Thursday, September 29, 2011

Tata Aria : Luxury That Thrills

Brand : Aria
Company : Tata Motors

Brand Analysis Count : # 500

Game Changer, New Breed, Super Luxury, Most Awaited, Eagerly Awaited, Flagship ... These were the terms that were used during the much publicized launch of Tata Motor's luxury offering - Tata Aria. Aria was launched in 2010 - touted as the most luxurious, sophisticated and most expensive offering from Tata Motors in the passenger vehicle segment. After a year of the launch, Aria is struggling to reach the position where the brand expected it would be. 

Tata Aria was publicized as India's first 4x4 Crossover. Crossovers are those vehicles that combine the attribute of cars and SUVs. Tata motors aimed to create a new segment of luxury crossovers with the launch of Aria. Tata Motors has been trying hard to create new niches in the Indian automobile market the last attempt was through the brand Tata Xenon.

Tata Aria which was expected to create new market and a new image for Tata Motors however is now struggling hard to create volumes. According to news reports, the brand is finding it difficult to convert the interest  and good reviews to sales. 
Tata Aria was launched with an expensive price tag of Rs 12 -15.5 Lakh making it the most expensive model from Tata's brand portfolio ( excluding JLR). To compensate for the high price tag, Aria came with many features, attributes and gadgets which was available only in super luxury segments. Many gadgets was even not present in those expensive sedans. But even with this heavy loading of features and goodies, consumers were reluctant to accept the high price tag.

Blame it on the Positioning.

It is easy to put the blame on the pricing strategy of Tata Aria. There are critics who argue that Aria could have priced at around Rs 10 lakh and  blazed the sales chart. To a certain extent the argument has lot of validity. But I feel that more than the pricing , there is a larger issue of positioning. Not only with regard to Aria, but it points out to the luxury foray of Tata Motors as a corporate brand.
First let us look at the positioning issue. Tata Aria wanted to position itself as a pioneer of a new category - a Crossover between a sedan and an SUV. 
Positioning theory talks about Points of Parity and Points of Difference as the two main focal points of positioning process.Marketers use Points of Parity to establish a membership in a category and also to establish parity with competitors. For brand launches in existing product category, category membership is automatically established because of similarity in product form, pricing, attributes etc. For example a new soap brand need not establish category membership since consumers know that the brand belongs to soap category just by seeing the product. Category Points of Parity is important for "really new products" where consumers are not able to connect any existing category to the new product. In such cases, marketers try to tell the consumers that the new product is related to an existing product category. 

Here Tata Motors failed to understand the perceived points of parity of Tata Aria with brands like Innova and Xylo. It is obvious to any person that Tata Aria looks very very similar to Toyota Innova which is the market leader in the premium Multi-Utility Vehicle segment. So just by looking at Aria, consumers establish its membership in the MUV category of Innova. Whether Tata Motors likes it or not, Aria's category membership is with Innova and not as a crossover. 

What Tata Aria did was to ignore this obvious similarities with an existing category products and tried to establish a new category which it called a Crossover. The brand wanted to use breakaway positioning strategy where by Aria will be positioned as a new category vehicle different from the existing category of MUVs. 
The first launch campaign was expected to identify Tata Aria with the new category - Crossover
Watch the ad here : Tata Aria Crossover 

For a brand that aims to create a new category that too a luxury one, the launch campaign failed miserably to communicate the concept of a new category. A sedan and an SUV colliding ( mating) to form Tata Aria  crossover was too basic , too amateurish communication strategy. The brand initially had the tagline " A New Breed ". The campaign managers failed to understand that just by labeling the product as a crossover does not make it a crossover. The brand should produce sufficient evidence that it belongs to a new breed. In the case of Aria, the campaigns failed to provide a significant reason to be called as a new category pioneer.

For any product aiming for breakaway positioning, the acid test is to differentiate itself from the category from which it is moving away. A classic case of breakaway positioning is that of Swatch brand which successfully positioned itself as a fashion accessory rather than a watch brand. For that the brand created strong identity interms of design, price , distribution etc which convinced consumers to consider Swatch as a fashion accessory rather than a watch.
Here there was no significant WOW factor in Aria which made consumer think that Aria belonged to a different category distinct from MUV brands like  Innova. So when consumers checked out the brand Aria, they began to compare it with Toyota Innova. Innova had established itself  as one of the most reliable and comfortable MUV in India. Innova was priced at around Rs 12 lakh. When consumers began to compare Innova and Aria, Aria was perceived to be expensive despite the presence of many new features and attributes. 
Sensing the mood of the market, Tata Motors launched a lower priced version of Tata Aria in the form of a 4x2 variant. The brand priced the product at par with the competitors and launched it with a different positioning. 
Watch the ad here : Tata Aria Spy ad

Here again Tata Aria was unsure about the positioning. The brand discarded its Crossover positioning and began to focus on features. The tagline was changed from " A New Breed " to " Luxury that Thrills". Within one year of launch , the brand had to make significant positioning changes which again proved to be a disadvantage for establishing a consistent brand image. The plot of the repositioning ad which shows foreign models with an unbelievable storyline and an attempt at humor creates a confused positioning to the audience ( my personal opinion). Along with these campaign in TV, the brand also ran a series of print campaigns highlighting the 36 new features of Aria. Those campaigns helped the brand to create a positive image of a fully loaded premium MUV. But the steep pricing dampened the enthusiasm over the features.

If Tata Aria wanted to be perceived as a new category pioneer it should have looked very distinct from the pack. But since it looked exactly similar to Innova, the brand shouldn't have ventured into creating a new category positioning.
The brand had a better chance of survival had it accepted the similarities and competed with Innova using the features and goodies and a competitive price. Still fighting Toyota's reliability is a uphill task but with better value offering, Aria could have raked up enough volume to keep the enthusiasm up in the market. 
If at all the brand Aria wanted to create a crossover category, it should have created a design which had no similarity with any of the existing product categories in the Indian passenger vehicle market.
Tata  Motors always nurtured an ambition to compete in the luxury segment in the Indian automobile market. It tried with brands like Estate, Safari, Manza etc but couldn't find huge success because Tata Motors was perceived to be a value-for-money brand and consumers were never comfortable with paying a premium for Tata cars. 
A radical move for the company can be to create a separate identity and a division which is not endorsed by Tata Motors. Honda , Toyota and Nissan used this strategy successfully for entering the US luxury car market. Honda used Acura, Toyota used Lexus and Nissan used Infiniti as separate brands ( divisions) and found success in the US market. They used this strategy to tide over the perception that Japanese car brands are utility vehicles rather than luxury vehicles.Likewise Tata Motors can create a luxury division which will not have the Value-For-Money baggage of  the parent brand Tata Motors.
I love the Tata brand and always wished that its products met with success. But these brand launches were disappointments because very obvious , fundamentals are overlooked and valuable time and brand equities are lost. But Tata Motors are know for perseverance and resilience. Hope that Aria will clean up the positioning mess and reach its rightful destination.  It needs to redefine its identity by answering this simple question - What exactly is Tata Aria ??

Tuesday, September 27, 2011

Tri-Activ : Anti-Bacterial Protection

Brand : Tri-Activ
Company : Piramal Healthcare

Brand Analysis Count : # 499

Tri-Activ is an anti-bacterial soap from Piramal Healthcare. Piramal Healthcare has been increasingly active in the OTC and personal care space. Tri-Activ was launched in early 2011 and will be competing against the like of Dettol and Lifebuoy. 
Tri-Activ is positioned as an anti-bacterial soap with germ killing property. The brand is claiming to be India's Grade 1 anti-bacterial soap. The brand belongs to medicinal soap category of the Rs 8000 crore toilet soap market.
The medicinal soap/ hand-wash category got lot of attention in the Indian market recently after the outbreak of H1N1 epidemic. Marketers cashed in on the opportunity by scaring the hell out of consumers and presenting their products as the ultimate protectors of humanity against such epidemics. The medicinal personal care products which was a niche category before these outbreaks suddenly began to be a part of the mainstream category. 
It is in this context that the launch of Tri-Active become significant. The brand is a pure medicinal type soap with strong clinical positioning focusing on germs, protection, doctors etc. The brand is currently available only in medical shops further reinforcing its medical positioning. This restricted availability will reduce the scope of sales of such a product .
The brand will be initially looking at consumers who are too worried about getting sick. Over these years , such kind of consumer segment is increasing in size. Despite the economic growth , Indian cities are prone to such outbreaks. Take the case of my state Kerala which boasts about high human development index and 100% literacy, the state is now reeling under frequent outbreaks of epidemics like Dengue fever, H1N1, hepatitis etc. The fear evoking coverage across media about these diseases force the consumers to scramble for whatever protection that they can avail of. Products like Tri-Activ will benefit from this hysteria.

Indian soap market has always accepted these germ killing soaps wholeheartedly. India's largest selling soap Lifebuoy is ruling with its health positioning so is the mega brand Dettol. Tri-Activ will be vying for a respectable position among these big players.
Having said that, the challenges for Tri-Activ are many. First challenge is the distribution. Piramal Group is well known in the pharma market but its distribution expertise in FMCG market is very limited. This may be the reason for Tri-Activ 's initial retail strategy being done through medical stores. To reach the vast Indian market is not that easy and Tri-Activ may have to leverage its strength in pharma segment to fmcg segment and that is not easy. 
Second challenge is the value proposition. Tri-Activ being a specialist is expensive and it will take lot of effort to convince the consumers to accept premiumness of this soap. Consistent brand promotion is key to such convincing and going by the current promotional strategy, Tri-Activ has gone silent after the initial launch campaign.
Tri-Activ with in a few months of launch, introduced a brand extension - liquid hand sanitizer. That was surprising move since the parent brand was not even well established to support an extension. 
The success of Tri-Activ will largely depend on the brand's ability to garner the retailer support and the investment it makes in brand promotion. Infrequent campaigns will not help for such a product if it wants to fight brands like Dettol and Lifebuoy. 
Alternatively Tri-Activ can thrive as a niche brand which is positioned as a specialist. Such brands thrive on positive word of mouth and attracts that segment of consumers who either is affected by problems or are too concerned about health issues. In a highly competitive market like India, such niche strategy often makes more sense than going mainstream.

Monday, September 26, 2011

Benadryl : Triple Action Formula

Brand : Benadryl
Company : Johnson & Johnson

Brand Analysis Count : # 498

Benadryl is one of the most popular cough syrup brands in India. Benadryl have a high brand recall among Indian consumers and at one point in time was the second largest selling cough syrup brand in India. The brand was originally owned by Parke Davis which later got acquired by Pfizer. Pfizer then sold this brand to Johnson & Johnson in 2008.
These ownership changes have affected the brand to a large extent. The brand virtually had no growth in the past few years. There is virtually no news or noise about this brand in the media. 

When the brand was in the fold of Parke Davis, it was a prescription product. In 1999, the brand became an Over-The- Counter (OTC) brand. Benadryl was known as an anti-allergic cough syrup. Benadryl is the brand name for the molecule Diphenhydramine. The product was created by George Rieveschl and was first prescribed in 1946. ( source

The brand had a huge equity in the Indian market. Although most of the cough syrups are prescription products, Indian consumers generally bought these brands over the counter. Most of the sales happen through word of mouth recommendations. Indian consumers have a feeling that consuming cough syrups does not result in any side-effects and hence they buy it without consulting a doctor. This practice has prompted many cough syrup brands to move into the OTC segment. Having said that the largest selling cough syrup brand is Corex which is still sold as a prescription product.

The problem started when Benadryl brand came into Pfizer's product portfolio when Parke Davis was merged with Pfizer. Pfizer owned the market leader Corex . The new owner had the dilemma of having two competing brands under the portfolio. Although technically Benadryl is an OTC and Corex is a prescription product, in effect these brands were cannibalizing each other. The confusion resulted in Pfizer selling this brand to Johnson & Johnson in 2008.
Benadryl was positioned as an anti-allergic cough syrup. The brand talked about a triple-action formula which gave relief to three issues- Cough, Cold and Sneezing. The brand launched several communication highlighting these 1-2-3 action. These campaign was based on the insight that Benadryl was narrowly positioned as a pure cough syrup while in reality cough is the end result of severe cold and sneezing. Benadryl offered relief to the other symptoms also.

Last two to three years, the brand is being virtually silent in the media. Globally Benadryl faced negative publicity for its recall of Benadryl ( for kids). This may be one of the reasons for the brand being silent in the media. The cough syrup market is heavily crowded with both prescription brands and OTC ones. There is a new wave of ayurvedic/herbal cough syrups entering this market. This long silence of Benadryl is going to hurt is position in the market very badly.

Thursday, September 22, 2011

Quco Hair Perfume : For Great Smelling Hair

Brand : Quco
Company : Vini Cosmetics

Brand Analysis Count : # 497

Have you ever thought of buying a perfume specifically for hair ? Were you ever conscious of how your hair smells ? If not, then marketers are out there to make you conscious about how your hair smells. From armpits to hair, perfume/deo brands are indeed expanding their horizon !! 

Quco is a hair perfume brand from Vini Cosmetics. Vini Cosmetics was founded by Mr Darshan Patel who was the co-promoter of Paras Pharmaceuticals. In 2010 , Mr Darshan Patel sold his stake in Paras to start on his own venture. Quco hairspray is one of the many products the company has launched in recent times.

Quco is trying to create a new category of hair perfume in the Indian market. The hair perfume products are virtually unheard of in Indian market and the launch of Quco has created lot of buzz in the market . 

There are lot of ! and ? about the scope of such a product category in India. One of the most important challenge that Quco face is to establish its usefulness in the mind of consumers. The brand is attempting to create a new category. The product is virtually unheard of in the market and consumers are not even aware of the need for a hair perfume spray . So even before establishing the brand, Quco needs to educate the consumers about the need for a nice smelling hair. The brand has launched its campaign in Television and is attempting to create awareness about the need in its first TVC.
Watch the ad here : Quco TVC

There are many factors that influence consumer adoption of new products like Hair Perfume . Some of the factors are Perceived usefulness, Perceived risks , attractiveness etc. The brand has addressed the perceived risk by claiming to be alcohol-free and safe for hair.
The fundamental problem is whether this product category has perceived usefulness in the mind of the consumers. Many consumers are not aware about the " hair smell " and even if they are conscious , the consumers depend on shampoo to handle the problem. Another issue is whether the consumer feels compelled to purchase a specific product to solve this issue. 
Quco will be a niche brand because of the nature of the product. It has to be seen how Indian consumers will warm up to the idea of a perfume for hair. Just like Rexona and Close Up taught Indian consumers about odor, Quco will have to educate and convince consumers about hair smell.Will Indian consumer will find the need strong enough to invest in a new product and use it on a continuous basis. These are the questions which the market will answer in future.

Monday, September 19, 2011

Exo : Anti-bacterial DIshwash Bar

Brand : Exo
Company : Jyothi Laboratories Ltd
Brand Analysis Count :  # 496

Exo is a dishwash brand from Jyothi Labs. Exo is a challenger brand in the Rs 10,000 crore dishwash product category in India. The brand currently focuses on South India and is slowly spreading its wings nationally.
Exo was launched in 2000. The brand was launched as a part of the diversification of JLL whose bread and butter was from a single brand- Ujala. Exo entered a very tough market which was dominated by the market leader Vim.

In competitive strategies, theory talks about various strategies like Frontal Attack, Bye-pass attack etc. Exo chose to attack Vim directly and aggressively. When a competing brand chose to attack the market leader, it needs to have a credible differentiator inorderto compete and succeed. Vim have tremendous brand equity in the market and it is a tough task to fight such a leader.
Exo's marketing strategy is a notable example of successful frontal attack. The brand was able to find a credible and sustainable differentiator against Vim. Exo took the position of an Anti-bacterial dishwash bar to fight Vim. 
Exo was India's first Anti-bacterial dishwash bar.As usual, the poor Keedanu ( germs) was at the receiving end. Exo positioned itself as a dishwash bar that killed all the bacteria in the utensils. The positioning was very smart since Vim was positioned on the basis of cleanliness. 
Exo was innovative in creating an awareness about the possibility of germs in utensils. There was also another smart idea from the brand. In theory, we often say that the differentiator should be relevant, sustainable and not easily copied by competitors. Exo's positioning of anti-bacterial benefit can be easily copied by the competitor . In order to counter this, Exo used an ingredient "Cyclozan " to protect its differentiation. The ingredient brand " Cyclozan " ensured that the differentiation of Anti-bacterial benefit cannot be easily countered.
By launching Exo with anti-bacterial property, Exo created both point of parity and point of difference with Vim. The brand talked about cleanliness thus created parity with Vim and then used Cyclozan to establish point of difference thus creating a powerful position in the mind of the consumers.The results was visible . Exo became the second largest dishwash bar in South India. 
To fight the aggressive attack by Exo, Vim launched its own anti-bacterial variant using neem as the ingredient. 
Exo later went into a brand extension mode by launching Exo dishwash liquid and later Exo Scrub. With the acquisition of Henkel in India by JLL, the fate of Exo dishwash liquid appears bleak since  Henkel's Pril is the market leader in the dishwash liquid market. Exo will now be restricted to only dishwash bar category.
Exo is a brand which is promoted exhaustively by Jyothy labs. The brand has very high share of voice and ads keep on driving the USP of germ-killing property. Since the dishwash bar category is not a high involvement category, the brand had benefited greatly by this share of voice. 
With the acquisition of Pril brand from Henkel, Jyothi labs now have two formidable brands in the dishwash category. Vim now faces the most intensive threat to its leadership position. It will be interesting to watch how the fight will turnout to be.

Thursday, September 15, 2011

McCain : Fresh Banega , Baat Banegi

Corporate Brand : McCain
Company : McCain Foods India Ltd

Brand Analysis Count : # 495

McCain is one of the World's largest frozen foods manufacturers. This Canadian giant is known for its potato based frozen foods. McCain is a leading supplier of potato based items like French fries to leading quick service restaurants like McDonald. This giant has big plans for India.
McCain came to India in 1998. The brand primarily set up shop in India to cater to the  requirement of its major customer- McDonald's. The company started with the import of potato based products later commissioned its first production plant in India in 2007.
Frozen foods is a category in nascent stage in India.The category is now worth Rs 1000 crore including B2B segment. Bulk of this business is contributed by B2B segment which consists of restaurants and fast food joints. Slowly the B2C category is growing and McCain is making all out efforts to tap this segment.

Frozen foods has low penetration due to many reasons. Firstly the consumers are not open to the idea of frozen foods yet. Another major impediment to the growth of this category is the distribution inefficiencies. The lack of freezer space at retailers, supply chain issues , retailer reluctance to stock this product category has created huge issues for marketers trying to create this category. How ever things have changed. Consumers have started to use frozen foods and the presence of large retailers gave the much required supply chain support to this category.
Although McCain started selling its branded products in India since 1998, the effort was largely restricted to BTL activities. The brands like Smiles existed in the market for long but there was not much promotions for the brands. 
It was in 2011 that McCain launched its first TVC in India. 
Watch the TVC here : McCain 
The first commercial set in a typical modern Indian household is aimed at introducing the brand to Indian consumers . The brand did certain research on Indian consumer's mindset regarding  frozen foods found that consumers doubted the freshness of such frozen foods ( common sense !). Frozen foods were often viewed by consumers as 'Old ' stale foods. The brand also found that this impression changed after they tried out these products. So the challenge was to convince the non-users about "freshness " of frozen foods. 
It is a Herculean task for marketers to convince customers that Frozen foods are Fresh.The first ad successfully managed the difficult task of connecting the two attributes which are poles apart - Frozen & Fresh in a very subtle but effective manner. The ad makers used a story telling approach and by including the entire family unit in the ad addressed the concerns of all stakeholders of the family. 
The brand has the tagline " Fresh Banega , Baat Banegi " which emphasis on the freshness aspect. 
Although McCain's competency is in potato based products, the brand has tried to cater to the local tastes of Indian consumers. Its product range includes Indian dishes like Aaloo Tikka etc.The brand surprised the Indian market by introducing Frozen Idli which can be cooked within 3 minutes. The product is still in the market testing phase. The company has now focused on the snack food market and once the consumers are opened to this idea of frozen foods, more products like frozen meals will follow.

One of the best practice of McCain is its keen understanding of Indian consumers. The brand spent lot of time in understanding the market before entering the consumer segment. It strengthened its distribution and ensured retailer support before launching its promotions. The brand also took care of pricing to ensure that the value conscious Indian consumers are not scared away by the high prices. Usually frozen foods are expensive but McCain launched packs at price points like Rs 25 which entices consumers to try it out. Also the firm introduced its products in smaller packs because Indian refrigerators are usually small or have small freezers. The products like Smiles attract young consumers because of the form factor. So on many fronts McCain has put in lot of thoughts and innovation which will yield positive results.

The Frozen Foods category is now having lot of players including Godrej . The changing lifestyle has further strengthen the potential of frozen foods in the Indian market. It will be interesting to see how these players shape this market.

Friday, September 09, 2011

Xpert : Fast Action

Brand : Xpert
Company : Rohit Sufactants  Private Ltd

Brand Analysis Count : # 494

Xpert is a dishwash bar brand from Rohit Surfactants Pvt ltd (RSPL) which is now on an promotional overdrive. The brand is from RSPL  which is famous for its Ghari detergent brand. Ghari literally made the large FMCG MNCs a run for their money. The Ghari brand is infact larger than the HUL's Surf and is the second largest selling detergent brand in the country ( source). 
Xpert was launched in 2006 by RSPL as a part of its diversification. The brand is now competing in the Rs 800 crore utensil cleaner market. The market is dominated by HUL's Vim with a share of around 60%. The market is characterized by one big player and several small players. The nearest rival is Exo diswash bar  and Pril with a share of around 8% each. As history has shown, fighting HUL's Vim for market leadership position is not an easy task but that is the risk that a challenger brand needs to take.

Xpert has chosen celebrity endorsement as a route to attract consumers towards the brand. For this Xpert chose Madhuri Dixit as the celebrity endorser. The brand is currently running a campaign in TV featuring the celebrity.
Watch the ad here : Xpert  
The brand is using its Aquashine formula as the USP and like any other brand , it is talking about quick and easy cleaning. 
The ad is very basic and rather than using  Madhuri Dixit for testimony, the brand chose to use her as Gangu Thai ( a housemaid character in the movie Ganesha) for the campaign. If one has missed the Ganesha movie, the ad plot will be half lost.  
Xpert is priced around Rs 10 for 200 g bar while Vim around Rs 12. Exo is priced at par with Xpert. The brand hopes that the price differential together with celebrity will tilt the consumer choice towards Xpert. This aggressive pricing + promotional strategy is going to affect the smaller brands rather than Vim in the short-term.
What is lacking in the current strategy of Xpert is the absence of a clear differentiator. While Aquashine formula is the USP, the brand fails to communicate what it means and how it is going to benefit . May be in future campaign, these will be explained. Without a powerful differentiator, Xpert may not be able to break into the market of Vim. Exo tried with its aggressive promotions and anti-bacterial properties with limited success. It is very difficult to create a differentiator in a market like dishwash bar and almost all options has been used up by the players.
It will be interesting to see how this high profile attack of Xpert will play out in the future. In the short-term we will see some action in this dull category . 

Wednesday, September 07, 2011

Otto : The Symbol of Success

Brand : OTTO
Company : Pothys Group

Brand Analysis Count : # 493

Otto is the readymade brand from Pothys Group. Pothys is one of the most reputed textile retail group in South India. The brand Pothys is a known name in Silk sarees and commands tremendous brand equity across South India. 

Otto brand of men's wear started off as a private label has now moved to become a brand ( theoretically). The brand which was available at various retail stores in TN has now moved to other markets as well. Advertisements of this brand has began showing in various media across markets other than its core TamilNadu market. 

What is striking about the current campaign of OTTO is its celebrity driven brand strategy. OTTO although was in the market since 1997 is now upping its ante across various markets this season. The brand has roped in the Tamil Superstar Vikram as the brand ambassador. Print ads featuring the star is now running across Kerala where the shopping season has started coinciding with the Onam festival.

Watch the television campaign here : OTTO shirts

First it is one of those rare instances where a retailer upgrades a private label to a brand and puts that brand through other retail outlets.In that way Pothys deserves to be appreciated for the risk it has taken to build a brand in the hyper competitive readymade market. 
Having said that , the brand had fallen prey to the celebrity endorsement trap where more than anything, celebrity over shadowed the brand. It is true that celebrities like film stars command huge respect and credibility in markets like TN, AP etc and the endorsement by a star like Vikram will take the brand to new heights, in the long run it is not a good strategy for the brand.

The brand seems to be heavily depended on Vikram to deliver results. There is no mention of product features, USP, positioning or differentiation. The brand also did not try to leverage the equity of its parent Pothys. By not addressing these critical brand building basics, OTTO has lost valuable opportunity to build an image for itself that would sustain even after the contract with the celebrity is over. The brand name OTTO is a German term meaning Wealthy. 
The brand has chosen a positioning loosely on being a success symbol. The brand has the tagline  " Symbol of Success " and uses the celebrity as the proof. But given the power of the celebrity, OTTO could have done better if it had a proper brand building strategy aimed at long-term. Ideally the brand should have done these things 
  • Identified a strong sustainable USP 
  • Positioning statement 
  • Endorsement by parent brand Pothys
  • Campaign combining product feature + Positioning 
But the current campaign focus on earning short-term brownies riding on the popularity of Vikram.

Saturday, September 03, 2011

Velocit : First Joys of Motherhood

Brand : Velocit
Company: Dr Reddy's

Brand Analysis Count : # 492

Velocit is a unique brand. The product belongs to Rs 1000 crore Indian diagnostic market. Velocit is a Pregnancy Diagnostic Kit launched by Dr Reddy's in 1998. The brand had grown the category and  has built a leadership position in the market.
There has been a significant growth in home diagnostic kits due to the larger incidence of diseases like diabetes, BP etc coupled with increasing awareness among the public about detection and monitoring of such diseases. Doctors also began recommending such home based diagnostic kits which further resulted in the growth of the market. This category of products are called Point of Care ( POC) testing market. POC refers to any testing made outside the traditional testing centers like labs, hospitals etc.

Home pregnancy kits gained popularity in India owing to the convenience and confidentiality it offered regarding testing pregnancy. Gone are the days when pregnancy was guessed with symptoms like Vomiting. Doctors also began advising women to test their doubts using such kits.
Home pregnancy kits like Velocit uses the presence of a hormone called Human Chorionic Gonadotropin in the urine to confirm pregnancy. 

Products like Velocit marketed itself through recommendation from doctors during the launch phase. The ethical route to promotion was adopted since consumers was unsure about the efficacy and accuracy of such products. The emergence of competition and the growth of the category prompted these brands to promote itself aggressively through advertisements.
Velocit started its branding focusing on functional benefits. It was positioned as  "3 Minute Wonder " referring to the speed with which the consumer will get the result. Now Velocit has moved to a higher positioning platform focusing on " First Joys of Motherhood ".  The brand says that the news or confirmation of pregnancy is the first joy of motherhood and the campaign puts the brand right at that first moment of joy.

Watch the ad here : Velocit
The brand also runs a print campaign along the same lines in major women's magazines. This emotional positioning will work well for the brand. The insight behind the " first joy of motherhood " should be appreciated since it strikes a chord with the consumers.
The increased number of competitors has made promotions crucial in category like that of Velocit. Most of the sales happen through word of mouth /referrals. But that WOM should be reinforced and complimented using ATL campaigns. Velocit has done this effectively.