INDEX

1.COMPANY PROFILE

2.HISTORY

3.MOBILE SERVICES CIRCLES

4.MARKETING STRATEGY

5.DISRUPTIVE INFORMATION

6.PRICING STRATEGY

7.COMPETITORS ANALYSIS

8.ADVERTISING

9.SWOT ANALYSIS

10.CONCLUSION

COMPANY PROFILE

TATA DOCOMO is Tata Teleservices Limited's TTSL telecom service on the

GSM platform arising out of the Tata Group's strategic alliance with Japanese

telecom major NTT DOCOMO in November 2008. Tata Teleservices has

received a pan-India license to operate GSM telecom services, under the brand

TATA DOCOMO and has also been allotted spectrum in 18 telecom Circles.

TTSL and has already rolled out its services in various circles.

The launch of the TATA DOCOMO brand marks a significant milestone Indian

telecom landscape, as it stands to redefine the very face of telecoms in India.

Tokyo-based NTT DOCOMO is one of the world's leading mobile operators-in

the Japanese market, the company is clearly the preferred mobile phone

service provider with a50 percent market share.

NTT DOCOMO has played a major role in the evolution of mobile

telecommunications through its development of cutting-edge technologies

and services. Over the years, technologists at DOCOMO have defined industry

benchmarks like 3G technologies, as also products and services like the i-

mode TM, mobile payment and a plethora of lifestyle-enhancing applications.

Today, while most of the rest of the industry is only beginning to talk of LTE

technology and its possible applications, DOCOMO has already started

conducting LTE trials in physical geographies, not just inside laboratories!

DOCOMO is also a global leader in the VAS (Value-Added Services) space, both

in terms of services and handset designs, particularly integrating services at

the platform stage. The Tata Group-NTT DOCOMO partnership will see

offerings such as these being introduced in the Indian market under the TATA

DOCOMO brand.

TATA DOCOMO has also set up a 'Business and Technology Cooperation

Committee, comprising of senior personnel from both companies. The

committee is responsible for identification of the key areas where the two

companies will work together. DOCOMO, the world’s leading mobile operator

will work closely with Tata Teleservices Limited management and provide

know- how on helping the company develop its GSM business.

Despite being a late entrant, Tata Indicom, TTSL's CDMA brand, has already

established its presence and is the fastest-growing pan-India operator.

Incorporated in 1996, Tata Teleservices Limited is the pioneer of the CDMA 1x

technology platform in India. Today Tata Teleservices Limited, along with

Tata Teleservices (Maharashtra) Ltd, serves over 37 million customers in

more than 320,000 towns and villages across the country offering a wide

range of telephony services including Mobile Services, Wireless Desktop

Phones, Public Booth Telephony and Wire-line Services.

HISTORYTata Teleservices Limited now also has a presence in the GSM space, through

its joint venture with NTT DOCOMO of Japan, and offers differentiated

products and services under the TATA DOCOMO brand name. TATA DOCOMO

arises out of the Tata Group’s strategic alliance with Japanese telecom major

NTT DOCOMO in November 2008. TATA DOCOMO has received a pan-India

license to operate GSM telecom services—and has also been allotted spectrum

in 18 telecom Circles. The company has rolled out GSM services in 14 of

India’s 22 telecom Circles in a quick span of under six months. The company

plans to launch pan-India operations by the end of FY 2009-10.TATA

DOCOMO marks a significant milestone in the Indian telecom landscape, and

has already redefined the very face of telecoms in India, being the first to

pioneer the per- second tariff option-part of its ‘Pay for What You Use’ pricing

paradigm. Tokyo-based NTT DOCOMO is one of the world’s leading mobile

operators-in the Japanese market, the company is the clear market leader,

used by over 50 per cent of the country’s mobile phone users.

VISIONWe will leverage our strength in executing complex global- scale projects to

make leading edge information and communication servies affordable by all

individual consumers and business in india. We will offer unparalleled value

to create customer delight and enhance business productivity. We will also

generate value for our capabilities beyond indian borders while enabling

millions of India’s knowledge workers to deliver their services globally.

Currently, Tata Docomo mobile services available in these following circles:

Bihar & Jharkhand

Tamil Nadu

Orissa

Andhra Pradesh

Karnataka

Kerala

Kolkata

Maharashtra & Goa

Madhya Pradesh

Chhattisgarh

Haryana

Chennai

Eastern Uttar Pradesh

Western Uttar Pradesh

Punjab

Rajasthan ,Recently Launched

Rest of West Bengal, Recently Launched.

MARKETING STRATEGY

Tata Docomo appears to be banking heavily on its tariff plans – the company

is offering a 1 second pulse instead of the usual 1 minute pulse that other

telecom operators are offering. This means that consumers are charged on a

per second basis, instead of a per minute basis, and end up saving money on

unused seconds. A nifty little application “How much can you really save” on

Docomo’s website explains how this works. Rs. 0.01/second is a marked

change from the Re 1/min and Rs. 0.49/min charges that usually applies.

MARKETING MIX

4P’S OF MARKETING MIX :

Product

Price

Place

Promotion.

PRODUCT :

TATA DOCOMO having good range of services. Tata Docomo provides both

postpaid and prepaid services. Tata Docomo having good quality network

which provides clarity in voice.

PRICE :

It having attractive tariff plan: TATA DOCOMO having 1paisa /sec it is

applicable forboth prepaid and postpaid.

PLACE:

It having good range of channels of distribution: As Tata already exist in

this field of telecommunications as Tata Indicom. It has wide range of

channels of distribution to sell TATA DOCOMO services.

PROMOTION :

Advertising: TATA DOCOMO following different style of advertising

pattern in TV’and newspapers. Due to that reason it was reaching public very

fast.

Disruptive Innovation in the Indian Telecom Industry by Tata DoCoMo

Wikipedia defines disruptive innovation as an innovation that improves a product or service in ways that the market does not expect, typically by being lower priced or designed for a different set of consumers. Indian Telecom space was “disrupted” by Tata DoCoMo when they came out with a ‘1 paisa per second’ tariff.

We’ve earlier seen how Reliance India Mobile changed the mobile industry by coming up with the lowest tariff in the beginning of this decade. The call charges were around Rs 2-3 per minute and because of Reliance this was brought down to around Re 1 per minute.

Tata DoCoMo was the next one to employ disruptive innovation in the Indian mobile industry. Currently the game is not played on the price front but Value added services front, which is evident from the advertisements of Airtel (Madhavan and Vidya Balan) and Vodafone (Zoozoos) in the past. If Aircel is redefining how telecom operators approach value added services and GPRS in India, Tata DoCoMo is doing its bit to change billing practices. The joint venture between Tata Teleservices and Japanese telecom major NTT DoCoMo officially began rollouts with a plan to invest $2 billion for its pan-India GSM services.

TATA DOCOMO PRICING STRATEGY

Tata DoCoMo appears to be banking heavily on its tariff plans – the company offers a 1 second pulse instead of the usual 1 minute pulse that other telecom operators were offering. This means that consumers are charged on a per second basis, instead of a per minute basis, and end up saving money on unused seconds. A nifty little application “How much can you really save” on DoCoMo’s website explains how this works. Rs. 0.01/second is a marked change from the Re 1/min and Rs. 0.49/min charges that usually apply. Now while this plan might sound unique, it isn’t that it hasn’t been tried before: back in 2004, Tata Indicom had launched 1 second pulse plans, which going by their current plans, appears to have been shelved. At present, Tata DoCoMo has launched voice portals, 24-hour music, cricket commentary and voice chat, apart from offering free Missed Call Alerts and VoiceMail. Interestingly, voice based services are also being priced with a per-second-pulse: 24 hour music and voice chat are priced at Rs. 0.02/second. Caller Tune search service ‘Genie’ is also being priced at Rs. 0.02/second. This is a marked change, again, from the per minute pricing, and can offer consumers cheaper options.

An initiative that has taken the service provider industry by storm

The pay per second model has really paid off well for the latest entrant in the Indian GSM space, Tata-DoCoMo. The new pricing strategy from Tata-DoCoMo has changed the rules of the GSM game, which is dominated by AirTel and Vodafone. Tata-DoCoMo also launched its first mobile handset in September 2010.

Mobile pricing innovation – Tata DoCoMo now charges per website for Mobile Browsing!

This is surely a first world over – Tata DoCoMo have gone ahead and launched an innovative mobile Internet offering which allows users unlimited usage of their favourite websites on mobile for a fixed cost. Tata DoCoMo has been forefront in coming up with various attractive pricing schemes, especially, in the pay-per-use paradigm. They were first to introduce pay per second billing on calls, which now is followed by every mobile service provider. They followed it with pay-per-minute and pay-per-call pricing plans as well which has made them one of the fastest growing Mobile companies in India.

The new pay-per-website offering however, takes it to a complete different level and unheard of pricing strategy. This is a very thoughtful strategy and something which has potential to growth rapidly. Tata DoCoMo pricing strategy.

Pay per site offer two combination: Those only interested in single websites need to pay Rs 10 per site Those with multiple site browsing needs can opt for a combo pack at

just Rs 25 per month.

Customers have a bundle of options within various categories of social networking sites (Facebook, Twitter, Linked-In, Orkut), mail options (Gmail, Yahoo, Rediff) and chat messengers (GTalk, Yahoo! Messenger, Nimbuzz). Having said this, there is also a caveat – If you thought it was valid for unlimited use…it is not.

Tata DoCoMo pay per site plan categorizes each service under 2 different genres – Social Networking Site and Emailing & Instant Messaging. Each site under this genre is priced at Rs. 10/- bundled with 200 MB free data usage valid for 30 days, post which customers will be charged at 1p/kb. There are also 2 Combo options – SNS Combo Pack and Emailing Combo Pack and each Combo Pack is priced at Rs. 25/- bundled with 500 MB free data usage post which the customers will be charged 1p/kb. We have been quite impressed the way Tata DoCoMo have gone about their innovative pricing models as well as marketing strategies.

“Per Character” SMS PricingOn 8th September 2009, the GSM branch of the Indian carrier Tata introduced a novel pricing strategy for text messaging. Under the brand “Diet-SMS“, Tata-DOCOMO bills its customers “by-the-character”, rather than on a per message basis.

It is a very attractive marketing scheme, since many wireless subscribers, almost by habit, tend to pepper their text messages with abbreviations and acronyms.

Under the new plan, Tata-DoCoMo charges “one paisa per character”. For example, a text which reads “tnx” (for “thank-you”) is charged at 3paise instead of the normal sms charge.

The Impact

Tata DoCoMo has gathered significant market share, owing to its pricing strategies.

Existing mobile operators are matching the price and the clear winners are the subscribers since all the competition is sending the prices downhill. Tata DoCoMo pricing strategy.

Competitor Analysis

The competition has intensified the past few months with new

players and schemes coming in. There has never been a better time

for the customer to get a mobile phone connection

There are at least six if not more operators to choose from in ever circle. In June 09, TATA DOCOMO broke the old system of tariff by introducing per second billing system. As soon as they did this, the other followed suit with price cuts everywhere. Suddenly the idea of calls being free was not so outrageous. The prices were reduced to such an extent that the viability of the business was in questions. The competitive environment of TATA DOCOMO can be looked at from the following perspectives

Market share

The government issued fresh licenses in 2008.As a result of this the

market gets crowded though incumbents still hold larger market shares‟

are shown above. However a point to note is that the new players have

lower entry costs with very deep pockets. They also have no legacy

issues like the older players and hence are more adept to changes

market situations. The cost of infrastructure has reduced dramatically

due to the market growth and DOCOMO had an advantage here.

MARKET CAPITALISATION:

As profits margins are becoming thin, the market capitalization of listed

telecom companies has fallen. Though there have been some signs of

recovery

ADVERTISING MEDIA CHANNELS :

India - Tata Docomo, the youngest among telecom players in India to offer

GSM, is Presently banking on its services to garner visibility and a share in the

telecom pie. The launch of Tata Docomo also announced the intention of the

brand to associate with the thought 'do'. Tata Docomo, for the first time in the

country, offered pay-per-second billing; though other telecom providers have

followed suit since. The company has carried out a few adverts that highlight

the brand's unique features and some other topical advertising during Ganesh

Chaturthi and Diwali. The latest from the GSM provider is the 'Friendship

Express' TVC. The ad opens inside train, where everyone is doing their own

thing. A couple of the travelers don't like the solemn mood and start humming

the Docomo tune. Slowly and steadily, others pitch in and soon most of the

train is singing along. The ad ends with the super, 'Why walk alone when we

can dance together'.

TataDoCoMo launched ‘ Keep it Simple’ campaign with Rabir

Kapoor!

Cutting through the clutter that the Indian telecom landscape finds itself in—

with customers forced to jostle with confusing and complicated products,

services and tariff plans—Tata DOCOMO is ‘Doing the New’ again, with the

launch of its new brand campaign, aptly titled ‘Keep It Simple’. Tata

DOCOMO’s unique Keep It Simple Campaign is in a form of a stand-up comedy

show with many episodes, which will be aired during the course of this IPL

season. It focuses largely on how Tata DOCOMO simplifies the telecom

experience, and hence the consumer’s life, by providing differentiated

products and services. Each individual advertisement starts by illustrating a

complexity in the category, and presents the Tata DOCOMO product and/or

service as a means of simplifying things. This campaign is simple, captures the

various moods of Ranbir—depicting those of Tata DOCOMO.

SWOT ANALYSIS

STRENGTH

WEAKNESS

OPPORTUNITIES

THREATS

STRENGTHS:-

First to introduce seconds’ tariff plan (seconds pulse)

Good brand image of Tata services

Having large variety of plans

Plans are affordable by any common person.

TYPE :

Pulse rate 1 sec

Price pack Rs.49

Validity life long

CALL RATES:

Local rates paisa/sec

Tata Docomo 1

Tata CDMA 1

Other GSM 1

Landline/CDMA 1

STD rates

Tata Docomo 2

Tata CDMA 2

Other GSM 2

WEAKNESS:-

Signal strength.

Postpaid connections are not available as of now.

Customer services are not satisfactory.

Concentrating only on rural areas.

OPPORTUNITIES:-

Have a great opportunity to expand its services.

To introduce any new plans for internet users.

Introduce 3G compatible services.

To introduce new combined plans like, SMS, Internet, Calling integrated

offers.

THREATS:-

If signal strength is not increased it may lead to change in the network

service by the customers.

Tata has to clarify whether this 1ps/sec will continue till its lifecycle.

Heavy competition from all other network providers.

Self Analysis

TATA DOCOMO is positioned as a very youthful brand. Like today s ‟youth that wants to break the rules, TATA DOCOMO also wants to change the set paradigms. They are projecting themselves as brand that breaks through the clutter and tries to simplify things. In the telecom market, the tariff is rarely a point of differentiation and is saturated. However TATA DOCOMO„s main differentiating factor was the per second billing. Currently, the tariff scene in India is very complicated; so many schemes, different tariffs, various plan offerings, for consumers it is a humungous task to sift through all and find the right scheme. They just have one plan, be it off network or on network, STD, ISD. Apart from that they also have differentiate themselves on VAS platform. In the VAS space also we would replicate the pay per second model, which is in line with our strategy to simplify.

Conclusion

The only understanding of the Brand Identity Implementation can be gained

from actual market results of the brand once it is launched. It can be observed

that the brand though not widely available across India has been widely

accepted as a Giant Killer. It has made the major players of the industry sit up

and relook at their strategies. It can be gained that the industry is currently in

turmoil due to the continuous focus of capturing an increasing pie of the

expanding market. But it should be understood that only those players with

understanding of the market and the ones who can capture the consumer s ‟

imagination will continue to survive and prosper in the long run. TATA

DOCOMO revolutionized the billing system in the country with per second

billing but it needs to continuously adapt itself to the changing environment in

order to come out as the eventual winner.

PROJECT REPRESENTATIVES:

KARAN JAIN 19

ALTAF KAREDIA 27

JAINEEL NAGDA 36