Вы находитесь на странице: 1из 52


Submitted in the partial fulfillment in Bachelor of Business Administration

Submitted To: Mrs. Manju Gupta Project Guide

Submitted By: Jaspreet Bajaj Roll no. BBA 3rd SEM

Maharaja Agarsen Institute of Management Studies (Affiliated from Guru Gobind Singh Indraprastha University Kashmiri Gate, Delhi)

I would like to take an opportunity to thank all the people in collecting the necessary information and making of the report. I am grateful to all of them for their time and wisdom. My project becomes a reality only because of cooperation of many people who had helped me in completing this project. I sincerely extend my gratitude to Mrs. MANJU GUPTA who has given me this golden opportunity to have an insight in the corporate world and who has been a source of guidance and support.


This is to certify that JASPREET BAJAJ BBA 3rd SEM student from MAHARAJA AGARSENINSTITUTE OF MANAGEMENT STUDIES affiliated to Guru Gobind Singh Indraprastha University, Delhi has completed her project under my supervision. She made this project to my entire satisfaction and as per requirement of the course.

Mrs. Manju Gupta Project Guide

Bharti Tele-Ventures
Bharti Tele-Ventures is one of India's leading private sector providers of telecommunications services based on an aggregate of 28,692627 customers as on September 30, 2006, consisting of 27,061,349 GSM mobile and 1,631,278 broadband & telephone customers The businesses at Bharti Tele-Ventures have been structured into three individual strategic units (SBUs) 1) mobile services 2) broadband and telephone services (B&T) 3) enterprise services The Mobile services group provides GSM mobile services across India in 23 telecom circles, while B&T business group provides broadband & telephone services in 94 cities. The Enterprise Services group has two sub-units carriers (long distance services) and services top corporates. All these services are provided under the Airtel brand. Bharti Enterprises has been at the forefront of technology and has revolutionized telecommunications with its world class products and services. Established in 1976, Bharti has been a pioneering force in the telecom sector with many firsts and innovations to its credit. 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 is the leading cellular service provider, with a footprint in 16 states covering all four metros. It has over 12 million satisfied customers Bharti Enterprises has successfully focused its strategy on telecom while straddling diverse fields of business. From the creation of 'Airtel', one of India's finest brands, to becoming the largest manufacturer and exporter of world class telecom terminals under its 'Beetel' brand, Bharti has created a significant position for itself in the global telecommunications sector. Bharti

Tele-Ventures is today acknowledged as one of India's finest companies, and its flagship brand 'Airtel', has over 12 million customers across the length and breadth of India. While a joint venture with TeleTech Inc., USA marked Bhartis successful foray into the Customer Management Services business, Bharti Enterprises dynamic diversification has continued with the company venturing into telecom software development. Recently, Bharti has successfully launched an international venture with EL Rothschild Group owned ELRO Holdings India Ltd., to export fresh Agri products exclusively to markets in Europe and USA

"What other operators have achieved in one to two years, Bharti has done in just over a month. In July 2002, one out of every two people buying a mobile across India chose AirTel. We are truly proud to be spearheading the mobile revolution in the country." - Sunil Bharti Mittal, Chairman, Bharti Tele-Ventures in 2002


Airtel comes to you from Bharti Tele-Ventures Limited - a part of the biggest private integrated telecom conglomerate, Bharti Enterprises. A consortium of giants in the telecommunication business. In it's six years of pursuit of greater customer satisfaction, AirTel has redefined the business through marketing innovations, continuous technological up gradation of the network, introduction of new generation value added services and the highest standard of customer care. Bharti is the leading cellular service provider, with an all India footprint covering all 23 telecom circles of the country. It has over 12 million satisfied customers. Cellular telephony was introduced in India during the early 1990s. At that time, there were only two major private players, Bharti (Airtel) and Essar (Essar) and both these companies offered only post-paid services. Initially, the cellular services market registered limited growth. Moreover, these services were mostly restricted to the metros. Other factors such as lack of awareness among people, lack of infrastructural facilities, low standard of living, and government regulations were also responsible for the slow growth of cellular phone services in India. Although the cellular services market in India grew during the late 1990s (as the number of players increased and tariffs and handset prices came down significantly) the growth was rather marginal. This was because the cellular service providers offered only post-paid cellular services, which were still perceived to be very costly as compared to landline communications. Following this realization, the major cellular service providers in India, launched pre-paid cellular services in the late 1990s. The main purpose of these services was to target customers from all sections of society (unlike post-paid services, which were targeted only at the premium segment).

Bhartis Mission

To be globally admired for telecom services that delight customers.

We will meet global standards for telecom services that delight customers through: Customer Service Focus

Empowered Employees

Cost Efficiency

Unified Messaging Solutions

Innovative products and services

Error- free service delivery

Board of Directors
The Board of Directors of the Company has an optimum mix of Executive and Non-Executive Directors, which consists of three Executive and fifteen Non-Executive Directors. The Chairman and Managing Director, Mr. Sunil Bharti Mittal, is an Executive Director and the number of Independent Directors on the Board is 50% of the total Board strength. The independence of a Director is determined on the basis that such director does not have any material pecuniary relationship with the Company, its promoters or its management, which may affect the independence of the judgment of a Director. The Board members possess requisite skills, experience and expertise required to take decisions, which are in the best interest of the Company.

The composition of the Board is as under: Sunil Bharti Mittal Rajan Bharti Mittal Akhil Gupta Rakesh Bharti Mittal Chua Sock Koong N. Kumar Kurt Hellstorm Donald Cameron Paul OSullivan Professor V.S. Raju Pulak Chandan Prasad Bashir Abdullah Currimjee Gavin Darby Syeda Imam Ajay Lal York Chye Chang Paul Donovan Arun Bharat Ram


First to launch Cellular service on November 1995.

First operator to revolutionaries the concept of retailing with the inauguration of AirTel Connect (exclusive showrooms) in 1995.

First to introduce push button phone in India.

First to expand it's network with the installation for second mobile switching center in April, 1997 and the first to introduce the Intelligent Network Platform First to provide Roaming to its subscribers by forming an association called World 1 Network.

First to provide roaming facility in USA. Enjoy the mobile roaming across 38 partner networks & above 700 cities Moreover roam across international destinations in 119 countries including USA, Canada, UK etc with 284 partner networks.

BHARTI announces aggrement with VODAFONE marking the entry of the World's Largest Telecom Operator into India

Bharti Enterprises and AXA Asia Pacific Holdings Limited announce Partnership for a life insurance joint venture in India

Airtel Launches future factory - Centres of Innovation to Incubate Pioneering Mobile Applications

16 states, 600 million people. Only India's leading mobile service offers you the truly 'freedom-packed' Prepaid!

It is also the first company to export its products to the USA.

BHARTI announces agreement with VODAFONE marking the entry of the World's Largest Telecom Operator into India

Vodafone to invest approximately Rs. 6,700 crores (approx. USD

1.5 bn.) to acquire around 10% in Bharti Tele-Ventures Ltd.

Bharti Enterprises, SingTel and Vodafone to take Bharti TeleVentures Ltd. to unassailable leadership position in India

The largest single foreign investment ever in the history of India The largest investment in the Indian telecom sector Bharti establishes its supremacy in the Indian telecom market,
having attracted Asias best SingTel, and now worlds best Vodafone.

Bharti set to gain global leadership in the telecom sector Bharti Enterprises continues to hold shareholding and management
control in Bharti Tele-Ventures.

Awards for the year 2006-2007





AirTel: Appropriating the value of 'expression'

Over the last couple of years, the market has grown considerably, with deeper penetration and wider usage of voice and data services, accompanied by much higher competitive intensity," Atul Bindal, chief marketing officer, Bharti TeleVentures, expands on this. "In this context, differentiating merely on network, coverage and SMS is just not enough. You need to go beyond all the rational identifiers - which are prerequisites in any case - and connect at a deeper level. We needed a strong differentiator in an increasingly commoditized and crowded market. We found this differentiator in a core human truth that defines our category - which is that there are moments when you need to make your point, when you need to be heard. Expressing and communicating are perhaps two of the most basic emotions. AirTel enables you to make your point in the most expressive way, anytime, anywhere. The campaign is towards owning this through 'Express yourself.' We believe 'Express yourself' allows us to connect at a deeper level and create a long-term platform for the brand." For AirTel, the challenge also lay in presenting a unified 'face' to the consumer. This assumes significance when viewed in the light of the company's pre- and post-paid communication, which, in the past, had been treated very differently. Brand image, as a result, was being driven in two different dimensions. "Brand AirTel is a category leader straddling completely different market segments such as consumer, business and corporate, as well as different voice, data and payment platforms," says

Bindal. "'Express yourself' enables the brand to unify and connect across the entire base of our existing and prospective customers." One of the most obvious benefits of owning a property such as 'candid expression' (and 'Express yourself') is the expansive nature of the thought. "The moment you have as broad a canvas as 'Express yourself', it becomes easy for anyone working on the brand to come up with new ideas and executions. That's what makes a good campaign idea," observes Rediff's Prashant Godbole, who, along with creative partner Zarvan Patel, conceived the campaign. This is just the proverbial tip of the iceberg, Patel adds. "We will be taking the idea forward in many different ways in the forthcoming work," he informs. Patel also credits his creative team for "fleshing out the idea".

In October 2002, Magic led the market, with 30% of the market share. Bharti claimed that its strategies were one of the most ambitious experiments ever in the Indian pre-paid cellular telephony market. However, given the increasing competitive pressure, doubts were being expressed regarding the ability of Bharti's marketing initiatives to help Magic retain its 'Magic' in the future.

Bharti Televentures is the fixed line operator business of Airtel. In the recent branding exercise, all the services have been offered under the Airtel brand. Data is the next driver for growth. This is clear to the operators who have belatedly realized the implications for having a pie in all the segments of telecommunications. Hence Bharti ventured in the broadband market. However, the main contention in the broadband market is the price offering which includes the bandwidth costs as well as the cost of laying down the copper wire. Typically, in the mentality of the profit making exercise, Airtel has so far focused only in those areas where it perceives that a huge market is present. However, I still hold that their thrust should be in smaller towns and cities where BSNL would ultimately usurp their potential customer base. It seems that their fancily paid MBAs havent really understood the success of BSNL who focused on the B and C class cities where it has drawn unparalleled support despite the lousy customer experiences. This is because of the absence of any other operator. The current offerings by Airtel does not really enthuse a potential customer who is looking at sustained data transfer. It is the classic case of having something better than nothing. Add to the lousy customer care that Airtel is slowly perfecting, it is staffed with people who usually land up in their jobs with little idea of their job profile. The so-called Tech engineers have often been unable to help a customer who is facing issues with the connectivity. I have read first person accounts for the same.


The company is a part of Bharti Enterprises, and is India's leading provider of telecommunications services. The businesses at Bharti Airtel have been structured into three individual strategic business units (SBUs) - mobile services, broadband & telephone services (B&T) & enterprise services. The mobile services group provides GSM mobile services across India in 23 telecom circles, while the B&T business group provides broadband & telephone services in 90 cities. The Enterprise services group has two subunits - carriers (long distance services) and services to corporates. All these services are provided under the Airtel brand. Our Services: Voice Services Mobile Services Satellite Services Managed Data and Internet Services Managed e-Data Services

AirTel launches VQE (Voice Quality Enhancer) for the first time in Kolkata.
Introducing VQE (Voice Quality Enhancer) for the first time in Kolkata. VQE is a revolutionary new system that spectrally reduces background noise. It eliminates acoustic echo, adjusts speech levels in both directions and does away with low or distorted speech so that every word of your's can be heard clearly, wherever you may be speaking from. The VQE technology has been sourced from Tellabs of USA, world leaders in Voice Quality technology. Some of the prominent GSM operators using Tellabs solution in the world are SingTel, Bell South, Telstra, BT Cell etc. The Tellabs noise reduction technology removes high background noise from the wireless side of the call thus delivering near wireline clear call quality on mobile phones. The Tellabs 3000 series of voice-quality enhancement echo technology also eliminates the complexity of acoustic echo generated by digital mobiles and hands free kits. So go ahead. Express yourself and feel the difference on Kolkata's only Non-Stop 2.5G Network

SERVICE NAME Calling Line Identification Presentation (CLIP)





Automatic Displays the callers only for new number on your mobile acquisitions phone screen Users can call to get certain information and service. For instance, Automatic Dial 604 for Infotel, only for new Dial 131 for Railway acquisitions info. These call numbers are available in the phone book Automatic download exclusive only for new contents from Airtel's acquisitions WAP site


Rs. 2.40 per minute

Rs. 2 per minute


Per content download

Per content download

GPRS & Masala

Access internet on the Automatic GPRS Charges GPRS Charges move and download only for new - Rs 600 per - Rs 600 per exclusive contents from acquisitions month month Airtel's WAP site Users can call into this Automatic voice recognition only for new service and listen to acquisitions jokes, movie gossips, download ringtones etc Content offered by Automatic media companies like only for new Indiatimes, Rediff, acquisitions Yahoo fall into this category Rs. 6 per minutes Rs. 6 per minutes

646 Calling charges

VAS SMS Charges

Rs. 3 per



Bharti Airtel inks USD 400 million network expansion contract with NOKIA

Bharti Airtel limited: Q2 cash profit exceeds Rs. 1,600 crores, PBT crosses Rs. 1,000 crores.

Bharti Airtel is amongst Indias Most Admired Knowledge enterprises in 2006.

Sunil Bharti Mittal receives The Honorary Fellowship from IETE.

Notice of postal ballot for seeking consent of the shareholders on scheme of amalgamation of Satcom Broadband Equipments Limited and Bharti Broadband Limited with Bharti Airtel Limited.

Bharti Airtel to Observe Silent period from October 1, 2006.

After the liberalization of the Indian Telecom Sector in 1994, the Indian cellular market witnessed a surge in cellular services. By 2005, there were a total of 12 players in the market with the five major players being Bharti Tele-Ventures Limited (Bharti), Bharat Sanchar Nigam Limited (BSNL), Hutchinson-Essar limited (Hutch), Idea Cellular limited (Idea) and Reliance India Mobile (RIM) (Refer Exhibit I). All the players except RIM offered services based on the Global System for Mobile (GSM) technology. RIM provided services based on Code Division Multiple Access (CDMA) technology as well as GSM. As competition in the telecom arena intensified, service providers took new initiatives to woo customers. Prominent among these were - celebrity endorsements, loyalty rewards, discount coupons, business solutions and talk time schemes. The most important consumer segments in the cellular industry were the youth segment and the business class segment. The youth segment was the largest and fastest growing segment and was therefore targeted most heavily by cellular service providers. Bharti Tele-Ventures adopted celebrity endorsement as its chief promotional strategy. By 2004 it emerged the unprecedented leader commanding the largest market share in the cellular service market. (Refer Exhibit II). Hutch implemented the celebrity endorsement strategy partially, relying primarily on its creative advertising for the promotion of its brand. BSNL, on the other hand, attracted the consumer through its low cost schemes. Being a state owned player, BSNL could cover rural areas, and this helped it increase its subscriber base. Reliance was another player that cashed on its innovative

promotional strategies, which included celebrity endorsements and attractive talk time schemes. Idea, relied heavily on its creative media advertising sans celebrities.


October 04, 2002

Cellular service provider AirTel seems to have hit the right note with its new commercial starring musician A R Rahman. The commercial which is currently on air has a beat which also doubles up as a ringtone which is ostensibly available only to AirTel users. But the interesting part is that the ringtone is being flaunted not just by AirTel customers but by customers of rival service providers like BPL, Orange and Dolphin as well! We did expect the tune to catch up but this has really exceeded our expectations, admits Bharti Cellulars chief marketing officer (western region) Pratik Pota. Overall, he explains, it is a great advertising product for AirTel and works like a walking, talking brand ambassador.

The ringtone which is also the jingle for AirTels TV commercial, is proving to be a potent advertising tool for the company. It is not very clear what this means for the other cellular operators. Cellular users have been forwarding the tune to one another, which according to Mr Pota, has given AirTel a chance to enter the mind of the user irrespective of which service he opts for. It gives the user a chance to go back to the AirTel product and acts as a strong reminder medium, he explains. Marketing professionals like Samsika Marketing Consultants managing director Jagdeep Kapoor point to the usage of an audio celebrity as something that is significant.

The normal practice is to opt for film stars and sportsmen rather than an audio personality he says. Rivals, though seemingly unfazed by the phenomenon, seem to be doing their own homework on this brand of advertising. While none of them commented on AirTels strategy and its impact on their own subscriber base, one advertising professional working with a rival service provider opines that the tune is transient and not likely to have any long term impact as a brand building tool. Being the latest entrant in the Mumbai circle, AirTel has had to find ways of cutting through the clutter. Says Mr Kapoor, AirTel will have try to find ways to attract new customers and convert the existing ones. Explaining that the usage of an audio celebrity was more strategic than tactical, he adds that non-AirTel users will have the AirTel brand experience inspite of not using the service. While Mr Pota highlights the fact that the usage of the tune by other operators means free advertising for AirTel and the users having a positive disposition towards the product, the nature of reaction from competition remains unclear. Competition will not do well to adopt a knee jerk reaction and will have to come out with advertising that is well thought out explains Mr Kapoor. He anticipates a situation where the new entrant (AirTel) will continue to be more aggressive.

TENDULKAR & SHAHRUKH. Both Tendulkar and King Khan already share the frame for soft drinks major PepsiCo India. Tendulkar is not the first cricketer to endorse Bhartis Airtel brand. Indian captain Saurav Ganguly had done so when Airtel launched its service in the eastern metropolis of Kolkata in 2001. Though company executives were mum on the value of the Tendulkar deal, those in the advertising fraternity peg the signing rate for the three-year deal anywhere between Rs 8 crore and Rs 10 crore. Both Sachin and Shah Rukh are two of the most sought after celeb endorsers in the country, with the former edging out the latter in the celeb endorsement race. The Master Blasters portfolio includes brands like Colgate Pamolive, ESPN-STAR Sports, Pepsi, MRF, Boost, TVS, Palio, Visa, Adiddas and Britannia. The leading brands endorsed by Khan include Hyundai, Pepsi, Airtel, Tag Huer, Clinic All Clear, Bagpiper and Videocon, among others. According to company executives, the idea of roping in Tendulkar is in line with the groups strategy to connect to the mass market through celeb endorsers from movies, cricket and music. For mass connect, Shah Rukh and Sachin are the best bet as brand endorsers, says a senior company executive. Bharti plans to launch a multimedia campaign targetting its service at the mass market.

The objective of my project report is to study the advertising strategy of AIRTEL Cellular service and its effect on mobile users existing and who are going to use mobile service in future. In other words, my aim is to study the Advertising Effectiveness of AIRTEL Cellular service.

Data is collected from both the Primary sources i.e. questionnaire and also from Secondary sources. Primary sources: The primary source of data collection is through questionnaire. The questionnaires are distributed among 35 peoples and their view is recorded and used in analyzing the data Secondary sources : The secondary sources includes online sites, newspapers and templates from AIRTEL distributions centers and AIRTEL Customer Care.

People know about AIRTEL cellular service through 30 % Friends 70% Advertisements 5% Other Sources

friends advertisements other sources

Feature of AIRTEL forced people to use AIRTEL is 35% Advertisements 35%Goodwill 20% Connectivity 10%Schemes

advertisement connectivity schemes goodwill

Peoples first choice of cellular service when they want to use mobile phone AIRTEL 45% HUTCH 30% IDEA 8% RELIANCE 10% TATA INDICOM 5% OTHERS 2%


Feature of AIRTEL is better than the peoples previous cellular service.

Advertisements 25%

Connectivity 60%

Schemes 15%


AIRTEL users in peoples phone book Less than 30% 30% - 70% More than 70% : : : 15% 25% 60%

0-30 30-70 70-100

Type of advertisement mostly like by people in AIRTEL is Audio Visual Print Audio : : : 85% 2% 13%

Audio Visual Print Audio

Celebrity liked by people very much in AIRTEL Sachin : 55% Shahrukh : 38% Kareena : 2% A. R. Rehman : 5%


People take benefits of schemes offered by AIRTEL YES NO CANT SAY : : : 85% 13% 2%


People like most in AIRTEL is NOKIA + AIRTEL AIRTEL MAGIC Postpaid services AIRTEL Broadband : : : : 86% 5% 8% 1%

NOKIA + AIRTEL AIRTEL MAGIC Postpaid services AIRTEL Broadband

Service liked by people most in AIRTEL is AIRTEL missed you service Ring tones Hello tunes : : : 63% 15% 22%


People participate contest offered by AIRTEL like BID TO WIN, LIL CHAMPS YES NO : : 72% 28%


Type of recharge cards liked by people More talk time More validity Both : : : 23% 15% 62%

More talktime More validity Both

AIRTEL is #1 in India Yes No : : 95% 5%

Yes No

The conclusion of my study is that AIRTELs Advertising has a major impact its users. People like its schemes very much .AIRTEL had created a very good image on the mind of the new users of cellular service. AIRTEL has adopted a very good strategy by providing a new connection with NOKIA who is market leader in mobile set, many new users buy Nokia sets and they get a free connection of AIRTEL. AIRTEL is successful in capturing the highest market share by adopting Celebrity Endorsement Strategy. A.R. Rehmaans tune for AIRTEL worked as free advertising for AIRTEL as another service user uses it too. Other celebrities like Shahrukh Khan (bollywood) and Sachin Tendulkar (Cricket) has also contributed very much in AIRTEL.

By virtue of its connectivity and advertising strategy 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 needs to make its network service more stronger than other service providers to dominate the market in future too. AIRTEL should introduce cheaper recharge cards than the other because its competitor HUTCH had introduced it. AIRTEL should sign more celebrities from cricket and bollywood.



o Times of India (15 Oct 2006- 2 Nov 2006)

o Marketing Management, Dr. S.L. Varshney and

Dr. R.L. Gupta, Third Revised Edition, Sultan Chand and Sons.

NAME: ADDRESS: OCCUPATION: . CELLULAR SERVICE USED:. If AIRTEL than proceed further 1. How did you know about AIRTEL cellular service? Friends Advertisements Other Sources

2. Which feature of AIRTEL forced you to used AIRTEL ? Advertisements Goodwill 3. Which was your first choice of cellular service when you want to use mobile phone? AIRTEL HUTCH IDEA Connectivity Schemes




4. Which feature of AIRTEL is better than your previous cellular service? Advertisements Connectivity Schemes 5. How many AIRTEL users in your phone book? Less than 30% 30% - 70% More than 70%

6. Which type of advertisement you most like in AIRTEL? Audio Visual Print Audio

7. Which celebrity you like very much in AIRTEL? Sachin Shahrukh Kareena A. R. Rehman 8. Have you take benefits of any scheme offered by AIRTEL? YES NO 9. Which you like most in AIRTEL? NOKIA + AIRTEL Postpaid services AIRTEL MAGIC AIRTEL Broadband Free Ringtones

10.Which service you like most in AIRTEL? AIRTEL missed you service Free Hello tunes

11.Do you participate contest offered by AIRTEL like KBC-2 & Indion Idol-2? YES NO 12.Which type of recharge cards you like most? More talktime More validity Both (i.e. Post paid)

13.According to you is AIRTEL is #1 in India? Yes No