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Project Report
On
“Comparative analysis of MARKETING STRATEGIES OF
Vodafone & AIRTEL”
“BACHELORS OF BUSINESS ADMINISTRATION”
SUBMITTED BY:-
Deepanshu Tanwar
BBA 3rd sem
Roll No. 083
SUBMITTED TO
Mrs. Anjali Singh
lecturer
Jagannath international management school
Vasant kunj New Delhi

ACKNOWLEDGEMENT
I Deepanshu Tanwar, sincerely thankful to all those people who have been
giving me any kind of assistance in the making of this project report.
I express my gratitude to Mrs. Anjali, who has through her vast experience
and knowledge has been able to guide me, both ably and successfully
towards the completion of the project. I express my gratitude to Jagannath
international management school.

I would hereby, make most of the opportunity by expressing my sincerest
thanks to all my faculties whose teachings gave me conceptual
understanding and clarity of comprehension, which ultimately made my job
more easy. Credit also goes to all my friends whose encouragement kept me
in good stead. Their continuous support has given me the strength and
confidence to complete the project without any difficulty.
Last of all but not the least I would like to acknowledge my gratitude
to the respondents without whom this survey would have been incomplete.

Declaration

I, deepanshu tanwar hereby declares that the project report under title
“Comparative Analysis of Marketing Strategies of Vodafone & Airtel.” Is my
own work it is the analysis of the big scale sector of communication. This
project involves the big scale services involved in telecommunication sector
provided by Airtel and Vodafone to its customers. The survey was
conducted so as to analyze the big scale sector prevailing in the current
industry and the improvement that can be made upon it. All care has been
taken to keep this report error free and I sincerely regret for any unintended
discrepancies that might have crept into this report. I shall be highly obliged if errors
(if any) be brought to my attention.

Thank You
Deepanshu tanwar

introduction of the topic • Telecom sector in India • Airtel • Vodafone • Background • Company profile of Airtel • The magic • Comparison between marketing strategy of Bharti Airtel and Vodafone 6. objectives of the study 5.CONTENT 1. Research Methodology • Type of research methodology • Data collection method • Method of collection 7. Swot analysis 9. introduction 3. Synopsis 2. Suggestion & Conclusion 10. Recommendations 11. Bibliography . Data Analysis and Interpretation 8. Need of the study 4.

Questionnaire  . 12.

export scenario. The objective of the study is as under:- 1. To identify the difference between market performance of Airtel industry and Vodafone. To compare various parameters of marketing strategies. collaboration. 3. manufacturing process. technology adopted production policy. 5. future prospect for the two companies and government policies. advertising. To know how the company has been successful in encountering the aggressive marketing strategies of competitors. For this it is very essential for an organization to know about the view of consumers and their competitive products. This survey research may be also aimed as to estimate potential buyer for the product. OBJECTIVE OF THE STUDY Every organization has to achieve its organization goals. To study customer buying behavior and factors which influence the purchase decision process. . To study the market of Airtel Industry and Vodafone on big scale telecommunication sector. 2. 4.

Primary data was collected using the following techniques Questionnaire Method Direct Interview Method and Observation Method The main tool used was. The prime objective of the project is to compare Airtel with the existing competitor (Vodafone) in the market and the impact of WLL on Airtel. . Secondary data has been used to support primary data wherever needed. The research methodology adopted is basically based on primary data via which the most recent and accurate piece of first hand information could be collected. where a face-to-face formal interview was taken. Lastly observation method has been continuous with the questionnaire method. as one continuously observes the surrounding environment he works in. \ RESEARCH METHODOLOGY Achieving accuracy in any research requires a deep study regarding the subject. Further direct interview method. the questionnaire method.

FOR THIS PURPOSE THE INFORMATION PROVED USEFUL FOR GIVING RIGHT SUGGESTION TO THE COMPANY. THE OBJECTIVE OF SUCH RESEARCH IS TO DETERMINE THE APPROXIMATE AREA WHERE THE DRAWBACK OF THE COMPANY LIES AND ALSO TO IDENTIFY THE COURSE OF ACTION TO SOLVE IT. . Type of Research Methodology EXPLORATORY: TYPE OF RESEARCH CARRIED OUT WAS EXPLORATORY IN NATURE.

DATA COLLECTION METHOD THERE TWO TYPE OF METHOD OF DATA COLLECTION. the questionnaire method. DATA USED FOR THE RESEARCH WORK WAS PRIMARY IN NATURE. THE QUESTIONNAIRE CONSISTS OF 15 QUESTIONS. where a face-to-face formal interview was taken. Lastly observation method has been continuous with the questionnaire method. Further direct interview method. PRIMARY DATA: PRIMARY DATA IS THAT WHICH IS THE COLLECTED FOR THE FIST TIME AND THUS HAPPEN TO BE ORIGINATED IN CHARACTER. SECONDARY DATA: . QUESTIONNAIRE SURVEY: IN THE STUDIES A QUESTIONNAIRE IS PREPARED. as one continuously observes the surrounding environment he works in. • PRIMARY DATA • SECONDARY DATA Primary data was collected using the following techniques Questionnaire Method Direct Interview Method and Observation Method The main tool used was.

SAMPLE UNIT: . JOURNALS.. WHICH INCLUDED. ARE AS FOLLOW: • BOOKS. THE RESEARCH PROCESS WAS DONE BY INTERACTING WITH NUMBER OF CUSTOMERS DURING THE ACTIVITIES PERFORMED. MARKETS. ETC. MAGAZINES. NEWSPAPERS • INDUSTRY REPORTS • COMPANY’S INTERNET SITE • SOMEOTHER RELEVANT STUDY MATERIAL AND WEBSITES. SAMPLE DESIGN CONSISTS OF RANDOM SAMPLING. CANOPIES. COLD CALLING. WHICH HAS BEEN USED TO CARRY OUT THIS STUDY.50 PEOPLE . SECONDARY DATA REFER TO THE DATA THAT HAS BEEN ALREADY COLLECTED . SAMPLE SIZE: .THE SECONDARY DATA.DELHI & NCR.

• GIVING INSTRUCTIONS AS TO WHAT IS NEEDED. • INDUCING THE RESPONDENTS TO CO-OPERATE. • IDENTIFYING THE NEEDS TO BE KNOWN. THAT WAS ACCOMPLISHED BY PERFORMING VARIOUS ACTIVITIES DESIGNED. . CLEAR COMPREHENSION OF THE QUESTION. MARKET RESEARCH WAS UNDERTAKEN. RESEARCH INSTRUMENT: QUESTIONNAIRE THE QUESTIONNAIRE WAS FORMULATED BY KEEP IN MIND THE FOLLOWING POINTS: - • GIVING THE RESPONDENTS. METHOD OF COLLECTION: - FIELD PROCEDURE FOR GATHERING PRIMARY DATA INCLUDED OBSERVATION AND INTERVIEW SCHEDULE IN WHICH THE QUESTIONNAIRES WERE FILED BY THE INTERVIEWER. PERSONAL INTERVIEWS THROUGH SELF ADMINISTERED SURVEY WAS DONE TO COLLECT THE DATA.

4. LIMITATIONS No project is without limitations and it becomes essential to figure out the various constraints that we underwent during the study. 2. Money played a vital factor in the whole project duration. 6. The respondents from whom primary data was gathered any times displayed complete ignorance about the complete branded range. 8. on many occasions the respondent groups gave us a cold shoulder. During the study. 5. which was being studied. Lack of proper information and experience due to short period of time. The following points in this direction would add to our total deliberations:- 1. Some retailers/wholesalers gave biased or incomplete information regarding the study. 3. Some retailers did not answer all the questions or do not have time to answer. Lack of time is the basic limitation in the project. . 7. Some retailers/whole sellers refuse to cooperate with the queries.

The overall Teledensity has increased to 23. The private sector's contribution is also increasing rapidly. .63% in January 2008 as compared to 21. increasing preference for mobile phones and higher contribution of private sector in the incremental growth have predominated the telecom sector.62 million at the end of January 2008 as compared to 232. The telecom sector has shown impressive growth during the past decade.63%. Today.87 million in July 2007.SYNOPSIS Telecom Sector In India Than 125 million telephones network is one of the largest communication networks in world. The rapid growth in the telecom sector can be attributed to the various pro- active and positive policy measures taken by the government as well as the dynamic and entrepreneurial spirit of the various telecom service providers both in private and public sector.20% in August 2007. Currently more than 30 lakh phones are being added each month and it is targeted that by the end of 2008 the total number of phones may reach a level of 350 million taking the tele-density to more than 30% which is currently at 24. The share of mobile phones (including WLL mobile) has overtaken the share of landlines with 62% in the total number of phones. more Two striking features of this growth viz. Network Expansion: The total number of telephone subscribers has reached 281. which continues to grow at a blistering pace.

63%at the end of January 2008 as compared to 18.Wireless Service: The wireless segment saw a surge of 8. Wire line Subscribers: The wire line segment subscriber base stood at 39. Teledensity: The gross subscriber base reached 206.17 million in December2007. This pushed the total wireless subscribers base to 242.73 million with a decrease of 0. The goals and objectives of TRAI are focused towards providing a regulatory framework that facilitates achievement of the objectives of New Technology Policy (NTP) 1999. Telecom Regulatory Authority of India (TRAI): TRAI was established under the Telecom Regulatory Authority of India Act.14 per cent in November 2006.31% at the end of March 2007. 1997 enacted on March 28.77 million subscribers last month compared to 8. The share of private sector has risen to 85 per cent in December 2007 from 64. . Tariff Rebalancing Measures: There has been a dramatic fall in the tariffs due to increased competition.40 million by Jan 31 2008.16 million at the end of January 2008. The Teledensity is 24. registering an increase of 6%. TRAI has endeavored to encourage greater corporation in the telecom sector together with better quality and affordable prices.1997. The long distance domestic as well as international charges have also fallen considerably. The minimum effective charges for local calls have fallen considerably in recent months especially for cellular service.83 million at the end of March 2007. Increasing Role of Private Sector: The private sector has played a significant role in the growth of telecom sector.

Chennai and Kolkata) and 20 circles. The circles are further classified under "A. the Indian government adopted a new economic policy aimed at improving India's competitiveness in the global markets and the rapid growth of exports. it was stipulated that no firm can win in more than one metro. three circles or both. while West Bengal and Assam had only one bidder each. High license fees and excessive bids for the cellular licenses put tremendous financial burden on the operators. by 1999 many operators failed to pay their license fees and were in danger of having their licenses withdrawn. the Telecom Regulatory Authority of India (TRAI) bill was introduced in the Lok Sabha. the old fixed-licensing regime was to be replaced by a revenue-sharing . The government decided to set up TRAI to separate regulatory functions from policy formulation.A brief history of Tele sector in India In the early 1990s. As a result. Prior to the creation of TRAI. For the auction. Key to achieving these goals was a world-class telecom infrastructure. Thirty-four licenses for GSM900 cellular services were auctioned to 22 firms in 1995. In March 1999. The regulatory body at that time — the Department of Telecommunications (DOT) — allocated two cellular licenses for each metro and circle. licensing and telecom operations." "B" and "C. which roughly correspond to the states in India. In India. the telecom service areas are divided into four metros (New Delhi. diverting funds away from network development and enhancements. and the president officially announced the TRAI ordinance on 25 January 1997. Mumbai. Under this new policy. these functions were the sole responsibility of the DOT. Modi Telstra in Kolkata in August 1995. In 1996." with the "A" circle being the most attractive and "C" being the least attractive. The circles of Jammu and Kashmir and Andaman and Nicobar had no bidders. a new telecom policy was put in place (New Telecom Policy [NTP] 1999). The first cellular service was provided by.

scheme whereby between 8-12 percent of cellular revenue were to be paid to the government. .

. Internet Connectivity(DSL) and Leased Line). Long Distance Services and Enterprise Services (Telecommunications Consulting for corporates). AIRTEL Airtel is a brand of telecommunication services in India operated by Bharti Airtel. It has presence in all 23 circles of the country and covers 71% of the current population (as of FY07). Leading international telecommunication companies such as Vodafone and SingTel held partial stakes in Bharti Airtel. Bharti Airtel owns the Airtel brand and provides the following services under the brand name Airtel: Mobile Services (using GSM Technology). Broadband & Telephone Services (Fixed line. Airtel is the largest cellular service provider in India in terms of number of subscribers.

offering voice and data services in 16 of the country's 23 license areas. its products are simply branded Vodafone. previously Hutchison Essar is a cellular operator in India that covers 16 telecom circles in India Despite the official name being Vodafone Essar. previously Hutchison Essar is a cellular operator in India that covers 16 telecom circles in India . its products are simply branded Vodafone. Vodafone Essar provides 2G services based on 900 MHz and 1800 MHz digital GSM technology. offering voice and data services in 16 of the country's 23 license areas. . Despite the official name being Vodafone Essar. It offers both prepaid and postpaid GSM cellular phone coverage throughout India and is especially strong in the major metros. VODAFONE ESSAR Vodafone Essar. It offers both prepaid and postpaid GSM cellular phone coverage throughout India and is especially strong in the major metros. Vodafone Essar provides 2G services based on 900 MHz and 1800 MHz digital GSM technology. Vodafone Essar.

Introduction of the topic .

. production policy. BACKGROUND 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 scooping up by the allegations of the quality of its products. future prospect and government policies. the company not only needs to maximize its profit but also needs to satisfy its customers and should try to build upon from there. The report begins with the history of the products and the introduction of the Airtel Company. In today’s world of cutthroat fierce competition. export scenario. collaboration. This report also contains the basic marketing strategies that are used by the Airtel Company of manufacturing process. Today’s market is enormously more complex. to survive in the market. technology. advertising. it is very essential to not only exist but also to excel in the market. Hence forth. The report includes some of the key salient features of market trend issues.

COMPANY PROFILE OF AIRTEL .

The Company is also implementing a submarine cable project connecting Chennai- Singapore for providing international bandwidth. Bharti had approximately 3. Haryana. Karnataka and Tamil Nadu and nationwide broadband and long distance networks. Bharti Enterprises has been at the forefront of technology and has revolutionized telecommunications with its world-class products and services. With many firsts and innovations to its credit. Kolkata. Mumbai. Maharashtra circle.88 million mobile and 334. Haryana.Vision "As we spread wings to expand our capabilities and explore new horizons. Tamil Nadu and Uttar Pradesh (West) circle.21 million total customers – nearly 2. Himachal Pradesh. first private basic telephone service provider in the country. Karnataka. Its services sector businesses include mobile operations in Andhra Pradesh. . Delhi. ranging from being the first mobile service in Delhi. Chennai. Kerala. Punjab." These are the premise on which Bharti Enterprises has based its entire plan of action. first Indian company to provide comprehensive telecom services outside India in Seychelles and first private sector service provider to launch National Long Distance Services in India. Established in 1985. Delhi.000 fixed line customers. In addition. Bharti has recently launched national long distance services by offering data transmission services and voice transmission services for calls originating and terminating on most of India's mobile networks. it also has fixed-line operations in the states of Madhya Pradesh and Chhattisgarh. Bharti has been a pioneering force in the telecom sector. Gujarat. Madhya Pradesh circle. the fundamental focus remains unchanged: seek out the best technology in the world and put it at the service of our ultimate user: our customer.

• Leverage strengths of its strategic and financial partners. Bharti Tele-Ventures' strategic objective is “to capitalize on the growth opportunities that the Company believes are available in the Indian telecommunications market and consolidate its position to be the leading integrated telecommunications services provider in key markets in India. • Capture maximum telecommunications revenue potential with minimum geographical coverage. • Focus on satisfying and retaining customers by ensuring high level of customer satisfaction. with a focus on providing mobile services”. Apart from being the largest manufacturer of telephone instruments. • Position itself to tap data transmission opportunities and offer advanced mobile data services. and • Emphasize on human resource development to achieve operational efficiencies. The Company has developed the following strategies to achieve its strategic objective: • Focus on maximizing revenues and margins. • Offer multiple telecommunications services to provide customers with a "one- stop shop" solution. . it is also the first telecom company to export its products to the USA.Bharti Enterprises also manufactures and exports telephone terminals and cordless phones.

• Quality management team with vision and proven execution skills. • Focus on telecommunications to enable the Company to better anticipate industry trends and capitalize on new telecommunications-related business opportunities. Internet services and network solutions • Broadband services with DSL and Wi-Fi network Competitive Strengths Bharti Tele-Ventures believes that the following elements will contribute to the Company's success as an integrated telecommunication services provider in India and will provide the Company with a solid foundation to execute its business strategy: • Nationwide Footprint .approximately 92% of India's total mobile subscribers resided in the Company's fifteen mobile circles. • The strong brand name recognition and a reputation for offering high quality service to its customers. These 15 circles collectively accounted for approximately 56% of India's land mass.Businesses Bharti Tele-Ventures current businesses include - • Mobile services • Fixed-line • National and international long distance services • VSAT. and .

Asian Infrastructure Fund Group and New York Life Insurance. International Finance Corporation. Brand Architecture: Bharti is working on a complex three-layered branding architecture — to: • Create specific brands for each service. • The Company's strong relationships with international strategic and financial investors such as SingTel. Warburg Pincus. • Build sub-brands within each of these services and • Use Bharti as the mother brand providing the group its corporate identity as well as defining its goal to become a national builder of telecoms infrastructure. .

The brand earmarked for basic service operations. India One . Touchtel . BHARTI AIRTEL TOUCHTEL INDIA ONE (Cellular (Basic Service (National Long Operations) Operations) Distance) Airtel . Brand Strategy: .The flagship brand for cellular operations all across the Indian country.The brand for national long distance (NLD) telephony Though the costs of creating new brands are heavy but the group wants to create “distinct independent brands to address different customers and profiles”.

For the average consumer. there was no emotional dimension to the brand — it was perceived as cold. “Instead of the value-proposition model. distant and efficient. When the brand was launched seven years ago. owning a cellular phone was expensive as tariff rates (at Rs 8 a minute) as well as instrument prices were steep — sometimes as much as buying a second-hand car. As tariffs started dropping. it meant Airtel was positioned as an inspirational brand that was meant for leaders. These were valuable qualities. let’s first look at the brand building exercise associated with Airtel — a brand that had to be repositioned recently to address new needs in the market. . The idea was to become a badge value brand. So the Airtel “leadership series” campaign was launched showing successful men with their laptops and in their deluxe cars using the mobile phone.” he explains. In simple terms. Bharti could have addressed the customer by rationally explaining to him the economic advantage of using a mobile phone. it became necessary for Airtel to appeal to a wider audience. cellular telephony wasn’t a mass market by any means. but they only took Airtel far enough to establish its presence in the market. dynamism and performance. we decided to address the sensory benefit it gave to the customer as the main selling tack. And the various brand-tracking exercises showed that despite all these good things.To understand the brand strategy. But Sachdev says that such a strategy would not have worked for the simple reason that the value from using the phone at the time was not commensurate with the cost. for customers who stood out in a crowd. Did it work? Repeated surveys following the launch showed that there were three core benefits that were clearly associated with the brand — leadership.

And with tariffs becoming more affordable — as cell companies started cutting prices — it was time to expand the market. The leadership series was okay when you were wooing the crème de la crème of society. By that time. a survey showed that 50 per cent of the new customers choose a mobile phone brand mostly through word-of-mouth endorsements from friends. a relationship game that needed to be reflected in the Airtel brand. . A change in tack was important because this was a time when the cellular market was changing. How could Bharti leverage this leadership position down the value chain? Surveys showed that the concept of leadership in the customer’s minds was also changing.Sachdev and his team realized that in a business in which customer relationships were the core this could be a major weakness. family or colleagues. again. Thus. Also. What they needed was to become Singapore Airlines. The reason with tariffs identical to competitor Vodafone telecomm and roughly the same level of service and schemes.77 lakh (it now has 1. efficient but also human. Leadership did not mean directing subordinates to execute orders but to work along with a team to achieve common objectives — it was. The brand had become something like Lufthansa — cold and efficient. it had now become important for Bharti to “humanize” Airtel and use that relationship as a major differentiation. existing customers were an important tool for market expansion and Bharti now focused on building closer relationships with them.8 million customers). Once you reached them you had to expand the market so there was need to address to new customers. Bharti was already the leading cellular subscriber in Delhi with a base of 3.

With Youtopia. If Airtel is becoming more humane and more sensitive as a brand. launched last year. This set of campaigns portrayed mobile users surrounded by caring family members.” As it looks to expand its cellular services nationwide —to eight new circles apart from the seven in which it already operates — Bharti is now realizing that there are new compulsions to rework the Airtel brand. Bharti has also understood that one common brand for all cellular operations might not always work in urban markets that are now getting increasingly saturated. To bring in new customers. Airtel hoped to reverse that. the company decided that it needed to segment the market. With its earlier positioning. It also set up merchandising exercises around the scheme — like a special portal for young people to buy things or bid for goods. and a new exercise is being launched to this effect. there was nothing for younger people. Airtel offered rock bottom tariff rates (25 paise for 30 seconds) at night to Youtopia customers — a time when they make the maximum number of calls. Airtel was perceived as a brand for the well-heeled older customer. is Youtopia. One such experiment. a brand aimed at the youth in the 14 to 19 age bracket and for those who are “young at heart”. the focus is on positioning Airtel as a power brand with numerous regional sub-brands reflecting customer needs in various parts of the country. Right now.That is precisely what the brand tried to achieve through its new positioning under the Airtel “Touch Tomorrow” brand campaign. In order to deliver the concept. . But broadly. the company is unwilling to discuss the new positioning in detail. Says Sachdev: “The new campaign and positioning was designed to highlight the relationship angle and make the brand softer and more sensitive.

however. Subsequently. . The brand was created to offer mobile users Internet- interface services or what is known as WAP (Wireless Application Protocol). This. the ads were withdrawn. you need the two services to tango to offer customers a new choice”. had less to do with the branding exercise as with inefficiency of service (accusingly slow download speeds) and the limited utility of WAP services. The other experiment that Bharti has worked on is to go in for product segmentation through the Tango brand name.The company is now looking at offering other services at affordable prices to this segment which include music downloads on the mobile and bundling SMS rates with normal calls to make it cheaper for young people to use. says Sachdev. “The name was chosen from the popular movie title It Takes Two to Tango: basically. The idea was to bring Internet and mobile in perfect harmony. but the company re-iterated that the branding exercise could be revived because Tango will be the brand to offer GPRS services — or permanent Internet connectivity on the mobile phone — which Airtel is expected to launch soon.

telephone booths and even kirana shops so that the offering was well within arms reach. . PHASE I – Magic was aimed at bringing in infrequent users of a mobile phone into the market and assure him that he would have to pay only if he made a call. Such a customer used the phone sparingly — mostly for emergencies — and was not willing to pick up a normal mobile connection with its relatively high rentals (pre-paid cards do not include rental charges). • Third. the company came with vernacular ad campaigns Like “Magic Daalo Say Hello” which appealed to local sensibilities. to make the product more “approachable” to the customer. • One.000 with no strings attached and was simple to operate. The idea was to make the brand affordable. feasible as a means of expanding the market even faster. • Two. most importantly. The Magic Perhaps the more ambitious experiment has been with Magic — the pre-paid card. To achieve its objectives Bharti did three things. accessible and. the product was made accessible and distributed through small stores. the product was made available at prices ranging from Rs 300 to Rs 3.

The company is now re-working its Magic strategy even further. While the exact strategy is under wraps. the company roped in Karisma Kapoor and Shah Rukh Khan for a major ad campaign all across Delhi. That is why the new exercise is aimed at co-opting non-adopters. insiders say the new branding strategy would be aimed at offering them value which they had not perceived would be available from using a pre-paid card. .This apart. which was launched much ahead of Magic. customers who were already inclined to opt for mobile services.47 lakh to 1. But now. Earlier. the branding strategy was aimed at roping in only interested customers — that is. overtaking Essar’s branded pre-paid card Speed. a ruse that saw the number of subscribers go up from 5. with basic service providers having been allowed limited mobility at far cheaper rates. mobile service providers could find themselves under threat again.2 million today.

) Improving productivity. The strategy is targeted at the non-user segment defined as young adults. context.300/. Airtel today unveiled its strategy for market expansion with the launch of its new Airtel Magic pre-paid card brand campaign – ‘Magic hai to Mumkin hai’. tone & language created to connect the category to the lives of the SEC B & SEC C segment – the middle class non- mobile user. letting you befriend the world and .romance driven strategy platform makes the value proposition of Airtel Magic . The new campaign for Airtel Magic is all about empowering millions of Indians to be on top of their lives. in the Sec B & C segment is aimed at accelerating market expansion. 15-30 years of age.user imagery.PHASE II - Bharti used Airtel Magic to build a strong value proposition and accelerate market expansion through India’s first national pre-paid card TV brand campaign • First time ever in India . ambitions & aspirations instantly possible.per month Airtel Magic is so easy to buy. The value proposition is centered around a person’s desire to make all his / her dreams. India’s leading pre-paid mobile card. • Sharukh Khan makes ‘everything in life possible’ while romancing pretty Kareena Kapoor with Airtel Magic. The brand is positioned to be relevant to the mass-market who want to make all their dreams. • Airtel Magic positions itself on the platform of being excellent for emergency situations . hopes & desires come alive… instantly. (At just Rs.‘Mumkin Hai’ come alive • All elements .increasing productivity as a part of everyday life.any pre-paid card brand goes on TV • A combination of the film genre exposed through the TV medium designed to connect with the masses of India • Youth based .

The strategy & new brand campaign is targeted at the large untapped base of intending mobile customers from Sec A. holds millions of Indians together as one. .opening up new horizons. sets his eyes on Kareena Kapoor and wins her love with the help of Airtel Magic. The new strategy aims at correcting the perception that the mobile category is useful mainly for ‘business’ or ‘work’ related scenarios. Kareena’s success is due to her ‘attitude’. This strategy is designed to help us talk to this segment directly in the tone. B & C. hard work and the sheer ability to make a mark in such a short time. The spirit of romance. The “Mumkin hai” value proposition will help us expand the market and gain a higher percentage of market shares in the process. talent. Both these stars have said ‘Mumkin hai’ and made it happen for themselves. The new TV campaign of Airtel Magic crafted in the Hindi film idiom. well known to most as Bollywood. The brand ambassadors Shahrukh Khan and Kareena Kapoor embody this ‘can do’ or “Mumkin Hai” spirit (infact that is the reason they were selected as brand ambassadors). dancing… the Indian cinema. Where Sharukh Khan. in the endearing situation of a boy-girl romance. Indeed. (Poignantly conveying that special feeling we all get when a dream is made possible and a victory of the heart is won). The genre of this new strategy & campaign is Hindi cinema led. anything that you think is possible is possible with Airtel Magic. magnifies the empowering optimism of “Mumkin Hai”. The new brand slogan ‘Magic hai to Mumkin hai’ has been specially created to capture this effectively. manner & language of the masses. The estimated addressable market of such customers in the next two years is around 25 million in Airtel’s 16 states. It gives you the freedom to control your life in a way never possible before. Sharukh rose from a TV actor to become India’s top film star and national heartthrob. This genre connects millions across India.

brand positioning & brand slogan is an outcome of an extensive nationwide research and is an integral part of Airtel Magic’s new multi-media campaign. .The new strategy. The campaign has been created by Percept Advertising.

any pre-paid card brand gives such freedom to recharge any value • A combination of the film genre exposed through the TV medium designed to connect with the masses of India • Youth based . The brand is positioned to be relevant to the mass-market who want to make all their dreams. letting you befriend the world and opening up new horizons. The new campaign for Airtel Magic is all about empowering millions of Indians to be on top of their lives. The value proposition is centered on a person’s desire to make all his / her dreams.Improving productivity. . anything that you think is possible is possible with Airtel Magic. hopes & desires come alive… instantly .romance driven strategy platform makes the value proposition of Airtel Magic . ambitions & aspirations instantly possible.PHASE III - Bharti used Airtel Magic to build a strong value proposition and accelerate market expansion through India’s first national pre-paid card TV brand campaign • First time ever in India .At a amount of your choice you can recharge your account with available validity time . It gives you the freedom to control your life in a way never possible before.‘Aisi azaadi aur kahan?” come alive • Sharukh Khan Makes ‘everything in life possible’ Airtel today unveiled its strategy for market expansion with the launch of its new Airtel Magic pre-paid card brand campaign – ‘Magic Hai to Mumkin Hai’. The new brand slogan ‘Aisi azadi aur kahan’ has been specially created to capture this effectively. . Indeed.

Airtel has devised common numbers for subscribers across the country for services like customer care.Other Brand Building Initiatives:- The main idea is to stay ahead of competition for at least six months. This will offer subscribers tangible cash benefits depending upon their usage of the phone. To ensure that customers don’t migrate to other competing services (which is known as churn and ranges from 10 to 15 per cent of the customer base every month). food services and cinema amongst others. customers moving from one place to another do not have to close and then again open new accounts at another place.000 frequently asked questions and their answers have been stored on the computers. Working on the above game plan Bharti is constantly coming up with newer product offerings for the customers. but the facility would be limited to the region in which they buy the card. they must be given value-added products and services which competitors don’t provide. a storehouse of 40. • It will also launch a unified billing system across circles so. of course. for the first time for a cellular operator. So. . • To assist customer care personnel to deal with subscriber queries. The focus. • Bharti. is to offer better quality of service. has decided to offer roaming services even to its pre-paid customers. • Bharti expects that most of its new customers (one estimate is that it would be 60 to 70 per cent of the total new subscriber base) would come from the pre-paid card segment. the company is also working on a loyalty program. • To make the service simpler for customers using roaming facilities.

Now activation can be done by all of them. the game is now moving beyond price to expanding distribution reach and servicing a well-spread-out clientele with technology and strategic alliances. First. A key area is to increase the number of activation centers. one need not pay security deposits for picking up a pre-paid card. • Bharti is in the process of launching a new system in alliance with Mumbai- based Company Venture InfoTech which will enable a pre-paid card user to renew . Unlike post-paid. they are easier to obtain and convenient to use.paid cards are really catching up with the mobile phone users and it is actually helping the market to increase.• The loyalty program will not be only for a ‘badge value’. and not only by Connect outlets. As befits a fast-moving consumer service. The idea is to create an Airtel community. • Bharti is also aware that it has to make owning a ready-to-use cellular service much easier than it is today. the competition takes two to four hours. Earlier Bharti had 250 Airtel Connect stores which were exclusive outlets (for its services) and about 250 Airtel Points which were kiosks in larger shops. Bharti is focusing on two factors to make pre-paid cards more attractive. • Pre. In comparison. • Another key area which Bharti is concentrating its attention upon is a new roaming service launched in Delhi under which calls of a roaming subscriber who is visiting the city will be routed directly to his mobile instead of traveling via his home network. all within 15 to 20 minutes. it will provide real benefits to customers. The cost per picture is between Rs 5 to Rs 7. Keeping the entry cost low for consumers and making recharging more convenience. It is often available even with paanwalas. • The company also offers multi-media messaging systems under which customers having a specialized phone with a in-built camera can take pictures and e- mail it to friends or store it in the phone.

providing them with instant. service on priority basis. which includes easier payment of bills. Bharti Cellular is offering a range of services without going through an interactive voice recorder ensuring that they save time. The company is constantly innovating to enhance the value proposition for its pre-paid service. for high-value. single-point access for any assistance they require.' a company delivering food at home. • Bharti Cellular has also launched a special service. • Airtel presented MTV Inbox. • Bharti Televentures has tied up with 'Waiter on wheels. mobile operators are beefing up their distribution channels. The system will not only save users the hassle of going out and buying a card every time it expires but also enable mobile companies to reduce the cost of printing and distributing cards. Dedicated ‘CareTouch’ executives are expected to assist customers with any service on priority basis. corporate customers. Apart from improving the convenience of recharging. and value-added services without any additional paper work. They are leveraging technology to expand their distribution network and deliver round-the-clock recharge options to its MOTS (Mobile on the Spot) subscribers. Customers can dial 777 and enjoy a slew of services. to reach its Magic pre-paid cards to subscribers' doorsteps. customers can also call CareTouch for bill payments at free of cost. CareTouch. . Both brands joined hands to target the high growth youth segment. The company is also joining hands with local grocery shops which will enable users to recharge their cards by just making a phone call to the shop.his subscription by just swiping a card. Highly interactive VJ based show with real-time feedback mechanism. Besides the regular proactive reminder calls for bill payment. the first ‘on-air’ SMS based interactive music dedication show exclusively for Airtel and Airtel Magic customers.

Customers (be it for industrial products or consumer goods and services) across the world are more informed and. This can be the beginning of a virtuous cycle wherein brand equity continues to increase as the enterprise sustains delivery of an appropriate product or service at an ever increasing value. As far as allocation of time and financial resources are concerned. becoming more individualistic in their needs and far more demanding with the passage of time. with more choices and higher media clutter. On the contrary. brand building efforts in today’s context have to be seen in a more holistic manner. . too many companies mistakenly allocate a disproportionate amount on mere advertising and promotion. businesses need to budget for an increasingly higher spend on their brand promotion but this has to be undertaken in tandem with enterprise-wide “reengineering” of the business philosophy and core design. anticipating redefined or emerging customer needs. and then reacting in “real-time” are essential to attract and retain customer loyalty — a key element of creating brand equity in the present situation. and delivery operations for the product itself. Delivering value on a sustained basis is perhaps the most potent key to build a brand that lasts. at the same time.Bharti’s View on its Branding strategy:- First. the enterprise itself becomes more competitive. The positive spin to this argument is that by first addressing the fundamentals. Customizing the product (and communication of its benefit) to meet the specific needs of various consumer/customer sub-segments is the third element in creating brand appreciation. This is not to say that advertising and promotion are less relevant. Unflinching orientation to customer needs is the second key success factor. Pro-active tracking of shifts in consumer behavior. production.

.It is. Comparison of marketing strategies between Bharti Airtel and Vodafone. crucial to note that in the years to come. not only will the cost of building a regional or a national (or an international) brand will continue to rise but also the time taken to do so will be longer and will need sustained and focused efforts. however.

.  Vodafone is the second largest player and share holder in Communication sector.  Bharti Airtel holds the lion share of market of communication sector. Vodafone has been giving tough competition to Bharti Airtel. Purpose of comparison • The sub main purpose of this report is to compare the marketing Strategies adopted by Bharti Airtel and its rival Vodafone • The comparison shows how both of the companies have been challenging each other to gain market shares. Why comparison with vodafone  Bharti Airtel is the leader in telecommunication sector.  However.

 Since its launch Vodafone has been adopting aggressive marketing strategies.  With a different technology Vodafone creates its own market.  Vodafone odafone. Today deals in every business of communication sector.AD. Captured 22% market share in one month of its first launch of postpaid subscription in 2002.  The comparison shows how Hutchison Essar Telecom.  Vodafone making and changing the strategies to capture the market shares .

 Youngsters in big cities.  Businessmen .middle income groups  People age group of 20 to 28 year Target marketing  People who living in cities and towns.  Poor or middle income group people.Brand positioning by Bharti Airtel Market segmentation  Geographical segment (metropolitans & cities India)  Demographic segment .

Positioning  Creating brands (Sharukh khan & Sachin Tendulker)  Ads and promotions  Promotion for study of poor childrens. .

Marketing mix

 Price: low price strategy

 Place: maximum outlets and service centers

 Product: verities available for various groups

 Promotion: various schemes for pre-paid and post-paid

MARKETING STRATEGIES
OF
VODAFONE.

Vodafone target the rural India

The main targeted customers of Vodafone are from rural India.

By offering cheap and light mobile sets Vodafone attracts most of the customers of
small villages and towns.

Offering cheap handsets

Vodafone offers cheap and free connections to all customers.

The cost for these sets was Rs-799-849-1099\set and onward.

Free support and services

In every district and big towns Vodafone opens its service centers to provide better
support and services.

Strong logistics and supply chain

Vodafone has a strong logistic and supply all over India.

In every small town the potential customers can easily purchase the Vodafone SIM
& Sets.

BRAND POSITIONING BY VODAFONE .Targeting youngsters in metropolitans Vodafone attracts youngsters by offering colorful handset at very low prices.

Market segmentation  Geographical segment (rural India)  Demographic segment .middle income groups Target marketing  People living in small towns and villages.  Poor and middle income groups.  Youngsters in big cities.  Businessmen Positioning  Creating brands  Ads and promotions Marketing mix .

 Price : low price strategy  Place : maximum outlets and service centers  Product : verities available for various groups  Promotion: various schemes for pre-paid and post-paid Services provided by Bharti Airtel • Mobile services with GSM technology • Fixed-line connections • National and international long distance services • VSAT. Internet services and network solutions • Broadband services Services provided by Vodafone. ●mobile services with GSM technology ●fixed-line telephone services ●Universal Internetworking .

●VoIP (Voice over Internet Protocol) ●Interactive Television ●Visual Communication .

Interconnect terms since rationalized.ROADBLOCKS CURRENT POSITION High license fees Migration to revenue sharing mode in 1999 mitigates high initial fund requirements for payment of license fees. intra circle long distance. while businesses with weak promoters continuing to languish . Deptt of Telecommunications (DOT) restructured. spectrum availability cleared with vacation of frequencies for usage by GSM operators. and its role being accepted by all operators. spectrum availability and allocation and the like remained unresolved for long periods. pass through income. Inadequately funded businesses / weak and fragmented promoters Businesses that have since been adequately funded growing at over 60% per annum.) resolved to the satisfaction of all parties with changes in methodology / revenue sharing. intra circle long distance allowed. Regulatory authority not in place Telecom Regulatory Authority of India (TRAI) firmly in place. Issues relating to unfavorable interconnect terms for private operators. . with operations and policy making roles vested in different bodies. with 4/5 major groups emerging in the last one/two years. risks on pass through income to DOT / BHARTI (Mahanagar Telecom Nigam Ltd.spate of acquisitions / mergers.

. project financing being considered by most financial institutions.  Licensing tenure increased from 10 to 20 years  Large upfront cash requirements for license fee payments mitigated with migration to revenue sharing mode allowing promoters to deploy more capital for capital expenditure.Problems in Financial closures due to:  Licensing tenure of 10 years  Large upfront cash requirements from promoters due to heavy license fee burden in initial stages of deployment Asset based financing approach by Indian Financial Institutions.

market / subscriber base expected to zoom. Inadequate growth of market / subscribers Roadblocks spelt out earlier resulted in low market / subscriber growth. .paves the way for full control of businesses by foreign companies. and change of partners allowed as a matter of routine allowing ease of entry / exit . Foreign ownership / change of partner limitations Foreign ownership norms clarified. but with corrective measures taken.

and the former is reviewing various options.8 percent in a nation of over one billion people. thus circumventing the 49 percent limit on foreign ownership in Indian cellular operators. and Hong Kong-based Distacom is seeking to sell its stake in Spice Communications. many foreign companies had pulled out from their cellular joint ventures in India due to the difficult operating environment and bureaucracy. acquired major stakes in Sterling Cellular (December 1999). In June 2001. there has been a merger and acquisition wave sweeping across the Indian cellular industry in recent years. Through a partnership with local company. In recent years. Despite the recent gains of the cellular industry.2 DEVELOPMENTS IN THE CELLULAR INDUSTRY The interconnection regime between cellular operators and fixed-line operators is still biased against the former. Not to be outdone. Usha Martin Telecom (mid-2000) and Fascel (September 2000). British Telecom exited from Bharti Cellular. via Hutchison Telecommunications (HK). Kotak Mahindra Finance. The cellular penetration rate is still very low at 0. and both Shinawatra of Thailand and Bezeq exited from Fascel. Hutchison Whampoa practically controls Fascel and Usha Martin Telecom. Telecom Malaysia sold its stake in Usha Martin Telecom. Telstra from Modi Telstra and both the Telecom Organization of Thailand and Jasmine International from JT Mobile. In 2000. First Pacific's (based in Hong Kong) continued commitment to Escotel is uncertain.2. Bharti Enterprises — another major . Swisscom pulled out from Sterling Cellular. not everything is rosy. In 1999 alone. Hutchison Whampoa is also the controlling shareholder of Hutchison Max Telecom. Hong Kong-based Hutchison Whampoa. Bell South International has also indicated its intention to pull out from Skycell Communications. The string of sell-outs notwithstanding.

. BSNL. which will result in lower tariffs. followed by Escotel with four. basic and cellular services. giving competition to the lone operator there. Bharti came out with its long- awaited initial public offering (IPO) in January 2002. started services in March 2001. Bharti also acquired the Punjab license of Essar and started operations.cellular player — acquired control of JT Telecom. and Vodafone and Idea cellular with one each. netting Rs8. the company got a very good response from the primary market. 1 bidder with eight new licenses. BHARTI. this has been postponed until after mid October.5 times. Bharti is likely to merge all its cellular companies into one entity. Escotel and Vodafone have not made any headway. This was followed by Tamil Nadu in July 2002. Spice Communications. Future rate cuts are expected.3 billion to bag the licenses for the fourth operator slots in four metros and 13 circles. as the third nationwide cellular operator. most telecom circles will have four cellular operators. The total size of the IPO was 185 million shares at a floor price of Rs10. which was later renamed Bharti Mobile (December 1999). Bharti and Hutchison have already commenced operations in all the circles while Idea is set to launch in Delhi. Hutchison with three. In the midst of declining interest in technology stocks. launched services in Kolkatta and Bihar in January 2002. Leveraging on the success of its cellular service. The issue was oversubscribed by more than 2. Bharti emerged as the No. However. the third cellular operator for Delhi and Mumbai. Going forward. A nationwide launch was scheduled for 2 October 2002. which will drive demand. together with falling handset prices and the introduction of prepaid services.3 billion. Once BSNL rolls out its service. There will be tremendous competitive pressure. and Skycell Communications renamed Bharti Mobinet (August 2000). This will be used to fuel its investment in long-distance. Five companies together bid Rs16.

there is caution on their part to launch the service. the success of GPRS remains a question.As of October 2002. Mitsubishi a Japanese telecomm services (MTS) company comes in India in 2009 and take over first rainbow in Rajasthan with CDMA network criteria. However. . only BPL Mobile has launched commercial general packet radio service (GPRS) in Mumbai. While both Bharti and Idea have GPRS-enabled networks. large-scale uptake remains elusive. In 2005 Hutchison Essar an Indian and hongkong telecommunication alliance was taken over by the United Kingdom based telecommunication company name Vodafone telecomm services and comes with the name of Vodafone essar. With hardly any applications. Virgin mobile comes in Indian Territory with the alliance of TATA telecommunication Maharashtra in 2008.

Orange and BPL Mobile have been advertising aggressively on hoardings and kiosks. cellular operators are actively promoting their brand and service portfolio through high-visibility advertising and promotional campaigns.Building visibility and awareness Deviating from competing on the price platform. Orange in Mumbai offers "Orange Holidays" and "Orange Monsoon Offers" at very attractive rates and added benefits like discounts on airfare. food and beverages. Others offer special privileges in retail outlets. . cinemas and music shops. among others. Cellular operators like Bharti. Customer-focused activities are gaining traction among cellular operators with the establishment of longstanding consumer benefit programs. Public transport like the city rail system and cabs are used widely to carry the message of mobility.

Calls can be barred. Banks too find bulk SMS service very useful to forward transactional alerts to their customers.Enterprise mobile applications — promising revenue stream All along. especially among enterprises both in the service as well as the fast-moving consumer goods (FMCG) segment that have a large field force and need to provide regular updates on inventory status. discount schemes and movement of goods from warehouse to the retail outlet. Cost-centered solutions like closed user group (CUG). some are now seriously looking at the enterprise segment for provisioning superior services. customer acquisition and the top line have been the focus. 2. as operators realize that offering basic voice and Short Message Service (SMS) will get them the numbers but not the margins. A variety of mobile applications are finding takers among the enterprise segment. accurate route planning. Premium automakers are also installing a global system for mobile communications inside a vehicle to help trace lost vehicles and track down stolen cars. Broadcasting services are also quite popular. Bharti is in the process of introducing a facility to fleet management companies so that they can improve the efficiency of trucks or buses by tracking movement and ensuring higher-use.3 FUTURE TRENDS AND DEVELOPMENT . Group SMS is quite popular. Few operators have concentrated on offering differentiated services for businesses. However. especially among fast food centers that have a central number. Corporations can choose enhanced services like user-defined call routing to prevent misuse. limiting access to select numbers and diverting calls to one single number. value-adds like unified messaging and instant alerts are being offered.

5G will enable operators to offer data services. On the roaming front. • The bigger the service provider's national presence. signing up with a national operator is advantageous. • Limited mobility wireless in local-loop services (by fixed network service providers) will be a disadvantage for cellular operators in the short term. operators need to streamline their customer relation activities and adopt aggressive subscriber acquisition and retention strategies. forcing operators to constantly focus on differentiations to maintain their lead. . thus there is less chance of a cartel being formed. the better it is for businesses. • Network coverage in terms of geographic spread and quality of coverage is crucial especially for the business subscriber. This is an opportunity to customize and differentiate better.There will be more competition. • The entry of state-run operators like BSNL and BHARTI means that prices will no longer be controlled. Consequently. • The implementation of enhanced networks like 2.

which was produced. at reasonable rates.2. The . Like other policies. The next major policy document. was the National Telecom Policy of 1994.4 REGULATORY ISSUES The operations of this sector are determined as under the Indian Telegraph Act of 1885. which laid out broad policy guidelines rather than a series of action points. Year Event 1851 First telephones in India 1943 Nationalization of telephone companies 1985 DOT was created 1986 Creation of BHARTI and VSNL 1991 Telecom equipment liberalized 1994 Licenses for paging 1994 Telecom policy announced September 1994 Guidelines for private sector participation in basic services November 1994 Cellular licenses issued for metros December 1994 Tenders for cellular licenses in 19 cities apart from 4 metros January 1995 Tenders for 2nd operator in basic services apart from DOT on circle basis. etc. it sought to achieve the impossible in finite time like improve quality of service and its availability. A document buried in the sands of time. wide coverage (a phone in every village). a consequence of the on going process of liberalization. August 1995 VSNL launches Internet services January 1996 TRAI formed November 1998 Internet policy announced The National Telecom Policy of 1994 document.

Reorganization . The Eighth Plan had also allowed private operators in value added services. BOOT and BOLT was not used at all. DoT continued to fight with it in courts. though noble failed to achieve its goals because of improper implementation. DoT/ BHARTI have the option to become the third cellular operator in future. and financing options like BOT. Mumbai falls in Maharashtra circle and Delhi in itself a circle. The basic theme. telephone on demand by 1997. The telecom sector has witnessed some fundamental structural and institutional reforms in the past decade.targets in quantifiable terms were installation of 9. the economic costs are still borne by the end user. Even liberalization policies were not implemented properly. has not been met. Telecom equipment manufacturing was completely deregulated in 1991. An independent telecom regulatory Authority of India was set up in 1997.5mn additional lines. It was also affected by the resource crunch. Value-added services (including cellular services) were thrown open to private sector participation in 1992. The intention. The major policy direction it showed was to allow private sector entry in both basic and value added services. To facilitate licensing. The regulator TRAI was set up after delays and confusion and even after its creation. Government did not achieve most of its stated targets. which was broadening the reach of telephony in India. the nation was divided into 20 circles (akin to a state) for basic and 21 circles for cellular telephony. Basic services were opened to private participation in 1994 by dividing the country into 21 telecom Circles and allowing one private operator per Circle to compete with DOT. and a PCO pop of 500. A new Policy for Internet Service Policy Providers (ISPs) was announced in 1998 allowing independent service providers to enter the sector ending the earlier monopoly of VSNL. The basic premise on which competition has been introduced is that every circle will have one private operator apart from DoT/ BHARTI for basic and two operators for cellular.

separating policymaking function and service provision and corporatization of DOT's operational network are two major institutional reforms. .of DOT. which need to be implemented.

# To these 50 people a questionnaire was given. # Finally the collected data and information was analyzed and compiled to arrive at the conclusion and recommendations given. Who are using GSM technology. the questionnaire was a combination of both open ended and closed ended questions. policies. Sources of secondary data Used to obtain information on. procedures etc. current issues. # Some dealers were also interviewed to know their prospective. # Targeted geographic area of Delhi/ NCR. Scope of the study # To conduct this research the target population was the mobile users. Bharti’s history. # The date during which questionnaires were filled. Sample size of 50 persons was taken. # Internet # Magazines # Newspapers # Journals # Bharti Circulars Store # Bharti News Letters # Vodafone Store # Vodafone Ministore . Interviews with the managers of GSM service providers were also conducted. wherever required.

Data analysis And Interpretation .

07 Vodafone 1.26 10. Subscriber numbers in (mn) held by Vodafone and Airtel June-05 Sep-06 Dec-07 Mar-08 Dec-08 Mar-09 Airtel 3.19 4.54 10.82 4.50 6.98 14.19 6.45 12.99 Source TRAI: .62 5.24 7.

96 Vodafonecomm 17.81 16.49 25 20 15 Bharti Airtel vodafone 10 Reliance infocomm IdeaCellular 5 0 Market share Aug''05 Market share Aug''09 .03 16.01 Idea Cellular 10.45 8.49 Vodafone 21.MARKET PLAYERS IN TELE COMMUNICATION Operator Market share Market share Aug''05 Aug''09 Bharti Airtel 19.06 22.

The next age group are the . This segment constitutes the young executives and other office going people.FINDINGS AND ANALYSIS Age Group Graph As we can see from the above graph. This segment is the one which gives maximum business to the mobile operators. the people who are in the age group of 21-28 years are the ones who are the maximum users of mobile phones. They are 65% of the total people who were interviewed.

Occupation Graph OCCUPATION 10% 15% 20% 55% STUDENTS EXECUTIVES HOUSEHOLDS OTHERS As the above graph shows that 55% of the total people interviewed are working. And the next age group is the youngest generation who are 15-21 years old. small units which operate from their homes etc. They are the young executives. who require mobile for their official purposes. The next category is the households. And 10% of the whole is categories who are the professionals. these people are the ones who are the maximum users of mobile phones.callers etc. They are school and college going students and carry mobile phones to flaunt.people who are 28-35 years old. They are 15% of the whole. They are 20% of the total. They are 15% of the total interviewed people. They are those who are at home or have small business units etc. They are 20% of the whole. Tele . managers. So. The next segment is the students. who are either housewife. .

There two major company in mobile phone service sector Vodafone and Airtel who respectively hold the market share with other company as 17% and 20% of total market user segment of mobile customer. .Service Provider Graph These are the total market share of mobile user or people captured by the mobile provider company.

10% of the people were fully dissatisfied with the customer services of Airtel. which is a very small amount. He can even switch over his brand.Customer Service At Airtel Graph CUSTOMER SATISFACTION LEVEL 10% 20% 10% 60% FULLY PARTIALLY DISSATISFIED FULLY DISSATISFIED As the above graph clearly shows that customer services at Airtel seems poor. 60% of the people are dissatisfied with the customer services provided by Airtel. . This could leave an impact on the mind of the consumer. They are the ones who have the maximum share in the market but they are lagging behind in the customer services. 20% of the people seemed partially satisfied with the customer services and only 10% seem to be fully satisfied with Airtel’s customer services.

. This means that the cash cards should be easily and readily available in the local markets. Airtel should make sure that Magic is available in each and every nook and corner of the market. 85% of the total mobile users were having cash card connections. 15% of the people were having sim connections which is the regular bill.Type Of Card Graph Cash cards seemed quite popular among the people interviewed.

they could the ones having sim connections or having cash cards and having a lot of business calls on their mobiles. 24% people spend RS 300 per month as their monthly mobile expense.Monthly expense graph People on an average spend RS 500 per month as their mobile phone expense. . 64% Monthly Expense 12% 24% Rs 600 Rs 450 Rs 200 64% people spend this amount. And the remaining 12% had an expense more than RS 1000.

Awareness About WLL Graph WLL seemed to be a new word for many of the people. . Only. 55% people knew what WLL is all about. in order to get the answer for this question they were first explained the concept. 45% of the people were not at all aware of such a technology. So.

There is more no. this could be one the reasons of its popularity. As Vodafone had done so much advertising and has it banners and hoarding spread all over Delhi. Possibly.Awareness of WLL Players Graph 80% 70% 60% 50% Vodafone 40% Airtel 30% 20% 10% 0% Vodafone was the brand which was popular amongst the interviewed people. So. of people who use mobile phones is in the age group of 20 to 28. because of less promotions done by them as compared to Vodafone. Tata was hardly a known brand in this new field. Who are the young executives and other office goers? They spend a maximum of RS 500 as their mobile expense. . On the basis of analysis of the questionnaire I have found that the maximum no. of prepared cards than post paid cards. The mobile users want to spend money side by side than to spend money at the end of the month on a big bill.

so it must improve upon it customer services. Airtel has a hold in the market because it has the maximum no.Now when I compared Airtel with its competitor from the point of view of the consumer I found that on the basis of Tariff plan. As far as WLL is concerned people are aware about it but not many people are aware about Tata. They only know more about Vodafone. As. value added services and billing accuracy Airtel is at par or ahead of its competitor but in the case of customer care and availability they lag behind there competitors. People at this point of time are not interested to switch over from GSM to WLL . of connections.

Customer Response towards Questionnaire .

Which Brand you. prefer most?  Airtel  Vodafone  Reliance  TATA  Idea .

How long you have been using this Product?  0-2 Years  2-5 Years  5-10 Years  More than 10 years Consumers response shown in chart for usage .

in this segment of survey 67 % of customer are aspire with Airtel and 33 % shown interest in other telecom products in urban areas.Are you using other product with Airtel?  Yes  No 33% YES NO 67% Here are the customer responses about the use of the Airtel product and other product rather than Airtel. .

Do you collect any information search before making purchase? 70% 66% 60% 50% 40% 34% information 30% search 20% 10% 0% YES NO .

• No separate strategy for rural market. . Weakness: • Little efforts over the Advertising of products. superior quality products and an enviable distribution network. Opportunities: • The company's financial performance can receive a major boost from its cost reduction efforts. hence can’t compete in low price segment. • The company‘s bottom line falls victim to the bloated and highly paid workforce. which affects its margins.SWOT ANALYSIS Strengths • Being one of the largest companies in India the company has achieved a degree of focus in its core business of its products. • It has a clear and well-defined organization structure and limits of financial authority. • Exports of products will also have huge chances in the coming years. • Distribution channel is not accurately categorized. • Premium priced products. • There is a lot of scope of product and market diversification. • Increase in advertisement spends affect the company’s margins. • It has a strong brand name.

Threats • 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.• Airtel’s business has ample scope for gaining market share from the unorganized sector. Fluctuations in the prices of raw materials would have significant impact on costs and margins of the company. Rural penetration too holds vast potential to bring about growth. Moreover. • Company’s major raw materials are influenced by government policies / controls as well as vagaries of the monsoons. . inordinate hike in Broad Band Internet products would also increases company’s production and distribution cost.

* Catalogues should be distributed among customers. 2. 4. SUGGESTIONS Following are the few suggestions to AIRTEL for improving the market share and image of the products concerned. 1. Sales promotion tools like gifts. in terms of quality. PROMOTION *Company must undertake extensive promotional activities like advertisements must be released in different Medias to create brand awareness. PRICE * Price should be as competitive as other company maintains * Distribution of new connection should be in reach of customer pocket . PRODUCT *Modification must be brought about in AIRTEL. Its demand should be increased. contests and coupons must be given to retailers as well as customers and prospects. PLACE * The brands must be made available easily in. *Free samples should be distributed among the prospects. PCO & general stores. 3.

Very seriously and update its own strategies from time to time and when the need arises. Airtel has to take Vodafone. From the comparison and deep analysis of every aspect of business of both the companies we can conclude that bharti Airtel has to more work in every field of communication business. As we know that now Airtel has already launched its product with logo “’ Aisi azaadi aur kahan”’ has already became popular in market. With aggressive marketing strategies Airtel has to target rural India as 70% of population of India lives in these areas. So we can say that in spite of so many competitors in the market Airtel is having a good position just because every time. . Maximum no. as they are consumer friendly and recharging the connection is not a problem. For this Airtel has to work on its all marketing strategies. CONCLUSION After analyzing the findings of the research. marketing. It is the time not only to survive but to sustain in the market for a long time. brand image. 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. of people spends RS 500 on their connections. The other segment may be costumers of all age groups. The maximum no. it tries its best to understand the need of its important customers. promotion. of people who use the mobile is in the age group of 20 to 28. I can conclude that Airtel lagged behind its competitors as far as customer service and availability is concerned. Cash cards are the most popular type of mobile connections.etc.

• 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 make its marketing strategy flexible enough in order to face competition. • 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. RECOMMENDATIONS 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 keep an eye on the proper delivery of the goods to exporter on time. . as it has been recommended by exporters to make the delivery on time.

• The company should offers such rate in the market so that it may able to catch a bigger market share and it should be able to compete with the local traders and commission agents while having a brand name. 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? .

Vodafone.in http://www. Missed Call.htm.com www.google. Mumbai.R. All the material detailed below provides effective help and a guiding layout while designing this text report. while finalizing and for analyzing quality problem in details the following Books.com www. Sharma Research Methodology – C.blonnet. June 25.com www. BIBLIOGRAPHY In this project report. 12 Market Research – D. Books : Principles of Marketing –Philip Kotler & Kevin keller edi.D.domainb .india.com/2004/06/26/stories/2004062602180700. 2004.Airtelworld. com/companies/companies_r/Vodafone_infocom/20031104_stop-roaming. Magazines/Journals and Web Sites have been referred. 4 November 2003 Domain. Kothari Websites: www.htm. at http://www.

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2004) .Magazines: Airtel (2 July to 10 July 2004) Airtel India page of HT paper (Thursday 1December 2004) Cowards India (26 December to 4 Jan.

1 Name those companies which provide telecom services now a days?  Airtel  Vodafone  Reliance  TATA  Idea Q.2 which mobile company services you are using now a days?  Airtel  Vodafone  Reliance  TATA  Idea Q. I am doing my project on “Comparative analysis of marketing strategy of Vodafone and Airtel”. prefer most?  Airtel  Vodafone  Reliance  TATA . which Brand you. Q. Please give your precious time for filling these details. QUESTIONNAIRE Dear Sir/Madam. 3 Among them.

5 how would you rate the experience with Brand? Excellent Good Average Below  Airtel Average  Vodafone  Reliance .3 Are you using other product instead of Airtel?  Yes  No Q.2 How long you have been using this Product?  0-2 Years  2-5 Years  5-10 Years  More than 10 years Q.  Idea Q.

Q.6 Do you collect any information search before making purchase?

 Yes
 No

Q.7 If yes, which sources are used?

 Magazines
 Dealers
 Sales Executives
 Operators reference
 Pamphlets and catalogue
 Reference from friends and relatives
 Any other

Q.8 What are the features you look for in a product before making purchase
decision? Give preferences (1-Highest, 6- least)

 Brand credibility
 Price and Discount
 After sales services and parts, network

 Value for money
 Vehicle performance
 Add on features or ergonomics of design

Q.9. Which of these marketing / sales schemes attracts you while purchasing any
connection?

 Good Network
 Discount scheme
 Service package
 Any other

Q.10 If you have to purchase a new connection or product in near future, which Brand
will you go for and why?

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Q.12 How would you rate Airtel performance as your expectation on 5 points scale (5 Highest?) 1 2 3 4 5  After Sale service  Maintenance  Product as per expectation Q. if yes then how? Are you satisfied with these promotional activities? Very Satisfie Somewhat Not Satisfie d Satisfied satisfied d  Customer Care  By Ad Films  By Camp  24 hrs call center services Q.13 What are you suggestions for improving the product quality.11 Are you aware of various promotional activities being run by Airtel. service availability and parts availability? .

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