MarkMantra May 2015
From the editors’ desks:
“R
ing out Wild Bells to the Wild Sky;
Sake” attempt?? So we present to you an analysis
Ring out The Old, Ring in The
of the most outrageous and outlandish campaigns
New!” –wrote
Alfred Tennyson
that challenged the Indian Social Fabric under the
to usher the new dawn. Inspired by these lines, we
auspices of “From The House of MarkMantra”
bring to you the latest May Edition of MarkMantra
Section. To say the Magical Cabaret ends here
- “The Indian Marketing Cabaret”. To make the
won’t be true. The Cabaret also features a bou-
Cabaret- enigmatic and dazzling like never before,
quet of articles covering the latest buzz in Indian
an eclectic assortment of new sections, draped in
Marketing Scenario be it Rural Marketing or Os-
vivacious designs, has been presented to the read-
tentatious Sports Ads or Tabloid News!! The
ers. The assortment includes Summer Diaries –that
“Curtain Raiser” of the Cabaret isn’t over without a
attempts to help our readers in their last minute
mention of the Intriguing Trivia lined as showstop-
preparations of Summer Reports; Corporate Con-
pers. To conclude “The May Edition” is part of our
nect- that strives to demystify B2B Sales & Mar-
endeavour to “Ink an Indelible Mark” in the hearts
keting; and lastly the prestigious Mark Mantra Leg-
of our readers and the landscape of B-school Mar-
acy Column where the erstwhile Editor-In-Chief
keting.
shares one’s knowledge on “Digital Marketing”.
Happy Reading!!
However what is Cabaret without an “Art for Art’s
The team:
Shatabdi Banerjee
Harshit Vyas
Ipsita Gochhayat
Supratik Chakroborty
Inking an Indelible Mark!! 2
Contents 2
Foreword
From The House of MarkMantra
14 3 6
Corporate Connect
Marketing to the BOP
9
The Dawn of New Marketing Start-Ups
14
Summer Diaries
Media Cashing On Political Tussles
6
2
17
17 36 25
Dancing to The Tunes of Indian Consumer
28
3
32
Ostentatious Sports Ads 32 MarkMantra Legacy
9
36
28
25
MarkMantra May 2015
“Marketing is not always rosy; it’s not always about being good either - because sometimes it’s good to be bad and even better to be naughty! “
T
he recent times have seen the Indian mar-
this attention, the marketers don’t really care.
keting environment change leaps and
Whether it’s an emotional mother or a typical Indi-
bounds with the customers becoming
an bahu or a catchy tagline or a friend’s get togeth-
much more liberal in embracing marketing cam-
er or a sizzlingly-hot-smashingly-beautiful model –
paigns as they are. Even more so, people have wel-
the marketers simply want to pander to the needs
comed and thoroughly enjoyed the sorts of adver-
of the people to make their ad/campaign prevail!
tisements and marketing stints that only about a
Period.
decade back would have raised eyebrows and cer-
tainly would have brought the
‘so-called
self-
With the young population
“It’s Outrageous, It’s Marketing!”
proclaimed’ moral vigilante out of their cocoons, all set to spoil the fun and the innovation. Thankfully though, the Indian diaspora has matured and so have the marketers! The most important aspect of any campaign or advertisement is to catch the attention of the target
segment. Whatever be the reason for garnering 3
being on the rise and becoming more liberal and accommodative,
the
marketers
have struck a chord that is doing wonders for them. How on earth, otherwise, could we have seen a Ranveer Singh or a Sunny Leone promoting some of the products as outrageously as they do! So let’s cut the chase and get the taste of some of
MarkMantra May 2015 these.
tantalizing visuals. Advertising is still coy and lacks
dynamism putting the segment confined and
Durex – #Do the rex
chained in a disreputable box of shyness and
Durex, the top brand from the Reckitt Benckiser
shame. RB wants to open this box and bring it to
stable, launched an online campaign featuring the
the fore for conversations. The fact that India is
hugely popular Ranveer Singh based on the theme
such a young country and fighting hard to become
of safe sex and sexual wellness. The video featured
the most populous country in the world (pun in-
him and a host of other dancers engaged in a
tended!) makes it all the more important for RB to
dance move themed the ‘Rex’. This video started
gets its roots deep in this huge market. As per RB
with Ranveer Singh getting out of his bed all
honchos, “The biggest shift would be the confi-
pumped up and feeling ecstatic after a pretty good
dence of a consumer to buy what he wants and the
time in bed, from where on he moved on to party
ability (of the retailer) to talk directly." In all possi-
and dance and sing with even hotter girls! Now, if
bility, RB has something bigger in mind. In fact, the
that’s not outrageous, what is? Contrary to what
brand wants to create a new category from scratch
Indian viewers were thought to be, this campaign
called sexual wellbeing and not just be restricted to
was well embraced by the Indian youth and rightly
grabbing shares in the existing market.
so. Not just this, a lot of other complementing activities were done around this campaign to popu-
Manforce and Sunny Leone affair
larize the brand. Consider for example when in the
Who better to endorse a contraceptive than a porn
run up to World AIDS day Durex donated some
star?
10mn odd condoms to AIDS projects worldwide to
hind Manforce condoms must've thought. And
help young people achieve an HIV free generation
sure, didn’t they think correct?
in their lifetime.
what
the
people
be-
segment was seen to be growing fierce each day.
The answer lies in the fact that Durex is raring to take on the Indian market dominated by local brands like Manforce, Kamasutra and Moods. RB gurus feel that one of the biggest deterrents for growth in the segment has been the way in which the category has been promoted in the past. Though the context in advertising condoms has from
exactly
Now, this had to come after the competition in the
So, what’s the big story behind it?
moved
That's
'protection'
to
'pleasure'
to
'promiscuity' but the advertising has been lazy and not really moved beyond pushing pleasure through
Also, the way the Indian youth, and for that matter
probably men of all age groups, accepted Sunny Leone in the Indian film industry and also main stream television, it was clear to the marketers that Indians have no qualms about Sunny Leone and her history. They would love to see this hot beauty every time she comes in. So, what if the Queen-of-porn’s acting did not make much of a mark on the people, her latest ad for Manforce
did! The ad showcased Sunny in a very hot avatar 4
MarkMantra May 2015 and sure did send a
Conclusion
quiver around every man’s body. The advertisement had record views on the Internet and as per unofficial reports the sales for Manforce also saw a sharp increase after a week the ad was released. This proves the fact that the advertisement surely served its purpose and roping in the ‘Penthouse Pet of the Year Award’ winner as a lead star in the
Many other brands selling different products from deodorants to perfumes to accessories to cosmetics have taken up this fast, effective and populist way to revamp their brand images. The Indian customer is more aspirational today and advertisements of these sorts give them an ego as well con-
commercial was a brilliant and a very effective marketing gimmick. After the previous two campaigns, one must get the feeling that it’s imperative for these brands selling such products of personal care to add a bit of hotness quotient in their campaigns. But the fact of the matter is that there are other brands selling a completely different assortment of products that are following suit.
FastTrack – ‘Move On’ From slyly slipping out of the boy's hostel to ending
fidence boost. Conservatives also say that this is
up in a closet with another woman, the FastTrack
not the right form of advertising and it might well
advertising campaign has certainly moved on and
end up tarnishing the image of the brand if not
so has the FastTrack girl. The new FastTrack girl
used carefully. But then everything comes at a
propagates 'coming out of the closet', an extension
price and it is loud and clear that our marketing
to the brand's 'Move On' philosophy. This particu-
gurus are ready to tread carefully and take this risk.
lar ad features two teens still fumbling with their
And again, as long as the marketing campaign is
hot-pant zippers coming out of a pink cup board
successful and adding to the top line, who the hell
door!
cares!
Not only this in one of its outdoor print ad campaign last January, Fast track announced a 20% discount on all its products using a print ad that
Harshit Vyas MBA(IB) 2014-16
showed a model wrapped in a ribbon that had
Indian Institute
‘Sale’ written all over. This ad, however, attracted a
Of Foreign Trade
lot of criticism for objectifying women. 5
MarkMantra May 2015
Corporate Connect:
“A Rendezvous with Priyank Kacker” “An
experienced player in
gramme. They take in fresh engineers out of college for a role in Sales and Accounts Management.
B2B Sales & Marketing
We had a 10 month stint in USA for technical and
Arena ,
were taught the basics of Sales, Account manage-
Priyank Kacker joined us for a candid chat on B2B sales. Priyank is currently working as a Key Account Manager for Texas Instruments”
techno-commercial training. During the same we
ment, Basic Marketing Rotations as well as the portfolio of Texas instruments and lastly how do we conduct to our customers. Post this training Programme I was deployed at Delhi for handling some of the key customers in the region. The career path typically starts with handling the low revenue accounts initially and as when you gain more
experience, you are given accounts with much more complexities and revenue stream. In Delhi I handled some of the key customer accounts of the region. Following a stint of 4 and half years I was
1. A brief description about your profile and job
transferred to Ahmedabad where I was the only
responsibilities. Please throw some light on your
person handling the key customers of Gujarat and
career path
MP region which amounts to Million dollars right
I joined Texas Instruments in 2009 as a part of
their prestigious Technical Sales Associate Pro-
now. Now coming on to profile and job responsibilities, it is essentially the process of identifying new
6
MarkMantra May 2015 opportunities for Texas Instruments, understand-
has to be a number of meetings
ing customer application, proposing TI based solu-
months and may be years depending on the cus-
tions and eventually converting these proposals
tomers before we actually see some revenues.
into revenue while providing complete design as-
Thus the motivation level needs to be extremely
sistance i.e. end to end support and maintaining
high and you should be willing to go the extra mile
strong working relationship with
customer-
without anybody probably telling you to. So that is
engineering, supply chain and management. It is
one of the key aspects of Key account manage-
essentially a complete account management role.
ment affecting sales. Another key thing I would see
2. B2B sales is an entirely different ballgame com pared to B2C. Your take on it
over weeks,
is you really have to identify the precise problem
of the customer and offer your help and support, which is not the case in B2C where in selling is
I agree with the statement. The key differences I
sometimes very reactive- you have the require-
see in the B2B sales as compared to B2C sales is
ment and you sell. In B2B you have to be proactive
that B2B sales is extremely planned-we have to
and understand what the customer is looking for,
evaluate the proposals and plan our solutions and
differentiate against the competition and then
on a much longer term compared to your B2C sell-
offer solution. You should be really adept in build-
ing. Again B2B is extremely dependent on trust,
ing relationships that go a long way of getting new
relationships and it is much more long term busi-
business. That are essentially the important things
ness relation than a B2C which can be sometimes
in key account management affecting B2B sales.
just selling for immediate numbers. These are the main differences I see but there can be others as well. 3. Key account management and its implication on B2B sales
4. Emerging trends in B2B marketplace. Ecommerce the next big thing with rise of Alibaba and Metro Cash n Carry Yes, this is something we are seeing a lot these days. Even us as customers probably more de-
As an account manager or through the role of
manding now because of the amount of choice we
key account management, one of the most im-
have. So the companies which are accustomed to
portant thing I have learnt over years is you need
just selling the product and walking away are
to be extremely self-motivated. Though it is true
getting out of business and they really need to
for every role in B2B but more so for Key Account
show some value owing to number of choices cus-
Management as you are front end of the organiza-
tomers have. That is true for any organizations be
tion managing big revenue numbers. Moreover
it hi tech organization like TI or somebody like in
since B2B selling is a continuous process, you need
Amazon. We are seeing more and more organiza-
to be extremely self-motivated. When it comes to
tions following the E-Commerce trend where eve-
B2B we aren’t talking about one meeting but it
rybody is looking at consumer behaviour using da-
7
MarkMantra May 2015 ta, predicting sales and even building relationship
hard on you. If you really do not like it, you proba-
using that. This a common thing we are seeing
bly might not want to continue. It is a lot about
across industries. Though some industries initiated
enthusiasm, knowing your product, building your
it we are seeing this trend across industries. The
credibility. So it is an extremely dynamic profes-
message I want to put across is though B2B sales is
sion -you will never get bored of it. But then again
based mostly on relations while that being true the
it can be hard on you if you don’t like it. Thus moti-
importance of data analytics cannot be ignored.
vation and passion is the way to go about it.
5. Your advice to young aspirants of B2B Sales and marketing The key thing in selling is you have to be extremely passionate about it or it becomes really
Ecommerce Feed Predictive Analytics : How it is changing B2B landscape?? Read More... Emoji Marketing: The Dominos Story Read More... Facebook launches “Instant Articles� Read More...
8
MarkMantra May 2015
A
ccording to our father of the nation Ma-
have, in the past tried to make their presence felt
hatma Gandhi, for the nation to prosper
in the rural areas through innovative marketing
it is imperative that the rural areas pros-
campaigns and continue to do so even today. So,
per. This is very true in today’s scenario, owing to
before discussing the marketing strategies adopted
the majority of the population residing in rural are-
by these FMCG giants, it would be worthwhile to
as which constitutes around 65% of the total popu-
understand what bottom of the pyramid is and
lation
who coined this term.
What is Bottom of the Pyramid?
. For the economy to touch double digit growth, the interest of the rural citizens cannot be ignored. In sync with this aim, some of the
Bottom of the Pyramid refers to the poorest socio
top
of
economic group that thrives on less than US $2 a
marketing like HUL,
day. This phrase was defined by professor CK Prah-
P&G, Colgate, ITC
lad in his book: The Fortune at the Bottom of the
honchos
Pyramid. According to Prahlad, the businesses and 9
MarkMantra May 2015 the government should see the BOP section as re-
Hero during its alliance with Honda came up with
silient and creative entrepreneurs as well as value-
the tag line of its motor bike brands as Dhak Dhak
demanding consumers. Moreover, Prahlad propos-
Go in order to associate with masses. Companies,
es that the multi-national companies can accrue
being aware of the fact that cricket is more than
tremendous benefits by serving these markets in
just a game in India associate themselves with
ways responsive to their needs. There are also pov-
team India during major cricket tournaments. A
erty reducing benefits if MNCs work in tandem
case in point is that of Pepsi that came up with its
with civil society organisations and local govern-
variant called Blue Pepsi during 2003 World Cup.
ments to create new local business models.
The blue coloured cola was a runaway success in
Strategies for rural market Changing Pattern of Rural Customers Now-a-days
rural markets thereby driving the company sales.
Developing Customized Products
rural consumers are looking forward to new brand-
Many companies have developed rural-specific
ed products and good services. The rural people
products keeping in mind the requirements of rural
want value for money and therefore are ready to
citizens. Electrolux has developed a made-for India
pay premium for the product if the product is
fridge that is designed to serve basic requirements
offering some extra utility for the premium. A case
like chilled drinking water and can withstand long
in point is that of Mahindra which after launching
power cuts. Similarly, Godrej came up with its
its super Turbo DI tractor, wanted to educate the
ChotuKool refrigerator which is powered by battery
rural people about the high end technology used in
and does not require regular electricity supply. The
tractors. It therefore targeted opinion leaders and
company also pays commission to the rural agent
conducted interactive discussions between the
thereby enhancing its supply chain in rural areas.
company officials and the target group i.e. farmers and opinion leaders. The effort paid off well as the
Effective Mode of Communication
sales shot up thereby helping the company in pen-
Most of the companies rely heavily on traditional
etrating the rural markets.
modes of communications like puppetry, folk thea-
Patriotism with Products and Services Patriotism is also one of the important factors that the companies have taken into consideration while designing their marketing campaigns. Nokia took this opportunity to advertise its phone 5110 on Independence day and Republic day with Indian tricolour as its main theme and a ring tone of "Sare Jahan se
Achcha" thus fostering the spirit of nationalism..
tre, and village exhibitions but over the years companies have also taken to modern media like television and radio. LIC has been at the forefront of traditional advertising that used to educate
rural
masses about its insurance cies
poli-
through 10
MarkMantra May 2015 puppetry. Village fair is one of the most effective
es at village through web portal. It also helps farm-
techniques to sell the products thereby promoting
ers in purchase of commodities at their doorstep.
small scale and cottage industries.
Project Shakti
Rural marketing initiatives
It is a rural initiative undertaken by HUL in 2001 to provide income opportunities to the rural women and also creates access to relevant information through i-shakti community portal. This initiative has now been extended to 12 states in around 50,000 villages and has largely been successful in creating opportunities to increase the income of rural households by putting more money in the hands of rural people to purchase items of daily consumption-from soaps to toothpastes made by
E-chaupal
HUL. Khushiyon Ki Doli
One of the most successful campaigns launched by
ITC offers farmers all the information they need to enhance farm productivity which helps improve farm-gate price realized by the farmers and cut transaction costs. Farmers are also able to access latest information regarding weather, scientific
farming
techniques as well as the market pric-
11
Another initiative to inculcate good personal hygiene through which the company was able to engage more closely with the consumers and also created a cost efficient rural brand activation module that involved various personal and home care brands like Wheel, Surf Excel, Sunsilk, Vim, Lifebuoy and Close-up . Gaon Chale
MarkMantra May 2015 This campaign was started in 2006 in Uttar Pradesh
attributed to its sale of Chic shampoo sachet for 50
by Tata Tea. In order to penetrate the rural mar-
paise when it was available at Re.1 and it revolu-
kets, Tata tea partnered with NGOs. The project
tionized the market. Hindustan Unilever, which
has generated employment opportunities to the
was among the first MNC's to realize the potential
youth of villages and towns and has been a source
of India's rural market, has launched a smaller ver-
of steady income for the distributors of Tata Tea.
sion of its highest selling soap brand, Lifebuoy at
Challenges Availability
The first challenge is to ensure availability of the product or service. India with its large number of villages is a home to around 83 crore rural people. However, given the poor condition of roads, it is an even greater challenge for the firms to regularly make their products reach the villages. Over the years, India’s FMCG giant, Hindustan Unilever, has built an intensive distribution network which helps
its brands reach the interiors of the rural market. In order to effectively serve the remote villages, distributors use auto-rickshaws and bullock carts. Coca-Cola, which considers rural India as a potential growth driver, has developed a hub and spoke distribution model to reach out to the village folks. Affordability
The second challenge is to ensure affordability of the product or service. Owing to the low disposable income, products must be affordable to a rural consumer most of whom struggle to earn two square meals a day. Some companies have successfully addressed this issue by introducing small unit packs or sachets. Godrej has introduced three brands of Cinthol and Fair Glow in 50-gm packs,
priced at Rs. 4-5. The success of Cavin Kare is
Rs.2 for 50 gm. On similar lines, Coca-Cola has addressed the affordability issue by introducing the returnable 200-ml glass bottle priced at Rs.5. The initiative paid off well which is quite evident from the fact that eighty per cent of new drinkers for coke now come from the rural markets. Acceptability The third challenge is to gain acceptability for the product or service. Therefore, firms need to offer products that meet the requirements of rural market. One company which has reaped benefits by doing so is LG Electronics. It was able to understand the pulse of rural markets and came out with a customized TV which was a runway hit. LG sold around 100,000 sets in the very first year. Similarly, Coca-Cola was well aware of the problems such as lack of electricity and refrigerators in the rural areas and therefore provided low-cost ice boxes — tin boxes for new outlets and thermocol boxes for old ones. The insurance companies like HDFC Standard Life have developed tailor-made products for the rural market by offering them plans that suits their needs. Awareness Due to the lack of conventional advertising
me12
MarkMantra May 2015 dia in large parts of the rural India, awareness is
is touted to be optimistic. The Make in India cam-
another challenge for most of the firms. Hindustan
paign has been well received from all quarters of
Unilever relies heavily on its own marketing cam-
the industry and with more emphasis being laid on
paigns. Godrej Consumer Products, has tried to
infrastructure, the rural India is set to see rapid
push its soap brands into the interiors of the villag-
transformation in terms of roads, rail, highways
es by making use of radio to reach the local people
thereby improving connectivity among rural and
in their language. Coca-Cola harnessed the combi-
urban towns. Moreover, with Jan Dhan Yojna in
nation of television, cinema and radio to reach ru-
place, the rural banking is all set to move to next
ral households. LG Electronics used vehicles and
level, revolutionising the banking landscape in the
road shows to reach rural customers. Philips India
country. With more and more rural people coming
used graffiti and radio advertising to drive its
into the folds of banking, the rural consumer
growth in rural areas.
spending will definitely see a marked growth. Thus, it is imperative that companies keep pace with the
Road Ahead
changing dynamics of the rural markets and come
Markets which are not able to face the onslaught
up with products or services that suit the require-
posed by MNCs can use this as an opportunity to
ments of the rural folks.
restore their profits in the rural sector. Given that the market share of urban market when compared to the rural market is low, the Indian industries have a bright chance to concentrate on rural markets thereby improving their top line. Also with the change of guards at the centre, the picture ahead
Devesh Agarwal MBA(IB) 2014-16 Indian Institute Of Foreign Trade
The month of May saw successful completion of the Rural Marketing Conclave 2015 Organized by Rural Marketing Association Of India started in 2005 . The conclave was graced by eminent speakers from the Corporate Houses . Read More... 13
MarkMantra May 2015
S
mall is the new Beautiful. Gone are the
themselves as just an Ad agency So is the case with
days when only the big ad agencies of the
other upcoming marketing startups. Each one of
likes of Publicis, Omnicom, WPP etc. were
them wants to differentiate itself. Almost all of
able to rule the roost and had big clients. Since the
them have been founded by people who earlier
last decade there has been a number of ad agen-
were a part of a bigger Ad agency but thought that
cies who have come forward and are now marking
they themselves could do a better job and thus
their territories. Marketing and advertising is one
came up with their own firms. With like-minded
of the most dynamic business and the continuous
people joining them they are expanding and now
evolution which it goes through has only compli-
are in the top league. This trend has also been suc-
mented its nature.
cessful because of the changing times and require-
The Start Of Small In 2007, 4 people sat at Raj Kurup's dining table to start a creative empire. Today, Creativeland Asia is an independent creative communications company which is rated among the top 5 creative companies in India. Creativeland works on some of the biggest brands in India including Frooti, Appy Fizz, Mercedes Benz, Cinthol, Cafe Coffee Day, Godrej Expert Hair Colour etc. They believe in the culture
of 'Good Creative Upbringing' and don’t refer to
ments of the industry.
Digitisation
of
Marketing 14
MarkMantra May 2015 With the present day youth spending most of its
the chef will do everything to feed you properly
time online it is not a big surprise that digital mar-
and would do that in chutney style.
keting agencies are making such a big splash. MTS launched an ad film ‘Born for the Internet’ focussing on the ‘Net Gen’. The ad was special in more ways than one. Not only it depicted the current generation but also made sure that it reaches its target audience. The film was premiered as a bittorrent for online audiences to download before
digital and social legs kicked in. Digital marketing catches viewer’s attention with its innovative ideas and also helps in keeping the costs low.
The Cadbury Dairy Milk’s IPL campaign which used digital marketing was a great hit. The campaign designer started with #ShubhAarambh to brand real time updates around beginnings, firsts, new accomplishments and records big and small. People were encouraged to use and share content around the brand hashtag, with a leader board showing them real time rankings based upon their reach. Online contests of tweets and pics were being conducted and it drove participation of online
The present day agencies do more than the con-
viewers to a whole new level. Over a two month
ventional marketing. They provide the whole pack-
period, 205k conversations and shares were gener-
age of services like Social Media Optimization, In-
ated. The brand hashtag trended nationally 7-8
tranet development, Website development, email
times during this period, appearing over official
marketing, content management etc. They work
sponsor hashtags on occasion. This ad campaign made by Pinterest was an example of how the pre-
sent day ad agencies work.
very closely with their clients and are the interface
Being the Boss
to the consumers. Digital agencies like Webchut-
The present day marketers want to be more inde-
ney does all the background work for their clients
pendent in terms of how they want to connect
and much more. It’s
with the target audience. It also provides more
like you go to the
flexibility to the firm. The owners of firms like Tap-
chef directly with an
root agree with this. They want to be their own
empty stomach and
boss and the prospect of earning more moolah is
15
MarkMantra May 2015 also incentivising them to open up their firms.
The same effect is being repeated on the global
They also understand how the present day genera-
scale as well with Google acquiring Facebook mo-
tion feels and provide them the required environ-
bile marketing start-up, Toro. Toro offers solu-
ment to work which gives optimum results to the
tions to help app developers create the best mar-
firm. With the economy of the country booming
keting and promotional plans for their apps on Fa-
and their businesses expanding they are offering good packages to the graduates. They are also more than willing to join and take it as an excellent learning opportunity and are able to use their cre-
ativity to a greater extent.
Everything going mobile With over 70% market being driven by mobile ecommerce, firms like Filpkart, Snapdeal are trying
cebook’s advertising platform. Google aims to use
everything they can to attract their customers. Ear-
its services in further increasing its profitability.
lier Flipkart wanted to spread out the message of safety and advantages of online buying. Having been successful in that and attracting more competition it is now aiming to focus on new revenue
This just shows that these marketing start-ups are influencing the clients in a big way. Either they are
being bought by the bigger firms or are getting more business. This augments well for the marketing start-ups and denotes that it is just the dawn for them and they will continue to make their impact.
Shubham Jain & channels to become profitable. Flipkart has ac-
Mohd. Zeeshan
quired Bangalore-based global mobile network
MBA(IB)2014-16
AdIQuity, a mobile ad network enabling app developers and mobile publishers earn revenue from their mobile inventory. On similar lines Snapdeal is
Indian Institute of Foreign Trade
in advanced talks to acquire advertising technology company Komli Media to help it move into broader areas and foray into advertising.
16
MarkMantra May 2015
Project As part of my summer internship with SABMiller I was put under the Retail Sales domain. My project essentially delved around exploring the strategies adopted by rival brands mainly Carlsberg & Anheuser-Busch InBev in the state of Odisha, where these brands were doing well and how could SABMiller incorporate these strategies into its functioning
doing well. The root cause of the
trouble stemmed at the retailer’s level. The rival brands had modified their customer relationship management techniques apart from providing a more innovative product. Therefore, I had to travel over 400+ liquor outlets-both standalone and beer parlors, rural and premium out-
lets.
Key Takeaways
in the state. There is a very thin line between be-
17
It was a vast project wherein I was
ing a market leader and a follower.
supposed to identify key areas within
Rivals always keep looking for cracks
the state where the brand was not
and one bad decision/stockout can
MarkMantra May 2015
prove a sucker punch for your brand The retailers will sell the brand if and only if they find incentives for themselves. Big influential retailer which account for volumes matter all the more. One bad experience/fallout
often results in far-reaching conse-
ganisations therefore numbers are of prime importance. Be proficient in excel. Marketing and other promotional activities are all cost centres. Keep in mind that you’re being given
an opportunity to directly contribute to the organisation’s success.
quences Selling and maintaining a brand is much
Sales is the only profit centre for or-
more
than
the
bookish
knowledge that our courses impart us. To drive “point of sale” volumes everything from supply chain to customer relationship must fall in perfect unison
Be communicative not only with the clients that you deal with but also your superiors/mentors etc. They are essentially looking for how well you structure your thoughts, the sort of insights you bring to solve the prob-
lems and your contribution in general. Be cheerful, eager to learn,
Suggestions for students
quick to lend a listening ear and keep
with sales internships
working!
Be prepared to travel extensively
Highlights of Upcoming Edition
Summer Diaries for Juniors
Brand Wagon Wars
Alumni Connect
Among Others…….
18
MarkMantra May 2015
Project : Buy and Sell EBO Inte-
try in this kind of an internship stint is
gration for Allen Solly
immense. You get to know how it works, right from the factories to the
While I was selected for a Sales and
Marketing role, the project offered a whole new dimension into the apparel industry. It is difficult to categorize the project into a proper role, however, one could say that the project was in the domain of business development/strategy. In short, my task was to identify the issues and
challenges in a business model (Buy and Sell) and give recommendations. The brand allotted to me was Allen Solly.
Key Takeaways
warehouses and of course the retail stores. What goes behind starting a store and how things are not as simple as they meet the eye. How each and every particular detail inside the store is taken care of, be the visual merchandising, stacking the merchandise in the right way or even attention to basic things like the temperature of the air-conditioning and the loudness of the music. How each store is a business model in itself and multiple business models give rise to multiple stores. What kind of KeyPerformance Indicators rule this in-
The learning about the apparel indus-
19
dustry and how reports are analysed
MarkMantra May 2015
every week is something which one
Suggestions for first years
understands in this kind of an internship.
Go with an open mind to work on any kind of a project allotted - be it Mar-
Sales or no sales, travel will be a key
keting, Sales, Operations, Retail or
component of your work-life in this
Supply Chain. The learning in each
industry, at least in the initial years. I
and every one of these projects will
had to travel to Delhi as part of my
be simply immense. Give it your best
project and due to time constraints
shot, work hard on the project, sur-
could not travel to Haryana and the
prise the panel with your recommen-
East which was planned by my men-
dations and once you bag a PPO, you
tor. Travelling and visiting stores
can choose whether you want to be
while meeting the store manager and
into Operations or an Area Sales/
the staff was a huge learning experi-
Retail Manager. MFL rewards hard
ence. You get to understand the nitty-
work and they don't really bother if
gritty of the way a store functions
the end result is a good solution to
everyday and how even minute de-
the business problem at hand. What
tails are captured which play a key
is more important is if you have
role in figuring out the store KPIs.
thought your way through the prob-
Communication skills are extremely important. By communication skills, I don't mean great in English. Even in the language one is comfortable with, communicating well with people, especially the store manager and staff is extremely important. I also improved a lot at MS Excel, working with Excel
lem, analysed every little detail, talked to as many people in the company as possible and given the best suggestions and recommendations
which you can come up with. Approach the project as if it's a business case presented to you in a corporate competition with a PPI/PPO at stake.
sheets almost all the time. MS Excel
P.S. Keep your guide and mentor hap-
will be an integral part of one's work
py. ;)
life as well as internship in this stint.
20
MarkMantra May 2015
Project
know how many unique SKUs are being sold to a shop in a month. This
My project was based out of Pune in the Consumer Products Division and
was concerned with General Trade (GT). It required me to understand the concept of Unique Selling SKUs (USS), how it’s driven by the Salesmen in the market, the roadblocks in way of increasing the USS. Using the insights gathered during this market understanding, I had to devise workable ideas and strategies to improve the USS performance and help L’Oreal achieve a +20% growth. I also had to suggest a tool which makes it easier to measure the USS performance in the market. In simpler terms, USS lets L’Oreal
21
shows the buying trend of SKUs in a shop and helps measure SKU perfor-
mance. USS involves the PSR, who pushes the stock to the retailer and is pivotal in increasing this count. Hence, his task is not only to sell as much quantity as possible but also to sell as many unique SKUs as possible to the retailer. But, as the retailer only buys products which he
trusts would sell and also finds worthy of shelf space, it is also important to measure the consumer buying
trend,
as
without
the
offtakes from the shop there wouldn’t be a demand for our products from the retailer.
MarkMantra May 2015
As USS performance deals with the
I also learnt the pragmatic approach
movement of different types of SKU
of the market and realized that life
rather than just the quantity sold, it is
outside the textbook is completely
extremely important in demand esti-
different and doesn’t function the
mation for the Operations team and
way we think it would or it should!
helps them determine how much of a
particular SKU is to be produced. It is
Suggestions for first years
also significant for the Marketing
Understand your project really well
team as, if the trends show a decline
before getting started. Break up your
in the sale of a particular SKU, its mar-
project objective into measurable and
keting can be stepped up through
time bound goals.
new media launch or through merchandizing.
Key Takeaways
As far as the preparation is concerned, one should know all about himself/herself and should have clear
insights on one’s decisions in life. A significant lesson that I learnt on the field was respecting the people
The Sales pitch round requires one to
working under you, especially the
know how to approach a situation
salesmen who are the face of the
practically
company at the ground level and put
knowledge would be able to sale one
in a lot of efforts to help the company
through this.
achieve its goals.
and
no
theoretical
L’Oreal being a leader in the beauty
I’ve realized that relationship building
industry expects one to have a basic
goes a long way in business and one
understanding of the nitty-gritties of
must always strive to build connec-
this business as the product line rang-
tions.
es from mass segment to the niche segment.
22
MarkMantra May 2015
Project : Understanding key reasons for growth of Ajay toothbrush
Had to travel to 13 cities across 6
(competitor of Colgate, number 3
cities for conducting this research. The
player in Indian market) and provid-
objective was to gather information
ing recommendations to stem its
about Ajay and understand its selling
growth
and portfolio strategy followed by
Extensive secondary research, on market data provided by Nielsen, which
benchmarking with Colgate’s existing toothbrush strategy.
included diagnostics performed on
The final step was providing recom-
data dumps.
mendations to stem the growth of
The outcome of the diagnostics, which was on the basis of some data trends,
Ajay.
Key Takeaways
pin-pointed some market locations across the country. The next step was to perform on-ground primary research in these markets.
Great exposure to sales and distribution; understanding of credit terms, delivery
times,
salesmen-retailer/
wholesaler relationships, impact of
23
MarkMantra May 2015
POP material, inventory manage-
assigned project. Keep him/her in the
ment etc.
loop as you go along, so as to ensure
In-depth understanding of a low involvement category like toothbrush;
everything is going as per mutual agreement.
how consumer motivations to buy
For people who would be working on
the category effect everything from
projects which would require ground
marketing communications to sales
research, try and leverage the un-
strategies.
structured market intelligence which
Exposure to FMCG industry though interaction with professionals in the industry as well as through market visits.
retailers, wholesalers and sales executives possess. They might not be MBAs but they know more
about
business than you would expect. For marketing
projects,
elementary
Exposure to working environments
knowledge of BRM is highly benefi-
and job responsibilities of marketing
cial.
professionals within the industry.
Suggestions for first years It is imperative to get a proper un-
Most internships are great learning experiences. However, it will always up to you to maximize that learning.
derstanding of your guide’s expectations before you start working on the
Brand Quotient In Switzerland, the “Apple” trademark is owned by William Longe since 1985, who is the owner of brand Leonard in Geneva which sells items like jewelry, precious stones, and timepieces of any kind etc. It is set to expire on Dec 5th, 2015. Until then, Apple cannot sell the Apple Watch in Switzerland.
24
MarkMantra May 2015
D
emocracy is based on the following
increasing reader base and the websites need
three pillars – Legislation, Bureaucracy
more and more views, clicks, likes and subscribers.
and Judiciary. Each of these is expected
So on and so forth. The list is endless; no matter
to work in harmony for our country’s progression
what form of media we are talking about every en-
and bright future. However, it would not be far-
tity needs its share to stay afloat.
fetched to say that in the modern times democracy also rests on a fourth pillar – “The Media”. The
Who can run the best stories, who can get the best
same Media which wields the power of creating everything out of nothing or, at its own will, annihilating everything to mere nothingness. With the advent of new technology and lightning fast information transfer, the media has become an important part of the democratic society. But, at the same time one cannot deny the fact that, in the end, the entire media circus is serious business with the single biggest objective of churning out profits. So, in order to make that happen media houses rocketing
need TRPs,
skythe
newspapers need ever 25
personalities on their shows, who can get the best interviews, who can get that best something which can increase their popularity. This quest for being the ‘best’ in the business has led media to get involved in some activities which might not be deemed in good faith considering its important
MarkMantra May 2015 role in the society. Not undermining the important role played by media, the article tries to highlight how the media cashed in on the important political events that happened recently.
channel increases by more than 60 per cent when
Narendra Modi is there on TV”. So, the fact of the matter is that he rightly sensed the opportunity and made it possible. A series of steps followed by populist stories and the channel just grabbed on the TRP. So, what initiated this change? The answer
As the title of Shashi Tharoor’s book goes - “The
lies in these three closely linked words - the
elections that changed India”. Not going into his
‘Elections’, the ‘Politicians’ and the ‘Political
books and his views, the General Elections 2014
Drama’.
rightly changed India. What happened and how it happened, each of us witnessed it. But this election
Had it not been the scams of the tune of thousands of crores, the controversial schemes and the India against Corruption Campaign, how would ever have Arnab Goswami become a sensation that he is today? Politicians dread him and rightly so, because the fashion in which he crushed Rahul Gandhi while interviewing him was intimidating. Again, the way in which he takes on the spokespersons of
different political parties on his show when they changed the fortunes of many. Try recalling
make factual errors is easiersaid than done. How
Mr.Rajat Sharma, Founder-Editor of INDIA TV, in-
TIMES NOW suddenly became the most viewed
terviewing our now Prime Minister Shri Narendra
English news channel in the country is long winded
Modi at his show ‘Aap Ki Adalat’ a few days before
story (yes, it has a strong backing from the Times
the elections. Hardly anyone following the last
Group but the popularity it has gained over time is
General Elections would have missed it. Not getting
not because of it). Well, by cashing in successfully
into the specifics, now try recalling the same INDIA
on a good number of political tussles, it has in
TV which, a couple of months back, used to run
some manner proved that the Media can question
stories that one would not believe in and try to
any one running the country and make report cards
build some sort of news out of nothing and present
which may be fatal to a politician’s political career.
it to the poor audience. These were the sorts of
It doesn’t matter if he comes from a family that has
stories which could make anyone change the chan-
run our mighty country
nel, leaving only those who love chatpati and masa-
for decades or has just
ledar news. So how did this spiced-up News Chan-
started a political party
nel had a complete makeover? Rajat Sharma him-
claiming to clean the sys-
self pointed out and I quote - “The TRP of our news
tem! These are only a 26
MarkMantra May 2015 few examples of news channels whose sensational
vivid is the video titled “America se aya mera dost”
stories and interviews on political happenings got
which was made during Mr. Obama’s visit to India.
accolades from the country!
The video went viral and was enjoyed by almost
Let’s now focus on the lighter side of the things. Recall the article, ‘14 Indian politicians who will find their counterparts in Game of Thrones” (if not go and check it out now, it’s fun!). This was the article on Scoop Whoop that was shared a record
everyone. The very existence of such a series of videos is because of the political issues in India and one can bet there are more of such rib-tickling videos to come because there isn’t going to be any dearth of issues created by our dear politicians.
number of times. Happened somewhere in late
So, what lesson do we learn here? It is one: Its pure
2013, it just turned the fortune of five people who
business and it is the role of every successful busi-
were doing it as a side project. There was no look-
nessman/woman to use the opportunity one gets
ing back for them after the sensation that was cre-
to progress and expand. “Everything is marketing
ated. So, it is right to say that the politicians just
and marketing is everything”, a one liner that justi-
changed their life (pun intended). Similarly, the
fies all these incidents put together.
banters of
In con-
All
clusion,
India
we can
Bak-
say that
chod, the videos of The Viral Fever (Qtiyappa) and other political satires that run across the social networking sites changed the lives of many people who were once unknown to the masses. All thanks to the political tussles and to the politicians who made that happen. There were even articles on
what these Stand-up Comedians would do after the elections. It only goes on to suggest the zenith of success they had achieved just because they made fun of our politicians.
there has to be someone doing the job of a watchdog and thankfully the media does this very well. Even if there is a lot of masala, even if there is a lot of noise, we should give media their due credit. One should never forget how Jessica got justice and how Nirbhaya made the whole country aware of the vices existent in the society! Till the time Media are doing the job right (may be in a bit twisted manner), they enjoy every right to cash in on any opportunity that they get!
Pritesh Desai Everyone
would
have
laughed and still laughs
MBA(IB) 2014-16
watching the videos of
Indian Institute
“So Sorry” created by the India Today Group. Still 27
Of Foreign Trade
MarkMantra May 2015
“Are these things actually better than the things I already have? Or am I just trained to be dissatisfied with what I have now?� -Chuck Palahniuk, Lullaby
T
he Indian Consumer is the master of a
fit all strategy needs to be avoided by the brands
Brands’ fate. He is both impulsive and
which plan to invest in the Indian markets as the
compulsive in his buying behavior. He is
consumers here are becoming more sophisticated
impatient, moody, dissatisfied, particular, trending
in their consumption habits. Availability of the
and bargaining with the things at his disposal. He
product is not the only criterion. Companies are
is a deal-a-holic and a hard core value for money
ready to bend the rules and strive hard to survive in the Indian market. Innovation and adaptation are the two major combat forces that the nonindigenous brands use to satisfy the needs of an Indian consumer.
The Indian consumers comprise of an approximate equal proportion of rural and urban households. The most intriguing elements of the seeker. THE INDIAN CONSUMER IS REALLY HARD TO IMPRESS!!!
Indian consumer market are characterized by diverse languages,
regions,
religions
The Indian consumer has shown a major change in
and socio-economic status
its buying behaviour in the last decade. A one size
which have made it a diffi28
MarkMantra May 2015 cult proposition to understand. Due to a globaliza-
bow to the price pressure, Kellogg’s launched a se-
tion, advent of new marketing channels, ecom-
ries of other products like Chocos, Frosties, Honey
merce websites, liberalization on the government
crunch etc. but none was able to replicate the suc-
policies and increase in foreign direct investment,
cess it had got in the West. Easy availability of tra-
there has been entry of innumerable brands in the
ditional breakfast and low awareness about the
Indian market. A lot of non-indigenous brands have
processed foods were some other obstacles that
now become a part of every Indian household. Was
Kellogg’s faced. Kellogg’s been smart enough to
it easy to reach there? When Kellogg’s, the wholly owned subsidiary of
the American company Kellogg entered the Indian breakfast market with cornflakes, little did it realise that it would be a mammoth task to make cultural shift in the minds of Indian people who usually
consumed traditional breakfast. They not only had to promote their own product but also promote the idea of eating cereals for breakfast.
29
Many
realise the causes of its failure, soon Indianised their products by repositioning it as a flavour filled product rather than a nutritious product. They came up with different flavours of the same product as well. They even used yoga instructor and Kathakali dancers in their advertisements to attribute their morning energy and fitness to Kellogg’s.
people
Even for that matter Nestle adapted its traditional
bought corn flakes as a one-
two minute Maggi Noodles as an after school snack
off novelty purchase, even if
among children by adding just one small ingredi-
they liked the taste because
ent. It responded to the health concerned mothers
of high price. Unwilling to
by replacing the refined white flour by whole
MarkMantra May 2015 wheat. Frito Lays coming up with Indian Magic Ma-
the Indian market, with an assumption that a car
sala and engaging with the Indian fans to come up
owner in India required a sneaker. This assumption
with different flavours is one of the strategies they
had proved fruitful in other countries but in India
adopted to remain relevant in the market. Also
the car owners had mostly bought their cars on
PepsiCo identified the gap in the Indian market for
instalments or had cars given to them by their em-
the packaged version of “Nimbu Paani” and came
ployers. This was coupled with another blunder
up with Nimbooz in 2009.
when they decided to open their stores on the ba-
Ford before entering in the Indian market conducted extensive research to accumulate knowledge
about the social life, personal tastes and preferences of Indians. Not only that, they closely studied the infrastructure of the Indian roads and traffic movement before launching their cars. Today they enjoy a considerable market share in the automobile industry. Ford is also fast transforming to a volume player from being a niche player in the Indian market after tasting success with hatchback,
Figo and compact SUV, Ecosport.
sis of the zip postal codes. This failed terribly as one zip postal code had such a huge variation in the income levels of the people living in a particular postal code. It later came out as a winner when it launched a low price range of shoes and came up with sub brands to cater to the needs of all sorts of Indian consumers from men to women to kids. It also associated itself with cricket which gives it a total brand recall and stickiness in the minds of the Indian consumers. It even outpaced a lot of formidable rivals like Nike and Puma by this marketing plan.
Even when LG entered the Indian market, it failed miserably due to low brand awareness, high import duty and stiff competition from the Japanese competitors. What led to its success was its development of a strong bond with the Indian consumers through cricket. Signing big cricketers as the brand ambassadors and launching cricket games on its television. It became the first multi-national firm that forged strong tie-ups with cricket by sponsoring the World Cups in year 1999 and 2003. It localised its products like CTVs that had menu options in Hindi and other regional languages. It introduced “Sampoorna” and “Cineplus” for the price conscious customers as well.
Reebok also faced initial hiccups when it entered
There are innumerable brands like Facebook, Google, and Nokia etc. that are continuously innovating or adapting for one common purpose-To give a good value proposition to the Indian consumers and be the market leader in their segment in India. Be it Honda motorcycles “Dream Yuga” to
compete with its erstwhile joint venture partner “Hero” or GE healthcare’s’ ECG machine for rural market or Hyundai “Eon” for the mileage, price and style valuing Indian customers or be it brands like McDonald’s and even KFC tailoring their menu to in-
clude
typical
vegetarian
30
MarkMantra May 2015 cuisines to pander to the needs of Indian consum-
Global strategies are a strict no for survival in an
ers - all are in a race to impress the Master - “The
Indian market. It is critical to understand the needs
Indian Consumer”. These companies who are mar-
of the regional consumers and to satisfy it, be-
ket leaders in their home countries or in other na-
cause if you don’t someone else would!! BE GLOB-
tions are massaging the needs of the consumers in
AL BUT ACT LOCAL!!
India to grow and prosper. All these above examples clearly point to one thing; all non-indigenous need to succumb to the
Manubhav Goel
demands of the Indian consumer. Being the largest
PGDM 2014-16
emerging market, after China it has a lot of scavenging and hovering done by the global brands to
IMT Ghaziabad
establish their name and business in India.
Creating New In Roads
Creating new channels of communicating their message is not a child's play, however not all together impossible “Watch how an NGO managed to surprise the corporate” 31
MarkMantra May 2015
Ostentatious Sports Ads: Are they hitting the mark?
M
auka ! Mauka" has become one of
brands awareness across the nation. In a country
the most common phrases to be
where "Cricket is a religion and Sachin is God",
used by Indians all over the world
there couldn't be any better channel than sports
during this world cup season. This innovative ad-
entertainment for advertising. With the develop-
vertisement, with the help of social media created
ment of social media marketing, marketers are tar-
a buzz which went viral on the internet. It not only
geting sports fans across the world through related
promoted the sporting event but at the same time, it helped to exponentially improve the brand value of Star Sports. The rivalry between the cricket teams of India and Pakistan and then the subsequent match results gave the right leverage for this advertisement which was viewed by more than a
million people within the initial few days of its launch. This is one of the biggest examples of successful sports ads; and it was for once about sports as well. There are some other famous examples of Sports ads in our country. Sachin Tendulkar's "Boost is the secret of my energy" to Pepsi's "Change the game", marketing campaigns have spread their
media engagements as well. ‘#wont give it back’ is probably one of the best example of World Cup’s currently trending tweets. This enhances the reach and depth of the message and opens it to further discussions in
the various online forums. 32
MarkMantra May 2015 The history of sports marketing goes back to 1979
match (during the over breaks), the advertisers are
when Liverpool entered the field with jerseys bear-
offered an already captured audience who are
ing the logo of Hitachi, the first ever football club
glued to their television sets. This along with the
with sponsored equipment. It has been a long and
popularity of the game has resulted in cricket be-
exciting journey since then and now, where the size of U.S sports market including ticket sales, merchandise and advertisements is expected be to
ing the sport with the highest of investments. Tournaments such as the Indian Premier League have opened further avenues of advertising such as the ‘DLF Maximum’ ‘Citi Moment of Success’, and ‘Karbonn Kamaal Catch’ for events within the game. at $400 billion, this market has grown tremendously. Roger Federer was the highest paid sportsperson with $65 Million per annum in 2013 through sports endorsements. The reach of sports and embedded advertisements have gone into a different level altogether. We all remember the famous 2008 Wimbledon match between Roger Federer and Rafael Nadal which was termed as a clash of the titans by the tennis greats. But apart from tennis we witnessed something else as well. Both were dressed in swooshes of Nike from head to toe prompting the marketers to call it a five-hour long Nike commercial valued at a whopping $10.6 million. Cricket is perhaps the best example of a sport that can help advertisers in getting consistent eyeballs. With numer-
ous commercial breaks in a single 33
Big matches such as the India Pakistan during
world cup matches attract huge interest among the masses. That particular match was seen by 288 million people and had a rating of 9.3. The football world cup was viewed by about 909 million people worldwide. It was also responsible for more than 3 billion interactions in Facebook and 672 million messages on Twitter. No matter that advertisers flock towards such events. Add to that the
£5.136billion Sky Sports paid to secure the broadcast rights of the English Premier League. These figures show the reach of sports advertisements and the value that advertisers see in them. Who has been the critical factor in success of these channels? The answer is undoubtedly the sports fans. Christina Miller the General Manager of NBA says that the participation of fans is very critical in sports. The more the engagement of fans, the
MarkMantra May 2015 better they get control and accessibility. The better
greatly valued segment of marketing, there are
the engagement of the fans, the higher they invest
many hidden disadvantages with this channel. The
in the sport. Even consumers of sports brands are
rates that the channels charge could be quite exor-
expecting more entertainment and more sport
bitant which could throw your advertisement
from the brands.
budgets to the wind.
Consider IPL (Indian Premier League), a hyped annual T20 cricket tournament organized by BCCI, which is one of the major examples of sports advertising and the profit it generates. MSM, the official broadcaster of IPL, takes 15 lakhs to advertise a 10 second commercial during the interval between overs in IPL, which is a 30% increase in cost for advertisers as compared to the rates of the previous few editions of IPL. This pricing is only for
For the previously men-
tioned match between India and Pakistan, the broadcasters were charging at Rs 25 lakh per 10 seconds, making it the most expensive advertising opportunity ever in cricket, but one that not many
advertisers would want to miss. But a victory for India over Pakistan and then against South Africa made it even better for the broadcaster who increased the base price even higher. With zillions of people flocking to watch their fa-
the league matches and it will soar for the final matches. Consider one of the franchisees of IPL, the Kolkata Knight Riders (KKR). They have 18 sponsors which is the highest number for any IPL franchise. Franchises normally earn their revenues through these sponsors apart from sale of tickets of their respective matches. To attain a non-jersey partnership with KKR, it costs around Rs. 50 Lakhs which becomes thrice if it is a jersey partnership. These partnerships not only improve the brand value of the sponsored teams but also that of the franchise. The franchise's brand value depends not only on the quality of their game but also the effectiveness of their marketing. The same thing applies to various sport events around the world. More popular is the sport, the higher pay the athlete gets and
vorite sport, the industry seemed to be very lucrative. But with it comes another major risk. The effect of advertisements is closely related to the fortunes of the team that people are supporting.
So, brands that had already committed to advertisement slots would see a huge drop in the viewership. This was the case in the 2007 Cricket world cup in which India had crashed out in the initial stages. This leads to heavy loss of investment in this particular mode of promotion.
the better the brand value a company attains.
While advertising in such high pro-
Though the numbers speaks volumes about sport
file matches, the advertisers need to
advertising being one of the most profitable and
be sure that they have high quality 34
MarkMantra May 2015 advertisements in their kitty which can be trans-
tential consumers in the charged up audience who
ferred to different media as well such as the social
can be enthralled by an interesting advert. But
media. Quality is of utmost importance because
they must also be aware that it is a high risk game
the competition will be tough and inferior quality
and it is imperative to hold their cards close to
could quickly push your brand down against supe-
their chests.
rior advertisements. Being able to scale it up to different channels is also important because, hav-
Suma Prasanth P.
ing visibility across all possible avenues is of high
&
importance for brand recall. This is the reason why all new successful sports campaigns have simulta-
Mathews Mathews
neous campaigns in social media as well.. Thus it can be said that Sports advertising gives
PGDM 2014-16 IIM Indore
one of the most unique value proposition to the advertisers. They have a significant number of po-
Marketing Gyan Programmatic Advertising: Programmatic Advertising gives advertisers a more intelligent way to connect with consumers on a one to one basis. This marketing technology automates the buying and selling of online advertising, delivering stronger business performance for brands. To know more about “The New Kid In The Block” in the digital marketing click on link in the picture.
For more on Digital Marketing continue to our “Featured Article” under the new Mark Mantra Legacy Section …..
35
MarkMantra May 2015
About the Author
Sidharth Nanda Account optimizer at Google(2013 till present) Editor –in-Chief ,Mark Mantra (2011-13)
Digital Marketing “We
want to know what consumers are lo“We want to know what consumers are looking for, what their values are, and how can we meet their needs. It’s not just about Big Data; it’s about translating that into the truth.” — Gayle Fuguitt, President and CEO of the Advertising Research Foundation 36
MarkMantra May 2015
I
n the 5 seconds that you took to read the
well that organization is able to adapt to digital
quote above, there were over 23,000 searches
media. From social networks to smartphones to
made on Google, over 11,000 hours of videos
online videos, the digital tools available today inte-
watched on Youtube, over 8000 apps downloaded,
grate with all other forms of communications and
over 200 items purchased on Amazon and over
make it possible for consumers to interact on a
200000 likes on Facebook.
global scale. As a result, regardless of your busi-
The reason I just bombarded you with these numbers is to give you an idea of the seemingly astronomical proportions of the online world - a uni-
verse in it’s own right - teeming with people and
ness's industry or size, it is imperative that you learn how to leverage the ability of consumers to interact and engage with your brand, with your company and with the service you deliver.
places and evolving constantly, and an opportunity
Like any other form of marketing, the world of digi-
we as marketers are adapting to take advantage
tal marketing extends way beyond simple digital
of .Few business functions have been as profound-
advertising to reach the right consumer at the right
ly affected by digitization as marketing. Armed to
place at the right time with the right offer. It encompasses the pre-work of collating the data to determine all the “right” points mentioned above, delivering the perfect personalized consumer expe-
rience and then the post-work of using all data gathered to improve next time. Many businesses find the sheer number of digital marketing choices to be daunting. As a result, it can be difficult the teeth with a variety of tools at their disposal, it’s no longer just consumers who demand a better
shopping experience, but also marketers today who, with advances in technology, have the opportunity to do things that could be termed science fiction a few decades ago. Planning a digital marketing strategy is essential to getting ahead of the competition. The ability of a business to thrive in today's
economy is based on how 37
to
determine
where to even begin. One of the
biggest
mistakes that many
busi-
nesses make, particularly small businesses, is trying to do it all. Between YouTube, Twitter, Facebook, and other digital tools, the choices are overwhelming. Even worse, many companies attempt to set up a specific team
MarkMantra May 2015 to handle each tool. The right digital marketing tool
can help your company to expand your marketing efforts, and even save time and money.
with their customer.
Programmatic – The Industrial Revolution of the Digital World
As an industry that moves at a pace unlike any other, digital marketing has seen some massive changes knocking at its door recently, most notably of which are:
No use having personalized ads if the process of delivering them is so cumbersome, that by the time your ad is ready the consumer has moved on to a new product. Enter Programmatic, the new
Mobility - Up close and personal Marketers today want to cut through the plethora of generic advertisements and so are looking for getting as much data as they can collect about you, your behavior, your interests etc. so that they can customize their messaging. Spearheading this massive phenomenon is the humble smartphone that you have with you right now, that knows you better
than you yourself. Imagine yourself browsing through some new shoes on your mobile, and as you walk past the sellers store, an ad pops up announcing a 20% discount on the exact shoes you’ve been looking for. That’s the kind of personalization we’re talking about. Then there’s the issue of convenience for store-based retailers even. From checking stock availability to
and upcoming hip kid on the block, which basically
means the process of using technology and software to purchase ad inventory as opposed to the traditional process involving salespeople, RFPs etc. In our current scenario, the software can use multiple ingredients like data-feeds, weather reports, your current location, past purchase behavior, CRM data, availability and what not to figure out
whether you’re the perfect consumer at that point for the shoes and then message accordingly. Handling ad spend of over $10 billion (USA figures) a year and set to grow at over 100% YoY, programmatic is definitely the key buzzword in the digital marketing space for a long time to come.
Attribution - Connecting the Dots
queue busting, to create customized in-store terminals, kiosks and digital displays, technology has the power to enrich bricks and mortar shopping, while making life easier for retail staff. As marketers get more savvy, expect more of such things to happen in the future.
After the shoe is finally sold and the marketer has the money in his hands, he still needs to know whether it was the ad that actually pushed the consumer to make the purchase, without which he wouldn’t have a clue as to
And while we’re on the topic, here’s a collection of
where he should be di-
some of the most spectacular ideas the human
recting his marketing in-
mind conjured up to use smartphones to engage 38
MarkMantra May 2015 vestment. But with the consumer purchase cycle
ing the goals you want to achieve, then selecting a
crisscrossing through multiple paths, marketers
digital marketing strategy that will help you to
face a huge challenge in linking the cause and
reach both your target audience and goals. For in-
effect. Had the customer bought from their store
stance, are you attempting to reach new custom-
before…which device was he using…was this the
ers? Are you looking to gain insight into your cur-
first ad he saw…was the discount helpful…and so
rent customer base? Do you have a new product
on and so forth. Knowing the purchase paths can
or service to launch? Once you have that in place,
help marketers optimize their budget allocation.
the path ahead becomes much clearer as you
Great strides have been made in this path to get
begin to understand which online channels to lev-
data to talk to each other, with the industry mov-
erage.
ing towards a cookie-less world. Only then will the digital and marketing engine start to hum efficiently rather than stutter as it does currently. And that’s just the tip of the iceberg. In the future, expect advertisers to take advantage of seemingly “magical” technology, such as Augmented Reality, Robotics etc. into account while collecting data about your likes, interests constantly in order to deliver the perfect consumer experience. Digital marketing is becoming increasingly important to business strategies with 80% of companies plan to increase their digital marketing budgets over the
Don’t believe me? Here, have a look at one of the most successful viral marketing campaigns that was conducted way before the internet itself went mainstream. With so many options, it is easy for a business to get caught up in the technology hype. This is certainly understandable with so much news, almost a weekly basis, about the latest digital marketing tools. Simply jumping on the latest digital marketing bandwagon to conform is not the key to success.
next 12 to 18 months, with 32% of those planning
Don’t be afraid to take risks, try out new channels,
to increase it by 10-15%.
but don’t go overboard either. While it’s good to
Remember, you can throw in all the money you want, but in the end, it all boils down to how detailed your battle plan is. Create a game plan for promoting yourself online and stick to it. Without the right strategy, you are simply wasting resources. The key is to begin by developing an understanding of your customers, identify-
39
dream of having a big integrated customer data
warehouse one day, it can take years to push through organizational impediments and put it together. Being online gives you a brilliant chance to engage with your audience, so do not hold back if you get a chance to talk to them.
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