Ceasefire: RIP 1989-2002

Brand : Ceasefire
Company: Real Value Appliances
Agency: Grey

Brand Count : 114


Ceasefire was India's first domestic fire extinguisher. It was one of India's best and worst marketing stories. A brand that virtually created and ruled a category faded out after12 years.

Fire extinguishers comes in the category of unsought goods and it is difficult and expensive to create and survive in such a product category . Real Value Appliances owned by Mr. Pheroze Engineer started operations in 1989 bringing to the country a new concept - a domestic fire extinguisher. The fire extinguishers were not uncommon to Indian consumers. We see it in large malls and theaters. But a domestic one was unique. Indian consumers never thought of having one in their homes.

The product made perfect sense in Indian market ( infact every market). Our households deal with fire all the time and the risk of fire being getting out of control is very much there. Hence a marketing mind would easily see the prospect of cashing in that need : the need for protection from fire. Thus came in to market Ceasefire. The product was compact, unique had a catchy name, looked good and boasted of extinguishing all sorts of fires.

Ceasefire was halon 1211 based fire extinguisher that was very compact and was handy and easy to use ( with minimum effort). Much more than the efficacy of the use, it gave a certain peace of mind to the Indian consumer against the possible fire mishap.

The product was well received in the market. The ads were focusing on building in the consumer a fear about a possible fire mishap . The ads were backed by a sales campaign. The company focused on direct marketing for promoting the product . Since the " Fear of Fire" is so basic to human psyche, the success was imminent. The product was priced at a premium and the customers never complained.

Fire extinguishers , like Insurance is one kind of product where customers are not unhappy if it is not being used. Hence the success is in keeping the " Fear " alive in the customer's mind. The success of Ceasefire was much discussed in Management classes those days.

Then buoyed by the success, the company diversified to Vaccumizer and " rest became history". From a brand that was among the top ten fastest growing brand in the country to a company referred to BIFR, things moved very fast from 1997 onwards.

It happened not because the brand failed the company but it was because the company failed the brand. The unsuccessful new product like vaccumizer and the alleged mismanagement failed the brand once gloried as a marketing success story.In 2002, Real Value Appliances closed down

its operations. May be the brand / company tried to grow very fast without consolidating, may be because of mismanagement.

It was a brand that lost its life because of faults not of its own. But surprisingly, no other brands have come forward to take that position. The product category that was created by Ceasefire is still void. May be the category may not be appealing to the other marketers. But the potential is there and the fear is also there.

Source: magindia, indiainfoline, estrategicmarketing.com

HDFC Standard Life Insurance: Respect Yourself

Brand: HDFC Standard Life Insurance
Company: HDFC Standard Life Insurance
Agency: Leo Burnett

Brand Count :113

India is one of the most lucrative financial services market in the world. The insurance market in India is estimated to be around 400 bn growing at an astounding rate of 30% p.a. Still the experts believe that the potential is largely untapped.

The insurance market is dominated by the public sector giant LIC with a market share of around 71.4%. With the private players leading the growth story, this sector is witnessing more marketing actions than even the FMCG sector.

Traditionally insurance are sold through direct selling. The reason being purely the nature of product warrants direct communication with the consumer. Kotler categorizes Insurance as an "Unsought" product . Unsought products are those which are ranked lowest in terms of consumer interest. Consumers may not be even aware of either the need or existence of such products.

Historically, Indian insurance products are sold for wrong reasons. People buy insurance to avail the tax benefit and not to ensure protection and LIC was happy to oblige. Hence most of the sales talks start with the question " How much do you pay tax?" . Little money was spent on brand building because there was no competition for LIC.

Things have now changed. With the increasing financial literacy, volatile economy and uncertain future are prompting Indians to look seriously at insurance as a means for protection rather than tax saving instrument. With more private players entering the domain, the issues of differentiation and branding became important.

HDFC Standard Life Insurance (HDFCSL) is one of the major players in the insurance market. One of the first private insurers to enter the market, HDFC SL entered the scene in 2000. It is a joint venture between the housing finance major HDFC and the UK insurance giant Standard Life.

Now a days we are seeing a lot of media action from this company. Although a slow starter HDFC SL was having a small share of the pie. It was eclipsed by ICICI prudential with its media and sales blitz making it second largest player in the Insurance market. 2006 saw a shake up in this market with Bajaj Allianz edging out ICICI from the second spot . Bajaj have a market share of around 8% and HDFC SL and ICICI fighting at 3rd place with around 7.5%.

HDFC is currently focusing on The Pension Plan and the Child Plan aiming to cash in on the potential of these segments. The pension market in India is estimated to be around 1000 crore with a huge potential for growth in the future.

The change in the demographics is going to drive the pension market in India. Traditionally in a Joint family, there was an inherent protection for elders. With the urbanisation and the evolution of Nuclear Urban Family ( NUF) , elders are often forgotten. Out of the 314 mn workers in India only 11% has some sort of old age security. People earlier depend on social security products like EPF and PPF to build a corpus for their golden years.

It is this potential that has encouraged HDFC to promote its pension plans. Introduced in 2002, this product has been well received by the consumers. The ads are well executed and revolve around the positioning of "Respect Yourself". The target segment being the 30 year old family man. The basic theme of the campaign is to appeal to the self respect of these men who are in their prime of their career. "Even after retirement let your hands give rather than receive" is one of the best themes for a pension plan. Since I am in that category , these ads strike a chord in me and reminds me of the need to plan for my retirement. The same theme is carried to the Child plan also.

Although these campaigns will help to invoke an interest in TG, the market is in its nascent stage and lot of convincing has to be done to crack this huge market. One of the stumbling block being the expensive annuity plans. For example , it takes a 2 lakh corpus to generate Rs 1000 per month pension. Also if you put 10000 per month in a pension plan if you are 30 yrs old, what you will get after 20 years is a monthly pension of 10000. ( correct me if I am wrong). So it looks unattractive in the first look compared to MFs.

HDFC Standard Life has correctly identified the pulse of the target market and is all set to reap the benefits.

Source: Businessline, HDFC SL website, indiainfoline.com, agencyfaqs

L'Oréal : World Of Beautiful Brands

Brand :L'Oréal
Company:L'Oréal Paris

Brand Count: 112

L'Oreal is one of the most successful International premium brands in India. This French brand came to India in 1991 with its Ultra Doux range of Shampoo through its Agent Laboratories Garnier. In 1994 Laboratories Garnier became the 100 % subsidiary of L'Oréal. In 2000 Loreal launched its range of cosmetics in to Indian market.

L'Oréal is a global giant in the cosmetic industry with a presence in over 120 countries. Its brand is based on the values of Innovation and developing formulations unparalleled in quality and performance.

The Indian Cosmetic and skin care market is estimated to be around $300 Million. In this market the Color Cosmetic segment is around Rs 250 crore while the Skin care segment is estimated to be around Rs 400 crore.

In India the brand is having its presence with three international signatures: L'Oréal Paris, Maybelline Newyork and Garnier.

While L'Oréal was focusing on hair color market in the initial stages of its launch, Maybelline was in the premium color cosmetic segment ( Lipstick and nail enamel) while Garnier in the "naturals" segment.

L'Oréal came to India with its International range of hair colors. At that time hair colors were in the nascent stage with hair dyes dominating the market. The major player being Godrej. The consumers were thagingng lot who had startegrayingng.

L'Oréal changed the way Indian consumers viewed the hair color. The target consumers were not the older lot who want to blacken their grey hairs but the younger ones who want to make a fashion statement.

It was a tough call and to change the Indian consumer's mindset required a good marketer with hell lot of money. L'Oréal had all that. Globally this brand is endorsed by who is who in the fashion world like Claudia Schiffer. In India, the brand is endorsed by none other than Aishwarya Rai. The campaigns of L'Oréal had international models and the Indian models like Isha Koppikar and the ads were positioning this brand as a premium brand. Indian premium class who used to be a globetrotter knew this brand and there was no problem in accepting the Indian version. L'Oréal has garnered a market share of 38% in this segment.

Garnier concentrated on the Natural Hair care market with the main USP of strong hair. The brand positioned as a Unisex brand mainly used its international campaigns in India to appeal to the Indian consumer.

Maybelline is in thcolor cosmeticic segment and is targeting the premium class of customers. This global brand is famous for its tagline "May be she is born with it. May be its Maybeline". This segment is a tough call for Loreal since the global brands and our HLL is fighting for its share.

L'Oréal has now introduced their skin care products in to the Indian market. They have two divisions , one catering to consumer and other to the institution ( beauty saloons). I think the strategy to concentrate on the beauty saloons with specific products is one of the smartest marketing moves. Beauticians acts as influencer in the purchasing decisions regarding skin care as well as hair care. Last week when I asked my hair care specialist ( barber) about a good hair cream, he suggested L'Oréal hair cream. Another advantage is that the beauty saloons acts as a medium for showcasing the L'Oréal brands which can generate interest in the consumer. The saloons also benefit by using L'Oréal brands . Hence it is a win-win situation for the brand and the influencer.

With its smart campaigns and careful brand building L'Oréal has emerged as a winner in the Indian market which has seen lot of International brands biting the dust.

Source: ibef.org,Businessline, Loreal.co.in,agencyfaqs,

Live-in Jeans: Can't Live Without

Brand : Live-in
Company: Microtex
Agency: Contract

Brand Count: 111

The Live-in Brand of jeans come from Microtex Ltd which is the part of Maxwell group which is famous for their VIP brand of Innerwear. Live-in is a leading brand in the Rs.1500 crore denim market in India. According to a report on imagesfashion.com, the jeans wear market is growing very fast across various categories.

Live-in jeans is competing in the mid segment of the jeans market. The product was a bold move by the innerwear marketer into a market dominated by unorganised sector. The main target segment for Jeans are of the age group 16-35 ( although we find many 60 yrs old "young at heart" freaking out in jeans).

Live-in was launched with smart clutter-breaking ad campaign. It used the super model Dino Morea which added a touch of class to the brand. The brand was positioned as the ultimate comfortable brand which you will " Keep Them On and On and On". The baseline and the positioning was an instant hit and the brand had a good run ( I don't have the market share numbers).

The name "Live-in" is the most appropriate for a brand for jeans. The name came it being with a consumer insight that the youth these days virtually are living in their jeans for 18 hours a day.(magindia.com)

Later the brand extended into trousers and shirts. The Live-in shirts were using the baseline " Above All Else". The trouser range was using the baseline " Meet Your Lighter Side" . The campaigns of the trouser range was a flop because the company tried to add humour to the brand which failed. The flops eroded lot of equity of Live-in and the brand is back after a restructuring.

The primary reason for the extensions to fail because it deviated from the successful positioning of the Jeans brand. I can vouch that Live-in trousers are one of the best in terms of fit and quality in that price range. It could have given the Peter England Brand a run for its money, but it did not happen.

The latest relaunch of Live-in has done away with the famous " Keep them on" may be because it has been taken by batteries like Amaron. So Live-in is now with the tag " Can't Live Without", which is a smart baseline. The brand is now making lot of noises across the media with some good campaigns.

Pricing is a major factor in this market where the growth is happening most in the sub 500 category where Newport and Ruf N Tuf are the major players. It is said that even Pepe have a brand in this segment.The entry of all major global brands in to India have provided a bonanza for consumers. But for a marketer it is a nightmare to find the right place with the right product with the right price.

Live-in is a brand with good recall and a good product. Most of the Live-in users will agree with me that Live-in have huge potential to be a readymade brand especially in the trouser segment.

Live-in let me hope it will go on and on and on.....

Source: magindia.com, agencyfaqs,indiatodayplus.com, imagefashion.com,magindia .com

Dyna Beauty Soap : Be A Lady

Brand : Dyna
Company: Anchor Beauty and Cosmetics
Agency: Art Advertising

Brand Count : 110

For the last couple of months I was intrigued with a tvc featuring a new brand of toilet soap DYNA. The ad featured the super model Katrina Kaif and the frequency of the tvc was quite heavy that it was sure the brand had some large corporate backing it . It took some time to find out that this new brand is owned by Anchor groups who rules the electrical accessories market in India.

Anchor has been very aggressive in its diversification strategies. From Electricals, the company moved into a totally unrelated and cluttered FMCG space by launching Anchor toothpaste. Branding experts were shell shocked at seeing the Electrical accessory brand extending itself to toothpastes. I thought the brand will fail, but it didn't . Anchor brand of toothpaste is now having a market share of 7% in the toothpaste market with a differentiating feature of being 100% vegetarian.

Anchor has enteredthe soap market, which is estimated to be around 4800 crore . The market is cluttered with lot of brands, dominated by none other than HLL with a market share of over 55%. So it is a brave move by Anchor.

Dyna is available in two variants. The brand is said to have higher total fatty matter and is positioned as a popular grade one soap. Although the company is spending money in building the brand and is using a well known model to endorse the brand, the execution of the campaign failed miserably in communicating the Brand. There is no positioning , no segmentation. I think that the brand is aimed at the mass market. The baseline " Be a Lady" conveys no meaning at all. The tvc just shows the beautiful Katrina using Dyna Beauty Soap . Thats it...

Dyna has entered a market which is fragmented and segmented in all possible way.The brands in this market are positioned on all possible ways . You name a positioning strategy based on feature/benefit/size/shape/attribute/celebrity/price/value/

psychographics any thing, a brand has taken that positioning.

So can Dyna survive as being "Just A Soap" + Katrina ?

Source: Magindia.com, Businessline. sify.com

Jealous Jeans : Jeans And More

Brand : Jealous Jeans
Company: Indus League

Brand Count : 109

Jealous Jeans is the one and only Indian brand in the women's jeans segment. The brand earlier owned by Jealous Fashionwear was acquired by Indus League in 2005. The brand was not a new brand rather the brand is 15 years old. But it was a niche player. I don't think that the brand had any presence in South India . The brand was not aggressive owing to the factors like Jeans being not popular among ladies in the early 1990's.

Things have changed now. There is a marked change in the demographics and psychographics of Indian women consumer. The younger crowd is not wearing conventional dress opting for modern dresses and also very individualistic in their choice of attires. Thus the Jealous brand once restricting itself to a niche is bracing itself to a larger market. With marketing strength of Indus League, Jealous can cash in on the highly potential market.

Jealous is positioned as an Urban Women brand ( young at heart) , age 16-24. The brand is based on the values like " self esteem", individualistic and fashionable. The brand is edgy, hot and it is new. ( as per their website).

In order to keep the excitement going, the brand comes out with a new design every 3 months. The brand was relaunched last year as a really hot brand with John Abraham endorsing the brand ( unusual for a feminine brand ).The company have priced the brand reasonably and is not restricting it to jeans, the baseline " Jeans and More " is a good one giving lot of room for the
brand to grow. In the promotion front, the brand is not yet aggressive. I think the company is fine tuning its distribution network before spending on promotion.

It is challenging for a marketer to keep up with a feminine brand. It needs to be constantly updated and exciting and fun and many have failed on their way to rule the Indian lady's mind. Jeans for that matter is more challenging. 70% of the market is ruled by the unorganised segment. Hence the organised sector had to compete on the basis of price to survive in this market.

Jealous have a tough task ahead of it but with the advantage of " first mover" and with investments in brand building , it can make other jeans Jealous.

Source: Business line, retailyathra, jealous website, indusleague website, agencyfaqs.com