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MARKETING
Bharti Tele-Ventures
Bharti Tele-Ventures is one of India's leading private sector providers of
telecommunications services based on an aggregate of 28,692627 customers as on
September 30, 2006, consisting of 27,061,349 GSM mobile and 1,631,278 broadband &
telephone customers
The businesses at Bharti Tele-Ventures have been structured into three
individual strategic units (SBU’s) –
1) mobile services
2) broadband and telephone services (B&T)
3) enterprise services
The Mobile services group provides GSM mobile services across India in
23 telecom circles, while B&T business group provides broadband &
telephone services in 94 cities. The Enterprise Services group has two
sub-units – carriers (long distance services) and services top corporates.
All these services are provided under theAirt el brand.
Bharti Enterprises has been at the forefront of technology and has revolutionized
telecommunications with its world class products and services. Established in 1976, Bharti
has been a pioneering force in the telecom sector with many firsts and innovations to its
credit.
Bharti provides a range of telecom services, which include Cellular, Basic,
Internet and recently introduced National Long Distance. Bharti also
manufactures and exports telephone terminals and cordless phones. Apart from being the
largest manufacturer of telephone instruments in India, it is also the first company to export
its products to the USA.
Bharti is the leading cellular service provider, with a footprint in 16 states
covering all four metros. It has over 12 million satisfied customers
Bharti Enterprises has successfully focused its strategy on telecom while
straddling diverse fields of business. From the creation of'Airt el', one of
India's finest brands, to becoming the largest manufacturer and exporter of
world class telecom terminals under its'Beet el' brand, Bharti has created a
significant position for itself in the global telecommunications sector. Bharti
Tele-Ventures is today acknowledged as one of India's finest companies, and
its flagship brand 'Airtel', has over 12 million customers across the length
and breadth of India.
While a joint venture with TeleTech Inc., USA marked Bharti’s successful
foray into the Customer Management Services business, Bharti Enterprises’
dynamic diversification has continued with the company venturing into
telecom software development. Recently, Bharti has successfully launched
an international venture with EL Rothschild Group owned ELRO Holdings
India Ltd., to export fresh Agri products exclusively to markets in Europe
and USA
"What other operators have achieved in one to two years, Bharti has done in just
over a
month. In July 2002, one out of every two people buying a mobile across India chose
AirTel. We are truly proud to be spearheading the mobile revolution in the country."
Vision
BUSINESS.
AIRTEL
Airtel comes to you from Bharti Tele-Ventures Limited - a part of the biggest private
integrated telecom conglomerate, Bharti Enterprises. A consortium of giants in the
telecommunication business. In it's six years of pursuit of greater customer
satisfaction, AirTel has redefined the business through marketing innovations,
continuous technological up gradation of the network, introduction of new
generation value added services and the highest standard of customer care.
Bharti is the leading cellular service provider, with an all India footprint
covering all 23 telecom circles of the country. It has over 12 million satisfied
customers.
Cellular telephony was introduced in India during the early 1990s. At that
time, there were only two major private players, Bharti (Airtel) and Essar
(Essar) and both these companies offered only post-paid services. Initially,
Moreover, these services were mostly restricted to the metros. Other factors
such as lack of awareness among people, lack of infrastructural facilities,
low standard of living, and government regulations were also responsible for
the slow growth of cellular phone services in India.
Although the cellular services market in India grew during the late 1990s (as
the number of players increased and tariffs and handset prices came down
significantly) the growth was rather marginal. This was because the cellular
service providers offered only post-paid cellular services, which were still
perceived to be very costly as compared to landline communications.
To be globally
admired for telecom
services that delight
customers
Bharti’s Mission
We will meet global standards for telecom services that delight customers
through:
• Empowered Employees
• Cost Efficiency
• Unified Messaging Solutions
• Innovative products and services
• Error- free service delivery
Board of Directors
The Board of Directors of the Company has an optimum mix of Executive and Non-
Executive Directors, which consists of three Executive and fifteen 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.
required to take decisions, which are in the best interest of the Company.
•First to expand it's network with the installation for second mobile
switching center in April, 1997 and the first to introduce the Intelligent
Network Platform First to provide Roaming to its subscribers by forming
an association called World 1 Network.
across 38 partner networks & above 700 cities Moreover roam across
international destinations in 119 countries including USA, Canada, UK
etc with 284 partner networks.
•16 states, 600 million people. Only India's leading mobile service offers
•It is also the first company to export its products to the USA.
Vodafone.
Over the last couple of years, the market has grown considerably, with
deeper penetration and wider usage of voice and data services, accompanied
by much higher competitive intensity," Atul Bindal, chief marketing officer,
Bharti TeleVentures, expands on this. "In this context, differentiating merely
on network, coverage and SMS is just not enough. You need to go beyond
all the rational identifiers - which are prerequisites in any case - and connect
at a deeper level. We needed a strong differentiator in an increasingly
commoditized and crowded market. We found this differentiator in a core
human truth that defines our category - which is that there are moments
when you need to make your point, when you need to be heard. Expressing
and communicating are perhaps two of the most basic emotions.AirTel
enables you to make your point in the most expressive way, anytime,
anywhere. The campaign is towards owning this through 'Express
yourself.' We believe 'Express yourself' allows us to connect at a deeper
For AirTel, the challenge also lay in presenting a unified 'face' to the
consumer. This assumes significance when viewed in the light of the
company's pre- and post-paid communication, which, in the past, had been
treated very differently. Brand image, as a result, was being driven in two
different dimensions. "Brand AirTel is a category leader straddling
completely different market segments such as consumer, business and
corporate, as well as different voice, data and payment platforms," says
Bindal. "'Express yourself' enables the brand to unify and connect across the
entire base of our existing and prospective customers."
One of the most obvious benefits of owning a property such as 'candid
expression' (and 'Express yourself') is the expansive nature of the thought.
"The moment you have as broad a canvas as 'Express yourself', it becomes
easy for anyone working on the brand to come up with new ideas and
executions. That's what makes a good campaign idea," observes Rediff's
Prashant Godbole, who, along with creative partner Zarvan Patel, conceived
the campaign. This is just the proverbial tip of the iceberg, Patel adds. "We
will be taking the idea forward in many different ways in the forthcoming
work," he informs. Patel also credits his creative team for "fleshing out the
idea".
In October 2002, Magic led the market, with 30% of the market share.
Bharti claimed that its strategies were one of the most ambitious
experiments ever in the Indian pre-paid cellular telephony market. However,
given the increasing competitive pressure, doubts were being expressed
regarding the ability of Bharti's marketing initiatives to help Magic retain its
'Magic' in the future.
AIRTEL BROADBAND
Bharti Televentures is the fixed line operator business of Airtel. In the recent
branding exercise, all the services have been offered under the Airtel brand. Data is
the next driver for growth. This is clear to the operators who have belatedly realized
the implications for having a pie in all the segments of telecommunications. Hence
Bharti ventured in the broadband market.
However, the main contention in the broadband market is the price offering
which includes the bandwidth costs as well as the cost of laying down the
copper wire. Typically, in the mentality of the profit making exercise, Airtel
has so far focused only in those areas where it perceives that a huge market
is present. However, I still hold that their thrust should be in smaller towns
and cities where BSNL would ultimately usurp their potential customer
base. It seems that their fancily paid MBAs haven’t really understood the
success of BSNL who focused on the B and C class cities where it has
drawn unparalleled support despite the lousy customer experiences. This is
because of the absence of any other operator.
The current offerings by Airtel does not really enthuse a potential customer
who is looking at sustained data transfer. It is the classic case of having
something better than nothing.
Add to the lousy customer care that Airtel is slowly perfecting, it is staffed
with people who usually land up in their jobs with little idea of their job
profile. The so-called Tech engineers have often been unable to help a
customer who is facing issues with the connectivity. I have read first person
accounts for the same.
Our Services:
Voice Services
Mobile Services
Satellite Services
Managed Data and Internet Services
Managed e-Data Services
AirTel launches VQE (Voice Quality
Introducing VQE (Voice Quality Enhancer) for the first time in Kolkata.
VQE is a revolutionary new system that spectrally reduces background
noise. It eliminates acoustic echo, adjusts speech levels in both directions
and does away with low or distorted speech so that every word of your's can
be heard clearly, wherever you may be speaking from.
The VQE technology has been sourced from Tellabs of USA, world leaders
in Voice Quality technology. Some of the prominent GSM operators using
Tellabs solution in the world are SingTel, Bell South, Telstra, BT Cell etc.
The Tellabs noise reduction technology removes high background noise
from the wireless side of the call thus delivering near wireline clear call
quality
on mobile phones. The Tellabs 3000 series of voice-quality enhancement
echo technology also eliminates the complexity of acoustic echo generated
by digital mobiles and hands free kits.
AIRTEL NEWS
SERVICE
NAME
TYPE OF
SERVICE
DESCRIPTION
PREPAID
CHARGES
(Rs.)
POSTPAID
CHARGES
(Rs.)
Calling Line
Identification
Presentation
(CLIP)
Automatic
only for new
acquisitions
Rs. 25
Dial-a-service
Automatic
only for new
acquisitions
minute
Rs. 2 per
minute
WAP
Automatic
only for new
acquisitions
download exclusive
contents from Airtel's
WAP site
Per content
download
Per content
download
Automatic
only for new
acquisitions
GPRS Charges
- Rs 600 per
month
GPRS Charges
- Rs 600 per
month
646 Calling
charges
Automatic
only for new
acquisitions
Rs. 6 per
minutes
Rs. 6 per
minutes
VAS SMS
Charges
Automatic
only for new
acquisitions
Content offered by
media companies like
Indiatimes, Rediff,
Yahoo fall into this
category
Rs. 3 per
with NOKIA
.•Bharti Airtel limited: Q2 cash profit exceeds Rs. 1,600 crores, PBT
2006.
•Sunil Bharti Mittal receives ‘The Honorary Fellowship’ from IETE.
PROMOTIONAL STRATEGY
After the liberalization of the Indian Telecom Sector in 1994, the Indian
cellular market witnessed a surge in cellular services. By 2005, there were a
total of 12 players in the market with the five major players being Bharti
Tele-Ventures Limited (Bharti), Bharat Sanchar Nigam Limited (BSNL),
Hutchinson-Essar limited (Hutch), Idea Cellular limited (Idea) and Reliance
India Mobile (RIM) (Refer Exhibit I).
All the players except RIM offered services based on the Global System for Mobile
(GSM) technology. RIM provided services based on Code Division Multiple Access
(CDMA) technology as well as GSM.
EXCLUSIVITY BARRIER
Cellular service provider AirTel seems to have hit the right note with its new
commercial starring musician A R Rahman. The commercial which is
currently on air has a beat which also doubles up as a ringtone which is
ostensibly available only to AirTel users. But the interesting part is that the
ringtone is being flaunted not just by AirTel customers but by customers of
rival service providers like BPL, Orange and Dolphin as well!
“We did expect the tune to catch up but this has really exceeded our
expectations,” admits Bharti Cellular’s chief marketing officer (western
region) Pratik Pota. Overall, he explains, it is a great advertising product for
AirTel and works like a “walking, talking brand ambassador.”
The ringtone which is also the jingle for AirTel’s TV commercial, is proving
to be a potent advertising tool for the company. It is not very clear what this
means for the other cellular operators. Cellular users have been “forwarding”
the tune to one another, which according to Mr Pota, has given AirTel a
chance to enter the “mind of the user” irrespective of which service he opts
for.
“It gives the user a chance to go back to the AirTel product and acts as a
strong reminder medium,” he explains. Marketing professionals like
Samsika Marketing Consultants’ managing director Jagdeep Kapoor point to
the usage of an “audio celebrity” as something that is significant.
“The normal practice is to opt for film stars and sportsmen rather than an
Being the latest entrant in the Mumbai circle, AirTel has had to find ways of
While Mr Pota highlights the fact that the usage of the tune by other
operators means “free advertising” for AirTel and the users having a
positive disposition towards the product, the nature of reaction from
competition remains unclear.
“Competition will not do well to adopt a knee jerk reaction and will have to
come out with advertising that is well thought out” explains Mr Kapoor. He
anticipates a situation where the new entrant (AirTel) will continue to be
more aggressive.
Both Tendulkar and King Khan already share the frame for soft drinks major
PepsiCo India. Tendulkar is not the first cricketer to endorse Bharti’s Airtel
brand. Indian captain Saurav Ganguly had done so when Airtel launched its
service in the eastern metropolis of Kolkata in 2001.
Though company executives were mum on the value of the Tendulkar deal,
those in the advertising fraternity peg the signing rate for the three-year deal
anywhere between Rs 8 crore and Rs 10 crore.
Both Sachin and Shah Rukh are two of the most sought after celeb endorsers
in the country, with the former edging out the latter in the celeb endorsement
race. The Master Blaster’s portfolio includes brands like Colgate Pamolive,
ESPN-STAR Sports, Pepsi, MRF, Boost, TVS, Palio, Visa, Adiddas and
Britannia. The leading brands endorsed by Khan include Hyundai, Pepsi,
Airtel, Tag Huer, Clinic All Clear, Bagpiper and Videocon, among others.
According to company executives, the idea of roping in Tendulkar is in line
with the group’s strategy to connect to the mass market through celeb
endorsers from movies, cricket and music. “For mass connect, Shah Rukh
and Sachin are the best bet as brand endorsers,” says a senior company
executive. Bharti plans to launch a multimedia campaign targetting its
service at the mass market.
OBJECTIVE
DATA SOURCES
Data is collected from both the Primary sourcesi.e. questionnaire and also
from Secondary sources.
Primary sources:
The primary source of data collection is through questionnaire. The
questionnaires are distributed among 35 peoples and their view is recorded
and used in analyzing the data
Secondary sources :
The secondary sources includes online sites, newspapers and templates from
AIRTEL distributions centers and AIRTEL Customer Care.
People know about AIRTEL cellular service through
30 %
5% Other Sources
friends
advertisements
other sources
35% Advertisements
20% Connectivity
10%Schemes
35%Goodwill
advertisement
connectivity
schemes
goodwill
People’s first choice of cellular service when they want to use mobile
phone
AIRTEL 45%
HUTCH 30%
IDEA 8%
RELIANCE 10%
TATA INDICOM 5%
OTHERS 2%
AIRTEL
HUTCH
TATA INDICOM
RELIANCE
IDEA
OTHERS
Feature of AIRTEL is better than the people’s previous cellular service.
Advertisements 25%
Connectivity 60%
Schemes 15%
ADVERTISEMENTS
CONNECTIVITY
SCHEMES
15%
30% - 70%
25%
60%
0-30
30-70
70-100
Audio Visual
85%
2%
Audio
13%
Audio Visual
Print
Audio
Sachin
55%
Shahrukh
38%
Kareena
2%
A. R. Rehman
:
5%
SACHIN
SHAHRUKH
KAREENA
A.R. REHMAAN
YES
85%
NO
13%
CAN’T SAY
2%YES
NO
CAN’T SAY
People like most in AIRTEL is
NOKIA + AIRTEL
86%
AIRTEL MAGIC
5%
Postpaid services
8%
AIRTEL Broadband
1%
NOKIA + AIRTEL
AIRTEL MAGIC
Postpaid services
AIRTEL Broadband
Service liked by people most in AIRTEL is
63%
Ring tones
15%
Hello tunes
22%
service
RINGTONES
HELLOTUNES
People participate contest offered by AIRTEL like BID TO WIN, LI’L
CHAMPS
YES
72%
NO
28%
YES
NO
Type of recharge cards liked by people
23%
More validity
15%
Both
62%
More talktime
More validity
Both
AIRTEL is #1 in India
Yes
95%
No
5%Yes
No
CONCLUSION
RECOMMENDATIONS
bollywood.
BIBLIOGRAPHY
ON-LINE WEBSITE :
.
WWW.GOOGLE.CO.IN
WWW.AIRTEL.COM
NEWSPAPERS:
BOOKS:
……………………………………………
ADDRESS:
……………………………………………
OCCUPATION:
…………………………………………….
Friends
Advertisements
Other Sources
Advertisements
Connectivity
Schemes
Goodwill
3. Which was your first choice of cellular service when you want to use
mobile phone?
AIRTEL
HUTCH
IDEA
RELIANCE
TATA INDICOM
OTHERS
Advertisements
Connectivity
Schemes
30% - 70%
Audio Visual
Audio
7. Which celebrity you like very much in AIRTEL?
Sachin
Shahrukh
Kareena
A. R. Rehman
YES
NO
NOKIA + AIRTEL
AIRTEL MAGIC
Postpaid services
AIRTEL Broadband
Free Ringtones
11.Do you participate contest offered by AIRTEL like KBC-2 & Indion
Idol-2?
YES
NO
More talktime
More validity
No
Project on Airtel
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