Custmer switching from airtel to other serviices telecom project report
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Custmer switching from airtel to other serviices telecom project report

Custmer switching from airtel to other serviices telecom project report

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Custmer switching from airtel to other serviices telecom project report Custmer switching from airtel to other serviices telecom project report Document Transcript

  • AIRTEL INDEXSL.NO CONTENTS PAGE NO 1. EXECUTIVE SUMMARY. 1-3 2. TELOCOMMUNICATION SECTOR IN INDIA. 4-16 3. INTRODUCTION OF THE COMPANY 17 – 32 4. ORGANISATION PROFILE 33 5. ARTICLE 34 – 36 6. RESEARCH METHODOLOGY. 38 – 41 7. DATA ANALYSES AND INTERPRETATIONS. 42 – 64 8. HYPOTHESIS 65 – 67 9. 68 – 69 FINDINGS. 10. SUGGESTIONS. 70 – 71 11. CONCLUSION. 72 – 73 12. BIBLIOGRAPHY. 74 13. ANNEXURE. 75 – 78BABASAB PATIL Page 1
  • AIRTEL EXECUTIVE SUMMARY Established in 1985, Bharti Airtel has been a pioneering force in the telecomsector with many firsts and innovations to its credit, ranging from being the first mobileservice in Delhi, first private basic telephone service provider in the country, first Indiancompany to provide comprehensive telecom services outside India in Seychelles and firstprivate sector service provider to launch National Long Distance Services in India. BhartiTele-Ventures Limited was incorporated on July 7, 1995 for promoting investments intelecommunications services. Its subsidiaries operate telecom services across India. Thegroup has a total customer base of 6.45 million, of which 5.86 million are mobile and588,000 fixed line customers, as of January 31, 2004. In mobile, Bharti’s footprintextends across 15 circles.Customer retention Strategies… Determine the strength of the company’s customer retention strategies by askingexisting customers whether they will recommend the company or not. Even thoughcustomer relationships are one of the company’s most valuable assets, they are often oneof the most undervalued assets too. In the constant battle to gain new customers, it is easyto over look the value existing customer relationshipAll corporate profits are ultimately eared from conducting successful relationship withcustomers. As the source of all your profits, customer relationships should be valued andprotected. Every customer relationship is an asset and has a economic value or LifetimeMarket Value (LMV). A customer’s Lifetime Market Value is determined by taking youraverage customer transaction amount and multiplying it by the number of transactions heor she will conduct with your organization over time.Reasons Customers Leave:  Move or Die 4%  Other Company Friendship 5%  Competition 9%  Product Dissatisfaction 15%  No Customer Contact Strategy 67%BABASAB PATIL Page 2
  • AIRTELPROBLEM STATEMENT: “Formulation of Customer Retention strategies byassessing reasons for switching over from Airtel to other service providers”NEED FOR THE STUDY It helps the company to know the customers and their preferences, it helps thecompany to know potential customers, and it also helps company to know competitors, It also helps the company to retain the customers and satisfy them, it helps thecompany to increase its market share, It helps the researcher to know the company, its market share. Its potential, ithelps to know about different telecom companies. It helps the researcher to know aboutthe customer,MAIN OBJECTIVES OF THE RESEARCH: 1. To study the telecommunication sector in India. 2. To study the reasons as to why the customers are switching from Airtel to other service providers. 3. To find out the problems faced by Airtel postpaid users in particular. 4. To carryout the competitor analyses.METHODOLOGY The methodology to be adopted to fulfill the objectives of the project is as follows • Observations • Interview • Accessing the company documentsBABASAB PATIL Page 3
  • AIRTELACCESSING THE COMPANY DOCUMENTS To propose a system the availability of the relevant data is confirmed byaccessing the Company’s documents. These documents would be • Order form • Bills • Customer formPROPOSED OUTCOMES AND BENEFITS OF THE STUDY By carrying out this project we get more information about telecom sector, ithelps to know what the need of customers and their preferences are. We get to knowabout the competitors. It helps to retain the customers by developing new strategies. Wecan improve on the things they are lacking in by filling the gap.BABASAB PATIL Page 4
  • AIRTEL TELECOMMUNICATI ON SECTOR IN INDIABABASAB PATIL Page 5
  • AIRTEL INTRODUCTION TO TELE COMMUNICATION SECTOR Telecommunication sector is a vital importance in economic development, iswitnessing phenomenal technological progress. The sea change in economic policies ofIndia is transforming Indian economy from a command and control to a liberalized andglobalized market economy. The changing economic policy is having its impact on thetelecom sector too. In pursuance of the Governments commitment to liberalization, theFDI ceiling in the telecom sector was enhanced from 49 percent to 74 percent in certainareas. The total FDI approved for telecom sector up to September 2005 was Rs 41,551crores. Chairman of Telecom Dispute Settlement and Appellate Tribunal (TDSAT)Justice (Retd) N Santosh Hegde said while India had eight million phones in 1995 andwith teledensity of mere 0.8 per cent, the figure rose to 141 million (93 million cellularand 48 million landline) phones and teledensity to 12 per cent last year. The industry wasexpected to increase its subscriber base to 250 million by the end of 2007.With 141million gross subscriber base the telecom service industry is growing at the rate of 30 percent annually and its contribution to the countrys Gross Domestic Product (GDP) is oneper cent, The telecom service industry with a turnover of Rs 90,000 crores during last oneyear expected its contribution to GDP to rise by another one per cent over the next threeyears, The government aims to connect 41,000 villages by March 2007 and extendmobile coverage to at least 85 per cent of the country. Investment Requirement (Figure in Rs.Crore)BABASAB PATIL Page 6
  • AIRTEL PUBLIC PRIVATE RURAL YEAR SECTOR SECTOR SECTOR TOTAL YAERLY 2004 - 2005 22,822 7,944 8,520 39,286 2005 - 2006 23,963 10,981 9,210 44,154 2006- 2007 24,161 17,281 11,010 53,452 INVESTMENT REQUIREMENT(FIGURE IN Rs CRORE) 120000 100000 80000 TOTAL YAERLY RUPEES 60000 RURAL SECTOR 40000 PRIVATE SECTOR 20000 PUBLIC SECTOR 0 YEAR 1 2 3 4 5 6 7 YEAR To increase the connectivity government has put the telecom sector into prioritysector list after liberalization policy. Government encouraged private participation intelecom sector along with BSNL,VSNL,HTML,etc.to provide better service to theconsumers. Due to this many private players including MNC’s like AT &T, Hutchison,British telecom Motorola, Telstra etc, and big Industrial houses like, Reliance, Tata haveentered this field as the consumers are unsatisfied with the DoT services the scope for theprivate players increased. India has the sixth largest Network in the world. Telecommunication has helpedin developing India a leading Nation in the world.BABASAB PATIL Page 7
  • AIRTELBABASAB PATIL Page 8
  • AIRTEL Main players of the Telecommunication Industry The competition various across the segments but the current players include thestate owned operators as well as private operators.In the public sector main players are:  Bharat Sanchar Nigam Limited. (BSNL)  Mahanagar Telephone Nigam Limited (MTNL)In private sectors the main players are:  Spice telecom  Tata Indicom Limited  Reliance Telecom Limited  Bharti Teleservices Limited.  Vodafone Essar  Idea. Chronological OverviewYear Events1851 First Telephones in India1943 Nationalization of Telephone companies1985 Dot was created1986 Creation of MTNL &VSNL1991 Telecom equipped liberalized1994 Licenses for paging Telecom policy announced Guidelines for private sector participation in basic services Cellular licenses issued for metros Tenders for 2nd operator in basic services apart form Dot on circle basis1995 VSNL launches internet services1996 TRAI formed1998 Internet policy announced1999 New telecom policy announcedBABASAB PATIL Page 9
  • AIRTEL Telecom has become the new buzzword and the reforms measures announced bythe government are no less than a big bang for the growth of India’s technology sector.BSNL On October 1, 2000 the Department of Telecom Operations, Government of Indiabecame a corporation and was renamed Bharat Sanchar Nigam Limited (BSNL). BSNLis now India’s leading telecommunications company and the largest public sectorundertaking. It has a network of over 45 million lines covering 5000 towns with over 35million telephone connections. The state-controlled BSNL operates basic, cellular (GSM and CDMA) mobile,Internet and long distance services throughout India (except Delhi and Mumbai). BSNLwill be expanding the network in line with the Tenth Five-Year Plan (1992-97). The aimis to provide a telephone density of 9.9 per hundred by March 2007. BSNL, whichbecame the third operator of GSM mobile services in most circles, is now planning toovertake Bharti to become the largest GSM operator in the country. BSNL is also thelargest operator in the Internet market, with a share of 21 per cent of the entire subscriberbaseMTNL MTNL was set up on 1st April 1986 by the Government of India to upgrade thequality of telecom services, expand the telecom network, introduce new services and toraise revenue for telecom development needs of India’s key metros – Delhi, the politicalcapital, and Mumbai, the business capital. In the past 17 years, the company has takenrapid strides to emerge as India’s leading and one of Asia’s largest telecom operatingcompanies. The company has also been in the forefront of 5 technology induction byconverting 100% of its telephone exchange network into the state-of-the-art digital mode.The Govt. of India currently holds 56.25% stake in the company. In the year 2003-04, thecompanys focus would be not only consolidating the gains but also to focus on new areasof enterprise such as joint ventures for projects outside India, entering into national longBABASAB PATIL Page 10
  • AIRTELdistance operation, widening the cellular and CDMA-based WLL customer base, settingup internet and allied services on an all India basis. MTNL has over 5 million subscribers and 329,374 mobile subscribers. While themarket for fixed wireline phones is stagnating, MTNL faces intense competition from theprivate players—Bharti, Hutchison and Idea Cellular, Reliance Infocomm in mobileservices. MTNL recorded sales of Rs. 60.2 billion ($1.38 billion) in the year 2002-03, adecline of 5.8 per cent over the previous year’s annual turnover of Rs. 63.92 billion.RELIANCE INFOCOMM Reliance is a $16 billion integrated oil exploration to refinery to power andtextiles conglomerate (Source: http://www.ril.com/newsitem2.html). It is also anintegrated telecom service provider with licenses for mobile, fixed, domestic longdistance and international services. Reliance Infocomm offers a complete range oftelecom services, covering mobile and fixed line telephony including broadband, nationaland international long distance services, data services and a wide range of value addedservices and applications. Reliance IndiaMobile, the first of Infocomms initiatives waslaunched on December 28, 2002. This marked the beginning of Reliances vision ofushering in a digital revolution in India by becoming a major catalyst in improvingquality of life and changing the face of India. Reliance Infocomm plans to extend itsefforts beyond the traditional value chain to develop and deploy telecom solutions forIndias farmers, businesses, hospitals, government and public sector organizations. Untilrecently, Reliance was permitted to provide only “limited mobility” services through itsbasic services license. However, it has now acquired a unified access license for 18circles that permits it to provide the full range of mobile services. It has rolled out itsCDMA mobile network and enrolled more than 6 million subscribers in one year tobecome the country’s largest mobile operator. It now wants to increase its market shareand has recently launched pre-paid services. Having captured the voice market, it intendsto attack the broadband market.BABASAB PATIL Page 11
  • AIRTELTATA TELESERVICES Tata Teleservices is a part of the $12 billion Tata Group, which has 93 companies,over 200,000 employees and more than 2.3 million shareholders. Tata Teleservicesprovides basic (fixed line services), using CDMA technology in six circles: Maharashtra(including Mumbai), New Delhi, Andhra Pradesh, Tamil Nadu, Gujarat, and Karnataka.It has over 800,000 subscribers. It has now migrated to unified access licenses, by payinga Rs. 5.45 billion ($120 million) fee, which enables it to provide fully mobile services aswell. The company is also expanding its footprint, and has paid Rs. 4.17 billion ($90million) to DoT for 11 new licenses under the IUC (interconnect usage charges) regime.The new licenses, coupled with the six circles in which it already operates, virtually givesthe CDMA mobile operator a national footprint that is almost on par with BSNL andReliance Infocomm. The company hopes to start off services in these11 new circles byAugust 2004. These circles include Bihar, Haryana, Himachal Pradesh, Kerala, Kolkata,Orissa, Punjab, Rajasthan, Uttar Pradesh (East) & West and West Bengal.VSNL On April 1, 1986, the Videsh Sanchar Nigam Limited (VSNL) - a whollyGovernment owned corporation - was born as successor to OCS. The company operates anetwork of earth stations, switches, submarine cable systems, and value added servicenodes to provide a range of basic and value added services and has a dedicated workforce of about 2000 employees. VSNLs main gateway centers are located at Mumbai,New Delhi, Kolkata and Chennai. The international telecommunication circuits arederived via Intelsat and Inmarsat satellites and wide band submarine cable systems e.g.FLAG, SEA-ME-WE-2 and SEA-ME-WE-3. The companys ADRs are listed on the New York Stock Exchange and its sharesare listed on major Stock Exchanges in India. The Indian Government ownsapproximately 26 per cent equity, M/s Panatone Finvest Limited as investing vehicle ofTata Group owns 45 per cent equity and the overseas holding (inclusive of FIIs, ADRs,BABASAB PATIL Page 12
  • AIRTELForeign Banks) is approximately 13 per cent and the rest is owned by Indian institutionsand the public. The company provides international and Internet services as well as a hostof value-added services. Its revenues have declined from Rs. 70.89 billion ($1.62 billion)in 2001-02 to Rs. 48.12 billion ($1.1 billion) in 2002-03, with voice revenues being themainstay. To reverse the falling revenue trend, VSNL has also started offering domesticlong distance services and is launching broadband services. For this, the company isinvesting in Tata Telservices and is likely to acquire Tata Broadband.VODAFONE Vodafone Group Plc is the worlds leading mobile telecommunications company,with a significant presence in Europe, the Middle East, Africa, Asia Pacific and theUnited States through the Companys subsidiary undertakings, joint ventures, associatedundertakings and investments. The Groups mobile subsidiaries operate under the brand name Vodafone. In theUnited States the Groups associated undertaking operates as Verizon Wireless. Duringthe last two financial years, the Group has also entered into arrangements with networkoperators in countries where the Group does not hold an equity stake. Under the terms ofthese Partner Network Agreements, the Group and its partner networks co-operate in thedevelopment and marketing of global services under dual brand logos. At 31 December 2006, based on the registered customers of mobiletelecommunications ventures in which it had ownership interests at that date, the Grouphad 198.6 million customers, excluding paging customers, calculated on a proportionatebasis in accordance with the Companys percentage interest in these ventures.IDEA Indian regional operator IDEA Cellular Ltd. has a new ownership structure andgrand designs to become a national player, but in doing so is likely to become a thorn inthe side of Reliance Communications Ltd. IDEA operates in eight telecom “circles,” orregions, in Western India, and has received additional GSM licenses to expand itsBABASAB PATIL Page 13
  • AIRTELnetwork into three circles in Eastern India -- the first phase of a major expansion plan thatit intends to fund through an IPO, according to parent company Aditya Birla GroupMAJOR MARKET TRENDS The telecoms trends in India will have a great impact on everything from thehumble PC, internet, broadband (both wireless and fixed), cable, handset features, talkingSMS, IPTV, soft switches, and managed services to the local manufacturing and supplychain. This report discusses key trends in the Indian telecom industry, their drivers andthe major impacts of such trends affecting mobile operators, infrastructure and handsetvendors.Higher acceptance for wireless services Indian customers are embracing mobile technology in a big way (an average offour million subscribers added every month for the past six months itself). They preferwireless services compared to wire-line services, which is evident from the fact that whilethe wireless subscriber base has increased at 75 percent CAGR from 2001 to 2006, thewire-line subscriber base growth rate is negligible during the same period. In fact, many customers are returning their wire-line phones to their serviceproviders as mobile provides a more attractive and competitive solution. The maindrivers for this trend are quick service delivery for mobile connections, affordable pricingplans in the form of pre-paid cards and increased purchasing power among the 18 to 40years age group as well as sizeable middle class – a prime market for this service. Some of the positive impacts of this trend are as follows. According to a study, 18percent of mobile users are willing to change their handsets every year to newer modelswith more features, which is good news for the handset vendors. The other impact is thatwhile the operators have only limited options to generate additional revenues throughBABASAB PATIL Page 14
  • AIRTELvalue-added services from wire-line services, the mobile operators have numerousoptions to generate non-voice revenues from their customers. Some examples of value-added services are ring tones download, coloured ringback tones, talking SMS, mobisodes (a brief video programme episode designed formobile phone viewing) etc. Moreover, there exists great opportunity for contentdevelopers to develop applications suitable for mobile users like mobile gaming, locationbased services etc. On the negative side, there is an increased threat of virus – spreadthrough mobile data connections and Bluetooth technology – in mobile phones, makingthem unusable at times. This is good news for anti-virus solution providers, who will gainfrom this trend.MERGERS Demand for new spectrum as the industry grows and the fact the spectrumallocation in done on the basis of number of subscribers will force companies to merge soas to claim large number of subscribers to gain more spectrum as a precursor to thelaunch of larger and expanded services. However it must also be noted that this may verywell never happen on account of low telecom penetration.National Long Distance Services India’s national long distance market is estimated to be Rs.138 billion inrevenue, representing more than 30% of the total telecom services market. The markethas two segments: intra-circle (within the same state/ circle) and inter-circle (from onestate/ circle to another, including from cellular to fixed lines). Inter-circle revenues areestimated to be Rs.57 billion (from 6.7 billion minutes), intra-circle revenues-Rs 48billion (from 20 billion minutes), and Rs. 3 billion from cellular calls. The national longdistance market is expected to be Rs.240 billion by 2007 and Rs 500 billion by 2010,according to TRAI estimates. Of this, the inter-circle market is expected to grow toRs.170 billion by 2007. After remaining a monopoly of the Department of Telecom,National Long Distance (NLD) services were opened to the private sector in August2000. NLD licenses govern only inter-circle connectivity, but operators may provideBABASAB PATIL Page 15
  • AIRTELservices in the short distance calling areas (SDCAs) through agreements with the basicservice providers in those areas. The NLD network consists of 322 long distance chargingareas (LDCAs) and licensees must roll out services in at least 15%of these within 2 years,and cover all areas within 8 years. NLD operators may also enter basic circles by payingan entry fee, thereby providing the full range of services. The National Long DistanceOperations (NLDO)policy also allowed private Infrastructure Providers to set up telecommunicationsinfrastructure for captive as well as third party use.Growth in the long distance market will emerge from the following factors:  Voice tariff is expected to reduce by 20% annually, while traffic shall increase 25%.  Data, which has only 5% of traffic currently, will increase its share to 65% in 2007  Data transmission costs will come down significantly with economies of networking.As of now, only two private operators – Bharti and Reliance- have obtained NLDlicenses, and are investing more than Rs 300 billion in national fiber optic backbones.Reliance has the most ambitious project of all, entailing Rs. 250 billion in a 1-terabit-fiber network, spanning 115 cities having 85% of India’s telecom revenue. BSNL alreadyhas 123600 km going to 238000 by 2005. Data transmission costs will come downsignificantly once network is in place, with economies of networking. Annually 20%tariff fall expected while traffic increase 25%. Voice tariff will reduce by 70% by 2006.National Long Distance MarketBABASAB PATIL Page 16
  • AIRTEL As of now, only two private operators – Bharti and Reliance- have obtained NLDlicenses, and are investing more than Rs 300 billion in national fiber optic backbones.Reliance has the most ambitious project of all, entailing Rs. 250 billion in a 1-terabit-fiber network, spanning 115 cities having 85% of India’s telecom revenue. BSNL alreadyhas 123600 km going to 238000 by 2005. Data transmission costs will come downsignificantly once network is in place, with economies of networking. Annually 20%tariff fall expected while traffic increase 25%. Voice tariff will reduce by 70% by 2006.International Long Distance Services Data transmission costs will come down significantly once network is in place,with economies of networking. Annually 20% tariff fall expected while traffic increase25%. Voice tariff will reduce by 70% by 2006. Rs 69 billion in revenue, in the yearending March 2000, international traffic has been growing 16% in volume; thoughrevenues have stagnated.International Long distance MarketInternational Traffic 1998-99 1999-00 2000-01Billion Minutes 1.93 2.23 2.48Rs. In Billions 67.5 69.0 66.6Source: VSNL Annual ReportBABASAB PATIL Page 17
  • AIRTEL COMPANY PROFILEBABASAB PATIL Page 18
  • AIRTEL INTRODUCTION OF THE COMPANY Established in 1985, Bharti has been a pioneering force in the telecom sector withmany firsts and innovations to its credit, ranging from being the first mobile service inDelhi, first private basic telephone service provider in the country, first Indian companyto provide comprehensive telecom services outside India in Seychelles and first privatesector service provider to launch National Long Distance Services in India. As ofDecember 31, 2003, Bharti had approximately 6.07 million total customers – nearly 5.5million mobile and 569,000 fixed line customers.VISION:  “To be globally admired for telecom services that delight customers”.  most admired brand in India- By 2010 o Loved by more customers o Targeted by top talentBABASAB PATIL Page 19
  • AIRTEL o Benchmarked by more business MISSION: We will meet global standards for telecom services that delight customers through:  Customer Service Focus  Empowered Employees  Innovative Services  Cost Efficiency OBJECTIVE OF THE COMPANY: “To capitalize on the growth opportunities that the Company believes are available in the Indian telecommunications market and consolidate its position to be the leading integrated telecommunications services provider in key markets in India, with a focus on providing mobile services”. COMPANY PROFILE Corporate Structure BHARTI ENTERPRISES BHARTI TELEVENTURES BHARTI GLOBALBHARTI TELETECHBHARTI INFOTRAC MOBILITY LEADERS INFOTEL LEADERS CELLULAR SERVICES LONG DISTANCE FIXED LINE BROADBAND BHARTI HEALTHCARE BHARTI FOUNDATION BABASAB PATIL Page 20
  • AIRTELBharti TeleVentures Ltd Bharti Enterprises has been at the forefront of technology and has revolutionizedtelecommunications with its world-class products and services. Established in 1985, Bharti has been a pioneering force in the telecom sector withmany firsts and innovations to its credit, ranging from being the first mobile service inDelhi, first private basic telephone service provider in the country, first Indian companyto provide comprehensive telecom services outside India and first private sector serviceprovider to launch National Long Distance Services in India. As of December 31st 2003,Bharti had approximately 6.07 million total customers – nearly 5.5 million mobile and569,000 fixed line customers. Its services sector businesses include Mobile operations in Andhra Pradesh, Chennai,Delhi, Gujarat, Haryana, Himachal Pradesh, Karnataka, Kerala, Kolkatta, MadhyaPradesh, Maharashtra, Mumbai, Punjab, Tamil Nadu and Uttar Pradesh (West) circle. Inaddition, it also has a fixed-line operation in the states of Madhya Pradesh, Chattisgarh,Haryana, Delhi, Karnataka and TamilNadu and Nationwide broadband and long distancenetworks.BABASAB PATIL Page 21
  • AIRTEL Bharti Enterprises also manufactures and exports telephone terminals and cordlessphones. Apart from being the largest manufacturer of telephone instruments, it is also thefirst telecom company to export its products to the USA. Bharti TeleVentures through itssubsidiaries offers fixed line, long distance and broadband services. These services areoffered under the Infotel Group. The Infotel group was created in 2002 in order todevelop operational synergies between these businesses.The company intends to mergeall the Infotel Group businesses that are currently offered by separate companies into onesingle company – Bharti Infotel Limited. This integration will allow greater synergy inthe infrastructure and Sales and Solutions thereby enabling better customer servicedelivery.Bharti Infotel Limited will have 3 Strategic Business Units namely: 1. Fixed Line 2. Long Distance Division 3. Group Data and BroadbandFixedLine: This Strategic Business Unit focuses on Voice and also on Last mile access for databusiness and retail Internet business e.g. DSL, Dial up etc. The emphasis will be oncompleting the link and servicing the customers in the circles. Bharti Tele-Ventures became the first private fixed-line service provider in India,when the Company launched its fixed-line services in June 1998 in the city of Indore, inthe Madhya Pradesh circle. The Company’s fixed-line services are promoted under theTouchtel brand. The Company has completed the construction of a 3,648-kilometer fiber opticbackbone linking 29 cities in Madhya Pradesh and Chattisgarh. Recently, theBABASAB PATIL Page 22
  • AIRTELGovernment opened the fixed-line industry to unlimited competition the Companysubsequently has started providing fixed-line services in the four circles of Delhi,Haryana, Karnataka and Tamil Nadu.Long Distance Division: Bharti TeleVentures classifies its long distance business into the following categories: National long distance, which comprises:  Setting up infrastructure for carrying long distance traffic  Carrying voice and data traffic within the countryInternational long distance, which comprises:  Setting up a landing station to connect to international submarine cable systems developed by other infrastructure providers to facilitate transmission of international data traffic  Providing international long distance services to carry voice and data traffic Bharti TeleVentures has entered into a license with the DOT to provide nationallong distance voice and data services across India and is deploying an advanced fiberoptic network across India to provide such services to corporate and residentialcustomers. Bharti Tele-Ventures has launched its national long distance services for datatransmission services and for voice transmission services under the brand name IndiaOne. The Company has constructed a submarine cable landing station at Chennai,which connects the submarine cable system being deployed by its affiliate to the othersubmarine cable systems in order to provide access to international bandwidth. On July 19, 2002 the Company launched India’s first private international longdistance service.BABASAB PATIL Page 23
  • AIRTEL Bharti Tele-Ventures believes that the Company’s presence in key Indian mobileand fixed-line markets will complement its long distance business, enabling the Companyto provide end-to-end telecommunications services to its key customers.Group Data & Broadband Division: Bharti Tele-Ventures through its subsidiaries offers customized businesssolutions. This SBU, which offers Group data and broadband services, enables us to getsharply focused on the emerging data market. The unit leverages the infrastructure of theentire Bharti Group including the infrastructure of Mobility to service its customers bycreating and selling customized business solutions. The Sales and Marketing departmentsof Long Distance business (except Carrier Sales and ILD teams) works with the GroupData and Broadband Business as with the data business teams in Fixed Line Circles. The Company believes that its strong presence in the Indian telecommunicationsmarket, the depth and quality of the telecommunications services that the Companycurrently offers and also the Company’s extensive knowledge of customer preferencesenhances the Company’s competitive position to provide such value added services. Bharti TeleVentures strategic objective for its data & broadband division is tobecome a leading provider of secure, reliable and customized end-to-end networksolutions for data communication, especially to corporate customers.PRODUCTS  Post paid connection  Prepaid connection  Calling cards  Handy phonesBABASAB PATIL Page 24
  • AIRTEL  Airtel PCOPOST PAID CONNECTION Want to go Airtel and stay connected anytime, anywhere? Just visit a Airtel outletin your neighborhood and choose from a range of affordable Postpaid or Prepaidconnections.PREPAID As per new government regulations, all prepaid customers must provide thefollowing documents along with the Enrollment form: Get your new Airtel Prepaidconnection at just Rs 99 and speak at the most attractive rates. Whats more, you can top-up your plan with some exciting offeRs Choose from unlimited validity, calls offer andfree SMS.WORLDWIDE CALLING CARDS Now you can call anywhere in the world and save up to 30%. So you will nolonger need to worry about heavy STD / ISD bills or security deposits. Moreover, youllalso be able to call STD / ISD directly from your Airtel phone, with complete controlover long distance usage. World Calling Cards are prepaid cards that allow you to makeSTD / ISD calls from your Airtel phone. By using the World Calling Card to make long distance calls, you pay up to 30%lower rates than regular landlines or postpaid / prepaid calls. Whats more, with World Calling Cards, you can keep a tab on your long distanceusage, and no longer need to worry about surprisingly heavy ISD or STD bills.HOME CALLING CARDS Now you can call anywhere in the world from across 95 countries and save up to90%. So you will no longer need to worry about heavy international roaming bills.Home Calling Cards are prepaid cards that allow you to make calls from landlines, PCOsBABASAB PATIL Page 25
  • AIRTEL& mobiles from across 95 countries. By using Home Calling Card to make long distancecalls, you pay up to 90% lower rates than international roaming charges.CUSTOMER SUPPORT Our customer care personnel are available 24 X 7 to support you for callcompletion requests, dialing instructions, country/city codes information, access numberinformation, unit balance and card expiration date.AIRTEL SHOPS Whether youre looking for a new Airtel connection, or a fresh handset, youll findit here. You can also subscribe to any of our value added services or get moreinformation on them. Pay your bills, get your queries answered, and lots more. AirtelShops are located at very convenient locations around the country. Select your region tofind one near you.MOBILE AIRTEL SHOPS Airtel Shops are going on the move, to bring our services closer to you and toprovide faster online service, right at your doorstep. You can visit a Mobile Airtel Shopnear you. Mobile Airtel Shops are currently only available in Mumbai, Gujarat,Chennai,Karnataka, Kolkata, Andhra Pradesh, Delhi, Haryana and Maharashtra & Goa (exceptMumbai).AIRTEL TELESHOPS Did you know that a range of Airtel services are available in your very ownneighbourhood? Just walk into a Airtel Teleshop, just round the corner, for anything youneed. At a Airtel Teleshops you can buy a new postpaid or prepaid card, pay your bills,BABASAB PATIL Page 26
  • AIRTELreactivate your connection, and much more. So the next time you need some assistance,be sure to head for the Airtel Teleshop. Select your region to find one near you.AIRTEL @ YOUR DOORSTEP You dont need to step out of your home or office. Airtel will come to yourdoorstepSERVICESNEWS  Keep yourself updated on the latest from around the globe, directly through your Airtel phone.Stay in the loop, even on the move. Get the latest news directly on your Airtel phone. Know more Stocks, Bullion or Forex, keep up with the fast changing world of finance. Know more Contests, offers, updates and much more. All LIVE on your Airtel phone. Know more Astrology, Cricket, and News & Stock.ASTROLOGY  What do the stars have in store for you? Find out on your Airtel phone.ENTERTAINMENT  Plan your free evenings better, with the latest entertainment information from Airtel. Plus jokes, quizzes, music and much more.MOVIES  Get movie reviews, theatre details and more, just by pressing a few buttons.MUSIC  From the latest music videos to Mobile Karaoke you can get it all.BABASAB PATIL Page 27
  • AIRTELJOKES  Get your daily dose of humour on your Airtel phone.DATING  The easiest way to find yourself a date.GAMES  Get set to challenge yourself with over 400 games on Planet Airtel.TELEVISION  Get the latest TV listings directly on your Airtel phone.CONTESTS  Play some fun SMS based contests and win loads of prizes! Only on Airtel PlaySPORTS  Get your adrenalines rushing, with the best from the world of sports, sent directly to your Airtel phone?CRICKET  Indulge your cricket mania by constantly staying updated, no matter where you are.GRAND PRIX UPDATES  Get the latest from the tracks, right on your Airtel phone.STOCKS, FOREX & BULLION  Keep up with the changing world of finance.BABASAB PATIL Page 28
  • AIRTELATMS  Get the location of all the ATMs in your city, so you never run out of money.MOBILE BANKING  Just switch on your Airtel phone for all your banking needs.COMMODITY PRICES / MANDI RATES  Keep up to date with the latest rates of all commodities in your city.TRAVEL  Book tickets, check schedules, and fix fares. All without needing anything more than your Airtel phone.TRAIN SCHEDULES  Check availability, and keep an eye on your reservation, all through your Airtel phone.RAILWAY BOOKINGS  Dont waste time standing in queues. Book your train tickets the easy way.FLIGHT BOOKINGS  Pick your flight and get the best deals on air tickets through SMS.TAXI FARES  Dont be at the mercy of cab-drivers. Find out how much your ride should cost you from your AirtelRING TONES, DOWNLOADSBABASAB PATIL Page 29
  • AIRTEL  Sing along with your Airtel phone, or play requests for friends who call. The choices are almost unlimited with tunes & download from Airtel.CALLER TUNES  Play your friends their favourite songs every time they call. Set caller tunes profiles as well.BUSY CALLERTUNES  Let your callers know when youre unable to take their calls.SMS TONES  Ring in every message you get with a tune of your choice.RINGTONES  Listen to your all-time favourite tune, or the latest chartbuster, with every call. And feel free to join the Tone Club too.FUN CARDS  The easiest way to get your favourite ringtones and caller tunes, at a shop near you.LOGOS & PICTURE MESSAGES  Spruce up your Airtel phone with your favourite logos and picture messages.THEMES, WALLPAPERS & MORE  Log on to PlanetAirtel to download exciting stuff on your Airtel GPRS phone.BABASAB PATIL Page 30
  • AIRTELBHARTI’S MILESTONES:2006  Telecom Asia award – one of the most prestigious awards in the telecom sector:  Sunil Bharti Mittal gets “The Best Asian Telecom CEO” award, 2006  Bharti is the only Indian telecom to figure in this years Telecom Asia Award2005  At no three position in economic times 500 list, June 2005 top companies in India  Silver trophy at the confederation of Indian industry National six sigma award  World communications “Best Brand of the Year” award by London based E-map communication group.  Telecom Asia awards 2005 one of the most prestigious awards in the telecom sector  Sunil Bharti Mittal gets the “Best Asian Telecom CEO” award 20052004  Bharti Tele-Ventures Ltd signed an information technology outsourcing deal with infotech major IBM, estimated to be in the range of $700-750 million for a ten- year period.  Signs MoU to join the South East Asia - Middle East - Western Europe 4 (SEA- ME-WE-4) consortium along with 15 other global telecom operators.  Indias leading cellular company Bharti Tele-Ventures has bagged the "Asian Mobile News operator of the year" award in India and the subcontinent2003  Company accorded its approval for amalgamation of its subsidiary companies viz: Bharti Telenet Ltd, Bharti Telesonic Ltd, Bharti Broadband Networks Ltd andBABASAB PATIL Page 31
  • AIRTEL Bharti Comtel Ltd through scheme of Amalgamation. The merged entity would be renamed as "Bharti Infotel Ltd".  Bharti Groups cellular brand Airtel has unveiled free multimedia messaging services (MMS) for its customers. The company has also rolled out pan-India GPRS (General Packet Radio Services) for its corporate subscribers  Bharti cellular, wholly owned subsidiary of Bharti Tele-Ventures, increases its stake to 100% in Bharti Mobile2002  Bharti listed on National Stock Exchange, Bombay Stock Exchange and Delhi Stock Exchange on February 18, 2002.  First Private Fixed Line Service, Touchtel launched in Delhi, the capital of India on 4th March, 2002.  Received letter of Intent from Government of India to provide international voice services  Touchtel launched in Karnataka and Tamil Nadu.2001  Entered into a Joint Venture with Singapore Telecom, for Submarine Cable project between India and Singapore Entered into a Joint Venture with Singapore Telecom for National Long Distance Operations  Acquired 100% stake in Kolkata Cellular Operations.  Bought back British Telecoms 44% stake in Bharti Cellular.  Indias first private sector national long distance service, India One launched.  First Private Fixed Line Service, Touchtel launched in Haryana.2000  New York Life International took stake in Bharti Cellular.  Acquired controlling stake in Sky cell, Chennai. Singapore Telecom invested in Bharti - largest ever investment from Singapore in India.BABASAB PATIL Page 32
  • AIRTEL1999  EM Warburg Pincus, one of the largest International Private Equity Investors, joined BTVL.  Acquired controlling stake in J T Mobiles - cellular Operator in Andhra & Karnataka (Now Bharti Mobile Ltd)1998  First ever Indian Private Fixed Line Service launched in Indore, Madhya Pradesh on 4th June, 1998 by BTNL.  Joint Venture with BT for ISP Services  Services launched in Seychelles.  British Telecom consolidated its shareholding in Bharti Cellular.1997  British Telecom joined the Consortium of Bharti Cellular.  License for Madhya Pradesh Fixed Line services obtained.  Bharti & BT formed a joint venture Bharti BT Limited for VSAT services.1996  Commercial launching of Cellular Service "AIRTEL" by BCL in Delhi license area  Formed Bharti Tele-Ventures Limited, a joint venture company with Telecom Italia - Italy, to promote a variety of telecom projects in India  Launched Cellular Services in Himachal Pradesh1995  Formed Siemens Telecom Limited - a joint venture with Siemens - to market Telephone Terminals under the SIEMENS and the BEETEL brand names.BABASAB PATIL Page 33
  • AIRTEL  Formed a consortium with Telecom Italia - Italy, to bid for Basic and Cellular Services under Bharti Telnet Limited1994  License for the Delhi cellular project granted1993  Awarded ISO 9002 Accreditation for Gurgaon factory1992  Formed a Consortium with SFR - France, Emtel - Mauritius and MSI - UK, to bid for Cellular Licenses for metropolitan cities under Bharti Cellular Limited1991  OEM Contract with Sprint USA for manufacture and export of telephone sets.1990  Tied-up with Lucky Gold star International Corporation of South Korea for manufacture of Cordless Telephones1989  Tied-up with Takacom Corporation, Japan for manufacture of Telephone Answering Machines1985  BTL incorporated. Entered into a technical tie-up with Siemens AG of Germany for manufacture of Electronic Push Button TelephonesBABASAB PATIL Page 34
  • AIRTEL M/S MOBILE IN (AUTHORISED DISTRIBUTOR FOIR AIRTEL) JAMKHANDI M/s Mobile In is the authorized distributors for Airtel and also they are supplying theproducts to the sub-dealer; they are supplying retailer in other area like.Jamkhandi Taluka  Jamkhandi city  Banahatti  Rabakavi  Teradal  Galagali  Alagur  MahalingapurSub-Dealers, 1. S C.Hubli (Banahatti) 2. S A.Kaktikar (Terdal) 3. S.A.Tigodoli (Galagali)They deal in products of Airtel,  Post paid connection  Prepaid connection  Calling cards  Handy phonesBABASAB PATIL Page 35
  • AIRTEL  Airtel PCOBABASAB PATIL Page 36
  • AIRTEL ARTICLEBABASAB PATIL Page 37
  • AIRTEL Customer retention Strategies… Determine the strength of the company’s customer retention strategies by askingexisting customers whether they will recommend the company or not. Even thoughcustomer relationships are one of the company’s most valuable assets, they are often oneof the most undervalued assets too. In the constant battle to gain new customers, it is easyto over look the value existing customer relationship. All corporate profits are ultimately eared from conducting successful relationshipwith customers. As the source of all your profits, customer relationships should be valuedand protected. Every customer relationship is an asset and has a economic value orLifetime Market Value ( LMV ). A customer’s Lifetime Market Value is determined bytaking your average customer transaction amount and multiplying it by the number oftransactions he or she will conduct with your organization over time.Reasons Customers Leave:  Move or Die 4%  Other Company Friendship 5%  Competition 9%  Product Dissatisfaction 15%  No Customer Contact Strategy 67%If your customers begin to feel ignored or neglected, won’t they ultimately take theirbusiness elsewhere?Customer Retention - keeping customers - can be improved by explaining to youremployees - especially those on the front line who deal directly with your customers -just how much each customer is worth to your business.Customer Attrition - losing customers - can be dramatically reduced when all of youremployees work together to keep your existing customers satisfied.Developing a Customer Retention Strategy is one way to keep existing customers contentand your new customers coming back for more.Maintain high customer satisfaction levels and protect your customer relationships -because satisfied customers are truly one of your company’s most valuable assets.BABASAB PATIL Page 38
  • AIRTEL Customer Retention Formula:S.E.R.V. = Serve + Engage + Relate + VerifySERVE your customers. So many companies seem to be forgetting this basic point.Eventually, these organizations pay a stiff penalty. The customer must know that they aregoing to walk through your doors and consistently receive the "WOW" experience. Aconsistently positive customer experience will not only have customers returning, but willhave them referring their friends and family. Next, let’s break down and explore each part of the customer retention formula.ENGAGE your customers. Connect with them whenever possible. Make the effort toreach out to your customers at every opportunity. Know the names of your customers.Know their likes/dislikes and know a little about what is happening in their lives. It’s notdifficult; it just takes a moment of actually speaking, listening and paying attention towhat they say. This part of the customer retention formula is clear about the importance ofbuilding a connection with your customers. This connection will be what keeps customerloyal to you and your company.RELATE to your customers. Let them know that you understand their needs. Showingindifference to your customers will only have them quickly turning to your competitorsfor reassurance. Ensure your customers know how much you appreciate their business. Peoplewant to be wanted. If they feel taken for granted and unappreciated, they will be an easytarget for your competition.VERIFY that what you are doing is working. There cannot be too much follow up. Sendout customer service surveys. Drop in for courtesy calls - do whatever is necessary tokeep the communication flowing.  Inspect what you expect when it comes to customer service.  The principles of our customer retention formula are actually very simple. Bottom line, without customer service, there are no customers to serve.  In order to keep your current customers and constantly gather new ones, you have to keep your customer service standards at the highest level possible.  It’s a fact that many customers will go where they feel the most “cared for”. Despite what you might think, price is NOT the most important thing in the minds of many consumers.  Take care of your customers and them, in return, will take care of you.  Never allow your organization to lose sight of the customer retention formula. Success in customer retention is very basic - it will always be the little things that make all the difference.BABASAB PATIL Page 39
  • AIRTELBABASAB PATIL Page 40
  • AIRTEL RESEARCH METHODOLOGYBABASAB PATIL Page 41
  • AIRTEL TITLE OF THE PROJECT “FORMULATION OF CUSTOMER RETENTION STRATEGIES BY ASSESSING REASONS FOR SWITCHING OVER FROM AIRTEL TO OTHER SERVICE PROVIDERS” OBJECTIVES: 1. To study the telecommunication sector in India. 2. To study the reasons as to why the customers are switching from Airtel to other service providers 3. To find out the problems faced by Airtel postpaid users in particular. 4. To carryout the competitor analyses.SAMPLE DESIGN:Population for this research is 117 customers, who switched over from Airtel to otherservice provider.SAMPLE SIZE = 117.SAMPLE AREA:Jamkhandi Taluka,  Jamkhandi city  Banahatti  Rabakavi  Teradal  Galagali  AlagurBABASAB PATIL Page 42
  • AIRTELSAMPLING METHOD: The process of drawing sample units from the population is called sampling method.In order to have the unbiased results in the survey, the using method is100% samplingDURATION OF THE PROJECTFour Months Period of 10th Dec 2007 to 27th April, 2008FIELD WORK This market research involved a fieldwork of 3 weeks where in I have administered pre-tested questionnaire to customers. I have carried out the survey to 117 respondents byhaving the personal interaction with them.TOOLS USED FOR ANALYSIS: 1. Sample testing in SPSS software 2. Graphical Representation of Analysis: a. Pie charts b. Bar DiagramsDATA COLLECTION APPROACH:Primary dataPrimary data is collected in two phases 1) Within Jamkhandi city 2) Out of Jamkhandi city (Jamkhandi Taluka) Primary data has been used to carry out the research successfully. The secondary data has been collected from various journals and publications. For the purpose ofBABASAB PATIL Page 43
  • AIRTEL gathering primary data a structure and non-disguised questionnaire was designed to collect data from the customer. The questionnaire contains both open-ended and close-ended questions.Method of Communication: In order to minimize the bias in data collection, the method of personal interview wasadopted.THE SOURCES OF THE DATA ARE AS FOLLOWSThe study relies to a great extent on primary data and to some extent on secondary data:PRIMARY DATA: • Questionnaire • Observation and interview techniqueSECONDARY DATA: • Information is collected through internet • From various text books • Journals and magazinesLIMITATION OF THE STUDY;The study is restricted in the scope owing to the following limitations: 1. The study is limited to a particular geographical area that is Jamkhandi Taluka only. 2. The information and data collected and analyzed is restricted to the researchers’ knowledge and ability. 3. The answers that I have got from the customers cannot be considered as totally perfect because of various personal and other limitations. 4. Cost and time was also another limiting factor that affected the study.BABASAB PATIL Page 44
  • AIRTEL As customers expectations and experiences include more of psychological aspects thesurvey made during a particular time period will give the information about thecustomers during that particular time period. In order to be up-to-date in understandingthe level of satisfaction periodic surveys are necessary. ANALYSIS AND INTERPRETATIONBABASAB PATIL Page 45
  • AIRTEL1 .WHICH OF THE AGE GROUP DO YOU BELONG?STATISTICS: N Valid 117 Missing 0 Mean 3.5556 Median 3.0000 Mode 3.00 Cumulative Frequency Percent Valid Percent Percent Valid 21 - 25 YEARS 62 53.0 53.0 53.0 26 - 30 YEARS 45 38.5 38.5 91.5 31 - 40 YEARS 10 8.5 8.5 100.0 Total 117 100.0 100.0GRAPH: 31 - 40 YEARS 10.00 / 8.5% 21 - 25 YEARS 26 - 30 YEARS 62.00 / 53.0% 45.00 / 38.5%INTERPRETATION:BABASAB PATIL Page 46
  • AIRTEL  The above graph shows that out of 117 sample respondents, 53.0% (62) are the group of age 21 – 25 years, 38.5% (45) are 26 – 30 years and 8.5 % (10) are belongs to 31 – 40 years old.  From the inference it can conclude that majority of the sample respondents belongs to the age group of 21 – 25 years old.2. WHICH OF THE PROFESSION DO YOU BELONG?STATISTICS: N Valid 117 Missing 0 Mean 2.1282 Median 2.0000 Mode 1.00 Cumulative Frequency Percent Valid Percent Percent Valid STUDENT 49 41.9 41.9 41.9 BUSINESSMEN 28 23.9 23.9 65.8 GOVT, EMPLOYEE 34 29.1 29.1 94.9 DOCTOR 6 5.1 5.1 100.0 Total 117 100.0 100.0GRAPH: DOCTOR 6.00 / 5.1% GOVT, EMPLOYEE STUDENT 34.00 / 29.1% 49.00 / 41.9% BUSINESSMEN 28.00 / 23.9%INTERPRETATION:BABASAB PATIL Page 47
  • AIRTEL  The above graph shows that out of 117 sample respondents, 41.9% (49) are the students, 29.1% (34) are Govt, employees, 23.9% (28) are Businessmen and 5.1 % (6) are doctors.  From the inference it can conclude that majority of the sample respondents belongs to the profession is students.3. STATE THE REASONS FOR USING THE POSTPAID CONNECTION?STATISTICS: N Valid 117 Missing 0 Mean 3.3675 Median 3.0000 Mode 3.00 Cumulative Frequency Percent Valid Percent Percent Valid EASE OF PAYMENT 5 4.3 4.3 4.3 ATTRACTIVE 20 17.1 17.1 21.4 SCHEMES/PACKAGES ECONOMIC 40 34.2 34.2 55.6 LONG TALKING HOURS 31 26.5 26.5 82.1 ANY OTHER 21 17.9 17.9 100.0 Total 117 100.0 100.0BABASAB PATIL Page 48
  • AIRTELGRAPH: EASE OF PAYMENT ANY OTHER 5.00 / 4.3% 21.00 / 17.9% ATTRACTIVE SCHEMES/P 20.00 / 17.1% LONG TALKING HOURS 31.00 / 26.5% ECONOMIC 40.00 / 34.2%INTERPRETATION:  The above graph shows that out of 117 sample respondents, 34.2% (40) are for economic, 26.5% (31) are for long talking hours and remaining 39.3% (46) are for like attractive schemes, ease  From the inference it can conclude that majority of sample respondents are use post paid connection because it is economical.4. WHAT INFLUENCE YOU IN SHIFTING YOUR BRAND?STATISTICS: N Valid 117 Missing 0 Mean 2.2393 Median 2.0000 Mode 1.00BABASAB PATIL Page 49
  • AIRTEL Cumulative Frequency Percent Valid Percent Percent Valid BILLING 45 38.5 38.5 38.5 CLARITY OF SOUND AND CROSS 22 18.8 18.8 57.3 CONNECTION NOT ATTRACTIVE 27 23.1 23.1 80.3 SCHEMES LACK OF COMPLAINT 23 19.7 19.7 100.0 HANDLING Total 117 100.0 100.0GRAPH: LACK OF COMPLAINT HA 23.00 / 19.7% BILLING 45.00 / 38.5% NOT ATTRACTIVE SCHEM 27.00 / 23.1% CLARITY OF SOUND AND 22.00 / 18.8%INTERPRETATION:  The above graph shows that out of 117 sample respondents, 38.5% (45) are for Billing, 19.7% (23) are for lack of complaint handlings,18.8% (22) are for clarity of sound and cross connection and remaining 23.0% (27) are for not attractive schemes,  From the inference it can conclude that People shift from Airtel to other service providers due to billing issues and lack in complaint handling.4. A1. DO YOU FIND HIGH RATE PER PULSE?STATISTICS: N Valid 45 Missing 0 Mean 1.4444 Median 1.0000BABASAB PATIL Page 50
  • AIRTEL Mode 1.00 Cumulative Frequency Percent Valid Percent Percent Valid YES 25 55.6 55.6 55.6 NO 20 44.4 44.4 100.0 Total 45 100.0 100.0GRAPH: NO 20.00 / 44.4% YES 25.00 / 55.6%INTERPRETATION:  The above graph shows that out of 45 customers, 55.6% (25) have feel that Airtel is providing high pulse per rate and remaining 44.4% (20) have satisfied with the high pulse per rate.  From the inference it can conclude that Majority of the sample respondents “feels” that Airtel pulse rates are relatively high.4. A2. HIGH FIXED RENTALSTATISTICS: N Valid 45 Missing 0BABASAB PATIL Page 51
  • AIRTEL Mean 1.2444 Median 1.0000 Mode 1.00 Cumulative Frequency Percent Valid Percent Percent Valid YES 34 75.6 75.6 75.6 NO 11 24.4 24.4 100.0 Total 45 100.0 100.0GRAPH: NO 11.00 / 24.4% YES 34.00 / 75.6%INTERPRETATION:  The above graph shows that out of 45 sample respondents, 75.6% (34) have feel that the company is providing high fixed rental and remaining 44.4% (11) are satisfied with the fixed rental.  From the inference it can conclude that Majority of the sample respondents “feels” that Airtel rents are relatively high.4. A2. JUMPS IN CALLSTATISTICS: N Valid 45BABASAB PATIL Page 52
  • AIRTEL Missing 0 Mean 1.5556 Median 2.0000 Mode 2.00 Cumulative Frequency Percent Valid Percent Percent Valid YES 20 44.4 44.4 44.4 NO 25 55.6 55.6 100.0 Total 45 100.0 100.0GRAPH: YES 20.00 / 44.4% NO 25.00 / 55.6%INTERPRETATION:  The above graph shows that out of 45 sample respondents, 55.6% (25) have not having the complaint regarding “jumps in call” and remaining 44.4% (11) have experienced that the company is having the complaint of “jumps in call”.  From the inference it can conclude that majority of the people not having the complaint regarding “jumps in call”4. B.1. DISTARBANCEBABASAB PATIL Page 53
  • AIRTELSTATISTICS: N Valid 22 Missing 0 Mean 1.3636 Median 1.0000 Mode 1.00 Cumulative Frequency Percent Valid Percent Percent Valid YES 14 63.6 63.6 63.6 NO 8 36.4 36.4 100.0 Total 22 100.0 100.0GRAPH: NO 8.00 / 36.4% YES 14.00 / 63.6%INTERPRETATION:  The above graph shows that out of 22 sample respondents, 63.6% (14) have complaint regarding “disturbance” and remaining 36.4% (8) do not have the complaint regarding “disturbance”.  From the inference it can conclude that “Disturbance” was a major technical issue for the surveyed sample respondents.4. B2. ONE-WAY COMMUNICATIONBABASAB PATIL Page 54
  • AIRTELSTATISTICS: N Valid 22 Missing 0 Mean 1.7727 Median 2.0000 Mode 2.00 Cumulative Frequency Percent Valid Percent Percent Valid YES 5 22.7 22.7 22.7 NO 17 77.3 77.3 100.0 Total 22 100.0 100.0GRAPH: YES 5.00 / 22.7% NO 17.00 / 77.3%INTERPRETATION:  The above graph shows that out of 22 sample respondents, 77.3% (17) do not have the complaint regarding “one way communication” and remaining 22.7% (5) have complaint regarding “one way communication”.  From the inference it can conclude that majority of the people do not have complaint regarding “one way communication”.BABASAB PATIL Page 55
  • AIRTEL4. B3. CROSS CONNECTIONSTATISTICS: N Valid 22 Missing 0 Mean 1.6364 Median 2.0000 Mode 2.00 Cumulative Frequency Percent Valid Percent Percent Valid YES 8 36.4 36.4 36.4 NO 14 63.6 63.6 100.0 Total 22 100.0 100.0GRAPH: YES 8.00 / 36.4% NO 14.00 / 63.6%INTERPRETATION:  The above graph shows that out of 22 sample respondents, 63.6% (14) do not have the complaint regarding “cross connection” and remaining 36.4% (8) have complaint regarding “cross connection”.  From the inference it can conclude that majority of the people do not have complaint regarding “cross connection”.BABASAB PATIL Page 56
  • AIRTEL4. C1. INTRA CIRCLE CALL RATESTATISTICS: N Valid 27 Missing 0 Mean 2.6667 Median 3.0000 Mode 2.00 Cumulative Frequency Percent Valid Percent Percent Valid MEDIUM 13 48.1 48.1 48.1 HIGH 10 37.0 37.0 85.2 VERY HIGH 4 14.8 14.8 100.0 Total 27 100.0 100.0GRAPH: VERY HIGH 4.00 / 14.8% MEDIUM 13.00 / 48.1% HIGH 10.00 / 37.0%INTERPRETATION:  The above graph shows that out of 27 sample respondents, 48.1% (13) feel that “intra circle call rate” are medium compared with other services, 37.0% (10) of sample feel “high”, and remaining 14.8% (4) of sample feel “very high”BABASAB PATIL Page 57
  • AIRTEL  From the inference it can conclude that majority of the sample feel that “intra circle call rate” is medium compared with other services.4. C2. INTER CIRCLE CALL RATESTATISTICS: N Valid 27 Missing 0 Mean 2.7037 Median 3.0000 Mode 3.00 Cumulative Frequency Percent Valid Percent Percent Valid MEDIUM 11 40.7 40.7 40.7 HIGH 13 48.1 48.1 88.9 VERY HIGH 3 11.1 11.1 100.0 Total 27 100.0 100.0GRAPH: VERY HIGH 3.00 / 11.1% MEDIUM 11.00 / 40.7% HIGH 13.00 / 48.1%INTERPRETATION:  The above graph shows that out of 27 sample respondents, 48.1% (13) feel that “inter circle call rate” are high compared with other services, 40.7% (11) of sample feel “medium”, and remaining 11.1% (3) of sample feel “very high”.BABASAB PATIL Page 58
  • AIRTEL  From the inference it can conclude that majority of the sample respondents feel that “inter circle call rate” is high compared with other services.4. C3. OTHERSTATISTICS: N Valid 27 Missing 0 Mean 2.5556 Median 3.0000 Mode 3.00 Cumulative Frequency Percent Valid Percent Percent Valid LOW 3 11.1 11.1 11.1 MEDIUM 9 33.3 33.3 44.4 HIGH 12 44.4 44.4 88.9 VERY HIGH 3 11.1 11.1 100.0 Total 27 100.0 100.0GRAPH: VERY HIGH LOW 3.00 / 11.1% 3.00 / 11.1% MEDIUM 9.00 / 33.3% HIGH 12.00 / 44.4%INTERPRETATION:  The above graph shows that out of 27 sample respondents, 44.4% (13) feel that other service like “broad band service” are high compared with other serviceBABASAB PATIL Page 59
  • AIRTEL provider, 33.3% (9) of sample feel “medium”, 11.1% (3) of customer feel low and remaining 11.1% (3) of sample feel “very high”  From the inference it can conclude that majority of the sample respondents feel that rates for other services like “broad band service” are high compared to other service providers.4. d. HOW DO YOU RATE AIRTEL’S SERVICES RELATING TOCOMPLAINT HANDLING?STATISTICS: N Valid 23 Missing 0 Mean 1.8261 Median 2.0000 Mode 2.00 Cumulative Frequency Percent Valid Percent Percent Valid QUICK RESPONSE 6 26.1 26.1 26.1 LATE RESPONSE 15 65.2 65.2 91.3 NO RESPONSE 2 8.7 8.7 100.0 Total 23 100.0 100.0BABASAB PATIL Page 60
  • AIRTELGRAPH: NO RESPONSE 2.00 / 8.7% QUICK RESPONSE 6.00 / 26.1% LATE RESPONSE 15.00 / 65.2%INTERPRETATION:  The above graph shows that out of 23 sample respondents, 65.2% (15) feel that company is giving “late response” regarding complaint handling, 26.1% (6) feel “quick response” and remaining 8.7% (2) of sample feel “no response”.  From the inference it can conclude that Complaint handling appears to be at the core of all customer issues.5. DID THE COMPANY MAKE AN EFFORT TO CONTACT YOU TOKNOW THE REASONS FOR LEAVING THE NETWORK?STATISTICS: N Valid 117 Missing 0 Mean 1.2991 Median 1.0000 Mode 1.00BABASAB PATIL Page 61
  • AIRTEL Cumulative Frequency Percent Valid Percent Percent Valid NO 82 70.1 70.1 70.1 YES 35 29.9 29.9 100.0 Total 117 100.0 100.0GRAPH: YES 35.00 / 29.9% NO 82.00 / 70.1%INTERPRETATION:  The above graph shows that out of 117 sample respondents, 70.1% (82) of the people say the company people did not contact to know the reason for leaving the network and remaining 29.9% (35) are say yes the company people contact them to know the reason for leaving the network.  From the inference it can conclude that majority of the sample respondents say that nobody from the company contacted them to find out why they quit using Airtel.6. DID THE COMPANY MAKE ATTEMPTS SOLVE THECOMPLAINTS?STATISTICS: N Valid 117 Missing 0BABASAB PATIL Page 62
  • AIRTEL Mean 1.2564 Median 1.0000 Mode 1.00 Cumulative Frequency Percent Valid Percent Percent Valid NO 87 74.4 74.4 74.4 YES 30 25.6 25.6 100.0 Total 117 100.0 100.0GRAPH: YES 30.00 / 25.6% NO 87.00 / 74.4%INTERPRETATION:  The above graph shows that out of 117 sample respondents, 74.4% (87) of the people say the company people do not solve the problems and remaining 25.6% (30) are say yes the company people solve the problems.  From the inference it can conclude that majority of the sample respondents say that the company people do not solve customer problems satisfactorily.7. DO YOU ACCEPT THE CHANGING TARRIF PLANS / SCHEMES BYCOMPANY?BABASAB PATIL Page 63
  • AIRTELSTATISTICS: N Valid 117 Missing 0 Mean 1.6154 Median 2.0000 Mode 2.00 Cumulative Frequency Percent Valid Percent Percent Valid YES 45 38.5 38.5 38.5 NO 72 61.5 61.5 100.0 Total 117 100.0 100.0GRAPH: YES 45.00 / 38.5% NO 72.00 / 61.5%INTERPRETATION:  The above graph shows that out of 117 sample respondents, 61.5% (72) of the people say company doesn’t allow changing the tariff plans and remaining 38.5% (45) are say the company allows changing the tariff plans.  From the inference it can conclude that majority of the people say company doesn’t allow changing the tariff plans.BABASAB PATIL Page 64
  • AIRTEL8. WHICH COMPANY PROVIDES BEST TARRIF PLANS?STATISTICS: N Valid 117 Missing 0 Mean 2.2564 Median 2.0000 Mode 2.00 Cumulative Frequency Percent Valid Percent Percent Valid VODAFONE 73 62.4 62.4 62.4 SPICE 3 2.6 2.6 65.0 RELIANCE 6 5.1 5.1 70.1 TATA INDICOM 5 4.3 4.3 74.4 BSNL 30 25.6 25.6 100.0 Total 117 100.0 100.0GRAPH: BSNL 30.00 / 25.6% TATA INDICOM 5.00 / 4.3% VODAFONE RELIANCE 73.00 / 62.4% 6.00 / 5.1% SPICE 3.00 / 2.6%INTERPRETATION:  The above graph shows that out of 117 sample respondents, 62.4% (73) feel that “Vodafone” provides best tariff plans, 25.6% (30) of sample feel “BSNL”, and remaining 12.0% (14) of sample feel others like reliance, TATA Indicom and Spice.  From the inference it can conclude that majority of the sample respondents feel Vodafone and BSNL are leading as competitors to Airtel in terms of tariff plans.BABASAB PATIL Page 65
  • AIRTEL 9. THE STRENGTHS & AREAS OF IMPROVEMENTS OF EACH BRAND?A) VODAFONESTATISTICS: N Valid 117 Missing 0 Mean 2.4103 Median 2.0000 Mode 3.00 Cumulative Frequency Percent Valid Percent Percent Valid Customer Service 30 25.6 25.6 25.6 Economic price 44 37.6 37.6 63.2 Value added schemes 14 12.0 12.0 75.2 Billing 29 24.8 24.8 100.0 Total 117 100.0 100.0GRAPH: 50 44 40 30 30 29 20 Frequency 14 10 Customer Service Value added schemes Economic price Billing VodafoneINTERPRETATION:  The above graph shows that out of 117 sample respondents, 37.6% feel that “Vodafone” is best in economic, 25.6% feel customer oriented and remaining said it has to improve the network.BABASAB PATIL Page 66
  • AIRTEL  From the inference it can conclude that majority of the sample respondents feel “Vodafone” is best in economic.B) SPICESTATISTICS: N Valid 117 Missing 0 Mean 1.8974 Median 2.0000 Mode 1.00 Cumulative Frequency Percent Valid Percent Percent Valid Customer Service 82 70.1 70.1 70.1 Economic price 18 15.4 15.4 85.5 Good network 8 6.8 6.8 92.3 Billing 9 7.7 7.7 100.0 Total 117 100.0 100.0GRAPH: 100 80 82 60 40 Frequency 20 18 8 9 0 Customer Service Good network Economic price Billing SpiceINTERPRETATION:  The above graph shows that out of 117 sample respondents, 70.1% feel that “Spice” is best in economic price, and remaining said it has to improve the clarity and network.BABASAB PATIL Page 67
  • AIRTEL  From the inference it can conclude that majority of the sample respondents feel “Spice” is best in economic price.C) RELIANCESTATISTICS: N Valid 117 Missing 0 Mean 1.9316 Median 2.0000 Mode 1.00 Cumulative Frequency Percent Valid Percent Percent Valid Customer Service 59 50.4 50.4 50.4 Economic price 29 24.8 24.8 75.2 Good network 14 12.0 12.0 87.2 Value added features 15 12.8 12.8 100.0 Total 117 100.0 100.0GRAPH: 70 60 59 50 40 30 29 20 Frequency 14 15 10 0 Customer Service Good network Economic price Value added features RelianceINTERPRETATION:  The above graph shows that out of 117 sample respondents, 50.4% feel that “Reliance” is best in customer oriented and remaining said it has to improve in value added features.BABASAB PATIL Page 68
  • AIRTEL  From the inference it can conclude that majority of the sample respondents feel “Reliance” is best for Customer oriented.D) TATA INDICOMSTATISTICS: N Valid 117 Missing 0 Mean 2.1368 Median 2.0000 Mode 1.00 Cumulative Frequency Percent Valid Percent Percent Valid Customer Service 28 23.9 23.9 23.9 Economic price 29 24.8 24.8 48.7 Good network 15 12.8 12.8 61.5 Value Added features 13 11.1 11.1 72.6 Billing 32 27.4 27.4 100.0 Total 117 100.0 100.0GRAPH: 40 30 32 28 29 20 15 13 Frequency 10 0 Customer Service Good network Billing Economic price Value Added features TATA IndicomINTERPRETATION:BABASAB PATIL Page 69
  • AIRTEL  The above graph shows that out of 117 sample respondents, 27.4% feel that “TATA Indicom” is best in billing, and 23.9% feel value added services and remaining said it has to improve the network.  From the inference it can conclude that majority of the sample respondents feel “TATA Indicom” is best in Billing.E) BSNLSTATISTICS: N Valid 117 Missing 0 Mean 2.2479 Median 2.0000 Mode 1.00 Cumulative Frequency Percent Valid Percent Percent Valid Economic price 74 63.2 63.2 63.2 Good network 43 36.8 36.8 100.0 Total 117 100.0 100.0GRAPH: 80 74 60 40 43 20 Frequency 0 Economic price Good network BSNLBABASAB PATIL Page 70
  • AIRTELINTERPRETATION:  The above graph shows that out of 117 sample respondents, 63.2% feel that “BSNL” is best in economic, 36.8% feel it is good in network and remaining said it has to improve the value added services like free caller tones.  From the inference it can conclude that majority of the sample respondents feel “BSNL” is best in economic. HYPOTHESISBABASAB PATIL Page 71
  • AIRTEL DATA ANALYSIS METHOD Data analysis is a crucial step in the marketing research. The purpose of thisanalysis is to interpret the collected data & to draw the conclusions from the mass of thecollected data. The statistical calculations are the unscratchable parts of any survey.Test Used Here “Z-Test” has been used because the size of the sample is more than 30. In this test I have used standard error as standard deviation because as I amdealing with the proportions I cannot have standard deviation. Sigma p = P (1-p) n-1 Z= (P0-p) / S Where P = Population Proportion P0 = Sample Proportion S = Standard error n = Sample SizeBABASAB PATIL Page 72
  • AIRTELHYPOTHESIS: 1. This Hypothesis is tested with the help of questionnaire. The H0 states that morethan 70% of customers are feeling that company people not solve customer problemssatisfactorily. As per the data collected 87 out of 117 customers are agreed that companypeople not solve customer problems satisfactorilyHo= At least 74% of respondents said company people do not solve customer problemssatisfactorily = P > 0.74H1= the respondents said company people do not solve customer problems satisfactorilyis less than 74% = P ≤ 0.74Using “Z Test” can prove this.P= 0.74 1-P = 1-0.74 = 0.26N = Sample size = 117 n-1 = 116α = 5% level of confidence.Z= 1.64 (referring table) S= 0.74 (1-0.74) 116 S = 0.068And Z = (P0 – p) / S Here P0 = 87/117 = 0.744 = (0.744 – 0.74) / 0.068 = 0.004 / 0.068 Z = 0.588CONCLUSION:  Accept H0 because it fall under the confidence level that is 1.64  And here 74% customers are agreed that company people not solve customer problems satisfactorilyBABASAB PATIL Page 73
  • AIRTEL FINDINGSBABASAB PATIL Page 74
  • AIRTEL FINDINGS Based on the analysis and the interpretation of the data, findings are recorded which are as follows, 1. Majority of the sample respondents belongs to the age group of 21 – 25 years. 2. Majority of sample respondents are use post paid connection because it is economical 3. People shift from Airtel to other service providers due to billing issues and lack in complaint handling. 4. Majority of the sample respondents “feels” that Airtel pulse rates, rents, inter circle call rate are relatively high. 5. “Disturbance” was a major technical issue for the surveyed sample respondents. 6. Majority of the sample respondents feel that “intra circle call rate” are comparable with other services. 7. It is observed that majority of the sample respondents feel that rates for other services like “broad band service” are high compared to other service providers. 8. Complaint handling appears to be at the core of all customer issues. It is observed that majority of the sample respondents say that the company people do not solve customer problems satisfactorily. 9. Majority of the sample respondents say that nobody from the company contacted them to find out why they quit using Airtel. 10. Vodafone and BSNL are leading as competitors to Airtel in terms of tariff plans. 11. Airtel leads closest competitors Vodafone, Spice and TATA Indicom in terms of network and value added services. 12. It is observed that majority of the sample respondents feel “Reliance” is best for Customer oriented services and needs to improve only in value added features like free caller tones and ring tones download.BABASAB PATIL Page 75
  • AIRTEL SUGGESTIONSBABASAB PATIL Page 76
  • AIRTEL SUGGESTIONS Based on the findings of the study the following suggestions are made.Airtel should  come up with more plans suited for the age group of above 26 - 30 years.  come up with more plans suited for the government officials.  try to contact the people who have left the Airtel network and get the cause due to which they have left Airtel.  improve the billing service  re-look toward reducing fixed rental charges  come up with more and more attractive schemes like loyalty discounts etc.BABASAB PATIL Page 77
  • AIRTEL CONCLUSIONBABASAB PATIL Page 78
  • AIRTEL CONCLUSION Customers’ expectations constantly keep increasing, especially from a growingsector like telecom where the choices they have are ample, the customers get close tobeing insatiable. High quality and low cost are no longer USPs’ (Unique SellingProposition) for any service provider. These are assumed. Today’s mobile user wantsmore. Firstly, the customer is constantly in search of a better “offer” that fits his / herneed. Hence loyalty is a rarity in the telecom business. With TRAI (TelephoneRegulatory Authority of India) insisting on MNP (Mobile Number Portability) to beimplemented soon, the difficulty in using a new number while switching serviceproviders will be eliminated. The service providers will have to constantly endeavor tomaintain their market shares. Secondly, branding and other promotional activities seem to help only to a point.In order to achieve customer loyalty, the journey promises to be tough and never ending. Finally, today’s customer is very sensitive to issues like responses to complaints,billing system, value for money etc. These and such other issues deserve special concern.BABASAB PATIL Page 79
  • AIRTEL BIBLIOGRAPHY 1. Marketing Management by Philip Kotler. 2. www.airtelenterprise.com 3. www.bhartiteleventures.com 4. http://www.marketingprinciples.com/customerretention/default.asp? cat=123BABASAB PATIL Page 80
  • AIRTEL ANNEXUREBABASAB PATIL Page 81
  • AIRTEL QUESTIONNAIREDear Sir/Madam,Personal data: Name of the customer: - ________________. Address: - ___, Contact (if any):- . Town/ village: - . 1. Which of the age group do you belong? a. Up to 15 Yrs b. 16 - 20 Yrs c. 21 – 25 Yrs d. 26 – 30 Yrs e. 31 – 40 Yrs f. 41 - 50 Yrs g. Above 50 Yrs 2. Which of the Profession do you belong? a. Student b. Businessmen c. Govt. Employee d. Company employee e. House wife f. Agriculture. g. Doctor. h. Any other. 3. State the reasons for using the postpaid connection? a. Ease of payment b. Attractive Schemes / packages c. Economical d. Long talking hrs e. Any other 4. What influenced you in shifting your brand? a. Billing b. Clarity of sound and Cross connections c. Not attractive schemes d. Lack of complaint handlingBABASAB PATIL Page 82
  • AIRTELAttempt the only questions, which you have ticked.a) Billing. i. Do you find high rate per pulse? Yes. No. ii. Do you find problem these following factors? Factors Yes No High fixed rental Jumps in callb) Clarity of sound i. Do you find problems in following factors? Factors Yes No Disturbance One way communication Cross connectionsc) Not Attractiveness of schemes and cross connection. i. How do you compare with your existing service to Airtel service? Low Medium HighV.High Inter circle call rate. [] [] [][] Intra circle call rate. [] [] [][] Other_________________. [] [] [][]d) Lack of Complaint handling. i. How do you rate Airtel’s services relating to complaint handling? Quick responseBABASAB PATIL Page 83
  • AIRTEL Late response No response. 5. Did the company make attempts solve the complaints? Yes No 6. Did the company make an effort to contact you to know the reasons for leaving the Network? Yes No 7. Do you accept the changing tariff plans / schemes by company? Yes No 8. Which company provides the best tariff plans? a. Vodafone b. Spice c. Reliance d. Tata Indicom e. BSNL 9. The strengths of each brand? Brands Clarity Free Economi Billing Reach Value Customer SMS c added oriented servicesVodafoneSpiceRelianceTata IndicomBSNL THANK YOUBABASAB PATIL Page 84
  • AIRTELBABASAB PATIL Page 85