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CHAPTER – 4:
DATA ANALYSIS AND RESULTS
Section – A:
Perceptions of Customers on
Customer Relationship Quality in BSNL
In this chapter the findings of the survey of BSNL customers in
respect of the customer relationship quality and its antecedents -
loyalty, customer trust, customer commitment, customer satisfaction
and perceived value are presented. First, the descriptive statistics
describing sample profile and the model variables are presented,
following this the results of testing of the hypotheses were discussed.
The perceptions of the respondents on the different aspects of
relationship quality are analyzed and the influence of gender, age,
occupation, type of service and usage period on the perceptions is
elaborated. Then, the hypothesized relationships of various constructs
are examined.
4.1.1 Profile of Respondents
Table 4A.1 presents the characteristics of the 544 respondents.
The sample has 52.2 per cent of respondents from 21-35 years age
group and 29.5 per cent form above 46 years age group and 5.1
percent are below 20 years and 36 to 45 years age group constitutes
13.2 percent. Gender–wise, the sample is dominated by male; they
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constitute 74.6 per cent of the sample. Employed people constituted
58 per cent of the sample. The remaining 42 per cent of the sample
has house wives - 18 per cent, Students - 12.5 per cent and
business/self-employed people - 11.4 per cent. When it comes to
income, 46.1 per cent of respondents have monthly income below
Rs.10,000. About 28.9 percent have income in the range of Rs.10,000
- Rs.20,000. The remaining 25 per cent have income above Rs.20,000.
About 74.6 per cent of the respondents have graduate qualifications
and the remaining are educated but do not possess a degree.
It can be said that the sample represents different demographic
categories.
Table 4A.1: Profile of Respondents (N=544)
Variable Categories Frequency Percentage
Age
Below 20 years 28 5.1 21 – 35 Years 284 52.2 36 – 45 Years 72 13.2 46 years and above 160 29.5
Gender Male 406 74.6 Female 138 25.4
Occupation
Employed 316 58.1 House wife 98 18.0 Business/ self employed 62 11.4 Student 68 12.5
Monthly Income (Rs)
Below Rs. 10,000 236 46.1 Rs.10,000 – 20,000 148 28.9 Rs.20,000 – 30,000 58 11.3 Above Rs.30,000 70 13.7
Education
Non-graduate 138 25.4 Graduate/Diploma 258 47.4 Post-graduation/Proff. Degree
148 27.2
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4.1.2 Service Usage Information
Table 4A.2 provides the details of length of usage period, type of
service and average monthly billing. The respondents are mostly users
of mobile services for more than one year. About 42.6 per cent of the
respondents have usage period less than one year. The remaining
57.4 per cent are using for more than one year. About 35.4 per cent of
them are using it for more than three years. When it comes to the type
of service, most of them have been using pre-paid service. About 73.5
per cent of the respondents are using pre-paid service. With regards
to spend most of the respondents (68.8 per cent), spend monthly less
than Rs.500. About 27.9 per cent of the respondents spend monthly
in Rs.500 - Rs.1000 range. The remaining 3.3 per cent are heavy
users, in the range of Rs.1000 and above.
Table 4A.2: Service Usage Information (N=544)
Aspect Response Categories Frequency Percentage
Length of Usage (Period)
Less than one Year 232 42.6 One to three years 126 23.2
More than three Years 186 34.2
Type of service Cellular Prepaid 400 73.5
Cellular Post Paid 144 26.5
Average monthly spend
Less than Rs. 500 374 68.8 Rs. 501 – 1000 152 27.9
Rs. 1001 – 3000 12 2.2
More than Rs. 3000 6 1.1
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4.1.3 Switch Information
The BSNL mobile users under study are inquired whether they
are first time users or switchers to BSNL. Tables 4.3, 4.4 and 4.5
provide information. For about 58 per cent of respondents, this is first
mobile communication (Table 4A.3). The remaining 42 per cent have
switched from other services. The main reasons for switch are poor
coverage (35.7 per cent) and high prices (34.9 per cent). Among other
reasons mentioned by some of the respondents is poor customer
service (18.6 per cent) and less value added services (10.9 per cent).
The switch has been from different service providers. However, it is
from Airtel that significant number of the respondents (31.8 per cent)
migrated to BSNL.
Table 4A.3: Service Change Information (N=544)
Aspect Response Categories Frequency Percentage
First mobile connection Yes 318 58.0
No 226 42.0
Table 4A.4: Reasons for Switch (N=226)
Reasons Frequency Percentage Poor coverage 80 35.4 Higher prices 79 34.9 Poor Customer Services 42 18.58 Less value added services 25 11.12
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Table 4A.5: Previous Service Provider (N=226)
Service provider Frequency Percentage
Airtel 72 31.8 Vodafone 40 17.8 Idea 33 14.7 Tata Indicom 28 12.4 Aircel 26 11.6 Reliance 23 10.1 Spice 04 01.6 For purpose of analyzing impact of customer characteristics only
the important parameters of gender, age, occupation, type of
service and period of usage are considered. Considering ARPU and
MOU, the age is grouped into two classes up to 35 and above 35;
occupation is grouped into students and employees (income
managing groups ). Similarly period of usage is grouped into up to
one year and above one year. This is done in consultation with
industry experts to give focus to segments.
4.2 RELIABILITY TESTING OF RESEARCH INSTRUMENT
To test the internal reliability of the model variables and the
items used, the Cronbach’s alpha is calculated for the constructs
table 4A.6 shows the results based on customer survey data.
In this survey, there are total 544 filled in questionnaires
that are complete, i.e. no missing data in the questionnaires. For
the fourteen constructs that this study focused on, it is necessary
to measure internal reliability of each construct with its different
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number of items. To test the internal reliability, the Cranach’s
alpha is calculated for the construct with items used to design the
construct. If the items are multi-dimensional, Cronbach’s alpha
will generally be low. For the constructs included in this research
model, Cronbach’s alphas is ranging from 0.755 to 0.885 (Table
4A.6), which is larger than 0.7; a level considered “acceptable” in
most social science research (Nunnally 1978).
Table 4A.6: Cronbach’s Alpha for Model Constructs S. No Construct Number of
items Cronbach’s alpha
1 Tariff 6 .848
2 Brand image 4 .836
3 Network coverage 3 .833
4 Customer service 3 .755
5 Value added services 3 .809
6 Customer satisfaction 3 .814
7 Complaint behavior 5 .761
8 Complaint handling 2 .764
9 Trust 4 .885
10 Affective commitment 4 .855
11 Calculative commitment 4 .802
12 Normative commitment 6 .849
13 Loyalty 10 .880
14 Relationship quality 3 .861
Table 4A.7: Correlation of Items with the Construct of Survey Instrument Item Correlation of
Item to construct
Cronbach's Alpha if Item Deleted
TF1. The cell phone has good level of performance for the money I pay
.666** .815
TF2. The offers of BSNL are relatively better than the offers announced by other service providers in the market
.572** .833
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Item Correlation of Item to construct
Cronbach's Alpha if Item Deleted
TF3. The price of cell phone services is more than fair for the performance I receive
.561** .835
TF4. Promotional offers from BSNL are worth the money
.747** .798
TF5. There is benefit from the offers given by BSNL in Road shows
.526** .841
TF6. The new schemes/tariffs/discounts/rebates offering by BSNL are attractive
.706** .808
NW1. The quality of the BSNL cellular network is always good
.775** .681
NW2. The call quality of the BSNL network is always good
.633** .824
NW3. The coverage of the BSNL network is good
.674** .786
VA1. BSNL has variety of value-added services
.670** .727
VA2. BSNL provides convenience to the customers for the use of value- added services.
.659** .738
VA3. Value-added services of BSNL are up-to-date
.648** .750
CV1. Process of changing plan is convenient.
.619** .632
CV2. BSNL provides a variety of customer support systems
.571** .694
CV3. Complaint processing is fast at BSNL.
.574** .685
BI1. BSNL is successful .746** .755 BI2. BSNL is reputed .659** .798 BI3. BSNL has brand image .675** .789 BI4. BSNL is socially responsible .597** .822
CS1. I am satisfied with the BSNL cellular service
.720** .690
CS2. The BSNL cellular services met my expectations
.659** .752
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Item Correlation of Item to construct
Cronbach's Alpha if Item Deleted
CS3. The BSNL services are successful in creating good image in the minds of its customers
.630** .781
CB1. I have several times voiced my complaints with BSNL
.506** .726
CB2. I have problems with the service offered by BSNL
.417** .756
CB3. I complain to other consumers if I experience a problem with BSNL
.482** .734
CB4. I complain to consumer forum if I experience a problem with BSNL
.574** .702
CB5. I switch to a competitor if I experience a problem with BSNL
.673** .662
CH1. In my view, the company is efficient in dealing with complaints
.619** .672
CH2. I am sure, the company is responsive to customer complaints
.619** .684
TR1. I know the company is reliable, not opportunistic in providing services
.763** .851
TR2. I know the company cares about customers
.751** .854
TR3. In my view, the company is honest in all its dealings with customers
.769** .844
TR4. I am sure, the company services are predictable
.732** .859
AC1. I do feel a strong sense of belonging to BSNL services
.793** .774
AC2. I feel happy to stay with BSNL services
.725** .804
AC3. I don’t think I would easily become a customer of another cellular services provider
.619** .847
AC4. BSNL has a great deal of value for me
.667** .829
CC1. It would be too costly to me to change BSNL services, therefore I stay
.607** .758
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Item Correlation of Item to construct
Cronbach's Alpha if Item Deleted
CC2. One of the major reasons I continue to use BSNL is that leaving would require considerable personal inconvenience I switch if number portability is available
.674** .726
CC3. Right now staying with BSNL is a matter of necessity and desire
.593** .763
CC4. Too much in my life would be disturbed if I decided to leave BSNL now
.596** .762
NC1. I do believe that one must always be loyal to BSNL
.694** .811
NC2. I think that people these days move from one service to another service too often
.436** .859
NC3. Jumping from one service to another service seems unethical to me
.653** .820
NC4. I was taught to believe in the value of remaining loyal to BSNL
.718** .806
NC5. I would not leave BSNL now, because I have a sense obligation to it (my organization wants me to use only BSNL)
.637** .823
NC6. If I get another offer I would not feel right to leave BSNL
.662** .818
PI1. I will continue to subscribe to BSNL services
.797** .853
PI2. I continue to recharge my SIM card to have BSNL service
.747** .858
PI3. I consider in BSNL as a my first choice in subscribing to cellular services
.736** .859
PI4. I recommend BSNL services to other people
.788** .855
PI5. I talk to other people about BSNL services
.673** .864
PS1. I am willing to go to another service provider that offers more attractive prices
.415** .884
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Item Correlation of Item to construct
Cronbach's Alpha if Item Deleted
PS2. I am willing to pay a higher price to BSNL than to other service providers for the benefit I currently receive from BSNL because of my strong relationship with BSNL
.248** .892
PS3. I am willing to go to other service providers if they offer better services at the same price
.377** .886
PO1. I continue BSNL because their image comes close to reflecting my life style
.760** .857
PO2. I continue to use BSNL services because their services make me feel important
.593** .870
RQ1. I like to be a regular customer of BSNL and use BSNL services continuously
.764** .785
RQ2. BSNL is reliable and upgrades the tariff and service regularly to be competitive and encourages customers to avail new and innovative plans
.731** .815
RQ3. I am satisfied with quality of relationship maintained by BSNL
.730** .812
**Significant at 0.01 level.
The correlation of all the items is satisfactory except PS2. Hence
further analysis can be performed.
4.3 PERCEPTIONS ON MODEL VARIABLES
4.3.1 Perceived Value
Table 4A.8 and Table 4A.9 show the views on perceived value
of BSNL mobile services in respect of five dimensions: tariff,
network coverage, value added services, customer services and
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brand image. From Table 4A.8 which presents the mean scores of
the five dimensions, it can be observed that the mean ranges from
3.11 to 3.24, the standard deviation range from 0.8 to 0.99. Of the
five dimensions, customer service possessed the lowest mean and
brand image the highest. In terms of variance, tariff has lowest
variability and network coverage has the highest. Perceived value is
the indicator of value of service in the eyes of customer and is very
critical for customer satisfaction, trust, commitment and through
these parameters influences loyalty and customer relationship
quality. The sources of perceived value consists of factors on which
service provider has control to a large extent and knowing the
customer perception on these factors is very important to service
provider. Brand image and tariff have better rating compared to
others.
Table 4A.8: Perceived Value of Cellular Services (N=544)
S. No Dimension Mean SD
1 Tariff 3.24 0.82 2 Network coverage 3.14 0.99 3 Value added services 3.09 0.91 4 Customer Services 3.11 0.92 5 Brand image 3.32 0.95 Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree
Table 4A.9 shows that the perceptions are within the range
of 3.09 to 3.43 for all the items excepting one item– ‘Complaint
processing is fast at BSNL’. For this disagreement is indicated. The
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mean score for the item is 2.98. This should be the most important
concern for BSNL for fostering good CRM. The mean scores for the
rest of the items are also not encouraging as they are more close to
neutral (3.0) than to agree (4.0).
Tariff - Tariff is in the range of 3.13 to 3.37 and with the overall
mean score of 3.24. Respondents mildly agreed that cell phone
gives performance for the money they pay (3.37), offers are better
(3.31), price charged is competitively fair (3.19), promotional offers
are worth the money (3.25), road shows provide benefits (3.13),
new schemes are attractively designed (3.23).
Network coverage – The ratings on all items were in the range of
3.13 to 3.17 indicating mild agreement. Respondents gave positive
but mild agreement to the aspects - Quality of network (3.13), Call
quality (3.13) and Coverage of service (3.17). The overall mean is
3.14.
Table 4A.9: Perceived Values of Cellular Services - Item Wise (N=544)
Dimension Statement Mean* SD
Tariff
The cell phone has good level of performance for the money I pay.
3.37 1.063
The offers of BSNL are relatively better than the offers announced by other service providers in the market.
3.31 1.013
The price of cell phone services is more than fair for the performance I receive.
3.19 1.057
Promotional offers from BSNL are worth the money
3.25 1.126
There is benefit from the offers given 3.13 .996
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by BSNL in Road shows The new schemes / tariffs/ discounts / rebates offered by BSNL are attractive.
3.23 1.048
Overall rating of Tariff 3.24 0.82
Network coverage
The quality of the BSNL cellular network is always good.
3.13 1.16
The call quality of the BSNL network is always good
3.13 1.08
The coverage of the BSNL network is good.
3.17 1.11
Overall rating of Network coverage 3.14 0.99
Value added services
BSNL has variety of value-added services
3.12 1.10
BSNL provides convenience to the customers for the use of value- added services.
3.09 1.03
Value-added services of BSNL are up-to-date
3.09 1.01
Overall rating of Value Added Service 3.09 0.91
Customer service
The process of subscribing and changing the plan is convenient in BSNL.
3.25 1.18
BSNL provides a variety of customer support systems
3.15 0.95
Complaint processing is fast at BSNL.
2.98 1.12
Overall rating of Customer Service 3.11 0.92
Brand image
BSNL is successful 3.17 1.19
BSNL is reputed 3.35 1.00 BSNL has brand image 3.35 1.19 BSNL is socially responsible 3.43 1.12
Overall rating of Brand Image 3.32 0.95 Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree
Value added services –This dimension is rated relatively low
(3.09). The items in this category range from 3.09 to 3.12. Mild
agreement is observed for the items - BSNL has variety of value-
added services (3.09), they are update (3.12) and BSNL provides
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convenience to the customers for using the value- added services
(3.09).
Customer service – Respondents partially agreed that the process
of subscribing and changing the plan is convenient in BSNL (3.25)
and BSNL provides a variety of customer support systems (3.15).
They indicated disagreement with the statement that complaint
processing is fast at BSNL (2.98). The overall rating on customer
service is 3.11.
Brand image – Ratings are comparatively better on this dimension
(3.32). Item wise ratings range from 3.17 to 3.43. Respondents
showed some agreement on the views that BSNL is successful
(3.17), reputed (3.35) and has brand image (3.35). The view that
BSNL is socially responsible has gained relatively higher
acceptance (3.43).
From the above findings, it can be said that the respondents are
expecting more from BSNL in respect of tariff, network coverage, value
added services and customer service. The consolation point seems to
be BSNL has good brand image among the respondents. This point
requires BSNL to take responsibility for consolidating and enhancing
it. However, in the absence of comparative ratings with other service
providers, the standing of BSNL cannot be known. This is an area of
more caution than comfort to BSNL for being competitive.
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Influence of Demographics
Hypotheses - 1:
H1: There is no difference in the perception of the customers of BSNL
AP Telecom circle about perceived value due to gender, age,
occupation, type of service and period of usage
This hypothesis is subdivided into H1 to H5 to cover
components of perceived value namely: 1.Tariff, 2.Network
Coverage, 3.Value Added Services, 4.Customer Service, 5.Brand
Image across independent variables of a. Gender, b. Age, c.
Occupation, d. Type of service, e. Period of usage.
One way ANOVA test was conducted for each variable. The F
and p values are shown in the table along with reject or fail to
reject decision on hypotheses (refer appendix 5 for details of F
values).
Table 4A.10: Results of One Way ANOVA: Hypotheses 1a – 5e
Perceived Value Components (Dependent Variable)
Independent Variables
Gender Age Occupation
Type of service
Period of usage
A B c d e
Tariff
F
1
0.41 36.67 11.01 2.02 32.52
Sig 0.52 0.00 0.00 0.16 0.00
Test Result
H1 a : Failed to Reject
H1 b : Rejected
H1 c : Rejected
H1 d : Failed to Reject
H1 e : Rejected
Network Coverage
F
2
0.15 73.11 5.55 0.02 24.55
Sig 0.7 0.00 0.00 0.90 0.00
Test Result
H2 a : Failed to Reject
H2 b : Rejected
H2 c : Rejected
H2 d : Failed to Reject
H2 e : Rejected
Value Added Services
F
3
6.97 36.3 3.74 0.5 27.65
Sig 0.01 0.00 0.01 0.48 0.00
Test Result
H3 a : Rejected
H3 b : Rejected
H3 c : Rejected
H3 d : Failed
H3 e : Rejected
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Perceived Value Components (Dependent Variable)
Independent Variables
Gender Age Occupation
Type of service
Period of usage
A B c d e to Reject
Customer Service
F
4
1.45 27.79 2.75 6.75 17.71
Sig 0.23 0.00 0.04 0.01 0.00
Test Result
H4 a : Failed to Reject
H4 b : Rejected
H4 c : Rejected
H4 d : Failed to Reject
H4 e : Rejected
Brand Image
F
5
2.66 46.67 12.03 0.07 66.22
Sig 0.10 0.00 0.00 0.78 0.00
Test Result
H5 a : Failed to Reject
H5 b : Rejected
H5 c : Rejected
H5 d : Rejected
H5 e : Rejected
Rejected : There is difference. Failed to reject : There is no difference. Significant at 0.05 levels
From Table 4A.10 it can be inferred that gender will make
difference in the perception on value added services. Age,
occupation, period of usage will make difference in perception on
the dimensions of tariff, network coverage; value added services
and customer service. Type of service prepaid or postpaid will
make difference in the perceptions on brand image.
Item wise analysis of the influence of gender, age,
occupation, type of service, period of usage on perceived value
components is given below:
Influence of Gender
The influence of gender on the perceptions of respondents in
respect of perceived value is analyzed in Table 4A.11
137
Perceptions of male are better than female on all items except on
fairness of price.
Females have slightly better perceptions than males on network
coverage and brand image. However, both male and female
positively agree on these items.
Table 4A.11: Perceived Value of Cellular Services – Across Gender (N=544)
Dimension Statement Male (N=406) Female(138) F
value Mean SD Mean SD
Tariff
The cell phone has good level of performance for the money I pay.
3.41 1.06 3.26 1.08 1.98
The offers of BSNL are relatively better than the offers announced by other service providers in the market.
3.31 0.98 3.31 1.11 0.00
The price of cell phone services is more than fair for the performance I receive.
3.19 1.08 3.21 1.00 0.02
Promotional offers from BSNL are worth the money
3.28 1.12 3.19 1.15 0.65
There is benefit from the offers given by BSNL in Road shows
3.16 0.99 3.05 1.00 1.26
The new schemes/tariffs/discounts/rebates offered by BSNL are attractive.
3.25 1.02 3.18 1.11 0.58
Network coverage
The quality of the BSNL cellular network is always good.
3.17 1.18 3.01 1.11 1.86
The call quality of the BSNL network is always good
3.13 1.08 3.12 1.09 0.01
The coverage of the 3.16 1.14 3.20 1.06 0.13
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Dimension Statement Male (N=406) Female(138) F
value Mean SD Mean SD
BSNL network is good.
Value added services
BSNL has variety of value-added services
3.21 1.12 2.89 1.02 9.12*
BSNL provides convenience to the customers for the use of value- added services.
3.17 1.03 2.88 1.00 8.57*
Value-added services of BSNL are up-to-date
3.12 1.01 2.99 1.00 1.97
Customer service
The process of subscribing and changing the plan is convenient in BSNL.
3.31 1.17 3.09 1.18 3.68*
BSNL provides a variety of customer support systems
3.18 0.96 3.08 0.93 1.24
Complaint processing is fast at BSNL.
3.00 1.09 2.93 1.17 0.39
BSNL Customer service is a great value to me.
3.10 1.15 3.01 1.21 1.22
Brand image
BSNL is successful 3.22 1.17 3.04 1.23 2.56 BSNL is reputed 3.44 0.98 3.14 1.01 9.85* BSNL has brand image 3.36 1.18 3.34 1.22 0.02 BSNL is socially responsible
3.46 1.09 3.35 1.17 1.06
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Statistically significant differences in perceptions are found in four
items.
On two items, the statistically significant differences are in
degree of agreement. Both male and female positively agree on
these items. Male agree more than female. They are:
• The process of subscribing and changing the plan is
convenient in BSNL.
• BSNL is reputed.
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On two items there is a difference in the zone of agreement.
Females are in the zone of disagreement whereas males are on the
side of agreement. These are:
• BSNL has variety of value-added services
• BSNL provides convenience to the customers for the use of
value- added services.
Influence of Age
Table 4A.12 portrays the views of respondents across age.
Significant differences are found in the perceptions between the
two age groups. The below 35 years age group has shown
disagreement on most of the items. In case of tariff, the items on
which slight disagreement is indicated by upto 35 years age group
of respondents are:
• The price of cell phone services is more than fair for the
performance I receive (2.93).
• Promotional offers from BSNL are worth the money (2.88).
• There is benefit from the offers given by BSNL in Road shows
(2.99).
In case of network coverage and value added services upto 35
years age group of respondents showed mild disagreement on all the
items. The mean values ranged between 2.78 to 2.99. In case of
customer service disagreement is shown in respect of two items-
• BSNL provides a variety of customer support systems(2.97)
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• Complaint processing is fast at BSNL (2.72).
When it comes to brand image, disagreement is seen in respect of
one statement:
• BSNL is successful (2.80).
Table 4A.12: Perceived Value of Cellular Services –Across Age N=544) Dimension Statement Up to 35
Yrs (N=312) Above 35 Yrs(N=232)
F value
Mean SD Mean SD
Tariff The cell phone has good level of performance for the money I pay.
3.06 1.12 3.75 0.83 62.88*
The offers of BSNL are relatively better than the offers announced by other service providers in the market.
3.11 1.00 3.58 0.96 30.78*
The price of cell phone services is more than fair for the performance I receive.
2.93 1.05 3.53 0.96 46.88*
Promotional offers from BSNL are worth the money
2.88 1.15 3.74 0.88 91.99*
There is benefit from the offers given by BSNL in Road shows
2.99 1.00 3.31 0.96 14.14*
The new schemes / tariffs/ discounts / rebates offered by BSNL are attractive.
3.00 1.05 3.53 0.95 36.36*
Network coverage
The quality of the BSNL cellular network is always good.
2.91 1.17 3.40 1.09 25.47*
The call quality of the BSNL network is
2.99 1.09 3.32 1.04 12.70*
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Dimension Statement Up to 35 Yrs (N=312)
Above 35 Yrs(N=232)
F value
Mean SD Mean SD
always good The coverage of the BSNL network is good.
2.97 1.14 3.44 1.02 23.75*
Value added services
BSNL has variety of value-added services
2.78 1.08 3.56 0.97 75.99*
BSNL provides convenience to the customers for the use of value-added services.
2.80 1.03 3.46 0.91 61.93*
Value-added services of BSNL are up-to-date
2.91 1.02 3.32 0.95 22.55*
Customer service
The process of subscribing and changing the plan is convenient in BSNL.
3.00 1.18 3.57 1.10 33.51*
BSNL provides a variety of customer support systems
2.97 0.96 3.39 0.88 28.53*
Complaint processing is fast at BSNL.
2.72 1.06 3.32 1.09 42.41*
Brand image BSNL is successful 2.80 1.20 3.66 0.98 81.02* BSNL is reputed 3.07 0.95 3.72 0.94 61.89* BSNL has brand image
3.06 1.24 3.73 1.00 45.44*
BSNL is socially responsible
3.18 1.13 3.76 1.01 38.29*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level Influence of Occupation
Analysis across occupation that examined differences in
perception of students and income earning groups presented in Table
4A.13. Statistically significant differences are found in case of Tariff
and Brand image.
142
Table 4A.13: Perceived Value of Cellular Services–Across Occupation (N=544)
Dimension Statement Employed (N=476)
Students (N=68)
F value
Mean SD Mean SD
Tariff The cell phone has good level of performance for the money I pay.
3.39 1.04 3.21 1.19 1.76
The offers of BSNL are relatively better than the offers announced by other service providers in the market.
3.39 0.96 2.81 1.18 21.58*
The price of cell phone services is more than fair for the performance I receive.
3.23 1.04 2.94 1.13 4.32*
Promotional offers from BSNL are worth the money
3.30 1.11 2.95 1.17 6.42*
There is benefit from the offers given by BSNL in Road shows
3.17 0.99 2.89 1.01 5.03*
The new schemes / tariffs/ discounts / rebates offered by BSNL are attractive.
3.29 1.01 2.89 1.21 9.13*
Network coverage
The quality of the BSNL cellular network is always good.
3.11 1.16 3.22 1.19 0.58
The call quality of the BSNL network is always good
3.13 1.06 3.14 1.19 0.00
The coverage of the BSNL network is good.
3.18 1.07 3.13 1.35 0.15
Value added services
BSNL has variety of value-added services
3.15 1.07 2.94 1.27 2.15
BSNL provides convenience to the customers for the use of value- added services.
3.12 1.00 2.86 1.23 4.07*
Value-added services of BSNL are up-to-date
3.08 0.95 3.14 1.33 0.21
Customer The process of 3.27 1.15 3.11 1.36 1.20
143
Dimension Statement Employed (N=476)
Students (N=68)
F value
Mean SD Mean SD
service subscribing and changing the plan is convenient in BSNL. BSNL provides a variety of customer support systems
3.17 0.94 3.06 0.99 0.85
Complaint processing is fast at BSNL.
2.98 1.12 3.00 1.09 0.02
Brand image
BSNL is successful 3.22 1.17 2.89 1.27 4.81* BSNL is reputed 3.41 0.99 3.00 0.99 10.22* BSNL has brand image 3.36 1.13 3.29 1.50 0.23 BSNL is socially responsible
3.45 1.10 3.32 1.22 0.79
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Tariff – Statistically significant differences are found between the
groups on five of the six statements. Students expressed slight
disagreement whereas employed (includes self-employed and business
men) showed slight agreement. Students have agreed that cell phone
has good level of performance for the money they pay (3.39). They
showed disagreement on offers (2.81), prices (2.94), promotional offers
(2.95) and benefits from offers (2.89) and new schemes (2.89).
Brand Image – They showed slight disagreement with the views:
BSNL is successful (2.89) and took neutral stand on the view – BSNL
is reputed (3.00).
Influence of Type of Service
Differences in the views of respondents belonging to
categories of prepaid and post-paid are statistically significant in
144
respect of two items under Tariff and two items under Customer
services. In remaining cases agreement is positive without
significant differences. Table 4A.14 shows details.
Table 4A.14: Perceived Value of Cellular Services – Across Type of Service (N=544)
Dimension Statement Prepaid (N=400)
Postpaid (N=144)
F value
Mean SD Mean SD
Tariff The cell phone has good level of performance for the money I pay.
3.35 1.09 3.38 0.99 0.11
The offers of BSNL are relatively better than the offers announced by other service providers in the market.
3.34 1.05 3.17 0.86 2.98
The price of cell phone services is more than fair for the performance I receive.
3.19 1.03 3.17 1.13 0.02
Promotional offers from BSNL are worth the money
3.33 1.11 2.99 1.11 10.36*
There is benefit from the offers given by BSNL in Road shows
3.15 1.00 3.08 0.98 0.47
The new schemes/tariffs/ discounts/rebates offered by BSNL are attractive.
3.28 1.08 3.03 0.90 6.26*
Network coverage
The quality of the BSNL cellular network is always good.
3.15 1.17 3.01 1.10 1.57
The call quality of the BSNL network is always good
3.14 1.05 3.08 1.15 0.31
The coverage of the BSNL network is good.
3.15 1.15 3.22 0.99 0.46
Value added services
BSNL has variety of value-added services
3.15 1.08 3.00 1.13 2.00
BSNL provides convenience to the
3.08 1.04 3.10 1.01 0.02
145
Dimension Statement Prepaid (N=400)
Postpaid (N=144)
F value
Mean SD Mean SD
customers for the use of value- added services. Value-added services of BSNL are up-to-date
3.11 1.04 3.01 0.93 1.04
Customer service
The process of subscribing and changing the plan is convenient in BSNL.
3.32 1.16 3.00 1.17 8.23*
BSNL provides a variety of customer support systems
3.21 0.93 2.96 0.95 7.49*
Complaint processing is fast at BSNL.
3.04 1.12 2.85 1.09 2.97
Brand image
BSNL is successful 3.20 1.20 3.05 1.13 1.66 BSNL is reputed 3.36 0.98 3.30 1.03 0.40 BSNL has brand image 3.35 1.19 3.32 1.20 0.03 BSNL is socially responsible
3.41 1.13 3.42 1.04 0.00
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Tariff- Post-paid subscribers took neutral stand on the views -
Promotional offers from BSNL are worth the money (2.99) and the new
schemes/tariffs/discounts/rebates offered by BSNL are
attractive(3.03).
Customer Services – Post-paid subscribers agree less than prepaid
subscribers on all dimensions. The difference is statistically
significant on: ‘BSNL provides a variety of customer support systems
(2.96)’ and ‘Complaint processing is fast at BSNL (2.85)’. ‘The process
of subscribing and changing the plan is convenient at BSNL (3).
Postpaid have relatively less positive perception of the services than
pre-paid in respect of all the dimensions.
146
Influence of Period of Usage
Two categories of customers – new comers (period of usage is
less than one year) and seasoned ones (usage experience of more than
one year) are examined for their perceptions on BSNL cellular services
in Table 4A.15. Statistically significant differences are found between
the two categories of respondents. The new comers have expressed
disagreement on most of the items whereas the seasoned ones
expressed agreement. Neutral or positive stand is taken by the new
comers on the following views:
• The offers of BSNL are relatively better than the offers
announced by other service providers in the market(3.10)
• There is benefit from the offers given by BSNL in Road
shows(3.00)
• BSNL provides a variety of customer support systems(3.06)
• BSNL is reputed (3.08)
• BSNL is socially responsible(3.04)
Table 4A.15: Perceived Value of Cellular Services – across Period of Usage (N=544) Dimension Statement Up to 1 yr
(N=232) Over 1 yr (N=312)
F value
Mean SD Mean SD
Tariff The cell phone has good level of performance for the money I pay.
2.98 1.12 3.66 0.92 58.84*
The offers of BSNL are relatively better than the offers announced by other service providers in the market.
3.10 1.05 3.47 0.96 17.43*
147
Dimension Statement Up to 1 yr (N=232)
Over 1 yr (N=312)
F value
Mean SD Mean SD
The price of cell phone services is more than fair for the performance I receive.
2.97 1.06 3.37 1.02 19.83*
Promotional offers from BSNL are worth the money
2.82 1.25 3.57 0.91 67.12*
There is benefit from the offers given by BSNL in Road shows
3.00 1.06 3.23 0.93 7.23*
The new schemes / tariffs/ discounts / rebates offered by BSNL are attractive.
2.88 1.06 3.49 0.96 49.29*
Network coverage
The quality of the BSNL cellular network is always good.
2.85 1.19 3.33 1.10 23.24*
The call quality of the BSNL network is always good
2.97 1.09 3.25 1.06 8.59*
The coverage of the BSNL network is good.
2.83 1.08 3.42 1.08 39.51*
Value added services
BSNL has variety of value-added services
2.82 1.16 3.35 0.99 32.77*
BSNL provides convenience to the customers for the use of value- added services.
2.85 1.13 3.26 0.92 21.88*
Value-added services of BSNL are up-to-date
2.88 1.05 3.24 0.95 17.40*
Customer service
The process of subscribing and changing the plan is convenient in BSNL.
2.93 1.23 3.49 1.08 31.46*
BSNL provides a variety of customer support systems
3.06 0.98 3.23 0.92 4.06*
Complaint processing is fast at BSNL.
2.74 1.07 3.16 1.12 19.65*
Brand image
BSNL is successful 2.66 1.25 3.56 0.97 90.13* BSNL is reputed 3.08 0.99 3.56 0.95 32.95* BSNL has brand image 2.82 1.17 3.75 1.04 95.41*
148
Dimension Statement Up to 1 yr (N=232)
Over 1 yr (N=312)
F value
Mean SD Mean SD
BSNL is socially responsible
3.04 1.14 3.72 1.00 54.08*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
4.3.2 Customer Satisfaction
Given the perceptions on value of BSNL services, what is the
level of customer satisfaction? Table 4A.16 shows the opinions on
satisfaction. Slight agreement is found in respect of three
statements.
BSNL cellular services met my expectations (3.17), I am satisfied with
the BSNL cellular service (3.17) and BSNL services are successful in
creating good image in the minds of its customers (3.11) .
Table 4A.16: Customer Satisfaction (N=544)
Statement Mean SD
I am satisfied with the BSNL cellular service. 3.17 1.17 The BSNL cellular services met my expectations.
3.17 1.02
The BSNL services are successful in creating good image in the minds of its customers.
3.11 1.01
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree
Influence of Demographics
The influence of demographics and affiliation factors on
customer satisfaction is examined to get better insight.
149
Hypothesis- 6
There is no difference in the perception of the customers of BSNL AP
Telecom circle on customer satisfaction due to gender, age,
occupation, type of service and period of usage
The hypothesis is divided into 5 sub hypotheses to cover
gender, age, occupation, type of service and period of use (6a-6e)
One way ANOVA test was conducted. The F and p values are
shown in the table along with reject or fail to reject decision of
hypothesis.
Table 4A.17: Results of One Way ANOVA: Hypotheses 6a-6e
Dependent Variable
Independent Variables
Gender Age Occupation Type of service
Period of usage
a B c d e
Customer satisfaction
F
6
0.63 30.01 10.14 2.77 57.8
Sig 0.43 0.00 0.00 0.1 0.00
Test Result
H6 a : Failed to Reject
H6 b : Rejected
H6 c : Rejected
H6 d : Failed to Reject
H6 e : Rejected
Rejected: There is difference. Failed to Reject: There is no difference. Significant at 0.05 level
F and sig values indicate that age, occupation, period of
usage make difference in the perception of customer about
customer satisfaction.
Analysis of the influence of gender, age, occupation, type of
service, period of usage on customer satisfaction is given below:
From Tables 4A.18, 19 and 20, it can be said that gender and type of
service have no significant influence on the perceptions of satisfaction
150
among respondents. Table 4A.18 shows that male and female agree
that BSNL services met their expectations and they are satisfied.
Females agree less on BSNL creating good image.
Age has significant influence as depicted in Table 4A.19. The
respondents belonging to up to 35 years age group are neutral to the
view that BSNL has met their expectations and disagreed with the
statements ‘I am satisfied with the BSNL cellular service (2.83)’ and
‘BSNL is successful in creating image (2.89)’. Similarly, length of
usage has shown in differences. The new comers (less than one year
usage experience) have negative views on satisfaction. They are not
satisfied with the services as services could not meet their
expectations and failed to create brand image. The mean scores
ranged between 2.63 to 2.80.
Table 4A.18: Customer Satisfaction across Gender (N=544)
Statement Male (N=406) Female (N=138) F value Mean SD Mean SD
I am satisfied with the BSNL cellular service.
3.16 1.17 3.19 1.16 0.06
The BSNL cellular services met my expectations.
3.18 1.05 3.17 0.91 0.13
The BSNL services are successful in creating good image in the minds of its customers.
3.16 1.02 2.97 0.99 3.53
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree
151
Table 4A.19: Customer Satisfaction across Age (N=544)
Statement Upto 35 Yrs (N=312)
Above 35 Yrs (N=232)
F value
Mean SD Mean SD
I am satisfied with the BSNL cellular service.
2.83 1.17 3.62 1.01 67.05*
The BSNL cellular services met my expectations.
3.00 1.02 3.41 0.97 21.83*
The BSNL services are successful in creating good image in the minds of its customers.
2.89 1.04 3.39 0.90 34.55*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Table 4A.20: Customer satisfaction across Occupation (N=544)
Statement Employed (N=476)
Students (N=68)
F value
Mean SD Mean SD
I am satisfied with the BSNL cellular service.
3.19 1.16 3.03 1.20 1.28
The BSNL cellular services met my expectations.
3.18 0.99 3.17 1.15 0.01
The BSNL services are successful in creating good image in the minds of its customers.
3.17 0.98 2.71 1.13 13.77*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Table 4A.21: Customer Satisfaction across Type of Service (N=544) Statement Prepaid
(N=400) Post paid (N=144)
F value
Mean SD Mean SD
I am satisfied with the BSNL cellular service.
3.22 1.22 3.00 0.98 3.65
The BSNL cellular services met my expectations.
3.21 1.04 3.06 0.94 2.33
The BSNL services are successful in creating good image in the minds of its customers.
3.14 1.03 2.97 0.95 3.01
152
Table 4A.22: Customer Satisfaction across Period of Usage (N=544) Statement Up to 1 yr
(N=312) Over 1 yr (N=232) F value
Mean SD Mean SD
I am satisfied with the BSNL cellular service.
2.63 1.18 3.57 0.98 102.87*
The BSNL cellular services met my expectations.
2.84 1.03 3.43 0.93 49.43*
The BSNL services are successful in creating good image in the minds of its customers.
2.80 0.99 3.33 0.98 38.95*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
4.3.3 Complaint Behavior
Respondent customers have accorded neutral to positive views
on perceived value and customer satisfaction. They expressed that
they have no problems. As shown in Table 4A.23, the respondents
disagreed with statement – ‘I have problems with the service offered
by BSNL (2.82)’.
Do they complain if they have a problem? It seems no. They
took negative stand on the statement – ‘I have several times voiced my
complaints with BSNL (2.67)’ and ‘neutral stand on the statements
that indicated interest in complaining to other customers (3.01)’ and
‘consumer forum (2.95)’.
Do they switch to competitor services? The answer seems to
be negative. The mean score of the statement – ‘I switch to a
competitor if I experience a problem with BSNL is 2.93’.
153
Table 4A.23: Complaint Behavior (N= 544)
Statement Mean SD
I have problems with the service offered by BSNL 2.82 1.11 I have several times voiced my complaints with BSNL 2.67 1.12 I complain to other consumers if I experience a problem with BSNL.
3.01 1.04
I complain to consumer forum if I experience a problem with BSNL.
2.95 1.10
I switch to a competitor if I experience a problem with BSNL.
2.93 1.19
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree
Influence of Demographics
Table 4A.24 shows that influence of gender on perceptions is
cognizable. However, differences are in the degree of disagreement
with the statements in two cases. In case of switch interest, males
took neutral stand (3.01) whereas females indicated slight
disagreement (2.73). Hence, it can be said that males are relatively
more inclined to switch if they experience problem.
Table 4A.24: Complaint Behavior across Gender(N= 544) Statement Male (N=406) Female(N=138)F value
Mean SD Mean SD
I have problems with the service offered by BSNL
2.91 1.13 2.59 1.00 8.46*
I have several times voiced my complaints with BSNL
2.76 1.13 2.45 1.06 8.48*
I complain to other consumers if I experience a problem with BSNL.
3.01 1.06 3.01 0.97 0.00
I complain to consumer forum if I experience a problem with BSNL.
2.98 1.05 2.86 1.22 1.17
I switch to a competitor if I experience a problem with BSNL.
3.01 1.19 2.73 1.19 5.80*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
154
Age-wise analysis in Table 4A.25 shows significant differences.
The respondents of above 35 years age group are positively inclined to
voice complaints to consumers (3.23) and consumer forum (3.24) and
switch to competitors (3.33).
Table 4A.25: Complaint Behavior across Age (N=544)
Statement Up to 35 yrs (N=312)
Above 35 yrs (N=232)
F value
Mean SD Mean SD
I have problems with the service offered by BSNL
2.77 1.05 2.88 1.18 1.34
I have several times voiced my complaints with BSNL
2.49 1.10 2.91 1.09 19.51*
I complain to other consumers if I experience a problem with BSNL.
2.84 0.98 3.23 1.07 18.82*
I complain to consumer forum if I experience a problem with BSNL.
2.72 1.07 3.24 1.06 31.08*
I switch to a competitor if I experience a problem with BSNL.
2.62 1.17 3.33 1.10 51.12*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Table 4A.26 shows that students are more positively disposed to
BSNL services. Employed have expressed that they will complain to
consumers (3.06) and consumer forum (3.01) and switch to
competitor’s services (3.01).
155
Table 4A.26: Complaint Behavior across Occupation (N=544)
Statement Employed (N=476)
Student (N=68)
F value
Mean SD Mean SD
I have problems with the service offered by BSNL
2.82 1.08 2.82 1.28 0.00
I have several times voiced my complaints with BSNL
2.71 1.09 2.44 1.27 3.46
I complain to other consumers if I experience a problem with BSNL.
3.06 1.05 2.72 0.94 6.48*
I complain to consumer forum if I experience a problem with BSNL.
3.01 1.08 2.54 1.11 11.20*
I switch to a competitor if I experience a problem with BSNL.
3.01 1.18 2.43 1.18 15.31*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Differences in opinions between prepaid and post-paid
customers on problems and complaints are portrayed in Table 4A.27.
Significant differences are found in case of two statements but they
represent differences in degree of disagreement. Both prepaid and
postpaid customers agreed less on complaining to company, others
and customer forums.
Table 4A.27: Complaint Behavior across Type of Service (N=544)
Statement Prepaid (N=400)
Postpaid (N=144)
F value
Mean SD Mean SD
I have problems with the service offered by BSNL
2.94 1.10 2.55 1.09 12.89*
I have several times voiced my complaints with BSNL
2.77 1.15 2.39 0.94 12.74*
I complain to other consumers if I experience a problem with BSNL.
3.00 1.04 2.97 1.00 0.07
156
Statement Prepaid (N=400)
Postpaid (N=144)
F value
Mean SD Mean SD
I complain to consumer forum if I experience a problem with BSNL.
2.95 1.09 2.88 1.09 0.52
I switch to a competitor if I experience a problem with BSNL.
2.95 1.19 2.82 1.19 1.22
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
From Table 4A.28, it can be said that respondents having more
than 1 year usage experience are unfavorable to BSNL. They
expressed intentions to complain to other consumers (3.11) and
consumer forum (3.19) and switch to competitor services (3.16).
Differences in agreement are statistically significant in four out of five
items.
Table 4A. 28: Complaint Behavior across Period of Usage (N=544)
Statement Up to 1 yr (N=312)
Over 1 yr (N=232) F value
Mean SD Mean SD I have problems with the service offered by BSNL
2.89 1.05 2.77 1.14 1.60
I have several times voiced my complaints with BSNL
2.53 1.15 2.78 1.08 7.06*
I complain to other consumers if I experience a problem with BSNL.
2.88 0.93 3.11 1.11 6.58*
I complain to consumer forum if I experience a problem with BSNL.
2.62 1.05 3.19 1.07 37.25*
I switch to a competitor if I experience a problem with BSNL.
2.62 1.17 3.16 1.16 28.58*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
157
4.3.4 Complaint Handling
Service organizations do well when they are responsive and
efficient in dealing with consumer complaints. In views of this, inquiry
is made with regard to the complaint handling of BSNL. One of the
results pertaining to perceived value relates to complaint processing.
Respondents slightly disagreed with the view - Complaint processing
is fast at BSNL (2.98). However males (3.00), above 35year
respondents (3.32), students (3.00), new customers (3.04) and more
than 1 year users (3.16) have indicated somewhat positive view on
this. Table 4A.29 shows additional results. Respondents mildly agreed
that BSNL is responsive (3.08) but disagreed with the view – ‘it is
efficient in dealing with complaints (2.98)’. The view that ‘BSNL is
responsive and complaint processing is fast’ is agreeable to some
extent.
Table 4A.29: Complaint Handling (N=544)
Statement Mean SD
In my view, the company is efficient in dealing with complaints.
2.91 1.07
I am sure the company is responsive to customer complaints.
3.08 1.01
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree
158
Influence of Demographics
Hypothesis- 7
There is no difference in the perception of the customers of BSNL AP
Telecom circle on complaint handling of BSNL, due to gender, age,
occupation, type of service and period of usage.
The hypothesis is divided into 5 sub hypotheses to cover
gender, age, occupation, type of service and period of use (7a-7e)
One way ANOVA test was conducted. The F and p values are
shown in the table along with reject or fail to reject decision of
hypothesis.
The results of examination of the influence of variables are
summarized below.
Table 4A.30: Results of One Way ANOVA: Hypotheses 7a – 7e
Dependent Variable
Independent Variables
Gender Age Occupation
Type of service
Period of usage
a B c d e
Complaint handling
F
7
0.11 22.62 2.36 1.86 11.16
Sig 0.74 0.00 0.07 0.17 0.00
Test Result
H7 a : Failed to Reject
H7 b : Rejected
H7 c : Failed to Reject
H7 d : Failed to Reject
H7 e : Rejected
Rejected: There is difference. Failed to reject: There is no difference. Significant at 0.05 level
F and sig values indicate that age and period of usage make
difference in the perception of customer on complaint handling,
Item wise analysis of the influence of gender, age, occupation, type
of service, period of usage on complaint handling is given below.
159
Analysis across gender, in Table 4A.31 shows that male and female
respondents have similar views. The differences in their views are not
statistically significant. According to the table 4A.11, Males are
neutral to the view that complaint processing is fast at BSNL (3.00).
Table 4A.31: Complaint Handling across Gender (N=544)
Statement Male (N=406) Female (N=138) F value Mean SD Mean SD
In my view, the company is efficient in dealing with complaints
2.93 1.11 2.88 0.96 0.23
I am sure, the company is responsive to customer complaints
3.08 1.07 3.08 0.84 0.00
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree
Table 4A.32 presents the views of respondents of two different
age groups. Those with above 35 years of age viewed complaint
handling by BSNL positively. BSNL is efficient (3.24) and responsive
(3.31). Already in Table 4A.12, it is found that they viewed “complaint
handling by BSNL faster (3.32)”. Therefore it can be concluded that
respondents above 35 years age group are favorable and below 35
years age group are unfavorable.
Table 4A.32: Complaint Handling across Age (N=544)
Statement Up to 35 yrs (N=312)
Above 35 yrs (N=232)
F value
Mean SD Mean SD
In my view, the company is efficient in dealing with complaints
2.67 0.99 3.24 1.10 40.66*
I am sure, the company is responsive to customer
2.90 0.97 3.31 1.02 22.93*
160
Statement Up to 35 yrs (N=312)
Above 35 yrs (N=232)
F value
Mean SD Mean SD
complaints Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree *Significant at 0.05 level
Differences in views of employed and students on complaint
handling are not statistically significant as shown in Table 4A.33.
Both the groups, employed and students, view BSNL as responsive to
complaints. Mean scores are 3.05 and 3.29 respectively. But students
are neutral to the view as shown in Table 4A.13 - complaint
processing is fast at BSNL (3.00)
Table 4A.33: Complaint Handling across Occupation (N=544)
Statement Employed (N=476)
Student (N=68)
F value
Mean SD Mean SD
In my view, the company is efficient in dealing with complaints
2.95 1.08 2.69 0.97 3.51
I am sure, the company is responsive to customer complaints
3.05 1.04 3.29 0.82 3.29
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree
Differences in prepaid and post-paid customers are statistically
significant in case of efficiency. However, both the groups have
negative view in this regard. They are positive to the view that it is
responsive to the complaints. From Table 4A.14, it can be recalled
that prepaid customer are neutral to the view complaint processing
fast (3.04), whereas the other group postpaid is negative (2.85).
161
Table 4A.34: Complaint Handling -Type of Service (N=544) Statement Prepaid (N=400) Postpaid(N=144) F value
Mean SD Mean SD
In my view, the company is efficient in dealing with complaints
2.95 1.10 2.75 0.94 3.87*
I am sure, the company is responsive to customer complaints
3.09 1.02 3.01 0.98 0.65
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree *Significant 0.05 level;
Table 4A.35: Complaint Handling -Period of Usage (N=544) Statement Up to 1 yr
(N=312) Over 1 yr (N=232) F value
Mean SD Mean SD
In my view, the company is efficient in dealing with complaints
2.70 0.96 3.08 1.12 17.22*
I am sure, the company is responsive to customer complaints
2.90 0.97 3.22 1.03 13.82*
4.3.5 Trust
Do the respondent customers have trust in BSNL services?
Results in Table 4A.36 indicate yes. The respondents have
indicated mild agreement with the views - BSNL is reliable (3.24),
cares about customers (3.33), honest (3.33) and provides
predictable services (3. 26).
Table 4A.36: Trust in BSNL (N=544) Statement Mean SD
I know the company is reliable, not opportunistic in providing services.
3.24 1.22
I know the company cares about customers. 3.33 0.97 In my view, the company is honest in all its dealings with customers.
3.33 0.11
I am sure, the company services are predictable. 3.26 1.02 Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree *Significant 0.05 level;
162
Hypothesis- 8
There is no difference in the perception of the customers of BSNL AP
Telecom circle on trust, due to gender, age, occupation, type of
service and period of usage.
The hypothesis is divided into 5 sub hypotheses to cover
gender, age, occupation, type of service and period of use (8a-8e).
One way ANOVA test was conducted. The F and p values are
shown in the Table 4A.35 along with reject or fail to reject decision
of hypothesis.
Age, occupation and period of use will make difference to the
perceptions of customers on trust.
Table 4A.37: Results of One Way ANOVA: Hypotheses- 8a-8e
Dependent Variable
Independent Variables
Gender Age Occupation
Type of service
Period of usage
a B c d e
Trust
F
8
0.13 27.04 3.75 0.00 56.20
Sig 0.72 0.00 0.01 0.99 0.00
Test Result
H8 a : Failed to Reject
H8 b : Rejected
H8 c : Rejected
H8 d : Failed to Reject
H8 e : Rejected
Rejected: There is difference . Failed to reject: There is no difference. Significant at 0.05 level
Age, occupation and period of use will make difference to the
perceptions of customers on trust.
Item wise analysis of the influence of gender, age,
occupation, type of service, period of usage on trust is given below:
Analysis across gender indicates that the views of male and
female respondents are similar. Table 4A.38 shows that the
163
differences in views are not statistically significant. Both the groups
have positive trust views.
Table 4A.38: Trust in BSNL across Gender (N=544)
Statement Male (N=406) Female (N=138) F value Mean SD Mean SD
I know the company is reliable, not opportunistic in providing services.
3.29 1.21 3.24 1.26 2.69
I know the company cares about customers.
3.32 0.99 3.35 0.94 0.12
In my view, the company is honest in all its dealings with customers.
3.35 1.09 3.27 1.15 0.61
I am sure, the company services are predictable.
3.26 1.03 3.26 0.98 0.00
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Statistically significant differences in the views of up to 35
years and above 35 years age group are identified in Table 4A.39.
However, only on one statement, the younger age group has shown
negative view. They expressed disagreement with the view - that
the company is reliable, not opportunistic in providing
services(2.82).
Table 4A.39: Trust in BSNL across Age (N=544) Statement Up to 35 yrs
(N=312) Above 35 yrs (N=232)
F value
Mean SD Mean SD
I know the company is reliable, not opportunistic in providing services.
2.82 1.23 3.76 0.96 91.44*
I know the company cares about customers.
3.13 0.94 3.58 0.96 29.44*
In my view, the company is honest in all its dealings with customers.
3.05 1.09 3.68 1.02 47.32*
164
Statement Up to 35 yrs (N=312)
Above 35 yrs (N=232)
F value
Mean SD Mean SD
I am sure, the company services are predictable.
3.07 1.00 3.50 0.99 25.30*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Table 4A.40 and 4A.41 showed that employed and students;
prepaid and post-paid have positive perception on all items.
Table 4A.40: Trust in BSNL across Occupation (N=544 ) Statement Employed
(N=476) Student (N=68)
F value
Mean SD Mean SD
I know the company is reliable, not opportunistic in providing services.
3.25 1.22 3.11 1.27 0.78
I know the company cares about customers.
3.31 0.98 3.42 0.96 0.70
In my view, the company is honest in all its dealings with customers.
3.35 1.09 3.20 1.20 1.12
I am sure, the company services are predictable.
3.26 1.02 3.28 0.97 0.02
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree *Significant 0.05 level;
Table 4A.41: Trust in BSNL across Type of Service (N=544) Statement Prepaid
(N=400) Postpaid (N=144)
F value
Mean SD Mean SD
I know the company is reliable, not opportunistic in providing services.
3.23 1.21 3.20 1.26 0.06
I know the company cares about customers.
3.34 1.02 3.27 0.85 0.53
In my view, the company is honest in all its dealings with customers.
3.34 1.11 3.28 1.11 0.26
I am sure, the company services are predictable.
3.24 1.02 3.27 0.99 0.09
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree *Significant 0.05 level;
Analysis across length of usage in Table 4A.42 has shown that
the new customers (usage below 1 year) have views unfavorable to
the BSNL services whereas the other group has held relatively
165
positive views of trust. The new customers showed disagreement
with the following statements-
• I know the company is reliable, not opportunistic in
providing services (2.66).
• In my view, the company is honest in all its dealings with
customers (2.89).
• I am sure, the company services are predictable (2.89).
Table 4A.42: Trust in BSNL across Period of Usage (N=544) Statement Up to 1 yr
(N=312) Over 1 yr (N=232) F value
Mean SD Mean SD
I know the company is reliable, not opportunistic in providing services.
2.66 1.21 3.66 1.05 105.03*
I know the company cares about customers.
3.02 0.94 3.56 0.94 44.17*
In my view, the company is honest in all its dealings with customers.
2.89 1.06 3.66 1.02 73.52*
I am sure, the company services are predictable.
2.89 0.98 3.54 0.95 60.48*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
4.3.6 Commitment
Commitment of customers to BSNL services is evaluated in
respect of three aspects- affective, calculative and normative and
presented in Table 4A.43.
166
Table 4A.43: Commitment to BSNL (N=544)
Dimension Statement Mean SD
Affective I do feel a strong sense of belonging to BSNL services.
3.19 1.21
I feel happy to stay with BSNL services. 3.36 1.11 I don’t think I would easily become a customer of another cellular services provider.
3.07 1.15
BSNL has a great deal of value for me. 3.15 0.99 Calculative It would be too costly to me to change
BSNL services, therefore I stay. 2.79 1.09
One of the major reasons I continue to use BSNL is that leaving would require considerable personal inconvenience. I switch if number portability is available
2.91 0.95
Right now staying with BSNL is a matter of necessity and desire.
2.91 1.00
Too much in my life would be disturbed if I decided to leave BSNL now.
2.93 0.98
Normative I do believe that one must always be loyal to BSNL.
2.91 1.06
I think that people these days move from one service to another service too often.
3.48 1.04
Jumping from one service to another service seems unethical to me.
2.98 1.14
I was taught to believe in the value of remaining loyal to BSNL.
3.07 1.09
I would not leave BSNL now, because I have a sense obligation to it.
3.24 0.96
If I get another offer I would not feel right to leave BSNL.
3.05 1.08
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Affective commitment is weak but positive. The respondents
indicated moderate agreement with the following views: feel sense
of belonging (3.19), fell happy to stay with (3.36), don’t easily go
other competitor (3.07) and BSNL has great value for customer
(3.15).
167
Calculative commitment is indicated by disagreement with
statements that indicate barriers to switch. Table 4A.43 has shown
disagreement of customers with the following statements that
indicate barriers like cost (2.79), personal inconvenience (2.91), too
much disturbance to life (2.93) and staying with BSNL is a matter
of necessity and desire (2.91).
In respect of normative commitment, it is found that respondent
customers believe in switch as their right. They disagreed with the
statements-
• I do believe that one must always be loyal to BSNL(2.91)
• Jumping from one service to another service seems unethical
to me (2.98).
However, some contradiction is seen in their expression. They
agreed with the statements – ‘I was taught to believe in the value of
remaining loyal to BSNL (3.07)’ and ‘I would not leave BSNL now,
because I have a sense obligation to it (3.24)’. The ambivalence
might be by the observation of the behavior of other customers.
They agreed with the view – ‘I think that people these days move
from one service to another service too often (3.48)’.
168
Influence of demographics
Hypothesis - 9
There is no difference in the perception of the customers of BSNL AP
Telecom circle on commitment, due to gender, age, occupation, type
of service and period of usage
The hypothesis is divided into 5 sub hypotheses to cover gender,
age, occupation, type of service and period of use (9a-9e).
One way ANOVA test was conducted. The F and p values are
shown in the table along with reject or fail to reject decision of
hypothesis.
Table 4A.44: Results of one way ANOVA: Hypotheses- 9a-9e
Dependent Variable
Independent Variables
Gender Age Occupation
Type of service
Period of usage
a B c d e
Commitment
F
9
1.24 30.87 9.35 0.19 35.66
Sig 0.27 0.00 0.00 0.66 0.00
Test Result
H9 a : Failed to Reject
H9 b : Rejected
H9 c : Rejected
H9 d : Failed to Reject
H9 e : Rejected
Rejected : There is difference . Failed to reject: There is no difference . Significant at 0.05 level
F and sig values indicate that age, occupation and period of
usage will make difference in the perception of customers on
commitment
Item wise analysis of the influence of gender, age, occupation, type
of service, period of usage on complaint handling is given below:
Table 4A.45 shows the analysis across gender. The
differences in views on commitment are not statistically significant.
As such, it can be said gender has no influence on the
169
commitment of respondents. Affective commitment is positive and
calculative commitment is negative for both the genders. Females
have more positive view than male.
Table 4A.45: Commitment to BSNL across Gender (N=544)
Dimension Statement Male (N=406)
Female (N=138)
F value
Mean SD Mean SD Affective I do feel a strong sense
of belonging to BSNL services.
3.22 1.20 3.09 1.23 1.15
I feel happy to stay with BSNL services.
3.39 1.09 3.36 1.16 0.73
I don’t think I would easily become a customer of another cellular services provider.
3.10 1.08 3.00 0.96 0.90
BSNL has a great deal of value for me.
3.17 1.07 3.10 0.94 0.58
Calculative It would be too costly to me to change BSNL services, therefore I stay.
2.87 1.82 2.57 0.99 8.41*
One of the major reasons I continue to use BSNL is that leaving would require considerable personal inconvenience. I switch if number portability is available
2.93 0.94 2.85 0.99 0.82
Right now staying with BSNL is a matter of necessity and desire.
3.01 1.00 2.89 1.00 1.39
Too much in my life would be disturbed if I decided to leave BSNL now.
2.97 1.03 2.84 0.86 1.94
Normative I do believe that one must always be loyal to BSNL.
2.99 1.06 2.92 1.07 0.55
170
Dimension Statement Male (N=406)
Female (N=138)
F value
Mean SD Mean SD I think that people these days move from one service to another service too often.
3.50 1.04 3.41 1.06 0.82
Jumping from one service to another service seems unethical to me.
2.97 1.15 3.00 1.13 0.08
I was taught to believe in the value of remaining loyal to BSNL.
3.12 1.10 2.95 1.05 2.85
I would not leave BSNL now, because I have a sense obligation to it.
2.25 0.97 3.19 0.91 0.47
If I get another offer I would not feel right to leave BSNL.
3.04 1.10 3.07 1.03 0.07
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Age
Age wise analysis is portrayed in Table 4A.44. Statistically
significant differences in commitment views are observed between
the two groups - the younger (below 35 years) and the elder (35
years and above). The younger group is less committed than the
elder group. In case of affective commitment, they disagree with ‘I
do feel a strong sense of belonging to BSNL services’ (2.78) and
‘BSNL has a great deal of value for me’ (2.96). This indicates that
they have less affective commitment.
However, they agree with the statement – ‘I feel happy to stay
with BSNL services’ and disagree with the statement ‘I don’t think I
171
would easily become a customer of another cellular services provider’.
This is indicative of their lack of interest in switching. As such
affectively, they have less commitment but also less interest in
switching.
In case of calculative commitment, they have shown
disagreement indicating that cost and inconvenience, disturbance is
less deterrents to their preference to switch.
In case of normative, they disagreed with staying logic and values and
disagreed with the statement ‘I do believe that one must always be
loyal to BSNL (2.72)’ but gave comfort to BSNL by agreeing with the
statement – ‘I would not leave BSNL now, because I have a sense
obligation to it (3.10)’. From the above analysis it is clear that the
younger respondents do not entertain commitment feelings or logic
and also are aware that many are switching. They are not ready to
switch without having their own reason.
Table 4A.46: Commitment to BSNL across Age (N=544)
Dimension Statement
Up to 35 yrs (N=312)
Above 35 yrs (N=232)
F value
Mean SD Mean SD
Affective
I do feel a strong sense of belonging to BSNL services.
2.78 1.22 3.70 0.98 90.00*
I feel happy to stay with BSNL services.
3.13 1.09 3.67 1.07 33.42*
I don’t think I would easily become a customer
2.82 0.98 3.39 1.05 43.45*
172
Dimension Statement
Up to 35 yrs (N=312)
Above 35 yrs (N=232)
F value
Mean SD Mean SD
of another cellular services provider. BSNL has a great deal of value for me.
2.96 0.96 3.39 0.98 26.21*
Calculative
It would be too costly to me to change BSNL services, therefore I stay.
2.47 1.03 3.19 1.04 65.18*
One of the major reasons I continue to use BSNL is that leaving would require considerable personal inconvenience. I switch if number portability is available
2.79 0.96 3.08 0.91 12.72*
Right now staying with BSNL is a matter of necessity and desire.
2.85 0.94 3.14 1.04 11.17*
Too much in my life would be disturbed if I decided to leave BSNL now.
2.84 0.92 3.05 1.05 6.00*
Normative
I do believe that one must always be loyal to BSNL.
2.72 1.07 3.30 0.95 43.50*
I think that people these days move from one service to another service too often.
3.26 1.01 3.75 1.02 31.08*
Jumping from one service to another
2.86 1.07 3.14 1.21 8.15*
173
Dimension Statement
Up to 35 yrs (N=312)
Above 35 yrs (N=232)
F value
Mean SD Mean SD
service seems unethical to me. I was taught to believe in the value of remaining loyal to BSNL.
2.84 1.10 3.38 1.10 33.72*
I would not leave BSNL now, because I have a sense obligation to it.
3.10 0.91 3.41 0.98 14.31*
If I get another offer I would not feel right to leave BSNL.
2.91 1.06 3.23 1.08 12.05*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Table 4A.47 presents analysis of perception due to occupation
on commitment. Statistically significant differences are reported in
case of four statements. Three of them are in terms of degree of
disagreement. One of them shows difference in zone of perception.
The statement – ‘I was taught to believe in the value of remaining loyal
to BSNL is not accepted by students (2.74) and accepted by
employed(3.12).’ This indicates change in the attitude of generation Y.
174
Table 4A.47: Commitment to BSNL across Occupation (N=544)
Dimension Statement
Employed (N=476)
Student (N=68)
F value
Mean SD Mean SD
Affective
I do feel a strong sense of belonging to BSNL services.
3.21 1.18 3.03 1.37 1.41
I feel happy to stay with BSNL services.
3.41 1.07 3.11 1.32 4.83
I don’t think I would easily become a customer of another cellular services provider.
3.07 1.04 3.09 1.14 0.02
BSNL has a great deal of value for me.
3.13 1.00 3.25 0.93 0.86
Calculative
It would be too costly to me to change BSNL services, therefore I stay.
2.84 1.09 2.49 1.09 6.61*
One of the major reasons I continue to use BSNL is that leaving would require considerable personal inconvenience. I switch if number portability is available
2.93 0.92 2.79 1.14 1.46
Right now staying with BSNL is a matter of necessity and desire.
3.00 1.00 2.83 0.99 1.66
Too much in my life would be disturbed if I decided to leave BSNL now.
2.97 0.97 2.69 1.03 4.95*
Normative
I do believe that one must always be loyal to BSNL.
3.00 1.06 2.78 1.05 2.77
I think that people these days move from one service to another service too often.
3.47 1.05 3.54 1.00 0.31
Jumping from one service to another service seems unethical to me.
2.98 1.13 2.97 1.24 0.00
175
Dimension Statement
Employed (N=476)
Student (N=68)
F value
Mean SD Mean SD
I was taught to believe in the value of remaining loyal to BSNL.
3.12 1.07 2.74 1.19 7.55*
I would not leave BSNL now, because I have a sense obligation to it.
3.24 0.95 3.23 1.00 0.00
If I get another offer I would not feel right to leave BSNL.
3.09 1.05 2.75 1.22 6.39*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
According to Table 4A.48, commitment is examined across type
of service. Statistically significant differences are found only in one
aspect. Postpaid disagreed (2.85) while prepaid (3.16) agreed with the
statement – ‘I was taught to believe in the value of remaining loyal to
BSNL’.
Table 4A.48: Commitment to BSNL across Type of Service (N=544)
Dimension Statement
Prepaid (N=400)
Postpaid (N=144)
F value
Mean SD Mean SD
Affective
I do feel a strong sense of belonging to BSNL services.
3.18 1.21 3.15 1.19 0.08
I feel happy to stay with BSNL services.
3.37 1.13 3.31 1.07 0.35
I don’t think I would easily become a customer of another cellular services provider.
3.09 1.03 3.01 1.10 0.60
BSNL has a great deal of value for me.
3.17 0.99 3.04 0.97 1.86
Calculative It would be too costly to me to change BSNL
2.80 1.12 2.70 0.98 0.90
176
Dimension Statement
Prepaid (N=400)
Postpaid (N=144)
F value
Mean SD Mean SD
services, therefore I stay. One of the major reasons I continue to use BSNL is that leaving would require considerable personal inconvenience. I switch if number portability is available
2.88 0.98 2.96 0.85 0.69
Right now staying with BSNL is a matter of necessity and desire.
2.97 0.95 2.96 1.11 0.01
Too much in my life would be disturbed if I decided to leave BSNL now.
2.93 0.95 2.91 1.02 0.06
Normative
I do believe that one must always be loyal to BSNL.
3.01 1.05 2.84 1.08 2.91
I think that people these days move from one service to another service too often.
3.46 1.04 3.51 1.04 0.23
Jumping from one service to another service seems unethical to me.
2.99 1.11 2.92 1.18 0.43
I was taught to believe in the value of remaining loyal to BSNL.
3.16 1.05 2.85 1.13 8.90*
I would not leave BSNL now, because I have a sense obligation to it.
3.27 0.95 3.10 0.96 3.65
If I get another offer I would not feel right to leave BSNL.
3.08 1.10 2.94 1.02 1.60
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
177
The differences in commitment between the new customers (less
than one year usage) and more experienced customers (more than one
year usage) are shown in Table 4A.49. According to it, significant
differences are seen between them. The experienced group is more
committed than the new customer group. The mean scores are higher
for all statements
Table 4A.49: Commitment to BSNL across Period of Usage (N=544)
Dimension Statement Up to 1 yr (N=312)
Over 1 yr (N=232) F value
Mean SD Mean SD
Affective
I do feel a strong sense of belonging to BSNL services.
2.59 1.17 3.63 1.04 118.01*
I feel happy to stay with BSNL services.
2.99 1.02 3.63 1.09 48.03*
I don’t think I would easily become a customer of another cellular services provider.
2.84 1.01 3.24 1.05 19.18*
BSNL has a great deal of value for me.
2.87 0.99 3.36 0.95 36.64*
Calculative
It would be too costly to me to change BSNL services, therefore I stay.
2.47 1.14 3.02 0.99 35.45*
One of the major reasons I continue to use BSNL is that leaving would require considerable personal inconvenience. I switch if number portability is available
2.90 0.98 2.92 0.93 0.02
Right now staying with BSNL is a matter of necessity and desire.
2.80 0.96 3.10 1.01 12.39*
178
Dimension Statement Up to 1 yr (N=312)
Over 1 yr (N=232)
F value
Too much in my life would be disturbed if I decided to leave BSNL now.
2.92 0.96 2.94 1.00 0.05
Normative
I do believe that one must always be loyal to BSNL.
2.65 1.09 3.22 0.97 41.35*
I think that people these days move from one service to another service too often.
3.08 0.99 3.78 0.98 67.19*
Jumping from one service to another service seems unethical to me.
2.87 1.01 3.06 1.23 3.60
I was taught to believe in the value of remaining loyal to BSNL.
2.86 1.17 3.24 1.00 15.93*
I would not leave BSNL now, because I have a sense obligation to it.
3.06 0.93 3.37 0.96 13.71*
If I get another offer I would not feel right to leave BSNL.
2.85 1.08 3.19 1.06 13.53*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
4.3.7 Loyalty
The loyalty is studied in respect of three dimensions- purchase
intentions, price insensitivity and position involvement. Table
4A.50 shows the mean values obtained from the responses to these
dimensions.
179
• Positive purchase intentions - The respondents indicated
positive purchase intentions. The mean scores of all the five
items ranged from 3.23 to 3.41.
• Price insensitivity - Respondents are price insensitive to some
extent. They disagreed with the statement – ‘I will go to others
who offer attractive prices (2.92)’ and agreed with the statement
– ‘I am willing to go to other service providers if they offer better
services at the same price (3.19)’.
• Position involvement – The response is positive as respondents
mildly agreed that ‘image of BSNL comes close to reflecting my
life style (3.03)’ and they ‘continue to use BSNL services
because their services make them feel important (3.20)’.
Table 4A.50: Loyalty to BSNL (N= 544)
Dimension Statement Mean SD
Purchase intentions
I will continue to subscribe to BSNL services.
3.32 1.22
I continue to recharge my SIM card to have BSNL service.
3.41 1.11
I consider in BSNL as a my first choice in subscribing to cellular services.
3.26 1.11
I recommend BSNL services to other people.
3.23 1.08
I talk to other people about BSNL services.
3.24 1.08
Price insensitivity
I am willing to go to another service provider that offers more attractive prices.
2.93 1.23
I am willing to pay a higher price to BSNL than to other service providers for the benefit I
2.92 1.04
180
Dimension Statement Mean SD
currently receive from BSNL because of my strong relationship with BSNL I am willing to go to other service providers if they offer better services at the same price.
3.19 1.15
Position involvement
I continue BSNL because their image comes close to reflecting my life style.
3.03 1.11
I continue to use BSNL services because their services make me feel important.
3.20 0.95
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree.
Influence of demographics
Hypothesis- 10
There is no difference in the perception of the customers of BSNL AP
Telecom circle on Loyalty, due to gender, age, occupation, type of
service and period of usage
The hypothesis is divided into 5 sub hypotheses to cover
gender, age and occupation, type of service and period of usage.
(10a-10e)
One way ANOVA test was conducted. The F and p values are
shown in the Table 4A.51 along with reject or fail to reject decision
of hypothesis.
181
Table 4A.51: Results of one way ANOVA: Hypotheses- 10a-10e
Dependent Variable
Independent Variables
Gender Age Occupation
Type of service
Period of usage
a B c d e
Loyalty
F
10
0.66 24.52 5.93 2.47 30.37
Sig 0.42 0.00 0.00 0.12 0.00
Test Result
H10 a : Failed to Reject
H10 b : Rejected
H10 c : Rejected
H10 d : Failed to Reject
H910 e : Rejected
Rejected : There is difference . Failed to reject: There is no difference . Significant at 0.05 level
F and sig values indicate that age, occupation and period of
usage make difference in the perception of customers on loyalty.
Item wise analysis of the influence of gender, age,
occupation, type of service, period of usage on loyalty is given
below:
Gender - Table 4A.51 shows the analysis of influence of gender on
loyalty intentions – ‘I am willing to go to another service provider that
offers more attractive price’; the difference in perception is significant.
Both male and female indicated positive purchase intentions. Females
exhibited higher price sensitivity. Both male and female exhibited
positive involvement.
182
Table 4A.52: Loyalty to BSNL across Gender (N=544)
Dimension Statement
Male (N=406)
Female (N=138)
F value
Mean SD Mean SD
Purchase intentions
I will continue to subscribe to BSNL services.
3.30 1.20 3.38 1.27 0.51
I continue to recharge my SIM card to have BSNL service.
3.04 1.10 3.43 1.14 0.06
I consider in BSNL as a first choice in subscribing to cellular services.
3.28 1.07 3.23 1.22 0.16
I recommend BSNL services to other people.
3.22 1.08 3.23 1.09 0.00
I talk to other people about BSNL services.
3.23 1.10 3.26 1.06 0.06
Price insensitivity
I am willing to go to another service provider that offers more attractive prices.
3.01 1.26 2.70 1.14 7.01**
I am willing to pay a higher price to BSNL than to other service providers for the benefit I currently receive from BSNL because of my strong relationship with BSNL
2.94 1.01 2.88 1.12 0.37
I am willing to go to other service providers if they offer better services at the same price.
3.21 1.16 3.15 1.12 0.26
Position involvement
I continue BSNL because their image comes close to reflecting my life style.
3.04 1.14 3.03 1.04 0.01
I continue to use BSNL services because their services make me feel important.
3.21 0.95 3.15 0.96 0.44
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
183
Age-
Analysis across age shown in Table 4A.53 indicates that
statistically significant differences are found between the two age
groups.
• Purchase intentions- The elder age group of respondents (above 35
years) have shown relatively stronger intentions than the younger
age group of respondents. They agreed that they will continue to
subscribe to BSNL services (3.76) continue to recharge for BSNL
service (3.71), consider it as first choice (3.5), recommend to others
(3.53) and talk to other people about BSNL services (3.56).
• Price insensitive- However, the elder age group is price sensitive.
They are willing to go to another service provider that offers more
attractive prices (3.30) or offer better services at the same price
(3.39) and disagreed with the statement ‘willing to pay a higher
price to BSNL than to other service providers for the benefit I
currently receive from BSNL because of my strong relationship
(2.93)’.
• Position involvement- The differences are in degree of agreement.
Both the groups agree that BSNL service is close to their life style
and make them feel important.
184
Table 4A.53: Loyalty to BSNL across Age (N=544)
Dimension Statement
Up to 35 yrs (N=312)
Above 35 yrs (N=232)
F value
Mean SD Mean SD
Purchase intentions
I will continue to subscribe to BSNL services.
2.97 1.26 3.76 1.00 62.25*
I continue to recharge my SIM card to have BSNL service.
3.18 1.13 3.71 1.02 31.03*
I consider in BSNL as a first choice in subscribing to cellular services.
3.09 1.07 3.50 1.13 19.00*
I recommend BSNL services to other people.
2.99 1.04 3.53 1.07 35.97*
I talk to other people about BSNL services.
3.02 1.07 3.56 1.03 25.65*
Price insensitivity
I am willing to go to another service provider that offers more attractive prices.
2.65 1.21 3.30 1.17 40.84*
I am willing to pay a higher price to BSNL than to other service providers for the benefit I currently receive from BSNL because of my strong relationship with BSNL
2.93 0.99 2.92 1.11 0.02
I am willing to go to other service providers if they offer better services at the same price.
3.03 1.15 3.39 1.12 13.53*
Position I continue BSNL 3.01 1.07 3.04 1.05 16.87*
185
Dimension Statement
Up to 35 yrs (N=312)
Above 35 yrs (N=232)
F value
Mean SD Mean SD
involvement because their image comes close to reflecting my life style. I continue to use BSNL services because their services make me feel important.
3.06 0.89 3.37 0.99 14.28*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Occupation-
Table 4A.54 indicates significant differences are found in
respect of position involvement. Students are not having favorable
view of BSNL services in respect of the two statements- ‘image comes
close to reflecting my life style (2.79) and services make me feel
important (2.92)’. In all other cases attitudes are similar. Respondents
are positive on purchase intentions (3.14 to 3.93). Students agree
significantly more on talking to others about BSNL service (3.93). All
the groups are price sensitive. Students are more willing to go to other
suppliers who offer better price. Employees agree that BSNL is close
to their life style and make them feel important.
186
Table 4A.54: Loyalty to BSNL across Occupation (N=544)
Dimension Statement
Employed (N=476)
Student (N=68) F value
Mean SD Mean SD
Purchase intentions
I will continue to subscribe to BSNL services.
3.35 1.19 3.14 1.37 1.92
I continue to recharge my SIM card to have BSNL service.
3.41 1.10 3.42 1.20 0.00
I consider in BSNL as a first choice in subscribing to cellular services.
3.26 1.10 3.28 1.18 0.01
I recommend BSNL services to other people.
3.24 1.08 3.17 1.13 0.25
I talk to other people about BSNL services.
3.30 1.08 3.93 1.04 5.81*
Price insensitivity
I am willing to go to another service provider that offers more attractive prices.
2.99 1.22 2.56 1.24 8.14*
I am willing to pay a higher price to BSNL than to other service providers for the benefit I currently receive from BSNL because of my strong relationship with BSNL
2.92 1.01 2.97 1.24 0.19
I am willing to go to other service providers if they offer better services at the same price.
3.15 1.14 3.47 1.20 4.97*
187
Dimension Statement
Employed (N=476)
Student (N=68) F value
Mean SD Mean SD
Position involvement
I continue BSNL because their image comes close to reflecting my life style.
3.07 1.12 2.79 1.03 3.62*
I continue to use BSNL services because their services make me feel important.
3.24 0.93 2.92 1.04 7.22*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Influence of type of Service and Usage Period
The influence of type of service is analyzed in Table 4A.55.
Significant differences are found in respect of all the three
dimensions, but the difference is in terms of degree of disagreement.
However, in case of position involvement, differences are in zone of
agreement. Prepaid customers have positive view of BSNL services –
‘continue BSNL because their image comes close to reflecting my life
style (3.09)’ and ‘make me feel important (3.24)’. Postpaid agree less
that image of BSNL comes close to their lifestyle (2.83).
Table 4A. 55: Loyalty to BSNL across Type of Service (N=544)
Dimension Statement
Prepaid (N=400)
Postpaid (N=144)
F value
Mean SD Mean SD
Purchase intentions
I will continue to subscribe to BSNL services.
3.37 1.19 3.12 1.26 4.55*
I continue to recharge my SIM card to have BSNL
3.47 1.12 3.20 1.06 6.37*
188
Dimension Statement
Prepaid (N=400)
Postpaid (N=144)
F value
Mean SD Mean SD
service. I consider in BSNL as a first choice in subscribing to cellular services.
3.32 1.12 3.04 1.06 6.80*
I recommend BSNL services to other people.
3.24 1.09 3.14 1.05 0.98
I talk to other people about BSNL services.
3.28 1.11 3.04 0.93 4.18*
Price insensitivity
I am willing to go to another service provider that offers more attractive prices.
2.90 1.26 2.96 1.10 0.33
I am willing to pay a higher price to BSNL than to other service providers for the benefit I currently receive from BSNL because of my strong relationship with BSNL
2.98 1.02 2.75 1.07 5.32*
I am willing to go to other service providers if they offer better services at the same price.
3.21 1.11 3.14 1.22 0.38
Position involvement
I continue BSNL because their image comes close to reflecting my life style.
3.09 1.08 2.83 1.16 5.60*
I continue to use BSNL services because their services make me feel important.
3.24 0.93 3.04 1.00 4.63*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
189
Table 4A.56 presents the views of both new customers (using
less than one year) and experienced customers (more than 1 year
usage). Statistically significant differences are found in the
following areas:
• Purchase intentions - Statistically significant differences are
found in respect of purchase intentions. New customers have
fewer intentions as they have shown disagreement with the
statements- ‘will continue to subscribe to BSNL services (2.78)’,
‘consider BSNL as first choice (2.90)’, ‘recommend to other
people (2.87)’ and ‘talk to other people (2.94)’.
• Price insensitivity - New customers are price sensitive as they have
disagreed with the following statements- ‘willing to go to another
service provider that offers more attractive prices (2.60)’ or ‘offer
better services at the same price (2.85)’.
• Position involvement – New customers have disagreed with the
statement – ‘I continue BSNL because their image comes close to
reflecting my life style (2.70)’.
190
Table 4A.56: Loyalty to BSNL across Period of Usage (N=544)
Dimension Statement Up to 1 yr (N=312)
Over 1 yr (N=232) F value
Mean SD Mean SD
Purchase intentions
I will continue to subscribe to BSNL services.
2.78 1.23 3.71 1.05 89.62*
I continue to recharge my SIM card to have BSNL service.
3.04 1.12 3.69 1.02 48.51*
I consider in BSNL as a first choice in subscribing to cellular services.
2.90 1.03 3.54 1.10 45.57*
I recommend BSNL services to other people.
2.87 1.06 3.49 1.03 46.91*
I talk to other people about BSNL services.
2.94 0.95 3.44 1.12 21.63*
Price insensitivity
I am willing to go to another service provider that offers more attractive prices.
2.60 1.12 3.17 1.26 29.76*
I am willing to pay a higher price to BSNL than to other service providers for the benefit I currently receive from BSNL because of my strong relationship with BSNL
2.97 0.97 2.88 1.09 0.98
I am willing to go to other service providers if they offer better services at the same price.
2.85 1.09 3.45 1.13 37.47*
Position involvement
I continue BSNL because their image comes close to reflecting my life style.
2.70 1.11 3.28 1.05 37.53*
I continue to use BSNL services because their services make me feel important.
3.11 0.86 3.25 1.01 2.90
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
191
4.3.8 Relationship Quality
What kind of relationship customers have and desirous of
having with BSNL?
Table 4A.57 shows that there is a moderate willingness among
respondent customers to maintain relationship with BSNL. They
showed moderate acceptance to the statements- like ‘to be a regular
customer (continuous business) of BSNL (3.20)’, ‘BSNL is reliable and
upgrades services regularly and encourages customers to avail
innovative plans (3.33)’. The satisfaction on quality of relationship of
BSNL is moderate (3.19).
Table 4A.57: Customer Relationship Quality (N=544)
Statement Mean SD
I like to be a regular customer of BSNL and use
BSNL services regularly. 3.20 1.24
BSNL is reliable and upgrades the tariff and
service regularly to be competitive and encourages
customers to avail new and innovative plans
3.33 1.03
I am satisfied with the quality of relationship
maintained by BSNL. 3.19 1.11
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree *Significant 0.05 level;
Influence of demographics
Hypothesis- 11
There is no difference in the perception of the customers of BSNL AP
Telecom circle on Customer Relationship Quality due to gender, age,
occupation, type of service and period of usage.
192
The hypothesis is divided into 5 sub-hypotheses to cover
gender, age and occupation, type of service and period of usage
(11a-11e).
One way ANOVA test was conducted. The F and p values are
shown in the table along with reject or fail to reject decision of
hypothesis.
Table 4A.58: Results of one way ANOVA: Hypotheses-11a-11e
Dependent Variable
Independent Variables
Gender Age Occupation
Type of service
Period of usage
a B c d e
Customer Relationship Quality
F
11
0.08 23.79 6.38 3.35 53.93
Sig 0.78 0.00 0.00 0.07 0.00
Test Result
H11 a : Failed to Reject
H11 b : Rejected
H11 c : Rejected
H11 d : Failed to Reject
H11 e : Rejected
Rejected : There is difference . Failed to reject: There is no difference . Significant at 0.05 level
The F and sig values indicate that there is a difference in the
perception of customers about customer relationship quality due to
age, occupation and period of usage. Item wise analysis of the
influence of gender, age, occupation, type of service, period of
usage on customer relationship quality is given below:
What is the influence of demographics on the willingness to
maintain relationships? Table 4A.59 shows the analysis across
gender.
193
Table 4A.59: Customer Relationship Quality across Gender (N=544)
Statement Male (N=406) Female (N=138)
F value Mean SD Mean SD
I like to be a regular customer of BSNL and use BSNL services regularly.
3.22 1.23 3.15 1.264 0.358
BSNL is reliable and upgrades he tariff and service regularly to be competitive and encourages customers to avail new and innovative plans
3.32 1.05 3.35 0.968 0.09
I am satisfied with the quality of relationship maintained by BSNL.
3.17 1.10 3.24 1.129 0.461
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Age–
Age-wise analysis shown in Table 4A.60 indicates that younger age
group (up to 35 years) is less satisfied with relationship with BSNL
(2.95). They agree that BSNL is reliable and upgrades services (3.11)
but are less willing to be regular customers (2.86). The differences in
the views between the age groups are statistically significant.
194
Table 4A.60: Customer Relationship Quality across Age (N=544)
Statement
Upto 35 Yrs Above 35 Yrs F value
(N=312) (N=232)
Mean SD Mean SD
I like to be a regular customer of BSNL and use BSNL services regularly.
2.86 1.26 3.64 1.07 59.89*
BSNL is reliable and upgrades the tariff and service regularly to be competitive and encourages customers to avail new and innovative plans
3.11 1.02 3.61 0.97 33.29*
I am satisfied with the quality of relationship maintained by BSNL.
2.95 1.04 3.5 1.12 34.02*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Analysis across occupation (Table 4A.61) and type of service
(Table 4A.62) show that there are no statistically significant
differences between employed and students; prepaid and postpaid
customers with regard to relationship quality. All the groups have
positive agreement on dimensions of being regular customers, BSNL’s
reliability and upgrading of services and quality of relationships. One
statistically significant difference is found in case of prepaid and
postpaid on being regular customers. It is less important as this is
only in terms of degree of acceptance.
195
Table 4A.61: Customer Relationship Quality across occupation (N=544)
Statement
Employed Students F value
(N=476) (N=68)
Mean SD Mean SD
I like to be a regular customer of BSNL and use BSNL services regularly.
3.23 1.2 3.03 1.47 1.68
BSNL is reliable and upgrades he tariff and service regularly to be competitive and encourages customers to avail new and innovative plans
3.34 1.01 3.25 1.15 0.5
I am satisfied with the quality of relationship maintained by BSNL.
3.18 1.09 3.26 1.19 0.38
Table 4A.62: Customer Relationship Quality across Type of Service (N=544)
Statement Prepaid Post paid F value (N=400) (N=144)
Mean SD Mean SD
I like to be a regular customer of BSNL and use BSNL services regularly.
3.26 1.22 3 1.26 4.75*
BSNL is reliable and upgrades the tariff and service regularly to be competitive and encourages customers to avail new and innovative plans
3.36 1.03 3.2 1.02 2.6
I am satisfied with the quality of relationship maintained by BSNL.
3.23 1.11 3.05 1.08 2.71
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
Table 4A.63 presents item wise analysis of views of respondents
across length of usage, on relationship quality. The new customers
196
(less than one year usage) rated quality of relationship low (2.84).
They disagreed with the statements to indicate that they like to be a
regular customer (continuous usage) of BSNL (2.61). Both the groups
are positive on reliability of BSNL and up gradation of tariff and
service (3.33 and 3.55).
Table 4A.63: Customer Relationship Quality across Period of Usage (N=544)
Statement Up to 1 yr (N=312)
Over 1 yr (N=232) F value
Mean SD Mean SD
I like to be a regular customer of BSNL and use BSNL services regularly.
2.61 1.21 2.63 1.07 108.67*
BSNL is reliable and upgrades he tariff and service regularly to be competitive and encourages customers to avail new and innovative plans
3.03 0.96 3.55 1.02 37.55*
I am satisfied with the quality of relationship maintained by BSNL.
2.84 0.99 3.44 1.12 41.96*
Scale: 5-Strongly agree 4- Agree 3-Neutral 2-Disagree 1- Strongly disagree. *Significant at 0.05 level
4.4 DETERMINANTS OF RELATIONSHIP QUALITY - TESTING
OF RELATIONSHIPS OF HYPOTHESIZED MODEL
The determinants of relationship quality are portrayed in
Figure 3.1. The proposed model has variables like perceived value
with components of tariff, brand image, network coverage,
customer service, value added services; customer satisfaction,
customer complaint behavior, complaint handling, trust,
197
commitment, loyalty and customer relationship. The hypotheses
listed in Table 4A.64 are brought to testing.
Table 4A.64: Summary of Hypothesis for Testing Hypothesised Model Variables Hypothesis Number
Hypothesis Statement
H12-a Tariff of a purchase has positive impact on the Customer satisfaction with the service provider
H12-b Network coverage of a service provider has positive impact on the Customer satisfaction with the service provider
H12-c Value added services have positive impact on the customer satisfaction with the service provider
H12-d Customer Service of a service provider has positive impact on the Customer satisfaction with the service provider
H12-e Brand Image has positive influence on the Customer satisfaction with the service provider
H13-a Tariff of a purchase has positive impact on the trust with the service provider
H13-b Network coverage of a service provider has positive impact on the trust with the service provider
H13-c Value added services have positive impact on the trust with the service provider
H13-d Customer Service of a service provider has positive impact on the trust with the service provider
H13-e Brand Image has positive influence on the trust with the service provider
H14-a Tariff of a purchase has positive impact on the commitment with the service provider
H14-b Network coverage of a service provider has positive impact on the commitment with the service provider
H14-c Value added services have positive impact on the commitment with the service provider
H14-d Customer Service of a service provider has positive impact on the commitment with the service provider
H14-e Brand Image has positive influence on the commitment with the service provider
198
Hypothesis Number
Hypothesis Statement
H15 Customer satisfaction has negative influence on the level of complaint behavior
H16 Customer satisfaction has positive influence on trust in the service provider
H17 Customer satisfaction has positive influence on the customer's loyalty to the service provider
H18 Customer complaint handling has positive influence on trust in the service provider
H19 Customer compliant handling has positive influence in commitment to the service provider
H20 Trust has positive influence on the customer's loyalty to the service provider
H21 Trust has positive influence on the customer's commitment to the service provider
H22 Customer commitment has positive influence on the customer's loyalty to the service provider
H23 Loyalty has positive influence on the customer relationship quality
H24 Customer satisfaction has positive influence on Customer Relationship Quality
4.4.1 Method of Analysis
Analysis is done and presented as follows:
1. Correlations among variables
2. Regression analysis
The relationships are tested by using Pearson Correlation
coefficients and the correlations are found satisfactory (Table
4A.65a to 4A.65h).
199
4.4.2 Correlation of Model Variables
Correlation of model variables is given in Table 4A.64 and is
at acceptable level. Table 4A.65 (a – h): Correlation of Model Variables
Table 4A.65a: Correlation of Model Variables – Perceived Value
to Customer Satisfaction, Trust and Commitment.
Customer Satisfaction
Customer Trust Commitment
Tariff Pearson Correlation
.715(**) .722(**) .751(**)
Sig. (1-tailed) 0.000 0.000 0.000 N 554 552 554
Brand Image
Pearson Correlation
.833(**) .795(**) .764(**)
Sig. (1-tailed) 0.000 0.000 0.000 N 554 552 554
Network Coverage
Pearson Correlation
.701(**) .648(**) .699(**)
Sig. (1-tailed) 0.000 0.000 0.000 N 554 552 554
Value Added Services
Pearson Correlation
.723(**) .697(**) .751(**)
Sig. (1-tailed) 0.000 0.000 0.000 N 550 550 550
customer Service
Pearson Correlation
.721(**) 0658(**) 0.698(**)
Sig. (1-tailed) 0.000 0.000 0.000 N 550 550 550
Table 4A.65b: Correlations Commitment and its components
Commitment
Calculative commitment
Pearson Correlation .864(**)
Sig. (1-tailed) 0.000 N 554
Normative commitment
Pearson Correlation .913(**)
Sig. (1-tailed) 0.000 N 552
Affective commitment
Pearson Correlation .898(**)
Sig. (1-tailed) 0.000 N 554
200
Table 4A.65c: Correlations: Trust and Customer Satisfaction
Customer Trust
Customer Satisfaction
Pearson Correlation .800(**)
Sig. (1-tailed) 0.000 N 552
Table 4A.65d: Correlations: Commitment and Trust
Commitment
Customer Trust Pearson Correlation .821(**)
Sig. (1-tailed) 0.000 N 552
**. Correlation is significant at the 0.01 level (1-tailed).
Table 4A.65e: Correlations: Loyalty and Customer Satisfaction,
Customer Trust and Commitment
Loyalty
Customer Satisfaction
Pearson Correlation .657(**)
Sig. (1-tailed) 0.000 N 554
Customer Trust Pearson Correlation .745(**)
Sig. (1-tailed) 0.000 N 552
Commitment Pearson Correlation .796(**)
Sig. (1-tailed) 0.000 N 554
Table 4A.65f: Correlations: Complaint Handling and Customer Trust and Commitment
Customer Trust Commitment
Complaint handling
Pearson Correlation
.705(**) .686(**)
Sig. (1-tailed) 0.000 0.000 N 544 544
201
Table 4A.65g: Correlations: Customer Satisfaction and Complaint Behavior
Customer Satisfaction
Compliant Behavior
Pearson Correlation .485(**)
Sig. (1-tailed) 0.000 N 552
Table 4A.65h: Correlations: Loyalty and Customer Relationship Quality
Customer Relationship Quality
Loyalty Pearson Correlation .740(**)
Sig. (1-tailed) 0.000 N 554
**. Correlation is significant at the 0.01 level (1-tailed).
4.4.3 Testing of Hypotheses
The following hypotheses are proposed for validation. Single
and multiple regressions are employed for testing of hypotheses.
Y = a +B 1 x + B2 z
Where a = constant, B1, B2 .. are coefficients of regression
Effects of Perceived Value
Perceived value is seen as a five dimensional concept with tariff,
network quality, value added services, customer service and brand
image. It is hypothesized that perceived value impacts customer
satisfaction, trust and commitment.
202
Impact on Customer Satisfaction –
Hypotheses H-12:
H-12: Perceived value positively influences the customer
satisfaction.
To find relations with various components of perceived value,
it is divided into five hypotheses - H12a to H12 e
• H-12a: Tariff of a purchase positively influences the
Customer Satisfaction with the service provider
• H12b: Network coverage of a service provider positively
influences the Customer satisfaction with the service
provider
• H12c: Value added services positively influence the
Customer satisfaction with the service provider
• H12d: Customer Service of a service provider positively
influences the Customer satisfaction with the service
provider
• H12e: Brand Image positively influences the Customer
satisfaction with the service provider
Table 4A.66 shows the results of the multiple linear
regressions.
203
Table 4A.66: Results of Multiple Linear Regressions (Perceived value and Customer Satisfaction) Model Summary
Model R R Square
Adjusted R Square
Std. Error of the Estimate
1 .880a .775 .773 .44802 a. Predictors: (Constant), Brand Image, Network Coverage, Customer Services, Value Added Services, Tariff
ANOVA
Model Sum of Squares df
Mean Square F Sig.
1 Regression 375.321 5 75.064 373.977 .000a
Residual 108.790 542 .201 Total 484.110 547
a. Predictors: (Constant), Brand Image, Network Coverage, Customer Services, Value Added Services, Tariff b. Dependent Variable: Customer Satisfaction
Coefficientsa
Model
Unstandardized Coefficients
Standardized Coefficients
t Sig.
B Std. Error
Beta
1
(Constant) -0.073 0.081 -0.899 0.369 Tariff 0.088 0.045 0.076 1.933 0.054* Network Coverage
0.177 0.029 0.185 6.083 0.000
Value Added Services
0.106 0.036 0.103 2.951 0.003
Customer Services
0.12 0.037 0.116 3.259 0.001
Brand Image
0.516 0.033 0.515 15.692
0.000
a. Dependent Variable: Customer Satisfaction *. Not significant at 0.05 level
Customer Satisfaction = - 0.073 + 0.088 Tariff * + 0 .177
Network coverage + 0.106 Value added services + 0.12
Customer service + 0.516 Brand image
204
The coefficient of Tariff is not significant at 0.05 level.
Though the relationship is obvious, statistical significance is
not shown.
According to results of regression analysis shown in
Table 4A.66, the value of R square is 0.775. This means that
77.5 percent variation in customer satisfaction is explained by
perceived value through this linear regression model. The
significance of F Value (F = 373.977, P = .000) and the result
of ANOVA indicates that regression is statistically significant
at 5% level and is not an occurrence by chance. B values
indicate that brand image (0.516) followed by network
coverage (0.177), customer service (0.12), value added services
(0.106), tariff (0.088) have influence on customer satisfaction.
The influence of tariff is not statistically significant. The values
of t and p of independent variables indicate that the
independent variables except tariff are statistically significant.
Tables 4A.65a and 4A.66 indicate a positive and significant
relationship between the perceived value and customer
satisfaction. Hence the hypotheses - H12a to H12e are
accepted.
205
Impact on Trust –
Hypotheses H-13:
H-13: Perceived value positively influences the trust.
To find relations with various components, it is broken
into five hypotheses
• H-13a: Tariff of a purchase positively influences the
trust with the service provider
• H13b: Network coverage of a service provider positively
influences the trust with the service provider
• H13c: Value added services positively influences the
trust with the service provider
• H13d: Customer Service of a service provider positively
influences the trust with the service provider
• H13e: Brand Image positively influences the trust with
the service provider
Table 4A.67 presents the results of multiple linear regression.
Table 4A.67: Results of Multiple Linear Regressions (Perceived Value and Trust) Model Summary
Model R R Square Adjusted R Square
Std. Error of the Estimate
1 .847a .717 .714 .51604 a. Predictors: (Constant), Brand Image, Network Coverage, Customer Services, Value Added Services, Tariff
206
ANOVA
Model Sum of Squares df
Mean Square F Sig.
1 Regression 365.649 5 73.130 274.619 .000a
Residual 144.332 542 .266 Total 509.981 547
a. Predictors: (Constant), Brand Image, Network Coverage, Customer Services, Value Added Services, Tariff b. Dependent Variable: Trust
Coefficientsa
Model
Unstandardized Coefficients
Standardized Coefficients
t Sig. B Std. Error Beta
1 (Constant) .022 .093 .239 .811
Tariff .211 .052 .179 4.052 .000
Network Coverage
.123 .033 .125 3.663 .000
Value Added Services
.098 .041 .093 2.367 .018
Customer Services
.106 .042 .100 2.505 .013
Brand Image
.464 .037 .457 12.398 .000
a. Dependent Variable: Trust
According to results of regression analysis shown in
Table 4A.67, the value of R square is 0.717. This means that
71.7 percent variation in customer trust is explained by
perceived value through this linear model. The significance of
F Value (F = 274.619, p = .000), the result of ANOVA indicates
that regression is statistically significant at 5% level and is not
an occurrence by chance. B values indicate that brand image
(0.464) followed by tariff (0.211), network coverage (0.123),
customer service (0.106) and value added services (0.098)
207
have influence on customer trust. The values of t and p of
independent variables indicate that the independent variables
are statistically significant. Tables 4A.65a and 4A.67 indicate
a positive and significant relationship between the perceived
value and customer trust. Hence the hypotheses - H13a to
H13e are accepted.
Impact on Commitment:
Hypothesis H-14:
H-14 Perceived value positively influences the commitment.
To find relations with various components, it is broken into five
hypotheses
• H-14a: Tariff of a purchase positively influences the
Commitment with the service provider
• H14b: Network coverage positively influences the
Commitment with the service provider
• H14c: Value added Services positively influence the
Commitment with the service provider
• H14d: Customer Service of a service provider positively
influences the Commitment with the service provider
• H14e: Brand Image positively influences the
Commitment with the service provider
The results of multiple linear regression are shown in Table
4A.68.
208
Table 4A.68: Results of Multiple Linear Regressions (Perceived Value and Commitment) Model Summary
Model R R Square Adjusted R Square
Std. Error of the Estimate
1 .863a .745 .742 .39255 a. Predictors: (Constant), Brand Image, Network Coverage, Customer Services, Value Added Services, Tariff
ANOVAb
Model Sum of Squares df
Mean Square F Sig.
1 Regression 243.476 5 48.695 316.001 .000a
Residual 83.521 542 .154 Total 326.997 547
Coefficientsa
Model
Unstandardized Coefficients
Standardized Coefficients
t Sig. B Std. Error Beta
1 (Constant) .382 .071 5.405 .000
Tariff .243 .040 .257 6.117 .000
Network Coverage
.146 .025 .186 5.752 .000
Value Added Services
.161 .032 .190 5.099 .000
Customer Services
.051 .032 .060 1.589 .113*
Brand Image
.236 .028 .290 8.290 .000
a. Dependent Variable: Commitment *. Not significant at 0.05 level
Commitment = 0. 382 + 0.243 Tariff + 0.146 Network Coverage +
0.161 Value added services + 0.051 Customer services* +
0.236 Brand image
According to results of regression analysis shown in
Table 4A.68, the value of R square is 0.745. This means that
209
74.5 percent variation in customer commitment is explained
by perceived value through this linear model. The significance
of F Value (F = 316.001, p = .000), the result of ANOVA
indicates that regression is statistically significant at 5% level
and is not an occurrence by chance. B values indicate that
Tariff (0.243) followed by Brand Image (0.236), Value Added
Services (0.161), Network Coverage (0.146) and Customer
Service (0.051) have influence on customer commitment. The
values of t and p of independent variables indicate that the
independent variables are statistically significant except
Customer Service. Tables 4A.65a and 4A.68 indicate a positive
and significant relationship between the perceived value and
commitment. Hence the hypotheses - H14a to H14e are
accepted.
Effect of Customer satisfaction on Complaint Behavior
Hypothesis H-15
Low complaint behavior is the hypothesized outcome of
customer satisfaction.
H-15 Higher the customer satisfaction, lower the level of complaint
behavior
Table 4A.69 presents the results of linear regression.
210
Table 4A.69: Result of Linear Regression of Customer
Satisfaction to Complaint Behavior
Model Summary
Model R R Square Adjusted R Square
Std. Error of the Estimate
1 .485a .235 .234 .72703 a. Predictors: (Constant), Customer Satisfaction
ANOVAb
Model Sum of Squares df
Mean Square F Sig.
1 Regression 89.510 1 89.510 169.344 .000a
Residual 290.713 550 .529 Total 380.223 551
a. Predictors: (Constant), Customer Satisfaction b. Dependent Variable: Compliant Behaviour
Coefficientsa
Model
Unstandardized Coefficients
Standardized Coefficients
t Sig. B Std. Error Beta
1 (Constant) 1.513 .109 13.888 .000
Customer Satisfaction
.430 .033 .485 13.013 .000
a. Dependent Variable: Compliant Behaviour
Complaint behavior = 1.513 + 0.430 Customer satisfaction
According to results of regression analysis shown in Table
4A.69, the value of R square is 0.235. This means that 23.5
percent variation in complaint behavior is explained by customer
satisfaction through this linear model. The significance of F Value
(F = 169.344, p = .000), the result of ANOVA indicates that
regression is statistically significant at 5% level and is not an
occurrence by chance. B values indicate that Customer
211
Satisfaction (0.430) has a positive effect on complaint behavior
which is contrary to the hypothetical negative relationship.
Hypothesis states that higher the customer satisfaction, lower is
the level of complaint behavior. A negative relationship (negative B-
value) is expected. Therefore the hypothesis H-15 is rejected.
Impact of Customer Satisfaction on Trust
Hypothesis H-16:
H-16: Customer satisfaction positively influences trust in the service
provider.
Table 4A.70 presents the results of linear regression.
Table 4A.70: Result of Linear Regression of Customer Satisfaction with Trust Model Summary
Model R R Square
Adjusted R Square
Std. Error of the Estimate
1 .800a .639 .639 .58031 a. Predictors: (Constant), Customer Satisfaction
ANOVAb
Model Sum of Squares df
Mean Square F Sig.
1 Regression 328.536 1 328.536 975.568 .000a
Residual 185.220 550 .337 Total 513.755 551
a. Predictors: (Constant), Customer Satisfaction b. Dependent Variable: Trust
Coefficientsa
Model
Unstandardized Coefficients
Standardized Coefficients
t Sig. B Std. Error Beta
1 (Constant) .664 .087 7.634 .000
Customer Satisfaction
.823 .026 .800 31.234
.000
a. Dependent Variable: Trust
212
Trust = 0.664+0.823 Customer satisfaction
According to results of regression analysis shown in Table
4A.70, the value of R square is 0.639. This means that 63.9
percent variation in customer trust is explained by customer
satisfaction through this linear model. The significance of F Value
(F = 975.568, p = .000), the result of ANOVA indicates that
regression is statistically significant at 5% level and is not an
occurrence by chance. B values indicate that Customer
Satisfaction (0.823) has a positive effect on customer trust. The t
value (31.234) and p (.000) of customer satisfaction indicate that
customer satisfaction is statistically significant. Tables 4A.65c and
4A.70 indicate a positive and significant relationship between
customer satisfaction and trust. Hence the hypothesis-H16 is
accepted.
Impact of Customer Satisfaction on Customer Loyalty
Hypothesis H-17:
H-17 Customer satisfaction directly and positively influences the
customer’s loyalty to the service provider.
Table 4A.71 presents the results of linear regression.
213
Table 4A. 71: Result of Linear Regression of Customer
Satisfaction with Loyalty
Model Summary
Model R R Square Adjusted R Square
Std. Error of the Estimate
1 .657a .432 .431 .58317 a. Predictors: (Constant), Customer Satisfaction
ANOVAb
Model Sum of Squares df
Mean Square F Sig.
1 Regression 142.523 1 142.523 419.081 .000a
Residual 187.726 552 .340 Total 330.249 553
a. Predictors: (Constant), Customer Satisfaction b. Dependent Variable: LOYALTY
Coefficientsa
Model
Unstandardized Coefficients
Standardized Coefficients
t Sig. B Std. Error Beta
1 (Constant) 1.391 .086 16.097 .000
Customer Satisfaction
.537 .026 .657 20.471 .000
a. Dependent Variable: Loyalty
Loyalty = 1.391+0.537 Customer satisfaction
According to results of regression analysis shown in Table
4A.71, the value of R square is 0.432. This means that 43.2
percent variation in customer loyalty is explained by customer
satisfaction through this linear model. The significance of F Value
(F = 419.081, p = .000), the result of ANOVA indicates that
regression is statistically significant at 5% level and is not an
occurrence by chance. B values indicate that Customer
214
Satisfaction (0.537) has a positive effect on customer loyalty. The t
value (20.471) and p (.000) of customer satisfaction indicate that
customer satisfaction is statistically significant. Tables 4A.65e and
4A.71 indicate a positive and significant relationship between
between the customer satisfaction and loyalty. Hence the
hypothesis-H17 is accepted.
Impact of Complaint Handling on Trust
Hypothesis H-18
It is hypothesized that effective complaint handling results in
trust and commitment.
H-18 Customer compliant handling positively influences trust.
Table 4A.72 presents the results of linear regression.
Table 4A. 72: Result of Linear Regression of Complaint Handling with Trust Model Summary
Model R R Square
Adjusted R Square
Std. Error of the Estimate
1 .705a .496 .495 .67239 a. Predictors: (Constant), Complaint handling
ANOVAb
Model Sum of Squares df
Mean Square F Sig.
1 Regression 241.508 1 241.508 534.175 .000a
Residual 245.046 542 .452 Total 486.554 543
a. Predictors: (Constant), Complaint handling b. Dependent Variable: Trust
215
Coefficientsa
Model
Unstandardized Coefficients
Standardized Coefficients
t Sig. B Std. Error Beta
1 (Constant) 1.199 .095 12.621 .000
Complaint handling
.697 .030 .705 23.112 .000
a. Dependent Variable: Trust
Trust = 1.199+ 0.697 Complaint handling According to results of regression analysis shown in Table
4A.72, the value of R square is 0.496. This means that 49.6
percent variation in customer trust is explained by complaint
handling through this linear model. The significance of F Value (F
= 534.175, p = .000), the result of ANOVA indicates that regression
is statistically significant at 5% level and is not an occurrence by
chance. B values indicate that Complaint Handling (0.697) has a
positive effect on customer trust. The t value (23.112) and p (.000)
of complaint handling indicate that complaint handling is
statistically significant. Tables 4A.65f and 4A.72 indicate a positive
and significant relationship between the complaint handling and
trust. Hence the hypothesis-H18 is accepted.
Impact of Complaint Handling on Commitment
Hypothesis H-19:
H-19 Customer compliant handling positively influences
commitment.
216
Table 4A.73 presents the results of linear regression.
Table 4A. 73: Result of Linear Regression of Complaint Handling with Commitment Model Summary
Model R R Square Adjusted R Square
Std. Error of the Estimate
1 .686a .471 .470 .55215 a. Predictors: (Constant), Complaint handling
ANOVAb
Model Sum of Squares df
Mean Square F Sig.
1 Regression 147.085 1 147.085 482.446 .000a
Residual 165.242 542 .305 Total 312.328 543
a. Predictors: (Constant), Complaint handling b. Dependent Variable: Commitment
Coefficientsa
Model
Unstandardized Coefficients
Standardized Coefficients
t Sig. B Std. Error Beta
1 (Constant) 1.454 .078 18.643 .000
Complaint handling
.544 .025 .686 21.965 .000
a. Dependent Variable: Commitment
Commitment = 1.454 + 0.544 Complaint handling
According to results of regression analysis shown in Table
4A.73, the value of R square is 0.471. This means that 47.1
percent variation in customer commitment is explained by
complaint handling through this linear model. The significance of F
Value (F = 482.446, p = .000), the result of ANOVA indicates that
regression is statistically significant at 5% level and is not an
217
occurrence by chance. B values indicate that Complaint Handling
(0.544) has a positive effect on customer commitment. The t value
(21.965) and p (.000) of complaint handling indicate that complaint
handling is statistically significant. Tables 4A.65f and 4A.73
indicate a positive and significant relationship between the
complaint handling and commitment. Hence the hypothesis-H19
is accepted.
Impact of Trust on Loyalty
Hypothesis H-20:
It is proposed that trust leads to loyalty and commitment.
H-20 Trust directly and positively influences the customer’s loyalty
to the service provider.
Table 4A.74 presents the results of linear regression.
Table 4A. 74: Result of Linear Regression of Customer Trust with Loyalty Model Summary
Model
R R Square Adjusted R Square
Std. Error of the Estimate
1 .745 .555 .555 .51642
a. Predictors: (Constant), Trust
ANOVAb
Model Sum of Squares df
Mean Square F Sig.
1 Regression 183.225 1 183.225 687.032 .000
Residual 146.680 550 .267 Total 329.905 551
a. Predictors: (Constant), Trust b. Dependent Variable: Loyalty
218
Coefficientsa
Model Unstandardized Coefficients
Standardized Coefficients
t Sig. B Std. Error Beta
1 (Constant) 1.133 .078 14.589 .000
Customer Trust
.597 .023 .745 26.211 .000
a. Dependent Variable: Loyalty
Loyalty = 1.133 + 0.597 Trust
According to results of regression analysis shown in Table
4A.74, the value of R square is 0.555. This means that 55.5
percent variation in loyalty is explained by customer trust through
this linear model. The significance of F Value (F = 687.032, p =
.000), the result of ANOVA indicates that regression is statistically
significant at 5% level and is not an occurrence by chance. B
values indicate that Customer Trust (0.597) has a positive effect on
Loyalty. The t value (26.211) and p (.000) of customer trust
indicate that customer trust is statistically significant. Tables
4A.65e and 4A.74 indicate a positive and significant relationship
between the trust and loyalty. Hence the hypothesis-H20 is
accepted.
219
Impact of Trust on Customer’s Commitment
Hypothesis H-21:
It is proposed that trust leads to commitment.
H-21 Trust directly and positively influences the customer’s
commitment to the service provider.
Table 4A.75 presents the results of linear regression.
Table 4A. 75: Result of Linear Regression of Customer Trust with Commitment Model Summary
Model
R R Square
Adjusted R Square
Std. Error of the Estimate
1 .821 .674 .673 .44376
a. Predictors: (Constant), Trust
ANOVAb
Model Sum of Squares df
Mean Square F Sig.
1 Regression 223.944 1 223.944 1137.221 .000 Residual 108.307 550 .197 Total 332.251 551
a. Predictors: (Constant), Trust b. Dependent Variable: Commitment
Coefficientsa
Model Unstandardized Coefficients
Standardized Coefficients
t Sig. B Std. Error Beta
1 (Constant) .910 .067 13.645 .000 Customer Trust
.660 .020 .821 33.723 .000
a. Dependent Variable: Commitment
220
Commitment = 0.910+ 0. 660 Customer Trust
According to results of regression analysis shown in Table
4A.75, the value of R square is 0.674. This means that 67.4
percent variation in commitment is explained by customer trust
through this linear model. The significance of F Value (F
=1137.221, p = .000), the result of ANOVA, indicates that
regression is statistically significant at 5% level and is not an
occurrence by chance. B values indicate that Customer Trust
(0.660) has a positive effect on commitment. The t value (33.723)
and p (.000) of customer trust indicate that customer trust is
statistically significant. Tables 4A.65d and 4A.75 indicate a
positive and significant relationship between the trust and
commitment. Hence the hypothesis-H21 is accepted.
Impact of Commitment on Loyalty
Hypothesis H-22:
It is proposed that commitment leads to Loyalty.
H-22 Commitment directly and positively influences the customer’s
loyalty to the service provider.
Table 4A.76 presents the results of linear regression.
221
Table 4A. 76: Result of Linear Regression of Commitment with Loyalty Model Summary
Model R R Square Adjusted R Square
Std. Error of the Estimate
1 .796a .633 .633 .46830 a. Predictors: (Constant), Commitment
ANOVAb
Model Sum of Squares Df
Mean Square F Sig.
1 Regression 209.194 1 209.194 953.898 .000a
Residual 121.056 552 .219 Total 330.249 553
a. Predictors: (Constant), Commitment b. Dependent Variable: Loyalty
Coefficientsa
Model
Unstandardized Coefficients
Standardized Coefficients
t Sig. B Std. Error Beta
1 (Constant) .674 .081 8.359 .000
Commitment .788 .026 .796 30.885 .000 a. Dependent Variable: Loyalty
Loyalty = 0.674 + 0.788 Commitment.
According to results of regression analysis shown in Table
4A.76, the value of R square is 0.633. This means that 63.3
percent variation in loyalty is explained by commitment through
this linear model. The significance of F Value (F = 953.898, p =
.000), the result of ANOVA, indicates that regression is statistically
significant at 5% level and is not an occurrence by chance. B
values indicate that commitment (0.788) has a positive effect on
loyalty. The t value (30.885) and p (.000) of commitment indicate
222
that commitment is statistically significant. Tables 4A.65e and
4A.76 indicate a positive and significant relationship between the
commitment and loyalty. Hence the hypothesis-H22 is accepted.
Impact of Loyalty on Customer Relationship Quality
Hypothesis H-23
H-23 Loyalty directly and positively influences the customer
relationship quality.
Table 4A.77 presents the results of linear regression.
Table 4A. 77: Result of Linear Regression of Loyalty with Model Summary
Model R R Square
Adjusted R Square
Std. Error of the Estimate
1 .740a .548 .547 .68713 a. Predictors: (Constant), Loyalty
ANOVAb
Model Sum of Squares df
Mean Square F Sig.
1 Regression 315.387 1 315.387 667.992 .000a
Residual 260.622 552 .472 Total 576.010 553
a. Predictors: (Constant), Loyalty b. Dependent Variable: Customer Relationship Quality
Coefficientsa
Model
Unstandardized Coefficients
Standardized Coefficients
t Sig. B Std. Error Beta
1 (Constant) .212 .120 1.763 .078
Loyalty .977 .038 .740 25.846 .000 a. Dependent Variable: Customer Relationship Quality
Relationship quality = 0.212 + 0.977 Loyalty
223
According to results of regression analysis shown in Table
4A.77, the value of R square is 0.548. This means that 54.8
percent variation in relationship quality is explained by loyalty
through this linear model. The significance of F Value (F =
667.992, p = .000), the result of ANOVA, indicates that regression
is statistically significant at 5% level and is not an occurrence by
chance. B values indicate that loyalty (0.977) has a positive effect
on relationship quality. The t value (25.846) and p (.000) of loyalty
indicate that loyalty is statistically significant. Tables 4A.65h and
4A.77 indicate a positive and significant relationship between
loyalty and customer relationship quality. Hence the hypothesis-
H23 is accepted.
Impact of Customer Satisfaction on Relationship Quality
Hypothesis H-24:
H 24: Customer Satisfaction positively influences the relationship
quality.
Table 4A.78 presents the results of linear regression.
Table 4A.78: Result of Linear Regression of Customer satisfaction and Relationship quality Model Summary
Model
R R Square Adjusted R Square
Std. Error of the Estimate
1 .691 .478 .477 .73806
a. Predictors: (Constant), Customer Satisfaction
224
ANOVAb
Model Sum of Squares df
Mean Square F Sig.
1 Regression 275.317 1 275.317 505.415 .000
Residual 300.693 552 .545 Total 576.010 553
a. Predictors: (Constant), Customer Satisfaction b. Dependent Variable: Customer relationship quality
coefficientsa
Model Unstandardized Coefficients
Standardized Coefficients
t Sig. B Std. Error Beta
1 (Constant) .872 .109 7.974 .000
Customer Satisfaction
.746 .033 .691 22.481 .000
a. Dependent Variable: Customer relationship quality
Relationship quality = 0. 872+ 0 .746 Customer Satisfaction
According to results of regression analysis shown in Table
4A.78, the value of R square is 0.478. This means that 47.8
percent variation in relationship quality is explained by customer
satisfaction through this linear model. The significance of F Value
(F = 505.415, p = .000), the result of ANOVA, indicates that
regression is statistically significant at s level and is not an
occurrence by chance. B values indicate that customer satisfaction
(0.746) has a positive effect on relationship quality. The t value
(22.481) and p (.000) of customer satisfaction indicate that
customer satisfaction is statistically significant. Thus a positive
and significant relationship is indicated between the customer
225
satisfaction and relationship quality. Hence the hypotheses-H24
is accepted.
4.5 Results of Testing of Hypotheses
1. The summary of null hypotheses H-1a to H-11e on the
impact of demographic and affiliation variables on the model
variables tested by one way ANOVA is presented along with
the results in Table 4A.81.
2. The summary of hypotheses H12a to H24 which pertain to
relationship between model variables which was tested by
regressions is presented in Table 4A.82.
The interpretation of the analysis and the managerial
implications is discussed in Chapter -5.
226
Table 4A.79: Summary of Regression for Research Model on BSNL Customer Perception Survey
S.No Dependent Variable
Independent Variable R R2
Adj-R2
Std Error
Regression Model
Sum of squares df
Mean Square
F-Value
Sig.
(p-value)
1 Customer satisfaction
Brand Image Network Coverage Customer Service Value added Services Tariff 0.88 0.775 0.773 0.448
Regression 375.32 5 75.064
373.98 0.000
Residual 108.79 542 0.201
Total 484.11 547 75.265
2 Trust
Brand Image Network Coverage Customer Service Value added Services Tariff 847 0.717 0.714 0.516
Regression 365.65 5 73.13
274.63 0.000
Residual 144.33 542 0.266
Total 509.98 547
3 Commitment
Brand Image Network Coverage Customer Service Value added Services Tariff 8.86 0.745 0.742 0.393
Regression 243.48 5 48.695
316 0.000
Residual 83.521 542 0.154
Total 327 547
4 Complaint Behavior
Customer Satisfaction 0.49 0.235 0.234 0.727
Regression 89.51 1 89.51
169.34 0.000
Residual 290.71 550 0.529
Total 380.22 551
227
S.No Dependent Variable
Independent Variable
R R2 Adj-R2
Std Error
Regression Model
Sum of squares
df Mean Square
F-Value
Sig.
5 Trust Customer Satisfaction 0.8 0.639 0.639 0.58
Regression 328.54 1 328.54
975.57 0.000
Residual 185.22 550 0.337
Total 513.76 551
6 Loyalty Customer Satisfaction 0.66 0.432 0.431 0.583
Regression 142.52 1 142.52
419.08 0.000
Residual 187.73 552 0.34
Total 330.25 553
7 Trust Complaint Handling 0.71 0.496 0.495 0.672
Regression 241.51 1 241.51
534.18 0.000
Residual 245.05 542 0.452
Total 486.55 543
8 Commitment Complaint Handling 0.69 0.471 0.47 0.552
Regression 147.09 1 147.09
482.45 0.000
Residual 165.24 542 0.305
Total 312.33 543
9 Loyalty Commitment 0.8 0.633 0.633 0.468
Regression 209.19 1 209.19
953.9 0.000
Residual 121.06 552 0.219
Total 330.25 553
10
Customer Relationship Quality Loyalty 0.74 0.548 0.547 0.687
Regression 315.39 1 315.39
667.99 0.000
Residual 260.62 552 0.472
Total 576.01 553
11 Loyalty Trust 0.75 0.555 0.555 0.516
Regression 183.23 1 183.23
0.267 0.000
Residual 146.68 550
Total 329.91 551
12 Commitment Trust 0.82 0.674 0.673 0.444
Regression 223.94 1 223.94
1137.2 0.000
Residual 108.31 550
Total 332.25 551
13
Customer Relationship Quality
Customer Satisfaction 0.69 0.478 0.477 0.738
Regression 275.32 1 275.32
505.42 0.000
Residual 300.69 552 0.545
Total 576.01 553
228
Table 4A.80: Coefficient Summary (Beta Estimates for Research Model on Customer Relationship Quality, BSNL Customer Perception Survey)
Model
Unstandardized Coefficients
Standardized Coefficients
t Sig. B Std. Error Beta
1 Customer Satisfaction (Constant) -.073 .081 -.899 .369 Tariff .088 .045 .076 1.933 .054 BSNL Network Coverage .177 .029 .185 6.083 .000 Value Added Services .106 .036 .103 2.951 .003 Customer Services .120 .037 .116 3.259 .001 Brand Image .510 .033 .515 15.692 .000
2 Trust (Constant) .022 .093 .239 .811 Tariff .211 .052 .179 4.052 .000 BSNL Network Coverage .123 .033 .125 3.663 .000 Value Added Services .098 .041 .093 2.367 .018 Customer Services .106 .042 .100 2.505 .013 Brand Image .464 .037 .457 12.398 .000
3 Commitment (Constant) .382 .071 5.405 .000 Tariff .243 .040 .257 6.117 .000 BSNL Network Coverage .146 .025 .186 5.752 .000 Value Added Services .161 .032 .190 5.099 .000 Customer Services .051 .032 .060 1.589 .113 Brand Image .236 .028 .290 8.290 .000
4 Compliant Behavior (Constant) 1.513 .109 13.888 .000 Customer Satisfaction .430 .033 .485 13.013 .000
5 Trust (Constant) .664 .087 7.634 .000 Customer Satisfaction .823 .026 .800 31.234 .000
6 Loyalty (Constant) 1.391 .086 16.097 .000 Customer Satisfaction .537 .026 .657 20.471 .000
229
Model Unstandardized Coefficients
Standardized Coefficients t Sig.
7 Trust (Constant) 1.199 .095 12.621 .000 Complaint handling .697 .030 .705 23.112 .000
8 Commitment (Constant) 1.454 .078 18.643 .000 Complaint handling .544 .025 .686 21.965 .000
9 Loyalty (Constant) .674 .081 8.359 .000 Commitment .788 .026 .796 30.885 .000
10 Customer Relationship Quality
(Constant) .212 .120 1.763 .078 Loyalty .977 .038 .740 25.846 .000
11 Loyalty (Constant) 1.133 .078 14.589 .000 Trust .597 .023 .745 26.211 .000
12 Commitment (Constant) .910 .067 13.645 .000 Trust .660 .020 .821 33.723 .000
13 Customer Relationship Quality
(Constant) .872 .109 7.974 .000 Customer Satisfaction .746 .033 .691 22.481 .000
230
Table 4A.81: Summary Results of Null Hypotheses Testing H1a to H11e (One way ANOVA)
Rejected – No difference; Accepted – There is difference
Model Variables
Demographic and Affiliation Variables
Gender Age Occupation Type of service
Period of usage
Tariff H1 a : Accepted
H1 b : Rejected
H1 c : Rejected
H1 d : Accepted
H1 e : Rejected
Network Coverage
H2 a : Accepted
H2 b : Rejected
H2 c : Rejected
H2 d : Accepted
H2 e : Rejected
Value Added Services
H3 a : Rejected
H3 b : Rejected
H3 c : Rejected
H3 d : Accepted
H3 e : Rejected
Customer service
H4 a : Accepted
H4 b : Rejected
H4 c : Rejected
H4 d : Accepted
H4 e : Rejected
Brand image H5 a : Accepted
H5 b : Rejected
H5 c : Rejected
H5 d : Rejected
H5 e : Rejected
Customer Satisfaction
H6 a : Accepted
H6 b : Rejected
H6 c : Rejected
H6 d : Accepted
H6 e : Rejected
Complaint Handling
H7 a : Accepted
H7 b : Rejected
H7 c : Accepted
H7 d : Accepted
H7 e : Rejected
Trust H8 a : Accepted
H8 b : Rejected
H8 c : Rejected
H8 d : Accepted
H8 e : Rejected
Commitment H9 a : Accepted
H9 b : Rejected
H9 c : Rejected
H9 d : Accepted
H9 e : Rejected
Loyalty H10 a : Accepted
H10 b : Rejected
H10 c : Rejected
H10 d : Accepted
H10 e : Rejected
Customer Relationship Quality
H11 a : Accepted
H11 b : Rejected
H11 c : Rejected
H11 d : Accepted
H11 e : Rejected
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Table 4A.82: Hypotheses Summary of Relationship Quality Model Variables
Hypothesis Number
Hypothesis Statement Regression Equation Test Result
H12-a
Tariff of a purchase has positive impact on the Customer satisfaction with the service provider
Customer satisfaction = - 0.073+ 0.088 (Tariff) *+0 .177 Network coverage + 0.106 Value added services + 0.12 Customer service + 0.516 Brand image *Not statistically significant
Accepted
H12-b
Network coverage of a service provider has positive impact on the Customer satisfaction with the service provider
Accepted
H12-c
Value added services have positive impact on the customer satisfaction with the service provider
Accepted
H12-d
Customer Service of a service provider has positive impact on the Customer satisfaction with the service provider
Accepted
H12-e
Brand Image has positive influence on the Customer satisfaction with the service provider
Accepted
H13-a Tariff of a purchase has positive impact on the trust with the service provider
Trust = 0.022+0.211 Tariff+ 0.123 Network quality +0.098 Value added services +0.106 Customer services + 0.464 Brand image
Accepted
H13-b
Network coverage of a service provider has positive impact on the trust with the service provider
Accepted
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Hypothesis Number
Hypothesis Statement Regression Equation Test Result
H13-c Value added services have positive impact on the trust with the service provider
Accepted
H13-d
Customer Service of a service provider has positive impact on the trust with the service provider
Accepted
H13-e Brand Image has positive influence on the trust with the service provider
Accepted
H14-a Tariff of a purchase has positive impact on the commitment with the service provider
Commitment = 0. 382+0.243 Tariff+ 0.146 Network Coverage +0.161 Value added services +0.051 Customer services* + 0.236 Brand image *Not statistically significant
Accepted
H14-b
Network coverage of a service provider has positive impact on the commitment with the service provider
Accepted
H14-c
Value added services have positive impact on the commitment with the service provider
Accepted
H14-d
Customer Service of a service provider has positive impact on the commitment with the service provider
Accepted
H14-e Brand Image has positive influence on the commitment with the service provider
Accepted
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Hypothesis Number
Hypothesis Statement Regression Equation Test Result
H15 Customer satisfaction has negative influence on the level of complaint behavior
Complaint behavior = 1.513+ 0.430 Customer satisfaction
Rejected
H16 Customer satisfaction has positive influence on trust in the service provider
Trust = 0.664+0.823 Customer satisfaction
Accepted
H17
Customer satisfaction has a positive influence on the customer's loyalty to the service provider
Loyalty = 1.391+0.537 Customer satisfaction
Accepted
H18 Customer complaint handling has a positive influence on trust in the service provider
Trust = 1.199+ 0.697 Complaint handling
Accepted
H19
Customer compliant handling has a positive influence in commitment to the service provider
Commitment = 1.454 + 0.544 Complaint handling
Accepted
H20 Trust has a positive influence on the customer's loyalty to the service provider
Loyalty = 1.133 + 0.597 Trust Accepted
H21 Trust has positive influence on the customer's commitment to the service provider
Commitment = 0.910+ 0. 660 Customer Trust
Accepted
H22
Customer commitment has direct and positive influence on the customer's loyalty to the service provider
Loyalty = 0.674 + 0.788 Commitment
Accepted
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Hypothesis Number
Hypothesis Statement Regression Equation Test Result
H23 Loyalty has a direct and positive influences the customer relationship quality
Relationship quality = 0.212 + 0.977 Loyalty
Accepted
H24 Customer satisfaction has a direct and positive influence on Customer Relationship Quality
Relationship quality= 0. 872+ 0 .746 Customer satisfaction
Accepted
*Not significant at 0.05 level
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4.6 THE MODEL FITNESS
The proposed relationships among different determinants of
relationship quality are proved except the relationship between
complaint handling and customer satisfaction (Hypothesis H-15.
Higher the customer satisfaction, the lower the level of complaint
behavior). In the present case, complaint behavior and satisfaction
are going in the same direction. The implication is, complaint
behavior will not reduce satisfaction. Perhaps complaint handling
is more important than the problems that lead to complaints.
Hypothesis H-18 and H-19 show that customer compliant handling
positively influences trust and commitment. As such, it can be said
that the customers of BSNL mobile services have tolerance to
problems and failures and rely more on the complaint handling.
Analysis of perceptions of various demographic and affiliation
segments on complaint behavior and complaint handling revealed
that customers less than 35 years age, students, post-paid and
customers of less than 1 year patronage are not very happy with
complaint handling of BSNL. It is, therefore, considered as not a
good symptom. A threshold level of complaint behavior is desired
as it shows the involvement of customers.
Not complaining indicates indifference, which shows inferior
customer relationship. The current practice of organizations is to
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give more opportunities to customer to complain in the event of
any problem occurrence and take the complaint seriously and
strengthen complaint handling system to quickly resolve the
complaints to the satisfaction of customers. Good complaint
handling, in a way is a good way of compensating the customer
and establishing better rapport.
The results of regression are summarized in tables 4.79 and 4.80.
Table 4A.79 presents the results of R squares, F value, P value and
related data. Table 4A.80 presents the regression coefficient B,
Beta, t and p value. Examination of the summary reveals the
following:
Percentage Variance Explained
1. The value of R squares is above 0.5 in all the cases except
complaint behavior and customer satisfaction (0.235);
2. In case of loyalty and customer satisfaction (0.432), trust and
complaint handling (0.496), commitment and complaint
handling (0.471), customer relationship quality and customer
satisfaction (0.478) which is marginally lower than value of 0.5,
is considered satisfactory.
3. In all other cases the value is ranging from 0.63 to 0.82 which
is good.
Thus the variance explained is ranging from 63% to 82% in
most of the cases and around 47 – 50% in other cases.
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Significance
4. The F value and P value in all the cases indicate that regression
is statistically significant at 0.05 level and is not an occurrence
by chance.
5. Examination of coefficients reveals the contribution of the
independent variables to the dependent variable. The t value
and p value across the variables have indicated that the
independent variables are statistically significant.
6. From the above it can be concluded that the model has a good
fitness.
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Section – B: CRM at BSNL
4.7 ORIGIN AND SERVICES
Bharat Sanchar Nigam Limited (BSNL) is a 100% Govt. of
India owned Public Sector Undertaking with an authorized capital
of Rs.17,500 crore, a paid up capital of Rs.12,500 crore and a net
worth of Rs.63,018 crore. BSNL was formed on October 1, 2000 by
corporatization of the erstwhile Department of Telecom Services.
Vision
To provide world-class telecom services ranging from plain
telephone service to all types of value added service at affordable
prices while ensuring operation with customer orientation. BSNL is
working towards the following objectives:
• To provide the “state of the art” technology for all types of
telecom services in the country.
• To face the competition and excel in its operations in the
Indian/Overseas markets’ by developing proper marketing
strategies and entering into joint ventures.
• To emphasize customer orientation in all its operations.
• To provide all types of telecom services at affordable rates to
every nook and corner of the country including the rural areas.
• To fulfill the telecommunications requirements for the growth
and development of business enterprise in the country.
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4.7.1 Services of BSNL
BSNL is providing comprehensive range of telecom services
in India under four verticals: Fixed Access Land line, Mobile
Services, Broadband Services and Enterprise services. Important
services provided by BSNL are given below.
4.7.1.1 BSNL Landline
1. Basic Land line Services (B-Fone)
BSNL is providing basic land line services through 32,000
electronic exchanges, 326 digital Trunk Automatic Exchanges and
digital Public Switched Telephone Network (PSTN). All these are
interlinked by over 2.4 lakh kilometers of Optical Fiber Cable
(OFC). In basic land line services, BSNL is miles ahead of its rivals,
with 35.1 million Basic Phone subscribers, i.e. 85 per cent share of
the subscriber base and 92 percent share in revenue terms.
2. FLPP - Fixed Line Prepaid
Fixed Line Pre-Paid: FLPP Service enables a subscriber to
make calls from a prepaid account linked to his telephone number.
Unlike the prepaid card 'ITC' service, where the authentication is
done every time through a 16-digit PIN the authentication of FLPP
is linked to his telephone line & the user is not required to dial the
Account number/ PIN for authentication, making it simpler to use.
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FLPP offers:
• Conversion of fixed line to Pre-Paid and get rid of telephone
bills.
• Easy de-linking from telephone line when prepaid is not
required on any number
• No need to dial Account number/ PIN every time a call is
made.
• STD/ISD Facility
• On Line balance enquiry
3. FLPP PCO
There are four types of FLPP accounts
• PCO FLPP Account
• PCO Local FLPP Account
• General FLPP Prepaid Account
• General FLPP Prepaid + Postpaid Account.
• Permanent telephone connection under Sulabh scheme
PCOs can be allotted to franchisees subject to fulfillment of certain
terms and conditions
4. Phone plus Services
Call waiting, abbreviated dialing, hot line, call transfer (call
forward), automatic wake up /reminder call service, number/ call
hunting service, caller line identification presentation (CLIP) ,
calling line identification (CLI) announcement service, phone bell
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check, electronic locking for STD/ISD, call conferencing; Shift of
phone with in the same exchange area , from one exchange area to
another exchange area in Multi-Exchange areas , all India shift; Safe
custody of phone when customer is away from the place, transfer
of phone on general transfer on death or due to name change etc.,
transfer on All India Basis , third Party transfers etc., are offered.
5. Dial up Internet Service and ISDN
ISDN has emerged as a powerful tool worldwide for
provisioning of different services like voice, data and image
transmission over the telephone line through the telephone
network.
Intelligent Network Services
6. Universal India Telephone Card (UITC)
Prepaid Virtual Calling Card (VCC)
• This prepaid card enables customer to make local, STD or
ISD calls even from a Local/STD/ISD barred
telephone/mobile.
• This card purchased in one city can be used in any other city
from BSNL landline/WLL/Mobile.
• The calls are charged to the secret number specified in the
card and not to the telephone connection being used. There
will not be any free calls. There are no registration charges
for this service.
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7. Universal access number
Prepaid Virtual Calling Card (VCC)
• A call to a service subscriber will be paid by the calling party
or split between the calling and called party.
• Service is accessible from networks of other Operators also
There are two types of UAN Services offered to customers:
UAN full charge, UAN split charge.
8. Free Phone (FPH)
Toll Free phone service
• In this a call to a service subscriber will be paid by the called
party.
• All charges are levied on the service subscriber.
• The service is free of any charge to the calling user.
• Service is accessible from networks of other Operators also.
Toll Free phone service is useful to:
• Enterprises or organizations with large customer base or
having call centers.
• Retail products and services Industry.
• Hotels and restaurants.
• Companies providing after sales support. Customers
associate a free phone number with the quality of the
products or services.
• Any business community in general.
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9. MPLS VPN
Keeping pace with the technological trend to provide latest
and varied services to its customers, BSNL harnesses IP
Infrastructure based on MPLS Technology to offer world class IP
VPN services. MPLS is an acronym for "Multi-Protocol Label
Switching".
10. Tele voting Services
Tele voting is unique service used in collecting public opinion.
• A user, who wishes to vote, can dial the specific voting
number to register his vote of choice.
• Tele voting is possible from STD barred phones also.
Tele voting is a more cost-effective method of democratic
deliberation as it does not require the participants/voter to
meet in person.
Who can subscribe for Tele voting service?
• Media like TV and Press.
• Policy making bodies, political party/activities
• Quiz shows, contests, events, product choices, concepts,
programs, song and beauty contests etc.
11. Other Services
• EPABX under franchise plan
• Centrex facilities
• Audio video conferencing
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4.7.1.2 BSNL Mobile Services
BSNL is providing the mobile service, throughout the
country. BSNL mobile phone network has spread across the
country with extensive services. BSNL Mobile gives all India
roaming facility (including Delhi and Mumbai) and International
roaming facility to more than 300 networks across the world.
Apart from roaming facility across the globe, additional services
like Short Message Service (SMS), Voice Mail and Internet Access
through WAP (Wireless Application Protocol) can be availed
through BSNL Mobile services. Call transfer, call holding, CLIP
facilities are also available to BSNL cellular service users.
1. BSNL 2G Mobile Services GSM
• Prepaid
• Post Paid
• GSM PCO
2. BSNL 3G Services prepaid and Post paid
3G is the third generation of mobile communications system.
It enhances the services such as multimedia, high speed mobile
broadband, internet access with the ability to view video footage on
mobile handset.
Features of 3G services
• Video calls, watch live TV.
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• Access the high speed internet, receive emails and faster
download music tracks as well as the usual voice call and
messaging services found on a mobile phone, like person to
person video, live streaming, downloadable video of
entertainment, news, current affairs, sport content and video
messaging
• Tablet data plan
• 3G Data card pre-paid and post paid
• Games with a richer multimedia experience on mobile.
3. BSNL Services Plus - Value-Added mobile phone Services
Some of the value-added services provided by BSNL for its
cellular subscribers are:
• Value Added SIM Based service and SMS based Services.
• Short Message Service (SMS) .
• Group Messaging.
• National & International roaming .
• Call forwarding .
• Corporate Virtual Private Network.
• Call conferencing .
• Friend and Family Talk.
• Call waiting and Call holding facility .
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4. Unified Messaging Service (UMS):
The UMS system can be categorized as per the below
mentioned functionality:
Voice Mail Service (VMS): Using this feature, the voice mail can
be sent to /received by other subscribers having this facility. The
incoming voice message from the mailbox can be accessed.
FAX Message: This feature will enable the subscriber to
send/receive fax message. The fax can be sent to /received by the
subscriber either through BSNL UMN account or using fax
machine.
E-Mail: This feature will enable the subscriber to send/receive
Email/ SMS/Fax/Voice messages. The subscriber has to get BSNL
UMN account for this feature.
E-Mail to Speech (ETS): This feature will enable the subscriber to
receive the Email on the mobile phone.
5. General Packet Radio Service (GPRS)
GPRS offers high speed data services in GSM network. It
uses Packet Mode Technique to transfer data and provide
connectivity to Internet. Users will be able to browse Internet using
handsets supporting Internet browsing. They will also be able use
their e-mail accounts as is being done through landline Internet
access. Also browsing of Internet from Laptops and Desktop
computers is possible by connecting the computer with the GPRS
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enabled mobile handset through a data cable or Infrared
connectivity. Using GPRS, subscribers can download Polyphonic
ring tones, MP3 tones, Color logos, Wallpapers, Videos,
Animations, Games, E-mails and more in their mobiles.
6. Wireless Application Protocol (WAP):
WAP provides a standardized way of linking the Internet to
mobile phones. WAP is an application communication protocol.
WAP is used to access services and information. It is inherited from
Internet standards. It is used for handheld devices such as mobile
phones and PDAs. It is a protocol designed for micro browsers. It
enables the creating of web applications for mobile devices. WAP
uses the mark-up language called WML instead of regular HTML.
The WAP facility is available over CSD & GPRS for the cellular
customers.
7. Multimedia Messaging Service (MMS):
Mobile Messaging is evolving beyond SMS text messaging
with the introduction of MMS. MMS delivers a total communication
experience, allowing personalized multimedia content such as
images, audio, text, video and combinations of these. MMS is a
store and forward messaging service that allows mobile
subscribers to exchange multimedia messages with other mobile
subscribers. Even if the recipient phone is not switched on, the
Multimedia Message will be stored and sent to the recipient as
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soon as he/she switches on their phone. If the recipient has not
subscribed to the MMS service, still he/she can view the MMS
through internet based on the SMS notification he/she gets. The
MMS facility is available over GPRS for the BSNL Mobile
customers.
8. Wireless in Local Loop (WLL)
BSNL provides WLL service in the name of Tarang. WLL is a
communication system that connects customers to the BSNL
Landline network through Public Switched Telephone Network
(PSTN) by using radio frequency signals, instead of conventional
copper wires. This comes with superior voice quality and high
speed data capabilities. The technology used for BSNL WLL
services is CDMA technology and is popular with more than 100
million subscribers worldwide, and the number keeps on
increasing exponentially. WLL Mobile can be operated from any
place by receiving radio signals.
9. BlackBerry services
BSNL offers Blackberry services for its mobile customers. All
the existing mobile subscribers can avail Blackberry services on
existing mobile connection by asking for Blackberry Services.
New subscribers can avail Blackberry services by filling Application
form for mobile connection requesting for Blackberry services also
with mobile connection.
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10. CDMA Fixed
• Pre-paid
• Postpaid
11. Wi Max 12. CDMA Data Card
• Prepaid
• Post paid
4.7.1.3 Broadband internet services
1. Asynchronous Digital Subscriber Line ( ADSL) Broadband
ADSL service: Sancharnet
BSNL is providing broad band internet service under the
brand name Sancharnet throughout the country, except in
Mumbai and Delhi where Mahanagar Telephone Nigam Limited is
operating. BSNL has emerged as the biggest Internet Service
Provider (ISP) in the country. BSNL provides free all-India roaming
and enables its users to access their accounts using the same
access code and user-identification (ID) from any place in the
country.
BSNL has commissioned a world class, multi-gigabit, multi-
protocol, convergent IP infrastructure through National Internet
Backbone-II (NIBII), that will provide convergent services through
the same backbone and broadband access network. The
Broadband service is available on ADSL technology (on the same
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copper cable that is used for connecting telephone), on a
countrywide basis.
The services that are supported include:
• ‘Always-on’ broadband access to the Internet for residential
and business customers
• Content based services
• Internet Protocol TV (IPTV)
• Games on Demand
• Music and Video on Demand
• Voice and Video over Broadband
• IP Telephony
• Distance learning
• Messaging: plain and feature rich
• Multi-site MPLS VPNs with Quality of Service (QoS)
guarantees
Major Highlights of Broadband Service:
• High speed Internet connectivity (upto 24 Mbps)
• Virtual Private Network (VPN) service to the broadband
customers
• Dial VPN service to MPLS VPN customers.
• Multicast video services, video-on-demand, etc. through the
Broadband Remote Access Server (BRAS)
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• Time based or volume based billing with the option to select
the services through web server.
• Pre-paid and postpaid broadband services.
2. Wireless Inter-operability Microwave Access (Wi-Max)
Wi-max technology provides fixed as well as fully mobile high
speed broadband connectivity along with roaming feature. It
provides users a thrilling Internet browsing experience.
Wi-max Services:
• High speed broadband connectivity up to 7Mbps
• Leased Lines
• VPN Services
• Web based Video Conferencing
BSNL offers large variety of Customer Premises Equipment
(CPE). Out door, indoor and USB dongles are offered to facilitate
customer to choose as per their application requirements.
3. Internet Wi-Fi Services
Wi-Fi Services provide high speed internet access at
convenient public locations called as Hot Spots.
Hot Spot Type-A is applicable for public utility services like
Airports, Railway Stations, Universities and their campus.
Hot Spot Type-B is applicable for personal type of services
like Hotels, private owned institutes/ Colleges/ libraries/
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Universities and campuses of institutions. Prepaid schemes for
Hot Spot B owners on commission basis are available.
4.7.1.4 Enterprise Solutions ( Business Solutions)
BSNL offers above technologies and services tailored to
business applications under brand name of ‘Enterprise solutions’.
Following are the important services under this vertical.
1. Enterprise Voice and Mobility
BSNL permits telephone subscribers to use their own
PABX/EPABX connected to the BSNL network under certain
commercial/technical conditions:
• The type of EPABX should be approved by BSNL
• External extensions outside subscriber's premises will be
permitted only on the approval of the concerned authority
and charged as per departmental tariff. In cases where
external extensions from subscriber owned EPABX are
provided within the premises of the subscribers using their
own cables and wires without crossing any public road, no
charge will be levied.
• Subscriber is free to use the existing internal wiring of the
internal extensions left at the premises after the closure of
the EPABX.
• External extensions from subscriber owned PABX may be
provided by the department and charged. Underground
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cables and lines may continue to be maintained by the
department since the same may be required for provision of
various telecom services the subscriber may require.
2. Voice Virtual Private Network service (voice VPN)
• VPNs provide connectivity between two or more places using
a previously established, shared network infrastructure
without having to deploy new, dedicated hardware for this
purpose.
• Use this service by dialing short codes to have a private
network using public network resources. This service brings
down telephone bills due to special package tariff for calls
within VPN.
• Good for institutions, Government departments and
businesses. All type of companies, distributors, firms,
institutions, housing society will find this very useful.
3. Integrated Services Digital Network (ISDN)
ISDN is being viewed as the logical extension of the
digitalization of telecommunication network and most developed
countries are in different stages of implementing ISDN.
An ISDN subscriber can establish two simultaneous independent
calls on existing pair of wires of the telephone line whereas only
one call is possible at present on the analog line /telephone
connection. The two simultaneous calls in ISDN can be of any type
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like speech, data, image etc. The call setup time for a call between
two ISDN subscribers is very short, of the order of 1 to 2 seconds.
ISDN also supports a whole new set of additional facilities, called
Supplementary Services.
Connectivity:
The ISDN subscriber will have full connectivity, nationally, to
other analog telephone subscribers. At present ISDN services are
available to and from India for the following countries:
• Australia ,Austria , Belgium , Canada , Denmark , France ,
Germany, Ireland , Italy , Israel , Japan , Malaysia,
Netherland , Norway, Philippines, Singapore , Switzerland ,
Thailand , U.A.E , U.S.A
Services Offered By ISDN
• Normal Telephone & Fax (G3)
• Digital Telephone -with a facility to identify the calling
subscriber number and other facilities.
• G4 Fax
• Data Transmission at 64 Kbps with ISDN controller card
• Video Conferencing at 128 Kbps
• Video Conferencing at 384 Kbps with 3 ISDN lines
ATM (Asynchronous Transfer Mode) or PVC (Permanent
Virtual Circuit)
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4. Centrex
It is central office based communication service which
integrates all multi located Telephone lines (Existing and New) into
a single highly functional communication group with more
distinctive features without any additional equipment like EPABX
with the following advantages:
• Highly Cost-effective
• Intercom calls charge free
• No risk of Obsolescence of technology
• No need to waste valuable floor space
• No annual maintenance charges
• Totally flexible
In addition to above distinctive features subscribers can
have all the normal features like - wake up call, call wait, Dynamic
lock, Abbreviated Dialing, Hot line etc.
ISDN line can also be integrated in Centrex.
5. Enterprise Broad Band
• Wi Max
• Wi Fi
• EVDO (Enhanced voice data optimizer) with CDMA
technology
Enterprise Wi Max Service
BSNL offers large variety of Customer Premises Equipment
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(CPE). This includes Outdoor, Indoor and USB dongles.
Indoor: Best suited for Home/Office users. Also be used in moving
vehicle.
Dongle: Small Dongle can be connected directly to PC / Laptop via
USB port.
Outdoor: Suitable for remote and rural areas. Can be used 15 Km
distance
WiMAX Services:
• High speed broadband connectivity up to 7Mbps
• Leased Lines
• VPN Services
• Web based Video Conferencing
• Internet Wi-Fi
Wi-Fi Services have been introduced for providing high speed
internet access at convenient public locations hereunder called as
Hot Spots
Hot Spot Type-A is applicable for public utility services like
Airports, Railway Stations, Universities and their campus etc
initially for a period of 90 days from the date of its launch.
Hot Spot Type-B is applicable for personal type of services
like Hotels, private owned institutes/ Colleges/ libraries/
Universities and their campuses etc. Prepaid schemes for Hot Spot
B owners on commission basis is also available
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6. Internet Data Center IDC
1. Managed co location services
BSNL IDC is a service brand name for the data center
services. Currently IDCs are located at Ahmedabad, Bangalore,
Cherthala , Faridabad , Ghaziabad , Hyderabad , Jaipur,
and Ranchi. Ludhiana, Mumbai
Data Center Solutions enable clients to empower their
business by outsourcing their IT operations in a smart and secure
way. This helps clients to concentrate on their core business
management responsibilities.
Co-location refers to co-locating server or hardware at a
Service Provider's Data Center and willing to pay only the rental
charges for Bandwidth, racks space and climate control. Customer
need not to approach BSNL every time they need to do up
gradation or changes in system applications like rebooting or
installation of new programs. BSNL provides complete control and
hence access to co-located server with proper authentication.
2. Managed Hosting Service
It is a type of hosting in which the Customer leases an
entire/or part of server dedicated/or shared with anyone. This is
more efficient, client oriented and flexible. Here Customers are
having full control over the servers and has choice of operating
system, system configuration etc. Customers have to pay according
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to their requirement about system configurations. It can provide
less overhead and a larger Return on Investment (ROI).
Managed hosting solutions are extensive range of services to
host and manage infrastructure and application through royal
banquet of hosting solutions. It provides a wide portfolio that can
give customers the solution they seek. BSNL can procure, own,
integrate, support, maintain and manage the IT assets needed by
the customer. The customers have to pay for IT service as utility
with full control over the configuration including the choice of
operating system and system configurations. BSNL can provide
server administration as add on service.
3. Managed Network Services
BSNL Managed Network Services is a fully managed Secured
Data services, providing a one-stop shop and a complete
experience that significantly reduce risks and complexities involved
in implementing and maintaining a robust IP network. It brings
together all of a business communications needs in an integrated
offering.
4. Managed IT Services
Clients can use BSNL expertise in managing servers, storage,
security, database, backup and capacity planning, facilities
management, service desk operations and remote infrastructure
management.
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Dedicated accounts managers to manage:
• System Management
• Storage management
• Database management
• Backup & DR management
• Web/Application management
• Network management
• Managed secure infrastructure
• Facilities management
The primary focus of managed services is to enhance the
efficiency of business management. This can be achieved by
relegating repetitive or time
5. Managed Cloud Services
A cloud service is synonymous concept with the electricity
grid, wherein end-users consume power without needing to
understand the component of devices or infrastructure required to
provide the service.
BSNL service offerings allow businesses to increase
information technology capacity or capabilities quickly without
being bogged down by the expense of buying new infrastructure,
licensing software and training staff.
BSNL Cloud Services includes central computing and data
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storage IT infrastructure accessible through public internet and by
dedicated or shared or virtual model.
7. Global Audio Conferencing
BSNL has launched Global Audio conferencing Service in
association with British Telecom (BT). It is an easy to use,
reservation-less conferencing service aimed at Enterprise
customers. There are no charges for service subscription. Charges
are only for the usage of the service. Presently Global Audio
Conferencing, Global Web Conferencing are offered
8. BSNL Managed SaaS (Software as a Service) Business Mail
Service
BSNL Managed SaaS (Software as a Service) Business Mail
Service has been launched with M/s Microsoft India Ltd.
9. Managed Leased Line Service (MLLN):
The MLLN is a Managed Leased Line Network system which
is proposed to provide Leased line connectivity. The State-of-the-
art technology equipment MLLN is designed mainly for having
effective control, monitor on the leased line so that the down time
is very much minimized.
10. Speech Circuits (Hot Line or Private Wire) :
Local or Long distance circuits within two locations in a city
or between two different cities provided for the same applicant.
The Terminating equipment at both ends is telephone without
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dialing facility. Both way signaling and speech is possible.
11. Data Circuits:
Local or Long distance data circuits at different speeds viz.
64 kbps and 2 mbps are available . Data Circuits are of different
types:
1. Point to Point Data Circuits - Local and Long Distance
2. Private Data Network - More than one Local or Long Distance
leased circuits converging on a location such that data from one
leased circuit can be transferred automatically to another leased
circuit for the same subscriber.
3. Closed User Group - Leased circuits can be used by more than
one legal entity if they form closed user group. The following
categories of user groups constitute closed user groups for the
purpose of licensing Private Telecom Networks.
• Travel agents issuing tickets on the member airlines, whose
network they use including the network of a group of member
airlines.
• Computerized Reservations System (CRS) service Producer of
goods and his whole -sale traders /agents.
• Provider of service (not being a telecommunication service)
and his whole-sale traders/agents.
• Providers of the same category of products/service.
• Holding company and its subsidiaries.
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• Interconnected undertakings.
• Companies under the same management
• Service providers owned by airlines.
• Shared networks of banks for use of Automatic Teller
Machines (ATMs), Electronic Points of Sale (EPOS)/credit
authorization terminals.
• Financial institutions registered primarily to deal in
securities and their agents/dealers.
• Financial institutions registered as Mutual funds and their
agents.
• Financial institutions which are registered as depositories
and their agents/dealers.
• Other non-banking financial institutions
12. Telegraph and Tele-printer Circuits
Local and long distance Telegraph and Tele-printer Circuits.
13. International Leased Circuits:
Provided through VSNL
14. MPLS Based VPN Service
Keeping pace with the technological trend to provide latest and
varied value added services to its customers, BSNL harnesses IP
Infrastructure based on MPLS Technology to offer world class IP
VPN services. MPLS is an acronym for "Multi-Protocol Label
Switching".
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MPLS VPN is a technology that allows a Service Provider like
BSNL to have complete control over parameters that are critical to
offering its customers service guarantees with regard to bandwidth
throughputs, latencies and availability. The technology enables
secure Virtual Private Networks (VPN) to be built and allows
scalability that will make it possible for BSNL to offer assured
growth to its customers without having to make significant
investments. BSNL would now be geared to provide Bandwidth on
demand, Video Conferencing, Voice over IP (VoIP) and a host of
other value added services .
15. Internet Leased Line
Handsome discounts are available to the Enterprise
Customers on the card rates.
16. VSAT Technology
The network consists of a Hub located at Bangalore and
VSATs located throughout the country. The VSAT communicates to
the HUB through Express AM1 Satellite. All VSATs are connected
in STAR topology and VSAT to VSAT communication is through the
HUB at Bangalore. Ku band VSAT network of BSNL is capable of
providing high speed data transfer up to 2Mbps and voice
communication service covering the entire country.
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• Some of the BSNL VSAT customers are: PNB, SBI, Vijaya
Bank, Syndicate Bank,
• Bank of MH, Air India, King Fisher Airlines, LIC, ONGC,
IOCL, NHPC,
• NTPC, NIC (State Govt. Projects), Power Grid, GB Pant
Institute, Singareni Collieries, BEML, HLL, Jindal, KLE
Society (Medical), Pacenet,
• ABAN, Trans Ocean and so on.
With V SAT connectivity is made possible even at those
locations, which cannot be connected through conventional media
like copper cable, optical fiber, radio, microwave and any other
wire-line / wireless links. VSAT is a versatile solution, not only as
a reliable primary link for non-feasible areas, but also as a very
successful alternate technology for back link. It also offers plethora
of telecom services viz. data transfer, internet, voice, video etc.
17. Managed Leased Line Network Services
To transmit data between computer and electronic
information devices, BSNL provides data communication services
to its subscribers. The MLLN is a Managed Leased Line Network
system which is proposed to provide Leased line connectivity. The
state-of-the-art technology equipment MLLN is designed mainly for
having effective control, monitor on the leased line so that the
down time is very much minimized. This system will provide
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security to data transfer between long distant branches of a
company. This is useful especially for banks, information
technology companies etc.
18. Audio Conferencing
Audio Conferencing service of BSNL allows multiple
participants to converse with each other regardless of their location
through the normal fixed line telephone or cellular phone. An
audio conference subscriber can add two or more participants in a
particular conference. The customers can schedule their audio
conferences through the Web or through IVR.
19. Video Conferencing
Video Conferencing service allows multiple participants to
converse with each other regardless their location through the
video end-points or Personal computers. It involves Video and
Audio communication. A video conference subscriber can add two
or more video participants in a particular conference. The
customers can schedule their video conferences through the Web.
20. Web Co-location Services
Web colocation is a solution to house a company's powerful
infrastructure without losing the administrative control on the
equipment. Web Co-location eliminates much of the Infrastructure
costs as well as the maintenance cost of such equipment apart
from avoiding the last mile problems. Web Co-location enables
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customer's equipment/ Servers to be treated as a part and parcel
of the ISP network enjoying all the facilities as the ISP servers. Web
Co-location provides the infrastructure at a nominal value keeping
the customer comfortable and focused in maintaining the
Applications/Services of the company. Apart from enjoying the
bandwidth and facilities, the customer retains control over his
equipment, software and operating system. The customer simply
leases the physical space and high-grade, tier one network access
from BSNL the hosting provider.
BSNL provides Internet services to the customers located in
about 450 locations. Web Co-location is easy and cost effective.
Typical Applications : E-commerce, financial, B2B, email and other
data storage and retrieval .
21. Web Conferencing Facilities
BSNL Web Conferencing Service enables the customers to
conduct virtual meetings with their partners, suppliers, employers
etc. It has the innovative feature such as persistent meeting rooms,
which simulates physical room environment wherein authorized
users can enter their designated rooms the way they do in physical
meetings. The users can access the rich features, apart from multi-
point, multi-media (Audio, Video & Data) conferencing service.
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22. Fleet tracking (e track)
An innovative on-line tracking system powered by BSNL to
manage fleets comprising of trucks, car carriers, trailers, tankers,
containers or vehicles moving hazardous and specialty explosive
chemicals etc.
The eTracK vehicle tracking system uses vehicle-mounted,
microprocessor-controlled device which sends periodic messages
from the vehicle to a network command center through
SMS/GPRS. The received data is authenticated and forwarded to
an application server which provides tracking information through
an internet. Customers are provided a user name and password to
access the fleet information on line. The user also has options to
receive tracking information via e-mail, fax or SMS besides the
facility of calling the customer support team on a toll-free
telephone line.
23. Video Surveillance
BSNL in association with M/s Rivacom Pvt. Limited presents
real-time, total video surveillance solutions. Video surveillance over
an IP network allows customer to access from anywhere, and at
any time, super sharp video feeds generated from customer
premises. The service offers a varied range of surveillance solutions
that can be customized according to customer preferences. From
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site survey and installation to 24*7 supports, BSNL offers total
solutions.
4.8 Rural Telephony – a Growth Factor
The strategy of government for network expansion in rural
areas mainly involves provision of phones in the viable areas
through market mechanisms and through Universal Service
Obligation Fund (USOF) in the non-viable areas.
The Universal Service Policy came into effect from April 1,
2002. Under USOF to create infrastructure in rural and remote
areas, Village Public Telephones (VPTs) and Rural Community
Phones (RCPs) were set up for public access. Having realised the
role of wireless phones because of the convenience, affordability
and the capacity and to reach out to the masses, particularly in
rural and remote areas, efforts have been made under USOF
(Universal Service Obligation Fund) to strengthen infrastructure for
providing wireless phone services in these areas.
In pursuit of mission for better life for rural communities,
backbone infrastructure to provide broadband connectivity to
Village Panchayats, Post Offices, Common Service Centres,
Schools, Colleges and Universities. BSNL has provided 5.76 lakh
Village Public Telephones, 21958 Rural Community Phones, 41
million phone connections and 9.3 lakh broadband connections in
rural areas. Special focus is being given on broadband connectivity
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to Customer Service Centers, Panchayats, Colleges and
Universities. Broadband accessibility will make it possible to drive
information, knowledge and content to the people in rural India.
A scheme of Rural Community Phones (RCPs) has been launched
Under Bharat Nirman, a target of providing Village Public
Telephones (VPTs) in 66822 uncovered villages. It is envisaged to
provide support for setting up and managing 7871 number of
infrastructure sites spread over 500 districts in 27 states of the
country for the provision of wireless phone services. The
infrastructure so created will be used in the provision of wireless
phone services in the specified rural and remote areas, where there
is no existing fixed wireless or mobile coverage.
4.9 Nature of Competition
In cellular services, the mode of competition has shifted from
acquiring new subscribers to retaining existing customers and
luring away customers from rival companies. As penetration of
cellular services increases each year, avoiding switch over of
customers and maximizing customer loyalty has become a serious
concern for cellular services companies (Kim and Yoon, 2004).
This is true in Indian context too.
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4.10 Quality of Services and TRAI
Telecom Regulatory Authority of India (TRAI) is the
regulatory body for monitoring the functioning of the
telecommunication service companies in India.
TRAI’s mission is to create and nurture conditions for growth
of telecommunications in the country in a manner and a pace
which will enable India to play a leading role in emerging global
information society. One of the main objectives of TRAI is to
provide a fair and transparent policy environment which promotes
a level playing field and facilitates fair competition. In pursuance of
the above objective, TRAI has issued from time to time a large
number of regulations, orders and directives to deal with issues
coming before it and provided the required direction to the
evolution of Indian telecom market from a Government owned
monopoly to a multi-operator multi-service open competitive
market. The directions, orders and regulations issued cover a wide
range of subjects including tariff, inter connection and Quality of
Service (QoS) as well as governance of the Authority.
• QoS Benchmarks for Cellular Services according to TRAI
TRAI has finalised the QoS standards after extensive
consultation with the stakeholders and also based on the QoS
standards in the licenses of the new entrants and also of the
prevalent international practices. As per the TRAI Act, the
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Authority is not empowered to directly penalize the service provider
for any act of omissions or for non-achievement of benchmarks
mandated by it in its QoS regulation.
The cellular QoS parameters have been divided into four
categories as given under:
1. network performance
2. Customer helpline
3. billing complaints and
4. Customer perception regarding services.(removed from its
quarterly assessment list (TRAI, 2008).
1. Network Performance
The network performance deals with technical parameters
and includes parameters viz. “Call set up success rate, service
access delay, blocked call rate, call drop rate, measurement of
voice quality, service coverage and congestion in the network”.
These are measured during the Time Consistent Busy Hour
(TCBH).
2. Customer Help Line
The customer help line includes parameters, which reflects
the speed with which a call to the customer care center is
answered by either an IVR system or by an operator.
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3. Billing Complaints
Billing complaints deals with the percentage of complaints
received related to billing, time taken for the resolution of the
complaints and also time for making the refund to the customer.
4.11 CHALLENGES FACED BY BSNL
BSNL has been facing following challenges:
1. Migration of customers to the competitors.
2. Surrendering of services
3. Loss of revenue and profits
4. Underutilization of the network
5. Surplus staff
6. Low telecom traffic
4.12 INITIATIVES FOR EFFECTIVE MARKETING
Several steps are initiated by BSNL to strengthen its
operations and improve its offers.
Telecom Advisory Committee (TAC)
Telecom Advisory Committee consisting of the members --
local MPs / MLAs and other leaders nominated by the Ministry of
Communications / Department of Telecommunications for
advising the BSNL authorities at district / state level. BSNL
conducts periodical meetings with TAC members, for their
suggestions on telecom services. TAC members represents the
people from their respective constituencies and give feedback on
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BSNL services for improvement. They also coordinate with other
State/Central Govt. authorities to settle certain issues which are
hindrances for the company to extend their timely services up to
the mark. For example, to acquire land from local
panchayat/Municipality to erect BSNL cell towers, coordination
with PWD/Municipal/R&B in road widening works to avoid
damage to BSNL underground cables etc.
Franchisees and Direct Selling Agents (DSAs)
BSNL has been aggressive in marketing and business
development activities at par with private operators. BSNL
appoints franchisees by open tenders under terms and conditions.
Franchisees operate the business transactions on behalf of BSNL
on commission basis and they have showrooms in their operating
areas. It is noticed that more than 90 per cent of the BSNL
business is carried out by the franchisees. Franchises and DSAs
are paid commission on transaction basis. 90 % commission paid
on sale of SIMs and 5% on the sale of recharge cards and top up
etc.
Promotional strategies
Most of the promotional strategies revolved around capturing
the younger generation who formed a major part of the target
market. Celebrity endorsements, special season offers, festival
discounts, and innovative advertisement campaigns were used by
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the BSNL as tools to push back the competition and increase their
market share.
i) Roadshows: BSNL is conducting Roadshows and
Reconnection Melas at various commercial and residential
areas in order to attract the defaulters to rejoin with BSNL
by offering various schemes, rebates and rental waive offs
etc. and offer fresh connections on spot, on demand by
completing all nominal formalities.
ii) Attractive tariffs, plans and value offers: BSNL is
continuously introducing innovative and attractive plans and
tariffs to all categories of customers such as employees,
students, housewives, business people etc. which are
attractive and economical. BSNL is drastically slashing pulse
rates on landline, cellular and broadband services.
iii) Advertisement campaigns: BSNL is using print, electronic
and press media to highlight its plans, schemes, offers,
festival bonanzas and tariffs to reach every common man by
giving vast publicity.
Customer care activities
1. Personal attention to corporate customers.
2. Improving the quality of response at call centers.
3. Opening of more customer service centers (CSCs).
4. Providing round the clock service at CSCs.
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5. Proper training to the CSC staff on behavioral aspects.
6. Providing total information at SINGLE POINT.
7. To analyze the reasons for large scale surrendering of
telephones and reconnect campaigns
Public Grievances/Customer Relations
To sort out grievances and customer relations, BSNL is
organising open house sessions and dial your GM programme and
arranging select customer visits.
i. Holding of Open House Sessions - BSNL conducts Open
House Sessions and Telephone Adalats at SDCA centers (at
District level) to know the grievances of the customers of the
respective SDCA and to settle the issues then and there.
ii. Dial your GM programme – BSNL conducts this programme on
every week to answer the questions/grievances of customers
of BSNL over telephone anywhere in that District/SSA directly
with the SSA Head for a stipulated time. In this programme,
customers directly bring their grievances to the higher
authority to redress their complaints.
iii. Select customer visits - Periodical courtesy visits by higher
officers to high caller customers, commercially important
customers, and corporate customers in order to maintain
better customer relationships, redress the grievances, if any,
and sought their suggestions for providing better services.
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iv. Sales Promotion schemes such as:
1. Offering incentives such as commission etc to franchisees
and empowering heads of service area/circle/state to offer
sales incentives and target linked comissions matching
with other operators.
2. For PCOs additional incentives were given such as
reduction in the minimum guarantee amount along with
additional opportunities to STD PCO owners to:
• Own a mobile PCO
• Telephone bill collection
• To use STD PCO as cyber café
• Sale of SIM cards, recharge coupons on commission
basis,
• Delivery of telegrams etc.
3. Waiving of installation charges & security deposit on Basic
Phones and waiving of rental for the disconnected period
both on B-Fones and mobiles.
4. Phone-on-Phone scheme in selected cities of the country to
provide new phone within 48 hours of customer demanding
phone through a phone call. No additional security for
mobile phone for existing BSNL customers. The shifting
charges of Telephone within local area or to any part of the
country have been waived off. The restoration of B-Fone
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without paying rentals for the disconnected period was
introduced repeatedly.
5. Waiving of installation charges for new telephones. Second
Basic phone connection at concessional rate exclusively for
internet & student internet schemes. Various contests have
been organized for customers to promote BSNL service.
6. Waiving of activation charges for commercially important
customers for less than 50 cellular connections.
7. To leverage its marketing efforts, BSNL has tied up with
many companies like IOC, HCL, and NTPC etc. They are its
MOU partners and provide synergistic effect through their
distribution network. A discount as percentage of sales.
These measures taken from time to time have achieved
varying degree of success.
4.13 NEW PROJECTS
In order to improve the competitive advantage, several
projects were launched by BSNL that aim at strengthening BSNL
in different fronts as given in Table 4B.1
Table 4B.1: Projects for Multifaceted Strength of BSNL S.No Name of the
Project Purpose
1 Udaan To rapidly expand broadband subscriber base
2 Vijay To improve sales and distribution management
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S.No Name of the Project
Purpose
3 Dosti To innovate on PCO business model to generate new revenue sources
4 Kuber To ensure that the revenue earned by BSNL is properly billed to customers and collected from them.
5 Shikhar To develop of an overall strategic agenda across BSNL’s key businesses including customer segmentation, sales channel management as well as product management
6 Smile To improve the effectiveness of BSNL Customer Service Centers.
Source: BSNL Chairman’s internal circular to employees.
Project “UDAAN” – for Fixed Access
The overall objective of Project “Udaan” is to rapidly expand
broadband subscriber base while reducing churn in wire line voice
subscribers and increase realization from existing subscribers.
1. By defining new product / price plans that will address specific
requirements of various customer segments
2. By creating a new sales force to actively reach out to customers
3. Making customer service processes more friendly and
responsive to subscriber requirements
4. Optimizing service delivery process for fast provisioning of
connections
Project teams are motivated with incentives. Field units depute
staff exclusively to respective projects and the team members are
get motivated by financial incentives for better performance along
with daily transport and dearness allowances apart from their
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usual pay and allowances. Staff is allocated for Product & Pricing,
Sales & Alliances, Customer Service and Service Delivery.
1. Project VIJAY – Mobility
The key objectives are to design channel structure
i) create channel management team
ii) develop improved channel norms to improve retailer
reach, create appropriate incentives and improve
performance monitoring of channel
iii) implement proposed channel structure for franchisee
network
iv) test other recommendations on tariff and handset
bundling, if appropriate
The key activities identified and initiated are:
1. Conduct comprehensive retailer survey to:
− Map existing telecom retail universe in targeted SSAs
− Measure BSNL's reach and extraction in different types of
outlets to identify improvement opportunities
2. Assess evolution of mobile market in pilot geographies over the
next 5 years
− Calculate overall and addressable market potential for
BSNL
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− Help BSNL set the right targets for the franchisees and
sub-franchisees
3. Design the overall distribution channel set up for mobiles
including franchisees, sub-franchisees and retailers
4. Create a new channel management team comprising BSNL
employees to
− Manage franchisees and sub-franchisees (FMT)
− Interact with retailers (RMT)
5. Revise existing channel management norms and processes (e.g.,
retailer service frequency, ordering and delivery process, audit
norms, etc.)
6. Define key metrics for success and set up a rigorous monitoring
mechanism
3. Project DOSTI
The overall objective of project Dosti is to reduce decline in
BSNL’s PCO business by reducing churn of existing PCO operators
and innovating on PCO business model to generate new revenue
sources (both for BSNL and PCO owner). Specific objectives
include:
1. Increase PCO connections through reduction in churn & sale of
new connections
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2. Facilitate sale of ‘Broad-Band Enabled’ services model to
existing and new PCO’s
3. Convert PCOs to sell full spectrum of BSNL products & services
The key activities identified and initiated are:
1. In-depth analysis done to identify key issues faced by PCO
subscribers
2. Action plan developed to increase sales and reduce churn
− Improve management of DSA channel
− Improve customer service and pricing
3. Plan developed to facilitate sale of ‘Broad-Band Enabled’
services model
− Central team to create tie ups with banks, vendors
− Marketing support team to help create awareness
4. Project KUBER
The overall objective of project Kuber is to ensure that the
revenue earned by BSNL is properly billed to customers and
collected from them. It is being executed in the targeted telecom
district. Specifically focus is on two areas:
1. Collection of bad debt, with focus on amount less than 2 years
old
2. Identification & billing of leased circuits that are currently not
getting billed
The key activities identified and initiated include the following:
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1. Collection of bad debt:
− Segmentation of bad debt by age and account size. The
following segments are used:
o Age: 90-180 days, 180-360 days, +360 days
o Account size: Low, Middle, Large, Very Large
− Appointment of collection agencies for bad debt that are in
the ‘Middle’ bucket
− Follow up by BSNL team on accounts that are in the ‘Large’
and ‘Very Large’ buckets
2. Leased circuits billing:
− Process defined for identifying unbilled circuits
− Data collection underway from all the exchanges in the
targeted area.
5. Project SHIKHAR
Objective of the Project – This, is a transformation exercise,
will cover development of an overall strategic agenda across BSNL’s
key businesses including customer segmentation, sales channel
management as well as product management. It will also look at
appropriate strategic initiatives in operations as well as in Human
Resource Management in order to implement the new strategy
effectively. All this is aimed at making BSNL more capable to thrive
in a very competitive market place.
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Project SMILE
The objective of the Project SMILE aims to improve the
effectiveness of BSNL Customer Service Centers (CSC). The
effectiveness has been defined in terms of the processes being
carried out from CSC, processes which can be introduced from the
CSC, increasing the timings of CSC counters to ease out the rush
at particular hours and make the interactions speedier, fruitful for
the customer as well as BSNL and lastly get out of the “old aunty
like looks” of the CSC, by converting the ambience in lines with the
“corporate looks”. This project is under pilot survey for its final
implementation. Revitalizing the CSCs is essential, as it falls under
tangible services, a significant element of the Service Quality
dimension
4.14 OBJECTIVES OF CRM INITIATIVES AT BSNL
As per the senior employees of BSNL AP Telecom Sector, the
CRM objective BSNL are:
1. To provide the necessary information to the customers as
and when they require it
2. To resolve the complaints registered by the customers in
quick time and ensure that the problems don’t reoccur
3. To deliver the services required by the customers in an
effective manner
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4. To retain existing customers by providing superior service
5. To identify key customers and establish relationship with the
key customers by focusing on their needs and set service
levels commensurate with their present and future business
potential
6. To collect data on customers regularly and use to customize
the products and services
7. To improve customer service centers. To create customer
complaint management system to enable employees to solve
the complaints lodged by the customers
8. Proactive customer care through systematized contact
schedule such as welcome call, tele calling , first bill call, bill
dispatch, alerts and reminder for payment
9. Training of human resources
10. Retention and churn management
11. Collection and Risk management
12. Fraud Management
Sources:
1. Annual Reports, 2006-07, 2007-08, 2008-09 and 2009-10,
2010-2011, 2011-2012 of Department of Telecommunications
2. Reports of Association of Unified Telecom Service Providers of
India from auspi.in
3. Blue book on Roll out of PROJECT SMILE of BSNL
4. Telecom Regulatory Authority of India (TRAI), Annual Report
2007-08, 2008-09 and 2009-10, 2010-2011, 2011-2012
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5. ICRA Information Services (2002)
Websites:
http://www.trai.gov.in/
http://www.bsnl.co.in
http://www.telecomindiaonline.com
http://www. icraindia.com
http://www.dot.gov.in/
http://www.coai.in
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Section - C:
Perceptions of Employees on CRM Practices of BSNL
4.15 INTRODUCTION
It is very important to understand the perceptions of
employees with regard to the objectives and the practices of any
important project or operational area, as the success of
implementation of a programmer depends on how the people
responsible for its success understand and prioritize the objectives
and what is being presently done. In this chapter, the objectives of
CRM programme of BSNL, as perceived by their employees are
studied. It also reports the practices BSNL uses to develop and
maintain customer relationships, as identified by the employees.
This would help in making more practical and meaningful
recommendations to BSNL on CRM practices
4.16 NEED FOR THE SURVEY OF EMPLOYEE PERCEPTIONS:
Survey of BSNL customers in respect of the relationship quality
and its antecedents- loyalty, trust, commitment, satisfaction and
perceived value and study of the influence of gender, age, occupation,
and type of service etc. on the perceptions and relationships of
various constructs and validating the model has helped to know
what respondent customers feel about the five industry specific
service quality and value enhancing practices (tariff, brand image,
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network coverage, customer service and value added services),
satisfaction, trust , complaint handling etc. It also helped to find
linkage between various constructs of CRM model applied to the
context of BSNL AP Telecom circle.
The objective of this research is not only to prove the validity of
the model but also based on what is found, suggest some measures.
It is necessary to extend the study to gain employee perceptions on
CRM objectives and their priorities and the present practices. This
would provide helpful inputs to make suggestions with focus on both
customer and employee perceptions.
Key Questions:
What are the perceptions of customers on BSNL practices that lead
to quality of CRM?
It is found that the five dimensions- Tariff, Network coverage,
value added services, customer service and Brand image, are
positive and led to moderate satisfaction with BSNL services. – The
complaint behavior is not significant. Complaint processing is not
fast enough at BSNL but BSNL is reliable and cares about
customers and provides predictable services. Commitment is
partial and loyalty is not very strong. Relationship quality is
moderate.
These findings necessitate actions to improve CRM of BSNL
What BSNL employees feel about what they are doing? (practices)
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Several surveys have revealed that CRM is still a vague
concept when it comes to implementation. Some perceive that CRM
is only a fashionable phrase and there is nothing new in this. They
feel that CRM is already being practiced by the organization in one
way or the other in its current marketing programme, although it
is not called by the name of CRM. Some feel that it is too advanced
and technology oriented and cannot be practiced without help of
IT. They feel that CRM is the job of the top management and
working level people cannot contribute to its success on their own
because of involvement of high technology, budget and other
resources, which are beyond the control of ordinary employee.
During preliminary discussions with the employees of BSNL,
many informed that CRM is not practiced at BSNL and being in a
public sector, BSNL is too slow to adopt such new concepts. Some
felt that CRM is only feasible for the high credence services like
banking, health and financial services where there is a lot
interaction with customers on day to day basis. Some others felt
that CRM is applicable when dealing with large clients and is not
relevant and practical when it comes to large number of retail
customers, who are scattered and too small to justify attention and
resulting expenditure.
Some felt that CRM is software and is too technical for them
to understand and contribute to its practice. As the response was
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very vague and not satisfactory it was decided to conduct a survey
to understand the perceptions of BSNL employees. The survey is
planned to cover employee perceptions on the practices of BSNL to
understand customer needs, design and deliver products/services
to customers, support the customers in availing BSNL’s offers and
specific efforts to focus on retaining existing customers apart from
attracting new customers, enhance value of their service, increase
customer satisfaction and promote trust. The results indicate that
BSNL employees reasonably perceive what is being done at BSNL
although they are unable to link them to CRM at the outset.
This chapter reports the employee perceptions.
4.17 CRM PRACTICES AT BSNL
A separate questionnaire was administrated to employees.
The questionnaire contains 24 statements pertaining to good
marketing and CRM practices, which are collected from literature
review on CRM practices. The employees are asked to indicate their
agreement on the extent to which they are being practiced at BSNL
on a seven point scale. 160 duly filled questionnaires which are
complete in all respects are received.
CRM practices involve marketing orientation with emphasis
on key customer focus, design of organization around key
customers/segments, employee training, right hard ware, software
290
and right people with expertise. Another key variable is setting
goals and standards and monitoring the performance at customer
touch points. Commitment of time by top management to maintain
customer relationship is another important area. Most important
practice, is rekindling the relationship to regain lost customers.
Maintaining customer data and information at customer touch
point would speed up the customer service. Employee CRM
performance management is pivotal to the success of CRM
implementation. All employees should treat key customer, for that
matter all the customers with care. Measuring the employee
performance and rewarding the good performance based on his
meeting customer need and customer service. Another key item in
CRM practice involves maintaining customer employee relationship
and reinforcing it through customer to customer relationship by
organizing meets events to foster relationship and creating
opportunity to customer to visit contact points for advice and help.
User friendly systems, effective advertisement with emotional
appeal are some of the key elements. Based on literature review,
five variables, namely marketing orientation, design of organization
and resources, setting goals and standards, technology and IT
support, employee CRM performance management are considered
as important and covered in this survey.
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4.18 PROFILE OF RESPONDENTS
The personal details of employees are not solicited in view of
confidentiality demanded by employees. The sample is divided into
categories based on variables of education, area of work, cadre.
The sample is dominated by commercial graduates/post graduates
(57%), marketing and customer support persons(76%), operations/
technical staff (25%). Supervisors form 50% and balance comprises
of managers (26%) and executives (24%)
Table 4C.1: Profile of Respondents Variable Category Frequency Percentage Education Graduate/ Diploma - Technical 40 25
Graduate/PG – Commercial 91 57
Non – graduate 29 18
Total 160 100
Area of Work Marketing: Customer facing 75 48
Customer Support 60 38
Operations 22 14
Total 157 100
Cadre Manager ( CRO and above) 41 26
Executive ( DE /Sub Div.Engr or equivalent) 39 24
Supervisor ( Sr Section Supervisor / Section Supervisor/JTO or equivalent) 80 50
Total 160 100
4.19 VALIDITY OF QUESTIONNAIRE
The questionnaire consists of 5 Variables each indicating a
practice/ construct and has 24 items . The cronbach’s alpha for all
items is 0.879
292
Cronbach's Alpha
Cronbach's Alpha Based on Standardized Items
N of Items
.879 .880 24
Cronbach’s alpha for individual factors will be less,
compared to all the items clubbed together. For individual factors
Cronbach’s alpha is ranging from 0.551 to 0.705. This is
satisfactory.
4.20 DESCRIPTIVE STATISTICS
Table 4C.2 indicates descriptive statistics of CRM Practices
of BSNL as perceived by respondent employees
As regards mean scores marketing orientation has received
maximum score, followed by employee CRM performance
management, design of organization and resources, setting goals
and standards; technology and IT support .
The inter item descriptive statistics of each factor are detailed
below.
Table 4C.2: CRM Practices of BSNL as Perceived by Respondent Employees: Cronbach’s Alpha for Model Factors
S.No Practice (Factor)
No of items
Cronbach’s alpha
Scale Mean
Scale SD
Factor mean (Max7)
1 Market Orientation
6 0.575 31.58 2.82 5.26
2 Design of organization and resources
4 0.551 20.24 2.115 5.05
3 Setting goals and standards
4 0.621 20.23 2.307 5.06
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S.No Practice (Factor)
No of items
Cronbach’s alpha
Scale Mean
Scale SD
Factor mean (Max7)
4 Technology and IT support
4 0.705 19.94 2.484 4.98
5 Employee CRM performance Management
6 0.603 30.61 3.176 5.1
7 point Scale :Scale :1-Very strongly disagree ; 7 –Very strongly agree
Market Orientation
Table 4C.3 presents inter item descriptive statistics of factor:
marketing orientation- key customer focus
Ongoing dialogue with key customers, working to customize
offer are given highest score (5.6) followed by understanding
customer needs(5.29), customization of service (5.28), two way
communication (5.24), coordinated effort (5.08)
Table 4C.3: Inter Item Descriptive Statistics of Factor: Market Orientation - Key Customer Focus S. No Market Orientation – Key Customer Focus Mean SD N
1 Through ongoing dialogue we work with our
key customer to customize our offerings 5.60 .892 160
2 My organization provides customized services
and products to our key customers 5.28 .831 160
3 My organization makes an effort to find out
what our key customer needs 5.10 .787 160
4 When my organization finds that customers
would like to modify a product/service, the
departments involved make coordinated
efforts to do so
5.08 .705 160
5 My organization fully understands the needs of our key customers via knowledge learning
5.29 .908 160
6 My organization provides channels to enable
ongoing, two-way communication with our
key customers and us
5.24 .843 160
7 point Scale :Scale :1-Very strongly disagree ; 7 –Very strongly agree
294
Design of organization and resource
Table 4C.4 presents the inter item descriptive statistics of
factor : Design of Organization and resources
Design of organization and resources having right technical
persons to provide technical support and using IT is given highest
score (5.2) followed by employee training (5.06), customer centered
organization (5.03), sales and marketing expertise(4.96).
Table 4C.4: Inter Item Descriptive Statistics of Factor: Design of Organization and Resources S. No Design of Organization and Resources Mean SD N
1 My organization has the sales and marketing expertise and resources to succeed in CRM
4.96 .834 160
2 Our employee training programs are designed to develop the skills required for acquiring and deepening customer relationships
5.06 .798 160
3 Our organizational structure is meticulously designed around our customers
5.03 .808 160
4 My organization has the right technical personnel to provide technical support for the utilization of computer technology in building customer relationships
5.20 .799 160
7 point Scale:1-Very strongly disagree ; 7 –Very strongly agree
Setting goals and standards
Table 4C.5 presents the inter item descriptive statistics of
factor: Setting goals and standards
Establishing clear business goals (5.19) is followed by
customer centric performance standards( 5.05), commitment of
time for CRM by management (5.01). Customer regain effort is
given lower rating compared to above.
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Table 4C.5: Inter Item Descriptive Statistics of Factor: Setting Goals and Standards S. No Setting goals and standards Mean SD N
1 Customer-centric performance standards are established and monitored at all customer touch points
5.05 .791 160
2 My organization has established clear business goals related to customer acquisition, development, retention and reactivation
5.19 .912 160
3 My organization commits time and resources in managing customer relationships
5.01 .847 160
4 We have system to rekindle relationships and regain lost customers
4.98 .816 160
7 point Scale :Scale :1-Very strongly disagree ; 7 –Very strongly agree
Technology and IT support
Table 4C.6 presents inter item descriptive statistics of factor:
Technology and IT Support
Availability of individual customer information at every point
of contact (5.1) is given higher rating compared to maintaining
comprehensive data base(4.99), right software ( 4.94) and hard
ware (4.91).
Table 4C.6: Inter Item Descriptive Statistics of Factor: Technology and IT Support S. No Technology and IT Support Mean SD N
1 My organization has the right software to serve our customers
4.94 .829 160
2 My organization has the right hardware to serve our customers
4.91 .954 160
3 Individual customer information is available at every point of contact
5.10 .720 160
4 My organization maintains a comprehensive database of our customers
4.99 .890 160
7 point Scale :Scale :1-Very strongly disagree ; 7 –Very strongly agree
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Employee CRM performance management
Table 4C.7: Inter item descriptive statistics of factor:
Employee performance Management
Highest rating was given to ‘all employees treating key
customers with great care (5.35)’. Measuring employee
performance based on his ability to meet customer requirement
and providing customer service (5.15), responsiveness (5.28) and
customer friendly system (5.08) follow this. On affective elements
like customer to customer communication (4.8) and advertisement
to evolve emotional response (4.95) score is less.
Table 4C.7: Inter Item Descriptive Statistics of Factor: Employee Performance Management S. No Employee CRM performance
Management Mean SD N
1 All people in my organization treat key customers with great care
5.35 .870 160
2 Employee performance is measured and rewarded based on meeting customer needs and on successfully serving the customer
5.15 .810 160
3 My organization’s employees are willing to help customers in a responsive manner
5.28 .897 160
4 Our customer meets encourage employee to customer and customer to customer communication
4.80 .917 160
5 Our systems are customer friendly and easy and convenient to use
5.08 1.028
160
6 Our advertisement campaigns evoke affection and emotional response for customers
4.95 .950 160
7 point Scale: Scale :1-Very strongly disagree ; 7 –Very strongly agree
297
4.21 CRM PERFORMANCE MANAGEMENT MODEL
A model is formulated with employee CRM performance
management as dependent variable and the factors market
orientation, technology and IT Support, goals and standards,
resources and organization as independent variables. Pearson
correlation coefficients are given in Table 4C.8 and are significantly
correlated.
Table 4C.8: Correlation of Model Variables
Constructs
Mark
et
Ori
en
tati
on
Resourc
es
an
d
Org
an
izati
on
Goals
an
d
Sta
ndard
s
Tech
nolo
gy
an
d I
T S
upport
Em
plo
yee
Perf
orm
an
ce
Man
agem
en
t
Market Orientation
Pearson Correlation
1 .521** .391** .474** .360**
Sig. (2-tailed) 0.000 0.000 0.000 0.000
N 160 160 160 160 160
Resources and Organization
Pearson Correlation
.521** 1 .370** .492** .541**
Sig. (2-tailed) 0.000 0.000 0.000 0.000
N 160 160 160 160 160
Goals and Standards
Pearson Correlation
.391** .370** 1 .456** .446**
Sig. (2-tailed) 0.000 0.000 0.000 0.000
N 160 160 160 160 160
Technology and IT Support
Pearson Correlation
.474** .492** .456** 1 .582**
Sig. (2-tailed) 0.000 0.000 0.000 0.000
N 160 160 160 160 160
Employee Performance Management
Pearson Correlation
.360** .541** .446** .582** 1
Sig. (2-tailed) 0.000 0.000 0.000 0.000
N 160 160 160 160 160 **. Correlation is significant at the 0.01 level (2-tailed).
298
Multiple linear regression analysis is carried out to
determine the extent of influence of independent variables on
employee CRM performance management.
Figure 4C.1: Employee CRM Performance Management Model
Hypothesis:
H1: CRM practices have direct influence on CRM performance
management of BSNL employees of AP Telecom circle.
This is sub divided into four sub hypotheses
H1 a: Technology and IT Support directly influences employee CRM
performance management of BSNL AP Telecom circle.
H1 b: Market orientation directly influences employee CRM
performance of BSNL AP Telecom circle
299
H 1c: Setting goals and standards directly influences employee CRM
performance of BSNL AP Telecom circle
H1d: Design of organization and resources directly influences
employee CRM performance of BSNL AP Telecom circle.
ECRMP = constant + b1 TIT + b2 MO + b3 GST + B4 DOS
Where,
ECRMP = employee CRM performance management
b1, b2, b3.. are regression coefficients
TIT = Technology and IT support, MO = Market orientation,
GST = Goals and standards, DOS = Design of organization and
resources
The regression output is presented below
Table 4C.9: Regression outcomes Model Summary
Model R R Square Adjusted R Square
Std. Error of the Estimate
1 .787a .619 .610 .3308 a. Predictors: (Constant), Technology and IT Support, Market orientation, Setting goals and standards, Design of organization and resources ANOVAa Model Sum of
Squares Df Mean
Square F Sig.
1 Regression 27.603 4 6.901 63.075 .000b Residual 16.958 155 .109 Total 44.561 159
a. Dependent Variable: Employee Performance Management b. Predictors: (Constant), Technology and IT Support, Market orientation, Setting goals and standards, Design of organization and resources
300
Coefficientsa
Model Unstandardized Coefficients
Standardized Coefficients
t Sig.
B Std. Error
Beta
(Constant) .903 .312 2.899 .004 Market Orientation .048 .077 .042 .622 .535* Resources and organization
.167 .071 .167 2.339 .021
Goals and Standards
.208 .063 .227 3.294 .001
Technology and IT Support
.411 .056 .482 7.364 .000
a. Dependent Variable: Employee Performance Management * not significant at 0.05 level Discussion:
Table 4C.9 presents regression outcomes.
The value of R square is 0.619. This implies that 61.9
percent variation in employee CRM performance management is
explained by CRM practices through this linear model. This yielded
a significant statistic (F=63.075, p=0.00).
We can conclude that regression is statistically significant at
5% level that means the Employee CRM performance management
is not an occurrence by chance. Further, t and p values of
predictors: technology and IT Support, setting goals and
standards, design of organization and resources (7.364, 0.00;
3.294, 0.001; 2.339, 0.021 suggest that these predictors are
significant and strength of relationship with employee CRM
performance management is satisfactory. Marketing orientation
(t=0.622, p=0.535) is statistically not significant. Table 4C.8 and
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Table 4C.9 indicate that employee CRM performance management
and technology and IT Support, setting goals and standards,
design of organization, resources and market orientation have
significant and strong association.
Hypothesis H1a to H1d are accepted. The model has a
good fit.
Regression equation is :
ECRMP = 0.903 + 0.414 TIT + 0.048MO *+ 0.208 GST + 0.167DOS
* not significant at 0.05 level.
As per perception of BSNL AP Telecom circle employees, for
their CRM performance Technology and IT has a very important
(0.414) followed by goals and standards (0.208). Next is design of
organization and resources (0.167).
Although market orientation has got maximum rating (mean
value) in CRM practices, employees perceive that marketing
orientation has low contribution to their CRM performance, (with
0.048 coefficient which is lowest value). It can be said that the
BSNL employees perceive technical and operational aspects as
more important contributors for their CRM performance
management than market orientation, which is the basic goal of
CRM. There is a need for BSNL top management to launch
‘customer first’ program to give primacy to customer centric
approach and facilitate employees to appreciate that marketing
302
orientation will contribute to their CRM performance as much as
technical and operational factors do.
4.22 IMPACT OF EMPLOYEE CHARACTERISTICS ON
PERCEPTION ABOUT MODEL VARIABLES
Hypothesis: There is no difference in the perception of
employees on the model variables: market orientation, Design
of organization & resources, setting of goals and standards,
Technology and IT, employee CRM performance (1, 2, 3, 4, 5)
due to employee characteristics of education, cadre, area of
work (a. b, c).
This is sub divided into 15 hypothesis H1(a, b, c); H2(a, b, c)
; H3(a, b, c); H4(a, b, c) and H5(a, b, c) as indicated in the Table
4C.10
Table 4C.10: Influence of employee characteristics on model variables- Summary of hypotheses H1a to H5c
S. No
Model Variable Dependent variables
Employ Characteristics - Independent variables
Education (a)
Cadre (b)
Area of Work (c)
1
Market Orientation H1a H1b H1c
2
Organization & resources
H2a H2b H2c
3
Goals and standards H3a H3b H3C
4
Technology and IT H4a H4b H4c
5 Employee CRM performance
H5a H5b H5c
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Chi-square test was conducted and the results of testing the
above null hypotheses (sub - hypotheses) are indicated in the table
4C.11. There is a significant difference in the perception of
employees in the following areas:
1. H2a: There is a significant difference in the perception of
employees of BSNL, AP Telecom Circle on their perception on design
of organization and resources due to education.
2. H3a: There is a significant difference in the perception of
employees of BSNL, AP Telecom Circle on their perception on setting
goals and standards due to education.
3. H3b: There is a significant difference in the perception of
employees of BSNL, AP Telecom Circle on their perception on goals
and standards due to cadre.
Table 4C.11: Results of Chi square test on Hypotheses H1a to H5c
S. No
Model Variable Employ Characteristics - Independent variables
Dependent variables Education (a)
Cadre (b)
Area of Work (c)
1
Market Orientation
0.082 0.223 0.58 H1a :NR H1b:NR H1:cNR
2
Organization & resources
0.038 0.874 0.587
H2a:R H2B:NR H2c:NR
3
Goals and standards
0.044 0.042 0.172 H3a:R H3b:R H3c :NR
4
Technology and IT
0.252 0.769 0.895 H4a:NR H4b:NR H4c:NR
5 Employee performance
0.195 0.668 0.724 H5a:NR H5b: NR H5C : NR
NR- Not rejected. There is no difference. R- Rejected: There is difference
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4.22.1 Difference in the perception due to employee education
on Design of organization and resources – H2a
Analysis of the tables 4C.12 implies that not a graduate
(73%), technical graduates (90%), commercial graduates (93.4)
have rated their agreement with the effectiveness of ‘design of
organization and resources’ as agree and strongly agree.
Table 4C.12: Chi Square test for difference in the perception due to employee education on Design of organization and resources
Crosstab
Design of organization
and resources
Total
Neutral Agree Strongly
agree
Educati
on
Less than Graduate
Count 8 12 9 29
% within Education
27.6% 41.4% 31.0% 100.0%
Technical Graduate
Count 4 23 13 40
% within Education
10.0% 57.5% 32.5% 100.0%
Commercial Graduate
Count 6 55 30 91
% within Education
6.6% 60.4% 33.0% 100.0%
Total
Count 18 90 52 160
% within Education
11.2% 56.2% 32.5% 100.0%
Chi-Square Tests
Value df Asymp. Sig.
(2-sided)
Pearson Chi-Square 10.149a 4 .038 Likelihood Ratio 8.567 4 .073 Linear-by-Linear Association 2.548 1 .110 N of Valid Cases 160
a. 2 cells (22.2%) have expected count less than 5. The minimum expected count is 3.26.
305
4.22.2 Difference in the perception due to education on
setting goals and standards- H3a
Analysis of Table 4C.13 indicates that 83% of less than
graduates, 72% of technical graduates and 92% of commercial
graduates have rated their agreement on setting goals and
standards as agree and strongly agree.
Table 4C.13: Chi Square test for difference in the perception due to employee education on Setting goals and standards-
Crosstab
Goals and Standards Total
Neutral Agree Strongly
agree
Educati
on
Less than Graduate
Count 5 16 8 29
% within Education
17.2% 55.2% 27.6% 100.0%
Technical Graduate
Count 11 16 13 40
% within Education
27.5% 40.0% 32.5% 100.0%
Commercial Graduate
Count 7 52 32 91
% within Education
7.7% 57.1% 35.2% 100.0%
Total Count 23 84 53 160
% within Education
14.4% 52.5% 33.1% 100.0%
Chi-Square Tests
Value df Asymp. Sig. (2-sided)
Pearson Chi-Square 9.777a 4 .044 Likelihood Ratio 9.437 4 .051 Linear-by-Linear Association
2.534 1 .111
N of Valid Cases 160 a. 1 cell (11.1%) have expected count less than 5. The minimum expected count is 4.17.
306
4.22.3 Difference in the perception due to cadre on setting
goals and standards – H3b.
Table 4C.14 indicates that 78% of managers, 84.6 % of
executives, 90% supervisors rated their agreement on setting goals
and standards as agree and strongly agree.
Table 4C.14: Chi Square test for difference in the perception due to employee cadre on Setting goals and standards
Goals and Standards Total
Neutral Agree Strongly
agree
Cadre
Manager Count 9 14 18 41 % within Cadre
22.0% 34.1%
43.9% 100.0%
Executive Count 6 25 8 39 % within Cadre
15.4% 64.1%
20.5% 100.0%
Supervisor Count 8 45 27 80 % within Cadre
10.0% 56.2%
33.8% 100.0%
Total Count 23 84 53 160 % within Cadre
14.4% 52.5%
33.1% 100.0%
Chi-Square Tests Value df Asymp. Sig.
(2-sided)
Pearson Chi-Square 9.895a 4 .042 Likelihood Ratio 10.259 4 .036 Linear-by-Linear Association
.146 1 .702
N of Valid Cases 160 a. 0 cells (0.0%) have expected count less than 5. The minimum expected count is 5.61.