Professional Documents
Culture Documents
A DIVISION OF
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ACKNOWLEDGEMENT
LAST BUT NOT THE LEAST WE WOULD LIKE TO THANK ALL THE
RESPONDENTS WHO HAVE DIRECTLY CONTRIBUTED THEIR IDEAS AND
ENERGIES TO THIS PROJECT.
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TABLE OF CONTENTS
CHAPTER 1
Introduction
Objective of the Study 4-5
Company Profile 6-9
Industry Profile 10-14
Research Methodology 15-17
Back- ground of the problem 18
Limitation of the Study 19
CHAPTER 2
Analysis and Findings
Market condition Analysis 21-23
Competitor Analysis 24-25
Analysis of Consumer Behaviour 26
Network Study 27-35
SWOT Analysis 36
CHAPTER 3
Suggestions and Recommendations 37
Conclusion 38-39
CHAPTER 4
Appendix
Bibliography 41
Glossary 42
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Executive summary
We have undergone a marketing research project to gauge the factors affecting the
For the same we have used the Area sampling for the area of Gautam Nagar. Our sample
size was 167 units. The target was a fair representation of the entire sector. To get the
The major problem was about brand awareness. People are not well aware of touchtel.
People using touchtel services are facing the problem of interconnectivity while someone
Another major issue is that people facing problem(s) with MTNL are not shifting to
Touchtel because they are reluctant to get rid of their existing telephone numbers
4
As Touchtel is covering Delhi, area wise, and company may not go for
brand awareness.
People are reluctant to get rid of MTNL numbers because of existing numbers. As a
solution to this, company should have some flexible policy like providing last 3-4
5
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CHAPTER 1
OBJECTIVES OF STUDY
1. Residential
2. Sme’s
3. Corporate
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4. Institution
CASE WORK
Market Share
Segment Share
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COMPANY PROFILE
Bharti Enterprises has been at the forefront of technology and has revolutionised
Bharti has been a pioneering force in the telecom sector with many firsts and
innovations to its credit, ranging from being the first cellular service in Delhi, first
private basic telephone service provider in the country, first Indian company to
provide comprehensive telecom services outside India in Seychelles and first private
Haryana, Delhi, Karnataka and Tamil Nadu and nationwide broadband and long
distance networks. Bharti has launched national long distance services by offering
data transmission services and voice transmission services for calls originating and
international bandwidth.
Bharti Enterprises also manufactures and exports telephone terminals and cordless
phones. Apart from being the largest manufacturer of telephone instruments, it is also
India's largest private integrated telecom group with over two decades of presence in
the business. As winners of the 'Best Telecom Services' award four times in a row,
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Bharti has ushered a new era of telecommunications in India. Bharti has brought into
the country cutting edge technology in mobile and fixed line telephony, long
from customer premise equipment to customised data solutions, Bharti comes with
an entire range spanning the entire spectrum of telephony. And all this is made
possible with:
solutions in India.
Bharti Enterprises has set industry standards in all the areas of its operation. And
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TOUCHTEL - AN OVERVIEW
A new world of telephone service and solutions, a world of innovations in the fields
Fixed Line Services, Data & Broadband Services, catering to the unique needs of
customers starting from corporate with high-end solutions to home users with value-
added services.
The 1st company to launch private telephone service in India in 1998, Touchtel a
Bharti, with its expertise in the field of telecommunication, has brought next
generation technology to the telecom spectrum. Touchtel is providing fix line service
Tamilnadu.
Delhi's first private fixed line telephone service - Touchtel. With its world-class
knowledge and innovation it will strive towards not just meeting but surpassing the
As the national capital, Delhi is a vital hub in the country's vast telecom network and
Touchtel is at the forefront providing reliable, high quality telephone service &
solutions.
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Currently, Touchtel are ready to serve the following areas.
• Greater Kailash I - All areas and blocks will be covered under GK I except
Zamrudpur village
• Okhla Industrial Area Phase I, II and III - All areas and blocks will be covered in
• Vasant Vihar and Shanti Niketan - All areas and blocks will be covered in Vasant
• South Extension II - All areas and blocks will be covered in South Extension II
• ITO
• Hotels
Products
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Coming from Bharti enterprises, India's largest private integrated telecom company,
Touchtel brings the latest in cutting edge technology in the telecom spectrum. Its
data and broadband services especially cater to the unique needs of the corporate
We help in improving the way you do business by drawing from our expertise in
INDUSTRY PROFILE
India's nearly 54 million line telephone network, including mobile, is one of the
largest in the world and second largest among emerging economies (after China)
with a wide range of services-basic, cellular, internet, paging, v-sat etc. Given the
low telephone penetration rate-about 5 per hundred population, which is much below
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the global average, India offers vast scope for growth. It is therefore not surprising
that India has one of the fastest growing telecommunication systems in the world
with an average growth of about 22% for basic telephone services and over 100% for
cellular and Internet services. Telephone lines added to the basic services network
over the last 5 years have been one and a half times that added over the preceding
five decades.
Recognizing that telecom sector is one of the prime movers of economy, the
• 6th largest network in the world with a wide range of services - Basic, Cellular,
services and more than 100 percent for cellular and internet services
• Lines added to the basic services network over the last 5 years are one-and-a-half
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• Current players include state-owned operators as well as private operators, operating
on a 'level-playing field'
liberalization, adding fuel to the fire. Due to open competition, private companies
to directly compete with the established and traditional telcos. In India, VSNL
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(Videsh Sanchar Nigam Limited), DTS (Department of Telecom Services) and
VSNL had the monopoly in international telephony and internet gateways till
recently but with its privatization, it is now due for a taste of real competition from
private companies. It has around 20000 voice circuits and around 200Mbps
projects like Inmarsat, SEA-ME-WE, etc. and on the other; it is also an ISP
MTNL provides basic telephony in Delhi and Mumbai along with some dial-up
Internet access. It is well positioned to become a major LMA company since it has
Its plans to take-over telephony market in Madras and Calcutta from DTS should
supplement its strength as an LMA company. Indeed it makes sense to bring VSNL's
Internet access business too under MTNL's umbrella. As MTNL takes over profitable
urban markets from DTS, it should have some alliance with DTS-LMA in terms of
The Government of India has allocated Rs. 720 crore as budgetary support for village
planning to invest Rs. 1000 crore to launch basic services in Karnataka and is
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expected to generate employment for up to 8,000 people within the company and
among TTL’s franchisees. Though TTL plans to cover the entire state, it will initially
roll out its services in Bangalore, Mangalore, Hubli, Mysore, and then extend it to
over 30 towns in phase I by August 2003. As part of this plan TTL’s product
offerings will include wireline, fixed wireless, CDMA mobility, integrated data
solutions and specialized products and services to the corporate sector including
virtual private networks, data center services, network management services, and
It also plans to offer CDMA (code division multiple access) based mobile telephony
to subscribers. It is understood that this service will not attract any airtime charge and
call charges will be as low as Rs 1.20 for three minutes. TTL has also designed
public telephone booths under the brand name Tatatelesmart, which are India’s first
smart-card based telephones. The company has been operating basic telecom services
in Andhra Pradesh for the last three years, with a customer base of over 1.5 lakh. It
has invested over Rs 1,400 crore in the state to build its network, which includes an
OFC backbone of 1,050 kilometers. TTL operates in 10 cities in the state with over
9,000 people and is likely to generate employment for 7,000 more people by 2007.
DESPITE the rapid strides made in the telecom sector in recent years, the
Economic Survey has warned that India continues to lag behind many other
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developing countries including China in teledensity, hinting at more policy
"The two important goals of the telecom sector are delivering a low-cost voice
telephony to the largest possible number of individuals and delivering low-cost high
speed computer networking to the largest number of firms. The number of phone
lines per 100 persons, which is called teledensity, has improved from 3.6 in March
2001 to 4.9 in December 2002. However this is still at a level which greatly lags
Stating that the year witnessed continued progress in telecom policies, it noted
growth of new telephone connections by 17 per cent and significant fall in long
distance tariffs. Looking forward, the telecom sector will feature lively competition
between multiple private firms, with a strong role for TRAI to establish pro-
Cautioning that rise in modern telecom has raised fresh concerns about ``digital
divide'' where the rural areas are disadvantaged through inadequate telecom services,
it noted that the private operators had only provided 7,123 Village Public Telephones
(VPTs) by December 2002, against the target of 97,806 VPTs in first three years as
RESEARCH METHODOLOGY
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The research is a systematic gathering, recording and analyzing the data related to the
Marketing research involves the diagnosis of the information, needs and the selection of
relevant interrelated variables about which valid and reliable information is gathered,
Research is the only way to find out the potential of the products in the market. It helps us
to find the market condition of any product and choice of the end user. Because the
survival of large number of companies has become hard in this competitive age.
Customer is attracted only towards the product with low price and high quality. So the
company that will satisfy both, primary and secondary motives of customer can only
Research design is the determination and statement of the general research approach or
If the design adheres to the research objective it will ensure that the client’s need is served.
The study of the consumer’s behaviour is Exploratory and Descriptive type of research,
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Data source & characteristics of sources of data
Data source:
Primary source
Secondary source
The data collected will be primary as well as secondary in nature. The tool used for this
Questionnaire
Non- Disguised
Sample Size
Size : 167
Sampling Type
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Data Analysis
Univariate tabulation percentage, graphs and arithmetic mean were used for data analysis.
FRAME WORK
To draw up a frame work there are following aspect to be considered for the
sampling plan.
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4. How are they to be reached? (Method employed)
A plan is drawn for framework in which all the work can be done according
to research design.
BACKGROUND OF PROBLEM
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Telephone has become a very essential communication media in almost all the Indian
lower, middle and upper class families. Telephones are designed to make our life a much
analysis.
respondents and map their perception about Touchtel with their existing telephone
connections. These include MTNL, TOUCHTEL etc and if they are not satisfied with the
services of their provider, are they interested in switching over or not. If not, why? With
In competitor’s analysis, we tried to find out the total market size of that area, market
share, segment share, revenue share of each segment, swot analysis of that area.
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LIMITATIONS
During the research full care was taken to keep the research as objective as possible and
limit the factors of bias to the minimum. The project undertaken was done with all
necessary precautions but still there were some factors, which could not be ruled out, and
these created some hindrance in the proceedings of the project and that might have
hampered the objectivity of the research. Any research study has these constraints namely
time, cost and accuracy. The degree of accuracy obtained would be directly affected by the
sample size and in general the methodology adopted for the study.
2. Unresponsiveness and biased response were also some of the limitations. Thus the
3. The lack of network feasibility in the area was also a limiting factor
4. Some areas where feasibility was not a problem were also a limiting factor because
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CHAPTER 2
TABLE-01
SEGMENT SHARE
SME 76
OTHERS 2
CORPORATE 32
RESIDENTIAL 52
INSTITUTIONAL 5
TOTAL 167
3%
SME
31%
46% OTHERS
CORPORATE
RESIDENTIAL
INSTITUTIONAL
19% 1%
Fig-01
SME's are having the mejority of the share in Gautamnagar area that is 45% of the total
market and immidiately followed by residential segment that occupies 31%. The
Institutional segment and others stand at a lowly 3% and 2% respectively.
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TABLE-02
SEGMENT REVENUE
SME 12550
CORPORATE 17900
RESIDENTIAL 12550
INSTITUTIONAL 5700
OTHERS 0
TOTAL 48700
0% 12%
26% OTHERS
26% INSTITUTIONAL
SME
CORPORATE
RESIDENTIAL
36%
Fig-02
Although the SME's and Residential are having bigger market size still the corporate sector
outperforms them in the revenue share of Touchtel. The segment others have 0% share in
the revenue since these are the govt. enterprises that do not entertain Touchtel services.
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TABLE-03
46%
AWARE
NOT AWARE
54%
Fig-03
Only 54% respondents are aware of the brand Touchtel. Despite of the fact that Touchtel is
a subsidiary of BHARTI and has been in the market for more than one year and almost half
the number of total number of respondent are not aware of the service provider. This
reflects the lack of publicity.
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TABLE-04
MARKET SHARE
27%
MTNL
BTNL
73%
Fig-04
MTNL has 73% market share while TOUCHTEL has managed to acquire 27 % market
share.
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TABLE-05
SEGMENT SHARE
120 80
NO. OF LINES
100 70
60 Series2
80 50
60 40 Series1
40 30
20 Series3
20 10
0 0
AL
AL
E
S
E
AT
ER
N
SM
TI
O
R
TH
EN
TI
PO
U
ID
O
IT
R
ES
O
ST
C
IN
SEGMENT
Fig-05
In the above two dimensional graph it is observed that SME's are leaders in the market
share of both MTNL and Touchtel along with occupying major market size. Although the
residential segment occupies higher market size still the corporate sector has higher market
share both in MTNL and Touchtel as compare to the residential segment.
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TABLE-06
SATISFACTION LEVEL
7% SATISFIED WITH
20%
TOUCHTEL
19% NOT SATISFIED WITH
TOUCHTEL
9% SATISFIED WITH
MTNL
NOT SATISFIED WITH
MTNL
SATISFIED WITH
BOTH
45%
Fig-06
19% respondents who are not satisfied with MTNL services, when ask to these respondent
why don’t they shift to other services or Touchtel. The respondent gave these reasons for
not shifting to Touchtel:
Refund of security money from MTNL
Changing of the existing telephone number
Lack of trust in private operators.
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YUSUF SARAI MARKET
SUB PILLAR-1
32
DDA MARKET GAUTAM NAGAR
SUB PILLAR-1
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YUSUF SARAI MAIN MARKET
SUB PILLAR-2
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ORIENTAL HOUSE, GAUTAM NAGAR
SUB PILLAR-3
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BHANOT HOUSE, COMMUNITY CENTRE
SUB PILLAR-4
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GAUTAM NAGAR
SUB PILLAR-1
BLOCK COVERED-
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GAUTAM NAGAR
SUB PILLAR-2
BLOCK COVERED-
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GAUTAM NAGAR
PILLAR- (SE2 13)
SUB PILLAR-3
BLOCK COVERED-
39
GAUTAM NAGAR
SUB PILLAR-4
BLOCK COVERED-
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SWOT ANALYSIS
Strength
Leadership, Knowledge And Innovation
Internet service provider (Mantra online) a brand of BHARTI
TELECOM, ISPs count on net telephony to stay in the race
Brand image of AIRTEL
Joint Venture with Singapore Telecom for National Long Distance
Operations
India's first private sector national long distance service, IndiaOne
launched.
Weakness
Problems in interconnectivity from BSNL number to a Touchtel
number
Connectivity problem when a person from abroad makes a call to a
Touchtel number.
Chances of going to another service provider because of the lack of
network covering entire Delhi.
Opportunities
Threats
Value added services like CDMA technology of other players like Tata
is a growing threat to Touchtel.
Lack of awareness among people
Regulatory and tariff changes especially in the cellular operations are
constant threats.
Economic protectionism and continuous political changes plays against
everybody’s favor and affects the good intentions of players.
CHAPTER 3
41
Suggestions and Recommendations
In this competitive scenario not only quality of the products but also awareness and
brand recall decides the fate of the product.
The main drawback of Touchtel lies in its poor publicity and their by poor recall of
the brand.
4. MTNL is a govt. concern in which people feel secure, more so people have
developed a tendency to avoid private operators due to a spat of fluctuation in the tariff
plans recently so Touchtel should try to build confidence and trust among customers.
6. Although USP of Touchtel is its customer care but with the decline in its quality
people are facing problem. The promptness of customer care is fading; this should be
tackled with and immediately improved.
7. The people who drop their cheques in drop in boxes have to face a lot of
problems in case of the loss of the cheques. This occurs, as they don’t have the receipt
of the deposit. So a receipt should be issued at the time of deposition of cheque.
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CONCLUSION
India has tremendous potential and strength in telecom sector. The Indian
telecommunication infrastructure is very poor. In India the low telephone
penetration rate-about 5 per hundred populations, which is much below the
global average this is a big opportunity.
India needs to reform its rules, create more global awareness, change its policies
in favor of more opportunities and encourage its major players to invest in the
economy.
According to former World Bank economist Surjit Bhalla, every 10 million new
phones lines add 0.5% to annual economic output.
Touchtel is providing excellent services in basic fix line telephony. The tariff
plans and the services of Touchtel are consumer oriented. It is providing quality
dial up Internet services and many other value added services like:
Centrex facility
Three party conferencing
Caller id identification service etc.
The growth of Touchtel has been steady since its incorporation but it has to be
increased. Ithe widening of the network and improvisation in the following areas
would help it in its rapid growth:
Brand awareness
Problem of interconnectivity
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This project hopefully has provided the necessary cushion to take the study
further and encourage the company to consider expanding its network and
increasing its subscriber’s base.
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CHAPTER 4
BIBLIOGRAPHY
Marketing Management by PHILIP KOTLER
• Economic times
• Website:
Google.com
Touchtelindia.com
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GLOSSARY:
LMA Last Mile Access
NLDA National Long Distance Access
DOT Department Of Telecommunications
TELCOS Telephone Companies
MTNL Mahanagar Telephone Nigam Ltd.
VSNL Videsh Sanchar Nigam Ltd.
BSNL Bharti Sanchar Nigam Ltd.
DTS Department of Telecom Services
TRAI Telecom. Regulatory Authority of India
TDSAT Telecom Disputes and Settlement Appellate Tribunal
ILD International Long Distance
DLD Domestic Long Distance
NLD National Long Distance
IT Information Technology
ISDN Integrated Services Digital Network
ISP Internet Service Provider
CDMA Code Division Multiple Access
OFC Optical Fiber Cable
DSL Digital Subscriber Line
VPTs Village Public Telephones
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QUESTIONNAIRE
NAME: ____________________________________
ADDRESS: ____________________________________
OCCUPATION: ____________________________________
world?
Company Yes No
Airtel
Vodafone
Idea
MTNL
Company Yes No
Airtel
Vodafone
Idea
MTNL
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3. Do you believe that one of the challenges facing mobile
operators in India is the diversity of the coverage regions?
Company Yes No
Airtel
Vodafone
Idea
MTNL
(6-10)
extent
(1-5)
Airtel
Vodafone
Idea
MTNL
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CONSUMER LEVEL
1. Do you believe that mobile service providers comes close to
fulfilling the requirements for a personal communication
system?
Company Yes No
Airtel
Vodafone
Idea
MTNL
2. Do you find that mobile service providers as the most exciting and
Company Yes No
Airtel
Vodafone
Idea
MTNL
Company Yes No
Airtel
Vodafone
Idea
MTNL
50