A PROJECT REPORT

ON

BUILDING BRAND IMAGE BY RELIANCE TELECOM

SUBMITTED IN THE PARTIAL FULFILLMENT OF

DEGREE OF BACHELOR OF BUSINESS ADMINISTRATION - 2010- 11
UNDER THE GUIDANCE OF:
MANSI AHUJA

FACULTY, FIMT

SUBMITTED BY:

VIPUL TRIPATHI
ENROLMENT NO.-04190101809

BATCH NO. (BBA BANKING AND INSURANCE-3SEM_ _)

FAIRFIELD INSTITUTE OF MANAGEMENT AND TECHNOLOGY

Affiliated to Guru Gobind Singh Indraprastha University, Delhi.
FIMT Campus Kapashera, New Delhi- 110037

Declaration

I hereby declare that the project titled building brand image by reliance
telecom is an original piece of research work carried out by us under the
guidance and supervision of Ms. Mansi Ahuja. The information has been
collected from genuine & authentic sources.

Place:

Date:

Signature:

Name of the student

ACKNOWLEDGEMENT
It gives me pleasure to express my most profound regard and
sense of great indebtedness and sincere gratitude to Ms. Mansi
Ahuja for his superb and painstaking guidance, untiring help, keen
interest and constant encouragement thought the period of project .
I would also like to express our thanks to the faculty Members who
helped us. Especially library members, Computer lab staffs, without
whose help the project could not be completed.
And at last but not the least, we would express our hearty gratitude
to the ALMIGHTY who gave us tremendous energy and power to
complete this whole project.

TABLE OF CONTENTS
CHAPTER-1

1.1 Purpose of the study.......

1.2 Research Objectives of the study...
1.3 Research Methodology of the study..
1. 3.1 Research Design..
1.3.2 Data Collection- Primary & Secondary data...
1.3.3 Sample Design .
1.3.3.1 Population.
1.3.3.2 Sample Size
1.3.3.3 Sampling method
1.3.4

Method of data collection...

1.3.4.1 Instrument for data collection.

1.3.5 Limitations
CHAPTER -2
About Organization/Company
CHAPTER -3
About Topic ..
CHAPTER -4
Analysis.

CHAPTER-5
Findings .
CHAPTER-6
Suggestion..............................................................................................................................
Bibliography
Questionaire

Chapter-1
1.1.Purpose of study
A. To know about the company.
B. To know about the various strategies adopted by reliance in promotion.
C. To know the market share of reliance.

1.2.RESEARCH OBJECTIVE

To know the demand of Rcom bundle offer along with LGRD 3000 and 6100
as Ill as the demand of Rcom Bachat pack Sim in the market
To help in development and introduction of new product
To identify the company position among competitors
To determine those factors which persuade retailers for sale of RCOM
sims/product
To find out which type of schemes retailers prefer and why?
To study the effect of irregular supply on the sale of the product

1.2.1.SUB OBJECTIVE

To find out the basic problems of Channel of Distributor

To find out the Claims pending of Retailers

1.3. Research Methodology

Research methodology is a way to systematically do the job. It may be understood
as a science of studying how research is done scientifically. The most desirable
approach with regards to the selection of the research methodology depends on
the nature of particular work, time and resources available along with the desire
level of accuracy.

1.3.1.Research design: Descriptive Research

certain

when the researcher is interested in knowing the characteristics of

groups such as age ,sex, occupation or income.

1.3.2.Data collection: Secondary data

It is that data which is collected not directly from the source of
origin but from secondary sources. Here data is collected from secondary sources
such as books, Magazines ,Internet, newspaper etc.

1.3.3.Sample design: Judgemental sampling method is used . Here the

researchers may be asked to select a sample ofrepresentativebusiness
firm.

1.3.4Method of data collection: Contains the method which have been used
to collect the data .These may include analysis, questionnaire.

CHAPTER - 2

Introduction

Concept of Reliance communication

An Overview of current Market Scenario
Brief Study of the Organization
Organizational Set-up

(1) CONCEPT OF RELIANCE COMMUNICATION

Anil Ambani: Telecom person of the year 2007
His marketing strategy has made millions of Indians happy, they got the best
mobile tariffs in the world-local call costs at 15 paise/minute, and STD call at
40 paise/minute

NEW DELHI, INDIA: When the VOICE&DATA jury, comprising eminent

professionals from the telecom field, met in Delhi in June to choose the Telecom
Person of the Year 2007, the five-hour selection process was steamy.
The reason was obvious: The telecom sector is growing faster than any other
segment and naturally their CEOs have a lot to crow about. The jury had to select
one from three CEOs, who had made it to the final list through nominations from
the industry and the initial scrutiny. Among the three, one of the main contenders
was a young CEO. The jury decided that he should come back next year to try and
win the coveted award. The list now had two names-both CEOs of two wellknown companies. The pivotal difference between the two: one is an entrepreneur
and the other is not so popular, as his credit is shared among a number of his big
daddies.
Following a five-hour closely held, hotly debated discussion, the name was
announced: Anil Dhirubhai Ambani, chairman of Reliance Communications. Anil
Ambani joined Reliance Industries (currently promoted by his brother Mukesh
Ambani, following their split) in 1983 as co-chief executive officer. Forbes ranked
him number 104 among the World's Richest People in 2006. The Ambani family
faced criticism when it announced its ambitious plans to build a countrywide
telecom network, as its prior expertise lay in commodities-textiles and
petrochemicals-business only. Apart from that telecom needs a service-oriented
mindset, critics felt. What they did not remember was how the family had served
its millions of shareholders.
Policies in India are made in line with Ambani's vision, says an industry expert.
His business acumen and closeness to politicians assisted him in making it to the
Rajya Sabha in June 2004, as an independent member. Ambani chose to resign
voluntarily on March 25, 2006.
The same association with politicos gave him negative returns too when the
Mayawati Government in Uttar Pradesh put a spanner on his ambitious plans to
build a 1,200-acre SEZ.
Media sees his aggression when he announces financial results for the Reliance
ADA group of companies, and when he attends the annual general meetings and
faces questions from shareholders. When he meets the press, he has answers to all
their questions. He also remembers to call select journalists by name.
To merchant bankers he, who has already contributed immensely to the
financial reforms of the country, is one of the financial wizards of the world. May
be because of his expertise, he gave up in the race to grab Hutchison Essar stake,
after indirectly jacking up the valuation. His negotiations with the Qualcomm
chief are also a folk theory now.

How did Ambani become the VOICE&DATA Telecom Person of the Year 2007?
What are his personal and organizational achievements in the recent past?
His path-breaking marketing strategy that was put in by the strongest team of
telecom professionals the country has ever seen has made millions of Indians
happy as they got the best mobile tariffs in the world. The aggression resulted to
adding to his already swollen kitty. Every hour India will be adding around
20,000 new mobile customers and Reliance Communications over 4,000. When
mobile telephony first began in India, a local call cost Rs 16 per minute; an STD
Rs 50; and a call to the US Rs 100 per minute. With Reliance Communications
pioneering price initiative, a local call now costs a mere 15 paise per minute, STD
40 paise, and a call to the US costs less than Rs 2 per minute. The presence of
Reliance Communications is making the competition in India panicky. Global
telecom forces will also shortly start feeling the heat. Ambani has also recently
announced his Rs 1,200 crore buyout of Yipes Holdings.
Achiever's Pride

Undertook financial restructuring of Reliance communications

To spend Rs 16,000 crore to expand and strengthen network coverage
After expansion, Reliance Communications will have the single largest wireless
network in the world
Launched the lowest-cost classic brand handset at Rs 777
Subscriber base grew to over 28 mn during last fiscal, registering 60% growth
Total Revenue shot up to Rs 14,468 crore, an increase of 34%
Net Profit rises to Rs 3,163 crore, an increase of over 600%
Revenues of the wireless business increased by 46% to Rs 10,728 crore
Broadband achieved revenue growth of 123% to Rs 1,144 crore
Market capitalization crossed Rs 100,000 crore
Will add 23,000 more towers
Telecom services will be available in over 23,000 towns and 600,000 villages

Reliance Communications' wireless subscriber base grew to over 28 mn last fiscal,

registering a 60% growth. This makes it one of the top two wireless operators in
India.
"Economic growth in the future will be indexed to connectivity of millions of
enterprise and individual customers. Over the next few years, we will have over 100
million customers, making us one of the top 5 telecom players in the world. In four
years, we put up a total of 14,000 towers across the country. This year alone we will
add 23,000 more towers. Our wireless network is currently available in 10,000 towns.
By the end of this year, it will be available in over 23,000 towns and 600,000
villages," Anil Ambani said at the first annual general meeting of Reliance
Communications since the re-organization of the Reliance Group in June 2005.

"In four years of operations, we invested around Rs 32,000 crore. This year alone we
will invest over Rs 20,000 crore. At the end of this year, we will have covered over
90% of our population. If Version 1.0 of the Indian telecom story was all about
affordability, Version 2.0 will be about reach. Our Network expansion will give us the
power to drive the market and stay ahead of the curve," Ambani adds.
According to Ambani, the financial restructuring of Reliance Communications is the
biggest turnaround story in the history of corporate India. The inherited ownership
structure of Reliance Communications was complex. The reorganization has yielded a
simple, fair, and transparent ownership structure, and given Reliance
Communications 100% ownership of all operational and associate companies.
Reliance Communications is now among the three most valuable private sector
companies in India, and the five most valuable telecom companies in Asia. In the
current Fiscal, Reliance Communications will spend Rs 16,000 crore to further
expand and strengthen its network coverage across India and the rest of the world.
In addition to organic growth, Reliance Communications will leverage the advantages
derived from this impressive financial platform to explore and pursue any significant
opportunities available in the telecommunications sector. "We are currently evaluating
a number of inorganic opportunities in select international markets to further expand
our footprint," Ambani said.
Reliance Communications One India, One Tariff plan allowed millions to connect
across India at just one rupee a minute. The company was the first one to break the Rs
1,000 entry-barrier with the launch of the lowest-cost classic brand handset at Rs 777.
As per its expansion plan, Reliance Communications will have the single largest
wireless network in the world, covering over 900 mn Indians or more than 15% of the
global population. It will cover 23,000 towns or every single Indian habitation with a
population of over 1,000. Reliance Communications will cover almost 100% of all
rail routes, providing seamless voice, video, radio, and Internet connectivity to 14 mn
commuters every day. It will also cover almost 100% of all national highways, and
84% of all state highways, giving millions of users the power to talk, text, surf, play,
chat or simply stay in touch across nearly the entire length of India's 2,00,000-kmlong road network.
Having achieved tremendous growth, the main challenge for Reliance
Communications is to improve quality of service and ARPU. Its enterprise business is
also not in a position to compete with the global majors. Stock market valuations may
boost the fortunes of an entrepreneur, but Ambani needs to address the issues faced by
the growing mobile customer base, especially in India, where bureaucracy takes pride
in checking the businessman.

(2) AN OVERVIEW OF CURRENT MARKET SCENARIO

Reliance Communications (formerly Reliance Communications Ventures) is one
of India's largest providers of integrated communications services. The company
has more than 20 million customers and serves individual consumers, enterprises,
and carriers, providing wireless, wireline, long distance, voice, data, and internet
communications services through a number of operating subsidiaries. The
company sells communications and digital entertainment products and services

through its chain of Reliance Web World retail outlets. The company's Reliance
Infocomm subsidiary provides wireless communications services throughout
India. Reliance Communications is part of the Reliance - Anil Dhirubhai Ambani
Group.
The current network expansion undertaken by Reliance is the largest wireless
network expansion undertaken by any operator across the world.
It was with this belief in mind that Reliance Communications (formerly Reliance
Infocomm) started laying 60,000 route kilometres of a pan-India fibre optic
backbone. This backbone was commissioned on 28 December 2002, the
auspicious occasion of Dhirubhais 70th birthday, though sadly after his
unexpected demise on 6 July 2002.
Reliance Communications has a reliable, high-capacity, integrated (both wireless
and wire line) and convergent (voice, data and video) digital network. It is capable
of delivering a range of services spanning the entire infocomm (information and
communication) value chain, including infrastructure and services for
enterprises as well as individuals, applications, and consulting.
Today, Reliance Communications is revolutionizing the way India communicates
and networks, truly bringing about a new way of life.
We will leverage our strengths to execute complex global-scale projects to
facilitate leading-edge information and communication services affordable to all
individual consumers and businesses in India.
We will offer unparalleled value to create customer delight and enhance business
productivity.
We will also generate value for our capabilities beyond Indian borders and enable
millions of India's knowledge workers to deliver their services globally.

(3) BRIEF STUDY OF THE ORGANIZATION

Chairmans profile
Reliance Communications Limited founded by the late Shri. Dhirubhai H Ambani
(1932-2002) is the flagship company of the Reliance Anil Dhirubhai Ambani
Group. It is India's foremost truly integrated telecommunications service provider.

With a customer base of over 36 million including close to one million individual
overseas retail customers, Reliance Communications ranks among the top ten
Asian Telecom companies. Its corporate clientele includes 600 Indian, 250
multinational corporations and over 200 global carriers and owns and operates the
world's largest next generation, IP enabled connectivity infrastructure, comprising
over 150,000 kilometers of fiber optic cable systems in India, USA, Europe,
Middle East and the Asia Pacific region.
Regarded as one of the foremost corporate leaders of contemporary India, Shri
Anil D Ambani, 48, is the chairman of all listed companies of the Reliance ADA
Group, namely, Reliance Communications, Reliance Capital, Reliance Energy and
Reliance Natural Resources.
He is also the president of the Dhirubhai Ambani Institute of Information and
Communications Technology, Gandhinagar
An MBA from the Wharton School of the University of Pennsylvania, Shri
Ambani is credited with pioneering several financial innovations in the Indian
capital markets. He spearheaded the countrys first forays into overseas capital
markets with international public offerings of global depositary receipts,
convertibles and bonds.
Under his chairmanship, the constituent companies of the Reliance ADA group
have raised nearly US$ 3 billion from global financial markets in a period of less
than 15 months.
Shri Ambani has been associated with a number of prestigious academic
institutions in India and abroad.

He is currently a member of:

Wharton Board of Overseers, The Wharton School, USA

Board of Governors, Indian Institute of Management (IIM), Ahmedabad
Board of Governors, Indian Institute of Technology (IIT), Kanpur
Executive Board, Indian School of Business (ISB), Hyderabad

In June 2004, Shri Ambani was elected as an Independent member of the

Rajya Sabha Upper House, Parliament of India, a position he chose to resign
voluntarily on March 25, 2006.
Select Awards and Achievements

Voted the Businessman of the Year in a poll conducted by The Times of

India TNS, December 2006
Voted the Best role model among business leaders in the biannual Mood
of the Nation poll conducted by India Today magazine, August 2006
Conferred the CEO of the Year 2004 in the Platts Global Energy Awards
Conferred 'The Entrepreneur of the Decade Award' by the Bombay
Management Association, October 2002
Awarded the First Wharton Indian Alumni Award by the Wharton India
Economic Forum (WIEF) in recognition of his contribution to the
establishment of Reliance as a global leader in many of its business areas,
December 2001

Selected by Asiaweek magazine for its list of 'Leaders of the Millennium in

Business and Finance' and was introduced as the only 'new hero' in Business
and Finance from India, June 1999.

4) ORGANIZATIONAL SET UP
Reliance Communication Limited
CHAIRMAN

PRESIDENT
PRESIDENT
(PRESONAL
(HOME
BUSINESS)
BUSINESS)

PRESIDENT
(ENTERPRISES
BUSINESS)

SENIOUR
V.P
V.P
GM
DGM

AGM
SENIOUR
MANAGER
MANAGER
DUPTY
MANAGER
ASST.
MANAGER
MANAGEMENT
TRAINING

CHAPTER-3

About the topic : building brand image

Basically barnd is the name of any particular product.

Brand characteristics
A major avenue for revenue growth in companies today is the extension of their existing
brands into new categories, requiring the systematic study of many candidate categories
on personality and image dimensions to see which ones best fit and match the
personality of the brand being extended. Many companies also seek to leverage their
existing brand assets via licensing deals to other manufacturers in other categories or via

co-branding promotions and arrangements. For any marketer the only case for concern is
how to build the proper positioning model of any brand. The launch campaign of a new
brand can create or destroy its brand image that would cause a huge loss for the company.
So the companies need to follow up the previous product offerings and find out how they
are performing in the market and what the consumers feel about the brand. If the recall
rate is good enough, the company launch its new varieties and if its not, then it has to
re-launch the present entire product portfolio.

Brand management is a herculean task and it has to be done very carefully. A single
wrong message from the brand managers can ruin the fate of the particular brand and the
effects may also percolate into the other product offerings of the same organization. So
the managers need to always keep themselves updated with the current market scenario
so that they can implement correct techniques. The consumers only want a good product
with lots of value additions; they want frills added to the product those they purchase.
Take an example of any FMCG product like- toothpaste, when a company provides with
the freshness, the other one gives strength, fights decay. The customers always get
confused to choose between the viable options. So what the marketers need to do is to
provide product information through aggressive marketing campaigns and their existing
sales force. The sales department plays a major role in building the brand image. The
fortune lies within the hands of all the components included in the value-chain and to
make it to the superb quality everyone has to give his best. The Word-of-Mouth
technique is also gaining popularity. This method gives the maximum reach for any
product. In the rural area people generally prefer that kind of products which are also
used by their neighbors. So the companies need to find the proper sales and distribution
channels to penetrate the huge potential market, where the demand for products is far
more than that of in the urban areas.
Try to differentiate between Category personality and Brand personality
The Category personality and Brand personality are the two different things which
are to be differentiated by thy marketers. In any case, any factor analysis of a (pooled
brand category data matrix) must partial out the category personality from the
brand's personality, for otherwise it could confound the two. It could be argued, of
course, that most analyses of brand personality are conducted entirely within one relevant
category, and do not need to utilize data from several product categories. The category
generic attributes are common to all the products in the same product range. Those
brands which best capture a categorys mythic desired personality might gain in
preference, since their brand personality is now most relevant to consumer choice
criteria in that category. There exists a need for the development of research
methodologies that keeps apart product category influences from brand personality
perceptions. Such a research methodology would have potential importance for the
development of marketing strategy, in particular for advertising and brand image
management.

Event Marketing and sponsorships

It is not enough for a brand to be seen or heard, it has to be experienced. Sponsorships are
an important catalyst and component of that experiential marketing. The purpose of event
marketing is to forge an emotional and memorable connection with consumers where
they live, work and play. It requires a qualitative understanding of the appropriateness of
any particular event as well as quantitative research to demonstrate its effectiveness in
reach and frequency. The media advertising is often characterized by huge clutter. This
may bring the awareness level up, but it hardly results in purchase intention or purchase.
So to supplement the media advertising the marketers are turning to event marketing to
create an ever lasting impact. Many companies are going for tie-ups or contracts with the
advertising agencies for a certain period of time in abroad as well as in India. So the
sense of urgency has flown into every organization that until and unless they are not
capable enough to attract new potential customers their campaigns would not work and
their products would not sell in the market. They have to snatch away the customers of
their competitors and provide them better solutions so as to gain the maximum customer
loyalty.

Brand Stewards
The brand stewards or the brand managers, marketing managers are responsible for the
welfare of any brand. Brand stewards also include those who work on brand assignments
at marketing communication agencies and who have a major influence on the brands
marketing program. The Brand Team is referred to that group who ideally complement
each other in managing brands and their identities. The total force completes whole
criterion and until each and every component works properly the product would not
survive. So lots of onus is on the brand managers so as to guide the whole team to reach
the desired level of profit by means of maximum sales volume or by selling high quality
premium products with greater margin but of a lesser volume. All these decisions depend
on the managers. Most managers recognize the value in building and properly managing
a brand. But few can objectively assess their brand's particular strengths and weaknesses.
By grading a brand according to how well it addresses each dimension, marketers can
come up with a comprehensive brand report card. By doing the same for competitors'
brands, they can gain a fuller understanding of the relative strengths of their own brands
in the marketplace.

Branding Rules
Marketers urgently need tools to manage vast groups of brands, not as individual
elements or collections under one corporate roof, but as complex systems that transcend
corporate boundaries. E-mails, direct marketing techniques are the main weapons of a
marketer to tap the available market place, to get the maximum market share. The

popularity that a brand carries with it is to be well maintained to move up to the value
chain. The marketers need to develop his own rules, because when he has to deal with the
ever changing consumer psyche, then it is obvious that he has to change his strategy now
and then. So it is all about the correct decision at the correct time and everything that
does matter is the execution part of the whole cycle. This vicious cycle goes on for the
whole life-cycle of the product category, so each and every stage is important for the
marketers. New formulations are to be made to beat the competitors; a brand survives in
the minds of consumers. Most of the customers fall under impulse buying category.

Experiential Brands are the market leaders

Brands are the most valuable assets of any company, so while launching a brand a
company must look into its feasibility by doing market research and compare that with
the competitors product. These steps always give an insight about the fate of the brands.
Definitely the war has started between brands and not between any organizations. The
brands have now become a part of the households, consumers associate themselves with
the brands they use and they feel very much proud about it. So to continue with this kind
of stature that the brands posses, the companies need to offer more and more lucrative
proposals. The brand value or brand worth is always in a stake if not taken care properly.
A brand manager has to identify a proper brand logo which will automatically generate
brand recognition in the consumers minds. A picture says much more than 1000 words,
so the identification should cater to all the requirements those the brand satiates.
Competition is all about branding and the better an organization can do it, the better
chances are there for it to be the market leader.

CHAPTER - 4
Main Studies

SWOT Analysis
Comparative Analysis
Marketing strategies
Brand positioning
The problems being faced

What does Company expect to do by solving the

problem
Data analysis and Interpretation finding
customer survey
Market share of mobile subscribers
Performance snapshot

ANALYSIS
RELIANCE COMMUNICATION LIMITED
Strength
Low Entry Cost
Commission Structure
Fast Activation Process
Network
Connectivity
Data GPRS

Weakness
Branding Image
Distribution problem
Limited product portfolio- Only
Mobile
Lack of Competitive Strength
Limited Budget

Opportunity
Preference of GSM over CDMA
New Specialist Application
Rural Telephony
New Market, Vertical, Horizontal
Competitors` Vulnerabilities

Threat
Political destabilization.
New Entrants
IT Development
Market Demand
Seasonality, Weather Effects

COMPARITIVE ANALYSIS
Comparision of marketing strategies of Bharti Airtel and reliance
The sub main purpose of this report is to compare the marketing
Strategies adopted by RELIANCE and its rival AIRTEL.
.
The comparison shows how both of the companies have been
Challenging each other to gain market shares.
Why comparison with Reliance Infocomm?

Reliance Infocomm is the second largest player and share holder in

Communication sector.
Since its launch Reliance info. has been adopting aggressive marketing
Strategies.
The comparison shows how reliance info. Captured 22% market share in
One month of its first launch of postpaid subscription in 2002.AD.
With a different technology cdma Reliance creates it own market.
Reliance Info. today deals in every business of communication sector.
making and changing the strategies to capture the market shares
Bharti Airtel is the leader in telecommunication sector.
Bharti Airtel holds the lion share of market of communication sector.
However, Reliance has been giving tough competition to Bharti Airtel

MAR KETING STRATEGIES OF RELIANCE INDIA

MOBILE.(RIM)

Rim target the rural India

The main targeted customers of Rim are from rural India.
By offering cheap and light mobile sets Rim attracts most of the
customers
Of small villages and towns.

Offering cheap handsets

Rim offers cheap and free connections to all costumers.
The cost for Rs-700\set and onward.

Free support and services

In every district and big towns rim opens its service centers to provide
better support and services.

Strong logistics and supply chain

Rim has a strong logistict and supply all over India.
In every small town the potential costumers can easily purchase the
rim
sets.

BRAND POSITIONING

1. MARKET SEGMENTATTION
(a)Geographical Segmentation
(b)Demographic Segmentation-middle income group

2. TARGET MARKETTING
-People living in small towns and villages poor and middle income groups
-Youngsters in big cities
- Businessman

3.

POSITIONING
-Creating brands
-adds and promotions

4. MARKETING MIX
-Products: Varieties available for various groups
-Price
;Low price strategy
-Place
:Maximum outlets and service centers
-promotion: Various schemes for prepaid and post paid.

(2) PROBLEM BEING FACED

Lack of communication between retailers and distributor
Lack of improper distribution channel
Competitors
Not regular visit of DSE and Runner
All retailers are not aware of new scheme of RCOM
Lack of sales promotion and advertisement
Retailer doesnt get claim at proper time
No visit of TSM or any other person to the retailers shop

(3) WHAT DOES COMPANY EXPECT TO DO BY SOLVING THE

PROBLEM
Customer Satisfaction
Retailer Satisfaction
Increase in Sale
Sales Promotion
Proper Distribution Channel

(4) SCHEMES, PRODUCTS

Reliance Base Phone

Reliance Mobile

Reliance Data Card

Reliance Voucher, E-Recharge

Reliance PCO

Reliance Broad Band

STD CALLING CARD

MRP

TALKTIME

VALIDIY

RS. 95

84.66

15 DAY

1.25

RS. 115

102.35

15 DAY

1.20

RS. 125

111.25

15 DAY

1.20

RS. 225

200.25

30 DAY

1.10

RS. 280
RS. 525
RS. 650

249.20
467.25
578.50

30 DAY
30 DAY
30 DAY

1.10

PRODUCTS FOR THE MONTH OF JULY 2008

ON-NET
(NIGHT)

RS. 0.40
FREE

OTHER

RS. 1.00
RS. 1.00

TOP
Ups

STVs

Rs. 55
Rs. 77
Rs. 210
Rs. 310
Rs. 510

FULL T.T of 55 (off net 43+on net 12)

FULL T.T of 77(off net)
TALK TIME of Rs. 222 (off net)
TALK TIME of Rs. 333 (off net)
TALK TIME of Rs. 555 (off net)

Rs. 195
Rs. 496
Rs. 35
Rs. 79
Rs. 49
Rs. 99
Rs. 98

Local on-net mobile unlimited FREE (validity 30 days)

Local & STD on-net mobile unlimited FREE (validity 30 days)
All STD@ Rs. 1 per minute (validity 30 days)
All Local@ Rs. 0.50/min and all STD@ Rs.1/min (valid. 30
days)
On-net Local@33PAISE, Off-Net Local@49 Paise (valid. 30
days)
On-net Local@33PAISE, Off-Net Local@Paise, all STD@99
Paise (30D)
On-net Local FREE between 10PM to 8AM& other local@50
paise (30D)

Rs. 250

FREEDOM TARIFF, TALKTIME Rs. 147.5 AND VALIDITY

30 DAYS

RCVs
Rs. 888

F.T, TALKTIME RS. 888 AND VALI. OF 8 MONTHS

Rs. 399
UNLIMITED Rs. 499

Talk Time 175/ & Local On-net Unlimited FREE ( 30 days)

Local Reliance Mobile & Reliance Smart Unlimited FREE ( 30
days)

Rs. 533
Talk Time Rs. 399.37 & Local On-net FREE B/W 11pm to
6am, ( 30 D)

ESMS

Rs. 49

500 LOCAL SMS FREE & VALIDITY 30 DAYS

RELIANCE MOBILE HAND-SET

MOBILE

CUSTOMER PRICE

RETAILAR PRICE

RD LG 3000

1199/-

1165/-

RD LG 3500

1299/-

1265/-

RD LG 3600

1799/-

1690/-

RD LG 6100

2699/-

2540/-

(1) DATA INTERPRETATION OF CUSTOMERS SURVEY

Age group Tabulating in percentage the age group of customers

Age Group

Percentage (%)

18-25

25

28-35

47

36-45

22

Above 45

50
45
40
35
30
25
20
15
10
5
0

18-25
28-35
36-45
Above 45

Percentage (% )

Above figure shows that researcher having surveyed 18 respondents, 25% belong
to age group 18-28%, 47% belong to age group 28-35%, belong to age group 3645 and 6% above age of 45.

Income Level Tabulation

Income Group

Percentage (%)

8000

42

8000-12000

34

12000-20000

18

> 20000

45
40
35
30

8000

25

8000-12000

20

12000-20000

15

> 20000

10
5
0

Percentage (%)

The above analysis shows that 42% of the respondents belonged to the 8000/- and
below income category, 34% belonged to Rs.8000 to 12000 and 18% belonged to
12000-20000
And 6% above income of 20000/-.

Percentages of customer who are prospective take of a particular service

company

Percentage (%)

AirTel

40

RIM

BSNL

25

IDEA

Vodafone

31

Virgin

It was found in the survey that 55% of the respondents intended to purchase either
AirTel or Rim
services in the future. Out of this 55% more than (that is
30% of the whole sample size) intended to purchase AirTel and 25% intended to
purchase RIM

Scaling About RCOMM Service

scale

Percentage

Very good

20

Good

25

Satisfactory

40

Poor

10

Cant say

The survey revealed that 40% of the respondents service RIM as satisfactory. This
is a telling comment. However the survey also found out that 20% and 25% of the
respondents service RIM as very good and good respectively. There were 5% of
the respondents who had nothing to say about the RIM. This is due to low service
awareness and low penetration level.

(2) MARKET SHARE OF MOBILE SUBSCRIBERS

MARKET SHARE OF CDMA IN KARNATKA

30%
70%

RCOMM 70%
TATA INDICOM 30%

MARKET SHARE OF GSM IN BANGALORE

AIRTEL 40%
RCOMM 5%
BSNL 25%
VODAFONE 31%
TATA INDICOM 2%
IDEA 2%

3) PERFORMANCE SNAPSHOT

Particulars

Units

Total
Subscribers
CDMA
GSM

000s
000s
000s

12 months period
Quarter ended
ended
MarchMarchJune 30, Sept.
2007
2008
2008
30,
2008
28,007
45,794
50,773
56,046
24,620
38,778
42,707
46,840
3,387
7,016
8,066
9,206

Rs.
Rs.
Rs.
Rs.
Rs.

144,683
57,207
56,291
32,247
31,632

Consolidated
financials
Revenue
EBITDA
Cash profit from
Opera.
PBIT
Net Profit

mn
mn
mn
mn
mn

Rs. mn
Rs. mn
Fixed Rs. mn

Total
Assets
Shareholders'
Equity
Net Debt

Key Ratios
EBITDA Margin
Net
Profit
Margin
Return on Net
worth
Net Debt to
funded equityratio
KPIs
Wireless APRU
Wireless RPM
Wireless
MoU
per sub
Long Distance

330,423
202,719
18,238

190,678
81,991
82,064
70,762
54,011

53,222
22,502
24,396
15,564
15,123

56,450
23,016
25,288
15,541
15,308

523,126
254,609
99,700

580,324
264,197
129,888

614,761
281,598
152,257

%
%
%

39.5%
21.9%
26.8%

43.0%
28.3%
33.7%

42.3%
28.4%
34.6%

Times

0.09

0.39

0.49

Rs.
Rs.
Min/mont
h
Mn Min

371
0.74
503
23,238

340
0.74
460
30,045

282
0.66
424
8,367

40.8%
27.1%
31.8%
0.54

271
0.64
423
9,802

Minutes

*APRU- Average revenue per user

Chapter - 5

FINDINGS

Retailers Finding
Services provided by Retailers: All the retailers are dealing in all services i.e. providing Recharge Voucher, SIM,
and Tariff Voucher of all the cellular service companies present in Bangalore
zone. Also most of them provide only pre-paid connection.
Satisfaction: Most of the retailers i.e. around 74% of respondents are satisfied with RCOMM
brand, 10% of them push RCOMM brand to the customer and rest 16% retailers
are not satisfied with RCOMM brand due to claim pending and the distributor.
The retailers dont get schemes communicated in time by distributor and
distributor does not provide RCV & e-Top properly.
Problems: Around 15% of the respondents that there is network problem with RCOMM, on
the other hand they found its competitors viz. Airtel, BSNL, TATA indicom
network connectivity of very good to good level.
Around 16% retailers which are under puja enterprises distributor
projected problem with distributors. They dont get schemes communicated in
time by distributor and distributor does not provide RCV & e-Top.
Support from company: Most of the retailers ensnared that they are supported by the companies
personnel & companies helpline.
All companies provide POP (Point of presence) at right time and in adequate
number.
Claim process:In case of RCOMM process is be claimed very belatedly i.e. almost 77% of the
cases take 60-90 days, where as in case of Airtel most of the i.e. 88% is being
finalized in time limit 0-30 days.
The claim process services of other competitors viz. AirCel, Smart, &
Tata Indicom are almost at par with the IDEA cellular ltd.

CHAPTER-6

CONCLUSIONS

CONCLUSION
Indian economy is an emerging one and is growing very fast at the
average GDP rate 8-9% so in this emerging market competition
level among telecommunication services provides new players are
coming who will necessarily intensify the competition. New
products and new schemes are being offered by the telecom service
providers.
The need for large information capacity has grown tremendously
due to the demand of real time information. Telecommunication
has now become a major information transmission system and
telecom has undoubtedly emerged as the most important industry
in India. Indian telecom companies are putting in their best offer to
rope in major telecom operators of the world e.g. Vodafone, Aircel
and MTN etc. are playing their role in synergy with the operation of
the Indian companies. Process of acquisition and merger are in
process and future will be only for those companies who have an
edge over others in the field. Service provided and the better
quality of network etc. is provided at affordable cost. In this
process of competition it is assumed that only those companies will
survive who adopt suitable market strategy and technology
innovation and up gradation to suit the aspiration and demand of
the consumer.
RCOM cellular ltd. an Anil Ambani Group of cos. is very fast
catching up with the market by providing cheaper calling rates.
The market strategies adopted by its executives are bearing fruits
and the company although being the Second one to enter the
market of Bihar & Jharkhand has found a suitable niche and
recognition in the consumer. But this is not a thing for self
contentment as the survey reveals that in network, service and
distributor, its place is very far behind to other competitors viz.
Airtel, BSNL, and Tata indicom etc. so to withstand the competition
resources mobilization and technological innovation on the part of
cos. To upgrade its quality of network and services is urgently
called for.

Market access and growth is alright but the improvement of quality

on the above counts is necessity of the time.

Chapter 7

Suggestions
Appendices
Bibliography
Questionnaire

Suggestions
On the basis of extensive study and research, here are some recommendation
and suggestion which may help the company to market the product and
service more profitability and increase its share in the Telecom market.
1. PROMOTIONAL ACTIVITIES
The company expands the budget allocation for promotional campaign in
center Bangalore. It has affected the sale service brand image of Reliance
especially in Bangalore. Low supports in promotion have lead to fluctuation in
sale
There may be some useful tools which can be summed as follows:Advertising Advertising should have a clear objective and message, which
has not been found in recent ads. Reliance is a faster growing provider
service in each state .every offers and schemes they should show with proper
message for benefit to the customer. In busy life customer do not remembered
any offers and which service we can provided for the customer therefore they
should by force showing advertisement in growing market and among
customer .customers wants continuously exposure in Cable and Local
newspapers.
Persuasive Advertising: - Now there is a need of persuasive advertising for
Reliance service which can be moved into the category of comparative
advertising. It will help the company to establish the superiority of its brand
service through specific comparison of one or more attributes and features.
Technical Expertise: - The advertisement should show the companies
expertise, experience and pride in market the product service sale.
Media:-A combination of print ads and TV commercial do a better job. Local
ads and publicity should be giving more stress. Hoardings, banners, wall

painting should be promoted, as some expenses are also beard by dealers. Ads
on Cable network result greater audience attention. Schemes, gift offers etc.
must be highlighted through Radio and Local newspapers.

A. SALES PROMOTION
Cash discount
Premiums
Appointment of sale promoter
Financial schemes
B. OCCASIONAL DISCOUNT
The company may go for occasional discount offers or price off from time to
time specially during any festival. Off season discount may also prove helpful
to check fluctuating sales.
C. PRODUCT QUALITY AND TECHNICAL FEATURES
As for as some hand set mobile product quality is concerned, there is an
urgent need of technical up gradation of Reliance mobile product line. It
would be beneficial for company to launch some colors mobile hand set with
the some added feature and minimum price.

BIBLIOGRAPHY

BOOKS
Marketing Management

Marketing Research -

Tull & Hawkins

MAGAZINE
Business Today
Advertising & Management

NEWSPAPERS
Economic Times
Hindustan Times
WEBSITE
www.COAI .in
www.AUSPI .in

Phillip Kotler

Questionnaire
1. Whether following things are available?

Monsoon offer

48%

Kit

90%

V-top

40%

E-Recharge

90%

The survey revealed that 48% retailers have monsoon Offer, 90% have kit,
40% have V-top and 90% have E-recharge.
2. What is the frequency of DSE visit?

Once a Week 20%

Twice a Week 50%
Thrice a Week 30%
None of above 0 %
The survey revealed that 20% retailers have said that DSE visits once a Week,
50% retailers have said that DSE visits twice a Week, 30% retailers have said
that DSE visits thrice a Week.

3. What availability of stock you keep for sale in

your shop?

Daily
9%
weekly
72%
In 15 days 18%

Monthly

1%

The survey revealed that 9% retailers keep daily stock, 72% retailers keep Weekly
stock, 18% retailers keep stock of 15 days and 1% retailers keep monthly stock.

4. What nature of problem you face with RCOMM?

Service level
Claim level
Product availability
Product awareness

31%
95%
18%
25%

The survey revealed that 31%, 95%, 18%, 25% retailers have problem with
service level claim level, product availability and product awareness respectively.
5. How much time is taken by the distributor to reimburse your claims?

20 days
30 days
45 days
60 days

11%
25%
25%
39%

The survey revealed that 11%, 25%, 25%, 39% of the retailers are reimbursed by
distributor at claim level respectively.
6. Who are the major competitors of RCOMM?

Airtel
Aircel
BSNL
Tata Indicom
Smart

55%
15%
15%
30%
8%

The survey revealed that Airtel and Tata indicom are the major competitors of
RCOMM.

7. If you have any problem then whom you will prefer to talk?

Distributor
TSM
DSE

10%
23%
67%

The Survey revealed that 10%, 23% and 67% retailers prefer to talk to Distributor,
TSM and DSE.
8. How do you know about new scheme?
Companies
Reliance
Airtel
AirCel
smart
Tata Indicom

SMS

Poster

9. How much time do you take to activate a sim?

(i)

10-15 min.

44%

(ii)

15-30 min.

38%

(iii)

30-60 min.

6%

DSE

(iv)

Above 60 min.

12%

The survey revealed that 44% retailers take 10-15 min., 38% take 15-30 min., 6%
take 30-60 min. and 12% take more than 60 min. in activation of a SIM.
10. From which company distributors you are more satisfied?
(i)

Airtel

34%

(ii)

Reliance

28%

(iii)

BSNL

17%

(iv)

AirCel

16%

(v)

TATA

4%

(vi)

None

1%