PROJECT REPORT ON

MARKETING STRATEGIES OF AIRTEL
SUBMITTED UNDER PARTIAL FULFILLMENT OF THE REQUIREMENT FOR TRAINING SUPERVISOR: PROJECT ADVISOR:

SUBMITTED BY:

SESSION:

ACKNOWLEDGEMENT
I acknowledge the sincere assistance provided to me from several rather unexpected quarters during the course of

execution of this study. It would be a mammoth task to place on record my gratitude to each and every one of them but a whole hearted attempt would be made nevertheless, least I be branded ungrateful. I am extremely thankful to Mr.Abhishek Yadav, (Unit

Advisor) for giving me an opportunity to undergo training in BHARTI AIRTEL MARKETING and making my stay at AIRTEL MARKETING a memorable learning experience. Where the emotions are involved words cease to work. I am deeply indebt to ---------------------- for her encouragement, affections, valuable advice and guidance that helped me to complete this project successfully.

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EXECUTIVE SUMMARY

The project aims at understanding the Marketing strategies at Airtel and its impact on the perception of Airtel Cellular Services. Research has demonstrated conclusively that it is far more costly to win a new customer than it is to maintain an existing one. And there is no better way to retain a customer than to exceed his expectations. For this purpose it is essential to know the level of customer satisfaction. The focus of my research was the measurement of customer satisfaction level for the services provided by Bharti Airtel. The research was done for the corporate clients of Bharti Airtel. My job was not only to represent the Corporate Sales Dept. and collect the feedback from the clients but also to get the major complaints resolved through internal counselling. There can be no better opportunity to interact with the external as well as the internal customers of an organization. Finally the results of the research verify the fact that keeping the customer satisfied is the best strategy to not only retain the existing customers but also to expand the business to new horizons.

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TABLE OF CONTENTS

1. 2. 3. 4. 5. 6. 7. 8. 9. 10.

TELECOMMUNICATION MARKET IN INDIA GSM MARKET IN INDIA INTRODUCTION TARIFF STRUCTURE PROMOTIONAL STRATEGY MARKET SITUATION COMPETITIVE SITUATION MARKETING STRATEGY ADAPTED BY BHARTI OBJECTIVE RESEARCH METHODOLOGY LIMITATION SWOT ANALYSIS CONCLUSION BIBLIOGRAPHY QUESTIONNAIRE 51

7 11 23 39 48 50

60 69 70 71 79 81 82 83

11.
12. 13. 14. 15.

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has shown an impressive jump to 9. Intense competition between the four main private groups .TELECOMMUNICATION MARKET IN INDIA The Indian telecommunications Network with 250m telephone connections is the fifth largest in the world and is the second largest among the emerging economies of Asia. India requires incremental investments of USD 20-25 bln for the next five years. With more than 33 million users (both CDMA and GSM). Private operators have made mobile telephony the fastest growing (over 164% p. Given the current growth trends. target by three years. Today it is the fastest growing market in the world and represents unique opportunities for UK companies in the stagnant global scenario. cellular connections in India will surpass fixed line by late 2004/early 2005.) in India. which was languishing at 2% in 1999. wireless is the principal growth engine of the Indian telecom industry.5% in 2006 and 10. Tele-density. Vodafone.a.Bharti.5% in 2007 and is set to increase to 20% in the next five years beating the Govt. There has been almost 74% in cell 5 . Accordingly. Tata and Reliance and with the State sector incumbents-BSNL and MTNL has brought about a significant drop in tariffs.

INDIAN CELLULAR MARKET The Bharti Group. with 50 lakh subscribers. broadcasting and telecoms will be taken after the new Government assumes responsibilities in may this year. Thus BSNL stands second largest cellular operator in terms of subscriber base at the end of the fiscal 6 . While there were regulatory irregularities earlier. ushering in competition and paving the way for growth. these have all been addressed now. has a subscriber base of 37 lakh subscribers. continues to be the country's largest cellular operator. resulting in a boom time for the consumers. which operates in 22 circles. An independent regulatory body (TRAI) and dispute settlement body (TDSAT) is fully functional. which operates in 23 circles. Customs duties on hardware and mobile handsets have been reduced from 14 percent to 5 percent. The Government has played a key enabling role by deregulating and liberalising the industry. 70% in ILD calls and 25% drop in NLD charges. BSNL. resulting in litigation. The Indian government has merged the IT and Telecom Ministries to speed up reforms Bill and to decision the on the Communication Convergence enable common regulation of the Internet.phone charges.

Idea.40 lakh. higher than BPL's 11. the cellular subscriber base in the country has almost doubled in March 2005.92% growth. Belying fears of a slowdown in cellular subscriber acquisitions.80 lakh. The cellular subscriber club expanded by 21. is the fourth largest operator with a subscriber base of 17. MTNL. which operates in Mumbai and Delhi. the cell club has reported a 7. Spice Communications. the highest growth in any month so far. Vodafone. till it was too late in the day. having a subscriber base of 9.31 lakh last month. Year-on-year. which operates in Seven circles.ending March 31. "Cellular operators who expected BSNL to go the MTNL way. during March 2005." said a telecom analyst.9 lakh subscribers added in February 2005 and 2. displacing Vodafone from the second position. followed by Reliance 7 . This is much higher than 5. is the third largest operator with a subscriber base of 32 lakh. and is expanding at the rate of 25% per year thereafter.31 lakh subscribers across four circles. BSNL has been a very aggressive player in the market. The subscriber numbers per operator drop sharply with the sixth largest operator. Unlike fellow public sector undertaking. which operates in only eighteen circles.13 lakh in January 2005. 2007. were taken by surprise and did not take effective steps to counter it.

74 % growth with subscriber numbers jumping to 5. Uttar Pradesh (West).89 lakh.75 lakh monthly additions in the third quarter. Madhya Pradesh and West Bengal recorded a jump of 10.69%.74 lakh subscribers.58.39 lakh in the metros.08 lakh.63. Gujarat. the Capital's cellular subscriber base of over 80 lakh is still higher than Mumbai's 66.18 % to reach 43. Rajasthan. Punjab. while Mumbai added 1. Among the metros.64 lakh. Andhra Pradesh. While the subscriber base-jumped by 3.9 lakh subscribers. Karnataka and Tamil Nadu jumped by 10. Haryana. subscriber base of category A circles of Maharashtra.180 subscribers. the first two months of 2007 had seen the growth slowing down.38% to 44. with a total base of 33.32 lakh subscribers. Circle C has reported 12. 8 . MTNL is the ninth largest operator. While the cellular industry has been on roll for the first three quarters of the previous financial year with an average of 16. Category B circles of Kerala.646 added by Delhi.Telecom's 8. higher than the 1. with a base of 8. Uttar Pradesh (East).

India's telecommunications have undergone a steady liberalisation since 1994 when the Indian government first sought private investment in the sector.GSM India With a population of around 1. it has been the 9 .1 billion growing at roughly 1. Much of this success can be attributed to the stabilisation of the licensing and regulatory environment.GSM MARKET IN INDIA Regional Interest Groups . However. the past 12 months have seen the region's promise beginning to come to fruition. India is potentially one of the most exciting GSM markets in the world. After two rather difficult years. More significant liberalisation followed in 1996 with the licensing of new local fixed line and mobile service providers.7 per cent a year.

One of the challenges facing GSM operators in India is the diversity of the coverage regions -from remote rural regions to some of the most densely populated metropolitan areas in the world. IT and media. This means that service costs have fallen by 60 per cent since the first GSM networks became live in 1995. Such depth of coverage has required enormous investment from India's operators. There is a genuine commitment to creating a modern and efficient communications infrastructure that takes account of the convergence of telecom.government's New Telecom Policy (1999) that has had the most radical impact on the development of GSM services. which cover the seven largest cities. It also helps explain why a recent Telecom Asia survey revealed that more than 70 per cent of Indian mobile subscribers felt that prices were now at a reasonable level. In addition. over 7000 towns and several Lacs villages.' Competition in the mobile sector has already had a visible impact on prices with calls currently costing less than 9 cents per minute. the policy places significant emphasis on greater competition for both fixed and mobile services. It is estimated that more than Rs200 billion 10 . 'The policy's mission statement is 'affordable communications for all'. India has more than 40 networks.

India is a success story. At this pace. according to the Global Mobile Suppliers Association. "For GSM. In the year ahead. the target of 150 million subscribers by 2007-2008 is definitely achievable. The good news is that subscriber growth is beginning to look healthy. It is one of the fastest growing markets with its subscriber base doubling in 2005. a figure that is set to be supplemented by a further Rs. president of GSA. GSM India will work with its members to realise the potential of early packet services in anticipation of the award of 3GSM licences. With India's low PC penetration and high average Internet usage -at 14-20 hours a month per user it is comparable to the US -the market for mobile data and m-commerce looks extremely promising. India fastest growing GSM mart India is expected to have 145 million GSM (global system for mobile communications) customers by 2007-08 compared to 26 million subscribers as on March 2005. WAP services have already been launched in the subcontinent and the first GPRS networks are in the process of being rolled out.had been invested in India's GSM industry by mid-2000. 11 . 300 billion over the next five years. said at a news conference in New Delhi." Alan Hadden.

Mobile carriers pay as much as 25 percent of their revenue as licence fee. which is a major contributor to business plans. spectrum charges and other taxes.86 billion) compared with 64 billion rupees a year earlier. Hadden said: "GSM is the world's most successful mobile standard with over 1 billion users. According to T. the GSM market reached 1 billion users in February 2005. adding GSM accounted for 80 per cent of the new subscriber growth in 2005.Globally. The Cellular Operators Association of India (COAI) said revenue for fiscal 2003/04 stood at 83. Commenting on the raging debate over GSM versus CDMA in mobile services arena." he said. he said.V."Almost every Latin American operator has chosen GSM. and is an open mobile standard.08 billion rupees ($1. it is amongst the highest taxed industries in the country. director 12 ." India’s GSM mobile firms’ revenue up 30 pct India’s private telecoms firms offering GSM-based mobile services reported a 24 percent rise in revenue in the year to March 2007 but said future growth rates could slow because of heavy taxes on the nascent industry. Although India’s mobile sector is the world’s fastest growing major wireless market. Ramachandran. In North America GSM growth is bigger than CDMA (code division multiple access). It also supports automatic international roaming.

4 percent to 432 rupees in the fourth quarter compared with 523 rupees in the first quarter due to a cut in tariffs and excessive competition among companies. Growth slowing. “These revenue growth rates cannot be maintained unless there is a concerted effort by the government to cut excessive levies and allow sharing of infrastructure” “But the potential to do much better exists as there is still huge demand in the sector. and Mahanagar Telephone Nigam Ltd.” Ramachandran said the sector was still losing money but declined to elaborate. Ramachandran said.25 million users took up the service in April compared with 13 . There are 150 million GSM customers and more than 96 million users of the rival CDMA-based mobile services in the country. the second-ranked player. The pace of growth in monthly additions is slowing after just 1. a key measure of profitability. Sales jumped because of a doubling of the GSM (Global System people of Mobile Communications) user base as more entered the flourishing market thanks to one of the lowest call rates in the world.general at COAI. demand untapped: The association has not included the financial performance and the GSM-user base of state-run firms Bharat Sanchar Nigam Ltd. declined 17. But the monthly average revenue per user.

9 million in the previous month and 1. Reliance Infocomm Ltd and the Indian GSM-unit of Vodafone group battle in the hotly competitive sector. 28 percent owned by Singapore Telecommunications. 14 .1. “Our surpluses are not enough to cover costs of network expansion and financing charges on loans. About a dozen firms such as Bharti Airtel Ltd. Ramachandran blamed the slowdown on a majority of small GSM operators being unable to expand networks into rural swathes where demand remained largely untapped.63 million in February.” he said. Roughly three percent of Indians own a mobile phone compared with about 20 percent in China. Carriers are now subsidising handset costs to woo users into the underpenetrated industry forecast to have more than 250 million customers by 2007. We are making money only to cover operating expenses.

DOES GSM HAVE THE EDGE? GSM operators are not the only ones who are worried about the rapid strides made by CDMA mobile players Reliance Infocomm and Tata Indicom in the Indian cellular market? The GSM suppliers – both handset and equipment . the miserable showing of the four global standard for mobile (GSM) 15 . are beginning to lose some sleep over what was earlier termed as `niche’ and `minuscule’ data carriage market by the operators Apart from the strong success of the two CDMA operators whose networks are based on code division multiple access (CDMA).who incidentally also have their other foot firmly placed in the CDMA pie.

always-on connectivity to the Internet. GSM operators. Global mobile Suppliers Association (GSA) now believes that even though India will primarily remain a voice traffic-led market in next two-three years. has the vendors worried. and other data services. which can give hi-speed. THE CDMA CHALLENGE CDMA players had launched their services with CDMA 2000 1Xbased networks. have had to migrate from the frustrating experience of WAP (wireless application protocol) to GPRS. the data traffic component will grow by 25-30 per cent. which has not 16 . an optimism that it’s trying to make GSM operators feel as well. on the other hand.based networks that launched general packet radio service (GPRS) service for data connectivity in last three years.

Siemens. the country has between 2. a major reason why GPRS growth has been so slow. BPL Mobile and Idea Cellular had launched GPRS. but the actual speeds have not exceeded 14-18 kbps. Ericsson. the figure is believed to be respectable as a percentage ratio for CDMA. sources said. the two CDMA operators have about 120 lakh connections. the EDGE! Bharti Cellular is close to commercially launching its EDGE service in Delhi and Mumbai by end May or early June.80. The field trials gave a speed of around 54 kbps. The top brass of GSA. Vodafone. Though no figures are available as to how many use these for data services. Alcatel and Lucent Technologies . As against the total GSM cellular base of 5. Bharti is almost there But first. Only Airtel. but the data transfer speeds of GPRS have been abysmal. All these sets are data compliant. an organisation comprising Nokia.000 lakh GPRS users only.met on Tuesday in the capital to persuade the operators to adopt EDGE (Enhanced Data rates for GSM Evolution) and leave GPRS behind as a dream gone sour. Idea 17 .61 crore. The company was the first to conduct field trials in November with its equipment supplier Ericsson. In comparison.significantly improved the subscriber’s experience of surfing the Net on/from mobile.

The two companies would eventually migrate to EDGE. but perhaps after seeing the response to Bharti’s service.too held EDGE field trials in February this year with its vendor Nokia. He felt India could have as many as 200 million GSM subscribers by 2007-2008. up from nine million in December 2004. Will GSM maintain its headstart? At the GSM Evolution Forum held in New Delhi.1 billion GSM subscribers worldwide as against 250 million CDMA customers. there are over 1. claimed chairman of GSA India chapter Rakesh Malik. GSA president Alan Hadden predicted that GSM growth will far outstrip CDMA as was happening globally. promises the launch of many data applications. if achieved. EDGE holds the promise of delivering data speeds of around 170180 kbps (as against the theoretical speed of around 380 kbps) which. Vodafone and BPL are yet to hold the trials. The revenue of top 25 global operators from data averages 18 per cent and 22 of these operators run GSM 18 . According to GSA. The scalable cost of migrating from GPRS to EDGE is not too high and mainly comprises software upgrades in case of a modern network such as Bharti and Hutch.

the automatic roaming provided by GSM networks in almost 200 countries is a power that CDMA doesn’t give you. pointed out Hadden at the GSM Evolution Forum. Even the migration to a full-fledged 3G level of Wideband CDMA (WCDMA) will be smooth with EDGE. The Forum is a global GSA program to assist the operators for evolution to third generation (3G) technologies. The first CDMA 2000 1X was commercially deployed in October 2000.” said Hadden. were migrating gradually to GSM. there are 76 operators in 50 countries that have committed to deploy EDGE. Fifteen networks have commercially launched EDGE as it can run 3G like services in the existing spectrum for the operators without needing a 3G license. “Besides.” he added. 81 operators have launched 77 CDMA 2000 1X networks whereas nine have launched services based on 1xEV-DO 19 . Almost every country has a GSM-based network and even those US operators. We know for sure that almost 20-25 per cent of the revenue for some GSM operators comes from roaming customers. But CDMA is no pushover with Korea and Philippines as the shining jewels in its crown. “People are using their phones for much more than voice. Already.networks. which operated on now-defunct TDMA technology. Overall. not CDMA.

besides high-speed Internet and e-mail access. EV-DO or EV-DA as and when the government decides what to do with the 3G licences. Where are the models? What will matter a lot in this war will be the availability of EDGE compliant handsets at affordable rates. subscribers can expect the delivery of advanced mobile services such as easy downloading of video and music clips. same has not been the case with GSM. provided their handset supports all this. the Americas and Europe. 16 new 1X and six 1xEV-DO networks are scheduled to be deployed in 2004.platform across Asia. full multimedia messaging. Even now. But the real cruncher will be the migration at a later stage to 3G technologies such as WCDMA. according to CDMA Development Group. End sum game When the networks deploy EDGE. While the two CDMA operators have been giving out handsets that can give hi-speed data transfer. EV-DO and EV-DV are the next level of evolution on the CDMA 2000 1X platform. WCDMA for 20 . GPRS handsets have not become commonplace and GPRS feature is found only in mid and high-end segment handsets. At least. capable of delivering services comparable to 3G WCDMA.

A Korea and Japan may not be waiting to happen in India. Who succeeds in this battle for mobile customer’s eyeballs is most difficult to predict. In the coming months. but Indian market could well throw an interesting scenario that industry experts will do well to watch. For now. but India will probably be more like the Chinese market with both standards co-existing. GSM lobby may continue to remain gung ho over the future of their technologies over that boosted by the American firms Qualcomm and Motorola. equivalent to what a leased line in many middle level corporates gives.example promises delivery of a phenomenal 2 megabytes per second (mbps). including video telephony. GSM rules! 21 . WCDMA will spawn a whole new range of full motion audio-video applications. More importantly. Reliance plans to offer its CDMA subscribers much more than what GSM players intend to deliver through their EDGE for their subscribers.

Bharti Enterprises.6 million mobile and 5. Bharti provides a range of telecom services. which 22 . Bharti Airtel is India's leading private sector provider of telecommunications services based on a strong customer base consisting of 50 million total customers.) Bharti Airtel Limited was incorporated on July 7. Airtel comes to us from Bharti Airtel Limited .4 million fixed line customers.INTRODUCTION Airtel (Bharti Airtel Ltd. which constitute. 1995 for promoting investments in telecommunications services. 2007. as of March 31.a part of the biggest private integrated telecom conglomerate. Its subsidiaries operate telecom services across India. 44.

SERVICES Airtel Prepaid Airtel Prepaid. 10. With a host of great features. No more rentals or deposits – simply recharge as much as you need to from as low as Rs. India's leading integrated telecom service provider. 10.National giants. Going mobile with Airtel Prepaid is a new way of life.include Cellular. Bharti is the leading cellular service provider. 23 . to as high as Rs. Basic. with a footprint in 23 states covering all four metros and more than 50 million satisfied customers. Internet and recently introduced National Long Distance. Apart from being the largest manufacturer of telephone instruments in India. also simple to use. possible. Bharti also manufactures and exports telephone terminals and cordless phones. the Ready Cellular Card from Airtel comes to you from Bharti Enterprises. it is also the first company to export its products to the USA. Airtel Prepaid makes everything that you dreamt and believed.000/-. Bharti has also put its footsteps into Insurance and Retail segment in collaboration with Multi. Total Cost Control You can control your Airtel Prepaid like never before.

Pre activated STD/ISD without deposits or rentals You can now enjoy a pre-activated STD/ISD on your Airtel Prepaid. Recharge your Airtel Prepaid Recharging is Easy. Hassle-free calls are here to stay! Strong Network Coverage Enjoy complete clarity when calling with Airtel’s world-class technology and unbreakable network coverage that spans over 23 circles across the country. You can also call 123 from your mobile phone and listen to the voice announcement or simply dial *123#. from a variety of tailor– made recharge coupons with different 24 . The calling value on your card keeps reducing as you make calls or use any other chargeable service. Instant Balance and Validity Enquiry Your account balance is updated on the screen of your handset at the end of each chargeable call. No more paying deposits or having a minimum balance in your account to make an STD/ISD call. Choose the Airtel Prepaid Recharge Coupon that’s right for you. press 'OK' or 'YES' button and your account balance will be displayed on the screen of your handset.

so you stay connected no matter wherever you are. Simply follow the procedure mentioned below. You can also send or receive MMS. which are available at a number of outlets across your city. check your email and access other GPRS services while roaming in India as you would in your own city. Call management Services Call waiting.denominations. to recharge your phone. Try them and discover a whole new world of fun and excitement. Prepaid Roaming Airtel Prepaid comes preactivated with 'National Roaming'. Voice Mail 25 . call divert and Caller Line Identification Presentation – all with your Airtel prepaid connection. call hold. a wide range of Services that will change the way you communicate. While traveling abroad you can receive calls & send or receive SMS. Other Services Airtel brings you.

if it's too noisy to talk or you don't have much time. <SUB SPO> for Sports Alerts & <SUB VAASTU> for Vaastu tips. It's the way to share those interesting one-liners. SMS (Short Messaging Service) Send messages quickly and easily using text. <SUB BIZ> for Business News. with MMS from Airtel! To activate MMS on your phone. Airtel Voicemail will answer your calls and record a message. SMS <SUB NEWS> to 3333 for News. <SUB JOKE> for Jokes. anywhere in the world. images and video clippings. Airtel Live! 26 . anytime. important reminders and rib-tickling jokes. business.you just pay for the phone call when you use the service. Subscription Alerts Get regular alerts on news.When your handset is switched off. or you’re too busy to answer the phone. health and films on your Airtel mobile phone with Subscription Services. MMS (Multi-media Messaging Service): Jazz up your messages with pictures. SMS 'MMS' to 56465 and save service settings. The best part is that there's no extra monthly cost for setting up Voicemail . jokes. with anyone.

right on your phone! Airtel Live! WAP Services: Download the latest ring tones. You can also choose a variety of content options like Live Cricket Commentary. watch live TV and download full songs on you phone.g. on your phone at the touch of a few buttons with Airtel Live! SIM based Services on your SIM card menu. Airtel Live! Voice Services: Just Dial 56465. by sending a SMS 'FUN' to 56465. Airtel Live! SMS Services: You can enjoy a host of services by sending a keyword as an SMS to 56465! Choose Astrology / 27 . stocks. games. latest National / International News. To get Airtel Live! settings on your phone. You can also get news clips. choose the "What's new" option under the "Airtel services" menu. SMS 'Live' to 56465 and save the settings that you receive as your preferred connection.Make your mobile the most happening entertainment destination with Airtel Live! Airtel brings you the latest in entertainment and information services. Airtel Live! Portal can be accessed from you GPRS enabled phone. Airtel Live! SIM Services: Access loads of fun content and exciting services like cricket. say ring tones to download your favorite ring tones. and name the service. To download new services on your Airtel SIM. videos and much more. For e. Movie Reviews or Stock Market Updates. wallpapers.

Bollywood / Hollywood / Indi Pop Ring tones. In case you need assistance SMS. Cricket. Help to 56465.Horoscope. 28 .

you can make them groove to the hottest new tracks burning up the music charts with Hello Tunes from Airtel! You get a wide choice of songs in the Popular & New Arrivals categories that are updated regularly.Hello Tunes Tired of that boring old ‘tring tring’ on your phone? Well now when a friend calls. Say it with a song instead! Gift a Hello Tune to that special someone.g. What's more you can directly call the number for your kind of music. Gift a Hello Tune Forget gifting chocolates. Once inside the copy feature. You will get an SMS notification upon successful receipt of that gift. call 678005 for English New and 678001 for Hindi New. Just call 55055 and choose the song that you want to gift. Follow the simple voice instructions and key in the 10-digit Airtel mobile number that you want to gift the Hello Tune to. e. all you have to do is call 55055 and follow the simple voice instructions to copy your favorite Hello Tunes. Copy a Hello Tune Get the tune you want. just key in the 10-digit Airtel mobile number you want to copy the Hello Tune from and you get the same Hello Tune assigned to your number. flowers and greeting cards. This would directly take you to your favorite artist's Hello Tunes listing. 29 .

in the subject of the mail for a quicker response. not just through words but ideas. To give you the unlimited freedom to reach out to your special people in your special way. dial '121' . Reach us Anytime Anywhere In case you need assistance. like. Simply walk into your nearest Airtel Shop and walk out with your favorite song. just when you want to. Bhajans to Jazz. Hard Rock to Gujrati Garba. Bhangra Beats to foot tapping Tamil Hits from a list of more than 18000 songs. 30 . accessible from anywhere in the country.Buy Music .our toll-free number. mention your mobile no.com. even while roaming.Airtel Music Shops Buying your favorite Hello Tune or Ring tone is as simple as recharging your phone with talk time. You can also send us an SMS to 121 or mail us at 121@airtelindia. *In case of email. 9810012345. Choose from Bollywood Hits to Indipop Remixes. innovative yet simple new ways to communicate. More exciting. Airtel Postpaid Airtel welcomes you to a vibrant world of unlimited opportunities. emotions and feelings.

31 . Easy Payment Options. Anytime Anywhere You can choose from a host of convenient payment options only with Airtel.Easy Billing Enjoy a host of rich features only with Airtel e-bill. Walk into any Airtel relationship centre and make your payments by cash or credit card. Drop a cheque at any of the drop boxes for making payments or simply log on to My Airtel section and pay instantly through your credit card. To change your tariff plan call our IVR at 121 and leave a request. Sort your calls between personal and official or analyze your usage. All you have to do is fill the Standing Instruction Form and mail. You can also opt for easy payment options like: Standing Instructions You can give us standing instructions to debit your credit card account for your monthly Airtel bills. at the click of a button. fax it to us or drop it any of our relationship centres. Register free on ‘My Airtel’ section and view your monthly bill with call details for last three months.

You may also choose to pay us an additional refundable deposit to enhance your credit limit or opt for our convenient payment method of Credit Card Standing instruction . you will be informed via a voice or a non-voice message to make an interim payment and reduce your account balance below your credit limit. keeps track of your usage and ensures that your mobile phone is not misused.You can also make use of ECS facility.Electronic Clearing System Fill an ECS form and mail. Walk in to any Airtel Relationship Centre in the country. make payments by cash or credit card and enjoy uninterrupted Airtel Services. Pay while roaming Airtel has introduced 'Anywhere payment' that offers you the convenience of making payments while you roam. fax it to us or drop it any of our relationship centres to directly debit your bank account for your monthly Airtel bill. Should you exceed your credit limit. Credit limit Your pre-set credit limit mentioned on your monthly bill helps you keep your mobile charges in control. 32 .

Try them and discover a whole new world of fun and excitement. Long Distance Calling Facility Call long distance calls in India and Overseas with STD / ISD facility on your Airtel phone.National and International Airtel's roaming service allows you to stay connected and use your mobile phone to make or receive calls from almost anywhere in India and also over 160 countries. Widest Roaming .Roaming Use Airtel Postpaid's GPRS services. while roaming. BlackBerry services). Say it.It offers you world class technology and unbreakable network coverage that spans over 23 circles across the country. GPRS . In more than just words.Strong Network Coverage Enjoy complete clarity when calling with Airtel . abroad. with Services from Airtel Airtel brings you a wide range of Services that will change the way you communicate. to access the internet and office mails (eg. 33 . from almost anywhere in India and abroad.

To know more. To activate. help you do more with your Airtel Postpaid connection! Conference call You can hold a teleconference with 5 people simultaneously with Call Conferencing service from Airtel.Call management Services Call waiting. call divert and Caller Line Identification Presentation. The best part is that there's no extra monthly cost for setting up Voicemail . Voice Mail When your handset is switched off. Airtel Voicemail will answer your calls and record a message. 34 . dial *135*2# then press the call button and wait for the request to be completed. call customer service at 121. Missed call alert A missed call alert is a SMS that you will receive for all the calls that you missed. The SMS will detail the CLI and the time when the call was made. you can set up a conference even when the other five are using a landline phone. or you’re too busy to answer the phone.you just pay for the phone call when you use the service. In fact. call hold.

<SUB JOKE> for Jokes. Airtel Live! Make your mobile the most happening entertainment destination with Airtel Live! Airtel brings you the latest in entertainment and information services. anytime. if it's too noisy to talk or you don't have much time. with anyone. anywhere in the world. jokes. Subscription Alerts Get regular alerts on news. images and video clippings. SMS 'MMS' to 56465 and save service settings. MMS (Multi-media Messaging Service): Jazz up your messages with pictures. using text. SMS <SUB NEWS> for News. right on your phone! 35 . It's the way to Share those interesting one-liners. business. <SUB SPO> for Sports Alerts & <SUB VAASTU> for Vaastu tips to 3333. <SUB BIZ> for Business News.SMS (Short Messaging Service) Send messages quickly and easily. with MMS from Airtel! To activate MMS on your phone. important reminders and rib-tickling jokes. health and films on your Airtel mobile phone with Subscription Services.

games. You can also choose a variety of content options like Live Cricket Commentary. choose the "What's new" option under the "Airtel services" menu. say ‘Ring tones’ to download your favourite ring tones.Airtel Live! WAP Services: Download the latest ringtones. watch live TV and download full songs on you phone! To get Airtel Live! settings on your phone SMS 'Live' to 56465 and save the settings that you receive as your preferred connection. videos and much more. You can also get news clips. 36 .g. Airtel Live! Voice Services: Just Dial 56465 and say the name of the service. by sending a SMS 'FUN' to 56465. stocks. Movie Reviews or Stock Market Updates. Airtel Live! SMS Services: You can enjoy a host of services by sending a keyword as an SMS to 56465 ! Choose Astrology / Horoscope. latest National / International News. Airtel Live! SIM Services: Access loads of fun content and exciting services like cricket. Cricket. Bollywood / Hollywood / Indi Pop Ring tones. To download new services on your Airtel SIM. on your phone at the touch of a few buttons with Airtel Live! SIM based Services on your SIM card menu. For e. Airtel Live! Portal can be accessed from you GPRS enabled phone. In case you need assistance SMS ‘Help’ to 56465. wallpapers.

GPRS (General Packet Radio Services) Log on to the internet, with GPRS that allows data transmission at a higher speed. Access e-mails and internet across Airtel's pan-India presence using 'Mobile Office' with your phone or a phone and laptop both. Get the EDGE Browse the internet on your mobile phone with Airtel's EDGE services. Enjoy live TV, enhanced WAP experience and Airtel Data Cards on our high speed network. Hello Tunes Tired of that boring old ‘tring tring’ on your phone? Well now when a friend calls, you can make them groove to the hottest new tracks burning up the music charts with Hello Tunes from Airtel! You get a wide choice of songs in the Popular & New Arrivals categories that are updated regularly. What's more, you can directly call the number for your kind of music, e.g. call 678005 for ‘English New’ and 678001 for ‘Hindi New’. This would directly take you to your favourite artist's Hello Tunes listing.

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Copy a Hello Tunes Like a tune you want, all you have to do is call 55055 and follow the simple voice instructions to copy your favourite Hello Tunes. Once inside the copy feature, just key in the 10-digit Airtel mobile number you want to copy the Hello Tune from and you get the same Hello Tune assigned to your number. Gift a Hello Tunes Forget gifting chocolates, flowers and greeting cards. Say it with a song instead! Gift a Hello Tune to that special someone. Just call 55055 and choose the song that you want to gift. Follow the simple voice instructions and key in the 10-digit Airtel mobile number that you want to gift the Hello Tune to. You will get an SMS notification upon successful receipt of that gift. Buy Music - Airtel Music Shops Buying your favourite Hello Tune or Ringtone is as simple as recharging your phone with talktime. Simply walk into your nearest Airtel Shop and walk out with your favourite song. Choose from Bollywood Hits to Indipop Remixes, Hard Rock to Gujrati Garba, Bhajans to Jazz, Bhangra Beats to foot tapping Tamil Hits from a list of more than 18000 songs.

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Reach us, Anytime Anywhere In case you need assistance, dial '121' - our toll-free number, accessible from anywhere in the country, even while roaming. *In case of email, mention your mobile no. like 9810012345 in the subject of the mail for a quicker response.

TARIFF

STRUCTURE
Prepaid Tariffs

Airtel Prepaid Ready Cellular Card and Recharge Cards are available, all over the city at over retail outlets including 24-hour outlets. Airtel Prepaid Ready Cellular Card and Recharge Cards are available, all over the city at over retail outlets including 24hour outlets.

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Airtel Prepaid Regular
449 SUK Pulse Rate Price of Pack (Rs.) Free Airtime on Pack (Rs.) Incoming Calls (Rs.) 60 sec Rs.449 Nil Free while in home network Airtel LOCAL RATES (Rs./min) STD RATES (Rs./min) ISD (Rs./min) USA, Canada, Europe (Fixed Line), Australia, Singapore, Hong Kong, Thailand, Malaysia, Indonesia, New Zealand. Gulf, Europe (Mobile), SAARC countries, Africa & Rest of the world Cuba, Sao Tome & Principe, Guinea Bissau, Diego Garcia, Nauru, Solomon Islands, Vanuatu, Cook Islands, Tuvalu, Tokelau, Norfolk Island, Sakhalin SMS (Rs.) Local National International Other Details Rs.1.20 Rs.2.00 Rs.5.00 Rs.6.40 Rs.1.20 Rs.2.75 GSM / CDMA (10 Digit) Rs.2.00 Rs.2.75 Landline / WLL Rs.2.40 Rs.2.75

Rs.9.20

Rs.40.00

*Rs 50 Local Airtel-Airtel Mobile talktime per month for 6 months * First month Airtel-Airtel credit within 72hrs of activation & balance credit by 1st week of eve month) *The SMS charge as applicable is per 160 characters * Validity- 24 months.

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convenient payment options and host of rich features.99 STD RATES 50 – 200 Km 200 – 500 Km 500 + Km ISD USA. Solomon Islands. Rs. 99 Airtel GSM Digit) Rs 1.99 / Landline / CDMA (10 WLL Local Rates Rs. 524 Bill plan Charge Rs. Singapore. Thailand. Europe world Cuba.99 Countries. Malaysia. Vanuatu. 150 Clip NA MONTHLY CHARGES (OPTIONAL) Clip Rs. Guinea (Mobile). So get set to enjoy a world of limitless possibilities! Reference Tarif Packages (RTP) ON TIME CHARGES Activation Charges Rs. Europe (Fixed Line). 250 Security Deposit NA MONTHLY CHARGES (FIXED) Rs. Hong Kong. new Zealand Gulf. 444 Monthly Rental Rs.POSTPAID Airtel Postpaid allows you to choose from a variety of affordable talk plans. 250 Membership Fee Rs. Rs. Nauru. 41 . 1.99 Rs 1. SAARC Rs 9.00 Garcia. Bissau. 40. 7. Canda.20 Austalia. Africa & Rest of the Sao tome & Diego Principle. Indonesia.

Rs. 50 Monthly Rental Rs. 150 Clip NA MONTHLY CHARGES (OPTIONAL) Clip Rs. Solomon Islands. Sakhalin SMS Local National International Value Added Services (Rs.00 5.) Airtel One Standard 150 ONE TIME CHARGES Activation Charges Membership Fee Rs. Rs. Diego Garcia. Tuvalu. Sakhalin SMS Local National Intentional VAS  Rs 1. Tuvalu. Cook Islands.00 3. 5.00 Rs 2. Vanuatu. Nauru. Tokelau.00 Rs.00 This Bill Plan is also available under Advance Rental of Rs. Rs.00 Rs. 150 Bill Plan Charge Rs.Cook Island. 3. 799 for 2 years. 1. Norfolk Island. Tokelau. Local Pack Airtel to other local mobiles (non Airtel) At Rs 1 / min  Monthly rental Rs 25 per months/STD Pack  42 . Norfolk Island. 50 Bissau.00 Rs 250 Rs 250 (Converts into security after 24 months) Security Deposit NA MONTHLY CHARGES (FIXED) Rs.00 2.

43 . All other options and charges are as per the existing Airtel One Standard 150 Plan. For details.  Monthly rental Rs 75 per month/Special offer for Airtel Telephone service customers  for availing Airtel Mobile services If you already have Airtel Telephone service.Airtel to other mobiles (non Airtel) & fixed lines nos. at Rs 2 / min. Monthly rent of Rs 25 for reduced call rates to your Airtel    fixed line has been waived off for 1 year. Advance rental of Rs 499 gives you a rental discount of Rs 150 every month for the next 2 months. you can buy a new Airtel Mobile connection under Airtel One Standard 150 Plan. No membership / activation fee Enjoy calls to your Airtel fixed line no. at just 50 P / min. Benefits:  Non security deposit. call us 516-12345 Advance Rental benefits (1year scheme) Pay an advance rent of Rs 499 and enjoy Airtel One Standard 150 plan at Zero monthly rental for one year.

00 Rs. Singapore.00 Rs. Island. 1.40 Rs. 2. 1.40 Countries. Norfolk Island. 2. 7. Tokelau. 299 NA GSM Digit) Rs. Thailand.40 Rs. Europe world Cuba. Guinea Cook (Mobile). 1.00 Garcia. Africa & Rest of the Sao tome & Diego Principle. 2. 2. 50 Airtel CDMA (10 WLL LOCAL RATES STD RATES 50-200Km 200 – 500 Km 500 + Km ISD USA.99 Re. 150 Rs. 2.00 Rs.00 44 . Austalia.Airtel one Standard 299 ONE TIME CHARGES Activation Charges Membership Fee Rs 250 Rs 250 (Converts into security after 24 months) NA Rs 299 Rs. Sakhalin SMS Local National Rs. SAARC Rs 9. 2. Bissau. Solomon Islands.20 Rs. Rs. Europe (Fixed Line). 2.00 Rs. new Zealand Gulf. Nauru. 2. 2. 2. Canda. 40.00 Rs.40 / Landline / Security Deposit MONTHLY CHARGES (FIXED) Bill Plan Charge Monthly Rental Clip MONTHLY CHARGES (OPTIONAL) Clip Rs.40 Rs. Tuvalu. Indonesia.40 Rs.00 Rs. Malaysia. Hong Kong. 1. Vanuatu.00 Rs.

5.00 You also enjoy 25 FREE local mobile to mobile SMS 45 .) Rs.International Value Added Services (Rs. 3.00 Rs.

3. 150 Rs. 5. Diego Tuvalu. Sakhalin SMS Local National International VAS With Senior Citizen Plan Rs. Garcia. 250 Rs.00 46 .00 Rs. Norfolk Island. Tokelau. 99 NA Rs. Nauru. 2. 1. 51 Rs. 250 (Concerts into security deposit after 24 months) NA Rs. Islands.Senior Citizen Plan ONE TIME CHARGES Activation Charges Membership Fee Security Deposit MONTHLY CHARGES (FIXED) Bill Plan Charge Monthly Rental Clip Cuba. Vanuatu. Solomon Islands. Sao Tome & Principle. Guinea Cook Bissau.00 Rs.50 Rs.

47 . 0.) – Rs 1. Airtel to Airtel (1 STD no.) – Rs.5 / min. 9.You can take 3 Friends and Family numbers: Airtel to Airtel (1local no.5 / min ISD calls to US / Canada / South East Asia / Australia / New    Zealand) – Rs.99 / min You also get FREE alert subscription worth Rs 30 / alert or 3 months on:    News Astrology Health Tips The SMS charges as applicable is per 160 Characters.

Bharti Mobile Limited. followed by "The Good Life".PROMOTIONAL STRATEGY Airtel to “Touch Tomorrow” with a new brand vision The Bharti Mobile promoted AirTel cellular service will go in for repositioning of its brand image.the tag line "Touch Tomorrow". etc but which engulfs the whole gamut of wireless digital broadband services that will constitute tomorrows cellular services. Aimed at reengineering its image as just simply a cellular service provider to an all out information communications services provider. IVRS. According to Mr. which underscores a more caring.the first of which will communicate overall brand philosophy and the second products and services. Karnataka "We are adopting a new brand- 48 . The new campaign is in two phases . Chief Operating Officer. roaming. Touch Tomorrow is meant to embrace the new generation of mobile communication services and the changing scope of customer needs and aspirations that come along with it The new communication is about a new dimension in the cellular category that goes beyond the Internet. The new brand ethos is portrayed in two distinct fashions . which underscores the leading theme for the new brand vision. Jagdish Kini. SMS. more customer centric organization.

49 . 1. Black and White colours along with lower case typography to convey warmth. Once a subscriber takes this plan. 999.platform .not only to reflect our corporate ethos but also business strategy". Company has launched a plan that allows users to take a pre-paid connection with lifetime validity for a one time payment of Rs. Subscribers availing themselves of this scheme will also get full talk time for the recharge coupon they purchase and also have the option to buy Taiwanese manufactured Bird mobile handsets for as low as Rs.Touch Tomorrow . LIFE TIME PLAN PRE-PAID card users need not worry anymore about recharging their coupons every month. AirTel will incorporate the latest branding in all of its communication and will soon be going in for an enhanced promotional drive to establish the brand's presence. The move is aimed at stopping the churn in the pre-paid subscriber base. The new identity will have the logo in Red.399. he will always be an Airtel subscriber whether the mobile is being used or not.

At this point of time. this led to a number of schemes being offered and prices crashing.5 lakh subscribers. This coupled with the steep license fee paid to DOT put pressure on the operators to break-even by rapidly expanding their markets. 50 . The average capacity installed was for 1.MARKET SITUATION At the time of launch The first mover in the market was Airtel which launched its services in Delhi in Aug 1995 (Informal launch). the market was at a nascent stage. awareness level was low and both operators independently tried to spread awareness and educate the people Once the networks were commercially launched. it became a number game with a multitude of schemes being offered to woo customers Initially the cellphone was perceived as a status symbol and utility took a back seat The target segment in Delhi were corporate and the high income group. In the first two years. Essar Cellphone followed by launching its services informally in Oct 95.

However. they have restrained from using comparative advertising Hoardings have been a very popular medium for carrying the advertisements Airtel has also been advertising on television using the Bharti Telecom name. Essar is trying to counter this by emphasising on the reach of its network and the quality of its service. on the other hand. both the players have been dependent on tactical advertising However. • • • • Major Accounts (Direct Channel) Handles corporate (named and famed) accounts Forecasting of sales Mapping the accounts Providing after sales support to the subscribers. 51 . Airtel is perceived as the high quality provider and has a premium image. Essar is somewhat not been very successful largely due to the inconsistency in advertising To promote themselves. SALES DEPARTMENT AND STRATEGY A.COMPETITIVE SITUATION Airtel launched its services before Essar and skimmed the market picking up the bulk of the high usage premium clients. is perceived as the lower end service provider. Airtel positions itself as the market leader on the basis of the number of subscribers. This is a very competitive industry with the two companies differentiating either on value-added services or price. Essar.

Provide cellular phones on rent Useful for people visiting Delhi for a short interval. B. Handling distribution Maintaining records and level check of the channel partner Liaisoning between the channel partner and the company. Follow up with the customers. • • • 3 • • Rental Provide cellular services (SIM cards) on rent. Logistics • Monitor handset and SIM card requirements of channel partners and co-ordinate with stores • Settle areas of concerns such as incentive claims of channel partners 2. IDC (indirect Channel) • • • • • C.• • Maintaining call reports for records. Telesales Call customers and generate sales lead. Providing Feedback to the marketing department regarding the requirement of the market. if they need any assistance 52 . Target achievement Training the executives of the channel Distribution Support 1.

Monitor the retail counters. • • Retail Locate shops to open retail counters. minimization of risk exposure. better ability to fine-tune a product / service to the requirement of target buyer and the resultant ease in designing a proper designing marketing mix strategy In this case segmentation is on the bade of income. MARKET SEGMENTATION Segmentation is beneficial because of better predictability of the target consumer group.• 4 • • Pass on the sales lead to the channel department. pagers and conventional phones is as follows Cellular Phones Pager Conventional Phones Premium Upper Lower X X X X X X Middle Upper X X X Lower X X Economy Upper Lower X - 53 . Monitor the operations at the AirTel distribution outlets Organize training. 5. Audit Consultant to the AirTel showrooms. In evaluating different market segments the company looks at two factors The overall attractiveness of the segments and the company's objectives & resources The present market for Cellular phones.

a lifestyle revolution and a status symbol The emphasis is to remove misconception that the cellphone is an expensive means 54 . POSITIONING The product is sought to be positioned as a business efficiency tool. It Is also planning to target the business tourists during their stay in the capital About 60% of the clientele are top executives of corporate houses. About 15% are foreign organisations and the rest are professionals and small businessmen.X Market Segment Targeted TARGET MARKET SEGMENT Airtel has targeted the premium and upper middle class. During the introduction stage there was intense pressure to get consumers across to hook up with their brand. The rationale behind it is that only those segments should be targeted who value time and have the paying capacity. because getting them to switch brand loyalty later would be hard So far Airtel marketers have been concentrating totally on the business executive class but now that the basic viable volumes has beer) built up and prices have declined to a certain extent they are planning to venture further a field.

Since. At present the cellular phone market has reached the maturity stage.of communication and drive home the point that the cellphone is actually a day-to-day utility PRODUCT POLICY AND PLANNING The product or service is the heart of the marketing mix. The product policy and planning depends on the stage of the product life cycle. 55 . Airtel's main It has marketing strategy is to be a first mover all the time.because in the field of Communication & Information Technology changes occur at a tremendous pace. the premium segment is nearing saturation the company targeting the upper middle and middle-middle class. Without a product or a service customers' needs cannot be satisfied. Airtel seeks to carry out this segmentation through provision of new information services and making new facilities available. The basic product promise by Airtel is mobility. recognised the significance of making the first move-. Effective product segmentation has to be carried on continuously because basic services can be and will be copied and in time become expected component of the product. In order to do so Airtel is trying to optimise the price performance package by offering suitable "product bundling".

it offers free Airtime services and other concessions to make the prices and thus the product more attractive. Only price doesn't serve as an effective differentiator. value added services become the effective differentiator. It gives an option of sending and receiving text messages directly from one mobile phone to another without the intervention of an operator.) with reasonable price in order to deliver maximum price performance to its customers. In addition. iii) Mobile Fax 1 Data Service 56 .if the user is not able to answer a call for some reason the caller can leave messages in the voice mail box which can be later retrieved by the user It has ii) Short Message Service The short message service is like a two-way pager. The "Value Added Services" provided from Airtel are:1).This involves the selection of the suitable hardware (handset) and its software (its services. Voice Mail service This system is similar to the answering machine . also opened a 24 hours customer service.

download computer files from other systems and remotely log on to another computer and surf the Internet. or any geographical region. This is a useful service for people who travel to Delhi often and those who want to control the expenses on their calls. vi) Outgoing call restriction To prevent or limit outgoing calls.This service helps the subscriber to send and receive Faxes. in peak hours. All it requires is the payment of an initial amount. for example. access E-mail. or to limit the outgoing calls to a listed number. iv) Cash Card The cash card is a pre-paid and pre-activated card which allows the buyers to buy air time in advance.Call conferencing. v) Caller ID Displays calling person's number. Call Broadcast et cetera. Besides these some other services provided by Airtel are . to permit only local calls. 57 . Also possible to exclude one or several countries. viii) Call forward Incoming calls can be forwarded to another fixed or mobile phone.

* Manual Roaming means a separate SIM card is provided for each city ** Semi automatic roaming means one card has the facility for different cities. where a GSM network is available. the service provider has to fully take care of the customers. simply insert the SIM card of the local operator Into your handset and start talking. Since this is a high-involvement expensive product. The billing is done in the home network (Delhi). AIRTEL'S MARKETING ORIENTATION.It is in the operators -Interest that they not only get many subscribers but also get them to use the mobile facility frequently. a) They take personal responsibility to "get" the answer for any problem faced by the customer 58 . Roaming facility is available manually* as well as semi-automatically. In the early stages getting increases to subscribe may be easier than getting them to talk since they will find it costlier to use the mobile phone as compared to a conventional phone [if is believed that initially cellphones would be used buy] viii) Roaming Facility Roaming facility is available while the subscriber is travelling. Once a subscriber is In any other city or country.

b) They anticipate customers' problems and take pro-active steps to prevent them c) They give answers to the questions & requests. hence emphasis is on maintaining a 'Smiling and a Friendly Atmosphere' to please and retain the customer. the cellular services are more expensive than the land line based telephone services. PRICE AND PRICING POLICY AIRTEL has realised that the Indian market is price sensitive. Therefore it care of the has come up with various innovative tariff schemes to take needs of different category of customersGenerally. Airtel realises that attracting people 'Is easy but converting them into loyal customers is hard. quickly & efficiently. 59 . This is due to the reason that the operating companies are required to pay a fee to the government for using airtime. d) They have a positive tone & manner while interacting with customers. e) They end the interaction on a positive or a humorous notemaking the last 30 seconds count.

The image of the service provider counts a great deal. price doesn't qualify as an effective differentiator. This also serves as an effective differentiator Brand awareness is spread through the' campaigns and brand preference through brand stature. Besides print advertising. In the next phase the campaign associated Airtel with Cellular only thereafter was the Bharti Cellular connection 60 . also the fact that a Cellular phone is a high involvement product. The objective behind designing a promotion campaign for the ‘Airtel’ services is to promote the brand awareness and to build brand preferences.MARKETING STRATEGY ADOPTED BY BHARTI Bharti has spent a considerable amount on advertising its mobile phone service. Since the cellular phone category itself is too restricted.' bearing just the company's name and without explaining what Airtel was. Given the Cell phone category. it is the network efficiency and the quality of service that becomes important. Airtel. the company had put up large no of hoardings and kiosks in and around Delhi. Airtel's campaign in the capital began with a series of 'teaser' hoardings across the city. What now the buyer is looking at is to get the optimum price-performance package. It is trying to set up a thematic campaign to build a stronger brand equity for Airtel.

This implies that if potential or knowledgeable consumers are asked to name a Cellular phone service provider that is on the top of his/her mind 60% of them would name Airtel. It tries to portray the image of being a "first mover every time" and that of a "market leader". Brand strength of a product or the health of a brand is measured by the percentage score of the brand on the above aided and the unaided tests. When the name was well entrenched in the Delhiites’s mind. As for aided it -is 100% (by giving clues and hints etc. The figures show that Airtel is a healthy and a thriving brand. handing out brochures about the company and its services to all consumers. 61 . Vans with Airtel logos roamed the city. The tone. As of today the awareness level Is 60% unaided. In the first four months alone Airtei's advertisement spend exceeded Rs.). 4 crores. the Airtel campaign began to focus on the utility of Cellphone. About 50. Every company has a goal. Airtel 's campaign strategy is designed keeping in mind its marketing strategy. tenor and the stance of the visual ads are designed to convey the image of a market leader in terms of its market share.brought up.000 direct callers were sent out. which might comprise a sales target and a game plan with due regard to Its competitor.

The status of the product in terms of its life cycle has just reached the maturity stage in India. there is an attempt to focus on those who can afford. since heavy users comprise only 15 - 20% of the population the other segment cannot be neglected. It is still on the rising part of the product life cycle curve in the maturity stage. The target segment is not very concrete but. Airtel. medium and low categories. But. 62 . The product promise (which might cost different 1 higher) is an important variable in determining the target audience. keeping in mind the importance of the customer retention. Concerts like the "Freedom concert" are being organised by Airtel in order to promote sales. The diagram on the left hand side shows the percentage of the users classified into heavy. It is for this reason that the service provider offers a plethora of incentives and discounts. values its heavy users the most and constantly indulges in service innovation. The print advertisements and hoarding are placed in those strategic areas which most likely to catch the attention of those who need a cellular phone. The right hand side shows the revenue share earned from the three types of users. The population which has just realised the importance of cellular phones has to be roped in. The media channel is chosen with economy in mind.

promotional advertise-ments. advertisements.Besides this. (ii) There have been pre educational launch campaigns. image launch campaigns. advertisements. Airtel has tied up with Lufthansa to offer customer bonus miles on the German airlines frequent flier's programs. congratulatory advertisements. (i) People who have booked Airtel services have been treated to exclusive premiers of blockbuster movies. 63 . other promotional strategies that Airtel has adopted are . attacking advertisements and tactical advertisements.

company whose operations are concentrated in and around Delhi. to obtain a franchise and should employ an officer recruited by Airtel. company contributes 64 . Each franchises has to invest Rupees Ten Lakhs. This person acts as an liaison between the company and the franchises.DISTRIBUTION Company Franchisee Distributor Dealer Dealers Customer Customer The. It 27 Franchisees and 15 Distributors. But unfortunately Airtel has not been very successful in controlling territorial overlaps of dealers. The franchises can carry out his 1 her own promotional strategy.Each franchises or distributor can have any number of dealers under him as long as the person is approved by the Airtel authority.They also have 8 'instant access cash card counters. The franchises can it any number of dealers as long as their territories do not overlap. For this the.

The franchises and the dealer obtain the feedback from the customers and they are sent through the liaison officer on a day-to-day basis to Airtel.75% of the money and the franchises contributes 25% of the money. The consumer on providing the bill of purchase for the handset and proof of residence has only to wait an hour before getting connected. Hence the dealers can also go for their own The promotions like banners and discounts on festivals etc. The complaints encountered by the franchisees and dealers are either handset being non-functional or the SIM Card not getting activated. dealer provides service promptly. The dealer of Airtel are not allowed to provide any other operators' service. Anything more complicated is referred to the main Airtel office in Delhi. Target set for distributors and the dealers is 100 -150 activations per month. The dealer has to invest Rupees. One Lakh as an initial investment. The dealers under the franchisee receive the same commission. The staff of the dealers and the franchisees are provided training by the Airtel personnel. 65 .

An Airtel subscriber is provided with a Subscriber Identity Module Card (SIM card) . enter the PIN code and it becomes 'your' personal phone'. always. the subscriber wouldn't just get a personal phone that lets him/her be in touch.that is the key to operating his/her cellular phone. Each SIM card contains a PIN code (Personal Identity Number) which may be entered by one. PRODUCT LIFE CYCLE The pattern of cellphone subscriber growth observed elsewhere in the world reveals that the growth in the market is Initially slow followed by a sharp acceleration. but also gets a host of benefits that let him/her manage his/her time like never before. As far as the Product Life Cycle is concerned. Just plug your SIM card into your cellular phone.WHAT DOES AIRTEL OFFER? With Airtel. but so far that has not happened in India. Indians are at the beginning of the maturity stage. His card activates Airtel cellular services and contains a complete micro-computer chip with memory to enable one to enjoy one's cellular phone thoroughly. 66 .

67 . Price to match or best competitors Build more intensive distribution. Advertising Build product awareness among early adopters and dealers. Sales Use heavy sales Increase to Increase to Build awareness and interest in the mass market Stress brand differences and benefits. Price Charge costplus Price to penetrate market Distribution Build selective distribution Build Intensive distribution. Offer value added services Increase in number of value added services.Introduction Growth Maturity MARKETING OBJECTIVES Create product awareness and trial Maximise market share Maximise profits whole defending market share Strategies Product Offer a basic product/ service.

build and maintain relationships with customers. encourage brandswitching.Promotion promotion to entice people to subscribe. 68 .

To make a comparative study of the major players in Indian Service Provider.OBJECTIVES OF THE STUDY Objectives: To study the importance and development of tele – communication industry in today’s scenario. To understand the various Marketing Strategies which Airtel has adopted to survive in highly competitive cell phone industry. 69 .

There have been two sources of information collected: a) Primary Sources I have met retailers of the Airtel of the company and have been able to get first hand information regarding the product. b) Secondary Sources Secondary source has played a vital role to play in this report. Another vital source has been the Internet and particularly the companies own website. A good amount of data has been collected from various published articles and reports found in magazines and journals. its features and the buying patterns of the product. Their input has been valuable. 70 . The conclusions have been drawn by exploratory research work.RESEARCH METHODOLOGY The methodology adopted for this project is exploratory in nature since there is no hypothesis that has to be tested.

(3) Courtesy bias.LIMITATIONS Every attempt will be taken to obtain the error free and meaningful result but as nothing in this world is 100% perfect I believe that there will still the chance for error on account of following limitations(1) (2) Respondent’s unavailability. 71 . Time pressure and fatigue on the part of respondents and interviewer.

No 1 0 1 1 1 Yes 4 2 4 4 6 AirTel 8 Vodafone 4 10 Idea 12 MTNL 4 14 16 18 72 .FINDINGS 1. Do you believe that India is potentially one of the most exciting mobile service providers in the world? Company Airtel Vodafone Idea MTNL Yes 4 4 4 4 No 1 1 1 1 As according to the above table 16 (80%) out of the total 20 interviewed people in all the above four specified Indian mobile service providers are of belief that India is potentially one of the most exciting mobile service providers in the world. whereas some 4 (20%) of them do not agree to this view.

2.5 0 Yes No AirTel Vodafone Idea MTNL 73 .5 4 3.5 1 0. whereas some 5 (25%) of them deny this. 5 4.5 2 1.5 3 2. Do you find that the government’s telecom policy has had the most radical impact on the development of mobile service providers? Company Airtel Vodafone Idea MTNL Yes 4 3 3 5 No 1 2 2 -- As according to the above table 15 (75%) out of the total 20 interviewed people in all the above four specified Indian mobile service providers find that the government’s telecom policy has had the most radical impact on the development of mobile service providers.

5 2 1.5 0 Yes No AirTel Vodafone Idea MTNL 74 . whereas interestingly another 10 (50%) of them deny this.5 1 0. Do you believe that one of the challenges facing mobile operators in India is the diversity of the coverage regions? Company Airtel Vodafone Idea MTNL Yes 2 3 3 2 No 3 2 2 3 As according to the above table 10 (50%) out of the total 20 interviewed people in the mobile service providers are of belief that one of the challenges facing mobile operations in India is the diversify of the coverage regions. 3 2.3.

5 2 1. does you find that mobile service providers is a very complex standard? Company Airtel Vodafone Idea MTNL To some extent (1-5) 3 2 2 3 To great extent (6-10) 2 3 3 2 As according to the above table 10 (50%) out of the total 20 interviewed people in all the above four major the mobile service providers in Indian Cellular industry find only to some extent that GSM is a very complex standard.4. To what extent.5 0 To some extent To great extent AirTel Vodafone Idea MTNL 75 . 3 2.5 1 0. whereas the another 10 (50%) respondents find to great extent that mobile service providers is a very complex standard.

3 2 No 2 2 MTNL Idea Vodafone 2 AirTel 3 3 3 Yes 76 . whereas 10 (25%) of them are in no way to this belief. Do you believe that mobile service providers comes close to fulfilling the requirements for a personal communication system? Company Airtel Vodafone Idea MTNL Yes 9 8 8 5 No 1 2 2 5 As the above shows 30 (75%) out of total 40 respondents are of the belief that mobile service providers comes close to fulfilling the requirements for a personal communication system.CONSUMER LEVEL 1.

2. whereas the remaining 8 (10%) respondents deny this. No 1 0 3 2 2 Yes 9 5 10 AirTel 7 15 Vodafone Idea 8 20 MTNL 25 8 30 35 77 . Do you find that mobile service providers as the most exciting and satisfying mobile standard? Company Airtel Vodafone Idea MTNL Yes 9 7 8 8 No 1 3 2 2 As the above shows 32 (80%) out of total 40 respondents find that mobile service providers as the most exciting and satisfying mobile standard.

3. 2 0 No 2 0 MTNL Idea Vodafone 8 10 AirTel Yes 8 10 SWOT ANALYSIS 78 . Do you believe that your service provider has a genuine commitment to creating a modern and efficient communications? Company Airtel Vodafone Idea MTNL Yes 10 8 10 8 No -2 -2 As the above shows 36 (90%) out of total 40 respondents are of the belief that their service providers have a genuine commitment to creating a modern and efficient communications whereas the remaining 4 (10%) respondents deny this.

STRENGTHS • • • • • • • Cost advantage Current leaders in quality service Largest distribution network Ability to constantly innovate Highly skilled workforce Entrepreneurial zeal Airtel’s increased equity and market cap. WEAKNESSES • • • • • To prove credibility Price pressures Need for Government support Awareness Sales and Marketing 79 .

OPPORTUNITIES • • To sustain passion and commitment Airtel’s market share increasing at other service provider expense. THREATS • Foreign investment • • Global trends moving from GPS to WLL. Thus opportunity to wipe it out. Low penetration level in rural markets. • • • • Attain higher value services Collaborative business needs to be explored Vertical repeatable solutions. Lack of global parity in telecom tariff • Other competition 80 .

Call conferencing is also another feature Airtel provides. of users who were willing to switch from their respective subscribers showed interest in Airtel.CONCLUSION From above the details I conclude that 70% Airtel users preferred to remain with Airtel. Also the company is now providing more services like the door to door services which is you dial the Airtel customer care and would like to send someone flowers the Airtel company delivers those flowers to the person concerned. Also Airtel is providing free text messaging service and free voice mail service. 81 . Hence. these statistics imply a bright future for the company. Also good no.

• Moe Rahnema. Specification Methodology Applied to the GSM System. • • • • Vodafone Airtel Idea MTNL 82 . Artech House.C. In EUROCON 88. Winch. T. Two User Location Strategies for Personal Communication Services. • Robert G. • C. 1994. Radio Equipment for GSM. IEEE Communications Magazine. editors. 1(1). 1993. 1993. April 1993. Boston. Telecommunication Transmission Systems. • Seshadri Mohan and Ravi Jain. Overview of the GSM System and Protocol Architecture. June 2005.V Macario.M. Cellular Radio Systems.BIBLIOGRAPHY • Bernard J. In D. Mallinder. IEEE Personal Communications. Watson. McGrawHill New York. Balston and R.

QUESTIONNAIRE NAME: ____________________________________ ADDRESS: ____________________________________ OCCUPATION: ____________________________________ 1. Do you find that the government’s telecom policy has had the most radical impact on the development of mobile service providers? Company Airtel Vodafone Idea MTNL Yes No 3. Do you believe that one of the challenges facing mobile operators in India is the diversity of the coverage regions? Company Airtel Vodafone Yes No 83 . Do you believe that India is potentially one of the most exciting mobile service providers in the world? Company Airtel Vodafone Idea MTNL Yes No 2.

does you find that mobile service providers is a very complex standard? Company Airtel Vodafone Idea MTNL To some extent (1-5) To great extent (6-10) 84 . To what extent.Idea MTNL 4.

Do you find that mobile service providers as the most exciting and satisfying mobile standard? Company Airtel Vodafone Idea MTNL Yes No 3. Do you believe that mobile service providers comes close to fulfilling the requirements for a personal communication system? Company Airtel Vodafone Idea MTNL Yes No 2.CONSUMER LEVEL 1. Do you believe that your service provider has a genuine commitment to creating a modern and efficient communications? Company Airtel Vodafone Idea MTNL Yes No 85 .

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