INDIAN TELECOM AT A GLANCE

4th largest economy in the world

It is now the second largest telephone network in the world, after China

India is 4th largest smartphone market globally.

With 111 million users, India ranks as the the fourth largest smartphone market

globally after China, the US and Brazil, global telecom body GSM Association on

Thursday said.

The mobile phone industry in India is likely to contribute about US$ 400 billion to

the country’s gross domestic product (GDP) and has the potential to generate

about 4.1 million additional jobs by 2020.

TELECOM INDUSTRY IN INDIA

Started in 1851 when the first operational land lines were laid by the government

near Calcutta (seat of British power). Telephone services were introduced in

India in 1881. In 1883 telephone services were merged with the postal system.

Indian Radio Telegraph Company (IRT) was formed in 1923.

After independence in 1947, all the foreign telecommunication companies were

nationalized to form the Posts, Telephone and Telegraph (PTT), a monopoly run

by the government's Ministry of Communications. Telecom sector was

considered as a strategic service and the government considered it best to bring

under state's control.

The first wind of reforms in telecommunications sector began to flow in 1980s

when the private sector was allowed in telecommunications equipment

manufacturing. In 1985, Department of Telecommunications (DOT) was

established. It was an exclusive provider of domestic and long-distance service

that would be its own regulator (separate from the postal system). In 1986, two

wholly government-owned companies were created: the Videsh Sanchar Nigam

Limited (VSNL) for international telecommunications and Mahanagar Telephone

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Nigam Limited (MTNL) for service in metropolitan areas. In 1990s,

telecommunications sector benefited from the general opening up of the

economy. Also, examples of telecom revolution in many other countries, which

resulted in better quality of service and lower tariffs, led Indian policy makers to

initiate a change process finally resulting in opening up of telecom services

sector for the private sector.

Private operators hold 89.01% of the wireless subscriber market share where as

BSNL and MTNL, the two PSU operators hold only 10.99% market share. The

graphical representations of market shares and shares in net additions of all the

service providers during the month of January, 2014 are given below:

A. Service Provider wise Market Share as on 31st January, 2014.

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National Telecom Policy (NTP) 1994 was the first attempt to give a

comprehensive roadmap for the Indian telecommunications sector. In 1997,

Telecom Regulatory Authority of India (TRAI) was created. TRAI was formed to

act as a regulator to facilitate the growth of the telecom sector. New National

Telecom Policy was adopted in 1999 and cellular services were also launched in

the same year.

Telecommunication sector in India can be divided into two segments: Fixed

Service Provider (FSPs), and Cellular Services. Fixed line services consist of

basic services, national or domestic long distance and international long distance

services. The state operators (BSNL and MTNL), account for almost 90 per cent

of revenues from basic services. Private sector services are presently available

in selective urban areas, and collectively account for less than 5 per cent of

subscriptions. However, private services focus on the business/corporate sector,

and offer reliable, high- end services, such as leased lines, ISDN, closed user

group and videoconferencing. Cellular services can be further divided into two

categories: Global System for Mobile Communications (GSM) and Code Division

Multiple Access (CDMA). The GSM sector is dominated by Airtel, Vodfone-

Hutch, and Idea Cellular, while the CDMA sector is dominated by Reliance and

Tata Indicom.

Opening up of international and domestic long distance telephony services are

the major growth drivers for cellular industry. Cellular operators get substantial

revenue from these services, and compensate them for reduction in tariffs on

airtime, which along with rental was the main source of revenue. The reduction in

tariffs for airtime, national long distance, international long distance, and handset

prices has driven demand

B. service provider wise net subscriber addition during January,2014.

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http://www.telecomlead.com/telecom-statistics/indian-telecom-market-share-report-

february-2014-trai-85888-50423.

Key players in the Telecommunication Industry

There are many telecommunication service provider in India. Major players in the

telecom service provide industry are:

BSNL

MTNL

Airtel

Reliance Communications

Aircel

Vodafone

Tata indicom

Idea cellular .

Virgin

Uninor

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MANUFACTURER DETAILS

Name of

Manufacturers

Head Quarter Established In

Vodafone Peninsula Corporate Park, Ganpatrao Kadam

Marg,Lower Parel, Mumbai,Maharashtra, India

21,February,1992

Airtel Bharti Crescent, 1, Nelson Mandela Road,

New Delhi, India

July 7, 1955

Reliance

communication

s

Mumbai, India 2002

BSNL New Delhi, India 15 September 2000

Tata Indicom Mumbai, Maharashtra, India 1996

Aircel Chennai, Tamil Nadu, India 1999

Uninor Gurgaon, India 2009

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Basic Information

Idea Cellular Limited

Type Public company{{|532822}}NSE: IDEA

Industry Telecommunications

Founded 1995

Headquarters Santacruz East, Mumbai,India

Key people Kumar Mangalam Birla(chairman)

Products Mobile telephony, wireless broadband

Revenue 265 billion (US$4.3 billion) (2013–14)

Operating income

28.79 billion(US$470 million) (2011)

Net income 19.68 billion(US$320 million) (2013–14)

Total assets US$5.334 billion (2010)

Employees 6,481 (2010)

Parent Aditya Birla Group (49.05%)Axiata Group Berhad (19.96%)Providence Equity (10.6%)

Website www.ideacellular.com

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IDEA CELLULAR

An idea can change your life.

ABOUT US

Idea Cellular is an Aditya Birla Group Company, India's first truly multinational

corporation. Idea is a pan-India integrated GSM operator offering 2G and 3G

services, and has its own NLD and ILD operations, and ISP license. With

revenue in excess of $4 billion; revenue market share of nearly 15%; and

subscriber base of over 117 million in FY 2013, Idea is India’s 3rd largest

mobile operator. Idea ranks among the Top 10 country operators in the world

with a traffic of over 1.5 billion minutes a day.

Idea is listed on the National Stock Exchange (NSE) and the Bombay Stock

Exchange (BSE) in India. Idea has been ranked 1 in the Telecom sector in

“India’s Best Companies to Work for Study – 2013 and the "Best Place to Work"

at the Asia Communication Awards 2013.

VISION

To develop an integrated supply chain focusing on maximizing the return on our

spend and assets to efficient information systems supported processes, making

its supply chain a benchmark across industry.

MISSION

"We will Delight our Customers while meeting their individual communication

needs anytime anywhere"

STRATEGY

The Idea Cellular Limited falls in the “question mark” quadrant of BCG matrix and

in the High attractive and Strong Competitive strength category as per the GE

Matrix. Thus they need to formulate some strategies to try capturing some

market share, growing and building their brand image as well as brand value.

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BRAND

The Idea brand stands for the company’s innate philosophy of continuous

innovation. The brand values of innovate, stimulate and liberate forms the core of

Idea Cellular’s business ethos. Idea Cellular’s brand mission of being the most

customer-focused mobile service brand, continuously innovating to help liberate

customers from the shackles of time and space speaks volumes about the

company’s vision.

DISTRIBUTION

The Company's growth in the telecom market in India is the result of an intrinsic

ability to increase reach in new geographies and growth markets. Idea cellular

extensive sales and service network now spans over to 117 million customer

touch points. These comprise a mix of authorized dealerships, service and

dealer-appointed outlets across the country.

FORMATION OF IDEA CELLULAR LTD.

The Company had acquired licenses, for a period of 20 years for different service

areas at different points in time, to offer 2G services. The recent directive of the

Hon’ble Supreme Court has quashed the 7 operating licenses of the Company

acquired in year 2008. These licenses would be operative till September 07,

2012 and spectrum auction needs to be conducted by the Government/DoT by

August 31, 2012. Further, seven licenses of the Company followed by two

licenses, all with initial spectrum allocated in 900 MHz band, are due for renewal/

extension in December 2015 and April 2016 respectively. The remaining six

licenses with spectrum in 1800MHz band are due for renewal/extension between

FY 2022 to FY 2027. These renewals/extensions would be as per the applicable

policy, which is under formulation.

The Company runs a risk of renewals/extensions at unfavorable terms. However,

the Company is hopeful that the continuation of services on a level playing field

and protection of investment will be ensured by the Government in the interest of

all stakeholders like subscribers, employees and shareholders.

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COMPANY PERFORMANCE

The company has sold over 117 million customers since its inception in 1995 till

March 2013.

Idea has consistently stayed ahead of the industry in VLR reporting, and has the

3rd highest base of active subscribers. Idea is a pan-India integrated GSM

operator and has its own NLD and ILD operations, and ISP license.

With traffic in excess of a billion minutes a day, Idea ranks among the Top 10

country operators in the world. Idea operates across all 22 service areas with 2G

services and 3G services spread in over 3,000 towns and 10,000 villages.

Idea’s strong growth in the Indian telephony market comes from its deep

penetration in non-urban & rural markets.

It has the highest share of rural subscribers as a percentage of total subscribers,

amongst other GSM players. In fact, 2 out of every 3 new Idea subscribers come

from rural/ semi-urban India.

IDEA Cellular is an Aditya Birla Group Company, India’s first truly multinational

corporation. The group operates in 33 countries, and is anchored by more than

132,000 employees belonging to 42 nationalities.

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HISTORY

2013

Became the 3rd largest mobile operator in subscriber terms as well

Received a USD 1 million Grant from US Trade and Development Agency for a Green

Telecom Project

2012

Won back spectrum for 7 circles for which licenses were quashed by the Supreme

Court.

Became a $4 Billion Company in revenue

2011

First operator to announce the launch of Mobile Number Portability, have been the Top

gainer ever since the service was launched.

Launched 3G in 10 circles – Andhra Pradesh, Gujarat, Haryana, Himachal Pradesh,

Jammu & Kashmir, Kerala, Madhya Pradesh and Chhattisgarh, Maharashtra and Goa,

Uttar Pradesh (East), Uttar Pradesh (West).

2010

Idea won 3G Spectrum in 11 service areas in India. These markets account for over

81% of the company’s total revenue

Idea emerged as the 3rd largest mobile operator in India, in revenue terms.

2009

Idea becomes a pan-India operator

Emerging Company of the Year - fastest growing mobile operator in the world’s fastest

growing telecom market

2008

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Idea acquired 9 licences for Punjab, Karnataka, Tamil Nadu & Chennai, West Bengal,

Orissa, Kolkata, Assam, North East and Jammu & Kashmir

Acquired Spice Communications with the operating circles of Punjab and Karnataka

2007

Won an award for the "CARE" service in the "Best Billing or Customer Care Solution" at

the GSM Association Awards in Barcelona, Spain

Reached the twenty million subscriber mark

2006

Restructuring of debt

Reached the 10 million subscriber mark

Received Letter of Intent from the DoT for a new UAS License for the Mumbai Circle.

2005

Subscriber base as on December 31, 2005: 6,473,962

Reached the five million subscriber mark

Turned Profit Positive

Won an Award for the "Bill Flash" service at GSM Association Awards in Barcelona,

Spain

Sponsored the International Indian Film Academy Awards

2004

Completed debt restructuring for the then existing debt facilities and additional funding

for the Delhi Circle.

First operator in India to commercially launch EDGE services 2005

2003

Reached the two million subscriber mark

 

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2002

Changed name to Idea Cellular Limited and launched "Idea" brand name

Commenced commercial operations in Delhi Circle

Reached the one million subscriber mark

2001

Acquired RPG Cellular Limited and consequently the license for the Madhya Pradesh

(including Chattisgarh) Circle

Changed name to Birla Tata AT&T Limited

2000

Merged with Tata Cellular Limited, thereby acquiring original license for the Andhra

Pradesh Circle

1999

Migrated to revenues share license fee regime under New Telecommunications Policy

("NTP")

1997

Commenced operations in the Gujarat and Maharashtra Circle

1996

Changed name to Birla AT&T Communications Limited following joint venture between

Grasim Industries and AT&T Corporation

 

1995

Incorporated as Birla Communications Limited

Obtained licenses for providing GSM-based services in the Gujarat and

Maharashtra Circles following the original GSM license bidding process

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Idea product and service

13

POSTPAID

With Idea postpaid its time to stop worrying about high bills or your minutes running out. Call it one of the many benefits of choosing Idea Postpaid.

PREPAID

A range of prepaid plans to suit your needs. Discover prepaid options to control your spends.

Mobile Internet- 2G

Click here to learn more about our 2G services and tariff plans.

Mobile Internet- 3G

Learn more about our 3G Services and tariff plans.

1.1. What is advertising?

Advertising is a form of communication that typically attempts to persuade

potential customers to purchase or to consume more of a particular brand of

product or service. “While now central to the contemporary global economy and

the reproduction of global production networks, it is only quite recently that

advertising has been more than a marginal influence on patterns of sales and

production. The formation of modern advertising was intimately bound up with

the emergence of new forms of monopoly capitalism around the end of the 19th

and beginning of the 20th century as one element in corporate strategies to

create, organize and where possible control markets, especially for mass

produced consumer goods. Mass production necessitated mass consumption,

and this in turn required a certain homogenization of consumer tastes for final

products. At its limit, this involved seeking to create ‘world cultural convergence’,

to homogenize consumer tastes and engineer a ‘convergence of lifestyle, culture

and behaviors among consumer segments across the world.”

1.1.1. Definition:

Advertising is the promotion of goods, services, companies and ideas, most

often through paid messages. Marketers see advertising as part of an overall

promotional strategy. Other components of the promotional mix include publicity,

public relations, personal selling, and sales promotion.

Commercial messages have been found in the ruins of Pompeii, but the first

advertising agency was started by Volney Palmer in Philadelphia in 1843.

1.1.2.Advertising Media:

Some commercial advertising media include: billboards, printed flyers, radio,

cinema and television ads, web banners, skywriting, bus stop benches,

magazines, newspapers, town criers, sides of buses, taxicab doors and roof

mounts, elastic bands on disposable diapers, the opening section of streaming

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audio and video, and the backs of event tickets. Any place an "identified" sponsor

pays to deliver their message through a medium is advertising. Covert

advertising embedded in other entertainment media is known as product

placement.

The TV commercial is generally considered the most effective mass-market

advertising format and this is reflected by the high prices TV networks charge for

commercial airtime during popular TV events. The annual US Super Bowl football

game is known as much for its commercial advertisements as for the game itself,

and the average cost of a single thirty-second TV spot during this game has

reached $2.3 million (as of 2004).

Advertising on the World Wide Web is a recent phenomenon. Prices of Web-

based advertising space are dependent on the "relevance" of the surrounding

Web content. E-mail advertising is another recent phenomenon. Unsolicited E-

mail advertising is known as "spam".

Some companies have proposed to place messages or corporate logos on the

side of booster rockets and the International Space Station. Controversy exists

on the effectiveness of subliminal advertising (see mind control), and the

pervasiveness of mass messages (see propaganda).

1.1.3 Advertising Objectives:

Advertising ultimately seeks to establish what is called "mind share". Mind share

is the status a brand can achieve when it co-exists with deeper, more empirical

categories of objects. Kleenex, for example, can distinguish itself as a type of

tissue. But, because it has gained mind share amongst consumers, it is

frequently used as a term to identify any tissue, even if it is from an opposing

brand. One of the most successful firms to have achieved this is Hoover (as

mentioned above) whose name was for a very long time synonymous with

vacuum cleaner (and Dyson has subsequently managed to achieve similar

status, having moved into the Hoover market with a more sophisticated model of

vacuum cleaner).

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Mind share can be established to a greater or lesser degree depending on

product and market. In Texas, for example, it is common to hear people refer to

any soft drink as a Coke, regardless of whether it is actually produced by Coca-

Cola or not (the more accurate term would be 'cola').

A legal risk of mind share is that the name can become so widely accepted that it

becomes a generic term, and loses trademark protection. Examples include

"escalator", "aspirin" and "mimeograph".

Other objectives include short or long term increases in sales, market share,

awareness, product information, and image improvement.

1.1.4. Advertising Techniques:

Advertisers use several recognizable techniques in order to better convince the

public to buy a product. These may include:

Repetition: Some advertisers concentrate on making sure their product is widely

recognized. To that end, they simply attempt to make the name remembered

through repetition.

Bandwagon: By implying that the product is widely used, advertisers hope to

convince potential buyers to "get on the bandwagon."

Testimonials: Advertisers often attempt to promote the superior quality of their

product through the testimony of ordinary users, experts, or both. "Three out of

four dentists recommend..." This approach often involves an appeal to authority.

Pressure: By attempting to make people choose quickly and without long

consideration, some advertisers hope to make rapid sales: "Buy now, before

they're all gone!"

Association: Advertisers often attempt to associate their product with desirable

things, in order to make it seem equally desirable. The use of attractive models,

picturesque landscapes, and other similar imagery is common.

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1.2 Sales-Effect:

Communication-effect advertising research helps advertisers assess advertising’s

communication effects but reveals little about its sales impact. What sales a

regenerated by an advertisement that increases brand awareness by 20% and brand

preference by 10%? Advertising’s sales effect is generally harder to measure than its

communication effect. Sales are influenced by many factors besides advertising, such

as the product’s features, price, availability and competitors' actions. The fewer or more

controllable these other factors are, the easier it is to measure advertising's effect on

sales. The sales impact is easiest to measure in direct-marketing's effect on sales.

The sales impact is easiest it is to measure in direct-marketing situations and hardest

measure in brand or corporate-image-building advertising.

1.3 PROGRESS TESTS

These assess the various stages of buyer awareness, preference, buying intention and

the actual purchase in relation to advertising Effort. They are called sales effect tests.

 1.3.1 Measuring Sales Response to Advertising:

Though increase in sales in the true measure of advertising effectiveness, in reality it’s

difficult to measure the increase that is due to a particular advertisement. It is

rather difficult to correlate the response in sales with the advertising programme.

However, a few methods have been discarded in the following paragraphs which are

generally used to measure the sales response to advertising.

1.3.2 Sales Results Tests:

The additional sales generated by the advertisements are recorded, taking several

routes. Past Sales before the advertisement and sales after the advertisement are

noted. The difference is attributed toad impact. Controlled Experiment: In experimental

market, any one element of marketing mix is changed.

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It is compared with the sales of another similar market. The element's presence

observance is a reason for difference in sales. Instead of two markets, the experiment

can be carried on the two groups of consumers. The inventory audit is dealers’

inventory before and after the ad is run.

1.3.3 Attitude Tests:

This is an indirect measurement of the post-testing effects of advertisements

on attitudes towards the advertised product or brands. The change in attitude as a result

of advertising is assessed. The assumption is that favourable attitude towards

the product may lead to purchases. Most advertisements are designed to either

reinforce or change existing attitudes. An attitude is a favourable or unfavourable feeling

about a product.  

1.3.4 Selecting the Media:

          Media selection is an important since it costs time space and money various

factors influence this selection, the most fundamental being the nature of the target

market segment, the type of the product and the cost involved. The distinctive

characteristics of various media are also important. Therefore management should

focus its attention on media compatibility with advertising objectives.

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INDOOR OUTDOOR DIRECT DISPLAY

1.Press

(a) Newspapers

(b) Magazines

1. Radio

2. T.V.

3. Cinema

4. Video

1. Poster

2. Painted displays

3.Traveling Displays

4. Neon signs

5. Electric signs

1. Envelop &

Postcards

2. Booklet

3. Catalogs

4.Sales letters

5. Samples

1. Displays

(a) Window

(b) Counter

2. Showroom

3. Exhibitions

4. Trade fairs

1.4. Modern Advertising Techniques:

Include seven that you should consider:

1. Email Advertising

2. Video Advertising

3. Audio Advertising

4. Search Advertising

5. Onsite Advertising

6. Mobile Phone Advertising

I recently completed a series of posts on these modern advertising techniques. The

posts provide additional information on each technique so I’ve linked to them when

relevant.

1. E-mail Advertising:

Email advertising tops this list of modern advertising techniques because it tops the lists

of new and growing advertising expenditures. From small Internet marketers to large

offline and online stores, email advertising is vital to modern advertising and marketing

campaigns.

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2. Video Advertising:

Video Advertising can be done on and off line. Many local cable channels offer video

ads and infomercials on a search basis for viewers. So your ad is only seen by people

interested in what you sell. Video marketing is also big on the Internet. Most online

videos are more promotion than advertising, but they play an important role in online

success.

3. Audio Advertising:

Audio advertising, whether across the Internet or the airwaves enables you to target a

narrow market and to deliver relevant and timely messages that encourage an

immediate response.

Although second to video online, offline audio advertising (radio advertising) provides all

the benefits of online audio advertising. And if you advertise on highly targeted stations

and shows, it isn’t that expensive.

4. Search Advertising:

Search advertising, like Google’s Ad words, can provide much traffic for an online

business, but it can also cost far more than it returns in sales. To use search advertising

effectively, you need to constantly test your ads. Then rewrite and redesign them from

your test results. There’s both skill and science to search advertising. So before you

jump in, read some e books and study the search engine’s documents about their pay

per click programs.

5. Onsite Advertising:

Onsite advertising can be considerably less expensive than search advertising.

Generally a click from an ad on site costs less than the same click from a search. With

Google’s new Ad Planner, it will be easy to target a market with ads across the Internet.

You can even pick the sites that you want to carry your ads and deny ones that you

don’t.

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6. Mobile Phone Advertising:

Mobile phone advertising is projected to grow from just under 500 million in 2006 to a

almost 5 billion by 2011.And why not. It’s interactive, unobtrusive, and immediate. Most

people have their mobile phones with them all the time. So they can react instantly to

banner phone ads that catch their attention.

Ways of doing the advertisement of Idea cellular LTD.:

Aditya Birla group have so many ways to doing advertisement of Idea Cellular ltd. The

advertising is being managed from the Idea cellular, and the ways and the kind of advertising

are being shown below:

Advertisement through Catalogs

Advertisement through Newspapers

Advertisement through Hoarding

Advertisement through packages

Advertisement through Media

Advertisement by making Loyalty programs

Advertisement by participating in Exhibitions show

Advertisement by Buses panels

Advertisement by Wall paintings

Advertisement by Counters

Advertisement by Distributors and Retailers boards

Advertisement by Facebook

Advertisement through web site

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Anand (1999), in his article named “India's economic policy reforms” says that

India was embarked on economic reforms in July 1991, in the wake of a balance

of payments crisis. In this article, an attempt is made to review two books and a

set of World Bank reports concerning the progress of these reforms. Issues

concerning economic policy, impact of the reforms on poverty, sectoral issues

relating to agriculture, industry and infrastructure are briefly discussed. As

reforms enter a more difficult phase, several challenges remain. Some of this fall

under the “economic agenda'' of measures needed to maintain economic growth;

others can be termed the “development agenda'' - of improving human

development. Progress with regard to the former is not sufficient to produce

results concerning the latter.

Bhattacharya (2000) constructs a vision of the Indian telecommunication sector

for the year 2020. The paper aims at isolating agents of change based on

international experiences and situates India in the development continuum. The

agents of change have been broadly categorized into economic structure,

competition policy and technology.

Das (2000), in her paper described the Liberalisation of the Indian

telecommunications services which started in mid-nineties with no change in the

existing public monopoly structure, entirely controlled by Department of

Telecommunications (DoT). In order to evaluate any proposed industry structure,

it is essential to analyse the production technology of DoT so as to determine the

rationale of liberalisation and sustainability of competition. Accordingly, the

researcher estimates a frontier multi-product cost function for DoT, where the

cost function has been duly modified to account for the production technology of

a public monopoly. The study finds that although DoT displays high allocation

inefficiency, it is still a natural monopoly with very high degree of sub additively of

cost of production. This study implies that the choice of any reform policy should

consider the trade-off between the loss of scale and scope economies and cost

saving from the reduction in inefficiency of the incumbent monopoly in the event

of competition.

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Rao (2000), in her article named “Internet service providers in India”, provides a

broad view of the role of an Internet service provider (ISP) and the factors to be

considered before entering the ISP market. Describes the Internet/ISP scene

within India and discusses the configuration of local, regional and national level

ISPs, and the supporting infrastructure. She also identifies the various success

factors. The global Internet scenario is discussed regarding the phases of the

Internet in India, i.e. pre and post commercialization. The main players are

described: ERNET, NICNET, STPI, VSNL, MTNL, Satyam Infoway and Bharti-

BT. The financial and legal implications are highlighted in the Indian context.

Many companies entered the nascent ISP business in Nikam, Ganesh,

Tamizhchelvan (2004), analyses that changing face of India in bridging the digital

device.

Dey (2004), in her article talks about the discussions between the Federal

Communications Commission (FCC) and communications policy makers and

regulators in other countries and how they have gleaned several clusters of

issues where further research would directly benefit them. Recently, there have

been two notable shifts. First, as the acceptance of the competition model over

the monopoly model for telecommunications markets takes deep effect in

regulators all over the world, questions regarding process and procedure for

regulation are becoming ever more urgent. This paper discusses current

questions regarding decision making, enforcement, and understanding consumer

issues that arise often in the FCC's discussions with other regulators. Second,

technological change is potentially shifting market definitions. In the FCC's

discussion with other regulators over the last two years, the overlap of wireline

telecom, wireless telecom and cable television has become more pronounced.

Singh (2005), in his article “The role of technology in the emergence of the

information society in India” describes the role that information and

communication technologies are playing for Indian society to educate them

formally or informally which is ultimately helping India to emerge as an

information society. Though India has a huge population, the illiteracy rate is also

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huge in this country. The paper has taken an approach to find the historical

situation and present the prevailing scenario as well as the change that are

taking place with the application of ICT to the advantage of the society in different

areas including daily life. India is making all out efforts to be counted among the

developed nations of the world. The article also describes the considerable

attention India is taking for application of technology.

Mr. Banka (2006) gives an overview of the mergers and acquisitions in the

telecommunication industry. According to him Governments decision to raise the

foreign investment limit to 74% is expected to spur fresh rounds of mergers and

takeovers in India. He foresees a sector that represents humongous opportunity

waiting to be tapped by Indian and foreign conglomerates.

Thomas (2007), in his article describes the contribution made by

telecommunications in India by the state and civil society to public service, this

article aims to identify the state’s initial reluctance to recognize

telecommunications provision as a basic need as against the robust tradition of

public service aligned to the postal services and finds hope in the renewal of

public service telecommunications via the Right to Information movement. The

article follows the methodology of studying the history of telecommunications

approach that is conversant with the political economy tradition. It uses archival

sources, personal correspondence, and published information as its research

material. The findings of the paper suggests that public service in

telecommunication is a relatively ‘‘new’’ concept in the annals of Indian

telecommunications and that a de- regulated environment along with the Right to

Information movement holds significant hope for making public service

telecommunications a real alternative. The article provides a reflexive, critical

account of public service telecommunications in India and suggests that it can be

strengthened by learning gained from the continual renewal of public service

ideals and action by the postal services.

http://www.ukessays.com/essays/marketing/impact-of-advertising-in-indian-telecom-industry-on-its-customer-marketing-essay.php#ixzz3FYJUz81php

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STATEMENT OF THE PROBLEM

The research statement is

“To study and analyze the effectiveness of the advertisement adopted by the

Idea cellular Ltd.”

The problem statement quoted is not exactly a research that is to be performed

instead it is an analysis to find out whether the advertisement of idea cellular

were effective or not. This study will definitely benefit the company by suggesting

them if any future changes required in the present advertising strategies.

SCOPE OF THE STUDY The objective of the project is an attempt to understand the consumer preference

for Idea company and how it is been affected by the advertisement done by the

idea industries main players.

It will be done through a comparative study of Idea telecom operators which are

available in surat; we want to understand the impact of advertisement on the

customers of all the segments in surat.

OBJECTIVES

Primary objective:

The primary objective is to study on the effectiveness of the advertisement

strategies of Idea cellular in their current market.

Secondary objectives:

To understand the advertisement strategies of Idea Cellular Ltd.

A study on the effectiveness of recent advertisement campaign of Idea

cellular specially endorsement by IIN.

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To find out the reason of liking the advertisement of Idea cellular.

To know how they survive in the cutthroat competition.

To know the promotional strategies of Idea cellular.

To know how they face their competitor’s strategies.

Research Design:

Descriptive Research Design

Research Instrument:

Questionnaire

Structured and closed ended questionnaire

Sample Unit:

Different customers of surat cities

Sample Size:

200 samples from surat cities

Sampling Technique:

Non-Probability technique

Convenience techniques

Type of data:

Primary Data and

Secondary Data

Source of Data Collected:

Primary Data: through Questionnaire

Secondary data: through Internet and Reference books

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RESEARCH LIMITATIONS

Response & Cooperation:

Some of the respondents were totally unresponsive and were not ready to

cooperate.

Cost:

It became more expensive due to primary survey done to know the preference

about the industry.

Biasness :

Biasness is the most serious limitation. Although measures have been taken to

reduce the biasness but complete elimination of biasness is impossible.

Reliability:

The reliability of the data to great extent is dependent on the honesty and

cooperation of the respondents in providing the information.

Thus reliability and validity of data collection through survey method is always

without doubt.

Time:

It is time consuming as it took nearly more time for data collection, primary

survey and analysis of its 200 sample size.

Sample Unit:

We have taken only 200 respondents which may or may not represent the whole

population.

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Questionnaire

Q1) Do you have a mobile phone?

o Yes

o No

Q2) Are you aware about all the telecommunications service?

o Yes

o No

o Not All

If yes, then which operator’s Service do you use?

o Vodafone

o Airtel

o Idea

o Reliance

o BSNL

o Tata Indicomm ( If not idea then go to Q13 )

Q3) Are you aware about idea services?

o Yes

o No (If No, then go to Q12 )

Q4) from which source you came to know about idea?

o Advertisement (Multi-choice)

o Hoardings

o Newspapers

o Mouth Publicity

Q5) while purchasing a connection do advertising plays any role?

o To full extent

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o To some extent

o Not at all

o No opinion

Q6) From where did you watch the advertisement most?

o Television

o Radio

o Newspaper

o Magazines

o Other media

Q7) Which telecommunication have good advertising?

o Air Tel

o Vodafone

o Idea

o Reliance

o Others

Q8) How well did the advertisement of the Idea catch your attention?

o Very well

o somewhat well

o Undecided

o Not at all

Q9) Do you think that advertisement made by company informs you about their new

products?

o Yes

o No

o Undecided

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Q10) Based on advertisements made by company, would you like to go for more

connection for you or your family in future?

o Yes.

o No.

o Not decided.

Q11) Since how long you are using Idea services?

o Less than 1 month

o 2-6 months

o 6-12 months

o More than 1 year

Q12) what makes you unaware about idea?

o Less Advertisements

o Less Publicity

o Others

(If others then mention ________________________)

Q13) why you are not using Idea services?

o Lack of awareness (Multi-choice)

o High Prices

o Poor Services

o Poor network

Q14) Would you like to recommend Idea to others?

o Yes

o No

Q15) Give your suggestions to help in serve you better.

______________________________________________________________________

______________________________________________________________________

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______________________________________________________________________

Name: ________________

Age: ___ years

Sex: Male/Female

Contact no.: ___________

Date: __________

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www.ssrn.com

www.ijrcm-1-IJRCM-1_vol-4_2013_issue-11-art-04.pdf

http://www.ukessays.com/essays/marketing/impact-of-advertising-in-indian-

telecom-industry-on-its-customer-marketing-essay.php#ixzz3FYJUz81php

http://www.ideacellular.com/

www.facebook.com/ideacellulaeltd/page.1

http://1.bp.blogspot.com/-4am2b94uC44/UTC0X1L0Z5I/AAAAAAAAAa0/-

LxomKgN7SU/s1600/india-mobile-networks.gif

http://www.telecomlead.com/telecom-statistics/indian-telecom-market-share-

report-february-2014-trai-85888-50423.

http://www.coai.com/About-Us/Members/Core-Members/Idea-Cellular-Limited

http://en.wikipedia.org/wiki/Idea_Cellular

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