SEMINAR REPORT

ON
AIRTEL MONEY"


UNIVERSITY SCHOOL OF MANAGEMNT
(KURUKSHETRA UNIVERSITY, KURUKSHETRA)

SUBMITTED TO: SUBMITTED BY
Dr. B.S. BODLA SATYENDER
PROFESSOR. ROLL NO. 31
U.S.M. K.U.K. MBA(G),SEC. A




TABLE OF CONTENT S
CONTENTS

PAGE
NUMBER
1. TELECOM INDUSTRIES IN INDIA 1-3
2. BHARTI AIRTEL LTD 4-7
3. VISION OF BHARTI AIRTEL 8-18
4. MARKETING STRATEGY BY AIRTEL 31
5. INTRODUCTION TO AIRTEL MONEY 36
6. TYPES AIRTEL MONEY ACCOUNTS 41
7. COMPARISION BETWEEN AIRTEL MONEY &
VODAFONE M PAISA
44
8. SWOT ANALYSIS OF AIRTEL MONEY
46
9. CONCLUSION 49
10. BIBLIOGRAPHY 50







TELECOM INDUSTRY IN INDIA

Indian telecom sector, like any other industrial sector in the country, has gone through
many phases of growth and diversification. Starting from telegraphic and telephonic system in
the 19
th
century, the field of telephonic communication has now expanded to make use of
advanced technologies like gsm, cdma, and wll to great 3g technology in mobile phones. day by
day, both the public players and the private players are putting in their resources and efforts to
improve the telecommunication technologies so as to give maximum to their customers.
the telecom industry of India is on the edge of becoming the second biggest telecom sector in the
world with an overall compactness of telecommunications of up to 4789%. in the year 2009, the
industry attracted subscribers of over 562.21 million which was 35% greater than its previous
year, as per telecom regulatory authority of India (trai) report. the Indian telecom industry
registered annual revenues of over us$ 8.57billion in2009triggered by the revival in incomes from
landline and mobile services. by 2014 the industry is anticipated to surface as the highest element
in the nation's gdp by contributing up to 15.5%.currently, the telecom industry is on an
expansion spree and is adding 9-11 million cellular phone subscribers per month. With this pace
the sector is estimated to cover more than half of the nation's population by 2012 .2010 budget
telecom industry expectations are re-introduction of tax exemptions in context of system rollouts
in rural districts and to telecom infrastructure service providers, tax relief to businesses
undergoing reformatting mentioned in provisions under section80ia (12a) by the finance act,2007
special additional duty (sad) compensation, accessibility of cenvatcredit in case of relocation of
the business, tariffs of not up to 0.5-2% and explanation on tax reduction of entire spectrum
charge








GSM MOBILE MARKET SHARE IN INDIA


Bharti Airtel: 121.7million (30.86%)
2. Vodafone Essar: 94.1 million (23.87%)
3. IDEA: 59.8million (15.19%)4
4. BSNL: 59.million (15.08%)
5. Aircel: 33.0 million (838%)
6. Reliance Telecom: 15.7million (4.0%)
7. MTNL: 4.6million (1.17%)
8. Loop Mobile: 2.7million (0.9%)
9. Uninor: 2.5million (0.64%
10. STel: 0.5million (0.13%)

Total Users: 395.3 million

























BHARTI AIRTEL LTD

Telecom giant Bharti Airtel is the flagship company of Bharti Enterprises. The Bharti Group has
a diverse business portfolio and has created global brands in the telecommunication sector.Bharti
has recently forayed into retail business as Bharti Retail Pvt. Ltd. under a MoU with Wal-Mart
for the cash & carry business. It has successfully launched an international venture with
ELRothschild Group to export fresh agri products exclusively to markets in Europe and USA and
has launched Bharti AXA Life Insurance Company Ltd under a joint venture with AXA, world
leader in financial protection and wealth management.Airtel comes from Bharti Airtel Limited;
Bharti Airtel is one of the leading alternative providers of telecommunications services in India
and the first private telecom services provider with footprint in all the 23 telecom circles. Bharti
Airtel since its inception has been at the forefront of technology and has steered the course of the
telecom sector in the country with its world class products and services. The businesses at Bharti
Airtel have been structured into three individual strategic business units (SBUs) - Mobile
Services, Airtel Telemedia Services & Enterprise Services. The mobile business provides mobile
& fixed wireless services using GSM technology across 23Telecom circles while the Airtel
Telemedia Services business offers broadband &telephone services in 94Cities. The Enterprise
services provide end-to-end telecom solutions to corporate customers and national &
international long distance services to carriers. All these services are provided under the Airtel
brand .Airtel comes from Bharti Airtel Limited, one of Asians leading integrated telecom
services providers with operations in 18 countries across Asia and Africa. Bharti Airtel since its
inception has been at the forefront of technology and has pioneered several innovations in the
telecom sector. The company is structured into four strategic business units - Mobile, Telemedia,
Enterprise and Digital TV The mobile business offers services in India, Sri Lanka and
Bangladesh. TheTelemedia business provides broadband, IPTV and telephone services in89
Indian cities. The Digital TV business provides Direct-to-Home TV services across India. The
Enterprise business Provides end-to-end telecom solutions to corporate customers and national
and international long-distance services to Telcos. Airtel was born free, a force unleashed into
the market with a relentless and unwavering determination to succeed.

COMPANY PROFILE -
Date of Establishment
1995
Revenue
6716.88(USD in Millions)
Market Cap
1062548.9208608( Rs. in Millions )
Corporate Address-
Aravali Crescent ,1 Nelson Mandela Road,Vasant Kunj Phase
2 NewDelhi-110070, Delhi
Chairperson
- Sunil Bharti Mittal
MD
- Sunil Bharti Mittal
Directors
- Ajay Lal, Akhil Gupta, Arun Bharat Ram, Bashir Currimjee, Chua Sock Koong,Craig Ehrlich,
Deven Khanna, Lim Chuan Poh, Manoj Kohli, Mauro Sentinelli, N Kumar, Nikesh Arora, Paul
O'sullivan, Pulak Chandan Prasad, Quah Kung Yang, Rajan Bharti Mittal,Rakesh Bharti Mittal,
Sarvjit Singh Dhillon, Sunil Bharti Mittal, Tan Yong Choo, VijayaSampathBharti Airtel,
incorporated on July 7, 1995 is the flagship company of Bharti Enterprises. The Bharti Group
has a diverse business portfolio and has created global brands in the telecommunication sector.
Bharti Airtel is Asias leading integrated telecom services provider with operations in India and
Sri Lanka. Bharti Airtel has been at the forefront of the telecom revolution and has transformed
the sect
Company Secretary-
Vijaya Sampath

Bankers Auditors-

SR Batliboi & Associates


Business Divisions-
The enterprise services group includes units for both long-distance carriers and for corporate
clients. Bharti Airtel has nearly 29 million total customers -- approximately more than
27millionGSM mobile and 1.6 million fixed-line customers. The company was founded as
Bharti Tele-Ventures in 1995 and changed its name in early 2006 to Bharti Airtel Limited. It is a
unit of Indian conglomerate Bharti Enterprises)Sunil Bharti Mittal (Chairman and Group
Managing Director)This highly innovative company created telecom history when it farmed out
its network management to experts Nokia and Ericsson, and set a trend in the global cellular
industry. Last year, Vodafone gave the company a vote of confidence by acquiring 10% mostly
from early Bharti investor Warburg Pincus. This year, Bharti will offer its second overseas
services after the Seychelles. It acquired a license for tax haven Jersey, in the Channel Islands,
and is looking for more. It also plans to spend $2billion this year to double the size of its network
and cover 50%of India's population, up from40% currently. The group offers high speed
broadband internet with a best in class network. With Landline services in 94 cities we help you
stay in touch with your friends & family and the world.Getworld class entertainment with
Indias best direct to home (DTH) service digital TV in more than 150 cities.


Bharti Airtel offers GSM mobile services in all the 23-telecom circles of India and is the largest
mobile service provider in the country, based on the number of customers.

Discover the magical experience of digital entertainment with Airtel. From DVD quality picture
and sound, the best and widest variety of channels and programmes to the best on-demand
content on Airtel Live, your TV viewing experience change forever with digital TV from Airtel!






Enterprise Services provides a broad portfolio of services to large Enterprise and
Carrier customers. This division comprises of the Carrier and Corporate business unit. Enterprise
Services is regarded as the trusted communications partner to India's leading organizations,
helping them to meet the challenges of growth.





Airtel Money

Airtel has started a new mCommerce platform called Airtel Money with collaboration with
Infosys and Smart Trust (now Giesecke & Devrient). It was launched on April 5, 2012, in
Infosys Campus of Bangalore. with the help of Airtelmoney,users can transfer money, pay bills
and other financial transactions using mobile phone




VISION OF BHARTI AIRTEL -

By 2010 Airtel will be the most admired brand in India: Loved by more customers Targeted by
top talent Benchmarked by more businesses









HISTORY OF THE COMPANY

Bharti Tele-Ventures was incorporated on July 7, 1995 as a company with limited liability
under the Companies Act, for promoting telecommunications services. Bharti Tele-Ventures
received certificate for commencement of business on January 18,
1996. The Company was initially formed as a wholly-owned subsidiary of Bharti Telecom
Limited. The chronology of events since Bharti Tele-Ventures was incorporated in 1995 is as
follows

Calendar year & Events

1995
Bharti Cellular launched cellular services'AirTel'in Delhi
1996

STET International Netherlands NV, or STET, a company promoted by Telecom
Italia,Italy acquired a 20% equity interest in BhartiTele-Ventures Bharti Telenet launched
cellular services in Himachal Pradesh
1997
British Telecom acquired a 21.05% equity interest in Bharti Cellular
Bharti Telenet obtained a license for providing fixed-line services in Madhya Pradesh
circle
Bharti Telecom and British Telecom formed a 51% :49% joint venture, Bharti BT,
for providing VSAT services
1998
Bharti Telecom and British Telecom formed a 51% :49% joint venture, Bharti BTInternet
for providing Internet services
First Indian private fixed-line services launched in Indore in the Madhya Pradesh circle
on June 4, 1998 by Bharti Telnet thereby ending fixed-line services monopoly of
Dot(nowBSNL)
1999
Warburg Pincus (through its investment company Brentwood Investment
HoldingsLimited) acquired a 19.05% equity interest in Bharti Tele-Ventures
Bharti Tele-Ventures (by acquiring a 63.45% equity interest in SC Cellular Holdings)
acquired an effective 32.36% equity interest in Bharti Mobile (formerly JT Mobiles), the
cellular services provider in Karnataka and Andhra Pradesh circles
New York Life Insurance Fund, or NYLIF, acquired a3% equity interest in BhartiCellular


2000
Bharti Tele-Ventures acquired an effective equity interest of 40.5% in Bharti
Mobinet(formerly Sky cell Communications), the cellular services provider in
Chennai
Bharti Tele-Ventures acquired a30.2% equity interest of Telecom Italia in BhartiTelenet
and 18.8% from Bharti Telecom thereby making Bharti Telnet a 100%subsidiary of
Bharti Tele Ventures
SingTel (through its investment company Pastel Limited) acquired STET's 15.3%
equityinterest in Bharti Tele-Ventures
Bharti Tele-Ventures acquired an additional effective41.64% equity interest in
BhartiMobile (by acquiring the remaining36.55% equity interest in SC Cellular) resulting
inBharti Tele-Ventures holding an effective74 % equity interest in Bharti Mobile.
2001
Bharti Tele-Ventures acquired NYLIF's 3% equity interest in Bharti Cellular
Bharti Telesonic entered into a joint venture, Bharti Aqua net, with SingTel
for establishing a submarine cable landing station at Chennai
Bharti Tele-Ventures issued additional equity for approximately US$ 481.30 million to
SingTel, Warburg Pincus, AIF group, IFC, NYLIF, and See jay Cellular and
BhartiTelecom
Bharti Cellular acquired a 100% equity interest in Bharti Mobitel (formerly Spice
Cell),the cellular services provider in Kolkata
Bharti Tele-Ventures acquired 85% and 15% in Bharti Telespatial from Bharti
Telecomand Intel, respectively
Bharti Tele-Ventures acquired a 44 % equity interest in Bharti Cellular from British
Telecom, thereby making Bharti Cellular its 100% subsidiary


Punjab license restored to Bharti Mobile by the DoT and migration to NTP 1999
accepted
Bharti Cellular entered into license agreements to provide cellular services in eight new
circles following the fourth operator cellular license bidding process
Bharti Telenet entered into license agreements to provide fixed-line services in the
Haryana, Delhi, Tamil Nadu and Karnataka circles
Bharti Telesonic entered into a license agreement with the DoT to provide national long-
distance services across India
Bharti Aqua net, Bharti Telesonic and Bharti Cellular entered into license agreements
with the DoT to provide ISP services in India
Bharti Telesonic launched national long distance services under the brand name of India
One
Bharti Telnet launched fixed line services in Haryana under the brand name of TouchTel
2002

Comes out with issue of 18.53crore equity shares through book building route with afloor
price of Rs45 per share, received bid for 18.55crore shares. Through the issue, it becomes
the first company in India to come out with 100% book building issue
Issue price fixed at Rs45per share, floor price fixed by the company. Raises Rs834 crore
Shares listed on BSE, NSE and DSE, opens at 11% premium to its issue price of Rs 45
Enters into a 5 -year agreement with Escotel and ETL of the Escorts group to
contractleased line connectivity for its cellular operations
Mr. Ravi Akhoury ceases to be Director of Bharti Tele
DoT grants ILD Telephony License to Bharti Telesonic, subsidiary of the company
Signs MoU with Telia AB to buy out their 26 % stake in Bharti Mobile
Ties up with SSC (Secondary School Certification) Board, Hyderabad, where Bharti will
announce SSC results to its customers on their mobile phones
ICICI Bank ties up with Bharti for pre-paid mobile cards via ATMs
Bharti forays into Mumbai with offers
Alpine International Ltd. and ELM International Ltd. acquire shares of Bharti Tele-
Ventures
Sunil Mittal, Chairman & Managing Director of the company, bags Businessman of the
year award by Business India


2003
Airtel breaks interconnectivity with Tata Teleservices in Andhra Pradesh Circle
Company accorded its approval for amalgamation of its subsidiary companies viz:
BhartiTelenet Ltd, Bharti Telesonic Ltd, Bharti Broadband Networks Ltd and Bharti
Comtel Ltd through scheme of Amalgamation. The merged entity would be renamed as
Bharti Infotel Ltd
Air Tel launches Local direct dialing facility in Chennai circle
Mobilizes5 m long term foreign currency borrowings for expansion of cellular operations
Bharti Cellular unveils Care Touch service
Bharti Group's cellular brand Airtel has unveiled free multimedia messaging services
(MMS) for its customers. The company has also rolled out pan-India GPRS (General
Packet Radio Services) for its corporate subscribers
Launches its `India One Meet press' audio-conferencing service
Punjab, Haryana get free incoming calls from Airtel
AirTel provides SMS facilities to hearing impaired in Chennai
Goa, Maharashtra gets 'voice portal' services by Bharti Cellular-Launches free additional
connection to its new subscribers in New Delhi
Mr. Sin Hang Boon and Mr. Wong Hung Khim have resigned from the Board
of Directors of Bharti Tele Ventures Ltd with effect from February27, 2003.
Airtel provides SMS cricket updates
Bharti Mobinet Ltd, the Bharti group company that provides the AirTel mobile service
inChennai, today launched its GPRS (General Packet Radio Service) network and an
MMS (multimedia messaging) on the GPRS platform
AirTel unveils new ring tones for Karnataka cellular market
AirTel Subscribers exceed 3 Million mark
AirTel unveils RAD system

2004
Bharti unveils new card for Mecca pilgrims
AirTel enrolls 50,000 customers in its mobile service in60 days
Launches WAP enabled portal Service in Kerala
Bharti Cellular's AirTel has extended its mobile connectivity to Karaikkal,
Nagur,Mannargudi and Kovilpalayam in Tamil Nadu circle.
Airtel customer base touches new high of 5 lakh mark in Andhra Pradesh
Mobile service provider AirTel is launching its first ever MMS (Multi Media service)
downloads in Tamil. The launch of this service has been timed to coincide with Pongal.
AirTel tie up with MAA TV
Airtel launches Rs50 pre-paids recharge
AirTel launched a family pack for its post-paid customers in Chennai on January
29.According to a press release, the family pack may have a maximum of 10 members
Spread across the country. The combined basic plan fixed charges/rental of all family members
in the pack will have to be equal to Rs450 but less than Rs 1000 for the family450 pack and
above Rs 1000 for the family 1000 pack. The offerings under family pack 450 include 15free
mobile to mobile STD minutes within the family, 50 free local calling minutes to each family
member, calls within the family in same circle at50 paisa per minute, 25free local SMS and one
subscription alert service free for 3months.


Bharti Tele-Ventures enters into a three year service agreement with Ericsson
Bharti Tele-Ventures (BTVL) has signed and received unified access service license
to provide GSM services in five circles including Uttar Pradesh (East), West Bengal
&Andaman Nicobar, Orissa, Bihar and Jammu & Kashmir. The license has been granted
to Bharti Cellular Ltd (BCL), the cellular arm and subsidiary of BTVL.
Airtel announces the signing of the first-ever bilateral roaming agreement between an
Indian mobile service provider and its counterpart in Pakistan. This facility will be
available to pre-paid as well as post-paid customers. AirTel's roaming agreement is with
Mobil ink, the only GSM cellular service provider in Pakistan
Acquires switching systems from Tekelec that will give a technological edge to the
company
Bharti Tele-Ventures Ltd signed an information technology outsourcing deal with
InfoTech major IBM, estimated to be in the range of 0-750 million for a ten-year period.
Jayant Khosla, new chief executive officer, Mumbai
Signs MoU to join the South East Asia - Middle East - Western Europe 4(SEA-ME-WE-4)
consortium along with 15 other global telecom operators.
Bharti Tele-Ventures has struck a deal with Shyam Telecom to buy out the latter's
67.5 per cent stake in cellular services company Hexacom for Rs430 crore.
Bharti Tele garners 0 m via FCCBs
Samsung India Electronics Limited has tied up with cellular operator Bharti for bundling
its mobile handsets with a connection.
The Bharti group finalized an Rs500-crore deal to share its national long-distance (STD)
network with VSNL in a first-of-its-kind accord between two top telecom
service providers in a bid to optimize capacities in the NLD segment.
Internet gateway and services provider, Videsh Sanchar Nigam Ltd. (VSNL) has signed
a right to Use (RoU) agreement to deploy mobile telephony major, Bharti Tele-Ventures
existing National Long Distance (NLD) backbone.
Airtel offers talk time transfer service
Airtel has announced money-back guarantee offer in case of call drop or poor
network experience for its subscribers
Bharti launches 2-in-1 card
Airtel launched two-way international roaming and GPRS for prepaid customers in the
Maharashtra and Goa circles
India's leading cellular company Bharti Tele-Ventures has bagged the Asian
Mobile News operator of the year award in India and the subcontinent
Bharti Tele-Ventures Ltd has awarded a million equipment contract to Swedish telecoms
company Ericsson
Bharti Televentures announced formation of a new strategic business unit to offer
various telecom and IT services through a single contact
Bharti Televentures unveiled a mobile portal featuring sports, entertainment and news
among others
Airtel ties up with Micro Tech to set up 'Mcops' vehicle security system
Bharti Tele-Venture on July 19 launched ring back tone service which is a personalized
mobile music service where the caller hears songs and other sound clips instead of the
traditional switchboard ring-ring tone
Airtel, a private telecom services provider, has commissioned its first24x7
customer service centre in Andhra Pradesh Airtel unveils Rs 199 pre paid card
AirTel join hands with NMIMS to offer executive MBA programme
AirTel introduces new scheme for hearing impaired in Maharashtra & Goa
AirTel inks pact with JP Mobile
AirTel unveils first virtual calling cards in India
BTVL rolls out EDGE services in Bangalore
Airtel rolls out Full Talk time Advantage card
Airtel rolls out Wi-Fi services in Mumbai
BTVL launches new 'Airtel Broadband Friendly Offer'
Airtel launches GPRS services for pre-paid customers
Airtel partners with ITPO to set up Wi-Fi network in Delhi
Airtel launches EDGE services and a new pre-paid plan for Chennai
Airtel introduces LAS in Karnataka
2005
Airtel launches video services for its GPRS customers on February 22,2005
Airtel unveils new TV ad featuring Sachin, Sharukh
Bharti Tele-Ventures launches telecom network in Andaman & Nicobar
BTVL unveil fixed line, broadband services
Bharti inks5 -m deal with Nokia for rural network expansion
Bharti Tele Ventures Ltd has announced that Airtel, ICICI Bank & VISA have joined
hands to launch mChq - a revolutionary new service - a credit card on the mobile phone
Bharti Tele Ventures - Airtel introduces BlackBerry Connect in India
Bharti Tele Ventures announces agreement with Vodafone
Airtel unveils 'free flight' offer
Airtel unveils starter pack
Bharti Tele-Ventures launches under sea cable system
2006
Airtel unveils Re 1 STD plans
Airtel launches NetXpert.
Airtel launches Post2 Pre recharging service on April 04,2006
Airtel sets up customer centre
Mobile service provider Airtel today announced the launch of `Save My Phone Contact
service for its pre-paid and post-paid customers in Delhi
Bharti Tele Ventures bags 'Wireless Service Provider of the Year' & 'Competitive
Service Provider of the Year' awards
Sunil Mittal bags CEO of the Year award
Cellebrum join hands with Airtel
Airtel Mega unveiled in Coimbatore
Airtel joins hand with Microsoft
Bharti Airtel Ltd has informed that Microsoft and the Company announced a
strategic partnership that will offer a range of software and services for small and
medium businesses (SMBs) in India.
Bharti Airtel Ltd on Nov8, announced a first-of-its-kind alliance with the Adani Group
for establishing an end-to-end modern telecommunication network infrastructure for the
latters
Multi-sector special economic zone (SEZ), located near Mundra Port in Kutch district
of Gujarat.
2007
Bharti Airtel, telecom major, has come out with a slew of initiatives including buying
OutSingTels50 per cent stake in joint venture undersea cable company Network i2i for 0
million.
Bharti Airtel on Feb 11, has been awarded QCI-DL Shah National Award on Economics
of Quality.
Bharti Airtel Ltd has announced the following changes in the operational leadership
structure and roles in the Company effective April 01,2007
Bharti Airtel Ltd on April 01,2007 , has announced the reduction in International Long
Distance Tariffs (ISD) for all its mobile customers in India.
Airtel signs agreement with HTC for touch screen mobile



2008
Nokia Siemens Networks on Jan3declared that it has been awarded a multi
million euro contract from Bharti Airtel Ltd for deployment of a single interactive
voice response (IVR) platform across23 circles. The three-year turnkey contract
comprises designing, planning, systems integration and optimization services to
raise overall customer experience. The new IVR solution will enable Airtel to
deliver services such as voices, televoting, call management services, caller ring
back tone and voice portal on a faster time-to-market basis and, therefore, reduce
OPEX costs.
Bharti Airtel Ltd on February 1 2008 has announced that it has achieved the60
million customer marks. This landmark has catapulted Bharti Airtel into the club
of top mobile operators in the world in terms of subscriber base. The 60 million
customer base covers mobile as well as fixed line and broadband customers.
Bharti Airtel tied up with US-based Apple Inc to bring the popular GSM-based
iPhone in the country.
Bharti Airtel Ltd has forged a technology alliance with Infosys Technologies Ltd
to launch its Direct-to-Home (DTH) television services. Infosys, through its
digital convergence platform, will offer a suite of products including devices,
application servers and interactive applications for Airtel's DTH services.
2009
Bharti Airtel HAS signed a five-year managed services deal valued at 0
million withAlcatel Lucent for its fixed-line and broadband operations.
Bharti Airtel launched the 'Airtel Advantage' initiative. The initiative is
aimed at offering the added advantage to Airtel customers to be in touch
with each other at an affordable rate of 50 paisa per minute, be it a national
long distance call (STD) or local call.
In order to create products and services for the small, medium and large
enterprises, Bharti Airtel and Cisco announced a strategic business alliance.
The alliance would combine the strengths of Airtel's network service and
Cisco' Internet Protocol (IP) technologie
Bharti Airtel - Airtel and mChek announce milestone of One Million users;
introduce a broad range of new mCommerce services.
2010
Bharti Airtel submitted its bid for 3G spectrum, the auction for which starts from April
l9th
Acquired to many circles for its 3G services
2011
Started unlimited validity scheme on new connection
Started 3G services in selected circles
2012-2013
Company started boosting its infrastructure & strengthen its network across
india
Company started bidding for Africa circles too

2014
Multiplatform services in telecom, enterprise and digital
television, unified under brand airtel
Successfully unified operations across the globe under the
umbrella of airtel
Amongst the Top 100 of Most Valuable Global Brands List 1
No. 1 service brand in India 2
One of the top 10 brands in Africa within 3 years of
operations there
Awarded Brand of the Year Award at the Nigerian Telecom
Awards3






2.5. CORPOATE GOVERNANCE
Integrity and Ethics

The partners will conduct all its dealings in a very ethical manner and with the
highest business standards.
All partners with a business relationship with Bharti Airtel shall comply with the
highest-level of integrity and ethical practices.
The partners will provide all possible assistance to Bharti Airtel in order to investigate
any possible instances of unethical behavior or business conduct violations by its
employee. Partner will disclose forthwith any breach of these provisions that comes to
their knowledge to allow for timely action in their prevention and detection.
Partners will adopt appropriate processes to prevent offering any illegal gratification in
the form of bribes or kickbacks either in cash or in kind in the course of all dealings with
us. Any instances of such violations will be viewed in a serious manner and Bharti Airtel
reserves the right to take all appropriate actions or remedies as may be required under
the circumstances.
All partners are required to confirm their compliance to ethical dealings on an
annual basis by signing a certificate to this effect as per Bharti Airtel's standard annual
certificate.
Any ethical or integrity issues observed or encountered while dealing with Bharti Airtel shall be
bought to the notice of Bharti Airtels senior management or the Head of Internal Audit
immediately.
Environment, health and safety
Suppliers dealing with Bharti Airtel shall comply and adhere to all laws, regulations and
guidelines on environment, health and safety. Suppliers will ensure that all new service offerings
as well as new product designs are incompliance with the relevant environmental regulation and
guidelines, at the time of implementation at Bharti Airtel.
Protection of Intellectual Property the Partner:
Shall comply with the guidelines for use of the trademarks and trade names notified by
the Company (including but not limited to 'Bharti' and 'Airtel') and shall not use the
Company trademarks and trade names without the prior written consent of the Company.
Shall, under no circumstances, advertise or use Bharti Airtel's name to market its
own product or associate its company with Bharti Airtel. If a partner spots any
counterfeit or infringing Company product/service, the partner shall immediately notify
Bharti Airtel.
Shall not reproduce, in whole or in substantial part, any copyrighted work in hard copies, prints,
video or electronic copies in violation of the copyright laws including the Bharti Airtel's Partner
Manual. Bharti Airtel's intellectual property also resides in trade secrets or know-haws. Trade
secrets are technical, commercial or other information unknown to the public, which can bring
economic benefits to its owner. Documents that contain trade secrets and available to the Partner
shall be safeguarded and not shared by the Partner with any third party without prior written
consent of Bharti Airtel.



Domestic and international trade controls
Suppliers shall understand and follow applicable domestic and international trade control and
customs laws and regulations, including, but not limited to those relating to licensing, shipping
and import documentation and reporting and record retention requirements
Conflict of Interest
Suppliers will ensure they do not engage in any personal dealings with Bharti employees,
especially those that they interact with on Bharti business matters.
PARTNER POLICY
Airtel would strive to conduct its business in a manner that reflects its vision and brand essence.
As the sourcing base expands, Airtel will only do business with partners who are committed to a
long term relationship focusing on mutual growth and trust. All Partners are responsible
for making sure that Airtel's vision and brand essence is adhered to when subcontracting any
portion of their obligations. Partners are individually responsible for ensuring that their
employees understand Airtel's vision and brand essence.



Regulatory Compliance
All Partners of Airtel must operate within the bounds of all applicable laws. They must also
adhere to the governing standards of the country and international countries in which they
conduct business. If at any time a Partner ceases to meet any statutory and/or other requirement
of the country in which they are doing business, Airtel reserves the right to immediately cancel
all its outstanding orders with that Partner as well as terminate its agreement with the Partner.
Corporate Citizenship
Airtel believes in Corporate Citizenship. Airtel is committed to protecting the environment
wherever it does business. As a responsible corporate citizen we will favor those Partners who
share our commitment to the community and the environment, as well as those who conform to
all local requirements regarding environmental codes and guidelines.
Corporate Citizenship
All potential partners are required to undergo the registration process to be considered
for business with Airtel. On successful completion, the partner would be added to Airtel's
Supplier Base and a registration code would be provided. Only registered partners would be
considered for new business opportunities. The registration code would be rendered inactive for
partners not meeting the requirements of the registration process. Once deactivated, partners
would be required to go through the registration process again.
Number of Partners and Business Share
All partners working with Airtel would have a unique partner code and would be applicable
for all their business units globally. Airtel would have a maximum of 6 to 8 partners registered
for any product or service. RFP would be released to registered partners only. Airtel at any point
of time would release a contract to a maximum of 3 partners for a product or service with a
business share split of 60%,30% and 10%. Incase 2 partners are contracted; the business share
split would be 67% and33%. Business share would be primarily based on partner performance
score card. Airtel would provide higher business share for partners who help it to improve its
technology, competitiveness and customer delight. In case where all criteria are similar the
decision would be based on the partner's dependence on Airtel. Any deviation would be
approved at a level higher as per DOA. Single partner for a product or service would be
approved through a specific DOA.

Reciprocity
Airtel's goal is to buy products and services which have the best prices, quality, delivery, and
technology. Airtel encourages partners to use its products for their telecom requirements and
would prefer partners endorsing Bharti Airtel .
CORPOATE GOVERNANCE
Integrity and Ethics

The partners will conduct all its dealings in a very ethical manner and with the
highest business standards.
All partners with a business relationship with Bharti Airtel shall comply with the
highest-level of integrity and ethical practices.
The partners will provide all possible assistance to Bharti Airtel in order to investigate
any possible instances of unethical behavior or business conduct violations by its
employee. Partner will disclose forthwith any breach of these provisions that comes to
their knowledge to allow for timely action in their prevention and detection.
Partners will adopt appropriate processes to prevent offering any illegal gratification in
the form of bribes or kickbacks either in cash or in kind in the course of all dealings with
us. Any instances of such violations will be viewed in a serious manner and Bharti Airtel
reserves the right to take all appropriate actions or remedies as may be required under
the circumstances.
All partners are required to confirm their compliance to ethical dealings on an
annual basis by signing a certificate to this effect as per Bharti Airtel's standard annual
certificate.
Any ethical or integrity issues observed or encountered while dealing with Bharti Airtel shall be
bought to the notice of Bharti Airtels senior management or the Head of Internal Audit
immediately.


Environment, health and safety
Suppliers dealing with Bharti Airtel shall comply and adhere to all laws, regulations and
guidelines on environment, health and safety. Suppliers will ensure that all new service offerings
as well as new product designs are incompliance with the relevant environmental regulation and
guidelines, at the time of implementation at Bharti Airtel

Property the Partner:
Shall comply with the guidelines for use of the trademarks and trade names notified by
the Company (including but not limited to 'Bharti' and 'Airtel') and shall not use the
Company trademarks and trade names without the prior written consent of the Company.
Shall, Airtel. under no circumstances, advertise or use Bharti Airtel's name to market its
own product or associate its company with Bharti Airtel. If a partner spots any
counterfeit or infringing Company product/service, the partner shall immediately notify
Bharti Protection of Intellectual
Property the Partner:
Shall comply with the guidelines for use of the trademarks and trade names notified by
the Company (including but not limited to 'Bharti' and 'Airtel') and shall not use the
Company trademarks and trade names without the prior written consent of the Company.
Shall, Airtel.
Shall not reproduce, in whole or in substantial part, any copyrighted work in hard copies, prints,
video or electronic copies in violation of the copyright laws including the Bharti Airtel's Partner
Manual. Bharti Airtel's intellectual property also resides in trade secrets or know-haws. Trade
secrets are technical, commercial or other information unknown to the public, which can bring
economic benefits to its owner. Documents that contain trade secrets and available to the Partner
shall be safeguarded and not shared by the Partner with any third party without prior written
consent of Bharti Airtel.




Domestic and international trade controls
Suppliers shall understand and follow applicable domestic and international trade control and
customs laws and regulations, including, but not limited to those relating to licensing, shipping
and import documentation and reporting and record retention requirements
Conflict of Interest
Suppliers will ensure they do not engage in any personal dealings with Bharti employees,
especially those that they interact with on Bharti business matters.
PARTNER POLICY
Airtel would strive to conduct its business in a manner that reflects its vision and brand essence.
As the sourcing base expands, Airtel will only do business with partners who are committed to a
long term relationship focusing on mutual growth and trust. All Partners are responsible
for making sure that Airtel's vision and brand essence is adhered to when subcontracting any
portion of their obligations. Partners are individually responsible for ensuring that their
employees understand Airtel's vision and brand essence.
Regulatory Compliance
All Partners of Airtel must operate within the bounds of all applicable laws. They must
also adhere to the governing standards of the country and international countries in
which they conduct business. If at any time a Partner ceases to meet any statutory and/or
other requirement of the country in which they are doing business, Airtel reserves the
right to immediately cancel all its outstanding orders with that Partner as well as
terminate its agreement with the Partner.
Corporate Citizenship
Airtel believes in Corporate Citizenship. Airtel is committed to protecting the
environment wherever it does business. As a responsible corporate citizen we will favor
those Partners who share our commitment to the community and the environment, as
well as those who conform to all local requirements regarding environmental codes and
guidelines.
Corporate Citizenship
All potential partners are required to undergo the registration process to be considered
for business with Airtel. On successful completion, the partner would be added to
Airtel's Supplier Base and a registration code would be provided. Only registered
partners would be considered for new business opportunities. The registration code
would be rendered inactive for partners not meeting the requirements of the registration
process. Once deactivated, partners would be required to go through the registration
process again.



Number of Partners and Business Share
All partners working with Airtel would have a unique partner code and would be
applicable for all their business units globally. Airtel would have a maximum of 6 to 8
partners registered for any product or service. RFP would be released to registered
partners only. Airtel at any point of time would release a contract to a maximum of 3
partners for a product or service with a business share split of 60%,30% and 10%. Incase
2 partners are contracted; the business share split would be 67% and33%. Business
share would be primarily based on partner performance score card. Airtel would provide
higher business share for partners who help it to improve its technology, competitiveness
and customer delight. In case where all criteria are similar the decision would be based
on the partner's dependence on Airtel. Any deviation would be approved at a level higher
as per DOA. Single partner for a product or service would be approved through
a specific DOA.
Reciprocity
Airtel's goal is to buy products and services which have the best prices, quality, delivery,
and technology. Airtel encourages partners to use its products for their telecom
requirements and would prefer partners endorsing Bharti Airtel products where all
criteria requirements are being met.
Code of Ethics
Airtel expects the highest standards of integrity and conduct from its partners. No gifts
(other than advertising matter of modest values such as calendars and diaries), or favors
Should be offered to an employee of Airtel or to friends or family of employees. Partners
are expected to familiarize themselves with the Airtel Code of Conduct which is
available in the Partner Manual or on request, in order to avoid any ambiguity in this
regard.
Contracting
Supply Chain is solely responsible for selecting partners, obtaining quotations and
awarding purchase orders/contracts for products, equipment, software and/or services.
Direct discussions between the requesting organization and partner shall be coordinated
by the Supply Chain Department. Airtel will issue a purchase order / contract for all
products and/or services to all partners. Work should not begin until a formal purchase
order/contract is received. Partner performing a service or supplying products without
the proper authorization would do so at its own cost and risk.

Confidentiality
Airtel will treat information received from Partners in a responsible fashion, and
expects Partners to treat information received from Airtel in the same manner. Partners
should not disclose BhartiAirtel as a customer, documentation received from Bharti
Airtel or release information about relationships with Bharti Airtel without written
consent (should such disclosures be legally required, Bharti Airtel will not unreasonably
withhold that permission, which must be obtained in advance and in writing).
Partner Satisfaction
Airtel would conduct an annual partner satisfaction survey and use it as an important tool
to continuously improve and further develop its internal and external processes with
partners. In order to obtain an unbiased feedback, the survey would be conducted by an
independent external agency.
Partner Awards
Airtel recognizes consistent performance of its partners annually by presenting
performance awards. The awards would be primarily based on the partner performance
score card. Awards would be announced and presented during the partners meets.
Consistent & good performers would also be entitled to better share of business and
other benefits, as would be announced from time to time by Bharti Airtel.
Partner Disengagement
Airtel reserves the right to cancel all orders and/or contracts with a partner in cases
where there is an unethical practice used, code of conduct violation, partner bankruptcy
or insolvency, ownership transfer and/or any other reason deemed fit for disengagement.
Airtel would follow a structured approach for disengagement to ensure the smooth
transitioning where separation becomes inevitable.




Partner Grievance
Airtel's Partner grievance process ensures a Partner's ability to access Airtel's corporate
assurance group and leadership to address concerns, grievances, or complaints relating to
the contracting award process for products or services, or in generals Partner who
believes that a contract award decision was not determined appropriately must file a
written grievance using the Partner Grievance form stating facts and concerns. The
completed form must be sent via e-mail to central.scm@airtel.in A Partner who has a
general concern, grievance & complaint must file a written grievance using the Partner
Grievance form stating facts and concerns. Complete form must be sent to the supplier
Ombudsperson at Airtel via e-mail Ombudsperson@airtel.in








THE COMPETITIVE AREA

3.1 COMPETITORS PROFILE




Vodafone Essar-

Vodafone Essar, previously Hutchison Essar is a cellular operator in India that covers 16
telecom circles in India . Despite the official name being Vodafone Essar, its products are
simply branded Vodafone. It offers both prepaid and postpaid GSM cellular phone coverage
throughout India and is especially strong in the major metros.
Vodafone Essar provides2G services based on 900 MHz and 1800 MHz digital GSM technology,
offering voice and data services in 16 of the country's 23license areas.
Growth of the company as Hutchison Essar-

In 1992 Hutchison Whampoa and its Indian business partner established a company that in 1994
was awarded a license to provide mobile telecommunications services in Mumbai (formerly
Bombay) and launched commercial service as Hutchison Max in November 1995. Analjit Singh
of Max still holds 12% in company. By the time of Hutchison Telecom's Initial Public Offering
in 2004, Hutchison Whampoa had acquired interests in six mobile telecommunications
operators providing service in 13 of India's23 license areas and following the completion of the
acquisition of BPL that number increased to 16. In2006, it announced the acquisition of company
thatheld license applications for the seven remaining license areas. In a country growing as fast
as India, a strategic and well managed business plan is critical to success. Initially, the company
grew its business in the largest wireless markets in India in Cities like Mumbai, Delhi and
Kolkata. In these densely populated urban areas it was able to establish a robust network, well
known brand and large distribution network -all vital to long-term success in India. Then it also
targeted business users and high-end post-paid customers which helped Hutchison Essar to
consistently generate a higher Average Revenue per User ("ARPU") than its competitors. By
adopting this focused growth plan, it was able to establish leading positions in India's largest
markets providing the resources to expand its footprint nationwide.

IDEA CELLULAR-


Idea Cellular is a wireless telephony company operating in various states in India. It initially
started in 1995 as a join venture between the Tatas, Aditya Birla Group and AT&T by merging
Tata Cellular and Birla AT&T Communications. Initially having a very limited footprint in the
GSM arena, the acquisition of Escotel in 2004 gave Idea a truly pan-India presence covering
Maharashtra (excluding Mumbai), Goa, Gujarat, Andhra Pradesh, Madhya Pradesh,
Chhattisgarh, Uttar Pradesh (East and West), Haryana, Kerala, Rajasthan and Delhi (inclusive of
NCR).The company has its retail outlets under the "Idea n' U" banner. The company has
also been the first to offer flexible tariff plans for prepaid customers. It also offers GPRS services
in urban areas. Presently, operations exist in 11 Service Areas covering Delhi, Maharashtra, Goa,
Gujarat, Andhra Pradesh, Madhya Pradesh, Chhattisgarh, Uttaranchal, Haryana, UP-West,
Himachal Pradesh, UP-East, Rajasthan and Kerala. With a customer base of over 23 million,
IDEA Cellulars footprint currently covers approximately 60% of India's telecom population
A frontrunner in introducing revolutionary tariff plans; IDEA Cellular has the distinction
of offering the most customer friendly and competitive Pre Paid offerings, for the first time in
India in an increasingly segmented market Customer Service and Innovation are the drivers of
this Cellular Brand. A brand known for their many firsts, Idea is only operator to launch GPRS
and EDGE in the country. Idea has received international recognition for its path-breaking
innovations when it won the GSM Association Award for "Best Billing and Customer Care
Solution" for 2 Consecutive years. IDEA Cellular is part of the Aditya Birla Group, a US$ 24
billion corporation with a market cap of US$ 31.5 billion and in the league of Fortune 500.
Anchored by an extraordinary force of over 100,000 employees belonging to 25 different
nationalities, over 50% of its revenues flow from its overseas operations. With ambitious future
plans, the company is poised for rapid growth across the whole country.

The Brand Idea
: It is almost impossible to disintegrate brand Idea from the corporate Idea. Brand values are the
company values and vice versa.
The Brand Vision
: It goes without saying that the brand vision of idea mirrors the
Companys vision
The brand mission statement is... To be the most customer-focused mobile service brand,
continuously innovating to help liberate our customers from the shackles of time& space



RELIANCE COMMUNICATIONS-

Reliance Communications (formerly Reliance Infocomm), along with Reliance Telecom and
Flag Telecom, is part of Reliance Communications Ventures (RCoVL). According to National
Stock Exchange data, Anil Ambani controls 66.75per cent of the company, which accounts
for more than 1.36 billion shares of the company. Reliance Infocomm is an Indian
telecommunications company. It is the flagship company of the Reliance-Anil DhirubhaiAmbani
Group, comprising of power (Reliance Energy), financial services (Reliance Capital)and telecom
initiatives of the Reliance ADA Group. Reliance Infocomm is currently managed byAnil
Dhirubhai Ambani. It uses CDMA 2000 1x technology.
company profile

On November 15th 1999, Reliance infocomm begins its project planning. The founder
of RELIANCE INFOCOMM, Dhirubhai Ambani dream was Make a phone call cheaper than
a postcard and you will usher in a revolutionary transformation in the lives of millions of
Indians. In 2000, optic fiber laying process commences in Gujarat, Andhra Pradesh and
Maharashtra. In 2001, first media convergence Node made Ready for Electronics at Jaipur.

In
2002, first Base Transceiver Station (BTS) made Ready for Electronics. Then in same year
company obtains International Long Distance License from Govt. of India. After that they
establish 1st point of Interconnect in New Delhi and on December 27, Honorable Prime Minister
of India Atal BihariVajpayee inaugurates RELIANCE INFOCOMM. Then year 2003 starts
which was the most successful year for Reliance Communications

strategic business units-
The business of Reliance Communications is organized into three strategic customer
facing business units: Wireless, Global, and Broadband. In addition, one of the wholly owned
subsidiaries of Reliance Communications is engaged in the marketing and distribution
of wireless handsets. Their strategic business units are supported by our fully integrated, state-of-
the-art network and operations platform and by the largest retail distribution and
customer service facilities of any communications service provider in India.

TATA TELESERVICES-COMPANY PROFILE-



Tata Teleservices Limited (TTSL) is part of the Tata Group of Companies, an Indian
Conglomerate. It runs the brand name Tata Indicomin India in various telecom circles of India.
The company forms part of the Tata Group's presence in the Telecommunication Industry in
India.TTSL was incorporated in 1995 and was the first company to offer CDMA Mobile services
in India, specifically in the state of Andhra Pradesh. Tata is the direct competitor with
other operators in India. The company provides unified telecommunication solutions including
mobile, fixed wireless, fixed line and broadband. Other competitors like Vodafone, Airtel,
Aircel, Idea MTNL and BSNL providing GSM based mobile telephony. The company was first
in India to provide free intra network calling within city limits. They launched a unique scheme
providing lifetime rental free connectivity on its mobile and fixed wireless for a one-time charge.
The Tata Group's commitment to building a substantial presence in India's telecom industry has
seen it play a leading role in the development of the country's communications infrastructure.
The telecom services of the Group are offered under the brand name Tata Indicom, and cover all
segments, from retail and enterprise to wholesale and international. The objective is to make
TataIndicom the preferred telecommunications choice of customers across the country. The
TataIndicom Enterprise Business Unit (TIEBU) is the central, specialized enterprise sales and
marketing unit for the Tata Group's telecom initiatives. The unit is the benchmark telecom
player in the enterprise space and was formed with a view to providing customized, end-to-end
voice and data solutions to customers across India. It delivers cost-effective, integrated solutions
that are designed to fulfill the most complex communication needs. Tata Indicom offers you a
range of products and services like Wireless Internet, Wireless US Modem and Mobile Phones
so you are always connected. Landline Phones Net Telephony Internet & Broadband It has
partnered with Motorola, Ericsson, Lucent and ECI Telecom for the deployment of a reliable,
technologically advanced network. The company, which heralded convergence technologies in
the Indian telecom sector, is today the market leader in the fixed wireless telephony market with
a total customer base of over 3.8 Million



BHARAT SANCHAR NIGAM LTD.COMPANY OVERVIEW

Bharat Sanchar Nigam Limited provides telecommunications services in India. Its services
include wire line and cellular services, as well as other value added services, such as voice mail
service, short message service (SMS), group messaging, national and international roaming, call
forwarding, corporate virtual private network, call conferencing, friend and family talk, call
waiting, and call holding services. The company also provides3G; wireless in local loop
(WLL)mobile telephone; Internet; Web-hosting; Web co-location; SMS and bulk SMS; and
broadband services. In addition, it offers managed network services; multi protocol label
switching based virtual private network (VPN) services; integrated services digital network
(ISDN) services; data communication services; intelligent network services consisting of toll free
phone service, universal access number, voice VPN, televoting, and virtual calling cards; and
video, audio, and Web conferencing services. Further, the company provides fleet management
solution comprising track, an on-line tracking system to manage fleet, such as trucks, car
carriers, trailers, tankers, containers, or vehicles carrying hazardous and specialty explosive
chemicals; net services for use in various applications, including electronic mail services,
corporate communications, information retrieval, database services, remote job applications,
credit card verifications, travel reservations, and Internet connectivity; telex/telegraph
services;PABX/EPABX services; and DSPT services, as well as offers VSAT, voice over
Internet protocol, and IN services. Bharat Sanchar Nigam Limited was founded in
2000 and is based in New Delhi, India.
3.2 MARKETING STRATEGY BY AIRTEL

Bharti decided to design different marketing strategies for different circles depending on the
strategies, employed by the competitors. While the company was focusing on its pricing
strategies, its competitors in various sectors were concentrated on new service offerings and
value additions since the players almost immediately matched price reduction moves, companies
had begun focusing on developing value-added offerings and schemes to expand their market
and gain customer loyalty. Analysts remarked that the players were coming up with new
schemes or value-additions almost every week to get the better of their competitors. By
constantly keeping itself abreast with the moves of its competitors and launching various
proactive/reactive schemes, Bharti was able to retain its leadership position. Despite continual
attacks from Vodafone, Reliance, , Idea Cellular and Bsnl, Bharti cellular services received good
high response in all circles during 2005 It was reported that in Mumbai,60-75% of customers
seeking Airtel services were BPL Mobile and Hutch subscribers. In fact, it was becoming
difficult for the company to activate cellular connections in Mumbai swiftly on account of the
high rush in some cases; it took almost three days to activate a connection. Bharti has spent a
considerable amount on advertising its mobile phone service, Airtel. Besides print advertising,
the company had put up large no of hoardings and kiosks in and around Delhi. The objective
behind designing a promotion campaign for the Airtel services is to promote the brand awareness
and to build brand preferences. It is trying to set up a thematic campaign to build stronger brand
equity for Airtel. Since the cellular phone category itself is too restricted, also the fact that a
Cellular phone is a high involvement product, price doesn't qualify as an effective differentiator.
The image of the service provider counts agreat deal. Given the Cell phone category, it is the
network efficiency and the quality of service that becomes important. What now the buyer is
looking at is to get the optimum price- performance package. This also serves as an effective
differentiator Brand awareness is spread through the' campaigns and brand preference through
brand stature. Airtel's campaign in the capital began with a series of 'teaser' hoardings across the
city,' bearing just the company's name and without explaining what Airtel was. In the next phase
the campaign associated Airtel with Cellular only thereafter was the Bharti Cellular connection
brought up. Vans with Airtel logos roamed the city, handing out brochures about the company
and its services to all consumers. About 50,000 direct callers were sent out. When the name was
well entrenched in the Delhi it essmind, the Airtel campaign began to focus on the utility of Cell
phone. In the first four months alone Airtei's advertisement spends exceeded Rs.4 crores. As of
today the awareness level is60% unaided. This implies that if potential or knowledgeable
consumers are asked to name cellular phone service provider that is on the top of his/her
mind60% of them would nameAirtel. As for aided it -is 100% (by giving clues and hints
etc.).Brand strength of a product or the health of a brand is measured by the percentage score of
the brand on the above aided and the unaided tests. The figures show that Airtel is a healthy and
a thriving brand. Every company has a goal, which might comprise a sales target and a game
plan with due regard to its competitor. Airtel 's campaign strategy is designed keeping in mind its
marketing strategy. The tone, tenor and the stance of the visual ads are designed to convey the
image of a market leader in terms of its market share. It tries to portray the image of being a
"first mover every time" and that of a "market leader. The status of the product in terms of its
life cycle has just reached the maturity stage in India. It is still on the rising part of the
product life cycle curve in the maturity stage. The diagram on the left hand side shows the
percentage of the users classified into heavy, medium and low categories. The right hand side
shows the revenue share earned from the three types of users.Airtel, keeping in mind the
importance of the customer retention, values its heavy users the most and constantly indulges in
service innovation. But, since heavy users comprise only 15-20% of the population the other
segment cannot be neglected. The population which has just realized the importance of cellular
phones has to be roped in. It is for this reason that the service provider offers a plethora of
incentives and discounts. Concerts like the "Freedom concert" are being organized by Airtel in
order to promote sales. The media channel is chosen with economy in mind. The target segment
is not very concrete but, there is an attempt to focus on those who can afford. The print
advertisements and hoarding are placed in those strategic areas which most likely to catch the
attention of those who need a cellular phone. The product promise (which might cost different 1
higher) is an important variable in determining the target audience. Besides this, other
promotional strategies that Airtel has adopted are. People who have booked Airtel services have
been treated to exclusive premiers of block buster movies. Airtel has tied up with Lufthansa to
offer customer bonus miles on the German airlines frequent flier's programs. There have been
educational campaigns, image campaigns, pre launch advertisements, launch advertisements,
congratulatory advertisements, promotional advertise-ments, attacking advertisements and
tactical advertisements.

WHAT DOES AIRTEL OFFER?

With Airtel, the subscriber wouldn't just get a personal phone that lets him/her be in touch,
always, but also gets a host of benefits that let him/her manage his/her time like never before. An
Airtel subscriber is provided with a Subscriber Identity Module Card (SIM card) - that is the key
to operating his/her cellular phone. His card activates Airtel cellular services and contains a
complete micro-computer chip with memory to enable one to enjoy one's cellular phone
thoroughly. Each SIM card contains a PIN code (Personal Identity Number) which may be
entered by one. Just plug your SIM card into your cellular phone, enter the PIN code and
it becomes 'your' personal phone'.
PRODUCT LIFE CYCLE

The pattern of cell phone subscriber growth observed elsewhere in the world reveals that the
growth in the market is initially slow followed by a sharp acceleration, but so far that has not
happened in India. As far as the Product Life Cycle is concerned. Indians are at the beginning
of the maturity stage.



INTRODUCTION, GROWTH, MATURITY

Marketing objectives
Create product awareness and trial
Maximize market share
Maximize profits whole defending market share

3.3 PROMOTIONAL STRATEGY
Airtel to Touch Tomorrow with a new brand vision The Bharti Mobile promoted AirTel
cellular service will go in for repositioning of its brand image. The new brand ethos is portrayed
in two distinct fashions - the tag line "Touch Tomorrow", which underscores the leading theme
for the new brand vision, followed by "The Good Life", which underscores a more caring, more
customer centric organization. Aimed at re- engineering its image as just simply a
cellular service provider to an all out information communications services provider, Touch
Tomorrow is meant to embrace the new generation of mobile communication services and the
changing scope of customer needs and aspirations that come along with it The new
communication is about a new dimension in the cellular category that goes beyond the Internet,
SMS, roaming, IVRS, etc but which engulfs the whole gamut of wireless digital broadband
services that will constitute tomorrows cellular services. The new campaign is in two phases - the
first of which will communicate overall brand philosophy and the second products and services.
According to Mr.Jagdish Kini, Chief Operating Officer, Bharti Mobile Limited, Karnataka "We
are adopting a new brand- platform - Touch Tomorrow - not only to reflect our corporate ethos
but also business strategy. The new identity will have the logo in Red, Black and White colors
along with lower case typography to convey warmth.AirTel will incorporate the latest branding
in all of its communication and will soon be going in for an enhanced promotional drive to
establish the brand's presence.
TARGET MARKET SEGMENT

Airtel has targeted the premium and upper middle class. The rationale behind it is that only those
segments should be targeted who value time and have the paying capacity. It is also planning to
target the business tourists during their stay in the capital about60% of the clientele are top
executives of corporate houses. About 15% are foreign organizations and the rest
are professionals and small businessmen. During the introduction stage there was intense
pressure to get consumers across to hook up with their brand, because getting them to switch
brand loyalty later would be hard So far Airtel marketers have been concentrating totally on the
business executive class but now that the basic viable volumes has beer) built up and prices have
declined to a certain extent they are planning to venture further afield.

POSITIONING

The product is sought to be positioned as a business efficiency tool. a lifestyle revolution and a
status symbol The emphasis is to remove misconception that the cell phone is an expensive
means of communication and drive home the point that the cell phone is actually a day-to-day
utility
PRODUCT POLICY AND PLANNING

The product or services the hearts of the marketing mix. Without a product or a service
customers' needs cannot be satisfied. The basic product promise by Airtel is mobility. Airtel's
main marketing strategy is to be a first mover all the time. It has recognized the significance of
making the first move-- because in the field of Communication & Information Technology
changes occur at a tremendous pace. Effective product segmentation has to be carried on
continuously because basic services can beand will be copied and in time become expected
component of the product. Airtel seeks to carry out this segmentation through provision of new
information services and making new facilities available. The product policy and planning
depends on the stage of the product life cycle. At present the cellular phone market has reached
the maturity stage. Since, the premium segment is nearing saturation the company targeting the
upper middle and middle-middle class. In order to Do so Airtel is trying to optimize the price
performance package by offering suitable "product bundling. This involves the selection of the
suitable hardware (handset) and its software (its services.) with reasonable price in order to
deliver maximum price performance to its customers.
In addition, it offers free Airtime services and other concessions to make the prices and thus the
product more attractive. It has also opened a 24 hours customer service. Only price doesn't serve
as an effective differentiator, value added services become the effective differentiator. The
"Value Added Services" provided from Airtel are:-



Voice Mail service
This system is similar to the answering machine - if the user is not able to answer a call for some
reason the caller can leave messages in the voice mail box which can be later retrieved by the
user
Short Message Service

The short message service is like a two-way pager. It gives an option of sending and receiving
text messages directly from one mobile phone to another without the intervention of an operator

Mobile Fax 1 Data Service

This service helps the subscriber to send and receive Faxes, access E-mail, download files from
other systems and remotely log on to another computer and surf the Internet.

Cash Card
The cash card is a pre-paid and pre-activated card which allows the buyers to buy air time in
advance. All it requires is the payment of an initial amount. This is a useful service for people
who travel to Delhi often and those who want to control the expenses on their calls.
Caller ID

Displays calling person's number.

Outgoing call restriction

To prevent or limit outgoing calls, for example, in peak hours. Also possible to exclude one or
several countries or any geographical region, to permit only local calls, or to limit the outgoing
calls to a listed number.
Call forward
Incoming calls can be forwarded to another fixed or mobile phone. Besides these some other
services provided by Airtel are - Call conferencing, Call Broadcast ET cetera.It is in the
operators -Interest that they not only get many subscribers but also get them to use the mobile
facility frequently. In the early stages getting increases to subscribe may be easier than getting
them to talk since they will find it costlier to use the mobile phone as compared to a conventional
phone [if is believed that initially cell phones would be used buy]


Roaming Facility

Roaming facility is available while the subscriber is travelling. The billing is done in the home
network (Delhi). Roaming facility is available manually* as well as semi-automatically. Once a
subscriber is in any other city or country, where a GSM network is available, simply insert the
SIM card of the local operator into your handset and start talking















AIRTEL MONEY

Online banking, ATMs, Debit Card and Credit Cards make our lives easier and tension free. New
technologies are surpassing all other online banking innovations. It is now time to use the power of
your mobile using AirTel Money. AirTel has just started their money transfer service, AirTel Money
which is similar to Online Banking but is more advanced and easier to use. AirTel Money works like
a bank account on your phone. Using this phone account, you can deposit and transfer money (called
loading cash) on to your AirTel money account and use this balance to pay for various products and
services through a simple menu on your phone. Once you recharge your AirTel Money account, you
can send money across all over India to your family and friends. You can also recharge your prepaid
mobile and digital TV, pay utility bills, book movie tickets and pay for your shopping (both at shops
& online). One of the best features of this service is that you can use it even if you dont have any
GPRS subscription because it is a USSD based mobile service and you can access it using any type
of mobile
Types of AirTel Money Accounts:
At present, AirTel offers two types of AirTel Money plans Express and Power account. The
Express account has limited features of AirTel Money wherein you can only use it for basic utilities
like recharging prepaid mobile & digital TV and bill payment for mobile, fixed line, electricity,
water, gas etc. You can also buy railway and flight tickets using the Express account. On the other
hand, the Power account has some extra features and it is a better plan since it gives us shopping and
money transfer features. Using the Express account, you can transfer money to any bank account and
send money to other AirTel users as well.
You can register for an Express account from here. If dont want to register online, you can register
by using USSD (*400#) from any AirTel mobile. To register new or to upgrade to Power account,
you must visit your nearest authorized AirTel money outlet or AirTel relationship center and fill up
the AirTel money application form.
Limitations and Charges:
You can set a maximum balance of 10,000 for Express account and 50,000 for Power account. Most
of the limits are based on your maximum balance. For example, you can spend a maximum of 10,000
in a day if you have an Express account and this limit will increase to 50,000 if you are a user of the
Power account. Charges will apply as shown in the following table:

The minimum amount that can be sent is 10
How to recharge AirTel Money account?
It is very easy to recharge AirTel money. If you have an online banking account then you can use it
to recharge your AirTel Money account any time. Users without an online banking account can
recharge their AirTel Money account from any authorized AirTel Money retail location.
Who can register AirTel Money account?
All Indian residents who are 18 years and above are eligible to open an AirTel Money account. A
single person can have only one AirTel Money account in his name.
Security ?
Security is a very important part of any service as without efficient security, we can lose our money
and other personal information. AirTel Money works on a 4 digit mPIN number. It is similar to your
ATM PIN code. Your money will be safe even if you lose your mobile phone (as long as you have
not disclosed your mPIN number to anybody).











ANALYSIS
Online Payment Gateways and Processing: How successful Airtel
Money will be?
It will be very early to access the success or failure of Airtel Money which is at in it's nascent stages.

Following is my analysis on Airtel Money, or similar services in India.

Pros: Airtel and & Airtel Money (or Any operator) has the following advantages.
Airtel already has a huge Subscriber base and already a Trusted Brand. Which means, it will not
have to struggle to get users. Proof - They enrolled 50,000 subscribers withing 10 days of
launch. Read here: Airtel money enrolls 50,000 subscribers within first 10 days
Mobile Money/Payments essentially requires Telecom Infrastructure - Be is USSD, SMS, 3G or
even Fixed Line etc. Airtel already has all of these.
Airtel has a huge eco-system around it - Distributors, Dealers. Even small shops now sells Airtel
SIM cards or has Recharge capability. Which means, it will not have to create a new network for
Airtel Money.



Cons: Being an Operator also has a few disadvantages.
Airtel Money is a Prepaid Service. Which means, you need to load your account before you
can use it. This is a Hassle. Most Urban Demography would not want this hassle. They
would rather use their Debit/Credit card. Places where it was not possible to use Cards are
now getting included, due to Mobile POS solutions such as Ezetap, MSwipee etc. The Non-
Urban demography anyway has other infrastructure problem such as Lack of banking
infrastructure etc.
It's a Closed Loop (Moving towards Semi Closed loop) system. Today you cannot use it for
much, you can pay bills, load up mobiles or Transfer money to other Airtel Money users. So,
Today there are not many compelling reasons for people to opt for it. Except the Money
transfer mechanism which works for certain Demography. (Read about EKO/-which is
doing wonderfully in this area). Read below about why Airtel Money is Closed Loop in
sections below.
Transaction Limits - Transaction Limits are small currently, which is far far less than a
Card. (this is again due to RBI Regulations)
No Merchants/Few Merchants - This is a Catch 22 situation, There are not enough
merchants so people don't use it and Merchants feel there are not enough users to start
accepting Mobile as mode of payments.

Why is Airtel Money Prepaid and Closed Loop:
This is because, as per RBI regulations, only Banks can Deal with credits in India. Also, Only banks
can hold money, re-invest, provide interest etc.
But if you really see Mobile Money use case, once the money is transferred to another account, the
organization must hold the money until it is withdrawn.
Please refer to the RBI Guidelines on Prepaid Instruments.http://www.rbi.org.in/Scripts/bs...

Comparison to African Market (such as MPesa)
A lot of us tend to Compare Indian Mobile Money concepts to hugely successful service
called MPesa from Safaricom in Kenya. However, in my opinion it's a cardinal mistake.
There are many reasons MPesa was successful in Kenya. Kenya had a very different problem,
they do not have a very strong Banking infrastructure across the country, but they did have
Mobile Service. To sort this Regulators joined hands with Operators. Before trying to deploy
MPesa model in India, following needs to be looked at.

1. Regulations - In Kenya, Safaricom was given full had on this. They Once someone deposits
money, they hold the money, before it gets transferred to someone else. In short, Safaricom
almost acted like a Bank. In India, no organization other than Banks are allowed to Hold money.
2. Education - Kenya is a highly Educated country. Yes, they have more 90% literacy rate
among Youth. Please refer: UNICEF - Kenya - Statistics

Vis-a-vis In India, where Literacy rates still needs Improvements. India's Adult Literacy is around
71%.

Airtel Money, Airtels semi-closed wallet has
witnessed phenomenal growth over the year
Key Performance Indicators (India)
Active subscribers: Stands at 1.3 million as
on Dec 31, 2013
Transaction Volume: 30.5 million during
quarter ended Dec 31, 2013
Average Value per transaction: Rs 406
during quarter ended Dec 31, 2013
Key Performance Indicators (Africa)
Total customer base: Stands at2.7 million as
on Dec 31, 2013
Transaction Value: $ 1,713 million during
quarter ended Dec 31, 2013
Average Value per transaction: $ 23.4 during
quarter ended Dec 31, 2013

COMPARISON BETWEEN VODAFONE M-PAISA &
AIRTEL MONEY
M-Pesa and Airtel Money are both mobile wallets, which can be used to perform various banking
transactions. On signing up (details below), an account is created for you, into which you can deposit
money. You can transfer money either online, from any of your bank accounts, or by depositing money at
an Airtel Money or M-Pesa agent. Theres no shortage of agents. There are over 5,000 Airtel Money
agents in Mumbai alone. However, unless you will be sending money to people who otherwise have no
access to the banking system, youre most likely to find this service useless. Security of mobile payments
Both Airtel Money and M-Pesa claim that at no point is any data stored on your phone. So even if your
phone is stolen, theres no way anyone could steal from the account. To perform any transaction, you
need to feed your password to the system, much like an ATM card. Benefits Given that the service
doesnt offer much beyond net banking, you would at least expect big benefits. But M-Pesa offers no
reward points at all, while Airtel Money has only a few. You can get 10% extra recharge value and 5%
cashback on utility bill payments, but these arent any better than what your credit card already gives you.
Disadvantages of the system Heres what would really make you question why anyone would use this
service, though. For every transaction you make, theres a tariff (see table below). Moreover, the
transaction limits are much lower than what banks allow you. For example, if you have a basic account
with Airtel your transaction limit will be just Rs10,000 per month. Big purchase travel tickets like flights
become unviable with this limit. How to sign up Vodafone M-pesa The service recently rolled out in
Maharashtra and it looks to expand its reach in other parts of India soon. M-pesa has a tie-up with ICICI
bank for its transactions. To sign up, you need to fill a form and submit it to a Vodafone store near you. A
deposit of Rs200 is mandatory initially out of which Rs100 is deducted as activation fees. After this step,
you can use the account for any available transactions. Transaction fees Slabs Send money to m-pesa
customers Withdrawal Send money to bank account Re1 to Rs25 Re1
Re1 Rs26 to Rs50 Rs2
Rs51 to Rs100 Rs4
Rs101 to Rs250 Rs6
Rs251 to Rs500 Rs10
Rs501 to Rs1,000 Rs20
Rs1,001 to Rs2,000 Rs40
Rs2,001 to Rs3,500 Rs60
Rs3,501 to Rs5,000 Rs80
Available in Bihar, Maharashtra, Jharkhand, Rajasthan, Kolkata and West Bengal

Airtel Money
This service is running all across India and also offers you discounts on movie tickets, utility bill
payments, and extra value on recharges and data packs. To sign up for Airtel Money, you can download
the form or fill it up online to get an account. Once you load money into the account, you can start paying
for transactions easily. Account details Express account Power account Super account Allowed
transactions Spends and transfers Spends and transfers Spends, transfers and withdrawals Maximum
balance Rs10,000 Rs50,000 Rs50,000 Maximum cash deposit Rs10,000 per month Rs50,000 per day
Rs10,000 per month and Rs1,00,000 per year Maximum transaction Rs10,000 per month Rs50,000 per
day Rs10,000 per month Transaction fees Mode of payment Transaction fees Airtel bill payments Free
Non-airtel bill payments Rs10 to Rs500 Rs5 Rs501 and above Rs10 Travel ticket bookings 1% of
transaction amount Movie ticket bookings Free Shops and restaurants Free Send money to Airtel Money
customer or bank account Rs0 to Rs50 Free Rs51 to Rs1,000 Rs15 Rs1,001 to Rs3,000 Rs35
Rs3,001 to Rs5,000 Rs50 Withdraw money Rs0 to Rs50 Free Rs51 to Rs1,000 Rs20 Rs1,001 to
Rs3,000 Rs60 Rs3,001 to Rs5,000 Rs100 Available in All India Verdict Vodafone M-Pesa and Airtel
Money accounts dont do away with the need for bank accounts, using which you can already perform the
transactions these mobile wallets allow you to do. To add to this, there are transaction fees. Better terms
and prices are expected in the future.



SWOT ANALYSIS OF AIRTEL
Strengths
Bharti Airtel has more than 65 million customers (July 2008). It is the largest cellular provider
in India, and also supplies broadband and telephone services as well as many other
telecommunications services to both domestic and corporate customers.
Opportunities
The company possesses a customized version of the Google search engine which will enhance
broadband services to customers. The tie-up with Google can only enhance the Airtel brand,
and also provides advertising opportunities in Indian for Google.
Global telecommunications and new technology brands see Airtel as a key strategic player in
the Indian market. The new iPhone will be launched in India via an Airtel distributorship.
Another strategic partnership is held with BlackBerry Wireless Solutions.
Despite being forced to outsource much of its technical operations in the early days, this
allowed Airtel to work from its own blank sheet of paper, and to question industry approaches
and practices for example replacing the Revenue-Per-Customer model with a Revenue-Per-
Minute model which is better suited to India, as the company moved into small and remote
villages and towns.
The company is investing in its operation in 120,000 to 160,000 small villages every year. It
sees that less well-off consumers may only be able to afford a few tens of Rupees per call, and
also so that the business benefits are scalable using its Matchbox strategy.
Bharti Airtel is embarking on another joint venture with Vodafone Essar and Idea Cellular to
create a new independent tower company called Indus Towers. This new business will control
more than 60% of Indias network towers. IPTV is another potential new service that could
underpin the companys long-term strategy.

Threats
Airtel and Vodafone seem to be having an on/off relationship. Vodafone which owned a 5.6%
stake in the Airtel business sold it back to Airtel, and instead invested in its rival Hutchison
Essar. Knowledge and technology previously available to Airtel now moves into the hands of
one of its competitors.
The quickly changing pace of the global telecommunications industry could tempt Airtel to go
along the acquisition trail which may make it vulnerable if the world goes into recession.
Perhaps this was an impact upon the decision not to proceed with talks about the potential
purchase of South Africas MTN in May 2008. This opened the door for talks between
Reliance Communications Anil Ambani and MTN, allowing a competing Inidan industrialist
to invest in the new emerging African telecommunications market.
Bharti Airtel could also be the target for the takeover vision of other global
telecommunications players that wish to move into the Indian market.
Airtel comes to you from Bharti Airtel Limited, Indias largest integrated and the first private
telecom services provider with a footprint in all the 23 telecom circles. Bharti Airtel since its
inception has been at the forefront of technology and has steered the course of the telecom sector in
the country with its world class products and services. The businesses at Bharti Airtel have been
structured into three individual strategic business units (SBUs) Mobile Services, Airtel Telemedia
Services & Enterprise Services

Other stakeholders in Bharti Airtel include Sony-Ericsson, Nokia and Sing Tel, with whom
they hold a strategic alliance. This means that the business has access to knowledge and
technology from other parts of the telecommunications world.
The company has covered the entire Indian nation with its network. This has underpinned its
large and rising customer base.

Weaknesses
An often cited original weakness is that when the business was started by Sunil Bharti Mittal
over 15 years ago, the business has little knowledge and experience of how a cellular
telephone system actually worked. So the start-up business had to outsource to industry
experts in the field.
Until recently Airtel did not own its own towers, which was a particular strength of some of its
competitors such as Hutchison Essar. Towers are important if your company wishes to provide
wide coverage nationally.
The fact that the Airtel has not pulled off a deal with South Africas MTN could signal the
lack of any real emerging market investment opportunity for the business once the Indian
market has become mature.
















Conclusion:

It is still very early stage in Mobile Payments in India. Hence we should not talk about success or
failure of something.
Good thing is RBI is very positive about Mobile Money/Mobile Payments in India, and they are
consistently improving regulations to both protect consumers and help the services to grow.
I feel strongly that, future has good stuffs for us in the Mobile Payments area.




































BIBLIOGRAPHY

WEB SITES-


http://trak.in/tags/business/2007/06/19/indian-telecommunication-story-
From-10-million-to-150-million-mobile-subscribers-in-5-years/

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+2008&aq=o&aqi=&aql=&oq=&gs_rfai=&fp=ab22efe5d2 b8757

http://airtel.in/wps/wcm/connect/about+ bharti+airtel/Bharti+Airtel/About+Bharti+
Airtel/?WCM_Page.ResetAll=TRUE&CACHE=NONE&CONTENTCACHE=NONE&CONNE
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http://airtel.in/wps/wcm/connect/about+ bharti+airtel/Bharti+Airtel/About+Bharti+Airt
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http://www.economywatch.com/world-industries/telecommunications/telecom-industry-
in-india.html

http://www.quora.com/Online-Payment-Gateways-and-Processing/How-successful-
Airtel-Money-will-be

www.investmentbazar.com/airtel-money

https://turingtest2010.wordpress.com/

www.indeed.co.in/cmp/Bharti-Airtel-Ltd/reviews

www.airtel.in/money