a study on sales and promotionof airtel

A Study on Sales and Promotionof Airtel

B. KRISHNA [PG scholar];G. PRANAY KUMAR[Guide]

Dr.K. VEERAIAH (PhD) [Head of the Department].

Department: - Department of Management Studies.

Branch: MBA (Marketing)

MARRI LAXMAN REDDY INSTITUTE OF TECHNOLOGY AND MANAGEMENT

E-mail: - [email protected]

ABSTRACT:

Sales promotion is any initiative undertaken by an organisation to promote on increase in

sales, usage or trial of a product or service. Sales promotions are varied. Often, they are

original and creative and hence a comprehensive list of all available technique’s sales

promotion includes several communication activities that attempt of provide added value or

immediate sales. The purpose of this article is to stabilise them in the market as well as to

retain its identity to find out sale’s promotional activities in the context of Airtel broadband

services at Coimbatore. For this article the two objectives are framed. The sampling size of

the respondents is 100 and simple random sampling is used to collect data. The statistical

tools used to analyse the data were percentage chi-square and rank analysis. Both the primary

and secondary data are used to collect data for the study. The study revealed the picture of

customer’s perception and satisfaction which help Airtel broadband to encourage more

people to have be the customers and consumers of Airtel broadband.

Keywords: Airtel broadband, Consumer, Organisation, Sales promotion, Services.

INTRODUCTION:

With the advancement of technology, a variety of new products are developed and innovated

into the already present market to improve the quality life of society. One of the most

effective and easiest ways to be outstanding among the competitive market world is to apply

sales promotion. Promotion is classified as one of the backbones of marketing mix, which is

used to increase the consumers’ purchasing behaviour. Research proposed that among the

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competitive businesses, promotion is an essential factor to a new product and present product

to continue surviving in the market shelf (Abdunnasir Ahmad Salem Jaradat, Jaradat, &

Fatima Lahcen Ait Yassine, 2011). Based on a marketer’s perspective, sales promotion has

acted as a vital tool to increase the sales profit within a short period of time. Meanwhile, as

consumers, we are surrounded by promotion in our daily life without being noticed.

Therefore, the implication and the effectiveness of sales promotion have received high

attention and concern (Ndubisi & Chiew, 2005).This article has reviewed the types of sales

promotion, which have played an important role in influencing the purchasing behaviour of

the potential consumers (Alvarez & Casielles, 2005; Chandon, Wansin, & Laurent, 2000;

Hendel & Nevo, 2006; Kalaiselvan, 2013; Lichtenstein, Ridgway, &Niemeyer, 1993).

Moreover, due to the consistent exposure to variety of sales promotion and individual

differences, each unique consumer has developed a different perception towards sales

promotion. Thus, this article has continuous discussionon the consumer’s perception on sales

promotion, and how the sales promotion can positively and negatively affect the consumer’s

cognitive thinking and purchasing behaviour.

OBJECTIVES OF THE STUDY:

The main objective of this study is to measure the impact of Advertising on sales of Bharati

Airtel Broadband Services in Hyderabad City.

To understand the role of advertising and consumers purchasing decisions;

To study the promotional polices of Bharati Airtel with reference to broadband

services; and

To analyse the impact of advertisement on sales in terms of demographic factors and

promotional activities.

HYPOTHESIS:

H0=There is no relationship between age and gender.

H1= There is relationship between age and gender.

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RESEARCH METHODOLOGY:

RESEARCH DESIGN DESCRIPTIVE

Sources of data collection Primary Data – Questionnaire, Personal

Interviews

Secondary Data – Books, Magazines and

Internet

Research instrument used Questionnaire

Research Technique Survey/Personal interviews

Sample location Rathi build mart, Raipur

Sample plan Simple Random sampling

Sampling unit Customers of Rathi build mart

Sample size 100 customers

DATA ANALYSIS AND INTERPRETATION:

1.

Objectives

Question 1 Question

2

Question 3 Question 4 Question 5

1 100 80 0 20 240

2 60 140 240 160 60

3 100 100 100 20 40

4 80 0 0 40 0

5 20 0 100 0

not

applicable

1 Attractive packaging 100

2 Shop display & 60

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3

4

INTERPRETATION:

Word of Mouth is considered as a very important and useful tool in rural areas. Shopkeeper

and relative’s recommendation are considered as very important and rural customers get

influenced by their advice. Attractive Packaging is considered

publicity, when rural customers were asked to comment on this, almost 200(58%)

respondents considered attractive packaging and word of mouth to be the most influential

strategies which influence them the most. While 80(24%) c

retailers influence them when they buy any product and they consider their advice genuine

and useful. Remaining 60(18%) respondents considered shop display as well as instore

advertising important and they decide the brand at the

make up their mind when they see wall displays and other advertisements and even products

in the shelves.

Word of mouth

29%

Dealer24%

FACTORS INFLUENCE A CONSUMER TO BUY PARTICULAR BRAND

1

Advertising

Word of mouth 100

Dealer 80



influenced by their advice. Attractive Packaging is considered as important as word of mouth



strategies which influence them the most. While 80(24%) consumers said dealers and



advertising important and they decide the brand at the time they enter in a shop and they


Attractive packaging

29%

Shop display & Advertising

18%

FACTORS INFLUENCE A CONSUMER TO BUY PARTICULAR BRAND

Strongly Agree 80



as important as word of mouth



onsumers said dealers and



time they enter in a shop and they


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2.

INTERPRETATION:

Promotion is the most effective tool for attracting and influencing the customer. It includes

elements like personal selling, advertising, public relation, sales promotion and direct

marketing. It helps in conveying message about the product offering to th

creating demand, market positioning, make a decision related to buy a product. It can

interpreted on the basis of various researches that sales promotion is one which encourages

quick and large purchases in a limited period of time. It can be

activity that adds the value proposition related to a product in order to stimulate consumer

purchasing, effective sales and the effort made by the sales force. When rural consumers were

asked, chunk of the respondents 220(65%)

purchasing decision while 100(29%) feel it depends on various factors including pricing,

promotion, place as well as attributes of the product which influence rural customers and

encourage them to buy the product. Re

different opinion, they feel promotional schemes hardly influence rural customer as they are

not educated and they cannot differentiate the benefits of the product.

41%

29%

0%6%

promotional Schemes affects the purchasing Decision

2

3

4

5



marketing. It helps in conveying message about the product offering to th



quick and large purchases in a limited period of time. It can be said that, it’s a marketing



asked, chunk of the respondents 220(65%) said promotional schemes stimulates the



encourage them to buy the product. Remaining 20(6%) has rejected this view and they are of


not educated and they cannot differentiate the benefits of the product.

24%

41%

promotional Schemes affects the purchasing Decision

Strongly Agree

Agree

Neutral

Strongly Disagree

Disagree

Agree 140

Neutral 100

Strongly Disagree 0

Disagree 20



marketing. It helps in conveying message about the product offering to the customers,



said that, it’s a marketing



said promotional schemes stimulates the



maining 20(6%) has rejected this view and they are of


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3.

Rural consumers take advice from retailer when they buy any product. Infact, in rural areas

shopkeepers’ recommendation is considered to be most important and trustworthy. It was

observed that 240(71%) take advice from retailer and wholesaler before buy any product.

They consider it useful as retailer is well aware about the product, its composition and

different schemes available at that time, only a retailer can communicate the message of the

organization very clearly as they are directly associated with them. 100(29%) rural

consumers think rural customers take advice from a retailer but they are not totally influenced

by them. They enquire about the product from their relatives too as rural co

connected with each other.

1 Strongly Agree

2 Agree

3 Neutral

4 Strongly Disagree

5 Disagree

29%

The Advice of Ratailer and wholesaler affects the consumer's buying decision



240(71%) take advice from retailer and wholesaler before buy any product.





by them. They enquire about the product from their relatives too as rural consumers are well

Strongly Agree 0

240

100

Strongly Disagree 0

Disagree 0

0%

71%

0%0%

The Advice of Ratailer and wholesaler affects the consumer's buying decision

strongly agree

agree

neutral

strongly disagree

disagree



240(71%) take advice from retailer and wholesaler before buy any product.





nsumers are well

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4.

INTERPRETATION:

Rural customers remember a FMCG product by its packaging. They rarely identify any

product by its name due to illiteracy but they remember its packaging which attracts them the

most. Packaging creates a favourable impression in rural customers’ mind which

their buying behaviour. Even if a product is offering multiple benefits but it doesn’t have

attractive packaging, it cannot influence rural customers. When rural customers were asked to

comment on this, 160(47%) respondents said they agree with thi

attractive packaging very important at time of purchasing. 20(6%) rural customers strongly

advocated it and their purchasing are mostly done on the basis of packaging and they buy

those items which look attractive. It was observed

purchase items on the basis of packaging, they consider other elements of marketing when

6%

6%12%

29%

Attractive Packaging motivatives and enables customer to buy the

product

1 Strongly Agree

2 Agree

3 Neutral

4 Strongly Disagree

5 Disagree



most. Packaging creates a favourable impression in rural customers’ mind which



comment on this, 160(47%) respondents said they agree with this fact and they consider



those items which look attractive. It was observed that 140(41%) respondents said they don’t


47%

Attractive Packaging motivatives and enables customer to buy the

product

Strongly Agree

Agree

Neutral

Strongly disagree

Disagree

Strongly Agree 20

160

20

Strongly Disagree 40

100



most. Packaging creates a favourable impression in rural customers’ mind which impacts



s fact and they consider



that 140(41%) respondents said they don’t


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they go to buy the products like shopkeepers’ recommendation, relatives’ recommendation,

discounts available, free gifts etc.

element but they consider other elements also while buying any FMCG product.

5.

INTERPRETATION:

Promotional schemes influence rural customers and they are very curious to explore different

promotional schemes. FMCG companies in particular are promoting their products by

launching various promotional schemes like Money back o

cap etc. When rural consumers were interviewed, it was observed that rural consumers are

highly influenced by various promotional schemes. Money back offer

cap- 60, Prizes on the specific number o

70%

18%

12% 0%

Promotional Scheme Changes the buying Decision of a Customer

1 Money Back Offer

2 Prizes On Bottle Cap

3 Prizes on the specific

number of bottle caps

4 Bumper Prize


discounts available, free gifts etc. While 20(6%) respondents consider packaging a important

element but they consider other elements also while buying any FMCG product.



launching various promotional schemes like Money back offer, bumper prize, prizes on bottle


highly influenced by various promotional schemes. Money back offer- 240, Prizes on bottle

60, Prizes on the specific number of bottle caps- 40.

Promotional Scheme Changes the buying Decision of a Customer

Money Back Offer

Prizes On Bottle Cap

Prizes on the specific number of bottle caps

Bumper Prize

Money Back Offer 240

Prizes On Bottle Cap 60

Prizes on the specific

number of bottle caps

40

Bumper Prize 0


While 20(6%) respondents consider packaging a important



ffer, bumper prize, prizes on bottle


240, Prizes on bottle

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FINDINGS:

Four leading sales promotional tools, based on consumer influence, were coupons, home

samples, in-store samples and retail shopper cards. Shopper cards had most influence on

purchase of secondary, not primary brands in categories. Shopper cards are a clearly

underused promotional tool in building brand preference and sales.

SUGGESTIONS:

1. From the users of broadband internet point of view service quality is the most relevant

factor and hence Airtel Broadband services should highlight the same in its

promotional activities. Some customers are planning to discontinue because of high

billing and poor after sales service. Though it is a small percentage, the company

should focus on these to keep the brand image in the minds of people.

2. Customers’ complaints should be dealt quickly and as faster as possible. This will

reduce the chance for dissatisfaction. Many dissatisfied customers have asked for

more information about other plans or change of plans. So, the dissatisfaction towards

the broadband services may be due to providing wrong plans by the sales people.

However, the company can make use of this opportunity to retain its customers by

providing the right plans and or alternative plans.

3. It is also suggested that dissatisfied customers should be identified, other measures

may be taken for and if possible, they can be converted into satisfied customers by

designing suitable packages, service quality and prompt after sale services.

4. It is also imperative study for other service providers to shape/redesign their

marketing strategies in order to overcome this type of issues and market forces in the

competitive environment.

CONCLUSION

Advertising has really played an important role in increasing the sales volume of Airtel

Broadband Services; in fact, it has contributed immensely to increasing growth of this

company when compared to other companies. The role of celebrity endorsements, loyalty

rewards also played vital role in promoting its services and because it has placed positive

image of the company’s product in mind of the potential consumers and this can influence

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buying behaviours. Airtel is one of the powerful brands in India and it has been successful

in creating a strong impression on the consumer minds with its varied products and

offerings to consumers on a huge scale to deliver its customers at its best. The overall

objective of the study was to find out how the customer’s impact on sales promotional

activities of Airtel broadband services and to find out their satisfaction towards the

service against its competitors was achieved. The study revealed the picture of customers’

perception and satisfaction which help Airtel broadband to encourage more people to its

folder.

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12. www.airtelbroadband.in

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a study on sales and promotionof airtel

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