Showing posts with label Tata. Show all posts
Showing posts with label Tata. Show all posts

Friday, January 15, 2021

Brand Update : Tata Safari is back to Reclaim Your Life

 It's happy news for Tata Safari fans. Tata Motors has decided to relaunch the iconic Tata Safari in a new platform. The brand which created the premium SUV market in India was languishing in the sidelines when the Indian market was gravitating towards SUVs. After 2016, there was no product improvements nor any campaigns. The only saving grace for the brand was that it was chosen by Indian armed forces to replace Maruti Gypsy.

Then Tata Motors did a coup. It began to launch a range of products under a more refined platform. Harrier was launched in the Land Rover platform quickly began to impress the customer with its road presence and refinement. I almost believed that Safari will be silently killed and the new era belonged to new brands. Tata Motors then began its work on a 7 seater SUV which was showcased as a new brand Gravitas. 

But then the twist happened. The 7 seater Harrier was decided to bear the name of Safari. The teaser ad is now on air and what is interesting is that the brand is retaining the tagline Reclaim Your Life. 

The advantage of launching Safari is the immediate adoption by Safari fans. Although many have migrated to other SUVs, still Safari brand commands a lot of traction among the auto-enthusiasts. Since Harrier has already established itself as a reliable machine, Safari will not have to worry about the mechanical issues which were the Achilles heel of the brand in its earlier avatar. 


Tuesday, January 24, 2017

Brand Update : Xenon Updates to Xenon Yodha

Tata Motors launched Xenon in 2008. When the brand was launched, it was positioned as a lifestyle pick-up truck. Nine years down the line, the brand has grounded itself as a pickup truck. Tata Motors has always been thinking ahead of times.In 2008, Xenon was trying to create a new market for urban pickup trucks which are very popular in western world. This was targeting people who owned small businesses or adventurers who would like to travel with a lot of stuff. 

But somehow the market was not warming up to Xenon to the extent which Tata Motors expected. The product is in a niche market. Now suddenly there is a renewed interest in the segment resulting from the launch of Isuzu D-Max pickup truck. The launch of Isuzu may renew a lot of interest in the segment which has very few brands like Mahindra Scorpio Getaway and Xenon.

In terms of branding, what is interesting is that Xenon has become more Desi in the new avatar. The relaunch of Xenon is now as Xenon Yodha. The positioning also has changed from a lifestyle product to a utility vehicle. That is a big shift as far as the brand is concerned. The ad features the brand ambassador Akshay Kumar who now endorses all the commercial vehicles of Tata Motors. 

Another interesting thing is that Isuzu has positioned its D-Max as a lifestyle pickup rather than a utility vehicle. One of the reasons for the slow offtake of this lifestyle pickup truck is the government regulations probably insists that these trucks can only be registered as commercial vehicles. A twin cab pickup truck costs more than 10 lakhs and the value for money proposition does not match up for a non-commercial use. 



Wednesday, January 04, 2017

Tata Hexa : Whatever it Takes

Brand: Hexa
Company: Tata Motors

Brand Analysis: # 572

Tata Aria is dead, Long live Tata Hexa.

The new year will see the resurgent Tata Motors launching the new premium crossover Hexa, replacing Tata Aria. Tata Aria, launched in 2010 failed in the market owing to the steep pricing and positioning problem. Tata Hexa is another attempt by Tata Motors to break into the premium segment with the Tata branding. 

Tata Hexa is also a premium crossover - a category which was created by Aria. However, many customers equate this category to the premium MUV segment and its leader Innova. That was where Aria lost its game. Rather than considering Aria as a mix of car + SUV, consumers compared Aria with Innova, and the equation did not fit. Aria was considered big and difficult to maneuver which often is taken for granted for an SUV and not for an MUV. 

In the new avatar, Hexa looks strikingly similar to Aria which can create perception issue for the brand. Tata Motos has priced Hexa between 12 to 17 Lakhs. The pricing is less than the Innova Crysta. 
In the typical Tata style, the brand is loaded with features and goodies. Hexa also comes in the automatic variant along with other models. 
The brand has started the bookings and launch ad is already in air. Watch the ad here: Hexa Ad
Hexa has the tagline " Whatever it takes ". The tagline has two interpretation by the brand. The first is that the brand has done whatever it takes to bring the best product to the customer. Second is that whatever it takes, the brand performs in various terrains. 
The brand microsite also has the racer Narain Karthikeyan endorsing the brand and taking the visitor through a 360-degree experience of the product.
It will be interesting to see how Hexa will fare in the market. In my view, a lot will depend on the pricing. Tata is yet to be perceived as a premium brand. Also, it cannot match the quality perception of Innova. So if Hexa wants to carve a position in the market, it has to make an offer that a customer cannot refuse. 

Tuesday, December 09, 2014

SKINN : Every Day French Perfumes

Brand : SKINN
Company : Titan Company

Brand Analysis : # 552



Titan Company has forayed into the Rs 2000 crore Indian perfume market with the brand SKINN. This is the first launch from Titan after the company has rebranded itself as  Titan Company. 

The launch of SKINN is a smart move because in my personal opinion, Indian perfume market is at a nascent stage with very little penetration.Business Line puts the penetration at 4%.
SKINN as a brand is launched with an endorsement from Titan. It was wise for Titan not to launch this brand as a sub-brand like Titan SKINN, rather SKINN is launched as an independent brand from the launch itself.

The perfumes are created in India but bottled and imported from France. The brand is positioned as  a " French Perfume".

According to reports, the company did ethnographic studies to understand the preference of Indian consumers towards this product category. French perfume houses Olivier Pescheux of Givaudan developed the men's range and Luc Berriet developed women's range. ( source)

The brand is running their launch campaign. The launch TVC however falls into the " Seduction" genre - which in a way is sad. I expected something different from Titan. Rather than seduction, the brand calls it Passion Ignited. SKINN has the tagline  " Everyday French Perfume for him/her" which is rather an  unimaginative tagline.

Watch  the ad here : launch ad of SKINN

The brands are priced in the range Rs 990  for 50 ml and Rs 1790 for 100 ml which makes it pretty expensive for an average Indian consumer. The brand is said to be targeting the young of the 23-27 age group. 
While there is a definite potential for a brand in the Indian perfume space , I wonder whether the brand has priced itself out of the market. Rs 1800 for a 100 ml makes this brand out of reach for many . At the same time, the brand does not have the equity to compete with the established imported brands. By pricing it aggressively, SKINN has lost an opportunity to be a Masstige brand which could deliver decent volumes. At the same time the premium positioning is not reflected in the launch TVC which somehow pegs the brand in the league of the Seductive Deo brands. So IMHO, it is an opportunity lost for SKINN to capture a fair-share of the growing market. 

Saturday, July 19, 2014

Revotron : The 3 in 1 engine

Brand : Revotron
Company : Tata Motors

Brand Analysis Count : # 544


Revotron is the new hope of Tata Motors. Tata Motors which once was the number 2 in the Indian car market, is now finding it difficult to be in the top 5 thanks to the nagging quality issues coupled with a negative brand perception. This brand is another example of  ingredient branding.

But Tatas are known for its resilience and Revotron is the result of a serious introspection and investment in developing an indigenous petrol engine with global standards. And from the media reports , Tata Motors have managed to live up to the high standards set by itself. And after many years, media has been kind to Tata Motors with a fairly good reviews about the engine performance.

The 1.2 Ltr engine is being promoted heavily by Tata Motors ahead of the launch of the two major new products - Tata Bolt and Zest. The Revotron brand is endorsed by the Indian F1 Racing star Narain Karthikeyan.

Watch the TVC here : Revotron
The USP of the Revotron engine is the 3 driving modes which is usually seen in high end cars. There is a city mode, Eco mode and a Sports mode. For a value-driven brand like Tata Motors, this proposition is a very powerful differentiation.
Platforms and not products are now important to a company's success. For automakers, engines offer the platforms on which many products can be made. Honda has recently demonstrated the power of platform with the diesel IDtec engine.
Tata Motors hope that the better engineered Revotron would help build a better image for the cars produced under it.

Sunday, September 01, 2013

Titan Company : Rebranding to a Lifestyle Brand

Corporate Brand : Titan Company

Brand Analysis # 531

Titan Industries was born in 1985 as a joint-venture between Tata Group and Tamilnadu Industrial Development Corporation. Titan Industries introduced Titan Quartz watches to the Indian market in 1986 and virtually transformed the Indian watch market dominated by the likes of HMT and Allwyn. 

With smart branding and some cool advertisements, Titan Watches quickly became the market leader and had created a strong premium image in the market. Titan Industries later build various brands targeting different segments in the Rs 4000-4200 crore Indian time-wear market ( source : Business Standard)

Titan Industries' brand portfolio consists of 
Fastrack : targeting youngsters
Tanishq : lightweight jewelry 
Sonata.: Low priced
Xylys : premium end

The Titan brand adopts a sub-branding strategy where various sub-brands target various segments in the market. The notable sub-brands are   Titan Raga, Titan Zoop,Titan Edge, Orion, Purple, Obaku, Tycoon, Bandhan, Octane, Automatic and HTSE series. ( source : Titan Website)

Titan Industries also diversified into jewelry with the brand Tanishq and then to eye-wear with Titan Eye+ brands.
This year, Titan Industries decided to rebrand itself as Titan Company Ltd. According to news-reports, the name change was to signify the corporate brand's movement from a watch company to a lifestyle company. The company leaders thought that the term " industries" now is not relevant in the firm's new directions.
The current corporate rebranding of Titan Industries to Titan Company has also given a new logo for the corporate brand. The new brand elements were designed by the famed agency Ray + Keshavan.

The current rebranding has also an interesting offshoot. Now there are two brands - Corporate brand Titan Company with its own logo and the watch brand - Titan with another logo. Newsreports suggest that the watch brand will retain the existing logo and the tagline - Be More. Since the Titan Watch brand is the most recognized and recalled brand, I am not sure how the name change of the corporate brand will help build a lifestyle image. 
Titan Industries started with a single brand- single product company. The initial portfolio strategy was to build a branded house where all the product ( watches ) had the same brand name ( Titan) which incidentally was the corporate brand. The brand architecture was to have sub-brands targeting various segments. This strategy was changed with the introduction of brands like Sonata , Tanishq etc. Fastrack which was launched as a sub-brand later became an individual brand.

Hence over the period of time, Titan Industries' brand portfolio became a mix of House of Brand and Branded House strategy. There were  many individual brands in the portfolio, at the same time bulk of the mid-range watches were endorsed by the corporate brand - Titan. Titan brand was also used to endorse categories like eye-wear .The company also plans to include categories like fragrances in the near future.

With the launch of a logo and name Titan Company, it is to be assumed that the company now wants to develop a corporate brand different from the watch-brand.  The issue here  is that both the brands are the same. 

Confusing isn't it !


Sunday, May 19, 2013

Tata Motors : What ails the brand ?

India's largest automobile company is struggling with its passenger car business. The company which owns best selling ( once upon a time) brands like Indica, Indigo, Safari and the " Iconic" Nano is finding it difficult to sell their cars in a market which is diesel crazy. Isn't it ironic that Tata Motors is not at the top of a market where diesel models are selling like hot cakes ?

I was reading a very critical piece of analysis in Forbes India ( read here) which throws in many pertinent issues. My two cents is that there is a larger issues of marketing in play here. Tata Motors has a big marketing problem and the company is not doing anything on that. It is sad.

Tata Motors virtually changed the Indian passenger car market in 1998 with the launch of Tata Indica. Although Indica faced lot if teething issues , the brand became a trail-blazer creating the diesel car segment which is affordable and durable. But along with the success came the baggage of perception. Indica despite being highly successful was perceived to be a car riddled with nagging problems. The lack of refinement and the not-so-perfect build quality became the hallmark of Tata passenger cars. Consumers accepted those nagging issues because the value offering was so good.

But market began to change with competitors catching up with better quality diesel engines and superior built quality. Tata motors , in my opinion,  was  stuck in the past. Although the company came out with product refinement, it failed to make the quantum leap in changing the perception problem.
Now a time has come where Tata cars are not in the ' choice list ' of the customers. It is a grave problem that needs to be addressed quickly other wise the firm will enter into a league of Ambassadors and Premier Padminis.
 Tata Motors need a new face. The company is desperately trying to improve upon the Indica platform which has a huge perception issue. If the firm wants to get back into the game, it needs a new brand which is distinct from Indica and Vista as a brand has not been effective since it was launched as a sub-brand of Indica. So a new product with a new brand would be the ( expensive) option available for Tata Motors to make a comeback. At the product level, nothing less that a sort of quality revolution is needed to bring consumers back to Tata showrooms. Aria was a leap in terms of built-quality but priced beyond common sense.
The product related drive should be followed by a strong branding campaign for Tata Motors to change the quality perception. This should be  backed by a strong change in attitude of dealers towards Tata Motors ' customers. The dealers still live in the era where there is a beeline of customers for Indica. That attitude needs to be changed and a strong responsive action at the moments of truth touchpoint is needed in this crisis.
Tata Motors need a strong product pipe-line backed by a strategy to change the perception of the market towards its products. This needs to be addressed at the highest level and Tata Motors has the wonderful JLR resource to do this within no time.

Sunday, January 27, 2013

Brand Update : Tata Safari rejuvenates through Storme

Tata Safari  which is in a critical stage of its lifecycle has launched the much awaited Storme recently. The new Storme is a completely updated Safari and is expected to bring back the much desired consumer interest .
Tata Safari which is a true-blood Indian SUV failed to capitalize on its long innings and a hard-core fan following. The brand although came up with some wonderful brand campaigns however failed to address the quality issues that nagged the brand from its earlier days. Safari did not have any big mechanical issues but many customers opined that the brand failed to rise itself to the higher standards of quality that the competitors were delivering. But still there were lovers for the brand because Safari had a character which was unique and appealing to certain customers.

Despite the fact that Safari had a distinct brand character, the marketing minds of Tata Motors failed to address the quality issues which was creating a negative perception among the consumers. The laid-back approach of Tata Motors in addressing the nagging issues of Safari virtually put Safari in  to the sidelines .
Safari also failed to see the changes happening to the SUV market in India. The brand failed to see the rise of more compact SUVs and was less aggressive in addressing competition from Scorpio. The laid-back attitude of the brand owners has virtually made Safari a nominal player in a category which it once pioneered.
Although the brand tried to come out with newer versions, most of the changes were cosmetic rather than a radical one.

The new Safari Storme is reported to be a 100% new vehicle rather than a modified Safari. The entire product has been changed for the better. One can only hope that Storme will change the quality perception that is haunting Tata Motors ever since it ventured in to passenger segment.
What is sad about the new Safari is the promotion. Tata Motors has decided to do away with the " Reclaim Your Life " positioning of Safari. Instead, the brand has the tagline " The Real SUV" which I think has undone what ever brand equity which the earlier campaigns has built.
The new " Real SUV " campaign does not give any power to the brand.The promise should be believed by the consumers. In the new market where all global SUV brands are present, Safari's claim to be the Real SUV is only a joke. I don't understand why and how a brand can just discard a powerful story like " Reclaim your life " .
Watch the new campaign here : Safari Storme
The new tagline is big downer for the brand. The brand suddenly switched to a functional positioning from a highly abstract positioning . This sudden shift may confuse the brand's positioning in future.

Tata Motors should be appreciated for investing in Safari and making it survive for the last 15 years. The brand is now pinning its hope on Storme for delivering results. As a die-hard Safari admirer, I too hope the same.


Monday, November 26, 2012

Brand Update : RIP Tata Tion ( 2009-2011)

Tata Tion- the non-carbonated beverage drink from Tata Beverages has bite the dust. The brand which was derived from tea extracts and the differentiator was the presence of Ginseng which gave the drink a healthy proposition was discontinued merely after one year of existence . 

Although the product had good intentions, consumers gave it a lukewarm reception. Two factors may have affected the life of the brand a) Taste b) Price . Tion's taste may have acted as a big downer and it never appealed to the masses. Second factor is the price. Tion was very expensive and even though Tata launched a smaller SKU, the quantity was never enough to quench the thirst. That was also the first impression when I tried out the brand. 

Another issue was the segmentation. Tion was not able to clearly focus on its TG. Who would actually buy a product like Tion ? Tion infact tried to cater to every one hence the brand positioned itself very loosely. The tagline " Why Let Go " is a result of such a unfocused positioning. The brand at best would appeal to the set of consumers who wanted a healthier alternative to softdrinks and that is definitely not youngsters.

Tion was bit too early in targeting the mass using the health proposition. Although many experts harp on the trend towards healthy foods, the idea is still in the utopian stage and has not translated into purchases . 

Related Brand 

Tuesday, September 18, 2012

Brand Update : Tata Safari and the Art of Laziness

I always loved Tata Safari. Despite the bad reviews, nagging product issues, this brand was always an aspiration for me ( yet to be fulfilled). The brand which was one of the first SUVs in India had something in it which attracted people like me. And as reports validate, there are die-hard Safari fans who cling to their brand despite frequent visits to the workshop.

Sometimes we look at certain products and say ' What a Potential Wasted'. Alas, looking at Safari, I am forced to think about a wasted potential. 
This brand was launched full five years before the launch of Scorpio and see where these two brands are now . Scorpio redefined the SUV market but Safari is still on the sidelines.
And till now the brand has not learned its lessons.

When was the last time you saw a Tata Safari Advertisement and said WoW. When was the last time the product was upgraded ?
It seems that Tata Motors suddenly lost its marketing acumen. More worrying is that the company has lost interest in investing on this ageing brand. According to news reports, Tata Motors is planning to launch the much  spruced up version of Tata Safari branded as Safari Storme later this year. But going by the fate of Aria, I don't give much hope to the new launch because suddenly Tata Motors seems to lose interest in brand building. 
Tata Safari lost one of the most opportune moments in its lifecycle. Indian consumers were shifting towards diesel models, markets were indicating potential of smaller SUV and new price points were opening up in the SUV market. But Safari was blind to all these. To my surprise, it did not even acknowledged the presence of new competing brands like Duster, Xylo, Evalia or even Scorpio. The brand was in a perfect blindness. 
There was no product improvement or campaigns for the brand in these times except for some dull discount ads by the dealers. 
To my utter disappoinment, Tata Safari is now an example of Myopic Marketing wasting a potential to build an iconic brand. 
Related Brand

Wednesday, January 04, 2012

Brand Update : Katrina is the new face of Titan Raaga

Titan Raga has got a new face in Katrina Kaif. In continuation with its celebrity endorsement centered brand strategy, Titan signed the reigning Bollywood Diva Katrina Kaif as the brand ambassador for its sub-brand Raaga. The brand is currently running the campaign featuring the brand ambassador.

Watch the ad here : Katrina Titan Raaga

Titan Raaga which was born in 1992 was able to carve out a space for itself in the Indian watch industry. The brand is targeting the Sec A/B segment with a value proposition combining elegance and quality. 

Regarding the brand communication, there is nothing great about the new advertisement. The ad follows the standard theme and except for a small glimpse of the brand, celebrity rules the entire campaign. The ads featuring Katrina also sports a tagline  " Stay New " . 
 The brand has fallen into the celebrity trap where celebrity gains more importance than the brand. Remember that in most of the Titan ads featuring Aamir Khan , the brand was carefully placed with equal importance as the celebrity. 

Another interesting factor I noticed in the new ad was the absence of any mention of the sub-brand Raaga except for the half-a-second glimpse of the watch. Infact I mistook the campaign for the parent brand. This is another classic case where the agency underplayed the brand in favor of the celebrity. Further there is not much connect between the sub-brand and the theme of the ad. May be the brand is trying to economize by promoting the umbrella brand Titan rather than Titan Raaga. 
Even in the print ads, there is no mention about the sub-brand. This may be a part of the strategy where the Above-The- Line campaigns will be for the parent brand Titan and the Raaga will be relegated to a sub-brand visible only in the product. More clarity will come only after the rolling out of further campaigns.

Does it make a big difference ? 

Related Brand

Sunday, November 27, 2011

Brand Update : Indica Vista Goes Sedan Class

Brand Indica got a big boost recently by the launch of the new Tata Indica Vista . The new Vista comes with a spruced up looks and classy interiors packed with goodies. While the competition is hotting up in the premium hatchback market in India, Tata Motors is leaving no stones unearthed to regain its position in the Indian car market. Tata Motors launched its Vista product-line in 2008. The attempt was to strengthen the brand's foothold in the growing premium hatchback segment. 
Although Vista was launched as a sub-brand of Indica, the car was built on an entirely new platform and the refinement and the quality was entirely superior to that of Indica V2. However, Tata Motors decided the new launch to be under the umbrella of Indica brand. This move however was faulty and the response to the premium offering from Indica product-line found reluctant takers despite being value-for-money package.

This year, the brand relaunched the Indica Vista with lot of refinement and tweaking in the pricing. The frequent fuel price hike proved to be a boon to the predominantly diesel focused Indica range. 
The new Indica Vista  finds its point of parity with the sedans. The brand compares itself with a sedan and tries to convey the message that the car is  " Like Sedan".
Watch the ad here : Sedan Class
The new Indica Vista has the tagline " Sedan Class " reinforcing the new positioning. The ad is very sensible and conveys the message quite forcefully. The brand's idea of exemplar comparison with another category is quite effective in communicating its USP of better space and comfort.

During the early months of 2011, there were several reports of the plan of Tata Motors to make the Vista brand independent. The visibility of Indica brand name has been made insignificant and Vista is made prominent. So technically, Vista has become the primary brand in this case. The question is why Tata Motors is reluctant to let go of the Indica endorsement of Vista and make Vista a completely independent brand ? The damage has already made by associating an value-for-money brand ( Indica) with a premium offering ( Vista). Vista is going to suffer by continuous association with Indica brand. Other wise, the brand should be priced significantly lower than the other premium competing brands. 

The confusion regarding the branding of the premium hatchback offering from Tata Motors is evident in the case of Vista. The initial mistake was to stretch the Indica brand to a premium offering. It is very difficult for a VFM brand to build an equity in the premium segment. Second was the reluctance to make Vista an independent brand together with the fact that the premium offering had lot of similarities in features with the VFM offering. On hindsight, I feel that Tata Motors lost an opportunity to build a premium hatchback brand Vista. Three years is pretty long lost years in branding world. Would be interesting to see how the New Tata Indica Vista going to play up in the market. The timing has never been so perfect for a diesel car launch. 

Friday, October 21, 2011

Brand Update : RIP Tata Indicom ( 2006-2011)

Tata Indicom is dead. The CDMA brand from Tata Teleservices is going to be integrated ( migrated / replaced/exorcised) to Tata Docomo. According to various newsreports, the Indicom brand will be killed and the entire mobile telephony and related services will be brought under the Tata Docomo brand. 
By bringing the entire services under a common brand, Tata Teleservices will be able to reduce the marketing costs and avoid brand confusion. 
But a dead brand is a dead brand. For me every dead brand is a failed brand. 

The new move also marks the larger role played by NTT Docomo in the mobile services JV with the Tata. The branding to Tata Docomo shows the prominence of DoCoMo brand which is the primary brand and Tata brand name is being used as an endorser brand. 
Tata Indicom as a brand was not able to create any strong image in the consumer mindspace. The poor quality ads and confused positioning put the brand way behind aggressive competitors like Vodafone, Idea and Airtel. But compared to Tata Indicom , DoCoMo is an aggressive brand and the promotions are clutter-breaking. By bringing all services under a single brand especially in a low-margin, highly competitive market like cellular services make immense business sense. 

CDMA services also did not quite clicked in the Indian market and consumers were not convinced about the technological supremacy of CDMA over GSM. Now that Tata Teleservices got a foothold over the GSM services through the Docomo JV, the relevance of Tata Indicom's CDMA services has diminished considerably. I wouldn't be surprised if the entire CDMA services will be put in the backburner by Tata Teleservices. 

RIP Tata Indicom ..

Related Brand

Sunday, October 09, 2011

Tata Grande : Size Matters

Brand : Grande
Company : Tata Motors

Brand Analysis Count : 501

Another Indian brand has moved from a sub-brand status to an Independent brand. Tata Motors has upgraded the Grande brand to an independent brand status delinking it from Sumo Brand. Tata Sumo Grande was launched in 2008. the brand was expected to raise the sagging fortune of Tata Sumo.
Tata Sumo which was launched in 1994 was a poster boy in the Multi-Utility Vehicle segment. The brand became hugely popular in the Taxi segment .
 But the launch of Innova, Scorpio, Xylo etc soon began to eat into the share of Sumo. Soon the brand began to be perceived as dated. Coupled with the bad PR and image about Tata Cars, the consumer interest began to shift to new MUVs and SUVs.
Tata Sumo Grande was launched as an attempt to shift the consumer's interest back to Tata MUVs. The Grande design was very different from Sumo and the positioning of Sumo grande was also different from the Sumo's positioning. Tata Sumo Grande had the tagline " More than Meets the Eye " focusing on the personality of the brand owner. 

In 2011, Tata Motors decided to make Grande brand independent. The new brand was soft launched and the brand is currently running the launch campaign in various channels.
Watch the campaign here : Tata Grande

The new brand has the tagline " Size Matters ". From the tagline itself it can be assumed that the brand is 
positioning itself as the most spacious MUV ( common sense !). Grande is also hoping to be perceived as a family car , rather than a commercial vehicle. The brand is priced at Rs 7.5 lakh +.

In one of my posts, I had criticized the Tata Motor's strategy of launching Grande under the Sumo brand. Now that that error was rectified, it needs to be seen whether consumers will perceive Grande as different from Sumo. My judgement is that it will be difficult since that association is already being made. So the task for Tata Motors is to put Grande out of the Sumo association as quickly as possible. Interestingly Grande is focusing on the USP - Size which is also the same USP of Sumo.  The brand has been priced competitively but Tata Safari is also priced in the same range so it has to be seen whether these two brands will compete with each other .
The launch of Grande is a move to strengthen the MUV portfolio of Tata Motors which suffered heavily because of sophisticated competing products. Sumo although was a well accepted product was rather getting old in terms of product and image. Tata Motors was not aggressive in making radical product innovations on Sumo or its image to counter competitors like Mahindra and Toyota. Tata Grande is expected to complement Sumo Victa in its fight against the sophisticated competitors. 

Image wise, Grande's launch campaign has done nothing. The ad is very basic and rational and will appeal more to the taxi segment rather than family segment. How ever the pricing and the spruced up interiors will definitely put Grande in advantage over its competitors. The brand could have burned the market if it had priced it less than Rs 7 Lakh. Tata Grande should have aimed at disruption and not incremental value addition since the market is mature and highly competitive. Mahindra is currently doing that with its XUV 500. 

Tuesday, March 01, 2011

Tata Manza : A Class Apart

Brand : Manza
Company : Tata Motors
Advertising Agency : Draft FCB Ulka

Brand Analysis Count : 473

Philip Kotler once famously said " Marketing is easy to understand and difficult to practice ". The concepts of marketing are no rocket science and hence we can see those concepts being casually treated.Marketing practitioners know the difficulties in cracking the marketing code and making the product successful in the market. It may be the simplicity of marketing concepts that make marketers to defy common sense and make marketing mistaks.
The same casual treatment of branding is visible in the case of branding of Manza and the brand is now investing heavily in undoing the mistake done in the past. Manza was launched as a sub-brand of Indigo in 2009. The Indigo Manza was the premium variant of the popular entry-level sedan brand Indigo. 

Indigo Manza was an effort of  Tata Motors for breaking Indigo from the perception of a Cab Car. Since Indigo was one of the most value for money diesel car in India, it was popular as a cab. Indigo Manza was styled differently and sported the state-of -the art engine from Fiat. 
Indigo Manza was positioned along the same lines of Tata Indigo. Indigo was positioned as a luxury + VFM brand and had sported the tagline " Spoil Yourself ". Indigo Manza had the tagline " Indulge in Style " . 
The brand was positioned as a stylish luxurious car and as usual Tata Motors added lot of goodies to the product to make it worth the price paid for. Another big leap for Manza was the engine. Tata Motors used the tested Fiat engines into the Manza and concentrated more on the style and product packaging . The variant was heavily promoted across the media.

Watch the TVC here : Indigo Manza

Interestingly the confusion regarding the brand started in early 2011. Tata Motors made that significant strategic decision to disassociate  Manza from Indigo. The company decided to make Manza an independent brand and dropped the Indigo endorsement from all communication. Indigo Manza became Tata Manza. Along with the decision came  the launch of Manza Elan which is the premium hatchback variant of Manza.In its independent avatar, Manza did not change the core brand DNA of luxury. Manza reinforced its " Luxury " positioning with the new tagline " A Class Apart ". 

Manza is now investing heavily in creating an independent image for Manza and also moving away from Indigo. Interestingly Indigo is now more associated with its Compact Sedan variant Indigo CS and has left the luxury + VFM positioning to Manza.

The important question here is why didn't Tata Motors think about Manza as an independent brand at the time of its launch itself. Why did the brand spend hell lot of money to promote itself as Indigo Manza for more than two years and then decide to go independent. 

Was it not a bad decision to launch Manza as a sub-brand of Indigo ? What may have prevented Tata Motors to hesitate from creating a new premium brand rather than trying to extend a VFM brand to premium segment.
It is this dilemma that makes marketing decisions difficult.One argument can be that the company wanted to establish Manza in the market first and then gradually make it independent.  My personal opinion is that Tata Motors did a branding mistake in launching Manza as a sub-brand of Indigo. Its common sense that it is always better to launch a new premium brand rather than extend a VFM brand to premium segment using a variant. The decision to sub-brand Manza also shows a lack of long-term strategic thinking on the Tata Motors part regarding the brand porfolio decisions. The company is little confused about how Indica, Indica Vista, Indigo, Manza are to be managed. There was a recent report which suggest that Vista will be disassociated from Indica and launched as a standalone brand. 

One of the reasons for disassociating Manza from Indigo is the threat from the launch of Toyota Etios. Etios  is being offered at a terrific price point and is a direct threat to Indigo's position in the market especially at the premium end . Tata Motors feel that potential Indigo Manza owners will move to Etios because of brand equity of Toyota. Indigo Manza may not be capable to fight Etios because of the baggage of Indigo association. That can be one of the reasons for such a decision.

It is easy to criticize the branding decisions as an observer because the brand managers are bound by lot of internal pressures which force them to take these kind of decisions. 

Regarding Manza, the road ahead is not going to be easy because the association with Indigo is still strong. It will take a lot of money to erase or at best reduce the level of association between Indigo and Manza. 
Ideally the brand owners should have charted the vision for every brand in their portfolio before launching to the public. This creating of brand vision is of extreme importance and should be undertaken for every variants and sub-brands. It should be this vision that will guide the brand's path to future and protect it from the short-term thinking of individuals. 

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Sunday, December 26, 2010

Brand Update : Nano is the Key to Happiness

Its almost two years since the launch of Tata Nano. A lot has happened over these years. The much hyped & much criticized small car has hit the road and is running through its worst nightmare- sluggish sales.

When Ratan Tata announced the launch of Nano, the media went gaga over the product and the realization of dream of a common man's car. Globally Nano became a big news because of its unbelievable price tag of Rs 1 lakh. More over Tata was able to give a great looking car at a very cheap price.

In my earlier posts, I predicted that Nano will create record interms of sales. I believed that consumers will lap up such a well designed economical car. Nano will create history... but my predictions failed miserably. In November, Tata Motors was able to sell only 500 of Nano cars.

The problem for the brand started when reports of the car getting fire began spreading. Just after the launch, a few Nano cars got fire and the pictures of Nano on flames splashed across the media. Consumers began to seriously worry about the safety of Nano.

To counter this negative publicity , Tata Motors began serious efforts to restore faith in the brand. The company initiated a recall program where the existing Nano cars were fitted with additional safety features. Along with that, Nano was further tested for safety by engineers from Tata Motors as well as from Jaguar.

These measures ,to a certain extent, contained the damage of Nano's brand image. Further to the safety issue, the brand also faced the issue where consumers at the lower-income strata was declined loan by banks and financial institutions for buying Nano. Although the auto loans were always a risky liability for the financial institutions and loan-denial is not anything new in this industry, this issue was again highlighted across the media as a specific issue pertaining to Nano.

So the brand is now facing an issue which is highly perceptual. And a negative perception for a brand in the introductory stage of PLC can be fatal.

To tide over the issue regarding the trust + safety, Tata Motors introduced a four year/60000km warranty for the Nano. The warranty is an assurance from the brand aimed to build trust in the brand.

Along with these measures, Nano also launched its first television commercial this month.

Watch the ad here : Tata Nano TVC

The new ad projects the positives of the car and positions the brand as " Key to Happiness". The brand has adopted the tagline " Khushiyon ke Chaabi ".

What the brand needs is to restore confidence of consumers in the brand. The picture of Nano in flames is still embedded in the consumer's mind. It should be erased if the brand wants to see the sales figures upward. For that it should get as many Tata Nano on the road as possible. The more cars on the road will instill confidence in the consumers to buy this brand. For that the brand should go to any extent.

It is not that I am not aware of the negatives of Nano. But Nano is a genuine marketing effort to satisfy a gap in the market. As a marketer, this is a brand I don't want to see failing in the market.

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Monday, October 11, 2010

Vivanta By Taj : Discover

Brand : Vivanta
Company : Indian Hotels Company Ltd ( IHCL)
Ad Agency : Rediffusion Y&R


Brand Analysis Count : 464


Vivanta is the new brand from Indian Hotels Company Ltd ( aka Taj Hotels & Resorts) launched as a result of a brand restructuring exercise. The new brand Vivanta will replace the Taj Residency brand and will represent IHCL's presence in the Upper Upscale segment of Indian hotel/hospitality market.Vivanta was initially launched in 2008 when IHCL rebranded three Taj Residency properties to Vivanta. IHCL tested and tweaked the brand for two years before the national roll out in 2010. Now around 19 Taj properties has been rebranded to Vivanta.

The rebranding of Taj Residency to Vivanta is a part of the Tata group to move from a " Branded House " to " House of Brands " brand portfolio structure. The move towards a basket of brands started with the launch of Ginger brand of hotels for the domestic budget business traveler. The Ginger brand launch was followed by the launch of The Gateway Hotels brand which saw many Taj properties being rebranded to " The Gateway Hotels ". Now the launch of Vivanta completes one phase of the very important brand restructuring exercise.

Now IHCL has the following brands in the Indian hotel segment :
Taj brand -- Targeting the most luxurious segment. The brand will have properties on the best locales and attract the most premium customers.

Vivanta : Will be 10-15 % cheaper than Taj Hotels and target the upper upscale segment of the market. The brand will have presence on major cities and tourist destinations and will attract the affluent customers.

The Gateway Hotels - Will be 10-15% cheaper than Vivanta and will target the upscale segment and the business travelers. This brand will be located in most cities which are frequented by business and leisure travelers and will attract young professionals.

Ginger : Will be the lowest priced hotels targeting the frequently traveling businessmen. The brand has successfully tapped the need for a chain of quality hotels which targets the travelers with limited budget.

The important question is regarding the rationale for such a brand portfolio decision. Isn't it better to have a branded house portfolio where all hotels will have the Taj brand ?

The move is very relevant for IHCL because this restructuring will prevent dilution of Taj brand which is perceived to be a premium luxury brand. The use of Taj brand for all hotel properties of IHCL made sense in all these years because the market was not highly segmented.

Now Indian hotel/hospitality market has matured and is witnessing lot of interest from domestic and international players. The who is who of hospitality industry is already in the Indian market and a lot is waiting to enter. It is in this context that IHCL had to relook the brand portfolio decisions. The consumers also have evolved and different class of consumers has evolved in recent years.

Since Taj was used to endorse all properties of IHCL, there is always a chance of different types of properties carrying the Taj brand. So in a city there will be two type of property - one luxurious and another upper scale carrying the same brand name. This can create problems interms of brand positioning. If IHCL needs to position Taj as a luxurious brand, it needs to have a consistency in terms of the physical evidence ( hotel properties ) and the core product ( service). This consistency cannot be possible when there are inconsistencies in terms of size of hotel properties and the level of service in those hotels.

Another issue with Branded House is that the firm will be constrained by the values /positioning of the core brand.Hence IHCL may not be able to tap into opportunities other than luxury hotels if they follow branded house strategy. The launch of Ginger in the budget segment is an effort by the company to move into tapping other opportunities presented by the market.

Now with the introduction of two brands - The Gateway Hotels and Vivanta, IHCL is now able to arrange the properties in accordance with the respective brand's positioning. Taj will now be an exclusive brand associating only with best properties and service promises. The other three brands will enable IHCL to tap into the opportunities of the market without being constrained by Taj 's brand positioning.

The next issue is whether the new brands will be able to retain the equity of Taj. According to press reports, IHCL was able to establish " The Gateway Hotels " as a credible brand. Ofcourse it cannot match the equity of Taj but the heritage and the loyal customers will see the brand through this transition period. The advantage is that IHCL can give a separate identity to these brands.

Vivanta is positioned as a young brand. The brand is targeting the new breed of young affluents. The service architecture also reflects the focus on the young rich traveler. According to the recent report in Business Standard, the brand has identified critical touch points where it could differentiate itself from other brands.To help the brand establish itself, Vivanta is currently endorsed by Taj brand. In the marketing communications, the branding is done as " Vivanta by Taj ". This endorsement will continue till Vivanta establish itself as an independent brand.

Vivanta brand name is inspired by the term Bon Vivant . The typical consumer profile for Vivanta is one who is sophisticated and have appreciation for good things in life.
Vivanta is currently running a print campaign announcing the launch. The ad positions the new brand promise and the youthful look for the brand. See it here.

Consumers will definitely miss the Taj brand. The status and the feeling of pride when staying in Taj brand of hotels is now restricted to a select few.

In the long - term perspective, the move of IHCL has done the right thing. The brands need to be nurtured and it will be the service promise and delivery that will help these new brands to establish themselves as worthy successors of Taj.

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Friday, July 30, 2010

Xylys : It Possesses You

Brand : Xylys
Company : Titan Industries Ltd
Agency : Rediffusion

Brand Analysis Count : # 460

Xylys can be termed as India's own premium watch brand. The brand created by Titan Industries is taking on the iconic premium watch brands like Omega, Rado,Patek Philippe, Rolex,Cartier etc. The brand was born in 2006 gain rapid acceptance in the Indian watch market.

Indian luxury watch market is worth Rs 500 crore and is dominated by Swiss and other European brands. There is virtually no presence of any Indian brands in that segment. The rising affluent Indian consumer class and the trend towards more expressive lifestyle accessories prompted Titan to seriously look at this segment. Xylys is currently targeting the lower spectrum of the luxury watch segment.

Xylys was initially launched as a flanker brand for Titan. Titan which is the market leader in the mid-price segment felt that the upper end of their target customers were moving towards iconic global premium brands. With that intention of blocking any such migration , Xylys was introduced at the price range of Rs 8000- Rs 33,000.

Xylys however gathered good momentum with the brand clocking a 50% CAGR growth rate. From being a flanker brand, Xylys morphed to be a powerful growth brand in the course of time.

Titan while carefully analyzing the consumer behavior of premium watch customers, it found that the consumers were highly influenced by the "Country of Origin " association. The consumers loved the Swiss Made proposition and there is a huge association between " Swiss Made " and quality, precision , premium etc. The insight was that it would be difficult for an "Indian Made " tag to impress upon the target segment. Titan thus made Xylys - a Swiss Made watch. Xylys is manufactured at a state-of-the-art factory in Switzerland which has a rich heritage of 80 years in precision watch making.

Xylys' strong point was its design . The brand is being crafted in association with Swiss designer Laurent Rufenacht along with Titan's own designer Michael Foley. The sharp unique designs quickly made Xylys a fast growing brand in the segment.

Xylys was launched as a contemporary brand targeting the upwardly mobile successful men & women. The brand has segmentedthe market based on psychographic profiles. Xylys defines its customers as contemporary dynamic successful persons who has attitude and confidence. The brand wants to celebrate success with them. The customers of Xylys are highly individualistic persons who does what they love. These people would love to express themselves and loves to show their success to the world. The brand has a very well defined brand charter and values which I feel is an excellent marketing practice. ( Read Xylys Brand Charter here).

During the launch phase, Xylys was endorsed by the Actor Rahul Bose, tennis player Carlos Moya and super model Saira Mohan. The basic theme of the launch campaign was the story of how these people tread their own path and became successful.

Watch the launch ad : Xylys Launch

The brand at that time had the tagline " The power of X " . The brand used " X" to symbolize the differentiating factor in the highly successful people. X also denotes Xylys-the brand.

In 2010, the brand changed its positioning from " Symbol of Success " to " Feeling of Love ". The brand now is talking about falling in love with Xylys. Xylys is currently running a campaign reflecting the new positioning.

Watch the new campaign here : Xylys Possession

The brand have also adopted a new tagline " You do not possess Xylys , it possesses you ".

The new campaign is a significant deviation from the core positioning of the brand. The entire brand personality of Xylys was changed in the current campaign. I wonder why a brand which is growing should try to change its positioning at this critical juncture.

The earlier positioning of Xylys were talking about the highly individualistic expressive nature of successful people while the current positioning talks about how Xylys takes control of such a person. If you look closely the brand is totally off the mark regarding the core values that it stands for. I feel that the agency has not read the brand charter before creating the campaign. The purpose of creating a brand charter is to protect continuity in the communication. The product managers should use the charter as the basis for devising their communication strategies. The current campaign is very difficult to fit into the brand charter.

Regarding the execution of the new positioning , there is nothing worthwhile in the advertisement. The idea of a man being possessed by a product and forgets everything is an idea which has been raped a million times. Even the chocolate brand 5 star uses this idea as the central theme.

Having said that, Xylys' core strength is its design and since watch is an experiential product , consumers may fall for it when they see the designs. But the brand needs to create clutter-breaking campaigns if it wants to fight the likes of Omega , Rado etc.

Xylys has took lot of effort in creating a very good brand charter. Why not follow it ??

Thursday, June 03, 2010

Titan Zoop : Be Cool

Brand : Zoop
Company : Titan Industries
Ad Agency : Ogilvy


Brand Analysis Count # 455

Titan has re-entered the kids' watches category with a new brand Zoop. Titan has been launching a series of watch brands in recent years. According to a newspaper report, the company is transforming itself into a house of brands with a number of brands catering to various segments. The company had recently launched brands like Xylus, Obaku, Zoop etc all endorsed by the corporate brand Titan.

Zoop is a brand targeting the kids aged 5-12. Through Zoop, Titan is filling a gap in their brand portfolio. Kid's watch segment although a high potential market is dominated by unorganized players.

In 1998-99, Titan tried to tap the market with a brand Dash. But the brand failed to catch the fancy of the market at that point of time. Analysts says that Dash was too early for the Indian consumers. During that time, parents were not that interested in spending on kid's accessories like Watches.

Now the company feels that the market is ripe for a brand like Zoop. Zoop is being positioned as a cool , must-have accessory for kids. The brand is running a launch campaign in most of the channels.

Watch the ad here : Zoop

Zoop is endorsed by brand Titan. The brand has the tagline - Be Cool ; which will be well liked by the target customers.

While researching on the brand, I found a couple of articles which mentioned that Zoop's positioning itself as "Be a Star ". The brand wanted to talk directly to the kid and acknowledges the star in him. But from the launch ad, it seems that the brand is focusing on " coolness " quotient rather than the " stardom". Hence the brand has focused on bringing in new funky designs in its range.

Zoop will be definitely a brand to watch out for . The brand has the equity of Titan and the pricing is exceptionally good. Zoop is priced between Rs 350-Rs 900. And it makes a perfect gift to kids too.

Zoop faces competition from the host of unorganized players in the market along with cheap Chinese imports. For Zoop, budget competition will also be something to be concerned about. Budget competition is the competition for the money . Budget competition for Zoop will be those kid's products across various categories that falls in the price band of Rs 350- Rs 1000. That include toys, clothes, video games, etc. If you look at the launch campaign of Zoop , the brand subtly addresses that competition by pointing at the ' need ' for a watch.

Although there are many positive things going for the brand, it is not easy to catch the attention of this segment. The kids get bored with products/brands easily. Functionality may not be on the priority list of this segment of customers. It may not be realistic for Titan to assume that kids will pester their parents to buy more than one watch to quench the style thirst of kids. So the task is to get more and more kids to purchase the brand and be happy about it. So constant campaign innovation will be the key to brand success.

Zoop has rightly positioned itself on the style factor and I am sure many young customers will fall for it.

Monday, May 24, 2010

Tata Tion : Why Let Go

Brand : Tata Tion
Company : Tata Tea

Brand Analysis Count # 454

Tata Tion is Tata Tea's foray into the non-carbonated beverages market. Tion which was soft launched in 2009 has been launched nationally. The brand was initially launched in TamilNadu and has been in the market for more than a year.

Tion is a fruit based drink which has extracts of tea, ginseng and fruit. The brand is a challenger in the Rs 2500 crore non-carbonated beverage market in India.

Tion is positioned as an energy drink . The brand although fruit flavored is positioned as a tea-based cool drink. The major differentiators for Tion are its ingredients. The brand has tea extracts and Ginseng which makes the brand stand out from the rest. The presence of these ingredient also makes this brand look more healthy compared to other drinks.

Tion has the tagline : Why Let Go. The launch campaign is does not have much to talk about.The brand is essentially giving a message that it has so much in it that you cannot let it go.

Consumers have different take on the taste of Tion. The taste may not be universally appealing and that can restrict this brand to a niche. Tion will appeal to those consumers who are looking for a healthy cool drink and something different from the fruit juices. Compared to the existing fruit drinks, Tion gives certain kind of refreshment thanks to its ingredients.

Tion was initially launched in 400 ml packs priced at Rs 22. But now the brand is available at 200 ml packs priced at Rs 13. The packing is novel and can generate lot of trials.
But the 200ml drink seems to be too little to quench thirst and can create a perception of too little for that price. That was the typical reaction of a consumer after having the drink on a hot day.
Tion is a different product from the rest and along with the endorsement of Tata, the brand can get lot of trials. In the city where I live, Tatas have managed to make the brand available at key locations. The proposed JV with Pepsi will also help the brand get into more store shelves.

The challenge for Tion is to convince the customers to regularly consume the brand. The brand is banking on its ingredients to convince the consumers to patronize it. I feel rather than the ingredients, the brand will hold the key. With the kind of communication strategy, Tion may not be able to build a strong equity. It may need a heavy dose of celebrities especially those in the athletics/sports which can reinforce the message of a healthy energy drink. With global brands like Gatorade, Burn etc upping their ante, Tion should invest more on the brand rather than banking on its ingredients.