Professional Documents
Culture Documents
1.
INTRODUCTION
(Company overview)
Incorporated on July 7, 1995, Bharti Airtel Ltd is a division of
Bharti Enterprises. The businesses of Bharti Airtel are
structured into two main strategic groups Mobility and Infotel.
The Mobility business provides GSM mobile services in all23
telecommunications circles in India, while the Infotel
business group provides telephone services and Internet
access over DSL in 15 circles. The company complements
its mobile, broadband, and telephone services with national
and international long-distance services. The company also
has a submarine cable landing station at Chennai, which
connects the submarine cable connecting Chennai and
Singapore. Bharti Tele-Ventures provides end-to-end data
and enterprise services to corporate customers by
leveraging its nationwide fibre-optic backbone, last mile
connectivity in fixed-line and mobile circles, VSATs, ISP and
international bandwidth access through the gateways and
landing station. All of Bharti Tele-Ventures' services are
provided under the Airtel brand. As of September 2005,
Bharti Tele-Ventures was the only company to provide
mobile services in all 23 telecom circles in India. By the end
of October 2005, Bharti Tele-Ventures was serving more
than 14.74 million GSM mobile subscribers and 1.10 million
broadband and telephone (fixed line) customers.
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these are reflected in the fact that Airtel was the first to
develop a 'single integrated billing system' Airtel comes to
you from Bharti Airtel Limited -a part of the biggest private
integrated telecom conglomerate, Bharti Enterprises. Bharti
is the leading cellular service provider, with an all India
footprint covering all 23 telecom circles of the country. It has
over 21 million satisfied customers. Bharti Enterprises has
been at the forefront of technology and has revolutionized
telecommunications with its world class products and
services. Established in 1976, Bharti has been a pioneering
force in the telecom sector with many firsts and innovations
to its credit. Bharti has many joint ventures with world
leaders like Singtel (Singapore Telecom); Warburg Pincus,
USA; Telia, Sweden; Asian infrastructure find, Mauritius;
International Finance Corporation, USA and New York Life
International, USA. Bharti provides a range of telecom
services, which include Cellular, Basic, Internet and recently
introduced National Long Distance. Bharti also manufactures
and exports telephone terminals and cordless phones. Apart
from being the largest manufacturer of telephone
instruments in India, it is also the first company to export its
products to the USA. Airtel's journey to leadership began in
Delhi in 1995. Since then, Airtel has established itself across
India in sixteen states covering a population of over 600
million people. Airtel will soon cover the entire country
through a process of acquisitions and green field projects.
With a presence in over 1,400 towns, Airtel today has the
largest network capacity in the country. In the last nine years
Airtel has achieved many firsts and unique records: it was
the first to launch nationwide roaming operations, it was the
first to cross the one million and the five million customer
marks. It was also the first to launch services overseas.
There are other 'firsts' credited to Airtel -many of them in the
area of innovative Products and services. Today, Airtel
innovates in almost everything that it presents to the market.
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1.2.CORPORATE STRUCTURE
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2.
OBJECTIVE OF STUDY
To study the consumer trends in telecommunication
sector.
To study consumer decision-making & preferences.
To study marketing strategies adopted by Airtel.
To study the level of customer satisfaction in Airtel.
To study the market potential.
To study customer purchase decision behaviour.
To understand the needs of different consumer
segments. Comparative study
of different mobile companies.
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3.2.COMPETITIVE SITUATION
Airtel launched its services before Essar and skimmed the
market picking up the bulk of the high usage premium
clients. This is a very competitive industry with the two
companies differentiating either on value-added services or
price. Airtel is perceived as the high quality provider and has
a premium image. Essar, on the other hand, is perceived as
the lower end service provider. Airtel positions itself as the
market leader on the basis of the number of subscribers.
Essar is trying to counter this by emphasizing on the reach
of its network and the quality of its service. However, Essar
is somewhat not been very success full largely due to the
inconsistency in advertising. To promote themselves, both
the players have been dependent on tactical advertising
However, they have restrained from using comparative
advertising Hoardings have been a very popular medium for
carrying the advertisements Airtel has also been advertising
on television using the Bharti Telecom name.
3.3.MARKET SEGMENTATION
Segmentation is beneficial because of better predictability of
the target consumer group, minimization of risk exposure,
better ability to fine-tune a product / service to the
requirement of target buyer and the resultant ease in
designing a proper designing marketing mix strategy In this
case segmentation is on the bade of income In evaluating
different market segments the company looks at two factors
The overall attractiveness of the segments and the
company’s objectives & resources The present market for
Cellular phones, pagers and conventional phones is as
follows.
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but also get them to use the mobile facility frequently. In the
early stages getting increases to subscribe may be easier
than getting them to talk since they will find it costlier to
use the mobile phone as compared to a conventional
phone [if is believed that initially cell phones would
be used buy]
3.5.AIRTEL'S MARKETING ORIENTATION
Since this is a high-involvement expensive product, the
service provider has to fully take care of the customers.)
They take personal responsibility to "get" the answer for any
problem faced by the customer b) They anticipate
customers' problems and take pro-active steps to prevent
them) They give answers to the questions & requests,
quickly & efficiently) They have a positive tone & manner
while interacting with customers’) They end the interaction
on a positive or a humorous note-making the last30 second
Airtel realizes that attracting people 'Is easy
but converting them into loyal customers is hard,
hence emphasis is on maintaining a “Smiling
and a Friendly Atmosphere” to please and retain the
customer.
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3.7.MARKETING STRATEGY A D O P T E D B Y
BHARTI AIRTEL
Bharti has spent a considerable amount on advertising its
mobile phone service, Airtel. Besides print advertising, the
company had put up large no of hoardings and kiosks in and
around Delhi. The objective behind designing a promotion
campaign for the ‘Airtel’ services is to promote the brand
awareness and to build brand preferences. It is trying to set
up a thematic campaign to build a stronger brand equity for
Airtel. Since the cellular phone category itself is too
restricted, also the fact that a Cellular phone is a high
involvement product, price doesn't qualify as an effective
differentiator. The image of the service provider counts
a great deal. Given the Cell phone category, it is the
network efficiency and the quality of service that becomes
important. What now the buyer is looking at is to get
the optimum price-performance package. This also serves
as an effective differentiator Brand awareness is spread
through the' campaigns and brand preference through brand
stature. Airtel's campaign in the capital began with a series
of 'teaser' hoardings across the city, 'bearing just the
company's name and without explaining what Airtel was. In
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4.
SWOT ANALYSIS
STRENGTH WEAKNESS
i) Price Competition from
i) The fast-expanding i)BSNL
Competition
and MTNLfrom other
IPLC Cellular and mobile
ii) Untapped operators.
Rural market
Market. ii) Saturation point in Basic
ii) Latest technology and Telephony service.
low
Cost advantage.
iii) Huge market.
OPPORTUNITIES
THREATS
i) Very focused on
telecom.
ii) Leadership in fast
growing cellular segment.
iii) Pan-India footprint.
iv) The only Indian
operator, other than
VSNL, that has an
international
Submarine cable.
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STRENGTH
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WEAKNESS
1) Price Competition from BSNL and MTNL Airtel is tough
competition from the operators like BSNL and MTNL as
these two operators are offering services at a low rate.
2) Untapped Rural market. Although Airtel have strong
Presence Throughout the country but still they are far away
from the Indian rural part and generally this part is covered
by BSNL so indirectly Airtel is loosing revenue from the rural
sector.
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OPPORTUNITIES
1) The Fast Extending IPLC Market An IPLC (international
private leased circuit) is a point-to-point private line used by
an organization to communicate between offices that are
geographically dispersed throughout the world. An IPLC can
be used for Internet access, business data exchange, video
conferencing, and any other form of telecommunication.
Airtel Enterprise Services and SingTel jointly provide IPLCs
on the Network i2i. The Landing Station in Singapore is
managed by SingTel and by Airtel in Chennai (India). Each
Landing Station has Power Feeding Equipment, Submarine
Line Terminating Equipment and SDH system to power the
cable, add wavelengths and convert the STM-64 output to
STM-1 data streams respectively.
2) LATEST Technology & Low Cost Advantage the costs
of introducing cellular services for Airtel are marginal in
nature, as it needs Only to augment its cellular
switch/equipment capacity and increase the number of base
stations. The number of cities, towns and villages it has
Covered already works to its advantage as putting more
base stations for cellular coverage in these areas comes
with negligible marginal cost. Besides such cost advantages,
it has also other cost advantages for the latest cellular
technology. As a late entrant into the cellular market, it has
dual advantage of latest technology with modern features,
unlike other private cellular operators who started their
service more than 4-5 years back and low capital cost due to
advantages of large scale buying of cellular
switch/equipment.
3) Huge market The cellular telephony market is presently
expanding at a phenomenal / whopping rate every year and
there is still vast scope for Airtel to enter /expand in this
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THREATS
1) Competition from other cellular It is time for BSNL to
improve/expand its cellular services. Fierce and cut-throat
competition is already in place with the markets ever abuzz
with several tariff reductions and announcement of attractive
packages, trying to grab most of the ‘mind share’ of the ‘king’
-‘the consumer’, whose benefits are increasing with passing
of everyday. If BSNL is not innovative and agile, its cellular
service will be a flop. It needs to be proactive with attractive
packaging, pricing and marketing policies lest its presence in
the market be treated with disdain by the private cellular
companies. The launch of WLL services by Reliance
Infocomm has aggravated the situation.
2) Market Maturity In Basic Telephony SegmentAlthough
Airtel entered in the basic telephony market it’s a biggest
there for the company as the basic telephony market has
reached.
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5.
CONCLUSION
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SUMMARY
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6.
RECOMMENDATIONS
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7.
BIBLIOGRAPHY
REFERENCE
www.airtelworld.com
www.airtel-broadband.com
www.trai.gov.in
www.hindustantimes.com
www.google.com
www.Wikipedia.org
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