INTRODUCTION

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 INTRODUCTION

In the early 1990s, the Indian government adopted a new economic policy aimed at
improving India's competitiveness in the global markets and the rapid growth of exports. Key
to achieving these goals was a world-class telecom infrastructure.

In India, the telecom service areas are divided into four metros (New Delhi, Mumbai,
Chennai and Kolkatta) and 20 circles, which roughly correspond to the states in India. The
circles are further classified under "A," "B" and "C," with the "A" circle being the most
attractive and "C" being the least attractive. The regulatory body at that time — the
Department of Telecommunications (DOT) — allocated two cellular licenses for each metro
and circle. Thirty-four licenses for GSM900 cellular services were auctioned to 22 firms in
1995. The first cellular service was provided by, Modi Telstra in Kolkatta in August 1995.
For the auction, it was stipulated that no firm can win in more than one metro, three circles or
both. The circles of Jammu and Kashmir and Andaman and Nicobar had no bidders, while
West Bengal and Assam had only one bidder each.

In 1996, the Telecom Regulatory Authority of India (TRAI) bill was introduced in the Lok
Sabha, and the president officially announced the TRAI ordinance on 25 January 1997. The
government decided to set up TRAI to separate regulatory functions from policy formulation,
licensing and telecom operations. Prior to the creation of TRAI, these functions were the sole
responsibility of the DOT.

High license fees and excessive bids for the cellular licenses put tremendous financial burden
on the operators, diverting funds away from network development and enhancements. As a
result, by 1999 many operators failed to pay their license fees and were in danger of having
their licenses withdrawn. In March 1999, a new telecom policy was put in place (New
Telecom Policy [NTP] 1999). Under this new policy, the old fixed-licensing regime was to be
replaced by a revenue-sharing scheme whereby between 8-12 percent of cellular revenue
were to be paid to the government.

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1.1 INDIAN CELLULAR MARKET - EARLIER ROADBLOCKS AND
THEIR RESOLUTION

Indian Cellular market immediately after the first round of licensing in 1994-96 was beset by
several problems for 3 - 4 years till the New Telecom Policy of 1999 was announced. Some of
these roadblocks / current position is tabulated below:

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ROADBLOCKS

CURRENT POSITION

High license fees

Migration to revenue sharing mode in 1999 mitigates high initial fund requirements for
payment of license fees.

Inadequately funded businesses / weak and fragmented promoters

Businesses that have since been adequately funded growing at over 60% per annum, while
businesses with weak promoters continuing to languish - spate of acquisitions / mergers, with
4/5 major groups emerging in the last one/two years.

Regulatory authority not in place

Telecom Regulatory Authority of India (TRAI) firmly in place, and its role being accepted by
all operators; Deptt of Telecommunications (DOT) restructured, with operations and policy
making roles vested in different bodies.

Issues relating to unfavorable interconnect terms for private operators, pass through income,
intra circle long distance, spectrum availability and allocation and the like remained
unresolved for long periods.

Interconnect terms since rationalized, risks on pass through income to DOT / BHARTI
(Mahanagar Telecom Nigam Ltd.) resolved to the satisfaction of all parties with changes in
methodology / revenue sharing, intra circle long distance allowed, spectrum availability
cleared with vacation of frequencies for usage by GSM operators.

Problems in Financial closures due to:

 Licensing tenure of 10 years

 Large up front cash requirements from promoters due to heavy license fee
burden in initial stages of deployment Asset based financing approach by Indian
Financial Institutions.

 Licensing tenure increased from 10 to 20 years

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  Large up front cash requirements for license fee payments mitigated with
migration to revenue sharing mode allowing promoters to deploy more capital for
capital expenditure; project financing being considered by most financial institutions.

Foreign ownership / change of partner limitations

Foreign ownership norms clarified, and change of partners allowed as a matter of routine
allowing ease of entry / exit - paves the way for full control of businesses by foreign
companies.

Inadequate growth of market / subscribers

Roadblocks spelt out earlier resulted in low market / subscriber growth, but with corrective
measures taken, market / subscriber base expected to zoom

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1.2 DEVELOPMENTS IN THE CELLULAR INDUSTRY

The interconnection regime between cellular operators and fixed-line operators is still biased
against the former.

Despite the recent gains of the cellular industry, not everything is rosy. The cellular
penetration rate is still very low at 0.8 percent in a nation of over one billion people.

In recent years, many foreign companies had pulled out from their cellular joint ventures in
India due to the difficult operating environment and bureaucracy. In 1999 alone, Swisscom
pulled out from Sterling Cellular, Telstra from Modi Telstra and both the Telecom
Organization of Thailand and Jasmine International from JT Mobile. In 2000, Telecom
Malaysia sold its stake in Usha Martin Telecom, and both Shinawatra of Thailand and Bezeq
exited from Fascel. In June 2001, British Telecom exited from Bharti Cellular. Bell South
International has also indicated its intention to pull out from Skycell Communications, and
Hong Kong-based Distacom is seeking to sell its stake in Spice Communications. First
Pacific's (based in Hong Kong) continued commitment to Escotel is uncertain, and the former
is reviewing various options.

The string of sell-outs notwithstanding, there has been a merger and acquisition wave
sweeping across the Indian cellular industry in recent years. Hong Kong-based Hutchison
Whampoa, via Hutchison Telecommunications (HK), acquired major stakes in Sterling
Cellular (December 1999), Usha Martin Telecom (mid-2000) and Fascel (September 2000).
Through a partnership with local company, Kotak Mahindra Finance, Hutchison Whampoa
practically controls Fascel and Usha Martin Telecom, thus circumventing the 49 percent limit
on foreign ownership in Indian cellular operators. Hutchison Whampoa is also the controlling
shareholder of Hutchison Max Telecom. Not to be outdone, Bharti Enterprises — another
major cellular player — acquired control of JT Telecom, which was later renamed Bharti
Mobile (December 1999), and Skycell Communications renamed Bharti Mobinet (August
2000). Bharti also acquired the Punjab license of Essar and started operations, giving
competition to the lone operator there, Spice Communications. Going forward, Bharti is
likely to merge all its cellular companies into one entity.

Five companies together bid Rs16.3 billion to bag the licenses for the fourth operator slots in
four metros and 13 circles. Bharti emerged as the No. 1 bidder with eight new licenses,

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followed by Escotel with four, Hutchison with three, and Reliance and Idea cellular with one
each. Bharti and Hutchison have already commenced operations in all the circles while Idea
is set to launch in Delhi. Escotel and Reliance have not made any headway.

BHARTI, the third cellular operator for Delhi and Mumbai, started services in March 2001.
BSNL, as the third nationwide cellular operator, launched services in Kolkatta and Bihar in
January 2002. This was followed by Tamil Nadu in July 2002. A nationwide launch was
scheduled for 2 October 2002. However, this has been postponed until after mid October.
Once BSNL rolls out its service, most telecom circles will have four cellular operators. There
will be tremendous competitive pressure, which will result in lower tariffs. Future rate cuts
are expected, which will drive demand, together with falling handset prices and the
introduction of prepaid services.

In the midst of declining interest in technology stocks, Bharti came out with its long-awaited
initial public offering (IPO) in January 2002. Leveraging on the success of its cellular service,
the company got a very good response from the primary market. The total size of the IPO was
185 million shares at a floor price of Rs10. The issue was oversubscribed by more than 2.5
times, netting Rs8.3 billion. This will be used to fuel its investment in long-distance, basic
and cellular services.

As of October 2002, only BPL Mobile has launched commercial general packet radio service
(GPRS) in Mumbai. However, large-scale uptake remains elusive. While both Bharti and Idea
have GPRS-enabled networks, there is caution on their part to launch the service. With hardly
any applications, the success of GPRS remains a question.

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Building visibility and awareness

Deviating from competing on the price platform, cellular operators are actively promoting
their brand and service portfolio through high-visibility advertising and promotional
campaigns. Cellular operators like Bharti, Orange and BPL Mobile have been advertising
aggressively on hoardings and kiosks. Public transport like the city rail system and cabs are
used widely to carry the message of mobility.

Customer-focused activities are gaining traction among cellular operators with the
establishment of longstanding consumer benefit programs. Orange in Mumbai offers "Orange
Holidays" and "Orange Monsoon Offers" at very attractive rates and added benefits like
discounts on airfare, food and beverages, among others. Others offer special privileges in
retail outlets, cinemas and music shops.

Enterprise mobile applications — promising revenue stream

All along, customer acquisition and the top line have been the focus. Few operators have
concentrated on offering differentiated services for businesses. However, as operators realize
that offering basic voice and Short Message Service (SMS) will get them the numbers but not
the margins, some are now seriously looking at the enterprise segment for provisioning
superior services.

Cost-centered solutions like closed user group (CUG), value-adds like unified messaging and
instant alerts are being offered.

A variety of mobile applications are finding takers among the enterprise segment. Bharti is in
the process of introducing a facility to fleet management companies so that they can improve
the efficiency of trucks or buses by tracking movement and ensuring higher-use, accurate
route planning. Premium automakers are also installing a global system for mobile
communications inside a vehicle to help trace lost vehicles and track down stolen cars.

Corporations can choose enhanced services like user-defined call routing to prevent misuse.
Calls can be barred, limiting access to select numbers and diverting calls to one single
number. Broadcasting services are also quite popular, especially among fast food centers that
have a central number. Group SMS is quite popular, especially among enterprises both in the
service as well as the fast-moving consumer goods (FMCG) segment that have a large field

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force and need to provide regular updates on inventory status, discount schemes and
movement of goods from warehouse to the retail outlet. Banks too find bulk SMS service
very useful to forward transactional alerts to their customers.

1.3 FUTURE TRENDS AND DEVELOPMENT

There will be more competition, forcing operators to constantly focus on differentiations to

maintain their lead.

 The implementation of enhanced networks like 2.5G will enable operators to

offer data services. This is an opportunity to customize and differentiate better.

 The entry of state-run operators like BSNL and BHARTI means that prices
will no longer be controlled, thus there is less chance of a cartel being formed.

 Network coverage in terms of geographic spread and quality of coverage is

crucial especially for the business subscriber.

 The bigger the service provider's national presence, the better it is for
businesses. On the roaming front, signing up with a national operator is advantageous.

 Limited mobility wireless in local-loop services (by fixed network service

providers) will be a disadvantage for cellular operators in the short term.
Consequently, operators need to streamline their customer relation activities and adopt
aggressive subscriber acquisition and retention strategies.

1.4 REGULATORY ISSUES

The operations of this sector are determined as under the Indian Telegraph Act of 1885. A
document buried in the sands of time. The next major policy document, which was produced,
was the National Telecom Policy of 1994, a consequence of the on going process of
liberalization.

Year Event

1851 First telephones in India

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1943 Nationalization of telephone companies

1985 DoT was created

1986 Creation of BHARTI and VSNL

1991 Telecom equipment liberalized

1994 Licenses for paging

1994 Telecom policy announced

September 1994 Guidelines for private sector participation in basic services

November 1994 Cellular licenses issued for metros

December 1994 Tenders for cellular licenses in 19 cities apart from 4 metros

January 1995 Tenders for 2nd operator in basic services apart from DoT
on circle basis.

August 1995 VSNL launches Internet services

January 1996 TRAI formed

November 1998 Internet policy announced

The National Telecom Policy of 1994 document, which laid out broad policy guidelines
rather than a series of action points. Like other policies, it sought to achieve the impossible in
finite time like improve quality of service and its availability, wide coverage (a phone in
every village), at reasonable rates, etc. The targets in quantifiable terms were installation of
9.5mn additional lines, telephone on demand by 1997, and a PCO pop of 500. The Eighth
Plan had also allowed private operators in value added services. To facilitate licensing, the
nation was divided into 20 circles (akin to a state) for basic and 21 circles for cellular
telephony. Mumbai falls in Maharashtra circle and Delhi in itself a circle.

The basic premise on which competition has been introduced is that every circle will have
one private operator apart from DoT/ BHARTI for basic and two operators for cellular. DoT/
BHARTI have the option to become the third cellular operator in future.

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Government did not achieve most of its stated targets. The basic theme, which was
broadening the reach of telephony in India, has not been met. Even liberalization policies
were not implemented properly. The regulator TRAI was set up after delays and confusion
and even after its creation, DoT continued to fight with it in courts. It was also affected by the
resource crunch, and financing options like BOT, BOOT and BOLT was not used at all. The
major policy direction it showed was to allow private sector entry in both basic and value
added services. The intention, though noble failed to achieve its goals because of improper
implementation, the economic costs are still borne by the end user.

The telecom sector has witnessed some fundamental structural and institutional reforms in the
past decade. telecom equipment manufacturing was completely deregulated in 1991. Value-
added services (including cellular services) were thrown open to private sector participation
in 1992. Basic services were opened to private participation in 1994 by dividing the country
into 21 telecom Circles and allowing one private operator per Circle to compete with DoT.
An independent telecom regulatory Authority of India was set up in 1997. A new Policy for
Internet Service Policy Providers (ISPs) was announced in 1998 allowing independent
service providers to enter the sector ending the earlier monopoly of VSNL. Reorganization of
DoT, separating policymaking function and service provision and corporatization of DoT's
operational network are two major institutional reforms, which need to be implemented.

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COMPANY
PROFILE

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 COMPANY PROFILE

Vision

"As we spread wings to expand our capabilities and explore new horizons, the fundamental
focus remains unchanged: seek out the best technology in the world and put it at the service
of our ultimate user: our customer."

These are the premise on which Bharti Enterprises has based its entire plan of action.

Bharti Enterprises has been at the forefront of technology and has revolutionized
telecommunications with its world-class products and services.

Established in 1985, Bharti has been a pioneering force in the telecom sector. With many
firsts and innovations to its credit, ranging from being the first mobile service in Delhi, first
private basic telephone service provider in the country, first Indian company to provide
comprehensive telecom services outside India in Seychelles and first private sector service
provider to launch National Long Distance Services in India. Bharti had approximately 3.21
million total customers – nearly 2.88 million mobile and 334,000 fixed line customers.

Its services sector businesses include mobile operations in Andhra Pradesh, Chennai, Delhi,
Gujarat, Haryana, Himachal Pradesh, Karnataka, Kerala, Kolkata, Madhya Pradesh circle,
Maharashtra circle, Mumbai, Punjab, Tamil Nadu and Uttar Pradesh (West) circle. In
addition, it also has a fixed-line operations in the states of Madhya Pradesh and Chattisgarh,
Haryana, Delhi, Karnataka and Tamil Nadu and nationwide broadband and long distance
networks.

Bharti has recently launched national long distance services by offering data transmission
services and voice transmission services for calls originating and terminating on most of
India's mobile networks.

The Company is also implementing a submarine cable project connecting Chennai-Singapore

for providing international bandwidth.

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Bharti Enterprises also manufactures and exports telephone terminals and cordless phones.
Apart from being the largest manufacturer of telephone instruments, it is also the first telecom
company to export its products to the USA.

Bharti Tele-Ventures' strategic objective is

“to capitalise 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”.

The Company has developed the following strategies to achieve its strategic objective:

 Focus on maximizing revenues and margins;

 Capture maximum telecommunications revenue potential with minimum

geographical coverage;

 Offer multiple telecommunications services to provide customers with a "one-

stop shop" solution;

 Position itself to tap data transmission opportunities and offer advanced

mobile data services;

 Focus on satisfying and retaining customers by ensuring high level of

customer satisfaction;

 Leverage strengths of its strategic and financial partners; and

 Emphasize on human resource development to achieve operational

efficiencies.

Businesses

Bharti Tele-Ventures current businesses include -

 Mobile services

 Fixed-line

 National and international long distance services

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  VSAT, Internet services and network solutions

Competitive Strengths

Bharti Tele-Ventures believes that the following elements will contribute to the Company's
success as an integrated telecommunication services provider in India and will provide the
Company with a solid foundation to execute its business strategy:

 Nationwide Footprint - approximately 92% of India's total mobile subscribers

resided in the Company's fifteen mobile circles. These 15 circles collectively
accounted for approximately 56% of India's land mass;

 Focus on telecommunications to enable the Company to better anticipate

industry trends and capitalize on new telecommunications-related business
opportunities;

 The strong brand name recognition and a reputation for offering high quality
service to its customers;

 Quality management team with vision and proven execution skills; and

 The Company's strong relationships with international strategic and financial

investors such as SingTel, Warburg Pincus, International Finance Corporation, Asian
Infrastructure Fund Group and New York Life Insurance.

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Brand Architecture:

Bharti is working on a complex three-layered branding architecture — to:

 Create specific brands for each service,

 Build sub-brands within each of these services and

 Use Bharti as the mother brand providing the group its corporate identity as
well as defining its goal to become a national builder of telecoms infrastructure.

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AirTel - The flagship brand for cellular operations all across the country.

Touchtel - The brand earmarked for basic service operations.

India One - The brand for national long distance (NLD) telephony

Though the costs of creating new brands are heavy but the group wants to create
“distinct independent brands to address different customers and profiles”.

Brand Strategy:

To understand the brand strategy, let’s first look at the brand building exercise associated with
AirTel — a brand that had to be repositioned recently to address new needs in the market.

When the brand was launched seven years ago, cellular telephony wasn’t a mass market by
any means. For the average consumer, owning a cellular phone was expensive as tariff rates

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(at Rs 8 a minute) as well as instrument prices were steep — sometimes as much as buying a
second-hand car.

Bharti could have addressed the customer by rationally explaining to him the economic
advantage of using a mobile phone. But Sachdev says that such a strategy would not have
worked for the simple reason that the value from using the phone at the time was not
commensurate with the cost.

“Instead of the value-proposition model, we decided to address the sensory benefit it gave to
the customer as the main selling tack. The idea was to become a badge value brand,” he
explains.

So the AirTel “leadership series” campaign was launched showing successful men with their
laptops and in their deluxe cars using the mobile phone. In simple terms, it meant AirTel was
positioned as an aspirational brand that was meant for leaders, for customers who stood out in
a crowd.

Did it work? Repeated surveys following the launch showed that there were three core
benefits that were clearly associated with the brand — leadership, dynamism and
performance.

These were valuable qualities, but they only took AirTel far enough to establish its presence
in the market. As tariffs started dropping, it became necessary for AirTel to appeal to a wider
audience. And the various brand-tracking exercises showed that despite all these good things,
there was no emotional dimension to the brand — it was perceived as cold, distant and
efficient.

Sachdev and his team realized that in a business in which customer relationships were the
core this could be a major weakness. The reason? With tariffs identical to competitor Essar
and roughly the same level of service and schemes, it had now become important for Bharti to
“humanize” AirTel and use that relationship as a major differentiation.

The brand had become something like Lufthansa — cold and efficient. What they needed was
to become Singapore Airlines, efficient but also human. A change in tack was important
because this was a time when the cellular market was changing.

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The leadership series was okay when you were wooing the crème de la crème of society.
Once you reached them you had to expand the market so there was need to address to new
customers.

By that time, Bharti was already the leading cellular subscriber in Delhi with a base of 3.77
lakh (it now has 1.2 million customers). And with tariffs becoming more affordable — as cell
companies started cutting prices — it was time to expand the market.

How could Bharti leverage this leadership position down the value chain? Surveys showed
that the concept of leadership in the customer’s minds was also changing. Leadership did not
mean directing subordinates to execute orders but to work along with a team to achieve
common objectives — it was, again, a relationship game that needed to be reflected in the
AirTel brand.

Also, a survey showed that 50 per cent of the new customers choose a mobile phone brand
mostly through word-of-mouth endorsements from friends, family or colleagues. Thus,
existing customers were an important tool for market expansion and Bharti now focused on
building closer relationships with them.

That is precisely what the brand tried to achieve through its new positioning under the AirTel
“Touch Tomorrow” brand campaign. This set of campaigns portrayed mobile users
surrounded by caring family members. Says Sachdev: “The new campaign and positioning
was designed to highlight the relationship angle and make the brand softer and more
sensitive.”

As it looks to expand its cellular services nationwide —to eight new circles apart from the
seven in which it already operates — Bharti is now realizing that there are new compulsions
to rework the AirTel brand, and a new exercise is being launched to this effect. Right now, the
company is unwilling to discuss the new positioning in detail. But broadly, the focus is on
positioning AirTel as a power brand with numerous regional sub-brands reflecting customer
needs in various parts of the country.

If AirTel is becoming more humane and more sensitive as a brand, Bharti has also understood
that one common brand for all cellular operations might not always work in urban markets
that are now getting increasingly saturated.

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To bring in new customers, the company decided that it needed to segment the market. One
such experiment, launched last year, is Youtopia, a brand aimed at the youth in the 14 to 19
age bracket and for those who are “young at heart”. With its earlier positioning, AirTel was
perceived as a brand for the well-heeled older customer; there was nothing for younger
people. With Youtopia, AirTel hoped to reverse that.

In order to deliver the concept, AirTel offered rock bottom tariff rates (25 paise for 30
seconds) at night to Youtopia customers — a time when they make the maximum number of
calls. It also set up merchandising exercises around the scheme — like a special portal for
young people to buy things or bid for goods.

The company is now looking at offering other services at affordable prices to this segment
which include music downloads on the mobile and bundling SMS rates with normal calls to
make it cheaper for young people to use.

The other experiment that Bharti has worked on is to go in for product segmentation through
the Tango brand name. The brand was created to offer mobile users Internet-interface services
or what is known as WAP (Wireless Application Protocol).

The idea was to bring Internet and mobile in perfect harmony. “The name was chosen from
the popular movie title It Takes Two To Tango: basically, you need the two services to tango
to offer customers a new choice”, says Sachdev.

This, however, had less to do with the branding exercise as with inefficiency of service
(accusingly slow download speeds) and the limited utility of WAP services.

Subsequently, the ads were withdrawn, but the company re-iterated that the branding exercise
could be revived because Tango will be the brand to offer GPRS services — or permanent
Internet connectivity on the mobile phone — which AirTel is expected to launch soon.

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The Magic:

Perhaps the more ambitious experiment has been with Magic — the pre-paid
card. The idea was to make the brand affordable, accessible and, most
importantly, feasible as a means of expanding the market even faster.

PHASE I –

Magic was aimed at bringing in infrequent users of a mobile phone into the
market and assure him that he would have to pay only if he made a call. Such a
customer used the phone sparingly — mostly for emergencies — and was not
willing to pick up a normal mobile connection with its relatively high rentals
(pre-paid cards do not include rental charges).

To achieve its objectives Bharti did three things.

 One, the product was made available at prices ranging from Rs 300
to Rs 3,000 with no strings attached and was simple to operate.

 Two, the product was made accessible and distributed through

small stores, telephone booths and even kirana shops so that the offering
was well within arm’s reach.

 Third, to make the product more “approachable” to the customer,

the company came with vernacular ad campaigns like “Magic Daalo Se
Hello” which appealed to local sensibilities.

This apart, the company roped in Karisma Kapoor and Shah Rukh Khan for a
major ad campaign all across Delhi, a ruse that saw the number of subscribers
go up from 5.47 lakh to 12 lakh today, overtaking Essar’s branded pre-paid card

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Speed, which was launched much ahead of Magic. The company is now re-
working its Magic strategy even further.

Earlier, the branding strategy was aimed at roping in only interested customers
— that is, customers who were already inclined to opt for mobile services. But
now, with basic service providers having been allowed limited mobility at far
cheaper rates, mobile service providers could find themselves under threat
again.

That is why the new exercise is aimed at co-opting non-adopters. While the
exact strategy is under wraps, insiders say the new branding strategy would be
aimed at offering them value which they had not perceived would be available
from using a pre-paid card.

PHASE II -

Bharti used AirTel Magic to build a strong value proposition and accelerate
market expansion through India’s first national pre-paid card TV brand
campaign

 First time ever in India - any pre-paid card brand goes on TV

 A combination of the film genre exposed through the TV medium

designed to connect with the masses of India

 Youth based - romance driven strategy platform makes the value

proposition of AirTel Magic - ‘Mumkin Hai’ come alive

 All elements - user imagery, context, tone & language created to connect
the category to the lives of the SEC B & SEC C segment – the middle class
non-mobile user.

 AirTel Magic positions itself on the platform of being excellent for

emergency situations - increasing productivity as a part of everyday life.

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  Sharukh Khan makes ‘everything in life possible’ while romancing pretty
Kareena Kapoor with AirTel Magic, India’s leading pre-paid mobile card.

AirTel today unveiled its strategy for market expansion with the launch of it’s
new AirTel Magic pre-paid card brand campaign – ‘Magic hai to Mumkin hai’.
The strategy is targeted at the non-user segment defined as young adults, 15-30
years of age; in the Sec B & C segment is aimed at accelerating market
expansion. The value proposition is centered around a person’s desire to make
all his / her dreams, ambitions & aspirations instantly possible. The new
campaign for AirTel Magic is all about empowering millions of Indians to be on
top of their lives.

The brand is positioned to be relevant to the mass-market who want to make all
their dreams, hopes & desires come alive… instantly. (At just Rs.300/- per
month AirTel Magic is so easy to buy.) Improving productivity, letting you
befriend the world and opening up new horizons. It gives you the freedom to
control your life in a way never possible before. Indeed, anything that you
think is possible is possible with AirTel Magic. The new brand slogan ‘Magic
hai to Mumkin hai’ has been specially created to capture this effectively.

This strategy is designed to help us talk to this segment directly in the tone,
manner & language of the masses. The “Mumkin hai” value proposition will
help us expand the market and gain a higher percentage of market share in the
process.

The brand ambassadors Sharukh Khan and Kareena Kapoor embody this ‘can
do’ or “Mumkin Hai” spirit (infact that is the reason they were selected as brand
ambassadors). Sharukh rose from a TV actor to become India’s top film star
and national heartthrob. Kareena’s success is due to her ‘attitude’, talent, hard

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work and the sheer ability to make a mark in such a short time. Both these stars
have said ‘Mumkin hai’ and made it happen for themselves.

The genre of this new strategy & campaign is Hindi cinema led. This genre
connects millions across India. The spirit of romance, dancing… the Indian
cinema, well known to most as Bollywood, holds millions of Indians together as
one.

The new TV campaign of AirTel Magic crafted in the Hindi film idiom,
magnifies the empowering optimism of “Mumkin Hai”, in the endearing
situation of a boy-girl romance. Where Sharukh Khan, sets his eyes on Kareena
Kapoor and wins her love with the help of AirTel Magic. (Poignantly
conveying that special feeling we all get when a dream is made possible and a
victory of the heart is won).

The strategy & new brand campaign is targeted at the large untapped base of
intending mobile customers from Sec A, B & C. The estimated addressable
market of such customers in the next two years is around 25 million in AirTel’s
16 states. The new strategy aims at correcting the perception that the mobile
category is useful mainly for ‘business’ or ‘work’ related scenarios.

The new strategy, brand positioning & brand slogan is an outcome of an

extensive nationwide research and is an integral part of AirTel Magic’s new
multi-media campaign. The campaign has been created by Percept Advertising.

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PHASE III -

Bharti used AirTel Magic to build a strong value proposition and accelerate
market expansion through India’s first national pre-paid card TV brand
campaign

 First time ever in India - any pre-paid card brand gives such freedom to
recharge any value

 A combination of the film genre exposed through the TV medium

designed to connect with the masses of India

 Youth based - romance driven strategy platform makes the value

proposition of AirTel Magic - ‘Aisi azaadi aur kahan?” come alive

 Sharukh Khan makes ‘everything in life possible’ AirTel today unveiled

its strategy for market expansion with the launch of it’s new AirTel Magic
pre-paid card brand campaign – ‘Magic hai to Mumkin hai’. . The value
proposition is centered around a person’s desire to make all his / her dreams,
ambitions & aspirations instantly possible. The new campaign for AirTel
Magic is all about empowering millions of Indians to be on top of their lives.

The brand is positioned to be relevant to the mass-market who want to make all
their dreams, hopes & desires come alive… instantly .At a amount of your
choice you can recharge your account with available validity time .Improving
productivity, letting you befriend the world and opening up new horizons. It
gives you the freedom to control your life in a way never possible before.
Indeed, anything that you think is possible is possible with AirTel Magic. The
new brand slogan ‘Aisi azadi aur kahanhas been specially created to capture this
effectively.

252525
 Talk
Amount Service Processing Time Validity
Tax
(Rs.) (8%) Fees(Rs.) (Rs.) (Days)
54 4 25 25 5
60 4.44 25 30.56 5
75 5.56 25 44.44 5
100 7.41 25 67.59 5
125 9.26 50 65.74 10
150 11.11 50 88.89 10
175 12.96 50 112.04 10
200 14.81 50 135.19 10
216 16 85 115 20
225 16.67 85 123.33 20
250 18.52 85 146.48 20
275 20.37 85 169.63 20
300 22.22 85 183.78 20

Talk
Amount Service Processing Time Validity
Tax
(Rs.) (8%) Fees(Rs.) (Rs.) (Days)
324 24 150 150 30
350 25.93 150 174.07 30
360 26.67 150 183.33 30
375 27.78 150 197.22 30
400 29.63 150 220.37 30
425 31.48 150 243.52 30
475 35.19 150 289.81 30
500 37.04 150 312.96 30
525 38.89 150 336.11 30
540 40 150 350 30
600 44.44 150 405.56 30
650 48.15 150 451.56 30
700 51.85 150 498.15 30
775 57.41 150 567.59 30
800 50.36 150 580.74 30

262626
 Tax
( Rs.) (8%) Fees(Rs.) (Rs.) (Days)
850 62.96 150 637.04 60
900 66.67 150 683.33 60
1000 74.07 150 775.93 60
1080 80 150 850 60
1200 88.89 150 961.11 60
1300 96.3 150 1053.7 60
1400 103.7 150 1146.3 60
1500 111.11 150 1238.89 60
1800 133.33 150 1516.67 60
2000 148.15 150 1701.85 60
2160 160 150 1850 60
3000 222.22 150 2627.78 60
5000 370.37 300 4329.63 366
6000 444.44 300 5255.56 366
7000 518.52 300 6181.48 366
8000 592.59 300 7107.41 366
9000 666.67 300 8033.33 366
9999 740.67 300 8958.33 366
YOUR TALK TIME = MRP - PROCESSING FEE -
SERVICE TAX
Other Brand Building Initiatives:-

The main idea is to stay ahead of competition for at least six months. Working
on the above game plan Bharti is constantly coming up with newer product
offerings for the customers.

The focus, of course, is to offer better quality of service.

 To make the service simpler for customers using roaming facilities,

Airtel has devised common numbers for subscribers across the country
for services like customer care, food services and cinema amongst others.

 It will also launch a unified billing system across circles so,

customers moving from one place to another do not have to close and
then again open new accounts at another place.

272727
 To assist customer care personnel to deal with subscriber queries, a
storehouse of 40,000 frequently asked questions and their answers have
been stored on the computers.

 Bharti expects that most of its new customers (one estimate is that
it would be 60 to 70 per cent of the total new subscriber base) would
come from the pre-paid card segment. So, they must be given value-added
products and services which competitors don’t provide.

 Bharti, for the first time for a cellular operator, has decided to offer
roaming services even to its pre-paid customers, but the facility would be
limited to the region in which they buy the card. To ensure that customers
don’t migrate to other competing services (which is known as churn and
ranges from 10 to 15 per cent of the customer base every month), the
company is also working on a loyalty program. This will offer subscribers
tangible cash benefits depending upon their usage of the phone.

 The loyalty program will not be only for a ‘badge value’, it will
provide real benefits to customers. The idea is to create an Airtel
community.

 Another key area which Bharti is concentrating its attention upon is

a new roaming service launched in Delhi under which calls of a roaming
subscriber who is visiting the city will be routed directly to his mobile
instead of traveling via his home network.

 The company also offers multi-media messaging systems under

which customers having a specialized phone with a in-built camera can
take pictures and e-mail it to friends or store it in the phone. The cost per
picture is between Rs 5 to Rs 7.

282828
 Bharti is also aware that it has to make owning a ready-to-use
cellular service much easier than it is today. A key area is to increase the
number of activation centers. Earlier Bharti had 250 Airtel Connect stores
which were exclusive outlets (for its services) and about 250 Airtel Points
which were kiosks in larger shops. Now activation can be done by all of
them, and not only by Connect outlets, all within 15 to 20 minutes. In
comparison, the competition takes two to four hours.

 Pre- paid cards are really catching up with the mobile phone users
and it is actually helping the market to increase. First, they are easier to
obtain and convenient to use. Unlike post-paid, one need not pay security
deposits for picking up a pre-paid card. It is often available even with
paanwalas. As befits a fast-moving consumer service, the game is now
moving beyond price to expanding distribution reach and servicing a
well-spread-out clientele with technology and strategic alliances. Bharti is
focusing on two factors to make pre-paid cards more attractive. Keeping
the entry cost low for consumers and making recharging more
convenience.

 Bharti is in the process of launching a new system in alliance with

Mumbai-based company Venture Infotech which will enable a pre-paid
card user to renew his subscription by just swiping a card. The system
will not only save users the hassle of going out and buying a card every
time it expires but also enable mobile companies to reduce the cost of
printing and distributing cards.

 Bharti Televentures has tied up with 'Waiter on wheels,' a company

delivering food at home, to reach its Magic pre-paid cards to subscribers'
doorsteps. The company is also joining hands with local grocery shops

292929
which will enable users to recharge their cards by just making a phone
call to the shop. Apart from improving the convenience of recharging,
mobile operators are beefing up their distribution channels. The company
is constantly innovating to enhance the value proposition for its pre-paid
service. They are leveraging technology to expand their distribution
network and deliver round-the-clock recharge options to its MOTS
(Mobile On the Spot) subscribers.

 Bharti Cellular has also launched a special service, CareTouch, for

high-value, corporate customers, providing them with instant, single-point
access for any assistance they require. Customers can dial 777 and enjoy a
slew of services, which includes easier payment of bills, service on
priority basis, and value-added services without any additional paper
work. Bharti Cellular is offering a range of services without going
through an interactive voice recorder ensuring that they save time.
Dedicated ‘CareTouch’ executives are expected to assist customers with
any service on priority basis. Besides the regular proactive reminder calls
for bill payment, customers can also call CareTouch for bill payments at
free of cost.

 AirTel presented MTV Inbox; the first ‘on-air’ SMS based

interactive music dedication show exclusively for AirTel and AirTel
Magic customers. Highly interactive VJ based show with real-time
feedback mechanism. Both brands joined hands to target the high growth
youth segment.

303030
Bharti’s View on its Branding strategy:-

First, brand building efforts in today’s context have to be seen in a more holistic
manner. Delivering value on a sustained basis is perhaps the most potent key to
build a brand that lasts.

Unflinching orientation to customer needs is the second key success factor.

Customers (be it for industrial products or consumer goods and services) across
the world are more informed and, at the same time, becoming more
individualistic in their needs and far more demanding with the passage of time.

Pro-active tracking of shifts in consumer behavior, anticipating redefined or

emerging customer needs, and then reacting in “real-time” are essential to attract
and retain customer loyalty — a key element of creating brand equity in the
present situation.

Customizing the product (and communication of its benefit) to meet the specific
needs of various consumer/customer sub-segments is the third element in
creating brand appreciation.

As far as allocation of time and financial resources are concerned, too many
companies mistakenly allocate a disproportionate amount on mere advertising
and promotion. This is not to say that advertising and promotion are less
relevant. On the contrary, with more choices and higher media clutter,
businesses need to budget for an increasingly higher spend on their brand
promotion but this has to be undertaken in tandem with enterprise-wide
“reengineering” of the business philosophy and core design, production, and
delivery operations for the product itself.

The positive spin to this argument is that by first addressing the fundamentals,
the enterprise itself becomes more competitive. This can be the beginning of a
virtuous cycle wherein brand equity continues to increase as the enterprise

313131
sustains delivery of an appropriate product or service at an ever increasing
value.

It is, however, crucial to note that in the years to come, not only will the cost of
building a regional or a national (or an international) brand will continue to rise
but also the time taken to do so will be longer and will need sustained and
focused efforts.

323232
 RESEARCH
METHODOLOGY

333333
 RESEARCH METHODOLOGY

OBJECTIVE OF THE STUDY

1. To identify the difference in market performance of Airtel industry.

2. To study the market of Airtel Industry in big scale sector.

3. To compare various parameters of manufacturing process, technology,

production policy, advertising, collaboration, export scenario, future
prospect and government policies.

RESEARCH DESIGN

A research design is simply a plan or framework for a study that is used in collecting and

analyzing the data. This framework is to ensure that relevant information is collected and that

too depending upon the objectives of the study.

The research design can be classified into three categories – Exploratory, descriptive, and

casual:

Exploratory Research

It seeks to discover new relationships, emphasis on discovery of ideas. This research is used

when very little is known about the problem being examined. Exploratory research studies

are also termed as formulative research studies as its main purpose is to formulate a problem.

Exploratory research is used here is flexible and the areas where this type of research used are

to know the:

343434
 Brand preference

 Attitude of the customers

 Market potential

 Buyer's behavior

 Consumer's awareness.

353535
 The purpose of this type of research is to gain insight into problem. The research design

used for the project at hand is of exploratory in nature. Exploratory research is always

based on small non-representative samples and data obtained are subjected to qualitative

analysis.

Exploratory research helps to gather information about practical problems in carrying out

the research and to provide insight into, and an understanding of, the problem confronting

the researcher.

DESCRIPTIVE RESEARCH

It attempts to determine the frequency with something occurs or the relationship between

two phenomenon's. It is a type of conclusive research that has its major objective of

describing something like market characteristics or functions. Descriptive research gives

a clear statement of the problem, specifies hypothesis, and detailed information needs. It

is conducted for the for the reasons like to describe characteristics of relevant group are

associated and to make specific predictions, to estimate the percentage of units in a

specified population exhibiting a certain behavior, to determine the perceptions of product

characteristics, to determine the degree to which marketing variables. A descriptive

design requires a clear specification of who, what, when, where, why, and way of

research.

Descriptive research used the following methods:-

 Observation

363636
  Questionnaires

 Interviews

 Examination of records

Some of the examples are:

 Market studies

 Market share studies

373737
  Sales analysis studies

 Image studies.

CAUSAL RESEARCH

These designs often adopted in order to discover and determine the cause and effect

relationship. It is also experimental research as its major objective is to obtain evidence

regarding cause and effect relationship. It requires a planned and structured design. The main

method of experiment research is experimentation and hypotheses are specific. Experimental

research is useful in cases where variables are manipulated in a relatively controlled

environment.

SOURCE OF COLLECTING DATA

Achieving accuracy in any research requires in depth study regarding the subject. As the

primary object is to study the market segmentation and strategies secondary objective of the

project is to compare Airtel with the existing competitors in the market and impact of Airtel

on Bharti, 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.

383838
PRIMARY DATA

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 had been continuously

observes the surrounding environment he works in.

PROCEDURE:

 Target geographic area was Meerut, Dauralla, Parikshit garh, sakoti & Matoor.

 To these geographical area questionnaire was filled by 200 people, the

questionnaire was a combination of both open ended and closed ended questions.

 The date during which questionnaires were filled was between six week.

393939
  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.

SECONDARY DATA

Secondary data has been used to support primary data wherever needed.

It is used to obtain information on, Airtel and its competitor history, current issues, policies,

procedures etc, wherever required.

SOURCES OF SECONDARY DATA

 Internet

 Magazines

404040
  Newspapers, etc.

RESEARCH PROCESS

Defining the record and research objective.

Developing the research plan for collecting information implementing

the research plan.

Collecting and analyzing data.

Interpreting and representing the findings.

TYPE OF RESEARCH

414141
This is descriptive research as this research includes surveys and fact finding inquires of

different kinds. So descriptive research help in knowing about particular item or group of

items in other words it describes the state as it exist at present.

DATA COLLECTION

The data collected in this research is first hand so it is primary data. It is collected directly

from the respondent through questionnaire and through visualization.

DATA COLLECTON METHOD

The data was collected through research questionnaire method and through visualization for

franchise analysis. A questionnaire was framed then data collected by making it fill by

different respondent.

DATA COLLECTION INSTRUMENT

It is closed ended and open ended both types of questionnaire. If questionnaire is closed

ended then questions are in the form of 'Yes' or 'No' and if questionnaire is open ended then

questions are in the form of any numerical form.

424242
SAMPLE TECHNIQUES

Sampling techniques used in judgment sampling. As the selection of sample was done

according to the researcher's own discretion and all effort were made to keep the research

objective.

DATA ANALYSIS TECHNIQUES

Analysis of data is done through quantitative method that is numerical figures expressed in

percentage.

DATA ANALYSIS INSTRUMENT

Instrument used for data analysis is tabulation of data, bar chart.

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LIMITATION

444444
 LIMITATIONS

No project is without limitations and it becomes essential to figure out the various
constraints that we underwent during the study. The following points in this direction
would add to our total deliberations:-

1. During the study, on many occasions the respondent groups gave us a cold shoulder.
2. The respondents from whom primary data was gathered any times displayed
complete ignorance about the complete branded range, which was being studied.
3. Lack of time is the basic limitation in the project.
4. Some retailers/wholesellers refuses to cooperate with the queries.
5. Some retailers/wholesellers gave biased or incomplete information regarding the
study.
6. Money played a vital factor in the whole project duration.
7. Lack of proper information and experience also because hurdle for me.
8. Some retailers did not answer all the questions or do not have time to answer.

454545
FINDINGS
AND
ANALYSIS

464646
 FINDINGS AND ANALYSIS

Age Group Graph

As we can see
from AGE GROUP the
above graph,
the 28-35 15-21 people
20% 15%
who are in the
age group of
21-28 years are
the ones who
21-28
are the 65%

maximum users of mobile phones. This segment is the one which gives
maximum business to the mobile operators. This segment constitutes the young
executives and other office going people. They are 65% of the total people who
were interviewed. The next age group are the people who are 28-35 years old.
They are 20% of the total. They are those who are at home or have small
business units etc. And the next age group is the youngest generation who are
15-21 years old. They are school and college going students and carry mobile
phones to flaunt. They are 15% of the total interviewed people.

Occupation Graph

474747
 OCCUPATION

10% 15%

20%

55%

STUDENTS EXECUTIVES HOUSEHOLDS OTHERS

As the above graph shows that 55% of the total people interviewed are working.
So, these people are the ones who are the maximum users of mobile phones.
They are the young executives, managers, Tele - callers etc. who require mobile
for their official purposes. The next category is the households, who are either
housewives, small units which operate from their homes etc. They are 20% of
the whole . The next segment is the students. They are 15% of the whole. And
10% of the whole is a category who are the professionals.

Service Provider Graph

484848
 The
SERVICE PROVIDER

5% 15%

30%

50%

IDEA AIRTEL HUTCH OTHERS

above graph shows a slice of 50%. These are the total no. of people who are
using Airtel. It seems that people are more aware of Airtel than any other brand.
The next popular brand is Hutch. 305 of the people interviewed had Hutch
connections. The next popular brand was Idea. 15% people had Idea
connections. As it came very late in the market when Airtel had established it
self very well. So, that could be one of the reasons of such a low percentage.
The remaining 5% had trump connections.

Customer Service At Airtel Graph

494949
 As the
CUSTOMER SATISFACTION LEVEL
above
10% 20%
graph
clearly
shows
10% that

60%

FULLY PARTIALLY
DISSATISFIED FULLY DISSATISFIED

customer services at Airtel seems poor. 60% of the people are dissatisfied with
the customer services provided by Airtel. They are the ones who have the
maximum share in the market but they are lagging behind in the customer
services. 10% of the people were fully dissatisfied with the customer services of
Airtel. This could leave an impact on the mind of the consumer. He can even
switch over his brand. 20% of the people seemed partially satisfied with the
customer services and only 10% seem to be fully satisfied with Airtel’s
customer services, which is a very small amount.

505050
Type Of Card Graph

Cash TYPES OF CARDS cards

seemed
quite SIM popular
CARD
among
15%
the people

CASH
CARD
85%

interviewed. 85% of the total mobile users were having cash card connections.
This means that the cash cards should be easily and readily available in the local
markets. Airtel should make sure that Magic is available in each and every nook
and corner of the market. 15% of the people were having sim connections which
is the regular bill.

515151
Monthly expense graph

People on an average spend RS 500 per month as their mobile phone expense.

Monthly Expense

12%
24%

Rs 600
Rs 450
Rs 200

64%

64% people spend this amount. 24% people spend RS 300 per month as their
monthly mobile expense. And the remaining 12% had an expense more than RS
1000, they could the ones having sim connections or having cash cards and
having a lot of business calls on their mobiles.

525252
Awareness About WLL Graph

AWARENESS ABOUT WLL

NO
45% YES
55%

WLL seemed to be a new word for many of the people. 45% of the people were
not at all aware of such a technology. So, in order to get the answer for this
question they were first explained the concept. Only, 55% people knew what
WLL is all about.

535353
Awareness of WLL Players Graph

AWARENESS OF WLL PLAYERS

TATA
INDICOM
15%

RELIANCE
85%

Reliance was the brand which was popular amongst the interviewed people. As
Reliance had done so much advertising and has it banners and hoarding spread
all over Delhi. So, this could be one the reasons of its popularity. Tata was
hardly a known brand in this new field. Possibly, because of less promotions
done by them as compared to Reliance.

On the basis of analysis of the questionnaire I have found that the maximum
no. of people who use mobile phones are in the age group of 20 to 28. who are
the young executives and other office goers.

They spend a maximum of RS. 500 as their mobile expense.

There are more no. of prepared cards than post paid cards. The mobile users
want to spend money side by side than to spend money at the end of the month
on a big bill.

545454
Now when I compared Airtel with its competitor from the point of view of the
consumer I found that on the basis of Tariff plan, value added services and
billing accuracy Airtel is at par or ahead of its competitor but in the case of
customer care and availability they lag behind there competitors. As, Airtel has
a hold in the market because it has the maximum no. of connections, so it must
improve upon it customer services. As far as WLL is concerned people are
aware about it but not many people are aware about Tata. They only Know more
about Reliance. People at this point of time are not interested to switch over
from GSM to WLL.

555555
 SWOT
ANALYSIS

565656
 SWOT ANALYSIS
Strengths

 Being one of the largest companies in India the company has

achieved a degree of focus in its core business of its products.

 It has a strong brand name, superior quality products and an

enviable distribution network.

 It has a clear and well-defined organization structure and limits of

financial authority.

 Increase in advertisement spends affect the company’s margins.

 The company‘s bottom line falls victim to the bloated and highly
paid workforce, which affects its margins.

Weakness:

 Little efforts over the Advertising of products.

 Distribution channel is not accurately categorized.
 Premium priced products, hence can’t compete in low price
segment.
 No separate strategy for rural market.

Opportunities:

 The company's financial performance can receive a major boost

from its cost reduction efforts.

 There is a lot of scope of product and market diversification.

575757
  Exports of products will also have huge chances in the coming
years.

 Airtel’s business has ample scope for gaining market share from
the unorganized sector. Rural penetration too holds vast potential to
bring about growth.

Threats

 The slowdown in the economy has restricted topline growth of

most FMCG majors and for Airtel also it will be difficult to maintain
historical growth rates in such a depressed scenario.

 Company’s major raw materials are influenced by government

policies / controls as well as vagaries of the monsoons. Fluctuations
in the prices of raw materials would have significant impact on costs
and margins of the company.

Moreover, inordinate hike in Broad Band Internet products would also

increases company’s production and distribution cost.

585858
CONCLUSION

595959
 CONCLUSION

After analyzing the findings of the research, I can conclude that Airtel lagged
behind its competitors as far as customer service and availability is concerned.
The maximum no. of people who use the mobile are in the age group of 20 to
28. Cash cards are the most popular type of mobile connections, as they are
consumer friendly and recharging the connection is not a problem.

Maximum no. of people spend RS 500 on their connections. As Airtel is the

only company having the maximum no of mobile connections so it must
seriously look into the loop holes of the existing customer service department.

As we know that now airtel has already launched its product with logo “’ Aisi
azaadi aur kahan”’ has already became popular in market. So we can say that
inspite of so many competitor in the market Airtel is having a good position just
because every time, it tries its best to understand the need of its important
customer.

606060
SUGGESTIONS

616161
 SUGGESTIONS

Following are the few suggestions to AIRTEL for improving the market share and
image of the products concerned.

1. PRODUCT
*Modification must be brought about in AIRTEL, in terms of quality. Its
demand should be increased.

2. PLACE
* The brands must be made available easily in, PCO & general stores.

3. PROMOTION
*Company must undertake extensive promotional activities like advertisements
must be released in different Medias to create brand awareness.
*Free samples should be distributed among the prospects. Sales promotion tools
like gifts, contests and coupons must be given to retailers as well as customers
and prospects.

* Catalogues should be distributed among customers.

626262
RECOMMENDATION

636363
 RECOMMENDATION

I have made following recommendation to the company after doing the summer training
there:

 The company should modify its credit policy as they only target the cash
paying customers who are not easy to trace.
 The company should emphasis more on the quality of Pharmaceuticals
Products it was mostly claimed by the exporters that their receipts from company
doesn’t matches with the sample’s quality shown before giving orders.
 The company should makes its marketing strategy flexible enough in order to
face competition.
 The company should keep an eye on the proper delivery of the goods to
exporter on time, as it has been recommended by exporters to make the delivery on
time.
 The company rate policy must be flexible enough to catch new customers
because if company offers lower price to a new customer then he may continue buy
the goods and can be a permanent customer for the company.
 The company should offers such rate in the market so that it may able to catch
a biger market share and it should be able to compete with the local traders and
commission agents while having a brand name.
The company should take the opinion of exporters from time to time to know what problems
they are facing from the company’s side? And if any change they require in present supplying
condition?

646464
ANNEXURES

656565
 QUESTIONNAIRE

Dear Sir/Madam,
I am a student of MBA of JIM, Ghaziabad, doing my summer
training project on consumer behavior from Airtel. Please give your precious
time for filling these details.

Q.1 For how long you have been using Airtel Product?

 0-2 Years
 2-5 Years
 5-10 Years
 More than 10 years

Q.2 Are you using other product instead of Airtel?

 Yes
 No

Q.3 Among them, which Brand you, prefer most?

 Idea
 Hutch
 Airtel

666666
Q. 4 How would you rate the experience with Brand?

Excellent Good Average Below

Average

 Idea
 Hutch
 Airtel

Q.5 Do you collect any information search before making purchase?

 Yes
 No.

676767
Q.6 If yes, which sources are used?

 Magazines
 Dealers
 Sales Executives
 Operators reference
 Pamphlets and catalogue
 Reference from friends and relatives
 Any other

Q.7 What are the features you look for in a product before making purchase
decision? Give preferences (1-Highest, 6- least)

 Brand credibility
 Price and Discount
 After sales services and parts, network
 Value for money
 Vehicle performance
 Add on features or ergonomics of design

Q.8. Which of these marketing / sales schemes attracts you while purchasing
any connection?

 Good Network
 Discount scheme

686868
  Service package
 Any other

Q.9 If you have to purchase a new connection or product in near future, which
Brand will you go for and why?

___________________________________________________
___________________________________________________
___________________________________________________
___________________________________________________

Q.10 Are you aware of various promotional activities being run by Airtel, if
yes then how? Are you satisfied with these promotional activities?
Very Satisfied Somewhat Not
Satisfied Satisfied satisfied

 Customer Care

 By Ad Films

696969
  By Camp

 24 hrs call center services

Q.11 How would you rate Airtel performance as your expectation on 5

points scale (5 Highest)

1 2 3 4 5
 After Sale service
 Maintenance
 Product as per expectation

Q.12 What are you suggestions for improving the product quality, service
availability and parts availability?

___________________________________________________________
___________________________________________________________
___________________________________________________________
___________________________

707070
BIBLIOGRAPHY

717171
 BIBLIOGRAPHY

In this project report, while finalizing and for analyzing quality problem in
details the following Books, Magazines/Journals and Web Sites have been
referred. All the material detailed below provides effective help and a guiding
layout while designing this text report.

Websites:
www.airtelworld.com
www.google.com
www.india.com

Magazines:
Airtel (2 July to 10 July 2004)
Airtel India page of HT paper (Thursday 1December 2004)
Cowards India (26 December to 4 Jan. 2004)

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