Professional Documents
Culture Documents
COMPETITORS”
Submitted in partial fulfilment of the requirement for the award of the Degree of
3rd SEM
OF
BANGALORE UNIVERSITY
Submitted By
SURAJ
BANGALORE- 560056
DECLARATION BY THE STUDENT
I, SURAJ hereby declare that “TO STUDY THE EFFECT OF LAUNCH OF JIO
ON ITS COMPETITORS” is the result of the project work carried out by me under
the guidance of Mrs. VIDYA HULKUND in partial fulfillment for the award of Master
of Business Administration by Bangalore University.
I also declare that this project is the outcome of my own efforts and that it has not been
submitted to any other university or Institute for the award of any other degree or
Diploma or Certificate.
Date: 18TUCMD069
CERTIFICATE OF ORIGINALITY
his is to certify that this project report entitled “TO STUDY THE
T EFFECT OF LAUNCH OF JIO ON ITS COMPETITORS”, is an
his is to certify that this project report entitled “TO STUDY THE
T EFFECT OF LAUNCH OF JIO ON ITS COMPETITORS”,
guidance.
Date:
ACKNOWLEDGEMENT
I, SURAJ, express my thanks and sincere gratitude to all those who have
directly or indirectly helped me to complete this project report successfully.
It gives me immense pleasure to present this project report on “TO STUDY THE
EFFECT OF LAUNCH OF JIO ON ITS COMPETITORS” in partial fulfilment of
post- graduate degree MBA.
On the very outset of the report, I would like to extend my sincere and
heartfelt obligation toward all those who have helped me in this endeavour. Without
their active support, guidance, cooperation and encouragement, I would not have been
able to complete this project.
I also thank to Dr. Y. Nagaraju, Dean & Director of Canara Bank School
of Management Studies for providing me the opportunity to embark on this project.
1 INTRODUCTION 1-4
8 ANNEXURE
LIST OF TABLES
1. JIO’s Timeline 26
20. Pie- chart representing action taken by respondents after using JIO 70
CHAPTER- 1
INTRODUCTION
Gross revenue of the telecom sector stood at Rs 2,37,416.6 crore (US$ 33.97 billion) in
2018-19.
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 – March 2019 totalled to Rs 2.29 lakh crore (US$ 32.82 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.
At the present time, no one is living without mobile phone. Many number
of network services are available in this world. Especially, the study is focused on
Reliance Jio network which has been founded in 2007. It is a LTE mobile network
operator in India. It is a wholly owned subsidiary of Reliance Industries headquartered
in Mumbai which provides wireless 4G LTE service network (without 2G/3G based
services) and is the only 100% voLTE (Voice over LTE) operator in the country. It
encompasses all 22 telecom circles in India. The Reliance unit has been buying
spectrum since 2010 under a plan to return this quarter to a market that now has more
than 1 billion mobile subscribers. It invests into wireless unit of about 150 billion rupee.
Jio has issued 15 billion new share at Rs.10, each to existing shareholders. Reliance
communications owns and operates the world’s largest next generation IP enabled
connectivity infrastructure which comprises 2,80,000 kilometers of fiber optic cable
systems in India, USA, Europe, Middle East and the Asia Pacific region. Reliance
Group ranks among India’s top private sector business houses in terms of net worth.
The company has a good customer base and it covers over 21000 cities and towns and
over 4,00,000 villages of India. Reliance Jio is in process to set-up the 4G LTE
infrastructure. RJIL is setting up reliance (4th generation) high speed internet
connectivity, rich communication services and a range of digital services on pan India
basis in key domains such as education, healthcare, security, financial services,
government citizen interfaces and entertainment.
CHAPTER- 2
INDUSTRY PROFILE
By 1995, the major part of low income budding countries of the world,
made their economies global, by liberalizing the domestic licensing and vital policies, to
assist inflow of foreign wealth into the infrastructure sector, more prominently in the
telecommunication sector.
2.2 Technology
The telecom industry has been divided into two most important segments,
namely, fixed cellular services and wireless cellular services. Besides, it also includes
internet services, VAS, PMRTS and VSAT. In today’s information era, the telecom
industry plays a very crucial role. This industry has been well thought-out as the
backbone of industrial and economic expansion and it has been supporting voice and
data services at rapid speeds, thereby transforming human communication. As greater
part of the population resides in rural parts of the country, it is crucial and need of the
hour for the government to take compulsory steps to maximize rural tele-density, in
spite of government initiatives like, Universal Service Obligation Fund. Suitable
measures are required to enhance the rural tele-density and bridge the rural-urban gap in
tele-density.
With the majority of the prepaid subscriptions, India has one of the lowest
mobile tariffs in the world due to the innovative budget telecom network model that was
developed in South Asia. As per usage statistics, it is observed that Indians talk more on
phones when compared to international counterparts.
The impact of mobiles on individual sections of the society are studied which
explicit mobile as an empowerment tool as it is showing a positive impact on the social
status of Indian women by making women feel more secure. Mobiles are even used to
deliver various benefits like health services, education services, banking services and
commercial services etc.
To make sure telecommunication is within the reach of all, that is, to ensure
availability of telephone on demand as early as possible
To accomplish worldwide service covering all villages, that is, permit all people
to access certain basic telecom services at affordable and reasonable prices
To ensure world-class telecom services. Remove consumer complaints, resolve
disputes and encourage public interface and provide a wide permissible range of
services to meet the demand at reasonable prices
To ensure that India emerges as a major manufacturing base and major exporter
of telecom equipment
To protect the defense and security interests of the nation.
Thus, to meet the telecom needs of the nation and to achieve international
comparable standards, the sector for manufacture of telecom equipment had been
progressively relicensed and the sub-sector for value-added services was opened up to
private investment (July 1992) for electronic mail, voice mail, data services, audio text
services, video text services, video conferencing, radio paging and cellular mobile
telephone. The private sector participation in the sector was carried out in a phased
manner. Initially the private sector was allowed in the value added services, and
thereafter, it was allowed in the fixed telephone services. Subsequently, VSAT services
were liberalized for private sector participation to provide data services to closed user
groups.
To recommend the need and timing for introduction of new service provider
To protect the interest of customers of telecom services
To settle disputes between service providers
To recommend the terms and conditions of license to a service provider
To render advice to the Central government on matters relating to the
development of telecommunication technology and any other matter applicable to
the telecommunication industry in general.
In line with the above objectives, some of the specific targets of the NTP 1999 were:
Make available, telephone on demand by 2002 and achieve a tele- density of 7%
by 2005 and 15% by 2010
Encourage development of telecom in rural areas by developing a suitable tariff
structure so that it becomes more affordable and by also making rural
communication mandatory for all fixed service players and thus achieve a rural
tele- density of 4% by 2010 and provide reliable transmission media in all rural
areas.
Indian Telecom Services are broadly classified into two major segments.
Telephone, wire lines and wireless
Internet Services
Total Number of Wire line Subscribers and Growth Rate in India, 1981-2011
Telephones
Fixed line and wireless segments are shared by both private and public
players, with private sector dominating wireless segment and public sector
dominating fixed line segment. Fierce competition in both the segments is being
experienced by major telecom players due to which they have come up with new
tariffs and discount schemes to gain competitive edge.
Public sector has dominated the private sector in the delivery of wire line
services. In this segment, the state-owned public sector incumbents, namely BSNL
and MTNL have been the dominant players. Private players such as Bharti,
Reliance and Tata Tele services have also marked their presence. Due to this,
share of BSNL and MTNL have come down from 100 per cent in March 2000 to
81 per cent in December 2011.
The two public sector enterprises (PSEs), BSNL and MTNL, were allowed
belated entry into the cellular segment in the beginning of the present decade.
Bharti, Reliance, Vodafone, BSNL, Tata Tele Services, and Idea companies have
dominated the wireless segment. There are many smaller players, who operate
only in a few states.
2009 Bharti Airtel Introduces India’s First Android™ Phone, the HTC Magic for Airtel
Customers
2006 Bharti Airtel and Microsoft enter into a strategic partnership to offer software and
services for small and medium business (SMB) market in India
2012 Receives award from tele.net as the best 3G service operator – Telecom Operator
Awards 2012
2011 Ranks No. 1 in overall customer satisfaction – Hindustan Times’ customer satisfaction
National Survey
Idea Cellular, an Aditya Birla Group company, is a pan-India integrated GSM operator
offering 2G and 3G services, has its own National Long Distance (NLD) and
International Long Distance (ILD) operations, and Internet Service Provider (ISP)
license. With revenue in excess of US$ 5 billion, market share of nearly 18.2 per cent,
and subscriber base of over 165 million. Idea is India’s third largest mobile operator.
Idea is the sixth largest mobile operator in the world, based on number of subscribers in
single country operations (as per GSMA Intelligence). Idea carries traffic of over 2
billion minutes a day.
Idea launched 4G services in early 2016. The company has a well
established network across the length and breadth of the country comprising of over
1,49,196 cell sites covering 7,513 towns and 3,63,580 villages as on the first quarter of
FY 16. Using the latest in technology, Idea provides world-class service delivery
through the most extensive network of customer touch points, comprising of nearly
6,752 exclusive Idea touch points.
2014 Raises Rs 3,000 crore (US$ 454.1 million) via Qualified institutional placements
2011 Becomes first operator to announce the launch of Mobile Number Portability
CHAPTER- 3
COMPANY PROFILE
RELIANCE JIO
Type
Subsidiary
Industry
Telecommunications
Jio Apps
Products
MyJio, JioChat, JioPlay, JioBeats, JioMoney, JioDrive,
JioOnDemand, JioSecurity, JioJoin, JioMags,
JioXpressNews, Jionet WiFi
Parent Reliance Industries
Subsidiaries LYF
www.jio.com
Website
Jio also known as Reliance Jio and officially as Reliance Jio Infocomm
Limited (RJIL) is an upcoming provider of mobile telephony, broadband services, and
digital services in India.
RJIL’s subsidiary has been awarded with a Facility Based Operator License (“FBO
License”) in Singapore which will allow it to buy, operate and sell undersea and/or
terrestrial fiber connectivity, setup its internet point of presence, offer internet transit
and peering services as well as data and voice roaming services in Singapore.
R-Jio, meanwhile, faces its share of challenges in terms of return on investment and
capturing market share.
The company will battle for subscribers with leading telcoms such as Bharti Airtel Ltd,
Vodafone India Pvt Ltd and Idea Cellular Ltd.
The Dominant Players in the Telecom Sector in India (as in May 2019) are:
"Digital India as company has seen empowers them to fulfill their aspirations. Reliance
JIO has invested over Rs. 2,50,000 crores across the Digital India pillars," Ambani said,
adding: "I estimate Reliance's 'Digital India' investments will create employment for
over 5,00,000 people. " Ambani said the launch of Digital India initiative was a
significant occasion in an information age where digitization was changing the way one
lives, learns, works and plays. It can transform the lives of 1.2 billion Indians using the
power of digital technology. And as well as "So 80 percent of the 1.3 billion Indians
will have high-speed, mobile Internet. And by 2017, company could cover 90 percent.
And by 2018, all of India would be covered by this digital infrastructure.
In 2005, Reliance Industries Limited split and there was one major de-
merger of note for Mukesh Ambani. His dream project- Reliance Infocomm became a
part of Anil Dhirubhai Ambani Group. Mukesh Ambani went on to acquire Infotel
Broadband Services Limited. The company was the only successful bidder for pan-India
4G network. Reliance then worked on establishing base for high-speed optical fibre 4G
network. It is actually capable of much more than 4G.
Reliance Jio was originally called IBSL - In June 2010, after the broadband
wireless auction (BWA), Reliance Industries bought 96% stake in Infotel Broadband,
which had won 22 circles in the auction. At a total cost of Rs 4,800 crore, it was the
only company to have won broadband spectrum in all 22 zones across the country.
Infotel started operations as a telecom subsidiary of Reliance. In January 2013, it was
renamed to Reliance Jio Infocomm Limited.
If market trends are anything to go by, trajectory of RJIL has been on an upswing. It is
not a publicly listed company in BSE. But the impact its launch had on Bharti Airtel,
Vodafone, and Idea clearly showed the trajectory it is following. With a target of
covering pan-India by first quarter of 2017 and letting people into the world of data-giri,
they have huge plans with all the bases covered.
At the price point and service quality, there are virtually no competitors of RJIL.
These mark ominous signs for the other companies, while RJIL will continue to take an
upward trajectory.
2010 Reliance Industries Limited purchased 95 per cent stake in Infotel Broadband
3.4 Agreements
An agreement was signed with Ascend Telecom for more than 4,500 towers across
India. (June 2014)
An agreement was signed with Tower Vision for their 8,400 towers across India.
(May 2014)
An agreement was signed with ATC India for their 11,000 towers across India.
(April 2014)
An agreement was signed with Viom Networks for their 42,000 telecom towers.
(March 2014)
Agreement was signed with Bharti Airtel for a comprehensive telecom
infrastructure sharing agreement to share infrastructure created by both parties to
avoid duplication of infrastructure wherever possible. (December 2013)
A key agreement for international data connectivity with Bharti to utilize dedicated
fiber pair of Bharti’s i2i submarine cable that connects India and Singapore.
(April 2013)
Agreements with Reliance Communications Limited for sharing of RCOM’s
extensive inter-city and intra-city optic fiber infrastructure of nearly 1,20,000
fiber-pair kilometers of optic fiber and 500,000 fiber pair kilometers respectively
(April 2013 / April 2014), and 45,000 towers (June 2013).
Jio is constantly striving to enrich the digital experience of its customers through
innovative applications developed in-house, or in collaboration with the unique
ecosystem of small and large partners.
Making life better for everyone. Jio offers its subscribers unique content such as
PyeongChang 2018 Olympic Winter Games and Jio Cricket Play Along. The MyJio app
is the most popular self-care app with over 150 million downloads and substantial
additional features. Jio has forged partnerships with the likes of Balaji Telefilms, Eros
International, and Saavn to bring unique content with an intuitive user interface to every
Indian.
Since the Jio was laying cable all across the country they can easily
prove a high speed optic fiber based broadband service throughout the country.
They already started their program. It is reported that average speed 100Mbps for
home users and even users got up to 800Mbps in Pune.
Jio is also expected to launch their DTH service, there are a couple
for images of the DTH device across the social media and websites. In order to use
the DTH service the customers need the Jio TV app, Jio Sim and a Jio Home
broadband connection. Users can enjoy the local channels also via Jio DTH. They
also support saving the shows to their cloud space provided by Jio.
LYF Smartphone
Jio had earlier tied up with Intex for providing handsets with 4G
VolTe technology all over the country. They manufactured several models low on cost
and high on features- ready for the next level of 4G and voice telephony. However, they
soon decided to launch their own brand of phones. They named the range as Lyf
phones. The names have been consistent with the models such as Water 1, Water 2,
Flame 1, Flame 2, Wind, Earth, among others.
At present, the company offers more than 15 handsets with varying range
of features. They are mostly made in China phones repackaged as Lyf phones. They
come with a Jio preview offer, prior to September 5, the only way to get access to a Jio
Sim.
JIO Apps
Reliance Jio has been in the center of India's biggest internet revolution in the last
two years. The services commercially rolled out in September 2016, and things
drastically changed the entire telecom industry in a few years.
While 4G became a household name, Reliance Jio helped millions of Indians enjoy
high-speed internet and free unlimited calls at dirt-cheap rates. After a jam-packed two
years, here are the top things we expect from Reliance Jio in 2019.
Reliance Jio has already planned up its big things for 2019 which includes an expansion
of awaited Jio GigaFiber service, the launch of GigaTV and its DTH services .
Jio GigaFiber
Jio DTH
Jio GigaTV
Reliance Jio will offer its Jio GigaTV with the Jio Suite when the
broadband services are offered. The platform will use the bandwidth from its fibre
network to offer TV channels which offer 4K support, video calling and added other
services. The GigaTV set-top box will support voice commands with access to 600 TV
channels, free collection of movies and millions of songs.
Jio 5G Network
Jio Phone 3
Jio users will soon get free access to Disney Classics and Pixar animation. You
can also watch free movies from Marvel and Star Wars with a host of international films
as well as locally created content with Jio in 2019.
Reliance Jio up next will enter the enterprise server market. The pilot launch has already
happened, and the company will officially launch it by next year. Reliance Jio will offer
enterprise services for small and medium-sized businesses. Among the top upcoming
Reliance Jio services in 2019, the enterprise services will include unified
communications, cloud services, managed video conferencing, cyber security and more.
Reliance Jio will soon launch its much-touted Jio Smart Home with
Jio GigaFiber and GigaTV services . The company will bring a complete connected
home platform to offer services connecting smart speakers, Wi-Fi extenders, smart
plugs, door sensors, TV cameras, audio/ video dongles, smart locks and various
connected cameras. Jio Smart Home platform will allow you to connect all your smart
devices and control nearly every appliance at your home from an application.
Reliance Jio will launch its voice over Wi-Fi (VoWi-Fi) service in
2019. The trails are on and will start with Andhra Pradesh, Kerala, Madhya Pradesh,
and Telangana. Among the top upcoming Reliance Jio services in 2019, the Reliance Jio
VoWi-Fi is in the first list. It will offer Wi-Fi calling to help users stay connected even
without any cellular signal. BSNL already offers VoWi-Fi in select circles.
Despite the dangers, stock prices of other companies have not been
negatively impacted because of long-term prospects of a more consolidated telecom
sector. “Since data consumption is going to increase exponentially, everyone will
benefit in the next 3-5 year period,” say Joshi. Investors, however, should be cautious.
“Since we don’t know how long this madness will continue, it is better not to get into it
now,” adds Kohli.
Airtel, however, is likely to survive this phase and can be a good buy for
the long term. “Airtel possesses the leanest cost structure and is improving its capital
efficiency,” says Pankaj Pandey, Head of Research, ICICI Direct. Its subscriber market
share is expected to 29.1% and revenue market share to 33.3% due to its acquisition of
Telenor.
Disruptive Newcomer
Price War
The 4G-only provider kicked off services in early September 2016 with a promotional
offer providing customers with free unlimited services until December 31, 2016.
Unsurprisingly, the sharp drop in ARPUs had a similarly negative effect on the sector’s
revenues, and in March 2017 the Telecom Regulatory Authority of India reported that
turnover from the telecom industry (including the fixed segment) had fallen by INR100
billion between June 2016 and March 2017.
By the end of the 2016, Jio had signed up more than 70 million subscribers,
with that figure rising to just over 108 million by March 31, 2017. Curiously, the
company’s explosive growth has had a negligible impact on the overall take-up rates of
the existing tellcos, although new subscriptions for 3G and 4G services did slow down
somewhat.
The largest operators continued to expand their user bases at roughly the same pace as
prior to JIO’s arrival, while the already-struggling smaller providers saw a slight
downturn.
The trend suggests that many of JIO’s subscribers had signed up to their services
alongside plans with other providers to capitalize on the free services while they were
available.
As such, the long-term viability of JIO’s strategy and its capacity to continue growing
its subscriber base once it starts charging for services has been called into question.
Indeed, the TRAI’s data for April and May 2017 showed a slight slowdown in JIO’s
growth, the tellco signing up 4 million and 5 million net new users in each month
respectively, compared to 12 million and 6 million in February and March.
Consolidation
The Indian mobile market is also undergoing a period of consolidation, initiated when
the regulator opened the way for spectrum trading and sharing in September 2015.
The market is set to shrink from around a dozen players to as few as five,
with ongoing deals involving Telenor and Airtel, Vodafone and Idea, plus Aircel and
RCOM, while there is also potential for tie-ups between Airtel and TTSL, as well as
MTNL and BSNL. This will intensify the pressure on newcomer Jio as it seeks to
ensure that its early success was not a flash in the pan.
Due to Jio Effect, Vodafone doubled their 4G data for plans starting from
255 Rs. This offer was valid for both old and new Vodafone prepaid customers.
Although it was the effect of Reliance Jio 4G still Apoorva Mehrotra, Business Head of
Vodafone Delhi / NCR said that we got a good response to Vodafone SuperNet4G and
henceforth introducing double data to all 4G customers.
On comparing Rs. 999 plan, you used to get 20 GB of 4G Internet data which was same
as Rs. 50 per 1 GB data offer by Reliance Jio which was yet to become commercial
after March 2017, but until then you could enjoy free data of 1 GB per day via Jio New
Year Offer. Get 9 GB free with 1 GB Vodafone Data on New 4G Phone.
This plan was exactly similar to the Airtel Free 4G data offer where
the user needs to do 4G recharge for 1 GB plan from their new 4G enabled mobile
handset, and they will get additional 9 GB free 4G data. Same is the case with
Canara Bank School of Management Studies, JBC Page 41
To Study the effect of launch of JIO SIM on its Competitors 2019- 2020
Vodafone where you will now get 9GB of FREE data on your new 4G Smartphone for
as many as 3 months.
Looked like Vodafone was stalking AirTel with its plans and offerings, and this time
was the case with free 4G SIM upgrade. Yes, you could upgrade your 3G SIM to 4G
absolutely free of cost. Just visit any Vodafone Store and ask for 4G upgrade.
Now once you upgrade from 3G to 4G SIM that too free of cost, Vodafone would greet
you with free 2 GB of 4G internet data to make you aware of internet experience with
Vodafone SuperNet4G.
This offer was applicable only for existing Vodafone customers with a 4G phone in
select locations.
Due to Jio effect, Airtel had launched many offers and plans to hold their
customers. Offers included free 4G SIM upgrade, 10 GB of 4G internet data at price of
1 GB, free 1GB 4G data by giving missed call and many more offers.
Airtel had launched a plan with which you would get unlimited free voice
calling from Airtel to Airtel mobile number whether it is Local or STD. This plan costs
Rs. 145 and not only free calling but you would also get free 4G data with it.
Apart from free voice calling, Airtel prepaid user would also get 300 MB of 4G Internet
Data. Moreover if you do not have a smartphone and you are using a featured phone
then you will get extra 50MB of internet data. This plan was valid for 28 days. Free
Unlimited Voice Calling from Airtel to Any Network Another plan launched by Airtel
was Rs. 345 plan under which prepaid users would be eligible to call freely to any
network. Means you would get free calling from Airtel to any network provider in India.
Secondly, you would get 1 GB of 4G Internet data and same 50 MB of additional data if
you have featured phone. This plan was valid for 28 days.
Similar to Airtel & Vodafone, Idea was also giving away free 4G
SIM upgrade with free 2GB data offer for new 4G customers. Also, you could get 10GB
internet data for Rs. 255 on upgrading to a 4G smartphone.
Another great offer was that you could get 1GB 4G data for just Rs. 51 per
month till 1 year after doing a 4G recharge of Rs. 1499 in which you would get 15 GB
of 4G Internet data. This price may vary across circles, but this plan can be compared
with Reliance Jio 4G plans.
After Jio Effect, Idea is running in the track of data war, and almost every operator like
Airtel, Idea, Vodafone are running side by side with the same sets of plans.
Out of all other telecom operators, BSNL was the first and closest
competitor to Reliance Jio with its internet plans and free voice calling offers. Not only
in the mobile network but BSNL launched unlimited broadband plans to grab as many
customers as they can in this telecom industry race.
BSNL launched STV 498 plan as a promotional offer for winter holiday season, and this
plan could be activated till 7th January 2017. This was an unlimited 3G data plan which
was valid for both new & old users and valid for 14 days as usual.
An interesting fact is that there was no FUP limit on the 3G speed provided by BSNL
that is there was no speed limit, and you would get maximum 3G speed.
BSNL Chairman, Anupam Shrivastava admitted that “Jio has come up with disruptive
strategy and we are ready to match whatever tariff is being offered by our
competitors”.
Moreover, you will get unlimited Data (FUP of 500 MB) for 28 days. This offer is valid
only for Delhi subscribers. Remember that you need to have at least Rs. 50 in your
account balance.
Aircel had launched unlimited free voice calling plans for their subscribers
across India. The plans were RC14 & RC249 applicable for both existing and new
prepaid customers. Price of the packs may vary according to different circles.
RC14 Plan worth Rs. 14 offered unlimited free Local & National calls to any
network in India for 1 day.
RC249 Plan worth Rs. 249 offered unlimited free Local & National calls to any
network in India for 28 days. Moreover, you would also get unlimited 2G internet data
valid for 28 days.
CHAPTER- 4
RESEARCH
METHODOLOGY
Questionnaires
Surveys
Internet
Magazines
Articles
Blogs
Canara Bank School of Management Studies, JBC Page 48
To Study the effect of launch of JIO SIM on its Competitors 2019- 2020
For the purpose of the study, 0.68% of the population was selected. Thus for purposed
study, 91 people were taken.
CHAPTER- 5
DATA
INTERPRETATION
From the above table, we see that almost both male and female equally showed their
participation in this study.
GENDER
Male Female
36%
64%
Form the above chart; we can see that 64% of males and 36% of females participated
in this study.
From the above table, we can conclude that, every age group was covered during this
study.
80
73
70
Number of Respondents
60
50
40
30
20
9
10 7
2
0
Below 20 21-30 31-40 Above 40
Age Group
From the above table, we can see that respondents belonging to different
education qualification participated in this study.
Education Qualification
Number of Respondents
Till 10th
50
40
30
20
Post Graduate Till 12th
10 1
34
0 3
Graduate 45 Undergraduate
Radar- chart showing the number of respondents belonging to different Education Background
From the above table, we can analyze that the respondents involved in this
study, belonged to different professions.
Occupation
Number of Respondents
Self Employed
60
50
40
30
Unemployed 20 7 25 Working
10
3 0
3
Student 53 Housewife
From the above table, we see that respondents of our study have
been grouped on the basis of different monthly income.
45
41
40
Number of Respondents
35
30
24
25
20
14
15 12
10
0
Below 10,000 10,001- 25,000 25,001- 40,000 Above 40,000
Monthly Income
From the above table, we see that various respondents have various
network providers.
2 1
BSNL 53 Jio
Idea
From the above table, we see that each respondent spends different
amount of money on their network provider monthly.
40
36
35
Number of Respondents
30
24
25
20 18
15 13
10
0
100- 200 201- 300 301- 400 Above 400
Monthly Expenditure(in Rupees)
Bar- graph representing Monthly Expenses (in rupees) on network provider by each respondent
From the above table, we see that each respondent came to know about
JIO network through various sources of information.
From the above chart, we interpret that out of 91 respondents, 46 through word
of mouth, 26 through online advertisement, 15 through Google search, 8 through
hoardings & banners and remaining 5 through newspaper came to know about JIO
network.
Question 9: Since how long, have you been using your previous
network?
The above table shows the time period in which the respondents used their
previous network.
30
27
25 24
Number of Respondents
22
20 18
15
10
0
Less than 1 year Less than 2 years Less than 3 years More than 4 years
Duration of usage of previous network
Question 10: Since when, have you been using JIO network?
From the above table, we see that since how long, each respondent have
been using JIO as their network connection.
35
29
30
Number of Respondents
25 23
22
20 17
15
10
0
Less than 1 month 6- 12 months 13- 24 months More than 24
months
Usage Duration of JIo
Bar- graph representing relationship between respondents and their Duration of Usage of JIO
From the above chart, we see that out of 91 respondents, 29 have been
using JIO for the past 6- 12 months, 23 have been using JIO for the past 1 month, 22
have been using JIO for more than 24 months & 17 have been using JIO for the past
13- 24 months.
Question 11: Which factor do you consider while selecting your new
network service provider?
From the above table, we see that each respondent has different factors
which he/ she consider while selecting a new network provider.
Call Rates
50
40
30
20 8 Amount of Internet
Customer Care Service 22
10 Data provided
1 0
12
48
Network Availability
Offers Provided
& Coverage Area
Radar- chart showing different factors considered by respondents while selecting new network provider
From the above table, we see a relationship between each respondent and
their previously used network provider.
12 10 22
0
6
4
7
BSNL JIO
Idea
From the above chart, we see that out of 91 respondents, 40 of them had
Airtel as their previous network, 22 of them had Vodafone as their previous network,
6 of them had JIO as their previous network, 7 of them had Idea as their previous
network, 4 of them had BSNL as their previous network & remaining 12 were on
some different network provider.
Canara Bank School of Management Studies, JBC Page 62
To Study the effect of launch of JIO SIM on its Competitors 2019- 2020
Question 13: What was your previous network provider mainly used
for?
From the above table, we see that how each respondent used their previous
network provider for different purpose.
Local Calls
40
30
All the above 20 9 National calls
25 10
10
0
36 4
Local+ National+ 7 International Calls
Internet Usage
Internet Usage
From the above chart, we see that out of 91 respondents, a maximum of 36 used
their previous network for Local+ National+ Internet, 10 used for National calls only,
9 used for Local calls only, 7 used for internet only, 4 used for International calls
only & 25 were those who used their previous network for all of the mentioned usage.
From the above table, we see that there are various factors by which each
respondent is attracted toward JIO network.
Radar- chart showing the various factors which attracts respondents toward JIO
From the above table, we see that each respondent consume different
amount of data daily.
45
39
40
Number of Respondents
35
31
30
25
20
15 12
9
10
0
1 GB/day 1.5 GB/day 2 GB/day 3 GB/day
Data Usage on daily basis
Bar- graph representing relationship between respondents and their daily Data Usage
From the above table, we see that each respondent has their own recharge
duration, in which they recharge their network provider.
70 65
60
Number of Respondents
50
40
30
21
20
10
2 3
0
Monthly Recharge Once in 2 months Once in 3 months Once in 12 months
Recharge cycle
From the above table we see that, various plans are offered by JIO and
respondents prefer plans based on their budget.
Radar- chart representing relationship between respondents and their preferred recharge plans
From the above chart, we interpret that out of various recharge plans offered,
Plan 399 is the most preferred one and out of 91 respondents, 23 of them prefer it,
then comes Plan 555 with 22 respondents preferring, then Plan 599 with 16
respondents preferring & a minimum of 01 respondent going with Plan 2020.
Question 18: What preference do you give to JIO SIM among your
network provider?
From the above table, we see that how respondents give preference to JIO
among their network providers.
35%
65%
Pie- chart representing respondents preference to Jio among their network provider
From the above chart, we interpret that out of 91 respondents, 65% gives
preference to JIO as their primary network connection & remaining 35% as
secondary network connection.
From the above table, we conclude the actions taken by respondents after
switching on to JIO network.
46%
54%
From the above chart, we can clearly see that out of 91 respondents, 54% of
them still recharge their previous network even after switching to JIO & 46% of them
stopped recharging their previous network after switching to JIIO.
From the above table, we analyze the action taken by JIO users.
Yes No
44%
56%
From the above table, we can analyze the satisfaction level of respondent
toward JIO network.
Yes No
35%
65%
31%
69%
From the above chart, we can conclude that out of 91 respondents, 69% of
them are most likely to recommend JIO to others, while 31% wouldn’t recommend
JIO to someone else.
CHAPTER- 6
FINDINGS,
CONCLUSIONS
&
SUGGESTIONS
6.1 FINDINGS
6.2 CONCLUSIONS
The Indian mobile telecom market has grown at a rapid speed in the last decade.
Declining the call tariffs and favorable regulatory policies has led to a tremendous
increase in the subscribers’ base. Proper identification of the Customer preferences will
facilitate the favorableness towards the various mobile service providers. Continuous
research on consumers will enhance the customer satisfaction. The present research
focuses on the analytical study of launch of JIO SIM on other competitor in
Hunasamaranahalli, a Census town of North Bengaluru.
Reliance Jio has shown its impact from very first day of its
incorporation as Bharti Airtel which dominated telecom sector in India lost its share
price by 6.4% on Bombay stock exchange, not only Bharti Airtel, other telecom
operators like third ranked Idea cellular and Reliance communications also saw
share prices falling on Bombay stock exchange by 10.5% and 8.8% respectively. The
impact of Reliance Jio on telecom industry is so severe that it may be termed as a
revolution in Telecom Industry in India.
The factors were analyzed which are leading the customers to shift from other telecom
operators towards Reliance Jio. Through study, it was analyzed that there are
various major factors influencing the customers. The first and major factor which
was influencing the customer was the tariff.
Reliance Jio is providing the customers with the cheapest ever services or even free
of cost services which has influenced the customers to a greater extent. The other
factors to be analyzed were speed of Internet data, brand endorsement, value-added
services, image of service provider, image of brand and innovative company.
6.3 SUGGESTIONS
Since the study shows that the main factor what customer looks for while
choosing their new network is ‘network availability & coverage area’, so Reliance JIO
should consider this as a key element to expand their customer base and should work to
strengthen their network expansion.
Since, from the study it is seen that most of the customer prefer recharging
their network once in three months, so more focus should be given on this to make the
plans lucrative and attractive.
Through the word of mouth, the customers are aware of Jio and strive for accessing its
services. That is why, it is recommended to increase the quality of their services. To
remove the network problem and calling congestion, the present study suggests
installing the towers in the place of unavailability of network and the remote areas.
From the study, we see that even after being satisfied with JIO network,
customers still recharge their previous owned network, which suggests that the
satisfaction level is not that high & there is scope for improvement in the service and
JIO should think of different ways to improve the satisfaction level of customers toward
JIO.
From the study, we clearly see that only a few customers find customer care service as
an attracting factor, so JIO must ensure that they provide the best customer support to
its customers & a hassle- free process.
CHAPTER- 7
https://www.census2011.co.in/data/town/612949-hunasamaranahalli-karnataka.html
https://blog.telegeography.com/the-jio-effect-how-the-newcomer-made-an-impact-in-
india
https://www.ibef.org/industry/telecommunications.aspx
https://www.investindia.gov.in/sector/telecom
https://www.gadgetsnow.com/slideshows/7-companies-acquired-by-mukesh-
ambani/Reliance-Jio-customers-7-acquisitions-made-by-Mukesh-Ambani-you-should-
know-about/photolist/66310246.cms
https://timesofindia.indiatimes.com/business/india-business/Mukeshs-Ambanis-
Reliance-Jio-signs-3rd-telecom-agreement-with-Anils-Reliance-
Communications/articleshow/33396647.cms
https://www.communicationstoday.co.in/reliance-jio-infocomm-limited/
https://www.telecomclue.com/new-products-services-jio-jio-dth-broadband-and-lot-
more/
https://m.dailyhunt.in/news/india/english/trak+in-epaper-
trakin/future+of+reliance+jio+10+things+we+expect+from+jio+in+2019-newsid-
104977120
ANNEXURE
QUESTIONNAIRES:
1. What is your Gender? *
o Female
o Male
7. How much do you spend (in rupees) on your network provider (monthly expenditure)? *
o 100- 200
o 201- 300
o 301- 400
o Above 400
9. Since how long, have you been using your previous network? *
o Less than 1 year
o Less than 2years
o Less than 3 years
o More than 4 years
11. Which factor do you consider while selecting your new network service provider?
o Call Rates
o Amount of Internet Data provided
o Network Availability & Coverage Area
o Offers provided
o Customer Care Service
13. What was your previous service provider mainly used for? *
o Local Calls
o National Calls
o International Calls
o Internet Usage
o Local Calls + National Calls + Internet Usage
o All of the above
18. How do you give preference to JIO among your network provider? *
o Primary Network Connection
o Secondary network Connection
19. Have you stopped recharging your previous network after using JIO network? *
o Yes
o No