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Oriental College OF Commerce &
Management
A STUDY ON
CUSTOMER SATISFACTION FOR MTNL
PRODUCTS AND SERVICES AND ITS
ROLE IN BUILDING BRAND EQUITY
FOR THE COMPANY

Submitted to
Nina Mam

Submitted by:
Name of the student

Asif Khan

Roll No.

09

Course

S.Y.BMS
PREFACE

This report deals with organizations activities related to
organizational appraisal. It includes methods, past
experiences, board of directors of organizations, etc.
Subject matter of this report has been elaborated with
simple words and lucid. Tables, charts, figure have been
given to facilitate under- standing. Thus the have left no
stone unturned to make this work useless, wasteful and
valueless. I gave my complete effort to make it valuable,
useful and enrich it with my views so that it give complete
sense and benefit to readers

Asif Khan
CERTIFICATE
This to certify that ASIF KHAN is a bonafide student of
this institute perusing S.Y.BMS fulltime program of three
years duration.
And has undertaken a minor project on Organizational
Appraisal in partial fulfillment of S.Y.BMS degree as
required under the rules of the University.
ACKNOWLEDGEMENT
With an over whelming sense of gratitude I acknowledge
the valuable guidelines and consistent and encouragement
extended to me by our knowledge faculty members with
whose guidance I am able to accomplish this Endeavour.
When where technical acumen and years of experience
have provided me with crucial inputs at critical stage.
I am especially indebted to Trinity Institute of Professional
Studies to provide all the necessary materials which help
me in accomplishing the task assignment.
I also want to thank my project guide Prof Raj who
encouraged and motivated me to work on this project.

ASIF KHAN
EXECUTIVE SUMMARY
MTNL was set up on 1st April, 1986 by the Government of India to upgrade the quality
of telecom services, expand the telecom network, and introduce new services and to raise
revenue for telecom development needs of India’s key metros. Delhi, the political capital
and Mumbai, the business capital of India. In the past 20 years, the company has taken
rapid strides to emerge as India’s leading and one of Asia’s largest telecom operating
companies. Besides having a strong financial base, MTNL has achieved a customer base
of 5.92 million as on 31st March 2006.

The company has also been in the forefront of technology induction by converting 100%
of its telephone exchange network into the state-of-the-art digital mode.
The Govt. of India currently holds 56.25% stake in the company

The Telecom industry is one of the leading and fastest growing in the world as
communication plays a vital role in the world and especially in India. It acts as a major
catalyst for the economic growth.

MTNL has good brand awareness among the people. This could be attributed to its long
history in the market and continued support from the Government.
In today’s competitive world, MTNL has to provide excellent services to attain a major
market share and keep their Customers satisfied in all aspects.
This research study is useful for MTNL to understand the expectations and requirements
of Customers and can serve them in a better way.
The researcher has done an internship project at MTNL, Delhi in pursuance of
determining the brand equity for MTNL and then the customers’ feedback on the various
products.
The samples of 250 respondents from among the universe of MTNL users at Rohini,
Pitampura and saraswati vihar were selected at random to conduct the study. The MTNL
staffs who were contacted to learn about the various MTNL packages and policies were
also the primary source of data.

Questionnaire was designed after a pre-survey interview covering all the aspects of
MTNL services. Data analysis and interpretation was done using the collected data with
necessary tools including percentage analysis, five point scale was used to grade the
opinion of the respondents.

The researcher strongly believes that this study would be helpful to the MTNL
Management in knowing about the Customers Satisfaction, Customer Perception,
Customer Preferences, and service requirements and about the other competitor’s status
in the market thereby helping them in improve their quality of Services offered
Table of Contents

S. No.

Topic

Page No.

I

Certificate

(i)

II

Acknowledgement

( ii )

III

Executive Summary

( iii )

IV

Chapter 1: Introduction

(1)

1.1 Conceptual Background
1.2 Company Profile
V

(2 – 10)
(11 - 14)

Chapter 2: Background

(15)

2.1 Statement of problem
2.2 Data Collection
VI

(16)
(17)

Chapter 3: Research Methodology
3.1 Statistics
3.2 Analysis of Brand Perf.

VII

Chapter 4: Data Analysis &

(18)
(19-26)
(27)
(20)

Findings
VIII

Chapter 5: Conclusions &
Suggestions & Limitations

IX

Chapter 6: Bibliography

X

Comments

(36)
CHAPTER 1
INTRODUCTION
1.1 CONCEPTUAL BACKGROUND
(1)

When we talk about customer service and/or satisfaction, we talk about creativity.
Creativity allows us to handle or diffuse problems at hand or later on
in the process of conducting the everyday business. We talk about how, or
rather what, does the organization have to do to gain not only the sale but
also the loyalty of the customer. We want to know the payoff of the transaction
both in the short and long term. We want to know what our customers
want. We want to know if our customers are satisfied. Satisfaction,
of course, means that what we delivered to a customer met the customer’s
approval. We want to know if customers are delighted and willing to come
back, and so on. Fleiss2 and Feldman3 present examples of that delightfulness
in their writings. Fleiss has written about Ben and Jerry’s ice cream and
Feldman
has
discussed
excellence
in
a
cab
ride.
As important as delightfulness is, some of us minimize it, or even totally
disregard it. At this point, we fail.

Some of the issues that will guarantee failure in sales, satisfaction, and
loyalty are:
• Employees must adhere to a rigid chain of command
• Employees are closely supervised
• Conflict—in whatever form—is not allowed
• Rewards are based on carrot-and-stick principles
• Wrong objectives are measured
However, we increase our chance of success if we allow employees to take
personal responsibility for their actions in the areas of communication,
performance, and customer satisfaction. How can we sensitize our employees
to these issues?
First, we must identify how we define the customer.
Customer Service and Satisfaction
Second, we must understand customer expectation levels concerning quality.
Third, we must understand the strategy for customer service quality, and
Fourth, we must understand the measurement and feedback cycles of customer
satisfaction.
The customer is the person or unit receiving the output of a process on
the system. In fact, it is worth emphasizing that a customer can be the
immediate, intermediate, or ultimate customer. Also, a customer may be a
person or persons, or a process or processes.
Customer satisfaction, however, is when the customer is satisfied with a
product/service that meets the customer’s needs, wants, and expectations.
To further understand customer satisfaction, we must take a deeper look
at the levels of specific satisfaction. We must also recognize that there are
levels of customer satisfaction that, in a sense, define the basic ingredients
of quality.

There are at least three levels of customer expectations about
quality:
Level 1. Expectations are very simple and take the form of
assumptions, must have, or take it for granted. For example, I expect
the airline to be able to take off, fly to my destination, and land
safely. I expect to get the correct blood for my blood transfusion.
And I expect the bank to deposit my money to my account
and to keep a correct tally for me.
Level 2. Expectations are a step higher than that of level 1 and
they require some form of satis faction through meeting the
requirements and/or specifications. For example, I expect to be
treated courteously by all airline personnel. I went to the hospital
expecting to have my hernia repaired, to be in some pain
after it was done, to be out on the same day, and to receive a correct
bill. And I went to the bank expecting the bank teller to be
friendly, informative, and helpful with my transactions.
Level 3. Expectations are much higher than for levels 1 and 2.
Level 3 requires some kind of delightfulness or a service that is so
good that it attracts me to it. For example, an airline gives passengers
traveling coach class the same superior food service that
other airlines provide only for first-class passengers. In fact, I
once took a flight where the flight attendant’s actually baked
cookies for us right there on the plane. When I went to the hospital,
I expected staff to treat me with respect and they carefully
explained things to me. But I was surprised when they called
me at home the next day to find out how I was doing. And at my
house closing, the bank officer, representing the bank holding
my mortgage, not only treated me with respect and answered all
my questions about my new mortgage, but just before we shook
hands to close the deal, he gave me a housewarming gift.
Customer Service and Satisfaction 3
The strategy issue is also a very important element of customer satisfaction,
primarily because it sets the tone for the appropriate training,
behavior, and delivery of the specific service.

There are four items that
(3)
the strategy for service quality ought to address:
1. Customer service attributes: The delivery of the service must be timely, accurate,
with concern, and with courtesy. One may ask why are these elements important? The
answer is that all services are intangible and
are a function of perception. As such, they depend on interpretation.
In addition and perhaps more importantly, service by definition is perishable
and if left unattended, it can spoil on the organization.
The acronym COMFORT can be used to signify the importance of
service. COMFORT is caring, observant, mindful, friendly, obliging,
responsible, and tactful. These characteristics are the most basic attributes
of customer service and without them, there cannot be a true service
of any kind. They all depend on interpersonal skills, communication,
empowerment, knowledge, sensitivity, understanding, and some
kind of external behavior.
For example, caring will show that, indeed, you are interested in what
the customer will have to say. You may spend time with a customer to
find out the customer’s real needs, wants, and expectations. It is not
unusual to tell a customer that you may not be able to help, even at the
expense of losing the sale. Furthermore, you may go as far as suggesting
the services of someone else or some other company.
You must be observant. In most cases when dealing with service-related
items, observations may contribute more to satisfying the customer
than direct communication. Pay attention to body language and mannerisms
and, if necessary, listen between the lines. Always try to be a step
ahead of the customer. Anticipate the customer’s action. Actively listen
for what the customer is communicating, but also—and, perhaps, more
importantly—listen for what the customer is not communicating.
You must be mindful. Remember that you and your organization exist
to satisfy the customer. Without the customer’s need, you do not have a
job and the organization does not have a service to provide. The
customer has a choice and, as such, if you or the organization does not
recognize the urgency, sensitivity, uniqueness, expectations, and influence
that the customer has, you will not be successful in satisfying the
customer.
You must be friendly. Friendliness does not mean being a pest. Offer
guidance and information, and let the customer know you are there to
help. If necessary, provide feedback to assist the customer in making
a decision. If you do provide feedback, be truthful. For example, in a
retail clothing store, someone walks into your store, walks around, picks
up some clothing, and tries it on. As a salesperson, you may advise the
customer about fit and answer any questions that the customer may
have.
You must be obliging. Patience is the key word to customer satisfaction.
Sometimes customers do not know what they want. They are making
up their minds as they go along. You are serving as the guinea pig
for their decision. As such, accommodating them may make the difference
between a satisfied and an unsatisfied customer, or the difference
between a sale and a walkout. When obliging the customer, do not hesitate
to educate the customer as well.
You must be responsible. You are the expert. The customer is looking
to you to provide the appropriate information in a clear, concise, and
easy-to-understand manner. Don’t try to make the sale at all costs. This
may backfire. What you are trying to accomplish is to develop a relationship
where your expertise can indeed help the customer.
You must be tactful. In any service organization, and in any service
delivery, there are going to be problems between you and the customer.
Do not panic. Tactfulness is the process by which the conflict may be
resolved. Your focus is to satisfy the customer and, as such, you should
try to identify the problem, analyze it, and then resolve it in the most
expedient way.
Being tactful does not mean that you have to give in to the customer
all the time. What it does mean is that you act in a composed, professional
manner and communicate to the customer in a way that is not
threatening or demeaning. Being tactful means you are willing to listen
and exchange information with the intention of resolving the conflict.
It means you have a way of presenting the facts and information in a
nice and no intimidating way. It means listening patiently, thinking
before speaking, and listening to what the customer says without
interruptions.
Notice that cost is not an attribute that will make or break service
and/or satisfaction. In service especially, cost is equated with value.
That is not to suggest that high cost is prerequisite to good service or
vice versa. We simply suggest that one must continue to generate more
value for the customer but not give away the house. It is indeed a very
delicate balance.
2. Approach for service quality improvement: The basic question one must be
able to answer is why bother with service quality? The answer is in a three prong
approach. The first is cost, the second is time to implement the
program, and the third is the customer service impact. Together, they
present a nucleus for understanding and implementing the system that
is responsive to both customers and organization for optimum satisfaction.
For example, the Japanese are working on the notion of sensuous
cars. Basically, the car itself gives you a kind of delight and surprise just
opening the door, hearing the sound, pressing the accelerator.
(5)
Everything is being thought through now, almost emotionally.
3. Develop feedback systems for customer service quality: The feedback system one
chooses will make or break the organization. Make sure not to mix
the focus of customer satisfaction and marketing. They are not the
same. The focus of customer service and satisfaction is to build loyalty,
and the focus of marketing is to meet the needs of the customer profitably.
Another way of saying it is that marketing’s function is to generate
customer value profitably, whereas the purpose of customer service
and satisfaction is to generate repeatability, recognition, and overall satisfaction
of the transaction.
The concern here is to make sure that a goal exists (a reporting system
for measurement is appropriate and useful for the particular service)
and to reach the reward of service quality. The question then
becomes how to develop a system that is responsive to the customer’s
needs, wants, and expectations. To answer these concerns, look to the
customer for answers.
The value of the information must be focused in at least the following areas:
• To know what customers are thinking about you, your service, and
your competitors
• To measure and improve your performance
• To turn your strongest areas into market differentiators
• To turn weaknesses into developmental opportunities—before someone
else does
• To develop internal communications tools to let everyone know how
they are doing
• To demonstrate your commitment to quality and your customers
In essence your measurement for the feedback must be of two distinct
kinds:
1. Customer satisfaction, which is dependent upon the transaction
2. Service quality, which is dependent upon the actual relationship
3.Implementation. Perhaps the most important strategy is that of implementation.
As part of the implementation process, management must
define the scope of the service quality as well as the level of customer
service as part of the organization’s policy. Furthermore, they must also
define the plan of implementation. The plan should include the time
schedule, task assignment, and reporting cycle

NEED FOR CUSTOMER SATISFACTION
(6)
The need to determine customer satisfaction will vary somewhat by the competitive
circumstances of a given industry. In intense consumer-focused activities, measuring
customer satisfaction is critical. But every company in every industry can benefit by
examining the needs of their customers. Some of the areas where improvement may be
expected include:

•Better determination of customer uses and needs.
•Identification of problems with customer services.
•A sharper focus on areas having the greatest need for improvement.
•Gaining insight for new products and/or service offerings
(7)
MARKETING MANAGEMENT
DEFINATION:
Marketing management is the practical application of marketing
techniques. It is the analysis, planning, implementation, and control of programs designed
to create, build, and maintain mutually beneficial exchanges with target markets. The
marketing manager has the task of influencing the level, timing, and composition of
demand in way that will achieve organizational objectives

BRAND EQUITY
(8)
What is brand equity?
The goal of the brand leadership paradigm is to create strong brands – but what is a
strong brand. Anyway? In Managing Brand Equity, brand equity was defined as the
brand assets (or liabilities) linked to a brand’s name and symbol that add to (or subtract
from) a product or service. These assets can be grouped into four dimensions: brand
awareness, perceived quality, brand associations, and brand loyalty. These four
dimensions guide brand development, management and measurement.


Brand awareness:
Brand awareness is an often undervalued asset; however,

awareness has been shown to affect perceptions and even taste. People like the familiar
and are prepared to ascribe all sorts of good attitudes to items that are familiar to them.
The Intel Inside campaign has dramatically transferred awareness into perceptions of
technological superiority and market acceptance.


Perceived quality:
Perceived quality is a special type of association, partly

because it influences brand associations in many contexts and partly because it has been
empirically shown to affect profitability (as measured by both ROI and stock return).


Brand associations:
Brand association can be anything that connects the customer to the

brand. It can include user imagery, product attributes, use situations, Organizational
associations, brand personality and symbols. Much of brand management involves
determining what associations to develop and then creating programs that will link the
associations to the brand.


Brand loyalty:

(9)

Brand loyalty is at the heart of any brand’s value. The concept is to
strengthen the size and intensity of each loyalty segment. A brand with a small but
intensely loyal customer base can have significant equity.

Brand Preference
The stage of brand loyalty at which a brand will select a particular brand
but will choose a competitor’s brand if the preferred brand is unavailable. See Brand
insistence; Brand recognition.

Customer Satisfaction
If the customer's expectations of product quality, service quality, and
price are exceeded, a firm will achieve high levels of customer satisfaction and will
create "customer delight." If the customer's expectations are not met, customer
dissatisfaction will result. And the lower the satisfaction level, the more likely the
customer is to stop buying from the firm.
(10)

1.2 COMPANY PROFILE
On October 1, 2000 the Department of Telecom Operations, Government of India
became a corporation and was christened Mahanagar Telephone Nigam
Limited (MTNL). Today, MTNL is the No. 1 Telecommunications Company and the
largest Public Sector Undertaking of India with authorized share capital of $ 3977 million
and net worth of $ 14.32 billion. It has a network of over 45 million lines covering 5000
towns with over 35 million telephone connections.

With latest digital switching technology like OCB ,EWSD ,AXE-10 ,FETEX ,NEC etc.
and widespread transmission network including SDH system up to 2.5 gbps, DWDM
system up to 80 gbps, Web telephony, DIAS, VPN, Broadband and more than 400,000
data customers ,MTNL continues to serve this great nation .
Its responsibilities include improvement of the already impeccable quality of telecom
services, expansion of telecom network, introduction of new telecom services in all
villages and instilling confidence among its customers.

MTNL has managed to shoulder these responsibilities remarkably and deftly. Today with
over 45 million line capacity, 99.9% of its exchanges digital, nation wide Network
management & surveillance system (NMSS) to control telecom traffic and over 4,00,000
route kms of OFC network, Bharat Sanchar Nigam Ltd is a name to reckon with in the
world of connectivity. Along with its vast customer base, MTNL's financial and asset
bases too are vast and strong.

(11)
Consider the figures, as they speak volumes on MTNL’s standing:


The telephone infrastructure alone is worth about Rs. 1,00,000 crore (US $ 22.74
billion)



Turnover of Rs. 31,400 crore (US $ 7.14 billion)

Add to which, MTNL's nationwide coverage and reach, comprehensive range of telecom
services and a penchant for excellence; and you have the ingredients for restructuring
India for a bright future. Today, MTNL is most trusted Telecom Brand of India

(12)
HISTORICAL EVENTS
1911

Establishment of Delhi telephones system with manual exchange

1926

Opening its 1st automatic exchange (Lothian exchange).

1937

Opening of Connaught Place exchange.

1945

First Manual Trunk exchange opened.

1950

Opening of Cantt exchange

1953

Tiz Hazari Exchange (Lothian exchange ceased working) commissioned.

1955

Secretariat exchange commissioned

1958

Karol bagh exchange (5X5) commissioned.

1961

Jor bagh exchange (5X5) commissioned.

1961

Shahadara exchange (5X5) commissioned.

1962

Opening of First STC service to Agra

1963

Delhi Gate (27) exchange commissioned.

1964

Delhi telephone crosses 50,000 lines

1966

Opening of exchanges at Nangloi, Narela, Najafgarh, Bahadurgarh and Ballabgarh.

1967

Rajpath (38) exchange commissioned.

1968

1st X- Bar exchange (KB58) commissioned. X- Bar exchange (JB62) commissioned.

1969

Trunk automatic exchange (TAX) commissioned.

1970

Okhla X-Bar exchange commissioned.

1972

Opening of Idgah – I (51) Strowger exchange.

1972

X- Bar (31) Janpath –I exchange commissioned. Delhi telephones crossed 1 lac lines.

1973

Opening of X- Bar (67) Chanakya Puri exchange.

(13)
HISTORICAL EVENTS

1986

X- Bar Janpath – IV (34) exchange commissioned. X- Bar Shahdara East (20) exchange
commissioned.
Shakti Nagar (74) exchange commissioned. Idgah – II (52) X – Bar exchange
inaugurated by Mr. Fakhuriddin Ali Ahmed, President of India, on 28.08.76 and
presided over by Mr. S.D. Sharma (Minister of communication) .
Opening of Hauz Khas (65) X- Bar exchange on 18.10.76. It was inaugurated by Mr.
S.D. Sharma (Minister of communication)
Opening of STD Service to Indore and Ambala on 05.10.77 by Mr. Brij Lal Verma
(Minister of communication)
Opening of Rajouri Garden –I (59) X- Bar exchange in Feb. 78
Opening of Hauz khas –II (66) X- Bar exchange on 15.02.78 by Mr. Brij Lal Verma
(Minister of communication)
Opening of Janpath –V (35) X-Bar exchange.
Creation of Mahanagar Telephones Nigam Limited

1986

First digital exchange word technology brought to India.

1987

Large scale Introduction of push button telephone made dialing easier.

1988

Phone plus services multiplied benefits to telephone users.

1992

Voice mail service introduced.

1996

ISDN services introduced.

1997

Wireless in Local loop introduced.

1999

Internet services introduced.

2000

Millennium Telecom Limited, a wholly owned subsidiary of MTNL is born.

2001

Launched GSM Cellular Mobile service under the brand name ―DOLPHIN‖
Launched WLL mobile services under the brand name ― GARUDA‖
The company listed at New York Stock Exchange (NYSE).
Launched pre-paid GSM Mobile services under the brand name ―TRUMP‖. Email on
PSTN lines introduced under the brand name ―mtnlmail‖
Introduced CDMA 1x 2000 Technology under the brand name Garuda 1-x. Introduced
pilot project of ADSL based broadband services.
Expanded GSM & CDMA capacity by 800,000 lines each( total 1.6 million lines
expanded) STD/ISD rates slashed by almost 60%
Leading market in GSM customer additions. Launched broadband services under brand
name ― TRI BAND‖. Floated tender for 1 million 3G GSM lines.

1975
1976

1977
1978

2002
2003
2004
2005

(14)
CHAPTER 2
BACKGROUND

(15)
2.1 STATEMENT OF PROBLEM
A study has been conducted in order to understand the Customers opinion and
Satisfaction level of various Landlines and Mobile Services in New Delhi, research
titled‖ A STUDY ON CUSTOMER SATISFACTION FOR MTNL PRODUCTS
AND SERVICES AND ITS ROLE IN BUILDING BRAND EQUITY FOR THE
COMPANY‖ has been conducted.

2.2 PURPOSE OF THE STUDY
Besides measuring Customer Satisfaction, it was important to understand the following
crucial aspects related to:

Customer
• Customer’s recommendations
• Their experience
• Feedback on maintenance charge.

Employees
• Handling of complaint calls.
• Response time.
• Knowledge of the employees (Personal bankers and tellers).
• Repeat calls encounter

(16)
2.3 OBJECTIVES


To ascertain the Customers preferences of Land line and Mobile Services.



To ascertain the Customers Satisfaction level for Mobile services as well as Land
line



Services.

To analyze the Customer opinion and satisfaction with specific reference to
MTNL.



To suggest some guidelines to MTNL in order to provide better focused services.



To determine the status of brand awareness and brand loyalty in order to conclude
about brand equity.



To learn about the brand attributes and their preferences in MTNL

(17)
CHAPTER 3
RESEARCH
METHODOLGY

(18)
DATA SOURCE:

In this study Primary data and secondary data have been used.
Secondary data has been collected from Internet.

RESEARCH APPROACH: Primary data have been collected through surveys. Personal
interview technique has been used for conducting the survey. Data collection has been
done through the use of structured questionnaire.

SAMPLING:
Convenient Sampling method has been adopted for this study.


Researcher has taken respondents from Rohini, Pitampura and Saraswati vihar for
this

study.

 The researcher has chosen 145 from Rohini, 56 from Pitampura and 47 from
Saraswati Vihar.


The researcher had prepared a Questionnaire both open and close ended questions
to

elicit responses for the following areas:

i. Location.
ii. Age.
iii. Occupation.
iv. Monthly Income.
v. Mobile Usage.
vi. Mobile service Usage

(19)
CHAPTER 4
DATA ANALYSIS &
FINDINGS

(20)
PROFILE OF THE SAMPLE RESPONDENTS
LOCATION
Frequency
Valid

ROHINI
PITAMPURA
SARASWATI
VIHAR
Total

CHART : 1

Percent

145
57
48

58.0
22.8
19.2

Valid
percent
58.0
22.8
19.2

250

100.00

100.00

(21)

Cumulative
percent
58.0
80.8
100.00
AGE
Frequency
Bet 20-30
Bet 31-35
Bet 36-40
Bet 41-50
Above 50
Total

Valid

Percent

51
100
46
33
20
250

20.4
40.0
18.4
13.2
8.0
100.0

Valid
percent
20.4
40.0
18.4
13.2
8.0
100.0

Cumulative
percent
20.4
60.4
78.8
92.0
100.0

AGE
50

Percent

40

25
20.4
18.4
13.2
8

0

bet 20-30 bet 31-35 bet 36-40 bet 41-50 above 50
Age

INFERENCE:
As the Table depicts, a good majority of the respondent (40.0%) were in the age
group of (Between 31-35) while the age group of (Above 50) is the least (8.0%)

(22)
CHART : 2
OCCUPATION

Frequency
Managerial
Business
Clerical
Worker
Student
Retired
Agriculture
Professional
Total

Valid

Percent

113
85
24
17
07
02
01
01
250

Valid
percent
45.2
34.0
9.6
6.8
2.8
0.8
0.4
0.4
100.0

45.2
34.0
9.6
6.8
2.8
0.8
0.4
0.4
100.0

Cumulative
percent
45.2
79.2
88.8
95.6
98.4
99.2
99.6
100.0

Occupation
50
45.2

40
34

Percent

30

20

9.6

10

6.8
2.8
0.8

0

Managerial

Business

Clerical

Worker

Student

Retired

0.4

0.4

Agriculture Professional

Occupation

INFERENCE:
As the Table depicts, a good majority of the respondent (45.2%) of consumers
were Managers while Professionals and Agriculturalist were the least (0.4%) each
CHART: 3

(23)
MONTHLY INCOME
1.
2.

245
5

Valid
Missing

Frequency
Valid

Missing

27
132
62
11
13
245
5
250

Below 5000
Bet 5000-10000
Bet 10000-15000
Bet 15000-25000
Above 25000
Total
System
Total

Percent
10.8
52.8
24.8
4.4
5.2
98.0
2.0
100.0

Cumulative
percent
11.0
64.9
90.2
94.7
100.0

MONTHLY INCOME
60
52.8

48

Percent

36
24.8

24

12

10.8
4.4

0

Below
5000

bet 5k10k

bet 10k15k

5.2

bet 15k20k

above
25000

Income

INFERENCE:
As the Table depicts, a good majority of the respondent (53.9%) consumer’s
monthly income is between (5000-10000), while monthly income between (1500025000) is least (4.5%)
CHART: 4

(24)
MOBILE USE

Frequency

Valid
percent

Cumulative
percent

Yes

183

73.2

73.2

73.2

No

67

26.8

26.8

100.0

Total

Valid

Percent

250

100.0

100.0

MOBILE PHONES
80
73.2

64

Percent

48

32

26.8

16

0

Yes

No
Mobile hones

INFERENCE:
From the below Table, it is inferred that majority of the respondents (73.2%) were
using Mobile phones while (26.8%) were not using Mobile phones

CHART: 5

(25)
LANDLINE USE

Frequency

Valid
percent

Cumulative
percent

Yes

237

94.8

94.8

94.8

No

13

5.2

5.2

100.0

Total

Valid

Percent

250

100.0

100.0

LANDLINE USAEGE
100

94.8

80

Percent

60

40

20
5.2

0

Yes

No
Landline use

INFERENCE:
From the below Table, it is inferred that majority of the respondents (94.8%) were
using Landline telephone while (5.2%) were not using Landline telephone.

ANALYSIS OF BRAND PREFRENCE
(26)
CHART: 6
MOBILE SERVICE

Frequency
No phone
MTNL
Tata indicom
Reliance
Airtel
Aircel
Bpl/Vodafone
Total

Valid

Percent

Valid Percent

67
78
1
26
25
37
16
250

26.8
31.2
0.4
10.4
10.0
14.8
6.4
100.0

26.8
31.2
0.4
10.4
10.0
14.8
6.4
100.0

Cumulative
percent
26.8
58.0
58.4
68.8
78.8
93.6
100.0

MOBILE SERVICE
40

31.2

32
26.8

Percent

24

16

14.8
10.4

10

8

6.4

0.4

0

No
phone

MTNL

Tata
Reliance
indicom

Airtel

Aircel

Bpl/
Vodafone

Mobile services

INFERENCE:
From the below Table, it is inferred that majority of the respondents (94.8%) were
using Landline telephone while (5.2%) were not using Landline telephone.

(27)
CHART: 7
LANDLINE USE
Frequency
No phone
MTNL
Tata indicom
Airtel
Total

Valid

Percent

Valid Percent

13
221
8
8
250

5.2
88.4
3.2
3.2
100.0

5.2
88.4
3.2
3.2
100.0

Cumulative
percent
5.2
93.6
96.8
100.0

LANDLINE USAGE
100
88.4

80

Percent

60

40

20
5.2

0

No phone

3.2

MTNL

3.2

Tata indicom

Airtel

Landline use

INFERENCE:
As the Table depicts, a good majority of people (88.4%) are using MTNL, while
Tataindicom and Airtel are the least (3.2%) each

(28)
CHART: 8
FAMILIARITY
Frequency

Valid
percent

Cumulative
percent

Very familiar

128

51.2

51.2

51.2

Some what
familiar
Familiar but
never used it
Total

Valid

Percent

120

48.0

48.0

99.2

2

0.8

0.8

100.0

250

100.0

100.0

FAMILIARITY
60
51.2
48

48

Percent

36

24

12
0.8

0

Very Familiar

Some what

Never used

Familiar

INFERENCE:
As the Table depicts, a good majority of people (51.2%) are familiar with MTNL,
while (0.8%) of people are familiar but never used

(29)
CHART: 9
COMPARING WITH OTHER SERVICES

Frequency
Much Better
Some what Better
About the same
Somewhat worse
Don’t know
Total

Valid

Percent

Valid Percent

58
99
65
27
1
250

23.2
39.6
26.0
10.8
0.4
100.0

23.2
39.6
26.0
10.8
0.4
100.0

Cumulative
percent
23.2
62.8
88.8
99.6
100.0

COMPARING WITH OTHERS
50
39.6

40

30

Percent

26
23.2

20
10.8

10
0.4

0

Much
Better

Some what About the Somewhat
Better
same
worse

Don’t
know

Comparison

INFERENCE:
As the Table depicts, majority of respondents (39.6%) opined MTNL is ―Some What
Better‖ when compared to other services, while the least number of respondents (0.4%)
opined ―Don’t know/Never used‖.

(30)
FINDINGS

(31)
FINDINGS:
A good majority of the respondents (73.2%) were using Mobile phones while
(26.8%) were not using Mobile phones.
A good majority of the respondents (94.8%) were using Landline telephone while
(5.2%) were not using Landline telephone.
A good majority of people (31.2%) are using MTNL, while Tataindicom are the
least (0.4%) by considering 250 samples, with respect to Mobile.
A good majority of people (88.4%) are using MTNL, while Tataindicom and
Airtel are the least (3.2%) each, with respect to Landline.
A good majority of people (51.2%) are familiar with MTNL, while (0.8%) of
people are familiar but have never used.
A good majority of respondents (39.6%) opined that MTNL is ―Some What
Better‖ when compared to other services, while the least number of respondents
(0.4%) opined ―Don’t know/Never used‖.
There is a significant relationship between the Age of the Customers and Mobile
Service used by the Customers.
There is a significant relationship between the Location of the Customers and
Migration of Customers
There is a significant relationship between the Location of the Customers and
Satisfaction of MT Network used by the Customers.
There is a significant relationship between the Location of the Customers and
Satisfaction of MTNL Network used by the Customers.
There is a significant relationship between the Satisfaction of Cost of MTNL and
Migration of Customer
There is a significant relationship between the Quality of Customer service and
Migration of Customers.
There is a significant relationship between the Location of the Customers and
Satisfaction level of MT compared with other Services.
There is a significant relationship between the Location of the Customers and
Satisfaction of MTNL TarPlan.

(32)
A good majority of the respondents (38%) were ―Quite Satisfied‖ with special
regards to the MTNL Tariff Plan, while the least (2.8%) number of respondents
were ―Very Dissatisfied‖ with respect to the MTNL Tariff Plan.
A good majority of respondents (46%) were ―Very Satisfied‖ with the Network of
MTNL, while the least (4.8%) were ―Very Dissatisfied‖ with the Network of
MTNL.
A majority of respondents (37.2%) were ―Quite Satisfied‖ with special regards to
the Satisfaction level of Cost of MTNL, while the least number of respondents
(4.8%) were ―Very Dissatisfied‖ with the Satisfaction level of Cost of MTNL.
A majority of respondents (38%) opined ―Neutral‖ with the MTNL’s Additional
Packages, while the least number of respondents (4.4%) opined ―Very
Dissatisfied‖ with the Additional Packages of MTNL.
The majority of respondents (30.4%) opined ―Average‖ with special reference to
the Quality of Customer Service, while the least number of respondents (9.6%)
opined ―Excellent‖ with respect to the Quality of Customer Service.
A good majority of respondents (41.6%) opined ―Never‖ with special respect to
the chance of Migration from MTNL, while the least number of respondents
(3.2%) opined ―High Chance‖ with reference to the chance of Migration from
MTNL.
Customers were felt that monthly rental was too high hence the reason that most
of them were surrendering.
Recharge card rates are very high so make some arrangements to make recharge
cards available at cheaper rates.
Some customers felt that when landline phone gets out of order, it is not checked
or corrected for even 1month, hence there was heavy business loss.
In the evening, lines are not getting connected since network problem was too
high.
When phone went out of order, the respondents were still charged for calls.
Customers are very much dissatisfied with Linemen, because of irresponsibility.
(Collecting amount from customers).

(33)
Regarding Cell one respondents complained, Network is always busy with other
mobile services.
During the rainy season noise in the instrument is a problem
Respondents felt that there was no personalized service to customers.
Due to non-availability of CUG connections to all, most of the customers
surrendered MTNL and migrated to Airtel.
Customers perceived that the bills are always inflated.
Due to excessive rules and regulations for operating 1rupee coin telephones
customers are not willing to buy and they are preferring Airtel and Reliance.
Even after Surrendered the phone before 6months deposit amount was not yet
received but receiving bill.
Customers are expecting more number of free calls.
In Pollachi network is not proper inside the house so Customers were very much
dissatisfied.
With regards to mobile services options are limited hence customers were
switching over to other service providers.
The extensive time lag between submission of application and receiving of a
telephone connection had made some respondents switch over to other service
providers.
Due to the maturity and easy availability of Mobile service most of the customers
were surrendered their landline connection.
Due to limited number of linemen, faults were not immediately attended to, hence
customers were very much dissatisfied
Customers were preferring to replace their old instrument.
It was brought to notice of the researcher that prepaid SIM cards took up to 10
days for activation.
There is not much awareness among the Customer’s regarding the facilities which
are provided by MTNL, so effective media campaign is a must to enhance the
awareness level.

(34)
Most of the people were not satisfied with the MTNL Customer Service for both
Mobile and Landline.
The respondents felt that the number of payment service counters was inadequate;
hence more payment counters should be made available.
Students are not much interested in MTNL Cell one because of non-availability of
SMS facilities.
The respondents felt that The MTNL cell ones starter pack and recharge cards are
in perennial short supply.
The respondents experienced network problems when they used roaming to cities.
The respondents suggested that simple value added such as display of last call rate
and balance amount should be made available by MTNL.
Even though customers were dissatisfied with MTNL due to Loyalty they are still
using MTNL service (For only Incoming)
One of the major irritations, as told by the respondents was that the
communication instruments provided by MTNL were of poor quality and hence
they had to face frequent problems with the instruments

(35)
CHAPTER 5
CONCLUSIONS &
LIMITATIONS

(36)
Conclusion:
MTNL being a public sector, in order to thrive and excel, have to understand
about the Customers expectations.
They also have to understand about their competitors and their nuances in
understanding their Customers.
Since Communication industry is a very competitive one it is high time for
MTNL to understand about their Customers in Landline as well as Mobile
services.

Limitations of the Study:
Time was not sufficient to conduct detailed study.
Study had been conducted only in a few areas of Delhi.
For few questions researcher was not able to get proper response
which are as follows:
o Chances of Switching.
o Reason for Switching.
o Monthly Income.
o Comparative questions

(37)
(38)

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Customer satisfaction for mtnl

  • 1. Oriental College OF Commerce & Management A STUDY ON CUSTOMER SATISFACTION FOR MTNL PRODUCTS AND SERVICES AND ITS ROLE IN BUILDING BRAND EQUITY FOR THE COMPANY Submitted to Nina Mam Submitted by: Name of the student Asif Khan Roll No. 09 Course S.Y.BMS
  • 2. PREFACE This report deals with organizations activities related to organizational appraisal. It includes methods, past experiences, board of directors of organizations, etc. Subject matter of this report has been elaborated with simple words and lucid. Tables, charts, figure have been given to facilitate under- standing. Thus the have left no stone unturned to make this work useless, wasteful and valueless. I gave my complete effort to make it valuable, useful and enrich it with my views so that it give complete sense and benefit to readers Asif Khan
  • 3. CERTIFICATE This to certify that ASIF KHAN is a bonafide student of this institute perusing S.Y.BMS fulltime program of three years duration. And has undertaken a minor project on Organizational Appraisal in partial fulfillment of S.Y.BMS degree as required under the rules of the University.
  • 4. ACKNOWLEDGEMENT With an over whelming sense of gratitude I acknowledge the valuable guidelines and consistent and encouragement extended to me by our knowledge faculty members with whose guidance I am able to accomplish this Endeavour. When where technical acumen and years of experience have provided me with crucial inputs at critical stage. I am especially indebted to Trinity Institute of Professional Studies to provide all the necessary materials which help me in accomplishing the task assignment. I also want to thank my project guide Prof Raj who encouraged and motivated me to work on this project. ASIF KHAN
  • 5. EXECUTIVE SUMMARY MTNL was set up on 1st April, 1986 by the Government of India to upgrade the quality of telecom services, expand the telecom network, and introduce new services and to raise revenue for telecom development needs of India’s key metros. Delhi, the political capital and Mumbai, the business capital of India. In the past 20 years, the company has taken rapid strides to emerge as India’s leading and one of Asia’s largest telecom operating companies. Besides having a strong financial base, MTNL has achieved a customer base of 5.92 million as on 31st March 2006. The company has also been in the forefront of technology induction by converting 100% of its telephone exchange network into the state-of-the-art digital mode. The Govt. of India currently holds 56.25% stake in the company The Telecom industry is one of the leading and fastest growing in the world as communication plays a vital role in the world and especially in India. It acts as a major catalyst for the economic growth. MTNL has good brand awareness among the people. This could be attributed to its long history in the market and continued support from the Government. In today’s competitive world, MTNL has to provide excellent services to attain a major market share and keep their Customers satisfied in all aspects. This research study is useful for MTNL to understand the expectations and requirements of Customers and can serve them in a better way.
  • 6. The researcher has done an internship project at MTNL, Delhi in pursuance of determining the brand equity for MTNL and then the customers’ feedback on the various products. The samples of 250 respondents from among the universe of MTNL users at Rohini, Pitampura and saraswati vihar were selected at random to conduct the study. The MTNL staffs who were contacted to learn about the various MTNL packages and policies were also the primary source of data. Questionnaire was designed after a pre-survey interview covering all the aspects of MTNL services. Data analysis and interpretation was done using the collected data with necessary tools including percentage analysis, five point scale was used to grade the opinion of the respondents. The researcher strongly believes that this study would be helpful to the MTNL Management in knowing about the Customers Satisfaction, Customer Perception, Customer Preferences, and service requirements and about the other competitor’s status in the market thereby helping them in improve their quality of Services offered
  • 7. Table of Contents S. No. Topic Page No. I Certificate (i) II Acknowledgement ( ii ) III Executive Summary ( iii ) IV Chapter 1: Introduction (1) 1.1 Conceptual Background 1.2 Company Profile V (2 – 10) (11 - 14) Chapter 2: Background (15) 2.1 Statement of problem 2.2 Data Collection VI (16) (17) Chapter 3: Research Methodology 3.1 Statistics 3.2 Analysis of Brand Perf. VII Chapter 4: Data Analysis & (18) (19-26) (27) (20) Findings VIII Chapter 5: Conclusions & Suggestions & Limitations IX Chapter 6: Bibliography X Comments (36)
  • 9. 1.1 CONCEPTUAL BACKGROUND (1) When we talk about customer service and/or satisfaction, we talk about creativity. Creativity allows us to handle or diffuse problems at hand or later on in the process of conducting the everyday business. We talk about how, or rather what, does the organization have to do to gain not only the sale but also the loyalty of the customer. We want to know the payoff of the transaction both in the short and long term. We want to know what our customers want. We want to know if our customers are satisfied. Satisfaction, of course, means that what we delivered to a customer met the customer’s approval. We want to know if customers are delighted and willing to come back, and so on. Fleiss2 and Feldman3 present examples of that delightfulness in their writings. Fleiss has written about Ben and Jerry’s ice cream and Feldman has discussed excellence in a cab ride. As important as delightfulness is, some of us minimize it, or even totally disregard it. At this point, we fail. Some of the issues that will guarantee failure in sales, satisfaction, and loyalty are: • Employees must adhere to a rigid chain of command • Employees are closely supervised • Conflict—in whatever form—is not allowed • Rewards are based on carrot-and-stick principles • Wrong objectives are measured However, we increase our chance of success if we allow employees to take personal responsibility for their actions in the areas of communication, performance, and customer satisfaction. How can we sensitize our employees to these issues? First, we must identify how we define the customer. Customer Service and Satisfaction Second, we must understand customer expectation levels concerning quality. Third, we must understand the strategy for customer service quality, and Fourth, we must understand the measurement and feedback cycles of customer satisfaction. The customer is the person or unit receiving the output of a process on the system. In fact, it is worth emphasizing that a customer can be the immediate, intermediate, or ultimate customer. Also, a customer may be a
  • 10. person or persons, or a process or processes. Customer satisfaction, however, is when the customer is satisfied with a product/service that meets the customer’s needs, wants, and expectations. To further understand customer satisfaction, we must take a deeper look at the levels of specific satisfaction. We must also recognize that there are levels of customer satisfaction that, in a sense, define the basic ingredients of quality. There are at least three levels of customer expectations about quality: Level 1. Expectations are very simple and take the form of assumptions, must have, or take it for granted. For example, I expect the airline to be able to take off, fly to my destination, and land safely. I expect to get the correct blood for my blood transfusion. And I expect the bank to deposit my money to my account and to keep a correct tally for me. Level 2. Expectations are a step higher than that of level 1 and they require some form of satis faction through meeting the requirements and/or specifications. For example, I expect to be treated courteously by all airline personnel. I went to the hospital expecting to have my hernia repaired, to be in some pain after it was done, to be out on the same day, and to receive a correct bill. And I went to the bank expecting the bank teller to be friendly, informative, and helpful with my transactions. Level 3. Expectations are much higher than for levels 1 and 2. Level 3 requires some kind of delightfulness or a service that is so good that it attracts me to it. For example, an airline gives passengers traveling coach class the same superior food service that other airlines provide only for first-class passengers. In fact, I once took a flight where the flight attendant’s actually baked cookies for us right there on the plane. When I went to the hospital, I expected staff to treat me with respect and they carefully explained things to me. But I was surprised when they called me at home the next day to find out how I was doing. And at my house closing, the bank officer, representing the bank holding my mortgage, not only treated me with respect and answered all my questions about my new mortgage, but just before we shook hands to close the deal, he gave me a housewarming gift. Customer Service and Satisfaction 3 The strategy issue is also a very important element of customer satisfaction,
  • 11. primarily because it sets the tone for the appropriate training, behavior, and delivery of the specific service. There are four items that (3) the strategy for service quality ought to address: 1. Customer service attributes: The delivery of the service must be timely, accurate, with concern, and with courtesy. One may ask why are these elements important? The answer is that all services are intangible and are a function of perception. As such, they depend on interpretation. In addition and perhaps more importantly, service by definition is perishable and if left unattended, it can spoil on the organization. The acronym COMFORT can be used to signify the importance of service. COMFORT is caring, observant, mindful, friendly, obliging, responsible, and tactful. These characteristics are the most basic attributes of customer service and without them, there cannot be a true service of any kind. They all depend on interpersonal skills, communication, empowerment, knowledge, sensitivity, understanding, and some kind of external behavior. For example, caring will show that, indeed, you are interested in what the customer will have to say. You may spend time with a customer to find out the customer’s real needs, wants, and expectations. It is not unusual to tell a customer that you may not be able to help, even at the expense of losing the sale. Furthermore, you may go as far as suggesting the services of someone else or some other company. You must be observant. In most cases when dealing with service-related items, observations may contribute more to satisfying the customer than direct communication. Pay attention to body language and mannerisms and, if necessary, listen between the lines. Always try to be a step ahead of the customer. Anticipate the customer’s action. Actively listen for what the customer is communicating, but also—and, perhaps, more importantly—listen for what the customer is not communicating. You must be mindful. Remember that you and your organization exist to satisfy the customer. Without the customer’s need, you do not have a job and the organization does not have a service to provide. The customer has a choice and, as such, if you or the organization does not recognize the urgency, sensitivity, uniqueness, expectations, and influence that the customer has, you will not be successful in satisfying the customer. You must be friendly. Friendliness does not mean being a pest. Offer guidance and information, and let the customer know you are there to
  • 12. help. If necessary, provide feedback to assist the customer in making a decision. If you do provide feedback, be truthful. For example, in a retail clothing store, someone walks into your store, walks around, picks up some clothing, and tries it on. As a salesperson, you may advise the customer about fit and answer any questions that the customer may have. You must be obliging. Patience is the key word to customer satisfaction. Sometimes customers do not know what they want. They are making up their minds as they go along. You are serving as the guinea pig for their decision. As such, accommodating them may make the difference between a satisfied and an unsatisfied customer, or the difference between a sale and a walkout. When obliging the customer, do not hesitate to educate the customer as well. You must be responsible. You are the expert. The customer is looking to you to provide the appropriate information in a clear, concise, and easy-to-understand manner. Don’t try to make the sale at all costs. This may backfire. What you are trying to accomplish is to develop a relationship where your expertise can indeed help the customer. You must be tactful. In any service organization, and in any service delivery, there are going to be problems between you and the customer. Do not panic. Tactfulness is the process by which the conflict may be resolved. Your focus is to satisfy the customer and, as such, you should try to identify the problem, analyze it, and then resolve it in the most expedient way. Being tactful does not mean that you have to give in to the customer all the time. What it does mean is that you act in a composed, professional manner and communicate to the customer in a way that is not threatening or demeaning. Being tactful means you are willing to listen and exchange information with the intention of resolving the conflict. It means you have a way of presenting the facts and information in a nice and no intimidating way. It means listening patiently, thinking before speaking, and listening to what the customer says without interruptions. Notice that cost is not an attribute that will make or break service and/or satisfaction. In service especially, cost is equated with value. That is not to suggest that high cost is prerequisite to good service or vice versa. We simply suggest that one must continue to generate more value for the customer but not give away the house. It is indeed a very delicate balance. 2. Approach for service quality improvement: The basic question one must be
  • 13. able to answer is why bother with service quality? The answer is in a three prong approach. The first is cost, the second is time to implement the program, and the third is the customer service impact. Together, they present a nucleus for understanding and implementing the system that is responsive to both customers and organization for optimum satisfaction. For example, the Japanese are working on the notion of sensuous cars. Basically, the car itself gives you a kind of delight and surprise just opening the door, hearing the sound, pressing the accelerator. (5) Everything is being thought through now, almost emotionally. 3. Develop feedback systems for customer service quality: The feedback system one chooses will make or break the organization. Make sure not to mix the focus of customer satisfaction and marketing. They are not the same. The focus of customer service and satisfaction is to build loyalty, and the focus of marketing is to meet the needs of the customer profitably. Another way of saying it is that marketing’s function is to generate customer value profitably, whereas the purpose of customer service and satisfaction is to generate repeatability, recognition, and overall satisfaction of the transaction. The concern here is to make sure that a goal exists (a reporting system for measurement is appropriate and useful for the particular service) and to reach the reward of service quality. The question then becomes how to develop a system that is responsive to the customer’s needs, wants, and expectations. To answer these concerns, look to the customer for answers. The value of the information must be focused in at least the following areas: • To know what customers are thinking about you, your service, and your competitors • To measure and improve your performance • To turn your strongest areas into market differentiators • To turn weaknesses into developmental opportunities—before someone else does • To develop internal communications tools to let everyone know how they are doing • To demonstrate your commitment to quality and your customers In essence your measurement for the feedback must be of two distinct kinds: 1. Customer satisfaction, which is dependent upon the transaction 2. Service quality, which is dependent upon the actual relationship 3.Implementation. Perhaps the most important strategy is that of implementation. As part of the implementation process, management must define the scope of the service quality as well as the level of customer service as part of the organization’s policy. Furthermore, they must also
  • 14. define the plan of implementation. The plan should include the time schedule, task assignment, and reporting cycle NEED FOR CUSTOMER SATISFACTION (6) The need to determine customer satisfaction will vary somewhat by the competitive circumstances of a given industry. In intense consumer-focused activities, measuring customer satisfaction is critical. But every company in every industry can benefit by examining the needs of their customers. Some of the areas where improvement may be expected include: •Better determination of customer uses and needs. •Identification of problems with customer services. •A sharper focus on areas having the greatest need for improvement. •Gaining insight for new products and/or service offerings
  • 15. (7) MARKETING MANAGEMENT DEFINATION: Marketing management is the practical application of marketing techniques. It is the analysis, planning, implementation, and control of programs designed to create, build, and maintain mutually beneficial exchanges with target markets. The marketing manager has the task of influencing the level, timing, and composition of demand in way that will achieve organizational objectives BRAND EQUITY
  • 16. (8) What is brand equity? The goal of the brand leadership paradigm is to create strong brands – but what is a strong brand. Anyway? In Managing Brand Equity, brand equity was defined as the brand assets (or liabilities) linked to a brand’s name and symbol that add to (or subtract from) a product or service. These assets can be grouped into four dimensions: brand awareness, perceived quality, brand associations, and brand loyalty. These four dimensions guide brand development, management and measurement.  Brand awareness: Brand awareness is an often undervalued asset; however, awareness has been shown to affect perceptions and even taste. People like the familiar and are prepared to ascribe all sorts of good attitudes to items that are familiar to them. The Intel Inside campaign has dramatically transferred awareness into perceptions of technological superiority and market acceptance.  Perceived quality: Perceived quality is a special type of association, partly because it influences brand associations in many contexts and partly because it has been empirically shown to affect profitability (as measured by both ROI and stock return).  Brand associations: Brand association can be anything that connects the customer to the brand. It can include user imagery, product attributes, use situations, Organizational associations, brand personality and symbols. Much of brand management involves determining what associations to develop and then creating programs that will link the associations to the brand.
  • 17.  Brand loyalty: (9) Brand loyalty is at the heart of any brand’s value. The concept is to strengthen the size and intensity of each loyalty segment. A brand with a small but intensely loyal customer base can have significant equity. Brand Preference The stage of brand loyalty at which a brand will select a particular brand but will choose a competitor’s brand if the preferred brand is unavailable. See Brand insistence; Brand recognition. Customer Satisfaction If the customer's expectations of product quality, service quality, and price are exceeded, a firm will achieve high levels of customer satisfaction and will create "customer delight." If the customer's expectations are not met, customer dissatisfaction will result. And the lower the satisfaction level, the more likely the customer is to stop buying from the firm.
  • 18. (10) 1.2 COMPANY PROFILE On October 1, 2000 the Department of Telecom Operations, Government of India became a corporation and was christened Mahanagar Telephone Nigam Limited (MTNL). Today, MTNL is the No. 1 Telecommunications Company and the largest Public Sector Undertaking of India with authorized share capital of $ 3977 million and net worth of $ 14.32 billion. It has a network of over 45 million lines covering 5000 towns with over 35 million telephone connections. With latest digital switching technology like OCB ,EWSD ,AXE-10 ,FETEX ,NEC etc. and widespread transmission network including SDH system up to 2.5 gbps, DWDM system up to 80 gbps, Web telephony, DIAS, VPN, Broadband and more than 400,000 data customers ,MTNL continues to serve this great nation . Its responsibilities include improvement of the already impeccable quality of telecom services, expansion of telecom network, introduction of new telecom services in all villages and instilling confidence among its customers. MTNL has managed to shoulder these responsibilities remarkably and deftly. Today with over 45 million line capacity, 99.9% of its exchanges digital, nation wide Network management & surveillance system (NMSS) to control telecom traffic and over 4,00,000 route kms of OFC network, Bharat Sanchar Nigam Ltd is a name to reckon with in the world of connectivity. Along with its vast customer base, MTNL's financial and asset bases too are vast and strong. (11)
  • 19. Consider the figures, as they speak volumes on MTNL’s standing:  The telephone infrastructure alone is worth about Rs. 1,00,000 crore (US $ 22.74 billion)  Turnover of Rs. 31,400 crore (US $ 7.14 billion) Add to which, MTNL's nationwide coverage and reach, comprehensive range of telecom services and a penchant for excellence; and you have the ingredients for restructuring India for a bright future. Today, MTNL is most trusted Telecom Brand of India (12)
  • 20. HISTORICAL EVENTS 1911 Establishment of Delhi telephones system with manual exchange 1926 Opening its 1st automatic exchange (Lothian exchange). 1937 Opening of Connaught Place exchange. 1945 First Manual Trunk exchange opened. 1950 Opening of Cantt exchange 1953 Tiz Hazari Exchange (Lothian exchange ceased working) commissioned. 1955 Secretariat exchange commissioned 1958 Karol bagh exchange (5X5) commissioned. 1961 Jor bagh exchange (5X5) commissioned. 1961 Shahadara exchange (5X5) commissioned. 1962 Opening of First STC service to Agra 1963 Delhi Gate (27) exchange commissioned. 1964 Delhi telephone crosses 50,000 lines 1966 Opening of exchanges at Nangloi, Narela, Najafgarh, Bahadurgarh and Ballabgarh. 1967 Rajpath (38) exchange commissioned. 1968 1st X- Bar exchange (KB58) commissioned. X- Bar exchange (JB62) commissioned. 1969 Trunk automatic exchange (TAX) commissioned. 1970 Okhla X-Bar exchange commissioned. 1972 Opening of Idgah – I (51) Strowger exchange. 1972 X- Bar (31) Janpath –I exchange commissioned. Delhi telephones crossed 1 lac lines. 1973 Opening of X- Bar (67) Chanakya Puri exchange. (13)
  • 21. HISTORICAL EVENTS 1986 X- Bar Janpath – IV (34) exchange commissioned. X- Bar Shahdara East (20) exchange commissioned. Shakti Nagar (74) exchange commissioned. Idgah – II (52) X – Bar exchange inaugurated by Mr. Fakhuriddin Ali Ahmed, President of India, on 28.08.76 and presided over by Mr. S.D. Sharma (Minister of communication) . Opening of Hauz Khas (65) X- Bar exchange on 18.10.76. It was inaugurated by Mr. S.D. Sharma (Minister of communication) Opening of STD Service to Indore and Ambala on 05.10.77 by Mr. Brij Lal Verma (Minister of communication) Opening of Rajouri Garden –I (59) X- Bar exchange in Feb. 78 Opening of Hauz khas –II (66) X- Bar exchange on 15.02.78 by Mr. Brij Lal Verma (Minister of communication) Opening of Janpath –V (35) X-Bar exchange. Creation of Mahanagar Telephones Nigam Limited 1986 First digital exchange word technology brought to India. 1987 Large scale Introduction of push button telephone made dialing easier. 1988 Phone plus services multiplied benefits to telephone users. 1992 Voice mail service introduced. 1996 ISDN services introduced. 1997 Wireless in Local loop introduced. 1999 Internet services introduced. 2000 Millennium Telecom Limited, a wholly owned subsidiary of MTNL is born. 2001 Launched GSM Cellular Mobile service under the brand name ―DOLPHIN‖ Launched WLL mobile services under the brand name ― GARUDA‖ The company listed at New York Stock Exchange (NYSE). Launched pre-paid GSM Mobile services under the brand name ―TRUMP‖. Email on PSTN lines introduced under the brand name ―mtnlmail‖ Introduced CDMA 1x 2000 Technology under the brand name Garuda 1-x. Introduced pilot project of ADSL based broadband services. Expanded GSM & CDMA capacity by 800,000 lines each( total 1.6 million lines expanded) STD/ISD rates slashed by almost 60% Leading market in GSM customer additions. Launched broadband services under brand name ― TRI BAND‖. Floated tender for 1 million 3G GSM lines. 1975 1976 1977 1978 2002 2003 2004 2005 (14)
  • 23. 2.1 STATEMENT OF PROBLEM A study has been conducted in order to understand the Customers opinion and Satisfaction level of various Landlines and Mobile Services in New Delhi, research titled‖ A STUDY ON CUSTOMER SATISFACTION FOR MTNL PRODUCTS AND SERVICES AND ITS ROLE IN BUILDING BRAND EQUITY FOR THE COMPANY‖ has been conducted. 2.2 PURPOSE OF THE STUDY Besides measuring Customer Satisfaction, it was important to understand the following crucial aspects related to: Customer • Customer’s recommendations • Their experience • Feedback on maintenance charge. Employees • Handling of complaint calls. • Response time. • Knowledge of the employees (Personal bankers and tellers). • Repeat calls encounter (16)
  • 24. 2.3 OBJECTIVES  To ascertain the Customers preferences of Land line and Mobile Services.  To ascertain the Customers Satisfaction level for Mobile services as well as Land line  Services. To analyze the Customer opinion and satisfaction with specific reference to MTNL.  To suggest some guidelines to MTNL in order to provide better focused services.  To determine the status of brand awareness and brand loyalty in order to conclude about brand equity.  To learn about the brand attributes and their preferences in MTNL (17)
  • 26. DATA SOURCE: In this study Primary data and secondary data have been used. Secondary data has been collected from Internet. RESEARCH APPROACH: Primary data have been collected through surveys. Personal interview technique has been used for conducting the survey. Data collection has been done through the use of structured questionnaire. SAMPLING: Convenient Sampling method has been adopted for this study.  Researcher has taken respondents from Rohini, Pitampura and Saraswati vihar for this study.  The researcher has chosen 145 from Rohini, 56 from Pitampura and 47 from Saraswati Vihar.  The researcher had prepared a Questionnaire both open and close ended questions to elicit responses for the following areas: i. Location. ii. Age. iii. Occupation. iv. Monthly Income. v. Mobile Usage. vi. Mobile service Usage (19)
  • 27. CHAPTER 4 DATA ANALYSIS & FINDINGS (20)
  • 28. PROFILE OF THE SAMPLE RESPONDENTS LOCATION Frequency Valid ROHINI PITAMPURA SARASWATI VIHAR Total CHART : 1 Percent 145 57 48 58.0 22.8 19.2 Valid percent 58.0 22.8 19.2 250 100.00 100.00 (21) Cumulative percent 58.0 80.8 100.00
  • 29. AGE Frequency Bet 20-30 Bet 31-35 Bet 36-40 Bet 41-50 Above 50 Total Valid Percent 51 100 46 33 20 250 20.4 40.0 18.4 13.2 8.0 100.0 Valid percent 20.4 40.0 18.4 13.2 8.0 100.0 Cumulative percent 20.4 60.4 78.8 92.0 100.0 AGE 50 Percent 40 25 20.4 18.4 13.2 8 0 bet 20-30 bet 31-35 bet 36-40 bet 41-50 above 50 Age INFERENCE: As the Table depicts, a good majority of the respondent (40.0%) were in the age group of (Between 31-35) while the age group of (Above 50) is the least (8.0%) (22)
  • 31. MONTHLY INCOME 1. 2. 245 5 Valid Missing Frequency Valid Missing 27 132 62 11 13 245 5 250 Below 5000 Bet 5000-10000 Bet 10000-15000 Bet 15000-25000 Above 25000 Total System Total Percent 10.8 52.8 24.8 4.4 5.2 98.0 2.0 100.0 Cumulative percent 11.0 64.9 90.2 94.7 100.0 MONTHLY INCOME 60 52.8 48 Percent 36 24.8 24 12 10.8 4.4 0 Below 5000 bet 5k10k bet 10k15k 5.2 bet 15k20k above 25000 Income INFERENCE: As the Table depicts, a good majority of the respondent (53.9%) consumer’s monthly income is between (5000-10000), while monthly income between (1500025000) is least (4.5%) CHART: 4 (24)
  • 32. MOBILE USE Frequency Valid percent Cumulative percent Yes 183 73.2 73.2 73.2 No 67 26.8 26.8 100.0 Total Valid Percent 250 100.0 100.0 MOBILE PHONES 80 73.2 64 Percent 48 32 26.8 16 0 Yes No Mobile hones INFERENCE: From the below Table, it is inferred that majority of the respondents (73.2%) were using Mobile phones while (26.8%) were not using Mobile phones CHART: 5 (25)
  • 33. LANDLINE USE Frequency Valid percent Cumulative percent Yes 237 94.8 94.8 94.8 No 13 5.2 5.2 100.0 Total Valid Percent 250 100.0 100.0 LANDLINE USAEGE 100 94.8 80 Percent 60 40 20 5.2 0 Yes No Landline use INFERENCE: From the below Table, it is inferred that majority of the respondents (94.8%) were using Landline telephone while (5.2%) were not using Landline telephone. ANALYSIS OF BRAND PREFRENCE (26)
  • 34. CHART: 6 MOBILE SERVICE Frequency No phone MTNL Tata indicom Reliance Airtel Aircel Bpl/Vodafone Total Valid Percent Valid Percent 67 78 1 26 25 37 16 250 26.8 31.2 0.4 10.4 10.0 14.8 6.4 100.0 26.8 31.2 0.4 10.4 10.0 14.8 6.4 100.0 Cumulative percent 26.8 58.0 58.4 68.8 78.8 93.6 100.0 MOBILE SERVICE 40 31.2 32 26.8 Percent 24 16 14.8 10.4 10 8 6.4 0.4 0 No phone MTNL Tata Reliance indicom Airtel Aircel Bpl/ Vodafone Mobile services INFERENCE: From the below Table, it is inferred that majority of the respondents (94.8%) were using Landline telephone while (5.2%) were not using Landline telephone. (27)
  • 35. CHART: 7 LANDLINE USE Frequency No phone MTNL Tata indicom Airtel Total Valid Percent Valid Percent 13 221 8 8 250 5.2 88.4 3.2 3.2 100.0 5.2 88.4 3.2 3.2 100.0 Cumulative percent 5.2 93.6 96.8 100.0 LANDLINE USAGE 100 88.4 80 Percent 60 40 20 5.2 0 No phone 3.2 MTNL 3.2 Tata indicom Airtel Landline use INFERENCE: As the Table depicts, a good majority of people (88.4%) are using MTNL, while Tataindicom and Airtel are the least (3.2%) each (28)
  • 36. CHART: 8 FAMILIARITY Frequency Valid percent Cumulative percent Very familiar 128 51.2 51.2 51.2 Some what familiar Familiar but never used it Total Valid Percent 120 48.0 48.0 99.2 2 0.8 0.8 100.0 250 100.0 100.0 FAMILIARITY 60 51.2 48 48 Percent 36 24 12 0.8 0 Very Familiar Some what Never used Familiar INFERENCE: As the Table depicts, a good majority of people (51.2%) are familiar with MTNL, while (0.8%) of people are familiar but never used (29)
  • 37. CHART: 9 COMPARING WITH OTHER SERVICES Frequency Much Better Some what Better About the same Somewhat worse Don’t know Total Valid Percent Valid Percent 58 99 65 27 1 250 23.2 39.6 26.0 10.8 0.4 100.0 23.2 39.6 26.0 10.8 0.4 100.0 Cumulative percent 23.2 62.8 88.8 99.6 100.0 COMPARING WITH OTHERS 50 39.6 40 30 Percent 26 23.2 20 10.8 10 0.4 0 Much Better Some what About the Somewhat Better same worse Don’t know Comparison INFERENCE: As the Table depicts, majority of respondents (39.6%) opined MTNL is ―Some What Better‖ when compared to other services, while the least number of respondents (0.4%) opined ―Don’t know/Never used‖. (30)
  • 39. FINDINGS: A good majority of the respondents (73.2%) were using Mobile phones while (26.8%) were not using Mobile phones. A good majority of the respondents (94.8%) were using Landline telephone while (5.2%) were not using Landline telephone. A good majority of people (31.2%) are using MTNL, while Tataindicom are the least (0.4%) by considering 250 samples, with respect to Mobile. A good majority of people (88.4%) are using MTNL, while Tataindicom and Airtel are the least (3.2%) each, with respect to Landline. A good majority of people (51.2%) are familiar with MTNL, while (0.8%) of people are familiar but have never used. A good majority of respondents (39.6%) opined that MTNL is ―Some What Better‖ when compared to other services, while the least number of respondents (0.4%) opined ―Don’t know/Never used‖. There is a significant relationship between the Age of the Customers and Mobile Service used by the Customers. There is a significant relationship between the Location of the Customers and Migration of Customers There is a significant relationship between the Location of the Customers and Satisfaction of MT Network used by the Customers. There is a significant relationship between the Location of the Customers and Satisfaction of MTNL Network used by the Customers. There is a significant relationship between the Satisfaction of Cost of MTNL and Migration of Customer There is a significant relationship between the Quality of Customer service and Migration of Customers. There is a significant relationship between the Location of the Customers and Satisfaction level of MT compared with other Services. There is a significant relationship between the Location of the Customers and Satisfaction of MTNL TarPlan. (32)
  • 40. A good majority of the respondents (38%) were ―Quite Satisfied‖ with special regards to the MTNL Tariff Plan, while the least (2.8%) number of respondents were ―Very Dissatisfied‖ with respect to the MTNL Tariff Plan. A good majority of respondents (46%) were ―Very Satisfied‖ with the Network of MTNL, while the least (4.8%) were ―Very Dissatisfied‖ with the Network of MTNL. A majority of respondents (37.2%) were ―Quite Satisfied‖ with special regards to the Satisfaction level of Cost of MTNL, while the least number of respondents (4.8%) were ―Very Dissatisfied‖ with the Satisfaction level of Cost of MTNL. A majority of respondents (38%) opined ―Neutral‖ with the MTNL’s Additional Packages, while the least number of respondents (4.4%) opined ―Very Dissatisfied‖ with the Additional Packages of MTNL. The majority of respondents (30.4%) opined ―Average‖ with special reference to the Quality of Customer Service, while the least number of respondents (9.6%) opined ―Excellent‖ with respect to the Quality of Customer Service. A good majority of respondents (41.6%) opined ―Never‖ with special respect to the chance of Migration from MTNL, while the least number of respondents (3.2%) opined ―High Chance‖ with reference to the chance of Migration from MTNL. Customers were felt that monthly rental was too high hence the reason that most of them were surrendering. Recharge card rates are very high so make some arrangements to make recharge cards available at cheaper rates. Some customers felt that when landline phone gets out of order, it is not checked or corrected for even 1month, hence there was heavy business loss. In the evening, lines are not getting connected since network problem was too high. When phone went out of order, the respondents were still charged for calls. Customers are very much dissatisfied with Linemen, because of irresponsibility. (Collecting amount from customers). (33)
  • 41. Regarding Cell one respondents complained, Network is always busy with other mobile services. During the rainy season noise in the instrument is a problem Respondents felt that there was no personalized service to customers. Due to non-availability of CUG connections to all, most of the customers surrendered MTNL and migrated to Airtel. Customers perceived that the bills are always inflated. Due to excessive rules and regulations for operating 1rupee coin telephones customers are not willing to buy and they are preferring Airtel and Reliance. Even after Surrendered the phone before 6months deposit amount was not yet received but receiving bill. Customers are expecting more number of free calls. In Pollachi network is not proper inside the house so Customers were very much dissatisfied. With regards to mobile services options are limited hence customers were switching over to other service providers. The extensive time lag between submission of application and receiving of a telephone connection had made some respondents switch over to other service providers. Due to the maturity and easy availability of Mobile service most of the customers were surrendered their landline connection. Due to limited number of linemen, faults were not immediately attended to, hence customers were very much dissatisfied Customers were preferring to replace their old instrument. It was brought to notice of the researcher that prepaid SIM cards took up to 10 days for activation. There is not much awareness among the Customer’s regarding the facilities which are provided by MTNL, so effective media campaign is a must to enhance the awareness level. (34)
  • 42. Most of the people were not satisfied with the MTNL Customer Service for both Mobile and Landline. The respondents felt that the number of payment service counters was inadequate; hence more payment counters should be made available. Students are not much interested in MTNL Cell one because of non-availability of SMS facilities. The respondents felt that The MTNL cell ones starter pack and recharge cards are in perennial short supply. The respondents experienced network problems when they used roaming to cities. The respondents suggested that simple value added such as display of last call rate and balance amount should be made available by MTNL. Even though customers were dissatisfied with MTNL due to Loyalty they are still using MTNL service (For only Incoming) One of the major irritations, as told by the respondents was that the communication instruments provided by MTNL were of poor quality and hence they had to face frequent problems with the instruments (35)
  • 44. Conclusion: MTNL being a public sector, in order to thrive and excel, have to understand about the Customers expectations. They also have to understand about their competitors and their nuances in understanding their Customers. Since Communication industry is a very competitive one it is high time for MTNL to understand about their Customers in Landline as well as Mobile services. Limitations of the Study: Time was not sufficient to conduct detailed study. Study had been conducted only in a few areas of Delhi. For few questions researcher was not able to get proper response which are as follows: o Chances of Switching. o Reason for Switching. o Monthly Income. o Comparative questions (37)
  • 45. (38)