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Amity University, Kolkata

Bachelor of Commerce
Batch: 2018-21

SUMMER INTERNSHIP
Advertisement is an Effective Promotional tool
(A case study on Jio and Airtel)

Course Batch Name Roll No.

B.com(H) 2018-21 Ashutosh Gupta A90904618074

Acknowledgment
I would like to express my sincere gratitude to my
project guide Ms. Anandi Sarkar Pyne associate
faculty, for providing her invaluable guidance,
comments and suggestion throughout the course of this
project.
I would also like to thank for constantly motivating me
to work hard and supporting me to complete this
project.
This project truly helped me to understand the impact of
advertisement in telecommunication sector and helped
me to understand how important is this promotional
tool.
Summary

This project is undertaken with a purpose to know how


advertisement is an effective promotional tool. Advertising is
a tool of marketing for communicating ideas and information
about goods and services.
Currently India is the 2nd fastest growing advertising market in
Asia with an expected contribution of 0.45% of GDP in 2018.
Advertisement sector plays a huge role in influencing the
viewers. The advertisement market in India has increased by
2.84 billion U.S dollars between 2015 and 2018.Now lets
focus on the telecommunication network. The telecom.
Network companies are now focusing on providing great
quality of network all over the world
We will be focusing on 2 telecomm nation provider (Airtel &
Jio). These are the major two telecom.
Advertisement plays a curtail role in promoting a company.
It helps in creating awareness and acknowledging the product
to the public. As we have seen in the case study, both of these
companies have gained a lot subscriber with the help of
innovative advertisement.
Airtel has adopting a new positioning in its advertising and
brand communications. This helped it to compete in the
Indian market where Jio had almost captured the whole
market.Airtel also replaced its relationship with its partner
Wunderman Thompson (WPP) and added Public Group
Company, Leo Burnett as its new partner to bring new and
innovative ideas for more of its future projects.
We also came to know about Reliance Jio become the first
telecom brand in the country to launch unlimited LTE data
and national voice, video and messaging services along with a
bouquet of applications and content, free of cost, for four
months. And through this reliance become the biggest telecom
provider in India with a total of 387.5 million subscribers.
This helped us to understand how advertisement helped these
tow companies to grow and promote.
Chapter 1: Introduction

Advertising is an tool of marketing for communicating ideas


and information about goods and services. Advertisement
helps in acknowledging the viewer about the features and
values. Advertisement usually includes presentation on
different means of communications such as newspaper ,
magazines ,radio , television, mail ,and online. Most common
among these are television and online modes. Currently there
are many agencies which are indulged in the advertisement
sector and do create a lot of workforce.

Currently India is the 2nd fastest growing advertising market in


Asia with an expected contribution of 0.45% of GDP in 2018.
Advertisement sector plays a huge role in influencing the
viewers. In recent years most of the agencies have focused on
digital marketing as there is an increase in the usage of online
platform. Most of the companies now do focus on promoting
their products.

The advertisement market in India has increased by 2.84


billion U.S dollars between 2015 and 2018.Now lets focus on
the telecommunication network. The telecom. Network
companies are now focusing on providing great quality of
network all over the world. These companies have focused on
promoting their network for pretty long time. And these
companies have also gained a lot of stability in the market.
Telecom network is an important sector to continuously work
on. As there are many big competitors. It is important to
promote the brand to maintain the stability in the market.

We will be focusing on 2 telecommnation provider (Airtel &


Jio). These are the major two tele com. Providers in India
now. These two companies focus on brand integration and do
a lot of promotional activities. These companies focus a lot in
the advertisement sector to maintain their stability in the
market. Further we will see how these companies have created
stability in the market and how advertisement helps in
maintaining their stability.
Objective

This project is undertaken with a purpose to know how


advertisement is an effective promotional tool. Advertising is
a tool of marketing for communicating ideas and information
about goods and services. In this project we will see how
advertisement plays curtail role in building a brand image and
stabilizing the market by taking example of two companies
(Airtel & Jio). This study will give us a brief about how the
advertisement sector does effects the companies sale and
overview about how can it be enhanced.
The objective of this research paper is:
 To study about the advertisement of Jio & Bharti Airtel.
 To know the effectiveness towards the advertisements
provided by Jio and Airtel.
 To study the contribution towards advertisement provided
by these companies.
Research and methodology

Secondary data has been used for this study and the data of Jio
and Bharti Airtel. These data were provided in the official
website, magazines, and newspaper articals, etc. The data is
only provided to elaborate the explanation of this study and is
enhanced to focus on the topic. This study will be focused on
how efficient advertisement sector is and how these
companies invest in such promotions. This study also includes
advantages gained by such companies through advertisement
and revenue invested in the same.

The purpose of this methodology is to design the research


procedure. This include the overall design, the sampling
procedure, the data collection method and analysis procedure
marketing research is the systematic gathering recording and
analyzing of data.
Scope of Study

This study has a detailed knowledge about the advertisement


sector and will help to understand the impact of advertisement
in the Indian telecom sector. This study will also show some
essential marketing tools , through an example of 2 biggest
telecom providers of India.

 This can be used to represent features of advertisement and


its impact on promotion.

 This can be use to enhance the sector and to brush the


minor limitations.

 It can be used to improvise and focus on advertisement of


these companies.
Limitation of Study

Secondary data has been used in this study and the data
provided over the internet which may be manipulated.teh
accuracy of this data depends upon the editor, how accurately
he has studied the data.
As the source of data is secondary some of the data may be
subject to rumors as there is no personal contact of data.
The data may be affected as the company has its own data
which is not disclosed during this study. The accuracy of this
study may also vary due to the short time span was provided
for his study.
Chapter 2: Company Profile
Reliance Jio

Jio is not just a telecom network; it is an entire ecosystem that


allows Indians to live the digital life to the fullest. Reliance
Jio Infocomm Limited, or Jio, is an LTE mobile network
operator in India. It is a wholly owned subsidiary of Reliance
Industries headquartered in Navi Mumbai, Maharashtra. The
company was registered in Ambawadi, Ahmedabad (Gujarat)
on 15 February 2007 as Reliance Jio Infocomm Limited.

In June 2010, Reliance Industries (RIL) bought a 95% stake


in Infotel Broadband Services Limited (IBSL) for ₹4,800
crore (US$670 million).With the net revenue of ₹18,632
crore (US$2.6 billion), Jio is currently the most subscribed
telecom provider in India. Jio the only company to hold 32.04
per cent of telecom sector. The 4G services were launched
internally on 27 December 2015. The company commercially
launched its 4G services on 5 September 2016.
Within the first month, Jio announced that it had acquired 16
million subscribers. Jio crossed 50 million subscriber marks
in 83 days since its launch, subsequently crossing 100 million
subscribers on 22 February 2017. By October 2017 it had
about 130 million subscribers.

Facebook has invested $5.7 Billion in Jio on 22 April, 2020.


Jio shares spectrum with Reliance Communications. The
sharing deal is for 800 MHz band across seven circles other
than the 10 circles for which Jio already owns.

In September 2016, Jio signed a pact with BSNL for intra-


circle roaming which would enable users of the operators to
use each other's 4G and 2G spectrum in national
roaming mode.

In February 2017, Jio announced a partnership


with Samsung to work on LTE - Advanced Pro and 5G.
Reliance Jio best poised to launch 5G services: Transsion. For
a less than Rs 15,000 5G Smartphone, industry, according to
the executive, would only invest once they see the network,
and such a momentum, he said is expected to start in 2021.
Type Subsidiary of Reliance Industries

Industry Telecommunications

Founded 15 February 2007; 13 years ago

Founder Mukesh Ambani

Headquarters Maker Chambers IV, 222 Nariman


Point, Mumbai, Maharashtra
India

Products Mobile telephone , Wireless broadband , Internet services

Revenue ₹18,632 crore (US$2.6 billion)


(31 March 2020)

Operating ₹3,631.2 crore (US$510 million)


income

Net income ₹1,148 crore (US$160 million)

Total assets ₹187,720 crore (US$26 billion)

Members 388 million


(31 December 2019)

Website www.jio.com

Bharti Airtel
Bharti Airtel Limited, also known as Airtel, is an
Indian global telecommunications services company based in
New Delhi, India. It operates in 18 countries across South
Asia and Africa, and also in the Channel Islands. The
headquarters of Bharti Airtel is in Bharti Crescent, 1, Nelson
Mandela Road, New Delhi, India. Airtel had also rolled out
its VoLTE technology across all Indian telecom circles. It is
the largest mobile network operator in India and the second
largest mobile network operator in the world with over 411.42
million subscribers.

Established in 1985, Bharti has been a pioneering force in the


telecom sector. With m any firsts and innovations to its credit,
ranging from being the first mobile service in Delhi, first
private basic telephone service provider in the country, first
Indian company to provide comprehensive telecom services
outside India in Seychelles and first private sector service
provider to launch National Long Distance Services in India.
Airtel has generated a revenue of ₹875,390
million (US$12 billion) in 2020. At present Bharti Airtel
currently has 142.34 million subscribers as on 2019. Airtel is
the second most subscribed telecom brand in India and
currently is competing with Jio.

In 1984, Sunil Mittal started assembling push-button phones


in India, which he earlier used to import from a Taiwan
company, Kinglet, replacing the old fashioned, bulky rotary
phones that were in use in the country then. Bharti Telecom
Limited (BTL) was incorporated and entered into a technical
tie up with Siemens AG of Germany for manufacture of
electronic push button phones. By the early 1990s, Bharti was
making fax machines, cordless phones and other telecom
gear. He named his first push-button phones as 'Mitbrau'.

As part of its strategy to deliver a highly differentiated service


experience to its customers, Bharti Airtel (“Airtel”) has
acquired a strategic stake in Voicezen, an early stage startup
focused on conversational AI technologies. The global
Conversational AI Market Size is expected to grow from USD
4.2 billion in 2019 to USD 15.7 billion by 2024.These Nokia
supplied networks will give Airtel the best possible platform
for when 5G networks launch across the country, with their
low latency and faster speeds.
Type Public
Industry Telecommunications

Founded 7 July 1995; 24 years ago.

Founder Sunil Bharti Mittal

Headquarters Bharti Crescent, 1, Nelson Mandela Road, New Delhi, India

Products Mobile phone, Broadband, Satellite television, Payment


bank, Digital television, Internet television.

Revenue ₹875,390 million (US$12 billion) (2020)

Operating ₹−17,318 million (US$−240 million)


income

Net income ₹4,095 million (US$57 million)

Total assets ₹2,751,975 million (US$39 billion)

Members 411.42 million (September 2019)

Website www.airtel.com
Government Policy
TRAI

TRAI stands for Telecom Regulatory Authority of India.


TRAI was established in the year 1997 in pursuance of TRAI
(Ordinance) 1997 which was later replaced by an act of
parliament to regulate the telecommunication services. Some
of the major recommendatory, regulatory & tariff setting.

FUNCTIONS OF TRAI:
Functions of TRAI are to make recommendations on the need
& timing for introduction of new service provider ensure
compliance of terms & conditions of license, effective
management of spectrum, lay down the standards of quality of
service to be provided by the service providers & ensure the
quality of service & conduct the periodical survey of such
service provided by the service providers so as to protect
interest of the Consumers of telecommunication service,
ensure effective compliance of universal service obligations
notify the rates at which telecommunication services in India
shall be provided under this act etc.
Literature Review
Case 1:
On July 25, 2014, The Economic Times published that
Airtel is adopting a new positioning in its advertising and
brand communications. For years, its advertising campaigns
have been focused around Airtel being the network that
connects people. As large parts of India are graduating
towards smart phones, we are positioning ourselves as the
most preferred network for smart phones. Airtel decides to
advertise its products through the internet which may be more
productive for it. The campaign will be focused on making
short films to promote Airtel through internet.

Case 2:
An article published on May 01, 2017 by The Economics
Times Reliance, Jio has alleged that Bharti Airtel for
misleading offers and arbitrarily discriminating among its
own customers subscribing to the same plan. Jio asked to
impose high penalty on Airtel to telecom regulator TRAI for
misleading his own subscribers about there Rs 293 and Rs 449
plan which said to provide 1GB data per day for 70 days. Jio
said that Airtel is offering these recharges "in a grossly
discriminating basis by providing the headline data benefits of
1 GB data per day for 70 days only to the new subscribers
holding a 4G handset in conjunction with a 4G compatible
SIM.
Case 3:
In 2016 Every Indian is used to Gandhigiri, now every Indian
can do 'datagiri'. According to an article published on March
13, 2019 by ET Brand Equity, For the first time, a telecom
brand in the country launched unlimited LTE data and
national voice, video and messaging services along with a
bouquet of applications and content, free of cost, for four
months. To date, Jio's price points pack the strongest punch.
Jio had provided 4G subscriptions for free and without any
limit in the usage of internet. This helped Jio to gain the most
no of subscription. At present each user at least has one Jio
subscription.

Case 4:
According to information published by gadget.ndtv.com it is
very difficult to compete with Jio as they have invested
150,000 Crores rupee during 2010 to 2016 for developing the
infrastructure without having any profit. It is not easy to build
such big sector in India in one go because it requires a huge
amount and long period of time. Reliance is always ready to
deal with any such startup which can threaten Jio. Existing
competitors like Airtel, Vodafone is already suffering from a
huge debt so it’s not easy for them to invest that much huge
amount in a short period of time. Nearly 25 million cell
phones are using Jio Sim even before its commercial launch!
Reliance Jio is making headlines with its easy on pocket data
packs and lifetime free calling. Never in the history of
telecom has anybody witnessed a player seize the market in a
week’s time by distributing Sim cards with the unlimited free
internet.
Case 5:
An article by Mo Agency September 11 2019, explains the
benefits of paid advertisement ad its impact on consumers.
Paid advertising typically has a cost associated with it.
Typically, organic content on social media is used for
branding or creating brand awareness.
Organic reach on social media is down. Paid gives you fast
results. With paid advertising, you are guaranteed reach and
can utilise your content to elevate your brand with specific
targeting and obtain more qualified leads. Ads are very
affordable and measurable. Specific and granular targeting are
available. Broadcast your message across multiple platforms
here is a plethora of platforms to broadcast your brand and
unique messaging across.

Case 6:
Providing some information, an article by ET Brand Equity
published on October 02, 2019, Airtel has replaced its
relationship with its partner Wunderman Thompson (WPP)
and added Public Group Company, Leo Burnett as its new
partner. The new agency has been mandated to handle the
brand’s B2B and B2C services, which would include below
the line (BTL) activities and circle marketing campaigns.
The previous partner was responsible to make vary iconic
ads for Airtel which helped Airtel to compete in the market.
Now it will be interesting to see how this new partner comes
with more innovative ideas to promote the brand and how
efficient it becomes to maintain the reputation of such brand.

Case 7:
According to an article published on January 17, 2020 by
India today , Reliance Jio has now become the biggest
telecom operator in India in terms of subscribers, as well as,
revenue market share. As per the latest information provide by
TRAI, Reliance Jio has gained 5.6 million mobile subscribers
in November making its total subscribers to 369.93 million,
which makes Jio the only company to hold 32.04 per cent of
telecom sector.
In this period bharti Airtel also increased its market share by
adding 1.65 million subscribers, making total subscribers of
327.30 million that gave Airtel 28.35 percent market share.
Airtel do lost 28.8 million subscribers despite providing its
best efforts.

Case 8:
An article published on May 28,2020 by The Indian Express
says Facebook and Reliance Industries (RIL) on Wednesday
announced that the social network will invest about Rs 43,574
crore to pick up a 9.99 per cent stake in Jio Platforms ($5.7
billion), RIL’s wholly-owned subsidiary that works on digital
apps, digital ecosystems, and the popular mobile service. The
investment by Facebook put the value of Jio Platforms at Rs
4.62 lakh crore. Facebook is trying to put his hands on the
internet pie. In 2015, its experiment with free basic provided
facebook free access to basic internet services.
Case 9:
On 5 May 2020 Gadget 360 says Bharti Airtel has
strengthened its partnership with Zee5 and launched the
Airtel-Zee5 Summer Bonanza offer for all Airtel Thanks
users. Under the new offer, Airtel prepaid customers
recharging with Rs. 149 and above unlimited recharge plans
are eligible to avail free access to Zee5 Premium. The offer is
also applicable for Airtel broadband and postpaid customers.
The benefits of the offer can be activated through the Airtel
Thanks app. In 2018, Airtel brought a free Zee5 Premium
subscription for the Airtel Platinum customers. The operator
also offered access to the over-the-top (OTT) service on some
of its prepaid recharge plans in the recent past.

Case 10:
An article by gadget 360 published on 26 March 2020 ,
reliance Jio and Bharti Airtel have launched new tools for
COVID-19 self-diagnosis. The new tools that comes as a part
of the two companies efforts to play their part in helping with
the chaos surrounding corona virus outbreak. The new tools
will ask users questions about their health and recent travel
history, in order to determine if the person is at corona virus
risk. This will allow people to check for themselves, if they
can or cannot be diagnosed with corona virus. The Reliance
Jio tool is available on the MyJio app and can be accessed via
a dedicated website that Jio has launched for the COVID-
19 tool.
Chapter 3: Interpretation and
Data Analysis

The data was analysed to know the impact of advertising on


Jio and Airtel and to know how efficient there advertisement
strategies. These data may fluctuate a bit because of lack of
primary data.
Market Share:

Market Share

32.04%

38.59%

JIO
AIRTEL
OTHERS

29.37%
Interpretation:
According to livemint and economics times jio and Airtel has
the share of 32.04% and 29.37% of the total Indian telecom
market respectively, and the rest is managed by other telecom
competitors like vodaphone idea and bsnl. As mentioned
previously jio has the most no of subscribers till date.

Reason for choosing these brands:

60%

50%

40%

30% JIO
AIRTEL
20%

10%

0%
Recommendation Advertisement Goodwill

Interpretation:
Most of the respondents are know about Airtel through
advertising that is 55% and same about Jio also, 53% of
people came to know about Jio. Mentioned in the case study,
Airtel has managed to survive in the market due to its
effective innovative Advertisements.

Preference to Good Advertisement:

Good Advertisment
20.90%

42.30%

JIO
AIRTEL
OTHERS

36.80%

Interpretation:
According to a survey, 42.30% of the customers said that jio
has the best advertisement which influences them over other
telecom provider. Whereas 36.80% of people preferred
Airtel’s advertisement over others. And the rest 20.90%
preferred telecom provider such as Vodaphone Idea and
others.
Influence through Advertisement:

90.00%

80.00%

70.00%

60.00%

50.00%
Yes
No
40.00%
Maybe
30.00%

20.00%

10.00%

0.00%
JIO AIRTEL

Interpretation:
According to a survey, most of the people agreed to the fact
that advertisement do influence in generating a prospective
while choosing a service provider.
Preference of Advertisement:

Prefernce of Advertisement
1.00% 2.00%

38.60%

Internet
Telivision
Magazine
Newspaper

58.40%

Interpretation:
58.40% of the respondents prefer there source of
advertisement through television, whereas 38.60% prefer
internet as there preference for advertisement,2% respondents
still prefer newspaper, and 1% are stuck with magazines.
Chapter 4: Findings

Advertisement plays a curtail role in promoting a company.


It helps in creating awareness and acknowledging the product
to the public. As we have seen in the case study, both of these
companies have gained a lot subscriber with the help of
innovative advertisement.
Airtel has adopting a new positioning in its advertising and
brand communications. This helped it to compete in the
Indian market where Jio had almost captured the whole
market.Airtel also replaced its relationship with its partner
Wunderman Thompson (WPP) and added Public Group
Company, Leo Burnett as its new partner to bring new and
innovative ideas for more of its future projects.
We also came to know about Reliance Jio become the first
telecom brand in the country to launch unlimited LTE data
and national voice, video and messaging services along with a
bouquet of applications and content, free of cost, for four
months. And through this reliance become the biggest telecom
provider in India with a total of 387.5 million subscribers.
This helped us to understand how advertisement helped these
tow companies to grow and promote.
Research Result

According to live mint and economics times jio and Airtel has
the share of 32.04% and 29.37% of the total Indian telecom
market respectively, and the rest is managed by other telecom
competitors like vodaphone idea and bsnl. As mentioned
previously jio has the most no of subscribers till date.
Most of the respondents are know about Airtel through
advertising that is 55% and same about Jio also, 53% of
people came to know about Jio. Mentioned in the case study,
Airtel has managed to survive in the market due to its
effective innovative Advertisements.
According to a survey, 42.30% of the customers said that jio
has the best advertisement which influences them over other
telecom provider. Whereas 36.80% of people preferred
Airtel’s advertisement over others. And the rest 20.90%
preferred telecom provider such as Vodaphone Idea and
others.
According to a survey, most of the people agreed to the fact
that advertisement do influence in generating a prospective
while choosing a service provider.
58.40% of the respondents prefer there source of
advertisement through television, whereas 38.60% prefer
internet as there preference for advertisement,2% respondents
still prefer newspaper, and 1% are stuck with magazines.
Recommendation

AIRTEL is successful in grabbing the highest market share in


India, but there are still some recommendations from my
study point of view is that AIRTEL have to increase their
advertisements through print media.
Airtel should also focus on improving the call errors usually
occurs while calling someone. Airtel just need to manage its
packs and try to introduce some pocket friendly packs .
Jio should improve its customer interface as it will be much
helpful to pay attention in what people really want, and what
are the expectations of people towards the company.
They should know the root cause that why people will not go
for more connections in the future, what type of problem they
are facing in the advertisements. They need to understand the
fact that only providing cheap packs will not help to hold their
subscribers. They need to improve their internet connection as
there are many users so people do require better and stronger
network connection.
Conclusion

I was able to accomplish the objective in his study that what


would be the impact of advertising of join and how it would
be effective by which the advertisement are being provided by
other players. I came to the conclusion based on my study that
Airtel and Jio are the biggest telecom provider present in
India.
These 2 companies have managed to maintain their goodwill
in the market with their clever advertisement techniques. And
these companies have maintained a reputation in the market
which helped them to gain stability in this market. These
companies need some improvisation and need to focus on
online advertisement as now a day it is important to have the
online customer support. These companies also have to make
some technical modifications so that the subscribers do stick
with them and maintain a balance.

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