Youth Market Challenges

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    Youth Market Challenges - Presentation Transcript

    1. W ho is m y C us to m er?
    2. Are you cool as a BRAND By: Alok Sharma alok_sharma1@yahoo.com
    3. Can I b yr Tgt Custmr ?
    4. New Generation • Bye to GenX, This is iGen. • They have most ipods & personal laptops in the country. • They blog. • They travel with friends not family. • World’s best hackers are from age 13 onwards. • 54% of Indian Population is below 25 year of age. • They are true multitaskers.- email, chatting, over phone and smsing at one time. • 25% of Asian youth admitted that they can not live without internet, • They spend more time on Music, Sports and online. • Least time spent is on magazine and newspapers. • They don’t have time- Cricket matches 5days ->1 day->20:20; next what? • They have pure disposable income • They want to 'unbelong', stand apart and not merge or blend in . • Spread of Indian Youth- 10 years back Indian cricket Team was from Mumb Delhi, now only Tendulkar, Dravid & Ganguly are from Metro. • They love movies like Rock On, Rang De Basanti not Don • They learn and use most of the complicate gadgets; adults - struggle to kee up.
    5. • MTv research reveals that the country where young people had the greatest perceived sense of ‘wellbeing’ was India, followed by Sweden with the USA coming third. • They don’t believe in Father figures, icons changes like seasons. • They look for “ whats cool” – Ipod is not cheap but in trend. • Current elections has conveyed youth is serious and well aware. • Is a GDP growth rate of three percent in an ageing country (US), with a median age of 37, more attractive to a businessman than a GDP growth rate of 7 percent of a youthf country (India), where the median age is 24? With over a billio people, of whom more than 500 millions are under the age of 24. – That’s why every brand focusing youth is serious about INDIA.
    6. As per KSA Youth Marathon survey • 55% youth buys apparel from key high streets and malls. • Basic spending is growing by 4% - Apparel, Books, Music, Movies, Vacation etc. • Lifestyle spending is growing by 20%- Computers, Mobile Phones, Gaming consoles, internet connection etc • In 1981 they were looking for 8 items now they are looking for 17 items. • Threshold age of owning a mobile set is 16 years.
    7. World’s youth Population-2005
    8. Some findings • "In every city you find young people upward of 21 moving out for different reasons“- even if parents are living in same city  • 53% claim to have had premarital sex, half of them below 21, according to an MTV youth survey  • Most young people are college educated here, unlike in the US where bulk of them tend to be high school dropouts • "responsibility towards family and my freedom both are important." • According to data available, around 50 percent of Bangalore's voting population belongs to the age group of 18-39.
    9. • G en Y is passe, say hello to the iG eneration or as they prefer to be known, iG en. C hanting the mantra of individuality, acquiring bite size chunks of knowledge from the internet and flashing their iP ods, they are the new consuming class" 
    10. Online Buying Habits of Indian Youth- Ebay india • on an average day on eBay India, a stamp sells every 12 minutes and a coin or a note sells every 15 minutes. • The youth also collect other interesting genres of collectibles & some clear trends emerge city wise: • •Ahmedabadi youth collect key chains • • Hyderabadi youth prefer designer pens and football jerseys • • Chandigarh youth collect ties • • Delhi makes a style statement with Zippo lighters & miniature cars • • Mumbai goes cultural with art • • Bangalore pays tribute to history with British India Coins & stays contemporary with radio control toys • • Navasari (GJ ) loves Bollywood Memorabilia • • Chennai collects die-cast toys
    11. Some quotes • Traditionally,'‘- ``being cool simply meant who you knew and what you wore; today, it's a much more multi-faceted thing involving knowledge, attitude, behavior and visual cues -- `experiential cool', in the marketers' jargon.'' • I ndia n yo uth k ey for a ll our des ig ns : R ena ult I ndia M D • Youth Market moves in two speeds- Fast and VERY Fast – Research Agency
    12. g lo ba lly c o nnec ted urba n tribe – male/female. “20-something”. middle-upper class. – urban dweller. educated. working. blue-chip. boutique. – entrepreneur. well-traveled. bars. clubs. restaurants. – c a f e s . g a l l e r i e s . f i lm. e x h i b i t i o n s . social. – gym. spa. yoga. ba la nc ed . media hungry. – gadgets. real world. virtual world. high speed. – wireless. c onnec ted . casual. luxury. fashionable. – opinion leader. trend conscious. trend watcher. trend
    13. So which brands are doing youth marketing the right way? Source (pic) - http://www.flickr.com/photos/haani/2056702546/sizes/l/
    14. Youth is no longer a demographic … it’s a mindset Source - http://www.flickr.com/photos/tatianacardeal/36956189/
    15. Youth is no longer a demographic … it’s a mindset A look at how youth are leading a rapid transformation of how consumers interact and engage with brands Dave Knox Brand Manager Procter & Gamble
    16. Insights into Youth Consumption Influences
    17. 30 major influence groups and more than 80 There are influences driving young people’s consumption behaviour
    18. Some of the influence groups include Bargain Influence, Advertising Influence, Celebrity Influence, Maven Influence, WOM Influence Do you know rest of the 25 influence groups?
    19. Some of the 80 influences driving young people’s consumption behaviour……..
    20. Older Sibling Influence
    21. TV Advertisement Influence
    22. Brand Image Influence
    23. Celebrity Influence
    24. Group WOM Influence
    25. Guess the rest of the 75 influences driving youth consumption behaviour
    26. Stylistic and Capability Influence groups are at work during selection of Mobile Phone Handsets What are the other 17 groups that influence youth selection of handsets
    27. WOM and Bargain Influence groups are at work during selection of Mobile Network Operators What are the other 9 groups that influence youth selection of MNO’s
    28. Locality and Peer Pressure Influence groups are at work during selection of Brands (clothes, cosmetics) What are the other 18 groups influencing youth selection of Brands
    29. Influences, which drive youth consumption are much more complex than people think it to be Knowing all the influences is a big step towards understanding Youth consumption behaviour
    30. GENERATION TRENDS Generation Trends
    31. My Media Generation MOTIVATING FACTORS Motivating Factors Source – Yahoo Truly Madly Deeply Engaged Study
    32. Key Youth Marketing Fundas • What marketing strategies brands like – Red Bull, Crest, Motorola, BMW, Nike, Starbucks, etc adopt to gain acceptance…….
    33. • A ttentio n: The brain only processes 5% of the information it "sees" on an ongoing basis. Youth don’t wake up thinking about your brand • We are moving from an era of finding customers for our products to one of finding products for our customers“ (Seth Godin)
    34. • Brandwidth = trus t + a ttentio n High in demand, short in supply: brandwidth is the raw material of youth marketing • Yo uth do n't w a ke up think ing a bo ut o ur bra nds . The stark realization is that youth don't give a **** about our latest product, technology or service - they only care about themselves "T he w o rld do es n't need a no ther S o da " (J ones Soda Founder Van Stolk)
    35. • N etw o rk E ra In the Network era Industrial tactics are surpassed by the more effective dialogue and legacy building . Networked brands such as J ones Soda, Red Bull, Threadless, Scion and Starbucks can grow without recourse to extensive advertising campaigns. • P a rtners hip M a rketing What Red Bull knows that Pepsi doesn’t is that their best marketers are the customers. Are you marketing to o r marketing w ith youth?
    36. • P a s s io nis ta s Stop wasting your time on trying to convert the unconverted. Find that 10% of your market already sold on your product and give them something to care about • The Pepsi Generation Youth have moved on but we’re still marketing like it’s 1969 Pepsi, “the choice of a generation”: * Tell them you’re cool * Tell them in a BIG way * Keep telling them You cannot buy youth Brandwidth like this any more you need to earn it
    37. • Relevance: Don’t be good be releva nt Brands are slowing waking up to the realization that advertising Reach no longer works. Youth no longer need to compromise so big means nothing. Youth seek out the most relevant Social Currency for their lifestyle • P ers o na liza tio n: ----- Pull the TRIGGER If youth term your brand as “I t's c o o l, fun” You are there.
    38. • S o c ia l C urrenc y Social currency is the unit of social interaction. How much Social Currency bang can I get for my buck from this product? How does it help me be significant and how does it help me belong? What is the Social Currency of your product? • S o c ia l Fa bric Great youth brands know that they can sell more products by not selling. Rather than sell to youth they focus on helping youth connect with one another. They want to be the Social Fabric of the youth universe.
    39. • P la tfo rm s Don’t sell the product, sell the ability to connect customers How do brands such as Red Bull and J ones Soda make their customers care about fizzy flavored soda in a can where Pepsi fails? The difference is simple – one is looking for customers for its products while the others are finding products for their customers.
    40. • X -Fa c to r What is remarkable about your product? When was the last time you saw an advert for G o o g le or Fa c ebo o k ? The X Factor that advertising has for so long provided unremarkable brands is the ability for customers to talk about something meaningful. What is the X- Factor that will get them talking? Are you relying on your creative agency to come up with answers or are you looking for them out there on campuses, at events and in the streets?
    41. • Lifestyle or the Product: Red Bull will become the g o ld s ta nda rd o f yo uth marketing because it understand its business is “E N E R G Y ” not “energy drinks” J ust as apparel companies need to consider there business as “social fabric of youth” not an apparel. • Successful youth brands have focused marketing not on awareness but on building sustainable grass roots. Support
    42. • B enc hm a rk ing never gave us the ipods, walkmans or even the mobile phones. All came from some one's ability to employ uncommon sense – Thinking, that challenges the received wisdom, asking “w ha t if ? ” • M a rketing is no longer something you do with youth but something you do with them. • A w a renes s m ea ns no thing - when was the last time you bought an Ambassador car
    43. • K ey Drivers – Can you help me B E LO N G – Can you help me be S I G N I FI C A N T These are the two timeless & culturally independent request youth have from youth brand. • G ood youth marketing is focus ed on s hare of cus tomers not s hare of market • G R OWTH: Imag ine a virg in market of new s et of cus tomers the s ize of EUR OPE every year
    44. • LE G AC Y: When marketing campaigns end and the ADVT money runs out “WHAT IS LEFT” Are you propping up the market with campaigns or c rea ting a L E G A C Y C a m pa ig ns : Kill your campaign and start creating something ( to youth campaigns are increasingly ineffective because as soon as they done they forget about you.) A ttention: If you w a nt there attention G ive something first.
    45. World’s B est Taglines • We are all created equal, but after that, its upto you. Harley Davidson. ( old) • A m eric a n by birth. R ebel by c hoic e. Harley Davidson (new) • “NEVER FOLLOW” A udi • “W a s s up? !” B udw eis er • Between love and madness lies obsession. Calvin Klein • N o thing c om es betw een m e a nd m y C a lvins . Calvin Klein J eans • Finger-lickin’ good! Kentucky Fried Chicken
    46. Cont… • J us t do it. Nike • At the heart of the image. Nikon • T he ultim a te driving m a c hine. BMW • If you want to capture someone's attention, whisper. Coty Perfume • T he pow er o f a ll o f us . eBay • Don’t dream it. Drive it. J aguar • B elieve. Yahoo! Personals
    47. Strategy • Key Model- College Boy, Gang • Communication- Current themes- IPL, Elections, FIFA, Ragging, • Key products: Knits & Denims. • Key seasons: – J une J uly Aug: salute ( Admission) Line – Sep Oct Nov: impression ( open up) Line – Dec J an Feb: bash ( Party time) Line – Mar Apr May: cramming ( exam) line
    48. Highlighters • Organize Fresher Day • Sponsor College festivals • Scholarships • Mr. and Miss College. • Biking competition • Save glacier campaign- college students going to Tibet, etc. • E-community- e.g.like J ago re or application on Facebook
    49. Online Activity- Place to hangaround of new generation • Banner on gaming sites- indiagames.com etc • Articles- Website – Current News. – Career Options – Latest trends, – Latest gadgets, – What happening around- great palces to be seen ( new pub, disco), College Festivals- give banner space to colleges to highlight there events – How to maintain – bikes, ipods, etc – Counseling- There fears, guidance etc
    50. Website to refer • Converse.com • Pepejeans.com • Levis.com • Addidas.com • Etc……
    51. Descriptive • Demographic: Age, Gender, Education, income • Psychographic: Intrest, opinion, values, lifestyle. • Consumption: Usage rate, satisfaction, loyalty, • Psychological influence: personality, self image, perception, involvement, • Social Influence: Culture, social class, family
    52. Location • Metro, • Urban, rural • Brand Personality: – Young, energy, exciting – Low involvement products
    53. Thks
    SlideShare Zeitgeist 2009

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