8474286 Chandoo Airtel Project

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A STUDYON

CUSTOMER SATISFACTION ON MOBILE POSTPAID CONNECTION

AT

BHARTI AIRTEL LIMITED (HYDERABAD)

A Project Report submitted to

VISHWA VISHWANI Institute of Systems & M anagement ( AICTE )In partial fulfillment of requirement for the award of POST GRADUATE PROGRAM (DEGREE) IN BUSSINESS

MANAGEMENT for the 2006-08 session

Submitted By :

RAJU SHANKAR Reg. No. - 2014

VISHWA VISHWANIInstitute of Systems & Management (AICTE)

Boston House, Thumukunta (P.O), Hakimpet (via) Hyderabad - 500078

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The Project (Masters Thesis) of

RAJU SHANKAR

Titled

A STUDY

ON

CUSTOMER SATISFACTION ON MOBILE POSTPAID CONNECTION

Is approved and accepted in quality form

Project Guide : External Examiners

Name: Nam

Qualification: Qualification:Signature: Signature:

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STUDENT DECLARATION

I hereby declare that the Project (Masters Thesis)

Titled

A Study on

CUSTOMER SATISFACTION IN MOBILE POSTPAID CONNECTION

A Project Report Submitted toVISHWA VISHWANI Institute of Systems & Management (AICTE)

In partial fulfillment of requirement for the award of

POST GRADUATE PROGRAM (DEGREE) IN BUSSINESSMANAGEMENT for the 2006-08 session

Is my original work and not submitted for the award of any other Degree, Diploma, or other similar title or prizes

Place:Date :

Student Name & Signature

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ACKNOWLEDGEMENT

I thank to my college Director Mr. Mohan S. Rao for his

encouragement and extending his support in completing the study at Bharti

Airtel Limited (Hyderabad).

I wish to express my heartfelt thanks to Mr. R. Vijay Prasad Marketing

Faculty of VISHWA VISHWANI Institute of Systems and Management

for his guidance, vital Support & cooperation.

Also I would like to express my sincere thanks to Mr. C.V. Ranga Reddy external faculty of VISHWA VISHWANI

Institute Of Systems and Management & Mr. B. Satyanarayana faculty

of VISHWA VISHWANI Institute of Systems and Management for their

Motivation, inspiration & encouragement.

Last but not the least; I am grateful to Mr. Ravi Mehra (Zonal head

Post-paid, sales) & Mr. P. Kiran Kumar from BHARTI AIRTEL Limited

for their unfolding Stretch on Which the Project has been written.

I am very much grateful to my parents for their support & inspiration

On this project.

(RAJU SHANKAR)

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CONTENTS

Page No.

Chapter-IIntroduction 7-10

Company profile 11-17

Product profile 18-20

Literature review 21-24Chapter-II

Objectives of the study 26-27

Limitations of the study 28-29Chapter-III

Research methodology 31-38Chapter-IV

Data Analysis & Interpretation 40-47Chapter-V

Findings 49-50

Recommendation 51-52

Annexure 53-57Chapter-VI

Bibliography 59-60

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CHAPTER-I

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INTRODUCTION

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INTRODUCTION

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 1883telephone 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.

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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 openingup 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 videoconferencing.

Cellular services can be further divided into two categories: Global Systemfor 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

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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.

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COMPANYPROFILE

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About Bharti Airtel Limited:

Bharti Airtel Limited, a group company of Bharti Enterprises, is Indias

leading integrated telecom services provider with an aggregate of 62 million

customers. Bharti Airtel has been rated among the best performing

Companies in the world in the Business Week IT 100. Bharti Airtel is

Structured into three strategic business units Mobile services, Broadband

& Telephone (B&T) services and Enterprise services. The mobile businessProvides mobile & fixed wireless services using GSM technology across 23

Telecom circles. The B&T business provides broadband & telephone

Services in 94 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.

Airtels high-speed optic fiber network currently spans over 53,000 kmsCovering all the major cities in the country. The company has two

International landing stations in Chennai that connects two submarine cables

Systems - i2i to Singapore and SEA-ME-WE-4 to Europe.

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Vision:-

By 2010 Airtel will be the most admirable brand in India.

Loved by more customers

Targeted by top talent

Benchmarked by more businesses.

Bharti Airtel crosses the 62 million customer mark

Becomes the fastest private telecom company in the world to achieve thismilestone

Enters into the league of the worlds top telecom companies, moves towards

top 5 global mobile companies Adds last 25 Million in just 14 months, accelerates towards the 100 millioncustomer mark

Rapidly expands network, to roll out across all census towns and over 5, 00,000 villages covering over 95% of the population.

Bharti Airtel has achieved the distinction of becoming the fastest privatetelecom company in world to achieve this landmark in a single country

within 143 months of start of operations. The 50 million customer base

covers mobile as well as broadband & telephone customers.

Commenting on this major global landmark, Mr. Akhil Gupta, Joint

Managing Director, Bharti Airtel said, We are delighted to have achieved

this major landmark, which puts Bharti Airtel amongst the top telecomcompanies in the world. It underlines the strength of our unique business

model and our vision to provide affordable services like lifetime prepaid to

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customers across the length and breadth of the country. I would like to thank

our partners for having shared our vision. This milestone highlights the

emergence of India as one of the top telecom markets in the world and we

are proud to have been at the forefront of this growth. Going forward, we

believe this growth momentum will remain intact and we are gearingtowards the 100 million customers mark.

Bharti Airtel crossed the 10 million customer mark in November 2004. In

July last year, it crossed the 25 million customer mark. The company added

the next 25 million customers in just 14 months. This is amongst the fastest

rate of customer additions by any telecom company in the world.

Mr. Manoj Kohli, President & CEO, Bharti Airtel added, This is a very

proud moment for us and I would like to thank our 50 million customers for

believing in Airtel. It is a tribute to our commitment to provide best-in-class

services to our customers and lead the market with exciting innovations. We

are committed to create a world-class organization and benchmark it with

the best in the world. As the market gets ready for the next wave of growth,

we are committed to expanding our telecom networks wider and deeper

across the country and partner Indias growth story.

In the mobile business, Bharti Airtel plans to make considerable investments

in Network expansion to establish presence in all census towns and over

500,000 villages across India by 2010, thereby covering 95% of the

countrys total population. The companys strategic focus will be on further

strengthening the Airtel brand through best-in-class customer service, which

is backed by wide national distribution.In the Enterprise business, Bharti Airtel will invest substantially in the long

distance business to achieve the scale of a global carrier within next 2-3

years. It is also strengthening the corporate business towards becoming a

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preferred managed services partner for the top 2000 corporations. In

Broadband & Telephone SBU, Bharti Airtel will initiate large-scale

deployments of broadband network infrastructure in 94 towns, with a sharp

focus on the home and SME segments. It is readying to offer triple play to

its customers with the launch of its IPTV service. The company is alsolooking at commencing national DTH operations by the end of the current

fiscal.

ORGANIZATION STRUCTURE

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16

CEO

COO

GMFINANCE

ZONAL BIZ.MANAGER

(SALES)

GMLEGAL

GMCSD

ZMPRE PAID

GM NETWORK

ZMPOST PAID

GMHR

GMMARKETING

CSM

HEADCSD

TM

ZMPCO

TM TM

GMMARKETING


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17

SR. MANAGER

VAS

MANAGERPCO

MANAGER

ALLIANCES &TIE UPS

SR. MANAGER

PCO

SR MANAGER USAGE &

RETENTION

MANAGER PRE PAID

MANAGER PRE PAID

SR. MANAGER

ACQUISITION

MANAGER

POST PAID

MANAGER

POST PAID

MANAGER VOICE

MANAGER

SMS

SR. MANAGER BRAND &

COMM.

MANAGER NATIONAL

LONGDISTANCE &ROAMING

MANAGER COMM.

MANAGER DATA


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PRODUCTPROFILE

Normal plan:

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My Plan 299

249 Delight

Supersaver 399

399 full value

All-in-one 699

1299 pack

2499 pack

125 pack (for government employee)

Corporate plan:

CUG-EMI-249

CUG-249 (R1)

CUG- 249 AES

CUG Gold- 299

CUG platinum- 399

Toppings Available

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Local Mobile pack

Local Airtel pack

Local Landline pack

Night pack

STD pack

Local SMS pack

Local + National SMS pack

International pack

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LITERARATUREREVIEW

Customer Satisfaction

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The Value of Customer SatisfactionBy Andrew Mennie , General Manager eGain Communications EMEA

What is the connection between customer satisfaction and the bottom line?

Ever wondered how much customer satisfaction is worth? We all know and

Accept that it is a strategic goal for all organizations involved in the delivery

of customer service. Yet in all my experience as a professional in this arena,

I have never come across a customer services director who could articulate the

Financial value of customer satisfaction to their business. Conversely, I have

Never met a customer service Director Who wasnt measured on it. How

Bizarre. Big business is happy to measure it but doesnt know what its worth.One of the reasons for the difficulty in making the connections, is the

Intangibility of customer churn. That is to say, how dissatisfied does a

Customers have to be before they leave and sign with the competition? What

Might be an intolerable experience for one customer may well exceed all

Expectations of another. Then theres competition. What if there isnt any?

Before deregulation how concerned were the large utility companies withCustomer satisfaction or British Telecom comes to that. Interesting therefore

That the telecoms sector is where war is being waged on customer

Satisfaction Could it that be high customer satisfaction attracts new customers

and helps retain existing ones? Sounds like that could be worth something.

There is no question that customer satisfaction is difficult to measure, but why

Is measurement so essential?

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As a student I opened my first bank as an adult with a major high street

Bank. They attracted me with their offer of a $ 10 deposit to the account. I

Stayed with them through the four years of university, through the gradually

Increasing overdraft, the unintentional forays beyond the overdraft limit, thelost ATM cards, the replacement cheque books, the minimal deposits, the

Regular and very small withdrawals. Except for the penalty charges for the

Overdraft excursions the bank made very little money out of me, and in fact

Incurred untold cost in maintaining me as a student customer.

All that effort, clearly with the goal of keeping me in my earning years and

reaping back their investment. In fact I felt consciously loyal to them at that

point and even recognize that it was my turn to pay them back. So why was

their customer service so poor once I became a full-time employee? I stayed

with them for several years using them for mortgage service, investment and

insurances but eventually churned to one of the first telephone banks. I have

been with them a few years now and every time I phone them they are aware

of my recent communications with them, request that I have made and they

dont try to sell an unwanted insurance policy at the end of every call.

Ten Basic Rules for Customer Satisfaction

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1. Involve top management.

2. Know the customers.

3. Let the customers define what attributes are important.

4. Know the customers requirements, expectations, and wants.

5. Know the relative importance of customer decision criteria.

6. Gather and trust data.

7. Benchmark the data against competitors, and identify competitive

Strengths and weaknesses.

8. Develop cross-functional action plans that enhance strengths and

Correct weaknesses.

9. Measure performance continually and spread the data throughout

The organization.

10. Be committed to getting better and better and better.

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CHAPTER II

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OBJECTIVE OFTHE STUDY

OBJECTIVES OF THE STUDY

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Creating an awareness to Airtel postpaid customers about the facilitiesin postpaid connections.

Analyzing the problem faced by postpaid customers.

Collecting the data bases of different age group of customersinterested in different types of toppings offer.

Motivating the customers to take postpaid connections.

Analyzing which postpaid plan is more used by customers.

Analyzing which type of topping is more used by customers.

Analyzing the satisfaction level of customer towards postpaid

connection.

Scope of the study:

The study is conducted on AIRTEL postpaid user at AIRTEL

RELATIONSHIP CENTER. The study is confined to the area of

Hyderabad and Secunderabad.

The size of the sample was: 300

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LIMITATIONS

LIMITATIONS

The present study is subjected to following LIMITATIONS.

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1. Method of data collection was through personal interview andtherefore bias becomes a major limitation.

2. Due to the time constraints all the customers were not covered.

3. The sample was restricted to 300 customers, which may restrict thescope and completion of study.

4. The scope of study is restricted only to the twin cities of Hyderabad and Secunderabad.

5. Owing to their pre occupation some customers were unable toanswer the complete questionnaire.

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CHAPTER-III

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RESEARCHMETHODOLOGY

METHODOLOGY

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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 .

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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

Designated fact gathering

BASIC RESEARCH

It is also known as the pure fundamental research which refers to those

studies, sole purpose of which is the discovery of new information. It is

conducted to extend the horizon in given area of knowledge with no

immediate application to existing problem.

APPLIED RESEARCH

It is an attempt to apply the various marketing techniques, which have been

developed as research, first and later on they become applied research

techniques. It is an attempt to apply the basic principles and existing

knowledge for the purpose of solving the operational problems.

DESIGNATED FACT GATHERING

It refers to a research where the investigator attempts nearly to gather some

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predetermined data.

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

DEFINE THE PROBLEM AND RESEARCH OBJECTIVES

In a very sense, this is the heart of the research process. This is the first step,

which calls for the marketing manage and marketing research.

RESEARCH PLAN DEVELOPMENT

The second calls for developing the most efficient plan for gathering the

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needed information. Not to forget the cost or values of research the

Marketing manager must estimate process its approval, Research plan calls

For decision on

a) Data source

i. Primary data to be collected for a specific purpose.

ii. Secondary data collected for another purpose and alreadyexisting some where.

1. Research Approaches: Primary data can be collected in four ways:

1. Observational research

2. Focus group research

3. Survey research

4. Experimental research

2. Research Instruments: Marketing researchers can use questionnaires

in collecting of primary data, because of its flexibility, questionnaires

is by for the most common instrument used to collect primary data.

3. Sampling Plan: This plan calls for the three aspects:-

a) Define the sampling unit.

b) Decide the sample size.

c) Decide the sampling procedure whether to use probability or

non-probability sampling methods.

4. Contract method: once the sampling plan has been determined, this

has to decide how the subject should be contacted. The choices are

mail, telephone or research interviews.

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COLLECTION OF INFORMATION

Data collection phase is generally the most expensive and the most phase to

error. Carry out the field work, collect data using the instruments, adjust theProblem of not at homes, replaced, refusal to co-operate, biased or dishonest

answers.

ANALYSIS AND INTERPRETATIONS

The next to last step is to extract pertinent findings from the collected data.

The researcher edits, code, tabulate the collected data.

PRESENTATION OF FINDINGS

As the last step in marketing research the researchers present the findings.

The researchers have to arrange the researched result according to an

approved reporting format, get the report typed and bound, present the

copies of the report to the concerned authorities.

RESEARCH METHODOLOGY/ DESIGN

The methodology adopted for eliciting the data required for the study was

survey method. It is the overall pattern or framework of the project that will

dictate as to what information is to be collected, from which sources and by

what procedures.

RESEARCH METHOD

Research methodology must be classified on the basis of the major purpose

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toppings facilities. The survey was carried in twin cities of Hyderabad and

Secunderabad with the sample size of 300. The survey was carried out with

the help of a structured questionnaire, which helps in accomplishing the

research objectives. The respondents by means of personal interview

administer this structured ended questionnaire.

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CHAPTER-IV

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DATA ANALYSIS&

INTERPRETATION

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0

20

40

60

80

100

120

140

299 249 399 Others

PLANS

PLAN TAKEN BY CUSTOMERS

NO OF CUSTOMERS

In my study I found that most of the customers (40%) having

Supersaver 399 plan. My plan 299 - (20%), 249 delight- (10%) & others

(30%) It is shown in the above bar diagram.

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0

20

40

60

80

100

120

140

160

Cash Credit card Cheque Internet Banking

MODE OF PAYMENT

NO OF CUSTOMERS

In my survey I observed that most of the customers paid their bill through

cash (45%) & credit cards (35%) respectively. And the rest cheque (18%)

& Internet banking (2%).

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STD pack 65%

Local Mobile pack 10%

Local SMS pack 20%

Others5%

Toppings taken by customers

In my survey I found that most of the customers have taken STD pack

(65%). It is shown in the above pie diagram.

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0

5

10

15

20

25

30

35

40

45

50

January February March April

TOPPINGS SOLD IN THE MONTHS OF2008

Toppings Sold

The interesting observation of this survey is the sales of the toppings were

increasing regularly. It reveals that popularity of toppings were increasingthrough sales. These are the data of only one AIRTEL RELATIONSHIP

CENTER.

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Less than6 Months

5%

6 monthsto 1 year

10%

1 to 2 years35%

More than 2years50%

CONSISTENSY LEVEL OF CUSTOMERS

In my survey I observed that (50%) of the customers are constantly buying

Post paid connections for the past two years, 35% between 1to2 years, 10%

between 6months to 1 year and 5% less than 6 months. The survey indicates

good consistency level & commitment of the customers.

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CHAPTER-V

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FINDINGS

FINDINGS

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1. Customers are satisfied with various plans.

2. It was observed that most of the customers expressed their unhappiness

over billing services. Either they were wrongly charged or they never received bills on time.

3. Senior citizens are very particular about rentals.

4. Through my survey, I came to know that most of the customers are

satisfied with our plans and toppings.

5. Through my survey I observed that most of the customers are using STDpack.

6. I observed that most of the customers are using supersaver-399 plan.

7. I observed that most of the customers like Airtel advertisement and

punch-line.

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SUGGETIONS

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SUGGESTIONS

1. To ensure better customer satisfaction & maintain higher level of

Customer relationship management, the billing department has to bemore effective & efficient.

2. To retain existing customers means offering the best scheme. This

Would automatically attract new customers. Airtel need not spend on

advertisement to attract new customers.

3. Airtel should continue to offer the best toppings to stay at the top.

4. There should be no compromise in quality and the network facility.

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ANNEXURES

QUESTIONNAIRE

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(a) My plan-299 (b) 249 Delight[ ]

(c) Supersaver-399 (d) Others

2. What do you think before taking the connections?

(a) Rental (b) Brand Value[ ]

(c) Network coverage (d) All of these

3. How long have you been using Airtel postpaid connection?

(a) Less than 6 Months (b) 6 months to 1 year [ ]

(c) 1 to 2 years (d) More than 2 years

4. How you pay your bill?

(a) By Cash (b) By Cheque[ ]

(c) By Credit card (d) By Internet Banking

5. Mostly where do you pay your bill?

(a) Airtel Relationship Center (b) E-seva

[ ](c) Drop Box

6. Which type of problem you are facing in postpaid connection?

(a) Bill payment (b) Never get bill on time[ ]

(c) Wrongly charged (d) Never get bill

7. Are you satisfied with Airtel call center executives?

(a) Excellent (b) Good[ ]

(c) Satisfied (d) Unsatisfied

8. Are you satisfied with Airtel floor executives?

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9. Are you aware of various toppings offer of Airtel?

(a) Yes (b) some what [ ](c) No

10. Which topping you normally use?

(a) STD pack (b) Local Mobile pack [ ]

(c) Local SMS pack (d) others

12. Do you know about Airtel Night pack topping?

(a) Yes (b) No[ ]

(c) Not heard

13. Do you know about International topping?

(a) Yes (b) No

[ ](c) Not heard

14. Are you satisfied with Airtel toppings?



15. Which companys advertisement and punch lines you like most?

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(a) Airtel [Barriers break when people talk ~ Express yourself]

(b) BSNL [BSNL, Best hai Mere liye]

(c) Idea [An Idea can change your life] [ ]

(d) Reliance [One nation one tariff]

(e) Tata Indicom [ Do more live more]

16. Overall Satisfaction on postpaid connection

(a) Excellent

(b) Good

(c) Satisfied

(d) Unsatisfied

17. Would you like to give your suggestions to improve the satisfaction levelof customer?

(a) Yes [ ]

(b) No [ ]

If yes specify your suggestions

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CHAPTER-VI

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TEXT BOOKS

Principles of Marketing Philip Kotler and Gery Armstrong

Marketing Research D.D. Sharma

Marketing Research Green & Tull

Websites:

WWW. BHARTIAIRTEL.IN

WWW. AIRTEL.IN

WWW. GOOGLE.COM

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8474286 Chandoo Airtel Project

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