24644002 Consumer Perseption Towards Telecom Services | Survey Methodology | Sampling (Statistics)

Consumer Perception Towards Telecom Services

In Ahmedabad

SYNOPSIS

Aim:
The aim of this study is to analyze critically the Ahmedabad’s customer preference and their satisfaction in Telecom Sector.

Objective of the Study:
1) To determine the technical factors which influence the purchasing behavior of mobile connection. 2) To determine the marketing process elements which influence the purchasing behavior of mobile connection.

Commerercial Viability of Study:
In today’s scenario communication has become much faster day by day by telephone, internet, media etc. One of them is growth of Telecom sector. Today many organizations provide services for telecom purpose. This study will help to understand customer preferences and their satisfaction by the service provided by different organizations in this sector. It will also help these organizations to form various strategies and getting the results from marketing efforts.

Research Methodology:
This research consists of primary and secondary research. Primary Sources 1) Interaction with customers by filling up of questionnaires. Secondary Sources  Books  Internet  Articles  Magazines  Project reports  News papers

Acknowledgement

The success of this project depends upon the contributions of many people, especially those who shared their precious and valuable time in giving thoughtful suggestions to improve our work. We would like to extend our sincere feelings towards our project guide Prof. KAVITA SHARMA whose continuance guidance made this project a great success. We especially thank our institute called IBMR which gave us this golden opportunity to prove ourselves by doing something which is blend of both practical and theory. A very special thanks to our Honorable Dean R.K. BALYAN and some students & people who shared their opinion with us.

UTKARSH SINGH

YOGENDRA PRATAP SINGH BADORIYA

and at a much faster pace. broadcasting and information technology progresses. With the digitization of exchanges and up gradation of external network the fault rate has come down. The rapid technological advances which have taken place in the telecom sector have brought about significant improvements in the quality of service provided to customers. the service providers expected to become more sensitive and responsive to the customers needs and choices and endeavor to give him great satisfaction. reliability and connectivity through private sector participation and to bring about much needed improvement in the quality of Services. availability. The impetus of these changes expected to continue. . TRAI has the mandate to safe the customer’s interest and to set the standards of quality of service. Liberalization of telecom sector of Indian economy aims at improving accessibility.EXECUTIVE SUMMARY The development of telecom sector has experienced a major process of transformation in terms of growth. Through increased competition. technology content and market structure in the last decade through policy reforms introduced by government. higher level of consumer satisfaction with affordable prizes and better quality of services achieving or not. Wireless telephone and internet are expected to be the preferred means of communication as convergence of telecommunications. The study aims to analyze that with the increase in competition in telecom services.

3 Vodafone 6.1 The specific targets mentioned in the NTP 1999 4. Major Players in different segments of Indian telecom industry 6.3 Expansion of Telephone network 4. Introduction 1. Government Policies 4.1 Airtel 6.2 Theory development .2 Quick Facts 2.INDEX 1.2 Idea 6.1 Approach to problem 7. Journey of telecom sector after 1991’s liberalization policy 4.4 BSNL 6.2 Rural Telecom Network 4.5 Reliance 6.4 Entry of private sector in both basic and VAS 4. Research objective 7. Evolution of the industry-Important Milestones 3.5 VAS challenges 5.6 Tata Teleservices 6.7 New entries 7.1 Functions of TRAI 6. TRAI 5.1 History 1.

1 Types of Research to be undertaken 8.3 Model development 8.4 Questionnaires development 8.3 Scaling methods 8.5 Sampling technique 8.2 Company wise Analysis 11.7 Limitation of study 8. List of Abbreviations used . Research Design 8. Data analysis 9.7.6 Field work 8.2 Survey method 8. Conclusions and Recommendations 12.2 Observations 10. Bibliography 15. List of figures 13. Findings 10.9 Assumptions 9. Questionnaire 14.1 Total Analysis 10.8 Sample size 8.1 Sampling 9.

Introduction The Indian Telecommunications network with 110. as compared to only 40% in 2003.5 million new subscribers per month by 2007.57 million in FY2004. In the last 3 years. Today. wireless now accounts for 54. There are primarily 9 GSM and 5 CDMA operators providing mobile services in 19 telecom circles and 4 metro cities. covering 2000 towns across the country. The total subscriber base. Government of India aims at 9 million broadband connections and 18 million internet connections by 2007. Consequently. two out of every three new telephone subscribers were wireless subscribers. Wireless subscriber growth is expected to bypass 2. it is the fastest growing market in the world and represents unique opportunities for U. the Indian telecom industry is currently slated to an estimated contribution of nearly 1% to India’s GDP. which has grown by 40% in 2005. is expected to reach 250 million in 2007. .69 million in 2004 to 62. The wireless technologies currently in use are Global System for Mobile Communications (GSM) and Code Division Multiple Access (CDMA). The wireless subscriber base has jumped from 33.2005.S.The telecom network in India is the fifth largest network in the world meeting up with global standards. Presently.6% of the total telephone subscriber base.01 million connections is the fifth largest in the world and the second largest among the emerging economies of Asia. companies in the stagnant global scenario. According to Broadband Policy 2004.

Basic telephony service to private operators .HISTORY 1851 1947 Introduction of Telegraph services Foreign Telecom Companies nationalized to form PTT -Tele-density in 1980-81: 0.NTP 1999 .98 per cent $8.76 million 37. MTNL and VSNL formed -Telecom policy 1994 . .94 million 36.The fastest sale of million mobile phones (in a week).FDI: 74% (2005) -Having the world's lowest call rates the fastest growth in the number of subscribers (45 million in 4 months).The world's cheapest mobile handset . .2 billion 100 Million .(New Telecom Policy) -CAGR of around 85% since 1999 .72 million (March 2009) 391.Birth of a regulator: TRAI .The world's most affordable colour phone 1980’s: The Beginning Early to Mid 90’s: A Messy Affair Late 90’s 2000+ 2007-2009 Quick Facts Total telecom subscribers : Wireless subscribers : Wire line subscribers : Tele density : India’s service providers revenue in Q1 (2009) India’s Rural Mobile Phone Users : 429.3% -Introduction of public pay phones -Private Sector allowed -DoT.49% FDI .8 licensees began operations in Aug 1995 .

an exclusive provider of domestic and long-distance service that would be its own regulator (separate from the postal system) 1986 Conversion of DOT into two wholly government-owned companies: the Videsh Sanchar Nigam Limited (VSNL) for international telecommunications and Mahanagar Telephone Nigam Limited (MTNL) for service in Metropolitan areas. 1997 2000 2008 Telecom Regulatory Authority of India created. DoT becomes a corporation. a monopoly run by the government's Ministry of Communications 1985 Department of Telecommunications (DOT) established. BSNL 3-G Service is launched 10 . Telephone and Telegraph (PTT).Evolution of the industry-Important Milestones History of Indian Telecommunications Year 1851 First operational land lines were laid by the government near Calcutta (seat of British power) 1881 1883 1923 1932 Telephone service introduced in India Merger with the postal system Formation of Indian Radio Telegraph Company (IRT) Merger of ETC and IRT into the Indian Radio and Cable Communication Company (IRCC) 1947 Nationalization of all foreign telecommunication companies to form the Posts.

Telecom professionals are the key players in this transformation. Information and Globalization--are restructuring every aspect of business and society.Journey of telecom sector after 1991’s liberalization policy Three forces--Telecommunication. They play a crucial role as leaders in the changing dynamics of global 11 .

the Internet. Voice over IP. The changing lifestyle of human beings enhanced by Internet. telecom services also have to expand commensurately because it is one of the greatest infrastructure and life-blood for the modern trade and commerce. As trade and industry grows. Telecommunications services are used for a variety of purposes.commercial. Telecommunications when linked with computer becomes Information Technology. This fusion of telecommunications. e-commerce. facilitated by mobile communications and enriched by e-commerce would give a real boost to this industry. IT practically covers all aspects of business. The emerging new economy. technology. which is the most dominating technology of today as it influences the entire spectrum of the economy. powered by technology and dictated by the digital revolution is incredibly forcing the telecom industry to grow more than ever before. internetworking. Telecommunications is a key to modern economy infrastructure. Today the networks and companies will no longer be categorized on the basis of only voice. 12 .communications. Modern communities and businesses have come to rely on these services for: • Social contact such as keeping in touch with friends and relatives and for organising social activities. television web casting over Internet and video on demand is a reality. Modern age is the age of convergence and fusion for telecommunications. digital or even personal. manufacturing and other services. broadcasting and information technologies has resulted in amazing discoveries. Telecommunication has now become the backbone of any modern economy due to its all-pervasive nature of running through almost every human transaction . mobile and wireless communications strategy. data or video services they provide. They have to become info-communications companies providing a bundle of services.

Encourage development of telecommunication facilities in remote. Availability of affordable and effective communications for the citizens is at the core of the vision and goal of the telecom policy. including the rural areas. and • On-line business transactions. Access to telecommunications is of utmost importance for achievement of the country’s social and economic goals. Government Policies The main guiding policy for the telecom sector is the New Telecom Policy (“NTP”) 1999. Strive to provide a balance between the provision of universal service to all uncovered areas. ambulance and fire brigades. and the provision of high-level services capable of meeting the needs of the country’s economy. 3. 4. In this report Internet access is considered as a separate telecommunications service. Cultural and entertainment use. education and entertainment using Internet access. The objectives of the policy are as follows:- 1. 13 . Educational use where telecommunications services or applications replace or augment traditional delivery of education. • • • Emergency use for summoning police. 2.• Business purposes which cover a wide range of uses from customer contact and business transactions to inter-company communications. hilly and tribal areas of the country.

9. into Public Tele-info Centres having multimedia capability like ISDN services. 14 . Provide internet access to all district headquarters by the year 2000. transparency in spectrum management. Increase rural tele-density from the current level of 0. Encourage development of telecom in rural areas making it more affordable by modifying the tariff structure suitably and making rural communication obligatory for all fixed service providers. 7. Strengthen research and development efforts in the country and provide an Achieve efficiency and impetus to build worldclass manufacturing capabilities. Transform the telecommunications sector in a time bound manner to a greater competitive environment in both urban and rural areas providing equal opportunities and level playing field for all players. remote database access. Make telephone available on demand by the year 2002 and sustain the position thereafter so as to achieve a tele-density of 7 by the year 2005 and 15 by the year 2010.. 5. Achieve telecom coverage of all villages in the country and provide reliable media to all exchanges by the year 2002. 8. 4. 10.Enable Indian Telecom Companies to become truly global players. The specific targets mentioned in the NTP 1999 are: 1. Convert PCOs. 3. 2. telecom and consumer electronics and assist emergence of India as an IT superpower. media. 6. Protect defence and security interests of the country. and assist emergence of community information systems etc. Create a modern and efficient telecommunications infrastructure taking into account the convergence of IT. wherever justified.5.4 to 4 by the year 2010 and provide reliable transmission media in all rural areas.

Out of the 5. Rural tele-density to be raised to 4 per hundred by the year 2010. In percentage terms 94% villages have been covered by VPTs and 6% villages are yet to be covered.42 million subscriber base of wireline. 5.93. 15 . Achieve 100% telecom coverage of villages by the year 2002 and provide reliable transmission media in all rural areas. There was a decrease of 4572 VPTs during the financial year. 33. RURAL TELEPHONE NETWORK The objectives and targets of NTP 1999 for rural telephone network are as follows: 1.19. The total no. Out of total 39. 3. of VPTs of BSNL was recorded at 5. 485 villages in the country.616 in March 2008 as compared to 39. Provide high speed data and multimedia capability using technologies including ISDN to all towns with a population greater than 2 lakhs by the year 2002. The private operators share in these VPTs is very negligible and almost the entire VPTs have been installed by BSNL. the Rural Subscriber base was 11.6.503 villages have been provided with Village Public Telephone (VPT).20.982 villages are yet to be connected with a VPT. Encourage development of telecom in rural areas by making it more affordable through tariff restructure and making rural communication obligatory for all fixed service providers. The Rural teledensity as on 31st March 2008 was 9. 2.887 VPTs of private operators as on March 2007.59.64 million on 31st March 2008.

12%.EXPANSION OF TELEPHONE NETWORK The main objectives and targets of NTP 1999 with respect to expansion of telephone network. The total number of subscriber crossed 26149 million mark by the end of 16 . remote database access and information systems etc The subscriber base of basic services (Wireline) recorded marginal decrease by 3.28% in 2007-08 over the previous year. 4. Conversion of PCOs wherever justified.34 million in 200607. 2. are as follows: 1.96 million a compared to 66. The growth in absolute numbers in mobile subscribers during 2007-08 was 95. Provide high speed data and multimedia capability using technologies including ISDN to all towns with population greater than 2 lakhs by the year 2002. The mobile industry has witnessed annual growth rate of 58. which has been discussed above. 3. other than rural network. into Public Tele-Information Centres having multimedia capabilities like ISDN services. Provide internet access to all Districts Headquarters by the year 2000. make telephone available on demand by year 2002 and achieve tele-density of 7 percent by the year 2005 and 15 percent by the year 2010.

In line with the TRAI’s Recommendations. By March. Another service within the telecom sector. 2008.63%. the subscriber base of Broadband increased from 2.37 million CDMA subscribers. 1994. 1996. which recorded substantial growth.23 on 31 st March 2007.09 million at the end of March 2008 recording a growth rate of about 19. in September. ENTRY OF PRIVATE SECTOR IN BOTH BASIC AND VALUE ADDED SERVICE Basic Service After the announcement of the NTP-94. the successful bidders were short-listed for providing basic services and in 1997. 17 . In early 1995. While the total number of subscribers of Internet services increased from 9. These Guidelines provided for opening the Basic Telephone Service without any restriction on the number of operators. The total subscribers comprises of 192. TRAI’ recommendations were sought for grant of fresh licenses for basic telecom service in the 15 vacant telecom Circles and for additional licenses in six Circles where licenses had already been issued.22 on 31st March 2008 as compared to 18.7 million GSM and 68.87 million at the end of March. 2001. was Internet and Broadband services. The overall tele-density during the year rose to 26. license agreements with private basic service operators were signed for six circles. the Basic Service did not take off soon after the licenses were awarded. bids were called for basic service and were received in August.27 million in March 2007 to 11. However.34 million in March 2007 to 3. the Government issued the Guidelines for issue of Licence for Basic Service on 25th January. 1995. Subsequent to the announcement of the NTP 1999. TRAI had given its Recommendations to the Government on 31st August 2000.financial year 2007-08. There has been significant expansion of the telecom network in the country as may be seen from the growth of various kinds of services mentioned above. the Department of Telecommunications issued Guidelines for private sector entry into basic telecom service. unlike other services.

M/s Bharti Airtel Ltd.By the end of March 2008. Value Added Services Telecommunications had traditionally been a voice communication service. Non-Voice services like SMS are examples of stand alone value added services. the VAS have unique characteristics and they relate to other services in different ways. there are two types of Value Added Services – (i) (ii) Value Added Services that stand alone from operational perspective and Value Added Services provided as an optional service along with voice service. connecting either directly to the short message service centre (SMSC) or to a messaging gateway that allows the telecom operators to have control of the content. The Value Added Services presently being provided by the telecom operators are in the following areas: 18 . (Rajasthan circle) and M/s HFCL Infotel Ltd. M/s Tata Teleservices Ltd. Basically. M/s Shyam Telelink Ltd. 5 private BSO Groups namely. All the five private operators had migrated to Unified Access Service Regime during 2003-04. They also provide benefits which the core services cannot provide. VAS are provided either directly by the telecom operators themselves or by a third party Value Added Service Provider (VASP). (21 circles). M/s Tata Teleservices (Maharashtra) Limited (2 circles). Unlike the core or basic services. which in telecommunication parlance is called Value Added Service (VAS). M/s Reliance Infocom Ltd. (Punjab circle) are licensed operators providing wireline service. VASP connects to the core equipment of telecom operators through interworking units using protocols like short message peer-to-peer protocol (SMPP). The services today have moved beyond their fundamental role of voice communications to a spectrum of non-core services. (17 circles). (20 circles).

No. Personal Horoscope / Personalized prediction Cricket scores. 9. 11.Sl. Type of Value Added Service News Finance Entertainment Travel Downloads Astrology service Cricket Missed call alters Description National. GPRS. Forex Games. Mobile TV Picture messages. Entertainment . 3. 13. Navigation etc. 5. 4. IVR and Web Devotional. Miscellaneous VAS challenges…… 19 . Movies & Music. Ringtones. picture clippings Health tips. 15. E-mail Music on demand Contest GPRS / WAP MMS Health M-commerce 16. Business. Caller tones etc. 8. cricket commentary Subscriber to get a SMS alert of incoming calls when the subscriber’s mobile phone is switched off / not reachable and busy E-mail through SMS Dial a song Reality shows Mobile Internet. BSE. 14. 2. NASDAQ). Fun. 1. Airlines Logos. International. SMS. 6. Mobile Chat. 7. Match clippings. Sports News Stocks (NSE. Mobile TV and Jokes Railways. Beauty tips Transactions based services with multiple payment modes and support in multiple domains like WAP. 12. 10.

Operator Challenge • Operators focusing on subscriber acquisition with no incentives to push VAS in light of current spectrum allocation criteria Spectrum constraints and delay in 3G roll-out has substantially limited high-end VAS take-off • User Challenge Operators not driving users awareness to promote various VAS offerings Ease of use.599 (USD 63) Pre-loading of applications by handset OEMs has not really caught on yet • 20 . IVR etc. • • Value Adde d Servi ces Revenue Challenge • Ongoing tussle between operators and VAS companies for revenue share continues Since alternative models haven't evolved yet. this has hampered VAS innovation Content Localization Challenge • • Operators haven’t done much to customize content according to consumer behaviour • Limited availability of local web content and WAP versions of whatever is available • Device Challenge • Providing feature-rich handsets at low cost is a big challenge with GPRS enabled handsets still around INR 2. user interface and familiarity with medium of access such as GPRS.

21 .

public psyche etc. It’s a matter of concern that INTER CONNECT USAGE REGIME ordered by the same agency is being reviewed again by itself within two month’s of it’s enforcement. e. BSNL and RELIANCE . It’s appropriate time to review the role of TRAI and other Statutory Regulatory bodies by the public forum and parliament as well. to various telecom operators and the crucial policy changes with regards to service changes. IRDA etc. as has been entrusted with the statutory power. into oblivion. It could have been reviewed before it has been implemented or could have been kept for public perception or operator’s opinion. If an telecom regulator of a country having almost 7 crores telephone connections could act in such a haste manner without taking into consideration of aspects of technical feasibility. Plainly speaking it’s job could be comparable to an umpires’ of a game field. umpiring on behalf of the public for smooth telecom service. TRAI is there only to make it costlier. The skirmishes encompassing TRAI came to limelight due to conflict among various telecom operators. If they could offer cheaper telecom services them. was felt when the telecom sector was open to private sector. It has been given the liberty to act without the intervention of bureaucracy or some self-serving politicians. rather than giving it a free reign to act on this way to the tune of certain players. TRAI should not prevent them in the name of ’PREDATORY PRICING ’. Unfortunately.TRAI TELECOM REGULATORY AUTHORITY OF INDIA Telecom Regulatory Authority Of India . Though operators have the requisite expertise technically and financially to provide cheaper telecom service.g. The necessity to form such a regulatory body in line with SEBI. chronologically. If one reviews the sequence of it’s orders/regulations. That’s exactly the duty of this regulatory body. accounting. 22 . a statutory and quasi-judicial body was formed by an Act in Indian Parliament to regulate the vast telecom sector. the monopolistic and arbitrary attitude is clearly visible.

since TRAI did not then exist. But users in the circles (which are typically the same as states) would be charged Rs10 per call for the same facility. it managed to inflict several on the users and other service providers.a landmark one. TRAI quashed DoT’s (Department of Technology) order of January 29. But in trying to correct one injustice to itself. it would have made sense for DoT to seek legal advice on how to correct a mistake. 23 . as the body had been formally constituted by then. as the body is in charge of tariffs. Delhi. which had sought to hike rather steeply. They seemed to have cut a very sorry figure before TRAI. whose stand was accepted by the TRAI. the price of calls made by users of ordinary fixed line phones to cellular subscribers in the non-metro areas. to make long distance calls without paying STD charges. This judgment and its no-nonsense approach could well set the stage for things to come. delivered with speed and style. 1997. would accept privately that the respondent DoT was poorly served by many of its officers and lawyers who were entrusted with the task of representing DoT’s case. ignoring or not being prepared by reading pertinent papers. On the face of it. Chennai. Fixed line users pay local call rates when they dial a cellular number in the four metros (Calcutta. DoT is entitled to want to change this state of affairs. DoT had raised current rates on grounds that such charges were low and allowed users in the circles which are much larger than metros.On April 25. An appeal to TRAI could perhaps have been recourse. Since the tender documents mentioned that tariffs would be the same for circles and metros. or the correspondence that DoT was having with the operators later. Even the cellular operators. and Mumbai). The cellular operators lost no time in going to the courts. the clarifications offered to would-be bidders. The courts in turn took an enlightened decision to pass the matter on to TRAI on March 3. the recently constituted Telecom Regulatory Authority of India (TRAI) gave its first judgment -. such as tender documents. if the DoT order in question had not been quashed. if that is what it was.

The judgment clearly says that the order of DoT to raise the tariff was passed before the TRAI was formally constituted and during the said period in question. Mandatory Functions 24 . Function of Telecom Regulatory Authority of India Functions of TRAI 1. the DoT was the sole body with the power to amend tariffs. Recommendatory Functions  Need and timing for introduction of new service provider  Terms and conditions of licence to a service provider  Revocation of license for non-compliance of terms and conditions of license  Measures to facilitate competition and promote efficiency in the operation to facilitate growth in industry  Technological improvement in services by service providers  Inspection of type of equipment used by service provider  Efficient Management of available spectrum 2. broadcasting and cable services in a manner and at a pace which will enable India to play a leading role in the emerging global information society. The body was not persuaded about the justness of DoT’s order. Nor was TRAI particularly impressed by the operator’s contention that DoT was not authorized to raise these tariffs.TRAI took a few weeks to give its judgment and ruled against the Department of Telecom. Mission To ensure that the interests of consumers are protected and at the same time to nurture conditions for growth of telecommunications.

ensure this by periodical survey  Lay-down and ensure time period for providing local and long-distance circuits of telecommunication between different service providers 3. Other functions  Levy fees and other charges as determined by regulations  Perform administrative functions as entrusted to it by Central government or as per TRAI act  Notify in Official Gazette the service rates and message rates within and outside India Major Players in different segments of Indian telecom industry 25 . Ensure compliance of terms and conditions of license  Fix the terms and conditions of their inter connectivity between service providers  Ensure Technical compatibility and effective inter-connection between different service providers.  Regulate arrangements for sharing of revenues amongst service providers  Lay-down the standards of QoS to be provided by service provider.

Basic Services Operators GSM Services Operators BSNL Airtel MTNL Vodafone Reliance Idea TTSL Reliance BSNL Internet Services Operators BSNL Reliance CDMA Services Operators MTNL TTS Reliance TTSL Airtel 26 .

Thus making it a sister company of the brand. formerly known as Bharti Tele-Ventures LTD (BTVL) is India's largest and world's third largest cellular service provider with more than 82 million subscribers as of December 2008. The company provides end-to-end data and enterprise services to the corporate customers through its nationwide fiber optic backbone. ISP and international bandwidth access through the gateways and landing station. Airtel is a brand of telecommunication services in India and Sri Lanka owned and operated by Bharti Airtel. The company also has a submarine cable landing station at Chennai. SingTel owns over 30% of the Bharti Telecom. It also offers fixed line services and broadband services. The company also provides telephone services and Internet access over DSL in 14 circles. Long Distance Services and Enterprise 27 . It offers its TELECOM services under the Airtel brand and is headed by Sunil Mittal. which connects the submarine cable connecting Chennai and Singapore.Airtel Bharti Airtel. It is the largest cellular service provider in India in terms of number of subscribers. Internet Connectivity(DSL) and Leased Line). Vodafone is also a shareholder of Airtel with 4% of the shares. broadband & telephone services with national and international long distance services. Services are offered under the brand name Airtel: Mobile Services (using GSM Technology). last mile connectivity in fixed-line and mobile circles. The company complements its mobile. Broadband & Telephone Services (Fixed line. VSATs.

Services (Telecommunications Consulting for corporates). VISION AND MISSION OF THE COMPANY -:Vision:• First private telecommunications company to launch long distance services. • Benchmarked by more business • Targeted by top talent • Loved by more customers • By 2010 Airtel will be the most admired brand in India -: Mission:• We will meet the mobile communication needs of our customers through Error. It has presence in all 23 circles of the country and covers 71% of the current population.free service delivery • Innovative products and services • Cost efficiency • Unified Messaging Solutions 28 .

brand !dea has 47. A. Hindalco Industries Ltd.02% 9.13% B. IGH Holdings Pvt. and 12. The current Group holding of 49. corresponding to a 11.15% 7. cement.08% 49. garments.9 % in its 15 operating service areas. fertilisers. life insurance and financial services among others. The Group has businesses in sectors ranging from metals.Idea Idea Cellular Limited (“Idea”) is a leading mobile services operator in India.1 mn subscribers. Ltd. Promoter Group Idea is part of the Aditya Birla Group. The group operates in 25 countries. Birla TMT Holdings Pvt.13% in Idea is made up of. After inclusion of Spice Communications.3 % in its 8 established service areas. Key Shareholders 29 . and is anchored by an extraordinary force of over 130. Over half of the Group’s revenues are derived from overseas operations. Aditya Birla Nuvo Ltd.37% 5.000 employees belonging to 30 nationalities. Idea has a subscriber market share of 19. Grasim Industries Ltd. Ltd. Total 27.0% national subscriber market share as on June’09.52% 0. India's first truly multinational group.

Rajasthan.99% shareholding in Idea Cellular. has 14. Bangladesh and Cambodia. Brand !dea has extended it coverage to Orissa service area in April’09 and the Tamil Nadu service area (excl. The service areas of Punjab and Karnataka were added through Spice w. India and Indonesia are among the fastest growing markets in the world. viz.e. 30 . through its affiliates has a 10. Bihar & Jharkhand. Rajasthan and Himachal Pradesh were rolled out during Sep-Nov’06. Chennai) in May’09. C. Services in Chennai were launched in July’09. With the proposed merger of Spice Communications into Idea Cellular. and significant stakes in India and Singapore. 2008. Providence Equity Partners. and has also invested INR 20982 mn in ABTL through Compulsorily Convertible Preference Shares.000 people in 10 countries. Sri Lanka. covering ~ 90% of the all India subscriber base Of these.6% shareholding in Idea. and provides employment to over 25.AXIATA Group Berhad (previously TM International Berhad).0% holding in Spice Communications. Madhya Pradesh & Chhattisgarh.f October 16. and a 49. Uttar Pradesh West & Uttaranchal. Punjab and Karnataka. Mobile Coverage Area Brand !dea covers 17 telecom service areas. Tamil Nadu. while the 2 service areas of Mumbai and Bihar became operational during Aug-Oct‘08. the 3 service areas of UP East. Himachal Pradesh. AXIATA has controlling stakes in its affiliates in Malaysia. Haryana. through its affiliates. Maharashtra & Goa. Andhra Pradesh. Gujarat. the Group has close to 94 million mobile subscribers in Asia. the Axiata Group holding in Idea Cellular would increase to around 20%. Delhi. Kerala. Indonesia. Mumbai. As of March 2009. Uttar Pradesh East. Orissa.

It now has operations in 25 countries across 5 continents and 40 partner networks with over 269 million customers worldwide.Vodafone Vodafone Essar in India is a subsidiary of Vodafone Group Plc and commenced operations in 1994 when its predecessor Hutchison Telecom acquired the cellular licence for Mumbai.Can I use my phone in a lift? .Innovate and deliver on customer’s total communications needs. Vodafone too.what is airtime? Commercial Strategy of Vodafone 31 . Vodafone has partnered with the Essar Group as its principal joint venture partner for the Indian market.63 million customers. Vodafone Essar now has operations in 20 circles with over 54.Can I call std? . needed to educate consumers about cellular telephony:. Vodafone is the world’s leading international mobile communications company. Market Strategy of Vodafone • • Our strategic objective is .

Hub and spoke .Help desks BSNL 32 .Shops and call centers .Exclusive shops .Associate distributions • Customer service .Mass media coverage • Innovative distribution to reach the customer .• Rebranding .Stores .Vans .

Internet. therefore. Telecom in the modern world is expected to usher a concept of global economy and single world market place. is part of modern global network.0 lakh as on March 31. WLL and mobile. Sub-Divisional headquarters. Broadband. The company has taken over the erstwhile functions of the Department of Telecom in respect of provision of telecom services across the length and breadth of the country excluding Delhi and Mumbai. Tehsil headquarters and almost all the Block Headquarters. BSNL nation-wide telecom network covers all District headquarters. leased circuits and long distance telecom Service. The company has also been in the forefront of technology with 100% digital new technology switching network.(BHARAT SANCHAR NIGAM LIMITED) BHARAT SANCHAR NIGAM LIMITED (BSNL) was formed on October 1. of India owned Public Sector Undertaking. BSNL telecom network. BSNL is a 100% Govt. 33 . BSNL is a technology-oriented company and provides all types of telecom services namely telephone services on landline. providing access to countries around the world for transporting information in the form of voice and data. Telecommunications is a basic infrastructure along with power and transportation and is thus recognized as the means for accelerating the economic growth in all the regions including remote and inaccessible areas in the country. 2008. 2000 by corporatisation of the erstwhile Department of Telecom operation & Department Telecom Services. BSNL has one of large base of skilled work force of around 3.

Online sale of Pre-paid cards of IN services is available. Nos.431 54. Voice VPN (Virtual Private Network).02. IN Services are available throughout the country. Tele-voting service is provided by BSNL's Mass Calling IN platform at Hyderabad to programs such as 'Indian Idol'. FLPP Pre-paid over Post. UPN (Universal Personal Number) & Tele-voting & Fixed line Pre-Paid (FLPP) Service.05. Various IN services being offered by BSNL are ITC & Call Now (Prepaid Calling Cards). ACC (Account Card Calling).11. Wire line Connections WLL connections Mobile Connections Broadband Connections Internet connections Unit Nos. BSNL CellOne & MTNL landline is available.306 1. FPH (Free Phone).038 4.865 8.423 34 . UAN (Universal Access Number). 1 2 3 4 5 Parameter No.INTELLIGENT NETWORK With the commissioning of 5 new technology IN Platforms (4 r General-Purpose and 1 Mass Calling).091 Status as on March 31. "Kaun Banega Crorepati" (KBC)". 2009 2.93. Nos.035 1.33.471 36.31.55. Combined Voice VPN including BSNL landline. Achievement during 2008-09 22.67. PRC (Premium Rate Calling). Nos.35. Achievements during 2008-09 Sl. Nos.196 35. BSNL has signed an interoperability agreement for making available BSNL's Toll and UAN service through network of almost all the private operators.93.05. Fixed Line Pre-Paid (FLPP) telephony service for PCOs is available.paid service is available on telephone connections.46. "Sa re gama" etc.57.156 15.

ril. However. government and public sector organizations. This marked the beginning of Reliance's vision of ushering in a digital revolution in India by becoming a major catalyst in improving quality of life and changing the face of India. national and international long distance services. businesses. it has now acquired a unified access license for 18 circles that permits it to provide the full range of mobile services. Reliance Infocomm plans to extend its efforts beyond the traditional value chain to develop and deploy telecom solutions for India's farmers. It now wants to increase its market share and has 35 .Reliance Communication Reliance is a $16 billion integrated oil exploration to refinery to power and textiles conglomerate (Source: http://www. covering mobile and fixed line telephony including broadband.html). Reliance IndiaMobile. Reliance Infocomm offers a complete range of telecom services. domestic long distance and international services. Until recently. It is also an integrated telecom service provider with licenses for mobile. It has rolled out its CDMA mobile network and enrolled more than 6 million subscribers in one year to become the country’s largest mobile operator. hospitals. Reliance was permitted to provide only “limited mobility” services through its basic services license.com/newsitem2. the first of Infocomm's initiatives was launched on December 28. 2002. fixed. data services and a wide range of value added services and applications.

over 200. it intends to attack the broadband market. Punjab. Kolkata. Uttar Pradesh (East) & West and West Bengal. Himachal Pradesh. The company hopes to start off services in these 11 new circles by August 2004. by paying a Rs.45 billion ($120 million) fee.000 subscribers. which enables it to provide fully mobile services as well. Tamil Nadu. Orissa. Kerala. It has over 800.000 employees and more than 2. It has now migrated to unified access licenses. Tata Teleservices Tata Teleservices is a part of the $12 billion Tata Group. 4. virtually gives the CDMA mobile operator a national footprint that is almost on par with BSNL and Reliance Infocomm. 36 . and Karnataka. Rajasthan. Tata Teleservices provides basic (fixed line services). Haryana.17 billion ($90 million) to DoT for 11 new licenses under the IUC (interconnect usage charges) regime.3 million shareholders. coupled with the six circles in which it already operates. Andhra Pradesh. Gujarat. The company is also expanding its footprint. New Delhi. using CDMA technology in six circles: Maharashtra (including Mumbai). 5. These circles include Bihar.recently launched pre-paid services. which has 93 companies. The new licenses. and has paid Rs. Having captured the voice market.

List of Related figures
Market Share of GSM & CDMA

Market Share of GSM Players

37

Market Share of CDMA Players

Market Share of All Players (Over all and Rural)

38

Subscriber Growth

Tele Density

Year 1999

Urban Tele Density 2.33
39

Rural Tele Density 0.58

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009

2.86 3.58 4.29 5.11 7.02 8.95 12.74 18.22 26.22 36.98

0.68 0.93 1.21 1.49 1.55 1.73 2.34 5.89 9.46 15.11

RESEARCH OBJECTIVES

Research objectives include the objective of research of the researcher before starting any research. The researcher should determine the objective or the goal of the research for the smooth functioning of study. Predetermine objective should be of such that researcher fulfils in the certain period of time at minimum cost.

Following are the research objectives, which we have developed…

 To determine the factors which influence the purchasing behavior of mobile connection.  To determine the marketing process elements which influence the purchasing behavior of mobile connection.  To understand the improvement and customer preference in telecom services.

40

celebrity involvement. value added services. Promotional activities 4. switching cost. When a customer decides to purchase a mobile connection. he normally considers tariffs. I have initially identified some variables. Technology 2. network. he normally Considers 1. Non probability sampling technique (convenience sampling technique) has to be used. brand image. Then I will use T test. So buying a mobile connection is based on the simultaneous activation of these variables. Celebrity involvement 5. after sales services. Brand image 41 . availability of complementary products and marketing mix. graph and cross tabulation methods to analyze the data and then finding will be interpreting with the existing body of knowledge. promotional activities. Tariffs 3. Approach to the Problem  Theory Development: To identify the determinant factors regarding purchasing behaviors of mobile connection that could improve the efficiency to get the customers or make the customers switch from the competitors’ products. which are significantly correlated with the purchase of mobile connections. When a customer decides to purchase a mobile connection. To study customer satisfaction and understand the current market scenario in telecom sector. frequency distribution. These variables are to be described under the descriptive research. word of mouth.

Value added services 7. Network 8. Drive for immediate solution leads to immediate purchase of mobile connection Purchasing decision making based on some determinant factors 42 . Availability of complementary products  Model Development: Need for communication with relatives/people Status Factor in Society Drive for immediate solution. After sales services 9.6.

I have gone to conduct this project base on Descriptive research technique because I want to test the significant level of the particular factors.Specific mobile connection has been purchased and met the satisfaction Research Design Types of Research to be undertaken: Among the different types of researches I have chosen Descriptive research for this project. Among two types of Descriptive research techniques I have gone for Cross-Sectional design because I have wanted to collect data from the sample of population element only for one time. (a) Primary Data Collection Method:  Survey method was used for primary data collection. From Cross-Sectional designs I have taken Single cross-sectional design to carry out my research.  Structured questionnaire. (b) Secondary Data Collection method: 43 .  We used questionnaire as an instrument for survey method.

44 .  Information gathered from TRAI Website. The nature of the research is basically of two types. I have chosen Mall intercept survey technique because it has higher Flexibility for data collection. Information from Related Peoples.” “Basic Research is generally for common purpose and Applied research is for specific purpose. And also it is higher in Control of data collection environment and moderate Use of physical stimuli.” “Applied Research is carried out for solving of a particular problem or for guiding a specific decision. According to this technique I have needed to go directly to my sample unit and got the questionnaires filled.  Information gathered from Different Sites of the companies. Diversity of questions. • Basic Research • Applied Research “Basic Research is that intended to expand the body of knowledge in a field or to provide knowledge for the others. Response rate. and Social desirability. The sources for data collection are both primary and secondary data sources.” Here the nature of the research is basic. Survey method: Among four types of survey methods I have chosen the appropriate one that suited my research objectives. and usually its results are private. From the personal techniques I have selected mall intercept technique. I have chosen the personal survey techniques.

Because I have wanted to do my research based on five dimensions which have been strongly disagree. neutral. Then I have given assurance that your information will be kept confidential. Sampling Technique: In case of my research my target population has been the students and the general people of the Ahmedabad city. I have conducted my research through non-probability sampling techniques and among non-probability sampling techniques I have gone for convenience sampling technique. Only by Non-comparative scaling technique it can be done. Then I have 45 . agree and strongly agree. I have gone for screening and then I have prepared the body of the questionnaire. disagree. The students and general people who are using the mobile connection or intended to purchase the mobile connection have been sample unit. the sample size has been 50.Scaling Method: Since I have conducted descriptive research. That’s why for administering this research. Most importantly as it is an academic research it lacks money and time. I have just introduced myself and the reasons why I am collecting data. Questionnaires have been structured questionnaires based on non comparative scales techniques. Questionnaire development: First of all I have given the introduction. Lastly I make respondents profiles. And among two types non-comparative technique I have used itemize technique and from three itemize techniques I have taken Likert scaling which range from 1 to 5 point scale. I have chosen non-comparative scaling technique because I have wanted to measure the influence of each and every factor on the purchasing behaviors of the target market separately.

In the professional research. Sample size: During the project study we attached to near about 400 people of Ahmedabad. Limitations Of The Study:  Reluctance on the part of the respondents to provide exact details. Since it is an academic and individual research I myself have to go and collect the data from the respondents. research firm use its own people or external people to collect data for the sample. 46 .  Chance of sampling mistake. These people belongs to the different parts of the city. Field work: Field work is a general descriptive term for the collection of raw data.  Sample size may not sufficient. Assumptions: 1) The area selected is assumed to represent whole universe of Indian rural telecom market.carried out the research by myself very efficiently and accurately to come to an end with a solution of the marketing research problem statement. I have gone to the people in the Ahmedabad city and get the questionnaires filled.

interviewer or any other mediaries.2) Data collected are assumed to be bias free from side of respondents. 3) Whole research and analysis part based on data collected is carried out under unbiased environment and without any influence of any factor which can lead to deviation in result. Data Analysis (Methodology) Sampling Sample Size : 200 47 .

Age and Gender : Normally consumers’ needs and wants change with age. There are certain types of mobile connection which attract different types of aged people as well as different sex. 10-20 21-40 More than 36 106 30 48 . There some mobile connection (packages) which adopted by male people and there are some mobile connection (packages) which get adopted by female people.Sample Frame : Ahmedabad City Sampling Method : Simple Random Sampling Constraints Sampling Error : Time. of respondent.28 Survey : Questionnaire Observations 1. Biased opinion : Response . No.172 Non-response .

Form their responses I will be able to understand the various aspects of my research topic. Male Female 102 70 2: Total samples (Gender Wise) 49 . among 100% respondents.40 1: Total samples (Age group) 17 % 21 % 62 % According to the above bar diagram. These respondents have informed their choosing factor for purchasing mobile connection.

The consumption tactics of consumer depends on how they handling their relations. 2. Among 100% respondents. male is % and female is %. Single Married 110 72 3: Total samples (Marital Status) 50 .According to Graph-2 the majority of the respondents are male. Single & married perceptions are different from each other. Marital Status: Consumption and expectations on mobile from consumers changes according to the marital status.

Student House Wife Public service Private service Businessman 80 13 8 19 52 4: Total samples according to working status 51 . private service. student. Working Status:The purchasing behaviors depend on the occupation of the individuals.3. Housewife and for making my questionnaire non force I have kept an option blank. For My research I am simply interested about public service.

5 Among 100% respondents. % is housewife and % businessman. % students. 4. Educational Qualification: Under Graduate Graduate Post Graduate Others 55 48 69 0 5: Total samples according to educational status 52 . % are private service holders. % are public service holders.5 % 46 11 5% 7.30.

Service Provider BSNL Airtel Vodafone Idea Reliance Tata Indicom Others 27 24 46 33 34 6 2 6: Total Service Provider (% wise) 53 .5.

2 % 15. Time spend : Time spend with mobile connection shows how much customer is satisfied with their connection.5 % 20 1.3. This shows the level of post purchase services of telecom giants.7 % 6. 0 – 3 Months 4 – 6 Months 7 – 12 Months 1 – 2 Year 2 – 3 Year More than 3 Years 0 5 18 24 69 56 54 .6 % 14 19 % 26.

Who influences most.5 10. the decision to purchase a telecommunication service in your family? This particular question helps companies to identify their current marketing strategies position. According to the answers companies can identify the segments whom they have for purchase intent.5 % 14 % 40 % 7. Self Spouse Parents Children Friends Salesman 72 9 27 13 45 6 8: Purchase influence factors of subscriber 55 .7: Total time spend by subscribers 3 % 32.

What advertising media has influenced you in choosing a telecom operator? This particular question targets the medium of advertisement. Shows which medium stands where according to awareness towards consumers. Print Media Radio Television Road side Advertisement Word-of-Mouth 28 13 80 7 44 9: Affect of Advertisement on Telecom Purchase 56 .8.

Print Media 9. How much you invest monthly on your phone? Up to Rs. 1001 – Rs.501 – Rs.500 Rs.1000 Rs.1500 More than 1500 76 54 30 12 10: Monthly investment on phone 57 .

10. Do you prefer online payment through your mobile service provider? Yes No 37 135 11: Chart showing Online payment statics 58 .

What do you think about the competition in the market? No Choice Some Choice Enough Choice Can’t Say 29 40 87 16 12: Chart showing market competition state according to customers 59 .11.

12. Given a choice with same number which service provider will you select? Airtel Reliance Vodafone BSNL Idea Tata No change 8 18 8 1 6 3 128 13: Preference to alternatives 60 .

How long do you have to wait in customer care? Up to 1 Minute 2 Minutes 3-5 Minutes 83 34 30 61 .Near about 75% of customers not interested in changing their service providers. Reliance has other positive signs as most want to switch over to it. More the consumer satisfied more they became loyal to company. This is a positive sign for companies. So this may increase it’s market share in near future. 13.

6-10 Minutes 11 Minutes or more 23 2 14: Performance of customer care in eyes of customers 14. What kind of expectations do you have with your service provider? Price Voice Clearity Network Good Services 42 9 58 63 62 .

15: Expectations from service providers 15. What is your purchase intent for news alerts on mobile phone? Astrology Sports Business 2 42 40 63 .

General News Entertainment 23 132 16: Purchase intent from mobile phone 16. Are you aware of the role of the telecom services in providing broadband without using cable network? Yes No 130 42 64 .

18. Are you aware of 3-G technology? Yes No 105 67 65 .

Hypothesis 66 .

calculate the test statistic.05 Using the data in our database. H1 : Other factors drive customers to purchase a mobile connection. Television is the most effective advertisement medium which influence the customer to purchase a mobile connection.1. There is some choice in the market for telecom service providers. 3. 4. Customers are self driven while purchasing a mobile connection. 67 . 2. The significance level is alpha=0. T – Test H0 : Null Hypothesis H1 : Alternative Hypothesis S : Standard Deviation α : Significance level df : Degree of freedom a) H0 : Customers are self driven while purchasing a mobile connection. Print media is the most effective advertisement medium which influence the customer to purchase a mobile connection.

05 171 -3.13 72 0. b) H0 : Print media is the most effective advertisement medium which influence the customer to purchase a mobile connection.76 0.65 Accept H0 α df t test statics lower value Decision Since the null hypothesis is accepted so we can say that costomers are self driven while deciding the purchase of mobile connection. H1 : Print media is not the most effective advertisement medium which influence the customer to purchase a mobile connection.23 1. 68 .Using excel.66 1. we get Sample size Sample mean S Standard error Null hypothesis 172 28.

4 1.05 171 0.05 Using the data in our database. c) H0 : Television is the most effective advertisement medium which influence the customer to purchase a mobile connection. calculate the test statistic.14 28 0.65 Reject H0 Since the null hypothesis is rejected so we can say Print Media is not the perfect communication medium between customers and mobile service providers. The significance level is alpha=0.47 -1.05 69 . Using excel.The significance level is alpha=0. H1 : Telivision is not the most effective advertisement medium which influence the customer to purchase a mobile connection. we get Sample size Sample mean S standard error null hypothesis α df t test statics lower value Decision 172 34.78 0.

calculate the test statistic.36 -1. Using excel.05 171 -3.Using the data in our database.4 1.65 Reject H0 Since the null hypothesis is rejected so we can say Television is not the perfect communication medium between customers and mobile service providers but it the best way one can attract the customer (According the data collected). d) 70 .13 80 0.78 0. we get Sample size Sample mean S standard error null hypothesis α df t test statics lower value Decision 172 34.

There is enough choice in the market for telecom service providers.06 40 0. Table : Null Hypothesis and their acceptance level 71 .10 Using the data in our database. H1 : There is no choice in the market for telecom service providers.65 Reject H0 The null hypothesis is rejected.1 171 . calculate the test statistic. It is a two tailed taste.H0 : There is some choice in the market for telecom service providers.87 0. The significance level is alpha=0.65 1. Using excel.45 -1. So according to customers in the market there is enough choice in the market for telecom service providers. we get Sample size Sample mean S standard error null hypothesis α Df t test statics lower value Upper value Decision 172 43 0.

distribution. 3. I also come up with important findings after conducting a research. Every company uses different tools to persuade the target markets to buy the products. price. But target markets are not basically concerned about Celebrities for buying the mobile connection. 2. Null Hypothesis Acceptance level 1. The target 72 . 4.N0. They give less importance on promotional activities than other marketing mix such as products. process etc. Here every telecom company has to strive to get the prospects as many as possible. They conduct market research very often to know about the choices of the target markets.S. The target markets are influenced by Promotional activities for purchasing behaviors of mobile connection. They do not get influenced by promotional activities which include classical conditioning rather they get influenced by the promotion which include operant conditioning. Customers are self driven while purchasing a mobile connection Print media is the most effective advertisement medium which influence the customer to purchase a mobile connection Television is the most effective advertisement medium which influence the customer to purchase a mobile connection There is some choice in the market for telecom service providers Accept H0 Reject H0 Reject H0 Reject H0 Findings: Total Analysis: Nowadays telecommunication sector is very competitive.

5. It means that the target markets go for that product which complementary are widely available regardless the network condition. One interesting finding is that target markets do not generally concerned about Brand image. Students and housewives are highly influence by any discount. They have chosen tariff as a most important factor to by mobile connection than brand image. 73 . In case of word of mouth. Student and Housewife value the celebrities for purchasing the mobile connection. Students. 4. After sale Services and value added services are the important factor to target market for purchasing the mobile connection. Public service holders. After relating occupation with other important marketing research question the following findings has been found- 1. Among respondents Public service holders are the most sensitive towards to tariff price 2. They rather prefer it than any promotional activities. rebate for purchasing the mobile connection. Target markets generally think of switching cost before purchasing a particular mobile connection. housewives.markets of the telecom industry seriously think of the tariff and put more importance on the tariff than any other factors. They can even tolerate interrupted network service to some extent as they put more importance on the tariff than network. Students and private service holders are concerned and value the brand image for purchasing the mobile connection. Target markets have chosen availability of complementary product over network. According to target markets network is important factor to purchase the mobile connection but not as important as tariff. 3. Target markets do value complementary products’ availability. But target market put importance on network than brand image. 6. Customers seriously consider the word of mouth. Private Service holders are most concern about network for purchasing the mobile connection. free sampling. private service holders value it for purchasing the mobile connection.

good services and network availability. 5. 3. So good positive signs to company. Entertainment and Business. Company should focus on news alerts related to Sports. 4. Customer wants affordable price. 2. Most of the company’s customers are driven through the ads on Television and Print Media. Fair chances in Broadband Services. So more focus on these medium will beneficial. 3 out of 24 customers want to switch to other operators and 8 want to join it.Company wise Analysis: a) Airtel-: 1. 74 .

So a bright future is waiting. Switch over to other operators is a threat to company. Not popular in the age group of 10-20.b)BSNL 1. 2. As most want to switchover to it. Voice clarity in between the calls is a issue company should focus. Customers are price conscious so there should be a tight eye on it. One of the fast growing service operators. 4. 2. 3. 3. 6. c) Reliance 1. Brand endorsement is working for company (Most influenced by television ads). Entertainment as a VAS generating good revenue. Need to enhance VAS. 4. 5. d)Idea 75 . Most popular in higher age group. This the feature attracting most of the customers. Mostly used for Broadband Services. Television and word of mouth working to boost sale.

Sports and Entertainment as VAS generating high revenue. f) Others 76 . Satisfaction of customers is strength to the company. 4.1. 2. 6. In the city it is the most loved GSM operator. Zoo Zoo magic works in city. 3. 3. Customer wants better services from the company as 20 out of 33 has expectations of Good Services. Like others Entertainment is a most revenue generating VAS. Most trusted Mobile brand in city. 2. Most popular in Age group of 21-40. Reliance communication is a big threat to company as it growing fast in price war period. e) Vodafone 1. Customers have expectations in price. network and good services are coming as a priority and can be a major factor in near future. As 27% customers trust the brand. Popular in each age group and in every working status sample. 5. 4. Some times Customer care may frustrate customers.

Not a good presence in the city. taking interview of experts I have developed a management decision problem statement. Then I have developed Marketing research Problem. But arrival of new service operators may change the current scenario. I have developed the research questions and finally I have developed the Hypotheses from the research question. Conclusions and Recommendations: After talking to decision makers. Television. 3. The sampling technique I have used has been convenience sampling technique. 2. The specific components have beenMarketing process. Then I have carried out the research. My target population has been the citizen of the Dhaka city who are a customer or future prospects of mobile connection. 77 . Technology. And among deferent methods I have chosen in-home survey method. Then I have gone for Descriptive research and among different descriptive researches I have taken single cross-sectional design. service ability switching cost etc. As low prices boost Reliance Communication market in the city TATA Teleservices should catch this opportunity as they are the initiator of the price war in the country.1. And from the marketing research problem I have identified some factors that influence the behaviors of mobile connection. Print media and Radio should be focused as advertisement medium. I have used Likert scaling technique and finally I have analyzed one sample t test and cross tabulation to relate two variables.

After analyzing the hypotheses I would like to offer some recommendation to influence the decision of mobile purchasing of the target market. So the mobile operator must build strong brand image so that target markets do not think much about tariff. So mobile operator must keep on providing rebates . 1) The operator should focus on the tariff because target markets are still concerned about tariff than any other factors for purchasing mobile phone. Tariff is still the most dominant factor for purchasing the mobile connection. They can go for promotion with operant conditioning for students or housewives segment to force them to buy the products. 7) Mobile phone operators should launch multiple promotional activities to attract or meet different needs of different segment. 6) Word of mouth influence the purchasing behavior of the target market so mobile operator should adopt some tactic to promote word of mouth promotion. 3) The brand image is still less important to target markets than tariffs. 8) Mobile operator can highlight the brand image for its products to students and private service holders as students and private service holders value brand image for purchasing the mobile phone. 78 . target markets value the promotions those contain operant conditioning. 5) Network is also concern of the target markets. Target markets put more importance on promotional activities that contain operant conditioning than those contain classical conditioning such as celebrities. 2) Among different types of promotional techniques. discounts. But target market can consider some disruption for the lower tariff. free offer etc. 4) The complementary products must be available.

Companies should be careful while selling product to the segment of public service holder because they are most price sensitive customer among the target markets. 79 .

11 16 20 25 36 36 37 37 38 40 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 62 Questionnaire 1.. Subscriber In different areas VAS Challenge Major Players……………………..List of figures S.. Age Group 1 10-20 80 Mr Ms Full Name ______________________________________ . Respondent Name: 2.. Market Share of GSM and CDMA Market Share of GSM Players Market Share of CDMA Players Market Share of All Players Subscriber Growth Model Development Total samples (Age group) Total samples (Gender Wise) Total samples (Marital Status) Total samples according to working status Total samples according to educational status Total Service Provider (% wise) Total time spend by subscribers Purchase influence factors of subscriber Affect of Advertisement on Telecom Purchase Monthly investment on phone Chart showing Online payment statics Chart showing market competition state according to customers Preference to alternatives Performance of customer care in eyes of customers Expectations from service providers Purchase intent from mobile phone Page No.No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 Title Journey of telecom sector……......

5. 3 . Businessman. Working Status: Private service. Married House-Wife. 0 – 3 Months 4 – 6 Months 81 . Public service. if applicable): BSNL Idea Airtel Virgin Vodafone Reliance Tata Indicom Graduate Post Graduate g) Time you spend with your current connection (Approx) 1. 3. Educational Qualification: Under Graduate Professional Others: ____________ 6. Marital Status: 21-40 More than 40 Single Student. Presently you are availing services from which operator (Tick more than one. 2.. 2 . 4.

1001 – Rs. the decision to purchase a telecommunication service in your family? Self Salesman 9. 5. How much you invest monthly on your phone? Rs. 4. 6. Who influences most. How long do you have to wait in customer care? Up to 1 Minute Minutes 11 Minutes or more 15.501 – Rs. Given a choice with same number which service provider will you select? 2 Minutes 3-5 Minutes 6-10 . Radio Television Word-of-Mouth Rs. What advertising media has influenced you in choosing a telecom operator? Print Media.3.1500 Road side Advertisement Up to Rs. Do you prefer online payment through your mobile service provider? Yes No Choice Airtel Vergin 14.500 More than 1500 11. What do you think about the competition in the market? 13. 7 – 12 Months 1 – 2 Year 2 – 3 Year More than 3 Years 8. What kind of expectations do you have with your service provider? 82 Spouse Parents Children Friends 10.1000 No Some Choice Reliance Idea Enough Choice Tata Vodafone Can’t Say BSNL 12.

Rank the following attributes in the order you service providerAvailabili ty Networ k Voice clearity Talk time and Validity Call charge SMS servic e Billing syste m Schem e Value Added Services (In the analysis part we didn’t include the Q.) 83 . 19 because it became tough for respondents to answer it. Are you aware of the role of the telecom services in providing broadband without using cable network? Yes Yes No No 18.Price Astrology Voice Clearity Sports Network Business Good Services Entertainment 16. Are you aware of 3-G technology? 19. What is your purchase intent for news alerts on mobile phone? General News 17.

Telecom Sector annual report 2008-09 c. www. www.com d.gov. www.in f. Airtel press release e.com 84 . Business Standard b.co. of India Annual Report 2008-09 2) Articles a.coai. Department of telecommunication Govt. Times of India c. www. www.in b. RCom press release f. www. www.com e. TRAI 2008-09 b. Ideacellular.rcom.in c.in h. www. Idea press release d.airtel.trai.gov.vodafone.dot. Idea Unaudited results Q1 FY 10 d. The Economic Times 3) Websites a.in g.teleservices.BIBILOGRAPHY 1) Reports a.

List of Abbreviations used 3G ARPU BSN CDMA COAI DoT GPRS GSM MTNL NGN QoS SMS TRAI VAS Third Generation Average Revenue Per User Bharat Sanchar Nigam Limited Code Division Multiple Assay Cellular Operators Association of India Department of Telecommunication General Packet Radio Service Global System of Mobiles Mahanagar Telephone Nigam Limited Next Generation Network Quality of Service Short Messaging Service Telecom Regulatory Authority of India Value Added Services 85 .

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