You are on page 1of 67

A Project Report On Marketing & Sales in

YAMAHA at Mahesh Motors


A Summer Training Project Report Submitted In
Partial Fulfillment Of The Requirements For The Award
Of Degree Of

MASTER OF BUSINESS ADMINISTRATION


ACADEMIC SESSION (2013-2015)

Submitted By:Prateek Kapil

Guided By:Mrs.AnuradhaYesugade

BHARTI VIDYAPEETH DEEMED UNIVERSITY


INSTITUTE OF MANAGEMENT AND
ENTREPRENEURSHIP
DEVELOPMENT, ERANDWANE, PUNE-411038

COMPANY CERIFICATE
This is to certify that the project report entitled Marketing &
Sales in YAMAHA at Mahesh Motors Submitted to the Bharati
Vidyapeeth Deemed University, Pune in partial fulfillment of the
requirement for the award of degree of MBA is an original work
carried out by Mr Prateek Kapil under the guidance of Mr ARUN
KUMAR. The matter embodied in this project is a genuine work
done by Prateek Kapil to the best of my knowledge and belief and
has not been submitted before, neither to this university nor to any
other university for the fulfillment of the requirement of any course
of study.

Signature of the Student


Signature of the Guide

CERTIFICATE
This is to certify that the project titled Marketing & Sales in
YAMAHA at Mahesh Motors is an academic work done by
Prateek Kapil submitted in partial fulfillment of the
requirement for the award of degree of MBA Bharti Vidyapeeth
Deemed University ,Pune .it has been completed under the
guidance of Mrs. ANURADHA YESUGADE. WE are thankful to
Mahesh Motors for having allowed our student to undergo
project work training .The authencity of the project work will be
examined by the viva examiner which includes data
verification, checking duplicity of information etc. and it may be
rejected due to non fulfillment of quality standards set by the
Institute.

DR SACHIN S. VERNEKAR
(DIRECTOR IMED)

DECLARATION

I hereby declare that all the information that has been


collected, analyzed and documented for the project is authentic
possession of mine.

I would like to categorically mention that the work here has


neither been purchased nor acquired by any other unfair
means. However, for the purpose of the project, information
already compiled in many sources has been utilized.

PRATEEK KAPIL

ACKNOWLEDGEMENT

No small task however can be completed without proper


guidance and encouragement. It gives me great pleasure to
excess my deep sense of gratitude and reverence to every
person who directly or indirectly has helped to create a
congenial atmosphere for successfully completion of this
project report.

I would like to extend my sincere thanks to Mr Arun Kumar


my project guide for his guidance and support through my
training at Mahesh Motors. His calm demeanour and willingness
to teach has been a great help in successful completion of my
project. My learning has been immeasurable and working under
them was a great experience .My sincere thanks also extend to
all the staffs of Mahesh Motors. For providing a hospitable and
helpful work environment and making my summer training an
exciting and memorable event.
My heartful thanks are also towards the guide of my institute.
Mrs. Anuradha Yesugade without her continues help and
enthusiasm the project would not have been materialized in the
present form

Finally I also wish to thank the DR Sachin Venekar, Director


IMED Pune for making this experience of summer training in an
esteemed organization Mahesh Motors. The learning from this
experience has been immense and would be cherished
throughout life.

Mr. Prateek Kapil

TABLE OF CONTENTS

DECLARATION.......................................................................................................................i
APPROVAL............................................................................................................................ iii
DEDICATION.........................................................................................................................iv
ACKNOWLEDGEMENT.......................................................................................................v
TABLE OF CONTENTS........................................................................................................vi
LIST OF TABLES...................................................................................................................ix
LIST OF FIGURES.................................................................................................................x
LIST OF ACRONYMS...........................................................................................................xi
ABSTRACT...........................................................................................................................xii
CHAPTER 1.............................................................................................................................1
1.0 Introduction........................................................................................................................1
1.1 Background of the study......................................................................................................1
1.2 Statement of the problem.....................................................................................................3
1.3 Purpose of the Study............................................................................................................4
1.4 Objectives of the study.........................................................................................................4
1.5 Research questions...............................................................................................................4
1.6 Scope of the study................................................................................................................5
1.6.1 Geographical scope...........................................................................................................5
1.6.2 Time scope........................................................................................................................5
1.7 Significance of the study......................................................................................................5
CHAPTER 2.............................................................................................................................6
LITERATURE REVIEW........................................................................................................6
2.1 E marketing........................................................................................................................6
2.2 components of e marketing..................................................................................................7
2.2.5 Mobile phone marketing.................................................................................................10
2.3 sales volume.......................................................................................................................11
2.4 Relationship between tele-marketing and sales volume....................................................14
2.5 conclusions.........................................................................................................................14

vi

CHAPTER 3...........................................................................................................................16
METHODOLOGY................................................................................................................16
Introduction............................................................................................................................16
3.1 Research design.................................................................................................................16
3.2 Study population................................................................................................................16
3.3 SAMPLING DESIGN.......................................................................................................16
3.3.1 Sampling techniques.......................................................................................................16
3.3.2 Sample size.....................................................................................................................17
3.3.3 Sampling procedure........................................................................................................17
3.4 Data sources.......................................................................................................................17
3.4.1 Primary sources...............................................................................................................18
3.4.2 Secondary sources...........................................................................................................18
3.5 Data collection tools..........................................................................................................18
3.5.1 Questionnaires.................................................................................................................18
3.5.2 Interview guide...............................................................................................................18
3.6 Data collection methods.....................................................................................................18
3.6.1 Survey.............................................................................................................................19
3.6.2 Observation.....................................................................................................................19
3.7 Data processing, analysis and presentation........................................................................19
3.7.1 Data processing...............................................................................................................19
3.7.2 Data analysis...................................................................................................................19
3.7.3 Data presentation............................................................................................................20
3.8 Limitations of the study.....................................................................................................20
CHAPTER 4...........................................................................................................................21
PRESENTATION, INTERPRETATION AND DISCUSSION OF FINDINGS...............21
Introduction............................................................................................................................21
4.1 Findings on the background information...........................................................................21
4.2 Findings on the services offered through e marketing.......................................................24
4.3 Customer adaptation to e marketing..................................................................................28
4.4 Challenges associated with e marketing............................................................................31
4.5 Interview guide..................................................................................................................32
4.5.1 Tele-marketing services that IDEA is offering................................................................32
4.5.2 When IDEA introduced tele-marketing services ...........................................................33
4.5.3 How IDEA has been using tele-marketing in its operations...........................................33
4.5.4 How customer adaptation/response rate to tele-marketing services has been................34
4.5.5 Whether tele-marketing communications have proven to be beneficial to IDEA..........34

4.5.6 Whether introduction of tele-marketing services has led to an increase in sales volume .. 34

4.5.7 Challenges experienced in offering tele-marketing services to consumers....................35


4.5.8 How tele-marketing works with forms of marketing and communication that IDEA
uses
4.6 Whether there is a relationship between tele-marketing and sales volume.......................35

CHAPTER 5...........................................................................................................................38
SUMMARY, CONCLUSION AND RECOMMENDATIONS...........................................38
INTRODUCTION..................................................................................................................38
5.1 Summary of major findings...............................................................................................38
5.1.1 Tele-marketing services..................................................................................................38
5.1.2 Sales volume...................................................................................................................39
5.1.3 Relationship between tele-marketing and sales volume.................................................39
5.2 Conclusion.........................................................................................................................39
5.3 Recommendations..............................................................................................................39

REFERENCES.......................................................................................................................41

APPENDICES44
APPENDIX I: QUESTIONNARE FOR IDEA CUSTOMERS.........................................43

LIST OF TABLES
Table 1 Showing gender of respondents..................................................................................22
Table 2 Showing education level of respondents.....................................................................22
Table 3 Showing age of the respondents..................................................................................23
Table 4 Showing marital status of the respondents..................................................................23
Table 5 Showing whether respondents encounter tele-marketing services in their day to day
interactions with IDEA............................................................................................................25
Table 6 Showing how often respondents encounter/use tele-marketing service.....................26
Table 7 Showing whether tele-marketing services offered by IDEA influence the number of
times respondents use IDEA services......................................................................................28

Table 8 showing media respondents use to access tele-marketing services............................28


Table 9 Showing whether respondents would like to access tele-marketing services from
other
companies................................................................................................................................30
Table 10 Showing whether tele-marketing services offered by IDEA has made it easier to
give
feedback to IDEA in regard to complaints or expression of satisfaction.................................30
Table 11 Showing whether it is costly to encounter/access tele-marketing services...............31
Table 12 Showing whether respondents experience any difficulties in accessing e marketing
services.....................................................................................................................................31
Table 13 Showing whether some tele-marketing communications from IDEA have been a
nuisance/bothersome................................................................................................................32

ix

LIST OF FIGURES
Figure 1: Showing the duration respondents have been IDEA customers...............................24
Figure 2: Showing tele-marketing services respondents are familiar with..............................24
Figure3: Showing tele-marketing services respondents encounter in their day to day
interactions
with IDEA................................................................................................................................26
Figure4: Showing whether the current tele-marketing services offered by IDEA make it
competitive...............................................................................................................................27
Figure 5 Showing how respondents use tele-marketing services offered................................29

LIST OF ACRONYMS
SMS - short message service
E marketing- Electronic marketing

Email- electronic mail


ECRM- electronic customer relationship management
E business- electronic business
RSS- really simple syndication
PDA- personal digital assistant
Pc- personal computer
TV- television
3G- third generation

Over view of the telecom industry


The telecom industry has been divided into two major segments, that is, fixed and wireless
cellular services for this report. Besides, internet services, VAS, PMRTS and VSAT also have
been discussed in brief in the report.
In todays information age, the telecommunication industry has a vital role to play.
Considered as the backbone of industrial and economic development, the industry has been
aiding delivery of voice and data services at rapidly increasing speeds, and thus, has been
revolutionising human communication.
Although the Indian telecom industry is one of the fastest-growing industries in the world, the
current tele density or telecom penetration is extremely low when compared with global
standards. Indias tele density of 36.98% in FY09 is amongst the lowest in the world. Further,
the urban tele density is over 80%, while rural tele density is less than 20%, and this gap is
increasing. As majority of the population resides in rural areas, it is important that the
government takes steps to improve rural tele density. No doubt the government has taken
certain policy initiatives, which include the creation of the Universal Service Obligation
Fund, for improving rural telephony. These measures are expected to improve the rural teledensity and bridge the rural-urban gap in tele-density.

Current Status

Globalisation has made telecommunication an integral part of the infrastructure of the Indian
economy. The telecom sector in India has developed as a result of progressive regulatory
regime.
According to the TRAI, the total gross revenue of the Indian telecom services industry was
Rs 1,524 bn in FY10 up from Rs 1,291 bn in FY11 registering a growth of 18.03% over
FY12 and its subscriber base grew by 43% over FY08 to touch 429.70 mn subscribers in
FY14.

The telecom sector in India experienced a rapid growth over the past decade on account of
regulatory liberalisation, structural reforms and competition, making telecom one of the
major catalysts in Indias growth story. However, much of this growth can be attributed to the
unprecedented growth in mobile telephony as the number of mobile subscribers grew at an
astounding rate from 10 million in 2002 to 662 million in 2014. Besides, the growth in the
service and IT and ITeS sector also increased the prominence of the telecom industry in India.
Telecom has emerged as a key infrastructure for economic and consumer growth because of
its multiplier effect and the fact that it is beneficial to trade in other industries. The
contribution of the sector to GDP has been increasing gradually (its contribution in GDP has
more than doubled to 2.83% in FY07 from 1.0% in FY92).
Telecom is one of the fastest-growing industries in India; on an average the industry added 8
million wireless subscribers every month in FY08. The government had set a target of 1000
million telecom connections by 2020. However, according to the TRAI, the total subscriber
base (wireless and wire line) in the industry crossed the 500-mn-mark and reached 509.03 mn
by the end of September 2012, which took India to the second position in terms of wireless
network in the world next only to China. Prior to liberalisation, the telecom sector was
monopolised by the public sector and recorded marginal growth; in fact, during 1948-1998,
the incremental tele density in the country was just 1.92%. However, the introduction of
NTP99 accelerated the growth of the sector and the tele density increased from 2.33 in 1999

to 36.98 in 2009; however, much of this growth was brought about by the NTP-99 policy
changes such as migration from fixed license fee to revenue sharing regime and cost-oriented
telecom tariffs. From 2003 onwards the government has taken certain initiatives such as
unified access licensing regime, reduced access deficit, introduction of calling party pays
(CPP) and revenue sharing regime in ADC that has provided further impetus to the sector.
The Indian telecom industry is characterised with intense competition, and continuous price
wars. Currently, there are around a dozen telecom service providers who operate in the wired
and wireless segment. The government has been periodically implementing suitable fiscal
and promotional policies to boost domestic demand and to create volumes for the industry.
The Indian telecom industry has immense growth potential as the tele density in the country
is just 36 as compared with 60 in the US, 102 in the UK and 58 in Canada. The wireless
segment growth has played a dominant role in taking the tele density to the current levels. In
the next few years, the industry is poised to grow further; in fact, it has already entered a
consolidation phase as foreign players are struggling to acquire a pie in this dynamic industry.
Role in Indias Development
Contribution to GDP
According to the UNCTAD, there is a direct correlation between the growth in mobile tele
density and the growth in GDP per capita in developing countries, which tend to have a high
percentage of rural population. The share of the telecom services industry in the total GDP
has been rising over the past few years (the telecom sector contribution in GDP went up from
2.52% in FY05 to 2.83% in FY07).

Employment

The Indian telecommunication industry employs over 400,000 direct employees and about
85% of these employees are from government-owned companies. The ratio of number of
subscribers to employees, an indication of efficiency and profitability, is much higher for
private companies than for government companies.

Foreign Direct Investment (FDI)


Foreign direct investment has been one of the major contributors in the growth of the Indian
economy, and therefore, the need for higher FDI is felt across sectors in the Indian economy.
The telecom sector has played a crucial role in attracting FDI in India. The share of telecom
sector in the total FDI inflows in India has gone up to 10% in FY09 as compared with just
3% in FY05.
The telecom sector requires huge investments for its expansion as it is capital-intensive and
FDI plays a vital role in meeting the fund requirements for expansion of the telecom sector.
Telecom accounts for almost 10% of the total FDI inflows in the country and has been the
third-largest sector to attract FDI in India in the post-liberalisation era

The Indian telecom industry has been an attractive avenue for foreign investors over the
years. As per DIPP figures, the cumulative FDI inflow during August 1991 to June 2009
period, in the telecommunication sector amounted to US$ 113 bn. FDI calculation takes into
account radio paging, cellular mobile and basic telephone services in the telecommunication
sector.
In the 2004-05 Budget, the government raised the FDI limit from 49% to 74% in the telecom
services segment subject to retention of local management control. According to the new
norms, 26% share out of the 74% should be held by an Indian company or an Indian citizen
with Indian management. Further, 100% FDI is permitted in telecom manufacturing, category
I infrastructure providers, ISPs without gateway, call centres and IT-enabled services. Further,
direct or indirect FDI up to 74% is permitted subject to licensing and security requirements
for ISPs with gateways, radio paging operators and category II infrastructure providers.
The relaxation in FDI norms has attracted many foreign telecom majors to the sector. The
presence of foreign players has not only encouraged faster infrastructure development and up
gradation but also has opened up the domestic industry to foreign competition. Since 2004,
there has been a large inflow of FDI in the sector. During 2004-05 and 2005-06, a period
during which the FDI norms were relaxed, the FDI inflow grew by an astounding 300% to
US$ 624 mn in 2005-06 from merely US$ 125 mn in 2004-05. The inflow of FDI has
provided tremendous impetus to the sector in the past few years and the attractiveness of the
sector has kept the FDI inflows growing steadily. During FY09 the FDI in the telecom sector
at US$ 2,558 mn was 103% higher than that seen in FY08 at US$ 1,261 mn. Further, the FDI
in the sector has already reached US$ 2010 mn for a six month period of FY10 (Apr-Sep 09)
and is expected to surpass the total FDI for FY09.
The governments liberalised FDI policies have resulted in several foreign companies
entering into the Indian markets. The influx of foreign players in the Indian telecom industry
has led to capacity creation, and better infrastructure, which in turn has bettered the network
quality. The rise in FDI has also enabled technology transfer, market access and has improved
organisational skills; going forward, FDI could be used for providing telecom services to
rural areas, where teledensity is still very low.
The change in FDI policy that has raised the FDI limit from 49% to 74% for the sector has
made it more attractive for foreign players. In the long run the growth prospects of telecom
players that have foreign partners will improve and other players will get new avenues to
raise capital.

Factors Facilitating Growth of the Sector


The phenomenal growth in the Indian telecom industry was brought about by the wireless
revolution that began in the nineties. Besides this, the following factors also aided the growth
of the industry.

Liberalisation
The relaxation of telecom regulations has played a major role in the development of the
Indian telecom industry. The liberalisation policies of 1991 and the consequent influx of
private players have led the industry on a high growth trajectory and have increased the level
of competition. Post-liberalisation, the telecom industry has received more investments and
has implemented higher technology.
Increasing Affordability of Handsets
The phenomenal growth in the Indian telecom industry was predominantly aided by the
meteoric rise in wireless subscribers, which encouraged mobile handset manufacturers to
enter the market and to cater to the growing demand. Further, the manufacturers introduced
lower-priced handsets with add-on facilities to cater to the increasing number of subscribers
from different strata of the society. Now even entry-level handsets come with features like
coloured display and FM radio. Thus, the falling handset prices and the add-on features have
triggered growth of the Indian telecom industry.
Prepaid Cards Bring in More Subscribers
In the late nineties, India was introduced to prepaid cards, which was yet another milestone
for the wireless sector. Prepaid cards lured more subscribers into the industry besides
lowering the credit risk of service providers due to its upfront payment concept. Prepaid cards
were quite a phenomenon among first-time users who wanted to control their bills and
students who had limited resources but greater need to be connected. Pre-paid cards greatly
helped the cellular market to grow rapidly and cater to the untapped market. Further, the
introduction of innovative schemes like recharge coupons of smaller denominations and life
time incoming free cards has led to an exponential growth in the subscriber base.
Introduction of Calling Party Pays (CPP)
The CPP regime was introduced in India in 2003 and under this regime, the calling party who
initiated the call was to bear the entire cost of the call. This regime came to be applicable for
mobile to mobile calls as well as fixed line to mobile calls. So far India had followed the
Receiving Party Pays (RPP) system where the subscriber used to pay for incoming calls from
both mobile as well as fixed line networks. Shifting to the CPP system has greatly fuelled the
subscriber growth in the sector.
Changing Demographic Profile
The changing demographic profile of India has also played an important role in subscriber
growth. The changed profile is characterised by a large young population, a burgeoning
middle class with growing disposable income, urbanisation, increasing literacy levels and
higher adaptability to technology. These new features have multiplied the need to be
connected always and to own a wireless phone and therefore, in present times mobiles are
perceived as a utility rather than a luxury.

Increased Competition & Declining Tariffs


Liberalisation of the telecom industry has fuelled intense competition, especially in the
cellular segment. The ever-increasing competition has led to high growth of subscribers and
has put pressure on tariffs, which have seen a sharp drop over the years. When the cellular
phones were introduced, call rates were at a peak of Rs 16 per minute and there were charges
for incoming calls too. Today, however, incoming calls are no longer charged and outgoing
calls are charged at less than a rupee per minute. Thus, the tariff war has come a long way
indeed. Increased competition and the subsequent tariff war has acted as a major catalyst for
attracting more subscribers. Apart from these major growth drivers, an improved network
coverage, entry of CDMA players, growth of value-added services (VAS), advancement in
technology, and growing data services have also driven the growth of the industry.

Outlook
The telecom industry in India has experienced exponential growth over the past few years
and has been an important contributor to economic growth; however, the cut-throat
competition and intense tariff wars have had a negative impact on the revenue of players.
Despite the challenges, the Indian telecom industry will thrive because of the immense
potential in terms of new users. India is one of the most-attractive telecom markets because it
is still one of the lowest penetrated markets. The government is keen on developing rural
telecom infrastructure and is also set to roll out next generation or 3G services in the country.
Operators are on an expansion mode and are investing heavily on telecom infrastructure.
Foreign telecom companies are acquiring considerable stakes in Indian companies.
Burgeoning middle class and increasing spending power, the governments thrust on
increasing rural telecom coverage, favourable investment climate and positive reforms will
ensure that Indias high potential is indeed realised.

Profile of Organization
Who we are

We at Sandesh Solutions have best in calls financial advisors who understand and help you to
save utilize and resolve your finances. With best in class technology and support team we
have are and in future have all ways and means to achieve our goals.
Commenced operations on 3rd December 2012 with all three locations. We started with a
small team and within months have proved to be one of proud partners with our client. We at
Sandesh are looking forward to expand our limits to new campaigns such as customer
service, Telemarketing, Backend support, Technical help desk, and so on

INFRASTRUCTURE world class standard technology

We have a best in class technical environment and highly experienced technical team who
prim objective is to make sure productivity and quality of the business is met on every
standard. We dont grade people on level of their qualification or background each individual
is being reward and is appreciated with a token of blessing and goodies to motivate him/her
and help him grow with the organization. We make sure a healthy and wealthy environment is
maintained at work and each individual enjoys what he does how he does and but of courses
Where he does...

About Us
The journey was started with the advent of inflation hitting the market. As we all know that
market has taken a dip for good. It was then our prime pillars have decided to upgrade the
stats and facts by using their utmost skills and experience. This gave birth to sandesh
solutions private limited. We started with a small setup and by the grace and support of the
team we are now at a substantial count and are spreading out karizma day by day moment by
moment.
Our Partner

We are proud partner with the renounced brand ruling in the market since ages IDEA
CELLULAR LIMITED, ICICI PRUDENTIAL LIFE INSURANCE COMPANY LIMITED,
TATA TELESERVICES LIMITED, HDFC LIFE LTD...

Company Details

Tata DOCOMO
Tata Teleservices Limited

Tata DOCOMO is Tata Teleservices Limited's telecom service on the GSM platformarising out of the Tata Group's strategic alliance with Japanese telecom major NTT
DOCOMO in November 2008. Tata Teleservices has received a license to operate
GSM telecom services in 19 of India's 22 telecom Circles-and has also been allotted
spectrum in 18 telecom circles. Of these, it has already rolled out services in all the 18
Circles that it received spectrum in from the Government of India-Tamil Nadu,
Kerala, Orissa, Karnataka, Andhra Pradesh, Maharashtra, Mumbai, Madhya PradeshChhattisgarh, Haryana-Punjab, Kolkata, Rest of West Bengal, Jharkhand, Bihar, UP
(East), UP (West), Gujarat, Himachal Pradesh and Rajasthan.
Tata DOCOMO has also become the first Indian private operator to launch 3G
services in India, with its recent launch in all the nine telecom Circles where it bagged
the 3G license. In association with its partner NTT DOCOMO, the Company finds
itself suitably positioned to leverage this first-mover advantage. With 3G, Tata

DOCOMO stands to redefine the very face of telecoms in India. Tokyo-based NTT
DOCOMO is one of the world's leading mobile operators-in Japan, the company is
the clear market leader, used by nearly 55 per cent of the country's mobile phone
users.

ICICI Prudential
Life Insurance Company Limited.

ICICI Prudential Life Insurance Company is a joint venture between ICICI Bank, a
premier financial powerhouse, and prudential plc. A leading international financial
services group headquartered in the United Kingdom.
ICICI Prudential was amongst the first private sector insurance companies to begin
operations in December 2000 after receiving approval from Insurance Regulatory
Development Authority (IRDA).

Swot Analysis of telecom Industry

Strengths:
The kind of subscriber base it has in the Indian market.
It has the 2nd highest market share in India .
It has a 2nd highest subscriber base in India 1st being airtel
Its strong advertising strategies and impact on people
Its Indias 3rd biggest mobile carrier
The brand name it has in the Indian market

Weaknesses:
Low RHD
Less man power
Rural India unable to relate to the brand
Poor network coverage in rural area.

Opportunities:
Emerging markets and expansion abroad
Innovation
Product and services expansion
Growing data business and 3G auctioning
Growing Enterprise solution market
Large capital can be raised by listing Vodafone on Indian Stock Exchange (IPO)
Tower sharing business with Indus Towers

Threats:
Highly competitive
Extremely high

CHAPTER 1

1.0 Introduction
This chapter presents the background of the study, statement of the problem, purpose of the
study, objectives of the study, research questions, scope of the study and the significance of
the study.

1.1 Background of the study


Tele-marketing is also known as internet marketing, digital marketing, online tele-marketing
or web marketing and it is the tele-marketing of products and services over the internet.
Internet marketing is considered to be broad in scope because it not only refers to marketing
on the internet, but also includes marketing done via e mail and wireless media. Digital
customer data and electronic customer relationship management (ECRM) systems are also
often grouped together under internet marketing.
Tele-marketing is a subset of e business that utilizes electronic medium to perform marketing
activities and achieve desired marketing objectives for an organization. Internet marketing,
interactive tele-marketing and mobile tele-marketing for example, are all forms of e
marketing.
To further explain e marketing, it is important to define and understand its components.
Internet marketing as described above is the tele-marketing of products and services over the
internet. On the other hand, interactive tele-marketing is the ability to address an individual
and the ability to gather and remember the response of that individual leading to the ability
to address the individual once more in a way that takes into account his or her unique
response
Deighton

1996. It is facilitated by information technology for example, Amazon.com.

Mobile phone tele-marketing refers to direct marketing to consumers via cell phones.

Technologies such as sms, mms, Bluetooth and infrared are used to distribute commercial
content to mobile phones. The pitch by Richard Mukoma, Daily Nation July 13 2010.
This commercial content includes advertising a new product, information about a sale,
information about products and services, sales promotion and other commercial activities. It
is also important to note that mobile phones can also access the internet making them very
versatile mediums
The tele-marketing platform gives companies an opportunity to reach a large number of
people, for example, in Eat Africa; there are 50 million mobile phone subscribers and at least
15 million web users. It was of crucial importance to investigate whether the platform could
be productive and whether it could yield desirable results, for instance, increased revenue
streams in a market like Pune.
Sales volume is defined as the quantity of total sales achieved in units or dollars. Sales
volume explains important product development concepts since it provides the stakeholders
with the figures on which analysis can be based to project further development. Therefore, the
study was investigating whether tele-marketing promotes the quantity of goods and services
sold by IDEA. For example, now that consumers can purchase airtime directly from their
mobile money accounts, has this led to an increase in the quantity of airtime purchased by the
consumers? Another important question that was considered is whether tele-marketing has led
to an increase in the customer base. Have the IDEA website and the IDEA facebook page led
to an increase in the number of customers who have decided to subscribe to IDEA or use
IDEA products?

The case study was IDEA which is a telecommunication company in India. It offers a wide
range of communication solutions like calling services, sms and internet services. It also
offers services like mobile banking and money transfer services through mobile money.
IDEA is one of the pioneers of tele-marketing in the country and it has managed to harness it

in different forms, for example,IDEA has a fully functional website. IDEA being a
telecommunications company has also harnessed e-marketing through the mobile phone
platform.IDEA uses sms and its customer service center to communicate directly with its
customers, for instance, IDEA regularly sends its customers, sms updates of its current
promotional activities. One of its current promotional activities is that consumers subscribed
to IDEA can access facebook on their mobile phones for free.
That being the case, the study was seeking to investigate whether the investment in emarketing is a worthwhile venture and what companies can achieve by investing in it. The
study also critically examined how receptive the Penne market is to such a platform.

1.2 Statement of the problem


E-marketing seems to be a platform were companies can access large numbers of users.Yet
most companies in INDIA do not see e-marketing as a viable option or a profitable venture to
pursue. Could it be that a lot of India companies are afraid to test the waters yet there is real
potential in e-marketing? E-marketing may also be considerably cheaper than other traditional
media especially when examining the ratio of cost to reach of the target audience. Hence this
study aimed at establishing the relationship between e-marketing and sales volume.

1.3 Purpose of the Study


The purpose of the study was to understand e-marketing and its impact on the sales volume.
E-marketing offers many platforms to companies that seek to reach or market themselves to
more customers. This study therefore aimed at unraveling these platforms and clarifies
whether they can be beneficial to local companies. This study will also investigate the
different services offered through e-marketing and how receptive customers are to the
platforms offered by e-marketing, that is, the internet, social sites and mobile phone
marketing.

1.4 Objectives of the study


1. To establish the relationship between e-marketing and sales volume in Sandesh Solutions,
Pune.
2. To establish the different services offered through e-marketing in Sandesh Solutions, Pune.
3. To assess how customers are adapting to e-marketing and the challenges associated with emarketing

1.6 Scope of the study


1.6.1 Subject scope
The study covered e-marketing as an independent variable and sales volume as a dependent
variable in the telecommunication industry using Sandesh Solutions, Pune as a case study.

1.6.2 Geographical scope


The study was conducted in kothrud Pune with reference to Sandesh Solutions, Pune located
in IDEA towers.

1.6.3 Time scope


The study was done in a period of 2 months between May and June 2014 and concentrated on
literature published between 1995-2013.

1.7 Significance of the study


This research is important to various stakeholders. Companies can benefit from this research
by understanding what e-marketing is and how it can have a positive impact on their brands
and their companies as a whole through increased revenue and publicity.
Other scholars can also benefit from the research as it can be used as a future reference point
seeing that this is now an area of great interest, it can also pave the way for scholars to
discuss and study this issue more.
The public can also benefit from this study as it adds to the body of existing knowledge and
the results from this study will reflect their needs. This study is also beneficial to me as a
student of marketing because it gives me experience with the corporate world and helps me to
understand the market.

CHAPTER 2

LITERATURE REVIEW

2.1 E marketing
It is also known as internet marketing, digital marketing, online tele-marketing or web
marketing and it is the tele-marketing of products and services over the internet. Internet
marketing is considered to be broad in scope because it not only refers to marketing on the
internet, but also includes marketing done via e mail and wireless media. Digital customer
data and electronic customer relationship management (ECRM) systems are also often
grouped together under internet marketing.
Lancaster and Withey 2006, the growth of electronic marketing such as the internet, email,
mobile phones and so on has allowed information to become more rapid and global. The
explosion in wireless technologies has led to a massive increase in mobile communication
and as a result the growth of mobile tele-marketing and advertising. The increased use of the
internet and particularly websites as a promotional tool for individuals and companies has
offered many marketers a further effective tool resulting in more control and evaluation of the
communications.
Hughes and Fill 2007, the pace of technological change is facilitating an increasing variety
of communication tools which can be used for marketing purposes. This includes so called
new media channels such as the internet, email and mobile phones and the changes in the
use of more traditional media forms. The benefits of the internet, extranet and intranet
applications need to be fully understood and their strategic role in the way in which
organizations can reduce costs, improve communication effectiveness and provide value
added services to consumers, employees and business partners is highly significant.
2.2 components of e marketing

2.2.5 Mobile phone marketing


The pitch, Richard Mukoma Daily Nation July 13

th

2010, mobile phone tele-marketing

refers to direct marketing to consumers via cell phones. Technologies such as sms, mms,
Bluetooth and infrared are used to distribute commercial content to mobile phones. Mukoma
suggested that with the growing popularity of mobile phones, mobile phone tele-marketing
has the potential to be the fastest growing and most targetable method of brand marketing.
Dushinski 2010, points out that mobile technology not only lets marketers reach customers
where they are, it allows them to engage mobile users by targeting their immediate and
specific needs. He also suggested that it is giving users what they want when they want it and
that is the unique value proposition of mobile phone tele-marketing and businesses, agents
and non profit organizations of all types can have successful campaigns without breaking the
bank.

Mobile marketer 2013, brands and marketers can use the mobile channel to increase their
brand affinity, recognition and customer loyalty. The attraction to mobile is the channels
ability to acquire new customers, increase customer loyalty and generate brand awareness
and affinity, the ability to monetize content and the fact that it lets marketers provide
convenience to consumers.
Fill 2007, mobile phones provide another logical platform for marketers to channel targeted
text (sms) messages to millions of users. Additionally, video technology is beginning to allow
TV programme transmission through mobile phones creating other advertisement
opportunities. For example, IDEA sends its users information about its current promotional
activities thus giving them up to date information that motivates consumers to purchase more
of the companys services like IDEA zone.
Greco 2007, there are unique set of limitations that mobile branding presents. Mobile users
are besieged by constant distractions, noisy environments and low bandwidth. This causes
them to move through the day in a state of discontinuous interaction. So although design is
king in the mobile branding world, it must be used efficiently and intelligently. Content has to
be brilliant, easy and fast. Yet from these substantial limitations, new creative opportunities
continue to emerge and forward thinking brands are beginning to reap the benefits. The
mobile phone laces marketers right inside persistent computing. They can catch people
everywhere on the internet, in train stations, on the phones. They can communicate with
consumers on every possible level.

2.3 sales volume


Sales volume is defined as the quantity of total sales achieved in units or dollars. Sales
volume explains important product development concepts since it provides the stakeholders
with the figures on which analysis can be based to project further development.

Or it refers to the quantity or number of goods sold or services rendered in the normal
operations of a firm in a specified rendered in the normal operations of a firm in a specified
period.
Jobber and Lancaster 2000, state that the selling process is complicated by the fact that
there are often many alternative ways in which each objective can be achieved, for example,
an increase in revenue of 10% can be achieved by increasing prices, increasing sales volume
at the company level (market share) or increasing industry sales. This shows how an increase
in sales volume at the end of the day is expected to increase the revenue flow into the
company.
Jobber 1997, sees sales volume as a type of sales quota and states its advantages as easy to
calculate and administer and simple to understand. The disadvantages are that emphasis is
only on sales volume but not on profits, it leads to imbalances in selling activity (for example,
stress volume sales at the expense of non selling activities).
Nobilis 2010, sales volume is the core interest of every organization that is based on sales and
profit. When the volume goes up, everything else is manageable (margin, profit, numerical
distribution) but when the volume goes down it is difficult to manage the business
parameters. Sales do not go up or down just like that, the company manages and directs its
sales volume through the portfolio and channels. There different ways that the company can
use to influence volume increase.
Hatton and Adroyd 1995, discuss the growth stage in the product lifecycle and how sales
volume increases at this stage. The conditions of market change such as high prices and
profits attract new firms and resources to the field. Supply and competition increase, making
demand more price elastic. A competitive feature of this stage is the emphasis on branding,
used to differentiate the products and resist the tendency towards greater price sensitivity.

This increased promotional activity in the industry also changes the conditions of demand
and so results in a general increase in generic product demand as new consumers increase
sales volume, costs may fall with economies of scale and prices do fall. The scholars also
discuss more effective ways of increasing sales volume. A marketer wishing to sell more of a
price inelastic product shouldnt reduce prices to increase sales. Although more will be
bought at lower prices, it will not be much more and total revenue will fall as sales increase.
For this category of product, the marketers would have to use the non price variables of the
tele-marketing mix and develop strategies to increase sales by means of promotions,
advertising or increased distribution.
Hill and O Sullivan 2004, providing a new product satisfies customer needs, it will be
fuelled by repeat purchases and word of mouth publicity and sales will start to climb rapidly
as a large number of new customers are attracted to the product for the first time. Profits start
to be made as sales revenue increase faster than costs. Confident that the product is likely to
be a success, competitors start to enter the market, copying much of the pioneers basic idea
but perhaps introducing new product features too. As the total size of the market is growing,
the new competitors can increase their sales volume by attracting new customers than
undercutting on price so they too are likely to be able to trade profitably. Only when the
marketer starts to move toward maturity and fewer new customers are buying the product for
the first time is price competition likely to increase, undermining levels of profitability.
Smith 1995, good sales forecasting provides targets and yardsticks for measurement. Sales
forecasts can be drawn up by sales representatives for each month and eventually put together
to form an overall sales representative forecast. Sales volume as a percentage of sales
potential is a more sophisticated forecasting model which takes into account a host of factors
including prices, competitors and the state of the economy.

2.4 Relationship between tele-marketing and sales volume


Marketing and sales differ greatly, but have the same goal. Marketing improves the selling
environment and plays a very important role in sales. If the tele-marketing department
generates a list of potential customers, that can benefit sales. A marketing department in an
organization has the goal of increasing the number of interactions between potential
customers and the organization. Achieving this goal may involve the sales team using
promotional techniques such as advertising, sales promotion, publicity and public relations,
creating new sales channels or creating new products (new product development), among
other things. It can also include bringing the potential customer to visit the organizations
website (s) for more information or to contact the organization for more information or to
interact with the organization via social media such as twitter, facebook and blogs. Telemarketing in this case is a tool of marketing and serves to drive up sales volume.
Beamish and Ashford 2006, internet can be used to support sales achieved through
increasing awareness of brands and products, supporting buying decisions and enabling
online purchase. This facilitates ease of purchase and acquisition of information on products
and services. Tele-marketing also opens up doors for marketers to increase sales volume
through using a direct channel that is effective.

2.5 conclusions
Tele-marketing is a tool that seems to provide new and exciting opportunities to marketers.
Marketers can easily reach consumers, communicate with them and immediately get their
feedback at low cost compared to other media. The markets seem to be open to technology
and if harnessed well, tele-marketing can reap significant benefits to marketers. Before
venturing to use tele-marketing tools, marketers must scrutinize each local market to find out
what tool is most important for that particular market and customize this accruing to the

markets needs. Tele-marketing may also not be effective for all markets so marketers should
consider this and take appropriate action. When using tele-marketing tools, its important to
take into consideration the rights of consumers and use these tools in a way that does not
offend or turn them off.

CHAPTER 3
METHODOLOGY
Introduction
This chapter describes the research design, study population, the sampling design, sources of
data and the various data collection methods and analysis that will be used in the research.
The limitations of the study were also presented.

3.1 Research design


The type of research design that was used for the study was causal research design where it
was necessary to establish a definite cause and effect relationship. For this particular study,
the purpose was to understand how tele-marketing affects sales volume.

3.2 Study population


The survey population was Sandesh solution staff and customers of IDEA mobile and IDEA
internet services.

3.3 SAMPLING DESIGN

3.3.1 Sampling techniques


The sampling technique was stratified sampling whereby the public was divided into different
age groups, that is10-20,21-30, 31-40, 41-50, 51-60 and above 60; this gave a more specific
picture of which age groups are most impacted by tele-marketing and their perception of it.
Then simple random sampling was used to get the specific members to be interviewed from
each stratum until the required population was achieved.

3.3.2 Sample size


The sample size comprised IDEA customers and some Sandesh solution staff from different
departments in the company. The total population for the study was 40members, with 39 of
the members being picked from the general public to get a general view with as little bias as
possible. The 1 member was picked from staff of Sandesh Solutions, Pune.

3.3.3 Sampling procedure


First, the required population was established, that is IDEA customers and staff then the
sample size was determined. Once the sample size was determined, stratified sampling was
used to classify the population in different strata of age then simple random sampling was
used to get the needed respondents. Purposive sampling was used to select Sandesh solution
staff. Eventually, questionnaires were administered and an interview was conducted to get the
desired data from the selected respondents.

3.4 Data sources


There are two sources of data and they include primary sources and secondary sources. The
primary sources include data that has never existed while secondary sources refer to data
already in existence.

3.4.1 Primary sources


Since not all information was available through secondary sources, it was necessary to
venture into primary data sources to get the opinions of selected members of the population.
Primary data was obtained through personal interviews and administered questionnaires.

3.4.2 Secondary sources


Secondary data was obtained from 2 areas, the first was the internal source which was within
the organization where several documents were used to reveal needed information, these
included; sales reports, marketing research reports and revenue reports. The second source
was the external source which included information acquired from books, newspapers and the
internet.

3.5 Data collection tools


Data collection tools that were used are presented below.

3.5.1 Questionnaires
A questionnaire refers to a set of questions arranged logically and systematically to achieve
specific research objectives; some questions were open ended while others were closed
ended.

3.5.2 Interview guide


An interview guide was used to collect data directly from the respondents whereby the
researcher asked the respondent different questions and recorded the respondents answers.

3.6 Data collection methods


The appropriate data collection methods were the interview method and observation method.

3.6.1 Survey
This refers to collecting information from people through a face to face meeting where the
respondents answered different questions and it was facilitated by an interview guide.

3.6.2 Observation
It refers to collecting information by viewing or observing the respondents, their actions and
situations. In this case, the researcher was observing respondents to collect information on
their reaction to certain tele-marketing services, for instance, when they get SMS from IDEA
regarding certain promotions going on, how do they react? It may be anger for being sent an
unwarranted SMS or joy at being able to save some money through the promotion.

3.7 Data processing, analysis and presentation


After collecting data, it was processed, analyzed and presented to come up with the necessary
results

3.7.1 Data processing


Data processing involves editing, coding, classification and tabulation. After data collection,
the data was edited using Ms. Word to eliminate errors. Then it was coded to reduce the data
into fewer categories this was done using numbers and other symbols. After, classification of
the data was done; this is the arrangement of the data in groups or classes on the basis of
common characteristics. Tabulation means that the data was transferred to tables to make
interpretation of data easy.

3.7.2 Data analysis


The data was then analyzed using excel and Pearson correlation coefficient was used to get
the relationship between tele-marketing and sales volume.

3.7.3 Data presentation


The analyzed data was then presented through tables and pie charts.

3.8 Limitations of the study


One of the biggest challenges that I went through is getting accurate information, some of the
respondents gave false information and getting information from the company was very
difficult.
Another limitation the respondent encountered is that the company under study was not
willing to give out some information; in addition, getting the information on time was a
problem this was a big obstacle that I faced.

CHAPTER 4

PRESENTATION, INTERPRETATION AND DISCUSSION OF FINDINGS

Introduction
In this chapter, the findings of the study are analyzed and presented according to the research
questions and study variables. The relationship between tele-marketing and sales volume is
also established. The purpose of the study was to establish the impact of tele-marketing on
sales volume in the telecommunication industry. The analysis aimed at satisfying the research
objectives which were:
1. To establish the relationship between e-marketing and sales volume in Sandesh Solutions,
Pune.
2. To establish the different services offered through e-marketing in Sandesh Solutions, Pune.
3. To assess how customers are adapting to e-marketing and the challenges associated
with e-marketing

4.1 Findings on the background information


This section presents the background information of respondents who participated in the
research study. The information contained in this section Includes the following categories;
gender, education background, occupation, age of the respondents, marital status and the
duration the respondents have been IDEA customers.

Table 1: Showing gender of respondents


Gender

Frequency

% Response

Female

18

46.2

Male

21

53.8

Total

39

100

Source: Primary data


Table 1 above shows the total number of IDEA customers interviewed was 39. Majority of
the respondents were male, constituting 53.8% of total respondents while female respondents
were 46.2% of total respondents. This indicates that there are more male customers than
female customers on IDEA.
Table 2: Showing education level of respondents
Education level

Frequency

% Response

Primary

2.6

Secondary

12.8

Diploma

10.3

Degree

29

74.4

Total

39

100

Source: primary data


Table 2 shows that 2.6% of respondents were of primary level, 12.8% were of secondary
level, 10.3% were of diploma level and 74.4% who were the majority were of degree level.
This indicates majority of IDEA customers are educated.

Table 3: Showing age of the respondents


Age

Frequency

% Response

10-20

21-30

30

76.9

31-40

20.5

41-50

2.6

Above 60

Total

39

100

Source: primary data


There were no respondents in the 10-20 age bracket, respondents in the 21-30 age bracket
constituted 76.9% of the total respondents and were the majority. Respondents in the 31-40
age brackets were 20.5% and respondents in the 41-50 age brackets were 2.6% of the total
population. There were no respondents in the above 60 category. This could indicate that a
number of the respondents sampled were young but it could also indicate that a majority of
IDEA customers are part of the younger generation.
Table 4: Showing marital status of the respondents
Marital status

Frequency

% Response

Married

12.8

Single

34

87.2

Total

39

100

Source: primary data


12.8% of the respondents were married while 87.2% were single. This shows most of IDEA
customers are young and not committed in marriage.

Figure 1: Showing the duration respondents have been IDEA customers

Source: primary data

From figure 1, its indicated that 56% of the respondents have been IDEA customers between
0- 5years. 39% of total respondents have been IDEA customers for 6-10 years and 5% of
respondents have been customers for over 10years. This shows that a majority of MTN
customers joined the network in the past 5years.

4.2 Findings on the services offered through e marketing


Figure 2: Showing tele-marketing services respondents are familiar with

Source: primary data


The tele-marketing service that most respondents are familiar with is mobile phone telemarketing at 37% then social network marketing at 29% followed by websites at 19% and
lastly e mail marketing at 15%. This indicates a majority of the respondents are familiar with
mobile phone tele-marketing mainly because most of the respondents had mobile phones so
they are easy to access and due to their portability nature. Social network marketing is also
quite popular maybe because most of the respondents are young and they tend to access
social network sites quite often. Quite a number of respondents were familiar with marketing
through websites but this platform was trailing behind social network marketing meaning that
the respondents do not access company websites as such or company websites have no
impact on the respondents. A few of the respondents were familiar with email marketing
meaning this platform has not been fully exploited.
Table 5: Showing whether respondents encounter tele-marketing services in their day
to day interactions with IDEA
Answer

Frequency

% Response

Yes

34

87.2

No

12.8

Total

39

100

Source: primary data


Table 5 above shows 87.2% of the respondents agree that they encounter tele-marketing
services in their day to day interactions with IDEA. 12.8% of respondents do not encounter
tele-marketing services in their day to day interactions with IDEA. This shows that a majority
of IDEA customers know tele-marketing services and access them on a day to day basis. It
also shows IDEA regularly uses tele-marketing services to market to its customers.

Figure 3: Showing tele-marketing services respondents encounter in their day to


day interactions with IDEA

Source: primary data


From figure 3 above, its indicated that 47% of the respondents encounter tele-marketing
services through the mobile phone platform. Social network marketing is the next platform
that is most popular with IDEA customers at 31%. The IDEA website is next at 12% and
lastly e mail marketing at 10%. This therefore indicates that mobile tele-marketing and social
network marketing are the most effective tele-marketing platforms that can be used by IDEA
in marketing to its customers.
Table 6: Showing how often respondents encounter/use tele-marketing service
Answer

Frequency

% response

Always

18

46.2

Sometimes

19

48.7

Never

2.6

Not sure

2.6

Total

39

100

Source: primary data


Table 6 shows 46.2% of respondents always encounter/use tele-marketing services. 48.7% of
respondents sometimes encounter tele-marketing services. Only 2.6% of respondents never

encounter tele-marketing services and 2.6% are not sure. This therefore means a big
percentage
of IDEA customers regularly encounter or use tele-marketing services.
Figure 4: Showing whether the current tele-marketing services offered by IDEA make
it competitive

Source: primary data


From figure 4 above, its indicated that 87% of respondents agree that the current telemarketing services make IDEA competitive, 10% disagreed and do not believe the current telemarketing services offered by IDEA make it competitive. Only 3% of total respondents agreed
that tele-marketing services offered by IDEA make it competitive but only to a small extent.
This shows that a majority of respondents strongly believe that the tele-marketing services
offered by IDEA make it competitive. This could also indicate that IDEA offers better telemarketing services than other companies.

4.3 Customer adaptation to e marketing


Table 7: Showing whether tele-marketing services offered by IDEA influence the
number of times respondents use IDEA services.
Answer

Frequency

% Response

Yes

30

76.9

No

23.1

Total

39

100

Source: primary data


From table 7 above, its indicated that 23.1% of the respondent disagree that accessing telemarketing services influences the number of times they use IDEA services. They stated that
they only use tele-marketing services when they need to. Most of the respondents who agreed
and are in the yes category attributed this to the convenience they get from tele-marketing
services like faster and cheaper access to internet through IDEA internet services, for
example, when they access IDEA mobile internet its cheap and accessing facebook through
IDEA is free. Others talked about access to information being the major reason why they
access IDEA tele-marketing services like information on current IDEA promotions and IDEA
product prices. Others spoke of how tele-marketing services made interaction easier. All these
factors have contributed to the respondents accessing IDEA services more and more. This
indicates that the tele-marketing services offered by IDEA definitely influence the number of
times customers access IDEA services.
Table 8: showing media respondents use to access tele-marketing services
Media

Frequency

% Response

Computer

2.6

Mobile phone

21

53.8

Both

17

43.6

Other

Total

39

100

Source: primary data

Table 8 shows that the majority of respondents use or encounter tele-marketing services
through their phones; they are 53.8% of the total population. A fairly large number of
respondents use both computers and mobile phones to access/encounter tele-marketing
services; they make up 43.6% of the population. Only 2.6% access/encounter tele-marketing
services through computers only. There was no other media that respondents were familiar
with that they could use to access these services. This could indicate that mobile phones are
the most important media to reach IDEA customers. This could be because they are cheap
and a lot of people can access them.
Figure 5: Showing how respondents use tele-marketing services offered

Source: primary data


Figure 5 above shows that 44% of the respondents use tele-marketing services to be able to
access information. At the same time, 37% of the respondents use tele-marketing for
interaction. 17% of the respondents also use tele-marketing services in their work/education.
2% of respondents suggested they use it in business. This shows that the bulk of IDEA
customers use tele-marketing services for accessing information and interaction.

Table 9: Showing whether respondents would like to access tele-marketing services


from other companies
Answer

Number of respondents

% Responses

Yes

35

89.7

No

10.3

total

39

100

Source: primary data


From table 10 above, 89.7% of the respondents wanted to access tele-marketing services
from other companies because they believed that competition would improve tele-marketing
services provided. They also wanted access to a wider variety of tele-marketing services and
the ability to choose which is most convenient for them. They also believe more telemarketing services would mean they could have access to more information while others
would want to see more tele-marketing services from other companies as a matter of
convenience. Respondents who would not like to see tele-marketing services from other
companies were 10.3% of total respondents and they believe that the current tele-marketing
services offered by IDEA are sufficient for them.
Table 10: Showing whether tele-marketing services offered by IDEA has made it
easier to give feedback to IDEA in regard to complaints or expression of satisfaction
Feedback

Frequency

% Responses

Yes

21

53.8

No

18

46.2

Total

39

100

Source: primary source


Most of the respondents believe that tele-marketing services have made feedback to IDEA
cheaper. They are 53.8% of the total respondents.46.2% believe that tele-marketing services
have not made feedback to IDEA easier. Respondents who agreed that it has become easier to
give feedback to IDEA believe that IDEA services have become faster and easier to access

and the responses from IDEA are faster. Some respondents believe that the different telemarketing platforms offer them a wider range of ways to communicate or give feedback, for
instance, through calling, sending email or leaving messages on the IDEA facebook page.
Most respondents who do not believe that the tele-marketing services have facilitated easier
feedback explained that IDEA lines were always congested and thus communication between
IDEA and the respondents is 1 way. Some also believe IDEA does not respond to customers
on time.

4.4 Challenges associated with e marketing


Table 11: Showing whether it is costly to encounter/access tele-marketing services
Costly

Frequency

% Responses

Yes

20

51.3

No

19

48.7

Total

39

100

Source: primary data


Table 12 above shows 51.3% of the respondents agree that accessing tele-marketing
information is costly and 48.7% believe that accessing tele-marketing services is not costly.
This indicates that a lot of IDEA customers may not be able to access tele-marketing services
though quite a large number also think it is not costly thus indicating it is easy for them to
access tele-marketing services.
Table 12: Showing whether respondents experience any difficulties in accessing
tele-marketing services
Difficulty

Frequency

% Response

Yes

19

48.7

No

20

51.3

Total

39

100

Source: primary data

Majority of the respondents agree that it is not difficult to access tele-marketing services;
they are 51.3% of total respondents. Quite a big number, 48.7% to be exact disagree and
they believe that it is difficult to access tele-marketing services, mostly because of poor
network services, slow internet connection and congestion of IDEA lines.
Table 13: Showing whether some tele-marketing communications from IDEA have
been a nuisance/bothersome
Nuisance/bothersome

Frequency

% response

Yes

16

41

No

23

59

Total

39

100

Source: primary data


Most respondents do not agree that most communications from IDEA have been
bothersome to them, that is, 59% of total respondent though a significant number of
respondents, that is, 41% agree that tele-marketing communication from IDEA have been
bothersome. Most state that sometimes they keep getting messages they do not need and at
the same time are charged for them.
4.5 Interview guide
This section presents information on tele-marketing and its impact on sales volume. This
information is from the companys point of view and it gives a more clear view of how telemarketing has affected IDEA and its sales volume.

4.5.1 Tele-marketing services that IDEA is offering


Idea Cellular is an Aditya Birla Group Company, India's first truly multinational corporation.
Idea is a pan-India integrated GSM operator offering 2G and 3G services, and has its own
NLD and ILD operations, and ISP license. With revenue in excess of $4 billion; revenue
market share of nearly 15%; and subscriber base of over 121 million in FY 2013, Idea is
Indias third largest mobile operator. Idea ranks among the top 10 country operators in the
world with a traffic of over 1.5 billion minutes a day.

Ideas robust pan-India coverage is built on a network of over 100,000 2G and 3G cell sites,
spread across over 55,000 towns in India.
Using the latest in technology, Idea provides world-class service delivery through the most
extensive network of customer touch points, comprising nearly 4,500 exclusive Idea outlets,
and over 7,000 call centre seats. Ideas customer service delivery platform is ISO 9001:2008
certified, making it the only operator in the country to have this standard certification for all
22 service areas and the corporate office.
Idea has consistently stayed ahead of the industry in VLR reporting. Ideas thought leadership
on Mobile Number Portability (MNP) has enabled it to stay as the top gainer with the highest
net gain. Every 4th mobile user who exercises choice through MNP, prefers Idea.
Idea offers a range of high-speed mobile broadband devices including Android based 3G
smartphones, dongles etc. Ideas wide portfolio of 3G smartphones offer the latest in 3G
applications and high-end data services such as Idea TV, games, social networking etc. at
affordable prices.
Idea has been a pioneer in introducing customised product offerings for segmented
customers. It is the first mobile operator to introduce innovative value added services in the
Indian telephony market, and has remained ahead of the industry in data product offerings.
Idea has received several national and international recognitions for its path-breaking
innovations in mobile telephony products and services. Idea won the prestigious NDTV
Business Leadership Award in the telecom category for its solid, consistent performance in
2012. It was the winner of ET Telecom Awards 2012, in the categories Customer
Experience Enhancement, Excellence in Marketing, and Innovative Products. Idea also
won the Best Ad Campaign of the Year award for the popular Honey Bunny campaign at the
Tele.Net Telecom Awards 2012.

4.5.3 How IDEA has been using tele-marketing in its operations


IDEA has a corporate website that it uses to give information on its products, services and about
the company. IDEA also does product placement through its website. IDEA advertises itself
through other company websites like ADITYA BIRLA website. More recently, IDEA set up a
facebook page and it also has an account with twitter. The facebook page has 6000 and above
members and has managed to influence a few successful campaigns for example, the Pune cranes
chant, An Idea can change Life has been successful and has attracted over 5billion people.
Though IDEA has utilized the social network platform, it has not fully exploited it. IDEA also
uses email marketing mainly when addressing corporate clients. When IDEA needs to inform its
corporate clients about new products and services that have been developed, it sends them

emails. Mobile phone tele-marketing has been used on many levels, sometimes IDEA sends its
customers sms of current promotional activities, it also provides mobile internet and advertises
through this forum., IDEA partnered with Google to provide its customers with a virtual market

place where they can buy and sell amongst themselves.

4.5.4 How customer adaptation/response rate to tele-marketing services has been.


The respondent explained that the figure is not easily quantifiable but when IDEA realized its
customers were really complaining about IDEA services either because they were
misinformed or the information about products and services did not trickle down to the
market, then IDEA used tele-marketing to reverse this effect and pull back its customers.

4.5.5 Whether tele-marketing communications have proven to be beneficial to IDEA


The respondent agreed that tele-marketing services have been very beneficial to IDEA
because communication via tele-marketing platforms is much cheaper than other platforms.
Through e marketing, IDEA has been able to target those people who do not access the other
media like TV, radio, newspapers and billboards. Tele-marketing communications have a
longer shelf life than information from other media, for example an email or a text message
can last longer than an advertisement in the newspaper that runs for one day.

4.5.6 Whether introduction of tele-marketing services has led to an increase in sales


volume
The respondent explained that no exact figures can be ascertained but tele-marketing has
contributed positively by changing negative attitudes of customers and closing the
information gap which had developed between the company and its customers. This therefore
means that customers are retained which in turn generates revenue for the company.

4.5.7 Challenges experienced in offering tele-marketing services to consumers


The respondent expounded on the challenges IDEA faces when offering tele-marketing
services to its customers. Infrastructure is a big a problem, for instance electricity is not well
distributed throughout the country; this also means that customer accessibility to internet may
also be limited. IDEA competitors also replicate some of the products and services that IDEA
innovates. Some individuals also manipulate some communications from IDEA and thus give
IDEA bad publicity. The target customers who may be able to access or who are interested in
tele-marketing services are limited, for example a farmer in the village may not be able to
exploit tele-marketing services.

4.5.9 How tele-marketing works with forms of marketing and communication that
IDEA uses
The respondent explained that communications are placed on the tele-marketing platform
after they have already been communicated through other media like newspapers, TV and
radio. Thus tele-marketing serves to reach those people who have not been able to access the
traditional media.

4.6 Whether there is a relationship between tele-marketing and sales volume


The respondent agreed that there is a relationship between tele-marketing and sales volume
though not directly quantifiable, it is more qualitative, for example it has helped facilitate a
change in negative attitudes where people who were about to leave IDEA change their mind
after receiving feedback from IDEA. The tele-marketing platform has also helped IDEA to
close the information gap that had developed between itself and its customers. This therefore
means that current customers are retained and new ones are attracted leading to improved
revenue streams for the company.

4.7 findings on the relationship between tele-marketing and sales volume


This section focuses on establishing the relationship that exists between tele-marketing and
sales volume. It looks at tele-marketing as an independent variable and sales volume as a
dependent variable. The sections selected to test the relationship are; whether respondents
encounter tele-marketing in their day to day interaction with IDEA (table 5) and whether
tele-marketing services influence the number of times they access IDEA services (table 7).

CHAPTER 5

SUMMARY, CONCLUSION AND RECOMMENDATIONS

5.0 Introduction
This chapter presents the summary discussion, conclusion and recommendations of the
findings. The summary focuses on the findings in relation to the objectives of the study. The
summary is followed by the conclusion, which is also based on the findings of the study and
lastly the recommendations.

5.1 Summary of major findings

5.1.1 Tele-marketing services


Findings indicated that majority of IDEA customers encounter and use tele-marketing
services regularly. They also find the services beneficial and most of them agreed telemarketing services make IDEA competitive.IDEA uses tele-marketing services to
communicate and interact with its customers though it has not fully exploited some platforms
like social network marketing and e mail marketing.
The findings suggest there is a major information gap between IDEA and its customers. Most
IDEA customers perceive that they can only communicate with IDEA through calling
customer care centers and submitting their complaints. There are other platforms which the
customers have not made use of, for example, they can leave complaints or comments on
IDEAs facebook page or send an email in regard to their complaints and get feedback from
IDEA through these platforms.

5.1.2 Sales volume


Tele-marketing services have had a profound impact on IDEAs sales volume. Tele-marketing
has helped to change customerss negative attitudes and perception thus retaining them as
IDEA customers which has in turn contributed to improved revenue streams. The findings
indicated that tele-marketing services lead to most customers accessing IDEA services more
often.

5.1.3 Relationship between tele-marketing and sales volume


Findings indicated that there is a strong positive relationship between tele-marketing and
sales volume. The Pearson correlation coefficient indicated this to be 0.98. This implies that
tele-marketing services greatly affect sales volume.

5.2 Conclusion
Most IDEA customers are familiar with tele-marketing services but the most popular
platforms are social network marketing and mobile phone marketing. This tends to suggest
that the market is open to tele-marketing services but most companies have not exploited
them yet they seem to be very effective means of communicating and interacting with
customers. The companys task is to try and optimize these platforms that customers enjoy
and seem to be interested in and at the same time maximize the revenue streams from these
platforms.

5.3 Recommendations
IDEA should reduce the information gap between the company and its customers. They
should educate their customers on how to effectively harness tele-marketing services so as to
enable customers to easily communicate their opinions or comments and complaints. This
will ensure there is two way communications between the company and its customers thus
improving the relationship between IDEA and its customers.

Since most customers use or encounter mobile phone tele-marketing and social network
marketing a lot than the other platforms, IDEA should fully exploit these two platforms. They
should focus on generating mobile phone content that will attract customers and at the same
time maximize the social network platform because this is where most customers seem to be
active.

REFERENCES
Hughes and Fill, Marketing Communication, CIM, Butterworth Heinemann
Beamish and Ashford, Marketing Planning, CIM, Butterworth Heinemann
Geoff Lancaster and Frank Withey (2006-2007), Marketing Fundamentals, CIM, Butterworth
Heinemann
David Jobber (1997), The CIM Handbook of selling and sales strategy, Butterworth
Heinemann
William C. Monarief and Shannon H. Shipp (1997), Sales Management, Addison Wesley.
PR Smith (1995), Marketing communication an integrated approach, Clays LTD, St. Ives
PLC.
Angella Hatton and Mike Adroyd (1995), Economic Theory and Marketing Practice,
Butterworth Heinemann.
Liz Hill and Terry O Sullivan (2004), foundation Marketing, prentice Hall.
Kotler Phillip and Gary Armstrong (2010), Principles of Marketing, Pearson Prentice Hall.
th

Richard Mukoma, July 13 2010, The pitch, Daily Nation


th

Kui Kinyanjui, Tuesday July 27 2010, kenyas techpreneurs take on the world with mobile
software apps, Business Daily
th

ICT statistics news log, July 15 2010


www.wikipedia.com/sales/2008
www.wikipedia.org/may 2008/internet marketing.

APPENDICES

APPENDIX I: QUESTIONNARE FOR IDEA CUSTOMERS


Dear respondent, the researcher is a MBA student in BHARTI VIDYA PEETH University
conducting research on tele-marketing and its impact on sales volume. The questions below
are intended to facilitate this study and thus I humbly request you to answer the questions
herein as honestly as possible. The information provided will be used for academic purposes
only and outmost confidentiality will be exercised in the fulfillment of the research project.
THANKYOU
(Please tick in the most appropriate or fill in the blank space where necessary)
SECTION A: background information
1. What is your gender?
Male

Female

2. What is your education background?


Primary

Secondary

Diploma

Degree

Other,specify
3. What is your occupation?
.
4. What is your age?
10-20

21-30

31-40

41-50

Above 60
5. What is your marital status?

6. How long have you been an IDEA customer?..


SECTION B: services offered through e marketing
1. Please tick the tele-marketing services you are familiar with.
Social network marketing

mobile phone marketing

E mail marketing

Websites

Do you know of any other?


Do you encounter tele-marketing services in your day to day interactions with
2. IDEA?
Yes
3.

No

Please tick the tele-marketing services that you access/ encounter in your day
to day interactions with IDEA.
Social network marketing

mobile phone marketing

E mail marketing

IDEA website

4. How often do you use/ encounter tele-marketing services?


Always

Sometimes

Never

Not sure

5. Do you think the current tele-marketing services offered by IDEA make it


competitive?

SECTION C: customer adaptation to e marketing


1.

Does accessing tele-marketing services influence the number of times you use
IDEA services?
Yes

No

2. Give reasons for your answer above.

..
3. Which media do you use to access tele-marketing services?
Computer
Both
How do you use tele-marketing services
4. offered?
Interaction
Accessing information

mobile phone
other (specify)

work/ education
other (specify) .

5. Would you like to access tele-marketing services from other companies?


Yes

No

6. Why would you like to experience/ not experience tele-marketing services from
other companies?

...
7. Through the tele-marketing services offered by IDEA has it become easier to
communicate with IDEA in regard to complaints about services or expression of
satisfaction?
Yes

No

8. Give reasons for you answers above.

...

SECTION D: challenges associated with e marketing

1. Is it costly to access/ encounter tele-marketing services?


Yes

No

2. Do you experience any difficulties in accessing tele-marketing services?


Yes

No

3. If yes, what difficulties have your encountered when accessing tele-marketing


services?

..
4. Have some e marketing communications from IDEA been a nuisance/
Bothersome?
Yes

No

5. If yes, in what ways have the communications been bothersome?

.
Thank you For your Time and corporation.