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airtel service benchmark gap analysis SWOT generic model process

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  2. 2. Go-ahead to the CDMA technology INDIA Private players were allowed in Value Added Services National Telecom Policy (NTP) was formulated 1992 1994 1997 Independent regulator, TRAI, was established NTP-99 led to migration from high-cost fixed license fee to low-cost revenue sharing regime 1999 2000 2002 BSNL was established by DoT ILD services was opened to competition Internet telephony initiated Reduction of licence fees 2003 Calling Party Pays (CPP) was implemented Unified Access Licensing (UASL) regime was introduced Reference Interconnect order was issued 2004 Intra-circle merger guidelines were established Broadband policy 2004 was formulated—targeting 20 million subscribers by 2010 2005 FDI limit was increased from 49 to 74 percent Attempted to boost Rural telephony 2006 Number portability was proposed (pending) Decision on 3G services (awaited) 2007 Department of Telecommunication (DoT) is the main body formulating laws and various regulations for the Indian telecom industry. Evolution of Telecom In India Evolution of Telecom In India
  3. 3. Changing Face of Indian Mobile Consumer
  4. 4. BHARTI AIRTEL <ul><li>India the most talkative nation after America. </li></ul><ul><li>Bharti Airtel, today is a behemoth with close to 25% share of country’s mobile telecom market. </li></ul><ul><li>Serves 75 million subscribers base. </li></ul><ul><li>Most profitable telecom network in the country with a revenue more than Rs.9,000 crore. </li></ul>
  5. 5. Innovation
  6. 6. AIRTEL Services
  7. 7. Lost Mobile Tracking System is a mobile software application which post installation helps you keep track of your mobile phone in the event of it being lost. LMTS service informs you about any change in the SIM of your lost mobile phone. It sends an SMS of the new mobile number and IMEI No. of your lost/stolen mobile handset to 3 alternate mobile numbers and an e-mail on any e-mail ID which had been provided to you by the subscriber at the time of registration. Thus it helps you in tracking your lost mobile phone. How it works Each SIM card has a unique International Mobile Subscriber Identity (IMSI) number. Whenever there is a change in the SIM its IMSI number also changes. This change is detected by the software and thus is able to identify any SIM change. IMEI number of the mobile phone is then used to authenticate the mobile phone. .  
  8. 8. Process
  9. 9.
  10. 10. Customer Segmentation <ul><li>Achievers </li></ul><ul><li>Funsters </li></ul><ul><li>Productivity-Enhancer </li></ul><ul><li>Social Callers </li></ul>
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  15. 15. AMOU & ARPU Minutes of Usage per Month – Mobile Services ARPU* in India – Mobile Services Despite a low teledensity of approximately 19 percent, India has the second highest minutes of usage per month. This offers huge growth opportunity to telecom companies. The declining ARPU implies that India Inc. is tapping a large market at the bottom of the pyramid by reducing tariffs; thereby, enhancing affordability.
  16. 16. Declining Tariff – Rising Revenue
  17. 17. TNS used its proprietary TRI*M Stakeholder Relationship Management System, wherein the TRI*M Index is a measure of the 'intensity of retention' and takes into consideration both the subscribers' level of satisfaction with the service provider as well as the level of retention and loyalty towards the service provider. Vodafone Customer Retention
  18. 18. Service Benchmarks
  19. 19. SERVQUAL Model
  20. 20. Corporate Responsibility at Bharti Airtel <ul><li>To be responsive to the needs of our customers </li></ul><ul><li>To continuously improve our services – innovatively and expeditiously </li></ul><ul><li>To be transparent and sensitive in our dealings with all stakeholders </li></ul>
  21. 21. <ul><li>Service Employee </li></ul><ul><li>People </li></ul><ul><li>Pride </li></ul><ul><li>Passion </li></ul><ul><li>Processes </li></ul><ul><li>Performance </li></ul>
  22. 22. Levels Of Service
  23. 23. Operational Improvement Business Challenge Bharti Airtel needed to maximize its future flexibility and growth potential by adopting a business-driven framework for integration, allowing it to implement and deliver new services rapidly. With competition intensifying in the Indian telecom services market, Bharti Airtel needed to find a way to focus on developing new services that could set it apart from the competition and strengthen its customer relationships.
  24. 24. Operational Improvement Solution Bharti Airtel entered into a comprehensive 10-year agree-ment with IBM to transform its processes and take on the management of its IT infrastructure. Its new platform provides a standardized framework for Bharti Airtel to integrate its channels and customer-facing processes–enabling a more seamless customer experience, higher customer satisfaction and more profitable growth.
  25. 25. Analysis of Customer Expectations
  26. 27. Loyalty towards Operators Loyalty is a function of satisfaction with various aspects of services that the subscriber has experienced. Likelihood of staying with the same operator and intention to recommend it to others are important measures of loyalty. Therefore, we have looked at satisfaction against likelihood of staying and intention to recommend
  27. 28.
  28. 29. Success Factors
  29. 30. Opportunities
  30. 31. <ul><li>Failures </li></ul><ul><li>MTN Deal failure will signal lack of any real market investment. </li></ul><ul><li>Airtel failed to reduced its tariff rates in comparison to its competitors like VODAFONE and BSNL. </li></ul><ul><li>Unnecessary charges- like for deactivation of services HELLO TUNES. </li></ul><ul><li>Ignorance towards cancellation of telephone line. </li></ul>
  31. 32. Major Challenges <ul><li>Getting a Disproportionate Share of New customers </li></ul><ul><li>Plan and Deploy network </li></ul><ul><li>Distribution through a hub and spoke model </li></ul><ul><li>Create alliance- IFFCO, Nokia association </li></ul><ul><li>Build Relevance for its products and services- Network & affordability </li></ul>
  32. 33. Major Challenges <ul><li>Delight current customers </li></ul><ul><li>Build trust- lead simplification of tariff, customer touch points </li></ul><ul><li>Drive innovation- Data and services like MoD, M-commerce. </li></ul>
  33. 34. Major Challenges <ul><li>Build Capability to Make Scale an Advantage </li></ul><ul><li>Segmentation( consumer, trade) and segmented delivery </li></ul><ul><li>Technology automation </li></ul><ul><li>Building internal people capabilities like restructuring of the marketing team which was carried out recently. </li></ul>
  34. 35. Future Challenges <ul><li>Mobile number portability (MNP) is a facility given by operators where a subscriber can move from one service provider to another without changing the number allocated to the subscriber. </li></ul><ul><li>Thus, under MNP, a subscriber will have the option of retaining the same phone number issued by the old operator even with the new operator. </li></ul><ul><li>To achieve the successful implementation of MNP, operators should consider carrying out a comprehensive cost-benefit analysis to ascertain whether or not the implementation of the technology would prove to be profitable for the operator. </li></ul>
  35. 36. Recommendations <ul><li>Pricing: Depending on the market conditions/ competitors from cellular service providers and also to suit local conditions, there should be flexible pricing mechanism( either at central or local level.) </li></ul><ul><li>Improvement in technology: Airtel should immediately shift to third generation switches by replacing its c-dot switches. This will improve the quality of service to desired level and provide simultaneous integration with the nationwide network. The special distribution of the transmission towers should be increased to avoid “no signal pockets”. </li></ul><ul><li>Increased Focus: It should increase focus on low end customers. </li></ul>
  36. 37. Future Strategies <ul><li>Translate its expertise in Indian markets to other emerging economies. This could call for acquisitions globally. </li></ul><ul><li>Technology leadership is a must – Airtel must ensure that its reliance on GSM technology does not render it obsolete. </li></ul><ul><li>Indian market inspite of being the worlds largest is still not matured. Opportunities abound in the hinterland which must be exploited. </li></ul>
  37. 38. <ul><li>Thank You </li></ul>