A SUMMER TRAINING PROJECT ON Bharti Airtel Group

MARKETING STRATEGIES AND COMPETITIVE

ANALYSIS OF AIRTEL
SUBMITED TOWARDS PARTIAL FULFILMENT OF BECHELOR OF BUSINESS ADMINSTRATION GURU GOBIND SINGH,INDRAPRASTHA UNIVERSITY

SUBMITTED TO

Mrs.Randeep kaur

SUBMITTED BY Akhil Girdhar BBA (GEN) 07412101709

DAV MANAGEMENT FARIDABAD

INSTITUTE OF

TO WHOMSOEVER IT MAY CONCERN

This is to certify that the Summer Project Study Report, Titled Competitive analysis of Marketing Strategy of Bharti Airtel submitted by Mr akhil girdhar the student at our Institute. This Summer Project Study is his/her original work and has not been submitted to any other University/Institute. as partial fulfillment of requirement of the three year BBA course is a bonafide work carried out by

Mrs randeep kaur

ACKNOWLEDGEMENT

I would like to thank Mrs Randeep kaur of davim for allowing us to go for summer training. I also avail this opportunity to express my deep sense of gratitude and thanks to Mr. Rajeev Ranjan (Asst.S.M.of Bharti Airtel Ltd.) .I am highly obliged to Mr N K sharma(pricipal),dav institute of management , for allowing us to go for summer training and for his valuable guidance during training. I like to thanks Mr. Ajoy Kumar Sah Customer Executive of Airtel for arranging this summer training and helping me to get practical knowledge. Last but not the least, I wish to express my gratitude to my faculty members and my parents for their blessings and guidance.

DECALARATION

I Akhil girdhar do hereby declare that the summer internship project report submitted by me for the partial fulfillment of requirement for the bba course of dav institute of management,faridabad . This has not been submitted to any other university institution for the reward of any degree/ diploma certificate.

Akhil girdhar

TABLE OF CONTENT Acknowledgement Declaration Excutive Summary CHAPTER-1 1) About Telecom Industry 2) History of Airtel 3) History of Vodafone 4) History of Idea CHAPTER-2 1)Objective of study 2) Research Methodology CHAPTER-3 1)Marketing strategy of Airtel 2)Marketing Strategy of Vodafone 3)Marketing Strategy of Idea 4)Market Share & Competitive situation CHAPTER-4 1)Data Analyses & Interpretation CHAPTER-5 1) Swot Analysis 2)Limitation CHAPTER-6 1) Conclusion 2) Suggetion 3) Recommendation CHAPTER-7 1) Biblography CHAPTER-8 1) Annexture

Page no. 3 4 6 7-10 11-14 15 16-17 18 19-24 25-37 38-40 40-45 46-48 50-60 61-62 63 64 65 66 67

EXECUTIVE SUMMARY

The project aims at understanding the Marketing strategies at Airtel and its impact on the perception of Airtel Cellular Services. Research has demonstrated conclusively that it is far more costly to win a new customer than it is to maintain an existing one. And there is no better way to retain a customer than to exceed his expectations. For this purpose it is essential to know the level of customer satisfaction. The focus of my research was the measurement of customer satisfaction level for the services provided by Bharti Airtel. The research was done for the corporate clients of Bharti Airtel. My job was not only to represent the Corporate Sales Dept. and collect the feedback from the clients but also to get the major complaints resolved through internal counselling. There can be no better opportunity to interact with the external as well as the internal customers of an organization. Finally the results of the research verify the fact that keeping the customer satisfied is the best strategy to not only retain the existing customers but also to expand the business to new horizons.

CHAPTER-1

INTRODUCTION
TELECOM INDUSTRY IN INDIA
The Indian telecommunications industry is the world's fastest growing telecommunications industry, with 671.69 Million telephone (landlines and mobile) subscribers and 635.51 Million mobile phone connections as of June 2010.It is also the second largest telecommunication network in the world in terms of number of wireless connections after China. The Indian Mobile subscriber base has increased in size by a factor of more than one-hundred since 2001 when the number of subscribers in the country was approximately 5 million to 635.51 Million in June 2010.

As the fastest growing telecommunications industry in the world, it is projected that India will have 1.159 billion mobile subscribers by 2013. Furthermore, projections by several leading global consultancies indicate that the total number of subscribers in India will exceed the total subscriber count in the China by 2013. The industry is expected to reach a size of 344,921 crore

(US$ 74.85 billion) by 2012 at a growth rate of over 26 per cent, and generate employment opportunities for about 10 million people during the same period. According to analysts, the sector would create direct employment for 2.8 million people and for 7 million indirectly. the overall telecom equipments revenue in India stood at during the fiscal, as against In 2008-09

136,833 crore (US$ 29.69 billion)

115,382 crore (US$ 25.04 billion) a year before.

large population, low telephony penetration

levels,

and a rise in consumers' income and fastest-growing telecom

spending owing to strong economic growth have helped make India the

market in the world. The first operator is the state-owned incumbent BSNL. BSNL was created by corporatization of the erstwhile DTS (Department of Telecommunication Services), a government unit responsible for provision of telephony services.

Subsequently, after the telecommunication policies were revised to allow

private operators

, companies such as Vodafone, Bharti Airtel, Tata Indicom, Idea Cellular, Aircel and Loop Mobile have entered the space. See major operators in India. In 2008-09 , rural India

Outpaced urban India in mobile growth rate. Bharti Airtel now is the largest telecom company in India. India's mobile phone market is the fastest growing in the world, with companies adding some 20.31 million new customers in March 2010.

The total number of telephones in the country crossed the 671.69 million mark in June 30, 2010. The overall tele-density has increased to 44.85% in Oct 2009. Telecom Regulatory Authority of India, Information note to the Press (Press Release No. 61 / 2007), 20 Jun 2007 In the wireless Segment, 19 million subscribers have been added in Dec 2009. The total wireless subscribers (GSM, CDMA ) base is more than 543.20 million now. The wire line segment subscriber base stood at 37.06 million with a decline of 0.12 million in Dec 2009.

HISTORY OF TELECOM INDUSTRY

In 1880, two telephone companies namely The Oriental Telephone Company Ltd. and The Anglo Indian Telephone Company Ltd. approached the Government of India to establish telephone exchanges in India. The permission was refused on the grounds that the establishment of telephones was a Government monopoly and that the Government itself would undertake the work. In 1881, the Government later reversed its earlier decision and a license was granted to the Oriental Telephone Company Limited of Kolkata, England for opening telephone exchanges at

Mumbai, Chennai (Madras) and Ahmedabad and the first formal telephone service was set up in the country. 28 January 1882, is a Red Letter Day in the history of telephone in India. On this day Major E. Baring, Member of the Governor General of India's Council declared open the open the Telephone Exchange in Kolkata, Chennai and Mumbai. The exchange at Kolkata named

"Central Exchange" was opened at third floor of the building at 7,

Council House Street.

The

Central Telephone Exchange had 93 number of subscribers Bombay also witnessed the opening of Telephone Exchange in 1882.

BSNL Microwave Tower Mangalore.

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1902 - First wireless telegraph station established between Sagar Islands and Sandheads. 1907 - First Central Battery of telephones introduced in Kanpur. 1913-1914 - First Automatic Exchange installed in Shimla. 23 July 1927 - Radio-telegraph system between the UK and India, with beam stations at Khadki and Daund, inaugurated by Lord Irwin by exchanging greetings with the King of England. 1933 - Radiotelephone system inaugurated between the UK and India. 1953 - 12 channel carrier system introduced. 1960 - First subscriber trunk dialing route commissioned between Kanpur and Lucknow. 1975 - First PCM system commissioned between Mumbai City & Andhra telephone exchanges. 1979 - First optical fibre system for local junction commissioned at Pune. 1980 - First satellite earth station for domestic communications established at A.P.. 1983 - First analog Stored Program Control exchange for trunk lines commissioned at Mumbai. 1984 - C-DOT established for indigenous development & production of digital exchanges. 1985 - First mobile telephone service started on non-commercial basis in Delhi.

While all the major cities and towns in the country were linked with telephones during the British period, the total number of telephones in 1948 was only around 80,000. Even afte r independence, growth was extremely slow. The telephone was a status symbol rather than being an instrument of utility. The number of telephones grew leisurely to 980,000 in 1971, 2.15 million in 1981 and 5.07 million in 1991, the year economic reforms were initiated in the country. While certain innovative steps were taken from time to time, as for example introduction of the telex service in Mumbai in 1953 and commissioning of the first [subscriber trunk dialing] route between Delhi and Kanpur in 1960, the first waves of change were set going by Sam Pitroda in the eighties. He brought in a whiff of fresh air. The real transformation in scenario the announcement of the National Telecom Policy in 1994. came with

11

HISTORY OF BHARI AIRTEL

Bharti Airtel Limited formerly known as Bharti Tele-Ventures LTD (B.T.V.L) is an Indian Company offering telecommunication services in 19countries.It the largest cellular service provider in India, with more than 140 million subscriptions as of July 2010.Bharti Airtel is the world's third largest, single-country mobile operator and fifth largest telecom operator in the world with a subscriber base of over180 million.It also offers fixed line services and broadband services.It offers its telecom services under the Airtel brand and is headed by Sunil Bharti Mittal. Bharti Airtel is the first Indian telecom service provider to achieve this Cisco Gold Certification. To earn Gold

Gold Certification,Bharti Airtel had to meet rigorous standards for networking competency, service service, support and customer satisfaction set forth by Cisco. The company also provides land-line telephone services and broadband Internet access (DSL) in over 96 cities in India. It also acts as a carrier for national and international long distance communication services.

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 Bharti Airtel formerly known as Bharti Tele-Ventures Limited (BTVL) is among India's largest mobile phone and Fixed Network operators. It also offers its mobile services under the Airtel brand and is headed by Sunil Mittal. Airtel is the largest cellular service provider in India in terms of number of subscribers. Bharti Airtel owns the Airtel brand and provides the following services under the brand name Airtel: Mobile Services (using GSM Technology), Broadband & Telephone Services (Fixed line, Internet Connectivity(DSL) and Leased Line),

Long Distance Services and Enterprise Services (Telecommunications Consulting for corporate). It has presence in all 23 circles of the country and covers 71% of the current population (as of FY07).Leading international telecommunication companies such as Vodafone and SingTel held partial stakes in Bharti Airtel.

In January 2010, company announced that Manoj Kohli, Joint Managing Director and current Chief Executive Officer of Indian and South Asian operations, will become the Chief Executive Officer of the International Business Group from 1 April 2010. He will be overseeing Bharti's overseas business. Current Dy. CEO, Sanjay Kapoor, will replace Manoj Kohli and will be the CEO, effective from 1 April 2010.

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VISION
By 2010 Airtel will be the most admired brand in India: Loved by more customers Targeted by top talent Benchmarked by more businesses To build India's finest business conglomerate by 2020 Supporting education of underprivileged children through Bharti Foundation Strategic Intent: To create a conglomerate of the future by bringing about Big Transformations through Brave Actions.

MISSION
We at Airtel always think in fresh and innovative ways about the needs of our customers and how we want them to feel. We deliver what we promise and go out of our way to delight the customer with a little bit more

CORE VALUE
Empowering People to do their best Being Flexible - to adapt to the changing environment and evolving customer needs Making it Happen - by striving to change the status quo, innovate and energize new ideas with a strong passion and entrepreneurial spirit Openness and transparency - with an innate desire to do good Creating Positive Impact with a desire to create a meaningful difference in society.

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History of Vodafone

Vodafone Essar, formerly known as Hutchison Essar is a cellular operator in India that covers 23 telecom circles in India based in Mumbai.[2] Vodafone Essar is owned by Vodafone 67% and Essar Group 33%. It is the second largest mobile phone operator in terms of revenue behind Bharti Airtel, and third largest in terms of customers.[3]

On February 11, 2007 , Vodafone agreed

to acquire the

controlling interest of 67% held by

Holdings in Hutch-Essar for US$11.1 billion, pipping Reliance Communications, Hinduja Group, and Essar Group, which is the owner of the remaining 33%. The whole company was valued at USD 18.8 billion. The transaction closed on May 8, 2007. Despite the official name being

Vodafone Essar, its products are simply branded Vodafone. It offers both prepaid and postpaid GSM cellular phone coverage throughout India with good presence in the metros.

Vodafone Essar provides 2.75G services based on 900 MHz and 1800 MHz digital GSM technology, offering voice and data services in 23 of the country's 23 licence areas. It is among the top three GSM mobile operators of India

15

HISTORY OF IDEA

Idea Cellular is a wireless telephony company operating in all the 22 telecom circles in India based in Mumbai. It is the 3rd largest GSM company in India behind Airtel and
Vodafone

and ahead of state run player BSNL.

We were incorporated as Birla Communications Limited on March 14, 1995 & granted a certificate of commencement of business on August 11, 1995. Our registered office was in Mumbai, Maharashtra. Our name was changed to Birla AT&T Communications Limited on May 30, 1996 following the execution of a joint venture agreement dated December 5, 1995 between AT&T Corporation & Grasim Industries Limited pursuant to which the Aditya Birla Group held 51% of our Equity Share capital & AWS Group held 49% of our Equity Share capital. Our registered office was transferred from Industry House, 1st Floor, 159 Church Gate Reclamation, Mumbai 400 020, Maharashtra to Suman Tower, Plot No. 18, Sector 11, Gandhinagar 382011 Gujarat on October 22, 1996. With effect from January 1, 2001 following our merger with Tata Cellular Limited the joint venture agreement between AT&T Corporation & Grasim Industries Limited dated December 5, 1995 was replaced by a shareholders agreement dated December 15, 2000 entered into between Grasim Industries
16

Limited on behalf of Aditya Birla Group, Tata Industries Limited on behalf of Tata Group & \ AT&T Wireless Services Inc. on behalf of AWS Group following which our name was changed to Birla Tata AT&T Limited on November 6, 2001. Consequent to the introduction of 'Idea' brand, our name was changed to Idea Cellular Limited on May 1, 2002. The AWS Group exite from the Comp. on September 28, 2005 by selling 371,780,740 Equity Shares of the Company, which constituted 50% of holding of AT&T Cellular Private Limited in our equity share capital, to ABNL & by transferring the remaining 371,780,750 Equity Shares to Tata Industries Limited. The Tata Group ceased to be a shareholder of Comp. on June 20, 2006 when Tata Industries Limited & Apex Investments [Mauritiuss] Holding Private Limited [formerly known as AT&T Cellular Private Limiteds] sold all their shares in the Comp. to the Aditya Birla Group.

17

Stock Information about Idea Cellular Ltd datafound=0;

OBJECTIVE OF THE STUDY

Every organization has to achieve its organization goals. For this it is very essential for an organization to know about the view of consumers and their competitive products. This survey research may be also aimed as to estimate potential buyer for the product. The objective of the study is as under:-

Objectives:
To study the importance and development of tele communication industry in today scenario. To understand the various Marketing Strategies which Airtel has adopted to survive in highly competitive cell phone industry. To make a comparative study of the Airtel , Idea & Vodafone in Indian Service.

To know how the company has been successful in encountering the aggressive marketing strategies of competitors.

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Reasearch Methodology
Achieving accuracy in any research requires a deep study regarding the subject. The prime objective of the project is to seek out marketing strategy and competitive analysis with the existing competitor in the market and the impact on Airtel. The research methodology adopted is basically based on primary data via which the most recent and accurate piece of first hand information could be collected. Secondary data has been used to support primary data wherever needed.

Primary data was collected using the following techniques.

Questionnaire Method Direct Interview Method Observation Method

The main tool used was, the questionnaire method. Further direct interview method, where a face-to-face formal interview was taken. Lastly observation method has been continuous with the questionnaire method, as one continuously observes the surrounding environment he works in.
19

RESEARCH DESIGN:
My research design is DISCRIPTIVE RESEARCH In my research, researcher has conducted a market Survey of the marketing strategy and competitive analysis of Airtel.

20

DATA COLLECTION METHOD

. o PRIMARY DATA o SECONDARY DATA

There Two Type of Method of Data Collection.

o PRIMARY DATA

RANCHI
Sl. No
Name of outlets Type of outlets G C C E

Monthly income
Airtel 75000 80000 70000 90000
Vodafone

idea 45000 40000 45000 40000

Signage

1 2 3 4

Vikash STD Maa Jagdmba Durga Mobile Maa Laxmi Electronics

60000 60000 50000 45000

21

5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23

Shashi Std Sharma Service Prasad Std A.K.Electronics Ganpati Mobile Raj Electronics Kumar Phone Yamuna Store Akhil Beauti Shop Dial Point An and Store Ramakant Communication Gopal Telecom Nutan Phonex Sagar Std Antu Enterprizes Asarfi Mobile Passion Shop Sarna Mobile

C S S E M E C G B C G C C C S C C C C

50000 45000 50000 65000 70000 85000 55000 40000 50000 46000 60000 90000 83000 65000 70000 80000 70000 55000 72000

50000 35000 55000 50000 55000 50000 45000 45000 35000 60000 30000 50000 55000 50000 60000 70000 50000 50000 45000

40000 20000 35000 25000 35000 25000 20000 20000 20000 25000 20000 30000 20000 25000 21000 30000 25000 20000 15000

22

24

Reacharch Mobile

80000

55000

20000

Abbreviation; C=Communication S=Std both G=Grocery B=Beauti Shop M=Mobile Shop E=Electronic Shop

23

Sources of secondary data

Used to obtain information on, Bhartis history, current issues, policies, procedures etc, wherever required. o Internet. o Magazines. o Newspapers. o Journals. o Bharti Circulars Store. o Bharti News Letters. o Competitors Store.

SAMPLE UNIT: - Ranchi The Reacher Process was done by interacting with number of Retailer during the activities performed, which included, markets, Cold calling, canopies etc. Sample designs consist of Random sampling.

24

SAMPLE SIZE: - 25 retailer

CHAPTER-3 AIRTEL MARKETING STRATGIES

Services provided by Bharti Airtel

o Mobile services with GSM technology o Fixed-line connections long distance services o VSAT, Internet services and network solutions

Airtel should focus on call rates that they offer. Airtel should improve its customer services like feedback from consumer as well as retailers Airtel should launch some new innovative scheme that gives benefits consumer as well as retailers. Airtel should reduce those services that are less in use or less in awareness like contest on mobile

25

Marketing mix
Price: low price strategy Place: maximum outlets and service centers Product: verities available for various groups Promotion: various schemes for pre-paid and post-paid

Now do more with your Airtel mobile. Express yourself and reach out to people in your own special way. Experience endless possibilities and explore new horizons only with Airtel. Life becomes much simpler with Airtel.

Prepaid
Recharge Online Tariff Roaming Handsets

26

Postpaid Pay bills Tariff Roaming Handsets

BlackBerry BlackBerry Personal mail BlackBerry Internet BlackBerry devices Your account

Smartphones

27

 Windows mobile 6.5

Wireless Internet Devices Tariff Reach Airtel

International Calling Airtel World SIM ISD Calling Cards Airtel Call Home Airtel World Calling Cards

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Prepaid
Recharch onlion Bharti Airtel offers Recharch online anytime and anywhere. He is the best strategy of airtel.Some details of standard recharge option these are following. S.No 1 2 3 4 5 6 7 8 9 Standard Recharge Talktime (Rs) Processing Fee Amount(Rs) (Rs) 50 43.33 2 100 88.66 2 200 179.32 2 300 269.99 2 333 333.00 0 444 444.00 0 500 451.31 2 1000 904.62 2 Rs 99 Lifetime prepaid plan (with Rs 10 talktime) Service Validity Tax (Rs) (Days) 4.67 30 9.34 30 18.68 30 28.01 30 0.00 0 0.00 0 46.69 30 93.38 30

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Tarrif

Lifetime suk @Rs.25 airtel

CHARGES
o

Airtel GSM/CDMA Landline Re 6op/s Re 60p/s Re 60p/s

Local Rates

STD Rates

Re 6op/s Re 60p/s Re 60p/s

Local National

Re 50p/sms Rs 1p/sms

International

Rs 3.5p/sms

30

Lifetime suk Rs.249

ONE TIME CHARGES
o

Pulse Rate Price of Pack (Rs.) Free Airtime on Pack (Rs.) Incoming Calls (Rs.)

60 Sec. Rs. 249 Rs. 100 Free

CALL CHARGES

Airtel GSM/CDMA Landline

Local Rates

Rs. 50p/m. Rs. 50p/m

Rs. 50p/m

STD Rates Rs.60p/m

Rs.60p/m

Rs.60p/m

SMS

Local National International

Rs. 30p/sms Rs. 1p/SMS Rs.3.5p/SMS

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Roaming Charge
Airtel's Roaming service allows you to use your mobile phone to make or receive calls from almost anywhere in India

Calls Rs. 1.00 to Mobile Phones / Fixed Phones STD Calls Rs 1.50 to mobile phones / Fixed Phones

INCOMING CALLS

From Anywhere Rs. 1.00

SMS

Local National International

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Rs. 1.00/SMS Rs. 1.50/SMS Rs. 5/SMS

Postpaid
Pay bills Pay your Airtel Mobile, Fixed Line & Broadband bills here You can now pay your bills from our various payment options

Net Banking Pay using net banking

Select your Bank from the dropdown

Enter you Bank's internet user ID & Password to complete the transaction

Credit or Debit Card - Processing through mChek on Airtel

33

Airtel's Anytime, Anywhere Bill payment option

Enter your card details only once. It's Safe, Simple & Secure.

Pay bills or recharge prepaid of your friends & family online & also from your mobile

Credit or Debit Card - Processing through Bank Gateways

Pay your Airtel bills online

Enter your credit card details while making a payment

VISA, Mastercard, American Express & Diners card accepted

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Postpaid Roaming
Airtel's Roaming service allows you to use your mobile phone to make or receive calls from almost anywhere in India. Tariffs Airtel's Roaming service allows you to use your mobile phone to make or receive calls from almost anywhere in India

Handset Offers
Now choose from a wide range of mobile handsets available exclusively with special offers from Airtel

2GB Internal Memory 5 MP AF Camera with power LED

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Samsung Galaxy S

16 GB Internal Memory Inbuilt Google Mobile Services

Free data offer Free content downloads

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Prepaid mail Messaging

Text Messaging SMS Directory Language SMS

Corporate Group Messaging Voice SMS Airtel Messenger

Multimedia Messaging Service ( MMS

Charges
As an Airtel Subscriber Sending a New Voice Message Rs. 0.75 per VSMS Retrieving VSMS 1st time (*0*) Toll Free. Retrieving VSMS 2nd time onwards (*1*) Rs. 0.75 per minute. Sending a Reply VSMS Rs. 0.75 per VSMS. Forwarding a VSMS Rs. 0.75 per VSMS

Postpaid Mail Messaging

Text Messaging SMS Directory Voice SMS Airtel Messenger

Language SMS Multimedia Messaging Service ( MMS

37

Charges
As an Airtel Subscriber Sending a New Voice Message Rs. 0.75 per VSMS Retrieving VSMS 1st time (*0*) Toll Free. Retrieving VSMS 2nd time onwards (*1*) Rs. 0.75 per minute. Sending a Reply VSMS Rs. 0.75 per VSMS. Forwarding a VSMS Rs. 0.75 per VSMS

How does it work?

Text Messaging is automatically available to all prepaid & postpaid customers with a compatible phone. Some of its attractive features are:

It is ideal for times when you don't want to disturb someone. You can send messages quickly and easily. You can even add a picture if your phone allows. .

You can send text messages from India to other countries, even while you're abroad. Predictive text, if your phone has it, is a great way to save time when you're writing longer messages.

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Brand slogan

39

BRAND AMBASSDORS

40

Signature tune(2002)

41

Introduced In 2002
In 2002, Airtel chose one of the countrys most successful music composers A R Rahman and Tune he gives,denote "Live every moment": Rahman's signature tune for Airtel is, perhaps, the most downloaded ringtone in India. Rahman had been paid Rs 10 million for the campaign

Taglines of Brand

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Power to Keep in Touch

YEAR- 1995-1998 SIGNIFICANCE-- The tag line 'Power to keep in Touch' used in the brand promise was designed to make the user feel 'in controlpowerful' -- Positioned in premium category aimed at elite class of society. -- Perception of aspirational and lifestyle brand

REASON FOR CHANGE-

43

-- Now, cellular service operators could drop their prices and target new customer segments. -- As the category developed with prices going down sharply, Airtel began talking to a wider spectrum of potential users. This gives the birth to the new Tagline.

Touch Tomorrom
YEAR- 1999-2001 SIGNIFICANCE -- Airtel started talking to new segments by positively positioning and establishing itself as a brand that improved the quality of life. -- New look and the feel of the brand tagline indicated the core values of the brand i.e. leadership, performance and dynamism. REASON FOR CHANGE-- Airtel started to look from a regional level to pan India position -- Rediffussion DY&R, which is the ad agency that took charge of revamping Airtel's brand image thought, To become a Indian leader, Airtel need to change its tagline .

Vodafone India Marketing Strategy

44

Vodafone target the rural India The main targeted customers of Vodafone are from rural India. By offering cheap and light mobile sets Vodafone attracts most of the customers of small villages and towns. cheap handsets Vodafone offers cheap and free connections to all customers. The cost for these sets was Rs-799-849-1099\set and onward. Free support and services In every district and big towns Vodafone opens its service centers to provide better support and services. Strong logistics and supply chain Vodafone has a strong logistic and supply all over India. In every small town the potential customers can easily purchase the Vodafone SIM & Sets. Targeting youngsters in metropolitans Vodafone attracts youngsters by offering colorful handset at very low prices. .

Marketing mix
Price : low price strategy Place : maximum outlets and service centers Product : verities available for various groups Promotion: various schemes for pre-paid and post-paid

45

Services provided by Vodafone .

mobile services with GSM technology fixed-line telephone services Universal Internetworking VoIP (Voice over Internet Protocol) Interactive Television Visual Communication Broadband Portal Telecommuting

Tariff Plans FR 03-Lifetime FR 14-Lifetime FR 32-Lifetime

MR (Rs) 28 39 57 Applicability New Customers New Customers New Customers Initial Talktime 7
46

15(Rs.5 for every 3 months) 10 SIM Card Validity Lifelong Lifelong Lifelong

Local Call Rates

Vodafone-to-Vodafone 40p/min 1p/sec 1p/sec Vodafone-other Mobile 40/min 1p/sec 1p/sec To Landline 40/min 1p/sec 1p/sec

Vodafone-toVodafone

0.60/min

1p/sec

1p/sec

Vodafone-Other Mobile

0.60/min

1p/sec

1p/sec

To Landlines

0.60/min

1p/sec

1p/sec

Std Call Rates

47

strategy of Idea Marketing

" 1. Idea should improve its connectivity. 2. Idea should focus on value added services. 3. For getting trust Idea should start some social work for improve its brand value 4. Idea should focus on its services that do not like by consumer like

Product provied of Idea cellular

Postpaid Prepaid

Wireless Internet

GPRS Applications

48

Prepaid Recharge - Jharkhand

MRP Service Tax Processing Fee Talktime Validity Description From To From To From To

10 10 0.93 0.93 2 7.06 7.06 Base Plan Top up available on paper & V Top 11 11 1.02 1.02 9.98 0 0 2days Full Talk Time 13 13 1.21 1.21
49

11.79 0 0 15 days Local Idea to Idea@10p/min 15 15 1.40 1.40 0 15 15 Base Plan Full Talk Time 16 16 1.49 1.49 14.5 0 0 30days Night Pack Rs 1/ 20 mins Local Idea to Idea ( 11pm to 6 am) 17 17 1.58 1.58 15.42 0 0 365 days ALL Roaming 1p/Sec 18 18 1.68 1.68 16.32 0 0 365 days All Roaming 50p/min

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19 19 1.77 1.77 17.23 0 0 1 calendar day Unlimited Local i2i 21 21 1.96 1.96 19.03 10 10 30 days 5 mins I2I for 30 days 22 22 2.05 2.05 19.94 0 0 30 days 400 mins Local I2I for 30 days 26 26 2.42 2.42 23.58 0 0 30 days Fair Usage CAP of 200 Local+STD SMS/day 30 30 2.8 2.8 2 25.2
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25.2 Base Plan Top up 35 35 3.27 3.27 0 35 35 Base Plan Full Talk Time 43 43 4.01 4.01 38.99 0 0 30 days All Local 1p/2sec 46 46 4.3 4.3 41.7 0 0 30 days Unlimited Local i2i night calling 50 54 4.66 5.04 2 43.34 46.96 Base Plan Top up 55 55
52

5.13 5.13 0 55 55 Base Plan Full Talk Time 99 99 9.24 9.24 89.76 0 0 30days 800 mins Local Idea se Idea 111 111 10.36 10.36 0 111 111 Base Plan Full Talk Time 199 199 18.58 18.58 180.42 0 0 30 days 1800 mins Local Idea se Idea 222 222 20.73 20.73 0 222 222 Base Plan
53

Full Talk Time 333 333 31.09 31.09 0 333 333 Base Plan Full Talk Time 249 249 23.25 23.25 225.75 0 0 30 days Unlimited Local i2i 5 5 0.47 0.47 4.53 0 0 1 day 50MB of Free Data Usage 14 14 1.31 1.31 12.69 0 0 3 days 200MB of Free Data Usage 28 28 2.61 2.61
54

25.39 0 0 5 days 500MB of Free Data Usage 45 45 4.20 4.20 40.80 0 0 15 days Unlimited WAP- Handset 90 90 8.40 8.40 81.60 0 0 30 days Unlimited WAP-Handset 98 98 9.15 9.15 88.85 0 0 30 days Unlimited GPRS for a month(Fair Usage CAP of 2.5GB) 299 299 27.92 27.92 271.08 0 0 30 days 3GB of Free Data Usage

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498 498 46.50 46.50 451.50 0 0 30 days 5GB of Free Data Usage 600 600 56.03 56.03 543.97 0 0 30 days Unlimited GPRS on netsetter( Fair Usage CAP of 10GB) 1500 1500 140.07 140.07 1359.93 0 0 90 days Unlimited GPRS on netsetter(Fair Usage CAP of 15GB) 400 400 37.35 37.35 362.65 0 0 30 days FRC on Netsetter ( Unlimited GPRS/month)( fair usage policy of less than 5GB) 150 150 14.01 14.01 135.99 0
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0 15 days Unlimited GPRS for 15 days on netsetter (66.4MB CAP) ** ALL Top up denomination less than 100 charged service Tax 10% & Educational cess 0.3% on ST and PF Rs 2.* *** Recharge Talk time can vary as per market conditions

Features of wireless Internet

Simply Plug and Play High speed internet anytime anywhere Welcome to the Idea Net Setter experience. Idea brings you a conveniently sleek and stylish way to access Internet on the move. Simply plug it into the USB port and go online; no wire, no CD for installation, no hassles. And there are affordable plans to choose from. So connect in style with Idea Net Setter. Launching :High Speed 3G Netsetter 3G NetSetter is launched at an aggressive price point of Rs.1999/- (MRP) Please note: Netsetter Price for Andhra Pradesh is at Rs.1600/-(MRP) SalientFeaturesof3GNetSetter
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Speed - 3G NetSetter support speed of up to 3.6Mbps on HSDPA network and is backward compatible on our current EDGE/GPRS Network. On the current 2G environment subscribers will continue to experience EDGE speeds of up to 236.8 Kbps. SIM Lock - 3G NetSetter is being launched with a unique SIM Lock functionality wherein the first SIM inserted in the device will be locked with the particular NetSetter device, this will help us address current issues like subscribers not using bundled SIMs and using SIM cards with mobile GPRS plan etc. USSD Support - 3G NetSetter will enable Pre-paid subscribers to check pre-paid balance though one click USSD option instead of the current SMS mode.

Operating System - 3G NetSetter supports

Windows 2000/7/XP/Vista Linux13.305.05.00.03 Ubuntu 7.10/8.04/8.10/9.04 SUSE10.3/11.0/11.1 Debian4.0/5.0 Fedora7/Fedora9/Fedora10 xandros4.2 RedFlag6.0 ManDriva 2008/2009 spring Mac OS X 10.4 and 10.5 with latest upgrades

Features:

GSM / GPRS / EDGE Air interface EG612 USB Modem (usable with both desktops & Laptops) SMS support (group sending and editing the extra-long messages) Global roaming * Wireless data speed upto 236.8 Kbps

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Supports multiple operating systems such as Windows 2000 (SP4 or above), Windows XP (SP2 or above), Windows Vista, MAC

Why Idea Net Setter?

Plug and play (No CD installation required) Easy and fast to install and use Tie-ups with international operators for seamless access across Asia, US, Europe and Middle East

Current Market Share of Airtel, Vodafone & Idea

Now that we have results of all the Telecom Companies for the quarter ending June-2009, i was curious to see the latest Customer market share Vs Revenue Market share. Bharti Airtel managed to grab the sweet spot. One good strategy about Airtel is Grow consolidate and then back to the Growth cycle and the spiral continues.

Bharti Airtel has 24.3% customer market share and 33.8% revenue market share.

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Vodafone India has 18.8% customer market share and 20.7% revenue market share. Idea Cellular has 11.2% subscribers market share and 12.1% revenue market share

COMPETITIVE SITUATION

Airtel launched its services before Essar and idea 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,& idea on the other hand, is perceived as the

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lower end service provider. Airtel positions itself as the market leader on the basis of the number of subscribers. Essar & idea is trying to counter this by emphasising on the reach of its network and the quality of its service. However, Essar & idea is somewhat not been very successful 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.

AIRTEL SALES DEPARTMENT AND STRATEGY

A.

Major Accounts (Direct Channel) Handles corporate (named and famed) accounts Forecasting of sales

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Mapping the accounts Providing after sales support to the subscribers. Maintaining call reports for records. Providing Feedback to the marketing department regarding the requirement of the market.

B. IDC (indirect Channel) C. 1. Handling distribution Maintaining records and level check of the channel partner Liaisoning between the channel partner and the company. Target achievement Training the executives of the channel Distribution Support Logistics Monitor handset and SIM card requirements of channel partners and coordinate with stores Settle areas of concerns such as incentive claims of channel partners

2.

Rental Provide cellular services (SIM cards) on rent. Provide cellular phones on rent Useful for people visiting Ranchi for a short interval.
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Telesales Call customers and generate sales lead. Follow up with the customers, if they need any assistance Pass on the sales lead to the channel department.

4 Audit 5. Consultant to the AirTel showrooms. Monitor the operations at the AirTel distribution outlets Organize training. Retail Locate shops to open retail counter Monitor the retail counters

CHAPTER-4

63

Retailer Response towards Questionnaire

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Question 1. Which Brand you, prefer most? Airtel Vodafone Reliance TATA Idea

Question 2. How long you have been sale this Product?

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 0-2 Years 2-5 Years 5-10 Years More than 10 years

Retailers response shown in chart for usage

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Question 3. Are you selling other product with Airtel? Yes No

0% 33%

67%

In this segment 67% retailer are aspire with Airtel and 33% interest in other telecom products in urban area.

Question 4. Do you collect any information search before selling Airtel product ? Yes No
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80 60 40 20 0 Y es(67% ) N o Y es(67% ) N o(33% )

Question 5. What are features you look for in our product before selling ? Give preference{1=excellent,4=poor}

Sl.no.

Preference
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Rank

I II III IV

Delivery System Price Factor Customer Demand After Sale service

3 1 2 4

4 3.5 3 2.5 2 1.5 1 0.5 0 Delivery S ys tem

preferance

After sale s ervice

Question 6. Are you aware of various promotional activities being run by Airtel, if yes then how? Are you satisfied with this promotional activities?{preference 1=Highly satisfied & 4=low satisfaction}

SL.NO. I II III

PERFERANCE CUSTOMER CARE BY CAMP

RANK 1 4 3

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IV

24 HRS CALL CENTERS SERVICE

4 2 0 preferance cus tom er By add 24hrscall By cam p care film s centers s ervice preferance

7.Do you believe that one of the challenges facing mobile operators in India is the diversity of the coverage regions? Company Airtel Vodafone Idea Tata Indicom Yes 2 3 3 2 No 3 2 2 3

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As according to the above table 10 (50%) out of the total 20 interviewed people in the mobile service providers are of belief that one of the challenges facing mobile operations in India is the diversify of the coverage regions, whereas interestingly another 10 (50%) of them deny this.

3 2.5 2 1.5 1 0.5 0 Yes No AirTel Vodafone Idea TataIndicom

8. To what extent, does you find that mobile service providers is a very complex standard? Company Airtel Vodafone Idea Tata Indicom To some extent (1-5) 3 2 2 3 To great extent (6-10) 2 3 3 2

As according to the above table 10 (50%) out of the total 20 interviewed people in all the above four major the mobile service providers in Indian Cellular industry find only to some

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extent that GSM is a very complex standard, whereas the another 10 (50%) respondents find to great extent that mobile service providers is a very complex standard.

3 2.5 2 1.5 1 0.5 0 AirTel Vodafone Idea Tata Indicom

To some extent

To great extent

CONSUMER LEVEL
1. Do you believe that mobile service providers comes close to fulfilling the requirements for a personal communication system? Company Airtel Vodafone Idea Tata Indicom Yes 9 8 8 5 No 1 2 2 5

As the above shows 30 (75%) out of total 40 respondents are of the belief that mobile service providers comes close to fulfilling the requirements for a personal communication system, whereas 10 (25%) of them are in no way to this belief.

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3
No

2 2 2 Tata Indicom Idea Vodafone 2 AirTel 3 3 3

Yes

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2. Do you find that mobile service providers as the most exciting and satisfying mobile standard? Company Airtel Vodafone Idea Tata Indicom Yes 9 7 8 8 No 1 3 2 2

As the above shows 32 (80%) out of total 40 respondents find that mobile service providers as the most exciting and satisfying mobile standard, whereas the remaining 8 (10%) respondents deny this.

No

1 0

Yes

9 5 10

AirTel

7 15 Vodafone Idea

20

8 25 Tata Indicom

8 30 35

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3. Do you believe that your service provider has a genuine commitment to creating a modern and efficient communications? Company Airtel Vodafone Idea Tata Indicom Yes 10 8 10 8 No -2 -2

As the above shows 36 (90%) out of total 40 respondents are of the belief that their service providers have a genuine commitment to creating a modern and efficient communications whereas the remaining 4 (10%) respondents deny this.

2
No

0 2 0 Tata Indicom Idea 8 Vodafone AirTel 10 8 10

Yes

CHAPTER-5

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SWOT ANALYSIS
Strengths o It has a strong brand name, superior quality products and an enable distribution network. o Bharti Airtel has more than 65 million customers (July 2008). It is the largest cellular provider in India, and also supplies broadband and telephone services - as well as many other telecommunications services to both domestic and corporate customers. o It has a clear and well-defined organization structure and limits of financial authority. o The company has covered the entire Indian nation with its network. This has supported its large and rising customer base. o The companys bottom line falls victim to the bloated and highly paid workforce, which affects its margins.

Weakness: o Little efforts over the Advertising of products. o Until recently Airtel did not own its own towers, which was a particular strength of some of its competitors such as BSNL . Towers are important if your company wishes to provide wide coverage nationally. o Premium priced products, hence cant compete in low price segment. o No separate strategy for rural market. o Scheems frequently altered. Opportunities: o The company's financial performance can receive a major boost from its cost reduction efforts.

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o There is a lot of scope of product and market diversification. o Exports of products will also have huge chances in the coming years. o Airtels business has ample scope for gaining market share from the unorganized sector. Rural penetration too holds vast potential to bring about growth.

Threats o The slowdown in the economy has restricted topline growth of most FMCG majors and for Airtel also it will be difficult to maintain historical growth rates in such a depressed scenario. o Companys major raw materials are influenced by government policies / controls as well as vagaries of the monsoons. Fluctuations in the prices of raw materials would have significant impact on costs and margins of the company.

Moreover, inordinate hike in Broad Band Internet products would also increases companys production and distribution cost.

LIMITATIONS

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No project is without limitations and it becomes essential to figure out the various constraints that we underwent during the study. The following points in this direction would add to our total deliberations:1. During the study, on many occasions the respondent groups gave us a cold shoulder. 2. The respondents from whom primary data was gathered any times displayed complete ignorance about the complete branded range, which was being studied. 3. Lack of time is the basic limitation in the project. 4. Some retailers/whole sellers refuse to cooperate with the queries. 5. Some retailers/wholesalers gave biased or incomplete information regarding the study. 6. Money played a vital factor in the whole project duration. 7. Lack of proper information and experience due to short period of time. 8. Some retailers did not answer all the questions or do not have time to answer.

CHAPTER-6

78

CONCLUSION

In this report I had studied about different products & services segment of Airtel Pvt.Ltd. As well as know that Airtel is the Indias largest Telecomm Service provider.

Airtel has long been committed to serving as a contributing member of society & the individual communities in we do business ,economically & socially. Since its establishment company has remained on the leading edge by providing products of high quality that create new values at a reasonable price,for world wide satisfaction.

I feel great to work with the company which works on its products quality & make regular innovations in its products . There is no other company which can complete with Airtel with respect to its Technology & benefits.

SUGGESTIONS

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Following are the few suggestions to AIRTEL for improving the market share and image of the products concerned.

1. PRODUCT *Modification must be brought about in AIRTEL, in terms of quality. Its demand should be increased. 2. PLACE * The brands must be made available easily in, PCO & general stores. 3. PROMOTION *Company must undertake extensive promotional activities like advertisements must be Released in different Medias to create brand awareness. *Free samples should be distributed among the prospects. Sales promotion tools like gifts, contests and coupons must be given to retailers as well as customers and prospects. * Catalogues should be distributed among customers. 4. PRICE * Price should be as competitive as other company maintains * Distribution of new connection should be in reach of customer pocket

RECOMMENDATIONS
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I have made following recommendation to the company after doing the summer training there: The company should modify its credit policy as they only target the cash paying customers who are not easy to trace. The company should emphasis more on the quality of Pharmaceuticals Products it was mostly claimed by the exporters that their receipts from company doesnt matches with the samples quality shown before giving orders. The company should make its marketing strategy flexible enough in order to face competition. The company should keep an eye on the proper delivery of the goods to exporter on time, as it has been recommended by exporters to make the delivery on time. The company rate policy must be flexible enough to catch new customers because if company offers lower price to a new customer then he may continue buy the goods and can be a permanent customer for the company. The company should offers such rate in the market so that it may able to catch a bigger market share and it should be able to compete with the local traders and commission agents while having a brand name. The company should take the opinion of exporters from time to time to know what problems they are facing from the companys side. And if any change they require in present supplying condition?

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CHAPTER-7 BIBLIOGRAPHY
In this project report, while finalizing and for analyzing quality problem in details the following

Books, Magazines/Journals and Web Sites have been referred. All the material detailed below provides effective help and a guiding layout while designing this text report.

Books :
Principles of Marketing Philip Kotler & Kevin keller Market Research D.D. Sharma Research Methodology C.R. Kothari

Websites: www . Airtelworld.com www.scribd.com www.dockstoc.com

www.slide

share

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CHAPTER-8 QUESTIONNAIRE

Q.1 Name those companies which provide telecom services now a days?
Airtel Vodafone Reliance TATA Idea

Q.2 which mobile company services you are using now a days?
Airtel Vodafone Reliance TATA Idea

Q. 3 Among them, which Brand you, prefer most?

Airtel Vodafone Reliance TATA Idea

Q.4 How long you have been using this Product?

0-2 Years 2-5 Years 5-10 Years More than 10 years Q.5 Are you using other product instead of Airtel? Yes No

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Q.6 Do you collect any information search before making purchase? Yes No Q.7 What are the features you look for in a product before making purchase decision? Give preferences (1-Highest, 6- least) Brand credibility Price and Discount After sales services and parts, network Value for money Vehicle performance Add on features or ergonomics of design Q.8 If you have to purchase a new connection or product in near future, which Brand will you go for and why? _________________________________________________ _________________________________________________ _________________________________________________ Q.9 Are you aware of various promotional activities being run by Airtel, if yes then how? Are you satisfied with these promotional activities? Customer Care By Ad Films By Camp 24 hrs call center services Q.10 How would you rate Airtel performance as your expectation on 5 points scale (5 Highest?) 1 2 3 4 5 After Sale service Maintenance Product as per expectation Very Satisfied Satisfied Somewhat Satisfied Not satisfied Q.11 What are you suggestions for improving the product quality, service availability and parts availability?

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