The comparative of study HUTCH & its competitor
Chapter 1
Executive summary
Introduction
Literature Review
Statement of problem
Scope of the study
Objective of study
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The comparative of study HUTCH & its competitor
EXECUTIVE SUMMARY
This study is oriented towards the comparative of study HUTCH & its
competitor. Today, telecom sector has become a very essential aspect of
each industry. Every organization strives hard to retain its customers at any
cost, in order to achieve this it is necessary for the organization to study the
behavior of the its customers and meet their expectations and preferences.
The study focuses on the Pre Paid Service, which is been offered by the
company.
The Research Study represents the theoretical background initially
which is followed by the Research Design. The objective of the research is
to find out the customer satisfaction of HUTCH users and also the
perception of other mobile service users towards HUTCH. The research has
also led to understand the current market situation in terms of customer
preferences, customer attitude, available alternatives, price sensitivity,
buying decisions, and product attributes etc.
The research was purely based on the survey conducted in Belgaum
city and has been focused on Hutch Subscribers. The sampling technique
used was simple random sampling of HUTCH users. The data was collected
through personal interview and questionnaire. The research instrument used
was a questionnaire, which helped in knowing the pulse of the customers.
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The sample size taken was 100; the questionnaire was then analyzed
with help of table and charts. The analysis also helps us to know more about
the consumer perception, buying behavior, attitude of the customers etc.
The findings reflect that the tariffs plans, promotion of
the company and influence of the social circle had a huge impact over the
subscribers. Most of them opted for HUTCH because it was cost effective.
The extensive promotion of HUTCH has a huge impact over the subscribers.
Roaming service on prepaid cards was highly utilized. Majority of the
subscribers recharged well in advance the validity. The service was utilized
more during the day. Most of them prefer HUTCH when compared to its
competitors is the tariff aspect. They felt that the tariff HUTCH is providing
is really economical.
A general industry profile has also been discussed
followed by the company profile. The study also highlights the McKinney 7
s framework in terms of the company scenario. Further the service profile is
discussed.
The SWOT analysis helps us to know more about the company’s Strengths,
Weakness, Opportunities, and Threats. The SWOT also helps in identifying the
challenges faced by the company in this competitive world. Lastly, the suggestions
have been extracted from the analysis and the interpretations. Keeping the above
factors in consideration we arrive to a suitable conclusion.
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INTRODUCTION
Competitive holds immense importance in today’s marketing scenario
and the companies should try to satisfy their customers. Satisfied customers
usually return and buy more, they tell other people about their experiences,
and they may well pay a premium for the privilege of doing business with a
supplier they trust. Statistics are bandied around that suggest that the cost of
keeping a customer is only one tenth of winning a new one. Therefore, when
we win a customer, we should hang on to them. Customer satisfaction and
loyalty research has become an essential business tool to help retain and
increase the customer base. The main principal of any successful customer
satisfaction programmed is to establish the issues that are of greatest
importance to ones target audience. The research programmers develop
focused customer strategies and provide intelligence to help identify and
priorities management objectives.
The research here is carried to know the customer satisfaction of
mobile users in the Telecom industry .the whole Telecom industry is
undergoing a stupendous growth especially after so many players taking a
plunge into in the mobile service business. Now buying mobile is not a rich
man’s possession any more. The mobile industry is on whopping high. With
various technologies creeping in every day you always are on a back seat to
keep your self updated. With a major chunk of the users being teenagers it
makes the situation more dynamic and helps to create a niche market in
itself. Looking at the industry trends in mobile segment, the growth is
tremendous. Various cellular providers try to be innovative in providing
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value added services to the subscribers. If the demand is rising in same pace
then it is for sure that the subscriber base of the mobile users will definitely
exceed the limit of the landline subscribers.
They are so many mobile service providers in India; the competition
between them to capture the market share is immense. The strategies and
promotions they practice are awesome. At the end of all these strategies and
promotion their main objective is to satisfy the existing customers, retain
them and to attract potential customers.
The current trends and dynamism in this field invoked me to carry on a
research to know the factors that influence the customer satisfaction in the
Telecom industry. Hutch, which is hot favorite among students, encouraged
me to take the study on hutch because of their promotions and marketing
strategy. This study deals with exploring the factors that effect the
satisfaction of customers of HUTCH and also tries to discover the
satisfaction level of mobile service customers other than HUTCH who can
be the prospective customers for HUTCH in future. The research has also
led to understand the current market situation in terms of customer
preferences, customer attitude, available alternatives, price sensitivity,
buying decisions, and product attributes etc.
It has been a sincere effort to explore the factors that can lead to total
customer expectation of the HUTCH service users. Also the study of the
customer perception & attitude of other mobile service users has resulted to
highlight those issues that the customers give value to and regard important
as, which will help the company to attract more and mare new prospective
customers.
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LITERATURE REVIEW
Core competency
A core competency is something that a firm can do well and that meets the following three conditions specified by Hamel and Prahalad (1990):
It provides customer benefits
It is hard for competitors to imitate
It can be leveraged widely to many products and markets.
A core competency can take various forms, including technical/subject
matter know how, a reliable process, and/or close relationships with
customers and suppliers (Mascarenhas et al. 1998). It may also include
product development or culture such as employee dedication. Modern
business theories suggest that most activities that are not part of a company's
core competency should be outsourced.
If a core competency yields a long term advantage to the company, it is said
to be a sustainable competitive advantage.
Characteristics of Core Competencies
There are three tests for Core Competencies
Potential access to a wide variety of markets - the core competency must be
capable of developing new products and services
A core competency must make a significant contribution to the perceived
benefits of the end product.
Core Competencies should be difficult for competitors to imitate. In many
industries, such competencies are likely to be unique
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COMPETITOR ARRAY
One common and useful technique is constructing a competitor array.
The steps include:
define your industry - scope and nature of the industry
determine who your competitors are
determine who your customers are and what benefits they expect
determine what the key success factors are in your industry
rank the key success factors by giving each one a weighting - The sum of all
the weightings must add up to one.
rate each competitor on each of the key success factors - this can best be
displayed on a two dimensional matrix - competitors along the top and key
success factors down the side.
multiply each cell in the matrix by the factor weighting.
sum columns for a weighted assessment of the overall strength of each
competitor relative to each other.
COMPETITOR PROFILING
Another common technique is to create detailed profiles on each of your
major competitors. These profiles give an in-depth description of the
competitor's background, finances, products, markets, facilities, personnel,
and strategies. This involves:
Background
location of offices, plants, and online presences
history - key personalities, dates, events, and trends
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ownership, corporate governance, and organizational structure
Financials
P-E ratios, dividend policy, and profitability** various financial ratios,
liquidity, and cash flow
Profit growth profile; method of growth (organic or acquisitive)
Products
products offered, depth and breadth of product line, and product portfolio
balance
new products developed, new product success rate, and R&D strengths
brands, strength of brand portfolio, brand loyalty and brand awareness
patents and licenses
quality control conformance
reverse engineering
Marketing
segments served, market shares, customer base, growth rate, and customer
loyalty
promotional mix, promotional budgets, advertising themes, ad agency used,
sales force success rate, online promotional strategy
distribution channels used (direct & indirect), exclusivity agreements,
alliances, and geographical coverage
pricing, discounts,and allowances
Facilities
plant capacity, capacity utilization rate, age of plant, plant efficiency, capital
investment
location, shipping logistics, and product mix by plant
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Personnel
number of employees, key employees, and skill sets
strength of management, and management style
compensation, benefits, and employee morale & retention rates
Corporate and marketing strategies
NEW COMPETITORS
In addition to analyzing current competitors, it is necessary to estimate
future competitive threats. The most common sources of new competitors
are:
Companies competing in a related product/market
Companies using related technologies
Companies already targeting your prime market segment but with unrelated
products
Companies from other geographical areas and with similar products
New start-up companies organized by former employees and/or managers of
existing companies
The entrance of new competitors is likely when:
There are high profit margins in the industry
There is unmet demand (insufficient supply) in the industry
There are no major barriers to entry
There is future growth potential
Competitive rivalry is not intense competitive advantage over existing firms
is feasible
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S T R AT E G Y - C O M P E T I T O R A N A LY S I S
Competitor Analysis is an important part of the strategic planning process.
This revision note outlines the main role of, and steps in, competitor analysis
Some businesses think it is best to get on with their own plans and ignore the
competition. Others become obsessed with tracking the actions of
competitors (often using underhand or illegal methods). Many businesses are
happy simply to track the competition, copying their moves and reacting to
changes.
Competitor analysis has several important roles in strategic
planning:
• To help management understand their competitive
advantages/disadvantages relative to competitors
• To generate understanding of competitors’ past, present (and most
importantly) future strategies
• To provide an informed basis to develop strategies to achieve competitive
advantage in the future
• To help forecast the returns that may be made from future investments (e.g.
how will competitors respond to a new product or pricing strategy?
Definition of Comparative Advantage: To illustrate the concept of
comparative advantage requires at least two goods and at least two places
where each good could be produced with scarce resources in each place.
COMPARATIVE ADVANTAGE
In economics, the theory of comparative advantage explains why it can be
beneficial for two parties (countries, regions, individuals and so on) to trade
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if one has a lower relative cost of producing some good. What matters is not
the absolute cost of production but the opportunity cost, which measures
how much is given up of one good to produce a unit of the other good.
Comparative advantage is critical to understanding modern international
trade theory.
Under absolute advantage, one country can produce more output per unit of
productive input than another. With comparative advantage, even if one
country has an absolute (dis)advantage in every type of output, it it can
benefit from specializing in and exporting those products in which it has a
relative advantage (i.e., a lower opportunity cost) and importing the good in
which it has a relative disadvantage.[1]
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STATEMENT OF THE PROBLEM
“A comparative study of Telecom service provided by Hutch and its
competitor to assess market share at Belgaum city”.
The study deals with. Customer preferences and expectations from
mobile services provider the myriad factors that have a fearing or influence
customer purchase decision are of paramount importance to the service
providers. In order to retain its subscribers it is necessary for the
organization to study the behavior of the existing and new subscribers and
meet their expectations and preferences.
Statement of the problem has been summarized as consumer Behavior
of cellular providers and a market survey on Hutch Subscribers.
Management Problem
Through this project the company wants to know the competitive
position of hutch & also the reasons for the customer shift.
Research Problem
The research was to know market share of mobile services provider, and
the factor-influencing sales of mobile services provider
PURPOSE OF THE STUDY: -
The proposed outcomes of the study are:
Firm will be getting the updated information about the present market
position.
Firm will know their present market share.
Study will be helpful to know the customer’s perceptions and preferences
regarding the telecom services. Based on this organization may have to
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adopt some useful strategies to meet customer expectations and can obtain
good word of mouth and due to this can get potential customers.
SCOPE OF THE STUDY
A study of this kind helps to put theoretical aspects into the project and
aims to give information to HUTCH. Nature of study methods used, findings
of the investigation, conclusion and recommendations inferred from the
findings also aims to enable HUTCH to implement the recommendations
made at the end of the study.
The scope of study is limited in Belgaum city for Hutch subscriber.
The following area selected for scope of study
Nehru nagar, shivbasva nagar, sadashiv nagar, TV center hanuman nagar
azam nagar channam nagar tilkwadi shapur
OBJECTIVES OF THE STUDY
1.To find the market share of various mobile services provider
2.To know customer preferences and expectations from mobile services
provider
3. To know the pricing strategy of mobile service providers.
3.To analyze the factor influencing the sales of mobile services provider
4.To explore the reason for consumer shift
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Chapter 2
Organization Profile
Product Range
Organization Chart
Training In Jinabakul
Sampling
Research Design
Measuring Tools
Data collection method
Limitation
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INDUSTRY AND COMPANY PROFILE
Indian Telecom sector continues to ring in higher growth, albeit slower
growth in subscriber addition. During APRIL 2005, the sector added 1.91mn
subscriber, which has fell short of January 2005 subscriber addition at
1.95mn. In March 2005 the sector had added 1.61mn subscribers. Subscriber
addition in mobile segment continues to drive the sector growth.
Of the total subscriber addition of 1.87mn during August 2004, 1.67mn
subscribers were added in the mobile segment. GSM mobile alone added
1.41m new subscribers. Rest addition was in the CDMA (0.26mn) segment.
Meanwhile fixed line segment continued to move at a snail pace and added
just 0.2mn subscribers.
Various factors have contributed to such stupendous growth in
subscriber addition that included increased drive from the telecom services
provider through various promotional schemes, increasing quality of telecom
infrastructure and growing need for communication. Above all, the growing
competition amongst the service providers has led to decline in tariff rate,
which is lowest in the world.
Just when it seemed that tariff of mobile services had bottomed out;
telecom operators announced a series of rate cuts followed by Reliance.
Bharti under brand name ‘Airtel’ and Reliance announced rate cuts up to
60% offering local call at Rs1-0.99/min on there own network. Tata Indicom
and BPL announced 1-sec pulse rate billing to attract customers. BPL under
pre-paid plan offers 46% talk time at Rs0.03/sec pulse rate on and Tata
offered 100% talk-time at Rs0.05/sec pulse rate on their pre-paid cards.
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As in the above chart we see that the how technology and changed
over years from time the first basic phone to a mobile technology and now to
EDGE Technology.
MOBILE
Mobile continues to form major chunk of subscriber addition i.e. 89%
in August 2004. Mobile segment grew by 4.2% mom to 41.12 million
subscribers. Of the total subscribers added 85% form GSM mobile
subscribers and the rest 15% were CDMA subscribers. Reliance continues to
maintain its top position with 21.6% market share. Reliance subscriber base
grew by 3.4% mom to 8.7million.Bharti maintained its second place at
20.4%, while BSNL increased its market share to 16.9% to remain at third
place.
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Cellular coverage in INDIA.
In India Pre Paid has a gain over Post Paid, 67% of the subscriber base is Pre
Paid compared to Post Paid.
GSM MOBILE
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GSM subscriber base grew by 4.6% mom to 32 million in August
2004. BSNL recorded higher growth rate and its subscriber base grew 10.1%
mom to 6.8mn subscribers. BSNL created history by adding 627,713
subscribers in a month, which is highest -ever to be achieved by any mobile
operator. Subscriber addition in Tamil Nadu, Chennai and Kolkata were
major growth drivers for BSNL. Bharti subscriber base grew by 3.6% mom
to 8.2 million, though company maintained its top position its market share
dropped slightly to 25.8%. Hutch (without Aircel) maintains third position
with subscriber base of 6.1million.
CIRCLE GROWTH
In circle wise growth ‘C’ circle continues to be the fastest growing
circle due to its low base. In ‘C’ circle Reliance and BSNL are the major
operator. Reliance is depending on CDMA technology for its growth.
BSNL’s dependence on GSM technology is driving its growth in this circle.
Circle ‘A’ accounts for highest share of 37% and grew 5.1% mom. Growth
in ‘A’ circle is lead by Karnataka and Tamil Nadu circle, which grew 7.9%
and 8.7% mom.
CDMA Mobile segment
CDMA Subscriber base grew 3% mom to 8.6mn. Reliance maintained
its leadership position with 91% market share. Net addition among private
players was almost through Reliance, which had 98.7% market share. Tata
Tele services lost 19,770 of its subscribers as a result of disconnection due to
outstanding bills.
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Fixed line
In the month 0.2mn subscribers were added in the fixed line segment
and total subscriber base stood at 41.12mn. Growth in Fixed line segment is
predominately coming from Fixed Wireless Terminals.
HUTCHISON TELECOM
• Brand Name: HUTCH
• Network: GSM 900, GSM 1800, GPRS, EDGE
• Network Coverage: 16 Telecom Circles
• Subscriber base: 5,999,850
• Market Share: 20%
• Subscriptions: Post Paid, Pre Paid
OTHER GSM OPERATORS
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BHARTI
• Brand Name: AIRTEL
• Network: GSM 900, 1800, GPRS, EDGE
• Network Coverage: 17 Telecom circles
• Subscriber base: 8,000,553 (May 2004)
• Market Share: 26%
• Subscriptions: Post Paid, Pre Paid
Bharti was the first mobile operator operational in India. India’s first GSM
based phone call was made on Airtel network.
IDEA CELLULAR
• Brand Name: IDEA
• Network: GSM 900, 1800, GPRS, EDGE
• Network Coverage: 6 Telecom circles
• Subscriber base: 4,214,571
• Market Share: 14%
• Subscriptions: Post Paid, Pre Paid
CDMA Operators
RELIANCE
• Brand Name: RIM- Reliance India Mobile
• Network: CDMA 2000-1x
• Network Coverage: 18 Telecom circles
• Subscriber base: > 6,8 million
• Market Share: 80%
• Subscriptions: Post Paid, Pre Paid
TATA INDICOM
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• Brand Name: TATA or TATA Indicom
• Network: CDMA 2000-1x
• Network Coverage: 6 Telecom circles
• Subscriber base: > 2 million
• Market Share: 8 – 10%
• Subscriptions: Post Paid, Pre Paid
OUTLOOK
The recent tariff cuts announced by various telecom operators would
affect the bottom line of these companies.
The company’s that are unequipped to match up with the competition
and does not have economies of scale would loose out in this race. Smaller
players might find difficult to be in the business and may merge with big
players leading to consolidation in the industry.
COMPANY PROFILE
Hutchison Essar is a part of the internationally acclaimed Hutchison
Whampoa group, a diversified, multinational conglomerate with its origins
dating back to 1828 in Hong Kong. The parent company, Hutchison
Whampoa Limited, is a part of the Li Ka-Shing group of companies. It is
one of the largest companies listed on the Hong Kong stock exchange. The
Group operates five core businesses in 41 countries and employs around
1,50,000 people worldwide. It is one of the most profitable businesses in
Asia.
The five core businesses of Hutchison Whampoa are:
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Ports and Related Services: World leading port investor, developer and
operator with interests in over 31 ports throughout Asia, Africa, Europe and
the Americas.
Telecommunications and e-commerce: One of the leading owners and
operators of telecommunications and Internet infrastructure in around 17
countries worldwide.
Property and Hotels: Has an investment portfolio of approx 13.7 million
sq. ft. of commercial, office, industrial and residential premises.
Retail and Manufacturing: Owns 3 major stores – Watsons, Fortress and
PARK-n-SHOP with more than 800 stores in the region. With the
acquisition of the Kruidvat Group of the Netherlands, Hutchison became one
of the world’s largest health and beauty retail outlets in Asia and six
European countries.
Energy, Infrastructure, Finance and Investments: Hong Kong and
Lamma Islands run on electricity generated by Hutchison. It holds 84.6%
interest in Cheung Kong infrastructure – a leading investor in the
infrastructure sector in Hong Kong, PRC and Australia.
Group Structure of Hutchison Whampoa Limited
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Hutchison Telecommunications
Hutchison Telecommunications is a wholly owned subsidiary of
Hutchison Whampoa Limited. It operates a wide range of integrated
telecommunications services in over 17 countries. It was formed in 1985 to
run a cellular network in Hong Kong and now has become a
Formidable force in mobile communications. It has business interests in
fixed line services, Internet services, fiber optics, mobile telephony (voice
and data), trucked mobile radio and radio broadcasting. But its main interest
internationally is in providing mobile telephony.
Hutchison Essar in India
Hutchison established its presence in India way back in 1994 by acquiring
the cellular license for Mumbai. It launched cellular service in the city of
Mumbai on a GSM 900 network under the brand name Max Touch in the
year 1995. It became synonymous with being the first ‘service brand’ in
telecom by making innovations both in customer service and technology. In
early 2000, Orange was launched in Mumbai.
In 2000, Hutchison did a joint venture with Essar to
expand its presence in the country. Hutchison Essar
acquired the cellular licenses in Delhi, Kolkata and
Gujarat in 2000 to become one of the largest
cellular businesses in the country.
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Hutchison Essar won the bid to operate as the 4th cellular service provider in
Chennai, Karnataka and
Hutchison Telecom has a successful track record in identifying
potential countries and technologies, developing them and creating
shareholder value over a long term. One of its key success stories was
developing the first consumer brand in telecom – Orange. It is one of the
largest 3G players worldwide. Hutchison 3G has been given licenses to
operate in UK, Italy, Israel, Denmark, Sweden, Austria, Ireland, Australia
and Hong Kong. Hutchison is the first operator to offer 3G services in
Australia, Italy, the UK and Sweden.
Hutchison established its presence in India in 1994, through a joint
venture with Max India Limited. In 1995, Hutchison Max Telecom became
the first operator in India to launch its cellular service.
Today, Hutchison is the one of the largest providers of cellular services
in India with presence in all the major regions - Orange in Mumbai and
Hutch in Delhi, Karnataka, Andhra Pradesh, Chennai, Kolkata, Gujarat,
Haryana, Rajasthan, UP (E), Punjab, West Bengal, UP (W), Sikkim, and
Tamil Nadu.
Hutchison affiliates jointly account for the largest number of cellular
subscribers in India numbering over 5.7 million.
Hutch in Karnataka is part of the Hutchison network, the second
largest cellular service provider in India - covering over 23% of the national
footprint and 50% of national purchasing power, with a subscriber base that
exceeds 4 million.
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At Hutchison, our philosophy is simple - to provide superior mobile
communications services across the country at affordable rates. Hutch spans
eight important telecom circles across the country. It covers Mumbai under
the brand name Orange, and covers Delhi, Rajasthan, Haryana, UP [E],
Chennai, Andhra Pradesh, Gujarat, Kolkata and Karnataka under Hutch
Hutch's Old Logo
Recently (in 2006) Orange was renamed as Hutch, using a pink background
in advertising material instead of the previous orange colour. Before the
transition, Mumbai was overrun with billboards that simply said "Bye". A
week later, the same billboards, along with the rest of the country, sported
the Hutch tristar in a new, vivid pink. At the time, Mr. Naveen Chopra,
corporate vice president, group marketing, Hutchison Essar, said, "The idea
is just to refresh the brand, and inculcate a new 'Hutch spirit'." But the brand
makeover had less to do with creating excitement and more with renouncing
the Orange brand to Orange Telecom and creating the new pan-Indian Hutch
brand. With Vodafone acquiring 67% of Hutch for U$11.1b, Vodafone is
going to replace the Hutch brand with the Vodafone brand.
Acquisition
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Hutch (in mid 2006) bought BPL mobile (a smaller Indian rival), in a deal
valued at $1.15 billion. After the acquisition, Hutch has close to a 53% stake
(which includes direct and indirect holdings), while Essar has over 30%. The
remaining stakes are held by Kotak group (8%) and Hindujas and Max
(together 8%).
THE TOP MANAGEMENT
Asim Ghosh, Managing Director, Hutchison Essar
Harit Nagpal, Vice-President, Corporate Marketing, Hutch
Samuel Selvakumar, Chief Executive Officer, Hutch – Karnataka & Chennai
AWARDS
1. HUTCH is rated as 'Best Mobile Service in the Country' by the
national TNS survey of mobile users.
2. HUTCH is named 'Most Respected Telecom Company' by Business
World.
3. HUTCH has been Named 'Creative Advertiser of the Year' and has
won the 'Campaign of the Year' award at the annual Abby 2004
advertising awards function.
4. Diagrammatic representation of Hutchison Essar’s presence in India
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THE Mc KINSEY 7-S FRAMEWORK
The 7-S Model is better known as McKinsey 7-S. This is because the
two persons who developed this model, Tom Peters and Robert Waterman,
have been consultants at McKinsey & Co at that time. They published their
7-S Model in their article “Structure Is Not Organization” (1980) and in their
books“The Art of Japanese Management” (1981) and “In Search of
Excellence” (1982).
STRATEGY
The integrated vision and direction of the company, as well as the
manner in which it derives, articulates, communicates and implements that
vision and direction.
Hasn’t expanded footprint indiscriminately and has focused on the juicier
market first.
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Matched competitors’ prices, but never positioned the brand on the price
plank.
Focused on getting a larger share of higher paying user through value added
services.
Has tried to pre-empt the second stage of market evolution by focusing on
margin.
IMPACT
Despite having a smaller footprint, its top line is just 14% off the industry
leader Bharti’s.
Its tariffs are not the lowest in the market, but low enough.
Has consistently netted the highest average revenues per user in industry.
Gross profit has increased ten times to $90 million in the 6 months to June
30, 2004.
Marketing Strategy Comparison of Airtel and Hutch
By Rahul Guhath more
SLIDESHOW TRANSCRIPT
Slide 1: Marketing Strategy Comparison AirTel & Hutch Rahul, Priyanka,
Zardar, Rashmi Indian Institute of Planning & Management Ahmedabad
Slide 2: Project Introduction “…Telecoms are rolling out like never before.
And that 100-million mark doesn't look too far away. The mobile subscriber
base crossed 65 million in September 2005, an over-30 per cent increase
over the previous year…”
Slide 3: Project Introduction Cont’d… • Indian Cellular Industry will touch
$24 billion by the end of 2006. • Airtel (22 per cent market share, over 15
million mobile subscribers, source: Cellular Operators Association of India)
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witnessed its highest-ever net addition of 1.8 million mobile customers in a
single quarter.
Slide 4: Project Introduction Cont’d… • Hutch, with over 10 million
subscribers (15 per cent market share) may be No. 4 (behind Reliance and
BSNL) at present, but it has the highest average revenue per user.
Slide 5: AirTel Marketing Strategy Business Process Management Process
Innovations and Continuous Improvement through People Involvement
Problem Investigation by "Fact Based - Root Cause Analysis"
Slide 6: Cont’d… Customer-Defined Business Processes Based on
Customer Specifications, AirTel have webbed many business processes on
the following concepts: Delivery time Turn around time Lead-time Time to
market Other performance indicators
Slide 7: AirTel Marketing Strategy Cont’d… Result Oriented
Approach Each process has been designed by first planning the desired
result. The targeted results are then arrived at through identification of the
following: The next-customer and end-customer expectations. Quantifiable
purpose of the process and key result areas. Past experience of "What went
wrong and can go wrong".
Slide 8: AirTel Marketing Strategy Cont’d… Naturally, the target customer
was clearly defined: elite, up market professionals and entrepreneurs. "We
positioned AirTel as an aspirational and lifestyle brand, in a way that
trivialized the price in the mind of the consumer. It was pitched not merely
as a mobile service, but as something that gave him a badge value,“ – recalls
Hemant Sachdev, chief marketing officer (mobility) and director, Bharti
Tele-Ventures.
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Slide 9: AirTel Marketing Strategy Cont’d… • in 1999, the rules of the
game changed. The New Telecom Policy came into effect, replacing licence
fees with a revenue-sharing scheme and extending the licence period from
10 to 20 years. • Now, cellular service operators could drop their prices and
target new customer segments. As SEC B became part of the catchment
area, Airtel's communication changed from "power" to "touch tomorrow".
Slide 10: AirTel Marketing Strategy Cont’d… • In 2002, Airtel signed on
music composer A R Rahman and changed its tune to "Live every moment":
Rahman's signature tune for Airtel is, perhaps, the most downloaded ring
tone in India. But that was just part of the ongoing communication.
Slide 11: AirTel Brand Review • AirTel has the most recognizable brand in
the Indian operator space, with 30.8% of our respondents able to identify it
as a mobile brand unaided. • while this is lower than many of its
competitors, examination of the various brand strength indicators shows
AirTel has a much stronger brand than its competitors do. Source: IE Market
Research Corp. – 30th Oct 2006 - 14 Pages - ID: IEMR1370648
Slide 12: AirTel Brand Review cont’d… • of respondents, 27.4% identified
AirTel with “cool”, 26% with “creative”, and 22% with “technically
advanced”. Only 8.6% of respondents identified AirTel with “cheap”. •
Between 2004 and 2005, it has increased its market share from 20.5% to
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21.5% of the market. Source: IE Market Research Corp. – 30th Oct 2006 -
14 Pages - ID: IEMR1370648
Slide 13: AirTel Ad Campaigns
Slide 17: Hutch Marketing Strategy “…A big success factor was how
aspirational overtones in brand imagery stayed, even though price wars had
started. Again, the colour orange was a seminal attribute; the brand's slogan
was 'The future's bright, the future's orange'…”
Slide 18: Hutch Marketing Strategy Cont’d… “…The new brand name also
heralded the arrival of a new mascot, the "Hutch" pug. When Hutch
launched the Abby-winning "Wherever you go our network will follow'" ad,
viewers believed that was Hutch's new slogan, but it was just one brand
attribute …”
Slide 19: Hutch Marketing Strategy Cont’d… Value-added services •
"Privileges" (discount coupon booklets), cricket scores and stock market
information - have formed as critical a part of Hutch's marketing efforts as
it’s advertising. • Hutch World (GPRS service), • Hutch Alive (non-stop,
streaming action) • Hutch4Help, a unique dial-in 'convenience' service, all
emphasize the premium attributes of the service. • Chhota Recharge, small
value recharge cards (starting at Rs 10), which will also help mobilize small
spenders.
Slide 20: Hutch Mobile Shop - A great initiative
Slide 21: Hutch Ad Campaigns
Slide 24: Marketing Research Analysis which card is used. HUTCH 21%
AIRTEL 0% BSNL 50% TATA INDICOM 29% IDEA
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Slide 25: Marketing Research Analysis Cont’d… Service provided by the
customer care 4% 4% yes, I m satisfied. No, not satisfied. Can’t say 92%
Slide 26: Marketing Research Analysis Cont’d… network connectivity yes,
I m satisfied. No, not satisfied. Can’t say.
Slide 27: Marketing Research Analysis Cont’d… Quality provided by
Service Provider 0% yes, I m satisfied. 39% no, not satisfied. 61% can't say
Slide 28: Marketing Research Analysis Cont’d… Billing System 21% yes, I
m satisfied. 49% no, not satisfied. Can’t say 30%
Slide 29: Marketing Research Analysis Cont’d… Card do you prefer 48%
prepaid postpaid 52%
Slide 30: Marketing Research Analysis Cont’d… Cost satisfaction 10% yes,
I m satisfied. No, not satisfied. 33% 57% can't say
Slide 31: SERVQUAL model The Measurement and Evaluation of Service
Quality - SERVQUAL model: Service Quality = (Performance –
Expectation) the word ‘SERVQUAL’ is an abbreviated form of service
quality. The measurement was developed by Parasuraman, Zeithaml, and
Berry (hereafter, PZB) in 1985.
Slide 32: Five Dimensions of SERVQUAL Model (Revised from Kotler, P
1999 Marketing Management, Millennium Edition Prentice Hall)
Dimensions Descriptions Tangibles The appearance of Physical facilities,
equipment, personnel and communication materials. Reliability The ability
to perform the promised service. Dependably and accurately.
Responsiveness The willingness to help customer & provide prompt service.
Assurance The knowledge & courtesy of employees and their ability to
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convey their trust and confidence. Empathy The provision of caring
individualized attention to customers
Slide 33: SERVQUAL Model Methodology • the raw data used in
computing coefficient alpha were in the form of difference scores. • A
difference score for each item Q, representing perceived service quality was
found by subtracting the expectation score from the corresponding
performance (or perception) score (Q = P – E)
Slide 34: Research Findings • GSM service providers (cellular), customers
seem satisfied with the 'ability to make and receive calls in any part of the
city', however, the service providers have fallen short in meeting customers
expectations when it comes to coverage within buildings, in basements or in
lifts.
Slide 35: Research Findings Cont’d… • The corporate image of the service
provider continues to be an important aspect in driving retention and most
service providers have been successful in building a positive and favorable
image among the subscribers.
Slide 36: Research Findings Cont’d… • The study also revealed that 'Error
free' and 'accurate' bills, being promptly delivered is something that the
customers seem to be taking for granted and have little impact on retention.
On the contrary, non-delivery on these could cause a lot of disgruntlement
and unhappiness with the service provider.
Slide 37: Research Findings Cont’d… • another revelation was that
customers seemed very peeved with the amounts they had to pay for local
and STD calls.
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Slide 38: Research Findings Negative Outcomes the cellular industry has
performed below average in various aspects related to • 'customer care /
helpline'. These include 'time taken before someone attends to you', their
'ability to resolve complaints/ queries in the first instance'
Slide 39: Research Findings Negative Outcomes Cont’d. • 'Overall time
taken to resolve complaints', call center personnel's ability to take decisions.
• 'Knowledge of customer care personnel about tariff plans and schemes' and
• 'the promptness in taking action on complaints'.
Slide 40: Samit Sinha, Managing Partner, Alchemist Brand Consulting “.
There isn't a great deal of differentiation in terms of pricing, services,
schemes and so on, but there are differences in approach. Overall, AirTel is
focused on functionality and efficiency, while Hutch has veered towards
warmth and emotions…”
Slide 41: Meenakshi Madhvani, Managing Partner, Spatial Access • “… it
would not be right to conclusively say that Brand A is stronger than Brand
B. However, if you consider adoption of the service by consumers as an
indicator of brand strength, then AirTel would rank reasonably high…”
Slide 42: •“. What matters is what the customers want." - Mittal, CEO
Bharti Teleservices
Slide 43: Other Indian Cellular Service Providers
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STRUCTURE
The policies and procedures, which govern the way in which the
organization acts within itself and within its environment.
ORGANISATION STRUCTURE AND VARIOUS DEPARTMENTS
TERRITORIAL CIRCLES
Circle Definition: Areas classified on the basis of subscriber and revenue
potential, where Metro circle has the highest potential and C circle has the
lowest .The entire nation is divided in 4 circles namely
METROS, A, B AND C.
Metro circle: Delhi, Mumbai, Kolkata & Chennai.
A Circle: States of Maharshtra, Gujarat, Andhra, Karnataka & Tamil Nadu.
B Circle: States of Kerala, Punjab, Haryana, Uttar Pradesh, Rajasthan
& Madhya Pradesh.
C Circle: States of Himachal, Bihar, Orissa, Assam, Kashmir and North East
States.
Hence the territory manager looks after a particular zone or circle. Any
operations in these circles will be headed by him.
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Human Resource
The basic function of the human resource department is to manage the
manpower in an efficient and effective manner. The recruitment and
selection, procedures including the training of the employees is the
responsibility of the human resource department.
Planning
The planning department is lead by key persons of the company, as
effective planning leads the organization. The job of the planning
Department is to plan and present the plans to the top management and
operational department. It plays a vital role in the achievement of
organizational goals.
Operations
The operations department is an action oriented department. The
operations department implements or executes the plan, which is presented
to them from the planning department.
Communication
The communication department is a technical department, which deals
with the technologies provided. It helps the organization to identify and
analyze the efficient and effective alternatives of providing service. The
communication department also helps in providing cutting-edge
technologies to its subscribers.
Finance
The finance department is a common department in all the
organizations as they say Finance is the lifeblood of the business. The basic
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function of the finance department is allocation and maintenance of fund and
resources of the organization. Investment is a crucial factor in business
hence the finance department helps the organization to invest in right areas
in order to have maximum returns.
SYSTEM
The decision-making systems within the organization can range from
management intuition, to structured computer systems to complex expert
systems and artificial intelligence.
The flow of information between each department is through memos,
circulars.
Any decision is taken by conducting meetings.
Information reaches the ultimate customers through retail system.
The interaction between subscriber and the company is given below
The subscribers who are interested in Prepaid Connection may visit
any of the HUTCH Dealers or outlets. Then the subscriber is given
information about the service. If the subscriber is interested in buying the
connection he will have to fill a form, which contains his personal details
with the proof that is (passport, driving license…etc). Then the service will
be activated and subscriber is ready to avail the service.
STYLE: Style refers to the employees shared and common way of thinking
and behaving - unwritten norms of behavior and thought. The style also
includes the various Performance Appraisal techniques and Employee
training procedures.
STAFF: Staff means that the company has hired able people, trained them
well and assigned them to the right jobs. Selection, training, reward and
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recognition, retention, motivation and assignment to appropriate work are all
key issues.
SKILLS: Skills refer to the fact that employees have the skills needed to
carry out the company's strategy. Training and Development - ensuring
people know how to do their jobs and stay up to date with the latest
techniques.
SHARED VALUES: Shared value means that the employees share the same
guiding values. Values are things that you would strive for even if they
were demonstrably not profitable.Values act as an organization’s
conscience, providing guidance in times of crisis. Identifying corporate
values is also the first essential step in defining the organization’s role in the
larger community in which it functions.
“Our - Pathfinders for a New Medium”
We are not in the business of selling phones. Our mission is to enhance
people's lives - we are creating a service that, upon demand, shows you
where you are, what you want and how you want it - and puts it in the palm
of your hand. Over time, we hope that this will become an indispensable part
of our daily lives.
"It is my belief that the increasing pressures to maximize profit and
efficiency should not compromise our respect for equality and our
determination to minimize misery"
Quotes by Mr. Li Ka-Shing
Chairman, Hutchison Whampoa
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Our goal is to provide you superior products and services, anytime
and anywhere.
To be fair and transparent in what we do and how we do it.
To provide you quality services with more customer friendly
practices.
To make your communications experience simple, pleasurable and
fun.
Where you don't simply get technology - but technology that is
relevant.
Where solutions are not just promised in the future – but delivered in
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SAMPLING
Sample method: stratified random sampling method
Sample population: people from Belgaum city
Sample unit: One of the units into which an aggregate is divided or regarded
as divided for the purpose of sampling, each unit being regarded as individual
and indivisible when the selection is made. The definition of unit may be made
on some natural basis from example households, persons, units of product etc.
Hence, in the study the sample unit is “Respondents who are Prepaid Hutch
Subscribers”.
Sample size: 100
SOURCES OF DATA: Data, facts, figures, other relevant material of past and
present and surveying are the basis for study and analysis. Without an analysis
of factual data no specific inferences can be drawn on the questions under
study. Inferences based on imagination or guesses cannot provide correct
answer to research questions. The relevance adequacy and reliability of data
determine the quality of the findings of a study.
For the purpose of the present study, data from two sources has been
collected namely primary and secondary data.
Primary Data: is source from which the researcher collects the data. It is a
first hand data, which is used directly for the analysis purposes. Primary data
always gives the researcher a fairer picture. In the present study primary data
has been collected using questionnaires. For the purpose of collecting the
same, 100 respondents have been randomly selected. Even the response of
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the respondents was taken into consideration. In this study, primary data
plays a vital role for analysis, interpretation, conclusion and suggestions.
Secondary Data: is data, which is collected and compiled for other purposes.
Secondary data also plays a key factor in the in providing various other
information which will influence the
Analysis: Few of the main sources of secondary data include newspapers,
business journals, magazines, Internet and company reports etc.
SAMPLE DESIGN: A part of the population is known as sample. The
process of drawing a sample from a large population is called sampling. The
type of sample design used is Simple Random Sampling. Simple Random
Sampling gives every unit of the population a known and non-zero
probability of being selected. Since random sampling implies equal
probability to every unit in the population, it is necessary that the selection
of the sample must be free from human judgment. The sample design is
formulated at Belgaum city only.
TOOLS AND TECHNIQUES OF DATA COLLECTION
The following sampling techniques have been implemented:
Personal interviews
Approaching people personally and interviewing directly.
Questionnaires
Designing the questions in such a way that is covers various opinions, views
about HUTCH & its competators subscribers at the present market
conditions. The questionnaire consisted of various types of questions say
Open-ended questionnaire, close ended or Dichotomous questions, Multiple-
choice questions.
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FIELD WORK
This project involved a fieldwork where in the survey is conducted by
having a personal interaction with 100 subscribers who are HUTCH
subscribers. Personal interaction has been carried out and the information
sought as was required in the questionnaire for the purpose of data
processing and analyzing. The respondents have been contacted directly.
LIMITATIONS OF THE STUDY
The limitations of the study are as follows:
Sample size of the subscriber is limited.
Many subscribers do not give the exact picture of their opinion.
The time period for conducting the survey is inadequate as the sample size
covers only Belgaum city.
One subscriber may have more than one connection.
The opinion of the subscriber depends on the geographical location of the
subscriber this may include the network of the provider.
Since it’s a prepaid service it may be temporarily be used.
Since most of the subscribers are teenagers it fails to give a general view of
other age groups.
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Chapter 3
Data Analysis
Findings
Recommendations
Conclusion
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Data Analysis
1) Do you own cell phone?
Frequency Percent Valid
Percent
Cumulative
Percent
Valid Yes 100 100.0 100.0 100.0
The above graph shows that 100% respondents user of cell phone users
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2) Which are the following operators you are connected
Frequency Percent Valid Percent Cumulative
Percent
Hutch 41 41.0 41.0 41.0
Airtel 35 35.0 35.0 76.0
Bsnl 8 8.0 8.0 84.0
Spice 6 6.0 6.0 90.0
Reliance 8 8.0 8.0 98.0
tata indicom 2 2.0 2.0 100.0
Total 100 100.0 100.0
INTERPETATION: -The above graph shows that 41% respondents has
Hutch operator connected, 35% respondents has Aer-tel operator connected,
each 8% respondents has respectively BSNL & RIM operator connected, &
respectively 6%&2% respondents has Spice & Tata-indicom operator
connected,
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3) How did you come to know about this operator?
Frequency Percent Valid
Percent
Cumulative
Percent
Friend Relative 62 62.0 62.0 62.0
Media 21 21.0 21.0 83.0
News paper 8 8.0 8.0 91.0
Holding boarding 5 5.0 5.0 96.0
Others 4 4.0 4.0 100.0
Total 100 100.0 100.0
INTERPETATION: -From survey revel that 62% of the respondents come to
know about the operator through their friend &relatives & remaining 38% of
the respondents come to know about the operator through media, news paper,
holding &bolding others. The operator should touch customer &provide
effective service for the customer Respondents are highly influenced by their
social circle i e friends, family…etc followed by the promotion done by the
company and later the service parameters.
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4) Which type of connection do you have?
Frequency Percent Valid
Percent
Cumulativ
e Percent
Prepaid 93 93.0 93.0 93.0
Postpaid 7 7.0 7.0 100.0
Total 100 100.0 100.0
INTERPETATION: -According through a survey 93% of the respondents
are pre-paid service users & 7% of the respondents are post-paid service
users
Respondents are more interested to use prepaid services than postpaid
services
The mobile service should emphasis on post-paid customers to provide the promotion
to attract the post-paid customers
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5) Reason for selecting the operator?
Price CoverageTraiff/scheem Availability
Easy documentationProcess Advertisement Experience
27 67 27 21 18 21 19
reason for select the operator
27
67
27 21 18 21 1901020304050607080
Series2
Series1
INTERPETATION: - Almost 67% of the respondent’s reason for selecting
is to coverage; each 27% of the respondents reason for selecting is to price&
new scheme each 21% of the respondents reason for selecting is to easy
availability, advertisement &19&18%
Of the respondents reason for selecting is to good experience of existing
customer Easy documentation
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6) If given a chance to you which operator do you prepare?
INTERPETATION: - According trough this survey reveled that following
steps
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Frequency
Percent Valid Percent
Cumulative Percent
Hutch 14 14.0 14.0 14.0 Air tel 31 31.0 31.0 45.0 Bsnl 19 19.0 19.0 64.0 Spice 6 6.0 6.0 70.0 Reliance 27 27.0 27.0 97.0 Tata Indicom 3 3.0 3.0 100.0 Total 100 100.0 100.0
The comparative of study HUTCH & its competitor
31% of the respondents want to shift Airtel operator, 27% of the respondents
want to shift RIM, 19% of the respondents want to shift BSNL, 14% of the
respondents want to shift Hutch, 6% of the respondents want to shift Spice
and 3% of the respondents want to shift Tata-indicom
The network coverage of HUTCH is not all that competitive compared to
AIRTEL. Hence there is only a 17% difference between the respondents
who have rated ‘Good’ and ‘Fair’.
7) Tick the pricing strategy of
a) Hutch
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Frequency Percent Valid Percent
Cumulative Percent
Very high
4 4.0 4.0 4.0
High 6 6.0 6.0 10.0 Medium 67 67.0 67.0 77.0 Low 19 19.0 19.0 96.0 Very low 4 4.0 4.0 100.0 Total 100 100.0 100.0
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INTERPETATION: - The above graph shows Pricing Strategy of HUTCH
67% of the respondents said that pricing of hutch is medium
19% of the respondents said that pricing of hutch is low
6% of the respondents said that pricing of hutch is high
Each 4% of the respondents said that pricing of hutch is very high &very
low
The “Tariffs” is the Unique Selling Proposition for Hutch followed by
“Others”
b) Airtel
Frequency Percent Valid Percent
Cumulative Percent
Very high 16 16.0 16.0 16.0 High 58 58.0 58.0 74.0 Medium 13 13.0 13.0 87.0 Low 8 8.0 8.0 95.0 Very low 5 5.0 5.0 100.0 Total 100 100.0 100.0
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INTERPETATION: - The above graph shows Pricing Strategy of AIR-TEL
58% of the respondents said that pricing of Air-tel is high
16% of the respondents said that pricing of Air-tel is very high
13% of the respondents said that pricing of Air-tel is medium
8% of the respondents said that pricing of Air-tel is low
5% of the respondents said that pricing of Air-tel is very low
Most of the respondents feel that pricing of Air-tel is high
c) BSNL
Frequency Percent Valid Percent
Cumulative Percent
Very high 22 22.0 22.0 22.0 High 13 13.0 13.0 35.0 Medium 41 41.0 41.0 76.0
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Low 16 16.0 16.0 92.0 Very low 8 8.0 8.0 100.0 Total 100 100.0 100.0
INTERPETATION: - The above graph shows Pricing Strategy of BSNL
41% of the respondents said that pricing of BSNL is medium
22% of the respondents said that pricing of BSNL is very high
18% of the respondents said that pricing of BSNL is low
13% of the respondents said that pricing of BSNL is high
8% of the respondents said that pricing of BSNL is very
d) Spice
Frequency Percent Valid Percent
Cumulative Percent
Medium
73 73.0 73.0 73.0
Low 15 15.0 15.0 88.0 Very low
12 12.0 12.0 100.0
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Total 100 100.0 100.0
INTERPETATION: - The above graph shows Pricing Strategy of SPICE
73% of the respondents said that pricing of Spice is medium
15% of the respondents said that pricing of Spice is low
12% of the respondents said that pricing of Spice is very low
e) Rim
Frequency
Percent Valid Percent
Cumulative Percent
Medium 32 32.0 32.0 32.0 Low 47 47.0 47.0 79.0 Very low 21 21.0 21.0 100.0 Total 100 100.0 100.0
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INTERPETATION: - The above graph shows Pricing Strategy of RELIANCE
32% of the respondents said that pricing of Rim is medium
47% of the respondents said that pricing of Rim is low
11% of the respondents said that pricing of Rim is very low
f) Tata indicom
Frequency Percent Valid Percent
Cumulative Percent
Medium 57 57.0 57.0 57.0
Low 36 36.0 36.0 93.0
Very low 7 7.0 7.0 100.0
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Total 100 100.0 100.0
INTERPETATION: - The above graph shows Pricing Strategy of RELIANCE
32% of the respondents said that pricing of Rim is medium
47% of the respondents said that pricing of Rim is low
11% of the respondents said that pricing of Rim is very low
8) Have you switched between any operators?
Frequency Percent Valid Percent
Cumulative Percent
Yes 33 33.0 33.0 33.0 No 67 67.0 67.0 100.0 Total 100 100.0 100.0
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Inference: 67% of the respondents did not switch their brands.
33% of the respondent switched their brand
Most of the subscribers are loyal to their brand and therefore don’t switch
their brands but we also have a small percentage of subscribers who switch
their brands.
9) How many operator have you switched off in past
Frequency Percent Valid Percent
Cumulative Percent
Not atall 67 67.0 67.0 67.0 One time 15 15.0 15.0 82.0 Two time 10 10.0 10.0 92.0 Three time or more
8 8.0 8.0 100.0
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Total 100 100.0 100.0
Inference: 67% of the respondents not at all switched their brands
Out of 33 respondents 15 respondent are switched their brands on one time
Out of 33 respondents 10 respondent are switched their brands on two times
Most of the subscribers are loyal to their brand and therefore don’t switch
their brands but we also have a small percentage of subscribers who switch
their brands.
10) Reason for switching the operator?
Cost
Poor
network
Poor
service Traiff/scheem Others
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0 30 27 30 3
cost poor nwtworkpoor servicetraiff /scheem others
Reason for sw itching
Inference: Out of 33 respondents 8 respondents are switched there brands on
three times
Out of 33 respondents each 30 respondents said that reason for switching is
because of poor network & poor service
Out of 33 respondents each 27 respondents said that reason for switching is
because of new scheme
Out of 33 respondents each 4 respondents said that reason for switching is
because of other reason
11) How is the customer care service?
a) Hutch
Frequency Percent Valid Percent
Cumulative Percent
Excellent 18 18.0 18.0 18.0
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Good 55 55.0 55.0 73.0 Fair 17 17.0 17.0 90.0 Poor 8 8.0 8.0 98.0 Very poor
2 2.0 2.0 100.0
Total 100 100.0 100.0
INTERPETATION
Inference: HUTCH
18% of the respondents said that customer care of Hutch is excellent
55% of the respondents said that customer care of Hutch is good
18% of the respondents said that customer care of Hutch is fair
8% of the respondents said that of customer care Hutch is low
2% of the respondents said that customer care of Hutch is very low
b) Airtel
Frequency Percent Valid Percent
Cumulative Percent
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Excellent 22 22.0 22.0 22.0
Good 59 59.0 59.0 81.0 Fair 15 15.0 15.0 96.0 Poor 1 1.0 1.0 97.0 Very poor 3 3.0 3.0 100.0
Total 100 100.0 100.0
Inference: AIR-TEL
22% of the respondents said that of customer care Air-tel is excellent
59% of the respondents said that customer care of Air-tel is good
15% of the respondents said that customer care of Air-tel is fair
1% of the respondents said that customer of care Air-tel is low
3% of the respondents said that of customer care Air-tel is very low
c) BSNL
Frequency
Percent Valid Percent
Cumulative Percent
Excellent
15 15.0 15.0 15.0
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Good 39 39.0 39.0 54.0 Fair 16 16.0 16.0 70.0 Poor 28 28.0 28.0 98.0 Very poor
2 2.0 2.0 100.0
Total 100 100.0 100.0
Inference: BSNL
15% of the respondents said that of customer care BSNL is excellent
39% of the respondents said that of customer care BSNL is very good
16% of the respondents said that of customer care BSNL is fair
28% of the respondents said that of customer care BSNL is low
2% of the respondents said that of customer care BSNL is very low
d) Spice
Frequency Percent Valid Percent
Cumulative Percent
Excellent 10 10.0 10.0 10.0
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Good 13 13.0 13.0 23.0 Fair 25 25.0 25.0 48.0 Poor 32 32.0 32.0 80.0 Very poor 20 20.0 20.0 100.0
Total 100 100.0 100.0
Inference: SPICE
10% of the respondents said that customer care of Spice is excellent
13% of the respondents said that customer care of Spice is good
25% of the respondents said that customer care of Spice is fair
32% of the respondents said that customer care of Spice is low
20% of the respondents said that customer care of is Spice very low
e) Rim
Frequency Percent Valid Percent
Cumulative Percent
Excellent 16 16.0 16.0 16.0
Good 20 20.0 20.0 36.0
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Fair 24 24.0 24.0 60.0 Poor 28 28.0 28.0 88.0 Very poor 12 12.0 12.0 100.0
Total 100 100.0 100.0
Inference: 16% of the respondents said that customer care of Reliance is
excellent
20% of the respondents said that customer care of Reliance good
24% of the respondents said that customer care of Reliance is fair
28% of the respondents said that customer care of Reliance is low
12% of the respondents said that customer care of Reliance is very low
f) Tata indicom
Frequency Percent Valid Percent
Cumulative Percent
Excellent 8 8.0 8.0 8.0 Good 22 22.0 22.0 30.0
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Fair 28 28.0 28.0 58.0 Poor 29 29.0 29.0 87.0 Very poor 13 13.0 13.0 100.0 Total 100 100.0 100.0
Inference: TATA-INDICOM
8% of the respondents said that customer care of Tata-Indicom is excellent
22% of the respondents said that customer care of Tata-Indicom is good
28% of the respondents said that customer care of m Tata-Indicom is fair
29% of the respondents said that customer care of Tata-Indicom is low
13% of the respondents said that of customer care Tata-Indicom is very low
12) Rank the following operators
Frequency Percent Valid Percent
Cumulative Percent
Hutch 34 34.0 34.0 34.0 Airtel 38 38.0 38.0 72.0 BSNL 12 12.0 12.0 84.0 Spice 6 6.0 6.0 90.0 Reliance 7 7.0 7.0 97.0
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Tata indicom 3 3.0 3.0 100.0 Total 100 100.0 100.0
Inference: 38%of the respondents recalled, Hutch first in brand sequencing
34% of the respondents recalled Airtel, first in brand sequencing
12% of the respondents recalled BSNL, first in brand sequencing
8% of the respondents recalled RIM, first in brand sequencing
6% of the respondents recalled Spice, first in brand sequencing
2% of the respondents recalled Tataindicom, first in brand sequencing
13) What do you from expect from your present mobile service providers?
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Inference: 93% respondents expecting while taking any operator service good
network & 67%respondents referring more talk time & 83% respondents
referring unlimited SMS 36% respondents referring attractive pricing strategy.
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More talk time
Unlimited sms Good service
Better coverage Price Others
67 83 90 93 36 21
The comparative of study HUTCH & its competitor
FINDINGS
According through survey 100% of the respondents using cell phone
According to through survey 41% Respondents using HUTCH operator
and 35% of the Respondents are using AIRTEL operator and each 8% of the
Respondent using respectively B.S.N.L & RIM and 6% of the Respondents
are using SPICE & remaining 2% of the Respondents are using TATA
INDICOM
62% of the Respondents said that they come to about operator trough their
friend and relative and 21% of the Respondents said that they come to about
operator trough the Media and 8% of the Respondents said that they come to
about operator trough the and 5% Respondents said that they come to about
operator trough the advertisements & 4% of the respondents said that the
come to know about the operator through others.
93% of the respondents have connected pre-paid operator & remaining
7% of the respondents have connected post-paid.
31% of the respondents want to shift Airtel operator, 27% of the
respondents want to shift RIM, 19% of the respondents want to shift BSNL,
14% of the respondents want to shift Hutch, 6% of the respondents want to
shift Spice and 3% of the respondents want to shift Tata indicom.
67% of the respondents said that the reason for selecting other operator is
the coverage
27% of the respondents said that the reason for selecting other operator is
the price and 24% of the respondents said that the reason for selecting other
operator is the advertisement, each 21% of the respondents said that the
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reason for selecting other operator is the easy documentation & scheme \
tariffs 19% of the respondents said that the reason for selecting other
operator is the good past experience of existing customer.
Pricing Strategy Of Mobile Service Provider
HUTCH
67% of the respondents said that pricing of hutch is medium
19% of the respondents said that pricing of hutch is low
6% of the respondents said that pricing of hutch is high
Each 4% of the respondents said that pricing of hutch is very high &very
low
AIR-TEL
58% of the respondents said that pricing of Air-tel is high
16% of the respondents said that pricing of Air-tel is very high
13% of the respondents said that pricing of Air-tel is medium
8% of the respondents said that pricing of Air-tel is low
5% of the respondents said that pricing of Air-tel is very low
BSNL
41% of the respondents said that pricing of BSNL is medium
22% of the respondents said that pricing of BSNL is very high
18% of the respondents said that pricing of BSNL is low
13% of the respondents said that pricing of BSNL is high
8% of the respondents said that pricing of BSNL is very low
SPICE
73% of the respondents said that pricing of Spice is medium
15% of the respondents said that pricing of Spice is low
12% of the respondents said that pricing of Spice is very low
RELIANCE
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32% of the respondents said that pricing of Rim is medium
47% of the respondents said that pricing of Rim is low
11% of the respondents said that pricing of Rim is very low
TATA-INDICOM
57% of the respondents said that pricing of Tata-indicom is medium
36% of the respondents said that pricing of Tata-indicom is low
7% respondents said that pricing of Tata-indicom is very low
67% of the respondents did not switch their brands.
33% of the respondent switched their brands
Reason for Switching
Out of 33 respondents 15 respondent are switched their brands on one time
Out of 33 respondents 10 respondent are switched their brands on two times
Out of 33 respondents 8 respondents are switched there brands on three
times
Out of 33 respondents each 30 respondents said that reason for switching is
because of poor network & poor service
Out of 33 respondents each 27 respondents said that reason for switching is
because of new scheme
Out of 33 respondents each 4 respondents said that reason for switching is because of other reason
HUTCH
18% of the respondents said that customer care of Hutch is excellent
55% of the respondents said that customer care of Hutch is good
18% of the respondents said that customer care of Hutch is fair
8% of the respondents said that of customer care Hutch is low
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2% of the respondents said that customer care of Hutch is very low
AIR-TEL
22% of the respondents said that of customer care Air-tel is excellent
59% of the respondents said that customer care of Air-tel is good
15% of the respondents said that customer care of Air-tel is fair
1% of the respondents said that customer of care Air-tel is low
3% of the respondents said that of customer care Air-tel is very low
BSNL
15% of the respondents said that of customer care BSNL is excellent
39% of the respondents said that of customer care BSNL is very good
16% of the respondents said that of customer care BSNL is fair
28% of the respondents said that of customer care BSNL is low
2% of the respondents said that of customer care BSNL is very low
SPICE
10% of the respondents said that customer care of Spice is excellent
13% of the respondents said that customer care of Spice is good
25% of the respondents said that customer care of Spice is fair
32% of the respondents said that customer care of Spice is low
20% of the respondents said that customer care of is Spice very low
RELIANCE
16% of the respondents said that customer care of Reliance is excellent
20% of the respondents said that customer care of Reliance good
24% of the respondents said that customer care of Reliance is fair
28% of the respondents said that customer care of Reliance is low
12% of the respondents said that customer care of Reliance is very low
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TATA-INDICOM
8% of the respondents said that customer care of Tata-Indicom is excellent
22% of the respondents said that customer care of Tata-Indicom is good
28% of the respondents said that customer care of m Tata-Indicom is fair
29% of the respondents said that customer care of Tata-Indicom is low
13% of the respondents said that of customer care Tata-Indicom is very low
Rating of mobile service provider
38%of the respondents recalled, first in brand sequencing
34% of the respondents recalled Aortal, first in brand sequencing
12% of the respondents recalled BSNL, first in brand sequencing
8% of the respondents recalled RIM, first in brand sequencing
6% of the respondents recalled Spice, first in brand sequencing
2% of the respondents recalled Tataindicom, first in brand sequencing
93% respondents expecting while taking any operator service good network
& 67%respondents referring more talk time & 83% respondents referring
unlimited SMS 36% respondents referring attractive pricing strategy.
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SWOT ANALYSIS
Strengths
Fastest growing mobile market in the world
Consumers are ready to pay for cutting-edge services
Providing Value Added Services
Unified license regime
Weaknesses
Market strongly regulated by Government body – Governing
Telecom sectors
Too many authorities ruling the sector
Lack of consistency in the service
Competition from technologies like CDMA
Lack of customer loyalty as Prepaid connections are more
Opportunities
To offer value added services on GSM, CDMA
Language independent services
Potential for Mobile Marketing
Potential for M-Commerce
Unified messaging platforms
Huge potential for untapped female market
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Threats
Low cost service providers- no possibility of breaking even
in short term
Cutting-Edge Technologies
Entrant of new Competitors
Political instability in policies
Regulatory interference
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SUGGESTIONS
SUGGESTIONS TO HUTCH TO IMPROVE ITS SERVICE
HUTCH is providing a very good service to its customers and it is one
of the best service providers for telecommunication, it has to make use of its
resources optimally. In addition to implementing the suggestions given by
various customers HUTCH should follow the following steps to maximize
profits, by means of customer satisfaction in a cost effective manner.
Respondents suggest that the over all service is not satisfactory and not
meeting the customer expectations or the satisfaction level.
Network has been a key factor for customer dissatisfaction; majority of the
respondents suggested to increase the number of network towers, widens the
coverage area and reduces network congestion.
The tariffs have to be consistent for quite some time in order to avoid the
confusion among the subscribers.
More accessible contact numbers for Customer care (increase number of
lines) and promote them in order to make the user aware of the facility.
Provide subsidized rates for calling or messaging to one or few number of
our choice.
Providing free messaging.
Have Good plan, schemes, and packages in order to provide the customer
with a wide choice.Keep the subscriber well informed about any deductions
or any change in the plan and provide value for what the customer is paying
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for.Customer grievances should be dealt more seriously and action has to be
taken.
CONCLUSION
Going mobile is the craze today!!
Now buying mobile is not a rich man’s possession any more.
The mobile industry is on whopping high. With various technologies
creeping in every day you always are on a back seat to keep your self
updated. With a major chunk of the users being teenagers it makes the
situation more dynamic and helps to create a niche market in itself.
Looking at the industry trends in mobile segment, the growth is
tremendous. Various cellular providers try to be innovative in providing
value added services to the subscribers. If the demand is rising in same pace
then it is for sure that the subscriber base of the mobile users will definitely
exceed the limit of the landline subscribers.
This report helps in knowing that the comparative study between
HUTCH & its competitor. With this report the company can capture its
loopholes or weaknesses and convert them in to their strengths and
opportunities.
From the above study we come to a conclusion that in case of
parameters of selection, customer or the subscriber will first look at the
network coverage, tariffs and then other parameters. The Subscriber also
expects the company to give in detail information of the service they are
availing.
An effective sales person has to be employed in order to influence the
buyer decision. The company should have exciting offers with the service
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The comparative of study HUTCH & its competitor
they provide. The basic necessity of a mobile for the subscribers is not well
defined.
Questionnaires
1. Do you own cell phone?
a) Yes b) No
2.which are the following operators you are connected
a) Hutch b) Airtel c) BSNL
d) Spice e) Reliance f) TataIndicom
3.How did you come to know about this operator?
a) Executive b) Friends c) Media
d) Newspaper e) Pamphlet f) Others
4. Which type of connections do you have?
a) Prepaid b) Postpaid
Why did you prefer this connection?
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____________________________________________________________
____________________________________________________________
__________________
6. If given chance to you, which operator do you prefer?
a) Hutch b) Airtel c) BSNL
d) Spice e) Reliance f) Tata Indicom
7. What are the reasons for selecting above operator?
a) Price b) Coverage c) Tariff / Scheme
d) Easily Availability e) Easily document Process
f) Advertisement g) Good past experience of existing
customers
8. Please tick the following w.r.t to pricing strategy of the following
operating
Cell phone
service provider
Very
high
High Medium Low Very
low
Hutch
Airtel
B.S.N.L
Spice
Tata indicom
Reliance
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9. Have you switched between any operators
Yes b) No
How many operators have you switched off in past?
a) Not at all b) onetime
d) Two time d) More than 2time
11.Reson for switching
a) Cost b) Poor network
c) Poor service d) New schemes e) others
12 How is the customer care service of following operator?
Service
provider
Excellent Good Fair Poor Very poor
Hutch
Airtel
B.S.N.L
Spice
Tata indicom
Reliance
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13.Rank the following service operator (1 being highest & 6 is the
lowest)
a) Hutch b) Airtel c) B.S.N.L
d) Spice e) Tata indicom f) Reliance
14.What do you from expect from your present mobile service providers?
a) More talk time b) Un limited sms
c) MMS d) Good service e) Low cost
15.Any suggestion to improvement.
16.NAMEADRESS
CITY
OCCUPATION
AGE PHONE NO
GENDER: Male F/ Male
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BIBLIOGRAPHY
PORTALS / WEBSITES
www.hutch.co.in
www.orange.co.in
www.hutchison-whampoa.com
BUSINESS JOURNALS
Business World
Business Today
NEWSPAPERS
Times Of India
Economic Times
Business Standard
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