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A RESEARCH REPORT On

A STUDY OF MARKET COMPETITIVENESS OF IDEA IN MEERUT CITY

A RESEARCH REPORT On A STUDY OF MARKET COMPETITIVENESS OF IDEA IN MEERUT CITY Submitted in

Submitted in Partial Fulfillment of the Requirement for The Award of the Degree Of Bachelor of business administration CCS University meerut

(2008-2011)

UNDERGUIDENCE:

MR.VIKAS GUPTA

SUBMITTED TO:

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MR.

DECLARATION

DECLARATION

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I, Deepak Kumar VIT MEERUT, Project Trainee, hereby declare that the following project report titled: Market competiveness of idea in Meerut City (with special reference to Retailers and End Users) is an authentic work done by me.

The information and data given in this report are true and to the best of my knowledge. I also acknowledge that I took the help of both primary and secondary data collection through various available resources.

Deepak

Kumar

VIT, Project Trainee – idea cellular ltd.

Meerut

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PREFACE

PREFACE

Financial success of any company often depends upon its marketing ability. Finance, operation, accounting and the other business functions

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will not really matter if there is not sufficient demand of the products and services so the company can make profit. Good marketing is no accident but a result of careful planning and execution. The marketing environment is changing at an accelerating rate, so the need for real time marketing information is greater than at any time in the past.

Jack Welch (GE’s brilliant former CEO) repeatedly warned his company- “Change or die”

But making the right decisions is not always easy. The companies at greatest risk are those that fail to carefully monitoring their customers and competitors to continuously improve their value offerings, thus marketing information plays a vital role in designing the marketing strategy of the companies.

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ACKNOWLEDGEMENT

ACKNOWLEDGEMENT

If we look back and see, how we got here, what we think, and so on ` we discover a debt to others. The work of some supportive people makes our

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lives easier everyday. We believe it's not only appropriate to acknowledge all of these supportive persons; but it is also necessary to acknowledge to those people we know who have directly shaped our life and our work. This page is specifically printed to note mine appreciation of those people who stand out most notably in my mind as contributing to the content of what you will find in this Dissertation Report.

  • I would like to express my gratitude to all those who gave me

Possibility to complete my project. I would like to thankful to the entire marketing team of Idea, Meerut for their support. Further I am also thanks all the users of telecom who as respondent supported me through their useful views toward the collection of the primary data

  • I am deeply indebted to Assistant. Professor (Dept. of Business

Administration VIT, Meerut ) and specially my profound gratitude to my

guide and mentor Mr. Vikas gupta whose valuable suggestions and guidance enable to me complete the project successfully.

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EXECUTIVE SUMMARY

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THE EXECUTIVE SUMMARY

The project report is designed to measure the “Competitiveness of the Idea in Meerut city. find out the “in terms of various aspects like connectivity, value added services, customer care services Internet services and call rates etc. The study is based on telecom’s users views of Meerut views. The study reveals that which company is ahead to the other players in terms of various features like tariff plans, customer care service, good advertisement campaign etc. But at the same time the study also finds those areas where companies are lagging to other players. It means that what are the extra features which are required by the consumer or which feature can gives extra edge to the company. Therefore the study can be concluded that which company is performing well but there are areas of weakness which require remedial action in order to provide customer satisfaction and grow its market share. Thus it is recommended that- The company should also develop a powerful mechanism to its customer care service The company is needed to improve the quality of its value added service.

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INTRODUCTION

OF

INTRODUCTION OF COMPANY INTRODUCTION 11

COMPANY

INTRODUCTION

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idea Cellular Limited was incorporated in 1995. The company is among the top four mobile telephony players in India with an 11 per cent all- India subscribers market share. More importantly, it ranks third in terms of wireless revenue market share at 12.7 per cent. Idea ranks second with 20.8 per cent revenue market share in nine service areas where it holds 900MHz spectrum and which derive 48 per cent of industry's gross revenues (based on gross revenues for UAS and mobile licenses only, for December 2009 quarter, as released by TRAI).

The market positioning of Idea reflects the strength of its brand considering the fact that Idea added 14 out of its total 22 service areas in the past four years. Today it is a pan-India player with commercial operations in all 22 service areas. Its subscriber base has grown multifold from 7.37 million in March 2006 to 63.82 million in March 2010.

Idea holds 16 per cent stake in Indus Towers, a joint venture with other telecom majors Bharti Airtel and Vodafone. Indus Towers is the world's largest tower company with over one lakh towers. In 2007, Idea was listed on the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE).

Idea enjoys a market leadership position in many of its operational areas. It offers GPRS on all its operating networks for all categories of subscribers, and was the first company in India to commercially launch the next generation EDGE technology in Delhi in 2003. As a pioneer in technology deployment, it has been at the forefront through the adoption of bio fuels to power its base stations, and by employing satellite connectivity to reach inaccessible rural areas in Madhya Pradesh.

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Idea has been a leader in the introduction of value-added services, and there are many firsts to its credit, including a voice portal 'Say Idea', Idea TV, voice chat and instant messenger. Tariff plans have been customer- friendly, catering to the unique needs of different customer segments, for instance the 'Women's Card' caters to the special needs of women on the move, and 'Youth Card' covers the emerging youth segment.

Idea has won numerous awards and is the only Indian GSM operator to win the prestigious GSM Association Award consecutively in the best mobile technology category for the Best Billing and Customer Care Solution both in 2006 and in 2007, even in the face of international competition.

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OBJECTIVE OF COMPANY

To promote a profitable and sustainable business activity that meets the customers needs.

To increase the company's market share

To gain the competitive edge

To increase the company's role in relations to social responsibility

To provide excellent customer service

ABOUT ADITYA BIRLA GROUP

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The Aditya Birla Group is India first multinational corporation. Global in vision, rooted in Indian values,

The Aditya Birla Group is India first multinational corporation. Global in vision, rooted in Indian values, the Group is driven by a performance ethic pegged on value creation for its multiple stakeholders.

Currently a US $24 billion conglomerate, with a market capitalization of US $ 23 billion, it is anchored by an extraordinary force of 100,000 employees belonging to over 25 different nationalities. Over 50 per cent of its revenues flow from its operations across the world. The Groups products and services offer distinctive customer solutions.Its 74 state-of- the-art manufacturing units and sectoral services spanIndia, Thailand,

Laos, I ndonesia, Philippines, Egypt, Canada, Australia, China, USA, UK, and Germany. Aditya Birla Group is a dominant player in all of the sectors in which it operates. Among these are viscose staple fibers, non ferrous metals, cement, viscose filament yarn, branded apparel, carbon black, chemicals, fertilizers, sponge iron, insulators, financial services,

telecom, BPO, andIT services. The group has been adjudged

The Best

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Employer & among

top

20

in

Asia

by

the

Hewitt

Economic Times & Wall Street Journal Study.

GLOBALLY, THE GROUPIS:-

The largest aluminum rolling company.

No one in viscose staple fiber.

The Third largest producer of insulators.

The Fourth largest producer of carbon black.

The Eleventh largest cement producer.

The best energy efficiency fertilizer plant.

Among the world top 15 BPO companies & amongIndias top three.

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IN INDIA, THE GROUP I S :-

A Premier branded garments player

The Second largest player viscose filament yarn.

A long the first five mobile telephony players.

Leading player in life Insurance & Assets management.

GROUP COMPANIES:-

Grasim Industries Ltd.

UltraTech Cement Ltd.

Hindalco Industries Ltd.

Aditya Birla Nuvo Ltd.

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INDIAN COMPANIE S:-

PSI Data systems.

TransWorks.

Essel Mining & Industries Ltd.

Idea Cellular Ltd.

Birla NGK Insulators.

Shree Dig Vijay Cell

INTERNATIONAL COMPANIE S :-

Thai Rayon (Thailand)

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Century Textiles (Thailand)

Thai carbon Black (Thailand)

Aditya Birla Chemicals Ltd.(Thailand)

Indo Phil Textiles Ltd. (Philippines)

Indo Phil Cotton Ltd. (Philippines)

PTIndo Bharat Rayon (Indonesia)

PT Elegant TextileIndustry (Indonesia)

Alexander Carbon Black Company (Egypt) Liaoning Birla Carbon (China)

A V CellIndustry (Canada)

A VNackawicIndustry (Canada)

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Aditya Birla Minerals Ltd.(Australia)

Birla Laos Pulp and Paper Plantation Company (Laos)

J OINT VENTURE S :-

Birla Sun Life Insurance

Birla Sun Life Asset Management Company Ltd.

Birla Sun Life Distribution Company Ltd.

Tranfac Industry Ltd.

CHAIRMAN OF ADITYA BIRLA

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Mr. Kumar Mangalam Birla Mr. Kumar Mangalam Birla is the Chairman of the US$ 29 billion

Mr. Kumar Mangalam Birla

Mr. Kumar Mangalam Birla is the Chairman of the US$ 29 billion Aditya Birla Group, a global conglomerate with operations spanning 27 countries. An iconic figure, Mr. Birla holds several key positions on various regulatory and professional boards. He is a Director of the Central Board of Directors of the Reserve Bank of India and Chairman of the Staff Sub-Committee of the Central Board of the Reserve Bank of India. He serves on the Prime Minister of India's Advisory Council on Trade and Industry.

He was the Chairman of the Board of Trade constituted by the Ministry of Commerce & Industry, and also Chairman of the Ministry of Company Affairs' Advisory Committee.

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He served as the Chairman of Securities and Exchange Board of India's (SEBI) Committee on Corporate Governance, and as Chairman of SEBI's Committee on Insider Trading. He has authored the nation's First Report on Corporate Governance.

Mr. Birla is on the National Council of the Confederation of Indian Industry (CII), the Apex Advisory Council of the Associated Chambers of Commerce and Industry of India, New Delhi, and the Advisory

Council for

the

Centre

for

Corporate

Governance.

On the academic front, Mr. Birla is the Chancellor of BITS, Pilani,

Hyderabad, Goa and Dubai. He is a Director of the G. D. Birla Medical Research and Education foundation. He is on the Asian Regional Advisory Board of London Business School. He has been inducted on

The

Economic

Times

Corporate

Advisory

Board.

In recognition of his exemplary contribution, The Banaras Hindu University awarded the D. Litt (Honoris Causa) Degree to him. The Honorary Degree of Doctor of Science (Honoris Causa) was bestowed

on Mr. Birla for his invaluable contribution in the field of business administration by the G. D. Pant University of Agriculture & Technology, Pantnagar. "For the development of technology and also for

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involvement in the field of industries in bringing up the country at par with other countries"
involvement in the field of industries in bringing up the country at par
with other countries" the SRM University in Tamil Nadu conferred the
Degree of
Doctor
of
Literature
on
Mr.
Birla.
The All India Management Association (AIMA) has bestowed the
AIMA Managing India Awards 2010 "Business Leader of the Year" on
Mr. Birla. Amongst earlier accolades conferred on Mr. Birla, feature
Bombay Management Association's "Entrepreneur of the Decade Award
– 2009", the AIMA – "JRD Tata Corporate Leadership Award – 2008",
"The Corporate Role Model Award – 2008" by Amity International
Business School, the Asia Pacific Global HR Excellence – "Exemplary
Leader" Award, and NDTV's "Global Indian Leader of the Year" and
"The Most Socially Responsible Leader" by Outlook business magazine
in 2007. Earlier, The Lakshmipat Singhania – IIM, Lucknow National
Leadership Award – 2006, Business Leader, was conferred on Mr. Birla
by
our
Prime
Minister.
Mr. Birla also has been named the World Economic Forum's "Young
Global Leader", "The Ernst & Young Entrepreneur of the Year, The
Economic Times"Business Leader of the Year", Business India's
"Businessman of the Year", Business Today's "Young Super Performer in
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the CEO Category", NITIE's "Business Visionary", and the Bombay Management Association's "The Management Man of the Year".

To "salute his entrepreneurial excellence and exemplary contribution to Indian business", AIMA conferred its "Honorary Fellowship" on him, and the National HRD Network named him "The Outstanding Businessman of the Year".

A chartered accountant, Mr. Birla earned an MBA from London Business School, where he is also an Honorary Fellow. Mr. Birla and his wife, Mrs. Neerja Birla, have three children, Ananyashree, Aryaman Vikram and Advaitesha.

THE INDIAN TELECOM INDUSTRY

IDEA

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IDEA Cellular is part of the Aditya Birla Group, India's first truly multinational corporation. IDEA Cellular

IDEA Cellular

is

part

of

the Aditya Birla Group, India's

first

truly

multinational corporation.

IDEA Cellular is a leading GSM mobile service operator with pan India licenses. With a customer base of over 44 million in 17 service areas, operations are soon expected to start in Chennai Metro; Kolkata & West Bengal, North East & Assam, and J&K A frontrunner in introducing revolutionary tariff plans, IDEA Cellular has the distinction of offering the most customer friendly and competitive Pre Paid offerings, for the first time in India, in an increasingly segmented market. From basic voice & Short Message Service (SMS) services to high-end value added services such as Mobile TV, Games etc - IDEA is seen as an innovative, customer focused brand.

IDEA 'Women's Card' caters to the special needs of women on the move, and 'Youth Card' covers the emerging youth segment. IDEA 'My Gang' - the widely popular community user group product recently bagged the prestigious 'Golden Peacock Award 2008' under the Most Innovative

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Product category at the "19th World Congress on Total Quality".

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VODAFONE

VODAFONE Vodafone Group Plc is the world's leading mobile telecommunications company, with a significant presence in

Vodafone Group Plc is the world's leading mobile telecommunications company, with a significant presence in Europe, the Middle East, Africa, Asia Pacific and the United States through the Company's subsidiary undertakings, joint ventures, associated undertakings and investments.

At 31 March 2009, based on the registered customers of mobile telecommunications ventures in which it had ownership interests at that date, the Group had 303 million customers, excluding paging customers, calculated on a proportionate basis in accordance with the Company's percentage interest in these ventures.

BHARAT SANCHAR NIGAM LIMITED (BSNL)

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Bharat Sanchar Nigam Ltd. formed in October, 2000, is World's 7th largest Telecommunications Company providing comprehensive

Bharat Sanchar Nigam Ltd. formed in October, 2000, is World's 7th largest Telecommunications Company providing comprehensive range of telecom services in India: Wireline, CDMA mobile, GSM Mobile,

Internet, Broadband, Carrier service, MPLS-VPN, VSAT, VoIP services, IN Services etc. Within a span of five years it has become one of the largest public sector unit in India. BSNL has installed Quality Telecom Network in the country and now focusing on improving it, expanding the network, introducing new telecom services with ICT applications in villages and wining customer's confidence. Today, it has about 47.3 million line basic telephone capacity, 4 million WLL capacity, 20.1 Million GSM Capacity, more than 37382 fixed exchanges, 18000 BTS, 287 Satellite Stations, 480196 Rkm of OFC Cable, 63730 Rkm of Microwave Network connecting 602 Districts, 7330 cities/towns and 5.5 Lakhs villages. BSNL cellular service, CellOne, has more than 17.8 million cellular customers, garnering 24 percent of all mobile users as its subscribers. Scaling new heights of success, the present turnover of BSNL is more

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than Rs.351,820 million (US $ 8 billion) with net profit to the tune of Rs.99,390 million (US $ 2.26 billion) for last financial year.

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RELIANCE COMMUNICATION

RELIANCE COMMUNICATION Reliance Communications is the flagship company of the Anil Dhirubhai Ambani Group (ADAG) of

Reliance Communications is the flagship company of the Anil Dhirubhai Ambani Group (ADAG) of companies. Listed on the National Stock Exchange and the Bombay Stock Exchange, it is India’s leading integrated telecommunication company with over 80 million customers. Our business encompasses a complete range of telecom services covering mobile and fixed line telephony. It includes broadband, national and international long distance services and data services along with an exhaustive range of value-added services and applications.

Today, we can proudly claim that we were instrumental in harnessing the true power of information and commReliance – Anil Dhirubhai Ambani

Group, an offshoot of the Reliance Group founded by Shri Dhirubhai H Ambani (1932-2002), ranks among India’s top three private sector business houses in terms of net worth. The group has business interests that range from telecommunications (Reliance Communications Limited) to financial services (Reliance Capital Ltd) and the generation and distribution of power (Reliance Infrastructure Limited). It has established

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a pan-India, high-capacity, integrated (wireless and wireline), convergent (voice, data and video) digital network, to offer services spanning the entire infocomm value chain.

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TATA INDICOM

TATA INDICOM Tata Communications is a leading global provider of a new world of communications. With

Tata Communications is a leading global provider of a new world of communications. With a leadership position in emerging markets, Tata Communications leverages its advanced solutions capabilities and domain expertise across its global and pan-India network to deliver managed solutions to multi-national enterprises, service providers and Indian consumers.

The Tata Global Network includes one of the most advanced and largest submarine cable networks, a Tier-1 IP network, with connectivity to more than 200 countries across 400 PoPs, and nearly 1 million square feet of data center and colocation space worldwide.

Tata Communications' depth and breadth of reach in emerging markets includes leadership in Indian enterprise data services, leadership in global international voice, and strategic investments in operators in South Africa (Neotel), Sri Lanka (Tata Communications Lanka Limited), Nepal (United Telecom Limited), and subject to approval by the Chinese

government,

China

(China

Enterprise

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Communications). Tata

Communications Limited is listed on the Bombay Stock Exchange and the National Stock Exchange of India and its ADRs are listed on the New York Stock Exchange. (NYSE: TCL).

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BHARTI AIRTEL

BHARTI AIRTEL Established in 1995 by Sunil Mittal as a Public Limited Company, Airtel is the

Established in 1995 by Sunil Mittal as a Public Limited Company, Airtel is the largest telecom service provider in Indian telecom sector. With market capitalization of over Rs. 1,360 billion, Airtel has 31% of total market share of GSM service providers. Providing GSM services in all the 23 circles, Airtel was the first private player in telecom sector to connect all states of India. Also, Airtel is the first mobile service provider to introduce the lifetime prepaid services and electronic recharge systems. After establishing itself in the domestic market, Airtel is now spreading its wings in US by providing its mobile service under the name 'CALLHOME' to the NRIs.

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Having achieved huge success in mobile services- postpaid and prepaid- Airtel has now entered fixed-line telephony providing broadband services in 92 cities across India. The company has an optical fiber network of 35,016 km and a customer base of 35,440,406 GSM mobile and 1,819,083 broadband subscribers. Airtel is listed on The Stock Exchange, Mumbai (BSE) and The National Stock Exchange of India Limited (NSE).

AIRCEL

Having achieved huge success in mobile services- postpaid and prepaid- Airtel has now entered fixed-line telephony

About Aircel The Aircel group is a joint venture between Maxis Communications Berhad of Malaysia and Apollo Hospital Enterprise Ltd of India, with Maxis Communications holding a majority stake of 74%. Aircel began its outward expansion in 2005 and met with unprecedented success in the Eastern frontier circles. It emerged a market leader in Assam and in the North Eastern provinces within 18 months of operations. Till today, the company gained a foothold in 18 circles including Chennai, Tamil Nadu, Assam, North East, Orissa, Bihar, Jammu & Kashmir, Himachal Pradesh, West Bengal, Kolkata, Kerala,

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Andhra Pradesh, Karnataka, Delhi, UP(West), UP(East), Maharashtra & Goa and Mumbai.

Aircel has won many awards and recognitions. Voice and Data gave Aircel the highest rating for overall customer satisfaction and network

quality in 2006. Aircel emerged as the top mid-size utility company in Businessworld’s ‘List of Best Mid-Size Companies’ in 2007. Additionally, Tele.net recognised Aircel as the best regional operator in

2008.

With over 20 million happy customers in the country, Aircel the fast growing telecom company in India has revved up plans to become a full- fledged national operator by end of 2009.

VALUE-ADEDED SERVICES MARKET

A report by market research firm IMRB stated that the mobile value- added services (MVAS) industry was valued at US$ 1.15 billion in June 2008, and is expected to grow rapidly at 70 per cent to touch US$ 1.96 billion by June 2009.

Currently, MVAS in India accounts for 10 per cent of the operator's revenue, which is expected to reach 18 per cent by 2010. According to a

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study by Stanford University and consulting firm BDA, the Indian MVAS is poised to touch US$ 2.74 billion by 2010.

With the presence of many players in the field of GSM, the organizations wants to know the growth prospect of the market so that they can be able to make their long-term strategic plan, based on the consumer buying behavior. The increased attention given to consumer behavior and research is due to the following facts:

The consumer has more power than ever before, The consumer has access to more information than ever before, Marketers can offer more services and products than ever before.

PUBLIC AND PRIVATE PLAYERS

MTNL, BSNL, VSNL are the major Public Players, whereas Idea, Airtel,

Vodafone, Tata, Reliance, BPL are the leading Private players in the country. Both fixed line and mobile segments serve the basic needs of local calls, long distance calls and the international calls, with the provision of broadband services in the fixed line segment and GPRS in the mobile

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arena. Traditional telephones have been replaced by the codeless and the wireless instruments. Mobile phone providers have also come up with GPRS-enabled multimedia messaging, Internet surfing, and mobile- commerce. The much-awaited 3G mobile technology is soon going to enter the Indian telecom market. The GSM, CDMA, WLL service providers are all upgrading them to provide 3G mobile services.

Along with improvement in telecom services, there is also an improvement in manufacturing. In the beginning, there were only the

Siemens handsets in India but now a whole series of new handsets, such as Nokia's latest N-series, Sony Ericsson's W-series, Motorola's PDA phones, etc. have come up. Touch screen and advanced technological handsets are gaining popularity. Radio services have also been incorporated in the mobile handsets, along with other applications like high storage memory, multimedia applications, multimedia games, MP3 Players, video generators, Camera's, etc. The value added services provided by the mobile service operators contribute more than 10% of the total rev

INTERNET SERVICES

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There are Public Players and Private Players providing the Internet Services such as Broadband, Dial-up, Pre-Paid and Post-Paid Internet, Wi-Fi technology etc. subscriber base of Internet Services provided by Public players is showing an upward trend.

Internet/Dialup

The TRAI report records that India had a total of 12.85 million Internet (Dialup) connections at the end of December 2008. This base accelerated slightly to achieve a 5.01% growth from 4.97% recorded during September when there were 12.24 million connections. This does not include broadband subscribers.

Bharat Sanchar Nigam Ltd (BSNL) has 6.38 million Internet connections against 5.94 million at the end of last quarter. Mahanagar Telephone Nigam Limited (MTNL) has retained second position with a base of nearly 1.95 million. Idea Cellular Ltd is third with 0.93 million.

The minutes of use per connection per month dropped from 225 in June 2008 to 213.08 minutes in September quarter and crawled back up to 221.97 in December.

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.

Broadband & DSL

The number of broadband connections grew by 12.64% to 5.52 million in December from 4.9 million users in September.

Twelve new ISPs joined the 72 broadband service providers in India during the December quarter.DSL (Digital subscriber line, which has download speeds of 8 Mbps) continues to be the most popular access technology adopted by Indian ISPs with 4.711 million DSL connections, 0.485 million cable modems; 0.155 million Ethernet LAN-based connections; 0.078 million fiber connections; 0.072 million wireless, 0.019 million leased lines and 0.003 million who use other technologies.

Mobile Internet Enabled Handsets

TRAI has noted that there are 101.10 million wireless data (GPRS, HSDPA, etc) enabled handsets, up from 57.83 million in December 2007.

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Please note that the TRAI has listed them as wireless Internet subscribers, and we do not agree with this classification - merely having a mobile Internet enabled handset doesn’t guarantee usage of the Mobile Internet.

DTH Ramps Up

There are 6 private DTH providers in India aside from Doordarshan’s free DTH service. A total of 11.1 million DTH connections have been registered at the end of quarter ending 31st December 2008. Videocon has received a license and is still rolling out its services soon, according to DTH News.

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Features of Idea Prepaid Connection

Here are some of the many advantages that New Idea Prepaid brings you.

Total Cost Control

You can control your Idea Prepaid like never before. No more rentals or deposits – simply recharge as much as you need to from as low as Rs. 10, to as high as Rs. 10,000/-.

Pre activated STD/ISD without deposits or rentals

You can now enjoy a pre-activated STD/ISD on your Idea Prepaid. No more paying deposits or having a minimum balance in your account to make an STD/ISD call.

Strong Network Coverage

Enjoy complete clarity when calling with Idea’s world-class technology and unbreakable network coverage that spans over 23 circles across the country.

Instant Balance and Validity Enquiry

Your account balance is updated on the screen of your handset at the end of each chargeable call. You can also call 123 or simply dial *123#, press 'OK' or 'YES' button and your account balance will be displayed on the

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screen of your handset.

Recharge your Idea Prepaid

Recharging is Easy. The calling value on your card keeps reducing as you make calls or use any other chargeable service. Choose the Idea Prepaid Recharge Coupon that’s right for you, from a variety of tailor– made recharge coupons with different denominations, which are available at a number of outlets across your city. Simply follow the procedure to recharge phone.

Subscription Alerts

Get regular alerts on news, jokes, business, health and films on your Idea

mobile phone with Subscription Services.

MMS (Multi-media Messaging Service)

Jazz up your messages with pictures, images and video clippings, with MMS from Idea.

Idea Gprs / Edge Services

Download the latest ring tones, games, wallpapers, videos and much more

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news clips, watch live TV and download full songs on you phone.

Idea Voice mail Services

Send voice message any where in india ..

Hello Tunes

Tired of that boring old ‘tring tring’ on your phone? Now when a friend calls, make them groove to the hottest new tracks burning up the music charts with Hello Tunes from Idea Choose from a library of over 80000 songs from more

than 16 languages.

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OBJECTIVE

OF

OBJECTIVE OF THE STUDY OBJECTIVES OF THE STUDY 45

THE STUDY

OBJECTIVES OF THE STUDY

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The main objective of the present study is to understand, analyze and interpret the local telecom market and to measure the competitiveness of Idea in Meerut Telecom market. In this study mobile users play a vital role like students, employees, workers and specially retailers because they are in direct contact of the customer’s. they are well aware of customer’s problems in service of any telecom player’s schemes, plans, advertising campaign and other offerings provided by the telecom companies.

The sub-objectives of the project are-

To conduct a survey and obtain the user’s view to identify the

various factors which are affecting the users satisfaction in terms of various products and services provided by the present telecom players. To make out a clear picture of current status of the company

(among available telecom players) based from the analyses of collected data. To identify the areas the in which the company is lagging behindthe other players.

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RESEARCH

METHODOLOGY

RESEARCH METHOLOGY

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Descriptive research has been done to analyze the competitiveness of the Idea Cellular Ltd. in comparison to other service providers in Meerut.

Data source:

Both primary and secondary data have been used in this Research whose sources can be expressed in following manner-

Primary Source:

Data collected for this study are through Non Disguised Structured Questionnaire

Secondary Data:

In this research the secondary data has collected from website, magazines and books:

Websites

http:// www.idea cellular.com

http://www.adityabirla.com

http://www.scribed.com

Magazines

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Business World

4 Ps

News Papers Business Standard The Times Of India

Sample Design:

Simple Random Sampling has been done

Universe:

In this research universe is Meerut.

Sample Size:

Sample Size in this Research is 50 users of Meerut.

Sample Unit :

It is ‘any user of telecom at Meerut.

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SWOT ANALYSIS

SWOT ANALYSIS

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The Idea Cellular Ltd. - SWOT Analysis company profile is the essential source for top-level company data and information. Idea Cellular Ltd. - SWOT Analysis examines the company’s key business structure and operations, history and products, and provides summary analysis of its key revenue lines and strategy.

Idea Cellular (Idea) is one of the leading providers of wireless communication services in India. The company is part of the Aditya Birla Group. It provides wireless and long distance voice and internet services to consumer and enterprise markets. The company also has a presence in telecom infrastructure market through a stake in Indus Towers and other subsidiaries. The company primarily operates in India. It is headquartered in Mumbai, India. The company recorded revenues of INR101,484.1 million ($2,214.4 million) during the financial year ended March 2009 (FY2009), an increase of 50.6% over 2008. The operating profit of the company was INR14,314.3 million ($312.3 million) in FY2009, an increase of 2.8% over 2008. Its net profit was INR9,008.7 million ($196.6 million) in FY2009, a decrease of 13.6% over 2008. Note: The company’s FY2009 financial information is based on the unauditedresults.

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Scope of the Report

  • - Provides all the crucial information on Idea Cellular Ltd. required for business and competitor intelligence needs

  • - Contains a study of the major internal and external factors

affecting Idea Cellular Ltd. in the form of a SWOT analysis as well

as a breakdown and examination of leading product revenue streams of Idea Cellular Ltd. -Data is supplemented with details on Idea Cellular Ltd. history, key executives, business description, locations and subsidiaries as well as a list of products and services and the latest available statement from Idea Cellular Ltd.

Reasons to Purchase

  • - Support sales activities by understanding your customers’ businesses better

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  • - Qualify prospective partners and suppliers

  • - Keep fully up to date on your competitors’ business structure, strategy and prospects

  • - Obtain the most up to date company information available

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DATA

ANALYSIS

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DATA ANALYSIS AND INTERPRETATION

 

1. On the basis of Customer preference to the company while taking a ne connection-:

 

Table No.4

 

Company Name

%

Frequency

 

Airtel

30

15

 

Vodafone

20

10

 

Reliance

20

10

 

Idea

10

5

 

Tata Indicom

6

3

 

BSNL

2

1

 

Aircel

12

6

 
 

Fig-5

 
 
DATA ANALYSIS AND INTERPRETATION 1. On the basis of Customer preference to the company while taking

The above diagram represents the most preferred brand by customers on th basis of users and retailers view point. Airtel is the most preferred brand among the customer with 30% demand.

 

56

  • 2. On the basis of Feature

Table No.5

Features

%

Frequency

Coverage

40

20

Schemes

30

18

Call rates

30

20

Roaming

15

8

57

 

Fig-6

 
 
Fig-6   The above diagram represents the most preferred Feature by customers on th basis
 

The above diagram represents the most preferred Feature by customers on th basis of users and retailers view point. Coverage is the most preferred feature among the customer with 40% demand

3. On the basis on using Prepaid or Postpaid connection-:

 

Table No.6

 

Connection

%

Frequency

Postpaid

20

10

Prepaid

70

35

Both

10

5

 

Fig-7

58

 The above diagram represents the most preferred Connection Prepaid/Postpaid using by customers on the basis

The above diagram represents the most preferred Connection Prepaid/Postpaid using by customers on the basis of user’s and retailer’s view point.

4. On the basis of services-:

(a) Postpaid services-

Table No.7

Company Name

%

Frequency

Airtel

32

16

Vodafone

16

8

Reliance

12

6

Idea

6

3

Tata Indicom

6

3

BSNL

28

14

Aircel

0

0

Fig-8

59

 The above diagram represents the most preferred Postpaid service  provided by company to customers

The above diagram represents the most preferred Postpaid service

provided by company to customers on the basis of users and retailers view point. Airtel is the most preferred by the customer with 32% demand.

60

(b) Prepaid services-:

Table No.8

Company Name

%

Frequency

Airtel

34

17

Vodafone

18

9

Reliance

16

8

Idea

8

10

Tata Indicom

8

4

BSNL

4

2

Aircel

12

6

Fig-9

61

 The above diagram represents the most preferred Prepaid service provided by company to customers on

The above diagram represents the most preferred Prepaid service provided by company to customers on the basis of user’s and retailer’s view point. Airtel is the most preferred company by the customer with 35% demand.

62

5. On the basis of best offers at the time of new connection-:

Table No.9

Company Name

%

Frequency

Airtel

16

8

Vodafone

12

6

Reliance

24

12

Idea

20

10

Tata Indicom

8

4

BSNL

6

3

Aircel

14

7

Fig-10

63

 The above diagram represents the most preferred offers provided by company to the customers, on

The above diagram represents the most preferred offers provided by company to the customers, on the basis of user’s and retailer’s view point.

Reliance is the most preferred company by the customer with 23% demand and Idea got 2 nd place with 20% demand and Airtel got 3rd position with 16% demand.

64

6. On the basis on of best Customer Care Services-:

Table No.10

Company Name

%

Frequency

Airtel

28

14

Vodafone

20

10

Reliance

16

8

Idea

10

5

Tata Indicom

10

5

BSNL

4

2

Aircel

12

6

Fig-11

65

 The above diagram represents the most preferred customer care service provided by company to the

The above diagram represents the most preferred customer care service provided by company to the customers, on the basis of user’s and retailer’s view point. Airtel is the most preferred brand by the customer with 28% demand

66

7. On the basis on of best Network Connectivity-:

Table No.11

Company Name

%

Frequency

Airtel

32

16

Vodafone

16

8

Reliance

10

5

Idea

16

8

Tata Indicom

10

5

BSNL

8

4

Aircel

8

4

Fig-12

67

The above diagram represents the most preferred Network connectivity service provided by company to the customers,

The above diagram represents the most preferred Network connectivity service provided by company to the customers, on the basis of user’s and retailer’s view point. Airtel is the most preferred brand by the customer with 32% demand

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8. On the basis on of best Adverting Campaigns in Meerut region-:

Table No.12

Company Name

%

Frequency

Airtel

24

5

Vodafone

20

50

Reliance

18

50

Idea

14

50

Tata Indicom

8

50

BSNL

10

50

Aircel

6

50

Fig-13

69

The above diagram represents the best Advertisement campaigning in Meerut provided by company, on the basis

The above diagram represents the best Advertisement campaigning in Meerut provided by company, on the basis of user’s and retailer’s view point. Airtel is the most preferred company by the customer with 25% demand

70

9. On the basis on of best Tariff Plans-:

Table No.13

Company Name

%

Frequency

Airtel

18

9

Vodafone

12

6

Reliance

26

13

Idea

18

9

Tata Indicom

8

4

BSNL

6

3

Aircel

12

6

Fig-14

71

The above diagram represents best Tariff Plan, provided by company to the customers, on the basis

The above diagram represents best Tariff Plan, provided by company to the customers, on the basis of user’s and retailer’s view point. Reliance is the most preferred company by the customer with 25% demand and Idia got 2 nd position with 19% and Airtel got 3 rd place with 18% demand.

72

10. On the basis of best Roaming Facility-:

 

Table No.14

Company Name

Frequency

%

Airtel

15

30

Vodafone

10

20

Reliance

09

18

Idea

05

10

Tata Indicom

04

08

BSNL

06

12

Aircel

1

2

 

Fig-15

73

The above diagram represents the best Roaming Facility provided by company to the customer, on the

The above diagram represents the best Roaming Facility provided by company to the customer, on the basis of user’s and retailer’s view point. Airtel is the most preferred company by the customer with 30% demand.

74

11. On

the

basis

of

best

Communicating

Charges

Schemes(new scheme)-:

 

Table No.15

Company Name

%

Frequency t

Airtel

30

15

Vodafone

20

10

Reliance

14

7

Idea

12

6

Tata Indicom

8

4

BSNL

12

6

Aircel

6

3

 

Fig-16

75

The above diagram represents the best Communicating Charges Schemes provided by company to the customer, on

The above diagram represents the best Communicating Charges Schemes provided by company to the customer, on the basis of user’s and retailer’s view point. Airtel is the most preferred company by the customer with 30% demand.

76

12.On the basis of best Data card/Internet services-:

Table No.16

Company Name

%

Frequency

Airtel

18

9

Vodafone

6

3

Reliance

16

8

Idea

14

7

Tata Indicom

8

4

BSNL

30

15

Aircel

8

4

Fig-17

77

 The above diagram represents the best Data card/Internet Facility  provided by company to the

The above diagram represents the best Data card/Internet Facility

provided by company to the customer, on the basis of user’s and retailer’s view point. BSNL is the most preferred company by the customer with 35% demand and Airtel got 2 nd place with 19% demand.

78

13.On the basis of best Value Added services-:

 

Table No.17

Company Name

%

Frequency

Airtel

30

15

Vodafone

20

10

Reliance

18

9

Idea

8

4

Tata Indicom

10

5

BSNL

10

5

Aircel

4

2

 

Fig-18

79

The above diagram represents the best Value Added service provided by company to the customer, on

The above diagram represents the best Value Added service provided by company to the customer, on the basis of user’s and retailer’s view point. Airtel is the most preferred company by the customer with 31% demand.

80

FINDING

81

FINDINGS  Airtel has the highest demand from customers as per the survey conducted on the
FINDINGS
Airtel has the highest demand from customers as per the survey
conducted on the users and retailers.
Coverage is the most preferred feature among the customers per
the survey conducted on the users and retailers.
 Prepaid is the most preferred connection among the customer
per the survey conducted on the users and retailers.
 Idea Postpaid services has most preferred by the customer as
per the survey conducted on the users and retailers.
Idea Prepaid services has most preferred by the customer as per
the survey conducted on the users and retailers.
 According the retailers and users views Reliance and Idea is
better than Airtel in terms of providing New Offers.
82
 According to survey Airtel, idea provides the best Customer Care Service in the region. According
 According to survey Airtel, idea provides the best Customer
Care Service in the region.
According the survey of retailers and users views Idea has best
Network connectivity than other brands.
Airtel is best in terms of advertising campaign in Idea among all
other telecom players.
 According the retailers and users views Reliance and Idea is
better than Airtel in terms of providing Tariff Plans.
According to survey Airtel provides the better Roaming Service
than other telecom players.
According the survey of retailers and users views Idea provides
best Communicating charges than other brands.
According the survey of retailers and users views BSNL
provides best Internet facility than other brands.
 According to survey Airtel provides the better Value Added
Services than other telecom players.
83

LIMITATION

84

PROBLEM AND LIMITATION

The competitive activity coupled with the flexibility in offering tariffs have led to a situation wherein a large number of tariff plans are offered in the market and coupled with the services rendered by the retailers makes altogether a complex composition to handle. So it is very important to give a considerable thought before drafting the market strategy.

The objective of the research is to understand

and

find

the

relationships between various key factors, which can be vital for nourishing a smooth flow of business between company and its customers through vast pool of organized and unorganized retailers.

Limitation

85

The scope of the study is restricted only to the major areas of Meerut and does not include the outskirts. Responsive error—this arises when respondents are unwilling to listen or talk. Time was the major constraints in interviewing required retailers and telecom users.

CONCLUSIONS

86

CONCLUSION

Idea is the largest telecom service provider in Indian telecom sector. With market capitalization of over Rs. 1,360 billion, Idea has 31% of total market share of GSM service providers. Providing GSM services in all the 23 circles, Idea was the first private player in telecom sector to connect all states of India. Also, Airtel is the first mobile service provider to introduce the EDGE services and electronic recharge systems. Having achieved huge success in mobile services- postpaid and prepaid. Idea has now entered fixed-line telephony providing broadband services in 92 cities across India. But at the same time Idea has some weaknesses in terms of its some services. The present research project on the market competitiveness of Idea helps to analyze and undertand the present market scenario in the city of Meerut. Reliance and Vodafone and Airtel are the strongest

87

competitors so Idea is required to work on its weaknesses like Offers at the time of new connection, Tariff Plans and Data card and Internet services and grab the opportunities beforehand to maintain and improve its market position in the telecom sector.

SUGGESTIONS

88

SUGGESTIONS

After doing a two-month research I have enlisted certain points, which company should consider while drafting its marketing strategy-:

Offers at the time of new connection

The company should provide more offers at the time of new connection because company is lagging behind than other company like Reliance and Airtel.

Tariff Plans

The company should provide new tariff plans because company is lagging behind in terms of Tariff plans of Reliance and Airtel.

89

Data card and Internet service

The company should improve their Internet services and Data card facility because company is lagging behind BSNL. BSNL has more demand among the customers in term on Internet facility.

BIBLIOGRAPHY

90

BIBLIOGRAPHY

Books:

  • (a) R.C. Kothari

  • (b) Philip Kotler

Magazines

(1)

Pepsi & Coke Journals

(2)

Business Today

(3)

Business India

(4)

Business World

Newspaper

91

Research Methodology Marketing Management

(1) Times of India (2) Economic Times

Websites

www.trai.gov,in/trai/upload/tarifforders/54/torder21mar09.pdf

http://www.ideacellular.com

http://www.bsnl.co.in/

92

QUESTIONAIRE

93

QUESTIONNAIRE

Dear Sir,

We

are

BBA student

and

we

are

doing

survey

on “Market

competitiveness of Idea in city of Meerut”. So, we request you to spend

your valuable time in answering the questionnaire.

Personal detail

Name: …………………………………………………………………….

Address………………………………………………………………… ...

Contact no…………………………………………………………………

OCCUPATION……………………………………………………………

94

SEX

a) Male [ ]

b) Female [ ]

Age:

a) Below 20 [ ]

b) 20 to 25 [ ]

c) Above 25 [ ]

Please tick only one appropriate option-:

  • 1. Which company you will prefer while taking a connection?

(i)

Airtel

[ ]

(ii) Vodafone

[ ]

[ ]

(iii) Reliance

[ ]

(iv) Idea

[ ]

(v) Tata Indicom

(vi) BSNL

[ ]

(vii) Aircel

[ ]

2.

Which feature will you prefer while taking a connection?

 

(i)

Coverage

[ ]

(ii) Scheme

[ ]

(iii) Call rates

 

[ ]

(iv) Roaming

[ ]

3.

Are you using prepaid / postpaid connection?

(i)

Prepaid

[ ]

(ii) Postpaid

[ ]

(iii) Both

[ ]

  • 4. Which one of the following company provides best services for

Prepaid and Postpaid?

 

PREPAID

POSTPAID

(i)

Airtel

[ ]

Airtel

[ ]

95

(ii)

Vodafone

[ ]

Vodafone

[ ]

(iii)

Reliance

 

[ ]

Reliance

 

[ ]

(iv)

Idea

[ ]

Idea

[ ]

(v)

Tata Indicom

[ ]

Tata Indicom

 

[ ]

(vi)

BSNL

 

[ ]

BSNL

[ ]

(vii)

Aircel

 

[ ]

Aircel

[ ]

5. Which of the following companies gives the best offers at the time of new connection ?

(i)

Airtel

[ ]

(ii) Vodafone

[ ]

(iii) Reliance

 

[ ]

(iv) Idea

[ ]

(v) Tata Indicom

[ ]

(vi) BSNL

[ ]

(vii) Aircel [ ]

 

6. According to you which of following companies Customer Care Services?

gives

the best

(i)

Idea

[ ]

(ii) Vodafone

[ ]

(iii) Reliance

[ ]

(iv) Airtel

[ ]

(v) Tata Indicom

[ ]

(vi) BSNL

[ ]

(vii) Aircel [ ]

 

7. According to you which of following companies Network Connectivity?

gives

the best

(i)

Airtel

[ ]

(ii) Vodafone

[ ]

(iii) Idea

[ ]

(iv) Reliance

[ ]

(v) Tata Indicom

(vi) BSNL

[ ]

[ ]

(vii) Aircel

[ ]

96

8. Which of

the following companies is the best terms of Advertising

Campaigns in Meerut region?

  • (i) Airtel

[ ]

(ii) Vodafone

[ ]

(iii) Reliance

[ ]

(iv) Idea [ ] (v) Tata Indicom [ ]

(vi) BSNL

[ ]

(vii) Aircel [ ]

9. Which one of the following companies provides the best Tariff Plans?

  • (i) Airtel

[ ]

(ii) Vodafone

[ ]

(iii) Reliance

[ ]

(iv) Tata indicom (vii) Aircel [ ]

[ ]

(v) Idea

[ ](vi) BSNL

[ ]

10. Which one of the following companies provides the best Roaming Facility?

  • (i) Airtel

[ ]

(ii) Vodafone

[ ]

(iii) Reliance

[ ]

(iv) Idea

[ ]

(v) Tata Indicom

[ ]

(vi) BSNL

[ ]

(vii) Aircel [ ]

11. Which one of the following companies provides the best in Communicating Charges Schemes (new scheme) ?

  • (i) Idea

[ ]

(ii) Vodafone

[ ]

97

(iii) Reliance

[ ]

(iv) Airtel

[ ]

(v) Tata Indicom

[ ]

(vii) Aircel

[ ]

12 .Which one of the following companies card/Internet services?

provides the best

Data

(i) Airtel

[ ]

(ii) BSNL

[ ]

(iii) Reliance

[ ]

(iv) Idea

[ ]

(v) Tata Indicom

(vi) vodafone [ ]

[ ]

13. Which one of the following companies provides the best Value Added services?

(i) Airtel

[ ]

(ii) Vodafone

[ ]

(iii) Reliance

[ ]

(iv) Idea

[ ]

(v) Tata Indicom

[ ]

98