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MART

Comprehensive Rural Marketing Solutions




                                          MART
                         ...
MART
A Brief Profile

  • MART, a leading Consultancy Firm in
    Emerging Markets with specialization in
    BoP consumer...
Services
End to End Solutions
Research
Business Problem Diagnosis through user centric
approach

     Strategy
     Develo...
Sector
Areas of Work




    Livelihoods &     Food &
    Market Access   Agribusiness   Healthcare



      Banking &    ...
Capability in Implementation

• Conducts Pilots
    Concept test product prototypes
    Market test product prototypes
 ...
MART’s
  Implementation Capability
Innovation in Communication Platform  Pilot  Scale Up


       Below the Line Communi...
A case of innovative communication approach

TATA SHAKTI
Background

 • Product
     Galvanized        Corrugated
      Sheets
 • Brand
     Tata Shakti
 • Customer
     Rural ...
Status
• Status of Business in 2003
    Stagnant, no growth for last 2
     years
• Customer Profile
    Mostly illitera...
Brand Communication Strategy 2003
(before MART involvement)


• Use of Static Media
    Wall and Shop Painting
     Limit...
MART recommended promotion at weekly markets

 • Why weekly markets
       Visitors are mostly rural poor (R3 + R4), so t...
Impact of Campaign

• Participated in 5,000 markets in 17 states, 250 districts over 4
  years.
    Four million potentia...
RURAL PROMOTION: TATA SHAKTI




                               13
Philips
Philips
Problem       Despite Philips Bulb being a well known brand in rural, bulbs are
              bought by wattage an...
Philips
             Create a high decibel noise to reinforce the brand.
             Help develop channel relationships.
...
Philips

                      Addition of Non
Growth of 120%        Traditional Channel



                 Outcome

Incr...
Rural Promotion : Marico

Parachute: Fighting Loose Coconut Oil in Haats
    Problem: Rural markets in Maharastra sold loo...
MART’s
   Implementation Capability
Developing a Concept  Pilot  Developing Model  Scale Up



             LAST MILE D...
Innovative model using the women from SHG groups

PROJECT SHAKTI


                                                   20
Hindustan Unilever
• Hindustan Unilever Limited (HUL) is India's largest fast moving
  consumer goods company
• Has a wide...
HUL Rural Coverage Strategy


High                                             Indirect Coverage
                        C...
Concept

• Unilever wanted to penetrate deeper to 1,000 to 2,000 pop
  villages – existing distribution model unviable
• S...
Process
           Business concept explained to the group women




            Women get consent from family and husband...
Project Shakti

 •   MART’s role
      Conceptualization, Pilot,
       national rollout
      Identification & selectio...
Shakti Vision

• Shakti 2005-2006
      15000 Shakti Entrepreneurs
      50000 villages
      10 Million Consumers
   ...
Developing Low Cost distribution Model



                                 27
Reaching The Last Mile

• MART’s model
  Reach the last mile with educated unemployed rural male youth
   Recruit class 1...
The Model
   • Trained volunteer is provided a
     branded bicycle, umbrella and
     a box to carry ready stocks.
   • H...
The Model
   • Market coverage
       Daily visit to uncovered
        areas (> or < 2000 pop
        strata)
       Cov...
The Model
   • Communication
       Focuses on Brand
        Recognition to fight
        menace of spurious
       Comm...
Results

• Coverage of
    4 Haats every week
    30 villages
• Average daily sale Rs 700/ youth
• Monthly income Rs 3,0...
MART’s
   Implementation Capability
Developing a Concept  Pilot  Developing Model  Scale Up


                      Ras...
HP Gas
  Company                      Quali/Quanti                                  Strategy
  objective                  ...
HP Gas




         35
HP Gas
                                                            A New
          Pilot                        Inputs    ...
HP Gas




         37
MART’s
       Implementation Capability
Developing a Product Concept  Prototype testing  Product Launch


              ...
Shell Foundation

       Company                                                                   Product
               ...
Shell Foundation




                   40
Shell Foundation
 Prototype             Prototype                     Inputs for                        Commercial-
Develo...
Shell Foundation




                   42
MART’s
   Implementation Capability
Developing a Concept  Pilot  Developing Model  Scale Up


       Improving Access t...
Project Arogya
   Company                            Quali& Quanti                             Strategy
   objective      ...
Project Arogya
                                                                   A new
           Pilot                  ...
Project Arogya




                 46
Our Clients-Corporate
THANK YOU


            48
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Mart Implementation Team (Dellhi based Rural Marketing Research & Consulting Firm)

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Transcript of "Mart Implementation Team (Dellhi based Rural Marketing Research & Consulting Firm)"

  1. 1. MART Comprehensive Rural Marketing Solutions MART A – 32 , 1st Floor Sector – 17 NOIDA - 201301
  2. 2. MART A Brief Profile • MART, a leading Consultancy Firm in Emerging Markets with specialization in BoP consumer segments • ‘Social Heart & Business Mind’ Philosophy • Works both in Corporate and Social sectors • 50 professionals across India • Worked in Nepal, Afghanistan, Mozambique and Bangladesh.
  3. 3. Services End to End Solutions Research Business Problem Diagnosis through user centric approach Strategy Develop Strategy for Effective Decision Making Pilot Demonstrate strategy in contained geography Scale Up Scaled up sustainable business models Training & Handholding Rural Sensitization and Capacity building
  4. 4. Sector Areas of Work Livelihoods & Food & Market Access Agribusiness Healthcare Banking & Telecom FMCG & Insurance Durables
  5. 5. Capability in Implementation • Conducts Pilots  Concept test product prototypes  Market test product prototypes  Marketing concepts • Distribution • Promotion • Scale up of sustainable models  Communication using Innovative Promotion platforms  Last Mile Distribution  Marketing mix model (s) 5
  6. 6. MART’s Implementation Capability Innovation in Communication Platform  Pilot  Scale Up Below the Line Communication 6
  7. 7. A case of innovative communication approach TATA SHAKTI
  8. 8. Background • Product  Galvanized Corrugated Sheets • Brand  Tata Shakti • Customer  Rural Poor (R3 & R4) • Usage  Roofing
  9. 9. Status • Status of Business in 2003  Stagnant, no growth for last 2 years • Customer Profile  Mostly illiterate  Low purchasing power  Interested to buy quality product but easily influenced by retailer
  10. 10. Brand Communication Strategy 2003 (before MART involvement) • Use of Static Media  Wall and Shop Painting Limitation: exposure only when customer visits shop and difficult to communicate brand benefits to illiterates • Interactive one on one media  Audio-visual communication on mobile van Limitation: Male decision maker at work
  11. 11. MART recommended promotion at weekly markets • Why weekly markets  Visitors are mostly rural poor (R3 + R4), so target group is addressed  Large turnout of 5,000 people from 20 – 25 villages  Visitors are in buying mode  Over 45,000 such markets in most parts of India
  12. 12. Impact of Campaign • Participated in 5,000 markets in 17 states, 250 districts over 4 years.  Four million potential customers exposed to brand  50,000 potential consumers surveyed  30 percent growth in sales at retail outlets
  13. 13. RURAL PROMOTION: TATA SHAKTI 13
  14. 14. Philips
  15. 15. Philips Problem Despite Philips Bulb being a well known brand in rural, bulbs are bought by wattage and not by brand name. Competition including local taking share as the product become generic. Channel relationship at low ebb In Rural Shopkeeper plays a crucial role in pushing the product. Usually personal guarantee and replacement assurance tilt the favor. Sold by wattage
  16. 16. Philips Create a high decibel noise to reinforce the brand. Help develop channel relationships. Non Electrical shops put on beat. Objective Simultaneous Van campaign in village, town and Haats and retail Mandatory involvement of the channel and company team. Lucky dips, games and tear away coupons. Focus on increasing visibility – sustained POP’s at the retail outlet Approach
  17. 17. Philips Addition of Non Growth of 120% Traditional Channel Outcome Increased Low Attrition among channel Stockists partnerships
  18. 18. Rural Promotion : Marico Parachute: Fighting Loose Coconut Oil in Haats Problem: Rural markets in Maharastra sold loose coconut oil and lookalikes of Parachute. Price Rs 6 vs Rs 10 per 100 gms Solution Recommended: To counter competition from loose oil, MART suggested promoting Parachute pouch packing of 6ml, 20ml, 50ml and 100ml in haats. Action: MART piloted promotion in 4 haats in 2 districts in Maharastra. Participation strategy was 3 consecutive outings 1st week for awareness generation 2nd for sales promotion and 3rd for sales linkages with haat sellers Result: Parachute sale jumped from Rs 500 per haat to Rs 3000 over three weeks 18
  19. 19. MART’s Implementation Capability Developing a Concept  Pilot  Developing Model  Scale Up LAST MILE DISTRIBUTION 19
  20. 20. Innovative model using the women from SHG groups PROJECT SHAKTI 20
  21. 21. Hindustan Unilever • Hindustan Unilever Limited (HUL) is India's largest fast moving consumer goods company • Has a wide range of Home & Personal Care products and Foods & Beverages • Combined Turnover of $ 3.8 billion. Home & Personal Care Foods Personal Wash Tea Fabric Wash Coffee Home Care Branded Staples Oral Care Culinary Products Skin Care Ice Creams Hair Care Modern Foods ranges Deodorants & Talc's Color Cosmetics 21 Project Shakti – Women's Empowerment
  22. 22. HUL Rural Coverage Strategy High Indirect Coverage Combined IDC 5000+ pop villages Accessibility Shakti Streamline Low 1000 – 2000 pop villages 2000 – 5000 pop villages Low Turnover / market High 22 Project Shakti – Women's Empowerment
  23. 23. Concept • Unilever wanted to penetrate deeper to 1,000 to 2,000 pop villages – existing distribution model unviable • Self Help Group women members were looking for more sustainable business opportunities in small village markets 23 Project Shakti – Women's Empowerment
  24. 24. Process Business concept explained to the group women Women get consent from family and husband Entrepreneurial women selected and appointed Women trained on prices, discounts, buying, selling, brand communication etc 24 Project Shakti – Women's Empowerment
  25. 25. Project Shakti • MART’s role  Conceptualization, Pilot, national rollout  Identification & selection of potential Shakti dealers  Capacity Building of Shakti dealer to become entrepreneurs  Arranging finance from banks  Link to HLL distribution network 25
  26. 26. Shakti Vision • Shakti 2005-2006  15000 Shakti Entrepreneurs  50000 villages  10 Million Consumers  Turnover 128 Crore • Shakti 2008  30,000 Shakti Entrepreneurs  100,000 villages  100 million consumer 26
  27. 27. Developing Low Cost distribution Model 27
  28. 28. Reaching The Last Mile • MART’s model Reach the last mile with educated unemployed rural male youth  Recruit class 10+, rural youth (18-30 age) with skills in communication and community mobilization  Build their skills in product and brand communication (customized to company)  Build their skills in salesmanship  Deploy them to take corporate brands into the hinterland and rural households. 28
  29. 29. The Model • Trained volunteer is provided a branded bicycle, umbrella and a box to carry ready stocks. • He wears a branded T-shirt and a cap • Route Plans, PJP’s and JC’s are developed for him to cover uncovered markets • He is attached to the rural distributor from where he picks up stock on cash-n-carry. 29
  30. 30. The Model • Market coverage  Daily visit to uncovered areas (> or < 2000 pop strata)  Covers villages within feasible radii from own village and conduct sustainable business  Retailer sale at trade margins and haat sale at price close to MRP 30
  31. 31. The Model • Communication  Focuses on Brand Recognition to fight menace of spurious  Communicates Brand benefits  Puts banners, posters etc 31
  32. 32. Results • Coverage of  4 Haats every week  30 villages • Average daily sale Rs 700/ youth • Monthly income Rs 3,000/youth • Nominal cost to company  Starting at Rs1500/-youth/ month on a reducing scale, finally Rs 900 32
  33. 33. MART’s Implementation Capability Developing a Concept  Pilot  Developing Model  Scale Up Rasoi Ghar HPCL
  34. 34. HP Gas Company Quali/Quanti Strategy objective Research • Identify new • Negligible penetration in rural New Product markets for LPG markets 14.2 kg Rs2K Cost as urban markets •Affordability an issue… Cap getting saturated •High connection cost of 14.2kg 5kg Rs0.8K cylinder Rs2000 • Assess Cost •High recurring cost Rs300 •Rs95(affordable) acceptance of existing product •Availability… •Dealer to set up ext. counters in large • Not available at consumer doorstep villages • additional transport cost as •Awareness creation carrying big cylinder on bicycle inconvenient for 5 kg through haat promotion •Myths about cylinder burst & taste of food 34
  35. 35. HP Gas 35
  36. 36. HP Gas A New Pilot Inputs Scale Up Concept • 3 states; 1 district each • Evolved concept of • 1500 kitchens in • Barrier to purchase “use & pay” as myths continued… UP, MP, Orissa • Created awareness of Community Kitchen established; 10K 5Kg, in 30 haats to overcome myths planned •Important to make & avoid risk of potential consumers investing in • 30 extension counters experience benefits & • Dealers continue opened connection to open more safety before having to invest in new stocking points in •PPP model with villages connection SHGs, Panchayat & HP This model won the RMAAI Gold Medal and Special Jury Award, 2005 for best long term rural initiative in India 36
  37. 37. HP Gas 37
  38. 38. MART’s Implementation Capability Developing a Product Concept  Prototype testing  Product Launch Developing a Biomass Stove Shell Foundation 38
  39. 39. Shell Foundation Company Product Quali Research objective Concept • Reduce indoor air • LPG is only clean fuel in rural but limited • Need for a low pollution in homes in availability smoke emitting Tamil Nadu & biomass stove •Major cooking fuel is biomass Karnataka • should be portable •But biomass generates smoke causing health problems •Appropriate for different size of • food varies and also the size of utensils cooking vessels •Different types of cooking stoves used for •Should not cost cooking… more than $5 • wide variety of food • many sizes of utensils depending on family •single burner in one state & double in other 39
  40. 40. Shell Foundation 40
  41. 41. Shell Foundation Prototype Prototype Inputs for Commercial- Development Testing New Product ization • Locate potential • Multiple prototype • Steel body was more acceptable • Potential channel local manufacturer designs over refractory partners identified • Placement with • Stove height reduced for floor • Provide inputs to • Brand name tested potential customer cooking stove designer to segments develop • Fuel space needed adjustment • Communi-cation prototypes •Continuous • Value for money perception was materials tested feedback on each raised. Pricing was recommended at stove type and also a comparison $10-$12 • Supported on between • Communication cues for the new product launch and prototypes product were identified handholding 41
  42. 42. Shell Foundation 42
  43. 43. MART’s Implementation Capability Developing a Concept  Pilot  Developing Model  Scale Up Improving Access to Health Services 43
  44. 44. Project Arogya Company Quali& Quanti Strategy objective Research • Understand the •Rural population unaware of health • identified the ailments for awareness of identified issues arising out of mal nutrition, which the company had ailments, health issues infection and allergy products and wanted to and related pain points gain a larger market •Recovery of ailment is considered in accessing health effective as soon as the patient feels •Nutrition for mother & services better and can go back to work. Most of child, TB, allergies were • Assess the reach of the time do not complete the dose prioritized the company brands •Health service providers in villages •Need to associate with restricted to RMP and government qualified doctors in semi- appointed nurse. urban •Quality health services, both public and •Need to build awareness private, available in block town about timely and complete treatment among people 44
  45. 45. Project Arogya A new Pilot Inputs Scale Up approach • 3 different models • information from • Challenge was re- • Scaled across developed to create health workers on distribution of health 100 districts awareness. Models based where to get treatment products such that legal on level of health helped villagers issues do not arise awareness. •Relatively less delay in •Changes in seeking treatment categorization of •Mobile health advisors •Saved costs products were core to all models •Appropriate treatment •Appointment of new helped build confidence sub-distributors at sub- • Association with health •Health service district levels care chain providers appreciated •Associate with company efforts practicing doctors & •Issues on availability of qualified rural medical company products practitioners affected the pilot The model has been nominated for the Innovative Marketing Model category in the Golden Peacock Awards 2008 45
  46. 46. Project Arogya 46
  47. 47. Our Clients-Corporate
  48. 48. THANK YOU 48
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