College Name

CUSTOMER RELATIONSHIP MANAGEMENT AND SERVICE

DELIVERY AND QUALITY IN TELECOM SECTOR i.e. IDEA
CELLULAR LTD (GSM)
......................................................................................
......

By
Student Name
...................................
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TABLE OF CONTENTS

PAGE
1. PREFACE
2. ACKNOWLEDGEMENT
3. EXECUTIVE SUMMARY
4. OBJECTIVE
5. RESEARCH METHODOLOGY
6. OVERVIEW OF TELECOM INDUSTRY
7. COMPANY PROFILE
8. TARIFF PLANS
9. OVERVIEW ON CUSTOMER
RELATIONSHIP AND SERVICE DELIVERY
10. COMPETITIORS ANALYSIS
11 PROBLEMS FACED BY
CUSTOMERS AND THEIR REDRESSAL
11. SWOT ANALYSIS
12. RECOMMENDATIONS
13. CONCLUSION
14. BIBLIOGRAPHY

Executive Summary

Globalization is the crux reality of 21st century. We are in an Era of innovations, fast changing
technology, good customer service and proactive smart marketing. All this and more pave an
organizations way to global success in this highly competitive world economy. Marketing is
indeed one of the most important aspects of organizational success.
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As a young aspiring marketer I undertook a project, which was all about understanding
customers and how to maintain good and healthy relations with them by delivering quality
service in telecom industry (GSM).

This is through telecom industry only we have come so close to each other, wherever we
are we can share all are joys and sorrows within no time. As IDEA CAN CHANGE YOUR
LIFE.

CUSTOMER HANDLING is one of the most complex, difficult and at the same time one
of the most valuable business as the market place in which we operate is becoming more
demanding and competitive day by day. In order to have a good market share in telecom industry
provided with the following assignments: -

To conduct meetings with customers to analyze their problems and assure them for their
resolutions by forwarding their requests.
To conduct a survey to know different competitors

available in telecom market.

To know WHATS IN in telecom industry and WHATS OUT

by conducting a survey to understand customers

aspirations for future.

To understand why customers leave the network by

analyzing problems faced by them through personal

meetings and trying to retain them.

In the span of 45 days I have done two projects. One main on customer relationship
management and it comprises of above assignments. The subsidiary project was regarding
service delivery and quality, how it works, different stages, SDQ staff recruited by idea cellular.

I learned about different competitors of Idea Cellular Ltd. and their competitive
advantage over each others. In what ways their offerings are converting into customer delight in
turn leading to customer loyalty. Swot analysis of idea cellular helped me in analyzing the areas
where idea cellular needs to focus proactively for customer retention. Beside reasons for
 4

customer loyalty I also got an understanding of brand switching behavior in this industry.
Interaction with channel partners helped me in understanding customer expectations.

Customer preferences, distributors as company member in building customer loyalty. It helped

in drawing a conclusion the future trend of this industry from customer relationship management
prospective. .
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OBJECTIVES

MAIN OBJECTIVES:

To make a comparative study of IDEA CELLULUR Ltd. against its competitors.

To make the corporate customer aware about the product portfolio offered by IDEA
CELLULAR Ltd.

To recommend respective improvement and particularly focus on those problems, which

need immediate attention.

To understand future trend of this industry from Customer

Relationship Prospective.

SECONDARY OBJECTIVES:

To understand the concept of customers.

To determine why is customer care important.

To understand different types of customers.

To analyze how to handle different customers.

To analyze the concept of Service Delivery and Quality.

To make a SWOT analysis so that internal strength and weakness can be understood from
point of view of cellular industry and also understand the opportunities that can be earned
and threats that affects the business.
To understand the importance of Call Center.
 6

To understand different stages of cellular industry i.e. Activation Retention Revenue

Enhancement and Communication.
To analyze Complaint Resolution Cell.
To understand the concept of HNI Customers.
To analyze mantras for Successful Customer Care.
To determine why customers leave the network.

RESEARCH METHODOLOGY

The perspective of the research is to understand customer relations And service delivery and
quality in telecom sector i.e. IDEA CELLULAR LTD. (GSM) potential its future spare. The
focus was concentrated in Uttar Pradesh (w). The study is based upon exploratory research.

To fulfill the objective certain information was gathered by.

1. Primary source.

2. Secondary source.

Research Approach

1. Observational.

2. Exploratory.

Research Instrument

1. Direct Interviews.

2. Personal Meetings.

As I have used primary data by using Direct Personal Investigation Method. In this
method the data is personally collected by investigator from informants. Accordingly I had
meetings with customers and give resolutions for their problems. And secondary data has been
collected from various internet sites as mentioned in Bibliography.
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Overview of Telecom Industry(gsm)

What is GSM:
GSM stands for Global System for Mobile Communications. Developed in the 1980s, GSM was
first deployed in 7 European countries in 1992. Operating in the 900MHz & 1.8GHz bands in
Europe and the 1.9GHz PCS band in the U.S.A., GSM defines the entire cellular system, not just
the air interface (TDMA, CDMA, etc.). By the year 2000, there were over 250 million GSM
users, which is more than half of the world's mobile phone population.

GSM technology provides a short messaging service (SMS), which enables text messages up to
160 characters in length to be sent to and from a GSM phone. GSM phones also supports data
transfer at 9.6 Kbps to packet networks, ISDN & POTS users. GSM is a circuit-switched system
that divides each 200 kHz channel into eight 25 kHz time slots.
Today's second-generation GSM networks deliver high quality and secure mobile voice
and data services (such as SMS/Text Messaging) with full roaming capabilities across the world.
Today's GSM platform is a hugely successful wireless technology and an unprecedented
story of global achievement. In less than ten years since the first GSM network was
commercially launched, it became the world's leading and fastest growing mobile standard,
spanning over 200 countries.
Today, GSM technology is in use by more than one in six of the world's population and it
is estimated that at the end of Jan 2004 there were over 1 billion GSM subscribers across more
than 200 countries of the world.
The growth of GSM continues unabated with more than 160 million new customers in the
last 12 months. Since 1997, the number of GSM subscribers has increased by a staggering 10
fold.
The progress hasn't stopped there. Today's GSM platform is living, growing and evolving
and already offers an expanded and feature-rich 'family' of voice and data enabling services.
Nevertheless, it was clear there would be an escalating demand for a technology that
facilitated flexible and reliable mobile communications.
As far as GSM is concerned, it's always been a risky business getting into the prediction
game. Growth has invariably outstripped even the most incautious speculation. However, it's safe
to assume that by the end of the century GSM will have over 150 million customers and be a
major influence across every continent on the planet.
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The future of GSM technology is happening all around us. As the technology advances, it
is essential that user demand for applications plays as significant role in determining
development as does technological potential. Just because it can be done does not necessary
mean that it should be done.
Equally important is that, in the near future, one of the keys to ensuring GSM maintains
its market position lies in the provision of advanced customer care. It's not simply a case of
attracting new customers, but holding on to them. Already significant steps have been taken to
establish consistent standards across the networks. The aim should now be to engender a culture
of customer care rather than simply the means of responding to customer complaints. For
example, it's easy to envisage a future in which if a GSM phone is not performing, as it should,
the network's care center contacts the user and offers to replace the faulty device.
Global roaming has always been the cornerstone of GSM's success. Users are coming to
demand ubiquitous coverage and seamless mobility. For this reason, work is already well
advanced on the development of multi-band terminals. These products will enable the user to
roam freely between two, and ultimately all three, of the 900/1800/ 1900MHz GSM-related
frequencies. Genuinely global coverage is next. A number of satellite network operators already
have rapport their membership of the MoU, and development is under way of terminals that
integrate both GSM and satellite networks. Such phones will operate as ordinary GSM mobiles
at their usual tariffs when the user is within a GSM coverage area. When they move out of
coverage, their calls will travel by satellite. "The advent of GSM is not seen as so significant a
factor that the traditional cellular market growth trends will alter dramatically."
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GSM MARKET IN INDIA: ~

GSM India was the first regional interest group to be formed for a single country. Umang Das,
Spice Communications, and India currently chair it.
With a population of around 1 billion growing at roughly 1.7 per cent a year, India is potentially
one of the most exciting GSM markets in the world. After two rather difficult years, the past 12
months have seen the region's promise beginning to come to fruition. Much of this success can
be attributed to the stabilization of the licensing and regulatory environment.
India's telecommunications have undergone a steady liberalization since 1994 when the
Indian government first sought private investment in the sector. More significant liberalization
followed in 1996 with the licensing of that has had the most radical impact on the development
of GSM services. 'The policy's mission statement is 'affordable communications for all', There is
a genuine commitment to creating a modern and efficient communications infrastructure that
takes account of the convergence of telecom, IT and media. In addition, the policy places
significant emphasis on greater competition for both fixed and mobile services.
Competition in the mobile sector has already had a visible impact on prices with calls
currently costing less than 9 cents per minute. This means that service costs have fallen by 60 per
cent since the first GSM networks became live in 1995. It also helps explain why a recent
Telecom Asia survey revealed that more than 70 per cent of Indian mobile subscribers felt that
prices were now at a reasonable level.
One of the challenges facing GSM operators in India is the diversity of the coverage
regions -from remote rural regions to some of the most densely populated metropolitan areas in
the world. India has more than 40 networks, which cover the seven largest cities, over 600 towns
and several thousand villages. Such depth of coverage has required enormous investment from
India's operators. It is estimated that more than Rs150 billion had been invested in India's GSM
industry by mid-2000, a figure that is set to be supplemented by a further Rs200 billion over the
next five years.
The good news is that subscriber growth is beginning to look healthy. With India's low
PC penetration and high average Internet usage -at 14-20 hours a month per user it is comparable
to the US -the market for mobile data and m-commerce looks extremely promising. WAP
services have already been launched in the subcontinent and the first GPRS networks are in the
process of being rolled out. In the year ahead, GSM India will work with its members to realize
the potential of early packet services in anticipation of the award of 3GSM licenses in 2003/04.
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COMPARISON BETWEEN GSM AND CDMA:~

Cellular is one of the fastest growing and most demanding telecommunications applications. And
the continuous advancement in this technology has provided many options to a consumer. Today,
the two alternatives that face the mobile world are - GSM and CDMA technology. First of all,
lets comprehend the meaning and functionality aspects of these technologies.

Global Service for Mobile Communications (GSM):~

During the 80s, when the cellular system was introduced, each nation had its own system. As a
result, a couple of problems arose. Firstly, the equipment was limited to operate only within the
boundaries of a country and secondly, the market for mobile equipment was also limited. In
order to overcome these problems, the conference of European Posts and Telecommunications
(CEPT) formed the Group Special Mobile (GSM) to create a common European mobile
telephone standard.
The GSM later came to be known as Global Service for Mobile communications (GSM).
At the end of 1997, GSM was made available in more than 100 countries. Today it has Become
the global standard in Europe and Asia. GSM operates in 900-MHz 1800MHz. If one has to
connect to the specific service provider in different countries, GSM-users simply need to switch
Subscriber Identification Module (SIM) cards. As per GSM technology, a mobile unit logs on to
the network after being switched on. The mobile unit tries to contact a nearby BTS, which then
transmits all the frequencies of the neighboring BTS to the mobile unit, which identifies the
frequency on which the reception is the best and passes on the information to the BTS.
The BTS then transmits the information to the BSC which has the deciding power as to
which BTS should the mobile unit be assigned.

Code Division Multiple Access (CDMA):~

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Developed by Qualcomm for the US Military, Code Division Multiple Access is a system that
enables many users to share the same frequency band at the same time.
CDMA is a spread spectrum technology whereby multiple users share the same time and
frequency allocation in a given band. Each speech signal is modulated (spread) across an entire
band. The respective receiver demodulates and interprets the signal using relevant code that is
embedded in the signal. The final signal contains only the relevant conversation.
The CDMA based mobile technology was introduced in India to provide WLL services,
as the GSM was the choice for full mobility. CDMA based WLL operators were given license of
operation as fixed line operators. As CDMA can very well connect large geographical area, WLL
operators were given the rights to provide "limited mobility" whereby a WLL operator could
allow network coverage to the boundary of a Short Distance Charging Area (SDCA).

Differences:~

While TDMA and FDMA are the types of multiplexing in GSM, CDMA works on spread
spectrum. However the bandwidth available is same for both the technologies, which is 800,
1800 and 1900 MHz.
While GSM cannot add more than a fixed number of subscribers in a cell, the capacity of the
system is not rigid in CDMA.
The biggest advantage with GSM is its widespread network in Europe and Asia, whereas
CDMA is predominant in US and South Korea.
The user of GSM is enabled an easy international roaming. As far as SMS, gaming and
Internet are concerned, both GSM and CDMA score an equal point.
GSM has already set a standard in India. Being a patented technology, all CDMA
equipments and handsets require a royalty to be paid.
The Choice: is determined by the service used by those whom you call most frequently.
When mobile telephony was introduced in India, CDMA was an emerging technology. Hence
GSM was the only choice. But todays scenario calls for an evaluation of the alternatives.

COMPANYS PROFILE
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ADITYA BIRLA GROUP

The Aditya Birla Group is India's first truly multinational corporation. Global in vision, rooted in
Indian values, the Group is driven by a performance ethic pegged on value creation for its
multiple stakeholders. Its 66 state-of-the-art manufacturing units and sectoral services span India,
Thailand, Indonesia, Malaysia, Philippines, Egypt, Canada, Australia and China.

A US$ 6.7 billion conglomerate, with a market capitalization of US$ 7 billion, it is anchored by
an extraordinary force of 72,000 employees belonging to over 20 different nationalities.

Over 30 percent of its revenues flow from its operations across the world.
A premium conglomerate, the Aditya Birla Group is a dominant player in all of the sectors in
which it operates. Such as viscose staple fiber, non-ferrous metals, cement, viscose filament
yarn, branded apparel, carbon black, chemicals, fertilizers, sponge iron, insulators and financial
services.
The Group has also made successful forays into the IT and BPO sectors.

Currently around 57 percent of our Equity Shares are held by our Promoters who are companies
belonging to the Aditya Birla Group.

Our Promoters are

1. Aditya Birla Nuvo Limited

2. Grasim Industries Limited

3. Hindalco Industries Limited and

4. Birla TMT Holdings Private Limited.

The Aditya Birla Group is a dominant player in all of the sectors in which it operates? Among
these is viscose staple fibre, non-ferrous metals, cement, viscose filament yarn, branded apparel,
carbon black, chemicals, fertilizers, sponge iron, insulators, financial services, telecom, BPO and
 13

IT services.

Following table lists the major Indian companies of the Aditya

Birla Group and the products and services they offer:

Company

- Grasim

- UltraTech Cement Limited

- Shree Digvijay Cement

- Hindalco

- Indian Aluminums Company Limited

- Bihar Caustic and Chemicals Limited

- ABNL

- Idea Cellular Limited

- Birla NGK Insulators*

- Birla Sun Life Insurance Company Limited*

- Birla Sun Life Asset Management Company Limited*

- Birla Sun Life Distribution Company Limited*

- PSI Data Systems

- TransWorks

- Birla Global Finance Limited

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- Tanfac Industries Limited* fluorine chemicals

Idea cellular

Idea Cellular's antecedents date back to 1995, when the Aditya Birla Group and AT&T
(through Birla AT&T- Maharashtra, Gujarat) and the Tata Group (through Tata Cellular-Andhra
Pradesh) came together to set up cellular networks.

In 2000, the historic path-breaking merger and the subsequent acquisition of RPG Cellular -
(Madhya Pradesh circle) helped take their aims even further and led to the formation of Birla
Tata AT&T Limited.
Since then, there has been no looking back for Birla Tata AT&T (Idea Cellular). In its
very first financial year, Idea Cellular recorded the fastest growth among all cellular operators at
a 135% increase in subscriber base. The company BTAL (now Idea Cellular) also ranked No. 1
in customer satisfaction among all operators (as per the NFO MBL survey), a testimony to the
quality of the company's services and subscribers.
As India's leading GSM Mobile Services operator, IDEA Cellular has licenses to operate
in 11 circles.
With a customer base of over 10 million, IDEA Cellular has operations in Delhi,
Maharashtra, Goa, Gujarat, Andhra Pradesh, Madhya Pradesh, Chattisgarh, Uttaranchal,
Haryana, UP-West, Himachal Pradesh and Kerala.
IDEA Cellular's footprint currently covers approximately 45% of India's population and
over 50% of the potential telecom-market.

As a leader in Value Added Services, Innovation is central to IDEA's VAS Factory. It is

the first cellular company to launch music messaging with 'Cellular Jockey' , 'Background
Tones', 'Group Talk', a voice portal with 'Say IDEA' and
A complete suite of Mobile Email Services.

A frontrunner in introducing revolutionary tariff plans, IDEA Cellular has the distinction
of offering the most customer friendly and competitive Pre Paid offerings, for the first time in
India, with 'Super Power', 2 Minutes Outgoing Free, Lifelong offer and other segmented
offerings like Women's Card. 'Lifetime Idea' is the first and only loyalty program, for pre paid
customers, introduced by a Cellular brand.

Customer Service and Innovation are the drivers of this Cellular Brand. A brand known for their
many firsts, Idea is only operator to launch GPRS and EDGE in the country.
 15

The latest feather in the IDEA cap is the GSM Association Award for Bill Flash, it has recently
won making it the first cellular operator in India to win an award on this platform.

Idea Cellular is part of the Aditya Birla Group, which is India's first truly multinational
corporation. Global in vision, rooted in Indian values, the group is driven by a performance ethic
pegged on value creation for its multiple stakeholders.

The combined holding of the Aditya Birla Group companies in Idea stands at 98.3 per cent.
 16

Vision: To become most profitable Cellular company

Strengthen
Channels

Capture
Reduce cost
additional
per minute
Improve subscribers
Profitability

Protect Retain
Current existing
ARPUs subscribers
Companies Mission

We will Delight our customers

While meeting their
Individual communication needs
anytime anywhere
 17

We survive because of our customers.

Delight: Positively surprise customers with every interaction.

Customer: Whole universe of current and potential users who have communication needs.
Individual Communication Needs: Specific communication needs of individual consumers.
Communication: All voice and non-voice services that are permitted under the license.

Values

CUSTOMERS

Our customers are our most valued assets. We will strive to exceed their expectations
at all times by providing them with superior services that embody value, innovation,
quality and care.

Some of our Technology and Content Partners

Onmobile Asia Pacific Ltd

Cellebrum India Ltd

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Siddhivinayak Astro Services Ltd.

Kodiak Ltd

Mauj

Net4nuts India Ltd

Yahoo
Rediff

India times
Mobile2win

Sify

NDTV

ROAMING
Roamware.inc

Starhome

Bharti Telesoft

MARKETING COMMUNICATIONS

Lowe India Pvt Ltd

Insight Media Ltd

PUBLIC RELATIONS
Clea PR

NETWORK
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Nokia

Ericsson

Siemens

BILLING

Atos Origin
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COVERAGE

Idea Cellular Ltd has seen phenomenal growth since its inception. Idea Cellular's
footprint idea is to first achieve critical mass, then drill deep instead of spreading thin.
In keeping with this, the company has been providing excellent service to its subscribers
in various states.
It controls a portfolio of India's most attractive and contiguous telecom geographies,
Including the circles of Andhra Pradesh & Delhi (inclusive of NCR),
Gujarat, Haryana, Himachal Pradesh, Kerala, Madhya Pradesh & Chattisgarh, Maharashtra &
Goa (excluding Mumbai), Rajasthan, Uttar Pradesh (W), Uttar Pradesh (E).
With a footprint dominating the map of India, Idea Cellular accesses over 60% of India's
total telephony potential.
The company is now poised to launch its services in new circles - namely Mumbai and
Bihar.
Idea Cellular Ltd, however, does not believe only in increasing geographic footprint - it
also drills deep and successfully attempts to provide excellent network coverage in all its circles
of operations
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The brand Idea

 22

It is almost impossible to disintegrate brand Idea from the corporate Idea. Brand values are the
company values and vise versa.

Brand Vision: It goes without saying that the brand vision of idea mirrors

The companys vision.

The brand mission statement is......

To be the most customer-focused mobile service brand,

Continuously innovating to help liberate our customers from the shackles of time & space.

IDEA - Brand Values

Innovate. Stimulate. Liberate....

It is these brand values, which have made us a formidable player in

the telecom industry. Innovations that stimulate the customer and

liberate him from the shackles of time and space are the core of our

brand. This is what we strive for. Nothing more, nothing less, nothing

else.
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IDEA - Brand Mission

The India footprint Idea

Anywhere connectivity bringing India closer.
The Technology Advantage Idea
Tomorrow's technology to enrich today.
The Customer Focus Idea
Make a single interaction a lasting relationship.
The Employee Focus Idea
Nurture the roots that nurture our ideas.

Available wherever you

want
New Innovative channels

Brand
Perception

Positively surprise during all

customer interactions
Best Distribution
Product Network
Innovation
Prepaid
Ecotalk
Sum total of customer experience with ourIdea
service
Lifetime
Super Power
Best Service creates a perception
Delivery Postpaid
in the mind of Consumer Good Bye Landline
Dual IMSI Solution
Innovative
VAS
Affordable
Cellular Jockey
CaringGlobal SMS
HonestIdea Mail
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What Idea Brand stands for?

- Four planks of competitive edge

What business are we in?

Infrastructure?
Total investments: Rs 67 bn
Number of Towns covered:~2000
Highway coverage: ~20,000km
Average monthly Calls on network: 1.25 bn
Average monthly SMS: 200 mn
Service?
Manpower for customer service: ~3,000
Daily relationship calls made: 65,000
Bills delivered every month: 1.3 mn
FMCG?
Total Consumers: 7.3 mn
Number of Retailers: 125 k
Average monthly gross adds: ~650,000
BPO?
Call Center agents: ~1,000+
Daily Calls received at call center: 500 k
Financing?
Short term debt: Rs 14 bn
Average monthly debt rollover: Rs 1 bn

Industry Scenario

Growth phase for 2-4 years to continue.

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Commoditised market.

Highly competitive.

Tariffs dangerously low.

Number portability will come.

New Business Model required.

Numbers game will change.

Need to look at your niche.

Create customer relationships.

Customer Service is the only long-term differentiator.

Sellers to buyers market

Whats out Whats in

Product centered Market centered

Pure acquisition mode Profitable growth

Faster than competition

Different than competition

Internal focus External focus

Operations driven Service driven

Innovative products Meet changing needs of customer

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Economical products Unique value to customer

Expand distribution Differentiate service delivery

Either you change yourself, or customer will change to another operator.

Focus Areas

Empowerment: Four Levels of Mgt. Push decisions to lowest level.

Partnership: Develop outsourcing partners, SLA management skills.

Measurement and Reporting: Leverage IT for BI & MIS.

Quality & Processes: Enterprise Process Mgt and Six Sigma.

Communication: Continuous Corporate Communications.

Innovation: Do it differently.

Technology: Stay ahead of curve.

Regulation: Be prepared to exploit opportunities.

Segmentation: Mass customization.

TYPES OF PRODUCT OFFERED BY IDEA CELLULAR

Post-paid subscription
 27

A post-paid subscription is also called a billing connection. In this type of a connection, you can
avail of the cellular connection first and pay for the usage at the end of the month. To avail this
type of connection, you will be required to submit a signed Customer Service Agreement (CSA)
form along with certain specified documents. Your connection will be activated post the payment
of the one-time charge or activation fee, a refundable deposit and verification of the requisite
documents. On consistent and regular payment and high usage patterns, you could win yourself
the opportunity to enjoy exclusive loyalty and frequent user facilities provided by Idea Cellular.

Prepaid subscription

A prepaid subscription is like a cash & carry subscription, designed for quick convenience and
ease of mobility. To subscribe, do ask for the IDEA Chitchat brand at our outlets. Under this
subscription, you can pay in advance for using the services and your credit balance on the
subscription keeps reducing in real time against usage.
NEW PLAINS OF IDEA CELLULAR

Plan Details

Charges Easy 149 Easy 199 Easy 249

1 Onetime Charges
(a) Sec Deposit 500 500 500
(b) Activation 200 200 200

2 Recurring Charges
(a) Monthly Rent 149 199 249
(b) CLI Nil Nil Nil

3 Call Charges
(a) Intra-circle
i2i 0.75 0.50 0.25
i2M 0.75 0.50 0.50
i2L 1.50 1.00 0.75
SMS 1 1 0.50
(b) Inter-circle
i2i 2.40 2.00 1.50
i2M 2.40 2.00 1.50
i2L 2.40 2.00 1.50
SMS 2 2 0.50
 28

(c) ISD
Country I 7.20 7.20 7.20
Country II 9.99 9.99 9.99
Others 50.00 50.00 50.00
SMS 5.00 5.00 5.00

4 UDP (local idea to idea calls only) Rs. 149 Rs. 199 Rs. 249

Tariff matrix TMCODE:

New Easy 500
Bill Plan New Easy 500
Telephony 99
MMF 401
CLI charges 0
VAS Fee 0
Total 500

UDP/Free Minutes (Intracircle calls +STD calls) 500 minutes

Outgoing
Band Intra Circle (Distance Taken From Routing POI
CUG 0.10
*** M2M Idea 0.30
M1 M2M Competitor 0.50
M2 M2M - UPEAST 0.50
M3 M2M - Reliance & Tata 0.50
C0 M2F & M2WL 0-50Km 1.00
C1 M2F&M2WL above 50- 200 Km Non-POPs 1.00
C2 M2F&M2WL above 200 Km Non-POPs 1.00

Inter Circle (Distance Taken From Agra Level one TAX)

E1 M2M 50 to 200 km 1.00
E2 M2M 200 to 500km 1.00
E3 M2M >500 km 1.00
P1 M2F & M2WL <200 1.00
P2 M2F & M2WL 200-500 1.00
P3 M2F & M2WL >500 1.00
 29

Pulse 60 sec

SMS (P to P Only)
Local SMS 0.25
National SMS 0.25
International SMS 5.00

ISD
USA, Canada, Europe (F), Singapore & Hong Kong 6.40/ min
Other Countries (Except ROW-II) 9.19/ min
ROW-II 49.20/ min
 30

Tariff matrix TMCODE:

Happy Hour Plan
Bill Plan Happy Hour Plan
Telephony 99
MMF 76
CLI charges 0
VAS Fee 0
Total 175
Outgoing
Intra Circle (Distance Taken From Routing POI
CUG 0.10
M2M Idea - 10 AM to 6 PM 0.10
M2M Idea - 6 PM to 10 AM 0.25
M2M Competitor 0.50
M2M - UPEAST 0.50
M2M - Reliance & Tata 0.50
M2F & M2WL 0-50Km 1.00
M2F&M2WL above 50- 200 Km Non-POPs 1.00
M2F&M2WL above 200 Km Non-POPs 1.00

Inter Circle (Distance Taken From Agra Level one TAX)

M2M 50 to 200 km 2.65
M2M 200 to 500km 2.65
M2M >500 km 2.65
M2F & M2WL <200 2.65
M2F & M2WL 200-500 2.65
M2F & M2WL >500 2.65

Pulse 60 sec

SMS (P to P Only)
Local SMS 1.00
National SMS 2.00
International SMS 5.00

ISD
USA, Canada, Europe (F), Singapore & Hong Kong 6.4/ min
Other Countries (Except ROW-II) 9.19/ min
ROW-II 49.20/ min
 31

"Attracting and nurturing talent has become the single most

dominant force in business."

Idea cellular recognizes human resources as a backbone for its long-term success. We aim to be
the best employer, attracting and retaining the best employees. Our people are our greatest
resource as they are our biggest differentiator. We therefore hire the best professionals brimming
with ideas and develop them for future leadership positions.

Idea is all about participation and involvement - seek opportunities, give opinions and always
speak your mind. And finally make a difference within the company. We have focussed on
conserving the best aspects of our unique culture and on perpetuating what attracts people to
join, and remain, at Idea.

Idea invites you to join a journey of excellence.

 32

CELLULAR MARKET IN TERMS OF CUSTOMERS AND

SERVICE DELIVERY

Customers

Where are they.everywhere!

Who are they..everyone!

When will they come...any minute!

Who is a Customer

Some one who buys regularly.

In USA and UK, a customer is GOD

.
In Japan, the customer is the KING.

And in India the customer is the BOSS!

Why a Boss?

Because a boss can fire you when he is unhappy with you or your work.

The Modern Customer

He is innovative in nature and will always go for the best.

 33

He is fussy, choosy, ambitious, proud, sophisticated and global in nature.

What is CARE?

Care means ---To have regard or liking for.

To look after.

Why is customer care important?

It costs 5 times more to acquire a new customer than to retain an

existing one.

One unhappy customer tells 10 other people.

64% of customers change suppliers because of poor service.

Out of 100 customers only 6 will complaint.

Building the relationship: Key concepts.

Each interaction, However Miniscule, can begin or build a long term Relationship.
The customer isnt always right, But the customer is always the customer!
The problem isn't the problem, But how you handle the problem.
Give customer A little something extra.
 34

Must Remember

If you will not take care of your customers

some one else will

Three dimension of Service

A attitudes.

S Skill.

K Knowledge.

ASK----attitudes skill and knowledge.

Customers are NOT

Just buyers.

Just numbers.

They are whole persons having individual differences.

Customers vary

In age.
 35

In income.

Education levels.

Taste.

Different Customer Types

The Business Like Customer.

The customer is no nonsense type. His mail objective is to spend only as much time with
an executive as is strictly necessary.

The Knowledgeable Customer.

This customer is technically very aware of what he is buying. He knows the right question to ask
and it is very difficult to evade the Issue raised by him.

The friendly customer.

A very common type. Loves to talk-about the weather, about the Indian hockey team, about
politics In short, about everything except business.

The egoistic customer.

The man who feels nothing can happen without him. And that he is solely responsible for
everything that goes right.
 36

The timid customer.

This type is probably the most difficult to handle. Because he does not take decisions. He is
usually insecure and needs a lot of reassurance. And that is precisely we need to give him.
Reassurance.

Other customer types.

Confused customer, frustrated customer

Handling difficult customers

Dont take it personally remember when a customer complains they are unhappy with the
product or your company not you.

Remember you are good at your job remind yourself of the skills you have and why you are
working there. Dont allow customers to make you feel inadequate.

Write down their complaint or concern show the customer you are listening by recording
their problem and if you are on the phone, tell the customer you are writing down all the details.

Ask a supervisor to join you and be part of the transaction if the customer is becoming
more difficult, invite a supervisor to join you and the customer will notice you are treating them
as important by seeking additional help.

Debrief the situation with someone else when the customer leaves

Sometimes you may need to talk to someone about your difficult customer to debrief and get rid
of any negative thoughts and emotions you may have this is a very important step.
 37

Learn stress management techniques this may help you stay calm if a customer raises their
voice or becomes emotional. By learning to breath deeply, focus on the positives and also ensure
your body doesnt carry stress you will be able To handle these difficult customers easily.

Recognize and accept you will work with customers who have bad days understand when
you are working with the public some people take their bad days out on you it is not personal.

Consider what you could do differently next time if the customer is complaining about a
company system or process, take some time to review this and determine if this might need to be
changed. Think about the way you handled the customer and note anything you would do
differently next time.

FIVE MUST OF GOOD CUSTOMER SERVICE

Have you ever seen one of the signs regarding customer services that many places of business
have hanging up? They say, "Rule Number 1: The customer is always right," and below that,
"Rule Number 2: Refer back to rule number 1."

Although that's a pointed oversimplification, the statement makes a valid point, and that is the
customer is the reason for the business, whatever that business might be. The customer is what
keeps the business fueled and running. Without the customer, there would be no business, and
keeping customer happy and coming back is of the utmost importance.

Though customer service truly can't be simplified into a one-rule overview and the truth is that
customers aren't always right, there are some universal rules governing good customer service.
 38

1. Listen: When dealing with a customer, the first rule is to listen to what they're saying
rather than anticipating what they want. Customers appreciate being heard, and if you
take the few moments to really, really listen to their request, complaint or statements,
you're increasing the odds that you'll be able to help them in an efficient, direct manner.
2. Acknowledge: People appreciate being acknowledged. Whether they're waiting on a
long, slow-moving line or being put on hold, customers are more apt to remain patient if
they feel like they're not being ignored. For customers at the back of a long line, often a
simple smile and statement of "I'll be with you soon" will increase their patience
manifold. For customers waiting on hold, it's a good idea to pick up the phone every now
and again, just to let them know they haven't been forgotten about and that you'll be with
them as soon as it's possible.
3. Be courteous and respectful: Even the most difficult customers often respond to
courtesy and respect, and maintaining that standard is professional and should be adhered
to at all costs.
4. Devote your full attention to the customer: There's nothing ruder than a cashier that's
chatting about her plans for the night with the cashier at the next register while she's
ringing up your purchases. In addition, paying attention to something else while assisting
a customer opens the door for mistakes, particular when at the register or when working
with money and figures. Personal business is for your own time.
5. Know when to ask for help: There are times when you just don't have the wherewithal
to help the customer, and there are difficult customers who just refuse to be reasonable.
Don't hesitate to find a supervisor or manager to help when you find yourself in a
position that you can't resolve on your own. That's what they're there for.

There are many other Do's and Don'ts in the world of customer service, but these
are a great starting point for providing service that will keep customers coming back to your
business.

TOP TEN TIPS OF OUTSTANDING CUSTOMERS

Remember the 80:20 rule? You may not get everything perfectly right, but getting most right will
be much, much better than the majority of your competition. These

Top Ten Tips for Customer Service will get you well on the way.

1. Be Your Customer
 39

Live the life of your customer and experience what they do. Stand in line, call your call-
centre, soak up feedback.

2. Give Memorable Service

Make the life's mission of everyone (yes, everyone!) to be customer focused even those
seemingly out of direct line of fire.

3. Have Product Available

Generally, you can't sell it if you haven't got it. Work your systems hard and focused to get
product there on time.

4. Listen Hard to Complaints

Complaints are a wonderful gift - it is feedback of the highest order. Enjoy them and learn
fast.

5. Enable Your People

Enable and encourage your people to give an immediate and generous customer response.

6. React Fast

Make sure that you and your people work with pace and immediacy with customer issues.

7. Be Systems Focused

Ask, 'What would my customer think of this - would it give brilliant service?' If not, reshape
the system fast.

8. Be Curious

Encourage everyone in your team to overhear, be nosy, ask questions and feed back
information from your customers.

9. Research the Marketplace

 40

Do more in your own business from what you experience as a customer elsewhere.
Encourage your people to do this too.

10. Have Fun

Have fun with your customers. It builds relationships. Relationships are business.

SDQ
IDEAS
Service Delivery &Quality-
An Overview

What is Customer Care?

Cellular business requires :

Customer Interaction as transactions between Customer & Organization.

It presents an opportunity to practice Customer Relationship Management.
Holds responsibility to efficiently service the customers at each point.

GOAL

Holds responsibility to Convert all Customer Interaction Moments into Moment of

Delight for our customers by providing excellent services and creating a strong positive
Brand Image for Organization as an institution rendering unparalleled World Class Service.
 41

Service Delivery and Quality

Creating Competitive edge by achieving:

Customer Delight At Moments of Truth interactions.

Trained & motivated employees.
Well defined processes.
Strong systems.
Advance technologies at the Call Center, Front Desk & Back-end Operations.
 42

SERVICE DELIVERY AND QUALITY

Collections PnT
& Credit (Provisioning)

Retention Idea
Royale
Service
Delivery
and
Quality
Call
(SDQ) Customer External
Center
Care &
Internal
Customer
CRC
s
Field
Staff

Training & Document

Quality Center
 43

SDQ-Field Staff

25 Customer Care Officers at 8 DO locations.

Specialized in Front-desk, Retention & Back-end operations.
Customer A/c activation & Service Change Mgmt.
Channel Operations review & Training.
Customer retention & CRE support.
Customer walk-in & on-line channel query support.
Stock Maintenance.
Adjustments & Waivers.
High User Relationship Building.
 44

CALL CENTER

SDQ-Call Center

101 Call-center officers.

3 Supervisors & 1 Manager.
Four teams with individual leaders.
5 Lac Plus customers: More than 4 Lac calls per month.
High degree of Standardization.
Internal Customer Unit (ICU) for Internal Customers.
Information Updates.
24*7 operational help line for any kind of Assistance.
Not only a complaint resolution cell. We are looking at call center as a tool for building a
long-term relationship with the customer.
A differentiating factor which could help us give the competitive advantage.
 45

There are three skill sets:

Common (Prepaid, Land line calls, In roamers) No. 347

Postpaid No.12345
ICU (Club royal, channels) No.321

PRODUCT AND TECHNOLOGY (P N T)

SDQ-Product and Technology

8 Customer Care Officers.

Product Specialization: Pre-paid & Post-Paid.
System support: BSCS - Postpaid; INSS - Pre-paid.
Audits, bulk actions, Automation, DO-Backend support.
Special Activities requiring Expertise, Control & Cross-function Coordination.
Centralized activities, viz.. RUG, EPN, No. management, Market Move, Audits, DP5
uploading, etc.
 46

Retention, Revenue Enhancement & Communication (

RRC)

Retention

Retaining the customer who is about to leave the network.

They Can be of two types:

1. Voluntary.

2. Involuntary.

Activities undertaken to retain customers.

Churn Projection.
Take steps to reduce churn.
Schemes to reduce churn.
47
 48

Why Customers Leave?

1% die.

3% move away.

4% are natural floaters.

5% move on recommendation.

9% finds somewhere economical.

10% are chronic complainers.

14% are dissatisfied.

68% go somewhere else because the people who serve them are

indifferent to their needs; they just dont care.

9 out of 10 service specs are defined not by the customer but by the service provider.

Average company has to spend six times more to attract new sale than to get a sale
from an existing client.

Revenue Enhancement
 49

Bill message on every Bill cycle.

Upselling and cross selling by the out calling department.
Revenue enhancement through Value Added Services.

Communication

Information to customers through SMS and Mailer.

Communication To channels and Field for clarity.
15 days satisfaction call to the customer.

Complaint Resolution Cell (

CRC)

Back end operation.

Coordinates with other departments.
Fulfilling customer requests.
Resolving complaints in coordination with other departments.
Report generation from I - Care (an indigenously designed CRM software)
Based upon the type of the call for that particular number action is taken.

Types of Complaints

Post Paid

Activation/De-activation.
Service Changes.
Billing.
Delay/Wrong Payment postings.
Refunds.
 50

Adjustments.

Pre Paid

Validity Issues.
Recharge Issues.
Top-ups.
 51

Technical

Network Related.
Signals/Quality.
Auto roaming.

Others

VMS.
SMS.
Other Value Added Services.
 52

Sources of Complaints

Call Center/ICU.
Customers.
Channels.
Dos (District Offices).

Club Roy ale

SDQ-Idea Roy ale

One Customer Care officer.

Daily monitoring of Barring & Temporary Disconnection.
Regular analysis of Churn.
Management of Idea Care gift Scheme & its distribution.
Monthly evaluation of Customer base to review categorization.
Quality control of service delivery & Communication to Idea Care.
Cost-benefit analysis of loyalty Schemes.

CREDIT AND COLLECTIONS

Credit

Customer Profiling.
Customer categorization.
Limit enhancement and Down gradation.
Deposit Restructuring.
Deposit refund.
Exposure Management.
 53

Refund balance Closure.

Configuration Testing of new Products.
Pre Bill Testing.
Market Move adjustments.
BSCS v/s Switch reconciliation.
IN v/s Switch reconciliation.
 54

Our Idea of Customer

Technology Support to SDQ

Some areas where Technology has benefited

Call Center - IVR, CTI, CRM.

PnT - IN, Billing, DP5, ICFS, Pre Paid Upload Utilities & Mediation front-ends.
CRC - Database support, Bulk SMS.
RRC - Huge System capabilities, Billing Reports.
Document Center - Barring/Unbarring utility, Hyperlinks, Pre Paid Upload Utilities.
 55

WAY TO DELIGHT CUSTOMERS

 56

4 R Mantra for Successful Customer Care

Record.

Resolve.

Rever.

Relationship.

and no end to servicing

57
 58

COMPETITIOR ANALYSIS

1. Range of network: Airtel, Idea and BSNL service providers have been into this cellular
industry from a very long time and have developed a complete and vast network in Delhi and
around the remote areas. All the operators have vast no. of towers to cover in Moradabad,
Amroha, Gajrola, Rampur, Chandausi, Sambhal.
While BSNL has less number of towers as compared to Idea with a radius of 10- 12 km and not
being able to provide proper service in other remote areas.

2. Number of subscribers: All the Players Idea, Airtel, and BSNL have a cutthroat competition in
U.P(w). Trying to add more customers to its service with IDEA has maximum subscribers base
in U.P(W) in which 40% is of CHIT CHAT cards.
While Airtel, as compared to Airtel has only less number of subscribers and 35% of them are
cash card subscribers.
Whereas, Hutch has lowest no. of conections.

Value Added Services (VAS): Let me first take up the common value added services, which all
the player offers:

Call Line Identification: Presentation (CLIP): Clip gives you the power to know the phone
number of the calling party even before you answer the call. This gives you the flexibility to
either reject the call or answer the call. Also, the name of the calling party will flash on the
handset screen if the same is available in the Handset Phone Book.

Call Waiting: This feature helps the second sender to wait for the call if the receiver is busy
with the first call.

Call Hold: This feature helps the receiver to put on hold the first call to enable him to listen
to second call.

Call Divert forward the call to: This feature helps the sender to receive his calls on other
number even landline if his mobile is busy.
 59

Call Roaming: The user can roam anywhere in the country where the roaming facility is
available.

Easy Mail: Easy Mail for IDEA is the most advanced voice mail service. It keeps you in
touch with your callers even when you are busy or outside the coverage area of IDEA or
your cellular phone is switched off. Your calls are diverted to your Easy Mail box. You can
retrieve the messages left for you, at your convenience.

Call Conference: Idea Call Conference service enables you to carry out a Tele- conference
with 6 different people simultaneously. Infact you can set up a conference, even if the other
five are using the PSTN land- line.

Cell Surf: The easy way to access the Internet. You can now get the latest information, direct
on your handset from the web.

Remised billing: Keep track of your calls through a detailed account at the end of each
month.

Whether one is on prepaid or postpaid, one can enjoy a wide range of affordable value added
services. From getting flight updates to mobile banking to sending voice messages and more, one
can access all that he wants, right from the gsm phone. (Hutch airtel and idea)
(Gsm network)one also enjoys a host of benefits including free incoming calls from anywhere in
the network. All the more useful because the Hutchison network covers places that one is most
likely to get his calls from, more frequently. Including all the four metros.
 60

MARKET SEGMENTATION CAPTURED BY EACH PLAYER :`

STATE OPERATOR MAY'07 JUNE'07 JULY'07

U.P(W
Idea Mobile 1609504 1663414 1752840
Comm.
Bharti Airtel 1054042 1139342 1219294
BSNL 1394226 1418663 1542414
Vodafone Essar 1774251 1865574 1970110

2500000

2000000

1500000 Series1
Series2
1000000 Series3

500000

0
Ideal Bharti BSNL Vodafone
Mobile Airtel Essar
Comm
 61

Growth path of only GSM Services provider

Operators Dec'01 Dec '02 Dec '03 March '04 April '05 Mar '06
- - - - - -
Bharti
484850 834269 1331003 1366113 1390201 1405334
Cellular
Hutchison
343241 580328 1026077 1202345 1217407 1223510
Essar
BSNL 45408 129809 156501 170089 174423 182053

IDEA NIL 128306 420828 501693 508254 514271

- 873499 1672712 2934409 3240240 3290285 3325168

Market Share of Cellular Players in India :~

Group Company Wise Cumulative
S. No. Name of Company Total Sub Figures % Market Share
1 Bharti 6504314 24.89%
2 BSNL 5229145 20.01%
3 Hutch 5148048 19.70%
4 IDEA 2732689 10.46%
5 BPL 1882754 7.21%
6 Spice 1208890 4.63%
7 Escotel 989084 3.79%
8 Aircel 1026377 3.93%
9 Reliance 790529 3.03%
10 MTNL 360550 1.38%
11 Hexacom 257053 0.98%
All India 26129433 100.00%
 62

GSM operators in India added a record 5.39m subscribers in June compared to 5.04m subscribers
in May, 4.13m in April, 5.9m in March, 4.64m in February and 4.76m in January 2007 (all
numbers are excluding RCOM GSM for comparison).

The total GSM subscriber base in India now stands at 135.5m (4.1% MoM growth). June 2007
was one of the strongest months for GSM operators, with second highest monthly net additions
ever recorded. Assuming same net adds run rate as last month for CDMA operators, we should
see total monthly net adds of 7.2m, a record in Indian wireless history, in line with our theory of
accelerating subs addition.

Bharti Airtel continued its impressive run with record net adds of 1.96m subs in June 2007,
compared to 1.85m in the previous month. Bhartis total subscriber base now stands at 42.7m
subscribers (up 4.8% MoM and 85.1% YoY). We have modelled in 1.92m subscribers per month
for the remaining nine months of FY08E in our earnings model. A stronger performance by
Bharti would provide further upside to our estimates.

Idea Cellular saw a good month, with net adds of 0.86m in June 2007. Improved performance in
Delhi, Rajasthan and UP (West) circles led to strong overall subscriber growth for Idea. Ideas
subscriber base now stands at 16.1m (up 5.6% MoM and 88.9% YoY).

Vodafone Essar (erstwhile Hutchison Essar) (Not listed) also reported record numbers, with
monthly net additions of 1.54m in June 2007. Vodafones subscriber base currently stands at
30.8m (up 5.3% MoM and 75.3% YoY).

BSNL (Not listed) again saw a poor month with monthly net adds of 0.42m, taking its subscriber
base to 28.4m (up 1.5% MoM and 55.4% YoY). Severe capacity constraints continued to choke
the growth of BSNL and we think this will continue until its new capacity comes onstream.
 63

IDEAS PERFORMANCE IN TELECOM INDUSTRY:-

Idea Cellular Limited has delivered a robust performance during the year. The Company
has over 14 million subscribers as on March 31, 2007. Total subscribe base increased by 90%
over the corresponding period last year. The All India market share has improved from 7.7% to
8.6% between March 31, 2006 and March 31,2007. The companys gross revenues have risen
significantly by 47% to Rs. 4366.4 Crores from Rs. 2965.5 Crores in the previous year. The
Companys net profit soared to Rs. 503.3 Crores, from Rs. 211.8 Crores, an increase of 138%.

The company rolled out operations in three new circles viz. Himachal Pradesh, Rajasthan
and U.P (E), thus expanding its network across 11 circles. The initial launch expenses in these
circles created some pressure on margins. The operating margins of the Company declined to
34% vis--vis 37% in FY 06.

The Company has successfully completed its Initial Public Offering and raised Rs. 2819
Crores.

The Company is focusing on building, strengthening and expanding network and related
services

In the new circles and as planned roll out of services in Mumbai and Bihar circles. National Long
Distance roll out is being worked on.
 64

Idea A growth story

Idea strengthened its balance sheet by raising Rs. 2819 Cr

through IPO & Pre-IPOPlacement.

Nuvos stake in Idea came down to 31.78% after IPO.

Aggressive Capex planned for both capacity and coverage.

Roll out of services in Mumbai & Bihar expected by January08.

Licenses for remaining circles being pursued.

 65

Problems faced by the customers and their Redressal

The most widely faced problem by the customer is of poor network.

Redressal: In some areas the ideas network is not up to the mark and in order to overcome this
the company is now providing a Patch Panel Antenna which when attached to the Fixed Wireless
Terminal strengthens the weak signals, whenever any customers complained to us about weak
signals it was duly noted down and forwarded to higher authorities so that the customer could
attain a Patch Panel Antenna and his problem gets rectified.

Problem of unclear sound and echo effect.

Redressal: Due to some weather problems and exchange faults these problems arises and on the
other side these problems were passed on to the technical staff.

Customers also face problems in connecting the ISD calls.

Redressal: This problem has been conveyed to the technical department and will be taken care
of for its rectification.
 66

Many idea connection owners face a problem of bill jumping.

Redressal: This problem arises due to wrong plan opted by customer, so customers are told
plains which are suitable to them according to their usage and their request is forwarded through
customer care.

Problem of communication gap.

Redessal: This problem arises when customer does not get proper response about the queries
and complaints through customer care or channel ends.
 67

SWOT ANALYSIS

Strength

The Brand Name IDEA (Aditya Birla Group).

A 24 hours dedicated customer care services.

Oldest channel network in U.P (w) area.

Oldest operator in U.P (w) as far as GSM is conserned.

Loyal Customer Base identified as Roy ale customers.

Idea Cellular company is the first company to launch Music Messaging with
Cellular Jockey, Back Ground Tones, Group Talks, a Voice Portal with say IDEA
and complete suite of Mobile E-mail services.
 68

WEAKNESS

Network problem, mostly in congested areas.

CUG is not free while other CDMA operators are this

facility to their customers.

New roll out is very slow as per as network is

concerned.

Sales process is Good but lengthy to go.

GSM operators use copper while reliance uses fiber for

network connectivity. So reliance has a advantage over

GSM operators because their network is never busy.

 69

OPPUTUNITIES

IDEA Cellular considers rural market as an opportunity for

them. They are providing bundle offers i.e. sim cards with

handsets to cover large market share.

Slums and camp areas where wire lines cannot reach.

To increase their Prepaid customer base.

 70

THREATS

All GSM operators considers THIRD Generation Mobiles as a threat for them
because in next few years customers can make calls from whichever network they
want i.e. they can dial the code of that network and make a call to enjoy economy
calling.

GSM operators need to revise their Revenue Enhancement Process when third
generation mobiles will be launched. Huge capital investment will be required.

Authority of Negotiation, competitors have but Idea does not have.

Aggressive marketing strategies, competitors have over us.

Competitors have lucrative plans and policies.

 71

Recommendations and suggestions

Idea cellular should update its network more aggressively, to reduce Conjunction in
network and call drop.

Idea cellular should launch competitive offers more aggressively on regular intervals to
make customer feel delighted.

Idea cellular customer care should take proper feedback from customers and their
suggestions should be implemented and feedback is provided to them which can be in
terms of rewards like free airtime.

Idea cellular should work up on payment posting so that it can be flashed with in half an
hour on customers mobile after payment so that they can be updated.

Idea cellular should try and make their process as short and simple as possible specially
in case of barring.

Idea cellular must make a provision to make additional services automated so that
services could be available at earliest.

Idea cellular should cut down the time period of activation. It is hampering on their sales
and their image in the market.

A major complaint by the customer was that grievance handling takes a lot of time.
According to me, complaint handling should be faster to gain an edge over the
 72

competitors to the customer care department needs to be strengthened so the customer

can directly contact the company.

The customer should be updated with all the latest schemes, offers and tariff plans of the
company, as this is a constant cause of complaint.

This can be done with the help of mailer along with the call statement which should be send and
by enabling auto caller system which call the number from the database by themselves and play
the recorded message. This will go a long way in putting up a smile on the customers face and
they will feel associated with idea cellular.

Idea cellular should provide authority of negotiations to its employees. So that they can
negotiate with corporate customers and fulfill their requirements and retain them for long.
73
 74

Conclusion

After completion of this project at idea cellular I came to certain conclusions about the growth
and future prospects of idea cellular. Their was a rapid growth, If we talk about the total base of
idea prepaid as well as postpaid connections.

This proves that it is readily accepted among the customers. As India will continue to be the
fastest growing country in the Asia-Pacific region next to China, with cellular services expected
to contribute approx 26 billion by 2011. So Idea Cellular has a very bright future in GSM
industry and it can capture maximum market share by exploiting rural market.

According to my point of view, telecom industry is likely to register 18.4 per cent growth per
annum during the 2007-2011 and around 58 per cent of the rural population and 95 per cent of
the urban population would get mobile connections.

The cellular market penetration will also get triple. The overall penetration would be driven
mainly by an increased focus on rural market, huge promotions by Idea cellular and handset
bundling schemes can help them in building strong and healthy relations with its customers. This
can only happen when Idea Cellular will try and further keep their employees motivated. If they
will be satisfied then they will build good customer relations.

The next step, which idea cellular should concentrate on maintaining its Existing customer base.
For this they need to take quick actions for the redressal of customers grievances. Idea should
maintain good customer relations by taking regular feedbacks from them.

These steps would ensure definite success and would help idea cellular to sustain as a leader
in GSM market.
75
 76

Bibliography

www.ideacellular.com

www.telcomindustry.com

www.bhartiinfotel.com.com

www.ideamobile.com

www.adityabirlagroup.com

Google search engine

Interacting with local business associates.

Direct interactions with customers.

 77

Questionnaire
(To be filled by Idea Customers)

This questionnaire is solely for academic purpose.

Kindly indicate your choice by placing a tick on the appropriate option.

Strongly Disagree Cant Say Agree Strongly

Disagree Agree

Q1. Idea gives you prompt services.

Q2. Employees at Idea are always willing to help
you.

Q3. Your queries and complaints are handled

immediately by the Customer Care
Department..

Q4. Idea provides its services at the time it

promises to do so.

Q5. Idea keeps its customers informed about all its

services and how they will be delivered.

Q6. When you have a problem, the company

shows a sincere interest in solving it.

Q7. Idea gives you individual attention.

Q8. The employees at Idea understand your
individual needs and offer flexibility in their
services as per your requirements.

Q9. The Web-Site of Idea is interactive and user-

friendly.

Q10. Idea uses the latest technology in its services.