1. BHARTI AIRTEL
PRODUCT-MIX PRICING
Group Members:
Anurag Singh
Bharti Verma
Manish Bahl
Tarun Bahl
Yogesh Garg

2. OVERVIEW : BHARTI AIRTEL
 Founded in 1996 by Sunil Bharti Mittal
 Deals in telecommunication, DTH etc.
 Market capitalization over $30 bn
 Employs over 38000 people
 Among top 5 wireless service providers
globally
 3rd Most admired company in 2009 in Asia
 Active role in CSR:Bharti Foundation

3. PRODUCT PRICING MIX
A tool to maximizes profits on the total mix
Decide the number of products in a product line
Different degree of competition for every product
So every product demand different price strategy

4. SIX DISTINGUISH PRICING STRATEGIES
 Product-line pricing
 Optional-Feature pricing
 Captive-product pricing
 Two-part pricing
 By-product pricing
 Product-bundling pricing

5. PRODUCT-LINE PRICING
 Product lines rather than single products
 Categorize according to Price
Category according Postpaid Prepaid
to Price
Low Freedom 249 Per second Plan
(low call rates)
Medium Advantage 199 Per second plan + 1 year
(low call rates + message validity
pack)
High Turbo 249 Per second plan +2 months
(Low call rates + message message pack + life time
pack + 250 free local validity
minutes)

6. OPTIONAL-FEATURE PRICING
 Offer Optional features and services along
with main product
 Helps in raising suggested selling price
Optional features and packs
• Message pack
• Hello Tunes
• GPRS and Internet Pack
• 3G Connectivity
• Entertainment and Devotional Pack
• Tariff Pack
• Wallpapers and Music Pack

7. CAPTIVE-PRODUCT PRICING
 Some products require the use of
supplementary or Captive products.
 Seller can earn more margins on captive
products than that on main products.
For Example:
 Bharti Airtel earns more margin on Hello
tunes, Alerts , GPRS, 3G, Downloads than
Talk-time plans.

8. TWO-PART PRICING
 Fixed Fee plus Variable Usage Fee
 Fixed fee should be low enough to induce
purchase of service.
Post-Paid Connection Pre-Paid Connection
Rent Rs1500/month , Free A-A 1500 Recharge Rs21/month , Night A-A 20
Minutes , after 1500 minutes 10p/min call minutes , after 20 minutes , call rate
rate 1p/sec
Rent Rs999 , Free A-A 999 Minutes , Recharge Rs.121,month , 1500 minutes
after 999 minutes 30p/min call rate A-A free , after 1500 minutes , call rate
10p/30

9. PRODUCT-BUNDLING PRICING
Mixed Bundling
 Occurs when seller offers multiple products
in a bundle
 Airtel Mobile connection + Nokia Handset
Pure bundling
 Occurs when a firm offers its products only
as a bundle.
 Buy 1 connection , Get 1 free