Reliance Jio Infocomm is widely known as the best mobile network service provider. The company is owned by Reliance Industries which is one of the largest conglomerates in the Indian industry sector.
Let us now see more details about the SWOT analysis of Jio network along with its financials and much more in detail.
About Jio
Reliance Jio has headquarters in Navi Mumbai Maharashtra and offers 4G & 5G network services. It is the only VoLTE operator in India which is its uniqueness.
Jio serves mostly all areas in India. The company launched its innovative services in 2015 and in September 2016 the company got commercial.
Jio at a Glance
| Founders | Mukesh Ambani |
| Key People | Akash Ambani – Chairman
Sandip Das – Managing Director |
| Year of Establishment | 15 February 2007 |
| Annual Revenue (as of FY24) | Rs. 1,00,577 crore |
| Total assets (as of FY24) | Rs 20,700 crore |
| Origin | Reliance Corporate Park, Ghansoli, Navi Mumbai, Maharashtra, India |
| Type of Company | Subsidiary |
| Total no. of employees | Approx. 95,326 |
Best Products of Jio
- Fixed-line telephone
- Mobile telephony
- Wireless broadband
- Internet services
- Mobile phones
- OTT services
SWOT Analysis of Jio
Here is the SWOT analysis of Jio in detail with explained weaknesses, strengths, threats, and opportunities.
Strengths of Jio
Strengths are the important factor of a company that keeps it different from its competitors. Jio has the following strengths –
Sturdy acquisition strategies
Jio has the top customer acquisition planning till today. The plant has been offering free services to their customers for 3 to 6 months resulting in millions of uses. It has resulted in one of telecommunication’s most trusted customer appreciation plans in telecommunication history.
Large customer base
Reliance Jio involves approximately 100 million subscribers in the initial days of its launch. No other competitor has not achieved this count yet. This huge success has made Reliance Jio the best Internet service provider among the rest in the country.
Upgraded technology
Reliance Jio uses 4G and 5G LTE technology that also supports voice-over LTE. It supports 6G technology as well which is expected to develop in the future.
Strong support
Reliance Jio has a strong back of its parent company Reliance Industries that syncs with the Indian thoughts. The customers have high trust in the brand due to this.
Proper brand management
Reliance Jio has a very strong and loyal customer base due to its great brand management strategies. The company has brand ambassadors like Amitabh Bachchan, Shahrukh Khan, and many more that help in developing connectivity with the customers.
Wider network
Jio is present in more than telecom circles in the country and is very popular as the first network provider with minimal connectivity concerns.
Various product offerings
Jio offers a wide range of services like shopping, games, movies, etc for its customers. This helps its customers to engage in its products for a long time.
Weaknesses of Jio
Weaknesses are there years that should be improved for further improvement of the company.
Delayed entry
Reliance Jio has been quite late in entering the telecommunication market. The market already has top established players like Vodafone and Airtel that occupy a considerable space in the customer’s minds.
Pricing wars
The company was initially criticized for offering services at low prices beyond the ethical rules and regulations. The company did it to penetrate into the market and got allegations like money laundering issues and corruption.
Service activation
Initially, Reliance Jio confronted major issues regarding the activation of IT services since the volume of customers was too high to acquire. This included sim card activation issues during the launching period of Jio.
Freebies
Reliance offers a number of free services that lead to increased sales shares in the market. However, the company sometimes fails to offer this free service which may affect the business and business management software profit to a large scale.
Low network
Even today customers experience poor data connection from Jio. It has slow loading speeds in selected areas.
Opportunities for Jio
Opportunities give a lot of chances to develop itself and to enhance returns.
Future technology
Reliance Jio makes use of 4G & 5G networks which can be easily accommodated. It also has opportunities in different areas for future expansion of bandwidth.
Innovative applications
Reliance Jio has a huge level of bandwidth demand. Therefore, the company can offer different applications that may be chargeable for the customers. It can also give some free services initially or some paper use later services.
Pricing issues
The company takes pride in being a very economical internet service provider and mobile operator. It can also be leveraged as a standard to target different markets and increase its market share as most of the competitors are not able to meet the prices that Jio offers.
International expansion
Reliance Jio is operational in India and hence it has a lot of scope to expand its services in the globe.
Threats to Jio
Threats are those areas that may be dangerous to the growth of the company. Jio has the following threats –
Loss of customers
Most of the customers prefer Jio because of its economical prices. The company offers services at low prices but the day in the company will increase the prices which may cause a huge loss to the customers.
Cynical brand image
Reliance Jio has been in a lot of arguments from the time it commenced. This may cause a negative brand image and criticism in the market.
Low code of ethics
Reliance Jio has adopted a lot of strategies including free bandwidth, unique market position strategies, reduced pricing, and much more has proved to be ethical as compared to its competitors. This may affect the good reputation of the business.
Top Competitors of Jio
Here are the top 5 competitors of Jio –
- Airtel: It is a renowned telecom operator in India offering a broad range of services like Digital TV broadband mobile etc.
- Vodafone Idea: This is a competitor to Jio and offers broad broadband and mobile services in urban and rural areas.
- BSNL: This is a state of telecommunications from offers telecom services like fixed-line services, broadband, and mobile services as well.
- MTNL: Mahanagar Telephone Nigam Limited is one of the most trusted operators in Mumbai and Delhi and is a competitor to Jio in metropolitan areas.
- Tata Communications: Tata Communications has more focus on enterprise solutions but is also a competitor of Jio in the fiber and broadband optic segments.
Conclusion
Jio is an international name and has grasped most of the Indian market. The company’s strong support from Reliance Industries is one of its greatest strengths and it has helped gain a lot of customers. Jio has a very measured portion of the market share in the telecom industry owing to its innovative marketing strategies.
Launching Jio in the telecom industry was a very smart move by Reliance Industries that gave people free services for a long time and has proved very beneficial to a strong competitive advantage.