Airtel brand within next six months
Monday, 18 January 2010
FE Report
Indian telecom giant Bharti Airtel said Sunday that the company is going to introduce its acclaimed 'Airtel' brand in the Bangladeshi market within the next six months following its acquiring of 70 per cent stake in Warid Telecom.
Bharti- which is India's largest cellular service provider, said that it would look to grab one of the two leading positions in Bangladesh's boming telecom market within the next five years, based on its experience in other emerging markets and a 'unique business model'.
"Surely, we won't be happy with Warid's current number four position or only three million subscribers", Manoj Kohli, Chief Executive Officer and Joint Managing Director of Bharti Airtel told reporters in the city.
"Our target is to become one of the two leading operators in this country within the next five years time", Manoj said, adding "Bangladesh's largely unpenetrated cellular market offers huge opportunity for a relatively new player for further expanding its subscriber base".
The statement came days after it was announced that Bharti Airtel has formally agreed to acquire 70 per cent of its stake in Warid Telecom- the fourth largest mobile operator in Bangladesh.
Under the agreement, the telecom giant will make a fresh investment of US$ 300 million- the largest amount invested by an Indian company in Bangladesh as part of its foray into the South Asian market following the company's successful launching in Sri Lanka last year.
"One of our key business plans would be the launching of our celebrated 'Airtel' brand" the Indian telecom boss said, "as it is a already well recognized identity in the local market and therefore have immense market potential in this country".
"This is going to happen sooner than later, possibly within four to six months time frame and would be beneficial for both the companies from business point of view", Manoj said.
However, neither Bharti nor Warid authorities inclined to make any direct remark on whether the introduction of Airtel would mean the end of 'Warid' corporate identity in Bangladesh.
Bharti Airtel is making foray into the Bangladeshi telecom sceane at a time when the local market, according to indsutry insiders already seem 'overcrowded'; with six operators jostling for the share of a 55 million strong booming subscriber base.
There is also widespread speculation that the introduction of Bharti in the local telecom market would lead to further price war and even may result to job shedding as part of the new marketing startegy and corproate reshuffling.
The indian telecom operator however, trashed of such notions, asserting that the company's business strategy for the new market would be centered around offering quality service to its customers while keeping in mind their affordability.
"Mobile penetration rate in Bangladesh now stands at 32 per cent and there is no reason why it cannot reach 70 per cent like many other developing countries in five years time", Manoj said.
"Telecom market in Bangladesh is growing and in less than a decade, this country would be one of the largest market for telecom operators in the world and seeing that potential, we have decided to made such investment in this emerging market", the Airtel boss added.
Indian telecom giant Bharti Airtel said Sunday that the company is going to introduce its acclaimed 'Airtel' brand in the Bangladeshi market within the next six months following its acquiring of 70 per cent stake in Warid Telecom.
Bharti- which is India's largest cellular service provider, said that it would look to grab one of the two leading positions in Bangladesh's boming telecom market within the next five years, based on its experience in other emerging markets and a 'unique business model'.
"Surely, we won't be happy with Warid's current number four position or only three million subscribers", Manoj Kohli, Chief Executive Officer and Joint Managing Director of Bharti Airtel told reporters in the city.
"Our target is to become one of the two leading operators in this country within the next five years time", Manoj said, adding "Bangladesh's largely unpenetrated cellular market offers huge opportunity for a relatively new player for further expanding its subscriber base".
The statement came days after it was announced that Bharti Airtel has formally agreed to acquire 70 per cent of its stake in Warid Telecom- the fourth largest mobile operator in Bangladesh.
Under the agreement, the telecom giant will make a fresh investment of US$ 300 million- the largest amount invested by an Indian company in Bangladesh as part of its foray into the South Asian market following the company's successful launching in Sri Lanka last year.
"One of our key business plans would be the launching of our celebrated 'Airtel' brand" the Indian telecom boss said, "as it is a already well recognized identity in the local market and therefore have immense market potential in this country".
"This is going to happen sooner than later, possibly within four to six months time frame and would be beneficial for both the companies from business point of view", Manoj said.
However, neither Bharti nor Warid authorities inclined to make any direct remark on whether the introduction of Airtel would mean the end of 'Warid' corporate identity in Bangladesh.
Bharti Airtel is making foray into the Bangladeshi telecom sceane at a time when the local market, according to indsutry insiders already seem 'overcrowded'; with six operators jostling for the share of a 55 million strong booming subscriber base.
There is also widespread speculation that the introduction of Bharti in the local telecom market would lead to further price war and even may result to job shedding as part of the new marketing startegy and corproate reshuffling.
The indian telecom operator however, trashed of such notions, asserting that the company's business strategy for the new market would be centered around offering quality service to its customers while keeping in mind their affordability.
"Mobile penetration rate in Bangladesh now stands at 32 per cent and there is no reason why it cannot reach 70 per cent like many other developing countries in five years time", Manoj said.
"Telecom market in Bangladesh is growing and in less than a decade, this country would be one of the largest market for telecom operators in the world and seeing that potential, we have decided to made such investment in this emerging market", the Airtel boss added.