A PROJECT REPORT ON MARKET PENETRATION OF AIRTEL SERVICES, AIRTEL POST-PAID CONNECTION WITH ITS COMPETITORS

SUBMITTED TO SIMT COLLEGE

In Partial Fulfilment of the Requirements of Master Degree Programme

SUBMITTED BY BALRAJ SAINI

MMM Batch (2009-2011)

TABLE OF CONTENT

Sr. No. 1 2 3 4 5 6 7 8 9 10 11 12 13 14

Content ACKNOWLEDGEMT EXECUTIVE SUMMARY OBJECTIVE OF THE STUDY COMPANY PROFILE COMPANY PLANS RESEARCH METHODOLOGY RESEARCH WORK DATA ANALYSIS LIMITATIONS FINDINGS CONCLUSION RECOMMENDATION BIBLIOGRAPHY ANNEXURE

Page No. 3-4 5-7 8-9 10-45 46-50 51-54 55-62 63-69 70-71 72-73 74-76 77-78 79-80 81-83

ACKNOWLEDGEMENT

ACKNOWLEDGEMENT

A good project work requires sound knowledge of the subject concerned and skilled to make proper use of this knowledge .i am very grateful to all who equipped us with the right frame of mind to make us still more receptive to such knowledge and skill. It is a proud privilege for me to express profound sense of Gratitude to my revered

(Faculty Guide) and I am grateful indebted to MR DINESH AWASTHI , my project external guide for availing me of his competent guidance under which I was able to accomplish my project work successfully.
MRS. POOJA

I am also thankful to Mr. BALJINDER SINGH who helped me intellectually in preparation of this project.

BALRAJ SAINI

EXECUTIVE SUMMURY

Executive Summary

The project was carried out for Bharti Airtel Limited, AGRA which is one of the leading Telecom company to conduct a Market research and Sales.

The project was undertaken during two months winter training at Airtel Limited in my capacity as a management student with marketing specialization. The job assigned to me for the project was to do market Analysis and sales activities . The entitled project was having many primary and secondary objectives to achieve the objectives are as follows ------PRIMARY OBJECTIVES : To identify the market standing of the airtel limited with its competitive telecom companies. To study and analyze the perception status and the movement of the airtel services along with its competitors . SECONDARY OBJECTIVES : Find out the potential market and also prefer to write for competitive. Find out the potential customers, who can be very beneficial for the company. To make aware the customer about companys services and to educate them and aware about the different benefits . To have a healthy conversation with custumer to build a good relationship, to find out the problem related with the service of the company. To motivate the customer towards companys services and to collect the meaningful suggestion for company betterment.

 To formulate the competitive marketing strategies to have better approach to the customer. To study the present, past and response of customer towards the services of airtel.

OBJECTIVE OF THE STUDY

OBJECTIVE OF THE STUDY

To study the consumer trends in telecommunication sector. To study consumer decision-making & preferences.

To study marketing strategies adopted by Airtel. To study the level of customer satisfaction in Airtel. To study the market potential. To study customer purchase decision behaviour. To understand the needs of different consumer segments. Comparative study of different mobile companies.

COMPANY PROFILE

COMPANY PROFILE

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Telecom giant Bharti Airtel is the flagship company of Bharti Enterprises. The Bharti Group, has a diverse business portfolio and has created global brands in the telecommunication sector. Bharti has recently forayed into retail business as Bharti Retail Pvt. Ltd. under a MoU with Wal-Mart for the cash & carry business. It has successfully launched an international venture with EL Rothschild Group to export fresh agri products exclusively to markets in Europe and USA and has launched Bharti AXA Life Insurance Company Ltd under a joint venture with AXA, world leader in financial protection and wealth management. Airtel comes to you from Bharti Airtel Limited, Indias largest integrated and the first private telecom services provider with a footprint in all the 23 telecom circles. Bharti Airtel since its inception has been at the forefront of technology and has steered the course of the telecom sector in the country with its world class products and services. The businesses at Bharti Airtel have been structured into three individual strategic business units (SBUs) - Mobile Services, Airtel Telemedia Services & Enterprise Services. The mobile business provides mobile & fixed wireless services using GSM technology across 23 telecom circles while the Airtel Telemedia Services business offers broadband & telephone services in 95 cities. The Enterprise services provide end-to-end telecom solutions to corporate customers and national & international long distance services to carriers. All these services are provided under the Airtel brand

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OUR BRAND
Airtel was born free, a force unleashed into the market with a relentless and unwavering determination to succeed. A spirit charged with energy, creativity and a team driven to seize the day with an ambition to become the most globally admired telecom service. Airtel, in just ten years of operations, rose to the pinnacle of achievement. As India's leading telecommunications company Airtel brand has played the role as a major catalyst in India's reforms, contributing to its economic resurgence. Today we touch peoples lives with our Mobile services, Telemedia services, to connecting India's leading 1000+ corporates. We also connect Indians living in USA, UK and Canada with our callhome service.

OUR VISION & PROMISES By 2010 Airtel will be the most admired brand in India: Loved by more customers Targeted by top talent Benchmarked by more businesses We at Airtel always think in fresh and innovative ways about the needs of our customers and how we want them to feel. We deliver what we promise and go out of our way to delight the customer with a little bit more

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Corporate Responsibility at Bharti Airtel

At Bharti, CSR is a way of life. Each department and employee strives to be sensitive to the stakeholders and environment within their work context. Bharti encourages employees to take decisions and design business-linked processes that are sensitive to communities and environment. Corporate Social Responsibility (CSR) in Bharti encompasses much more than only social outreach programs. It is an integral part of the way Bharti conducts its business. The essence of Bhartis commitment to Corporate Social Responsibility is embedded in the Corporate Values, which stem from its deepest held beliefs. These Values are: 1. To be responsive to the needs of our customers 2. To trust and respect our employees 3. To continuously improve our services innovatively and expeditiously 4. To be transparent and sensitive in our dealings with all stakeholders We encourage our employees to take decisions and design business processes, keeping in mind the following: Ethics, fairness and being correct Meeting and going beyond compliances and legal requirements Showing respect and sensitivity towards stakeholders and communities, and Nurturing the environment We practice our CSR beliefs and commitments through a three-pronged approach: Engaging with stakeholders Ensuring stakeholder sensitive policies and practices Undertaking programs for our employees, community and environment

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EMPLOYEES
We believe that one of the most important drivers of growth and success for any organization is its people. At Bharti Airtel, our Mantra for employee delight focuses on 5 Ps- People, Pride, Passion, Processes and Performance. Bharti Airtel has been recognized among the Best Employers in the Country for two successive years being 14th in 2003 & jumping ahead of several other large conglomerates to an enviable position of the 2nd Best Employer in the Country in 2004. This is a clear demonstration & acknowledgement of the robust, progressive, people as well as business aligned Human Resource practices, which the organization has developed and implemented remarkably in a very short span of time. Bharti Airtel follows an open door policy to approach the management, which helps resolve issues with mutual agreements. We encourage people to stand up against any unfair treatment for which we have the Office of the Ombudsman, where employees can raise any issues regarding business and workplace conduct. Bharti ensures transparency through the various communication policies, strategies and plans. . Regular Employee Communication Forums provides a platform for the employees to raise issues that require resolution. Our leaders strongly believe in facilitating and initiating activities that help employees manage their health and well-being. Our focus always remains to redefine leadership; we develop leaders who enable performance and inspire their people to unleash their potential. Our people orientation reflects in our vision of being targeted by top talent, and a key aspect of our business focus building a best-in-class leadership team that nurtures talent at every level. Employee friendly HR policies have been put in place, which amply reflect the organizations concern for its people. Some typical examples of these policies and practices include a family-day at office, half day leave for birthdays, gifts for anniversaries, compulsory 10 days off, festival celebration with family, no official meetings on weekends, five day weeks, concierge services, call centre engagement programs etc. These care policies and practices are applied across the organizational levels without any discrimination. From self-management workshops to aerobics sessions, yoga classes to provision of relaxation/meditation rooms, we ensure that every employee keeps a check on his/her fitness. Tie-ups with leading health service organizations enable our employees to undertake periodical health check-ups depending upon their age. This facility is also extended to employee family members at discounted rates. The company provides Flexible Group Mediclaim insurance to all employees, covering all kinds of illnesses, accidents and hospital coverage for serious ailments. Apart from these specific

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engagements, we regularly organize health check up camps, eye check-up camps and stress management sessions. Some of our offices have opened gymnasiums/fitness facilities to ensure that the fitness fanatics do not have to worry about time constraints to remain fit. At many of our locations, we have hired psychologists who undertake personal counselling sessions for employees. Bharti Airtel offers a flexible compensation structure to its employees wherein the employees have the flexibility to structure their fixed component of their compensation according to their requirements within the ambit of legislation. Our Performance Linked Incentive (PLI) schemes are linked with the variable component of our compensation structure. This component is linked to both the individual performance against his/ her set KRAs (Key Result Areas) and the overall performance of the business entity that an employee belongs to. Our leaders and managers understand the need to bring clarity to employees about how their roles, goals and actions align the realization of organizations vision and goals. The mechanisms like Performance Management System (PMS) and Talent Management Process (TMP) are the key sources of identifying the training needs of the employees and check to competency levels for promotion. Environment, Health and Safety At Bharti we believe in the philosophy to refuse, reduce, reuse and recycle. The company has taken many initiatives in this regard, both within the offices for the benefit of our employees; and for outside world for the convenience of the people Few examples of the initiatives taken are mentioned below: (a) Most of the new Airtel buildings recycle waste water for sanitary and cooling of equipment purposes e.g. DG sets and AC systems. These buildings also have rain water harvesting systems for ground water replenishment where appropriate. (b) All Airtel offices have energy efficient light fittings and DG sets. We also ensure automation that enables energy savings in our buildings. Building Management System (BMS) Intelligent Building concept is being followed in all the new Airtel building and campuses that are coming up. The BMS controls The Heating, Ventilation and Airconditioning (HVAC) system,, electricity load management, water management, parking management, security and safety systems to ensure an efficiently run building on optimal resources. (c) New buildings also incorporate the concept of and Energy Wheel which optimises energy efficiency in buildings. The AC system in our buildings adds a certain amount of fresh air periodically; In the process of adding this fresh air the cool air within the

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building vents out which may result into higher usage of energy to bring the cooling/ temperature back. The Energy Wheel concept ensures that as we bring the fresh air in it is pre-cooled thereby optimizing energy efficiency. (d) Air quality is checked periodically in all Bharti Airtel offices, and based on the results, duct cleaning, carpet cleaning, chair and sofa shampooing is undertaken. Water quality is also monitored in cooling towers for DG sets and Air Conditioner systems so that water born diseases such as legionella, etc. are avoided. (e) Use of air curtains on major office exits and double glazing also results in significant energy saving. (f)At the time of oil change in DG sets etc. the discarded oil for disposal is only sent to companies/ vendors approved by the Central Pollution Control Board (CPCB) for proper disposal as per CPCB approved processes. All Bharti Airtel offices follow the basic requirements specified by the Pollution Control Board) and ensure statutory compliance. (g) All Bharti Airtel offices have fire alarm systems. Periodic fire drills are carried out in Bharti Airtel offices as a practice. All Airtel offices are provided with First Aid boxes and have identified people as First Aid specialists. Community Initiatives Corporate Social Responsibility is embedded in, and built upon, the stated values of Bharti the institution. These values guide all our activities and each employee is encouraged to take decisions and design business-linked processes that are sensitive to communities and environment. We have an obligation to fulfill to society and the communities in which we operate, and help improve the quality of life for everyone, today and in the future. Based on the basic guidelines and direction provided in the Code of Conduct, Bharti has undertaken many community programs. Bhartis contribution to society is structured through two channels, namely, (a) Bhartis Corporate Social Responsibility (CSR) Initiatives, including initiatives undertaken by way of employee mobilization as well as running environment related programs; and (b) Bharti Foundation, a separate vehicle established in 2000 to lead the CSR agenda of Bharti Group of Companies

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BUSINESS DIVISIONS

Bharti Airtel offers GSM mobile services in all the 23-telecom circles of India and is the largest mobile service provider in the country, based on the number of customers.

The group offers high speed broadband internet with a best in class network. With Landline services in 94 cities we help you stay in touch with your friends & family and the world.

The group focuses on delivering telecommunications services as an integrated offering including mobile, broadband & telephone, national and international long distance and data connectivity services to corporate, small and medium scale enterprises

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The Company compliments its mobile and broadband & telephone services with national and international long distance services. It has over 35,016 route kilometers of optic fibre on its national long distance network. For international connectivity to east, it has a submarine cable landing station at. For international connectivity to the west, the Company is a member of the South East Asia-Middle East-Western Europe 4 (SEA-ME-WE-4) consortium along with 15 other global telecom operators.

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Broadband & Internet

Broadband Advantage Now experience the internet in a new way with Airtel Broadband. It is powered by DSL technology which gives you blazing-fast; secure Internet access as soon as you switch on your computer . We give you the power of limitless discovery on Internet from shopping to banking, paying bills to making new friends and not to mention endless fun & learning for children. Switch today to airtel Broadband! Why wait to connect With Airtel Broadband, the internet is always ON, always available! No more waiting for dial-up to connect. You are ready to use the internet as soon as you switch on your computer. Power Surfing With speed of up to 2Mbps, feel the excitement of doing more on Internet. Shop, download MP3, exchange heavy files and chat at an enviable speed, all thanks to an extensive Broadband Services infrastructure. No more disconnections in the middle of download. Surf while you talk! No more missed calls or blocked telephone lines while using the internet. Airtel Broadband Services connection does not block existing telephone lines and allows one family member to use the phone while another member surfs the net. No more missed calls and no more fight!

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Robust installation Our world class infrastructure & end-to-end digital network of underground copper cable lines ensure an extremely robust connection that eliminates the risk of damage. Superior server technology and a dedicated port provide total security to data storage and information exchange through the Internet. 24x7 customer support We are just an email or a phone call away. Round-the-clock, 365 days a year! To help us serve you even better, we look forward to your feedback. Your suggestions for improvement, brickbats and even an occasional bouquet, will only help us realize our promise! Click here for the Airtel Broadband Services Helpline number in your City.

Hot and Happening Speed On Demand With our innovative service, you can enjoy a dedicated speed of up to 2 Mbps without having to change your subscription plan. Whats more, you only pay for what you use. With a view to simplify the process for our customers, we have set up a fully automated online process that delivers bandwidth upgradation as and when required. Key benefits of Speed On Demand Upgrade to higher bandwidth instantly No need to change your tariff plan Pay only as much as you use

Entertainment On Airtel

Choose your style. Now even for your homepage.

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Unlimited games on demand @ Rs.99 per month. Experience Wiz kid on Airtel..

Just log-in with your Airtel Broadband ID and unleash great music at great prices.

Airtel brings you a wide range of high-quality and exciting games in alliance with India games. Just login with your Airtel Broadband ID and start playing. Reach Airtel Our aim is to help you as quickly and as efficiently as possible at first point of contact. In this section you'll find an opportunity to email us directly, useful telephone numbers, quick links to store locations, payment centers and much more. Customer Support

As an Airtel customer you have the convenience to access our 24-hr customer service number from any part of India, from your Airtel phone. What's more, you can access us from your landline too. Payment Centres

Choose from a host of convenient payment options only with Airtel. Walk into any Airtel relationship centre and make your payment by cash or credit card. Drop a cheque at any of our conveniently located cheque drop boxes.

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Airtel Relationship Centres

Need to get yourself a new Airtel connection, subscribe to any of our value added services and get more information on them, pay your bill or get a new handset? Visit the nearest Airtel Relationship Centre.

Technology Airtel Broadband is powered by DSL technology DSL provides blazing-fast, secure Internet access and can be delivered to both homes and to businesses. Delivered right through a regular telephone line, data rates can vary from 128Kb to 8Mb per second depending on the type and cost of the service. Instant Access Digital Subscriber Line (DSL) technology provides instant Internet and network access at speeds up to 50 times faster than a 28.8Kbps modem on a standard analogue phone line. There are no dial-up delays, no busy signals. What used to take minutes or hours to download, will now take just seconds or minutes. Experience Multimedia With DSL Internet Service you can download graphics-heavy files, large documents, software, photos, email attachments, and more, instantly. It's perfect for real-time interactive multimedia, broadcast quality video, distance learning, and video-ondemand. And because DSL Internet Service sends data and voice over the same line, you can talk on the phone while you are online. Never Wait! It's also a service that you don't have to dial into. Just turn on your PC, open a browser, and you're ready to surf. (No more hearing those annoying beeps and tones, then waiting to be connected. You're always connected whenever you wish to!). Beyond Internet access, DSL also has the ability to carry additional phone lines and entertainment services using the same pair of wires. High-speed Internet access through DSL, changes your Internet experience perceptibly.

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Services
Video Surveillance Solutions Control your business. 24x7

Now you can observe your office, warehouse, shop and staff from your PC from anywhere and at all times, with the Video Surveillance Solution. BusinessLive@24X7 With BusinessLive@24X7, it's like being there! 24 hours a day, 365 days a year. BusinessLive@24X7 is a PC based multi-channel system that utilises the most advanced digital video compression technologies to bring you the highest still picture quality and video clarity. It is a custom-made, remote, digital Video Surveillance Solution, that will let you keep an eye from your office or home on what is going on at a specific location. It ensures safety and peace of mind along with quality service, technical warranty and maintenance.

Unmatched features empowering businesses Virtual Control

Even when you are away from your premises, you can observe, record and be in control. BusinessLive@24X7 makes multiple viewing possible. While you are travelling, you can see your business run smoothly from a distance 16 Videos on One Screen

Click on different display mode icons and monitor live! Activate the built-in switcher and have different cameras display sequentially, one after the other, as per your time setting, in single or multiple windows. Monitor multiple sites with multiple cameras, simultaneously. Digital Video Playback

Use your PC like a digital video player to playback the recorded video or browse frame by frame. And just in case you want to review something before the recording is over, you can! Your recording will continue, virtually uninterrupted. You can playback one camera at a time, or even multiple cameras (up to 4). Secure and Reliable

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BusinessLive@24X7 is completely network ready and you can set up all levels of passwords and access within the network or use the two-level, multiple-user password protection Give yourself the advantage

You will be delighted to know that adding these huge benefits to your business does not mean huge costs. All you need is our Video Surveillance Solution that comes at a surprisingly low investment.

In Touch Create and share your precious moments with your loved ones with In Touch. In Touch is more fun and personal than email or voicemail. Its a great way to reach out to your loved ones who are far away. What is In Touch? In Touch is a great way to stay connected. It is an easy-to-use personal communications service that connects you with your friends and family, using a PC or a TV and a Broadband (high speed) Internet connection. What can I do with In Touch? Video Message & Audio Message After years of using e-mail, finally, heres a really unique way to communicate with friends, family & even colleagues using In Touch services. Our service allows you to create, review, send & receive video messages. It also allows you to create, review, send & receive Audio messages Video Call & Voice Call Enjoy full motion video and voice telephony with a service, thats as simple to use as your phone. Our service allows you to make or receive Video/Voice Calls to In Touch users quickly and easily. Video Postcard TM Here's a really unique way to communicate with family, friends, business associates & colleagues, even if they're not In Touch subscribers. Our service allows you to create, review and send a Video Post Card TM to any valid e-mail Id. They get an e-mail that links to your Video Post Card TM recorded in full motion video and sound.

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Security An important feature of the In Touch system is the security of your communications. Our secure network ensures that your profile information remains completely confidential. In Touch will not publish your name in any directory (online or print). You can receive messages or calls from family and friends only. In Touch does not offer the option to find-a-friend (common among many community solutions) as this has proven to be a source of abuse and spam.

Requirement you must be a registered member to use this service.

Tariffs
Experience a Broadband life and discover endless possibilities. Download your favourite songs, play exclusive games, send or receive large documents photos as email attachments on a lightening fast, secure & reliable Internet connection. With Airtels high speed Broadband, enjoy superior way to access rich information of internet with enough fun & learning for everyone. To find out the Airtel broadband & internet tariffs available in your city, please select your location from the drop-down. Broadband internet definition as per the TRAI -Always on connection with minimum download speed of 256 kbps.

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Wifi
What is Wifi ? Wife is a wireless technology brand by the Wifi Alliance that gives you a host of fantastic advantages ranging from reliability to security. The simple installation procedure gives you access to unsurpassed performance instantly. Common applications for Wife include Internet and VoIP phone access, gaming, and network connectivity for consumer electronics such as televisions, DVD players, and digital cameras. Just like cell phones, televisions and radios, the wireless network also uses radio waves. Wireless technology is clearly the future of networking.

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Current Situation In Market

Highlights for Second Quarter ended September 30, 2008 Overall customer base at 7.99 crore. Highest ever-net addition of 82.11 lakh customers in a single quarter. Market leader with a market share of all India wireless subscribers at 24.6%. Total Revenues of Rs. 9,020 crore (up 42% Y-o-Y). EBITDA of Rs. 3,699 crore (up 37% Y-o-Y). Cash Profit of Rs. 3,125 crore (up 20% Y-o-Y). Net Income of Rs. 2,046 crore (up 27% Y-o-Y).

New Delhi, India, October 31, 2008: Bharti Airtel Limited (Bharti Airtel or the company) today announced its audited US GAAP results for the second quarter and half year ended September 30, 2008. It has once again maintained its strong growth momentum. The consolidated total revenues for the quarter ended September 30, 2008 of Rs.9,020 crore grew by 42% and EBITDA of Rs. 3,699 crore grew by 37% on a year on year basis. The net income for the quarter ended September 30, 2008 was Rs. 2,046 crore, a growth of 27% over last year. Bharti had 7.99 Cr subscribers, as on September 30, 2008, an increase in the total subscriber base of 57% over the corresponding period last year and maintained its leadership position through an improved market share of all India wireless subscribers at 24.6% as on September 30, 2008, up from 23.4% corresponding to the same period of last year. Commenting on the results and performance, Mr. Sunil Bharti Mittal, Chairman & Managing Director, Bharti Airtel Limited, said With record customer additions every month, Airtel continues to consolidate its leadership position in the market. The successful launch of DTH service has provided another opportunity to the brand to strengthen its connect with the customers, while generating a new revenue stream.

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Bharti Airtel Limited - Summary of Consolidated Financial Statements represents Consolidated Statement of Income as per United States Generally Accepted Accounting Principles (US GAAP)

(A mount in Rs. Cr, expert ratios) Particulars Total revenues EBITDA Cash profit from operations Income before income taxes Net income Quarter Ended Sept. 2008 Sept. 2007 Audited Audited 9,020 3,337 3,699 2,710 3,125 2,597 1,972 1,747 2,046 1,614 Y-o-Y Growth 42% 37% 20% 13% 27%

Operating Highlights (Figures in nos, except ratios) Sept. 30, June 30, Particulars Unit 2008 2008 Customers on our Network Mobile Services 000's 77,479 69,384 Tel-media Services 000's 2,509 2,394 Total 000's 79,989 71,777

Q-on-Q Growth

Sept. 30, 2007

Y-on-Y Growth

12% 5% 11%

48,876 2,075 50,951

59% 21% 57%

Market Share of Major mobile Operators as of september 2008 (%)

Mobile Operators Bharti Airtel Reliance Communication Vodafone Essar BSNL Idea Cellular Tata Teleservices

Market Share 24.96 18.22 17.76 12.19 9.88 9.54

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Others

7.45

Investor Relations
Creating value for our customers, employees, investors, partners, vendors and the society at large lies at the root of our fundamental business strategy. Our core principles of trust and transparency have come a long way in helping us develop and nurture longterm relationships with our key stakeholders. Our performance exudes from our belief in and commitment to the telecom sector; and translates into creating innovative exciting opportunities for one and all. We are one of Indias leading providers of telecommunication services with a nationwide presence in all the 23 licensed jurisdictions (also known as Telecom Circles). We served an aggregate of 82,748,790 customers as of October 31, 2008; of whom 80,199,747 subscribe to our GSM services and 2,549,043 use our Telemedia Services either for voice and/or broadband access delivered through DSL. We are the largest wireless service provider in the country, based on the number of subscribers as of October 31, 2008. We also offer an integrated suite of telecom solutions to our enterprise customers, in addition to providing long distance connectivity both nationally and internationally. We have recently forayed into media by launching our DTH Services in October 2008. All these services are rendered under a unified brand Airtel.

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Fact sheet
Name Business Description Bharti Airtel Limited. Provides GSM mobile services in all the 23 telecom circles in India, and was the first private operator to have an all India presence. Provides tele-media services (fixed line and broadband services through DSL) in 95 cities in India. July 07, 1995, as a Public Limited Company Rs. 270,122 million (year ended March 31, 2008Audited) Rs. 184,202 million (year ended March 31, 2007Audited)
As per Indian GAAP Accounts

Established Proportionate Revenue

Proportionate EBITDA

Rs. 114,018 million (year ended March 31, 2008 Audited) Rs. 74,407 million (year ended March 31, 2007 Audited)
As per Indian GAAP Accounts

Shares in Issue Listings Market Capitalisation

1,898,101,604 as at September 30, 2008 The Stock Exchange, Mumbai (BSE) The National Stock Exchange of India Limited (NSE) Market Capitalisation (as on January 05, 2009) Approx. Rs. 1,301 billion Closing BSE share price = Rs. 685.35

Customer Base Operational Network

80,199,747 GSM mobile and 2,549,043 Telemedia Customers (status as on October 31, 2008) Provides GSM mobile services in all the 23 telecom circles in India, and was the first private operator to have an all India presence. Provides telemedia services (fixed line) in 95 cities in India.

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Companys Current Situation

Bharti Airtel is one of Indias leading providers of telecommunication services with a nationwide presence in all the 23 licensed jurisdictions (also known as Telecom Circles). We served an aggregate of 82,748,790 customers as of October 31, 2008; of whom 80,199,747 subscribe to our GSM services and 2,549,043 use our Telemedia Services either for voice and/or broadband access delivered through DSL. We also offer an integrated suite of telecom solutions to our enterprise customers, in addition to providing long distance connectivity both nationally and internationally. We have recently forayed into media by launching our DTH Services in October 2008. All these services are rendered under a unified brand Airtel
.

The company also deploys, owns and manages passive infrastructure pertaining to telecom operations under its subsidiary Bharti Infratel Limited. Bharti Infratel owns 42% of Indus Towers Limited. Bharti Infratel and Indus Towers are the two top providers of passive infrastructure services in India Company shares are listed on The Stock Exchange, Mumbai (BSE) and The National Stock Exchange of India Limited (NSE) Partners The company has a strategic alliance with SingTel. The investment made by SingTel is one of the largest investments made in the world outside Singapore, in the company. The companys mobile network equipment partners include Ericsson and Nokia. In the case of the broadband and telephone services and enterprise services (carriers), equipment suppliers include Siemens, Nortel, Corning, among others. The Company also has an information technology alliance with IBM for its group-wide information technology requirements and with Nortel for call center technology requirements. The call center operations for the mobile services have been outsourced to IBM Daksh, Hinduja TMT, Teletech & Mphasis.

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Managing Directors profile

Sunil Bharti Mittal
Chairman & Managing Director since October 2001 Board director since: July 1995 Age: 51 years Sunil Bharti Mittal is the Chairman & Managing Director of Bharti Airtel Ltd. head quartered at New Delhi, India. Bharti Airtel, Indias leading private integrated telecom company, has been at the forefront of the telecom revolution and has transformed the telecom sector with its world-class services built on leading edge technologies. Bharti has been a pioneering force in the telecom sector and today enjoys a strong nationwide presence. Sunil started his career at a young age of 18 after graduating from Punjab University in India and founded Bharti, with a modest capital, in the year 1976. Today, at 49 he heads a successful enterprise, amongst the top 5 in India, with a market capitalization of over US$ 40 billion and employing over 30,000 people Bharti has grown successfully in partnership with various leading companies of the world - Singapore Telecom, Vodafone, Warburg Pincus, British Telecom to name a few. The other businesses in the group are consumer electronics (Beetel), life insurance with AXA of France (Bharti AXA), and a joint venture with the Rothschild group to develop Indian horticulture and export fruits and vegetables to the world (FieldFresh) Bharti has recently entered into a JV with Wal-Mart for setting up supply chain, logistics and cash and carry to support the burgeoning retail market in India. Sunil is an alumnus of Harvard Business School, MA, USA. Sunil has been conferred one of the highest civilian award Padma Bhushan Sunil has been conferred the degree of Doctor of Science (Honoris Causa) by the G B Pant University of Agriculture & Technology.

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Awards and Recognitions

August 7, 2008: Bharti Airtel adjudged the 'Best Cellular Service Provider' and 'Best Broadband Service Provider' at the 2008 V&D 100 Awards. July 11, 2008: Bharti Airtel Limited voted as India 's most innovative company , in a survey conducted by The Wall Street Journal . Bharti Airtel was ranked as the most innovative in responding to customer needs in a survey conducted to determine Asia 's 200 most-admired companies. June 13, 2008: Sunil Bharti Mittal received U.S.-India Business Council's 'Global Vision' Award . The prestigious award recognizes his entrepreneurial zeal and contribution to Indian business. June 11, 2008: Airtel voted the 2nd Most Trusted Service Brand in the Annual Economic Times-Brand Equity, Most Trusted Brands survey June 2008: Airtel wins the Platinum Trusted Brand Award in the Mobile Service provider category in the Reader's Digest Asia Trusted Brands Survey . May 26, 2008: Airtel was honoured with the prestigious 'Wireless Service Provider of the Year' award at the 2008 Frost & Sullivan Asia Pacific ICT Awards. April 17, 2008: Bharti Airtel had the distinction of being amongst 20 companies worldwide and the only one in India , to be honoured with the 'Gallup Great Workplace Award'. April 8, 2008: Airtel adjudged as the 'Best Carrier India' at the Telecom Asia Award 2008 . The Telecom Asia Awards, constituted by the Telecom Asia magazine, seek to recognize outstanding performances of companies and individuals in the Asian telecommunication industry based on criteria such as financials, market standing, technology and corporate governance.

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Shares
The equity shares of Bharti Airtel are currently listed on National Stock Exchange of India Limited (NSE) and The Stock Exchange, Mumbai, (BSE). Bharti Airtel offered 185,336,700 equity shares in the initial public offering (IPO) and raised Rs 8,340.15 million through this process. The shares were over subscribed 2.56 times. With this IPO, Bharti Airtel established certain important landmarks in the history of the Indian capital market. Together with being the first 100% book building process that this country has seen, the listing was completed within a record time of ten working days. of the close of the issue. Moreover the process of allotment and issue of shares was also completed within one day of the last day of pay-in. The book running lead managers for the IPO were JM Morgan Stanley and DSP Merrill Lynch and the registrars to the issue was Karvy Consultants Limited.

34

Organisation Structure
As an outcome of a restructuring exercise conducted within the company; a new integrated organizational structure has emerged; with realigned roles, responsibilities and reporting relationships of Bhartis key team players. With effect from March 01, 2006, this unified management structure of 'One Airtel' will enable continued improvement in the delivery of the Groups strategic vision.

35

Corporate Governance
Bharti Airtel Limited firmly believes in the principles of Corporate Governance and is committed to conduct its business in a manner, which will ensure sustainable, capital-efficient and long-term growth thereby maximising value for its shareholders, customers, employees and society at large. Companys policies are in line with Corporate Governance guidelines prescribed under Listing Agreement/s with Stock Exchanges and the Company ensures that various disclosures requirements are complied in letter and spirit for effective Corporate Governance. During the financial year 2003-04, your Company was assigned highest Governance and Value Creation (GVC) rating viz. Level 1 rating by CRISIL, which indicates that the companys capability with respect to creating wealth for all its stakeholders is the highest, while adopting sound Corporate Governance practices.This rating was reaffirmed by CRISIL on April 20,2006.

Board of Directors Audit Committee Human Resource (HR)/ Remuneration Committee ESOP Compensation Committee Investor Grievance Committee Memorandum of Association Article of Association

Code Of Conduct

36

Board of Directors
The board of directors of the Company has an optimum mix of executive and nonexecutive directors, which consists of two executive and fourteen non-executive directors.The Chairman and Managing Director, Mr. Sunil Bharti Mittal, is an Executive Director and the number of Independent Directors on the Board is 50% of the total board strength. The independence of a director is determined on the basis that such director does not have any material pecuniary relationship with the Company, its promoters or its management, which may affect the independence of the judgment of a Director. The board members possess requisite skills, experience and expertise required to take decisions, which are in the best interest of the Company. The composition of the Board is as under: 1. 2. 3. 4. 5. 6. 7. 8. 9.
Sunil Bharti Mittal Rajan Bharti Mittal Akhil Gupta Rakesh Bharti Mittal Chua Sock Koong N. Kumar Kurt Hellstrom Mauro Sentinelli Paul OSullivan

10. Pulak Chandan Prasad 11. Bashir Abdulla Currimjee 12. Ajay Lal 13. Arun Bharat Ram 14. Manoj Kohli

37

Audit Committee
Composition of Audit Committee The Audit Committee of Bharti Airtel Limited comprises of following six members, two-third of which are independent directors. S. No. Member Director Category N.Kumar (Chairman) 1. Independent Director Rakesh Bharti Mittal 2. Non-Executive Director Arun Bharat Ram 3. Independent Director Ajay Lal 4. Independent Director Pulak Chandan Prasad 5. Independent Director Mr. Quah Kung Yang 6. Non-Executive Director Secretary The Company Secretary or his/her nominee act as the Secretary of the Committee. Meetings The Committee shall meet at least four times a year. The time gap between any two meetings shall be less than 4 months. Annual General Meeting The Committee Chairman shall attend the Annual General Meeting. Key Functions The key functions of the Audit Committee include the following: Oversight of the Companys financial reporting process and the disclosure of its financial information, to ensure that the financial statements are true and accurate and provide sufficient information. Recommending to the Board, the appointment, re-appointment and, if required, the replacement or removal of the statutory auditor and the fixation of their audit fees. Approval of payment to statutory auditors for any other services rendered by the statutory auditors

38

Reviewing, with the management, the annual financial statements before submission to the Board for approval, with particular reference to: Matters required to be included in the Directors Responsibility Statement, which forms part of the Boards report in terms of clause (2AA) of section 217 of the Companies Act, 1956. Changes, if any, in accounting policies and practices and reasons for the same. Major accounting entries involving estimates based on the exercise of judgment by management. Significant adjustments made in the financial statements arising out of audit findings. Compliance with listing and other legal requirements relating to financial statements. Disclosure of any related party transactions. Qualifications in the draft audit report. 1. Reviewing, with the management, the quarterly financial statements before submission to the Board for approval. 2. Reviewing, with the management, performance of statutory and internal auditors, adequacy of the internal control systems. 3. Reviewing the adequacy of internal audit function including the structure of the internal audit department, staffing and seniority of the official heading the department, availability and deployment of resources to complete their responsibilities and the performance of the out-sourced audit activity. 4. Discussion with internal auditors with respect to the coverage and frequency of internal audits as per the annual audit plan, nature of significant findings and follow up thereof. 5. Reviewing the findings of any internal investigations by the internal auditors into matters where there is suspected fraud or irregularity or a failure of internal control systems of a material nature and reporting the matter to the Board. 6. Obtaining an update on the Risks Management Framework and the manner in which risks are being addressed. 7. Discussion with statutory auditors before the audit commences, about the nature and scope of audit as well as post-audit discussion to ascertain any area of concern. 8. Review the reasons for substantial defaults in the payment to the depositors, debenture holders, shareholders (in case of non payment of declared dividends) and creditors, if any. 9. To review the functioning of the Whistle Blower mechanism and the nature of complaints received by the Ombudsman. 10. Carrying out any other function as is mentioned in the terms of reference of the Audit Committee.

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11. The un-audited/ audited quarterly financial results of the Company are also specifically reviewed by the Audit Committee before these are submitted to the Board for approval. Minutes of each Audit Committee meeting are placed before the Board for noting. 12. The Audit Committee is empowered, pursuant to its terms of reference, to: 13. Investigate any activity within its terms of reference and to seek any information it requires from any employee. 14. Obtain legal or other independent professional advice and to secure the attendance of outsiders with relevant experience and expertise, when considered necessary. 15. Bharti Airtel Limited has instituted internal processes and systems to insure that the Audit Committee has access to all the material information, and reviews on a regular basis the following: 16. Management discussion and analysis of financial condition and results of operations. 17. Statement of significant related party transactions (as defined by the audit committee), submitted by management. 18. Management Certificates on Internal Controls and Compliance with laws & regulations, including any exceptions to these. 19. Management letters / letters of internal control weaknesses issued by the statutory auditors. 20. Internal audit reports relating to internal control weaknesses. 21. The appointment, removal and terms of remuneration of the Chief Internal Auditor. 22. The financial statements, in particular the investments, if any made by the unlisted subsidiary companies. 23. The Audit Committee is also presented with the following information on related party transactions (whenever applicable): 24. A statement in summary form of transactions with related parties in the ordinary course of business. 25. Details of material transactions with related parties, which are not in the normal course of business. 26. Details of material transactions with related parties or others, which are not on an arms length basis along with managements justification for the same.

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Human Resource (HR)/ Remuneration Committee

Composition In compliance with the non- mandatory requirements of Clause 49 of the Listing Agreement, Bharti Airtel has constituted a Remuneration Committee (which is known as HR Committee). The HR Committee comprises of following six non-executive directors, out of which four members including the chairman of the committee are independent directors. S. No. 1. 2. 3. 4. 5. 6. Member Director
Mr. Kurt Hellstrom(Chairman) Mr. Mauro Sentinelli Mr. Paul O Sullivan Mr. Rajan Bharti Mittal Mr. Bashir Abdulla Currimjee Mr. Nikesh Arora

Category Independent Non-Executive Director Independent Non-Executive Director Non-Executive Director Non-Executive Director Independent Non-Executive Director Independent Non-Executive Director

Secretary The Company Secretary or his/her nominee act as the Secretary of the Committee. Key Functions The key functions of the HR Committee includes the followings: Attraction and Retention strategies for employees. Employees Development Strategies. Compensation (including salaries and salary adjustments, incentives/benefits bonuses, stock options) and performance targets for the Chairman and Managing Director (CMD) and Joint Managing Directors (JMDs) Executive Directors. All Human Resources related issue. Other key issues / matters as may be referred by the Board or as may be necessary in view of Clause 49 of the Listing Agreement or any statutory provisions.

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ESOP Compensation Committee Composition of ESOP Compensation Committee The ESOP Compensation Committee of the Board is constituted in accordance with SEBI (Employee Stock Option Scheme and Employee Stock Purchase Scheme) Guidelines, 1999. The Committee comprises of following six members of whom four are independent and all are non-executive. S. No. 1. 2. 3. 4. 5. 6. Member Director
Mr. Rajan Bharti Mittal (Chairman) Mr. Bashir Currimjee Mr. Paul O Sullivan Mr. Mauro Sentinelli Mr. Kurt Hellstrom Mr. Nikesh Arora

Category Non-Executive Director Independent Non-Executive Director Non-Executive Director Independent Non-Executive Director Independent Non-Executive Director Independent Non-Executive Director

Secretary The Company Secretary or his/her nominee act as the Secretary of the Committee. Key Responsibilities The key responsibilities of the ESOP Compensation Committee include the following: To formulate ESOP plans and decide on future grants. To formulate terms and conditions on followings under the present two Employee Stock Option Schemes of the Company the quantum of option to be granted under ESOP Scheme(s) per employee and in aggregate; the conditions under which option vested in employees may lapse in case of termination of employment for misconduct; the exercise period within which the employee should exercise the option and that option would lapse on failure to exercise the option within the exercise period; the specified time period within which the employee shall exercise the vested options in the event of termination or resignation of an employee; the right of an employee to exercise all the options vested in him at one time or at various points of time within the exercise period;

42

the procedure for making a fair and reasonable adjustment to the number of options and to the exercise price in case of rights issues, bonus issues and other corporate actions; the grant, vest and exercise of option in case of employees who are on long leave; and the procedure for cashless exercise of options. Any other matter, which may be relevant for administration of ESOP Schemes from time to time To frame suitable policies and systems to ensure that there is no violation of Securities and Exchange Board of India (Insider Trading) Regulations, 1992 and Securities and Exchange Board of India (Prohibition of Fraudulent and Unfair Trade Practices relating to the Securities Market) Regulations, 1995. Other key issues as may be referred by the board.

Investor Grievance Committee Composition of Investor Grievance Committee The Investor Grievance Committee of the Board is constituted in accordance with Clause 49 of the Listing Agreement. The Committee comprises of following four members of whom three members including the Chairman, are non-executive directors. S. No. 1. 2. 3. 4. Member Director
Mr. Akhil Gupta(Chairman) Mr. Manoj Kohli Mr. Rajan Bharti Mittal Mr. Rakesh Bharti Mittal

Category Non-Executive Director CEO & Joint Managing Director Non-Executive Director Non-Executive Director

Secretary The Company Secretary or his/her nominee act as the Secretary of the Committee.

43

Key Responsibilities The key Responsibilities of the Investor Grievence Committeee includes the following: Redressal of shareholders and investor complaints e.g. transfer of shares, non receipt of balance sheet, non receipt of declared dividend etc. Formulation of procedures in line with the statutory guidelines to ensure speedy disposal of various requests received from shareholders from time to time. Issue of duplicate share certificates in place of original certificate, which may be lost/ torn/ mutilated; To approve and effect transmission of shares arising as a result of death of the sole/ any one joint shareholder Meetings The meetings of the Committee are genrally held on a monthly basis, to review and ensure that all investor grievances are redressed within a period of 7-10 days from the date of receipt of complaint. These, however, do not include complaints/requests, which are constrained by legal impediments/procedural issues.

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Memorandum of Association Merger/Demerger Orders Order under section 391(2) and 394 of the Companies Act, 1956 regarding amalgamation of Viscount Holdings Limited, Jubliant Holdings Limited, Jumbo Holdings Limited with Bharti Tele-ventures Limited forming part of the Memorandum of Association of the Company. Order under section 391(2) and 394 of the Companies Act, 1956 regarding amalgamation of Bharti Cellular Limited, Bharti Infotel Limited with Bharti Tele-ventures Limited forming part of the Memorandum of Association of the Company. Order under section 391and 394 of the Companies Act, 1956 regarding amalgamation of Satcom Broadband Equipment Limited, Bharti Broadband Limited with Bharti Airtel Limited forming part of the Memorandum of Association of the Company. Order under section 391and 394 of the Companies Act, 1956 regarding scheme of arrangement between Bharti Airtel Limited and Bharti Infratel Limited forming part of the Memorandum of Association of the Company.

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COMPANY PLANS

46

COMPANYS PLANS Prepaid Plans

Are you wary of committing yourself to a date for making your bill payments? Is it too much of a bother for you to remember dates for bill payments? Do you often end up paying late fees against your monthly utility services bills? Do you end up spending too much if you have the option to pay the bill later? Think over for if one of these represents you, we have a solution for you. Start thinking prepaid is our advise! So what exactly is this prepaid! It is simply a way of going cellular by paying for the talk time in advance. For eg if you feel that you need Rs 300 worth of talktime for a month, you can buy a recharge coupon which gives you that much talktime on your cellphone. Once that money gets exhausted you can buy another recharge coupon for the same or different denomination depending on your future need. Prepaid allows you to be in control of your cellular expenses even while you are spending. You will be surprised that today In India, Prepaid connections account for almost 60 to 70 percent of the total new entrants into cellular telephony. Thats because almost everyone of us wants to be in control of our cellular expense.

Advantages of prepaid:
Some of the many advantages that you enjoy with Airtel Pre-Paid...

Total Cost Control Enjoy the liberty of total cost control with your Airtel Pre-paid! Re-charge as much as you feel the need to! Now that's what we call complete freedom! No Rentals Buy an Airtel prepaid card without having to pay any rentals! No deposits Your Airtel prepaid card comes without you having to pay heafty deposits!

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STD/ISD facility till the last rupee Now experience complete freedom like never before with Airtel! Our STD/ISD facility allows you to make long distance calls in India and Overseas from your cellular phone! Instant Balance Inquiry Check your talk-time instantly by calling our toll-free number! 60 second pulse Airtel provides you with a 60-second pulse rate! Freedom for you to experience like never before! Instant Recharge Avail of instant recharge on your Airtel prepaid card with just a few simple steps! 24-hour recharge facility With our round-the-clock recharge facility, recharge you Airtel prepaid card anytime, anywhere! Caller Line Identification Call Line Identification gives you the power to know the phone number of the calling party even before you answer the call, thus giving you the choice to either reject or take the call. It provides the added advantage of saving the incoming number directly in the Handset Phone Book. So that the next time you want to call the same person, you don't need to retype his number, simply use your phone book. Call Divert, Call Hold and Call Wait Avail of special services like call waiting, call hold and call divert all with your Airtel prepaid card! Short Messaging Service (SMS) With Airtels Short Messaging Service (SMS), send messages and jokes to your friends and colleagues, anytime anywhere! SMS based Information Services With Airtel's SMS based information services, you can get upto-the-minute cricket scores, order flowers as well as send couriers or check your daily horoscope! Voice Mail service Voice Mail lets you receive messages even when your handset is switched off or when you are outside the coverage area. You can listen to your messages whenever you feel like, from anywhere in the world. Voice Mail can store up to 75 messages, with each message of two-minute duration.

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Post-paid Plan
Airtel welcomes you to a vibrant world of unlimited opportunities. More exciting, innovative yet simple new ways to communicate, just when you want to, not just through words but ideas, emotions and feelings. To give you the unlimited freedom to reach out to your special people in your special way. Airtel Out of Home Circle We have established one of the most extensive roaming tie-ups - both national and international- with the best service providers in the respective regions to ensure that you get uninterrupted coverage throughout. We currently provide roaming coverage in more than 1000 cities and major highways across India. We also provide international roaming in 56 countries across 101 networks. National Roaming Our national roaming coverage currently spans across more than a 1000 cities across India. To subscribe to National Roaming, you have to pay the following: Security Deposit- Rs 1500 Monthly Rental- Rs 49 Customer Care Do you need any clarifications on your bills? Do you have any feedback or query on our Products & services? You can call us, send us an E-mail or meet us in person. We shall be glad to help you out in every possible way. Contact us by phone If you are on Airtel, just call us on 121 your Airtel Prepaid phone . If you are on Airtel postpaid, just call us on 9897012345 or toll free 121 from yourAirtel Postpaid phone. These toll free numbers however, cannot be dialed when you are roaming.

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Group Links Of Bharti

Bharti Airtel Bharti Teletech Telecom Seychelles Bharti Telesoft Bharti Del Monte India Bharti Retail Bharti AXA General Insurance Bharti AXA Life Insurance Bharti AXA Investment Managers Bharti Learning Systems Jersey Airtel Guernsey Airtel Bharti Foundation Bharti Realty

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RESEARCH METHODOLOGY

51

RESEARCH METHODOLOGY Meaning of research

Research in common parlance refers to a search for knowledge. One can also define research as a scientific and systematic search for pertinent information as a specific topic. In fact, research is an are of scientific investigation. The Advanced Learners Dictionary of Current English lays down the meaning of research as a careful investigation or inquiry specially through search for new facts in any branch of knowledge. Redman and Mory define research as a systematized effort to gain new knowledge. Some people consider research as movement, a movement from the known to the unknown. It is actually a voyage of discovery. We all possess the vital instinct of inquisitiveness makes us probe and attain full and fuller understanding of the unknown. This inquisitiveness is the mother of all knowledge and the method, which man employs for obtaining the knowledge of whatever the unknown, can be termed as research. Research is an academic activity and as such the term should be used in a technical sense. According to Clifford Woody research comprises defining and redefining problems, formulating hypothesis or suggested solutions; collecting, organizing and evaluating data; making deductions and reaching conclusions; and at last carefully testing the conclusions to determine whether they fit the formulating hypothesis. D.Slesinger and M Stephenson in the encyclopedia of Social Sciences define research as the manipulation of things, concepts or symbols for the purpose of generalizing to extend, correct or verify knowledge, whether that knowledge aids in construction of theory or in the practice of an art Research is , thus, an original contribution to the existing stock of knowledge making for its advancement. It is pursuit of truth with the help of study, observation , comparison and experiment. In short, the search for knowledge through objective and systematic method of finding solution to a problem is research. The systematic approach concerning generalization and the formulation of a theory is also research. As such the term research refers to the systematic method consisting of enunciating the facts and reaching certain conclusions either in the from of solutions(s) towards the concerned problem or in certain generalizations for some theoretical formulation. Defining the research problem:

52

A researcher must find the problem and formulate it so that it becomes susceptible to research. Like a medical doctor, a researcher must examine all the symptoms (observed by him) concerning a problem before he can diagnose correctly. And therefore, I have also defined the research problem i.e. To study consumer trends, behaviour, preferences and level of satisfaction in Airtel communication Ltd. Research methodology: After defining the research problem the foremost step will be planning for the further investigation. Preparing the blue print to undertake the research called research design. In other words, A research design is the arrangement of condition for collection and analysis of data in a manner that aims to combine relevance to the research purpose with economy in procedure". Under this chapter methodological step has been adopted in the study of consumer trends, behaviour, preferences and level of satisfaction in Airtel communication Ltd. The research procedures followed are described as under: Research Objectives: To study the consumer trends in telecommunication sector. To study consumer decision-making & preferences. To study marketing strategies adopted by Airtel. To study the level of customer satisfaction in Airtel. To study the market potential. To study customer purchase decision behaviour. To understand the needs of different consumer segments. Comparative study of different mobile companies. Research Approach The research approach for the purpose was secondary research to collect the information on the subject. Research Instrument I used direct observation, customer data & survey as research instrument. Sources of Data: Research Data Data is the key activity of marketing research. The design of the data collecting method is backbone of research design.

53

Data constitute the foundation of statistical analysis and interpretation. Hence the first step in statistical work is to obtain data. Data can be obtained from two important sources, namely: Primary Data Secondary Data Primary Data : Primary data are gathered for the specific purpose or for a specific research project, consist of original information for the fulfilment of project objective. When the data are required for the particular study can be found neither in the internal record of the enterprises nor in published sources. In some cases it may become necessary to collect original data. Primary data can be collected in four ways :Observation Focus Survey Experiment Secondary data: Secondary data are the data, which already exists somewhere. Secondary data provide starting point for research and after that the advantage of low cost and ready availability. Secondary data can be divided into two types: Internal data External data When researcher uses the data that has already been collected by other data are called secondary data. Secondary data can be obtained from journals i.e. internal sources report, government publication and books, professional bodies etc. Internal data are reports and memos generated within an organisation to facilitate its operations. External data are those specially produce for outside consumption. Sources from which I have taken the secondary data are as under: Direct observation Airtel website Books for marketing management Surveys and customer data & report

54

KNOPs

Research Work

55

(1) Do you have any mobile connection?

Having Mobile Not having mobile

The data shows that the total sample size of 500 people taken for research out of which 86% of persons keep mobile with them.

56

(2) Which age group you belong to? (a)15-20 (b)20-25 (c)25-35 (d)35- above

15-20 20-25 25-35 35-above

The analysis shows that 14% people from 15- 20 age group, 7.4% persons from 20-25 age group, 36% persons from 25-35 age group, and 42.6% of people from 35-above age group keep mobile with them.

57

(3) What occupation do you have? (a)Business (b)Professional (c)Government Employee (d)Student

250 200 150 100 50 0 a b c d Occupation

The data shows that 216 persons are from business, 123 persons are professionals, 68 persons are government employees and 93 persons are found students to consume mobiles.

58

(4) Do you know how many telecommunication companies exist in Lucknow region? (a)6 (b)5 (c)4 (d)Not confirm

a b c d

The data shows that 60% of people are aware about all companies dealing in telecommunication in Lucknow, 30% of people says about only 5 companies, 5% are of both categories knowing either 4 company or not knowing any and 5% are having not confirm information about mobile companies dealing in Lucknow.

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(5) If you have to purchase mobile phone connection which company you will prefer and why? (a)Airtel (b)Reliance (c)TATA indicom (d)Vodafone

45 40 35 30 25 20 15 10 5 0
in di co m TE L E A IR AF O N EL IA N C E

preferences

VO

TA

When the preferences for mobile phone connections were asked, results drawn that 40% of persons prefer to take AirTel because they believe in AirTels better coverage & cheaper rates after AirTel, 20% of people opt TATA indicom services because of its cheaper rate and flexible schemes, then Reliance is only 25% . Airtel is rich in attractive schemes and plans for business persons and persons related to corporate world.

(6)How you came to know the scheme/service that you use?

TA

60

Awareness of Service

Word of mouth
137

Advertisement
78

Promotion activities
60

Internet
25

Sample size
300

Word of mouth and advertisement play a major role of service awareness. 71%
of customer aware about the service through this.

(7) You would like to take Prepaid connection or Post paid connection?

61

post paid 27% pre paid 73%

The research study shows that almost people from the selected segment give priority to Pre Paid connection, because of the flexibility and attractive plans for this market segment.

62

DATA ANALYSIS

63

B&F SECTOR MARKET SHARE

29% 36%

Airtel Vodafone Reliance Tata BSNL

0% 14%

21%

M&D SECTOR MARKET SHARE

29% 36%

Airtel Vodafone Reliance Tata BSNL

0% 14%

21%

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PENETRATION OF TELECOM SERVICE PROVIDER IN UTTAR PRADESH-UTTARANCHAL PRIVATE SECTOR MARKET SHARE

29% 36%

Airtel Vodafone Reliance Tata BSNL

0% 14%

21%

PUBLIC SECTOR MARKET SHARE

29% 36%

Airtel Vodafone Reliance Tata BSNL

0% 14%

21%

65

PERCENTAGE OF COCP/COEP IN PRIVATE SECTOR

43% COCP COEP 57%

PERCENTEGE OF COCP/COEP IN GOVT. SECTOR

23%

COCP COEP

77%

66

GOVT. SECTOR MARKET SHARE

29% 36%

Airtel Vodafone Reliance Tata BSNL

0% 14%

21%

BROADBAND MARKET SHARE

29% 36%

Airtel Vodafone Reliance Tata BSNL

0% 14%

21%

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OVERALL MARKET SCENARIO

29% 36%

Airtel Vodafone Reliance Tata BSNL

0% 14% 21%

MAJOR USP OF AIRTEL

8% 8% SERVICE CONNECTIVITY LOW TARIFF 23% 61% SPEED

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AREAS OF IMPROVEMENT IN AIRTEL

13% NETWORK BANDWIDTH BILLING ISD LINES FIXED LINES NONE 18% 13% 6%

37%

13%

69

LIMITATIONS

70

LIMITATIONS

In this project, I have tried to present facts with figures penetrating to my survey skill it has some limitation, which are there in this project need identification. The sample survey is done on a very small number of people thus the results drawn may be different from the opinion of the universe. The time of two months is very less for covering all the aspects of the project. The feedback received from the individuals is according to his perception, limited exposure and personal knowledge level. Very less time was there for interacting with corporate clients. Problem in meeting with the concern person without appointment. The last but not the least is that the database which I gathered from the websites is not so reliable because many times I face a difficulty to find the address of the companies and sometimes the companies change the address and not upgrade in the websites due to which I waste my time as well as money also.

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FINDINGS

72

FINDINGS
The data shows that the total sample size of 500 people taken randomly for the research, 430 person out of then taken mobile with them. This segment comproise of professions, businessperson, service man & students. About awareness of Telecom Company in Lucknow the data collected shows that 60% of the people knows about all the telephone companies dealing in Lucknow market, 30% of person knows only few companies, 5% of person knows only one company, 5% are not knowing anyother company. The segment belong to business like to have Post paid connection. Whereas students, professional and service persons give their preference to Prepaid connection. When the preferences for mobile phone connections were asked, results drawn that 40% of persons prefer to take AirTel because they believe in AirTels better coverage & cheaper rates after AirTel, 20% of people opt TATA indicom services because of its cheaper rate and flexible schemes, then Reliance is only 25% . Airtel is rich in attractive schemes and plans for business persons and persons related to corporate world.

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CONCLUSION

74

CONCLUSION SWOT ANALYSIS OF AIRTEL

STRENGTHS 1. 2. 3. 4. 5. 6. Strong Brand Image. Good Network Connectivity. Wide Network Coverage. Attractive Promotional Schemes. Good Value Added Services. Operating In 65 Countries With 157 Operators. WEAKNESS 1. Perceived As An Expensive Brand. 2. Absence In The Rural And Interior Areas. OPPORTUNITY 1. Poor Network Connectivity of Its Competitors. 2. Large Chunk Of Dissatisfied Customer. 3. Though Being The 4th Entrant,They Are Oprating At 900 Frequencies. THREATS 1. Strong Visibility Of Competitors. 2. Sour Experience With Airtel By Few Can Lead To Bad Word Of Mouth. 3. Continous Improvement In Competitors Services.

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Liberalization of the telecommunications market has entered a new phase: competition already exists (albeit in limited form) in some markets, such as the longdistance market and the market for Internet access via the STN. Other segments, such as the local loop (essentially the high-speed Internet access market), are being opened up. At this stage, it is no longer simply a question of opening up particular markets, but rather, consolidating the play of competition in those markets that have been opened as well as developing competitive new services. This explains the importance of high-speed access technologies for the future of the sector. To face up to these challenges, regulatory activity is changing. It is constantly adapting to market trends and to economic situations, which are often difficult. Among its priorities it now counts new economic and social concerns as the information society develops: national coverage is a major issue and Airtel intends to play its part to protect the interests of all consumers. To this backdrop, a new regulatory organisation is emerging. It must supply regulatory activity with new tools to encourage lasting competition in the telecommunications sector. It must also contribute to the development of a more consistent UP west market that is better able to face up to the challenges of the information society within the context of globalisation. After thorough analysis and interpretation of result obtained I studied overall consumer trends in Airtel Telecommunication Ltd. How people react to its services and schemes. How company attract its customer by adopting effective strategies. In the last the conclusion is drawn through this research that being the biggest and oldest network of mobile telecommunication in Uttar Pradesh West, having good quality of service, taking along a big part of people aware about Airtel, it is subsisting hard. For Airtel connection most of customers are professional and business segment.

Good service is the way to retain clients

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RECOMMENDATION

77

RECOMMENDATION The Study was conducted in to very vast group of respondents and so its reflections and interpretations provide a suggestion platform me as: 1. 2. 3. 4. No charge for SMS advertising Advertising should not be over contend, like Advertisements via e-mail Small jingle and funny massage must be used preferably Approach of Advertising should not be like T.V. Advertising but it must be in SMS Flash or in funny tone.

It these suggestion and limitations will entertained properly the should be very brighter. SMS Advertising world semester, Innovative and creative way of Advertising.

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BIBLIOGRAPHY

79

BIBLIOGRAPHY

www.airtel.in www.airtelworld.com

www.researchandmarket.com www.info-shop.com www.smartmobs.com www.yahoosearch.com www.google.com

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ANNEXURE

81

QUESTIONNAIRE

I RATAN KUMAR a final year student of IIeBM, Pune presently pursuing MBA (Marketing) . I have prepared the following questionnaire for the completion of my summer project. I promise that all the answer provided by you wont be made public. This questionnaire is purely for educational purpose.

BHARTI AIRTEL, PUNE ( MAHARASTRA)

Name: __________________________________________________________________

Age: ________ Occupation _____________________________________

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Address: ________________________________________________________________

Phone No. _________________________________________________________________

QUESTIONNAIRE
QUS (1)Do you have any mobile connection? QUS (2) Which age group you belong to? (a)15-20 (b)20-25 (c)25-35 (d)35- above QUS (3) What occupation do you have? (a)Business (b)Professional (c)Government Employee (d)Student QUS (4) Do you know how many telecommunication companies exist in Lucknow region? (a)6 (b)5 (c)4 (d)Not confirm QUS (5) If you have to purchase mobile phone connection which company you will prefer and why? (a)Airtel (b)Reliance (c)TATA indicom (d)Vodafone QUS (6)How you came to know the scheme/service that you use? (a) Advertisements (b) Word of Mouth

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(c) Internet

(d) Promotional activity

QUS (7) You would like to take Prepaid connection or Post paid connection?

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