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  • 1. INTRODUCTION What is Marketing? Most people think that marketing is only about the advertising and/or personal selling of goods and services. Advertising and selling, however, are just two of the many marketing activities. In general, marketing activities are all those associated with identifying the particular wants and needs of a target market of customers, and then going about satisfying those customers better than the competitors. This involves doing market research on customers, analyzing their needs, and then making strategic decisions about product design, pricing, promotion and distribution. This view is consistent with the following definition of marketing found in a popular marketing textbook : “Marketing is the process of planning and executing the conception, pricing, promotion, and distribution of ideas, goods, services, organizations, and events to create and maintain relationships that will satisfy individual and organizational objectives.” - Contemporary Marketing Wired (1998) by Boone and Kurtz. Dryden Press. Market Segmentation Market segmentation is the process of dividing a heterogeneous market into homogeneous sub-units. In simpler words it means dividing the market into various sub- groups on the basis of different factors like age, sex, purchasing power, geographical locations, etc. The company has to divide the market or segment it on the basis of the characteristics of its product by taking the following factors into consideration. It helps the company to the give its product/brand a different identity and also make it known to its target consumers. Segmentation helps the brand to overcome the threat from promotion and price war from different segments. Youth Marketing 1
  • 2. After market segmentation it becomes very important for a company to position its product to the targeted market and gave an image to the brand to associate it with the target market. This process of positioning the brand in the minds of the consumer is known as Brand Positioning. For E.g. – BMW has positioned itself in the minds of a consumer as a luxurious brand. Youth - Get them before they get you ANYWHERE in the world, its great to be young, was the line for Marvel, a soap marketed by Godrej way back in the eighties. Even today, there is no denying the fact that it is great to be young, to be back in your teens and your school or college days where you could do anything you wished without any pressure or responsibilities on your shoulder. Youth are generally engaged in activities like sports, parties, smoking, boozing, bowling, watching movies, going for recreational activities, etc. They have their own views and opinions about themselves and the world around them. Youth can be exciting as well as exhilarating. And yet, one wonders if marketers share the same excitement about marketing to youth. Youth is too fickle, says a hardened marketer. It’s like entering a minefield, say a battle-scarred veteran. How many successful youth brands are there in India? asks another. The teen is a funny phase. Its something that you are anxious to get into and equally desperate to get out of. There is a point of view that there is a lot less heartburn and a lot more stability in targeting and marketing to 25-34 year olds for instance. But you need to be blind to ignore the sheer magnitude of the youth market, particularly in the Indian context. Youth Marketing 2
  • 3. INDIAN YOUTH The ‘2001 Census’ and several other research studies points to the emergence of a youth market in India. The contemporary Indian youth has grown up in more financially secure times and in far more educated families than his/her counterpart of 1970’s. Even the parents today are far more tolerant of the eccentricities of the young person in their family. This phenomenon is not just restricted to the urban families; rather it’s a rural phenomenon too. However, it is more pronounced in urban upper middle class India, where the parents do not mind their young daughters dreaming of beauty titles and preparing for it, or young boys sporting earrings and ponytails. The values of today’s Indian youth are fast changing, as reflected by the Bacardi’s by line “Be what you wanna be”. The youth market is more experimentative in purchasing clothes, trying new gadgets, eating out and even career choices. The trouble with the youth market is that here taste changes faster with fads overnight. Hence for a firm targeting the youth market, remaining relevant and contemporary is the biggest challenge. This is best reflected by two television channels, Channel V and MTV, targeted on the youth market. E.g.:- Channel V was launched as a young western music channel but it was soon overtaken by MTV which reflected the Indian youth’s tastes better. It introduced the Hinglish language which was used in common conversation. By this way by connecting to the Youth in their own way MTV won the competition with Channel V and thus setup a market for them. India is a young country with 11 crores people in the age group of 15-19 years. Another 10 crores are in the 20-24 year age group, whilst a whopping 72 per cent of our massive population is below the age of 35. So, the obvious inference is that a marketer ignores this huge potential at ones own peril. But neither can we ignore the nuances of this not so homogeneous mass and its preferences. The world over, marketers are grappling with the tremendous challenge and opportunity that is simultaneously being provided by Youth Marketing 3
  • 4. this generation. Automakers in the West, for example, are targeting youth aggressively. What should we do here in India to harness the enormous potential of youth? What works and what doesn't? Perhaps the first thing that needs to be said is that the generation is no longer the homogeneous market of the seventies and the early eighties. MTV in its latest youth study, ‘MTV Tuning Into The Youth Survey’ cleaves the youth into six segments: • Cultural Misfit • Style Bhai • Middle-class Manju • Main Bhi NRI • Rich Brat • Nerdy Nandu The above chart represents the percentage of each segment that has been evaluated by MTV. Youth Marketing 4
  • 5. Cultural Misfit  Along the way they have lost idealism.  Feel like they can’t change things for the betterment so they’d like a change for the better.  Feel they have to adapt to the system and cannot express dissent. …and their families  More likely to be bored at family functions.  Less guilty about placing an aged parent in old-age home.  Less willing to do housework.  Feel parents are against their dress code. …and their friends  More disposed than others to hang out at friend’s place.  More likely to ask for friend’s advice on branded clothes.  More comfortable with same- sex friends. …and their behaviour  More likely to feel they are under pressure.  Favour cohabitation before marriage.  Marriage is constricting.  More capitalist than socialist. Youth Marketing 5
  • 6. Style Bhai  Very concerned about their appearances.  Spend more time outside home partying.  Still have some conservative values. …and themselves  More likely to agree that they have a good physique.  Want a body like supermodels.  More likely to wear figure-hugging clothing.  Say they do their own thing and follow the crowd.  Agree that men should go to parlours for personal grooming. …and the world around them  More likely to claim to be content with themselves.  More likely to have self-confidence in friends.  Likely to be confused by the pace of change in the world.  Like the feeling of speed. Youth Marketing 6
  • 7. Middle-class Manju  Girls who spend most of their time at home with their families.  Cooking, visiting places of worship, TV.  Conservative values but liberal in some ways – attitudes to sex are opposite to others. …and their sexuality  More likely to believe in no sex before marriage.  Less likely to accept sex as part of a serious relationship.  Less likely to feel the necessity to be in relationship.  Less likely to feel that girls should show a little cleavage. …and their values  Disagree that choice of career is driven by money.  Feel friendship should be with people of similar social class.  More likely to speak their minds than be diplomatic. …and their opinions  More likely to agree that they are closer to friends than family  Disagree that it’s not cool to do housework.  Less likely to feel they need to be rich to dress well.  Less likely to claim they want a supermodel body.  Less likely to feel they are the first to buy a new trend. Youth Marketing 7
  • 8. Main bhi NRI  Predominantly young, these are the trendsetters.  Derive their affirmation of self-worth from their peers.  Likely to experiment with trends-constant need for novelty (fear of boredom). …and what turns them on  More likely to prefer alcohol with friends.  More likely to choose multiple-relationships.  Prefer watching Friends to Jassi.  Feel that parents would be shocked as to things they do. …and what turns them off  Watching music channels.  Small cell phones/faded jeans/synthetic shirts and pants. Youth Marketing 8
  • 9. Rich Brat  Hold the opposite values from what their parents have.  Sometimes even opposite to their peers.  Want to escape home-the locality, the values, the restrictions. …and what they stand for  More likely to take risks.  Hang out with friends at shopping malls and coffee shops.  In favor of legalizing abortion.  Choose lounge music.  Cannot be sensitive to how other feel-just be yourself. …and what they are against  Less likely to have traditional marriage.  Those who get AIDS through sex deserve what they get.  Claim they wear what suits them regardless of fashion.  Most likely to disagree that TV is the ultimate entertainment. Youth Marketing 9
  • 10. Nerdy Nandu  Time constrained, watching TV is their favourite way of spending time.  Tend to be behind the trend-almost clueless about what’s ‘in’.  Are working hard to be successful-focused on climbing the ladder. …and what they stand for  Study only to get a good job.  Claim they feel most relaxed when watching TV.  Reserve Indian outfits for festival wear.  Prefer shirts to t-shirts.  Agree that Hindi pop music does not suit their image. …and what they are against  Less likely to feel that having boyfriend/girlfriend is cool.  Less likely to feel that having a candlelit dinner is cool.  Least likely to advocate legal recognition for gay and lesbians.  Less likely to want be on their away from family.  Less likely to feel they have more stylish clothes than their friends.  Less tolerant of watching strippers.  Less likely to carry a small party purse or have streaked hair. Youth Marketing 10
  • 11. Youth seem to come in all shapes, sizes and, if one may add, attitudes. So before one markets to the youth, or anyone for that matter, one must need to understand what makes them tick. “You must walk with them in your shoes, not walk on them in your shoes”, is sage advice on how to deal with youth.  Blame it on the times The most important need of the hour is research and understanding of youth. Studies such as the MTV research are important beginnings. It’s also important to remember that youth see life differently, it in raw terms. Raw is right. For starters, the MTV research says that they don’t mind putting their parents in an old age home! Is India Listening?  The latchkey generation One important thing to remember is that parents are delegating (or is it abdicating) more and more of their decision-making to their children, who are growing more in confidence and pocket money at the same time. As a sheepish parent said, the pocket money is certainly growing faster than the inflation. Clearly youth is growing in importance and we are not merely talking economics here. There is also a significant shift in the growing-up pattern of today’s kids, which affects their development and their subsequent behaviour. Youth Marketing 11
  • 12. Many urban kids in India are growing up in households where both mom and dad are working. They let themselves into empty apartments with latchkeys. They are confident, albeit, a bit lonely & they tend to be a lot more inward looking. They belong to Metopia which seems merely to reaffirm their individual importance. They want to make their own choices, and be treated as intelligent. They want to feel that their opinions count. And the signal to the communicators is fairly obvious. Appeal to the individual, don’t aim at the lowest common denominator. The Net seems a great opportunity. And maybe this generation will buy more from the Net than we ever would.  Be quick. Be friendly. Be gone. Many elder people tend to lecture, guess it comes with the territory, if not with the age. And yet, one needs to be reticent. Just observe the expression on a teenagers face when a parent lectures him or invites him/her to observe him when you rave and rant. That will give an important pointer. Lecture only if you wish to lose your audience. Treat young audience with respect and intelligence. And as equals! It’s so easy to sound authoritarian or judgmental. (And so boring in the bargain). Another important fact to be borne in mind whilst communicating with youth is to remember that their attention span seems to extend to nanoseconds. This makes communicating with them all the more challenging. And as Janet Kestia, Creative Director, Ogilvy and Mather, says, they have a great bullshit meter, and they are very critical of advertising. I am not sure if our youth is as critical or as cynical towards advertising. And yet, I am quite sure that we shouldn’t communicate in stereotypes while talking to teens. And whilst we are on the subject of communication, let’s not forget that word of mouth is perhaps the strongest endorsement for many products and services for young people. In a study conducted in Canada amongst students 40.2 Youth Marketing 12
  • 13. per cent of the students polled said they trusted word-of-mouth over all other forms of advertising. Sounds familiar?  Wear your attitude What distinguishes the youth of this generation is the fact that they wish to belong and don’t wish to stand out overtly from the crowd. They exhibit a strong need to be accepted by their peers and need parental approval of their choices. India is one of the few countries where you can see 16-year-old sons coming into jeans stores accompanied by their mothers! They also have a strong need to be taken seriously by adults. If you treat the young with less than the seriousness they deserve, then you are failing both as a parent and as a marketer. (There is the adult in me, surfacing judgmental as ever!) And yet, winds of change are blowing too. “Don’t go out of the way to be accepted; if people don’t accept you for who you are, they are not worth the trouble”. Is the New Mantra. Troubling as these words may seem to conservative parents and marketers, they still can’t be ignored. Yes, youth is changing. By the day. Catch 'em young One of the very advantages of youth, you don’t own any stock in anything. You have a good time and all the grief and trouble is with the other fellows. The other fellows who could easily come to grief if they don’t recognize the opportunities that the youth market presents. The youth represents a growing market. Today's niche can become tomorrow’s mainstream. And savvy marketers who catch them young and hold on to them despite their idiosyncrasies will reap enormous benefits. Imagine the lifetime value of a kid who opens a bank account at the age of 18 and stays with your bank for the next 50 years! As Lisa DInnocenzo, News Editor, Strategy, the Canadian marketing report, says, ‘The Youth Marketing 13
  • 14. belief is that if a brand can successfully seduce young consumers, it can forge a lifetime relationship with them. Just get them before your competitor does!’ Youth Markets The youth segment can be divided into two age groups:  Children aged approx. 6-12 years and  Teens aged approx. 13-17 years. What do they generally like? While youth are not heavy readers of newspapers, they read magazines with editorial designed for youth interests. Bombay Times is widely read by the youth and so are the horoscope and the entertainment section. Young females enjoy reading "advice" mags with articles on relationships, health, beauty, boyfriends and parents. Young males enjoy action/ adventure and gaming. Males also enjoy magazines featuring aspirational products such as fast cars. Magazines focusing on entertainment, TV and film tend to draw readers from both genders. Why is the Youth Market so Important ? Youth Marketing 14
  • 15. Forecast Asia India details the expected future demographic and socio- economic profile of this, one of the largest and fastest growing populations in Asia. In doing so, it assists Marketing Managers to evaluate the opportunities that may exist in this country in the next decade and when to take advantage of them. Highlights include India with its large population and significant bias to the younger age groups has the largest child and youth market in the world. In 2000 there are 340 million under the age of 15 years and is projected to increase to 335 million by 2020. This compares with the next largest such market (China) where the numbers are 298 million and 242 million respectively. The young householder (that is persons aged 25 to 39 years) is important as it is the largest of the adult age segments at 22.7% and is projected to remain so through to 2020. In addition it is the best educated of the adult age groups and, they are more confident and experimental consumers. Finally, it is growing at 1.5% per annum for the next 20 years. The consumers’ increased ability to be ‘informed’ results in their being willing to experiment with their options & innovators would rise. Youth Statistics According to statistics of 2005 approximately 51% of India population is below the age group of 24 years and it is estimated to increase in the coming decade to approximately 60%. The youth in the future would represent a major force in the Indian economy and it is very essential for the companies to target them as they are the future householders and also carry the responsibility of the economic development of the country. The percentage of urban youth is also to rise as people migrate from different parts of the country to earn and settle in the urban areas to earn their daily bread. Whether it is the urban or the rural youth, they are very essential as the development of the country depends upon them and also they are our future leaders. Today’s youth is more of a capitalist nature and money minded. Youth Marketing 15
  • 16. The impact of the youth lies on the market because they are the future spenders/household managers. They would soon have the purchasing power and the decision making and in terms of kids they have the pester power. Youth also influences the buying decision of the parents, friends and the overall society. We will further see in the report how companies are targeting the youth market and have realized their importance but it is important too, to understand the influencing power of the kids. They are growing not only in size, but also in influence. Children in the 0-14 year group, who make up 347.5 million out of India’s one-billion population according to the 2001 census, have emerged as key influencers in purchase decisions within a household. Gone are the days when kids meekly accepted choices made by their parents about brands ranging from biscuits to soap. Exposure to media like TV channels and magazines has made the current lot highly brand-conscious, with strong brand preferences. The challenge confronting marketers is to get a slice of this group’s mindshare. Category-wise, the biggest impact is seen in the purchase of foods and beverages. Is it any wonder that so many ads in this category are either kid- specific or feature kids? Among kids, it is the 13-15 sear-olds who are the most influential. This is largely due to rising awareness, peer pressure, pocket money and a growing intensity of likes and dislikes. Youth Marketing 16
  • 17. Spare Time Habits 37% 40% 9% 14% Shopping Restaurants Movies Clubbing Life Style Patterns A Survey was conducted among 100 people within the age group of 15 – 24. Their responses are stated in the questionnaire via percentage. Questionnaire 1. What kind of activities you engage in your spare time ? (Rank them from 1 - 4) . o Shopping o Restaurants & coffee shops o Movies o Clubbing (Recreational activities) Youth Marketing 17
  • 18. o In their spare time the respondents rated going to Coffee shops and restaurants as their favourite past time. Movies are their next favourite, followed by shopping and clubbing and other recreational activities. 2. Where do you normally shop? Why? o Shopper’s Stop o Lifestyle o Globus o Pantaloons o Local shops (Heera panna/bandra) Youth Marketing 18 Shopping Place 23% 8% 12% 18% 39% Shopper's Stop Globus Lifestyle Pantaloons Local shops
  • 19. Majority of the youth markets preferred shopping at the Shopper’s Stop the reasons being variety and availability and also the various promotional offers. It offers quality products as well as suits the pocket of different income segments. Local shops and shopping areas at Heera Panna and Bandra are preferred over the other shopping malls because of the trendy and inexpensive products. 3. At which places do you normally hang out ? (Coffee shops/restaurants/food courts/etc.) o Café Coffee Day o Pizza Hut o Barista o McDonald’s o Mocha Youth Marketing 19 Hangouts 24% 16% 32%7% 21% CCD Pizza Hut McDonalds Mocha Barista
  • 20. Café Coffee Day is preferred over other restaurants because of its ambience, reasonable pricing and large number of outlets. Mocha and other hookah places are the next favourite because of the present craze foe hookahs. At the same time Pizza Hut and McDonald’s also enjoy a good share of the market. 4. Where do you prefer watching movies ? Why? o Single screen theatres o Multiplexes Youth Marketing 20 Theatre Preference 62% 38% Single screen Multiplexes
  • 21. Multiplexes are preferred to single screen theatres because of availability of tickets, many movies and shows at a place and food courts. Cinemax theatres are most preferred of the multiplexes in Mumbai. The only reason why the youth still goes to the single screen theatres is the price factor. 5. What sports/ games do you enjoy playing? o Cricket o Football o Bowling/Pool o Indoor games o Other games Youth Marketing 21 Games 6%4% 12% 8% 70% Cricket Football Bowling/Pool Indoor games Others
  • 22. The above responses need no explanation. Cricket is the most favored option among sports and is followed as a religion. There has been a rise in sports such as bowling and pool while indoor games are not preferred nowadays among the youth. 6. Which channels do you watch the most? o Star TV o Music channels (M TV & Channel V) o Sport channels (ESPN & Star sports) o News channels o Others (Sony & Zee) Youth Marketing 22 Channels 24% 25% 11% 16% 24% Star TV Music News Sports Others
  • 23. Music channels are the most viewed by the youth. They prefer watching them as compared to other channels. Star TV and other channels are next to follow suit as the serials are pretty common among youth females but sport channels are preferred by the boys. 7. What kind of music do you listen to? o Trance o Pop o Rock o Old/Classical o Romantic Youth Marketing 23 Music 7% 24% 27% 10% 14% 18% Trance Pop Rock Old/Classical Romantic Hindi
  • 24. Rock music scored the highest amongst the respondents. Pop music is also very popular among the respondents along with Hindi music. They prefer listening to the music on their computers, decks, I-pods, Discman’s, etc. It clearly indicates the fall of cassettes usage among the youth. 8. Which radio stations do you prefer listening? o Radio Mirchi o Radio City o Radio One o Red Fm Youth Marketing 24 Channels 18% 42% 11% 29% Radio City Radio One Red FM Radio Mirchi
  • 25. The respondents prefer listening to Radio One Fm as it plays a variety of songs and the RJ’s are pretty as compared to other RJ’s in their work. In spite of heavy advertising Radio City and Radio Mirchi lag behind Radio One in attracting the youth customer. According to Saloni Agarwal the song selection is the best on Radio One. 9. What are your reading preferences? o Newspapers o Novels o Fashion Magazines o Business Magazines Youth Marketing 25 Reading Preference 37% 12% 31% 20% Newspapers Novels Fashion magazines Business magazines
  • 26. 37% of the respondents prefer reading newspapers on a daily basis either for business or general news or to know what’s going on Page 3. Fashion magazines are preferred by the females among youth. Novels are read mostly by respondents who travel on a daily basis by public transportation. 10. Are you spiritually inclined? How often do you visit the temple, mosque, church, religious place? o Yes o No Youth Marketing 26 Spiritually Inclined 68% 32% Yes No
  • 27. It is good to see that around 70% of the youths are spiritually inclined and have faith in God. The number of times that one visits a religious place varies highly and most of the respondents visit the temple or other religious place only on some occasion and do not have a fixed period to do so. 11. Are you health conscious ? o Yes o No 12. What drives you to go to the gym? Youth Marketing 27 Health Conscious 36% 64% Yes No
  • 28. o Fitness reason o Socializing o Trend The respondents are health conscious and fitness purpose is the major driver for them visiting the gym. However time constraint is a major reason for skipping the gym. 13. Do you smoke? If yes which brand ? o Yes o No 14. Do you booze? If yes which brand? o Yes o No Youth Marketing 28 Drivers 30% 21% 49% Fitness Socialising Trend Smoking 52% 48% Yes No
  • 29. Around 48% of the respondents smoke and around 57% of the respondents are engaged in drinking. The favorite cigarette brand being Marlboro while the favorite drink being Kingfisher beer and Smirnoff vodka. The respondents said that were loyal to the brands and would not like to change them. 15. Who influences your buying decision? o Friends o Family o Celebrities & advertisements Youth Marketing 29 Boozing 43% 57% Yes No Influencer 37% 28% 35% Friends Family Celebrities & advertisements
  • 30. Friends are the major influencer in buying decisions followed by the various celebrities and advertisements. Peer-pressure and latest trends that are followed by the friends are the main drivers that influence the buying decision of the youth. 16. Do you prefer branded goods as compared to unbranded goods? Which is your favorite brand? o Yes o No Youth Marketing 30 Brand Conscious 41% 59% Yes No
  • 31. 65% of the respondents prefer branded goods as compared to unbranded goods. The preferred brands are mentioned below: SHOES CLOTHES CELLPHONES WATCHES Nike Levis Nokia Swatch Adidas Pepe Sony Timex Reebok Lee Cooper Motorola Titan Red Tape Provogue Samsung Fossil 17. If you were given Rs.10,000 on what would you spend it? Mark the following according to your preference. o Mobile o Clothes o Watches o Electronic Gadgets Matter of Preference: 1st Clothes 2nd Mobiles 3rd Electronic Gadgets 4th Watches The respondents were asked that if they were given a sum of Rs. 10,000 than in what preference would they spend (the choice were the items mentioned above). They Youth Marketing 31
  • 32. ranked clothes as their first preference and than mobiles, electronic gadgets and watches respectively. From the above questionnaire it can be said that companies targeting youth market should advertise in coffee shops, multiplexes, radio stations, music channels, etc. Companies such as E-serve, 3G and Radio Mirchi have already realized it and are advertising in Café Coffee Day, while X-Box advertises in I-max adlabs multiplex. These companies have realized the importance of youth market and are targeting them where it most beneficial. Even sponsoring sports events and advertising through movies serves to be a good purpose as the target audience gets targeted and the company achieves its objective. Thus, I will advise companies to focus on such areas where there can achieve maximum recall and mileage. The youth is getting mature by time and also prefers to take its own decisions. Today’s youth who are influenced by others will be tomorrow’s purchaser. Thus, it becomes very important to influence them for the companies and also make them loyal to their brand. The youth is now inclined toward trying new things such as sports like bowling and pool, having hookahs, spending on mobiles and gadgets, etc. Their purchasing power has increased and their mentality towards spending has also changed. Youth Marketing 32
  • 33. Generation Gap OLDER GENERATION NEW GENERATION Idealized Gandhi-style poverty, Socialist theory Wants to get rich, admires Capitalism theory Grew up amidst famines Grew up amidst food surpluses Had only one state-run TV channel Can watch 50 TV channels via cable and satellite TV Mostly techno phobic Mostly technology-savvy Tended to be avid savers Tend to be guiltless consumers Grew up with stable government Led by one party; upper-caste Grew up with constantly shaky coalitions; more voice for lower domination caste Favored medicine, engineering or civil service as careers Favor computer-driven and other high-paying career choices Youth Marketing 33
  • 34. Average literacy levels of 30% Average literacy levels of 52% Tastes tended toward tradition drinking tea, eating at home. Tastes tend toward modern: Western food and sodas, eating out. The older Indian generation lived traditionally and was orthodox in their approach towards life. They accepted things and situations as they came and did not like changes. They did not like modern ideas and were always against westernization. But, India’s youth of today have left these mentalities far behind and moved ahead with the times. They are open minded and like to try new things and inventions. They welcome changes and are technology savvy and like devices which save time and make their lives simpler and easier. Thus there is a huge differentiation between the thinking and mentality of the two generations and we today’s youth have moved ahead with time and technology and left the older generations thoughts behind. Thus, companies wooing India’s youth should always remember that while targeting the youth it’s important to have a mixture of tradition and values along with modern ideas and concepts. One who is successful in finding this right combination in his marketing strategy is sure to achieve success. An example of the Allahabad Bank can be given, which is one of India’s oldest banks. In its recent television commercial it shows that how it has met the needs the both of a father and a son in terms of providing banking services and thus has been able to accept changes and move ahead with the times. The commercial indicates that the bank has met the needs and demands of the older generation (i.e. the father) and thus has provided Youth Marketing 34
  • 35. complete customer satisfaction and on the other hand has also changed with the generation and bought in new technology and changes in it services and thus satisfies the needs of the younger generation (i.e. the son) and thus provides them with customer satisfaction too. This way it proves to be an ideal bank for the both the generations. Short Stories – Companies wooing the Indian Youth The Axe Effect ! Axe, the deodorant that is considered cool, fashionable and stylish by young men was launched in India in 1999. Available in more than 60 countries around the world, it is a world leader in male toiletries. Axe has a mix that is completely harmonized globally - from its proposition and communication to the product, as available on the shelf. Axe is available in fragrances like: Java, Alaska, Atlantis, Voodoo, Africa, etc. Voodoo has become the leading male deodorant brand in India within just one and a half years from its launch. Youth Marketing 35
  • 36. Consumers associate a lifestyle of cool clubs, cool music, and cool fashion with Axe. The youth view it as an icon which introduces many 'firsts' to their world of music and dance - like the first "World's Longest Dance Party" and the first ever 'Axe Voodoo Island Party. The advertisements and promotional activities of Axe relate to the male urban youth and the fragrances are cool for them to use and to get associated with the brand. Hamara Bajaj – Changing Generations Old-line Indian family-owned companies are also increasingly catering to the youth market. Changing buying patterns--in which teens are no longer content to have their father's hand-me-down watch and instead want to buy their own--are part of the reason. But in many cases, the helm of the company has been passed down a generation, and younger CEOs are more hip. Take stodgy Bajaj Auto Ltd., the world's second-largest scooter maker, based in Pune. Since Rajiv Bajaj, 32, son of owner Rahul Bajaj, joined the family business as vice-president for product development, Bajaj scooters have changed from value-for-money vehicles targeted at the middle-class male to scooters with style and performance catering to youths of both genders. Hence the new, zippy Spirit, Bravo, and Legend scooters, which hit the market in quick succession in the past year, aimed at 18-to-24 year olds. Also the Bajaj Pulsar 150cc and 180cc, targeted at the male youth have become a hit among them because of its looks, performance and specially its tagline, ‘Definitely Male’. It is one of the largest selling bikes of the company. Catch them Young – Luring the bait Companies are also working to win the hearts of young potential employees. To recruit the best talent, premier software Youth Marketing 36
  • 37. developers, including Infosys Technologies Ltd. and Tata Consultancy Services, are offering stock options, flexible working hours, foreign assignments, and even education packages to overseas universities and perks such as housing and auto loans. Infosys is also working to increase computer literacy in hopes of fostering more talent nationwide, offering free computer-training programs in urban and rural schools and other educational institutions. The cons : Companies such as Hindustan Lever Ltd. and Cadbury, which were tops on campus recruitment until high-tech companies came along, offer similar bonuses to smart young MBAs. Jay Desai of Universal Consulting in Bombay says that although small, family-owned Indian companies are the mainstay of his business, he takes on clients from Dubai and Singapore in order to keep bright young consultants from leaving for multinational companies that can offer a more whirlwind experience. Observes Deepak Jolly, vice-president of Pepsi India: ''Young management graduates of 22 say, 'How fast can we rise?' They are very demanding. They want to climb the ladder of success in a very short period of time.” Thus, it is necessary to lure them to retain them. But India's young people aren't just computer nerds. They play hard, too. Bowling alleys, pool parlors, and cybercafés are booming across India. Youngsters cough up Rs. 200 an hour for a bowling game, and skip school to surf the Net at cybercafés at Rs. 30 an hour. ''Now, Indian kids are getting what we could only read about in American comic books,'' says Aditya Singh, CEO of Bombay's Bowling Co. ''They are waking up to consumerism.'' They are experimentative and want to try new things. They want to imitate the west as in listen to ‘I-pods’, play ‘Play Station’ etc. The youth is changing with the time. Titan Fastrack – Hitting the bull’s eye The range of Fastrack watches launched by Titan has certainly been a huge success. Aimed at the Indian youth, the product has been a huge success. The advertisements and other promotional activities has been youth oriented and Youth Marketing 37
  • 38. appeal to the youth. The tagline ‘How many you have ?’, compels them to buy more and more pieces of this collection. One can say that Titan has certainly hit the bull’s eye by launching the collection in the price category affordable to the youth and also providing with a variety of trendy designs and appealing to them via the advertisements. Titan has realized that Indian youth prefers wearing branded watches but at the same time not very expensive ones. Thus Fastrack proves to be a cool style statement for the youth which is trendy as well as suits the pocket of the Indian youth. Today Fastrack watches are considered as style statements. Titan has also launched Fastrack glares and signed John Abraham as their brand ambassador as he is the current youth icon and appeal to the youth for his style statement. Cadbury’s – The Real Taste of Life Cadbury’s the leader in the chocolate market has lived to the true meaning of its tagline, ‘The real taste of life’. Cadbury’s has targeted children and the youth in its advertisements since the past but these serves them the purpose as the whole family gets inclined towards the ads. One starts having them since he is 2 years old but consumes it through his lifetime. Be it Amitab Bachann’s ‘Pappu pass ho gya!!’ for Dairy Milk or Preity Zinta’s ‘Thodi se pet pooja kahin bhi kabhi bhi’, ad for perk, the company has always reached the entire audience and this they have done by targeting the youth and the children. The company knows that Indians are emotional people; hence they have always maintained an emotional touch in their ads while targeting the audience. Chocolates are actually for children and every other brand only targets them but Cadbury has attained such a position in the market that through advertising to the kids they attract the whole nation indirectly. One always says while purchasing a Cadbury that it is for the child but the fact is that everyone loves consuming it. So Youth Marketing 38
  • 39. Cadbury’s has lived up to its goodwill and has become the taste of life right from the days of childhood of a person to his old age. CASE STUDIES I have undertaken the study of 5 different cases which includes companies, products and services. They are as follows : THE LEVI’s STORY Levi Strauss and Co is a company with famous global brands, but how has it managed to overcome some of the problems of gaining acceptance and leadership in another continent? As with many companies which wish to implement a multi-country strategy, a considerable amount of research is carried out to see if there are similarities or differences in what might appear to be a global consumer segment, and whether local adaptations are required. This case study examines Levi's global brand Youth Marketing 39
  • 40. strategy and how it is integrated into the company's marketing strategy in Asia. The study also provides valuable insights into how global brands are carefully defined managed, and communicated. Levi's brand managers probably know as much about the global youth segment as any other in the world, as this is the segment the company primarily targets, a segment with a base of 15-19-year-old males. Indeed, the company regards one of its strategic advantages as having a better understanding of youth than any of its competitors. However, nothing is taken for granted at Levi's, and it continues to carry out consumer research every year. For example, the company conducts around 80 qualitative focus groups in Europe alone specifically dedicated to advertising development even though such research is regarded as an aid to judgment and not a substitute for it. It is interesting to note that Levi's view of building brands in one part of the world is no different to brand building anywhere else-the same principles apply. Research on Asian youth Levi's has done some interesting research on Asian youth to determine similarities and differences between youth psychographics in Asia and elsewhere in the world. The results have been both interesting and valuable to Levi's Asian brand strategy. Levi's particularly looks for similarities in people and their perceptions of the brand. Here are some of their findings: The "success” formula used by Asian youth appears to be: • Work hard at school, finish all homework, go to extra classes. • Learn to play the piano or another musical instrument • Gain entry to university and obtain a good degree • Work during the school holidays • Take over the family business or be a doctor or some other professional. There are Asian cultural restrictions that dictate that certain rules, codes, and guidelines should be observed, with respect to: Youth Marketing 40
  • 41. • how to conduct oneself • what to consider important • what to strive for. In other words, belonging and responsibilities to "the group" overwhelm personal ambitions- the expectations of parents, friends, teachers, and culture surround Asian youths. These perceived expectations are so strongly felt that Asian youth fears the disappointment, disapproval, and even shame that could follow failure. This is borne out by the following two quotations: "46% of Singaporeans believe that stress is caused by insuring that their children get good academic results." The Straits Times, May 1998. "Japan's rigorous academic system is also in the spotlight, as it was when there was a rash of children committing suicide in the mid 1 980s and early 1990s." "Teen violence rising in Japan”, CNNI, March 1998. The Asian recession of the late 1990s has added to the feelings of hopelessness and being out of control of one's destiny, as seen in some of the comments made by research participants: • "What's it all for?" • "Jobs are not for life any more." • "My qualifications won't count for much." Asian youth is worried and stressed. The social issues of greatest concern to Japanese youth, for example, are crime, AIDS, and drug abuse, in that order. However, not all is bleak; there are feelings of optimism. There is a sense of youth identity- that they are inheritors of an exciting new world- building on an identity that is not defined or constrained by Asia’s past. Young people have their own aspirations, such as:- Youth Marketing 41
  • 42. • Not having to live with their parents. • Not restricted of marrying within the race. • Not having to be heterosexual • Being allowed to be themselves more. Some of the aspirational values of Asian youth, according to research, are very similar to those found around the world – though weaker or more repressed in Asia: • An obsession with finding identity • To overcome insecurities • A desire to be "cool" • A desire to be sexually attractive individuality Asian youth and brands Asian youth is particularly "brand-fickle," exhibiting: • low involvement with brand values and brand identities • focus on newness and user values • mass adoption, mass rejection, little repeat purchasing. They appear to be (this has not been proven by research) a bit like locusts, moving from one brand to another after avariciously devouring one. For example, with watches, they moved rapidly from Swatch to G-Shock to Baby G to AKA to Fossil to Nike. So, brand loyalty tends to suffer in the face of fashion. But, research has found that Asian youths' views of Levi's concur with those of youth elsewhere, namely: • Authentically American • Original jeans • Quality • Cool • Self confident • Sets trends Youth Marketing 42
  • 43. The challenge then for companies like Levi's is how to hold back this tide of fashion change, but the similarities among world youth offers a solid foundation for consistent brand strategy. Levi's brand values and personality The Levi’s personality is composed of eight characteristics or values with emotional associations, defined as follows:- • Original – Levi's created the jeans market and is recognized as the most authentic jeans brand. Levi’s, therefore, follows no one. Whenever the brand communicates to its audience, it must be seen as distinctive and original. Levi's writes its own rules and is never afraid to break them in order to remain original. • Masculine – Levi's has a masculine personality. It was designed for men engaged in hard physical labor. Male toughness and "cool" are central to the brand's character. • Sexy – Levi’s has always made men and woman look more attractive. It exudes a charisma and confidence that is magnetic. The attraction is not due simply to external appearance, but also to brand’s resourcefulness and intelligence. • Youthful – Levi's came of age when it was adopted by American youth in the 1950s and jeans became the uniform of the disaffected teenager. Whoever the wearer is today, jeans-wearing will always be intimately associated with youth. • Rebellious – Levi’s should never be seen as a part of the establishment accepting its rules and regulations. Rules are by definition imposed by a previous generation, and the brand should always be prepared to challenge the conventional behaviour. • Individual – Levi's should never be afraid to stand out in a crowd and attract the attention of others. The brand has a certain confidence and integrity which means that, although it commands the respect of its peers, it has the strength of character to go it alone if necessary. Youth Marketing 43
  • 44. • Free – Levi’s travels light. It is unburdened by the clutter and hassle of everyday life and the sort of responsibilities and commitments that may hinder its freedom of action. • American – Levi’s was originally worn by the hero’s who pioneered America and mapped out the American Dream. Levi’s speaks with an American accent, but it does not try to force American ideology and values on others. Levi’s brand role for Asian youth These brands values represent a particularly aspirational way of life for youth all over the world. In addition, in Asia, these values are particularly appealing given that Asian youth does not have access to the moral liberal lives of Western Youth. The Levi’s brand is one of the few voices, which Asian youth is hearing, that is not suggesting Asian youth needs to slavishly follow the traditional Asian ways. In this respect, the brand takes some pressure off these youth and draws their empathy as a result. Levi’s brand rational associations In addition to the brand personality, Levi’s has a set of rational associations that also has to be communicated as part of a left-right brain strategy. The rational associations are: • Original – Levi’s has innovated throughout the history of jeans. Levi’s product will lead the way in redefining jeans and jeans-related apparel. • Simple – Levi’s will always prefer a simple solution to a complicated one. Levi’s seek to eliminate the unnecessary so that the necessary can speak. • Reliable – Levi’s product does not let people down. They set about their task with quiet efficiency day in and day out, week in and week out. • Strong – Levi’s products will not be distracted from their tasks by a light knock or scrape. They are tough, strong and resilient. Youth Marketing 44
  • 45. • Long lasting – Levi’s products last for years. They are life-long companions and share their owner’s experiences, achievements and frustrations. Levis brand positioning From the combination of brand personality and values, and its rational associations, the positioning for the brand is derived. The Levi’s brand positioning (sometimes referred to as brand soul), is embodied in the statement: The original and definitive American jeans (rational) that celebrates all the great things about being young (emotional). The ultimate anti-fashion statement. Targeting youth in Asia Levi’s acknowledges that young people make their own decision as to which brands to buy and that these decisions are influenced by a mixture of rational and emotional appeal. But, Levi’s also agrees that peers and role models that youths look up to, with respect o both their believes and behavior, influence all young people. There is therefore a targeting hierarchy that exists. Opinion leaders certainly influence their peers in all markets, and youth is no exception. They will trigger buying by Early Adopters, and the brand (particularly the fashion brands) will then be picked by the Late Adopters, and lastly, the Mass Market. There is a trickle down over time. Youth Marketing 45
  • 46. The Levi’s brand strategy is not to appeal directly to the consumers most responsible for volume, rather to aim at opinion formers and peer group leaders, including the top portion of early adopters. This might seem rather odd when logic would suggest the reverse, trying to influence the bulk of the market not to take new brands. Levi's say that the top end of the triangle is their "creative target" whose thoughts and actions will be overheard by the "broader target." If the creative target can be convinced to keep Levi's in their wardrobe, then the rest will do the same. And Levi's found that the opinion leaders often kept classic brands in their wardrobe as well as the latest fashion brands. Research sampling, therefore, reflects the creative target rather than the user base. Brand communications strategy and local adaptation Levi's created a communication mission statement to summarize the task: To enhance brand equity by finding fresh and innovative ways of communicating to consumers Levi's Core Associations, both rational and emotional. By doing this, everyone involved in brand communications has to focus on the mission and values. There is no room for error. Levi's always stays true to its brand personality despite incredibly different and very creative ways of portraying this. The first thing it did when entering Asia was to re- establish and reconfirm the brand values. However, like any sensitive global brand it does make adjustments for local circumstances. On a broad scale, recognizing that the advertising culture is less sophisticated in Asia and that people do not see some of the innuendoes and subtleties that would be perceived in the west, Levi’s made the messages more literal. Nevertheless, Levi’s produces a range of advertisements that play the Levi’s brand- value chord differently depending on cultural differences. For instance, as rebellion in Japan is not culturally acceptable, that value is played down. All of the values are rotated carefully in an integrated communications strategy, so that over time the audience is exposed to all of them. (Chapter 8 gives a fuller explanation of this way of projecting brand values). In targeting the opinion leaders, Levi’s also put on events for them, on an Youth Marketing 46
  • 47. invitation-only basis, and the words the company uses are always the language that the opinion leaders themselves use. The Results Levi’s has certainly done well in Asia among the 15-29 year olds, as recent brand research shows: Future challenges Levi’s past successes do not automatically mean that the future is the safe for it. As the apparel market is continually changing, Levi’s strategy will erode if it is not continually refreshed and made “market – right”. Currently, Levi’s observes that the global apparel market is shifting towards new fabrics, fits and finishes. Smaller cult brands and designer labels are cashing on these trends. The traditional denim jeans product that Levi’s sells inevitably is losing the limelight in the eyes of the consumer. These trends are most marked in the U.S. and Europe. Interestingly the Levi’s brand is holding its appeal far more strongly in the Asian region. How should Levi's respond? Levi's strategy has never been to follow the vagaries of fashion. Creating a positioning that transcends fashion and has classic status will always be its objective. The market is circular clothes that were popular will become popular once again and Levi's feel Youth Marketing 47
  • 48. confident that denim jeans will naturally recover much of their appeal. The brand has come through more stormy times, in late 1970s in Europe, for example, to emerge stronger than before. That said, there are significant plans in place for Levi's to insure that its popularity endures. Research is playing a key role in understanding how and why consumer tastes are changing and what that means for the brand. Market segments are being re-examined, communication being retuned, and new product possibilities considered. In the figure below, the consumer perceptual map indicates where Levi's intends to create a portfolio of brands and sub-brands based on the two principal consumer decision- making factors. New products and new communications campaigns are central to the whole repositioning exercise. The marketing of the brand in the Asian region may require less fundamental change as a more solid base of consumers appears to have been built in Asia. Youth Marketing 48
  • 49. Lessons from Levi's Levi's is a global brand that has won acceptance in many very different cultures, and the following points are relevant to any Asian country wanting to do the same. This case also provides important learning points for those companies wishing to enter the vast Asian market.  The same principles apply to building brands in Asia as anywhere else in the world: • Companies must generate consumer insight. • Having a vision or mission for the brand is vital. • Creative execution must reflect the brand personality and desired consumer associations.  Understanding the fashion dynamic in any market is critical: • Lead, do not follow • Target the front-end consumers • Use research wisely, as an aid to judgment, not a substitute for it  Appreciate the main issues affecting the brand in the market context, in this case, Asia: • Consumers are fickle • Youth is stressed  Each company has to decide between efficiency and relevance: Youth Marketing 49
  • 50. • Efficiency means providing one communications solution across a region, giving cost advantages, but losing some local relevance. • Relevance means providing multi-solutions for different audiences, but looking for similarities in attitudes and behaviors. Summer wave – Heats up the Cola Brigade : Youth – the Decision – Makers and the Purchasers Indian teens alone buy nearly 60% of the cold drinks, chocolates, and jeans sold in India. ''Every company is planning its future growth looking at the youth market,'' says Ajit Balakrishnan, founder of India's top-ranked Internet portal Rediff.com. As a result, retailers are changing how they market to this group. They are turning to hipper advertising and product lines. In addition, companies competing to hire the best and brightest find they need to lure young graduates as employees by offering career paths to overseas posts. Multinationals, with their broad range of experience, lead the pack. Cadbury Coca-Cola and Pepsi are leaders. All three companies are using famous actors, sports figures, and catchy slogans to woo youth. Pepsi's advertising slogan in India, ''Yeh Dil Maange More,'' or ''This Heart Demands More,'' has become a catchphrase of India's young. Coke is using ‘Piyo Sir Utha ke’ as its current tagline where their brand ambassador refers to having coke with pride. When Indian soldiers recaptured a Himalayan mountain peak from Pakistan in the recent military conflict in Kashmir, a 26-year-old captain who led the team sent a coded message to his superiors, urging them to let them capture more peaks: ''Yeh Dil Maange More,'' was what the message read. Currently one sees a plethora of cola advertisements plashed all round the place. They all have one name to get the ‘youth’ to hooked on to their brand. Celebrity endorsements (Sachin, Saurav, Amitabh, Hritik , Aishwarya…and the list goes on), V.Js (Cyrus), and models – all teen crazes are roped in to lure the Youth Marketing 50
  • 51. youth. Advertising is currently a battle of mud slinging between two major soft drink giants, each who want a share of the confused youth. Coke Launches Site, Myenjoyzone.com Soft drink major Coca-Cola India has joined the e-bandwagon. E-initiative, aims to bring Coca-Cola closer to its largest consumer segment – youth. “Coca- Cola tries to harness every opportunity to connect to its target consumers, especially through media vehicles which are as popular as the Net. Approximately 65 per cent of brand Coca-Cola’s volumes are consumed by the youth segment.” Coca-Cola also plans to leverage its numerous consumer programmes by extending them onto the site with an objective of building an active online community. Also, the key account activities like McDonald’s and cinema halls among others will also be covered in the site. With its site, Coke hopes to hit 600 cyber cafes in India. Roadshows in colleges, youth hang-outs and key accounts are in the pipeline. The company has also launched an online promotion where it is offering over 1,000 prizes to be given every month. Consumers will be given “Coke Crownz” - a virtual currency in every interactive section they enter. The consumer with the highest number of “Coke Crownz” wins a grand prize every month including a Sony Playstation for the gaming section, creative jukebox for the music section, a year’s supply of movie tickets for the movie section, etc. With such initiatives and marketing plans targeted towards the youth both the cola companies are trying to get the extra percentage in their sales and the trying to capture the market share. The benefit from the confused state of mind of the youth and target the youth and children because they are their basic audience. The advertisements always refer to Youthfulness, enjoyment, happiness, etc which are emotions associated with the youth. Thus the cola brigades try to get the youth Youth Marketing 51
  • 52. working for them and for this they spend huge amounts on their advertisements plans and also on the various schemes and contests they launch to boost their sales. Along with it sponsoring sport tournaments such as Cricket matches and also advertising in movies has become a very common thing for the companies because they have realized that the youth is influenced by sports and movies in India. MTV – Feels The Pulse Marketing Forum on “Feeling the Pulse of the Indian Youth Market” conducted by MTV & Brand equity.  Few Highlights relevant to our study According to a survey by the National Council for Applied Economic Research (NCAER) 30% of urban Indians are below 30. Whatever its demographic implications, for marketers it means just one thing: there's a huge opportunity waiting out there for those who target the young. In this context, the recently concluded MTV & Brand Equity Youth Marketing Forum comes at an appropriate time. Among its findings:  The Indian youth is no longer confused  The voice of the youth is not heard in advertising  The loyalties of the youth segment are transient The forum was divided into four sessions, the first topic first being 'Appealing to the young mind: Sachin or Shah Rukh?' The others were 'Tuning Youth Marketing 52
  • 53. into their wavelength', 'Looking beyond the big city lights', and 'Youth in India: a mass niche'. In the first session, Vibha Rishi Paul, executive vice-president of Pepsi Foods, spoke about how young people wanted more out of life. This, according to her, was behind the company's latest `Yeh Dil Mange More' campaign. McCann-Erickson consumer insights director David McCaughan's presentation was about the four cornerstones of the teenager 1) belonging, 2) source of 'cool', 3) hanging out and 4) language. MTV India research manager Sangeeta Gupta outlined ten trends, the most significant perhaps being that the young today are reveling in a 'khichdi' of Indian and western cultures, a pointer to marketers on how they should be communicating. In the next session, Highlight Films director Prasoon Pandey said that the best way of tuning into the wavelength of the young was to give them an approach that was new and surprising. Interestingly, Indrani Vidyarthi, manager at Quest (the qualitative research wing of ORG-Marg), felt that most Indian marketers still hadn't found a way of communicating to the youth. According to her, young people felt that marketers portrayed them in a one-sided, childlike manner: loud, self-centered, and rebellious. On the other hand, she said, they saw themselves as concerned, fun-loving and responsible. Bhaskar Das, vice-president at Times Response and brand manager at The Economic Times, said that though the youth market was heterogeneous, it did have a few homogeneous motivations like the sense of self or the need to be cool. He felt product-based brands were anachronisms and the day belonged to 'philosophy brands', that is, those which expressed an attitude towards life, like Nike. The third was 'Looking beyond the big city lights'. Adarsh Gupta, executive director of the Liberty group, and R.L. Ravichandran, vice-president at Youth Marketing 53
  • 54. Bajaj Auto, touched upon the peripheries of the subject. Shunu Sen, marketing guru and CEO of Quadra Advisory felt that the one big change that was taking place beyond the city lights was the changing family structure where the father was becoming more of a companion and less of the stern patriarch -- a fact marketers should keep in mind. In session four, Rama Bijapurkar talked about the necessity to move youth marketing from a niche activity to the mainstream. She was of the opinion that, as gross domestic product (GDP) grows; today's poor youth will turn into tomorrow's consumers. According to her, the segment 'rich brats' in SEC (socio-economic class) A1 (top 23 cities) accounted for 0.5 million. There were 4.1 million in the `consuming class' in SEC A&B (top 23 cities), and if that was "stretched a bit" there could be as many as 10.6 million in this category. The second speaker was Rajeev Chandrasekhar, chairman & managing director of BPL Telecom. Kanwaljit Singh, general manager (marketing) at Intel India, said you could reach out to the target group in their language, with the same message, but through a new medium, for example, through cricket or music. Concluding remarks were made by Raghav Behl, director of CNBC Asia, Jaideep Bose, executive editor of The Economic Times and Sudhanshu Saronwala of MTV India. The forum ended with the presentation of this year's youth marketing awards which were bagged by NIIT (youth marketer of the year) and Chiclets (youth campaign of the year). While there's no doubt that the audience left the forum with quite a few insights, one couldn't help get the feeling that the participants used it to also deliver their sales pitches.  MTV - Enjoying its 3-D outlook on youth  MTV’s marketing Plan with a 360 degree Dimension Touch and feel the channel. Youth Marketing 54
  • 55. Shape perceptions and Drive eyeballs to the channel  Objective To touch the life of youth everywhere they turn to-be it home, college, office or hang-outs. Main Aim is to provide topical content which the youth in India wants.  The Result MTV is fairly successful in this attempt, without compromising their identity as a music channel.  The Story behind the success MTV has positioned itself as a complete entertainment solution for youth with innovations like morning music, MTV dressing for colleges and offices, a Web site to browse through during working hours, MTV hang-outs for the evenings and back to the channel in the night. With these, MTV has a complete gamut of things that touch the life of youth 24 hours a day, seven days a week and 365 days a year. The channel has been successfully promoted by an all-round marketing strategy with topical event-based programmes on the ground supported by promos in print and other media. "This helps MTV to be seen around the ground and finally they have the channel that beams the events. The aim is to make the Indian youth participate in the event and identify with the channel. With this in mind that the channel has been hosting events and shows like Dirt Busters, Bacardi Blast and War of the DJs. Dirt Busters was a good example of how the interests of youth can be brought to bear on social and Youth Marketing 55
  • 56. environmental issues. Majority of the Indian youth is not concerned about issues like ozone depletion. But, if you can communicate with them in their language against the issues of concerns, they will sure respond to it. Dirt Busters have proved this point unequivocally. MTV appeals mainly to the teeny-boppers because it speaks their language. The titles of most of the programmes are also inspired by the every-day street language. So you have MTV Filmi Fundas which deal with the idiosyncrasies of Bollywood, right from wet saris to chummas to Ek Do Teen. The channel has almost trebled its distribution in the last 12 months. When most television channels are facing a severe financial crunch MTV is having a whale of a time. Some of India's largest youth brands "Pepsi, Colgate Gel, Levis, Candico, Phillips, Coca-Cola, Eveready, Dabur and Elle 18"advertise on the channel. MTV added a whole bunch of new veejays, including the hugely popular Cyrus Broacha and Nikhil Chinapa and Shenaz Treasurywalla, as part of an image change. MTV’s success is also mainly because of a three- pronged programme "humanizing, weirdness quotient and an Indianised content. They have a lot of career and interactive shows. "Because of the wacky language and content MTV has become a youth icon in 73 countries." MTV's success can also be attributed to the fact that the crowd working for the channel is very young. People who are with them are engineers, law graduates, advertising students but who are passionate about their work.  Icing on the Cake The strategic decision has finally yielded dividends. Less than two years after MTV decided to go desi, the music exclusive channel has started attracting advertisers and sponsors in a big way. Rating of the channel picked up significantly once it recast the content from a typical European one to 70:30 formula, where 70 per cent content is based on Indian themes and topics. This pushed MTV to top slot in Youth Marketing 56
  • 57. the segment and with our quality and topical content MTV is currently way ahead of the competition. SMS - its shrt'n'swt, its gr8 fun, & evn bd splng wrks! If you are able to read through that sentence without blinking, then you are one of the millions across India who are avid fans of SMS, or short messaging service-that natty feature on your mobile phone which lets you keep in touch with anyone around the world for almost nothing. With estimates of SMS sent in India every day pinned at 70 lakh (GSM, the wireless industry body, puts the number of messages sent in the first six months of last year at 50 billion), corporates and techies are coming up with novel means and uses for what is turning out to be the killer application of the mobile era. Cellular networks staggered and many got jammed on New Year's Day as greetings zipped through the lines. "It's a surprise that no network collapsed," says a cellular. The statistics demonstrate that SMS has become an integral part of urban lifestyles, mainly youth. With its ease of use, it is redefining the way people communicate with friends and family not only in India but across the globe." Young executives stuck in boring board meetings 'text' each other jokes and comments about the boss. The very people who often complained that having a mobile phone is like being on call 24 hours a day have woken up to the potential of SMS-ing. Business magnates and celebrities, like Ekta Kapoor, now give mobile numbers to dealers, associates and colleagues, and request not to be called, but messaged. "Message me, that's the best way to get in touch," says Rohit Bal, India's top fashion designer. An official at Hutchison says, “And it is a great means to communicate, since it does not intrude on your privacy, is not specific to a time zone and provides value for money." Youth Marketing 57
  • 58. A vital aspect behind the success of SMS is that from Rs 2 in some circles to 50 paise or even free in others, it comes cheap. And messages can be sent to virtually anywhere, from one mobile to another or from a PC (popular Websites like mtnsms.com) to a mobile phone. Operators across India also have been promoting SMS-ing. Nokia recently held the So Much Stuff challenge competition in cities such as Bangalore, Mumbai and Delhi to promote SMS. Many youth brands, especially Coke, Pepsi and Channel V, have been running SMS promos to hook in their target audience. Television shows like Indian Idol, Super Singer, etc. and many shows use the SMS service to get the votes for the participants and also engage the viewer to participate in various contests. In this way the hook the customers and make them pay a premium for the service they are utilizing. Kids, youngsters and women are the target audiences for these services. E.g. Service providers like 8888, 2424, etc are tying up with various shows and hooking the audience by asking them to sms to vote or participate in various contests. "SMS will eventually become UMS or 'unified messaging service', where there would be one way of doing many services. SMS is new buzzword among the youth and a great opportunity for the marketers. “R u lisnin?” Youth Marketing 58
  • 59. Marketing to Youth (children & teenagers) If the last ten years have taught us anything, it is that the industry is dominated by the companies who respond most to the needs of younger smokers. (Imperial Tobacco, Canada) Summary Since ages the tobacco companies worldwide have been targeting the youth market for its products. The importance of youth market has been realized by the industry and thus directly and indirectly, legally and illegally, etc. and via several means they have been targeting children and teenagers to hook them to smoking. The case study shows that how some of the major US tobacco companies have been hooking the youth since as early as the 50’s. The various events has been mentioned order of their occurrence in the case study. Publicly the tobacco companies have always maintained that they do not target youth, but the market logic of selling to teenagers is overpowering - teenagers are the key battleground for the tobacco companies and for the industry as a whole. Their response has been that peer pressure is the most important aspect in children smoking. But internal documents sharply contradict this, by showing that they set out to aggressively advertise to youth, and even manipulate peer pressure to make people smoke their brand. The industry knows that very few people start smoking in the teenage years, and if you can "hook" a youngster early on they could well smoke your brand for life. Indeed, independent surveys show that approximately 60 per cent of smokers start by the age of 13 Youth Marketing 59
  • 60. and fully 90 per cent before the age of 20. This is the paradox of the cigarette industry – it is both socially and legally unacceptable to advertise to under-age teenagers and children – yet it is to this precise age group that it has to advertise to in order to survive. The case study shows that the tobacco industry: • Thought about using honey and comic strip, as well as advertising, to entice youngsters to smoke. • Looked at ways of preventing teenagers from quitting. • Undertook studies how to manipulate pubescent/teenage anxieties into making people smoke. Examined the attitudes, aspirations, and lifestyles of the young and how to exploit them. The case study also shows that: • Advertisers set out to equate cigarettes with rebellion, self-expression, self- confidence, independence, freedom, adult identity, masculinity for boys and femininity for girls. • Two of the most successful advertising campaigns: Marlboro’s Cowboy and RJ Reynolds’ Old Joe Camel pitched their appeal directly to youth. • The companies advertised in sports magazines and sponsored motor racing as new ways to market to youth What is known - key facts about marketing to children • Cigarette advertising reaches children as young as three. In one study six year olds were as familiar with Joe Camel as Mickey Mouse. Other studies have found that Joe Camel appeals more to kids than adults. • Children were most aware of the cigarette brands which are most frequently associated with sponsored sporting events on TV. Youth Marketing 60
  • 61. • Nine year old children are receiving the positive message from cigarette advertisements at the age when they are most likely to try their first cigarette. • The most commonly remembered brands by 11 year olds are the most heavily advertised. • In one study, a third of the 10- and 11-year-olds and more than half of the secondary school children were able to name cigarette brands and sponsored sports. • Advertising campaigns targeted at older teenagers and young adults are likely to present qualities which younger teenagers find attractive. • Teenagers consume the cigarettes which most dominate sports sponsorship. The great fallacy promoted by the industry is that by avoiding marketing that is childish, they are somehow avoiding an appeal to children. In fact, advertising to children and teenagers works precisely because it identifies smoking with adulthood. The teenage years are a time of great aspiration and insecurity, smoking can become a badge or signifier of certain positive values - these are remorselessly nurtured by tobacco industry marketing. What the industry said and what it knew ‘Hitting’ the youth market 1957: A Philip Morris Executive writes that "hitting the youth can be more efficient even though the cost to reach them is higher, because they are willing to experiment, they have more influence over others in their age group than they will later in life, and they are far more loyal to their starting brand." The cowboy – out to capture youth’s fantasy Late 50’s: Philip Morris starts using the Cowboy image on its commercials, because the image "would turn the rookie smokers on to Marlboro, the right image to capture the youth market’s fancy, a perfect symbol of independence and individualistic rebellion" As one executive who worked on Marlboro recalled "When you see teenage boys - people the cigarette companies aren’t supposed to be Youth Marketing 61
  • 62. targeting in the first place – going crazy for this guy, you know they’re hitting their target. Virginia slims slogan doubles teen smoking 1968: Philip Morris produces Virginia Slims, a cigarette targeted exclusively at women, running the slogan: "You Have Come Along Way Baby". Within six years of the Slims launch, the percentage of teenage women who smoked had nearly doubled. Youth share 1969: 23 May: A report for Philip Morris identifies that over 15 per cent of female smokers aged 15, and 23 per cent of male smokers aged 15, smoke Marlboro. A cigarette means I am no longer my mother’s child Autumn: A draft report to the Board of Directors of Philip Morris states: "A cigarette for the beginner is a symbolic act. I am no longer my mother's child, I'm tough, I am an adventurer, I'm not square … As the force from the psychological symbolism subsides, the pharmacological effect takes over to sustain the habit". RJR recognizes the need to appeal to youth 1973: 2 February: Claude Teague, Assistant Chief in R&D at RJ Reynolds, writes a paper: "Some Thoughts About New Brands of Cigarettes for the Youth Market": "At the outset it should be said that we are presently, and I believe unfairly, constrained from directly promoting cigarettes to the youth market … if our company is to survive and prosper, over the long term we must get our share of the youth market. Thus we need new brands designed to be particularly attractive to the young smoker, while ideally at the same time appealing to all smokers. Perhaps these questions may be best approached by consideration of factors influencing pre-smokers to try smoking, learn to smoke and become confirmed smokers." RJR analyses the psychology of youth smoking Teague continues: "thus a new brand aimed at the young smoker must somehow become the ‘in’ brand and its promotion should emphasise togetherness, belonging and group acceptance, while at the same time emphasising individuality and ‘doing one’s own thing’. The teens and early twenties are periods of intense psychological stress, restlessness and boredom. Youth Marketing 62
  • 63. Many social awkward situations are encountered. The minute or two required to stop and light a cigarette, ask for a light, find an ash tray, and the like provide something to do during periods of awkwardness and boredom. The fragile, developing self-image of the young person needs all of the support and enhancement it can get …This self-image enhancement effect has traditionally been a strong promotional theme for cigarette brands and should continue to be emphasised … a careful study of the current youth jargon, together with a review of currently used high school American history books and like sources for valued things might be a good start at finding a good brand name and image theme. This is obvious a task for marketing people, not research people". Use comic strip 12 April: A RJR document articulates that: "In view of the need to reverse the preference for Marlboros among younger smokers, I wonder whether comic strip type copy might get a much higher readership among younger people than any other type of copy. It would certainly seem worth testing a heavy dose of this type of copy in a test market to get a research reading on percentage of readership and copy recall." Study as young as 12 18 May: The Philip Morris Marketing Research Department highlight how a "Probability sample of 452 teen-agers ages 12-17" finds that 13 per cent smoke an average of 10.6 cigarettes per day and how "the data from the study are consonant with the findings of other such studies, both at Philip Morris and without." Increase share of young as they represent tomorrow’s cigarette business 30 September: A RJR marketing plan for 1975 outlines "Key Opportunity Areas" to "Increase our young adult franchise ... in 1960, this young adult market, the 14-24 age group, represented 21% of the population ... they will represent 27 % of the population in 1975. They represent tomorrow's cigarette business. As this 14-24 age group matures, they will account for a key share of the total cigarette volume -- for at least the next 25 years ...Thus our advertising strategy becomes clear for our established Youth Marketing 63
  • 64. brands: Direct advertising appeal to the younger smokers. For Winston, we’ve followed this strategy in developing the new ‘candid’ advertising campaign. It is especially designed to appeal to young adults .." Direct advertising to appeal to young 26 November: An internal RJR document outlines its primary "Marketing Goals" for 1975. These include "Increase our Young Adult Franchise: 14-24 age group in 1960 was 21% of the population; in 1975 will be 27%. As they mature, will account for key market share of cigarette volume for next 25 years … We will direct advertising appeal to this young adult group without alienating the brand’s current franchise". Target 15 year olds 12 December: A B&W document highlights that the "Target audience for the sampling effort on KOOL King Size" includes both Men and Women in the 15-24 age group." Marlboro’s growth rate due to young smokers A report by a Philip Morris researcher Myron E. Johnston to the head of Research at Philip Morris, Robert B. Seligman outlines that: "Marlboro's phenomenal growth rate in the past has been attributable in large part to our high market penetration among young smokers ... 15 to 19 years old . . . my own data, which includes younger teenagers, shows even higher Marlboro market penetration among 15-17-year-olds … Marlboro smokers, being on the average considerably younger than the total smoking population, tend to have lower than average incomes .. the decline in the popularity of Marlboro Red among younger smokers will probably continue and , thus, further reduce its rate of growth" Establish brand for 14-18 year olds to maintain position 15 March: A RJR document outlining "Planning Assumptions and Forecasts for the period 1976-1986" outlines that: "Evidence is now available to indicate that the 14-18-year old group is an increasing segment of the smoking population. RJR-T must soon establish a successful new brand in this market if our position in the industry is to be maintained over the long term". Learn how smoking begins, The purpose of Project 16 (Imperial Tobacco Canada) is outlined: "Since how the beginning smoker feels today has implications for the future of the industry, it follows that a study of this area would be of Youth Marketing 64
  • 65. much interest. Project 16 was designed to do just that - to learn everything there was to learn about how smoking begins, how high school students feel about being smokers, and how they foresee their use of tobacco in the future." Peer pressure is important at 11, but may want to quit by 17 The summary of the findings of Project 16 are that: "There is no doubt that peer group influence is the single most important factor in the decision by an adolescent to smoke …Serious efforts to learn to smoke occur between ages 12 and 13 in most case. However intriguing smoking was at 11, 12 , or 13 , by the age of 16 or 17 many regretted their use of cigarettes for health reasons and because they feel unable to stop smoking when they want to. By the age of 16, peer pressure to initiate others to smoking is gone." Marlboro dominates youth 1979: A Philip Morris memo states that: "Marlboro dominates in the 17 and younger age category, capturing over 50 percent of the market" Today’s teen is tomorrow’s regular customer Teens make initial brand choice 1981: A Philip Morris researcher Myron E. Johnston sends a memo to Robert B. Seligman, then Vice President of research and development at Philip Morris in Richmond: "It is important to know as much as possible about teenage smoking patterns and attitudes. Today's teenager is tomorrow's potential regular customer, and the overwhelming majority of smokers first begin to smoke while in their teens ….it is during the teenage years that the initial brand choice is made: At least a part of the success of Marlboro Red during its most rapid growth period was because it became the brand of choice among teenagers who then stuck with it as they grew older. Joe Camel ads reach children as young as three The Journal of the American Medical Association finds that adverts for Joe Camel are effective in reaching children. In one study more than half of the children aged three to six who were presented with a variety of products matched the Joe Camel logo with a photo of a cigarette. Six year olds were found to be nearly as familiar with Joe Camel as Mickey Mouse. The study finds that when children were shown Joe Camel adverts, 96 per cent correctly identified the brand, compared with only Youth Marketing 65
  • 66. 67 per cent of adults. Starters disbelieve the dangers until addicted Then sports are a reason for quitting A report for Imperial Tobacco of Canada states: "Starters no longer disbelieve the dangers of smoking, but they almost universally assume these risks will not apply to themselves because they will not become addicted. Once addiction does take place, it becomes necessary for the smoker to make peace with the accepted hazards. This is done by a wide range of rationalizations. The desire to quit seems to come earlier now than before, even prior to the end of high school. In fact, it often seems to take hold as soon as the recent starter admits to himself that he is hooked on smoking. However the desires to quit, and actually carrying it out, are two different things, as the would-be quitter soon learns …the single most commonly voiced reasons for quitting among those who had done so was …sports." RJR explains clearly why tobacco companies are inevitably drawn to youth marketing 1984: A RJR report, entitled "Young Adult Smokers: Strategies and Opportunities" states that: "Younger adult smokers have been the critical factor in the growth and decline of every major brand and company over the last 50 years. They will continue to be just as important to brands/companies in the future for two simple reasons: The renewal of the market stems almost entirely from 18-year-old smokers. No more than 5 percent of smokers start after age 24. The brand loyalty of 18-year-old smokers far outweighs any tendency to switch with age. Once a brand becomes well-developed among younger adult smokers, ageing and brand loyalty will eventually transmit that strength to older age brackets. Brands/companies which fail to attract their fair share of younger adult smokers face an uphill battle. They must achieve net switching gains every year to merely hold share... Younger adult smokers are the only source of replacement smokers. If younger adults turn away from smoking, the industry must decline, just as a population which does not give birth will eventually dwindle." Young are critical to our long term The report continues… "Younger adult smokers are critical to RJR’s long term performance and profitability. Because of the sensitivity of the younger adult smoker market, brand development / management Youth Marketing 66
  • 67. performance should encompass all aspects of marketing mix and maintain a long- term, single minded focus to all elements – product, advertising, name, packaging, media, promotion and distribution. Marlboro’s key imagery was not masculinity; it was younger adult identity/belonging –the brand for average younger adults, popular and acceptable among younger adult friends, not ‘too different’." Motor racing is a fast, trendy sport for the young November: Gordon Watson, General Manger of BAT in Hong Kong on sponsorship of the Macau Grand Prix : "We’re not handing out money for nothing. We have gone into this very thoroughly and the entire publicity is built around motor racing, seen as a fast, exiting, trendy sport for the young and, if you like, the young at heart. That’s who we are aiming at in the local market and early indications are that we’re on target". Smoking is for grown-ups RJR runs a series of adverts aimed at telling children that smoking is for "adults": "We don’t advertise to children. First of all, we don’t want young people to smoke. And we’re running ads aimed specifically at young people advising them that we think smoking is strictly for adults. Kids just don’t pay attention to cigarette ads, and that’s how it should be." Children most aware of brands with greatest sports sponsorship A study published in the Health Education Journal finds that: "Children were most aware of the cigarette brands which are most frequently associated with sponsored sporting events on TV. This demonstrates that the TV sports sponsorship by tobacco manufacturers acts as cigarette advertising to children and therefore circumvents the law banning cigarette advertisements on TV". 60% start smoking by 13 years - 90% before they are 20 A study into Tobacco Advertising and Consumption by Joe Tye, Kenneth Warner and Stanton Glantz remarks that: "Approximately 60 per cent of smokers start by the age of 13 and fully 90 per cent before the age of 20. These statistics translate in to the need for more than 5,000 children and teenagers to begin smoking every day to maintain the current size of the smoking population." Industry 1987/ 88: Imperial Tobacco’s (Canada) marketing plan states: Youth Marketing 67
  • 68. dominated by companies who respond to young – need to re-establish image "If the last ten years have taught us anything, it is that the industry is dominated by the companies who respond most to the needs of younger smokers. Our efforts on these brands will remain on maintaining their relevance to smokers in these younger groups in spite of the share performance they may develop among older smokers. Re-establish clear distinct images for brands with particular emphasis on relevance to younger smokers. Shift resources substantially in favour of avenues that allow for the expression and reinforcement of these image characteristics". Joe Camel appeals more to kids than adults 1991: A study in The Journal of the American Medical Association finds that Joe Camel appeals far more to children than adults. Thirty per cent of three year olds and 91 per cent of six year olds knew that Joe Camel was connected with cigarettes . The researchers found that: "Old Joe, the cartoon character promoting Camel cigarettes had the highest recognition rate among the tested cigarette logos. Market researchers believe that brand awareness created in childhood can be the basis for product preference later in life. It has been shown that children prefer the brands they see advertised …The children in this study demonstrated high recognition rates of brand logos for products that are targeted to both children and adults. Cigarette advertising no longer appears on television and very young children cannot read. Yet by the age of 6 years, Old Joe is as well recognised as Mickey Mouse". Sponsorship is designed to stop teens quitting Another study published in The Journal of the American Medical Association, finds: "The tobacco industry’s sponsorship of sporting events, such as the Camel Superiors motorcycle race, should be seen in relation to its need to discourage teenagers from quitting. Our study provides further evidence that tobacco advertising promotes and maintains nicotine addiction among children and adolescents. A total ban of tobacco advertising and promotions, as part of an effort to protect children from the dangers of tobacco, can be based on sound scientific reasoning". So much A review of "Direct Tobacco Advertising and its Impact on Children" Youth Marketing 68
  • 69. evidence that sponsorship is advertising that affects kids in the Journal of Smoking Related Diseases concludes that "There is now so much evidence that children identify sports sponsorship and brand-stretching as cigarette advertisements, and that advertisements aimed at adults have an even greater effect on under-age children, that statements from the tobacco industry that it does not advertise to children are irrelevant." Joe is attractive to kids Ex Philip Morris executive said: "You don’t have to be a brain surgeon to work out what’s going on. Just look at the ads. Its ludicrous for them to deny that a cartoon character like Joe Camel is attractive to kids" Advertising greater factor in encouraging kids to smoke than peer pressure 1995: A study carried out by the University of California finds that tobacco advertising is a stronger factor than peer pressure in encouraging under 18 children to smoke. One of the authors, Dr. Pearce, says: "It is not that children see an ad and start smoking, but seeing the ads and handling the cigarette packets and the promotional gifts lessens their resistance, weakens their resolve, so later on they will be somewhat more willing to accept a cigarette from a peer when it is offered." They got lips, we want them Terence Sullivan a sales rep in Florida for RJ Reynolds: "We were targeting kids, and I said at the time it was unethical and maybe illegal, but I was told it was just company policy". Sullivan remembers someone asking who exactly were the young people were that RJR were targeting, junior high school kids or even younger. The reply was "They got lips? We want them". The case study shows that how youth marketing has been used since a very long time and it can be a double –edged sword. Youth marketing when can be beneficial for the society than it can also be used as an unethical tool to influence children and teens. The tobacco companies have been doing so since decades even after knowing that it is socially and legally unacceptable. But they are just bothered about their profits and not the society. Thus, youth marketing also has its disadvantages and therefore should be used for ethical Youth Marketing 69
  • 70. purposes and to enhance the knowledge of the youth and also benefit the companies at the same time. Understanding the Rural Youth from Marketing Perspective In the recent years a changing pattern in the buying behaviour of rural families has been observed. The role of male rural youth in the purchase decisions of the family has been becoming more and more significant. Moreover, the marketers have always found it easier to target youth for a whole range of product. Understanding the male rural youth with the following objectives:  Media habits of the rural youth.  The aspirations of rural youth  The role and influence of the youth in buying decisions of the family for various categories of products  The stage in their life after which the opinion of the youth is considered significant  Key Findings Youth Marketing 70
  • 71. The most important age group of male rural youth that has a major influence in family buying decisions and are also concerned about latest brands and products is the age group of 20 to 22 years. The best media to communicate the message are television and cinema. The favourite slots can be cricket matches (especially when India is playing and excellent when India is playing with Pakistan) and movies preferably action movies being featured on television or a latest action movie running in cinema halls. DD1 and DD2 have the highest reach due to lack of cable television facility and Sony where cable television has reached. Radio and newspaper are not popular amongst rural youth except to access cricket news. The ad recall is high of action sequence or a very unique idea like Mirinda clones. Their endorsement of a product by their favourite cricket and media stars may not be enough to influence them to buy a product but it definitely increases the registration and recall of the ad. Tendulkar has a very high recall in rural areas as well. So, he can be used effectively for both. The role models of male rural youth are elder members of the family who have been successful in big towns, cities or metros. So, this theme can be used to influence youth. The western attire has become a part and parcel of male rural youth’s dress code. But, branded clothes and shoes have not been able to make any mark here. The male rural youth prefers sober wear and there is a huge potential as has been proved by major rural sales of Arvind Mills brand Ruf & Tuf. Arvind Mills positioned its brand Ruf and Tuf by creating a Macho image .Used Akshay Kumar as the Ruf and Tuf guy to promise the brands USP i.e. Durability . Rural youths are the major consumer of cold drinks in these areas. Thus, if the chocolate, confectionery, wafers, noodles companies have to enter these markets youth are their only gateway. Parle-G or Tiger biscuits have become family consumption products but it will take a long time for premium products Youth Marketing 71
  • 72. like Marie Gold or Milk Bikies to enter these markets and even that can be only possible through youth or teenagers. For FMCG products especially the personal care products like toothpaste, soap, toothbrush, shampoo, shaving products etc. male rural youth are the prophets of change. Motorcycle is the favourite two-wheeler amongst rural youth. It is important to realize that the rural guys look for the same attributes as any other youth and are the most important category to be targeted in rural areas. Here they should encash on the macho image associated with a bike for these guys. Hero Honda is tapping this to the hilt by cleaver advertising featuring the 2 famous icons Saurav & Hritik, TVS has followed suit with Sachin as the Brand ambassador. Mahindra and Mahindra, a company that has left a mark in the rural areas came up with Mahindra MAXX in 2001 that focused on satisfying the emotional and rational flank. Mahindra conducted a national wide survey to find out the needs of the rural customer especially the youth.Some of the insights that emerged from the survey which were implemented for the product launch: Rural customers needed a vehicle that was spacious, sturdy, rugged, tough and inexpensive, one that provided more value and a more aspirational image. For family durable like television, audio system and refrigerator youth can be an important influencer though not the ultimate decision-maker. At the same time the big brands will have to fight the local and spurious brands on various fronts price, reach, relationship marketing and after sale service. All the decisions related to agriculture and agriculture durable are a prerogative of the head of the family or the elders of the village. One of the most convenient categories for rural market research is the male rural youth in the age group of 15 to 25 years. The important locations Youth Marketing 72
  • 73. to spot male rural youth for interviews and group discussion are cricket playgrounds and young retailer’s shop/STD booth. THE INTIMACY MARKET & ITS RELEVENCE TO THE INDIA YOUTH Unlike Westerners, whose lifestyles the upper income classes in India so often assiduously try to imitate, a great majority of Indians, by any stretch of imagination, are not traditionally known to be intimate people, at least not very overtly. In fact, the continued existence of the joint family system in many parts of the country, even after a great deal of urbanization, and the traditional shyness and coyness associated with both males and females here (especially when interacting with one another which in itself tends to be mainly within the family and relatives circles) have always been considered major inhabitants. This is an important reason why the usage of personal care products like deodorants, mouth fresheners and perfumes is still low in India compared to the potential purchasing power of the masses in urban and rural areas. These products are used extensively in the West by people of all ages and both sexes as items of daily consumption and are meant to make the user feel good and enhance his or her attractiveness with the opposite sex. Youth Marketing 73
  • 74. In India, marketers have informally identified a major market segment today, which is growing by leaps and bounds, thanks to the changing lifestyles, higher aspirations and increasing purchasing power of the urbanized middle classes. It would not therefore be wrong to broadly term this market as the ‘Intimacy market’, since the basic premise of this market segment is that there is a growing demand for commodities that can enhance the need and desire for intimacy for the consumer. Consider a common (by Western standards) personal care youth product like a mouth freshener, which would have been considered absurd to use a few years earlier in India. Today you have brands like Prudent, AM to PM, Johnson and Johnson Mouth Rinse, Close Up Acti-Rinse along with the old faithful Listerine being extensively advertised on TV and in the press. The fact that even today these brands are requiring a tremendous amount of marketing effort to be widely accepted by its target audience is a clear indicator of Indians indifference to intimacy enhancers. Recently we witnessed the arrival of internationally known brand of breath freshener Clorets making its entry in India. However, a fact that such products have been considered viable to launched on a big scale in India is in itself quite a revelation. While Indian mouths are like most others in the world, neither very scented nor particularly foul-smelling, the crux of the matter is that, today, a lot more people are finding it necessary or desirable to enhance or maintain their attractiveness. The reasons for this are many, the primary ones being the increasing influence of western lifestyles as seen on TV networks like Star TV, BBC and Cable and an equally important trend, the greatly increasing number of women entering the white collar work force. It is an indisputable fact that the intimacy market has received a major boost in India due to these changing trends in society. In India, a product like condom has always been perceived to be a hush- hush one, more talked about than seen, and certainly not one you could or should splash on the pages of all national newspapers and magazines. Its usage was advertised more as a necessity, like a medicine. Moreover, it was always regarded Youth Marketing 74
  • 75. as a convenience tool, not as a means by which consumer should seek to enhance, their pleasure or get more intimate with one another. Yet in the Kamasutra brand of condom campaign devised by India’s premier ad agencies, Lintas, the product was positioned as offering much more than mere utility. A similar strategy has been adopted in positioning other brands like Moods, Adam and Kohinoor. Also, consider the flurry of activity that is happening in male cosmetics market and you will notice the quest to look and smell good. You already have products like under arm deodorants, deodorant body sprays, cologne and aftershave. Even a multinational like Levers realizes the importance of this market and has introduced Rexona Deodorant and Denim Cologne and Aftershave. There are many more recent examples of how some of the most successful marketing outfits are trying to cash in on the growing desire for intimacy among an increasing number of younger and older people. Product brands like Archies Cards which have found it worthwhile to spend crores on advertising in order to attract the urbanized youth to spend on their products which are meant to further intimacy and convey feelings among members of the opposite sex, besides other occasions. The card market, in fact, has really taken off especially among young collegians all over India who throng such stores. The Archies Card ad suggests how a young, urbanized collegian who has lost his girlfriend could win back her love and affection by sending an attractive Archies card. Lifebuoy has introduced a variant, Lifebuoy Personal, primarily positioned as deodorant soap and its advertisement is targeted at the male who faces rejection because of body odor. Or consider the Ivana brand of perfumes launched by Lakme. The ads try to convey a strong sense of intimacy between the couple who are holding each other and dancing closely. The Titan range of watches also recently flashed an ad which showed a young lover presenting his beloved with Titan Watch while the band in the hotel played her favorite tune. A watch was thus shown as a gift of love rather than merely a staid and sober time-keeping device. Youth Marketing 75
  • 76. The growth of the intimacy market would well be much faster and more widespread in the future because as the economy becomes much more internationalized and westernized, the market for such products (which has been lying largely untapped till now) will simply explode. In the 1980s, the market for women’s cosmetics had opened tremendously compared with the earlier decades as many more women entered the official work force. Now the intimacy market, if one may say so, is set to take off. Marketers will benefit a lot by introducing intimacy enhancing brands and also making their existing brands appeal to the intimacy conscious segment. As the youth of this country become much more image and fashion conscious and begin to intermingle more freely with the opposite sex, especially in India’s innumerable smaller towns and cities, marketers could well be laughing all the way to the bank. CURRENT YOUTH FLAVOUR - TURNING YOUR BRANDS INTO CELEBRITIES In India today, the use of celebrity advertising for companies has become a trend and a perceived winning formula of corporate image-building and product marketing. Associating a brand with a top-notch celebrity can do more than perk up brand recall. It can create linkages with the star’s appeal, thereby adding refreshing and new dimensions to the brand image. Celebrities have proved to be the ideal way to ensure brand prominence. Synergizing personality with product and message can create an instant breakthrough. Result? Brand buzz. People begin to notice, opportunities come about. People want to be a part of the brand. Touch It. Feel it. Experience it. ‘Celebrities as Brands’ is a concept-selling challenge, as the current notion of celebrity management is far from ideal — it’s perceived as a business that merely attaches the celebrity to the brand to get that added advantage. However, the actual job is not mere brokerage — it’s about selecting a spokesperson whose characteristics are congruent with the brand image. Youth Marketing 76
  • 77. In India today, the use of celebrity advertising for companies has become a trend and a perceived winning formula of corporate image-building and product marketing. This phenomenon is reflected in the recent market research finding that 8 out of 10 TV commercials scoring the highest recall were those with celebrity appearances. A few examples: Sachin Tendulkar - Adidas, Sourav Ganguly - Britannia, Leander Paes and Mahesh Bhupati - J. Hampstead, Shah Rukh Khan - Pepsi, and Aamir Khan -Coke. The effectiveness of the endorser depends upon the meaning he or she brings to the endorsement process. There is a three-stage process of meaning transfer which involves the formation of the celebrity image, transfer of meaning from celebrity to brand and finally from brand to consumer. This is what leads to effective celebrity advertising. The selection of a celebrity for a brand is done primarily on the basis of a marketing brief prepared either by the corporate or the advertising agency. Once the relationship between the brief, the brand and the celebrity is established, the association is accomplished. For example, when S. Kumar was to launch its new range of readymade garments, Tamariind, there was the realization that one brand of apparel couldn’t be very different from the others, and what would make the difference was the packaging. So in came teen heartthrob Hrithik Roshan. The brand personality of Tamariind matches that of Hrithik — Tamariind being a new brand and Hrithik the new heartthrob. The idea behind Tamariind is the ‘flavor you wear’ — a brand catering to the fun-loving and adventurous youth. And the ambassador chosen Hrithik Roshan is a successful and extremely exciting personality — a youth icon of today’s times. So the marriage is apt and justified. Youth Marketing 77
  • 78. It is also important for one to be completely clear about why a brand should use a celebrity. Is it to boost sales or to boost image? Or is it just to keep the brand alive? If the objective is increase of sales, the celebrity should be used for short-term promotions and brand activities. “A classic example is the Rani Mukherjee campaign for Bata which is believed to have helped boost sales for the ladies’ footwear brand, Sundrop, by a whopping 500 per cent.” Note of Caution: There’s one fact that advertisers using celebrity endorsements need to keep in mind — never let the celebrity become your brand. In doing so, one runs the risk of killing the brand no sooner has the hype and hoopla around the celebrity faded. CONCLUSION Words from the wise MR.NIKHIL CHINAPPA VJ MTV India “Youth symbolizes dynamism, a way forward, positive attitude but we still have long way to go as far as education and global awareness goes and that’s the only way forward for the Indian youth not to cut things out of the west but be able to study what happens in the west, imbibe the positive aspects of it combining the family values that we have been bought up in India to put together an Indian youth that is a world leader on the global stage “ MS.SHOBA DE Writer/Columnist Youth Marketing 78
  • 79. “If you feel there is a sense of involvement and responsibility with the country ,if you feel you want to be a part of a project ,part of that journey, part of their excitement :then each one of the youth has to contribute feel 100 % committed to India and feel enough and strongly for the country and be a part of the country’s success story” MR.KUNAL KOHLI Film Director “Youth and Film Industry to me is a two way street” .We film makers get influenced by today s youth in terms of what they wear ,what their language is like ,what words they use; and they also in turn get influenced by the stuff what we show in our movies MR MANECK PATEL Senior Vice President Taj Group of Hotels “The youth has always played a very important role. the whole structure has changed from a more healthy conservative individuals from a more younger generation who have the spending capacity and they the ones who dictate the trends that go through in the hospitality industry” MR.ARUN ARORA CEO, The Economic Times "Brand Equity has consistently presented new trends to emerge in the world of marketing, advertising, media and consumer research. The youth are the demographic group with the most rapid evolution of preferences and a constant challenge to marketers MR.VAIBHAV VISHAL Youth Marketing 79
  • 80. Associate director Mtv India “We the channel which is of the youth, for the youth and by the youth “ Everything what we do in the channel is governed by the whims and fancies, the dreams, the desires of the youth .Most of the team is a young team. It’s a very young channel .We know what the youngsters want because we do a lot of research to figure out what exactly are their hopes ,aspirations and ambitions Indian Youth – The Final Say CNBC's Storyboard has studied in depth the Indian Youth Market There was a time, Storyboard said, when the youth market was considered a niche: Today, the niche is the market. There are 100 million young Indians today, the program pointed out, and their attitude is `have money, will spend'. It helps that globalization has ``brought in a bunch of goodies''. The youth market is booming, and marketers are right out there taking advantage. Still, there are huge opportunities that marketers in India are missing out on, especially when it comes to global brands. Anyone who can manage to connect with the mass of this generation has everything tied up. It is not that simple though: The advantage that several of these brands have is that they are aspirational, and the moment they start to become common, they will no longer attract buyers. As Mr. Harish Doraiswamy of Adidas said: ``the moment we start being all things to all people, the appeal of the brand vanishes''. It is an observation that is Youth Marketing 80
  • 81. borne out by the study that the Indian Market Research Bureau conducted for MTV and Pepsi recently: The moment something becomes common, it stops being trendy. Besides the aspiration to wear a brand like Adidas or for that matter an Oakley needs to be balanced by purchasing power. After all, when it comes to the crunch that really is what counts. No wonder so many of these brands has fared so miserably in India. While young people as such do no have enormous direct purchasing power in India, they have enormous influence in purchase decisions - thus, when a car or a washing machine is bought, the young people in the house are consulted. The youth represent a growing market. Today's niche can become tomorrow’s mainstream. And savvy marketers who catch them young and hold on to them despite their idiosyncrasies will reap enormous benefits. Bibliography Books & Magazines 1. Marketing Management - Rajan Saxena 2. The Marketing Whitebook 2005 (Businessworld) 3. Branding in Asia – Paul Temporal 4. Contemporary Marketing Wired - Boone and Kurtz Websites 1. http://www.google.com 2. http://www.indiainfoline.com 3. http://www.phatgnat.com 4. http://www.ash.org.uk/ 5. http://www.mtv.com Youth Marketing 81
  • 82. 6. http://www.thehindubusinessline.com 7. http://hdr.undp.org 8. http://www.censusindia.net Youth Marketing 82