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Erp branding & advertising

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  • 1. Integrated Brand Communication Presentation For “a leading ERP provider”** - original name masked out
  • 2. CONTENTS The Task SME - Market Overview Provider’s Offering Target Industry Segments Direct Interviews Findings Approach to Provider’s branding & communication
  • 3. TASK To successfully position and communicate “Provider’s” offering in the ERP spaceTo create awareness among the target public
  • 4. SME – OVERVIEW All firms with an investment of over Rs. 5 cr. but less than Rs 10 cr. in plant and machinery are called Small and Medium Enterprises But private and foreign banks have their own definitions of SMEs, which can be a turnover of anything between Rs 10 cr. and Rs 700 cr. SMEs employ more than 28 million people SMEs contribute 40% of gross industrial value addition SMEs account for 50% of direct and indirect exports Indian SMEs expected average growth rate of 32% over the next two years.
  • 5. PROVIDER’S PRODUCT OFFERING Xyz 1  Xyz 4 Xyz 2  Xyz 5 Xyz 3  Xyz 6 PRICINGProvider’s ERP solution is priced at Rs. 1.2 Lakhs
  • 6. TARGET INDUSTRY SEGMENTS Discrete manufacturing units Sheet metal component manufacturing enterprises Process industries Auto component manufacturing enterprises Special purpose machine manufacturers
  • 7. DIRECT INTERVIEWS
  • 8. Direct Interviews were conducted with Managing Directorsof select SMEs who operate in the Target Industrysegments to get a better understanding of,  Their purchasing behavior when it comes to decision support software  Their perceptions and expectations with regard to ERP  Their software and media habits
  • 9. FINDINGS
  • 10. PERCEPTION TOWARDS ERP SMEs have a strong opinion that a decent ERP will burn a hole in their pocket SMEs do not want to be seen investing in a hi-fi software to manage their small businesses SMEs strongly feel that they do not need an ERP to run their business
  • 11. PERCEPTION TOWARDS ERP SMEs have a decent understanding of an ERP, but they do not specifically know how they can profit from it SMEs have over time generated a phobia towards ERP vendors. They suffer from “Say NO” syndrome to all the efforts of ERP vendors.
  • 12. COMMON FEARS OF SMEThese were some of the fears aired by people who were positivetowards opting for an ERP apart from apprehensions with pricing.  Complex project management  Change management  User resistance  Training  New personnel  Upgradation issues  Compatibility issues with the present hardware
  • 13. TOP PAIN AREASSME’s face a lot of difficulties monitoring the following vital areasof their business.  Sales outstanding/Collections  Materials planning & Despatch  Purchase outstanding  Financial planning  Shortage & stock-out  Inability to generate timely business reports,  Employees management which would help them know the business health  BOM of the enterprise  Delivery schedules  Forecasting
  • 14. SELECTION CRITERIA FOR AN ERPSMEs selection of a particular ERP will depend on the following. 1. Solution to pain areas/User friendly features 2. Lesser implementation & migration time 3. Service – expert service provider and not a call-center guy 4. Price & Pricing Policy 5. Ease of use by our existing staff 6. Fixed project costNote: „1‟ signifies highest importance & „6‟ least
  • 15. SOFTWARE EXPOSURE OF SMEList of software packages that they use in their enterprise.  Tally  Yahoo Messenger (Minimal)  MS Excel  Custom-made software based on their requirements  MS Word  Local/Regional ERP brands  MS Projects  MS Powerpoint  Online ERP access given by Clients
  • 16. MEDIA HABITS OF SMEList of various media brands that they spend time with Print Media  Radio  Internet  The Hindu  Radio Mirchi  Google for search  Economic Times  Big FM  Yahoo for mail  Business Standard  Daily Thanthi  Dinakaran TV  Magazines  Sun TV  Limited to their industry specific  Vijay TV magazines  NDTV
  • 17. MEDIA HABITS OF SMESome Common Trends  None of the mentioned media brands are given particular attention to  There is a common grazing behavior spotted, where they just focus on articles related to their business in newspapers  TV is strictly limited to a timeframe of 9 – 10 at night  Radio is 100% limited to their travel to & from office  The new generation (son/daughter of the M.D.) who is taking charge is more Internet savvy
  • 18. BRAND AWARENESS SAP enjoys a good brand equity among the target group Tally enjoys a unique place in the minds of the TG – They very well know the limitations of Tally, but they still perceive it to be the ERP that is made for them Oracle is known to some, but they are a bit confused associating Oracle with ERP on the first go
  • 19. A TYPICAL BIZ DAY 6-6:30 Wake-up >10 Goes to 8-9 Travel bed to office 9-10 9-9:30 Dinner & Start work TV A typical day in the life of an entrepreneur Lunch >8 Leaves between 1 office/plant &3Note:This is a person who has >6 Pending 3-5 High“NO” time for anyone activities and pressure zone discussion
  • 20. KEY DECISION MAKER(S) The SME Owner/Managing Director is the final decision maker Since most of the SMEs are family run businesses & partnership firms, there is a close associate in the form of son/daughter/first or second degree relative/partner also playing the role of a joint decision maker
  • 21. INFLUENCERS IT Services Personnel Finance Clients Department Friends from the industry SME Family who have 1st Managing Membershand experience Director of ERP
  • 22. VERBATIM COMMENTSI will be interested to invest in producing more rubber rather thanspending lakhs of rupees on ERP - Mr. XYZ - Organization XYZMy accounts and finance persons are the one’s who are going toprovide me with reports and they will strongly oppose if I forcethem to change from Tally - Mr. XYZ - Organization XYZ
  • 23. Approach to Provider’sBranding & Communication
  • 24. ASPIRATIONThere is always a strong aspiration to grow among theSMEs.  Addressing this aspiration quotient through all our communication targeted at SMEs  Communicating the fact that we can enhance their decision making skills, in turn pushing growth at a faster pace Raising the question “Do you want to grow at a better pace or not?”
  • 25. BENEFITSCommunicating the benefits that Provider can providethe SMEs Through all our communication efforts, we will only talk about the benefits that an SME can derive from Provider’s offering Taking the “Benefits” route will help us focus all our communication efforts on what we have to offer and how our offering will make a change for the SMEs“We provide you with timely information that willhelp you plan every step of your business on time”
  • 26. FEAR FACTOREvery business enterprise faces a lot of threats – andour communication will amplify these threats. The danger of running out of business, simply because there was lack of information to take timely decisions Converting all the small problems that a SME faces into dangerous alarm signals that draws the attention of SMEJust because I did not have the updated material costing, I quoted a higher rate and “lost a huge contract ”
  • 27. REGULAR PROBLEMSSince most of the SMEs are problem prone, ourcommunication efforts can be focused on highlightingthese problems Our communication will specifically revolve around day- to-day problems that a SME faces and it can range anywhere from stock outs to collection mismanagement to an incorrect sales forecast “The production guy thought that there wasenough stock, and the stock guy did not know theSIH, ultimately the production line is waiting for lack of stock”
  • 28. MONETARY BENEFITBringing to fore the monetary benefit that Provider’soffering can provide a SME  Optimal utilization of all your resources with the help of Provider’s offering will definitely lead to increased savings  Save more, increase your savings, and expand your business “Do you really know how to save with what you have at hand?”
  • 29. MEDIA VEHICLES Direct Mailers  Radio Product inserts  Associate visibility Trade magazines (Target industry specific) IT Magazines (visibility) Partnering opportunities with Industry Regulatory bodies/Associations/Promotion councils Industrial estate specific activities
  • 30. THANK YOU

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