Bharti Airtel

Team 6:
• Sakthivel
• Nivedha US
• Aniket
• Subiksha
• Srinivas
INDUSTRY PROFILE
 Telecom sector in India is over 165 years old.

Telephone services were formally introduced in

History of Telecomm India in 1881 and were subsequently merged with
the postal system in 1883.
Industry
Indian telecom sector was government-owned until
1984.

Department of Post and Telegraph was separated in

1985.
 India is second largest in World. (1.17B subscribers ).

It contributes 6.5% to India GDP

India contributes highest in the Global Mobile Data Traffic

per smartphone at 14.5 GB per smartphone per month.
Current Data
Rural market increased from 59.48% to 87.26%

Internet users increased from 687.62m(2019) to 795.18m by

Dec 2020.

Smartphone subscription 620m+

Future projections
India is expected to have a digital economy of $1 tn by 2025

Active internet users in India are expected to reach 900 mn by 2025

410 mn additional smartphone users are expected in India by 2025

The sector is expected to contribute 8% to India’s GDP in 2022

Timeline of Generations in Telecomm

1987–1991 2001–2009 2019

1G Era 1987-1991 3G Era 2001-2009 5G Era 2019 and beyond

2G Era 1991-2001 4G Era 2010-2019

1991–2001 2010–2019
Company profile
• NAME - Bharti Airtel Limited.
• Established on July 07, 1995, as a Public Limited
Company.
• HEADQUARTERS – New Delhi, INDIA
• FOUNDER - Sunil Bharti Mittal
• AREA SERVED – Worldwide
• MARKET SHARE – 29.82%
• REVENUE - Rs 268,536 million (Quarter ended
June 30, 2021)
Itihasa behind
Airtel’s logo
Logo color

“Red is part of our heritage. It is the color of

energy and passion that expresses the
dynamism that has made Airtel the success it
is today, in India, and now on the global
stage.”
Mission

Hunger to win customers for life.

Vision
Our vision is to enrich the lives of our customers.
Our obsession is to win
customers for life through an
exceptional experience.
Key milestones:

• 1983: Push button telephone

• 1986: Incorporation
• 1990: Fax and cordless
• 1992: Won a bid
• 1995: Incorporated cellular operations
• 1996: Cellular extension
• 1999: Further extension
Key milestones:

• 2000: Acquired Skycell

• 2001: Acquired spice cell
• 2002: Listed in BSE and NSE
• 2003: Rebranding
• 2004: Acquired Hexacom
• 2005: More extension
Key milestones:

• 2009: First international mobile network

• 2010: Acquired ZainTelecom
• 2012: Launched in Rwanda
• Today: India’s 1st and worlds 3rd largest
 STRATEGY LEVEL
CORPORATE STRATEGIES
- EXISTING MARKET CONSOLIDATION & PENETRATION.
- OFFERING ENHANCED EXISTING & NEW PRODUCT CONTENT
SERVICES.
- EXISTING MARKET DEVELOPMENT
BUSINESS LEVEL STRATEGIES
- COST LEADERSHIP BUSINESS STRATEGY
- DIFFERENTIATION BUSINESS STRATEGY

BASIS OF AIRTEL JIO

DIFFFERENCES
MUSIC STREAMING WYNK JIO SAAVN
(100 MN + DOWNLOADS) (100 MN + DOWNLOADS)
TV XTREAM JIO TV +
(126 MN + USERS (286 MN + USERS)
VIDEO BLUE JEANS JIO MEET
CONFRENCING
CLOUD SERVICE GOOGLE CLOUD & AWS MICROSOFT AZURE
PARTNERSHIP
HOME BROADBAND 2.6 MN 1 MN
TELECOM 321 MN 405.6 MN
SUBSCRIBER BASE
ARPU INR 162 INR 145
 - FOCUS BUSINESS STRATEGY

 FUNCTIONAL LEVEL STRATEGY

- MARKETING FUNCTION
- INFORMATION SYSTEM FUNCTION
- HR FUNCTION
AIRTEL
COMPETITORS
COMPETITORS FINANCIAL ANALYSIS

Tata
Bharti airtel Vodafone Idea MTNL
communication

Reliance
ITI GTL
communication
STRENGTHS: WEAKNESS:
Renowned telecom company.  Outsourced Operations.
High Brand Equity.  Venturing into African operations.
Extensive infrastructure.  High Debt.
Strategic alliances.

THREATS:
OPPORTUNITIES:
 Government regulatory framework.
 Strategic partnership.
 Competition.
 Market Development.
 Mobile Number Portability.
 Value Added Services.
PESTEL ANALYSIS
ENVIRONMENTAL THREATS &
OPPORTUNITIES PROFILE (ETOP)
 ETOP
ENVIRONMENTAL NATURE OF IMPACT IMPACT OF EACH SECTOR
SECTORS

POLITICAL GOVERNMENT POLICIES

ECONOMICAL FAST GROWIMG ECONOMY, LESS OPERATORS

SOCIAL TREMENDOUS MOBILE GROWTH, & DATA USAGE

TECHNOLOGICAL INNOVATION LAB – ‘ PROJECT NEXT ‘

LEGAL PRIVACY CONCERN INCREASE

FUNDAMENTAL ANALYSIS OF AIRTEL
Bharti Airtel quarterly revenue – Rs.18,338 crore (up by 17.5% YOY)
Mobile service business – up by 19.1% YOY
Enterprise business revenue – up by 9.7%

EBITDA at Rs.8,970 crore – margin at 48.9%

EBIT – Rs.2,763 crore – EBIT margin at 15.1%
Consolidated Net income – 759 crore
4G customer at 179.3 Mn – up by 13.7 Mn QOQ & 43.0 Mn YOY
Airtel ARPU at Rs.145, where Jio ARPU was Rs.138
Airtel strengthened the network even further by acquiring spectrum of Rs. 18699 crore.
Overall customer base – 471 Mn across 16 countries, its major business is from
Africa, South Africa and then India.

BASIS OF INDIA AFRICA

DIFFERENCES
REVENUE 17.5 % YOY 21.7% YOY
EBITDA 48.9% 47.8%
EBIT 15.1% 30.9%
CUSTOMER BASE 350 Mn 118 Mn
CAPEX 5,141 Cr 1,546 Cr

Company has some digital/ enterprise segment asset, they going to sell these assets
and reduce their leverage ( clearing debts).
BCG Analysis
Porter’s 5 Force
Video