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Marketing Activities of Airtel Telecom.

EXECUTIVE SUMMERY
The topic of this report was An Analysis on Marketing Activities of Airtel Telecom.This report is partial requirement of BBA program, faculty of business & Economics of Daffodil International University.To prepare this report as an apprentice we have taken necessary assistance from Mohammed Masum Iqbal during report writing.

The report is conducted with the purpose of introduction the financial operation and providing the chance to analyze and make assignment accordingly.

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Marketing Activities of Airtel Telecom.

Origin of the Report


First of all we would like to thank to our respectable teacher Mohammed Masum Iqbal to give us the opportunity to do this assignment under her guidance. She is so much an inspiration and guidance to us. We are short of words in expression our gratitude.

Then we would like to thank to officials of Airtel Telecom for their excellent support to produce the data and relevant information. We want to convey our special thank to Mr. Zahirul Islam, company secretary of Airtel Telecom who apart from his very busy office work, has spared time to discuss the ins and outs of the assignment and guide us by giving suggestions. We worked there under his direct supervision.

We would like to thank for entire honorable person whose are cooperating with me, without whose we cannot touch our destination.

Methodology:
The study is based on secondary data methodology of this final report is given below: Data regarding the organization profile collected in the following ways: From the organizations Annual report. Online information. By interviewing the organizations officials. Observational method will also be used in this study.

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Marketing Activities of Airtel Telecom.

Limitation of the study:


Any assignment paper needs high degree of involvement regarding collection of information, creation of database, literature review and analysis of data. In this study, we have tried our level best to collect the related information within the time constraint.

Company Profile

Type Industry Founded Headquarters

Private Telecommunication 2005 House 34, Road 19/A, Banani, Dhaka 1213, Bangladesh Sheikh Nahayan Mabarak Al Nahayan,

Key people

Chairman Mr. Muneer Farooqui, CEO

Products Parent Website

Telephony, EDGE, GPRS, GSM Bharti Airtel 70% and Warid Telecom 30% www.waridtel.com.bd

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Marketing Activities of Airtel Telecom.

WARIDs MISSION and PURPOSE:


Our aim is to be perceived not only as a telecommunication operator of voice services, but also as a universal provider of comprehensive communications services for both residential and business customers. Airtels corporate identity seeks to reflect the changes in telecom sector in relation to helping customers keep pace with rapidly changing technology in the field of communication, through maximum network coverage and clear connectivity that we have committed to provide

Objective:
A study in company operation of Airtel Telecom. to find out its activities and performance in terms of anticipated customers requirements and provide them with the service, which meet their market, quality and service need.

To give a brief about the history and information of this company. To inform about the company mission and vision market performance Airtel Telecom. Setting a general idea about operation procedures and functions of Airtel Telecom. To explain about the services that the company are offering to its customers. To have an idea about the different techniques of companys various operation.

Bibliography
www.banglapeadia.com. Annual report. By interviewing the organizations officials. www. aritel.com.bd

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Marketing Activities of Airtel Telecom.

MARKETING STRATEGY

Aitel has four major steps in designing a customer-driven market strategy: Market
Segmentation, market targeting, differentiation, and positioning. Segmentation: Divide the total market into smaller segments. Targeting: Select the segment of segments to enter. Differentiation: Differentiate the marker offering to create superior customer value. Positioning: Position the market offering in the minds of target customers.

MARKET SEGMENTATION OF AIRTEL: Airtel Telecom has divided its segmentation and strategy division into five segments on the basis of their characteristics. Markets consist of buyers and buyers differ in one or more ways. They may differ in their wants, resources, locations, buying attitudes and buying practices. The core concept behind companies using marketing segmentation concept is to divide large homogeneous markets into smaller segments that can be reached effectively and efficiently with products and services that satisfy needs, wants, desires and trends of certain segment. Characteristics that govern segmentation and strategy development in Telecom industry specifically mobile services according to a certain segment are Age Educational background Gender Income National, regional or other geographical areas of origin Social class Religion Culture Behaviors Population Tele density in area to be segmented

So according to these above mentioned factors Airtel divide its marketing strategy into five segments which are: Postpaid Segment Masses Segment Female Segment Youth Segment Corporate Segment

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Marketing Activities of Airtel Telecom. Postpaid Segment: Postpaid Segment is the one which includes individuals with good income and usage more than that of prepaid customers. Postpaid customers: Pay bill at the end of month depending on the service used. Pay specific amount in line rent every month, no matter they use service or not. Enjoy better range of value added services than prepaid customers. Postpaid Segmentation Section designs marketing activities to better satisfy the needs of Postpaid consumers. Masses Segment Masses Segment is the biggest segments involving most no of people. Masses segmentation section develops marketing ideas and activities to perform, so that masses customers enjoy maximum benefits. Consumers from masses segments use relatively less. Masses customers Pay before using the service. Enjoy basic and VAS services Have less brand loyalty in most cases. Ready to switch to other mobile services in case of cheaper services Female Segment Importance of role of females cannot be overlooked in this modern era. Thats why Airtel Telecom has also developed females segment as a separate segment. The role of Female segmentation section is to develop ideas that would entertain female population in Bangladesh. Youth Segment Youth drives a nation; similarly, youth is taken by cellular companies as a segment which can drive other segments as well and affect trends of customers of other segments too. If the youth is targeted in better way, lot of customers can be gained. Corporate Segment Corporate segment is niche segment which can be source of great revenue for organization. Corporate Segmentation section develops idea that can provide maximum support and facilities to their most profitable segment. Corporate segments are provided with Best possible VAS Better rates Security and Network Solutions Corporate Series for employee

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Marketing Activities of Airtel Telecom.

TARGET MARKET OF AIRTEL: According to one of the representatives of Airtel that Airtel has divided its target market in categories of A+, A-, B+, B-, C, D, E and F

CATEGORIES: CHARACTERISTICS: A+ & A- Age group of 28 to 32, 40+ and of upper-income level (Urban) B+ & B- Age group of 22 to 27 and of lower-upper-income level (Urban) C Age group of 18 to 21 young stars (CORE TARGET) (Urban) D Age group of 13 to 17 and low lower income level all Ages(Urban) E & Users of Semi-urban areas (Has planned to launch) F Users of Rural Areas (Has planned to launch) Consumer or Industrial Airtel is providing their packages at both levels. Consumer level is provided in this report, while, industrial level has variable domain, settled according to no. of connections and on the nature of packages according to line rents e.t.c. Buying Characteristics Airtel is very much selective and stresses on value added purchases. Market Potential Currently market is on SATURATION POINT as for Urban areas concern and as for as Rural Areas concern there is great POTENTIAL. Airtel is going to launch its products in Semi-Urban and Rural Areas Product Positioning As Airtel is new in the market of Bangladesh trying to make its position in the mind of customer better than existing big giant Grameen Phone. Although Airtel is new in market but it has acquired a good position as for as Zero line rent post-paid connections and low rate pre-paid connections. In my point of view, as Airtel launched its products in Bangladesh with a MARKET PUSHER STRATEGY, while providing low rates, not only it has made its position better but also made other networks to reduce their prices.

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Marketing Activities of Airtel Telecom. Distribution Channels of Airtel; There are three types of distribution channel used by AIRTEL TELCOM which are followings Distributors Channel Corporate Channel Direct Channel Franchise Selling

Distributors Channel

Distributors are also working for selling Airtel telecom product. Distributor sell Airtel products to the retail stores Airtel telecom wants to cover 3000 to 4000 shops and retail stores in Bangladesh. Because time is money Airtel telecom want that their customers get product at the door step. These distributors are working on behalf of Airtel telecom. They provide Airtel products at different retail stores and shops. Airtel telecom feels it is important to provide products with utmost to convenience to the customers. Because Airtel telecom is on introduction stage, they are using intensive distribution network. In near future Airtel telecom products are widely available in all retail stores. Corporate Channel

In corporate selling Airtel telecom conduct meetings and presentations I the business places where there are more than 50 connections or persons Airtel telecom conduct presentations at business places and create awareness of their products the corporate selling staff sale connections at the spot. The corporate selling staff includes company executives. In this particulars area Airtel telecom has to work hard. Because in this sector the people who have already some other connections do not like to change their connection. In order to remove this short come Airtel telecom is providing the same no. which you have earlier instead of Airtel telecom code 016 Airtel telecom is making progress I this sector and try to reach its goals. Direct Selling

As Airtel telecom is on introduction stage it uses direct selling also. In this channel company has large no. of sales of officers who meet persons and tell them about Airtel telecom products. This sale force is totally committed towards their work. They know how to sell the products to the customers. In future Airtel telecom is planning to start door to door selling of their products. In the introduction stage of its operations Airtel telecom wants to provide all the things to its customers at their door step. The direct selling staff is highly trained and motivated. They use their personal references, Principles of Marketing Page 8

Marketing Activities of Airtel Telecom. retailers, friends for selling products.As Airtel telecom is on introduction stage it uses direct selling also. In this channel company has large no. of sales of officers who meet persons and tell them about Airtel telecom products. This sale force is totally committed towards their work. They know how to sell the products to the customers. In future Airtel telecom is planning to start door to door selling of their products. In the introduction stage of its operations Airtel telecom wants to provide all the things to its customers at their door step. The direct selling staff is highly trained and motivated. They use their personal references, retailers, friends for selling products. Franchise Selling

Airtel telecom is providing their brands to ultimate consumers through franchises. It has a strong network of franchises all over the Bangladesh. In Dhaka there are 5 franchises of Airtel telecom they want to establish 7 franchises. In franchises Airtel telecom brands are sold and commission is giver to franchisee. The franchisee work according to the requirements of Airtel telecom. In order to provide best services to their customers Airtel telecom monitor the working of franchisees time to time. Franchisees sell Airtel brands directly to the ultimate consumer or they can appoint their own dealers in order to save the product. Airtel telecom provides technical training to the staff of franchisees. Airtel telecom franchisees are in all the important areas of Dhaka. So for a Airtel customer it is easy to get connection at any time from everywhere. Airtel telecom establishes franchisees in the important areas of every city. Airtel telecom is working in 28 cities of Bangladesh and it has large no. of franchisees according to the need and demand of specific areas.

Critical Success Factors: There are a lot of factors exist in the success of a company that may be the core competences of that particular company. There are following success factors for Airtel Telecom. The Network

Airtel telecom is partners with some of the leading vendors in the telecom industry, who help them in providing the best and latest network solutions for business. Airtel has pioneered in key technologies, which include the following: Custom-made network for Bangladeshi. Congestion-free connectivity in all coverage areas. Roll out plan for complete national populated coverage by 2009. Fully redundant network. Robust design catering to future needs. Future professional network (EDGE compatible and 3G upgraded with soft switch and media gateway architecture). DIFFRENTATION OF AIRTEL: Differentiation by Airtel implemented by showing cultural integration as it is owned by UAE group so people are more valuing it as Muslims. Airtel is offering special discounts offers on calls of Arab states. This aspect differentiates Airtel from other Principles of Marketing Page 9

Marketing Activities of Airtel Telecom. companies. It has provided billing updating system which is not given by any other company.

Segmentation: Market Segmentation (Focused) by Airtel by catering needs of people. Hay created image by tag line we care for everybody they will provide best quality service. The Airtel Prepaid category is divided into four segments:

Basic (startup) My Favorites Day Talker Super Saver

The Airtel Postpaid category is divided into two segments:


Basic super benefit

PRODUCT POSITIONING OF AIRTEL : Airtel positioned itself around simplicity and subtlety, and attracted subscribers more through word of mouth about its service quality than with advertising. Unfortunately, Airtel wasnt able to capitalize on its great start, and hasnt been able to position itself as a premium brand in the industry; rather, its attempt to characterize itself as a service provider that offers the best rates has led Airtel to be associated with cheap affordability. Pricing Strategy : When Airtel starts it offering more value and quality rather than reducing the pricing of its products and its uses both demand-pull and demand-push strategies for penetrating the market. Its innovative strategies like 1 second pulse and FNF package are the strategies to capture the large share of market. Now Airtel focus on reducing the prices of its products to increase the market share of telecom industry. As now there is always good mouth for Airtel thus Airtel can increase its market by reducing the prices of its products.

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Marketing Activities of Airtel Telecom. MARKETING MIX OF AIRTEL: The marketing mix principles (also known as the 4 ps.) are used by business as tools to assist them in pursuing their objectives. The marketing mix principles are controllable variables, which have to be carefully managed and must meet the needs of the defined target group. The marketing mix is a part of the organizations planning process and consists of analyzing the defined:

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Marketing Activities of Airtel Telecom. PRODUCT : Airtel provides both post-paid and pre-paid connection plans. The post-paid plan is branded and marketed across the country under the name Airtel Postpaid, which means leader or royalty. The pre-paid segment is branded and marketed as Airtel Prepaid. The Airtel Prepaid category is divided into Three segments: Adda Golpha Katha The Airtel Postpaid category is divided into two segments:

Basic super benefits

Pre-Paid:
Our prepaid is a unique offering that understands how people are different and thus provides customized solutions for those different needs. Our offering comes with a basic package at the time of purchase. From this basic package, you can choose from three different options, each designed to suit a particular lifestyle.

Katha

If you are someone who makes mostly short duration calls or dont call that many people on a daily basis then the basic package is perfect for you. Here you will enjoy a simple tariff with per second billing that will help you to reduce your monthly communication expenditure.

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Marketing Activities of Airtel Telecom.

Adda

You are the kind of person who likes to keep in touch with a close group of friends. You like to browse the net when bored and make the most of your time on your phone. Adda will give you all that at fantastic rates.

Golpha

You are always busy on the phone during the day, be it in the office or while managing your home. Get updated on the latest scores and breaking news or even some quick beauty tips and some sweet and sour recipes at unbelievable rates with Golpha.

Postpaid:
Our postpaid is designed to cater both your professional and personal communication needs. We are offering one basic product with an attractive tariff plan, large close calling circle and maximum flexibility in service. In addition to the basic product we also have an option for heavy users which will help them to explore a wide range of services and keep their overall cost to a reasonable limit.

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Marketing Activities of Airtel Telecom. PRICE: When Airtel starts it offering more value and quality rather than reducing the pricing of its products and its uses both demand-pull and demand-push strategies for penetrating the market. Its innovative strategies like 1 second pulse and FNF package are the strategies to capture the large share of market. Now Airtel focus on reducing the prices of its products to increase the market share of telecom industry. As now there is always good mouth for Airtel thus Airtel can increase its market by reducing the prices of its products. PLACE: Airtel Telecom sales and customer services and their Head Quarters at Tajwar Center in Banani, Dhaka. In December 2005, Airtel Telecom International LLC paid US$ 50 million to obtain a GSM license from the BTRC and became the sixth mobile phone operator in Bangladesh. In a press conference on August 17, 2006, Airtel announced that its network would be activated two months ahead of schedule, in October, 2006. Again in October, 2006 Airtel Telecom put off the launch of its cellphone services in Bangladesh until April, 2007 after its major supplier Nokia walked out on an agreement over a payment dispute.Airtel had a soft launch at the end of January 2007. It gave away complimentary subscriptions among a selected group of individuals, whose job was to make 'test calls' and the operator adjusted its network's quality based on their comments.On May 9, 2007, Airtel in an advertisement in some daily newspaper stated that it would be launching publicly on May 10, 2007. However, no call rate nor any package details were revealed. The advertisement included an announcement for the people interested to buy Airtel connections to bring the documents like ID Card, etc, to the designated franchise and customer care centres.On October 1, 2007, Airtel Telecom has expanded its network to five more districts raising total number of districts under Airtel coverage to 56, says a press release. Mymensingh, Jamalpur, Sherpur, Rajbari and Narail towns are now under Airtel network.On November 10, 2007, 61 districts under Airtel network coverage.On June 10, 2008, Airtel Telecom has expanded its network to 3 more districts Bandarban, Khagrachhari and Rangamati. Now all 64 districts of Bangladesh are under Airtel network coverage meaning Airtel Telecom now has nationwide coverage.

PROMOTION: The most controversial and dynamic factor in todays market is promotion. Today without promotion you cannot sell your product. Customers also must be reminded about a products availability and its potential to satisfy. Sellers bombard the marketplace with thousands of messages everyday in hopes of attracting new customers and established market for new products. The promotional activities are different in each stage of product life cycle. Given the intensive competition for consumers attention, even an established firm must constantly remind people about its brands to retain a place in the market & in the mind of consumer. Airtel telecom has enough budgets for promotional activities. In the introduction stage Airtel telecom wants to get share in the mind of consumer and in market. Airtel telecom is performing all promotional activities like: Principles of Marketing Page 14

Marketing Activities of Airtel Telecom.

Advertising Sales promotion Personal selling Publicity

Advertising:
Advertising is a non-personal communication paid for clearly identified sponsors promoting ideas, organization or products. Airtel telecom is advertising its products & corporation on both print media and digital media. The main purpose of Airtel telecom is to establish corporation name in the mind of customers. They are doing corporate advertising now. They are in introduction stage so they want to tell, We are here . Now Airtel telecom is not focusing its product at all. They want to gain recognition in the market first. In media advertising they have collaboration with BTV their ads are coming on NTV,ATN,Channel- I and other channels.. The ad tells that Airtel telecom is for everyone it is so convenient that every person young, old, child, rich and poor can get it. In future Airtel telecom is going to launch an effective advertising campaign in all over the Bangladesh. Airtel telecom is also advertising itself on print media as well. Their ads are in all the leading newspapers of Bangladesh the advertising strategy is to tell the customers that Airtel telecom is present. Airtel telecom believes on long-term profitability. They think that after establishing a strong image in the mind customers through advertising they will be able to get huge profit and market share in the country.

Sales Promotion
Sales promotion is sponsored funding, demand stimulating activity design to supplement advertising and facilitate personal selling. It frequently consists of temporary incentives to encourage a sale or purchase. As Airtel telecom is in introduction stage and there is intensive competition in the market so sales promotion is effective tool for Airtel telecom. This offer has proved very much effective. Airtel telecom increases its sales through bundle offer. Airtel telecom has introduced a package of family & friends for both prepaid and post paid customers. In prepaid connection the maximum limit is 6 members and in post paid connection the maximum limit is 15 members. The customers of family & friends package provide special discount offer to each member. This strategy has also proved effective for Airtel telecom. In future Airtel telecom wants to introduce more such packages, which attracts customers.

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Marketing Activities of Airtel Telecom.

Personal Selling
Personal selling is the direct presentation of a product to a prospecti8ve customer by a representative of the organization selling it. Personal selling is more expensive method from any other method. Airtel telecom is doing personal selling both or customer basis and on corporate level. Airtel telecom is doing personal selling through their sales executives and sales officers. Sales officers meet ultimate consumers. Sales executives meet corporate bodies, conduct presentations in order to create awareness about their brands. Airtel telecom focus is customers and their main objective is to get a handsome share in the market. Airtel telecom wants to continue this practice in future.

Publicity
Publicity is an important part of promotional mix. Airtel telecom is also doing publicity through sign boards, tack; shows, sponsoring some concerts etc. Airtel telecom has got 56 places in Dhaka for their signboards. Airtel telecom is arranging trade shows in various cities. Airtel telecom has conduct a trade show in Chittagong going to conduct another in Barisal in purpose of these trade shows is not just introducing products but also to entertain people. So that they can remember the name of Airtel telecom. Airtel telecom provide a fantasy atmosphere for all age people like young, old, children, male, female etc. You can dance in their trade show, Eat Bar B. Q. listen your favorite music or anything else of your own choice. Airtel telecom is planning to arrange some concerts in different cities of Bangladesh.

Recommendation & Conclusion


After thorough research, we come to the conclusion that the marketing strategy of airtel is working for them and the product is gaining popularity among youth day by day. After completing our project we have concluded some recommendation for the Airtel Telecom,which are Airtel Telecom should try to emphasis more on providing their infrastructure in the market to facilitate their customers.Marketing team should try to increase the popularity.They should also focus the all classes of people.

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