2. AIM OF THE PROJECT
To study the Customer satisfaction level regarding the services provided by Tata DoCoMo.
To know the impact of promotional activities on the purchasing behavior of the buyer. To perform a SWOT
analysis of TATA DoCoMo.
To study the unique features and services offered by Tata DoCoMo. To study the various tariffs charged by
Tata DoCoMo.
To study the schemes and services provided by Tata DoCoMo.
To identify the strategies Tata DoCoMo is following to grab the Indian market.
3. OBJECTIVESOF THE PROJECT
The objectives of this study/project as follows:
To identify the strategies OF Tata DoCoMo company that how they Grap the Indian market.
To study the schemes and services provided by Tata DoCoMo.
To study the various tariffs charged by Tata DoCoMo.
To study the unique features and services offered by Tata DoCoMo.
To perform a SWOT analysis of TATA DoCoMo.
To know the impact of promotional activities on the purchasing behavior of the buyer.
To study the Customer satisfaction level regarding the services provided by Tata DoCoMo.
4. LIMITATION
Between Each product will require its own marketing strategy and budget, with no synergy possible products. Successes will not
be directly attributed to the company’s brand.
Any product can negatively affect the overall brand and specific benefits may be muddled in the overall shared value.
Brand cannot survive because of poor strategies.
High cost.
Takes too much time.
The strategies they have adopted may not be good.
Less promotion and Advertising.
Take more time to create a good position in market.
5. INTRODUCTION
Tata Teleservices Limited’s TTSLtelecom service on the GSMplatform arising out of the Tata Groups strategic alliance
with Japanese telecom major NTT DOCOMO in November 2008. Tata Teleservices has received pan-India license to
operate GSM telecom services, under the brand TATADOCOMO and has also been allotted spectrum in 18 telecom
Circles. TTSL and has already rolled out its services in various circles. India is the fastest growing major mobile market
in the world. Building on leading position in the market, TTSL. Aims to capitalize on the growth potential to significantly
increase the subscriber base and market share. The telecom sectoris increasing day-by-day and the competition is getting
more and tougher. Initially Tata service was providing CDMA and after tie-up with DOCOMO they come up in.
6. COMPANY PROFILE
TATA DOCOMO is Tata Teleservices Limited's TTSL telecom service on the GSM platform arising out of the Tata Group's strategic
alliance with Japanese telecom major NTT DOCOMO in November 2008. Tata Teleservices has received a pan-India license to operate GSM
telecom services, under the brand TATA DOCOMO and has also been allotted spectrum in 18 telecom Circles. TTSL and has already rolled
out its services in various circles.
The launch of the TATA DOCOMO brand marks a significant milestone Indian telecom landscape, as it stands to redefine the very
face of telecoms in India. Tokyo-based NTT DOCOMO is one of the world's leading mobile operators-in the Japanese market, the company is
clearly the preferred mobile phone service provider with a 50 percent market share.
NTT DOCOMO has played a major role in the evolution of mobile telecommunications through its development of cutting-edge
technologies and services. Over the years, technologists at DOCOMO have defined industry benchmarks like 3G technologies, as also
products and services like the i-mode TM, mobile payment and a plethora of lifestyle-enhancing applications. Today, while most of the rest
of the industry is only beginning to talk of LTE technology and its possible applications, DOCOMO has already started conducting LTE trials in
physical geographies, not just inside laboratories!
7. DOCOMO is also a global leader in the VAS (Value Added Services) space, both in terms of services and handset designs, particularly
integrating services at the platform stage. The Tata Group-NTT DOCOMO partnership will see offerings such as these being introduced in
the Indian market under the TATA DOCOMO brand.
TATA DOCOMO has also set up a 'Business and Technology Cooperation Committee, comprising of senior personnel from both
companies. The committee is responsible for identification of the key areas where the two companies will work together. DOCOMO, the
world’s leading mobile operator will work closely with Tata Teleservices Limited management and provide know- how on helping the
company develop its GSM business.
Despite being a late entrant, Tata Indicom, TTSL's CDMA brand, has already established its presence and is the fastest-growing pan-
India operator. Incorporated in 1996, Tata Teleservices Limited is the pioneer of the CDMA 1x technology platform in India. Today Tata
Teleservices Limited, along with Tata Teleservices (Maharashtra) Ltd, serves over 37 million customers in more than 320,000 towns and
villages across the country offering a wide range of telephony services including Mobile Services, Wireless Desktop Phones, Public Booth
Telephony and Wire line Services.
9. Tata Teleservices Limited now also has a presence in the GSM space, through its joint venture with NTT DOCOMO of Japan, and
offers differentiated products and services under the TATA DOCOMO brand name. TATA DOCOMO arises out of the Tata Group’s strategic
alliance with Japanese telecom major NTT DOCOMO in November 2008. TATA DOCOMO has received a pan-India license to operate GSM
telecom services and has also been allotted spectrum in 18 telecom Circles. The company has rolled out GSM services in 14 of India’s 22
telecom Circles in a quick span of under six months. The company plans to launch pan-India operations by the end of FY 2009-10.TATA
DOCOMO marks a significant milestone in the Indian telecom landscape, and has already redefined the very face of telecoms in India, being
the first to pioneer the per- second tariff option-part of its ‘Pay for What You Use’ pricing paradigm. Tokyo-based NTT DOCOMO is one of
the world’s leading mobile operators-in the Japanese market, the company is the clear market leader, used by over 50% of the country’s
mobile phone users.
Corporate Philosophy
With the aim of creating a new world of communications culture, we NTT DOCOMO will devote all the skills, know-how and energy
towards the establishment of more "personal communication" with our customers that contribute to their heartfelt satisfaction.
10. A New World of Communications Culture
More personal communication
Reliable access
Real time access
E-communication One-to-one “personal
This gives birth to a new world of communications culture
Freedom to enjoy communications anytime, anywhere with anyone
11. Opening of endless lifestyle horizons
To achieve this
In order to create a world of more innovative and enriched communications, we will improve service quality, aggressively move
forward with the development of various services. We will also research and develop a more advanced user-friendly communications
interface, and at the same time we will provide these services and technologies to an ever expanding area.
Customer Satisfaction:
Communications those are always ready when needed.
Capability to contact whomever, from wherever and whenever the customer desires.
Happiness that comes from heart-to-heart communications.
Bringing customers another step closer to realizing their dreams.
Responding to every customer with consideration, courtesy and thoroughness.
Providing products that give customers easy and convenient access to cutting-edge functionality.
To achieve this
12. First and foremost, we will fulfill expectations of customers by fulfilling our response to their needs through improved service quality,
building original networks, enriching functionality and expanding the service area. In addition, by providing an expanding and ever-
improving selection of services at inexpensive rates, we will deliver satisfaction to a growing diversity of customers.
Making the most of the talents of each individual in our company.
Respect for the individuality and sense of values that are unique to each person.
Enable internal corporate communication to flow free from vertical and horizontal organizational barriers.
Make the most of the ideas of each individual.
Foster a corporate culture that is not restricted by conventional thinking and systems.
Create a creative office environment that supports the fulfillment of the individual.
Fostering an "open" corporate culture that welcomes the ideas and views of the individual.
Evaluate personnel based on their merits.
Build a company that overflows with a challenging spirit.
To achieve this
By improving our system and programs for the enhancement of human resources and unifying our human resource development, we
will empower each individual to exert their skills to the utmost of their capabilities and discover new potential. At the same time, we will
13. strive to create a workplace that motivates individuals through measures such as improvement of the working environment and labor
conditions and enhancement of health and welfare benefits.
VISION
We will leverage our strength in executing complex global scale projects to make leading edge information and communication
services affordable by all individual consumers and business in India. We will offer unparalleled value to create customer delight and
enhance business productivity. We will also generate value for our capabilities beyond Indian borders while enabling millions of India’s
knowledge workers to deliver their services globally.
STATISTICS
Third largest telecom network in the world.
Error! Hyperlink reference not valid.Largest operator in INDIA is BSNL.
INDIA’S mobile market is the fastest growing market in the world.
World’s leading Japan based Telecom Company.
Over the years technologies of DOCOMO has defined industry bench marks like 3G technology.
It is the global leader in value added services.
TATA telecom Incorporated in 1996.
14. Tata Teleservices is the pioneer of the CDMA 1x technology platform in India. Deep involvement in the launch of 3G has inspired us
to create an infrastructure that will allow people and all kinds of objects to communicate a wealth of information. Extended
systems will link the home, the office and any number of other locations to bring greater convenience to all aspects of everyday
life. For the future, it is our aim to incorporate information gathered by all five senses to achieve an array of services far beyond
anything envisaged to date.
NTT DOCOMO is already making rapid progress in such areas through a wide range of innovative research, building expertise and
techniques as we move forward towards exciting new business opportunities.
Innovating dreams
Our goal is to create a broad array of exciting new services. Services that will bring undreamed-of convenience to people
everywhere.
In addition to Audio Barcodes and 3D Display System introduced in this website, cutting edge technologies beyond the imagination
are already under development. These include a system that makes distant objects feel like an extension of the human body for
ultra realistic experiences, and advanced chips that will allow items such as household appliances to communicate. What's more,
we are actively realizing 4G technology such as MIMO (Multiple-Input-Multiple-Output) multiplexing technology and a wireless
access communications system, as well as contributing to the establishment of specifications for global standardization.
Researchers at NTT DOCOMO have a clear vision of the future. A future that will unite all of the above advances and many more, to
create a world where people can communicate at a higher level, regardless of time and space
Telecom industry in India is dominated by major companies like Airtel, Vodafone in GSM services.
15. Competition is very intense due to low differentiation.
India ended March this year with 391.76 million mobile lines and tele density is around 36.98.
Airtel enjoys 33.9%, Idea 11.6% Vodafone 19.6 and Tata CDMA has 7.2% of market share respectively.
PRICE
It having attractive tariff plan: TATA DOCOMO having 1paisa /sec it is applicable for both prepaid and postpaid.
Disruptive Innovation in the Indian Telecom Industry by Tata Docomo
Wikipedia defines disruptive innovation as an innovation that improves a product or service in ways that the market does not
expect, typically by being lower priced or designed for a different set of consumers.
Indian Telecom space was “Disrupted” by Tata Docomo when they came out with a ‘1 paisa per second’ tariff.
We have earlier seen how Reliance India Mobile changed the mobile industry by coming up with the lowest tariff in the
beginning of this decade. The call charges were around Rs 2-3 per minute and because of Reliance this was brought down to around Re 1
per minute.
Tata Docomo was the next one to employ disruptive innovation in the Indian mobile industry. Currently the game is not played on
the price front but Value added services front, which is evident from the advertisements of Airtel (Madhavan and Vidya Balan) and
Vodafone (Zoozoos) in the past.
16. If Aircel is redefining how telecom operators approach value added services and GPRS in India, Tata Docomo is doing its bit to
change billing practices.
The joint venture between Tata Teleservices and Japanese telecom major NTT Docomo officially began rollouts with a plan to
invest $2 billion for its pan-India GSM services.
Customer Satisfaction
The 21 century belongs to the service sector. The customer of yester year was a silent person who uncomplainingly purchased
the goods from the market place. There is a new customer emerging today. Customer satisfaction can be defined as, customer satisfaction
is the feeling derived by the consumer when he compares the actual performance of the product’s with the performance that he expects of
it.
The measurement of the customer satisfaction typically begging when a company realizes that their customer s is the people, who
provide the revenues that, hopeful, will cover expenses. Most companies start by establishing a customer satisfaction baseline. Then they
target year by year improvement.
Understanding customer requirement and delivering superior quality goods and services to achieve composer satisfaction lead to
the retention and growth of the customer.
General Idea about the satisfied customer:
17. Satisfaction is a persona’s feeling of the pleasure or disappointment. It is resulting from comparing a product’s perceived
performance with his or her expectations from it. Satisfaction is more of an emotional concept. Today organization are aiming at high
satisfaction rather than at customer delight because customers who are
just satisfied still find it easy to switch over when a batter offers comes along. Those who are highly satisfied are much less ready to switch
over. High satisfaction or delight creates an emotional bound with the brand and customer starts looking at an offering emotionally and just
rationally.
The aim of marketing is to meet and satisfy target customers needs and wants but knowing customer is never simple. Customer may
state their needs and wants but act otherwise. They may not be in touch with their deeper motivations. They may respond to influential to
change their mind at the last minute. Some of today’s most successful companies are raising expectation and delivering performances to
match. These companies are aiming at TCS- Total customer Satisfaction.
Increasing competition (whether for-profit or nonprofit) is forcing businesses to pay much more attention to satisfying customers.
In a competitive marketplace where businesses compete for customers, customer satisfaction is seen as a key differentiator and
increasingly has become a key element of business strategy.
Customer Loyalty:
These four factors will greatly affect your ability to build a loyal customer base:
18. Products that are highly differentiated from those of the competition.
Higher end products where price is not the primary buying factor.
Products with a high service component.
Multiple products for the same customer.
Loyal Customers and Loyal Workforces
Building customer loyalty will be a lot easier if you have a loyal workforce not at all a given these days. It is especially important to
retain those employees who interact with customers such as sales people, technical support, and customer-service people. Many
companies give a lot of attention to retaining sales people but little to support people.
The increasing trend today is to send customer service and technical support calls into queue for the next available person. This builds
no personal loyalty and probably less loyalty for the firm. Before going this route, be sure this is what your customers prefer.
Instant Feedback:
Recently, many organizations have implemented feedback loops that allow them to capture feedback at the point of experience. For
example, National Express, one of the UK's leading travel companies invites passengers to send text messages whilst riding the bus. This has
19. been shown to be useful as it allows companies to improve their customer service before the customer defects, thus making it far more
likely that the customer will return next time.
Listen to your customers:
Is there anything more exasperating than telling someone what you want or what your problem is and then discovering that that
person hasn’t been paying attention and needs to have it explained again? From a customer’s point of view, I doubt it. Can the sales pitches
and the product babble. Let the customer talk and show them that you are listening by making the appropriate responses, such as suggesting
how to solve the problem.
20. MARKETING STRATEGY
Tata Docomo appears to be banking heavily on its tariff plans the company is offering a 1 second pulse instead of the usual 1 minute
pulse that other telecom operators are offering. This means that consumers are charged on a per second basis, instead of a per minute
basis, and end up saving money on unused seconds. A nifty little application “How much can you really save” on Docomo’s website explains
how this works. Rs. 0.01/second is a marked change from the Re 1/min and Rs. 0.49/min charges that usually applies.
MARKETING MIX
4P’S OF MARKETING MIX:
Product
Price
Place
Promotion.
PRODUCT:
21. TATA DOCOMO having good range of services. Tata Docomo provides both postpaid and prepaid services. Tata Docomo having good
quality network which provides clarity in voice.
PRICE: It having attractive tariff plan: TATA DOCOMO
having 1paisa /sec it is applicable for both prepaid and postpaid.
PLACE: It is having good range of channels of distribution:
As Tata already exist in this field of telecommunications as Tata Indicom. It has wide range of channels of distribution to sell TATA DOCOMO
services.
PROMOTION: Advertising: TATA DOCOMO following different style
of advertising pattern in TV ‘and newspapers. Due to that reason it was reaching public very fast.
23. Tata Docomo appears to be banking heavily on its tariff plans the company offers a 1 second pulse instead of the usual 1 minute
pulse that other telecom operators were offering. This means that consumers are charged on a per second basis, instead of a per minute
basis, and end up saving money on unused seconds. A fifty little application “How much can you really save” on Docomo’s website explains
how this works. Rs. 0.01/second is a marked change from the Re 1/min and Rs. 0.49/min charges that usually apply.
Now while this plan might sound unique, it isn’t that it hasn’t been tried before back in 2004, Tata Indicom had launched 1 second
pulse plans, which going by their current plans, appears to have been shelved.
At present, Tata Docomo has launched voice portals, 24-hour music, cricket commentary and voice chat, apart from offering free Missed
Call Alerts and Voice Mail. Interestingly, voice based services are also being priced with a per-second-pulse: 24 hour music and voice chat
are priced at Rs. 0.02/second. Caller Tune search service ‘Genie’ is also being priced at Rs. 0.02/second. This is a marked change, again, from
the per minute pricing, and can offer consumers cheaper options.
An initiative that has taken the service provider industry by storm
The pay per second model has really paid off well for the latest entrant in the Indian GSM space, Tata-Docomo. The new pricing
strategy from Tata-Docomo has changed the rules of the GSM game, which is dominated by AirTel and Vodafone. Tata-Docomo also
launched its first mobile handset in September 2010.
Mobile pricing innovation – Tata Docomo now charges per website for Mobile Browsing!
24. This is surely a first world over – Tata Docomo have gone ahead and launched an innovative mobile Internet offering which allows
users unlimited usage of their favorite websites on mobile for a fixed cost.
Tata Docomo has been forefront in coming up with various attractive pricing schemes, especially, in the pay-per-use paradigm. They were
first to introduce pay per second billing on calls, which now is followed by every mobile service provider. They followed it with pay-per-
minute and pay-per-call pricing plans as well which has made them one of the fastest growing Mobile companies in India.
The new pay-per-website offering however, takes it to a complete different level and unheard of pricing strategy. This is a
very thoughtful strategy and something which has potential to growth rapidly. Tata Docomo pricing strategy.
Pay per site offer two combination:
Those only interested in single websites need to pay Rs 10 per site
Those with multiple site browsing needs can opt for a combo pack at just Rs 25 per month.
Customers have a bundle of options within various categories of social networking sites (Facebook, Twitter, and Linked In, Orkut),
mail options (Gmail, Yahoo, Rediff) and chat messengers (GTalk, Yahoo! Messenger, Nimbuzz).
Having said this, there is also a caveat – If you thought it was valid for unlimited use…it is not.
Tata Docomo pay per site plan categorizes each service under 2 different genres – Social Networking Site and Emailing & Instant
Messaging. Each site under this genre is priced at Rs. 10/- bundled with 200 MB free data usage valid for 30 days, post which customers will
be charged at 1p/kb. There are also 2 Combo options SNS Combo Pack and Emailing Combo Pack and each Combo Pack is priced at Rs. 25/-
bundled with 500 MB free data usage post which the customers will be charged 1p/kb.
25. We have been quite impressed the way Tata Docomo have gone about their innovative pricing models as well as marketing
strategies.
“Per Character” SMS Pricing
On 8th September 2009, the GSM branch of the Indian carrier Tata introduced a novel pricing strategy for text messaging. Under the
brand “Diet-SMS“, Tata-DOCOMO bills its customers “by-the-character”, rather than on a per message basis.
It is a very attractive marketing scheme, since many wireless subscribers, almost by habit, tend to pepper their text messages with
abbreviations and acronyms.
Under the new plan, Tata-Docomo charges “one paisa per character”. For example, a text which reads “tnx” (for “thank-you”) is
charged at 3paise instead of the normal sms charge.
The Impact
Tata Docomo has gathered significant market share, owing to its pricing strategies.
Existing mobile operators are matching the price and the clear winners are the subscribers since all the competition is sending the
prices downhill.
Tata Docomo pricing strategy.
26. ADVERTISING MEDIA CHANNELS
India Tata Docomo, the youngest among telecom players in India to offer GSM, is Presently banking on its services to garner
visibility and a share in the telecom pie. The launch of Tata Docomo also announced the intention of the brand to associate with the
thought 'do'. Tata Docomo, for the first time in the country, offered pay-per-second billing; though other telecom providers have followed
suit since. The company has carried out a few adverts that highlight the brand's unique features and some other topical advertising during
Ganesh Chaturthi and Diwali. The latest from the GSM provider is the 'Friendship Express' TVC. The ad opens inside train, where everyone is
doing their own thing. A couple of the travelers don't like the solemn mood and start humming the Docomo tune. Slowly and steadily,
others pitch in and soon most of the train is singing along. The ad ends with the super, 'Why walk alone when we can dance
together'.Cutting through the clutter that the Indian telecom landscape finds itself in with customers forced to jostle with confusing and
complicated products, services and tariff plans Tata DOCOMO is ‘Doing the New’ again, with the launch of its new brand campaign, aptly
titled ‘Keep It Simple’. Tata DOCOMO’s unique Keep It Simple Campaign is in a form of a stand-up comedy show with many episodes, which
will be aired during the course of this IPL season. It focuses largely on how Tata DOCOMO simplifies the telecom experience, and hence the
consumer’s life, by providing differentiated products and services. Each individual advertisement starts by illustrating a complexity in the
category, and presents the Tata DOCOMO product and/or service as a means of simplifying things. This campaign is simple, captures the
various moods of Ranbir depicting those of Tata DOCOMO
27. Advertisement strategy
Tata DOCOMO ropes in Ranbir Kapoor as brand ambassador
NEW DELHI: Tata Docomo, the GSM brand of Tata Teleservices (TTSL), today appointed Bollywood star Ranbir Kapoor as its brand
ambassador.
The company has inked a two-year contract with Kapoor and will roll out various televisions, print and outdoor campaigns with the
actor, starting with the upcoming Indian Premier League (IPL) tournament.
"We think Tata Docomo is an inspirational brand and so is the charm and personality of Ranbir Kapoor, so it is a great match. We
will leverage him in various campaigns to build the brand further," TTSL Head Corporate Marketing Gurinder Singh Sandhu told PTI.
Tata DOCOMO will undertake various marketing initiatives with Ranbir Kapoor, including television commercials, print campaigns,
outdoors and retail front displays, he added.
The company will introduce its new campaign during the IPL tournament, which kicks off on April
According to media analysts, Tata Docomo is expected to spend in excess of Rs 50 crore for the 360-degree campaign during the
IPL season.
28. Other telecom operators like Bharti Airtel, Idea Cellularand Reliance Communications have also appointed Bollywood stars as their
brand ambassadors.
While Airtel has worked with Shahrukh Khan, Saif Ali Khan and Kareena Kapoor, Idea Cellular has Abhishek Bachchan as its
ambassador. Reliance Communications has worked with Hrithik Roshan.
Vodafone, on the other hand, has found success with its 'Zoozoos', the egg shaped cartoon characters featured in its ad campaign.
Market Competitors of Tata Docomo:
Airtel
Reliance Communication
BSNL
Idea
Aircel
Vodafone
29. SERVICES & NETWORK AVAILABLE
Currently, Tata Docomo mobile services available in these following circles:
Bihar & Jharkhand
Tamil Nadu
Orissa
Andhra Pradesh
Karnataka
Kerala
Kolkata
Maharashtra & Goa
Madhya Pradesh
Chhattisgarh
30. Haryana
Chennai
Eastern Uttar Pradesh
Western Uttar Pradesh
Punjab
Rajasthan ,Recently Launched Aand Rest of West Bengal, Recently Launched.
31. PLANS
Tata DOCOMO Daily Plans. When every day is different, why have a fixed plan? A brand new
day calls for a brand new plan. Choose from Daily plans on local, STD, Night calling, GPRS &
Music and make your own Daily Plan.
Benefits:
Anytime purchase
Minimal cost
Ease of process
How to subscribe:
Dial *141# and choose from Daily plans on local, STD, Night calling, GPRS & Music.
33. Daily Rental Packs (Rs.2)
All local at 1p/2sec
STD at 3p/4sec
Local Night On-net at 1p/10sec
Local On-net at 1p/6sec
USA/Canada & UK(F) at 3p/sec
Gulf at 11p/sec
All local & National SMS at 1p
Weekly Rental Packs (Rs.10)
All local at 1p/2sec
STD at 3p/4sec
Local Night On-net at 1p/10sec
Local On-net at 1p/6sec
USA/Canada & UK(F) at 3p/sec
Gulf at 11p/sec
All local & National SMS at 1p
Talk More
30 local minutes @ Rs.5 on
Night Talk
Now converse through the night.
34. Tata DOCOMO Network.
30 local minutes @ Rs.12 across
Networks.
30 local/National minutes @ Rs.14
10 Local/National minutes @ Rs.5
60 Free Local Night minutes on
Tata DOCOMO Network.
30 Free local On-net minutes @ Rs.3
20 Free local minutes @ Rs.5
a. GPRS
10MB Free Browsing @ Rs.5 only.
World Calling
10 minutes to USA/Canada @ Rs.20
5 minutes to USA/Canada @ Rs.10
a. Entertainment
15 minutes FREE music @ Rs.5
a. Cricket
Cricket Alerts @ Rs.5/day
35. Terms and Conditions:
Daily implies active till 12 midnight on the same day of pack activation. Ex: A subscriber activated the pack on 25th Feb'10 then the pack with
daily validity will expire at midnight of 25th Feburary'10#.
In case on night packs the expiry of the pack will be 7 am of the next day of activation of the pack. Ex: A subscriber activated the night pack
on 25th Feb'10 then the pack with daily validity will expire at 7 am of 26th Feburary'10#.
The pack will get activated maximum within 2 hrs of request receipt on the system. You will get an automated confirmation SMS once the
same is configured on our systems.
You can activate multiple packs in a day.
Competitor Analysis
The competition has intensified the past few months with new players and schemes coming in. There has never been a better time
for the customer to get a mobile phone connection
There are at least six if not more operators to choose from in ever circle. In June 09, TATA DOCOMO broke the old system of tariff
by introducing per second billing system. As soon as they did this, the other followed suit with price cuts everywhere. Suddenly the idea of
calls being free was not so outrageous. The prices were reduced to such an extent that the viability of the business was in questions. The
competitive environment of TATA DOCOMO can be looked at from the following perspectives
Market share
36. The government issued fresh licenses in 2008.As a result of this the market gets crowded though incumbents‟ still hold larger
market shares are shown above. However a point to note is that the new players have lower entry costs with very deep pockets. They also
37. have no legacy issues like the older players and hence are more adept to changes market situations. The cost of infrastructure has reduced
dramatically due to the market growth and DOCOMO had an advantage here.
MARKET CAPITALISATION:
As profits margins are becoming thin, the market capitalization of listed telecom companies has fallen. Though there have been some
signs of recovery
38. Airtel vs Tata Docomo
The equal competitors are coming up with their new tariffs, plans, special packs and their varying services to prove themselves to be much
competitive and trying to anchor them firmly in this mobile sector.
Currently the Tata Docomo came up with its services with an all new tariff scheme of pay per second which has brought out a massive
revolution in the market.
On 30th Oct the leading mobile service provider Bharti Airtel launched their much awaited “Pay per Second” tariff all throughout India. The
tariff comparison with Airtel and TATA Docomo is as follows,
Airtel with its inception on 2001 renders number of customers but their tariff, call rates to different network makes confusion and remains
unstable. But Docomo’s 1p/sec throughout India makes consumers to keep track of their account and controls expenses.
Airtel has kept different SMS charges even in their Pay Per Second plan with local sms being charged at Re.1 and National sms at Rs.1.50,
whereas Docomo introduced SMS charges based on the number of characters. No recharges are needed to opt for per second calling after
one year.
Package activation of Airtel ranges from Rs.64 to Rs.99 and varies from circle to circle. Docomo’s does not charge anything extra for
activating the per second pack since the tariff plan by default is on per second basis.
The Airtel tariff calculation is hard ranging from 1p/sec to 1.2p/sec , but 20% higher to other operators whereas A2A calls are kept at 1p/sec
and that to other operators are charged at 1.2p/sec. But Tata Docomo is offering a limited period offer of STD calls at 1p/sec.
But Airtel is older than Docomo so it has compact network links than Docomo , so this is the place where Docomo has to establish itself.
39. Meanwhile it is found that Docomo with both GSM and CDMA network added over ‘4 million’ subscribers in September, beating
market leader Bharti Airtel yet again. Airtel had 2.5 million new users in September.
The battle has just begun as new operators are still to join the war. Do have your say what you edict is going to be ?
40. SWOT ANALYSIS
STRENGTH
WEAKNESS
OPPORTUNITIES
THREATS
STRENGTHS:
First to introduce seconds’ tariff plan (seconds pulse)
Good brand image of Tata services
Having large variety of plans
Plans are affordable by any common person.
41. WEAKNESS:
Signal strength.
Postpaid connections are not available as of now.
Customer services are not satisfactory.
Concentrating only on rural areas.
OPPORTUNITIES:
Have a great opportunity to expand its services.
To introduce any new plans for internet users.
Introduce 3G compatible services.
To introduce new combined plans like, SMS, Internet, Calling integrated offers.
THREATS:
If signal strength is not increased it may lead to change in the network service by the customers.
42. Tata has to clarify whether this 1ps/sec will continue till its lifecycle.
Heavy competition from all other network providers.
43. INTERNAL ENVIRONMENTAL ANALYSIS OF TATA DOCOMO
Brand Image of Tata and Docomo
This is another important factor which proves as a major strong point for Tata Docomo. Tata DOCOMO is Tata Teleservices Limited's (TTSL)
telecom service on the GSM platform-arising out of the Tata Group's strategic alliance with Japanese telecom major NTT DOCOMO in
November 2008. Both of these are Big brand names in their respective countries; viz. Tata in India and NTT Docomo in Japan. Tokyo-based NTT
DOCOMO is one of the world's leading mobile operators-in the Japanese market, the company is clearly the preferred mobile phone service
provider in Japan with a 50 per cent market share. Variety of plans on offer Tata Docomo focuses not only on the price but also makes sure
that the variety of services offered is not compromised. There are a number of tariff plans for post pay customers as well as for prepay
customers.
WEAKNESSES OF TATA DOCOMO
One major weakness of this organization would be the lack of adequate infrastructure to service the subscribers that it may initially achieve
owing to the low prices. The key issue would be network coverage, where the customers would prefer that a call go through, or not be
disconnected, than save Rs. 0.5-Re.1 on a call. At the same time, since operators have so far been focused on the “land-grab”...
MORALE OF EMPLOYEES IN AN ORGANISATION
Good Morale
Morale is a way of describing how people feel about their jobs, employers and companies, and those feelings are tied to the behaviors and
attitudes that employees exhibit in the workplace. When employees have good morale, they feel committed to their employers, loyal to their
jobs and motivated to be productive. They work harder, produce more, meet deadlines and give it their all.
Low Morale
According to BNET, a website that offers business management advice, low morale takes a toll on employee performance and productivity.
Employees become less motivated to work, less committed to their employers, exhibit an attitude of indifference and are absent more often.
Companies pay the consequences of low morale, as less work gets done and time and money are wasted. Such characteristics may not always
indicate low morale. Be sure that you don't misdiagnose employees as having low morale when they may just be having a bad day. Low morale
is indicated by a pattern of these behaviors and attitudes over time.
44. MANAGEMENT SYSTEM OF TATA DOCOMO
The goal of the Management System and Organisation Optimisation is to introduce a new organisation and management system at the level of
a selected company or a group of companies (holding), as the case may be. The solution's standard subject matter is the conceptual
preparation of the client's new organization and the implementation thereof, which is broken down into detailed organisational and functional
patterns including job structure and category. Other steps include a preparation of the company's (holding) management rules, setting the
basic functions, competencies, powers and responsibilities for individual management levels of a company (holding), and the preparation of a
company's (holding) basic internal policies.
ORGANISATIONAL CULTURE OF TATA DOCOMO
In TATA DOCOMO the organizational culture is the workplace environment formulated from the interaction of the employees in the
workplace. Organizational culture is defined by all of the life experiences, strengths, weaknesses, education, upbringing, and so forth of the
employees. While executive leaders play a large role in defining organizational culture by their actions and leadership, all employees
contribute to the organizational culture.
EXTERNAL ENVIRONMENTAL ANALYSIS-
Political-
• Not favourable in terms of Recent spectrum allocation {2G-scam}.
• Political lobbying is prevalent and many companies are taking advantage of it. It has become ubiquotious and creates lots of hassels
for the firms.
• Due to 2G Scam therre will be tighter control and auditing system.
• Also UPA will bring some new changes as the social pressure is so high{Anna hazare movemenet}.Some new guidelines are coming up.
• TATA may get truly benefitted by their inherent policy of no form of corruption.TATA Docomo should be ready for a patient game so
that this political uncertainity gets settled.
45. • ECONOMICAL-
• Teledensity has improved from under 4% in March 2001 to 53% by the end of March 2010.Cellular telephony has emerged as the
fastest moving business segment.
• Due to high growth rate,hgher teledensity and sustainable domestic demand cellular telephony will surely reamain in the pink of health
in India.
• Unexplored rural market. Usage may be low but volume can be high.
• Due to immense competition and lowest call rates in the world there are wafer thin margins as well.
SOCIAL-
• Youth population is increasing, adoption to new technologies has become daily routine, more litracy rate and more purchasing power
of Domestic consumers makes this industry more than attractive.
• Youth will control the economy within next 10 years and companies need to meet their ever changing and newest deamands.
• Plans and tariffs need to be updated according to current demand and social habbits.
• Devolopment of new apps and cool value added services are in demand.
TECHNOLOGY-
• Tata Docomo is enjoying the distinct advantage of the backing up of NTT Docomo which proven innovative technology.It is first in Inidia
to roll out 3G services in India resulted a growth of 30%-40% in VAS and also planning to bring in 3G enabled mobile phones at an affordable
price.
• It should try to capitalize the capabilities of Wimax technologies,a high speed data connection,which is supposed to have 12 million
subscribers by 2012.
• As 3G technologies has made in roads in India there is a growing emphasis on speed and coverage.
• ENVIRONMENTAL-
• People have growing concern about the kind of damage cellular wave do to the brain and other parts of the body.
• TATA Docomo should be the first to acknowledge the concern of the people by innovating ways that that can make the waves less
harmfull.
46. •
• LEGAL-
• Recently due to alligations and speculations surrounding the 2G Spectrum sale many service providers are in legal doldrums and have
to face wrath of CBI and judiciary.
• Whereas TATA Docomo has benefitted from his fare policies,it should par its back for this and march on with the progress it has seen
with full vigour,
STP ANALYSIS-
58. The availability of recharge voucher should be made available when required by the customers. As this give the good impression about the
company.
The network coverage is another asset for the company’s image, which needs to be preserved in future.
The overall image of the customer care services was found to be good but with some loopholes related to delays in problem solving.
The company should be more prompt in handling the queries and problem of the customer, which is vary essential for the prepaid card so
as to retain the customers with the company in future.
The customer care executives should be more efficient in handling the customer and also more friendly and polite their conversation, while
dealing with the customer.
After sales service is required to be maintained properly, which is not up to the mark
Call rates is affordable so it should be maintained at this level.
Many people are using mobile, but majority of them are not aware of the technology they are using. Many tines it happens that a person
doesn’t know which technology satisfied his need. Hence awareness should be created among them regarding advantages and differences
in the technology.
59. Supplementary facilities like call wait, call forward, call hold, call divert, call conference should be made more effective to attract customers.
60. CONCLUSION
After analysis and interpretation of the data it can be concluded that Tata Docomo is providing a broad range of various schemes
ranging from international calling to hello tunes. This is the critical factor to attract various customers. Wide range of schemes is also
leading to increase in number of customers with rapid pace for Tata Docomo.
Tariff charges introduced by the Tata Docomo are found to be cheaper than other services. Tata Docomo has emerged as a giant
killer due to their tariff plans and heading towards the position of dominator.
Tata Docomo is providing some unique features and services like pay per second, SMS per character, pay per site plans that are
making them being different from their competitors.
Awareness of the Tata Docomo is spreading widely among people due to their promotional activities. Buyers are now insisting for
cheaper plans or threatening to opt out.
Majority of the customers are satisfied with the services of the Tata Docomo and they are not ready to switch on to other service
providers.