3. FOREWORD
Greetings,
With the release of the first edition of the magazine for the year 2012, we
are moving forward with our activities for the year and it gives me immense
Prof. Dr. Amitabha De pleasure and satisfaction to be the Faculty Advisor of MiG, the Marketing
Patron Club of NITIE. MarkDarshak has given me an opportunity to work with stu-
dents and advance with the common goal of learning and practicing the art
of marketing.
As always, MarkDarshak brings you something new this time around also.
Prof. Ashok K. Pundir The current magazine deals with the world of surrogate marketing, which
has become more prominent in the present times. Themes and matching ar-
Convenor ticles aside, this issue also has a plethora of articles by students about various
developments in the world of marketing.
I applaud the effort of MiG for their undying spirits. I hope they take the
Ranjan Chaudhuri magazine to greater heights, and also hope that this issue will entertain you
and keep you engrossed about the recent happenings in the world of market-
Faculty Advisor ing.
We look forward to your comments and wish to bring out more interesting
issues in the future.
Faculty Advisor
Ranjan Chaudhuri
Editorial Board
Deepak Jha
Ramit Goyal
Rubayet Chakraborty
Sarath Kurup
For suggestions, contact us at : 3
markdarshak@nitiemig.com
4. Marketing 3.0
Pricing Strategies
Collaborative tools such as social media are And therefore customers collaborate so as to raise
changing the ways of marketing. These days’ the order size and volume of purchases which in
people are talking to each other using the so- turn helps them to avail discounts.
cial media and believe in the opinion of the cus-
tomers more than that of marketer’s about the
product. Therefore the product should be good
enough to meet the emotional and the rational
needs of the customers. Some of the major cat-
egories that constitute Web 3.0 marketing are
Micro-blogging, Customization and Personal-
ization, Mobile-cum-Internet-cum-TV sharing
space on single screen, On-Demand collabora-
tion among users, and Virtual reality settings. Example: The groupon.com is directly negotiat-
There are various pricing concepts and compa- ing with the manufacturers if a certain number of
nies which have evolved due to advent of the people are willing to buy a product.
Marketing 3.0. Some of them are shown in the
below grid. Auction Pricing: The product is auctioned and
the buyers are to bid up the price from a low price
point and thus the product will sell to the high-
est bidder. It is a dynamic pricing model, and in-
corporates strategies based upon game theory for
setting and bidding of prices.
Example: The Google uses auctions to sell a par-
ticular keyword and the highest bidder gets the
place in the sponsored links on the Google search
page.
EMI Pricing: The advantage of the EMI pricing is
that it allows you to pre purchase a product and
pay over next couple of months, in many cases
without paying anything extra.
Example: Levi’s Jeans was the first apparel brand
to start the EMI pricing in 2009. The customers
have to purchase a minimum of Rs.1500 apparel
from an exclusive Levi’s store and can convert the
purchase into in 3 month 0% EMI.
Group Pricing: The group pricing gets advantage
from the greatest tool of the marketing 3.0, col- Automatic Markdown:
laboration. Automatic markdown, combination of fixed pric-
People these days want the product at a es and auctions, for a product gives customers a
discounted price schedule of prices which decrease with time.
People are not willing to wait for the dis-
count season to start and want the discount as
soon as they like the product.
5. 5
Example: Videocon came up with zero paisa
tariff plan for calling, i.e. if you buy the Video-
con phone, you get along to make some 30 min-
The disadvantage of the concept is that the cus- utes of free local calls every day. Here the price
tomers will be thinking of coming later to buy the of the everyday calls has already been built up
product at a discounted price. The advantage is in the purchase cost of that particular Videocon
that the customer may think that someone else phone.
may buy the product at a lower price and this feel-
Negative Pricing: It is one in which the company
ing of competitiveness motivates the customer to
pays the consumer every time the customer uses
buy the product.
the product or service.
Example: Microsoft
offered US$ 850 for
each user of on-de-
mand ERP to switch
over from NetSuite
to Microsoft’s
Dynamics family of
business applications.
Economic, Social and Environmental Price: This
is where the next revolution of pricing lies in.
These pricing models, in addition to economic
price paid by a consumer for consuming a prod-
uct or service, are built on social cost and envi-
ronmental cost that is incurred by the consump-
tion of that product or service.
Example: If a person buys a McDonald burger,
Zero Pricing: It includes bundling of products then the price can include social cost of say obe-
and services in such a way that the marketing sity (in terms of extra calories consumed than re-
proposition to the consumers is that you make quired) and environmental cost say because of the
purchase for one of the bundled goods and you tissue paper and paper cup used in the process of
receive the other for free along. consumption.
Ankit Yadav Mayank Goel
PGP-2 PGP-2
IIM Indore. IIM Indore.
6. 6
Amul Advertising Campaigns
“U tterly Butterly Delicious!!!!” goes the tag-
line and the first name that comes to our mind
They came up with the tagline, “Utterly But-
terly Delicious” as a positioning statement to
is Amul; the brand that revolutionized the Indi- signify that Amul butter is made from the best
an dairy industry and brought about, the White quality milk and has just the right amount of
Revolution in India. salt added to it, which makes it delicious.
Today, nearly 55 years after it was launched,
Amul is the largest food brand in India and the The first advertisement went up on a hoard-
world’s Largest Pouched Milk Brand with an ing at Charni Road, Mumbai in the summer of
annual turnover of US $2.2 billion (2010–11). 1967. It was the premiere of Indian advertising’s
Though, Dr. Verghese Kurien’s contribution is most deliciously funny creations and the coun-
incomparable, a large part of the brand’s suc- try saw the birth of a campaign whose charm
cess is because of a thumb-sized, round-eyed, has endured fickle public opinion, gimmickry
chubby-cheeked girl wearing a red polka-dot- & everything else.
ted frock, who climbed onto the hoardings in
1967 and cast a spell on the masses!
Immediately after her launch, she evolved into
a ‘pun’-loving star and has captured the atten-
The blue-haired Amul moppet, as she is called, tion of millions of Indians for more than four
was created by Sylvester da Cunha, then MD of decades now. The girl has dealt with all the con-
ASP, an advertising agency, in 1966. He along temporary issues - be it politics, sports, society,
with Eustace Fernandez, created the Amul girl entertainment, art, weather, infrastructure, sci-
to counter the rival firm, Polson’s butter girl. ence or technology. The Amul girl has always
had something to say about every issue that’s
puzzling the nation.
Butter is an essential part of breakfast in almost
every household and people do discuss the cur-
rent affairs on the dining table and Amul man-
ages to capture these moments by showcasing
the connection in their advertising. It is topical.
If we take a look at the archives of the Amul
ads, we can actually see India changing right
before our eyes. The campaign is, in fact, a hu-
morous take on everything that has made India
what it is today.
7. 7
Rahul da Cunha, Creative Director, da Cunha
Associates , writer Manish Jhaveri and illustra-
tor Jayant Rane are the team that brainstorms to
chalk out the weekly advertisement. With catchy
on-liners, they make the audience think on the
respective issues.
Through all the events taking place in the coun-
try, Amul always had a reply to it. For example,
the above print depicted the launch of Tata Nano
- India’s smallest, cheapest car!
Amul’s advertising strategy has followed the con-
cept of ‘Umbrella Branding.’ Amul is the com-
mon brand name for most of its products across
categories. For instance, the Amul girl has also
been used to advertise Amul ghee and milk.
Amul has evinced the interest of Indian audi-
Its ad campaign ‘Amul doodh peeta hai India,’ ences for its unique blend of humor, satire, great
conceptualized & created by FCB-Ulka, was illustrations and the ability to draw everyone’s at-
drafted to proclaim its leadership position and tention to the dark side of current events with a
was targeted at people across all income catego- funny twist. It does not belong to an era, but has
ries. Their corporate campaign – The Taste of In- evolved with time.
dia caters to people belonging to all walks of life So, Amul is truly, the Taste of India” in every
& across cultures. It is circled around a one day sense!
old child who needs milk as much as to a dead
man who needs ghee.
Amul believes in mouth-to-mouth publicity by
their consumers. They spend less than 5% of
their revenues, on advertising! The longest run-
ning advertisement campaign, which also holds
a Guinness World Record, attributes its success
to many reasons, few of them being, simplicity,
consistency, humor and variety.
They have always kept themselves up with the dy- Anurag Iyer
namic consumer minds & understood the needs 1st Year PGDM (2011-13)
of Indian people. They are informative and in- Prin. L. N. Welingkar Institute of Management
stantly connect with the audience. Development and Research, Mumbai
8. the art of deception
STEALTH
marketing
Stealth marketing can be described as a covert form of marketing where, neither the marketing intentions behind the cam-
paign are obvious, nor is the identity of the marketer revealed. One of the first instances of stealth marketing was actually
a psychological experiment. During the course of a movie, the Coca-Cola logo was flashed on the screen for a fraction of
a second, such that it went largely unnoticed by the conscious mind. But it had registered in the subconscious. During the
interval snack break, a steep increase in the purchase of Coca Cola, compared to the daily average was noticed.
Setting up third party websites, profiles or creating seemingly anonymous videos is a great way to create stealth marketing
campaigns online where easy and cheap resources offer a plethora of opportunities to catch people’s attention. Marketers
often have their own people comment or post as a consumer for products on review and discussion forums. From posting
glowing reviews to a movie that has taken in mediocre reception from the critics to posting favourable and satisfied opin-
ion posts about a newly launched technological gadget, marketers indulge in various forms of unethical stealth marketing
online.
A big risk in some of the bolder stealth marketing campaigns, where the customer is not supposed to realise that he has
been part of an elaborate set up for a marketing campaign is that it may generate negative feelings about the brand/prod-
uct. Basic human psychology states that a person does not like to feel cheated or being at the wrong end of a scam/prank.
The ideal situation is to leave the consumer feeling he has had the upper hand in an encounter. But Viral Marketing cam-
paigns, some of which are often judged as stealth marketing campaigns, are different. Here part of the allure is to try and
guess the source of the marketer/promoter. When the customer is gently lead towards the answers with clues he or she
may actually feel smart and better about him or herself for having arrived at the right answer. In this case, long or repeated
exposure to the campaign actually helps in conditioning the consumer towards the product/service and its attributes and
features.
Kaavish Kidwai Meghna Sinha
PGDM PGDM-Marketing
(Batch 2010-2012) (Batch 2011-2013)
IMT Nagpur IMT Nagpur
9. The situation is actually analogous to men sitting in ho- The sense of understanding and similarity of wavelength
tel/restaurant bars in Las can lead a customer in
Vegas. They end up strik- but more is the sense of
ing conversations and hav- being wronged or feel-
ing a great time with at- ing cheated when it is re-
tractive women. It is only vealed to be a gimmick.
next morning that they find
out that they have actu- Product placement is of-
ally availed themselves the ten a variation of stealth
services of an escort which marketing where the per-
leaves them embarrassed sonality and traits of the
or feeling foolish. The strategic placing of these escorts characters are carefully chosen before having them en-
is in fact an instance of stealth marketing. Casinos use dorse the product in the course of the movie or episode.
atmospherics, pheromones and periodic releases of pure This forms a subtle subliminal connect with the audience
oxygen to create a sense of light-headedness and eu- who feel the need to acquire those products. The sub-
phoria that keeps the customer engaged at the gambling liminal context is that using those products will imbue the
tables in spite of losing streaks. consumer with the traits of that particular character.
Stealth pop-up windows have been associated with many Spreading exaggerated or misleading statements and
websites where a window to an alternative site pops up in opinions or targeting oblivious people psychologically
the background, often noticed by the customer only when through subliminal or reinforcement techniques are un-
the main window has been closed. ethical aspects of stealth marketing that many market-
ers indulge in. They view it often as damage control or a
Online engagement and use of planted trained salespeo- perfectly normal phenomenon, but anything that violates
ple to engage in one to one conversation helps develop a rational thinking or free will cannot be termed ethical. On
personalised target and approach but on the flipside, the the other hand, stealth marketing also offers opportunities
more personal a tactic the more is the sense of indigna- to engage customers dynamically and play on their ego
tion one feels when the truth is revealed. Stealth mar- or induce a feel good factor into the equation that leaves
keting is often dangerously personal. People are hired them with a slight sense of elation.
to move and mix among oblivious throngs and crowds of
people publicly using the products and exclaiming about
their benefits and features. The rest is left often to the
“Keeping up with the Joneses” Syndrome or else the hired
salespeople might casually strike up conversations with
members of the crowd and introduce the product into the
conversation.
The flattery aspect is tapped in when an attractive/comely
person shows apparent interest in an average person and
strikes up a conversation. The better the person feels
though; the worse is the sense of betrayal if and when he/
she senses the deception.
10. 10
Surrogate
Marketing
Rachna Bagaria.
Xavier’s Institute of management, Bhubeneswar
PGDM- BM
“Khoob jamega rang jab mil baithenge teen yaar – aap, main They call it ‘surrogate marketing’ these days – fanciful name,
and bagpiper” – And I went on ranting about and showing off , isn’t it?? To explain it to the non-marketers (what purpose do
till it was returned by Dad’s stare and Mom’s frosty nosed look!!! they have in life??), let’s assume there is a big company/organ-
This was a decade back when some of dad’s ‘work friends’ had isation called Gabbar . It wants to advertise its thing, but it does
come over for dinner and the cute kid was the centre of atten- not want to put its product to limelight. Hence, it uses a smaller
tion. Though highly confused at that time (it was a soda ad for company, a scapegoat, (let’s say Samba) to propagate. Usually
god’s sake), this somehow remains firmly etched in my other- it is done to market controversial stuff. So, legal action, if any,
wise pitifully weak memory. would be taken against Samba and since Samba is a small fish,
there won’t be much loss.
Call it unethical; call it deceptive, this sure is a smart take on
modern day advertisements and totally legal. You must have
seen Ajay Devgan in the Bagpiper ad (I am somehow obsessed
with Bagpiper). After a gruesome fight he recommends Bag-
piper and after a longgg pause tags it with the word ‘soda’?
The word soda comes in a bit late, by the time the audience is
already thinking. Smart, isn’t it?? This is surrogate advertising.
Bagpiper Soda is the surrogate product.
Other significant examples include 8PM Whisky (apple juice),
Aristocrat Whisky (apple juice) and Hayward’s 5000 Beer (kit of
darts which was the centre piece of the advertising campaign).
UB group liquor brand Royal Challenge promotes itself through
golf tournaments and recently (not quite) through IPL cricket
team Bangalore Royal Challengers.
11. 11
Advertisers have turned elegant and turned to various other
advertising avenues, stretching their creativity to unheard of
levels. Be it humdrum tricks like event sponsorship and Internet
advertising; or out-of-the-box thinking such as ITC’s diversifica-
tion into apparels (the cigarette brand Wills has totally diversified
into a new market segment altogether!!); as well as the distant-
far-fetched examples like as the Red and White Bravery Awards
(Godfrey Philips also, for that matter) and other lifetime achieve-
ment awards done mainly to bring about brand recall in the target
audience.
Surrogate marketing is also done by gutka and pan masala gi-
ants Manikchand by hosting the Bollywood Filmfare awards. One
name which I can’t go without taking is Johnnie Walker. Its leg-
endary advertisements on ‘Keep Walking‘ with iconic achievers Now, imagine the quandary of a producer who is mandated
like Vijay Amritraj and Narayan Murthy who successfully associ- to legally produce and stock a product but then has his hands
ated Johnnie Walker with accomplishment has made the brand tied by being denied the right to market his produce.
logo well known (the famous ‘Striding Man‘ logo, which also has a
society in its name – the Striding Man society, for Johnnie walker Similar is the situations many companies are facing after the
drinkers). Government of India passed a mass ban on all advertise-
ments of “intoxicants and harmful substances in mid 2002.
But here comes to forefront the issue Indian politicians love play- When the rules itself are unrepresentative, companies will
ing about – ethics. The notion that the advertisements impel the make use of flaws in it.
consumer into drinking is misconstrued. After all, it doesn’t take
an ad for someone to become alcoholic (!!!). As someone rightly said in a recent interview I remember I
saw, “Take the ad of any liquor brand, though no Govt. is dare
In villages the local variety of alcohol which comes in different fla- enough to come up with a stringent law to ban them (since
vors and names can be seen. Who in the name of god is marketing their budgets are largely dependent on revenues from this
those?? A village or a town might or might not have a school. But sector), yet, they make rules for rules sake”. Then, who shall I
it is bound to have a liquor shop. I say, one more time, the bans say is deceptive here??
and the campaigns are misplaced. If the government is really aim-
ing at rooting out the problems, they surely have to start at a dif- As a marketer, I would say that this has led to innovative prac-
ferent level altogether. Banning surrogate ads seems to be a low tices of spending on different media for Advertising by the
hanging fruit which doesn’t serve any one’s purpose. companies, where they do more of a brand building exercise
than direct advertising. Be it promotions for brand building,
or sponsoring events that can be mapped with the “showbiz”
and “glamour” of the brand, advertisers don’t leave many av-
enues to enhance their visibility.
As to the fact of the success rate of surrogate advertising,
well, it has worked loads for some (Bagpiper, Johnnie Walker)
and not so much for many (people may not associate Wills
Lifestyle with the Will’s cigarette brand). This emerging trend
will keep on exploring new avenues, as companies will contin-
ue to bend rules, to make their brands known and out-com-
pete each other as well. At the end of the day, data statistics
sab dikhata hai mere bhai!!!!
12. 12
Regional Brands that survived and made it big !
T he global downturn has claimed far too
many victims but one segment in India
that may reap the benefits of this reces-
sionary climate is regional brands. Gone are the
days when companies used to serve whole India
languages and markets,” So, our communication
strategy with each brand differs from market to
market.
We create different campaigns, use local celebri-
ties and talk to consumers in their own language
in a similar manner. Today, companies are tar- to better communicate the brand benefits, said
geting and catering different regions in different V.S. Sitaram, COO, Dabur.
manner. This has happened due to emergence of
some strong regional players, who understood Dabur Lal Dant Manjan is sold under the brand
needs of region and serving accordingly. name of “Dabur Sivappu Pal Podi” in Tamil Nadu to
In many product categories one can see the make sure that it doesn’t miss out on the state’s
emergence of very strong regional brands fight- non-Hindi speaking consumer. Meaning of Sivappu
ing for number two or three slots. These regional pal podi and Lal dant manjan is same.
brands have been giving sleepless nights to their
multinational counter parts. Be it a Cavinkare or Emami’s Navratna oil, a Rs. 300 crore brand, has
Jyothi laboratories in the south, or a Ghadi de- different brand ambassadors in different states. In
tergent in U.P. or Wagh Bakri tea in the west, Tamil Nadu, the brand is endorsed by actor Surya,
all of them have put the big companies on their in Andhra Pradesh by Chiranjeevi and Mahesh
toes. Babu, in Karnataka by Upendra and across India
by Shah Rukh Khan and Amitabh Bachchan.
Understanding the Needs of Region:
“Often companies treat India as one big market,
but the reality is that India is more like the Euro-
pean Union—a mix of different cultures,
Pankaj Bathla
1st Year (2011-13) PGDIM
Prin. L. N. Welingkar Institute of
Management Development and
Research, Mumbai
3 year sales experience in
pharmaceutical industry.
13. Cavinkare’s Chik Shampoo, Rs200 crore-plus Jyothi laboratories’ Ujaala is
brand, has regional variants, to cater to the vari- beating Reckitt Benckiser’s
ous markets of Tamil Nadu and Andhra Pradesh. Robin Blue, black and blue.
The company also has another local brand named Similarly, Priya Gold biscuit is
Karthika, to cater Andhra Pradesh. munching away market and is
“Our regional brands are our fastest growing already a
brands,” explained Vineet Trakroo, VP, Cavinkare. Rs. 400 crore brand. It’s Moov
pain relief ointment of Paras
Wagh Bakri Tea, the third largest packaged tea Pharmaceuticals, which has made life painful for
company in India, is a leader in markets like Raj- Reckitt Benckiser’s Iodex.
asthan, Gujarat, and Madhya Pradesh and also has Also, Ghari Detergent has become second-largest
major market share in Goa, M.P. and Maharashtra. brand in India. The brand is now present in 19
Company says it will come up with new blends to states.A regional brand had suddenly gone na-
suit regional tastes. tional, reaching out to millions of new customers.
Marico’s Parachute co- Rohit Surfactants Pvt. Ltd ended
conut oil has 48% mar- fiscal 2010-11 with net sales of
ket share. Over the Rs 2,200 crore — Ghari contrib-
years, the brand has uted Rs 2,083 crore. This is at
understood nerve of re- par with the sales of multina-
gional market and had tional FMCG majors like Reckitt
introduced many prod- Benckiser and Cadbury in India.
uct extensions, such as Conclusion:
Parachute Advanced Re- Consumer insights and under-
vitalizing Hot Oil for win- standing are keys to success.
ter care. Whether it is oils, soaps, sham-
“Regional brands are poos or skin care, Brand pref-
rooted in beliefs or in erences, consumer needs and
consumer practices”, said Sameer Satpathy, Mar- taste varies according to regions, says marketers.
keting Head, Therefore, India would predominantly be a mar-
Marico. ket of regional brands, because the regional dif-
ferences within the markets is too great to be ca-
MNC’s on their Toes: tered to by a single national brand.
“Small and regional brands score because they are
often close to the market and respond faster to
changes and are willing to learn from mistakes”.
14. Maduri M
Madhuri
Majic
A ge wrinkles the body,
quitting wrinkles the
In the coming few paragraphs we con-
centrate at this rapidly growing segment
The brand used the tagline
“Love the skin you are in”
soul- quote by Douglas by zeroing in on one of the stars of this & believed that Looking
A
McArthur –correctly segment namely- Olay. Good and Feeling Good are
signifies philosophy fol- inseparable. I.e. loving the
lowed by anti-aging skin we are in is the most
ge wrinklessegmentquitting
cream the body, compa- Olay Total Effects (OTE) was introduced beautiful feeling of all. This
wrinkles the soul- quote by
nies in India. by P&G in August 2007, which focused struck a chord with the
Douglas McArthur –correctly on seven signs of ageing and claimed to Indian audience as this was a
signifies philosophy followed by
The sight of eternal Indian diva Madhuri have ingredients that could help counter new way of promotion and
anti-aging cream segment companies incream ad-
Dixit in the latest anti-ageing India. those seven signs of ageing. Olay Total Effects emerged as
vertisement floated by P&G is enough of the market leader.
an allurement for most women in their P&G’s marketing research team initially
late 30s to go and buy it without giving zeroed on the ‘working women’ as their Interesting to note would be P&G’s
a second thought. The war for launch target group, and sticking to this they fierce rival HUL’s moves in the same
and promotion of anti-ageing creams appointed fiercely independent Sush- segment. HUL entered the market
is beginning to reach a crescendo with mita Sen (former Miss Universe) as the with Ponds Age Miracle in early
top players in the segment coming up brand ambassador. This was Sushmita’s 2007(before P&G). It was introduced
with new offerings with each passing first major association with a brand, who as a prestige brand targeting the upper
day. A perfunctory glance towards the prior to this has had a limited screen pres- class women (married), but simul-
arithmetic involved in this sector would ence in terms of advertisements (much to taneously marketed and priced as a
put things into perspective. The Indian the dismay of her admirers). The gamble “Masstige”
skin care market as of today stands at somewhat paid off as Olay Total Effects product.
a whopping Rs.2100 crores, steadily attained a firm grip over the market. . While
growing by over 16% year on year. P&G’s
For the OTE range, the company used a advertis-
The anti-ageing market contributes testimonial type of campaign featuring a ement
around Rs.60 crore to it. Though in its Model/TV Anchor. The focus was more and
nascent stages, anti-ageing segment is on the functional benefits of the product marketing
being touted as the next big thing in the rather than emotional benefits. The brand focus was on
cosmetic industry as it has doubled its was positioned as one that celebrated independent
share over the last three years. beauty within and outside. working
16. 16
Madhuri M
women, HUL diverted its efforts towards the lives of ‘married And hence the difference in thinking was palpable through the
women’ by focusing on ‘romance revival’ keeping husbands advertisement campaigns launched by both the giants.
in mind. There’s a fine line of difference in thinking of both
the FMCG giants, where P&G focused on independent work- Thus P&G kept run off the mill Barbie doll type actresses away
ing wom- from this campaign. It carefully selected women which were
en, who oozing a sense of independence in their aura & thus, targeted a
through specific segment. Ponds on the other hand continued with oomph
the vaga- factor of actresses & models like Mehr Jesia Rampal & Rina
ries of their Dhaka. Brand focused on ladies who were in their 30s & still
busy lives looked vivacious.
intend to
stay young But, with a slight diversion from their taste of brand ambassa-
and look dors in mid 2010, Olay bought on board Shilpa Shetty & Soha
gorgeous Ali Khan to promote Olay Beauty Challenge. Though both these
while HUL actresses fit in the line of Olay’s core fixation with choosing in-
categori- dependent minded beauties as their brand promoters, but Olay,
cally hinted probably under the influence of rival HUL’s marketing agenda,
at target- gave into oomph factor. Kajol was roped in to promote Olay Total
ing married Effects and Katrina Kaif was handed the responsibility of endors-
women who ing Olay’s Natural White Cream in its radiance range.
wish to re-
vive their More than the product itself it’s the brand ambassador for Olay
romance Regenerist which is creating more waves. With Olay roping in
with their Madhuri Dikshit for ORG there’s a buzz in the industry that ac-
husbands tress’s return to endorse beauty products is a strong signal of her
and feel that only way to achieve the same is by staying beau- making a comeback to the tinsel town. And that is working well
tiful and young. for the product and its promotion amongst the masses.
Mayank Mahajan Anuj Kapoor
(MBA International Business 1st Year) (MBA International Business 1st Year)
University Business School University Business School
Panjab University Panjab University
Chandigarh Chandigarh
17. Majic
The tagline “Challenge What’s possible” i.e. chal-
lenge what is possible for consumer’s skin & use
ORG to get dramatic results on their skin without
drastic measures has been very meticulously cho-
sen to compliment the choice of the eternal diva as
the chief promoter of the product. Olay Regenerist
has been introduced as a special product by P&G
which is evident from the fact that it was launched
in association with Harper’s Bazaar, a well known
American fashion magazine.
Change in positioning was from “Love your skin”
(which was used for Olay Total Effects) to “Chal-
lenge what’s Possible”(for Olay Regenrist) as it
provides better functional supremacy, which is
needed to target high priced (premium) consumer
segment targets as perceived by Regenerist.
Though it’s the performance of the product that is a
better benchmark to rely on, there is a notable effect
of the “celebrity factor” that connects the product
with the target segment at an emotional level. Mad-
huri Dikshit in her 40’s and still looking as ravish-
ing as ever is a slight indication to the women of
her age that though the age is catching up on them,
staying gorgeous isn’t all that hard.
18. RAMIT GOYAL
PGDIM 18
NITIE
Digital
The Internet has come a long way in just a few Owing to the recent success and forward looking
years! The rapid development of online services approach of digital marketing, companies have
and World Wide Web has taken the consumer started predicting the future trends in this field.
marketers by surprise. While some were prepared Tap the Pocket Market- Mobile Marketing
to take the challenge, others were caught un- Cell phone is a part and parcel of life nowadays;
aware and still grappling to find their way to move it goes with us wherever we go. It has become
forward. the most frequent thing people use these days.
Due to this rapid development, managers in most So there lies a huge potential in tapping market
of the organizations have focussed their attention through the mobile phones – be it promoting
on online promotions, taking advantage of inter-
net’s vast reach and unique ability to measure Mobile applications will continue to be developed
success. The traditional, more expensive (and less and smart phones and tablet PCs will be adopted
measurable) advertising media, like TV and press, by increasing number of people in the coming
years. When we say mobile applications, who is
not familiar with the gaming application “Angry
Birds”. Inspired primarily by a sketch of stylized
wingless birds, the game was first released for
Apple’s iOS in December 2009. Since then, over
12 million copies sold are the epitome of ap-
plication reach and this
has prompted the com-
pany to design versions
for other touch screen
based smart phones,
such as those using the
have started to give way to the digital alternative. Android operating sys-
The digital marketing is so flexible that, with the tem and others.
right profile data available, potential customers
can be approached online with messages that can These days the app making companies have
be timed to correspond with their receptiveness at started partnering with companies who want
different times of the day. to promote their products.Recently, Samsung’s
products through applications or making new ap- Galaxy note is being promoted through Angry
plications to make the user experience more ful- Birds game. So who is the target of such a pro-
filling and enriching. motion strategy?
19. 19
Marketing
the way forward
A person playing the game who wants to buy a Brands will create their own apps that will tap into
smart phone is a perfect target for such a pro- geo location based customers.
motion. Isn’t it? If targeted correctly, these pro- One of the companies which does this kind of mar-
motions can be a huge success.
Mobile Wallet - In addition to the mobile appli-
cation based promotion, the user mobile expe-
riences are set to change. Over the years, the
way we pay has changed from coins to paper
money to debit/credit cards and now we‘re on
the verge of next phase i.e. payment through
mobile phones.
There are several technologies under devel-
opment which would make payment through
mobiles easier (one of them is Near Field Com-
munication which enables the transfer of data
between two devices in very close proximity).
So the companies will start producing such ap-
plications which would cater to offering products
on mobile and customer purchasing them then keting is US based Movoxx, which had launched
and there only. its operations in US in 2010. What they do is:
• Determine real time user location
Geo – location based marketing - The future of • Sends the best relevant ad served from
mobile marketing is dependent on social and lo merchant database
-cation based marketing. The most success- • Based on that ad, the user visit the mer-
ful marketing messages will combine the geo- chants profile page to trigger action
graphic location with the relevant place nearby.
The various big stores will be using such tech- So in this way the companies will attract the cus-
nologies by locating the customers nearby and tomers by knowing their geo location.
providing them push content and alerts on real
time local deals.
20. Suppose you are shopping in a market searching if you see a QR code in an advertisement, scan
for your wedding dress and you receive a message it with your smart phone and immediately have
from a shop in that area which is selling a wed- access to a lot of information electronically.
ding dress at a very attractive price, wouldn’t you
go and try it out once? This is the power of geo Some time back, Ford Figo used QR codes in
location based marketing to attract the customers their print advertisement where the QR code
which otherwise would not have noticed them. The scan would take the user to first a page where
numbers of mobile applications are set to increase the application by Ford needs to be downloaded.
which will increase the location based marketing. Thereafter, this downloaded application would
play an advertisement of the car by using the In-
Use of QR codes - QR (Quick response) codes are ternet connection on the device. If the consumer
used to gather data and link to in-store experi- is tech-savvy, this is a very powerful tool to con-
ences. More companies are realizing the power of nect to customers.
using QR codes in their marketing strategies. QR
codes are very similar to bar codes, which contain As the smart phone users will continue to in-
information that can be decrypted by a QR reader. crease, the in-app ad spend will continue to ex-
QR codes can be plode. The app story will simply move up to the
scanned and read next level.
by various ap-
plications on a So I would like to conclude by saying that digital
Smartphone. This marketing is set to rise in the coming years but
enables everyone its influence depends on the rate of adoption of
with a Smart- smart phones and penetration of internet within
phone to read QR the country. As the number of internet users is
codes without any rising each year, digital marketing is set to be-
special equipment, only your phone. It is really come a significant parameter in creating brand
easy to use – identity by influencing user experiences.
21. 21
Green
Marketing
I ntroduction
Green marketing involves informing consumers
about initiatives a firm has undertaken that will
A recent study from the environmental market-
ing company ‘TerraChoice’ identified “The Six-
Sins of Greenwashing” as:
•
•
The Sin of the Hidden Trade-Off
The Sin of No Proof
benefit the environment, with the overall goal of
• The Sin of Vagueness
improving sales or reducing costs.
• The Sin of Irrelevance
• The Sin of Fibbing
‘Green-marketing’ is actually related to Corpo-
• The Sin of Lesser of Two Evils
rate-Social-Responsibility. There are four general
dimensions encompassed in CSR, one of which
INNOVATE FOR SUSTAINABILITY
specifically can be tied to green marketing:
Innovation for sustainability brings with it excit-
• Social responsibility
ing opportunities for businesses to help grow
• Ethical responsibility
their top-line sales and even evolve and trans-
• Environmental responsibility
form their business models- indeed, their entire
• Governance
company- to better compete within the rules of a
more sustainable future.
It clarifies that every time a company does
some¬thing that feels nice, it cannot be parlayed
into a green marketing campaign – only activi- Winning strategies for green marketing
ties which benefit the environment can. The • Understanding the deeply held environmen-
challenge is to identify compa¬nies which are tal beliefs and values of your consumers/
imposters guilty of ‘greenwashing’. stakeholders and develop a long term plan to
align with them.
• Create new products and services that bal-
ance consumers’ desires for quality, con-
venience, and affordability with minimal
adverse environmental and social impact
over the product’s life.
• Develop brands that offer practical benefits
while empowering and engaging consum-
ers in meaningful ways about the important
issues that affect their lives.
• Establish credibility by communicating your
corporate commitment and striving for
transparency.
22. • Go beyond what is expected from stake- Aside from offering environmental benefits
holders. Proactively commit to doing your that do not meet consumer preferences, green
share to solve emerging marketing myopia can also
environmental and social occur when green products
problems- and discover fail to provide credible,
competitive advantage in substantive environmental
the process. benefits.
• Think holistically. Under-
score community with
users and with the broad GUIDEPOSTS -
array of corporate envi- THE“THREE C’S”
ronmental and societal stakeholders.
• Don’t quit. Promote responsible products use Evidence indicates that successful green prod-
and disposal practices. Continuously strive ucts have avoided green marketing myopia by
for zero impact. following three important principles:
Consumer Value Positioning
Beyond eco-design to eco-innovation •Design environmental products to perform
better than alternatives.
To stay competitive and meet the challenges •Promote and deliver the consumer-desired
of sustainable development, forward thinking value of environmental products and target
businesses will need to combine innovation with relevant consumer market segments.
ecology. Innovation is required at the concept • Broaden mainstream appeal by bundling
stage, or developing entirely new products and consumer desired value into environmental
services capable of performing the same func- products.
tion as existing ones with significantly less envi-
ronmentally impact. Calibration of Consumer Knowledge
•Educate consumers with marketing messages
that connect environmental product attributes
with desired consumer value.
• Frame environmental product attributes as
“solutions” for consumer needs.
• Create engaging and educational Internet
sites about environmental products’ desired
consumer value.
Green Marketing Myopia
Green marketing must satisfy two objectives:
improved environmental quality and customer
satisfaction. Misjudging either or overemphasiz-
ing the former at the expense of the latter can be
termed “green marketing myopia.”
23. 23
Credibility of Product Claims • Manufacturing wastes
•Employ environmental product and consumer • Disposal alternatives
benefit claims that are specific, meaningful, un-
pretentious, and qualified. The outcomes have appeal for marketers be-
•Procure product endorsements or eco-certi- cause the benefits are immediately promotable.
fications from trustworthy third parties, and
educate consumers about the meaning behind The system must evolve in light of new perspec-
those endorsements and eco-certifications. tives. For accounting to enter a new age, eco-
•Encourage consumer evangelism via social nomics itself must first be viewed in a new light.
and Internet communication networks with A new system of green economics is working on
compelling or entertaining information about a system that attempts to gauge sustainability in
environmental products (for example, Tide’s macroeconomics. The way ahead is calculating
“Coldwater Challenge” Web site included a map “Green GDP”, which constitutes:
of the United States so visitors could track and
watch their personal influence spread when • GDP accounting is being refigured based
their friends requested a free sample). on the UN’s system of National Accounts and
a satellite system that will relay environmental
GREEN ACOUNTABILITY : data. Using the new information, the govern-
How to measure it? ment can estimate the cost of natural resource
depletion across the continent and subtract it
These new standards are meant to take a holistic from the total GDP.
view that incorporates sustainability, social re- • Prototype estimate of non-renewable
sponsibility, and membership in a larger global resources will be prepared in tandem with con-
community. Environmental issues are socio- ventional data on industrial production and
economic problems. They should be seen in the sales of goods and services.
context of how they impact human society and • Inventory estimate will also be prepared
the ecosphere. In a holistic view, several sets of of renewable assets. Even-
overlapping standards embrace nearly every- tually, this information
thing a company does as a corporate global citi- will be integrated with the
zen. non-renewable data.
ISO has crafted ‘ISO-14000’, a harmonization of
environmental standards. The following points CONCLUSION
are standardized:
• Standards for environmental soundness Green marketing is gain-
of products and manufacturing processes. ing significant attention
• Harmonization of criteria for ecola- from both firms and con-
beling programs for consumers (Green-Dot, sumers. Given that a care-
Green-Seal, Ecomark, etc.) fully crafted green market-
• Supplier standards for environmental ing strategy can earn credibility with customers
soundness. and provide a platform for revenue growth, it’s
• Criteria for life-cycle analysis processes an area worthy of additional consideration.
that determine the incremental environmental
impact of a product or process from cradle to
grave.Various attributes that can be attached to
a product or its evaluation are:
• Toxicity of materials used
• Health and Safety
• Service life and durability
• Energy consumption
GURKIRAT SINGH
• Recycled content of product PGDIM (2011-13)
• Recyclability NITIE, MUMBAI
• Reuse
24. Jeet Kumar
SURROGATE
1st Year(2011-13)
MBA Full Time
FMS Delhi
In a general term, surrogate marketing is “when you promote Companies in banned industries are introducing brand exten-
one product/service in the hope of selling some other product”. sions with products that are legal to advertise with the same
Question is why you would want to do that? There can be more brand name as the banned product.
than one reason but most important one is that you aren’t able EXAMPLES:
to legally. It is used to indirectly promote products or services
deemed by some groups as being unhealthy, unethical, and im- • Royal Challenge as IPL Team, golf accessories.
moral or, possibly, illegal through activities that are viewed as • Wills as sportswear.
acceptable forms of promotion. Many say that surrogate ads • Smirnoff associations with events: ‘War of the DJs’
are smart work but others say that they cheat customers as they • Johnnie Walker advertisements on ‘Keep Walking‘
don’t say the message clearly. • Haywards 5000 soda featuring Sunil Shetty, Sanjay
But is it wrong to say that surrogate marketing is a result of Dutt.
situation created by the Government Laws & Rules, whereby • Bacardi Music!
for e.g. One cannot Sell LIQUOR as LIQUOR but can sell it • Kingfisher Airlines, Calender, NDTV Good Times,
as soda? Ever wondered why Bacardi and Royal Stag launched Soda, Water
their music cd’s and what made Kingfisher enter the segment • Tagline: ‘khoob jamega rang jab mil baithenge 3 yaar –
of mineral water? aap, main aur bagpiper‘
• White Mischief holidays, and also through the RCB
cheerleaders
In India, ministry of health has banned the advertising of liquor
and tobacco. On one hand, the govt cannot allow public adver- Now the question is : Is surrogate marketing Working ?
tising of liquor companies. Rule says “Advertisements which Let’s look at some of the facts:
lead to sale, consumption and promotion of liquor should not • A survey of 2001 revealed that advertising has a
be allowed.” direct influence on the consumption habits of 431 million
But ironically, liquor and cigarette sales are the biggest rev- people in India and an indirect impact on 275 million `aspi-
enue generators in terms of taxes and duties on these items. rants’ from the lower income group. Considering this there
Sales of these items are not banned, yet advertising on the is no doubt that the hidden call for alcohol consumption be-
same has strictly been prohibited! One instance of surrogate hind the surrogate advertisements is not escaping the eyes
advertising is ‘Four Square Bravery Awards’ in the name of of viewers in the world’s fourth highest liquor-consuming
Four Square cigarettes. country.
25. 25
MARKETING
Does it really work ?
• While many Asia Pacific countries registered Below is the Asia Pacific Market Strategies for Alcoholic
low growth between 2008-2010 due to the global econom- Beverages as prescribed by Accenture:
ic downturn, alcoholic drinks in India had
double digit growth. Demand for alcoholic drinks in In- All these are products and like any other items they need ad-
dia is expected to continue to rise over the forecast pe- vertisement whether you like it or not. If at all the govern-
riod, with a double digit volume CAGR expected between ment wants to stop this then why not ban the products all
2011-2015. The alcoholic market in India is estimated to together. Of course, banning has not worked in the past and
cross the USD 39 billion (over Rs 1,75,950 crore) mark by will not do so in future. It would only create a black and un-
2014, as per research firm Datamonitor. derground market. Surrogate marketing is definitely here to
stay, because the prohibition is unlikely to be removed any
• In the year ended March 31, 2010, UB group’s time soon, and alcohol companies would likely never cease
volumes sales grow by 20% against an industry growth of to exist. And as long as both business interests and restric-
10%. strong beer market grew 13%. UBL’s profit before tions remain, surrogate marketing will thrive.
tax for the year ended FY2010 has grown by 50% com-
pared to that of the previous year.
• According to Accenture report on Alcoholic
Beverages industry in Asia Pacific, Understanding local
regulations and restrictive advertising norms is critical to
success. This is particularly important in China and India,
given their complex distribution and regulation structures.
Trade activation is critical to ensure brand availability.
On-premise marketing is important for premium beer
brands. A $124 billion industry today, the beer market in
Asia Pacific is predicted to reach $149 billion by 2012,
which makes this region the growth driver for beer world-
wide in the years ahead. Also Wine is growing—at $46
billion now, it is projected to reach $55 billion by 2012.
26. MUSIC
Advertisers are a busy lot. They are
always looking for new mediums
to deliver product propositions and
hence at the same time increasing
brand value.
In the last few months there has been
a new trend in advertising which is
use of musicals to introduce new
product or service. This has been a
substantial deviation from traditional
point of view of advertisers for new
is that innovativeness associated
with this medium and hence the pos-
sibility of garnering maximum atten-
tion span.
So a look at new Indigo ad certainly
gives a freshness aspect and fast
paced advertisements also tries to
offer as much as possible in limited
time by telling that Indigo is now fly-
ing abroad. The focus is on again
brand proposition of Indigo i.e. on
product launch. Gone are the days time arrival of airline and visually
when big brands used to rope in big representing attire of Indigo also
celebrities for new product launch helps in creating a top of the mind
and then create the whole advertise- recall.
ment around them. That approach
usually resulted in celebrity clutter
and lack of differentiation in mind of What this advertisement achieves
customers for the brand advertised. that it targets only its target seg-
The primary reason being that same ment as medium of communication
celebrity is promoting other brands is English i.e. the person who is trav-
also. elling abroad so instead of going for
OOH displays this offers far more
So what started with We are Black- convenience to brand to reach its
berry Boys but done halfway as far target customer.
as musical was concerned is now
finding its manifestation in new In- Now take a look at Allen Solly Ad-
digo, Vodafone-blue facebook en- vertisement. In a product category
abled phone and Allen Solly Ad. where Bollywood celebrities are the
Whereas the focus of We are Black- norm be it John Players or Van Heu-
berry Boys was on brand reposition- sen, here comes a brand which is fo-
ing, The primary connecting point cusing on normal office persons who
in new campaigns is that all three of are their target segment.
them are telling a story about new
product/service and how that im- Along the way they represent the
pacts your daily life. brand proposition of friday dressing
and the vocals certainly give out a
Musicals are great in way that you peppy feel to their offering.
have a new story to tell and the fo- Moving forward to take a look at
cus of advertisement is your product Vodafone-Blue Facebook enabled
and service offering. Another reason phone. To advertise something to In-
currently going in favour of musicals dian Youth in big cities, who is
27. 27
ALL THE WAY
always connected to online is big
challenge especially in a product
category which already has hun-
dreds of competitors. In this sce-
nario to gather attention span of
this youth, what was needed is to
Pranay Singh
MBA 2nd year
FMS,Delhi
identify a gap in Indian customer
interaction with different mediums.
So the conclusion arose was that
Indian customers are not too famil-
iar with Broadway shows and the
whole concept of musicals. That
is the target point they focused for
showing the daily life of youth in a
musical in Broadway show style.
This type of strategy works two
fold. First there is innovativeness,
second there is chance of tune of
musical going viral or gets identi-
fied with brand. Although the ad-
vertisers are not aiming for chart-
busters but the brand recognition
does wonders for brand.
But among this entire great con-
cept the primary disadvantage is
that in this fast pace scenario mu-
sicals work only when you have a
story to tell and shorter edits does
not work here.
The secondary apprehension re-
sults from fact that music and film
do not hijack the brand proposition
and brand offering. This is case
synonymous with celebrity hijack-
ing of brand they endorse where
company lose top of mind recall.
So far so good for this concept
and we will certainly see deluge of
such ads in coming year 2012.