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95 A PROJECT REPORT ON (CONSUMER AWARENESS ON TATA SKY)

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Page 1: Consumer Awareness on Tata Sky Final

95

A PROJECT REPORT ON

(CONSUMER AWARENESS ON TATA

SKY)

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Index

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Serial Particular Page

Nos.

1 Executive Summary

2 Introduction

2 History of DTH in India

3 DTH INDUSTRY – An Overview

4 DTH Market

a. Entry barriers in Indian DTH

Industry

b. challenges faced by the DTH

Industry

5 Company Profile – Tata Sky

a. A Birds view of Tata Sky

b. Vision

c. Achievement

d. Milestone

6 1. SWOT Analysis

7 Product Matrix

a. Product

b. Price

c. Place

d. Promotion

8 Market Segmentation

9 Porter’s 5 forces

10 PRODUCT COMPARISON

a. TATA SKY

b. RELIANCE BIG TV

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EXECUTIVE SUMMARY

This project i.e. “Consumer Awareness on TATA SKY” is purely

focused on how tough awareness is going in the current market.

Nowadays, more and more companies are coming up with their new

DTH services to entertain the people in their life.

The introduction of the industry includes some vital detail about the

history of DTH service. Soon after the beginning of the DTH service,

in the opening only DD direct plus and Dish TV was successively

doing their business but at the moment TATA SKY is also second-

hand as DTH services.

The introduction of the company includes the details of the TATA

SKY, its milestones, its new schemes and services etc…..

The objective of the project report is to conduct a survey to find out

the awareness of the consumer or people towards Tata Sky.

I used the simple random sampling research design for the project as I

tried to know the awareness of consumers while using the DTH

service as their entertainment. I have collected primary data by filling

questionnaire which have analyzed; tabulated and meaningful

conclusion are drawn out of it.

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The sample size used for conducting the field survey was 60

respondents. I will try my best in preparing this project report, still

there may be some obstacles that comes in the way and stop me to

100% accurate result.

Analysis and findings includes tables and graphs which were followed

by meaningful interpretation.

Conclusion of the project includes the expression expressed by

various respondents from whom the data are collected.

Introduction

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With the Indian economy booming at a GDP growth rate of 8.7%,

there is sense of growth prevailing everywhere. The average Indians

disposable income and purchasing power has risen to never before

levels. The Indian Entertainment & Media industry is also not far

behind. It is currently estimated at a worth of Rs. 450 billion with a

CAGR of 18% over next 5 years. Terms which were alien to Indians

like DTH, Digital Cable, and IPTV are suddenly finding presence of

country’s journals.

India would overtake Japan as Asia’s largest DTH by next year and be

Asia’s leading cable market by 2011 and the most-profitable Pay-TV

market by 2015. This growth presents a lot of interesting scenarios.

With the 'CAS' issue not yet resolved, there's 'DTH' coming up to

muddle things up for you and me.

Doordarshan launched its Direct-To-Home telecast from April 1,2006

Broadcasters like Star and Zee are now leaders in DTH Industry.

So what is this DTH all about? How, if at all, does it help the

customer? Is it good?

Let's show some detail for DTH service.

What is DTH?

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DTH stands for Direct-To-Home television. DTH is defined as the

reception of satellite programmes with a personal dish in an individual

home.DTH does away with the need for the local cable operator and

puts the broadcaster directly in touch with the consumer. Only cable

operators can receive satellite programmes and they then distribute

them to individual homes.

The History of DTH in India

DTH services were first proposed in India in 1996. But they did not

pass approval because there were concerns over national security and

a cultural invasion. In 1997, the government even imposed a ban

when the Rupert Murdoch-owned Indian Sky Broadcasting (ISkyB)

was about to launch its DTH services in India.

Finally in 2000, DTH was allowed. The new policy requires all

operators to set up earth stations in India within 12 months of getting

a license. DTH licenses in India will cost $2.14 million and will be

valid for 10 years. The companies offering DTH

service will have to have an Indian chief and foreign equity has been

capped at 49 per cent. There is no limit on the number of companies

that can apply for the DTH license.

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How does DTH really differ from cable TV?The way DTH reaches a consumer's home is different from the way

cable TV does. In DTH, TV channels would be transmitted from the

satellite to a small dish antenna mounted on the window or rooftop of

the subscriber's home. So the broadcaster directly connects to the user.

The middlemen like local cable operators are not there in the picture.

DTH can also reach the remotest of areas since it does away with the

intermediate step of a cable operator and the wires (cables) that come

from the cable operator to your house. As we explained above, in

DTH signals directly come from the satellite toyour DTH dish.

Also, with DTH, a user can scan nearly 700 channels!

Why DTH is is being discussed now?Doordarshan plans to launch its DTH telecast from April 1. The

government has said it will provide 10,000 dishes free across eight

states for increased community viewing of the DTH service. The government is estimated to be investing over Rs 300 crore (Rs 3

billion) in this DTH venture.

There are four serious contenders for DTH services in India:

Doordarshan, Star, Zee, and Data Access.

DTH superior to cable TV?Yes. DTH offers better quality picture than cable TV. This is because

cable TV in India is analog. Despite digital transmission and

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reception, the cable transmission is still analog. DTH offers

stereophonic sound effects. It can also reach remote areas where

terrestrial transmission and cable TV have failed to penetrate. Apart

from enhanced picture quality, DTH has also allows for interactive

TV services such as movie-on-demand, Internet access, video

conferencing and e-mail. But the thing that DTH has going for it is

that the powerful broadcasting companies like Star, Zee, etc are

pushing for it.

So why are broadcasters pushing for DTH?In DTH, the payments will be made directly by the subscriber to the

satellite company offering the service.

A big problem that broadcasters face in India is the issue of under-

reporting of subscribers by cable operators.

Consider the cable operators pyramid. Right at the top is the

broadcaster. Next comes the Multi Service Cable Operator (MSOs)

like Siticable, In Cable, etc. Below themare the Access Cable

Operators (ACOs) or your local cable guy who actually lays the wires

to your house.

The local cable operators or the ACOs then allegedly under-report the

number of subscribers they have bagged because they have to pay the

MSOs something like Rs 30-45 per household. Showing a lesser

number of households benefits ACOs.

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With no way to actually cross check, the MSOs and the broadcasters

lose a lot. Broadcasters do not earn much in subscription fees and are

mostly dependent on advertisement revenue to cover their costs,

which is not sustainable and does not offer high growth in revenues

for broadcasters.

The way out of this is to use a set-top box so that it will be clear how

many households are actually using cable or going for DTH where

broadcasters directly connect to consumers and can actually grow

revenues with a growth in the subscriber base.

Why do Doordarshan, Zee, Star think DTH will work in

India?Today, broadcasters believe that the market is ripe for DTH. The

prices of the dish and the set-top box have come down significantly.

Overall investments required in putting up a DTH infrastructure has

dropped and customers are also reaping the benefits of more attractive

tariffs.

The major thing that DTH operators are betting on is that the service

is coming at a time when the government is pushing for CAS

(conditional access system), which will make cable television more

expensive, narrowing the tariff gap between DTH and cable.

Will DTH be cheaper than cable or more expensive?DTH will be definitely more expensive than cable as it exists today.

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A set-top box is a must for DTH. Earlier, when CAS made set-top

box mandatory for households, the costs between DTH and cable

would not have been too wide.

But CAS on the backburner now -- which means no set-top box (a

must for DTH), the price gap between DTH and cable, will be wide.

In Oct 2002, Siticable, which is owned by Zee, said that the cost of

the installation equipment, which includes the receiver dish and the

set-top box, would be priced at around Rs 3,900. Siticable is looking

to rope in 1 million subscribers in 15 months.

Other estimates say that digital cable set-top box may cost Rs 4,000, a

DTH decoder dish is unlikely to cost less than Rs 7,000.

DTH's minimum subscription could be priced around Rs 500 per

month.

Some reports say that an entry level DTH STB will cost about Rs

7,000 (including taxes and installation cost at consumers end). A more

advanced STB with value added

features like PVR (Personal Video Recorder), PSTN connectivity,

Gamming console, channel management system, etc. may cost as

much as Rs 15,000.

So, what's the buzz? Will DTH finally be the one that

rules?

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The cable system is well entrenched in India and is showing quite

rapid growth. If DTH had come to India in 1996-97 (like Star had

originally attempted), then it could have made a significant

breakthrough.

Europe is an example of this. DTH developed there before cable and

now controls nearly 80 per cent of the total satellite television

subscriber base. But in US, cable rules because it came before DTH.

DTH will definitely cut into the existing cable user base. It will make

the local cable operator less important and take business away from

him. It will give consumers greater choice.

But it is likely to be an up market premium product and most middle

class households will stick to cable.

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DTH INDUSTRY – An Overview:

DTH services were first proposed in India in 1996. But they did not

pass approval because there were concerns over national security and

a cultural invasion. In 1997, the government even imposed a ban

when the Rupert Murdoch-owned Indian Sky Broadcasting (ISkyB)

was about to launch its DTH services in India.

Finally in 2000, DTH was allowed. The new policy required all

operators to set up earth stations in India within 12 months of getting

a license. DTH licenses in India cost $2.14 million and will be valid

for 10 years. The companies offering DTH service will have to have

an Indian chief and foreign equity has been capped at 49 per cent.

Today, broadcasters believe that the market is ripe for DTH. The

prices of the dish and the set top box have come down significantly.

Overall investments required in putting up a DTH Infrastructure has

dropped and customers are also reaping the benefits of more attractive

tariffs.

The major thing that DTH operators are betting on is that the service

is coming at a time when the government is pushing for CAS

(conditional access system), which will make cable television more

expensive, narrowing the tariff gap between DTH and cable.

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Some of the features of DTH service are as following:

DTH offers better quality picture than Cable TV.

DTH can reach remote areas where terrestrial transmission and cable

TV have failed to penetrate.

DTH has also allows for interactive TV services such as movie-on-

demand, Internet access, video conferencing and e-mail.

In DTH, the payments will be made directly by the subscriber to the

satellite company offering the service.

In DTH, the payments will be made directly by the subscriber to the

satellite company offering the service.

India currently has 6 major DTH service providers and a total of over

5 million subscriber households.

I. Tata group and Star network owned Tata Sky

II. Zee group owned Dish TV

III. Sun network owned SUNDIRECT DTH.

IV. Reliance owned BIG TV

V. Bharti Airtel’s DTH

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VI. DD Direct Plus

DTH MarketThe DTH industry in India can be categorized as an OLIGOPOLY.

The HHI index and the market share of firms indicate the amount of

competition among them.

OLIGOPOLY: Oligopoly is a Greek word which means “for few

entities with the right to sell”.It is a market structure in which the

market or the industry is dominated by a small number of large

players who are called “oligopolist”.

In this type of market the degree of market concentration is very high,

with barriers to entry in the market.

Important features of Oligopoly Market:

Small number of large players dominates the market.

The oligopolists produce branded products.

There exists interdependence between firms.

Each oligopolist is aware of the actions of the others.

There are significant entry barriers in this market.

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Entry barriers in Indian DTH Industry

The Indian DTH industry is a high tech industry requiring huge

capital investment. The initial cost required for setting up the

company is very high as it requires transponders and other hi tech

equipment.

Following entry barriers exist in the DTH Industry.

DTH Industry is a high volume low margin industry: Any new

entrant in the DTH industry has to make sure that it builds significant

customer base as soon as possible to ensure its profits.

High set up cost of satellite, transponder and other high

techequipment: the huge initial cost of setting up the business acts as a

huge entry barrier for the new entrants.

High Cost of the set top boxes

Long gestation period and high break even period

Multilingual & Multicultural differences in India.

High Cost of the set top boxes.

CHALLENGES

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The challenges faced by the DTH Industry are:

High License Fee

Organization of taxation regime , particularly state levied entertainment

tax

Technology Neutrality as a policy needs to be consistently followed by

the Government

Content differentiation through bringing in a Self regulatory regime

and technological controls

Control of Content Cost for DTH to make it a level playing field

There exist sales and distribution challenges in India. Although India is

a very big country, the trade is relatively unorganized. Products go into

tens of thousands of shops in large geographies, and getting set-top

boxes and remote controllers in good shape across the length and

breadth of India is a significant challenge

Massive logistical challenge.

COMPANY PROFILE

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TATA SKY

Introduction

Type Joint venture between Tata Group

(80% stake) and STAR TV (20%

stake)

Founded 2004

Headquarter Kirloskar Business Park, Bangalore,

India

Industry DTH Pay TV

Products Direct broadcast satellite

Slogan ‘Isko laga daala, toh life jingalala’

Website www.TataSky.com

COMPANY ANALYSIS – A Birds view of Tata

Sky:Tata Sky launched its services pan-India in August 2006. It resulted as

a joint venture between the TATA group and the STAR group. Within

a short span of time it garnered a subscriber base of nearly 2.5 million

(Aug 2008). It has over 147 channels to choose from. Tata Sky has

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launched an entry-level subscription plan called ‘Super Hit Pack’ at

Rs. 99 per month with a bouquet of 53 channels.

Tata Sky recently launched Tata Sky Plus which uses the personal

video recording (PVR) technology that allows consumers to record

live. It is available at a price of Rs. 8999/-

Tata Sky, though a late entrant created a mark as a first mover in the

minds of the customers, as it was the first DTH service to be

advertised in India. Few salient features of the company are:

Strongly innovative product offerings – Tata Sky has taken the

responsibility on itself to invest in more interactive services to

differentiate it from other service providers. It was the first DTH

company in the world to offer its subscribers interactive VAS under

the umbrella

Kick started the category advertising - Although it was the 3rd

player to enter the market it sought to create consumer education

about the category with focused advertising.

Focus on heritage – Tata Sky latest campaign features superstar

Aamir Khan. The focus of the campaign was to establish the lineage

of Tata Sky and inform potential customers about Sky.

Low cost packages to increase penetration - Tata Sky has recently

introduced a Rs 99-a-month low-value pack for 53 channels to

increase penetration of Tata Sky in smaller towns of the country.

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Tata Sky has also gone a step further and enhance the service

delivery by introducing an electronic program guide (EPG) in Hindi

especially for people in small towns who are more comfortable with

Hindi. This is the new quality standard for Indian pay TV against

which other companies as well as future entrants will be judged.

Tata sky, in order to increase its rural penetration, has tied up with

ITC e-Choupal and Godrej Aadhar.

For Effective distribution Tata Sky has tied up with ITC

international Business Division.

With the adoption of 360 degree marketing campaign which

includes television, print, outdoor, radio, on ground activities, Tata

sky has been able to pursue marketing on a digital platform.

Tata Sky's satellite service brings home a whole new entertainment

experience with its direct-to-home (DTH) television service.

Subscribers can now choose from a variety of popular and new

channels and enjoy interactive features. Some of the highlights of the

service are:

Entertainment and Media channelsTata Sky offers subscribers popular channels such as STAR group

channels, Sony, Discovery, Disney, MTV, NDTV, ESPN STAR

Sports, National Geographic, Eenadu, TV Today, Asianet and many

more.

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Digital – quality service

The service provides viewers with DVD-quality picture and CD-

quality sound enhancing their viewing experience.

Television goes interactive

Ever thought of playing interactive games on your television? Or

getting weekly channel schedules right on the TV screen with

synopses of programmes? Interactive features on Tata Sky make all

this and more possible.

Features like Active STAR News, Active Newsroom and Active

Khabar allow viewing multiple channels on a single screen. For kids

there is a special Active Wiz kids learning service. With parental

control functions it's also easy to lock channels with special PIN

numbers.

Customer service and infrastructure support

Tata Sky has set up a pan-India distribution network of popular

consumer electronic stores and mobile phone outlets that retail its

hardware and prepaid recharge vouchers. The company has also tied

up with LG, ITC International Business Divisionand Indian Oil

Corporation to support its distribution network.

Tata Sky undertakes installation and servicing of hardware at

subscribers' homes, ensuring high levels of customer service. The

company has engaged a field force of qualified professionals

complemented by multi-lingual customer service associates

adequately trained to solve all customer problems.

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VisionTata Sky plans to launch its DTH service with top-of-the-line

infrastructure and revolutionize Indian entertainment through its

superior DVD quality picture and CD quality sound. The service

envisions to:

‘Connect every television home

Empower every television viewer

Revolutionize home entertainment’

AchievementWithin a span of one year, Tata Sky has:

Established itself as the fastest growing Pay TV platform in India.

Established Tata Sky as a trusted and premium brand: achieved 87%

brand awareness within the first six months of launch.

Expanded its product offering from 55 television channels at the

time of launch to over 120 channels and interactive services (Active

Games, Active Sports, Active STAR News, Active Khabar, Active

Newsroom and Active Wiz kids).

Launched Active Wiz kids, the first-of-its-kind education based

interactive service in the world that teaches children through learning

games.

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Set up state-of-the-art digital infrastructure including an uplink

centre in Gurgaon and three high-end 24x7 call centres in Hyderabad,

Mohali and Pune supporting 11 languages (English, Hindi, Marathi,

Gujarati, Punjabi, Malayalam, Kannada, Tamil, Telegu, Oriya and

Bengali).

Expanded its distribution network from 300 towns and 10,000

dealers at the Time of launch to 4,500 towns and 30,000 dealers

across the country and operating through 245 exclusive distributors.

Simultaneously trained 5000 people in a span of 6 months across 180

cities (the largest corporate training initiative in India).

Become the gold standard in customer service: achieved globally best-

in-class (durable and telecom industries) customer satisfaction scores.

Introduced first-time ever interactive television promotions across

popular television channels including Sony (Indian Idol highlights on-

demand), STAR.

Current Situation - SWOT Analysis

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SWOT Analysis

1. Strengths

1. Leveraging on brand TATA and High brand recall

2. Technological expertise with Newscorp’s DTH arm Sky

3. Superior Picture quality

4. Leads in introducing new packages & Services

5. Customer service

6. Rural penetration through ITC E-Choupal and Godrej

Aadhar

7. Interactive channels and program guides

8. Innovative Product offering Tata Sky Plus

2. Weaknesses1. Second Mover after Dish TV who captured Market Share

2. Cannot match free service like DD

3. Currently Does not offer free Set Top Box like Dish TV

4. Litigation due to issues related to sports channels which it lost

5. Dependency on broadcaster and had issues with Sun TV

3. Opportunities1. Larger disposable incomes with India

2. Tapping niche markets with Better service and Product offering

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3. Expansion of distribution network through exclusive store

4. Interactive advertising – Tie up of with Samsung

5. Increase in number of TVs sold

6. Increase in the geographical boundaries with Rural Market

untapped

7. Growing demand for quality of service in the form of DTH over

Cable

8. CAS being made Compulsory would encourage switch

9. Value Added Services are gaining steam.

4. Threats

1. IPTV provides superior technology if implemented

2. Cable Set top Boxes provide easy switching due to negligible

switching costs

3. Increasing Competition internally

4. Dependency on CPE suppliers to some extent

5. High dependence for transponders on ISRO

6. Dependency on broadcasters for their channel content and thus

increase in cost

7. Videocon may enter DTH by building its own set top boxes.

8. No Exclusivity in Content and Rule of ‘Must Carry’

9. Cap on Investment (20%)

10. Interoperability Regulations

11. Cap on foreign Investment (49%)

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Product Matrix

TATA Sky’s target customers include various strata of the society,

with different service packages available to each one. To improve its

performance in the competitive DTH market, TATA Sky management

should assess its brand positioning among its target segment by

establishing a distinctive image for the company compared to

competing companies.

But these initiatives presents challenges, which TATA Sky is

currently facing squeezed by rising costs, sporadic nature of demand,

and relentless downward pricing pressure due to competition. Adding

to it, slackening of demand, and higher interest rates are not welcome

signs for it. With this in mind, TATA Sky should try to be rapid-paced

and highly competitive.

To counter these challenges and still be profitable, we have tried to

suggest various strategies based on what will suit demands in the

Indian market and its consumer behaviour to increase TATA Sky

market share.

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Current situation

Tata Sky crossed the two million connections mark in a period of 20

months, thus retaining its position as the fastest growing direct-to-

home service provider across the globe.

The marketing budget that TATA Sky begun with was 15% of

sales. This included around 5% for advertisements, 7% discounts and

promotions and 1% sponsorships.

Currently TATA Sky has roped in Aamir Khan as its brand

ambassador. Aamir Khan would feature in all TATA Sky brand and

product communication, including advertisements in TV, print and

radio.

Further, tie ups with ITC E-Choupal and Godrej Aadhar give it

wider rural reach. Also for its distribution, TATA Sky has a tie up

with ITC International Business Division.

The 24X7 guru.com has joined hands with TATA Sky to provide

content for Active Learning.

Tata Sky has adopted a 360 degree marketing campaign approach

that encapsulates television, print, outdoor and radio along with on-

ground activities and marketing on the digital platform.

Tata Sky plans tie-ups with Sony Pictures, Fox for content- Pay per

View service for exclusive events.

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1. Product

Tata Sky launches itself as a DTH services requiring a Dish, A set top

box and network access card per television. Later variant like

Community dish for entire building were launched. Latest the Tata

Sky Plus with Personal Video Recording technology has been

launched. Various services provided by

TATA Sky include:

Active Services

Active Cooking

Active Stories

Active Newsroom

Active Darshan

Active WizKids

Active Sports

Active Learning

Active Games

Active Astrology

Parental Control

Search and Scan Banner

Guide (including Hindi Display)

Customer Service- 24 x 7 help. Support in 11 languages

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Factors Affecting Consumer buying Behaviours:

1. Price: Tata Sky has offered competitive pricing but has been on the

higher end and its due to promotional campaigns it has added in

incentives leading to increase in customer base. In search of newer

audiences in smaller towns, DTH operator Tata Sky is introducing a

new Rs 99 package — Super Hit Pack

2. Customer Services: Tata sky offers an excellent website and

dedicated customer line. They have the concept of registered mobile

number providing easy communication. But their Customer service

lines are always busy and the waiting period is usually very long. This

may be an irritant for existing customers.

3. Reception: The reception is usually excellent in comparison to

existing cable TV. But during monsoons and Cloudy days they are

affected. The rate of signal distortion is more for Community dishes

in comparison to Individual dishes. This technical problem should be

sorted.

4. Program Choices: After litigations, Tata sky is able to offer huge

bouquet of channels but it is still less compared to the Cable TV. They

should ensure extensive program choices to induce switching from

Cable to DTH

5. New Technology: Tata sky Plus is an initiative in this direction.

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Various services under Active are part of this Technology game.

Being a interactive and dynamic offering would increase its appeal.

6. Technical Support: Technical support system of Tata sky is well

establishes. If a 24 hrs limit can be provided for all complaints and

work on ‘holidays’ when people are generally home could be sold as a

USP.

Tata Sky as a product has evolved from the time to inception.

Further to enhance the product, new

services and technologies can be imbibed like:

1. Common Dish per house for Multiple Television sets

2. Combined Product with Television - Rural Areas , especially and

Niche Segment Targeting if Combined with LCD’s

3. Connectivity with other digital Monitors like Laptops for

Commercial Usage

4. Guide can be displayed in Multiple Regional Languages

5. Voice over in Multiple Languages (Currently limited availability in

for some programs)

6. Interactive Video Games (with consol)

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7. Inclusion of Radio Reception. Development of Visual Radio service.

8. Variety in Movie Listing with Bollywood, Hollywood and Regional

Channels

9. Special channels for Songs Request like Jukebox could be launched

10. Stock Market related interactive service on Active

2. Price

Competition has increased may fold with completion providing

freebies and slashing prices. The following price related strategies

could be adopted, which may lead to a short term loss but a medium

term break even and profit:

1. Free Set Top: Following the line of Dish TV, Set top Boxes can be

given free while ensuring lock in by providing base pack free for

limited time duration, thus inducing update to next level.

2. Lock in of 1 year: Ensure long term lock ins by providing incentives

for pre payment of long term charges. Continue with current strategy

of providing 2 months free on payment of 10 months services.

3. Multiple Connections: Provide discounts for consumers buying

second Tata Sky Connection (up to 50% off)

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4. Encourage References: Provide discounts on Monthly charges if

reference from existing consumer becomes a new customer.

5. Regional Disparity: Provide free regional packs in local areas to

ensure switch from Cable TV to DTH service, i.e. provide free south

Jumbo pack for customers in all Southern States.

6. Community Dish: Provide Incentives in the form of Free Months

charges for first 3-6 months and reduce the Installation charges per

flat.

7. Payment Options: Allow multiple points of payment, ensuring

timely payment and convenience to the customer – Credit Card

through Website (implemented), Pre Paid cards from Retail shops to

be activated using Telephone (Implemeneted) and Drop Boxes at

Societies.

8. Postpaid: Some clients depending upon few background check

criteria can be given Billing service i.e. Payment at end of Month

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3. Place

States Share (%)Maharashtra 12.1

Gujurat 10.5

Karnataka 7.2

Uttar Pradesh 6.9

Tamil Nadu 6.6

Punjab 6.4

Orrisa 5.3

West Bengal 4.7

Kerala 4.6

Andra Pradesh 4.6

Rajastan 4.5

Assam 4.0

Madhya Pradesh 3.8

Others 18.8

Total 100

Clearly, there is a lot of scope of increase in the number of customers

across all the states. Looking at the current distribution system that

Tata Sky has adopted:

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Including the local cable operators as distributors would be an

extremely useful way of reaching out to the target market:

a. Staff of cable operators be made the distributors for Tata Sky

(familiarity with people)

b. All distributors be given a status of Tata Sky employees

c. Attractive options be given to them to become distributors

Another focus could be the rural market. A snapshot of the rural

market:

a. 199 million total household in India

b. 119 million (60% of total house holds) TV households

c. 50 million are having Cable

d. 55 million TV sets in rural area

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e. Rural TV households growing by 3-4 million each year.

f. Only 2-3 % of rural household have access to Cable

g. Growing focus towards more satellite channels

Strategies for the rural sector can be:

a. Customizing offering

b. Combination of various national channels with regional channels

c. Educational Package

d. Appointing the village head as Distributor and the promoter as the

villagers tend to listen to village head

e. This can be supplemented by giving the connection to village head free

for initial period

Another avenue that can be explored is Mini – Theatres

(Class B towns)

a. Setting up Mini – Theatres in rural sector to promote the Product

b. Events like Cricket matches, movies etc.

c. These Mini – Theatres can be the Point of Sales for Tata Sky

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4. Promotion

The promotional strategies suggested are:

1. Packages for Special Events like the cricket World Cup

2. Targeting Tata employees could be a useful way PR promoting the

product

3. Give the option of instalments and other promotional schemes to

the new users

4. Tie up with real estate developers to target the new constructions

a. The number of old buildings being demolished and being

reconstructed are also on the rise. This could be a major target for

promotions

5. Door to door marketing should be used to heighten the awareness

levels as well

6. Local Games Sponsorships can also be used to increase the

awareness levels

7. Another way could be using the prominent part of the Building for

placing Hoardings of Tata Sky Ads:

a. Finding the strategic building in the locality

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b. Consideration can be in form of cash payment to the

Housing society

c. Providing free connections to Households in these

buildings

8. Another new avenue that can be explored is the railway stations:

a. Posters on railway station roofs

b. Tickers at Major suburban Railway stations

9. Use of Internet- Applications which involve sharing of videos on how

one consumes TV, benefits of DTH over cable TV, etc. across social

networking sites like Orkut, ibibo, etc.

10. 'Ek-pe-Teen and Do-pe-Paanch' the offer entails three months of

free subscription on the purchase of one connection, and five months

of free subscription on purchase of two or more connections.

11. Tata Sky launched an interactive game quiz featured around MS

Dhoni to coincide with the Twenty20 World Cup. In the past, the

DTH operator has been test-piloting feature by running several

contests around programmes and the interactive features were made

available to its customers.

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MARKET SEGMENTATION

Geographic segmentationIn terms of geographical location, North India and Western India

together contribute over 8 million DTH subscribers, while the

southern market contributes 3 million. The states of Maharashtra,

Goa, Punjab, Uttar Pradesh, and Rajasthan are the leaders in DTH

subscription, contributing over 6.5 million DTH connections to the

overall base.

Urban and Rural:

In order to cater to the diverse taste and needs of both urban and rural

people operators provide entirely different range of services and

offerings. In rural areas, fleet of vans for demos, installation as well as

selling hardware and pre-paid vouchers are being used. Most players

are building up their subscriber base by targeting viewers outside the

big cities, which suggests that about 60 per cent of DTH subscribers

reside in rural areas and towns with a population under a million.

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Region and States:

DTH service providers give special offers where regional and sports

channels are viewed the most. Silver subscription available in Tamil

Nadu, Kerala Karnataka & Pondicherry only, ultimate sports bonanza

offer - Rs 2490 with 12 Months of Silver subscription available in

Andhra Pradesh only.

Demographic segmentation

AGE and GENDER:

Most of the players in DTH offer niche channels to create a unique

and exciting offering for its viewers of every age and gender segment.

DTH industry mainly concentrates on women who don’t like missing

their daily soap and news more ever women are able to learn English

speaking which is a very special feature of DTH. DTH also

concentrates on children also by providing them games, dictionary,

some discovery videos specially inbuilt, math’s, and science and

social knowledge. It also focuses on old people as it has updated

videos of various holy and religious places. Example- Dish TV

recently launched ‘Children Films Festival’ with a bouquet of over 25

super-hit films across various categories priced at Rs. 25/- per movie.

thus targeting the children segment. Besides this value added services

like Games Active, Bhakti active services etc carters to needs of

customers from various age groups and gender.

INCOME:

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DTH service provider gives various recharge options to consumer

according to the income like silver pack, golden pack, diamond pack

etc.

Behavioural Segmentation

OCCASIONS:

DTH operators come out with new offers of channels or new buyer

schemes at relatively cheaper rates on occasions of festivals or major

sports events. For example it offers benefits to customers like: In a

cricket match choosing the language of the commentary, camera

angles, know player statistics and watch match highlights at our will

Porter’s 5 forces

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orces

Bargaining Power of Supplier – HighDTH relies on three major suppliers: Customer Premise Equipment –

Satellite dish, Set top box and Access card, Ku Band Transponder and

content. Bargaining power of DTH operator with CPE supplier has

increased due to supply. Transponder is provided by Astrix, ISRO

hence dependency exists and due to no regulations in channel pricing,

DTH operators are at mercy of Broadcasters.

Bargaining Power of Buyer-HighConsumer has the power to choose in this industry with variety.

Unless players can differentiate against each other, the market shall

remain mostly homogeneous. Customers will have high bargaining

power and will be

influenced by costs versus services.

Threat of Substitutes- MediumDTH faces major competition from Terrestrial, Cable & IPTV.

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Doordarshan is world’s largest Terrestrial broadcaster with over

1400 transmitters and covering 88% of India geographical area. They

offer Digital service in collaboration with BBC resources. This wide

reach and low cost approach are offset by its lack of attractive content.

Cable TV operates in 2 modes: CAS<Metros>which requires

separate set top box and Non Addressable system. The cost varies

from Rs. 100 – Rs. 350 to customers depending upon location. Due to

its phenomenal reach, there is bound to be a resistance from Local

Cable operators.

IPTV is service where television signals are digitally sent over

Telecommunications line. MTNL & BSNL plan to tap this line. Even

with strict regulations (not yet enforced) it is a considerable threat due

to its newlevel of interactivity.

Threat of New Entrants- LowWith 7 players in the DTH space, threat of new entrants is relatively

low due to enough competition. Getting a license is relatively low but

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issues related to pricing of CPE and getting required transponders.

Also first mover advantage exists in this industry.

Competitive Rivalry- MediumWith 7 players established in the market inter firm rivalry is intense.

DD offers free service but has a very small bouquet of channels. Dish

TV got first movers advantage and has a highest market share in the

market. The new players have very big brand names and have started

with extensive publicity. There is also competition with respect to

acquiring content. There are also regional discrepancies.

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Threat of New Entrant

LOW

DTH market is already crowded with 7 players

Threat of Substitutes

VERY HIGH

Cable TV – Very High

IPTV – High

Terrestial - Low

Bargaining power of Suppliers

VERY HIGH

Transponders – Very High

CPE Suppliers – Low

Content – Very Low

Bargaining power of Buyers

HIGH

Lots of opinion & substitutes

Price sensitive buyer

Inter Firm Rivalry

VERY HIGH

Price Wars

Litigations

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DTH Industry – Five Forces Model

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PRODUCT COMPARISON

1. TATA SKY

Tata Sky Features:

Joint venture with International DTH Brand-Sky, famous for its

exquisite technology.

Uniform volume level across all channels

Stable set-top-box with less bugs or issues

Provides good Customer service and after-sales support

Exclusive access to some authentic international channels like BBC

entertainment, Ceebebies Tata Sky Product Review Tata Sky has

made constant innovation and technology enhancements which are the

main reasons that the company could provide a very stable set top

box.

As a result its customers have to worry less about the maintenance

issues regarding the Set-Top Box.

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Another important feature which can be of great value to the

customer is - the uniform volume level across all channels.

This feature ensures that the customers don’t have to waste time on

adjusting the volume levels as they surf the channels.

Tata Sky has customized its packages which enable the customer to

choose and pay for onlythose channels which they require.

Tata Sky provides excellent picture/audio quality.

Tata Sky also provides installation services within 24 hours of the

purchase of the product

2. RELIANCE BIG TV

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Reliance BIG TV Features:

Reliance Big TV uses MPEG-4 technology which can carry more

number of channels

Good picture and audio quality

The company makes its packages cost effective by providing lots of

channels in base pack itself.

It also provides a feature of viewing 12 channels at a time on

single screen

Good performance even during the monsoon season.

Reliance Big TV Product Review

Reliance BIG TV is a cost-effective service whose base

package comes with large number of channels.

The customers get to select regional package based on their

language/regional/cultural preferences.

This entitles the customer to get an option to make a

package having base package and any one of the regional

languages like kannada, malayalam, telugu, hindi/Punjabi

or oriya/Bengali Packages

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. The set-top box of Big TV is little unstable. This acts as a

disadvantage for the customers

For the installation of the set-top box the customer has to

wait for 3-4 days from the time of Purchase

3. AIRTEL DIGITAL TV

Airtel Digital TV Features:

Airtel digital tv has good DVD Quality picture and CD quality

It provides a universal remote which works both with TV and Set top

box

One of the major features of Airtel digital is that it exclusively offers

World-space satellite radio channels.

The set-top box provided by Airtel Digital is Sleek and stylish

It provides better connectivity as provides a larger dish antenna

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Airtel Digital TV Product Review:

Although Airtel Digital is a late entrant in DTH space it has come up

with a completely flawless DVD quality picture and sound.

At the time when the other players were providing different remotes

for set top box and television , Digital Tv has completely undone that

issue by coming up with universal remote.

It provides a sleek and stylish looking set top box.

It also provides exclusive access to World-space channels

While Airtel Digital tried to differentiate its product from the rest the

high cost associated with it acted as a big negative aspect for the

company

The are many other players in the market providing lots of channels

at a lower price, Digital TV by Airtel stands out as a lot costlier.

Few Inferences from the above comparison:

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Tata Sky is the only DTH which provides uniform volume level

across channels.

Tata Sky and Big TV are better choice for rainy areas because of

bigger antenna size.

Incase the customer is very selective about channels, Tata Sky is the

best fit as it has lots of small packages and add-on packages so that

the customers can customize the package as per their needs.

To start enjoying DTH experience from today, go for Tata Sky

because that’s the only DTH which will be delivered and installed the

same day after you place the order

.

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PRODUCT DIFFERENTIATION

Tata Sky launches itself as a DTH services requiring a Dish, A set top

box and network access card per television.

Tata Sky as a product provides to its customers a large bouquet of

channels at different pricing packages. These packages are formed

according to ensure user convenience. Customers can select any of the

various attractive package of channels available.

Thus Tata Sky has all features to compete well with the existing

players in the market. However Tata sky recently launched a new

variant called Tata Sky +. This product contained some additional

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features over the original Tata Sky. Tata Sky+ is a premium set-top

box with a personal video recorder that allows you to record up to 45

hours of live TV. Tata Sky+ gives you the power to record one

program while watching another, pause a live telecast and even

rewind a TV program that you are watching. Thus Tata sky gained an

edge over its customers by adapting Product Differentiation. To

protect its existing customer base using Tata Sky, it also introduced a

special offer of up gradation to the premium product at reasonable

cost.

For its new customer the cost of Tata Sky Plus is given as below:

Tata Sky Plus Cost

Rs 8,999 for the hardware (Digicomp) + Rs 1,000 installation &

activation charges + Rs 50 per month Tata Sky+ usage fees + Cost of

the channel package.In order to stay ahead of its competitors, Tata

Sky has always followed an aggressive promotion strategy. When

Tata Sky was about to be launched, it earmarked approximately Rs

1.5 billion for marketing the DTH service across all platforms,

traditional and non-traditional.

They invested not only in the pilot MDU (multi-dwelling unit)

projects in some cities of Indiabut also planned to educate an average

Indian about the advantages of a DTH service supported by the Tata’s

and Star.

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A major part of the Rs 1.5 billion marketing budget was planned to be

spent during the festival season in India, starting late September and

lasting till Christmas-New Year, when consumers have a tendency to

splurge on goodies.

Meanwhile, apart from Zee Turner family of channels, most other

major TV channels found a place on the Tata Sky platform

OBJECTIVES OF THE PROJECT

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It is obvious that every task has some objectives. My objectives

behind working on this project are:

I. Primary Objective

The main objective of this project is making the consumer

aware of His/Her rights.

To understand penetration of various DTH and cable

operators in Kalwa & Thane

II. Secondary Objectives

To understand preferences of TV Viewers of Kalwa & Thane

regarding DTH and Cable Services

To understand purchase criteria of customers for selecting

DTH or Cable Services

To understand competition between various players

To Find Out Opportunity & Threats In Indian DTH Industry.

To Study The Reason Behind Growth Of DTH Market.

RESEARCH METHODOLOGY

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1. ORIGIN & FORMULATION OF RESEARCH

OBJECTIVE

It is the first and the most important stage in applied research. The

objective of the project is to know the consumer awareness is making

the consumer aware of His/Her rights. It means that consumers not or

are aware of products or services, its characteristics and the other

marketing P's (place to buy, price, and promotion)

.

At this stage, I will try to define following one thing;

Time & Space boundaries:-In this project, the time period is 1st January, 2008 to 5th march,

2008. The study is to be carried out part timely.

2. FORMULATING OF RESEARCH

DESIGNResearch design specifies the methods and procedures for conducting

a particular study.

Research design is a plan, structure and strategy of investigation so as

to obtain answer to the problem.

Research designs are mainly three types.

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Exploratory Research Design:Exploratory research design focuses on discovery of ideas and

generally is based on secondary data.

Descriptive Research Design:

Descriptive research is more rigid than exploratory research and

seeks to describe users of a product, determine the proportion of the

population that uses a product, or predict future demand for a product.

Descriptive research study is undertaken when the researcher

wants to know the characteristics of certain groups; gender; education

level; income; occupation etc.

Causal Research Design

Causal research is undertaking when the researcher want to study

the cause and effect relationships between two or more variables. It

accomplishes this goal through laboratory and field experiments. I am

applying Descriptive Research Design; it means a type of conclusive

research that has its major objective descriptive of something. In this

Descriptive research, I use longitudinal research to Study my project,

as I m collect one time information from the unknown sample.

3. SELECTION OF SOURCES OF DATAThe choice of the source of data should be according to the objective

and suitability to the information required. There can be two main

classifications of data sources.

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Primary data

Secondary data

Primary data means the data, which is collected by the research for

the first time; in this project I am using this method by conducting a

field survey.

The secondary data is collected from article from the internet site.

The detail regarding secondary data is mentioning in the bibliography.

4. DECISION ON DATA COLLECTION

TECHNIQUES

Once the decision in the favors of collection of primary data is taken,

the researcher has to decide the made of collecting data.

There are two modes of collecting data.

Observation Method

Survey Method

To collect information through the survey method, I had to select the

tool through which I would gather information one choose the

questionnaire.

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I am using survey method as the data collection form. The data were

collected through survey method by personal interview.

Hence Data collection tool is Questionnaire.

PERSONAL SURVEYI am using this survey because of its suitability to my project, personal

survey is suitable to my research and I will get an opportunity to meet

consumer face to face.

The description regarding designs the questionnaire is as follows:-

Types of information to be collected:I have decided to collect the information regarding the consumer

awareness on tata sky.

Types of question:I have used open-ended, Rating, Dichotomous (yes/no), Single choice,

Scaling and multiple choice question in questionnaire

Phrasing question:I have used simple language while formulation questionnaire so that

the respondents do not confused.

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Order of question:The simple questions were put in the starting to make the respondent

familiar with the subject and to gain his interest to fill up the

questionnaire.

Layout of questionnaire:I have prepared the questionnaire which can be read and interpreted

easily. The questionnaire as prepared using the front “Times New

Roman” with front size “14” with 1.5 line spacing.

5. SAMPLE DESIGNLooking at the vast geographic area of the Thane city, I have selected

the simple random sampling method for conducting survey. (convince

method to access easily.

The sampling method that I will be choosing is the probability. The

sample size for the survey is 60 (20 from each section)

6. ORGANIZING AND CONDUCTING

THE FIELD SURVEYAfter preparing the questionnaire and taking the sample decision

the next step is to organize and conduct field survey. There are 2

aspect related to survey which have to be considered. .

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Interviewing

Supervision of field work

Interviewing:- As I am collecting the information from the

people. I am using field survey for collect the data, it is very necessary

to supervise the fieldwork as the time providing. At some place I got

responses after 4 to 5 visit as in starting.

But this also helped me to remove my fear of meeting people.

7. ANALYZING THE COLLECTED DATAOnce the field survey is over and the questionnaire have been

received, the next task is to aggregate the data in to a meaningful

manner to bring out the main characteristics of the data collection. It

is necessary to interpretation of data because faulty and improve data

analysis will not give proper insight into the research object.

This phase is divided in three as below;

EditionThe first task in data processing is edition. It is the process by which

the data are prepared for subsequent code after review of

questionnaire with the object.

Coding

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It is the process of classifying the answer to question into meaningful

categories. The symbol used to indicate these categories are code

which is systematic.

TabulationTabulation comprises of sorting of the data into different categories

and counting the number of cases that belong to easy categories. I

have used different types of tabulation and frequency distributions and

different types of graphs for analyzing the data collected for and used

for the percentage method and CHI square test for findings.

8. PREPARING THE RESEARCH REPORT I have used charts and tables are prepared using different colors and

texture so that the finding & analysis can be interpreted with less

effort. The typical content of the research report are formulated in a

standard format which is as follow:-

Executive summary

Introduction of industry and company

Objective of the project

Research methodology

Limitation of the project

Analysis

Findings of research

Bibliography

Annexure

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Limitations

The sampling plan was based on non-probability method and no

scientific methods were adopted.

Data collected may not be 100 % reliable.

The universe selection and sample size is not sufficient to represent

the whole population.

Due to time constraint the survey has been done on the basis of

convenience.

The data is been restricted to only Kharegaon, Manisha Nagar, and

Karwalo Nagar.

ANALYSIS OF DATA

The analysis is required to come on any conclusion. This analysis is

made from the data collected from the Questionnaire, which is filling

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up by various consumers who are aware and not aware about TATA

SKY.

Q-1. Do you watch TV?

About asking this question I got the result as follow.

ANSWER RESPONDENT PERCENTAGE

Yes 95 95

No 5 5

So from this survey I have found that 95% of people are watching TV

and just 5% of people are not watching TV.

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Q-2 How frequently you watch the T.V.?

About asking this question I got the result as follow.

ANSWER RESPONDENT PERCENTAGE

Regularly 45 45

Rarely 21 21

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Once in week 21 21

Twice in week 13 13

So from this survey I have found that 45% of people watch TV

regularly and 21% of people watch TV rarely. Whereas 21% & 13%

of people watch TV Once in week & Twice in week respectively.

Q.3 Which connection you use for your entertainment?

About asking this question I got the result as follow.

Answer Respondent Percentage

DTH 40 40

Doordarshan 5 5

Cable Connection 45 45

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Internet 5 5

Other 5 5

From this survey I have found that 45% of respondents prefer Cable

Connection but 5% of respondents still prefer Doordarshan.

Q.4 Which DTH connection do you have?

About asking this question I got the result as follow.

DTH Services Percentage

Tata Sky 42

Dish TV 35

Big TV 13

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Videocon D2H 5

Sun Direct 5

InterpretationTata Sky is the market leader with 42% of market share, followed by

Dish TV and Big TV with 35% & 13% of market share respectively.

Q-5. From which sources you comes to know about Tata

Sky ?

About asking this question I got the result as follow.

SOURCES PERCENTAGE OF USERS

Advertisement 71

Hoardings 12

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Newspaper 2

Mouth Publicity 15

Thus by these analysis of Tata Sky, I have found that 71% of people

know about the Tata Sky company through an Advertisement, and

12% by Hoarding or Banner. There 15% of people is having

awareness by Mouth publicity or communicating with other people.

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Q.6 Where did you obtain/ take the connection from?

About asking this question I got the results as follows

LOCATION PERCENTAGE OF USER

Company Shop 50

Exclusive dealers 25

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Vendor shop 25

As people are more trusted towards company shop so they would like

to get connection from company shop. And survey also tells that 50%

connection was taken from the company shop while 25% of

connections were taken from exclusive dealers.

Some people are taking connection from retailers or Vendor shops;

they believe that from retailers they will get selected numbers. Also I

have seen in too many cases that they were got the selected numbers

from the retailers which were not found in the company shop.

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Q.7 .How long did it take for your service to get activated and

function?

About asking this question I got the results as follows

TIME IN HOUR PERCENTAGE OF USER

02-06 74

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06-12 19

12-24 04

Above 24 00

Not sure 03

Most of the services has been activated within 02-06 hours of purchasing. But

in case of late submission of documents or misplaced of documents it might

take more then 12 hours. Research also suggests that 74% of services had

been activated within 02-06 hours of purchased and it was functional

properly. And only 19% were taken more than 06 but less than 12 hours to

get functional. Whiles as I said that sometimes documents might be

misplaced so might take more time. And that 4% suggest that because of

misplaced of documents the activation might be delayed, and 3% of

customers was not sure or they forgot about there activation period.

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Q.8 If yes, then for what period you have used the Tata

Sky service?

About asking this question I got the result as follow

PERIOD RESPONDENT RESPONDENT

Less then month 00

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1month to 6 months 04

Up to year 16

Above years 38

As per these analysis one think which is clear about Tata Sky that

there out 58 customer 38 customers are using these service from more

than year or we can say 3-4 years, and 16 customers are using Tata

Sky service up to year, thus the Tata Sky has maintain there good

service against the customers, that’s why the customers prefer this

Brand.

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Q.9 Rate the following parameter of Tata sky to other

service provider?

About asking this question I got the results as follows.

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PERCENTAGE OF USERS

PARAMETERS Very

Good

Good Average PoorVery

Poor

Coverage98 02

Value Added

Services

55 40 05

Customer Services 90 08 02

Brand Image 90 10

Tariffs &

Schemes

65 25 10

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In case of coverage, Tata sky customer’s satisfaction is highest. There

98% of customers finds that the coverage or network is very good of

Tata sky, and just 2% of users of Tata sky think that the coverage for

Tata Sky is good.

In case of Value added service of Tata sky 55% of customers finds

that the Value added service is very good of Tata sky , 40% of

customers find that the Tata sky is providing a good Value added

service and just 5% of users of Tata sky think that the Value added

service for Tata sky is Average.

In case of Customer service of Tata sky 90% of customers finds that

the Customer service is very good of Tata Sky, 8% of customers find

that the Tata sky is providing a good Customer service and just 2% of

users of Tata sky think that the Customer service for Tata sky is

Average.

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In case of Brand Image, Tata sky customer’s satisfaction is highest.

There 90% of customers finds that the Brand Image is very good of

Tata sky , and 10% of users of Tata sky think that the Brand Image

for Tata sky is good.

In case of Tariffs & Schemes of Tata sky 65% of customers

finds that the Tariffs & Schemes is very good of Tata sky , 25% of

customers find that the Tata sky is providing a good Tariffs &

Schemes and 10% of users of Tata sky think that the Tariffs &

Schemes for Tata sky is Average.

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Q.10 What’s the reasons for which you are not using

Tata Sky?

About asking this question I got the results as follows.

REASONS PERCENTAGE OF USERS

Poor Service 02

Expensive Service 58

Poor Network 00

Other Operator 40

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Thus by this survey or research I have found some negative points of Tata

Sky that its service is little bit expensive then other operating service in

Thane. There here another drawback is that company’s like Airtel, Reliance

and Dish TV is also providing good service in the market, so 40% of

customers are grab by other operating service.

Findings On survey

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Maximum Person keep Tata Sky kit and recharge facility.

Awareness of new connection and new recharge

offers of Tata Sky is similar to Dish TV and Airtel

Digital.

There is a communication gap between the company and the

customers. This doesn‘t seem to be the case with other DTH

providers.

Availability of vouchers lie between price ranges from Rs

100 to 1000.

Availability of voucher is one of the major issues among

Tata Sky dealers, approximately 40% of persons in Kharegaon,

Manisha Nagar, and Karwalo Nagar facing this problem. For small

amount of recharge they use vouchers, but use other modes of

recharge for large amounts. Due to the shortage of stock they are not

able to retain their customer for long time.

EPRS system seems to be the most troublesome recharge option for

Dish TV.

Customer care service is considered to be very poor as dealers often

complain of problems in recharge process managed by Tata Sky.

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Many persons say they recommend Tata Sky because they get the

installation done much faster in comparison to Dish TV &

competitors with Tata Sky, it takes up to 2-6 hrs.

The company have been able to keep up the promises made to the

customers, like installation and activation commitments are often not

met.

Connect between the Call Center and the Service center is good.

Customer Care is reachable on Toll-Free easily, waiting time is

comparatively less on toll-free numbers

Dish TV changes the price plans and offers more frequently as

compared to other DTH providers. This along with improper

communication confuses customers which beings down the consumer

satisfaction levels.

There has been a growing trend of Dish TV customers and dealers

being shifting to other major brands like Tata Sky and Airtel Digital

as they provide better value added services like after sale service,

recharge facilities and customer care.

Other DTH brand provides best support facility, quick recharge and

installation facility, which provides them with the competitive

advantage.

Good thing which i found in Dish TV according to dealer feedback is

offer, dealers and customer like their but same time they shows un

satisfaction with frequent changes in offer.

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Specific Comments By customers:-

a) Due to the bad EPRS system of Dish TV, they are not able to

recharge higher amount and as they face such problems frequently,

they try to recommend other DTH brands to their customers.

b) The dealers mostly prefer to sell Tata Sky and Airtel because their

installation system is very fast. Also if dealers are committed to their

customers regarding any specific time limit, the other DTH brands

never let them feel down, which helps the dealers to keep good

relation with their customers.

c) The dealers generally sell recharge vouchers of Tata sky worth Rs

1lac per month, but in case of Dish TV they only sell vouchers worth

Rs 5-10k. The main reason behind it is lack of availability and also

poor EPRS system. It took long time to recharge. So dealers push its

customer towards Tata sky and Airtel Digital.

d) There has been problem on the behalf of the distributers front,

distributer have been setting there own price and negotiating

according, this has been matter of loss for the dealers in most the case

the profit got is not up to the mark.

RECOMMEDATIONS

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The following price related strategies could be adopted, which may

lead to a short term loss but a medium term break even and profit.

1) Increase awareness: Since there is lack in communication channel, it should be

tackled with care and dealers should be constantly made

aware about the offers and new plans through meetings

with company executives at regular intervals.

2) Improve processes and techniques: In order to make recharge or activation process more

transparent and user friendly, the EPRS technology needs

to be upgraded consistently.

3) Give more value added services: Since Tata sky and Airtel have clear edge over value added

services like free installation DTH needs to mend its

strategy to face these competition. One way of doing this

would be to offer at least the same service as these two

competitors are trying to eat the market share.

4) Improvement in after Sales Services:

Arrange proper training for customer care executives as

Dish TV lacks proper after sale service.

5) Standardized the price plans and avoid frequency

changing

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Frequent changes in price and offers is proving no good for

Dish TV as it is in way frustrates the customers with

changes in offers without being informed about it. So Dish

TV needs to watch out for this and should pre inform the

customers about the offers and changes well in advance.

This in a way, I feel would create more brand loyalty and

preference.

6) Voucher Availability

Make proper channel of Distribution of voucher.

7) Visibility Danglers create more impact on customer mind, it always

visible and promote offer and help to recall brand

resonance.

Also, Free Set Top: Set top Boxes can be given free while ensuring lock in

by providing base pack free for limited time duration, thus inducing

update to next level.

Multiple Connections: Provide discounts for consumers buying

second Tata Sky Connection (up to 50% off)

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Encourage References: Provide discounts on Monthly charges if a

reference from existing consumer becomes a new customer.

Payment Options: Allow multiple points of payment, ensuring

timely payment and convenience to the customer Credit Card through

Website, Pre Paid cards from Retail shops to be activated using

Telephone and Drop Boxes at Societies

Annexure

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Questionnaire

Q 1 Do you watch the T.V.?

Yes No

Q 2 How frequently you watch the T.V.?

Regularly Rarely

Q.3 Which connection you are use for your entertainment?

Dish T.V Cable connection

Door Darsan Internet

Any other _____________

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Q.4 Which DTH connection do you have?

Tata Sky Big TV Sun Direct

Dish TV Videocon D2H

Q.5 From which sources you comes to know about Tata

Sky?

TV Holdings Relatives

Advertisement News papers

Q.6 Where did you obtain/ take the connection from?

Company Shop

Exclusive dealers

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Vendor shop

Q.7 How long did it take for your card to get activated

and function?

02-06 hrs Not sure

06-12 hrs Above 24 hrs

12-24 hrs

Q.8 For what period you have used the Tata Sky service

Last 1 month Less then 12 month

Last 6 to 12 month More than 12 month

Q.9 Rate the following parameter of Tata Sky to other Service

Provider?

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PERCENTAGE OF USERS

PARAMETERS Very

Good

Good Average PoorVery

Poor

Coverage

Value Added

Services

Customer Services

Brand Image

Tariffs & Schemes

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Q.10. What’s the reasons for which you are not using Tata

Sky?

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Don’t want to change with regular service

Poor service

High price

Low signals

Additional facility provided by other operator

High rent per month

Bibliography

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

http://www.indiandth.in/

www.sundirect.in/mediaDetails.php?mediaId=1

http://realinfo.info/index.php?topic=810.0;topicseen

http://www.media-partners-asia.com/mpanews120809.asp

http://www.mumbaispace.com/dth/airtel-dth.htm

www.simplymalayalees.com/forum_posts.asp?TID=696

http://www.televisionpoint.com/news2009/

newsfullstory.phpiid=1252499760

http://www.coolavenues.com/mba-journal/marketing/outdoor-ooh-

changing-faceoutdoor- advertising-india

http://www.articlesnatch.com/Article/Analysis-Of-The-Media-

Industry-In- India/995277

http://www.tatasky.com/why-tata-sky.html

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

http://teck.in/dth-direct-to-home-tv-in-india-features-and-price-

comparison.html

http://www.tatasky.com/why-tata-sky.html

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