Arshi Fahim, Project PPT

8/8/2019 Arshi Fahim, Project PPT

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A Studyon

Understanding the BASE and its Health Check

Prepared forReliance Communications Ltd., Patna

Under the Esteemed guidance: Mr. Ranjan Kr. Singh

Prepared By:

Arshi FahimMBA ( 2009-11)

Reg. No. 200923008

Sikkim Manipal Institute of Technology


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INDIAS LEADING INTEGRATED TELECOM COMPANY

Reliance Communication is the flagship company of the Anil DhirubhaiAmbani Group (ADAG) of companies. Listed on the National StockExchange and the Bombay Stock Exchange.

Reliance Communication began its operations in 1999 and has over 100million subscribers today. It offers a complete range of integrated telecomservices. These include mobile and fixed line telephony; broadband, nationaland international long distance services, data services and a wide range of valueadded services and applications aimed at enhancing the productivity of

enterprises and individuals.


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Products & Services of Reliance Communications are

Prepaid Mobile

Postpaid Mobile Handsets

Blackberry

R World

Internet

Home-Phone Global Calling

Data Card

DTH

Where my project revolves around Pre Paid Mobiles both CDMA mobile & GSMConnection.

CDMA (Code division multiple access) is a channel access method utilized by various radiocommunication technologies

GSM (Global System for Mobile Communications) is the most popular standar for mobile

telephony systems in the world.


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About the project:

The project revolves around Reliance Communications where I have tried toexplore ,

The reason behind customer acquisition and churning.

The key factors over which the company should have a strong hold to

survive in a long-term. And recommend the valuable suggestions which if followed will result in

customer satisfaction , retention and addition to companys revenue

The study was confined geographically to Bihar & Jharkhand.

The data source was collected from the company office at Patna.

A special task to promote their different products as per customer usagepattern, trend and choice has been done simultaneously.

A set of questionnaire was prepared & scrutinized before going for tele-calling and market analysis.


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Research Design and Methodology

The collection of data has been gathered through both primary and secondary source .

Method of selecting items to be observed is through MDNs taken randomly from bothBihar and Jharkhand targeting our High ARPU or AON, customers whichever is relevantfor the research work as per the activity.

Some relevant methods of collecting Primary Data are:

Telephonic Interview Method

Through Questionnaire, etc.

Method of collecting Secondary data are :

Internet

Magazines and newspaper

Report produced by research scholar


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Sampling Design

Size of the Universe:Targeting corporate clients, individual clients, students, young professionals,

housewives, and retailers. the sample of 1177 MDNs were taken geographically

both from Bihar and Jharkhand.

Reasons for selecting samples:

I was assigned 1177 MDNs depending upon ,

High ARPU customers

Customers whose usage per month was declining continuously

customers whose AON is more than 2 years or

Customers who did not renewed the plan etc.


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Sampling Technique:

Structured Questionnaire:

For statistical analysis of the responses I have used series of

Open ended questions

Multiple choice questions etc.

Personal In-depth Telephonic Interview

This helped in the qualitative research, which helped in understanding ourcustomer usage patterns and demands in a better way.

Probing and Prompting:In order to get full information related to the project, frequently probing andprompting was done during the interview process.


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Research Tools:-Research tools are the various physical aids by which researcher carried outresearch. The research tool used in this project for primary data collection was

through Telephonic Interview,

Questionnaire,

Observation method.

Schedule:-

A schedule is a set of questions which were asked to the customers and the answerwas written down on the spot. customers are expected to answer the questionscorrectly and honestly.

Secondary data has been gathered from Magazines,

Report produced by research scholar

Internet.

Reference period of the study: 60 days i.e. from 1st

June 2010 to 30th

July 2010.


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Analysis and FindingsREPORT 01

Q. What all problems did you face while Using the GSM & CDMA NIGHTPACK @ Rs. 29/- Or GSM & CDMA NIGHT PACK @ Rs. 59/-

Network problem

Lack of proper awareness More Usage during Peak Hours

Need Packs to call on other NETWORK

VAS Issues

Other Reasons


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GSM & CDMA NIGHT PACK @ Rs. 29/- Or GSM & CDMA NIGHTPACK @ Rs. 59/-

GSM Night

Pack @ Rs.29/-

GSM Night

Pack @Rs. 59/-

CDMA

Night Pack@ Rs. 29

CDMA

Night

Pack @

Rs. 59

NETWORK PROBLEM 50% 33% 56% 0%

LACK OF PROPER AWARENESS 6% 11% 13% 36%

MORE USAGE DURING PEAK

HOURS25% 22% 20% 0%

USING OTHER OFFERS OF

RELIANCE0% 11% 20% 27%

NEED PACKS TO CALL ON OTHER

NETWORKS

13% 0% 0% 18%

OTHER REASONS 6% 0% 13% 18%

VAS ISSUES 0% 22% 0% 0%


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GSM & CDMA NIGHT PACK @ Rs. 29/- & Rs. 59/-Graphical representation


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REPORT 02

Q. What all problems did you face while Using the CDMA Mobile services? YourARPU has declined drastically, what are the reasons for the same?

Network problem

Roaming Problem Using other Network

Using other plans of RELIANCE

VAS Issues

Other Reasons


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(CDMA- RELIANCE cluster : Patna -1, Patna-2, Begusarai,Muzzafarpur, Bhagalpur )

REMARKS Total (%age) Total

Netwok Problem 22% 22

Not Responding 17% 17

Out of Station 2% 2

recharge as per USAGE 12% 12

Switched Off 24% 24

using other network as well 11% 11

Using other Reliance plans 3% 3

VAS Issues 8% 8

GrandTotal 100% 99


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(CDMA- RELIANCE cluster : Patna -1, Patna-2, Begusarai, Muzzafarpur,Bhagalpur )


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(CDMA- RELIANCE cluster : Dhanbad, Ranchi -1, Ranchi-2 )

REMARKS DHANBAD RANCHI 1 RANCHI 2Grand

Total %age

No more useful 1 1 2%

INTERNATIONAL call user 1 1 2%

Network Problem 6 3 7 16 27%

Not Reachable 1 1 2 4 7%

Not Responding 1 2 2 5 8%

Recharge as per USAGE 6 1 3 10 17%

Switched off 5 8 4 17 29%

Using 1paise/Sec plan 1 1 2%

Using 299/- plan 1 1 2%

Using other network 1 1 2%

VAS Issues 1 1 2%

Was busy did not respond 1 1 2%

Grand Total 20 19 20 59 100%


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(CDMA- RELIANCE cluster : Dhanbad, Ranchi -1, Ranchi-2 )


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REPORT 03

Q. What all problems did you face while Using the CDMA Reliance Network?

Network problem

VAS Issues

Out of station Other Reasons


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CDMA, AON > = 4 years Customers - MAY (recharge = Rs. 0/-)Report

Reasons Total ( %) Total

Network Error 2% 3

Not Reachable 21% 35

Not Responding 2% 3

Out of Station 5% 9

Switched Off 69% 114

VAS Issues 1% 2

GrandTotal 100% 166


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CDMA, AON > = 4 years Customers - MAY (recharge = Rs. 0/-)


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REPORT 04

Q. Are you satisfied with the simply unlimited 599/- plan ? What is the reasonbehind delay in recharging ?

Network problem

Time factor

Using other Plans of reliance Recharge problem

VAS Issues

Other Reasons


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Exp_19th_June_Rs. 599/- unlimited plan (BIHAR)

REASON Total (%) Total

No more Useful 3% 4

Not Reachable 8% 10

Not Responding 14% 18

out of station 2% 3

Renewed the plan 27% 35

Switched Off 15% 20

Using other plans of Reliance 11% 15

was busy, wil get it renewed 20% 27

GrandTotal 100% 132


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REPORT 05

Q. What all problems did you face while Using the GSM Reliance Network?

Network problem

Roaming problem VAS Issues

Out of station

Other Reasons


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GSM Customers AOL >= 4 yrs, MAY usage NONE

REMARKS Total (%) Total

Network Problem 8% 21

Not Reachable 4% 12

Out of station 22% 60

Regularly recharging 3% 8

Route is Busy 3% 7

Switched Off 56% 149

VAS issues 4% 10

Grand Total 100% 267


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Report 06

Q.7) Please give any valuable suggestions which you think Reliance should provideor should look into

Remarks 1: Remarks 2:

Remarks 3:


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Remarks:REMARKS Total Total

3G facility 0% 1

Communicate the offers clearly 2% 7

Customer care should solve the problem and give correct information 3% 9Dont charge money when call drops 3% 8

Give full talk time at lower rate too 0% 1

Help the service with blackberry 0% 1

It should work on Roaming 4% 13

Launch some ISD sms pack 1% 4

Make some no free to talk to 1% 4

More talktime should be given 10% 30Network Problem 18% 55

Promotional SMS should be immediately stopped 4% 13

Promotional talktime should be given on


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Some Major Remarks:


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SWOT ANALYSISRELIANCE COMMUNICATION LIMITED

Strength

Low Tariff

Data GPRS

Dual Technology

Network Coverage

Connectivity

DTH

Home-Phone

Weakness

Branding Image Distribution problem

Lack of Competitive Strength

Limited Budget

Network Connectivity

Opportunity

Preference of GSM over CDMA Rural Telephony

Competitors

Threat

New Entrants

IT threat in terms of Increasing Internet Development

Market Demand


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CONCLUSION & RECOMMENDATION

The data shows that we have to work on the major problems / issues (the real

cause) of customer churning out from our product, though they were not sounhappy using the plan but neither were they satisfied.

So to begin with we cannot neglect RELCOM high end users because to neglectthem and their needs would make a change in companys revenue, either due to

Roaming problem, Not Reachable, Network problem or due to VAS issues sothat consequently, some major action or rather precaution could be taken on timein such a competitive situation.

Moreover if the company wants to do something in this regard then it could

lower the roaming charges so that customer doesnt need to change the SIM whileon roaming.

The special product of Reliance Communication Simply Unlimited at Rs. 599/-,which is available for CDMA customers only should be made available to GSM

users also in order to compete against all survivors.


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Cont

Time factor i.e. Customer busy schedule because of which they could not takethe plan on time is also a major reason for delay in recharge or renewal of theplan. What I suggest is there should be some handy ways of recharging optionssay through your mobile phones or through customer care just by giving theirdetails of the card no. or themselves through internet. This way people will be

happy continuing the plan.

Other deduction which I could find is most of the users had either switched offtheir cell phones or are not reachable. The obvious reasons could be , that theyare on roaming and due to bad network they are not able to connect. More so it

could be because of other telecom competitors who must be providing betterservices than offered by Reliance.


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Cont Thus, I came to conclude that before launching any new product we should work

on the existing ones Acquiring new customer is not a difficult task but retainingold ones are a real challenge in this competitive situation. To do so our priorityshould be to look after the grievances which our customers are facing. Since theyare paying for what they are using, thus company should also keep in mind tocharged them for what they are using.

Moreover VAS related issues have simply destroyed the image of reliance so it

should be taken care of. Proper training should be given to the Customer Caredepartment so that they can solve various problems. Simply Unlimited STD planduring daytime is a major demand of customers, though Reliance is providing itto their CDMA customers so it will be a very good opportunity if we launch itfirst in the market for our GSM customers too.

In addition to this, we should keep on taking monthly feedback from our retailers,as the retailers are at the frontend of the value chain, they could be the repositoryfor ideas that help us identify as well as fill the existing demand. So a monthlyidea generation campaign should be initiated in every district with participation ofthe retailers.


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RECOMMENDATIONS:

Proposal for Customer retention.

Falling revenues, tightening margins, changing regulations, technologicalchanges: the obvious connect is Indian Telecom Industry. So, is the future darkand gloomy for the mobile service providers? Well not exactly. With MNP(mobile number portability) round the corner, the quality service providers dohave an edge with the empowered customer now having more choices. Add tothat with the spectrum for next generation mobile technology 3G going underthe hammer early next, the falling could have a solution. And if you could catchthe long tail i.e. the vast untapped rural sector, you might hit the jackpot

According to the extensive customer survey and interactions with the retailers,these are my recommendations for creating value as well as differentiation.


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Service: A well informed customer is a happy customer: The value added serviceprovided by Reliance Communication can be subscribed with just one press of akey. But rather than fast subscription, aim should be to educate the customerproperly about our services so that we have loyal subscribers rather than a dupedone. This will also lead to proper utilization of the basket of services beingprovided right now

Free first five seconds plan: If the call disconnects before 5 seconds, dont chargethe customer. More often than not, a faulty network is characterized by call drop

in the initial few seconds itself. Paying for such a call is a major source ofdissatisfaction. This step will show that we dont want the customer to pay fornetwork discrepancies.

Recharge on the move: There could be a tie-up with Indian Railways so that

recharge coupons could be sold by vendors at railway stations as well as onrunning trains

Reliance Net Connect: This will go a long way in exploiting a vastly untappedmarket. This service will help Reliance graduate from being service provider to a

solution provider.


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Cont Reminder linked free SMS: We could ask our customers to register the birthdays as

well as anniversaries of their near and dear ones and send them personalised freeSMS for those days. This will help in building long-term relationships.

Usage based free talktimes: To celebrate our long term relationship with high valuecustomers, plan such as free 100 min talktime for next six months who are more than6 months old and monthly usage above Rs 1000.

The next speaker of India: A programme, The next speaker of India could belaunched at the school level in where school kids parents have to buy a Rs 50 cardand dial a number through a Reliance connection and record a 3 min speech by thekids. The best speaker wins the prize. We could test it at the district level.

Idea generation scheme for retailers: As the retailers are at the frontend of the valuechain, they could be the repository for ideas that help us identify as well as fill theexisting demand. So a monthly idea generation campaign should be initiated in everydistrict with participation of the retailers.


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Cont

Catching the long tail:

Regional Tastes: Tie up with regional movie makers for wallpapers, ringtones etcof the new releases Kisaan cards: Launching Kisaan cards of suitabledenominations say Rs 500 with free alerts related to mandi rates, weatherconditions, agriculture related news.

Exam related alerts: A student say an MBA aspirant could register him or her forexam or forms related alerts. This will help tap a customer who is formative aswell as mature and above all large in number.


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Bibliography

WEBSITES:

www.RelianceADAgroup.com

www.google.com

www.wikipedia.com

BOOKS:

Marketing management by Philip Kotler

Research Methodology by C. R. Kothari


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Thank You

Documents

Arshi Fahim, Project PPT