Brand Update : Parachute

Parachute is getting bigger and better. This super brand from Marico has moved into the next level. The brand is running a new campaign for its variant Parachute Advansed. The campaign titled Gorgeous Hamesha is one of the best ads I have seen in recent times

Watch the TVC here : Gorgeous Hamesha

The campaign is a classic example of Laddering . Laddering is deepening the meaning of a brand to tap into core brand values or other, more abstract considerations. For effective laddering, the target group should have a clear understanding of how the brand relates to alternatives in the same category ( Kevin Lane Keller).
Here in this case Parachute has established itself as a hair oil brand, the time was ripe to move up from a basic positioning to some thing more deep. The brand is aiming to reach a higher ladder through its variant Advansed.

In the new campaign Gorgeous Hamesha ( translated to Gorgeous Always) , the brand talks about its efficiency in strengthening the roots of the hair so that you look Gorgeous Always. The brand has embarked on a 360 degree campaign with contests, viral campaigns and media promotions.
The brand has taken a lesson from the iconic Mastercard's Priceless campaign discussed elsewhere in this blog. Like the Priceless campaign, Parachute Advansed is also trying to capture those " Special Ordinary Moments " in life where one looked Gorgeous. The brand has roped in Deepika Padukone as the brand ambassador.
What I liked about the campaign is that it captures the very essence of the brand in a simple way. The ad is sticky and the music is impressive.More than that the message is very simple subtle and effective.
I hope that the brand continues to build on this new Gorgeous concept.

Related Brand
Parachute

LG Asafoetida : Branding a Commodity

Brand : LG Asafoetida
Company : Laljee Godhoo & Co

Brand Analysis Count : 263

Laljee Godhoo (LG) Asafoetida is yet another offbeat heritage brand . You may have never seen an advertisement of LG asafoetida in any of the media. But check out your kitchen, there is a chance that a pack of this brand has been there for a long time.

LG brand is almost 110 years old. The company started its operations in the year 1894. Today this brand of asafoetida commands a market share of over 70% in the Indian market.
Asafoetida is a a resin like gum extracted from the dried stem and roots of a herbaceous perennial plant Ferula Assafoetida found abundant in Iran. Laljee imports the raw latex from Afghanistan and prepares the compounded Asafoetida which is adding spice to the popular dishes across the country. Asafoetida is a popular spice used in many Indian dishes.
For ninety years, LG was selling Asafoetida in the lump form later, the brand began selling the powder form of asafoetida. This is a brand which became a dominant player through word of mouth. Asafoetida was earlier selling as a commodity. LG differentiated by a unique package and the emphasis on quality. More over this was the first brand to bring this product in the powder form which increased the popularity of the brand.
But the brand faces certain issues because of the commodity nature of the business. The major issue that this brand faces is the counterfeit threat. There are innumerable brands which mimic the logo and package of this brand. Since it is a commodity , many a times customers take other brands which looks similar to this brand. The second threat is from the private labels. Now most of the organized retailers have their own Private Label brands of spices. Since LG has not developed any point of differentiation, there is a chance that its share will get hurt by private labels.

For a heritage brand like LG asafoetida, the future offers lot of challenges. The brand has never invested in brand building except for occasional ads cautioning customers about counterfeits. The threat from private labels is real and huge. The brand has no option but to spent more in reinforcing its equity built over these years.

Zipouch : Keep Fresh, Eat Safe

Brand : Zipouch
Company : UFlex (Flex Industries)


Brand Count : 254

Zipouch is again an Offbeat brand. Its is a classic case of innovation and another instance of a firm trying to tap a latent. Zipouch is a brand from Rs 1350 crore Flex Industries Ltd. Flex Industries is a leader in the B2B packaging industry and supplies packaging solutions to FMCG majors. Zipouch is an initiative of this B2B firm into the B2C segment.

Zipouch is packing solution for households. In simple terms Zipouch is storage bags for household focusing mainly on Food Storage. According to Brand Reporter Magazine, the product idea came from a similar product in an international trade exhibition in Europe in 2001. It took three years to bring the concept to the product form. Zipouch was launched in 2004.

The brand comes under Food Storage segment which is nascent in India. But it is for sure that there is a great potential for such storage solutions for households. Here the brand faces the challenge of

a. Convincing the customer about this product and its efficacy.
b. Pricing it right.
C.Gaining Distribution.

The need is evident when we look at the traditional storage style at our kitchens. Usually vegetables and fruits are kept in the Vegetable Tray in the refrigerator. And within two days, the fruits becomes unusable. If the fruits and vegetables are cut, then the fridge life will be reduced by half. It is this problem that Zipouch is trying to address. Give a storage solution for Fruits and vegetables which is convenient and healthy and along with that enhance the storage life of the food.
Zipouch not only has a product for fruits and vegetable, this brand has a range of storage solutions for the households :

Fresh 'n' lock : For fruits and vegetables
Press'n' lock : storage and freezer pack
Snack Pack: For storing snack items, for kids, can be used in School kit of kids
Assorted Snack pack: To store assortment of snacks.
Press'n'hot : For hot food items
Fresh'n'juicy : Much more stronger pack

Zipouch is taking the following qualities to promote itself :
Healthy and Safe
Retains Warmth and Freshness for longer periods
Maintains high nutritional levels
Convenient to Use
Microwavable.
Reusable
Hygienic .

Zipouch is also distinguishing itself from other plastic bags by its unique Zip ( from which it derives its brand name).The brand is targeting the SEC A+, A , B segment. The brand is being positioned as a safe and healthy way of storing food products. At the promotions front, the brand was very active in the media when it was launched but later went in for hibernation. Today's ET Brand Equity features an Ad which was the inspiration behind this post.

Having all these positive qualities need not guarantee the success of an innovative product like this. Zipouch faces lot of issues in the market. The primary issue is that of the distribution. I don't think that the brand has been able to secure a deep distribution network in the country. It is understandable since Flex Industries' is not an FMCG company and hence may have to start from the scratch. I talked to one colleague of mine who fits the Target Customer profile , it was sad to find that she was looking for such a product but was not aware that such a product was available in the market.
The second issue is that of differentiation. Although Zipouch is a new and an innovative concept , the product is such that it can be easily replicated. Hence if the market expands, it will be easy for anyone to come out with a product like Zipouch. A differentiation based on product attributes may not be sustainable. Hence the brand may have to take on a differentiation other than the Product attributes. More importantly, Zipouch may have to own a proposition that define this product so that other competing brands may not be able to make a dent. For example , the brand can own a proposition like : " Safe and Hygiene " or " Fresh and Safe ".
Early adoption of such a proposition will make the brand less vulnerable to competition. Having a patented Abbreviation like FSPT ( Fresh safe packing technology) which can act as a differentiator.

The brand has to spend a lot of money, first educating the customers about the product itself ( since the product is entirely new to the market) and also promoting this brand. The brand is retailing in the range of Rs 49- Rs 69 per 10 bags which is a very affordable range.

Zipouch is a wonderful product which has lot of potential but also lot of challenges ahead. Zipouch has got its product and price perfect but distribution is the weak point. The brand could piggyback some of the Retailing giants or FMCG majors for a distribution tie-up. It has to act fast because where there is a potential, there is competition.

Source: businessline, ET,agencyfaqs,brand reporter

Popy Umbrella : Dancing In The Rain

Brand : Popy
Company: Popy Umbrella Mart
Agency : Jelitta

Brand count : 237

Popy is the market leader in the fiercely competitive umbrella market in Kerala. Looking at the number of umbrellas it sold every year, I think that Popy is largest selling umbrella brand in India. Annually this brands sells more than 2 Lakh umbrellas.

Popy has a legacy that is associated with the rise of the product umbrella from a staid ugly accessory to an interesting product. The brand comes from a family that is credited with branding a product that once was considered commodity.
In 1954 Mr Thayyil Abraham Varghese established St George Umbrella mart with its base in the Alleppy District of Kerala. Soon the brand St George began aggressive marketing which made the brand number one in the market. In 1995, the family business split into two : Popy Umbrella mart and John's Umbrella mart. The competition between these two companies marked the umbrella market in Kerala - a haven of innovation and smart marketing.

Umbrella market is a highly seasonal one ( not a big discovery from my part !) and selling a seasonal product is any marketers nightmare because he may have to sell all the inventory during the season and also device methods to tide over the seasonality factor also. On the top of it, the product category was considered a commodity.
But Popy and Johns did wonders in the market. These brands made brands out of commodity through sheer innovation. But Popy got a headstart with its successful campaign that caught the attention of the consumers. The popular malayalam jingle " Mazha mazha kuda kuda mazha vannal popy kuda" became an instant hit in the market.

The brand Popy ( also Johns) is more interesting because it was able to make the product from a lousy dull product to a lifestyle product through sheer innovation. The brands made innovations that are aimed at all segments of customers be it kids, young customers or older ones. Some of the innovations are include auto-open/close umbrellas,walking stick like umbrellas,5 fold ones, umbrellas with steel rims water gun umbrellas for kids, umbrella with torch, umbrella that is too small in the size of a Ray Ban?,umbrella that has UV protection,umbrella in different colors etc.
If I have to write all the innovations, it will take two blog posts because that is the extent of innovations that these brands have done.This season the brand has come out with a Laser umbrella aimed at kids.
On the marketing front also the brands have carefully segmented the market according to the age and demographical variables and innovated to suit their needs. For example, one of the common problems faced by lady commuters is the problem they face with the closing of umbrella when they board a bus. The auto-close umbrella will close the umbrella with the click of a button. Also the brands come out with another umbrella that will resist heavy wind. For the older ones, the brand has umbrella that double as a walking stick.These small but customer centric innovations have kept the product an exciting one.
These innovations also has helped the brand to command a premium over the usual black ones.The brand comes in different price range from Rs 59 to Rs 35000. Popy has tie- up with Futai umbrellas of Taiwan mainly for the sourcing of cloth. The brand has more than 140 varieties of umbrellas in the market.

Despite these innovations and smart marketing, the brand faces issues from the entry of cheap umbrellas from China.These can take away the mass market from Popy because mass market is price sensitive and the product is seasonal. The life of umbrellas are less than 2 years and customers may not be brand loyals. Both Popy and Johns are on an overdrive to build the brand equity so as to sustain the imminent price war.

Lion Dates: Makes Your Day Complete

Brand : Lion
Company: Lion Dates Pvt Ltd

Brand Count:228

Lion Dates is an Off Beat brand in the sense that there is no glamour attached to this brand but it is an interesting brand because of its success. The brand has been successful in popularizing a foreign food in India but also brand a commodity.
Dates are popular fruit of the Middle East and 90% of dates are consumed in the producing countries. Lion Dates started operation in 1978 and in 1995, it consolidated its operations under the banner Lion Dates Pvt Ltd.

The company imports dates from Oman because Omani Dates are considered to be of superior quality. Starting from a mere three containers in 1995, Lion dates now imports 25 containers (500 tonnes) of Omani dates last year making India the second largest importer of Dates after France.

How did a small Trichy based company did that? The answer lies in smart marketing and brand building. Lion has been aggressively promoting dates as a product itself. In marketing theory , we talk about communication strategies vary according to the various stages of market development. Here the brand was dealing with an alien product and the primary communication task was to impress the consumer about the product's benefit rather than the brand.
Hence the earlier communication of the brand was around the qualities of dates.The brand concentrated on TamilNadu and later branched out to South India . The brand initially used a simple proposition of " Be Like A Lion" as its main theme. The brand mainly targeted Kids and Mothers as their TG.
The brand was aware that to brand a commodity, it has to take some serious points of differentiation. The brand used Quality and Hygiene as is POD's. Lion was the first branded Dates to come out with Seedless dates. As a consumer, I would vouch for the quality of this brand. Lion also came out with different packaging and convenient SKU's that made this brand a leader in the market.
Once the product became popular, the brand faced competition from unbranded dates. To counter the competition, the brand came out with a campaign highlighting the quality and hygiene of the brand.
The company also tried to leverage the popularity by introducing India's first Date syrup which can be used to make various drinks and even substitute sugar. In 2007 the company launched a new drink based on Omani Date seed with the brand name "Takof" which is made from roasted dates mixed with chicory.The brand is not yet promoted in the market.

Dates have exceptional nutritional value. The fruit contains Potassium,iron calcium,magnesium etc and is considered to be an energy boosting snack. Dates are also recommended by Doctors for older people.
The quality of brand communication for Lion dates has improved considerably over time
. The brand has now adopted new tagline "Makes Your Day Complete" highlighting the nutritional value in a more professional manner.I feel that the brand should position itself as an energy snack and raising the TG from Kids to a larger audience.
Buoyed by the success of Lion Brand, the company extended this brand to various other products like Honey, pickles etc ( in my opinion will dilute the parent brand).

Lion is a brand that has clearly demonstrated the ability of a marketer to brand a commodity.

Idhayam oil : Banking on Health

Brand : Idhayam Oil
Company: Idhayam Group
Agency: Lekha

Brand Count : 219

Idhayam is a strong regional brand in the hugely diverse and unorganised edible oil market in India. Indian edible oil market is huge with a consumption of 360,000 metric tonnes per year. The market is wide and varied with regional preferences diverse across India. For example ,the preferences goes something like this:
Ground Nut oil is preferred in the West, Coconut oil and Sesame oil is preferred in the South,Mustard Oil in East and North, Soyabean oil in Central and North/West and sunflower oil in most parts of the country ( source: superbrandsindia.org).

Idhayam is the biggest brand in the sesame oil (Gingelly oil) segment . The brand has a rich heritage of over 60 years. The company came into existence in 1943 and over these years the brand has grown to occupy a major share in the South Indian market. Idhayam sells over 13 lakh liters per month .

Although in my house, traditionally we use coconut oil, Idhayam is a familiar brand because of the intense promotion by the company. The brand is promoted heavily through television and magazines. The brand uses the famous South Indian Diva Jyothika to endorse the brand.Although the ads are dubbed from Tamil in Malayalam , the heavy and constant bombardment of ads never misses the audience.
What is more interesting is the message of the ad. Idhayam means Heart. The brand has its basic values rooted in health platform. I think the brand had this even before the Sunflower brands took over the health positioning.
Idhayam is positioned as an all purpose edible oil. The brand talks about low cholesterol content and great taste.The ad also reminds you that the oil is best to apply on hair too. Health + Taste has been the positioning of Idhayam for years now.
The company later entered the groundnut oil market with a brand :Mantra Groundnut oil.
The success of Idhayam lies in the ability of the company to built the brand. It had been a commodity business but Idhayam added value and now rules this segment. The brand over time has now come out with an innovative marketing strategy " Oil Pulling". This is an initiative of the company to pioneer the concept of Oil therapy in the country. Oil Pulling is the method of rinsing the mouth with oil for Twenty minutes by Swishing the oil between the teeth. According to the company reports, this process effectively cures glaucoma and gum diseases. ( check out the website & doctor before trying it).

Idhayam is a classic example of branding a commodity. The brand is now trying out new markets for its Sesame Oil. Whether it will be successful or not, time will tell

Source:idhayam.com,hindubusinessline

Brand Update : Lays

Lays has launched its new variant Lay's Stax in India. Although this brand was launched way back in 2005, the brand was limited to select outlets in select markets. This year saw the national launch of Stax. Lay's Stax is a fabricated potato chips which is positioned as healthy snack. The product launch is in line with Pepsico's new orientation towards healthy foods. Stax contains zero trans-fat, no added MSG and is cholesterol free. The brand is targeted towards the young health conscious people. The brand comes in a canister pack which has the unique pullout tray. Pringles was the only brand that has this packaging. The rationale behind this variant is to keep the brand ahead interms of being the innovation leader and also tap the increasingly health conscious Indian consumers.The brand comes in 7 flavours which is enough to keep the Indian consumers testing (tasting) the brand for a long time. These innovations keep Lay's exciting and creates a strong entry barrier for competitors. Lay's have a market share of around 50% in the Rs 1800 crore organised salty snacks market in India. Low fat snacks is definitely a high potential market taking into consideration the changing lifestyle of Indians.

Related :
Lays

Brand Update : Tata Salt

Tata salt has introduced a new brand of salt in South India named " i-shakti". Although no TVC is aired, the brand is being promoted through ads in regional magazines. The ad in this post is in the regional language- Malayalam. Surprisingly the website of Tata Chemicals do not have any information about this brand. There is a possibility that i-shakti is test marketed in Kerala.The brand is being positioned as Iodised Free Flow salt that will help your child to become smart. Tata Salt do not have that much popularity in South India . That may be the reason for the new brand launch.The packaging and the color usage seems to be eye catching . Although the ads are in place, the product is yet to reach the supermarket -it seems.The brand is also endorsed by ICCIDD which stands for International Council for Control if Iodine Deficiency Disorders. i-shakti will take the competition head on from HLL's Annapurna brand. Annapurna is positioned on the iodine platform

Related Brand
Tata Salt

La Opala : Adding style to your lifestyle

Brand : La Opala
Company : La Opala Rg
Agency: Leo Burnett


Indian crockery market is very much fragmented and dominated by unorganised sector. The market is estimated to be around 43000 MT of which the unorganised sector is commanding around 60 % share. Crockery market consists of pottery, kitchenware and tableware.

La Opala is one of the major player in the organised crockery market in India. The brand which was launched in India in 1987 dominates the premium segment in the market. The industry is limited by high labour cost and lack of modern technology. While in India , the industry is labour intensive where as in developed countries , it is fully automated.

The crockery market is driven by innovation. The need for such items varies very much with the culture of the market. While in Saudi a typical dinner needs around 90 pieces of crockery, In India, a dinner needs only 20 pieces. So there has to be distinct products for each market.

Since the need varies with culture and lifestyle, this is a market that is going to grow fast in India.

La Opala is ready to ride this boom by positioning itself as a lifestyle product. But inorder to do that a strong marketing effort is needed to change the way Indians use the tablewares. Traditionally Indians use stainless steel tablewares. While these ceramic and melamine wares are reserved for special occasions. With the popularity of unbreakable plasitic look alikes, products like La Opala will have a tough time in breaking into Indian households.

La Opala is positioned as a premium tableware. The brand aims to " Add style to your lifestyle ". It is a lifestyle product and is very popular as a gift item. Recently La Opala has launched a premium crystal ware brand Solitaire to tap the emerging crystal ware segment. The lower end of the glassware and ceramic segment is dominated by players like Yera and Milton.

La Opala is playing the premium game and have effectively created a name for itself. Using good ads and maintaining high quality , this brand have lot of potential to grow in this market.

Ultratech Cement : The Engineer's Choice

Brand: Ultratech Cement
Company : Ultratech Cemco ( Aditya Birla Group)
Agency : Leo Burnett


2005 saw one of the high profile brand launches in the country. The launch was significant and different because it was the launch of a cement brand. Another uniqueness was that it was a rebranding exercise. L&T's cement business was acquired by Aditya Birla Group in 2004 for Rs 2200 crore making Grasim the 8th largest cement producer in the world.

Grasim was having cement brands like Birla plus and Birla super in the 150 mn TPA Cement market in India. L&T was a leading brand in the premium segment of the cement market. The acquisition gave Grasim an entry into the premium segment of the market.

L&T cement which enjoyed leadership position in the premium cement market epitomized engineering prowess , technology quality and modernity. This has enabled the brand to command a premium over the other cement brands. Grasim was allowed 8 months to use the L&T brand.

Grasim was faced with a tough task. The time was short and there were two choices, merge the L&T brand with existing Grasim brands or launch a new brand . The company decided on the later and did it with style.

The name Ultratech was chosen after careful marketing research. Since L&T does not mean anything by virtue of the brand name, Grasim wanted the new brandname to portray significant intrinsic value of the brand. Hence the name Ultratech was chosen. Since Grasim didnot want to dilute the premiumness that L&T enjoyed, a high decibel ad blitz was launched to announce that L&T is now Ultratech. The campaigns was backed with direct marketing where the company officials met the 5500 odd stockists and authorised dealers explaining the new brand and company policies.

The campaign had lot of significance.

1. It had to make sure that the new brand did not lose the qualities of L&T

2. The new brand should be able to command the same level of premium of L&T.

3. Time was short

4. It was a risky affair.

Cement is basically viewed as a commodity and the industry is fragmented with around 50 players. So inorder to command a premium, the brand had to show a significant differentiation.

Ultratech was positioned as the ' Engineer's choice" cement emphasizing on the qualities such as Quality, Modernity and technology. The gamble has paid off well for Aditya Birla group and Ultratech was able to carry the legacy of L&T cement.

Ultratech is a classic case of Marketing a commodity.