bharti airtel eco

8/2/2019 Bharti Airtel Eco

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Marketing Strategies of Airtel &

Its impact on Customers

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Index

Introduction to Indian Telecom Industry

Introduction to Bharti Airtel

Marketing Strategies Porters 5 forces analysis

SWOT Analysis

Research & Findings Conclusion & Recommendations

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INTRODUCTION

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Evolution of Telecom In India

Go-ahead tothe CDMA

technology

INDIA

Private playerswere allowed inValue AddedServices

NationalTelecom Policy(NTP) wasformulated

1992

1994

1997

Independentregulator, TRAI,was established

NTP-99 led tomigration from high-cost fixed licensefee to low-costrevenue sharing

regime

1999

2000

2002

BSNL wasestablishedby DoT

ILDservices wasopened tocompetition

Internettelephonyinitiated

Reduction oflicence fees

2003

Calling Party Pays(CPP) wasimplemented

Unified AccessLicensing(UASL) regimewas introduced

ReferenceInterconnectorder wasissued

2004

Intra-circle mergerguidelines wereestablished

Broadbandpolicy 2004wasformulatedtargeting 20millionsubscribers by2010

2005

FDI limit wasincreased from49 to 74 percent

Attempted toboost Ruraltelephony

2006

Number portabilitywas proposed(pending)

Decision on 3G

services (awaited)

2007

Department of Telecommunication (DoT) is the main body formulating lawsand various regulations for the Indian telecom industry.

ILD International Long Distance

Numberportabilityapproved

2009

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CDMA Already there are big

players in this segment

Reliance , Tata

3G Value added servicespotential still to be tapped

fully

2G/3G GSM Currently

commands 70% of mobilesubscribers in India

Technology

2G/3G

CDMA

WIMAX

VoIP

Technologies

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Bharti Airtel

Initially as Bharti Tele-Ventures in 1995 Later changed to Bharti Airtel limited in 2006

Bharti Airtel has nearly 230.8 million total

customers (171.8 million in India)

Broadband & telephone services in 20 countries .

Bharti Airtel third largest player in the world

Has presence in all 23 circles of India

Headed by Mr. Sunil Bharti Mittal

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PORTERS 5 FORCES

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Porters Generic Strategy

Differential Strategy Cost Leadership

NarrowMarketScope

BroadMarketScope

UniquenessCompetency

Low CostCompetency

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Porters 5 forces

Threat fromCompetition

CustomerBargaining

Power

Threat ofSubstitutes

SupplierBargaining

Power

Threat ofNew

Entrants

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1. Threat from Competition

Wireless Market Top 4 garnering 75% market share

HIGH

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2. Customer Bargaining Power

Lack of differentiation among Service

Providers

Cut throat Competition

Low Switching Costs

Attractive Schemes for new connection

Availability of all operators everywhere

Difficulty to differentiate Brand Number Portability will haveVe Impact

Businesses & Consumers

HIGH

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3. Suppliers Bargaining Power

LOW

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4. Threat of Substitutes

Landline

CDMA

World Phone

Video Conferencing

VOIP - Skype, Gtalk, Yahoo Messenger e-Mail & Social Networking Websites

BROADBAND

SERVICES

DIMINISHING MARKET HIGH

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5. Threat of New Entrants

Low Because

Huge License Fees to be paid upfront & High

gestation period

Entry of MVNOs & WiMAX operators Spectrum Availability & Regulatory Issues

Infrastructure Setup Cost - High

Rapidly changing technology

Previously Low,

Now High

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5. Threat of New Entrants

High Because

Entry through 3G

New Entrants are ready to enter with Huge Capital

Considering the attractiveness of the market Increase Of FDI to 76% bringing competiton from

Foreign players

New Entrants from Non telecom companies with

the ease of Outsourcing

Previously Low,

Now High

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MARKETING

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TARGETING

Elite

Up market professionals

Entrepreneur with business plans Low income mass category

Youth

Women and senior citizens by post paidconnection

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POSITIONING

Power to keep in touch Touch tomorrow

Live every moment

Express yourself

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THE FIRST MOVER ADVANTAGE

Electronic recharge

Hello tunes

Airtel Live!

Portfolio manager

Song catcher

Easy music

Black berry handsets

M-check

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First Mover Advantage

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RURAL STRATEGIES

Airtel follows Match-box strategy

The firm expands regularly in Bihar,

piggybacking on 300 distributors and more

than 50,000 retail outlets selling Airtel prepaid

cards

Covers over 4,00,000 villages and hopes to

expand to other 1,00,000 by 2012

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Marketing TOOLS

Advertisements

Sales promotion

Publicity and events

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The Ad diagnostics

score helps to

understand how farthe Ad has been able

to break the clutter

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SWOT

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SWOT

Strengths

Largest Telecom Player in India -~80Mn, 22.6%

Market Leader

Strong Leadership

Sunil BhartiMittal

Recognized Globally

Pan India Presence

Strong Financials

Focus on Core Activities

Outsource the rest Strong Brand Image Marketing

Team

Innovative

Weakness

Outsourcing of Core Systems

Less Product Clarity

High Call Rates

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SWOT

Opportunities

Bharti Infratel CuttingDown cost in Rural area

Match Box Strategy Scaleof Penetration

Current Tele-Density46.7% is still low amongdeveloping countries

Low BroadbandPenetration, RuralTelephoney

Threats

India centric Major

revenues from India

Falling ARPU & AMOU

Intense Competition &

Shortage of Bandwidth

New Players coming in India

Uncertain Economicconditions

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RESEARCH & FINDINGS

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Research Objective

Study the brand positioning and perception of Airtel. Comparative analysis with other company. Strategies adopted for it.

Factors influencing the customer to stick with theirnetwork. Features needed every customer. Efficiency in providing after sales services. Factors in increasing sales.

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Analysis & Interpretation

32%

24%

14%

12%

16%2%

AIRTEL VODAFONE IDEA

TATA RELIANCE OTHERS

CONNECTIONS USED BY PEOPLE

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BASIS FOR CHOOSING OPERATOR

15%10%

4%

70%

1%

ECONOMICAL PROMOTIONAL

VALIDITY OPTIONS NETWORK COVERAGE

OTHERS

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0

5

10

15

20

25

30

35

40

NO. OF

PEOPLE

YES NO CAN'T

SAY

Series1

Do you give preference to advertisement forchoosing your operator?

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65%

25%

7%3%

excellent good average poor

What do you think about the Airtelsadvertisements?

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55

20

10

5

10

0

0 20 40 60AIRTEL

VODAFONE

IDEA

TATAR

ELIANCEO

THER

S

OPERATORS

NO. OF PEOPLE

Series1

Which operator would you prefer

(except yours)?

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Findings

Airtel enjoys high market share

Expensive and confusing plans of 3G

Network Connectivity

Attractive Advertisements

Major competition with Vodafone

Good market image 36IIPM


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Conclusion

AirTel has the most recognizable brand in the Indian

operator space, with 30.8% of our respondents .

Of respondents, 27.4% identified AirTel with cool,26% with creative, and 22% with technically

advanced. Only 8.6% of respondents identified

AirTel with cheap.

It has increased its market share from 20.5% to33.5% of the market.

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Recommendations

Improve 3G Plans

Pay attention over Quick resolution

Reduction in Tariff Prices

Focus on Customer satisfaction

Availability of vouchers

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References

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Books:-Marketing Management Philip KotlerMethods of Social Survey & Research S R Bajpai

Journals:-The Times Of India

Economic TimesBusiness Standard

Websites:-www.airtel.inindiatelecomnews.com

www.telecomindiaonline.comwww.moneycontrol.com

Individual:-Mr. Avinash Dwivedi

Assistant Manager

Airtel
http://www.airtel.in/http://www.moneycontrol.com/http://www.moneycontrol.com/http://www.moneycontrol.com/http://www.moneycontrol.com/http://www.moneycontrol.com/http://www.moneycontrol.com/http://www.moneycontrol.com/http://www.moneycontrol.com/http://www.airtel.in/


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Thank You!!!!!!!

Prepared By:-

Avinash Pandey

Alok TripathiAlok Dwivedi

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bharti airtel eco

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