Tuesday, March 31, 2009

Brand Update : Tata Nano

After a long and treacherous journey, Tata Motors have finally launched Tata Nano. No other product had such an excitement in the Indian market as Nano. And no other product had to face those hardships that this brand had to face.

Although the brand has been officially launched, consumers may not be able to get hold of Nano anytime soon. The first car is expected to be delivered only in June and the company will be able to meet the entire consumer demand only in a phased manner.

Nano now comes in three variant. The basic version is the One Lakh car and there are two upgrades. The basic version will cost around Rs 1,30000 on Road and the premium version will cost around Rs 1,80,000.

Nano is a special brand. It is a brand that symbolises an entrepreneurial dream. It is also a brand that symbolises determination , hardwork and innovation.

With the launch, Nano also have its tagline " Now You Can " derived from the famous campaign of Barack Obama. The new tagline symbolises the brand's promise of an affordable car for the masses.

Nano also gives a very valuable lesson to the marketers. It shows that low cost does not necessarily mean a 'cheap ' car. Nano suprised many with its stylish look, spacious interiors and a good quality drive. All these comes with a very low cost.

Usually when we think about a low-cost product that is targeting the lower rung of the consuming class, the focus is more on functionality and compromises. The resultant product is a poorly designed functional product with rugged look and zero aesthetics.

Professor CK Prahlad famously remarked in the book " Fortune at the Bottom of Pyramid " that the consumers at the bottom of pyramid wants an affordable product and not a cheap low quality product.

Many Indian consumers irrespective of social class is going to buy this car because it is a very good looking , highly functional car and not because it is a cheap car.

Tata Nano also gives the marketer a golden key to tide over the recession. Come out with a product that catches the imagination of the consumers.


Related Brand
Tata Nano

Sunday, March 29, 2009

Brand Update : Bournvita

Cadbury's has launched a brand extension for Bournvita - Bournvita li'l Champs. The new extension is targeting the little kids aged 2-5yrs. The brand is competing with Junior Horlicks in this segment.

It seems Bournvita has taken this new extension seriously. The brand is on a high gear and has roped in the tennis sensation Sania Mirza to endorse this product.

The Television Commercial is right now on air in most of the channels : Watch it here

I think the brand has jumped into this segment for two main reasons. The first being the potential of the market. The current lifestyle and the family profile has increased the need perception for health supplements/ drinks for the little ones. Mothers are always worried about the food intake of the kids and it is a universal phenomenon that during this age, kids hate food.

Hence it is easy to attract mothers towards such products that promises well being for their little one. Another reason is that there is only one major player in this category. Hence there is room for Bournvita to explore this market already created by Junior Horlicks.

Bournvita Li'l Champs is touting on its nutritional content and its 5 Star taste to catch the target segment. The packaging is refreshingly new and attractive. The brand is promising the mothers to make their kids champions like its brand ambassador.

There is a difference in the positioning of Junior Horlicks and Li'l Champs. The Junior Horlicks has positioned on the functional benefit while Li'l Champs is riding on the a higher platform of emotional benefit. How ever since both these parent brands are well established, there is enough room for growth without eating to each other's shares.

Like Junior Horlicks, Li'L Champs will also ride on the equity of the parent brand.

Related Brand
Bournvita
Horlicks

Thursday, March 26, 2009

Macroman : Excitingly Male

Brand : Macroman
Company : Rupa & Co


Brand Analysis Count : 389

Recently I was virtually stunned by a huge billboard featuring the bollywood hunk Hrithik Roshan endorsing an Innerwear brand. The brand was Macroman. Macroman is from the hosiery major Rupa &Co which is famous for the brands like Frontline and Euro and
also famous for the tagline " Ye Aaram Ki Mamla Hain ".

Although innerwear brands has been using celebrities like Salman,Sanjay Dutt, Sunny Deol etc, this Hrithik ad was different because Hrithik was an unlikely candidate for an Innerwear brand.

Reports say that Hrithik was initially not very keen on endorsing an innerwear brand . The company put an offer that was too good for him to refuse ( some say it was Rs 10 crore for two year contract).

Macroman was not a new brand. The brand was existing as a sub-brand of Rupa . Initially the brand was only one product ie briefs, till 2000.Later the brandline was extended to include vests also. In 2007, the brand was lifted from a sub-brand to a standalone primary brand.

Macroman shot into limelight in 2007 when the company decided to promote this brand as a premium innerwear brand. The brand had a phased relaunch across India and the use of Hrithik got the brand a huge mileage interms of media publicity.Hrithik endorses Macroman M series which was created as a line extension of Macroman brand.

Macroman has chose not to adopt the Rupa's positioning based on comfort. Infact the brand is conscious not to even mention that it is from the product line of Rupa because it wanted to create a premium image.

Macroman has adopted a tagline " Excitingly Male " and " Live like a Macroman " .Although the company had paid through the nose to get Hrithik, unlike Salman and Sanjay Dutt, Hrithik will give a touch of class to the brand because of his young age and the charisma.

The premium segment of the innerwear market is witnessing huge competition with all major readymade brands extending itself to innerwears. Brands like Color plus and VanHeusen have launched their innerwears and there is the presence of a strong market leader VIP. Hence the challenges for Macroman is huge.
Watch the TVC here : Macroman

It is reported that the contract with Hrithik is for two years from 2007 and the brand has not created a huge buzz across the market. In my state of Kerala, I havn't seen any promotional activity of this brand except the hoarding which I saw the last day.

Time will not wait for any brand. Macroman had a prize catch celebrity which could gel well with the brand's positioning as a premium innerwear. The only thing that Macroman has to do is to capitalize on the hype before it is too late.
Related brand

Rupa

Tuesday, March 24, 2009

Brand Update : Perk

Perk has got a new brand ambassador in the upcoming bollywood actress Genelia. When ever the brand has a celebrity, the agency is in a state of utter confusion as to where the celebrity and the brand will fit in. The eternal question of whether the celebrity or the brand should get the maximum focus still not yet found by those creative hotshots. 

In a hurry to tap the maximum out of a celebrity's persona, the brand is shoved into the periphery. What ultimately comes out will be something like the new ad for Perk. 

The ad goes like this, Genelia and her friends are in a deep forest ( Lost it seems )
 and they find a odd looking guy selling Tie inside the forest. Later the group finds a Party going on in the middle of the forest. But they are not allowed inside because they don't have a tie ( dress code).  Dejected, the group goes back and takes rest , then Genelia sees the Perk and uski demag ki bathi jala and she and her friends use the Perk wrapper to make the tie...

Whew... I hated writing the above  script because video was not available. 
In the whole 60 sec ad, there is a  single shot of Perk. Rest is all bullshit. At the end of the ad, there is the brand's tagline " Take it lightly " which  does not hold any  connection with the whole plot. 

Remember this is a brand which shot into limelight using Priety Zinta very effectively. The brand itself is showing how to use a celebrity effectively and also how to mess up the brand running after a celebrity. While trying to use Genelia's charm and youthful look, the brand was totally forgotten. The plot is totally  out of sync with the brand's positioning. 

Perk also soft launched its variant Perk Poppers which is a product similar to Munch Popchocs.

Related Brand


Saturday, March 21, 2009

Marketing To Indian Youth : Celebrities and Millenials

Indian marketers has been an addict of celebrities. From salt to automobiles, celebrity endorsements has been one of the most used marketing strategies in the Indian market . In a recent article in Economic Times, a survey was quoted which would give marketers a second thought about their obsession with celebrities. 

The survey was conducted by The Futures Company of the WPP - Kantar Group. The survey was conducted across 18 countries that represent 80% of the world GDP. The Indian sample contained 700 individuals from 14 urban centers, metros and Tier1 cities ( ET March 16, 2009).

The survey results indicated a segment of 16-25 affluent youngsters which are referred as Millenials. The Millenials are upper class youngsters who form an important part of the high spending consumer segment across the globe. This highly connected youngsters represents the hip-hop generation who are not averse to spending on themselves.

The report reveals some important characteristics of this Millenials. These segment are not apologetic about spending on themselves. They think that they have a primary responsibility towards themselves and allots some time and money on themselves. Indian millenials also would prefer to be with the crowd but would like to stand out.  They would like to try out new things and experiences.
Indian millenials also exhibited attachments to family and community. They feel very much connected to parents and peers. The  young consumers are also attached to local community, culture and traditions.

The interesting part is the attitude of these segment towards celebrities. These consumers doesn't see celebrities as real or authentic. But these youngsters are influenced by real life heroes as their role model. For marketers, this is  bad news. It is true that most of the celebrity endorsements are aimed at the sticky factor - making the consumers watch the ad rather than promoting authenticity. But the over use of celebrities has made them a commodity. One of the reasons for this distrust is that these consumers are highly informed and they know that using celebrities is a strategy and has nothing to do with the authenticity. For the less fortunate Indian youth , celebrities hold some amount of influence either in purchase or in brand recall. 

Read the full article here : Celebrites not so hot with Gen- Y

Thursday, March 19, 2009

Brand Update : Dettol

Dettol celebrated its 75 years of existence in 2008. This highly popular antiseptic brand has come a long way since 1933. After a plethora of extensions and experiments, this brand is still ruling the Indian market as the most preferred antiseptic lotion and also as a premium soap.

The brand celebrated its 75 years by reinforcing the germ killing positioning and the tagline " Be 100% sure ". The brand is currently running a campaign highlighting the efficiency and the multi-uses of the product.

In marketing theory , it is taught that one of the strategy for a brand which has reached the maturity stage of PLC is to find new uses for the product. The Dettol brand is currently in the process of discovering those new uses for the product. When the consumer uses the product for different purposes, the sales naturally increases.

A classic case that is used in most marketing textbook is that of the Baking Soda brand Arms & Hammer. The brand found that consumers use baking soda as a refrigerator deodorant. Arms & Hammer ran a series of promotions to encourage consumers to place an open box of Arms & Hammer in their fridge. The brand later extended itself into various products like toothpaste and antiperspirant . ( Marketing Management, Kotler, Keller 13ed)


The best way to find the new uses for the product is to ask the consumers. Dettol did just that. It ran a series of promotions asking consumers to tell the company , how they used Dettol.

Watch the commercial here : Dettol new uses
The brand asked the consumers to contact them and tell the company on the multiple uses of the product and thus gained lot of insights into the various uses of the brand.

The brand later came out with a series of campaign highlighting the various uses of this antiseptic. Dettol now taken the platform of a multi-use antiseptic which can be used during bath, to clean wounds, to sterilize clothes, floor etc.

Although homemakers has been using Dettol for all these, the company has now taken these uses as a part of the core product. The brand is trying to break the image of Dettol as an antiseptic which is used for cleaning wounds.
Along with this initiative, the brand also reinforced its commitment towards hygiene. The brand has selected hygiene as the core brand value and theme which it will fight for.

In 2008, the brand conducted a study which showed that 78% of frequently touched surfaces in a household is highly contaminated. The brand then conducted a series of awareness campaign to promote better hygiene using Dettol.

Using hygiene as the major theme, Dettol is trying to increase the usage of the product among the households. Because of the excellent brand equity, Dettol is in a position to ride this wave.

Regarding the distribution, recently I wanted to buy this brand from my nearest grocery store but was surprised to find that the product was not stocked there. He told me that Dettol is available only in medical shops. A major super market is also not stocking this brand. I am not sure whether Dettol has stopped selling through OTC . If it is so, then the brand is in for trouble.