What marketing can do?

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  • sir myself Dr.Mohan Kumar T.P I must appreciate the pain you have taken hats off to you sir, if you don't mind will you help our students also by helping me by sending this via mail, please help me help students to this mail id drmohanmysore@gmail.com
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  • Kindly send this presentation to me at reena.sharma@sbi.co.in. Thanks!
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  • sir kindly send me this presentation for my better study. i thereforr thanking you for this kindness. my email id is ' nipunnikunj.com@gmail.com'
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  • sir,
    wonderful presentation. if u can send me it will be of immense use to my students..my my mail address 'mahesh.kr@indiatimes.com'.
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    WITH REGARDS,

    DR.MAHESH KUMAR.KR.
    PROFESSOR
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What marketing can do?

  1. 1. Dr.K.S.CHANDRASEKHAR NAIR UNIVERSITY OF KERALA, TRIVANDRUM, INDIA email: kscnair@gmail.com PARADIGMS IN MARKETING INNOVATIONS
  2. 2. "Necessity is the mother of innovation"
  3. 3. MARKETING INNOVATIONS IN THE INDIAN CONTEXT
  4. 4. <ul><li>Pardigm -1 </li></ul><ul><li>Businesses today invest more money in finding new customers than in further developing current customers – </li></ul><ul><li>NEEDS A RELOOK </li></ul>
  5. 5. <ul><li>Paradigm - 2 </li></ul><ul><li>The middle and upper middle can only give returns on investment in India </li></ul>
  6. 6. <ul><li>Paradigm - 3: </li></ul><ul><li>The rural customers are not brand conscious </li></ul>
  7. 7. Some Indian examples of marketing innovations <ul><li>India’s pricing of 40 paise (less than one cent) per minute is unmatched globally. </li></ul><ul><li>IIT-Madras has developed a rural ATM machine for about Rs 30,000 as compared to the Rs 7-8 lakhs (USD 15-17,000) price of the global manufacturers. </li></ul>
  8. 8. <ul><li>Philips India introduced last year a Hand Wound Radio that can be powered by hand winding </li></ul><ul><li>Citibank Suvidha, a retail product that worked in spite of the lack of branch network for CitiBank in India, is well-known. </li></ul><ul><li>In IT hardware, Proton dot matrix printer from TVS Electronics has revolutionized rural retail stores and set a record through its “least expensive dot matrix printer in the world”. </li></ul>Some Indian examples of marketing innovations
  9. 9. <ul><li>In the consumer product business, the use of “sachet” to dispense shampoo is the oft-quoted example from India </li></ul><ul><li>Use of polythene packets to package milk and the “no refrigeration, yet six months life” packaging of milk, is really “Made for India” </li></ul>Some Indian examples of marketing innovations
  10. 10. <ul><li>Lever and Ogilvy Outreach, the unconventional marketing arm of Ogilvy & Mather, recruited local magicians, dancers, and actors who knew each market and village that HLL wanted to target. The village street theaters represented a more emotional play. </li></ul><ul><li>Awareness of Breeze, a low-cost soap with more of a beauty pitch, increased from 22% to 30% over the six months that the performances were running. </li></ul>Some Indian examples of marketing innovations
  11. 11. <ul><li>Multinationals that understand the Indian consumer's expectations and price sensitivities can tap into what is often a large and promising market, but they shouldn't assume that the lowest price tag will always lead it. </li></ul><ul><li>Indian consumers, even in the lower-end segments, will pay a premium if the value of superior features and quality is seen to far outweigh their cost. </li></ul>
  12. 12. <ul><li>LG Electronics reengineered its TV product specifications in order to develop three offerings specifically for India, including a no-frills one to expand the market at the low end and a premium 21-inch flat TV for the middle segment. </li></ul><ul><li>By keeping the price of the latter offering to within 10 percent of the price of TVs with conventional screens, LGE persuaded many consumers to buy it. </li></ul>
  13. 13. <ul><li>Toyota Motor captured nearly a third of the multi-utility-vehicle (MUV) market by offering a significantly superior product at a limited price premium. </li></ul>
  14. 14. <ul><li>Companies must significantly localize their product offerings to meet Indian consumer preferences. </li></ul><ul><ul><li>Hyundai spent several months customizing its small-car offering, Santro. Because Indian consumers attach significant importance to lifetime ownership costs, Hyundai reduced the engine output of the Santro to keep its fuel efficiency high, priced its spare parts reasonably, and made more than a dozen changes to the product specifications to suit Indian market conditions. </li></ul></ul>
  15. 15. <ul><li>Castrol (acquired by BP in 2000), LG Electronics, and Unilever—have built deep third-party distribution networks that serve second-tier cities and villages. </li></ul>
  16. 16. INNOVATING MARKETING STRATEGIES – CASE STUDY OF SONY TV <ul><li>For the first time, it is the masses who get to be king for a day. </li></ul><ul><li>Essentially a singing competition, what makes the programme different is that the contest is judged by viewers who send in messages — on mobiles and on a special landline — in support of their candidates. </li></ul><ul><li>The one with the least number of votes is booted out of the contest every week. </li></ul>
  17. 17. INNOVATING MARKETING STRATEGIES – CASE STUDY OF SONY TV Even though there will be a the three-member jury — choreographer-turned-director Farah Khan, music director Anu Malik, and playback singer Sonu Nigam, the real jury is the viewer .
  18. 18. <ul><li>The Indian version of UK’s Pop Idol and equally popular American Idol was launched in 10 cities in October 2004. </li></ul><ul><li>Over 21,000 aspiring playback singers auditioned for the talent hunt, out of whom 129 were picked for the final rounds. </li></ul><ul><li>There were finally 11 contestants in December, and pruned to four. </li></ul>INNOVATING MARKETING STRATEGIES – CASE STUDY OF SONY TV
  19. 19. Then….
  20. 20. Abhijit Sawant of Andheri The Indian Idol will be signed up for a three year contract with Sony Entertainment TV worth Rs 1 crore. He will also get to cut an album with a leading music company.
  21. 21. <ul><li>The TAM Peoplemeter ratings, however, show that Indian Idol was never near KBC when it came to the number of eyeballs, and some of the other popular programmes greatly outpace the Sony show in ratings. The programme on Sony TV opened at a rating of 5.8, and hovered between 5.5 and 6.8 </li></ul>INNOVATING MARKETING STRATEGIES – CASE STUDY OF SONY TV
  22. 22. <ul><li>Indian Idol is among the top 10 programmes Sony has in the top 100 programmes on Indian TV, but compared with Star’s 54 programmes it stands nowhere. </li></ul>INNOVATING MARKETING STRATEGIES – CASE STUDY OF SONY TV
  23. 23. <ul><li>Sony Entertainment Television adopted what it calls the 360 degree marketing campaign, by aggressively promoting the show on all available platforms — print, radio, TV, Internet, outdoors, direct marketing and consumer connect activities. </li></ul><ul><li>It floated an Indian Idol website offering various promotions and contests. It released the Indian Idol CD featuring their popular theme song, Yaad Ayenge Yeh Pal . </li></ul>INNOVATING MARKETING STRATEGIES – CASE STUDY OF SONY TV
  24. 24. ESPN <ul><li>With the high-powered commentary team that includes Sunil Gavaskar and Geoffrey Boycott, and technological innovations such as stump-vision, spin-vision and Namadgi graphics, ESPN completely changed the way we knew cricket. Every cricket enthusiast started knowing a lot more and, more importantly, started believing that he/she knows a lot about the game. </li></ul>
  25. 25. Paradigm- 4: <ul><li>Promotions need not have to reach the consumers in order to realise profits and returns </li></ul>
  26. 26. Innovative Big B <ul><li>Hyderabad vs. Bangalore </li></ul><ul><li>Mind to market </li></ul><ul><li>Big Bazaar Silver Credit Card - ICICI </li></ul><ul><li>Big Bazaar Gift Vouchers – Indiatimes (shareholder) </li></ul><ul><li>Food Bazaar and Gold Bazaar </li></ul><ul><li>What’s not on your list … is at the counter </li></ul><ul><li>52 stores in 19 cities, first in Kolkata 1997. </li></ul><ul><li>New Venture - Diploma in retail management </li></ul>
  27. 27. Reasons why marketing innovations happen….. <ul><li>The current wave of globalisation is resulting into introduction of foreign products, brands, advertising and marketing wisdom on the scene. Marketers of Indian products, especially the SME’s have to grapple with the challenge and make choices: imitate, innovate or give up ? </li></ul>
  28. 28. Reasons why marketing innovations happen….. <ul><li>The interaction of alien products and the local culture of the market is going to throw up several unintended consequences, which will demand closer attention. </li></ul>
  29. 29. <ul><li>A number of well-researched and tested launches in the soap market, such as “Vigil”, “Breeze”, “Fresca” and “Limelite” have faded away. </li></ul><ul><li>“ Vicco Turmeric” however is fighting it out with the international “Clearasil”. “Limca” in soft drinks, “Ganga” in soaps. </li></ul>
  30. 30. Indian success case studies <ul><li>“ Kal Nirnay” which is the largest selling publication in India today. It is a combination of the Calendar and the Almanac targetted sharply at the modern working woman/ housewife in a unitary family. It contains products and services on almost everything under the sun. </li></ul><ul><li>Paan Paraag, which is indigenous in concept and content and modern only in its packing. </li></ul>
  31. 31. Time for idea to market a product…. <ul><li>In the case of a car, in 1995 it used to be 84 months. Honda brought it down to 48 months. </li></ul><ul><li>Today Nissan is doing it in around 18 months (and they want to reduce this to 12 months). </li></ul>
  32. 32. Time for idea to market a product…. <ul><li>IT allows to do this kind of cycle-time reduction, essentially through what is known as concurrent engineering, which means overlapping phases of product development by working jointly with the supplier. </li></ul><ul><li>Titan has enormously reduced its cycle time for developing new products by using this process. </li></ul>
  33. 33. <ul><li>Marketing is about speeding up adoption of innovations, beyond our natural social speed of adoption. </li></ul><ul><li>Laser discs during the 1990s the pace of adoption is so slow, that the innovation dies a natural death, or its time passes and another innovation takes its place – in the laser disc example, with VCD and DVD. </li></ul>
  34. 34. Kotler’s Top Five Marketing Tips <ul><li>Come in under the radar </li></ul><ul><li>Know Your customer </li></ul><ul><li>Own your branding </li></ul><ul><li>Stay ahead of the competition </li></ul><ul><li>Make it an experience </li></ul>
  35. 35. Marketing paradigms contd… <ul><li>Making promises and keeping them is a great way to build a brand. </li></ul><ul><li>Share of wallet is easier, more profitable and ultimately more effective a measure than share of market. </li></ul>
  36. 36. Marketing paradigms contd… <ul><li>People all over the world, and of every income level, respond to marketing that promises and delivers basic human wants. </li></ul><ul><li>One disappointed customer is worth ten delighted ones. </li></ul>
  37. 37. premium Mid priced OLD DETERGENT CATEGORY STRUCTURE (PRIOR TO 2003) Rs.99 & above Ariel, Surf Excel Rs.40-45 Tide, Rin Supreme Rs.20-45 Rin shakti, Wheel Nirma, local brands Popular /Discount
  38. 38. NEW DETERGENT CATEGORY STRUCTURE VACANT Rs.40-45 Ariel, Surf Excel, Rin Supreme Rs13-23 Rin shakti, Wheel Nirma, Tide premium Mid priced Popular /Discount
  39. 39. <ul><li>How P&G succeeded in India…. </li></ul><ul><ul><li>Consumer research </li></ul></ul><ul><ul><li>Cost innovation </li></ul></ul><ul><ul><li>Innovation productivity </li></ul></ul><ul><ul><li>Manufacturing efficiency </li></ul></ul><ul><ul><li>Intuitive managerial insights </li></ul></ul>
  40. 40. “ THE TRUE NATURE OF MARKETING IS NOT SERVING THE CUSTOMER; IT IS OUTWITTING, OUTFLANKING, OUTFIGHTING YOUR COMPETITORS ” AL RIES & JACK TROUT
  41. 41. MPV MARKET
  42. 43. DIFFERENTIATION AS A KEY TO SUCCESS GARDEN SILKS - DESIGN MODI - COLLOBORATION (XEROX) EUREKA FORBES - PERSONAL SELLING IBM - DEALER NETWORK COKE/PEPSI - BRAND IMAGE ROLLS ROYCE - DESIGN/ENGG./STATUS FROOTI - PACKAGING LG A/Cs - PLASMA PURIFICATION
  43. 44. BRITTANIA - MTV-BRAND EQUITY YOUTH MARKETING FORUM LML - FAIRS IN NORTH India LIBERTY SHOES - FASHION SHOW CANDICO - FAIRS IN FIVE TOWNS AMUL - RURAL DISTRIBUTION INNOVATIVE CAMPAIGNS LIPTON – PAINTING WALLS YELLOW YELLOW LABEL NESCAFE – NESCAFE CAFES
  44. 45. <ul><ul><ul><ul><li>How to win in the cut throat market </li></ul></ul></ul></ul><ul><ul><li>SPEED (DANDI SALT) </li></ul></ul><ul><ul><li>INNOVATION – TECHNOLOGY (SAMSUNG) </li></ul></ul><ul><ul><li>EXPLOIT HOME GROWN EQUITY (AMUL) </li></ul></ul><ul><ul><li>LEVERAGE COST LEADERSHIP (NIRMA) </li></ul></ul><ul><ul><li>FRAGMENT BY EXTENSION (COLGATE) </li></ul></ul><ul><ul><li>REGION CONCENTRATION (DABUR) </li></ul></ul><ul><ul><li>TACTICAL PROMOS (CEASE FIRE) </li></ul></ul>
  45. 46. INTELLIGENCE ON NEW CUSTOMERS <ul><li>CHANGE IN DEMOGRPAHICS AND LIFESTYLES </li></ul><ul><li>TOO MANY PRODUCTS AFTER CUSTOMERS </li></ul><ul><li>VALUE IN TIME APART FROM VFM </li></ul><ul><li>NO LOYALTY - OUTCOME OF COST REDUCTIONS </li></ul><ul><li>TOO MANY ADVERTISEMENTS - AVERSION </li></ul><ul><li>CUT THROAT SALES PROMOTION </li></ul><ul><li>FINANCIAL SECURITY AND OVERFLOW </li></ul><ul><li>PROPENSITY TO PURCHASE ON THE RISE </li></ul><ul><li>INFLUENCE OF CHILDRENS POWER </li></ul><ul><li>EFFECT OF A BETTER ECONOMY ON PURCHASE </li></ul><ul><li>ALPHA CUSTOMERS </li></ul>
  46. 47. IMPORTANT CHANGES AMONG THE CONSUMERS <ul><li>INCOME GROWTH </li></ul><ul><li>AFFORDABLE GROWTH </li></ul><ul><li>LIBERALISATION CHILDREN GROW UP </li></ul><ul><li>MORPHING OF RURAL INDIA BEYOND </li></ul><ul><li>AGRICULTURE </li></ul><ul><li>RISE OF SELF EMPLOYED </li></ul><ul><li>ENVIRONMENTAL CHANGES DRIVE </li></ul><ul><li>ASPIRATION </li></ul><ul><li>PLUARLITY OF INCOME, SINGULAR MINDSET </li></ul>
  47. 48. INNOVATIVE MARKETING STRATEGIES AIMED AT ALPHA CONSUMERS TREND SPOTTING: PROCTOR AND GAMBLE tremor.com TANTRA T-SHIRTS viral marketing JAM MAGAZINE JAM college bureaus LEVIS INDIA College feedbacks LAKHANI Hawaii colour chappals
  48. 49. HINDUSTAN MOTORS - RTV TITAN INDUTRIES - SONATA BPL CELLULAR - RURAL TARIFF UNION CARBIDE - HEAVY BRASS TORCH VELVETTE - SACHETS KMP OILS - GREEN PACKS (UP) PURPLE (ORISSA) RURAL MARKETING STRATEGIES
  49. 50. CAVINKARE: CHIK SHAMPOO INTRODUCED CHIK SHAMPOO SACHETS AT 50 PAISE FOR THE RURAL CUSTOMER. CHIK HAS EMERGED AS THE SECOND LARGEST SELLING SHAMPOO. CADBURY: CADBURY REPORTEDLY WAS ABLE TO INCREASE ITS SALES BY ABOUT 19 PER CENT IN THE VERY FIRST YEAR IT LAUNCHED SMALL PACKS OF DAIRY MILK AND PERK . MAHINDRA&MAHINDRA: MAHINDRA & MAHINDRA, WHILE LAUNCHING ITS SPORT UTILITY VEHICLE SCORPIO CONDUCTED WEEKLY QUIZZES FOR THEIR DEALERS AND SALES-FORCE, TO UPDATE THEIR PRODUCT KNOWLEDGE
  50. 51. COMPLACENCY BY LEADERS: CHIK, COLOR PLUS, GHARI, NIRMA, SHAKTHIBHOG ATTA, PRIYAGOLD BISCUITS —SUCCEEDED NOT BECAUSE OF THE MISTAKES OF THEIR COMPETITORS, BUT BY BRINGING IN RADICAL, INNOVATIVE THINKING . LARGER ESTABLISHED COMPANIES BECOME PRISONERS OF THEIR PAST SUCCESSES. BEING MORE TASK-ORIENTED, THE CUSTOMER ORIENTATION IS LOST AND SO IS CREATIVE THINKING.
  51. 52. LEADER STRATEGIES <ul><li>LAKME - SALONS </li></ul><ul><li>ASIAN PAINTS - HOME SOLUTIONS </li></ul><ul><li>MARICO - SKIN CLINICS </li></ul><ul><li>ICICI BANK - PETROL BUNK ATMS </li></ul><ul><li>AIRTEL - VPUJA51 </li></ul><ul><li>TAJGOA - BREGANZA FAMILY </li></ul>
  52. 53. INDIAN TV INDUSTRY MARKET SIZE: US (COLOUR) : 22 MN UNITS CHINA(COLOUR) : 30 MN UNITS INDIA (COLOUR) : 6 MN UNITS (B/W) : 59 MN UNITS
  53. 54. TELEVISION STATISTICS: ACCESS TO TV : 192 MILLION TV SHARE OF MEDIA : 72% TIME SPENT IN TV : 13 HOURS C&S HOMES : 40 MN(2002) C&S GROWTH : 31% TELEVISION SALES : 25% (5 YEARS)
  54. 55. SHARE OF 14&quot;, 20&quot; and 21”: 90% GROWTH OF FLAT TV: 10% FASTEST GROWING COMPANIES: SAMSUNG/ LG / ONIDA / SANSUI / PHILLIPS
  55. 56. <ul><ul><ul><ul><li>1999-00 1995-99 </li></ul></ul></ul></ul><ul><ul><ul><ul><li>21.9% BPL 22.3% </li></ul></ul></ul></ul><ul><ul><ul><ul><li>11.2% VIDEOCON 22.1% </li></ul></ul></ul></ul><ul><ul><ul><ul><li>10.9% ONIDA 17.3% </li></ul></ul></ul></ul><ul><ul><ul><ul><li> 8.3% SAMSUNG 1.2% </li></ul></ul></ul></ul><ul><ul><ul><ul><li> 7.6% LG NA 6.3% AIWA NA </li></ul></ul></ul></ul><ul><ul><ul><ul><li>5.1% PHILLIPS 11.3% </li></ul></ul></ul></ul><ul><ul><ul><ul><li>4.5% SONY 4.0% </li></ul></ul></ul></ul><ul><ul><ul><ul><li> 4.1% AKAI 3.3% </li></ul></ul></ul></ul><ul><ul><ul><ul><li> 3.6% SHARP 4.2% </li></ul></ul></ul></ul><ul><ul><ul><ul><li> 3.2% SANSUI NA </li></ul></ul></ul></ul><ul><ul><ul><ul><li> 2.9% THOMSON 2.8% </li></ul></ul></ul></ul><ul><ul><ul><ul><li> 1.9% PANASONIC 2.8% </li></ul></ul></ul></ul><ul><ul><ul><ul><li>1.4% CROWN 2.7% </li></ul></ul></ul></ul><ul><ul><ul><ul><li>1.1% TEXLA NA </li></ul></ul></ul></ul>MARKET SHARES
  56. 57. MARKET SHARE – 2004-05 LG - 27.0% SAMSUNG - 18.5% ONIDA - 11.0% VIDEOCON - 8.6% BPL - 7.3% PHILLIPS - 6.3% <ul><li>KOREAN SUCCESS: </li></ul><ul><ul><li>RELENTLESS AGGRESSION </li></ul></ul><ul><ul><li>RESOURCES FOCUSED ON A SINGLE DIFFERENTIAL </li></ul></ul><ul><ul><li>LEADERSHIP IN AD SPEND </li></ul></ul><ul><ul><li>BROAD AND CONTEMPORARY PRODUCT RANGE </li></ul></ul><ul><ul><li>APPROPRIATE PRICING </li></ul></ul>
  57. 58. <ul><li>MNC STRENGTHS: </li></ul><ul><li>DEEP POCKETS THAT SUPPORT BRAND </li></ul><ul><li>BUILDING OVER SEVERAL YEARS </li></ul><ul><li>SUPERIOR MARKETING/BRAND BUILDING </li></ul><ul><li>SKILLS </li></ul><ul><li>ABILITY TO ADAPT TO THE LOCAL CONDITIONS </li></ul><ul><li>BACK UP OF SUPERIOR TECHNOLOGY </li></ul><ul><li>EXPERIENCE GAINED FROM OPERATIONS IN </li></ul><ul><li>SEVERAL MARKETS AROUND THE GLOBE </li></ul>
  58. 59. INNOVATIVE MARKETING CASE STUDIES HITACHI – BHOOT / DIRECT MAILERS / USE OF CONSUMER CONTACT PROGRAMME OF JOHNY WALKER WHISKY BAJAJ FANS – LAUNCHING RELATIONSHIP MARKETING EXERCISE FOR DEALERS (sabse tez) VOLTAS - AMERICAN TECH AT CHINESE PRICES – RURAL REFRIGERATOR
  59. 60. MARKETING STRATEGIES TO COUNTER COKE BY PEPSI <ul><li>COST REDUCTIONS </li></ul><ul><li>POSTIONING ON YOUTHFULNESS </li></ul><ul><li>PRODUCT IN EVERY SPACE: </li></ul><ul><li>COLA,ORANGE, LEMON, TEA </li></ul><ul><li>AND COFFEE, ENERGY AND </li></ul><ul><li>SPORTS </li></ul><ul><li>ALLIANCE WITH HLL </li></ul><ul><li>BULK WATER BUSINESS </li></ul><ul><li>TROPICANA SUB BRAND AT A LOWER </li></ul><ul><li>PRICE POINT </li></ul><ul><li>PIZZA HUT CONCENTRATION </li></ul>
  60. 61. HLL’S INITIATIVES TO RETAIN MARKET LEADERSHIP & SUPREMACY 1. POWER BRANDING 2. AYURVEDIC HEALTH AND BEAUTY CARE PRODUCTS 3. CONFECTIONERY BUSINESS 4. AVIANCE - BEAUTY SOLUTIONS 5. SANGAM DIRECT 6. SURF LAUNDARY SERVICES 7. PROJECT SHAKTI 8. WATER IN TIE UP WITH PURITAS
  61. 62. INNOVATIVE MARKETING BY HLL -PROJECT SHAKTHI COMBINATION OF MICRO-CREDIT AND TRAINING IN ENTERPRISE MANAGEMENT WOMEN FROM SELF-HELP GROUPS HAVE TURNED DIRECT-TO-HOME DISTRIBUTORS OF A RANGE OF HLL PRODUCTS AND COMPANY ENTER HITHERTO UNEXPLORED RURAL HINTERLANDS
  62. 63. <ul><li>REGIONAL BRANDS TO THE FORAY </li></ul><ul><li>REGIONAL PLAYERS HAVE BETTER KNOWELDGE OF THEIR MARKETS, CONSUMERS, LOCAL CULTURE AND TRADITIONS </li></ul><ul><ul><ul><ul><li>WAGH BAKRI TEA </li></ul></ul></ul></ul><ul><ul><ul><ul><li>RUBCO </li></ul></ul></ul></ul><ul><li>SMALLER PLAYERS HAVE BETTER ONE TO ONE RELATIONSHIP WITH THE TRADE. THEY GENERALLY OFFER BETTER MARGINS AND TERMS TO CHANNEL PARTNERS </li></ul><ul><li>ENTREPRENEURIAL BUSINESSMEN HAVE THE ABILITY TO CAPITALISE ON THE WEAKNESS OF NATIONAL BRANDS </li></ul><ul><ul><ul><ul><li>PRIYA GOLD </li></ul></ul></ul></ul><ul><ul><ul><ul><li>CAVINKARE </li></ul></ul></ul></ul><ul><ul><ul><ul><li>GOLD WINNER </li></ul></ul></ul></ul><ul><ul><ul><ul><li>V-GUARD </li></ul></ul></ul></ul>
  63. 64. <ul><li>THE AVAILABILITY OF CHEAP MANUFACTURING TECHNOLOGY, MEDIA OPTIONS AND PACKAGING HAS GIVEN REGIONAL BRANDS BETTER COST STRUCTURES </li></ul><ul><ul><ul><ul><ul><li>ASIANET </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>EENADU </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>BASKAR SALT </li></ul></ul></ul></ul></ul><ul><li>THE RISE OF NEW VALUE ORIENTED RETAIL CHAINS HELPS REGIONAL BRANDS </li></ul><ul><ul><ul><ul><ul><li>HARIYALI KISAN BAZAR -UP </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>AJINKYA BAZAR -MAHARASHTRA </li></ul></ul></ul></ul></ul><ul><ul><ul><ul><ul><li>MARGIN FREE /SUBHIKSHA -KERALA/ TN </li></ul></ul></ul></ul></ul>
  64. 65. <ul><li>SMALL PLAYERS HAVE REALISED THE VALUE OF BUILDING ASPIRATIONAL VALUES INTO THEIR BRANDS </li></ul><ul><li>SMALL BUSINESSMEN HAVE A STRONGER SENSE OF OWNERSHIP OF THE BRAND AND ARE PROACTIVE TO A FAULT </li></ul><ul><li>A FOCUS ON PROMOTIONS PUSHES SALES FASTER AND IMPROVES PRODUCTION PLANNING </li></ul><ul><ul><ul><ul><li>MTR -KARNATAKA </li></ul></ul></ul></ul><ul><ul><ul><ul><li>BHAKAR WADI -MAHARASHTRA </li></ul></ul></ul></ul><ul><ul><ul><ul><li>NALLI’S -CHENNAI </li></ul></ul></ul></ul><ul><ul><ul><ul><li>RUPA/ ORAHEAL/CLEAN COMB </li></ul></ul></ul></ul>
  65. 66. e COMMERCE boom B2C ecommerce is pegged at RS.175-200 Crore Online advertising is around Rs.40-50 Crore B2C ecommerce to grow at 80 -100 per cent Online advertising to grow at 25 -30 per cent LG India has obtained e-transactions worth Rs.50 Crore (2004-05)
  66. 67. <ul><li>ONLINE SPENDING: </li></ul><ul><ul><ul><li>MUSIC CDs (35.8%) </li></ul></ul></ul><ul><ul><ul><li>GIFT ITEMS (25.6%) </li></ul></ul></ul><ul><ul><ul><li>BOOKS (19.7%) </li></ul></ul></ul><ul><ul><ul><li>ELECTRONIC ITEMS (13.4%) </li></ul></ul></ul><ul><ul><ul><li>APPARELS (11.8%) </li></ul></ul></ul><ul><ul><ul><li>CINEMA TICKETS (7.0%) </li></ul></ul></ul><ul><ul><ul><li>COMP. HARDWARE (4.7%) </li></ul></ul></ul><ul><ul><ul><li>FLOWERS (3.2%) </li></ul></ul></ul>
  67. 68. Marketing innovations hence need…. <ul><li>Intuitive marketing </li></ul><ul><li>Brand commoditization </li></ul><ul><li>Online branding </li></ul><ul><li>Positioning and branding organization </li></ul><ul><li>Persona branding </li></ul>
  68. 69. <ul><li>TOWARDS COMPETITIVE EXCELLENCE </li></ul><ul><li>SPECIAL INSIGHTS INTO THE NEEDS OF </li></ul><ul><li>THE CUSTOMERS </li></ul><ul><li>BUSINESS STRATEGIES FOCUS ON </li></ul><ul><li>CUSTOMER VALUE </li></ul><ul><li>QUALITY COMMITMENT AT ALL LEVELS </li></ul><ul><li>CONSTANTLY UPGRADING PRODUCTS </li></ul><ul><li>AND PROCESSES </li></ul><ul><li>MANAGEMENT BY FACTS AND FEEDBACK </li></ul>
  69. 70. <ul><li>Keep Innovating </li></ul><ul><li>Segmentation, and Competitive Differentiators will lead to growth path </li></ul><ul><li>Acquire loyal customers initially </li></ul><ul><li>Limit the scope of churn through the effective use of channels </li></ul><ul><li>Build dynamic and equitable profit sharing relationship </li></ul><ul><li>Local market understanding </li></ul>
  70. 71. Thank you for your patient hearing Questions please

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