CHAPTER 1

INTRODUCTION

Industrial Background

Indian Telecommunication Industries: Telecommunication in the next millennium

is poised for the greatest leap and technology has ever taken in such a short time and

involving so much of the mankind. The new telecommunication technologies that have come

in have taken the human resources to be used in a manner no technology has ever used and

can possibly hope to use telecommunication in India has also kept pace with this

development and especially in this decade ensured that this technology will be made

available to the Indians for improving the quality of their life.

The telecommunication market in India is poised for a double digit growth over the next few

years. In 1995 expenditures for telecommunication products and services exceed $6.5

billion. The annual growth rate in the telecommunication equipment industry is expected to

grow at an average rate of 30% over the next few years. The main reason for this growth is

the pet up demand following the opening up of the telecom industry to the private sector.

Today’s rapidly changing business environment is creating intense competition among

corporations. Product life cycles are shortening and businesses must compete globally.

Employees are required to spend more time with their external and internal customers in

order to increase the competitiveness of their organizations. As a result, employees are often

away from their phones. Employees spend over 20% of the workday away from their desks

and this number is likely to grow. Telecommunications market is expected to grow from 40

billion dollars in 1993 to 200 billion by the year 2000.

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Today’s market condition therefore requires that managers evaluate cellular technology as an

alternative to traditional telecommunication services to make their corporations more

competitive. Whether the employees are field engineers accessing databases ordering

products or sales staff responding to customer inquires deploying cellular technology will

increase an organization’s making it more competitive.

Cellular Services in India: Ever since the cellular mobile telephone industry was
opened to the private sector in 1994. The industries have gone from initial euphoria to

subsequent despair and then hope in the wake of the move to revenue sharing. At the same

time more is now known about the unique behavior of Indian telephony consumers.

Today India has 20 private companies providing cellular services in 18 telecom circles and 4

metro cities. Licenses for the telecom circles were granted on the basis of competitive

bidding, wherein 2 licenses were to be issued for each circle. Ever since their in introduction,

cellular service has shown a fair growth with the subscriber base crossing the one million

mark by the first quarter of 1999.

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List of cellular operators in India along with their subscriber base

Circle Operator No. Of subscribers

Andhra Pradesh Tata cellular 58,471

Bharti Mobile 46,842

Assam Reliance 6246

Bihar Reliance 23,352

Gujrat Fascl 1,11,665

Birla AT & T 39,329

Haryana Escotel 27,068

Himachal Pradesh Bharti Telenet 5023

Reliance 529

Karnataka Bharti Mobile 52,493

Modicom 83,616

Kerala Escotel 59,388

BPL Cellular 55,453

Madhya Pradesh RPG Cellcom 12,112

Reliance 27,848

Maharashtra BPL Cellular 65,473

Birla AT & T 53,098

North East Reliance 802

Orissa Reliance 9598

Punjab Modi com 99,728

Rajasthan Hexa com 20,476

Tamil Nadu BPL Cellular 52,391

Srinival Cellcom 45,037

Uttar Pradesh (east) Aircel Digilink 27,354

Uttar Pradesh (east) Koshika 91,437

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 Uttar Pradesh (west) Escotel 58,752

West Bengal Reliance 4356

Metro Circles

Calcutta Modi Telstra 42,673

Usha Martin

Chennai Sky Cell 25,174

RPG Cellular 33,394

Delhi Bharti Cellular 1,93,983

Sterling Cellular 1,52,128

Mumbai BPL Mobile 1,76,906

Hutchison Max 1,48,580

ALL INDIA 19,62,787

Growth of Cellular Subscribers in India: The first few months of years 2000 have been

good for cellular in India. The shift by the government from ‘license fee’ to

‘revenue sharing’ regime has allowed operators to spend more on market

development. in addition, falling handset prices- due to lower import duties-

have helped. Here is the growth of cellular subscribers since 2000.

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 CHAPTER-2

Introduction to the Problem

2.1 PROBLEMS BEING FACED BY THE ORGANIZATION

Steeps price cuts leading to expanding subscriber base is good news for mobile operators.

On the contrary managing growth is becoming a headache for Indian mobile service

providers. While AirTel has launched a club of privileged customers in Delhi, another

operator in the South is coming up with activation of connection within four hours.

The main issue is revenue assurance as establishing sound revenue assurance practice is a

process, not a single event. There must be a focus on those process areas that significantly

affect revenue generation while also creating a high likelihood of revenue loss.

As prices have reduced by about 75 per cent, the cellphones, restricted to elite have

percolated down to plumbers and electricians. And with expanded subscriber base, it is

certainty that revenues are leaking.

Therefore the key challenge is not just to scale up but be flexibility of tariff and have systems

to deal with complexity of offerings.

2.2 COMPETITION INFORMATION

Even as Airtel is all set to become the fist cellular operator to cross the two lakh

subscriber’s mark in May. Although Mr. Sanjay Kapoor, CEO, Bharti Cellular Limited,

insists that the company believes in chasing the customer and not the competitor.This

includes city based information (about restaurants, police stations, important phone

numbers is any area, etc.): travel schedules for both domestic as well as international
5
journeys (via air and railways); and vertical addressal of content for niche segments like

doctors, lawyers, engineers, architects, women, etc.

For city-based information and travel schedules, the company has tied up with a website

called “lookupdelhi.com”. Apart from this, the company has tied up with ICICI bank to

provide services like credit card payment, payment of cellular bills through the Internet,

and mobile banking. AirTel also tied up with HDFC bank for mobile banking.

According to the subscriber list compiled by the Cellular Operators Association of India, in

February, AirTel had 1,71,213 subscribers, while Essar had 1,43,307 subscribers. Further,

AirTel, which has already crossed 1,90,000 subscribers has achieved the two-lakh mark in

May, thereby becoming the largest metro operator in the country. Since then from a base

of around of 7,000 subscribers (on cash cards), the number has grown to 80,000 plus

subscribers.

2.3 OBJECTIVES OF THE STUDY

The main objective of my study was to recommend strategy to ensure achievement of

prescribed parameters pertaining to service providing at the IInd tier channel”. These

parameters are:

1) All request for services come to Air Tel.

2) Requests received are updated or activated on time.

3) Errors free updation.

The first parameter is almost clear that near about all the requests from activation come to

the AirTel.

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The second parameter states customers are activated on time.

The third parameter states that customers are provided only that service which they opted.

Therefore the basic purpose or objective of my project work was to ensure these above

mentioned parameters at the dealer’s level, which is possible through the careful

understanding of the business done by them, their way or style of working, the problems

they are facing, loyalty towards the company and their level of satisfaction.

2.4 SCOPE OF THE STUDY

The first parameter i.e. all the services should come to Air Tel is basically related to the

dealer’s satisfaction and the customer requirement. This is because if the dealers are

satisfied with the company they will give business to it and also if the company provides

services according to the customer requirements the business will definitely come to them.

The second and third parameters i.e. timely activation and error free updation requires
understanding of the relationships between the dealers and the franchisees, their attitude
towards the customers and franchisees, the way activation’s are made and attention paid
while filling out the CAF.

2.5 SWOT ANALYSIS

Strengths

The new AirTel Tariff Advantage: Now AirTel offers a range of tariff plans to choose

from which simply encourages calling more.

 Unlimited Clarity:

 Unlimited Customer Care:

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  Unlimited Connectivity:

 Single Bill:

 Unlimited Convenience:

 Wide Availability

Weaknesses

 Large dealer network not under the company’s direct control.

 Centralized decision-making.

 Dissatisfaction among dealers.

 Not good servicing network.

Opportunities

 High market growth rate.

 Huge potential to increase the customer base because of continuously decreasing

cellular tariffs.

 The path of consolidations gaining importance that can extend the scope of

cellular operators in the basic services too.

 Falling mobile set prices.

Threats

 Increase in competition level from Hong Kong based Hutchison Whampoa,

which has taken over Essar.

 New Policy granting basic line telephony operators to provide limited mobility.
8
 CHAPTER 3

A Brief Description of the Organization Profiles

3.1 PROFILE OF THE ORGANIZATION

Bharti Enterprises- A Group Profile: The Bharti Enterprises, established in 1976, us

today a multifaceted organization and a leading group involved in the

manufacturing and the services sector. Its key focus is on the marketing and

operations of a comprehensive range of telecom services in addition to the

Healthcare sector. Today the group has a long list of pioneering efforts to its

credit.

The first company to revolutionize the V-SAT services in the country. It has achieved the

unique distinction of being the first Indian Company to be awarded a comprehensive

telecom license internationally in Seychelles.

Bharti enterprises truly epitomizes the spirit of enterprise and is today, ready for the

challenges of the current millennium.

ASSOCIATE COMPANIES

Bharti Telecom: Bharti Telecom, the flagship company of Bharti Enterprise has

continuously introduced world-class telecom products and services in the

country. be it in equity partnerships or relationships that being world

technologies to Bharti’s Operations.

With a host of winning brands like AirTel and Beetel, Bharti Telecom has emerged as

India’s finest telecom company. The flagship Company takes care in training its people

9
and increasing their productivity. Infused with the spirit of enterprise and a drive to

succeed our people are trained in a professional environment in line with world standards.

Bharti Telecom (Services): Bharti Televentures is the holding company for Bharti

Cellular, the cellular service providers for Delhi under the brand name AirTel and Bharti

Telenet, the basic service provider in Madhya Pradesh and cellular service provider in

Himachal Pradesh. Bharti owns 64 per cent of Bharti Televentures, Telecom Italia owns

16 per cent while Warburg Pincus owns 20 per cent.

Bharti Cellular Ltd.: Bharti Cellular Ltd. Launched cellular services in Delhi under the

brand name AirTel on November 14, 1995. In its single-minded pursuits of delivering

value to the subscribers, AirTel has consistently introduced concepts that have

revolutionized cellular services in Delhi and across India.

First to launch cellular service in Delhi on November, 1995:

• First operator to revolutionize the concept of retailing with the inauguration of AirTel

connects in 1995. Today AirTel has 16 Customer Care Touch Points and over 300

dealers in Delhi and NCR towns.

• First to expand its network with the installation of second mobile switching center in

April, 1997 and the first in Delhi to introduce the intelligent Network Platform.

• AirTel’s pre-paid card Magic has consistently held a dominant position in the market

and has played a major role in popularizing cellular services.

Consecutively for four years 1997-1998, 1999 and 2000 AirTel had been votes as the

Best Cellular Service in the country and won the coveted Techies award. Today AirTel is

poised to take a leadership position in the next millennia.

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Bharti Telenet Ltd.: Bharti Telnet, a partnership between Bharti and Telecom Italia is

the cellular service provider for the Himachal Pradesh circle and the provider of he first

private basic telephone service in the state of Madhya Pradesh.

Internet Bharti-BT Limited: Bharti Telecom in association with British Telecom

launched Internet services under the brand name Mantra Online simultaneously in

Delhi, Mumbai and Bangalore on May 26, 1999. Mantra Online, India’s first

multinational ISP, has emerged as the fastest growing ISP in the country Mantra Online,

offers to its valued subscribers a host of value added services which range form intranet

and entrant solutions and security service to messaging and e-mail solutions. Mantra

Online, is also taking the lead in being a content provider by focusing on vertical portals

that address individual nees teenfunda.com targeted at the Indian teenagers is one such

popular portal catering to a particular segment.

Himachal Pradesh- Cellular Services: Bharti in association with Telecom Italia was the

first cellular operator to commence operations in a non-metro circle with the launch of its

service in the picturesque and hilly state of Himachal Pradesh on February 1997 under

the brand name AirTel. Today it commands 85% of the market share.

Madhya Pradesh- Fixed Service: Bharti Telenet created history on June 4, 1998 at

Indore with the launch of AirTel Telephone Services, India’s first private telephone

service. AirTel service was launched by making the inaugural call to the Prime Minister,

Shri Atal Behari Vajpayee. The launch of AirTel service of at Gwalior marked the

commissioning of 900-km long transmission network connecting Indore-Bhopal-

Gwaliior

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Bharti Telepathies: Bharti Telepathies is the holding company fro Bharti-British

Telecom Internet Services under the brand name Mantra Online and the Bharti-British

Telecom V-SAT services.

Bharti Global Telecom Seychelles: Telecom Seychelles a Bharti Global company under

the brand name AirTel launched cellular service in Seychelles on December 12,1998.

Telecom (Seychelles) Ltd. has the license to provide comprehensive array of telecom

services including basic telephone services, cellular GSM services, long distance

services, international telecom services, radio paging, satellite serces, marine

communications and value added services.

Bharti Telecom (Manufacturing & Marketing)

Bharti Teletech: Bharti Teletech in the country’s largest manufacturer of state-of-the-art

“BEETEL”. Bharti telecom the largest supplier of telephone handsets of DoT is also the

first Indian company of export state-of-the-art push button telephones to Sprint Corporation

and Conair Corporation in USA, & Nepal Telecom Corporation Bharti Teletech in the

leading manufacturer of electronic push button phones in India.

Bharti Teletech has been exporting its product to Sprint and Coiner, USA, thus

positioning India as a strong souring base for global telecom requirements.

Goa Telecom: G-Tel currently manufactures three channel and eight channels open wire

carrier systems. 10 CH, 30 CH digital UHF Radio systems to provide communication to

villages. G-Tel plans to make substantial investments on plant and equipment to

manufacture the transmission equipment and digital microwave radio systems.

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Siemens Telecom Ltd.: A joint venture between global giants Siemens AG and Bharti

Telecom. The alliance has brought to the Indian market the unmatched technology of

Siemens and the manufacturing strength of Bharti Telecom. Siemens telecom markets its

products under the brand names ‘Siemens’ and ‘Beetel’. The ‘Beetel range of phones

include basic corded phones, cordless phones, world class Sleek, Twinset, Pearl range,

Emerald range and the New Millennium series to name a few.

Bharti-Duraline: A joint venture between Bharti Telecom and Duraline Corporation, USA

to manufacture and market permanently Lubricated Silicore HDPE ducts. Bharti-Duraline

is India’s only manufacturer of state-of-the-art permanently solid lubricated silicore HDPE

ducts that are used to install and protect optic fibre cables and co-axial cables.

Bharti-Duraline, has recently decided to double its manufacturing capacity expansion has

been necessitated by the growing demand for these ducts from telecommunications

companies and a variety of Right-of-Way owners for setting up high capacity optic fiber

communications networks.

Its major customer includes AT&T, Lucent technologies, GTE, Sprint, MCI, Pactel,

Ericcsson, British Telecom, Siemens etc.

Bharti Finance: It was incorporated with the purpose of removing this impediment to the

purchase of Bharti’s products. It will provide leasing and finance services to promote the

sales of telecom products and services offered by the companies under Bharti Enterprises

Bharti Healthcare: It was set up to manufacture a vital component of medicines-hard

gelatin capsules. The company has a strong technology back up, with a number of

strategic alliances. The technical know-how and the plant equipment have been sourced

13
 from the US Company Evergreen packaging 171 Equipment the world leaders in the

field.

The company has established strong credentials in the Indian pharmaceutical industry,

with a client base of eminent drug companies.

Sub division of the Bharti Enterprise

Bharti Enterprise

Bharti Healthcare Bharti Telecom Bharti Global

Telecom Seychelles

Manufacturing &
Services
Marketing

SIEMENS BHARTI Bharti Tele

Bharti Goa Bharti Tele
TELCOM DURALINE Ventures
Comtel Telecom Spatial

Bharti Bharti
Cellular Telenet

14 Bharti BT
Bharti
Internet
BT
Bharti Cellular Limited

Bharti cellular limited is customer and competition oriented company whose goals to

position itself in the market as a serious enterprising supplier of reliable, easily

available mobile telephone services of high quality. Its objective on a continues basis

will be to combine changing market needs with new technological opportunities on a

financially sound and profitable foundation.

Cellular phone service is one of the most exciting telecom applications around the

world with increasing urbanization and rapidly accelerating pace of business. Bharti

recognized the potential of this service in India and setup Bharti Cellular Limited

(BCL) on November 29,1994 BCL is a consortium of some of the world’s leading

names id cellular telephony-British Telecom of U.K. one of the Britain’s largest

telecom companies, Mobile systems International the world’s foremost network

planner, EMTEL the pioneer of cellular telephony in Mauritius and the Bharti Group,

India’s pioneering telecom company.

About Airtel

Air Tel comes to you from Bharti Cellular Ltd. a consortium of giants in the

telecommunication business-British Telecom Italia, and Bharti Enterprises.

AirTel launched its services in Delhi on November 14,1995 it has at present over two

lakh twenty thousand subscribers. In it’s three years of pursuit of greater customer

satisfaction. Air Tel redefined the business through marketing innovations, continuous

15
technological upgradation of the network, introduction of new generation value added

services and the highest standard of customer care.

Air Tel has consistently set the benchmarks for the Indian cellular industry to follow.

1) First to launch cellular service in Delhi on November 1995.

2) First operator to revolutionize the concept of retailing with the inauguration of

Air Tel Connect (exclusive showrooms) in 1995. Today Air Tel has 17 Customer Care

Touch Points and over 300 dealers in Delhi and NCR towns.

3) First to expand it’s network with the installation of second mobile switching

center in April, 1997 and the first in Delhi to introduce the intelligent Network

Platform First to provide Roaming to its subscribers by forming an association called

world Network.

4) Consecutively for four years 1997, 1998, 1999 and 2000 Air Tel has been

voted as he Best Cellular Service Provider in the country and won the coveted Techies

award.

5) Born a leader, the first cellular service in Delhi, AirTel has maintained

leadership through constant innovations, which have redefined standard of cellular

services in India.

Mission: We will meet the mobile communication needs of our customers through:

1) Error-free service delivery.

2) Innovative products and services.

3) Cost efficiency.

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Values: We will always put our customers first. We will always trust and respect each

other. We will respect our associates as we respected each other. We will work together

through a process of continuous improvement.

Quality Statement: “We will deliver error free services to our customers by doing our

jobs right the first time every time”

AirTel offers two kinds of services pre paid and post paid. The prepaid services are the

Magic Ready Cellular Card which gives ready-to-use, hassle free cellular connection. It

has a pre-activated STD/ISD call faculty. It gives crystal clear communication in Delhi,

Ghaziabad, NOIDA, Gurgaon Faridabad and Ballabhagarh.

AirTel Post Paid Connection : AirTel Postpaid connection is a service recommended for

regular users. This connection allows to pay for the usage on a monthly basis. You need

to apply for the service with complete personal details.

Advantages

1) Lowest Airtime Rates

2) National and International Roaming

3) The Leading networks advantage

4) Exceptional voice clarity

5) 24 hour customer service

6) STD/ISD facility

How much does it cost.

Security Deposit (Refundable) Rs. 100

Activation Charges Rs. 26

17
 Other charges Rs. 4.00

Total Rs. 230

Note: the above are one time entry cost. The deposit is completely refundable.

Airtime tariff Plan

AirTel post-paid connection offers the lowest tariffs amongst all cellular connections.

Details of the currently available plan are follows:

Business Lifestyle Plan

Monthly Rental Rs. 175 per month

Outgoing rates (applicable 24 hours) Rs. 1 per minute

Incoming rates (Roaming only) Rs. 1 per minute

The rates are valid 24 hours a day / 7 days a week

AirTel Standard Plan

Monthly Rental Rs. 75 per month

Standard hours (24hrs) Rs. 1 per minute (Outgoing )

Concession Hrs-II (12 midnight to 8 am) Rs. 20 per minute (outgoing)

Billing pulse is of 60 seconds. On Sundays and National holidays (15th Aug. 26th

Jan & 2nd Oct) the tariff rates are of Rs. 1.00 per minute 9pm to 8 am) & Rs. .1 per

minute (8 am to midnight).

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AirTel Leisure plan

Monthly Rental Rs. 45 per month

outgoing rates 8 p.m. to 8 am 50 paisa per 60 seconds

(Weekdays)

8 a.m to 8 p.m. (Weekdays) Rs. 1 per 60 seconds

Magic Pre Paid Connection

What is magic?

MAGIC… the simplest way to go cellular.

Magic ready cellular card is Ready-to-use, no-hassle cellular connection. Backed by

AirTel, the leading cellular operator in India, it gives crystal clear Communication in

entire Delhi, Ghaziabad, NOIDA, Gurgaon, Faridabad and Ballabhgarh.

Highlights

1) Wide Availability

2) No applying.

3) Instant Connectivity

4) Compatible with all handsets

5) No bills

6) Total Cost control

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7) Convenient Recharging

Magic…. The most affordable cellular

Cost package

Standard Magic “ Regular pack”

MRP Rs. 525

MRP includes:

Calling Value Rs. 300

Activation Fee Rs. 75

Administrative Charges Rs. 100

Service Tax Rs. 50

Value Added Services

AirTel offers a host of value added services. These are available on request. They include:

 Smart Roaming

 Call Waiting

 Call Hold

 Call Divert

 STD/ISD

 Fax and Data

 Itemized Billing

 Call Conference

 Mobile Hunting

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 Handset Insurance Service

The Change to Leverage Opportunities

With a vision to be "a globally admired company that delights customers", the integrated

brand Airtel, will bring in the virtues of trust, innovation and scale to the entire spectrum

of telecom services being offered by Bharti. This will help the company emerge as a

leader, which offers the largest menu of relevant world-class telecom products and

services for all segments across the length and breadth of India.

The Airtel Re–Design

Old Logo New Logo

The new logo for Airtel service was designed after an extensive brand audit across

different cities. This smart, contemporary form was in response to the overall brand

strategy of creating a younger, more friendly brand persona.

Bharti Televentures limited has brought all its telecom services namely landline,

broadband, long distance and cellular under a single brand, Airtel. Consequently, the

BTVL's brands like Touchtel (landlines/broadband), IndiaOne (STD/ISD) and Internet

(Mantra) will cease to exist and Airtel, long associated with the group's flagship cellular

services, will extend to cover all the telecom operations Under unified branding strategy

various services would be called as Airtel Mobile services, Airtel Telephone &
21
Broadband services, Airtel Long Distance Services, Airtel Enterprise Services. According

to Bharti officials the unified branding followed government policy to introduce unified

licensing that allows cellular and landline companies to offer two services under the same

license, which were given out separately until recently.

Brand Identity

Reputation, reputation, reputation!

O! I have lost my reputation.

I have lost the immortal part of myself and,

What remains is bestial.

Few firms know who and what their brands are basically, where their unique quality,

their singularity lies their identity. Brand identity is a recent idea, but many researchers

have delved into the identity of the organizations.

The essence of brand identity lies in the answer to the following questions concerning the

brand we are dealing with

 What is the individuality?

 What are its long-term goals and ambitions?

 What are its values?

These three questions point to the brand’s definition and could indeed constitute its

character. In other words such characters could form the basis for in-depth management

of brand communication and extension over a given period.

22
In the terms of AIRTEL, the brand identity could be:

 Individuality: AIRTEL stands as a brand which exudes its individuality in a strong

way. It projects itself as a brand which is not only the initiator of the market but also

the leader.

 Long Term Goals and Ambitions: AIRTEL strives to be loyal to their consumers

and ever since its inception has been an aggressive player avoiding cheap marketing

gimmicks to earn short term benefits. It time to time acknowledges its esteemed

customers with various rewards and benefits

 Values and Basic Truths: Its transparent approach and its customer first attitude

speak volumes of its values and principles.

To summarize the concept of identity, though all things are possible when a brand is

first created, after a time it acquires autonomy and its own meaning. Starting as a

nonsense word attached to a new product year after year, it acquires a meaning,

composed of the memories of the past emergent communication and products. It

defines an area of legitimate possibilities, yet appreciates its own limitations.

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THE FACES OF IDENTITY

Each market condition gives rise to concepts and methods to adapt to such conditions.

When products weren’t so abundant, one simply resorted to USP. After an era of image,

positioning and brand personality, we have entered into the brand personality era.

The notion of the brand core identity is to express willingness on the part of the

communication strategist to go beyond the superficial and to investigate the brand to the

root level.

The concept of identity is formulated on the basis of three qualities:

1. Durability

2. Coherence

3. Realism

THE PRISM OF IDENTITY

A six sided prism may represent brand identity diagrammatically. It consists of

Physique, Personality, Culture, Self Image, Reflection and relationship. The brand

identity prism demonstrates that these facts form structured whole .The content of

one facet echoes that of another. The prism structure is derived from one basic

concept – that the brand has a voice. A brand does not exist until it communicates..

Since a brand has its own meaning of referring, it can be analyzed like any means of

communication.

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 Physique: A physique is the combination of independent characteristics, which may

be either prominent or dormant. For AIRTEL it is reliable, dependable, a different

entity, aloof yet approachable.

 Personality: A brand has a quality. It acquires a character. If, as often happens, we

identify the brand with a person, and gradually form a picture of that person by the

way in which he speaks of product or services. The personality of AIRTEL is

Aggressive, Youthful, Eye catching, friendly, strong yet vulnerable.

 Relationship: A brand is a relationship. It often provides the opportunity for an

intangible exchange between persons. The relationship the brand has with the

consumer is that of a key maker. The relationship AIRTEL shares with it’s consumer

is one of Trust, confidence, reliability and dependability

 Culture: Every brand has its own culture. The culture of AIRTEL is that of

impeccability and striving for perfection.

 Reflection: A brand reflects a consumer’s image. Reflection is not necessarily the

target, which the brand offers to that public. It is a type of identification. The kind of

consumer image AIRTEL reflects is all those who are young, dynamic, high on

energy, thrive on a dynamic environment yet in a class of their own and those who

strive for perfection.

 Self–Image: The person who buys and uses AIREL has a self image of someone who

is energetic, youthful, strives for perfection, classy, cost conscious but would not

compromise on quality, tech-savvy and adventurous.

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 Brand Prism Identity

Personality
Soft delicate,
breezy and Internal
Sender feminine

Physique Culture
Skin lightening Impeccability,
creams and lotions striving for
and soaps perfection

Consumer self-
image
Relationship I am the woman
of today,
Counselor, self beautiful,
confidence successful
booster &self-confident

External
Reflection All those who are
young, want to look fair &
beautiful & those who strive Receiver
for perfection

26
AD Campaign of Airtel

The initial ad campaigns of AirTel were product based/ offer based like propagating a new

bill plan for the youth (the youth plan), or propagating a nokia bundle offer.

Their first full fledged ad campaign was initiated by their signature tune through

which they wanted to spread its new Airtel sound. After this came another wonderful

campaign about “Express yourself”. This campaign focused on the human need to

communicate all forms of expression be it love, hatred, angst, desire, etc.

The making of Airtel Sound Airtel & friends

jiju & sis-in-law Airtel + Nokia offer

3.2 SIGNIFICANCE OF THE STUDY

In my study I have had first hand experience of the views of dealers of the company which

otherwise never reach to the ears of high ups in the company. This becomes all the more

important as the dealers are the basic sources of providing business to the company.

27
Dissatisfaction of dealers can prove to be a massive stumbling black towards the progress

of the company.

3.3 MANAGERIAL USEFULNESS OF THE STUDY

The study done by me is of utmost usefulness to the managers of the company if it is

properly analyzed and the recommendations given by me are properly acted upon. So the

managers of the company after analyzing the data given by me can chart out a path towards

better coordination with the dealers to keep them satisfied and also help them with inputs in

providing world class services to its customers. This will also help the company itself in

determining the working of its dealers at large and understanding whether they are upto the

mark or not.

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 CHAPTER 4

Theoretical Perspectives

CONCEPTUAL DISCUSSION

Marketing practices during the last, few decades have undergone tremendous changes.

Marketing today consists of spotting the needs of the customers and meeting them in the

best possible manner. They are also required to forecast the actual direction and intensity

of these probable changes and then1 adjust their plans accordingly so that a most favorable

and optimal relationship would be quickly achieved. For this marketers need to answer

following questions:-

1. Who are the prospective buyers of the product?

2. What they actually want?

3. How many of them want a particular brand of the product?

4. How best it could be made available.

5. How many customers are likely to be attracted by a product or a dealer?

The well-organized marketing information system (MIS) is therefore essential in order to

achieve and withstand in the market. According to Philip Kotler, marketing information

system is defined as, “MIS consists of people, equipment and procedures to gather, sort,

analyze, evaluate and distribute needed timely and accurate information to marketing

decision makers.”

According to the American Marketing Association, “Market Research is the gathering,

recording and analyzing of data about the problems relating to the marketing of goods and

services.”

29
The term marketing research s composed of two words that are marketing and research.

Marketing is a comprehensive term which encompasses the whole set of activities

performed with a view to facilitate the flow of goods and services from the producers to the

final consumers whereas research is defined as pro rata investigation which means

thorough, honest and impartial study conducted by trained men and sometimes by other

also using scientific methods.

Apart from in-house marketing research departments and marketing research firm

companies can conduct research in creative and affordable ways such as:

1. Engineering students to design and carry out marketing research projects.

2. Using on-line information services.

3. Checking out rivals.

The conclusion that we can draw from this is that marketing research is an organized and

systematic research which is carried out to draw certain useful inferences with regard to

channel of distribution, profitable and unprofitable sales territories, consumers purchasing

preferences and priorities, marketing costs, sales promotion activities existing and potential

competitors and so on.

Broadly speaking there are following strategic areas of marketing research namely:-

1. Research on products.

2. Research on Market.

3. Research on Consumer.

4. Research on Advertising and Promotion.

5. Research on Pricing.

30
6. Research on Sales Methods.

Aims and Objectives of Marketing Research

The first and foremost objective of marketing research is to enable manufactures to make

goods acceptable and saleable and see that they reach the market easily, quickly, cheaply

and profitably without sacrificing the consumers interest. In order to accomplish this prime

objective any program of marketing research generally tries to find out five things i.e.

1. What to sell.

2. When to sell.

3. Where to sell.

4. How to sell.

Marketing Research Procedures:

The marketing research firstly calls for developing the research plan. In fact this is the

second stage of marketing research that calls for developing the most efficient plan for

gathering the information needed. The marketing manager needs to know the cost of

research plan before approving it.

The data collected can be secondary data, primary data or both. Secondary data is the data

already available somewhere. Primarily data are data gathered for a specific purpose or for

a specific research project.

Sources of Secondary Data:

1) Internal sources.

2) Government publications.

3) Periodicals and Books.

31
Sources of Primary Data:

1) Observation.

2) Focus group research.

3) Survey.

Methods for Conducting the Research:

1) Mail Questionnaire.

2) Telephone interviewing.

3) Personal interviewing.

4) Observation method.

The next step is collecting of information followed by analysis of the information. At last,

the findings are presented to the relevant parties. The findings should be clear and precise.

In short, market research passes through the following steps:

1) Defining the market problem to be tackled and identifying the marketing research

problem involved in the tak.

2) Specifying the information requirement.

3) Developing the research design and research procedure.

4) Gathering the information.

5) Analyzing the information and interpreting it in terms of the problem being tackled.

6) Summarizing the findings and preparing the research report.

32
 CHAPTER 5

METHODOLOGY

5.1 Research Design

It is the specification of methods and procedures for acquiring the information needed. As

there is no single method of studying and solving a problem there is no single perfect

research design. The researcher can choose any method or design or combination thereof

but it should solve the problem in hand in the most efficient and economical way.

The research design used here is exploratory and analytical in nature. It aims at solving the

various problems faced by the dealers. Simple percentage method is used to analyze the

various factors and the data is presented in clearly tabulated and graphical form.

Sources of Data: The researcher has to decide the type of data to be used in his search for

the optimum solution to the problem in hand. The data used may be primary data,

secondary data or the combination of both.

Here primary data was collected through observation and communication (questionnaire).

(a) Observation: I had to sit at the dealer’s premises for almost a day or as much as

possible to understand and analyze their working keeping in view the three given

parameters, recorded in the observation sheet.

(b) Questionnaire: I have designed a questionnaire consisting of a series of closed and

open ended questions and get it filled by the dealers at the time of visit to them.

Sample Size: Another aspect forming a part of research process is the sampling plan.

When the researcher has decided to carry out a field survey, he has to decide whether it is

to be a census or sample survey.

33
Here sample survey was chosen and the sample size is 33, which was already decided by

the company.

Sampling unit: Dealers

Area covered: Delhi region and Ghaziabad (U.P.)

5.2 Data Collection Methods/Sources

In marketing research literature, there are two types of data: primary data and

secondary data. The researcher can gather primary data or secondary or both.

1. Primary Data:

The first hand data collected for a specific purpose or for a specific research project

constitutes primary data.

When the needed data do not exist or are inaccurate, incomplete or unreliable the

researcher collects primary data. Most marketing research projects thus involve some

primary data collection. The main primary data sources consist of consumers, dealers,

buyers, etc. Consumers and buyers constitute the main source of information in most

researches. A buyer may not be the user of the product, although in some cases the consumer

and the buyer may be the same person.

The normal producer is to interview some people individually or in groups to get on

idea of how people feel about the topic in question and then develop a formal research

instrument.

(a) Survey by Questionnaire.

(b) Panel Research.

34
 (c) Observation Approach.

2. Secondary Data:

Information collected by other organization or individuals which might be relevant to

the study constitutes secondary data.

Researchers usually start their investigation by examining secondary data to see

whether their problem can be partly or wholly solved without collecting costly primary data.

Secondary data provides a starting point for research and offer the advantages of low cost

and ready availability.

(a) Published Survey of Markets.

(b) General Library Research.

(c) Government Publications and Reports.

(d) All Advertising Media (Newspapers, magazines etc.)

(e) Trade Associations.

(f) Universities.

(g) Internal Sources.

5.3 Research Instrument

Marketing researchers have a choice of two main research instruments in collecting

primary data: Questionnaire and mechanical devices.

Questionnaire:

A questionnaire consists of questions presented to the respondents for their answers.

Because of its flexibility, the questionnaire is by for the most common instrument used to

collect primary data.

35
 In preparing a questionnaire, care should be taken in choosing the questions and their

form, wording and sequence. The questions included in the questionnaire can be closed end

questions prosperity all the possible answers and are easier to tabulate and interpret. Open

end questions allow respondents to answer in their own words and they often reveal more as

they give an insight into how people think.

In my study, the questionnaire contained both open-end and closed-end questions

depending upon the type of information to be gathered.

Mechanical Device:

Mechanical devices are occasionally used in marketing. They are used to measure the

interest or emotions aroused by exposure to a specific situation.

Sampling plan:

After deciding research approach and instruments the marketing researchers must

design a sample plan. This calls for three decisions.

Sampling Unit:

The marketing researcher must define the target population that will be sampled. In

my case the target population was the retailers selling sim card of Airtel Limited at Rajkot.

Sample Size:

Large samples give more reliable results than small samples. However, it is not

necessary to sample the entire target population or even a substantial portion to achieve

reliable results. In my survey the sample size was 50.

Sampling Procedure:

To obtain a representative sample a probability sample of the population should be

drawn. Probability sampling allows the calculation of confidence limits for sampling errors.

36
When the time and cost are involved the in probability sampling is excessive, marketing

researcher will take non-probability samples.

The various sampling method are as under:

Probability Sampling Non-probability Sampling

Simple random sample convenient sample

Stratified random sample Judgment sample

Cluster sample Quota sample

My survey falls under the category of the convenient sample under Non-

probability sampling. In this method the researcher is free to select. The respondents are

selected on the basis of the being available at the time of survey. I use here a Simple and

exhaustive questionnaire typed in English.

Duration of the project: 8 weeks.

In case of dichotomous questions choices are uniformly taken as “yes” or “no”. In case of

questions demanding dealers level of satisfaction or their ratings to the parameter choices

are uniformly takes as:-

(a) Excellent

(b) very good

(c) so-so

(d) dissatisfied

(e) Strongly dissatisfied.

37
 CHAPTER 6

Data Preparation

ANALYSIS AND INTERPRETATION OF DATA

1) Classification of dealers according to proportion of business of AirTel.

Table-1

Percentage of business No. of dealers Percentage

0-20% 1 3%

20-40% 1 3%

40-60% 8 24%

60-80% 3 10%

80-100% 20 60%

70
60
50
40 No. of dealers
30 percentage
20
10
0
%
%

%
%

0
0

0
0

0
-4

-6

-8
-2

-1
0

0
0

0
2

This chart show that sixty-percent dealers fall under the category 80-100% of the

percentage of business whereas fourty dealers are below that category which is quiet a

substantial figure and should be carefully dealt with.

2) what types of services customers want?

38
 (Multiple response were given)

Table 2

Service No. of dealers Percentage

Airtel Leisure 03 10%

AirTel Business 30 90%

AirTel Standard 30 90%

No.of dealers

3
30
30

airtel Leisure Airtel Business Airtel Standard

From the chart, it is clear that the most popular service Among the customers is air tel

standard and airtel business becouse of their convenient tariff rates. However, each

service is suitable for specific class of people depending on their usage.

3) How would you rate Air Tel’s network in your area?

Table-3
39
Rating No. of dealers Percentage

Excellent 20 60%

Good 3 10%

Needs improvement 10 30%

no. of dealers

10

20
3

Excellecnt good Needs Improvement

The chart depicts that thirty percent dealers are not fully satisfied with the netwok. They

nelieve that there is scope for improvement as the signals are sometimes not proper in the

interiors. Sometimes even inside trhe house or shop signals get weak.

40
4) When phoning at the customer care department how quickly is the call transferred to

the customer care executives?

Table – 5

Time No. of Dealers Percentage

Immediately 00 0%

Within few minutes (2-3 min) 03 10%

Takes time 30 90%

Graph -5 Excellecnt

very good
18% 0%
so-so

Dis-satisfied

82% Strongly
dissatisfied

Most of the dealers i.e. near about 90% have the problem that when they make a call to the

computerized customer care department it takes long time near about 5-10 minutes for their

call to be transferred to the customer care executives.

5) Dealer’s overall rating to the customer care department.

41
Table – 7

Rating No. of dealers Percentage (%)

Excellent 5 15.15

Very Good 15 45.46

So-So 12 36.36

Dissatisfied 1 3.03

Strongly dissatisfied 0 0.000

20
15
10
5
0
Excellent Very Good So-So Dissatisfied Strongly
dissatisfied

No. of dealers Percentage (%)

As shown above nearly thirty-six percent dealers have low level of satisfied with the

department that leaves much needed scope for improvement.

6) Dealer’s satisfaction with the margins or cut-off provided by the company.

Table – 10

Level of Satisfaction No. of dealers Percentage (%)

Excellent 6 18.18%

Very Good 12 36.37%

So-S0 11 33.33%
42
Dissatisfied 4 12.12%

Strongly dissatisfied 0 0%

15

10

0
Excellent Very Good So-S0 Dissatisfied Strongly
Dissatoisfied

No. of dealers Percentage (%)

The above chart indicates that near about fifty percent dealers are not much satisfied with

the margins given by the company. The possible reason for this is the frequent fluctuations

in them. Many times they get less than what is assured.

7) Dealer’s satisfaction for the time taken by the franchisees.

TABLE – 15

Satisfaction No. of Dealers Percentage

Yes 22 66.67%

No 11 33.33%

43
 25
20
15
10
5
0
No. of Dealers Percentage

Yes No

The chart shows that one-third dealers are not satisfied with the time taken for activation.

May times the system remains down or the workload at franchisees is high and as a result

their activation is not made on time this has a profound impact on their business.

8) Dealer’s overall level of satisfaction with the company’s services.

Table – 17

Satisfaction level No. of dealers Percentage (%)

Excellent 5 15.15%

Very Good 17 51.52%

So-So 10 30.30%

Dissatisfied 0 0%

Strongly dissatisfied 1 3.03%

44
 20
15
10
5
0

d
nt

d
o

d
oo

f ie
S

f ie
le

o-
G
el

is
t is
S
xc

at
y

sa
er

ss
E

is

di
D

ly
ng
tro
S
No. of dealers Percentage (%)

The above chart shows that almost half of the dealers have high level of satisfaction and they

should be moved to the highest class.

9) In case of cheque payment do dealers wait for the clearance of cheque before passing

on the activation form to the franchisee?

(Customer is not known)

TABLE – 19

No. of dealers Percentage

Always 25 61%

Generally 05 30%

Never 03 9%

45
 Graph-18

45% Yes

55% No

Near about sixty percent dealers always wait for the clearance of the cheque. Thirty percent

depend on their appraisal of the customer and then decide accordingly. Only ten-percent

takes risk pass on the activation, as they don’t want to loose their customer.

10) Best/Distinctive features of the company.

(Multiple responses were given)

Table-20

Features No. of Dealers Percentage

Brand Image 30 91%

Promotional Strategy 15 45%

Excellent Service 17 52%

Strong Network 22 67%

46
 Graph-21

Brand Image
67%
91%
Promotional
Strategy
Excellent
Service
52% Strong Network
45%

This chart shows the dealers liking about the various features of the company. It is clear

their responses that AirTel’s Brand Image is best of the lot, the other features are also

important but the brand image is most compelling one for them.

47
11) Problems faced by the dealers.(Multiple responses were given)

Table – 21

No. of dealers Percentage

No dealer recognition 25 75%

Promotional strategy 18 55%

Service 16 48%

Fluctuating Margins 05 15%

No response 08 24%

Graph-21 No dealer
recognition
24%
Promotional
15% strategy
75%
Service

48%
Fluctuating
Margins
55%
No response

This chart shows that seventy-five percent dealers are not satisfied with the company’s

attitude towards the dealers. Nearly fifty percent are not satisfied with the promotional

strategy and Services offered by the company for them. Some of them have given no

responses as they consider them a part of every business.

48
 CHAPTER 7

FINDINGS

By looking at the charts and tables, one can have easy understanding of the various

parameters. Besides that, there are some other findings as well which are basically, the

problems faced by the dealers. There are mentioned as follows –

(1) Most of the dealers surveyed have the problem that the company does not give tem

any recognition.

(2) Few are dissatisfied, as they are not provided the promotional materials like

banners, pop’s, boards, etc.

(3) Nearly 30.3% of dealers have very low overall level of satisfaction with the

company (table-3).

(4) Though majority of dealers has very well overall satisfaction with the customer care

department but they are highly dissatisfied with the time taken to connect to the

customer care.

(5) Regarding the above mentioned point the most common problem found is system

down.

(6) Sales representative or area manager’s visit is not up to the mark.

(7) Difficulty in getting the preferred numbers.

(8) Though Air Tel as very broad network coverage but at some places signals are not

proper.

49
 CHAPTER 8

LIMITATIONS

Every attempt has been taken to obtain the error free and meaningful result but as nothing

in this world is 100% perfect I believe that there is still the chance for error on account of

following limitations-

(1) Sample size may not be the true representative of the population.

(2) Respondent’s unwillingness to respond.

(3) Respondent’s inability to formulate a response.

(4) Respondent’s unavailability.

(5) Time pressure and fatigue on the part of respondents and interviewer.

50
 CHAPTER 9

Conclusions and Recommendations

9.1 CONCLUSIONS

By looking at the charts and tables, one can have easy understanding of the various

parameters. Besides that, there are some other findings as well which are basically, the

problems faced by the dealers. There are mentioned as follows –

(9) Most of the dealers surveyed have the problem that the company does not give tem

any recognition.

(10) Few are dissatisfied, as they are not provided the promotional materials like

banners, pop’s, boards, etc.

(11) Nearly 30.3% of dealers have very low overall level of satisfaction with the

company (table-3).

(12) Though majority of dealers has very well overall satisfaction with the customer care

department but they are highly dissatisfied with the time taken to connect to the

customer care.

(13) Regarding the above mentioned point the most common problem found is system

down.

(14) Sales representative or area manager’s visit is not up to the mark.

(15) Difficulty in getting the preferred numbers.

(16) Though Air Tel as very broad network coverage but at some places signals are not

proper.

51
9.2 RECOMMENDATIONS

The main finding, which emerged from the analysis of the data collected, is that there is

considerable amount of dissatisfaction among the dealers on account of company’s policy

towards them. They know that the constitute almost 50% business of Air Tel and have the

potential to convert a customers to a particular service company then why they should

provide business to the company. They know that the constitute almost 50% business or

AirTel and have the potential arises that if they are not dealt with care by the company then

why they should provide business to the company. Most of the dealers specify that dealing

with the company from the beginning or for a long period of time is the only motivation for

them to deal mainly for AirTel apart from the popular brand image of AirTel.

The services provided by Air Tel and competitors are almost same. Therefore in order to

ensure the given parameters dealer satisfaction is must. Some of the improvements that can

be made on the basis of the survey conducted are mentioned as follows:-

1) In order to ensure the first parameter i.e. all services should come to Air Tel the

company has to somewhat change its policy towards its dealers which are the

important channel partners. Their satisfaction along with customer satisfaction is

must for the company’s success. Therefore the dealers should be given the much-

needed recognition. The company should promote them and the company should

advertise their name along with the promotional campaign.

2) One more thing that the company should do is to limit its channel partners. There

are now so many dealers, sub-dealers, authorized as well as unauthorized, which are

disturbing the market. Some have the only motive of making money and thus pass

on the business only to those from whom they get more. Therefore in order to

52
 improve the market condition and to maintain the faith of loyal dealers, the

company should limit the number of dealers and there should not be more than one

or two dealer covering particular area/areas. Also the dealers with low performance

should be removed from the channel.

3) Regarding the second parameter i.e. timely activation the major problem

encountered is System Down. Most of the time system is down which causes delay

in activation. Therefore some technical solution should be developed to overcome

this problem.

4) The other problem encountered in this regard was rush at the franchisee because

there are number of dealers under the control of one franchisee and moreover the

franchisees also deal with the customers directly coming to them. To improve the

situation more computer systems should be installed at the franchisees and separate

executives should be appointed for the activation of customers directly coming to

the franchisees and activation coming through dealers.

5) With the internet revolution if it is technically feasible dealers should be asked to

install the computer with required configuration at their premises so that direct

activations can be made.

The dealers and franchisees take utmost care regarding the service plan to be provided.

From the total respondents surveyed only one case of wrong activation was found where

the activation was made on telephone. This should be avoided and customer should be

activated only when his CAF reaches the franchisee. Also immediately after the activation

a message specifying service plan with the tariffs that the customer has opted should appear

53
on the handset and proper instructions should also be given to the customers to read the

message and give his confirmation.

Some more improvements are as:-

(1) Being the best Service Provider Company should take more care of its customers

and channel partners.

(2) The company should improve the time taken to connect tot he customer care.

(3) Margins or cut-off should be improved..

(4) Only capable dealers should be allowed to exist in the market.

(5) Dealers should be timely informed about the new schemes launched.

(6) There should be regular or timely visit of area manager to the dealers.

(7) There should be proper interaction between the dealers. The company’s executive

should organize regular meetings of the dealers.

STRATEGY RECOMMENDED

With only two private cellular service providers in Delhi and one more managed by MNTL

coming into the picture competition will definitely be going to increase intensely.

Moreover falling tariff rates and mobile rates had made the situation even more worst.

With price playing not a crucial role the best thing for the company is to adopt a

differentiated strategy via improving the promotional campaigns and giving channel

partners the much-needed recognition. Also several new facilities like SMS service,

mobile Internet, video calling, and 3G services company can be provided freely or at very

nominal rates.

54
 CHAPTER 10

BIBLIOGRAPHY

Books & Magazines

• Monks, G. Joseph (1985), “Operations Management Theory and Problems”, McGraw

Hill Book Company, New York.

• Kothari, C.R., “Research Methodology”, Wishwa Prakashan, Delhi, 2004

• Koontz. O Donnel and Weirich-“Management”,Tata McGraw Hill Publishing

Company,New Delhi,2001.

• Basu, C. R.; Business Organization and Management, Tata McGraw Hill, Publishing

House, New Delhi, 1998.

• Delhi’s Cellular Cartel, Business today, January 2009.

• Economics times.-Newspaper

• Go to market strategy: Advanced techniques and tools for selling.

Internet

• www.bharti.com

• www.angelfire.com/tn/telecom

• www.yahoo.com

• www.google.com

55
 CHAPTER 11

QUESTIONNAIRE

NAME

ADDRESS

AGE GENDER

OCCUPATION PH. NO.

SALARY

1. What can you say about AirTel’s services for customers ?

a. Poor c. Better

b. Good d. Best

2. What can you say about AirTel’s services for dealers ?

a. Poor c. Better

b. Good d. Best

3. How would you rate Air Tel’s network in your area?

a. Poor c. Better

b. Good d. Best

4. What types of internet services customers mostly want ?

a. Easy to use c. Faster in use

b. Cheapest to use d. Other

56
5. Dealer’s satisfaction for the time taken by the franchisees.

a. Yes b. no

6. Are you using any tariff plan ?

a. Yes b. No

7. Dealer’s satisfaction with the margins or cut-off provided by the company.

a. Yes b. no

8. Dealer’s overall rating to the customer care department.

a. Excellent c. so so

b. Very good d. dissatisfied

9. Dealer’s overall level of satisfaction with the company’s services.

a. Excellent c. So so

b. Very good d. dissatisfied

10. Best/Distinctive features of the company.

a. Low rates c. Internet services

b. Network connection d. Roaming services

57