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Market Share of Airtel: Minor Project Report On
Market Share of Airtel: Minor Project Report On
TABLE OF CONTENTS
Acknowledgement
1
Executive Summary
2
Objective of Study
3
Company Profile
4
Market Research
5
Wallet Share
6
Research Methodology
7
Data Analysis
8
New retailers added
9
Conclusion
10
Limitations
11
Recommendations
12
Bibliography
13
Annexure
14
ACKNOWLEDGEMENT
I would like to express my sincere gratitude to Mr. Asim Sahore (Project guide) for
constantly guiding me and acting as my mentor during the course of my project and
tackling variety of hurdles with implicit patience throughout my research project and
whose deep involvement and interest in the project infused in me great inspiration
and confidence in taking up this study in right direction. Without his overall guidance
and help the project may not have seen to be completed.
In the end, I also want to thanks my friends for their support and help during the
project.
Submitted by:
SIMRANJEET KAUR
Executive Summary
Airtel comes to you from Bharti cellular Limited- a part of the biggest private
integrated telecom conglomerate, Bharti Enterprises. Bharti provides a range of
telecom services, which includes cellular, basic, internet and recently introduced
National Long Distance. Bharti also manufactures and exports telephone terminals
and cordless phones. Apart from being the largest manufacturer of telephone
instruments in India, it is also the first company to export its products to the USA.
Bharti is the leading cellular services provider, with an all India footprint covering all
23 telecom circles of the country. It has over 11 million satisfied customers.
Project title is “Market Share of Airtel”. Main objective of the study was to find the
share of Airtel in the allotted market and to know its potential market. In this, non
telecom shops are targeted and their demand or requirement is understood. Their
interest is being taken into consideration i.e. whether they are interested or not
interested if given an option to them to keep Airtel connection for selling. Also for
existing telecom shops; retailers are being questioned about their level of satisfaction
from the business, whether they keep Airtel connection, overall performance of each
telecom services providers and their feedback for Airtel.
The method which was used to study the replies of the telecom and non telecom
shops that may or may not be interested in having Airtel connections is through
questionnaire. The questionnaires were filled by: - moving to each and every market
which was being allotted. Markets allotted are Rohini sector 11 and 16, Rohini sector
15, 17 and 18 and Rohini sector 9, 13, 14 and Prashant Vihar.
Existing telecom shops and non telecom shops like chemist, general stores, STD/
PCO, gifts shops are mainly focused. The questionnaires were filled there and then by
the retailers and then analysis is being done. The questionnaire was bifurcated into
different segments i.e. general information about the retailers containing name,
address, age, shop address, whether they keep Airtel or not, if no then their interest on
keeping it. Also overall comparative performance is being asked from existing
telecom.
Objective
In the end from the facts and observations collected, we came up with the conclusion,
which helps Airtel to attract more customers to be the part of Airtel family and the
corrective measures to be taken for filling up the loopholes and how the Airtel share
can be increased which is eaten away by the other competitors.
Company Profile
Market
The unprecedented growth in the mobile is, perhaps, the most vivid facet of India’s
economic transformation since the mid 1990’s. Mobile technology and services came
to India less than a decade ago. In the early days, a mobile was seen to be a fashion
statement for the rich. Today, it is expected as a basic communication medium for all
socio- economic segments. As the pioneer and front runner, Airtel has been
instrumental in leading and ushering in the mobile revolution in India.
The Indian mobile market is, today, amongst the fastest growing and the most
competitive in the world.
There were 34.6 million mobile phone subscribers in the country as of April 2004
(source: cellular operators association of India and association of basic telecom
operators) with approximately 7 million subscribers, Airtel commands nearly 20% of
the share of the market- making is the number one brand in the country. Airtel’s
world class service and innovative products have enabled it to establish this position
of leadership.
About Airtel
India's sixth richest man with a total worth of US$10 billion. The company is the only
GSM operator to provide mobile services in all the 23 circles in India. The company
also provides telephone services and Internet access over DSL in 14 circles. The
company complements its mobile, broadband & telephone services with national and
international long distance services. The company also has a submarine cable landing
station at Chennai, which connects the submarine cable connecting Chennai and
Singapore. The company provides reliable end-to-end data and enterprise services to
the corporate customers by leveraging its nationwide fiber optic backbone, last mile
connectivity in fixed-line and mobile circles, VSATs, ISP and international
bandwidth access through the gateways and landing station.
Touchtel
The Forbes Global 2000 list for the year 2007 ranked Bharti at 1149.
2006
• Wireless service provider of the year 2005 at the Frost and Sulivan Asia-
Pacific ICT awards.
• Competitive service provider of the year 2005 at the Frost and Sulivan Asia-
Pacific ICT awards
In News
Recently Sunil Bharti's Airtel launched its calling card in America specially for the
NRI (Non-resident Indians) and people calling from America to India at a cheaper
rate as compared to the tariff offered by other providers.
On February 12, 2007 Vodafone sold its 5.6% stake in AirTel back to AirTel for US
$1.6 billion; and purchased a controlling stake in rival Hutchison Essar.
In its monthly press release, following statistics have been presented for end of April
2007.
• Bharti Airtel added the highest ever net addition of 53 lakh customers in a
single quarter (Q4-FY0607) and also the highest ever net addition of 1.8 crore
total subscribers in 2006-07
• The company will invest up to $3.5 billion this fiscal (07-08) in network
expansion.
• It has an installed base of 40,000 cellsites and 59% population coverage
• After the proposed network expansion, an additional 30,000 towers will result
in the company achieving 70% population coverage
• Bharti has over 39 million users as on March 31, 2007
• It has set a target of 125 million subscribers by 2010
• Prepaid customers account for 88.5% of Bharti’s total subscriber base, an
increase from 82.7% a year ago
• ARPU has dropped to Rs 406
• Non-voice revenues, (SMS, voice mail, call management, hello tunes and
Airtel Live) constituted 10% of total revenues during Q4, lower than 10.7% in
the Q4 of the previous year
• Blended monthly minutes of usage per customer in Q4 was at 475 minutes
• Has completed 100% verification of its subscribers and in the process
disconnected three lakh subscribers
Market News
Market Capitalization
Approx. Rs. 1,670 billion Closing BSE share price = Rs. 880.75
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Mobile Services
Post-paid Services
Airtel Prepaid
Roaming
Value Added Services
Coverage
Bharti's partners in Airtel are Emtel, the premier GSM operator in Mauritius, some
private investors.
Registered as Telecom Seychelles Limited and operating under the brand name of
Airtel, the company is licensed to offer comprehensive telecom services including
GSM Cellular, PSTN (Fixed Lines), Fax and Data, International Roaming,
connectivity to Internet Services, Maritime Telecom Services (INMARSAT) and
International Collect and Credit Card calling. Dominating the market with its service
and customer commitment - Airtel has always been at the forefront of innovation and
change in the Telecom sector in Seychelles.
Airtel's Head Office is in Providence & Anse Royale, Mahe. Airtel also has
showrooms in Victoria, Mahe and Grand Anse, Praslin, that serve as one-stop shops
for customers.
Airtel provides the whole range of telecom services, from GSM Mobile services,
Airtel Prepaid Mobile Cards available at a string of outlets, International Roaming
with 157 operators in 65 countries, a host of Value Added Services, Fixed Cellular
services and a fast growing Fixed Line network as well.
All this, of course, comes to you with the distinct Airtel advantage of excellent
Tariffs, the best GSM Coverage on the islands, world class Technology from industry
leaders like Ericsson and Scientific Atlanta and 24-hour Customer Care.
In addition to telecom services, Airtel also recently acquired a 4-star luxury 124-
bedroom hotel in Seychelles, called Le Meridien Barbarons Beach Hotel.
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AIRTEL VISION
AIRTEL MISSION
Bharti Enterprises
Bharti Enterprises is one of India’s leading business groups with interests in telecom,
agri business, insurance and retail.
Bharti Enterprises has successfully focused its strategy on telecom while straddling
diverse fields of business. From the creation of 'Airtel', one of India's finest brands, to
becoming the largest manufacturer and exporter of world class telecom terminals
under its 'Beetel' brand, Bharti has created a significant position for itself in the global
telecommunications sector. Bharti Airtel Limited is today acknowledged as one of
India's finest companies, and its flagship brand 'Airtel', has over 44 million customers
across the length and breadth of India.
While a joint venture with TeleTech Inc., USA marked Bharti’s successful foray into
the Customer Management Services business, Bharti Enterprises’ dynamic
diversification has continued with the company venturing into telecom software
development. Bharti has successfully launched an international venture with EL
Rothschild Group owned ELRO Holdings India Ltd., to export fresh Agri products
exclusively to markets in Europe and USA. Bharti also has a joint venture - ‘Bharti
AXA Life Insurance Company Ltd.’ - with AXA, world leader in financial protection
and wealth management. Bharti has recently forayed into retail business under a
company called Bharti Retail Pvt. Ltd. It also has an MoU with Wal-Mart for the cash
& carry business.
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Bharti Tele-Ventures
When EM Warburg Pincus went to invest in India the summer of 2001, it zeroed in
on Bharti Televentures, a mobile telecom services company with fewer than
800,000 customers. The N.Y buyout firm, which invested $300 million in
the Delhi enterprise, chose well. Today, Bharti has 11.4 million cell-phone
subscribers, its stock has grown fivefold since listing early in 2002, and its
valuation is $10 billion. Warburg has made more than $1 billion on the deal
and still owns 5.8%. Chairman and Managing Director Sunil Mittal aims to
maintain Bharti's 25% share of the Indian cellular market, which is forecast
to reach 180 million customers in 2008.
Company Snapshot
Business Profile
Bharti Airtel (formerly Bharti Tele-Ventures), a part of Bharti Enterprises, works
through three individual SBUs -mobile services, broadband and telephone services
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Bharti Airtel is the largest mobile telephony operator in the GSM space with around
27 per cent market share in FY05. The company, apart from being the largest player
in the mobile segment with subscribers in all the 23 telecom circles of the country,
also provides varied services like fixed line, broadband and retail internet access. The
company is also one of the fastest growing fixed line and long distance (DLD as well
as ILD) operators in the country. It offers broadband and other data oriented services
to corporate clients. The company has a strategic alliance with Singtel, the largest of
its kind made by SingTel outside Singapore. The company also has a strategic
alliance with Vodafone, which is one of the largest single foreign investments made
in the Indian telecom sector.
Bharti Airtel plans to foray into the retail segment, through a joint venture, which
would be finalised depending on the kind of infrastructure required for the retail
foray.
Financials
Bharti Airtel registered a 151.71% growth in net profits to Rs 12,868.40 million for
the quarter ended March, 2007 from Rs 5,112.40 million for the quarter ended March,
2006.
Net sales rose 59.58% to Rs 52,187.30 million for the quarter ended March, 2007
compared with Rs 32,703.60 million for the quarter ended March, 2006.
Total income rose 59.58% to Rs 52507.7 million in the quarter ended March, 2007,
from Rs 32,904.1 million for the quarter ended March, 2006.
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The earnings per share (EPS) of the company stood at Rs 6.79 in the quarter ended
March, 2007.
About Idea
As India's leading GSM Mobile Services operator, IDEA Cellular has licenses to
operate in 11 circles. With a customer base of over 10 million, IDEA Cellular has
operations in Delhi, Maharashtra, Goa, Gujarat, Andhra Pradesh, Madhya Pradesh,
Chattisgarh, Uttaranchal, Haryana, UP-West, Himachal Pradesh and Kerala. IDEA
Cellular's footprint currently covers approximately 45% of India's population and
over 50% of the potential telecom-market.As a leader in Value Added Services,
Innovation is central to IDEA's VAS Factory. It is the first cellular company to launch
music messaging with 'Cellular Jockey', 'Background Tones', 'Group Talk', a voice
portal with 'Say IDEA' and a complete suite of Mobile Email Services.A frontrunner
in introducing revolutionary tariff plans, IDEA Cellular has the distinction of offering
the most customer friendly and competitive Pre Paid offerings, for the first time in
India, with 'Super Power', 2 Minutes Outgoing Free, Lifelong offer and other
segmented offerings like Women's Card. 'Lifetime Idea' is the first and only loyalty
program, for pre paid customers, introduced by a Cellular brand.
Customer Service and Innovation are the drivers of this Cellular Brand. A brand
known for their many firsts, Idea is only operator to launch GPRS and EDGE in the
country.
The latest feather in the IDEA cap is the GSM Association Award for Bill Flash, it
has recently won making it the first cellular operator in India to win an award on this
platform.
Idea Cellular is part of the Aditya Birla Group, which is India's first truly
multinational corporation. Global in vision, rooted in Indian values, the group is
driven by a performance ethic pegged on value creation for its multiple stakeholders.
The combined holding of the Aditya Birla Group companies in Idea stands at 98.3 per
cent. Mr Kumar Mangalam Birla has been named the Chairman of the company. The
other directors on the board are: Mrs. Rajashree Birla, Chairperson, Aditya Birla
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Centre for Community Initiatives and Rural Development; Mr. Sanjeev Aga,
Managing Director, Aditya Birla Nuvo; Mr. Debu Bhattacharya, Managing Director,
Hindalco; Mr. Saurabh Misra, Director, Aditya Birla Management Corporation Ltd.
and CEO, UltraTech; and Mr. M. R. Prasanna, Group Executive President (Legal),
Aditya Birla Group.
Aditya Birla Nuvo Ltd. holds 35.7 per cent, Birla TMT Holdings Ltd. 44.9 per cent,
Grasim 7.5 per cent, and Hindalco 10.1 per cent in Idea.
With ambitious future plans, the company is poised for rapid growth.
Hutch Essar
Hutch is the fourth largest cellular operator in India that covers most of the country.It
offers both prepaid and postpaid GSM cellular phone coverage throughout India and
is especially strong in the major metros. The company is often praised for its award
winning advertisements which all follow a clean, minimalist look. A recurrent theme
is that its message Hi stands out visibly though it uses only black letters on white
background. Another recent successful ad campaign in 2003 featured a dog following
a boy around in unlikely places, with the tagline, Wherever you go, our network
follows.
Hutch Essar is owned by Vodafone 52%, Essar Group 33%, and other Indian
nationals, 15%. Vodafone and the Essar group have reached an agreement on the
management of the company, which will be renamed Vodafone Essar in the near
future.
In Mumbai it was earlier known by the name Orange. It offers both prepaid and
postpaid GSM cellular phone coverage throughout India and is especially strong in
the major metros.
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Marketing Research
Market research and marketing research are often confused.’ Market' research is
simply research into a specific market. It is a very narrow concept. 'Marketing'
research is much broader. It not only includes 'market' research, but also areas such as
research into new products, or modes of distribution such as via the Internet. Here are
a couple of definitions:
"Marketing research is the function that links the consumer, customer, and public to
the marketer through information - information used to identify and define marketing
opportunities and problems; generate, refine, and evaluate marketing actions;
monitor marketing performance; and improve understanding of marketing as a
process. Marketing research specifies the information required to address these
issues, designs the methods for collecting information, manages and implements the
data collection process, analyzes, and communicates the findings and their
implications."
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Based on questioning:
Based on observations:
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Researchers often use more than one research design. They may start with secondary
research to get background information, then conduct a focus group (qualitative
research design) to explore the issues. Finally they might do a full nation-wide survey
(quantitative research design) in order to devise specific recommendations for the
client.
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Market Share
The total amount of money a customer can spend on a certain product category is a
vital piece of information for planning and managing sales and marketing efforts.
This amount is usually referred to as the customer’s wallet (also called opportunity)
for the product category. There are many possible uses for wallet estimates, including
straightforward targeting of sales force and marketing actions towards large wallet
customers and prospects. In a more sophisticated sales and marketing environment,
the combination of classical propensity models for a particular product category with
the knowledge of the wallet for the same category can direct the sales efforts: it
allows a company to market not only to customers or potential customers with a large
wallet, but also to those with a high probability of buying specific products in the
category.
By combining the customer wallet estimates with the data on how much they spend
with a particular seller, we can calculate the share-of-wallet that the seller has of each
customer for a given product category. This information allows the seller to target
customers based on their growth potential, a combination of total wallet and share-
of-wallet. The classical approach of targeting customers that have historically
generated large amounts of revenue for the company (known as lifetime value
modeling) does not give enough importance to customers with a large wallet, but
small share-of-wallet, which are the ones with presumably the highest potential for
revenue growth.
Share-of-wallet is also important for detecting partial defection or silent attrition,
which occurs when customers increase their spending in a given category, without
increasing the amount purchased from a particular company. In certain industries,
customer wallets can be easily obtained from public data. For example, in the credit
card industry, the card issuing companies can calculate the wallet size and respective
share-of-wallet using credit records from the three major credit bureaus. For most
industries, however, no public wallet information is available at the customer level.
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In this case, there are two approaches used in practice for obtaining wallet estimates:
1. Top-Down: starts from a public aggregate estimate for the overall industry
opportunity in a given country and splits this estimate across the individual customers
using heuristics based on the customer characteristics. For example, if the customers
are companies, the overall opportunity could be divided among the companies
proportionally to their number of employees.
2. Bottom-Up: estimates the wallet directly at the customer level, using heuristics or
predictive models based on customer information. A common approach is to obtain
actual wallet information for a random subset of customers/prospects through primary
research. A model is then developed based on this data to predict the wallet for the
other customers/prospects
Factors
Regardless of your industry, you have “points of contact” with your customers; they
aren’t limited to but ultimately coincide with a purchase. Use that contact opportunity
to gather loyalty data. This may require an incentive (especially in retail sectors and
e-commerce) to prompt customer participation.
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You want to dig deeper than the traditional “what is your satisfaction level” type
questions. Find out why they buy from you, who else they buy from and what tips
their scale.
A question we ask when conducting marketing research for our clients is: “if you had
to decide between purchasing from two different stores or companies, what is the
most important factor in that decision?” This always reveals great insight.
Strategies
Once you understand the factors that drive purchasing behavior, you can adjust your
marketing approach to line up with those factors. Following are a few examples of
strategies that effectively increased share of wallet.
• Most airlines jumped on the “frequent flyer” bandwagon, which commoditized the
concept and made it mundane. So, Hawaii Airlines began allowing its points to be
redeemed for rental cars, hotels and golf. This strategy distinguished its program and
appeals to different behavior-based segments of the market.
• Consider the Capital One advertising slogan: “What’s in your wallet?” This is the
ultimate definition of share of wallet. They were leaders in offering balance transfers
(from competing cards) to support their lower interest rate “value” proposition.
• Frito-Lay launched Tostitos Chips in 1981. Ten years later they introduced Tostitos
Salsa. This increased their share of wallet through a “product relationship” strategy
by selling dip to their chip customers—two products that often are purchased at the
same time.
As you develop your “wallet” strategy, keep in mind that the three most
important factors that increase wallet share are: distinction, value and product
relationship.
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Research Methodology
On defining the objective of the project, a plan was developed to gather information
most efficiently. Decisions were taken on the data sources, sampling plan, research
tools and contact methods.
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2. Secondary Data: - The researcher would have to decide which sort of data
he would be using for his study and accordingly he will have to select one
or other method of data collection. Information was gathered from the
internet, media and print so as to obtain relevant information such as
industry background and also public perception of Airtel, Hutch and Idea.
Secondary data is very carefully used in research process because it is just
possible that the secondary data may be unsuitable or may be inadequate in
the content of the problem which we want to study. The data used in
research is reliable according to our research needs. Data should be suitable
and adequate.
Internet
Airtel has its own site in which all details are given
www.airtelworld.com
www.coai.com
www.hutch.co.in
www.idea.com
www.google.com
Are the main sites which are been used for collection of data in our
research.
3. Target Respondents
Shopkeepers of each and every market visited.
4. Sampling
Sample size of 260 individuals relatively covering Rohini under the
distributor was taken. The areas covered were
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DATA ANALYSIS
Area 1: Rohini sector 11 and 16
SAMPLE SIZE: 94
Yes
No
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Airtel
Hutch
Reliance
Tata
Dolphin
Idea
Conclusion: Airtel, Hutch and Idea’s activation sims are kept by all the existing
retailers whether telecom or non telecom but tata, reliance and dolphin are kept
mostly by telecom shops.
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Q3 If yes, then please indicate your level of activation in your shop per month
for each available services given below depending upon on your response:-
1000
800 0-125
600
400 125-250
200 250-375
0
375-500
AIR TE L HUTC H IDE A TATA R ELIANC E MTNL
500-725
IND IC O M
725-875
Se rv ice s
Conclusion: Airtel is ruling in sales as compared to others with range 725- 875 but
through better promotions, schemes and less claims issues Hutch and Idea is
emerging as second and third respectively and may soon surpass Airtel in sales due to
extensive advertising in this area. Reliance has pretty decent sales as compared to
Tata Indicom and MTNL.
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Q4 If no, then are you interested in having AIRTEL connections with you now?
Yes 5 25%
No 15 75%
Yes
No
Conclusion: Out of the 20 respondents who don’t keep Airtel connection in their
shop, only 5 are interested to keep Airtel connection i.e. 25% rest are still reluctant to
keep it.
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a) Activation
b) Recharge
c) Both
Activation
Recharge
Both
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Conclusion: Out of these 5 who are ready to keep Airtel connection 60% said they
will keep both i.e. activation and recharge coupons, rest 20% each said that they want
to keep activation and recharge only.
(1- most preferred, 2- preferred, 3- neutral, 4- less preferred, 5- least preferred, N.P-
not preferred at all):-
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R a n k in g o f te le c o m s e rv ic e p ro v id e r w.r.t th e ir p e rfo rm a n c e
40
30
20
10
0
A irte l Id e a H utc h Ta ta R e lia nc e
Ind ic o m
s e rv ic e s
Ma x. cu s to m e r d e m a n d is Va
fo rlu e fo r m o n e yF.O .S s e rvice Activa tio n co m p la in tsC la im d is b u rs e m e n t
Conclusion: This data provide us with the overall view of the performance of all
telecom connections in this market area. As it is clearly observed that Airtel is ranked
1 in maximum customer demand and value for money and ranked 2 in F.O.S service.
Airtel close competitor is observed to be Hutch in maximum customer demand and
value for money and though hutch ranked 1 in F.O.S service. But in case of activation
complaints Airtel ranked 4 due to the more activation complaints in this area. In claim
disbursement Airtel is also lacking behind as compared to Idea and Hutch and Hutch
is considered to be no. 1 in claim disbursement followed by Idea.
Area 2: Rohini sector 15,17 and 18
SAMPLE SIZE: 81
Yes 56 69%
No 25 31%
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Yes
No
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60
50 Airtel
40 Hutch
30 Reliance
20 Tata
10 Dolphin
0 Idea
No. of respondents
Conclusion: Airtel, Hutch and Idea’s activation sims are kept by all the existing
retailers whether telecom or non telecom but tata, reliance and dolphin are kept
mostly by telecom shops.
Q3 If yes, then please indicate your level of activation in your shop per month
for each available services given below depending upon on your response:-
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1000
no. of connections 800 0-125
600
400 125-250
200 250-375
0
375-500
AIR T E L H UT C H ID E A T AT A R E LIANC E MT NL
500-725
IN D IC O M
725-875
S e r v ice s
Conclusion: Hutch is ruling in sales as compared to others with range 725-875 and
on the other hand in this area Airtel is on number 3 due to better schemes of hutch
and idea in his area. And other major reason of airtel become number 3 is activations
complaint and claim disbursements. Tata indicom and reliance have pretty descent
sales in this area
Q4 If no, then are you interested in having AIRTEL connections with you now?
Yes 5 20%
No 20 80%
393910/12/2009 3939- 39
1111111111139
-393939 - 39 -39
393911 22131
40404040
Yes
No
Conclusion: Out of the 25 respondents who don’t keep Airtel connection in their
shop, only 5 are interested to keep Airtel connection i.e. 20% rests are still reluctant
to keep it.
d) Activation
e) Recharge
f) Both
404010/12/2009 4040- 40
1111111111140
-404040 - 40 -40
404011 22131
41414141
Activation 0 0%
Recharge 1 20%
Both 4 80%
Activation
Recharge
Both
Conclusion: Out of these 5 who are ready to keep Airtel connection 80% said they
will keep both i.e. activation and recharge coupons, and 20% said that they want to
keep recharge only.
414110/12/2009 4141- 41
1111111111141
-414141 - 41 -41
414111 22131
42424242
Conclusion: This data provide us with the overall view of the performance of all
telecom connections in this market area. As it is observed that hutch and idea is ruling
as compared to Airtel in maximum customer demand and value for money. Reasons
for airtel lacking behind in this area is maximum activations complaint and less claim
disbursement . F.o.s service of Airtel is pretty fine in this area. In claim disbursement
also hutch is ranked number 1. Retailers in this are happy to sell hutch and idea due
more margin cuts(profits)
424210/12/2009 4242- 42
1111111111142
-424242 - 42 -42
424211 22131
43434343
Yes
No
434310/12/2009 4343- 43
1111111111143
-434343 - 43 -43
434311 22131
44444444
Hutch 61
Reliance 35
Tata 43
Dolphin 24
Idea 61
80 Airtel
no of 60
Hutch
responden 40
Reliance
ts 20
Tata
0
No. of respondents Dolphin
Services Idea
Conclusion: Airtel, Hutch and Idea’s activation sims are kept by all the existing
retailers whether telecom or non telecom but tata, reliance and dolphin are kept
mostly by telecom shops.
Q3 If yes, then please indicate your level of activation in your shop per month
for each available services given below depending upon on your response:-
444410/12/2009 4444- 44
1111111111144
-444444 - 44 -44
444411 22131
45454545
1000
no of connection
800 0-125
600
125-250
400
200 250-375
0 375-500
AIRTEL HUTCH IDEA TATA RELIANCE MTNL 500-725
INDICO M
725-875
Se rv ice s
Conclusion: Idea is ruling in sales as compared to others with range 725- 875
whereas hutch and airtel is at number 2, 3 with number of connection is in range 500-
725 respectively. In this area airtel is lacking behind hutch and idea due to increase in
service complaints and on the other hand, Claim disbursement is given on time by
hutch and idea in this area. Mtnl has the lowest number of selling connection in this
area. Reliance has pretty descent sales
Q4 If no, then are you interested in having AIRTEL connections with you now?
454510/12/2009 4545- 45
1111111111145
-454545 - 45 -45
454511 22131
46464646
Yes 8 33%
No 16 66%
Y es
No
Conclusion: Out of the 24 respondents who don’t keep Airtel connection in their
shop, only 8 are interested to keep Airtel connection i.e. 33% rest are still reluctant to
keep it.
g) Activation
464610/12/2009 4646- 46
1111111111146
-464646 - 46 -46
464611 22131
47474747
h) Recharge
i) Both
Activation
Recharge
Both
Conclusion: Out of these 8 who are ready to keep Airtel connection 75% said they
will keep both i.e. activation and recharge coupons, rest 25% said that they want to
keep
recharge only.
474710/12/2009 4747- 47
1111111111147
-474747 - 47 -47
474711 22131
48484848
R a n k i n g o f t e le c o m s e r v i c e p r o v i d e r w . r . t t h e i r p e r f o r m a n c e
30
20
10
0
A i r te l Id e a H u tc h T a t a In d i c Ro me li a n c e
S e r v ic e s
M a x . c u s t o m e r d e mV aanlud e i sf ofor mr Fo n. Oe .S
y s e r vAi ccet i v a ti o n c o m Cp la i mn tsd i s b u r s e m e n t
Conclusion: This data provide us with the overall view of the performance of all
telecom connections in this market area. As it is clearly observed that idea and hutch
are leading in maximum customer demand and value for money . Airtel is only
number 1 in activation complaints. Due more numbers of activation complaints airtel
is lacking behind in maximum customer demand and value for money as compared to
hutch and idea in this particular area. In this area , airtel is ranked number 3 in all
major attributes. On the other hand tata indicom and reliance are very less in demand
in this area
Type of shops
Chemist
General Store
STD/PCO
Telecom
Others
Stationary
Conclusion: Majority of the shops covered are the telecom shops at around 62%,
next are the STD/PCO with 13%, and then general stores and stationary with 7% each
and with least share are the chemist with 5%.As
Detailed description
A. Chemist (out of 5)
494910/12/2009 4949- 49
1111111111149
-494949 - 49 -49
494911 22131
50505050
Chemist
Have actrivation
Interested to have
Not interested
505010/12/2009 5050- 50
1111111111150
-505050 - 50 -50
505011 22131
51515151
General stores
Have activation
Interested to have
Not interested
Conclusion: Majority already has Airtel connection and only 14%of total 7 shops are
interested in keeping Airtel for selling.
515110/12/2009 5151- 51
1111111111151
-515151 - 51 -51
515111 22131
52525252
STD/PCO
Have activation
Interested to have
Not interested
D.Others (out of 6)
525210/12/2009 5252- 52
1111111111152
-525252 - 52 -52
525211 22131
53535353
Others
Have activation
Interested to have
Not interested
Conclusion: In other category shops like gift shops etc. majority is in favor of not
keeping Airtel connection i.e. 50%. And only 17% are interested to keep Airtel
connection with them out of 6.
535310/12/2009 5353- 53
1111111111153
-535353 - 53 -53
535311 22131
54545454
Interested to have 5 9%
Not interested 2 3%
Telecom
Have activation
Interested to have
Not interested
F. Stationary ( out of 7)
545410/12/2009 5454- 54
1111111111154
-545454 - 54 -54
545411 22131
55555555
Stationary
Have activation
Interested to have
Not interested
Conclusion: in this category 57% already had Airtel connection and the remaining
were not interested to keep i.e. 43%.
555510/12/2009 5555- 55
1111111111155
-555555 - 55 -55
555511 22131
56565656
Type of shops
Chemist
General Store
STD/PCO
Telecom
Others
Stationary
Conclusion: Majority of the shops covered are the telecom shops at around 59%,
next are the others, chemist and general stores with 12%, 11% and
10%respectively and next are the Std/PCO with 5% and with least share are the
stationary with only 3%.
Detailed description
A.Chemist (out of 9)
565610/12/2009 5656- 56
1111111111156
-565656 - 56 -56
565611 22131
57575757
Chemists
Have activation
Interested to have
Not interested
575710/12/2009 5757- 57
1111111111157
-575757 - 57 -57
575711 22131
58585858
General stores
Have activation
Interested to have
Not interested
C. STD/PCO (out of 4)
585810/12/2009 5858- 58
1111111111158
-585858 - 58 -58
585811 22131
59595959
STD/PCO
Have activation
Interested to have
Not interested
595910/12/2009 5959- 59
1111111111159
-595959 - 59 -59
595911 22131
60606060
Telecom
Have activation
Interested to have
Not interested
Conclusion: Majority of telecom retailers i.e. 84% already have Airtel connection
with them. Out of remaining 5 are not interested while 3 are interested to keep
Airtel connection with them.
606010/12/2009 6060- 60
1111111111160
-606060 - 60 -60
606011 22131
61616161
Others
Have activation
Interested to have
Not interested
Conclusion: In this category only one shop was interested in having Airtel
connection. Out of 10, 5 already had Airtel connection and the remaining 4 were
not interested.
616110/12/2009 6161- 61
1111111111161
-616161 - 61 -61
616111 22131
62626262
Stationary
Have activation
Interested to have
Not interested
Conclusion: In this area out of 2 stationeries, 1 already had Airtel connection while
the other was not interested.
626210/12/2009 6262- 62
1111111111162
-626262 - 62 -62
626211 22131
63636363
STD/PCO 13 15%
Telecom 47 55%
Others 9 11%
Stationary 6 7%
Type of shops
Chemist
General Store
STD/PCO
Telecom
Others
Stationary
Conclusion: Majority of the shops covered in this area also are the telecom shops
at around 55%, next are the STD/PCO and others with 15% and 11% respectively,
next are chemists and stationary with 7% each and with least share are the general
store with 5%.
Detailed description
A.Chemist (out of 6)
Reply of No. of
respondents respondents Percentage of respondents
Have activation 3 50%
Interested to have 1 17%
Not interested 2 33%
636310/12/2009 6363- 63
1111111111163
-636363 - 63 -63
636311 22131
64646464
Chemist
Have activation
Interested to have
Not interested
Conclusion: 50% i.e. 3 out of 6 already had Airtel connection and 2 responded
negatively while 1 was interested to have the Airtel connection.
Reply of No. of
respondents respondents Percentage of respondents
Have activation 0 0%
Interested to have 3 75%
Not interested 1 25%
646410/12/2009 6464- 64
1111111111164
-646464 - 64 -64
646411 22131
65656565
General stores
Have activation
Interested to have
Not interested
656510/12/2009 6565- 65
1111111111165
-656565 - 65 -65
656511 22131
66666666
STD/PCO
Have activation
Interested to have
Not interested
Conclusion: 62% already have Airtel connection in this category and 23% are not
interested to keep Airtel connection and the remaining 15% showed interest.
666610/12/2009 6666- 66
1111111111166
-666666 - 66 -66
666611 22131
67676767
Telecom
Have activation
Interested to have
Not interested
Conclusion: Majority of the telecom shops i.e. 74% already have activation and from
the remaining 19% were not interested while 7% were interested to have the Airtel
connection.
E. Others (out of 9)
676710/12/2009 6767- 67
1111111111167
-676767 - 67 -67
676711 22131
68686868
Others
Have activation
Interested to have
Not interested
Conclusion: 4 out of 9 i.e. 45% were already selling Airtel connection while other
33% were not interested to have and the remaining 2 were interested to have the
connection.
E. Stationary ( out of 6)
686810/12/2009 6868- 68
1111111111168
-686868 - 68 -68
686811 22131
69696969
Stationary
Have activation
Interested to have
Not interested
Conclusion: 67% of stationary in this area were already having Airtel connection
while the remaining 33% were not interested.
696910/12/2009 6969- 69
1111111111169
-696969 - 69 -69
696911 22131
70707070
More and vast visibility of Hutch and Idea boards and advertisements which is
improving their promotion and branding.
Many telecom retailers want the detailed description of incentives given to
them i.e. on what basis and on how much activation. Here lot of comparison is
being made with Hutch as they are providing with detailed description of
when and why of incentives.
Customer demand is high for Airtel but due to services complaints, less
advertisements and claims issues the retailers are diverting the customers to
Hutch and Idea.
Airtel is still ruling in sales as compared to others but through better
promotion, schemes and less claims issues. Hutch is emerging as second best.
So need to take actions for it.
Customer diversification from Airtel is increasing in regular basis due to
increase in activation complaints.
Network of Airtel is better than any other telecom services.
New schemes are not properly being conveyed to the retailers, so they are
facing problem of no responses to customer queries.
Customer diversification from Airtel is increasing in regular basis due to
increase in delay of retailer incentive.
Board and advertisements are required in many shops. It is been observed that
many shop[s don’t even have normal banner of Airtel in their shop in spite of
demanding of long.
Schemes in Airtel and tariff plans are expensive than other telecom services.
Lot of technical problems are complained here due to that retailers
dissatisfaction is increasing, also immediate services are not provided by the
department from Airtel.
There is different tariff plan for different connection in Airtel, that frustrates
customers
There is large number of rejection rate for taking up any new kind of business
in the non- telecom shops this is due to lack of awareness and scarcity of
resources in this area.
717110/12/2009 7171- 71
1111111111171
-717171 - 71 -71
717111 22131
72727272
Idea is provided with better schemes and Idea sale services are quickest
among all in this area.
Claim problem is the major issue in this area.
Mainly youth customers are attracted by H- card (Hutch) and I- card (of Idea)
as compared to Yuva (Airtel) in this area.
727210/12/2009 7272- 72
1111111111172
-727272 - 72 -72
727211 22131
73737373
Limitations
o The samples were taken on the basis of convenience sampling which may
bring element of error.
o Samples were only taken from Rohini area.
o Survey times are as such that maximum shop owners or respected persons
were not available for survey. So, through contact basis survey is done.
737310/12/2009 7373- 73
1111111111173
-737373 - 73 -73
737311 22131
74747474
o The sample size is very small and the result of research cannot be expralated
to the entire population.
747410/12/2009 7474- 74
1111111111174
-747474 - 74 -74
747411 22131
75757575
Recommendations
Airtel should focus more on promotion and advertising part as areas which are
surveyed have very less awareness about the schemes and all.
Working of sales department should be more flexible as complaints regarding
incentives and claims are being observed.
757510/12/2009 7575- 75
1111111111175
-757575 - 75 -75
757511 22131
76767676
Major threat from hutch and Idea are seen as hutch is providing with quick
sales facilities, excellent communication network and high promotion whereas
Idea is giving very economical schemes and connectivity. So, to decrease
customer diversification and to maintain the brand name of the company
better communication network should be established between sales
management and the retailers by attending their complaints properly, giving
timely and verified incentives, increase in manpower, taking regular feedback.
By mismanagement on behalf of the distributor side also many retailers
grievances are increasing, complete check on workings on distributors should
be done.
Majority of STD/PCO shops showed interest in having Airtel connection. So
priority should be given to them, all their needs and demands should be
thoroughly taken into consideration.
Better schemes for dealers/ retailers so that they can be able to develop self
interest and they could try their level best to make more and more sale which
would lead benefit to dealers and company as well.
Brochures and catalogues should be made available.
More claim margins: the dealers have this issue that working in a small
margins is not acceptable to them i.e. just 2.47% margin is not much it should
be increased so that the dealers also be able to make some more profits.
767610/12/2009 7676- 76
1111111111176
-767676 - 76 -76
767611 22131
77777777
Conclusion
The basic and to the point conclusion of the above discussed issue is that the
company can make more and more profits only when it can satisfy all its customers,
777710/12/2009 7777- 77
1111111111177
-777777 - 77 -77
777711 22131
78787878
dealers and distributors in order to do that the company should agree with all their fair
suggestions and make them happy.
If workers will be happy and satisfy then they will make sincere efforts to achieve
their targets and increase the sales of the company.
787810/12/2009 7878- 78
1111111111178
-787878 - 78 -78
787811 22131
79797979
Bibliography
Books
797910/12/2009 7979- 79
1111111111179
-797979 - 79 -79
797911 22131
80808080
Websites
www.google.com
www.hutch.co.in
www.wikepedia.com
www.coai.com
Company information
www.airtel.com
www.airtelworld.com
Teleworld magazines
Pamphlets from various retailers
808010/12/2009 8080- 80
1111111111180
-808080 - 80 -80
808011 22131
81818181
QUESTIONNAIRE
WALLET SHARE OF AIRTEL IN DELHI MARKET
818110/12/2009 8181- 81
1111111111181
-818181 - 81 -81
818111 22131
82828282
NOTE: Please tick (√) the option, which you find appropriate
This is the survey regarding the evaluation of wallet share of Airtel in Delhi
Yes
No
Airtel Tata
Hutch Dolphin
Reliance Idea
Q3 If yes, then please indicate your level of activation in your shop per month
for each available services given below depending upon on your response:-
828210/12/2009 8282- 82
1111111111182
-828282 - 82 -82
828211 22131
83838383
Q4 If no, then are you interested in having AIRTEL connections with you now?
Yes
No
j) Activation
k) Recharge
l) Both
Q8 Please mention the area’s that you would like AIRTEL to improve on its
product and services.
838310/12/2009 8383- 83
1111111111183
-838383 - 83 -83
838311 22131
84848484
PERSONAL DETAILS
Name:
Age:
Contact no. (Shop)
(Mobile)
Shop Address:
• Cost efficiency
Date of visit:
Type of shop:
848410/12/2009 8484- 84
1111111111184
-848484 - 84 -84
848411 22131