New Product Launch - Telecom

Project on : Marketing Application in Business
PRESENTED TO : Prof . Mrs Sonal Dabke

Xpress Tele-Services Pvt Ltd


Executive Summary
 Indian telecom Sector on boom
 MVNO Concept to enter Indian Telecom Sector
 New Concept of FREE Calling through Cell phones
 Revenue Generation from ADS


Current Market Situation & Opportunities
 India is set to become the world's second largest wireless
network by April 2008
 China tops the global ranks with over 540 million
wireless
 US with 260.50 million and India with 250.93 million.
 Monthly Additions :
 US : 2 to 3 million
 China : 6 to 7 million
 India : 8 to 9 million.


Competitors


India – A Country of Opportunities
 Working age population of India set to increase to 882
million by 2020
 India’s urban population expected to rise to 40 per cent
from the current 28 per cent by 2020
 30-40 million people joining the middle class every year
with consumption spendings associated with rising
incomes
 India represents vast untapped potential for global
telecom majors


What is an MVNO

Mobile Virtual Network Operator

•Purchases wholesale network voice and data access from a Host Network
Operator (HNO) and sells own branded wireless service to customers

•Product design and creation (within HNO operational parameters)

•Defines the addressable market, develops campaigns, advertising, promotions,
acquisition, loyalty and retention

•Owns the sales and distribution strategy and operation

•Owns the customer relationship

•Network element ownership and control varies from none to extensive –
depending on the MVNO model

Launch Video of the Product


PRODUCT & PRICE


PRE- PAID PLAN
X press UNLIMITED

FEATURES

 Free unlimited outgoing to any local mobile network.*
 Free unlimited SMS’s to any network.*
 10 Emergency Calls per month without any ads.
 Free GPRS activation and free surfing.
 Minimum Monthly ReCharge of Rs. 249/-
 Talk time worth Rs 50/-
 Roaming and STD Charges at Rs 1/- per min

* CONDITIONS APPLY

CONDITIONS

 Recharge Compulsory between 1st -5th of every month
 Users will receive upto 10 TEXT SMS’s / MMS’s daily.
 20 sec audio ads prior to call.
 HTML AD Bar while using GPRS.
 Caller tunes would be Jingles of Advertisers *
 Press * option for emergency calls.
 Handset should be GPRS enabled.
 Text AD’s on all outgoing SMS’s
 Plans are applicable for a year


REVENUE MODEL

 Income from STD Calls and SMS’s
 Income from Content downloads
 Income from sale of handsets
 Income from ADVERTISEMENTS
( Interactive HTML / TEXT SMS’s / MMS’s / AUDIO )


Interactive Ads


Revenue from Sale
of Handsets


PRE- PAID PLAN
FREXPRESS

FEATURES
 100 Free SMS’s to any network
 Upto 60 min of talk time free every month subject to 3 min
per call.
 Free unlimited outgoing to Xpress and Reliance Network
 Free GPRS activation and free surfing.
 Call Charges : Rs 1 per min
 SMS’s Charges: Rs 0.50 per SMS’s

* CONDITIONS APPLY


CONDITIONS

 Users will receive up to 10 TEXT SMS’s / MMS’s daily.
 Minimum Refill of Rs. 10/- between 1st–5th of every month
(Validity 30 days)
 20 sec audio ads prior to call limited till free talktime.
 HTML AD Bar while using GPRS.
 Press * option for emergency calls.
 Caller tunes would be Jingles of Advertisers *
 Handset should be GPRS enabled.
 Text AD’s on all outgoing SMS’s
 Plans are applicable for a year


REVENUE MODEL
 Income from Calls / SMS’s
 Income from Content downloads –
Ringtones/Subscriptions etc…
 Income from sale of handsets
 Income from ADVERTISEMENTS
( Interactive HTML / TEXT SMS’s / MMS’s / AUDIO )


Recharge Options
 Recharge Vouchers
 E- Charge
 Direct Debit
 Web Charge ( Credit Card / Direct Debit / Itz Cash )
 Direct Charge (* Amount * 526701246001XXXX* 333#)
condition: Registration Required


Other Services

 Subcriptions: CricLive, Horoscope, Newslive etc
 Download Wallpapers, Ringtones etc
 Xpress-ON – Web Portal: Free (Like Airtel Live)
 XpressTunes – Call back Tones (If required)
 XpressGana – Online Music Directory
 Xpressionary – Online Dictionary
 XpressMaps – Search a nearby BookStore, Multiplex
etc.

 All Services will be made available at competitive rates /
Monthly basis.


Major Advertisers
 Educational Institutions
 Consumer Durables
 Websites
 Research Companies
 Entertainment & Media Companies
 Handset Manufacturers
 Govt and NGO’s


Place
 Xpress Stores at all major locations.
 Franchisee model for other areas.
 Recharge Vouchers and Sim Cards will be made available
at local retail stores.
 Handsets and Sim cards will be available at all leading
mobile retail outlets.


PROMOTION
 Ads – TV, Radio, Print & Internet
 Sponsering Events
 Promotional Song

Radio Ad Jingle


SWOT Analysis


Strengths

 No huge investments compared to existing players
 Innovative calling concept
 Unique tariff plans with flexible recharge options
 Benefits from reliance network
 First company to give free call option.
 Pioneer of MVNO concept in a country


Weakness

 Call free for only three minutes
 GPRS enabled handsets required
 Time consumption for call connection
 No independent network.


Opportunities

 India is set to become the world's second largest wireless
network.
 India's monthly addition of 8 to 9 million users.
 Rising income levels of population.
 Revenue per user is on a rise.
 Problem of limited spectrum availability and the issue of
interconnection


Threats
 Contract base system
 New entrant(s) with same concept
 Quality of network may be an issue
 Limited target market.


Major Budget Expenses
 Cost of Tie up with RELIANCE
 Cost of Tie up with PATNI for back office operations
 Office set up cost
 Staff Cost
 Advertising and Promotion Expenditure
 Govt licenses and Legal Expenditure


Thank you

New Product Launch - Telecom

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