New customers: dreaming little dreams

Finding Leader
Opinionfaster growth: new customers
Dreaming little dreams: brand building at the Base of the Pyramid

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Logic suggests that brands have
a limited role to play at the Base
of the Pyramid. But try telling
that to the people who live there.


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It goes without saying that affordability matters a great college in the city. She is a bright girl with potential, educations who land salaried jobs in the city – and so
deal to consumers who live on less than $8 a day. the local schoolteacher said. Her family had watched they have carefully set aside what money they can to
However, it would be a terrible mistake to assume that stories on the community TV set about girls with college send Priyanka to college.
it is the only thing that matters. With products asked
to perform a range of functional and emotional tasks,
there is a natural and hugely valued role for brands at
the Base of the Pyramid (BoP). However, those brands
must be prepared to develop original, innovative and
relevant propositions if they are to deliver against
the needs of BoP consumers and become part of an
exciting growth opportunity.

Priyanka’s story
TNS uses fictionalised realities, stories compiled from the
many different interviews conducted by our researchers,
to help bring to life the issues regularly faced by BoP
consumers in different markets. Here is one such story.

Priyanka is 19 years old. She lives in a small village
near Lucknow in India, part of a family of six that
survives on the annual income of $4,000 that her
father generates from the small piece of land he owns.
Every day Priyanka travels for over two hours to attend


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Unlike the more affluent students at the college,
Priyanka does not have pocket money – but her
parents give her small amounts for transportation
and food. For the last month, though, she has
gone hungry most days. Hidden in her college
bag, a secret from her parents, is the reason:
a small tube of moisturiser.

Neutrogena is one of the more expensive moisturiser
brands on the market – and when Priyanka bought
her first tube from a shopkeeper in the city, she was
shocked at the small size of the product she was
given having saved up her lunch money to buy it. She
decided to try it anyway – and has never willingly used
another moisturiser brand since. She loves the way
that the cream feels on her face – and she is certain
that the soft look it gives her skin helps her to fit in
amongst wealthier students. When the shopkeeper
ran out of Neutrogena one month, Priyanka Although the moisturiser is the only beauty product money – in order to buy a Ponds face wash. By sharing
tried another upmarket brand. She went back to that Priyanka buys, it is not the only product that she the two products, the girls are able to use a full
Neutrogena as soon as it was back in stock. uses. One of her friends has also been saving her lunch skin-care regime.


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When she returns home from college, Priyanka spends In particular, she fears being forced to abandon her
her evenings helping her mother. Dust from sweeping plans for a career if her parents choose to arrange a
the floor clings to her long hair, which her traditional- marriage for her. Until then, though, the secret tube of
minded parents will never allow her to cut. It leaves her Neutrogena helps her to balance the two very different
skin feeling dry and spotty. If she did nothing about her parts of her life.
appearance, she knows she will be ridiculed and singled
out as a ‘village girl’ when she travels to the city.
She fears that such perceptions will stand in the way
of her opportunities.

Priyanka’s mother and father both believe that cutting
Priyanka’s hair would damage her prospects for a good
marriage. When she asked to wash her hair more
frequently, to keep it from getting oily, they worried
that she was secretly seeing boys. They would worry
equally about make-up or beauty products – and that’s
why they can’t know about the tube of Neutrogena.
Keeping her family happy is very important to Priyanka.
She wants to be accepted in her home village, just as
she wants to be accepted amongst the other students
at college. She is worried, though, that these two
worlds will one day pull her in different directions.


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Where brand loyalty means more Brands are valued, even loved, as they offer reassurance will be asked to perform within the BoP; robust,
We find Priyanka’s story echoed across the lives of men and certainty in potentially very uncertain lives. Once functional, affordable, addressing priority needs and
and women in India, China, Latin America and Africa: won over, BoP consumers reward their brands with yet also providing reassurance and even guidance.
the regions where the vast majority of BoP unshakeable loyalty, giving early movers in this market Achieving this often means re-engineering a brand
consumers live. a strong competitive advantage. However, to earn through production innovation, packaging and
that loyalty, brands must first craft a proposition that delivery mechanisms.
People living on less than $8 per day resonates with the multi-dimensional role that they
demonstrate a strong and surprising
preference to buy a brand over
a commodity, provided the brand
proposition is relevant, accessible
and affordable.
This is particularly true of an upper BoP segment, those
with purchasing power of between $2 and $8 a day,
which TNS identifies as ‘Strivers’.

These BoP consumers are educated, hopeful and
optimistic about their future, aspirational, ambitious
and confident in their ability to achieve their ambitions.
Like Priyanka they value their social equity and seek
ways to build it further. But like Priyanka they often
find themselves caught in conflict between traditional
worlds and new opportunities.


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Functional, emotive expertise Successful brand relationships often begin with
Any brand proposition for the BoP must be anchored in information and education, reasons to believe and
strong functionality that makes a measurable difference reassurance that money is being spent wisely. However,
to the consumer’s life. The brand’s products must propositions are most effective when they build on
withstand stress and hostile physical environments, this functional relevance and credibility to connect
and last much longer than would be expected in other emotionally as well.
scenarios. And they must address genuine, high-priority
needs in order to compete successfully for a share of
very limited incomes.

Unilever
Unilever’s Lifebuoy brand commands a premium
Nokia in rural India by delivering germ protection that
has saved and changed lives. Its credibility is built
Brands must combine affordability with robust on more than a protection product. Lifebuoy has
quality. Nokia’s brand reputation as a lifeline for successfully established itself as a protection brand
rural Indians and Africans rests partly on its products’ that champions the cause of health and hygiene,
reputation for being kicked, thrown, dropped, ground educating over 70 million Indians on the importance
into the dirt – and still working. Perceptions of quality of germ protection and featuring as one of the
and expertise are as important in the BoP as in more country’s most trusted brands year after year.
developed market sectors, building trust, visibility and Like Priyanka’s tube of Neutrogena, Lifebuoy
reassurance that consumers are getting the best that delivers emotional support through the trust it
their money can buy. engenders as well as the crucial role it performs.


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Emotional resonance one of the world’s poorest countries, get the micro-
Across markets, we find a range of emotional themes nutrients they need. Danone’s scientists worked to
resonating with BoP consumers in this way – and create a product that strips away all unessential costs
providing reassurance, support and even guidance: without compromising on nutritional quality and the
company partnered with the Grameen Foundation to
Empowerment establish an innovative community distribution model.
The sense of a brand enabling and empowering, either Shakti Dohi is marketed door-to-door by Grameen
oneself or one’s family, is particularly powerful. Brands ladies, who also help to educate and raise awareness.
that have successfully leveraged this emotional value
include Nirma, now valued at $500m, which started Pleasure
life with a promise of ‘affordable whiteness’ for low- Despite, or perhaps because of their many pressing life
income consumers, distancing them from the brown concerns, BoP consumers welcome brands promising
colours that symbolise dirt and poverty. Priyanka’s tube special moments of cheer. SAB Miller’s Chibuku beer is
of Neutrogena also stands firmly in this category. one such proposition: engineered for those who cannot
afford bottled beer (the majority of the population in
Fortification Botswana, Malawi, Zambia and Zimbabwe where it is
Food brands that promise immunity against sickness sold), Chibuku is brewed from sorghum and corn and
or an improvement in reproductive health resonate sold in paper cartons and plastic containers. The brand
strongly across the BoP, as do nutrition solutions that proposition: Shake Shake, builds an identity around the
can help to make children stronger and better prepared need to shake the cartons before drinking, to mix the
for the future. Danone’s fortified yoghurt product, separated ingredients.
Shakti Dohi helps to ensure that children in Bangladesh,


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Assertiveness
Themes of excellence and success can also resonate
amongst BoP consumers, provided they focus on
relevant needs. Brands have found success with
promises of mastery over budget, admiration and envy
of superior homemaking skills, enhancement of social
stature and parental pride and ambition. Priyagold, a
biscuit brand in India, challenged the market norms
and the market leader by introducing a range of
indulgence biscuits. Until then, the only biscuits that
were accessible to lower income consumers were
the cheaper energy range. Priyagold’s ‘demand with
entitlement’ proposition instead asked: Why should the
good things in life be denied to you?


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Inclusion not exclusivity: Although international brands have aspirational appeal with consumers. With $5 trillion of spending power
some potential traps for global brands amongst the emerging middle class, that appeal has far currently residing within the BoP, the rewards for
In developing emotive propositions, brands must take less resonance for BoP consumers. Functionality, quality investing in these relationships are substantial.
great care not to apply developed market themes that and the ability to satisfy emotional needs must be
have potentially negative connotations amongst established on the ground, within the audience’s own
BoP consumers. experience; they cannot be imported from elsewhere.
Local brands are often the ones to thrive within the
BoP – and global brands looking for new growth
Rebelliousness and opportunities can gain valuable insights by studying
their success.
exclusivity have no
place here; meaning
Brand-building the old-fashioned way
The key to crafting a winning BoP proposition for

and purpose are global brands lies in a willingness to re-engineer
product and brand infrastructure to craft an affordable,

everything. quality proposition. However, it also requires a will to
go further: to develop emotional engagement and
to fulfil the role of reassuring, trusted advisor that
If a brand issues a challenge then that challenge must BoP consumers actively seek from their brands. For
relate to real needs or changing unfair practices, not marketers, the BoP provides an opportunity for good,
self-indulgent, edgy rebelliousness. Superiority must be old-fashioned ‘brand building’ – and an environment
directed towards a goal, never towards ego satisfaction. ideally suited to building meaningful relationships


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About Opinion Leaders
Opinion Leaders is part of a regular series of articles from TNS consultants, based on their expertise gathered
through working on client assignments in over 80 markets globally, with additional insights gained through
TNS proprietary studies such as Digital Life, Mobile Life and the Commitment Economy.

About TNS
About the author
Poonam Kumar is Regional Director in TNS’s Brand
TNS advises clients on specific growth strategies around new market entry, innovation, brand switching and
& Communication bringing more than 20 years
stakeholder management, based on long-established expertise and market-leading solutions. With a presence experience in brand development, brand strategy
in over 80 countries, TNS has more conversations with the world’s consumers than anyone else and understands planning, ethnography and consumer insight to her
individual human behaviours and attitudes across every cultural, economic and political region of the world. role. Poonam has specific expertise on marketing
TNS is part of Kantar, one of the world’s largest insight, information and consultancy groups. to the Base of the Pyramid, and on motivational
research and market segmentation and is a regular
presenter on BoP consumers at ESOMAR and other
Please visit www.tnsglobal.com for more information. industry events. Poonam holds a degree in Electrical
Engineering from a premier Institute (IIT Chennai)
Get in touch and a post graduate degree in Management from
If you would like to talk to us about anything you have read in this report, please get in touch via a top management school in India (IIM Calcutta).
enquiries@tnsglobal.com or via Twitter @tns_global


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