Strategic Marketing Management

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Product selling Focus to Solution Selling Focus

Reliance JIO

Strategic Marketing Management


CIA 1
Christ (Deemed to be University)

Submitted to Submitted By
Associate Prof, Joel G Ajay Kumar Talluri
IMCU 1727535 (M1)
Introduction:
The Indian telecom sector has grown rapidly and there has been a dynamic change in the last one
year. The operations of the leading telecom companies in India have been disrupted by the
emergence of Jio. With this, these biggest Indian telecom brands have ventured into offerings like
unlimited calling & data plans, which has further pushed the adoption in the Indian
telecommunication market. The top telecom companies in India include Airtel, Idea, Vodafone,
BSNL, Jio etc

People with smartphones looking for high speed internet and good mobile
Segment services

Target Group Urban & tier2 middle and upper class segment

Reliance Jio is helping transform Indian into a digital and tech-savvy nation
Positioning by giving affordable mobile service and data

Jio has an all IP network, so all voice calls will go through the Internet just like Skype or
WhatsApp. There is not really any point in charging for voice anymore. It is an outdated system
and there shouldn’t really be any surprise in why Jio totally abandoned it.
If hypothetically, Jio had tariff for voice calls, then some company similar to WhatsApp would
have launched an app through which you can do free voice call over the Internet (in fact WhatsApp
itself has a voice-call option). Once everyone has a good Internet connection, people would
anyway use such services to make their calls.

Jio Business Model and Integration with Other companies:


Fuelled by an investment of Rs 1,50,000 crore and backed by partnerships with eight global
carriers — British Telecom, Deutsche Telecom, Millicom, MTS, Orange, Rogers, TeliaSonera and
Tim — Jio has successfully created the largest only 4G and LTE networks not only in India, but
in the world. A 2,50,000 kilometres route of fibre optic cables and 90,000 eco-friendly 4G towers
work to provide unmatchable 4G coverage in all of India's 22 telecom circles (call zones which
differentiate between local and STD calls).

While all the existing network providers are using a modified 2G/3G infrastructure to provide 4G
in India, Jio has set up a Greenfield network (created from scratch) that offers higher bandwidth
and faster speeds. The Jio network is also future-proof and capable of offering 5G and 6G
connectivity as and when the technology materialises.
Reliance Jio is also the first teleco to launch a ‘VoLTE-only’ (Voice over LTE) network in India.
This technology eschews the fluctuations of the 2G/3G network in favour of high-speed data
transfer which allows for more robust connectivity and clearer voice calls.
After establishing this infrastructure, Reliance Jio's next hurdle was acquiring customers. And they
did it by offering the Indian population what they sorely needed: high-speed mobile internet that
was affordable. Before the commercial launch of Jio, less than 15 percent of India had access to
4G connectivity, a figure the teleco wishes to push to a whopping 90 percent by the end of 2017.
Affordability and quality are the only things that make a person want to switch their mobile
network. For the current network providers in India, the monthly average revenue per user (ARPU)
is around Rs 150, and users who spend over Rs 250 per month are regarded as 'high value'
customers. Jio's tariff plan, considering only those packs with 28 days validity, begins at Rs 149
and offers customers 0.3GB of 4G data (plus unlimited data at night) besides free voice calls, both
local and STD. These rates are infinitesimal when compared to the ones charged by telecos like
Airtel and Vodafone. And since there have been no complaints about quality, more and more
people are making the switch over to Jio.
By leveraging the need for affordable internet in every one of India's numerous social strata, Jio
has started dismantling other network providers with its foray into the market and recently hit a
user base of 100 million.
All of RIL's efforts on Jio are part of a greater whole in which the company plans to achieve
national, and international, domination in the field of mobile internet. And what they're doing now
is laying the foundation on which they will build the industry's greatest monument.
 Jio Gigafiber
 Other JIO Apps
 JIO Phone

Customization:
Different Plans available for customers starting from 49 to 10,000 rupees. Based on the
requirement of customer, customr can recharge and use the service.

Product Agnosticism:
Reliance Jio is running a pilot project in Mumbai, Chennai and Ahmedabad of its ‘digital coupons’
model. Shoppers—the Reliance Jio subscribers— are given digital coupons of different brands on
its Jio Money platform or through text messages with which they can buy discounted products of
these brands at neighborhood shops.

The company will charge brands a fee for using its platform for ‘below the line marketing,’ which
is a money-saving advertising option for companies involving the di ..
Value Proposition:
 Reliance Jio aims at offering high value to the customer by providing fast, high quality 4G
network connectivity at an affordable price.
 Reliance Jio has portrayed itself as a future proof network with cutting edge technology
that offers superior digital services experience to the customer.
Valued Customer:
Core Benefit – Voice calling and Internet ConnectivityBasic
Product - Mobile Network that offers good network coverage with Internet connectivityExpected
Product – 4G network with 100% VoLTE
Augmented Product – Value added services such as Jio Money, Jio TV, Jio Cinema, Jio Music,
Jio Cloud, Jio Security
Potential Product – Optical cable Infrastructure available to expand to 5G network in the future
Resources Process
 Most Widest 4G Network coverage  Latest and trusted hardware from
 Jio phone for feature phone users CISCO to support the speed and usage
 After sale support hiccups.
 Other VAS  Tracking the data to offer best possible
customized solutions
Value- Proposition Profit/ Revenue
 Providing fast, High quality 4G  Cost decrease to customers
Network at affordable price  Reduced risk for customers
 Cutting edge technology which offer  Tracking the data usage to offer better
superior digital services experience to solutions profitably.
customers

References:
https://www.business-standard.com/article/companies/reliance-jio-aims-for-e-commerce-pie-
with-fmcg-tie-ups-117111500592_1.html
https://yourstory.com/2017/02/reliance-jio-business-plan/
https://gadgets.ndtv.com/telecom/opinion/reliance-jio-business-model-how-can-it-make-money-
1454531
http://www.ril.com/

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