PowerPoint Presentation

New Distribution ChannelGroup 3:13P018 : Chitwan Singh13P020 : Divya Yadav13P052 : Tejaswi Kalispudi13P055 : Vidushi Garg13P056: Vikas Gulleria

Industry OverviewSecondary ResearchPrimary ResearchAnalysisEnterprise SellingTelecom industryKey PlayersCompany OverviewAirtel Business OverviewComparative of B2B in Airtel and IdeaUnderstanding Sales Force Design and sales management practices at AirtelInteracted with Head of Sales NESA Region & ZSM, HO AirtelVisit Airtel Stores2Outline

Industry Overview2nd largest in the world based on the number of telephone usersExpected to grow to 1145 million subscribers in 2020Key Players- Airtel, Vodafone, Idea Cellular, Reliance Infocom, BSNL/MTNL

3Company OverviewWorlds 4th largest mobile telecommunications company Subscriber base : Over 280 million Product offerings include 2G, 3G and 4G wireless services, mobile commerce, fixed line services, DTH etcOperates in 20 countries across south Asia, Africa and channel islandsProvides GSM service in all 22 circlesRevenue: INR. 809.22 billion for 2013-14

OverviewSecondary ResearchPrimary ResearchAnalysisEnterprise SellingSALES FORCE STRUCTURE4Zonal Business ManagerZonal Sales managerTerritory Sales ManagerRural stockistRural stockistRural DistributorRural DistributorField Sales executiveField Sales executiveCHALLENGES FACED BY TELECOM PRODUCTS5B2B SERVICES : Discounts and volumes play a big role in determining salesBargaining power of customers is very high hereDue to no intermediaries , company decides the prices in the marketMOBILE SERVICES : SIM activation failure can lead to continuous complaining by the customer to retailerIssues of connection problems and delays in desired product Low demand of paper recharges in urban areas. Low micro SIM availabilityEASY RECHARGE :Customer complaints Resolving a problem is difficultSometimes the recharge is not done or a wrong recharge is done reducing retailers effectivenessONLINE RECHARGE : Discount available with retailers may not be available online, leading to lower effectiveness of this channelNo awareness in rural areasIssues with money transfers leading to inefficienciesIndustry OverviewSecondary ResearchPrimary ResearchAnalysisEnterprise SellingSales Force Design6Postpaid Mobility National Market Operation director/ Hub CEOCEOHead of Sales/ Operations Head (COO)Zonal Business ManagerTerritory Sales Manager Prepaid Mobility National Market Operation director/ Hub CEOCEOHead of Sales/ Operations Head (COO)Zonal Sales ManagerTerritory Sales Manager Zonal Business ManagerTelemediaCEOHead of Sales / COOZonal Sales ManagerTerritory Sales Manager DTHCEOHead of Sales/ COOZonal Sales ManagerTerritory Sales Manager Own Franchisee managerField Sales ExecutivePromotersSIM ACTIVATION AND RECHARGE7Roles & Responsibilities8Sales TargetsAnnual Attrition RateRevenues from new and existing accountsMarket ShareRoles & ResponsibilitiesEvaluation ParametersRoles & Responsibilities9Growth in Market SharePrimary SalesCustomer satisfactionSales Revenue targetsIncrease in customer baseGross additionEvaluation ParametersRoles & ResponsibilitiesAbsolute number of salesLapu talk about it9RECRUITMENTSelected through Young Leader ProgramAlso, hiring is done by immediate upper level (ZSM)Selection criteria : 2 to 3 years of sales experience, preferably in the similar industryOutgoing and extrovert personalityTarget seeker and pressure handling capabilitiesImpressing and involving people, networking skills

10Territory Sales Manager ( TSM)FSE hired by distributors along with TSM & ZSMSPP hired by AirtelSelection criteria : ConfidenceProblem SolverGraduateEarning potential from 15K to 20KAware of technology happenings around the world

FSE & SPPTraining11FSE & SPPDay long workshop

Process Training

Fortnightly training sessions along with job Airtel Sales Academy for Sales Training & Knowledge sharingCertificate training course with monthly refreshersTraining Programs made available in key development areas

TSMSkills & CompetenciesBusiness success Customer satisfactionPeople management skills12Target SettingForecastingTargets are set based on the Previous year performance, industry performance & potentialCertain assumptions are also considered to set the targetsQuarterly Reality Check is done with the Executive Committee (Circle CEO + Chair of every function) CompensationDistributors: Commission based on Sales RevenueSales Force TeamFixed ( 80%) + Variable (20%) SalaryVariable Component ranges from 50-200%Overachieving is also rewarded13Sales Target Achieved% of Variable Applicable90 %50 %100 %100 %120 %150 %150 %200 %Motivation Drivers14Annual International Get together and cultural programs for sales teamsZSM/ZBM: After 2 years of tenure & Good PerformanceZSM/ZBM: Larger CircleTERRITORY ALLOCATIONTerritory division done on the basis of PIN codesIf required market size is considered to balance the territoryFor distributors, Territory marking is doneDue to the product (recharge), customer cannibalization happensIncrease in sales force size is dependent on Competitor locationConflictsNew technology introduction

15SALES FORCE SIZINGB2B, B2C conflicts in service hubsCompany owned company operated outlets Vs Modern Retail/General RetailDistributor Vs DistributorCONFLICTSRECOMMENDATION16THANK YOU!!17