CHAPTER 1

1. INTRODUCTION
The Late Dhirubhai Ambani dreamt of a digital India an India where the
common man would have access to affordable means of information and communication.
Dhirubhai, who singlehandedly built Indias largest private sector company virtually from
scratch, had stated as early as 1999: Make the tools of information and communication
available to people at an affordable cost. They will overcome the handicaps of illiteracy
and lack of mobility. It was with this belief in mind that Reliance Communications
(formerly Reliance Infocomm) started laying 60,000 route kilometers of a pan-India fiber
optic backbone. This backbone was commissioned on 28 December 2002, the auspicious
occasion of Dhirubhais 70th birthday, though sadly after his unexpected demise on 6
July 2002. Reliance Communications has a reliable, high-capacity, integrated (both
wireless and wireline) and convergent (voice, data and video) digital network. It is
capable of delivering a range of services spanning the entire infocomm (information and
communication) value chain, including infrastructure and services for enterprises as
well as individuals, applications, and consulting. Today, Reliance Communications is
revolutionizing the way India communicates and networks, truly bringing about a new
way of life.
1.1 Facts figures
Founded

:-

2004

Founder

:-

Anil Ambani

Headquarters

:-

Navi Mumbai, Maharashtra, India

Key people

:-

Anil Ambani (Chairman)

Vinod Sawhny (CEO)

Revenue

:-

Rs 218 Billion (US$ 3.6 billion) (2013)

Net income

:-

Rs 6.72 Billion (US$ 110 million) (2013)

Total assets

:-

Rs 902 Billion (US$ 15 billion) (2013)

Employees

:-

18,070 (2013)

CHAPTER 2
2. COMPANY PROFILE
2.1 History
Late Dhirubhai Ambani had a vision of making tools of communication available
to commoners thereby allowing them to overcome barriers of mobility. Likewise,
Reliance Communications is capable of delivering services covering entire gamut of
information and communication value chain. Their products and services include
infrastructure setting, applications and consultancy.
Reliance Communications was set up as Reliance Infocomm in 1999 and from
2000 onwards lying of optical fibers started in Maharashtra, Gujarat and Andhra Pradesh.
Reliance Infocomm was inaugurated in 2002 and first of interconnect (POI) was
established in New Delhi in same year. Also in that year, Reliance Communications
commissioned their 1st optic fiber backbone. In 2005, this company launched global
roaming facility and CDMA services. Reliance Communications was formed in 2006 and
listed in Bombay and National stock exchanges.
Reliance Communications Limited founded by the late Shri. Dhirubhai H Ambani
(1932-2002) is the flagship company of the Reliance Anil Dhirubhai Ambani Group. It is
India's foremost truly integrated telecommunications service provider. With a customer
base of over 36 million including close to one million individual overseas retail
customers, Reliance Communications ranks among the top ten Asian Telecom companies.
Its corporate clientele includes 600 Indian, 250 multinational corporations and over 200
global carriers and owns and operates the world's largest next generation, IP enabled
connectivity infrastructure, comprising over 150,000 kilometers of fiber optic cable
systems in India, USA, Europe, Middle East and the Asia Pacific region.

VISION of the Company

We will leverage our strengths to execute complex global-scale projects to
facilitate leading-edge information and communication services affordable to all
individual consumers and businesses in India. We will offer unparalleled value to
create customer delight and enhance business productivity. We will also generate
value for our capabilities beyond Indian borders and enable millions of India's
knowledge workers to deliver their services globally.
Reliance Communications is now among the five most valuable private sector
companies in India, and World by number of customers in a single country. In the current
Fiscal, Reliance Communications will spend Rs 16,000cr to further expand and
strengthen its network coverage across India and the rest of the world.
In addition to organic growth, Reliance Communications will leverage the
advantages derived from this impressive financial platform to explore and pursue any
significant
Opportunities are available in the telecommunications sector. "We are currently
evaluating a number of inorganic opportunities in select international markets to further
expand our footprint,
Ambani said.
Reliance Communications One India, One Tariff plan allowed millions to
connect across India at just one rupee a minute. The company was the first one to break
the Rs 1,000 entry-barrier with the launch of the lowest-cost classic brand handset at Rs
777.
As per its expansion plan, Reliance Communications will have the single largest
wireless network in the world, covering over 900 mn Indians or more than 15% of the
global population. It will cover 23,000 towns or every single Indian habitation with a
population of over 1,000. Reliance Communications will cover almost 100% of all rail
routes, providing seamless voice, video, radio, and Internet connectivity to 14 mn
3

computers every day. It will also cover almost 100% of all national highways, and 84%
of all state highways, giving millions of users the power to talk, text, surf, play, chat or
simply stay in touch across nearly the entire length of India's 2,00,000-km-long road
network. Having achieved tremendous growth, the main challenge for Reliance
Communications is to improve quality of service and ARPU. Its enterprise business is
also not in a position to compete with the global majors. Stock market valuations may
boost the fortunes of an entrepreneur, but Ambani needs to address the issues faced by the
growing mobile customer base, especially in India, where bureaucracy takes pride in
checking the businessman.

2.2 Major Subsidiaries

2.2.1 Reliance Telecommunication Limited
Subsidiary

Reliance

Telecommunication

Limited

(RTL)

operates

in Gujarat, Madhya Pradesh, West Bengal, Himachal Pradesh, Orissa, Bihar, Assam, and
the northeast of India. It first offered GSM services in January 2003.

2.2.2 Reliance Tech Services

Reliance Tech Services is the IT services wing of Reliance Anil Dhirubhai
Ambani group. It provides IT consultancy, business process outsourcing and software
development for Reliance Communications and other ADA group companies. It provides
services to industry sectors such as telecommunications, financial services, utilities,
entertainment, infrastructure, BPO operations and health care.

2.2.3 Reliance Globalcom

Reliance Globalcom owns the Fiber-Optic Link around the Globe undersea cable
system, which spanned 65,000 km in 2006. Over 110,000 km of domestic optic-fibre
connects 40 markets in India, the Middle East, Asia, Europe, and the United States.

2.2.4 Reliance Digital TV

Reliance Big TV launched in August 2008 and thereafter acquired 1 million
subscribers within 90 days of launch, the fastest ramp-up ever achieved by any DTH
operator in the world. Reliance Big TV offers its 1.7 million customers DVD-quality
pictures on over 200 channels using MPEG-4 technology.

2.2.5 Reliance Internet Data Centre

RIDC

provides

Internet data

centre (IDC)

services

located

in Mumbai, Bangalore, Hyderabad and Chennai. Spread across 650,000 sq ft (60,000 m2)
of hosting space, it offers IT infrastructure management services to large, medium and
small enterprises. It is one of the leading data-centre service providers in India and
provides services like colocation, managed server hosting, virtual private server and data
security. It has launched cloud computing services, offering product under its
infrastructure as a server (Iaas) and software as a service (Saas) portfolio, which enables
enterprises, mainly small and medium, a cost-effective IT infrastructure and application
on pay-per-user model.

2.3 Acquisition

FLAG Telecom

Yipes ethernet service

Digicable

Vanco

2.4 CORPORATE PROFILE

Organizations, like individuals, depend for their survival, sustenance and growth
on the support and goodwill of the communities of which they are an integral part, and
must pay back this generosity in every way they can... This ethical standpoint, derived
from the vision of our founder, lies at the heart of the CSR philosophy of the Reliance
ADA Group.
While we strongly believe that our primary obligation or duty as corporate entities
is to our shareholders we are just as mindful of the fact that this imperative does not
exist in isolation; it is part of a much larger compact which we have with our entire body
of stakeholders: From employees, customers and vendors to business partners, ecosystem, local communities, and society at large.
We evaluate and assess each critical business decision or choice from the point of
view of diverse stakeholder interest, driven by the need to minimize risk and to proactively address long-term social, economic and environmental costs and concerns. For
us, being socially responsible is not an occasional act of charity or that one-time token
financial contribution to the local school, hospital or environmental NGO. It is an
ongoing year around commitment, which is integrated into the very core of our business
objectives and strategy. Because we believe that there is no contradiction between doing
well and doing right. Indeed, doing right is a necessary condition for doing well.

2.4.1 Board of Directors

Shri Anil D. Ambani

Prof. J Ramachandran
Shri Deepak Shourie
Shri A. K. Purwar
Shri R. N. Bhardwaj

Chairman
Independent Director
Independent Director
Independent Director
Independent Director

2.5 CHAIRMAN'S PROFILE

Regarded as one of the foremost corporate leaders of contemporary India, Shri
Anil D Ambani, 48, is the chairman of all listed companies of the Reliance ADA Group,
namely, Reliance Communications, Reliance Capital, Reliance Energy and Reliance
Natural Resources limited. He is also Chairman of the Board of Governors of Dhirubhai
Ambani Institute of Information and Communication Technology, Gandhi Nagar, Gujarat.
Till recently, he also held the post of Vice Chairman and Managing Director of Reliance
Industries Limited (RIL), Indias largest private sector enterprise. Anil D Ambani joined
Reliance in 1983 as Co-Chief Executive Officer, and was centrally involved in every
aspect of the companys management over the next 22 years. He is credited with having
pioneered a number of path-breaking financial innovations in the Indian capital markets.
He spearheaded the countrys first forays into the overseas capital markets with
international public offerings of global depositary receipts, convertibles and bonds.
Starting in 1991, he directed Reliance Industries in its efforts to rise over US$ 2 billion.
He also steered the 100-year Yankee bond issue for the company in January 1997.

2.6 ORGANIZATIONAL SET UP

CHAIRMAN

PRESIDENT

PRESIDENT

(PRESONAL BUSINESS)

(ENTERPRISES
BUSINESS)

SENIOUR V.P
V.P
GM
DGM
AGM
SENIOUR MANAGER
MANAGER
DUTY MANAGER
ASST. MANAGER
MANAGEMENT TRAINING

Fig. 2.1 Organizational Setup

PRESIDENT
(HOME
BUSINESS)

CHAPTER 3
3. PRODUCT SERVICES AND COMPETITORS
Reliance Mobile is the only operator in the country with CDMA and GSM dual
technology. Our next generation GSM network lets you enjoy seamless coverage across
India and unleashes a world of endless possibilities. Beyond calling and messaging, it lets
you e-mail, MMS, download videos, get live cricket scores, listen to music of your
choice, blog and even surf the Net. All this made very simple, flexible and convenient to
meet your every demand. So let's get started and explore our unparallel services that will
bring alive your conversations and enrich your every experience like never before.
Prepaid and postpaid are two options for the customer for all these services. As far
as the prepaid is concerned it is widely used. But reliance mobiles focus mainly to the
postpaid. Because postpaid generate a fixed revenue. But prepaid is also very important.

3.1 Products

FWP HELLO
Data Card
Reliance PCO
Prepaid SIM card (GSM and CDMA)
Postpaid Connection (GSM and CDMA)
Reliance base mobile

MRP

Rs. 4

Rs. 6

In Charge Validity

Lifetime#

180 days

Local Calls to Reliance network

Rs. 1.00/min

2p/sec

Local Calls to other network

Rs. 1.00/min

2.5p/sec

All STD Calls to any network

Rs. 1.50/min

2.5p/sec

All Incoming calls

Rs. 0.75/min

Rs. 0.75/min

All Local Outgoing calls

All STD Outgoing calls

Rs. 1.00/min
Rs. 1.50/min

Rs. 1.00/min
Rs. 1.50/min

Rs.6.40 per min

Rs.6.40 per
min
Rs. 10.00 per
min.

Base Tariff

National
Roaming

International Call Rates

Countries/Region
USA, Canada, Fixed lines in Australia, New
Zealand
Mobile phones in Europe, Bangladesh,
Bhutan, Sri Lanka, UAE, Saudi Arabia,
Bahrain, Qatar
Satellite calls/Special Numbers

Rs. 10.00 per

min.

Rs.550/min

ILD Tariff Country Code Wise

SMS*

Local

Rs. 1.00

Rs. 1.00

Application
National
International

Rs. 3.00
Rs. 1.50
Rs. 5.00

Rs. 3.00
Rs. 1.50
Rs. 5.00

Tariff Plans for various services

3.2.1 Prepaid Base Tariff (GSM & CDMA)
Table 3.1 Prepaid Base Tariffs
#Lifetime Validity Validity up to the license period & Minimum recharge of Rs.200 in
every 180 Days.
*SMS charges in national roaming are same as displayed above

10

3.2.2 Popular Postpaid Tariff Plans (CDMA)

Plans Name

Rental (Rs)

Plan Type

FIRSTPLAN_LOCAL149

149

Rental

FIRSTPLAN_LOCSTD199

199

Rental

SPECIALROAM239PPS

239

Rental

UNLIMITEDLOCR_299

299

Rental

HOMEROAM_349

349

Rental

SMARTPHONEPLAN_399

399

Rental

UNLIMITEDLOCSTDR_499

499

Rental

TRULYMAXVALUE899

899

Rental

UNLIMITEDLOCSTD_899

899

Rental

TRULYUNLIMITED_1299

1299

Rental

MAXVALUE1499

1499

Rental

Table 3.2 Postpaid Tariff Plans (CDMA)

11

3.2.2.1 Detailed View of FIRSTPLAN_LOCAL149

Plans Name
FIRSTPLAN_LOCAL149

Rental (Rs)

Plan Type

149

Rental

General
Rental
Clip
Plan Charges
Monthly Commitment
Free SMS(Rs) Local/National * Excluding Roaming
Free Local Talk Time Worth Rs. * Excluding Roaming

149
NIL
Rs 149/Rs 149/400 All Local Minutes +
500 MB Data + 100 All
India sms

Local/ Intracircle
Reliance GSM
Reliance CDMA
Offnet Mobile
Offnet Fixed

Rs 0.30
Rs 0.30
Rs 0.30
Rs 0.30
STD/ Inter circle

Reliance GSM

Rs. 0.50

Reliance CDMA

Rs. 0.50

Offnet Mobile

Rs. 0.50

Offnet Fixed

Rs. 0.50

International
To know about ILD Rates,Click here.
Rate/ SMS (164 characters)
Local SMS (Reliance GSM)
Local SMS (Reliance CDMA)
Local SMS Offnet
National SMS (Reliance GSM)
National SMS (Reliance CDMA)
National SMS Offnet
International SMS
National Roaming Plan
Local Outgoing Calls - Reliance GSM
Local Outgoing Calls - Reliance CDMA
Local Outgoing Calls - Offnet
STD Outgoing Calls - Reliance GSM
STD Outgoing Calls - Reliance CDMA
STD Outgoing Calls - Offnet
12

Rs. 1.00
Rs. 1.00
Rs. 1.00
Rs. 1.00
Rs. 1.00
Rs. 1.00
Rs. 5.00
Rs. 1.00
Rs. 1.00
Rs. 1.00
Rs. 1.50
Rs. 1.50
Rs. 1.50

Incoming Calls

Rs. 0.75
Roaming SMS

Local (Reliance GSM)

Local (Reliance CDMA)
Local (Offnet)
National (Reliance GSM)
National (Reliance CDMA)
National (Offnet)
International SMS

Rs. 1.50
Rs. 1.50
Rs. 1.50
Rs. 1.50
Rs. 1.50
Rs. 1.50
Rs. 5.00

Table 3.3 FIRSTPLAN_LOCAL149

3.2.3 Popular Postpaid Tariff Plans (GSM)
Plan Name

Rental
Clip
Plan Activation
charges
Monthly
Committment
Free SMS(nos)
Local/National/O
nnet/Offnet
Free Local and
STD incl talk
time worth Rs.
*Excluding
Roaming
Free Data

WPSIMPLE
149

Simple199N
ew

FW1INDIA1
99

149
Nil
Nil

199
Nil
Nil

199
Nil
Nil

149

199

199

Nil

Nil

Nil

Nil

Nil

Rs 50

Nil

Nil

Nil

Simple
399 FV
Plan
399
Free

399

349

Intra circle
RGSM/RTL
RCDMA
Onnet Fixed
Off net Cell
Fixed

80p/ 60 sec
80p/ 60 sec
80p/ 60 sec
80p/ 60 sec
80p/ 60 sec

RGSM/RTL
RCDMA

Rs1.5/ 60 sec
Rs1.5/ 60 sec

80p/ 60 sec
80p/ 60 sec
80p/ 60 sec
80p/ 60 sec
80p/ 60 sec
Inter circle

80p/ 60 sec
80p/ 60 sec
80p/ 60 sec
80p/ 60 sec
80p/ 60 sec

50 p

80p/ 60 sec
80p/ 60 sec

Rs1.5/60 sec
Rs1.5/60 sec

50 p

13

Cell
Fixed
Local SMS
( Onnet 1)
Local SMS
( Onnet 2)
Local SMS
OFFNET
National SMS
( Onnet 1)
National SMS
( Onnet 2)
National SMS
OFFNET
International
SMS

Rs1.5/ 60 sec
80p/ 60 sec
Rs1.5/60 sec
Rs1.5/ 60 sec
80p/ 60 sec
Rs1.5/60 sec
Rate /SMS(164 characters)
Rs 1

Rs 1

Rs 1

Rs 1

Rs 1

Rs 1

Rs 1

Rs 1

Rs 1

Rs 1.5

Rs 1.5

Rs 1.5

Rs 1.5

Rs 1.5

Rs 1.5

Rs 1.5

Rs 1.5

Rs 1.5

Rs. 5.00

Rs 5.00

Rs.5.00

Rs. 0.50 /
SMS

Rs. 0.50 /
SMS

Rs. 5.00

Table 3.4 Postpaid Tariff Plans (GSM)

Note:The call duration is measured with accuracy up to +/- 1 second as per TRAI
Regulations.
Call charges are calculated based on the call units which are calculated by
dividing call duration by the pulse rate defined in the Tariff Plan.

14

3.2.4 Popular postpaid plans for data card (Netconnect)

Tariff Plan

Monthly Rental Rs.

Free usage

Usage Charges
Beyond Free usage

Prepaid

As per recharge
voucher

Nil

60 p/min day
30 p/ min night

5
Hour
Pack

10
Hour
Pack

25
Hour
Pack

Unlimited Unlimited Valid in Circles

Pack
Pack

Prepaid Data
RCV (in Rs.)

Rs.
111/-

Rs.
202/-

Rs.
404/-

Rs. 444/-

Rs. 1111/-

All Except
Punjab

Prepaid Data
RCV (in Rs.)

Rs.
111/-

Rs.
202/-

Rs.
404/-

Rs. 399/-

Rs. 1111/-

Only for
Tamilnadu,
Chennai &
Kerala

Validity (in
Days)

30

30

90

All

Free SMS
Minutes of
usage (If entire
usage is in Peak
Hours)
Minutes of
usage (If entire
usage is in Off
Peak Hours)

50

100

300

300

300

All

300

600

1500

Unlimited

Unlimited

All

600

1200

3000

Unlimited

Unlimited

All

Table 3.5 Postpaid plans for data card

15

(International datacard roaming services currently available in USA)

Data Charges

INR 5.37 per 10KB.

Required details

Billed amounts (Rs)

Plan Name Required details

NCPLUSNEW_MyBestValue1GB
Billed amounts (Rs)
Rental per month
Rs. 250
Plan Name
NCPLUS2GB_299_BC799
Fixed free usage per month
1024MB
Rental per month
Rs. 299
Overage Charges till next 512MB .i.e. till
Rs.1.2/MB
Fixed free usage per month
2048MB
1536MB
Overage Charges till next 1000MB .i.e. till
Rs.0.5/MB
Overage Charges till next 512MB .i.e. till
Rs.0.6/MB
3048MB
2048MB
Overage charges from 3048MB
Rs.0/MB
Overage charges beyond 2049MB
Rs.0/MB
Bill Cap
Rs.799
* Customer can utilize maximum of 2GB data at the rates, as mentioned in the above
* Customer can utilize maximum of 3048MB data at the rates, as mentioned in the
table.
above table.
** Beyond 2GB, Unlimited browsing will be applicable, at 144KBPS speed.
** Beyond 3048MB, Unlimited browsing will be applicable, at 144KBPS speed.
*** Maximum bill amount (to be paid if exceeding free Data usage) will be Rs.1200
*** Maximum bill amount (to be paid if exceeding free Data usage) will be Rs.799 +
+ Taxes as applicable.
Taxes as applicable.

Table 3.6 Postpaid International Data card Roaming Charges

16

Required details

Billed amounts (Rs)

Plan Name

NCPLUS4GB_499_BC999

Rental per month

Rs. 499

Fixed free usage per month

4096MB

Overage Charges till next 1000MB .i.e. till

5096MB
Overage charges from 5096MB

Rs.0.5/MB
Rs.0/MB

Bill Cap

Rs.999

* Customer can utilize maximum of 5096MB data at the rates, as mentioned in the
above table.
** Beyond 5096MB, Unlimited browsing will be applicable, at 144KBPS speed.

Plan Name

Rental per
month (Rs)

Data Usage up to
3.1 Mbps

Data Usage up to 144 kbps

5 GB unlimited

599

Up to 5 GB

Unlimited usage @ 144 kbps

beyond 5 GB

10 GB
unlimited

799

Up to 10 GB

Unlimited usage @ 144 kbps

beyond 10 GB

20 GB
unlimited

999

Up to 20 GB

Unlimited usage @ 144 kbps

beyond 20 GB

* Service Tax applicable on the Rental

17

Table 3.7 Postpaid Unlimited Internet Plans

Plan Name

One Time
Charge
(Rs)

Plan
Duration

Monthly
Rental after 3
months (Rs)

Data
Usage
upto 3.1
Mbps

Data Usage
upto 144
kbps

NCPLUS5G
B3MADV12
01_599

1201

3 months

599

Upto 5
GB

Unlimited
usage @ 144
kbps beyond
5 GB

* Service Tax applicable on the One Time Charge and Rental

3.3 Distribution and channel partners

Postpaid connections

Customer
Care

DSA (Direct
Sales
Associate)

Retailer

Distributors

Prepaid connections

18

Direct
Sales
team

Corporate
Sales
team

Reliance
Web
World

Customer
Care

Retailer

Distributors

Reliance
Web
World

Fig. 3.1 Postpaid and Prepaid Connections

3.4 Competitors
In Madhya Pradesh & Chhattisgarh region, the competition is very tough. Here
there are following competitors.
TATA Telecommunication Limited

Vodafone
Bharti Airtel
Idea cellular
BSNL
Virgin mobiles
Aircel

But among all of these following are the main competitors.

TATA
Vodafone
Airtel
Idea

These 4 telecom players are doing well for a long time. Airtel was the 1 st private
telecom player who launched the services for MP&CG region. This is the cause they have
got the highest market share in the market. After that TATA and idea came into the
existence and done very good job. Vodafone has recently launched their services in
MP&CG region. With new offers it has increased lots of customers in a short span of
time.

19

3.4.1 Services provided but the competitors

AIRTEL

GSM

FWP (Fixed
Wire-line
Phone)

Broadcom

Airtel provides 3 services GSM (prepaid and postpaid), FWP (Postpaid),

Broadcom (postpaid).

VODAFONE

GSM

Vodafone provides GSM SIM cards both in prepaid and postpaid. They do not
provide data cards in MP&CG.

IDEA

20

GSM

Data Card

Idea provides GSM and Data-card and both are available in prepaid and postpaid.

TATA

GSM

FWP (Fixed
Wireless
Phone)

CDMA

Data Card

TATA Telecommunication Limited is the main and strong competitor for Reliance
Communication Limited because they give customer all the services which we provides.
Like:

They have TATA docomo in GSM, reliance has Smart (now it is merged).
They have TATA indicom in CDMA, reliance has reliance India mobile.
They provide data cards as TATA photon and reliance provides as Net-connect.
Both provide FWP (Fixed wireless phone).

In prepaid, now a day every telecom player is providing the same facility. Like, if a
customer buys any new prepaid connection he has option to go with all call @ 1paisa/sec
or all call @50 paisa/ min.
But in postpaid there is great competition. That is why, in MP&CG there is a big tariff
war.

21

3.5 Channel and channel partners

Manufacturing

State Head office

Zonal Office

DSA(Direct Sales
Associate)

Distributors

Channel Partner

Distributors

Distributors

Consumer

Channel Partner

22

Fig. 3.2 Channel of Communication

In Reliance communication limited, Distributor and DSA are the main channel
partners. But apart from it there is another channel partner which is like taking a franchise
of reliance and do the business according to him, there is no involvement of company in
sales of the product.
Here distributor is assigned for a territory and has a big business and then comes
DSA who has not a particular territory but he can sale the products in a particular state.

23

CHAPTER 4
4. INTERNSHIP AND ACTIVITIES
4.1 Objectives
The primary objective of this internship is to study and analyze the product and
to interpret the opportunities to increase the sales of the product.

4.2 Nature of work

Nature of the work is to contact Customers and Retailers and getting opinion
about the product and services. It is made for collect the informations about tariff plans
of a product and customers view of tariff plans

4.3 Work Methodology

Step Data on Retailers are collected
1
Step Retailers outlet of a particular area is visited.
2
Step Purpose of visit is explained to the Retailer and the permission to
conduct survey is requested.
3
Step If the permission granted then survey is conducted with customers.
4
Step The Survey is conducted using the Questionnaire.
5
Step Same process is repeated with retailers of other areas.
6
Step The result of survey is analysed and compared.
7

From the result of work the product is compared with its major competitors
product to find the results.
24

4.4 TARIFF WARS

4.4.1 CDMA

Plan name

Reliance

Tata

Reliance

Tata

Reliance

Tata

Simple 99

149 Rental

Simple PPS

249 rental

Simple

399 rental

199

399
modified

Rental(Rs)

99

149

199

249

399

399

Free Talk

NA

NA

15000 Sec

Rs 200

Rs 399
(L+N)

Rs 399
(L+N)

Free SMS

Rs 99

150

NA

250

Rs 399
(L+N)

Rs 399
(L+N)

Local ( Same
network )

50 paisa /
min

30 paisa /
min

1 paisa / sec

1 paisa /
sec

50 paisa /
min

30 paisa /
min

Local ( Other
network )

50 paisa /
min

30 paisa /
min

1 paisa / sec

1 paisa /
sec

50 paisa /
min

30 paisa /
min

STD

50 paisa /
min

50 paisa /
min

1 paisa / sec

1 paisa /
sec

50 paisa /
min

50 paisa /
min

Local

50 paisa

50 paisa

50 paisa

50 paisa

50 paisa

50 paisa

National

50 paisa

50 paisa

50 paisa

50 paisa

50 paisa

50 paisa

International

RS 5

RS 5

RS 5

RS 5

RS 5

RS 5

Value

Table 4.1 Comparison of CDMA plans of various Operators

In low rental plans reliance has 99 rental but in TATA rental is 149 but local calls

@30p.
In per sec plan reliance has rental 199 but in TATA rental is 249. Reliance is
costly.
25

4.4.2 GSM
Reliance

Vodafone

Airtel

Idea

Tata

Simple PPS
199

Talk Local
199

Freedom 249

Seconds

NA

Rental(Rs)

199

199

249

199

NA

Free Talk

RS 150

NA

(R-R)

10500 sec
(Local)

15000 Sec

Value

199 mins
(Local)

Free SMS

NA

NA

150 (Local)

200

NA

Local ( Same
network )

1 paisa / sec

50 paisa / min

1 paisa / sec

1 paisa / sec

NA

Local ( Other
network )

1 paisa / sec

50 paisa / min

1.2 paisa /
sec

1 paisa / sec

NA

STD ( Same
network )

1 paisa / sec

Rs 1.50 / min

1 paisa / sec

1 paisa / sec

NA

STD ( Other
network )

1 paisa / sec

Rs 1.50 / min

1.2 paisa /
sec

1 paisa / sec

NA

Local

50 paisa

50 paisa

50 paisa

50 paisa

NA

National

50 paisa

Rs 1

60 paisa

50 paisa

NA

International

RS 5

RS 5

RS 5

RS 5

RS 5

Plan name

199

Table 4.2 Comparison of GSM plans of various Operators

In per sec plans with GSM, Vodafone is not providing per sec plan in postpaid,
but rest of players provide like reliance provides in 199 rental, Airtel in 249, idea

in 199.
If we talk about the SMS, all players charge local SMS@ 50 paisa/SMS and
international @ Rs 5/SMS, but for national SMSs reliance and idea provides @
26

50p/SMS, Airtel charge 60p. And Vodafone charge Rs 1/ SMS. Here Vodafone is
costly.
Reliance

Vodafone

Airtel

Idea

Tata

Plan name

Simple 399

Talk Double
299

FTV 299

Value 299

NA

Rental(Rs)

399

299

299

299

NA

Free Talk

RS 399

299

500 min

NA

Value

(R-R)

299 mins (V-V

Local)

Free SMS

399

299

150 (Local)

200

NA

Local ( Same
network )

50 paisa /
min

50 paisa / min

49 paisa /
min

40 paisa / min

NA

Local ( Other
network )

50 paisa /
min

50 paisa / min

99 paisa /
min

40 paisa / min

NA

STD ( Same
network )

50 paisa /
min

Rs 1.50 / min

Rs 1.50 / min

50 paisa / min

NA

STD ( Other
network )

50 paisa /
min

Rs 1.50 / min

Rs 1.50 / min

50 paisa / min

NA

Local

50 paisa

50 paisa

49 paisa

50 paisa

NA

National

50 paisa

Rs 1

49 paisa

50 paisa

NA

International

RS 5

RS 5

RS 5

RS 5

RS 5

Customer who wants a per min plans in a cheap rates and having more then 500/Rs usage per month for them, Reliance customers can go with 399 rental, but rest

of operators are providing 299 plan.

In reliance customer gets double of rental, Rs 399 as TV, and 399 for SMS. Same
in Vodafone rental is 299 but benefit is 598. But Airtel and idea you will not get it.

27

In Airtel call chargers is so costly compared to rest, so if customer wants all calls
@ 50p, he can have an add-on 35/- Rs/ month and his all call and SMS will be

@50p.
Now if we compare all the players idea is providing the better facilities in the
lower rental of 299. Reliance provides all@50p in 399 rental, but idea charge 40p
for local and 50p for STD. However reliance gives double of rent and idea give
benefit of 400 in 299 rent.

4.4.3 Data Card

The advertising campaign of various Internet service providers creates confusion
among customers to select a service. Reliance Net connect and Net connect broadband
plus are different like Indicom Photon Plus and Plug to Surf. EVDO, EDGE, Broadband,
High speed Internet all these terms make things more complicated for an average
customer. Here lets compare the services and tariff rates of the three major Wireless
broadband players of India (Reliance, Tata Indicom, and BSNL EVDO)

4.4.3.1 Reliance Net connect Broadband Plus

Reliance Net Connect + Broadband and simple reliance Net connect creates a lot
of confusion. Reliance Net connect broadband using EVDO technology and the USB
device is different in both the cases. The maximum speed of CDMA (IX) technology is
144 kbps (18KBps) and for EVDO technology it is 3.1 Kbps (387.5 Kbps). Reliance Net
Connect Broadband coverage is limited to only a few cities (List shown below).
Advertised 3.1 Mbps will be available only at these cities. Rest all places the speed will
be limited to 144 kbps. It cost Rs. 2299/-

28

Features

Wireless Broadband

Speed up to 3.1mbps in reliance Broadband network

Upload speed up to 1.8 mbps

Compatibility with Reliance high speed Internet network (CDMA)

Plug and play

All India roaming

Technology: EVDO

Coverage
Agra, Ahmedabad & Bopal, Ajmer, Anand, Ankleshwar, Bangalore, Bhilwara,
Bhiwadi, Bhopal, Calicut, Chandigarh, Chennai, Coimbatore, Daman, Delhi, Dewas,
Dhar, Ernakulam, Erode, Gandhinagar, Goa, Guntur, Halol, Hosur, Hyderabad, Indore,
Jaipur, Kakinada, Kancheepuram, Kanpur, Kolkata, Kollam, Kota, Lucknow, Ludhiana,
Madurai, Mangalore, Manipal, Mhow, Mumbai, Mysore, Nagpur, Nasik, Palakkad,
Palladum, Patiala, Perundurai, Pondicherry, Pune, Rajahmundry, Salem, etc..,

29

Post Paid Plans

Free Usage Bundled/Month
Tariff Plan

Monthly
Rental

Anytime/D
ay Usage

Night
Usage

Extra Usage

Roaming

Broadband+ Pay as
you go

Rs. 299/-

Nil

Nil

Rs. 1 / MB

Nationwide*

Broadband+ 512 MB

Rs. 499/-

512 MB

Nil

50 p / MB

Nationwide

Broadband+ 10GB @
Night

Rs. 499/-

Nil

10 GB

50 p /Min

Nationwide

Broadband+ 1 GB

Rs. 650/-

1 GB

Nil

50 p / MB

Nationwide

Broadband+ 2 GB

Rs. 750/-

2 GB

Nil

50 p / MB

Nationwide

Broadband+ 3 GB

Rs. 850/-

3 GB

Nil

50 p / MB

Nationwide

Broadband+ 1 GB
day, 10 GB Night

Rs. 849/-

1 GB

10 GB

50 p / MB

Nationwide

Broadband+ 2 GB
day, 10 GB Night

Rs. 949/-

2 GB

10 GB

50 p / MB

Nationwide

Broadband+ 3 GB
day, 10 GB Night

Rs. 1049/-

3 GB

10 GB

50 p / MB

Nationwide

Broadband+ 5 GB

Rs. 1099/-

5 GB

Nil

50 p / MB

Nationwide

Broadband+ 10 GB
City

Rs. 1099/-

10 GB

Nil

50 p / MB

Citywide

Broadband+ 5 GB
day, 10 GB Night

Rs. 1298/-

5 GB

10 GB

50 p / MB

Nationwide

Broadband+ 10 GB
day, 10 GB Night
City

Rs. 1298/-

10 GB

10 GB

50 p / MB

Citywide

Broadband+ 10 GB

Rs. 1250/-

10 GB

Nil

50 p / MB

Nationwide

30

Broadband+ 10 GB
day, 10 GB Night

Rs. 1449/-

10 GB

10 GB

50 p / MB

Nationwide

Broadband+ 15 GB

Rs. 1750/-

15 GB

Nil

50 p / MB

Nationwide

Broadband+ Pay as
you go

Rs. 299/-

Nil

Nil

Rs. 1 / MB

Nationwide*

Time Based Plans:Plan Name

Monthly usage

Extra usage

Monthly tariff

Daily 60

1800 mins

0.50 per minute

Rs. 500/-

Daily 120

3600 mins

0.50 per minute

Rs. 750/-

Day & Night plan

3600 mins/day &

5400 mins/night

0.50 per minute

Rs. 950/-

Pre Paid Plans:Pack

Price

Validity

Broadband+ 300MB Pack

Rs. 250/-

30 Days

Broadband+ 700MB Pack

Rs. 500/-

30 Days

Broadband+ 1GB Pack

Rs. 715/-

30 Days

Broadband+ 3GB Pack

Rs. 935/-

30 Days

Broadband+ 5GB Pack

Rs. 1,210/-

30 Days

Broadband+ 10GB Pack

Rs. 1,379/-

30 Days

Broadband+ 15GB Pack

Rs. 1,925/-

30 Days

Broadband+ 1GB Pack

Rs. 200/-

1 week

Broadband+ 6GB Pack

Rs. 1500/-

3 months

Broadband+ 18GB Pack

Rs. 3,000/-

6 months

Additional usage @ Rs. 1 / MB

31

Table 4.3 Postpaid plans of Reliance Net connect Broadband Plus

Advantages

Well coverage

National roaming

Disadvantages

Advertised 3.1 mbps on limited cities only (1.5 to 2 mbps practically) Other
places its only 144 Kbps(Basic CDMA 1X network)

4.4.3.2 Tata Indicom photon plus

Tata

Tele

services

introduces

Tata

Photon+

its

new

Mobile

Broadband

Service, technology for Hi speed Mobile Internet connectivity solution for broadband
access. It cost Rs. 2399/Features

Speed offered: 3.1 mbps (maximum)

Non RUIM( Removable User Identification Module) based programmed device

Coverage
State
Andhra Pradesh

Cities
Hyderabad, Visakhapatnam, Warangal,
Puttaparthi

Arunachal Pradesh

Itanagar, Naharlagunj

Assam

Guwahati, Dibrugarh, Golaghat, Jorhat, Nagaon,

Sibsagar, Silchar, Tezpur, Tinsukhia
32

Bihar

Patna

Delhi

Delhi & NCR

Gujarat

Ahmedabad, Gandhinagar, Baroda, Surat, Vapi,

Mundra, Ankleshwar, Daman, Silvassa

Himachal Pradesh

Shimla, Solan, Nalagarh, Baddi, Ponta Sahib

Jammu & Kashmir

Jammu, Kathua, Katra, Srinagar, Udhampur

Karnataka

Bangalore, Mysore, Mangalore, Hubli-Dharwad,

Belgaum, Bellary, Manipal

Kerala

Cochin, Trivandrum

Maharashtra

Mumbai, Nagpur, Nasik, Kolhapur, Pune, Goa

Manipur

Imphal, Thoubal

Meghalay

Shillong, Tura

Mizoram

Aizawl , Lunglei

Nagaland

Kohima, Dimapur

Punjab

Chandigarh, Jalandhar

Rajasthan

Jaipur, Jodhpur, Kota, Udaipur

Tamil Nadu

Chennai, Coimbatore

Tripura

Agartala, Bhubanban

Uttar Pradesh

Lucknow, Kanpur, Dehradun, Saharanpur

West Bengal

Kolkata

Table 4.4 Area Covered by Tata Indicom photon plus

Tariff

33

Tariff differs from place to place. Visit Tata Photon Site and select the city to view
the tariff.
Advantages

Better upload/download speeds.

Works easily with Linux.

Disadvantages

Limited cities coverage

Advertised 3.1 mbps on limited cities only (1.5 to 2 mbps practically) Other
places its only 144 Kbps(Basic CDMA 1X network)

4.4.3.3 BSNL EVDO

BSNL EVDO hardware BSNL is using EVDO device AC8700 manufactured by
ZTE. It is a sleek USB device. BSNL has burnt in the phone number and hence the
EVDO comes with a phone number on it. The user id is the phone number prefixed with
area code and password is typically the last 4 digits of the phone number.
Features
Download speed upto 3.1 mbps
Tariff
The following two types of data Cards will be available for BSNL customers:
(A) Network Interface Card (NIC): For internet speed up to 144 Kbps.
(B) EVDO Card: Internet speed up to 3.1 Mbps*

34

Sl. No.

Particulars

EVDO

Sales price of data card in Rs.(inclusive of all tax)

2500*

Activation charges in Rs.

Free

Activation charges in case customer brings his own

data card in Rs.

350

Initial usage value with card in Rs.

399

Validity of initial talk value in days

50 days

Data usage charges (peak hour)

Rs.0.05/100KB

Data usage charges (Off-peak hour- 11.00 PM to

07.00 AM)

Rs.0.025/100 KB

Pre paid Plans

Sl. No.

Charges

Free usage limit

Charges beyond free

limit

1.

Rs.150

500 MB

Rs.1/MB

30 days

2.

Rs.250

1 GB

Rs.1/MB

30 days

3.

Rs.500

2.5 GB

Rs.0.80/MB

30 days

4.

Rs.750

Unlimited

NA

30 days

Table 4.5 Prepaid plans of BSNL EVDO

35

Validity

Coverage
Cochin, Coimbatore, Dhanbad , Durgapur (West Bengal), Ernakulam, Erode,
Firozabad, Goa, Gurgaon, Guwahati, Hyderabad, Indore, Indrapuram, Jaipur, Jammu,
Jamshedpur, Kanchipuram, Kaushambi, Kerala (Most Towns), Karaikal, Kerala, Kolkata,
Kottayam, Kurnool, Lucknow, Ludhiana, Malapuram, Mohali, Nachiyarkoil, Nagpur,
Noida, Panaji, Panchkula, Palakkad, Pathanamthitta, Patna, Puducherry, Karaikal,
Pune,Rajkot, Ranchi, Salem, Shajapur, M.P, Surat, Tirunelveli Palayamkottai Exchg,
Trichur, Trichy, Trivandrum, Vadadora, Vasundhra, Vaishali Region of Ghaziabad
Advantages

Well connectivity

Unlimited usage

Attractive Tariff

Disadvantages

Poor customer service

36

4.5 Market share

4.5.1 Market scenario
As far as the market share is concerned, Reliance Communication limited is the
second largest consumer based telecom player in the India. Reliance has the largest
market share in term of providing CDMA services. As per TRAI annual report-

Aircel; 5% MTNL; 1% Spice; 1% Others; 1%

Airtel; 24%
TATA; 9%
Idea; 10%

Reliance; 19%

BSNL; 13%
Vodafone; 17%

Fig. 4.1 Market Share of Wireless operators (in %) as on

31st March 2009

37

Telewings; 4% Sistema; 1% others; 1%

Tata; 7%
Airtel; 23%
Aircel; 8%
BSNL; 11%
Vodafone; 18%
Reliance; 13%
Idea; 15%

Fig. 4.2 Market Share of Wireless operators (in %) as on

31st March 2014

As it is earlier mentioned and shown in the annual reports and in the surveys,
reliance communication limited has the Fourth maximum market in the whole country.
We are currently having 13% of the whole wireless (GSM+CDMA) market in India but
we lost 6% of market share from 2009 to 2014.

38

Reliance; 4% Others; 1%
Tata; 4%
Airtel; 10%
MTNL; 11%
BSNL; 70%

Fig. 4.3 Market Share of Wire line operators (in %) as on

29th February 2012

Until the New Telecom Policy was announced in 1999, only the Governmentowned BSNL and MTNL were allowed to provide land-line phone services through
copper wire in India with MTNL operating in Delhi and Mumbai and BSNL servicing all
other areas of the country. Due to the rapid growth of the cellular phone industry in India,
landlines are facing stiff competition from cellular operators. This has forced land-line
service providers to become more efficient and improve their quality of service. Landline connections are now also available on demand, even in high density urban areas.
India has over 31 million main line customers.

39

4.6 Questionnaire Pattern

It is a set of questions posed to the respondents with an urge to receive feedbacks
on the performance levels, the answers to which could be used to implement major
corrective actions for working on continuous satisfaction of the customers.

4.6.1 Question Types

Open Format Questions

Open format questions or open-ended questions give your audience an

opportunity to express their opinions in a free-flowing manner. These questions don't

have predetermined set of responses and the respondent is free to answer whatever
he/she feels right. By including open format questions in your questionnaire, you can
get true, insightful and even unexpected suggestions. Qualitative questions fall under
this category.

Closed Format Questions

Multiple choice questions, where respondents are restricted to choose among

any of the given multiple choice answers are known as closed format or closed-ended
questions. There is no fixed limit as to how many multiple choices should be given;
the number can be even or odd.

4.6.2 Methodology

Direct Interview
Sample size 50 Customers

4.6.3 Duration

5 - 10 Minutes (Average Duration)

40

5. FINDINGS AND CONCLUSIONS

5.1 FINDINGS
SWOT analysis

Strength

Weakness

Commission Structure
Provides both GSM & CDMA
Fast Activation Process
Network
Connectivity
Data GPRS

Opportunity

Branding Image
Distribution problem
Limited product portfolio
Lack of Competitive Strength

Threat

Preference of GSM over CDMA

Rural Telephony
3G market in maximum circles
New Specialist Application

41

Political destabilization.
New Entrants
IT Development
Market Demand

5.2 Problem being faced

Retailers are not motivated to sale the postpaid connections because of less

sales promotions of postpaid in comparison of prepaid.

Lack of communication between retailers and the distributors or direct sales

team.
Customers are afraid of buying postpaid connection because of wrong billing.
The commission of Direct Selling Associations is very less and just for one
time, this is the cause the firms are not motivated to be channel partner of

reliance.
Retailers are not aware of tariff plans of reliance.
Distribution is not proper.
Price of some services is more costly than other players and the benefits are

not according to the high price.

Retailer doesnt get claim at proper time (in case of prepaid)
Penalty charges are so high. Like 100% claw back in 3ed bill case.
Lesser focus on postpaid then prepaid by the distributors.
Lack of sales promotions and advertisements of postpaid.

42

5.3 Recommendations

Retailer Satisfaction

Reliance should focus on retailer satisfaction, because the person who directly
interact with the customers. And their satisfaction will motivate them, and they will
suggest reliance to the customers. This can be done by proving them claims/commissions
on time

Increase in Sale

Increase in sales can be better option for capturing the maximum market. This can
weather be done by Direct Selling Associations, Preferred Technical Resources or by
direct sales or corporate sales team.

Sales Promotion

Sales promotion and advertisements of postpaid plan can be seen hardly in the streets,
on the retailers desks. It should be increased so that can make good a better market for
postpaid too.

Proper Distribution Channel

The distribution of the product like SIM cards, recharge vouchers are not proper. It
should be proper. The customer should get the product at the time of delivery at same
place he/she wants to.

Customer Satisfaction

Reliance communication Limited should focus more on the customer satisfaction. By

providing them the best services in the cheap rates. And the problem faced by the
customer should be resolved as soon as possible.

43

5.4 Conclusion
Indian economy is an emerging one and in this emerging market competition level
among telecommunication services provides new players are coming who will
necessarily intensify the competition. New products and new schemes are being offered
by the telecom service providers. The need for large information capacity has grown
tremendously due to the demand of real time information. Telecommunication has now
become a major information transmission system and telecom has undoubtedly emerged
as the most important industry in India. Indian telecom companies are putting in their
best offer to rope in major telecom operators of the world e.g. Vodafone, Aircel and Tata
Docomo etc. are playing their role in synergy with the operation of the Indian companies.
Process of acquisition and merger are in process and future will be only for those
companies who have an edge over others in the field. Service provided and the better
quality of network etc. is provided at affordable cost. In this process of competition it is
assumed that only those companies will survive who adopt suitable market strategy and
technology innovation and up gradation to suit the aspiration and demand of the
consumer.
Reliance Communication Limited is the one of the oldest service provider in the
Indian telecom industry. The management of company is very good to work. Employees
are motivated to work. The company is planning to expand the 3G market. Creating new
strategy for the new market would be helpful to increase the market share. The IRMS can
be increased by doing some amendments by the employees in the field but not by making
some new changes in the policies. Some new tariff plan should be launched because all
the companies are giving the plans in very cheap rates. They also believe in customer
satisfaction but now they should focus more on it. In this market scenario, the
competition is very tough, if they want to get more success they need to be hungry.

44

APPENDIX

QUESTIONNAIRE
1. What is your Operator?
(On which operator are you going to use Data?)
Aircel
Airtel
BSNL
Idea Cellular
MTS
Reliance Mobile
TATA DOCOMO
Vodafone IN
Other

2. Why you select the particular operator?

3. Are you using Data card or not?

Yes
No

4. If yes, what is your Data card?

45

Tata Indicom Photon Plus

Reliance Net Connect
BSNL EVDO
Others

5. Why you select the particular Data card?

6. Which Network Mode?

2G GPRS or 2G - EDGE (When your mobile shows a G or E
symbol)
3G (When your mobile shows a 3G symbol)

7. How many Signal bars?

(What is your Network signal strength?)
1
2
3
4

46

Full Signal
Fluctuates

8. What is the scale on which you rate your Data speed on your
Network?
(1 being less and 10 being Very High)

Less :(

10
Very High :)

9. What's the 2G speeds are you getting?

(I'm experiencing 15KB/s during these hours)
<5KB/s
>5KB/s and <10KB/s
>10KB/s and <15KB/s
>15KB/s and <20KB/s
>20KB/s and <25KB/s
>25KB/s and <30KB/s
>30KB/s and <35KB/s
>35KB/s

10. What's the 3G speeds are you getting?

(I'm experiencing 30KB/s during these hours)
47

<10KB/s
>10KB/s and <20KB/s
>20KB/s and <30KB/s
>30KB/s and <40KB/s
>40KB/s and <60KB/s
>60KB/s and <70KB/s
>70KB/s and <80KB/s
>80KB/s

11. What's the Reason you stick with that Operator for Data?
(Good speeds, affordable plans, QOS, you can even mention your exact
speeds here.)

48

Bibliography:2009-10 annual report of TRAI

2010-11 annual report of TRAI
2011-12 annual report of TRAI
2012-13 annual report of TRAI

References:www.rcom.co.in
www.broadbandindia.org
www.dot.gov.in
www.trai.gov.in

49