Transcript

Field Study Report

On

A Comparative study of Vodafone Vs Airtel with special reference of Prepaid Plan

A Project Report submitted in partial fulfillment of the requirementsFor the award of the degree of

INTEGRATED MASTER OF BUSINESS ADMINISTRATION (IMBA)

Submitted By Under the guidance ofManzer Abbas Prof. Rashmi SinghIMBA 4th Semester SOM, BBDUSession-2013-2014Roll Number - 1120675024

SCHOOL OF MANAGEMENT, BBD UNIVERSITYSector 1, Dr. Akhilesh Das Nagar, Faizabad Road,

Lucknow (U.P.) India

PREFACE

As a part of our course curriculum I had to go under summer training and

prepare a project report on any topic to get the right exposure to the practical

aspects of business management.

I want to express my gratitude for the experience and practical knowledge that

I earned during the Research Project Report. In this project report I had

presented my great experience in the form of words. In making the project

report theoretical knowledge was needed more than the practical which was

given to us by my professors in my institutes. In the market the experience

relating to the practical knowledge was very good which realized me about the

real conditions of the marketing.

The project flows logically consisting of a questionnaire. I hope that the

findings and the suggestions will help the company, confidently to formulate its

strategy in comparison to its competitors.

My depth research on the particular topic has given an insight of the current

scenario in the telecommunication and service industry. The various brand

aspect to create the particular positioning of both product and service has

widened my knowledge.

This project provides an opportunity to relate my classroom learning with the

reality of management. I believe that this knowledge endeavor of mine has

prepared me for the future challenge.

DECLARATION

I declare that the project titled “A Comparative study of Vodafone Vs Airtel

with special reference of Prepaid Plan” is an original project done by me and

no part of the project is taken from any other project or material published or

otherwise or submitted earlier to any other college or university.

( )Manzer Abbas

IMBA 4th semesterRoll No. - 1120675024

ACKNOWLEDGEMENTS

I extended my special gratitude to our beloved Dean and Prof. Rashmi Singh

Mam for inspiring me to take up this project.

I wish to acknowledge my sincere gratitude and indebtedness to my project “A

Comparative study of Vodafone Vs Airtel with special reference of Prepaid

Plan” for his valuable guidance and constructive suggestion in the preparation

of project report.

I extended my gratitude to Prof. Rashmi Singh Mam and all my colleagues,

friends for their encouragement, support, guidance and for preparing the project

report.

Manzer AbbasIMBA 4th semester

Roll No. - 1120675024

CONTENT

1) Introduction

2) Company overview

3) Airtel

Tariff rates

4) Vodafone

Tariff rates

5) Research Methodology

Data collection

Primary data

Secondary data

Sampling techniques

6) Data analysis

7) Findings

8) Conclusion

9) Suggestion and recommendation

10) Bibliography/References

11) Appendix

INTRODUCTION

The unprecedented growth in the mobile is, perhaps, the most vivid facet of

India’s economic transformation since the mid 1990’s. Mobile technology and

services came to India less than a decade ago. In the early days, a mobile was

seen to be a fashion statement for the rich. Today, it is expected as a basic

communication medium for all socio- economic segments.

Company Overview

As the pioneer and front runner, Airtel has been instrumental in leading and

ushering in the mobile revolution in India.

The Indian mobile market is, today, amongst the fastest growing and the most

competitive in the world. There were 34.6 million mobile phone subscribers in

the country as of April 2004 (source: cellular operators association of India and

association of basic telecom operators) with approximately 7 million

subscribers, Airtel commands nearly 20% of the share of the market- making is

the number one brand in the country. Airtel world class service and innovative

products have enabled it to establish this position of leadership. AIRTEL is a

brand of telecommunication services in India operated by Bharti Airtel. Airtel

is the largest cellular services provider in India in terms of number of

subscribers. Bharti Airtel owns the Airtel Brand and provides the following

services 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(Telecommunication Consulting for corporate). It has presence in all

23 circles of the country and covers 71% of the current population (as of

FY07).

Leading international Communication companies such as Vodafone and

SingTel held partial stakes in Bharti Airtel.

AIRTEL TARIFF RATES

I am interested One Time Charges, if any

Gold New (Airtel/ DL/ GSM/3)

RTP Plan Voucher (Airtel/ DL/ GSM/24)

RTP-FR Plan Voucher (Airtel/ DL/ GSM/3)

Free Calls/

SMS / Data Transfer if any (included in one time charges)*

Local

Nos

15 47 194

STD Nos

Nil NA NA

ISD Nos

Nil NA NA

SMS Nos

Nil NA NA

Data MB

Nil NA NA

Regular Validity

Regular Validity

Regular Validity

Sim/Account Validity

Regular Validity

180days 180days

Tariff Validity (initial/promotional/ base, if any)**

1 second 1 second 1 second

Particulars/ Services

Details Units

Pulse Rate Sec./Min. Voice Video Voice Video Voice Video

Call Charges 2paisa/sec. 5paisa/sec. 1.5p/sec. 5p/sec. 1.5p/sec. 5p/sec.

Local

On net (Airtel to Airtel mobile)

Rs. 2paisa/sec. 5paisa/sec. 1.5p/sec. 5p/sec. 1.5p/sec. 5p/sec.

Off net (Airtel to other operators)

Rs. 2paisa/sec 5paisa/sec (Mobile), NA(Fixed)

1.5p/sec. 5p/sec. 1.5p/sec. 5p/sec.

Mobile/Fixed(*) Rs. 2paisa/sec 5paisa/sec 1.5p/sec 5p/sec 1.5p/sec 5p/sec

STD

On net (Airtel to Airtel Mobile)

Rs. 2paisa/sec 5paisa/sec

Off net (Airtel to other Operators)

Rs. 2paisa/sec 5paisa/sec(Mobile), NA (Fixed)

Mobile/Fixed(*) Rs.

ISD ISD Tariff to be made available on Website & point of Recharge/ other conditions, if any sale

For Country wise ISD tariff, please Visit www.airtel.in or nearest Airtel relationship centre

10p/10kb for 2G network & 3p/10kb for 3G network

10p/10kb for 2G network & 3p/10kb for 3G network

10p/10kb for 2G network & 3p/10kb for 3G network

SMS

Local Rs Re. 1.00 Re. 1.00 Re. 1

National Rs Rs. 1.50 Rs. 1.50 Rs. 1.50

International Rs Rs. 5.00 Rs. 5.00 Rs. 5

Data

Home Paisa/kb 10p/10kb for 2G network & 3p/10kb for 3G network

10p/10kb for 2G network & 3p/10kb for 3G network

10p/10kb for 2G network & 3p/10kb for 3G network

Roaming Paisa/KB

10p/10kb for 2G network & 3p/10kb for 3G network

10p/10kb for 2G network & 3p/10kb for 3G network

10p/10kb for 2G network & 3p/10kb for 3G network

Chargeable while Roaming National

Local outgoing Rs Voice

Rs 1/1.50/5

Video

NA

Voice

Rs 1/1.50/5

Video

NA

Voice

Rs 1/1.50/5

Video

NA

STD Outgoing Rs Nil NA FREE Incoming while in Roaming

Incoming Rs Existing Customers will get same benefits at Rs.2

Nil NA

SMS (Local/STD/ISD)

Rs

Special benefits, if any

other conditions, if any

Blackout Days for year 2014- Applicable for both SMS & Voice (on these days, tariff plan rates will not applicable)

1. New Year(31st Dec & 1st Jan)

2. Holi

3. Chhoti Diwali

4. Diwali

Vodafone is the largest cellular operator in India that covers most of the

country. It offers both prepaid and postpaid GSM cellular phone coverage

throughout India and is especially strong in the major metros. The company is

often praised for its award winning advertisements which all follow a clean,

minimalist look. A recurrent theme is that its message Hi stands out visibly

though it uses only black letters on white

background. Another recent successful ad campaign in 2003 featured a dog

following a boy around in unlikely places, with the tagline, wherever you go,

and our network follows. Hutch Essar is owned by Vodafone 52%, Essar Group

33%, and other Indian nationals, 15%. Vodafone and the Essar group have

reached an agreement on the management of the company, which will be

renamed Vodafone Essar in the near future.

In Mumbai it was earlier known by the name Orange. It offers both prepaid and

postpaid GSM cellular phone coverage throughout India and is especially

strong in the major metros.

Vodafone Essar, previously Hutchison Essar is a cellular operator in India that

covers 16 telecom circles in India Despite the official name being Vodafone

Essar; its products are simply branded Vodafone. It offers both prepaid and

postpaid GSM cellular phone coverage throughout India and is especially

strong in the major metros.

Vodafone Essar Provides 2G services based on 900MHz and 1800MHz digital

GSM technology, offering voice and data services in 16 of the country’s

license areas.

Vodafone Essar, previously Hutchison Essar is a cellular operator in India that

covers 16 telecom circles in India. Despite the official name being Vodafone

Essar, its products are simply branded Vodafone.

VODAPHONE TARIFF RATE

Tariff Plans SUK 10

Prepaid Plan Voucher Rs.2

Prepaid Plan Voucher Rs.3

MRP 10 2 3

Applicability New Customer

Existing/New Customer

Existing/New Customer

Talk Time Rs. 0 Rs. 0 Rs. 0

Sim/Account validity Lifetime Lifetime Lifetime

Local call rates

Vodafone-to-Vodafone calls 2p/sec. 1.2p/sec. 50p/min.

Vodafone-other mobiles 2p/sec. 1.2p/se0c. 60p/min.

To landlines 2p/sec. 1.2p/sec. 90p/min.

STD call rates

Vodafone-to-Vodafone calls 2p/sec 1.2p/sec. 60p/min.

Vodafone-other mobiles 2p/sec. 1.2p/sec. 60p/min.

To landlines 2p/sec. 1.2p/sec. 90p/min.

Tariff validity 180days 180days 180days

SMS

Local SMS Re.1.00/SMS

Re.1.00/SMS

Re.1.00/SMS

National SMS Rs.1.50/SMS

Rs.1.50/SMS Rs.1.50/SMS

International SMS Rs.5.00/SMS

Rs.50/SMS

Roaming Rs/min.

All Incoming Calls 0.75

Outgoing Calls Rs/min.

Local Calls 1

STD Calls 1.5

ISD Calls Rates applicable same as in home network

SMS Rs/min.

Outgoing(Local/National) 1/1.50on all networks

Outgoing(International & Short Codes)

Rs. 5/SMS for all international SMS

Incoming Free

Note:

Lifetime validity as per circle license period presently till 2026 for Bihar

circle

MRP inclusive of 12.36% service tax

To enjoy the benefits of bonus cards. Positive balance needs to be

maintained in account.

As per govt. regulation. For connection without any usage (Voice/video

calls, outgoing SMS, Internet usage, VAS purchases with balance) for

90 days, following actions are liable to be performed:

For subscriber with less than Rs. 20 balances all services will be

deactivated pending payment of reactivation fee Rs. 20 for a period of

15 days. Number will be disconnected on non-payment of sale fee with

in this period.

For subscriber with more than Rs. 20 balance, Automatic Number

Retention Scheme will be put into effect – Rs. 20 will be deducted and

services will be continuing for 30 days.

RESEARCH METHODOLOGY

Research Design

It is descriptive research

Population

Lucknow region

Sampling Techniques Used – Convenience sampling

Sample Size – Taken is 25.

Method of data collection:-

There are two main sources of data:

Primary research is conducted from scratch. It is original and collected to solve

the problem in hand. The data is collected by the survey. By going to the

retailer shop and collect data.

Secondary research, also known as desk research, already exists since it has

been collected for other purposes. The data is collected by internet.

Problems & limitations

There was some problems is collecting the samples. Some peoples were not

filling the questionnaire properly. Some people don’t complete the

questionnaire.

DATA ANALYSIS

Q.1 Do you keep telecom Connection?

Reply of respondent No. of respondents Percentage of respondents

Yes 22 88%

No 3 12%

Yes88%

No12%

Telecom Connection

Q.2 which mobile company services you are using now a days?

Airtel 7 28%

Vodafone 7 28%

Others 8 32%

None 3 12%

28%

28%32%

12%

Mobile company services you are using now a days

Airtel Vodafone Others None

Q.3 among them, which brand, you prefer most?

Company Customer Percentage

Airtel 7 28%

Vodafone 7 28%

Reliance 2 8%

Tata 1 4%

Idea 3 12%

Others 2 8%

None 3 12%

28%

28%8%4%

12%

8%

12%

Which brand, you prefer most

Airtel Vodafone Reliance Tata Idea

Q.4 How long you have been using this product?

Years Airtel Vodafone Others None

0-1 1 1 1 5

1-2 4 1 2 0

2-5 0 2 1 0

5-10 1 1 1 0

More than 10 1 2 1 0

0-1 years 1-2 years 2-5 years 5-10 years More than 10 years

0

1

2

3

4

5

6

AirtelVoda-foneOthersNone

Q.5 Do you collect any information search before making purchase?

Company Yes No Total

Airtel 3 4 7

Vodafone 4 3 7

Others 3 3 8

None of these - - 3

Airtel Vodafone Others none of these

3

4

3

0

4

3 3

0

Do you collect any information?Yes No

Q.6 what are the features you look for in a product before making purchase

decisions?

Features Airtel Vodafone Others None

Brand credibility 1 3 2 -

Price & discount 2 - - -

Value of money 1 2 2 -

Value of performance 1 2 2 -

After sales service & parts, network

2 - - -

None of these - - 2 -

Total 7 7 8 3

Brand cr

edibilty

Price &

Discount

Value o

f money

Value o

f perf

orman

ce

after

sales

servic

e & part

s, netw

ork

None of th

ese

12

1 12

0

3

0

2 2

0 0

2

0

2 2

0

20 0 0 0 0

3

Product before making purchase decisionsAirtel Vodafone Others None

Q.7 if you have to purchase a new connection or product in near future, which

brand will you go for and why?

Company Plan Responses Popularity

Airtel 3 1 3

Vodafone 1 2 4

Others 5 2 1

None - - -

Airtel Vodafone Others None

3

1

5

0

1

2 2

0

3

4

1

0

Purchase a new connection in near future, which brand you prefer & why?

Plan Response Popularity

Q.8 Are you aware of various promotional activities being run by

Airtel/Vodafone. If yes then how?

Promotional activities Airtel Vodafone

Customer care 3 3

By ad films 1 4

By camp 1 -

24 hrs call center services 2 -

Customer Care

By ad films By camp 24 hrs call center services

00.5

11.5

22.5

33.5

4

Aware of various promotinal activi-ties

Airtel Vodafone

Q.9 Are you satisfied with these promotional activities?

Promotional activities Airtel Vodafone

Very satisfied 1 2

Satisfied 2 4

Somewhat satisfied 3 1

Not satisfied 1 -

Very satisfied Satisfied Somewhat satisfied

Not satisfiedAirtel

Voda-fone

1

2

3

1

2

4

1

0

Are you satisfied with these promo-tional activities

Airtel Vodafone

Q.10 what are you suggestions for improving the product quality, service

availability and parts availability?

Company Costly Plans Quick response No suggestion

Airtel 4 - 3

Vodafone 3 1 3

Others 1 1 6

Q.11 which company provides you best plan?

Company No. of respondents Percentage of respondent

Airtel 6 24%

Vodafone 3 12%

Reliance 3 12%

Idea 5 20%

Others 5 20%

None of these 3 12%

Airtel24%

Vodafone12%

Reliance12%

Idea20%

Others20%

None of these12%

Best plan

FINDINGS

The basic and to the point conclusion of the above discussed issue is that the

company can make more and more profits only when it can satisfy all its

customers,/dealers and distributors in order to do that the company should

agree with all their fair Suggestions and make them happy. If workers will be

happy and satisfy then they will make sincere efforts to achieve their targets

and increase the sales of the company.

CONCLUSIONS

After analyzing the findings of the research, I can conclude that Airtel Lagged

behind its competitors as far as customer service availability is concerned. The

maximum no. of people who use the mobile is in the age group of 20 to 28.

Cash cards are the most popular type of mobile connections, as they are

consumer friendly and recharging the connection is not a problem.

Maximum no. of people spends Rs. 300 on their connections. As Airtel is the

only company having the maximum no. of mobile connections so it must

seriously look into the loop holes of the existing customer service department.

As we know that now Airtel has already launched its logo “Aisi azaadi aur

kahan” has already became popular in market. So we can say that in spite of so

many competitors in the market Airtel is having a good position just because

every time, it tries its best to understand the needs of its important customers.

From the comparison and deep analysis of every aspects of business and both

the companies we can conclude that Bharti Airtel has to more work in every

field communications business.

It is the time not only to survive but to sustain in the market for a long

time.

For this Airtel has to work on its all marketing strategies, marketing,

promotion, brand image.etc.

Airtel has to take Vodafone. Very seriously and update its own

strategies from time to time and when the need arises.

With aggressive marketing strategies Airtel has to target rural India as

70% of population of India lives in these areas.

The other segment may be customer of all age groups.

SUGGESTION & RECOMMENDATION

Following are the few suggestions to Vodafone for improving the market share

and image of the products concerned.

1. Product

Modification must be brought about in Airtel, in terms of quality. Its

demand should be increased.

2. Place

The brands must be made available easily in PCO & general stores.

3. Promotion

Company must undertake extensive promotional activities like

advertisements must be released in different Medias to create brand

awareness.

free samples (TERMS AND CONDITION APPLY) should be distributed among the

prospects. Sales promotion tools like gifts, contests and coupons must be

given to retailers as well as customers and prospects.

Catalogues should be distributed among customers.

4. Price

Price should be as competitive as other company maintains.

Distribution of new connection should be in reach of customer pocket.

BIBLIOGRAPHY

In this project report, while finalizing and for analyzing quality problem in

details the following Books, magazines/ journals and websites have been

referred. All the material detailed below provides effective help and a guiding

layout while designing this text report.

Websites:

www.airtel.in

www.google.in

www.slideshare.net

www.slideshare.net/hemanthcrpatna/a-project-report-on-comparative-brand-

equity-of-hutch-and-airtel-cell-phone

www.vodafone.in

APPENDIX

QUESTIONNAIRE

Q.1 Do you keep telecom connections?

Yes

No

Q.2 which mobile company services you are using now a days?

Airtel

Vodafone

Reliance

others

Q.3 Among them, which brand, you prefer most?

Airtel

Vodafone

Reliance

Tata

Idea

Q.4 How long you have been using this product?

0-1 years

1-2 years

2-5 years

5-10 years

More than 10 years

Q.5 Do you collect any information search before making purchase?

Yes

No

Q.6 what are the features you look for in a product before making purchase decisions? Give preferences (1-highest, 6-least)

Brand credibility

Price and discount

Value of money

Value of performance

After sales service and parts, network

Q.7 if you have to purchase a new connection or product in near future, which brand will you go for and why?

_________________________________________________________________________________________________________________________________________________________________________________________________________

Q.8 Are you aware of various promotional activities being run by Airtel/Vodafone. If yes then how?

Customer care

By ad films

By camp

24 hrs call center services

Q.9 Are you satisfied with these promotional activities?

Very satisfied Satisfied Somewhat satisfied Not satisfied

Q.10 what are you suggestions for improving the product quality, service availability and parts availability?

_________________________________________________________________________________________________________________________________________________________________________________________________________

Q.11 which company provides you best plan?

Airtel

Vodafone

Reliance

Idea

others


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