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COMPREHENSIVE POLICY GUIDELINES FOR MARKETING 2009 (For BSNL Corporate Office) 1. INTRODUCTION

The Indian telecom is the fastest growing sector in the country and is passing through a ery stiff competition due to multiple!operator scenario" The telecom operators are ying for mar#et share $y spending huge amount for mar#eting and related acti ities" %ence& the mar#eting really $ecomes a ery important function in order to remain in the competition" BSNL is pro iding a wide range of telecom ser ices" It has to enrich its $rand image and aggressi ely promote its ser ices to remain a leading player" Being a 'S(& it has to follow transparent procedures" Therefore it is necessary to ha e a proper mar#eting policy ) guidelines& which $roadly define the acti ities to $e underta#en and the approach thereto in a transparent manner" Because of the intangi$ility associated with the mar#eting acti ities& the guidelines $ecome e en more important in a 'S( wor#ing en ironment as it is ery difficult to adapt the procedure laid down for the procurement of tangi$le products li#e telecom e*uipments etc" to the +ar#eting acti ities" 2. OBJECTIVES

The main o$,ecti es for comprehensi e policy guidelines are as under(i) (ii) (iii) (i ) ( ) 3. To $uild $rand image of BSNL through communications across arious media" To create awareness a$out BSNL.s products and ser ices" Tactical ad ertising for sales promotion" Competiti e ad ertising strategies to BSNL.s ad antage" +aintaining re*uired '/ to impro e BSNL.s image" POLICY FRAMEWORK

0"1 BSNL shall empanel competent and e2perienced 3d ertising ) +edia agencies& Outdoor +edia agencies& '/ agencies& +ar#et /esearch agencies etc" to ad ise and assist BSNL in formulation of its mar#eting strategies& their implementation and other assigned acti ities" Such agencies shall $e empanelled $y in iting open 42pression of Interest (4oI)" The detailed terms and conditions including eligi$ility criteria& e2perience etc in each case& shall $e stipulated in the respecti e 4oI document" 0"5 3s a part of mar#eting strategy& BSNL shall engage $rand am$assadors for ad ertisements" BSNL may ha e single or multiple $rand am$assadors at any point of time depending on the re*uirements" 0"0 For each financial year& the mar#eting $udget should $e fi2ed as per the trends in the industry and other specific re*uirements li#e launch of new products and ser ices etc" The o er all $udget shall $e $ifurcated $etween corporate office and field units"

0"6 The mar#eting acti ities $y corporate office shall $e mainly for Branding& 3ll India launch of products and ser ices& mar#et research& '/ and corporate communication etc" 0"7 The mar#eting acti ities $y the field units shall $e mainly for sales promotion through 3$o e the Line (3TL) as well as Below the Line (BTL) ad ertising and other local '/ acti ities etc" 0"8 The media wise e2penditure& e"g" electronic& print& outdoor& digital& BTL etc" shall $e fi2ed as a percentage of the total $udget of corporate office and field units separately for each year" %owe er the $udget allocation among arious media may ary as per re*uirements" 3lso heads of circles shall $e authori9ed to re ise the $udget allocation among arious media as per re*uirements" 0": The 4mpowered Committee on +ar#eting (4C+) of corporate office shall ha e the power to appro e the mar#eting proposals up to /s" 1; la#h per occasion within the framewor# of prescri$ed guidelines and the $udget allocated" 0"< For the proposals a$o e /s" 1; la#h& the cases shall $e su$mitted to =irector (C>+) for in principle appro al and for authori9ing the 4C+ to negotiate" The recommendations of the 4C+& for the cases in ol ing e2penditure up to /s" 0 Crore (e2cluding ta2es)& in each case& shall $e su$mitted to =irector (C>+) through 4= (Finance) for final appro al" The cases a$o e /s" 0 Crore and up to 7 Crore (e2cluding ta2es)& in each case& shall $e su$mitted to C+= through =irector (Finance) for final appro al" 3ll the proposals a$o e /s" 7 Crore (e2cluding ta2es)& in each case& shall $e referred for appro al to +anagement Committee" 0"? These are the policy guidelines to streamline the procedures and to $ring consistency in approach and shall normally $e followed" 3ny new de elopment ) acti ities and the de iation from the laid policy will need appro al of BSNL management" 6" MEDIA WISE DSETAILED GUIDELINES FOR BSNL CORPORATE OFFICE

6"1 ELECTRONIC MEDIA .1.1 TV C!"##$%& (i) The T@ channels shall $e mainly used for $uilding the $rand image of BSNL" The media planning for T@ ad ertising in %indi& 4nglish and other prominent regional channels shall $e the responsi$ility of corporate office" (ii) The selection of channels should $e $ased on the re*uirements& #eeping in mind the segment to $e targeted" The channels shall $e selected $ased on their performance in terms of A/'& reach& fre*uency etc" Top few channels in each genre i9" entertainment& news& sports& mo ie& infotainment& music& spirituality etc" may $e ta#en as per the re*uirements" 3 ma2imum of two main regional channels may $e ta#en to ensure uniform $randing across the country as decided $y BSNL corporate office" 3ny method of media $uying& $e it FCT $ased or A/' $ased or a com$ination of $oth& may $e resorted to as per the re*uirements" The alue additions li#e program sponsorships& program $randing& integrations etc" may also $e ta#en $ased on merit on case to case $asis" 3

(iii) The wor# shall normally $e awarded to the empanelled agencies $ased on competiti e $idding and after ascertaining that the rates *uoted are reasona$le" BSNL can also enter into direct contract with the channels& if re*uired& in those cases where it is $eneficial for BSNL to ha e direct deal with such channels" (i ) Spacing of spots should $e planned in such a manner so as to a oid o er e2posure in a particular program or channel" ( ) Circles shall also ma#e use of the presence of local channels for running scrolls in their respecti e circles for ad ertising local schemes" 6"1"5" R"'() C!"##$%& (i) /adio is also a ery powerful means of ad ertising and may $e utili9ed for $rand $uilding and sales promotion" (ii) BSNL may ta#e 3I/ channels and pri ate F+ channels for the a$o e purpose" Since there is no $ench mar# a aila$le for rating of radio channels& the channels ha ing larger foot prints and popularity shall $e considered" (iii) The wor# shall normally $e awarded to the empanelled agency through competiti e $idding and su$se*uent negotiations if re*uired" %owe er& a direct deal can also $e entered into with the channels if re*uired& in those cases where it is $eneficial for BSNL to ha e direct deal with such channels" 6"5" PRINT MEDIA

6"5"1 N$*&+"+$,& (i) Selection of national 4nglish and %indi dailies shall $e made $ased on circulation and as per re*uirements" The circulation figures certified either $y 3BC& INS& I/S or N/S etc" shall $e ta#en into account" In addition to the a$o e& top two regional language dailies can $e ta#en for release from corporate office" 3llotment of wor# shall $e on the $asis of competiti e $idding and negotiations& if necessary& #eeping in iew the current mar#et rates and after ascertaining that the rates *uoted are reasona$le" The release shall $e normally through empanelled agencies" %owe er& BSNL reser es the right to release directly to the pu$lications if re*uired& in those cases where it is $eneficial for BSNL to ha e direct deal with such pu$lications" (ii) Bhile calling for competiti e $idding& BSNL may call for rates on 'er S*" Cm) Column cm or on C'T (Cost per Thousand) $asis" 6"5"5" M"-".(#$& (i) The maga9ines) periodicals are a aila$le for different genres namely 'olitical& Business& Financial& Telecom > IT& Sports& Lifestyle& In!flight etc" (ii) The selection of maga9ines ) periodicals shall $e $ased on circulation or any other tactical re*uirements" The rates shall $e finali9ed $ased on competiti e $idding or negotiations after ascertaining that the rates *uoted are reasona$le"

(iii)

The release from corporate office shall $e normally in 4nglish and %indi maga9ines ) periodicals" %owe er& the release in regional language can also $e done depending on the re*uirements"

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INTERNET (i) Internet is also a powerful media for ad ertising and $randing" Top few portals shall $e ta#en and the release $e done either through agency or directly as per the re*uirement $ased on competiti e $idding amongst the agencies or through direct negotiations with the portals " (ii) The selection shall normally $e $ased on num$er of hits and the offered rates" CINEMA HALLS 3d ertising in cinema halls gi es more impact $ecause of large screen si9e and capti e audience and hence useful for $rand $uilding" 'remier cinema halls can $e considered for ad ertising" The rates shall $e negotiated with the agency ha ing sole and e2clusi es rights for ad ertising in arious cinema halls" OUTDOOR MEDIA (i) For outdoor media li#e hoardings& $us shelters& shop $oards& glow sign $oards& out of home LC= screens& hoardings and translates at airports& railway stations& train $randing (inside and outside) etc"& the wor# shall $e assigned to the empanelled outdoor media agency $ased on competiti e $idding or negotiations $ased on e2clusi ity& after ascertaining that the rates *uoted are reasona$le" (ii) (iii) The territorial circles can also utili9e the same agencies for their outdoor ad ertising" BSNL can also enter into direct mar#eting deals for e2clusi e outdoor properties with the agency ha ing sole and e2clusi e rights for the same"

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SPORTS 1 GAMES (i) BSNL shall target sports of national and international importance li#e Cric#et& %oc#ey& Tennis& Foot$all& and ) or the e ents li#e 3sian Aames& Olympic Aames& Common Bealth games& Borld Cup etc" Further& BSNL can focus on $rand $uilding $y creating an association with a particular sport ) game" (ii) (iii) For ad ertising on ground $ased properties& BSNL shall enter into direct deal with the agencies ha ing e2clusi e rights" Similarly& for ad ertising during the e ent on Tele ision& a direct deal may $e done with the channel ha ing telecast rights or with =oordarshan& as the case may $e"

(i ) The assistance of 3d ertising agencies may $e ta#en where er re*uired or feasi$le" .2 IN FILM ADVERTISING Bith the increasing consumerism and a aila$ility of multiple2es& a film is watched $y a large audience" Therefore& ad ertising within the film can also $e considered" 5

The selection of the film may $e done either on the ad ice of empanelled agencies or ta#ing presentation from the production house itself& on case to case $asis" .3. EVENTS (i) 4 ents of national and international importance& li#e International film festi al& fashion shows& 3ward ceremonies etc" where opportunities e2ist for $randing& may $e identified and $e made use of" (ii) (iii) BSNL can also organi9e its own series of e ents across the country using popular singers and ) or other cele$rities for $randing" BSNL should focus on certain specific e ents to create $randing and associations"

(i ) Such proposals shall $e considered on case to case $asis" .9 ACTIVATION 4 SERVICE LAUNCH (i) Bhene er a new ser ice is launched& there must $e some Below The Line (BTL) acti ities at local le el and at esta$lished e2perience centres& static or mo ing& to ena$le the consumer to ha e first hand e2perience of the ser ices" (ii) 6"1; /. BSNL may ta#e assistance of 3d ertising agencies or Outdoor media $uying agencies for this purpose"

BSNL shall endea our to ha e inno ati e approach to e2ploit other new emerging media ) methods in a proacti e manner" MARKET RESEARCH Focused and proacti e mar#et research shall $e done through empanelled +/ agencies for arious wor#s related to corporate le el decision ma#ing for impro ing $usiness interests of BSNL" PUBLILC RELATIONS Following are the $road '/ functions which can $e carried out directly or with the help of '/ empanelled agency(i) %osting 'ress Conferences& preparing press notes and supplementing information to media" (ii) Stopping and countering negati e news" (iii) Briting letters to opinion leaders& commercially important customers (CICs)& political leaders etc" (i ) Bor#s) acti ities related to hospitality" ( ) Information gathering from franchisees and using them for ad ertisements" ( i) 'u$lishing house ,ournal and BSNL news for franchisees" ( ii) 3ttending of complaints and their *uic# redressal"

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SPONSORSHIPS 3 $udget shall $e decided for sponsorship acti ities in the $eginning of the financial year and shall $e further su$ di ided in to arious categories of acti ities as mentioned $elow" The sponsorship should $e done within the $udget allotted for specific category" 3ny de iation will re*uire appro al of the BSNL management" 6

The proposal recei ed on day to day $asis can $e considered $ased on following $road parameters:"1 C5%65,"% P,)-,"77$8 (i) The cultural programmes of only renowned ) reputed artists& organi9ations of national le el ) repute should $e considered" (ii) 3n assessment should $e made a$out the deli era$les and the alue addition to BSNL $efore ta#ing a decision" (iii) Normally the programs held in =elhi shall $e considered $y corporate office" (i ) 3 particular group ) artist ) organi9ation can $e sponsored only once in a year" ( ) No political ) religious programmes should $e sponsored" S$7(#", 4 C)#9$,$#:$& 4 W),;&!)+ $6:. (i) The Seminars) Conferences) Bor#shops related to Science& +anagement and Telecom should normally $e considered" (ii) Such e ents ) functions at Schools) Colleges ) (ni ersities etc" can also $e considered" (iii) The spea#ers should $e prominent persons (C4Os ) CTOs& 42perts etc") (i ) 3n assessment should $e made a$out the deli era$les and the alue addition to BSNL $efore ta#ing a decision" M$%"4 M$'(:"% C"7+& $6:. (i) Such +ela ) Camps may $e organi9ed where er sponsored $y either Ao t" or NAOs (/egd") (ii) 3n assessment should $e made a$out the deli era$les and the alue addition to BSNL $efore ta#ing a decision" E<!(=(6()# 4 R)"' S!)*& (i) BSNL should participate in ma,or national ) international e2hi$itions related to Telecom) IT ) Science ) IITF ) Con ergence )Supecomm) India Telecom ) +anagement etc" BSNL management should& prefera$ly decide the participation in the ma,or e2hi$itions in the $eginning of the year itself" (ii) 3ny Aeneral ) Consumer e2hi$ition& where isitors can $e large audience ) groups for BSNL $usiness" (iii) /oad!shows e2clusi ely $eing conducted $y BSNL& +TNL& =OT or related go ernment organi9ation" I#'(>('5"% A'>$,6(&$7$#6 R$?5$&6& 3ny indi idual re*uest related to Telecom ) IT) 4ducation ) +anagement ) 4n ironment protection ) =rin#ing water ) Social causes and health related issues etc" can $e considered $y 4C+ ) BSNL +anagement on its merit #eeping in iew the $enefits li#ely to $e accrued to BSNL wilthin the $udget allotted under this category" A'>$,6(&$7$#6& (# S+$:("% I&&5$& BSNL may sponsor the specific issues in newspapers ) maga9ines ) sou enirs) ,ournals released on specific occasions li#e 17 th 3ugust& 58th Canuary& 5nd Octo$er& 1:th +ay& Ao t" days ) 'S( days) arious anni ersaries ) special e ents etc" Such sponsorships can $e entered into through agencies or direct negotiations on case to case $asis" T,"(#(#7

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(i) (ii) (iii) 2.3.

The +ar#eting cell shall co!ordinate with 3LTTC) B/3B/3IT to de elop mar#eting related courses" The cell shall also $e responsi$le for the training to mar#eting heads of circles and other staff" It shall also issue the re*uired guidelines related to training in +ar#eting"

P,(#6(#(i) The printing of Corporate Brochures& Folders for each ser ice& Tariff Boo#lets and 'O' material for Sales points shall $e done $ased on the re*uirements and $udget allocated on case to case $asis" (ii) The printing of =iary ) Calendar) Corporate Aifts) 'ress!notes ) communication to su$scri$ers etc" shall $e the responsi$ility of the +ar#eting cell" I#@H)5&$ P5=%(:"6()#&8 (i) The +ar#eting cell shall $e responsi$le for pu$lishing In %ouse Cournal& 3nnual /eports& Ser ice $rochures etc" as per re*uirement" (ii) The +ar#eting cell shall also $e responsi$le for printing of Calendars& =iary& 'osters& Stic#ers& Areetings cards etc" as per the re*uirement and appro al of =irector (C>+)& C+= or BSNL +anagement" BSNLA& W$=&(6$ (i) =isplay of information on arious ser ices shall $e done on BSNL.s we$site as per the re*uirement" (ii) The information shall $e presented on the we$site in such a manner that it is easy to understand and user friendly" (iii) The information so displayed shall $e updated on continuous $asis" The Indian telecom sector is passing through an e2tremely competiti e phase" The re enues in the telecom are under strain and all the operators are trying to increase their mar#et share and their $ottom lines $y adopting aggressi e and inno ati e mar#eting strategies" The competition is li#ely to get further intensified with the entry of large num$er of new players in the mar#et and& therefore& BSNL needs to re iew these policy guidelines periodically to synchroni9e with the mar#et conditions"

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