snd ppt - group 2 ( reform at ed)

8/8/2019 SnD Ppt - Group 2 ( Reform at Ed)

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SUBMITTED BY:

AMIT GANGWAR 09BSHYD0073

ARPITA SHARMA 09BSHYD0166

DIPESH VORA 09BSHYD0262

ISHWARYA B. 09BSHYD0326

MEHUL MEHTA 09BSHYD0450

SUMEET PALLAV 09BSHYD0877

SURUCHI SAXENA 09BSHYD0894


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The company is structured into four strategic businessunits - Mobile, Tele media, Enterprise and Digital TV.

Mobile: The mobile business offers services in India and SriLanka

Tele media : The Tele media business provides broadband, IPTVand telephone services in 95 Indian cities

Enterprise: The Enterprise business provides end-to-end telecomsolutions to corporate customers and national and internationallong distance services to carriers.

Digital TV: The Digital TV business provides Direct-to-Home TVservices across India


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The Mobile/Wireless SBU, concentrates on thefollowing:

Mobile

Home phones

Email on go

Calling cards

Broadband & Internet

Voice solution

conferencing


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Airtel has a wide & effectively spread channel structure allover India. The channel structure is simple and effective.Complications are kept out in order to make the overall

process very effective and efficient


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1) The main duties of a Direct sales associateare centred around generating and following upwith leads and closing the sale for specific

products or services.

2) In involves direct face to face interactionwith the clientele.

3) He will also involve in following up on blindleads, taking inquiry calls, meeting up with potential customer and providing impeccablecustomer service.

Direct Selling Associates


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The sales associate will identify andcultivate clients, initiate and follow up onnew business opportunities and work withunderwriting to move the account intoclosing status.

He or she will participate in an extensive

training program and receive mentoringfrom two or three successful AccountExecutives.

Corporate Sales Associate:


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The Airtel relationship centres are established in anumber of areas within a city.

They allow the customers to meet their employeesand get their queries solved.

Grievance addressable cells are maintained in theArcs to provide instant feedback and solutions.

Allows payments towards postpaid plans.

Airtel Relationship Center


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Implementing modular roll-out of cellularnetworks with initial focus on potential highvalue generating areas

Negotiating centrally with all vendors to takeadvantage of scale and volumes

Offering a loyalty and retention program

targeted at our post-paid customers.

Care Touch


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Hub and Spoke model:


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Head office:-Bharti Airtel Limited(ABharti Enterprise)

Qutab Ambience (at Qutab Minar),

Mehrauli Road,

New Delhi - 110030

Noida Head :- B- 38/C1 , Sector-57

office

Location Details


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Delhi circle- 20 AirTel Connects, 34 AirTel Points, 362 sub-dealerssupplying SIM cards and other cellular telephone equipment to retailoutlets throughout Delhi, 20 full time corporate sales representatives

who identify and solicit major potential corporate accounts, for prepaidservices FMCG distribution channel strategy 13 distributors and 4314retailers

Karnataka circle- 18 AirTel Connects shops, 51 AirTel Points and 185sub-dealers, for pre-paid cards 32 distributors, 4,380 retailers, fourcompany sales people and 225 corporate sales agents.


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Andhra Pradesh Circles- 18 AirTel Connects, 43 AirTel Points, 72 sub-dealers, for prepaid 64 distributors, 4,294 retailers, five company sales

people and 240 corporate sales agents

Chennai circle- 9AirTel Connects, 8 AirTel Points, 30 sub-dealers, for prepaid 6 distributors, 2250 retailers, 9 company sales people, 160corporate sales agents

Himachal Pradesh- 7 AirTel Connects,31 dealers, 15 company sales

people

Kolkata circle- 5 AirTel Connects,90AirTel Points,12 distributors,2709retailers, 7 company salesmen, 200 corporate sales agents.

Contd..


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Focus on maximising revenues and margins.

Offer multiple telecommunication services to provide customers with one-stop-shopsolution.

Capture maximum telecommunications

revenue potential with minimum geographicalcoverage.

Focus satisfying and retaining their customersby ensuring high level of customer satisfaction.


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1) The dealers should have a sound financial background. The financial capability of adealer is solely depended on the discretion of the company officials.

2) The dealers should have a good market reputation, since the dealers help the customersin forming the first impression a customer has about the company.

3) The dealer should have a good previous track record, i.e. of timely payments, no criminalbackground etc.

4) The dealers should have good market penetration. The companys ability to gainmaximum customers in this era of competition solely depends on the penetration the dealershave in the market.

5) The last criterion of dealers selection for Airtel is the area the dealers cover. This wouldinclude different geographical areas which are covered by a dealer.


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For pre-paid connections in all of their circles,distributors and franchisees are remunerated a fixedamount, approximately 20 and 15 , respectively, ofthe value of the card sold to the customer.

For pre-paid recharge coupons, the distributors andfranchisees receive approximately 7 of the value ofthe coupon sold.

For post-paid connections in all their circles, the ratesmay increase up to 100 of base commissions onmeeting quality and quantity targets.


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There are differences between the offersthat are offered to retailers in different

areas.

Depending upon territories allocated,targets and quotas differ.

Allocation specified to rural and urbanretailers differ.


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Problem of service gap: Cases have been found where the retailer has run out of itsrecharging balance and the balance has not been refilled by the distributor timely. Thismay be caused because of the time lag or because of the no credit policy of thedistributor. This however leads to some loss to the company as the customer has toreturn back without recharging. This also weakens the companys image in the eyes of

the customer as retailer here acts as the face of the company.

Competition: Due to large number of players, now the retailer has to keep competitorproducts as well. However they are unwilling to make extra investment and reduce theshare of each existing company to accommodate the competitor products.

Non-availabilty of particular offers: There have been instances where the companyhas announced new offers. However those are not available at the retailers outlet.This may happen due to lag in information passage from the company to the retailer.This situation is seen especially in the rural areas where number of retailers is lesscompared to urban areas. This may lead to loss of potential customers and ultimatelyunrest among the retailers.


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Retailers selling SIM Cards at a cost lesser than the MRP:

Big retailers who purchase the SIM Cards in bulk sell the SIM Cards at acost lower than the MRP. They use the economy of scale achievedthrough bulk purchase, reduce money from their commission and pass onthe difference to the end customer. Thus they are able to sell the SIMCards at a lower cost then the competing retailer. This leads to unequalsell by the various retailers.

Old SIM Cards not replaced in time

Once some offer is over, the SIM Cards which hold that offer has to betaken back by the distributor and replaced by new SIM Cards. Howeverthere have been instances where the distributor is late on completing thisactivity. This leads to inventory accumulation at the retailers shop whichthe retailer cannot sell.


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Rural expansion may turn out to be margin dilutive

Rural expansion has not been margin dilutive so far despiteaggressive rural network Rollouts, but maintaining operating

margins would require a continued focus on managing costs.

The Impact of MNP

Introduction of obile number portabilit ( ) is expected to beneutral to marginall positive.

The Arrival of 3G Technology

anagement does not expect the incremental capex for 3G to besubstantial, given that it will be an overla on the existing 2Ginfrastructure.


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To avoid conflicts, Airtel has adopted a Second and Third DegreeDistribution network.

Second Degree distribution network: Company makes invoice of SIMs, PEFs, GSM Pay Phones,

RCVs of various denominations chiefly Rs.10, Rs 30 and Rs. 60to only Urban Distributors and Rural Super Distributors. Easy

balance is also transferred to only Urban Distributors (UDs) and

Rural Supers (RS). Urban distributors distribute the above items to retailers

according to the demand and transfer easy balance to retailerthrough FOS (Field Sales Officer) SIM. This is more suitable forthe urban market where demand is obscurely driven.


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snd ppt - group 2 ( reform at ed)

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