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)*+& *c,  With the post liberalization phase of 1991 and huge foreign direct investment, India has witnessed a dramatic growth in the entertainment and media industry in the last decade. The radio industry accounts for significant low share (2.9%) for Advertisement spending (that accounts for the major revenue source) as compared to TV, however there is a huge growth potential, thanks to rapid urbanization and increasing life standard that has led to the outburst of private FM Radio stations all over the country. India's radio industry is projected to post a robust growth of 32 percent over the next few years to touch Rs.12 billion (nearly $270 million) in revenues by 2010 on the back of a robust economy and easing of stiff investment rules. However with all these rosy pictures there lies the inevitable fierce competition in this sector due to a large number of players coming into picture every year. In order to sustain and grow, FM Radio stations have no choice but to act proactively in the field of bringing new innovative programs and provide maximum customer satisfaction. 
    
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     The project includes a survey that aims to find the customer perception in order to get the in depth story of fm transmission.

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Radio is the most exciting, involving and powerful promotional medium. Radio¶s ability to tease, to create dynamic promotional concepts, to build anticipation and generate excitement, to magnetize the audience « the exhilaration radio delivers for both audience and advertisers is unparalleled. Radio broadcasting is a Government of India monopoly under the Directorate General of All India Radio--established in 1936 and since 1957 also known as Akashvani--a governmentowned, semi commercial operation of the Ministry of Information and Broadcasting. From only six stations at the time of independence, All India Radio's network had expanded by the mid1990s to 146 AM stations plus a National Channel, the Integrated North-East Service (aimed at tribal groups in northeast India), and the External Service. There are five regional headquarters for All India Radio: the North Zone in New Delhi; the North-East Zone in Guwahati, Assam; the East Zone in Calcutta; the West Zone in Bombay; and the South Zone in Madras. The government-owned network provides both national and local programs in Hindi, English, and sixteen regional languages. Commercial Radio services in India, which were inaugurated in 1967, are provided by Vividh Bharati Service, headquartered in Bombay. Vividh Bharati, which accepts advertisements, broadcasts from thirty- one AM and FM stations in the mid-1990s. India has an extensive network of medium wave and shortwave stations. In 1994 there were eighty-five FM stations and seventy-three shortwave stations that covered the entire country. The broadcasting equipment is mostly Indian made and reaches special audiences, such as farmers needing agro climatic, plant protection, and other agriculture-related information. The number of radio receivers increased almost fivefold between 1970 and 1994, from around 14 million to nearly 65 million. Most radios are also produced within India. The foreign broadcast service is a function of the External Services Division of All India Radio. In 1994 seventy hours of news, features, and entertainment programs were broadcast daily in twenty-five languages using thirty-two shortwave transmitters. The principal target audiences are listeners in neighboring countries and the large overseas Indian community. The Indian FM radio industry has witnessed a robust and steady growth in the last few years. With a nominal GDP CAGR of 9.94% over the last 10 years (1995-2005) and the rapid urbanization, FM radio industry is bound to experience a rich growth in the coming years followed by tough competition as already seen in the market today. Indian and Other International media giants are all vying for a stake of the segment. In the last three years, US$ 88 million FDI has flowed into this sector and in 2006, 13 FDI proposals were

approved by the Government. The Government allows 20 per cent FDI in FM radio and recommended shifting to revenue sharing regime from the current license fee structure. There is also a strong correlation between the economic growth rates of a country i.e. the nominal GDP growth rate, and growth rates of the advertising industry. The Indian advertising spends, as a percentage of GDP, is 0.34%, which lags behind other developed and developing countries.

02  -c  +  Internationally, FM radio broadcasting is the preferred mode of radio transmission due to its high quality stereophonic sound. In March 2000, the Government invited private sector into FM radio broadcasting by opening up the frequencies in the FM band (87.5-108 MHz). In this Phase I Policy of FM radio privatization, private operators were invited to bid for a 10-year license to set-up and operate FM radio stations. The original plan has to set-up 108 FM radio frequencies across 40 cities. 101 bids were received, aggregating to a license fee of approximately Rs.4.25 billion. The unusually high license fee structure and year-on-year annual escalations of 15% hampered the FM radio growth. The Government's Tenth Plan stipulates that private operations are to be encouraged to provide FM radio services in metros and small cities. They recently announced Phase II of the privatization of FM radio, which is an initiative in line with the roadmap laid out in the Tenth Plan. A total of 359 channels in 91 cities across the country would be made available for bidding by Indian private companies. Radio has made a comeback in the lifestyles of Indians. Radio has the reputation of being the oldest and the cheapest medium of entertainment in India. The radio industry has been completely reshaped by the various private players that entered the sector after the government allowed foreign investment into the segment and opened the licenses to the private players .The Indian government has already given 338 licenses for FM radio channels in 91 big and small towns and cities. The current size of the radio market is India is Rs 300 crores and is expected to achieve the highest growth rate of 32 per cent in coming years. The quality of the sound and the music has improved significantly with the emergence and use of satellite radio. The audience profile has also shifted to the high-income group. Local advertising, lower amount of money spent by the companies to advertise on radio is an added attractiveness for the players. All India Radio (AIR) - the national service provider owned and operated by the Ministry of Information and Broadcasting under the Government of India - is the largest player in the industry.

3&%4 5c3+5 We came up with some of the advantages of radio over other media ± ‡ Cost and Efficiency- One of the main strengths of radio as an advertising medium is its low cost. Radio commercials are very inexpensive to produce. They require only a script of the commercial to be read by the radio announcer or a copy of a prerecorded message that can be broadcast by the station. The cost for radio time is also low. The low relative costs of radio make it one most efficient of all advertising media and the low absolute cost means the budget needed for an effective radio campaign is often lower than that for other media. The low cost of radio means advertisers can build more reach and frequency into their media schedule within a certain budget. They can use different stations to broaden the reach of their messages and multiple spots to ensure adequate frequency. ‡ Selectivity± Another major advantage of radio is the high degree of audience selectivity available through the various program formats and geographic coverage of the numerous stations. Radio lets companies focus their advertising on specialized audiences such as certain demographic and lifestyle groups. Most areas have radio stations with formats such as adult contemporary, easy listening, classical music, country news/talk shows to name a few. Radio can reach consumers other media can¶t .Radio has become a popular way to reach specific nonEnglish speaking ethnic markets .As mass marketing gives way to market to market segmentation and regional marketing, radio will continue to grow in importance. ‡ Flexibility ± Radio is probably the most flexible of all the advertising media because it has a very short closing period, which means advertisers can change their message almost up to the time it goes on the air. Radio commercials can usually be produced and scheduled on very short notice .Radio advertisers can easily adjust their messages to local market conditions and marketing situations. ‡ Mental imagery - A Potential advantage of radio that is often overlooked is that it encourages listeners to use their imagination when processing a commercial message. While the creative options of radio are limited, many advertisers take advantage of the absence of a visual element to let consumers create their own picture of what is happening in a radio message. Radio may also reinforce television messages through µimage transfer µ. ‡ Integrated Marketing Opportunities ± Radio provides marketers with a variety of integrated marketing opportunities. Advertisers often use radio stations and personalities to enhance their involvement with a local market and to gain influence with local retailers .Radio also works very effectively in conjunction with place-based /point of purchase promotions. Retailers often use on-site radio broadcasts combined with special sales or promotions to attract consumers to their

stores and get them to make a purchase. Live radio broadcasts are also used in conjunction with event marketing.

+++5% 5c3+5 Several factors limit the effectiveness of radio as an advertising medium, among them creative limitations, fragmentation, chaotic buying procedures, limited research data, limited listener attention and clutter. The media planner must consider them in determining the role the medium will play in the advertising program. ‡ Creative Limitations - A major drawback of radio as an advertising medium is the absence of a visual image. The radio advertiser cannot show the product, demonstrate it, or use any type of visual appeal or information. Because of these creative limitations many companies tend to ignore radio, and agencies often assign junior people to the development of radio commercials. ‡ Fragmentation ± Another problem with radio is the high level of audience fragmentation due to the large number of stations. The percentage of the market tuned to any particular station is usually very small. Advertisers that want a broad reach in their radio advertising media schedule have to buy time on a number of stations to cover even a local market. ‡ Chaotic Buying Procedures ± It should be readily apparent how chaotic the media planning and purchasing process can become for the advertiser that wants to use radio on a nationwide spot basis. This problem has diminished somewhat in recent years as the number of radio networks and of syndicated programs offering a package of several hundred stations increases. ‡ Limited Research Data ± Audience research data on radio are often limited, particularly compared with TV, magazines, or newspapers .Most radio stations are small operations and lack the revenue to support detailed studies of their audiences. And most users of radio are local companies that cannot support research on radio listenership in their markets. Thus, media planners do not have as much audience information available to guide them in their purchase of radio time as they do with other media. ‡ Limited Listener Attention ±Another problem that plagues radio is that it is difficult to retain listener attention to commercials. Radio programming, particularly music, is often the background to some other activity and may not receive the listeners¶ full attention. Thus they may miss all or some of the commercials. ‡ Clutter ± Clutter is just a problem with radio as with other advertising media .Advertisers must create commercials that break through the clutter or use heavy repetition to make sure their messages reach consumers.

  3  p Understanding costumer¶s attitude towards fm transmission

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   p What kind of attitude people perceive towards radio transmission? p Awareness about various fm radio stations? p Is there any relationship between various promotional activities & no. of listeners?

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Do people have positive or negative attitude towards radio transmission? Are the people aware about the Radio Mirchi Station? Has no. of listeners increased or decreased due to promotional activities? Do the competitors provide better facility? Has the no. of radio listeners increased after the introduction of radio services like Radio Mirchi?

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   p By what extent the promotional activity has led to increased in the no. of listeners? p What is the market share of other competitors against Radio Mirchi? p What is the change in the no. of radio listeners after the introduction of radio services like Radio Mirchi?

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  This research investigation is company-specific and highly qualitative in nature. We generated data through a structured questionnaire blended with personal interactions with FM Radio listeners in Pune area on the basis of simple random sampling method. The data so generated are subject to qualitative treatment, by using the rating sales; and inferences have been drawn accordingly.  
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 The type of research method used for this project is Quantitative research technique. In this methodology, people have been chosen randomly and have been asked to respond to the questionnaires.   7  In this project the following sampling technique has been used. 1. Simple random sampling (Convenient Sampling): - Simple random sampling technique has been used for general questionnaire as it avoids any kind of bias in choosing the sample.  
2  The sample size chosen for the research is 50 in the age group of 20-40 years of age in the above mentioned area. c

 
 The research instrument used for this survey is questionnaire. The reasons why this instrument is chosen are:‡ It is free from all bias. ‡ It covers a wide area ‡ It helps in getting original data. ‡ Not expensive. ‡ It is easy to tabulate and understand. c
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 ‡ Learn the customer perception about the programs and services of Radio Mirchi ‡ Comparative study of Radio Mirchi with other FM Radio players in Pune ‡ Make useful recommendations based on the survey feedback

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 The primary data is collected through interviews and questionnaire. + 0 
 An interview can be qualitative, quantitative or a combination of both. In a quantitative interview, the questions are predetermined and presented together with multiple choice answers. Quantitative means that there must be measurable results. A quantitative interview is conducted in an investigating situation, which resembles an everyday situation and an ordinary conversation. The answer to the questions shall be spontaneous and be a result of the Interviewee¶s own opinion. Both, quantitative and qualitative interviews are opposite of each other. In a quantitative interview the difficulty is in preparing the questionnaire whereas in qualitative interview a lot of effort is required in analysis. The approach used in this research is quantitative interview methodology. We selected this methodology because it is found easier to get the responses from the sample within a limited time frame.    
 The major source of secondary data is Internet from where collected all the relevant information available about this product, about the companies which brought this product in the existing market. We also collected information regarding the boom in entertainment industry in India and the growth of this industry in Indian market. Various other information of interest has also been collected. c
 
 ‡ This research investigation is limited to one geographical area. ‡ It is also restricted to a limited to sample size. ‡ Time and resource constraints ‡ An interpretation of the study is based on the assumption that respondents have given correct information.



   The statistical Z-test has been used for hypothesis testing. The data for the statistical test has been taken from the survey result. The level of significance has been taken as 5%. Formula used for hypothesis testing (Z-test) Z = A / B where A = | P ± Ps | And B = ¥(PQ/n) Where, P = Population proportion (Should not be less than 0.5) Ps = Sample proportion Q=1±P n = Sample size 
" Null hypothesis (Ho): ³There is no significant difference between popularity of Radio Mirchi and other FM Radio stations.´ Alternate hypothesis (Ha): ³There is significant difference (Radio Mirchi is more popular between popularity of Radio Mirchi and other FM Radio stations.´ 
' Null hypothesis (Ho): ³There is no significant difference between service of Radio Mirchi and other FM Radio stations.´ Alternate hypothesis (Ha): ³There is significant difference between service of Radio Mirchi and other FM Radio stations (Implying that service of Radio Mirchi is better).´

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Are you aware of the FM radio station "c  ö in Pune? mp Äes mp No

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Which of the following brands come to your mind when you think of FM radio channels in Pune? (Select all that apply) mp mp mp mp mp mp

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Radio Mirchi Radio City Radio One Radio Indigo BigFM Other How often do you listen to Radio Mirchi programs?

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Daily, as main radio station Most days Only to certain special programs Occasionally Do not listen What is your preferred media to listen to FM radio? (Select all that apply)

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Transistor Music system Internet Mobile phone Where do you listen to FM radio programs quite often? (Select all that apply)

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Home College Office Travelling Other How do you rate Radio Mirchi programs compared to other FM radio players in the city?

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Very Good Average Poor Don't Know

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How would you rate the Radio Jockey (RJ) interaction for Radio Mirchi? mp mp mp mp

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Very Good Average Poor Don't Know Which of the following language music do you listen to most on Radio Mirchi? (Select all that apply)

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English Marathi Hindi Other Are you satisfied with the service of Radio Mirchi?

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How would you rate the signal coverage of Radio Mirchi at your place? Very Good Average Poor Too much Reggae Don't Know

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Would you like to give your suggestions to make programs of Radio Mirchi even more better? (Optional)

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