software lagaa do yaarPromoting the idea of software use in Indian SMEs NEPG, 17 Apr. 2012
The Opportunity• On the SME side • Indian SMEs don’t think of software as a way to solve their challenges of growth or operations • Those that do don’t see a way to reach out to ANY vendors, let alone GOOD vendors• On the Provider side • There is no canonical set of databases that software companies can use to get to SMEs • There is no established database of ISVs and/or Resellers that SMEs can go to
The IdeaAdvertise in mainstream media, driving traffic toSMS- and web-based resources• Ads • Theme: Using software for business This is about the • Medium: TV (for now) SME, • Call-to-action: SMS and/or website not the provider• Website • Large database of ISVs and Partners, PINCode-based • Case studies, categorization, etc. • Phone # to call for basic “consulting”
Advertising• 10-second TV spots during eve News• One ad every weekday (Mon-Thu) Validate via “dipstick” survey• Channels rotated during the week beforehand• Incident-based, no celebrity endorsement• Promote the use of software in an SME • Deliver short, simple message • Focus only on the SME founder/manager • No focus on Indian vendors or any brands
Website• Extend productsmade.in to include Partners• Contributed registries • Channel Partners of HP, Tally, etc. Companies of ALL • JustDial/AskLaila software registrants sizes and origin! • NASSCOM members• SMS-based access via PINCode, location, etc.• Case studies, possibly without vendor names• Ads from providers
The Numbers• Ad Spot cost: Rs 1,800 to Rs 5.4 lakhs • Star News Mon-Thu 1900-2300: Rs. 22,000 • DD Samachar Any Day 2000-2012: Rs. 75,000 • Deep discounts for long-term commitment• Ad Plan Begin with Pilot in Regional channels? • Average Rs. 50,000 per insertion • 1 insertion per day on any 1 channel, rotating • Running Mon-Thu - 208 days per year PILOT • Five variations of ads, each about 4 L for Production Only?• Total Cost 208 days X 50,000 + 4 L X 5 Variations Rs. 1.2 Cr
Funding• No direct funding from NASSCOM members• Possible funding from NASSCOM• Sources • MSME Tech Upgradation Fund, other Govt. sources • AMEX / ICICI / other banks targeting SMEs • JustDial / AskLaila / IndiaMART … • Other market relationships
Options, Challenges• External agency for program (a la MediManage) • Credibility of agency • Intermediary up-front cost • Revenue-stream via commissions• Challenges • Tracking effectiveness - Lead Generation? Closure? • Transparency from providers • Pressure from big providers
Issues• Concept: Behaviour Change or Pain Relief?• Target: Vernacular? Urban? Both?• Budget: 5 Cr? Or 25 Cr?• Funding: Who? Why? How much?• Medium: TV only? Paper only? Both? Timing?• Providers: New class of Members?• Campaign Failure: Review process?• Lead Distribution: Paid: How?• NASSCOM person: Full-time?• Disputes: Setting ourselves up for trouble?• Assets created: Leveraging other value?
Professional Opinions• Talked to national heads of three large ad agencies • Overall reaction surprisingly positive “game-changer” “idea whose time has come” “would love to work on it” • One suggests taking baby steps, one suggests Big Bang model “25 – 30 crores over three years” • One suggests Tier 3, one primarily Urban “early results will probably be best in cities” • One suggests Dipstick important, one says not much value • One says Lead flow fairly clear, one says Long-term investment “this is a change in behaviour, not a solution to a known problem” “you can add a website, not much else, in the ad” “don’t expect the phones to ring” “critical that someone picks it up when it does”
Next Steps• Resolve Important Issues • Concept, Budget, Funding…• Run Dipstick Survey • Validate basic ideas of campaign, SME interest level, etc.• Find Funding • Pitch Objective, Survey results, etc.• Develop Campaign components • Other than Ads, what else?• Run Pilot Program • Vernacular only? Urban only? Integrated PR?