A Project on Customer Satisfaction (1)

8/6/2019 A Project on Customer Satisfaction (1)

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ACKNOWLEDGEMENT

I take this opportunity to place on record my grateful thanks and sincere gratitude to my

esteemed guideMs GURBINDER KAUR DHALIWAL, who gave me valuable advice and

inputs for my study. I am immensely grateful to her whose continued and invaluable guidancecan never be forgotten by me but for whom , this study could not have got present shape.

Last but not least , I would also like to express my thanks to my family members who inspired me

to put in my best efforts for the Research/Project Report.

I am pleased to say that the whole report is just the presentation of the facts that have been

found during the projects through different sources and its each sentence is an exact

representation of the information obtained and the analysis thereof.

I hope that I have manifested my sincere attempts to represent all the information and other

things to the best of ability

Amrinder Singh

CERTIFICATE BY THE GUIDE

This is to certify that the work entitled customer satisfaction on mobileservice provider networks is is a piece of project work done byAMRINDER SINGH , a student of MBA-2nd semester bearing Enrolmentnumber 81008317007 under my guidance and supervision for partialfulfilment of master degree of Punjab Technical University.

To the best of my knowledge and belief, the project report


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1. Embodies the work of the candidate himself2. Has been duly completed3. Is up to the standard both in respect to contents and languagefor being referred to the examiner.

Forwarded To:-Guide

DR. Meenu Jaitely MS.Gurbinder Kaur

Head Of Department

DECLARATION

I, AMRINDER SINGH of 2nd Year MBA, DOABA GROUP OF COLLEGES, MOHALI(2008-2010), bearing Enlolment No. 81008317007 ,hereby declare that the project titledcustomersatisfaction on mobile service provider networks is is the outcome of myown work and the same has not been submitted to any university / institute for the reward of any

degree or any Professional diploma

Date : AMRINDER SINGH


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TABLE OF CONTENT

Chapter. No CONTENTS Page No.

1 INTRODUCT ION 6

1.1 INTRODUCT ION TO CUSTOMER SATISFACTION 7

1.2 INTRODUCT ION TO SERVICES 13

1.3 INTRODUCT ION TO TELECOM INDUSTRY 18

2 LITERATURE REVIEW

3 RESEARCH OBJECTIVES 28

4 RESEARCH LIMITATIONS 30

5 RESEARCH METHODOLOGY 32

6 DATA ANALYSIS &INTERPRETATIONS 35

7 OBSERVATIONS & FINDINGS 50

RECOMMENDATIONS 52

CONCLUSION 54

ANEXTURE 56

BIBLIOGRAPHY 59

Executive Summary

A. Project Title:--

Customer Satisfaction on Mobile ServiceProvider Networks

(B) Project Location:--


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Twin cities CHANDIGARH & MOHALI

(C) Objectives

The main objective of the study are:--

1. To study the customer satisifaction towards mobile serviceproviders.

. 2 . To study and identify how the customers are benefited.

3 . To assess the needs, requirements and expectations ofthe customers in order to assess their currentsatisfaction levels.

. 4 .To know the attitude, enthusiasm regarding the service

provided to customers.

(D) Research Methodology

The research was mainly of primary research consisting of descriptive research and exploratoryresearch. The secondary research consisted of literature search and Internet search.

CHAPTER 1

INTRODUCTION


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Introduction

Theoretical Background of theTopic

Customer Satisfaction

1.1.1 According to Philip Kotler, satisfaction is a persons feelings ofpressure or

disappointment resulting from products perceived performance(outcome) in

relation to his or her expectations. Customer satisfaction is the levelof a persons felt state resulting from comparing a productsperceived performance

(outcome) in relation to the persons expectations.

In today's increasingly competitive environment, quality services and customer satisfaction are

critical to corporate success. Delivering high quality services is closely linked to profits, costsavings and market share. As stated by Piercy (1995), it is striking that one of the few elements

that links many of the otherwise disparate recommendations made to managers over the past

several decades has been the need to focus on customer satisfaction as a route to sustained highperformance. Companies should, to a much higher degree, be aware of the fact that customer

dissatisfaction equals both defection and long-term losses. As stated by various authors

(Ballantayne et al. 1996; Berry, 1986; Collier, 1994; Schneider and Bowen, 1995): It is easier -and much cheaper - to keep existing customers than to get new ones. Additionally, another

benefit from achieving satisfied customers is the fact that the willingness to repurchase is muchhigher for satisfied customers than for dissatisfied and indifferent ones. Despite this awareness

concerning the importance of customer satisfaction, it is beyond the ability of many of today'sservice companies to maintain satisfied customers.

Empirical surveys concerning the proportion of satisfied versus dissatisfied customers reveal that

a large amount of service industries suffer from an insufficient number of satisfied customers. A

survey conducted in the BD by Dr.siraj (2001) reveals extreme low levels of overall customer


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satisfaction. He examined the overall customer satisfaction levels in various service branches:

Grocery chains (31%), fast-food outlets & Res. (24%), and banks (15%). One can argue that

these results constitute a low range of general service provision. However, even companieswhich focus their efforts on achieving satisfied customers, rarely exceed a customer satisfaction

ratio above 50-70% (Scheby, 1998). However , it is important to emphasize that it is almost

impossible to compare various levels of satisfaction, as the numbers depend heavily on thespecific method of measurement. As a result, it is not possible to refer to the degree of satisfied

versus dissatisfied customers in absolute terms, but only in relative terms.

Based on the results above, the impression rises that the discipline of satisfying customers is not

always successfully translated into activities practiced by service companies. This fact hassupported our interest in conducting an investigation concerning the relationship between service

providers and customer satisfaction.

The satisfaction level is a function of difference between perceivedperformance and

expectations. If the products performance, exceed expectation the customerhighly

satisfied or delighted. If the performance matches the expectations thecustomer is

satisfied. If the products performance fall shorts of expectations thecustomer is

dissatisfied.

1 Many companies are aiming for high satisfaction because customers whoare just

satisfied still find it easy to switch when a better offer comes along. Highsatisfaction or

delight creates an emotional affinity with brand.

2 Variety of factors that affect customer satisfaction includes product quality,product

availability and after sales support such as warranties and services.Customer satisfaction is seen as a proof of delivering a quality product orservice. It is believed that customer satisfaction brings sales growth, andmarket share. A company can always increase customer satisfaction bylowering its price or increasing its services but


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this may result in lower profits. Thus the purpose of marketing is to generatecustomer value profitability.

3 India is on the threshold of a new millennium. India chose for globaleconomy, exposing her to winds of change in the market place, which has

expanded vastly and become fiercely competitive. In the changedenvironment, decision makers view the marketing concept as the key tosuccess. Marketing in practice has to manage products, pricing, promotionand distribution.

4 A successful product can be developed by exploding these opportunities.While

delivering the value of the consumer we make use of marketing support. Thissupport is

based on the knowledge of consumers and distribution. Marketing supportboth at the

introduction of products and maturing is considered

5 Marketing, as suggested by the American Marketing Association is "anorganizational

function and a set of processes for creating, communicating and deliveringvalue to

customers and for managing customer relationships in ways that benefit theorganization and its stakeholders".

6 The two major factors of marketing are the recruitment of new customers(acquisition)

and the retention and expansion of relationships with existing customers(base

management). Marketing methods are informed by many of the social,particularly

psychology, sociology, and economics. Anthropology is also a small, butgrowing,

influence. Market research underpins these activities. Through advertising, itis also

related to many of the creative arts.


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7. For a marketing plan to be successful, the mix of the four "Ps"1 i.e.product, price, place, promotion must reflect the wants and desires of theconsumers in the target

market. Trying to convince a market segment to buy something they don't

want is extremely expensive and seldom successful. Marketers depend onmarketing research, both formal and informal, to determine what consumerswant and what they are willing to pay for. Marketers hope that this processwill give them a sustainable competitive advantage. Marketing managementis the practical application of this process. The offer is also an importantaddition to the 4P's theory.

Skills of Marketers

Marketers have 4 main skill sets that they bring to an enterprise:--

1. Opportunity Identification:

Marketing begins before there is aproduct to sell.

Many people think marketing is just selling whatever comes out of themanufacturing

plant. It's the job of marketing to decide WHAT comes out of themanufacturing

plant in the first place. Before a business can make money there must be

opportunities for money to be made and it's marketing's job to define whatthose

opportunities are. Marketers analyze markets, market gaps, trends,products,

competition, and distribution channels to come up with opportunities tomake money.

1

2) Competitive strategy/positioning:


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Markets consist of groups of competitors competing for a customer'sbusiness. The job

marketing is to decide how to create a defensible sustainable competitiveadvantage

against competitors. Marketers conceive strategies, tactics, and businessmodels to make it hard if not impossible for competition to take awaycustomers from their business.

3) Demand generation/management

It's the job of marketing to create and sustain demand for a company'sproducts.

Marketers manage demand for a company's products by influencing the

probability and

frequency of their customer's purchase behavior.

4 ) Sales:

The ultimate goal of marketing is to make money for a business. In mostcompanys

sales is a different discipline and department from marketing. But in orderfor

salespeople to have any long term success in a company they must be ledby marketing. The better job a company does of identifying opportunities,creating a differential sustainable competitive advantage, and generatingdemand for their products the easier itwill be for salespeople to make sales.

Methods to Measure Customer Satisfaction

Companies use the following methods to measure customer satisfaction.

1 ) Complaints and suggestion system: companies obtaining complaintsthrough theircustomer service centres, and further suggestions were givenby customers to satisfy their desires.


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2) Customer satisfaction surveys

Responsive companies obtain a direct measure of customer satisfaction byperiodic

surveys. They send questionnaires to random sample of their customers tofind out how

they feel about various aspects of the companys performance and alsosolicit views on

their competitors performance. It is useful to measure the customerswillingness to

recommend the company and brand to other persons.

3 )Lost Customer Analysis.

Companies should contact customers who have stopped buying or who haveswitched to another supplier to learn why this happened.

4 )Consumer Behavior Vs Consumption Behavior

Consumer behavior refers to the manner in which an individual reachesdecision related

to the selection, purchases and use of goods and services. Walters and Paulsays that,

consumer behavior is the process where by the individuals decides what,when, how and from whom to purchase goods & services.

Consumer behavior relates to an individual person (Micro behavior) where as

consumption behavior relates to and to the mass or aggregate of individuals(Macro

behavior) consumers behavior as a study focuses on the decision process ofthe

individual consumer or consuming unit such as the family.


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In contrast the consumption behavior as a study is to do with the explanationof the

behavior of the aggregate of consumers or the consuming unit. Consumer isa pivot,

around which the entire system of marketing revolves. The study of buyerbehavior is

one of the most important keys to successful mark

CHAPTER 1.2

INTRODUCTION TO SERVICES


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INTRODUCTION TO SERVICES

History and Evolution of Services

In the literature there has been a tremendous number of publications dealingwith the marketing and management of services. According to Fisk, Brownand Bitner (1998) the development of service marketing and managementcan be divided into three phases.

First, there is the "Crawling-Out Phase" from 1950 to 1980, when only a few

researchers made efforts to distinguish between marketing strategies forgoods and services. These few researchers proclaimed that services aredifferent from goods, and therefore need specific marketing andmanagement attention. In her article

"Breaking Free from Product Marketing" Shostack (1977) demanded furtherresearch interest in services. She states that the traditional marketing andmanagement theories do not provide relevant tools for the characteristics ofservices. This critique has been accepted later by academicians andpractitioners.

Second, in the so called "scurrying-Out Phase" from 1981 to 1985, furtherconcentration on the marketing and management of services took place.With significant publications from Gronroos (1981), Berry (1980), Zeithaml(1981), and Shostack (1984), marketing and management of servicesreceived the right to be considered as an independent discipline. During thisperiod several articles were published in some of the best known journals,i.e. Journal of Marketing, Journal of Retailing, and Harvard Business Review.New service specific journals also emerged, for instance the Journal ofServices Marketing and international Journal of Service IndustriesManagement. There have been strong efforts to develop marketing andmanagement tools which are applicable to improve services. As aconsequence, relationship marketing (Berry 1983) and internal marketing(Gronroos 1981) have their roots in the intense research of the servicesector.

Finally in the "Walking-Erect Phase" from 1986 until today the number ofcontributions in books, articles and dissertations have increased explosively.Efforts have been undertaken in order to improve the understanding of the


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heterogeneity of services, designing and controlling intangible processes(Fisk et al., 1993). According to Wright (1995) the emerging interest inservices can be labeled a new service paradigm from the marketingdiscipline's traditional focus on marketing purely physical goods.

Characteristics of ServicesHaving described the development of service marketing and management, itis now important for the overall understanding of services, to examine whatactually characterizes services. Although service industries are themselvesquite heterogeneous, there are some service characteristics upon which it isuseful to generalize.

The characteristics we have chosen to discuss are:

Intangibility Inseparability Heterogeneity Perishability

Intangibility

Service are not tangible, as stated by Berry: " A good is an object, a device, athing; a service is a deed, a performance, an effort" (Berry, 1984). When aservice is purchased, there is generally nothing tangible to show for it. Asargued by Berry, "Services are consumed but not possessed" (berry, 1984).Although the performance of most services is supported by tangibles, theessence of what is being bought is a performance rendered by one party, foranother. Most market offerings are a combination of tangible and intangibleelements. It is whether the essence of what is being bought is tangible, or

intangible, that determines its classification as a physical good or a service.

Inseparability :

Another characteristic concerning services is that production takes placesimultaneously with consumption. Generally, goods are first produced, sold,then consumed. Services on the other hand are usually sold first, and thenproduced and consumed simultaneously. This raises a number of problems


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which marketers of goods do not face: Participation of customers in theproduction process, or delivery process, the interaction between the serviceprovider, the service environment and the customer, and the merging ofoperations, human resource and marketing responsibilities in one individual.Additionally, some service organizations such as passenger transport

companies and restaurants, produce and deliver their service for manycustomers simultaneously. In these cases, customers interact not only withthe service organization; but also with each other. As a result, othercustomers are a part of the service consumption experience.

Heterogeneity

Compared to goods service are normally less standardized and uniform.Services are not homogeneous. Service industries tend to differ regardingthe extent to which they are "people based" or "equipment-based" (Thomas,

1978). That is to say, there is a larger human component involved inperforming some services than others.

Equipment-based services vary depending on whether they are automatedor monitored by skilled or unskilled operators. People-based services alsovary depending no whether they are provided by unskilled, or professionalworkers.

Perishability

Services cannot be stored, hence services are highly perishable, e.g. empty

tables in a restaurant can seen as a revenue opportunity lost for ever. Timecannot be held over for future sale, thus, services cannot be inventoried. ThePerishability of services is not a problem when demand is steady, because itis easy to staff the services in advance, when demand fluctuates, servicecompanies have difficult problems. Service marketers need therefore tomanage not only the demand, but also the supply so that a profitableequilibrium is consistently obtained. All of these mentioned servicecharacteristics are associated with several marketing problems.

CHAPTER 1.3


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Introduction to Telecom Industry

Introduction to Telecom Industry

The Indian Telecommunications network with 110.01 million connections isthe fifth largest in the world and the second largest among the emergingeconomies of Asia. Today, it is the fastest growing market in the world andrepresents unique opportunities for U.S. companies in the stagnant globalscenario. The total subscriber base, which has grown by 40% in 2005, isexpected to reach 250 million in 2007. According to Broadband Policy 2004,

Government of India aims at 9 million broadband connections and 18 millioninternet connections by 2012 The wireless subscriber base has jumped from33.69 million in 2004 to 62.57 million in FY2004- 2005. In the last 3 years,two out of every three new telephone subscribers were wireless subscribers.Consequently, wireless now accounts for 54.6% of the total telephonesubscriber base, as compared to only 40% in 2003. Wireless subscribergrowth is expected to bypass 2.5 million new subscribers per month by2007. The wireless technologies currently in use are Global System forMobile Communications (GSM) and Code Division Multiple

Access (CDMA). There are primarily 9 GSM and 5 CDMA operators providing

mobile

services in 19 telecom circles and 4 metro cities, covering 2000 towns acrossthe country.


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Evolution of the industry-Important Milestones

Year

1851 First operational land lines were laid by the

government near Calcutta(seat of British power)

1881 Telephone service introduced in India

1883 Merger with the postal system

1923 Formation of Indian Radio Telegraph Company (IRT)

1932 Merger of ETC and IRT into the Indian Radio andCable Communication Company (IRCC)

1947 Nationalization of all foreign telecommunicationcompanies to form

the Posts, Telephone and Telegraph (PTT), a monopoly run bythe

government's Ministry of Communications

1985 Department of Telecommunications (DOT)established, an exclusive

provider of domestic and long-distance service that would beits own

regulator (separate from the postal system)


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1986 Conversion of DOT into two wholly government-owned companies:

the Videsh Sanchar Nigam Limited (VSNL) for international

telecommunications and Mahanagar Telephone Nigam Limited(MTNL) for service in metropolitan areas.

1997 Telecom Regulatory Authority of India created.

1999 Cellular Services are launched in India. NewNational Telecom Policy

is adopted. 2000 DoT becomes a corporation, BSNL

A large population, low telephony penetration levels, and a risein consumers' income and spending owing to strong economic growthhave helped make India the fastest-growing telecom market in theworld. The first and largest operator is the state-owned incumbent

BSNL, which is also the 7th largest telecom company in the worldin terms of its number of subscribers. BSNL was created by

corporatization. while DTS (Department of TelecommunicationServices), a government unit responsible for provision of telephonyservices. Subsequently, after the telecommunication policies wererevised to allow private operators, companies such as Bharti Telecom,TATA Indicom, Vodafone, MTNL, Idea, Vodafone and BPL have enteredthe space. Major operators in India. However, rural India still lacksstrong infrastructure.

The total number of telephones in the country crossed the 300

million mark on June 18 2008The overall tele-density has increased to36.98% in March 2009 .In the wireless segment, 15.87 millionsubscribers have been added in March 2009. The total wirelesssubscribers (GSM, CDMA & WLL (F)) base is more than 391.76 millionnow. The wire line segment subscriber base stood at 38.22 million

with a decline of 0.13 million in October 2008.


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Market Share of Public and Private Industry

The fixed line and mobile segments serve the basic needs of local calls, longdistance calls and the international calls, with the provision of broadbandservices in the fixed line segment and GPRS in the mobile arena. Traditionaltelephones have been replaced by the codeless and the wirelessinstruments. Mobile phone providers have also come up with GPRS-enabledmultimedia messaging, Internet surfing, and mobile-commerce.The much-awaited 3G mobile technology is soon going to enter the Indian telecom

market. The GSM, CDMA, WLL service providers are all upgrading them toprovide 3G mobile services. Along with improvement in telecom services,there is also an improvement in manufacturing. In the beginning, there wereonly the Siemens handsets in India but now a whole series of new handsets,such as Nokia's latest N-series, Sony Ericsson's W-series, Motorola's PDAphones, etc. have come up.

Touch screen and advanced technological handsets are gaining popularity.Radio services have also been incorporated in the mobile handsets, alongwith other applications like high storage memory, multimedia applications,multimedia games, MP3 Players, video generators, Camera's, etc. The valueadded services provided by the mobile service operators contribute morethan 10% of the total revenue.

The Global Cellular Mobile Industry

Global telecom sector

Earnings visibility

Earnings growth is being driven by improving pricing conditions, stabilizingoperating

trends, aggressive cost cutting initiatives, a positive regulatory environment,strong wireless growth, and new market opportunities. This has translatedinto greater visibility of forward earnings as evidenced by recent increasedanalyst upgrades within the sector.


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Definition of Cellular/Mobile phone

The Cellular telephone (commonly "mobile phone" or "cell phone" or "handphone") is a long-range, portable electronic device used for mobilecommunication. In addition to the standard voice function of a telephone,

The Global Cellular Mobile Industry:

The global mobile phone industry is based on many different manufacturersand operators. The industry is based on advanced technology and many ofthe manufacturers are operating in different industries, where they use theirtechnological skills, distribution network, market knowledge and brandname. Four large manufacturers of mobile phones are today dominating the

global mobile phone industry &networks; Nokia, Sony Ericson, Samsung andMotorola . Airtel, Bsnl , tataindicom ,Vodafone, reliance, others. In addition tothese companies there are many manufacturers that operate globally andlocally.

Telecom Industry in India

The telecom industry is one of the fastest growing industries in India. Indiahas

nearly200 million telephone lines making it the third largest network in theworld

after China and USA.

With a growth rate of 45%, Indian telecom industry has the highest growthrate in

the8world.

Much of the growth in Asia Pacific Wireless Telecommunication Market isspurred

by the growth in demand in countries like India and China.

Indias mobile phone subscriber base is growing at a rate of 82.2%.


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China is the biggest market in Asia Pacific with a subscriber base of 48% ofthe total

subscribers in Asia Pacific.

Compared to that Indias share in Asia Pacific Mobile Phone market is6.4%.

History of Indian Telecommunications

It was Started in 1851 ,when the first operational land lines were laid by thegovernment near Calcutta (seat of British power). Telephone services wereintroduced in India in 1881. In 1883 telephone services were emerged withthe postal system. Indian Radio Telegraph Company (IRT) was formed in1923. After independence in 1947, all the foreign telecommunication

companies were nationalized to form the Posts, Telephone and Telegraph(PTT), a monopoly run by the government's Ministry . Telecom sector wasconsidered as a strategic service and the government considered it best tobring under state's control. The first wind of reforms in telecommunicationssector began to flow in 1980s when the private sector was allowed intelecommunications equipment manufacturing. In 1985, Department ofTelecommunications (DOT) was established. It was an exclusive provider ofdomestic and long distance service that would be its own regulator (separatefrom the postal system). In 1986, two wholly government-owned companieswere created: the Videsh Sanchar Nigam Limited (VSNL) for internationaltelecommunications and Mahanagar Telephone Nigam Limited (MTNL) for

service in metropolitan areas.In 1990s, telecommunications sector benefitedfrom the general opening up of the economy. Also, examples of telecomrevolution in many other countries, which resulted in better quality of serviceand lower tariffs, led Indian policymakers to initiate a change process finallyresulting in opening up of telecom services sector for the private sector.National Telecom Policy(NTP) 1994 was the first attempt to give acomprehensive roadmap for the Indian telecommunicationssector.

In 1997, Telecom Regulatory Authority of India (TRAI) was created. TRAI wasformed to

act as a regulator to facilitate the growth of the telecom sector..Telecommunication sector inIndia can be divided into two segments: FixedService Provider (FSPs), and Cellular Services. Fixed line services consist ofbasic services, national or domestic long distance and international longdistance services. The state operators (BSNL and MTNL), account for almost90 per cent of revenues from basic services. Private sector services arepresently available in selective urban areas, and collectively account .GlobalSystem for Mobile Communications (GSM) and Code Division Multiple Access


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(CDMA). The GSM sector is dominated by Airtel, Vodfone-Essar, and IdeaCellular, while the CDMA sector is dominated by Reliance and Tata Indicom.Opening up of international and domestic long distance telephony servicesare the major growth drivers for cellular industry. Cellular he tariffs onairtime, which along with rental was the main source of revenue. The

reduction in tariffs for airtime, national long distance, international longdistance, and handset prices has

driven demand.

Classification of Telecommunication services

1. Basic services

2. Cellular services

3. Internet Service Provider (ISP)

CHAPTER 2


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Literature Review

Main Text Literature Review

. Review of Literature

1. Robins (2008) This paper is about marketing the next generationof mobile

telephones. The study is about third generation of cell phone technology,what is

usually known as 3G for short. There are various issues about that new

innovative.

One is how to price 3G handsets and services at a level which will enabletelephone

operating companies to recoup the high prices they have already paid togovernments

for operating licenses. Second the technology is not yet complete, there areno agreed

international standards and companies do not yet know what new servicesthe

technology will prove capable of delivering effectively. All variants of 3Gremain

dependent on largely unproven technology. Marketing 3G is going to beabout


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services which are new and in many cases, yet to be designed. At the sametime, it

will involve services which can also be obtained by computer and othermeans. It

follows that the marketing task will be high risk. First, 3G has no obviouslyunique

selling proposition to build on except, perhaps, the combination of live videoand

easy portability. Second, the potential customers have not yet had adequate

opportunity to signal their service likes and dislikes. Third, the cost andcomplexity

of service provision leave doubt about the markets reaction to price.

2. Debnath (2008) This study explain that the prime focus of the serviceproviders is to

create a loyal customer base by benchmarking their performances andretaining

existing customers in order to benefit from their loyalty. With the

commencement of

the economic liberalization in 1991, and with a view to expand and improvetelecom

infrastructure through the participation of the private sector, theGovernment of India

permitted foreign companies holding 51 percent equity stake in jointventures to

manufacture telecom equipment in India. The Indian Government hasannounced a

new policy, which allows private firms to provide basic telephone services.There

had been a monopoly of the state-owned department of telecommunications.


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However, several companies are expected to benefit from the policy change.

3. Bhatt (2008), in his study titled A Study of Mobile Phone Usage Amongthe Post

Graduate Students analyzed that it is important for mobile carriers, service

providers, content developers, equipment manufacturers, as well as forparents and

young people alike that the key characteristics of mobile technology is well

understood so that the risks associated with its potentially damaging ordisruptive

aspects can be mitigated. This paper has tried to compare the usage

difference by

gender with respect to the difference manufacturing and service providercompanies.

4.Jha (2008), in his study analyzed that it is the youth which is the realgrowth driver of

telecom industry in India. Considering this fact, the paper is an attempt togive a

snapshot of how frequently young people use their mobile phones for several

embodied functions of the cell phones. Data was collected from a sample of208

mobile phone owners, aged between 20 and 29. The study sheds light onhow

gender, monthly voucher amount and years of owning mobile phonesinfluence the

usage pattern of this device. Findings of the study would be helpful for thetelecom

service providers and handset manufacturers to formulate a marketingstrategy for

different market segments.


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5. Kalavani (2006) in their study analyzed that majority of the respondentshave given

favourable opinion towards the services but some problems exist thatdeserve the

attention of the service providers. They need to bridge the gap between theservices

promised and services offered. The overall customers attitude towards cellphone

services is that they are satisfied with the existing services but still theywant more

services to be provided.

6. Kumar (2008), in their study titled Customer Satisfaction andDiscontentment vis-avis

BSNL Landline Service: A Study analyzed that at present, servicesmarketing

plays a major role in the national economy. In the service sector, telecomindustry is

the most active and attractive. Though the telecom industry is growing

rapidly,

India's telecom density is less than the world's average telecom density asmost of

India's market is yet to be covered. This attracts private operators to enterinto the

Indian telecom industry, which makes the Bharat Sanchar Nigam Limited(BSNL)

more alert to run its business and survive in the market.

7. Seth et al (2008), in their study titled Managing the CustomerPerceived Service

Quality for Cellular Mobile Telephone: an Empirical Investigationanalyzed that


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there is relative importance of service quality attributes and showed that

responsiveness is the most importance dimension followed by reliability,customer

perceived network quality, assurance, convenience, empathy and tangibles.This

would enable the service providers to focus their resources in the areas of

importance. The research resulted in the development of a reliable and valid

instrument for assessing customer perceived service quality for cellularmobile

services.

21

8. Fernandez (2007) in their study titled Understanding Dynamics in anEvolving

Industry: Case of Mobile VAS in India analyzed that Mobile Value AddedServices

(VAS) is a rising star in the fast growing wireless business. In the paper,attempt is

made at understanding the strategic dynamics of the evolving environmentwithin

which the Indian players are operating, the challenges and structure of thesame. Our

literature and industry review indicates that - while the value chain ofindustry is

complicated yet one can observe the bipolar nature of bargaining powers

between

mobile network operators and content aggregators.

9. Bismut (2006) in his study titled Competition in European TelecomMarkets


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analyzed that in recent years the European telecommunications market haswitnessed

major developments, with rapid expansion in access to telecommunicationsnetworks

and a surge in the number of available services and applications.

CHAPTER 3

Research Objectives

Research Objectives

Objectives of the study : This project aims at studying the present

market scenario.The major players in the market today are Airtel,Vodafone,Bsnl, Tata indicom ,Reliance,Idea.All The companies want tocapture the market study concerns with evaluating fast developing area andso all the service providers were taken to measure the satisfaction ofcustomer

The main objective of the study are:--


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To study the customer satisifaction towards mobileservice providers. To study and identify how the customers are benefited. To assess the needs, requirements and expectations ofthe customers in order to

assess their current satisfaction levels.

To know the attitude, enthusiasm regarding the serviceprovided to customers.

CHAPTER 4


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Research Limitation

Research Limitation

Limitations of the Study

Carrying the survey was a general learning experience for us but we alsofaced some

problems, which are listed here:--

The market of Telecommunication is too vast and it is not possible to covereach and

every dealer, manufacturer and seller in the available short span of time.

Generally the respondents were busy in their work and were not interestedin

responding rightly.

Respondents were reluctant to discover complete and correct informationabout

themselves and their organization.


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Most respondents were not maintaining proper knowledge of variousservices

provided by their company, so they were unable to provide exactinformation.

Most of the respondents dont want to disclose the information about thevarious other

companies which they have experienced before.

Some of the respondents were using the service first time of their companyand they

were not able to properly differentiate among their product.

Due to human behavior information may be biased. Mainly in BSNL case.

CHAPTER 5

ResearchMethodology


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Research Methodology

Sources of Data

SOURCES OF DATA

The study undertaken there to be mainly based on the primary data i.e.structured

questionnaire is designed. The study also contains secondary data i.e.data from authenticated websites and journals for the latest updates just togain an insight for the views of various experts.

METHODOLOGY & PRESENTATION OF DATA

The data collected is then coded in the tables to make the things presentable

and more

effective. The results are shown by tables which will help me out in easy andeffective

presentation and hence results are being obtained.

TOOLS AND TECHNIQUES USED FOR ANALYSIS

In this study the technique used for interpreting the results is CHI SQUARE

test. weighted average method and It is used as because sample size is100.

Sampling Design

RESEARCH DESIGN


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The design for this study is Exploratory and Random sampling

Collection Method

DATA COLLECTION

The data is collected randomly irrespective of the category of the people inthe form of

questionnaire and the sample size is 100 respondents. Because it is a pilotstudy and due to time constraint the sample size is small.

Research Definition

The word research is derived from the Latin word meaning to know. It is asystematic and a replicable process, which identifies and defines problems,within specified boundaries. It employs well-designed method to collect thedata and analyses the results. It disseminates the findings to contribute togeneralize able knowledge. The main characteristics of research presentedbelow are:

Systematic problem solving which identifies variables and tests

relationships between

them,

Collecting, organizing and evaluating data.

Logical, so procedures can be duplicated or understood by others

Empirical, so decisions are based on data collected

Reductive, so it investigates a small sample which can be generalized to alarger

population

Replicable, so others may test the findings by repeating it.

Discovering new facts or verify and test old facts.


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Developing new scientific tools, concepts and theories, this would facilitateto take

decision.

For the proper analysis of data simple statistical techniques such aspercentage were use. It helps in making more generalization from the dataavailable. The data which will be collected from a sample of population wasassumed to be representing entire population was interest. Demographicfactors likeage, income and educational background was used for theclassification purpose.

CHAPTER 6

Data Analysis and Interpretation

Data Analysis and Interpretation

Q1: - Which mobile connection do you have?


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PARTICULAR NO. OFRESPONDENTS

AIRTEL 40

VODAFONE 32

IDEA 16BSNL 12

Interpretation: - As the area of the study is in Chandigarh and Mohali,where the market leader is Airtel. Thats why majority of the questionnaire Igot filled by Airtel. Above data analysis shows that majority of the marketthat is approximately 50% is covered by two market leaders Airtel andvodafone. Minor is bsnl.

Q2:- What kind of service you have?

Interpretation: - Above data shows that most of the respondents in thearea have pre-paidconnections. And I got only 16% questionnaire filled bypost-paid users.


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Q3:- Overall, how would you rate your service provider?

Brands Airtel Vodafone Idea BSNL

Weighted avg. 3.9 3.6 3.1 3.09

Interpretation:- From the graphic it depict thatAIRTEL l is the mostexcellent and good service provider with weighted avg of 3.9 as 25respondets believes that the service of the company is excellent and good &10 respondents have rated it as average. Then VODAFONE has also goodrate of excellence as 20 respondents rated IT AS EXCELLENT & good & 20

as average respectively. But the idea and Bsnl are not under good ratings. 8respondents of BSNL and 5 of Idea have rated their service provider as Poor.

Q4:- Rank the following factors which influenced you the most tobuy the service of your choice?

Interpretation of Chi: - As the 95% level of confidence Chi square value6.035 is more than the table value 5.991, so the null hypothesis is rejected,it means Price factor is the most influencing factor for the purchase ofTelecom service.


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Interpretation:- Above data analysis shows that Airtel is being preferredbecause of its best network service and Brand image as well. WhereVodafone is preferred because of its good pricing strategy, network service,brand image and the most Value Added Services of the company. And Idea ispreferred because of all above factors. Where Bsnl is preferred the most

because of its low price as compare to its competitors and because of itsvalue added services as well.

Q5- Rank the following VAS which attracted you the most to buy or

retain the mobile

service:

PARTICULAR

SMSPACK

CONCESSIONCALL RATES

INTERNETSERVICES

FULLTALKTIME

AIR TEL 0 3 6 5

VODAFONE 9 15 1 7

IDEA 4 6 6 4

BSNL 16 11 0 7

Interpretation: - Above data analysis shows that Airtel is being preferredbecause of its

internet service. And vodaphone because of its Concession calls rates andfull talk time VAS. Where Idea the most because of its Concession Call Ratesand SMS pack. But BSNL because of its SMS pack mainly and thenconcession rates also.


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Q6:- How long have you used the service of that company?

Interpretation:- Above table analysis depicts that most of the users are

using their telecom Cservice from last one year. Some of the users are alsousing it from last 3 year, where majority of the users are BSNL connectionholders. Most of the users of the Vodaphone are using it from last 6 months.Very few respondents are a new users of their services that let our study notvague.

Q7:- Overall, how satisfied are you, with network service of your

company?

BRANDS VERYSATISFIED

SATISFIED

NEUTRAL

DISSATISFIED

VERYDISSATISFIED

AIRTEL 7 23 0 0 0

VODAFONE

3 18 1 0 0

IDEA 2 13 2 0 0

BSNL 2 14 8 6 0


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Calculated weighted avg.:_

Brands Airtel Vodafone Idea BSNLWeighted avg. 4.23 4.09 4.0 3.4

Interpretation: - Above table data analysis shows that the satisfaction rateof network

service is leaded by Airtel as not a single user of service is neutral ordissatisfy with calculated weighted avg of 4.23. And VODAFONES networkservice satisfaction rate is also good. And it can be also found that ideas &BSNLs network service is not good as compare to others competitors


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Q8:- How would you rate the service's value for money?

Observed table:-

Calculaed weighted avg.:_

Brands Airtel Vodafone Idea BSNL

Weighted avg. 4.07 4.03 4.16 4.11

Interpretation: - Above data and chart analysis depicts that IDEA has thehighest rating of Value for /money calculated on the basis of weightedaveragei.e 4.16, Then BSNL company is followed by AIRTEL , with weightedavg. of 4.11 and 4.07 respectively, VODAFONE has got weighted avg. of.4.03 .& has least service value for money.


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Q9:- What kind of problems occurs the most for which you need tocontact customer care/service department of your service provider?

OBSERVED TABLE

BRANDS BILLING RELATED & ACTIVATION/DACTIVATION

INF.OF VAS & N/WRELATED

TOTAL=

AIRTEL 9 10 19

VODAFONE

18 7 25

IDEA 18 8 26

BSNL 6 24 30

TOTAL= 51 49 100

EXPECTED VALUE TABLE

9.69 9.31

12.75 12.25

13.26 12.74

15.3 14.7

DEGREE OF FREEDOM= (C 1)(R-1) = (4 1)(2 1)

= 3

SIGNIFICANCE LEVEL AT 5 % =

Chi square value=19.29 Table value= 2.366


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Interpretation of Chi:- As the 5% level of confidence Chi square value19.29 is more than the table value 2.366 so the null hypothesis is rejected, itmeans People contact customer care mostly for activation and deactivationof the service.

Interpretation: - From the above data analysis it has been found that mostof the users of telecommunication contact to their customers care foractivation and deactivation of various services. Then they also contact forinformation about various value added services provider by companies likevalidity, call rates, sms pack, caller tones etc. Network service has beenfound a problem of mainly BSNL users and to some extent of Idea users aswell.

Q10:- In thinking about your most recent experience with thatcompany, how muchsatisfied are you with the customer careservice?

H0: - Airtel is not the best service provider of customer care service.

H1: - Airtel is the best service provider of customer care service.

OBSERVED FREQUENCY TABLE=

BRANDS SATISFIED NEUTRAL DISSATISFIED TOTAL

AIRTEL 9 6 9 24

VODAFONE 8 7 8 23

IDEA 11 9 7 27

BSNL 10 6 10 26

TOTAL= 38 28 34 100


= 6


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Chi square value: 1.49 Table

value: 5.348

Interpretation of Chi:- As the 5% level of confidence Chi square value 1.49is LESS

than the table value 5.348, so the null hypothesis is rejected, it means Airtelis the best service provider of customer care service in the industry..

Interpretation:- From the above data interpretation we can conclude thatAirtel is the best service provider of customer care service. As it has beenalso found in some of the article that Airtel is expending more on its

customer care service as compare to other competitors in the market. TheVodaphone service is also satisfactory as most of the users has rated it assatisfied service provider. But Bsnl is to be found as a not satisfactory serviceprovider. Most of the users said that they have not talk to their customercare service provider even for a single time.

Q11:- How satisfied are you with the process of getting your queriesresolved?

OBSERVED FREQUENCY TABLE=

BRANDS SATISFIED/NEUTRAL

DISSATISFY/ VERYDISSATISFY

TOTAL=

AIRTEL 20 12 32

VODAFONE10 11 21

IDEA 16 8 24


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BSNL 13 10 23

TOTAL= 59 41 100

EXPECTED FREQUENCY TABLE=

18.8 13.1

12.3 8.6

14.2 9.8

13.6 9.4


= 3


Chi square value: 1.85 Table value:2.366

Interpretation: - From above data analysis we can say that most of theusers, who are

satisfied with their customer care service, are also satisfied with the processof getting their queries resolved. Airtel again has been rated as the bestservice provider for getting queries resolved. Results are similarapproximately with the 10-question analysis.


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Q12:- The waiting time for having my questions addressed wassatisfactory.

Interpretation: - Above data analysis shows that most of the users of allcompanies are

found satisfactory with the waiting time their queries resolved. But the resultof BSNL is

again not good as the users say that they have not talk to their customercare service provider even for a single time. Some of them have talk butafter a lot of waiting time. So they are found not satisfied and rated this

question also as dissatisfied and neutral. So after studying their views with apersonal discussion we can not say that the customer care representatives ofBSNL are not able to solve their customer queries in a satisfactory time.

CHAPTER 7

Observations

&

Findings


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Observations & Findings

1. As per my belief we have seen that the choice of mobile handsetand services can not be

separated came out true because when we tried to find out thecustomer decision .we

successfully classified customers in to eight group each with somespecial requirement

service wise and handsets attribute wise. Competition in telecomindustry is heating up

its time for Indian telecom players also to align up in the new dynamicbusiness

environment.

2 . There is more room for data analysis but the rest of the part isbeyond the scope of this

project report. According to the results, the most of the customers areusing mobile phones of AIRTEL company and 84% of them are usingits prepaid services and the rest of are using postpaid services Whencustomers were asked to rate their network service provider , it isfound that satisfaction rate of network service provider is leaded byAIRTEL among its major competitors VODAFONE, IDEA & BSNL .

3. .IDEA is found to be leader in highest service value for money ascompared to its competitors and the customers re satisfied with itsservices

4 When customers were asked to rate their servise provider AIRTEL isfound to be excellent and good service provider , as compared to its

competitors VODAFONE , IDEA , & BSNL.

5. From the analysis done above ,mostly all the users or cutomersare found satisfactory with the waiting time their queries resolved.But the result of BSNL is again not good as the users say that theyhave not talk to their customer care service provider even for a singletime


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6. It is found that price factor is the most influential factor thatcustomers used to consider or to keep in mind to buy the mobileservices of their choices

Recommendations

Recommendations

1. Telcom majors should think to launch the product according tothe needs of customers to

satisfy them and make them brand loyal as very soon this blue oceanof Indian telecom

scenario will convert into red ocean where the loss of is the gain ofother .


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2. They should also think for searching new space or we can sayeither creating a new blue space to sustain their growth in longrun.

3. To be successful, communications service providers must deliver

positive customer experiences with rich, value-added servicessupported by

comprehensive service quality management.

4. .The second most important factor is the periodical fixed costand another factor is the opening cost. These indicate, notsurprisingly, that communication firms need to deeply consider. Also,

this indicates that a lot of effort must be put in the pricing strategy.5. The different mobile service provider companies should work todeliver their services of lower defects as the lower defects increaseloyality


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CONCLUSION

CONCLUSION

Competition in telecom industry is heating up its time for Indian telecomplayers also to align up in the new dynamic business environment. Telcommajors should think to launch the product according to the needs ofcustomers to satisfy them and make them brand loyal as very soon this blueocean of Indian telecom scenario will convert into red ocean where the lossof is the gain of other

From the above findings it is found that most of the customers are brand loyals and are very

much satisfied with the services of their service providers as in my analysis most of thecustomers are using AIRTEL connection and their satisfaction level as compared to its major

competitors like VODAFONE, IDEA & BSNL , is comparatively high

Quality of service and the ability to attract and retain customers dictate thesuccess or


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failure of next-generation communications service providers. In todayscompetitive

environment, customers are quick to abandon services that do not meetexpectations.

The ease with which customers can switch from their current service toanother,

demands that providers deliver the highest possible levels of service qualityand

performance. To be successful, communications service providers mustdeliver

positive customer experiences with rich, value-added services supported by

comprehensive service quality management. To this effect-Mobile serviceshas

experienced the negative attributes of not being customer focused andrealizes that

quality is an attribute that creates customer satisfaction profitably.

ANNEXTURE


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ANNEXTURE

Questionnaire

NAME- ___________________ MOBILE MODEL- ________

AGE- ________ OCCUPATION-_________________

Q1:- Which mobile connection do you have?

a) Airtel b) Vodafone c) Idea d) Bsnl

Q2:- What kind of service you have

a) Pre-paid b) Post-paid

Q3:- Overall, how would you rate your service provider?

a) Excellent b) Good c) Average d) Poor e) Terrible f) Not Sure

Q4:- Rank the following factors which influenced you to buy the service ofyour choice?


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a) Price

b) Network Service

c) Brand Image

d) Value Added Services (Rel to Rel Free after 11PM)

Q5- Rank the following VAS which attracted you the most to buy or retain themobile

service:

a) SMS pack 1 2 3 4 5 Excellent --1 2 3 4 5 --

Poor

b) Concession Call Rates 1 2 3 4 5

c) Internet Service 1 2 3 4 5

d) Full Talk Time 1 2 3 4 5

Q6:- How long have you used the service of that company?

a) Less than one month b) 1 to 6 months c) 6 months to a year

d) 1 to 3 years e) Over 3 years

Q7:- Overall, how satisfied are you, with network service of your company?

a) Very satisfied

b) Satisfied

c) Neutral

d) Dissatisfied

e) Very dissatisfied

Q8:- How would you rate the service's value for money?


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a) Excellent b) Good c) Fair d) Poor d) Not sure

Q9:- What kind of problems occurs the most for which you need to contactcustomer

care/service department of your service provider? Rank them.

a) Billing related

b) Activation/deactivation related

c) Information about VASs

d) Network problem

Q10:- In thinking about your most recent experience with that company, how

much satisfied

are you with the customer care service?

a) Very satisfied

b) Satisfied

c) Neutral

d) Dissatisfied


f) N/A

Q11:- How satisfied are you with the process of getting your queriesresolved?

a) Very satisfied

b) Satisfied

c) Neutral

d) Dissatisfied



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Q12- The waiting time for having my questions addressed was satisfactory.

a) Strongly Disagree

b) Somewhat Disagree

c) Neutral

d) Somewhat Agree

e) Strongly Agree

If you were not totally satisfied with the customer service, will you pleasedescribe the

reasons for your dissatisfaction?

Bibliography

BibliographyREFERANCES


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1. Jallet, Frederic, Yield management, Dynamic pricing and CRM in

telecommunications,

2. Debnath, Roma Mitra, Benchmarking telecommunication service in

India, 2008

3. Robins, Fread, The marketing of 3G, vol 21, no 6, 2008

(http://www.emeraldinsight.com/Insight/viewContentItem.do;jsessionid=236E2B6B4

5CF101465D540FD4401AEB9?contentType=Article&hdAction=lnkhtml&contentId=854647&history=true>)

4. Kalwani, Banumathy, Consumers Attitude towards Cell phone Services,

2006

5. Fernandez, Fronnie, Understanding Dynamics in an Evolving Industry:Case of

Mobile VAS in India, 2007

6. Kumar, Kaliyamoorthy, Influence of Demographic Variables on Marketing

Strategies in the Competitive Scenario, 2007

7. Seth et, Etal, Managing the Customer Perceived Service Quality forCellular Mobile

Telephone: an Empirical Investigation, 2008

8. Tecor, Jha, Understanding Mobile Phone Usage Pattern among College-Goers,

2008

Journal

The Indian Telecom Industry, IIM Calutta, Vatsal Goyal, 2009

Investment Surge in the Indian Telecom Space, Times Global, Issue 2, 2008

A multiple-perspective model for technology assessment, vol 3, 2008
http://www.emeraldinsight.com/Insight/viewContentItem.do;jsessionid=236E2B6B4http://www.emeraldinsight.com/Insight/viewContentItem.do;jsessionid=236E2B6B4http://www.emeraldinsight.com/Insight/viewContentItem.do;jsessionid=236E2B6B4http://www.emeraldinsight.com/Insight/viewContentItem.do;jsessionid=236E2B6B4


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The marketing of 3G, Vol 21, no. 6, 2009

Books

Zeithaml, Valarie (2008), Service Marketing, 4th Ed. New Delhi: TataMcGraw Hill

Publishing Company Lmt.

A Project on Customer Satisfaction (1)

Documents

Transcript of A Project on Customer Satisfaction (1)