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Service Marketing

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Service Marketing

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© © All Rights Reserved
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SCHOOL OF LAW

Research Study

On
A Study on Service Marketing Strategies for Bharti Airtel

Submitted by

Pradyumna More

BBA LLB SY

DIV A
PRN NO. 1182230122
I) Introduction

Service marketing, a branch of marketing focused on intangible offerings, has become


essential in today’s economy, where services contribute a significant portion of GDP in many
developed and developing countries. Unlike product marketing, service marketing addresses
unique challenges such as intangibility, variability, inseparability, and perishability, requiring
distinct strategies and approaches to effectively meet customer needs and manage
expectations. As industries increasingly move towards digital transformation, the demand for
personalized, efficient, and high-quality service experiences has risen, adding complexity to
traditional service marketing frameworks.

In recent years, service marketing has evolved to encompass digital engagement, service
customization, and relationship management, shifting focus from mere customer satisfaction
to creating enduring customer relationships and fostering brand loyalty. This study aims to
explore these dimensions in the context of the telecommunications industry, a sector where
service marketing plays a pivotal role due to high competition, frequent technological
advancements, and the need for uninterrupted service.

Using Bharti Airtel as a case study, this research will investigate customer perceptions of
service quality, value, and overall satisfaction. The study will analyze the effectiveness of
service marketing strategies in retaining customers and enhancing brand loyalty, providing
insights into the critical factors driving successful service marketing in a fast-evolving digital
landscape. The findings will contribute to a deeper understanding of service marketing
dynamics and offer practical recommendations for enhancing customer engagement and
satisfaction in service-dominant sectors.

II) Objectives

1. Enhance Customer Satisfaction: Improve customer satisfaction through high-quality


service, reliable network coverage, and responsive customer support to foster loyalty
and reduce churn.
2. Expand Market Share: Grow market presence by attracting new customers and
entering new markets, both domestically and internationally.
3. Drive Digital Transformation: Integrate advanced digital technologies to improve
service delivery, streamline operations, and enhance customer engagement through
digital platforms.
4. Increase Revenue Streams: Diversify revenue sources by introducing new products
and services, such as OTT content, mobile financial services, and value-added digital
offerings.
5. Boost Brand Loyalty: Develop loyalty programs, personalized offers, and rewards to
strengthen brand loyalty and encourage long-term customer relationships.
6. Focus on Innovation: Invest in R&D to continuously innovate in telecom
technologies and service solutions, maintaining a competitive edge in the market.
7. Enhance Network Quality and Coverage: Expand and optimize network
infrastructure to provide seamless connectivity and high-speed internet across urban and
rural areas.
8. Promote Sustainable Practices: Implement environmentally sustainable practices,
reduce carbon footprint, and contribute to social responsibility initiatives as part of
corporate goals.
9. Maximize Operational Efficiency: Improve internal processes, reduce costs, and
enhance resource allocation to drive efficiency and profitability.
10. Achieve Financial Growth Targets: Set and achieve specific revenue and
profitability targets, supporting shareholder value and long-term company growth.

III) Research Methodology

Research Methodology

The study adopts a mixed-methods approach, combining quantitative and qualitative research
methods to assess Bharti Airtel’s service marketing effectiveness from a multidimensional
perspective. This methodology enables a comprehensive understanding of the factors driving
customer satisfaction, loyalty, and perceptions in the context of the telecommunications
industry.

1. Research Design

The research employs an explanatory and descriptive design. The descriptive component
helps to capture an in-depth view of customer satisfaction and loyalty levels by examining
specific service dimensions such as network quality, customer support, and value-added
services. The explanatory component aims to identify causal relationships between customer
satisfaction factors and loyalty outcomes, providing insights into the underlying mechanisms
driving customer engagement and retention in the telecom sector.

2. Data Collection Methods

Data is gathered through both quantitative and qualitative methods to ensure a robust analysis
and triangulation of findings.
• Survey Instrument: A structured questionnaire is designed to capture quantitative
data regarding customer satisfaction with Airtel’s services. The questionnaire employs a
Likert scale (ranging from 1-5, where 1 = Highly Disappointing and 5 = Highly Satisfying)
to measure perceptions across service quality dimensions, customer support responsiveness,
network reliability, and perceived value. Questions are adapted from established models
like SERVQUAL to improve construct validity.
• Interviews: To complement the quantitative data, semi-structured interviews are
conducted with a sample of Airtel customers, allowing for open-ended responses that reveal
customer sentiments, expectations, and detailed experiences. This qualitative data provides
context to the quantitative results and identifies potential gaps in service offerings that
might not be captured through structured surveys.

3. Sampling Strategy

A stratified random sampling approach is utilized to ensure the representation of diverse


demographic groups and regions across India. The sampling frame includes urban and rural
Airtel users of varied age groups, income levels, and data consumption patterns. This
stratification controls for demographic variability and ensures the generalizability of findings.
• Sample Size: The survey targets a sample of 500 Airtel users, which statistically
satisfies a 95% confidence level with a 5% margin of error. For qualitative insights, 30
participants are selected for in-depth interviews to capture a broad range of experiences and
opinions.

4. Data Analysis Techniques

The data analysis is conducted through a combination of statistical and thematic analysis
techniques to derive actionable insights.
• Quantitative Analysis: Survey data is processed using statistical software such as
SPSS. Descriptive statistics, including mean, median, and standard deviation, are calculated
to provide an overview of customer satisfaction levels. Inferential statistics, such as
regression and correlation analyses, are employed to assess the strength and direction of
relationships between independent variables (e.g., service quality, customer support) and
the dependent variable (customer loyalty). Structural Equation Modeling (SEM) is also
considered to test complex relationships among service quality dimensions and customer
loyalty.
• Qualitative Analysis: Interview responses are transcribed and coded thematically
using NVivo or ATLAS.ti software. An inductive coding approach is applied, allowing
themes to emerge organically from the data. Thematic analysis enables the identification of
recurring customer sentiments, expectations, and challenges that provide depth to the
quantitative findings.

5. Ensuring Reliability and Validity

• Reliability: To enhance reliability, the survey instrument is pre-tested on a pilot


group of 50 respondents to refine question wording and ensure consistency in
understanding. Cronbach’s alpha is calculated to confirm internal consistency for each
construct.
• Validity: Construct validity is enhanced by using established scales and question
items from service quality frameworks such as SERVQUAL. Content validity is ensured by
having academic and industry experts review the survey and interview questions.

6. Ethical Considerations
The study adheres to strict ethical guidelines to protect participant confidentiality, autonomy,
and data security. Informed consent is obtained from all participants, detailing the study’s
purpose, data usage, and rights to withdraw. Personal identifiers are anonymized to maintain
confidentiality, and data is stored securely to prevent unauthorized access.

IV) Data Analysis

The following 10 questions were asked to the general users of Bharti Airtel that can be
answered on a scale of highly satisfying, satisfying, average, disappointing, and highly
disappointing:

1. How would you rate the network coverage of Airtel in your area?
2. How satisfied are you with the internet speed you receive on Airtel?
3. How would you rate the reliability of Airtel’s network during peak hours?
4. How satisfied are you with the response time and resolution provided by Airtel’s
customer service?
5. How would you rate the value for money of Airtel’s plans and packages?
6. How satisfied are you with the consistency of data speeds on Airtel?
7. How would you rate Airtel’s ability to keep you informed about new offers and
services?
8. How satisfied are you with the ease of using the Airtel Thanks app for managing your
account?
9. How would you rate the effectiveness of Airtel’s additional benefits like OTT
subscriptions or rewards?
10. How satisfied are you with the overall experience of using Airtel as your telecom
provider?

Responses –
Here are tables for each category based on customer reviews.

1. Network Coverage

Customer Name Network Coverage


Rahul Satisfying
Priya Highly Satisfying
Ankit Average
Sneha Satisfying
Rohan Disappointing
Aisha Satisfying
Vikram Highly Disappointing
Meera Satisfying
Amit Average
Kavya Highly Satisfying

2. Internet Speed

Customer Name. Internet Speed


Priya Satisfying
Sneha Satisfying
Aisha. Satisfying
Meera Satisfying
Kavya Highly Satisfying
Rahul Average
Ankit Disappointing
Rohan Disappointing
Vikram Highly Disappointing
Amit Disappointing
3. Network Reliability During Peak Hours

Customer Name Network Reliability During Peak Hours


Rahul Disappointing
Priya Satisfying
Ankit Highly Disappointing
Sneha Average
Rohan Disappointing
Aisha Satisfying
Vikram Disappointing
Meera Satisfying
Amit Disappointing
Kavya Highly Satisfying

4. Customer Service Response Time


Customer Name Customer Service Response Time
Rahul Average
Priya Satisfying
Ankit Disappointing
Sneha Satisfying
Rohan Disappointing
Aisha Highly Satisfying
Vikram Disappointing
Meera Satisfying
Amit Average
Kavya Satisfying

5. Value for Money


Customer Name Value for Money
Rahul Disappointing
Priya Satisfying
Ankit Disappointing
Sneha Satisfying
Rohan Average
Aisha Satisfying
Vikram Disappointing
Meera Satisfying
Amit Average
Kavya Satisfying

6. Consistency of Data Speeds


Customer Name Consistency of Data Speeds
Rahul Average
Priya Highly Satisfying
Ankit Disappointing
Sneha Satisfying
Rohan Disappointing
Aisha Satisfying
Vikram Disappointing
Meera Satisfying
Amit Disappointing
Kavya Highly Satisfying

7. Keeping Users Informed


Customer Name Keeping Users Informed
Rahul Satisfying
Priya Highly Satisfying
Ankit Average
Sneha Satisfying
Rohan Average
Aisha Highly Satisfying
Vikram Disappointing
Meera Satisfying
Amit Satisfying
Kavya Satisfying

8. Ease of Using Airtel Thanks App


Customer Name Ease of Using Airtel Thanks App
Rahul Satisfying
Priya Satisfying
Ankit Average
Sneha Highly Satisfying
Rohan Average
Aisha Satisfying
Vikram Average
Meera Satisfying
Amit Satisfying
Kavya Satisfying
9. Additional Benefits (OTT, Rewards)

Customer Name Additional Benefits (OTT, Rewards)


Rahul Average
Priya Satisfying

Ankit Satisfying
Sneha Highly Satisfying
Rohan Satisfying
Aisha Highly Satisfying
Vikram Average
Meera Satisfying
Amit Satisfying
Kavya Highly Satisfying
10. Overall Experience

Customer Name Overall Experience


Rahul Average
Priya Highly Satisfying
Ankit Disappointing
Sneha Satisfying
Rohan Disappointing
Aisha Highly Satisfying
Vikram Highly Disappointing
Meera Satisfying
Amit Average
Kavya Highly Satisfying
The customer review analysis for Bharti Airtel highlights both positive aspects and areas that
need improvement within their service offerings:

1. Network Coverage and Reliability:

Customers generally rated Airtel’s network coverage as satisfying or better, with some users
finding it highly satisfying. However, network reliability during peak hours received mixed
responses, with some customers indicating dissatisfaction. This suggests Airtel’s coverage is
broad, but network performance may be inconsistent during high-demand periods.

2. Internet Speed:

Internet speed was another area with varied responses. While some customers rated it highly,
others were disappointed, especially with consistency in data speeds. This indicates a need for
more consistent speed delivery, possibly through technological upgrades or capacity
expansions.

3. Customer Service:

Customer service response time had a generally average rating, with a few customers finding
it highly satisfying but others dissatisfied. This highlights the importance of improving
responsiveness and the quality of customer support interactions to enhance overall
satisfaction.

4. Value for Money and Additional Benefits:

The perception of value for money and additional benefits such as OTT access and rewards
were relatively well-received, though a few customers found them disappointing.
Maintaining competitive pricing and ensuring valuable, relevant rewards can further
enhance customer perception in this area.

5. Airtel Thanks App:

The ease of using the Airtel Thanks app received mostly satisfying ratings, indicating that
the app is generally user-friendly and accessible. This reflects positively on Airtel’s digital
strategy, though ongoing app improvements can still benefit users with varied technical
skills.

6. Overall Experience:

The majority of customers rated their overall experience with Airtel as satisfying or highly
satisfying, demonstrating that the company meets many of its users’ expectations. However,
some dissatisfaction was noted, particularly among customers who experienced issues with
speed consistency, reliability during peak hours, or customer service.
Overall Implications: The data suggests that while Airtel excels in coverage, app usability,
and providing additional benefits, there is room for improvement in network reliability,
customer service, and data speed consistency. Addressing these areas will likely enhance
customer loyalty and satisfaction, positioning Airtel more favourably in a competitive
telecom market.

V) Suggestions

1. Enhance Network Reliability During Peak Hours

Upgrade Network Infrastructure: Invest in expanding network capacity, especially in densely


populated and high-demand areas, to reduce congestion and improve performance during
peak hours.

Implement Network Load Balancing: Use advanced load-balancing techniques to better


manage data flow during peak times, ensuring more consistent performance for all users.

2. Increase Consistency in Data Speeds

Optimize Bandwidth Allocation: Ensure a balanced distribution of bandwidth across different


regions and user groups to provide consistent data speeds throughout the day.

Invest in 5G Rollout and Technology Upgrades: Prioritize 5G network expansion to deliver


faster, more stable speeds, especially in urban areas. This could enhance user experience
significantly and prepare Airtel for future data demands.

3. Improve Customer Service Response Time and Quality

Train and Empower Customer Service Teams: Enhance training programs to ensure customer
service representatives can handle queries effectively and quickly. Empowering staff to
resolve issues directly could reduce response time.

Expand Self-Service Options: Improve the Airtel Thanks app and other digital platforms to
provide more self-service options, helping customers quickly resolve common issues on their
own.

4. Enhance Value for Money and Additional Benefits


Customize Plans and Offer Value-Added Services: Offer flexible plans tailored to different
customer needs, such as high data users, families, or rural users. Providing add-ons like data
rollover or exclusive app bundles can increase perceived value.

Expand OTT and Entertainment Partnerships: Strengthen partnerships with popular OTT
platforms or introduce exclusive content to make Airtel’s offerings more attractive. Rewards
programs could be revamped to offer more personalized and relevant benefits.

5. Optimize Airtel Thanks App Usability

Regularly Update the App: Improve app functionality and user interface by regularly
updating features based on user feedback. Focus on making navigation more intuitive and
adding troubleshooting features to reduce the need for customer service calls.

Introduce Data Usage Insights: Provide insights on data usage within the app, allowing users
to track their consumption and better manage their plans, which can improve user
satisfaction.

6. Conduct Regular Customer Feedback Surveys

Engage in Proactive Customer Feedback: Regularly collect customer feedback through short
surveys or app prompts, focusing on network quality, customer service experience, and
perceived value. This will help Airtel stay updated on emerging customer needs and adapt
more quickly.

Offer Incentives for Feedback: Encourage users to provide feedback by offering small
rewards or discounts. This can increase the response rate and provide more comprehensive
insights for improvement.

7. Personalize Communication and Information Sharing

Keep Users Informed Proactively: Send notifications about network maintenance or expected
downtimes, so customers are aware of temporary issues and feel prioritized. This
transparency can improve customer trust.

Personalize Marketing Messages: Use customer data to personalize communications and


promotions based on user preferences, habits, and needs, making interactions more relevant
and engaging. By implementing these strategies, Airtel can enhance customer satisfaction,
increase loyalty, and position itself as a customer-centric service provider in the competitive
telecom industry.

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