`100
Volume 12 Issue 6 | February 2018
COVER STORY
January 2018
10
Publisher & Editor-in-Chief Annurag Batra Director Amit Agnihotri Director Nawal Ahuja EDITORIAL TEAM
Executive Editor Jyotsna Sharma Contributor Ruhail Amin DESIGN TEAM
Art Director
Shivaji Sengupta
Senior Graphic Designer
Joby Mathew
MARKETING MARKETING TRENDS 2018
Photographers Vilas Kalgutkar (Mumbai) Suresh Gola (Noida) Cover Design
Shivaji Sengupta
AD SALES Runa Sinha (National Business Head) runa.sinha@exchange4media.com - 9810497903
Sneha Walke (VP Special Projects & South Head) sneha@exchange4media.com - 9845541143 Ashish Kudalkar (Regional Manager West - Sales & Business Development) ashish.kudalkar@exchange4media.com - 9820541742
0FFICES
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Vinod Sharma (Delhi) - 9999447209 vinod@exchange4media.com Anandan Nair (Mumbai) - 9819445200 anair@exchange4media.com On News-stands ` 100/www.pitchonnet.com Printed and published by Annurag Batra on behalf of Adsert Web Solutions Pvt Ltd B-20, I-Floor, Sector-57, Noida, Uttar Pradesh - 201301 Printed at All Time Offset Printers, F-406, Sector-63 Noida, Uttar Pradesh - 201 307 An exchange4media Publication
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ELECTRIC VEHICLES
24
POWER
STRUGGLE Vineet J Mehra, MD, DOT
AUTOMOBILE
28
India’s automotive industry well-positioned for growth in 2018
SUSTAINABILITY MARKETING
RESPONSIBLE
BRANDING
22
FASHION 40
UPCOMING TRENDS IN
FASHION MARKETING RAHUL JHAMB, Brand Head, Forever 21
Dr. Sangeeta Mansur
Founder-catalyst, Bhairavi Business Consultancy
ARTIFICIAL INTELLIGENCE
30
PARAG DANI, Business Head, GAP India
INTERVIEW Television and Broadcasting in 2018
HOW
INDIA IS GETTING MORE HANDS ON WITH THE RISING
Avinash Kaul
Sachin Jaiswal
SPORTS MARKETING
AI TECHNOLOGY
MD of A+E Networks, TV18 & President Network18
CEO, Niki.ai
VIEW POINT
SPORTS MARKETING
Amit V.S. Tandon
CEO, Genuus Brand Advisory Pvt. Ltd.
36
AI and chatbots, the future digital spokesperson for companies State of the ‘Art’: How Artificial Intelligence and Virtual Reality are changing conventional businesses
Rohit Malhotra
Business Head India Operations, Barcelos India
GUEST COLUMN
INDIAN AVIATION INDUSTRY IN 2018
Partner, Sportoid
SPORTS MARKETIN
50
Aakrit Vaish,Founder & CEO, HaptikInc
IN 2018
OVERVIEW OF THE
Harish Krishnamachar,
START - UP
THE PRACTITIONER’S VIEW
OPINION
48
34
MARKETING TECHNOLOGY IN 2018
FOOD MARKETING
60
38
Amar Abrol
MD and CEO, AirAsia India
44
Ambika Sharma, Founder & MD,
52
Instappy
IN CONVERSATION
20
CINEMA
54
Samar Singh Shiekhawat Senior Vice President Marketing United Breweries Limited
IN 2018
BOLLYWOOD:
It’s not just about box-office revenue…
Sanjay Bhutani
Managing Director, Bausch & Lomb India
FOOD
FOR THOUGHT Rashmi Daga,
CEO & Founder, FreshMenu.com
46
Music Marketing Trends 2018
56
Beauty Marketing Trends 2018
59
Aparajita Misra, Loudest.in
Arvind RP, VP & Head Marketing-Kaya Ltd. FEBRUARY 2018 | PITCH | 5
EDITOR-IN-CHIEF’S NOTE Dear Brand Builders, In this issue, you will read about top marketing trends developing in 2018. We have complied marketing trends from across industries to give you a complete picture of what marketing will look like in the upcoming year.
abatra@exchange4media.com @anuragbatrayo www.facebook.com/anuragbatrayo
Of all the key trends highlighted in the issue, I believe customer experience will be one of the most important. Customer experience (CX) is a priority for every business and is an aspect that concerns the organisation as a whole. For the CEO, the CMO, and the also CIO, making sure that the customer is having a good experience with your brand is paramount. These days there are a number of new channels available to engage consumers, and add to this the fact that technology is heralding change at an unprecedented pace, which makes businesses better equipped to provide excellent customer experience. According to a recent report by Forrester, the need of the hour is ‘customer obsessed marketing’. Marketers have become quite adept at deciphering and analysing consumer data and as a result they are able to engage consumers much better than ever before. Going forward, in addition to leveraging the power of big data, they will also have to react in real time to create better engagement. However, engagement metrics alone are no longer sufficient in acquiring a consumer. Today consumers are after highly personalised, one –on –one experiences. Marketers will have to anticipate the needs of demanding consumers and provide around the clock services to them. This is where digital technology becomes important, already Chatbots, Augmented Reality and Virtual Reality are being used to give prospective customers a realistic personalised experience. Another way of doing this will be by connecting channels to make sure the customer journey is smooth. It is no longer just about improving a few touchpoints. In fact, the entire journey should be frictionless. Given the importance of good customer experience, the Chief Customer Officer (CCO) who is the liaison between the brand and the consumer will have a central role in the coming years. I hope you enjoy reading about the trends outlined in this issue and find them useful in your practice too. Happy reading and don’t forget to send in your feedback. Warm Regards,
Annurag Batra Chairman & Editor-in-Chief
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Twitterati
Tw
i t a ti ter
EDITOR’S DESK
T
he start of the new year is always exciting. Lessons from the previous year are combined with new ideas, giving us fresh perspectives. This year too will see some interesting new trends that we have captured in this issue. Marketers from across industries have spoken about key trends they feel will take centre stage in 2018.
Jyotsna.sharma@exchange4media.com @jyotsna_off
Facets of Digital technology, and their impact on marketing across different sectors, have been given a lot of attention and rightly so. It is, and will remain a prime area of focus as marketers go digital. 2018 will definitely be a year we will see marketers use digital technology in innovative ways. In addition, to this, I feel sustainable marketing will also be a trend we see becoming important in 2018. The importance of Sustainability has been recognised, and its influence has increased over the past few years across every industry. Globally, companies are restructuring the way they do business in order to integrate sustainable practices in producing goods and services that are environmentally friendly. To attain this, companies have started to integrate sustainability efforts into various areas of their functioning including marketing. When an organisation decides to embrace sustainability a lot of thought and effort goes into the shift. It is an entirely new way of functioning; right from product sourcing and manufacturing to the way they interact with their employees and consumers, everything changes. Sustainability marketing works towards creating brands that are in sync with the environmentally aware consumer. It goes beyond just engagement and profit. The core of sustainability marketing is creating responsible brands. Remember, how Starbucks incorporated green marketing and positioned itself as a responsible brand. They did a number of things towards this end, such as making their packaging eco- friendly / recyclable, and using only ethically sourced and responsibly grown coffee. In addition, they created and participated in green campaigns, such as getting people to trade in their paper cups for reusable mugs, or even giving discounts and free coffee to people bringing in personal reusable tumblers into the store. A fairly recent example would be Tesla taking about moving away from fossil fuels while, major automobile companies are still spending billions on advertising the new features of their cars. 2018 will see only responsible brands being favoured and embraced by consumers. In an increasingly volatile world, both politically and financially, people are gravitating towards those who care. Therefore, going forward, I believe the real the question will be, Do You Care? As a consumer, I urge all brands and marketers to ask themselves this question often. Happy reading and don’t forget to send in your feedback.
Jyotsna Sharma Executive Editor
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MARKETING MARKETING TRENDS 2018
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BY JYOTSNA SHARMA
A
s we begin 2018, let’s examine some key marketing practices that will be at the forefront this year. Given that digital technology has permeated every sector of global business, digital marketing has assumed great importance over the last few years. Marketers and brand builders now invest considerable time and effort in creating effective digital marketing strategies to form meaningful relationships with consumers. 2018 will no doubt see further advancements in digital marketing strategies. In addition to the focus on digital marketing, aspects such as brand purpose and sustainability marketing will play a key role in brand building. Here is a list of marketing modalities that we feel will occupy center stage in 2018:
Sustainable Marketing As a brand if you are wondering about how to connect with your consumers in a more meaningful manner, the answer is Sustainability Marketing. Sustainability Marketing essentially means creating environmental and social investments that result in the consumer believing in the company, and being reassured about his and his future generation’s importance. A 2017 international study by Unilever revealed that a third of consumers (33%) chose to buy from brands they believed were doing social or environmental good. Sustainability Marketing will assume a greater role in 2018 as brands and consumers will both move towards responsible creation and consumption.
70% of emotionally engaged consumers say that
certain brand values—such as being socially responsible and/or environmentally friendly—are important to them-Capgemini Report
FEBRUARY 2018 | PITCH | 11
Sustainable Marketing
“Customer Experience will overtake price and product as the key brand differentiator by the year 2020.� - Walker Consumers will base their buying habits on the experience the brand gives them in the physical as well as the virtual world. A 2017 Forrester report suggested that the biggest challenges for a customer experience program are organizational culture (54%), organizational structures (45%), and processes (41%), all of which are overseen by the CEO. Companies that have the best customer experience always have the CEO involved in the process. Most companies today have a large amount of data regarding their consumers’ preferences and habits, which can be analysed to create better experiences for them. Also, the more personalisation there is the better the experience will be. Better experiences in turn create brand loyalty. We see examples of this in AI (Artificial Intelligence) powered Chatbots, which are used by businesses to provide better customer experience. 12 | PITCH | FEBRUARY 2018
2018 will also see the use of
voice assistance and search
Chatbots
provide conversational marketing (one –on –one conversation), which helps engage customers in a more meaningful fashion and also provides them with just the right information. Another advantage is that these bots help cut down the time a customer spends awaiting an answer from the brand, especially in cases of requests at odd hours.
in a big way. For example, Santander bank in the United Kingdom offers voice assisted banking (voice recognition technology) to enhance consumer experience. 2018 will see brands investing heavily in providing better consumer experiences.
2018 will see brands investing heavily in providing better consumer experiences.
brand 62% loyal consumers
advocate for the brand to their social network – Capgemini
of consumers 81% promote a brand they are loyal to among their family and friends – Capgemini
80%
of emotionally engaged consumers say that price competitiveness, promotions, and instant customer service are important factors when deciding y to which brand to be loyal – Capgemini
81% of consumers are willing to pay for a better experience – Capgemini
FEBRUARY 2018 | PITCH | 13
BIG DATA and AI
(Artificial Intelligence)
Data is a source of knowledge for marketers, it helps them make decisions based on methods that will yield results under various conditions. The key, however, is to be able to analyse this data to get valuable insights that can be applied effectively. The power of big data combined with the advantages of artificial
14 | PITCH | FEBRUARY 2018
intelligence will help large and small businesses understand the evolving needs of the consumer and gain business
intelligence.
Marketers will continue to leverage the power of AI (Artificial Intelligence) and Machine Learning to stay on top of their game. AI will be a marketing enabler (Forrester), that will help understand and serve the consumer better. Given that companies hold a large amount of consumer information, data privacy will be a key theme for the upcoming year. In May 2018, the United Kingdom will adopt the General Data Protection Regulation (GDPR) replacing the Data Protection Act (DPA), which will mean stringent compliances when it comes to handling and storage of personal data.
MOBILE MARKETING In the present day, with the digitally connected world, and rapid advancements in technology, mobile marketing will assume an even greater importance in the coming year. Given the fact that consumers are literally living their entire lives through their mobile phones, brands are developing sophisticated marketing strategies to reach them. The strategies involve the use of push notifications, appbased marketing, Quick Response
(QR) codes, and text messages etc. Through these, brands leverage valuable insights they get about how their consumers engage through their devices, their search habits, their online behaviour, purchase history and even social media engagement.
M-COMMERCE
M-commerce is another aspect that will see considerable growth in the coming year and is projected to become a $250 billion market by 2020, according to a report by Smart Insights. According to a study by payments company Worldpay, m-commerce in India will emerge as the fastest growing sector. The report predicts that the
There are about 8 million apps in the Google Play store, 2.2 million in the Apple App Store, 669K in the Windows Store, and 600K in the Amazon Appstore. - Statista FEBRUARY 2018 | PITCH | 15
A recent Recogn WAT consult Brand App study found that
81% consumers use brand apps and are more likely to make a purchase if they have a satisfactory experience on the app rather than by
watching brand adverts
m-commerce market will make up 45 % of all online sales by 2021. Increase in mobile marketing will give a further impetus to app based marketing, which is increasingly becoming popular among marketers as a method to keep their brand relevant and the consumer engaged. The key to getting a consumer to grant you app space on his phone is to keep the app user-friendly and relevant. There are about 8 million apps in the Google Play store, 2.2 million in the Apple App Store, 669K in the Windows Store, and 600K in the Amazon Appstore. - Statista A recent Recogn WAT consult Brand App study found that 81% consumers use brand apps and are more likely to make a purchase if they have a satisfactory experience on the app rather than by watching
16 | PITCH | FEBRUARY 2018
VIDEO MARKETING brand adverts. Video marketing is another area which will see a boom in 2018. Live streaming will be more popular as compared to prerecorded videos. Short videos will be a popular method of engaging audiences. By 2021 mobile video will account for 78% of all mobile traffic. - Cisco Visual Networking Index (VNI) Global Mobile Data Traffic Forecast Live mobile video would grow 39-fold from 2016 to 2021 and will represent 5 % of total mobile video traffic by 2021- Cisco Visual Networking Index (VNI) Global Mobile Data Traffic Forecast India’s Mobile Video Traffic will Rise 11-Fold By 2021- Cisco Visual Networking Index (VNI) Global Mobile Data Traffic Forecast
By 2021 mobile video will account for 78% of all mobile traffic. - Cisco Visual Networking Index (VNI) Global Mobile Data Traffic Forecast
Live mobile video would grow 39-fold from 2016 to 2021 and will represent 5 % of total mobile video traffic by 2021- Cisco Visual Networking Index (VNI) Global Mobile Data Traffic Forecast
FEBRUARY 2018 | PITCH | 17
BLOCKCHAIN
T
he minute Blockchain is mentioned, people think of Bitcoin. Yes, Bitcoin uses Blockchain technology but Blockchain has many uses other than cryptocurrencies. Blockchain is essentially a digital ledger that can be used to record transactions of value. It allows digital information to be distributed but not copied. It allows for efficiency and trust in transactions. As security and responsible consumption become important globally, Blockchain will be the new tool used by marketers to build brands. Consumers will be able to tell exactly where the product has originated from and the entire process of the product reaching them will be transparent thereby, increasing trust. The worldwide Blockchain technology market is forecast to reach $7.74 billion by 2024. (Grand View Research)
18 | PITCH | FEBRUARY 2018
The worldwide
Blockchain technology market is forecast to reach
$7.74 billion by 2024
INFLUENCERS
Not only will the influencer marketing trend continue but 2018 will see brands managers consulting with influencers early on in their campaigns to bring out the most effective campaigns.
89 % marketers have
found influencer marketing to be eff ective *Top three scenarios wherein marketers have utilised influencer marketing effectively 1. Product launches (56 percent) 2. Content promotion (54 percent) 3. Event promotion (40 percent)
s rketer heir a m 62 % crease t wards in o t o t n n o i a pl cat ers ry allo ial influenc a t e g bud ging soc enga
*Markets have found influencer marketing to be most important towards 1. Authentic storytelling (20 percent) 2. Better reach (18 percent) 3. Connecting with millennials and centennials (18 percent) *Instagram and Facebook are the preferred channels for influencer engagement
Influencer Marketing Highlights - The India Influence Report 2018
FEBRUARY 2018 | PITCH | 19
IN CONVERSATION
SAMAR SINGH SHIEKHAWAT Sr VP Marketing United Breweries Limited
JS: Could you tell me about the challenges the alcohol industry, and more specifically, the beer industry faces? SS: There are several challenges.
One, the industry is heavily regulated and taxed. Second, there is intense involvement of the government. In fact, since it is a state government subject it has been kept out of GST. There are complex regulatory and legislative frameworks that require a certain amount of expertise to deal with. Further, the alcohol industry is struggling for legitimacy in the eyes of the government, and is seen as a soft target; as a result, it is subject to a lot of policy intervention. Also, we have very few outlets. We have only 70,000 outlets selling alcohol in this country whereas, in a city like London alone there are approximately 40,000 outlets. Therefore, accessibility for the consumer is lesser. And this is even more pronounced in terms of beer as it is largely an urban phenomenon in India. Add to this, it is a media target. Alcohol brands are not meant to advertise. There are also challenges from the consumer point of view, in the sense that drinking is not considered the right thing to do. In fact, in India, with a population of 1.3 billion people not more than 200 million people drink alcohol, and perhaps only about a 100 million drink beer. Globally, the beer market is larger than the spirits market. In India, it is the other way around. Here, people consume alcohol largely to get buzzed and beer is an expensive proposition if you are looking to get drunk. Therefore, beer has a premium upmarket image in our country.
JS: What can be done to overcome the challenges faced by the beer industry? SS: When it comes to beer we have two big enablers. One, it is a hot country so we have
20 | PITCH | FEBRUARY 2018
the climate for beer. Secondly, it is a young person’s drink and we have 600 billion people below the age of 30, so essentially, we have the world’s largest youth population. Therefore, we have the demographic dividend for it. The state government should favour beer as a less harmful alcoholic beverage. The number of beer outlets ‘beer only parlours’ can be increased, which would increase revenue for the government. Secondly, the prices of all kinds of alcohol should be kept reasonable. When the prices are high, people resort to consuming more harmful cheaper forms of illicit liquor. This is where GST, transparency of pricing, and uniformity of taxation would help.
JS: How has marketing in this sector evolved over the last few years? SS: I have been in this business
for eight years now, and I am seeing that consumer choice is increasingly playing a role in purchase decisions - consumers ask for beer by the name of the brand. That is not to say that any brand of beer is bad in quality, gone are the days of bad quality beer, all beer is good quality now, but the consumer is buying what’s outside the bottle, and as a result storytelling around beer has improved. There is conversation around beer now. There are many associations and sponsorships, and beer makers are investing in packing, digital programs and content creation. It is becoming much like any other FMCG product marketing. The other factor is that
I am seeing that consumer choice is increasingly playing a role in purchase decisions - consumers ask for beer by the name of the brand. That is not to say that any brand of beer is bad in quality, gone are the days of bad quality beer, all beer is good quality now, but the consumer is buying what’s outside the bottle, and as a result storytelling around beer has improved
the consumer is evolving. Increasingly, we see that people like to visit bars and pubs that provide a similar experience to bars in big cities overseas. Therefore, the marketing for the product has evolved as well.
JS: How is your brand leveraging digital technology to stay connected to the consumer?
SS: I would say we are way ahead of all other alcoholic beverages in terms of leveraging digital technology. Between Heineken and us we control almost 80% of the digital initiatives in the beer business. We have an independent digital team, we do content creation,
produce web series and even seamlessly integrate on-ground and off-ground efforts. Most of our activations now are digitally enabled. We have developed our own application called Pitchers, which is a bar finder. This also has a tie up with Ola and Uber, so one can book a cab back after a night out.
JS: How do you promote responsible drinking?
SS: Good question! It is a big focus for us. In fact, you might have noticed, around New Year’s Eve recently, we advertised ‘enjoy the good times responsibly’ on all the mast heads of the Times of India nationally. This was in partnership with the Times of India CSR initiative. We have a large CSR program,
under which we do a lot of work on primary health, on water conservation, barley cultivation, and also primary education where we partner with government schools providing uniforms, books and other educational aids. This is basically done in the vicinity of our breweries, so in essence we are giving back to the communities. We have an aim to be water neutral by 2030. Essentially, ground water is used to make beer, and we want to give back to the environment the amount of water we use. I have to say we are progressing well in this area. We are also working with truck drivers to encourage responsible drinking by holding workshops and educating them about the perils of irresponsible drinking. FEBRUARY 2018 | PITCH | 21
SUSTAINABILITY MARKETING DR. SANGEETA MANSUR Founder-catalyst Bhairavi Business Consultancy
RESPONSIBLE
BRANDING
P
urpose is fast emerging as an integral part of brand impact. Purpose that goes beyond profit or intent of sales. Purpose as in ‘Big Picture’- that encompasses the triple bottom lines –including society and the planet. Sustainability is suddenly the new USP, and responsibility, the new feather in the cap. The CSR movement is already here, adding to the pace, drawing 2% of profits into doing one’s mandatory bit for the larger good. Trends in branding and trends in sustainable business are converging to convey a common message: Only responsible companies and brands are respected and trusted. Only responsible companies and brands will hence make the cut into the future. Branding today faces challenges of clutter and complexity. Pace of competition is accelerating and trust levels are on a reverse gear. Attention spans are plummeting. Millennials prove to be toughest market segments both as consumers and as employees, not responsive to old ways of wooing. A brand, which was a promise
22 | PITCH | FEBRUARY 2018
earlier, today is expected to be ‘real’. From an ‘image’, it must now become an ‘experience’. Not just an emotional truth any longer, it must prove itself to be a literal truth. More than half of the millennials are willing to pay a premium on responsible brands, says a study. 80% of millennials expect companies to tell their responsibility stories. They even pick and choose responsible companies to work at. Brand communication in the
future will have to sync itself with CSR and sustainability communication, in order to speak in one voice with all stakeholders. New waves are here to ride on or drown under. Companies and brands which recognise this trend early and adapt, take thebull by its horns. GE which makes more than 30% of its revenues from ecoconscious products under its Ecomagination programme, is a classic case in point. Unilever, with its fastest growing brands
coming from its Sustainable Living Plan, is another. There are several others. They exemplify integration of sustainability into products and leveraging brand communication for its success. Clearly the future is in responsible brands. The direction of the shift is from business-as-usual to business-as-it-should be. And the bar is set by not just by consumers but by all stakeholders- employees, investors, communities, civil society, media, and government. Brand communication eventually faces the imperative of having to speak to and make sense to all stakeholders- directly or indirectly, actively or passively. If not all of history, a slice of history offers hints to the future imperatives. Globally and in India, it is the combination and synchronisation of big purpose performance and responsibility communication that have worked for sustained brand impact. Toyota or the Tatas, GE or Wipro, Unilever or Amul, global and Indian sustainable brands have proved relevance, resilience and reliability anchored in responsibility--all of them consistently matching responsible performance with responsibility communication, accruing undebatable levels of long term trust, weathering occasional storms that settle with trust buffers built up over time.
The opportunity lies in designing and nurturing businesses within a ‘big purpose’ context and syncing all communication with it, to connect with and include all stakeholders, in a trustful embrace.
The implications for brands are clear. Future leadership comes from how you perform on triple bottom line (PeoplePlanet-Profits) and how well you communicate it through marketing communication, brand communication, CSR/ Sustainability reporting. Brand impact will be intimately and irreversibly tied up with responsibility. Brands can no longer live in a bubble hoping to draw consumers with emotional hooks, isolating themselves from larger expectations of responsible business. Such bubbles are bound to burst sooner or later. The consequence of noncognisance of the writing on the wall could be a slow and silent dismissal by punitive stakeholders. Or an unfortunate irrelevance which snowballs into a future that insists on multiple bottomlines. The opportunity lies in designing and nurturing businesses within a ‘big purpose’ context and syncing all communication with it, to connect with and include all stakeholders, in a trustful embrace. For those interested in the future, there are successful examples around to watch and learn from, while the myopics stay complacent. FEBRUARY 2018 | PITCH | 23
ELECTRIC VEHICLES
SUSTAINABILITY
POWER
STRUGGLE VINEET J MEHRA, MD, DOT
W
hat some call the electric revolution, I call a power struggle. Traditional forms of producing power - gas, coal and other nonrenewable sources will have a big power struggle with something
24 | PITCH | FEBRUARY 2018
called the ‘battery’, which will come out on top in 2018. The internal combustion engine is facing a watershed moment, major auto makers like Volvo will stop producing IC cars by 2021. Much like India, a number of countries in Europe,
including the United Kingdom, have vowed to ban either their sale or road worthiness by 2030. I believe the move of electric mobility to cargo will be one of the most significant in decades. “Men of big affairs are coming to appreciate more and more the electric wide sphere of usefulness in daily business life. Even a child can run it” so reads the 1912 advertisement from the Electric Vehicle association of America, highlighting the capability of electric cars to drive in any
weather and with no need for the driver to crank the vehicle up before setting off. At that time, electric cars reached a speed of 40km per hour approximately and could not travel far without running out of power. Today electric cars, powered by lithium -ion batteries, have come a long way. One Tesla S model recently travelled more than 1,000 kilometres after being charged once, Tesla will soon be announcing semi-trucks to electrify the cargo industry. Although, I do believe it is unlikely that new electric cars will be ‘one size fits all’, some will be perfectly suited for short journeys in urban areas, while others would be equipped for longer journey and heavier loads. It is believed that cars will most likely be powered by electric batteries whereas, larger vehicles (for more for commercial purposes), will be powered by hydrogen as they won’t be able to get the range with the present
battery technology. This will also reduce polution. Of course, hydrogen is a must watch for 2018. Larger commercial vehicles or lorries could be powered by overhead power cables within the city limits like a tram network however, new infrastructure to install this could be expensive. The upcoming year will be a mixture of plug hybrids and pure electric vehicles and there will be an enormous amount of innovation in this sector. Also, as mentioned by Shell, a patchwork of solutions would be needed for a successful and sustainable transition to a low carbon future. The impetus for energy companies to secure their future is clear, as set out in the world energy outlook in 2017, 100 million electric cars could reduce the oil demand by 1.4 million barrels per day –BP. I believe existing fuel stations should be modified into charging stations with electric retail therapy centres offering
e- conveniences like electronic shopping, collection and delivery of e- commerce orders and also mandatory government services like Aadhaar card issuance, passport renewal etc., all of which the consumer could use while charging their cars. These stations could be manned by veterans of our country. Perhaps, electric vehicle owners can use solar or renewable sources and can be given incentives from the government to sell energy back to the grid at the peak times. The key here would be to make sure that everyday infrastructure allows motorists to recharge and refuel vehicles with speed and convenience, something people today have come to expect.
DOT is a Green Start-up that caters to the delivery needs of various organizations with green logistic solutions. The only company with an electric cargo scooter, they are operating in all major cities of India currently, and by the end of 2018, they will have an International presence as well. By the end of 2018, they plan to have their own EV’s and also a nationwide sales & service network for electric two wheelers and three wheelers.
FEBRUARY 2018 | PITCH | 25
ELECTRIC VEHICLES
SUSTAINABILITY
WHAT IS AN EV?
EV’s convert about
A
80% of the electrical energy
n Electric Vehicle, uses one or more electric traction motors for propulsion. It may be powered through an electricity collector system from off-vehicle sources, or may be self-contained like a battery, solar panel or an electric generator. The need for a greener transport system globally, has moved the technological development for EV’s into high gear. The technology for energy storage system and the offvehicle energy transmission system is upgrading rapidly.
from the grid to power at the wheels. Conventional gasoline vehicles only convert about 20% of the
CURRENT SCENARIO
energy stored in gasoline to power
W
hile we are familiar with the electric locomotive (which has proved safer, faster and economical while saving the environment and also conserving the country’s oil import), electric personal transportation has not yet been adopted by consumers to the extent it should be.
LITHIUM-ION BATTERY
E
lectrical energy storage system, i.e. the Battery was a major speed breaker in EV adoption. Development of the Lithium-ion Battery technology has given the EV industry the boost it needs. Lithium ion batteries have higher energy density, longer life span and higher power density than most other practical batteries. In addition to this, fast charging, low self-discharge, wide operating temperatures attract consumers.
ENERGY EFFICIENT-
at the wheels
EV CHALLENGES Driving range
The range is typically limited to 60 - 120 Kms on a full charge although a few models can go up to 200 - 300 Kms.
Recharge time
Fully recharging the battery pack can take 4 to 8 hours. Even a “fast charge” to 80% capacity can take 30 min.
Battery cost
The large battery packs are expensive and may need to be replaced once in 3 years. DOT is a Green Start-up that caters to the delivery needs of various organizations with green logistic solutions. The only company with an electric cargo scooter, they are operating in all major cities of India currently, and by the end of 2018, they will have an International presence as well. By the end of 2018, they plan to have their own EV’s and also a nationwide sales & service network for electric two wheelers and three wheelers.
26 | PITCH | FEBRUARY 2018
ENVIRONMENT FRIENDLY EV’s emit no
tailpipe pollutants, although the power plant producing the electricity may emit them. Electricity from nuclear, hydro, solar, or wind-powered plants cause no air
pollutants.
PERFORMANCE BENEFITS
Electric motors provide a quiet, smooth operation and strong acceleration. They require less maintenance than
internal combustion engines (ICEs)
REDUCED ENERGY DEPENDENCE Electricity is a domestic energy source.The environmental benefits of plug-in hybrids and electric vehicles increase if they are powered by electricity from ‘green’ sources such as solar,
wind or small-scale hydroelectricity
Bulk & weight-
Battery packs are heavy and take up considerable space. Researchers are working on improved battery technology to increase driving range and reduce charging time, weight, and cost.
REGULATORY PERSPECTIVE: Globally, EV technology is in the development phase. There is a lot of research being conducted in energy storage system and alternative fuel systems. India is yet to set the policy on development of indigenous technology, and also on manufacturing & regulatory guidelines for environmental friendly transportation. India is the second largest populated country and its transportation need is the highest. Given its wide geographical and climatic conditions, it needs different solutions for the same application. The Government should aid in the initial phase of transformation in the form of technology development scheme, SEZ and subsidized charging stations. This will give a boost to the Automobile Industry to move towards environmental friendly transportation needs.
FEBRUARY 2018 | PITCH | 27
AUTOMOBILE
India’s automotive industry well-positioned for growth in 2018 While the Indian industry has much to look forward to, by way of steady growth in both domestic and export markets, there are some clear challenges accompanying the opportunities in greener vehicles and alternative mobility. BY RUHAIL AMIN
T
he Indian automobile industry expects the year 2018 to mark a new high as far as auto sales are concerned. There are many factors that are likely to make this growth story possible. The biggest being the consumer sentiment which has improved
28 | PITCH | FEBRUARY 2018
over time, especially after GST and demonetization cast a brief lull in sales. The Society of Indian Automobile Manufacturers (SIAM) recently predicted sales in the passenger vehicle segment to expand 9% in the year through
March, compared with its initial estimate of 7-9% and the actual growth of 9.23% in fiscal 2017. In calendar year 2017, automakers sold a record 3.22 million cars, utility vehicles and vans in India; with growth of 8.85% which itself was the fastest since 9.8%
volume went down by 1.7 percent in December 2017. On the other hand, demographically and economically, India’s automotive industry is well-positioned for growth in 2018 unlike the global estimates. While the Indian industry has much to look forward to, by way of steady growth in both domestic and export markets, there are some clear challenges accompanying the opportunities in greener vehicles and alternative mobility. In order to capitalize on these opportunities, the industry needs to develop or acquire technologies and capabilities to produce vehicles that meet future market needs. The government for its part has much to do to ensure the growth trends are maintained, and encourage the development of greener vehicles, while also improving compliance to even existing environmental standards.
their share in the promising region. For example Tesla’s entry into the Indian market is all but guaranteed this year. These electric cars are all set to shake up the Indian market despite there not being a high demand for electric cars here yet. Even the upcoming Auto Expo 2018 will see 100 new models being unveiled including 24 confirmed launches across all categories of vehicles.
Promise of Electric Mobility
The automotive industry globally is at the cusp of major transformation. Growing concerns for the environment and energy security clubbed with rapid advancements in technologies for power train electrification, increasing digitalisation, evolution of future technologies and innovative newer business models like shared mobility and everincreasing consumer expectations
ear y r nda akers e l a In c , autom 3.22 7 cord 201 e r a sold on cars i mill
in 2012. In commercial vehicles, Siam is predicting sales to grow 13%, much higher than its initial forecast of 4-6%. It expects sales in two-wheelers to rise 12%, compared with the earlier projection of 9-11% and threewheelers to expand 7%, versus 4-6% previously.
Indian automobile industry defies global trend
IHS Markit Ltd, which provides critical information, analytics and solutions for the major industries and markets that drive economies worldwide, has forecast a slowdown in global light vehicle sales growth after global sales
According to KPMG estimates, current low car penetration in India, rising prosperity and the increasing affordability of private vehicles offer a healthy prognosis for the Indian automotive industry. The companies benefiting most from this evolving landscape will be those who forge judicious alliances and resource-sharing agreements, who prepare for the growing importance of green technologies, and who remain flexible enough to respond to the twin needs of private light transport and mass transport schemes. Given the huge buying potential that Indian market offers, global auto players are going to great lengths to have
are transforming the automotive business. With an ambition to be among the top three in automobile manufacturing by 2026 (as per the Automotive Mission Plan 2016-2026), and to achieve 100 percent pure EV sales in public transport and 40 percent pure EV sales in private transport by 2030, the Indian auto industry has the opportunity of a lifetime to bring out its innovative prowess through pragmatic approaches and win the challenge of this transformational wave. E-mobility is, by far, the greatest opportunity for the Indian industry to participate and emerge amongst the top in the globalised automotive world. FEBRUARY 2018 | PITCH | 29
ARTIFICIAL INTELLIGENCE SACHIN JAISWAL CEO, Niki.ai
HOW
INDIA IS GETTING MORE HANDS ON WITH THE RISING
AI TECHNOLOGY
A
I technologies have started to ring in various new trends in the country, touching both companies as well as consumers. While India has been a late bloomer in terms of AI technologies, the difference that it has already made, and the potential that analysts/ researchers see in it, is huge. Machine learning, a branch of artificial intelligence has added to the possibilities and has brought in significant development in sectors such as, fintech,
30 | PITCH | FEBRUARY 2018
healthtech, ecommerce among various others. A recent research released by Accenture Plc. adds to the anticipation and reveals that AI could add $957 billion, or Rs60,68,150 crore, to the Indian economy by changing the nature of work to create better outcomes for businesses and society. Aggressive players such as AIndra Systems, Brainasoft, Mad Street Den, Morph.ai and Niki.ai. offer huge potential for AI innovation and increased attention to AI in the Indian ecosystem.
As it is with every new technology, there are some who believe in its power, while there are some who oppose it. The case with AI is the same in India as well. While majority of the population seems fascinated with this new technology and its potential, there are few who think it might affect some areas adversely, such as job opportunities. Infosys, a tech giant from India said during its quarterly results release in January 2017 that it has started utilizing AI and due to
A recent research released by Accenture Plc. adds to the anticipation and reveals that AI could add $957 billion, or Rs60,68,150 crore, to the Indian economy by changing the nature of work to create better outcomes for businesses and society. Aggressive players such as AIndra Systems, Brainasoft, Mad Street Den, Morph.ai and Niki.ai. offer huge potential for AI innovation and increased attention to AI in the Indian ecosystem.
the automation they have released 9,000 of their employee workforce. While apprehensions with regards to the AI eating up huge chunks of jobs in India are ablaze, there are many who have realised the other side to it and understood how AI will lead to job creation. Whenever a new technology comes up (we are talking about something as BIG as AI), it automatically demands training, and skill development. We will certainly have new jobs like bot trainer, bot psychologist and bot ethicist. Any sector that will use AI intensively, will need people in new job roles for various fulfillment purposes. So, we see how AI not only will make our lives easy, but also open up new opportunities for one and all.
FEBRUARY 2018 | PITCH | 31
Some major sectors that are expected to witness further noteworthy growth by the AI technology in this year, are: • On-demand service sector: This has been among the top sectors impacted by AI. There have been a multitude of apps today that guarantee on-demand service on chat. But the technology is not actually as easy as it sounds. In it goes, years of experience and understanding of how technology can make things better for both the company as well as the customers. AI has brought in automation in the entire process. If you’re travelling, an AI-powered bot is capable of booking you a cab, bus, hotel, find restaurants to eat at and a lot more, exactly inline with your preferences and exactly how a human agent would do - just faster, more accurate and consistent. That’s precisely what we’re trying to do with Niki. • Healthcare: AI’s most significant aspect is its precision, once it is programmed for a task. AI is widely being used in this sector for data analysis, lab result interpretation, clinical documentation, and for various other purposes. For instance, Google’s Deep Mind and IBM’s Watson have made it easier for doctors/ hospitals to process large amount of data such as patient records, clinical notes, images and treatment plans and carry out pattern recognition in a short time period. • Finance: It is probably the most interesting field to analyse how it has used AI so effectively already and still has an entire journey to unfold ahead. From biggies like national banks to startups that are into fintech space, all are experimenting with AI and are making the best use of it. AI has a lot of use cases in finance - a few being, automation in sectors like insurance, wealth management, lending and more. For instance, the tie up between HDFC Bank and Niki.ai for chatbot banking (HDFC Bank OnChat) turned out to be a massive hit by reaching 160% m-o-m growth for the former in terms of orders. Both the brands are also working on coming up with an automated stock broker as well as insurance agent. • Education: AI in the education sector has enabled schools and colleges to provide a more conducive learning environment, as well as efficient use of existing resources. Some notable AI-led advancements in this field includes, automation of grading, identifying gaps in curriculums, and creative ways to helps student learn better. The recent move by Intel India to collaborate with 40 academic institutions to train developers, students and professors in AI depicts that AI is here to rule the education sector too.
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With everyone so connected now, adoption and advancements are moving ahead at an unforeseen pace. Experts say that ‘spotting the bot’ may become impossible in the coming years. This means that every other tool you use for every task you need to get done, AI will be making it better so subtly that we might not even notice its presence. You fail to notice something that is everywhere, and bots will make it to that stage in the future. If machines truly become intelligent (which is happening), we should be ready to see a world full of efficiency and convenience by 2050. There seems to be no dearth of talent and Innovative minds in India that have shown huge potential in the domain
of Artificial Intelligence. India needs to adopt a deliberate policy which drives and adopts AI beyond IT and consumer goods services. The national education policy must include and make AI a critical component. The government must push policies supporting AI startups and the AI research ecosystem. India should learn from global AI experience and initiate government backed research in this domain to get the desired enhancement in the utilization of AI as an essential, and focused tool for development.
#enbaAwards Proudly Presenting the Distinguished Personalities Associated with
Theme:
Future of News Television in a Multi-Lingual, Multi-Screen Environment
enba 2017 & NEWSNEXT 2018
Name by alphabetical order
SPECIAL ADDRESS
RAJEEV SHUKLA Indian politician, Journalist, Political Commentator Chairman, Indian Premier League
Panel 1
Topic: Digital transformation of News: A Strategic Imperative
DURGA RAGHUNATH CEO, Indian Express Digital Media Services
RAJIV SINGH COO Zee Media
SUPARNA SINGH CEO NDTV Group
Panel 2
VARUN KOHLI CEO iTV Network
VIVEK KHANNA Group CEO, India Today Group
Topic: When Media becomes News
FEB 2018 RADISSON BLU, NOIDA 10:00 AM - 6:30 PM
NAVIKA KUMAR Managing Editor Times Now
SONIA SINGH Editorial Director, NDTV
ZAKKA JACOB Deputy Executive Editor, CNN-IBN
Panel 3 Topic: News Room 2020
RSVP to attend NEWSNEXT 2018 CONFERENCE
Sabita Verma
sabita.verma@exchange4media.com
+91 8585992950
BHUPENDRA CHAUBEY MILIND KHANDEKAR Executive Editor Managing Editor CNN IBN ABP News
SMITA PRAKASH Editor in Chief ANI
SUPRIYA PRASAD Managing Editor Aaj Tak
To be followed by exchange4media
NEWS BROADCASTING AWARDS
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For sponsorship opportuni�es, please contact: Runa Sinha (Na�onal Business Head): +91 9810497903 | runa.sinha@exchange4media.com Sneha Walke (VP - Special Projects & Head-South India): +91 9845541143 | sneha@exchange4media.com FEBRUARY 2018 | PITCH | 33 Ashish Kudalkar (Regional Manager West - Sales & Business Development): +91 9820541742 | ashish.kudalkar@exchange4media.com
VIEW POINT AMIT V.S. TANDON CEO, Genuus Brand Advisory Pvt. Ltd.
MARKETING TECHNOLOGY IN 2018
THE PRACTITIONER’S VIEW
T
he passing year, 2017, had plenty to offer to CMOs seeking to adopt the best in marketing technology. Needless to say, investments made by companies in smart technologies have resulted in an enhanced customer experience and have improved the overall business performance for them. The right implementation of these technologies can result in delighted customers, satisfied channel partners and happy employees. As an enabler and practitioner
34 | PITCH | FEBRUARY 2018
of Marketing Technology in India, here are a few trends that I envisage will drive us to discover more in 2018.
ONLINE CUSTOMER ON-BOARDING GETS SMARTER
There is always one item that is on top of the CMOs ‘must do to grow’ list – to get new customers to experience their products and services within in the least possible time. Competition is severe and the opportunity
available to present their credentials is time bound. A twist on the popular adage of ‘the first impression is the lasting impression’ applies in this case. The best example of instant customer on boarding is what we’ve seen in the Banking sector. With your Aadhaar details you can open a Savings Account within minutes through a series of simple steps on the Bank’s microsite. Some ecommerce and consumer technology companies have managed to crack this by
building a ‘learn as you go’ experience on their web and mobile applications.
The Artificial Intelligence(AI) Iceberg
We’ve been hearing the chatter of chat bots, PAs and seen glimpses of machine learning. 2017 was the tip of the iceberg.2018 offers further exploration of AI in the areas of Assisted
Search, PPC Campaigns, Social Media, Content creation and curation…. the list goes on. AI can also be used to create a great personalized customer onboarding experience.
MARKETING CLOUD, THE BEGINNING OF THE BEGINNING
The marketing cloud is a composite of various components namely a content management platform, ecommerce, analytics and marketing automation. Marketers have complete control
of the marketing processes and are in a position to view results of their actions in real time. Large enterprises have experimented with marketing automation but only some have had a taste of the marketing cloud. Further adoption will happen. Seamless Integration of the components will happen this year to make the marketing cloud agile and scalable.
APPLICATIONS OF AUGMENTED REALITY
2018 will witness the application of Augmented Reality to solve
real problems for consumers and also create personalized experiences. Google is likely to drive possibilities in the space of discovery, communication, ecommerce, utilities and personal wellbeing.
BLOCKHCAIN - NEW KID ON THE BLOCK
Moving beyond cryptocurrencies, Blockchain technology will have a role in marketing technology applications. One place where it fits well is in loyalty. A loyalty platform built on Blockchain technology offers cost efficiencies and is secure.
EMERGENCE OF DATA DRIVEN MARKETING UNITS
With technology as an enabler and investments being made to leverage technology to solve problems, the necessity for a marketing technologist on the marketing team will emerge. The marketing technologist will capture and process data to deliver meaningful insights on campaigns, spends, consumer behaviour, channel performance and more. FEBRUARY 2018 | PITCH | 35
FOOD MARKETING
FOOD MARKETING IN 2018 I
nteresting trends have been seen in the food industry over the last few years. One of our favourites was the Coco Jet by 3D Systems, which debuted in 2015 at the International CES show. Coco Jet is a chocolate 3D printer developed in collaboration with The Hershey Company, which prints custom designs in chocolate and gives consumers a possibility of personalizing their chocolates. Technology has transformed every industry across the globe. In addition to 3D food printing, it continues to be used to connect with consumers to be able to deliver the best customer experience. We caught up with Rohit Malhotra, Business Head, India Operations, Barcelos India to get an idea of the upcoming marketing trends in the food industry.
36 | PITCH | FEBRUARY 2018
Food Marketing Trends 2018 TECHNOLOGY Technology has made an impact in all most every Industry. Hotels and restaurants are leveraging technology to increase their business and customer experience. For example, apps that provide services to consumers like discounts/ deals,delivery, table reservation and data about choice based eateries have become quite popular. Use of apps providing such data will increase in 2018.
REINVENTED OR REDISCOVERED As remakes in the film and fashion industry have become popular so has regional food. An interesting fact though is that regional food is experimented with to create fusion food. Chefs these days, are experimenting a lot more with flavours and paying attention to food presentation, which has become gimmickier than ever before. Indian fusion cuisine is quite popular now; Indian Accent and Masala Library have played a significant role in making it a success not just in India but also in the west. And this trend will see popularity in 2018.
QSR SECTION GROWTH Quick Service Restaurants/cafe both domestic and foreign are likely to grow in number in 2018. Every year, new graduates join the corporate sector and as a result there is more disposable income, which is leading to the growth of such services.
FEBRUARY 2018 | PITCH | 37
OPINION
GUEST COLUMN
OVERVIEW OF THE
INDIAN AVIATION INDUSTRY IN 2018 AMAR ABROL MD and CEO AirAsia India
DEEPAK LAMBA,
CEO, Worldwide Media
T
he aviation industry is poised for a major change this year. From inter connectivity to intra city connectivity, India will receive the much needed tourism boost. The industry will also witness the introduction of commercial sea planes that will bring cities closer together. Cities that could only be reached by road or rail, will also become reachable by air. Old airports will be revived and the country will be better connected. Ultra-low cost carriers (ULCCs) and low cost carriers (LCCs) will battle it out for market share and more regional routes. The scrapping of the 5/20 rule will also drive international connectivity and airlines will no longer need
38 | PITCH | FEBRUARY 2018
to wait for 5 operational years before commencing international operations. The Asia Pacific region is all set to be a key growth region with profits projected to increase by $700million. We believe that ULCCs and LCCs will have the biggest impact on the ASEAN market. The year 2018 will be all about targeted marketing, digitization and connectivity. You’re not interested in socks? You might not see any sock advertisements. But hey! If you open a travel website, you’ll find advertisements for travel related websites across your social media feeds and basically every website you may open. According to a recent finding by Google, people check their phones
150 times per day and spend a little over a minute per session on average. This increased usage opens out numerous opportunities for brands to explore and making the content contextual at the right moment. Brands and marketers are utilizing the existing technology to the maximum to satisfy customers. One-to-one contextual communication will provide new vigor to brands, the role and expectations of AI will continue to expand, data insights will play a role in devising marketing strategies and will be a determining factor into what will happen next. Data driven analytics, AI-supported Chatbots will take centre stage
From inter connectivity to intra city connectivity, India will receive the much needed tourism boost. The industry will also witness the introduction of commercial sea planes that will bring cities closer together
in every marketer’s plan. We may get bombarded with more advertisements, but at least they will be relevant to what we like/ want. Airlines are recognizing that digitization can transform internal operations and logistics, it’s not just about customer satisfaction anymore.Digitization is the key to delivering great flying experiences, but it’s also a top business challenge. We have been talking about technology for almost a decade but a lot of things are finally maturing. Changi Airport has set the bench mark for digitalization in airports with their fully automated T4 terminal. Airlines can provide better end to end experiences while uniting
Airlines can provide better end to end experiences while uniting their teams under a network of connected operations. Digitization makes this possible by bringing in systems that serve as a central hub for better communication their teams under a network of connected operations. Digitization makes this possible by bringing in systems that serve as a central hub for better communication. While the competition in this industry remains fierce, the same competition will drive airline brands to invest in research and development of better technology that can reduce the many problems faced. For eg, if each aircraft was fitted with sensors, airlines will be able to understand the functioning of their aircrafts
and will be able to maintain & repair the aircraft before a serious problem is caused. In simple terms, the sensors can be used to detect failures before they occur. With these dramatic changes taking place more quickly than ever before, they are indicators of what consumers want.
FEBRUARY 2018 | PITCH | 39
FASHION
UPCOMING TRENDS IN
FASHION MARKETING RAHUL JHAMB Brand Head, Forever 21
A
dvanced Technology, artificial intelligence, chatbots, integration, innovation, and personalization will be all the frenzy in fashion marketing in the years ahead.
percent. Just as marketers have optimized content for web 2.0 and mobile, they will start optimizing content for voice search as well and this will give a major boost to the fashion market. At Forever 21, we believe that a
on the trend of brands looking for a helping hand to elevate their digital profile, rewarding themselves the title of “digital influencer”. In the last couple of years, fashion brands and agencies have realized the importance of integrating bloggers
AI will be taking-over website messaging. Marketers have started developing augmentedreality content. Certain devices like Apples iPhone X, have made it clear that they are betting on augmented reality (AR). As these new devices go mainstream, brands will begin experimenting with AR-sponsored branded content. Last year 20 % of online searches were conducted through voice search. By 2020, that number is expected to increase to 50
brand has to offer more than just fashion, it establishes a deeper connection with its consumers. In today’s competitive retail scenario, consumers seek something different, trendy and topical. We strive to create experiences that give choices to people from all walks of life.
into their online communication strategies. Bloggers lend their voice and credibility to enhance brand perception and in most cases, the outcome is seamless, genuine, varied and exciting for consumers. Both the bloggers and the influencers benefit from the surge in page-views, readership and fans owing to the superlative content, so it is a win-win situation for both parties thus enhancing brand value by means of a symbiotic association.
40 | PITCH | FEBRUARY 2018
Influencers in the Fashion World
Fashion bloggers have capitalized
Digital + AI Hardly any industry is impervious to the ongoing artificial intelligence revolution, but fashion and artificial intelligence go hand in hand. It is important for fashion brands to invest in artificial intelligence (AI) to personalize consumer experiences. Application of AI has helped achieve a quick response to customer service inquiries and provide suggestions related to product searches through social media messaging platforms. Thus, it has helped users navigate products online and/or in-store. The fashion industry will only stand to benefit from the mounting application of AI
Enhancing customer experience As a fast fashion brand for youngsters, digital is the most significant part of our marketing mix. We strategically use digital tools, to build an engaging relationship with our consumers online. It gives us real-time feedback which we internalize to help improve our offering and enhance overall customer engagement. Our recent association with the international YouTube sensation Vidya Vox gave us the opportunity to connect with the right target audience through her music. Popular for her ingenious mash-ups and collaborations with leading artists, Vidya Vox is a global name, with more than 3.5 million subscribers
on her channel. With a follower of over a million fans on social media, she instantly struck a chord with our brand. We were very happy to partner with Vidya Vox, given her popularity amongst our target audience. In addition, we were the title sponsors of Vidya Vox’s ‘Kuthu Fire’ six-city musical-concert tour, which was an event organized by Mirchi Live, where our fans got an unique opportunity to engage and interact with the sensational singer not only at her concerts but also at select Forever 21 stores. Our association went far and beyond just logo placements and had 360-degree integration with a lucky draw in-store, a chance to meet Vidya Vox and also fashion show preceding a concert in every city. FEBRUARY 2018 | PITCH | 41
FASHION
PARAG DANI, Business Head, GAP India
Influencers in the Fashion World Gap has pioneered and is championing those who embody our voice, be it in India, or globally. We have engaged with influencers who are mainstream, have a persona, and an opinion, or language of their own. We focus on our own objectives of audience outreach prior to choosing influencers –what message are they giving out, whom do they talk to, and about what? We are an on-trend, wardrobe essentials brand. We are what you’re most comfortable in, and the choice of whom we work with is reflected in this core –how comfortable and confident are you in showcasing your own sense of style? We work with these guidelines to avoid clichés. the bloggers and the influencers benefit from the surge in page-views, readership and fans owing to the superlative content, so it is a winwin situation for both parties thus enhancing brand value by means of a symbiotic association.
Digital + AI AI (Artificial Intelligence) is the only way to move forward and continue innovating. In a world where customers are increasingly seeking their own tribe, AI helps brands understand what works for the people we want to reach out to. It allows us to go full circle –right from developing the right kind of product to the messaging that works for the consumer.
Enhancing customer experience We constantly listen to customer feedback, and regularly engage
42 | PITCH | JANUARY 2018
with them to understand what’s working and what isn’t. We address key friction areas customers face while shopping namely product availability, and convenience. By ensuring that customers coming into the store always receive the best kind, and width of products and customer service instore. For example, we’re among the few brands that allow customers a no-questions asked exchange policy. Our Omni channel/endless aisle option ensures we’re never out of size for a style, and can have it delivered to you, wherever you want.
#OOHawards
We Welcome our Esteemed Jury Chair for Year 2018!
March 21, 2018 Delhi/NCR
Kanwal Jeet Jawa
MD & CEO
Entry Deadline 31st January Register Today! Associate Partner
Trade Media Partners
Music Community Partner
Business Media Partner
Contact us for more informa�on: Priyanka Singh | priyanka.singh@exchange4media.com | +91 9810839486 Rahul Bhaduri | rahul.bhaduri@exchange4media.com | +91 7838237004 Gagandeep Kapani | gagandeep.kapani@exchange4media.com | +91 9871550553 For Partnerships, Please Contact: Runa Sinha - Na�onal Business Head | runa.sinha@exchange4media.com | +91 9810497903 Ashish Kudalkar - Regional Manager West – Sales & Business Development | ashish.kudalkar@exchange4media.com | +91 9820541742 Sneha Walke - VP Special Projects & South Head | sneha@exchange4media.com | +91 9845541143
OPINION
GUEST COLUMN
IN 2018 SANJAY BHUTANI Managing Director, Bausch & Lomb India
T
he year 2017 was a rather interesting one in the digital domain and was marked by fundamental changes taking place across social media platforms with the growth of internet penetration. New developments on social media and search platforms such as Google, Facebook, Instagram, Snapchat, and Youtube have changed the way information is consumed. Ephemeral content took center stage where the “Stories” feature was integrated into Instagram and Facebook, who took inspiration from Snapchat. Further, the ease of uploading content and customization boosted adoption and continued usage for Instagram. Marketing approach has significantly changed owing to the next big impact area –i.e., media planning. The erstwhile classical approach of bombarding consumers with information using mass media vehicles such as TV, print and outdoors is slowly but surely losing its sheen. This machine gun approach was built on the belief that maximizing the Ad reach and frequency will eventually catch the intended
44 | PITCH | FEBRUARY 2018
TG audience. However, with the advent of digital marketing, the Sniper targeting method of precisely targeting the audience is becoming more prominent.
Hyper targeting the consumer basis finer cuts or segments is now a firm reality, thanks to social media platforms and SEO/SEM opportunities.
In 2017, India saw an explosion of the internet penetration because of growing free internet access and value for money packages. This never-seen-before phenomenon upped the ante for internet led consumption which brings me to the next big area of impact – the consumer decision cycle. Influencers in the form of bloggers, Instagrammers and Bloggers now play a pivotal role in the consumer decision cycle. Many consumers today actively seek out information, reviews and drive their decisions basis recommendations. This seems to have been replacingthe traditional word of mouth marketing. Brands now see the importance of driving genuine reviews, feedback etc. through established influencers. Lastly, 2017 was also the year where content moved to a dynamic stage with Videos and Gifs taking more prominence than static media. So how does 2018 look for Marketing in India? 1. Traditional mass media to continue to hold a major chunk of media spends: Mass brands will continue to rely on TV, Print etc. to maximize the audience reach. However, digital media is expected to play a bigger role with increase in internet speeds and penetration. 2. Personalization will be the key word as consumers expect more from brands: Consumers now have increased expectations from brands. On demand content, Voice assistants, same-day delivery, and customized content will mean that both B2C and B2B marketers must find innovative ways to delight prospects and customers with nearly instant service. It is no longer about sending a series of emails to a large contact list and expecting to see high engagement rates. Better data as well as personalized messaging will play a key role to ensure the right content reaches the right people and creates more authentic engagement. 3. Influencer marketing remains a useful strategy: Nearly 95% of marketers who use influencer marketing strategy believe it is
Instagram is growing at an incredible pace. In 2017, Instagram announced that approximately 800 million people use the platform each month. Their latest tool, Instagram Stories, became more popular than Snapchat just one year after going live. effective. Brands interested in connecting with prospects via social media will continue to turn to influencer marketing. Influencers create compelling content that appeals to their audiences. Consumers, especially millennials, prefer content that feels less “staged” and more natural. The world of advertising is changing. It is moving toward subtle sponsored content promoted by influencers and micro-influencers. 4. Instagram becomes a key channel to build brand engagement: Instagram is growing at an incredible pace. In 2017, Instagram announced that approximately 800 million people use the platform each month. Their latest tool, Instagram Stories, became more popular than Snapchat just one year after going live. Since consumer brands tend to see better engagement on Instagram than any other social media platform, and because of great advertising controls, Instagram is poised to become the go-to channel for brands interested in social media marketing.
5. Marketers begin developing augmented-reality content: With the release of the iPhone eight and iPhone X, Apple has made it clear that they are betting on augmented reality (AR). As these new devices go mainstream, brands will begin experimenting with ARsponsored and branded content. Thanks to updates from Facebook Messenger, Instagram, Snapchat, LinkedIn, and other platforms, businesses can use augmented reality for advanced word-ofmouth marketing and branding by promoting designs that people can overlay on their private photo and video stories. As augmented technology becomes more accessible, more businesses will be able to expand their marketing strategy to reach new customers and to provide better shopping experiences with AR, and even Virtual Reality. 6. Higher level of tracking consumer journey on digital platforms: Consumers’ digital footprint is getting tracked with a clear objective of driving conversions. Brands today are analyzing and tweaking the consumer journey right from the first exposure on say a Facebook ad to the retargeting on Google Display Network to a Youtube video and then final journey to purchase. The year 2018 will be a much more complex marketing palette to work with. ROI will drive the choice of media as always.However, technology advancements and increased internet penetration will drive marketers to use more of digital media. FEBRUARY 2018 | PITCH | 45
OPINION
GUEST COLUMN
FOOD
FOR THOUGHT
RASHMI DAGA CEO & Founder, FreshMenu.com
I
t’s an exciting time for foodtech start-ups in India. While there are challenges galore, there are enough opportunities for everyone in the market. Ever since its inception, FreshMenu has seen tremendous growth, and the financial year 2016-17 has seen an absolutely impressive increase in revenue. We are core believers in the cloud-kitchen model and it’s been working very well for us. It allows us to have a grip on quality and cost, which helps us meet unit economics. Customer satisfaction is fundamental to our operations, and hence we have a skilled R&D team that consistently comes up with innovative gourmet dishes suited to the Indian palate. Our marketing initiatives aim to delight customers with taste and provide them with an array of interesting experiences connected in some way to our food. Experiential and content marketing are the newest waves which are bound to take the industry by storm. Traditional marketing models will not be adequate for our brand, since most of them focus mainly on
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Experiential marketing is crucial for any e-commerce player as it gives an opportunity to the customer, to touch and feel the product. It also acts as a premise to create a closer bond between the consumer and the brand
acquiring new customers. We have built a very strong and loyal base, since our inception, and a large part of our marketing efforts are channeled towards retaining them. From this perspective, content becomes the hero in our plan. And when the category is as exciting as ours, we have the ability to create very stimulating and diverse content, that we hope would resonate with our
Integrated brand messaging is key to the success of any startup. It should resonate with the brand’s ethos. The approach to marketing should be in alignment with the brand’s end-goals
customers. The launch of our ‘Food For Thought’ magazine was one of our first steps towards achieving that goal. Experiential marketing is crucial for any e-commerce player as it gives an opportunity to the customer, to touch and feel the product. It also acts as a premise to create a closer bond between the consumer and the brand. Taking that into consideration, we launched our first offline outlet at the Bengaluru International Airport in October 2017. The airport restaurant serves as an experience store that brings us closer to our customers who are on the lookout for on-the-go food choices. The airport was the first choice for the brand’s first physical outlet as it gives us the
perfect platform to talk about who we are to an audience that is ever-changing and from all over the world. Reinventing our packaging constantly and being responsive to pop culture and other cultural and social trends; are other marketing channels we use to keep up with consumer sentiment and establish connects. Hence, last year we explored street art design and collaborated with artistes from ‘ST+ART Mumbai’ to design some of our packaging. Consumer response to these specially designed packages were overwhelming. It helped creating a sense of value for our packaging with customers and a relatable brand recall. Most of the ST+ART packing was used in
creative ways by our customers and they shared videos of recycling the packages in various ways on social media. Our menu constantly evolves too. We’ve reinvented old heirloom recipes, curated an Indian Christmas with seasonal specials from across India’s Christian communities and forayed into power grains with a millet-exclusive menu. Trying something new comes naturally to us and drives a lot of our campaigns and experiments with newer menus. Quite simply put, we have driven our brand to be fresh and relevant at all times. A young team and constant evaluation of marketing, content and the food we create, cook and deliver, helps us achieve this. FEBRUARY 2018 | PITCH | 47
SPORTS MARKETING
SPORTS MARKETING HARISH KRISHNAMACHAR HARISH KRISHNAMACHAR,
Partner, Sportoid Sportoid Partner,
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P: What are the trends we can expect in the sports marketing industry in 2018? HK: Easy to say more of the same. That is cricket and the IPL followed by the various leagues that have mushroomed. Having said that, I like to believe that the impact and scale of the media rights deals in cricket will raise the investment levels in cricket and consequently across sports in general. Since all our ROI measures are indexed to cricket and TV viewership, this will make a material impact. As a corollary of the higher costs, there will be a greater demand for accountability and ROI and this will drive professionalism in the sports industry even more. P: How has marketing in this sector evolved over the last few years? HK: There is a significant focus on visibility and very little beyond. If marketers could use a basic distinction between marketing of sport and marketing through sport we would get far better clarity. The evolution that the sector has seen, has been in the area of marketing of sport, not so much in the area of marketing through sport. Outside of the
broadcasters, the sector has stayed primitive in terms of engagement with fans. Most marketers want ‘more of the same’, they are not pushing their agencies to integrate their product with the sport which is unique only to them, and therefore not creating a greater connect with the sport. They are just using media weight to drown the competition. P: How do you provide the best customer experience to your clients? HK: While I wanted to stay away from clichés, the best expression can be in trying to provide “money can’t buy experiences”. Our efforts with clients have been in the area of providing unique ideas and engagement opportunities for the various stake holders that a client may have - from consumers, to trade to internal customers as well. Also, I would like to mention that post event follow-up and analysis is almost as important as the event itself from a marketer’s point of view. We as an agency don’t lose our focus from that part of the task. Also, detailing during the event which at times is camouflaged with the bigness of the news surrounding the association/sponsorship, we as
a group of people try to remain outside this influence and concentrate our energies on the minute details all the time. P: Please tell us about sports sponsorship and how sports other than cricket are being picked up by sponsors? HK: Sponsorship is a business of faith and commitment. Any idea in sport needs gestation time and sustained investment. Most marketers seem to want to take the safe and unquestioned option and stay with the old tried and trusted “TV as a solution for all ills”, the more experimental ones flock to “digital as the new panacea”. Having said that, it is our job as professionals in the sports business to educate clients about sponsorship and its benefits. The story of nothing but cricket is nearly 5 years old and for the past few years sponsorship money has been supporting Kabaddi, Badminton, Wrestling, Hockey, Football and even Poker !Itsup to these sports and the promoters to reinforce the faith that the early sponsors have shown and there is no reason that the share of cricket in sponsorship will not continue to decline.
FEBRUARY 2018 | PITCH | 49
START - UP
AAKRIT VAISH Founder & CEO, HaptikInc
AI and chatbots, the future digital spokesperson for companies Human thinking, it seems, is going out of fashion No, this is not a commentary about driving on Indian roads, but the sheer amount of automation that surrounds us today. Everything around us is getting intuitive, from the automated keyboard which suggests the words we wish to type (or not), to the messages popping up on our screens suggesting nearby gyms just when we seem a bit worried about our expanding waistline! Globally, the chatbot market has seen an explosive growth since 2015, growing at 35% CAGR. It has been adopted rapidly by business organizations, and according to a study by UK based Juniper
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Research, chatbots powered by Artificial Intelligence could save businesses USD 8 billion annually worldwide by 2022. Specifically pertaining to India, AI has the potential to enhance the country’s annual growth rate of GVA by 1.3 percentage points, with a potential to lift the country’s income 15% by 2035, all by itself. By optimizing operations, increasing productivity and handling the menial tasks so that human agents can focus on more important processes, chatbots can enhance an organization’s revenue prospects tremendously. However, one of the most important effects of chatbots and AI have been felt in the B2B and B2C marketing domain. It has been used by a multitude of organizations all over the globe to bring in a different dimension to their initial user engagement level
and handle simple, common user queries that help to conduct fast, positive communication with users. Chatbot based marketing has been the harbinger of a new age of marketing called ‘Conversational Commerce’ through which chatbots, implementing continuous interaction and learning, have been able to generate loyal customers by making each successive conversational experience smoother than the previous one. Today, chatbots have made themselves an essential element of marketing across a variety of industries. Enlisted below are the domains where AI-based chatbots and apps have announced their arrival with aplomb, and will continue to do so in the future, with an aim to transform consumer experience completely.
A Doctor in the pocket
What about a perfect therapist that always listens, never judges, is always accessible and is mostly free? Seems like the ideal agony aunt for your emotional woes? Only, it isn’t a person, but a chatbased AI app called Woebot. Globally, the health sector has been one which has incorporated chatbots in their functioning earnestly. They have realized the immense potential of the Chatbot focused apps to have a positive effect on people, especially those living in inaccessible regions, without easy availability to a medicinal facility. Thousands of health apps have included consultations with doctors or dieticians for free. Built using strong cognitive behavioural theory frameworks, these bots also find themselves equipped enough to facilitate users with assistance on complex emotional problems and therapeutic exercises.
Telling the retail story differently Interactive chatbots and robots have become the new-age face of a business, with large organizations employing them to provide users with a firsthand experience of the future. Post-implementation of AI and chatbots, organizations all over the world have reported an increase in both foot traffic as well as customer purchase behaviour. In fact, Nestle Japan has already employed a 1000 strong fleet of robots, along with chatbot assistance to serve coffee in all of its outlets. From virtual shopping by enlisting preferences and then receiving specific answers to on-demand display of a store’s inventory, AI and Machine learning have paved the way for providing an extremely new-kind of retail experience to users.
Finance solutions
Online payment transactions have become the new style statement, and many new-age NBFCs and banks have started solving customer queries through
chatbots. Chatbots help in complying different tasks such as form filling, documentation submission etc. easily. Bots also collect and maintain a database of each customer and can easily suggest suitable payment periods, credit structures and investment portfolios based on given data.
Determining consumer wardrobes
The extent of chatbots’ influence in our lives can be gauged from the fact that there are apps that can even determine a consumer’s sense of style by helping them to achieve a variety of looks from their existing wardrobe after understanding their tastes and preferences. Governed by the latest fashion styles, such apps even take your local weather into account, so you needn’t sweat out or shiver at the thought of stepping out in style!
The ‘chatbot’smithsmaking the perfect chatbot
In India, businesses are rapidly looking forward to solutions that can help them incorporate chatbots in their operations quickly. Platforms such as Haptik have been inundated with volumes of chatbot requests for businesses belonging to a plethora of industries. In fact, since 2014, the Haptik platform has designed and deployed over a 100 chatbots that handle more than 1.2 million messages daily. They have created chatbots not only for business purposes, but also to generate awareness and provide essential help regarding societal issues, such as cyber security awareness.
Chatbots and AI, the new User Interface While chatbots already use algorithms that learn on their own without a lot of human intervention and start making inferences based on previous patterns, they would still require considerable human intervention to achieve desired results. As the data becomes richer and the algorithms become more mature, however, we will see a lot of improvements in the bot technology and as time goes bots will become smarter on their own. Till then, however, the demand for chatbots will continue to rise, as businesses look to be future ready. An Accenture Report published in December 2017 estimates AI and chatbot’s contribution to the Indian economy at USD 957 billion, which although huge in itself, does not come close to the immense impact they will have in propelling the Indian economy into the ‘Experience Above All’ world of the future.
Haptik is a conversational AI platform. A chatbot platform, it builds applications for consumers, publishers, and enterprises. The company has been at the forefront of the paradigm shift from apps to bots, having worked across various chatbot use cases such as commerce, customer service, utility and lead generation. Haptik’s partners and clients in India include Coca-Cola, HDFC Life, Samsung, Sharekhan, Edelweiss Tokio, Goibibo, Amazon Pay among others. In April 2016, Times Internet led a Series B round of investment in Haptik, making it one of the most well funded independent chatbot companies in the world. FEBRUARY 2018 | PITCH | 51
START - UP
AMBIKA SHARMA, Founder & MD, Instappy
State of the ‘Art’: How Artificial Intelligence and Virtual Reality are changing conventional businesses
T
here’s a thin line between thriving and surviving, and conventional businesses today are tipping more towards the latter. The business landscape has completely changed with digitization, and as we embrace technology in an unprecedented fashion, tomorrow, everything is surely going to be a lot different than it is today. Technologies, including Artificial Intelligence and Virtual Reality, have now grown beyond their definitions and are continuously finding their way into the market with real applications, making conventional processes, approaches, and systems more
of a historical artefact to collect or document, rather than being of any good use in the modern business ecosystem.
How ultramodern technologies are changing the business landscape: Before delving deeper into the topic, something that needs to be understood at the very outset is that new-age technologies aren’t changing the business environment. They already have! Today, things that made little sense in terms of market application before – might it be because of the limited dataset we once had on hand, underdeveloped
Digital platforms have already pushed their offline equivalents to the very edges of the business landscape. Having said that, technologies such Virtual Reality and Augmented Reality might finally deliver the knockout blow to ventures that’ve been shying away from digital means, as they have the potential to completely transform customer experience
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technologies, or the towering cost of technological adoption – are all an active part of our business ecosystem. Artificial Intelligence, for instance, was believed to take a fair share of time before being of any good use to the market. Despite the fact that the technology is yet to acquire its full stature, AI has already started trickling down to the business ecosystem through Machine Learning and Deep Learning technologies. To help the uninitiated, they are the components of Artificial Intelligence that equip IT systems with cognitive learning ability without being explicitly programmed. For some time now,
businesses have relied on sheer instincts of people who spearheaded them. Whether it has been about understanding the market movement, identifying favourable prospects, building strategic roadmaps, management of the human resources, or any other aspect that affects a business, this approach – while being prone to misjudgements – also prevented businesses from going beyond their pre-defined limitations and target markets as well as opportunities that were more lucrative. Business vision has changed, and so have the visionaries, with ultramodern technologies gradually coming to the driver’s seat. These modern marvels are collectively serving as enablers to rise above the constraints and inefficiencies experienced in the prior arrangement. As of now, constant digitization has resulted in the proliferation of data, allowing businesses to leverage new technologies such as Big Data and predictive analysis to understand the feasibility of a project even before it gets kick-started. Moreover, they can identify the developing scenarios beforehand, and opportunities within them, since such systems are able to recognize patterns that fail to meet the eye of some of the most seasoned businesspersons. Digital platforms have already pushed their offline equivalents to the very edges of the business landscape. Having said that, technologies such Virtual Reality and Augmented Reality might
finally deliver the knockout blow to ventures that’ve been shying away from digital means, as they have the potential to completely transform customer experience. With them, prospective customers can be targeted by adopting an experiential approach and building greater trust with regard to the product offering. Let’s take a furniture business as an example. At present, the primary challenge of a majority of customers while purchasing furniture and home décor items is that they’re not able to aptly visualize how a particular product would look in their residential setting. Here, a mobile application with Augmented Reality makes a considerable difference. Augmented Reality, the very same technology that helps social media enthusiasts to stick out a long tongue or wear a tiara on Snapchat and Instagram, can also help model how a new closet will appear in the empty space of a prospective customer’s room. This makes it easy for the buyer to take a better and more informed decision before making the final purchase. As simple as it sounds, this benefits everyone, including big and small furniture shop owners, who have been equipped with the technology to encounter a superior experiential service resulting in relatively higher conversions and greater satisfaction. The application of Augmented Reality per se goes beyond anyone’s imagination. From
helping choose curtains to trying a new hairstyle, from showing how a modified vehicle will look to testing different false ceiling designs, being equipped with this technology gives its proponents a considerable edge over their traditional counterparts. Virtual Reality, a technology that further takes Augmented Reality to another level, can show homebuyers their new abodes, sightseeing experiences to holidaymakers for better trip planning, and facilitate a business conference without spending a buck on travel expenses – all by simply using a smartphone-based application and, perhaps, a VR headset. That’s precisely where businesses of tomorrow, sorry, let that be made factually correct, businesses of today are headed towards. A smartphone app, even in its most basic form, gives a considerable competitive edge to a business besides introducing a round-the-clock customer touchpoint. Businesses can map their customers’ locations and behavioural patterns, which can give them additional insights, and aptly address their target audiences using innovative strategies. The data generated by the application can as well be used in applying data analytics and Big Data for pumping greater efficiency into the business, both online and offline. In as few words as possible, these technologies and their successive adoption make a tangible difference for businesses. Learning is always great, but only not when someone has to learn something the hard way. As businesses continue to succumb because of the growing dynamism in today’s business ecosystem, isn’t it a better option to wield emerging technologies to your benefit rather than yielding to them?
Launched in October, 2015, Instappy is a cloud-based Mobile app creation platform. It allows users to build intuitive, stunning and fully native applications for iOS and Android instantly. FEBRUARY 2018 | PITCH | 53
CINEMA
BOLLYWOOD:
It’s not just about box-office revenue… There are numerous untapped opportunities that co-branded marketing media spends offer as far as Bollywood is concerned and that is helping the industry look beyond the box-office revenues. BY RUHAIL AMIN
T
he Indian film industry is one of the biggest in the world in term of the number of films produced annually. The estimates are between 1500-2000 films in a year which includes Hindi and other regional languages. The collective revenue from these films is estimated to be over $2 billion while the revenue potential is pegged at $10 billion annually. Interestingly, this amount is just a fifth of North America’s gross, despite India’s population being three times larger. It is less than a third the size of China’s industry and even lesser than Japan’s, which has one-tenth the population that India has and far fewer movie screens. While the total revenue from films is yet to realize its full potential, there is however good news as far as revenue from non ticketing sales is concerned. With the total co-branded marketing media spends for Hindi films reaching approximately Rs 100 crore a year in 2017, the Hindi film industry has shown that it holds a big promise besides its box office collections. In December 2017, GroupM’s
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sports and entertainment programming specialist arm ESP Properties shared its insights on the untapped opportunities that co-branded marketing media spends offer as far as Bollywood is concerned. According to this report on film entertainment business, FMCG, apparel and ecommerce are categories are the most active in-film integrations and co-branded associations. Among these three, FMCG tops the brand integration charts. The report suggests that between 2015 and 2017, there was at least one co-branded campaign for FMCG every month and there have been around 13 brands active in this category across genres and films. However, the report added that brand categories or sectors that are warming up to film tie-ups go way beyond fashion and electronics. “The last few years witnessed many small and medium sized brands from confectionery, QSR (quickservice restaurants), alcohol (in a surrogate way) and travel sectors. In the ‘Digital India’ age, expect this pie to have even more slices,” it stated.
It needs to be mentioned that India as a nation attracts a large film audience, given the popularity of the medium. As the film market grows, the audience too has moved from linear, one dimensional advertising to a multi- channel and interactive dialogue with the film and brand communities. To create deeper engagement with the audience, brands and producers are exploring content licensing as an avenue to bring film characters and storylines into true life experiences. In India content licensing is growing at 7.4% year on year, which a higher than developed markets like the USA, UK and Canada The report also points out that in India, marketing budgets for films have grown from 5-6% of production budget to 10-15% — closer to the global average. The report says that globally content licensing is a massive business, although it is in its infancy in India. With the Indian film industry exploring revenue potential beyond the box-office collections, it will be interesting to see how the current year will add to this trend.
MUSIC MARKETING
7 Music Marketing Trends Brands MUST Follow In 2018! BY APARAJITA MISRA, LOUDEST.IN
“Music is kind of the unsung hero of advertising,” says Daniel Jackson, CEO of London-based Cord Worldwide Using music to market your brand is one of the most organic ways to connect with your customers. As creative thinkers, we have to think of new and exciting ways to grab people’s attention every day. Don’t think we know of anyone who doesn’t relate to music? It’s an instant bond that is created between the customer and the brand, where music is the medium. In this article, I’ll be delighted to take you through various trends for music marketing, and happy that I do not have to use international case studies for citing top music marketing campaigns used by various brands. India is getting mature with music marketing. As a matter of fact, the two industries really have been going hand-in-hand for a very long time, it’s time we acknowledge and integrate these key trends into the marketing plans. The artists are chosen for brand promotion usually by personal preferences, not after conscious and complex decisionmaking process. We wonder why that’s the case?
In 2018, Indian brands must follow these 5, unique, creative, lowbudget and high impact marketing trends. Let me 56 | PITCH | FEBRUARY 2018
take you through trends guiding on how to use music in advertising and positioning your brand rightly.
1. Music Community Driven Marketing
Community marketing is a strategy to engage an audience in an active, non-intrusive prospect and customer conversation. As per definition, there are two types of community marketing:
• Organic or natural marketing occurs without
the assistance of the company. Organic marketing is word-of-mouth marketing and is one of the most effective marketing methods
•
Sponsored community marketing is promoted
by the company through activities, such as via investments in music communities, or even social causes and communities.
In 2017, Puma took the lead by supporting the street community via the Suede Gully campaign. While this example fits really well for Content Marketing too, this video travelled places and established Puma amidst the street circuit in India. Music Communities in India are very close-knit. For a brand to connect itself with a music cult can be very favourable to them. For example, associating your brand with rock community, hip-hop, electronica, regional, classical or even Bollywood. Some of the world’s strongest brands were originally built through low-cost communitybased marketing. Nike, Starbucks, and Google are some great examples. Here are reasons why you must focus on music community marketing this year – •
It’s Cost Effective
•
Grows Brand Loyalty
•
Maintains Authenticity
•
Drives Innovation
•
Supports Natural Reinvention
Community marketing both online, and offline has a great potential for your brand to reach the right audiences. In fact, it has proven to be very output driven and will show you great return on your investments.
2. Engaging with Indie Artists It’s always more exciting to be a part of something new and fresh than piggybacking your identity on commercial big names.
This is not only cost-effective but also very powerful. Indian music talent has a large variety of sounds if you partner with the right record label, management company, marketing agency you’ll be surprised at the response you’d start receiving. In 2018, attach yourself to the youth via music marketing. Music marketing in its very nature revolves around influential marketing. There is no better way than amplifying your brand message via music, and independent artists!
What Levis did in 2017, is something marketers must take look at, and is one of the key trends for 2018.
As a part of celebrating the 50th Anniversary of the Original Denim Jacket Levis executed
a phenomenal event hosted at Famous Studios, Mumbai. This indie campaign was curated by the team at Only Much Louder, the indie giant of India. Levis got 50 top musicians to customise their own jackets, visit the levis store to pick up their best outfit, talk about their design to their fan-base and towards the end, perform live to an audience of 2000+ people in Mumbai. The key indie music influencers who were a part of this initiative included
names like Blackstratblues, KavyaTrehan, Prateek Kuhad, Vishal Dadlani, Sidd Coutto, Tejas Menon & MANY more.
3. VIDEO is the only way UP! Content Marketing Is Going To Continue To Be The TOP trend. In 2018, content marketing is about creating interesting content people actually want to engage with. Based on the Dan Digital Report unveiled by Dentsu network, SonyLIV& exchange4media “85% of the Internet user base spends up to 1/4th their waking hours on the Internet. Proliferation of on-demand video content on mobile is overshadowing linear TV viewership. Streaming mobile video content has seen exponential growth in the last two years on the back of 4G
connectivity and cheaper data plans. That video is driving data usage and Internet usage, is no surprise.” We do have a clear winner here, If your company hasn’t invested into engaging interactive video content, then now is the time. A great example is this campaign executed by Mondelz, for Cadbury Dairy Milk Silk, called the #SILKSONG featuring Arman Malik & Shirley Sethia. They rolled out a new music video for its premium chocolate brand – Cadbury Dairy Milk Silk. This video conceptualized by Ogilvy & Mather in collaboration with Balancing Act showcases a rendition of the Silk Jingle by Bollywood singer Armaan Malik and YouTube star Shirley Setia. The Campaign Video reached to total 4M+ viewers across YouTube & Facebook. Prashant Peres said in a statement given to ET Brand Equity “Digital is gradually becoming a lead medium for youth brands and we have seen consumers routinely express their love for our jingle on social media and therefore decided to gratify them with this truly special rendition. We’ve combined the immense popularity of Armaan Malik and Shirley Setia with the mass appeal of the Silk jingle to create some magic. We’re confident that consumers will love the sweet twist added by these artists to their favorite #SilkSong,” he added. To accompany the product update and a refreshed packaging, Mondelez India rolled out its new communication with a digital-first approach. The #SilkSong music has been conceptualized by ace musician Clinton Cerejo. Music x Advertising is where the MAGIC happens!
4.Collaborative Marketing via “Music” in Advertising
Collaborative Marketing, in a nutshell, is the process of sharing resources to increase leads, and influence. Not surprisingly, the Internet has made the option FEBRUARY 2018 | PITCH | 57
MUSIC MARKETING of collaborative marketing easier than ever. Collaboration Marketing is the process of aligning your company’s interests, resources, and marketing muscle with other like-minded companies, in this case, music entities, to accomplish much more than you might be able to do on your own. Pulling the top names together dramatically increases brand recognition, customer value, and customer retention for each.
Example, Brands At Bacardi NH7 Weekender!
We are talking about enhancing and engaging with 50,000+ physical experiences via live concerts and festivals. I was at Bacardi NH7 Weekender 2017, Pune. Starting from Bacardi owning brand equity in music, there are multiple branded stages at this festival. From Jack & Jones stage, Dewars Stage, Breezer Stage, The Bacardi Arena and the other stage by Insider.in. Each stage has a different genre, which a brand attaches itself to. Pulls the right customers, and viewers. It’s incredible. We see multiple youth brands, from similar industries coming together to target the same audience, it’s sort of a healthy competition of multiple brands present there. It brings out a collective strength. You can also open any magazine to 58 | PITCH | FEBRUARY 2018
find collective ads that promote Top Lifestyle Brands, Top Youth Brands, or even Top Live Venues, it’s absolutely similar to that. Only that, collaborative marketing at music properties are more organic, provide a tangible experience, creates brand loyalty and identity.
5. Brand Equity In Music
India is yet to pioneer this one, and we truly believe this is a trend your brand must catch-up to this year. Long-term partnerships where
brands own equity in co-created IPs is what I am talking about here! Music provides not just a personal relationship, but a longterm loyal behavior as well by offering emotions, experiences, exclusivity, and engagement. There is no reason why a brand must not co-create products with music to build a stronger brand. Lassar, Mittal, and Sharma (1995) suggest that consumer brand equity is another reasonable dimension that can be distinguished through five dimensions: appearance, value, social image, trustworthiness, and engagement. A good example for this is Nike running shoes: customers purchase the lifestyle accompanied by a cross-branded iPod enjoying freedom and fresh air in a comfortable and secure way by listening to their favourite music. Personal experiences and wordof-mouth marketing are essential
in this model than other marketing activities.
6. GO, Guerilla!
Guerrilla marketing is an advertisement strategy concept designed for businesses to promote their products or services in an unconventional way with little budget to spend. This involves high energy and imagination focusing on grasping the attention of the public at a more personal and memorable level. There’s nothing better than connecting with your customer this 2018, go the unconventional way via music in Guerilla Marketing. The main idea of guerrilla marketing is that the activities are done exclusively on the streets or other public places, such as shopping centers, parks or beaches with maximum people access so as to attract a bigger audience. Google Pixel &, TINDER are the new ones on the block. Did you catch Camp Tinder at Bacardi NH7 Weekender 2017, Pune? Tinder did a phenomenal campaign organized by OML, at India’s biggest festival, Bacardi NH7 Weekender 2017. There was so much to do in the Tinder experience zone. The installation was extremely engaging, showcased the true nature of the brand’s identity, involved multiple icebreakers. It was a very cozy set-up, kept the audiences going post the main stage show after the festival was over.
7. BIG Data! COLLECT DATA VIA MUSIC MARKETING!
DATA, Data data! EVERYTHING is data! While we see a lot of sponsorship deals done with music festivals, or streaming sites. Ever wondered what it’d do for your brand if you could capture, collect the data of people who attended and streamed on these portals? You could track consumer behavior, demands and there is no way to do this than via fans! Big data is revolutionizing marketing & sales. In marketing, big data is providing insights into which content is the most effective at each stage of a sales cycle.
BEAUTY
BEAUTY MARKETING Trends in 2018 T
he beauty industry is shaped by the ever changing customer. Especially with the increasing digital influence, , beauty users now can pick up popular trends from anywhere across the world and follow it. With this increasing need to stay updated, it is imperative for brands to provide on-trend products and engagement. Skin and Hair care are the biggest categories in the beauty industry. Hence, it becomes important to know the trends that will drive forth the skin and hair care segment in the coming year and also beyond. Below are key trends put together by Arvind RP, VP & Head Marketing – Kaya Limited. •
•
Consumers are increasingly looking for products which are free of certain preservatives and chemicals like paraben and silicone, among others. Brands are replacing these with more friendly ingredients. This trend is expected to only accelerate in time to come, as consumers look out for natural-based ingredients and responsible brands. It is important for brands to be future-ready in terms of ingredients and also be proactive in communicating with the consumers In fact, consumers are expected to demand brands to be more responsible to not only their needs but also to the environment. While globally, there is a small but growing trend towards ”gluten free”, “vegan” options, in the Indian context, consumers would look more closely towards “cruelty- free”, “vegetarian” solutions. There are regulatory-based trends in packaging too. Brands must
example is the Probiotic trend, which is gradually making its way into skincare. Consumers are becoming more curious with probiotic microbes and bacteria, to obtain immediate results. Research has shown using a topical probiotic is beneficial, as it offers a protective shield and triggers the production of natural moisturizers in the skin There are several other examples too, where global trends in product formats could become mainstream in India too. This is where innovation comes in. Brands, backed by a deep understanding of their consumer, should accelerate their innovation efforts towards “new” formats, be it in product or in packaging
look to be more responsible and position themselves in the right space given these trends •
There is an increasing consciousness towards “over-claims”. In India, there is an increasing scrutiny by regulators and judiciary on “exaggerated claims” and resultant expectations by consumers. Brands need to travel this space in a responsible fashion and set consumer expectations with good judgement and responsibility
•
Product formats are fast changing in the Indian context too. One-time use masks are now a very large category in India. Another
•
As much as 30-50% of purchases in this category are likely to be digital influenced by 2020, says one study. The same study says that the online customer spends 2X of that of a offline customers in this category. These are exciting trends. How brands leverage digital to both build brands and influence purchase would be a decisive factor in the years to come
•
Influencers, especially on platforms like Instagram, are playing a major role in helping brands reach out their stories to the masses. With a strong social media presence, these influencers are many a time more relatable than celebrities.
In sum, brands need to be on-top of these trends, build capability, behave responsibly and be digital & influencerforward in the times to come. FEBRUARY 2018 | PITCH | 59
INTERVIEW AVINASH KAUL MD of A+E Networks, TV18 & President Network18
Television and Broadcasting in 2018
JS: Please talk about the upcoming trends in the television and broadcast industry? AK: Currently, the television and broadcasting industry is 183 million households in India. The maximum room from growth is in North India and East India and of them the new households for television will grow in small towns and rural India. However, in these smaller towns the time spent watching television is limited as are the choices. Because of growth in these areas, the bottom of the pyramid becomes relevant for marketers across industries and the media spotlight gets focused on these audiences. Another phenomenon over the last decadehas been that regional news has surpassed Hindi and English news and that is a big change. Going forward these areas are where advertisers will focus. I believe, at one end, there will be a lot more focus on the rural and semi urban areas and at the 60 | PITCH | FEBRUARY 2018
same time, digital will continue to grow especially in the urban areas. So, in India I see both ends of the spectrum growing. A lot of dynamism will happen. Further, last year was a year of trial, many people were experimenting with content and now marketers know what kind of content works best in which geography as they have better ability to target. Investment in content will growand as a result advertisers will grow. A lot more local content will be produced by the digital players as well. For digital, short form content works better on mobiles and that will grow. This I would say could be the landscape as we go forward. JS: Your thoughts on news channels maintaining a balance between credibility and speed? AK: Every news channel strives to do that. It’s a question of resources. right now, we have 163 news channels in India of which the larger groups are sufficiently being able to invest in resources and in making sure that there is no compromise on quality or credibility. Big networks have better newsgathering capabilities and that makes allows for speed. Credibility comes in when you have the ability to decipher the information accurately with proper the checks and balances. Newsgathering technology evolves every few years so you need to be able to invest in it if
you want to be on top of your game. There are a number of smaller fringe players that pop up just before the elections for example, and gradually wind down soon after. This is where such challenges come up. JS: The Rise of OTT, is it here to stay? AK: Yes of course, it is here to stay. But more than that it is important to understand what kind of content are we expecting from it. At the top end of the spectrum we have Netflix and Amazon Prime, their content however, is directed at a small percentage of people. They have good content, which is directed at a niche audience. This is different from traditional broadcasting, as it has to cater to the lowest denominator. Also pricing matters. OTT players can charge what they want depending on their clientele and content. The good part is that at least people are paying for content now. For broadcasters and content creators this is a good development. It is a good thing for the entire industry actually. Eventually, the larger broadcasters will take view of it and really try to expand the base of subscription. Dependence on advertising will go down and subscription will flourish. More money will flow back into content creation. This will benefit artists and production houses too.
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INDIAN MAGAZINE CONGRESS & MAGZIMISE AWARDS NEW DELHI - JANUARY 2018 Magzimise Awards celebrate innovation and creativity across all magazines in India and recognize the efforts of creative agencies, media agencies, publishers and brands that go behind creating these campaigns under two broad categories: Media and Creative. The latest Magzimise Awards honoured campaigns that were executed from 1st November 2016 to 31st October 2017.
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Annurag Batra of BW Businessworld with Sam Balsara, Mohit Ahuja of Droom with the winning Contract Advertising team
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Supreet Singh of Malayala Manorama
Richard Bean of Hearst, Priyadarshi Banerjee of Worldwide Media and Mike Greehan of CueBall Media
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