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interviewed, I have learnt immensely while it is not possible to name them individually. I would like to express a deep sense of gratitude toward them.
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PREFACE
This project was undertaken in Bharti Cellular limited, New Delhi, which provides business community and private users a reliable, secured easily available and cost effective GSM cellular phone service. It began its operation in 1995 and has now two lakh fifty thousand subscribers in Delhi itself, which makes it the leading service provider in Delhi and NCR. The company provides the service through its corporate team and the various channel partners consisting of franchisees, distribution dealers preferred and exclusive dealers. The corporate team mainly deals with key and corporate accounts of ministers, business heads, VIPs etc. The company required to know about the effectiveness of its second tier channel consisting of dealers and the problems faced by them, time taken by them of rapping on the activation form to the franchisees so that it can be ensured that they provide the services of AirTel of the customers within the reasonable time and that too error free. This project is therefore aimed at RECOMMENDING STRATEGY to ensure the following three parameters at the second tier channel (1) All requests for services come to AirTel; (2) Requests received are activated on time; and (3) Errors free activation. For this purpose various dealers who were dealing in both the services of AirTel and Essar were approached through a proper research design for the careful understanding of the problems faced by them while dealing with AirTel and their level of satisfaction. SURVEY technique was used
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to carry out the project in an exhaustive and exploratory way. The company deliberately gave the samples after proper consideration. The main data collection instrument used in the survey was QUESTIONNAIRE consisting of open ended and closed-ended questions. After all the information collected was properly analyzed and the conclusion was arrived. CONCLUSION: The conclusion of the report is that sixty-percent dealers have major proportion of business of AirTel, which is quiet low on account of low dealer reconditions as well as inadequate promotional policy.
TABLE OF CONTENTS
CHAPTER 1: INTRODUCTION 1.1 OVERVIEW OF THE INDUSTRY 1.2 PROFILE OF THE ORGANISATION 1.3 PROBLEMS OF THE ORGANIZATION 1.4 COMPETITION INFORMATION 1.5 S.W.O.T. ANALYSIS OF THE ORGANIZATION CHAPTER 2: OBJECTIVE & METHODOLOGY 2.1 SIGNIFICANCE OF THE STUDY 2.2 MANAGERIAL USEFULNESS OF THE STUDY 2.3 OBJECTIVES OF THE STUDY 2.4 SCOPE OF THE STUDY 2.5 METHODOLOGY CHAPTER 3: CONCEPTUAL DISCUSSION CHAPTER 4: DATA ANALYSIS CHAPTER 5: FINDINGS & RECOMMENDATIONS STRATEGY RECOMMENDED BIBLIOGRAPHY ANNEXURE QUESTIONNAIRE 1-32 1 4 29 29 31 33-36 33 33 33 34 34 37-43 44-66 67-71 72 73 74
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Chapter 1 INTRODUCTION
1.1 OVERVIEW OF THE INDUSTRY
Indian Telecommunication Industries: Telecommunication in the next millennium is poised for the greatest leap and technology has ever taken in such a short time and involving so much of the mankind. The new telecommunication technologies that have come in have taken the human resources to be used in a manner no technology has ever used and can possibly hope to use telecommunication in India has also kept pace with this development and especially in this decade ensured that this technology will be made available to the Indians for improving the quality of their life. The greatest benefits that this technology has offered are the great heights to which the human intelligence has allowed to rise. Telecommunication technology had allowed creativity of human mind to reach high scales and herein lays the triumph of this technology. While other technologies have provided relief to the human in their mechanical capabilities, telecommunication has ensured the greatest asset of human being his mind is able with maximum efficiency. The telecommunication market in India is poised for a double digit growth over the next few years. In 1995 expenditures for telecommunication products and services exceed $6.5 billion. The annual growth rate in the telecommunication equipment industry is expected to grow at an average rate of 30% over the next few years. The main reason for this growth is the pet up demand following the opening up of the telecom industry to the private sector. Telecommunication networks are becoming extremely important for the working of any business and the reliability requirements have to be very high to satisfy the requirements of the new applications. The special needs of the telecommunication links have arisen mostly on account of the enormous increase in the online activities. The development of cellular networks has made the reliability of the telecommunication links a very important necessity not only for the common man but
for the functioning of a business also. It is key to the rapid economic development of the country. It is critical not only for the development of the information technology industry but also has widespread ramifications on the entire economy of the country. Todays rapidly changing business environment is creating intense competition among corporations. Markets are changing faster now than in any other time in history. Product life cycles are shortening and businesses must compete globally. Employees are required to spend more time with their external and internal customers in order to increase the competitiveness of their organizations. As a result, employees are often away from their phones. Employees spend over 20% of the workday away from their desks and this number is likely to grow. Telecommunications market is expected to grow from 40 billion dollars in 1993 to 200 billion by the year 2000. Todays market condition therefore requires that managers evaluate cellular technology as an alternative to traditional telecommunication services to make their corporations more competitive. Whether the employees are field engineers accessing databases ordering products or sales staff responding to customer inquires deploying cellular technology will increase an organizations making it more competitive. Cellular Services in India: Ever since the cellular mobile telephone industry was opened to the private sector in 1994. The industries have gone from initial euphoria to subsequent despair and then hope in the wake of the move to revenue sharing. A few entrants have done reasonably well and the industry shows every sign of moving towards an era of profits. At the same time more is now known about the unique behavior of Indian telephony consumers. Today India has 20 private companies providing cellular services in 18 telecom circles and 4 metro cities. Licenses for the telecom circles were granted on the basis of competitive bidding, wherein 2 licenses were to be issued for each circle. Ever since their in introduction, cellular service has shown a fair growth with the subscriber base crossing the one million mark by the first quarter of 1999. India has adapted the Global System of Mobile Communication (GSM) for provision of cellular service. The cellular services in India operate in the frequency band 890902.5 Khz/935-947.5 MHz. In metro cities, each operator has been allocated a 2
frequency spectrum of 6.2+6.2 MHz ( except in Chennai where 5.5+5.8 MHz spectrum has been allocated) while for other telecom circles a spectrum of 4.4+4.4 MHz has been allocated. List of cellular operators in India along with their subscriber base Circle Andhra Pradesh Operator Tata cellular Bharti Mobile Assam Bihar Gujrat Reliance Reliance Fascl Birla AT & T Haryana Escotel B.S.N.L. Vodafone Himachal Pradesh Bharti Telenet Reliance Karnataka Bharti Mobile Modicom Kerala Escotel BPL Cellular Madhya Pradesh RPG Cellcom Reliance Maharashtra BPL Cellular Birla AT & T North East Orissa Punjab Reliance Reliance Modi com 3 No. Of subscribers 68,471 56,842 7,246 33,352 1,21,665 49,329 17,068 13,050 14,533 5,023 529 52,493 83,616 59,388 55,453 12,112 27,848 65,473 53,098 802 9,598 99,728
Uttar Pradesh (east) Uttar Pradesh (east) Uttar Pradesh (west) Uttar pradesh West Bengal Metro Circles Calcutta
42,673 24,561 25,174 33,394 2,43,983 1,52,128 1,15,340 1,06,500 1,76,906 1,48,580 22,87,109
Chennai
Delhi
Mumbai
TOTAL
Growth of Cellular Subscribers in India: The first few months of years 2007 have been good for cellular in India. The shift by the government from license fee to revenue sharing regime has allowed operators to spend more on market development. in addition, falling handset prices- due to lower import duties- have helped. Here is the growth of cellular subscribers since 2007.
Bharti Telecom: Bharti Telecom, the flagship company of Bharti Enterprise has continuously introduced world-class telecom products and services in the country. be it in equity partnerships or relationships that being world technologies to Bhartis Operations. It has many firsts to its credit. Form the introduction of push button telephones to answering machines, form cordless telephones to cellular services. Bharti Telecom has been breaking new grounds. With a host of winning brands like AirTel and Beetel, Bharti Telecom has emerged as Indias finest telecom company. Incorporated in 1985, Bharti Telecom is one of the largest telecommunication companies is the country, Having being awarded The Golden Peacock National Quality Award 1997 and ISO 9002 accreditation for its commitment to quality and value in products and services, Bharti Telecom is poised to play a significant role in the next millennium. The flagship Company takes care in training its people and increasing their productivity. Infused with the spirit of enterprise and a drive to succeed our people are trained in a professional environment in line with world standards. With a high level of commitment to quality and attitude of making a positive difference, the Bharti team explores newer horizons and innovative possibilities every day. Bharti Telecom (Services): Bharti Televentures is the holding company for Bharti Cellular, the cellular service providers for Delhi under the brand name AirTel and Bharti Telenet, the basic service provider in Madhya Pradesh and cellular service provider in Himachal Pradesh. Bharti owns 64 per cent of Bharti Televentures, Telecom Italia owns 16 per cent while Warburg Pincus owns 20 per cent. Bharti Cellular Ltd.: Bharti Cellular Ltd. Launched cellular services in Delhi under the brand name AirTel on November 14, 1995. In its single-minded pursuits of delivering value to the subscribers, AirTel has consistently introduced concepts that have revolutionized cellular services in Delhi and across India. AirTel has at present over two lakh twenty thousand subscribers. In its three years of pursuits of greater customer satisfaction. AirTel has redefined the business through marketing innovations, continuous technological upgradation of the network, introduction of new generation value added service and the highest standards of
customer care AirTel has consistently set the benchmarks for the Indian cellular industry to follow. First to launch cellular service in Delhi on November, 1995: First operator to revolutionize the concept of retailing with the inauguration of AirTel connect in 1995. Today AirTel has 26 Customer Care Touch Points and over 300 dealers in Delhi and NCR towns. First to expand its network with the installation of second mobile switching center in April, 1997 and the first in Delhi to introduce the intelligent Network Platform. First to provide roaming to its subscribers by forming an association called World* Network. AirTels pre-paid card Magic has consistently held a dominant position in the market and has played a major role in popularizing cellular services. Consecutively for four years 1997-1998, 1999 and 2000 AirTel had been votes as the Best Cellular Service in the country and won the coveted Techies award. Today AirTel is poised to take a leadership position in the next millennia. Bharti Telenet Ltd.: Bharti Telnet, a partnership between Bharti and Telecom Italia is the cellular service provider for the himachal Pradesh circle and the provider of he first private basic telephone service in the state of Madhya Pradesh. Madhya Pradesh- Fixed Service: Bharti Telenet created history on June 4, 1998 at Indore with the launch of AirTel Telephone Services, Indias first private telephone service. AirTel service was launched by making the inaugural call to the Prime Minister, Shri Atal Behari Vajpayee. With the launch of services at Bhopal, AirTel pioneered long distance telephony in the private sector. On this occasion, AirTel commissioned 197-km long transmission network connecting Indore and Bhopal. The launch of AirTel service of at Gwalior marked the commissioning of 900-km long trasmission network connecting Indore-Bhopal-Gwaliior. Bharti Telenet created history again by completing the network roll out in Madhya Pradesh, the largest state of India in record time. The launch of AirTel services at
Raipur and Jabalpur on August 12,1999 witnessed the completion of network roll out and with this Madhya Pradesh become Indias first state connected by a world-class private telephone network. On this occasion, AirTel commissioned 2600-km long world-class optic fibre transmission network. The launch at Raipur and Jablpur also marked the launch of Mantra Online, Indias first world class Internet service from a private telephone service. In a short span, AirTel has connected over 1,00,000 subscribers with its world-class network. It makes AirTel, the largest private telephone service in the country. Today, AirTel service is available in 14 cities and towns of Madhya Pradesh including Indore, Dewas, Pithampur, Bhopal, Mandideep, Gwalior, Malanpur, Raipur, Jabalpur, Ujjain, Durg, Bhilai, Rau and Shivpuri. Himachal Pradesh- Cellular Services: Bharti in association with Telecom Italia was the first cellular operator to commence operations in a non-metro circle with the launch of its service in the picturesque and hilly state of Himachal Pradesh on February 1997 under the brand name AirTel. Today it commands 85% of the market share. Today, AirTel has the widest coverage area in Himachal Pradesh and provides the state with a high degree of connectivity with the world. AirTel Mega Millennium network spans the entire stretch between Baddi and Kufri. The service area includes snow clad peaks of kasauli, the famous resort of kufri, Barog, Solan, the queen of hills Shimla, the tourist favourite Chail, the serene Maldera, and th4e industrial bell its coverage to include the scenic valley of kullu town Manali. In kullu region, AirTels network covers Bhuntar, kullu town, katrain, Patli kul, Nagar, Kullu-Manali Highway and the surrounding areas. With these expansions, the true leaders of Himachal Pradesh now enjoy seamless cellular telephone over barge parts of Himachal Pradesh. Tourists to Himachal Pardesh also experience the power to keep in touch as AirTels world-class network now covers most of the major places of tourist attraction. Bharti Telespatial: Bharti Telespatial is the holding company fro Bharti-British Telecom Internet Services under the brand name Mantra Online and the Bharti-British Telecom V-SAT services.
Bharti-BT Internet Limited: Bharti Telecom in association with British Telecom launched Internet services under the brand name Mantra Online simultaneously in Delhi, Mumbai and Bangalore on May 26, 1999. Mantra Online, Indias first multinational ISP, has emerged as the fastest growing ISP in the country Mantra Online, offers to its valued subscribers a host of value added services which range form intranet and entrant solutions and security service to messaging and e-mail solutions. The users also get and additional benefits, which include web contents, free e-mail accounts and space, fast and single number, log in and round the clock customer care. Mantra Online, is also taking the lead in being a content provider by focusing on vertical portals that address individual nees teenfunda.com targeted at the Indian teenagers is one such popular portal catering to a particular segment. It is in these segments that Mantra sees growth for the future. With a wide range of neverbefore services and tariff packages for individuals and corporate, Mantra Online, makes the freedom of the Internet easy and truly enjoyable. Bharti BT VSAT: Bharti-BT combines the expertise and experience of two telecom giants, Bharti Enterprises and British Telecom to deliver effective telecommunication solution to its customers. Identifying the core relevance of satellite communications, the JV is expanding the VSAT market through a product innovation and service and DAMA/PAMA services. The flexibility to integrate these services also enables the company to provide hybrid VSAT services to meet the diverse requirement of customers Today it is Indias fastest growing V-SAT companies and is all set to globalize the Indian industry through its services. Bharti Global Telecom Seychelles: Telecom Seychelles a Bharti Blobal company under the brand name AirTel launched cellular service in Seychelles on December 12,1998. Telecom (Seychelles) Ltd. has the license to provide comprehensive array of telecom services including basic telephone services, cellular GSM services, long distance services, international telecom services, radio paging, satelllite serces, marine communications and value added services. The telecom project in Seychelles involves a total investment of $15 million, of which $15 million would be invested in the first phase. In the first phase, the company will provide basic, cellular and international services.
AirTel became the second operator in Seychelles telecom sector. Until AirTel entry the only player in the monopolistic scenario was Cable & wire of the UK which has been providing telecom service in Seychelles from last 100 years AirTel with in a short span of two months had redefined the cellular market in by expanding the market by over 100% and grabbing 60% of the market share. Bhartis partners in the project are Jiwanjee Currimjee of Mauritius, Mr. Raza Bilgrami, NRI and local Seychelles. Jiwanjee Currimjee & Co. Ltd, is a leading provider of state-of-the-art information technology systems and services to corporations in Mauritius and the Indian Ocean regions. Since the formation of its information technology division in 1998, the company has consistently been working closely with a large number of major corporations both in private and public sectors for reliable information systems solutions. Bharti Telecom (Manufacturing & Marketing) Bharti Teletech: Bharti Teletech in the countrys largest manufacturer of state-ofthe-art BEETEL. Brand of electronic push button telephones has continuously introduced world-class telecom products and service in the country. Bharti telecom the largest supplier of telephone handsets of DoT is also the first Indian company of export state-of-the-art push button telephones to Sprint Corporation and Conair Corporation in USA, & Nepal Telecom Corporation Bharti Teletech in the leading manufacturer of electronic push button phones in India. Its state-of-the-art R & d division-Center For Excellence at Gurgaon uses the superior Surface Mounting Technology (SMT) for the production of electronic units. SMT production of PCB assemblies results in error free and consistently reliable products providing higher degree of compactness and sleekness. The center is equipped with CAD/CAM facilities and employs a team of highly talented and skilled engineers to meet worldclass standards. Bharti Teletech has been exporting its product to Sprint and Coiner, USA, thus positioning India as a strong souring base for global telecom requirements. Goa Telecom: G-Tel currently manufactures three channel and eight channels open wire carrier systems. 10 CH, 30 CH digital UHF Radio systems to provide communication to villages. The company has now entered technical collaboration 10
with ITATEL of Italy and ECI Telecom of Israel to manufacture Optic Fiber Terminating Equipment and Multiplexes. G-Tel plans to make substantial investments on plant and equipment to manufacture the transmission equipment and digital microwave radio systems. Siemens Telecom Ltd.: A joint venture between global giants Siemens AG and Bharti Telecom. The alliance has brought to the Indian market the unmatched technology of Siemens and the manufacturing strength of Bharti Telecom. Siemens telecom markets its products under the brand names Siemens and Beetel. The Beetel range of phones include basic corded phones, cordless phones, world class Sleek, Twinset, Pearl range, Emerald range and the New Millennium series to name a few. The New Millennium series has been launched as an effort to cater to the everchanging need of the Indian consumers who are looking for superior products. The millennium series in a superior product offering incorporating the SMT technology and has been designed in collaboration with a leading designer house in U.K. Bharti-Duraline: A joint venture between Bharti Telecom and Duraline Corporation, USA to manufacture and market permanently Lubricated Silicore HDPE ducts. Bharti-Duraline is Indias only manufacturer of state-of-the-art permanently solid lubricated silicore HDPE ducts that are used to install and protect optic fibre cables and co-axial cables. Silicore lined HDPE ducts once placed underground permit installation of optic fiber cables inside the duct whenever required. Due to this Telecom service providers have the flexibility to upgrade their networks as minimal costs as multiple ducts can be placed in a single digging operation and optic fiber cable can be later installed as per the need. Right-Of-Way owners like Expressway Authorities, Railways,Oil & Gas pipeline owners can increase the value of their right-of-way by placing these ducts alongside and later leasing them out to Telecom companies, cable operators and ISPs. Bharti-Duraline, has recently decided to double its manufacturing capacity expansion has been necessitated by the growing demand for these ducts from telecommunications companies and a variety of Right-of-Way owners for setting up high capacity optic fiber communications networks. The expansion will raise the
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capacity of Bharti-Duralines plant in Goa to 15,000-kms of silicore lined HDPE ducts from the present 7,500-kms per year. Duraline, USA is recognized as the world leader in manufacturing and selling permanently solid lubricated silicare HDPE ducts. It sells more than 2,00,000-kms of Silicone HDPE ducts every year to 1500 customers from 11 plants worldwide. Its major customer includes AT&T, Lucent technologies, GTE, Sprint, MCI, Pactel, Ericcsson, British Telecom, Siemens etc. Bharti Finance: It was incorporated with the purpose of removing this impediment to the purchase of Bhartis products. It will provide leasing and finance services to promote the sales of telecom products and services offered by the companies under Bharti Enterprises. It also handles Bhartis investments in the primary and secondary markets and has plans to set up an investment banking division.
Bharti Enterprise
Bharti Healthcare: It was set up to manufacture a vital component of medicines-hard gelatin capsules. The company has a strong technology back up, with a number of strategic alliances. The technical know-how and the plant equipment have been sourced from the US Company Evergreen packaging 171 Equipment the world
Bharti Healthcare
Bharti Telecom
Bharti Global
The company has established strong credentials in the Indian pharmaceutical industry, with a client base of eminent drug companies.
Telecom Seychelles
Services
Bharti Comtel
Goa Telecom
SIEMENS TELCOM
BHARTI DURALINE
Bharti Cellular
Bharti Telenet
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Bharti BT
Bharti BT Internet
Bharti Cellular Limited Bharti cellular limited is customer and competition oriented company whose goals to position itself in the market as a serious enterprising supplier of reliable, easily available mobile telephone services of high quality. Its objective on a continuos basis will be to combine changing market needs with new technological opportunities on a financially sound and profitable foundation. Cellular phone service is one of the most exciting telecom applications around the world with increasing urbanization and rapidly accelerating pace of business. Bharti recognized the potential of this service in India and setup Bharti Cellular Limited (BCL) on November 29,1994 BCL is a consortium of some of the worlds leading names id cellular telephony-British Telecom of U.K. one of the Britainss largest telecom companies, Mobile systems International the worlds foremost network planner, EMTEL the pioneer of cellular telephony in Mauritius and the Bharti Group, Indias pioneering telecom company. In 1995, BCL started providing service under the name Air Tel Air Tel provides business community and private users with a reliable, secured, easily available and cost effective GSM cellular phone service. AirTel has sourced network system technology from Ericasson-the acknowledged world leader in the field. AirTel also makes available to its customers a range of world class cellular service. About Airtel
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Air Tel comes to you from Bharti Cellular Ltd. a consortium of giants in the telecommunication business-British Telecom italia , and Bharti Enterprises. AirTel launched its services in Delhi on November 14,1995 it has at present over two lakh twenty thousand subscribers. In its three years of pursuit of greater customer satisfaction. Air Tel redefined the business through marketing innovations, continuous technological upgradation of the network, introduction of new generation value added services and the highest standard of customer care. Air Tel has consistently set the benchmarks for the Indian cellular industry to follow. 1) 2) First to launch cellular service in Delhi on November 1995. First operator to revolutionize the concept of retailing with the
inauguration of Air Tel Connect (exclusive showrooms) in 1995. Today Air Tel has 27 Customer Care Touch Points and over 350 dealers in Delhi and NCR towns. 3) First to expand its network with the installation of second mobile
switching center in April, 1997 and the first in Delhi to introduce the intelligent Network Platform First to provide Roaming to its subscribers by forming an association called world Network. 4) First to provide roaming facility in USA. AirTel has largest automatic
roaming service SMART ROAM National in 350 cities in India and SMART ROAM International in over 60 countries and 95 countries and 95 networks all over the worked. 5) Air Tels prepaid card. Magic has consistently held a dominant position in
the market and has played a major role in popularizing cellular services. 6) Consecutively for four years 1997,1998,1999 and 2000 Air Tel has been
voted as he Best Cellular Service Provider in the country and won the coveted Techies award.
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7)
has maintained leadership through constant innovations, which have redefined standard of cellular services in India. 8) First to introduce a wide array of value added services like Smart mail, etc.
to enhance the convenience of its subscribers. Vision: To make mobile communications a way of life and be the customers first choice. Mission: We will meet the mobile communication needs of our customers through: 1) 2) 3) Error-free service delivery. Innovative products and services. Cost efficiency.
Values: We will always put our customers first. We will always trust and respect each other. We will respect our associates as we respected each other. We will work together through a process of continuous improvement. Quality Statement: We will deliver error free services to our customers by doing our jobs right the first time every time AirTel offers two kinds of services pre paid and post paid. The prepaid services are the Magic Ready Cellular Card which gives ready-to-use, hassle free cellular connection. It has a pre-activated STD/ISD call faculty. It gives crystal clear communication in Delhi, Ghaziabad, NOIDA, Gurgaon ,Faridabad and Ballabhagarh. AirTel Postpaid connection is a service recommended for regular users. This connection allows you to pay for your usage on a monthly basis and room throughout India and overseas. AirTel Post Paid Connection: AirTel Postpaid connection is a service recommended for regular users. This connection allows to pay for the usage on a monthly basis. You need to apply for the service with complete personal details. Advantages 15
1)
AirTel Post-paid connection offers lowest airtime rates . 2) National and International Roaming
AirTel Post-paid and prepaid connections gives the convenience of one number across the globe in 95 international network, 60 countries, 350 cities in India. 3) The Leading networks advantage
The unmatched advantage of mega millennium intelligent network offers seamless, clear non congested, easy accessible network. 4) Exceptional voice clarity
Aided by Enhanced full Rate, AirTel Post-paid connection offers distortion free high clarity voice. 5) 24 hour customer service
On AirTel offers the finest 24-hours customer service facility, with a well trained, multi-lingual staff to take care of all the queries and concerns. 6) STD/ISD facility
Makes cellular phone a personal communication center, so that one can call anywhere across the country and around the world. 7) AirTel cellular phone advantage
A wide range of world class handsets like Nokia, Sony Ericsson, fly, Siemens and Motorola cellular phones is available to the AirTel subscriber at the most attractive prices. 8) Airtime tariff Plans AirTel post-paid connection offers the lowest tariffs amongst all cellular connections. Details of the currently available plan is as follows: (there are 15 diff. postpaid plans )
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y BILL PLAN - 789* FOR 1 YEAR y BENEFIT - Effective rental of just rs. 66/month y LOCAL CALLS 50P/month y S.T.D. 1.50/min y S.M.S. re. 1(local),1.50(national),5(international) y ROAMING 1.50/min. y BILL VALUE 100 min.: Rs.155,200:243,300332,400:420,500:509,1000:951
A) What is magic? MAGIC the simplest way to go cellular. Magic ready cellular card is Ready-to-use, no-hassle cellular connection. It comes pre-activated with STD/ISD calling facility and is available in easy denominations of Rs. 500, Rs. 1000, Rs. 2000 and Rs. 3000. Backed by AirTel, the leading cellular operator in India, it gives crystal clear communication in entire Delhi, Ghaziabad, NOIDA, Gurgaon, Faridabad and Ballabhgarh. Highlights 1) Wide Availability Magic Ready Cellular card and magic recharge cards are available widely all over the city at over 1800 outlets. 2) No applying Magic is available across the center. There is no need apply in advantage or go through complicated formality to get connected. 3) Instant Connectivity 17
Magic Ready Cellular Card can be used as soon as its bought. The connection is pre-activated with a host of other services. 4) Compatible with all handsets With only magic, you are assured that it would work with all models of GSM cellular handsets. 5) No bills No more keeping track of bills every month. With magic, your pay when you want and as much as you need. 6) Total Cost control Magic gives complete control over the cellular expenses every month. The friendly IVR service tells the balance, free of cost, whenever desired. 7) Convenient Recharging Recharging magic card is very simple. Whenever the balance running low, just buy a recharge card of value most suitable or recharge on-line. 8) Free home Delivery Just call Dial-a-magic at 333 (toll free) from magic to place the order, and get the card delivered at the preferred address at no extra cost. Currently this service is available in Delhi and Gurgaon only.
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Magic. The most affordable cellular Cost package Standard MRP MRP includes: Calling Value Activation Fee Administrative Charges Service Tax Value Added Services AirTel offers a host of value added services. These are available on request. They include: Smart Roaming Smart mail Call Waiting Call Hold Call Divert Call line Identification (CLI) Call Line Identification Restriction (CLIR) STD/ISD STD/ISD Dynamic Locking Fax and Data Fax Services Safe Custody Itemised Billing Rs. 10 FREE FREE Rs. 12.23 Magic Regular pack Rs. 99
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Smart Access Call Conference Mobile Hunting Handset Insurance Service Airtel Umbrella Branding Bharti Tele-Ventures, one of Indias leading telecom conglomerates, has unveiled a unified brand strategy for all telecom services, with Airtel as the flagship brand. The unified brand strategy will make life simple for customers, providing them with more choice, a larger distribution network, best value plans and unique bundling offers, said N. Arjun, CEO, Bharti Broadband Services. Under the Airtel brand, the company will offer a suite of world-class telecom services and solutions ranging from wireless to fixed-line, from data and broadband to longdistance and enterprise services. Bhartis unified brand strategy is pursuant to the coming in of the unified license regime and the companys high growth strategy to make life simple for its customers, Krishnan said. The unified brand will result in cost-efficiencies, economies of scale and quality advantages for Bharti while also making Airtel Indias first truly integrated telecom services brand. Consequent to the unified brand strategy, Touchtel and India One brands will now be Airtel, pointed out Sanjay Mohanty of Airtel. Under the new brand architecture, Bhartis telecom services are being clubbed under four heads: Airtel Mobile Services - Mobile Services Airtel Telephone & Broadband Services Airtel Long Distance Services -Long distance service (ILD & NLD) Airtel Enterprise Services -Single window end-to-end telecom
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"A unified brand approach for all our telecom services will ring in the benefits of common identity, scale and size for our services and it takes forward our high growth philosophy of being a single window provider of a suite of world class telecom services. An integrated brand will also bring in the benefits of a larger distribution network, best value plans, unique bundling offers and much more to all our customers including the existing fixed line customers." Enhanced Convenience The countrys first truly integrated telecom services brand, Airtel will be a one-stop provider of telecom services, thereby bringing in added convenience to its customers. More than 9 million customers will now have a uniform, special service experience at nearly 600 Airtel Connects in the country spread, across its length and breadth. There will also be added convenience on bill payment, query redressal, access to drop boxes and other best in class common quality standards and processes. The Change to Leverage Opportunities With a vision to be "a globally admired company that delights customers", the integrated brand Airtel, will bring in the virtues of trust, innovation and scale to the entire spectrum of telecom services being offered by Bharti. Airtel will also bring simplicity in identity, build greater product and brand differentiation, offer enhanced value for every segment and be a single window provider of customized telecom service and solutions, thereby delivering simple but special brand experience at all touch points - every single time. This will help the company emerge as a leader, which offers the largest menu of relevant world-class telecom products and services for all segments across the length and breadth of India. Bharti Tele-Ventures is one of Indias leading private sector providers of telecommunications services with an aggregate of 9.04 million customers as of the end of August 04, consisting of over 8.28 million mobile customers. The company today offers mobile services in 17 out of 23 circles in India. The company also provides fixed-line services and Internet access over DSL in 5 circles.
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Old Logo New Logo The new logo for Airtel service was designed after an extensive brand audit across different cities. This smart, contemporary form was in response to the overall brand strategy of creating a younger, more friendly brand persona. The groups marketing effort has been reinforced with the re-launch of the Airtel brand logo, with a new slicker, international and younger look. Under the new brand strategy, Airtel will now become the power brand and sub brands like Tango (for WAP services), Yutopia (for the youth) will be withdrawn. Even the Magic pre-paid brand will be repositioned as Airtel Magic. The idea was to rework the brand so that it is relevant to a larger segment of the population as we are now expanding into the smaller cities and towns. Our studies show that 70 per cent of the new customers in the pre-paid category are youth so their needs had to be addressed. The new brand look will be supported by an over Rs 100 crore advertising budget. The high growth markets are between 15 years and 19 years old, salaries of Rs 6,000 to Rs 10,000 a month and the SEC B and C categories, which include shopkeepers, daily wagers and plumbers, amongst others which the company wants to target efficiently. Bharti Brings its all Telecom Services under Airtel Brand Bharti Tele-Ventures Limited was incorporated on July 7, 1995 for promoting investments in telecommunications services. Its subsidiaries operate telecom services 22
across India. Bharti Tele-Ventures is India's leading private sector provider of telecommunications services based on a strong customer base consisting of approximately 11.05 million total customers which constitute, approximately 10.24 million mobile and approximately 815,000 fixed line customers, as of January 31, 2005. Bharti Televentures limited has brought all its telecom services namely landline, broadband, long distance and cellular under a single brand, Airtel. Consequently, the BTVL's brands like Touchtel (landlines/broadband), IndiaOne (STD/ISD) and Internet (Mantra) will cease to exist and Airtel, long associated with the group's flagship cellular services, will extend to cover all the telecom operations Under unified branding strategy various services would be called as Airtel Mobile services, Airtel Telephone & Broadband services, Airtel Long Distance Services, Airtel Enterprise Services. According to Bharti officials the unified branding followed government policy to introduce unified licensing that allows cellular and landline companies to offer two services under the same license, which were given out separately until recently. Magic To Be Brought Under Airtel Umbrella Bharti's pre-paid cards under the brand of 'Magic', will now come under the AirTel brand, along with its post-paid connections. This is part of Bharti's strategy of promoting the AirTel brand. The pre-paid brand Magic is to be phased out in the next one or two months. Company officials say the brand Airtel will be a single unified brand in the future. This will strengthen the company's position in the market and reduce confusion. Prepaid and post-paid will only be payment mechanisms, they say. The proposed brand merger is expected to take Bharti's turnover upwards of Rs 3,000 crore this year. The proposed structural change is expected to lead to advertising agency realignment also. Rediff's accounts of the Airtel brand and other infotel brands like Touchtel, IndiaOne and Mantra are expected to go to Percept. Airtel has grown to be the largest brand in the cellular market today, with over three million cellular customers.
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Brand Identity Reputation, reputation, reputation! O! I have lost my reputation. I have lost the immortal part of myself and, What remains is bestial. Few firms know who and what their brands are basically, where lies their unique quality, their singularity their identity. Brand identity is a recent idea, but many researchers have delved into the identity of the organizations. The essence of brand identity lies in the answer to the following questions concerning the brand we are dealing with What is the individuality? What are its long-term goals and ambitions? What is its consistency? What are its values? What are its basic truths? What are its recognition times? These six questions point to the brands definition and could indeed constitute its character. In other words such characters could form the basis for in-depth management of brand communication and extension over a given period. In the terms of AIRTEL, the brand identity could be:
Individuality: AIRTEL stands as a brand which exudes its individuality in a strong way. It projects itself as a brand which is not only the initiator of the market but also the leader.
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Long Term Goals and Ambitions: AIRTEL strives to be loyal to their consumers and ever since its inception has been an aggressive player avoiding cheap marketing gimmicks to earn short term benefits. It time to time acknowledges its esteemed customers with various rewards and benefits
Consistency: AIRTEL has consistently been trying to touch the lives of millions of users across India each and every day through its expertise and competencies.
Values and Basic Truths: Its transparent approach and its customer first attitude speak volumes of its values and principles.
Recognition Signs : The recognition signs would be its colour ( the shades of Red which gives a strong impression of Airtels Commitment to the best with white background ) brand logo, the font ,size( stark and bold) , trademark, etc. This helps people recognize the brand over a long period of time.
To summarize the concept of identity, though all things are possible when a brand is first created, after a time it acquires autonomy and its own meaning. Starting as a nonsense word attached to a new product year after year, it acquires a meaning, composed of the memories of the past emergent communication and products. It defines an area of legitimate possibilities, yet appreciates its own limitations. The Faces of Identity Each market condition gives rise to concepts and methods to adapt to such conditions. When products werent so abundant, one simply resorted to USP. After an era of image, positioning and brand personality, we have entered into the brand personality era. To become a powerful brand, and to remain so, a brand has a duty to be faithful to its identity. Brand identity is a volatile and changing notion it is considered too much with the appearance of the brand, and not enough with its very being. The notion of the brand core identity is to express willingness on the part of the communication strategist to go beyond the superficial and to investigate the brand to the root level.
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The concept of identity is formulated on the basis of three qualities: 1. Durability 2. Coherence 3. Realism The Prism of Identity A six sided prism may represent brand identity diagrammatically. It consists of Physique, Personality, Culture, Self Image, Reflection and relationship. The brand identity prism demonstrates that these facts form structured whole .The content of one facet echoes that of another. The prism structure is derived from one basic concept that the brand has a voice. A brand does not exist until it communicates. It would decline in strength if allowed to remain silent and useless for too long. Since a brand has its own meaning of referring, it can be analyzed like any means of communication.
Physique: A physique is the combination of independent characteristics, which may be either prominent or dormant. For AIRTEL it is reliable , dependable, a different entity , aloof yet approachable.
Personality: A brand has a quality. It acquires a character. If, as often happens, we identify the brand with a person, and gradually form a picture of that person by the way in which he speaks of product or services. The personality of AIRTEL is Aggressive, Youthful, Eye catching, friendly, strong yet vulnerable.
Relationship: A brand is a relationship. It often provides the opportunity for an intangible exchange between persons. The relationship the brand has with the consumer is that of a key maker. He reminds of a key maker who will definitely help you by making a duplicate of your lost key. The relationship AIRTEL shares with its consumer is one of Trust, confidence, reliability and dependability
Culture: Every brand has its own culture. The culture of AIRTEL is that of impeccability and striving for perfection.
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Reflection: A brand reflects a consumers image. Reflection is not necessarily the target, which the brand offers to that public. It is a type of identification. The kind of consumer image AIRTEL reflects is all those who are young, dynamic, high on energy, thrive on a dynamic environment yet in a class of their own and those who strive for perfection.
SelfImage: The person who buys and uses AIREL has a self image of someone who is energetic, youthful, strives for perfection, classy , cost conscious but would not compromise on quality, tech-savvy and adventurous.
Sender
Internal
External
Reflection All those who are young ,want to look fair & beautiful & those who strive for perfection
Receiver
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AD Campaign of Airtel The initial ad campaigns of AirTel were product based/ offer based like propagating a new bill plan for the youth (the youth plan), or propagating a nokia bundle offer. Their aim was to create awareness about the choice of the schemes, which are provided by the Airtel. Their first full fledged ad campaign was initiated by their signature tune through which they wanted to spread its new Airtel sound. After this came another wonderful campaign about Express yourself . This ad was subtle and subdued and had the same signature tune however voiced in a different melancholic tone. This campaign focused on the human need to communicate all forms of expression be it love, hatred, angst, desire, etc.
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nevertheless gearing up to compete with Orange after it enters the market in a tie up with Essar. The company is adding new applications to enrich the short message services recently launched. This includes city based information (about restaurants, police stations, important phone numbers is any area, etc.): travel schedules for both domestic as well as international journeys (via air and railways); and vertical addressal of content for niche segments like doctors, lawyers, engineers, architects, women, etc. The company has tied up with CIMS-Bio Guard to provide short message services (SMS) for doctors from all the different fields of medicines, like Cardiology, Dermatology, ENT, Gynecology, etc. Doctors can type a key word on their cell phones to get the latest developments in the chosen area. This ready reckoner provides latest medical information to the doctors, including medical news, drug launches, clinical trials, seminars, conferences, abstracts from articles, etc. For city-based information and travel schedules, the company has tied up with a website called lookupdelhi.com. Apart from this, the company has tied up with ICICI bank to provide services like credit card payment, payment of cellular bills through the Internet, and mobile banking. AirTel also tied up with HDFC bank for mobile banking. However, chances are that adding newer services alone might not be enough to ward off competition. Orange, which according to industry sources, had sparked off a price war in the Bombay cellular market, by cutting the rental tariff from Rs.475 to Rs. 395, might do something similar in Delhi as well. If Orange starts a price war then AirTel will have no option but to follow suit, it does not look forward to the prospect: A price war did not help Orange in Mumbai. It has not grown the market. It is still not the leader in Mumbai. Price cannot be a differentiator in a duopoly, especially when the industry is still bleeding. Instead of that customers should be provided more and more services. Meanwhile AirTel can take comfort from the fact that it still has a comfortable lead over Essar, in terms of the numebr of subscribers. According to the subscriber list compiled by the Cellular Operators Association of India, in February, AirTel had 1,71,213 subscribers, while Essar had 1,43,307 subscribers. Further, AirTel, which
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has already crossed 1,90,000 subscribers has achieved the twolakh mark in May, thereby becoming the largest metro operator in the country. The biggest stimulant for the growth in the number of subscribers is the prepaid Magic card; which was launched in January 1999. Since then from a base of around of 7,000 subscribers (on cash cards), the number has grown to 80,000 plus subscribers.
plans to choose from which simply encourages calling more. y Unlimited Clarity: AirTels mega millennium intelligent network gives
benefits like seamless coverage and Enhanced Full Rate (EFR) coding for unmatched voice clarity. y Unlimited Customer Care: AirTels customer care executives are on call
24 hours a day for expert assistance. y Unlimited Connectivity: AirTel not only offers the widest coverage in
Delhi and NCR, it also keeps in touch across more countries and cities than any other network. Its smart roam enables to roam in other cellular networks in India and across many international destinations thus giving maximum power to keep in touch. y Single Bill: A single consolidated bill for Delhi and roaming connections
across India and the world saves the hassle of paper work. y Payment in Indian Rupees: With smart roam, all payments can be made
in Indian Rupees, including the times while roaming internationally thus saving the bother of foreign exchange. y Unlimited Convenience: With AirTel one can get a host of value added
services like smart mail, web message, etc., which further enhance the power to keep in touch.
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Unlimited Performance:
AirTel is constantly
innovating and upgrading its services to offer more value. This has led to it being awarded the best cellular service provider in 1997, 1998, 1999 and 2000. Weaknesses Large dealer network not under the companys direct control. y y y Centralized decision-making. Dissatisfaction among dealers. Not good servicing network.
Opportunities y y High market growth rate. Huge potential to increase the customer base because of continuously
decreasing cellular tariffs. y The path of consolidations gaining importance that can extend the scope
of cellular operators in the basic services too. y Threats y Increase in competition level from Hong Kong based Hutuchisan Falling mobile set prices.
Whampoa, which has taken over Essar. y New Policy granting basic line telephony operators to provide limited
mobility.
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The first parameter is almost clear that near about all the requests from activation come to the AirTel.
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The second parameter states customers are activated on time. The third parameter states that customers are provided only that service which they opted. Therefore the basic purpose or objective of my project work was to ensure these above mentioned parameters at the dealers level, which is possible through the careful understanding of the business done by them, their way or style of working, the problems they are facing, loyalty towards the company and their level of satisfaction.
2.5 METHODOLOGY
Research Design It is the specification of methods and procedures for acquiring the information needed. As there is no single method of studying and solving a problem there is no single perfect research design. The researcher can choose any method or design or combination thereof but it should solve the problem in hand in the most efficient and economical way. The research design used here is exploratory and analytical in nature. It aims at solving the various problems faced by the dealers. Simple percentage method is used to analyze the various factors and the data is presented in clearly tabulated and graphical form.
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Sources of Data: The researcher has to decide the type of data to be used in his search for the optimum solution to the problem in hand. The data used may be primary data, secondary data or the combination of both. Here primary data was collected through observation and communication (questionnaire). (a) Observation: I had to sit at the dealers premises for almost a day or as much as possible to understand and analyze their working keeping in view the three given parameters, recorded in the observation sheet. (b) Questionnaire: I have designed a questionnaire consisting of a series of closed and open ended questions and get it filled by the dealers at the time of visit to them. Sample Size: Another aspect forming a part of research process is the sampling plan. When the researcher has decided to carry out a field survey, he has to decide whether it is to be a census or sample survey. Here sample survey was chosen and the sample size is 33, which was already decided by the company. Sampling unit: Dealers Area covered: Delhi region and Ghaziabad (U.P.) Research Instrument: Simple and exhaustive questionnaire typed in English. Duration of the project: 8 weeks. Method of Analysis: Simple percentage method is used to analyze the various factors and the data is presented in clearly tabulated and graphical form. In case of dichotomous questions choices are uniformly taken as yes or no. In case of questions demanding dealers level of satisfaction or their ratings to the parameter choices are uniformly takes as:(a) Excellent
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For the remaining questions choices are taken as per the purpose and nature of the question. Also in the sample questionnaire order of questions has been slightly changed though the questions are same as in the original one to facilitate clear and precise analysis. Limitations Every attempt has been taken to obtain the error free and meaningful result but as nothing in this world is 100% perfect I believe that there is still the chance for error on account of following limitations(1) (2) (3) (4) (5) (6) Sample size may not be the true representative of the population. Respondents unwillingness to respond. Respondents inability to formulate a response. Respondents unavailability. Time pressure and fatigue on the part of respondents and interviewer. Courtesy bias.
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The well-organized marketing information system (MIS) is therefore essential in order to achieve and withstand in the market. According to Philip Kotler, marketing information system is defined as, MIS consists of people, equipment and procedures to gather, sort, analyze, evaluate and distribute needed timely and accurate information to marketing decision makers. In order to gather reliable information marketers often rely on marketing research, formal studies of specific problems and opportunities. Starting with market measurement, marketing research helps the firm in every component of the total marketing task. It helps the firm acquire a better understanding of the total marketing task. It helps the firm acquire a better understanding of the consumer, the competition and the marketing environment. It also aids the formulation of marketing mix.
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Decisions on each element of the marketing mix. Product, distribution, promotion and pricing need marketing research support. Market research is an inevitable tool to forecast the future things to reduce, if not eliminate the risks involved in the marketing process. According to Philip Kotler, marketing research is the systematic problem analysis, model building and fact finding for the purpose of important decision making and control in the marketing of goods and services. According to the American Marketing Association, Market Research is the gathering, recording and analyzing of data about the problems relating to the marketing of goods and services. The term marketing research s composed of two words that are marketing and research. Marketing is a comprehensive term which encompasses the whole set of activities performed with a view to facilitate the flow of goods and services from the producers to the final consumers whereas research is defined as pro rata investigation which means thorough, honest and impartial study conducted by trained men and sometimes by other also using scientific methods. Apart from in-house marketing research departments and marketing research firm companies can conduct research in creative and affordable ways such as: 1. 2. 3. Engineering students to design and carry out marketing research projects. Using on-line information services. Checking out rivals.
The conclusion that we can draw from this is that marketing research is an organized and systematic research which is carried out to draw certain useful inferences with regard to channel of distribution, profitable and unprofitable sales territories, consumers purchasing preferences and priorities, marketing costs, sales promotion activities existing and potential competitors and so on. Broadly speaking there are following strategic areas of marketing research namely:1. Research on products.
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2. 3. 4. 5. 6. 7. 8.
Research on Market. Research on Consumer. Research on Advertising and Promotion. Research on Distribution. Research on Pricing. Research on Sales Methods. Research on Competition.
In addition to the above broad areas, there are some other areas of Marketing Research, which are in no way less important than said ones. A few of them deserve particular mention: (1) (2) (3) (4) Policy research Dealers research Research in brand and package design. Export marketing research. The emphasis given in my research project is on dealers research i.e., the different dealers are working effectively and efficiently for the company or not and what problems they are facing in the market. Aims and Objectives of Marketing Research The first and foremost objective of marketing research is to enable manufactures to make goods acceptable and saleable and see that they reach the market easily, quickly, cheaply and profitably without sacrificing the consumers interest. In order to accomplish this prime objective any program of marketing research generally tries to find out five things i.e. 1. What to sell.
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2. When to sell. 3. Where to sell. 4. How to sell. Marketing Research Procedures: The marketing research firstly calls for developing the research plan. In fact this is the second stage of marketing research that calls for developing the most efficient plan for gathering the information needed. The marketing manager needs to know the cost of research plan before approving it. Designing a research plan calls for decisions on the data sources, research approaches, research instruments, sampling plan and contact methods. The data collected can be secondary data, primary data or both. Secondary data is the data already available somewhere. Primarily data are data gathered for a specific purpose or for a specific research project. Sources of Secondary Data: 1) 2) 3) 4) Internal sources. Government publications. Periodicals and Books. Commercial data like Yellow pages.
Sources of Primary Data: 1) 2) 3) 4) Observation. Focus group research. Survey. Experimental research.
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Methods for Conducting the Research: 1) 2) 3) 4) Mail Questionnaire. Telephone interviewing. Personal interviewing. Observation method.
The next step is collecting of information followed by analysis of the information. At last, the findings are presented to the relevant parties. The findings should be clear and precise. In short, market research passes through the following steps: 1) Defining the market problem to be tackled and identifying the marketing research problem involved in the tak. 2) 3) 4) 5) Specifying the information requirement. Developing the research design and research procedure. Gathering the information. Analyzing the information and interpreting it in terms of the problem being tackled. 6) Summarizing the findings and preparing the research report.
Marketing Channels: A marketing channel consists of the set of people and firms involved in the transfer of title to a product as the product moves from producer to ultimate consumer or business user. It includes both the producer and the final user of the product as well as mercantile agents and merchant middlemen engaged in the transfer of title of goods and services. Merchants take the title to merchandise and resell it while agents receive a commission or fee in exchange. Whole sellers and retailers are both intermediaries and can be either merchant or agents. It also includes organizations
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concerns such as banks, insurance companies, ware houses, railways and other institutions, which render a marketing service but do not play any major role in negotiating purchase and sales. Number of Channel Level We have to use a number of intermediaries to designate the length of the channel Zero level channels manufacturer consumer One level channel manufacturer - retailer - consumer Two level channel: Manufacturer Wholesaler Retailer Consumer Three level channel: ManufacturerWholesalerJobber - Retailer Consumer. Marketing channel decision is among the critical decision of management. The
channel chosen by the companies intimately effect the other marketing decision the companys pricing depends upon whether it uses large high quality dealers or medium sized medium quality dealer. The firm sales force and advertising decision depends upon how much training and motivation the dealer needs. The management must choose channel with an eye on tomorrows likely selling environment as well as todays. Functions of Marketing Channel A marketing channel performs the work of moving goods from producer to consumer. It overcomes the major time place and passion gaps that separate goods and services from those who would use them. Members of the marketing channel perform number of key function. The following are major marketing channel function:
To gather information about potential and current customers, competitors, and other forces in marketing environment.
To develop and disseminate persuasive communications to stimulate purchasing. To reach agreement on price and other terms so that transfer of ownership or possession can be effected.
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To place orders with manufacturers. To acquire funds to finance inventories at different levels in the marketing channel.
To assume risks connected with carrying out channel work. To provide for the successive storage and movement of physical products. To provide for buyers payment of their bills through banks and other financial institutions.
The first six functions primarily deal with consummating transaction while the last three deals with facilitating transaction. The IInd tier channel consist of franchisees (Air Tel Connects), exclusive outlets (Air Tel Points), premium dealers and authorized dealers which constitutes almost 80% of Air Tels post-paid business and moreover it is the dealers which constitute near about 50% of the business. These dealers being the authorized dealers are not under the companies direct control and come under the control of Air Tel' franchisees. At present they are dealing with competitors also and pass on the business either to the competitors or to the companys franchisees. Therefore these dealers are of extreme importance to the company.
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Table-1 Percentage of business 0-20% 20-40% 40-60% 60-80% 80-100% No. of dealers 1 1 8 3 20 Percentage 3% 3% 24% 10% 60%
70 60 50 40 30 20 10 0
0% 0% 0% % 20 -6 -4 -8 0-1 00 %
20
40
60
This chart show that sixty-percent dealers fall under the category 80-100% of the percentage of business whereas fourty dealers are below that category which is quiet a substantial figure and should be carefully dealt with.
2)
80
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(Multiple response were given) Table 2 Service Airtel Leisure AirTel Business AirTel Standard No. of dealers 03 30 30 Percentage 10% 90% 90%
No.of dealers 3 30 30
airtel Leisure
Airtel Business
Airtel Standard
From the chart, it is clear that the most popular service Among the customers is air tel standard and airtel business becouse of their convenient tariff rates. However, each service is suitable for specific class of people depending on their usage.
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3)
Table-3 Rating Excellent Good Needs improvement No. of dealers 20 3 10 Percentage 60% 10% 30%
no. of dealers
10 20
Excellecnt
good
Needs Improvement
The chart depicts that thirty percent dealers are not fully satisfied with the netwok. They nelieve that there is scope for improvement as the signals are sometimes not proper in the interiors. Sometimes even inside trhe house or shop signals get weak.
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4)
Table 4 Rating Excellent Very Good So-So Dis-satisfied Strongly Dissatisfied No. of dealers 27 6 0 0 0 Percentage(%) 82% 18% 0% 0% 0%
G raph - 4
0% 9%
91% Immediately
W ithin few minutes (2-3 min) takes time
This chart shows that all the dealers are satisfied with the knowledge of the customer service people of AirTel. They understand their problems and give them a reasonable solution.
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5)
is the call transferred to the customer care executives? Table 5 Time Immediately Within few minutes (2-3 min) Takes time No. of Dealers 00 03 30 Percentage 0% 10% 90%
Graph -5
18%
0%
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6)
How responsive are the customer care executives in returning the phone calls. Table 6
No. of dealers 25 5 2 1 0
Graph -6
3% 6% 15% 0%
76%
Excellent
Very Good
So-So
Dissatisfied
Strongly dissatisfied
Here most of the dealers are satisfied with the responsiveness of customer care executive in calling back to them if proper solution was not available for the first time.
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7)
No. of dealers 5 15 12 1 0
20 15 10 5 0
Excellent Very Good So-So Dissatisfied Strongly dissatisfied
No. of dealers
Percentage (%)
As shown above nearly thirty-six percent dealers have low level of satisfied with the department that leaves much needed scope for improvement.
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8)
No. of dealers 10 7 9 3 4
15 10 5 0
Excellent Very Good So-So Dissatisfied Strongly Dissatisfied
No. of dealers
Percentage (%)
The above chart clearly indicates that a substantial percentage of dealers (27%) have a low level of satisfaction with the company representatives to them. Also 21 percent dealers are not at all satisfied with them.
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9)
Dealers rating of the schemes provided by the company for them. Table 9
No. of dealers 0 6 12 15 0
graph 9
0 15
12
From the chart, it is clear that the dealers are not satisfied with the schemes provided by the company. They have the complaint that thought the customers are benefited from the various schemes there are not many schemes for their benefit. Sometimes the schemes are communicated to them slightly late and thus them the benefits from them.
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10)
Dealers satisfaction with the margins or cut-off provided by the company. Table 10
No. of dealers 6 12 11 4 0
15 10 5 0
Excellent Very Good So-S0 Dissatisfied Strongly Dissatoisfied
No. of dealers
Percentage (%)
The above chart indicates that near about fifty percent dealers are not much satisfied with the margins given by the company. The possible reason for this is the frequent fluctuations in them. Many times they get less than what is assured.
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11)
Classification of dealers according to the number of activation's (average) made in a month. (on the basis of question II) Table -11
No. of Dealers 3 8 10 7 5
No. of Dealer
Percentage (%)
Here the dealers are classified according to the number of activations they made in a month. from the table and chart it is clear that they are uniformly distributed across the classes. However the maximum percentage of dealers lie in between 20-30 activations in a month.
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12)
Time within which dealer inform the franchisees about the receipt of activation forms. Table 12
No. of dealers 33 00 00
Percentage 100% 0% 0%
graph 12 0% 0%
From the chart it is clear that dealers immediately inform the franchisee about the receipt of the activation forms and it all depends on how those forms are passed on to the franchisees for timely activation.
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13)
Passing of activation forms (C.A.F.) to the Franchisees for activation. Table 13 (a)
Percentage of collection by the No. of dealers franchisee. 0-20% 20-40% 40-60% 60-80% 80-100% 20 3 5 0 5
Percentage
No. of dealers
Percentage
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(b) Percentage times dealers send the C.A.F. to the franchisees. Table 13 (b) Percentage times C.A.F. delivered No. of dealers by the dealers 0-20% 20-40% 40-60% 60-80% 80-100% 5 0 5 3 20 15.15% 0% 15.15% 9.10% 60.60% percentage
No. of dealers
percentage
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(c) Dealers intimate on phone to the franchisee and activations are made (C.A.F. is sent later on) Table 13 (c ) Percentage times during a No. of dealers month 0% 0-5% 20-75% > 75% 25 3 2 3 75.74% 9.10% 6.06% 9.10% Percentage of dealers
No. of dealers
Percentage of dealers
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14) Time within which a customer is activated by the franchisee after the receipt of C.A.F. Table 14 Time Within 2 hours 2-4 hours 4-6 hours More than 6 hours
15 10 5 0 W ithin 2 hours 2-4 hours 4-6 hours M than 6 ore hours
No. of dealers 10 9 8 6
N of dealers o.
P ercentage (% )
Here the various dealers were asked about the time take taken by the franchisees in making activation. From the chart it is clear that fifty-seven percent responses come under the less than 4 hours class (combination of first two classes) which is the prescribed time by the company. Forty-three percent fall outside that class and thus it is an important problem area which should be properly analyzed.
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15) Dealers satisfaction for the time taken by the franchisees. TABLE 15 Satisfaction Yes No No. of Dealers 22 11 Percentage 66.67% 33.33%
The chart shows that one-third dealers are not satisfied with the time taken for activation. May times the system remains down or the workload at franchisees is high and as a result their activation is not made on time this has a profound impact on their business.
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16) Possible reasons for the delay in activation by the franchisees. (Multiple response given) TABLE 16 Reasons System Down High work load No. of dealers 25 15 Percentage 75% 45%
Graph-16
45% 75%
From the chart it is clear that almost seventy-five percent dealers complaint about system down as the possible reason for the delay of activation. The other reason is high workload at the franchisees as they have their own customers coming directly to them.
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17) Dealers overall level of satisfaction with the companys services. Table 17 Satisfaction level Excellent Very Good So-So Dissatisfied Strongly dissatisfied No. of dealers 5 17 10 0 1 Percentage (%) 15.15% 51.52% 30.30% 0% 3.03%
20 15 10 5 0
oo d nt So -S o f ie d ce G is ry Ex at sa ro ng l y di s St t is f ie d lle Ve
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Di
ss
18) Is it feasible that activations are made directly from the dealers office instead of franchisees by setting the required computer network? Table 18 No. of dealers Yes No 18 15 Percentage 55% 45%
Graph-18
45% 55%
Yes No
From the chart it is clear that there is not much difference in the opinion of dealers. Fifty-five percent are agreed to setup the required network while forty-five percent are not. Its a mixed a bag situation and company has to decide accordingly.
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19) In case of cheque payment do dealers wait for the clearance of cheque before passing on the activation form to the franchisee? (Customer is not known) TABLE 19 No. of dealers Always Generally Never 25 05 03 Percentage 61% 30% 9%
Graph-18
45% 55%
Yes No
Near about sixty percent dealers always wait for the clearance of the cheque. Thirty percent depend on their appraisal of the customer and then decide accordingly. Only ten-percent takes risk pass on the activation, as they dont want to loose their customer.
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20) Best/Distinctive features of the company. (Multiple responses were given) Table-20 Features Brand Image Promotional Strategy Excellent Service Strong Network No. of Dealers 30 15 17 22
Graph-21
67% 91%
52% 45%
Strong Network
This chart shows the dealers liking about the various features of the company. It is clear their responses that AirTels Brand Image is best of the lot, the other features are also important but the brand image is most compelling one for them.
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21) Problems faced by the dealers.(Multiple responses were given) Table 21 No. of dealers No dealer recognition Promotional strategy Service Fluctuating Margins No response 25 18 16 05 08
G raph-21
24% 15% 75%
48% 55%
This chart shows that seventy-five percent dealers are not satisfied with the companys attitude towards the dealers. Nearly fifty percent are not satisfied with the promotional strategy and Services offered by the company for them. Some of them have given no responses as they consider them a part of every business.
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AND
(11)
Though Air Tel as very broad network coverage but at some places signals are not proper.
5.2 RECOMMENDATIONS
The main finding, which emerged from the analysis of the data collected, is that there is considerable amount of dissatisfaction among the dealers on account of companys policy towards them. They are not under companys direct control and also not given any recognition by the company. They know that the constitute almost 50% business of Air Tel and have the potential to convert a customers to a particular service company then why they should provide business to the company. They know that the constitute almost 50% business or Air Tel and have the potential arises that if they are not dealt with care by the company then why they should provide business to the company. Moreover the margins provided to them fluctuate heavily and are somewhat less than competitors. Most of the dealers specify that dealing with the company from the beginning or for a long period of time is the only motivation for them to deal mainly for Air Tel apart from the popular brand image of Air Tel. The services provided by Air Tel and competitors are almost same. Therefore in order to ensure the given parameters dealer satisfaction is must. follows:1) In order to ensure the first parameter i.e. all services should come to Air Tel the company has to somewhat change its policy towards its dealers which are the important channel partners. Their satisfaction along with customer satisfaction is must for the companys success. Therefore the dealers should be given the much-needed recognition. The company should promote them and the company should advertise their name along with the promotional campaign. 2) One more thing that the company should do is to limit its channel partners. There are now so many dealers, sub-dealers, authorized as well as unauthorized, which are disturbing the market. Some have the only motive of making money and thus pass on the business only to those from whom they Some of the improvements that can be made on the basis of the survey conducted are mentioned as
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get more. They have no loyalty towards any company. Therefore in order to improve the market condition and to maintain the faith of loyal dealers, the company should limit the number of dealers and there should not be more than one or two dealer covering particular area/areas. Also the dealers with low performance should be removed from the channel. 3) Though with the mobile revolution and competition between companies service rates have become highly affordable but still the charges in India are highest. Therefore the company can capture more market share by slashing down the rates to some more extent. This along with the strong brand image can do a lot more good for the company. 4) Regarding the second parameter i.e. timely activation the major problem encountered is System Down. Most of the time system is down which causes delay in activation. Therefore some technical solution should be developed to overcome this problem. 5) The other problem encountered in this regard was rush at the franchisee because there are number of dealers under the control of one franchisee and moreover the franchisees also deal with the customers directly coming to them. To improve the situation more computer systems should be installed at the franchisees and separate executives should be appointed for the activation of customers directly coming to the franchisees and activation coming through dealers. 6) With the internet revolution if it is technically feasible dealers should be asked to install the computer with required configuration at their premises so that direct activations can be made. 7) The third parameter i.e. error free updation or activation mainly depends on how the activation are passed from the dealers to the franchisees. Two cases were observed in this regard:(a) First the CAF is sent to the franchisee either by the dealer or collected by the franchisee and then the activation is made.
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(b)
Secondly dealer informs the franchisee about the activation, the customer is activated and the CAF is sent later on.
The dealers and franchisees take utmost care regarding the service plan to be provided. From the total respondents surveyed only one case of wrong activation was found where the activation was made on telephone. This should be avoided and customer should be activated only when his CAF reaches the franchisee. Also immediately after the activation a message specifying service plan with the tariffs that the customer has opted should appear on the handset and proper instructions should also be given to the customers to read the message and give his confirmation. Some more improvements are as:(1) Being the best Service Provider Company should take more care of its customers and channel partners. (2) (3) The company should improve the time taken to connect tot he customer care. As cash card has somewhat lowered down the post-paid business, tariff rates should be reduced to improve the post-paid business. (4) Dealers should be allowed to collect cash and provided commission on collection as the competitor Hutch is providing. (5) (6) (7) (8) (9) Margins or cut-off should be improved. Some attractive schemes have to be launched for the dealers. Only capable dealers should be allowed to exist in the market. Dealers should be timely informed about the new schemes launched. They should be provided adequate promotional material like banners posters, signboard, pops, etc. (10) If they have some contact in the corporate world, they should be allowed to deal with them or they should be rewarded if they suggest it to the company and approached successfully.
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(11)
(12)
There should be proper interaction between the dealers. executive should organize regular meetings of the dealers.
The companys
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STRATEGY RECOMMENDED
With only two private cellular service providers in Delhi and one more managed by MNTL coming into the picture competition will definitely be going to increase intensely. Moreover falling tariff rates and mobile rates had made the situation even more worst. With price playing not a crucial role the best thing for the company is to adopt a differentiated strategy via improving the promotional campaigns and giving channel partners the much-needed recognition. at very nominal rates. Also several new facilities like SMS service, mobile Internet can be provided freely or
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BIBLIOGRAPHY
Books & Magazines Monks, G. Joseph (1985), Operations Management Theory and Problems, McGraw Hill Book Company, New York.
Growth Bring Blues to Mobile Co's, The Economic Times, New Delhi. 12 th February 2007.
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ANNEXURE
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QUESTIONNAIRE
1. What is the classification of dealers according to the proportion of business of Air Tel.? 2. What types of services customers want? 3. How would you rate Air Tels network in your area? 4. How knowledgeable is companys customer service people? 5. How responsive are the customer care executives in returning the phone calls? 6. What is the dealers overall rating to the customer care department? 7. Dealers rating of the schemes provided by the company for them. 8. .What is the classification of dealers according to the number of activation's (average) made in a month. (on the basis of question II) 9. Dealers satisfaction for the time taken by the franchisees.
10.What
are the possible reasons for the delay in activation by the franchisees? the dealers overall level of satisfaction with the companys services? Is it feasible that activations are made directly from the dealers office
11.Whats
12.
instead of franchisees by setting the required computer network? 13. In case of cheque payment do dealers wait for the clearance of cheque
are the best/distinctive features of the company? are the problems faced by the dealers.(Multiple responses were given)
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