Consumer Preference to the Telecom Services_Final

7/31/2019 Consumer Preference to the Telecom Services_Final

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Contents:

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No Topics PageNo

1. Executive Summary 1

2. Objective of study 2

3. Scope of the Study 3

4. Hypothesis 4

5. Research Methodology 5

6. Limitations of the Study 9

7. IntroductionHistory

Quick Facts

10

8. Evolution of the industry-Important Milestones 12

9. Journey of telecom sector after 1991s liberalizationpolicy

13

10. Government PoliciesRural Telecom Network

Entry of private sector in both basic and VASVAS challenges

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11. Major Players in different segments of Indiantelecom industry

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12. Data analysisSampling

Observations

34

13 Findings 50

14 Company wise Analysis 51

15 Suggestions 53

16 Recommendations 54

17 Conclusion 55


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Executive Summary

The development of telecom sector has experienced a major process of transformation

in terms of growth, technology content and market structure in the last decade through

policy reforms introduced by government. The impetus of these changes expected to

continue, and at a much faster pace.

The study aims to analyze that with the increase in competition in telecom services,higher level of consumer satisfaction with affordable prizes and better quality of services

achieving or not. Wireless telephone and internet are expected to be the preferred

means of communication as convergence of telecommunications, broadcasting and

information technology progresses.

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Liberalization of telecom sector of Indian economy aims at improving accessibility,

availability, reliability and connectivity through private sector participation and to bring

about much needed improvement in the quality of Services. Through increased

competition, the service providers expected to become more sensitive and responsive to

the customers needs and choices and endeavor to give him great satisfaction. TRAI has

the mandate to safe the customers interest and to set the standards of quality of

service. The rapid technological advances which have taken place in the telecom sector

have brought about significant improvements in the quality of service provided to

customers. With the digitization of exchanges and up gradation of external network the

fault rate has come down.

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Objective of the Study :

1) To determine the technical factors which influence the purchasing behavior of mobileconnection?

2) To determine the marketing process elements which influence the purchasingbehavior of mobile connection?

3) To understand the improvement and customer preference in telecom services.

4) To study customer satisfaction and understand the current market scenario intelecom sector.

Scope of the Study:

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In todays scenario communication has become much faster day by day by telephone,

internet, media etc. One of them is growth of Telecom sector. Today many

organizations provide services for telecom purpose. This study will help to understand

customer preferences and their satisfaction by the service provided by different

organizations in this sector. It will also help these organizations to form various

strategies and getting the results from marketing efforts.

Hypothesis

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Customers are self driven while purchasing a mobile connection.

Print media is the most effective advertisement medium which influences the

customer to purchase a mobile connection.

Television is the most effective advertisement medium which influences thecustomer to purchase a mobile connection.

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Research Design

Types of Research to be undertaken:

Among the different types of researches I have chosen Descriptive research for this

project. I have gone to conduct this project base on Descriptive research technique

because I want to test the significant level of the particular factors. Among two types of

Descriptive research techniques I have gone for Cross-Sectional design because I

wanted to collect data from the sample of population element only for one time. From

Cross-Sectional designs I have taken Single cross-sectional design to carry out my

research.

(a) Primary Data Collection Method:

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Survey method was used for primary data collection.

We used questionnaire as an instrument for survey method.

Structured questionnaire.

(b) Secondary Data Collection method:

Information from Related Peoples.

Information gathered from Different Sites of the companies.

Information gathered from TRAI Website.

The nature of the research is basically of two types.

Basic Research

Applied Research

Basic Research is that intended to expand the body of knowledge in a field or to

provide knowledge for the others.

Applied Research is carried out for solving of a particular problem or for guiding a

specific decision, and usually its results are private.

Basic Research is generally for common purpose and Applied research is for specific

purpose.

Here the nature of the research is basic. The sources for data collection are both

primary and secondary data sources.

Survey method:

Among four types of survey methods I have chosen the appropriate one that suited myresearch objectives. I have chosen the personal survey techniques. From the personal

techniques I have selected mall intercept technique. According to this technique I have

needed to go directly to my sample unit and got the questionnaires filled. I have chosen

Mall intercept survey technique because it has higher Flexibility for data collection,

Diversity of questions, Response rate, and Social desirability. And also it is higher in

Control of data collection environment and moderate Use of physical stimuli.

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Scaling Method:

Since I have conducted descriptive research, I have chosen non-comparative scaling

technique because I have wanted to measure the influence of each and every factor on

the purchasing behaviors of the target market separately. Only by Non-comparativescaling technique it can be done. And among two types non-comparative technique I

have used itemize technique and from three itemize techniques I have taken Likert

scaling which range from 1 to 5 point scale. Because I have wanted to do my research

based on five dimensions which have been strongly disagree, disagree, neutral, agree

and strongly agree.

Questionnaire development:

First of all I have given the introduction. I have just introduced myself and the reasons

why I am collecting data. Then I have given assurance that your information will be kept

confidential. I have gone for screening and then I have prepared the body of the

questionnaire. Lastly I make respondents profiles. Questionnaires have been structured

questionnaires based on non comparative scales techniques.

Sampling Technique:

In case of my research my target population has been the students and the general

people of the Uddham Singh Region. The students and general people who are using

the mobile connection or intended to purchase the mobile connection have been sample

unit. I have conducted my research through non-probability sampling techniques and

among non-probability sampling techniques I have gone for convenience sampling

technique. Most importantly as it is an academic research it lacks money and time.Thats why for administering this research, the sample size has been 50. Then I have

carried out the research by myself very efficiently and accurately to come to an end with

a solution of the marketing research problem statement.

Field work:

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Field work is a general descriptive term for the collection of raw data. In the professional

research, research firm use its own people or external people to collect data for the

sample. Since it is an academic and individual research I myself have to go and collect

the data from the respondents. I have gone to the people in the Uddham Singh Region

and get the questionnaires filled.

Limitations Of The Study:

Reluctance on the part of the respondents to provide exact details.

Sample size may not sufficient.

Chance of sampling mistake.

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Introduction

The Indian Telecommunications network with 771 million connections is the second

largest telecommunication network in the world in terms of number of wireless

connections after China. As the fastest growing telecommunications industry in the

world, it is projected that India will have 1.159 billion mobile subscribers by

2013.Furthermore, projections by several leading global consultancies indicate that the

total number of subscribers in India will exceed the total subscriber count in the China

by 2013.The industry is expected to reach a size of 344,921 crore (US$76.57 billion) by

2012 at a growth rate of over 26 per cent, and generate employment opportunities for

about 10 million people during the same period. According to analysts, the sector would

create direct employment for 2.8 million people and for 7 million indirectly.

According to Broadband Policy 2004, Government of India aims at 9 million broadband

connections and 18 million internet connections by 2007. As of December 2010, total

broadband Internet users in the country have reached 10.92 million. The wirelesstechnologies currently in use are Global System for Mobile Communications (GSM) and

Code Division Multiple Access (CDMA). There are primarily 9 GSM and 5 CDMA

operators providing mobile services in 19 telecom circles and 4 metro cities, covering

2000 towns across the country.

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History

1851 Introduction of Telegraph services

1947 Foreign Telecom Companies nationalized to form PTT

1980s: TheBeginning

-Tele-density in 1980-81: 0.3%-Introduction of public pay phones-Private Sector allowed-DoT, MTNL and VSNL formed

Early to Mid90s:

A Messy Affair

-Telecom policy 1994- Basic telephony service to private operators- 49% FDI- 8 licensees began operations in Aug 1995

Late 90s - Birth of a regulator: TRAI- NTP 1999- (New Telecom Policy)

2000+ -CAGR of around 85% since 1999- FDI: 74% (2005)

2007-2009

-Having the world's lowest call rates the fastest growth in thenumber of subscribers (45 million in 4 months),

- The fastest sale of million mobile phones (in a week),- The world's cheapest mobile handset- The world's most affordable color phone

Quick Facts

Total telecom subscribers : 429.72 million (March 2009)

Wireless subscribers : 391.76 million

Wire line subscribers : 37.94 million

Tele density : 36.98 per cent

Indias service providers revenue in Q1 (2009) $8.2 billion

Indias Rural Mobile Phone Users : 100 Million

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Evolution of the industry-Important Milestones

History of Indian Telecommunications

Year Description

1851 First operational land lines were laid by the government near Calcutta (seat of

British power)

1881 Telephone service introduced in India

1883 Merger with the postal system

1923 Formation of Indian Radio Telegraph Company (IRT)

1932 Merger of ETC and IRT into the Indian Radio and Cable Communication Company

(IRCC)

1947 Nationalization of all foreign telecommunication companies to form the Posts,

Telephone and Telegraph (PTT), a monopoly run by the government's Ministry of

Communications

1985 Department of Telecommunications (DOT) established, an exclusive provider of

domestic and long-distance service that would be its own regulator (separate from

the postal system)

1986 Conversion of DOT into two wholly government-owned companies: the VideshSanchar Nigam Limited (VSNL) for international telecommunications and

Mahanagar Telephone Nigam Limited (MTNL) for service in Metropolitan areas.

1997 Telecom Regulatory Authority of India created.

2000 DoT becomes a corporation, BSNL

2008 3-G Service is launched

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Journey of telecom sector after 1991s

liberalization policy

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Three forces--Telecommunication, Information and Globalization--are restructuring

every aspect of business and society. Telecom professionals are the key players in this

transformation. They play a crucial role as leaders in the changing dynamics of global

communications, internetworking, the Internet, e-commerce, mobile and wireless

communications strategy.

Modern age is the age of convergence and fusion for telecommunications. This fusion of

telecommunications, broadcasting and information technologies has resulted in amazing

discoveries. Voice over IP, television web casting over Internet and video on demand is

a reality. Telecommunications is a key to modern economy infrastructure.

Telecommunications when linked with computer becomes Information Technology,

which is the most dominating technology of today as it influences the entire spectrum of

the economy. IT practically covers all aspects of business, technology, manufacturingand other services.

Today the networks and companies will no longer be categorized on the basis of only

voice, data or video services they provide. They have to become info-communications

companies providing a bundle of services.

Telecommunication has now become the backbone of any modern economy due to its

all-pervasive nature of running through almost every human transaction - commercial,

digital or even personal. The emerging new economy, powered by technology and

dictated by the digital revolution is incredibly forcing the telecom industry to grow more

than ever before.

The changing lifestyle of human beings enhanced by Internet, facilitated by mobile

communications and enriched by e-commerce would give a real boost to this industry.

As trade and industry grows, telecom services also have to expand commensurately

because it is one of the greatest infrastructure and life-blood for the modern trade andcommerce.

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Telecommunications services are used for a variety of purposes. Modern communities

and businesses have come to rely on these services for:

Social contact such as keeping in touch with friends and relatives and for organising

social activities;

Business purposes which cover a wide range of uses from customer contact and

business transactions to inter-company communications;

Emergency use for summoning police, ambulance and fire brigades;

Cultural and entertainment use;

Educational use where telecommunications services or applications replace or augment traditional delivery of education; and

On-line business transactions, education and entertainment using Internet access. In

this report Internet access is considered as a separate telecommunications service.

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Government Policies

The main guiding policy for the telecom sector is the New Telecom Policy (NTP)

1999. The objectives of the policy are as follows:-

1. Access to telecommunications is of utmost importance for achievement of the

countrys social and economic goals.

2. Availability of affordable and effective communications for the citizens is at the

core of the vision and goal of the telecom policy.

3. Strive to provide a balance between the provision of universal service to all

uncovered areas, including the rural areas, and the provision of high-level services

capable of meeting the needs of the countrys economy,

4. Encourage development of telecommunication facilities in remote, hilly and tribal

areas of the country.

5. Create a modern and efficient telecommunications infrastructure taking into

account the convergence of IT, media, telecom and consumer electronics and assist

emergence of India as an IT superpower,

6. Convert PCOs, wherever justified, into Public Tele-info Centres having

multimedia capability like ISDN services, remote database access, and assist

emergence of community information systems etc.,

7. Transform the telecommunications sector in a time bound manner to a greater

competitive environment in both urban and rural areas providing equal opportunities

and level playing field for all players,

8. Strengthen research and development efforts in the country and provide an

impetus to build world class manufacturing capabilities, Achieve efficiency and

transparency in spectrum management,

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RURAL TELEPHONE NETWORK

The objectives and targets of NTP 1999 for rural telephone network are as follows:

1. Encourage development of telecom in rural areas by making it more affordablethrough tariff restructure and making rural communication obligatory for all fixed

service providers,

2. Rural tele-density to be raised to 4 per hundred by the year 2010,

3. Achieve 100% telecom coverage of villages by the year 2002 and provide

reliable transmission media in all rural areas.

Out of the 593485 villages in the country, 5,59,503 villages have been

provided with Village Public Telephone (VPT). 33,982 villages are yet to beconnected with a VPT. In percentage terms 94% villages have been covered by

VPTs and 6% villages are yet to be covered. There was a decrease of 4572 VPTs

during the financial year. The private operators share in these VPTs is very

negligible and almost the entire VPTs have been installed by BSNL. The total no. of

VPTs of BSNL was recorded at 5,19,616 in March 2008 as compared to 39,887

VPTs of private operators as on March 2007. Out of total 39.42 million subscriber

base of wire line, the Rural Subscriber base was 11.64 million on 31st March 2008.

The Rural tele density as on 31st March 2008 was 9.20.

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ENTRY OF PRIVATE SECTOR IN BOTH BASIC AND

VALUE ADDED SERVICE

Basic Service

After the announcement of the NTP-94, in September, 1994, the Department of

Telecommunications issued Guidelines for private sector entry into basic telecom

service. In early 1995, bids were called for basic service and were received in August,

1995. By March, 1996, the successful bidders were short-listed for providing basic

services and in 1997, license agreements with private basic service operators were

signed for six circles. However, unlike other services, the Basic Service did not take off

soon after the licenses were awarded. Subsequent to the announcement of the NTP

1999, TRAI recommendations were sought for grant of fresh licenses for basic telecom

service in the 15 vacant telecom Circles and for additional licenses in six Circles where

licenses had already been issued. TRAI had given its Recommendations to the

Government on 31st August 2000. In line with the TRAIs Recommendations, the

Government issued the Guidelines for issue of Licence for Basic Service on 25th

January, 2001. These Guidelines provided for opening the Basic Telephone Service

without any restriction on the number of operators.

By the end of March 2008, 5 private BSO Groups namely, M/s Reliance Infocom Ltd.

(21 circles), M/s Tata Teleservices Ltd. (20 circles), M/s Tata Teleservices

(Maharashtra) Limited (2 circles), M/s Bharti Airtel Ltd. (17 circles), M/s Shyam Telelink

Ltd. (Rajasthan circle) and M/s HFCL Infotel Ltd. (Punjab circle) are licensed operators

providing wireline service. All the five private operators had migrated to Unified Access

Service Regime during 2003-04.

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Value Added Services

Telecommunications had traditionally been a voice communication service. The

services today have moved beyond their fundamental role of voice communications to a

spectrum of non-core services, which in telecommunication parlance is called Value Added Service (VAS). VAS are provided either directly by the telecom operators

themselves or by a third party Value Added Service Provider (VASP). VASP connects to

the core equipment of telecom operators through interworking units using protocols like

short message peer-to-peer protocol (SMPP), connecting either directly to the short

message service centre (SMSC) or to a messaging gateway that allows the telecom

operators to have control of the content. Unlike the core or basic services, the VAS

have unique characteristics and they relate to other services in different ways. Theyalso provide benefits which the core services cannot provide. Basically, there are two

types of Value Added Services

(i) Value Added Services that stand alone from operational perspective and

(ii) Value Added Services provided as an optional service along with voice service.

Non-Voice services like SMS are examples of stand alone value added services. The

Value Added Services presently being provided by the telecom operators are in thefollowing areas:

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Sr. No. Type of Value

Added Service

Description

1. News Nat ional, International, Business, Entertainment , Sports

News

2. Finance Stocks (NSE, BSE, NASDAQ), Forex3. Entertainment Games, Mobile TV and Jokes4. Travel Railways, Airlines5. Downloads Logos, Ringtones, Caller tones etc.6. Astrology service Personal Horoscope / Personalized prediction7. Cricket Cricket scores, Match clippings, cricket commentary8. Missed call alters Subscriber to get a SMS alert of incoming calls when

the subscribers mobile phone is switched off / not

reachable and busy9. E-mail E-mail through SMS

10. Music on demand Dial a song11. Contest Reality shows12. GPRS / WAP Mobile Internet, Mobile Chat, Mobile TV13. MMS Picture messages, picture clippings14. Health Health tips, Beauty tips15. M-commerce Transactions based services with multiple payment modes

and support in m ultiple domains like WAP, GPRS, SMS,

IVR and Web16. Miscellaneous Devotional, Movies & Music, Fun, Navigation etc.

VAS C hallenges

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User Challenge

Operators not driving usersawareness to promote variousVAS offerings

Ease of use, user interface andfamiliarity with medium of

Operator Challenge

Operators focusing on subscriber acquisition with no incentives topush VAS in light of currentspectrum allocation criteria

Spectrum constraints and delay in3G roll-out has substantially limitedhi h-end VAS take-off

Device Challenge

Providing feature-rich handsets at lowcost is a big challenge with GPRSenabled handsets still around INR 2,599(USD 63)

Pre-loading of applications by handsetOEMs has not really caught on yet


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Major Players in different segments of Indian telecomindustry

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Va lueAddedServices

Revenue Challenge

Ongoing tussle betweenoperators and VAScompanies for revenueshare continues

Since alternative modelshaven't evolved yet, thishas hampered VASinnovation

Content LocalizationChallenge

Operators havent donemuch to customizecontent according toconsumer behavior

Limited availability of local web content andWAP versions of whatever

is available


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Airtel

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Basic ServicesOperators

BSNL

MTNL

Reliance

TTSL

GSM ServicesOperators

Airtel

Vodafone

Idea

Reliance

BSNL

Internet ServicesOperators

BSNL

MTNL

Reliance

TTSL

Airtel

Reliance

TTS

CDMA ServicesOperators


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Bharti Airtel, formerly known as Bharti Tele-Ventures LTD (BTVL) is India's largest and

world's third largest cellular service provider with more than 82 million subscribers as of

December 2008. It also offers fixed line services and broadband services. It offers its

TELECOM services under the Airtel brand and is headed by Sunil Mittal. The company

also provides telephone services and Internet access over DSL in 14 circles. The

company complements its mobile, broadband & telephone services with national and

international long distance services. The company also has a submarine cable landing

station at Chennai, which connects the submarine cable connecting Chennai and

Singapore. The company provides end-to-end data and enterprise services to the

corporate customers through its nationwide fiber optic backbone, last mile connectivity

in fixed-line and mobile circles, VSATs, ISP and international bandwidth access through

the gateways and landing station. SingTel owns over 30% of the Bharti Telecom.

Vodafone is also a shareholder of Airtel with 4% of the shares. Thus making it a sister

company of the brand.

Airtel is a brand of telecommunication services in India and Sri Lanka owned and

operated by Bharti Airtel. It is the largest cellular service provider in India in terms of

number of subscribers. Services are offered under the brand name Airtel: Mobile

Services (using GSM Technology), Broadband & Telephone Services (Fixed line,

Internet Connectivity(DSL) and Leased Line), Long Distance Services and Enterprise

Services (Telecommunications Consulting for corporates). It has presence in all 23

circles of the country and covers 71% of the current population.

VISION AND MISSION OF THE COMPANY

Vision:25


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First private telecommunications company to launch long distance services.

Benchmarked by more business

Targeted by top talent

Loved by more customers

By 2010 Airtel will be the most admired brand in India

Mission:

We will meet the mobile communication needs of our customers through Error- free

service delivery

Innovative products and services

Cost efficiency

Unified Messaging Solutions

Vodafone

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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 20 circles with over

54.63 million customers. Vodafone is the worlds leading international mobile

communications company. It now has operations in 25 countries across 5 continents

and 40 partner networks with over 269 million customers worldwide. Vodafone has

partnered with the Essar Group as its principal joint venture partner for the Indian

market.

Market Strategy of Vodafone Our strategic objective is

- Innovate and deliver on customers total communications needs. Vodafone too, needed to educate consumers about cellular telephony:-

- Can I call std?

- Can I use my phone in a lift?

- what is airtime?

Commercial Strategy of Vodafone Rebranding

- Stores

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- Mass media coverage Innovative distribution to reach the customer

- Exclusive shops

- Hub and spoke

- Associate distributions Customer service

- Shops and call centers

- Vans

- Help desks

BSNL

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(BHARAT SANCHAR NIGAM LIMITED)

BHARAT SANCHAR NIGAM LIMITED (BSNL) was formed on October 1, 2000 by

corporatization of the erstwhile Department of Telecom operation & Department

Telecom Services. The company has taken over the erstwhile functions of the

Department of Telecom in respect of provision of telecom services across the length

and breadth of the country excluding Delhi and Mumbai. BSNL has one of large base of

skilled work force of around 3.0 lakh as on March 31, 2008. BSNL is a 100% Govt. of

India owned Public Sector Undertaking.

BSNL is a technology-oriented company and provides all types of telecom servicesnamely telephone services on landline, WLL and mobile, Broadband, Internet, leased

circuits and long distance telecom Service. The company has also been in the forefront

of technology with 100% digital new technology switching network. BSNL nation-wide

telecom network covers all District headquarters, Sub-Divisional headquarters, Tehsil

headquarters and almost all the Block Headquarters. Telecommunications is a basic

infrastructure along with power and transportation and is thus recognized as the means

for accelerating the economic growth in all the regions including remote and

inaccessible areas in the country. Telecom in the modern world is expected to usher a

concept of global economy and single world market place. BSNL telecom network,

therefore, is part of modern global network, providing access to countries around the

world for transporting information in the form of voice and data.

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INTELLIGENT NETWORK

With the commissioning of 5 new technology IN Platforms (4 r General-Purpose and 1

Mass Calling), IN Services are available throughout the country. Various IN services

being offered by BSNL are ITC & Call Now (Prepaid Calling Cards), ACC (Account CardCalling), FPH (Free Phone), UAN (Universal Access Number), PRC (Premium Rate

Calling), Voice VPN (Virtual Private Network), UPN (Universal Personal Number) &

Tele-voting & Fixed line Pre-Paid (FLPP) Service. Tele-voting service is provided by

BSNL's Mass Calling IN platform at Hyderabad to programs such as 'Indian Idol', "Kaun

Banega Crorepati" (KBC)", "Sa re gama" etc. Fixed Line Pre-Paid (FLPP) telephony

service for PCOs is available. FLPP Pre-paid over Post- paid service is available on

telephone connections. Combined Voice VPN including BSNL landline, BSNL CellOne

& MTNL landline is available. BSNL has signed an interoperability agreement for

making available BSNL's Toll and UAN service through network of almost all the private

operators. Online sale of Pre-paid cards of IN services is available.

Achievements during 2008-09

Sl. Parameter No. Unit Achievementduring 2008-09

Status as onMarch 31, 2009

1 Wire line Connections Nos. 22,05,865 2,93,46,4312 WLL connections Nos. 8,55,306 54,33,0383 Mobile Connections Nos. 1,05,02,156 4,67,11,1964 Broadband Connections Nos. 15,35,035 35,57,4715 Internet connections Nos. 1,31,091 36,93,423

Reliance Communication

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Reliance is a $16 billion integrated oil exploration to refinery to power and textiles

conglomerate (Source: http://www.ril.com/newsitem2.html). It is also an integrated

telecom service provider with licenses for mobile, fixed, domestic long distance and

international services. Reliance Infocomm offers a complete range of telecom services,

covering mobile and fixed line telephony including broadband, national and international

long distance services, data services and a wide range of value added services and

applications. Reliance IndiaMobile, the first of Infocomm's initiatives was launched on

December 28, 2002. This marked the beginning of Reliance's vision of ushering in a

digital revolution in India by becoming a major catalyst in improving quality of life and

changing the face of India. Reliance Infocomm plans to extend its efforts beyond the

traditional value chain to develop and deploy telecom solutions for India's farmers,

businesses, hospitals, government and public sector organizations. Until recently,Reliance was permitted to provide only limited mobility services through its basic

services license. However, it has now acquired a unified access license for 18 circles

that permits it to provide the full range of mobile services. It has rolled out its CDMA

mobile network and enrolled more than 6 million subscribers in one year to become the

countrys largest mobile operator. It now wants to increase its market share and has

recently launched pre-paid services. Having captured the voice market, it intends to

attack the broadband market.

Tata Teleservices

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Tata Teleservices is a part of the $67 billion Tata Group, which has 93 companies, over

400,000 employees and more than 2.3 million shareholders. Tata Teleservices provides

basic (fixed line services), using CDMA technology in six circles:

Maharashtra (including Mumbai), New Delhi, Andhra Pradesh, Tamil Nadu, Gujarat,

and Karnataka. It has over 800,000 subscribers. It has now migrated to unifiedaccess licenses, by paying a Rs. 5.45 billion ($120 million) fee, which enables it to

provide fully mobile services as well. The company is also expanding its footprint, and

has paid Rs. 4.17 billion ($90 million) to DoT for 11 new licenses under the IUC

(interconnect usage charges) regime. The new licenses, coupled with the six circles in

which it already operates, virtually gives the CDMA mobile operator a national footprint

that is almost on par with BSNL and Reliance Infocomm. The company hopes to start

off services in these 11 new circles by August 2011. These circles include Bihar,

Haryana, Himachal Pradesh, Kerala, Kolkata, Orissa, Punjab, Rajasthan, Uttar Pradesh

(East) & West and West Bengal.

List of Related figures

Market Share of GSM & CDMA

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Market Share of GSM Players

Market Share of CDMA Players

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Market Share of All Players(Over all and Rural)

Subscriber Growth

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Tele Density

Year Urban Tele Density Rural Tele Density

1999 2.33 0.58

2000 2.86 0.682001 3.58 0.93

2002 4.29 1.21

2003 5.11 1.49

2004 7.02 1.55

2005 8.95 1.73

2006 12.74 2.34

2007 18.22 5.89

2008 26.22 9.46

2009 36.98 15.11

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Data Analysis (Methodology)

Sampling

Sample Size : 200

Sample Frame : U Singh Region

Sampling Method: Simple Random Sampling

Constraints : Time, No. of respondent, biased opinion

Sampling Error : Response - 172

Non-response - 28

Survey : Questionnaire

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Observations1. Age :

Normally consumers needs and wants change with age. There are

certain types of mobile connection which attract different types of aged people

as well as different sex. There some mobile connection (packages) which

adopted by male people and there are some mobile connection (packages)

which get adopted by female people.

10-20 36

21-40 106More than 40 30

Total samples (Age group)

According to the above bar diagram, among 100% respondents, These respondentshave informed their choosing factor for purchasing mobile connection. Form their

responses I will be able to understand the various aspects of my research topic.

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2. Marital Status :

Consumption and expectations on mobile from consumers changes according

to the marital status. The consumption tactics of consumer depends on how

they handling their relations. Single & married perceptions are different from

each other.

Single 110Married 72

Total samples (Marital Status)

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3. Working Status: The purchasing behaviors depend on the occupation of the

individuals. For My research I am simply interested about public service, private

service, student, Housewife and for making my questionnaire non force I have

kept an option blank.

Student 80House Wife 13Public service 8Private service 19Businessman 52

Total samples according to working status

Among 100% respondents, % students, % are private service holders, % are public

service holders, % is housewife and % businessman

4. Educational Qualification:

39

46

7.55%

11

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Under Graduate 55Graduate 48

Post Graduate 69Others 0

Total samples according to educational status

5. Service Provider

BSNL 27 Airtel 24

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Vodafone 46Idea 33

Reliance 34Tata Indicom 6

Others 2

6. Time spend :

Time spend with mobile connection shows how much customer is

satisfied with their connection. This shows the level of post purchase services

of telecom giants.

0 3 Months 0

41

15.6

14

26.719

20

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4 6 Months 5

7 12 Months 18

1 2 Year 242 3 Year 69

More than 3 Years 56

Total time spend by subscribers

7. What advertising media has influenced you in choosing a telecom

operator?

This particular question targets the medium of advertisement.

Shows which medium stands where according to awareness towards consumers.

Print Media 28

42

3

10.5

14

40

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Radio 13Television 80

Road side Advertisement 7Word-of-Mouth 44

Affect of Advertisement on Telecom Purchase

8. How much you invest monthly on your phone?

Up to Rs.500 76

Rs.501 Rs.1000 54Rs. 1001 Rs.1500 30More than 1500 12

Monthly investment on phone

43

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9. Do you prefer online payment through your mobile service provider?

Yes 37No 135

Chart showing online payment statics

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10. What do you think about the competition in the market?

No Choice 29Some Choice 40

Enough Choice 87Cant Say 16

Chart showing market competition state according to customers

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No change 128

Preference to alternatives

Near about 75% of customers not interested in changing their

service providers. This is a positive sign for companies. More the consumer satisfied more

they became loyal to company.

Reliance has other positive signs as most want to switch over to it. So this

may increase its market share in near future.

12. How long do you have to wait in customer care?

Up to 1 Minute 832 Minutes 34

3-5 Minutes 306-10 Minutes 2311 Minutes or more 2

Performance of customer care in eyes of customers

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13. What is your purchase intent for news alerts on mobile phone?

Astrology 2Sports 42Business 40General News 23Entertainment 132

Purchase intent from mobile phone

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14. Are you aware of the role of the telecom services in providing

broadband without using cable network?

Yes 130No 42

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15. Are you aware of 3-G technology?

Yes 105No 67

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Findings: After relating occupation with other important marketing research question the following

findings has been found-

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1. Among respondents Public service holders are the most sensitive towards to

tariff price

2. Student and Housewife value the celebrities for purchasing the mobile

connection.

3. Students and private service holders are concerned and value the brand image

for purchasing the mobile connection.

4. In case of word of mouth, Students, housewives, private service holders value it

for purchasing the mobile connection.

5. Public service holders, Students and housewives are highly influence by any

discount, free sampling, rebate for purchasing the mobile connection.

6. Private Service holders are most concern about network for purchasing the

mobile connection.

Company wise Analysis:

a) Airtel

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1. Most of the companys customers are driven through the ads on Television andPrint Media. So more focus on these medium will beneficial.

2. 3 out of 24 customers want to switch to other operators and 8 want to join it. Sogood positive signs to company.

3. Customer wants affordable price, good services and network availability.

4. Company should focus on news alerts related to Sports, Entertainment andBusiness.

5. Fair chances in Broadband Services.

b)BSNL1. Not popular in the age group of 10-20. Most popular in higher age group.

2. Brand endorsement is working for company (Most influenced by television ads).

3. Mostly used for Broadband Services.

4. Voice clarity in between the calls is a issue company should focus.

5. Need to enhance VAS.

6. Switch over to other operators is a threat to company.

c)Reliance

1. One of the fast growing service operators. As most want to switchover to it. So abright future is waiting.

2. Television and word of mouth working to boost sale.

3. Entertainment as a VAS generating good revenue.

4. Customers are price conscious so there should be a tight eye on it. This thefeature attracting most of the customers.

d) Vodafone

1. Most trusted Mobile brand in city. As 27% customers trust the brand.

2. Most popular in Age group of 21-40.

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3. Zoo Zoo magic works in city. Satisfaction of customers is strength to thecompany.

4. Customers have expectations in price, network and good services are coming asa priority and can be a major factor in near future.

5. Reliance communication is a big threat to company as it growing fast in price war period.

6. Like others Entertainment is a most revenue generating VAS.

e)Others

1. Not a good presence in the city. But arrival of new service operators may change

the current scenario.

2. Television, Print media and Radio should be focused as advertisement medium.

3. As low prices boost Reliance Communication market in the city TATATeleservices should catch this opportunity as they are the initiator of the pricewar in the country.

Suggestions1) Reliance, and Tata indicom should try to attract the young peoples.

(upto 20 years)

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2) Airtel should try to attract old peoples also.

3) All the service providers are made good advertisements for their service.

Because, advertisements are take little part for influencing the consumers.

4) All the service providers should try to increase post paid users.

5) 75% of the peoples are unaware about the various services rendered by their

service provider. So the service providers try to make awareness of their

customers services to their customers.

6) BSNL, Reliance, Tata indicom should attract the customers by reducing their

price.

7) BSNL, Reliance customers are highly dissatisfied about the performance of the

service provider. So they should try to add some advanced features towards

their services.8) Airtel should decreased their dissatisfied customers by providing good after

sales services.

9) Tata indicom should give periodical offers to their customers.

10) Tata indicome should decrease their outgoing call charges.

Recommendations: After analyzing the hypotheses I would like to offer some recommendation to influence

the decision of mobile purchasing of the target market.

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1) The operator should focus on the tariff because target markets are still

concerned about tariff than any other factors for purchasing mobile phone.

Tariff is still the most dominant factor for purchasing the mobile

connection.

2) The brand image is still less important to target markets than tariffs. So the

mobile operator must build strong brand image so that target markets do

not think much about tariff.

3) The complementary products must be available.

4) Network is also concern of the target markets. But target market can

consider some disruption for the lower tariff.

5) Mobile phone operators should launch multiple promotional activities to

attract or meet different needs of different segment. They can go for promotion with operant conditioning for students or housewives segment

to force them to buy the products.

6) Mobile operator can highlight the brand image for its products to students

and private service holders as students and private service holders value

brand image for purchasing the mobile phone.

Companies should be careful while selling product to the segment of public

service holder because they are most price sensitive customer among the target

markets.

Conclusion:This is an information era significance of information cannot be over emphasized.

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1) This study attempts to find out the satisfaction of consumer regarding cell

phone service providers.

2) This decade, most of the peoples using cell phones. So, service providers

are increasing in more level. So service provider are should over come

another ones competition. So, it leads to adding new features, schemes,

periodical offers to their service. So, the consumers get maximum benefit

from their service provider.

3) Now-a-days, cell phones are very necessity to all. Because, it is give

safety to the men and women also. And no person are feel cell phones are

luxury one. So most of the persons are also should preferred these cell

phones to their children.

BIBILOGRAPHY

1) Articles

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a. Business Standard

b. Times of India

c. Idea press release

d. Airtel press release

e. RCom press release

f. The Economic Times

2) Websitesa. www.trai.gov.in

b. www.dot.gov.in

c. www.coai.com

d. www.airtel.in

e. www.vodafone.in

f. www.rcom.co.in

3) Booksa. MARKETING MANAGEMENT - V.S. Ramaswamy, S.Namakumari

b. RESEARCH METHODOLOGY - C.R.Kothari

c. OPERATION RESEARCH - Vittal

QuestionnaireRespondent Name : Mr Ms

Full Name ______________________________________

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2. Age Group

1. 10-202. 21-403. More than 40

3. Marital Status : Single Married

4. Working Status: Student; House-Wife; Public service;

Private service; Businessman;

5. Educational Qualification :

Under Graduate Graduate Post Graduate Professional

Others : ____________

6. Presently you are availing services from which operator (Tick more than one, if

applicable) :BSNL Airtel Vodafone Reliance Tata Indicom

Idea Virgin

7. Time you spend with your current connection (Approx)

1. 0 3 Months

2. 4 6 Months

3. 7 12 Months

4. 1 2 Year

5. 2 3 Year

6. More than 3 Years

8. Who influences most, the decision to purchase a telecommunication service in your

family?Self Spouse Parents Children Friends Salesman

9. What advertising media has influenced you in choosing a telecom operator?

Print Media; Radio Television

Road side Advertisement Word-of-Mouth

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10. How much you invest monthly on your phone?

Up to Rs.500 Rs.501 Rs.1000 Rs. 1001 Rs.1500

More than 1500

11. Do you prefer online payment through your mobile service provider?

Yes No

12. What do you think about the competition in the market?

No Choice Some Choice Enough Choice Cant Say

13. Given a choice with same number which service provider will you select?

Airtel Reliance Idea Tata Vodafone BSNL

Vergin

14. How long do you have to wait in customer care?Up to 1 Minute 2 Minutes 3-5 Minutes 6-10 Minutes

11 Minutes or more

15. What kind of expectations do you have with your service provider?

Price Voice Clearity Network Good Services

16. What is your purchase intent for news alerts on mobile phone?

Astrology Sports Business Entertainment

General News

17. Are you aware of the role of the telecom services in providing broadband without

using cable network?

Yes No

18. Are you aware of 3-G technology?

Yes No

19. Rank the following attributes in the order you service provider-

Availability Network Voice

clearity

Talk time

and

Validity

Call charge SMS

service

Billing

system

Scheme Value

Added

Services

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(In the analysis part we didnt include the Q. 19 because it became tough for

respondents to answer it.)

Consumer Preference to the Telecom Services_Final

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