MANAGEMENT THESIS 1

FINAL REPORT
A Detailed study on the impact of promotional activities
of Airtel’s broadband services for Mysore East.

BY
N.V.VIBITHA
0801211523

UNDER THE GUIDENCE OF-

Mr. AASHISH ITIGATTI

FACULTY GUIDE

INC, MYSORE

A r e p o r t s u b m i t t e d i n p a r t i a l f u l f i l l m e n t of t h e r e q u i r e m e n t o f
M B A p r o g r a m a t I C F A I U n i v er s i t y .

.
 Faculty Member
INC, Mysore

CERTIFICATE

This is to certify that this management thesis entitled – ‘A

DETAILED STUDY ON PROMOTIONAL ACTIVITIES OF
AIRTEL BROADBAND SERVICES FOR MYSORE EAST ‘
embodies the sincere work done by Ms. N.V.VIBITHA [Enrollment
Number: 0801211523], under my guidance and supervision in the
academic year 2008-2010 in partial requirement for the award in
MBA Program in ICFAI University.
Mr. AASHISH ITIGATTI
Faculty Guide
INC, Mysore

ACKNOWLEGDEMENT

It gives me immense pleasure to thank the following members for

their kind co-operation and guidance towards me during the
completion of my project work.

First of all I take an opportunity to thank Mr.Rajeev Raghvan Centre

Head of INC,Mysore.
I would like to thank Mr. Nikhil Gowda and Mr.Mohammed Abbaz
from Airtel for their continuous support.
I express my sense of deep gratitude to our faculty guide, Mr.
Aashish Itigatti for his kind co-operation and support extended and
for sparing valuable time in guiding and helping me in successful
completion of this project.
A special thanks to my Parents whose consistent encouragement,
blessings and undivided support have paid rich dividends to form a
successful project. Finally, I would like to thank my friends and well
wishers for their enthusiastic support which has directly or indirectly
helped me in making this project a successful one.

DECLARATION

I, Ms.N.V.Vibitha student of MBA of INC, Mysore hereby declare

that this project entitled ‘ A DETAILED STUDY ON THE
PROMOTIONAL ACTIVITIES OF AIRTEL BROADBAND
SERVICES FOR MYSORE EAST ‘ has been prepared by me under
the guidance and supervision of Mr. Aashish Itigatti, Faculty Guide in
ICFAI National College, Mysore.

Place:Mysore
Date :09/11/2009 N.V.VIBITHA
CONTENTS

1. Introduction
2. Industry Profile
3. Company – Overview
4. Literature Review
5. Theoretical Aspects
6. Research Methodology and Design
7. Data collection- Analysis and Interpretations
8. Findings
9. Recommendations
10. Biblography
11. Annexure.
ABBREVATIONS

For this project titled ‘A DETAILED STUDY OF PROMOTIONAL ACTIVITIES OF AIRTEL

BROADBAND SERVICES’ the following abbrevations have been used. They are as follows:

1. ASDL- Asymmetrical Subscriber Data/Digital Line.

2. BWA- Broadband Wireless Access.
3. WIMAX- Worldwide Interoperability for Microwave Access.
4. CPE- Customer/Client Premises/Provided Equipment.
5. DSL- Digital Subscriber Line.
6. ISDL-International Software Design Labs.
7. VPN- Virtual Private Network.
TITLE

The management thesis entitled ‘A detailed study on the impact of sales

promotional activities of Airtel’s Broadband services for Mysore East is an attempt
to understand the promotional activities adopted by the Company and its effect on
the sales for consumers at Mysore east.

SYNOPSIS

Sales promotion is any initiative undertaken by an organization to promote an

increase in sales, usage or trial of a product or service. Sales promotions are
varied. Often they are original and creative and hence a comprehensive list of all
available techniques. Sales promotion includes several communications activities
that attempt to provide added value or incentives to consumers, wholesalers,
retailers or other organizational customers to stimulate immediate sales.

Sales promotion refers to many kinds of incentives and techniques directed

towards consumers and traders with the intention to produce immediate or short
term sales effects. It includes incentive offering and interest creating activities
which are generally short term marketing events other than other promotional mix.
The purpose of sales promotion is to stimulate, motivate and influence the
purchase and other desired behavioral responses of the firm’s customers. Sales
promotion is often referred to by the names of extra purchase value and below the
line selling. Sales promotions targeted at the consumer are called consumer sales
promotions. Sales promotions targeted at retailers and wholesalers are called trade
sales promotions.

Sales promotion can be either at consumer end in pull strategy or at distribution

channels in push strategy.
Consumer sales promotion can be if various kinds they are- coupons, rebates,
money refund, promotional pricing, trade in , loyalty programs, sampling, free
trials, premiums, contests & sweepstakes, demonstrations, personal appearances,
trade sales promotion, point of purchase displays, advertising support programs,
short term allowances, sales incentives or push money promotional products and
trade shows.

The purpose of this research is to stabilize themselves in the market as well as to

retain its identity to find out sales promotional activities in the context of Airtel
broadband services at Mysore.
INTRODUCTION TO THE STUDY

The management thesis which I was done as a part of my studies is “A Detailed

Study on the Impact of Promotional Activities of Airtel Broadband Services
for Mysore East. The study I conducted provided me an excellent opportunity to
implement all that I have learnt in my class room sessions in the practical outfield.

The Bharti AIRTEL landline and broadband services has there in the market of
Mysore City for last four and a half years. In this four and a half year time they
have made there own identity in the market has a landline and broadband service
provider with a good number of high pulsing customers. Among those good
pulsing customers the households and business class customers are also one of
them. AIRTEL mainly focus on the customers who pays the average monthly bill
amount ranging between Rs 499/- to Rs 1899/-. I am doing my thesis on this
particular topic due to the reason that I believe it will help me know more about
the marketing strategy, competitiveness and also about the customer behavior. My
thesis will help the company to know more about their strength, customers and the
area where they have to concentrate more and also about their competitor’s
strategy. This will also help the company to build a good relationship with the
customers.
 INDUSTRY PROFILE

Broadband is a collective term for a group of technologies that enable high-

speed Internet access, at speeds of up to two megabits per second (Mbps). That
is up to 40-times faster than the conventional dial-up medium. This industry in
India is still growing and has a long way to go in terms of stabilized industry in
India.
Broadband services were launched in India in 2005. ADSL services now cover
300towns with a combined 1.5 million connections, while broadband wireless
subscriber figures are still negligible. While low broadband penetration is a
clear opportunity for BWA/WiMAX, the market take off will require sufficient
spectrum, very low cost CPE and affordable end-to-end connectivity, including
the computing platform. A country where broadband's average revenue per user
(ARPU) is estimated at US$8-10 requires very low equipment cost. In
fact, Huawei is already delivering DSL modems at US$13 to Indian operators.

The Indian telecom sector operates in a volume-driven market. If the broadband

market in India grows to meet the government's revised targets, it might spur
one of the world's largest broadband wireless markets. For example, target
broadband connections have been currently revised to 20 million by 2010.
Quite likely the majority of these will be wireless broadband connections
because of the poor wire line infrastructure in place.

The telecom industry is one of the fastest growing industries in India. India has
nearly 200 million telephone lines making it the third largest network in the world
after China and USA. With a growth rate of 45%, Indian telecom industry has the
highest growth rate in the world.

History of Indian Telecommunications started in 1851 when the first operational

land lines were laid by the government near Calcutta (seat of British power).
Telephone services were introduced in India in 1881. In 1883 telephone services
were merged with the postal system. Indian Radio Telegraph Company (IRT) was
formed in 1923. After independence in 1947, all the foreign telecommunication
companies were nationalized to form the Posts, Telephone and Telegraph (PTT), a
monopoly run by the government's Ministry of Communications. Telecom sector
was considered as a strategic service and the government considered it best to
bring under state's control.

The first wind of reforms in telecommunications sector began to flow in 1980s

when the private sector was allowed in telecommunications equipment
manufacturing. In 1985, Department of Telecommunications (DOT) was
established. It was an exclusive provider of domestic and long-distance service that
would be its own regulator (separate from the postal system). In 1986, two wholly
government-owned companies were created: the Videsh Sanchar Nigam Limited
(VSNL) for international telecommunications and Mahanagar Telephone Nigam
Limited (MTNL) for service in metropolitan areas.

In 1990s, telecommunications sector benefited from the general opening up of the

economy. Also, examples of telecom revolution in many other countries, which
resulted in better quality of service and lower tariffs, led Indian policy makers to
initiate a change process finally resulting in opening up of telecom services sector
for the private sector. National Telecom Policy (NTP) 1994 was the first attempt to
give a comprehensive roadmap for the Indian telecommunications sector. In 1997,
Telecom Regulatory Authority of India (TRAI) was created. TRAI was formed to
act as a regulator to facilitate the growth of the telecom sector. New National
Telecom Policy was adopted in 1999 and cellular services were also launched in
the same year.

Telecommunication sector in India can be divided into two segments: Fixed

Service Provider (FSPs), and Cellular Services. Fixed line services consist of basic
services, national or domestic long distance and international long distance
services. The state operators (BSNL and MTNL), account for almost 90 per cent of
revenues from basic services. Private sector services are presently available in
selective urban areas, and collectively account for less than 5 per cent of
subscriptions. However, private services focus on the business/corporate sector,
and offer reliable, high- end services, such as leased lines, ISDN, closed user
group and video conferencing.

Cellular services can be further divided into two categories: Global System for
Mobile Communications (GSM) and Code Division Multiple Access (CDMA).
The GSM sector is dominated by Airtel, Vodafone-Hutch, and Idea Cellular, while
the CDMA sector is dominated by Reliance and Tata Indicom. Opening up of
international and domestic long distance telephony

services are the major growth drivers for cellular industry. Cellular operators get
substantial revenue from these services, and compensate them for reduction in
tariffs on airtime, which along with rental was the main source of revenue. The
reduction in tariffs for airtime, national long distance, international long distance,
and handset prices has driven demand.

Market Share of Public and Private Players

Both fixed line and mobile segments serve the basic needs of local calls, long
distance calls and the international calls, with the provision of broadband services
in the fixed line segment and GPRS in the mobile arena. Traditional telephones
have been replaced by the codeless and the wireless instruments. Mobile phone
providers have also come up with GPRS-enabled multimedia messaging, Internet
surfing, and mobile-commerce. The much-awaited 3G mobile technology is now
entered the Indian telecom market. The GSM, CDMA, WILL service providers are
all upgrading themselves to provide 3G mobile services.

Along with improvement in telecom services, there is also an improvement in

manufacturing. In the beginning, there were only the Siemens handsets in India but
now a whole series of new handsets, such as Nokia's latest N-series, Sony
Ericsson's W-series, Motorola's PDA phones, Apple iphone, Blackberry mobile
etc. have come up. Touch screen and advanced technological handsets are gaining
popularity. Radio services have also been incorporated in the mobile handsets,
along with other applications like high storage memory, multimedia applications,
multimedia games, MP3 Players, video generators, Camera's, etc. The value added
services provided by the mobile service operators contribute more than 10% of the
total revenue.
 Public
Private 48%
52%

The telecom sector in the country has already adopted the latest technological
advancements to cater to the demands of the growing market. Telecom Expo India,
Convergence India, VAS India and IPTV India being organized year to year are all
efforts in this direction. Moreover, with cheaper handsets and lesser tariffs, it is
expected that by the year 2010 there will be over 500 million subscribers in the
Indian telecom market. Also, the telecom industry this year will be focusing more
on rural areas to connect them with the urban areas so that the farmers and the
small-scale industries can have faster access to information related to weather and
market conditions.
COMPANY PROFILE

Telecom giant Bharti Airtel is the flagship company of Bharti Enterprises. The
Bharti Group, has a diverse business portfolio and has created global brands in the
telecommunication sector. Bharti has recently forayed into retail business as Bharti
Retail Pvt. Ltd. with Wal-Mart for the cash & carry business at Amritsar, Punjab in
May 2009. It has successfully launched an international venture with EL
Rothschild Group to export fresh agri products exclusively to markets in Europe
and USA and has launched Bharti AXA Life Insurance Company Ltd under a joint
venture with AXA, world leader in financial protection and wealth management.

BHARTI AIRTEL LTD started in July 7 1995.Its head quarters is at Delhi.

In 1998 company started their first land line operation. Airtel is the name of their
brand. AIRTEL stands for Affectionate, Interested, Respectful, Tolerant, Energetic
and loving .Their logo is “Think fresh Deliver More”. Their first company is
Bharti Cellular Limited under the brand name of Airtel. Another one is Bharti Tele
Sonic Ltd under the brand name of India One. Then Bharti Tele Net Ltd under the
brand name of Touch Net. Another one is Bharti broad band Ltd under the brand
name of Manthra Online. The companies Bharti Telenet Ltd and Bharti Broadband
Ltd combined together and form Bharti Broadband and Teleservices Ltd. After
sometime the companies Bharti Telesonic Ltd and Bharti Broadband and
Teleservices Ltd combined together and form Bharti Infotel Ltd. In 13th September
2004 all the four companies combined together and form Bharti AIRTEL Ltd.
Bharti Airtel is one of India's leading private sector providers of
telecommunications services with more than 79 million subscribers as of
December 2008.
 Bharti Enterpises, India’s leading provider of state-of-the art
telecommunications services is the power behind Airtel Broadband Services
India. Bharti Airtel, as the company is known, directly manages three lines
of businesses under its subgroup. The three are as follows: broadband and
telephone services, mobile services, and enterprise solutions.

 The broadband and Internet connection service falls under the data services
provided by Airtel’s broadband and telephone services arm. Bharti
Enterprises is actually the first ever privately owned company to have
successfully setup a satellite-based gateway for its Internet access service. In
the same way, they have effectively launched India’s first private submarine
communication cable systems. This particular feat is made possible through
partnership with Singtel. Consequently, the data services provided by the
Airtel broadband and Internet connection service is further grouped into
DSL, ISDL, Leased Line, VPN, and Wi-fi categories.

 Airtel’s DSL plans are enforced with an unlimited Internet game playtime
scheme. Every subscription of Airtel DSL gives the client the ability to play
all the games provided in Airtel’s game server, without any game-client
download charges. Also, this game server that Airtel exclusively hosts is
fully reliable, expandable, and is updated with new games every month.
Aside from unlimited playtime, subscribers also get to enjoy music
downloads, audio/video messaging, and Internet call services. Airtel comes
to you from Bharti Airtel Limited, India’s largest integrated and the first
private telecom services provider with a footprint in all the 23 telecom
circles. Bharti Airtel since its inception has been at the forefront of
technology and has steered the course of the telecom sector in the country
 with its world class products and services. The businesses at Bharti Airtel
have been structured into three individual strategic business units (SBU’s) –

1. Mobile Services
2. Airtel Telemedia Services
3. Enterprise Services.

The mobile business provides mobile & fixed wireless services using
GSM technology across 23 telecom circles while the Airtel Telemedia Services
business offers broadband & telephone services in 95 cities. The Enterprise
services provide end-to-end telecom solutions to corporate customers and
national & international long distance services to carriers. All these services are
provided under the Airtel brand.

 On the other hand, Airtel’s ISDN service can be considered as an enterprise

solution that provides for high-speed voice with simultaneous data access.
Airtel’s ISDN line is fully digital – and simply that translates to superior
voice quality despite real-time data transfers and exchanges. And the best of
feature of Airtel’s ISDN service is that subscribers get to pay for the actual
usage of the service only and nothing more, nothing less.

Bharti Airtel is currently working hard to become India’s most admired brand
in telecommunication services. They are striving to be loved by their own
customers and longs to be considered as a benchmark by a lot of related
businesses nationwide. They are also aiming to be home to India’s greatest
talents working in the field of telecommunications.
 Airtel’s broadband services start at 64 kbps speed to as fast as 256 kbps for
home users. Business plans, on the other hand, are offered either at 256 kpbs or
512 kbps speeds. Business plan DSL 10995 subscribers also get free two static
IP address necessary for some of their important business applications.

Telecom giant Bharti Airtel is the flagship company of Bharti Enterprises. The
Bharti Group, has a diverse business portfolio and has created global brands

VISION AND PROMISE

 By 2010 Airtel will be the most admired brand in India:

 Loved by more customers
 Targeted by top talent
 Benchmarked by more businesses
 “We at Airtel always think in fresh and innovative ways about the needs of
our customers and how we want them to feel. We deliver what we promise
and go out of our way to delight the customer with a little bit more”.

BOARD OF DIRECTORS

The board of directors of the Company has an optimum mix of executive and non-
executive directors, which consists of two executive and fourteen non-executive
directors. The Chairman and Managing Director, Mr. Sunil Bharti Mittal, is an
Executive Director and the number of Independent Directors on the Board is 50%
of the total board strength. The independence of a director is determined on the
basis that such director does not have any material pecuniary relationship with the
Company, its promoters or its management, which may affect the independence of
the judgment of a Director. The board members possess requisite skills, experience
and expertise required to take decisions, which are in the best interest of the
Company.
The composition of the Board is as under:

The Board of Directors of the Company has an optimum mix of Executive and
Non-Executive Directors, which consists of three Executive and fifteen Non-
Executive Directors.

The Chairman and Managing Director, Mr. Sunil Bharti Mittal, is an Executive
Director and the number of Independent Directors on the Board is 50% of the total
Board strength. The independence of a Director is determined on the basis that
such director does not have any material pecuniary relationship with the Company,
its promoters or its management, which may affect the independence of the
judgment of a Director.
The Board members possess requisite skills, experience and expertise required to
take decisions, which are in the best interest of the Company. The composition of
the Board is as under:

Mr. SUNIL BHARTI MITTAL

Chairman & Group Managing Director -BHARTI ENTERPRISES

Following are the board of directors of Bharti Airtel :-

 Rajan Bharti Mittal

 Rakesh Bharti Mittal
 Akhil Gupta
 Chua Sock Koong
 N. Kumar
 Kurt Hellstorm
 Donald Cameron
 Paul O’Sullivan
 Professor V.S. Raju
 Pulak Chandan Prasad
 Bashir Abdullah Currimjee
 Gavin Darby
 Syeda Imam
 Ajay Lal
  York Chye Chang
 Arun Bharat Ram
 Paul Donovan

SERVICES PROVIDED BY AIRTEL BROADBAND SERVICES.

Airtel Telemedia Services:

Airtel is offering broadband & Internet services a over 100 cities in

India. It is powered by DSL technology which gives you blazing-fast; secure
Internet access as soon as you switch on your computer. It also gives you the
power of limitless discovery on Internet – from shopping to banking, paying
bills to making new friends and not to mention endless fun & learning for
children. The special features of Airtel broadband services are,

 Why wait to connect - With Airtel Broadband, the internet is always ON,
always available. No more waiting for dial-up to connect. You are ready
to use the internet as soon as you switch on your computer.
 Power Surfing - With speed of up to 2Mbps, feel the excitement of doing
more on Internet. Shop, download MP3, exchange heavy files and chat at
an enviable speed, all thanks to an extensive Broadband Services
infrastructure. No more disconnections in the middle of download.
 Surf while you talk - No more missed calls or blocked telephone lines
while using the internet. Airtel Broadband Services connection does not
 block existing telephone lines and allows one family member to use the
phone while another member surfs the net.
 Robust installation - The world class infrastructure & end-to-end digital
network of underground copper cable lines ensure an extremely robust
connection that eliminates the risk of damage. Superior server
technology and a dedicated port provide total security to data storage and
information exchange through the Internet.
 24x7 customer supports – The 24x7 customer support unit helps you to
serve better. It works for round-the-clock, 365 days a year. The customer
feedbacks are carried out with great care.
 Speed on demand – The customer can enjoy a dedicated speed of up to 2
Mbps without having to change your subscription plan. What’s more,
you only pay for what you use.
 Airtel PC security - Airtel along with F–Secure, one of the best in PC
security, provides you with a service that tries to answer a Broadband
customer’s most frequently asked question “Is my PC safe?”.
 Payment options – Airtel offers you a number of payment methods like
cash payment, ECS- Easy payment method, Credit card method, check
drop boxes, online payment. You can choose any one of the method for
paying the cash.

Services:

The services offered by Airtel Broadband & Internet are listed below:

1. Video Surveillance Solutions

 With this service you can observe your office, warehouse, shop and
staff from your PC from anywhere and at all times, with the Video Surveillance
Solution.

2. In Touch
In Touch is a great way to stay connected. It is an easy-to-use personal
communications service that connects you with your friends and family, using a
PC or a TV and a Broadband (high speed) Internet connection. With In Touch
you can do various activities like Video & Audio messaging, video & Audio
Calling, Video Postcard TM service etc.

3. NetXpert
NetXpert is automated broadband care technology. Globally accepted
and successfully used by over 38 million customers worldwide, the NetXpert
provides immediate solutions for Internet connectivity related problems. The
NetXpert helps in the speedy installation and activation of the Broadband
connection on your PC. Thereafter, it helps to identify any system or network
problems that may come up from time to time. With NetXpert, you can detect
and repair most problems, all by yourself, and experience the joys of
uninterrupted Broadband.

4. Online Tests
Airtel Broadband Services offer you online competitive tests for GRE,
GMAT, SAT and MBA, from the comfort of your home.

5. Wifi
Wifi is a wireless technology brand by the Wifii Alliance that gives you
a host of fantastic advantages ranging from reliability to security. The simple
installation procedure gives you access to unsurpassed performance instantly.
 Common applications for Wifi include Internet and VoIP phone access,
gaming, and network connectivity for consumer electronics such as televisions,
DVD players, and digital cameras. Just like cell phones, televisions and radios,
the wireless network also uses radio waves.

Products of Bharti Airtel Broadband and Telephony Services.

 DEL – Direct Exchange Line – Land line Phone (Voice)

 DSL – Digital Subscriber Line – for data
 Telephone Instrument
 Touchnet Dial-up-service

Business focus of Bharti Airtel Broadband and Telephony Services.

 Operational excellence
 Reducing churns
 Tightening cost
 Utilizing capacity

Quality Policy of Bharti Airtel broadband and Telephony Services.

 Reduction of error level.

 Reduction of operating cost.
 Reduction of cycle time.

Organizational Culture of Bharti.

  Cut hierarchy to where knowledge resides.

 Act transparently and couragebly.

Process focus of Bharti Airtel broadband and Telephony Services.

 Process standardization and customization

 Best practice replication
 Speed of urgency

Strategy Of Bharti Airtel Broadband And Telephony Services.

 Centralized reporting system

Customers of Bharti Airtel Broadband and Telephony Services.

 Residents

 Small and middle enterprises

 PCO’s(public call office)

 Corporate’s
Competitors Of Bharti In Broadband And Telephony Services.

 Bsnl
 Relience
 Tata indicom
PROMOTIONAL STRATEGY

After the liberalization of the Indian Telecom Sector in 1994, the Indian cellular
market witnessed a surge in cellular services. By 2005, there were a total of 12
players in the market with the five major players being Bharti Tele-Ventures
Limited (Bharti), Bharat Sanchar Nigam Limited (BSNL), Vodafone-Essar limited
(Vodafone), Idea Cellular limited (Idea) and Reliance India Mobile (RIM).

All the players except RIM offered services based on the Global System for
Mobile (GSM) technology. RIM provided services based on Code Division
Multiple Access (CDMA) technology as well as GSM.

As competition in the telecom arena intensified, BHARTI AIRTEL took new

initiatives to woo customers. Prominent among these were - celebrity
endorsements, loyalty rewards, discount coupons, business solutions and talk time
schemes. AIRTEL has used most number of celebrities for advertisements. The list
includes-Sachin, Shahrukh khan, Rehmaan, Saif Ali Khan, Kareena Kapoor,
Zaheer Khan Etc.The most important consumer segments in the cellular industry
were the youth segment and the business class segment. The youth segment was
the largest and fastest growing segment and was therefore targeted most heavily by
cellular service provider.
Bharti Tele-Ventures adopted celebrity endorsement as its chief promotional
strategy. By 2004 it emerged the unprecedented leader commanding the largest
market share in the cellular, fixed line and broadband service market.

The popular techniques that are undertaken by Airtel Broadband for sales
promotion at Mysore are as follows-

1. Point of purchase displays- when a person walks into any Airtel store
anyone can find a wide range of point of purchase displays regarding
broadband connection. When a consumer steps into a store he/she sees these
displays and this turns out to willingness to purchase.

2. Tele calling- If you are having a Airtel landline at home the Airtel customer
care calls the customers at regular intervals to create awareness and educate
them about their broadband connections and wide offers.

3. Sales Executives- sales executives of Airtel gather database and approach to

the consumers who are having Aitrtel landlines and who have a personal
computer or laptop at their place then they promote their broadband services
by explaining the features and offers in detail.

4. By directmail- this is another way of sales promotion where in the brochures

and leaflets of broadband service are posted along with the landline bills to
the consumer. In this way the consumer is attracted towards the broadband
service.

5. Billboards, print media and banners etc are used widely as sales promotional
methods to attract consumers.
 6. Along with these Airtel also undertakes advertising and sales promotional
activities aggressively by sponsoring in trade shows & events and they also
participate in fairs and exhibitions locally.

RESEARCH DESIGN AND METHODOLOGY

MARKETING RESEARCH

Definition of marketing research is approved by the board of the American

Marketing Association (AMA) is:

“Marketing research is the functions which links the customer and public

to marketer through information used to identity and define marketing

opportunities and problems; generate define and evaluate, marketing

actions, monitor marketing performance, and improve understanding of

Marketing as a process”.

Simply, marketing research is the systematic design, collection, analysis and

Reporting of the data findings relevant to a specific marketing situation

facing the company. Careful planning through all stages of the research is a
necessity.

Objectivity in research is all- important. The heart of the scientific method is

The objective gathering and analysis of the information.

The function of marketing research within a company is to provide the

Information and analytical inputs necessary for effective planning of future

marketing activity, control of marketing operations in the present and evaluation of
marketing results.

A research may undertake any of three types of research investigations

depending upon the problem. These three types of research included.

Basic research, Applied research and Designated fact gathering.

Steps in Marketing Research Process

Marketing Research Process can be carried out through the following steps:

Define the problem and research objectives

Develop the research plan

Collect the information

 Analysis and interpretations

Present the findings.

OBJECTIVES OF THE STUDY.

The Management Thesis study helps the student to check whether the theory and practice
actually matches. Organizational exposure helps the student to know how effectively
they performed in the market.

The primary objectives of the study was,

To study the relationship between various promotional strategies on sales volume.

To study how sales promotional tools helps to increase sales and retain customers.

To know the demographic factors is influenced by sales promotional strategies.

SCOPE AND NEED FOR THE STUDY.

 Today, for any organization or firm to survive in this competitive
world depends on its ability to be dynamic and be different from the competition to
be unique in the industry. Customer Satisfaction helps every organization to keep
the existing customer and to build new customer. This research is aimed at
profiling the standard customer with an aim to increase the network and improve
company-customer relations. The information gathered through this research can
be used by the company to improve its services and became more customers
friendly. This can increase the goodwill of the company and its overall
performance.

Thus this study is aimed to provide the management with some knowledge about
its status in market both in terms of sales and customer awareness. The research
also aims to provide some ideas to improve the company’s present condition. The
following can be the scope for the study :

1. To understand the promotional activities for Airtel Broadband services.

2. To gain knowledge about the basic principles and concepts of sales

promotion.

3. To understand the influence of sales promotion of the company and does

this has any association in their buying pattern incurred through this.

RESEARCH METHOLOGY:
The success of the analysis mostly depends on the methodology on which it is
carried out. The appropriate methodology will improve the validity of the findings.
It is very important to have a suitable research methodology. For my Management
thesis1 entitled, A Detailed study on the impact of sales promotional activities of
Airtel’s broadband services for Mysore East. I collected primary and secondary
data to analyze and identify the impact of the promotional strategies and sales
volume and customer satisfaction in the Organization.

Area of the study:

The study was mainly concentrated on Mysore city-East.

Research Design:
Descriptive Research: Descriptive research includes survey and fact-
findings enquire of different kinds involving a detailed survey by a questionnaire
issuing to respondents/customers of Airtel Broadband Services.

Data Collection:
The study is based on the data collected through primary and secondary
sources.

Primary Data:
An interview schedule was designed to collect primary data from
various broadband users ie customers by a questionnaire survey.

Secondary Data:
Secondary data was collected from journals, magazines, web sites and
from other relevant publications.

Sampling Design:
 The sampling design mainly consists of the sample taken for the study
along with the sample size, sample frame and sampling method.

Sample Universe:
All customers using broadband connection in Mysore East was taken as the
sample universe . People residing in Mysore East who are salaried, businessmen,
professionals, households, students and others.

Sample Size:
From the universe, sample sizes of 100 customers were selected for the
purpose of the study.

Sample Unit :

The customers in the age group of 18 to 60 years is taken as the sample unit.

Sample Frame:
The customers were selected on a random basis from which the
respondents were selected based on convenience.

Sampling Method:
Convenience sampling was used, based on the willingness and
availability of the respondents. The study was conducted on consumers with
different type of business.

Research period
The time for the project is approximately 3 months in which the
collection of data, interpretation, analysis, conclusion and the objectives of
the study should be justified.
STATISTICAL TOOLS:

The aim is to present a clear idea of research procedure that will be followed in the
study. The study is causal in nature as it shows the impact of sales promotion on
sales volume.

Hypothetical testing and correlation are the statistical tools helpful to indicate the
impact of sales promotional strategies on sales volume for Airtel Broadband
services, Mysore.

Hypothetical testing begins by making assumption about the population parameter.

Then we gather sample data and determine sample statistic. To test the validity of
our hypothesis the difference the hypothesized population parameters is calculated.
If the actual value is large, we reject our hypothesis. If the value is small we accept
it. And Chi-Square test is undertaken to test the hypothesis.

Correlation is a statistical tool that helps to measure and analyze the degree or
extent to which two or more variables fluctuate with reference to one another.
In other words, if the change in one variable affects a change in the other variable,
the variables are said to be correlated.
DATA COLLECTION
ANALYSIS AND INTERPRETATIONS.

QUANTITATIVE ANALYSIS.
Testing of hypothesis by Chi- Square test to know relationship between age group
and promotional activities and sales.
Age group/ Successful Unsuccessful Total
Sales
20-35 43 7 50
a b
36-50 28 22 50
c d
Total 71 29 100

Solution-
Ho- There is a relation between age group and sales promotional activities.
Ha- There is no relation between age group and sales promotional activities and
sales.
By Chi-square test-
X2 cal = N (ad-bc)2 / (a+b) (c+d) (a+c) (b+d)
= 100 (946-196)2 / (50) (50) (71) (29)
= 56250000/5147500
X2 cal = 10.93
Degree of freedom is 1.
Test of significance is 5%
K = 3.84
As X cal value is greater than k value so Ho is rejected and Ha is accepted.
So there is no relation between age group and sales promotional activities.

CORRELATION
Sales Advertising x=X- X y=Y-Y
(X) (Y) x2 y2 xy
50 15 -15 -3 225 9 45 Y- is in 000s
60 18 -5 0 25 0 0 and both the
65 16 0 -2 0 4 0 values X and
70 22 5 4 25 16 20 Y are on a

71 20 6 2 36 4 12 monthly

69 18 4 0 16 0 0 basis.

65 17 0 -1 0 1 0
70 18 5 0 25 0 0 Mean X =
ΣX =520 Σx2 = Σy2 = 520/8 = 65
ΣY = 144 Σx = 0 Σy = 0 352 34 Σxy = 77 Mean Y =
144/8 = 18
So Correlation ‘r’ is as follows-

r = 0.704 indicates that there is a positive relationship between the sales and
promotional activities of the company. So when advertising and promotional
activities are increased then the sales of the company also increase.
What type of internet connection is used at your place?

Table showing the type of connection used in the organizations

Table 1

Connection type No. of respondents Percentage

Broadband 100 100

Dial-up 0 0

GPRS 0 0

Others 0 0

Total 100 100

Chart 1
 100
100
90
80
70
60
50
East
40
30
20
10
0 0 0
0
Broadband Dial-up GPRS others

The Interpretation is that all of the sample units were using Broadband connection
and none of them were using other type of connection at their place.

How did you get to know about Airtel broadband service?

Table 2

Medium No. of respondents Percentage

Advertising 50 45
Friends 24 22
Existing Users 30 27
Others 7 6
Total 100 100

Chart 2
 6%

27% A dv ertising
45%
Friends
Exis ting Us ers
Others

22%

Maximum of 45% of respondents are educated by the advertising medium, 27% of

them are through existing users, 22% from friends and 7% of them by other
mediums.

Did advertising and sales promotion make an impact for your purchase?
Table 3
Result No. of respondents Percentage
Yes 71 71
No 29 29
Total 100 100

Chart 3
 29%

Yes
No

71%

Up to 71% respondents feel that sales promotional activities were the impact for
their purchase and rest 29% do not agree.

Why do you prefer Airtel broadband connection?

Table 4

Characteristic No. of respondents Percentage

s
Offers 13 13
Service quality 37 37
 Speed & security 30 30
of Data
Brand Name 20 20
Total 100 100

Chart 4

Offers
Brand Nam e Offers
Service quality
20% 13%
Speed & Security
Brand Nam e

Service quality
Speed & Security 37%
30%

T
The interpretation is that only 13% of the customers preferred Airtel broadband because of
offers. The highest 37 % of the customers preferred Airtel because of the quality of service
offered by Airtel. The second most 30% of the customers have preferred because of the Speed of
internet service. It also shows the brand name also has some implication before choosing Airtel
Broadband services. 20% of the customer has chosen Airtel because of the brand name ‘Airtel’.

Table showing customer rating of speed of Data transmission

Table 5

Ranking No. of respondents Percentage

Poor 6 6
Fair 21 21
Good 55 55
Very good 16 16
 Excellent 2 2
Total 100 100

Chart 5

Ve ry good Excellent Poor

16% 2% 6% Poor
fair
21% fair
Good
Very good
Excellent

Good
55%

Around 55% of the customers rated the speed of data transmission is very good in
Airtel broadband. Only 6% of the customers are worried about the speed. 2% of
the customers rated it as Excellent.

Table showing customer rating of Safety of Data transmission

Table 6

Ranking No. of respondents Percentage

Poor 6 6
Fair 20 20
Good 47 47
Very good 22 22
Excellent 5 5
 Total 100 100

Chart 6

Excellent Poor
Poor
Very good 5% 6% fair
fair
22% 20%
Good
Very good
Excellent

Good
47%

The interpretation is that 47% of the customers rate safety of data as good. 22 % of
customers ranked it as very good. Only 6 % of the customer feels it as bad. The
customer who ranked it excellent contributes 5 % of the sample size.

Table showing customer ranking of usage experience

Table 7

Ranking No. of respondents Percentage

Poor 10 10
Fair 15 15
Good 38 38
Very good 25 25
Excellent 12 12
Total 100 100
 Chart 7

Excellent Poor Poor

12% 10% fair fair
Very good 15% Good
25% Very good
Excellent
Good
38%

The interpretation is that around 38% of the customers has ranked the usage
experience was good. 25% of the customers ranked it as very good. 12% of the
customers ranked it as excellent. Also 10 % of the customer rated it as poor.

Table showing customer rating of after sales service

Table 8

Ranking No. of respondents Percentage

Poor 13 13
Fair 14 14
Good 35 35
Very good 26 26
Excellent 12 12
Total 100 100
 Chart 8

Excellent Poor
12% 13% Poor
fair fair
14%
Good
Very good Very good
26% Excellent

Good
35%

The interpretation is that, 12% of the customer has rated the after sales service as
excellent. Some 26 % rated it as very good and 35% as good. But the concern is
that 13 % of the customer also feel that the after sales service is poor.

Are you aware of some other service in this category?

Table 9

Result No. of respondents Percentage

Yes 100 100
Total 100 100

Chart 9
 100%
90%
80%
70%
60% 100 Series1
50%
40%
30%
20%
10% 0
0%
Yes No

100% of respondents are aware of other broadband services in this category.

Table showing Rating of Airtel broadband with other competitors in the same
category

Table 10

Ranking No. of respondents Percentage

Best 45 45
Better 35 35
Average 10 10
Worse 10 10
 Total 100 100

Chart 10

10%

10%

Best
45%
Better
Average
Worse

35%

About 45% of respondents feel that Airtel is best, 35% feel its better and 10% feel
its average and worse.
 FINDINGS

1. Quality of the service provided plays an important role in keeping the existing
customers and to bring new customers.
2. In most of the organization, Internet plays an important role in the day to day
activities.
3. Most of the organizations prefer broadband connection over other type of
connection because of speed and other compatibility of service.
4. A number of the organization preferred Airtel because of the quality of service
provided and also for the speed of data transmission.
5. Many customers have rated the speed of data transmission is very good. Some
customers had complaints regarding the speed. This is mostly due to number of
systems connected by single broadband connection.
6. The safety and security of Airtel network is rated very well by most of its
customers. Safety of data is very important in any type of organization. Airtel
with its own PC security suite helps organizations protect its data from theft
and prevents it from harmful attacks.
7. After sales service plays essential part of customer satisfaction. More than 10%
customers have complaints regarding the after sales service of Airtel
broadband. But a number of customers have reported it excellent and very
good.
8. Customers feel Airtel broadband was much better than other competitive
products of the same category. This shows the place Airtel has achieved in the
minds of the customer in Mysore region.
9. The overall satisfaction level is very high among customers.

RECOMMENDATIONS
I would like to give my suggestions which the company can make use of:-
1. The customer rate quality of the service as the most relevant one and hence
Airtel Broadband services should maintain the quality in services and should
make improvements in this feature.
2. Some customers are planning to discontinue because of high billing and after
sales service is not good. Though it is a small percentage the company should
focus on these to keep the brand image in the minds of people.
 3. If any complaint is observed from the customers, it should be dealt quickly.
This will reduce the chance for dissatisfaction.
4. Many dissatisfied customers asked for more information about other plans or
change of plans. So the dissatisfaction may be due to providing wrong plans
by the sales persons. So the company can make use of this opportunity to
retain its customers by providing the right plans.
5. There is a huge market potential for broadband services in the city so the
company should take care of more promotional activities in which
advertisement plays and effective role and hence to have a competitive edge
over other brands.
6. Lack of awareness about the plans is high among customers. So the company
must provide an awareness program about the specialized plans for them.
7. The detailed billing is provided as a value added service in Airtel broadband.
It is free of cost in its competitors like BSNL. So the company could provide
the service as free of cost. It will help customers clear their doubts about
billing and hence to improve their satisfaction level.

CONCLUSION

Airtel is one of the powerful brand in India and it has been successful in creating a
strong impression on the consumer minds with its varied products and offerings to
consumers on a huge scale to deliver its customers at its best.
The overall objective of the study was to find out how the customer’s impact on
sales promotional activities of Airtel broadband services and to find out their
satisfaction towards the service against its competitors. The study revealed the
picture of customers perception and satisfaction which help Airtel broadband to
encourage more people to be the customers/consumers of Airtel Broadband.

BIBLIOGRAPHY

T o obtain more information regarding the present study and to substantiate it with
theoretical proof, the following references were made:

Marketing Management by Philip Kotler

Marketing Management by ICFAI publications
Marketing Research by ICFAI publications
Business Research Methods by ICFAI publications
Quantitative Methods by ICFAI publications.
Other jounals.

Internet and website sources are-

www.google.com
www.bhartiairtel.com
www.airtelbroadband.in
www.wikipedia.com

ANNEXURE
 QUESTIONNAIRE

QUESTIONNAIRE

Dear Sir/Madam, I N.V.Vibitha a student of INC, Mysore currently doing a project with
Airtel at Mysore would be indeed grateful to your co-operation is deeply socliated to
provide the relevant information in filling this questionnaire.
The purpose of preparing this questionnaire is to try and understand the effectiveness of
sales promotional activities undertaken by Airtel Broadband Services at Mysore East. I
assure that the information will be kept confidential.

Please tick at the place that matches your opinion.

 Name of the respondent -
Contact No and address -
Occupation -
Age-

1. Do you have internet connection at your home or workplace?

Yes [ ] No [ ]

2. If yes, what kind of internet connection are you using currently?

Broadband [ ] GPRS [ ]

Dial-up [ ] others (Wireless...)

3. Which is the current service provider at your place?

AIRTEL [ ] TATA INDICOM [ ]

RELIANCE [ ] BSNL [ ]

OTHERS [ ]

4. How did you get to know about broadband service given by Airtel?

Advertising [] Friends [ ] Exisisting Users [ ] Others [ ]

5. Did advertising and sales promotion make an impact for your purchase?

Yes [ ] No [ ]

6. What makes you to prefer Airtel Connection at your place?

Offers [ ] Quality of Service [ ]

Speed & Safety [ ] Brand Name [ ]

7. Rate the following :

Poor-1 Fair-2 Good-3 Very Good-4 Excellent-5

Particulars Poor Fair Good Very Good Excellent

Speed

Safety &
security

Usage
Experience

After
Purchase

Servic(warran
ty,

repair,
customer
service)

8. Are you aware of some other service provider in this category?

Yes [ ] No [ ]

9. If yes, compared to other product in this category, would you say that our product is..

Best [ ] better [ ] average [ ] worse [ ]

10. If you see the connection to be good, then what are the factors backed by in terms of
satisfaction?
11. Which plan do you have currently?

12. Do you have any suggestions for Airtel Broadband services

..............................................................................................

.............................................................................................

Thank you very much for your kind co-operation and sparing your valuable time.

N.V.VIBITHA

Impatience is the new life, especially for the Indian youth. This is the peg that Airtel Telemedia Services has used to
promote the 8mbps speed for Airtel Broadband service. And to catch the young audience, the campaign is using the digital
medium in a big way, along with traditional media. The campaign is conceptualised by Rediffusion DYR.

The digital campaign premiered on April 6 on the mobile and Internet platforms, followed later by print, TV and BTL.

Commenting on the new campaign, R Chandrasekar, Head - Brand & Media, Bharti Airtel, said, “The campaign was
developed to focus on the youth. It seeks to reposition Airtel Broadband as the answer to real high-speed Internet
experience with the statement ‘Impatience is the new life. Live it with Airtel Broadband’. The campaign has identified a
core target group for its campaign based on a study by IMRB. These are the 16-25 year old college students and young
professionals. ‘Funsters’ are the most hungry for a real broadband experience.”

“The 360-degree communication campaign, led by a TVC, seeks to incorporate the digital medium as a strong element and
engage with the TG on that platform. The campaign idea is ‘impatience is the new life’, enabled with the new Airtel
Broadband and new speed,” he added.

Chandrasekar further said, “We are taking forward four key initiatives and have created a microsite, impatientones.com.
The objective is to create communities. We have also started a contest on who will be the next impatient one. Besides the
advertising activities, we are also loading the film on YouTube and putting up banners on all popular websites. We are also
doing a WAP post on mobile.”

The TVC comprises a montage of shots of impatient young people who can’t wait for things to happen culminating with the
introduction of Airtel Broadband with up to 8mbps of speed.