Positioning and repositioning of airtel

7/29/2019 Positioning and repositioning of airtel

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Positioning (AndRepositioning) of..


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History of CellularTelephony in India

1992 Telecommunication sector in India liberalized to bridge the gapthrough government spending

1993 The telecom industry gets an annual foreign investment Rs 20.6

million

1994 License for providing cellular mobile services granted by the

government of India for the Metropolitan cites of Delhi, Mumbai,Kolkata & Chennai. Cellular mobile service to be duopoly

1995 19 more telecom circles get mobile licenses

1997 Telecom Regulatory Authority of India is set up

1998 Annual foreign investment in telecom stands at Rs 17,756.4 million

1999 National Telecom Policy is announced, Tariff rebalancing exercise

gets initiated, FDI inflow into telecom sector falls by almost 90% to

Rs. 2126.7 million

2000 Amendment of TRAI Act. &FDI inflow drops further down to Rs 918

million coming


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45%

20%10%

25%

A tree is known by its fruit.

Market Share Distribution

VODAFONE

OTHER(IDEA,TATADOCOMO,AIRCEL etc)

RELIANCE

AIRTEL


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Companyprofile

1

2

n The flagship services of the Bharti group included Airtel (cellular),Mantra (Internet Services) and Beetel (telephone instruments)

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In 1985,he entered the telecom business by establishing BhartiTelecom Lmtd that manufactured telephonic equipment.

Starting work with Siemens AG (Germany) & TakacomCorporation (Japan) .

Bharti invested heavily in the acquisitions and alliances ,As a part of this, Bharti acquired JT Mobile (Andhra Pradesh

and Karnataka), SkyCell (Chennai) and Spice Cell (Kolkata).

5

4It is the largest cellular telecom company in the countryreaching over 600 mln people in 16 (out of 29) states of India.Company posted revenues of Rs 8.48 billion & a net loss of Rs1 billion in the financial year 2000-01


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Question

Examine the circumstances in which Bharti

and trace the brands initial days in the

backdrop of the emerging cellular telephony

market in India. In the light of the Leadership

campaign, analyze why Airtel and other cell

phone brands were seen as premium-end

offering.


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Answer

Airtel was launched as a postpaid cellularservice in delhi in 1995

The company redinfed cellular service

innovative marketing strategies, continuoustechnological up-gradations and efficientcustomer services.

Airtel brand set many benchmark for indiancellular industry(First operator to setupcellular showroom)


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Segmentation of AIRTEL

On the basis

ofGeography

SubdividedStates intocategory A, Band C

Stepwise segmentation

Divided Indian

market in

telecom circles.


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A good beginning is half ofthe battle..

Middle age

Corporate

Home-maker

Young generation

Earlier elite class above age

group of 25 years.

Targeted women and senior

citizens by introducing post paid

plans.

Corporate people and business men. Again targeted youth by introducingYOUTOPIA plan.

TARGET


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Strategy of Targeting(example)

Ogilvy On

Advertising

written by

David Ogilvyperfect portfolio of psychology

emotions

product benefit


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power to keep in touch

Always maintain leadership - be it in network, innovations, offerings or services

Positioned in premium category aimed at elite class of society

Positioning

Perception of aspirational and lifestyle brand.


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Repositioning

Positioned in premiumcategory aimed at

elite class of society.

Tagline

FocusStarted to capturingmass market

Before After

Touch

tomorrow.Live Every

Moment


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Reason forrepositioning

Why repositioning

Emotional love

customers to derive

all benefits of

cellular telephony

'kept close to the

heart.'

Airtel also shifted

its focus from SEC A

audiences to SEC B

audiences

convey a warm and

informal style


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Brand endorsement

Brand essence of

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Lookingforward.

What next?

Airtel was namedthe 'Best CellularService' in thecountry

1.won the'Techies' award4for fourconsecutive years(1997-2000)2.'Tango' in 2001.. ??
http://www.icmrindia.org/free%20resources/casestudies/Airtel.htmhttp://www.icmrindia.org/free%20resources/casestudies/Airtel.htm


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Positioning and repositioning of airtel