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In today's globalised and borderless market, quality and productivity are essential for the survival and growth of any organisation. Both these factors depend mainly on the attraction and retention of customers. Thus the customer is the main focus for any successful business. Business success depends on organisations understanding and meeting customers' needs and demands Because of the potential for negative outcomes, including reduced customer loyalty and increased opportunities for competitors, managers need to understand what motivates individuals to choose between good service and the best service options Successful customer management requires the ability to provide the services customers want and the provision of those services at a cost the business can afford. The first requirement should be easily determined because it is, normally, a prime objective of market research programmes conducted by an organisation's marketing department. The ability to determine whether the business can afford the customer base it has or desires is, however, another issue and one that few organisations address successfully. Understanding the financial contribution of each customer is recognised as an essential component in determining business strategy but there are few, if any, guidelines or models to assist in the development of the necessary processes A consumer's dissatisfaction can be exhibited by complaint behaviour (CB) which has various means of expression. This behaviour is also motivated by different factors. So in this project an effort is made to understand the Consumer Behavior and help him out to gather the information and evaluate the alternatives and select the best possible alternative in Mobile Telecom services.
INTRODUCTION:
Consumer Behavior is a study of how individuals make decisions to spend their available resources(Time, Money and Effort) on consumption related items(what they buy, why they buy, when they buy, where they buy, how often they buy and use a product or service). The heterogeneity among people across the world makes understanding consumer buying behavior an intricate and challenging task. The consumers identity, his beliefs, specific needs, attitudes and the kind of product and the brands available in that product category influence his Buying behavior. The marketing efforts of a firm have a profound impact on the buying decisions of customers. Therefore, marketers attempt to obtain an in depth knowledge of consumers buying behavior. Consumer buying behavior is affected by various factors that determine the product and branded preferences of consumers. It is essential for marketers to understand the impact of these factors on consumer buying behavior because it helps them design marketing strategies to appeal to consumer preferences. The factors that influence the consumer buying behavior include Culture, Social, Personal and Psychological factors. Habits, likes and dislikes of the people belonging to a particular Culture or Subculture can affect the marketing efforts of a firm to a great extent. The Social; Class to which the individual belongs tells about the types of products the individual prefers. Other factors that influence the buying behaviour are Social factors like Reference groups and Family, Personal factors like the Age, Life cycle and occupation, and Psychological factors like Motivation, Perception and attitudes of the customers.
Buying roles and buying decisions constitute consumers decision-making behavior. A customer can adopt various buying roles like Initiator, Influencer, Decider, Buyer, Preparer, Maintainer and Disposer in Purchasing and using the products. Buying behavior helps marketers learn the intensity and degree of involvement of customers in purchasing the products. Consumer buying behavior is broadly classified into three types. Extensive problem solving Buying behavior is exhibited when a customer buys high involvement, expensive and less frequently purchase products. Consumers are involved in routine problem solving decision-making process, when they purchase routinely purchased, low cost products. Variety seeking behavior is seen when customers purchase low involvement products. Customers usually go through five stages in arriving at a purchase decision, though it might not be so in all the cases. The various stages are shown in the following block diagram. Evaluate the alternatives and select the best possible alternative
Airtel was the first operator to offer a host of Innovative products and services to customers in Maharashtra and Goa. These include Airtel GPRS, EDGE, Blackberry, Assal Marathi, Hello Tunes, Confidence Plan, Stock Ticker Service, Bills in Marathi and English etc. Continuing its growth momentum, Airtel is embarking on a mega expansion plans for the year 2011-12 covering the entire Maharashtra and Goa Circle.
The present study, BEHAVIOURAL ANALYSIS -A Case Study On Mobile Users Related to Airtel is an attempt to analyze the Buying Behavior of customers from Pune. The Summer Internship Programme (SIP) commenced from the 9th of May, 2012 and will formally close on the 31st of August, 2012. The duration of the present study is 4 months (i.e. 17 weeks). The Airtel conducted orientation and training sessions from the 9th of May to the 21st May, wherein a briefing about the company and its working was given. The working of the different departments of The Airtel was discussed in the following week. The study, as the title suggests involves a survey of both the existing and non-existing customers. The primary data will be obtained in the form of a separate well structured Questionnaire. The sample on which the survey will be conducted consists of 100 respondents. By the 25th of June, 2012, a survey had been conducted on 80 respondents. Analysis of the questionnaires was done from 26th to 30th of June. The final report, which will mark the culmination of the total marketing effort of the present study will be prepared and submitted by the 20th of August 2012. The progress of the present study , till date, has been summarized in the following table : DURATION ( in weeks ) 2 1 1 3 1 3 days 30 days
S.No 1 2 3 4 5 6 7
ACTIVITY Orientation and Training Observation and study of working of the the
different 23rd May- 28th May 30th May- 4th June 6th June- 25th June 27th June- 30th June 1st July- 3rd July
departments Preparation of the Questionnaire Survey of target sample group Analysis of survey data Interim Report Preparation Tele calling / handling
8 days
CHAPTER I
Objectives Methodology
Limitations
OBJECTIVES
The main aim of the present study is to accomplish the following objectives:
Telemarketing: Making cold calls(through Telephone) to the existing customers and giving them information about Airtels new schemes. Customer Satisfaction: Interacting with the customers at the companys show room to give them better services. Complaint Handling: Recording the various complaints and try to solve their problems about the product. Product Information / Promotion / Launching: proper understanding an analysis of the Airtel as a product. Market Survey: Conduct a Survey on a sample selected from the entire population of Corporate sector. Analysis: Analyze the result of the survey conducted recommendations to develop the products of Airtel. and propose
LIMITATIONS
Though the present study aims to achieve the above-mentioned objectives in full earnest and accuracy, it may be hampered due to certain limitations. Some of the limitations of this study may be summarized as follows: Locating the target readers of The Airtel is very time consuming. Sample size is limited due to the limited period of 36 days allocated for the survey. The selection of customers to cover the various strata of the society is tedious and time consuming. Getting accurate responses from the respondents due to their inherent problems is difficult. They may be partial or refuse to cooperate. Respondents may not be at home and may have to be re-contacted or replaced by others. The survey is costly and tedious.
METHODOLOGY
The objective of the present study can be accomplished by conducting a systematic market research. Market research is the systematic design, collection, analysis and reporting of data and findings that are relevant to different marketing situations facing the company. The marketing research process that will be adopted in the present study will consist of the following stages. Defining the problem and the research objective: The research objective states what information is needed to solve the problem. The objective of the research is to derive the opinion of the consumers of the Airtel and use that to develop the recently launched Airtel One India Plan.
Developing the research plan: Once the problem is identified, the next step is to prepare a plan for getting the information needed for the research. The present study will adopt the exploratory approach wherein there is a need to gather large amount of information before making a conclusion. If required, the descriptive and casual approaches may also be used.
Collection and Sources of data: Market research requires two kinds of data, i.e., primary data and secondary data. Being a firm in the newspaper industry, data gathering will involve usage of both primary and secondary data though there will be an extensive usage of primary data. Well-structured questionnaires will be prepared for consumers. There will be personal interview surveys mostly in Corporate. The questionnaires will contain both open-ended and close-ended questions.
Sample Size: Corporate survey has been conducted for 100 respondents. If the situation demands more accuracy, a telephonic survey will be conducted wherein the respondents will be asked questions about their opinion on the Post-paid over the telephone and their responses will be recorded.
Analyze the collected information: This involves converting raw data into useful information. It involves tabulation of data, using statistical measures on them for developing frequency distributions and calculating the averages and dispersions. Report research findings: This phase will mark the culmination of the marketing research effort. The report with the research findings is a formal written document. The research findings and personal experience will be used to propose recommendations to develop the Post-paid Plan.
CHAPTER II
Industry Profile
History of Telecom Sector Growth and current scenario of Telecom sector Importance service marketing of Telecom
Industry profile
HISTORY:
The telephone was discovered almost by accident. What people thought they were looking for was a way to make the telegraph work faster and more profitably - by sending distinct musical notes or tones simultaneously along the wires with a separate message sent on each frequency.
But they soon realized it could also include the human voice - a speaking telegraph. And if you could talk down a wire, wouldn't that be an entirely new and better way of communicating? The individual parts of the telephone were discovered and developed by different people. Someone needed to take all those connections and draw them together into one working instrument. In the end that someone was Alexander Graham Bell - but he only just won the race.
Within a year of making the first telephone call, Bell and his financial backers - Thomas Sanders and Gardiner G Hubbard - had formed the Bell Telephone Company in the United States. Unsurprisingly, early demand for the telephone was not great and prior to forming their company Bell and his partners had struggled in their attempts to promote the new invention. At one point they even offered to sell the Bell patents to the Western Union Telegraph Company - Elisha Gray's employers - for $100,000. The offer was spurned - a decision the Western Union was soon to regret bitterly.
equal its Chinese business over the next four to five years. Rajan Mehta, head of Nortel Networks India, explained, "We are riding a growth wave in India, while China is plateauing." All of this can only be very good news for the Indian telecom manufacturing industry. According to the department of telecommunications (DoT), as per a white paper from Elcoteq, the revenues of the Indian cellular industry are likely to reach US$15.61 billion by 2008, and the infrastructure market for the same will be around US$1.88 billion per annum. The market size of the Indian telecom industry, comprising services and equipment, is likely to increase to US$ 24.29 billion by 2006, up from US$13.71 billion in 2001.
establishing a world class telecommunications infrastructure in India. The telecom sector in India therefore offers an ideal environment for investment. The telecommunications initiative in the country is lead by Ministry of Communications through the Department of Telecommunication & Department Telecom Services and its undertakings for provision of basic telephone services, national and international long distance communications, manufacture of complete range of telecom equipment, research and development, and consultancy services. The Telecom Commission performs the Executive and Policy making functions. The Telecom Regulatory Authority of India performs the functions of an independent regulatory body. The Indian Cellular Market is entering a boom period after years of quasi-stagnation. Gartner estimates that by 2005, cellular subscribers in the country will number 30.9 million, up form 6.4 million at the end of March 2002. By then, India will be the fastest growing cellular market in Asia Pacific (in 2000, it was the Philippines and China) with 36 percent growth over the previous year.
Mobile operators will provide an estimated 45 per cent of additional telephone connections during the year. Cellular subscribers are expected to grow 80 per cent by the end of financial year 2003 to touch 1.15 crore, up from 64 lakh subscribers in fiscal 2002, according to an ICRA report on telecom industry.
This would mean that cellular telephones would account for 20.5 per cent of the total telephone connections in India compared to 14.4 per cent last year. However, the cellular density would still remain a low 1.1 per cent compared to the fixed teledensity of 4.3 per cent. However, the report points out that, growth in cellular telephony could vastly exceed these projections, if the system of calling party pays is implemented. Just for the record, new cellular connections comprised 34 per cent of all telephone connections last fiscal and 22 per cent during fiscal 2001.
Doing some more crystal ball gazing, the ICRA report points out that the cellular subscriber figure is expected to touch three crore by 2005. At the same time, the fixed line network is expected to expand to about six crore by 2005 from 3.84 crore lines by 2002.Revenue growth, however, will lag the growth in subscriptions
Every customer is important today and there is a need for companies to reach out via multiple channels. Measuring media effectiveness has been traditionally difficult but complementing marketing campaigns with powerful media like text messaging and SMS and Telemarketing have generated spectacular response and recall rates for campaigns.
Importance of Telecommunications:
The Government of India (Government) recognizes that provision of world class telecommunications infrastructure and information is the key to rapid economic and social development of the country. It is critical not only for the development of the Information Technology industry, but also has widespread ramifications on the entire economy of the country. It is also anticipated that going forward, a major part of the GDP of the country would be contributed by this sector. Accordingly, it is of vital importance to the country that there be a comprehensive and forward looking telecommunications policy which creates an enabling framework for development of this industry.
One could also witness a series of public offers flooding the market. Hutchison Essar and Idea Cellular would be planning their much-awaited public offers. Bhart Tele-Ventures is likely to go ahead with its ADS issue. At the industry level, the decision will facilitate the inflow of much-needed capital since the telecom business is growing at more than 30% annually, especially the mobile sector which has doubled in size over the last two years. The sector needs US$20bn annually to meet the target of 250mn subscribers by 2007. The sector could also witness entry from several foreign players from Asia and Europe. Vodafone, KDDI are some of the major operators who could tap the Indian markets. The hike in FDI would also lead to competition and consolidation
in the industry. Merger and Acquisitions (M&A) are likely to get a boost. This would only increase choice and lower tariffs for the consumer.
Service marketing:
Telecom being a part of Service sector, it complies with the features of service sector.In economics and marketing, a service is the non-material equivalent of a good. Service provision has been defined as an economic activity that does not result in ownership, and this is what differentiates it from providing physical goods. It is claimed to be a process that creates benefits by facilitating either a change in customers, a change in their physical possessions, or a change in their intangible assets. By supplying some level of skill, ingenuity, and experience, providers of a service participate in an economy without the restrictions of carrying stock (inventory) or the need to concern themselves with bulky raw materials. On the other hand, their investment in expertise does require marketing and upgrading in the face of competition which has equally few physical restrictions.
Key attributes:
Services can be described in terms of their main attributes.
no need for storage. Because they are difficult to conceptualize, services marketing requires creative visualizations to effectively make the intangible more concrete. From the customer's point of view, this makes it difficult to evaluate or compare services prior to experiencing the service.
regained. It is a lost economic opportunity. For example a doctor that is booked for only two hours a day cannot later work those hours he has lost his economic opportunity. Other service examples are airplane seats (once the plane departs, those empty seats cannot be sold), and theatre seats (sales end at a certain point).
point of
client or each new situation (customised). Mass production of services is very difficult. This can be seen as a problem of inconsistent quality. Both inputs and outputs to the processes involved providing services are highly variable, as are the relationships between these processes, making it difficult to maintain consistent quality.
activity, rather than precisely determined process. Human resource management is important. The human factor is often the key success factor in service industries. It is difficult to achieve economies of scale or gain dominant market share.
Demand fluctuations - It is very difficult to estimate demand. Demand can vary by season, time of day, business cycle, etc.
Buyer involvement - Most service provision requires a high degree of interaction between client and service provider.
When one markets a service business, she or he must keep in mind that reputation, value, delivery of service and follow-through are keys to a successful venture.
CHAPTER III:
Company Profile
Company Profile
Background televentures
of
Bharti
Postpaid
COMPANY PROFILE
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.
Bharti Tele-Ventures Limited, a part of Bharti Enterprises, is India's leading provider of Telecommunications services. The businesses at Bharti Tele-Ventures have been structured into two main strategic business groups - the Mobility Leaders business group and the infotel Leaders business group. The Mobility business group provides GSM mobile services cross India in twenty-three telecom circles, while the Infotel business group provides broadband & telephone services, long distance services and enterprise services. All these services are provided under the Airtel brand. Established in 1976, Bharti has been a pioneering force in the telecom sector with many firsts and innovations to its credit. It has many joint ventures with world leaders like Singtel (Singapore Telecom); Warburg Pincus, USA; Telia, Sweden; Asian infrastructure find, Mauritius; International Finance Corporation, USA and New York Life International, recently introduced National Long Distance. USA. Bharti provides a range of telecom services, which include Cellular, Basic, Internet and
ABOUT AIRTEL:
Bharti airtel limited is a leading global telecommunications company with operations in 19 countries across Asia and Africa. The company offers mobile voice & data services, fixed line, high speed broadband, IPTV, DTH, turnkey telecom solutions for enterprises and national & international long distance services to carriers. bharti airtel has been ranked among the six best performing technology companies in the world by business week. bharti airtel had 200 million customers across its operations.
The First and Only Telecom Operator to have an all India Presence:
Bharti created history by becoming first and only telecom operator to have an all India mobile footprint across 23 circles. Airtel today connects India from the Indus to the Indian Ocean and from Sabarmati to the Brahmaputra on a network of more than 10,000 base stations with cumulative investments of more than Rs. 16,000 crores. Airtel today provides seamless roaming spanning 228 networks in 128 countries and more than 3000 towns across all the 23 telecom circles in India. The company today has an aggregate of 12.70 million customers as of end of May 05, consisting of approximately 11.8 million mobile customers
Airtel the fastest growing mobile service provider in the Maharashtra & Goa circle:
Airtel Maharashtra & Goa achieved a significant landmark of achieving the highest share of net subscriber additions with 23.8% (Source COAI & AUSPI), in the wireless markets in the FY 04-05. More subscribers chose Airtel as compared to any other cellular service in the year FY04-05.
VISION:
Seek out the best technology in the world and put it at the service of our ultimate user: our customer.
MISSION:
To meet global standards for telecom services that delight customers through: Customer Service Focus Empowered Employees Innovative Services Cost Efficiency
OBJECTIVES:
To be the LEADER in Customer service by 2006. To be the LEADER in Telecom revenue by 2010. To be amongst the top 10 brands in India by 2008. To be among the top ten best employers by 2006. To continue to be amongst the top ten companies in Market capitalization.
BRAND:
Airtel & Visual Identity:
For a brand to be successful, it must build enduring relationships with its different audiences. Integral to this relationship is the visual image of the brand the consumer carries in his/her mind. The Airtel brand image is created through the consistent application of a carefully developed visual identity, which helps Airtel distinguish itself in a cluttered market. Airtel's visual identity helps create instant brand recall and strengthens the relationships that its audiences have with it.
The Airtel visual identity has different elements that work together to create a strong and consistent identity for the brand. The most important of these are:
The Airtel logo is a strong, contemporary and confident symbol for a brand that is always ahead of the rest. It is a specially drawn word mark.
Airtel Prepaid, the Ready Cellular Card from Airtel comes to you from Bharti Enterprises, India's leading integrated telecom service provider. Going mobile with Airtel Prepaid is a new way of life. With a host of great features, also simple to use, Airtel Prepaid makes everything that you dreamt and believed, possible.
No Rentals:
Buy an Airtel prepaid card without having to pay any rentals!
No deposits:
Your Airtel prepaid card comes without you having to pay heafty deposits!
Instant Recharge:
Avail of instant recharge on your Airtel prepaid card with just a few simple steps!
With Airtel's SMS based information services; you can get upto-the-minute cricket scores, order flowers as well as send couriers or check your daily horoscope!
POST PAID:
Experience complete freedom:
Airtel welcomes you to a vibrant world of unlimited opportunities. More exciting, innovative yet simple new ways to communicate, just when you want to, not just through words but ideas, emotions and feelings. To give you the unlimited freedom to reach out to your special people in your special way. As an Airtel Post-paid customer you can enjoy the following facilities -
Easy Billing:
Now enjoy the luxury of viewing details of your last 3 billing cycles and the convenience of paying your Airtel bill online! Experience complete freedom with Airtel!
Caller Identification:
Call Identification gives you the power to know the phone number of the calling party even before you answer the call, thus giving you the choice to either reject or take the call. It provides the added advantage of saving the incoming number directly in the Handset Phone Book. So that the next time you want to call the same person, you don't need to retype his number, simply use your phone book. Voice Mail: Voice Mail lets you receive messages even when your handset is switched off or when you are outside the coverage area. You can listen to your messages whenever you feel like, from anywhere in the world. Voice Mail can store up to 15 messages, with each message of one- minute duration.
STD/ISD Facility:
Now experience complete freedom like never before with Airtel! STD/ISD facility allows you to make long distance calls in India and Overseas from your cellular phone!
Postpaid tariffs:
ONE TIME CHARGES Activation Charges Membership Fee Security Deposit MONTHLY CHARGES Bill Plan Charge Monthly Rental NA Rs.99 (First bill would have an Advance Rental Charge of 1 month) Rs.50 per month To Airtel LOCAL RATES STD RATES 50-200 KM Rs.2.49/minute Rs.2.49/minute (to Mumbai) Mumbai) Rs.2.99/minute Rs.2.99/minute (to Rs.2.99/minute Rs.2.49/minute To GSM/WLL Rs.2.49/minute To Fixed Line Rs.2.49/minute Rs.500 NA Rs.500
CLIP
200-500 KM
Rs.2.49/minute Rs.2.49/minute (to Rs.2.99/minute (to Mumbai) Mumbai)Rs.2.99/minute Rs.2.99/minute Rs.2.49/minute Rs.2.49/minute (to Rs.2.99/minute (to Mumbai) Mumbai)Rs.2.99/minute Rs.2.99/minute
500+ KM
ISD
Europe, Asia, Rs.14.24/minute & SAARC Rs.17.24/minute Rs.40/minute(Sakhalin, Sao Tome & Principe, Solomon Islands, Vanuatu, Tokelau, Tuvalu, Cook Island, Diego Garcia, Cuba, Guinea Bissau, Nauru, Norfolk Island)
SMS Local National International VAS Rs.1/msg Rs.2/msg Rs.5/msg VAS SMS - Rs.3/message (inclusive Airtel Services) VAS 646, Voice Portal-Rs.6/min
200-500 KM
to Rs.2.65
500+ KM
to Rs.2.65
ISD
America, Europe, Asia, Oceania & Rs.14.24 SAARC countries Gulf countries & Africa Remaining countries Rs.17.24 Rs.40.00 (Sakhalin, Sao Tome & Principe, Solomon Islands, Vanuatu, Tokelau, Tuvalu, Cook Island, Diego Garcia, Cuba, Guinea Bissau, Nauru, Norfolk Island)
SMS Local National International VAS Rs.1 Rs.2 Rs.5 VAS SMS - Rs.3/message (inclusive Airtel Services) VAS 646, Voice Portal-Rs.6/min
200-500 KM
to Rs.2.65
500+ KM
to Rs.2.65
ISD
America, Europe, Asia, Oceania & Rs.14.24 SAARC countries Gulf countries & Africa Remaining countries SMS Local National International VAS (Airtel to Airtel .50 paise) (Airtel to Other Rs.1) Rs.2 Rs.5 VAS SMS (incl Airtel Services) Rs. 3 / message VAS 646 Voice Portal Rs. 6 / minute Rs.17.24 Rs.40
200-500 KM
to Rs.2.65
Rs.2.65 500+ KM (1.19 paise to (.50 paise Mumbai)& Rs.2 Mumbai)& Rs.2.65 to Rs.2.65
ISD America, Europe, Asia, Oceania & Rs.14.24 SAARC countries Gulf countries & Africa Remaining countries SMS Local National International VAS (Airtel to Airtel - .50 paise) (Airtel to others) Re.1 Rs.2 Rs.5 VAS SMS (incl Airtel Services) Rs. 3 / message VAS 646 Voice Portal Rs. 6 / minute Rs.17.24 Rs.40
200-500 KM
500+ KM
to Rs.2.65 &
ISD America, Europe, Asia, Oceania & Rs.14.24 SAARC countries Gulf countries & Africa Remaining countries SMS Local National International A2A @50p Other local SMS @ Re. 1 Rs.2 Rs.5 Rs.17.24 Rs.40
The philosophy of Airtel is "value creation" for its customers. Therefore, they create solutions that are flexible, scalable and robust. They are technology neutral and customer focused. The Company has a blue-chip client list. And the largest enterprises in India are our customers.
further backed by triple DES has also been provisioned, all based on world standard service level agreements (SLAs).
Airtel adds another first becomes the first private sector mobile service to launch operations in J&K:
Airtel, Indias leading mobile service today added another first to its list. The company today became the first private sector mobile service to launch its operations in J&K the state. To expand its mobile services in the state, Airtel has earmarked an investment of Rs. 125 crores during the current fiscal. The company is also responsible for generating direct employment for over 200 people and further provided indirect employment to another 1000. Airtel is the sub-continents best* and the largest GSM mobile service in the country, with close to 9 million customers. With the launch in the J&K circle, Airtels national footprint now extends to 19 telecom circles.
Airtel Becomes The First GSM Operator In The Country To Cross The 10 Million-Customer Milestones:
Airtel, Indias leading mobile service today created history by becoming the first GSM operator in India to cross the coveted 10 million-customer mark. To celebrate the milestone, Airtel announced the launch of its mobile services in Bihar. In-addition, company would also launch its services in Jharkhand within a small period. The launch in the twin states would mark the expansion of Airtel mobile services footprint in 21 out of the 23-telecom circles in the country. Taking the momentum forward, Airtel is also gearing up to launch its mobile services in Assam and North East by the end of this current fiscal. The company is thus all set to acquire an All India footprint.
In mid September 04, Bharti unveiled its unified brand strategy for all the telecom services, with Airtel as the flagship brand. The company now offers a suite of world-class telecom services & solutions ranging from wireless to fixed line, from data & broadband to long distance & enterprise services all under the Airtel brand. The unified brand has not only resulted in cost efficiencies, economies of scale and quality advantages for Bharti but has also made Airtel Indias first truly integrated telecom services brand.