SUMMER INTERNSHIP PROGRAM REPORT On STUDY OF MARKETING MIX ANALYSIS OF 4G LTE OF BHARTI AIRTEL LTD.

SUBMITTED TO

MIT PUNEs

MIT SCHOOL OF TELECOM MANAGEMENT

BY Ravi Siddh PRN: 12084 Batch : 2012-2014

IN PARTIAL FULFILLMENT OF POST GRADUATE DIPLOMA IN MANAGEMENT (PGDM)

DECLARATION

I, Mr. Ravi siddh Hereby declare that this project report is the record of authentic work carried out by me during the period from 23/04/2013 to 22/06/2013 and has not been submitted earlier to any University or Institute for the award of any degree / diploma etc.

Name of the student

RAVI SIDDH

Date

Company Letter Head

Certificate

This

is

to

certify

that

the

Summer

Internship

project

titled

. is a bonafide and sincere work of

Mr. / Ms

It is original and has been made under my supervision in partial fulfillment of the requirement for the award of PGDM

(Systems/Marketing/Finance) for the period from .. to . I am pleased to say that his performance during this period was .

.. Company Guide

Certificate

This is to certify that Mr. / Ms of MIT PUNEs MIT School of Telecom Management (MITSOT) has successfully completed the project work titled-----------------------------------in partial fulfillment of requirement for the completion of PGDM program as prescribed by the MITSOT.

This project report is the record of authentic work carried out by him / her during the period from ------------- to ---------------. He / She has worked under my guidance.

Name: Faculty Mentor MITSOT

Dr. Milind Pande Project Director MITSOT

Date:

Acknowledgments
I would like to acknowledge all of my family members to making me avail this opportunity and my whole heartedly gratitude to all the staff teaching or non-teaching involved directly or indirectly in making my project successful. I would like to thank the following contributions in preparing this report:

Mr. Manish Mishra

Project Manager (Airtel)

Selected me and made me available with all the available resources and provided valuable insights about future findings.

Mr. Tahir jariwala

Company Guide (Airtel)

Mentoring throughout the project through day to day discussions,providing valuable insights to the different issues and helping to come out with major proposals.

Mr. Ram Sharma

Channel partner (Airtel)

Provided the resources and helped me at the initial level of my SIP. Provided the trainings and resources from starting to the end helped in getting out of all the situations, shared all his experiences helped me during my SIP.

Mr. Devendra singh

Channel partner (Airtel)

Prof. Rajashri kadam

Faculty Marketing Department

Guided me from the very beginning by helping to choose the project title, explaining the significance and scope of the project, facilitating all the data feed and overall monitoring.

Executive Summary
In todays competitive world, it is must for a company to have full information about the opportunities available in the market before entering into market with a new product. This enables the company to exploit the full potential of the market & to meet the expectations of the customer. For this purpose, an effective survey is required. After going through the complete profile of BHARTI AIRTEL LTD. I caome to know about the services provided by AIRTEL. It has many vibrant and attractive schemes in comparison with its competitors in the market. Hence, I have chosen this topic keeping in mind that his survey work will definitely help the organization in making strategies for marketing and promotion of the products so I have chosen this topic Marketing Mix Analysis 4G LTE

1) Introduction: Airtel exclusive 4G Data Card admits access the internet with a
marvelous speed of 10 to 45 mbps. Airtel 4G gives a truly seamless video experience online with no buffering and no streaming . Dedicated spectrum for data card, Spectrum is not shared with mobile customers. Reliance data card allows you to surf internet on the move. Best suited for bandwidth hungry applications like rich content, enjoy music downloads, gaming, video chat, live TV and much more at an outstanding speed of up to 100 Mbps technically with 3G prices.

1.2 Objectives and Limitations:

Objectives:
To analyze different strategies in detail and find out the adoption timing of all strategies among existing and new customers requirements so that the ground can be set for the development of the comprehensive marketing plan for the competition of Bharti Airtel Limited. To understand the requirements of different data products in the Pune market,we were required to connect with the market directly and understand requirements through a structured questionnaire designed for in-depth interview or survey.

1. To study Marketing Mix effect on Airtel 4G in PUNE City. 2. To carried out SWOT analysis of Airtel 4G in PUNE City.

Limitations:
1. Airtel 4G sim cards are not yet compatible for voice. 2. Up till now It is covering only 70% of Pune. 3. Not of use in rest of the Maharashtra because in Maharashtra; 4G services are available in Pune only and license for 3G services in Maharashtra-Goa circle is not given to Airtel. So when 4G customer cross the boundaries of Pune, network directly switch to 2G (128kbps) speed.

Findings:
1. If any one is not happy with the other services of Airtel like mobile, digital tv, leas lines, or after sale services and service center response etc, he/she would not like to buy the 4G product by Airtel and vice versa. 2. Airtel is the only player with 4G services in the market; trying to an cash golden period of its with skimming pricing strategy. 3. Company allocate its seles work to distributers and channel partners with monthly target formate; if customer ask to the distributers weather it will work across Pune they say Yes because their agenda is to complete their monthly target any how. But when customer come to know that he/she has been cheated he/she would not like to buy any product from Airtel. Its moreover a companys loss not distributers.

Research Problem Statement:

The main problem which I found while conducting the survey was lack of network connectivity in several areas of Pune which was one of the reasons of sales of Airtel 4G could not meet the expectations of the company.

Scope of the Study:

This sarvay is conducted in Pune city, and tried to cover most of the portion. I kept my target to SMEs, IT companies, and showrooms etc. This project mainly helped to know how to design strategies and to develop business for the company.

Methodology

The methodology used in research is questionnaire based, which is the best way to know about the overall details of the current market scenario for Airtel 4G. The questionnaire is prepared by me only during my internship, these questionnaire is prepared on the basis of my interaction with various corporate customers at various places of Pune. The questionnaire were basically consist of open ended and closed ended questions so that it was open for the respondents to give their views, opinion or any other query if they have, which specify to improvement of customer base in 4G net connection.

Primary data :
Primary data is collected to obtain desired information through structured questionnaire. The primary data for this project was collected through personal interviews with IT professionals, HRs, and other decision makers from about 35 companies.

Survey procedure:
Sampling technique :
I have used Non-probability sampling,(convenience sampling) technique.

Convenience sampling technique:

This method is been used for obtaining data as per the convenience and because of time constraint of 8 weeks. The process followed was: 1. Firstly, I differentiated all the companies using or not using any kind of net connection as I initially assigned as a lead generator for the company so I collected the data though out my SIP and compiled that data into excel sheet. 2. The whole data is transferred into SPSS 17.0 .

3. Then I used SPSS software for in-depth analysis of survey. 4. With the help of Descriptive analysis tools of Analysis in SPSS analyzed the whole data.

Sampling elements:
Population:
In view of scope of research the population was approximately 10000 small and medium enterprises in Pune. I have covered approximately 1300 companies in doing the survey.

Samplingframe: The whole SMEs population was impossible to complete because of time
constraint of 8 weeks so, I have divided the population of 10000 companies into a sample frame consisting of only IT/non-IT companies in some specific areas like MIDC Bhosari, Kothrud, Bavdhan, Baaner, Aundh, Hadapsar, FC Road, JM Road etc. as per my convenience.

Sampling unit:
The SMEs using Internet leased line or voice services or fixed lines.

Sample size :
The sample size taken is 100 companies. These companies have given complete details on the basis of interview questions and the prepared questionnaire.

Secondary data :
Secondary data is being collected by newspapers, journals and websites etc.

Results and findings

Various net connections using by customers

Name of net providers BSNL Reliance net connect Airtel Tata docomo Idea net Vodafone other local net provider

percentage 14 12 15 23 16 17 3

various net connections using by customers in Pune city

BSNL Tata docomo other local net provider 3% 11% 20% 12% 30% 14% 10% Relience net connect Idea net Airtel vodafone

Name of net providers BSNL Reliance net connect Airtel Tata docomo Idea net Vodafone other local net providers

Percentage of satisfaction 14 10 12 30 20 11 3

Source: Fictitious data, for illustration purposes only

Profile of the Company and Industry Overview

Bharti Airtel Limited is a leading global telecommunications company with operations in 20 countries across Asia and Africa. Headquartered in New Delhi, India, the company ranks amongst the top 4 mobile service providers globally in terms of subscribers. In India, the company's product offerings include 2G, 3G and 4G wireless services, mobile commerce, fixed line services, high speed DSL broadband, IPTV, DTH, enterprise services including national & international long distance services to carriers. In the rest of the geographies, it offers 2G, 3G wireless services and mobile commerce. Bharti Airtel had over 269 million customers across its operations at the end of March 2013.. The businesses at Bharti Airtel have been structured into three strategic business units. 1) Mobile services:Bharti Airtel provides service in 23 circles across all over INDIA and hence is the first private mobile service operator to have an all INDIA presence. 2) Broadband & Telephone services:Bharti Airtel provides broadband and telephone services across 90 cities all over INDIA. 3) Enterprise services:Enterprise service is classified into carriers (long distance services) and corporates that take care of international and provide services to corporate people.

Business divisions
Mobile Services. Telemedia Services. Airtel Business. Digital TV Services.

Mission :
Will meet the mobile communication needs of our customer through: Error free service delivery Innovative product and service Cost efficiency Unified messaging solution

Product profile

Features of product :

Fastest Internet Device, Also Supports 4G Network Easy to install Through Inbuilt Mobile Partner Single Click connect / disconnect Elegant design and look Speed upto 100 Mbps DL Great Network Strength With 12 months warranty Support any 2G 3G 4G Networks MicroSD Upto 32GB slot for using the device like pen drive External Antenna slot When initially connected to Desktop / Laptop it will install the Mobile partner software and it will automatically create the network profile based on the SIM inserted. A USB 2.0 connector to connect the airtel 4G LTE USB Modem to the laptop/PC. LTE network only with USIM. A USIM card slot to insert a USIM in the device

Break free unlimited 4G plans for B2B customers

4G hi-speed monthly data limit (GB)* Monthly Rental

3GB 650

5GB 750

6GB 950

8GB 1250

9GB 1399

18GB 1999

30GB 2999

50GB 4799

Break free unlimited 6 month advance rental 4G plan for B2B customer
4G hi-speed monthly data limit (GB)* Special offer price savings for customer 3GB 5999 400 6GB 6999 1200 9GB 7999 2894 18GB 9999 4494 30GB 13999 6494 50GB 23999 7294

SWOT analysis of Airtel 4G LTE :

Strengths :

Undefeated break free speed of 10 to 45 mbps gives the tremendous experience to user. Large base of loyal Airtel customer 92% active customers.

Weakness :
Low network connectivity. 3G services of Airtel in Maharashtra-Goa circle has stopped by Gov. so when 4G data ends it switches to 2G (128 kbps) from 40 to 50 mbps.

Opportunity :
Only player in the market with 4G service has good opportunity to create new customer base. India is competing with world standard in telecom sector. 4G is available only in 4 cites in India, all over India can be the market for 4G.

Threats :
Sampling elements: Population: In view of scope of research the population was approximately 12000 IT/non-IT companies in Pune. I have covered approximately 50 companies in doing the survey.

Samplingframe:The whole SMEs population was impossible to complete because of time constraint of 2 months so, I have divided the population of 12000 companies into a sample frame consisting of only IT/non-IT companies in some specific areas Kothrud, Bavdhan-Khurd, Deccan ,JM road, Tilak road as per my convenience.

Sampling unit:

The SMEs using Internet leased line or voice services or fixed lines.

Sample size: The sample size taken is 50 companies. These companies have given complete detail on the basis of interview questions and the prepared questionnaire. Sample size was so small because of time and monetary constraints.

ADVERTISING AND SALES PROMOTION

Reliance communication can advertise and promoted his sales by TV. Brands, holdings, giving advertisement in news papers and TV. channels by the help of celebrities and also promoted sales, executives.

COMPETITORS
Major competitors in todays market are which gave a proper competition to the Reliance company in the communication sector are as follows: IDEA AIRTEL TATA INDICOM VODAFONE BSNL Uninor

Name

Last Price

Market Cap. (Rs. cr.) 99,134.52

Sales Turnover 41,603.80

Net Profit

Total Assets

BhartiAirtel

261.05

5,730.00

63,559.00

Idea Cellular Reliance Comm Tata Comm MTNL TataTeleservice Tulip Telecom

80.20 48.80 232.25 37.75 11.15 80.15

26,549.96 10,072.45 6,619.13 2,378.25 2,115.37 1,162.18

19,322.33 11,110.00 4,091.77 3,368.99 2,488.44 2,704.81

576.54 156.00 171.34 -4,018.45 -517.55 315.18

23,072.72 73,068.00 8,087.80 12,184.20 4,237.96 2,971.39

Research METHODOLOGY

ANNEXURE

QUESTIONNAIRE FOR MARKET SURVEY AND PRODUCT PROMOTION OF RELIANCE POSTPAID

NAME OF THE COMPANY _ _ _ _ __ _ _ ___ _ _ _ _ _ _ _ _ _

ADDRESS _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _

CONTACT NO.

HANDLED PERSON __ _ _ _ _ _ _ _ _ _ _ _ __ _ _ _ _ _

1)

WHAT ARE THE TELECOM SERVICES YOU ARE USING?

RELIANCE AIRTEL

IDEA

HUTCH

OTHER

2)

IF OTHER THEN RELIANCE THEN

IS THERE ANY POSSIBILITY FOR OTHER SERVICE PROVIDER?

YES

NO

IF RELIANCE THEN WHICH ONE?

PREPAID

POSTPAID

3)

DO YOU KNOW ABOUT THE NEW PLANS IN RELIANCE POSTPAID?

YES

NO

4)

WHICH PLAN ARE YOU USING CURRENTLY AND WHAT IS YOUR BILL?

PLAN - - - - - -

BILL - - - - - - -

5)

DO YOU WANT TO TAKE ANY POSTPAID CONNECTION WITH THESE PLANS?

(AFTER TELLING HIM ALL THE PLANS ACCORDING TO HIS USAGE OF PHONE)

YES

NO

QUESTIONNAIRE
FOR MARKET SURVEY AND PRODUCT PROMOTION OF

RELIANCE NETCONNECT DATA CARD & USB MODEM

NAME OF THE COMPANY _ _ _ _ __ _ _ ___ _ _ _ _ _ _ _ _ _

ADDRESS _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _ _

CONTACT NO.

HANDLED PERSON __ _ _ _ _ _ _ _ _ _ _ _ __ _ _ _ _ _

1) WHAT ARE THE INTERNET SERVICES ARE YOU USING?

RELIANCE AIRTEL

BSNL

VSNL

OTHER

2) HOW MUCH IS YOUR MONTHLY BILL?

BILL - - - - - -

3) DO YOU KNOW ABOUT THE RELIANCE NET CONNECT DATA CARD AND USB

MODEM?

YES

NO

4) YOU ARE USING INTERNET ON

LAPTOP

DESKTOP

BOTH

5) WHAT IS YOUR USAGE?

SURFING MORE

DOWNLOADING MORE

6)

DO YOU WANT TO TAKE ANY ONE WITH THESE PLANS?

(AFTER TELLING HIM ALL THE PLANS ACCORDING TO HIS USAGE OF INTERNET)

YES

NO

Objectives of study
To know the satisfaction of the customer toward reliance data card To find out the perception of the customer to words reliance data cards To study data card market in pune

Literature Review

Customer satisfaction is defined as "the number of customers, or percentage of total customers, whose reported experience with a firm, its products, or its services (ratings) exceeds specified satisfaction goals In a survey of nearly 200 senior marketing managers, 71 percent responded that they found a customer satisfaction metric very useful in managing and monitoring their businesses. Within organizations, customer satisfaction ratings can have powerful effects. They focus employees on the importance of fulfilling customers expectations. Furthermore, when these ratings dip, they warn of problems that can affect sales and profitability. . . . These metrics quantify an important dynamic. When a brand has loyal customers, it gains positive word-of-mouth marketing, which is both free and highly effective. In researching satisfaction, firms generally ask customers whether their product or service has met or exceeded expectations. Thus, expectations are a key factor behind satisfaction. When customers have high expectations and the reality falls short, they will be disappointed and will likely rate their experience as less than satisfying. For this reason, a luxury resort, for example, might receive a lower satisfaction rating than a budget motel even though its facilities and service would be deemed superior in 'absolute' terms. The importance of customer satisfaction diminishes when a firm has increased bargaining power. For example, cell phone plan providers, such as AT&T and Verizon, participate in an industry that is an oligopoly, where only a few suppliers of a certain product or service exist. As such, many cell phone plan contracts have a lot of fine print with provisions that they would never get away if there were, say, a hundred cell phone plan providers, because customer satisfaction would be way too low, and customers would easily have the option of leaving for a better contract offer. Customer satisfaction, a term frequently used in marketing, is a measure of how products and services supplied by a company meet or surpass customer expectation. Customer satisfaction is defined as "the number of customers, or percentage of total customers, whose reported experience with a firm, its products, or its services (ratings) exceeds specified satisfaction goals." In a survey of nearly 200 senior marketing managers, 71 percent responded that they found a customer satisfaction metric very useful in managing and monitoring their businesses.

It is seen as a key performance indicator within business and is often part of a Balanced Scorecard. In a competitive marketplace where businesses compete for customers, customer satisfaction is seen as a key differentiator and increasingly has become a key element of business strategy.

"Within organizations, customer satisfaction ratings can have powerful effects. They focus employees on the importance of fulfilling customers expectations. Furthermore, when these ratings dip, they warn of problems that can affect sales and profitability. . . . These metrics quantify an important dynamic. When a brand has loyal customers, it gains positive word-ofmouth marketing, which is both free and highly effective." Therefore, it is essential for businesses to effectively manage customer satisfaction. To be able do this, firms need reliable and representative measures of satisfaction. "In researching satisfaction, firms generally ask customers whether their product or service has met or exceeded expectations. Thus, expectations are a key factor behind satisfaction. When customers have high expectations and the reality falls short, they will be disappointed and will likely rate their experience as less than satisfying. For this reason, a luxury resort, for example, might receive a lower satisfaction rating than a budget motel even though its facilities and service would be deemed superior in 'absolute' terms." The importance of customer satisfaction diminishes when a firm has increased bargaining power. For example, cell phone plan providers, such as AT&T and Verizon, participate in an industry that is an oligopoly, where only a few suppliers of a certain product or service exist. As such, many cell phone plan contracts have a lot of fine print with provisions that they would never get away if there were, say, a hundred cell phone plan providers, because customer satisfaction would be way too low, and customers would easily have the option of leaving for a better contract offer. There is a substantial body of empirical literature that establishes the benefits of customer satisfaction for firms.

Customer A customer (also known as a client, buyer, or purchaser) is the recipient of a good, service, product, or idea, obtained from a seller, vendor, or supplier for a monetary or other valuable consideration. Customer may or may not also be a consumer, but the two notions are distinct, even though the terms are commonly confused. A customer purchases goods; a consumer uses them. An ultimate customer may be a consumer as well, but just as equally may have purchased items for someone else to consume. An intermediate customer is not a consumer at all. The situation is somewhat complicated in that ultimate customers of socalled industrial goods and services (who are entities such as government bodies, manufacturers, and educational and medical institutions) either themselves use up the goods and services that they buy, or incorporate them into other finished products, and so are

technically consumers, too. However, they are rarely called that, but are rather called industrial customers or business-to-business customers. Similarly, customers who buy services rather than goods are rarely called consumers. Six Sigma doctrine places (active) customers in opposition to two other classes of people: notcustomers and non-customers. Whilst customers have actively dealt with a business within a particular recent period that depends from the product sold, not-customers are either past customers who are no longer customers or potential customers who choose to do business with the competition, and non-customers are people who are active in a different market segment entirely. Geoff Tennant, a Six Sigma consultant from the United Kingdom, uses the following analogy to explain the difference: A supermarket's customer is the person buying milk at that supermarket; a not-customer is buying milk from a competing supermarket, whereas a non-customer doesn't buy milk from supermarkets at all but rather "has milk delivered to the door in the traditional British way". A customer may or may not also be a consumer, but the two notions are distinct, even though the terms are commonly confused. A customer purchases goods; a consumer uses them. An ultimate customer may be a consumer as well, but just as equally may have purchased items for someone else to consume. An intermediate customer is not a consumer at all. The situation is somewhat complicated in that ultimate customers of so

called industrial goods and services (who are entities such as government bodies, manufacturers, and educational and medical institutions) either themselves use up the goods and services that they buy, or incorporate them into other finished products, and so are technically, consumers too. However, they are rarely called that, but are rather called industrial customers or business-to-business customers. Similarly, customers who buy services rather than goods are rarely called consumers. Six Sigma doctrine places (active) customers in opposition to two other classes of people: not-customers and non-customers. Whilst customers have actively dealt with a business within a particular recent period that depends from the product sold, not-customers are either past customers who are no longer customers or potential customers who choose to do business with the competition, and noncustomers are people who are active in a different market segment entirely. Geoff Tennant, a Six Sigma consultant from the United Kingdom, uses the following analogy to explain the difference: A supermarket's customer is the person buying milk at that supermarket; a notcustomer is buying milk from a competing supermarket, whereas a non-customer doesn't buy milk from supermarkets at all but rather "has milk delivered to the door in the traditional British way. Tennant also categorizes customers another way, that is employed out with the fields of marketing. Whilst the intermediate/ultimate categorization is used by marketers,

market regulation, and economists, in the world of customer service customers are categorized more often into two classes: 1. An external customer of an organization is a customer who is not directly connected to that organization. 2. An internal customer is a customer who is directly connected to an organization, and is usually (but not necessarily) internal to the organization. Internal customers are usually stakeholders, employees, or shareholders, but the definition also encompasses creditors and external regulators.

The notion of an internal customer

before the introduction of which external

customers were, simply, customers was popularized by quality management writer Joseph M. Juran, who introduced it in the fourth edition of his Handbook (Juran 1988). It has since gained wide acceptance in the literature on total quality management and service marketing; and the customer satisfaction of internal customers is nowadays recognized by many organizations as a precursor to, and prerequisite for, external customer satisfaction, with authors such as Tansuhaj, Randall & McCullough 1991 arguing that service organizations that design products for internal customer satisfaction are better able to satisfy the needs of external customers.

Building a company around customer satisfaction

In this world of extreme competition, companies with a total focus on customer are going to be the winner. Companies must understand importance of customer satisfaction and then build process around it. A satisfied customer will be a loyal customer. There are large offering of products and services available in the market then why the customer should choose a given companys product. According to various research and studies it has been confirmed that consumer will purchase products, which given them maximum perceived value. This value comes from calculating the cost associated with the emotional level decision like the brand image, corporate brand, sales personnel image and functional image. This value converts to total customer cost by including purchase cost, time-energy in evaluation of

product and intuitive cost. Companies are able to achieve this state of total customer satisfaction by incorporating good business practices. These practices are constructed around stakeholders, business process, resource and organization. Companys stakeholders consist of employees, suppliers, distributors and customers. Earlier focus has always solely been on shareholders, but now stakeholders need to be satisfied for shareholders profit. Companies need to define boundaries of relation with stakeholders as to get the maximum value for every participant. To ensure maximum value, companies need to develop business processes, which understand and fulfill customer expectations. This can

be achieved by aligning cross functional teams across critical processes, to create one smooth flow. Companies need to understand its core competencies and develop them, thereby successfully managing its resources. Organizational structure, design and policies have to be suitable to facilitate the introduction of total customer satisfaction culture. Companies through creating and delivering value can develop total customer satisfaction. Company itself can be considered as a value chain consisting of primary and secondary activities. Primary activities consist of inbound materials, operation, delivering finished products, sales/marketing and servicing clients. Secondary activities consist of functional departments like technology department, procurement department, human resource and finance department. This value created is delivered to customer through the distribution channel under the principle of supply chain management. Customers in the digital age are much more conscious and aware of their need and wants, making them a difficult lot to please. Companies run marketing campaign highlighting points of similarity and difference with competitors products. The art is not at attracting the customer, but it is at retaining the customer and creating long term relation with them. Companies usually suffer from churning effect where customers do not make the repurchase. Companies need to work hard in identifying reasons behind this churning. Once reasons are identified separate them on the basis of manageable and non-manageable issues and then work hard at eliminating manageable issues. Companies need to develop policies and measure at retaining customers along with attracting new customers. This art of retention can be achieved through customer relationship management (CRM). In CRM the task is to develop strong consumer based brand equity, which is done by converting first time buyer to repeat buyer to a client to a member to advocates and finally to partners. During these course companies can look forward to offering financial benefits in terms of discount for frequent buyers or also by association with a social cause. Companies are able to achieve this state of total customer satisfaction by incorporating good business practices.

Companys stakeholders consist of employees, suppliers, distributors and customers. Earlier focus has always solely been on shareholders, but now stakeholders need to be satisfied for shareholders profit. Companies need to define boundaries of relation wi th stakeholders as to get maximum value for every participant. To ensure maximum value, companies need to develop business processes, which understand and fulfill customer expectations. This can be achieved by aligning cross functional teams across critical processes, to create one smooth flow. Companies need to understand its core competencies and develop them, thereby successfully managing its resources. Organizational structure, design and policies have to be suitable to facilitate the introduction of total customer satisfaction culture. Companies through creating and delivering value can develop total customer satisfaction. Company itself can be considered as a value chain consisting of primary and secondary activities. Primary activities consist of inbound materials, operation, delivering finished products, sales/marketing and servicing clients. Secondary activities consist of functional departments like technology department, procurement department, human resource and finance department. This value created is delivered to customer through the distribution channel under the principle of supply chain management. Customers in the digital age are much more conscious and aware of their need and wants, making them a difficult lot to please. Companies run marketing campaign highlighting points of similarity and difference with competitors products. The art is not at attracting the customer, but it is at retaining the customer and creating long term relation with them. Companies usually suffer from churning effect where customers do not make the repurchase. Companies need to work hard in identifying reasons behind this churning. Once reasons are identified separate them on the basis of manageable and non-manageable issues and then work hard at eliminating manageable issues.

Companies need to develop policies and measure at retaining customers along with attracting new customers. This art of retention can be achieved through customer relationship management (CRM). In CRM the task is to develop strong consumer based brand equity, which is done by converting first time buyer to repeat buyer to a client to a member to advocates and finally to partners. During these course companies can look forward to

offering financial benefits in terms of discount for frequent buyers or also by association with a social cause. Companies are in business to make the profit. Therefore, it has to identify profitable customers. Profitable customers provide a revenue stream more than the expense stream on retaining them. And this revenue stream should be higher for a company to have a competitive advantage. More and more companies are deploying total quality management approach across the organization to build and deliver customer satisfaction.

Satisfaction as part of service profit chain

The service-profit chain establishes relationships between profitability, customer loyalty, and employee satisfaction, loyalty, and productivity. The links in the chain (which should be regarded as propositions) are as follows: Profit and growth are stimulated primarily by customer loyalty. Loyalty is a direct result of customer satisfaction. Satisfaction is largely influenced by the value of services provided to customers. Value is created by satisfied, loyal, and productive employees. Employee satisfaction, in turn, results primarily from high-quality support services and policies that enable employees to deliver results to customers. The service-profit chain is also defined by a special kind of leadership that emphasizes the importance of each employee and customer. There are two things about loyalty which are important to notice. A satisfied customer is not automatically a loyal customer. Its only the super satisfied customers who become loyal. That is why satisfied is not enough in a world of abundance which is the situation for many companies today. Add to that the tough reality that what we considered fantastic last year is what we expect this year. The expectations of the customer change all the time. If a company wants to maintain the loyalty it has to get better and better. Xerox found that

customers that rated those 5 (on a 1-5 customer satisfaction ranking) were six times more likely to repurchase Xerox equipment versus those at the 4 rating level. Xerox coined the term "apostles" to characterize the customers that rated them a 5. Just as important is to avoid creating terrorists: customers that become so upset the make it a point to speak out about the poor service they received at every opportunity. Loyal customers are more likely to tell others about their loyalty than just satisfied customers. Excited customers tell other people about their experiences and create ambassadors for the company. They become loyal customers and they keep returning. The service-profit chain establishes relationships between profitability, customer loyalty, and employee satisfaction, loyalty, and productivity.

The links in the chain (which should be regarded as propositions) are as follows: Profit and growth are stimulated primarily by customer loyalty. Loyalty is a direct result of customer satisfaction. Satisfaction is largely influenced by the value of services provided to customers. Value is created by satisfied, loyal, and productive employees. Employee satisfaction, in turn, results primarily from high-quality support services and policies that enable employees to deliver results to customers. The service-profit chain is also defined by a special kind of leadership that emphasizes the importance of each employee and customer. According to the HARVARDUniversity, The Service-Profit Chain is a theory and business model evolved by a group of researchers (James L. Heskett, Thomas Jones, Gary Loveman, W. Earl Sasser, and Leonard Schlesinger) from HarvardUniversity in the nineties. In their subsequent book: The Service Profit Chain How Leading Companies Link Profit and Growth to Loyalty, Satisfaction and Value, they prove that there is a direct link between superior service experiences, customer loyalty, and financial performance (profit and growth). The work of Heskett et al was criticized by a study of Rosa Chun. In an article in the Strategic Management Journal she argues that they haven't found any hard data supporting the concept. There are two things about loyalty which are important to notice. A satisfied customer is not automatically a loyal customer. Its only the super satisfied customers who become loyal. That is why satisfied is not enough in a world of abundance which is the situation for many companies today. Add to that the tough reality that what we considered fantastic last year

is what we expect this year. The expectations of the customer change all the time. If a company wants to maintain the loyalty it has to get better and better.Xerox found that customers that rated them 5 (on a 1-5 customer satisfaction ranking) were six times more likely to repurchase Xerox equipment versus those at the 4 rating level. Xerox coined the term "apostles" to characterize the customers that rated them a 5. Just as important is to avoid creating terrorists: customers that become so upset the make it a point to speak out about the poor service they received at every opportunity. Loyal customers are more likely to tell others about their loyalty than just satisfied customers. Excited customers tell other people about their experiences and create ambassadors for the company. They become loyal customers and they keep returning. The primary determinant of customer satisfaction is perceived value which the customer has gained more from the product than he or she thinks it is worth. Value often has an emotional aspect that makes an experience particularly memorable for the customer. The key to create value is the ability to bond emotionally with the customers and create emotional wow

experiences. Underlying this is being very clear about the targeted service concept for the targeted customers.

Research design
Descriptive research design 1) Data for this study is collected from both primary and secondarydate. The primary date is collected through a structured questionnaire which was prepared to interview the respondent .the secondary date was collected through discussion with the other member of the organization to get general information date was also collected through the reference of the existing customers. 2) With the help of the date collected from both primary and secondary sources the whole research is done the field .the date collected through questionnaire are analyzed in details and divided in to various categories of preference and conclusion are drawn on the possible changes are cause for distribution process and market share is given based on the research study.

ARIn my project time I have visited in many areas in Pune so here is the information about the company which I have collected from them.-

Areas Surveyed:Pimpari MIDC Bhosari MIDC Chichwad Indrayaninagar Alandi MIDC Landewari

OBSERVATIONS-

 The schemes of RELIANCE COMMUNICATION are

better in comparison to other.

RELIANCE COMMUNICATION CDMA has a facility of Auto Roaming. Better Internet plan compare to other. Better roaming plan. RELIANCE COMMUNICATION have strong customer segment in corporate. Lacking in promotional activity. billing problem Strong scheme for postpaid plan. Classic which is new mobile manufacturer for RELIANCE have to face many problems related to mobile set.

GRAPHICAL REPRESENRATIONOF THE AREAS VISITED

CHINCHWAD
Airtel 23%

Idea 17%

Reliance 22%

BSNL 30%

Others 8%

Reliance

Airtel

Idea

BSNL

Others

OBSERVATIONS-

In CHINCHWAD area mostly people believe on BSNL because they get some good facilities there and they dont want to change their mindsets about BSNL .They are having an collection center of BSNL in chinchwad so this is very easy to themto pay the bills but Reliance have their web world in PIMPRI and that is too far from there and no regular collection of bills so Reliance needs to think about that.

PIMPRI

Airtel 21% Reliance 26%

Idea 11%

BSNL 28% Others 14%

Reliance

Airtel

Idea

BSNL

Others

OBSERVATIONS -In PIMPRI there is a big competition. There are many collection centers there Reliance, Airtel, Hutch are there but Reliance is doing well there

MIDC BHOSARI

Airtel 8%

Idea 19%

Reliance 27%

BSNL 30% Others 16%

Reliance

Airtel

Idea

BSNL

Others

OBSERVATIONS-

In BHOSARI people need CUG connections most and for that they prefer Idea and Airtel because they are also having good call rates for STD calls in CUG plans. For non CUG plans they prefer BSNL because they are getting broadband connection on low rates also

INDRAYANI NAGAR

Airtel 11%

Idea 19%

Reliance 27% BSNL 31% Others 12%

Reliance
OBSERVATIONS-

Airtel

Idea

BSNL

Others

In INDRAYANI NAGAR industrial area the main problem is related with the billing.There is no collection cernter here they are in PIMPRI & NIGDI and the distance is 5 km from here

ALANDI

Airtel 16%

Idea 20%

Reliance 25% Others 11%

BSNL 28%

Reliance
OBSERVATIONS-

Airtel

Idea

BSNL

Others

ALANDI is very far from the main roads NASHIK highway is 8 km away from here so very difficult to reach there and in MARKEL (place away from Alandi) there is no good coverage.

MIDC LANDEWADI

Airtel 11%

Idea 17%

BSNL 31%
Reliance 26% Others 15%

Reliance

Airtel

Idea

BSNL

Others

OBSERVATIONSIt is situated on old Bombey-Pune highway so there is good coverage and Reliance post paid is doing good here

PROMOTIONAL WORK
Sales promotion is one of the four aspects of promotional mix. (The other three parts of the promotional mix are advertising, personal selling, and publicity/public relations.) Sales promotions are non-personal promotional efforts that are designed to have an immediate impact on sales. Media

and non-media marketing communications are employed for a pre-determined limited time to increase consumer demand, stimulate market demand or improve product availability. Examples include:

coupons discounts and sales, including Blue Cross Sale contests point of purchase displays rebates free samples (in the case of food items) gifts and incentive items free travel, such as free flights

Sales promotions can be directed at the customer, sales staff, or distribution channel members (such as retailers). Sales promotions targeted at the consumer are called consumer sales promotions. Sales promotions targeted at retailers and wholesale are called trade sales promotions. Some sale promotions, particularly ones with unusual methods, are considered gimmick by many. Under sales promotion I have done a survey for the web world franchisee and for that I have visited some areas which are as follows-

F.C.ROAD J.M.ROAD BHANDARKAR ROAD KARVE ROAD M.G.ROAD BOOTEE STREET EAST STREET VIMAN NAGAR

 KALYANI NAGAR KOREGAON PARK

I have distributed the pamplates, door to door or company to company selling, and have putted stalls in the HCL carnival on F.C. road in hotel ASHISH PLAZA for two days also.

Research method
1) In this research study both research method were used quantitative method and as well as qualitative method. The questions and feedback in the questionnaire were based on the quality and quantity both.

Types of date
The type of date used in this research was primary and secondary date both.

1) Primary date direct interaction through questionnaire. 2) Secondary date interaction with the other members of the organization and references by the existing customers

Data collection instruments1) The instrument of the collecting data in this research was a structured questionnaire. 2) The questionnaire was having different qualitative and as well as qualitative question.

Sampling
Sampling is the process of selecting unit from a population of interest so that by studying the sample we can analyze our result back to the population from which they were chosen. It is a process used in statically analysis in which a predetermined number of observations will be taken from a larger population the methodology used to sample from a larger population will depend on the types of analysis being performed. There are two types of sampling 1) Probability sampling- probability sample are selected in such a way as to be representative of the population. They provide the most valid or credible result because they reflect the characteristics of the population from which they are selected 2) Non-probability- sampling- as they are not truly representative, non-probability samples are less reliable then probability sample

.however a research may not be able to obtain a random or stratified sample, or it may be too expensive. A research may not care about generalizing to a larger population. The validity of non-probability sample can be increased by trying to approximate random selection and by eliminating as many sources of bias as possible.

Sampling technique
Random selection sample technique was used to collect the date of 100 respondents.

Sampling unitSMEs, SOHO, student showroom and shopkeepers were there in sampling unit.

Sampling sizeThe sample size was 100 .in it I include SMEs, small offices and home offices showroom and shopkeepers.

Research limitations1) The study was restricted to only those clients who were related to reliance communication products. 2) The study was confined within specific regions of pune city only. 3) The sample size was limited so the results obtained from the study may not be generalized for the whole population. 4) The time period of the study was not sufficient to measure the consumer response effectively and reach to a more valid conclusion 5) Many of the respondents many not have given the correct information due to personal bias

CDMA Market Share

OTHER 1% HUTCH 1%

TTSL 37%

Reliance 57%

Airtel 4%

Reliance

Airtel

TTSL

HUTCH

STL

GSM Market Share

Spice 2%
MTNL 2%

BPL 1%

Aircel 5%

Reliance 3%

BSNL 22%

Airtel 31%

Idea 12% Hutch 22%

Reliance
Idea Spice

Airtel
BSNL BPL

Hutch
MTNL Aircel

INTERNET PROVIDERS

BSNL 35%

TATA 25%

Reliance 32%

SIFY 8%

Reliance

BSNL

TATA

SIFY

SWOT ANALYSIS OF RELIANCE COMMUNICATION

STRENGTH

WEAKNESS

Big brand name The new technology launcher (CDMA) First in FWPs Strong market Good network in INDIA

Services Customer care section Not very good tariff plans for STD users Battery life of hand sets

OPPORTUNITIES

THREATS

Growing data card market Growing market of CDMA phones Establishment of new business in Pune

Launch of TATA Indicom USB modem Big market share of Airtel and growing TTSL in Maharashtra

Implementation of the study

1. First for cooperate firm: the study can be useful for both the organization because by this study the organization can identified what different facility the other organization is provided. 2. Customer: customer can find out what is the difference between the organizations. 3. For student: student can use this study for making their reports on a similar topic.

Findings, Suggestions & Conclusions

Findings
Both Airtel and Reliance subscribers prefer to use prepaid connection as compared to post paid connection as it helps in saving time of paying monthly bills, easy availability of prepaid connection at every telecom shop. But Reliance subscribers prefer to use postpaid connection as compared to Airtel postpaid subscribers. Majority of subscribers are using Airtel connection from a long period of time i.e. five to ten years whereas majority of Reliance subscribers are using it from only past three to five years. Therefore, subscribers are using Airtel from a long period of time as compared to Reliance subscribers. Reliance network use to give more attractive voucher ,scheme ,offer than other network.

 The advertisement of the reliance are more attractive than the airtel network but few other Reliance are the major looser in percentage in portability scheme. celebrity endorsement of the reliance are more better than the airtel network

Recommendations
Network is the major difference between Airtel and Reliance because majority of Reliance subscribers are dissatisfied with its network because of dropped calls so it should improve its network /connectivity and provide un-interrupted communication coverage for the mobile phones through their network to increase its subscriber base. Reliance advertisements are more attractive to the eyes of the people as compared to Airtel. Thus, Airtel should add more creative content in its advertisements so that it catches the attention of large number of people. Though, Airtel and Reliance both gives promotional offers on their respective connections to increase its sales but more schemes are offered by Reliance that is why Airtel should also offer more promotional schemes like unlimited messages, full talk time etc. on continuous basis in order to capture a large number of the market . Both Airtel as well as the Reliance subscribers have complained about the unsolicited calls (like promotional calls for various products of different companies) they receive from different companies due to their data provided by the cell phone service providers to different companies. Subscribers who are not interested in getting such calls get frustrated when they receive such calls. Thus, permission should be taken before providing

their data to any company or such calls should be stopped when any subscriber makes a request for it. Otherwise, there are chances that the company might lose its many subscribers. Access to the customer care department of Reliance should be improved because some of its subscribers have to call many times or have to hold the call for a longer period of time in order to talk to the customer care representative. As cellular industry is a service industry where the service provided by them is intangible in nature and its the people of the service company who add tangibility to the services provide by them. Thus, customer care representatives should be helpful, respond to the queries and complaints of the subscribers about the service issues on time and in a proper manner. Both Airtel as well as Reliance should decrease their value added services charges so that large number of subscribers can activate them on their mobile because large number of subscribers do not use these services due to their high charges. Reliance should take proper steps or maintain proper records so that no incorrect bill is dispatched to any of its postpaid connection user. It creates a negative image of the company in the minds of the subscribers and they might switch to any other cell phone service provider.

Finding and interpretation

Both Airtel and Reliance subscribers prefer to use prepaid connection as compared to post paid connection as it helps in saving time of paying monthly bills, easy availability of prepaid connection at every telecom shop. But Reliance subscribers prefer to use postpaid connection as compared to Airtel postpaid subscribers.

 Majority of subscribers are using Airtel connection from a long period of time i.e. five to ten years whereas majority of Reliance subscribers are using it from only past three to five years. Therefore, subscribers are using Airtel from a long period of time as compared to Reliance subscribers. Reliance network use to give more attractive voucher ,scheme ,offer than other network. The advertisement of the reliance are more attractive than the airtel network but few other Reliance are the major looser in percentage in portability scheme. celebrity endorsement of the reliance are more better than the airtel network

Suggestion
1. This study has been done in a narrow perspective taking on the 150 respondent sample, first it is suggested to take large sample size so that more appropriate result can be obtain. 2. The study has been done in pune, so it is suggested that other cities can also be included to get more appropriate result. 3. In this study only two organizations are compare that is Reliance and Airtel. The study can be some more company can be included so that the best out of those can be found out.

Conclusion
India is huge market and none of service providers can dare to ignore its potential. Thats why Indian mobile service provider industry is growing leap and bounce for the last decade. Services providers are now willing to provide varies facilities like entertainment (music, video etc.) and even banking also. A drastic change has came in the industry along with expanding its base in subscribers, service providers are keeping eye not only to offer new facilities but also to be the first to provide it. In this changing landscape the winner will be the one who understands consumers need focusing on usability and actually giving control back to user. The looser will be one that focus on overly technical product differentiation that the majority of consumer will not understand and therefore not use it. Future strategy which makes one to be leader in the market are more competitive tariff plans should be launch. More VAS should be provided. Moreover, focus should also be on the rural market as this market has also provides a large subscriber base. Subscribers are the lifeblood to the cellular operators. Further, due to the present competition among the operators, they need to improve their services. Therefore, the industry players need to consider demands and satisfactions from their subscribers in ensuring them from churning to another operator. By reacting proactively towards the demands and strive for customer satisfactions, cellular operators can be competitive against their competitors.

There exists a strong competition between Airtel and Reliance. Though both of them provide more or less the same services but still a majority of subscribers prefer to use Airtel as compared to Reliance for the reasons that have been already discussed above and that makes Airtel a market leader and different from other cell phone service providers. Therefore, in order to increase its market share Reliance should provide much better cellular services in order to cover a large subscriber base so that it becomes famous not only for its creative advertisements but also for its cellular services.

BIBLIOGRAPHY
WEBSITES:\

WWW.Reliancecommunication.com

www.google.com

www.altavista.com

BOOKS PREFFERED:

Marketing Management- Philip Kotler

Marketing Management- RajanSaxena

NEWS PAPERS:

THE ECONOMIC TIMES

THE TIMES OF INDIA