Académique Documents
Professionnel Documents
Culture Documents
SUBMITTED BY:-
SUSHANT GILL
Roll no:
BBA V Semester
ACKNOWLEDGEMENT -- 1
PREFACE -- 2
EXECUTIVE SUMMARY -- 3
INTRODUCTION -- 13-24
SUGGESTIONS -- 55
RECOMMENDATION -- 58
LIMITATIONS -- 59
CONCLUSION -- 60
BIBLIOGRAPHY -- 61
QUESTIONNAIRE -- 63
ACKNOWLEDGEMENT
Last of all but not the least I would like to acknowledge my gratitude
to the respondents without whom this survey would have been incomplete.
SUSHANT GILL
PREFACE
The project title “Market performance of Airtel industry” is the analysis of the
big scale sector of communication. This project involves the big scale level
analyze the big scale sector prevailing in the current industry and the
Market research study has been conducted in order to bring out the picture of
big scale sector that exists in this industry. The differences in service quality
that exists in the market. What the customer’s preferences are provided by the
Airtel?
EXECUTIVE SUMMARY
markets its strategies and how the company has been able in tackling the
quality of its products. The report begins with the history of the products and
the introduction of the Airtel Company. This report also contains the basic
scenario, future prospect and government policies. The report includes some
not only exist but also to excel in the market. Today’s market is enormously
more complex. Hence forth, to survive in the market, the company not only
needs to maximize its profit but also needs to satisfy its customers and should
5. To study customer purchase decision behaviour and factor influence the decision
process.
Achieving accuracy in any research requires in depth study regarding the subject.
As the prime objective of the project is to compare Airtel with the existing
competitors in the market and the impact of WLL on Airtel, the research
methodology adopted is basically based on primary data via which the most recent
and accurate piece of first hand information could be collected. Secondary data has
Questionnaire Method
Observation Method
The main tool used was, the questionnaire method. Further direct interview method,
where a face-to-face formal interview was taken. Lastly observation method has been
EXPLORATORY:
• PRIMARY DATA
• SECONDARY DATA
PRIMARY DATA:
• QUESTIONNAIRE SURVEY:
SURVEY:
SECONDARY DATA:
SAMPLE SIZE:
SIZE: - 100 PEOPLE
METHOD OF COLLECTION: -
RESEARCH INSTRUMENT:
INSTRUMENT:
QUESTIONNAIRE
LIMITATIONS:
The following were the limitations that were there during the course of the study:
1. Limited time period.
2. Less number of respondents.
Questionnaire Method
Observation Method
The main tool used was, the questionnaire method. Further direct interview method,
where a face-to-face formal interview was taken. Lastly observation method has been
# To conduct this research the target population was the mobile users, Who are using
GSM technology.
# To these 100 people a questionnaire was given, the questionnaire was a combination
# Some dealers were also interviewed to know their prospective. Interviews with the
# Finally the collected data and information was analyzed and compiled to arrive at the
Used to obtain information on, Bharti’s history, current issues, policies, procedures etc,
wherever required.
# Internet
# Magazines
# Newspapers
# Journals
# Bharti Circulars
In the early 1990s, the Indian government adopted a new economic policy aimed at
improving India's competitiveness in the global markets and the rapid growth of
In India, the telecom service areas are divided into four metros (New Delhi, Mumbai,
Chennai and Kolkatta) and 20 circles, which roughly correspond to the states in India.
The circles are further classified under "A," "B" and "C," with the "A" circle being the
most attractive and "C" being the least attractive. The regulatory body at that time —
each metro and circle. Thirty-four licenses for GSM900 cellular services were
auctioned to 22 firms in 1995. The first cellular service was provided by, Modi Telstra
in Kolkatta in August 1995. For the auction, it was stipulated that no firm can win in
more than one metro, three circles or both. The circles of Jammu and Kashmir and
Andaman and Nicobar had no bidders, while West Bengal and Assam had only one
bidder each.
In 1996, the Telecom Regulatory Authority of India (TRAI) bill was introduced in the
Lok Sabha, and the president officially announced the TRAI ordinance on 25 January
1997. The government decided to set up TRAI to separate regulatory functions from
policy formulation, licensing and telecom operations. Prior to the creation of TRAI,
High license fees and excessive bids for the cellular licenses put tremendous financial
burden on the operators, diverting funds away from network development and
enhancements. As a result, by 1999 many operators failed to pay their license fees and
were in danger of having their licenses withdrawn. In March 1999, a new telecom
policy was put in place (New Telecom Policy [NTP] 1999). Under this new policy, the
THEIR RESOLUTION
Indian Cellular market immediately after the first round of licensing in 1994-96 was
beset by several problems for 3 - 4 years till the New Telecom Policy of 1999 was
CURRENT POSITION
Migration to revenue sharing mode in 1999 mitigates high initial fund requirements for
Businesses that have since been adequately funded growing at over 60% per annum,
mergers, with 4/5 major groups emerging in the last one/two years.
Telecom Regulatory Authority of India (TRAI) firmly in place, and its role being
Issues relating to unfavorable interconnect terms for private operators, pass through
income, intra circle long distance, spectrum availability and allocation and the like
Interconnect terms since rationalized, risks on pass through income to DOT / BHARTI
(Mahanagar Telecom Nigam Ltd.) resolved to the satisfaction of all parties with
changes in methodology / revenue sharing, intra circle long distance allowed, spectrum
Financial Institutions.
Large up front cash requirements for license fee payments mitigated with
institutions.
routine allowing ease of entry / exit - paves the way for full control of businesses by
foreign companies.
Roadblocks spelt out earlier resulted in low market / subscriber growth, but with
The interconnection regime between cellular operators and fixed-line operators is still
Despite the recent gains of the cellular industry, not everything is rosy. The cellular
penetration rate is still very low at 0.8 percent in a nation of over one billion people.
In recent years, many foreign companies had pulled out from their cellular joint
ventures in India due to the difficult operating environment and bureaucracy. In 1999
alone, Swisscom pulled out from Sterling Cellular, Telstra from Modi Telstra and both
the Telecom Organization of Thailand and Jasmine International from JT Mobile. In
2000, Telecom Malaysia sold its stake in Usha Martin Telecom, and both Shinawatra of
Thailand and Bezeq exited from Fascel. In June 2001, British Telecom exited from
Bharti Cellular. Bell South International has also indicated its intention to pull out from
Skycell Communications, and Hong Kong-based Distacom is seeking to sell its stake in
The string of sell-outs notwithstanding, there has been a merger and acquisition wave
sweeping across the Indian cellular industry in recent years. Hong Kong-based
in Sterling Cellular (December 1999), Usha Martin Telecom (mid-2000) and Fascel
Finance, Hutchison Whampoa practically controls Fascel and Usha Martin Telecom,
acquired control of JT Telecom, which was later renamed Bharti Mobile (December
1999), and Skycell Communications renamed Bharti Mobinet (August 2000). Bharti
also acquired the Punjab license of Essar and started operations, giving competition to
the lone operator there, Spice Communications. Going forward, Bharti is likely to
Five companies together bid Rs16.3 billion to bag the licenses for the fourth operator
slots in four metros and 13 circles. Bharti emerged as the No. 1 bidder with eight new
licenses, followed by Escotel with four, Hutchison with three, and Reliance and Idea
cellular with one each. Bharti and Hutchison have already commenced operations in all
the circles while Idea is set to launch in Delhi. Escotel and Reliance have not made any
headway.
BHARTI, the third cellular operator for Delhi and Mumbai, started services in March
2001. BSNL, as the third nationwide cellular operator, launched services in Kolkatta
and Bihar in January 2002. This was followed by Tamil Nadu in July 2002. A
nationwide launch was scheduled for 2 October 2002. However, this has been
postponed until after mid October. Once BSNL rolls out its service, most telecom
circles will have four cellular operators. There will be tremendous competitive
pressure, which will result in lower tariffs. Future rate cuts are expected, which will
drive demand, together with falling handset prices and the introduction of prepaid
services.
In the midst of declining interest in technology stocks, Bharti came out with its long-
awaited initial public offering (IPO) in January 2002. Leveraging on the success of its
cellular service, the company got a very good response from the primary market. The
total size of the IPO was 185 million shares at a floor price of Rs10. The issue was
oversubscribed by more than 2.5 times, netting Rs8.3 billion. This will be used to fuel
As of October 2002, only BPL Mobile has launched commercial general packet radio
service (GPRS) in Mumbai. However, large-scale uptake remains elusive. While both
Bharti and Idea have GPRS-enabled networks, there is caution on their part to launch
the service. With hardly any applications, the success of GPRS remains a question.
Deviating from competing on the price platform, cellular operators are actively
promoting their brand and service portfolio through high-visibility advertising and
promotional campaigns. Cellular operators like Bharti, Orange and BPL Mobile have
been advertising aggressively on hoardings and kiosks. Public transport like the city rail
system and cabs are used widely to carry the message of mobility.
Customer-focused activities are gaining traction among cellular operators with the
"Orange Holidays" and "Orange Monsoon Offers" at very attractive rates and added
benefits like discounts on airfare, food and beverages, among others. Others offer
All along, customer acquisition and the top line have been the focus. Few operators
operators realize that offering basic voice and Short Message Service (SMS) will get
them the numbers but not the margins, some are now seriously looking at the enterprise
Cost-centered solutions like closed user group (CUG), value-adds like unified
A variety of mobile applications are finding takers among the enterprise segment.
they can improve the efficiency of trucks or buses by tracking movement and ensuring
higher-use, accurate route planning. Premium automakers are also installing a global
system for mobile communications inside a vehicle to help trace lost vehicles and track
Corporations can choose enhanced services like user-defined call routing to prevent
misuse. Calls can be barred, limiting access to select numbers and diverting calls to one
single number. Broadcasting services are also quite popular, especially among fast food
centers that have a central number. Group SMS is quite popular, especially among
enterprises both in the service as well as the fast-moving consumer goods (FMCG)
segment that have a large field force and need to provide regular updates on inventory
status, discount schemes and movement of goods from warehouse to the retail outlet.
Banks too find bulk SMS service very useful to forward transactional alerts to their
customers.
• The entry of state-run operators like BSNL and BHARTI means that prices will
• The bigger the service provider's national presence, the better it is for
advantageous.
The operations of this sector are determined as under the Indian Telegraph Act of 1885.
A document buried in the sands of time. The next major policy document, which was
produced, was the National Telecom Policy of 1994, a consequence of the on going
process of liberalization.
Year Event
December 1994 Tenders for cellular licenses in 19 cities apart from 4 metros
January 1995 Tenders for 2nd operator in basic services apart from DoT on
circle basis.
rather than a series of action points. Like other policies, it sought to achieve the
impossible in finite time like improve quality of service and its availability, wide
coverage (a phone in every village), at reasonable rates, etc. The targets in quantifiable
terms were installation of 9.5mn additional lines, telephone on demand by 1997, and a
PCO pop of 500. The Eighth Plan had also allowed private operators in value added
services. To facilitate licensing, the nation was divided into 20 circles (akin to a state)
for basic and 21 circles for cellular telephony. Mumbai falls in Maharashtra circle and
The basic premise on which competition has been introduced is that every circle will
have one private operator apart from DoT/ BHARTI for basic and two operators for
cellular. DoT/ BHARTI have the option to become the third cellular operator in future.
Government did not achieve most of its stated targets. The basic theme, which was
broadening the reach of telephony in India, has not been met. Even liberalization
policies were not implemented properly. The regulator TRAI was set up after delays
and confusion and even after its creation, DoT continued to fight with it in courts. It
was also affected by the resource crunch, and financing options like BOT, BOOT and
BOLT was not used at all. The major policy direction it showed was to allow private
sector entry in both basic and value added services. The intention, though noble failed
to achieve its goals because of improper implementation, the economic costs are still
The telecom sector has witnessed some fundamental structural and institutional reforms
1991. Value-added services (including cellular services) were thrown open to private
sector participation in 1992. Basic services were opened to private participation in 1994
by dividing the country into 21 telecom Circles and allowing one private operator per
Circle to compete with DoT. An independent telecom regulatory Authority of India was
set up in 1997. A new Policy for Internet Service Policy Providers (ISPs) was
announced in 1998 allowing independent service providers to enter the sector ending
function and service provision and corporatization of DOT's operational network are
Vision
"As we spread wings to expand our capabilities and explore new horizons, the
fundamental focus remains unchanged: seek out the best technology in the world and
These are the premise on which Bharti Enterprises has based its entire plan of action.
Bharti Enterprises has been at the forefront of technology and has revolutionized
Established in 1985, Bharti has been a pioneering force in the telecom sector. With
many firsts and innovations to its credit, ranging from being the first mobile service in
Delhi, first private basic telephone service provider in the country, first Indian company
to provide comprehensive telecom services outside India in Seychelles and first private
sector service provider to launch National Long Distance Services in India. Bharti had
approximately 3.21 million total customers – nearly 2.88 million mobile and 334,000
Its services sector businesses include mobile operations in Andhra Pradesh, Chennai,
Pradesh circle, Maharashtra circle, Mumbai, Punjab, Tamil Nadu and Uttar Pradesh
(West) circle. In addition, it also has a fixed-line operations in the states of Madhya
Pradesh and Chattisgarh, Haryana, Delhi, Karnataka and Tamil Nadu and nationwide
transmission services and voice transmission services for calls originating and
Bharti Enterprises also manufactures and exports telephone terminals and cordless
phones. Apart from being the largest manufacturer of telephone instruments, it is also
“to capitalise on the growth opportunities that the Company believes are available in
the Indian telecommunications market and consolidate its position to be the leading
The Company has developed the following strategies to achieve its strategic objective:
geographical coverage;
• Position itself to tap data transmission opportunities and offer advanced mobile
data services;
satisfaction;
• Leverage strengths of its strategic and financial partners; and
• Mobile services
• Fixed-line
Competitive Strengths
Bharti Tele-Ventures believes that the following elements will contribute to the
will provide the Company with a solid foundation to execute its business strategy:
opportunities;
• The strong brand name recognition and a reputation for offering high quality
• Quality management team with vision and proven execution skills; and
• Use Bharti as the mother brand providing the group its corporate identity as
BHARTI
AirTel - The flagship brand for cellular operations all across the country.
Touchtel - The brand earmarked for basic service operations.
India One - The brand for national long distance (NLD) telephony
Though the costs of creating new brands are heavy but the group wants to create
Brand Strategy:
To understand the brand strategy, let’s first look at the brand building exercise
associated with AirTel — a brand that had to be repositioned recently to address new
When the brand was launched seven years ago, cellular telephony wasn’t a mass market
by any means. For the average consumer, owning a cellular phone was expensive as
tariff rates (at Rs 8 a minute) as well as instrument prices were steep — sometimes as
Bharti could have addressed the customer by rationally explaining to him the economic
advantage of using a mobile phone. But Sachdev says that such a strategy would not
have worked for the simple reason that the value from using the phone at the time was
gave to the customer as the main selling tack. The idea was to become a badge value
brand,” he explains.
So the AirTel “leadership series” campaign was launched showing successful men with
their laptops and in their deluxe cars using the mobile phone. In simple terms, it meant
AirTel was positioned as an aspirational brand that was meant for leaders, for
Did it work? Repeated surveys following the launch showed that there were three core
benefits that were clearly associated with the brand — leadership, dynamism and
performance.
These were valuable qualities, but they only took AirTel far enough to establish its
presence in the market. As tariffs started dropping, it became necessary for AirTel to
appeal to a wider audience. And the various brand-tracking exercises showed that
despite all these good things, there was no emotional dimension to the brand — it was
Sachdev and his team realized that in a business in which customer relationships were
the core this could be a major weakness. The reason? With tariffs identical to
competitor Essar and roughly the same level of service and schemes, it had now
become important for Bharti to “humanize” AirTel and use that relationship as a major
differentiation.
The brand had become something like Lufthansa — cold and efficient. What they
needed was to become Singapore Airlines, efficient but also human. A change in tack
was important because this was a time when the cellular market was changing.
The leadership series was okay when you were wooing the crème de la crème of
society. Once you reached them you had to expand the market so there was need to
3.77 lakh (it now has 1.2 million customers). And with tariffs becoming more
affordable — as cell companies started cutting prices — it was time to expand the
market.
How could Bharti leverage this leadership position down the value chain? Surveys
showed that the concept of leadership in the customer’s minds was also changing.
Leadership did not mean directing subordinates to execute orders but to work along
with a team to achieve common objectives — it was, again, a relationship game that
Also, a survey showed that 50 per cent of the new customers choose a mobile phone
Thus, existing customers were an important tool for market expansion and Bharti now
That is precisely what the brand tried to achieve through its new positioning under the
AirTel “Touch Tomorrow” brand campaign. This set of campaigns portrayed mobile
users surrounded by caring family members. Says Sachdev: “The new campaign and
positioning was designed to highlight the relationship angle and make the brand softer
As it looks to expand its cellular services nationwide —to eight new circles apart from
the seven in which it already operates — Bharti is now realizing that there are new
compulsions to rework the AirTel brand, and a new exercise is being launched to this
effect. Right now, the company is unwilling to discuss the new positioning in detail.
But broadly, the focus is on positioning AirTel as a power brand with numerous
understood that one common brand for all cellular operations might not always work in
To bring in new customers, the company decided that it needed to segment the market.
One such experiment, launched last year, is Youtopia, a brand aimed at the youth in the
14 to 19 age bracket and for those who are “young at heart”. With its earlier
positioning, AirTel was perceived as a brand for the well-heeled older customer; there
was nothing for younger people. With Youtopia, AirTel hoped to reverse that.
In order to deliver the concept, AirTel offered rock bottom tariff rates (25 paise for 30
seconds) at night to Youtopia customers — a time when they make the maximum
number of calls. It also set up merchandising exercises around the scheme — like a
special portal for young people to buy things or bid for goods.
The company is now looking at offering other services at affordable prices to this
segment which include music downloads on the mobile and bundling SMS rates with
The other experiment that Bharti has worked on is to go in for product segmentation
through the Tango brand name. The brand was created to offer mobile users Internet-
The idea was to bring Internet and mobile in perfect harmony. “The name was chosen
from the popular movie title It Takes Two To Tango: basically, you need the two
This, however, had less to do with the branding exercise as with inefficiency of service
(accusingly slow download speeds) and the limited utility of WAP services.
Subsequently, the ads were withdrawn, but the company re-iterated that the branding
exercise could be revived because Tango will be the brand to offer GPRS services — or
launch soon.
The Magic:
Perhaps the more ambitious experiment has been with Magic — the pre-paid card. The
idea was to make the brand affordable, accessible and, most importantly, feasible as a
PHASE I –
Magic was aimed at bringing in infrequent users of a mobile phone into the market and
assure him that he would have to pay only if he made a call. Such a customer used the
phone sparingly — mostly for emergencies — and was not willing to pick up a normal
mobile connection with its relatively high rentals (pre-paid cards do not include rental
charges).
• One, the product was made available at prices ranging from Rs 300 to Rs
• Two, the product was made accessible and distributed through small
stores, telephone booths and even kirana shops so that the offering was well
This apart, the company roped in Karisma Kapoor and Shah Rukh Khan for a major ad
campaign all across Delhi, a ruse that saw the number of subscribers go up from 5.47
lakh to 12 lakh today, overtaking Essar’s branded pre-paid card Speed, which was
launched much ahead of Magic. The company is now re-working its Magic strategy
even further.
Earlier, the branding strategy was aimed at roping in only interested customers — that
is, customers who were already inclined to opt for mobile services. But now, with basic
service providers having been allowed limited mobility at far cheaper rates, mobile
That is why the new exercise is aimed at co-opting non-adopters. While the exact
strategy is under wraps, insiders say the new branding strategy would be aimed at
offering them value which they had not perceived would be available from using a pre-
paid card.
PHASE II -
Bharti used AirTel Magic to build a strong value proposition and accelerate market
• All elements - user imagery, context, tone & language created to connect the
category to the lives of the SEC B & SEC C segment – the middle class non-mobile
user.
• AirTel Magic positions itself on the platform of being excellent for emergency
• Sharukh Khan makes ‘everything in life possible’ while romancing pretty Kareena
AirTel today unveiled its strategy for market expansion with the launch of its new
AirTel Magic pre-paid card brand campaign – ‘Magic hai to Mumkin hai’. The
strategy is targeted at the non-user segment defined as young adults, 15-30 years of
age; in the Sec B & C segment is aimed at accelerating market expansion. The value
proposition is centered around a person’s desire to make all his / her dreams, ambitions
& aspirations instantly possible. The new campaign for AirTel Magic is all about
The brand is positioned to be relevant to the mass-market who want to make all their
dreams, hopes & desires come alive… instantly. (At just Rs.300/- per month AirTel
Magic is so easy to buy.) Improving productivity, letting you befriend the world and
opening up new horizons. It gives you the freedom to control your life in a way never
possible before. Indeed, anything that you think is possible is possible with AirTel
Magic. The new brand slogan ‘Magic hai to Mumkin hai’ has been specially created to
language of the masses. The “Mumkin hai” value proposition will help us expand the
The brand ambassadors Shahrukh Khan and Kareena Kapoor embody this ‘can do’ or
“Mumkin Hai” spirit (infact that is the reason they were selected as brand
ambassadors). Sharukh rose from a TV actor to become India’s top film star and
national heartthrob. Kareena’s success is due to her ‘attitude’, talent, hard work and
the sheer ability to make a mark in such a short time. Both these stars have said
The genre of this new strategy & campaign is Hindi cinema led. This genre connects
millions across India. The spirit of romance, dancing… the Indian cinema, well known
The new TV campaign of AirTel Magic crafted in the Hindi film idiom, magnifies the
romance. Where Sharukh Khan, sets his eyes on Kareena Kapoor and wins her love
with the help of AirTel Magic. (Poignantly conveying that special feeling we all get
The strategy & new brand campaign is targeted at the large untapped base of intending
mobile customers from Sec A, B & C. The estimated addressable market of such
customers in the next two years is around 25 million in AirTel’s 16 states. The new
strategy aims at correcting the perception that the mobile category is useful mainly for
Bharti used AirTel Magic to build a strong value proposition and accelerate market
• First time ever in India - any pre-paid card brand gives such freedom to recharge
any value
• Youth based - romance driven strategy platform makes the value proposition of
• Sharukh Khan makes ‘everything in life possible’ AirTel today unveiled its strategy
for market expansion with the launch of it’s new AirTel Magic pre-paid card brand
campaign – ‘Magic hai to Mumkin hai’. . The value proposition is centered around
a person’s desire to make all his / her dreams, ambitions & aspirations instantly
possible. The new campaign for AirTel Magic is all about empowering millions of
The brand is positioned to be relevant to the mass-market who want to make all their
dreams, hopes & desires come alive… instantly .At a amount of your choice you can
recharge your account with available validity time .Improving productivity, letting you
befriend the world and opening up new horizons. It gives you the freedom to control
your life in a way never possible before. Indeed, anything that you think is possible is
possible with AirTel Magic. The new brand slogan ‘Aisi azadi aur kahanhas been
Tax
above game plan Bharti is constantly coming up with newer product offerings for the
customers.
Airtel has devised common numbers for subscribers across the country for
services like customer care, food services and cinema amongst others.
• It will also launch a unified billing system across circles so, customers
moving from one place to another do not have to close and then again open new
storehouse of 40,000 frequently asked questions and their answers have been
• Bharti expects that most of its new customers (one estimate is that it
would be 60 to 70 per cent of the total new subscriber base) would come from
the pre-paid card segment. So, they must be given value-added products and
• Bharti, for the first time for a cellular operator, has decided to offer
roaming services even to its pre-paid customers, but the facility would be
limited to the region in which they buy the card. To ensure that customers don’t
migrate to other competing services (which is known as churn and ranges from
10 to 15 per cent of the customer base every month), the company is also
working on a loyalty program. This will offer subscribers tangible cash benefits
subscriber who is visiting the city will be routed directly to his mobile instead of
customers having a specialized phone with a in-built camera can take pictures
and e-mail it to friends or store it in the phone. The cost per picture is between
Rs 5 to Rs 7.
service much easier than it is today. A key area is to increase the number of
activation centers. Earlier Bharti had 250 Airtel Connect stores which were
exclusive outlets (for its services) and about 250 Airtel Points which were
kiosks in larger shops. Now activation can be done by all of them, and not only
• Pre- paid cards are really catching up with the mobile phone users and it
is actually helping the market to increase. First, they are easier to obtain and
convenient to use. Unlike post-paid, one need not pay security deposits for
user to renew his subscription by just swiping a card. The system will not only
save users the hassle of going out and buying a card every time it expires but
also enable mobile companies to reduce the cost of printing and distributing
cards.
doorsteps. The company is also joining hands with local grocery shops which
will enable users to recharge their cards by just making a phone call to the shop.
enhance the value proposition for its pre-paid service. They are leveraging
• Bharti Cellular has also launched a special service, CareTouch, for high-
value, corporate customers, providing them with instant, single-point access for
any assistance they require. Customers can dial 777 and enjoy a slew of
services, which includes easier payment of bills, service on priority basis, and
ensuring that they save time. Dedicated ‘CareTouch’ executives are expected to
assist customers with any service on priority basis. Besides the regular proactive
reminder calls for bill payment, customers can also call CareTouch for bill
• AirTel presented MTV Inbox; the first ‘on-air’ SMS based interactive
music dedication show exclusively for AirTel and AirTel Magic customers.
First, brand building efforts in today’s context have to be seen in a more holistic
manner. Delivering value on a sustained basis is perhaps the most potent key to build a
Unflinching orientation to customer needs is the second key success factor. Customers
(be it for industrial products or consumer goods and services) across the world are more
informed and, at the same time, becoming more individualistic in their needs and far
customer needs, and then reacting in “real-time” are essential to attract and retain
customer loyalty — a key element of creating brand equity in the present situation.
Customizing the product (and communication of its benefit) to meet the specific needs
appreciation.
As far as allocation of time and financial resources are concerned, too many companies
is not to say that advertising and promotion are less relevant. On the contrary, with
more choices and higher media clutter, businesses need to budget for an increasingly
higher spend on their brand promotion but this has to be undertaken in tandem with
The positive spin to this argument is that by first addressing the fundamentals, the
enterprise itself becomes more competitive. This can be the beginning of a virtuous
cycle wherein brand equity continues to increase as the enterprise sustains delivery of
It is, however, crucial to note that in the years to come, not only will the cost of
building a regional or a national (or an international) brand will continue to rise but also
the time taken to do so will be longer and will need sustained and focused efforts.
FINDINGS AND ANALYSIS
AGE GROUP
28-35 15-21
20% 15%
21-28
65%
years are the ones who are the maximum users of mobile phones. This segment is the
one which gives maximum business to the mobile operators. This segment constitutes
the young executives and other office going people. They are 65% of the total people
who were interviewed. The next age group are the people who are 28-35 years old.
They are 20% of the total. They are those who are at home or have small business units
etc. And the next age group is the youngest generation who are 15-21 years old. They
are school and college going students and carry mobile phones to flaunt. They are 15%
Occupation Graph
OCCUPATION
10% 15%
20%
55%
As the above graph shows that 55% of the total people interviewed are working. So,
these people are the ones who are the maximum users of mobile phones. They are the
young executives, managers, Tele - callers etc. who require mobile for their official
purposes. The next category is the households, who are either housewife, small units
which operate from their homes etc. They are 20% of the whole. The next segment is
the students. They are 15% of the whole. And 10% of the whole is categories who are
the professionals.
5% 15%
30%
50%
The above graph shows a slice of 50%. These are the total no. of people who are using
Airtel. It seems that people are more aware of Airtel than any other brand. The next
popular brand is Hutch. 305 of the people interviewed had Hutch connections. The next
popular brand was Idea. 15% people had Idea connections. As it came very late in the
market when Airtel had established it self very well. So, that could be one of the
10%
60%
FULLY PARTIALLY
DISSATISFIED FULLY DISSATISFIED
As the above graph clearly shows that customer services at Airtel seems poor. 60% of
the people are dissatisfied with the customer services provided by Airtel. They are the
ones who have the maximum share in the market but they are lagging behind in the
customer services. 10% of the people were fully dissatisfied with the customer services
of Airtel. This could leave an impact on the mind of the consumer. He can even switch
over his brand. 20% of the people seemed partially satisfied with the customer services
and only 10% seem to be fully satisfied with Airtel’s customer services, which is a very
small amount.
SIM
CARD
15%
CASH
CARD
85%
Cash cards seemed quite popular among the people interviewed. 85% of the total
mobile users were having cash card connections. This means that the cash cards should
be easily and readily available in the local markets. Airtel should make sure that Magic
is available in each and every nook and corner of the market. 15% of the people were
Monthly Expense
12%
24%
Rs 600
Rs 450
Rs 200
64%
People on an average spend RS 500 per month as their mobile phone expense. 64%
people spend this amount. 24% people spend RS 300 per month as their monthly
mobile expense. And the remaining 12% had an expense more than RS 1000, they
could the ones having sim connections or having cash cards and having a lot of
NO
45% YES
55%
WLL seemed to be a new word for many of the people. 45% of the people were not at
all aware of such a technology. So, in order to get the answer for this question they
were first explained the concept. Only, 55% people knew what WLL is all about.
Awareness of WLL Players Graph
TATA
INDICOM
15%
RELIANCE
85%
Reliance was the brand which was popular amongst the interviewed people. As
Reliance had done so much advertising and has it banners and hoarding spread all over
Delhi. So, this could be one the reasons of its popularity. Tata was hardly a known
brand in this new field. Possibly, because of less promotions done by them as compared
to Reliance.
On the basis of analysis of the questionnaire I have found that the maximum no. of
people who use mobile phones is in the age group of 20 to 28. Who are the young
spend money side by side than to spend money at the end of the month on a big bill.
Now when I compared Airtel with its competitor from the point of view of the
consumer I found that on the basis of Tariff plan, value added services and billing
accuracy Airtel is at par or ahead of its competitor but in the case of customer care and
availability they lag behind there competitors. As, Airtel has a hold in the market
because it has the maximum no. of connections, so it must improve upon it customer
services. As far as WLL is concerned people are aware about it but not many people
are aware about Tata. They only know more about Reliance. People at this point of
Following are the few suggestions to AIRTEL for improving the market share and
1. PRODUCT
*Modification must be brought about in AIRTEL, in terms of quality. Its
2. PLACE
* The brands must be made available easily in, PCO & general stores.
3. PROMOTION
*Company must undertake extensive promotional activities like advertisements
*Free samples should be distributed among the prospects. Sales promotion tools
like gifts, contests and coupons must be given to retailers as well as customers
and prospects.
* Catalogues should be distributed among customers.
SWOT ANALYSIS
Strengths
• Being one of the largest companies in India the company has achieved a
distribution network.
financial authority.
• The company‘s bottom line falls victim to the bloated and highly paid
Weakness:
Opportunities:
• The company's financial performance can receive a major boost from its
• Airtel’s business has ample scope for gaining market share from the
about growth.
Threats
FMCG majors and for Airtel also it will be difficult to maintain historical
raw materials would have significant impact on costs and margins of the
company.
I have made following recommendation to the company after doing the summer
training there:
• The company should modify its credit policy as they only target the cash paying
customers who are not easy to trace.
• The company should emphasis more on the quality of Pharmaceuticals Products
it was mostly claimed by the exporters that their receipts from company doesn’t
matches with the sample’s quality shown before giving orders.
• The company should makes its marketing strategy flexible enough in order to
face competition.
• The company should keep an eye on the proper delivery of the goods to
exporter on time, as it has been recommended by exporters to make the delivery
on time.
• The company rate policy must be flexible enough to catch new customers
because if company offers lower price to a new customer then he may continue
buy the goods and can be a permanent customer for the company.
• The company should offers such rate in the market so that it may able to catch a
biger market share and it should be able to compete with the local traders and
commission agents while having a brand name.
The company should take the opinion of exporters from time to time to know what
problems they are facing from the company’s side? And if any change they require in
present supplying condition?
LIMITATIONS
No project is without limitations and it becomes essential to figure out the various
constraints that we underwent during the study. The following points in this direction
1. During the study, on many occasions the respondent groups gave us a cold
shoulder.
2. The respondents from whom primary data was gathered any times displayed
complete ignorance about the complete branded range, which was being studied.
study.
8. Some retailers did not answer all the questions or do not have time to answer.
CONCLUSION
After analyzing the findings of the research, I can conclude that Airtel lagged behind
its competitors as far as customer service and availability is concerned. The maximum
no. of people who use the mobile is in the age group of 20 to 28. Cash cards are the
most popular type of mobile connections, as they are consumer friendly and recharging
Maximum no. of people spends RS 500 on their connections. As Airtel is the only
company having the maximum no of mobile connections so it must seriously look into
As we know that now airtel has already launched its product with logo “’ Aisi azaadi
aur kahan”’ has already became popular in market. So we can say that inspite of so
many competitor in the market Airtel is having a good position just because every time,
In this project report, while finalizing and for analyzing quality problem in details the
following Books, Magazines/Journals and Web Sites have been referred. All the
material detailed below provides effective help and a guiding layout while designing
Books :
Websites:
www.airtelworld.com
www.google.com
www.india.com
Magazines:
Dear Sir/Madam
Q.1 For how long you have been using Airtel Product?
0-2 Years
2-5 Years
5-10 Years
More than 10 years
Yes
No
Idea
Hutch
Airtel
Yes
No.
Q.6 If yes, which sources are used?
Magazines
Dealers
Sales Executives
Operators reference
Pamphlets and catalogue
Reference from friends and relatives
Any other
Q.7 What are the features you look for in a product before making purchase
decision? Give preferences (1-Highest, 6- least)
Brand credibility
Price and Discount
After sales services and parts, network
Value for money
Vehicle performance
Add on features or ergonomics of design
Q.8. Which of these marketing / sales schemes attracts you while purchasing any
connection?
Good Network
Discount scheme
Service package
Any other
Q.9 If you have to purchase a new connection or product in near future, which
Brand will you go for and why?
_________________________________________________
_________________________________________________
_________________________________________________
Q.10 Are you aware of various promotional activities being run by Airtel, if yes
then how? Are you satisfied with these promotional activities?
Very Satisfied Somewhat Not
Satisfied Satisfied satisfied
Customer Care
By Ad Films
By Camp
24 hrs call center services
Q.11 How would you rate Airtel performance as your expectation on 5 points
scale (5 Highest)
1 2 3 4 5
After Sale service
Maintenance
Product as per expectation
Q.12 What are you suggestions for improving the product quality, service availability
and parts availability?
________________________________________________________________
________________________________________________________________
________________________________________________________________
____
DECLARATION
I hereby declare that I have carried out Summer Training Project on the topic entitled
“Market performance of Airtel Industry from New Delhi”
I further declare that this project work is based on my original work and no part of this
project has been published or submitted to anybody.
SUSHANT GILL
Acknowledge
ment
Preface
Executive
Summary
Objective
of the
Study
Research
Methodolo
gy
Introducti
on
Company
Profile
Findings
and
Analysis
Suggestio
ns
SWOT
Analysis
Recommendation
Limitatio
ns
Conclusio
n
Bibliograp
hy
Questionnai
re