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“CONSUMER BEHAVIOUR OF
FOR PARTIAL FULFILMENT OF THE REQUIREMENT FOR THE DEGRE E O F
MASTER OF BUSINESS ADMINISTRATION (2009-2011)
SUBMITTEDTO: SUBMITTED BY:
ASIANCOLLEGEOF PRABHAKAR MANAGEMENT rd (3 sem ) SAHARANPUR
VINEET MBA ROLL NO-
AFFILIATED TO AICTE AND U.P TECHNICAL UNIVERSITY LUCKNOW
I am fortunate to have an opportunity to undergo the “Summer Training” at AIRTEL The training has been useful for me in understanding the various pragmatic aspect of the management function in practice in the real world. A work is never the work of individual. It is a combination of ideas, suggestion and contribution of supporting people.
To familiarize with the company as corporate world and its various aspects of functioning. salient features.PREFACE The project titled “CONSUMER BEHAVIOUR OF AIRTEL” is an outcome of my summer training project as a part of my MBA from ASIAN COLLEGE OF MANAGEMENT SAHARANPUR. I hope that analysis and summary will certainly help the organization to make an effort to innovate their work culture and functioning. I have taken utmost care to prepare the project. 4 . growth strategies.
DECLARATION I hereby certify that the work which is being presented in this report and entitled as “CONSUMER BEHAVIOUR OF AIRTEL” is an authentic record of my work This matter embodied in this report has not been submitted by me for the award of any to degree. 5 .
Today’s market is enormously more complex.advertising. 6 . it is very essential to not only exist but also to excel in the market. The report begins with the history of the products and the introduction of the Airtel company. to survive in the market. In today’s world of cutthroat fierce competition. future prospect and government policies. collaboration. technology. This report also contains the basic marketing strategies that are used by the Airtel company of manufacturing process. The report includes some of the key salient features of market trend issues. export scenario. production policy. the company not only needs to maximize its profit but also needs to satisfy its customers and should try to build upon from there. Hence forth.EXCUTIVE SUMMARY The project is an extensive report on how the Airtel company markets its strategies and how the company has been able in tackling the present tough competition and how it is cooping up by the allegations of the quality of its products.
2. advertising. future prospect and government policies. The major purpose of descriptive research is description of the state affairs.export scenario. To identify the difference in market performance of Airtel industry. To compare various parameters of manufacturing process. RESEARCH METHEDOLOGY The success of the analysis mostly depends on the methodology on which it is carried out.OBJECTIVE OF THE STUDY 1. To study the market of Airtel Industry in big scale sector. collaboration. The appropriate methodology will improve the validity of the findings. 3. Data Collection: 7 . Research Design: Descriptive Research: Descriptive research includes survey and fact-findings enquire of different kinds. as it exists at present. Area of the study: The study was mainly concentrated on Ernakulam district.
Sample Frame: The customers were selected on a random basis from which the respondents were selected based on convenience. Sampling Design: The sampling design mainly consists of the sample taken for the study along with the sample size.The study is based on the data collected through primary and secondary sources. web sites and from other relevant publications. Primary Data: An interview schedule was designed to collect primary data from various broadband users. 8 . Secondary Data: Secondary data was collected from journals. magazines. sample frame and sampling method. sample sizes of 100 customers were selected for the purpose of the study. Sample Size: From the universe. Sample Universe: All customers using broadband connection was taken as the sample universe.
From this.662 billion (2009) ▲ US$ 11.in (32.853 billion(2009) 25. 30 days was spent for the collection of data. The study was conducted on consumers with different type of business.254 billion (2009) ▲ US$ 2. Research period The time for the project was limited to 45 days only (from 1-30 December). India Asia & African countries Sunil mittal (chairman) and (MD) Sanjeev kapoor (CEO) Wireless Bharti Airtel Limited (Hindi: भारती एयरटेल) (BSE: 532454) formerly known as Products Teliphone Internet Satellite telivision Bharti TeleVentures LTD (BTVL) is an Indian company offering Revenue Operating income Net income Total assets Employees Parent Website ▲ US$ 7. based on the willingness and availability of the respondents.043 billion (2009) ▲ US$ 1.543 (2009) Bharti Enterprises (63. Bharti Airtel Limited Type Industry Founded Founder(s) Headquarters Area served Key people Public (BSE: 532454) Telecommunications 7 July 1995 Sunil Bharti Mittal New Delhi.4%) Airtel.04%) .56%) SingTel 9 Vodafone (4. Sampling Method: Convenience sampling was used.
etc.http://en. Bharti Airtel is the world's third largest.org/wiki/Bharti_Airtel . The mobile business offers services in 18 countries across the Indian Subcontinent and Africa. microwave links. It also offers fixed line services and broadband services. This enables the company to provide pan-India phone call rates of Rs.Mobile. The Telemedia business provides 10 . Bharti has roped in a strategic partner Alcatel-Lucent to manage the network infrastructure for the Telemedia Business. single-country mobile operator and fifth largest telecom operator in the world with a subscriber base of over 180 million. It is known for being the first mobile phone company in the world to outsource everything except marketing and sales and finance.telcommunication services in 19 countries.cite_note-4 Ericsson agreed for the first time. It also acts as a carrier for national and international long distance communication services. which connects the submarine cable connecting Chennai and Singapore. It the largest cellular service provider in India. The company has a submarine cable landing station at Chennai. Enterprise and Digital TV. During the last financial year [2009-10]. to be paid by the minute for installation and maintenance of their equipment rather than being paid up front. with more than 140 million subscriptions as of July 2010. It offers its telecom services under the Airtel brand and is headed by Sunil Bharti Mittal. The company also provides land-line telephone services and broadband Internet access (DSL) in over 96 cities in India.wikipedia. business support by IBM and transmission towers by another company. Telemedia. Its network (base stations.02/minute). The company is structured into four strategic business units .) is maintained by Ericsson and Nokia Siemens Network. 1/minute (U$0.
In India.270. Globally. Airtel is the largest wireless service provider in the country.461 use our Telemedia Services either for voice and/or broadband access delivered through DSL. of who 85.Home TV services across India. the company has a 30. The Digital TV business provides Direct -to.broadband. effective from 1 April 2010. in addition to providing long distance connectivity both nationally 11 . based on the number of subscribers as of December 31. Joint Managing Director and current Chief Executive Officer of Indian and South Asian operations. 2008. The Enterprise business provides end-to-end telecom solutions to corporate customers and national and international long distance services to telcos. will replace Manoj Kohli and will be the CEO. CEO. served an aggregate of 88. On August 11. Airtel also offer an integrated suite of telecom solutions to enterprise customers. Airtel is India’s leading providers of telecommunication services with a nationwide presence in all the 23 licensed jurisdictions (also known as Telecom Circles). Current Dy. In January 2010. will become the Chief Executive Officer of the International Business Group from 1 April 2010. Bharti Airtel is the 3rd largest in-country mobile operator by subscriber base. behind China Mobile and China Unicom. He will be overseeing Bharti's overseas business. IPTV and telephone services in 89 Indian cities.7% share of the wireless services market.733 subscribe to 2. Bharti Airtel announced that it would acquire 100% stake in Telecom Seychelles taking its global presence to 19 countries. Sanjay Kapoor. company announced that Manoj Kohli.650.194 customers as of GSM services and December 31. 2008. 2010.619.
650. Airtel have recently forayed into media by launching DTH and IPTV Services. combo plans CORE BUSINESS AREA Mobile Services-Airtel offer mobile services using GSM technology on 900MHz and 1800MHz bands. Bharti Infratel owns 42% of Indus Towers Limited. and are the largest wireless service provider in the country.and internationally. All these services are rendered under a unified brand “Airtel”. owns and manages passive infrastructure pertaining to telecom operations under its subsidiary Bharti Infratel Limited. The company also deploys. MPLS etc. based on the Number of customers. Integrated Solutions to Drive Share of wallet Strategic Alliances Indirect Channel to Drive Penetration Deeper & Not Wider: 94 Cities Vertical & Not Horizontal: Hi-Rise Network Enhancement to Deliver 8+ MBPS New Products & VAS to drive Flat. Brand & IT Data Products: Internet. Bharti Infratel and Indus Towers are the two top providers of passive infrastructure services in India.733 mobile customers 12 . The service strategies of Bharti Airtel are-Best-in-class technology: World-class Installation & Customer Service Interactive VAS to Drive ARPU enhancement One Airtel Synergies for Distribution. 85.
It also offers virtual calling card services in the overseas markets.057 census towns and 401. 2008 of which 37. 2008. We had 2. roaming and value added services through our extensive sales and distribution channel covering 1.706 outlets.accounted for a market share of 24.205 kms of 13 .461 Customers as on December 31. as on December 31. thus covering approximately 79% of the country’s population Telemedia Services – Airtel provide broadband (DSL) and telephone services (fixed line) in 95 cities with growing focus on new media and entertainment solutions such as DTH and IPTV.882 non-census towns and villages in India.619. This division comprises the Carrier and Corporate business units. The national long distance infrastructure comprises of 90. Enterprise Services is regarded as the trusted communications partner to India's leading organizations. Our product offerings in this segment include supply and installation of fixed-line telephones providing local. The business unit owns a state of the art national and international long distance network infrastructure enabling it to provide connectivity services both within India and connecting India to the world.9% were subscribing to broadband/internet services. Airtel offer post-paid. pre-paid.069.Enterprise Services provides a broad portfolio of services to large Enterprise and Carrier customers. helping them to meet the challenges of growth. national and international long distance voice connectivity and broadband Internet access through DSL. Enterprise Services . Carriers – Carrier business unit provides long distance wholesale voice and data services to carrier customers as well as to other business units of Airtel. Airtel network is present in 5.7% of wireless market.
Corporate – This business unit delivers end to end telecom solutions to India’s large corporate.250 POIs with the local exchanges.optical fibre.500 MPLS and SDH POPs and over 1. Manufacturing and distribution. education. telecom. over 1. It specializes in providing customized solutions to address unique requirements of different industry verticals. media. consortium ownership of the SMW4 submarine cable system and investment in capacities across a number of diverse submarine cable systems across transatlantic and transpacific routes. 14 . The international infrastructure includes ownership of the i2i submarine cable system connecting Chennai to Singapore. ITeS. BFSI. providing a pan India reach. Government and PSUs and retail among others. IT. voice and managed services. It serves as the single point of contact for all telecommunication needs for corporate customers in India by providing full suite of communication services across data.
Sunil Bharati Mittal is the Chairman & MD of Bharti Group. Airtel has a national network with a presence in nearly every major sector. India. Today. 15 .000 Crores.60. The largest Telecommunication player of India having its presence in more than 17 Circles of India. The Company is one of the India’s Largest Telecomm sector Company having a Market Capitalization of more than Rs.
000 per Month . Sunil Mittal’s Net worth is US $ 11. India and he has 3 Children. .20.Sunil Mittal & his brothers own 32% of the Company and are therefore worth something like above Rs. .His monthly Salary is Rs.Sunil’s second venture was to manufacture stainless steel sheets.Sunil has started small. And this Business took him to Mumbai from Ludhiana.000.1.25. .Sunil Mittal was born in Rajasthan. .He lives in Delhi. Here is a History of “How Sunil Mittal has founded Bharti AirTel Group” . one is Sunil Mittal. a well-respected and much liked politician of Ludhiana. . All of the 3 sons went into business and all the brothers are still partners in AirTel. India. trying to persuade traders to buy his sheets. 16 . . India.Sunil Mittal was born on 23rd October.Satpaul Mittal has 3 sons. Sunil Mittal was used to sit on low stools in small cubicles in Pydhonie and Abdul Rehman Street.Sunil’s father was Satpaul Mittal.Sunil’s first Venture was to import scrap and then moved it into bicycle parts at the age of 19 only. both in terms of Age & Vision. and he is India’s Top 10 Richest person.5 Billions according to Forbes 2008 Data. 1957. .
.Bombay Experience taught Sunil 2 things. he learned to do Business with Foreigners and moved into the branded product sector.In 1979. that he had to get out of Ludhiana. So this was Sunil’s Third Venture.So Sunil Mittal became a dealer of Suzuki in its generator Business. By this experience. At a time when everybody dreamed of being an exporter..How?…… 17 . Sunil moved to small MP’s flat that his father had been allotted in Delhi. . . The salesman worked for Suzuki and had been sent to India to find a dealer for the Company’s generators. outdoor exhibitions and hot-dog stands. that he was a natural salesman and Second. The genset Business was booming. Suzuki operated on the assumption that the Indian market would mirror the rest of the world where generators were used to power fairs. He had a flair of trading and he’d made a fortune from property development. Sunil moved into imports instead. he could sell generators to households that wanted an alternative during electricity cuts. a big city to think big and to take bog actions in his life. . Sunil was a Millionaire. Inevitably. He made huge profits importing steel and zip fasteners till one day. Sunil knew better. He realized that in a country that was always short of power. Sunil quickly created the Consumer genset market and in no time at all was the largest importer of Suzuki generators in the whole world.By early 1980s. He needed to move to Mumbai. First. This experience was the turning point in his life. he ran into a harassed Japanese salesman in the Capital’s Bengali Market. the Big Boys (Birlas & Shrirams) enter into the market and his Business closed…….
in the early 1983. entirely illegally. “All the other dealers were appointed on the basis of political influence. To protect this developing Industry. The Japanese company Suzuki had a Sympathy on his so the company recommended that he would be appointed as a dealer for the nwe Maruti Suzuki Car. He has chosen this name just to attract the Indian customers. the government promptly banned all generator products And thus Sunil was out of Business.” . “Beetel” And the Beetel did the sales of Rs.Well.But Sunil was not satisfied. . He decided that this was the future and began to import the components for the phone. . Yes. they turned me down and gave it to somebody else.The Big Break – Sunil’s 4th Venture Well. well the story doesn’t end here. His business uses the brand name. The only single request that Suzuki made was that I should be given a dealership.So Sunil had started finding alternative Income source. The Birlas & the Shrirams were given licenses to manufacture gensets in India. Even then.25 Crores and that was huge sales in those days. 18 .Fortunately. Sunil Mittal Says. He launched this phone in the Indian market with the brand name of “Mitbrau” which was looking like a German name. Basically he wanted to sound it like a foreign brand name because Indian consumers didn’t like Desi brands at that time. But in reality it means “Mittal Brothers”. The 4th Venture of Sunil Mittal was not the Bharti Airtel but it was the “Push Button Phone” from Taiwan. the 4th venture of Sunil Mittal was an entirely illegal venture. Government opened up the telecom market and Mittals were among the top 5 businesses chosen to manufacture handsets.
Airtel had won all the 4 circles.When the Government of India first opened up the telecom sector. You saw something in me. 1 Company. The team reported back that they were small-timers and likely to remain so. After that Sunil did a phone to Vivendi. took a break of 6 months from the business to put together his master plan for mobile telephony. Vivendi pulled the plug days before the bid was to be submitted.. When the bid was opened. Sunil saw the story about bids in The Economic Times news paper. nearly every global telecom player made a beeline for India. when the Government invited bids for mobile telephony. Vivendi stuck with him. Sadly. he pushed Vivendi into going with him after a single meeting. Mittals seemed like Pygmies. When he was in Goa for a New Year holiday and decided that he was going to become among the bidders. . The problem was that he didn’t have much money and he didn’t have much reputation in the market. Even though he had worked hard. his father died within days. So What he did? Well. 1 Circle. you sensed something. Forget what your team has told you. He called the Company in the Paris and said. The Government promptly declared that it had a new rule. “When you agreed to go with me. So Sunil was left 19 .” Against the odds. after the deal had been signed.The Big break came in 1992. Remember that something. Go with your instincts. Later. And among them. the Company sent a team to India to check out exactly who the Mittals were.
Gujarat. Kerala. he acquired Andhra Pradesh. Karnataka. . And thus at a stoke. Not only this but the government policies were also in favour of Reliance (CDMA operators). Maharashtra. The Big Boys (Ambanis/Reliance Group) wanted to enter in the Mobile Telephony market.AirTel did well in the Delhi Circle but when the 2nd round of licenses were awarded.But now the another trouble comes………. And rumors run in the market that weather the single family run company (Bharti Group) will survive? . So government came with new policies but for that. Airtel won 8 new circles. But the Delhi market was too big for Sunil and enough for him as a first timer.And the trouble was. Because. Chennai & Punjab. Sunil swooped down and bought up their licenses. Western UP & Mumbai. . Airtel is in trouble. So Sunil has talked with bakers and somehow cleared all the dues.with one of the 2 Delhi License. After that during the 4th round of Licenses. Later on Kolkata. Tamil Nadu. And they had the Government of India wrapped up no matter which party was in power. Government had allowed Reliance/CDMA Players to enter into the 20 . the Company only won Himachal Pradesh. The general market view was that. government asked operators to clear all existing dues. MP.After that in 1999. with the multinationals still in the game. So when many operators could not clear the dues. the mobile telephone industry was in a bad shape. and such players as HFCL (Himachal Futuristics) on the rise. The Ambanis were Big. The telephone players couldn’t pay the huge license fees. The Ambanis were Smart. They had never failed at anything they had tried.
Each time you feel like joining politics. This bad phase was lasted a year and Sunil Mittal says.And after that. It has around 10-12 Million subscribers against Airtel’s 14 Million. The Reliance Venture is not a failure by any standards.” 21 . Once upon a time. . But I would tell them. another trouble. I told my people that I knew that we were not expected to win. then we make history.” And at the end. “Do yourself a favour. he changed his plans. The general view was that the mobile telephony market would now be transformed.Because morale was so low. And thus 2 distinct markets have been developed. if we can win against the odds. NO POLITICS – . “It was one of the most difficult periods of my Life. He has seen other businessman enter the Parliament and does not believe that they have been able to make a significant difference. . the sort of story where guerillas defeated a big army.Sunil Mittal was planning to enter in the politics by the time he was fifty – in 2007.But afterwards. One is dominated by AirTel and the other was dominated by Reliance. He has lost his fascination for politics. Christopher told Sunil that.market at very low cost and this is the reason why they claim that CDMA was a cheaper technology. Christopher Bland. The Chairman of British Telecom.He quotes. go and take a shower. Everywhere I went. . BSNL has announced that it would set up its own low price network. I began to watch movies in which the underdog won. I went around meeting our people and giving them hope.
Bharti Airtel Limited will take management control of the company and its board. and will 22 . Its area of operations include: • 3 countries in the Indian Subcontinent: Bangladesh. Uganda and Zambia. Ghana. Airtel owns 70 % of Warid Telecom in Bangladesh through a joint venture. Tanzania. Democratic Republic of the Congo. Chad. Kenya. Niger. Gabon. his achievements are attributed to God and some Divine Intervention has played a role in his success………!!!!!!!!!! Worldwide presence Coverage map of Bharti Airtel across 19 countries Airtel is the 5th largest mobile operator in the world in terms of subscriber base and has a commercial presence in 19 countries. Malawi.Sunil today says that. Seychelles. India and Sri Lanka • 16 countries in Africa: Burkina Faso. Republic of the Congo. Nigeria. Madagascar. Sierra Leone.
waridtel. Country Bangladesh Site http://www. Bharti Airtel Limited will take management control of the company and its board.bd Remarks Warid Telecom International LLC. an Abu Dhabi based consortium. Airtel is interimly known as Zain in its newly acquired Africa operations and will assume the Airtel brand name only in the coming months. 2010. The 23 .relaunch the company's services under its own Airtel brand. The Bangladesh Telecommunication Regulatory Commission approved the deal on January 4. List of countries Airtel operates in the following countries. and will relaunch the company's services under its own Airtel brand.com. sold a majority 70% stake in the company to India's Bharti Airtel Limited for US$300 million.
zain.bf.airtel. Airtel in Burkina Faso is the dominant Burkina http://www.000 million with 17% market share. Airtel in Gabon has 829.zain.zain.td. 2009 Warid has secured 2.com Kenya customers stand at player with 1.com market share and over 1.zain. A pioneer in the Chadian telecom Chad http://www.433.zain.zain.ng. http://www.com 2.000 customers and its market share stood at 61%. http://www.ke.zain.99 million subscribers and is ranked fourth among the six operators of Bangladesh.com industry.4 million customers.zain.Bangladesh Telecommunication Regulatory Commission approved the deal on January 4. Airtel in Niger is the market leader with a Niger Nigeria http://www.com 68% market share.000 customers 24 .com Faso representing 50% market share.mg. 1 operator with 69% market share.com of Central African States. Airtel holds second place in the mobile telecom market in Madagascar. has a 39% Madagascar http://www.ne.418.com customers.cd.ga.zain.in Airtel http://www. Airtel in Malawi is the market leader with Malawi http://www. As of December.com Congo The rapidly growing mobile sector in Gabon grew by 16.mw. Democratic Republic of the http://www. Airtel in Chad is the no.5 percent from 2007 to 2008 according to statistics from the Bank Gabon http://www.gh. 2010.zain.com a market share of 72%. Airtel in Ghana has over 1 million Ghana India Kenya http://www.
zain.zain.com the Congo Airtel in Congo is the market leader with a 55% market share.com operator with a market share of 38%.tz.lk Sri Lanka Airtel in Tanzania is the market leader http://www. http://www.cg.sl. 2 25 .zain.ug.zain. Airtel is the leading comprehensive telecommunications services providers Seychelles http://www.com with a 38% market share. http://www.com Sierra Leone http://www.airtel.com Tanzania Uganda Zambia http://www. Airtel in Uganda stands as the no.airtel.zain.sc with over 55% market share of mobile market in Seychelles.zm.Republic of http://www.
Airtel is the name of the company's mobile services brand. It operates in 19 countries. It is the 5th largest mobile operator in the world in terms of subscriber base. Airtel's network consists of 3G and 2G services depending on the country of operation.
In India, the company's mobile service is branded as Airtel. It has nationwide presence and is the market leader with a market share of 30.07% (as of May 2010). On 19 October 2004, Airtel announced the launch of a BlackBerry Wireless Solution in India. The launch is a result of a tie-up between Bharti Tele-Ventures Limited and Research In Motion (RIM). The Apple iPhone 3G was rolled out in India on 22 August 2008 by Airtel & Vodafone. Both the cellular service providers rolled out their Apple iPhone 3GS in the first quarter of
2010. However, high prices and contract bonds discouraged consumers and it was not as successful for both the service providers as much as the iPhone is successful in other markets of the world. On May 18, 2010, 3G spectrum auction was completed and Airtel will hav to pay the Indian government Rs. 12,295 crores for spectrum in 13 circles, the most amount spent by an operator in this auction. Airtel won 3G licences in 13 telecom circles of India: Delhi, Mumbai, Andhra Pradesh, Karnataka, Tamil Nadu, 26
Uttar Pradesh (West), Rajasthan, West Bengal, Himachal Pradesh, Bihar, Assam, North East, Jammu & Kashmir. It plans to launch 3G services in October 2010.
Subscriber base in India
The Airtel subscriber base according to Cellular Operators Association of India (COAI) as of May 2010 was: Metros
• • • •
Chennai - 2,704,067 Delhi - 6,204,025 Mumbai - 3,066,905 Kolkata - 2,821,065
• • • • •
Andhra Pradesh - 13,547,616 Gujarat - 5,760,204 Karnataka - 13,209,270 Maharashtra - 6,701,424 Tamil Nadu - 8,423,702
• • • • • •
Haryana - 1,554,034 Kerala - 3,185,876 Madhya Pradesh - 7,202,200 Punjab - 4,921,266 Rajasthan - 10,802,138 Uttar Pradesh (East) - 9,671,973 27
Uttar Pradesh (West) - 4,317,918 West Bengal - 6,001,669
• • • • • •
Assam - 2,570,283 Bihar - 9,652,206 Himachal Pradesh - 1,346,666 Jammu and Kashmir - 1,976,568 North Eastern States - 1,538,853 Orissa - 4,373,802
Airtel is the market leader in India with a total of 133,619,705 out of 444,295,711 GSM mobile connections or 31.18% market share as of July 2010.
There has been lot of criticism about Airtel for its unauthorised VAS activation. Many of its services were activated automatically according to a complaint forum. In return Airtel lauched STOP/START 121 services for such issues. Airtel Lanka In December 2008, Bharti Airtel rolled out 3.5G services in Sri Lanka in association with Singapore Telecommunications. Airtel's operation in Sri Lanka, known as Airtel Lanka, commenced operations on the 12th of January 2009. Airtel Lanka has 1.4 million mobile customers in Sri Lanka, across 20 administrative districts.
Airtel's 70% stake in the company is said to be at a cost of an initial $300 million. it was announced that the Bangladesh Telecommuncations Regulatory Commission (BTRC) had given Bharti Airtel the go ahead to acquire a 70% stake in the Bangladesh business of Abu Dhabi based Warid Telcom. issued a resolution to accept a proposal received from Bharti Airtel Limited (Bharti) to enter into exclusive discussions until 25 March 2010. the biggest market in the deal. Airtel in Africa On 14.1 million subscribers to its already 125 million-plus user base.in which it bought a majority stake in Nigerian mobile operator Vee Networks Ltd. regarding the sale of its African unit. Minority shareholder Econet was seeking to overturn a 2006 deal by Zain .5 million customers. now Zain 29 . but later approved the sale. 2010.then called Celtel . The combined revenue of the two entities would be around $12 billion.7 billion. after its meeting on February 14. There was also a dispute about minority ownership of Zain's operations in Nigeria. Zain Africa BV. The latter had till date invested a total of $600 million. with plans to bring their Bangladesh investments to the $1 billion mark. The government of Congo Republic had also said Bharti-Zain deal broke law. The service is being operated under the brand name Warid Telecom. said "the Board of Directors of Kuwait's Zain Group." The offer was for $10. The deal would provide Bharti access to 15 more countries in the region.Airtel in Bangladesh In January 2010. February 2010 a statement issued by Zain Ghana. Warid Telecom covers the entire country and has over 2. The deal ran into hurdles after the government of the of Gabon had come out against the deal. adding around 40.
000km undersea high speed link to Dar es Salaam in Tanzania.7 billion. Airtel announced plans to invest US$10 million in its fixed and mobile telecoms network in the Seychelles over three years . Telemedia The Telemedia business provides services in 89 Indian cities and consists of two brands. ship to shore services satellite telephony. The company has over 57 percent share of the mobile market of Seychelles. among value added services like VSAT and Gateways for International Traffic across the Seychelles under the Airtel brand. completed a deal to buy Kuwait-based Zain Telecom's businesses in 15 African countries for $10. On 8. Bharti said the Nigeria ownership dispute had been settled.Nigeria. June 2010. in the largest ever telecom takeover by an Indian firm. On 8. Telecom Seychelles began operations in 1998 and operates 3G. Bharti Airtel. The transaction is the largest ever cross-border deal in an emerging market and will result in combined revenues of about $13 billion. whilst also participating in the Seychelles East Africa submarine cable (SEAS) project. Fixed Line. Bharti Airtel announced that it would acquire 100% stake in Telecom Seychelles for US$62 million taking its global presence to 19 countries. 2010." The overall integration should be complete by the end of this financial year. 30 . June 2010. The US$34 million SEAS project is aimed at improving the Seychelles’ global connectivity by building a 2. Airtel Seychelles On August 11.
Digital Televison Main article: Airtel Digital TV The Digital TV business provides Direct-to-Home (DTH) TV services across India under the brand name Airtel Digital TV. VSATs. It started services on 9 October 2008 and has about 32. Enterprise The Enterprise business provides end-to-end telecom solutions to corporate customers and national and international long distance services to telcos through its nationwide fiber optic backbone. Merger talks In May 2008. it emerged that Bharti Airtel was exploring the possibility of buying the MTN Group. Bharti provided fixed-line telephony and broadband services under the Touchtel brand. Bharti now provides all telecom services including fixed-line services under a common brand "Airtel". ISP and international bandwidth access through the gateways and landing stations. Airtel has about 3.15 million wireline customers. 2004.6% are broadband/internet subscribers as of August 2010. The maximum speed available for home users is 16Mbps. a South Africa-based telecommunications company with coverage 31 . last mile connectivity in fixed-line and mobile circles.Airtel Broadband provides broadband and IPTV services. Until September 18. of which 42.44 million customers as of August 2010. Airtel Fixed Line which provides fixed line services. Airtel provides both capped as well as unlimited download plans.
Bharti Airtel signed a five-year deal with ESPN Star Sports to become the title sponsor of the Champions League Twenty20 cricket tournament. "If anything. As a result of the deal. Bharti Airtel said in a statement "Bharti Airtel Ltd is pleased to announce that it has renewed its effort for a significant partnership with MTN Group". Bharti Airtel again confirmed that it is in Talks with MTN and companies have now agreed discuss the potential transaction exclusively by July 31. In May 2009." 32 ." as MTN has more subscribers. The Financial Times reported that Bharti was considering offering US$45 billion for a 100% stake in MTN. while The Economist magazine noted. the talks fell apart as MTN group tried to reverse the negotiations by making Bharti almost a subsidiary of the new company. Airtel gets the rights to broadcast the matches played by the team to its customers. higher revenues and broader geographic coverage. Sponsorship On May 9. both sides emphasize the tentative nature of the talks. However. However. 2009 Airtel signed a major deal with Manchester United Football Club. 2009. Talks eventually ended without agreement. The tournament itself is named "Airtel Champions League Twenty20.in 21 countries in Africa and the Middle East. due to the South African government opposition. which would be the largest overseas acquisition ever by an Indian firm. Bharti would be marrying up.
Telecommunication Companies in India TELECOM POLICIES NEW TELECOM POLICY 1994 The first step towards opening the telecom services sector took place with cellular licenses for the four metros being awarded to private companies in 1994. NEW TELECOM POLICY 1999 33 . In the same year. As per NTP 94. one private company per circle was to be allowed entry into basic services while two operators were to be allowed to compete in providing cellular services in each of the circles. the government formulated the NATIONAL TELECOM POLICY of 1994 with the objective of expanding the telecom infrastructure by encouraging private sector participated in telecom services.
to be replaced by a new legislation.6 Billion in rural areas and Rs.DOT’s monopoly over domestic National Long Distance (NDL) services to end in 2000. 462. guidelines for entry of new fixed services providers were announced. License period extended from 10 to 20 years. By 34 .9 Billion by private operators RECENT POLICY CHANGES NEW LICENCES FOR BASIC TELECOM SERVICES In Jan’01. Out of 18 companies. 6 were issued Lols for basic telecom services.7 Billions including telecom investment of RS.In an attempt to remove the defects of the old policy and provide a new direction to the telecom sector. 1. Indian Telegraph Act. the government came out with NTP’99. The government has envisaged the total envisaged the total investment of Rs. which translated into the tele-density of 11.71 million lines for both fixed and cellular lines.5%by 2007.606. Interconnection between fixed. 1885. 441. cellular and other telecom service operators to be allowed freely. The highlights of NTP 99 are:-Private basic and cellular operators allowed migrating from revenue sharing regime to one time entry fee plus revenue sharing system. THE TENTH PLAN (02-07) During tenth plan the government target to add 81.
THIRD PHASE OF TARIFF REBALANCNG In March’02. which has shifted from the mobile party pays (MPP) arrangement to CPP arrangement. vodapone. FORTH CELLULAR LICENSE In October’01. 03 companies Tata. It proposed rebalancing the monthly rentals and ceiling rates for STD and ISD tariffs. CALLING PARTY PAYS The introduction of CPP has resulted in a growth in cellular subscriber in the countries. the TRAI issued 20th amendment to its Telecom Tariff Order. against the petition filled by COAL. allowing the basic telecom operators to provide limited mobility services using CDMA-WLL. Birla AT&T and Tata. Reliance and Bharti have signed license agreements. LIMETED MOBILITY SERVICES In March’02. the TDSAT gave the decision. Reliance.March’02. government issued licenses to successful bidders like Bharti Escotel. Services The services offered by Airtel Broadband & Internet are listed below: 35 . March’99.
you can detect and repair most problems. With NetXpert. NetXpert NetXpert is automated broadband care technology. 36 . using a PC or a TV and a Broadband (high speed) Internet connection. Online Tests Airtel Broadband Services offer you online competitive tests for GRE. With In Touch you can do various activities like Video & Audio messaging. GMAT. Video Postcard TM service etc. with the Video Surveillance Solution. all by yourself. In Touch In Touch is a great way to stay connected. SAT and MBA. from the comfort of your home. warehouse.Video Surveillance Solutions With this service you can observe your office. It is an easy-to-use personal communications service that connects you with your friends and family. video & Audio Calling. Thereafter. it helps to identify any system or network problems that may come up from time to time. and experience the joys of uninterrupted Broadband. the NetXpert provides immediate solutions for Internet connectivity related problems. Globally accepted and successfully used by over 38 million customers worldwide. The NetXpert helps in the speedy installation and activation of the Broadband connection on your PC. shop and staff from your PC from anywhere and at all times.
Vision & promise By 2010 Airtel will be the most admired brand in India: Loved by more customers Targeted by top talent Benchmarked by more businesses Products of Bharti Airtel Broadband and Telephony Services.Wifi Wifi is a wireless technology brand by the Wifii Alliance that gives you a host of fantastic advantages ranging from reliability to security. gaming. Just like cell phones. televisions and radios. and digital cameras. DVD players. and network connectivity for consumer electronics such as televisions. The simple installation procedure gives you access to unsurpassed performance instantly. DEL – Direct Exchange Line – Land line Phone (Voice) DSL – Digital Subscriber Line – for data Telephone Instrument 37 . the wireless network also uses radio waves. Common applications for Wifi include Internet and VoIP phone access.
Touchnet Dial-up-service Business focus of Bharti Airtel Broadband and Telephony Services. Cut hierarchy to where knowledge resides. Process standisation and customization Best practice replication Speed of urgency Strategy Of Bharti Airtel Broadband And Telephony Services. Organizational Culture of Bharti. Act transparently and couragebly. Process focus of Bharti Airtel broadband and Telephony Services. Centralized reporting system 38 . Reduction of error level. Reduction of operating cost. Reduction of cycle time. Operational excellence Reducing churns Tightening cost Utilizing capacity Quality Policy of Bharti Airtel broadband and Telephony Services.
They have their customers in Mass 39 . sales officers. PCO.Customers of Bharti Airtel Broadband and Telephony Services. They have a good number of efficient managers. In marketing department there are different segments such as SME. As a new comer to the landline and broadband field in which there are many other competitors they were able to make profits and also they were able to make their customers satisfy with their service. technicians and customer care service. Mass and Cooperates and there is a market construct department. In this two and a half year time they have made there own identity in the market has a landline and broadband service provider with a good number of high pulsing customers. Bsnl Relience Tata indicom AIRTEL Broadband and Telephony Services. Lucknow The Bharti Airtel landline and broadband services has there in the market of LUCKNOW for last 3 years. Residents Small and middle enterprises PCO’s(public call office) Corporate’s Competitors Of Bharti In Broadband And Telephony Services.
Going mobile with Airtel Prepaid is a new of life. All this and lots more. You can have incoming calls ringing simultaneously on two numbers. SME. India’s leading integrated tele-services provider. It gives you unlimited freedom to reach out to your special in a special way. not just trough words but through ideas. Airtel MTV Card The best offers and the coolest of bargains on the hippest stuff in the market . screensavers and backgrounds . picture messages. one phone number to others. ring tones. Ring stops on the other line as soon as you pick up the call on one phone.the Ready Cellular Card from Airtel comes to you from Bharti Enterprises. possible. Airtel Postpaid Airtel welcomes you to a vibrant world of unlimited oppurtnities. download the hippest tunes from the new tracks and dress up your phone with the latest wallpapers. only with the MTV Airtel SIM. 40 . More exciting. Airtel Prepaid makes everything that you dreamt and believed. Airtel Prepaid . PCO and Corporate.(Residents). innovative yet simple new ways to communicate. With a host of great features. Airtel Pre-paid. a simple to use. just when you want to. emotions and feelings. while receive calls on two phone numbers.
UNDERSTANDING THE PRODUCT BASKET • PREPAID: Customer pays first & then uses the mobile. Long Distance Now experience complete freedom like never before with Airtel. . etc.S. our National Long Distance facility allows you to make distance calls in India and Overseas from cellular phone. This services is applicable to both Postpaid and Prepaid customers. • 119 Airtel International – Roam across international destinations. with 284 partner networks.A. Canada..Hot Billing. • POST PAID: Customer uses the service first & pays later. in nearly countries including U. Airtel Roaming Airtel’s Roaming service allows you to use your mobile phone to make or receive calls from almost anywhere in India and abroad. Cold Billing. Airtel Roaming gives you two great options: • Airtel National – Enjoy roaming in India across 42 partners Networks and over 750 cities. PRE-PAID CONNECTION 41 .
All it requires is just acquiring a Recharge This is a non-refundable one time investment made in order to get enrolled. the mobile user first makes payment for recharge coupon. Availability: The prepaid SIM Airtel can be easily had from any outlet of Airtel. activates the pre-paid SIM. This is very convenient. Easy Recharge: Airtel.Under Prepaid connection. Cost Control: The pre-paid connection prevents a user from over billing. which contains a number of 16 digits which when fed in the mobile. The billing done in case of Prepaid connection is termed as “Cold Billing”. The user can use the services rendered as per denomination of the Recharge coupon. BENEFITS OF PRE-PAID CONNECTION: Convenience: coupon. The recharge coupon of Airtel can be easily had from any outlet of CONTITUENTS OF PEP CONNECTION 42 .
3. Recharge Coupons 1. LIFE CYCLE OF SIM Active Grace Forfeiture De-active Time out POST PAID CONNECTION 43 .K. May have stored talk value.U. Sim Pack. 2. SIM Expiry A paper/paperless Recharge with various denomination for recharging the prepaid SIM. Talk value validity period 4.PEP PACKAGE S.
• the Different plans to suit individual needs. in case of pre-paid connection the user will incur certain additional expenses every time he/she acquires a recharge coupon. Here the mobile user can the phone as much as he wants and then make payment of Bill at the end of the billing period. The billing done under postpaid connection is termed as “Hot Billing”. nominal charges. Airtel has designed different plans to suit individual needs of high users possessing POP connection. different high users expect different services from mobile phone. Thus. - The post-paid connection holders get an itemized monthly bill mentioning. As we know. mobile originating and terminating charges. 44 . because. • Advantage of unique V. it is wise to post-paid connection. SMS originating & exterminating charges etc.Under postpaid connection.S. Some more details about this are as following: BENEFITS OF POSTPAID CONNECTION: The benefits of possessing post-paid connection may be given as following: • Always connected. For those who are high of users of mobile phone. Unlike pre-paid connection the mobile phone does not get disconnected with the de-activated of SIM card. • More economical for high users. the mobile user is allowed to use the mobile services being provided and makes payment of the charges thus subjected to at the end of the billing period.A.
This includes OTC plans.. pre-activated SIM & low Rental Under this the user gets connected to the Airtel POP Services CHARGES IN POP CONNECTION: These are classified under three heads 1. This is a nonrefundable amount. Generally the customers with high rentals and more usage are targeted.A.Security Deposit: This varies between Rs.S.1000/.Activation Charges: The activation charges vary from plan to plan for high rental plans. Connect & Retail. CONNECT: after AV/CV. This is more suitable for regular local area users. These two are discussed as under: A. after adjustment of pending dues. Rs. RETAIL : Plans. which is refundable on surrender. The credit limit is generally equal to the amount of security deposit. 2. which has been discussed later in the project.for POP Connection. 500/.to Rs. viz. B. CHANNELS OF DISTRIBUTION: For post paid connections there are basically two channels of distribution.500/. 45 .is charge on a pre-activated instant-card.- Airtel is bringing in a wide range of V.
This refers to the incoming calls being received by the received.This refers to the SMS received by the user.Plan Enrolments: This is a non-refundable one time investment made in order to get enrolled into a plan. viz. Traveling & waiting time no longer a bore. V.This refers to the SMS sent by the user.A.This refers to the calls being made by the user. SERVICES: 46 .CALL MGT. SMS made/ received while on roaming. Mobile originating.S. SMS terminating. BILLING IN CASE OF POP-CONNECTION: This billing in case of POP connection constitute of three Components. CONSTITUENTS: I. Mobile Terminating. Your Mobile your best friend. 1) Monthly Rentals. 2) CLIP Charges. a) b) c) users. 3) Itemized Billing. This consists of the following. d) e) f) SMS originating. VALUE ADDED SERVICES: DEFINITION: • • • Stay connected and updated where as you are.3. Other than this the itemized bill also gives a break up of the calls made/ Nominal charge-Helps to track the usage pattern.
4. CLIP.1. Conference Call: Teleconferencing up to five people at a time. It includes transmission of following media types : a) b) c) Text Picture Audio 47 . 2. Call Barring: Call is barred if bill goes above the credit limit.R. mobile VMQ.) : It is a non-voice application for enhanced user connectivity. III.GENERAL PACKET RADIO SERVICE ( G. It is possible to type a text up to 100 characters.S. a) b) c) Internet on mobile Wireless Surfing MMS BENEFITS: a) b) allways connected No modem required for internet connectivity. Call Divert: Diverts incoming calls to the specified L/L. II.MESSAGING SERVICES: 1Short Messaging Service (SMS) It facilitates sending & receiving of text messages. Call Wait: During conservation. alerts the user about another incoming call.P.Calling Line Identification Presentation. 5. Displays the incoming Call number or name on Mobile screen. 3. It enables. 2Multimedia messaging services (MMS) : It is a total communication experience.
Airtel Telemedia Services Enterprise Services. secure Internet access as soon as you switch on your computer. IV. The Enterprise services provide end-to-end telecom solutions to corporate customers and national & international long distance services to carriers.ROAMING: 1. National Roaming (STD) It enables the subscriber to make and receive calls which traveling outside the home network within the country. International Roaming (ISD) It enables the subscriber to make & receive calls which traveling outside the home network outside the country. 48 . Airtel Telemedia Services: Airtel is offering broadband & Internet services across 94 cities in India. The mobile business provides mobile & fixed wireless services using GSM technology across 23 telecom circles while the Airtel Telemedia Services business offers broadband & telephone services in 95 cities.d) e) Video Combination of all the above. It also gives you the power of limitless. 2. All these services are provided under the Airtel brand. It is powered by DSL technology which gives you blazing-fast.
With speed of up to 2Mbps. No more waiting for dial-up to connect. You are ready to use the internet as soon as you switch on your computer. 49 .The world class infrastructure & end-to-end digital network of underground copper cable lines ensure an extremely robust connection that eliminates the risk of damage. It works for round-the-clock. Surf while you talk . No more disconnections in the middle of download. Airtel Broadband Services connection does not block existing telephone lines and allows one family member to use the phone while another member surfs the net. paying bills to making new friends and not to mention endless fun & learning for children. Power Surfing . Superior server technology and a dedicated port provide total security to data storage and information exchange through the Internet. Shop.discovery on Internet – from shopping to banking. What’s more. all thanks to an extensive Broadband Services infrastructure. The Why wait to connect . The customer feedbacks are carried out with great care. feel the excitement of doing more on Internet. the internet is always ON. download MP3. exchange heavy files and chat at an enviable speed. always available. you only pay for what you use. 24x7 customer supports – The 24x7 customer support unit helps you to serve better. 365 days a year.With Airtel Broadband. Robust installation . Speed on demand – The customer can enjoy a dedicated speed of up to 2 Mbps without having to change your subscription plan.No more missed calls or blocked telephone lines while using the internet.
online payment. Act transparently and couragebly. 50 .Easy payment method. Payment options – Airtel offers you a number of payment methods like cash payment. Credit card method. DEL – Direct Exchange Line – Land line Phone (Voice) DSL – Digital Subscriber Line – for data Telephone Instrument Touchnet Dial-up-service Business focus of Bharti Airtel Broadband and Telephony Services. Reduction of error level. Organizational Culture of Bharti.Airtel along with F–Secure. Products of Bharti Airtel Broadband and Telephony Services. Operational excellence Reducing churns Tightening cost Utilizing capacity Quality Policy of Bharti Airtel broadband and Telephony Services. one of the best in PC security. ECS. You can choose any one of the method for paying the cash. check drop boxes.Airtel PC security . Cut hierarchy to where knowledge resides. Reduction of cycle time. provides you with a service that tries to answer a Broadband customer’s most frequently asked question “Is my PC safe?”. Reduction of operating cost.
Mr. In marketing department there are different segments such as SME. In this two and a 51 . Centralized reporting system Customers of Bharti Airtel Broadband and Telephony Services. PCO. Residents Small and middle enterprises PCO’s(public call office) Corporate’s Competitors Of Bharti In Broadband And Telephony Services.Anand is the Zonal Manager and he is the person who is leading the marketing department. Mass and Cooperates and there is a market construct department.Process focus of Bharti Airtel broadband and Telephony Services. Cochin. Bsnl Relience Tata indicom Asianet AIRTEL Broadband and Telephony Services. Process standisation and customization Best practice replication Speed of urgency Strategy Of Bharti Airtel Broadband And Telephony Services. The Bharti Airtel landline and broadband services has there in the market of Ernakulam for last two and a half years. There are altogether 250 employees in AIRTEL at Cochin.
half year time they have made there own identity in the market has a landline and broadband service provider with a good number of high pulsing customers. Marketing & sales 2. 1. technicians and customer care service. IT 8. Quality management 6. Kochi. Training and development HOW A CALL IS MADE : Airtel to other Mobile Operator CALL ROUTING : Airtel to P S T N 52 . Human resource & administration 5. SME. As a new comer to the landline and broadband field in which there are many other competitors they were able to make profits and also they were able to make their customers satisfy with their service. PCO and Corporate. They have their customers in Mass (Residents). Departments in Bharti Airtel Landline and Broadband Services. They have a good number of efficient managers. Technical 7. Customer service desk (csd) 4. Finance 3. sales officers.
From the market perspective. India is a lucrative market even though the per capita income in India is low and it remains a huge market. 54 . Among the total 164. India is a big country with 28 states.0 Introduction This study on Indian consumer behavior is aimed at helping Malaysian businessmen to get a better understanding of the Indian market place thus enabling them to embarkon selected strategies to effectively reach the Indian consumers. 8. in close to 0. followed by 50.8 million households in India. Three-fourths of India’s population lives in rural areas. This rural population is spread all over India. people of India comprise different segments of consumers.4 million lower middle income households ( US$ 581 to US$ 1162).7 million households comes under low income group ( <US$ 581 ). and income.8 million high income group (>US$ 2465).7 million middle income group (US$ 1162 to US$ 1190 ).2 million upper middle income group (US$ 1790 to US$ 2465) and 5. even for costly products. and contribute one-third of the national income.CONSUMER BEHAVIOR IN INDIA 1. over one billion people and 120 dialects/languages. based on class.6 million villages. status. An important and recent development in India’s consumerism is the emergence of the rural market for several basic consumer goods. 19. 80.
This orientation in fact. one sees traditional products along side modern products. 55 . and spend a good amount on luxury goods. luxury brands have to design a unique pricing strategy in order to get a foothold in the Indian market. They prefer to shop in specialty stores. Even. Perhaps.1 The Socialites Socialites belong to the upper class. These values are far more dominant that values of ambition and which communicate feelings and emotions gel with the achievement. hair oils and tooth powder existing with shampoos and toothpaste. Such orientation to value has labeled Indians as one of the most discerning consumers in the world. Apart from psychology and economics. Brands with identities that support family values tend to be popular and accepted easily in the Indian market. go to clubs on weekends. care and affection. the role of history and tradition in shaping the Indian consumer behavior is quite unique. For example.2. They are always looking for something different. extends to the extended family and friends as well. Indian consumers have a high degree of family orientation. Indian consumers are also associated with values of nurturing. 3. only in India.0 Different Segments Of Indian Consumers 3.0 Characteristics Of The Indian Consumer Behavior The Indian consumers are noted for the high degree of value orientation. Product Indian consumers. They are the darlings of exclusive establishments.
They look for durability and functionality but at the same time are also image conscious.2 The Conservatives The Conservatives belong to the middle class. The conservative segment is the reflection of the true Indian culture. cautious in their approach towards purchases. they seek a lot of information before making any purchase. 3. Working women have their own mind in decision to purchase the products that appeal to them. but often have to settle for the more affordable one. if not better.3 The Working Women The working woman segment is the one. They prefer high value consumer products. spend more time with family than in partying and focus more on savings than spending. proving herself to be equally good. 56 . she is rubbing shoulders with men. These habits in turn affect their purchasing habits where they are trying to go for the middle and upper middle level priced products. Today. They are traditional in their outlook. This segment has opened the floodgates for the Indian retailers. Socialites are also very brand conscious and would go only for the best known in the market. Slow in decision making. 3. which has seen a tremendous growth in the late nineties.They go for high value. exclusive products. The working woman today has grown out of her long-standing image of being the homemaker.
000/.per annum.000/.1 The Rich The rich have income greater than US$11. There are less DINK families here than in the rich category. They spend more on leisure and entertainment-activities than on future looking investments. They aspire. There is no typical profile of the ultrarich. belong to this category.per annum. 57 . They buy many durables and are status conscious. 4.000/. Some of them in this category are Double Income No Kids (DINK) households. Across the category. There are some DINK households of middle-level executives. The number of households in this category is 98.2 The Super Rich The Super Rich have income greater than US$22.058. Total household having such incomes are 1.3 The Ultra Rich The Ultra Rich have income greater than US$44.961.900. backgrounds are distinctly middle class.per annum. Total number of households is 320.4. therefore. These people are upwardly mobile.0 India’s Rich India’s rich can be categorized into five major categories as follows: 4.289. Some single earning households are of first generation entrepreneurs. The Super Rich are mainly professionals and devoted to consumerism. to attain the super-rich status. who have been rich for a long time. 4. Some rich farmers.
A variety of people belong to this category. Such households are 20. 4.000/. 5. There are joint families as well as nuclear families in this category.515 such households in India. They crave for exclusivity in what they buy. They own multiple cars and houses. They aspire to social status and power. They are first-generation entrepreneurs who have made it big. Some of them are techies. They are just equivalent to the rich in the developed countries. Most premium brands are relevant to them.4 The Sheer Rich The Sheer Rich is made up by households having income exceeding US$110.per annum. specially in the Indian cities. They consume services greatly. the spill over effect of the growing urban middle class is also felt in the rural areas. There are hardly 6.per annum.0 Rural Consumer About three quarters of the Indian population are in the rural areas and with the growing middle class.863. adding more than 1 million new consumers every year and now accounts for close to 50% of the 58 .000/. They do not have a homogenous profile.5 The Obscenely Rich The Obscenely Rich is made up of households having income exceeding US$222.4. The Indian rural market has been growing at 3-4% per annum.
The consumer also seeks to purchase from a place where his/her feedback is more valued.0 Increasing Awareness Of Indian Consumers Over the years. there is a significant increase of consumer awareness among the Indians. it is becoming an important market place for fast moving consumer goods as well as consumer durables. 7.25 billion by 2010 from the present US$ 11. 6. The Indian consumers are price sensitive and prefer to buy value for money products. as a result of the increasing literacy in the country. Indian consumers are now more aware and discerning. exposure to the west.volume consumption of fast-moving consumer goods (FMCG) in India. satellite television. products and the market and are beginning to demand benefits beyond just availability of a range of products that came from ‘trusted’ manufacturers. The market size of the fast moving consumer goods sector is projected to more than double to US$ 23.16 billion. This awareness has made the Indian consumers seek more and more reliable sources for purchases such as organized retail chains that have a corporate background and where the accountability is more pronounced.0 Marketing Strategies 59 . foreign magazines and newspapers. Today more and more consumers are selective on the quality of the products/services. As a result. and are knowledgeable about technology.
rediff.expomarkets.2 Celebrity Influence This is an important tool which is able to influence Indian consumer buying behaviour.com www.shopping.com www. Their activities and movements are being 60 .1 Online Marketing A study by the Confederation of Indian Industry (CII) and the International Trade Centre predicts that e-commerce activity in India will rise from US$ 0.8 billion in 2005-06. books.7.ebay. CDs/VCDs/DVDs. medicine and educational material. In India. The popular online shops in India include: • • • • www. clothes. the products Indian consumers are buying through online are greeting cards.tribuneindia.shopping. celebrities are being increasingly used in marketing communication by marketers to lend personality to their products. magazines.reliablegreetings.in www.com 7. Celebrities create headlines.htm Currently.com/2002/20021230/login/index. cassettes.http://www. With the visual media becoming more popular the use of celebrities in the TV media has increased.41 billion. of which the business to business segment will account for US$ 5.10 million in 2000-01 to US$ 5.
In India especially. he or she is more likely to accept what the celebrity says about the advertised product and therefore will develop more positive feelings toward the advertisement and the brand itself. the advertisements that celebrities endorse also achieve high recall rates. they pay more attention to them. When a consumer likes the celebrity in the advertisement. The contact addresses are given in the appendix-1. Famous celebrities are able to attract attention and retain attention by their mere presence in the advertisements. In the midst of the advertisement clutter. The Malaysian businessmen can contact celebrities for endorsing their products through advertising agencies. 7. it is not difficult to look for the reasons as to why companies are increasingly using celebrities. What they endorse sell like hot cakes. Celebrities may also help reposition products. When people see their favoured reference group members or celebrities in the advertisements. Indians always love their heroes and heroines. Products with sagging sales needs some boosting and in this Indian celebrities can help by way of they endorsing the product concerned.closely watched and imitated. It is not surprising therefore that using celebrities in advertisements has become common practice. Consumers like advertisements more if they are admirers of the celebrities in the advertisements.3 Quality Oriented Outlets 61 .
soaps. detergent. TVs. Freebies are consumer products given free of charge as gifts to purchases of selected products above a certain value. refrigerators. Freebies generally comprise tooth paste. However. Malaysian businessmen who prefer not to go for high-visibility. 7.Indian consumers looking for quality choose expensive brands as they feel that price is an indicator of quality.4 Freebies Indian consumer buying behaviour is influenced by freebies. and ready made clothes are some of the product categories in which freebies are given to Indian consumers. Malaysians can work with the local business partners to attract the consumers by way of such promotion campaigns. cooking oil etc. Some of the established retail outlets in India for selected products are found in Appendix II. 62 . Malaysian companies wanting to penetrate the Indian market. washing machines. in the absence of well known brands in selected product range. costly campaigns may embark on the strategy to engage well known retail outlets to capture the segment of Indian consumers looking for quality products. perhaps should consider giving freebies for the purchases made by the Indian consumers. consumers that these outlets are likely to take cues from well established retail outlets hoping carry quality products.
The popular growing shopping trend among urbanities is purchasing from super markets to hyper stores.7.1 Bulk Purchasing Urbanisation is taking place in India at a dramatic pace and is influencing the life style and buying behaviour of the consumers. Consumers in India are taking lead in prompting manufacturers to adopt technologies to produce eco-friendly products.0 Changing Trends In Indian Consumer Behaviour 8. In general. Bulk purchases from hyper stores seems to be the trend these days with purchasing becoming more of a once-a-week affair. they take less pain in traditional method of cooking and cleaning. rather than frequent visits to the neighbourhood market/store/vendor. The future key for marketing could be to select more ethical and ecological responsible products and packaging. The working urbanites are depending more on fast and ready-to-serve food. thus. balancing environmental concerns with commercial considerations. 8.5 Eco-Friendly Products The environmental awareness in India has started affecting marketing of products based upon their eco-friendliness. Indian consumers are likely to buy environmentally responsible products and packs. which is also convenient for consumers. 63 .
Indian consumers have also developed lifestyles which have emerged from changing attitudes and mind sets. • • • • • • • • • • Beverages Packed food Ready to eat food Pre-cooked food Canned food Personal care products Footwear Sportswear Toys Gift items Foreign brands vie increasingly with domestic brands for the growing market in India. Malaysian. they include items such as. Italian furniture are growing in popularity in India. There is an increase in positive attitude towards western trends. Foreign made furniture is well accepted by the Indian consumers. exposure to western influences and a need for 64 . The Indian consumer has become much more openminded and experimental in his/her perspective.8.2 Trendy Lifestyles The current urban middle and upper class Indian consumer buying behaviour to a large extent has western influence. Chinese. Foreign brands have gained wide consumer acceptance in India. There is now an exponential growth of western trend reaching the Indian consumer by way of the media and Indians working abroad.
0 Consumer Spending Behaviour The Indian consumer spending has increased from US$ 133.3 Buyers’ Market In The Making The sellers’ market is slowly moving towards becoming the buyers’ market. they now have a choice of foreign products vis-à-vis the local products. Beauty parlours in cities. eateries. watches. 8.13 per cent at current prices. Indian consumers have always preferred foreign goods and with the liberalization.self-gratification. a compound annual growth of 10. designer wear.Since.74 in 2002-03.60 in 1992-93 to US$ 350. The way Indian consumers are spending their money on various items has changed in recent years. Import licensing restrictions are being eliminated and tariffs significantly reduced and this has led to large range of consumer goods made available in India. many new product offerings have entered the Indian market and product variety has also increased manifold. hi-tech products are a few instances which reflect these changes. 9. The share being spent on the basis (food and beverages) has fallen from 65 . India’s economic liberalization policies were initiated in 1991.
53 for non-food. Consumer expenditure has been in tandem with the annual GDP growth.00 for food and US$ 13. Food expenditure included US$ 2.67 was spent on milk. milk products.25 for cereals and cereal substitutes. edible oil and US$ 2.78. and US$ 1.56 for non-food.2 per cent.37 went towards cereals and cereal substitutes while US$ 3. footwear and US$3.11 for fuel and light.16 on others.54. Other items have increased in importance. US$ 2. For the urban sector. a compound growth rate of 19.65 on clothing and footwear and US$9.5 per cent of total expenditure over the same period. vegetables. Similarly spending on transport and communication has grown at 13. and US$ 5.96 on other food items. Of food expenditure. for example. average Monthly Per Capita Consumer Expenditure (MPCE) of US$ 23.45 on other non-food expenditure.5 per cent to 8. While the Compound Annual Growth Rate (CAGR) in total consumer spending has been around 12 per cent a year over the past decade. and US$ 2. 66 . for food. milk products. Non-food expenditure included US$ 1.34 was split up into US$ 6.11 was spent per person per month on fuel and light. For rural India. there have been sharp ups and downs. on an average.77 on other non-food items. US$ 2.00 for clothing.53 was split up into US$ 10.71 per cent.37 for milk. and another US$1. per capita 30 days' consumer expenditure of US$ 12.07 per cent in 1992-93 to 44. medical and healthcare spending has increased from 3.8 per cent in 2002-03. vegetables and edible oil and US$3.
190) spends more on consumer expendables than the rich. In India. education. the higher income group (>US$2.465) spends more amount of their income on luxury goods and trendy products than fact moving consumer products. The gap between rural and urban averages of MPCE was of the order of US$ 11.16. fuel and light.Urban expenditure levels per capita exceeded rural levels for all the product groups. beverages etc. except on cereals and cereal substitutes. The middle income group (US$1.55. The item-groups viz. miscellaneous consumer goods & services. where it was about US$ 5. conveyance and rent contributed to the gap significantly. The average monthly per capita expenditures on cereals and cereal substitutes for rural and urban areas are very close to each other.0 Conclusion Top class. Non-food expenditure per person in the urban sector was more than double of that for the rural sector. 10. Combined the middle and the lower income group provide 60 per cent of the value of the Indian market. 67 . middle class and lower class are income related classifications of the population and each of this class has its own consumption pattern.162 – US$1. milk and milk products.
For the Indian market, Malaysian exporters/manufacturers should see the substantial middle class and base the market demand/projections on this roughly estimated at 250 million people with substantial disposable income.
The telecom industry is one of the fastest growing industries in India. India has nearly 200 million telephone lines making it the third largest network in the world after China and USA. Telecommunication sector in India can be divided into two segments: Fixed Service Provider (FSPs), and Cellular Services. Fixed line services consist of basic services, national or domestic long distance and international long distance services. The state operators (BSNL and MTNL), account for almost 90 per cent of revenues from basic services. Private sector services are presently available in selective urban areas, and collectively account for less than 5 per cent of subscriptions. However, private services focus on the business/corporate sector, and offer reliable, high- end services, such as leased lines, ISDN, closed user group and videoconferencing. Market Share of Public and Private Players Both fixed line and mobile segments serve the basic needs of local calls, long distance calls and the international calls, with the provision of broadband services in the fixed line segment and GPRS in the mobile arena. Traditional telephones have been replaced by the codeless and the wireless instruments. Mobile phone providers have also come up with GPRS-enabled multimedia messaging, Internet surfing, and mobile-commerce. The much-awaited 3G mobile technology is now entered the Indian telecom market. The 68
GSM, CDMA, WILL service providers are all upgrading themselves to provide 3G mobile services. The telecom sector in the country has already adopted the latest technological advancements to cater to the demands of the growing market. Telecom Expo India, Convergence India, VAS India and IPTV India being organized year to year are all efforts in this direction.Moreover, with cheaper handsets and lesser tariffs, it is expected that by the year 2010 there will be over 500 million subscribers in the Indian telecom market. Also, the telecom industry this year will be focusing more on rural areas to connect them with the urban areas so that the farmers and the small-scale industries can have faster access to information related to weather and market conditions.
TELECOM REGULATORY AUTHORITY OF INDIA
The TRAI was set up in Mar ’97, to arbitrate between Department Of Telecommunication and Private Operation with respect to licensing issues technical
compatibility and traffic settings. However, since the role of TRAI under the TRAI Act was unclear, protract acted litigating ensued. IN an effort to remove ambiguities and put an end to controversy surrounding the regulatory authority, in Jan’ 00, the government promulgated the TRAI in Jan’00, to reconstitutes the power of TRAI. The role of TRAI has been redefined and it has been bifurcated into two bodies’ one acting as a regulatory and the other acting as an adjudicator, in the formal of tribunal. The new TRAI sets and tariffs and fixes terms and condition under which operators can interconnect with other and the government is required to seek recommendation from the authority before issuing the license. The judicial power has been vested with the Telecom Dispute Settlement and Arbitration Tribunal (TDSAT).
ti Airtel Fact sheet
as a Public Limited Company Proportionate Revenue Rs. 42.897. Mumbai (BSE) The National Stock Exchange of India Limited (NSE) Market Capitalization Market Capitalization(as on May 2009) Approx Rs 1.2007) As per Indian GAAP Accounts Proportionate EBITDA Rs.6Cr (as on June 30.3Cr (as on June 30. 5404.Name Bharti Airtel Limited. Business Description Provides mobile. telemedia services (fixed line) and enterprise services (carriers & services to corporates) Established July 07. 2006Audited) As per Indian GAAP Accounts Shares in Issue 1.148.464 as at June 30.696 billion 71 . 2007 Listings The Stock Exchange.2009) Rs. 2009) Rs. 8483.407 million (as on June 30. 74.250 million (year ended March 31. 1995.
239 telemedia customers (Status as at month ended March 31. (as on June 30 2008)-61% increase in a year.487 GSM mobile and 2.17Cr.: +91 11 4166 6000 Fax No. Operational Network Provides GSM mobile services in all the 23 telecom circles in India.110 030 Tel. Registered Office Bharti Airtel Limited (A Bharti Enterprise) Qutab Ambience (at Qutab Minar).: +91 11 4166 6011/12 Proprtionate 24. Customer Base 96. 2009) Total 7. No.2% (as on June 30 2008) as compared to 72 .726. Mehrauli Road. New Delhi . Provides telemedia services (fixed line) in 94 cities in India.649.Closing BSE share price =Rs 793. and was the first private operator to have an all India presence.
of respondents 57 39 4 100 Chart 1 Percentage 57 39 4 100 73 . The growth in subscribers in the 1 st Quarter of the FY09 was highest ever. For the first quarter of FY’09 Company’s expected sales was 7401Cr but the company sold 8506Cr. The company beat expectations with 44% year on year growth in revenue and operating profit. But company generates 2210Cr. Company expected net profit of 1716Cr. Analysis and Interpretation Table showing necessity of net connection in the organization Table 1 Opinion Very much needed Some what needed Not so needed Total No.Market Share ARPU 23.1% (as on June 30 2007) Rs 350(as on June 30 2008) Rs 357(as on June 30 2007).
Table showing the type of connection used in the organizations Table 2 Connection type Broadband Dial-up GPRS others Total No.The Interpretation is that 57 % of the organizations are primarily depending on Internet usage. Only 4 % of the organizations are thinking that internet is not necessary for doing there business. of respondents 100 0 0 0 100 Chart 2 Percentage 100 0 0 0 100 74 . And 39 % of the organizations are using it as supporting activity for doing their business.
The Interpretation is that all of the sample units were using Broadband connection and none of them were using other type of connection for organizational usage. Table showing number of systems used in organizations Table 3 Number of systems Lesser than 10 10 – 20 21 – 30 Greater than 30 Total No. of respondents 76 16 4 4 100 Percentage 100 16 4 4 100 Chart 3 75 .
of respondents 45 37 13 5 100 Chart 4 Percentage 45 37 13 5 100 76 .The interpretation is that 76 percentage of the organization is having less than 10 systems. Only 4 organizations are having between 21-30 and greater than 30 systems. Table showing telecom expense for voice Table 4 Amount Below 2500 2500-5000 5001-1000 Above 10000 Total No. Sixteen percentages of organizations are having between ten to 20 computers.
Table showing telecom expense for Data transmission Table 5 Amount Below 2500 2500-5000 5001-1000 Above 10000 No. 37 % of the customers have billing between 2500 and 5000.The interpretation is that around 45 % of the customers in the sample have voice billing below 2500 Rs. of respondents 20 38 37 5 77 Percentage 20 38 37 5 . Only 5 customers have billing above 10000. And 13 % of the customers have billing in between 5001 and 1000.
Total 100 Chart 5 100 The interpretation is that 20 % of the customers have Data (internet) billing below 2500/.. The remaining 5 % of the customers have data billing above 10000/.Rs. Table showing reason for choosing Airtel broadband connection Table 6 Characteristics Offers Service quality Speed & security of Data Brand Name Total No. 38 % of the customers have billing in between 2500 and 5000. of respondents 13 37 30 20 100 78 Percentage 13 37 30 20 100 . 37 % of the customers have billing of between 5001 and 1000.
It also shows the brand name also has some implication before choosing Airtel Broadband services.Chart 6 The interpretation is that only 13% of the customers preferred Airtel broadband because of offers. 20% of the customer has chosen Airtel because of the brand name ‘Airtel’. Table showing customer rating of speed of Data transmission Table 7 Ranking Poor Fair Good Very good Excellent Total No. The highest 37 % of the customers preferred Airtel because of the quality of service offered by Airtel. The second most 30% of the customers have preferred because of the Speed of internet service. of respondents 6 21 55 16 2 100 Chart 7 79 Percentage 6 21 55 16 2 100 .
The interpretation is that around 55% of the customers rated the speed of data transmission is very good in Airtel broadband. Only 6% of the customers are worried about the speed. 2% of the customers rated it as Excellent. Table showing customer rating of Safety of Data transmission Table 8 Ranking Poor Fair Good No. of respondents 6 20 47 80 Percentage 6 20 47 .
Table showing customer rating of security of Data during processing Table 9 Ranking Poor Fair Good Very good Excellent Total No. Only 6 % of the customer feels it as bad. of respondents 3 25 45 19 8 100 81 Percentage 3 25 45 19 8 100 .Very good Excellent Total 22 5 100 Chart 8 22 5 100 The interpretation is that 47% of the customers rate safety of data as good. 22 % of customers ranked it as very good. The customer who ranked it excellent contributes 5 % of the sample size.
Chart 9 The interpretation is that 45 % of the customer has ranked network security in Airtel broadband connection as good. of respondents 10 15 38 25 12 100 Chart 10 82 Percentage 10 15 38 25 12 100 . Only 3% has ranked it as poor. Some 19 % has ranked it as very good. Table showing customer ranking of usage experience Table 10 Ranking Poor Fair Good Very good Excellent Total No. 25% of the customers has ranked it as fair.
Also 10 % of the customer rated it as poor. 12% of the customers ranked it as excellent. Table showing customer rating of after sales service Table 11 Ranking Poor Fair Good Very good Excellent Total No. of respondents 13 14 35 26 12 100 Chart 11 Percentage 13 14 35 26 12 100 83 .The interpretation is that around 38% of the customers has ranked the usage experience was good. 25% of the customers ranked it as very good.
Some 26 % rated it as very good and 35% as good. But the concern is that 13 % of the customer also feel that the after sales service is poor. 12% of the customer has rated the after sales service as excellent.The interpretation is that. of respondents 7 27 53 13 100 Chart 12 84 Percentage 7 27 53 13 100 . Table showing customer rating of How Airtel helped them solve their problem Table 12 Ranking Poor Fair Good Excellent Total No.
The interpretation is that 13 % of the customer feels that the connection with Airtel broadband helped them to solve their network related problem which exists in earlier. it was good. 27% of the customer felt it was fair. of respondents 45 35 10 10 100 Table 13 85 Percentage 45 35 10 10 100 . Table showing Rating of Airtel broadband with other competitors in the same category Table 13 Ranking Much better Some what Same Worse Total No. Only 7% of the customer felt it as poor solving their network problem. Most of around 53 % felt that.
of respondents 7 11 19 44 19 100 Chart 14 Percentage 7 11 19 44 19 100 86 .The interpretation is that around 45 % of the customers feel that Airtel broadband is much better than other products in this category. 35% customer feels that Airtel broadband is somewhat better than competitor products. And 10% of customer feels that it is worse than its competitors. Around 10% of the customer feels that it has the same service as that of competitors. Overall satisfaction level of Airtel broadband customers Table 14 Ranking Highly dissatisfied Dissatisfied Average Satisfied Highly satisfied Total No.
3. 44% of the customer is satisfied with the overall service offered by the service. 87 . Around 7% of the customer are highly dissatisfied bye the service. Quality of the service provided plays an important role in keeping the existing customers and to bring new customers. Most of the organizations prefer broadband connection over other type of connection because of speed and other compatibility of service.The interpretation is that 19% of the SME customer is highly satisfied with the overall service provided by Airtel broadband. Internet plays an important role in the day to day activities. 2. Findings 1. In most of the organization.
Suggestions On completion of the project work “Customer perception towards Airtel broadband service among Small and medium scale industries (SME) customers of Cochin. Many customers have rated the speed of data transmission is very good. 6. Airtel with its own PC security suite helps organizations protect its data from theft and prevents it from harmful attacks. The safety and security of Airtel network is rated very well by most of its customers. Customers feel Airtel broadband was much better than other competitive products of the same category. 8. After sales service plays essential part of customer satisfaction. More than 10% customers have complaints regarding the after sales service of Airtel broadband. I would like to give my suggestions which the company can make use of:1. The overall satisfaction level is very high among customers. Safety of data is very important in any type of organization. 9. Some customers had complaints regarding the speed. A number of the organization preferred Airtel because of the quality of service provided and also for the speed of data transmission.The customer rate quality of the service as the most relevant one and hence Airtel Broadband services should 88 . 5. 7. This shows the place Airtel has achieved in the minds of the customer in Kochi region.4. But a number of customers have reported it excellent and very good. This is mostly due to number of systems connected by single broadband connection.
3. 6. maintain the quality in services and should make improvements in this feature. So the company must provide an awareness program about the specialized plans for them. 4. So the dissatisfaction may be due to providing wrong plans by the sales persons. It is free of cost in its competitors like BSNL. 5. So the company could provide the service as free of cost. So the company can make use of this opportunity to retain its customers by providing the right plans. This will reduce the chance for dissatisfaction. Though it is a small percentage the company should focus on these to keep the brand image in the minds of people. SME segment is a high potential market (especially in Cochin) and the company should take care of more promotional activities in which advertisement plays and effective role and hence to have a competitive edge over other brands. If any complaint is observed from the customers. it should be dealt quickly.2. Lack of awareness about the plans is high among customers. The detailed billing is provided as a value added service in Airtel broadband. Many dissatisfied customers asked for more information about other plans or change of plans. TERMINOLOGY • • • • handsets ) 89 GSM – Global System For Mobile Communication. 7. GSM-900 –Frequency Level ( Mono Band Handset ) GSM-1800-Frequency Level ( Dual Band ) GSM-1900( Tri Band . Some customers are planned to discontinue because of high billing and after sales service is not good. It will help customers clear their doubts about billing and hence to improve their satisfaction level.
6. 4. 3.International Mobile Subscriber Identity (15digits) IMEI.Call Detail Records PSTN-Public Switched Telephone Network 90 . SIM – Subscriber Identity Module ( 19 digits ) SIM designator-89 Country code -91 Network code-35 Vendor identifier-01 mmyy-0402 Unique SIM number-123456 Check digit-8 • • • • • • • • • PIN-Personal Identification Number (4digits) The default PIN for Airtel SIM cards is 1234 PUK-PIN Unblocking Key (8 digits) IMSI.International Mobile Subscriber Equipment Identity*#06# IVR-Interactive Voice Responcse WAP. 5.General Packet Radio Service MSC-Mobile Switch Centre • • • • • • • BSC-Base Station Controller BTS-Base Transceiver Station AUC-Authentication Centre HLR-Home Location Register VLR-Visitor Location Register CDR.• 1.Wireless Application Protocol GPRS. 7. 2.
Address Verification / Credit Verification RC.Frequently Asked Question AIRTEL STRATEGY.Recharge Coupon MO. highest TOMA in UP East.Enhanced Full Rate SEF-Subscriber Enrollment Form VAS.Value Added Services FAQ. Fastest growing network coverage 400 sites Services differentiation : Customer Delight Quality : Towards Six Sigma 91 .Mobile Originating MT.• • • • • • • • • AV/CV.Mobile Terminating CDMA-Code Division Multiple Access EFR.KEY DRIVERS brand .
1 Aggressive penetration . Drive VAS : Innovative always no. market distribution and expression. POST PAID BENEFITS More economical for high users Different plans to suit individual’s need Experience complete freedom Itemized monthly bill Easy billing STD/ISD Facility Roaming (national / international CLIP Call Divert Call Hold Call Wait Voice Messaging SMS 646 Voice Portal 678 Hello Tunes MMS 92 .
SWOT ANALYSIS S t r e n g th s 93 .
Premium priced products. 94 . It has a clear and well-defined organization structure and limits of financial authority. No separate strategy for rural market. Weakness: Little efforts over the Advertising of products. hence can’t compete in low price segment. Increase in advertisement spends affect the company’s margins. The company‘s bottom line falls victim to the bloated and highly paid workforce. It has a strong brand name. superior quality products and an enviable distribution network. Distribution channel is not accurately categorized.Being one of the largest companies in India the company has achieved a degree of focus in its core business of its products. which affects its margins.
Airtel’s business has ample scope for gaining market share from the unorganized about growth. sector.O p po rt un i t ie s : The company's financial performance can receive a major boost from its cost reduction efforts. Moreover. inordinate hike in Broad Band Internet products would also increases company’s production and distribution cost. Exports of products will also have huge chances in the coming years. Fluctuations in the prices of raw materials would have significant impact on costs and margins of the company. 95 . Rural penetration too holds vast potential to bring Th r e a t s The slowdown in the economy has restricted topline growth of most FMCG majors and for Airtel also it will be difficult to maintain historical growth rates in such a depressed scenario. There is a lot of scope of product and market diversification.Company’s major raw materials are influenced by government policies /controls as well asvagariesofthe monsoons.
The company should offers such rate in the market so that it may able to catch a biger market share and it should be able to compete with the local traders and commission agents while having a brand name.RECOMMENDATION I have made following recommendation to the company after doing the summer training there: The company should modify its credit policy as they only target the cash paying customers who are not easy to trace. The company should emphasis more on the quality of Pharmaceuticals Products it was mostly claimed by the exporters that their receipts from company doesn’t matches with the sample’s quality shown before giving orders. The company should take the opinion of exporters from time to time to know what problems they are facing from the company’s side? and if any change they require in present supplying condition? 96 . as it has been recommended by exporters to make the delivery on time. The company should makes its marketing strategy flexible enough in orde to face competition. The company should keep an eye on the proper delivery of the goods to exporter on time. The company rate policy must be flexible enough to catch new customers because if company offers lower price to a new customer then he may continue buy the goods and can be a permanent customer for the company.
which may restrict the scope and completion of study. e) Majority of the customer were too aggressive in nature. c) There may be error due to bias of respondents. The following points in this direction would add to our total deliberations:- a) The behavior of the customer while approaching them to fill the questionnaire was unpredictable.LIMITATIONS No project is without limitations and it becomes essential to figure out the various constraints that we underwent during the study. f) The sample was restricted to 300 customers. b) The shortage of time was another constrain for the study. 97 . d) Lack of customer’s cooperation was a major constraint.
of people spend RS 500 on their connections. So we can say that inspite of so many competitor in the market Airtel is having a good position just because every time. it tries its best to understand the need of its important customer. Maximum no. of people who use the mobile are in the age group of 20 to 28. As Airtel is the only company having the maximum no of mobile connections so it must seriously look into the loop holes of the existing customer service department. The maximum no. 98 .CONCLUSION After analyzing the findings of the research. I can conclude that Airtel lagged behind its competitors asfar as customer service and availability is concerned. as they are consumer friendly and recharging the connection is not a problem.Cash cards are the most popular type of mobile connections. As we know that now airtel has already launched its product with logo “’ Aisi azaadi aur kahan”’ has already became popular in market.
COM HTTP://ECONOMICSTIME. MARKETING RESEARCH MAGAZINES BUSINESS INDIA BUSINESS WORLD WEBSITES: HTTP:// WWW.TRAI.LTD.ORG/WIKI/BHARTI AIRTEL#TELICOMIDIA .COAI.BIBLIOGRAPHY BOOKS KOTLER PHILIPS.COM HTTP://KHOJ.COM HTTP://WWW.COM HTTP:)//EN.WIKIPEDIA. MARKETING MANAGEMENT. PUBLISHED BY PRENTICE HALL OF INDIA PVT. AAKER KUMAR DAY.
2 Are you using other product instead of Airtel? 101 . Saharanpur doing my summer training project on consumer behavior of Airtel. I am a student of MBA of Asian College Of Management. Please give your precious time for filling these details.QUESTIONNAIRE Dear Sir/Madam. Q.1 For how long you have been using Airtel Product? 0-2 Years 2-5 Years 5-10 Years More than 10 years Q.
which Brand you. which sources are used? Magazines Dealers Sales Executives Operators reference 102 . OA B N SL Q.6 If yes. 4 How would you rate the experience with Brand? Excellent Good Average Below Average AR E I TL V D .. prefer most? Idea vodapone Airtel Q.5 Do you collect any information search before making purchase? Yes No Q.3 Among them. Yes No Q.
6. If you have to purchase a new connection or product in near Which Brand will you go for and why? ______________________________________________________________ ______________________________________________________________ ______________________________________________________________ 103 . Pamphlets and catalogue Reference from friends and relatives Any other Q. Which of these marketing / sales schemes attracts you while purchasing any connection? Good Network Discount scheme Service package Any other Q.9 future.7 making credibility What are the features you look for in a product before purchase decision? Give preferences (1-Highest.least) Brand Price and Discount After sales services and parts. network Value for money Add on features or ergonomics of design 8.
11 What are you suggestions for improving the product quality. if yes then how? Are you satisfied with these promotional activities? Very Satisfied Satisfied Somewhat Satisfied Not satisfied Customer Care By Ad Films By Camp 24 hrs call center services Q.10 Are you aware of various promotional activities being run by Airtel.Q. service availability and parts availability? ______________________________________________________________ ______________________________________________________________ ______________________________________________________________ 104 .
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