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SUMMER TRAINING PROJECT REPORT

ON

POST LAUNCH EXPERIENCE OF AIRCEL IN CENTRAL DELHI MARKET RESEARCH

PROJECT REPORT

Submitted for Partial fulfillment for

The Award of the Degree of

Master Program of Business Administration

(2008-2010)

SYNERGY INSTITUTE OF MANAGEMENT

KHAJINA VIHIR CHOWK, SADASHIV PETH, PUNE

MAHARASTRA

Submitted By Mritunjay Kumar MPBA (MARKETING)

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CONTENTS

ACKNOWLEDGEMENT EXECUTIVE SUMMARY

OBJECTIVE

PREFACE

Chapter – 1 Introduction

Company Profile

An Overview of current Market Scenario

Chapter – 2 Main Studies Introduction of the Topic

Apply Six Sigma

The problems being faced

What does Company expect to do by solving the

problem

Chapter – 3 Methodologies

Research problem

Research Objective & sub- objective

Information Requirement

Choice of Research Design

Research Instrument used

Sampling Technique used & Sample size

Chapter – 4 Data Analysis & Interpretation Data Interpretation & Finding of customer Survey

Chapter – 5 Conclusions

Finding

Conclusion

Chapter – 6 Suggestions Appendices

Recommendations and suggestion

Bibliography

Questionnaire

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ACKNOWLEDGEMENT

I would like to express my sincere thanks to all those instrumental

in this project Work. First of all, I would to thank Prof. Suresh

Abhyankar Director of SYNERGY INSTITUTE OF MANAGEMENT for

giving me this opportunity to do this project and learn from it. I am

thankful to Aircel mobile services Ltd for giving me helpful

information to complete this project (Research).

I express my sincere thanks to 1.Mr. ASHU MEHRA (ZONAL

BUSINESS HEAD), 2.SANJAY VERMA (MANAGER SALES), 3. ADNAN

USMANI (ASST.MANAGER SALES) for helping me in giving me all

relevant information about the product and service.

My heart full thanks to the whole staff and customers

(Corporate) of Aircel mobile services Ltd, who gave me continuous

support in every possible manner to gain practical knowledge in

Industry.

Finally I would like thank all lecturers, friends and my family for

the kind of support and to all who directly or indirectly helped me

in preparing this project report and special thanks to website-

www.aircel.com

Date:

Place: DELHI MRITUNJAY KUMAR

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Executive summary

Topic of the project

“Post launch experience of aircel in central delhi”

Objective of the research

To find out the counter potential of the each retailer

Counter through market research

Research Methodology

“Personal interview” of the retailer with the help of design the

questionnaire

Findings

There is a huge counter potential for the company and company

only have to improve the distribution channel

And maintain communication with the market about the schemes

Conclusion

Make a proper communication with the market and tell them about

the schemes and increase the vas (value added Service).

Recommendation

Proper communication with the market

Proper promotion of the product

Improve network coverage

Increase margin for distributor and reimbursed the claims Of

the retailer on time

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Objective of study

The Indian communications scenario has transformed into a

multiplayer, multi product market with varied market size and

segments. Within the basic phone service the value chain has split

into domestic/local calls, long distance players, and

international long distance players. Apart from having to cope

with the change in structure and culture (government to

corporate), Aircel has had to gear itself to meet competition in

various segments – basic services, long distance(LD), International

Long Distance (ILD), and Internet Service Provision (ISP).It has

forayed into mobile service provision as well.

Objective of study are:

What marketing strategies the Aircel is implementing to

defend and increase the market share.

To find who are the competitors of the Aircel and the market

shares of the competitors and what strategies Aircel is

implementing to beat its competitors.

To find out how Aircel react to the technology changes in the

communications sector,

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PREFACE

A project is a scientific and systematic study of real issues on a

problem with the application of management concept and skills.

The study can deal with small or big issues in any division of an

organization. It can be case study where a problem has been dealt

with, through the process of management. The essential equipment

of a project this that, it should contain scientific collection of

data, analysis and interpretation of data leading to valid

conclusion.

Project is an essential part in MBA curriculum. It enables the

student to share the real experience in industry & Market. My

project has placed in Market Research.

The topic of my project was POST LAUNCH EXPERIENCE OF AIRCEL

IN CENTRAL DELHI.

This project report tends to give a sharp picture of the. Telecom

industry

I hope, this study can be of some help to the telecom industry of his

product and service.

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CHAPTER - 1

Introduction

Company Profile

An Overview of current Market Scenario

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(1) COMPANY PROFILE

The Aircel group is a joint venture between Maxis Communications Berhad of Malaysia

and Apollo Hospital Enterprise Ltd of India, with Maxis Communications holding a

majoritystakesof74%.

Aircel commenced operations in 1999 and became the leading mobile operator in Tamil

Nadu within 18 months. In December 2003, it launched commercially in Chennai a

quickly established itself as a market leader – a position it has held since.

Aircel began its outward expansion in 2005 and met with unprecedented success in the

Eastern frontier circles. It emerged a market leader in Assam and in the North Eastern

provinces within 18 months of operations. Till today, the company gained a foothold in 17

circles including Chennai, Tamil Nadu, Assam, North East, Orissa, Bihar, Jammu &

Kashmir, Himachal Pradesh, West Bengal, Kolkata, Kerala, Andhra Pradesh, Karnataka,

Delhi,UP(West),UP(East)andMumbai.

The Company has currently gained a momentum in the space of telecom in India post the

allocation of additional spectrum by the Department of Telecom, Govt. of India for 13 new

circles across India. These include Delhi (Metro), Mumbai (Metro), Andhra Pradesh,

Gujarat, Haryana, Karnataka, Kerala, Madhya Pradesh, Maharashtra & Goa, Rajasthan,

Punjab,UP(West)andUP(East).

Aircel has won many awards and recognitions. Voice and Data gave Aircel the highest

rating for overall customer satisfaction and network quality in 2006. Aircel emerged as

the top mid-size utility company in Business world‘s ‗List of Best Mid-Size Companies‘ in

2007. Additionally, Tele.net recognized Aircel as the best regional operator in 2008.

With over 17 million customers in the country, Aircel the fast growing telecom company

in India has revved up plans to become a full-fledged national operator by end of 2009.

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(2) AN OVERVIEW OF CURRENT MARKET SCENARIO

Airce mobile services are one of India's largest providers of integrated communications

services. The company has more than 17million customers and serves individual

consumers, enterprises, and carriers, providing wireless, wireline, long distance, voice,

data, and internet communications services through a number of operating subsidiaries.

The company sells communications and digital entertainment products and services

through its chain of Aircel mobile services retail outlets. The current network expansion

undertaken by Aircel is the largest wireless network expansion undertaken by any

operator across the world.

Aircel has a reliable, high-capacity, integrated (both wireless and wire line) and

convergent (voice, data and video) digital network. It is capable of delivering a range of

services spanning the entire infocomm (information and communication) value chain,

including infrastructure and services — for enterprises as well as individuals,

applications, and consulting.

Today, Aircel is revolutionizing the way India communicates and networks, truly bringing

about a new way of life.

We will leverage our strengths to execute complex global-scale projects to facilitate

leading-edge information and communication services affordable to all individual

consumers and businesses 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 and enable millions

of India's knowledge workers to deliver their services globally

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CHAPTER - 2

Main Studies

Introduction of the Topic

Apply six sigma

The problems being faced

What does Company expect to do by solving the

problem

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(1) INTRODUCTION OF THE TOPIC

What is SWOT Analysis?

SWOT analysis is a basic, straightforward model that provides direction and serves as a

basis for the development of marketing plans. It accomplishes this by assessing an

organizations strengths (what an organization can do) and weaknesses (what an

organization cannot do) in addition to opportunities (potential favorable conditions for an

organization) and threats (potential unfavorable conditions for an organization). SWOT

analysis is an important step in planning and its value is often underestimated despite the

simplicity in creation. The role of SWOT analysis is to take the information from the

environmental analysis and separate it into internal issues (strengths and weaknesses) and

external issues (opportunities and threats). Once this is completed, SWOT analysis

determines if the information indicates something that will assist the firm in

accomplishing its objectives (a strength or opportunity),

SWOT analysis is a general technique which can be applied across diverse functions and

activities, but it is particularly appropriate to the early stages of planning for a TIPD visit.

Performing SWOT analysis involves generating and recording the strengths, weaknesses,

opportunities, and threats relating to a given task. It is customary for the analysis to take

account of internal resources and capabilities (strengths and weaknesses) and factors

external to the organization (opportunities and threats).

SWOT analysis can provide:

A framework for identifying and analyzing strengths, weaknesses, opportunities and

threats.

This checklist is for those carrying out, or participating in, SWOT analysis. It is a simple,

popular technique which can be used in preparing or amending plans, in problem solving

and decision making.

Illustrative diagram of SWOT analysis If SWOT analysis does not start with defining a

desired end state or objective, it runs the risk of being useless. A SWOT analysis may be

incorporated into the strategic planning model. An example of a strategic planning

technique that incorporates an objective-driven SWOT analysis is SCAN analysis.

Strategic Planning,

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Including SWOT and SCAN analysis, has been the subject of much research.

Strengths: attributes of the organization those are helpful to achieving the objective.

Weaknesses: attributes of the organization those are harmful to achieving the objective.

Opportunities: external conditions those are helpful to achieving the objective.

Threats: external conditions that is harmful to achieving the objective.

SWOT analysis can be used for all sorts of decision-making, and the SWOT template

enables proactive thinking, rather than relying on habitual or instinctive reactions.

The SWOT analysis template is normally presented as a grid, comprising four sections,

one for each of the SWOT headings: Strengths, Weaknesses, Opportunities, and Threats.

The free SWOT template below includes sample questions, whose answers are inserted

into the relevant section of the SWOT grid. The questions are examples, or discussion

points, and obviously can be altered depending on the subject of the SWOT analysis. Note

that many of the SWOT questions are also talking points for other headings - use them as

you find most helpful, and make up your own to suit the issue being analyzed. It is

important to clearly identify the subject of a SWOT analysis, because a SWOT analysis is

a perspective of one thing, be it a company, a product, a proposition, and idea, a method,

or option, etc.

Here are some examples of what a SWOT analysis can be used to assess:

a company (its position in the market, commercial viability, etc)

a method of sales distribution

a product or brand

a business idea

a strategic option, such as entering a new market or launching a new product

a opportunity to make an acquisition

a potential partnership

changing a supplier

outsourcing a service, activity or resource

an investment opportunity

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AIRCEL MOBILE SERVICES LIMITED

Strength

Low Entry Cost

Commission Structure

Fast Activation Process

Connectivity

Data GPRS

Brand image

Distribution network

Weakness

Limited product portfolio-

Only Mobile

Network

Lack of Competitive

Strength

Limited Budget

Opportunity

Specialist Application

Rural Telephony

NewMarket,Vertical,

Horizontal

Competitors`

Vulnerabilities

Threat

Political destabilization.

New Entrants

IT Development

Market Demand

Seasonality Weather Effects

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[Fishbone diagram]

CUSTOMERS ARE GOING TO OTHER

WAY

MATERIALSM/C

MAN

MOTHERNATUREMEASUREMENTMETHODS

POOR QUALITY NETWORK & SERVICESWEEK INDOOR

NETWORK

ACCEPATABILITY OF TELESCOPIC TARIFF

CUSTOMER ARE NOT STAYING DUE TO POOR

NETWORK

RETAILER NOT INTENDED IN

PUBLICICITY & NO EDGE ON SCHEME FOR COMPETETION

DSENOT EQUIPED WITH PROPER TOOL TO

ASSISTRETAILER ON POCKET INTERNET

&GPRS

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(2) PROBLEM BEING FACED

Lack of proper network

Competitors

Retailer schemes are not as aggressive as competition

(3) WHAT DOES COMPANY EXPECT TO DO BY SOLVING THE

PROBLEM

Customer Satisfaction

Retailer Satisfaction

Increase in Sale

Sales Promotion

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CHAPTER - 3

METHODOLOGIES

Research problem

Research Objective & sub- objective

Information Requirement

Choice of Research Design

Research Instrument used

Schemes, Products & Sample size

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(1) RESEARCH PROBLEM

Collection of Data of other companies –Tata indicom, Airtel & BSNL

Retailers some time gives wrong data

Limitation of time and money

(2) RESEARCH OBJECTIVE To help in development and introduction of new product

To identify the company position among competitors

To determine those factors which persuade retailers for sale of aircel

sims/product

To find out which type of schemes retailers prefer and why?

To study the effect of irregular supply on the sale of the product

(3) SUB OBJECTIVE To identify the Market potential of aircel

To find out the basic problems of retailers

To find out the performance of Distributor

To find out the problem of network

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(4) INFORMATION REQUIREMENT

Complete Price structure of aircel, Airtel & Tata indi.offer which includes

Sim Processing Fees

Discount Offered

Schemes offered

Service Tax

(5) SOURCES OF INFORMATION

Data collected from the Company

Secondary Data

Internet

Retailers

Distributor

Sales Executives

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(6) SCHEMES, PRODUCTS

AIRCEL PRODUCT

Aircel pocket internet

Aircel Voucher, E-Recharge

Aircel postpaid

Aircel prepaid

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Research Methodology

Research methodology is a way to systematically do the job. It may be understood as

a science of studying how research is done scientifically. The most desirable

approach with regards to the selection of the research methodology depends on the

nature of particular work, time and resources available along with the desire level of

accuracy.

Research Type Descriptive Research

Data Source Primary Data

Research Instrument Questionnaires

Type of Questionnaire Structured

Sampling Unit Retailer

Sampling Method Judgmental

Contact Method Personal Interview

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CHAPTER - 4

Data Analysis & Interpretation

Data Interpretation & Finding of customer Survey

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1. DATA INTERPRETATION OF CUSTOMER‘S SURVEY

Age group – Tabulating in percentage the age group of customers

Above figure shows that researcher having surveyed 18 respondents, 25% belong to

age group 18-28%, 47% belong to age group 28-35%, belong to age group 36-45 and

6% above age of 45.

Age Group Percentage (%)

18-25 25

28-35 47

36-45 22

Above 45 6

0

5

10

15

20

25

30

35

40

45

50

Percentage (%)

18-25

28-35

36-45

Above 45

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Income Level Tabulation

The above analysis shows that 42% of the respondents belonged to the 8000/- and

below income category, 34% belonged to Rs.8000 to 12000 and 18% belonged to

12000-20000 and 6% above income of 20000/-

Income Group Percentage (%)

8000 42

8000-12000 34

12000-20000 18

> 20000 6

0

5

10

15

20

25

30

35

40

45

Percentage (%)

8000

8000-12000

12000-20000

> 20000

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Percentages of customer who are prospective take of a particular service

company Percentage (%)

AirTel 40

AIRCEL 5

MTNL 25

IDEA 2

Vodafone 31

Virgin 2

It was found in the survey that 55% of the respondents intended to purchase either AirTel

or Rim services in the future. Out of this 55% more than ½ (that is 30% of the whole

sample size) intended to purchase AirTel and 25% intended to purchase RIM

Scaling About AIRCEL Service

Scale Percentage

Very good 20

Good 40

Satisfactory 25

Poor 10(Due to network)

Can’t say 5

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The survey revealed that 40% of the respondents service AIRCEL as good. This is a

telling comment. However the survey also found out that 20% and 40% of the

respondents service AIRCEL as very good and good respectively. There were 5% of the

respondents who had nothing to say about the AIRCEL. This is due to network problem.

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This survey reveled that 30% retailers expect low cost benefit brand about Aircel and

rest40% of the retailer want high margine and rest 30 % want both of the above.

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This survey reveled that 50% nature of problem related to network related and rest 30%

is related to claim related and rest 5% related to product availability and rest55% related

to product awareness.

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This survey reveled that 80% we have full information about the consumer as well as

retailer and rest 20% says no full information about the consumer as well as retailer.

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Chapter - 5

Finding

Conclusion

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Retailers Finding

Services provided by Retailers: - All the retailers are dealing in all services i.e. providing Recharge Voucher, SIM, and

Tariff Voucher of all the cellular service companies present in Delhi zone. Also most of

them provide only pre-paid connection.

Satisfaction: - Most of the retailers i.e. around 74% of respondents are satisfied with Aircel brand,

10% of them push Aircel brand to the customer and rest 16% retailers are not satisfied

with Aircel brand due to network problem in some area.

Problems: - Around 15% of the respondents that there is network problem with Aircel, on the other

hand they found its competitors viz. Airtel, MTNL, TATA indicom network connectivity

of very good to good level.

Support from company: - Most of the retailer ensnared that they are supported by the companies’ personnel &

companies’ helpline.

All companies provide POP (Point of presence) at right time and in adequate number.

Quality of POP is not so good. They do not stay for long time.

Claim process:- The process of claim distribution is done by 30 days to the retailers moreover 77%

retailers want immediate claim in there E.top from company.

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Conclusion

o Indian economy is an emerging one and is growing very fast at the

average GDP rate 8-9% so in this emerging market competition level among telecommunication services provides new players are coming who will necessarily intensify the competition.

o New products and new schemes are being offered by the telecom service providers.

o The need for large information capacity has grown tremendously due to the demand of real time information.

o Telecommunication has now become a major information transmission system and telecom has undoubtedly emerged as the

most important industry in India. Indian telecom companies are putting in their best offer to rope in major telecom operators of the

world e.g. Vodafone, Aircel and MTNL etc. are playing their role in synergy with the operation of the Indian companies.

o Process of acquisition and merger are in process and future will be only for those companies who have an edge over others in the field.

o Service provided and the better quality of network etc. is provided at affordable cost.

o In this process of competition it is assumed that only those companies will survive who adopt suitable market strategy and

technology innovation and up gradation to suit the aspiration and demand of the consumer Aircel mobile services ltd is very fast catching up with the market by providing cheaper calling rates.

o The market strategies adopted by its executives are bearing fruits and the company although being the Second one to enter the

market of Bihar & Jharkhand has found a suitable niche and recognition in the consumer.

o But this is not a thing for self contentment as the survey reveals that in network, service and distributor, its place is very far behind

to other competitors viz. Airtel, MTNL, and Tata indicom etc. o To upgrade its quality of network and services is urgently called for

Market access and growth.

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Chapter – 6

Suggestions

Appendices

Recommendations and suggestion

Bibliography

Questionnaire

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Recommendation and Suggestion

On the basis of extensive study and research, here are some recommendation and

suggestion which may help the company to market the product and service more

profitability and increase its share in the Telecom market.

1. PROMOTIONAL ACTIVITIES

The company expands the budget allocation for promotional campaign in center

Bangalore. It has affected the sale service brand image of Reliance especially in

Bangalore. Low supports in promotion have lead to fluctuation in sale

There may be some useful tools which can be summed as follows:-

Advertising – Advertising should have a clear objective and message, which has

not been found in recent ads. Reliance is a faster growing provider service in

each state .every offers and schemes they should show with proper message for

benefit to the customer. In busy life customer do not remembered any offers and

which service we can provided for the customer therefore they should by force

showing advertisement in growing market and among customer .customers

wants continuously exposure in Cable and Local newspapers.

Persuasive Advertising: - Now there is a need of persuasive advertising for

Reliance service which can be moved into the category of ―comparative

advertising‖. It will help the company to establish the superiority of its brand

service through specific comparison of one or more attributes and features.

Technical Expertise: - The advertisement should show the companies expertise,

experience and pride in market the product service sale.

Media:-A combination of print ads and TV commercial do a better job. Local

ads and publicity should be giving more stress. Hoardings, banners, wall painting

should be promoted, as some expenses are also beard by dealers.

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A. SALES PROMOTION

Cash discount

Premiums

Appointment of sale promoter at preferred & big retailers

Financial schemes

B. OCCASIONAL DISCOUNT

The company may go for occasional discount offers or price off from time to time

specially during any festival. Off season discount may also prove helpful to check

fluctuating sales.

C. PRODUCT QUALITY AND TECHNICAL FEATURES

As for as some hand set mobile product quality is concerned, there is an urgent

need of technical up gradation of Reliance mobile product line. It would be

beneficial for company to launch some colors mobile hand set with the some

added feature and minimum price.

Bundle offer should be more aggressive and here bundle with nokia and LG also.

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BIBLIOGRAPHY

BOOKS

Marketing Management - Phillip Kotler

Marketing Research - Tull & Hawkins

MAGAZINE

Business Today

Advertising & Management

NEWSPAPERS

Economic Times

Hindustan Times

WEBSITE

www.aircel.com

The relevant information from the internal source of the organization

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Questionnaire

1. What is the frequency of DSE visit?

o Daily

o Twice a week

o Thrice a week

o None of the above

2. What was the retailer expect about the pre launch of brand aircel?

o Low cost benefit brand

o High margine

o Both of the above

3. What retailer find after launch of brand aircel?

o Good

o Very good

o Satisfactory

o poor

4. Whether DSE properly communicate about the scheme?

o Yes

o No

5. How the retailers feel about the brand aircel?

o Good

o Very good

o Satisfactory

o Poor

6. What nature of problem you face with aircel?

o Network related

o Claim related

o Product availability

o Product awareness

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7. How much quantity of sim card you keep for sale in you shop?

o More than 30

o Less than 20

o Less than 10

o Less than 5

8. Do you have full information about the consumer as well as retailer

Schemes?

o Yes

o No

9. Are you satisfied with the schemes?

o Yes

o No

10. How is the network of aircel?

o Good

o Very good

o Satisfactory

o poor

11. How do you feel about the service of the aircel?

o Average

o Good

o Satisfactory

o Poor

12. How much time is taken by the company to reimburse your claim?

o One month

o Two month

o Three month

o Six month

13. Are you satisfied with the claim reimbursement facility of aircel?

o Yes

o No

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14. Are you fully satisfied with the aircel company?

o Yes

o No

15. Are retailers all the expectation is fulfilled by the company after the launch

in Delhi?

o Yes

o No