Rural Marketing Strategy for telecom

Description
The PPT about insights about marketing strategies for Telecom companies in rural areas.

Rural Marketing
SONAVDI, SATARA DISTRICT, MAHARASTRA

Telecom services
? With saturation in the urban market, growth in Indian

mobile market will be driven by an increased focus on the rural market accounted just 20% of the Indian mobile subscriber base.

? As of March 2007, mobile subscribers in rural India

? Enormous opportunities are emerging for the low cost

handset manufacturers along with low tariffs, infrastructure development for mobile communication. mobile handset sales by 2010.

? Rural India will account for around 35-38% of the total

IDEA
? Has a customer base of over 17 million. ? Current Schemes and Value Added Services (FLEXIBLE,

INNOVATIVE, MOTIVATED BY CONSUMER NEEDS)

Promotional Strategy (An Idea can change your life!)
? „Idea? as an instrument of democracy, bringing power to the

people. ? Social messaging to reach the hearts and minds of rural India. ? Very „political activist? in its theme to strike a chord with rural audiences ? Abhishek Bachchan- presented as a humble public servant, an agent of change.

Airtel
? It has 22 per cent market share. ? Current Schemes and Value Added Services (A

WIDE RANGE TO CATER TO ALL DEMOGRAPHICS):

BSNL
Currently operates in 22 circles. ? Around 10 million subscribers ? 4th in terms of market share- Airtel, Vodafone, Idea and then comes CellOne ? Current Schemes and Value Added Services (VERY BASIC, NO FRILLS)
?

The Current Situation: Our Observations

Village statistics
? Village Name: Sonavdi ? District: Sitara ? Maharashtra

? Population: 1339
? Main Occupation: Farming ? Sex ratio: 8:5 ? Income: Ranging from 1000 to 10,000 ? Family Size: 4 to 6 ? Education: Minimum 10th Pass

Media Habits
? Print: Sakaal and Pudhari are the 2 newspapers

provided and only 1 to 2 % of the total population read newspapers.
? Radio: Does not exist in the village.

? TV: 80 to 100% of the villagers have their own

Television sets. Maximum Viewership is of Doordarshan which is 75% (Regional language only).

Issues faced by customers
Affordability ? The packages at which the connections of these telecoms are provided is seen as a problem by the villagers due to less income. Connectivity: ? Airtel although in majority, the network connection has gone very poor now, therefore resulting in the purchase of more of Idea Connections, which provides full coverage in the entire village. Conveyance: ? Need to go till Gajawdi, a nearby village, or to Sitara to get a recharge done. ? Incase of post-paid connections, for the billing they have to go to Parvi a nearby village.

Issues: faced by service providers
Airtel
? Airtel had the best connectivity so

IDEA
? IDEA is perceived to have the best

far, but has lost out to Idea
? Medium to low brand recall ? There is no connect with the

connectivity
? The social welfare approach

consumer, through the advertising

employed by the advertising has established an emotional connect with the customers

Issues: faced by service providers
BSNL
? Most cost effective ? Loses out on a large portion of the

target audience due to connectivity issues ? Low brand recall

Village Sarpanch:Baburao Jaisingh Kharande: … “ 80% of the population in our village own cell phones…but no special schemes for rural areas…”

“ Women like me would also like to own a cell phone...pan parvadat nahin…”

“…Range and cost is what matters most…advertising doesn?t really affect our choices…”

“I spend barely 30 Rs. In two months…I hardly make outgoing calls…”

Parli Village
Satish Bobade:“… I sell vouchers worth 20003000 everyday..mostly IDEA…10 Rs. Vouchers sell the most..“

I buy SIM cards for 20 Rs., and sell them adding a small margin…same is the case for top-up cards…”

IDEA Branding was most prevalent in the bazaar

“…We don?t consider other service providers, only IDEA works here…”

SWOT: Telecom sector
Strengths
? ?

About 80% of rural people use cell phones People are open to new schemes and offers

Weaknesses
? ? ? ?

Limited reach of media. TV and print limited to regional. Radio is non-existant. Lack of Innovative branding at Melas/bazaars Recharge coupons are available only in Satara Connectivity There is wide scope for outdoor branding On ground activities Panchayat can be contacted for information Kare, Aambde, Raigard, Aare Dare & Toshegarh: surrounding villages with populations of over 2000 Women as a potential target group

Opportunities
? ? ? ? ?

Threats
? ?

Lack of outgoing calls/messages Customer is highly price sensitive

Recommendations
DIRECT MARKETING On-ground activities: At Grass root level ? Limited media exposure in the village has led to reduced brand visibility amongst its target.
? On-ground activities such as visiting homes by the sales men of the company,

and making them aware of the brand.

? Also, the cricket matches that are held on a regular basis at the village could be

sponsored by these telecom services.

Branding in Melas: ? Taking advantage of Melas such as „Devachi Yatra Japli? that happens on a yearly basis, and villagers across Sitara District come together. This can provide as a branding platform for the brand.

Contact Gram Sabha: ? The companies should contact the Gram Sabha with details of his telecom services which he can then further convey to the villagers. Kiosks ? Service providers should have kiosks in villages to promote their service.

Marketing & Promotions
More Service Providers: ? Sales have reduced due to lack of service providers within a village. ? Increasing availability of service providers in each village would help improve sales. Network connectivity, boosters need to be put in.

Cheaper Schemes: ? Introducing cheaper schemes specifically for the rural areas only.
Outdoor Advertising: ? Hoardings in front of shops to increase visibility of the brand. TV Advertising: ? As Doordarshan enjoys maiximum viewership, the telecom services should use Doordarshan as a platform by showcasing their ads on it to reach out to maximum consumers in the rural areas.

Marketing & Promotions
Crossing the Language Barrier
? Ads should reach the TG in their language. For the same, the regular

telecom service advertisements should be dubbed in regional languages.

Tie-ups with Cell phone manufacturers
? Service providers should tie up with cell phone manufacturers such as

Nokia. Low- end phones/models with simcards should be given out through contests and luckydraws to induce usership.

Positioning line
? Advertising should focus on the connectivity aspect as their USP. Eg:

Airtels first campaign.



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