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EXECUTIVE SUMMARY
Today there is cut throat competition among the telecommunication industry. Retaining
the customers is highly important and getting the new customer into the company also
otherwise it may be drawback by the company. It may lead to a stiff competitor where we
can’t stay or survive in the market so it as to start the business in a market or areas. By
this also the company will satisfy the customer who is desperate to have the Airtel
connection. Where market planning should be done to have new market to do the
business and know the others service providers drawbacks and make those opportunities
to Airtel and be in the market. By market planning we will come to know the need of the
product or survive to the people where we are not able give the connection at that time
business or pulsing of the customer will be know and make decisions whether to enter
the market or not. Airtel Telephone and Broadband service started in the year 2002 in
Bangalore first in Indore in 1998.Airtel first started by the name Touchtel in 2005
changed in to Airtel .where it will be providing Value Added service guarantee to the
customer where other service providers not giving to the customers.
OBJECTIVES:
To study the methods adopted by Airtel for identification of new market.
To study the preference of the customer of the customer for the service provided by
Airtel.
To study the growth potential for Airtel.
To conduct this study a sample size of 100 respondents are choosen
CHAPTER - 1
INTRODUCTION
The Indian telecommunications sector is one of the fast growing sector and is going to
witness one of the fastest growth rates globally with a Compounded Annual Growth Rate
(CAGR) of around 19% up to2008.In contrast, the growth in telecom services worldwide
is projected about 5% in 2007 and with an uncertain future.
The cellular market, which has been the front-runner in the growth of the local
telecom industry, will maintain a CAGR of 46%, making in the highest growth market in
Asia pacific. This growth rate is expected to be more than that of china's.
The subscriber base, currently estimated at 8 million, will grow around 44 million
by 2008 with the entry of new players. The revenue from cellular subscribers, which is
currently pegged at $909 million (around Rs.4500 crore) at a CAGR of 38.3%.
However, while deregulation has set the pace for growth, a lot remains to be done
to maintain the momentum. Lack of interconnection guidelines, cap on foreign direct
investment at 49%, high percentage of revenue sharing towards license fees and spectrum
charges, long gestation periods for resolving conflicts and lack of control mechanisms to
combat anti competitive practices have been restraining the growth potential in this
segment.
Overview
VISION
MISSION
• Benchmarking competation
New Delhi: Bharti Airtel Ltd. announced that it has crossed the 25-million
customer base mark. In a statement issued here, the company said, "The 25 million
Teledensity 6.0%
Basic phone lines 45 million
Telephone exchanges switching capacity 33, 695, 49.59 million
Cellular subscriber 8.5 million
Internet Subscribers &Users 5.0 million, 9.8 million
Paging Subscribers 1.5 million
Optical fiber reute length 250,000 km
Television sets 85 million
PCs 7.0 million
Cable TV Connections 45 million
The telecom market in India continues to grow at an annual rate of 23%. A number of
stumbling blocks have fallen and money more are expected to come tumbling down soon.
Private operators have made mobile telephony the fastest growing (over 100% p.a.) in
India. Now they are venturing in to more traditional areas such as long distance and
international fixed line calling. Three main groups -Bharati, Tata and Reliance are braving
the hazards of competing with the private sector incumbents. This is boom time for the
consumers, who have been paying among the world's highest tariffs so for.
The Indian government has merged the IT and Telecom Ministries to speed up reforms
and has tabled the Communication Convergence Bill in the parliament to enable the
Main competitors:
The competition varies across the segments, but the current players include the
state-owned operators, operating on the basis of 'level playing field'. In the public sector,
the main players are:
CHAPTER – 2
COMPANY PROFILE
Background of BTNL:
Bharti Telenet Limited (BTNL) is a joint venture between Bharti Enterprises and Telecom
Italia. It is the fast basic telephone operated services in Madhya Pradesh and one backed
by the credentials of two telecom leaders. Bharti enterprises has two decades long of
experience in the telecom industry and has long of pioneering products and services to its
credit.
Airtel, Delhi's first and India's largest cellular phone services that is
revolutionizing telecommunications with the VAST services in collaboration with British
telecom, India's first and largest manufacture and exporter of push button telephones and
unique distinction of becoming the National Telecom Operators of Seychelles.
Airtel is the brand for BTNL, which for the fixed line services of Madhya Pradesh
It operates in five places in M.P., Bhopal, Indore, Gwalior, Raipur and Jabalpur. It began
in June 1998.
Airtel has best systems in place providing better service. These are:
1) Switching and transmission systems from Alcatel, the world leaders in telecom
equipment.
2) Optical fiber cables from finolex and lucent.
3) Customer support system from Ericsson, Hewlett Packard.
4) World-class services standards from Deutsche Telepost Consulting GmbH.
"However, after the merger of Bharti Cellular Ltd and Bharti Infotel Ltd with Bharti
Tele-Ventures Ltd, the company has become an operating company in the telecom sector.
The name change will reflect the present nature of activities of the company."
Mr. Sunil Bharti Mittal, Chairman and Group Managing Director, Bharti Enterprises,
said: "Over the years, we have nurtured and grown the Airtel brand. The use of word
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Airtel in the name of the company will reflect the brand as well as the activity of the
company. Having brought all our service offerings under the Airtel brand umbrella, this
change will be another step towards making Airtel the most admired brand in the
country."
Bharti Airtel became the first fixed-line service provider in India. It is now promoted
under the Airtel brand. Recently, the Government opened the fixed-line industry to
unlimited competition. Airtel has subsequently started providing fixed-line services in the
four circles of Delhi, Haryana, Madhya Pradesh, Karnataka, Tamil Nadu & UP (West).
Airtel Enterprise Services believes that these circles have high communications potential,
especially for carrying Voice & Data traffic. These circles were strategically selected so
as to provide synergies with Airtel’s long distance network and Airtel’s extensive mobile
network.
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Government and Residential Segments. Today we have the patronage of more than
1,50,000 subscribers in the state of Madhya Pradesh & Chattisgarh, Delhi,Haryana,Tamil
Nadu & Karnataka thus making India's largest private Telephone Service.
The technology deployed by Airtel is advanced and its state-of-the-art exchanges
are technologically superior and completely digitalized.Airtel connects through its very
own reliable and high capacity Transmission links that would span across the state of
Karnataka thus providing high quality, uninterrupted and reliable telephony.
While selecting the latest technology our emphasis has been to address all the
network elements switching, transmission, local access, network management & billing
systems to ensure higher uptime and better quality of service.
Technology Partners
Airtel with its state-of-art telecom infrastructure and technology have some of the
best "Telecom Global Giants" as their technological partners. These are BT (UK), siemens
(Germany), Emtel/MIC (Mauritius), MSI (UK), Duraline Corporation (USA) and
Singapore Telecom (SINGTEL, Singapore).
We would like to reiterate that while we provide superior quality and responsive
service, we also offer tangible benefits as detailed below:
• 24-hour customer call center.
• Host of supplementary Voice services like CLI, call forwarding, delayed hotline,
DND (Do Not Disturb), three party conferencing, Remote Telephone Management
etc.Value added services like high-speed data transfer on ISDN (Integrated Service
Digital Network) and leased line networks.
• Advanced Value-added facility of CENTREX, for your wired premises. This
facility allows you to avail intercom facility on your direct lines at no extra cost.
This facility not only allows you to save high capital and maintenance cost of
EPABX, it also ensures your organization from product obsolescence and future
up gradation.
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• Switching - EWSD (Siemens make) digital switches with latest software and
hardware to provide more user-friendly features. CCS #7 signaling ensures faster
dialing. Features like call waiting, Call Forwarding (on busy, on no Reply or
Unconditional), 3 party Conferencing, Distinctive ringing, Delayed hotline, Do
Not Disturb, Malicious Call Identification ,Abbreviated Dialing Dynamic locking,
wake up service, Daily Alarm Service apart from CLIP (Calling Line Identification
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BOARD OF DIRECTORS
The Board of Directors of the Company has an optimum mix of Executive and
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Directors.
The Chairman and Managing Director, Mr. Sunil Bharti Mittal, is an Executive
Director and the number of Independent Directors on the Board is 50% of the total Board
strength. The independence of a Director is determined on the basis that such director
does not have any material pecuniary relationship with the Company, its promoters or its
The Board members possess requisite skills, experience and expertise required to
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INCLUDEPICTURE
"http://www.bhartiairtel.in/fileadmin/srijan/images/org_structure_ver2_enlarged.png" \*
MERGEFORMATINET
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SWOT ANALYSES
SWOT ANLYSIS
Presently Airtel has got 2, 00,000 subscriber base. It is aiming at 3, 00,000 customer by
the end of this fiscal year. Airtel is planning to Invest 65 - 75 corers in Karnataka in the
next 6 months. Presently it is functioning in three centers in Karnataka i.e., Bangalore,
Mangalore and Mysore. It is aiming to function in 27 new centers including the semi
urban area like Hubli, Manipal and Udupi and also in some rural areas.
It presently has got 8 tariff plans, which will help different type of customers. Its rental
varies from Rs.250 monthly to Rs.1650 per month and free calls ranges from 50 to 1800
pulses.
Strengths:
• Airtel is having nearly 40% of market share in business.
• Providing good services when compared to other competitors
• Airtel is the only service provider which is offering several schemes for business
holders.
• Is utilizing promotional activities extensively.
• Is having good billing structure and various easy payment options.
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Weaknesses:
• BSNL has having more market share than Airtel.
• The price charged by Airtel is also higher when compared to BSNL..
• Airtel is facing sever competition from BSNL. TATA INDICOM and RELIANCE.
• No network is most of the main cities in Karnataka.
Opportunities:
• Airtel can come up with more schemes to attract customers.
• It has to increase or expand its network in several areas.
• People should be given than knowledge and benefits of Airtel.
• Should charge lower prize setting up of network for several areas.
• Providing various options in terms of bill payment.
• May use various promotional tools to increase or expand its network.
Threats:
• Introductions of new schemes by its competitors like BSNL, TATAINDICOM,
and RELIANCE.
• Change in the price charged by its competitors like BSNL, TATAINDICOM, and
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RELIANCE.
CHAPTER - 3
RESEARCH METHODOLOGY
It may not be an easy task to understand the market and consumer preference
towards the Airtel product. The problems that they face from various things while laying
cables or during planning process.
Research objectives:
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To study the preference of the consumers for the services provided by Airtel.
Research methodology:
Source of data:
• Primary data: Collected by using a structured questionnaire.
Sampling unit:
It consists of
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1 Retailers and
2 Internet hubs
3 Residences and
Sampling procedure:
Non-probability sampling method
The total size to be selected 50 retailers, 25 residences and 25 internet hubs.
CHAPTER - 4
Table 1:
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Age No of Respondents %
<20 24 24
20-35 18 18
35-60 10 10
>60 48 48
Total 100 100
Inference:
The above table shows that out of 100 respondents 24% of the respondents have been
dealing with telecom business below 20, 18% of the respondents have been dealing with
telecom business were 25-30, 10% of them have been dealing with telecom business were
35-60, and 48% of them above have been dealing with telecom business were above 60.
Graph 1:
The graph showing the percentage of respondents involved in Telecom business.
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Table 2:
a) Table showing the Occupation of the respondents
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Occupation No of Respondents %
Business 50 50
Govt Salaries 32 32
Retired 6 6
Others 12 12
Total 100 100
Inference:
From the above table 50% of the respondents are using Telecom for Business purpose
PCO lines, 32% of the respondents are Govt Employees, Others are 12% and Retired are
6%.
Graph 2:
Graph showing the Occupation of the respondents.
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Table 3:
b) Table showing Monthly Income of the respondents.
Monthly Income No of Respondents %
<10000 20 20
10000-30000 30 30
30000-50000 30 30
>50000 20 20
Total 100 100
Source: Primary data
Inference:
From the above table 20 % of the respondents are within 10000 ,30% of them 10000 to
30000,30% of them are 30000 to 50000 and 20%of them are above 50000.
Graph 3:
c) Graph showing Monthly Income of the respondents.
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Table 4:
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Awareness No of Respondents %
Yes 80 80
No 20 20
Total 100 100
Inference:
Out of 100 respondents surveyed 80 % areaware of the airtel service and 20% are not
aware of the services
Graph 4:
Graph showing awareness of Airtel services.
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Table 5:
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Airtel 30 30
Reliance 20 20
Tata 10 10
Others 10 10
Inference:
Out of 100 respondents 3o% are aware of BSNL,30% are of Airtel,20% are aware of
Reliance,10% of TATA and 10% aware of others.
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Graph 5:
Graph showing other service providers are they aware.
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Table 6:
Table showing aware of Airtel Telephone and Broadband services.
Inference:
From the survey conducted it was known that 64% are aware of Airtel Telephone and
Broadband services and other 36% are not aware.
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Graph 6:
Graph showing the Airtel Telephone and Broadband services.
.
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Table 7:
Table showing how did they get to know about Airtel.
Inference:
The above table shows that out of 100 respondents surveyed 42% of them knew by
magazine,28% knew by friends, 10% by family and 20% by others.
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Graph 7:
Graph showing the how did they get to know about Airtel
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Table 8:
Table showing the Broadband connections using by respondents.
Do you have No of %
Broadband connection respondents
Yes 65 65
No 35 35
Total 100 100
Inference:
From the above table we can conclude that 65% of the respondents are using the
broadband connections and rest of them are not using.
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Graph 8:
Graph showing the Broadband connections using by respondents.
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Table 9:
Table showing from which service provider are they using the connection.
Inference:
It is clear from the above table that 65% of the respondents are using BSNL 15% by
reliance 10% by TATA, and 10% from others.
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Graph 9:
Graph showing from which service provider are they using the connection.
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Table 10:
Table showing the respondents expectation towards service providers.
Tariff or plans 46 21
Speed 60 28
Brand 12 5
Economical 20 9
Others 20 9
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Inference:
The above table 28% of the respondents wants more service and Speed, 21% are look at
Tariff, 9% are need economical and other and 5% look at Brand.
Graph 10:
Graph showing the respondents expectation towards service providers.
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Table 11:
Table showing the View towards Airtel Service.
Inference:
From the above table we can judge that 70% of the service is Excellent 15% are Good,
10% is Average and 5% is Poor.
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Graph 11:
Graph showing the View towards Airtel Service.
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CHAPTER – 5
FINDINGS
1) By this 24% of below age 20, 18% of age 20-25, 10% of 35-60 and 48% of age 60 are
using telecom connection.
2) Most of the respondents are dealing with Telecom for business purpose and personal
purpose like 50% are commercial purposes 32% of Govt salary, 6% of retired people and
12 % of others.
3) According to their income level we came to know that 20% of below 10000 income
and 30% of 10000 to 30000 income, 30% of 30000 to 50000\, 20% of above 50000.
4) We came to know that 80% of respondents are aware of airtel services and 20% are un
aware of services.
5) The respondents aware of other service providers like 30% of each BSNL and Airtel,
20% each by reliance and TATA, 10% of others.
6) The respondents are also aware of Airtel Teliphone and broadband fixed line services
like 64% are aware and 36% are not aware.
7) The respondents came to know about Airtel services 42% by Magazine, 28% by friends
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CHAPTER – 6
RECOMMENDATIONS
1. The company has to increase the network in many potential areas left out in the city.
2. The company has to give connection at any place at any time through wireless.
3. There should be a little bit of advertisements in the areas where there is network.
4. The advertisement in the network may be in the form of banners or road shows.
5. The people should be made aware of various benefits they get from the company.
6. The technical part has to be given little importance because any minor problems like
bill jumping and line not connecting too many places.
7. The Airtel services should be differentiated from other providers may be in the form
of painting done or may be by putting some stickers so that people differentiate between
telecom operator’s .
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8. More and more interesting schemes should be given to the people who change their
existing line from other operator to Airtel like rental and so on.
9. Some extra benefit should be given to the people who change their existing line from
other operator to Airtel like free deposite and some gift vouchers.
10. Area wise meeting with the users should be done frequently discussed various issues.
CONCLUSION
1. Airtel is the first private company to come up in landline telecom businessin 1995 in
Indore and 2002 in Karnataka.
2. Airtel Company has got a good brand image in the market.
3. Telecom business is very profitable business in the market if take in the business
orientation.
4. People prefer Airtel mainly because of extra monitory or other benefits given by Airtel
like extra Value Added Services and guiding the customers.
5. When a person takes the connection he looks for monitory benefits given by the
operator like free connections without deposit and some cash back offers.
6. Most of the Airtel customers have already received gifts from Airtel schemes like
Suvarna samrudhi and Singapore nodi mazamadi.
7. Airtel network has to be increased or expended.
8. More people should be given the knowledge about Airtel services like the conection
can be used for different purposes [fax,swipping]
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Airtel:
1 According to a customer Airtel has got good billing structure and various easy
payment options.
2 Another customer says that optical fiber network is a huge leap in the
Telecommunication industry and he likes the commission structure and says that
he can save taxes on the commission.
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3 One more customer says Airtel! Customer care is good system and he finds very
useful. He also likes the interesting schemes that he keeps getting regularly.
4 In the words of the other customers Airtel lines are clearer than any other telecom
operator’s lines.
5 According to some customers Airtel gives them good profits in terms of
commission.
6 Some of customer the schemes given by Airtel to them encourage them to do
business.
ANNEXURES
“QUESTIONNAIRE
Dear Sir/Madam,
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be grateful to you. I assure you that the information provided by you will be used for
academic purpose only.
Name:
Address:
Contact No:
1. Age:
a) <20 [ ] b) 20-35 [ ] c) 35-60 [ ] d) >60 [ ]
2. Occupation:
a) Business [ ]
b) Salaried- [ ]
c) Retired [ ]
e) Others [ ]
3. Monthly Income:
a) Business [ ]
b) Govt-Salaries [ ]
c) Retired [ ]
d) Others [ ]
No [ ]
b) Good [ ]
c) Average [ ]
d) Poor [ ]
BIBLIOGRAPHY
Books:-
Web sites:-
www.airtelindia.com
www.bsnl.co.in
http://www.igigroup.com/st/pages/india4.html
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Other Source:-
Brochures of airtel
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