2. Objectives of the Study
The main objective of the Study is to analyze the customer Usage and
Retention strategies used in T24. The sub-objectives of the study are stated as
follows:
• To analyze the key determinants of customer retention in T24.
• To identify management practices associated with excelling at customer
retention in T24.
• To assess the level of perceived quality of services offered by T24.
• To study the Operational working style in Telecom Sector.
• To study the usage pattern of Customers in T24.
• To study the customer response on various marketing mix strategies adopted
by T24.
• To work out on the growing challenges facing by T24.
3.
4. About T24
• T24 is an Indian cellular service provider formed in February 2010.
• It is a Brand of Future Group and a Joint Venture between Tata Teleservices Limited and
Future Group.
• T24 Mobile offers 3G services via Tata DoCoMo's HSPA+ network.
• It is a unique telecom service which runs on a business model known as MVNO
(Mobile Virtual Network Operator)
• It is a loyalty Program of Future Group and is exclusively only for the Customers
of Future Group.
• In T24 the sales Part is managed by Future Group on their outlets i.e. on Big
Bazaar, Ezone, Food Bazaar, Central Zone etc and the Marketing, Technological
Part is managed by Tata Teleservices Limited.
• T24 is operational in those 18 Circles as Tata Docomo Operates in 18 Circles in
India.
5.
6. Why T24?
T24 is one network that helps customers of Future Group to do much more than
just stay connected with your loved ones. With this network customers get to talk
as well as shop with their heart out! The Customers gets the best talk time packs
with T24 as compared to any other network, which acts as an USP for T24.
• For Customers
• For Tata Teleservices Limited
• For Future Group
9. Organization Structure of T24
CEO
Sales Head
Usage and
Revenue
Head
Brand Head
Customer
Care Head
General
Manager
Senior
Manager
Deputy
Manager
Deputy
Manager
10. Products of T24
• STD Packs
• Local Packs
• Minutes Packs
• GPRS Packs
• SMS Packs
• Call Me Tunes
• VAS (Value Added Services)
• 2G Packs
• 3G Packs
• Night Calling Packs
11. Current Challenges:
• Retaining the T24 Customers.
• On boarding the Competitors Consumers to T24 Network.
• Increasing the usage of T24 by customers.
• Making the current customers loyal towards T24.
• Spreading awareness among T24 customers about T24 Products and
offers.
• Widening the network of Retailers.
• Acquisition of Customers.
Future Prospects:
• Mission to achieve 50 Lac Active users of T24.
• Making T24 one of the best Mobile Operator in Telecom Industry.
• Location Based offerings in near Future.
• More Convenience of shopping for T24 Customers.
12. Strength Weakness
Opportunities Threats
SWOT
• Early Mover Advantage
• Huge Product Portfolio
• Huge Population in the Target Segment
• Simple and Credible Process of Payment
• More Number of Merchants and Users as
compared to any other Competitor
• Universal compatibility of App and Website in
all platforms.
• Cash Back (Loyalty Program)
• Own Gateway for Payments
•Investor Driven Organisation.
•High Shipping Cost even for Small value of
orders.
•System Breakdowns have huge impact on
Trading Activities
• Untapped Rural Segment
• Exponential growth in online Shopping in
recent times.
• Increasing usage of Internet by People
• Diversification of Paytm Business in other
segments.
• Growing Demand for e-tailers
•.
•Highly Capable Competitors
•SEBI intervention might be possible.
•Economic Downturns
•Price Wars
•Insecure online transactions due to
increasing cases of Hacking
13. • To Help and Support Marketing Team in TATA TELESERVICES LIMITED
in their day to day work.
• To Perform Base Management activity for T24 Customers.
• To Capture VOC, Skills to Perform Data Analysis, Data Mining, Preparation
of MIS.
• To build the seeding database from internal and external data sources.
• Team Coordination Skills, interpersonal skills.
• Ability to multi tasks and switch gears while maintaining priorities.
• To share and innovate ideas to streamline operational challenges.
• Will be responsible for analyse the Data.
• Have a strong hold on MS Office and on Google Analytics.
• Comfortable with working on Campaign management tool like SAS.
• Have a tendency to bring niche Marketing Concepts which could be applied
to business.
• To Perform Alliance building Activity.
JOB DESCRIPTION
14. • To capture V.O.C (Voice of Customer) in the Circles of West Bengal, Punjab,
Haryana, Mumbai, Uttar Pradesh East, Uttar Pradesh West in order to know
about Customers Perception towards T24 and making reports thereafter.
• To do Benchmarking in Top 5 Revenue Earning Circles of T24 Mobile for the
Month of April May.
• To make Verbiages for Pan India T24 Customers for the Month of April, May,
June.
• To Do Data Analytics and Data Mining on T24 Customers in order to know
about their usage and making Reports for the Month of April May.
• To Edit/ Renew Old Campaigns on SAS Platform for the Month of April, May,
June.
• To Prepare MIS in the Month of June.
TASK ASSIGNED TO ME
15. • To make Calendar for the Month of May/June this contains the Schedule of
Sending Verbiages to T24 Customers in Pan India on Daily Basis.
• To Make Calendar for the Month of June this contains Schedule of Sending
Verbiages to Retailers in all the Circles of T24.
• To make use of SAS and update Products/offers of T24 as according to New
Service Tax w.e.f 1 June 2016.
• To make use of Google Analytics in order to Track our Customers on the basis of
Verbiages Sent for the month of April, May.
• To Do Data Analytics and Data Mining on T24 Customers in order to Perform
Retention Strategy for the Month of April, May, June.
• To Segment the Customers of T24 into different Categories and carry out Count
for Further Process as a Part of Retention Strategy for the Month of April, May,
June.
TASK ASSIGNED TO ME Contd…
16. TASK ASSIGNED TO ME Contd…
• To Search out the Current Trend in India for Design of Verbiages for
the Month of April, May.
• To Do Data Mining and Analytics on T24 Customers and finding out
the customers who are not using T24 services for more than 150
Days in order to forfeit their Balance.
• To Do VOC (Voice of Customers) as a Part of Retention Strategy on
Segmented Customers of T24 in order to find out the reason for not
using Internet Packs of T24 in the month of June.
• To Search for New Alliance Partners for TATA TELESERVICES
LIMITED and pitching the Prospective Clients on the basis of
Concept Selling.
17. Senior
Manager
Summer
Intern (Me)
Deputy
Manager
Deputy
Manager
In Tata Teleservices Limited my Reporting was directly inline to Mr. Gaurav
Kapoor (Senior Manager – T24 Alliance) and dotted line to Mr. Ashish V Singh
(Deputy Manager – T24 Alliance) and to Mr. Anil Kumar (Deputy Manager –
T24 Alliance).
Reporting structure
18. LEARNING EXPERIENCE AND THE
INSIGHTS GAINED
Usage Definition:
The Term usage refers to the act, manner, pattern or the amount of
consumption done by the customers in using of the services.
Importance of Understanding Customer Usage:
• Customer Usage helps in understanding the pattern of consumption
done by customer.
• Customer Usage helps in knowing about the expectation of the
Consumer.
• It helps in making plans and policies regarding making product and
offering services.
• Usage helps in framing Retention Strategy for the consumers.
• Usage helps in making strategies for consumers.
20. • Upselling/ Upgrading: Upselling is marketing technique whereby a seller
induces the customer to purchase more expensive items, upgrades or other
add-ons in an attempt to make a more profitable sale. While it usually
involves marketing more profitable services or products, it can be simply
exposing the customer to other options that were perhaps not considered.
For Example: In T24, as according to analysis of usage consumption of a
customer, If a customer uses 1 GB of 3G Data Pack of Rs 199 on a monthly
basis, so in order to upgrading his/her usage, a manager can pitch him with
1.25 GB of 3G Data Pack @ Rs 215.
• Open Market Products/Offers: Open Market products/offers
are those products which are available for all the users irrespective of
the group in which they lie.
For Example: On the basis of usage consumption pattern, a new
product can be made and offered in open market for the consumers.
Usages Strategies
21. • Cross Selling: Cross-selling is the action or practice of selling an additional
product or service to an existing customer. The objectives of cross-selling can be
either to increase the income derived from the client or clients or to protect the
relationship with the client or clients.
For Example: In T24, as per the usage consumption pattern observed if a
customer uses more of Data Pack on monthly basis and less amount of Calling
Packs, so by the use of Cross Selling Technique, a manager can pitch customer a
combo pack which contains both Data Pack as well as Calling Pack.
• Segmented Products/Offers: Segmented Products/ offers are those which are
exclusively available for selected customer group who have similar attributes.
For Example: As per the usage pattern studied, a manager can divide the similar set of
customers having same usage consumption pattern into one segment and on the basis of
each segments offers can be pitched to every customer.
Usages Strategies
22. Customer retention refers to the activities and actions companies and
organizations take to reduce the number of customer defections. The goal of
customer retention programs is to help companies retain as many customers as
possible, often through customer loyalty and brand loyalty initiatives.
Why Customer Retention is Important?
• Acquiring new customers can cost as much as five times more than
satisfying and retaining current customers.
• Customer Retention plays a major contribution in the growth of
Company.
• A 2% increase in customer retention has the same effect as decreas-
ing costs by 10%.
• Depending on the industry, reducing your customer defection rate by 5% can
increase your profitability by 25 to 125%.
• Customer profitability tends to increase over the life of a retained customer.
• Customer Retention helps in knowing about the future needs of the
customers.
RETENTION
23. Ways by which Customer Retention can be done:
• Set customer expectations – Set customer expectations early and a little lower
than you can provide to eliminate uncertainty about the level of your service and
ensure you always deliver on your promises.
• Becomes the customers’ trusted advisor – You need to be the expert in your
particular field, so that you can gain customers’ trust and build customer loyalty.
• Use relationships to build trust – Build relationships with customers in a way
that fosters trust. Do this through shared values and fostering customer
relationships.
• Take a proactive approach to customer service – Implement anticipatory service
so that you can eliminate problems before they occur.
• Use social media to build relationships – Use LinkedIn, Twitter, and Face book
to connect and communicate with customers and give them a space for sharing
experiences with your company, so they can become brand ambassadors.
• Go the extra mile – Going above and beyond will build strong relationships with
customers and build long-term loyalty by paying attention to their needs and issues.
• Make it personal – Personalized service improves customer experience and is
something customers are expecting and demanding. Make their experience personal
to strengthen the bond with your brand.
24. Retention Strategies
Panic Model
• This Model is sometimes also known as Pro Active Retention
Strategy in T24 (Tata Teleservices Limited).
• Panic Model is commonly used in Telecom Industry and different
companies term it with different names.
• Panic is a situation or a state of sudden sensation
of fear that produces uncontrollable events or irrational behavior and
that often spread quickly through a group of people. In simple lay
man term “Panic is state of Alarm for an organization”
•Panic Model is a high level of business strategy logically designed
which includes very complex algorithms and matrices to predict
customer behavior. The main objective of Panic Model is to retain the
customer before they falls into churn state or change their existing
category into a new category which is designed on the basis of usage
pattern studied.
25. Key Performance Indicators
• Usage Days
• Non Usage Days
• R.E.C
• Non R.E.C
• Data Usage
• M.O.U
• Voice Usage
• Non Voice Usage
• Vas Usage
• Non Vas Usage
• Incoming Call Usage
• Roaming Usage
• SMS Usage
• On Net Usage
• Off Net Usage
• Targeted Customers / Circles
• Churn Rate
• First Calling Date rolling 30 days
26. Panic Model Conditions GSM REC (Rolling 30 Days) Definition:
For Voice Products and FCD > 30 Days:
REC PRR for voice products >=10 Rs And
(MOU >= 1 Mints (60 Seconds) i.e. voice or SMS Count >= 5 (i.e. SMS) or
Usage in KB >= 50 KB)
For Voice Products and FCD <= 30 Days:
REC PRR for voice products >=10 Rs And
(MOU >= 5 Mints (60 Seconds) i.e. voice or SMS Count >= 5 (i.e. SMS) or
Usage in KB >= 50 KB)
For Data Products (CDMA Photon/GSM Dongle):
REC PRR for Data Products >= 10 Rs.
27. • ZU < 30 base considered for PANIC STATE
• This Model uses Last Month Activity Days/
PRR and Current Month LAD for Predicting
Panic Points
• These offers should be in multiples of Rs 10
basis frequent recharge. Aggression to increase
from P1->P2->P3
27
• This Model will be used for
predicting GVC, HVC , UHVC
SINGLE SIM Subscribers
moving from REC to NREC in
period of 1 month.
• Model uses 8 Different Variables
and multiple techniques like
Correlation , GINI, Variable
Clustering etc ...
Panic Grid Predictive Churn Model
Base for Panic State is populated based on both Models
Panic State
28. Process of Panic Model
A Product Life Cycle is a process by which a new product progresses through a
sequence of stages from introduction to growth, maturity, and decline. This
sequence is known as the product life cycle .In T24 a Product Life Cycle is
made on the basis of 4 main objectives:
• For Cost Saving: In this a Product is made with the main objective to save
the cost for a company. For Instance: In T24 once there was an offer that For
Rs.199 get 1 GB of 3G and 10% off on shopping more than Rs.2000. But by
applying Cost Saving Product now a customer will get 1 GB of Data Rs.199 and
5% off on shopping more than Rs.2000. In this case that 5% is a cost saving for
the company.
• For Retention: In this a product is designed as per the usage of the group of
customers. It is also known as Customized Product. For Instance if in an Open
Market a product is offered as Get Rs85/- talktime on Recharge of Rs100 then
for Retention the same product can be offered as Get Rs100 talktime on every
Recharge of Rs 100 (only for you).
29. • For Increasing Revenue: In this Product design the life cycle or validity of the
product is decreased in order to gain incremental Revenue from the Product. For
Instance Get 1 GB of 3G Data for 30 Days in Just Rs.199 but after applying
Increasing Revenue Design the same product will be offered as Get 1 GB of 3G
Data for 28 Days in Just Rs.199.
• Open Market: This type of product is designed for all the customers.
31. Analysis of PANIC MODEL:
Row Labels Sum of Camp Targets Sum of Delivery Successful Sum of Camp Takers
1-6-16 139542 15753 74
2-6-16 171666 19476 116
3-6-16 170724 18992 104
4-6-16 169689 18511 132
5-6-16 80811 7879 57
6-6-16 163098 17281 101
7-6-16 167214 18440 98
8-6-16 147882 13763 55
9-6-16 179604 13635 62
10-6-16 164946 16308 96
11-6-16 145998 13286 58
12-6-16 154281 8958 50
32. Seeding Model
A Seeding Model is a form of marketing, designed to target product
sampling towards selected targeted consumers. Seeding is the process of
allocating marketing to specific customers, or groups of customers, in order to
stimulate and encourage them to make use of the product and services. To
create loyalty and advocacy towards a brand, seeding trials is used.
Companies that have used seeding trials include Procter & Gamble, Microsoft,
Hasbro, Google, Unilever, Pepsi, Coke, Ford, DreamWorks SKG, EMI, Sony
and Siemens.
There are two of the main managerial decisions revolving around seeding
• Focus on seeding of advertising in a multinational market.
• The process of seeding the product itself.
Determining how many and which consumers within a particular network
should be seeded to maximize adoption is a challenging task for the
management of the company
34. Loyalty Model
This Model is also known as Value adding Program which includes loyalty
schemes in which customers are rewarded with benefits for their patronage. The
more the customer spends the higher the rewards. The main objective of this
loyalty Model is delighting the customer and gives him an experience of Personal
Touch because delighted customers are the ones who will retain with the company
for a longer time period. Firms or organizations should meet or exceed customer
expectations on important attributes such as quality, service, price stability, and
style.
In T24 Value derived is done in many ways:
Free Local/STD Minutes
Free Night Packs
Free VAS (Call me tunes, Cricket Alerts, Miss Call Alerts etc)
Freebies in form of T-shirts, Cap, Bag etc.
Free Data Packs or SMS Pack on Birthday, anniversary etc.
35. Professional Skills Learnt
•Analytical Skills.
•IT Skills (SAS, Google Analytics Tool)
•Team Coordination
•Communication Skills
•Advance MS Office
•Content Writing Skills
•Marketing Skills
•Tele Sales Skills
•Customer Service Skills
36.
37. Research Work
Objective of Research:
Irrespective of Customers being provided with Free Talktime benefits on
Shopping at Future Group outlets we observed usage of customers is too low.
Customers are reluctant towards the use of services. Therefore a need and
opportunity arises to learn & understand the customer intention towards T24
and thereby increasing customer penetration.
Sample size and collection of Data:
The sample size was 60, collected through telephonic V.O.C.
SAMPLE UNIT:
Due to the Language constraints in the Circles of South India, the
sample units were taken from the Circles of North India mainly Uttar
Pradesh East and Uttar Pradesh West.
38.
39. 57%
22%
21%
Not Attended Calls
Switch Off
Incorrect Number
Out of Coverage Area
47%
15%
13%
18%
7%
Attended Calls
No Awareness
Already Two Simcards
Network Problem
Casual Attitude
Sim Card Lost
45. • Future Group need to spend more money on advertisement of T24 in order to
create awareness among the Prospective Customers as well as for the Existing
Customers.
• Tata Teleservices Limited should increase Channel of Distribution for T24.
• Also, there is a need for innovation in implementation of marketing strategies
in T24 by Tata Teleservices Limited.
• There is a need for proactive digital marketing campaign for T24.
• Furthermore, In the marketing Team of T24 (Tata Teleservices Limited) there
is a need for additional manpower in order to handle various other
departments like Vas, etc.
46. • Should endorse a Brand Ambassador for T24.
• Need for awareness education program for retailers about T24.
• For Sales, Future Group needs to motivate the sales executive and need to
change the attitude of Sales Executive attitude from Quantity Selling to
Quality Selling.
• Tata Teleservices Limited has to emphasize more on Network.
