Flaunte' February 2014

Flaunte' Feb 2014

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CONTENTS

Editor’s Desk Dear Readers,

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Auto Expo 2014

Special Story

It is with utmost earnestness and respect, we would like to extend our gratitude to you all for the overwhelming support and wishes bestowed upon us.

We are also very pleased to share the advent of our next generation team members who are impeccably talented, inimitably dedicated and highly creative.

On this note, we would welcome you all to the post anniversary edition of Flaunté.

In this edition, we give you a world of Buzz Marketing and some interesting examples to correlate.

Our Special story is all about the Auto Expo 2014 New Delhi - Bigger, Better & Brighter.

Adding to the platter, the First Cut will leave an indelible mark in all our minds’ as P&G's - “Proud sponsor of moms” campaign will be unfolded.

First Cut: 7

Cover Story:

After the main course, it’s time for Snippets, Chanakya Niti – Kellogg’s and Mythological management lesson - Leadership to be served as dessert.

Snippets

Hold on. Did we mention about Spandan? The annual college fest of NDIM will entrance and enthrall you all in each and every respect and will give you every reason to be a part of it.

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Share your thoughts on how we can improve and be sure to visit us at www.facebook.com/FlauntNDIM and www.twitter.com/FlauntNDIM for more of the latest updates and knowhow of the world of marketing.

Keep Reading! Keep Liking!

Articles(10)

Team – Flaunté Markomania – The Marketing Club New Delhi Institute of Management

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Mythological Management Lessons

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Chanakya Niti (20) Biz Quiz(28)

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Why Buzz?

The very first and probably the most pertinent reason for the use of buzz marketing is the cost efficiency of the process. Simply put… it’s cheap compared to the ostentatious ad campaigns which might not lay a considerable impact on the buying behavior of consumers.

Moreover, it improves the chances of top of the mind recall by consumers, and is the ideal tool to spread awareness about the unique features/characteristics of a brand, product or service. The medium of travel in this case remains the word of mouth and has a lasting effect and resonance in the mind of people. It’s actually simple math… one person tells two, two tell four more and before you know it, the mass has already been infected with the brand’s message. The boom in the use of social media has made the use of viral techniques even more possible and increased its effectiveness many folds.

Another important aspect which enables success of buzz marketing is the effect of peer pressure a.k.a. ‘Social Proof ’, which guides them to the directions which are worthy of their notice. Human beings crave acceptance in society and thus will follow things which seem ‘cool’ and trendy and happening.

Creating a buzz is cost effective because most of the social media tools available are free or cost peanuts to use, but the results can be exponential in nature.

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uman beings are social animals and being so, the urge to communicate with others is unavoidable. Buzz marketing targets this basic human tenet to create a successful marketing phenomenon, by giving them something to talk about. Buzz marketing a.k.a. ‘Marketing Buzz’ is the technique and art of adeptly making the consumers speak about the brand. It’s a tool of advertising and sales promotion which is a bit different from the conventional means conveying the brand message to consumers. In fact, even though it’s a comparatively young marketing principle, it’s actually one of the earliest means of advertising, whose relevance has remained untarnished with the passage of time.

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of generating more and more revenues. But buzz marketing adds the element of trust for the brand, which facilitates a connection at a very personal level.

The whole idea is to make sure that consumers do not ‘feel’ influenced while marketers attempt to make each and every encounter among consumers as unique and spontaneous as possible. People tend to trust the message more if they believe that the deliverer of the message has nothing to lose by lying to them.

The age of over advertising has created unavoidable clutter in the mind space of the consumers. Thus advertising is losing its relevance and that too very fast. More than 72% of the urban populace is exposed to two or more forms of advertising simultaneously, thus exposing a person to about 3500 ad messages per day. As a result, ads are losing their credibility and the utter flamboyance with which an ad connected with a How is it different?!

Traditional marketing techniques bear the brand’s consumer is too farce a dream now. message in an adeptly calculated sales pitch by some articulate advertiser, with a ‘not so’ subtle intention

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Some essential pointers… ☼ The message should be unique, crisp to the core and utterly simple. ☼ The key is to have a positive vibe in the message for the target group, so that the potential, and the nonpotential customers talk about it. ☼ Marketers can create a hype, spark a controversy or simple make viable information available to only a few chosen people to have an effect of rarity, so that the chosen few feel special and brag about it. ☼ 10% of consumers can influence the remaining 90%, if the buzz is strong enough. ☼ The most important point remains that the message should be backed by an equally capable product or service, otherwise the whole process is nothing but a waste of valuable time. ☼ Lastly, the buzz should be carefully monitored as a negative buzz might cause irreparable damage to the brand as a whole.

$350’000 grossed worldwide a whopping amount of $250 million, the highest profit to cost ratio in the annals of movie history. Apart from the general hype generated by the film team that the people who shot the movie had gone missing, they created a website blairwitch.com , which exists even today. The website further reassured their marketing gimmick that the story was actually true and provided a whole history on the project which questionably resulted in the loss of three lives to shoot it.

Carlton Draught

The Australian beer makers, Carlton Draught, wanted to grab the attention of consumers as the beer market there is one of the most competitive. As a result, ‘The Big Ad’ was born in 2009. It’s not an adjective, it’s the name of the ad, and the ad was so beautifully constructed with a simple message that it gained 162’000 views in just 24 hours as a result of which the company had to stop airing the ad, fearing that they wouldn’t be able to meet the demand generated due to the ad.

Dove

Dove, the well-known name in women’s personal care, from the house of Unilever, shattered the image of what true beauty is all about. The Dove Evolution ad campaign showed a normal woman being subjected to multiple treatments of make-up and Photoshop and thus taking away everything original in her to make her look beautiful as the world calls beauty. It challenged the prevalent ideologies on morphed and hollow

The Blair Witch Project Released on 14th July 1999, the movie costing only

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beauty and targeted the consumer’s self-esteem. The ad generated 44’000 views on the first day itself and

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1’700’000 views in a month, not to mention the media spread the word and created a buzz that gave heineken coverage and discussions that followed and the resulting a considerable increase in sales in just a few weeks of boost in sales of the Dove products. implementation.

First Cut

Blendtec Blendtec, a company based in Utah,USA found a unique way to market their blenders. They started a website called willitblend.com and a dedicated YouTube channel

wherein they blended multifarious objects from i-phones to light bulbs on viewer request, trying to prove a simple message that their blenders will blend almost anything.

The stint resulted in Blendtec becoming the talk of the town and fivefold increase in their online revenues alone.

Flappy Bird

T Special Mention : ‘Why this Kolaveri Di’ The best example of a powerful ‘Buzz’, this soup song was the first Tamil song to be aired on MTV, and its success has been a matter of discussion at IIM’s and many top B Schools in India. ‘Why’- its needless to mention and if you havn’t seen it, you woudn’t get it.

Flappy Bird is a fairly simple and low graphics mobile game with a pixellated bird which flies when the screen is tapped and it passes through pipes. But it wasn’t that simple at all, as the game has been called highly addictive and especially hard to play. This word of mouth criticism worked as a boon for it as people all over the world went crazy for it whether iOS or Android, so much that the developer Dong Nguyen earned $50’000 a day from in-app ads only.

The hype was fuelled further when the developer took the game off from Playstore and i-Phone appstore, which saw the rise of multiple fakes and associated dedicated merchandise all over the world.

Heineken India

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Heineken started a very unique campaign to highlight its product in India. In liquor stores at various strategic locations all over the country, they marked a spot infront of a dedicated Heineken fridge. The spot was specially designed to let people standing on it, and only the ones on it, to hear a special message that tells them why they deserve a heineken. It baffled the consumers, and they

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Proud sponsor of moms

he hand that rocks the cradle rules the world...simple yet true in every sense. Each individual is blessed with some talents.

Nurturing these talents and polishing them into an exquisite one of a kind diamond is what mothers do. One of the world leaders Proctor & Gamble (P&G) celebrates the journey of these extraordinary mothers in shaping the lives of their children.

Marking one month until the start of the Olympic Winter Games, Procter & Gamble, a Worldwide Olympic Partner unveiled the short online film and new commercial, “Pick Them Back Up.” The new film follows the company’s Emmy Award-winning “Best Job” film and celebrates how moms form a crucial part of the journey of these athletes and help to pick their kids back up and encourage them to try till they succeed. An integral part of the celebration will be watching their kids compete in Sochi. For those moms that traveled all that way to support their athletes, P&G has announced they will be on the ground for them with the P&G Family Home, where P&G brands will support and serve all moms and families of Olympians in Sochi.

The film depicts the stories of four moms of athletes from across the globe, their journey and the important roles they play of getting these athletes ready for the competition.Right from holding their hands while they were taking their first steps, and picking them up when they stumbled and fell down. From being by them every time they fell down, to picking them up and never letting them give up on their struggle.

At times when everything seemed vague and impossible, it was the sheer resilience of these dedicated mothers that has brought these athletes to where they are today.

“I could see myself – and my mom – in the new P&G piece,” said Lindsey Vonn, US Olympic Gold Medalist, Alpine Skiing. “As a child, and

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even with my recent injuries, my mom has always been there encouraging me to get back up when I fell.’’

“Mom’s contributions to their kids’ lives are full of incredible sacrifices,” said Jodi Allen, P&G VP of North American Marketing and Brand Operations. “We’re so moved by these moms and the way they help their children overcome obstacles to achieve their dreams.

As athletes are named to Team USA, we celebrate the person that helped get each athlete there and who picked them up each time they fell – mom!”

With this campaign the company aims to touch nerves in a way like never before. P&G has been known to stand for trust, quality and leadership. It serves approximately 4.8 billion people around the world with its brands. The Company has one of the strongest portfolios of trusted, quality, leadership brands such as Ace, Always, Ambi Pur, Ariel, Duracell, Fusion, Gillette, Head & Shoulders, Pampers, Pantene, Tide, Vicks, and Whisper to name a few.

This campaign stands for everything a mother is, most trusted,resilient,delivering nothing but the best quality.

They are indeed ‘’Proud sponsor of moms.’’

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Special Story

to the rear seat, such that it is accessible to all passengers.

Why should the back seaters miss out on the fun?

Another machine that caught the fancies was Hero’s iON concept bike that will run on hydrogen fuel cell. It is Hero’s answer to the need for alternate energy technology in the future. Flaunting hubless wheels, it seems to appear straight from a Sci-Fi flick.

India got a Harley-Davidson of its own in the Street 750 .This beast has been made especially for the subcontinent and is priced at 4.1 Lakh (Ex-Showroom Delhi). Skeptics believe that they run the risk of diluting their brand

Auto Expo 2014 – New Delhi

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Bigger, Better & Brighter

he 11th itineration of automobile extravagance drew curtains on 11thof February at India expo mart, Greater Noida.

Over a hundred different models of cars, bikes, trucks, buses and commercial carriers were introduced in the event. Some brands generated the buzz as intended while some fizzled out. The event was a massive success with more than half million visitors in a space of few days.

PragatiMaidan, at the heart of New Delhi has been the venue for all these years. Space constrains and crowd management issues forced the organizers to split the venue this time. The components show was held at PragatiMaidan, while the India Expo Mart in Greater Noida played host to the Motor Show.

The auto expo is organized every two years and is eagerly awaited by producers and consumers alike. While the former are keen on revealing their latest offerings and future concepts, the latter want to ogle at some of the meanest machines and pretty models around. Since its inception in 1986, the Delhi Auto Expo has evolved as the 2nd largest motor show in the world and Asia’s largest drawing interest from around the globe.

Congested Indian roads increased demand for the segment of automatic cars and likes of Maruti have responded by giving Celerio. The auto gear shift version

costs just 40,000 more than the manual version while the fuel efficiency remains same.Maruti appears to be in a strong position to rule in this niche market in the coming years.

Launched by brand ambassador Sachin Tendulkar himself, the BMW i8 was amongst the top drooled over exhibits. BMW has stood for innovation and design and this hybrid continues the ritual.The i8 redefines aspiration.It is expected to be available for sale by the end of this year.

Drones are said to be the future and Renault tends to agree with their offering in KWID. This one has a mini drone that can be launched and controlled using a tablet that’s been integrated with the dashboard.

Utilize it to shoot a video or monitor the traffic ahead.

Use your imagination with the flying machine.No KWIDding, this one is in a league of its own.After admiring the design, one can only feel disappointed as it’s still a concept. Scan the QR code to watch a video.

Keeping the Chinese youth in mind, The Nissan Friendme aims to please the rich kids in their twenties. The interiors display Nissan’s vision of in-car entertainment and technology. Information about the music being playing, fuel level, car’s speed etc. is displayed on a huge centre console that stretches from the dashboard

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equity by having a launch at such a (relatively) low price but what can’t be denied is that it’s now more reachable for the Indian audience and its Harley’s best chance of monetizing the fan following of the brand here. Harley’s British rival Triumph aspirations of getting a foothold in India got one step closer as they received a tremendous response. They strategically placed their stable in front of Harley and were hardly overwhelmed by their American counterpart.

Harley-Davidson through its dozen plus dealers’ network in India will fuel the needs for Street 750 that is slated to be a game changer in the big bikes segment.Significant local sourcing of components is the primary reason why they can offer it for an aggressive price of 4.1 Lakh. The brand now seems accessible to many of its cult followers as the target market expands.

Harley has demonstrated how brands can expand international market operations and yet give cost advantage to the customers. Wonder what the Street 500 would cost which is set for a 2015 launch.

Bajaj put forward a huge foot with unveiling two variants

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of the sensational Pulsar 400. Speculated to be available for sale next year, the pricing still remains a mystery.

From a scooter manufacturer few decades ago, Bajaj has taken the Indian motoring flag a long way.

Mahindra impressed by its exhibits and also how they were promoted.They used augmented reality to portray two virtual cheetahs on a giant screen that appeared to be interacting with the crowd in real time.

Suzuki had installed a digital projector that projected video of Salman Khan on his cut-out that looked as if it was talking to the crowd.Various brands encouraged the onlookers to share their experience on Twitter

and Facebook.Suzuki in this case used the hashtag #ApnaSuzuki which amplified the buzz on social media.

Small was big as producers underlined price sensitive Indian market as 4m variants of Tata Zest and Hyundai Xcent were exhibited. Over here, Sub 4m cars enjoy lower excise duty of 12% that translates into savings of upto Rs. 80,000.

Automobile industry is facing turbulence as growth has slowed down in both two and four wheeler categories.

Majority of the growth is credited to the entry level models as they are the hot choices for people graduating from motorcycles.Rising fuel prices, increasing interest rates and reducing share of the customers’ wallet add to the woes.

The industry hopes that the expo gives the impetus to sales.

What’s also worth mentioning is the great work done by the organizers as there were no lapses like the earlier times. They not only managed to pull crowd to a venue 50km away from maddening Delhi but also managed the show to perfection. 2016 will be eagerly awaited.

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Article

Best Article Of The Month

toothpaste marketed by the Colgate-Palmolive and the popularity of the brand created because of the buzz the Dettol liquid hand wash marketed by the Reckitt created.

Benckiser.

These companies were the first one to bring these products in the Indian market and was liked by the consumers.

Eventually their brand gained popularity and became anonymous with the product itself. Like when we call Maggie we mean noodles and so on.

Colgate, Maggie, Dettol etc. top of the Mind Awareness, top of the Heap

Figure 3: Image Source- Brand Equity Consumer behavior Generally consumers do not go for research or analyse the product before buying it. FMCG products are bought on the basis of top of the mind awareness. For example, if I have to buy a toothpaste, being a consumer, I would not analyse the available brands and then decide which brand is the best before buying a product. I will use my hindsight and will buy the brand about which I have heard the most or the one which I have seen the most.

When the need for a product arises, most of the consumers stick to the most popular brand and make the purchase.

Sneha Srivastava IIM Raipur

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op of the mind awareness (TOMA) is a strategic marketing tool to create awareness about a brand. This is done through repetitive advertising and marketing the brand. It means creating a permanent space in the consumers’ mind.

As the brand grows old and creates a place in the consumers’ mind, it rests at the top of the heap of their contemporary brands of the same league. And once a brand reaches to that position it goes to the ‘star’ region of the BCG matrix. TOMA has been a very powerful marketing tool since the concept of marketing came into existence. Now it is aggressively used by the marketers to increase the sales of their product.

Figure1: BCG matrix, Image Source- marketing91.com

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Figure 2: Image Source: mixedmediaoutdoor.com Be the first one Companies entering the market first with a new product, their brand gets the first mover advantage.

If the brand is genuinely good it permanently gets a space in the consumers’ mind and the consumers become loyal towards the brand. With the repetitive purchasing of the same brand and the word of mouth adds further to the popularity of that brand and the brand reaches to the top of the heap.

For example, Nestle was the first company to enter the Indian market with the concept of instant two minute noodles Maggie. Later many brands came into the market like Top Ramen, Knorr, Wai Wai, but they could not get the same popularity in the consumers’ mind. And the market share of Maggie remained at the top.

Similar advantage has been got by the Colgate

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Figur5:Image Source- building socialequity.com Niche Marketing- Maintain the focus To be at the top of the mind of the masses, it requires a huge effort and aggressive marketing. It is difficult to cover the complete pool of consumers. Sometimes a product is not made for everyone, that means it is useful for a specific segment and might not be needed by everyone. In that case instead of extensively advertising the product it is a wise decision to go for niche marketing. The goal of this strategy is to capture the potential customers, target them and make the product appealing to that set of customers. This will ease the effort which is otherwise made while targeting the masses and the focus is made on those who actually appreciate that product.

Insight

Figure 4: Image Source: meltwater.com To increase the return Social media- Creating a on investment that is made on the product, buzz Gone are the days when marketers has to the brands of only those captures the consumers’ companies got the attention. Their top of consumers’ attention mind awareness has who had deep pockets. to be tapped and the Now social media has brand loyalty has to be revolutionized the world cashed to maximize the of advertisement by shareholders’ profit. bringing less expensive and Eventually when the more efficient marketing brand name is built and techniques. Social networking platforms like Facebook it reaches at the top of the heap, it provides long term and Twitter catches the attention of the potential benefits to the company. consumers’ by creating a buzz about the brands. And more the buzz more popular the brand would be.

Human minds need repetitive reminders to put anything in their subconscious mind. And marketers use the reinforcement marketing technique to do that and reap

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Article

A driving revolution beckons

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Disha Shah

Symbiosis Institute of Management Studies

ntroduction Manual Transmission cars have dominated the Indian roads for the longest time. While other countries have moved onto the automatic way of driving, India is yet to catch up with this phenomenon. The first automatic car was introduced to the Indian roads in 1995 by Maruti Suzuki in the form of Zen automatic. Despite being accessible to the Indian customers, the automatic transmission vehicles have been approached with hesitation. However, it seems all that is about to change with the new Maruti Celerio.

Maruti Celerio The much anticipated Celerio hit the Indian roads on 6th February 2014 and within 30 days of its launch; it was able to garner 22000 bookings. It is touted as the next big thing from Maruti Suzuki after Swift.

The Maruti Celerio is set to rock the passenger car market since it comes pre loaded with market shaking potential features. The car with the breakthrough technology was developed keeping in mind the particular segment of consumers who look for automatic transmission in mass segment.

Pricing & Features: A distinctive advantage The name Celerio means Celestial River and staying true to the name, the car promises a never before experienced driving pleasure to the Indian customers. The design of the car is based on the A-wind concept that was showcased at the Thai Auto show.

The AMT loaded LXi and VXi variants of the car are priced attractively at 4.14 lakhs and 4.43 lakhs respectively. Furthermore, it promises a fuel efficiency of

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23.1 km for both its automatic and manual variants, a never before witnessed concept.

Growing Demand of Automatic Version 50% of the sales of Maruti Celerio have come from the automatic variants which has even surprised the makers of the car. This is far beyond the optimistic

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figure of 35% which was originally stated by India’s favourite automaker.

The growing demand for the car has extended the waiting period to owning the celebrated car to 6 months.

What is so different about the Celerio’s AMT? The Celerio has overcome several obstacles that hindered consumers from buying an automatic variant. 3 of the major factors were :a) pricing of an automatic variant was 1-1.1 lakh above the manual variant b) the fuel efficiency was way below what was put on the market by the manual variants c) maintenance costs.

variants matches.

Maruti Suzuki: Future for the carmaker Soon, after the over whelming reception of Celerio, the manufacturer announced that it was stopping production of A star and Estillo. It is evident that the car maker is confident that Celerio will fill the void that will be left out by these vehicles.

However, since it is importing AMT box from Magneto Marelli, increasing the production of the AMT powered versions to narrow down the demand and supply gap is a challenging job. This may result in further increase in the waiting period of the celebrated car.

Figure 1: Automatic Transmission’s Merits Others too catching on The car is currently pitted against Hyundai’s Grandi10 The Celerio has offered affordability as the AMT version and Honda’s Brio but Celerio’s success has not gone has been priced Rs 39000 above its manual gearbox unnoticed. This revolutionary car will be adding more variant. Not only this, the fuel efficiency of both the competitors. Tata Motors’ Bolt, Zest and Nano will be coming up with AMT variants. Furthermore, Mahindra & Mahindra has also kept an AMT version of Quanto in the pipeline.

Future The automatic transmission is all set to be the defining technology in India. Experts forecast the segment of automatic cars to grow eight to ten fold times the prevailing market share.

According to an analysis done by Frost & Sullivan, the Torque Converter Technology, Continuous Variable Transmission technology and the Dual Cluth Technology are inadequate to fulfil the Indian customers need in the mass market due to price and other factors. The AMT technology is the best suited option for Indian roads due to the convenience, maintenance and affordability factor.

A 20-30% market share would be conquered by this segment in the coming 7-8 years. The scope for growth for this segment is immense considering the fact that automatic cars make up for 85% of the market in US and 95% in Japan.

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Article

Star India - The new face of Indian Sports Aashish John Mathews

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tar Sports the new face of sports in India a channel that has everything from all the cricket series to hockey India league, from English Premier League to Indian Badminton League, from Formula 1 to Moto GP. You name the sport it’s there in this network, but how did this one channel become the leading sports broadcaster to the nation with the 2nd largest population in the world? It’s all about knowing your customers.

The process started after News Corp bought out Walt Disney's 50 per cent stake in the Asian broadcasting joint venture, ESPN STAR Sports, for $335 million (Rs 1,800 Crore). This venture saw the two leading sports broadcasting of the country to join hands and become an unstoppable force.

This move also attracted the leading sports fraternity which brought them some real sweet deals as STAR India acquired the media rights of the Board of Control For Cricket in India till 2018 for a whopping Rs 3,851 Crore also, International Hockey Federation signed an eight-year telecast deal with Asia's leading sports broadcaster Star Sports, where in the channel will have the exclusive rights of all FIH events throughout the globe. Any sports broadcasting company having finalized contracts with the two most popular sports of the country would have relaxed but not STAR. They also have broadcasting rights of sports such as Formula 1, English Premier League, La liga, Moto GP etc. which have their own loyal supports.

THE SEVEN STARS

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With a commitment of over Rs.20,000 Crore in sports in India, Star India is aggressively building its business in the country with the launch of six new sports channels and an online site under the Star Sports banner. The new channels— Star Sports 1,2,3,4 and HD-1 and HD-2— sport a new logo and have been on air since 6 November with the Indian cricket team’s captain M.S. Dhoni as a brand ambassador The two things that they invested

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in, in a big way were first, cricket. Today, cricket is limited to India playing international matches and Star Cricket (the cricket-only channel in the Star India network) has become synonymous with Star Sports in this country.

That is the only thing people associate with and watch. It goes away and becomes Star Sports.

So it almost becomes one Star Sports with 96 hours of content available in a day across four standard-definition destinations. They have introduced new and innovative techniques just stay ahead of the competition whether it be large touch screen monitors for after match analysis or bringing back retired crowd favorite cricketers back as commentators or their unique all Hindi commentary all have the very well accepted by the customers.

They have been doing a lot with of international cricket, but they also have a deep interest down on domestic cricket and university cricket. Their detailed coverage of all the Ranji trophy matches and the under 18 world cup coverage shows their determination towards development of the game. They want to develop the 150160 days of domestic cricket and spend time getting university cricket and women’s cricket.

The 2nd thing is, we cannot be a one-sport country.

The Star Sports Network understands that. They want to invest in building other sports, whether it’s hockey, badminton or football. Not only are they investing in what goes on air, but in also shaping sports by investing in the leagues. They genuinely believe that if they need to change the degree of engagement that sports fans have with content, then we really need to invest in content.

Their decision to invest more than 1,500 Crore in Indian hockey in next 8 years verifies their claims.

with the sports they watch. We can use it as a second screen (when we are watching TV) or even as a first screen. So a lot of investment will go into that. A lot of youngsters want to engage with sports and devices, mobile phones, tablets will play a very meaningful role in sports consumption. They are using technology to deliver a much better experience to consumers.

THE FINAL GEM IN THE CROWN

Star sports have already become the market king with such a dominant performance in the sports broadcast industry of India. But with all these things going for star it still misses one key element which will make it the undisputed king of the market and that is star not being the official broadcast partner of biggest sporting event of the country i.e. Indian Premier League. Though star is an official partner of the event the broadcast partner of IPL still remains Sony Six. But with star being the official sponsor of Indian Cricket team till March 2017 things can only look up.

THE DIGITAL APPROACH

Starsports.com is a bottle that they opened only 14 months ago and within that time they have already got more than 15 million unique visitors. They have already got cricket, Formula One and football on it. But more importantly, it is an extremely interactive medium where consumers can start engaging even more deeply

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Snippets

Forbes 30 Under 30

Companies are coming up with path breaking ways to recruit on social media. We have seen companies making use of Linked In and Facebook for this purpose but engaging applicants on Twitter is surely a thing which is never heard of before. HCL, the fourth largest IT firm in India is using Twitter to conduct sequential interviews online and select candidates for one year strategic project with the company. #CoolestInterviewEver started on Feb 10, is a 3 tier process in which the company analyses candidates for their skills. In stage first, the candidates are chosen on the basis of their answers to the questions posted on the social platform. The 100 shortlisted candidates are then on a two day TweetChat with HCL’s HR executives on twitter. Top five will be selected from the lot and will participate in one-on-one interviews after which they would be given the project of their choice. The winner will get up to $ 75000 and will be guided by a HCL leadership mentor in his or her field.

Now is the best time to be young and ambitious. The world is changing and the rules of doing things have changed.

Forbes from last three years is coming out with its list of young people who are doing things as they have done never before. This list have 15 categories ranging from Finance to Food. Recently it came up with its 2014 list of 30 Under 30 in which it included Lucas Duplan, Olivia Wilde, Maria Sharapova, Brian Wong, Meg Gill and many more. These people are excelling in their respective fields and are able to attract multi-million investments from investors. These are the rising stars who are making successful companies, making millions and disrupting industries, all before age of 30.

Forbes have also came up for the first time an all exclusive list of 30 Under 30 in India. In this list it has included the names of those whose story is still untold and only starting to unfold. The names who score high on utility and originality. Nischal Shetty of JustUnfollow, Pallav Nadhani of FusionCharts, Rahul Yadav of Housing.com, Kai Poche fame Sushant Singh Rajput & Rajkummar Rao and Cheteshwar Pujara are some of the few names who figured out on the list

‘Email Miles’

Nokia X

HCL Technologies #CoolestInterviewEver

Have you ever wondered how many miles your email travelled before reaching to the receiver’s inbox? If yes, then now you can check how much distance it has covered and which route it acquired.

Jonah Brucker-Cohen who is a design lecturer and an entrepreneur, has developed a technology which uses GPS Technology to calculate the distance an email has travelled. The system known as Email Miles tracks the location from which the message was sent from and where it is received. It also analyses the total distance covered along with the route taken and display it on screen with a map. When an email is sent, the program scans the emails and tracks them as they pass by various servers, fibre, cables, and warehouses.

This system reminds that how indirect and unconventional the route of many emails can be. Brucker-Cohen said that all of its time and distance calculations are done using coordinate mapping systems and the internet. The developer further needs money to build a physical ‘odometer’, develop a plugin and further possible applications consists of a globe which in real time would animate path of the emails.

Micromax gets MAd for ads

The Indian mobile handsets market is growing at a very fast rate with a major share of smart phones in it. It was put between 40 and 44 million units in 2013. Due to this factor the mobile advertising has increased to several folds with new players taking deep interest in it. The mobile advertisement market was pegged at Rs 300 crore in 2013 and is expected to grow over 40 percent, according to a report by Mobile Marketing Association (MMA).

The latest is Micromax which is the second largest handset seller in the market after Samsung and is known for its innovative marketing techniques. Now it has come up with its MAd range of smart phones which are preloaded with MAd app which give customers free talktime in liu of watching an advertisement of 30-60 seconds before placing a call. With one time registration the service will work with all telecom operators. For Micromax this app would continue to appeal the youth who are buying its handsets for the features and the value pricing.

On the advertising front the company has started tie-ups with Coca-Cola and Toshiba for ads.

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The wait is finally over. Nokia launched its first ever Android smartphones on 10 March 2014. The rumours were doing rounds from several years of Nokia producing an Android phone, it was less expected as Nokia is having a strong alliance with Microsoft and now Nokia Mobile Division is a part of Microsoft Group. Nokia shocked everyone and showed its commitment to climb up the spot which it lost to Samsung Mobile a year back.

Nokia at Mobile World Congress 2014 launched three new Android phones X, X+ and XL. Nokia X is launched in India and the sales will start soon followed by the other two variants. The price of Nokia X in India is Rs 8,500.

Nokia X’s operating system has been built on Android Open Source Project (AOSP). AOSP doesn’t come with propriety Google code so the Google apps such as Play Store, Google Maps will not be available on it. Nokia has tried to give consumers a customized experience which will be a little different from Android by adding distinct Microsoft flavour. The phone comes up with a 3MP rear camera.

Harley’s Street 750

Iconic US bike giant Harley-Davidson launched its much awaited Street 750 bike in recent Auto Expo 2014. It was launched at the first day of the expo. It will be priced at 4.1 lakh (Ex-showroom), Delhi. It is the company’s lowest priced bike built in India. The Street 750 will be manufactured at the company’s plant at Bawal, Haryana and from there it will be exported to some international markets. The bike was first seen at the EICMA motor show, Milan. The Street series is company’s first new launch in 14 years. The Street 500 and 750 represents H-D’s very first all-new motorcycle platform since the V-Rod model of 13 years ago.

Harley-Davidson rules the Indian big bike market today and with consistently impressive sales figures, the company is in high spirits. So without any surprise, the bike-maker is moving forward to strengthen its foothold to a position of dominance.

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Developing a sense of equanimity

MYTHOLOGICAL MANAGEMENT LESSONS Bhagavad Gita - Leadership

L

eadership is a powerful enabler that can leverage an organization to great heights, fame and a credible position among the stakeholders.

Therefore, quality of leadership plays major role and great concern in success of Business, Organizations, Government and the Society. There is continuous interest in organizations to understand how great leaders are identified, created and nurtured.

Current Styles of Leadership

Currently, the research and practice in the area of leadership provides two alternative perspectives. One way to understand leadership is from a perspective of responsibility and ownership. In such a perspective leaders believe that they have the freedom to take decisions the way they think is right and have the authority to execute things accordingly. Such a view point is taken because often leaders feel that it is ‘their’ responsibility to get the right performance for the organization. They further feel that it is very important to get the tasks done by monitoring the sub-ordinates in the organization. This model of leadership presents a picture of leaders having position, power and endowment of resources at their disposal.

There is a second approach to leadership practiced by many today. In this approach, leaders believe that the unique position that they have obtained and the endowment of resources at their command provides them a great opportunity to enable others do their best.

Such leaders believe strongly in nourishing leadership talent around by creating space and agenda for others.

It is not too difficult to come to a conclusion that the second approach appears much better than the first and has a greater chance of not only delivering well but also creating a sustainable leadership pipeline for an organization. However, if we look at ancient scriptures such as Bhagavad Gita, Mahabharata and Ramayana, we get different perspectives of what leadership is and what it can do to an organization.

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Leadership Lessons from Gita

One of the issues that Lord Krishna emphasizes to Arjuna is the issue of leadership. If we carefully analyze them three interesting ideas emerge. These include: • Strong need to lead by example • Importance of developing a high degree of equanimity • Understanding the principle of mutual dependence Leaders derive their credibility, respect and power from their unwavering commitment to walking the talk. This is because, if the leaders say something and do something else, the followers will not take the leader very seriously. Rather, they will do a similar thing as their leader and nothing else.

Therefore Krishna warns Arjuna that he needs to lead

by example. Viewed from the perspective, leaders hands are tied, they lose the degrees of freedom and the whole world will keenly watch the leaders’ action and blindly follow the leaders. Every individual inevitably plays a leadership role. A child looks upon the parents, elders and the teachers very closely and derives its value systems very early in life. These value systems are set at that stage itself and very little change is possible later. Every one of us as responsible parents, head of a family, member of a social or political group need to understand this issue very seriously.

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One of the biggest problems that leaders face is their inability to take bad outcomes as it unfolds at times.

When everything goes well the leadership is fine.

However the moment some unexpected things happen (such as losing something significant, defeat of one kind or the other etc.) they just lose their balance. This is a problem that requires solution of managing the world “within” the leader and not the “world outside”. Modern leadership theories have not even recognized this issue.

No great leadership is possible without developing a sense of equanimity. Lord Krishna drives this point in Gita in several places. The first instruction that Arjuna receives from Krishna is on this issue, thereby signaling the importance of this aspect. According to Lord Krishna, the world is full of dualities, it will blow hot and cold and we will experience joy and happiness as well as some unpleasant moments. These are the realities of life and they will come and go. If we do not learn to endure them and go through this life as a roller coaster ride, we will never be able to exhibit leadership traits.

If we analyse today’s problems, the genesis of them lies in our inability to understand and live through this profound truth. Individuals, young children and the so called leaders are not able to accept the fact that life has both aspects. They are told that only good things will happen to them and in this manner huge expectations are built. When some bad things happen, they are unabel to take it, they get into mental depressions, feel that they are worthless, get into health problems, go to psychological counselling and in some extreme cases commit suicide also. The quality of leadership critically depends on this aspect. Realizing this Lord Krishna has touched on this aspect in several chapters of Gita from Chapter 2 to Chapter 14.

The issue of developing equanimity is very critical to be a great leader. This is simply because great things are not achieved through excitement. Developing a sense of equanimity enables an individual to master the art of handling the world around us by managing the world within very well. In a way through this Lord Krishna teaches us how we need to handle ourselves while engaging in the thick of activities.

dominated by “what is in it for me?”

The whole universe is inter-connected. The physical systems such a mountains, rivers, glaciers in the polar regions and mountains have profound effect on us.

The plant kingdom and the animal kingdom too exert a considerable influence on us. Lord Krishna brings this aspect by advising Arjuna that in order to achieve ultimate prosperity and success in whatever we do we need to honour the principle of mutual dependence. The spirit of sharing and unconditional giving (the virtue of Yajna) is the basis on which everything in the world sustains. The Gods bless the living beings with this virtue and in turn the living begins give back to the Gods using this principle. Paraspara Bhava, Lord Krishna says, is the one that guarantee us ultimate prosperity (Param Shreyas).

By virtue of the position and the endowment of resources that a leader can command, it blindfolds them to the need to understand importance of mutual dependence. However, the first lesson a leader in an organization need to learn to be successful is the value of mutual dependence. People working with the leader are as important as the leader. Particle physicists today have found out that both at the sub-atomic level (Pinda) and at the cosmos (Anda) everything works in perfect harmony because of the universal principle of mutual dependence.

Company, Government and society have to honour the principle of mutual dependence. E.g. Berkshire and 3G Capital bought Heinz in $23 Billion Deal.

Principle of Mutual Dependence

Today’s era is characterized by dominance of individuality as a value of life. The common thread is to promote individuality either directly or indirectly. The idea that begins as individuality will soon transform into selfishness as people become very sensitive to their possessions, wants and needs and begin to demand or bargain for these things in life. This will take away the culture of sharing as give and take is simply not easier to practice. Moreover, the way we approach life will be

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Chanakya Niti

competitors to emerge and how good a firm is at keeping its own product relevant and attractive to consumers.

To prolong the life cycle of a brand or product an organisation needs to use skilful marketing techniques to inject new life into the product.

Preparing to make a strategic change

Building a brand in order to sustain its life cycle

K

ellogg’s All-Bran has a long and distinguished history. Like many other famous products, however, it is important from time to time to re-energise its life cycle.

While All-Bran continues to be a powerful brand, a number of other high fibre brands made by Kellogg have not had the promotional support or sales of the All-Bran brand. Kellogg has therefore sought to support these other fibre products by associating them with the masterbrand All-Bran.Kellogg has looked to raise consumer interest by creating a family of fibre-based cereal brands focused around the All-Bran banner in order to create a powerbrand structure.These bran products have now been marketed as a family.This has added extra strength to each separate product. The decision to create the powerbrand was a strategic change, made at a high level. It involved managers at Kellogg planning for the long term future. It also needed heavy resource commitments e.g. to finance and market the initiative.The product life cycle is the period over which it appeals to customers. The cycle can be illustrated in a series of stages showing how consumer interest, and hence sales, has altered over time.

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For example, a company like Kellogg is continually developing new product lines, which it then market tests. For many of these products, test marketing will indicate that the product might be popular for a short while and then interest would quickly fizzle out. Such product ideas are screened out (eliminated), because their product life cycle would look like the following: The typical life cycle of a product can be illustrated by a curve that rises steeply, as interest in the product increases.The sales performance rises from zero (when the product is introduced to the market) before rising steadily. Initially the product will grow and flourish.

However, as new competitors come into the market and as excitement falls about the product, then the product enters a new life cycle stage termed maturity.

If the product is not handled carefully at this stage we may then see saturation of the market and the onset of a decline in interest. At each stage in the life cycle there is a close relationship between sales and profits so that, as organisations or brands go into decline, their profitability decreases. Aproduct’s life cycle may last for a few months or for more than a century. It all depends on how good the product is originally,how easy it is for

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Before committing resources to creating the family of All-Bran brands, Kellogg needed to conduct research to discover whether a change was worth making and the nature of these changes. This involved carrying out a SWOT analysis to identify: • Strengths of the All-Bran brand •Weaknesses • Opportunities existing in the market • Threats – e.g. from competitors.

The SWOT analysis produced these results:

Strengths

Weaknesses

• Kellogg’s ‘All-Bran’ is the only large, very high fibre brand in the marketplace.

Private labels provide the main competition.

• The general public remains highly aware of All-Bran.

• The All-Bran brand is strong – consumers associate it with healthy activity.

• Awareness of the brand had been declining because of little promotional (e.g. advertising) activity in recent years.

• Compared with leading brands such as Kellogg’s Corn Flakes, the individual fibre products have limited scale, making it hard to make advertising investment economic.

• The proposition that ‘a fibre cereal keeps you regular’ is less motivating to consumers than in the past. Consumers now more interested in products that promote “inner health”.

Opportunities • People are looking to eat more healthily.

• The rapid growth of non cereal products that meet inner health need (Pro-biotic drinks and Yoghurts +£100m p/a category).

• In the UK, the number of people over 55 (the product’s main consumers) continues to increase.

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Threats • The sales of private labels fibre cereals are growing.

• There is a consumer trend towards tastier cereals.

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Product Life Cycle

plan.

Kellogg created All-Bran as a product and the fibre sector of the cereal market in the 1930s. From then onwards the product experienced steady growth with the company injecting regular promotional spends to support product development. The most spectacular growth was in the 1980s with widespread publicity for the ‘F’ Plan Diet from nutritionists and health experts. This diet had an impact similar to that of the Atkins Diet in recent years.Following this, the Kellogg ‘bran’ range has been moving into a more mature stage: Because the product is mature,Kellogg has looked to re-brand a range of fibre cereals in order to inject renewed growth and interest.

The company has run a £3 million campaign that urges consumers to re-appraise these products. Large investment was needed to support the strategy and to evaluate the consumer response.

Research and promotion Research

Identifying the benefits Kellogg needed to identify the benefits that would result from any changes it made. An important advantage related to managing the product range. Kellogg identified which of its existing fibre based products offered the best present and future prospects and decided to concentrate on those. This simplification made it easier to manage the product portfolio Managers could concentrate on the common elements of the chosen range and focus marketing activity on them.This action produced management and marketing economies of scale, rather than production economies - the complexity of manufacturing individual products has not been reduced. The smaller brands were pulled together into the All-Bran range.Kellogg’s market research showed that, in choosing a cereal product, consumers place high priority on taste. Although they want a healthier cereal, it still must taste good.So Kellogg decided to develop new ‘tastier’ products under the single All-Bran umbrella, such as Bran Flakes Yoghurty.Pulling a range of fibreproducts together under a single brand also made iteasier to communicate with the target audiences through a shared communication

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Before proceeding with the change, Kellogg carried out some detailed market research with consumers to discover their thoughts and feelings.

There are two main approaches to market research: • qualitative • quantitative.

Qualitative research involves working in detail with a relatively small number of consumers e.g. observing and listening to them talking in small groups in which they discuss the brand, products,packaging, advertising ideas, etc. This qualitative research helped to assess consumers’ perceptions e.g. by giving them pictures of possible new packaging and letting them give their views on the benefits of the product and reasons why they use fibre based cereals. The qualitative research helped Kellogg to develop the concept of a family of fibre brands.

The advertising and promotional materials with which the consumer groups worked were very similar to the end promotions that Kellogg wished to communicate.

Once the qualitative market research was complete it was possible to test the concept through quantitative research.

This involved using questi onnaire and survey approaches with a much larger sample of targeted consumers to estimate the impact on sales if these changes were put into market.

Promotion The market research revealed several matters that Kellogg needed to address when alerting the public to changes in the brand family.

1. Some consumers might find the act of placing a range of separate products under the All-Bran brand confusing. The solution was to ensure that packs clearly display both the power brand name (All-Bran) and also the product name (e.g. Bran Flakes). To maintain continuity, it was vital to use consistent type fonts and colours from the old packaging, as well as introducing the flash ‘new name, same great taste’.

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support, Kellogg has been able to inject renewed vigour into a family of related products. Through appropriate promotional activities and more relevant messages, Kellogg has re-awakened consumers’ interest in products that can play an important part in developing a healthy diet in a health-conscious world. Regular campaigns of promotional activity are helpful in enabling all organisations to sustain their own life cycle and those of their brands and products. It is early days in evaluating the success of the marketing activity supporting All-Bran but the signs are good. Glossary Evaluate:Weigh up.Assess the worth. Management and marketing economies of scale: Efficiencies in marketing and management that result from operating on an increased scale and which enable a product’s unit costs to be reduced.

Market research: Finding out about the wishes and perceptions of consumers. Marketing techniques: Tools such as promotion and advertising used to generate consumer interest. Masterbrand: A leading brand name or logo which drives the success of sub-brands.

Maturity: Period in which a product or brand is well established and widely known, but there is little increase in consumer awareness or fresh sales among new groups.

Powerbrand: A powerful brand name which generates high revenues for a company.

Private labels: Supermarkets’ own brand labels e.g.

Sainsbury’s Peas, ASDA Baked Beans.

Promotion: Activities designed to communicate information about a product.

Saturation: A period in which there are too many units of a product, or of similar products, on the market so sales stop increasing or the rate of increase slows down.

Strategic change: A major change introduced to achieve company objectives.

For more information about Kellogg’s Conclusion please browse: If a business wants to make a product’s total sales www.kelloggs.co.uk grow, it must carefully consider how best to extend its life cycle. By creating the powerbrand ‘All-Bran’ and providing the right sort of well researched promotional To support consumer understanding of the new range, the back of each pack featured a range sell detailing the different attributes of each of the products in the range.

This allowed consumers to make purchase decisions on the basis of taste and the amount of fibre they require in their diet.

2. Research showed that consumers see cereals as a ‘natural product’. This is a strong selling point. It makes it vital to feature the ingredients on the packaging. This is because the All-Bran range can be seen as part of a daily healthy diet. For example, the latest addition to the All-Bran range, the delicious Bran Flakes Yoghurty, claims to promote users’ inner health by providing 17% of daily fibre needs.

3. To give the campaign maximum impact, Kellogg carefully coordinated television and radio advertising, PR and in-store promotions. These encouraged consumers to try out and reappraise the revamped products. For example, in September 2004, Kellogg introduced the All-Bran ‘Feel Great in a Fortnight’ Challenge. This campaign was designed to make the brands benefit more relevant to consumers. Adopting the ‘feel great’ message moved the brand away from the outdated ‘keeps you regular’ message and into the feel good territory of better inner health. This promotion featured on 8 million packs and on the All-Bran website. It used William Shatner, best remembered from Star Trek’s Starship Enterprise! The challenge invited consumers to eat one bowl of any of the cereals in the All-Bran range for two weeks and see if they could feel the benefit. It focused on the fact that high-fibre diets may help people to feel lighter and more energetic as well as aiding the digestive system.

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VISITOR’S OPINE @ NDIM: SPANDAN 2014

S

pandan, the annual cultural event of New Delhi Institute of Management was a great success. This year the 3 days fest was held between 12th-14th of February 2014.

The guests were all spellbound by the college’s cultural show and lauded anout that in the visitor’s diary. Our eminent sponsors this year included Mahindra first choice, Kingdom of Dreams, Oriental Bank of Commerce, VLCC, Coca Cola, ONGC, Worlds of Wonder, Shiamak Davar and his troupe, Kirusa and many more. We also awarded and invited 15 CMD's of Public Sector Units and received responses from many B-schools in various events.

VIKRAM GARG

ATUL TYAGI

ROCK STAR

SATINDER SODHI

SURAJ JAGAN ANU GARG

VIJAY RAI

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JATINDER CHEEMA

RASHMI AHUJA

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PAPIHA DESAI

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RAJNISH GUPTA

TARUN VIJAY

DINESH BATRA

SHASHI AZAD

K.S BAKSHI

KARUNA JAIN

SUMITA KAPIL

MR. & MISS SPANDAN 2014 STUDENTS AT SPANDAN

SHYAM LAL GOEL

SIDHARTH MOHAN

ANIL GOEL

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STUDENTS AT SPANDAN

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TEAM: FLAUNTE’

Biz Quiz

1)Due to the collapse of which Japanese exchage for Bitcoins have Indians lost money to the tune of Rs 100 crore ?

Ans. Mt Gox

Abhishek Mehta Anurag Verma Gurvinder Singh Adarsh Chandra Prakash Senapati

2)What word has been banned in the names of private companies by Ministry of Corporate Affairs, GOI after the recent NSEL scam ?

Ans. National 3)What is the ‘project Apollo’ launched by IBM worldwide ?

Ans. Layoff of 13000 employees 4)This bride’s wedding attire made up of 5kg of exquisite gold jewellery has become the talk of the social media. She is the daughter of CEO of which company ?

Next generation- team Flaunte'

Ans. Muthoot Finance co.

5)Why are condom makers in India opposing the recent National Pharma Pricing Authority order on condom pricing ?

Ans. A price ceiling of Rs 6.50 per piece 6)Mark Zuckerberg appeared for a meeting with a VC firm in his pyjamas That firm got revenge with Whatsapp sale. Name it.

Ans.Sequoia Capital 7)Which public sector bank has accused that the Finacle software from Infosys has led to a higher classification of NPAs in their books ?

Ans. United Bank of india 8)Which two cos in the tourism and hospitality space have announced a merger in India ?

Ans. Thomas Cook India and Sterling Holiday Resorts

Shreemanti Basu

Suvajit Biswas Apurba Sequeira

Q9)In TVC of which product would you see these actors ?

Ans. OPPO Mobiles

Arnab Karmakar

For feedback, suggestions and queries, kindly follow us at: https://www.facebook.com/FlauntNDIM http://issuu.com/flauntndim https://twitter.com/FlauntNDIM Or send it to: markomania.newsletters@gmail.com Or you can contact: Anurag Verma

Abhishek Mehta

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10)Which brand has launched a 3 min video on YOuTube which ends with ‘ Har Ghar, ____ Ghar ‘ .? Fill in the blank.

Ans. Amul

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+919953630106 +919958589900

NEW DELHI INSTITUTE OF MANAGEMENT, 60 & 50(B&C),Tughlakabad, Institutional Area, New Delhi-110062, Phones: +91-11-29956566/67/68/69, 40111000 Fax : +91-11-29965136 Toll Free : 1800419-0606, E-mail : info@ndimdelhi.org, Website : www.ndimdelhi.org

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