The company will also increase its headcount from 1,500 to 10,000 by 2010 and expects to close the fiscal with a revenue of Rs 1,000 crore. With this, it joins players like HotSpot, RPG Cellucom, Pantaloon and Subhiksha, who have announced big-ticket investments to tap the Rs 35,000-crore mobile market.
Essar Telecom will also sell mobile phone connections, accessories, new connections and provide after sales support, repairs and other services. With these offerings, we are eyeing a 10% share in the next three years, Essar Telecom Retail CEO Rajiv Agarwal told FE.
Currently, Essar has about 1.5% market share in the country and 4% market share in the 22 cities where it operates. In Delhi it enjoys a market share of about 8%. The company wants to focus only on telecom and related products to garner this pie and denies venturing into other retail formats.
Buoyed by sales of Rs 5 crore on August 15, the company has decided to continue with its scratch and win scheme, where its promises customers a gift worth Rs 5,000 on every purchase.
Earlier we wanted to run the scheme only for a week, but after getting a positive response, we have decided to continue it till the competition does that, said Agarwal. The scheme helped Essar sell 1 lakh phones in a single day.