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Assignment

Of

MARKETING MANAGEMENT

On

Marketing Research on New Product

M-Pay (Mobile Payment)

Easy, Quick & Secure Money Transfer

.

Submitted To: Submitted By:

Dr. B.B Singla Avneesh Manchanda

Roll No. 5701

MBA-1(A)


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About Company

Airtel comes to you from Bharti Airtel Limited, one of Asias leading

integrated telecom services providers with operations in India, Sri Lanka and

Bangladesh. Bharti Airtel since its inception has been at the forefront of

technology and has pioneered several innovations in the telecom sector.

The company is structured into four strategic business units - Mobile,

Telemedia, Enterprise and Digital TV. The mobile business offers services

in India, Sri Lanka and Bangladesh. The Telemedia business provides

broadband, IPTV and telephone services in 95 Indian cities. The Digital TV

business provides Direct-to-Home TV services across India. The Enterprise

business provides end-to-end telecom solutions to corporate customers and

national and international long distance services to telcos.

Today Airtel is the largest telecom operator in India on subscriber base

and right now has more than 11 crore mobile subscribers throughout

India.

Mission

To provide the customers with the easy way of money transfer through

mobile and revolutionize the mode of payment.

Objectives

To penetrate the service throughout India and targeting whole mobile

customer base.

To make the beginning of easy and quick method of money transfer.

To have long sustainability in Telecom market.

To capture the major market shares and long term sustainability.


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About the Product/Service

M-pay is the service that basically allows the customers to make easy,

quick and secure payment through mobile and that too without the help of

Internet, GPRS and even without Credit Cards. Customer can transfermoney from his account balance to the other person's balance just by

sending a SMS and if the other person wants that money in the form of his

account balance then he can use it as it is and if he wants it in cash then he

can get it encashed from the retailer /dealer. Airtel will take 0.5%

commission and same is in the retailer case.

Need/ why it is launched?

As of now when we need to transfer money/pay some other person, we use

either of the methods

(i) We pay through cash

(ii) We go to bank and either deposit the money in that persons account or

make a draft

(iii) Make payment through Internet using Internet Banking.

But with the help of this service you can just transfer the money from your

mobile just by sending a SMS and that too from anywhere to anybody and

with so much ease and quick and secure method.


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How to get this service?

In order to use this service first of all you need to subscribe to it by sending

an SMS free of cost.

Send M-Pay to 54321

Then you will receive a message from Airtel:

Welcome to Airtel. Let us take you to the whole new world of mobile

payment. Before you can use this service you need to enter 5 digit secret

Password that you need to enter during every transaction for safe and

secure money transfer.

Then Customer enters the password

Then again he receives a message from Airtel:

Your password has been save din our database and you can use it in

further transactions

How does it work?

Step 1. First of all you must know the mobile number of the other person

whom you want to transfer the money provided that customer should also

be of Airtel (since this service is only available with Airtel. No doubt in

coming times other telecom operators may follow the suit and then

customers will be able to transfer money to other operators as well.)

Step 2. You should have enough balance in your mobile to transfer money.

I.e. you want to transfer Rs 100 then you should have at least Rs 100 in your

balance.

Step 3. You just need to send a SMS in the following format.

PAYRsto

Send this SMS to 54321.


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Step4. Then it will ask for yourSecret Password to verify and authenticate

the transfer process. Thus the transfer process is safe and secure.

Step5. After the money transfer has been done then the sender will get the

message Transaction Successful and the receiver will receive the

message Received Rs from mobile no

If your balance gets nil, then you can get it recharged as you used to do

earlier and carry on with the same process.

Airtel will charge 0.5% on the amount of money transferred.

And if the user wants that money in cash then he can get it

encashed from Retailer/Dealer who in turn will charge 0.5%

on the money exchanged.

Unique Selling Proposition

Unique Selling Proposition says: "Buy this product, and you will get this

specific benefit." Unique selling proposition for this service is:

This particular service is first of its kind and is not being

presently being offered by any other telecom operator.

It does not need any Internet, GPRS connectivity or any Credit

Card as being used by other payment modes.

It can also be used for making electricity and telephone payments

through mobile

Thus M-Pay provides an easy, quick and secure money transfer.


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Approach

The approach being used for this service is:

First of all this service will be based on Pilot Study.

I.e. initially the customers will be able to transfer money up to the limit of

Rs 5000 and if we receive good response/hits to it, then post that we can

launch recharge coupons of larger amount up to RS 15000 so that users can

transfer money up to higher value.

Applications

1 First of all this service can be used to transfer money /make paymentsbetween different users.

2 It can also be used to pay electricity bills.

3 It can also be used to pay telephone bills.

Application - Bills Payment

M-Pay can also be used for electricity and telephone bills paymentas:

Electricity Bill Payment

Airtel has collaborated with State Electricity Board to make

payment of electricity bills easier and quick. Else the customers

have to stand in long queues and then wait for their turn to pay the

bills. Thus it was a long and tiresome process earlier. But with M-

Pay you can pay your electricity bills in an easier and quick

method.

Airtel has provided Electricity Board with a specific number which

the customers have to quote while making payment.


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Target customers

Various target groups are:

Young Group: These are the ones who are tech savvy and use mobilefor everything.

Old people: The aged group who use mobile and cannot go to banks

and cant use internet banking for making payments.

Working people: The ones are using mobile and too busy to pay

through bank or standing in long queues for bills payment.

Businessman: Those who need to make payments to suppliers and

have less time to go anywhere for making payment.

So overall the whole population is target groups who use mobile

and need to make money transfer for one purpose or the other.

SWOT Analysis

1. Strength

First operator to launch this service

Easy way of money transfer.

No competition in the starting.

Can be used to pay electricity and telephone bills

Affordable Price.

2. Weakness

Money can be transferred only to the same operator.

Initially money transfer up to Rs 5000.


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3. Opportunities

New segment of service.

More options to be available in near future.

Can be used by all age groups.

4. Threats

Present competition from other modes of payment such as cash, banks

and internet banking

Competition in future from other operators launching the same service

in the near future.

Marketing Objectives

1. To popularize the new money transfer service.

2. To capture the new segment in money transfer.

3. To gain profits through Market penetration

4. To create wave of mobile money transfer service to make them a dailypart of life.


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Marketing Mix

1. Product Strategy

This includes the features of the product/ service:

Recharge coupons will be available in different values to recharge

your account balance up to Rs.5000.

Also the service will help the user to pay the electricity and telephone

bills.

Tetra packs are preferred choice for packing as they maintain the

freshness.

2. Pricing Strategy

The marketing penetration method is to be adopted. The prices are as

followed:

Airtel will charge 0.5% commission on the amount of money

transferred.


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Retailer will charge 0.5% of the money which the user wants to

exchange.

3. Promotional Strategy

The main focus of promotion is to penetrate the new money transfer through

mobile service throughout whole mobile subscriber base.

Promotion Channels used are:

a. Television channels focusing commercial channels, News channels

b. Radio advertisement is in main focus.

c. Pamphlets in newspapers focusing on message of the product.

d Through promo posters at various public places and road junctions.

e Through banners and web pages advertising.

4. Placing Strategy

The service will be launched throughout India to reach whole of the mobile

subscriber base. The product will be launched PAN India level.

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