Marketing strategy of Airtel – Airtel marketing strategy: Airtel is the 3 third-largest mobile telecommunications Indian MNC with operations in 20 countries all over Asia and Africa. Airtel is present within 22 telecom networks across India and is the country’s biggest integrative telecom services provider.
Airtel At A Glance – Marketing Strategy of Airtel
Company : Bharti Airtel Limited
CEO: Gopal Vittal
Founder: Sunil Bharti Mittal
Year founded: 7 July 1995
Headquarters: New Delhi
Annual Revenue: US$13 billion
Profit | Net income: US$−1.6 billion
Number of employees : 17,917
Products & Services: 2G, 3G and 4G wireless services | Mobile commerce | Fixed line services | High speed DSL broadband | IPTV and Digital TV
Competitors: Vodafone | AT&T Mobility | Dialog Axiata Mobile Services | Tigo | TELUS Mobility | TIM | Bell Mobility | Jio | Digium
Airtel Fun Facts: Bharti Airtel had over 423 million customers across its operations at the end of March 2020
Marketing Strategy of Airtel
Airtel’s Marketing Strategy covers various aspects of the business right from segmentation and targeting to the overall mission and vision of the company and the various parameters which the company executes to become the top brand that it has in the market. So what is the Marketing Strategy of Airtel? Let us discuss.
Segmentation, Targeting, Positioning – Airtel Marketing Strategy
Airtel utilizes a variety of segmentation strategies to differentiate its services including basic Call/SMS plans, prepaid and Postpaid plans as well as VAS-Data, caller tunes, and so on. Apart from dividing market segments in market across the East, West, North, South & Central, the market is separated across all regions by demographic variables such as income, age, social groups, and so on.
Different geographical regions are treated separately and various campaigns are run following the preferences of the people within each area. Airtel is targeting the Gen Z age group of 15-25 Generation X, Generation Z, and baby boomers with different campaigns throughout the time i.e. campaigns like “Har Ek friend Jaruri Hota hai” or “Jo tera hai wo mera hai ” to focus on Gen Z. They also recently launched a campaign called “one-touch internet” targeted at Gen X and baby boomers.
Airtel has proven to be successful in keeping its name in the minds of cell customers and is currently enjoying the top spot in all areas. With the change of its logo, it has changed its name to a youthful, Energetic & International brand. It has evolved into a torchbearer for the communications industry in India.
Airtel Mission Statement
“Hunger to win customers for life.”
Airtel Vision Statement
“Our vision is to enrich the lives of our customers. Our obsession is to win customers for life through an exceptional experience.”
“The smartphone Network”.
Competitive Advantage – Marketing Strategy of Airtel
Through the creation of Indus tower and partnering with Idea and Vodafone to run Indian Operation, Airtel has increased its infrastructure to regions that are the most difficult for widespread coverage, creating an advantage over its competitors with regards to low operating costs, superior service coverage and network connectivity. lower call drop rates and superior services to customers.
Airtel has built a sustainable advantage due to its extensive system of towers for telecom. In many places, newer customers found it less expensive to use Airtel’s existing infrastructure than build new towers. Also investing heavily in advertising and promotions has helped the company become a market-leading company. “Word of Mouth” is among the most effective methods of promotion and Airtel has mastered that. Airtel is recognized for its innovations and certain of its products including Lifetime Prepaid, Airtel live, Hello tunes My Plans, and M-check is the pioneering strategies and the list will never end.
BCG Matrix – Airtel Marketing Strategy
Airtel has four SBUs (Strategic business units) that are located in different positions in the BCG’s matrix including
Mobile services are a hit because it is available in 22 telecom circles in India which are also the biggest wireless service providers in India according to the number of clients and (22.7 percent) market share.
Fixed-line and telecom services are a snooze since there’s a dramatic drop in services provided by the whole industry.
High-speed broadband is in doubt since it boasts the top-of-the-line network, with 126,357Rkm of fiber laid but they’re present in just 87 metros and cities in the tier-1 category. The further investment could boost its market share and can assist in moving it into the stars.
Airtel business to the large-scale enterprise is a question mark even though it offers a wide range of services for the large Enterprise, Government, Small & Medium companies, and customers. However, the services provided by Airtel are costly when compared with other providers.
The digital TV service is one of the hit, Airtel has an 18% market share of DTH services, which is second only to Dish TV & have head over competition from the TATA sky.
Distribution Strategy – Marketing Strategy of Airtel
It features wide-spread, easy and efficient channels with a simple and effective structure. The company uses a 3-tier and 2-tier Distribution network.
In the 2-tier distribution system, the company chooses UD (urban distributors) and RS (Rural Suppliers). UD distributes the goods to retailers following the demands and then transfers balances to retailers through the FOS (Field officer Sales) SIMs that work under the direction of UD.
In 3-tier distribution, RS (rural supers) distributes the goods in 3 tiers to RD (Rural Distributors) and transfers easily balance into the RD’s SIM which they then will distribute the balance to Retailers.
In addition, the companies also utilize Airtel Relationship Centres under the franchise model and official representatives of the company to manage company sales.
Brand equity – Airtel Marketing Strategy
The high TOMA (Top of Mind Awareness), as well as ARPU (average revenue per user) as well as a vast distribution system, and as many as 300 million subscribers, have helped Airtel to establish a market leader position over the decades. In addition, Airtel has evolved from being a tech-based brand to one that is a communications brand with its constant evolution of branding and marketing strategies. The logo has been rechristened to become more of a youthful, international, and energetic brand.
Competitive Analysis – Airtel Marketing Strategy
As the torchbearer for the industry of telecom across India, it has changed the telecom industry over many years. From a teledensity of 18.3 percent in FY’07 and 75.2 in FY’14 (DOT data), The industry has experienced significant growth. Reliance, which initially targeted B & C customer segments was unable to compete with existing and new players such as Idea, Vodafone, Tata-Docomo BSNL, and others. due to the Network and customer service issues. In the world of wireless data services, players such as MTS, and TATA Indicom have an impressive market share in the targeted circles. However, Airtel is still trying to figure out how to make itself known because of the high cost of data.
Market Analysis – Marketing Strategy of Airtel
Within the extremely competitive market for telecoms in which every company is working to attract customers and increase they’re the ARPU (Average returns per customer), Airtel is facing tough competition from smaller and local players such as Uninor, Aircelwho is present in a few circles. There are also players like Vodafone that battle to establish themselves as the market leader and pose an extremely serious threat to Airtel.
Data services, connectivity, and VAS(Value additional service) are the main driving market for the telecom sector.
Customer Analysis – Airtel Marketing Strategy
The Customers group is comprised of the three segments of A, B & C with distinct requirements however, it’s primarily focused on the B segment, which is middle-class with aspirational requirements and is the fastest-growing segment. To serve corporate customers and A-class customers, they have a dedicated staff. Airtel deals with both B2C & B2B customers.
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