Description
Strategic leadership provides the vision and direction for the growth and success of an organization. To successfully deal with change, all executives need the skills and tools for both strategy formulation and implementation.
Strategy building for major Tata Tele Service retail outlets in Ernakulam
Introduction
To Monitor 7 major outlets of TATA Indicom and thus to build strategies to improve the current scenario. To identify the different purchasing patterns. To identify the different factors influencing customer’s decision. To identify the different types of customer and thus to build a customer profile.
July 3, 2013 2
Theoretical Background
CUSTOMER BEHAVIOR CUSTOMER LOYALTY FACORS INFLUENCING PURCHSE DECISIONS AND PATTERNS CONTEXT VALUES PRINCIPLES ETHICAL SYSTEMS
July 3, 2013 3
Industry Profile
?
Telecommunications industry - largest sector. Delivering voice, data, graphics and video.
?
?
Very rapid growth and massive investment in transmission.
New services - digital technologies - more efficient use. Demand increases - complexity of the challenges increases.
?
?
July 3, 2013
4
Company Profile
Tata Teleservices is part of the INR Rs. 96723 Crore (US$ 22 billion) Tata Group. Over 96 companies, Over 250,000 employees and more than 2.8 million shareholders. With a committed investment of INR 36,000 Crore (US$ 7.5 billion) in Telecom (FY 2006), the Group has a formidable presence across the telecom value chain.
July 3, 2013
5
Product Profile
?
Postpaid Mobile Prepaid Mobile (Truepaid)
?
?
Fixed Wireless (Walky)
Calling cards Broadband & Accessories.
6
?
?
July 3, 2013
Store Profile
TRUE VALUE HUB:
True Value Hub (TVH) is a brand touch point that offers all the product and services available under the Tata Indicom brand ranging from prepaid & post paid mobile and fixed wireless to broadband services.
July 3, 2013
7
TVH
July 3, 2013
8
TRUE VALUE SHOPPE: True Value Shoppe (TVS) is a 100-150 sq ft exclusive sales outlet for the entire range of Tata Indicom products & are located in main markets. True Value Shoppe is based on ‘Shop in a Box’ concept wherein a franchisee can start business within seven days from sign up.
July 3, 2013
9
TVS
July 3, 2013
10
Objective of the Study
PRIMARY OBJECTIVE
Strategy building for major TATA Tele service retail outlets in Ernakulam with specific focus on customer purchasing decisions and patterns.
July 3, 2013
11
Contd.
SECONDARY OBJECTIVE
?
To understand what category of customers do Indicom hold.
?
Understand income, educational range of customers to categories them.
The relationship between the income and spending on their communication devices. To understand the personnel holdings and to understand the lifestyle of the customer. To know how a customer comes to know about the Indicom products and services. To know factors influencing the purchasing decisions. Brand preference of customer and to know their approach towards retail outlets (Company Owned and Operated).
?
?
?
?
?
July 3, 2013
12
Methodology
?
?
? ? ?
Study is descriptive in nature. Total population – Around 8,00,000 Customers. Sample Size – 210 Customers (30 each from 7 outlets). Sampling technique – Convenient Sampling Source of data Primary : Questionnaire Secondary : Company Manuals, Websites, Books Data analysis : Simple Percentage method Cross Tabulation method and Chi Square Method.
13
July 3, 2013
Limitations
?
Some of the consumers where very aggressive, which made the study a bit difficult.
?
The study was not intended upon the analyzing of satisfaction level, but people tend to give wrong implications.
Busy hour made the customer to turn back to this survey. All the outlets where not able to cover and 7 Company picked retail outlets were monitored. This survey has been intended to those customers who has visited the outlets and who came inside the outlets and not anyone outside. Many samples were removed due to wrong approach towards the survey by them.
14
?
?
?
?
July 3, 2013
DATA ANALYSIS
July 3, 2013
15
Data Analysis
?
The survey conducted had a total of 210 samples; both existing and new customers of TATA Indicom, the data were collected from 7 retail outlets of Indicom. (Kadavanthara, Kalloor, Marine Drive, Aluva, Palarivattom, Thevara and Thripunithura). A sample of 30 each was collected from each store.
?
July 3, 2013
16
Length of service usage
Length of Service Us age
1 to 3 Months 3 to 10 Months Above 1 Year Not a Indic om cus tomer Total
Frequenc y 49 36 92 33 210
Percent 23.3 17.1 43.8 15.7 100.0
July 3, 2013
17
Monthly Income * House
House
Yes Below 5000 5,000 to 10,000 10,000 to 20,000 24 13.4% No 13 41.9% Total 37 17.6%
53
29.6% 69 38.5% 33
8
25.8% 6 19.4% 4
61
29.0% 75 35.7% 37
Above 20,000
Total
18.4%
179
12.9%
31
17.6%
210
Monthly Income * Flat/Villas/Apartments
Flat/Villas/Apartments Yes No 0 37 .0% 34.1% 1 60 3.0% 33.9% 8 67 24.2% 37.9% 19 18 57.6% 10.2% 28 182
Below 5000
5,000 to 10,000
10,000 to 20,000 Above 20,000 Total
Total 37 17.6% 61 29.0% 75 35.7% 37 17.6% 210
Monthly Income vs. House/Flat/Vil las/Apartments
July 3, 2013
18
Average amount of cash spend on mobile
July 3, 2013
19
Average amount of cash spend on Land Phone
Ave rage am ount of cas h spe nd on land phone s Frequenc y 13 58 62 36 14 6 21 210 Percent 6.2 27.6 29.5 17.1 6.7 2.9 10.0 100.0
Less than 200 201 to 500 501 to 1,000 1,001 to 2,000 2,001 to 3,000 Above 3,000 No Land phone Total
July 3, 2013
20
Cash spend on Mobile vs. Land Phone
Cash spend on land phones
Less than 201 to 200 500 2 3 4 4 1 1 501 to 1,000 18 18 13 5 3 1,001 to 2,001 to 2,000 3,000 7 9 9 7 1 2 3 3 4 2 Above 3,000 1 1 1 3 No Land phone 1 5 5 4 2 2
Less than 200 Cash spend on Mobile
201 to 500 501 to 1,000 1,001 to 2,000 2,001 to 3,000 Above 3,000 Total No Mobile phone
26
15 4
2
13
9
58
5
62
3
36
14
6
2
21
July 3, 2013
21
July 3, 2013
22
Basic Reasons For A Customer To Pick A Tele Service Product
July 3, 2013
23
What Customers Are Looking Into The Store/Outlet
Frequency 30 15 13 19 11 69 19 9 25 210 Percent 14.3 7.1 6.2 9.0 5.2 32.9 9.0 4.3 11.9 100.0
24
Mobile Purchase Land Line Purchase Internet Device Purchase Compliant Cancellation Bill Pay Recharge Service Phone/Replace Phone Enquiry Total
July 3, 2013
Changing Life Style
Place d at your conve ience
Brande d outle ts are be tter than ordinary outlets
Total
Frequenc y No 10 I do think s o 26 Yes , Def initely 174 210
Percent 4.8 12.4 82.9 100.0
No I do think s o Yes , Def initely Total
Frequenc y 23 43 144 210
Percent 11.0 20.5 68.6 100.0
Visits Branded/Com pany Ow ne d Show rooms
Sugge s t Frie nds /Fam ily m em be rs /Colle ague /Som e one you k now
No I do think s o Yes , Def initely Total
Frequenc y 59 36 115 210
Percent 28.1 17.1 54.8 100.0
No I do think s o Yes , Def initely Total
Frequenc y 20 69 121 210
Percent 9.5 32.9 57.6 100.0
July 3, 2013
25
Findings and Conclusion
Indicom holds a moderate level of customers. Potential customers are Business Men and Daily Workers. Indicom holds a good set of educated and highly employed and salaried as most of its customer base.
People heavily spend on their communication devices.
July 3, 2013
26
Contd.
The major source of information conveyance is through word of mouth, through friends and relatives. Indicom also lags hoarding/public display. Customers are few who checks Website. The major set of customers knew about services through the employees of TATA, this shows how advertisement is poor with Indicom in Ernakulam.
July 3, 2013
27
Contd.
Study also found that they look for trust in company, clarity and coverage, and accessibility to stores as most important factors. Many where not concerned about the product features, popularity and design, social status or product range Many had changed to choose products without key aspect of worries in warranty and durability, which shows that low end versions of mobile has also got demand and brand priority has dropped a lot.
July 3, 2013 28
Suggestions and Recommendations
Fine tuning of the people or employee at work has to be done. Keeping a buffer stock system/safety stock system. Transparency in Bill. Festival Offers and Packages.
July 3, 2013 29
Contd.
Credit Card Reader in every Hub and Shoppe. Heavy promotional activity and publicity via media and hoardings are definitely important. Reduced tariff plans.
Frequency of Media advertisements should increase.
July 3, 2013 30
Thank You . . .
Anoop Mohan (FM – 231) SCMS School of Technology and Management
July 3, 2013 31
doc_652865653.ppt
Strategic leadership provides the vision and direction for the growth and success of an organization. To successfully deal with change, all executives need the skills and tools for both strategy formulation and implementation.
Strategy building for major Tata Tele Service retail outlets in Ernakulam
Introduction
To Monitor 7 major outlets of TATA Indicom and thus to build strategies to improve the current scenario. To identify the different purchasing patterns. To identify the different factors influencing customer’s decision. To identify the different types of customer and thus to build a customer profile.
July 3, 2013 2
Theoretical Background
CUSTOMER BEHAVIOR CUSTOMER LOYALTY FACORS INFLUENCING PURCHSE DECISIONS AND PATTERNS CONTEXT VALUES PRINCIPLES ETHICAL SYSTEMS
July 3, 2013 3
Industry Profile
?
Telecommunications industry - largest sector. Delivering voice, data, graphics and video.
?
?
Very rapid growth and massive investment in transmission.
New services - digital technologies - more efficient use. Demand increases - complexity of the challenges increases.
?
?
July 3, 2013
4
Company Profile
Tata Teleservices is part of the INR Rs. 96723 Crore (US$ 22 billion) Tata Group. Over 96 companies, Over 250,000 employees and more than 2.8 million shareholders. With a committed investment of INR 36,000 Crore (US$ 7.5 billion) in Telecom (FY 2006), the Group has a formidable presence across the telecom value chain.
July 3, 2013
5
Product Profile
?
Postpaid Mobile Prepaid Mobile (Truepaid)
?
?
Fixed Wireless (Walky)
Calling cards Broadband & Accessories.
6
?
?
July 3, 2013
Store Profile
TRUE VALUE HUB:
True Value Hub (TVH) is a brand touch point that offers all the product and services available under the Tata Indicom brand ranging from prepaid & post paid mobile and fixed wireless to broadband services.
July 3, 2013
7
TVH
July 3, 2013
8
TRUE VALUE SHOPPE: True Value Shoppe (TVS) is a 100-150 sq ft exclusive sales outlet for the entire range of Tata Indicom products & are located in main markets. True Value Shoppe is based on ‘Shop in a Box’ concept wherein a franchisee can start business within seven days from sign up.
July 3, 2013
9
TVS
July 3, 2013
10
Objective of the Study
PRIMARY OBJECTIVE
Strategy building for major TATA Tele service retail outlets in Ernakulam with specific focus on customer purchasing decisions and patterns.
July 3, 2013
11
Contd.
SECONDARY OBJECTIVE
?
To understand what category of customers do Indicom hold.
?
Understand income, educational range of customers to categories them.
The relationship between the income and spending on their communication devices. To understand the personnel holdings and to understand the lifestyle of the customer. To know how a customer comes to know about the Indicom products and services. To know factors influencing the purchasing decisions. Brand preference of customer and to know their approach towards retail outlets (Company Owned and Operated).
?
?
?
?
?
July 3, 2013
12
Methodology
?
?
? ? ?
Study is descriptive in nature. Total population – Around 8,00,000 Customers. Sample Size – 210 Customers (30 each from 7 outlets). Sampling technique – Convenient Sampling Source of data Primary : Questionnaire Secondary : Company Manuals, Websites, Books Data analysis : Simple Percentage method Cross Tabulation method and Chi Square Method.
13
July 3, 2013
Limitations
?
Some of the consumers where very aggressive, which made the study a bit difficult.
?
The study was not intended upon the analyzing of satisfaction level, but people tend to give wrong implications.
Busy hour made the customer to turn back to this survey. All the outlets where not able to cover and 7 Company picked retail outlets were monitored. This survey has been intended to those customers who has visited the outlets and who came inside the outlets and not anyone outside. Many samples were removed due to wrong approach towards the survey by them.
14
?
?
?
?
July 3, 2013
DATA ANALYSIS
July 3, 2013
15
Data Analysis
?
The survey conducted had a total of 210 samples; both existing and new customers of TATA Indicom, the data were collected from 7 retail outlets of Indicom. (Kadavanthara, Kalloor, Marine Drive, Aluva, Palarivattom, Thevara and Thripunithura). A sample of 30 each was collected from each store.
?
July 3, 2013
16
Length of service usage
Length of Service Us age
1 to 3 Months 3 to 10 Months Above 1 Year Not a Indic om cus tomer Total
Frequenc y 49 36 92 33 210
Percent 23.3 17.1 43.8 15.7 100.0
July 3, 2013
17
Monthly Income * House
House
Yes Below 5000 5,000 to 10,000 10,000 to 20,000 24 13.4% No 13 41.9% Total 37 17.6%
53
29.6% 69 38.5% 33
8
25.8% 6 19.4% 4
61
29.0% 75 35.7% 37
Above 20,000
Total
18.4%
179
12.9%
31
17.6%
210
Monthly Income * Flat/Villas/Apartments
Flat/Villas/Apartments Yes No 0 37 .0% 34.1% 1 60 3.0% 33.9% 8 67 24.2% 37.9% 19 18 57.6% 10.2% 28 182
Below 5000
5,000 to 10,000
10,000 to 20,000 Above 20,000 Total
Total 37 17.6% 61 29.0% 75 35.7% 37 17.6% 210
Monthly Income vs. House/Flat/Vil las/Apartments
July 3, 2013
18
Average amount of cash spend on mobile
July 3, 2013
19
Average amount of cash spend on Land Phone
Ave rage am ount of cas h spe nd on land phone s Frequenc y 13 58 62 36 14 6 21 210 Percent 6.2 27.6 29.5 17.1 6.7 2.9 10.0 100.0
Less than 200 201 to 500 501 to 1,000 1,001 to 2,000 2,001 to 3,000 Above 3,000 No Land phone Total
July 3, 2013
20
Cash spend on Mobile vs. Land Phone
Cash spend on land phones
Less than 201 to 200 500 2 3 4 4 1 1 501 to 1,000 18 18 13 5 3 1,001 to 2,001 to 2,000 3,000 7 9 9 7 1 2 3 3 4 2 Above 3,000 1 1 1 3 No Land phone 1 5 5 4 2 2
Less than 200 Cash spend on Mobile
201 to 500 501 to 1,000 1,001 to 2,000 2,001 to 3,000 Above 3,000 Total No Mobile phone
26
15 4
2
13
9
58
5
62
3
36
14
6
2
21
July 3, 2013
21
July 3, 2013
22
Basic Reasons For A Customer To Pick A Tele Service Product
July 3, 2013
23
What Customers Are Looking Into The Store/Outlet
Frequency 30 15 13 19 11 69 19 9 25 210 Percent 14.3 7.1 6.2 9.0 5.2 32.9 9.0 4.3 11.9 100.0
24
Mobile Purchase Land Line Purchase Internet Device Purchase Compliant Cancellation Bill Pay Recharge Service Phone/Replace Phone Enquiry Total
July 3, 2013
Changing Life Style
Place d at your conve ience
Brande d outle ts are be tter than ordinary outlets
Total
Frequenc y No 10 I do think s o 26 Yes , Def initely 174 210
Percent 4.8 12.4 82.9 100.0
No I do think s o Yes , Def initely Total
Frequenc y 23 43 144 210
Percent 11.0 20.5 68.6 100.0
Visits Branded/Com pany Ow ne d Show rooms
Sugge s t Frie nds /Fam ily m em be rs /Colle ague /Som e one you k now
No I do think s o Yes , Def initely Total
Frequenc y 59 36 115 210
Percent 28.1 17.1 54.8 100.0
No I do think s o Yes , Def initely Total
Frequenc y 20 69 121 210
Percent 9.5 32.9 57.6 100.0
July 3, 2013
25
Findings and Conclusion
Indicom holds a moderate level of customers. Potential customers are Business Men and Daily Workers. Indicom holds a good set of educated and highly employed and salaried as most of its customer base.
People heavily spend on their communication devices.
July 3, 2013
26
Contd.
The major source of information conveyance is through word of mouth, through friends and relatives. Indicom also lags hoarding/public display. Customers are few who checks Website. The major set of customers knew about services through the employees of TATA, this shows how advertisement is poor with Indicom in Ernakulam.
July 3, 2013
27
Contd.
Study also found that they look for trust in company, clarity and coverage, and accessibility to stores as most important factors. Many where not concerned about the product features, popularity and design, social status or product range Many had changed to choose products without key aspect of worries in warranty and durability, which shows that low end versions of mobile has also got demand and brand priority has dropped a lot.
July 3, 2013 28
Suggestions and Recommendations
Fine tuning of the people or employee at work has to be done. Keeping a buffer stock system/safety stock system. Transparency in Bill. Festival Offers and Packages.
July 3, 2013 29
Contd.
Credit Card Reader in every Hub and Shoppe. Heavy promotional activity and publicity via media and hoardings are definitely important. Reduced tariff plans.
Frequency of Media advertisements should increase.
July 3, 2013 30
Thank You . . .
Anoop Mohan (FM – 231) SCMS School of Technology and Management
July 3, 2013 31
doc_652865653.ppt