A Study On Customer Satisfaction On Mobile Service Providers With Reference To Select Companies

IRJMSH Volume 5 Issue 1 online ISSN 2277 – 9809
International Research Journal of Management Sociology & Humanity Page 153
http:www.irjmsh.com
A Study on Customer Satisfaction on Mobile Service Providers with
reference to select Companies
NIRANJAN BAIG MEERJA
Research scholar
Department of Business Management
Osmania University,Hyderabad-500007
ABSTRACT:
Mobile telecommunication is a communication network which doesn't depend on any
physical connection between two communication entities and have flexibility to be mobile
during communication. Customer satisfaction is defined as "the number of customers, or
percentage of total customers, whose reported experience with a firm, its products, or its services
(ratings) exceeds specified satisfaction goals. Mobile telecommunication is a rapidly growing
sector in India. It is penetrating all sections of people viz. rich and common people. Now a days
everybody depending on mobile phone for communication, banking, internet etc..Mobile service
providers providing various facilities to attract the customers along with 2G,3G,4G technology.
KEYWORDS: Cellular services, Customer satisfaction, Marketing, Mobile service providers.
Customer Satisfaction:
According to Philip Kotler, “satisfaction is a person‟s feelings of pleasure or
disappointment resulting from product‟s perceived performance (outcome) in relation to his
expectations. Customer satisfaction is the level of a person‟s felt state resulting from comparing
a product‟s perceived performance (outcome) in relation to the person‟s expectations”.
This satisfaction level is a function of difference between perceived performance and
expectations. If the product‟s performance, exceed expectation the customer highly satisfied or
delighted. If the performance matches the expectations the customer is satisfied. If the products
performance fall shorts of expectations the customer is dissatisfied.

http:www.irjmsh.com
Many companies are aiming for high satisfaction because customers who are just satisfied
still find it easy to switch when a better offer comes along. High satisfaction or delight
creates an emotional affinity with brand.
Variety of factors that affect customer satisfaction includes product quality, product
availability and after sales support such as warranties and services. Customer satisfaction is
seen as a proof of delivering a quality product or service. It is believed that customer
satisfaction brings sales growth, and market share. A company can always increase customer
satisfaction by lowering its price or increasing its services but this may result in lower
profits. Thus the purpose of marketing is to generate customer value profitability.
India is on the threshold of a new millennium. India chose for global economy, exposing it
to winds of change in the market place, which has expanded vastly and become fiercely
competitive. In the changed environment, decision makers view the marketing concept as
the key to success. Marketing in practice has to manage products, pricing, promotion and
distribution.
A successful product can be developed by exploding these opportunities. While delivering
the value of the consumer we make use of marketing support. This support is based on the
knowledge of consumers and distribution. Marketing support both at the introduction of
products and maturing is considered
Marketing, as suggested by the American Marketing Association is "an organizational
function and a set of processes for creating, communicating and delivering value to
customers and for managing customer relationships in ways that benefit the organization and
its stakeholders".
The two major factors of marketing are the recruitment of new customers (acquisition) and
the retention and expansion of relationships with existing customers (base management).
Marketing methods are informed by many of the social, particularly psychology, sociology,
and economics. Anthropology is also a small, but growing, influence. Market research
underpins these activities. Through advertising, it is also related to many of the creative arts.
For a marketing plan to be successful, the mix of the four "Ps" i.e. product, price, place,
promotion must reflect the wants and desires of the consumers in the target market. Trying
to convince a market segment to buy something they don't want is extremely expensive and
seldom successful. Marketers depend on marketing research, both formal and informal, to

http:www.irjmsh.com
determine what consumers want and what they are willing to pay for. Marketers hope that
this process will give them a sustainable competitive advantage. Marketing management is
the practical application of this process. The offer is also an important addition to the 4P's
theory.
Method to Measure Customer Satisfaction:
Companies use the following methods to measure customer satisfaction.
Complaints and suggestion system:
Companies obtaining complaints through their customer service centers, and further
suggestions were given by customers to satisfy their desires.
Customer satisfaction surveys:
Responsive companies obtain a direct measure of customer satisfaction by periodic
surveys. They send questionnaires to random sample of their customers to find out how they
feel about various aspects of the company‟s performance and also solicit views on their
competitor‟s performance. It is useful to measure the customer‟s willingness to recommend
the company and brand to other persons.
Lost Customer Analysis:
Companies should contact customers who have stopped buying or who have switched to
another supplier to learn why this happened.
Consumer Behavior Vs Consumption Behavior:
Consumer behavior refers to the manner in which an individual reaches decision related
to the selection, purchases and use of goods and services. Walters and Paul says that, consumer
behavior is the process whereby the individuals decide what, when, how and from whom to
purchase goods & services.
Consumer behavior relates to an individual person (Micro behavior) where as
consumption behavior relates to and to the mass or aggregate of individuals (Macro behavior)
consumers behavior as a study focuses on the decision process of the individual consumer or
consuming unit such as the family.
In contrast the consumption behavior as a study is to do with the explanation of the
behavior of the aggregate of consumers or the consuming unit. Consumer is a pivot, around
which the entire system of marketing revolves. The study of buyer behavior is one of the most
important keys to successful mark.

http:www.irjmsh.com
Definition of Cellular/Mobile phone:
The Cellular telephone (commonly "mobile phone" or "cell phone" or "hand phone") is a
long-range, portable electronic device used for mobile communication.
The global mobile phone industry is based on many different manufacturers and
operators. The industry is based on advanced technology and many of the manufacturers are
operating in different industries, where they use their technological skills, distribution network,
market knowledge and brand name. Four large manufacturers of mobile phones are today
dominating the global mobile phone industry &networks; Nokia, Sony Ericson, Samsung and
Motorola. Airtel, BSNL , Idea,Tata indicom ,Vodafone, Reliance and others. In addition to
these companies there are many manufacturers that operate globally and locally.
Telecom Industry in India:
The telecom industry is one of the fastest growing industries in India. India has nearly200
million telephone lines making it the third largest network in the world after China and USA.
With a growth rate of 45%, Indian telecom industry has the highest growth rate in the world.
China is the biggest market in Asia Pacific with a subscriber base of 48% of the total
subscribers in Asia Pacific.
Compared to that India‟s share in Asia Pacific Mobile Phone market is 6.4%.
Considering the fact that India and China have almost comparable populations, India‟s slow
mobile penetration offers huge scope for growth.
Classification of Telecommunication services:
Basic services
Cellular services
Internet Service Provider (ISP)
Opening up of international and domestic long distance telephony services are the major
growth drivers for cellular industry. Cellular tariffs on airtime, which along with rental was
the main source of revenue. The reduction in tariffs for airtime, national long distance,
international long distance, and handset prices has driven demand.
 Review of Literature:-
 Robins (2008): This paper is about marketing the next generation of mobile telephones. The
study is about third generation of cell phone technology, what is usually known as “3G” for
short. There are various issues about that new innovative. One is how to price 3G handsets

http:www.irjmsh.com
and services at a level which will enable telephone operating companies to recoup the high
prices they have already paid to governments for operating licenses. Second the technology is
not yet complete, there are no agreed international standards and companies do not yet know
what new services the technology will prove capable of delivering effectively. All variants of
3G remain dependent on largely unproven technology. Marketing 3G is going to be about
services which are new and in many cases, yet to be designed. At the same time, it will
involve services which can also be obtained by computer and other means. It follows that the
marketing task will be high risk. First, 3G has no obviously unique selling proposition to
build on except, perhaps, the combination of live video and easy portability. Second, the
potential customers have not yet had adequate opportunity to signal their service likes and
dislikes. Third, the cost and complexity of service provision leave doubt about the market‟s
reaction to price.
 Debnath (2008): This study explain that the prime focus of the service providers is to create
a loyal customer base by benchmarking their performances and retaining existing customers
in order to benefit from their loyalty. With the commencement of the economic liberalization
in 1991, and with a view to expand and improve telecom infrastructure through the
participation of the private sector, the Government of India permitted foreign companies
holding 51 percent equity stake in joint ventures to manufacture telecom equipment in India.
The Indian Government has announced a new policy, which allows private firms to provide
basic telephone services. There had been a monopoly of the state-owned department of
telecommunications. However, several companies are expected to benefit from the policy
change.
 Bhatt (2008): In his study titled “A Study of Mobile Phone Usage Among the Post Graduate
Students” analyzed that it is important for mobile carriers, service providers, content
developers, equipment manufacturers, as well as for parents and young people alike that the
key characteristics of mobile technology is well understood so that the risks associated with
its potentially damaging or disruptive aspects can be mitigated. This paper has tried to
compare the usage difference by gender with respect to the difference manufacturing and
service provider companies.
 Jha (2008): In his study analyzed that it is the youth which is the real growth driver of the
telecom industry in India. Considering this fact, the paper is an attempt to give a snapshot of

http:www.irjmsh.com
how frequently young people use their mobile phones for several embodied functions of the
cell phones. Data was collected from a sample of 208 mobile phone owners, aged between 20
and 29. The study sheds light on how gender, monthly voucher amount and years of owning
mobile phones influence the usage pattern of this device. Findings of the study would be
helpful for the telecom service providers and handset manufacturers to formulate a marketing
strategy for different market segments.
 Kalavani (2006): In their study analyzed that majority of the respondents have given
favorable opinion towards the services but some problems exist that deserve the attention of
the service providers. They need to bridge the gap between the services promised and
services offered. The overall customers‟ attitude towards cell phone services is that they are
satisfied with the existing services but still they want more services to be provided.
 Kumar (2008): In their study titled “Customer Satisfaction and Discontentment vis-a-vis
BSNL Landline Service: A Study” analyzed that at present, services marketing plays a major
role in the national economy. In the service sector, telecom industry is the most active and
attractive. Though the telecom industry is growing rapidly, India's telecom density is less
than the world's average telecom density as most of India's market is yet to be covered. This
attracts private operators to enter into the Indian telecom industry, which makes the Bharat
Sanchar Nigam Limited (BSNL) more alert to run its business and survive in the market.
 Seth et al (2008): In their study titled “Managing the Customer Perceived Service Quality for
Cellular Mobile Telephone: an Empirical Investigation” analyzed that there is relative
importance of service quality attributes and showed that responsiveness is the most
importance dimension followed by reliability, customer perceived network quality,
assurance, convenience, empathy and tangibles. This would enable the service providers to
focus their resources in the areas of importance. The research resulted in the development of
a reliable and valid instrument for assessing customer perceived service quality for cellular
mobile services.
 Fernandez (2007): In their study titled “Understanding Dynamics in an Evolving Industry:
Case of Mobile VAS in India” analyzed that Mobile Value Added Services (VAS) is a rising
star in the fast growing wireless business. In the paper, attempt is made at understanding the
strategic dynamics of the evolving environment within which the Indian players are
operating, the challenges and structure of the same. Our literature and industry review

http:www.irjmsh.com
indicates that - while the value chain of industry is complicated yet one can observe the
bipolar nature of bargaining powers between mobile network operators and content
aggregators.
 Bismut (2006): In his study titled “Competition in European Telecom Markets” analyzed
that in recent years the European telecommunications market has witnessed major
developments, with rapid expansion in access to telecommunications networks and a surge in
the number of available services and applications. While many factors have contributed to
the transformation of the telecommunications industry, competition has played a key role in
driving telecom players to invest in new technologies, to innovate and to offer new services.
 Kalpana and Chinnadurai (2006): In their study titled “Promotional Strategies of Cellular
Services: A Customer Perspective” analyzed that the increasing competition and changing
taste and preferences of the customer‟s all over the world are forcing companies to change
their targeting strategies. The study revealed the customer attitude and their satisfaction
towards the cellular services in Coimbatore city. It was found that advertisement play a
dominant role in influencing the customers but most of the customers are of opinion that
promotional strategies of cellular companies are more sale oriented rather than customer
oriented.
 Fredric (2008): He analyzed the importance of yield management and discrimination pricing
in telecommunication sector. Yield management is the process of allocating the right type of
capacity or inventory unit to the right kind of customer at the right price so as to maximize
revenue or yield. Yield management and dynamic pricing strategies could be usefully applied
to preserve and increase profitability. Yield management techniques can help telecom
operators and similar companies to optimize the benefits they can derive from a subtle
management of information networks and partnerships. However, such an approach is more
difficult to implement in the telecommunications industry than in the airlines sector because
of the difficulty to control (and sometimes to refuse) network access to customers Chris
(2003) has analyzed „Telecom advertising in print media.‟ This research attempted to
investigate why Telecom theme are used in advertisement, and the motives that lead
companies and advertisers to use sport celebrities and sport concept in advertisements. From
study it has been revealed that the appearance of sport celebrities in advertising endorsement
occurred more often in Telecom magazines than in other magazines, because their target

http:www.irjmsh.com
group is more acquainted with athletes. The sport celebrities that dominated each printed
media are related with their target group characteristics.
References
Jallet, Frederic, “Yield management, Dynamic pricing and CRM in telecommunications”,
(http://www.emeraldinsight.com/Insight/viewContentItem.do;jsessionid=236E2B6B45CF101
465D540FD4401AEB9?contentType=Article&hdAction=lnkhtml&contentId=1747102&hist
ory=true>).
Debnath, Roma Mitra, “Benchmarking telecommunication service in India”, 2008
465D540FD4401AEB9?contentType=Article&hdAction=lnkhtml&contentId=1742535&hist
ory=true>).
Robins, Fread, “The marketing of 3G”, vol. 21, no.6, 2008.
465D540FD4401AEB9?contentType=Article&hdAction=lnkhtml&contentId=854647&histo
ry=true>).
Kalwani, Banumathy, “Consumer‟s Attitude towards Cell phone Services”, 2006.
Fernandez, Fronnie, “Understanding Dynamics in an Evolving Industry: Case of Mobile
VAS in India”, 2007.
(http://www.emeraldinsight.com/Insight/viewContentItem.do;jsessionid=2086527F0757A56
5F9A6CBAC8800F658?contentType=Article&hdAction=lnkhtml&contentId=881588&histo
ry=true>).
Kumar Kaliyamoorthy, “Influence of Demographic Variables on Marketing Strategies in the
Competitive Scenario”, 2007.
5F9A6CBAC8800F658?contentType=Article&hdAction=lnkhtml&contentId=881588&histo
ry=true>).
Seth et Etal, “Managing the Customer Perceived Service Quality for Cellular Mobile
Telephone: an Empirical Investigation”, 2008

http:www.irjmsh.com
5F9A6CBAC8800F658?contentType=Book&hdAction=lnkhtml&contentId=1758667&histo
ry=true>).
Tecor Jha, “Understanding Mobile Phone Usage Pattern among College-Goers”, 2008.
5F9A6CBAC8800F658?contentType=Book&hdAction=lnkhtml&contentId=1760544&histo
ry=true>).
Bhatt, Andre, “A Study of Mobile Phone Usage Among the Post Graduate Students”, 2008.
Chris Kambitsis, “Telecom advertising in print media”, 2003.
http://www.slideshare.net/HiralShah1/25310916projectoncustomersatisfactiontowardsmobile
service providers.
http://www.docstoc.com/docs/101632785/A_Project_on_Customer_Satisfaction.
http://www.scribd.com/doc/39012761/Project-on-Customer-Satisfaction.
http://www.studymode.com/essays/Telecom-Industry-1928280.html.
http://alwaysstudents.blogspot.com/2011/02/marketing-aptitude.html.
Books
Valarie Zeithaml (2008), Service Marketing, 4th
Ed. New Delhi: Tata McGraw Hill
Publishing Company Ltd.

A Study On Customer Satisfaction On Mobile Service Providers With Reference To Select Companies

Recommended

Recommended

More Related Content

Similar to A Study On Customer Satisfaction On Mobile Service Providers With Reference To Select Companies

Similar to A Study On Customer Satisfaction On Mobile Service Providers With Reference To Select Companies (20)

More from Simar Neasy

More from Simar Neasy (20)

Recently uploaded

Recently uploaded (20)

A Study On Customer Satisfaction On Mobile Service Providers With Reference To Select Companies