AIRTEL MAGIC – SELLING A PRE-PAID CELLPHONE SERVICE
 THE FUTURE – FAR FROM MAGICAL Contd..
The starter pack of the product costed Rs 999, which
included an airtime worth Rs 499 and which carried an additional charge of
Rs 10 as rental charge every day. For both, incoming and outgoing calls,
customers were charged at Rs 1.15 (30 seconds) between 8 am and 9 pm and Rs
0.25 between 9pm and 8am.
QUESTIONS FOR DISCUSSION:
1. Explore the circumstances in which Bharti launched Magic and explain the
strategies adopted by the company to establish Magic in the Indian pre-paid
card market. Identify the reasons for the instant success of Magic in India.
2. Examine the need for marketing revamp and repositioning of Magic brand
during early 2002. Do you think Bharti succeeded in the repositioning
efforts for Magic? Discuss.
3. Discuss the strategic moves of Bharti's competitors to counter its
aggressive marketing strategies to expand its market in the early 2000s. How
far were these competitors successful?
4. Critically examine Bharti's future in the pre-paid card market, in the
light of the intensified competition, entry of BSNL and low margins
available in the business. Suggest how Bharti could retain its leading
position in the pre-paid cellular card market.
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Contents...
Casting The Celebrity Magic
Background Note
All Set To Create Magic
The Industry Strikes Back
The Future – Far From Magical
Questions For Discussion
Exhibit I
Exhibit II
Exhibit III
Exhibit IV
Cellular Service Subscriber Base In India
Additional Readings & References
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