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Launching of UNINOR in Maharashtra & Goa Circle
Uninor
PROJECT REPORT
By
VISHAL GHULE
1
Launching of UNINOR in Maharashtra & Goa Circle
CONTENT
Bonafied certificate i
Abstract ii
Acknowledgement iii
List of tables iv
1. INTRODUCTION Uninor --------------------------------------------------------------3
2. LITERATURE REVIEW Positioning------------------------------------------------------------6 Product-----------------------------------------------------------------9
Global GSM Price-------------------------------------------------------------------10 Place ------------------------------------------------------------------11
Maharashtra(pune) Promotion-----------------------------------------------------------16
Blue wave project Consumer behaviour-----------------------------------------------18
3. DATA ANALYSIS----------------------------------------------------22
4. CONCLUSION --------------------------------------------------------40
5. APPENDIX Questionnaire--------------------------------------------41
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Launching of UNINOR in Maharashtra & Goa Circle
Introduction
Joint venture between Telenor(67.25%) and Unitech
Group(32.75%).
Started Mobile services in India in December 2009 focusing on
theGSM technology.
India’s 8th nation-wide mobile operator operating in 8 out of
22
telecom circles in the country.
Testing of network in the circles of Kolkata and Rest of Bengal
isgoing on and services will be launched by March 2010.
Hub Head Offices at Delhi, Kochi, Chennai, Bangalore,
Hyderabad,Kolkata, Patna, Mumbai, Lucknow, Guwahati,
Chandigarh, Indore.
Parent Companies
TELENOR :->
• Founded in 1855, Telenor is the largest company in Norway,
with headquarters located at Fornebu, close to Oslo.
• An International wireless carrier with operations in
Scandinavia,Eastern Europe and Asia.
• The 6th largest mobile phone operator in the world, with
more than 172 million subscribers.
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Launching of UNINOR in Maharashtra & Goa Circle
Unitech :->
• Unitech Group is India’s second largest real estate investment
company,and has recently claimed to be the largest real estate
builder in the country.
• Based in New Delhi and ranks 1484 in Forbes Global 2000
companies,32nd in India.
• Its construction business includes highways, roads,
powerhouses,transmission lines, and it has residential projects
called Unitech Cities/UniWorld, in cities like Mumbai, Delhi,
Kolkata, Chennai, Hyderabad,Bangalore, Kochi, Noida , Greater
Noida, Agra, Lucknow, Varanasi, Gurgaon and Ghaziabad.
• Formed by Ramesh Chandra and originally formed as United
Technical Consultant Private Ltd in 1972 as a soil investigation
company.
Infrastructure :->
• Tower Sharing-Wireless-TT Info Service Ltd, Quippo Telecom
Infrastructure Ltd.
• Telecom, network and radio services- Alcatel, Lucent, Huawei
Technologies India, Nokia Siemens Networks and Ericsson.
• IT services and Infrastructure- Wipro Technologies
• Network management- Huawei, Ericsson and ZTE.
4
Launching of UNINOR in Maharashtra & Goa Circle
• Charging solutions for prepaid and postpaid customers-
Telcordia.
Area of operation of
Uninor
5
Launching of UNINOR in Maharashtra & Goa Circle
POSITIONING
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Launching of UNINOR in Maharashtra & Goa Circle
Launched with unique pricing strategy :->
Uninor launched its services in 8 circles and hit a subscriber base of over 2 lakh in Tamil Nadu and over 1 lakh in Kerala and a pan-India subscriber base of 12 lakhs by end of 2009. Uninor came up with a unique pricing strategy that moved away from the per second plan.
"Our products and price models are designed with a long term customer relations perspective and not short term wallet share of the customer. We are targeting a segment that demands quality and service, at affordable prices. We are focused in positioning ourselves in this segment," said Stefan Kercza, Head of Tamil Nadu-Kerala Hub.
According to Stefan, all research indicates that on a broader perspective, there are two types of calling patterns in mobile usage - multiple calls with short call duration & minimum number of calls with long call duration. Keeping with both these patterns, at 29 paise per minute, the customer realizes the maximum benefit by talking or calling more. Uninor moved away from the per second approach to take a clear cut segmented approach. "The segment we are targeting looks more for value. Our pricing strategy provides value specific to the usage pattern of our segment."
In Uninor's Talk More Plan, after the initial call setup charge of 39 paise, subsequent minutes are priced at 29 paise. If a customer speaks for 3 minutes his call charges are Rs 1.26. In the per second billing, the same 3 minutes would cost a customer Rs 1.80.
7
Launching of UNINOR in Maharashtra & Goa Circle
In the case of the per minute billing, our 29 paise in the Call More Plan still adds value when the customer makes more calls and talks more. Most per minute plans in the market charge 40 paise per minute. Uninor charges 29 paise per minute with Rs 2 rentals only for the day. A customer gets value from the 29 paise per minute when he makes more than 4 calls a day.
The 29 paise plan is trying to appeal to the short callers and benefit the long callers.
Customer focus :-
Uninor promises to bring to its customers -
o Good network and voice clarity & quality of service.
o Simple plans that are aligned to his usage needs and not just low cost plans.
o Adhere to the company's core values- Keep promises, be inspiring, be respectful & make it easy
"Our marketing focus is to keep the customer as the central focus. It is no longer about providing technology; technology is given. It is about empowering the customer with quality service and tailor-made products," said Stefan Kercza.
Uninor is a joint venture with Unitech & the Telenor Group. Uninor brings with it the expertise of the Telenor Group that is No. 1 or close to it in their mobile and telecommunications operations in Europe, the Nordic countries and other Asian countries.
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Launching of UNINOR in Maharashtra & Goa Circle
4 P’s of MARKETING:->
• Product- Prepaid CDMA and GSM mobile services in 8
circles out of 22 circles in India.
• Price- Dynamic price planning(24/7 badalta discount plan)
Promotion- Slogan- ‘Ab mera number hai’
Brand Ambassador- Young, Energetic, Ambitious youth.
• Place- 8 circles of 22 Indian telecom circles- in cities like
Mumbai, Delhi, Kolkata, Chennai, Hyderabad, Bangalore,
Kochi,Noida , Greater Noida, Agra, Lucknow, Varanasi, Gurgaon
and Ghaziabad
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Launching of UNINOR in Maharashtra & Goa Circle
Product Differentiation
1. Airtel
Airtel instills the emotional connect of a father and son. It starts with a young college lad visiting a small house in a distant village. An old lady opens the door and upon enquiring finds out that the lad is her grandson. Grandson meets grandfather who is angry with the lad's father for leaving them alone in their old. The young lad uses his mobile to call his father, and hands his (young lads) mobile to his grandfather. Upon hearing apologies, the grandfather gets emotional and cries. Thus the young grandson helps to bridge the gap between grandfather and father.
2. Idea
An idea can change life - The priest wants to teach, needy and poor students but lacks resources less no of teachers, far of villages, less classrooms, etc. So uses Idea mobile network and starts classes for these students through speaker phone.The teacher teaching students through mobile phones a great idea to reach the needy students in villages. Everybody wants to help society what they need is a simple Idea, this also highlights that Idea can reach the remote villages where teachers cannot reach.
3. Vodafone
While Vodafone says wherever you go will be there with you always. They positioned this with a pup following a small child the goes in forests, in bathroom, in school bus, etc the pup follows the child everywhere.
4. Reliance mobile- They openly claim that they are present in more than 100,000 villages through advertising.
5. Uninor :- 24*7 BADALATA PLAN - unique pricing strategy of allotting discounts to customersOn the basis of congestion on network in the particular area at the particular time. It gives definite discount of 5% to 60% max on every call. It is displayed on your mobile screen when you dial number. It uses common man for advertising.
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Launching of UNINOR in Maharashtra & Goa Circle
PRICING
24*7 changing discount plan for those of us who want to make the most of ever changing discount
The 24x7 changing discount plan is a first of its kind plan from Uninor that
gives us the unique benefit of changing discount rates on calls, which
keep changing depending on our locations and time of the day. And
throughout, our mobile screens keep flashing these ever changing
discounts.
The following are details of this tariff plan:
Cost of pack Rs. 48
Validity 365 days
Talk time Rs. 10
Local call(Uninor to Uninor & Others) 50 p/min(5% to 60% discount)
STD 50 p/min
ISD Shown in table1
National roaming Shown in table2
International roaming Shown in table3
SMS local & National 25 p/sms
MMS Rs. 5/event
Myuninor WAP/Internet 10 p/10kb
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Launching of UNINOR in Maharashtra & Goa Circle
Talk unlimited plan
for those who like to talk unlimited
Cost of the Pack Rs.37 Rs. 38 Rs. 197 Rs. 198
Local Call (Uninor to Uninor) Unlimited Unlimited Unlimited Unlimited
Local Call (Uninor to Others) 49 p / min 1p/sec Unlimited Unlimited
STD 49 p / min 1p/sec 49p/min 1p / sec
Validity 30 days
MMS Rs.5/- per event
myuninor WAP/Internet 10p/10kb
ISD Shown in table1
National Roaming Shown in table2
International Roaming + Shown in table3
SMS Local & National 49p/SMS
Starter kit detail
MRP Rs.49
Validity Lifetime*
Base tariff plan
All local calls 60p
All STD calls 60p
National roaming Shown in table1
International roaming + Shown in table2
ISD Shown in table3
SMS#
Local 60p
National 60p
International Rs.5
*Lifetime validity: Validity for lifetime is applicable as per license period of the circle and is subject
to change in case any regulatory or licensing conditions change in the future. The validity of our
existing license is 24-Jan-2028 and extendable for further period by Govt. of India.
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Launching of UNINOR in Maharashtra & Goa Circle
Table 1 : ISD tariff
Country Rate (Rs/min)
USA, Canada, South East Asia, Bangladesh, Sri Lanka,
Pakistan,fixed for Australia, New Zealand & UK
6.4
Gulf 11
Africa, Rest of SE Asia, Rest of SAARC, Mobile phones for Australia,
New Zealand & UK
14
Rest of Africa, Rest of Europe 15
Rest of world (excluding special countries & inmarsat calls) 55
INMARSAT 550
Table 2 : National roaming
Uninor
Network
Rate (Rs/min)
Call rates Rate / min Rate / min
Incoming Calls 60 p / min Rs. 1 / min
Outgoing Calls
Local
Uninor to Uninor
to other mobile & landline networks
60 p
80 p
-
Rs. 1.00
STD
60 p
Rs. 1.50
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Launching of UNINOR in Maharashtra & Goa Circle
Uninor to Uninor
to other mobile & landline networks
80 p Rs. 1.50
ISD
USA, Canada, Europe (F), Singapore & Hong Kong
Sao Tome & Principe, Guinea Bissau, Diego Garcia, Cuba,
Norfolk Islands, Nauru, Solomon Islands, Vanuatu, Cook
Islands, Tuvalu, Tokelau Is, Sakhalin,
Other Countries
INMARSAT Calls
Rs 10
Rs 52
Rs 13
Rs 504
Rs 10
Rs 52
Rs 13
Rs 504
SMS
Local
National
International
Rate / SMS
99 p
Rs. 1.49
Rs. 5.00
Rate / SMS
Rs. 3.45
Rs. 3.45
Rs. 5.00
Table 3 : International roaming
Operator Calling
outside
visited
country
(Rs / min)
Outgoing
SMS
(Rs / SMS)
Calling
within
visited
country
(Rs / min)
Incoming Call
(Rs / min)
GPRS
(Rs / 10KB)
Grameenphone
Bangladesh
65 15 25 55 5.5
Telenor Denmark 140 15 30 70 5.5
Etisalat misr Egypt 170 15 35 27.5 5.5
Digi Malaysia 95 15 35 58 5.5
Telenor Norway 130 15 35 27.6 5.5
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Launching of UNINOR in Maharashtra & Goa Circle
M1 Singapore 95 15 35 38 5.5
Telenor Sweden 140 15 30 70 5.5
Telenor serbia 140 15 30 70 5.5
Dtac Thailand 95 15 35 58 5.5
Du UAE 185 15 50 115 5.5
AT&T USA 165 15 70 90 5.5
Recharge
Maximum
service
charge
(Rs)
Processin
g fee (Rs)
Service
tax (Rs)
Talk value (Rs)
10 2 0.93 7.07
20 2 1.87 16.13
30 2 2.80 25.20
50 2 4.67 43.33
100 2 9.34 88.66
150 0 - 150.00
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Launching of UNINOR in Maharashtra & Goa Circle
First recharge bonus
Maximum service
charge (Rs)
Total talk value on first recharge (Rs)
50 55.00
100 115.00
150 175.00
300 355.00
500 600.00
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Launching of UNINOR in Maharashtra & Goa Circle
PROMOTION :->
Product Promotion• Creative strategy- Informational with Positive appeal ‘Pride’
• Slogan- ‘Ab mera number hai’
• Advertising in Hindi, Kannada, English and many more Indian
regional languages.
• The series of television ads (by creative agency Leo Burnett)
show ‘young people in real-life situations’ rather than models or
celebrities.
• Even the outdoor campaign show young, ambitious, real
people looking for challenges, wanting to make things happen.
• The company has around 2 lakh retail points across the
country,including rural areas, apart from 50 company-owned
stores.
• Innovational promotion in small towns.
Institutional Promotion
• For brand empowerment, it is working an online initiative with
socialmedia.
• Brand Philosophy- Empower People.
Media Mix
• Print and Broadcast ads
• Motion Pictures
• Brochure and booklets
• Posters
• Billboards
• POP displays
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Launching of UNINOR in Maharashtra & Goa Circle
• Logos
Targeting• The company is targeting for 8% market share in India by
2018.
• The country will have over 1.2 billion customers by 2018 as
against540 million now.
• Thus Uninor is targeting for 80 million customers by 2018.
• Break-even in 3 years
• Positive operating cash flow within 5 years in India.
• Targeting youth as well as all the ambitious people.
• Selective specialization targeting strategy
• First priority is to roll out across the country; a credible
market sharecan be built only after that. They hope to launch
across the entire country by the end of the year.
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Launching of UNINOR in Maharashtra & Goa Circle
Consumer behaviour
TITLE: YOUTH GO TO MARKET
Go to market strategies define a holistic process of reaching your customers.
Focuses on Three Dimensions
What to sell - Schemes & offers
How to sell - New sales model
Whom to sell - Customer Base and Customer Partnerships
Sample and sample size
We took the sample of 700 people all around the Pune.
We covered areas like Wakad, Hinjewadi, Hadapasar, Pimpri Chinchawad and
Tathawade to collect the data.
We even conducted the e-survey to collect the data.
(http://www.kwiksurveys.com/online-survey.php?surveyID=KNOEGF_a63f8703)
Mostly the data is collected from the youth.
58%(16-25 years)
23 %(26-34 years)
What was given us to do?
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Launching of UNINOR in Maharashtra & Goa Circle
What is the best way to communicate the brand?
How they get to know (Source/Medium) ?
What schemes do they prefer?
Cost preference
Frequency of Recharges
Switching Operator(Who and Why)
Where and How they purchase
Why will they buy your product
How they decide what to purchase
What they are willing to pay
What is their value proposition
What is the best way to communicate the brand and How they get to
know (Source/Medium) ?
What we got from our survey is that people get to know about the brand mostly by :-
o Television(24.43%)
o Friends and relative(24.28%)
What schemes do they prefer?
Nearly 50% people said they will go in for free calling schemes.
17% said they go for per second billing
15% for free messaging
14% for night calling
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Launching of UNINOR in Maharashtra & Goa Circle
Frequency of Recharges
Nearly 45% said weekly
Nearly 31% said monthly
Switching Operator(Who and Why)
Nearly 50% people of think of switching operator in between 6 months to 2 years.
Nearly 38% people goes for a brand that is priced competitively.
24% goes for better feature.
Nearly 21% are using the same brand because they are using it for quite long.
Where and How they purchase 82% said retail shops and retail shops came out to
be the ultimate winner.
Nearly 20% go in for tariffs in between Rs 101-200.
Nearly 19% public goes for full talktime options.
17% goes for recharge in between Rs. 10-50.
How they decide what to purchase
They go for brand that have strong price advantage( nearly 54%)
14% people goes for established brand.
21% goes for bundled services.
What they are willing to pay?
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Launching of UNINOR in Maharashtra & Goa Circle
Nearly 31% people are willing to pay in between Rs 0 to 100.
Nearly 21% are willing to pay in between Rs 200-300
Nearly 19% are willing to pay in between Rs 100-200
What is their value proposition
The youth in the age group of 16-25 years are price conscious , they want better features
and better services like WAP/GPRS. They prefer plans like free calling and per second billing.
They expect better connectivity, wide coverage and low tariffs.
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Launching of UNINOR in Maharashtra & Goa Circle
Data Analysis
1.
AGE RESPONDENTS Percentage
a 15 yrs & below 30 4.28
b 16-25 yrs 406 58.00
c 26-34 yrs 157 22.42
d 35-45 yrs 104 14.85
e 46-50 yrs 3 0.42
f 51 & above 0 0
700 100
15 yrs & below
16-25 yrs 26-34 yrs 35-45 yrs 46-50 yrs 51 & above
0
50
100
150
200
250
300
350
400
450
RESPONDENTSPercentage
2.
GENDER Percentage
a M 593 84.71
b F 107 15.28
700 100
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Launching of UNINOR in Maharashtra & Goa Circle
593
107
MF
3.
EDUCATION Respondent Percentage
a SSC/HSSC 112 16
b Bachelors degree 167 23.85
c Masters degree 106 15.14
d professional degree 224 32
e others 91 13
700 100
SSC/HSSC Bachelors degree
Masters degree professional degree
others0
50
100
150
200
250
1623.85
15.1432
13
RespondentPercentage
4.
OCCUPATION Respondent Percentage
a STUDENT 406 58
b IT/BPO Sector 68 9.71
c CONSULTING/BANKING 30 4.28
d SELF EMPLOYED PROFESSIONAL 101 14.42
e family business 74 10.57
f others 21 3
24
Launching of UNINOR in Maharashtra & Goa Circle
700 100
406
68
30
101
7421
STUDENT
IT/BPO Sector
CONSULTING/BANKING
SELF EMPLOYED PROFESSIONAL
family business
others
5.
MONTHLY INCOME Respondent Percentage
a RS.0-500 323 46.14
b RS.5001-10000 98 14
c Rs.10001-15000 101 14.42
d Rs.15001-20000 139 19.85
e Rs.20001-30000 21 3
f Rs.30001-ABOVE 18 2.57
700 100
RS.0-500
RS.5001-10000
Rs.10001-15000
Rs.15001-20000
Rs.20001-30000
Rs.30001-ABOVE
0 50 100 150 200 250 300 350
Respondent
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Launching of UNINOR in Maharashtra & Goa Circle
6.
Purpose:- The main purpose of this question is to know about which service provider are being more
used by youth.
BRAND YOU OWN Reapondents Percentage
a RIM 130 18.57
b TATA INDICOM 58 8.28
c AIRTEL 246 35.14
d VODAFONE 97 13.85
e OTHERS 169 idea=94,bsnl=45 24.14
700 100
130
58
246
97
169
RIMTATA INDICOMAIRTELVODAFONEOTHERS
7. Purpose:- Purpose of this question is to know about what adjacctly they think before
taking the connection.
BRAND SELECTION
CRITERION Respondent Percentage
a Better features 165 23.57
b Priced competitively 263 37.57
c Have been using this brand for long 143 20.42
d
Peers/family member using &satisfied with
the brand 42 6
26
Launching of UNINOR in Maharashtra & Goa Circle
e Phone reviews 17 2.42
f
Catchy and attractive
advertisements 39 5.57
g Others 31 4.42
700 100
165
263
143
42
17
3931
Better features
Priced competitively
Have been using this brand for long
Peers/family member using &satis-fied with the brand
Phone reviews
Catchy and attractive advertisements
Others
8.
How much you are
willing to pay per month
for your phone(in Rs) Respondent Percentage
a 0-100 214 30.57
b 100-200 133 19
c 200-300 147 21
d 300-400 101 14.42
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Launching of UNINOR in Maharashtra & Goa Circle
e
400 &
above 105 15
700 100
0-100
100-200
200-300
300-400
400 & above
0 50 100 150 200 250
214
133
147
101
105
Respondent
9.
How often do you change (plan to
change) service provider? Respondents Percentage
a 0-6 months 145 20.71
b 6months-1yr 171 24.42
c 1-2 yrs 174 24.85
d 2+ yrs 210 30
700 100
145
171
174
210
0-6 months6months-1yr1-2 yrs2+ yrs
28
Launching of UNINOR in Maharashtra & Goa Circle
10.
Would you like to stick to
your current brand in the
future or willing to
purchase a different
brand Respondents Percentage
a yes 492 70.28
b no 208 29.71
700 100
492
208
yes no
11.
Would you be open to
buying a brand that is
totally new to market? Respondents Percentage
a yes 329 47
b no 202 28.85
c don’t know 169 24.14
700 100
29
Launching of UNINOR in Maharashtra & Goa Circle
329
202
169
yesnodon’t know
12.
What attracts you to
brand in spite of it being
new to brand? Respondent Percentage
a Strong price advantage 376 53.71
b Established brand name 94 13.42
c Heavy promotional ads 41 5.85
d Bundled with a service 144 20.57
e Easier to use 36 5.14
f others 9 1.28
700 100
Strong price advantage
Established brand name
Heavy promotional ads
Bundled with a service
Easier to use
others
0 50 100 150 200 250 300 350 400
376
94
41
144
36
9
Respondent
13.
You are? Respondents Percentage
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Launching of UNINOR in Maharashtra & Goa Circle
a postpaid 186 26.57
b prepaid 514 73.42
700 100
186
514
Chart Title
postpaidprepaid
if prepaid then
14.
What tariff you mostly
choose? Respondent Percentage
a Rs. 0-10 24 3.42
b Rs. 10-50 118 16.85
c Rs.51-100 196 28
d Rs.101-200 137 19.57
e Rs.201-300 59 8.42
f above 300 34 4.85
g full talktime 132 18.85
700 100
31
Launching of UNINOR in Maharashtra & Goa Circle
Rs. 0-10
Rs. 10-50
Rs.51-100
Rs.101-200
Rs.201-300
above 300
full talktime
0 50 100 150 200 250
Respondent
15.
What sort of schemes
would you prefer Respondent Percentage
a Free calling 346 49.42
b Free messaging 106 15.14
c Per minute 29 4.14
d Per second 119 17
e Night calling 100 14.28
700 100
Free calling
Free messaging
Per minute
Per second
Night calling
0 50 100 150 200 250 300 350 400
Respondent
16.
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Launching of UNINOR in Maharashtra & Goa Circle
What is the
frequency of your
recharge
Responde
nts
Percenta
ge
a daily 40 5.71
b weekly 311 44.42
c Monthly 219 31.28
d
occassion
aly 130 18.57
700 100
40
311
219
130
daily weekly Monthlyoccassionaly
17.
What is your point of
purchase of recharge and
sim cards Respondents Percentage
a retail shops 574 82
b company stores 97 13.85
c others 29 4.14
700 100
33
Launching of UNINOR in Maharashtra & Goa Circle
574
97
29
Chart Title
retail shopscompany storesothers
18.
What following services
you use? Respondents Percentage
a Voice portal service 156 22.28
b CRBT service 78 11.14
c SMS (P to A) 183 26.14
d WAP/GPRS 283 40.42
700 100
Voice portal service
CRBT service
SMS (P to A)
WAP/GPRS
0 50 100 150 200 250 300
156
78
183
283
Respondents
19.
What are the sources from
which
Respondents Percentage
34
Launching of UNINOR in Maharashtra & Goa Circle
you get the information about
various services and plans by
operators
a Newspaper 102 14.57
b Television 171 24.42
c Radio 79 11.28
d Hoardings 88 12.57
e Friends and relatives 170 24.28
f Others 90 12.85
700 100
35
Launching of UNINOR in Maharashtra & Goa Circle
Newspaper
Television
Radio
Hoardings
Friends and relatives
Others
0 20 40 60 80 100 120 140 160 180
102
171
79
88
170
90
Respondents
20.
How you decide to choose
the operator Respondent Percentage
a Network 162 23.14
b Economical 191 27.28
c Services like VAS 91 13
d Better plans 184 26.28
e
What your friends
and relatives have 72 10.28
700 100
36
Launching of UNINOR in Maharashtra & Goa Circle
Network
Economical
Services like VAS
Better plans
What your friends and relatives have
0 50 100 150 200 250
162
191
91
184
72
Respondent
21.
What you expect
from
the operator Respondent Percentage
a Better connectivity 230 32.85
b Wide coverage 142 20.28
c Low tariffs 210 30
d Better customer support 59 8.42
e Good value added services 59 8.42
700 100
37
Launching of UNINOR in Maharashtra & Goa Circle
Better connectivity
Wide coverage
Low tariffs
Better customer support
Good value added services
0 50 100 150 200 250
230
142
210
59
59
Respondent
22.
Have you ever heard of
Uninor? Respondents Percentage
a Yes 202 28.85
b No 498 71.14
700 100
202
498
YesNo
Value proposition
• Maximize the enabling effect of mobile telecommunications
• Promote safer products and services
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Launching of UNINOR in Maharashtra & Goa Circle
• Make responsible business practices part of everything Uninor
does.
• Various value packs for ISD users- USA/Canada,
Singapore/Malaysia, Gulf packs.
• Simple tariff plans which are easily understandable.
• Quick responses through circle heads.
Strengths
• Joint venture between world’s 6th largest telecom company
and India’s 2nd largest real estate company.
• Least capital investment as various services are outsourced.
• Least number of employees.
• Decentralized management structure
• simple prepaid plan in which a local call is priced at 29 paisa
a
minute.
• The more you talk, the lower the price gets.
• Different segmentation strategy as compared to competitors.
• Use of real young people in promotion instead of any role
model.
• Innovative promotional strategy.
Weakness
• It has still not launched postpaid schemes.
• Late entrant in the market.
39
Launching of UNINOR in Maharashtra & Goa Circle
• Too much outsourcing may go against the health of the
company.
Opportunities
• With rising individual saving rate with 9% growth rate, and
expected increase in market size by 500 million in 2010(almost
double), the company has great opportunities.
• Approximately 10-15 million mobile connections are being
added every month. The national mobile tele-density is about
39 per hundred, Urban areas-75 (in Mumbai), but Rural areas-
13.
• Micro segmentation strategy in rural markets adopted by the
company.
• Falling handset prices and tariff rates.
• Increasing network distribution.
Opportunities Statistics-
• Cell phone ownership-
Total- 51%
Male- 56%
Female- 44%
Youth (16-19 years)- 64%
Amount spent on Mobile per month (average)-
Boys- Rs. 125 (71% of pocket money)
Girls- Rs.106 (62% of pocket money)
Threats40
Launching of UNINOR in Maharashtra & Goa Circle
• Competitors like Airtel, Reliance, BSNL, Vodafone
• Extensive Government regulations through TRAI as regards
introduction of new services.
• Bloodbath in the market due to price war.
• Uninor is likely to be followed by Etisalat of United Arab
Emirate’s Pvt. Ltd, the Videocon group-promoted Datacom, and
Bahrain’s Batelco
co-owned STel.
Ansoff matrix
Uninor is at “Market-developement strategy”
Market opportunity Analysis41
Launching of UNINOR in Maharashtra & Goa Circle
• Can the benefits involved in the opportunity be articulated convincingly to a defined target market?Ans- The strategy of ‘micro-segmentation and targeting youth’ along with making common youth as brand ambassador of the company shows that Uninor has very well defined itstarget market. However it will have to watch its competitors’ moves as well.
• Can the target market be located and reached with cost-effective media and trade channels?Ans- As Uninor has appointed over 1,000 distributors and is present in over 300,000 points of sale and outsourced infrastructural services, it can reach target market along with being cost-effective.
• Does the company possess or have access to the critical capabilities and resources needed to deliver the customer benefits?Ans- As the company has recently lined up a Rs 5,000 cr bridge finance with the State Bank of India, which includes bank guarantees and a letter of credit that would help the company fund its 22 circle rollout.
• Can the company deliver the benefits better than any actual orpotential competitors?Ans- Uninor boasts of offering the cheapest call rate and all the regional heads are responsible for responding to the concerned customers, they may deliver better services to consumers, butUninor will certainly have to keep giving better services at cheaper rate in order to gain its competitors’ market share as well as gaining potential buyers
• Will the financial rate of return meet or exceed the company’srequired threshold for investment?Ans- For this Uninor has sufficient loans from financial institutions and even its parent companies Telenor and Unitech are providing ample financial support. Moreover Uninor has set its target of getting Break-even in 3 years and Positive operating cash flow within 5 years in India, so the company is right now investing in market building for itself.
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