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A
RESEARCH PROJECT
ON
“CONSUMER BEHAVIOUR REGARDING TELECOM SERVICE PROVIDERS IN INDIA”
Submitted to:
KURUKSHETRA UNIVERSITY, KURUKSHETRA
In the partial fulfillment of the Degree of
MASTER OF BUSINESS ADMINISTRATION
2009-2011
Under the guidance of; Submitted By:
MR. TARUN SHARMA RAVI NAIN
Faculty, M.B.A MBA Final
Roll NO.3609837
GEETA INSTITUTE OF MANAGEMENT AND TECHNOLOGY
KANIPLA (KKR)
DECLARATION
I hereby certify that the work embodied in the project “Consumer Behaviour
regarding Telecom Service Providers in India" was done by me under the
supervision of Mr. tarun sharma, ( Faculty MBA Program, GIMT).
This project is done for the partial fulfillment of Degree of Master of Business
Administration program of Kurukshetra University Kurukshetra from GEETA
INSTITUTE OF MANAGEMENT AND TECHNOLOGY, KANIPLA. I have not
submitted this report to any institute or University.
RAVI NAIN
ACKNOWLEDGEMENT
My sincere thanks are due to all the contributors without whose efforts this project
would not have been completed. No task of this nature is a single person effort, so I
am very thankful to Mrs. Pooja malhotra (HOD MBA programmer GIMT) for his
valuable guidance.
I owe my big thanks to Mr. tarun sharma (Faculty MBA Program, GIMT). Under
whose guidance I successfully completed my research project. Their unfailing interest
and support gave a new dimension to my work. They made it possible to collect
abundance of material, the relevant portion of which is quoted in this project.
I am also very grateful to all other Faculty of GIMT whose teaching methodology
helped me in completion of my project without any difficulty.
I also express my gratitude to the all respondent for their proper responses and
cooperation during my dissertation project.
I would like to extend my thanks to my all friends for their valuable suggestion and
cooperation at various stages during my project
RAVI NAIN
PREFACE
In the present scenario the companies required to understand their customers better to
serve them better way. So that the customers don’t move to their competitors.
So the companies should understand what the customers expect from them and what
is the satisfaction level of the customers of them are they getting what they have
expected from you.
What is the demand patterns of the customers and how fast is the customers patterns
are changing and how fastly there customers are offering new products to them to
attract the customers you have.
In this particularly study the analysis is made to examine the customers perception
towards the mobile services providers. And there perception towards the services
provides what they thinks are better services providers. What extra services they want
from there service providers. What they thinks about the service providers and their
services How the companies can improve their services.
CONTENTS
Introduction
Customer Preference
Customer Satisfaction
Telecom In India
GSM In India- A Burgeoning Market
Brand Information
Literature review
Significance of study
Objectives of Study
Research methodology
Data Analysis & Interpretation
Findings
Limitations of the study
Conclusion
Suggestions
Bibliography
Annexure
CONSUMER PREFERENCE
In microeconomics, preference of consumers and other entities are modeled with
preference relations. Completeness is more philosophically questionable. In most
applications, S is an infinite set and the consumer is not conscious of all preferences.
However, preference can be interpreted as a hypothetical choice that could be made
rather than a conscious state of mind. In this case, completeness amounts to an
assumption that the consumer can always make up their mind whether they are
indifferent or prefer one option when presented with any pair of options.
Consumer preferences
The underlying foundation of demand, therefore, is a model of how consumers
behave. The individual consumer has a set of preferences and values whose
determinations are outside the realm of economics. They are no doubt dependent upon
culture, education, and individual tastes, among a plethora of other factors. The
measure of these values in this model for a particular good is in terms of the real
opportunity cost to the consumer who purchases and consumes the good. If an
individual purchases a particular good, then the opportunity cost of that purchase is
the forgone goods the consumer could have bought instead.
We develop a model in which we map or graphically derive consumer preferences.
These are measured in terms of the level of satisfaction the consumer obtains from
consuming various combinations or bundles of goods. The consumer’s objective is to
choose the bundle of goods that provides the greatest level of satisfaction as they the
consumer define it.
But consumers are very much constrained in their choices. These constraints are
defined by the consumer’s income, and the prices the consumer pays for the goods.
We will formally present the model of consumer choice. As we go along, we will
establish a vocabulary in order to explain the model. Development of the model will
be in three stages. After a formal statement of the consumer’s objectives, we will map
the consumer’s preferences. Secondly, we present the consumer’s budget constraint;
and lastly, combine the two in order to examine the consumer’s choices of goods.
Before a new product can be made, or an existing one varied, someone must have the
idea of doing so. Since market research as a business activity is conducted and paid
for by firms, the investigation of consumer wants and preferences is fairly well
defined by the spheres of interest that exist within the firm. There is little point in
asking the public the open-end questions, "What do you need, or want? What shall we
make?" The consensus appears to be that consumers themselves scarcely ever
originate new product ideas, that development of a specific product represents the
functioning of creativity in business, and that such creativity may be found among
technical research, production engineering, market research, or sales staff, all of
whom have been responsible for one idea or another.
Considering the magnitude of choice that confronts the American public, it is easy to
understand why this is true. Any household consumer is likely to deal in a far greater
variety of products and purchases than any firm, and any consumer's suggestions for
new items cover a broader field than that of any business interest. The firm is oriented
to production and marketing; the consumer, to his own needs and to an unlimited
range of alternatives.
One acceptable alternative, for consumers, might conceivably be for drug companies
to develop a toughening agent for feet so that shoes are no longer needed for
protection, and then for the world of fashion to insist that bare feet are the epitome of
style. Thus, consumers' suggestions rarely furnish new product ideas, either because
consumers are inarticulate about their own needs, or because they lack the technical
competence to specify feasible alternatives.
CUSTOMER SATISFACTION
Customer satisfaction business term is a measure of how products and services
supplied by a company meet or surpass customer expectation. It is seen as a key
performance indicator within business and is part of the four perspectives 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.
Satisfaction is a person’s feeling of pleasure and disappointment resulting from
comparing a product’s perceived performance in relation to his or her expectations. It
is only the customer delight that marketer aims for. Increasing competition (whether
for-profit or nonprofit) is forcing businesses to pay much more attention to satisfying
customers. (It may help the reader to notice the role of customer satisfaction in the
overall context of product or service development and management. See Product/
Service Management. Also notice the Related Info (including customer service) in
the library.
Measuring customer satisfaction
Organizations are increasingly interested in retaining existing customers while
targeting non-customers; measuring customer satisfaction provides an indication of
how successful the organization is at providing products and/or services to the
marketplace.
Customer satisfaction is an ambiguous and abstract concept and the actual
manifestation of the state of satisfaction will vary from person to person and
product/service to product/service. The state of satisfaction depends on a number of
both psychological and physical variables which correlate with satisfaction behaviors
such as return and recommend rate. The level of satisfaction can also vary depending
on other options the customer may have and other products against which the
customer can compare the organization's products.
Because satisfaction is basically a psychological state, care should be taken in the
effort of quantitative measurement, although a large quantity of research in this area
has recently been developed. Work done by Berry, Brodeur between 1990 and 1998
defined ten 'Quality Values' which influence satisfaction behavior, further expanded
by Berry in 2002 and known as the ten domains of satisfaction. These ten domains of
satisfaction include: Quality, Value, Timeliness, Efficiency, Ease of Access,
Environment, Inter-departmental Teamwork, Front line Service Behaviors,
Commitment to the Customer and Innovation. These factors are emphasized for
continuous improvement and organizational change measurement and are most often
utilized to develop the architecture for satisfaction measurement as an integrated
model. The usual measures of customer satisfaction involve a survey with a set of
statements using a Likert Technique or scale. The customer is asked to evaluate each
statement and in term of their perception and expectation the of the performance of
the organisation being measured.
Customer Satisfaction – a Critical Component of Profitability
Exceptional customer service results in greater customer retention, which in turn
results in higher profitability. Customer loyalty is a major contributor to sustainable
profit growth. To achieve success, you must make superior service second nature of
your organization. A seamless integration of all components in the service-profit
chain – employee satisfaction, value creation, customer satisfaction, customer loyalty,
and profit and growth – links all the critical dynamics of top customer service.
Sadly, mature companies often forget or forsake the thing that made them successful
in the first place: a customer-centric business model. They lose focus on the customer
and start focusing on the bottom line and quarterly results. They look for ways to cut
costs or increase revenues, often at the expense of the customer.
They forget that satisfying customer needs and continuous value innovation is the
only path to sustainable growth. This creates opportunities for new, smaller
companies to emulate and improve upon what made their bigger competitors
successful in the first place and steal their customers.
INTRODUCTION
TELECOM IN INDIA
The Indian telecom market has been displaying sustained high growth rates. Riding
on expectations of overall high economic growth and consequent rising income levels,
it offers an unprecedented opportunity for foreign investment A combination of
factors is driving growth in the telecom market, promising rich returns on investments
The Indian telecommunications has been zooming up the growth curve at a feverish
pace, emerging as one of the key sectors responsible for India's resurgent economic
growth. It is the fastest growing telecommunication market in the world, and with
281.62 million telephone connections (at the end of January 2009) is the third largest
telecom market.
In fact, India has achieved its target of reaching 250 million telephone subscribers by
2008, two months before target. Simultaneously, overall tele-density has increased to
24.63 percent.
The year 2007 saw India achieving significant distinctions: having the world's lowest
call rates (2-3 US cents), the fastest growth in the number of subscribers (15.31
million in 4 months), the fastest sale of million mobile phones (in a week), the world's
cheapest mobile handset (US$ 17.2) and the world's most affordable colour phone
(US$ 27.42) and largest sale of mobile handsets (in the third quarter).
Segment-wise growth
Wireless segment has emerged as the preferred mode of telephone service by the
consumers, reflected in the rising share of mobile phone connections to total
connections. The share of mobile phones has increased from 71.69 per cent at the end
of March 2007 to 86.07 per cent at the end of January 2009. While total mobile
subscriber base was 242.4 million, wire line subscriber base was 39.22 million.
In fact, since 1999, mobile subscriber base has been growing at a CAGR of around 85
per cent. And, while about 8 million new subscribers are being added every month in
mobile segment, there has been a decline in the total number of wire line subscribers.
Also, the net addition of 8.77 million subscribers added in January 2008 has been the
highest ever increase in a single month.
Also, private sector has become the dominant player in the industry. While public
sector companies added 53.6 million subscribers during 1998-2008, private
companies have added a whopping 133.58 million subscribers during the same period.
The dominance has been much more pronounced in the mobile market, where private
operators have added 124.68 million subscribers, while public sector operators added
only 31.79 million subscribers.
Investment
The booming domestic telecom market has been attracting accelerating amount of
investment. For example, during the first nine months of the current fiscal year (April-
December 2008), US$ 1.04 billion of FDI has been made against US$ 478 million for
the whole of 2007-08. The cumulative FDI inflows from April 2000 to December
2008 have been US$ 3.62 billion, accounting for 7.99 per cent of the total FDI inflows
into the country.
Buoyed by the rapid surge in the subscriber base, huge investments are being made
into this industry, even in the current fiscal year. An investment of over US$ 15.21
billion is being made by Indian telecom companies in 2008-09 to finance their
massive expansion of mobile networks, infrastructure and subscriber numbers. This,
in fact, is equivalent to 60 per cent of the cumulative investments into the wireless
segment since 1995.
Investment in to this industry is also attracted due to higher profitability, reflected in
the higher EBIDTA (or earnings before interest, tax, depreciation and amortisation)
margin of Indian telecom industry. A report by Merrill Lynch puts Indian telecom
industry's EBIDTA ahead of developed countries like US, UK, Japan and France
among others.
In fact, the surge in mobile services market is likely to see investment worth about
US$ 24 billion by 2010, going by industry estimates. This is understandable, when
seen that the number of mobile subscribers is estimated to increase to 60 billion by
2012, according to Standard Chartered Bank, implying a mobile in the hands of every
second person in the country.
Manufacturing
India is emerging as a handset super-power as more manufacturers set up base in the
country. While India produced around 31 million handsets worth about US$ 5 billion
in 2007, technology research firm Gartner, estimates handset production to increase
by 68 per cent in units and 65 per cent in value terms in 2008.
Consequently, India is estimated to record highest growth in the Asia-Pacific region
with a handset production of 51 million. Looking ahead, while mobile phone
production is estimated to grow at a CAGR of 28.3 per cent between 2006 to 2011 to
total 107 million handsets by 2010, revenues are estimated to grow at a CAGR of 26.6
per cent between 2006 to 2011 to US$ 13.6 billion.
Simultaneously, India's surging domestic market is also providing excellent
investment opportunities in other segments of telecom equipment industry. For
example, TRAI estimates that the country will need about 350,000 telecom towers by
2010, as against 125,000 in 2008. This has in turn attracted many leading global
telecom equipment manufacturers to set up their base in India.
Nokia set up its manufacturing plant in Chennai.
Samsung has set up its GSM mobile manufacturing base in Manesar.
Motorola has established a manufacturing plant in Sriperumbedur.
Sony Ericsson has set up GSM Radio Base Station Manufacturing facility in
Jaipur and R&D centre in Chennai.
LG Electronics set up plant of manufacturing GSM mobile phones near Pune.
Elcoteq has set up handset manufacturing facilities in Bangalore
Electronics has set up an SEZ in Chennai.
Other major companies like Foxconn, Aspcomomp, and Solectron among others have
decided to set up their manufacturing base in India. In 2008 alone, US$ 2 billion is
expected to be made in the telecom manufacturing segment.
Value Added Services Market
India's runaway success in mobile telephony has also given a boost to the mobile
value added services (MVAS) market. According to a study by Stanford University
and consulting firm BDA, the Indian MVAS is poised to touch US$ 926.3 million in
2008 and is likely to grow at a CAGR of 44 per cent to US$ 2.74 billion by 2010.
Echoing similar sentiments, research firm Gartner estimates data services to account
for 22 per cent of the total revenues by 2010 from 12 per cent in 2008. Significantly,
India's share in Asia-Pacific (excluding Japan) data revenue is estimated to almost
double from about 6 per cent in 2007 to 11.5 percent by 2011.
Government Initiatives
The Government has taken many proactive initiatives which has provided a
framework for the rapid growth of the telecom industry.
Opening the industry for private sector participation.
100 per cent FDI is permitted in telecom equipment manufacturing through
the automatic route.
FDI ceiling in telecom services has been raised to 74 per cent.
Establishment of an independent regulator - the Telecom Regulatory Authority
of India (TRAI)-for the telecom sector.
Introduction of a Unified access licensing regime for telecom services on a
pan-India basis.
Implementation of New Telecom Policy (NTP'99).
Introduction of Calling Party Pay (CPP) regime and lowering of access deficit
coupled with introduction of revenue share regime in ADC.
Introduction of Mobile Number Portability in a phased manner, starting with
the fourth quarter of 2008.
Allowing service providers to share active infrastructure.
India’s telecom market has grown rapidly in the last few years…
Subscriber growth 164
98
7653
44
0
60
120
180
2002 2003 2004 2005 Aug-06
Revenue growth20
15
1110
9
0
5
10
15
20
2002 2003 2004 2005 2006
$ B
illi
on
• Revenues ~ USD 19.5 bn (FY 2006)
• CAGR (FY 2002-06) - 21%
• Have doubled in last 3 years
• Subscribers ~ 160 million (Aug 2006)
• CAGR (FY 2002-06) - 38 %
• Nearly quadrupled since FY 02
• 5-6 million being added every month
• Tele-Density - 14.8 (Aug 2006)
• Has doubled in 3 years
• Target set for 2007 under NTP 1999 achieved during FY 2005
Mobile telephony continues to be the key growth driver…
• Progressive regulation 20
• Migration to revenue sharing
• Calling Party Pays (CPP) regime
• Unified access licensing
• Intra-circle merger guidelines
• Intensifying competition 16
• 3 to 6 players per circle
• Presence of CDMA and GSM providers
• Significant share of private sector
• Growing affordability
• ARPUs among lowest in the world
• Lower cost of ownership due to Low cost / used handsets
• Success of the pre-paid format
GSM IN INDIA -A BURGEONING MARKET:-
The GSM subscriber base in India is expected to reach about 35 million by the end of
2004. Indian GSM service providers are presently operating in over 70 networks
covering almost 2000 cities and towns and thousands of villages, serving over 26
million subscribers.
Vibrant and competitive telecom market :-
Company Presence Subscribers Jul 06 (mn)
Share (%)
Fixed Mobile Fixed Mobile
BSNL
Government owned. Has ramped up GSM services. National presence (except Mumbai and Delhi)
37.4 17.7 74.7% 19.6%
MTNL Government owned. Operates in Delhi and Mumbai.
3.8 2.0 7.7% 2.3%
Bharti
Integrated operator, with presence in all sectors. Largest mobile services provider.
1.4 19.6 2.7% 21.7%
Reliance
Integrated operator. Plans expansion of GSM network apart from being the largest private CDMA operators.
3.0 17.3 6.0% 19.2%
VodafonePure play GSM operator in 11 circles.
15.4 17.0%
IDEA Pure play GSM operator in 6 circles
7.4 8.2%
Tata Teleservices
Integrated operator (along with VSNL) with presence in all segments. Provides CDMA services in 20 circles
4.0 4.9 8.0% 5.4%
Aircel
Operates in 2 circles. Announced Plans to expand GSM footprint in North and North east
2.6 2.9%
Spice Pure play GSM player in 2 circles
1.9 2.1%
Others 0.4 1.4
Total 50 90
ROAD AHEAD
According to a report by Boston Consulting Group, while only one in 20 of the
world's first two billion mobile subscribers live in India, as many as one in every four
of the next billion subscribers will be an Indian. The department of
telecommunication estimates the total subscriber base to total 500 million by 2010,
out of which 80 million are expected to be from rural areas.
The Indian telecom industry's revenue, likewise, is estimated to increase, which
according to Ernst & Young is expected to total US$ 35 billion, accounting for 3.6 per
cent of the total GDP of the country.
With such growth projection, this industry is likely to see increased investments. In
fact, total investment is projected at US$ 76.6 billion during the eleventh plan period
(2007-12). Private sector is estimated to continue its dominant share, accounting for
67 per cent of the total projected investment while public sector accounts for the rest.
COMPANY PROFILE
INTRODUCTION
Telecom giant Bharti Airtel is the flagship company of Bharti Enterprises. The Bharti
Group, has a diverse business portfolio and has created global brands in the
telecommunication sector. Bharti has recently forayed into retail business as Bharti
Retail Pvt. Ltd. under a MoU with Wal-Mart for the cash & carry business. It has
successfully launched an international venture with EL Rothschild Group to export
fresh agri products exclusively to markets in Europe and USA and has launched
Bharti AXA Life Insurance Company Ltd under a joint venture with AXA, world
leader in financial protection and wealth management.
Airtel comes to you from Bharti Airtel Limited, India’s largest integrated and the first
private telecom services provider with a footprint in all the 23 telecom circles. Bharti
Airtel since its inception has been at the forefront of technology and has steered the
course of the telecom sector in the country with its world class products and services.
The businesses at Bharti Airtel have been structured into three individual strategic
business units (SBU’s) - Mobile Services, Airtel Telemedia Services & Enterprise
Services. The mobile business provides mobile & fixed wireless services using GSM
technology across 23 telecom circles while the Airtel Telemedia Services business
offers broadband & telephone services in 94 cities. The Enterprise services provide
end-to-end telecom solutions to corporate customers and national & international long
distance services to carriers. All these services are provided under the Airtel brand.
VISION & PROMISE
By 2010 Airtel will be the most admired brand in India:
Loved by more customers
Targeted by top talent
Benchmarked by more businesses
We at Airtel always think in fresh and innovative ways about the needs of our
customers and how we want them to feel. We deliver what we promise and go
out of our way to delight the customer with a little bit more
Company Profile
Bharti Airtel is one of India's leading private sector providers of telecommunications
services based on an aggregate of 61,914,666 customers as on February 29, 2009,
consisting of 59,670,174 GSM mobile and 2,244,492 broadband & telephone
customers.
The businesses at Bharti Airtel have been structured into three individual strategic
business units (SBU’s) - mobile services, telemedia services (ATS) & enterprise
services. The mobile services group provides GSM mobile services across India in 23
telecom circles, while the ATS business group provides broadband & telephone
services in 94 cities. The enterprise services group has two sub-units - carriers (long
distance services) and services to corporates. All these services are provided under the
Airtel brand.
Company shares are listed on The Stock Exchange, Mumbai (BSE) and The National
Stock Exchange of India Limited (NSE).
Partners
The company has a strategic alliance with SingTel. The investment made by SingTel
is one of the largest investments made in the world outside Singapore, in the
company.
The company’s mobile network equipment partners include Ericsson and Nokia. In
the case of the broadband and telephone services and enterprise services (carriers),
equipment suppliers include Siemens, Nortel, Corning, among others. The Company
also has an information technology alliance with IBM for its group-wide information
technology requirements and with Nortel for call center technology requirements. The
call center operations for the mobile services have been outsourced to IBM Daksh,
Hinduja TMT, Teletech & Mphasis.
Factsheet
Name Bharti Airtel Limited.
Business
Description
Provides mobile, telemedia services (fixed line) and enterprise
services (carriers & services to corporates)
Established July 07, 1995, as a Public Limited Company
Proportionate
Revenue
Rs. 184,202 million (year ended March 31, 2008-Audited)
Rs. 117,255 million (year ended March 31, 2007-Audited)
As per Indian GAAP Accounts
Proportionate
EBITDA
Rs. 74,407 million (year ended March 31, 2008-Audited)
Rs. 42,250 million (year ended March 31, 2007-Audited)
As per Indian GAAP Accounts
Shares in Issue
1,897,148,464 as at June 30, 2008
ListingsThe Stock Exchange, Mumbai (BSE)
The National Stock Exchange of India Limited (NSE)
Customer Base 59,670,174 GSM mobile and 2,244,492 telemedia customers
(Status as at month ended February 29, 2009)
Operational
Network
Provides GSM mobile services in all the 23 telecom circles in
India, and was the first private operator to have an all India
presence.
Provides telemedia services (fixed line) in 94 cities in India.
Registered Office
Bharti Airtel Limited
(Airtel Bharti Enterprise)
Qutab Ambience (at Qutab Minar), Mehrauli Road,
New Delhi - 110 030
Tel. No.: +91 11 4166 6000
Fax No.: +91 11 4166 6011/12
COMPANY INFORMATION
As India's leading GSM Mobile Services operator, IDEA Cellular has licenses to
operate in 11 circles. With a customer base of over 17 million, IDEA Cellular has
operations in Delhi, Maharashtra, Goa, Gujarat, Andhra Pradesh, Madhya Pradesh,
Chattisgarh, Uttaranchal, Haryana, UP-West, Himachal Pradesh,UP-East, Rajasthan
and Kerala. IDEA Cellular's footprint currently covers approximately 45% of India's
population and over 50% of the potential telecom-market.
As a leader in Value Added Services, Innovation is central to IDEA's VAS Factory. It
is the first cellular company to launch music messaging with 'Cellular Jockey',
'Background Tones', 'Group Talk', a voice portal with 'Say IDEA' and a complete suite
of Mobile Email Services.
A frontrunner in introducing revolutionary tariff plans, IDEA Cellular has the
distinction of offering the most customer friendly and competitive Pre Paid offerings,
for the first time in India, with 'Super Power', 2 Minutes Outgoing Free, Lifelong offer
and other segmented offerings like Women's Card. 'Lifetime Idea' is the first and only
loyalty program, for pre paid customers, introduced by a Cellularbrand.
Customer Service and Innovation are the drivers of this Cellular Brand. A brand
known for their many firsts, Idea is only operator to launch GPRS and EDGE in the
country.
The latest feather in Idea's cap is GSM Association Award for CARE. It is the
second GSM Association award that Idea has won, the first one being for Bill Flash.
Idea Cellular is part of the Aditya Birla Group, which is India's first truly
multinational corporation. Global in vision, rooted in Indian values, the group is
driven by a performance ethic pegged on value creation for its multiple stakeholders.
The combined holding of the Aditya Birla Group companies in Idea stands at
around57percent. With ambitious future plans, the company is poised for rapid
growth.
Mission
History
Calendar year Events
2006
Became part of the Aditya Birla Group subsequent to the
TATA Group
transferring its entire shareholding in the Company to the
Aditya Birla Group.
Acquired Escorts Telecommunications Limited
(subsequently renamed as Idea Telecommunications
Limited)
Reached the 10 million subscriber mark
Received Letter of Intent from the DoT for a new UAS
License for the Bihar Circle through Aditya Birla Telecom
Limited. ABNL, the parent of Aditya Birla Telecom
Limited, pursuant to a letter dated November 22, 2006,
agreed to transfer its entire shareholding in Aditya Birla
Telecom Limited to the Company for the consideration of
Rs. 100 million.
2004
Completed debt restructuring for the then existing debt facilities and additional
funding for the Delhi Circle
Acquired Escotel Mobile Communications Limited (subsequently renamed as
Idea Mobile Communications Limited)
First operator in India to commercially launch EDGE services 2005
Won an award for the "Bill Flash" service at the GSM Association Awards in
Barcelona, Spain
Sponsored the International Indian Film Academy Awards
2003
Reached the two million subscriber mark
2002
Changed name to Idea Cellular Limited and launched "Idea" brand name
Commenced commercial operations in Delhi Circle
Reached the one million subscriber mark
2001
Acquired RPG Cellular Limited and consequently the license for the Madhya
Pradesh (including Chattisgarh) Circle
Changed name to Birla Tata AT&T Limited
Obtained license for providing GSM-based services in the Delhi Circle
following the fourth operator GSM license bidding process
2000
Merged with Tata Cellular Limited, thereby acquiring original license for the
Andhra Pradesh Circle
1996
Changed name to Birla AT&T Communications Limited following joint
venture between Grasim Industries and AT&T Corporation
1995
Incorporated as Birla Communications Limited
Obtained licenses for providing GSM-based services in the Gujarat and
Maharashtra Circles following the original GSM license bidding process.
BRAND INFORMATION
The brand Idea
It is almost impossible to disintegrate brand Idea from the corporate Idea. Brand values
are the company values and vise versa.
Brand Vision: It goes without saying that the brand vision of idea mirrors the
company’s vision. The brand mission statement is...... To be the most customer-focused
mobile service brand, continuously innovating to help liberate our customers from the
shackles of time & space.
IDEA - Brand Values
Innovate . Stimulate . Liberate ....
It is these brand values, which have made us a formidable player in the telecom industry.
Innovations that stimulate the customer and liberate him from the shackles of time and
space are the core of our brand. This is what we strive for. Nothing more, nothing less,
nothing else.
IDEA - Brand Mission
The India footprint Idea
Anywhere connectivity - bringing India closer.
The Technology Advantage Idea
Tomorrow's technology to enrich today.
The Customer Focus Idea
Make a single interaction a lasting relationship.
The Employee Focus Idea
Nurture the roots that nurture our ideas.
Promoters
The Aditya Birla Group is India's first truly multinational corporation. Global in vision,
rooted in Indian values, the Group is driven by a performance ethic pegged on value
creation for its multiple stakeholders. Its 66 state-of-the-art manufacturing units and
sectoral services span India, Thailand, Indonesia, Malaysia, Philippines, Egypt, Canada,
Australia andChina.
A US$ 6.7 billion conglomerate, with a market capitalization of US$ 7 billion, it is
anchored by an extraordinary force of 72,000 employees belonging to over 20 different
nationalities. Over 30 per cent of its revenues flow from its operations across the world.
A premium conglomerate, the Aditya Birla Group is a dominant player in all of the
sectors in which it operates. Such as viscose staple fibre, non-ferrous metals, cement,
viscose filament yarn, branded apparel, carbon black, chemicals, fertilisers, sponge iron,
insulator sand financial services.
The Group has also made successful forays into the IT and BPO sectors.
Currently around 57 percent of our Equity Shares are held by our Promoters who are
companies belonging to the Aditya Birla Group.
Our Promoters are -
1. Aditya Birla Nuvo Limited
2. Grasim Industries Limited
3. Hindalco Industries Limited and
4. Birla TMT Holdings Private Limited.
Coverage
Idea Cellular Ltd has seen phenomenal growth since its inception. Idea Cellular's
footprint idea is to first achieve critical mass, then drill deep instead of spreading thin.
In keeping with this, the company has been providing excellent service to its subscribers
in various states. It controls a portfolio of India's most attractive and contiguous telecom
geographies, including the circles of Andhra Pradesh & Delhi (inclusive of NCR),
Gujarat, Haryana, Himachal Pradesh, Kerala, Madhya Pradesh & Chattisgarh,
Maharashtra & Goa (excluding Mumbai), Rajasthan, Uttar Pradesh (W),Uttar
Pradesh (E) . With a footprint dominating the map of India, Idea Cellular accesses over
60% of India's total telephony potential. The company is now poised to launch its
services in new circles - namely Mumbai and Bihar.
Idea Cellular Ltd, however, does not believe only in increasing geographic footprint - it
also drills deep and successfully attempts to provide excellent network coverage in all its
circles of operations.
LITERATURE REVIEW
LITERATURE REVIEW
Haley(1968) is of the view that customer satisfaction reflects their perception of
benefit, and hence segmentation based on benefit is ideal. Therefore, we can segment
customers by their degree of satisfaction.
Engel et al.(1982 )projected that customers with different lifestyle show variation in
their consumiong attitudes. Because lifestyle of people is influenced by culture social
status reference group and family people with different lifestyles have distinct values
personalities and perceptions.
Castells et al (2005) extensively looked into the rise of the mobile youth in the
crosscultural perspective. Their hypothesis stated that there is a youth culture that
finds , in mobile communication, an adequate form of expression and reinforcement.
Anderson EW and Sullivan VW (1993) “The Antiecedents and consequences of
customer satisfaction for firms”
Brady MK and Robertson CJ (2001) “Searching for a consensus on the antiecedent
role of service quality and satisfaction”
INTRODUCTION
Bharat Sanchar Nigam Ltd. formed in October, 2000, is World's 7th largest
Telecommunications Company providing comprehensive range of telecom services in
India: Wireline, CDMA mobile, GSM Mobile, Internet, Broadband, Carrier service,
MPLS-VPN, VSAT, VOIP services, IN Services etc. Within a span of five years it has
become one of the largest public sector unit in India.
BSNL has installed Quality Telecom Network in the country and now focusing on
improving it, expanding the network, introducing new telecom services with ICT
applications in villages and wining customer's confidence. Today, it has about 47.3
million line basic telephone capacity, 4 million WLL capacity, 20.1 Million GSM
Capacity, more than 37382 fixed exchanges, 18000 BTS, 287 Satellite Stations,
480196 Rkm of OFC Cable, 63730 Rkm of Microwave Network connecting 602
Districts, 7330 cities/towns and 5.5 Lakhs villages.
BSNL is the only service provider, making focused efforts and planned initiatives to
bridge the Rural-Urban Digital Divide ICT sector. In fact there is no telecom operator in
the country to beat its reach with its wide network giving services in every nook &
corner of country and operates across India except Delhi & Mumbai. Whether it is
inaccessible areas of Siachen glacier and North-eastern region of the country. BSNL
serves its customers with its wide bouquet of telecom services.
BSNL is numero uno operator of India in all services in its license area. The company
offers vide ranging & most transparent tariff schemes designed to suite every
customer.BSNL cellular service, CellOne, has more than 17.8 million cellular customers,
garnering 24 percent of all mobile users as its subscribers. That means that almost every
fourth mobile user in the country has a BSNL connection. In basic services, BSNL is
miles ahead of its rivals, with 35.1 million Basic Phone subscribers i.e. 85 per cent
share of the subscriber base and 92 percent share in revenueterms.
BSNL has more than 2.5 million WLL subscribers and 2.5 million Internet Customers
who access Internet through various modes viz. Dial-up, Leased Line, DIAS, Account
Less Internet(CLI). BSNL has been adjudged as the NUMBER ONE ISP in the country.
BSNL has set up a world class multi-gigabit, multi-protocol convergent IP infrastructure
that provides convergent services like voice, data and video through the same Backbone
and Broadband Access Network. At present there are 0.6 million DataOne broadband
customers. The company has vast experience in Planning, Installation, network
integration and Maintenance of Switching & Transmission Networks and also has a
world class ISO 9000 certified Telecom Training Institute.
Scaling new heights of success, the present turnover of BSNL is more than
Rs.351,820 million (US $ 8 billion) with net profit to the tune of Rs.99,390 million
(US $ 2.26 billion) for last financial year. The infrastructure asset on telephone alone is
worth about Rs.630,000 million (US $ 14.37 billion).
BSNL plans to expand its customer base from present 47 millions lines to 125 million
lines by December 2007 and infrastructure investment plan to the tune of Rs. 733 crores
(US$ 16.67 million) in the next three years and the desire to excel has made BSNL the No. 1
Telecom Company of India.
The turnover, nationwide coverage, reach, comprehensive range of telecom services and
the desire to excel has made BSNL the No. 1 Telecom Company of India.
VISION, MISSION & OBJECTIVES
VISION
To become the largest telecom Service Provider in Asia.
MISSION
i. To provide world class State-of-art technology telecom services to its customers on demand at competitive prices.
ii. To Provide world class telecom infrastructure in its area of operation and to contribute to the growth of the country's economy.
OBJECTIVES
To be the Lead Telecom Services Provider.
To provide quality and reliable fixed telecom service to our customer and there by increase customer's confidence.
To provide mobile telephone service of high quality and become no. 1 GSM operator in its area of operation.
To provide point of interconnection to other service provider as per their requirement promptly.
To facilitate R & D activity in the country.
Contribute towards: i. National Plan Target of 500 million subscriber base for India by 2010.
ii. Broadband customers base of 20 million in India by 2010 as per Broadband Policy 2004.
iii. Providing telephone connection in villages as per government policy.
iv. Implementation of Triple play as a regular commercial proposition.
NATIONAL INTERNET BACKBONE OF BSNL
The National Internet Backbone of BSNL consists of 432 Point of Presence( POP) that
gives it the capability of transporting IP traffic from every hook and corner of the
country. This network provides internet services to more than 1 million dial-up
customers including about 3.5 lakh customers on CLI basis.
2nd in the line of IP network, BSNL commissioned a state-of-the-art Multi Protocol Label
Switching (MPLS) NETWORK TAKING India into the next stage of the IP evolution.
This network has 10 physical nodes with all district headquarters designated as virtual
nodes. This network has opened up a new market segment of secure and reliable Virtual
Private Networks (VPNs) for Corporate customers.
The latest endeavor of BSNL is a world-class multi-gigabit multi-protocol, convergent
IP infrastructure which will provide voice, data and video services through the same
backbone. In terms of infrastructure for broadband services, this would put India at par
with more advanced nations. Designated as NIB-II this will be implemented in the form
of four projects.
Project 1 involves building up of MPLS backbone
Project 2.1 is for narrow band access
Project 2.2 is for broadband access
Project 3 is to put systems and processes in place to integrate network
built in The other projects and provide services like messaging, billing
etc.
All the above projects in form of NIB-II are at different stages of implementation and as per schedule .They will be operational in the third quarter of this year.
The services that will be available to customers when NIB-II is in place:
Narrowband and broadband Internet access.
Virtual Private Network.
Managed OPE
Value Added Services like encryption, firewall and NAT
Messaging: Plain Vanilla and feature rich
Data Center Services: web hosting and web-collocation.
Content based Services: e.g. video multicast, video on demand, interactive gaming
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 kilometres 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.
VISION
“We will leverage our strengths to execute complex global-scale projects to facilitate
leading-edge information and communication services affordable to all individual
consumers and businesses in India.
We will offer unparalleled value to create customer delight and enhance business
productivity.
We will also generate value for our capabilities beyond Indian borders and enable
millions of India's knowledge workers to deliver their services globally.”
India ’s leading integrated telecom company Reliance Communications is the flagship
company of the Anil Dhirubhai Ambani Group (ADAG) of companies. Listed on the
National Stock Exchange and the Bombay Stock Exchange, it is India’s leading
integrated telecommunication company with over 40 million customers.
Our business encompasses a complete range of telecom services covering mobile and
fixed line telephony. It includes broadband, national and international long distance
services and data services along with an exhaustive range of value-added services and
applications. Our constant endeavour is to achieve customer delight by enhancing the
productivity of the enterprises and individuals we serve.
Reliance Mobile (formerly Reliance India Mobile), launched on 28 December 2002,
coinciding with the joyous occasion of the late Dhirubhai Ambani’s 70th birthday, was
among the initial initiatives of Reliance Communications. It marked the auspicious
beginning of Dhirubhai’s dream of ushering in a digital revolution in India. Today, we
can proudly claim that we were instrumental in harnessing the true power of information
and communication, by bestowing it in the hands of the common man at affordable rates.
We endeavour to further extend our efforts beyond the traditional value chain by
developing and deploying complete telecom solutions for the entire spectrum of society.
LOOKING BACK, LOOKING FORWARD
Reliance – Anil Dhirubhai Ambani Group, an offshoot of the Reliance Group founded by
Shri Dhirubhai H Ambani (1932-2002), ranks among India’s top three private sector
business houses in terms of net worth. The group has business interests that range from
telecommunications (Reliance Communications Limited) to financial services (Reliance
Capital Ltd) and the generation and distribution of power (Reliance Energy Ltd).
Reliance – ADA Group’s flagship company, Reliance Communications, is India's largest
private sector information and communications company, with over 40 million
subscribers. It has established a pan-India, high-capacity, integrated (wireless and
wireline), convergent (voice, data and video) digital network, to offer services spanning
the entire infocomm value chain.
Other major group companies — Reliance Capital and Reliance Energy — are widely
acknowledged as the market leaders in their respective areas of operation
Corporate Governance
Organizations, like individuals, depend for their survival, sustenance and growth on the
support and goodwill of the communities of which they are an integral part, and must
pay back this generosity in every way they can...
This ethical standpoint, derived from the vision of our founder, lies at the heart of the
CSR philosophy of the Reliance – ADA Group.
While we strongly believe that our primary obligation or duty as corporate entities is to
our shareholders – we are just as mindful of the fact that this imperative does not exist in
isolation; it is part of a much larger compact which we have with our entire body of
stakeholders: From employees, customers and vendors to business partners, eco-system,
local communities, and society at large.
We evaluate and assess each critical business decision or choice from the point of view
of diverse stakeholder interest, driven by the need to minimize risk and to pro-actively
address long-term social, economic and environmental costs and concerns.
For us, being socially responsible is not an occasional act of charity or that one-time
token financial contribution to the local school, hospital or environmental NGO. It is an
ongoing year-round commitment, which is integrated into the very core of our business
objectives and strategy.
Because we believe that there is no contradiction between doing well and doing right.
Indeed, doing right is a necessary condition for doing well.
ABOUT VODAFONE ESSAR LIMITED
Vodafone Essar in India is a subsidiary of Vodafone Group Plc and commenced
operations in 1994 when its predecessor Hutchison Telecom acquired the cellular licence
for Mumbai. Vodafone Essar now has operations in 16 circles covering 86% of India's
mobile customer base, with over 41.1 million customers*.
Over the years, Vodafone Essar, under the Hutch brand, has been named the 'Most
Respected Telecom Company', the 'Best Mobile Service in the country' and the 'Most
Creative and Most Effective Advertiser of the Year'.
Vodafone is the world's leading international mobile communications company. It now
has operations in 25 countries across 5 continents and 40 partner networks with over 200
million customers worldwide. Vodafone has partnered with the Essar Group as its
principal joint venture partner for the Indian market.
The Essar Group is a diversified business corporation with interests spanning the
manufacturing and service sectors like Steel, Energy, Power, Communications, Shipping
& Logistics and Construction. The Group has an asset base of over Rs.400 billion (US$
10 billion) and employs over 20000 people.
The communications leader in an increasingly connected world
Vodafone Group Plc is the world's leading mobile telecommunications company, with a
significant presence in Europe, the Middle East, Africa, Asia Pacific and the United
States through the Company's subsidiary undertakings, joint ventures, associated
undertakings and investments.The Group's mobile subsidiaries operate under the brand
name 'Vodafone'. In the United States the Group's associated undertaking operates as
Verizon Wireless. During the last two financial years, the Group has also entered into
arrangements with network operators in countries where the Group does not hold an
equity stake.
Under the terms of these Partner Network Agreements, the Group and its partner
networks co-operate in the development and marketing of global services under dual
brand logos.At 31 December 2007, based on the registered customers of mobile
telecommunications ventures in which it had ownership interests at that date, the Group
had 252 million customers, excluding paging customers, calculated on a proportionate
basis in accordance with the Company's percentage interest in these ventures.The
Company's ordinary shares are listed on the London Stock Exchange and the Company's
American Depositary Shares ('ADSs') are listed on the New York Stock Exchange. The
Company had a total market capitalisation of approximately £99 billion at 31 December
2008.Vodafone Group Plc is a public limited company incorporated in England under
registered number 1833679. Its registered office is Vodafone House, The Connection,
Newbury, Berkshire, RG14 2FN, England.
More than mobile
Mobile is always at the heart of what we do, but now we are moving into integrated
mobile and PC communication services. We are doing that in two ways – wirelessly
through 3G and HSDPA (High-Speed Download Packet Access), but also using fixed
line broadband services like DSL (Digital Subscriber Line). Our customers benefit from
a complete Vodafone experience in and out of their homes and offices. They are notified
about email with our consumer push email service, access existing instant messaging
services on the move, and share images and video captured on their handsets.
We offer a suite of products that, starting with voice calls, offers our customers an
alternative to a traditional fixed telephone line. Vodafone Zuhause in Germany and
Vodafone Casa in Italy, provide our customers with an easy-to-use mobile service,
combined with low-cost fixed line telephony and DSL (Digital Subscriber Line)
broadband. We have extended our reach into the office by delivering richer business
applications and integrated fixed and mobile services, such as higher speed internet
access.
With developments in technology we can provide integrated mobile and PC offerings to
give our customers a consistent experience whether they are at home or on the move.
SIGNIFICANCE OF THE STUDY
SIGNIFICANCE OF THE STUDY
Development of market of telecom is making the companies to initiate some efforts for
promoting the sale of their products. The main reasons can be summed up as under:
Since 1999, mobile subscriber base has been growing at a CAGR of around 85 per cent.
7-8 million being added every month. The cumulative FDI inflows from April 2000 to
December 2008 have been US$ 3.62 billion, accounting for 7.99 per cent of the total FDI
inflows into the country. Increasing demand of rural market. Increasing income of
middle class people.
The Govt. liberalization policy for the FDI in telecom sector. Rapid increase in
population also affects the growth of market of these products. More attractive and
discount offer by telecom companies mainly in festive time, helps in the growth of this
telecommunication market. It is the fastest growing telecommunication market in the
world, and with 281.62 million telephone connections (at the end of January 2009) is the
third largest telecom market.
Every research that we are conducting should contain some important to us. Here I am
doing the research on the topic Study of consumer preference and satisfaction regarding
the various Mobile telecom service providers in India. These are the reasons for
conducting the research on this topic:
OBJECTIVES OF THE STUDY
OBJECTIVES OF THE STUDY
Consumer satisfaction procedure has a great importance in every organization. The
objectives are set up in the start of the study, because on the basis of these objectives we
have to do the research work.. these are summarized as under :-
To study the customer perception regarding the telecom service providers.
To study the customer satisfaction level regarding the telecom service
providers.
To know the factors which influence the customers in aviling the service
providers
To study the category of connection using by the customer
RESEARCH METHODOLOGY
RESEARCH METHODOLOGY
Research methodology is a way to systematically solve the problem. It may be
understood has a science of studying how research is done scientifically. In it we study
the various steps that all generally adopted by a researcher in studying his research
problem along with the logic behind them. The scope of research methodology is wider
than that of research method.
Research Design
The research design is the conceptual structure within which research is conducted; it
constitutes the blue print of the collection, measurement and analysis of the data. As
search the design includes an outline of what the researcher will do from writing the
hypothesis and its operational implication to the final analysis of data.
The present study is Descriptive in nature, as it seeks to discover ideas and insight to
bring out new relationship. Research design is flexible enough to provide opportunity for
considering different aspects of problem under study.
DATA COLLECTION
There are two types of data these are:
PRIMARY DATA: - The primary data are those, which are collected afresh
and for the first time. and thus happened to be original in character. Sources
of primary data are:
Questionnaire
Observation
Personal interview
SECONDARY DATA: -
The secondary data on the other hand, are those which have already been collected
by Someone else and which have already been passed through the statistical
processes.
Sources are:. Books, magazines, newspaper, publications.
Sampling and sampling design
Sampling may be defined as the selection of some part of an aggregate or totality on the
basis of which a judgment or inference about the aggregate or totality is made. In simple
words, it is the process of obtaining information about the population by examining only
a part of it.
Sampling Unit : Consumers of different telecom service providers.
Sampling Size : - 100 respondents.
Sampling Design : Judgement Sampling
Sampling Area : Jagadhri & Yamuna Nagar cities
DATA ANALYSIS
AND
INTERPRETATION
DATA ANALYSIS AND INTERPRETATION
After collecting the data from the various sources there is a need to data analysis and
interpretation. This data obtained from the various primary and secondary sources while
doing the study need to be analyze. This can be done with the help of various tables and
charts.
For the purpose of the analyzing the data percentage has been calculated and this is
shown with the help of tables and charts.
Q1.Type of the connection in numbers:-
Interpretation:-The above chart shows that in India now a days the number of
mobiles connections in home are more than the number of land lines connections. So
from this we can conclude that there is a huge potential of growth of mobile services in
India.
Response No. of Respondents
Mobile Connection 78
Landline connection 22
Q2.Mention the number of category of mobile connection you are
personally using?
Interpretation:-
The above chart shows that in the mobile services the coverage of the GSM service
operators have more share in the over all mobile sector so we can say that the GSM
service providers are far ahead than the CDMA service providers.
Response No. of Respondents
GSM 64
CDMA 36
Q3. What type of connection do you have?
Interpretation :-
The above chart shows that in the total mobile connections the number of the Pre paid
connections are more than the number of the Post paid connection. So this is a clear
indication that the customer prefers to use the Pre paid connections to use the mobile
services.
Response No. of Respondents
Prepaid 65
Postpaid 35
Q4.Who amongst the following is your service provider?
Response % of Respondents
Airtel 32
Bsnl 16
Idea 12
Vodafone 7
Reliance 19
Any others 14
respondent
32%
16%12%
7%
19%
14%
Airtel
Bsnl
Idea
Vodafone
Reliance
Any others
Interpretation;-
The above chart tells about the share of the various telecom services providers. In my
study I found that Airtel has the maximum share of 32% in the market and Reliance
comes on second position having the share near to 19%. And the over all mobile
communication market is captured by the GSM operators.
Q5. How did you come to know about these service providers ?
Interpretation:-
The above chart shows that the advertisement is the most influential medium in the
business of the mobile services . And if of the mobile services operator wants to enter
in the market than he has to use the advertisement as the tools to enter in the market .
It also indicate that an mobile service provider has to spent hugely on the
advertisement.
Response % of Respondents
Through peers 15
Advertisement 35
Publicity 25
Family members 12
Any others 13
Respondent
15%
35%
25%
12%
13%
Through peers
Advertisement
Publicity
Family members
Any others
Q6. Which factor influenced you the most to avail the services of the
service provider–
Respondent
48%
12%
19%
12%
9% Call rates
Value added services
Network Coverage
Customer care support
Scheme
Interpretation:-
This chart shows that the call rates of a particular service provider has a maximum
influence on the purchase decision of an customer and after this the network coverage
has the maximum impact on the purchase decision of an service provider.
Response % of Respondents
Call rates 48
Value added services 12
Network Coverage 19
Customer care support 12
Scheme 9
Q7. Are you aware about the all other service providers available in
the market?
Response % of respondents
Fully aware 42
Aware 46
Less aware 6
Neutral 2
Not so much 4
Respondent
42%
46%
6%
2%
4%
Fully aware
Aware
Less aware
neutral
Not so much
Interpretation:-
This chart shows the awareness level of the customers in the telecom services
providers market. It also shows that among the total people 42% are fully aware and
46% are aware . so this shows that near about 88% people have a great information
about the various telecom service providers.
Q8. Are you satisfied with the amount of information content provided
to you in the catalogue and handbooks?
Respondent
18%
28%
32%
14%
8%
Fully satisfied
Satisfied
Average
Less satisfied
Dissatisfied
Interpretation:-
This chart shows about the extent of the information given by the various service
providers. This shows that 60% of the people are satisfied amount of information
content provided by the various telecom services providers. This also shows that 22%
people are not at all satisfied by the amount of information content provided by the
various telecom services providers.
Response % of Respondent
Fully satisfied 18
Satisfied 28
Average 32
Less satisfied 14
Dissatisfied 8
Q9. Which type of media influenced your purchase behavior?
Response % of Respondent
T.V 42
Hording 12
News papers & magazines 21
Radio 14
Internet 11
Respondent
42%
12%
21%
14%
11% T.V
Hording
News papers &magazines
Radio
Internet
Interpretation:-
The above chart gives the information about the level of the influence of the various
advertisement mediums . It shows that T.V has maximum influence on the people it
is near about 42% and after this the another most influential medium is the News
papers and the magazines and which is near about 21%this help to know the best
medium of the advertisement.
Q10. Which is the most important factor according to you influenced
most while purchase of a sim-card?
Respondent
9%
12%
19%
12%
48%
Customer care support
Attractive schemes
Network coverage
Value added services
Call rates
Interpretation;-
This chart shows the which is the most important factors among the following factors
which has the maximum influence on the purchase decision of an customer. This shows
that the call rates has the maximum influence 48% and after that the network coverage is
the second most important factor and it influence near about 19% on the decision of an
individual for buying a telecom service operator.
Response % of Respondent
Customer care support 09
Attractive schemes 12
Network coverage 19
Value added services 12
Call rates 48
Q11. What extent call rates influence your purchase of sim card?
Interpretation:-
This chart helps us to know that up to what extent the call rates has the influence on the
purchase decision of an customer. This shows that more than 20% people are highly
influenced by the call rate factor and more than 77% people consider the call rates as the
important factor while going for a particular telecom service provider.
Response % of Respondent
High 20
High average 41
Average 16
Average low 18
Low 5
Q12. How many times do you switch over your service provider in last
one year?
Respondent
18%
48%
27%
3% 4%
No switch over
1 time
2 time
3 times
More than 3 times
Interpretation:-
This chart helps us to know about the switching rate in the telecom sector . This shows
that more than 48% of people switch over once in the last one year, more than 27%
people switch over twice in the last year . So this all shows that the rate of the switching
is very high in the telecom sector. So it is very difficult for the service providers to retain
their customers.
Response % of Respondent
No switch over 18
1 time 48
2 time 27
3 times 03
More than 3 times 04
Q13.Are you satisfied with the overall performance of the telecom
service providers in India?
Respondent
16%
42%
28%
8%6%
Fully satisfied
Satisfied
Average
Less satisfied
poor
Interpretation:-
This chart helps us to know about the satisfaction level of the customers in the
telecommunication service users. So this shows that only 16% of the total customers
are fully satisfied and only 42% of the customer are satisfied with their service
providers. And more than14% customers are not at all satisfied.
Response % of Respondent
Fully satisfied 16
Satisfied 42
Average 28
Less satisfied 08
Poor 06
14.What is your post purchase experience with your telecom service
provider?
Respondent
12%
24%
42%
14%
8%
Excellent
Very good
Good
Average
poor
Interpretation:-
This chart helps us to know about the satisfaction level of the customers in the
telecommunication service users. This shows that only 12% says that their post purchase
experience is excellent with their service provider and 24%says that their post purchase
experience is very good with their service provider and 42% says that their post purchase
experience is good with their service provider and14% says that their post purchase
experience is average with their service provider and 8 %says that their post purchase
experience is poor with their service provider.
Response % of Respondent
Excellent 12
Very good 24
Good 42
Average 14
Poor 08
Q14 .Are you satisfied with the customer care services of your service provider?.
Response % of Respondent
Fully satisfied 18
Satisfied 28
Neutral 32
Dissatisfied 14
Fully Dissatisfied 8
Respondent
18%
28%
32%
14%
8%
Fully satisfied
Satisfied
Neutral
Dissatisfied
Fully Dissatisfied
Interpretation: -
This chart helps us to know about the satisfaction level of the customers regarding the
customer care services in the telecommunication service users. This shows that only 18%
customer says that they are fully satisfied with the customer care services in the various
telecommunication services providers and28% customer says that they are satisfied with
the customer care services in the various telecommunication services providers and32%
customer says that they are neutral with the customer care services in the various
telecommunication services providers and14% customer says that they are dissatisfied
with the customer care services in the various telecommunication services providers
and8% customer says that they are fully dissatisfied with the customer care services in
the various telecommunication services providers.
FINDINGS
FINDINGS
OBJECTIVE-1
We find that in the mobile services the coverage of the GSM service operators have more
share in the over all mobile sector so we can say that the GSM service providers are far
ahead than the CDMA service providers.
We find that the total mobile connections the number of the Pre paid connections are
more than the number of the Post paid connection. So this is a clear indication that the
customer prefers to use the Pre paid connections to use the mobile services.
We find that share of the various telecom services providers. In my study I found that
Airtel has the maximum share of 32% in the market and Reliance comes on second
position having the share near to 19%. And the over all mobile communication market is
captured by the GSM operaters.
OBJECTIVE-2
Only 16% of the total customers are fully satisfied and only 42% of the customer are
satisfied with their service providers. And more than14% customers are not at all
satisfied with their telecom service provider.
Only 12% says that their post purchase experience is excellent with their service provider
and 24%says that their post purchase experience is very good with their service provider
and 42% says that their post purchase experience is good with their service provider
and14% says that their post purchase experience is average with their service provider
and 8 %says that their post purchase experience is poor with their service provider.
SUGGESTIONS
SUGGESTIONS
In my present research work I come to know that there is a huge potential to the
growth of Telecom industry in India. I found that advertisement plays an
important role in purchasing behaviour of customers as 35% of respondents are
influenced by the advertisement. So more emphasis on advertisement should be
made to attract the customers.
Call rates is an another factor influencing on buying behaviour. In my study, 48
% people accepted that they consider about call rates before purchasing a Sim of
any company. So telecom service providers should make some initiatives in this
regard with the consent of Telecom Ministry of India.
Media also makes influence on customers. In my research 42% respondents
attracted through TV and rest from other media sources like newspapers etc. So
media can also be a good mean of propaganda for telecom service providers.
Quality of services also effect the clients to any particular telecom service
provider as in my study, I found that only 16% customers are fully satisfied with
their concerning companies. So TRAI should make some efforts in this regard so
that quality of services may be improve in India.
I found that post purchase experience of maximum customers is not upto their
expectations, as only 12 % respondents assumed it as excellent, but rest believed
that they are lacking in their services. So joint efforts of dealers and company's
representatives should be made in this regard.
CONCLUSION
CONCLUSION
Telecom Services today represent the largest electronic industry in world. Through my
research I have found that the awareness about telecom services is very high .in my
research I came to know that advertisement is one of the most influential mode of media
which have an impact over the consumers. The next important factor is the call rates
which leads to customer satisfaction or customer dissatisfaction.
Customers are changing attitudes, buying behaviour, life styles, choice criteria, loyalty to
market offers and so on this is all due to they are exposed to multiplicity of brands media
hypes, hi tech communication.
Keeping this in view it can be concluded that there are end number of service providers
for the customers and the satisfaction will vary as per the varying demand of the
customers. So there are no clear cut dimensions upon which the customer satisfaction
and their perception can be measured.
LIMITATIONS OF THE STUDY
LIMITATIONS OF THE STUDY
In every Research whether it is done at the lower level or at the upper level, It consists of
some limitations. During my research, I have also faced some limitations. These are
stated as under:
Availability of Time: - For conducting a research one should have the
availability of time so that he should provide time to the research. As I am a
student so it was impossible for me to provide time.
Small sample Size: - The sample that I have taken was not enough. It does not
represent the whole set of population.
Biased Responses: - Some respondents were not cooperative, I found biased
responses from them, they were taking the things in a wrong manner.
Limited Area: - The sample which is taken in the record is from the very small
area as compared to large population town. So there may be deviation due to this
sample.
Lack of Experience:- Lack of experience was also a big limitation in this as I
was not a trained person in this.
Budgetary Constraints:- I was also lacking in budget which is essential for
getting the responses from the respondents
BIBLIOGRAPHY
BIBLIOGRAPHY
1. Kothari, C.R, Research methodology, methods & techniques, new age
international ltd. Publishers, Second edition, P.no27-42.
2. Gupta, S.P. Statistical methods and techniques, Sultan Chand & Sons.
Educational Publishers, New Delhi,P.no237-241,628-629
3. Jain,T.R, Statistics for MBA,V.K.(India) enterprises, New
Delhi.,edition2006-07,P.no 135-137
Magazines
1 Article By Dr. Banusnath, Indian Journal of Marketing, March 2006, pp
2 Advertising Effectiveness, By Dr. R.P. Singh, Indian Journal of
Marketing ,Dec 2006.
4. Chandra Suresh Indian Journal Of Marketing – xxxv edition January
2006, P
5. Business World Economy Dec 2005 P no.51-53
6. Business Today – Trends, April 23, 2006 P no. 17
7. Business Research – June 2005, Page 31
Websites
1. http://ideacellular.com/mission
2. http://www.bsnl.co.in/about.htm
3. http://ideacellular.com/IDEA.portal/history
4. http://www.bsnl.co.in/company/vision.htm
ANNEXURE
ANNEXURE
QUESTIONNAIRE
I am doing a survey on “Study of Consumer behavior regarding Telecom Service
providers (Airtel, Bsnl, Vodafone, Idea& Reliance) on the basis of Call rates, Network
Coverage, Value Added Services, Scheme and Customer Care Support.” and this survey
is being conducted in lieu of the partial fulfillment of dissertation for the degree of
M.B.A. and means no business. In this regard I wish to avail your kind co-operation.
Name of the respondent:- ………………
Age:-
Sex:-
Occupation:-………………………..
Income level:-
1. what type of connection you have?
Mobile. Landline.
2. Which category of mobile you are using?
GSM CDMA
3. What type of connection do you have?
Pre paid Post paid
4. Who amongst the following is your service provider? Airtel
Bsnl
Idea
Vodafone
Reliance
Any others
5. How did you come to know about these service providers?
Through peers
Advertisement
Publicity
Family members
Any others
6. Which factor influeced you the most to avail the services of the service provider?Call rates
Value added services
Network coverage
Customer care support
7. Are you aware abut the all other service providers available in the market?
Fully aware
Aware
Less aware
Neutral
Not so much
8. Are you satisfied with the amount of information content provided to you in the catalogue and handbooks?Yes NO
9. Which type of media influenced your purchase behavior?
T.V
Hording
News Papers & Magazines
Radio
Internet
10. Which is the most important factor according to you influenced most while
purchase of a sim-card?
Customer care support
Attractive Schemes
Value added services
Network coverage
11. What extent call rates influence your purchase of sim card?
High average
Response
Average
High
12. How many times do u switch over your service provider in last one year?
No switch over 1time 2 time 3 times morethan 3
13 Are you satisfied with the overall performance of the telecom service providers
in India?
Fully Satisfied
Satisfied
Average
Less satisfied
Poor
13. What is your post purchase experience with your telecom service provider?
Excellent
Very good
Good
Average
Poor
14. Are you satisfied with the customer care services of your service provider?
Fully Satisfied
Satisfied
Neutral
Dissatisfied
Fully Dissatisfied