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Bharti Airtel (Airtel) is one of the leading providers of telecommunications services in

India. The company offers mobile, wire line, broadband and television services. It is also
engaged in passive telecom infrastructure services business through its subsidiary,
Bharti Infratel. At the end of FY2009, it had a customer base of 93.9 million for mobile
services and 2.7 million for telemedia services. The company primarily operates in
India. It is headquartered in New Delhi, India and employs about 24,500 people.
The company recorded revenues of INR373,520.8 million ($8,150.2 million) during the
financial year ended March 2009 (FY2009), an increase of 38.3% over 2008. Increase in
revenues was mainly due to strong growth in customer base. The operating profit of the
company was INR103,219.3 million ($2,252.2 million) in FY2009, an increase of 36%
over 2008. Its net profit was INR78,589.5 million ($1,714.8 million) in FY2009, an
increase of 22.9% over 2008.
According to figures released by telecom regulator TRAI, the mobile subscriber base in
India stood at 652.42 million in July,

Airtel comes to you from Bharti Airtel Limited, one of Asia’s leading integrated telecom
services providers with operations in 19 countries across Asia and Africa. Bharti Airtel
since its inception, has been at the forefront of technology and has pioneered several
innovations in the telecom sector.

The company is structured into four strategic business units - Mobile, Telemedia,
Enterprise and Digital TV. The mobile business offers services in India, Sri Lanka and
Bangladesh. The Telemedia business provides broadband, IPTV and telephone services
in 89 Indian cities. The Digital TV business provides Direct-to-Home TV services across
India. The Enterprise business provides end-to-end telecom solutions to corporate
customers and national and international long distance services to telcos.

CUSTOMERS:
Bharti will become the world's fifth largest wireless company with operations across 18
countries. Its total customer base will reach around 179 million. Bharti Airtel is among
Asia's leading telecom service providers with operations in India, Sri Lanka and
Bangladesh. As on January 31, it had the largest market share of 23.33 percent in
India's mobile telephony segment with 121.71 million subscribers

When Bharti had started out operations (1995), the whole system was manual. Only 40
percent of the customer issues were getting resolved and it was not meeting the
customer’s expectations and had huge issues in meeting the demands of the growing
customer base
• Were not able to centralize the services and give a common brand experience
• Was hard to service customers across sectors
• Low customer retention
• Hutch’s (now Vodafone) customer service was rated far superior

Three-step program to implement new technologies, which they applied to the CRM
system
Technology, equipment and technical evaluation
Internal restructuring
Communicate and feedback
BENEFITS of CRM
Customer segmentation
Cross selling and up selling of relevant schemes
Market analytics like records of customer profiles, profile, payment history etc
Generation of accurate leads and SMS bursts that target only the right customers
based on their segmentation is
possible
First time resolution has increased from 40 % to more than 90 %
Customized and simplified bill formats, payment collection centers, network
deployments, and the activation process was enabled
Better value added services were provided
It facilitated knowledge sharing amongst employees.
Started e-billing
Online customer support on new system
Reduced cost of customer or customer acquisition cost
Customized offers based on usage profiles.
–Discounts on reaching threshold
–Recharge offers to low worth users
–Invitations to movie screenings and events
–Up selling of services to select customers
CRM automatically suggests products to customer when they announce to leave
Airtel.
Has resulted in savings because of fewer calls.

After implementation of the Oracle CRM, Airtel now implementing e-CRM(e-CRM


implementation partner is IBM)
Political Analysis:
⇒In 1985 DOT (Department of telecommunication) was trust worthy to grow up
telecommunication Industries.
⇒ Due to high taxes the tariff rate are more over high earlier.
⇒At the moment it becomes little bit low due to permit fees with income sharing plan
and extended the permit period from 10 years to 20 years.
⇒US$23 billion contract among South Africa's MTN and India's Bharti Airtel Limited
which take place after the difficult scheme concerned much interference beginning
from supporting leaders and unions.

Economical Analysis:
⇒Earlier Inflation rates were higher. Singapore Telecommunications (SingTel)
purchased additional 1.52% shares in India’s leading private telecom Bharti Airtel
limited and will pay up to INR 3008.4 crore in three part payment collection more than
18 months.
⇒SingTel supposed, it has penetrated into a unconfirmed share pay for agreement with
Bharti Group body to procure an further 7,30 thousands of issue shares in Bharti
Telecom, a supporter company of BhartiAirTel.
⇒Bharti AirTel Limited holds approximately 45.3% of the share capital of Bharti
telecom.
⇒As a result of the acquisition, SingTel’s efficient curiosity in Bharti Telecom will
increase market share in growing mobile market and has more than 110 million
customers.
⇒Bharti Airtel Limited has standard economic growth and development of India’s
economy registered a growth of 21%.
⇒(IANS) the price war in the telecom sector firm has in use of duty pay on Bharti Airtel
Limited, which place a net turnover of INR.2, 209.8 crore (INR.22.098 crore/$479 lakh)
for the section ended December 31, a modest 2.4 % rise from the year-ago period.

Social Analysis:
⇒Bharti Airtel Limited binds up with twitter in this year.
⇒Bharti Airtel Limited, the leading mobile carter in India, said it has attained a pact
with Apple (AAPL) to vend the iPhone in the upcoming month.
⇒ Bharti Airtel said it has put forward a bid to participate in the country’s 3G bandwidth
public sale; winning bidders would be permitted to offer 3G services
Government laws
• Airtel MTN deal had to be called off because govt couldn’t approve the dual identity of
the company. SA company MTN did not want to lose its identity, while acc to Indian
laws, a company cannot have two different identities in India.

• 2G auction: Two companies that got these licences in 2008—Swan Telecom and
Unitech—are allegedly under CBI investigation. Swan Telecom got the license for a
mere Rs 1,537 crore. It then sold its stake to a foreign operator at nearly three times
the amount within a few months. Unitech got the spectrum licence for Rs 1,650 crore
from the DoT, which too, sold its stake to a Norwegian company for over four times this
amount. “The end loser was the government, which could have earned thousands of
crores more,” e licences to these private companies were given on a first- come-
firstserved basis at the rates of 2001—which were very low—without any competitive
bidding. The CVC findings show the spectrum was not allocated at the present market-
driven price, no auction process was followed and no bids were invited.

• After 34 days and 183 rounds of intense bidding. The total bid price for which touched
Rs 16,750.58 crore on the 34th day of bidding. 3G spectrum auction including
amount payable by MTNL and BSNL will earn revenue of Rs 67718.95 crores to the
government. The 3G auction for 3G mobile licence ended with RCom, Bharti and Aircel
bagging 13 circles each. In this 3G auction no single operator managed to bag all 22
circles on offer.

Environmental forces

The government has launched a study to find out impact of mobile phone towers on
population of birds and bees in view of an expert's claim that their increase could wipe
out honey bees in 10 years.

The Environment Ministry has set up a 10-member expert group to study the impact
and give its report within six months on mitigatory measures, official sources said.

A panel of the ministry of environment will study the impact of radiation from mobile
phone towers. Telecom companies may have to pay dearly if it is proven that they are
impacted by electro-magnetic radiation from mobile towers. Sources said that if any
adverse impact is proven, the environment ministry will formulate guidelines for
regulating the erection of mobile towers. This will mean that the mobile phone
companies would be required to seek additional approvals for erecting the towers.

Competitors:
Telecom:

Mobile:
• Vodafone and other competitors own towers. Bharti Airtel is embarking on another
joint venture with Vodafone Essar and Idea Cellular to create a new independent
tower company called Indus Towers.
• Airtel and Vodafone seem to be having an on/off relationship. Vodafone which
owned a 5.6% stake in the Airtel business sold it back to Airtel, and instead
invested in its rival Hutchison Essar.
• Small players like Uninor, MTS altering the scenario, increasing competition.
Landline:
BSNL, MTNL, Relaiance and TATA telcom.
Providing value added services like broadband

Digital TV
Leader in North India. Stiff competition in South India, Mumbai and Delhi from Sun direct
and TATA Sky.

Distribution network
Channel structure, members and their selection
Airtel has a wide & effectively spread channel structure all over India. The channel
structure is simple and effective. Complications are kept out in order to make the overall
process very effective and efficient.

CHANNEL STRUCTURE
This channel structure of Airtel is a regional one.

TERRITOTY MANAGER
The distributors include those who handle
1)Provisioning 2)Documents 3)Operation back up 4)Field sales executives

Selection of channel members/dealers


Airtel follows a strict policy in selection of the dealers, and therefore it is necessary to
fulfill the following pre- requisites to be eligible to become a dealer:
1. The dealers should have a sound financial background. The financial capability of a
dealer is solely depended on the discretion of the company officials.
2. The dealers should have a good market reputation, since the dealers help the
customers in forming the first impression a customer has about the company.
3. The dealer should have a good previous track record,i.e of timely payments, no
criminal background etc.
4. The dealers should have good market penetration. The companies ability to gain
maximum customers in this era of competition solely depends on the penetration
the dealers have in the market.
5. The last criterion of dealers selection for Airtel is the area the dealers cover. This
would include different geographical areas which are covered by a dealer.

RESPONSIBILITIES AND FUNCTIONS OF THE DEALERS


Airtel believes in “Customer Loyalty” and thus Airtel expects that their dealers apart
from selling paint products should perform the following functions for better customer
relations’ management:
1. Sales promotion through regular promotional schemes, road shows, campaigns
etc. the expenses incurred by the dealers is shared by the company only if these
activities are for promotion of the company and not of the dealer.
2. Recruitment- done under the guidance of certain Airtel officials
3. Training and development of manpower with company assistance
4. Servicing according to the size of orders
5. Customer relation management
6. Promote other products of the company
The dealer should be in regular touch with the customer, keep taking his feedback and
ensure maximum customer satisfaction. The dealer should also try and convince the
customer to try newer product’s of the company.
The dealer has to thus cater to 3 major areas:
• Pre sale
• Selling
• Post sale services

SALES KIT:
A dealer should carry the following in his sales kit:
•  All products leaflets (adequate quantities)
•  List of prospects with their addresses
•  Information about the competition in the market
•  Price list of APL products and corresponding prices of competitor products
•  Shade cards

PERFORMANCE APPRAISAL
For the dealers-
Airtel involves both external and internal agencies which conduct this survey on a
monthly basis.

MARGINS
The company gives margins at the time of sale of the product. The margin varies
according to the type of the product.

PROMOTIONAL ACTIVITIES
Airtel actively supports its cannel members with promotional activities.Airtel helps
performing these activities on a daily basis ..Further these are divide in to different levels
which are Zonal level-zonal staff is involved in this. These include various kinds of road
shows.
Circle level-This has the FM radio and local news papers.
National level-National dailies, cricket match sponsorships,tele media
Airtel collects feedback from its channel members on a daily basis.
Airtel rates/ranks its channel members on aspects such as
1. Dealers efficiency
2. Timely payment
3. Transporters behaviour an excellent and strongly believes that they are the best
because of their channel members.
Airtel had market surveys with respect to their channel members and general market
surveys.

Demographic factors

Operators in India have rolled out the networks very swiftly and rolled out distribution
close to customers, including their homes and offices.

The youth segment is going to develop. According to demographic analysis, young


people are the highest percentage of the population in India. As many Asian countries
are aging, the Indian population is becoming younger. The youth segment is important
for all of the telecom operators in India including Airtel.

Rural economic prosperity is going up in India. In India, close to half of the economy is
rural, and it is a cash economy. The money doesn' t go through banks. Airtel has covered
about 400 thousand out of a total of 600 thousand villages.

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