TABLE OF CONTENTS

CHAPTERS

II
III
IV
V

PARTICULARS
ACKNOWLEDGEMENT
TABLE OF CONTENTS
LIST OF TABLES
LIST OF CHARTS
ABSTRACT
1.1INTRODUCTION TO THE STUDY
1.2 INDUSTRY PROFILE
1.3 COMPANY PROFILE
1.4 PRODUCT PROFILE
1.5 OBJECTIVES OF THE STUDY
1.6 SCOPE OF THE STUDY
1.7 LIMITATIONS OF THE STUDY
2. REVIEW OF LITERATURE
3. RESEARCH METHODOLOGY
4. DATA ANALYSIS AND INTERPRETATION
5.1 SUMMARY OF FINDINGS
5.2 SUGGESTIONS AND
RECOMMENDATIONS
5.3 CONCLUSION
BIBLIOGRAPHY

PAGE NO
4
5
6
7
8
9
10
21
27
33
33
34
35
36
39
53
53
54
54

LIST OF TABLES
TABLE
NO
1

Which connection you use in your mobile

PAGE
NO
39

Why did you choose Prepaid or postpaid

40

41

If you use prepaid connection, which recharge voucher, you use

per month
How do you come to know about new scheme of Idea

how many times do you visit Idea Service Centre

43

What was your satisfaction level after visit of

service Centre
Do you think Idea call rates are reasonable

44

Do you Idea network provides better

communication service
Do idea provides better communication service from it
competitors
You said you were treated poorly or rudely.
What exactly did idea employees do? Please try
to describe specific behaviors, if possible
Did the SERVICE provided by Idea people fail to perform as
promise
Did Idea employees treat you poorly or rudely

46

Did some other type of problem happen that we

did not mention yet
Which of the following are priced high by Idea
that prompted you to cancel your connection

51

7
8
9
10

11
12
13
14

PARTICULARS

42

45

47
48
49
50

52

LIST OF CHARTS
CHART
NO
1

Which connection you use in your mobile

PAGE
NO
39

Why did you choose Prepaid or postpaid

40

41

If you use prepaid connection, which recharge voucher, you use

per month
How do you come to know about new scheme of Idea

how many times do you visit Idea Service Centre

43

What was your satisfaction level after visit of

service Centre
Do you think Idea call rates are reasonable

44

Do you Idea network provides better

communication service
Do idea provides better communication service from it
competitors
You said you were treated poorly or rudely.
What exactly did idea employees do? Please try
to describe specific behaviors, if possible
Did the SERVICE provided by Idea people fail to perform as
promise
Did Idea employees treat you poorly or rudely

46

Did some other type of problem happen that we

did not mention yet
Which of the following are priced high by Idea
that prompted you to cancel your connection

51

7
8
9
10
11
12
13
14

PARTICULARS

42

45

47
48
49
50

52

ABSTRACT

Customer satisfaction is the customers fulfillment of the product quality and product cost and its
usage and to identify the customer satisfaction level towards Idea Cellular Service.
This study helps to know the level of customer satisfaction and company also know the
customers exceptions and to know how the customers come to know about he product, product
image, product awareness and product price.
This study also helps to analyze the preference of people about the product and perception of
people towards the idea cellular.
Descriptive study is undertaken, sample size chosen is 100, and the statistical tool used is
percentage analysis.

Chapter-I
Introduction

Customer orientation stems from the companys adaption and implementation of the marketing
concept A philosophy of every business unit, which as triple implementation namely:
1.the victory of any business unit rest on customer who are willing to accept and pay for the
products/services.
2. the industry must be aware of what the market wants well in advance of production
3. customer wants must be monitored continuously for assured success and to have an edge over
competition

The need to satisfy the customer for success in any commercial enterprise is very obvious. The
income of enterprises is deriver from the payments receive from the products and supply to its
external customers commercial. If there are no customers, there is no income and there is no
business , In order words, customer is the sole reason for the existence of commercial
establishments.
Thus the core activity and perhaps one of the important activity and perhaps one of the most
important activities of any company is to attract and retain customers. It is therefore no surprise
that peter Drunker, the renowned management Guru has said To satisfy the customer is the
mission and purpose of every business organization.

INDUSTRY PROFILE
Telecom Industry in India
1. INDUSTRY OVERVIEW
1.1 Background
The Indian Telecommunications network is the third largest in the world and the second largest
among the emerging economies of Asia. Today, it is the fastest growing market in the world. The
telecommunication sector continued to register significant success during the year and has
emerged as one of the key sectors responsible for Indias resurgent Indias economic growth.
1.1.1 Growth
This rapid growth has been possible due to various proactive and positive decisions of the
Government and contribution of both by the public and the private sector. The rapid strides in the
telecom sector have been facilitated by liberal policies of the Government that provide easy
market access for telecom equipment and a fair regulatory framework for offering telecom
services to the Indian consumers at affordable prices.
1.1.2 WirelineVs Wireless
It has also undergone a substantial change in terms of mobile versus fixed phones and public
versus private participation. The preference for use of wireless phones has also been predominant
in the sector. Participation of the private entities in the telecom sector is rapidly increasing rate
there by presenting the enormous growth opportunities. There is a clear distinction between the
Global Satellite Mobile Communication (GSM) and Code Division Multiple Access (CDMA)
technologies used and the graph below shows the divide between the two.
1.2 Segment wise Status
1.2.1 Wireline Services
With increasing penetration of the wireless services, the wireline services in the country are
becoming stagnant. On the other hand, Broadband demand has picked up and promises to
stabilize fixed line growth.

1.2.2 GSM Sector

In terms of the Global System for Mobile Communication (GSM) subscriber base this now
places India third after China and Russia. China had 401.7 million GSM subscribers
1.2.3 CDMA Services
CDMA technology was introduced in India as a limited mobility solution. The introduction of
CDMA services has created competition, lowered tariffs and offered many citizens access to
communication services for the first time
1.2.4 Internet Services
Internet services were launched in India on August 15, 1995. In November 1998 the government
opened up the sector to private operators. A liberal licensing regime was put in place to increase
Internet penetration across the country. The growth of IP telephony or grey market is also a
serious concern. Government loses revenue, while unlicensed operation by certain operators
violates the law and depletes licensed operators market share. New services like IP-TV and IPTelephony are becoming popular with the demand likely to increase in coming years. The scope
of services under existing ISP license conditions is unclear.

1.3 Manufacture of Telecom Equipment

Rising demand for a wide range of telecom equipment, particularly in the area of mobile
telecommunication, has provided excellent opportunities to domestic and foreign investors in the
manufacturing sector. The last two years saw many renowned telecom companies setting up their
manufacturing base in India. Ericsson has set up GSM Radio Base Station Manufacturing facility
in Jaipur. Elcoteq has set up handset manufacturing facilities in Bangalore. Nokia set up its
manufacturing plant in Chennai. LG Electronics set up plant of manufacturing GSM mobile
phones near Pune. The Government has already set up Telecom Equipment and Services Export
Promotion Forum and Telecom Testing and Security Certification Centre (TETC). A large
number of companies like Alcatel, Cisco have also shown interest in setting up their R&D
centers in India. With above initiatives India is expected to be a manufacturing hub for the
telecom equipment.
2 POLICY AND INITIATIVES
2.1 Regulatory Framework

The Telecom Regulatory Authority of India (TRAI) was set up in March 1997 as a regulator for
Telecom sector. The TRAIs functions are recommendatory, regulatory and tariff setting in
telecom sector. Telecom Disputes Settlement and Appellate Tribunal (TDSAT) came into
existence in May, 2000. TDSAT has been empowered to adjudicate any dispute
Between a licensor and a licensee
Between two or more service providers
Between a service provider and a group of consumers
hear and dispose of appeal against any direction, decision or order of TRAI
Tariffs for telecommunication services have evolved from a regime where tariffs were
determined by Telecom Regulatory Authority of India to a regime where tariffs are largely under
forbearance. TRAI intervenes by regulating the tariffs for only those services, the markets of
which are not competitive.
Universal Service Obligation Fund (USOF) exclusively for meeting the Universal Service
Obligation was established in April, 2002. The Universal Service Levy is presently 5 per cent of
the Adjusted Gross Revenue (AGR) of all telecom service providers except the pure value added
service providers like Internet, Voice Mail, E-Mail service providers etc. Indian Telegraph Act
has been amended in October2006 to provide support for all telegraph services including mobile
and broadband to bridge the digital divide. With the introduction of the Unified Access
Licensing Regime, operators can offer telecom access services to consumers in a technology
neutral manner, subject to fulfilling certain conditions. Introduction of this regime has also
broken the legal/regulatory impasse between the cellular and basic service providers. Issuance of
Intra-Circle Merger and Acquisition Guidelines provide investors an opportunity to take stakes in
existing telecom operations.
2.2 Government Initiatives
The Government has taken the following main initiatives for the growth of the Telecom
Sector:
All telecom services have been opened up for free competition for unprecedented growth
217 (Information Technology Agreement) ITA-I items are at zero Customs Duty. Specified
capital goods and all inputs required to manufacture ITA-I, items are at zero Customs Duty
Availability of low cost mobile handsets the international Long Distance Services (ILDS)
opened with effect from April 2002. Calling Party Pays (CPP) regime was implemented with
effect from 1st May

 Guidelines for Unified Access Service License regime were issued in November 2003, 27
licenses out of 31 Basic Service Licenses were converted to Unified Access Service

Licenses
In April 2004, license fee for Unified Access Service Providers (UAS) was reduced by 2 per
cent
License fee for infrastructure Provider-II reduced from 15 per cent to 6 per cent of the Adjusted
Gross Revenue and spectrum charges between 2 to 4 per cent in June 2004
Entry fee for NLD licenses was reduced to Rs. 2.5 Crore from Rs. 100 Crore. Entry fee for ILD
reduced to Rs. 2.5 Crore from Rs. 25 Crore
Lease line charges have been reduced to make the bandwidth available at competitive prices to
facilitate growth in IT enabled services
One India plan i.e. single tariff of Re. 1/-per minute to anywhere in India was introduced from
1st March 2006 by the Public Sector Undertakings. This tariff was emulated by most of the
private service providers also. This scheme has led to death of distance in telecommunication and
is going to be instrumental in promoting National Integration further
The robust telecom network has also facilitated the expansion of BPO industry that is having
500,000 employees now and adding 400 employees per day.
Annual license fee for National Long Distance (NLD), International Long Distance (ILD),
Infrastructure Provider-II, VSAT commercial and Internet Service Provider (ISP) with internet
telephony (restricted) licenses was reduced to 6 per cent of Adjusted Gross Revenue (AGR) with
effort from Jan 2006.
The Governments policy is neutral on use of technology by telecom service providers subject
to availability of scarce resources such as spectrum etc.
License Fees 6-10 per cent of Adjusted Gross Revenue (AGR)
2.3 Foreign Direct Investment Policy
Foreign Direct Investment (FDI) was permitted in the telecom sector beginning with the telecom
manufacturing segment in 1991 - when India embarked on economic liberalization. FDI is
defined as investment made by non-residents in the equity capital of a company. For the telecom
sector, FDI includes investment made by Non-Resident Indians (NRIs), Overseas Corporate
9

Bodies (OCBs), foreign entities, Foreign Institutional Investors (FIIs), American Depository
Receipts (ADRs)/Global Depository Receipts (GDRs) etc.
Present FDI Policy for the Telecom sector:
In Basic, Cellular Mobile, National Long Distance, International Long Distance, Value Added
Services and Global Mobile Personal Communications by Satellite, FDI is limited to 49 per cent
(under automatic route) subject to grant of license from the Department of Telecommunications
and adherence by the companies (who are investing and the companies in which investment is
being made) to the license conditions for foreign equity cap and lock-in period for transfer and
addition of equity and other license provisions.
Foreign Direct Investment up to 74 per cent permitted, subject to licensing and security
requirements for the following:
- Internet Service (with gateways)
- Infrastructure Providers (Category II)
- Radio Paging Service
FDI up to 100 per cent permitted in respect to the following telecom services:
- ISPs not providing gateways (Both for satellite and submarine cables)
- Infrastructure Providers providing dark fiber (IP Category I)
- Electronic Mail
- Voice Mail
The above is subject to the following conditions:
- FDI up to 100 per cent is allowed subject to the condition that such companies would divest 26
per cent of their equity in favour of Indian public within 5 years, if these companies are listed in
other parts of the world.
- The above services would be subject to licensing and security requirements, wherever required.
- Proposals for FDI beyond 49 per cent shall be considered by Foreign Investment Promotion
Board (FIPB) on a case-to-case basis.
In the manufacturing sector 100 per cent FDI is permitted under the automatic route.
In Basic, Cellular Mobile, paging and Value Added service, and Global Mobile Personal
Communications by Satellite, FDI is permitted up to 49 per cent (under automatic route) subject
to grant of license from Department of Telecommunications
10

 Foreign direct investment up to 74 per cent permitted, subject to licensing and security
requirements for the Internet Service (with gateways), Infrastructure Providers (category-II), and
Radio Paging Service
FDI up to 100 per cent permitted in respect of
- ISPs not providing gateways (both for satellite and submarine cables),
- Infrastructure Providers providing dark fiber (IP Category I);
- Electronic Mail; and
- Voice Mail
FDI up to 49 per cent is also permitted in an investment company, set up for making investment
in the telecom companies licensed to operate telecom services. Investment by these investment
companies in a telecom service company is treated as part of domestic equity and is not set of
against the foreign equity cap.
Manufacturing - 100 per cent FDI is permitted under automatic route.
FDI is subject to the following conditions
FDI up to 100 per cent is allowed subject to the conditions that such companies would divest
26 per cent of their equity in favour of Indian public in 5 years, if these companies are listed in
other parts of the world.
The above services would be subject to licensing and security requirements, wherever required.
Proposals for FDI beyond 49 per cent shall be considered by FIPB on case to case Basis

3. COMPETITION OVERVIEW
3.1 Major Players
There are three types of players in telecom services:
State owned companies (BSNL and MTNL)
Private Indian owned companies (Reliance Infocomm, Tata Teleservices,)
Foreign invested companies (Hutchison-Essar, Bharti Tele-Ventures, Escotel, Idea Cellular,
BPL Mobile, Spice Communications)
Bharat Sanchar Nigam Limited (BSNL)
11

Name Bharat Sanchar Nigam Limited (BSNL)

Year of Establishment 2000 Company Profile Bharat Sanchar Nigam Ltd. is World's 7th largest
Telecommunications Company providing comprehensive range of telecom services in India:
Wire line, 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 units in India.

Global Presence/ Marketing

It has a network of over 45 million lines covering 5000 Network towns with over 35 million
telephone connections.
Acquisitions / Strategic
Alliances
Future Prospect BSNL plans to expand its customer base from present 47 million lines to 125
million lines and infrastructure investment plan to the tune of Rs. 733 crores (US$ 16.67
million) in the next three years.
Mahanagar Telephone Nigam Limited (MTNL) Name Mahanagar Telephone Nigam
Limited (MTNL)
Year of Establishment 1986
Company Profile MTNL was set up by the Government of India to upgrade the quality of
telecom services, expand the telecom network, and introduce new services and to raise revenue
for telecom development needs of Indias key metros. MTNL with a market share of about 13%
of the National telecom Network has a customer base of 5.92 million. The Govt. of India
currently holds 56.25% stake in the company.

Acquisitions / Strategic
Alliances
MTNL has formed a Joint Venture company in Nepal by the name of United Telecom Ltd. (UTL)
in collaboration with Telecom Consultants India Limited (TCIL) in 2001 for providing WLL
based basic services in Nepal. MTNL has set up its 100% subsidiary .Mahanagar Telephone
Mauritius Limited. (MTML) in Mauritius, for providing basic, mobile and international long
distance
12

Reliance Communication
Name Reliance Communications
Year of Establishment 1999
Company Profile Reliance Telecom's cellular services are available in 340 towns within its eightcircle footprint. Reliance Infocomm also offered for the first time in India, mobile data services
through its World mobile portal. This portal leverages the data capability of the CDMA 1X
network. Reliance Infocomm offers a complete range of telecom services covering mobile and
fixed line telephony including broadband, national and international long distance services, data
services and a wide range of value added services and applications aimed at enhancing
productivity of enterprises and individuals.

Global Presence/ Marketing

Network
Reliance Communications has IP-enabled connectivity infrastructure comprising over 150,000
kilometers of fiber-optic cable systems in India, the US, Europe, Middle East, and the Asia
Pacific region.
Acquisitions / Strategic
Alliances
International wholesale telecommunications service provider, FLAG Telecom amalgamates
with Reliance Gateway, a wholly owned subsidiary of Reliance Infocomm in 2004
Tata Teleservices
Name Tata Teleservices
Year of Establishment 1996 Company Profile Tata Teleservices is a part of the $12 billion Tata
Group, which has 93 companies, over 200,000 employees and more than 2.3 million
shareholders. Tata Teleservices bouquet of telephony services includes Mobile services,
Wireless Desktop Phones, Public Booth Telephony and Wire line services. Other services include
value added services like voice portal, roaming, post-paid Internet services, 3-way conferencing,
13

group calling, Wi-Fi Internet, USB Modem, data cards, calling card services and enterprise
services.

Global Presence/ Marketing

Network
Tata Teleservices has presence in across 19 circles that includes Andhra Pradesh, Chennai,
Gujarat, Karnataka, Delhi, Maharashtra, Mumbai, Tamil Nadu, Orissa, Bihar, Rajasthan, Punjab,
Haryana, Himachal Pradesh, Uttar Pradesh (E), Uttar Pradesh (W), Kerala, Kolkata, Madhya
Pradesh and West Bengal.
Acquisitions / Strategic
Alliances
Tata Teleservices has acquired Hughes Tele.com (India) Limited [now renamed Tata Teleservices
(Maharashtra) Limited] in 2002 Future Prospect The company is also expanding its footprint,
and has paid Rs. 4.17 billion ($90 million) to Dot for 11 new licenses under the IUC
(interconnect usage charges) regime.
Idea
Name Idea
Year of Establishment Acquired majority stake in Hutch Essar in India, by buying out complete
stake of Hutch in 2007, Essar is still minority stakeholder in company Company Profile Idea
Essar in India is a subsidiary of Idea Group Plc and commenced operations in 1994 when its
predecessor Hutchison Telecom acquired the cellular license for Mumbai. Idea Essar now has
operations in 16 circles covering 86% of India's mobile customer base, with over 45.78 million
customers. Idea Essar, under the Hutch brand, has been named the 'Most Respected Telecom
Company', the 'Best Mobile Service in the country' and the 'Most Creative and Most Effective
Advertiser of the Year'.

Global Presence/ Marketing

It has operations in 25 countries across 5 continents and 40 Network partner networks with over
200 million customers worldwide.
Acquisitions / Strategic
14

Alliances
Future Prospect Idea Essar is expecting to touch over 35 million customers across 400,000 shops
and thousand of hutchs own employees along with employees of its business associates.

Idea
Name Idea
Year of Establishment 1995
Company Profile Idea Cellular is part of the Aditya Birla Group, which is India's first truly
multinational corporation. Aditya Birla Nuvo Ltd. holds 35.7 per cent, Birla TMT Holdings Ltd.
44.9 per cent, Grasim 7.5 per cent, and Hindalco 10.1 per cent in Idea.

Global Presence/ Marketing

Network
Has a customer base of over 17 million, IDEA Cellular has operations in Delhi, Maharashtra,
Goa, Gujarat, Andhra Pradesh, Madhya Pradesh, Chhattisgarh, Uttaranchal, Haryana, UP West,
Himachal Pradesh and Kerala. Acquisitions / Strategic
Alliances
Merged with Tata Cellular Limited in 2001, thereby acquiring original license for the Andhra
Pradesh Circle Acquired RPG Cellular Limited and consequently the license for the Madhya
Pradesh (including Chhattisgarh) Circlein 2001 In 2004 acquired Escotel, incumbent cellular
service provider in Haryana, UP(W) & Kerala and new licensee in HP Acquired Escorts
Telecommunications Limited (subsequently renamed as Idea Telecommunications Limited) in
2006 Merger of seven subsidiaries with Idea Cellular Limited in 2007 Future Prospect Idea also
plans to enter rural and neglected circles as a strategy to gain subscribers. Other advancements in
the telecom industry will help it cut costs - use of e-mail to send bills to customers; sharing cell
sites; smaller base transmission stations that will mean lesser infrastructure requirements and
expenses and independent tower operators. Along with its plan to go for a national long distance
license, it will also look at international long distance in the near future.

15

CHALLENGES AND OPPORTUNITIES

Opportunities
The telecom sector has been one of the fastest growing sectors in the Indian economy in the past
4 years. This has been witnessed due to strong competition that has brought down tariffs as well
as simplification of policy environment that has promoted healthy competition among various
players... The mobile sector alone has been growing rapidly and has emerged as the fastest
growing market in the whole worlds. Currently of a size nearing 70 million (GSM and CDMA),
this sector is expected to reach a size of nearly 200 million subscribers by financial year 2008.
The government has eased the rules regarding inner circle and intra circle mergers. This has led
to a slew of mergers and acquisitions in the recent past. Also as the sector is moving closer to
maturity, further consolidation is a reality and this will lead to the survival of more profitable
players in this segment In order to further promote the use of Internet in the country the
government is taking proactive steps to develop this sector with the help of the various players in
this segment. For this purpose, the use of broadband technology is being mooted and this will go
a long way in improving the productivity of the Indian economy as well as turn out to be the next
big opportunity for telecom companies after the mobile communications segment Non-voice
services and VAS are the gold mines. The big takeoff is expected with the rollout of 3G services
in early 2007, once the spectrum issues are sorted out. Internet users base fast reaching near the
English speaking population base. Local language and content required for further growth
Infrastructure equipment cost is down to a fraction of what prevailed just a few years ago.
Operators can plan better expansion plan now increased viability for the operators to expand to
semi-urban and rural markets, hence, accelerate growth further its not without reason that India
is tipped to be the worlds third-largest economy by 2050! No wonder if it happens much earlier
Investors can look to capture the gains of the Indian telecom boom and diversify their operations
outside developed economies that are marked by saturated telecom markets and lower GDP
growth rates. At a time when global telecom majors are struggling to cope with their losses and
the rollout of 3G networks, which has been a non-starter for close to a year now; India, with its
telecom success story, represents an attractive and lucrative destination for investment.

16

1.3 COMPANY PROFILE

OVERVIEW OF THE COMPANY

IDEA CELLULAR
IDEA Cellular is a publicly listed company, having listed on the Bombay Stock Exchange (BSE)
and the National Stock Exchange (NSE) in March 2007.
Idea is the 3rd largest mobile services operator in India, in revenue terms, and recorded a
subscriber base of over 93.75 mn as of 31st May 2011. It became a pan-India integrated GSM
operator covering the entire telephony landscape of the country, and expanded its NLD and ILD
operations in FY 2010. During the year, Idea increased its revenue market share by over 1%,
despite stiff tariff war in the market.
The company has won license to offer 3G services in 11 service areas, which generate over 81%
of the companys total revenue. Ideas 3G services will be launched in the year 2011.
Ideas strong growth in the Indian telephony market comes from its deep penetration in the nonurban and rural markets. Idea has the highest share of rural subscribers as a percentage of total
subscribers, amongst other GSM players. In fact, two out of every three new subscribers now
come from non-urban market.
Ideas innovative and revolutionary VAS offering has been a major growth driver. Be it Mobile
TV, which was launched for the first time in India on the Idea network; exhaustive Music library
in multiple languages; DTs/ RBTs; and other content download from the world of Cinema,
Music, Cricket etc. Idea has consistently grown its VAS revenue. Its revenue share of VAS is
now higher than the industry average.
Idea offers seamless coverage to roaming customers traveling to any part of the country, as well
as to international traveling customers across over 200 countries. Ideas partnership with over
400 operators ensures that customers are always connected while on the move, within the
country or other parts of the world.
IDEA is the winner of The Emerging Company of the Year Award at The Economic Times
Corporate Excellence Awards 2009. IDEA Cellular also received the prestigious Avaya Global
Connect Award for being the Most Customer Responsive Company in the Telecom sector in the
year 2010. The company has received several other national and international recognitions for its
path-breaking 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
17

Mobile Operator of the Year Award India for 2007 and 2008 at the Annual Asian Mobile
News Awards.
IDEA Cellular is an Aditya Birla Group Company, Indias first truly multinational corporation.
The group operates in 26 countries, and is anchored by over 130,600 employees belonging to 40
nationalities. The Group has been adjudged the 6th Top Company for Leaders in Asia Pacific
Region in 2009, in a survey conducted by Hewitt Associates, in partnership with The RBL
Group, and Fortune. The Group has also been rated The Best Employer in India and among the
Top 20 in Asia by the Hewitt-Economic Times and Wall Street Journal Study 2007.

Values
Integrity - honesty in every action
At Aditya Birla Group, Integrity is defined as: Acting and taking decisions in a manner that is
fair, honest, following the highest standards of professionalism and also perceived to be so.
Integrity for us means not only financial and intellectual integrity, but in all other forms as are
commonly understood.
Key words that connote Integrity are:
Ethical
Truthful
Principled
Transparent
Upright
Respectful

Commitment - deliver on the promise

At Aditya Birla Group Commitment is defined as: On the foundation of integrity, doing whatever
it takes to deliver value to all stakeholders. In the process, taking ownership of our actions and
decisions, those of our team and that part of the organization that we are responsible for.

18

IDEA Partners

IDEA welcomes all businesses and individuals interested in partnering with us to enhance and strengthen the IDE
products & services portfolio.
To explore such potential partnerships, kindly get in touch with us by submitting the Partners Form.
Some of our Technology and Content Partners:

VAS

On mobile Asia
Pacific Ltd

Cellebrum India Ltd

Siddhivinayak
Astro Services Ltd.

Kodiak Ltd

Mauj

Net4nuts India Ltd

Yahoo

Rediff

India times
19

Sify

Mobile2win

NDTV

ROAMING

Roamware.inc

Star home

BhartiTelesoft

MARKETING COMMUNICATIONS

Lowe India Pvt Ltd

Mindshare

20

PUBLIC RELATIONS

Imprimis PR

NETWORK

Nokia Siemens

Ericsson

BILLING

Promoters

21

IDEA Cellular is part of the Aditya Birla Group, India's first truly multinational corporation.
Global in vision, rooted in Indian values, the Group is driven by a performance ethic pegged on
value
creation
for
its
multiple
stakeholders.
The group operates in 25 countries, and is anchored by over 100,000 employees belonging to 25
nationalities. The Group has been adjudged 'The Best Employer in India and among the Top 20
in Asia' by the Hewitt-Economic Times and Wall Street Journal Study 2007.
A premium conglomerate, the Aditya Birla Group is a leader in swathe of products - viscose
staple fiber, aluminum, cement, copper, carbon black, insulators, and garments.
The Group has also made successful forays into financial services, telecom, software, and BPO
and retail sectors. Today, the Group is India's most diversified business house.

Our Promoters are

Aditya Birla Nuvo Limited
Grasim Industries Limited
Hindalco Industries Limited
Birla TMT Holdings Private Limited

1.4 PRODUCT PROFILE

22

Idea Cellular Limited was incorporated in 1995. Idea is among the top five cellular operators 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 percent
revenue market share in nine service areas where it holds 900 MHz spectrum and which derive
48 per cent of the industrys gross revenues (Based on gross revenues for UAS and mobile
licenses only for December 09 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 Idea. Indus Towers is the worlds 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 several firsts to
its credit, including a voice portal Say Idea, Idea TV, Voice Chat, Instant Messenger and many
more. Tariff plans have been customer friendly, catering to the unique needs of different
customer segments, where Womens Card caters to the special needs of the woman 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. Recently, Idea was adjudged the Emerging Company of the Year in 2009 by The
Economic Times.

SERVICES PROVIDED BY

23

IDEA

Life becomes simpler when you become an Idea Postpaid customer. Choose from a
variety of affordable and attractive talk plans, and many convenient payment options for your
monthly bill.
OFFERS GO POSTPAID
Talk plans
Payment choices
Download postpaid forms
Shops & Dealers
To get a Idea Postpaid connection, all you have to do is submit a Customer Agreement Form
and Enrollment form, along with one of the following documents as your ID and 1 1. Address
proof
1. Ration card
2. Passport
3. Driving licensee
4. ID card issued by any institution
5. Copy of electricity or telephone bill of your address
Any document or communication issued by any authority of Central Government or local
bodies showing your residential address
Any other documentary evidence in support of the address given in the declaration.

TALK PLANS
Choose a talk plan that fits your usage and budget. And get a range of value added
services to go with it. Know more Payment choices

24

Idea offers you a variety of convenient and timesaving payment options. Choose the one
that suits you best. Know more Download postpaid forms
Get yourself an Idea Postpaid connection. Subscribe to Value Added Services, Roaming,
and more - right here. Know more.
Full value plans

Talk
Talk
Home 299 Roam 499

FV
199

FV
399

FV
699

FV
899

Rental

Minimum Billing Amount

199

399

699

899

299

499

Free local talk time

399

699

899

Free Local Idea Minutes

199

Free

Free

Free

Free

Free

Free

1.25

0.50

0.50

0.50

1 per
min

1.25

1.69

1.19

0.75

to landline phones (except in UP [W] &1.25

Uttaranchal)

1.69

1.19

0.75

to landline phones in UP [W] & Uttaranchal 2.40

2.40

2.40

2.40

STD / min

2.40

2.40

2.40

US, Canada, UK & Europe, Australia &7.2

New Zealand, South East Asia

7.2

7.2

7.2

7.2

7.2

Gulf, UK, Europe, SAARC,

Australia & New Zealand

9.99

9.99

9.99

9.99

9.99

40

40

40

40

40

Monthly Charges

Usage Charges
Incoming
Local Outgoing / min
to Idea phone
to mobile phones

2.40

21 per
min

ISD / min (all inclusive)

Africa,9.99

Norfolk Island, Cook Island, Cuba, Diego40

Garcia, Guinea Bissau, Nauru, Sakhalin,
Saotome & Principle, Solomon Island,
Tokelau, Tuvalu, Vanuatu
25

Inmarsat / Iridium

500

500

500

500

500

500

Local Idea

1.00

0.50

0.50

0.50

1.00

1.00

Local

1.00

0.99

0.99

0.99

1.00

1.00

National

2.00

2.00

2.00

2.00

1.00

1.00

International

5.00

5.00

5.00

5.00

5.00

5.00

Information Services

2.00

2.00

2.00

2.00

2.00

2.00

SMS

Prepaid Offers UP (E) Change Your Region Andhra Pradesh Chennai Delhi Gujarat
Haryana Karnataka Kerala Kolkata Maharashtra & Goa Mumbai Punjab Rajasthan Rest of
Bengal Tamil Nadu UP (E) UP (W)
OFFERS GO PREPAID

Cost structure
How to recharge
Download prepaid forms
Shops & Dealers
1 Free TV with Rs 699 Pack
STD to any phone @ Re 1
Mobile @ 1599
Call across UP @ 50p
Idea Chalta Rahe
Mobile@299
Become a VIP

2 Free TV with Rs 699 Pack

Buy the new Rs 699 Idea Prepaid Pack and get a portable TV free!

26

3 New customers get:

A portable TV
Idea Prepaid connection
4 Chota Recharges of Rs 10 each
Validity for 30 days
Special Tariff Voucher worth Rs 60
5 Existing users get:
A portable TV
Recharge card worth Rs 199
Special Tariff Voucher worth Rs 60
6 STD to any phone @ Re 1
Now call any phone in India at Re 1/min for a monthly fee of Rs 250. Know more
7 Mobile @ 1599
Go mobile the economic way. For just Rs 1599 you get a cool Motorola C115 handset, an Idea
prepaid connection with 3 months validity
Chota Recharge cards worth Rs 65
Special Tariff Voucher of Rs. 35
Call across UP @ 50p
Call any mobile phone across UP and Uttaranchal for just 50p per minute. You can also make
calls to landlines at Re 1 per minute, and Idea phones at 30p per minute. To enjoy these rates, all
you need is an Idea special tariff voucher. Know more
Idea Chalta Rahe
Pay just Rs 999 for an Idea Chalta Rahe Prepaid, and stay mobile forever. Plus other
benefits like full talk time on all future recharges. Know more

The license period on the offer is valid till 11.12.2015

Mobile@299
Pay just Rs 299 and get a fully loaded Starter pack with:
Idea Prepaid connection
27

1 Recharge card worth Rs 199 (with Rs 50 talk time & 30 day validity)
STV worth Rs 35
4 Chota Recharge cards of Rs 10

Become a VIP
Get your own distinct identity, by selecting a distinct phone number. At no extra cost.

Just buy a new prepaid connection of Rs 3000 and choose from VIP numbers like
9838 679786 or 9838 636363. In addition to the VIP number, you'll get full talk time worth Rs
3000, valid for 270 days.
You can also buy a new prepaid connection of Rs 2000 for VIP numbers like 9838500 777 or
9838500 999. In addition to the VIP number, you'll get full talk time worth Rs 2000, valid for
180 days.
*Service tax as applicable

OBJECTIVE FOR THE STUDY

28

Todays complex business environment and hence competition makes it mandatory

for a company to manage with information. The modern age will go down in the books of
history as the age of information revolution.
Each and every department, may it be finance, production or human resource
needs inputs from the marketing and sales department. Gone are the days of the shooting
in the dark. Now the company must be sure what it is forgetting and should have a fair
knowledge of the markets and its trends.
Today market is customer driven and not product driven. So the companies have
to come out its products to fit in the requirements of the customer.
How the company promote his product and his service all of them lie suppose to
the as player playing his first inning during the period of our research at Idea we analyzed
the advertising is most important thing for any company.
If the advertisement and media selection of our company is good then we can
increase the number of customer.
I would like to thanks all those people who are directly or indirectly related to my
development and research of this project.
The research has given a lot of practical knowledge for future.

SCOPE OF THE STUDY

This study has a wide scope to know about the factors that satisfying the customers buy
the product
This study tells about the level of customers satisfaction and the company also know the
customers expectation
This study helps to know how the customer comes to know about the product, product
image, and product price.

LIMAITATION OF THE STUDY

29

The researcher holds validity for the particulars period only.

The availability of time factor is said to be limited for the researcher to conduct the study.
It is hard to extract response from the customers in busy work schedule.

Since the feedback of the customers was done through Questionnaire major limitation was
unavailability of customers thus leading to highly low success rate.

Most of the customers were so furious that they refused to part with any information

Time factor

CHAPTER II

30

REVIEW OF LITERATURE
Customer satisfaction/dissatisfaction has become an important for marketing practitioners. The
author examines the issue in terms of customer satisfaction. In particular, practitioners and
academicians have noted that simply investing in greater service delivery may not return the cost
of investment. Part of problem is that customer response to satisfaction increment can be
nonlinear, and satisfaction and dissatisfaction thresholds may not occur at the same point. The
author propose a method for analyzing this complex behavior in a way that can lead to the
development of more accurate satisfaction strategies through an understanding of the
relationships among customers and transaction costs, satisfaction, and purchasing loyalty.

SERVICE MARKETING
Service marketing is marketing based on relationship and value. It may be used to market a
service or a product. Marketing a service-base business is different from marketing a goods-base
business.
There are several major differences, including;
1.
2.
3.
4.

The buyer purchases are intangible

The service may be based on the reputation of a single person
Its more difficult to compare the quality of similar services
The buyer cannot return the service.

CHAPTER III
31

RESEARCH METHODOLOGY

Research Theory
The marketing research has been defined by so many different authors in so many
different ways. The American Marketing Association defines marketing research as follows:
Marketing Research is the function which links the consumers, customers and public to
the market through the information information used to intensify and defines marketing
opportunities and problems, generate, refine and evaluate marketing actions, monitor marketing
performance and improved understanding of marketing as a process.
Marketing research specifies the information required to address these issues; designs
made for collecting the informations; manages and implements the data collection process;
analyses the results; and communicates the findings and their implications. Several
characteristics of modern business encourage the use marketing research business.
Marketing research is used during different phases of administrative process:
1. Setting goals and establishing strategies.
2. Developing a marketing plan.
3. Putting the plan into action.
4. Evaluating the plans effectiveness.

TYPES OF DATA AND METHODS OF DATA COLLECTION

The most important part of any research is collection of data. The task of data collection
32

begins after the research problem has been defined. While deciding about the method of data
collection to be used for the study, the researcher should keep in mind that the data are of two
types:
SAMPLING METHOD
The type of sampling adopted here is convenience-sampling method. This method of
sampling involves selecting the sample elements using convenient method without going through
the rigor of sampling method.
SOURCES OF DATA:
The sources of data were primary as well as secondary.

Primary Data:
Primary data are those which collected for the first time. The researcher collected the data
from the respondent by contacting them using questionnaire prepared for the study.
Secondary Data:
Secondary data are those which have already been collected by someone else. For the
study secondary data were selected from document provided by the firm.
RESEARCH DESIGN
There are three types of research

Exploratory Research

Descriptive Research

Casual Research

We have used Descriptive research design

The basis of my research was primary data which I collected from 100 peoples i.e. sample size in

33

the service center through Questionnaire

Statistical Tool:
Percentage Analysis:
In this study the researcher has used the percentage analyses method. Percentage analyses
are done determine the percentage value for the entire different question used. Percentage used
for making comparison between two or more series of data.
No. of respondents
Percentage % =

X 100
Total no. of respondents

CHAPTER IV
ANALYSIS AND INTERPRETATION
34

Analysis of data

Ques 1:

Which connection you use in your mobile.

Chart Title
Post Paid

Prepaid

37%
63%

Contents

Customer Response

Postpaid connection

37%

Prepaid Connection
Total

63%
100%

Inferences:
The above table shows that 63% are prepaid connection.

Ques-2 Why did you choose Prepaid or postpaid

35

Chart Title
45
40
35
30
25
20
15
10
5
0
Economical

Attractive Scheme Like Advertisment

None

Contents

Customer Response

Economical

42%

Attractive Scheme

37%

Like advertisement

10%

None

11%

Total

100%

Inferences:
The above table shows that most of the people choose Idea cellular because it is economical.

Ques-3 If you use prepaid connection, which recharge voucher, you use per month.
36

Chart Title
35
2900%

30

2800%
2500%

25
20

1800%

15
10
5
0
Rs 199

Rs 300

Rs 500

Rs 1000 or more

Contents

Customer Response

Rs 199

18%

Rs 300

29%

Rs 500

28%

Rs 1000 or more

25%

TOTAL

100%

Inferences:
The above table most of the people investing less than 300 per month
Ques4 how do you come to know about new scheme of Idea.

37

Chart Title
30
25
20
15
10
5
0

Contents

Customer Response

Friends

21%

Holdings

15%

TV Add

29%

News paper

28%

Customer care

9%

Other sources

1%

Contents

Customer Response

Total
First time

100%
80%

Weekly

4%

Monthly

6%

yearly

10%

Total

100%

Ques 5: how many times do you visit Idea Service Centre?

38

Inferences:
The above table shows most of the people visited idea store for the first time

Ques 6: What was your satisfaction level after visit of service

Centre?

39

Contents

Customer Response

Satisfied

70%

Not satisfied

10%

Highly satisfied

20%

total

100%

Inferences:
The above table shows most of the customer is satisfied with service centre.

Ques7: Do you think Idea call rates are reasonable?

40

Contents

Customer Response

yes

58%

no

22%

May be

20%

Total

100%

Inferences:
Most of the people think that call rates are reasonable.

Ques8: Do you Idea network provides better communication service?

41

Contents

Customer Response

yes

76%

no

24%

Total

100%

Inferences:
The above table shows that Idea network provides better communication.

Ques 9: Do idea provides better communication service from it competitors

42

Contents

Customer Response

yes

90%

no

4%

May be

6%

Total

10%

Inferences:
Most of the people think Idea provide better communication service than competitor.

Ques 10: You said you were treated poorly or rudely. What exactly
did idea employees do? Please try to describe specific behaviors, if
possible.

43

Contents

Customer Response

Put on hold

44%

Not responsive

12%

Were discourteous

24 %

Large queue time

30%

Total

100%

Inferences:
The above data shows most of the customer executive put the call on the hold.

Ques

11: Did the SERVICE provided by Idea people fail to perform as promise?

44

Contents

Customer Response

yes

30%

no

70%

Inferences:
The above table shows Idea service fail to provide promise to customers.

45

Ques12:

Did Idea employees treat you poorly or rudely?

Contents

Customer Response

Yes

24%

No

76%

Total

100 %

Inferences:
The above data shows that most of Idea people did not treat rudely

Ques13:
Did some other type of problem happen that we did not
mention yet?
46

Contents

Customer Response

Yes

40%

No

60%

Total

100 %

Inferences:
Most of the people think that the service is quite ok.

Ques14:
Which of the following are priced high by Idea that
prompted you to cancel your connection?
47

Contents

Customer Response

Monthly rental for subscriptions

16%

Air time usage rates

26%

Monthly rental for vas

36 %

Recent changes in your budget

22%

Total

100%

Inferences:
Most of the people dont want any changes in budget.

CHAPTER-V

48

FINDINGS

1. In my analysis the performance of Idea is varying from area to be because of its

advertising strategy and many other facilities are different.
2. In my analysis around more then 50% people says that Idea service is good and rest are
people says no comment.
3. Ideas main competitor is Airtel. While Idea and Airtel, both are providing same service
so it is most important to use more and effective advertising strategy.
4. Idea provided its service to its customer when ever they need and also where ever the
need with the help of customer cares.
In case of telecommunication customer are very choosy and economical

SUGGESTION
During the survey I come to know about some short coming of Idea telecom. This
shortcoming can be removed with the help of following suggestion and help Idea
telecommunication. In expanding its market through advertisement and improving its market
position.
1. Promotional program conducted b the company should be on large scale for the customer
with improved visual aids.
2. Company should increase the personal contact with the customer because they have some
problems that can be solved by the Idea staff only.
3. For youngsters Idea should provide some free services as like Reliance Infocomm.
4. Idea should appoint few more celebrities for advertisement.

CONCLUSION

49

It is always difficult to measure the effectiveness of service center this is to conclude that
the research named as Customer satisfaction level at Idea service center will be useful for
the organization this research has been done keeping the constraints and requirements of the Idea
with the help of this research it in easy for Idea to know about the service center and customer
satisfaction level. It can help them to now what their customer wants from them.
It will help the organization to know that what more their customer want from them.
What are their weaknesses which the organization can improve in order to service center in order
to the services performed there.
I tried my best to make this research report in spite of that few mistakes in it and I know
this thing. So kindly ignore most of the customer are satisfied with their services but wants to
switch over a new upgraded service if given an opportunity with additional feature and least risk.

BIBLIOGRAPHY

1.
2.
3.

REFERENCE BOOKS:
Philip Kotler& Keller : Marketing Management 12th edition
C.R.Kothari: Research Methodology.
Dr.P.N.Arora : Statistics For Management.

WEBSITES:
www.google.com
www.wikipedia.com
www.adityabirla.com
www.idea.com
www.telecomindustry.com

ANNEXURE
QUESTIONNAIRE
50

Name: -

___________________________________

Age: -

________________________________

Gender: Address: -

Male

Female

______________________________________

______________________________________
Mobile No.

______________________________________

Occupation: - a) SERVICE b)
BUSINESS
HOUSEWIFE e) OTHERS

c) STUDENT d)

Ques1: Which connection you use in your mobile.

a) Postpaid connection
b) Prepaid
Ques 2: Why did you choose Prepaid or postpaid.
a)
b)
c)
d)

Economical
Attractive Scheme
Like advertisement
None of above

Ques 3: If you use prepaid connection, which recharge voucher, you use per month.
a)
b)
c)
d)

Rs 199
Rs 300
Rs 500
Rs 1000 or More

Ques 4: How do you come to know about new scheme of Idea?

a) Through friend or relative
b) Through Holdings
c) T.V Add
51

d) News Paper
e) Customer Care
f) Any Other Sources
Ques 5: how many times do you visit Idea service center.
A) First time
b) Weekly
C) Monthly
d) Yearly

Ques6: What was your satisfaction level after visit of service Centre?
a) Satisfied
b) Not satisfied
c) Highly satisfied
Ques7: Do you think Idea call rates are reasonable?
A) Yes
b) No
c) May be
Ques8: Do you Idea network provides better communication service.
A) Yes
b) No

Ques9: Do Idea provides better communication service from it competitors.

A) Yes
b) No
c) May be
Ques10: You said you were treated poorly or rudely. What exactly did Idea employees do?
Please try to describe specific behaviors, if possible.
a.

PUT ON HOLD

b.

NOT RESPONSIVE
52

c.

WERE DISCOURTEOUS

d.

LARGE QUEUE TIME

Ques 11: Now we would like your help in classifying the problem or problems you
experienced. For each problem I mention, please answer Yes if the problem applies to
you, or no if it does not.
a.

Did the SERVICE provided by Idea people fail to perform as promise?

YES

b.

NO

Did Idea employees treat you poorly or rudely?

YES

c.

NO

Did some other type of problem happen that we did not mention yet?
YES

NO

Ques12 Is Idea user friendly?

(

) Yes; (

) No

Ques13 how long did the customer service take to respond on your complaint?
(
(

) 1 Day; ( ) 1-2 Days; ( ) 3-4 Days;

) Above 5 days ( ) Response quickly

Ques14 If you are getting problem with internet connection services did the customer
service personal have made it easy for you to understand how to use?
(

) Yes; (

) No

Ques15 Do you recommend the product to others?

( ) Yes; (

) No

Ques16 Are you aware that there are toll free help line numbers available with your Idea
connection?
Yes

No

53