Project Report On

A STUDY ON CONSUMER SWITCHING BEHAVIOUR IN

CELLULAR SERVICES IN SELECTED DISTRICTS OF KERALA

Submitted in Partial Fulfillment of the Requirement for the

Award of the Degree of

Master of Business Administration

Of APJ Abdul Kalam Technological University, Thiruvananthapuram, Kerala

Submitted by

Romi Roy
MGP18MBA75
Course No.57
Trimester 5, 2018-2020

Under the Guidance of

Mr. Ananda Krishnan.S Nambiar

Department of M.B.A., Saintgits College of Engineering

Kottukulam Hills, Pathamuttom, Kottayam-686 532
February, 2019
ii
 DECLARATION

This to declare that the project title “A study on consumer switching behavior in cellular
services in selected districts of Kerala” is an authentic record of my original work carried out
under the guidance of Mr. Anandakrishnan S Nambiar, Assistant Professor, Saintgits Institute
of Management.

The project work has been carried out solely for the purpose of submission in partial fulfilment
of Master of Business Administration at Saintgits Institute of Management, Kerala
Technological University.

I further declare that I have not submitted this document to any other school, university or
Institution in whatever manner.

Place: Pathamuttom
Romi Roy

Date: 18/02/2020

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 ACKNOWLEDGEMENT

I express my sincere thanks to the great Almighty for being with me from the beginning till
the completion of my project.

I am extremely grateful to Dr. Roji George, Dean, Saintgits Institute of Management

& Dr. Thomas Varghese, Professor, for their valuable suggestions and encouragement that
was a constant source of inspiration and motivation for me during the course of this project.

I am greatful to Mr. Ananada krishnan S Nambiar, Assistant Professor and faculty guide
for his whole hearted support and guidance.

My profound gratitude to all members of faculties, for their valuable guidance, timely
suggestions, kind co-operation and help provided for the successful completion of this
project.

Unflinching support and constant encouragement from the members of my family and
friends helped me a long way to complete my work, must thank all from deep of heart.

ROMI ROY

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 TABLE OF CONTENT
SL. No TOPIC PAGENO
Cover page i
Certificate ii
Declaration iii
Acknowledgement v
Table of contents vi
List of tables viii
List of Figures x
Executive summary xi
1 INTRODUCTION 1
1.1 Introduction to study 1
1.2 Problem statement 3
1.3 Objectives of the study 3
1.4 Scope of the study 4
1.5 Significance of the study 4
1.6 Limitations of the study 4
1.7 Chapterisation scheme 4
2 PROFILES 6
2.1 Industry profile 6

3 LITERATURE REVIEW 12
3.1 Conceptual Framework 12
3.2 Switching Behaviour 12
3.3 Price 14
3.4 Brand Loyalty 15
3.5 Network Problems 16
4 RESEARCH METHODOLOGY 18
4.1 Objectives of the study 18
4.2 Research Hypotheses 18
4.3 Research Design 19
5 DATA ANALYSIS AND INTERPRETATION 22

6 FINDINGS, RECOMMENDATIONS AND 38

vi
 CONCLUSION 38

7 BIBLIOGRAPHY 42

8 ANNEXURE 45

vii
 LIST OF TABLES
SL NO PARTICULARS PAGE
NO
2.1.1 Table Showing the Advantages of Indian telecom 7
industry
2.1.2 Table Showing the Market Share of Mobile operators 11
5.1.1 Table Showing the Gender of the respondents 22
5.1.2 Table Showing the Age of the respondents 23

5.1.3 Table Showing the Marital status of the respondents 24

5.1.4 Table Showing the Educational qualification of the 25

respondents
5.1.5 Table Showing the Preferred service provider 26
5.1.6 Table Showing the Reasons for consumers switching 27
behavior.
5.1.7 Table Showing the Major influences for switching 28
decision
5.1.8 Table Showing the Satisfaction level of consumers 29
with current service provider

5.1.9 Table Showing the Most preference about service 30

provider
5.2.1 Table Showing the Analysis of relationship towards 31
consumer switching behaviour and price using
correlation
5.2.2 Table Showing the Analysis of relationship towards 32
consumer switching behaviour and brand loyalty using
correlation
5.2.3 Table Showing the Analysis of relationship towards 33
consumer switching behaviour and network problems
using correlation
5.2.4 Table Showing the Analysis of relationship towards 34
consumer switching behaviour and gender using T test

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5.2.5 Table Showing the Analysis of relationship towards 35
consumer switching behaviour and age categories
using Anova
5.2.6 Table Showing the Analysis of relationship towards 36
consumer switching behaviour and marital status using
T test.
5.2.7 Table Showing the Analysis of relationship towards 37
consumer switching behaviour and education
qualification using Anova.

ix
 LIST OF FIGURES
SL NO PARTICULARS PAGE
NO
2.1.1 Figure showing Present Telecommunication 10
industry
3.1.1 Figure showing the Conceptual framework 12
3.5.1 Figure showing the network development in India 16
5.1.1 Figure showing the gender of the respondents 22
5.1.2 Figure showing the age of the respondents 23
5.1.3 Figure showing the marital status of the 24
respondents
5.1.4 Figure showing the educational qualification of 25
the respondents
5.1.5 Figure showing the Cellular services of the 26
respondents.
5.1.6 Figure showing reasons for switching behaviour. 27

5.1.7 Figure showing switching decision to purchase 28

new SIM card.
5.1.8 Figure showing promotional offers of service 29
provider.
5.1.9 Figure showing consumers most preference. 30

x
 EXECUTIVE SUMMARY

Mobile switching behavior is more relevant in today’s market. Without changing the number
the consumers can change their provider. Many providers loss their market due to several
factors. Some of the factors are new technology, 4G service, Network problems, High Tariff
etc. Consumers are more inclined to switch their provider when they receive better offers from
the competitors. In 2017 Jio had entered the market and within no time it captured the market
with its penetration pricing strategy.
This study is conducted with a view to find out the reasons by which the consumers are
switching their service provider. The main aim is to determine whether price, network problems
and brand loyalty play a crucial role in consumer’s mind while opting to switch their provider.
The gender and age relationship between various factors is also put to test through the study.
This study was conducted in selected districts of Kerala that is Kottayam and Alappuzha
because the geographical regions are different when compare with others districts of Kerala.
When we take Kottayam it has got plane and mountain territories and Alappuzha is entirely
different it is full of backwaters and sea. The occupation and living standard also differ in
Alappuzha.
The study also conducted several tests for interpreting the survey data. Some of the tests which
conducted are correlation in order to under the relationship between independent variable and
dependent variable. The test showed there is a positive correlation between independent
variable and dependent variable. The Price, Brand Loyalty and Network problems lead the
consumers to switch their service provider. The study also conducted some other tests like T
test and anova.

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 CHAPTER-1
INTRODUCTION
 Chapter-1
Introduction
1.1 INTRODUCTION TO THE STUDY
Indian mobile market is one of the fastest growing markets and is forecasted to reach 868.47
million users by 2020. India has seen rapid increase in the number of players which caused the
tariff rates to hit an all-time low. This allowed the players to target the low income population
thereby increasing the market share. The availability of a number of subscriber options for
consumers and varied tariff rates of each player, lead the consumers to switch between service
providers. The objectives of the study are to find the factors that influence the consumers in
switching the service provider and to delve into finding out the likeliness of switching the
service provider. The type of research used for this study is descriptive research design. The
area covered under this study is Kerala, due to availability of well mixed population. A well-
structured questionnaire was designed and administered to collect samples across Kerala. Due
to high population and need for variety of respondents, Cluster Sampling method was chosen.
The sample size was 105. The variables considered for the study are Consumer demographics,
Consumer satisfaction with existing service provider, Factors influencing the switching
behaviour and factors that affect the switching behaviour of consumers and these were grouped.
The results from the study reveal that call rates plays the most important role in switching the
service provider followed by network coverage, value added service and customer care while
advertisement plays the least important role. It is found that there is a relation between
switching the service provider and the factors (Price, Brand loyalty and Network Problems,
etc.). After analyzing the findings of the study, we propose that the mobile providers
concentrate on increasing network stability and setting tariff rates competitively.

According to Gartner, with a compound annual growth rate (CAGR) of 18%, the country’s
cellular services market is projected to surpass $37 billion by 2020, while exceeding 737
million connections at the same time. Cellular market penetration is projected to increase from
19.8% in 2007 to 60.7% in 2020, not only due to the increasing focus on the rural market, but
also thanks to such factors as local consumer durable and electronic companies entering the
domestic mobile handset segment, and lower handset prices. The Indian mobile market
continues to be dominated by prepaid subscribers, which accounted for more than 89% of all
mobile connections in 2007 and is expected to grow to more than 92% of the connection base
by 2020. The total services revenue for prepaid connections is expected to grow at 18.9%

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CAGR for the period 2018-2020 and the total services revenue for post-paid connections is
expected to grow at 15% CAGR during the same forecast period. By 2020, the prepaid
subscriber base will cross 683 million and post-paid subscriber base will exceed 53 million
subscribers. The mobile phones are progressively becoming cheaper and affordable for people
in the country with the increase in disposable income that improves the quality of life in India.
People are showing interest in new technologies like the option to access internet using a
mobile phone. Besides, mobile service providers are also adding new schemes, offers and
technology advancement in their services. This has resulted in more and more consumers are
buying mobile phones and switching between different service providers.
"The Indian telecom sector, seen as providing the most affordable services in the world, has
grown by leaps and bounds in the last decade. This remarkable journey to 100 million
consumers is a testament to the vision and commitment of a company that benchmarks itself
with the best in the world,'' Sunil Bharti Mittal, chairman and group chief executive officer of
Bharti Enterprises said. (Times of India May 2009).
Switching behaviour is a consumer behaviour where the behaviour of the consumers differs
based on the satisfactory level of the consumers with the providers or companies. Switching
behaviour can be enunciated as the process of being loyal to one service and switching to
another service, due to dissatisfaction or any other problems. Even if a consumer is loyal to a
particular brand, if the brand does not satisfy his/her needs, the consumers switch to a
competitor brand. There are different factors and determinants which affect the consumers in
switching their service from one service to another. The cost which is incurred during the
switching process is called switching cost. Consumer loyalty is defined as “the degree to which
a Consumer exhibits repeat purchasing behaviour from a service provider, possesses a positive
attitudinal disposition toward the provider, and considers using only this provider when a need
for this service arises” (Gremler and Brown, 1996, p. 173).Losing a consumer is a serious
setback for the firm in terms of its present and future earnings. In addition to losing the benefits
discussed above, the firm needs to invest resources in attracting new consumers to replace the
ones it has lost (advertising, promotion, initial discounts). Peters (1987) shows that it can cost
five times more to acquire a new consumer than to retain an old one. Consequently, retaining
the current consumer base is much more attractive and viable than searching for new
consumers.

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1.2 PROBLEM STATEMENT
As the telecom sector is rapidly growing in India, due to the industry attractiveness, new players
are entering into the industry and making it more competitive, adding more options for the
consumers to switch between the cellular service providers. As the study of Oyeniyi and
Abiodun (2010) indicates that, the consumer switching behaviour will affect the cellular service
providers in terms of lowering market share, revenues and consumer base of the firm.
Therefore, the research is carried out on the topic of consumer switching behaviour which could
help the cellular service providers to understand the reasons or rationale behind switching
behaviour of consumer in cellular services.
The present study seeks to examine the impact of Mobile Number Portability on mobile users
switching behaviour-Indian mobile market. It aims to analyse the magnitude of mobile number
portability.
An attempt is also made to identify the major factors influencing the switching behaviour of
mobile number portability. With greater choice and increasing awareness, Indian consumers
are increasingly demanding better quality of service or else switchover over to other better
service. The main aim of this research is use to determine the effect of Mobile Number
Portability (MNP) among the mobile users of selected districts of Kerala.

1.3 OBJECTIVES OF THE STUDY

General Objectives
This research has been developed to identify, examine and better understanding the relationship
between switching behaviours and Brand Loyalty. The general objective of this research is to
examine the factors that affect switching behavior with special reference to Kottayam and
Alappuzha districts. This study also look towards geographical territories and switching
behavior in cellular service

Specific Objectives

 To identify the factors that affects the consumers into switching the service provider.
 To find the most preferred service provider in selected districts of Kerala.
 To find the major influences that goes into the decision of purchasing a SIM card.
 To find the likeliness of switching the service provider.

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1.4 SCOPE OF THE STUDY

 The present study can be extended to other geographical areas.

 It can be extended to study the usage of mobile services of different age groups and
accordingly new plans can be formulated.
 This study can be extended to understand the switching behaviour of a particular
cellular service provider.

1.5 SIGNIFICANCE OF THE STUDY

The topic for the research is “A Study on Consumer Switching Behaviour in Cellular Services
in Selected Districts of Kerala. Kerala has got a higher no of educated people and they are
following the current trends of the market. Mobile service providers were having a
monopolistic market prior to the arrival of Jio. It was Idea who introduced switching the
provider without changing the present mobile number. Jio was not having portability facility
when it introduced in the market. But people were switching their number from one provider
to another due to several reasons. Most of the people who are using mobile phones are not
keeping the same service provider for a long time. Now it is most of the people switch their
provider when they find some interruption from the provider.

1.6 LIMITATIONS OF THE STUDY

During the study time following were the major constraints faced:

 Due to short time period, research covers the behaviours of the people at a particular
time.
 Study confined to certain location only in the Alappuzha and Kottayam premises so it
does not represent the whole population.
 Service providers chosen for this research were limited.

1.7 CHAPTERISATION SCHEME

This project is divided into six chapters, namely

Chapter 1: Introduction
Chapter 2: Profile
Chapter 3: Literature Review

4
Chapter 4: Research Methodology
Chapter 5: Data Analysis and Interpretation
Chapter 6: Findings, Recommendations and Conclusion.
And a detailed bibliography is given at the end of the
Project

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 CHAPTER-2

INDUSTRY/ COMPANY PROFILE

 Chapter-2

Industry/Company Profile

INTRODUCTION

This chapter deals with the brief description of the industry chosen for the project that is the
telecom industry. This also gives a clear description about Switching. This will give insight
into an industry, where it came from, and where it appears to be going. The main aim is to learn
about an industry or to see what experts say about the future of an industry, including trends
and opportunities.

2.1 INDUSTRY PROFILE

Introduction
India is currently the world’s second-largest telecommunications market with a subscriber base
of 1.20 billion and has registered strong growth in the past decade and half. The Indian mobile
economy is growing rapidly and will contribute substantially to India’s Gross Domestic
Product (GDP), according to report prepared by GSM Association (GSMA) in collaboration
with the Boston Consulting Group (BCG). As of January 2019, India has witnessed a 165 per
cent growth in app downloads in the past two years. 4.8 billion Downloads of mobile
applications were registered in India in first three months of 2019.
The liberal and reformist policies of the Government of India have been instrumental along
with strong consumer demand in the rapid growth in the Indian telecom sector. The government
has enabled easy market access to telecom equipment and a fair and proactive regulatory
framework that has ensured availability of telecom services to consumer at affordable prices.
The deregulation of Foreign Direct Investment (FDI) norms has made the sector one of the
fastest growing and a top five employment opportunity generator in the country.

Market Size
India ranks as the world’s second largest market in terms of total internet users. The number of
internet subscribers in the country increased at a CAGR of 45.74 per cent during FY06-FY19
to reach 636.73 million in 2018-19. Total wireless data usage in India grew 119.00 per cent
year-on-year to 17,940,576 terabytes between April-June 2019. The internet subscribers
reached 665.31 million till June 2019.

6
Further, India is also the world’s second largest telecommunications market, total telephone
subscriber base and tele-density reached 1,195.24 million and 90.52 per cent, respectively, at
the end of September 2019.
Gross revenue of the telecom sector stood at Rs 61,535 crore (US$ 8.93 billion) during April-
June 2019.
Over the next five years, rise in mobile-phone penetration and decline in data costs will add
500 million new internet users in India, creating opportunities for new businesses.

Table 2.1.1: Table showing Advantages of Indian Telecom Industry

Investment/Major development
With daily increasing subscriber base, there have been a lot of investments and developments
in the sector. FDI inflows into the telecom sector during April 2000 – June 2019 totalled to
US$ 37.05 billion, according to the data released by Department for Promotion of Industry and
Internal Trade (DPIIT).
Some of the developments in the recent past are:
 As per report by Ericsson, India has the world’s highest data usage per smartphone at
an average of 9.8GB per month.
 As of August 2019, Jio's IoT platform is ready to be commercially available from
January 2020.
 In August 2019, commercially launched Jio GigaFiber as wired broadband service.

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  During the first quarter of 2018, India became the world’s fastest-growing market for
mobile applications. The country remained as the world’s fastest growing market for
Google Play downloads in the second and third quarter of 2018.
 Bharti Airtel is planning to launch 6,000 new sites and 2,000 km of optical fiber in
Gujarat in 2018-19.
 Vodafone India and Idea Cellular have merged into ‘Vodafone Idea’ to become India’s
largest telecom company, as of September 2018.
Government Initiatives
The government has fast-tracked reforms in the telecom sector and continues to be proactive
in providing room for growth for telecom companies. Some of the other major initiatives taken
by the government are as follows:
 The Government of India is soon going to come out with a new National Telecom
Policy 2018 in lieu of rapid technological advancement in the sector over the past few
years. The policy has envisaged attracting investments worth US$ 100 billion in the
sector by 2022.
 The Department of Information Technology intends to set up over 1 million internet-
enabled common service centres across India as per the National e-Governance Plan.
 FDI cap in the telecom sector has been increased to 100 per cent from 74 per cent; out
of 100 per cent, 49 per cent will be done through automatic route and the rest will be
done through the FIPB approval route.
 FDI of up to 100 per cent is permitted for infrastructure providers offering dark fibre,
electronic mail and voice mail.
 The Government of India has introduced Digital India programme under which all the
sectors such as healthcare, retail, etc. will be connected through internet
Achievements
Following are the achievements of the government in the past four years:
 Department of Telecommunication launched ‘Tarang Sanchar’ - a web portal sharing
information on mobile towers and EMF Emission Compliances.
 Value of Unified Payments Interface (UPI) transactions crossed 1 billion-mark and
witnessed transaction value of Rs 1.91 lakh crore (US$ 27.33 billion) in October 2019.
 As of July 2019, India achieved 100 per cent digitisation of cable TV network.
 Six-fold increase in Government spending on telecommunications infrastructure and
services in the country – from Rs 9,900 crores (US$ 1.41 billion) during 2009-14 to Rs
60,000 crores (US$ 8.55 billion) (actual + planned) during 2014-19.

8
  Over 75 per cent increase in internet coverage – from 251 million users to 446 million
 Country-wide Optical Fibre Cable (OFC) coverage doubled – from 700,000 km to 1.4
million km
Road Ahead
India is the world's second-largest telecommunications market, with around 1,191.81 million
at the end of August 2019. The telecom market can be split into three segments – wireless,
wireline and internet services. The wireless market segment comprises of 98.25 per cent of the
total subscriber base, as of August 2019 compared to 95.90 per cent in FY11. As of August
2019, rural subscribers form 42.88 per cent of total telephone subscribers, compared to 33.35
per cent in FY11.
India is also the second largest country in terms of internet subscribers. As of 2019, India holds
the world’s highest data usage per smartphone at an average of 9.8 GB per month. It is expected
to double to 18 GB by 2024. The number of internet subscribers in the country increased at a
CAGR of 41.58 per cent during FY06-FY18 to reach 665.31 million in 2018-19. India became
the world’s fastest-growing market for mobile applications in the first quarter of 2018 and
remained as the world’s fastest growing market for Google Play downloads in the second and
third quarter of 2018. The internet user base in India has crossed 500 million mark and is likely
to reach 627 million by end 2019. Total wireless data usage in India grew 119 per cent year-
on-year to 1,58,50,560 terabytes between January-March 2019. The contribution of 3G and 4G
data usage in total volume of wireless data usage are about 6.83 per cent and 92.56 per cent
respectively during the Q1 FY20. Share of 2G data usage remained 0.60 per cent during the
quarter.
Gross revenue of the telecom sector stood at Rs 61,535 crore (US$ 8.80 billion) in FY20 (April-
June 2019). Strong policy support from the government has been crucial to the sector’s
development. Foreign Direct Investment (FDI) cap in the telecom sector has been increased to
100 per cent from 74 per cent. FDI inflows into the telecom sector during April 2000 – June
2019 totalled to US$ 37.05 billion. As of January 2019, expenditure on telecom infrastructure
and services by Government of India grew six-fold to Rs 60,000 crore (US$ 8.31 billion)
between 2014-19.
To propel the sector on a growth path, the Government of India has launched the National
Digital Communications Policy, 2018, which envisages attracting investments worth US$ 100
billion in the telecommunications sector by 2022.

9
Figure 2.1.1: Figure showing the Present Telecommunication Industry.

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Market share of Mobile Operators.

Rank Operator Market share Ownership

1 Jio 32.04% Reliance Industries Limited
2 Vodafone-Idea 29.12% Vodafone Group (45.1%)

Aditya Birla Group (26%)

Axiata Group Berhad (8.17%)

Private Equity (20.73%)

3 Airtel 28.35% Bharati Airtel Limited
4 BSNL 10.48% Government of India
Table 2.1.2: Table showing the market share of mobile operators in India

Jio is leading the market with 32.04%. With the merger of Vodafone and Idea, it has become
the second largest service provider in India with 29.12%. Airtel who was the market leader till
2017 hold the third position now. BSNL owned by Government of India is holding the fourth
position, once BSNL was the market leader.

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 CHAPTER-3

REVIEW OF LITERATURE
 Chapter -3

Review of literature

3.1 CONCEPTUAL FRAME WORK

Figure 3.1.1 showing the conceptual framework

3.2 SWITCHING BEHAVIOR

Richard Lee, Jamie Murphy, University of Western Australia (2005), their study investigates
determinants that cause mobile phone Customers to transit from being loyal to switching. It
concluded that there are different factors which affect the Customers to switch from loyalty to
switching intentions such as price, technical service quality, Functional service quality,
switching costs, etc. But, the rating was given that price is the most important factor which
affects the Customers to switch loyalties to another provider.
Mohammed Sohel Islam (2008), in his study examined the relationship between switching cost,
corporate image, trust and Customer loyalty. The research finds that although all the
independent variables, switching cost, corporate image, and trust have certain degree of -

12
relationship with the dependent variable, Customer loyalty, only trust has the strongest
relationship with Customer loyalty.
Conor Twomey (2008), Department of Statistics, University College Cork, Ireland, they try to
identify hysteresis in the switching patterns of Customers in the Irish mobile phone industry.
It was not until the introduction by the Communication Regulator of full-number portability
that Customers began to take advantage of the savings that switching mobile phone operator
could produce. Through the use of experimental economics and by modelling switching
behaviour using the Preisach model, along with observed and market data suggests that the
average Customer is misguided and misinformed in his/her decision to switch to bill pay. More
realistically though, one can attribute this unexpected result to the enhanced services and
mobile phone subsidies that a Customer receives as a bill-pay Customer.
Mitja Pirc, Universitat Pompeu Fabra(2006), Spain, the Mobile telecommunications service
sector, in spite of providing high service quality and striving for Customer satisfaction, is
characterized by dynamic Customer activities and provider switching. By using the
consumption system perspective on mobile services and mobile phone, he provides the
explanation on the factors of Customer switching. It is found that the mobile services usage
effect on switching intentions is curvilinear (positive linear and negative quadratic) and that
only the budgetary constraint regarding the service matters and not the one related to the mobile
phone. Past mobile service providers switching experience also contributes to the intention to
switch. Mobile phone ego involvement has positive impact on Customer retention; however
purchase involvement (both mobile phone and mobile services) increases Customer risk.
Oyeniyi, Omotayo* and Abiodun Abolaji Joachim (2008), He attempts to find the relationship
between Customer services on Customer retention in telecommunication industry in Nigeria.
If retention is not managed, Customer‟s loyalty may be lost. He examines the potential
constructs in Customer retention by investigating the chain of effects of retention from
Customer service, satisfaction, value and behavioural intention. The hypotheses are supported
except that a higher level of Customer satisfaction does not lead to Customer loyalty. Customer
satisfaction does not necessarily lead to Customers‟ loyalty. It is assumed that when the
Customer is satisfied, then loyalty towards the telecom company is strengthened. Their results,
further show that the respondents in their study have a positive impression towards their
telecom company‟s ability to meet their changing needs.
Juan Pablo Maicas Lopez, Yolanda Polo Redondo and Fco, Javier Sese Olivan ,University of
Zaragoza, Zaragoza, Spain,(2006) their research shows how relationship marketing has
recognized the importance of building long-term relationships in increasing firms‟ profitability

13
and guaranteeing their future viability. The results obtained show that the length, depth and
breadth of relationships help to determine Customers‟ propensity to switch fixed telephone
suppliers. Customers who maintain a long-lasting relationship with the firm (length), use the
service more (depth), and invest in complementary services (breadth) will be less predisposed
to switch. They conclude that Service usage reduces the probability of switching and
strengthens the relationship between the parties, encouraging them to seek a long-term
orientation.

3.3 PRICE
Pricing policy is an important consumer behavioural aspect to derive the level of satisfaction
of consumers and their elevation to the status of loyal consumers. The customers of any product
or service expect proportionate price or cheap cost for their product as well as their service.
Keeping their price in their mind they also work out a proportionate with quality of product
and service. Nevertheless the following reviews highlight the impact of price on customer
loyalty as well as the perceptional change in their purchase behavior.
Idriss Maoui, Hayiye Ayhan, Robert.D.Foley, in an innovative research identified pricing
policy is one of the indispensable service facility offered by service providers. Pricing is not a
unique phenomenon, but it is noticed by every customer and compels them to compare the
prices. The customers in the service system are not unique, but maximize the customers within
the short span of time.
Jiwoong Shin, Sudhir. K, clearly extracted the factors influencing the customer relationship
management. In this paper, the authors attempted to answer the prevailing dilemma among the
service providers. In this descriptive study, they analytically approached the profitability limit
and their marketer’s compulsion to catch hold of the customers. They carefully identified a
behavior based pricing which will magnetically attract many customer in the course of heavy
competition. When the firms offer lower price to their customers than the competitors price,
they find the
Customers brand trust them to analyze and weigh every particle of evidence for the strategic
management of the service provider.
Gad Allon, Itai Gurvich, dealt with the problem of many server approximation, significant
simplifications of optimality of the relationship between customers and service providers. They
identified large scale service providers compete on both prices and responses diffuse several
sales promotion strategies to catch hold of their customers. Price and service level choices are
essential components of the marketers to increase their level of attractions and to increase brand

14
value.
Lijian Chen, Suraj.M.Alexander, in an innovative research, ascertained that pricing mechanism
is closely related to effective customer service management. It is revealed that the price demand
relationships in many industries are not affected by competition arises from the local markets.
So far, the review ascertained that the pricing mechanism has more proximity with customer
satisfaction and identification in their post purchase behavioural era. The customers are highly
meticulous in verifying their fulfillment of expectation at reasonable price. This phenomenon
also useful to express the consumers experiences and preferences for their purchase.

3.4 BRAND LOYALTY

Due to intense competition in the market place, businesses have increased efforts to implement
the customer retention strategy in order to maximize the lifetime value of customers (Boshoff
& du Plessis, 2009). According to Deng, Lu, Wei, Zhang (2010), customer loyalty refers to
commitment by customers to make consistent repeat purchases of a preferred brand or service
in spite of situational and marketing efforts to influence switching behaviour. For Cheng et al.
(2011), customer satisfaction means creating and maintaining long-term relationships with
customers. Hong and Cho (2011) assert that customer loyalty indicates the consumers’
psychological attachment to the product as well as attitudinal advocacy toward the business.
Through strengthened customer loyalty, businesses are able to retain customers and,
consequently, profits increase (Lee, 2010). This complies with a suggestion by Deng et al.
(2010) who pointed out that customer loyalty is a predictor of long-term viability of the firm
as loyal customers are not influenced by bad publicity and they provide free word-of-mouth
advertising and referrals. Cheng et al. (2011) proposed that it is cost-effective to maintain
existing customers than obtaining new ones. To this the authors proceeded to state that the cost
of developing a new customer is between five and nine times the cost of maintaining existing
customers. This demonstrates that retailers need to retain loyal customers because, through
cost-effectiveness, there are high chances of survival and strong future growth. According to
Boshoff and du Plessis (2009), the benefits of customer loyalty are that loyal customers are
cheap to maintain, are price insensitive, spread free positive word-of-mouth, always provide
suggestions, and always try new products.

15
3.5 NETWORK PROBLEMS

Figure 3.5.1 is showing the network development in India

1G: The basic mobile telephony service for plain simple voice.
2G: The mobile telephone services for bulk subscribers with upgraded ciphering and effective
use of the wireless spectrum.
2.5G: The mobile worldwide Internet Services
3G: The enhanced 2.5G services with global roaming, and evolving new applications.
4G: It is expected to deliver all over IP services based on packet switching

In the Research article ‘A Quantitative Analysis Of Handover Time At Mac Layer For Wireless
Mobile Networks’ extensive studies have been carried out for reducing the handover time of
wireless mobile network at medium access control (MAC) layer. However, none of them show
the impact of reduced handover time on the overall performance of wireless mobile networks.
This paper presents a quantitative analysis to show the impact of reduced handover time on the
performance of wireless mobile networks. The proposed quantitative model incorporates many
critical performance parameters involve in reducing the handover time for wireless mobile

16
networks.
The Research paper on ‘Effective Replicated Server Allocation Algorithms In Mobile
Computing Systems’ says that in mobile environments, mobile device users access and transfer
a great deal of data through the online servers. In order to enhance users’ access speed in a
wireless network, decentralizing replicated servers appropriately in the network is required.
Previous work regarding this issue had focused on the placement of replicated servers along
with the moving paths of the users to maximize the hit ratio. When a miss occurs, they simply
ignored the file request. Therefore, we suggest a solution to take care of such a miss by sending
a file request to a replicated server nearby in the network

17
 CHAPTER-4
RESEARCH METHODOLOGY
 Chapter -4
Research Methodology

INTRODUCTION
The process through which the research study would be completed is called research
methodology. Research methodology describes the method of conducting the research study.
It shows the logical sequence of the steps of research process from beginning to completion
this section explains and justifies the methodology used for conducting this research. It begins
with explaining the adopted research philosophy, research approach and design. Further it
explains the data collection method, sampling technique and sample size, data analysis method
and data quality issues. Finally, this section acknowledges the limitations and chapterisation of
the thesis.
4.1 OBJECTIVES OF THE STUDY

Following are the objectives of the study:

 To identify the factors that affects the consumers into switching the service provider.
 To find the most preferred service provider in Kottayam and Alappuzha.
 To find the major influences that goes into the decision of purchasing a SIM card.
 To find the likeliness of switching the service provider.

4.2 RESEARCH HYPOTHESIS

H01: There is no significant difference between consumer switching behavior and price.
HO2: There is no significant difference between consumer switching behavior and Brand
Loyalty.
HO3: There is no significant difference between consumer switching behavior and Network
Problems.
H04: There is no significant difference in switching behaviour with respect to gender.
H05: There is no significant difference in switching behaviour with respect to different age
categories.
H06: There is no significant difference in switching behaviour with respect to marital status.
H07: There is no significant difference in switching behaviour with respect to different
educational qualification.

18
4.3 RESEARCH DESIGN
Research design is a process that turns the research question into a research project. It is as an
overall plan for relating the conceptual research problem to relevant and practicable empirical
research. It constitutes the blue print for the collection, measurement and analysis of data. The
overall research design includes the sampling design, statistical design and operational design
of the study. Here made use of descriptive research for the study. Descriptive research design
is the scientific method which involves observing and describing the behaviour of a subject
without influencing it in anyway.

4.3.1 Description of the Data Used In the Study

The sources of data for this research study are mainly through two sources:
1. Primary data
2. Secondary data
 The primary data: Are those, which are collected afresh and for the 1st time, thus
happen to be original in character. Primary data have been used to study on the ”A
Study on consumer Switching behavior in Cellular Services in selected districts of
Kerala”. It has been used to analyze whether there arise any difference in the consumer
switching behaviour factors. The questionnaires have been prepared to study it and the
sample size was 105.
 The secondary data: Are those, which have already been collected by someone else.
Secondary data also had been used to get the information. Various journals,
magazines, web sites etc. were consulted to gather the information.

4.3.2 Population
This study is conducted among the people who are using mobile phone for the last 5 years,
from “The urban and rural areas of Alappuzha and Kottayam districts. ”

4.3.3 Sampling size

Sample size consists of 105 respondents from both urban and rural areas of Alappuzha.

4.3.4 Sampling Method

The sampling technique use over here is Non Probability sampling. Non probability sampling
is that sampling procedure which does not afford any bias for estimating the probability that

19
each item in the population has of being included in the sample.
A convenience sample is a type of non-probability sampling method where the sample is taken
from a group of people easy to contact or to reach. This type of sampling is also known as
grabbed sampling or availability sampling. There are no other criteria to the sampling method
except that people be available and willing to participate. In addition, this type of sampling
method does not require that a simple Random sample is generated, since the only criteria are
whether the participants agree to participate. The research was made by survey in accordance
to the convenience of the researcher. In this research the convenience sampling is used because
this method is extremely speedy, easy, readily available, and cost effective.
4.3.5 Unit of Analysis
In this Study the Unit of Analysis taken into consideration is the respondents of Alappuzha and
Kottayam districts.
4.3.6 Variables
For this study there are two variables mentioned and analyzed. Price, Brand Loyalty and
Network Problems are taken as Independent variable and Consumer Switching behaviour is
taken as Dependent variable.
4.3.7 Methods of Data Collection

Data collection methods used for the study is:

1. Observation: Observation method has occupied an important place in descriptive

sociological research. Observation seeks to ascertain what people think and do by watching
them in action as they express themselves in various situations and activities.

2. Interview: The interview is, in a sense, an oral questionnaire. Instead of writing the response,
the interviewee or subject gives the needed information verbally in a face-to-face relationship.

3. Schedule: The schedule has been used for collection of personal preferences, social attitudes,
beliefs, opinions, behaviour patterns, group practices and habits and much other data.

4. Questionnaire: Questionnaire provides the most speedy and simple technique of gathering
data about groups of individuals scattered in a wide and extended field. In this method, a
questionnaire form is sent usually by post to the persons concerned, with a request to answer
the questions and return the questionnaire.

20
4.3.8 TOOLS AND TECHNIQUES OF ANALYSIS

For this, quantitative research, the use of statistical tools was needed to help do some analyses.
The SPSS program (Statistical Package for Social Sciences) was used for the analysis of the
data, as well as the Excel program to enter the initial data. Descriptive statistics was used,
mainly involving percentage frequencies and arithmetic mean. Regression, ANOVA and
Independent t- test also used to test different concepts.

ANOVA Analysis of variance (ANOVA) - is an analysis tool used in statistics that splits the
aggregate variability found inside a data set into two parts: systematic factors and random
factors. The systematic factors have a statistical influence on the given data set, but the random
factors do not. Analysts use the analysis of the variance test to determine the result that
independent variables have on the dependent variable amide regression study. There are two
types of analysis of variance: one-way (or unidirectional) and two-way. One-way or two-way
refers to the number of independent variables in your Analysis of Variance test. A one-way
ANOVA evaluates the impact of a sole factor on a sole response variable. It determines whether
all the samples are the same. The one-way ANOVA is used to determine whether there are any
statistically significant differences between the means of three or more independent (unrelated)
groups.

T –test- A t-test is a type of inferential statistic which is used to determine if there is a

significant difference between the means of two groups which may be related in certain
features. It is mostly used when the data sets, like the set of data recorded as outcome from
flipping a coin a 100 times, would follow a normal distribution and may have
unknown variances. T test is used as a hypothesis testing tool, which allows testing of an
assumption applicable to a population

Correlation- In statistics, correlation or dependence is any statistical relationship, whether

causal or not, between two random variables or bivariate data. In the broadest sense correlation
is any statistical association, though it commonly refers to the degree to which a pair of
variables are linearly related. A Pearson’s correlation attempts to draw a line of best fit through
the data of two variables, and the Pearson correlation coefficient, r, indicates how far away all
these data points are from this line of best fit

21
 CHAPTER-5

DATA ANALYSIS
 Chapter-5

Data Analysis

This chapter deals with the complete analysis of collected data from the respondents pertaining
to a specified sample size. The analysis is done in two parts. The first part analyses the
demographics through simple percentage analysis and score points to infer. The second part
involves analysis and testing of the framed hypotheses using SPSS.

5.1 ANALYSIS PART-1(PERSONAL INFORMATION)

Table 5.1.1: Table showing the gender of the respondents

OPINION NO: OF PERCENTAGE CUMULATIVE

RESPONDENTS PERCENTAGE
Male 58 55 55
Female 47 45 100
Total 105 100

Source: Primary Data

Participants

58
47

Male Female

Figure 5.1.1: Figure showing the gender of the respondents

INTERPRETATION

The chart shows 45 percentage of respondents were females and 55 percentage of the
respondents were males for the survey. The population is dominated by male candidates which
is interpreted as more subscribers are male candidates.

22
Table 5.1.2: Table showing the age of the respondents

OPINION NO:OF PERCENTAGE CUMULATIVE

RESPONDENTS PERCENTAGE
20-30 8 27 27
31-40 10 33 60
41-50 5 17 77
51 Above 7 23 100
Total 30 100

Source: Primary Data

PARTICIPANTS AGE
76

23

20-30 31-40 41-50 ABOVE 51

Figure 5.1.2: Figure showing the age of the respondents

INTERPRETATION

It is found that percent of the respondents comes under the age group 20-30. Similarly 23
percent of the respondents comes under the age group of 31-40. And 6 percent of the
respondents comes under 41-50 age group. And no respondents come under the above 51 age
group. Majority of the respondents were from the age group of 20-30.

23
Table 5.1.3: Table showing the marital status of respondents

OPINION NO:OF PERCENTAGE CUMULATIVE

RESPONDENTS PERCENTAGE
30.4
Married 32 30.4
100
Unmarried 73 69.6

Total 105 100

Source: Primary Data

MARITAL STATUS

105
73
32

MARRIED UNMARRIED TOTAL

Figure 5.1.3: Figure showing the marital status of the respondents

INTERPRETATION

The figure shows that 32 percent of the respondents are married and rest 73 percent of the
respondents are unmarried.

24
Table 5.1.4: Table showing the educational qualification of the respondents

EDUCATION CUMULATIVE
QUALIFICATION PARTICIPANTS PERCENTAGE PERCENTAGE
SSLC 7 6.6 6.6

Plus Two 3 2.8 9.4

Graduate 39 37.1 46.5

Post Graduate 47 44.7 100

Total 105 100

Source: Primary Data

EDUCATION QUALIFICATION

47
39
7

SSLC PLUS TWO GRADUATE POST GRADUATE

Figure 3.5.1 showing the educational qualification of respondents

INTERPREATATION

It is identified that 44.7% of the respondents are post graduates. About 37.1% percent of the
respondents are having graduate qualification. About 2.8 percent of the respondents are +2
qualified. And only 6.6 percent of the respondents are having SSLC.

25
Table 5.1.5: Table showing the most preferred cellular services of the respondents

CUMULATIVE
BRAND PARTICIPANTS PERCENTAGE PERCENTAGE
BSNL 38 36.1 36.1

JIO 28 26.6 62.7

Idea 29 27.6 90.3

Vodafone 10 9.5 100

TATA 0 0

Total 105 100

Source:Primary Data

PREFERED SERVICE PROVIDER

38

29
28

10

BSNL JIO IDEA VODAFONE TATA

Figure 5.1.5: Figure showing the most preferred cellular services of the respondents

INTERPRETATION

The figure 5.1.5 showing that BSNL is having higher users that is 36.1% and Idea is sharing
the second position with 27.6%. Jio is having 26.6% market. Vodafone is having 9.5% market
share. From this data we can understand that BSNL is the best chosen network.

26
Table 5.1.6: Table showing what is the main reason for your switching behaviour?
CUMULATIVE
PARTICIPANTS PERCENTAGE PERCENTAGE
Network coverage 51.4
54 51.4
/strength
Call Rates/ Message 72.3
22 20.9
Rate
4 3.8 76.1
Subscription plan price
Better offers/ 90.3
15 14.2
Promotion
0 0 90.3
Better customer service
11 9.7 100
Four G technology
105 100
Total
Source: Primary Data

Resons for swichhing behaviour

60

50

40

30

20

10

0
Network Call Rates/ Subscription Better offers/ Better 4 G technology
coverage Message Rate plan price Promotion customer
/strength service

Figure 5.1.6: Table showing the main reason for your switching behavior

INTERPRETATION

Network coverage is the main reason to swich the service provider. Call charges is also one
another reason. Whereas 4G technology and betters are not strictly influenced.

27
Table 5.1.7: Table showing theWhat Major influences those switching the decision to
purchase a sim card

CUMULATIVE
INFLUENCES PARTICIPANNTS PERCENTAGE PERCENTAGE
38.0
Self 40 38.0
Family and 78.9
Friends 44 40.9
Unsatisfied from
the provider 15 14.2 93.1
100
Advertisement 6 6.7

Total 105 100

Source: Primary Data

SWITCHING DECISION
44
40

15

SELF FAMILY AND FRIENDS UNSATISFIED FROM ADVERTISEMENT

THE PROVIDER

Figure 5.1.7: Showing the Major influences those switching the decision to purchase a sim
card

INTERPRETATION

The decision to switch the service provider is basically due to the influence of family and
friends it is 40.9%. People also decided by themselves to switch their provider is 38%.
Unsatisfaction from the provider is14.2%. Advertisement also has influenced 5.7%.

28
Table 5.1.8: Table showing satisfaction with the Promotional offers of service provider

SATISFACTION CUMULATIVE
LEVEL PARTICIPANTS PERCENTAGE PERCENTAGE
23.8
Excellent 25 23.8
72.4
Good 51 48.6
94.3
Average 23 21.9
100
Poor 6 5.7

Total 105 100

Source: Primary Data

SATISFACTION LEVEL
51
25

23

EXCELLENT GOOD AVERAGE POOR

Figure 5.1.8: Showing satisfaction with the Promotional offers of service provider

INTERPRETATION

48.6% of population have the opinion that their satisfaction with the service provider is good.
Whereas 23.8% population shared their satisfaction with the provider is excellent. 21.9%
shared their satisfaction level is 21.9. Some had the opinion that their satisfaction is poor 5.7%.

29
Table 5.1.9: Table showing most prefer about the service provider

PREFER ABOUT THE CUMULATIVE

SERVICE PROVIDER PARTICIPANTS PERCENTAGE PERCENTAGE
Call Rate 26 24.7 24.7
Network and Services 54 51.4 76.1
Offers 25 23.9 100
Total 105 100
Source: Primary Data

54
26

25
CALL RATE NETWORK AND SERVICES OFFERS

Figure 5.1.9: Showing most prefer about the service provider

INTERPRETATION

Participants prefers network and serices51.4%. Call rate24.7%. Offers23.9%. From the graph
it is clear that consumers prefer uninterrupted network and services rather than call rate and
offer.

30
5.2 STATISTICAL ANALYSIS PART-2

5.2.1 HYPOTHESIS TESTING 1

Table 5.2.1

H01: Pricing has no significant relationship towards consumer switching behavior in cellular
service.

Interpretation

The P value obtained in the correlation test is .193 and significance level is .048. Hence the
null hypothesis is failed to accept. So the price has a significant relationship towards consumers
switching behavior in cellular service. The Pearson correlation coefficient is .193. That is, there
is a strong positive correlation between price and switching behavior.

31
5.2.2 HYPOTHESIS TESTING 2

Table 5.2.2

HO2: There is no significant difference between consumer switching behavior and Brand
Loyalty.

Interpretation

The P value obtained in the correlation test is -.106, and significance level is .284 which is
higher than 0.05. Hence the null hypothesis is accepted. So the brand loyalty has a significant
relationship towards consumers switching behavior in cellular service. The Pearson correlation
coefficient is -.106. That is, there is a strong negative correlation between Brand Loyalty and
switching behavior.

32
5.2.3 HYPOTHESIS TESTING 3

Table 5.2.3

HO3: There is no significant difference between consumer switching behavior and Network
Problems.

Interpretation

The P value obtained in the correlation test is .193, and significance level is .027 which is less
than 0.05. Hence the null hypothesis is rejected. So the network problems has a significant
relationship towards consumers switching behavior in cellular service. The Pearson correlation
coefficient is .193. That is, there is a strong positive correlation between network problems and
switching behavior.

33
5.2.4 HYPOTHESIS TESTING 4

Table 5.2.4

H04: There is no significant difference in switching behaviour with respect to gender.

Group Statistics

Gender N Mean Std. Deviation Std. Error Mean

1 58 17.0345 1.35032 .17731

SWT
2 46 16.6739 1.66071 .24486

Independent Samples Test

Levene's Test t-test for Equality of Means

for Equality of
Variances

F Sig. t df Sig. (2- Mean Std. Error 95% Confidence Interval of

tailed) Difference Difference the Difference

Lower Upper

Equal
variances 5.976 .016 1.221 102 .225 .36057 .29521 -.22498 .94611
assumed
SWT Equal
variances 85.91
1.193 .236 .36057 .30231 -.24042 .96156
not 4
assumed

Interpretation

There is no significant difference in the consumer switching behavior and the gender of the
respondents. As the level of significance is .0.236 is higher than 0.05. hence the null
hypothesis is accepted.

34
5.2.5 HYPOTHESIS TESTING 5

Table 5.2.5

H05: There is no significant difference in switching behaviour with respect to different age
categories.

ANOVA

SWT

Sum of Squares Df Mean Square F Sig.

Between Groups 4.896 2 2.448 1.099 .337

Within Groups 227.237 102 2.228
Total 232.133 104

Interpretation

There is a significant relationship between the switching behaviour and different age
categories. As the level of significance .337 is higher than 0.05. Hence age categories can
influence consumer switching behaviour. Therefore null hypothesis is failed to accept.

35
5.2.6 HYPOTHESIS TESTING 6

Table 5.2.6

H06: There is no significant difference in switching behaviour with respect to marital status

Group Statistics

Marital Status N Mean Std. Deviation Std. Error Mean

1 32 17.3750 1.45358 .25696

SWT
2 73 16.6438 1.46600 .17158

Independent Samples Test

Levene's Test t-test for Equality of Means

for Equality of
Variances

F Sig. t Df Sig. (2- Mean Std. 95% Confidence Interval

tailed) Differenc Error of the Difference
e Differenc Lower Upper
e

Equal
variances .297 .587 2.358 103 .020 .73116 .31002 .11632 1.34601
assumed
SWT Equal
variances 59.69
2.366 .021 .73116 .30898 .11305 1.34928
not 8
assumed

Interpretation
There is no significant difference in the consumer switching behavior and the marital status
of the respondents. As the level of significance is 0.020 is less than 0.05. Hence the null
hypothesis is failed to accept.

36
5.2.7 HYPOTHESIS TESTING 7

Table 5.2.7

H07: There is no significant difference in switching behaviour with respect to different

educational qualification.
ANOVA
SWT

Sum of Squares df Mean Square F Sig.

Between Groups 4.797 3 1.599 .710 .548

Within Groups 227.336 101 2.251
Total 232.133 104

Interpretation

There is a significant relationship between the switching behaviour and different education
qualification. As the level of significance .548 is higher than 0.05. Hence education
qualification cannot influence consumer switching behaviour. Therefore null hypothesis is
accepted.

37
 CHAPTER-6

FINDINGS, SUGGESTIONS AND CONCLUSION

 Chapter -5

Findings, Suggestions and Conclusion

INTRODUCTION

This chapter deals with all the major observations found out after analysing different variables.
It also summarises some suggestions that can be recommended to the mobile service providers
to further improve for preventing switching behavior of consumers. Finally an overall
conclusion is made drawn for the study.

6.1 Findings

1. The price has a significant relationship towards consumers switching behaviour in cellular
service. There is a strong positive correlation between price and switching behaviour. People
tend to change their service provider when they feel that the service provider is taking a higher
charges or the competitors have less pricing strategy.

2. The brand loyalty has a significant relationship towards consumers switching behaviour in
cellular service. That is, there is a strong negative correlation between Brand Loyalty and
switching behaviour. Consumers are not loyal to one brand to get the services.

3. The null hypothesis is rejected. So the network problems has a significant relationship
towards consumers switching behaviour in cellular service. That is, there is a strong positive
correlation between network problems and switching behaviour. In the territory people are
more conscious about the network problems. When they face network problems they tend to
switch the service provider.

4. There is no significant difference in the consumer switching behaviour and the gender of the
respondents

5. There is a significant relationship between the switching behaviour and different age
categories. Hence age categories cannot influence consumer switching behaviour.

6. There is no significant difference in the consumer switching behaviour and the gender of the
respondents.

38
7. There is a significant relationship between the switching behaviour and different education
qualification. Hence education qualification cannot influence consumer switching behaviour.

8. Participants prefers network and services. It is clear that consumers prefer uninterrupted
network and services rather than call rate and offer.

9. Population have the opinion that their satisfaction with the service provider is good. And
overall satisfied from the provider.

10. The decision to switch the service provider is basically due to the influence of family and
friends. People also decided by themselves to switch their provider.

11. Network coverage is the main reason to switch the service provider. Call charges is also
one another reason. Whereas 4G technology and betters are not strictly influenced.

12. BSNL is having higher users and Idea is sharing the second position. Jio is having only
third position in the research territory. From the research we can understand that BSNL is the
best chosen network.

39
6.2 Suggestions

 From the study, it is abundantly clear that Call rates lead the consumers to switch the
service provider. So, mobile service providers need to satisfy the Consumer with
minimum call rates.
 Mobile service providers should invest more on improving their network coverage in
order to retain their consumers.
 Mobile service providers have to provide more offers for family and friends. Enticing
offers still hold a major sway.
 Mobile service provider should satisfy their current consumers by providing them
innovative offers.
 Mobile service provider should accept valid feedbacks from consumers regularly and
make sure that they satisfy the consumers.

40
6.3 CONCLUSION

The study reveals that call rates play the most important role in switching the service provider
followed by network coverage, value added service, Consumer care and advertisement which
plays the least important role. It is found that there is a relation between switching the service
provider and the factors (Price, Brand Loyalty and Network Problems.). After analysing the
findings of the study, we suggest that cellular service providers concentrate more on increasing
network stability and setting tariff rates competitively. The findings also suggest that managers
of these mobile operators should shift focus on building corporate image and analyse more
carefully the reason for consumers to switch brands in this industry in order to increase loyalty
among these consumers.

41
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44
ANNEXURE
 QUESTIONNAIRE:

A study on Consumer Switching Behaviour in cellular Services in Selected Districts of

Kerala

Back Ground Information

1) Name:

2) Gender:
a. Male b. Female

3) Age:
a. 20-30 b.31-40 c.41-50 d. above 51

4) Marital Status:
a. Married b. Unmarried

5) Educational Qualification:
a. SSLC b. +2 c. Graduate d. Post graduate

6) Most Preferred Service provider in your area?

a. BSNL b. Jio c. Idea d. Vodafone e) Airtel
f. Tata Incdicom/ Docomo

7) What is the main reason for your switching behavior?

a. Network coverage /strength b. Call Rates/ Message Rate c. Subscription plan price
d. Better offers/ Promotion e. Better customer service f. 4G technology

8) What Major influences those swing the decision to purchase a SIM card?
a. Self b. Family and Friends c. Unsatisfied from provider
d. Advertising

9) Are you satisfied with Promotional offers of your service provider?

a. Excellent b. Good c. Average d. Average e. Poor

10) What do you most prefer about the service provider?

a. Call Rate b. Network & Services c. Offers
Part-2

Please read the following statements and tick () the appropriate response to indicate how
much true it is in your experience.

5- STRONGLY AGREE 4-AGREE 3-NEUTRAL

2-DISAGREE 1-STRONGLY DISAGREE

SLN0 STATEMENT RESPONSES

Price 1 2 3 4 5
1 Facing a Costly Value Added Services
2 High call rates with my service provider
3 Hidden charges often taking my balances
4 High SMS charges with my service provider
5 High Internet charges often taking

Brand Loyalty
1 I intend to stay with the current service provider for a long
period
2 I intend to recommend it to friends and family
3 Even if other service providers offer better alternatives I
will stay with my service provider
4 My mobile service provider can be relied upon to keep
promises
5 I am satisfied with the relationship I have with my service
provider.
Network Problems
1 Poor network coverage
2 Frequent Network Problems
3 Error in Network connecting
4 Facing a huge problem of 4G network
5 Slow internet connectivity
Switching Behaviour
1 I am likely to switch because I will be moving outside the
 geographic location where the services of current service
provider are not available.
2 I am likely to switch because some other firm has
acquired/acquiring my current cellular service provider
3 I am likely to switch because of high price which they are
taking
4 I am likely to switch because of new technology
5 I am likely to switch because of service quality