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ADVERTISING STRATEGY OF BHARTI TELEVENTURES LTD

This report on Airtel not just give description about the
company but it also talks about the various advertising strategy
adopted by the company.
SWOT analysis of Airtel helps to find out the weak points of the
company and to find out the way to overcome this problem.

We are in the era of entertainment through mobile handsets.
Downloading a ring tone watching your favorite movie of
tracking cricket score the list of activity that you can do using
your cell phone is endless. To supplement stagnant voice
revenues cellular operator are now turning to VAS to boost
revenues in both data and value added voice service. Airtel has

deep rooted presence in the Indian telecom sector through
there wide product offerings and excellent distribution network

In this report I have tried to analyze the present scenario of
Indian telecom sector the real aim of the project is to study the
effectiveness and response towards advertisement provided by
Airtel but many sub objectives are also included under this
project so as to make it comprehensive one.

I complement this with the internal study of the companies –
history , vision business areas etc to analyze how well poised
the company are to complete or rather just exist in this market
that is proving itself to be the most competitive in post
liberalization Indian economy.

CHAPTER-II
INTRODUCTION

INTRODUCTION
Telecom giant Bharti Airtel is the flagship company of Bharti
Enterprises. The Bharti Group, has a diverse business portfolio
and has created global brands in the telecommunication sector.
Bharti has recently forayed into retail business as Bharti Retail
Pvt. Ltd. under a MoU with Wal-Mart for the cash & carry
business. It has successfully launched an international venture
with EL Rothschild Group to export fresh agricultural products
exclusively to markets in Europe and USA and has launched
Bharti AXA Life Insurance Company Ltd under a joint venture

with AXA, world leader in financial protection and wealth
management.

Airtel comes to you from Bharti Airtel Limited, India’s largest
integrated and the first private telecom services provider with a
footprint in all the 23 telecom circles. Bharti Airtel since its
inception has been at the forefront of technology and has
steered the course of the telecom sector in the country with its
world class products and services. The businesses at Bharti
Airtel have been structured into three individual strategic
business units (SBU’s) - Mobile Services, Airtel Telemedia
Services & Enterprise Services. The mobile business provides
mobile & fixed wireless services using GSM technology across
23 telecom circles while the Airtel Telemedia Services business
offers broadband & telephone services in 94 cities. The
Enterprise services provide end-to-end telecom solutions to
corporate customers and national & international long distance
services to carriers. All these services are provided under the
Airtel brand.
Business Divisions

Mobile : Bharti Airtel offers GSM mobile services in all the 23-
telecom circles of India and is the largest mobile service
provider in the country, based on the number of customers.
Internet: The group offers high speed broadband internet with
a best in class network. With Landline services in 94 cities we
help you stay in touch with your friends & family and the world.
Data connectivity : The group focuses on delivering
telecommunications services as an integrated offering including

mobile, broadband & telephone, national and international
long distance and data connectivity services to corporate, small
and medium scale enterprises.

Fiber cables : The Company compliments its mobile and
broadband & telephone services with national and
international long distance services. It has over 35,016 route
kilometers of optic fibre on its national long distance network.
For international connectivity to east, it has a submarine cable
landing station at. For international connectivity to the west,
the Company is a member of the South East Asia-Middle East-
Western Europe – 4 (SEA-ME-WE-4) consortium along with 15
other global telecom operators.

Mobile
Prepaid : Enter the world of limitless possibilities with Airtel
Prepaid. The service that helps you give, words to every feeling,
an expression to every emotion.

Postpaid : Life becomes much simpler with your Airtel Postpaid.
It gives you the unlimited freedom to reach out to people in
your special way.

HISTORY
Bharti Airtel is one of India's leading private sector providers of
telecommunications services based on an aggregate of
71,777,448 customers as on June 30, 2008, consisting of
69,383,716 GSM mobile and 2,393,732 Bharti Telemedia
subscribers.

The businesses at Bharti Airtel have been structured into three
individual strategic business units (SBU’s) - mobile services,
telemedia services (ATS) & enterprise services. The mobile
services group provides GSM mobile services across India in 23
telecom circles, while the ATS business group provides
broadband & telephone services in 94 cities. The enterprise
services group has two sub-units - carriers (long distance
services) and services to corporates. All these services are
provided under the Airtel brand.
Company shares are listed on The Stock Exchange, Mumbai
(BSE) and The National Stock Exchange of India Limited (NSE).

CHAPTER-III
COMPANY PROFILE
Fact sheet
Name Bharti Airtel Limited.
Business Description Provides mobile, telemedia services (fixed
line) and enterprise services (carriers & services to corporates)
Established July 07, 1995, as a Public Limited Company
Proportionate Revenue
Rs. 270,122 million (year ended March 31, 2008-Audited) Rs.
184,202 million (year ended March 31, 2007-Audited)

As per Indian GAAP Accounts
Proportionate EBITDA Rs. 114,018 million (year ended March
31, 2008 - Audited)
Rs. 74,407 million (year ended March 31, 2007 - Audited) As per
Indian GAAP Accounts
Shares in Issue 1,898,020,804 as at June 30, 2008

Listings The Stock Exchange, Mumbai (BSE) The National Stock
Exchange of India Limited (NSE)
Market Capitalisation Market Capitalisation (as on September
18, 2008) Approx. Rs. 1,443 billion Closing BSE share price = Rs.
760.35
Customer Base 69,383,716 GSM mobile and 2,393,732
telemedia customers (Status as at month ended June 30, 2008)
Operational Network Provides GSM mobile services in all the 23
telecom circles in India, and was the first private operator .
Bharti Tele-Ventures Limited was incorporated on July 7, 1995
for promoting investments in telecommunications services. Its
subsidiaries operate telecom services across India. Bharti Tele-
Ventures is India's leading private sector provider of
telecommunications services based on a strong customer base
consisting of approximately 9.03 million total customers which
constitute, approximately 8.28 million mobile and
approximately 750,000 fixed line customers, as of August 31,
2004.
Investor Relations

?Creating value for our customers, employees, investors,
partners, vendors and the society at large lies at the root of our
fundamental business strategy. Our core principles of trust and
transparency have come a long way in helping us develop and
nurture long-term relationships with our key stakeholders. Our
performance exudes from our belief in and commitment to the
telecom sector; and translates into creating innovative exciting
opportunities for one and all.

Corporate Governance
?Bharti Tele-Ventures Limited firmly believes in the principles
of Corporate Governance and is committed to conduct its
business in a manner, which will ensure sustainable, capital-
efficient and long-term growth thereby maximizing value for its
shareholders, customers, employees and society at large.
Company's policies are in line with Corporate Governance
guidelines prescribed under Listing Agreement/s with Stock
Exchanges and the Company ensures that various disclosures
requirements are complied in 'letter and spirit' for effective
Corporate Governance.

?During the financial year 2003-04, your Company has been
assigned highest Governance and Value Creation (GVC) rating
viz. 'Level 1' rating by CRISIL, which indicates that the
company's capability with respect to creating wealth for all its
stakeholders is the highest, while adopting sound Corporate
Governance practices

Board of Directors

?The Board of Directors of the Company has an optimum mix of
Executive and Non-Executive Directors, which consists of three
Executive and eleven Non-Executive Directors.

?The Chairman and Managing Director, Mr. Sunil Bharti Mittal,
is an Executive Director and the number of Independent
Directors on the Board is more than 50% of the total Board
strength. The independence of a Director is determined on the

basis that such director does not have any material pecuniary
relationship with the Company, its promoters or its
management, which may affect the independence of the
judgment of a Director.

?The Board members possess requisite skills, experience and
expertise required to take decisions, which are in the best
interest of the Company.

Boards Members by Ranking
Sunil Bharti Mittal Chairman and Managing Director
Rajan Bharti Mittal Director
Akhil Gupta Joint Managing Director
Rakesh Bharti Mittal Director
Chua Sock Koong Director
Pulak Chandan Prasad Director
Bashir Abdulla Currimjee Director
Mauro Sentinelli Director
Professor V.S Raju Director
O’Sullivan Director
Kurt Hellstrom Director
N. Kumar Director
Ajay Lal Director
Francis Heng Director
Arun Bharat Ram Director

Audit Committee

The Audit Committee of the Board deals with all matters
relating to financial reporting, internal controls, risk
management, related party transactions etc. and reports back
to the Board on the matters, which among others, include

?Reviewing the Company’s financial reporting processes and
systems.

?Recommending the appointment and removal of statutory
auditors, fixation of audit fee and related expenses.

?Reviewing the Company’s financial and risk management
policies.

?Reviewing with management the half-yearly and annual
financial statements, before submission to the Board, focusing
primarily on:

?Changes in accounting policies and practices;

?Major accounting entries, qualifications and accounting issues
based on the managements discretion and judgment;

?Compliance with the accounting standards;

?Compliance with the stock exchange and legal requirements,
concerning financial statements;

?Any related party transactions; and

?Adequacy and effectiveness of internal audit processes and
systems.

?The un-audited/audited quarterly financial results of the
Company are also specifically reviewed by the Audit Committee
before these are submitted to the Board for approval. Minutes
of each Audit Committee meeting are placed before the Board
for information.

Human Resource (HR)/ Remuneration Committee
The Human Resource Committee of the Board discharges the
functions of the remuneration committee, along with
specifically looking into the following areas:

?Framing policies and compensation packages of top
executives; including salary adjustments, incentives, bonuses,
promotions, stock options and performance targets.

?Remuneration of Directors

?Strategies for attracting/retaining employees, and employee
development programs

?Key issues referred by the Board

ESOP Compensation Committee
The Compensation Committee of the Board has been
constituted in accordance with SEBI (Employee Stock Option

Scheme and Employee Stock Purchase Scheme) Guidelines,
1999 for administration and superintendence of Employee
Stock Option Plan (ESOP) of the Company.

Scope of the Compensation Committee

Formulating policies and procedures to ensure that there is no
violation of SEBI (Insider Trading Regulations) and (Prohibition
of Fraudulent and Unfair Trade Practices relating to Securities
Market) Regulations by any employee.

CHAIRMAN PROFILE

Sunil Bharti Mittal
Chairman & Managing Director Since October 2001
Board director since: July 1995
Age: 49 years

Sunil Bharti Mittal is the Chairman & Managing Director of
Bharti Airtel Ltd. head quartered at New Delhi, India.

Sunil Bharti Mittal started his career at a young age of 18 after
graduating from Punjab University in India and founded Bharti,
with a modest capital, in the year 1976. Today, at 49 he heads a
successful enterprise, amongst the top 5 in India, with a market
capitalization of over US$ 40 billion and employing over 30,000
people.

Sunil Bharti Mittal is an alumnus of Harvard Business School,
MA, USA.

Sunil Bharti Mittal has been conferred one of the highest
civilian award – Padma Bhushan.

Sunil Bharti Mittal has been conferred the degree of Doctor of
Science (Honoris Causa) by the G B Pant University of
Agriculture & Technology.

Sunil Bharti Mittal is an Honorary Fellow of “The Institution of
Electronics and Telecommunication Engineers (IETE)".

OBJECTIVES
As set out in the Memorandum of Association of Bharti Tele-
Ventures, our main objects are as follows:
1. To promote and establish companies, funds, associations or
partnerships for providing telecom networks and/or to run and
maintain telecom services like basic/fixed-line services,
cellular/mobile services, paging, videotext, voice mail and data
systems, private switching network services, transmission
network of all types; computer networks i.e. local area
network, wide area network, electronic mail, intelligent
network, multimedia communication systems or the
combinations thereof and for execution of undertakings, works,
projects or enterprises in the telecom industry whether of a
private or public character or any joint venture with any
government or other authority in India or elsewhere and to

acquire and dispose of shares/securities in such companies, and
funds and interest in such associations or partnerships.
2. To provide telecom networks and to run and maintain
telecom services like basic/fixed-line services, cellular/mobile
services, paging, videotext, voice mail and data systems, private
switching network services, transmission networks of all types,
computer networks like local area network, wide area network,
electronic mail, intelligent network, multimedia communication
systems or combinations thereof.
3. To carry on the business of manufacturers, merchants,
dealers, distributors, importers, exporters, buyers, sellers,
agents and stockists, and to market, hire, lease, rent out,
assemble, alter, install, service, design, research and improve,
develop, exchange, maintain, repair, refurnish, store and
otherwise deal in any manner in all types of telephone
exchanges, telephone instruments -whether corded, cordless,
mobile or of any other kind; tele-terminals, fax machines,
telegraphs, recording instruments and devices, telephone
message/answering machines and devices; dialling machines,
trunk dialling barring devices, wireless sets and other wireless
communication devices like radio pagers, cellular phones,
satellite phones etc; telecom switching equipments of all kinds;
telecom transmission equipments of all kinds, test equipments.

VISION

BY 2010 AIRTEL WILL BE THE MOST ADMIRED BRAND IN INDIA:

?LOVED BY MORE CUSTOMERS.

?TARGETED BY TOP TALENT.

?BENCHMARKED BY MORE BUSINESS.

BHARTI’S MISSION

To be globally admired for telecom services that delight
customers.
We will meet global standards for telecom services that delight
customers through:

• Customer Service Focus
• Empowered Employees
• Cost Efficiency
• Unified Messaging Solutions
• Innovative products and services
.Error- free service delivery
ACHIEVEMENTS

• First to launch Cellular service on November 1995.
• First operator to revolutionaries the concept of retailing with
the inauguration of AirTel Connect (exclusive showrooms) in
1995.
• First to introduce push button phone in India.
• First to expand it's network with the installation for second
mobile switching center in April, 1997 and the first to introduce
the Intelligent Network Platform First to provide Roaming to its
subscribers by forming an association called World 1 Network.

• First to provide roaming facility in USA. Enjoy the mobile
roaming across 38 partner networks & above 700 cities
Moreover roam across international destinations in 119
countries including USA, Canada, UK etc with 284 partner
networks.
• BHARTI announces aggrement with VODAFONE marking the
entry of the World's Largest Telecom Operator into India
• Bharti Enterprises and AXA Asia Pacific Holdings Limited
announce Partnership for a life insurance joint venture in India
• Airtel Launches future factory - Centres of Innovation to
Incubate Pioneering Mobile Applications
• 16 states, 600 million people. Only India's leading mobile
service offers you the truly 'freedom-packed' Prepaid!
• It is also the first company to export its products to the USA.

BHARTI announces agreement with VODAFONE marking the
entry of the World's Largest Telecom Operator into India

• Vodafone to invest approximately Rs. 6,700 crores (approx.
USD 1.5 bn.) to acquire around 10% in Bharti Tele-Ventures Ltd.
• Bharti Enterprises, SingTel and Vodafone to take Bharti Tele-
Ventures Ltd. to unassailable leadership position in India
• The largest single foreign investment ever in the history of
India
• The largest investment in the Indian telecom sector
• Bharti establishes its supremacy in the Indian telecom
market, having attracted Asia’s best – SingTel, and now world’s
best – Vodafone.
• Bharti set to gain global leadership in the telecom sector

• Bharti Enterprises continues to hold shareholding and
management control in Bharti Tele-Ventures.

AirTel: Appropriating the value of 'expression'
Over the last couple of years, the market has grown
considerably, with deeper penetration and wider usage of voice
and data services, accompanied by much higher competitive
intensity," Atul Bindal, chief marketing officer, Bharti
TeleVentures, expands on this. "In this context, differentiating
merely on network, coverage and SMS is just not enough. You
need to go beyond all the rational identifiers - which are
prerequisites in any case - and connect at a deeper level. We
needed a strong differentiator in an increasingly commoditized
and crowded market. We found this differentiator in a core
human truth that defines our category - which is that there are
moments when you need to make your point, when you need
to be heard. Expressing and communicating are perhaps two of
the most basic emotions. AirTel enables you to make your point
in the most expressive way, anytime, anywhere. The campaign
is towards owning this through 'Express yourself.' We believe
'Express yourself' allows us to connect at a deeper level and
create a long-term platform for the brand."

For AirTel, the challenge also lay in presenting a unified 'face' to
the consumer. This assumes significance when viewed in the
light of the company's pre- and post-paid communication,
which, in the past, had been treated very differently. Brand
image, as a result, was being driven in two different
dimensions. "Brand AirTel is a category leader straddling

completely different market segments such as consumer,
business and corporate, as well as different voice, data and
payment platforms," says Bindal. "'Express yourself' enables the
brand to unify and connect across the entire base of our
existing and prospective customers."

One of the most obvious benefits of owning a property such as
'candid expression' (and 'Express yourself') is the expansive
nature of the thought. "The moment you have as broad a
canvas as 'Express yourself', it becomes easy for anyone
working on the brand to come up with new ideas and
executions. That's what makes a good campaign idea,"
observes Rediff's Prashant Godbole, who, along with creative
partner Zarvan Patel, conceived the campaign. This is just the
proverbial tip of the iceberg, Patel adds. "We will be taking the
idea forward in many different ways in the forthcoming work,"
he informs. Patel also credits his creative team for "fleshing out
the idea".

Awards and Recognitions
2007-2008
? Bharti Airtel has won the CNBC-TV18 India Business Leader
Award for the Outstanding Company of the year, 2007
? Bharti draws top honours at the NDTV Profit Business
Leadership Awards 2007
? Bharti Airtel Ranked 3rd on Shareholder Returns in
BusinessWeek IT 100 List
? Sunil Bharti Mittal conferred Degree of Doctor of Science
(Honoris Causa) by G. B. Pant University

2006-2007
? Bharti draws top honours at the NDTV Profit Business
Leadership Awards 2007
? Bharti Airtel awarded the prestigious QCI-DL Shah Award on
Economics of Quality
? Sunil B. Mittal chosen for this year’s Padma Bhushan Awards
? Bharti Airtel is once again chosen for India’s most Customer
Responsive Telecom Company Award
? Triple success for Akhil Gupta at CFO Awards for India
? Bharti Airtel is amongst India’s Most Admired Knowledge
Enterprises in 2006
? Sunil Bharti Mittal receives ‘The Honorary Fellowship’
fromIETE
? Bharti Airtel draws Top Honors at the MIS Asia IT Excellence
Awards 2006
? Bharti Airtel among the top 10 best performing companies in
the world according to Business Week IT 100 list
Sunil Bharti Mittal is CEO of the Year at the Frost & Sullivan Asia
Pacific ICTAwards 2006 & Bharti Airtel bags Wireless Service
Provider of the Year andCompetitive Service Provider of the
Year

Organization Structure
As an outcome of a restructuring exercise conducted within the
company; a new integrated organizational structure has
emerged; with realigned roles, responsibilities and reporting
relationships of Bharti’s key team players. With effect from
March 01, 2006, this unified management structure of 'One

Airtel' will enable continued improvement in the delivery of the
Group’s strategic vision.

Areas of Operations
Delhi
Our Delhi network covers a license area that includes the state
of Delhi and the neighbouring towns of Faridabad and Gurgaon
in the state of Haryana, and Ghaziabad and Noida in the state
of Uttar Pradesh. We have a 20-year license to provide cellular
services in our Delhi circle, valid until November 2014, and
which is extendible by additional periods of 10 years. In
addition to being India’s political capital, Delhi has the highest
per capita income, the highest installed fixed-line penetration
rate, and the highest population density among the 29 states of
India. Delhi has a high concentration of service and
manufacturing industries and houses the Central Government,
the head offices for many major public sector enterprises,
embassies and various government missions and development
agencies. We believe that these factors create high roaming
revenue potential from cellular subscribers who roam into our
network from other circles. As of November 30, 2001, we had
465,278 customers in Delhi, giving us a market share of
approximately 56% in this circle.

Karnataka and Andhra Pradesh
Located in southern India, Karnataka is a major business centre
and several information technology companies are based in
and around its capital, Bangalore. Andhra Pradesh is adjacent
to Karnataka and several information technology companies

are based in and around its capital, Hyderabad. Information
technology companies are typically high-volume users of
telecommunications services, particularly for data transmission.
We offer cellular services in these circles pursuant to 20-year
license, valid until 2016 for Karnataka and until 2015 for Andhra
Pradesh, each of which is extendible by additional periods of 10
years. As of November 30, 2001, we had 177,810 and 195,054
customers in Karnataka and Andhra Pradesh, respectively,
giving us a market share of approximately 57% and 48%,
respectively, in these circles.

Chennai
We provide cellular services in Chennai (the capital city of the
southern state of Tamil Nadu) and in the adjoining areas of
Mahabalipuram, Minjur and Maraimalai Nagar. Chennai is a
major centre for information technology companies and foreign
multinational corporations. Our network is operated pursuant
to a 20-year license, valid until November 2014, and which is
extendible by additional periods of 10 years. As of November
30, 2001, we had 110,032 customers in Chennai, giving us a
market share of approximately 51% in this circle.
Himachal Pradesh
Located in northern India, Himachal Pradesh is one of India’s
most mountainous states and is a popular tourist destination,
particularly for residents of Delhi and other north Indian states.
Our network is operated pursuant to a 20-year license, valid
until November 2015, and which is extendible by additional
periods of 10 years. As of November 30, 2001, we had 12,462

customers in Himachal Pradesh, giving us a market share of
Kolkata
Kolkata is the capital city for the eastern state of West Bengal.
Several domestic and multinational companies are based in
Kolkata and it is a major centre for trade and commerce in
eastern India. Our network is operated pursuant to a 20-year
license, valid until November 2014, and which is extendible by
additional periods of 10 years. As of November 30, 2001, we
had 87,570 customers in Kolkata, giving us a market share of
We have grown as a result of both organic growth and
acquisitions of circles completed by us. The following table sets
forth the growth in the number of our cellular customers over
the last three years.
In September 2001, we entered into license agreements with
the DOT to provide cellular services in the eight circles of
Mumbai, Maharashtra, Gujarat, Madhya Pradesh, Haryana,
Uttar Pradesh (West), Tamil Nadu and Kerala. All these licenses
are for a period of 20 years, valid until August 2021, and are
extendible by additional period of 10 years. In September 2001,
the DoT also restored the Punjab license in our favour. The
Punjab license is for a period of 20 years, valid until 2015, and is
extendible by additional periods of 10 years. We expect to
commence providing cellular services in these nine proposed
circles by the middle of this year.
Mumbai
Mumbai is the financial and commercial capital of India and one
of the largest cities in the world in terms of population.

Mumbai is among the highest per capita income cities in India.
Several leading financial institutions, regulatory agencies,
multinational corporations, service organizations and leading
conglomerates are located in Mumbai. The concentration of
commercial activity and service industry in Mumbai has led to a
strong demand for telecommunications services, both voice
and data.
Maharashtra. Surrounded by Gujarat, Madhya Pradesh, Andhra
Pradesh and Karnataka, Maharashtra is a prominent state in
Western India.
Maharashtra is one of the most industrialised states in India
and several industries including sugar, pharmaceuticals,
petrochemicals, heavy chemicals, electronics, automobiles,
engineering, food processing and plastics are located in the
state. Maharashtra has attracted high amount of investment
from Indian and foreign companies in the past. Among states,
Maharashtra has among the higher literacy rates and is a centre
for learning and research in India.
Gujarat
Gujarat is located adjacent to Maharashtra and is also a
prominent industrialised state in the country. Several
companies in the chemicals and petrochemicals,
pharmaceuticals and textiles sectors are based in Gujarat and
the largest grass-root level petroleum refinery in India is
located in the state. Gujarat also has one of the busiest ports in
India and handled a high proportion of India’s exports for the
year ended March 31, 2001.

Haryana

Haryana is adjacent to Delhi and is surrounded by the states of
Himachal Pradesh, Uttar Pradesh, Rajasthan and Punjab. The
city of Chandigarh, which is a union territory, is a joint capital
city of the states of Haryana and Punjab. Haryana is also an
emerging centre in north India for IT enabled services such as
call centres, which are typically high-volume users of
telecommunications services.
Punjab
Punjab is among the highest per capita income states in India.
Punjab has emerged as a leading producer of agricultural
products in India and several multinational corporations have
invested in Punjab in agricultural-related businesses. Punjab is
also emerging as a base for the production of engineering
goods, pharmaceuticals, leather goods, food products, textiles,
electronic goods, sugar, machine tools, hand tools, agricultural
implements, sports goods, paper and paper packaging
materials.
Uttar Pradesh (West)
Uttar Pradesh (West) is a circle carved out of the north Indian
state of Uttar Pradesh by the DoT and has been classified as a
Category B cellular license area. It is a popular tourist location
in northern India with several holy shrines and pilgrimage
locations.
Madhya Pradesh
Located in central India, Madhya Pradesh has a total area of
approximately 443,000 square kilometers and has substantial
mineral resources, making it a centre for the aluminum,
chemical and iron and steel industries. Several industries in the
electronics, telecommunications, petro-chemicals, food

processing and automobiles sectors are also located in Madhya
Pradesh.

Kerala
Located in south India, Kerala is rich in minerals, marine
products and agricultural products. A large section of the
former population of Kerala lives outside India as non-resident
Indians and has contributed to a relatively high foreign
exchange inflow in this state. The state has the highest density
of science and technology personnel and the highest literacy
rate in India.
Tamil Nadu
Located in southern India, Tamil Nadu is surrounded by Andhra
Pradesh, Karnataka and Kerala. Tamil Nadu has several
industrial undertakings engaged in cotton, sugar, leather,
textiles, engineering and petrochemicals sector. The state has a
large number of professionals and has witnessed a rapid
growth in the software industry in the past few years.
In addition to entering into licenses with the DOT for our eight
additional circles and the restoration of our Punjab license, we
have taken the following steps towards commencing
operations in these circles and the integration of the proposed
circles with our existing circles:
completed network planning activities and implementing the
same entered into rate contracts and, for some circles, placed
purchase orders with vendors, including Siemens, Motorola and
Ericsson, for the supply of telecommunications equipment and
network design commenced recruitment activities and internal
transfer of employees for new areas of operations entered into

agreements with the Escorts group, a provider of cellular
services in the Haryana, Kerala, Uttar Pradesh (West), Himachal
Pradesh and Punjab circles, to share cellular infrastructure in
order to reduce costs and speed the launch date for our
services identified, and in some cases acquired, locations for
the main switching centres and cell sites. selected a common
billing system, customer relationship and enterprise resource
planning packages and other office systems and controls for our
existing and proposed cellular networks.
Airtel has also reorganized the management structure of its
cellular business on a regional basis in an effort to better
capture revenue and cost synergies.

PRODUCT LINE-UP

Bharti Airtel offers GSM mobile services in all the 23-telecom
circles of India and is the largest mobile service provider in the
country, based on the number of customers.

The group focuses on delivering telecommunications services
as an integrated offering including mobile, broadband &
telephone, national and international long distance and data
connectivity services to corporate, small and medium scale
enterprises.

The group offers high speed broadband internet with a best in
class network. With Landline services in 94 cities we help you
stay in touch with your friends & family and the world.

The Company compliments its mobile and broadband &
telephone services with national and international long
distance services. It has over 35,016 route kilometers of optic
fibre on its national long distance network. For international
connectivity to east, it has a submarine cable landing station at.
For international connectivity to the west, the Company is a
member of the South East Asia-Middle East-Western Europe –
4 (SEA-ME-WE-4) consortium.
Services
Broadband and internet services
Airtel brings you a host of exciting features ranging from
facilities like Online tests, In touch and Video Surveillance
Solutions to trouble shooting devices like, Net Expert and Web
Jockey.

Control your business, 24x7. Observe your office, warehouse,
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room!
Mobile Footprint

The map below depicts the location of, and provides certain
information for, Bharti Tele-Ventures' existing mobile circles in
India:

PROMOTIONAL STRATEGY

After the liberalization of the Indian Telecom Sector in 1994,
the Indian cellular market witnessed a surge in cellular services.
By 2005, there were a total of 12 players in the market with the
five major players being Bharti Tele-Ventures Limited (Bharti),
Bharat Sanchar Nigam Limited (BSNL), Hutchinson-Essar limited
(Hutch), Idea Cellular limited (Idea) and Reliance India Mobile
(RIM).

All the players except RIM offered services based on the Global
System for Mobile (GSM) technology. RIM provided services
based on Code Division Multiple Access (CDMA) technology as
well as GSM.

As competition in the telecom arena intensified, service
providers took new initiatives to woo customers. Prominent
among these were - celebrity endorsements, loyalty rewards,
discount coupons, business solutions and talk time schemes.
The most important consumer segments in the cellular industry
were the youth segment and the business class segment. The
youth segment was the largest and fastest growing segment
and was therefore targeted most heavily by cellular service
providers.

Bharti Tele-Ventures adopted celebrity endorsement as its chief
promotional strategy. By 2004 it emerged the unprecedented
leader commanding the largest market share in the cellular
service market. (Refer Exhibit II). Hutch implemented the
celebrity endorsement strategy partially, relying primarily on its
creative advertising for the promotion of its brand. BSNL, on
the other hand, attracted the consumer through its low cost
schemes. Being a state owned player, BSNL could cover rural
areas, and this helped it increase its subscriber base. Reliance
was another player that cashed on its innovative promotional
strategies, which included celebrity endorsements and
attractive talk time schemes. Idea, relied heavily on its creative
media advertising sans celebrities.

SWOT ANALYSIS

STRENGHTS

1. India has technically educated, motivated and intelligent
workforce, who if given proper incentives like quality living and
benefits, can be retained in India .
2. India possesses cheap labours to attract foreign investments.
3. Telecom software, telecom professionals, telecom
infrastructure and telecom services are the key players in
shaping today’s economy.
4. Revenue sharing strategies are leading to mergers and
actuations, helping companies to enter new business

opportunities, and generate employments, boosting the
country’s economy.
5. Privatization of VSNL, along with its partnership with Tata has
benefited not only the two companies but also the county at
large.
6. Information technology growth can propel India into IT
superpower.
7. Quality of life definitely improves when the infrastructure
and economy improves.
8. India has huge project plans with foreign countries which can
attract further mergers , investments etc.
9. Foreign companies that are facing problem in home market
have already identified India as a potential markets for business
and therefore they are heavily investing in India.
10. Government has already started relaxing rules for foreign
participants.
11. Software exports from software technology parks are a
huge potential business.
12. Though global telecom picture looks gloomy but India
possesses the competitive advantage in terms of its huge
market size and many undeveloped areas.

WEAKNESSES

1. Bureaucracy and politics tremendously affects the business
policies.
2. Slow reform process and slow liberalization affect the
changes and makes the progress slow.

3. Foreign companies wanting to invest in India are put off due
to continuously changing rules and lax policies.
4. Telco’s though united, provide some services that bring them
in close competition and therefore lose not only profits but also
consumer confidence.
5. Compared to the global structure, India is still concentrating
on universal service in some parts of the country.
6. Since 1994 reform process, telecom density has only gone up
to 3 as compared to the global average of 14.
7. Though cellular is the most attractive business today, but still
the overall number of cellular subscribers is very low and this
market really needs to be tapped.
8. Embracing change and understanding the technology takes a
lot of time making the changes very slowly.

OPPORTUNITIES

1. Lot of new entrants in telecom is bringing investment
opportunities.
2. Economic liberalization is bringing a significant amount of
progress.
3. Telecom educational institutes are coming up to keep the
professionals at par with the changing technology.
4. New opportunities are generating more employment and
creating a knowledge based economy
5. Privatization of services in telecom sector has led to keen
competition, as a result of which prices are reduced and more
business opportunities are created.

6. Increased availability of bandwidth has opened doors to new
schemes making efficient usage /providing value added services
and generating profits.
7. For cellular operators providing long distance is a lucrative
business opportunity and they can also concentrate on
providing many value added services.
8. Provision of not only basic services /but also, internet,
cellular, medical transcription, call center.

THREATS

1. Regulatory and tariff changes especially in the cellular
operations are constant threats.
2. China’s early liberalization and the fast growing economy
may prove to be a hindrance for India.
3. Economic protectionism and continuous political changes
plays against plays against everybody’s favors and affects the
good intentions of players even like reliance / Tatas etc.
4. Price regulations based on pre set rate of return hinder the
growth.
5. Young hard working and intelligent work force want to leave
the country due to poor economic conditions and exploitation.
6. Indian businesses take time or can’t survive due to the
constantly changing technology and fast-paced nature of
telecom business.

CHAPTER-IIII
RESEARCH OBJECTIVE

RESEARCH OBJECTIVE

The objective of my project report is to study the advertising
strategy of AIRTEL Cellular service and its effect on mobile users
existing and who are going to use mobile service in future. In
other words, my aim is to study the

Advertising Effectiveness of AIRTEL Cellular service.

? To learn the practical knowledge and how academic
knowledge convertible in practical way.

? To find out the success rate of the airtel cellular.

? To find out how much organization is involved in the mind of
consumer.

? To measure the customer’s satisfaction of airtel who are using
airtel services and products.

? To develop a new strategy for the improvement of existing
Airtel services and to find new ways of increasing Market share.

CHAPTER-V
RESEARCH METHODOLOGY

RESEARCH METHODOLOGY

Achieving accuracy in any research requires in depth study
regarding the subject. As the prime objective of the project is to
study advertising strategy of Airtel .The research methodology
adopted is basically based on primary data via which the most
recent and accurate piece of first hand information could be
collected. Secondary data has been used to support primary
data wherever needed.
Primary data was collected using the following techniques
Questionnaire Method
Direct Interview Method and
Observation Method
The main tool used was, the questionnaire method. Further
direct interview method, where a face to face formal interview
was taken. Lastly observation method has been continuous
with the questionnaire method, as one continuously observes
the surrounding environment he works in.

Procedure of research methodology
# Target geographic area was East Delhi.
# To these geographical area questionnaire was given, the
questionnaire was a combination of both open ended and
closed ended questions.
# The date during which questionnaires were filled was
between six week.
# Some dealers were also interviewed to know their
prospective. Interviews with the honour of retailer of Airtel
were also conducted.

# Finally the collected data and information was analyzed and
compiled to arrive at the conclusion and recommendations
given.
Sources of secondary data

Used to obtain information on, Airtel and its competitor
history, current issues, policies, procedures etc, wherever
required.
# Internet
# Magazines
# Newspapers

CHAPTER-VI
LIMITATIONS OF STUDY

LIMITATIONS OF STUDY

The researcher has to face certain difficulties while he carries
out the research work. He knows the limitations before hand.
Some of them are uncontrollable and some others are
controllable. Some important limitations, which were faced, are
as follows:

1. Limitation of Time: I have completed the research in limited
time. In spite of all the difficulties if the time is short it is quite
possible that one cannot collect the sufficient data and have to
depend upon other source of data.

2. Limitation of funds: Availability of funds was another
limitation owning to shortage of money.

3. Limitation of skills: the research needs a lot of statistical work
involving collection and tabulation of data, interpretation of
data and drawing out the necessary results. It requires an able,
efficient and experienced research works.

4. Limitation of human behaviors:
(a) Some of the respondent was not honest and genuine in
their approach.
(b) Some of the respondents could not understand certain
queries.

CHAPTER-VII
CONCLUSION

CONCLUSION

The conclusion of my study is that AIRTEL’s Advertising has a
major impact on its users. People like its schemes very much
.AIRTEL had created a very good image on the mind of the new
users of cellular service.

AIRTEL has adopted a very good strategy by providing a new
connection with NOKIA who is market leader in mobile sets,
many new users buy Nokia sets and they get a free connection
of AIRTEL.

AIRTEL is successful in capturing the highest market share by
adopting Celebrity Endorsement Strategy. A.R. Rehmaan’s tune
for AIRTEL worked as free advertising for AIRTEL as another
service user uses it too. Other celebrities like Shahrukh Khan
(Bollywood) and Sachin Tendulkar (Cricket) has also contributed
very much in AIRTEL.

AIRTEL has influenced mass customer by its wide network base
in India and is popular among business man and professionals
but in students it isn’t a popular one because there isn’t much
attracting schemes and offers for the youth.

CHAPTER-VIII

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