PROJECT REPORT ON

Evaluating market opportunities for Airtel Data Solutions in B2B Spaces

airtel for Business

Presented By: Ruta Mahajan (MARKETING) Batch 2011-13

Airtel for Business

Airtel being the largest private player, leading telecom service provider in India and 3rd largest in world Bharti Airtel Ltd. is Indias leading Global Telecommunications Company with Operations in 20 Countries across Asia and Africa. Airtel is No.1 Telecom Operator 246 Million satisfied Customers. Airtel offers voice (mobile and fixed line), data services, turnkey telecom solutions for Large, Medium and Small enterprises and national / international long distance services to carriers. Airtel has been ranked among the six best performing technology companies in the world with an industry recognisition of being Best Enterprise Connectivity Provider. Bringing to you ideal solutions in IT and Telecom field through an array of products and services delivered directly or through strategic alliances with the market leaders in the ICT market

www.airtel.in

Airtel Network
Largest Telecom Player with Pan India Footprint End to End Communication Services Portfolio Best in Class Network Infrastructure

Strategic Alliances with Global Gaints like Cisco, Singtel, Ericsson, Nokia, IBM etc.
24 X 7 Reliable Customer care and Support Robust Quality and delivery Processes

www.airtel.in

State of the art - Pan India Footprint

Largest private ISP in India
Fibre Commissioned for over 113, 326 Kms Transmission Network (14,000 SDH Nodes) Tier -1 MPLS network across 120 cities

120+ POPs across 25 states

Internet backbone capacity > 60 Gpbs 301 LCDAs & 1275 SDCAs covered Downstream customers like BSNL, MTNL,

Sify, Hathway, Net4 India etc

Leading CDN player Akamai hosted on Airtel backbone Pro active 24 x 7 x 365 NOC

www.airtel.in

Global Reach - International POPs and Routes

Self owned undersea cable (i2i) between India & Singapore Largest share in SeaMeWe4 cable in India with over 30 Gbps IP backbone commissioned

Multi homing network in Singapore/US and UK by direct peering with multiple service providers Additional access to content hosted in Singapore/US/UK through direct connectivity with IP Exchange (STIX,LNIX,NYIX) Making significant investment in various under sea cables like AAG, SMW 5, IMEWE and SMW 4 up gradation for better customer experience

www.airtel.in

Internet Infrastructure Highlights

Traffic routed through both Trans-Atlantic and Trans-Pacific routes Dual Internet gateway (Chennai & Mumbai) for higher redundancy Upstream service providers Singtel, AT&T, Sprint, DTAG/T-System, Level 3, NTT, C&W,
Network backbone Hardware redundancy Dual Getaway

24 X 7 Network Monitoring

telecom Italia and BT

Domestic Peering Yahoo, Google, Rediff, VSNL and NIXI International Internet Bandwidth 40+Gig

Path redundancy

24X7 Helpdesk

Bandwidth scalability

Hardware scalability

www.airtel.in/internet

B2B Partners

Partner with the best organization to deliver world class IT & Telecom solution to suit customer needs.
Airtels association with partners like Cisco, Ericsson, Singtel, Microsoft helps us build products for changing time and need. Airtel has supported large companies realize growth through our cutting edge Telecom & IT solutions. Now we bring the same expertise through a single window for SMEs.

www.airtel.in/business

Market Share of Major Players

Sr. No. Name of telecom operator Bharti Airtel BSNL Vodafone Essar % age in market share during 2010-2011 Rank

1 2 3

28.32 20.06 15.84

1 2 3

4
5 6

Reliance Telecom
Idea Tata

10.89
9.14 7.5

4
5 6

Product Portfolio

Voice Services
Centrex / Widex Voice Line ISDN- PRI/BRI IP Centrex Centrex solutions Parallel Ringling 3 Party Conferencing Mobile Connections

Enhance Productivity Data & Internet Services

Broadband Enterprise Internet Lese Lines MPLS VPN in a Box VSAT IPLC Website Builder Toll Free Hosted Mail Audio conferencing Video Conferencing Net PC PC Secure

AIRTELS OFFERINGS

Airtel Managed ILP(Internet Leased Port) Airtel DSL(Digital Subscriber Line) Airtel PRI connection (Primary Rate Interface) Airtel 3g dongles/ Data Card Airtel GSM connection for Mobile connectivity(Global System for Mobile Connectivity) Airtel MPLS(Multiprotocol Label Switching)

Airtel VPN( Virtual Private Network) Airtel Fixed Line Telephony Airtel DTH (Direct to Home)

Business Broadband (DSL)

Airtel Advantage
Consistent speed/bandwidth Ideal for online application No seperate phone bills for internet No engaged tones, no disconnections, no missed calls Talk and surf simultaneously Speeds upto 16 Mbps

What you get

Value added Service like
Buy Speed when you need Website Builder Data Storage Anti Virus

For accessing Internet at low costs and faster speed , Multiple users DSL is also used as a back up for Lease Lines www.airtel.in/broadband

Corporate Internet Services (ILP)

Ideal solution to allow web access to customers business applications.

Features
Guaranteed bandwidth Defined SLA on key network parameters End to end solution delivery on Airtel network Easy scalability in multiples of 64 Kpbs 24 x 7 network monitoring and support

Airtel Advantage

Measurement
Availability Latency

Benefits
Ensuring a reliable, always-on service
Predictable performance at all times Transmission integrity and efficiency Stability to support real-time apps.

Packet Loss
Jitter

www.airtel.in/internet

Need for Internet

Enterprise Customer avails Internet Leased Port for various applications

like:
Peer to Peer Traffic Audio Video Streaming Internet browsing; Email; FTP; information sharing Application sharing like online trading, Internet Banking, online gaming, hosting other web based applications Real time Application development

Video Conferencing; Online Class Rooms

Web based BPOs, medical transcription Multi location multi site connectivity over public internet ( IP VPN)

Segmented Internet adoption patterns in SMEs

internet | india lagging behind..

90% 80% 70% 60% 50% 40% 30% 20% 33% 32% 83%

World Internet Usage Penetration

81% 79% 78% 77% 69% 65%

29%

29%

9.8%
10% 0%

UK

S Korea Germany

Japan

US

France

Malaysia

World average (ex- India)

China

Nigeria

World Average

India

Broadband target of 160 million Customers by 2014

As per the above diagram it is obvious that India as a country is lagging behind in terms of internet users as only 9.8% of the total population are Company data, Credit Suisse estimates, May 23 , 2011 report, India : Google estimates tech savvy or are acquainted to the internet services.
rd

Need for Internet

Enterprise Customer avails Internet Leased Port for various applications

like:
Peer to Peer Traffic Audio Video Streaming Internet browsing; Email; FTP; information sharing Application sharing like online trading, Internet Banking, online gaming, hosting other web based applications Real time Application development

Video Conferencing; Online Class Rooms

Web based BPOs, medical transcription Multi location multi site connectivity over public internet ( IP VPN)

customer acquisition process: data order booking

FSE
FSE Visits customer (Cold Calling or on lead allocated through telecaller) Understands customer requirements and discusses Airtel offerings Discusses requirement with Channel Manager

Customer asks for price reduction basis competition quote

Proposal is sent to customer

BSG Designs solution, gives prices basis Field Price DoA

Channel Manager sends customer requirement to zonal/cluster BSG

Channel Manager raises ePCN for price approval basis DoA at Hub/PO

Revised proposal is sent to customer

PO from Customer

CP/KAM/CM raises Sales Order (NIO) in B2B eCRM

Order is considered as booked post SMG approval

SMG Team checks all documents & price approvals

Order flows to Project Team for validation

Classification of Data

Classification of Data
o o o o HOT LEAD Is interested & convinced about the Airtel product technology Is in urgent requirement of the Product Wants to discuss the commercials WARM LEAD Is convinced about the technology and wants some more details through e mail o Wants to know the commercial through e mail but is satisfied with the current service provider COLD LEAD o Is satisfied with the existing service provider

Competition Landscape Internet

Rev (Rs.Cr) Airtel RMS %

320
310

14% 10%
262

16%
14% 12% 10%

RMS FY 10-11
Sify Tulip 6% 3% BSL/MTNL 14%
Others 16%

313

300

Tata 36%

290
280 270

6%
143 282

296 232

8%
6% 4% 2%

Reliance 14%

Airtel 11%

260
2009-10 2010-11 2011-12

0%

Total Internet Mkt 232Cr

Data Source Frost & Sullivan research data

Airtel RMS Grew by 4% in FY 10-11 Reliance Growth has been stagnant Tata RMS dipped by 3%+ due to large base and price revisions.

business environment analysis analysis Business enviornment

Wireless Wireless Tele-density : 69.19 (April) Y-o-Y Customer growth 38% 66% in urban areas, growth coming in from rural Gross adds of 15-20 mn a month Competition high, ARPUs low
900 800 700 600 500 400 300 200 100 0

Wireless Market : Industry (nos)

Wireless VLR active

791
584 392
563

812

827

574

583

2008-09

2009-10

Feb-11

Mar-11

Apr-11

Fixed line Voice Declining Customer Base ~ 34.5 Mn customers airtel CMS continuously increasing Usage + ARPU on decline ~ Rs 60 in one year 80% base in urban markets (top 25 cities) B2B segment growing

Wired Line Trend : Industry (Mn nos)

39 38 38 37 37 36 36 35 35 34 34 33 33 37.96 36.96 34.87

34.73

34.55

2008-09

2009-10

Feb-11

Mar-11

Apr-11

*Source: TRAI reports, Frost & Sullivan study, springboard research for SaaS

overall data market snapshot

Source: Frost & Sullivan

*All figures are in Rs Cr

MPLS & Internet market cover 67%+ of the overall market spend
Airtel Product portfolio includes all products mentioned above All products are sold and serviced through AES in the Top 2300 Enterprise accounts All products are sold in SMB segment through B2C (Telemedia) Channel

MPLS & Internet product ownership (including revenue & service is with B2C teams)
Other products are owned by AES, revenue booking in AES, B2C gets 6% commission on Revenue

Conclusion & Learnings

The analysis of the business environment data as per bharti airtel ltd. clearly states that its CMS is on the increase as the internet users are increasing day-by-day B2B segment is on the increase as the business are increasing the use of internet to order to carry out a number of activities such as generating sales, communicating etc. Competition is very healthy in B2B sales of leased line as companies make a huge profit out of the leased line sales and the customers tend to stay with one company for a long period of time Users in the urban areas is much more as compared to the rural areas as the level of awareness in the urban areas is much higher than the rural areas

Conclusion & Learnings

Airtel is also one of the big players in terms of fixed line telephony and its Customer base is continuously increasing Airtel is continuously working in order to increase the number of products offered under its umbrella Airtel is also working hard and spending a lot of money on research and development in order to provide best in class service and to upgrade the products offered by Airtel as innovation is absolutely necessary for any company to sustain in the market Airtel is spending crores of rupees every year for R&D and hiring and employing some experienced workforce to provide World class service Airtel as a company does not compromise with quality which is one of the most important aspects of its operation and sustainability in the market

BIBLIOGRAPHY
Primary data was collected through visiting various organisations
Secondary data was collected from various websites and also through observations of the fellow interns The websites are as follows:www.airtel.in www.trak.in www.wikipedia.com

Thank You