Sales Promotions Hyundai Arun

IDEA CELLULAR LIMITED
INTRODUCTION
Customer satisfaction, a business term, is a measure of how products and
services supplied by a company meet or surpass customer expectation. It is seen as a key
performance indicator within business and is part of the four perspectives of a Balanced
Scorecard.
In a competitive marketplace where businesses compete for customers, customer
satisfaction is seen as a key differentiator and increasingly has become a key element of
business strategy
Measuring customer satisfaction
Organizations are increasingly interested in retaining existing customers while
targeting non-customers, measuring customer satisfaction provides an indication of how
successful the organization is at providing products and/or services to the marketplace.
Customer satisfaction is an ambiguous and abstract concept and the actual
manifestation of the state of satisfaction will vary from person to person and
product/service to product/service. The state of satisfaction depends on a number of both
psychological and physical variables which correlate with satisfaction behaviors such as
return and recommend rate. The level of satisfaction can also vary depending on other
options the customer may have and other products against which the customer can
compare the organization's products.
1
Sri Kalahastiswara Institute Of Information & Management Sciences
Because satisfaction is basically a psychological state, care should be taken in
the effort of quantitative measurement, although a large quantity of research in this area
has recently been developed. Work done by Berry, Brodeur between 1990 and 1998
defined ten 'Quality Values' which influence satisfaction behavior, further expanded by
Berry in 2002 and known as the ten domains of satisfaction. These ten domains of
satisfaction include: Quality, Value, Timeliness, Efficiency, Ease of Access,
Environment, Inter-departmental Teamwork, Front line Service Behaviors, Commitment
to the Customer and Innovation. These factors are emphasized for continuous
improvement and organizational change measurement and are most often utilized to
develop the architecture for satisfaction measurement as an integrated model. Work done
by Parasuraman, Zeithaml and Berry between 1985 and 1988 provides the basis for the
measurement of customer satisfaction with a service by using the gap between the
customer's expectation of performance and their perceived experience of performance.
This provides the measurer with a satisfaction "gap" which is objective and quantitative
in nature. Work done by Cronin and Taylor propose the "confirmation/disconfirmation"
theory of combining the "gap" described by Parasuraman, Zeithaml and Berry as two
different measures (perception and expectation of performance) into a single
measurement of performance according to expectation. According to Garbrand, customer
satisfaction equals perception of performance divided by expectation of performance.
The usual measures of customer satisfaction involve a survey with a set of
statements using a Likert Technique or scale. The customer is asked to evaluate each
statement and in term of their perception and expectation of the performance of the
organization being measured.
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Definition:
Customer satisfaction
The degree to which there is match between the customer's expectations of
the product and the actual performance of the product.
The broad definition of services implies that intangibility is a key determinant of
whether an offering is a service. While this is true, it is also true that very few products
are purely intangible or totally tangible. Instead, services tend to be more intangible than
manufactured products, and manufactured products tend to be more tangible than
services. For example, the fast-food industry while classified as a service, also has many
tangible components such as the food" the packaging, and so on. Automobiles, while
classified within the manufacturing sector, also supply many intangibles, such as
transportation. Throughout this text, when we refer to services we will be assuming the
broad definition of services and acknowledging that there are very few "pure services,, or
"pure goods." The issues and approaches we discuss are directed toward those offerings
that lie on the right side, the intangible side, of the spectrum.
As suggested earlier, intangibles arc not produced only in the service sector of the
economy. Manufacturers such as Boeing Airplane Company and Ford Motor Company
also produce products on the right end of the spectrum, both for sale to external
consumers and to support internal production processes. For example, Boeing has
provided consulting services and demand forecasting services for its airline customers.
And within Boeing large departments (such as data processing and legal services) provide
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Internal services to the organization.
Trends in the Service Sector
Although we often hear and read that many modern economies are dominated by
services, the United States and other countries did not become service economies
overnight. As early as 1929,55 percent of the working population was employed in the
service sector in the united States, and approximxely 54 percent of the gross national
product was generated by services in 1948. That the trend toward services has continued,
until in 1999 services represented 78 percent of the gross domestic product (GDP) and 80
percent of employment. Note also that these data do not include internal services provided
within a manufacturing company (such as IBM or Boeing) or services that these
manufacturers sell externally.
CUSTOMER EXPECTATIONS OF SERVICE
Customer expectations are beliefs about service delivery that function as standards
of reference points against which performance is judged. Because customers compare
their perceptions of performance with these reference points when evaluating service
quality, thorough knowledge about customer expectations is critical to services marketers.
Knowing what the customer expects is the first and possibly most critical step in
delivering quality service. Being wrong about what customers want can mean losing a
customer's business when another company hits the target exactly. Being wrong can also
mean expending money, time, and other resources on things that don't count to the
customer. Being wrong can even mean not surviving in a fiercely competitive market.
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Among the aspects of expectations that need to be explored and understood for
successful services marketing are the following: What types of expectation standards do
customers hold about services? What factors most influence the formation of these
expectations? what role do these factors play in changing expectations? How can a
service company meet or exceed customer expectations.
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FACTORS THAT INFLUENCE CUSTOMER EXPECTATIONS OF
SERVICE
Because expectations play such a critical role in customer evaluation of services,
marketers need and want to understand the factors that shape them. Marketers would also
like to have control over these factors as well. But many of the forces that influence
customer expectations are uncontrollable. In this section of the chapter we try to separate
the many influences on customer expectations.
Sources of Desired Service Expectations
The two largest influences on desired service level are personal needs and
philosophies about service. Personal needs those states or conditions essential to the physical
or psychological well-being of the customer, are pivotal factors that shape what we desire in
service. Personal needs can fall into many categories, including physical, social,
psychological, and functional. A fan who regularly goes to baseball games right from work,
and is therefore thirsty and hungry hopes and desires that the food and drink vendors will pass
by his section frequently, where as a fan who regularly has dinner elsewhere has a low or zero
level of desired service from the vendors. A customer with high social and dependency needs
may have relatively high expectations for a hotel's ancillary services, hoping, for example,
that the hotel has a bar with live music and dancing. The effect of personal needs on desired
service is illustrated by the different expectations held by two business insurance customers:
Some customers are more demanding than others, having greater sensitivity to,
and higher expectations of, service. Enduring service intensifiers are individual, stable
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factors that lead the customer to a heightened sensitivity to service. One of the most
important of these factors can be called derived service expectations, which occur when
customer expectations are driven by another person or group of people. A niece from a
big family who is planning a 90th birthday party for a favorite aunt is representing the
entire family in selecting a restaurant for a successful celebration. Her needs are driven in
part by the derived expectations from the other family members. A parent choosing a
vacation for the family, a spouse selecting a home-cleaning service.
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CUSTOMER SATISFACTION
What is Customer Satisfaction?
Everyone knows what satisfaction is, until asked to give a definition' Then, it
seems’ nobody knows. This quote from Richard L. Oliver, respected expert and longtime
writer and researcher on the topic of customer satisfaction, expresses the challenge of
defining this most basic of customer concepts. Building from previous definitions' Oliver
offers his own formal definition:
“Satisfaction is the consumer's fulfillment response. It is a judgment that a product
or service feature, or the product or service itself, provides a pleasurable level of
consumption-related fulfillment.”
In less technical terms, we translate this definition to mean that satisfactorily is the
customers' evaluation of a product or service in terms of whether that product or service
has met their needs and expectations. Failure to meet needs and expectations is assumed
to result in dissatisfaction with the product or service’
In addition to a sense” of fulfillment in the knowledge that one's needs have been
met, satisfaction can also be related to other types of feelings, depending on the particular
context or type of service. For example, satisfaction can be viewed as contentment-more.
of a passive response that consumers may associate with services they don't think a lot
about or services that they receive routinely over time' Satisfaction may also be associated
with feelings of pleasure for services that make the consumer feel good or are associated
with a sense of happiness. For those services that really surprise the consumer in a
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positive way, satisfaction may mean delight. And in some situations, where the removal
of a negative leads to satisfaction, the consumer may associate a sense of relief with
satisfaction.
It is also important to recognize that although we tend to measure consumer
satisfaction at a particular point in time as if it were static, satisfaction is a dynamic,
moving target that may evolve over time, influenced by a variety of factor’s. Particularly
when product usage or the service experience takes place over time, satisfaction maybe
rightly variable depending on which point in the usage or experience cycle one is
focusing on. Similarly, in the case of very new services or a service not previously
experienced, customer expectations may be barely forming at the point of initial purchase,
these expectations will solidify as the process unfolds and the consumer begins to form
his or her perceptions. Through the service cycle the consumer may have a variety of
different experiences, some good, some not good-and each will ultimately impact
satisfaction.
What Determines Customer Satisfaction?
Customer satisfaction is influenced by specific product or service features and by
perceptions Of quality as suggested by Figure 4.1. Satisfaction is also influenced by
customers' emotional responses, their attributions, and their perceptions of equity.
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Product and Service Features
Customer satisfaction with a product or service is influenced significantly by the
customer's evaluation of product and services features. For a service such as a resort
hotel, important features might include the pool area, access to golf facilities, restaurants,
room comfort and privacy, helpfulness, and courtesy of staff, room price, and so forth. In
conducting satisfaction, studies, most firms will determine through some means (often
focus groups) what the important features and attributes are for their service and then
measure perceptions of those features as well as overall service satisfaction. Research has
shown that customers of services will make trade-offs among different service features
(for example, price level versus quality, versus friendliness of personnel versus level of
customization), depending on the type of service being evaluated and the criticality of the
service.
Consumer Emotions
Customers' emotions can also affect their perceptions of satisfaction -with
products and services. These emotions can be stable, preexisting emotions-for example,
mood state or life satisfaction. Think of times when you are a very happy stage in your
life (such as when you are on vacation), and your good, happy mood and positive frame
of mind have influenced how you feel about the services you experience. Alternatively,
when you are in a bad mood your negative feelings may carry over into how you respond
to services, causing you to overreact or respond negatively to any little problem.
Specific emotions may also be induced by the consumption experience itself,
influencing a consumer's satisfaction with the service. Research done in a river-rafting
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context showed that the river guides had a strong effect on their customers' emotional
responses to the trip and that those feelings (both positive and negative) were linked to
overall trip satisfaction. positive emotions such has, happiness pleasure, elation, and a
sense of warm-heartedness enhanced customers' satisfaction with the rafting trip. In turn,
negative emotions such as sadness, sorrow, regret, and anger led to diminished customer
satisfaction. Overall, in the rafting context, positive emotions had a stronger effect than
negative ones. Similar effects of emotions on satisfaction were found in a Finnish study
that looked at consumers' satisfaction with a government labor bureau, service.l6 In that
study, negative emotions including anger, depression, guilt, and humiliation had astrong
effect on customers, dissatisfaction ratings.
Attributions for Service Success or Failure
Attributions-the perceived causes of events-influence perceptions of satisfaction
as well. When they have been surprised by an outcome (the service is either much better
or much worse-than expected), consumers tend to look for the reasons, and their
assessments of the reasons can influence their satisfaction' For example, if a customer of a
weight-loss organization fails to lose weight as hoped for, she will likely search for the
for the causes –was it something she did, was the diet plan ineffective, or did
circumstances simply not allow her to follow the diet regimen-before determining her
level of satisfaction or dissatisfaction with the weight-loss company. For many services
customers take at least partial responsibility for how things turn out.
Even when they don't take responsibility for the outcome, customer satisfaction
may be influenced by other kinds of attributions. For example, in research done in a travel
agency context it was found that customers were less dissatisfied with a pricing error
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made by the agent if they felt the reason was outside the agent's control or if they felt it
was a rare mistake, unlikely to occur again.
Perceptions of Equity or Fairness
Customer satisfaction is also influenced by perceptions of equity and fairness.2o
Customers ask them selves: Have I been treated fairly compared with other customers'?
Did other customers get better treatment, better prices, or better quality service? Did I pay
a fair price for the service? Was I treated well in exchange for what I paid and the effort I
expended? Notions of fairness are central to customers' perceptions of satisfaction with
products and services. The example of Sears Auto Centers division illustrates consumers'
strong reactions to unfair treatment. Over a decade ago the division was charged with
defrauding customers in 44 states by performing unnecessary repairs. Sears employees
had been rewarded based on the quantity of repairs sold resulting in substantial
unnecessary charges to customers. The $27-million Sears paid settling complaints and the
additional loss of business all resulted from extreme dissatisfaction of its customers over
the unfair treatment.
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Other Consumers, Family Members, and Coworkers
In addition to product and service features and one's own individual feelings and
beliefs, consumer satisfaction is often influenced by other people.22 For example,
satisfaction with a family vacation trip is a dynamic phenomenon, influenced by the
reactions and expressions of individual family members over the duration of the vacation.
Later, what family members express in terms of satisfaction or dissatisfaction with the
trip will be influenced by stories that are retold among the family and selective memories
of the events. Similarly, the satisfaction of the rafters in Figure 4.2 is certainly influenced
by individual perceptions, but it is also influenced greatly by the experiences, behavior,
and view's of the other rafters. In a business setting, satisfaction with a new service or
technology-for example, a new customer relationship management software service-will
be influenced by individuals' personal experiences with the software itself, but also by
what others say about it in the company, how others use it and feel about it, and how
widely it is adopted in the organization. In Chapter 12 we will come back to this topic as
we look at strategies for involving and managing other consumers to maximize
satisfaction in the service experience.
National Customer Satisfaction Indexes
Because of the importance of customer satisfaction to firms and overall quality of
life, many countries how have a national index that measures and tracks customer
satisfaction at a macro level.23 Many public policymakers believe that these measures
could and should be used as tools for evaluating the health of the nation's economy, along
with traditional measures of productivity and price. Customer satisfaction indexes begin
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to get at the quality of economic output, whereas more traditional economic indicators
tend to focus only on quantity. The first such measure was the Swedish Customer
Satisfaction Barometer introduced in 1989. Through out the 1990s similar indexes were
introduced in Germany (Deutsche Kundenbarometer, or DK, in 1992), the United States
(American Customer Satisfaction Index, ACSI, in 1994), and Switzerland (Swiss Index of
Customer Satisfaction, SWICS, in 1998).
The American Customer Satisfaction index (ACS...)
The ACSI, developed by researchers at the National Quality Research Center at
the University of Michigan, is a measure of quality of goods and services as experienced
by consumers. The measure tracks customer perceptions across 200 firms representing all
major economic sectors, including government agencies. Within each industry group,
major industry segments are included" and within each industry the largest companies in
that industry are selected to participate. For each company approximately 250 interviews
are conducted with current customers. Each company receives an ACSI score computed
from its customers' perceptions of quality, value, satisfaction, expectations, complaints,
and future loyalty.
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REVIEW OF RELATED LITERATURE
MARKETING:
Marketing is a social process by which individuals and groups obtain what they
need and want through creating, offering and freely exchanging product and services of
value with others.
MARKETING MANAGEMENT:
Marketing m management is the process of planning and executing the
conception, pricing, promotion of ideas, goods and services to create exchanges that
satisfy individuals and organization goals.
MARKETING MIX:
Marketing mix is the set of controllable tactical marketing tools that the firm
blends to produce the response it wants in the target market. Four factor classifications of
these tools are called the four P’s: product, price, place and promotion.
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PRODUCT:
Product is the firm’s tangible offer to the market, which includes the product
quality, design, branding and packaging.
PRICE:
Price is the amount of money the customers have to pay to obtain the product
PLACE:
Place makes the product of the company available to target customers.
PROMOTION:
Promotion includes all the activities of the company undertake to communicate
and promote its product to the target market. It consists of advertising, sales promotion,
public relation etc.
BRAND:
Brand is the name, term, sign, symbol of design or a communication of there
intended to identify the goods and services of one seller or group of seller and to
differentiate them from those of competitors.
BRAND IMAGE:
It is nothing but the set of benefits to` consumers hold about a particular brand.
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ADVERTISING:
Any paid from of non-personal presentation and promotion of ideas, goods or
services by an identified sponsor.
MARKET DEMAND:
Market demand for a product is the total volume that would be bought by a
defined customer group in a defined geographical area in a defined time period marketing
environment under a defined marketing program.
MARKET POTENTIAL:
The market forecast shows expected demand, not maximum market demand. For
the latter, we have to visualize the level of market demand resulting from a very high
level of industry marketing expenditure, where further increases in marketing effort
would be little effect in stimulating further demand. Market potential is the limit
approached by market demand as industry marketing expenditures approach infinity for a
given marketing environment.
COMPANY DEMAND:
It is the company’s estimated share of market demand at alternative levels of
company marketing effort in a time period. The company’s share of market demand
depends on how its products, services, prices, communications, and so on are perceived
relative to the competitor
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COMPANY SALES FORECAST:
It is the expected level of company sales based on a chosen marketing plan and an
assumed marketing environment.
COMPANY SALES POTENTIAL:
Company sales potential is the sales limit approached by company demand as
company-marketing effort increases relative to that of competitors.
Marketing executives want to estimate total market potential, area market
potential, and total industry sales and market shares.
TOTAL MARKET POTENTIAL
It is the maximum amount of sales that might be available to all the forms in an
industry during a given period ‘under a given level of industry marketing effort and
environmental conditions.
AREA MARKET POTENTIAL
Companies face the problem of selecting the best territories and allocating their
marketing budget optimally among the best territories. Therefore, they need to estimate
the market potential of different cities, states and nations.
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INDUSTRY SALES AND MARKET SHARES
Besides estimating total potential and area potential, a company needs to know the
actual industry sales taking place in its market. This means identifying its competitors and
estimating their sales.
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NEED FOR THE STUDY
IDEA has good market standing and company’s tariff plans and services level are
good, which are largely responsible for its position. IDEA has to sustain its position
against the expected stiff competition. The company has to know its customer perception,
the satisfaction level and also its competitor’s customer satisfaction level and problems,
which are facing their customers in order to take appropriate action. Hence, the study
titled “A STUDY ON CUSTOMER SATISFACTION TOWARDS IDEA
CELLULAR SERVICES IN SRI KALAHASTHI” has been undertaken.
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OBJECTIVES OF THE STUDY
 To know the satisfactory level of the customers about IDEA Cell Phone
services.
 To find out the percentage of respondents connected to IDEA and usage of
schemes.
 To know the easy availability of recharge coupons.
 To find out the priority the reason for using IDEA Cell Service.
 To find out that how staff behavior is?
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SCOPE OF THE STUDY
In today’s context both markets and marketing is complex. Cellular Phones and
mobiles have stormed the market in its fast growing world of technology. This survey
under taken for Cell Phone services will enable it to Phone. The user’s awareness and
satisfaction level towards IDEA Cell Phone services.
This survey gathers information from Cell Phone users. It brings out the
customer feedback on the product.
Mainly this survey looks into the users profile and check for any relevant
relation of dependence with the variable like occupation age group of respondents.
This study restricts itself to SRI KALAHASTHI Division. It helps to understand
user’s preference for the main competing brands of Cell Phone services like IDEA
CELLULAR SERVICES,TATA DOCOMO,UNINOR, VODAFONE, MTS and
RELIANCE in. Sri Kalahasti. This will benefit company in making their future marketing
decisions.
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RESEARCH METHODOLOGY
MEANING OF RESEARCH:
According to D. Stephenson in the Encyclopedia of social sciences defines
research as” the manipulation of thing, concepts are symbols for the purpose of
generalizing to extend, correct or verify knowledge, whether that knowledge aids in
construction of theory or in practice of an art.”
RESEARCH DESIGN:
Research Methodology include seven stages that to be followed sequentially.
Those are listed below.
1. First the problem has to be defined and determined. Knowing the need of
the study can do this.
2. The information that is required for solving the problem has to be
specifically defined.
3. In this stage source from which the information can be obtained is
identified
4. The next step is to obtain information through data collection techniques.
5. The obtained information is processed to get the required output
6. The findings from the processed information are then interpreted.
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7. Lastly the findings are presented.
This can be symbolically represented as shown below
DETERMINE THE PROBLEM
SPECIFY THE INFORMATION NEEDED
IDENTIFY THE SOURCE OF INFORMATION
OBTAIN THE INFORMATION
PROCESS THE INFORMATION
INTERPRET THE INFORMATION
PRESENT THE FINDINGS
The research design is the basic framework that provides guidelines for the rest of
the research process. The research design specifies the method of data collection and
analysis.
Research was undertaken in SRI KALAHASTHI during JUNE 2010 to AUGUST
2010.
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2) DATA SOURCES:
Data sources are the sources from which we get the information.
Data collected through company approved questionnaires have been used as the
primary source of data and also usage of secondary data wherever applicable.
PRIMARY DATA
To understand the customer of newspaper in terms of brand choice and brand
perceptions, primary data is necessary. By using primary data, collection method,
consumers were collected. (COLLECT or Gather consumer responses).
This was done with the help of fully prepared structured questionnaires with a
prescribed sequence of open ended, and closed ended questions, multiple choices,
discriminate, rating and ranking to capture the appropriate responses from the
respondents.
SECONDARY DATA
This was collected through oral communication. Secondary data about the
company profile and other details were collected from the company brochures through
personal discussions with the company managers .Data pertaining to newspaper industry
has been obtained through the book “The Mass Media and You “by Desmond A.D.
Abcro.
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SAMPLING PROCEDURE
A sample of 120 respondents belonging to different areas in SRI
KALAHASTHI was drawn. The sample was divided into different groups in such a way
that it will represent different categories of the people.
SAMPLING TECHNIQUE
The location was chosen on a random basis. Even this sample was chosen by
simple random sampling. A sampling technique in which every element of the population
of interest has an equal probability of being included in this sample.
POPULATION:
All the Customers of IDEA have been deemed as the population of the study.
SAMPLE SIZE
The sample size is 120, and the respondents are from SRI KALAHASTHI.
PERIOD OF STUDY
The period of study is 2 months duration (JUNE to AUGUST 2010).
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QUESTIONNAIRE DESIGN
The questionnaire is of structured type, which consists of closed ended, open
ended, Multiple Choice, and grade type of questions to suit the study.
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LIMITATIONS OF THE STUDY
 Time duration for the study was limited to 2 months.
 The study was restricted to SRI KALAHASTHI.
 A convenience sample was taken from SRI KALAHASTHI and the sample was
restricted to 120 customers.
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OVERVIEW OF THE CHAPTER SCHEME
CHAPTER 1: Deals to the study of introduction
CHAPTER 2: Deals with Design of the study.
CHAPTER 3:Consist of Industry profile,
Company profile,
Product profile.
CHAPTER 4: Deals with Data analysis & Interpretations.
CHAPTER 5: Consist of Findings & Suggestions.
CHAPTER 6: Deals with Conclusion.
Consist of Annexure.
Consist of Bibliography.
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INDUSTRY PROFILE
India is the fourth largest telecom market in Asia after China, Japan and South
Korea. The Indian telecom network is the eighth largest in the world and the second
largest among emerging economies. At current levels, telecom intensiveness of Indian
economy measured as the ratio of telecom revenues to GDP is 2.1 percent as compared
with over 2.8 percent in developed economies. Indian telecom sector has undergone a
major process of transformation through significant policy reforms. The reforms began in
1980s with telecom equipment manufacturing being opened for private sector and were
later followed by National Telecom Policy (NTP) in 1994 and NTP'1999.
Historically, the telecom network in India was owned and managed by the
Government considering it to be a natural monopoly and strategic service, best under
state's control. However, in 1990's, examples of telecom revolution in many other
countries, which resulted in better quality of service and lower tariffs, led Indian policy
makers to initiate a change process finally resulting in opening up of telecom services
sector for the private sector.
India's telecom sector has shown massive upsurge in the recent years in all
respects of industrial growth. From the status of state monopoly with very limited growth,
it has grown in to the level of an industry. Telephone, whether fixed landline or mobile, is
an essential necessity for the people of India. This changing phase was possible with the
economic development that followed the process of structuring the economy in the
capitalistic pattern. Removal of restrictions on foreign capital investment and industrial
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de-licensing resulted in fast growth of this sector. At present the country's telecom
industry has achieved a growth rate of 14 per cent. Till 2000, though cellular phone
companies were present, fixed landlines were popular in most parts of the country.
With government of India setting up the Telecom Regulatory Authority of India,
and measures to allow new players country, the featured products in the segment came in
to prominence. Today the industry offers services such as fixed landlines, WLL, GSM
mobiles, CDMA and IP services to customers. Increasing competition among players
allowed the prices drastically down by making the mobile facility accessible to the urban
middle class population, and to a great extends in the rural areas. Even for small
shopkeepers and factory workers a phone connection is not an unreachable luxury.
Major players in the sector are BSNL, MTNL, Bharti Teleservices, Hutchison Essar,
BPL, Tata, Idea, etc. With the growth of telecom services, telecom equipment and
accessories manufacturing has also grown in a big way.
Fixed-line Telephony
 Public Players Subscribers
 Private Players Subscribers
Mobile Telephony
 Public Players Subscribers
 Private Players subscribes
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Internet:
 Investment
The Indian telecom sector can be broadly classified into Fixed Line Telephony
and mobile telephony. The major players of the telecom sector are experiencing a fierce
competition in both the segments. The major players like BSNL, MTNL, VSNL in the
fixed line and IDEA CELLULAR SERVICES, Hutch, Idea, Tata, Reliance in the mobile
segment are coming up with new tariffs and discount schemes to gain the competitive
advantage. The Public Players and the Private Players share the fixed line and the mobile
segments. Currently the Public Players have more than 60% of the market share.
Market shares of public and Private Players
Both fixed line and mobile segments serve the basic needs of local calls, long
distance calls and the international calls, with the provision of broadband services in
the fixed line segment and GPRS in the mobile arena. Traditional telephones have been
replaced by the codeless and the wireless instruments. Mobile phone providers have
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also come up with GPRS-enabled multimedia messaging, Internet surfing, and mobile-
commerce. The much-awaited 3G mobile technology is soon going to enter the Indian
telecom market. The GSM, CDMA, WLL service providers are all upgrading themselves
to provide 3G mobile services.
Along with improvement in telecom services, there is also an improvement in
manufacturing. In the beginning, there were only the Siemens handsets in India but now a
whole series of new handsets, such as Nokia's latest N-series, Sony Ericsson's W-series,
Motorola's PDA phones, etc. have come up. Touch screen and advanced technological
handsets are gaining popularity. Radio services have also been incorporated in the mobile
handsets, along with other applications like high storage memory, multimedia
applications, multimedia games, MP3 Players, video generators, Camera's, etc. The value
added services provided by the mobile service operators contribute more than 10% of the
total revenue.
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The leading cellular service providers have the following number of subscribers
Service Provider No of CDMA Subscribers No. of GSM Subscribers
Reliance 2.75 crores 1.03 crores
Tata 1.07 crores
IDEA CELLULAR 8.88 crores
SERVICES
MTNL 40.03 lakhs
BSNL 4.27 crores
vodafone 6.33 crores
Idea 4 crores
Spice 25.56 lakhs
BPL 20.07 lakhs
Aircel 1.03 crore
IDEA CELLULAR SERVICES has the largest customer base with 31% market
share, followed by Hutch and BSNL with each holding 22% market share.
The 2009 budget has brought further relief to the customers with the reduction in
the tariffs, both local and long distance, and with slashing down the roaming rentals.
This is likely to lead to even more people going for cellular services and more and more
use of the value added services. However, landline telephony is likely to remain popular,
too, in the foreseeable future. MTNL, the largest landline service provider, has recently
taken some bold initiatives to retain its market share and, if possible, expand it.
Policy reforms can be broadly classified in three distinct phases

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"The Decade of 1980's saw private sector being allowed in telecommunications
equipment manufacturing. Mahanagar Telephone Nigam Limited (MTNL) and Videsh
Sanchar Nigam Limited (VSNL) were formed and a Telecom Commission was set up to
give focus to telecommunications policy formation.
“In 1990s, telecommunications sector also benefited from the general opening up
of the economy. NTP 1994 was the first attempt to give a comprehensive roadmap for the
Indian telecommunications sector.
• Availability of telephones on demand (targeted by 1997)
• Universal service covering all villages and one PCO per 500 persons in
urban areas at the earliest (targeted to be achieved by 1997)
• Telecom services at affordable and reasonable prices
• World standard quality of services
The Indian Telecom Sector:
• Telecommunication Services
• Telecommunication Equipment
Telecommunication Services
Telecommunication services include Basic service, Cellular service, and Internet
Service Provider (ISP) and Very Small Aperture Terminal (VSAT) services. Government
of India (GOI) plans to introduce a unified license for all telecommunication services in
India, and has already allowed full mobility to wireless in local loop (WLL) operators as a
35
first step. Telecom services are growing at an approximate rate of around 5 percent per
year in terms of revenue and mere 10 % in terms of subscriber base in last five years.
Partly the result is due to negative growth in NLD market (-14% Rs 51,410 million from
Rs 59,880 million) and ILD market (-13% Rs 43,460 million from Rs 50,010 million) in
2003-04. Amongst telecom services, cellular services are the fastest growing, with CAGR
of 40 percent over the past four years. Telecommunications Regulatory Authority of India
(TRAI) expects that the total number of cellular connections would bypass the total
number of fixed line connections by late 2004 and early 2005. (As on March 2004
subscriber base of cellular operators is 33 million and basic operator is 42.84 million)
During the past three years, in terms of subscriber base telecommunications
services have been growing at a CAGR of nearly 22%, owing largely to the rapid increase
in cellular service subscribers.
Fixed Service Provider (FSPs)
Cellular Services
Internet Service Provider
36
Fixed Service Provider (FSPs)
Fixed line services consist of basic services, national or domestic long distance
and international long distance services. The domestic market (i.e. excluding international
revenues), has been growing more than 5 per cent annually during the past three years,
and has a current market size of Rs 30,164 crores, with a base of 43 million lines.
The state operators (BSNL and MTNL), account for almost 90 per cent of
revenues from basic services. Private sector services are presently available in 18 circles,
and collectively account for less than 5 per cent of subscriptions. However, private
services focus on the business/corporate sector, and offer reliable, high- end services,
such as leased lines, ISDN, closed user group and videoconferencing. As a result,
average-revenues-per-user (ARPU) of private operators are more than twice those of the
state-owned service providers.
The main revenue contributing value added services were NLD and ILD. The
reduction in NLD and ISD tariffs punctured the potential of the key revenue streams.
Internet telephony for ISD worsened the potential. Added to it was the phenomenal
growth rate in cellular services.
Growth Drivers
The Government has allowed unlimited competition in the basic sector.
Considering the inherent advantage of scale that the incumbent state operators have, the
private companies are setting their networks very selectively and targeting corporate
clients with value added services. The government has introduced unified license for
37
fixed and mobile service providers. This allows all phone companies to become mobile
operators by offering cellular and landline/WLL-M services under a single authorization,
ending service-specific licensing.
Indian fixed line network is likely to expand as the current low level of telephone
penetration is very low coupled with the unmet demand for connections. India's fixed line
telecom network is estimated to expand to about 47 million by March 2005 from 43
million in March 2004. The rate of growth in services revenues is however, likely to be
lower in comparison with the pace of increase in the number of fixed lines.
Cellular Services Overview
There are 25 private companies providing Cellular Services in 19 Telecom Circles
and 4 Metro cities, covering 1500 towns across the country. Presently, there are five
private service operators in each area, and an incumbent state operator. Almost 80% of
the cellular subscriber base belongs to the pre-paid segment.
Several GSM cellular service companies are climbing the EDGE bandwagon.
Hutch has already started and Bharti has made test calls on the EDGE platform and the
company is in talks with Siemens for EDGE-enabling some of its circles.
The DoT has allowed cellular companies to buy rivals within the same operating
circle provided their combined market share did not exceed 67 per cent. Previously, they
were only allowed to buy companies outside their circle.
38
Regulatory Structure
The lack of clarity in the regulatory structure has made it difficult to predict the
prospects for this industry. This uncertainty has best been typified by the issuance of a
fourth license and the controversies with reference to limited mobility players. The
Cellular Services was thrown open for third & fourth Service providers in 2002. The
number of service providers increased to 68 in the year 2002-03 from 42.
Growth Drivers
Opening up of international and domestic long distance telephony services are
growth drivers in the industry. Cellular operators now get substantial revenue from these
services, and compensate them for reduction in tariffs on airtime, which along with rental
was the main source of revenue. The reduction in tariffs for airtime, national long
distance, international long distance, and handset prices has driven demand.
Internet Service Provider
Internet has become very easily accessible with cyber cafes /kiosks increasing
their density, not only in the metro towns but also in semi-urban towns. There is no
restriction on the number of internet companies and more than 185 companies are
operational. Internet telephony has been allowed officially from 1 April 2002. The
growing demand of corporates for applications such as Electronic Commerce, internet
leased lines, ISDN, VPN etc is driving the growth of the internet services market.
39
However, the industry continues to face a number of bottlenecks in terms of regulatory
treatment of ISPs, high bandwidth prices, low PC penetration, high cost of telephone
access etc.
Telecommunication Equipment
The domestic industry is worth Rs 303,000 million and has made little progress in
comparison to the development of Telecom services in the country. The industry is faced
with two major challenges: India is being steadily opened up to the global market, as
trade restrictions are done away with, resulting in crashing ofimport duties across the
board and easy movement of goods from overseas. It is forecasted that by 2005, imported
telecom equipment will account for 75% of the Expenditure on telecom equipment in
India. Secondly, to cut down on operations costs, US, European and East Asian
multinationals are outsourcing manufacturing to cheaper destinations in Taiwan and
China. (Refer to Appendix 5 for more details on this segment).
Growth Drivers
" Growth in the telecom equipment market is expected to be driven by an
increasing demand for telecom services.
" Key players like BSNL, Bharti, Reliance, BATATA, BPL and Hutchison will
drive equipment market growth. Transmission equipment, cable and terminal equipment
are expected to drive the market in the years to come. Also switching systems will remain
a big market, with a size of around Rs 50 billion (CERC).
40
CELLULAR TECHNOLOGY
In a cellular system the geographical area is dived into adjacent. Not overlapping,
hexagonal shaped cells. Each cell has its own transmitter and receiver (called base
stations) to communicate with the mobile units in that cell; a mobile switching station
coordinates the handoff of mobile units crossing cell boundaries. Cellular system are
based on the concept of frequency reuse: the same frequency is used by several sites
which are fare enough from one another, resulting in a tremendous gain in system
capacity. The counterpart is the increased complexity both for the network and the mobile
stations, which must be able to select a station among several possibilities and the
infrastructure cost because of the number of different sites. The system hands over calls
from transmitter to transmitter as customers move around in their vehicles. This new
techniques would allow more customers access to the system simultaneously and when
more capacity which is popularly known as CELL SPLITTING. One of the most
important concepts for any cellular telephone system is that of multiple accesses meaning
that multiple simultaneous users can be supported through frequency reuse. In other
words a large number of users share a common pool of radio channels and any user can
again access to any channel (each user is not always assigned to the same channel). A
channel can be thought as merely a portion of the limited radio spectrum which is
temporarily allocated for a specific purpose, such as someone’s phone cell.
41
Cellular Architecture:-
GSM System Components
A schematic overview of the GSM system is shown in the figure given below. The
system is composed of three main elements; the switching sub-system, the base station
sub-system and the mobile. The switching part controls the communication across the
radio interface and the mobile acts as the transmitter receiver for the user.
STN
A schematic overview of the GSM System is shown in the figure given below.
The system is composed of three main elements; the switching sub-system, the base
station sub-system and the mobile. The switching part makes the connection between the
two users, the base station part controls the communication across the radio interface, and
the mobile acts as the transmitter
Mobile station
The best known part of the cellular network is certainly the mobile stations.
Different types of mobile stations are distinguished by power and application. A
significant architectural aspect of the MS relates to the concept of subscriber identity
Module (SIM). The SIM card contains a unique international Mobile subscriber identity
(ISMI) used to identify the subscriber to the system. The SIM is basically a smart card
containing the entire subscriber related information on the user’s side of the radio
interface.
42
A potential user may off course buy mobile equipment. But he may also lease
borrow the equipment or purchase it through other channels fixed mobile stations are
permanently installed in a card and may have a maximum allowed RF output of up to
20W. Portable (bag phones) can emit up to 8W and hand held portable units up to 20 with
second Generation mobile (on the market since 1993), the GSM system is becoming more
and more attractive. Hand – portable units are becoming much smaller and are coming
with numerous features on it. This is giving the system boost popularity, especially in
those markets with a particular demand for small mobiles such as in Asian and Pacific
areas.
Base station sub-system
Base station sub-system groups the infrastructure machines. Which are specific to
the radio cellular aspect of GSM. The BSS is in direct contact with the mobile station
through the radio interface. As such, it includes the machines in charge in transmission
and reception on the radio path, and the management thereof. On the other side, the BSS
is in contact with the switches of Network sub-system (NSS). The BSS includes two
types of machines.
43
BASE STATION OR BASE TRANSCEIVER STATION
The counterpart to a mobile station within a cellular network is the base
transceiver station (BTS). This is the mobiles interface to the network. Each cell site is
equipped with a BTS is usually located of radio equipment that provides coverage within
a cell. The transmitting power of the BTS is usually located in the center of a cell. A cell
site is used to refer to the physical location of radio equipment that provides coverage
within a cell. The transmitting power of the BTS determines the absolute cell size.
The BTS houses the radio transceivers that define a cell and handles the radio –
link protocols with the mobile station. BTS are placed in the field to transfer a cell to
customer’s handsets and there are between one and sixteen transceiver each of which
represents a separate RF channel.
A BTS may cover an area of 30-40 sq Kms. However in a congested, urban
location the BTS coverage is much smaller. BTS can be considered as complex radio
modems and have littler other function. A list of hardware located at a cell site includes
power sources, interface equipment, radio frequency transmitters and receivers and
antenna systems.
Base Station Controller BSC:
Base station controller is in contact with the switches of NSS. It monitors and
controls several base stations, the number of which depends of the manufacturer and can
be between several tens and several hundred of stations. A typical BSC can manage from
one BTS to the entire BTS in service area, depending on their traffic capacity. The chief
tasks of the BSC are frequency administration the control of a BTS and exchange
functions. It handles radio – channels setup, frequency hopping and handovers. The BSC
44
is the connection between the mobile station and the mobile service switching center and
is charge of all radio interface management through the remote command of the BTS and
the mobile station, mainly the allocation and release of radio channels and the handover
management. The BSC is connected on one side, to several BTSs and on the other side, to
the network and switching sub system (more appropriately to a mobile switching centre).
A BSC is in fact a small switch with substantial computations capability. The hardware of
the BSC may be located at the same side as the BTS, s its own standalone site or the site
of the Mobile switching centre (MSC). BSC and BTS together form a functional entity
some times referred to as entity some time referred to as the
Base Station sub-system
Network and switching sub-system/switching sub-system
The NSS includes the main switching functions, as well as the data basis needed
for subscriber data and mobility management. The main role of NSS is to manage the
communications between the GSM users and the other tele-communications network
users. The NSS is responsible for performing call processing and subscriber – related
functions.
Mobile service switching center
The MSC is the interface of the cellular network to the PSTN. MSC performs the
telephony switching functions of the system. It acts like a normal switching node of the
PSTN, and additionally provides all the functionality needed to handle and mobile
subscriber, such as registration authentication location updating handovers and call
45
routing to a roaming subscriber MSC is the primary switching interface between the
mobile telephone systems and the PSTN. It is capable of routing calls from the fixed
network-via the BSC and the BTS to an individual mobile station. The MSC interface
with BSS on one other side (through which it is contact with GSM users) and with the
external networks on the other. The NSSs also need to interface with the external
networks to make use of their capability to transport user data or signaling between GSM
entitles. In particular, the NSS make use of a signaling support network at least partly
external to GSM, usually referred to as the SS7 network.
Home Location Register (HLR)
The HLR is database about subscribers; it stores the identity and user data of all
the subscribers belonging to the area or related MSC. These are permanent data, such as
the international mobile subscriber number (IMSI) of an individual user, authentication
key, including a subscriber’s service profile location information activity status and some
temporary data. Temporary data on the SIM included such entries as (1) the address of the
current visitor location register (VLR). Which currently administers the mobile stations
(2) the number of which the calls must be forwarded (if the subscriber select call
forwarding), and (3) some transient parameters for authentication and ciphering.
The IMSI is permanently stored on the SIM card. The IMSI is one of the pieces of
important information used to identity a subscriber within GSM system. The first three
digits of the IMSI identify the Mobile country code (MNC). Up to ten additional digits of
the mobile subscriber identification number (MSIC) complete the IMSI.
46
Visitor Location Register
The VRL contains the relevant data of al mobiles currently located in a serving [g]
MSC. It is the database that contains temporary storing subscription data for those
subscribers currently situated in the service area of the corresponding MSC as well as
holding data on their location at a more precise level than the HLR. The VLR is always
integrated with MSC. The permanent data are the same as data found in the HLR; the
temporary mobile subscriber identity (TMSI), which is used for limited periods of time to
prevent the transmission of the IMSI serves to protect the subscriber from high –
technology of the TMSI for the IMSI Service to protect the subscriber from high –
technology intruders and helps point to the location of the mobile station through the cell
identity.
The VLR has to support the [G] MSC during a call establishment and an
authentication procedure as it furnished data specific to the subscriber. Locating
subscriber data in the VLR as well as in the HLR, reduces the data traffic to the HLR
because it is not necessary to ask for these data every time they are needed. Another
reason for strong the identical data at low different locations (in the HLR & VLR ) is the
each serves a different purpose. The HLR has to prove the GMSC with the necessary
subscriber data when a call is coming from the public network. The VLR on the other
hand serves the opposite function. Providing the host (G) MSC with the necessary
subscriber data when a call is coming from mobile station.
47
Authentication center
The Authentication center (AC) is related to the HLR. It provides the HLR with
different set of parameters to complete the authentication of a mobile station. The AC
knows exactly which algorithms it has to use for a specific subscriber in order to calculate
input values and issues to required results. Since all the algorithms for the authentication
procedures are stored within AC, they are protected against abuse. The SIM card issued in
area assigned to AC contains the same algorithms for authentication as the AC does. If
the AC provides input and output parameters for these algorithms to either the HLR or the
VLR, either location Register can verify (authenticate) the mobile station.
Equipment identity Register
The equipment identity register (EIR) is a database that contains a list of all valid
mobile equipment on the network. Where each mobile station id identified by its
international Mobile equipment identity (IMEI). An IMEI is market a invalid if it has
been reported stolen or it not type approved. Within the EIR we find all the serial
numbers of the mobile equipment that is either stolen or due to some defect in their
hardware, may not be used in a network. The idea is to check the identity at each
registration or call setup of any mobile station and then depending on its IMEI admit or
bar access of the mobile station to the system. The implementation of EIR is relatively a
new security feature of the GSM system.
48
Operation & Maintenance center
The Operation & Maintenance center (OMC) has access to both the (G) MSC and
the BSC, handless error messages coming from the network and control the traffic load of
the BSC and the BTS. The OMC configures the BTS via the BSC and allows the operator
to check the attached components of the system. As the cells become smaller and the
number of base station increases. It will not be possible in the future
49
COMPANY PROFILE
The established service areas are Delhi, Andhra Pradesh, Gujarat, Maharashtra, Haryana,
Kerala, Madhya Pradesh and Uttar Pradesh (West).
Licenses for the Maharashtra and Gujarat Service Areas were awarded in December
1995, with network rollout and commercial launch achieved in 1997. In January 2001 the
mobile operations in Andhra Pradesh Service Area were integrated with IDEA through a
merger with Tata Cellular Limited.
In June 2001, the mobile operations in Madhya Pradesh Service Area were fully
integrated with IDEA through an acquisition of RPG Cellcom Limited. In October 2001,
the license for Delhi Service Area was acquired during the fourth mobile license auction,
with network rollout and commercial launch in November 2002.
In January 2004, Escotel Mobile Communications Private Limited ("Escotel"), was
acquired with its original licenses in the Service Areas of Haryana, Uttar Pradesh (West)
and Kerala. All these Service Areas were re-branded and integrated with IDEA in June
2004.
 Call forwarding
 Call conferencing
 Call waiting and Call holding facility
 Unified Messaging Services: This provides Voice mail,
50
 Wireless Application Protocol (WAP): Surf WAP enabled websites on Internet
using
VOICE MAIL
Cell One Voice Mail Service ensures that the customers never miss their calls
even when their phone is busy, switched off, out of coverage, or the customer is simply
too busy to take the call. In such cases, Cell One VMS greets the caller and records a
message from the caller, which the customer can retrieve later at his convenience from
anywhere in the world. This is available to all post-paid customers.
VALUE ADDED SERVICES
1. SMS BASED VALUE ADDED SERVICE : SIM BASED, SHORT CODE
BASED
2. VOICE BASED VALUE ADDED SERVICE
3. GPRS/MMS:
The Cellular Mobile subscribers of IDEA who have the GPRS
subscription, now have access and download the rich content like Polyphonic ring
tones, True tones, Real tones, MP3 tones, SMS tones, Themes, Color wallpapers,
Java Games, etc thorough the website (www.cellone.in) as well as the WAP site
(wap.cellone.in). The detailed catalogue of the content can be seen either at the
above website or the WAP site.
51
4. The subscribers interested in knowing about how they can subscribe to GPRS of
IDEA need to send "GPRS" as SMS to short code "3733".
5. The subscribers who need to have the GPRS settings for activating their GPRS
subscription on their GPRS handsets can click here.
6. The Companies who are interested in becoming the partners of IDEA.
7. NEWSPAPER service: This is a new value added service under cellular
services (both prepaid and postpaid GPRS subscribers) in the name of "MOBILE
NEWSPAPER" the WAP portal of IDEA "Cell One Safari".
SMS
Mobile to Mobile Messaging is a revolutionary new means of communication that
allows Cell One mobile subscribers to send a short text message instantaneously to any
other mobile subscriber. We can type down the message and send it to any mobile. The
message can be of 160-character length including spaces, punctuation and special
characters. The system sends the confirmation about the delivery of the message to the
sender as soon as the message is delivered .If the called number is busy or out of
coverage area, the system periodically monitors the status of the called number and
sends the message as soon as it becomes active. IDEA provides national and
International SMS facility to its post and pre-paid customers at very cheap price.
52
CALL FORWARDING
In case we are in a meeting or our Cell phone is switched off, using the Call
Forwarding feature, we can forward our calls on a fixed line or a cell phone where
someone can see messages on your behalf. You can also forward an incoming call while
speaking to someone.
CALL CONFERENCE
There are times when we have wished that we could speak to a group of people
simultaneously. May be wanted to gossip with friends, or hold discussions with clients.
Now we can have the privilege of a teleconference with up to 6 people, at the punch of a
few buttons
CALL WAITING
This feature enables us to speak to two callers, one at a time, without hanging up
on either one of them. When this network service is activated, the network notifies we of
a new incoming call while we have a call in progress. If another person tries calling us
midway through a conversation, he/she will hear a message informing him/her that your
line is busy, while you will hear beeps at intervals. We can accept the second call while
putting the first call on hold.
53
UNIFIED MESSAGING ON CELLONE
1. FAX Message
2. E-Mail
3. E-Mail to Speech (ETS)
FAX-Message
This feature will enable the subscriber to sent/receive fax message. The fax can be
sent/received to/by the subscriber either through IDEA UMN account or using fax
machine.
This feature will enable the subscriber to send/receive E-mail. The subscriber has
to get IDEA UMN account for this feature.
E-Mail to Speech (ETS)
This feature will enable the subscriber to receive the Email on the mobile phone
.In order to listen E-mail messages from your voice mailbox.
54
PRODUCT PROFILE
Product Name Year Month Sales Sales Value(Rs.Million) % of STO
Quantity
Telecom Service Revenue 2010 03 0.00 118502.21 100.00
Handsets/DataCards - Traded 2010 03 0.00 0.22 0.00
Telecom Service Revenue 2009 03 0.00 98383.47 99.81
Handsets/DataCards 2009 03 92703.00 187.33
55
ANALYSIS
This chapter the percentage –based analysis of the questionnaire that has been
presented been presented before 120 respondents in order to know the customer
satisfaction towards IDEA Cellular services providers. Here the data collected through the
questionnaire has been tabulated with table interpretations and inferences drawn from the
tabulated data. This chapter forms the base for the whole study through its findings and
suggestions. This particular chapter can be states as the pivotal chapter of the whole
study.
RESULTS
Interpretation of results is the “so what?” of research. Research is wasted and
useless it influences action. So as to make effective utilization of the research, the
researcher has tried to provide suggestions so as to improve the overall satisfaction level
of customers.
The names of the books, journals, records etc.., have been given in bibliography
section at the end of the report.
56
DATA ANALYSIS
AGE
TABLE-1
AGE NO OF RESPODENTS PERCENTAGE

15-20 21 9.16
20-35 50 41.6
35-50 42 35.00
Above50 7 5.30
Total 120 100
Age
60
50
50 42
40
30 21 Respondents
20
7
10
0
15-20 20-35 35-50 Above50
years
57
INFERENCE:
Most of the cell phone users age between20-35years have taken with in 41.60%
we have observe the above table for 50 years persons having 5.4%.
58
MAJOR CUSTOMER FOR IDEA SERVICES
TABLE-2
CUSTOMERS NO.OF RESPONDENTS PERCENTAGE

STUDENTS 18 15.00
EMPLOYEES 35 29.17
BUSINES PEOPLES 55 45.84
OTHERS 12 10.00
Total 120 100
Customer for idea services
12 18
STUDENTS
EMPLOYEES
BUSINES
35 PEOPLES
55
OTHERS
INFERENCE:
Most of the business people are using the idea services 45.84% and 29.12%
Employees, 15%of students and 10% of others are using idea services.
FROM HOW MANY YEARS ARE YOU CUSTOMER FOR IDEA
SERVICE.
59
TABLE-3
NO.OF
CUSTOMERS PERCENTAGE
RESPONDENTS
Below one year 30 10.83
1-2years 52 43.33
2-5years 34 28.33
Above 5years 21 17.51
Total 120 100
fromhow many years are you

customer for idea service
60 52
50
40 30 34
30 21 Respondents
20
10
0
Below 1-2years 2-5years Above
one year 5years
years
INFERENCE:
60
Most of the cell phone users have taken idea service 1-2 yrs is 47.5%, 2-5 yrs
customers are 45%, above 5 yrs are 17.5% and fresh customers are 9.17%
WHICH TYPE OF SREVICES ARE YOU HAVING.
TABLE - 4
NO. OF
SERVICES PERCENTAGE
RESPONDENTS
Pre paid 97 80.83
Post paid 23 19.17
Total 120 100
which type of service you are having
120
97
100
80
60 Respondents
40 23
20
0
Pre paid Post paid
services
61
INFERFERENCE:
Most of the respondents are using Pre Paid service 80.83% and Post paid
service respondents are 19.17%.
ARE YOU SATISFIED WITH THE IDEA NETWORK
TABLE-5
CUSTOMERS NO. OF RESPONDENTS PERCENTGE

Highly satisfied 30 25.00
Satisfied 53 44.17
Neutral 36 30.00
Dis satisfied 1 0.83
Total 120 100
62
Are you satisfied with the idea network
1 30
36 Highly satisfied
Satisfied
Neutral
Dis satisfied
53
INFERENCE:
Majority of the respondents 44.17% are satisfied with the idea network and 0.83%
respondents are dis satisfied.
63
ARE YOU SATISFIED WITH THE SALES AFTER SERVICES
PROVDE BY IDEA
TABLE-6
Customer NO.OF RESPONDENTS PERCENTAGE

Satisfied 53 44.16
Neutral 47 39.17
Totol 120 100
Are you satisfied with the sales after service

provide by idea
60 53
47
50
40
30 20 Respondents
20
10
0
Highly satisfied Satisfied Neutral
Customers
INFERENCE:
64
Majority of the respondents are satisfy with sales after services 44.17%,highly
satisfied respondents are 16.16% and no respondents are dissatisfied.
65
ARE YOU SATISFIED WITH THE OFFERS PROVIDE BY IDEA
TABLE – 7

Satisfied 47 39.16
Neutral 46 38.33
Total 120 100
Are satisfied prode by idea offers
Highly satisfied
Satisfied
Neutral
Dis satisfied
66
INFERENCE:
Majority of the respondents 39.17% are satisfied with the idea
services,38.14% respondents are neutral,19.16% respondents are highly satisfied
and3.33% respondents are dissatisfied with the idea services.
ARE YOU SATISFIED WITH THE IDEA CALL RATES
TABLE-8
NO.OF
RESPONDENTS
Satisfied 58 48.33
Neutral 47 39.17
Total 120 100
Are you satisfied with the idea call rates
70 58
60
47
50
40
Respodents
30
20 13
10 2
0
Highly Satisfied Neutral Dis satisfied
satisfied
Call rates
67
INFERENCE: Majority of the respondents 48.33%satified with idea call
rates,10.83% are highly satisfied and 1.67% respondents are dis satisfied.
ARE YOU SATISFIED WITH THE CALLER TUNES
PROVIDED BY IDEA
TABLE-9
ROAMING
NO. OF RESPONDENTS PERCENTAGE
FACILITY
Satisfied 34 28.33
Neutral 56 46.67
Total 120 100
Are you satisfied with idea caller tunes
10
20
Highly satisfied
34 Satisfied
Neutral
Dis satisfied
56
INFERENCE:
Majority of the respondents 46.67% are neutral with the caller tune provided by
idea cellular service and 16.67% respondents are dis satisfied.
68
ARE YOU FEELING AN IDEA SCHOOL ADVRETISEMENT
TABLE-10
CUSTOMERS
NO. OF RESPONDENTS PERCENTAGE

Satisfied 41 34.17
Neutral 18 15.00
Dis satisfied 0 0
Total 120 100
Are you feeling an idea school advertisment
70
61
60
50
41
40
Respondents
30
18
20
10
0
Highly satisfied Satisfied Neutral
Advertisment
INFERENCE:
Half of the respondents 50.83% are highly satisfied with idea school
advertisement and no respondents are dis satisfied with the idea school advetisment.
WHO RECOMMENDED IDEA SRERVICE TO YOU
TABLE-11
69

Friends 27 22.5
Dealers 38 31.67
Your self 49 40.83
Others 6 5.00
TOTAL 120 100
Who recommanded idea services to

you
6
27
Friends
Dealers
49
Your self
Others
38
INFERENCE:
Majority of the respondents 40.83% arte self recommended and 22.5%
friends,31.67% dealers and others are5%.
WOULD YOU LIKE TO CONTINUE WITH IEDA SERVICES
TABLE-12
CUSTOMERS NO.OF RESPONDENTS PERCENTGE

Yes 85 70.83
No 35 29.17
70
Total 120 100
Would you like to continue with idea

services
35
Yes
No
85
INFERENCE:
Majority of the respondents 70.83% are continuing with idea services and 29.17%
are dis continuing the idea services.
IN YOUR POINT OF YOU VIEW MAIN COMPETITORS FOR IDEA
SERVICES
TABLE-13
NO.OF
RESPONDENTS
IDEA 24 20.00
AIR TEL 51 42.50
VODAFONE 38 31.60
71
TATA DOCOMO 7 5.83

TOTAL 120 100
Whoarethemaincompetitorstoidea
services
60 51
50 38
40 24
30 Respondents
20 7
VODAFONE
10
DOCOMO
AIR TEL
0
BSNL
TATA
Competitors
INFERENCE: Majority of the respondents 42.5% IDEA CELLULAR SERVICES
services are competitors, 31.67% Vodafone are competitors and 20% of IDEA and
reliance and tata indicom are no competition with the idea services .
RANKS OF IDEA SERVICES COMPARED WITH COMPITETORS
TABLE-14
72
RANKS NO.OF RESPONDENTS PERCENTAGE

1st 16 13.33
2nd 24 20.00
3rd 30 25.00
Can’t say 50 41.67
Total 120 100
Rank of idea services compared with

compitetors
60 50
50
40 30
30 24 Series1
20 16
10
0
1st 2nd 3rd Can’t say
Ranks
INFERENCE:Majority of the respondents 41.67% can’t say their opinion,25% of
respondents are giving 3rd rank and 13.33% of respondents giving 1st ran k with the idea
services compared with competitors.
73
ARE YOU ENJONG WITH IDEA ADVERTISMENT
TABLE-15

Yes 98 81.67
No 22 18.33
Total 120 100
Are you enjoy idea advirtisement
22
Yes
No
98
INFERENCE:
Majority of the respondents 81.67% are enjoying with idea advertisement and
18.33% are dis satisfied with idea advertisement.
74
ARE SATISFIED WITH CUSTOMER CARE SUPPORT PROVIDED
BY IDEA SERVICES
TABLE-16

Satisfied 51 42.5
Neutral 43 35.83
Total 120 100
Are you satisfied with customer

care support provided by IDEA
services
Highly satisfied
Satisfied
Neutral
Dis satisfied
INFERENCE:
Majority of the respondents 35.83% are satisfied with customer care support
provided by idea services, 4.17% of dis satisfied by customer care support provided by
idea services.
75
YOU FEELING ABOUT IDEA POWER SERVICES
TABLE-17
NO.OF
Customer PERCENTAGE
RESPONDENTS
satisfied 43 35.83
Nuetral 47 39.17
dissatisfied 11 9.17
Total 120 100
Are you satir fied with idea power

services
11 19
Highly satisfied
satisfied
47 Nuetral
43 dissatisfied
INFERENCE:
Majority of the respondents 39.17%are neutral in their feeling about idea power
services and 9.16% are dissatisfied with idea power services.
ARE YOU SATISFY THE NIGHT BALANCE TIMING FOR IDEA
SERVICES COMPARE WITH OTHER COMPITETORS
76
TABLE-18

Yes 39 32.5
No 81 67.5
Total 120 100
Satisfy with night balance timings
39
Yes
No
81
INFERENCE:
Majority of the respondents 67.5% are satisfied with the night balance timings and
32.5% are dissatisfied with night balance timings of idea net work compared with other
services.
77
FINDINGS
• Based on age, most of the cell phone users age between20-35years have taken
with in 41.0%
• Major customers 45.83% business people, students 15%, employees 29.17%

and others are 10% idea customers.
• Half of the users of idea services have been in usage for 1 years .
• Prepaid is the most prioritized by users compared to post paid services .
• Coverage, tariff of idea is the main reason to divert many users from other
services followed by coverage area.
• All top up coupons available in the market.
• Every users is satisfied with overall issues of monthly bills.
• The main competitions are ,IDEA CELLULAR SERVICES, docomo, IDEA

and reliance, among them IDEA CELLULAR SERVICES and Vodafone
gives more computations in SRI KALAHASHI.
• Half of users of cell phone are engaged with voice communication of instead
SMS, GPRS, MMS, and internet.
• Coverage is the main reason for using in rural areas IDEA cell services .
• Most of the customers mainly 87.5% want to YOUR SELF go for IDEA
services.
• Majority of the respondents are not satisfied with night timings offers
78
SUGGESTIONS AND RECOMMENDATIONS
 To reduce the coverage problem extension of tower capacity, location of new
towers at problematic areas is necessary.
 If we advice to develop the packages, which engages more customers in SMS and
internet along with voice communication. It also helps reducing competition from
the other services.
 Customer care should be answerable to customers at any time with out delay.
 Take steps to solve the customers request as early as possible.
 IDEA should think about to concentrate on student segment with attractive offers.
79
CONCLUSION
At last I conclude that the project report undertaken by me is satisfactory and the
work has got very good response from the respondents. The coverage and tariff provided
by the company are very much beneficial to respondents. In the process, majority of the
respondents are very positive towards the IDEA CELLULAR SERVICES. According to
my research, all the respondents are provided with better service by the company.
80
CUSTOMER SATISFACTION ON IDEA (CELLULAR SERVICE)
SRI KALAHASTHI
Ph.No:
1.Name :
2.Gender Male Female
3.Age? [ ]
(A) 15-20 B) 20-35
C) 35-50 D) Above 50
4. Major Customer For Idea Services? [ ]
A) Students B) Employees
C) Business People D) Others
5. From How Many Years Are You Customer For Idea Services? [ ]
A)Below 1 Year B)1-2 Years
C) 2-5 Years D) Above 5 Years
6.Which Type Of Services Are You Having ? [ ]
A) Post Paid B) Prepaid

81
7. Are You Satisfied With The Idea Network? [ ]
A) Highly Satisfied B) Satisfied
C) Neutral D) Dissatisfied
8. Are You Satisfied With The Sales After Services Provided By Idea ? [ ]
9. Are You Satisfied With The Offers Provided By Idea? [ ]
10.Are You Satisfied With The Call Rates Provided By Idea? [ ]
11.Are You Satisfied With The Caller Tunes Provided By Idea ? [ ]
12. You Are Feeling An Idea School Advertisement? [ ]
A)Highly Satisfied B)Satisfied

82
C)Neutral D)Dissatisfied
13.Who Recommended Idea Services To You? [ ]
A)Friends B)Dealers
C)Yourself D)Others
14.Would You Like To Continue With Idea Services? [ ]
A)Yes B)No
15. In Your Point Of View Main Competitors For Idea Services? [ ]
A) Airtel B) MTS
C) Vodafone E) Reliance
E) Tata Docomo F) Tata Indicom
16. Rank of idea sevices compared with competators ? [ ]
A)1 B)2
C)3 D)can’t say
17.Are you satisfied with customer care support provded by idea services ?
[ ]
83
18.Your feeling about idea power services? [ ]
19.Are you enjoying idea advertisements? [ ]
A)Yes B)No
20.Are you satisfy the night balance timings for idea services compare
With other compotators? [ ]
A)Yes B)No
Any suggestions to Idea Company?
Place:
Date :
Signature
84
BIBLIOGRAPHY
1. PHILIP KOTLER “MARKETING MANAGEMENT” the millennium edition, New
Delhi, Prentice-Hall India, Tenth Edition.
2. C.R KOTHARI “QUANTITATIVE TECHNIQUES’ New Delhi, Vikas publishing
House Pvt.Ltd., 1978, Third Edition.
3. C.R KOTHARI “RESEARCH METHODOLOGY” New Delhi Wishwa prakashan,
2000, Second Edition.
4. S.P GUPTHA “STATISTICAL METHODS” Sultan chand & Co., New Delhi.
Web sites:
www.google.com
www.ask.com
85

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IDEA CELLULAR LIMITED

Customer satisfaction, a business term, is a measure of how products and

services supplied by a company meet or surpass customer expectation. It is seen as a key

In a competitive marketplace where businesses compete for customers, customer

Measuring customer satisfaction

Organizations are increasingly interested in retaining existing customers while

targeting non-customers, measuring customer satisfaction provides an indication of how

successful the organization is at providing products and/or services to the marketplace.

Customer satisfaction is an ambiguous and abstract concept and the actual

product/service to product/service. The state of satisfaction depends on a number of both

compare the organization's products.

Because satisfaction is basically a psychological state, care should be taken in

satisfaction include: Quality, Value, Timeliness, Efficiency, Ease of Access,

Environment, Inter-departmental Teamwork, Front line Service Behaviors, Commitment

customer's expectation of performance and their perceived experience of performance.

in nature. Work done by Cronin and Taylor propose the "confirmation/disconfirmation"

different measures (perception and expectation of performance) into a single

measurement of performance according to expectation. According to Garbrand, customer

satisfaction equals perception of performance divided by expectation of performance.

The usual measures of customer satisfaction involve a survey with a set of

organization being measured.

The degree to which there is match between the customer's expectations of

the product and the actual performance of the product.

The broad definition of services implies that intangibility is a key determinant of

manufactured products, and manufactured products tend to be more tangible than

Internal services to the organization.

Trends in the Service Sector

within a manufacturing company (such as IBM or Boeing) or services that these

manufacturers sell externally.

CUSTOMER EXPECTATIONS OF SERVICE

of reference points against which performance is judged. Because customers compare

quality, thorough knowledge about customer expectations is critical to services marketers.

service company meet or exceed customer expectations.

FACTORS THAT INFLUENCE CUSTOMER EXPECTATIONS OF

Because expectations play such a critical role in customer evaluation of services,

the many influences on customer expectations.

Sources of Desired Service Expectations

vacation for the family, a spouse selecting a home-cleaning service.

What is Customer Satisfaction?

offers his own formal definition:

“Satisfaction is the consumer's fulfillment response. It is a judgment that a product

or service feature, or the product or service itself, provides a pleasurable level of

customers' evaluation of a product or service in terms of whether that product or service

to result in dissatisfaction with the product or service’

context or type of service. For example, satisfaction can be viewed as contentment-more.

It is also important to recognize that although we tend to measure consumer

satisfaction at a particular point in time as if it were static, satisfaction is a dynamic,

What Determines Customer Satisfaction?

Customer satisfaction is influenced by specific product or service features and by

perceptions Of quality as suggested by Figure 4.1. Satisfaction is also influenced by

customers' emotional responses, their attributions, and their perceptions of equity.

Product and Service Features

Customer satisfaction with a product or service is influenced significantly by the

Customers' emotions can also affect their perceptions of satisfaction -with

to services, causing you to overreact or respond negatively to any little problem.

Specific emotions may also be induced by the consumption experience itself,

influencing a consumer's satisfaction with the service. Research done in a river-rafting

effect on customers, dissatisfaction ratings.

Attributions for Service Success or Failure

Attributions-the perceived causes of events-influence perceptions of satisfaction

was a rare mistake, unlikely to occur again.

Perceptions of Equity or Fairness

Customer satisfaction is also influenced by perceptions of equity and fairness.2o