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PROJECT REPORT

SUBMITTED TO: -

NEW DELHI INSTITUTE OF MANAGEMENT


(AFFLIATED TO GURU GOBIND SINGH
INDRAPRASTHA UNIVERSITY)

UNDER THE SUPERVISION OF: - SUBMITTED


BY: -
Mr. Ankur Bhudhiraja
BBA 3rd SEMESTER
ROLL NO: - 0041551706
CERTIFICATE OF AUTHENTICITY

This is to certify that the project report titled "Reliance Infocomm


and its Marketing Strategies" is submitted in partial fulfillment of
the degree of "Bachelors in Business Administration" at New
Delhi Institute of Management, This is a bonafide project carried
out by under my supervision and guidance and no part of this
report has been submitted for the award or any other degree,
diploma, fellowship or other similar titles or prizes and the work
has not been published in any scientific or popular journal or
magazines.

Ankur Budhiraja
(Project Guide)
TABLE OF CONTENTS

1)CERTIFICATE OF AUTHENTICITY

2)ACKNOWLEDGEMENT

3)EXECUTIVE SUMMARY

Chapter 1: -Company Profile


• HISTORY
• INTRODUCTION
• A Dream Come True
• ANIL DHIRUBHAI AMBANI GROUP
BOARD OF DIRECTORS
PRODUCTION MILESTONES
QUALITY
MARKET SHARE
COMPETITORS
A GLANCE ON THE PRODUCTS
MARKETING STRATEGIES:
• COST MANAGEMENT: THE INSIDE PICTURE
• SALES AND MARKETING STRATEGY
• CUSTOMER GENERATION
• ADVERTISING
• PRODUCT INNOVATIONS
TACKLING THE PROBLEM PHASE
CONCLUSION
ACKNOWLEDGEMENT

I take it a great privilege to avail this opportunity to express my


deep gratitude to all those who helped me and guided me
throughout the project.

I would specially like to thank and express my profound gratitude


to Mr. Ankur Bhudiraja, for providing me an opportunity to work
under their guidance and for constantly motivating me through the
course of this project report.
Executive Summary

History

LATE DHIRUBHAI AMBANI


Reliance Infocomm is the outcome of the late
Dhirubhai Ambani's (1932-2002) dream to herald
a digital revolution in India by bringing affordable
means of information and communication to the
doorsteps of India's vast population. Dhirubhai
Ambani charted out the mission for Reliance
Infocomm in late1999. He saw in the potential of
information and communication technology an
opportunity for India to leapfrog over its
historical legacy of backwardness and
underdevelopment. Between 1999 to 2002
Reliance Infocomm built the fiber backbone for
India — 60,000 kilometers of fibre optic
backbone, crisscrossing the entire country. This
network was commissioned on December 28,
2002, the 70th birth-anniversary of Dhirubhai.
This day also marked his first birth anniversary
after his demise on July 6,2002.
INTRODUCTION

Reliance Infocomm is a major player in the rapidly growing Indian


wireless market, as well as an emerging leader among CDMA
operators worldwide.

Reliance Communications (formerly Reliance Communications


Ventures) is one of India's largest providers of integrated
communications services. The company has more than 20 million
customers and serves individual consumers, enterprises, and
carriers, providing wireless, wire line, long distance, voice, data,
and Internet communications services through a number of
operating subsidiaries. The company sells communications and
digital entertainment products and services through its chain of
Reliance Web World retail outlets. The company's Reliance
Infocomm subsidiary provides wireless communications services
throughout India. Reliance Communications is part of the Reliance
- Anil Dhirubhai Ambani Group.

Officers:
Chairman: Anil D. Ambani
Head of Branding & Marketing: Sanjay Behl
Corporate Communications: Jimmy Mogal

Reliance Communications (formerly Reliance Infocomm), along


with Reliance Telecom and Flag Telecom, is part of Reliance
Communications Ventures (RCoVL).
According to National Stock Exchange data, Anil Ambani controls
66.75 per cent of the company, which accounts for more than 136
crore shares of the company. Reliance Infocomm is an Indian
Telecommunications company. It is the flagship company of the
Reliance-Anil Dhirubhai Ambani Group, comprising of power
(Reliance energy), financial services (Reliance capital) and
telecom initiatives of the Reliance ADAG Group. Reliance
Infocomm is currently managed by Anil Dhirubhai Ambani.

Reliance Infocomm was launched as a very ambitious project. The


project was conceived at the convergence of communication and
information technology. It was designed to connect every home
and office in India with each other and the world through an
overarching terabit optic fibre digital distribution system. It was
developed to provide a range of services to every citizen, company
and community. It was envisaged to earn for India leadership in the
knowledge age. Reliance Infocomm aimed to create new
paradigms in enterprise, entrepreneurship and engagement. To
achieve all these objectives Reliance Infocomm rolled out a
complex architecture of domains, functions, facilities, coverage
and services, through the latest technology, aiming to add value
through messaging, facilitating business transactions,
videoconferencing, music and movie download services.
According to a comparison cited by Mukesh Ambani, former
Chairman of Reliance Infocomm, the United States currently has
only about 100 out of 700 cities with the CDMA2000 1X
technology that provides the benefit of mobile voice, data and
video, while Reliance Infocomm by 2008 is expected to provide
these services to 100% of Indian cities. The paper has been
produced as part of the project “Telecom Demand: measures for
improving Affordability” in the Media and Communications
Department (media@lse) at London School of Economics. The
project is funded by the International Development Research
Centre (IDRC), Canada and is a contribution to the World
Dialogue on Regulation for Network Economies (WDR)
programme on Diversifying Participation in Network Development
at IDRC. The first of the of third-generation (3G) wireless
standards to be commercially deployed, CDMA2000 1X laid the
groundwork for the higher speed wireless data rates available
today in many markets around the world.
Reliance Industries, the parent company of Reliance Infocomm, is
the largest private sector corporation in India with stakes in
Petroleum, Petrochemicals, Engineering, and Finance. This scale
of operations provided great leverage as the company ventured into
telecommunications. Reliance Infocomm, in the initial stages,
shared all Reliance resources to ensure cost effectiveness in every
service that it provided. Reliance Infocomm operated out of
existing Reliance Industries offices and utilized the capital and
personnel resources to the extent possible. Reliance Engineering
Associates Ltd, an associate company, made sure that the
engineering and manpower costs were maintained at the bare
minimum. According to B D Khurana, the Group President of
Reliance Infocomm in developed countries human resource costs
account for 22 per cent of a Telco’s operating cost as against 5 per
cent in India…But we utilize all our internal resources in large
numbers which further reduces the cost”. In addition Reliance
centralized most of its operations.

According to the Chairman, Reliance Infocomm is building the


largest infrastructure in the information and communications sector
by any new entrant. To begin with, Reliance Infocomm: -
• Networked 673 towns and cities
• Currently it has a presence in 1,850 towns and cities and
75,000 villages touching about 550 million Indians
• By end 2006, the company plans to connect two-thirds of all
the 640,000 villages and 5161 odd towns and cities to each
other and to the world in a seamless way

This gigantic effort involving more than 8,500 BTS (Base


Transceiver Station) towers covering about 91% of the country's
national highways and 85% of the rail routes is compared by the
company officials to the scale of effort involved in building
virtually the entire railway system in India.

A dream come true

The Late Dhirubhai Ambani dreamt of a digital India — an India


where the common man would have access to affordable means of
information and communication. Dhirubhai, who single-handedly
built India’s largest private sector company virtually from scratch,
had stated as early as 1999: “Make the tools of information and
communication available to people at an affordable cost. They will
overcome the handicaps of illiteracy and lack of mobility.”
It was with this belief in mind that Reliance Communications
(formerly Reliance Infocomm) started laying 60,000 route
kilometers of a pan-India fibre optic backbone. This backbone was
commissioned on 28 December 2002, the auspicious occasion of
Dhirubhai’s 70th birthday, though sadly after his unexpected
demise on 6 July 2002.
Reliance Communications has a reliable, high-capacity, integrated
(both wireless and wireline) and convergent (voice, data and video)
digital network. It is capable of delivering a range of services
spanning the entire infocomm (information and communication)
value chain, including infrastructure and services — for enterprises
as well as individuals, applications, and consulting.
Today, Reliance Communications is revolutionising the way India
communicates and networks, truly bringing about a new way of
life.

Anil Dhirubhai Ambani Group:

Regarded as one of the foremost corporate leaders of contemporary


India, Shri Anil D Ambani, 48, is the chairman of all listed
companies of the Reliance ADA Group, namely, Reliance
Communications, Reliance Capital, Reliance Energy and Reliance
Natural Resources limited.
He: -
• Is also Chairman of the Board of Governors of Dhirubhai
Ambani Institute of Information and Communication
Technology, Gandhi Nagar, Gujarat.
• Also held the post of Vice Chairman and Managing Director
of Reliance Industries Limited (RIL), India’s largest private
sector enterprise.
• Joined Reliance in 1983 as Co-Chief Executive Officer, and
was centrally involved in every aspect of the company’s
management over the next 22 years.
• Is credited with having pioneered a number of path-breaking
financial innovations in the Indian capital markets. He
spearheaded the country’s first forays into the overseas
capital markets with international public offerings of global
depositary receipts, convertibles and bonds.
• Directed Reliance Industries in its efforts to raise over US$ 2
billion in 1991
• Also steered the 100-year Yankee bond issue for the
company in January 1997.

Anil is a member of:


• Wharton Board of Overseers, The Wharton School, USA
• Central Advisory Committee, Central Electricity Regulatory
Commission
• Board of Governors, Indian Institute of Management,
Ahmedabad
• Board of Governors Indian Institute of Technology, Kanpur

In June 2004, he was elected for a six-year term as an independent


member of the Rajya Sabha, Upper House of India’s Parliament a
position he chose to resign voluntarily on March 25, 2006.
Awards and Achievements:

• Conferred the ‘CEO of the Year 2004’ in the Platt’s


Global Energy Awards
• Rated as one of ‘India’s Most Admired CEOs’ for the
sixth consecutive year in the Business Barons – TNS
Mode opinion poll, 2004
• Conferred ‘The Entrepreneur of the Decade Award’
by the Bombay Management Association, October
2002
• Awarded the First Wharton Indian Alumni Award by
the Wharton India Economic Forum (WIEF) in
recognition of his contribution to the establishment of
Reliance as a global leader in many of its business
areas, December 2001
• Selected by Asia week magazine for its list of
‘Leaders of the Millennium in Business and Finance’
and was introduced as the only ‘new hero’ in Business
and Finance from India, June 1999
BOARD OF DIRECTORS

• Shri Anil D. Ambani – Chairman

• Prof. J Ramachandran

• Shri S.P. Talwar

• Shri Deepak Shourie

• Shri A.K.Purwar
Footprint
At present, Reliance Telecom's cellular services are available in
340 towns within its eight-circle footprint. Reliance Infocomm also
offered for the first time in India, mobile data services through its
R-World mobile portal. This portal leverages the data capability of
the CDMA 1X network.

Customer Base
As of March-2007 Reliance Infocomm
• Had user base of 28 million, adding 1.2million users in
March-2007 alone.
• Is aggressively expanding the reach of its network at the
expense of customer satisfaction in order to reach more
subscribers by extending its services.
• Plans to expand it’s GSM network to 4,000. It is estimated
that the mobile market in India will grow to 140 million
subscribers by FY 2008.

It is important to note that as of 2007 Quarter 2, most of the Indian


Telco’s do not have independent audits of their claimed subscriber
bases and simply report "total" counts to TRAI. An estimated 5-
10% of the total are "inactive" and there is no industry wide
definition of an inactive pre-paid subscriber. Of the active base, the
unique customers are another 5-10% less so the number of unique
subs would be around 105 - 110 million out of the "total" of 140
m. With a market cap of around US$ 15 billion (as of May 2007)
and almost 30 million total subs, that’s around $500/sub valuation.
Acquisition of Flag Telecom
In January 2004, Reliance Infocomm (RIC) acquired 100 per cent
of the undersea cable company, FLAG Telecom for US$ 211
million through Reliance Gateway Net Limited, a wholly owned
subsidiary of RIC. This acquisition provides RIC with an
international gateway to global markets.

Market Cap

Reliance communications has a market cap of 95000 crore Indian


rupees (About $21 Billion) as of 23rd December 2006. The Rs 68-
rise in the share since December 12 increases the value of the
promoters’ stake by Rs 9,248 crore, or more than $ 2 billion.
Bid For Hutch

In 2007, Reliance Communications had bid for 67% of HUTCH


but lost to VODAFONE led by its Indian CEO Arun Sarin.
Vodafone beat Reliance by quoting US $ 12 billion.

Reliance is a renowned communications company involved in


designing, implementing and managing the total telephony
solution. The company is customer driven, structured to supply
complete telephony service to clients; innovation, flexibility and
professional installations maintain their position as a leader within
the market.

Reliance Communications is a Telstra Premium dealer and has


established nationwide alliances that can provide support through
all major cities in Australia. An additional and unique strength lies
in relationships built with suppliers ensuring the best possible
product range is available to meet client needs.

PRODUCTION MILESTONES: -
Year Date Achievement
1997 Nov. 15 The Dream, 1999

"Make a phone call cheaper than a


postcard and you will usher in a
revolutionary transformation in the lives
of millions of Indians" - Dhirubhai
Ambani
Reliance Infocomm begins Project
Planning
2000 May 10 Optic fibre laying process commences in
Gujarat, Andhra Pradesh & Maharashtra
2001 May 1 First Media Convergence Node made
"Ready for Electronics" at Jaipur
2002 Jan 15 First Base Transceiver Station (BTS)
made "Ready for Electronics"
Feb 15 Obtains International Long Distance
License from Govt. of India
Dec 22 Commissions 1st Optic Fibre Backbone
ring
Dec 24 Establishes 1st Point of Interconnect
(POI) in New Delhi
2003 Jan 15 Introduces Dhirubhai Ambani Pioneer
Offer for Reliance India Mobile service
Feb 14 Launches Reliance Web World in top 16
cities
Mar 31 Launches International Long Distance
Services
April 3 Commissions all backbone rings
April 25 Introduces colour handsets
May 1 Launches Reliance India Mobile Service
commercially in top 92 cities
with one million customers.
June 10 Launches India's first wireless Point of
Sale (POS)
July 1 Introduces "Monsoon Hungama" Offer:
Instant multimedia mobile phone and
connection for just Rs 501.

Sets world record - acquires one million


customers in 10 days
July 3 Launches R Connect Internet connection
cable
Aug 26 Introduces Reliance India Phone Fixed
Wireless Phone and Terminal
September 20 "Navratri" a data service in R-World
posts a world record of 10 million
downloads on the first day of the launch.
September 30 R World clocks a phenomenal 1 billion
hits in 1 month
Oct 6 Launches integrated broadband centre at
Reliance Web World, Bangalore
Oct 30 Reliance becomes India's largest mobile
service provider within 7 months of
commercial launch
Nov 3 Customer base touches 5 million
Nov 16 Launches National Roaming
Nov 21 Launches International SMS to 159
countries launched
2004 Jan 12 International wholesale
telecommunications service provider,
FLAG Telecom amalgamates with
Reliance Gateway, a wholly owned
subsidiary of Reliance Infocomm
Feb 9 Launches RIM Prepaid with attractive
offer - For Rs 3500 get a Motorola C131
mobile phone and Rs 3240 worth of re-
charge vouchers instantly and stay
connected for 1 year
Feb 17 Reliance subsidiary Flag Telecom
announces FALCON Project - a major
new Middle East Loop Terabits
Submarine Cable System with links to
Egypt and Hong Kong via India
Mar 22 Reliance Infocomm launches multi-
player gaming on RIM handsets - a first
in India
April 5 Reliance India Mobile introduces
International Roaming facility to 172
countries, 300 networks
April 23 Reliance Infocomm introduces first ever
auction facility on Mobile phones
through R World.
June 8 Reliance Infocomm introduces World
Card - a Prepaid International calling
card for affordable and convenient ISD
calls from India.
Aug 5 Launches the first regional Customer
Contact Centre in Chennai
September 6 Mukesh D. Ambani, Chairman, Reliance
Infocomm, receives Voice & Data
"Telecom Man of the Year" award
September 9 Introduces Railway Ticket booking from
R World data applications suite of
Reliance India Mobile
Oct 19 Reliance Infocomm bags the CDMA
Development Group's 3G CDMA
Industry Achievement Award for
International Leadership.
2005 Jan 4 Reliance introduces first e-recharge
facility in CDMA in India.
Jan 24 Reliance India Mobile announces mega
rural plan to cover 4 lakh villages and
65 crore Indians by December 2005.
June 26 Anil Ambani appointed Chairman of
Reliance Infocomm
July 30 Air Deccan and Reliance Web World
join hands to offer air ticket booking
facility at Reliance Web World
Aug 11 XLRI's Post-Graduate Certificate
programme in Logistics Supply Chain
Management (PGCLSCM) launched on
Reliance Web World’s virtual classroom
platform. First of its kind e-learning
programme in India.
Aug 18 Reliance Infocomm rolls out
international roaming facility across
several countries to become the first
Indian CDMA operator to offer its
customers such a service.
September 6 Reliance Infocomm tied-up with the
Bombay Stock Exchange to make
available livestock quotes on its mobile
phones.
September 15 Reliance Communications, UK
launched Reliance India Call service in
England and Wales enabling callers to
make high-quality calls to India from
any landline or mobile phone at
economical rates.
September 21 Apollo Hospital and Reliance Infocomm
join hands to provide top class
healthcare service to millions of Indians
in over a hundred Indian cities.
Oct 13 Reliance Web World wins Frost &
Sullivan Market Leadership Award for
Video Conferencing services.
Nov 12 Reliance Infocomm hosts the 4th global
CDMA Operators Summit.
Nov 22 Reliance Infocomm joins hands with
Indian Airlines to offer India's first
mobile booking of domestic airline
ticket.
Nov 30 Reliance Infocomm introduces MORE
bile, redefines customer rewarding with
33 % more talk time on prepaid
recharges of Rs 315 denomination and
above and much more.
Dec 12 Reliance Infocomm and China Telecom
sign agreement for telecom services to
provide direct telecommunication
service, including a global hubbing
service, to subscribers in the two
countries.
2006 Jan 1 Reliance Infocomm launches "One
Nation, One Tariff" to enable Reliance
India Mobile prepaid users to call
anywhere in India at Re one per minute.
Jan 19 Reliance Demerger adds record Rs.55,
000 Crore to shareholder wealth
Jan 23 TIMES NOW launched on Reliance
Mobile Phones, making it the world’s
first TV channel to be launched on a
mobile phone.
Mar 6 Reliance Communications Ventures Ltd.
(RCVL), India's leading integrated
telecommunications company, a
member of the Reliance - Anil
Dhirubhai Ambani group, lists on the
Bombay Stock Exchange and National
Stock Exchange.
Mar 21 Reliance Infocomm introduces R World
in Hindi to become the world's first
operator to offer mobile data services in
more than one language on the same
handset. This will make it possible for
millions of Indians to access the popular
R World with hundreds of every-day-
use applications in the national
language.
Mar 23 Reliance-Anil Dhirubhai Ambani Group
signs up Indian cricket's whiz kid and
heartthrob of millions Mahendra Singh
Dhoni as the brand ambassador for
Reliance Communications Ventures Ltd.
Mar 29 Reliance Infocomm becomes India’s
first telecom operator to launch seamless
inter-standard international roaming
service - 1World.1Number, with single
number on international CDMA and
GSM networks.
April 27 Reliance Communications launches
India’s first Talking Message Service
(TMS) enabling its mobile users to send
voice messages to not only other
mobiles but also fixed wireless phones
(FWP) and landlines.
June 22 Reliance Communications ties up with
Disney to offer on Reliance Mobile
World India's first 3D animation on
mobile.
July 3 Reliance Communications launches
'Hello Capital Plan' to enable its
subscribers in 19 state capitals to call
each other at the local call rate of 40
paise per minute.
July 19 Reliance Communications slashes ILD
rates by up to 66%
Aug 7 T-Com signs contract with FLAG
Telecom for Europe-US bandwidth
September 5 Union Communications & IT Minister
Thiru Dayanidhi Maran inaugurates
Reliance Communications’ FALCON
Cable System.
Nov 17 Reliance Communications launches Free
Group Term Life Cover for its CDMA
subscribers
Dec 28 Reliance Communications’ FLAG
Telecom announces FLAG Next Gen to
cover 60 countries
2007 Jan 10 Reliance Communications adds a record
1.4 million subscribers in December ‘06
Jan 18 Say Hello on Reliance ‘Simply 2030’
Jan 25 Reliance Communications promotes
Roger Waters Music Concert
Jan 29 RCOM shareholders approve tower
business demerger with a 99.99%
overwhelming majority
Jan 30 Overwhelming response to Reliance
World’s National Digital Elocution
Competition
Jan 30 Reliance joins Lenovo and Intel for
"Internet on the Move"
Feb 2 Reliance Communications’ market
capitalization tops Rs 1 lakh crore (1
trillion rupees or 24.39 billion US
dollars) on Bombay Stock Exchange
Feb 16 Reliance Communications offers best
value on roaming
Feb 26 Search Jobs & Classified Ads from
Reliance Mobile World - Reliance
Communications ties up with
Naukri.com
Mar 6 Reliance Communications ushers in
‘Virtual Global Conference Network’
Mar 7 DHIRUBHAI AMBANI – THE MAN I
KNEW By KOKILABEN
Book on Founder Chairman launched.
Mar 8 Reliance Communications launches
‘Roam Jamaica on Reliance Mobile
Mar 16 Reliance Mobile launches ' Suno Zee’
Mar 19 Demerger of Passive Infrastructure
division Reliance Communications &
Reliance Telecom approved by the
Bombay High Court
Mar 21 Reliance World Offers Program to Help
Students ’Crack Admissions in Colleges
Abroad’
Mar 23 Govt’s Rural Telephone Scheme
(RDEL) through Reliance
Communications successfully closes by
March 31,2007
Mar 26 Booking train ticket from Reliance
Mobile Phones becomes more easy
now… with ITZ Cash Cards
April 4 Reliance Communications unleashes the
power of mobile advertising
April 6 Reliance Communications acquires 1.2
million subscribers in March 2007.
April 11 Sunny Days And Nights For Reliance
Mobile Subscribers as
Reliance Communications ties up with
SUN TV to offer video streaming of all
SUN TV programs online 24x7
April 11 Reliance World launches summer e
camp for school kids
April 30 RCOM first listed Indian telecom
company to reward shareholders
May 2 A Classic Bonanza – Reliance
Communications unveils handsets @ Rs
777
May 9 RCOM bags West Bengal E-
Governance Project
May 10 Reliance sets a new record, one million
Classic handsets sold in just one week
May 12 Reliance Communications slashes rate
to US and Canada. It's now just Rs 1.99
per minute
May 14 Reliance Communications launches
Classic Color Bonanza - Color handsets
@ Rs 1234
May 17 RCOM kick starts world's fastest and
largest rural infrastructure rollout on
World Telecom Day.
May 18 Reliance Communications Launches
Lifetime Validity Recharge @ Just
Rs.499.
May 22 RCOM slashes roaming rates by as
much as 70 percent
May 25 Reliance Communications launches
unlimited calling
June 5 RCOM hosts seminar on ‘Emerging
Trends in Mobile Applications
Development’
June 6 Reliance Communications adds 1.4
million new mobile subscribers in
May2007
June 6 Reliance Classic' Makes Music - FM
Radio Phones Launched at just Rs.1888
June 27 Reliance World, BIMTECH &
Philadelphia University unveil
Executive Program in Retail
Management (EPRM)
June 28 Reliance Communications ties up with
Cisco to launch Business Internet
Services for SMEs in Pune
July 4 Bengali movie ‘Anuranan’ on Reliance
Mobile World
July 7 RCOM and QUALCOMM Collaborate
on CDMA2000 Expansion
July 12 Reliance Communications awards
Alcatel-Lucent a Next-Gen network
expansion contract
July 12 Reliance Communications awards
Huawei all IP Next-Gen network
expansion contract

QUALITY
It was originally envisaged by Reliance Infocomm that these
services would enter the commercial phase in April 2003.
However, despite the nation-wide network of Reliance Infocomm
being fully ready in all respects, delays in concluding and
implementing interconnect agreements with other cellular and
basic service providers have necessitated a revision in the schedule
for commercialization. With these agreements now in place, and
implementation expected, the Reliance India Mobile services is
fully functional across the country from May 2003, which includes
full interconnectivity with all other service providers and two-way
SMS operability. Reliance India Mobile customers will be able to
make and receive calls from any landline, GSM cell phone or
CDMA mobile phone from any network in any part of the country
or the world.
Consequently, the Dhirubhai Ambani Pioneer Offer continued to
be available till June 30, 2003 in the top 104 towns and cities and
till July 31, 2003 in the remaining 569 towns in India. The 36-
month subscription period of existing customers of the Dhirubhai
Ambani Pioneer Offer was effective from the day of starting
commercial service.
To enhance customer experience, all services associated with
Reliance India Mobile was offered through 252 Reliance Web
World outlets and 1,000 field customer care desks, many of which
are already operational while the rest will start functioning all over
India in the next few weeks.

These centres would enable potential customers to walk in,


experience and walk out with a fully provisioned Reliance India
Mobile phone within fifteen minutes, and also manage all customer
support. In addition to resolving usage and services related
problems of customers on the spot, a full suite of feature
enhancements services shall be offered, such as change in address,
numbers, rate plans, class of services etc. All necessary support to
handle special situations, such as loss or theft of handsets, repair of
handsets shall also be available. This pioneering effort, to provide
integrated post-sales services – including handset, shall become yet
another distinguishing feature of Reliance India Mobile.
A quality process, institutionalized by Reliance Infocomm to
ensure that all handsets provisioned to customers are defect-free, is
fully functional. With this system, Reliance Infocomm is in a
position to interface with manufacturers and correct any handset-
related issue before the handset is made available to the customer.
This institutionalized system acts as a second level quality check of
handsets for customers of the Reliance India Mobile service and is
unlike other service providers where the customer has to rely only
on manufacturer’s quality checks or on gray market operators.
Consistent with its principle of bringing about a customer-centric
mobile revolution in India, Reliance Infocomm believes that it is
critical to interface commercially with customers only after full
interconnectivity is achieved, and consistent service quality and
reach are available.
Market share

Reliance Infocomm is targeting around 25-30 per cent growth rate


of the industry total of two to 2.5 million subscribers per month in
the current year, even as it has garnered a subscriber base of
around 3.5-4 lakh connections for its recently launched pre-paid
connections.

"Indian telephony industry is growing at a rapid pace and we are


aiming at a market share of around 25-30 per cent, which would
give us a commendable presence by the end of the year," Reliance
group chairman and managing director Mukesh D Ambani said.
"The company's total post-paid subscriptions were over 6.3 million
connections, he said.

Reliance Infocomm is also planning to build on its existing


partnership with LG Electronics, a major CDMA handset provider
to the company.
Apart from LG Electronics, the company would also strengthen its
existing partnership with Samsung, Nokia and the recently
included Motorola, he said.
On the inducement of capital to Reliance Infocomm, Ambani said
that the company was looking at all options and would "take
appropriate decision".

Reliance group director Nikhil Meswani said that the company was
planning to offer international roaming over its CDMA handsets,
which would enable the user to globetrot without changing the
handset or number.

COMPETITORS: -
Slowdown in Indian mobile growth

The slowdown in mobile subscriber growth in India


continued throughout May, with new additions totaling 1.29
million. GSM adds dipped slightly, with operators adding 979,256
customers, compared to 1 million in April, while CDMA operators
fared slightly better with new subscribers totaling 307,854 in May
from 259,233 a month earlier, to bring the country's total mobile
subscriber base to 35.87 million.
GSM operator Bharti Group added 585,000 subscribers in May, to
bring its total to 7.34 million or around 26% of the GSM market.

Hutchison Telecom increased its GSM market share to


19.86%, adding 203,000 subscribers during the month to end May
with 5.59 million users.
BSNL trailed Hutchison slightly, adding 172,000 subscribers
to bring its total to 5.52 million and a GSM market share of
19.63%.

Idea Cellular actually added 1.14 million GSM subscribers in


May to bring its market share up to 14%, but this was due to the
recent completion of Idea's acquisition of Escotel with over 1
million subscribers, bringing Idea's total subscriber base to 3.96
million. India's total GSM subscriber base stood at 28.15 million at
end-May. The country's CDMA customer base grew to 7.72
million end-May with Reliance Infocomm adding 272,728
subscribers to take its total to 7.01 million.

Tata Teleservices had a good month, adding 140,000 new


subscribers after suffering negative growth in April, to bring its
total to 652,000. Tata yesterday launched BREW services across
six states.

INITIAL PUBLIC OFFERING


The three initial public offerings (IPO) in the telecom sector - from Reliance
Infocomm, Hutchinson Essar and Idea Cellular - are together expected to
mop up at least Rs 7,000 crore from the capital market, say market sources.

The Reliance Infocomm IPO itself will raise about Rs 3,000 to Rs 3,500
crore, Hutchison Essar will raise about Rs 2,000 to Rs 2,500 crore and Idea
Cellular will raise about Rs 1,500 crore, say sources. When contacted by FE,
all the three companies refused to comment on the IPO.

The Reliance Infocomm IPO has hit the market in 2005, followed by
Hutchison Essar and Idea Cellular IPOs in June 2006. The funds raised by
Hutchison Essar and Idea Cellular were used for expanding their presence in
more circles and Reliance Infocomm used the funds to expand its mobile
phone operations and broadband services. Reliance Infocomm is present in
all the 23 circles across the country. However, Hutchison Essar is present in
13 circles and Idea Cellular has a presence in eight circles and recently has
bagged the license to operate in three additional circles. Reliance Infocomm
has a market share of 19.89%, Hutchison Essar has a market share of
14.41% and Idea Cellular has a share of 6.85%.

After achieving dominant market share in the post paid segment and
establishing itself as No. 1 player in the mobility sector, Reliance Infocomm
today marked its entry into the prepaid segment by announcing path
breaking schemes that give customers free recharge vouchers worth nearly
the cost of a Reliance India Mobile (RIM) Prepaid handset that they buy.
Not only that, they can remain connected for a full one year without having
to buy new recharge vouchers.

Under the revolutionary, never-before RIM Prepaid launch scheme a


customer will just pay Rs 3500 for a stylish Motorola C131 handset and, in
return, get a free RIM Prepaid connection and recharge vouchers worth Rs
3,240 valid for six months with an additional six-month grace period.
During this grace period the subscriber will be able to receive incoming calls
and SMS without recharging the account. The RIM Prepaid promotional
scheme is also available with all other Reliance India Mobile handsets. For
example a customer can buy a Java and multimedia enabled LG RD2030
handset for Rs 6,500 and get RIM Prepaid recharge vouchers worth Rs 6,480
absolutely free.
"RIM Prepaid raises the bar for innovation, quality of service and value
added services in prepaid segment of mobile telephony market. RIM Prepaid
customers will have full seamless mobility across the country and roaming
service comes to them without any extra charge. They will also be able to
recharge their account with any denomination from virtually anywhere in
India. RIM Prepaid is also the only prepaid service in the country that
provides data applications through R World and Internet connectivity
through R Connect.

The RIM Prepaid handsets are distributed through over 15,000 retail outlets
across India. Customers will be able to buy recharge vouchers from over
70,000 retail outlets across the country.
The tariff for RIM Prepaid is one of the lowest in the industry and simple to
comprehend with fewer slabs. All local calls, intra-circle calls and inter-
circle calls of less than 50 kms distance to another mobile phone have a flat
rate of Rs 2.49/minute. All inter-circle calls of above 50 kms to another
mobile phone have a flat Rs 2.99/minute rate. All local calls, intra-circle
calls and inter-circle calls of less than 200 kms to a fixed phone have a flat
Rs 2.99/minute rate and all inter circle calls of above 200 kms have flat rate
of Rs 3.99/minute.
Other unique features of RIM Prepaid include automatic roaming in pan
India RIM network at no extra cost, nationwide recharge facility with any
denomination, STD and ISD facility, call forward and voice message service
at local mobile call rates from anywhere in RIM network. RIM Prepaid
customers with Java enabled handsets will be able to use their phones as
modems for R Connect Internet connectivity and access R World data
applications. RIM Prepaid customers will also have access to 1234 SMS
based services and a host of call management services like three-way
conference call and caller line identification.
Reliance Infocomm has established a pan-India, high capacity, integrated
(wireless and wireline) and convergent (voice, data and video) digital
network, to offer services spanning the entire Infocomm value chain -
infrastructure, services for enterprises and individuals, applications and
consulting. The Reliance Group, founded by Shri Dhirubhai H. Ambani
(1932-2002), is India's largest business house with total revenues in the
financial year ended March 2003 of Rs 800 billion (US$ 16.8 billion), cash
profit of over Rs 98 billion (US$ 2.1 billion), net profit of over Rs 47 billion
(US$ 990 million), market capitalisation Rs 974 billion (US$21.7 billion)
and exports of Rs 119 billion (US$ 2.5 billion).
A Glance On The Products: -
1) Reliance Infocomm offered an introductory scheme called the
'Dhirubhai Ambani Pioneer' offer. Under this scheme: -

• Consumers were given a free digital mobile phone, unlimited free


incoming calls, billing at 15-seconds pulse rate, for a one-time fee of
Rs 3000 (US$66.7) as membership charges and Rs 600 (US$13.3) per
month (paid in advance) as telephony charges.
• All incoming calls were offered free and outgoing calls were charged
at 10 paise (0.2 US cents) for 15 seconds.
• The cost of a national long-distance call to any Reliance phone in the
country was 40 paise (0.8 US cents) for a minute. In addition, the
monthly charge included 400 minutes of outgoing calls.

Only calls over and above this were charged extra. Value added services like
voice mail, call waiting, call hold, call divert, call identification, call
conferencing, dynamic locking and text messaging were offered for free.
Internet access through the phones was also offered free initially.

2) Dhirubhai Ambani Pioneer offer with the Monsoon Hungama scheme:


-
• Allowed customers to get a mobile phone for an upfront
payment of just Rs 501 (US$11), bringing down the entry
barrier to a bare minimum.
• The scheme also permitted a low monthly spend, allowing the
customer to restrict the fixed monthly outgoing (postpaid) to
Rs.449 (US$10), inclusive of the Rs.200 (US$4.4) paid as club
membership and privilege charges.

3) Reliance infocomm’s Monsoon Hungama offer: -


• A phone for Rs 501 (US$11) was a runaway success. It
pushed Reliance to the top of the telecom market in terms of
subscribers.
• It was the biggest promotional success in the history of mobile
telephony in India.
• 1 million subscribers joined Reliance Infocomm in just 10 days after the
launch of the Monsoon offer. The ripples of the offer were not limited to
Reliance.
• This offer led GSM handset prices to fall to as low as Rs 1,500
(US$33.3). In the footsteps of Reliance Infocomm, during the same period,
many competitors started offering flexible pre-paid options at less than Rs
500 (US$11.1) per month for their GSM mobile services.

4) Pre-paid Offering - Market Consolidation:

As the market for post-paid mobile services started stabilizing, Reliance


Infocomm launched its first pre-paid offer. The pre-paid offer marked a
fundamental shift in Reliance’s strategy where it had built a post-paid
customer base of over 6 million through the Pioneer and Hungama schemes.
At a time when Reliance was finding it hard to manage its post-paid
customers, the new strategy offered two advantages.
a) There was the obvious advantage that cash is collected beforehand.
b) The cost of collecting bills - which is 1 to 3 per cent of revenue,
vanished.

5) In February 2004, Reliance Infocomm announced another set


of prepaid schemes, quite different from the earlier schemes. The
schemes gave customers free recharge vouchers worth nearly the cost of
a Reliance India Mobile (RIM) prepaid handset that they buy. In simple
terms it meant that customers were getting the phone free rather than
having to buy it as they would if they opted for a GSM pre-paid scheme.
Also, the customers were allowed to remain connected for a full year
without having to buy new recharge vouchers. Under the Prepaid launch
scheme, a customer had to pay Rs. 3,500 (US$77.8) for a Motorola C131
handset and received free Reliance Prepaid connection and recharge
vouchers worth Rs. 3,240 (US$72) valid for six months and with
additional six-month grace period.
Marketing Strategies: -
Cost Management - The Inside
Picture
The Reliance Infocomm pricing system was always in line with Dhirubhai
Ambani's dream and directive of making phone calls affordable for every
Indian, and has been possible due to the meticulous planning, ‘out of the
box’ thinking in touch with reality, and significant capital productivity
achieved on the strength of Reliance’s track record in project management.
Reliance Industries, the parent company of Reliance Infocomm, is the
largest private sector corporation in India with stakes in Petroleum,
Petrochemicals, Engineering, and Finance. This scale of operations provided
great leverage as the company ventured into telecommunications. Reliance
Infocomm, in the initial stages: -
 Shared all Reliance resources to ensure cost effectiveness in every

service that it provided.


 Operated out of existing Reliance Industries offices and utilized

the capital and personnel resources to the extent possible.


 Reliance Engineering Associates Ltd, an associate company, made

sure that the engineering and manpower costs were maintained at


the bare minimum.
 According to B D Khurana, the Group President of Reliance
Infocomm “… in developed countries human resource costs
account for 22 per cent of a telco’s operating cost as against 5 per
cent in India…But we utilize all our internal resources in large
numbers which further reduces the cost”. In addition Reliance
centralized most of its operations.

A group company, Reliance Telecom Limited, which uses the GSM


technology to provide services to seven telecom circles across 11 North
Eastern states of India, helped Reliance Infocomm in learning and managing
cost structures during the initial stages. Reliance Telecom and Reliance
Infocomm synergy helped in the optimum utilization of their networks in
two ways: -
 Firstly, Reliance Infocomm network started routing all the
calls originating from Reliance Telecom, which guaranteed
traffic and revenues from day one
 Secondly, the network of Reliance Telecom helped
Reliance Infocomm in gaining a foothold in the North
Eastern market, where it did not possess telecommunication
licenses.

Provision of multiple services is another strategy, which Reliance Infocomm


used to manage costs. When most other mobile operators focused
exclusively on the provision of mobile services, Reliance Infocomm, in a
phased manner, started offering all the services, which could utilize their
network and other resources optimally. Apart from the basic mobile
services, Reliance Infocomm currently offers landline, broadband Internet,
leased line, VPN (Virtual Private Network), IPLC (International Private
Leased Circuit), Centrex and IDC (Internet Data Centre) services, thus
achieving lower costs per service and more revenues.

• SALES AND MARKETING


STRATEGY:
Reliance Infocomm radically redefined marketing models in India and
engaged homes and enterprises directly by having the ability to deliver
physical and virtual products and services as part of one system. Reliance
Infocomm through its aggressive, unconventional tactics changed the rules
of the mobile marketing game.

• Customer Generation -
Tapping in to Internal
Resources:
Reliance targeted internally as it looked for the first set of customers.
Officials of Reliance Infocomm realized that an employee base of more than
50,000 and a shareholder base of about 3.3 million was the best place to start
as far as customers were concerned. Every employee was offered 10
connections at a discounted rate. While the normal monthly charges would
be Rs.600 (US$13.3), for the employees they were offered at Rs.500
(US$11.1). Many employees bought Reliance connections for many of their
relatives and friends. During the annual general meeting the Reliance
Chairman offered shareholders a discount package. The company offered an
Rs.850 (US$18.9) discount on initial payments on subscription per
connection. In addition, the shareholders were offered free usage worth
Rs.100 (US$2.2) for six months. This amounted to a total discount of Rs
1,450 (US$32.2) per connection. In addition the shareholders were
encouraged to promote Reliance Infocomm connections in their circles of
influence. If a shareholder subscribed to two connections, he or she would
get free usage worth Rs.100 (US$2.2) per connection for 12 months, in
addition to the Rs.850 (US$18.9) per connection discount.
This amounted to a total discount of Rs.4,100 (US$91.1) for two
connections.

• Advertising – Educating
Masses and Evoking Passions:
Advertising was a marketing strategy, which complemented the
unconventional use of channels by Reliance Infocomm. The Reliance mobile
brand was branded as India Mobile to cash in on patriotic feelings.
Bundling of handsets along with the service – a first time in India – allowed
Reliance Infocomm to resort to a co-branding exercise with the handset
makers. The Reliance Infocomm brand name embossed on every handset
gave it a unique cachet, while the costs of many of the advertisements were
discounted since they were also borne by the handset makers. A mega
advertising campaign was launched across the media to mark the launch.
The blitzkrieg coincided with the world cup cricket tournament, ensuring a
huge audience.
 The main theme of the first campaign built on the vision of Reliance
Infocomm in bringing the power of telecommunications to every
person. This campaign helped to educate people on the importance of
telecommunication services.
 The next set of campaigns talked about the innovative product
features, which differentiated Reliance Infocomm from its
competitors. The advertisements announced that Re India Mobile was
'Kabhi mobile, kabhi computer' (Sometimes Mobile, Sometimes
Computer).

In the subsequent campaigns Reliance started riding on movies and


cricket as themes.

Overall three observations emerge from the way Reliance handled the
media.
 Firstly Reliance built a huge public relations exercise around the
launch of the product. The public relations effort gave much leverage
to the advertising and gave rise to a word of mouth campaign.
 Secondly, Reliance Infocomm utilized every media vehicle very
effectively. It advertised on every TV channel available and in most
newspapers, thus making sure that the product was being promoted
across India – a nation very much divided by language and market
conditions.
 Thirdly, Reliance Infocomm capitalized on the passions of Indians
when framing advertisements. The campaigns had an emotional pitch,
piggy backing on Cricket and Bollywood thus effectively connecting
with almost every Indian.

For marketing promotions Reliance again used unconventional


strategies: -
 The mobile service was promoted aggressively through every
marketing channel.
 Huge signs were put up in front of every gas station and office
space in addition to the prime spots booked across the nation.
 The bulk purchase of signboards ensured that the cost was
lower as compared to that available to competitors.
 They also utilized their telecom towers by putting up glow
signboards on them, which lit up during the night – an
innovative, but cost effective, strategies since most of the
towers were in highly populated and visible areas.

• Product Innovations -
Connecting with Every
Section of Society:
Reliance Infocomm leveraged its product innovation skills, applications
development skills and partnerships to find new solutions to conventional
and contemporary problems- from managing queues in temples, and
connecting all police stations, to delivering e-governance solutions to
citizens. Reliance Infocomm applications also facilitated the provision of
education and health services to rural areas at an affordable cost. Reliance
Infocomm attempted to offer something for every section of the society. In a
significant initiative to connect with the huge farmer and trader community
of India, communities that are traditionally left out of telecommunication
strategies, Reliance Infocomm brought the Mandi (market) onto mobile
handsets. To tap into the retailer community Reliance deployed India's first
Wireless Point of Sale (POS) Terminal for processing credit card
transactions in July 2003 in association with HDFC Bank - an important
milestone in the history of retail credit in India. Wireless POS enabled banks
to expand exponentially the number of merchant outlets accepting credit
cards and speed up penetration of credit card services to smaller towns. To
connect with vehicle drivers Reliance introduced the Vehicle Tracking
System. Reliance Vehicle Tracking System provided real time tracking and
monitoring of road consignments and vehicles across India from anywhere,
anytime; consignment location display on Global Information Systems (GIS)
map with assigned route data; routing and location finder capability; real
time text messaging to remote vehicle from application interface; automatic
exception alerts via e-mail; short messaging service (SMS) in case of
geofence violation, speed, delay etc.

Through RConnect services, Reliance Infocomm offered India's only


nationwide wireless Internet connectivity by leveraging its pan-India high
speed CDMA2000 1X wireless network. RConnect helped it to connect to
the growing community of Internet users, enabling it to gain over 300,000
subscribers in less than seven months. Subscribers could connect to Internet
‘on the move’ at data speeds of up to 144 Kbps from their laptops or other
mobile computing devices using an RConnect Cable with their Reliance
phones.

TACKLING THE PROBLEM


PHASE:
The success of Reliance Infocomm and its impact on the Indian mobile
telecommunication scenario does not mean that the growth of the company
was without problems. Control issues and performance problems forced
Reliance Infocomm to phase down the Dhirubhai Ambani Entrepreneurs,
who paid around Rs 10,000 (US$222.2) each to obtain dealerships, to a few
thousands by April 2003, about a year after the launch. Reliance was much
criticized for circumventing many of the existing telecommunication
policies in a ruthless manner. According to the Telecom Regulatory
Authority of India (TRAI), WLL mobility should be within the local area
that is in a range of about 20-25 kilometers with no roaming. Reliance
overcame the policy shackles and roaming problems associated with Limited
Mobility by enabling the customer to use the same handset in areas other
than where it was registered. Through a multiple registration scheme, it
provided connection to the Reliance network in other areas. This led the
Department of Telecom (DoT) to issue a notice to Reliance Infocomm to
discontinue offering roaming-like services on its WLL mobile phones.
Reliance Infocomm got into many more legal difficulties with the policy-
making body, the incumbent operator and the other operators in the Indian
telecommunication sector. But eventually strong political clout and lobbying
saw it through. Though opposed by the GSM Cellular lobby, based on the
recommendation of the TRAI, as approved by the group of Ministers on
telecom and then the Cabinet, the Unified License was introduced in India,
benefiting Reliance Infocomm the most. The Unified Licensing allowed
Reliance Infocomm, which held the Limited Mobility license, to migrate to
the new regime to offer both basic and mobile services, putting it on a par
with the other operators in the country. The Monsoon Hungama offer
fetched one million applications within the first ten days of its launch, but
this did not happen without problems. Reliance Infocomm’s provisioning for
bad debts for the year 2003-2004 amounted to 16 per cent of service
revenues, among the highest in the industry, according to telecom experts.
"This lends credence to the rumours in the market that many customers were
cheating the company by disappearing, not paying up, not even receiving
bills, and so on," said an analyst with a brokerage firm.
Reliance Infocomm also saw a leadership crisis emerge between the
Chairman – Mukesh Ambani and Vice Chairman – Anil Ambani, when Anil
Ambani claimed an independent stake in the running of Reliance Industries.
The crisis emerged during March 2004 and assumed a high profile in media
and public spaces during December 2004. April 2004 to June 2005
witnessed a situation where Mukesh Ambani, who until then led every
decision at Reliance Infocomm, withdrew from day-to-day operations,
focusing on untangling the crisis. As a result Reliance Infocomm slipped to
the second position in terms of subscriber numbers among the Indian mobile
operators.

Still, Reliance Infocomm played a major role in ushering in a new era in


Indian telecommunications. Despite the problems, Reliance Infocomm
remains one of the front- runners in the Indian telecommunication industry.
The marketing channel problems have been tackled and the company
currently has a strong mix of own and outside channels including Dhirubhai
Ambani entrepreneurs, direct sales agents, retailers, WebWorlds and Web
World Expresses. In January 2004, Reliance Infocomm acquired 100 per
cent of the undersea cable company, FLAG Telecom, for US$ 211 million.
This acquisition provided Reliance Infocomm with an international gateway
to global markets. The FLAG acquisition also means that Reliance
Infocomm is the only Indian operator to own an international undersea cable
network with a global footprint. The company, after running up losses for
two years, has also turned a profit. It earned a profit of Rs. 510 million
(US$11.3 million) for the fiscal 2004-05 reversing the loss of Rs. 3900
million (US$86.7 million) in 2003-04. Trust in the Reliance mobile brand
was confirmed as it emerged as the most trusted telecom brand in the
country.

CONCLUSION:
Reliance Infocomm stimulated telecommunication growth in India by
challenging many of the conventional practices in product design,
distribution, sales, advertising and pricing. Reliance Infocomm fashioned a
strategy, which was conceptually simple but sweeping in its impact. While
the competitors focused on the top segment of the market, by charging a
premium, Reliance Infocomm sought to reduce the cost to the consumer,
thus focusing on a market driven by volume. While others saw weaknesses
of India as a market – widespread poverty and low levels of
telecommunication penetration – and Reliance as an old economy firm
focusing on oil production and business-to-business clients – Reliance
Infocomm realized that these actually were strengths which it could tap into.
Reliance Infocomm’s managers saw that telecommunications would be
much valued by the poorer sections of society if it could be used to create
opportunities and offered at affordable prices. The company tapped into its
strong political and financial clout to build up a strong organization that
could push it through the legal and regulatory system. Reliance Infocomm is
planning to consolidate its telecommunication revolution through three
phases:
• Firstly, the mobile revolution now reaching 17 million customers will
expand to 640,000 villages and to over 5,000 cities and towns. This
revolution will create the potential for every individual to talk, learn,
shop, bank, transact, entertain and be informed, while on the move.
• Secondly, an enterprise Netway revolution will bring the possibility to
provide broadband experience to every desktop and device in half a
million enterprise buildings initially and eventually to millions of
commercial buildings. This will create the potential to empower every
enterprise by making transactions efficient, functions seamless and
new economic opportunities abundant.
• And thirdly, a convergence revolution will provide high-speed
networks to millions of homes. This revolution will offer every home
access to a wide range of television channels, high-speed telephony,
audio conferencing, videoconferencing and video on demand.

OBJECTIVES:
The report has been made to have a thorough knowledge in the field of
successful running of a business and to learn some managerial, technical and
marketing skills by studying the business strategies followed by one of the
top company’s of India.

The following topics will be studied in this report on Reliance infocomm:


 Company’s Profile, which includes its history, its achievements
since, the time it was founded and by whom it was found.

 Organization Structure that contains the some introduction of the


company’s board of directors.
 Product Profile contains details of the products and schemes that the
company offers.

Thus this report completely deals with the functioning of Reliance


Infocomm Technologies and hence, will be beneficial to study the skills
required by a person to be a successful manager.

RESEARCH METHODOLOGY:

There are number of ways in which you can carry out your research but you
need to carefully consider why you made this choice and what you hope the
evidence will suggest to you.
Questionnaires are one of the most common ways in which you can conduct
market research, and there are many methods of gathering data this way:
Direct Interview, Mail Survey and Telephone interview. Depending on the
type of data you hope to collect will have a impact on what you choose to
use. I have made use of method like questionnaire to with some close
friends. I have asked some question about the company by mail.
I even went to the stores of Reliance Infocomm all of them are located very
nearer to each other in Lajpat nagar market. I even had talks with the
managers of these stores about their market strategies, their sales, customer
feedback. And in these stores in the presence of the manager of the store,
asked some questions to some of the high profile customers . The Question
I have asked are given in “questionnaire part” below.

All the statistical data used in this study have been collected from secondary
sources generally publications of this company, magazines and Internet.
Most of the material has been taken from the company’s own website.

The Main Sources are:

 Search Engines on Internet

 Newspapers / Magazines

 News Papers published on this company

FINDINGS & ANALYSIS


Reliance Infocomm is a major player in the rapidly growing Indian
wireless market, as well as an emerging leader among CDMA
operators worldwide. It has acquired 100 per cent of the undersea
cable company, FLAG Telecom for US$ 211 million through
Reliance Gateway Net Limited, a wholly owned subsidiary of RIC.
This acquisition provides RIC with an international gateway to
global markets. The purchase is the company’s largest.

FINDINGS BASED ON
QUESTIONNAIRE
1) Do you use mobile phone/ if yes then which one

Reliance Airtel Hutch Tata


44.00% 38.00% 12.00% 6.00%

Series1

50

40
market share

30

20

10

0
reliance airtel hutch tata

Out of 100 people who were interviewed.44 responded in

favor of Reliance followed by 38 who chosen Airtel and

then 12 people said Hutch. 6 responded for Tata .

2)Which is the most affordable Mobile ?

Reliance Airtel Hutch Tata


30.00% 24.00% 26.00% 20.00%
Series1

35
30
25
market share

20
15
10
5
0
reliance airtel hutch tata

Out 100 People 26 Chosen Hutch, 30 said Reliance and 24


people opted for Airtel where as 20 said Tata.

3) Do you think company Reliance infocomm is giving its


customers what they want in terms of quality and price or
value of money

Quality and Value of Money

No
30%

Yes
70%
Out of 100 people who were interviewed 70 replied in the
favour of Reliance Infocomm by saying YES and rest 30
people said No.

4) Do you think the advertisements and Brand ambassadors

of the company are good enough?

Advertisment and Brand Ambessador

No, 16%

Ye s, 84%

4. What do you think company Reliance Infocomm must do

to improve its marketing strategies?


BIBLIOGRAPHY:
 www.reliancecommunications.com
 Google search engine

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