Mobil e

Background

Rural markets in India constitute a wide and untapped market for products & Services.

The government is trying to reach the villages through various initiates, but the rural tele-density is very poor and can be improved only through the introduction of modern and suitable technology along with participation from the private operators.

The Government of India, Bharat Nirman Initiative, 2005-09, had plans that every village in the country to be connected by VPTs by November 2007. But the status and maintenance of the VPTs(Village

Background (conti.)
Rural economy contributes nearly half of the countrys GDP ,which is mainly agriculture driven and monsoon dependant. More than 50 percent of the sales of FMCG and Durable companies come from the rural areas.

According to a McKinsey report twin by 2025 rural Indian market will be larger than the total consumer markets in countries such as South Korea or Canada today

The incomes of Indian rural residents are significantly lower than urban residents. The average revenue per user (ARPU) for rural residents was typically less than US$2 per month.

The future growth of the Indian mobile market is expected to be driven by rural customers, which account for about 70 percent of the countrys total population (1.1 billion people) with a teledensity of only 18.5 percent as of September 2009.

The Challenge
The issue of proper segmenting and targeting of village consumers should also be addressed.

Rural India is not a homogenous mass, but there are pockets of prosperous villages and areas in the country and within villages the purchasing capacity of the villagers vary and the products to be offered need to be tailored to their needs.

Success Stories

Service Design

Target Audience
Rural India
Villages with population less than 10000 We will rollout the services regionwise starting with Northern region

Customer Expectations
Cheap, good quality handset Network coverage Low call rates VAS
Mobile Health Care News Gaon Ki Awaz Operate Pumps Remotely Weather Forecast Crop Information

Service Offering - Hindustan Mobile

Hindustan Mobile will approach GOI to provide funds to help our operating costs. Hindustan Mobile will expand coverage into rural regions, by sharing passive infrastructure services with BSNL, through its joint venture. India Post will be used for distribution

Marketing Mix
Products
Postpaid Prepaid

Price
Pay monthly (Post Paid)
Fixed sum of Rs 50 per month for 2 years Nokia 1100 500 minutes and 50 sms free After which 1p /sec and 50 p/sms applies

Pay as you go (Prepaid)

Pay 1p /sec Rs 50p /sms

Promotion
Mobile vans to prompt Hindustan Mobile at Haats and Melas.

 People
Locals will be hired for sales Customer support with hub and spoke model.
A call first lands at a hub, and is then routed to a spoke on the basis of the caller line identification. For instance, the company has a large contact centre in Indore for its Hindi language users. But a user in Chattisgarh is not comfortable in Hindi, so the company will create a spoke there.

Process
Service Blueprint (discussed later)

Physical Evidence

Service Blueprint

hysical Evidence

Haat exterior hoardings Paintings on house walls Vans Flyers

Post office hoardings Haat exterior hordings

Sales staff

Free Phone

Documents Form Desk

Receipt SIM card/Phone

Post office hordings Haat exterior hordings

Sim Card

Customer

Customer awareness creation

Customer arrive at post office/haat

Inquires about new connection

Chooses number/plan

Give documents and sign up form

Receive SIM card and doing payment

Leave the store

Contact Person Visible

Informs about the services and offerings Free Phone Plan: Explains the plan and its benefits Help in filling up form Receive payment and handover SIM/Phone

Only SIM: Show numbers to choose from

Invisible

Check documents and save details

Verificati on of documents

Activate SIM Card/Phone

Support Proces

Information System

Varificati on System

Thank You