Marketing Strategies of Telecom Sector

3183 Words Oct 28th, 2010 13 Pages
Executive summary:
We are in the era of entertainment through mobile handsets. Downloading a ring tone, watching your favourite movies of tracking cricket score, sending messages, doing internet and chating the list of activity that you can do using your cell phone is endless. To supplement stagnant voice revenues cellular operator are now turning to VAS to boost revenues in both data and value added voice service. Airtel, Vodafone and Idea have deep rooted presence in the Indian telecom sector through their wide product offerings and excellent distribution networks. The real aim of this project is to study the effectiveness and responses towards marketing strategies adopted by Airtel, Vodafone and Idea. But many sub objectives are
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TRAI has endeavoured to encourage greater corporation in the telecom sector together with better quality and affordable prices.
OPPORTUNITIES
India is the fourth largest telecom market in Asia after china, japan and South Korea. The Indian telecom network is the seventh largest in the world and the second largest among emerging economies. The industry has witnessed an explosive growth in recent years. “Teledensity has more than doubled from 2.3% in 1999 to 4.8% in 2002 and to 21.85% in 2007.” However, the world average is almost 7.5 times and the Asian average 4.5 times the Indian average. The Indian telecom market size of over US $ 8 billion is expected to increase three fold by 2012.
The expansion of the telecom industry in India has been fuelled by massive growth in mobile phone users, which has reached a level of ten million users in December 2002, and increase of nearly 100% in 2002. This exponential growth of mobile telephony can be attributed to the introduction of digital cellular technology and decrease in tariffs due to competitive pressures.
For the first time in India, the growth of cellular subscriber base has exceeded the fixed line subscriber base. However, cellular penetration is still 1% as compared to world average of around 16%. However, the world average is almost 4 times the Indian average penetration rate. With the introduction of Wireless in Local Loop (WLL) technology,
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