Just dial analysis

8/11/2019 Just dial analysis

1/32

1 Page

Emergence and Growth of Justdial

in the Indian Market

Group 9

Ankit Saklani - 13P125

Areeb Sharique - 13P128

Diwakar Sharma - 13P169

Jaskiran Singh Makkar - 13P144

Tarun Gupta - 13P177


2/32

2 Page

ACKNOWLEDGEMENT

We would like to express our deepest gratitude to Dr. Kanwal Kapil for enlightening

us throughout our Marketing Planning course and for his patient guidance, insight,enthusiastic encouragement and useful critiques throughout this research work.

We would also like to extend our thanks to all our friends and colleagues at MDI and

outside who helped us by filling our internet survey. It is the support of our friends

that motivated us through the course of our study.

Finally, we wish to thank our parents for their undivided support and encouragement

throughout our study.


3/32

3 Page

ContentsIntroduction............................................................................................................................................ 4

Vision & Philosophy............................................................................................................................. 5

A Brief History of Just dial................................................................................................................... 5SWOT Analysis..................................................................................................................................... 7

Strengths........................................................................................................................................... 7

Opportunity........................................................................................................................................ 8

Weakness.......................................................................................................................................... 9

Threats............................................................................................................................................... 9

PEST Analysis.................................................................................................................................... 10

Political:............................................................................................................................................ 10

Economical:..................................................................................................................................... 11

Social:.............................................................................................................................................. 11

Technological:................................................................................................................................. 11

Porters five forces............................................................................................................................. 13

Competitive rivalry:......................................................................................................................... 14

Threat from new entrants:............................................................................................................. 15

Threat of substitutions:.................................................................................................................. 15

Supplier Power:.............................................................................................................................. 15

Buyer Power:................................................................................................................................... 15

ANALYSIS ............................................................................................................................................... 16

Positioning ............................................................................................................................................ 25

Suggestions and future prospects ........................................................................................................ 27

Conclusion ............................................................................................................................................. 28

Appendix ............................................................................................................................................... 29

References ............................................................................................................................................ 32


4/32

4 Page

SECTION: 1


5/32

5 Page

Introduction JustDialis a leading search brand in India.

It provides search through Phone, Web, WAP and SMS.

It has over 57 million unique users spread across 2000 towns and cities in India

Just Dial, India employs 4000 strong work force, has more than 145,000 paidadvertisers.

Vision & PhilosophyThe company's goal is to create long-term shareholder value by enhancing its

position as a leading local search service. The company's philosophy focuses on end

user experience through feedback, innovation, teamwork and integrity.

A Brief History of Just dial

1993

Incorporation of Company as A&M Communications PrivateLimited

1996

Commencement of Companys search business operations inMumbai with 8888-888 telephone number

2006

Change in name of the Company from A&M CommunicationsPrivate Limited to Just Dial Private Limited

2007 Launch of Companys website http://www.justdial.com


6/32

6 Page

2007

Launch of search service through SMS and mobileinternet

2009

The website receives 25 million visits in a year forthe first time

2011

Demerger of activities and operations pertaining toIT-related testing and other related services of

Company to JD Global


7/32

7 Page

SWOT Analysis

Strengths

Leading search engine:

Just dial is a leading provider of local search services in India. The users can call a

common number and ask the operator for any search category they are looking for

be it computer stores, wedding planners, restaurants in an area, beauty salons,

travel agents or any other service. It is most useful if the person is not having access

to internet at the time. Its business model is unique and is not limited to any

particular search category and has network now in almost all the states of India.

Just

Dial

Strengths:

1. Leading Local search engine

2. Early market entrant

3. Large customer base

4. Highly Scalable Business

Weaknesses:

1. Services not present in

all the countries.

2.Lower penetration in

rural area

Threats:

1. Newly emerging players

like sulekha,askme.

2. Lack of prior research of

the services by justDial.

Opportunities:

1. International markets

2. Presence in more cities

3.Increasing Telecom and

Internet penetration


8/32

8 Page

Early market entrant:

Just Dial was an early entrant in the local search engine category. Earlier people

were only reliant on Google search for any search but it required an internetconnection. Just dial exploited that opportunity and advertised accordingly. It started

providing local search services to users on a single number.

Large customer Base:

Just Dial can bank upon a large customer base in India which use telephone and

also internet these days. More than the Internet telephone has penetration in even

the backward areas of India and these days due to mobile phones Just dial has a

tremendous opportunity to exploit if it acts accordingly.

Highly Scalable Business:

This business is highly scalable given the fact that the search industry is not fully

exploited in India in Local searches and Just Dial has virtually no competitor in what

it does. Google also provides searches but its focus is global and also it does not

these specialized services as Just Dial. Just Dial has customized the search

according to local users and better meets the need of users in an area.

Opportunity International Markets:

One of the unique things about just dial is that it has customized the search

according to local users needs. Google is the biggest player in online search but the

kind of service Just dial provides can allow it to survive and also thrive despite

Google being there. A person living in a town or a city would rather search on Just

Dial for say printing presses in that area than Google. This advantage gives it

tremendous advantage to aggressively go in International markets and new areas. Ithas recently entered North America with the same service. It also plans to go in

newer markets with the same strength.

Increasing telecom and internet penetration:

India is increasingly having greater penetration every year in telecom and internet.

Government focus in improving infrastructure and greater penetration in telephony

and internet services in India provides a huge opportunity to Just Dial to exploit and

to capitalize on it given it acts proactively and aggressively.


9/32

9 Page

Weakness

Services not present in all the countries-

Outside India Just Dial is present in Canada, UK, Australia, New Zealand, Singapore

and Hong Kong .But its presence in these countries is very limited. It has yet to

expand its business in these countries.

Lower Penetration in rural area-

Rural area is yet to be touched by Just dial. A large population of people in India

resides in rural area and this segment is not yet touched by Justdial.

Threats

Newly emerging players like Sulekha and AskMe:

Just Dial afaces a challenge from new market players like sulekha and AskMe and

even TimesInfoLine. These competitors although not so big provide a threat to Just

Dial in eating into its market share. TimesInfoline in particular is backed by the times

group of India which has strong presence in electronic and print media and have

resources to market their website and also can scale up fast. Whether they are able

and willing to do it is a question. Just Dial will have to be more vigilant and grow

faster than its peers so that it reaches a level of comfort.


10/32

10 Page

PEST Analysis

Political:

There are Government guidelines to which services are considered legal, and

as such JustDial must evaluate each clients request to ensure that the service

being offered must fall within the legal purview and only then can they put it

up.

Besides this, there is very little interference or regulation on a call and assisttype of service in India

Just

Dial

Political

1-Govt Guidelines

2-Interference on call

and assist

Social

1-Rising Population

2-Changing Lifestyle

Technological

1-Database

handling

2-Rating customer

Economical:

1-Inflation

2-Globalisation

3-Rapid increase inlocal market


11/32

11 Page

Economical:

With rising inflation, customers are less willing to hire a taxi or go to a foodrestaurant for e.g. , which would impact justdial's business

Also with globalization and more FDI pouring in, investments in such sectorsare likely to go up.

The overall market for location specific search is increasing rapidly with moreand more people moving to in the urban cities and distances increasing tolocal amenities and services.

Social:

With maximum population of India falling in the 17-35 year age bracket, thereis immense scope of use of smart and better technology

Rising Population also will have more number of customers pouring in

With hectic lifestyles of the youth and limited time constraint, the use oftechnology such as justdial is a smart choice

Technological:A better and improved technology will help in:

better and efficient handling of customers

more means to reach out to customers

some business intelligence tools can be used to predict customer behaviorpatterns and business strategy can be made accordingly

Better handling of huge database

A better technology can be used to rate clients


12/32

12 Page

SECTION: 2


13/32


14/32

14 Page

Competitive rivalry:

JustDialsdial-in search service through its call centers for information business is a

unique service. There are various competitors within the online local business search

segment with similar offerings. Players such as Sulekha, asklaila, Getit, ZatSe andaskme operate within the same space. It also faces competition from portals such

as Zomato, burrp (within the restaurant and lifestyle segment).

JustDial faces intense competition in the Internet business. Websites such as

Zomato have been able to create online communities that prompt users to visit

regularly and maintain mindshare. Zomato also attracts direct visits rather than

through search engines. Justdial enjoys an almost monopolistic position in the voice

search business.

Biggest competition for Just Dial is from Google at this stage and at the same time

the truth is that Google tried to get into the local search engine space in April 2008,

but they were unable to achieve scale and it requires a good amount of initial burn to

achieve that scale. So they exited this space around December 2010. Future entry

again into this space cannot be ruled out.

What I believe is that there are two things that are going to be important for someone

to be successful in this space - one is the ability to achieve scale that is where Just

Dial seems to have done a very good job. At the same time it is important that the

player who comes in here is able to make that kind of investment that Google is

capable of because of their deep pockets.


15/32

15 Page

Threat from new entrants:

Threat from new entrant is medium in local search market. The entry barriers are

high. A lot of investment is required for creating a search database. Also there can

be reluctance on part of business to put a paid business listing on a new searchengine. Also a call centre is needed to provide offline search results. A new local

search engine though enters the market and can be successful if it focuses on

providing specific services e.g. Zomato caters to the need of foodies by providing

search results for restaurants.

Threat of substitutions:

Threat of substitutes is high as there are large number of local search engines likeaskLaila, zomato, sulekha, getit etc are available. Also there are search engines

available which provide specific services like zomato for restaurants, Magic bricks for

real estate. Big giants like google and yahoo have also entered into the local search

markets which provide stiff competition to local search engines and can be

substituted to easily.

Supplier Power:

The power of suppliers to drive up the prices is very high. Suppliers are the people

who listed their business in the search engine. As a large number of search engines

are available a supplier can shift to some other search engine if the search engine if

the search engine company charges large amount for the services.

Buyer Power:Buyer doesnt affect the price directly as the buyer are not directly buying anything

from the search engine. He is just using the search engine as a medium to searchthe services he required. A large number of buyers increase the price of the

advertisement.


16/32

16 Page

ANALYSIS

1) Gender:

The survey had 100 participants with varying age group and gender. Demographicprofile can be seen in the pie charts given below.


17/32

17 Page

2) Age Group Analysis:


18/32

18 Page

3) Profession:

As can be seen from the chart above majority of users are either student or working

professional. This indicates that Just dial is much useful for people who have little time to

invest and want one shop-stop for all service vendors where they can see information about

everything.


19/32

19 Page

4) Mode Used:

As can be seen from the above graphs and charts. The predominant mode for local search

engine users is Internet. Mobile apps and phone account for combined 26 percent only.

Inspite of increasing penetration of mobile internet and phones, internet still accounts for the

majority share in local search.


20/32

20 Page

5) Search Engine:

Just Dial rules the roost here. It is the preferred choice of customers and the second

preferred choice is Sulekha of which Just Dial is way ahead. Just Dial is used by 79 percent

of users.


21/32

21 Page

6) Please rate just dial on the following (1 being worst and 5 being best)

Number of responses for each parameter based on its preference:

Weighted average of the different parameters:

Based on the responses that we have received we have calculated the weighted averages of

the different parameters in order to rank them according to consumer preference. The

weighted averages of different parameters can be seen above in the graph.

As the graph clearly demonstrates, for consumers getting Informative search results is the

most important parameter on the basis of which they judge a search engine like Justdial or

Sulekha.

It is followed by Relevance, User Interface and lastly User Reviews.

Hence, it is extremely important for Justdial to provide as much information as it can in its

search results and make this information relevant to the user. Information such as address,

phone number, name of the person to contact should always be displayed.


22/32

22 Page

What Category do you search in JustDial?JustDial Utility for Various searches

It can be inferred from the respondents choices that the maximum search in JustDial is in

the Restaurant category. From JustDials perspective, it will be a great way to play into their

customer base by adding more restaurants to their list of search results.

Also movies and the hotels category together contribute to a whopping 80%.

Hence it can be concluded that the major business of JustDial is mostly in 3 categories:

Movies, Restaurants and Hotels.


23/32

23 Page

Rate the Phone services of JustDial (1 for Lowest and 5 for Highest):

JustDial scores heavily on the service delivery part with majority respondents rating JustDial

heavily on the Promptness with which call is answered and the Politeness of the executive

on the call front. It is clear from the responses that JustDial has a good reputation in terms

of Customer service and this is commendable.

Also a case in point is the relevant results. Respondents seem to be fairly satisfied with the

results produced by JustDial. It can be inferred from the responses that there is scope for

improvement in this area.


24/32

24 Page

Section : 3


25/32

25 Page

Positioning1. Personalized touchThey have the details of the customer calling. When one calls

for the second time they address the person with his/her name. This gives a personal

touch and a sense of association to the customers.

2. Quick serviceJust Dial provides a quick service and prompt response to customer

queries and their needs.

3. Diverse Portfolio- Has a unique model of addressing customer needs in many

segments be it restaurants, car wash, printing presses, travel, hotels, quick cabs and

many more. It provides a very diverse portfolio to its business. Its service offerings

address the needs of people from both high-end to low-end.

4. Engaging B2C as well as B2B- Engages customer as well as dealers. Just Dial

has a unique advantage of not only having business with the customers but dealers

as well which makes it strong in business model.

5. Trusts potential dealersprovides a JD tag to trustworthy dealers and who have a

good history of providing high quality and reliable products to the customers.

6. 24*7 service- efficient and quick resolution of issues raised by customers anytime

and anywhere.

7. Perceived to be one of the most reliable brandsin this segment


26/32

26 Page

8. USP is simplicity and reliable service. It does not divert customer calls to other

numbers and simply has one service executive answer customer calls. This provides

simplicity and reliability.

9. Tagline is Indias no. one local search enginewhich is a strong statement that

reflects the positioning in the Indian market. It also suggests that it is number one in

what it does. It clearly reflects the business segment it wants to cater to.


27/32

27 Page

Suggestions and future prospects

They can add a toll free SMS servicefor the customers so as to provide them with

an additional option of using the justdial service. Customers can send an SMS as

taxi service new delhi and send it to a toll free number based on which the

appropriate response will be provided.

As per our marketing research people give most preference to search results. So

Just Dial should try to make search results as informative as possible

Try to optimize search engine in a way to make results relevant

Make UI simple to use

As the number of smart phones are increasing they should promote their mobile app

to engage more customers

As power our market survey, most of the users use Justdial to search for restaurants.

Justdial should add more features apart from just searching for restaurants such as

rating restaurants and allowing users to post reviews. This can cannibalize

businesses like Zomato etc

It can expand into new international markets other than North America and India.

It can collaborate with other companies to increase its database so as to include

more companies into its search results


28/32

28 Page

Conclusion

The number of local search engines is increasing at a very fast rate. Some international

players like yahoo local and google has also joined the race. According to

indiadigitalreview.com

There are 7.5 million potential small & local businesses .Out of which, 5000 are big

shots who has deep pockets

So that makes, more than 99.9% untapped market. This is a very big opportunity.

Now there are about 50 million Indian internet users roughly. About 400 million

mobile users.

So we can see that there is a lot of opportunity present in local search industry

With broadband services and mobile phones penetrating into rural households, the demand

for local search market is expected to grow. Just Dial is already ahead in the competition butto remain ahead it should keep on advertising aggressively and should keep on innovating.


29/32

29 Page

Appendix

1. What is your gender?

FemaleMale

2. What is your age?

18 to 24

25 to 34

35 to 44

45 to 5455 to 64

65 to 74

75 or older

3. What is your profession

Student

HouseWife

Businessman

Working Professional

Others

Other (please specify)

4. Which mode do you use most for your local search?Internet

Mobile Apps

Phone



30/32

30 Page

5. Which search engine do you prefer for local search?

JustDial

Sulekha

Getit

Asklaila

Askme


6. Please rate just dial on the following(1 being worst and 5 beingbest)

1 2 3 4 5

Good and Simple UI

Relevant Search Results

Informative

User Reviews for the itemsearch

7. Please rate the phone services of JustDial you like(1 being worstand 5 being best)

1 2 3 4 5

Promptness with which call isanswered

Politeness of the executive

Relevant result

Less holding time


31/32

31 Page

8. Which category do you search in Just Dial?

Movies

Restaurant

HotelsRepairs

Doctors

Tutors

Real Estate

Computers/Laptops



32/32

References

1. www.justdial.com

2. http://www.indiadigitalreview.com

3. articles.economictimes.indiatimes.com

4. http://en.wikipedia.org/wiki/SWOT_analysis

5. http://en.wikipedia.org/wiki/PEST_analysis

6. http://en.wikipedia.org/wiki/Porter_five_forces_analysis

7. http://www.moneycontrol.com/india/stockpricequote/miscellaneous/justdial/JD

8. http://economictimes.indiatimes.com/just-dial-ltd/stocks/companyid-45529.cms

Just dial analysis

Documents