Virgin Competitors
Autor: linatinalina • November 27, 2016 • Essay • 587 Words (3 Pages) • 753 Views
Indian Telecom industry is one of the fastest growing telecom markets in the world. In this industry, service providers are the main drivers .The Indian telecommunications network is second largest network in the world after China.India is also the fastest growing telecom market in the world with anaddition of 10- 12 million monthly subscribers. India has emerged as a major base for the telecomindustry worldwide.
This Telecom industry is seeing a rise as the trend goes and has potential for growth.But there is still unexplored market.The competition is ruthless with around 10 Service provider. That means, In order to survive, The service providers have to be different and have to stick to strict service norms and provide excellent customer service in order to hold on to the market share. Thus there is intense competition in the market but at the same time scope for development in rural areas.
So Virgin Mobile has entered into a very competitive industry where Airtel (the largest private mobile service provider in India), Vodafone and Reliance are the dominant players. Virgin Mobile faces strong competition from Reliance (Reliance Communications Ltd. (RCom) is an Indian Internet access and telecommunications company ) CDMA (CDMA is an example of multiple access, where several transmitters can send information simultaneously over a single communication channel. ... CDMA is used as the access method in many mobile phone standards.)phones. But
Virgin Mobile have taken a different way and launched the brand in the youth segment.(Laura)
What makes them differnet from competitors is that Virgin mobile is a unique player based on its business model and strategy.Virgin mobile does not have a network on its own. It is the only service provider which does nothold any bandwidth and mobile setup infrastructure but uses TataTeleservices spectrum and is penetrating market totally on its branding and marketing strategy. Creating a niche brand and promoting it to specific customer segment with proper marketing has been the key success factor for virgin mobile. The tie up with Tata Teleservices enables it to fight competition as the network quality of Tata Teleservices was ranked first by Departament of telecommunications. but More than the others, Tata Teleservices needed a marketing push, which Virgin could provide but it had limited understanding of India market and dependent on partners for pricing, capacity. So while competitors Airtel, Idea and Vodafone had taken up initiatives to provide customized connections to Rural customers (like Motor pumps control system, loud speaker phone for illiterates and so on)
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