Monday, September 29, 2008

Snickers : For the 4'O'Clock Hunger

Brand : Snickers
Company : Mars INC

Brand Analysis Count : 351

To the joy of all chocolate lovers, the world's largest selling chocolate Snickers is now officially in India. The brand has been selling like hot cakes in India as an imported chocolate. Now Mars INC has formally launched the brand in India.

Snickers is owned by Mars Inc which is a $21 Billion company headquartered in US. The company belong to Mars Family which has a rich heritage dating back to 1911. Snickers is the largest selling chocolate in the world with a sales of over $ 2 Billion. Mars Inc is famous for its famous Mars chocolate which have a huge fan following across the world. It also markets the brands like M&M and Bounty.

Snickers has been a favorite of Indian chocolate lovers who devoured this chocolate bought either from the duty paid shops or brought in by the NRIs. But over the last two years , the brand has been available in most bakery's across the country . A report in Business Standard ( June 08) suggest that the imported Snickers and Mars outsold Cadbury's and local brands.

Snickers was born in 1930. The brand acquired the name from one of the favorite horses owned by Mars family

Snickers has been soft launched in India. There are no media reports or Press releases announcing the launch of this brand. I am not sure whether Mars Inc has started producing this chocolate from Indian factories or its still imported.

Snickers is a heavy chocolate with peanut, milk chocolate and caramel. Globally it is positioned as a snack rather than a chocolate . In India too, Snickers has been positioned as a snack.
What is interesting about Snickers launch in India is that the brand chose to localise the brand communication . The first TVC of this brand is made for India and made in India.

Watch the TVC here : Snickers India

Usually MNC brands try to import their global communications to India to create that global image. How ever Snickers chose to be Indian from the very beginning.

Snickers is positioned as a snack food. More specifically , the brand is being positioned as a snack food to fight the Four' O ' Clock hunger. The brand has the Hindi Tagline " Hunger Baja Char . Snicker Khol Yaar " , translated to " When 4'o'clock hunger strikes, open Snickers bar".

The positioning of Snickers is not very different from its competitors. Remember that CadburyPerk had the same positioning as a snack. However Snickers have a strong fan following in India even before its official launch.

For many years chocolate marketers have been struggling to teach Indians to take chocolates when you feel hungry. But so far they are not able to break into the mindset of Indian consumers. Indians don't consume chocolates when hungry. Chocolates are mostly taken after you take some food or they take it when they want some thing sweet . Why because Indian consumers don't consider chocolate as a food. So Snickers will be fighting the age old perception and will have a tough time teaching Indian consumers new lesson.

Snickers will have a tough time in India. Most of the chocolate manufacturers are faced with stagnant sales . To sustain the initial momentum is not going to be easy. Globally the brand has been trying hard to prove that Chocolates are good for health. It had undertaken many studies which prove that chocolates can be good for health. These studies are also very controversial and sparked many debates about its validity.

Snickers has the advantage of a strong cash rich parent and a strong brand equity. It will be interesting to see how this global brand breaks into Indian market.

Thursday, September 25, 2008

Brand Update : Whisper

It has been long time I updated about the brand Whisper. Whisper has been a challenger brand . During the launch in 1989, this brand challenged the market leader Stayfree which was rather complacent from being the market creator and the leader. 

By smart brand building, Whisper made Stayfree shudder by garnering 40% share in the market. 
The last two years has seen a brilliant marketing fight between Stayfree and Whisper. Johnson & Johnson sharpened their marketing skills and regained its dominant position by waging a price war. 

J&J knew that P&G was burdened with high cost and it could not lower the price of Whisper. Further Whisper was positioned as a premium brand. The price was enabled Stayfree to retain the leadership position in the Rs 700 crore Sanitary Napkin market in India.

But Whisper did carry the fight on price by launching Whisper Choice which was the affordable variant for the price sensitive consumer. Its expected that Whisper Choice will bring in the volumes and take on the fight for leadership position.
Another significant development which prompted me to update this brand is the current campaign. 

Whisper has recently launched its global campaign "  Have a Happy Period " campaign in the Indian market. I sat in a state of disbelief when I first came across the campaign that boldly used the word " Period " ( common usage for Menstrual period) .  I think its the first time in India that some brand has expressively used this term in the mass media. 

Most of the ads for sanitary napkins shy away from the usage of  word 'Periods'  in their ads . Most used term was " Woh Din " meaning ' those days ' to denote the menstrual periods. So the new campaign made me curios as to whether Indian consumers have  matured enough to hear such terms through mass media. 

The campaign " Have a Happy Period " was created in 2005 by Ms Denise Fedowa who was a VP at Leo Burnett Chicago. This campaign is still running across various countries.  According to a report in Adweek, research shows that consumers are telling the marketers to be transparent and frank in their communications. 

The success of this campaign is a proof that consumers are  accepting frankness in marketing communication as long as it does not cross the limit of decency . 
Read a wonderful article in adweek here : Talk Dirty

P&G thinks that Indian consumers are also mature enough to understand the new found frankness with regard to Whisper. I agree because the TG of Whisper belongs to the educated sophisticated ladies who have more liberal world view. We are living in a generation where parents are not shy in telling their kids about menstrual periods and physiological changes. 

What is more interesting is that along with these campaigns, P&G is also running a below-the-line campaign called  Whisper School Health and Hygiene Education . The program tries to educate the teens about hygiene and care during these periods. The samples of Whisper is also distributed to the Teens. 

The idea behind the campaign is to catch the customers at the Point of Market Entry Stage . ( source ET). The kids are introduced to the brand at a time when they are about to use the category. And once the customer uses these kind of products, they stick to the brand. 
In order to build a community around the brand and also to encourage customers to talk about the brand, Whisper has launched a website specifically for this brand. The site is beinggirls.com which encourages the customers to interact with each other. The site also serves as a media to spread product information and new launches from the brand. 

I used to tell in marketing classes that one of the ways to increase the sales of a product is to find new uses for the product. I found an interesting report that AIIMS is planning to use sanitary napkins as bandages because its hygienic and have excellent absorbing qualities. Read here . 

Related Brand

Wednesday, September 24, 2008

Tic Tac : The New Hello

Brand : Tic Tac
Company : Ferrero
Agency : Orchard

Brand Analysis Count : 350

Tic Tac is world's leading mint confectionery. This brand belongs to the Italy based Ferrero Group which owns some iconic confectionery brands like Ferrero Roche and Kinder Joy.

Tic Tac is trying its luck in the Rs 180 crore mint confectionery market in India which is dominated by the likes of Polo , Chlormint and the likes.

Tic Tac is differentiated from the rest of the crowd on the following aspects :

Packaging : Tic Tac comes in a special transparent plastic box with a flip open lid. The compact box acts as a clear differentiator for the brand. The packs are easy to carry and easy for the customer to use.

Form : Tic Tac is also different in terms of the product form. The small mints are called tic tacs are uniquely shaped and looks beautiful.

Flavors : Tic Tac 's main differentiator is the flavors. The brand is available in many flavors including fruit flavors. This helps the customer to break the monotony . Since consumers exhibit variety seeking buying behavior when buying confectionery , the many flavors help the brand immensily .

Ever since the launch last year, the brand has been investing heavily in communication.The initial communication was focusing on the main benefit of freshness . The tagline of the brand was " Natural Mint , Natural Flavors ".

The ads of Tic Tac was well made which showed the rain following a young man. Rain indicating freshness. The focus of the ad was to reinforce the connection of mint and freshness.

Currently the brand has repositioned itself on a new platform. The brand is now running a commercial positioning the brand as a conversation starter. (similar to Timex )
The brand has a new tagline " The new hello ".

Watch the commercial here : the new hello
What I like about the ad ( library ad ) was that the models look very ordinary and that makes the brand more approachable.
Tic Tac also made sure that the brand is available at a reasonable price point. The brand is retailing at Rs 10 which makes it attractive .

Tic Tac in a way has made every marketing mix elements right for the Indian market. The product is good and well differentiated . The brand is at an attractive price point , the product is available at most of the outlets and the company has been investing in brand communication.
The new positioning statement also has the strength to sustain few years .

Sunday, September 21, 2008

Brand Update : Titan

Titan has launched a new series of watches. The series is called Titan-WWF series. This series isbeing launched in collaboration with the International NGO -Worldwide Fund for Nature ( WWF).

Titan and WWF had entered into a tie-up to celebrate the World Environment Day. World Environment day is celebrated on June 5 every year. This year's theme is on Low Carbon Economy.

The current launch is an extension of the tie- up between Titan and WWF.

The aim of the collection is to raise the awareness about endangered species among Indian consumers. The new series is inspired by six species of animals who are fast getting endangered. The six species are

Indian Tiger
Indian Rhino
Gangetic River Dolphin
Red Panda
Whale Shark
Oliver Ridley Turtle.

The collection is targeted at the new generation consumers who wants to express their concern about animals and nature .

According to press reports, some contribution will go to the WWF from every sale of these series of watches.
More than the monetary part, this collection is aiming at the non-monetary benefit of awareness among the public. These series of watches are priced at the range of Rs 3000- 38000 and comes in 13 different styles.
Already the brand is running a series of print ads featuring the brand ambassador Aamir Khan.

The launch of this series is a good move by the brand to add a touch of social equity to the brand. Its a way for a brand to show concern to matters that affect the consumer . Another positive about this series is that the designs looks good and may prompt many customers to buy this brand because of the style rather than the cause.

On the negative side , Titan is far ahead of its time because Indian consumers are less sensitive towards Nature ( my opinion ). Hence I am doubtful about the actual number of customers who will opt for this series for the actual cause. The sale of this series will be a good indicator of Indian consumer's sensitivity towards this cause.

Related Brand
Titan

Friday, September 19, 2008

Wild Stone : Wild by Nature

Brand : Wild Stone
Company : McNroe Chemicals Ltd
Agency : Asian Shopping Club

Brand Analysis Count : 349


Sex Sells or does it ?

Well an ambitious chemicals company in West Bengal thinks that Sex sells . So when they wanted to sell deodorants they put that principle into practice.

The result speaks for itself. Their ad which is available in the youtube is watched more than 8 lakh times. A brand search in the google gives you 100 invitations to see the uncensored ads. So at times sex do sell.

Wild Stone is a market challenger. This brand from an unknown company has been able to make its presence felt in the market thanks to the controversy generated by the ad.

The ad is set in the background of Durga puja. The plot is that a homely bengali lady accidentally bumps into a stud and the Wild Stone perfume takes her into a fantasy involving the stud.
While youtube has the uncensored version, the channels are showing the heavily censored version.

Compared to the raunchy ad of Amul Innerwear, this ad is not of bad taste but ofcourse its highly suggestive ( I am talking about the censored version ).

In a report in Live Mint, the company clarified the heavy use of sex in their ads by saying that the TG which is 15-30 is highly influenced by these type of commercials.

Like in the case of Amul innerwear , these type of commercials helped these brands break the clutter. According to Live Mint, there are about 37000 television ads which are shown on every day. To make the customer discuss about the ad is not a child's play. For a small company with a limited budget, its a jackpot if their commercial is discussed and shared.

I think these controversial ads help these brands get the trial sales very fast. And for a new brand , getting trial sales is of significant importance. Because if the product is good, the customers will come back .

But there is a risk factor also. The risk comes from the regulators and civic society who will definitely cry foul. Recently Government has asked HUL to withdraw the commercial of Axe Dark Temptation.

Another risk is with the execution . The agency has to be very careful not to offend the customers. If the customer is forced to switch the channels because of the ad, its not going to help the brand.

In the case of Wild Stone Deo, the censored version has helped the brand to break the clutter and I bet many have checked out this brand. I am yet to find this in my city hence not able to comment on the price. I feel that is priced at a premium.

But there is another issue. From here to where ?

Amul Innerwear has released the follow up commercial which was again little controversial . For Wild Stone, the challenge is to bring the brand into focus.

The tagline ' Wild by Nature ' will prompt the agency to follow the current route which I feel may not do well with the brand. The brand should aim to build on the current eyeballs into developing a positive association with the brand through the follow up campaigns.

Related Brand
Amul Innerwear

Picture courtsey
Cutting the chai

Wednesday, September 17, 2008

Brand Update : Air Deccan RIP (2003-2008)

On August 30 ,2008, Kingfisher officially announced the rebranding of Simplifly Deccan to Kingfisher Red. It marked the end of a wonderful brand which rewrote the aviation industry in India.

Air Deccan was India's South West Airlines. It made air travel affordable and many Indians had a chance to experience traveling in a plane. Now it is a part of history.

As a marketer , I am upset at the demise of a wonderful brand. As a consumer I worry that I will not be able to have an affordable air travel. Without Air Deccan , air travel will not be the same again. Its back to the earlier days where flying will be restricted to rich and those who travel at their employer's expenses.

When Kingfisher took over this brand followed by rebranding it as Simplifly Deccan, I thought that Air Deccan will emerge as one of the best low cost carrier in India. I did not believe media reports that Kingfisher was only looking at the overseas flying license.

Now I feel these reports were correct. Kingfisher had the following agenda :
Kill the competition
Gain market share
Get the overseas flying licence.
Many new airplanes and routes.

By taking over Deccan, Kingfisher got a larger marketshare to fight Jet Airways. More over Air Deccan was creating huge problems for full service airlines. By taking over and killing this brand,Kingfisher has made life easier for all airlines.

For Captain Gopinath, its life as usual. As an entrepreneur , he has built a business, scaled it and then sold it at a best price.

The problem for Air Deccan was that it went public too early. When the companies become public, its operations are guided by the quarterly reports and stock markets. Stock markets never understand the logic of long term sustainable business models. If the quarterly results are bad, there is media / investor frenzy calling for blood.

For Low cost carriers, one cannot survive by looking at quarterly results. The business may bleed for long before attaining break-even. Especially in Indian aviation industry where there is still confusion in terms of policies.

For a consumer, the death of this brand is a huge loss. Its visible also. All airlines have jacked up prices, cut many routes and scaled down their operations. This has prompted many consumers to depend on Railways again. If Air Deccan was alive, it could have rode this season with lower prices. That's what a low cost airlines will do when every airlines increase their prices.
Kingfisher Red will not play the game of Air Deccan. It will be a flanker brand that will fight Jetlite. But never will you be able to fly at reasonable rates.

Related brand
Air Deccan