Telecom sectorBy- SAURABH KAPALE

INTRODUCTION OF TELECOM SECTOR

HISTORY OF TELECOM IN INDIA 1854 A regular, separate department was opened, when telegraph

facilities were thrown open to the public.

1854-57 The Telegraph Department comprised a Superintendent ofTelegraphs.

Three Deputy Superintendents at Bombay, Madras and Inspectors atIndore, Agra, Kanpur and Banaras and an operating andmaintenance staff.

April,1925 The accounts of the Indian Posts and Telegraphs werereconstituted to examine the true fiscal profile of the department.

The installed capacity of these 196 exchanges was 3,362 lines with11,296 working connections.

Indo-European Telegraph Department, later known as the OverseasCommunications, was administered by a Director-in-Chief whoseheadquarters was in London.

Contribution towards GDP of India

In 2008, estimates placed the telecommunication industry's revenue at $4.7 trillion or just under 3 percent of the gross world product.

India’s telecom sector was the poster boy for India ’s growth story over the last decade. In last four years, the sector grew by 20% CAGR and the mobile subscriber base crossed 900 million, second only to China. Telecom contributes approximately 3% to India’s GDP.

The National Telecom Policy (NTP) has targeted 100% tele-density and 600 million broadband connections by 2020, which includes connecting 250,000 Gram Panchayats by optical fibre network.

This will translate into demand for an additional 400,000 base stations and 50,000 towers with average tenancy of 2.3 at an investment of Rs. 50, 000 Crores.

Major Players In Indian

• Bharti Airtel Limited, commonly known as Airtel, is an Indian

multinational telecommunications services company headquartered

in New Delhi, India.

• providing 2G, 3G and 4G services depending upon the country of

operation. Airtel is the world's third largest mobile

telecommunications company by subscribers, with over 275 million

subscribers

• It is the largest cellular service provider in India, with 192.22 million

subscribers as of August 2013

• Airtel is the Second largest Asia-Pacific mobile operator by subscriber

base, behind China Mobile.

!DEA

Idea Cellular, commonly referred to as Idea, is an Indian mobile

network operator based in Mumbai, India.

This dual holding by the Tata also became a major reason for the delay in Idea being granted a license to operate in Mumbai. This

was because as per Department of Telecommunications

It was incorporated on 15 September 2000 and took over the

business of providing of telecom services and network

It is the largest provider of fixed telephony, largest broadband services provider with more than 60% Market share, and fourth

largest mobile telephony provider in India

BSNL is India's oldest and largest communication service provider

(CSP)

It had a customer base of 117 million as of January 2014

It is the 15th largest mobile phone operator with over 150 million subscribers

Established in 2004, it is a subsidiary of Reliance Anil DhirubhaiAmbani Group

Wireless segment

Broadband segment (Internet access operations)

Global segment: national and international long-distance operations (and the wholesale operations of its subsidiaries)

Investment segment: investment activities of the Reliance Group companies

Other segment: customer care and direct-to-home (DTH) activities

Comparison Between !dea and

BSNL

• Idea Cellular, commonly referred to as Idea, is an Indian mobile network operator

based in Mumbai, India.

• This dual holding by the Tata also became a major reason for the delay in Idea

being granted a license to operate in Mumbai. This was because as per

Department of Telecommunications

• Mobile, Telephony wireless broadband

• Aditya Birla Group(49.05%)

• Axiata Group Berhad(19.96%)

BSNL is an Indian state-owned telecommunications company

headquartered in New Delhi

IT is the largest provider of fixed telephony, largest broadband

services provider with more than 60% Market share,

And fourth largest mobile telephony provider in India. However, in

recent years the company's revenues and market share have

plummeted into heavy losses due to intense competition in the

Indian telecommunications sector.

BSNL is India's oldest and largest communication service provider

On 19 May 2010, the 3G spectrum auction in India ended. Idea paid

5,768.59 crore for spectrum in 11 circles.

The circles it will provide 3G in are Andhra Pradesh, Gujarat, Haryana, Himachal Pradesh, Jammu & Kashmir, Kerala,

Tamilnadu,Madhya Pradesh, Maharashtra & Goa, Punjab, Uttar

Pradesh (East) and Uttar Pradesh (West)

On 28 March 2011, Idea launched 3G services in Gujarat, Himachal

Pradesh and Madhya Pradesh. The launch cities were Ahmedabad,

Shimla and Indore

Idea currently supports up to 21.1 Mbit/s over 2G speeds of 256 kbit/s

BSNL paid the Indian government Rs. 101.87 billion for 3G spectrum

coverage

As of 2011, BSNL offers coverage in over 800 cities across India

BSNL launched in 2012 a 3G wireless pocket router named Winknet

Mf50.

It was released in collaboration with Shyam Networks

Winknet Mf50 enables the connection of multiple devices to the

internet using a single sim card.

Total number of subscribers for Idea stood at 141.84 million at the

end of August 2014.

Idea leads all other telecom operators in India in the MNP (Mobile Number Portability) race, with a net gain of 1,031,380 subscribers as

on 31 August 2011

Idea also leads all other competitors in having the most active

subscriber base, scoring highly on the VLR statistics. Visitor Location

Register

BSNL has started 3G services in 290 cities and acquired more than

600,000 customers.

BSNL goes by the motto "Connecting India, faster

BSNL offers seamless coverage in almost all urban and rural areas of

India

BSNL enforces censorship of online content as per orders of Indian

Department of Telecom

The Broadband customer base of 3.56 Million customer in

March'2009 is planned to be increased to 16.00 million by March 2014

Product

Price

Place

Promotion

People

Process

Physical Evidence

7 p’s

Core product-

Telephone services,

Wireless phones

Internet

Customer care service

Augmented product-

After sale service

PRODUCT

World’s cheapest price rates.

Customer based pricing strategies.

Flexible pricing mechanism

Controlled by TRAI.

Monthly price plans are available.

Rewards on the usage.

PRICE

Service providers now also have customer assistant stores like

Vodafone store, idea showrooms etc.

Customers are able to see and handle products they consider to buy.

Telecom service provider has wide and extensive presence even in

the remotest areas.

Telecom service provider has Customer Care Touch Points.

Distributors like E.g., grocery stores, chemists, outlet etc.

PLACE

PROMOTION

!DEA

Nhi Banege ullu aaj se

Start its Promotion last year.

To communicate the value added services.

had low cost costumes, real people.

7 advertisements cost only Rs 3 Crores..

No celebrity endorser - No associated risks and costs.

Every month new ad came.

!DEA ADVERTISING

BSNL

Start Promotion From few years back

To communicate their services

celebrity endorser

Using Same ads for long time

BSNL ADVERTISING

PEOPLE

Internal

• Employees

• House keeping staff

Mediator

• Agents

• Distributors

External• Consumers

PROCESS 1

Choose a particular service provider

Choose prepaid/postpaid service

Get a SIM card

information about recharge coupons,

validity, talk time & tariff plans

Physical Evidence

• SIM cards, Recharge Vouchers.

• Service outlets.

• Brochures

• Data cable

• Posters & Hoardings

• Office buildings

• Data Card

WHAT IS SPCTRUM?

Radio waves are a form of electromagnetic radiation which, like

visible light or infrared, make up a portion of the entire spectrum. They cannot be perceived by human eyes or ears, and they are not

harmful in the environment. Depending on their frequency

(measured in hertz), radio waves can pass through solid objects and

travel long distances. This makes them useful for mobile

communications, broadcasting and many other wireless

applications.

SOME FAMOUS MARKETING

CAMPIAGNS

No Ullu banana, is the new Idea! This is the essence of the latest

brand campaign by Idea Cellular, featuring its Brand Ambassador

Abhishek Bachchan. The ad highlights the power of mobile internet on the Idea network, and how it can empower users to evade

unscrupulous situations and people in India.

BSNL

Almost a year since it roped in deepika padukone as its brand

ambassador to give it a young and energetic image, the state-

owned telecom major, BSNL has rolled out an advertising campaign for its value-added-services (VAS). "VAS is the only area where there

is a huge opportunity of making large profit in current telecom

market as it helps the players to increase their Average Revenue Per

User

3G

3G, short form of third Generation, is the third generation of mobile

telecommunications technology.This is based on a set of standards

used for mobile devices and mobile telecommunications use services and networks that comply with the International Mobile

Telecommunications-2000 (IMT-2000) specifications by

the International Telecommunication Union.3G finds application in

wireless voice telephony, mobile Internet access, fixed

wireless Internet access, video calls and mobile TV.

4G

4G, short for fourth generation, is the fourth generation of mobile

telecommunications technology, succeeding 3G and

preceding 5G. A 4G system, in addition to the usual voice and other services of 3G, provides mobile broadband Internet access, for

example to laptops with wireless modems, to smartphones, and to

other mobile devices

4G provider in india

Airtel

Reliance

THANKS