Airtel

(Vision so far and ahead)

Presented To: Dr. T N Chabra

By: Nandini, Ritesh, Rohit, Rupali & Shruti

 Introduction
• Airtel is an offspring of Bharti Airtel Limited, one
of Asia’s leading integrated telecom service
providers.

• Bharti Airtel since its start, has been at the

forefront of technology and has pioneered several
innovations in the telecom sector.

• Founder – Sri. Sunil Mittal

 Factsheet 
 Name: Bharti Airtel Limited.
 Business description:
• Provides GSM mobile services in all the 22 telecom circles in India, Srilanka,
Bangladesh and now in 16 Countries of Africa.
• Provides tele media services (fixed line and broadband services through DSL) in
88 cities in India. 
• Also offers suite of Enterprise solutions, DTH and IPTV Services
 Established: July 07, 1995, as a Public Limited Company
 Proportionate revenue:
• Rs. 157,560 million (ended December 31, 2010-Audited)
• Rs. 103,053 million ( ended December 31, 2009-Audited) 
As per IFRS Accounts
 Shares in issue: 3,797,530,096 as at December 31, 2010
 Listings : The Stock Exchange, Mumbai (BSE)
The National Stock Exchange of India Limited (NSE)
 Market capitalisation
  Customer base:
• India: 157,485,000 GSM mobile and 3,257,000 Telemedia Customers.(status as on
December 31, 2010)
• Africa: 42,124,000 GSM mobile. (status as on December 31, 2010)
 Operational network:
• Provides GSM mobile services in all the 22 telecom circles in India, Srilanka,
Bangladesh and now in 16 Countries of Africa.
• Provides telemedia services (fixed line) in 88 cities in India.
• Provides an integrated suite of Enterprise solutions, in addition to providing
long distance connectivity both Nationally and Internationally.
• Also offers DTH and IPTV Services. .
Positioning in the world & in India
 3rd LARGEST wireless operator in the world

 LARGEST private INTEGRATED telecom company in India

 5th LARGEST INTEGRATED telecom operator in the world

 LARGEST operator in NLD, ILD and VSAT business

 LARGEST TELECOM company listed on Indian Stock Exchanges

5
 Growth trajectory reflected in the
numbers
1996 2010
Single Circle Operator +
Largest integrated private
telephone Company Profile telecom
instruments

< 25k Customers ~ 137 mn

~ USD 17 mn Revenue ~ USD 9 bn

~ USD 2.5 mn EBITDA ~ USD 4 bn

~ USD 1.4 mn Cash Profit ~ USD 4 bn

~ USD 16 mn Market Capitalization ~ USD 26 bn

Note: 1) 2010 financials are as per FY 2010 results. 2) Exchange rate: Financials as of 31st Mar 10 : Rs 45.14
 Airtel - Integrated play

Bharti
Airtel
Limited
Enterprise Mobile
DTH
services services Broadband Passive
&Telephone Infrastructure
services Services
Carriers Corporates

Fully integrated telecom player offering end to end solutions and entering new geographies
The Starting
Initial Objectives
 Redefine the way cellular services were being marketed in the
country: Made possible due to its innovative marketing strategies,
continuous technological up gradations, new value added service
offerings and efficient customer service.

 Airtel decided to address the benefit of sensory of the customer

and make it as their Business strategy - main selling approach.

 The idea was to make a badge value brand

 They targeted the elite, up market professionals and entrepreneurs

as customers – Premium Sector
AIRTEL-LEADERSHIP CAMPAIGN(LATE 90s)
Year 2000: Shift In focus
Objectives
 Expansion of customer base across all sections

 Consolidate its presence and become a

permanent, sustainable business player in the
market
Consolidation for Growth

• Acquired control of Skycell communication in

Chennai in 2000
• Acquired control of Spice Cell In Calcutta in
2001
• Listed on NSE & BSE in 2002: raised $172
million in its initial public offering (IPO)
TOUCH TOMORROW
 TOUCH TOMORROW

• Adding emotion to
leadership.
• In 2000, Bharti
launched its “TOUCH
TOMORROW”
campaign.
• To strengthen its
relationship with
customers.
Year 2003: Strategic Inflection
Point
 Objectives And Conditions
Vision:
• To make mobile communications a way of life and on enabling
customers to make their point in the most expressive way anytime,
anywhere and in any manner.

Adverse Conditions:
 Entry of foreign Players in market
 Need for fast growth in the network infrastructure and people for
retaining its position as market leader.
 Lack of resources for managing breakneck growth.
 Response

• Launch Of “Express Yourself” Campaign

• Outsource Network, IT and Call centre’s through long

term partnerships.

• Focus on Brand promotion by adopting matchbox

approach
Outsourcing and Partnership approach
Brand promotion and Match Box Approach
 Sought brand ambassadors who communicate the right
brand equity
 Launched “Express yourself” Campaign with Sachin
Tendulkar as Brand ambassador, later joined by Shahrukh
Khan
 Specialized ringtone by A R Rehman
 Advertising strategy that concentrated more on its brand and
its values than its products and services.
 Decided to extend to reach every nook and corner wherever
matchbox were sold.
Vision 2010
 Vision 2010 & Mission
By 2010 Airtel will be the most admired brand in India:
– Loved by more customers
– Targeted by top talent
– Benchmarked by more businesses

Mission:
“ We at Airtel always think in fresh and innovative ways about the needs
of our customers and how we want them to feel. We deliver what we
promise and go out of our way to delight the customer with a little bit
more”

22
Strategic Initiatives for Vision 2010
(1)M-Commerce

• Mobile phone now turns into a virtual wallet – a new innovation in

mobile commerce. Airtel, ICICI Bank & VISA had joined hands to
launch mChq – a revolutionary new service – a credit card on the
mobile phone.

• This is the first mobile-to-mobile payment option, which enables

Airtel customers and ICICI Bank Visa cardholders to pay for their
purchases with their Airtel mobile phones.
Strategic Initiatives for Vision 2010
(2) Targeting Rural Masses
 Targeting 55 million farmers under its fold, Indian Farmers Fertiliser
Cooperative (IFFCO) have agreed upon a joint venture with telecom
major Bharti Airtel
 Joint venture company, IFFCO Kisan Sanchar Ltd (IKSL)

(3)Value Added Services

 Focused more on value added services and their quality
 Airtel exclusive showrooms for demonstrating services and user
experience
Strategic Initiatives for Vision 2010
(4)Digital TV, the DTH service from Airtel
The implementation of the initially failed concept of Set Top Box led
Airtel to enter this lucrative market to television. Cable connection in
India was run by local cable operators who acted largely in form of
cartels. With the crackdown from the regulatory bodies in India this
sector once again became a gold mine.

(5)Bharti Airtel and Google’s strategic partnership.

Airtel will bring Google search to the Airtel Live mobile WAP portal.
Google will also incorporate advertising through its Mobile Ads
product on the Airtel Live mobile portal.
Strategic Initiatives for Vision 2010
5.Hiring the best or attracting the best (poaching or otherwise)
 Competency based hiring
 Opportunity to rise in organization
 Maximum recruitment through internal sources
 One of the best paymaster in Indian industry

• Shireesh Joshi (previously in PepsiCo) as Director Marketing head.

• Recently roped in Joachim Horn, chief technology officer (CTO), T-Mobile, to
help expand its global footprint and interface with strategic partners.
• Andre Beyers (Vodacomm) as the company’s Chief Marketing Officer (CMO) for
its operation in Africa
• Sriram Jagannathan, Citibank’s e-commerce and m-commerce head in Japan has
been given the role of CEO of its mobile commerce venture in a bid to improve its
revenue stream
Strategic Initiatives for Vision 2010
(6)Expanding in new market:
 Has made rapid strides in africa
 Tried to Acquire MTN, Acquisition Failed
 Acquired Zain
 Expanded Operations in Sri lanka & Bangladesh

(7) Strategic relationship with Vmware

 Collaboration aims to target the enormous market potential for cloud-
based managed compute services in India by offering external IT
infrastructure for customers
 Bharti Airtel will offer these cloud services based on the VMware
vSphere platform.
Vision 2015 & 2020
Vision 2020
• To build India's finest business conglomerate
by 2020
• Supporting education of underprivileged
children through Bharti Foundation
• Strategic Intent:
– To create a conglomerate of the future by bringing
about “Big Transformations through Brave
Actions.”

30
Future Growth Avenues
Infrastructure
Sharing

Rural Growth Global Market

Telephony Opportunities
Factors

Technology
Leadership
A New look
Rural strategy
Technology Leadership: By focusing on
 3 G Services
 Cloud Computing
 Superior network Coverage and quality

Infrastructure Sharing:
 Reduced Operating cost
 Reduced Maintenance Cost
Thank You