TELECOM INDUSTRY

Introduction to
Indian Telecom Industry
 The Indian Telecom sector is third largest network in the
world.
 Average growth rate of over 40% in respect of
subscribers.
 Monthly additions of above 7 million phones.
 Growth impetus from wireless segment with 84% wireless
and 16% wired.
 Rural tele density stands at 7%, while the urban at 57%.
 9 million Internet and 2.5 million broadband subscribers.
 More than a thousand cities have been provided with
broadband connectivity out a total of five thousand cities
 Cont..
 Total Consumer base = 510 mn
 Estimated revenue (FY 09-10) = $43 bn
 Estimated contribution in GDP = 15% by 2014
 Growing at a CAGR of 21 %
 Total Tele-density is 44.87
 Services Offered
 Telephone Services
 NSD/ISD Services
 Computerized Trunk Services
 Pay Phones
 National & International Leased Lines Circuits
 Telex
 Telegraph Services (Manual & Automatic)
 X-25 based Packet Switched Data Network (INET)
 Gateway Packet Switched Data Services (GPSS)
 Gateway Electronic Data Interchange Service (GEDIS)
 Gateway E-Mail and Store & Forward FAX Service (GEMS-400)
 Concert Packet Service (CPS)
 Satellite-based Remote Area Business Message Network
 Electronic Mail
Types of services and its market share
Basic Services
 Basic services encompass fixed

wireline and wireless in local loop

(WLL-fixed) services.

 Wireless services hold a major

market share of 92 per cent in
basic services as compared
to the wireline
 Figures & fact
 Total wireless subscribers in India in June 09 & July
09 are 102367881 & 105177635 respectively.
 Total wire line subscribers in India in June 09 & July
09 are 2827882 & 2861822 respectively.
 Total revenue for Q4 08 is Rs.6376.50 Cr as
compared to Rs.5606.15 for Q3 08 i.e. 13.74%
higher.
PEST ANALYSIS OF INDIAN
TELECOM INDUSTRY - POLITICAL

 Antitrust Regulations
 Environmental
 Protection Laws
 Ta x L a w s
 Special Incentives
 Foreign Trade Regulations
 Attitudes toward foreign Companies
 Laws on hiring and promotion
 Stability of government
 Economical Factors
 Unemployment levels
 Price control
 Devaluation / Revaluation
 Cost
 Inflation Rates
 GDP trend
 Interest rates
 Money supply
 Technological Factors
 Total Government spending for Research &
Development
 Total Industry spending for Research &
Development
 Focus of Technological efforts
 Patent Protection
 New Products
 Technology transfer from lab to marketplace
INTRODUCTION TO BHARATHI
AIRTEL
 7 P’S of Airtel
 PRODUCT
 Airtel pre-paid

 Airtel post-paid

 Blackberry wireless handheld

 Value added services (VAS)

 Different value added services provided by

airtel are-
 Instant balance enquiry

 24Hr recharge facility

 Caller line identification

 Call divert, call wait & call hold

 Multimedia messaging service
 Airtel live portal
 Hello tunes & ring tones
 Voice mail service
 Easy post-paid bill collection
 Gifting of ring tones & hello tunes
 GPRS
Price

 Customer based pricing strategies

 Flexible pricing mechanism
 Controlled by TRAI
place
 It has wide & extensive presence
even in the remotest areas.
 Airtel customer care touch points
 Distributors like
 E.g. Paan shops,grocery
stores,chemists,outlet etc.
Promotion
 Large scale print and video
advertising
 Big celebrities like SRK and Sachin
are roped in to endorse the product.
 In 2002 Airtel got its signature tune
from A.R.Rehman.
 Provides innovations such as
bollywood movie premiers, music
services etc.
People
 Total employees-
 Dedicate and passionate workforce
 One of the best customer support
 Have won 2nd best employer award in 2004
Process
 Process for services is very easy and customer can
avail it very easily.
 121 is the customer support no. which can be dialed
from anywhere in India.
SWOT Analysis
 Strengths
 Largest operator

 PAN India presence

 Having global presence

 First mover advantage

 Innovations

 Strategic alliance
Weakness

 Not having plan like Free local calls & minutes as

their competitors.
 Losing ground among teens & youth against their
competitor like Idea & Virgin
Opportunity
 Only 41.8% teledensity in India.
 Possible expansion in nearest countries

Threats
 Potential entry of global competitor
 Competition from domestic players