MANGALMAY INSTITUTE OF MANAGEMENT & TECHNOLOGY

GREATER NOIDA (UP)

A
RESEARCH PROJECT REPORT
On
“A STUDY ON MARKETING STRATEGIES OF
AIRTEL.”
For The Partial Fulfillment Of The
Requirement For The Award Of The Degree Of
BACHELOR OF BUSINESS ADMINISTRATION

SUBMITTED TO: SUBMITTED BY:

DR.GAZAL SINGH ANKIT KUMAR

CHAUDHARY CHARAN SINGH UNIVERSITY MEERUT

 Mangalmay Institute of Management & Technology
AN INSTITUTION OF MANGALMAY FOUNDATION TRUST
Campus: 8 & 9, Knowledge Park – II, Greater Noida (U.P.) Ph: 0120-2320400, 2320401, 2320680

Institution Office : C – 116, Sector – 39, Noida – 201301 (U.P) Ph: 0120-2500381, 2572237, 2570428

e-mail: info@mangalmay.org, Visit us at: www.mangalmay.org

CERTIFICATE

This is to certify that Mr. Ankit Kumar , University Roll No. R190992105050 is a regular

student of BBA 3rdYear, full time degree course at out institute. His/her Project Report work

titled, “A STUDY OF MARKETING STRATEGIES OF AIRTEL ” submitted as part of the

curriculum for the award of the degree of Bachelor of Business Administration from C.C.S.

University, Meerut , is an original work done by him/her. This work has not been submitted

earlier in any form partially or fully to this or any other Institute/University for any degree or

diploma.

(DR.RAJ KUMAR) (Name of Director)

Head of Department Director
 Date: / /

Internal Guide Certificate

[Please attach signed copy of this certificate in the report]

“This is to Certify that this Project Work Report Titled “A STUDY ON MARKETING
STRATEGIES OF AIRTEL ” is the bonafide work of ANKIT KUMAR M19127384 who
has/have carried out his / her / their project under my supervision. I also certify
further, that to the best of my knowledge the work reported herein does not form
part of any other project report or dissertation on the basis of which a degree or
award was conferred on an earlier occasion on this or any other candidate. I have
also checked the plagiarism extent of this report which is ……… % and it is below
the prescribed limit of 30%. The separate plagiarism report in the form of html
/pdf file is enclosed with this.

Rating of Project Report [A/B/C/D/E]:

(A=Excellent; B=Good; C=Average; D=Poor;
E=Worst) (By Faculty Guide)

Signature of the Faculty Guide/s

Name and Designation Guide/s)

Signature of Director with Stamp of Institute

(Name of Director)
 Student(s)’s Declaration

I hereby declare that the Project Work Titled “A STUDY ON MARKETING

STRATEGIES OF AIRTEL” . This project is a result of my own work and my
indebtedness to other work publications, references, if any, has been duly
acknowledged. If I am found guilty of copying from any other report or
published information and showing as my original work, or extending plagiarism
limit, I understand that I shall be liable and punishable by the university, which
may include ‘Fail’ in examination or any other punishment that university may
decide.

Enrollment no. Name Signature

M19127384 ANKIT KUMAR

Place: Date: __/__/____

 PREFACE

Bachelor of Business Administration is one of the most reputed professional

course in the field of Management. This Course include both Theory and
Application as part of the Three Year Curriculum.

Apart from Management Education, the student of “Bachelor of Business

Administration” (BBA) program are required to go under a practical training in
the organization of repute.
This study is an exercise of exposing students to the market where they can
experience to observe the principle and concepts of marketing applicable in the
real market situation.

During the Acedamic Year the students are require to under go Summer
Training for 6 to 8 weeks. In this regard, I have under gone my Summer Training
at BHARTI AIRTEL LTD. There I was given this project on “A STUDY ON
MARKETING STRATEGIES ON AIRTEL ”
 ACKNOWLEDGEMENT

I acknowledge the sincere assistance provided to me from several rather

unexpected quarters during the course of execution of this study. It would be a
mammoth task to place on record my gratitude to each and every one of them but
a whole hearted attempt would be made nevertheless, least I be branded
ungrateful.

I am extremely thankful to GUIDANCE AT AIRTEL for giving me an opportunity to

undergo training in BHARTI AIRTEL MARKETING and making my stay at AIRTEL
MARKETING a memorable learning experience.

Where the emotions are involved words cease to work. I am deeply indebt to
---------------------- for her encouragement, affections, valuable advice and guidance
that helped me to complete this project successfully.
 EXECUTIVE SUMMARY

The project aims at understanding the Marketing

strategies at Airtel and its impact on the perception of
Airtel Cellular Services.
Research has demonstrated conclusively that it is far more costly
to win a new customer than it is to maintain an existing one. And
there is no better way to retain a customer than to exceed his
expectations.

For this purpose it is essential to know the level of customer

satisfaction. The focus of my research was the measurement of
customer satisfaction level for the services provided by Bharti
Airtel. The research was done for the corporate clients of Bharti
Airtel. My job was not only to represent the Corporate Sales Dept.
and collect the feedback from the clients but also to get the major
complaints resolved through internal counselling. There can be no
better opportunity to interact with the external as well as the
internal customers of an organization. Finally the results of the
research verify the fact that keeping the customer satisfied is the
best strategy to not only retain the existing customers but also to
expand the business to new horizons.
 TABLE OF CONTENTS

1. TELECOMMUNICATION MARKET IN INDIA

2. GSM MARKET IN INDIA
3. INTRODUCTION
4. TARIFF STRUCTURE
5. PROMOTIONAL STRATEGY
6. MARKET SITUATION
7. COMPETITIVE SITUATION
8. MARKETING STRATEGY ADAPTED BY BHARTI
9. OBJECTIVE
10. RESEARCH METHODOLOGY
11. LIMITATION
12. SWOT ANALYSIS
13. CONCLUSION
1. BIBLIOGRAPHY

2. QUESTIONNAIRE
 INTRODUCTION TO THE TOPIC

TELECOMMUNICATION MARKET IN INDIA

The Indian telecommunications Network with 250m telephone connections is the fifth largest
in the world and is the second largest among the emerging economies of Asia. Today it is the
fastest growing market in the world and represents unique opportunities for UK companies in
the stagnant global scenario. Tele-density, which was languishing at 2% in 1999, has shown an
impressive jump to 9.5% in 2006 and 10.5% in 2007 and is set to increase to 20% in the next
five years beating the Govt. target by three years. Accordingly, India requires incremental
investments of USD 20-25 bln for the next five years.

Private operators have made mobile telephony the fastest growing

(over 164% p.a.) in India. With more than 33 million users (both CDMA and GSM), wireless is
the principal growth engine of the Indian telecom industry. Given the current growth trends,
cellular connections in India will surpass fixed line by late 2004/early
2005. Intense competition between the four main private groups –

Bharti, Vodafone, Tata and Reliance and with the State sector incumbents-BSNL and MTNL has
brought about a significant drop in tariffs. There has been almost 74% in cell phone charges,
70% in ILD calls and 25% drop in NLD charges, resulting in a boom time for the consumers.

The Government has played a key enabling role by deregulating and liberalising the industry,
ushering in competition and paving the way for growth. While there were regulatory
irregularities earlier, resulting in litigation, these have all been addressed now. Customs duties
on hardware and mobile handsets have been reduced from 14 percent to 5 percent.

The Indian government has merged the IT and Telecom Ministries to speed up reforms and
decision on the Communication Convergence Bill to enable the common regulation of the
Internet, broadcasting and telecoms will be taken after the new Government assumes
responsibilities in may this year. An independent regulatory body (TRAI) and dispute
settlement body (TDSAT) is fully functional.
 INDIAN CELLULAR MARKET

The Bharti Group, which operates in 23 circles, continues to be the country's largest cellular operator, with 50
lakh subscribers. BSNL, which operates in 22 circles, has a subscriber base of 37 lakh subscribers. Thus BSNL
stands second largest cellular operator in terms of subscriber base at the end of the fiscal ending March 31,
2007, displacing Vodafone from the second position.

Vodafone, which operates in only eighteen circles, is the third largest operator with a subscriber base of 32
lakh. Unlike fellow public sector undertaking, MTNL, which operates in Mumbai and Delhi, BSNL has been a
very aggressive player in the market. "Cellular operators who expected BSNL to go the MTNL way, were taken
by surprise and did not take effective steps to counter it, till it was too late in the day," said a telecom analyst.

Belying fears of a slowdown in cellular subscriber acquisitions, the cell club has reported a 7.92% growth, the
highest growth in any month so far, during March 2005. Year-on-year, the cellular subscriber base in the
country has almost doubled in March 2005, and is expanding at the rate of 25% per year thereafter.

The cellular subscriber club expanded by 21.31 lakh last month.

This is much higher than 5.9 lakh subscribers added in February
2005 and 2.13 lakh in January 2005. Idea, which operates in Seven circles, is the fourth largest operator with a
subscriber base of 17.80 lakh, higher than BPL's 11.31 lakh subscribers across four circles. The subscriber
numbers per operator drop sharply with the sixth largest operator, Spice Communications, having a subscriber
base of 9.40 lakh, followed by Reliance Telecom's 8.9 lakh subscribers. MTNL is the ninth largest operator,
with a base of 8.32 lakh subscribers.

While the subscriber base-jumped by 3.38% to 44.39 lakh in the metros, subscriber base of category A circles
of Maharashtra, Gujarat, Andhra Pradesh, Karnataka and Tamil Nadu jumped by
10.18 % to reach 43.64 lakh. Category B circles of Kerala, Punjab,
Haryana, Uttar Pradesh (West), Uttar Pradesh (East), Rajasthan, Madhya Pradesh and West Bengal recorded a
jump of 10.69%, with a total base of 33.74 lakh subscribers. Circle C has reported 12.74 % growth with
subscriber numbers jumping to 5.08 lakh.

Among the metros, while Mumbai added 1,63,180 subscribers, higher than the 1,58,646 added by Delhi, the
Capital's cellular subscriber base of over 80 lakh is still higher than Mumbai's 66.89 lakh. While the cellular
industry has been on roll for the first three quarters of the previous financial year with an average of 16.75
lakh monthly additions in the third quarter, the first two months of
2007 had seen the growth slowing down.
GSM MARKET IN INDIA

Regional Interest Groups - GSM India

With a population of around 1.1 billion growing at roughly 1.7 per cent a year, India is
potentially one of the most exciting GSM markets in the world. After two rather difficult years,
the past 12 months have seen the region's promise beginning to come to fruition. Much of this
success can be attributed to the stabilisation of the licensing and regulatory environment.

India's telecommunications have undergone a steady liberalisation since 1994 when the Indian
government first sought private investment in the sector. More significant liberalisation
followed in
1996 with the licensing of new local fixed line and mobile service providers. However, it has
been the government's New Telecom Policy (1999) that has had the most radical impact on
the development of GSM services. 'The policy's mission statement is 'affordable
communications for all', There is a genuine commitment to creating a modern and efficient
communications infrastructure that takes account of the convergence of telecom, IT and
media. In addition, the policy places significant emphasis on greater competition for both fixed
and mobile services.'

Competition in the mobile sector has already had a visible impact on prices with calls currently
costing less than 9 cents per minute. This means that service costs have fallen by 60 per cent
since the first GSM networks became live in 1995. It also helps explain why a recent Telecom
Asia survey revealed that more than 70 per cent of Indian mobile subscribers felt that prices
were now at a reasonable level.
One of the challenges facing GSM operators in India is the diversity of the coverage regions -
from remote rural regions to some of the most densely populated metropolitan areas in the
world. India has more than 40 networks, which cover the seven largest cities, over 7000 towns
and several Lacs villages. Such depth of coverage has required enormous investment from
India's operators. It is estimated that more than Rs200 billion had been invested in India's GSM
industry by mid-2000, a figure that is set to be supplemented by a further Rs. 300 billion over
the next five years.

The good news is that subscriber growth is beginning to look healthy. With India's low PC penetration and high
average Internet usage -at 14-20 hours a month per user it is comparable to the US -the market for mobile
data and m-commerce looks extremely promising. WAP services have already been launched in the
subcontinent and the first GPRS networks are in the process of being rolled out. In the year ahead, GSM India
will work with its members to realise the potential of early packet services in anticipation of the award of
3GSM licences.

India fastest growing GSM mart

India is expected to have 145 million GSM (global system for mobile communications) customers by 2007-08
compared to 26 million subscribers as on March 2005, according to the Global Mobile Suppliers Association.
"For GSM, India is a success story. It is one of the fastest growing markets with its subscriber base doubling in
2005. At this pace, the target of 150 million subscribers by 2007-2008 is definitely achievable," Alan Hadden,
president of GSA, said at a news conference in New Delhi. Globally, the GSM market reached 1 billion users in
February 2005, he said, adding GSM accounted for 80 per cent of the new subscriber growth in 2005."Almost
every Latin American operator has chosen GSM. In North America GSM growth is bigger than CDMA (code
division multiple access)," he said. Commenting on the raging debate over GSM versus CDMA in mobile
services arena, Hadden said: "GSM is the world's most successful mobile standard with over 1 billion users,
and is an open mobile standard. It also supports automatic international roaming, which is a major contributor
to business plans."

India’s GSM mobile firms’ revenue up 30 pct

India‟s private telecoms firms offering GSM-based mobile services reported a 24 percent rise in revenue in the
year to March 2007 but said future growth rates could slow because of heavy taxes on the nascent industry.
Although India‟s mobile sector is the world‟s fastest growing major wireless market, it is amongst the highest
taxed industries in the country. Mobile carriers pay as much as 25 percent of their revenue as licence fee,
spectrum charges and other taxes. The Cellular Operators Association of India (COAI) said revenue for fiscal
2003/04 stood at 83.08 billion rupees ($1.86 billion) compared with 64 billion rupees a year earlier. According
to T.V. Ramachandran, director general at COAI, “These revenue growth rates cannot be maintained unless
there is a concerted effort by the government to cut excessive levies and allow sharing of infrastructure”

“But the potential to do much better exists as there is still huge demand in the sector.” Ramachandran said
the sector was still losing money but declined to elaborate. Sales jumped because of a doubling of the GSM
(Global System of Mobile Communications) user base as more people entered the flourishing market thanks to
one of the lowest call rates in the world. But the monthly average revenue per user, a key measure of
profitability, declined 17.4 percent to 432 rupees in the fourth quarter compared with 523 rupees in the first
quarter due to a cut in tariffs and excessive competition among companies. Growth slowing, demand
untapped: The association has not included the financial performance and the GSM-user base of state-run
firms Bharat
Sanchar Nigam Ltd, the second-ranked player, and Mahanagar Telephone Nigam Ltd, Ramachandran said.
There are 150 million GSM customers and more than 96 million users of the rival CDMAbased mobile services
in the country.
The pace of growth in monthly additions is slowing after just 1.25 million users took up the
service in April compared with
1.9 million in the previous month and 1.63 million in February.
Ramachandran blamed the slowdown on a majority of small GSM operators being unable to expand networks
into rural swathes where demand remained largely untapped.
“Our surpluses are not enough to cover costs of network expansion and financing charges on loans. We are
making money only to cover operating expenses,” he said. Carriers are now subsidising handset costs to woo
users into the underpenetrated industry forecast to have more than 250 million customers by 2007. Roughly
three percent of Indians own a mobile phone compared with about 20 percent in China. About a dozen firms
such as
Bharti Airtel Ltd, 28 percent owned by Singapore
Telecommunications, Reliance Infocomm Ltd and the Indian GSMunit of Vodafone group
battle in the hotly competitive sector.
DOES GSM HAVE THE EDGE?

GSM operators are not the only ones who are worried about the rapid strides made by CDMA mobile players
Reliance Infocomm and Tata Indicom in the Indian cellular market?
The GSM suppliers – both handset and equipment - who
incidentally also have their other foot firmly placed in the CDMA pie, are beginning to lose some sleep over
what was earlier termed as `niche‟ and `minuscule‟ data carriage market by the operators Apart from the
strong success of the two CDMA operators whose networks are based on code division multiple access
(CDMA), the miserable showing of the four global standard for mobile (GSM) based networks that launched
general packet radio service (GPRS) service for data connectivity in last three years, has the vendors worried.
Global mobile Suppliers Association (GSA) now believes that even though India will primarily remain a voice
traffic-led market in next two-three years, the data traffic component will grow by 25-30 per cent, an
optimism that it‟s trying to make GSM operators feel as well.
THE CDMA CHALLENGE

CDMA players had launched their services with CDMA 2000 1Xbased networks, which can give hi-speed,
always-on connectivity to the Internet, and other data services. GSM operators, on the other hand, have had
to migrate from the frustrating experience of WAP
(wireless application protocol) to GPRS, which has not significantly improved the subscriber‟s experience of
surfing the Net on/from mobile.
The top brass of GSA, an organisation comprising Nokia, Siemens, Ericsson, Alcatel and Lucent Technologies -
met on Tuesday in the capital to persuade the operators to adopt EDGE (Enhanced Data rates for GSM
Evolution) and leave GPRS behind as a dream gone sour.
Only Airtel, Vodafone, BPL Mobile and Idea Cellular had launched
GPRS, but the data transfer speeds of GPRS have been abysmal. The field trials gave a speed of around 54
kbps, but the actual speeds have not exceeded 14-18 kbps, a major reason why GPRS growth has been so
slow. As against the total GSM cellular base of 5.61 crore, the country has between 2,80,000 lakh GPRS users
only. In comparison, the two CDMA operators have about 120 lakh connections. All these sets are data
compliant. Though no figures are available as to how many use these for data services, the figure is believed to
be respectable as a percentage ratio for CDMA.

Bharti is almost there

But first, the EDGE! Bharti Cellular is close to commercially launching its EDGE service in Delhi and Mumbai by
end May or early June, sources said. The company was the first to conduct field trials in November with its
equipment supplier Ericsson. Idea too held EDGE field trials in February this year with its vendor Nokia.
Vodafone and BPL are yet to hold the trials. The two companies would eventually migrate to EDGE, but
perhaps after seeing the response to Bharti‟s service.
EDGE holds the promise of delivering data speeds of around 170180 kbps (as against the theoretical speed of
around 380 kbps) which, if achieved, promises the launch of many data applications. The scalable cost of
migrating from GPRS to EDGE is not too high and mainly comprises software upgrades in case of a modern
network such as Bharti and Hutch, claimed chairman of GSA India chapter Rakesh Malik.

Will GSM maintain its headstart?

At the GSM Evolution Forum held in New Delhi, GSA president Alan Hadden predicted that GSM growth will
far outstrip CDMA as was happening globally. He felt India could have as many as 200 million GSM subscribers
by 2007-2008, up from nine million in December 2004. According to GSA, there are over 1.1 billion GSM
subscribers worldwide as against 250 million CDMA customers. The revenue of top 25 global operators from
data averages 18 per cent and 22 of these operators run GSM networks. Overall, there are 76 operators in 50
countries that have committed to deploy
EDGE.
Almost every country has a GSM-based network and even those US operators, which operated on now-
defunct TDMA technology, were migrating gradually to GSM, not CDMA, pointed out Hadden at the GSM
Evolution Forum. The Forum is a global GSA program to assist the operators for evolution to third generation
(3G) technologies. “People are using their phones for much more than voice. Fifteen networks have
commercially launched EDGE as it can run 3G like services in the existing spectrum for the operators without
needing a 3G license. Even the migration to a full-fledged 3G level of Wideband CDMA (WCDMA) will be
smooth with EDGE,” said Hadden.
“Besides, the automatic roaming provided by GSM networks in almost 200 countries is a power that CDMA
doesn‟t give you. We know for sure that almost 20-25 per cent of the revenue for some GSM operators comes
from roaming customers,” he added. But CDMA is no pushover with Korea and Philippines as the shining
jewels in its crown. The first CDMA 2000 1X was commercially deployed in October 2000.

Already, 81 operators have launched 77 CDMA 2000 1X networks whereas nine have launched services based
on 1xEV-DO platform across Asia, the Americas and Europe. At least, 16 new 1X and six
1xEV-DO networks are scheduled to be deployed in 2004, according to CDMA Development Group. EV-DO and
EV-DV are the next level of evolution on the CDMA 2000 1X platform, capable of delivering services
comparable to 3G WCDMA.

Where are the models?

What will matter a lot in this war will be the availability of EDGE compliant handsets at affordable rates. While
the two CDMA operators have been giving out handsets that can give hi-speed data transfer, same has not
been the case with GSM. Even now, GPRS handsets have not become commonplace and GPRS feature is found
only in mid and high-end segment handsets.

End sum game

When the networks deploy EDGE, subscribers can expect the delivery of advanced mobile services such as
easy downloading of video and music clips, full multimedia messaging, besides highspeed Internet and e-mail
access, provided their handset supports
all this.
But the real cruncher will be the migration at a later stage to 3G technologies such as WCDMA, EV-DO or EV-
DA as and when the government decides what to do with the 3G licences. WCDMA for example promises
delivery of a phenomenal 2 megabytes per second (mbps), equivalent to what a leased line in many middle
level corporates gives.

More importantly, WCDMA will spawn a whole new range of full motion audio-video applications, including
video telephony. GSM lobby may continue to remain gung ho over the future of their technologies over that
boosted by the American firms Qualcomm and Motorola, but Indian market could well throw an interesting
scenario that industry experts will do well to watch. In the coming months, Reliance plans to offer its CDMA
subscribers much more than what GSM players intend to deliver through their EDGE for their subscribers.

Who succeeds in this battle for mobile customer‟s eyeballs is most difficult to predict. A Korea and Japan may
not be waiting to happen in India, but India will probably be more like the Chinese market with both standards
co-existing. For now, GSM rules!
 INTRODUCTION

Airtel (Bharti Airtel Ltd.)

Bharti Airtel Limited was incorporated on July 7, 1995 for promoting investments in telecommunications
services. Its subsidiaries operate telecom services across India. Bharti Airtel is India's leading private sector
provider of telecommunications services based on a strong customer base consisting of 50 million total
customers, which constitute, 44.6 million mobile and 5.4 million fixed line customers, as of March 31, 2007.

Airtel comes to us from Bharti Airtel Limited - a part of the biggest private integrated telecom conglomerate,
Bharti Enterprises. Bharti provides a range of telecom services, which include Cellular, Basic, Internet and
recently introduced National Long Distance. Bharti also manufactures and exports telephone terminals and
cordless phones. Apart from being the largest manufacturer of telephone instruments in India, it is also the
first company to export its products to the USA. Bharti has also put its footsteps into Insurance and Retail
segment in collaboration with Multi- National giants. Bharti is the leading cellular service provider, with a
footprint in 23 states covering all four metros and more than 50 million satisfied customers.

SERVICES

Airtel Prepaid

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.
Total Cost Control

You can control your Airtel Prepaid like never before. No more rentals or deposits – simply

recharge as much as you need to from as low as Rs. 10, to as high as Rs. 10,000/-.

Pre activated STD/ISD without deposits or rentals

You can now enjoy a pre-activated STD/ISD on your Airtel Prepaid. No more paying

deposits or having a minimum balance in your account to make an STD/ISD call. Hassle-

free calls are here to stay!

Strong Network Coverage

Enjoy complete clarity when calling with Airtel‟s world-class technology and unbreakable

network coverage that spans over 23 circles across the country.

Instant Balance and Validity Enquiry

Your account balance is updated on the screen of your handset at the end of each chargeable call. You can
also call 123 from your mobile phone and listen to the voice announcement or simply dial *123#, press 'OK' or
'YES' button and your account balance will be displayed on the screen of your handset.

Recharge your Airtel Prepaid

Recharging is Easy. The calling value on your card keeps reducing as you make calls or use any other
chargeable service. Choose the Airtel Prepaid Recharge Coupon that‟s right for you, from a variety of tailor–
made recharge coupons with different denominations, which are available at a number of outlets across your
city. Simply follow the procedure mentioned below, to recharge your phone.

Prepaid Roaming
Airtel Prepaid comes preactivated with 'National Roaming', so you stay connected no matter wherever you
are. You can also send or receive MMS, check your email and access other GPRS services while roaming in
India as you would in your own city. While traveling abroad you can receive calls & send or receive SMS.

Other Services

Airtel brings you, a wide range of Services that will change the way you communicate. Try

them and discover a whole new world of fun and excitement.

Call management Services

Call waiting, call hold, call divert and Caller Line Identification Presentation – all with your Airtel prepaid
connection.

Voice Mail

When your handset is switched off, or you‟re too busy to answer the phone, Airtel Voicemail will answer your
calls and record a message. The best part is that there's no extra monthly cost for setting up Voicemail - you
just pay for the phone call when you use the service.

SMS (Short Messaging Service)

Send messages quickly and easily using text, if it's too noisy to talk or you don't have much time. It's the way
to share those interesting one-liners, important reminders and rib-tickling jokes, with anyone, anytime,
anywhere in the world.

Subscription Alerts

Get regular alerts on news, jokes, business, health and films on your Airtel mobile phone with
Subscription Services. SMS <SUB
NEWS> to 3333 for News, <SUB JOKE> for Jokes, <SUB BIZ> for Business News, <SUB SPO> for Sports Alerts &
<SUB VAASTU> for Vaastu tips.

MMS (Multi-media Messaging Service):

Jazz up your messages with pictures, images and video clippings, with MMS from Airtel! To

activate MMS on your phone, SMS 'MMS' to 56465 and save service settings.

Airtel Live!

Make your mobile the most happening entertainment destination with Airtel Live! Airtel brings you the latest
in entertainment and information services, right on your phone!
Airtel Live! WAP Services: Download the latest ring tones, games, wallpapers, videos and much more.
You can also get news clips, watch live TV and download full songs on you phone. To get Airtel Live! settings
on your phone, SMS 'Live' to 56465 and save the settings that you receive as your preferred connection. Airtel
Live! Portal can be accessed from you GPRS enabled phone, by sending a SMS 'FUN' to 56465.
Airtel Live! Voice Services: Just Dial 56465, and name the service. For e.g. say ring tones to download
your favorite ring tones. You can also choose a variety of content options like Live Cricket Commentary, latest
National / International News, Movie Reviews or Stock Market Updates.
Airtel Live! SIM Services: Access loads of fun content and exciting services like
cricket, stocks, on your phone at the touch of a few buttons with Airtel Live! SIM based
Services on your SIM card menu. To download new services on your Airtel SIM, choose the
"What's new" option under the "Airtel services" menu. Airtel Live! SMS Services:
You can enjoy a host of services by sending a keyword as an SMS to 56465! Choose
Astrology / Horoscope, Cricket, Bollywood / Hollywood / Indi Pop Ring tones.
In case you need assistance SMS, Help to 56465.

Hello Tunes

Tired of that boring old „tring tring‟ on your phone? Well now when a friend calls, you can make them groove
to the hottest new tracks burning up the music charts with Hello Tunes from Airtel! You get a wide choice of
songs in the Popular & New Arrivals categories that are updated regularly. What's more you can directly call
the number for your kind of music, e.g. call 678005 for English New and 678001 for Hindi New. This would
directly take you to your favorite artist's Hello Tunes listing.

Copy a Hello Tune

Get the tune you want, all you have to do is call 55055 and follow the simple voice instructions to copy your
favorite Hello Tunes. Once inside the copy feature, just key in the 10-digit Airtel mobile number you want to
copy the Hello Tune from and you get the same Hello Tune assigned to your number.

Gift a Hello Tune

Forget gifting chocolates, flowers and greeting cards. Say it with a song instead! Gift a

Hello Tune to that special someone. Just call 55055 and choose the song that you want

to gift. Follow the simple voice instructions and key in the 10-digit Airtel mobile number

that you want to gift the Hello Tune to. You will get an SMS notification upon successful

receipt of that gift.

Buy Music - Airtel Music Shops

Buying your favorite Hello Tune or Ring tone is as simple as recharging your phone with talk time. Simply walk
into your nearest Airtel Shop and walk out with your favorite song. Choose from Bollywood Hits to Indipop
Remixes, Hard Rock to Gujrati Garba, Bhajans to Jazz, Bhangra Beats to foot tapping Tamil Hits from a list of
more than 18000 songs.

Reach us Anytime Anywhere

In case you need assistance, dial '121' - our toll-free number, accessible from anywhere in the
country, even while roaming. You
can also send us an SMS to 121 or mail us at
121@airtelindia.com.
*In case of email, mention your mobile no. like, 9810012345, in the subject of the mail
for a quicker response.

Airtel Postpaid

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.

Easy Billing

Enjoy a host of rich features only with Airtel e-bill. Register free on „My Airtel‟ section and

view your monthly bill with call details for last three months. Sort your calls between
personal and official or analyze your usage, at the click of a button. To change your tariff

plan call our IVR at 121 and leave a request.

Easy Payment Options. Anytime Anywhere

You can choose from a host of convenient payment options only with Airtel. Walk into any Airtel relationship
centre and make your payments by cash or credit card. Drop a cheque at any of the drop boxes for making
payments or simply log on to My Airtel section and pay instantly through your credit card. You can also opt for
easy payment options like:

Standing Instructions

You can give us standing instructions to debit your credit card account for your monthly Airtel bills. All you
have to do is fill the Standing Instruction Form and mail, fax it to us or drop it any of our relationship centres

Electronic Clearing System

Fill an ECS form and mail, fax it to us or drop it any of our relationship centres to directly debit your bank
account for your monthly Airtel bill.

Pay while roaming

Airtel has introduced 'Anywhere payment' that offers you the convenience of making payments while you
roam. Walk in to any Airtel Relationship Centre in the country, make payments by cash or credit card and
enjoy uninterrupted Airtel Services.

Credit limit

Your pre-set credit limit mentioned on your monthly bill helps you keep your mobile charges in control, keeps
track of your usage and ensures that your mobile phone is not misused. Should you exceed your credit limit,
you will be informed via a voice or a non-voice message to make an interim payment and reduce your account
balance below your credit limit. You may also choose to pay us an additional refundable deposit to enhance
your credit limit or opt for our convenient payment method of Credit Card Standing instruction .You can also
make use of ECS facility.
Strong Network Coverage

Enjoy complete clarity when calling with Airtel .It offers you world class technology and unbreakable network
coverage that spans over 23 circles across the country.

Long Distance Calling Facility

Call long distance calls in India and Overseas with STD / ISD facility on your Airtel phone.

Widest Roaming - National and International

Airtel's roaming service allows you to stay connected and use your mobile phone to make

or receive calls from almost anywhere in India and also over 160 countries, abroad.

GPRS - Roaming

Use Airtel Postpaid's GPRS services, while roaming, to access the internet and office mails (eg.

BlackBerry services), from almost anywhere in India and abroad.

Say it. In more than just words, with Services from Airtel

Airtel brings you a wide range of Services that will change the way you communicate. Try

them and discover a whole new world of fun and excitement.

Call management Services

Call waiting, call hold, call divert and Caller Line Identification Presentation, help you do

more with your Airtel Postpaid connection!

Conference call
You can hold a teleconference with 5 people simultaneously with Call Conferencing service from Airtel. In fact,
you can set up a conference even when the other five are using a landline phone. To know more, call customer
service at 121.

Missed call alert

A missed call alert is a SMS that you will receive for all the calls that you missed. The SMS will detail the CLI
and the time when the call was made. To activate, dial *135*2# then press the call button and wait for the
request to be completed.

Voice Mail

When your handset is switched off, or you‟re too busy to answer the phone, Airtel Voicemail will answer your
calls and record a message. The best part is that there's no extra monthly cost for setting up Voicemail - you
just pay for the phone call when you use the service.

SMS (Short Messaging Service)

Send messages quickly and easily, using text, if it's too noisy to talk or you don't have much time. It's the way
to Share those interesting one-liners, important reminders and rib-tickling jokes, with anyone, anytime,
anywhere in the world.

Subscription Alerts

Get regular alerts on news, jokes, business, health and films on your Airtel mobile phone with Subscription
Services. SMS <SUB NEWS> for News, <SUB JOKE> for Jokes, <SUB BIZ> for Business News, <SUB SPO> for
Sports Alerts & <SUB VAASTU> for Vaastu tips to 3333.

MMS (Multi-media Messaging Service):

Jazz up your messages with pictures, images and video clippings, with MMS from Airtel! To activate MMS on
your phone, SMS 'MMS' to 56465 and save service settings.

Airtel Live!
Make your mobile the most happening entertainment destination with Airtel Live! Airtel brings you the latest
in entertainment and information services, right on your phone!
Airtel Live! WAP Services: Download the latest ringtones, games, wallpapers, videos and much
more. You can also get news clips, watch live TV and download full songs on you phone! To get Airtel Live!
settings on your phone SMS 'Live' to 56465 and save the settings that you receive as your preferred
connection. Airtel Live! Portal can be accessed from you GPRS enabled phone, by sending a SMS 'FUN' to
56465.

Airtel Live! Voice Services: Just Dial 56465 and say the name of the service. For e.g. say „Ring
tones‟ to download your favourite ring tones. You can also choose a variety of content options like
Live Cricket Commentary, latest National / International News, Movie Reviews or Stock Market
Updates.

Airtel Live! SIM Services: Access loads of fun content and exciting services like cricket, stocks, on
your phone at the touch of a few buttons with Airtel Live! SIM based Services on your SIM card menu. To
download new services on your Airtel SIM, choose the "What's new" option under the "Airtel services" menu.

Airtel Live! SMS Services: You can enjoy a host of services by sending a keyword as an
SMS to 56465 ! Choose Astrology /
Horoscope, Cricket, Bollywood / Hollywood / Indi Pop Ring tones.
In case you need assistance SMS „Help‟ to 56465.

GPRS (General Packet Radio Services)

Log on to the internet, with GPRS that allows data transmission at a higher speed. Access e-mails and internet
across Airtel's panIndia presence using 'Mobile Office' with your phone or a phone and laptop both.

Get the EDGE

Browse the internet on your mobile phone with Airtel's EDGE services. Enjoy live TV, enhanced WAP
experience and Airtel Data Cards on our high speed network.

Hello Tunes

Tired of that boring old „tring tring‟ on your phone? Well now when a friend calls, you can make them groove
to the hottest new tracks burning up the music charts with Hello Tunes from Airtel! You get a wide choice of
songs in the Popular & New Arrivals categories that are updated regularly. What's more, you can directly call
the number for your kind of music, e.g. call 678005 for „English New‟ and 678001 for „Hindi New‟. This would
directly take you to your favourite artist's Hello Tunes listing.

Copy a Hello Tunes

Like a tune you want, all you have to do is call 55055 and follow the simple voice instructions to copy your
favourite Hello Tunes. Once inside the copy feature, just key in the 10-digit Airtel mobile number you want to
copy the Hello Tune from and you get the same Hello Tune assigned to your number.

Gift a Hello Tunes

Forget gifting chocolates, flowers and greeting cards. Say it with a song instead! Gift a Hello Tune to that
special someone. Just call 55055 and choose the song that you want to gift. Follow the simple voice
instructions and key in the 10-digit Airtel mobile number that you want to gift the Hello Tune to. You will get
an SMS notification upon successful receipt of that gift.

Buy Music - Airtel Music Shops

Buying your favourite Hello Tune or Ringtone is as simple as recharging your phone with talktime. Simply walk
into your nearest Airtel Shop and walk out with your favourite song. Choose from Bollywood Hits to Indipop
Remixes, Hard Rock to Gujrati Garba, Bhajans to Jazz, Bhangra Beats to foot tapping Tamil Hits from a list of
more than 18000 songs.

Reach us, Anytime Anywhere

In case you need assistance, dial '121' - our toll-free number, accessible

from anywhere in the country, even while roaming. *In case of email,

mention your mobile no. like 9810012345 in the subject of the mail for a

quicker response. TARIFF STRUCTURE

Prepaid Tariffs

Airtel Prepaid Ready Cellular Card and Recharge Cards are available, all over the city at over retail outlets
including 24-hour outlets. Airtel Prepaid Ready Cellular Card and Recharge Cards are available, all over the city
at over retail outlets including 24-hour outlets.

Airtel Prepaid Regular

*Rs 50 Local Airtel-Airtel Mobile talktime per month for 6 months
* First month Airtel-Airtel credit within 72hrs of activation & balance credit by 1st week of every *The SMS charge as
applicable is per 160 characters * Validity- 24 months.

POSTPAID
Airtel Postpaid allows you to choose from a variety of affordable talk plans, convenient
payment options and host of rich features.
So get set to enjoy a world of limitless possibilities!
Reference Tarif Packages (RTP)

ON TIME CHARGES
Activation Charges Rs. 250
Membership Fee Rs. 250
Security Deposit NA
MONTHLY CHARGES (FIXED) Rs. 524
Bill plan Charge Rs. 444
Monthly Rental Rs. 150
Clip NA
MONTHLY CHARGES (OPTIONAL)
Clip Rs. 99
Airtel GSM / Landline /
CDMA (10 WLL
Digit)
Local Rates Rs. 1.99 Rs 1.99 Rs 1.99
STD RATES
50 – 200 Km
200 – 500 Km
500 + Km
ISD
USA, Canda, Europe (Fixed Line), Rs. 7.20
Austalia, Singapore, Hong Kong,
Thailand, Malaysia, Indonesia, new
Zealand
Gulf, Europe (Mobile), SAARC Countries, Rs 9.99
Africa & Rest of the world
Cuba, Sao tome & Principle, Guinea Bissau, Rs. 40.00
Diego Garcia, Nauru, Solomon Islands,
Vanuatu, Cook Island, Tuvalu, Tokelau,

Norfolk Island, Sakhalin

SMS
Local Rs. 1.00
National Rs. 2.00
International Rs. 5.00
Value Added Services (Rs.) Rs. 3.00

Airtel One Standard 150

ONE TIME CHARGES

Activation Charges Rs 250
Membership Fee Rs 250 (Converts into security after
24 months)
Security Deposit NA
MONTHLY CHARGES (FIXED) Rs. 150
Bill Plan Charge Rs. 50
Monthly Rental Rs. 150
Clip NA
MONTHLY CHARGES (OPTIONAL)
Clip Rs. 50
Bissau, Diego Garcia, Nauru, Solomon
Islands, Vanuatu, Cook

Islands, Tuvalu, Tokelau, Norfolk

Island, Sakhalin
SMS
Local Rs 1.00
National Rs 2.00
Intentional Rs. 5.00
VAS Rs. 3.00
 This Bill Plan is also available under Advance Rental of Rs. 799 for 2 years.

Local Pack
Airtel to other local mobiles (non Airtel) At Rs 1 / min
 Monthly rental Rs 25 per months/-

 STD Pack

Airtel to other mobiles (non Airtel) & fixed lines nos. at Rs 2 / min.
 Monthly rental Rs 75 per month/-

 Special offer for Airtel Telephone service customers for availing Airtel Mobile
services

If you already have Airtel Telephone service, you can buy a new Airtel Mobile
connection under Airtel One Standard 150
Plan.

Benefits:

 Non security deposit.

 No membership / activation fee

 Enjoy calls to your Airtel fixed line no. at just 50 P / min.

 Monthly rent of Rs 25 for reduced call rates to your Airtel fixed line has been waived off for 1 year.

For details, call us 516-12345

Advance Rental benefits (1year scheme)

Pay an advance rent of Rs 499 and enjoy Airtel One Standard 150 plan at Zero monthly rental
for one year.
Advance rental of Rs 499 gives you a rental discount of Rs 150 every month for the next 2 months. All other
options and charges are as per the existing Airtel One Standard 150 Plan.
Airtel one Standard 299

ONE TIME CHARGES

Activation Charges Rs 250
Membership Fee Rs 250 (Converts into security after
24 months)
Security Deposit NA
MONTHLY CHARGES (FIXED) Rs 299
Bill Plan Charge Rs. 150
Monthly Rental Rs. 299
Clip NA
MONTHLY CHARGES (OPTIONAL)
Clip Rs. 50
Airtel GSM / Landline /
CDMA (10 WLL
Digit)
LOCAL RATES Re. 1.00 Rs. 1.00 Rs. 1.00
STD RATES
50-200Km Rs. 2.00 Rs. 2.40 Rs. 2.40
200 – 500 Km Rs. 2.00 Rs. 2.40 Rs. 2.40
500 + Km Rs. 2.00 Rs. 2.40 Rs. 2.40
ISD
USA, Canda, Europe (Fixed Line), Rs. 7.20
Austalia, Singapore, Hong Kong,
Thailand, Malaysia, Indonesia, new
Zealand
Gulf, Europe (Mobile), SAARC Countries, Rs 9.99
Africa & Rest of the world
Cuba, Sao tome & Principle, Guinea Bissau, Rs. 40.00
Diego Garcia, Nauru, Solomon Islands,
Vanuatu, Cook Island, Tuvalu, Tokelau,

Norfolk Island, Sakhalin

SMS
Local Rs. 1.00
National Rs. 2.00
International Rs. 5.00
Value Added Services (Rs.) Rs. 3.00

You also enjoy 25 FREE local mobile to mobile SMS Senior Citizen Plan

ONE TIME CHARGES

Activation Charges Rs. 250
Membership Fee Rs. 250 (Concerts into security deposit after
24 months)

Security Deposit NA
MONTHLY CHARGES (FIXED) Rs. 150
Bill Plan Charge Rs. 51
Monthly Rental Rs. 99
Clip NA
Cuba, Sao Tome & Principle, Guinea Bissau,
Diego Garcia, Nauru, Solomon Islands,
Vanuatu, Cook Islands, Tuvalu, Tokelau,

Norfolk Island, Sakhalin

SMS
Local Rs. 1.50
National Rs. 2.00
International Rs. 5.00
VAS Rs. 3.00
With Senior Citizen Plan You can take 3 Friends and Family numbers:

 Airtel to Airtel (1local no.) – Rs. 0.5 / min.

 Airtel to Airtel (1 STD no.) – Rs 1.5 / min

 ISD calls to US / Canada / South East Asia / Australia / New

Zealand) – Rs. 9.99 / min

You also get FREE alert subscription worth Rs 30 / alert or 3 months on:

 News

 Astrology

 Health Tips

The SMS charges as applicable is per 160 Characters.

PROMOTIONAL STRATEGY

Airtel to “Touch Tomorrow” with a new brand vision

The Bharti Mobile promoted AirTel cellular service will go in for repositioning of its brand image. The new
brand ethos is portrayed in two distinct fashions - the tag line "Touch Tomorrow", which underscores the
leading theme for the new brand vision, followed by "The Good Life", which underscores a more caring, more
customer centric organization. Aimed at re-engineering its image as just simply a cellular service provider to an
all out information communications services provider, Touch Tomorrow is meant to embrace the new
generation of mobile communication services and the changing scope of customer needs and aspirations that
come along with it
The new communication is about a new dimension in the cellular category that goes beyond the Internet,
SMS, roaming, IVRS, etc but which engulfs the whole gamut of wireless digital broadband services that will
constitute tomorrows cellular services. The new campaign is in two phases - the first of which will
communicate overall brand philosophy and the second products and services. According to Mr. Jagdish Kini,
Chief Operating Officer, Bharti
Mobile Limited, Karnataka "We are adopting a new brand- platform - Touch Tomorrow - not only to reflect our
corporate ethos but also business strategy".

The new identity will have the logo in Red, Black and White colours along with lower case typography to
convey warmth. AirTel will incorporate the latest branding in all of its communication and will soon be going
in for an enhanced promotional drive to establish the brand's presence.

LIFE TIME PLAN

PRE-PAID card users need not worry anymore about recharging their coupons every month. Company has
launched a plan that allows users to take a pre-paid connection with lifetime validity for a one time payment
of Rs. 999. Subscribers availing themselves of this scheme will also get full talk time for the recharge coupon
they purchase and also have the option to buy Taiwanese manufactured Bird mobile handsets for as low as Rs.
1,399.

The move is aimed at stopping the churn in the pre-paid subscriber base. Once a subscriber takes this plan, he
will always be an Airtel subscriber whether the mobile is being used or not.

MARKET SITUATION

At the time of launch

The first mover in the market was Airtel which launched its services in Delhi in Aug 1995 (Informal launch).
Essar Cellphone followed by launching its services informally in Oct 95. At this point of time, the market was
at a nascent stage, awareness level was low and both operators independently tried to spread awareness and
educate the people
Once the networks were commercially launched, it became a number game with a multitude of schemes being
offered to woo customers Initially the cellphone was perceived as a status symbol and utility took a back seat
The target segment in Delhi were corporate and the high income group. The average capacity installed was
for 1.5 lakh subscribers. This coupled with the steep license fee paid to DOT put pressure on the operators to
breakeven by rapidly expanding their markets. In the first two years, this led to a number of schemes being
offered and prices crashing.
 COMPETITIVE SITUATION
Airtel launched its services before Essar and skimmed the market picking up the bulk of the high usage
premium clients. This is a very competitive industry with the two companies differentiating either on value-
added services or price. Airtel is perceived as the high quality provider and has a premium image. Essar, on
the other hand, is perceived as the lower end service provider. Airtel positions itself as the market leader on
the basis of the number of subscribers. Essar is trying to counter this by emphasising on the reach of its
network and the quality of its service. However, Essar is somewhat not been very successful largely due to the
inconsistency in advertising
To promote themselves, both the players have been dependent on tactical advertising However, they have
restrained from using comparative advertising Hoardings have been a very popular medium for carrying the
advertisements Airtel has also been advertising on television using the Bharti Telecom name.

SALES DEPARTMENT AND STRATEGY

A. Major Accounts (Direct Channel)

 • Handles corporate (named and famed) accounts

• Forecasting of sales

• Mapping the accounts

• Providing after sales support to the subscribers.

• Maintaining call reports for records.

• Providing Feedback to the marketing department regarding the requirement of the market.

B. IDC (indirect Channel)

• Handling distribution

• Maintaining records and level check of the channel partner

• Liaisoning between the channel partner and the company.

• Target achievement

• Training the executives of the channel

C. Distribution Support

1. Logistics

• Monitor handset and SIM card requirements of

channel partners and co-ordinate with stores

• Settle areas of concerns such as incentive claims of channel partners

2. Rental
 • Provide cellular services (SIM cards) on rent.

• Provide cellular phones on rent

• Useful for people visiting Delhi for a short interval.

3 Telesales

• Call customers and generate sales lead.

• Follow up with the customers, if they need any assistance

• Pass on the sales lead to the channel department

4 Audit

• Consultant to the AirTel showrooms.

• Monitor the operations at the AirTel distribution outlets

Organize training.

5. Retail

• Locate shops to open retail counters.

• Monitor the retail counters.

MARKET SEGMENTATION

Segmentation is beneficial because of better predictability of the target consumer group, minimization of risk
exposure, better ability to fine-tune a product / service to the requirement of target buyer and the resultant
ease in designing a proper designing marketing mix strategy In this case segmentation is on the bade of
income.
In evaluating different market segments the company looks at two factors The overall attractiveness of the
segments and the company's objectives & resources The present market for Cellular phones, pagers and
conventional phones is as follows

Premium Middle Economy

Upper Lower Upper Lower Upper Lower
Cellular Phones X X X - - -
Pager X X X X - -
Conventional X X X X X -
Phones
X Market Segment Targeted

TARGET MARKET SEGMENT

Airtel has targeted the premium and upper middle class. The rationale behind it is that only those segments
should be targeted who value time and have the paying capacity. It Is also planning to target the business
tourists during their stay in the capital
About 60% of the clientele are top executives of corporate houses. About 15% are foreign
organisations and the rest are professionals and small businessmen. During the
introduction stage there was intense pressure to get consumers across to hook up with
their brand, because getting them to switch brand loyalty later would be hard
So far Airtel marketers have been concentrating totally on the business executive class but now that the basic
viable volumes has beer) built up and prices have declined to a certain extent they are planning to venture
further a field.

POSITIONING

The product is sought to be positioned as a business efficiency tool. a lifestyle revolution and a status symbol
The emphasis is to remove misconception that the cellphone is an expensive means of communication and
drive home the point that the cellphone is actually a day-to-day utility

PRODUCT POLICY AND PLANNING

The product or service is the heart of the marketing mix. Without a product or a service
customers' needs cannot be satisfied.
The basic product promise by Airtel is mobility. Airtel's main marketing strategy is to be a first mover all the
time. It has recognised the significance of making the first move-- because in the field of Communication &
Information Technology changes occur at a tremendous pace.
Effective product segmentation has to be carried on continuously because basic services
can be and will be copied and in time become expected component of the product. Airtel
seeks to carry out this segmentation through provision of new information services and
making new facilities available. The product policy and planning depends on the stage of
the product life cycle. At present the cellular phone market has reached the maturity
stage. Since, the premium segment is nearing saturation the company targeting the
upper middle and middle-middle class. In order to do so Airtel is trying to optimise the
price performance package by offering suitable "product bundling".
This involves the selection of the suitable hardware (handset) and its software (its services.) with reasonable
price in order to deliver maximum price performance to its customers. In addition, it offers free Airtime
services and other concessions to make the prices and thus the product more attractive. It has also opened a
24 hours customer service.
Only price doesn't serve as an effective differentiator, value added services become the effective
differentiator.

The "Value Added Services" provided from Airtel :-

i). Voice Mail service

This system is similar to the answering machine - if the user is not able to answer a call for some reason the
caller can leave messages in the voice mail box which can be later retrieved by the user

ii) Short Message Service

The short message service is like a two-way pager. It gives an option of sending and receiving text messages
directly from one mobile phone to another without the intervention of an operator.

iii) Mobile Fax 1 Data Service

This service helps the subscriber to send and receive Faxes, access E-mail, download computer files from other
systems and remotely log on to another computer and surf the Internet.

iv) Cash Card

The cash card is a pre-paid and pre-activated card which allows the buyers to buy air time in advance. All it
requires is the payment of an initial amount. This is a useful service for people who travel to Delhi often and
those who want to control the expenses on their calls.
v) Caller ID

Displays calling person's number.

vi)Outgoing call restriction

To prevent or limit outgoing calls, for example, in peak hours. Also possible to exclude one or several
countries, or any geographical region, to permit only local calls, or to limit the outgoing calls to a listed
number.

viii) Call forward

Incoming calls can be forwarded to another fixed or mobile phone. Besides these some other services
provided by Airtel are - Call conferencing, Call Broadcast et cetera.
It is in the operators -Interest that they not only get many subscribers but also get them to
use the mobile facility frequently. In the early stages getting increases to subscribe may
be easier than getting them to talk since they will find it costlier to use the mobile phone
as compared to a conventional phone [if is believed that initially cellphones would be used
buy]
viii) Roaming Facility
Roaming facility is available while the subscriber is travelling. The billing is done in the home network (Delhi).
Roaming facility is available manually* as well as semi-automatically. Once a subscriber is In any other city or
country, where a GSM network is available, simply insert the SIM card of the local operator Into your handset
and start talking.
* Manual Roaming means a separate SIM card is provided for each city
** Semi automatic roaming means one card has the facility for
different cities.

AIRTEL'S MARKETING ORIENTATION.

Since this is a high-involvement expensive product, the service provider has to fully take care of the
customers.
a) They take personal responsibility to "get" the answer for any problem faced by the customer

b) They anticipate customers' problems and take pro-active steps to prevent them

c) They give answers to the questions & requests, quickly &

 efficiently.
d) They have a positive tone & manner while interacting with customers.

e) They end the interaction on a positive or a humorous notemaking the last 30 seconds count.

Airtel realises that attracting people 'Is easy but converting them into loyal customers is hard, hence emphasis
is on maintaining a 'Smiling and a Friendly Atmosphere' to please and retain the customer.

PRICE AND PRICING POLICY

AIRTEL has realised that the Indian market is price sensitive. Therefore it care of the has
come up with various innovative tariff schemes to take needs of different category of
customers- Generally, the cellular services are more expensive than the land line based
telephone services. This is due to the reason that the operating companies are required
to pay a fee to the government for using airtime.

MARKETING STRATEGY ADOPTED

BY BHARTI

Bharti has spent a considerable amount on advertising its mobile phone service, Airtel. Besides print
advertising, the company had put up large no of hoardings and kiosks in and around Delhi.
The objective behind designing a promotion campaign for the „Airtel‟ services is to promote the brand
awareness and to build brand preferences.
It is trying to set up a thematic campaign to build a stronger brand equity for Airtel. Since the cellular phone
category itself is too restricted, also the fact that a Cellular phone is a high involvement product, price doesn't
qualify as an effective differentiator. The image of the service provider counts a great deal. Given the Cell
phone category, it is the network efficiency and the quality of service that becomes important. What now the
buyer is looking at is to get the optimum price-performance package. This also serves as an effective
differentiator
Brand awareness is spread through the' campaigns and brand preference through brand
stature. Airtel's campaign in the capital began with a series of 'teaser' hoardings across
the city,' bearing just the company's name and without explaining what Airtel was. In the
next phase the campaign associated Airtel with Cellular only thereafter was the Bharti
Cellular connection brought up. Vans with Airtel logos roamed the city, handing out
brochures about the company and its services to all consumers. About 50,000 direct
callers were sent out. When the name was well entrenched in the Delhiites‟s mind, the
Airtel campaign began to focus on the utility of Cellphone. In the first four months alone
Airtei's advertisement spend exceeded Rs. 4 crores.
As of today the awareness level Is 60% unaided. This implies that if potential or knowledgeable consumers are
asked to name a Cellular phone service provider that is on the top of his/her mind 60% of them would name
Airtel. As for aided it -is 100% (by giving clues and hints etc.).
Brand strength of a product or the health of a brand is measured by the percentage score of the brand on the
above aided and the unaided tests. The figures show that Airtel is a healthy and a thriving brand.
Every company has a goal, which might comprise a sales target and a game plan with due regard to Its
competitor. Airtel 's campaign strategy is designed keeping in mind its marketing strategy. The tone, tenor
and the stance of the visual ads are designed to convey the image of a market leader in terms of its market
share. It tries to portray the image of being a "first mover every time" and that of a "market leader".
The status of the product in terms of its life cycle has just reached the maturity stage in India. It is still on the
rising part of the product life cycle curve in the maturity stage.
The diagram on the left hand side shows the percentage of the users classified into heavy, medium and low
categories. The right hand side shows the revenue share earned from the three types of users.
Airtel, keeping in mind the importance of the customer retention, values its heavy users the most and
constantly indulges in service innovation. But, since heavy users comprise only 15 - 20% of the population the
other segment cannot be neglected.
The population which has just realised the importance of cellular phones has to be roped in. It is for this
reason that the service provider offers a plethora of incentives and discounts. Concerts like the "Freedom
concert" are being organised by Airtel in order to promote sales. The media channel is chosen with economy
in mind. The target segment is not very concrete but, there is an attempt to focus on those who can afford.
The print advertisements and hoarding are placed in those strategic areas which most likely to catch the
attention of those who need a cellular phone. The product promise (which might cost different 1 higher) is an
important variable in determining the target audience.
Besides this, other promotional strategies that Airtel has adopted are .
(i) People who have booked Airtel services have been treated to exclusive premiers

of blockbuster movies. Airtel has tied up with Lufthansa to offer customer bonus

miles on the German airlines frequent flier's programs.

(ii) There have been educational campaigns, image campaigns, pre launch

advertisements, launch advertisements, congratulatory advertisements,

promotional advertise-ments, attacking advertisements and tactical

advertisements.
 DISTRIBUTION

Company

Franchisee Distributor

Dealers
Dealer

Customer
Customer

The- company whose operations are concentrated in and around Delhi. It 27 Franchisees and 15 Distributors-
They also have 8 'instant access cash card counters- Each franchises or distributor can have any number of
dealers under him as long as the person is approved by the Airtel authority. Each franchises has to invest
Rupees Ten Lakhs. to obtain a franchise and should employ an officer recruited by Airtel. This person acts as
an liaison between the company and the franchises. The franchises can it any number of dealers as long as
their territories do not overlap. But unfortunately Airtel has not been very successful in controlling territorial
overlaps of dealers. The franchises can carry out his 1 her own promotional strategy. For this the. company
contributes 75% of the money and the franchises contributes 25% of the money. The dealers under the
franchisee receive the same commission. The franchises and the dealer obtain the feedback from the
customers and they are sent through the liaison officer on a day-to-day basis to Airtel. The dealer has to
invest Rupees. One Lakh as an initial investment. The dealer of Airtel are not allowed to provide any other
operators' service.
Target set for distributors and the dealers is 100 -150 activations per month. Hence the dealers can also go for
their own promotions like banners and discounts on festivals etc. The dealer provides service promptly. The
consumer on providing the bill of purchase for the handset and proof of residence has only to wait an hour
before getting connected. The staff of the dealers and the franchisees are provided training by the Airtel
personnel.
The complaints encountered by the franchisees and dealers are either handset being non-functional or the
SIM Card not getting activated. Anything more complicated is referred to the main Airtel office in Delhi.
 WHAT DOES AIRTEL OFFER?
With Airtel, the subscriber wouldn't just get a personal phone that lets him/her be in touch, always, but also
gets a host of benefits that let him/her manage his/her time like never before.
An Airtel subscriber is provided with a Subscriber Identity Module Card (SIM card) - that is
the key to operating his/her cellular phone. His card activates Airtel cellular services and
contains a complete micro-computer chip with memory to enable one to enjoy one's
cellular phone thoroughly. Each SIM card contains a PIN code (Personal Identity Number)
which may be entered by one. Just plug your SIM card into your cellular phone, enter the
PIN code and it becomes 'your' personal phone'.

PRODUCT LIFE CYCLE

The pattern of cellphone subscriber growth observed elsewhere in the world reveals that the growth in the
market is Initially slow followed by a sharp acceleration, but so far that has not happened in India. As far as
the Product Life Cycle is concerned. Indians are at the beginning of the maturity stage.

Introduction Growth Maturity

 MARKETING OBJECTIVES

Create product awareness Maximise market share Maximise profits whole

and trial defending market share

Strategies

Product Offer a basic Offer value added Increase in number

services of value added
product/ services.

service.
Price Charge cost- plus Price to penetrate Price to match or
market best competitors

Distribution Build selective Build Intensive Build more intensive

distribution distribution. distribution.

Advertising Build product Build awareness and Stress brand

awareness among interest in the mass differences and
early adopters and market benefits.
 dealers.

Sales Promotion Use heavy sales Increase to build Increase to

promotion to entice and maintain encourage
people to subscribe. relationships with brandswitching.
customers.
 OBJECTIVES OF THE STUDY

Objectives:

• To study the importance and development of tele –

communication industry in today‟s scenario.

• To understand the various Marketing Strategies which Airtel has adopted to survive in highly competitive

cell phone

industry.

• To make a comparative study of the major players in Indian

Service Provider.

RESEARCH METHODOLOGY

The methodology adopted for this project is exploratory in nature since there is no hypothesis that has to be
tested. The conclusions have been drawn by exploratory research work.

There have been two sources of information collected:

a) Primary Sources

I have met retailers of the Airtel of the company and have been able to get first hand information regarding
the product, its features and the buying patterns of the product. Their input has been valuable.

b) Secondary Sources
Secondary source has played a vital role to play in this report. A good amount of data has been collected from
various published articles and reports found in magazines and journals. Another vital source has been the
Internet and particularly the companies own website.

LIMITATIONS

Every attempt will be taken to obtain the error free and meaningful result but as nothing in this world is 100%
perfect I believe that there will still the chance for error on account of following limitations-
(1) Respondent‟s unavailability.

(2) Time pressure and fatigue on the part of respondents and interviewer.

(3) Courtesy bias.

FINDINGS
1. Do you believe that India is potentially one of the most exciting mobile
service providers in the world?

Company Yes No

Airtel 4 1

Vodafone 4 1

Idea 4 1

MTNL 4 1

As according to the above table 16 (80%) out of the total 20 interviewed people in all the above four specified
Indian mobile service providers are of belief that India is potentially one of the most exciting mobile service
providers in the world, whereas some
4 (20%) of them do not agree to this view.

AirT Vodafon Ide MTN

el e a L
2. Do you find that the government’s telecom policy has had the
most radical impact on the development of mobile service providers?

Company Yes No

Airtel 4 1

Vodafone 3 2
 Idea 3 2

MTNL 5 --

As according to the above table 15 (75%) out of the total 20 interviewed people in all the above four specified
Indian mobile service providers find that the government‟s telecom policy has had the most radical impact on
the development of mobile service providers, whereas some 5 (25%) of them deny this.

5
4.5
4
3.5
AirTel
3 Vodafone
2.5 Idea
2 MTNL

1.5
1
0.5
0
Yes No

3. Do you believe that one of the challenges facing mobile operators

in India is the diversity of the coverage regions?

Company Yes No

Airtel 2 3

Vodafone 3 2

Idea 3 2

MTNL 2 3

As according to the above table 10 (50%) out of the total 20 interviewed people in the mobile service
providers are of belief that one of the challenges facing mobile operations in India is the diversify of the
coverage regions, whereas interestingly another 10
(50%) of them deny this.
 3

2.5

2 AirTel
Vodafone
1.5 Idea
MTNL
1

0.5

0
Yes No

4. To what extent, does you find that mobile service providers is a

very complex standard?

Company To some extent To great extent

(1-5) (6-10)
Airtel 3 2
Vodafone 2 3
Idea 2 3
MTNL 3 2

As according to the above table 10 (50%) out of the total 20 interviewed people in all the above four major the
mobile service providers in Indian Cellular industry find only to some extent that GSM is a very complex
standard, whereas the another 10 (50%) respondents find to great extent that mobile service providers is a
very complex standard.
 3

2.5
AirTel
2
Vodafone
1.5 Idea
MTNL
1

0.5

0
To some extent To great extent

CONSUMER LEVEL

1. Do you believe that mobile service providers comes close to fulfilling the
requirements for a personal communication system?

Company Yes No

Airtel 9 1

Vodafone 8 2

Idea 8 2

MTNL 5 5

As the above shows 30 (75%) out of total 40 respondents are of the belief that mobile service providers comes
close to fulfilling the requirements for a personal communication system, whereas 10 (25%) of them are in no
way to this belief.

3
2
No
2
2 MTNL
Idea
Vodafone
2 AirTel

3
Yes
3
3
2. Do you find that mobile service providers as the most exciting and
satisfying mobile standard?

Company Yes No

Airtel 9 1

Vodafone 7 3

Idea 8 2

MTNL 8 2

As the above shows 32 (80%) out of total 40 respondents find that mobile service providers as the most
exciting and satisfying mobile standard, whereas the remaining 8 (10%) respondents deny this.

AirT Vodafon Ide MTN

el e a L

3. Do you believe that your service provider has a genuine

commitment to creating a modern and efficient communications?

Company Yes No

Airtel 10 --

Vodafone 8 2
 Idea 10 --

MTNL 8 2

As the above shows 36 (90%) out of total 40 respondents are of the belief that their service providers have a
genuine commitment to creating a modern and efficient communications whereas the remaining 4 (10%)
respondents deny this.

0
No
2

0
MTNL
Idea
Vodafone
8 AirTel

10
Yes
8

10

SWOT ANALYSIS

STRENGTHS

• Cost advantage

• Current leaders in quality service

• Largest distribution network

• Ability to constantly innovate

• Highly skilled workforce

• Entrepreneurial zeal

• Airtel‟s increased equity and market cap.

WEAKNESSES

• To prove credibility

• Price pressures

• Need for Government support

• Awareness

• Sales and Marketing

OPPORTUNITIES

• To sustain passion and commitment

• Airtel‟s market share increasing at other service provider expense. Thus opportunity to wipe it out.

• Attain higher value services

• Collaborative business needs to be explored

• Vertical repeatable solutions.

• Low penetration level in rural markets.

THREATS

• Foreign investment

• Global trends moving from GPS to WLL.

• Lack of global parity in telecom tariff

• Other competition

CONCLUSION

From above the details I conclude that 70% Airtel users preferred to remain with Airtel. Also good no.
of users who were willing to switch from their respective subscribers showed interest in Airtel. Hence,
these statistics imply a bright future for the company. Also the company is now providing more
services like the door to door services which is you dial the Airtel customer care and would like to send
someone flowers the Airtel company delivers those flowers to the person concerned. Also Airtel is
providing free text messaging service and free voice mail service. Call
conferencing is also another feature Airtel provides.

BIBLIOGRAPHY

• Bernard J. T. Mallinder. Specification Methodology Applied to the GSM System. In EUROCON 88, June

2005.

• Seshadri Mohan and Ravi Jain. Two User Location Strategies for Personal Communication Services. IEEE

Personal
 Communications. 1(1), 1994.

• Moe Rahnema. Overview of the GSM System and Protocol Architecture. IEEE Communications

Magazine. April 1993.

• C. Watson. Radio Equipment for GSM. In D.M. Balston and

R.C.V Macario, editors, Cellular Radio Systems, Artech House, Boston, 1993.

• Robert G. Winch. Telecommunication Transmission Systems.

McGrawHill New York, 1993.

• Vodafone

• Airtel

• Idea.

QUESTIONNAIRE

NAME: ____________________________________

ADDRESS: ____________________________________

OCCUPATION: ____________________________________

1. Do you believe that India is potentially one of the most exciting

mobile service providers in the world?

Company Yes No
Airtel

Vodafone

Idea

MTNL

2. Do you find that the government’s telecom policy has had the most
radical impact on the development of mobile service providers?

Company Yes No

Airtel

Vodafone

Idea

MTNL

3. Do you believe that one of the challenges facing mobile operators in

India is the diversity of the coverage regions?

Company Yes No

Airtel

Vodafone

Idea

MTNL

4. To what extent, does you find that mobile service providers is a

very complex standard?

Company To some extent To great extent

(1-5) (6-10)

Airtel
Vodafone

Idea

MTNL

CONSUMER LEVEL

1. Do you believe that mobile service providers comes close to fulfilling the
requirements for a personal communication system?

Company Yes No
Airtel
Vodafone
Idea
MTNL

2. Do you find that mobile service providers as the most exciting and
satisfying mobile standard?

Company Yes No
Airtel
Vodafone
Idea
MTNL

3. Do you believe that your service provider has a genuine

commitment to creating a modern and efficient communications?

Company Yes No
Airtel
Vodafone
Idea
MTNL