8/6/2019 Indian telecom industry –a snapshot
http://slidepdf.com/reader/full/indian-telecom-industry-a-snapshot 1/12
8/6/2019 Indian telecom industry –a snapshot
http://slidepdf.com/reader/full/indian-telecom-industry-a-snapshot 2/12
�� India has one of the biggest telecom markets in the world. It has more GSM subscribers than fixedIndia has one of the biggest telecom markets in the world. It has more GSM subscribers than fixed--lineline
subscribers.subscribers.
�� Total telecom subscribersTotal telecom subscribers 525 million (Dec 2009)525 million (Dec 2009)
�� TeledensityTeledensity 42.27 per cent (August 2009)142.27 per cent (August 2009)1
�� Addition of mobile subscribers (JulyAddition of mobile subscribers (JulyAugust 2009)August 2009) 15.08 million115.08 million1
�� Annual growth rate of telecom subscribers (June 2008Annual growth rate of telecom subscribers (June 2008June 2009)June 2009) 42.68 per cent42.68 per cent
�� Average Revenue Per User (ARPU) for GSM (as on 30 June 2009)Average Revenue Per User (ARPU) for GSM (as on 30 June 2009) Rs 184.83Rs 184.83
�� Telecom equipment market (2008Telecom equipment market (200809)09) US$ 24.99 billionUS$ 24.99 billion
�� Handset market (2008Handset market (2008--09)09) US$ 5.82 billionUS$ 5.82 billion
�� Expected mobile subscriber base (2013)Expected mobile subscriber base (2013) About 771 million.About 771 million.
8/6/2019 Indian telecom industry –a snapshot
http://slidepdf.com/reader/full/indian-telecom-industry-a-snapshot 3/12
� 10The telecom subscriber base in India is likely to reach 500 million by 2010.
� The subscriber base grew to 494.07 million (August 2009), registering a growthof approximately 42.67 per cent over last year. It grew at a CAGR of 45.21 percent from June 2004 to June 2009.
� Teledensity in India is still low as compared to that in some countries. As onAugust 2009, India had a teledensity of 42.27 per cent as compared to the
previous years figure of 29.83 per cent
1 2 3 4 5 6
Teledensity 7.04 9.61 13.96 19.06 28.33 39.86
05
1015
20
25
30
3540
45
Teledensity
8/6/2019 Indian telecom industry –a snapshot
http://slidepdf.com/reader/full/indian-telecom-industry-a-snapshot 4/12
� Large population.
� Low telephony penetration which is giving a
lot of scope to increase subscriber base.� Rise in consumer income & spending owing
to strong economic growth
8/6/2019 Indian telecom industry –a snapshot
http://slidepdf.com/reader/full/indian-telecom-industry-a-snapshot 5/12
8/6/2019 Indian telecom industry –a snapshot
http://slidepdf.com/reader/full/indian-telecom-industry-a-snapshot 6/12
� By selling VAS
8/6/2019 Indian telecom industry –a snapshot
http://slidepdf.com/reader/full/indian-telecom-industry-a-snapshot 7/12
� ARPU numbers as reported by playerscurrently are understated.
�
Increase in profitability in the next five yearsbecause of Increase in revenue
Decrease in operating cost
� Larger and more profitable operators arebound to emerge after a wave of consolidation
�
8/6/2019 Indian telecom industry –a snapshot
http://slidepdf.com/reader/full/indian-telecom-industry-a-snapshot 8/12
� 3G services will help increase revenues
� Mobile Number Portability will benefit the
companies users switch to
8/6/2019 Indian telecom industry –a snapshot
http://slidepdf.com/reader/full/indian-telecom-industry-a-snapshot 9/12
� Lower tariff rates
Greater savings
Easy availability of service providers
More options in terms of network providers
� Usage increased
�
Mobile number portability
8/6/2019 Indian telecom industry –a snapshot
http://slidepdf.com/reader/full/indian-telecom-industry-a-snapshot 10/12
� Improvement in quality of services
Network coverage
Call drops are less
Easy bill paying options
Payment Kiosks
Online payments
Drop boxes
Improved customer helplines
8/6/2019 Indian telecom industry –a snapshot
http://slidepdf.com/reader/full/indian-telecom-industry-a-snapshot 11/12
� Value added services
Can plan their own tariff plan
Internet services have improved
Ring tones downloads, Caller tunes
MMS, GPRS
Infotainment etc.
8/6/2019 Indian telecom industry –a snapshot
http://slidepdf.com/reader/full/indian-telecom-industry-a-snapshot 12/12
� Focus on careful market segmentation and
value-based differentiation
� adopt a dynamic pricing strategy� well designed self service system
� differentiate services offered to thesesegments through better network
quality, customer care and marketing