“Poor firms ignore their competitors; average firms copy their competitors; winning

firms lead their competitors.” – Dr. Philip Kotler

Today, competition is not only rife but growing more intense every year. Hance, only
understanding customers is not enough. Companies must start paying keen attention to
their competitors. Successful companies design and operate systems for gathering
continuous intelligence about competitors.

Today in the telecom sector there is a cut-throat competition. Every service provider
want to become number one and everyone are playing different game plan for occupy
market share & acquired customers. Though the service providers services are more or
less common but there technology is different, there marketing strategy is different &
customer post services are also different. Reliance have the strength that they can offer all
the services like voice, data, video & other value added services under one umbrella.
The closest competitor of Reliance is BSNL, VSNL, Tata Indicomm & Airtel.

In the research program I have arranged for collect data , particularly for the analysis of
competitive position of Reliance Communication with the help of field sales associates &
through survey.. For that , I have prepared a questionnaire which is attached in the
Annexure. Now we shall consider those data and analyze one by one to get the real
competitive market scenario at the moment. I have visited around 60 appartments & 75
small scale, medium scale industries & offices to know there telecom setup, there
required services, number of phone connections, average bill, there expectation & future
requirements, there life styles etc.

Now the area is restricted to PCMT & some parts of Pune. On survey of these area I
found the following data which I get through interview with sales people & customers.
Percentage of customers using landline phone

using 75%

Not using 25%

not using landline

25%

using landline
75%

Interpretation

From the above graph it can be interpreted that potential of landline customers are much
more as compared to cellular. The reason for this is landline phones are much cost
effective & there services are better in terms of clarity of voice, durability and
connectivity. BSNL still the dominant player is losing its share day by day because still it
lacks in provide value proposition to customer. However in the landline sector both wire
line & wireless are offered by Reliance.
 31

Largest Landline player (Both Wireless & Wireline)

BSNL Reliance Tata Group

Communication

72% 19% 9%

Tata Group
9%

Reliance
19%

BSNL
72%

Year Ending 2004

BSNL Reliance Tata Group
Communication

55% 29% 16%

Tata Group
16%

BSNL
Reliance 55%
29%

Year Ending 2006

Interpretation
It’s clearly reflects that Reliance is occupying the market share day by day
where the prominent player BSNL is loosing it’s shares. The reason for this
is the addition of value added services by Reliance with the basic phone.
Since how many times you are using Reliance Phone?

Less than six More than More than a More than More than
month six month year but less two years but three years
but less than than two less than
(<6m) year years three years (>3y)
(6m-1y) (1y-2y) (2y-3y)

49% 26% 16% 7% 2%

1y-2y
18%
6m-1y 2y-3y
29% 8%
>3y
3%

<6 m
42%

Interpretation

The data reveals that in the research area most of the Customers are using reliance phone
recently because the constant value addition is enhancing customer satisfaction by
delivering better services in a cost effective manner.
 33

The comparative demand of Reliance in term of different

services

Fixed line FLP Broad net Mobile

Phones Wireless Services phones
Wire line

25% 19% 15% 41%

Broad Net
FLP Wireless 15%
19%

Mobile
FLP Wireline
41%
25%

Interpretation

This data shows that all the services of Reliance have a balance demand and the Broad
Net services increasingly became demanding day by day.
 34

Key Players for ISP (Internet Service Provider)

BSNL TATA Reliance Sify
Group

35% 25% 32% 8%

TATA
25%

BSNL Reliance
35%
35 32%

Sify
8%
Sales growth of Reliance Communication.
The percentage of area where the sales of 75%
Reliance services are increasing

The percentage of area where the sales of 8%

Reliance services are decreasing

The percentage of area where the sales of 17%

Reliance services are constant

Constant
14%

Decreasing
Increasing 8%
78%

Interpretation

This is the chart showing services are more popular in corporates and residents.
Analysis Of the Profitable Services

Basic Phone Both Phone Mobile Broad band

& (Only
Internet internet)

35% 15% 32% 18%

Both Phone &

Internet
15%
Mobile
32%

Basic Phone
35%
Internet
18%

Interpretation
This reflects the most profitable services of Reliance and it focuses the company to invest
more recourses in the profitable area.