SUMMER PROJECT RELIANCE COMMUNICATION
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Transcript of SUMMER PROJECT RELIANCE COMMUNICATION
A PROJECT REPORT ON
IMPROVEMENT OF SALES AND DISTRIBUTION IN
RELIANCE COMMUNICATION
BERHAMPUR, ORISSA.
SUBMITTED BYSIBA PRASAD RAJGURU
REG. NO- 08KA21 UNDER THE GUIDANCE OF INTERNAL GUIDE EXTERRAL GUIDEPROF K.MISHRRA Mr. SANGRAM PADHYFACULTY, KBS SALES HEAD, RELIANCE
KRUPAJAL BUSINESS SCHOOL
Krupajal Business School (Approved by All India council for Technical Education, New Delhi)
CERTIFICATE
This is to certify that Mr. SIBA PRASAD RAJGURU, Regd.no
08KA21, a student of Krupajal Business School, Bhubaneswar has
successfully completed his interim report on “ IMPROVEMENT OF
SALES & DISTRIBUTION IN RELIANCE
COMMUNICATION ,BERHAMPUR,ORISSA” under my guidance in
partial fulfillment of PGDM program. This is an original work which
he has carried out by himself and the same has not been carried
out by anyone earlier.
INTERNAL GUIDE Prof.Kamlesh Mishrra
Declaration
I “SIBA PRASAD RAJGURU”, a student of Post Graduate
Diploma in Management, Krupajal Business School, Bhubaneswar,
hereby declare that this project report titled “IMPROVEMENT OF
SALES AND DISTRIBUTION IN RELIANCE COMMUNICATIONS” is a
record of my own work at RELIANCE COMMUNICATION,
Berhampur.
This report embodies the findings based on my study,
Observation and has not been submitted to any other
university/institute for the award of any degree or diploma.
Signature: Siba Prasad Rajguru
Reg. No: 08KA21
Institute: Krupajal Business School.
Place: Bhubaneswar
Acknowledgement
For helping me in providing necessary information during various
stages of project thereby making it Successful.
It is a great privilege to express deep sense of gratitude and
indebtedness to esteemed guidance of Mr.Sangram, Reliance
Communication, Prepaid Head & Prof.Kamlesh Mishrra, faculty,
Krupajal Business School Without their guidance, encouragement
and inspiration this project would never have been possible.
Lastly I extend my sincere thanks to all those who have
helped me for the successful completion of this project.
Place:
Date:
CONTENTS
INTRODUCTION
o BACKGROUND – COMMUNICATION INDUSTRY
o INDIAN TELECOM INDUSTRY AND MAJOR PLAYERS
o IMPORTANT MILESTONES
o SCOPE AND OPPORTUNITE
o INCOME OF TELECOM INDUSTRY
ABOUT THE COMPANY
o ANIL DHIRUBHI AMBANI (ADA) AN ORGANIZATION
o HISTRY OF ORISSA CIRCILE
o ACTIVITY OF BERHAMPUR OFFICE
o SALES AND DISTRIBUTION PLAN
TOPIC
o INTRODUCTION
o OBJECTIVE
o WORK DESIGN
o TABULATION/ANALYSIS
FINDINGS
LIMITATION
CONCLUSION & SUGGESTIONS
BIBLIOGRAPHY
APPENDIX
CHAPTER- I
INTRODUCTION
BACKGROUND – COMMUNICATION INDUSTRY
INDIAN TELECOM INDUSTRY AND MAJOR PLAYERS
EVOLUTIONOF THE INDUSTRY IMPORTANT MILESTONES
SCOPE AND OPPORTUNITE
INCOME OF TELECOM INDUSTRY
INTRODUCTION
SUMMER INTERNSHIP PROGRAM (SIP) is an
inseparable part of KRUPAJAL BUSINESS SCHOOL curriculum. It is
very much unique and deliberately set by KRUPAJAL BUSINESS
SCHOOL to let its budding managers a complete one. It helps the
interns to get acquainted with the real facts of the market and to
learn how to adjust with the market. It is a program by the help of
which one can assess his own potential and also can take
necessary actions to get into the track. It also helps the budding
managers to learn how they should be in the competitive era.
Moreover it is a program to brush up all the futures of KRUPAJAL
BUSINESS SCHOOL and make them fit for the organizations.
INTRODUCTION TO TELECOM
Ever since the evolution of man on this earth, he wanted to
communicate with his fellow human being. In that era, he used to
communicate through signs and symbols. Gradually with time, he
started using words and today it is through mobiles, e-mails, fax
etc through which one communicates from one place to another.
The word “Telecom” (which is an abbreviated version of '
telecommunication’) in real sense refers to the Interaction &
transfer of information between two distant points in space. This
meaning however, has been subjected to modifications in
accordance with further innovations made be the Telecom
Industry.
SCENARIO OF INDIAN TELECOM INDUSTRY IN INDIA
In 1880, two telephone companies namely “The
Oriental Telephone Company Limited” and “The Anglo-Indian
Telephone Company Limited” approached the Government of
India with the objective of establishing Telephone Exchanges
across the country. Initially, the Government denied the
permission as it wanted to exercise its monopoly power over the
promising industry once it emerged. By the following year, it
changed its decision and finally on 28th January, 1882, license
was granted to The Oriental Telephone Company Limited of
England for opening telephone exchanges at Kolkata, Mumbai,
Chennai and Ahmedabad.
The opening of exchanges was followed by further innovations
and improvements in all sections of the telecom industry.
However, while telephones were introduced in the major towns
and cities across the country during the British period, total
number of telephones in India in 1948 were merely 80,000.The
growth was negligible even after independence and the
telephone was used as a status symbol by the rich despite being
an extremely essential device of public utility. This sluggish rate
of growth continued till 1991 when the number of telephones was
5.07 million.
The period post 1975 saw resurgence in the India Telecom
Market by virtue of a series of fruitful decisions initiated by the
Government which included:
The separation of Department of Telecom (DOT)
From Post and Telegraph (P&T) in 1975.
The formation of Mahanagar Telephone Nigam Limited
(MTNL) out of (DOT) to provide telecom services exclusively
to Delhi and Mumbai.
In the 1990s, the telecom sector was opened up by the
Government for private investment as a part of
Liberalization-Privatization-Globalization Policy.
On 1/oct/2000, the Government corporative its operations
wing under the name of Bharat Sanchar Nigam Limited
(BSNL).
To top it all, the introduction of mobile communication
is undeniably the biggest success story scripted by the
telecom industry.
The Indian telecom industry is going through phenomenal
growth. With 100 million installed mobile subscribers, adding
four million new subscribers every month, and the cheapest
mobile rates in the world at two cents per minute, it is not
surprising that all the telecom vendors are vying for a piece
of this action. Major new trends unseen in previous markets
have emerged during the last five years.
Start-ups and established vendors involved in the
telecoms eco- system need to take heed and develop
appropriate strategies in order to take advantage of this new
high-growth opportunity.
The telecommunications industry is at the forefront of the
information age-delivering voice, data, graphics and video at
ever increasing speeds and in an increasing number of ways.
Whereas wire line telephone communication was once the
primary service of the industry, wireless communication
services and cable and satellite program distribution make
up an increasing share of the industry. During the late
1990s, the telecommunications industry experienced very
rapid growth and massive investment in transmission
capacity. Eventually this caused supply to significantly
exceed demand, resulting in much lower prices for
transmission capacity. The excess capacity and additional
competition led to either declining revenues or slowing
revenue growth, which has led to consolidation within the
industry, as many companies merged or left the industry.
The largest sector of the telecommunications industry
continues to be made up of wired telecommunications
carriers. Establishments in this sector mainly provide
telephone service via wires and cables that connect
customers’ premises to central offices maintained by
telecommunications companies. The central offices contain
switching equipment that routes content to its final
destination or to another switching center that determines
the most efficient route for the content to take. While voice
used to be the main type of data transmitted over the wires,
wired telecommunications service now includes the
transmission of all types of graphic, video, and electronic
data mainly over the Internet.
The telecommunications industry offers steady, year-round
employment.
The business environment for India’s telecommunications
industry is excellent. The government policies have
encouraged the growth, increased competition and high
levels of foreign direct investment (up to 74% foreign
investment is now allowed). The Indian government’s
goal is to provide an environment where service companies,
handset manufacturers and network companies will invest in
India and use India for research and development work
(R&D).
The favorable business environment has attracted a number
of foreign multinational firms such as Hutchison, Vodafone,
Nokia and Malaysia Telecom. In my opinion the real edge for
India will be the R&D facilities being setup there which can
provide innovation for next generation technologies - not
only for India but for everywhere else as well.
Indian Telecom sector, like any other industrial sector in the
country, has gone through many phases of growth and
diversification. Starting from telegraphic and telephonic
systems in the 19th century, the field of telephonic
communication has now expanded to make use of advanced
technologies like GSM, CDMA, and WLL to the great 3G
Technology in mobile phones. Day by day, both the Public
Players and the Private Players are putting in their resources
and efforts to improve the telecommunication technology so
as to give the maximum to their customers.
The telecom network in India is the fifth largest network in
the world meeting up with global standards. Presently, the
Indian telecom industry is currently slated to an estimated
contribution of nearly 1% to India’s GDP.
IMPORTANT MILESTONES 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 Videsh
Sanchar Nigam Limited (VSNL) for international
telecommunications.
The Indian telecom sector can be broadly
classified into Fixed Line Telephony and mobile telephony. The
major players of the telecom sector are experiencing a fierce
competition in both the segments. The major players like BSNL,
MTNL, VSNL in the fixed line and Reliance Communication,
Airtel, Hutch, Idea, Tata, in the mobile segment are coming up
with new tariffs and discount schemes to gain the competitive
advantage.
At 110.01 million connections ' Indian Telecom Industry' is the
fifth largest and fastest growing in the world.
Over the last 3 years, two out of every three new telephone
connections were wireless. Consequently, wireless now accounts
for 54.6% of the total telephone subscriber base, as compared to
only 40% in 2003. Wireless subscriber growth is expected to grow
at 2.5 million new subscribers every month in 2007. The wireless
subscriber base skyrocketed from 33.69 million in 2004 to 62.57
million in FY 2004 -2005.
The wireless technologies currently in use ' Indian
Telecom Industry ' 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 telecommunication circles and 4
metro cities, covering more than 2000 towns across the country.
And the numbers are still growing for ' Indian Telecom Industry.
Telecom Industry in India is regulated by 'Telecom Regulatory
Authority of India' (TRAI). It has earned good reputation for
transparency and competence. Three types of players exist in '
Telecom Industry India ' community.
State owned companies like - BSNL and MTNL.
Private Indian owned companies like - Reliance
Communication and Tata Teleservices.
Foreign invested
companies like –
Hutchison-Essar,
Bharti Tele-
Ventures, Idea
Cellular, BPL
Mobile, Spice
Communications
etc.
The Indian Telecom
Industry services are not confined to basic telephone but it also
extends to internet, broadband (both wireless and fixed), cable
TV etc.
INDIAN TELECOM STATISTIC AND MAJOR PLAYER
Total telephone subscriber 429.72
Over-all Tele-density 36.98%
Fixed-line user base 37.96%
Wireless user base
( GSM+CDMA+WLL)
391.76
GSM Subscribers 288.36
CDMA Subscribers 103.4
Monthly new additions(wire line
+ wireless)
15.87%
Monthly new addition( wireless 15.64%
[Subscriber number is in million]
LEADING CELLULAR SERVICE PROVIDERS MAJOR PLAYER
The leading cellular service providers have the following number
of subscribers:
SERVICE PROVIDER
NO.OF CDMA
SUBSCRIBERS
NO. OF GSM
SUBSCRIBERSRELIANCE COMMUNICATION
2.75 Crores 38.76 Lakhs
TATA INDICOM 1.07 Crores Recently Lunching
AIRTEL 3.37 Crores
AIRCEL 48 Lakhs
MTNL 24.98 Lakhs
BSNL 2.44 Crores
HUTCH 2.44 Crores
IDEA 1.3 Crores
SPICE 25.56 Lakhs
BPL 10.62 Lakhs
In India major market cover by the Bharti group
I.e. Airtel, after that Reliance communication is on the second
position. In a PIE graph I describe it,
In communication market Airtel capture 24% of share at the
same time Reliance communication have a market share 22 %.
Reliance communication faces major competitions from the Airtel
and the other service providers. In a recent survey shows the
Indian telecom statistics.
NUMBER OF SUBSCRIBERS
TATA7%
HUTCH2%MTNL
1%VODAPHONE
1%
IDEA 1%
BSNL 17%
AIRTEL24%
RELIANCE
22%
SPICE
14%
BPL7%
RELIANCE
AIRTEL
BSNL
IDEA
TATA
VODAPHONE
MTNL
HUTCH
BPL
SPICE
SCOPE OF TELECOM INDUSTRYThe telecom industry is growing at a great pace and the growth
rate is expected to double with every passing year. There are
many new developments in the telecomm sector, including the
ingress of 3G technology that the Indian market is witnessing
at present. Public and Private Players MTNL, BSNL, VSNL
are the major Public Players, whereas Airtel, Idea, Hutch, Tata,
Reliance, BPL are the leading Private Players in the country.
Some of them are entering foreign markets as well.
OPPORTUNITIES IN INDIA
In the past 3 years has been surveyed by Indian Ministry of
Communications and Information Technology in New Delhi
very recently. The telecom sector is one of the leading
contributors to India's flourishing economy. According to the
report presented by taking into account the statement of
Indian Ministry of Communications and Information
Technology, the telecom opportunities in India has been
growing by 20 to 40 % every year since past 3 years.
The telecom services in India have been recognized as a
world-class tool for the socio-economic development in India.
India is known to rank fourth in the telecom industry in Asia
after China, Japan, and South Korea and the telecom network
in India is known to stand in the eighth position across the
globe and second among the emerging economies. The
world average percentage for the telecom industry as
against the Indian average is 7.5 times while the Asian
average against the same was 4.5 times. The current market
range of the telecommunication industry in India has been
estimated to USD 8 billion and this is expected to undergo an
accretion by the end of 2012.
The growth witnessed by the telecom market in India has
increased the number of opportunities for the industry and
this has been fueled by the growing mobile sector, which has
attained the consumer level of 10 million by the end of
December 2002 that was almost 100 percent in the year.
Telecommunication Sector Opportunities in India assures a
transparent, safe, and secured ambiance for the telecom
market. Around 300 million population of highly consumable
middle-class status that is advantageous for the industry
surrounds the telecom sector in India. This is because, in
some of the Indian that possess land line telephones can be
substituted by mobile phones that is very unlike the
developed countries. Therefore, it adds up to the growth in
mobile sector in Indian telecom industry.
Few more Telecommunication Sector Opportunities in India
include introduction of Internet telephony services,
privatization of VSNL, and introduction of a number of
international long distance services sector. The opportunities
in the Indian telecom sector is increasing at a massive pace
with the introduction of newer and innovative schemes in
various sectors and at present the telecom sector in India is
claimed to be one of the major contributors in India's
flourishing economy.
INCOME OF INDIAN TELECOM INDUSTRY
The Indian telecom sector continued its robust growth with the
wireless market growing at 9.91 percent and churning revenues
worth Rs.371 billion (Rs.37196 crore) for the second quarter
ending September, an official agency said. A total of 28.44 million
subscribers were added in this quarter, the Telecom Regulatory
Authority of India (TRAI) said in a statement. The adjusted gross
revenue (AGR) for the quarter is placed at Rs.273 billion (Rs.27,
357 crore) as against Rs.26, 990 crore (Rs.269 billion) for the
previous quarter, thereby showing an increase of 1.36 percent.
“The total subscriber base of the wire line and wireless services
reached 353.66 million for the quarter ending September as
against 325.79 million for the quarter ending June, thus
registering an increase of 8.55 percent during the quarter.
However, the average revenue per user (ARPU) for GSM
subscribers, all India segment, decreased 7.53 percent from
Rs.239 in June to Rs.221 in September.
The second quarter also witnessed a spurt in number of free-to-
air (FTA) and pay channels being carried by the cable networks
for television. Currently, there are 161 FTA channels and 129 pay
channels as reported by 19 broadcasters/their distributors at the
quarter ending September.
However, no new private FM radio station came into operation in
the quarter under review, TRAI said. Also, no direct-to-home
(DTH) license was issued.
Though the telecom industry saw various ups and downs, the
sector witnessed international investor community betting on the
Indian market.
The Indian telecom sector can be broadly classified into Fixed
Line Telephony and mobile telephony. The major players of the
telecom sector are experiencing a fierce competition in both the
segments. The major players like BSNL, MTNL, VSNL in the fixed
line and Airtel, Hutch, Idea, Tata, Reliance in the mobile segment
are coming up with new tariffs and discount schemes to gain the
competitive advantage. The Public Players and the Private
Players share the fixed line and the mobile segments. Currently
the Public Players have more than 60% of the market share.
ABOUT THE COMPANY
[RELIANCE ANIL DHIRUBHAI AMBANI GROUP OF COMPANYS. (ADA)]
The Reliance Group, founded by Dhirubhai H. Ambani (1932-
2002), is India's largest private sector enterprise, with businesses
in the energy and materials value chain. Group's annual revenues
PUBLIC PLAYER38%
PRIVATE PLAYER62%
PUBLIC PLAYER
PRIVATE PLAYER
are in excess of US$ 30 billion. The flagship company, Reliance
Industries Limited, is a Fortune Global 500 company and is the
largest private sector company in India.
Reliance Communications Limited.
Reliance Capital Limited.
Reliance Power.
Reliance Health.
Reliance Energy Limited.
Reliance entertainment.
RELIANCE COMMUNICATIONS
Reliance Communications Limited founded by the late Shri
Dhirubhai H Ambani (1932-2002) is the flagship company of the
Reliance Anil Dhirubhai Ambani Group. The Reliance Anil
Dhirubhai Ambani Group currently has a net worth in excess of
Rs. 63,000 crore (US$ 14 billion), cash flows of Rs. 12,000 crore
(US$ 3 billion), net profit of Rs. 8,000 crore (US$ 2 billion) and
zero net debt.
Reliance Communications is one of India's largest providers of
integrated communications services. With more than 48 million
customers, the company serves consumers and enterprises with
a digital network supporting voice, data, and video. Its fixed and
wireless communications services include domestic and
international voice, Internet access, messaging, and
videoconferencing. It also provides wholesale capacity,
infrastructure, and managed enterprise services through its
Reliance Global COM division. Reliance Communications is part of
the Reliance - Anil Dhirubhai Ambani Group.
Reliance Communications is India's foremost and truly integrated
telecommunications service provider. The Company, with a
customer base of around 71 million including over 2 million
individual overseas retail customers, ranks among the Top 10
Telecom companies in the world by number of customers in a
single country. Reliance Communications corporate clientele
includes 2,100 Indian and multinational corporations, and over
800 global, regional and domestic carriers.
Reliance Communications has established a pan-India, next
generation, integrated (wireless GSM & CDMA Both ) and wire
line ), convergent (voice, data and video) digital network that is
capable of supporting best-of-class services spanning the entire
communications value chain, covering over 20,000 towns and
450,000 villages. Reliance Communications owns and operates
the world's largest next generation IP enabled connectivity
infrastructure, comprising over 175,000 kilometers of fiber optic
cable systems in India, USA, Europe, Middle East and the Asia
Pacific region.
RELIANCE CAPITAL
Reliance Capital is one of India’s leading and fastest growing
private sector financial services companies, and ranks among the
top 3 private sector financial services and banking companies, in
terms of net worth. The company has interests in asset
management and mutual funds, life and general insurance,
private equity and proprietary investments, stock broking and
other activities in financial services.
RELIANCE ENERGY
.Reliance Energy Limited, incorporated in 1929, is a fully
integrated utility engaged in the generation, transmission and
distribution of electricity. It ranks among India’s top listed private
companies on all major financial parameters, including assets,
sales, profits and market capitalization.
RELIANCE HEALTH
In a country where healthcare is fast becoming a booming
industry, Reliance Health is a focused healthcare services
company enabling the provision of solution to Indians, at
affordable prices.
Reliance Health aims at revolutionizing healthcare in India by
enabling a healthcare environment that is both affordable and
accessable through partnerships with government and private
businesses.
RELIANCE ENTERTAINMENT
Reliance Anil Dhirubhai Ambani Group’s vision of assuming a
position of leadership in communications, media and
entertainment, Reliance Entertainment is geared to create a
significant presence in businesses across various vectors of
content, services and platforms for distribution. Reliance
Introduce Big TV (DTH) service in the market. Reliance
Entertainment has made an entry into the FM Radio having won
45 stations in the recent bidding, BIG 92.7 FM is already India’s
largest private FM radio network with 12 radio stations across the
country.
COMPANY LOGO
ABOUT COLOUR
RELIANCE BLUE RELIANCE RED
BLUE
Blue represents stability, confidence, optimism & above all
integrity.
RED
Red represents energy, passion & determination
HISTORY OF ORISSA CIRCILE
About Reliance Telecom (ORISSA)
Reliance Telecom Limited (RTL) is a wholly-owned subsidiary of
the Reliance Communication Limited, a member of Reliance ADA
Group. Reliance ADA Group’s flagship company.
Reliance Telecom Limited (RTL) began operations in 1997-98. It
provides GSM based Mobility services, Value Added Services &
Applications in 8 telecom circles covering 15 Indian states. The
states covered are Assam, Arunachal Pradesh, Bihar,
Chhattisgarh, Himachal Pradesh, Jharkhand, MadhyaPradesh,
Manipur, Meghalaya, Mizoram, Nagaland, Orissa, Sikkim, Tripura
and West Bengal (including Metro city Kolkata).
RTL has undertaken a major expansion and increased its
coverage to 6,300 towns. This has enabled RTL to significantly
scale up subscriber base to 11.5 million as of March 31, 2009.
RTL is in the process of further expanding its coverage to 12,000
towns under its licensed areas.
RTL’s Business has been further strengthened and complimented
by its parent company’s GSM expansion to remaining 14 Circles
across various Indian states. Parent company’s rapid and
successful ramp up in GSM based Mobile services has provided
an added advantage to RTL of a bigger in-house ecosystem. This
has enabled RTL to serve Customers with enhanced domestic
roaming and VAS services.
Reliance Communications, Orissa’s first and only telecom service
provider offering CDMA and GSM mobile services.
Reliance Communications is the 2nd largest mobile service
provider in Orissa, with a combined base of over 21 Lakhs
subscribers.
ORISSA DATA ON (MAY 2009)
Reliance Telecommunication – 1393525
BSNL - 1539364
AIRTEL - 3253456
VODAPHONE - 572757
IDEA - 100237
TATA - 120032
DISHNET WIRELES - 990903
(4.87 % MONTHLY GROWTH)
After searching the secondary data of Orissa telecom I find that,
Reliance Communication face major competition from the Airtel.
Airtel capture 29% of the market at the same time Reliance
communication cover 27% of the market share. Other
competitors are available in the market like BSNL, Vodaphone,
REVENUE
RELIANCE GSM27%
AIRTEL29%
BSNL15%
VODAPHONE9%
AIRCEL7%
IDEA4%
RELIANCE CDMA6%
TATA INDICOM3%
VERGIN0%
RELIANCE GSM
AIRTEL
BSNL
VODAPHONE
AIRCEL
IDEA
RELIANCE CDMA
TATA INDICOM
VERGIN
Aircel, Idea, Tata etc.
ACTIVITY OF BERHAMPUR OFFICE
(1) Recharge voucher and Sim cards come from Bhubaneswar
to Berhampur office.
(2) Supply as per the order placed by the sub distributor.
(3) After sales service.
(4) In regular intervals company persons meet customer and
retailer to know their requirements & accordingly
improvement is made.
REGISTERED OFFICE
H.Block, 1st floor
Dhirubhai Ambani Knowledge Cit
Navi Mumbai
Phone: 022-30386010/6286
Fax: 30376622
INTRODUCTION TO THE TOPIC
The topic assigned to me was “IMPROVEMENT OF SALES AND
DISTRIBUTION OF RELIANCE COMMUNICATION “in
Berhampur .Sales and Distribution is the major part for any
business organization. So we will survey about the entire
distributor plan and collect data from them based on how they will
satisfy the retailer and distributors? At the same time how they
will fulfill their sales target and how they can easily distribute their
products to the customers.
What is Sales?
Selling is preoccupied with the seller’s need to convert his product
into cash.
What is Distribution?
Distribution building a planned, professionally managed, vertical
marketing system that meets the needs of both manufacturer and
distributors.
OBJECTIVE OF THE TRAINING
1. To know about the Reliance communications distributions
plan in Berhampur.
2. Fine out Key retail outlets.
3. Reliance distributions Vs. other telecom companies.
4. To find out the satisfaction level of retailer from Reliance
Communication compared to other service providers.
TARGETS/TASKS
Reliance communications has given a target of generating
business for the company within a specific period. The tasks
assigned by the company guide are: -
To make acquisition of prepaid connections.
To make data sourcing.
To do survey on counter/outlet and gather feedback in
different area in Berhampur, Chatrapur, Ganjam, Humma,
Narendrapur etc.
ACQUSITIONS OF PREPAID CCONNECTIONS
We have given a time bound target of generating 200
Reliance GSM Prepaid connections within one & half month.
This target was again broken into weekly targets. We need to
give 10 Reliance GSM Prepaid connections per day. For that I
was given a task of doing 4 to 5 counter visits every day.
1. Sales 200 SIM card.
2. Collect data base of 100 retail outlet.
3. Sales Rs 50,000 thousand recharge vouchers in the market.
DISTRIBUTION PLAN OF BERHAMPUR OFFICCE
COMPANY
BEAT PLAN OF BERHAMPUR OFFICE(WEEKLY )
Total counter = 450
Total sales person = 3
One counter = ½ hr (max)
ZONE-1 ZONE-2 ZONE-3
DISTRIBUTOR POINT
RETAILER POINT
CUSTOMER
SUB DISTRIBUTORR
SECONDARY DATA SOURCE
Per day work = 8 hr
One week = 6 day (exp sun)
Calculate = 450/3=150 Counter
Weekly work = 150 counter*30 minute= 45hr.00min
Total work in a week = 8 hr*6 day=48 hr.
Per day counter visit = 16 counters.
(SECONDARY DATA SOURCES)
STRATEGIES
To achieve the target easily I broke the whole target into weekly. For
sealing of 200 Pre Paid connections and 50,000 recharge voucher I used to
follow the steps: -
1. Find out prospective out-let.
2. Collect addresses from the office given data.
Take the appointment from the owner of the counter.
Meet them as per the time given by them.
I have done 4 to 5 counter per day to convince for sealing
Reliance pre paid connection.
Before I start my day I keep the following thing in my
mind.
1. Right person-Right place-Right time.
2. Introducing myself to the counter at the same time his
customer.
3. Requirement analysis.
4. Prospecting.
5. Convincing.
WORK DESIGN AND DATA SOURCES For the first objectives I personally talked to sales manager
and collected data related to distribution plan.
For my second objective I preferred to select the counter
which sales more than 50 SIM card per month and at the
same time sales the recharge vouchers per month above Rs
60,000 thousands. To help my work the company guide over
100 regular counters they send me to 60 counters to collect
data. Prepare an appropriate questionnaire to collect
information related to Reliance sales and distribution
compare to other organizations. (The questionnaires were
enclosed in the Appendix).
In my primary data which I collected from the Berhampur market
through questionnaires (from the retailer) I found that Airtel is
first choice of the retailers and customers also. Because Airtel
works on a well designed distribution plan, always ready to help
distributors, retailer and the customers as well. If we look at their
sales, company’s product are unique, distribution plan is well
managed and advanced in technical and man power, E.g. Easy
recharge is a latest technique which first introduce by Airtel
Company in the Orissa market. With out any paper voucher we
recharge our mobile account through a special SIM which is easily
available in retail outlet and the company’s salesman touches
every counter every day.
Reliance Communication is facing major competition from the
Airtel in Berhampur market. What I came to know after doing my
survey. In Orissa Reliance is the first company which launched
mobile services and captured a major market. But when Airtel
introduced his service company capture major market share in
Orissa. To find our key retail outlet I was taking a procedure i.e.
In Berhampur total customer is of Reliance =61 thousands
Total counter is =430
Covered by me = 60 out of 100.
For finding our Key retail outlet it totally depends on the sim
activation. After my primary data survey a gradation to all the
counter like,(SIM activation in month)
More then 50 SIM i.e. (A),
More then 30 SIM i.e. (B),
More then 20 SIM i.e. (C),
More then 6 SIM i.e. (D),
Others are SIM (E).
After survey of 61 counters in category (A), I found that
Satya mobile, Taratarini verity store, Shree Krishna mobile, Panda
mobile , Rashmi computer, Timex are the key retail out let who
sales more then 50 sim cards in a month.
Then I came to revenue part, in revenue key retail outlets are
who create more revenue for the Reliance communication.
(Selling voucher in a month)
More then 1, 00,000 i.e. (A),
More than 50,000 i.e. (B),
More than 25,000 i.e. (C),
More than 5,000 i.e. (D),
Others are (E).
TABULATION (COUNTER WISE SIM ACTIVATION)
RETAILER RTC GSM
ACTIVATION
TOTAL GSM
ACTIVATIONSATYAM MOBILE 60 400 15.00 ATARATARINI VERITY STORE 100 230 43.48 ASRI KRISH0 MOBILES 65 213 30.52 A0NDA COMPUTERS 70 272 25.74 ARASHMI MOBILE 60 207 28.99 AKWALITY GENERAL STORE 60 190 31.58 ATIMEX 90 360 25.00 APRAKESH PANSHOP 70 240 29.17 A
GRADERTL MARKET SHARE
PUSPA COMMUNICATION 50 250 20.00 BOM VARIETY STORE 30 176 17.05 CRENKU MOBILE 40 92 43.48 BSAGARIKA PAY PHONE 40 350 11.43 BPAYAL STUDIO 40 150 26.67 BPANDA FANCY 30 210 14.29 CMAA 0RAYANI 35 119 29.41 BSRIKANTA XEROX 50 230 21.74 BSABAT XEROX 30 136 22.06 CTARATARINI XEROX 50 190 26.32 BMAHIMA COMMUNICATION 20 465 4.30 DBABU & BABU COMMUNICATION 15 70 21.43 DS.KUMAR & S.KUMAR 10 145 6.90 DSANTOSHI TELECOME 15 113 13.27 DBOBBY GIFT HOUSE 22 102 21.57 CSAII GANESH TELECOM 15 78 19.23 DCHAKADOLA ELECTRONICS 20 73 27.40 DSHREE GANESH MOBILE 15 150 10.00 DFRIENDS BOOKS AND ELECTRIC 10 69 14.49 DSUSANTA STD 25 130 19.23 CRABI STD 10 105 9.52 DSHREESAI CD PARLOUR 15 38 39.47 DCELL FRESH 20 98 20.41 DSAI TELECOM 10 80 12.50 DSANTOSH TRADERS 15 67 22.39 DDURGA MOBICARE 10 44 22.73 DCHAMUNDI COMMUNICATION 20 90 22.22 DMATRUSHAKTI COMMUNICATION 15 65 23.08 DRATH COMMUNICATION 10 60 16.67 DDHREEN COMMUNICATION 10 25 40.00 DGANESH GFT HOUSE 15 85 17.65 DGIRIJA VARIETY STORE 20 115 17.39 DANURADH WATCH CENTER 25 240 10.42 CBI0YAK TRADERS 0 0 0 EPANDA TIMES 0 0 0 ELUCKY COMMUNICATION 0 24 0 EDALAI GENERAL STORE 0 0 0 ESAHU TELECOM 0 0 0 EMAA TARARININI TEA STALL 0 0 0 EBABULA PAN SHOP 0 0 0 ESATYA MEDICAL STORE 0 0 0 ESHARP COPY 5 82 6.10 EUTAKAL NOTE BOOKS 5 106 4.72 EKANHA DRUG 5 44 11.36 ESIRIDI SAI TELECOM 5 94 5.32 EN.N.COMMUNICATION 5 67 7.46 EJAGA TOUR AND TRAVELS 5 27 18.52 ESUNIAL ENTERPRISE 5 60 8.33 EMEE0KHI COMMUNICATION 3 102 2.94 ESAHU TELECOM 3 13 23.08 E
TOTAL 1373 7141 19.23
Show in graph format,
Total sim activation in 61 counter = 7141
Reliance sim activation = 1373
Reliance capture the market = 19.23 %
TOTAL GSM ACTI VATI ON,
7141
RTI ACTI VATI ON,
1373
TOTAL GSM ACTIVATION RTI ACTIVATION
It shows that Reliance has some problem in their sales and
distribution plan so company capture only 19.23 % in the total
market.
COUNTER WISE SURVEY : (REVENUE GENERATION)
RETAILER RELIANCE TOTAL % OF RC GRADE
SATYAM MOBILE 150,000 395,000 37.97 ATARATARINI VERITY STORE 150,000 355,000 42.25 ASRI KRISH0 MOBILES 120,000 349,000 34.38 A0NDA COMPUTERS 80,000 392,400 20.39 BRASHMI MOBILE 100,000 335,000 29.85 BKWALITY GENERAL STORE 200,000 358,000 55.87 ATIMEX 180,000 550,000 32.73 APRAKESH PANSHOP 130,000 324,000 40.12 APUSPA COMMUNICATION 100,000 310,000 32.26 BOM VARIETY STORE 30,000 115,000 26.09 CRENKU MOBILE 60,000 190,000 31.58 BSAGARIKA PAY PHONE 100,000 485,000 20.62 BPAYAL STUDIO 20,000 80,000 25.00 DPANDA FANCY 120,000 440,000 27.27 AMAA 0RAYANI 100,000 380,000 26.32 BSRIKANTA XEROX 100,000 425,000 23.53 BSABAT XEROX 30,000 146,000 20.55 CTARATARINI XEROX 150,000 465,000 32.26 AMAHIMA COMMUNICATION 50,000 176,000 28.41 CBABU & BABU COMMUNICATION 12,000 39,000 30.77 DS.KUMAR & S.KUMAR 30,000 198,000 15.15 CSANTOSHI TELECOME 30,000 125,000 24.00 CBOBBY GIFT HOUSE 30,000 230,000 13.04 CSAII GANESH TELECOM 30,000 195,000 15.38 C
CHAKADOLA ELECTRONICS 20,000 80,000 25.00 DSHREE GANESH MOBILE 30,000 302,000 9.93 CFRIENDS BOOKS AND ELECTR 0 35,000 0.00 ESUSANTA STD 40,000 180,000 22.22 CRABI STD 20,000 96,000 20.83 DSHREESAI CD PARLOUR 10,000 41,000 24.39 DCELL FRESH 15,000 90,002 16.67 DSAI TELECOM 70,000 205,000 34.15 BSANTOSH TRADERS 5,000 13,000 38.46 E
DURGA MOBICARE 40,000 184,000 21.74 CCHAMUNDI COMMUNICATION 30,000 102,000 29.41 CMATRUSHAKTI COMMU 15,000 54,000 27.78 DRATH COMMUNICATION 30,000 95,000 31.58 CDHREEN COMMUNICATION 20,000 74,000 27.03 DGANESH GFT HOUSE 25,000 84,000 29.76 DGIRIJA VARIETY STORE 30,000 110,000 27.27 CANURADH WATCH CENTER 65,000 166,000 39.16 BBI0YAK TRADERS 20,000 170,001 11.76 DPANDA TIMES 10,000 75,000 13.33 DLUCKY COMMUNICATION 7,000 105,000 6.67 DDALAI GENERAL STORE 15,000 86,000 17.44 DSAHU TELECOM 10,000 47,000 21.28 DMAA TARARININI TEAS STALL 5,000 15,000 33.33 EBABULA PAN SHOP 0 5,000 0.00 ESATYA MEDICAL STORE 30,000 79,000 37.97 CSHARP COPY 30,000 195,000 15.38 CUTAKAL NOTE BOOKS 20,000 99,000 20.20 DKANHA DRUG 25,000 105,000 23.81 DSIRIDI SAI TELECOM 30,000 185,000 16.22 CN.N.COMMUNICATION 15,000 74,000 20.27 DJAGA TOUR AND TRAVELS 25,000 81,000 30.86 DSUNIAL ENTERPRISE 20,000 25,000 80.00 DMEE0KHI COMMUNICATION 35,000 270,000 12.96 CSAHU TELECOM 10,000 45,000 22.22 D TOTAL 2,874,000 10,629,403 27.04
(Revenue in Lakhs)
In the revenue part company have the same problem face in the
market.
In the revenue part company have the same problem face in the
market.
REVENUE
2,874,000
3,080,000
1,594,000
920,000
706,000
418,401
686,000
351,002
00
500,000
1,000,000
1,500,000
2,000,000
2,500,000
3,000,000
3,500,000
RELIANCE
GSM
AIRTEL BSNL
VODAPHONEAIRCEL IDEA
RELIANCE CDMA
TATA
VERGIN
RELIANCE GSM
AIRTEL
BSNL
VODAPHONE
AIRCEL
IDEA
RELIANCE CDMA
TATA INDICOM
VERGIN
FINDINGS
From the fitment survey that has been carried away in one big
grown market of Orissa i.e. Berhampur. The following findings can
be drawn out.
MARKET POTENTIAL
1. Market potential of total SIM activation in the Berhampur
(based on survey data) is 7141 per month.
The Company is selling only 1373 i.e. 19.23% of total SIM
activation.
2. Market potential of total recharge voucher is Rs.
10,629,403 in Lakhs.
But the company is selling only Rs 2,874,000 Lakhs
Paper voucher and easy recharge in the market which
27.04 % of total selling.
3. When I collected data from the market I found that the
mismanagement of sales activity and some major problem
in distribution plan held in the Berhampur distributor office.
So the
LIMITATIONS OF THE STUDY
1. To collect the data from all the owner of retail outlet of
Berhampur in a short span of time was very difficult.
2. Some owner could not understand the point of the
questionnaires so their answers were confusing.
3. Some owners have given opinion only about the highest
sales of his counter.
4. Some of them don’t understand the questionnaires and
simply say “we can’t say anything”.
5. Major counters do not feel comfortable to disclose there
sales figure and some counter’s owners could not get much
time to answer my questions.
6. As we are fresh to the market it took little bit time to
generate leads.
7. Mobile phone market in BERHAMPUR is almost saturated.
8. The sales executives of RELIANCE COMMUNICATION have
already captured the market so Retailer is not accepting
us.
9. Now days in Reliance Communication have some problem
like Network, in Easy Recharge, and the percentage what
company gives to the retailer is less to compare to other
competitors. So retailers need more percentage in
business.
SUGGESTION & CONCLUSION
1. Human Resource should be strengthened as per the market
need. i.e some more sales persons must be appointed who
can touch the retailers on the daily basis.
2. The company must give more emphasis to distribution part
of the Berhampur market.
3. Company should give more incentive to the retailer
because the competitors are offering more.
4. Quality of service to the customer and the retailer should
be maintained by the company.
5. In my point of view after analyzing the primary data and
secondary data I suggested a new beat plan to the
Berhampur office i.e.
Total Counters = 450
Total Sales man = 5
One S.P can visit =450/5=90 counters
Per one counters max = 15 minutes
Per day work = 8 hr.
In a week = 6 days (exp sun)
Total working hour week = 48 hr
Let one S.P visit per day = 32 counters
One S.P visit in a week = 32*6= 192 counters
Five S.P visit total cou. In a week =192*5= 960 counters
Five S.P visit total counter in a day= 32*5=160 counters
Total counters =450
They can cover 450 counters in 3 days. In next 3 days they
can get 3 days more to visit once another time to the retail outlet
and fulfill the demand of the customer.
BIBLIOGRAPHY
1. MARKETING MANAGEMENT- PHILIP KOTLER
2. www.reliancecommunication.com
3. www.indiancellular.com
4. www.phoneworld.com
QUESTIONNAIRE
1 RETAILER NAME :
2 ADDRESS:
3CONTACT PERSON:
4 GENDER: M/F
5 DATE OF BIRTH:
6 MARRIED:YES/NO
IF YES DATE
7BUSINESS DETAIL:
SL.NOCOMPANY NAME
AVG ACTIVATION
AVG REVINEW
BEAT FREQUENCY
EASY NUMBER
1RELIANCE GSM
2 AIRTEL 3 VODAPHONE 4 AIRCEL 5 BSNL 6 IDEA
7RELIANCE CDMA
8TATA INDICOM
9 VERGIN
8 BEST SERVICE PROVIDER
9ANY SUGGESATION:
THANKS & REGARDRETAILER SEAL & SIGNATURE
SIBA PRASAD RAJGURUR.NO-08KA21,PGDMKRUPAJAL BUSINESS SCHOOLBHUBANESWAR