication
companies offering various plans or benefits to customers to outstand the
competition in the market. So, the telecommunication industry, in a way, creates
employment for people. So, I am here to study the marketing strategy of
companies on the consumers.
After the liberalization of the Indian Telecom Sector in 1994, the Indian cellular
market witnessed a surge in cellular services. By 2005, there were a total of 12
players in the market with the five major players being Bharti Tele-Ventures
Limited (Bharti), Bharat Sanchar Nigam Limited (BSNL), Hutchinson-Essar
limited (Hutch), Idea Cellular limited (Idea) and Reliance India Mobile (RIM),
and Tata Indicom.
As competition in the telecom arena intensified, service providers took new
initiatives to woo customers. Prominent among these were - celebrity
endorsements, loyalty rewards, discount coupons, business solutions and talk
time schemes. The most important consumer segments in the cellular industry
were the youth segment and the business class segment. The youth segment was

the largest and fastest growing segment and was therefore targeted most heavily
by cellular service providers.
Bharti Tele-Ventures adopted celebrity endorsement as its chief promotional
strategy. By 2004 it emerged the unprecedented leader commanding the largest
market share in the cellular service market. Hutch implemented the celebrity
endorsement strategy partially, relying primarily on its creative advertising for
the promotion of its brand. BSNL, on the other hand, attracted the consumer
through its low cost schemes. Being a state owned player, BSNL could cover
rural areas, and this helped it increase its subscriber base. Reliance was another
player that cashed on its innovative promotional strategies, which included
celebrity endorsements and attractive talk time schemes. Idea relied heavily on
its creative media advertising sans celebrities.

AIRTEL
Airtel comes to you from Bharti Tele-Ventures Limited - a part of the biggest
private integrated telecom conglomerate, Bharti Enterprises. A consortium of
giants in the telecommunication business. In it's six years of pursuit of greater
customer satisfaction, Airtel has redefined the business through marketing
innovations, continuous technological up gradation of the network, introduction
of new generation value added services and the highest standard of customer
care.
Bharti is the leading cellular service provider, with an all India footprint
covering all 23 telecom circles of the country. It has over 12 million satisfied
customers.
Cellular telephony was introduced in India during the early 1990s. At that time,
there were only two major private players, Bharti (Airtel) and Essar (Essar) and
both these companies offered only post-paid services. Initially, the cellular
services market registered limited growth.
Moreover, these services were mostly restricted to the metros. Other factors such
as lack of awareness among people lack of infrastructural facilities, low standard
of living, and government regulations were also responsible for the slow growth

10

of cellular phone services in India. Although the cellular services market in India
grew during the late 1990s (as the number of players increased and tariffs and
handset prices came down significantly) the growth was rather marginal. This
was because the cellular service providers offered only post-paid cellular
services, which were still perceived to be very costly as compared to landline
communications.
Following this realization, the major cellular service providers in India, launched
pre-paid cellular services in the late 1990s. The main purpose of these services
was to target customers from all sections of society (unlike post-paid services,
which were targeted only at the premium segment). Bharti Tele-Ventures is one
of India's leading private sector providers of telecommunications services based
on an aggregate of 15,844, 382 customers as of October 31, 2005, consisting
of 14, 740, 366 GSM mobile and 1, 104, 016 broadband & telephone customers
The businesses at Bharti Tele-Ventures have been structured into two main
strategic business groups - the Mobility Leaders business group and the Infotel
Leaders business group. The Mobility business group provides GSM mobile
services across India in twenty-three telecom circles, while the Infotel business
group provides broadband & telephone services, long distance services and
enterprise services. All these services are provided under the Airtel brand.
Bharti Enterprises has been at the forefront of technology and has revolutionized
telecommunications with its world class products and services. Established in

11

1976, Bharti has been a pioneering force in the telecom sector with many firsts
and innovations to its credit.
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. Bharti Tele-Ventures through its
subsidiary Bharti Telenet Limited (BTNL) holds the right to establish, maintain
and operate a fixed-line telephone network in Haryana through a license valid for
20 years from October 8, 2001.
BTNL provides fixed-line services to approximately 114,400 customers as of
March 31, 2005 under the brand Airtel. BSNL also operates a fixed-line
telephone service within the same geographical area.
Bharti is the leading cellular service provider, with a footprint in 16 states
covering all four metros. It has over 12 million satisfied customers
Bharti Enterprises has successfully focused its strategy on telecom while
straddling diverse fields of business. From the creation of 'Airtel', one of India's
finest brands, to becoming the largest manufacturer and exporter of world class
telecom terminals under its 'Beetel' brand, Bharti has created a significant
position for itself in the global telecommunications sector. Bharti Tele-Ventures

12

is today acknowledged as one of India's finest companies, and its flagship brand
'Airtel', has over 12 million customers across the length and breadth of India.
While a joint venture with TeleTech Inc., USA marked Bhartis successful foray
into the Customer Management Services business, Bharti Enterprises dynamic
diversification has continued with the company venturing into telecom software
development. Recently, Bharti has successfully launched an international venture
with EL Rothschild Group owned ELRO Holdings India Ltd., to export fresh
Agri products exclusively to markets in Europe and USA Bharti Tele-Ventures
vision for its mobile business is To make mobile communications a way of life
and be the customers first choice.
The mission is to meet the mobile communication needs of the customer through
1) error free service 2) Innovative products and services and 3) cost efficiency.
The Companys strategic objective is to consolidate its leadership position
amongst the mobile service providers in India.
The Indian mobile market, according to the COAI, has increased from
approximately 1.2 million subscribers as of March 31, 1999 to approximately
41.03 million subscribers as of March 31, 2005.
Despite this rapid growth, the mobile penetration rate in India, at approximately
3.9% as of March 31, 2005, is significantly lower than the average mobile
penetration rate in other Asian and international markets.

13

The number of mobile subscribers in India is expected to show rapid growth over
the next four years. By 2006 it is projected at 50 million by COAI and 44 million
by Gartner.

14

Source:
(1) Population estimates are as per National Census, 2001 and are as of March 1,
2001. The population for Uttar Pradesh (West) circle is approximately 37% of the
total population

(2) Wireless subscriber statistics are as of March 31, 2005 and are based on data released
by COAI. Wireless market size comprises the total number of wireless subscribers of all

(3) Demographics of Maharashtra and Tamil Nadu do not include demographics of state
capitals

(metros)

Mumbai

and

Chennai

respectively.

(4) Demographics of Haryana does not include Faridabad & Gurgaon as they are
included in Delhi & NCR. Similarly demographics of Uttar Pradesh (West) &
Uttaranchal does not include Noida & Ghaziabad as they are included in Delhi
NCR.
The significant growth in the Company's mobile business has been through a
combination of organic growth and acquisitions of additional licenses and has
been summarized below. The information given below is for the total market and
is not representative of our market share or network coverage
15

.
As of Mar 31,
As of March 31,
1999(1) 2000(2) 2001(3)
Number of Mobile licenses held by us
Total mobile subscribers in India (in millions)

1.12

1.88

3.58

0.21

0.57

1.28

18%

30%

36%

2006
2005(4)
23
41.03

Market mobile subscribers in our license areas(5) (in


millions)
Percentage of market mobile subscribers to total
mobile subscribers in India

41.03
100%

1)

Comprise the circles of Delhi and Himachal Pradesh.

2)

Comprise the circles of Delhi, Himachal Pradesh, Karnataka and Andhra


Pradesh.

3)

Comprise the circles of Delhi, Himachal Pradesh, Karnataka, Andhra


Pradesh and Chennai.

4)

Comprise the twenty-one operational circles of Bharti Tele-Ventures.

5)

Based on data released by the COAI on the total number of persons


subscribing to mobile services in our licensed area

16

MOBILE STRATEGY

Capture maximum telecommunications revenue potential with minimum


geographical

coverage

to

maximize

its

revenues

and

margins.

Build high quality mobile networks by deploying state-of-the-art


technology to offer superior services

17

Airtel values

Inn

venturing

We will generate and implement entrepreneurial and innovative ideas, which will
continuously create new growth engines.

Customer

First

We are committed to delivering service beyond the expectations of the customer. Our
quality of customer responsiveness clearly differentiates us from others.

Performance

Culture

We benchmark our processes and performance against world-class standards. We


distinguish between performers and non-performers by valuing achievement at the
individual as well as the team level. Ours is a culture of inclusively where feedback,
learning and ideas are actively encouraged, sought and acted upon.

Valuing

Partnership

We are committed to building exemplary relationship with our partners, which stand on
the principles of mutual trust and mutual growth.

18

Valuing

People

We nurture an environment where people are respected and their uniqueness is valued.
We believe that people are our key differentiators.

Responsible

Corporate

Citizenship

We are committed to making a positive and proactive contribution to the community. As


a responsible corporate citizen we will contribute to and abide by environmental and
legal norms.

Ethical

Practices

We will uphold the highest ethical standards in all internal and external relationship. We
will not allow misuse or misrepresentation of any kind.

19

Board of Directors

The Board of Directors of the Company has an optimum mix of Executive and
Non-Executive Directors, which consists of three Executive and eleven NonExecutive Directors.
The Chairman and Managing Director, Mr. Sunil Bharti Mittal, is an Executive
Director and the number of Independent Directors on the Board is more than 50%
of the total Board strength. The independence of a Director is determined on the
basis that such director does not have any material pecuniary relationship with
the Company, its promoters or its management, which may affect the
independence of the judgment of a Director.
The Board members possess requisite skills, experience and expertise required to
take decisions, which are in the best interest of the Company.

20

Awards

The Asia Pacific Award for the Most Innovative HR practices-2000.

The Golden Peacock National Training Award for excellence in Training


practices-2000.

The Golden Peacock National Quality Award-2001.

BCL is first mobile communication service provider in India to be


certified for ISO 9001:2000 and 1st in world certified by British Standards
Institution for Mobile Communication.

Born a leader, the first cellular service, AirTel has maintained leadership

21

IDEA CELLULAR

Idea Cellular the three-way joint venture between Tata, Birla and US-based
AT&T was called Birla Tata AT&T before being renamed in May 2002. It was
set up in January 2001 following the merger of Tata Cellular and Birla AT&T
Communications and is India's leading cellular services provider.
With Idea's acquisition of Escotel in early 2004, its footprint now covers around
60 per cent of Indias population and over 65 per cent of the telecom market. It
has presence in seven states: Maharashtra (excluding Mumbai), Goa, Gujarat,
Andhra Pradesh, Madhya Pradesh, Chattisgarh, Uttar Pradesh (W), Haryana,
Kerala and Delhi (inclusive of NCR). Having operations in four of the five
largest cellular circles in India, Idea is the market leader in the Maharashtra and
Goa, Kerala, UP (W), Madhya Pradesh and Chattisgarh circles in terms of
number of subscribers. Each circle has its own dedicated call centre with a
single

call

resolution

approach

towards

the

customer.

Idea covers over 3,660 small and major towns and villages along with a total
highway connectivity of over 6,000 km. There are over 380 'Idea n' U' outlets
and Idea shops and a network of over 44,000 retailers and deacons.
Thanks to the frontline technology from Nokia, Ericsson, Alcatel and
Schlumberger Sema among others at its command, the company can offer its
customers extensive coverage, quality service and minimal congestion levels.
The company is the fastest growing GSM operator in its area of operation. The
growth rate in the last six months has been 85 per cent as against 84 per cent of
22

all operators in the same area of operation. The company is now cash positive,
and

is

expected

be

profit

positive

in

the

financial

year

2004-05.

Idea Cellular offers a wide range of cellular services and products. Its post-paid
and pre-paid services are supported by a variety of package plans to suit.
It was the first company in the country to launch GPRS in November 2002. It
showcased EDGE (Enhanced Data Rates for GSM Evolution) in Delhi, in July
2004. With EDGE, subscribers can enjoy live television with a data download
rate of over 160 kbps. Idea subscribers will also have a richer experience while
watching movie previews, multimedia messages with video attachments, webinfotainment, high-speed video downloads, java game downloads and other
Internet-based multi-media experiences on their EDGE enabled mobile phones.
It pioneered the concept of 'Cellular Jockey' and offers 'Music Messaging' to all
its subscribers. It also launched 'Global SMS', which allows the users to send and
receive SMS from over 540 networks and 170 countries across the technology
platforms like GSM, CDMA, TDMA and satellite phones. The company
introduced 'Mobile Top-Up' (a flexible anytime anywhere recharge service for
pre-paid customers) and 'Say IDEA' feature that allows the users to access value
added

services

by

speaking

into

their

mobiles.

It also offers SMS in nine vernacular languages Hindi, Gujarati, Marathi,


Bengali, Telugu, Tamil, Malayalam, Kannada and Punjabi, in addition to English
to its subscribers.

23

Idea Cellular's antecedents date back to 1995, when the Aditya Birla Group and
AT&T (through Birla AT&T Communications Maharashtra & Gujarat circle)
and the Tata Group (through Tata Cellular - Andhra Pradesh circle) set up cellular
networks. Both the above company were amongst the first company to
commercially start operation in circles other than metros and achieve financial
closurein Indian Telecom industry

In the year 2000, the historic path-breaking merger of Tata Cellular with Birla
AT&T Communications and the subsequent acquisition of RPG Cellular (Madhya Pradesh circle) in the year 2001 - helped take the company to aim even
further and led to the formation of Birla Tata AT&T Limited.In year 2001,
company won fourth cellular license for Delhi metro circle and in year 2002
company introduced common brand "!dea" and changed the name to IDEA
CellularLimited.
Since then, there has been no looking back for IDEA Cellular. The company
launch Delhi operations in year 2002 and added a record 100,000 subscriber
within one month.

In 2003, the company achieved the largest financial closure in Indian Telecom
for all its circle. In 2004, the company entered into definitive agreement to
acquire Escotel Mobile Communications (existing operator in Haryana, Kerala
and UP(W)) and Escorts Telecommunications (cellular licensee holder
forUP(E)Himachal Pradesh

24

Awards

Idea Cellular M-coupon service bagged the prestigious Golden Peacock award
for the most innovative product / service in February 2003. The Golden Peacock
awards, established by the Institute of Directors, is given to companies
demonstrating sustainable excellence and innovation in the manufacturing and
service sectors, leading to improved performance.

In March 2003, Idea (Madhya Pradesh and Chhattisgarh) was declared the
No 1 cellular service in India by the Telecom Regulatory Authority of India
(TRAI) for the second consecutive time.

Chosen as the winner of the award, Indira Award for Marketing


Excellence for being the highest recalled brand in the year 2003

Ranked second in overall user satisfaction by the Voice & Data IDC
Mobile Users Satisfaction Survey, October 2003, which was based on
parameters like network availability and performance, customer care, value
added services, pre-sales and sales effort, and billing.

25

CORE BELIEFS OF IDEA

The company continuously harnesses the power of wireless revolution to provide


world-class products and services. It aims at responding to customer needs
proactively by anticipating requirements and providing ready solutions.
Idea Cellular draws inspiration from the loyalty of its subscribers to keepraising
the bar, to shape the future, and to change and enrich the life of each and every
member of its ever-grow

family.

The company is the fastest growing GSM operator in its area of operation. The
growth rate in the last six months has been 85 per cent as against 84 per cent of
all operators in the same area of operation. The company is now cash positive,
and

is

expected

be

profit

positive

in

the

financial

year

2004-05.

Idea Cellular offers a wide range of cellular services and products. Its post-paid
and pre-paid services are supported by a variety of package plans to suit.

26

INTRODUCTION TO THE STUDY UNDERTAKEN

STARTEGY OF AIRTEL
'Magic Hai To Mumkin Hai'
In 2002, the leading Indian telecommunications company, Bharti Cellular
Limited (Bharti) signed the famous cricket player Saurav Ganguly and leading
movie stars, Madhavan and Kareena Kapoor as endorsers for its brand, Airtel
Magic (pre-paid cellular card). Its objective was to create the highest recall for
Magic in the pre-paid cellular telephony segment by cashing in on the two
biggest passions of India - movies and cricket. Bharti also changed the tagline
for Magic from 'You Can Do Magic' to 'Magic Hai To Mumkin Hai' (If there is
Magic, it's possible). The move attracted considerable media attention, as it was
unusual for a company to spend so lavishly to promote a single brand.
In October 2002, Bharti launched a television commercial (TVC), featuring Shah
Rukh Khan (leading actor, already endorsing Magic since a couple of years) and
Kareena Kapoor. The TVC, developed by one of India's leading advertising
agencies, Percept Advertising, was the first of the series of four TVCs for
Magic's new campaign. According to Bharti, the TVCs aimed at attracting young
adults in SEC B and C categories of the Indian market . Commenting on the new
developments, Hemant Sachdev (Hemant), Director, Marketing and Corporate
Communications, Bharti Enterprises, said, "The aim is to be relevant to the
masses and make all their dreams, hopes and desires come true instantly, at Rs
300 per month."
27

PROMOTIONAL STRATEGYIndian Idol Auditions on Airtel : Close on the heels of exclusive access to
Kaun Banega Crorepati 2's "fastest finger first", Airtel has added another feather
to its cap, by introducing mobile auditions for the eagerly-awaited Indian Idol 2
to be aired on Sony Television.

Airtel Customers Get Asia Roaming :Airtel a member of Asia's largest


mobile alliance - Bridge Mobile, has announced the launch of a suite of mobile
services that will enable Airtel's customers to access a range of services when
roaming overseas on the alliance member's network.

Airtel Reduces Roaming Tariff :Airtel has announced a reduction in its


roaming rates as a part of its celebration for covering 23 circles across India .

Airtel Gets Student-friendly :Airtel is customizing its mobile services


packages according to what it feels customers want the most.

28

ENDORSEMENT STRATEGYRAHMAN TUNE CROSSES AIRTELS EXCLUSIVITY BARRIER :Cellular service


provider AirTel seems to have hit the right note with its new commercial starring
musician A R Rahman. The commercial which is currently on air has a beat
which also doubles up as a ringtone which is ostensibly available only to AirTel
users. But the interesting part is that the ringtone is being flaunted not just by
AirTel customers but by customers of rival service providers like BPL, Orange
and Dolphin as well!
The ringtone which is also the jingle for AirTels TV commercial, is proving to
be a potent advertising tool for the company. It is not very clear what this means
for the other cellular operators. Cellular users have been forwarding the tune to
one another, which according to Mr Pota, has given AirTel a chance to enter the
mind of the user irrespective of which service he opts for.
Competition will not do well to adopt a knee jerk reaction and will have to
come out with advertising that is well thought out explains Mr Kapoor. He
anticipates a situation where the new entrant (AirTel) will continue to be more
aggressive.

29

TENDULKAR. & SHAHRUKH :Both Tendulkar and King Khan already share the
frame for soft drinks major PepsiCo India. Tendulkar is not the first cricketer to endorse
Bhartis Airtel brand. Indian captain Saurav Ganguly had done so when Airtel launched
its

service

in

the

eastern

metropolis

of

Kolkata2001.

Though company executives were mum on the value of the Tendulkar deal, those in the
advertising fraternity peg the signing rate for the three-year deal anywhere between Rs
8 crore and Rs 10 crore. Both Sachin and Shah Rukh are two of the most sought after
celeb endorsers in the country, with the former edging out the latter in the celeb
endorsement race. The Master Blasters portfolio includes brands like Colgate
Pamolive, ESPN-STAR Sports, Pepsi, MRF, Boost, TVS, Palio, Visa, Adiddas and
Britannia. The leading brands endorsed by Khan include Hyundai, Pepsi, Airtel, Tag
Huer, Clinic All Clear, Bagpiper and Videocon, amongothers. According to company
executives, the idea of roping in Tendulkar is in line with the groups strategy to
connect to the mass market through celeb endorsers from movies, cricket and music.
For mass connect, Shah Rukh and Sachin are the best bet as brand endorsers, says a
senior company executive. Bharti plans to launch a multimedia campaign targetting its
service

30

SCHEMES

SMS packages- airtel provides sms package in which company deducts 30 rs rent and
other charges and offer 2000 sms free in a month.

Airtel Promotes Performing Arts


Airtel has announced the launch of "Airtel Expressions", a platform to promote and
celebrate the various forms of expressions through the medium of performing arts in
Delhi.

Airtel Launches BlackBerry 7100g


Airtel and Research In Motion (RIM) have introduced the BlackBerry 7100g business
phone in the country.

DIALER tones- airtel also provides the dialer tones to its customers , now any caller can
hear songs on your mobile phones , the company deducts 30 rs rent per month and call
charges to apply this tone is rs @6/min.

31

INTRODUCTION OF CONSUMER BEHAVIUOR

Consumer behavior is the study of how individuals make decisions to spend their
Available resources time, money , effort on consumption related items it includes
the study of what to buy , where to buy , how to buy, how often they use. there is
a question arises why we study the consumer behavior and perception towards a
brand
Just as consumer or marketer are diverse, the preseason why the consumer study
are also diverse , as consumer are , we benefit from insights into our own
consumption related decision what we buy , where we buy etc
Ian doing my research on consumer behaviors towards the mobile services, I
have to take into mind why consumer choose that service, how regularly he is
using that services
In addition to the studying consumer uses and post purchases evaluation of the
product they buy consumer researchers are also interested in how how individual
dispose of their product are they satisfied with their mobile services or not.
The term consumer behavior is often use to describe two different kinds of
consumer entities the personal consumer and organizational consumer. the
personal consumer includes the single person and the organizational consumer
include the profit and non profit entities. So in cellular services consumer

32

behavior of the people is very necessary , whether they purchase cellular


connection on the basis of services, coverage , brand name or lastly customer
attendance . so iam doing my research between two cellular brands AIRTEL and
IDEA and to know the consumer perception towards this cellular brands.

33

Marketing strategy of idea

1)

jodi kamal ki- idea cellular launches a programme on star plus JODI KAMAL KI.
In which they advertise their products through this serial. Which comes at 9 p.m on every
Saturday.

2)

Charity match sponsored by idea played between Bollywood and England at


Mumbaiin which bollywood wins the match and amount goes to people suffering from
cancer.

3)Free outgoing calls for every 2 minutes allover India, conditions apply on that.

3)

Chemist schemes- available to all chemist available in haryana- in which the


subscriber has to pay rent rs 100 pSper month the call charges will be rs 50 paise to all
mobile and free sms 50 in month.

34

4)

SUMO WRESTLER USED- the company uses sumo in their ad, which says
prepaid ho to idea jaisa. Which means talk more pay less.

5)

ONE INDIA ONE IDEA- in which you can call,sms,std at the rate of rs 1.but the
company deduct 1.25paise per day.

6)

SMS package- in this the customer has to deduct rs 15 and company gives 1000
sms free for a month to customers.

7)

value-added services such as vernacular SMS (in 9 languages), games on the


mobile, a large covered area for pre-paid roaming,

8)

Sending a Mail to any e-mail ID is so much easier. Just follow the simple steps and
send a mail to friend or a colleauge anywhere in the world from wherever you are.

9)

You can read, compose, delete and reply to your Yahoo! e-mails

35

10)

RING TONE SERVICES- idea provides ring tone service to its customers , the

company deduct rs 30 as a monthly rental. And you can apply any song as your ring
tones.

11)

HARYANA- Idea Cellular Ltd has announced the Idea Girls Best Friend offer, an

opportunity to own a free dazzling real diamond pendant with every new post-paid
connectionon a plan of Rs 150 and above. The offer can also be booked through all Idea
and U showrooms. The existing post-paid customers can also avail themselves of the
offer

12)

Yahoodating

Looking for a bit of romance in your life. Well, with Yahoo dating service you may find
the perfect partner you had always been looking for. To Register type Date Reg ID
Password Age Sex Location & sms at 8243.

13)

YahooMail

Sending a Mail to any e-mail ID is so much easier. Just follow the simple steps and send
a mail to friend or a colleauge anywhere in the world from wherever you are. You can
read, compose, delete and reply to your Yahoo! e-mail.

36

Haryana
Idea Cellular the three way joint venture between Tata, Birla and US-based AT&T
was called Birla Tata AT&T before being renamed in May 2002. It was set up in January
2001 following the merger of Tata Cellular and Birla AT&T Communications and is
India's leading cellular services provider.
BTNL provides fixed-line services to approximately 114,400 customers as of March 31,
2005 under the brand Airtel. BSNL also operates a fixed-line telephone service

within the same geographical area.

37

IDEA_CELLULAR SERVICES

POPULATION1

As on March 01, 2006

18 million

MOBILE - SUBSCRIBER BASE2

As on March 31, 2006

928,38

FIXED LINE DELs3

As on March 31, 2006

983,89

VEHICLES4

As on March 31,1996

1,215,542

38

STATEMENT OF OBJECTIVE

Main objective
The MAIN objective of my project report is to study the marketing,strategy of
AIRTEL and idea Cellular service panipat city and its effect on mobile users
existing and who are going to use mobile service in future. In other words, my
aim is to study the

Sub objective

TO know the customer perception

To know which is the best

To know the brand loyality

39

RESEARCH METHODOLOGY
This reseach presented has an exploratory type reseach plot . where I gathered
responses for those aspects in the market. Which were not so clear .In my
research I stsarted to take responses personally by visiting to the customers and
registered their response. I want to known the customer perception towards the
AIRTEL and IDEA. In my research I take 200 sample size. Whom I personally
registered their responses for each and every aspect related to the customers
perception.

The sample size for Customer was 150 where the Customers responses

have

been collected from all the possible races and areas which were in my reach
while working on this research. The Customer responses registered here have
been collected from different Hangout Zones like restaurants , friends to get the
young responses. For some mature responses, I have approached some officials
so that some professional responses are collected. I have also contacted some
Shop Keepers and . Thus I have gathered the customer responses from all major
sections in n Society who are probably using an cellular service. The importance
of the project lies in the fact that we are interested to find Out the data which is
not so evident in the market because its related to perception of the customers
and this can be only analyzed when we personally meet the customers .

Data is collected from both the Primary sources i.e. questionnaire and also

40

from Secondary sources.

Primary sources: The primary source of data collection is through


questionnaire. The questionnaires are distributed among 200 peoples and their
view is recorded and used in analyzing the data

Secondary sources :The secondary sources includes online sites, newspapers


and templates from AIRTEL and IDEAdistributions centers

SAMPLE SIZE- 200


RESEARCH DESIGN explanatory reserch

41

LIMITATIONS

The responses collected are perception based so the nature variant can be
biasing factor.

I was not able to cover the whole panipat city.

The time for the research was limited.

Money also become the constraint for me .

42

ANALYSIS AND INTERPRETATION


. Which connection you are using at present?

CLIENT USAGE

45%

Airtel
55%

idea

43

CONCLUSION

Ther are total 55% persons which uses AIRTEL.

And 45 % of the persons are using idea due to its good schemes .

So, the conclusion is that majority of people are using airtel services because of
its more benefits than idea.

44

ANALYSIS

. Due to which reason you are availing mobile services?

40

40

35
30

30
25

20

20

No.

15
10

10
5
0

Status

Office
use

Family

Other

45

CONCLUSION

In this graph we conclude that 40% people uses mobile for their status symbol.,
the 30% people uses mobiles for their office jobs, then the remaining 10 % and
20 % people uses mobiles for family or for the other purposes.

So, most of the persons takes mobile in them for their status symbolsand it is
also very useful in jobs , so many people takes mobile to easily contact with their
employers.

And lastly some people retain mobiles for many purposes other than that, it can
be for family , friends etc.

46

ANALYSIS
Do you think that advertising has changed your perception for
brand?

60

55

50
40
30

30

No.

20

15

10
0

Yes

No

Can't say

47

CONCLUSION
We conclude the conclusion from the graph that

55% of the peoples say that their perception changes due to the effect of
advertising.

30 % of the people say their perception about the cellular doesnt changes due
to the advertising effectiveness of the company

15% percent of peop[le cant say about this.

48

ANALYSIS
How many are using Airtel and IDEA in Profession/Service
Details?

49

CONCLUSION

AIRTEL USERS- from the above graph it is concluded that 12% uses for
service8% person uses airtel for the business puposes , 28 % students uses in
colleges and in school leveland lastly 7 % people uses for other purposes

IDEA USERS- 10 % people uses idea cellular in services , business man


uses 20% of services due to many schemes offered by idea remaining 10% are
used by students and 5% are used for others purposes.

ANALYSIS
50

Age Group users ?

Age Group

50
41

40
30

24

23

20
10
0
No.

No.

12

Up to 20 21 to 40 41 to 60
24

41

23

Above
12

51

CONCLUSION

BETWEEN 0-20 AGE GROUP- from the graph we conclude that 24 % of the
people avail services of mobiles.

BETWEEN 21-40 AGE GROUP- in this 41% of the people uses mobile
services
.

BETWEEN 41-60AGE GROUP- in this 23 % of people uses service of


mobile phones in INDIA.

ABOVE that age group only 12 % of people uses services.

ANALYSIS

52

what is the sex composition using the mobile phones?


SEX COMPOSITION

Sex
70

65

60
50
40

35
% No.

30
20
10
0
Male

Female

53

CONCLUSION

65 % of the respondent are of the category male so we can say mobiles are
more popular among the male as youth are more attractive toward the mobiles

35% of the respondent belong to the female class as today girls are also in
the jobs .

the above we can say that what ever the sex is mobile is useful to every of
generation

ANALYSIS
54

Give rank to the following facilities while you are going to avail
the mobile service?

55

Others
Coverage
Others
Students
Business
Service

Roaming
SMS
Talk Time
Availability
0

10

15

56

Conclusion

TALKTIME-7 % of service men give preference to the talk time,9 %


business man uses for talk time and the remaining 6% of students prefer the
talktimes in mobile.

SMS-3% of business man use service of sms,12% of students uses sms and
remaining 4% service man uses that.

Roaming-3% of students and service man give importance to the roaming


facality.and remaining 8% of business man give imp to roaming.

COVERAGE-2% of students and business man takes coverage in teir mind


remaining 5 % of service man takes in his mind of coverage of the cellular
service

57

ANALYSIS
Do you think AIRTEL company is number 1 in INDIA thanI
DEA?

58

CONCLUSION

The conclusion from the above graph is that 72 % of respondent say yes
that air tel is the number one brand in all respect

The remaining 28 % of the people says that the idea cellular is the no 1
brand in India in all respect

From above it concludes that AIRTEL leads way than the IDEA.in all
respect in INDIA.

59

ANALYSIS

Income Group (Monthly Income in Thousand Rs.)

34

None
8

Above 50

20

20 to 50

No.
28

5 to 20
10

Upto 5
0

10

20

30

40

60

idea

Airtel

Consumer response for a better brand between AIRTELand IDEA


14

responses

12
10
8
personal

disappointment

with IDEA , they

prefer

for
reasons.

AIRTEL
following

consumer

some

IDEA

AIRTEL

Brands in comparison

For the remaining responses the reasons are as follows:

61

consu
merrs
respon
ses

REASONS

NUMBER OF RESPONSES

1 AIRTEL is an established brand name


2

SCHEMES

network

product

customer

are

given

coverage
is
care

better
attended

in
is

time

09
04

more.

from

idea

in

time

05
09
03

11) Peoples first choice of cellular service when they want to


use mobile phone
62

AIRTEL 45%
RELIANCE 10%

HUTCH 30%
TATA INDICOM 5%

IDEA 8%
OTHERS 2%

CONCLUSION

63

From the above grapgh we conclude that 45 % of people like to avbil the services of
AIRTEl first time, remainng 30% of people like HUTCH services to avail, only 8% of
people LIKe IDEA because of the range problem. 10 % of people like reliance because of
the brand nameor low call rates. 5 % of people like tat indicom because of new mobile
people hasve less faith in that , but TATA has also brand name and offereing many
benefits . only 2 5 of people like other services like LANDLINE services, they have no
faith in mobiles.

ANALYSIS
Type of advertisement mostly like by people in AIRTEL and
IDEA is
64

AIRTEL
a) Audio
b) visual

IDEA
a) Audio
B) visual

CONCLUSION

65

AUDIO- 10% of people says that they are effected by airtels audio adds, but
5 % of people are effected by ideas audio adds

VISUAL-

35 % of idea adds visual has effect on consumers and airtels only

20% visual add has effect on tahat.

AUDIO VISUAl-

70 % of people are well aware of adds come on

television , but in case of idea only60 % people has their effect causes due to adds in
television.

FINDINGS
The conclusion of my study is that AIRTELs Advertising has a major impact its
users. People like its schemes very much .AIRTEL had created a very good

66

image on the mind of the new users of cellular service. But in idea there is very
low advertisuing effectiveness on the consunmers.. airtel has adopted a very good
strategy by providing a new connection with NOKIA who is market leader in
mobile set, many new users buy Nokia sets and they get a free connection of
AIRTEL.

CONCLUSION

However AIRTEL is a established and IDEA is a growing name in the field


of mobile services still in a very short period of time reliance has captured a
67

huge market share because of handset financing and cheap facilities such as
SMS, call rate etc. In future, IDEA will surely give a hard competition to
AIRTEL as well as other mobile service companies. In the same time,
AIRTEL is also habitual in adapting itself according to the market situation.
Hence we can say that both AIRTEL as well as IDEA will prove to be a
benchmark for others in future.

RECOMMENDATIONS
Airtel:

68

1.

Airtel should finance the handset like reliance but handset


restriction should not be there.

2.

Advertisement should be meaningful and able to persuade the


customer.

3.

Sale promotion technique should be used to survive in the market


and to increase the sale

4.

Insurance should be provided.

Idea:
1.

Mostly, customers have regular habit of changing their handsets,


which is not possible in case of reliance. So such kind of restriction should
not be there.

2.

Advertisement should be meaningful and able to persuade the


customer.

BIBLIOGRAPHY

69

Books
Kotler, Philip

Marketing Management

Schiffiman, Leon. G.

Consumer Behaviour

Kothari, C.R.

Research Methodology

Magazines and Newspapers:


The Economics Times
Business India
Business World

Websites
www.ideaInfo.com
www.airtelworld.com

70

Thank You!

71