Showing posts with label Marketing. Show all posts
Showing posts with label Marketing. Show all posts

Wednesday, May 16, 2012

STICK OUT; DON’T BLEND IN!

Brad Pitt has bagged a new modeling contract, and this time, it’s not for any fancy gadget or any car brand or even a men’s clothing brand, but for a ladies’ perfume – Chanel Nº 5.

As expected, this news has got everyone talking about him and the perfume brand. It’s also got the cash registers ringing for him, and if all goes well, the cash registers would also be ringing for Chanel. The biggest boost in sales that a brand gets is when people start talking about it, when there is a certain buzz, an excitement around the brand. Ask any marketing expert and he would be ready to give his right arm to find the secret of creating the ‘right buzz’ around his brand. In fact, the job of advertisements is not necessarily to sell the product, but to get people to notice it; and in the most successful cases, to start talking about it. Chanel Nº 5 surely has learnt its lessons well. Decades ago, it had achieved notorious fame, when Marilyn Monroe – on being asked what she wears to bed – had said, “Why, Chanel Nº 5 of course!” That, and now this, i.e., getting Brad Pitt as their brand ambassador, has ensured that a lot of people would be talking about the fragrance for a very long time. The brand has managed to beat the clutter and has been able to stand out and get noticed from among the thousands of perfume brands available in the marketplace.

A few years ago, Lux soap decided to do something different to celebrate its 75 years. Known for its advertising strategy of taking Bollywood beauties to endorse its brand, the company decided to stick to the same formula; except that this time, the beauty in the bath tub was not the latest Bollywood heroine, but the latest heartthrob of all the females of the country – Shah Rukh Khan! The strategy worked. People noticed it. Some liked it and some laughed at it, but everybody was talking about it. That is the aim of advertising. As long as I have got you to notice me so that you talk about me, a large part of my work as an advertising man is done.

STICK OUT, BUT NOT LIKE A SORE THUMB!

Yes, to be noticed, you need to be different, but it needs to be done intelligently. There is a thin line of difference between the acceptable and the unacceptable and one needs to tread the path carefully. A little known airlines named Kulula Airlines (a South African low cost airline) has found a way to get noticed. Last month, as the South African president Jacob Zuma prepared to get married for the fourth time, the airlines too prepared a cheeky promotional ad campaign that claimed, “Fourth wife flies free”. Kulula is not the only airlines that has found a way to get noticed. Spirit Airlines has built a unique reputation for itself in coming out with well-timed ads that poke fun at the latest headlines. When news broke out that Arnold Schwarzenegger had fathered a love child 20 years ago because of which his marriage broke, the airlines was quick to come out with an ad stating, “Fares so low, you can take the whole family... including the halfbrother you just met”. When Tiger Woods crashed his car into a fire hydrant, the airlines was quick to come out with an ‘Eye of the Tiger’ sale on its website to promote its low priced fares.

Scandals always get you attention but not necessarily the kind you would like. However, Spirit has used scandals to increase its sales, and nobody is complaining!

Amul Butter has been using the same tactics in India for years now and almost always manages to get our attention with its topical ads. Everybody loves the wit and humor that they bring. The tongue-in-cheek ads are awaited by all. They stand out, and get noticed by all.

In this mad rat-race, standing out has probably become the most important quality for success. Just being good is not enough , you need to be different. However, it’s not easy being different. If there is one person in the advertising world who showed the world the power of being different, it was Oliviero Toscani. The ads he created for the clothing giant Benetton changed the way people looked at advertising and acknowledged the tremendous impact an ad was capable of creating. He showed a white and a black child hugging each other and gave the headline, “Angel and Devil”. It shocked the world but made Benetton the most talked about fashion label. However, Toscani crossed the line with his, “We on Death Row” series of ads, which featured close ups of 26 US prisoners who had been sentenced to death. There were widespread protests from the individuals, especially from the victims of the families whose loved ones had been killed by these men. Till Toscani used provocative themes like a priest kissing a nun, miners and bakers united by the black of the soot and the white of the flour, a dying AIDS victim with his family, a group of African refugees, et al, Benetton could justify the photographs and get away with it; and in the process, also get away with all the attention of the people, as this was the one clothing company whose ads were noticed the most. But the ‘death row’ series was where it went over the top; Toscani had to resign and Benetton had to apologize. So yes, one needs to stick out, but not like a sore thumb. Shock and scandal are the easiest tools to help one stand out.

Yet another company that has used such shock tactics in its advertising and marketing strategy to stand out is PETA. Its ads have always managed to draw the attention of all. Last year, it even launched its “PETA US triple-X website”. It was a provocative idea that immediately caught everyone’s attention. Well, that is exactly the purpose of this site – to catch your attention and show you videos of the hideous cruelty being inflicted upon millions of animals in the meat, fur and circus industries. As its manager Mimi Bekhechi says, “Whether through titillation, offense or something in between, PETA will do whatever it takes to draw your attention to animal suffering and create a kinder world for animals.”

There you have it – shock tactics used for a good deed. If you know how not to cross the line, go ahead and follow these brands, for this is a tactic, which, if not used with extreme caution and intelligence, can ruin your brand image forever. If handled well, it can shoot your brand out of obscurity in the shortest possible time and put you ahead of your competitors.

STICK OUT AND STICK ON!

The aim of a marketing campaign is to make the brand stick out in your memory. Being different, i.e., sticking out, helps in doing that. The golden rule being, do exactly the opposite of what the others are doing. This rule holds true everywhere; the way you dress, the way you apply for a job, the way you advertise and the way you speak. If everyone wears a casual attire to work, wear a suit to stand out. If every competitor of yours is using advertisements with more visuals and less text, do exactly the opposite.

An MBA from Texas desperately wanted to get into the company Accenture, but nothing worked. Ultimately, he decided to do something different. He created a website ‘Hire- MeAccenture.com’, which had his flashy photos, his blog and his resume. Yet another job seeker mailed a shoe with his resume stuffed inside it to his potential employer with a note “Just trying to get my foot in the door”. One even sent his resume in a pizza box with a note, “Delivering you a great candidate”. Sometimes, the gimmicks work and sometimes they backfire; but if you have it in you, then a little extra attention goes a long way towards achieving your goal.

So set a goal, a target for yourself, and chase it passionately, while keeping in mind the simple fact that to stick on to people’s minds and to be remembered; you need to stick out, and keep thinking of ways of doing things differently from the rest of the world. You will be noticed. Advertisers have been using this trick for decades. Earlier (even now), advertisers used beautiful women to sell just about everything. You have a beautiful woman in an ad for a razor, for a shirt, for a men’s deo, for a bike, for a car, for just about anything. Now they are using men to sell products used by women!

The rule is simple. If you want to succeed in this highly cluttered and competitive world, then work hard towards not just being good but also towards being different from others, so that you stand out from the crowd. Do not blend in. Make your own rules and you will be noticed. Being noticed is the first step towards success. So while making your strategies, remember, “Stick out, don’t blend in”!

Thursday, February 23, 2012

BRANDING THE MAHABHARATA WAY!

There is a new guy in the world of ‘brand ambassadors’ in advertising. He is a quirky little character named Mel, who suffers from an identity crisis, for he does not know whether he is milk or granola. To put it in short, Kraft has launched a new product ‘MilkBites’, which is actually granola bites baked in milk. It’s supposed to be for people who don’t have time for breakfast. But this MilkBite needs to be stored in a refrigerator, so it’s a ‘pre-made, refrigerated cereal’. It’s a complicated product, which required a different positioning; for here is a cereal, which has to be picked up from a refrigerator in a departmental store! So Kraft decided to use this strange positioning to its advantage and came up with the character Mel, who battles with low self-esteem and deals with identity issues (something we too battle with often!). The character Mel is turning out to be an interesting fellow as you get to know him better through various advertisements; where he tells the story of his confused life, and in the process, also tells us how he is to be consumed.

MilkBites is going to be Kraft’s biggest launch this year and it’s using an underdog to win market share. No great stars, no super achievers. We have a little confused fellow as the brand mascot of Kraft. He is a misfit who has a sad story to tell.

Why would Kraft choose such a character? Think about it. On a TV channel full of happy mascots, here is a sad character, a misfit. As a result, Mel is instantly noticed. More importantly, he is instantly sympathized with, for we all love the underdogs. This is human psychology and it remains the same, whichever part of the world you go to. Everybody sides with the underdogs. Kraft probably is placing its bet on a winning strategy. Look around you and you will find that quite surprisingly, the underdog always wins!

THE CHARM OF A FAIRY TALE

Go back to your childhood and think of all the stories you loved and chances are that most of them were around a character who no one expected to win, but he/she fought against all odds and pulled off the most unlikely of victories. Cinderella became a princess. Rapunzel was united with her parents and even found her Prince Charming after all the hardships. These are very old tales. Yet, till date, they do not fail to inspire, not just us but even Hollywood and Bollywood. Cinema is cinema because of the underdog. Be it James Braddock from the movie The Cinderella Man, an impoverished ex-prize fighter who went on to win against all odds and ultimately even take on the heavyweight champion of the world; or be it Vijay Dinanath Chauhan of Agneepath, who, in spite of all difficulties, managed to avenge the killing of his father – our hearts always reach out for the weak. Julia Robertsmade us fall in love with her as the underdog in the movie Pretty Woman, where life gave her a second chance to make things better. Be it Seabiscuit, Karate Kid, 3 Idiots, Taare Zameen Par, Guru or Koi Mil Gaya; we love to watch the small guy win. This is a story line that always works. This is a strategy that never ever fails.

Take sports, as an example. Today, there is only one player in the USA who is making waves and is being talked about today. He was a star basketball player at Harvard, but after graduation (in 2010), no one showed interest in him. He spent most of the season at the end of the bench and his career seemed to be in the doldrums. But Jeremy Shu-How Lin never let go of his dreams and stuck on.

Then something magical happened this month (February). His team New York Knicks was losing and the coach decided to bring Lin in the game against Jersey Nets. This was the ‘golden ticket’ he was waiting for and he dazzled everybody by scoring 25 points and leading his team to victory. He repeated the same magic in the next match, and the next. The man from nowhere has built a frenzy around himself. He has created a new phenomena called ‘Linsanity’. He is a hero who appeared from nowhere. His story is inspiring kids to believe in their dreams, in who they are and to keep going; even when the going is tough. It’s similar to the storyof the movie ‘Rocky’, where Sylvester Stallone made it, in spite of all the odds against him.

THE CHARM OF A CHALLENGER

When a loser wins, it catches our attention like no other. This is one strategy that is bound to attract the attention of the consumer who would look at you in a more endearing way than otherwise and all intelligent brands have used this ‘underdog positioning’ strategy to pull your heartstrings and eventually your purse strings! Be it Apple, Amazon or Virgin, we all know about their humble beginnings, for they have always been very vocal about it and never ever lost an opportunity to remind us where they came from. Come to think of it, our most loved brands actually started in a garage. Harold Matson and his friend started making picture frames in a garage in 1945; and to be cost effective, used the scrapes to make dollhouses. They soon found that their dollhouses were selling better than their picture frames and soon started focusing on toys. Their company Mattel Inc. is today the highest grossing toy company in the world! Bill and Dave founded HP in a garage. That garage is today known as the birthplace of Silicon Valley and HP is today a huge company. William and his friend Arthur started making a small engine to power a bicycle from a small shed in 1901. Today, their company is the most iconic motorcycle brand of the world. William Harley and Arthur Davidson founded Harley Davidson. Microsoft may be big, but there is something different about Apple. Maybe that’s because it also started in a garage just like Amazon, Google and Disney. When you know they started from nothing, you like them much more, you believe in them much more and you forgive them much more easily for their mistakes.

In a world of cutthroat competition, this is one strategy that brands should use to connect better with their consumers and win their respect. We all look up to and appreciate someone who, despite all odds, puts up a fight. It’s much like William Wallace from the movie ‘Braveheart’, who as a child watched his father being killed and later saw his wife being murdered. This simple farmer decided to fight against injustice and lead his people to victory. Though he too was captured and beheaded; but his last words were ‘Freedom’, which motivated his people even after his death and helped them overthrow the king. These stories are what make life go on. These are stories that get woven into the very fabric of life andmotivate generations. If your brand has such a story to tell and has not told it yet, it’s time you reworked on your branding strategies and shouted out loud about how you became a hero from a zero.

When a small company takes on the giant, there is a different thrill in that. There is a unique charm associated with ‘challenger brands’. Come to think of it, even our mythological heroes were the underdogs. The Pandavas were the underdogs in the epic Mahabharata, and the story of their victory over the Kauravas is so mesmerizing that it has transcended all barriers of borders and language and has been adapted and recreated in so many lands and in so many languages.

The story of the underdog has a universal appeal, which very few stories have. It’s the little guy, the one with faults, who we like more than the ‘perfect man’. No wonder then, that for many, it’s Batman who is the real superhero and not Spiderman or Superman. This is so because Batman is human and he has his weaknesses that he has mastered. He is a hero not because he was born with special superpowers, but because he worked hard to develophis physical and mental capacities. He is the best detective and the greatest scientist who does not ‘fight off’ his opponents, but uses his intelligence to outwit them. He is someone we can aspire to be. He is someone who dares to fail; dares to dream. He is similar to our corporate heroes like Richard Branson, Narayana Murthy & Steve Jobs who started at ground zero, and through sheer hard work and courage, made it big.

Similarly, we all love the brands that are ready to fight the biggies, believe in something and have a vision. We like brands that have the courage to put up a fight; like the Pandavas, who fought the war against the mighty Kauravas, because it was the right thing to do. We get inspired by stories of underdogs. So if you want to stand out and get noticed; if you want to be loved and idolised; let the world know your ‘underdog story’, for that is the best marketing strategy. The Mahabharata did it, so can you!

Thursday, February 9, 2012

SUPER ADS, AT THE SUPER BOWL

Sunday, February 5, was a big day for advertisers in America. The Super Bowl, the most watched show on TV, was aired that day. For the third year in a row, Super Bowl has set the record as the most watched television show in US history. Not just the game, the Super Bowl has become a showcase of some of the most remarkable advertisements, and people wait to see the commercials aired during this time as much as the game. After all, some of the most iconic ads have made their debut here. This year also witnessed some of the best ads and taught us a thing or two about what good ads are made of.

An estimated 111.3 million people watched the Super Bowl this year. The only other program that beat this record was Madonna’s show during halftime of the game. It was viewed by 114 million people . There seems to be something about ‘halftime’, for the most acclaimed commercial during the Super Bowl was Chrysler’s ‘It’s Halftime in America’. Aired during the game’s halftime, the commercial started by equating the game’s halftime with America’s halftime. Just as during halftimes, teams are discussing strategies to win the game; America also needs to find a way out of this mess that the country is in right now. The one city that is showing the way is Detroit. It lost everything with nearly all car companies going bust, but it did not give up and today, it is slowly but surely making a comeback. The Americans should do the same. After all, as the advertisement says, “This country cannot be knocked out with one punch. We get right back up again and when we do, the world is going to hear the roar of our engines”. The commercial was so inspiring that in many places, people gave it a standing ovation.
The message was right, the time it was aired (during halftime) was right and the star of the commercial Clint Eastwood was just right too. He had starred in the much acclaimed film ‘Gran Torino’, which was set in Detroit City, making him the right choice for the commercial. Overall, it worked out to be the perfect package, which is why, out of the numerous ads aired during the game on Sunday, this one stood out. No blondes, no blokes, no stunning locales; just a plain simple message that touched people was what was responsible for its success. That is the power of a commercial. It makes a place for itself in your mind whether you want it or not. It’s much like ‘Jerry’, the cute little naughty mouse in the Tom & Jerry show, which we loved watching as children. If advertisements are ‘Jerrys’ then we are the ‘Toms’. Tom, like us, believes that Jerry cannot overpower him, just the way we as viewers believe that advertisements cannot influence us. But just as Jerry always wins, good ads always manage to make a place inside our subconscious mind and influence our buying behavior. How many times have you caught yourself singing the tunes ‘Har ek friend zaroori hota hai’ or ‘Hum mein hain Hero’? Good ads have the power to remain in our minds and our thoughts, and even change them.

GOOD ADS MAKE US LAUGH

If you can make someone laugh, it is the quickest way to bring down barriers and make a friend. A lot of advertisers use this trick. It is very effective, but it is also very risky; for if humor goes wrong, it can seriously offend people. This particular commercial managed to offend its competitor. Aired during the Super Bowl on Sunday, GM advertised for its Chevrolet Silverado. The commercial showed how the world would end in 2012 (according to the Mayan calendar) and only those who drove the Chevrolet Silverado had chances of survival, not the ones who drove a Ford. The advertisement showed how a man and his dog managed to survive the catastrophe because they were safe inside their Chevrolet. As he drives around, he meets his friends who also survived because they were inside their Chevrolets. However, one friend is missing, so he asks, “Where is Dave?” His friend answers, “Dave could not make it; he drove a Ford.” As expected, Ford did not take it lightly and its legal cell filed a complaint demanding that GM apologize and withdraw its ad from everywhere. GM, in return, said that the ads were over the top and in a fun filled manner, they tried to bring out the fact that their pick-up truck was dependable even in the most dangerous of circumstances. They believed in their claim and were ready to wait till the world ended to prove their point… and then apologize if needed. But till then, all people who were worried about the Mayan calendar prophecy coming true had better buy the Chevrolet Silverado!! Not only did Chevrolet get noticed and talked about, but Ford was left rubbing its hands for it had not aired any commercial during the Super Bowl and therefore could not make its presence felt.

The Super Bowl actually turned into a cheeky war zone where brands took a dig at their competitors. After all, not everyday do you get more than 100 million people to watch you. So Samsung continued to take a dig at Apple. Its positioning strategy is to be remembered as the ‘anti-Apple phone’. Apple, on the other hand, is known for its most iconic Super Bowl ads (remember the 1984 ad), but was conspicuous by its absence and Samsung had a field day advertising its phone as the ‘next big thing’. The oldest rivals Coke and Pepsi had a face-off too. While Pepsi played it safe with an interesting commercial featuring Elton John, Coke decided to poke Pepsi; albeit in a very pleasant, interesting and indirect manner.

As the Super Bowl started, so did Coke’s Polar Bowl. Two polar bears rooting for opposing teams, drinking Coca-Cola and watching TV in their igloos were seen in the Coke commercial featured during the game. However, viewers could visit cokepolarbowl. com, which was hosted within Facebook, to see the bears watch the game. Now why would you do that? Because the bears were reacting to the action in the game and also to tweets and comments from viewers.

The cute polar bears made an interesting view and soon more and more people logged on, to see how they were reacting to the game and the commercials and their tweets. Their reactions had the social media world buzzing. The bears crossed their fingers during tense moments of the game and they stood with their paws to their hearts during the Clint Eastwood commercial. They dozed off during the Doritos ad (it’s a part of PepsiCo!), and they walked out of the room during Pepsi’s ad. They even read out interesting tweets from fans. Getting the polar bears to respond in real time was a difficult task and the team at Coca-Cola rehearsed for three months, using footage of old games to prepare themselves. It all paid off, for viewers enjoyed it so much that not many left the page after logging in, increasing traffic way beyond the expectations of Coke. Many even put their laptops next to the TV to enjoy the game and the reactions of the bears simultaneously!

Polar bears had been a part of Coke’s commercials in the 1920’s, and Coke decided to bring them back. This was the best way to bring back the old mascots and also take the old rivalry (with Pepsi) a notch higher!

The right dose of humour wins all battles, especially those of market share. And Coke has once again proved with this strategy why it’s the ‘Real Thing’.

GREAT ADS MAKE US SMILE

The cute ad of McDonald’s, where a little boy refuses to be a boyfriend of the little girl because girlfriends are too demanding, but changes his mind instantly once he comes to know that all she ‘demanded’ was a McAloo Tikki burger, makes you smile. The innocence touches you. So does the Cadbury ad where the wife asks the husband, “When was the last time you said ‘I love you’?” and then blushes as she realises that everyday that he gave her a Cadbury bar, it was his way of saying, ‘I love You’. Sweet gifts for sweet words.

Indians love emotions and feelings and ads that make them smile or laugh are always a big success. The Tanishq diamond jewellery ad starring Amitabh and Jaya Bachchan made many men smile.

Be it advertisements or movies or even your Tom & Jerry show on TV, the reason they are so popular even after so many years is because they make you smile & laugh and no one gets hurt. A good advertisement makes you smile without poking fun at others. So if you want to make a good ad, it’s time to watch some TV shows, and get inspired.

Thursday, January 12, 2012

A NEW YEAR, A NEW START!

Another year, another chance to accomplish all that we could not in the last year, another hope, another new beginning! Yes, every new year brings about a sense of freshness with it and lots of hope and high spirits. It’s the time to think afresh, plan new things, change your outlook and approach your problems with a more positive mindset.

Every year promises something new and every year witnesses a new change. This year too, we as marketers should be ready to face new challenges and plan new strategies. The rules of doing business are going to change and if we want to stay ahead, we better be prepared.

THE VIRTUAL WORLD WILL OVERTAKE THE REAL WORLD

The traditional way of marketing has changed. Marketers will focus more on the new media and the traditional will take a back seat. This change is for good and will intensify even more as marketers discover more and more innovative ways to reach out to the consumer online.

Last year (in June, 2011) the marketing genius Nike premiered its new ad campaign titled “The Chosen” not on TV, but on Facebook. The campaign was used to launch a video contest, which asked people to submit their videos of extreme action sports (like snowboarding, surfing, skateboarding et al) and create the maximum buzz around their entries. The finalists were then judged by a group of professionals within Nike and the winner was selected; the winner was titled the ‘chosen one’, for he got the chance to live like a Nike Pro athlete for a year. Apart from the very interesting and engaging campaign, the point to be noted is that Nike decided to launch its campaign on Facebook nearly three days before it featured the same on TV during the NBA finals.

Not just shoe brands, even cars are using the social platform to debut their goods. Last year, Ford unveiled its new model – the Ford Explorer – not in an auto show, something that it has been doing consistently for the past 50 years, but on Facebook. It even randomly selected a ‘fan’ to give away a free Explorer! If you consider the fact that Ford has been doing relatively well as compared to its competitors, it seems like the choice of spending twice as much as its competitors on digital media is not a bad choice at all.

This month (January 14), Ikea is hosting a “Bring Your Own Friends” (BYOF) event in its stores in USA. Every time you ‘Like’ the Ikea page, the company makes a donation to the non-profit organization ‘Save the Children’. That’s not all; once you like the page, you get to see the various freebies and discounts that the retailer is offering in its various stores on January 14. You are then asked to invite your friends to the event happening in the stores on the day. For every invite you send, you become eligible for various contests and have a chance to win a free ‘shopping spree’. To add to this, the company pledges to donate $1 to ‘Save the Children’, whether your friend/s turn up for the event or not. Yes, earlier too, Facebook has been used for social causes by companies, but this one goes a step further. Ikea is hoping to increase ‘in store foot traffic’ using Facebook. This only goes on to prove that the coming year will see marketers using the ‘social platform’ more aggressively. If your brand has a page on Facebook, it’s time you made sure that it becomes more interactive and engaging, for that’s going to be the key to success in the future. Or else, God help you… well, literally. The most engaging and interactive pages on Facebook have been those dedicated to religion, with ‘Jesus Daily’ leading the list. At more than 4 million interactions weekly, the page leaves all other pages way behind. This just proves that if you have content that is engaging, you have takers too (after all, there are 800 million people on Facebook and each could be your potential consumer). God could help you get some good ideas for this one for sure!

One of the key factors to keep in mind would be ‘online engagement’ between customers and the brand. Apart from the number of followers, it will also be important to keep your followers engaged this time. When your consumers are being bombarded with so many messages, it’s critical to focus on loyalty and make your brand’s ‘voice’ the loudest and the most unique. One way of doing it online is to keep interacting with them. The cosmetic company ‘Benefit’ did just that. With no marketing on TV or in the print media, Benefit used only the ‘virtual platform’ for all its marketing endeavors. Using fun and quirky online content and giving away freebies and having beauty sessions online, the company built an awareness around its products and kept its fans engaged with the brand. It asked its fans to review its products on its Facebook page and even rewarded its most active reviewers. These ‘reviewers’, in turn, told their other Facebook friends about this brand; and soon, Benefit became the most talked about brand in the virtual space. It’s akin to generating ‘word of mouth’; just that this time, it’s happening online, for that is where most of your consumers will be in the future. All the rules of marketing will remain the same; however, the one who is able to adapt these rules to the ‘virtual world’ will be able to stay ahead of the competition.

It’s going to be an era of the ‘virtual’. Be it brand building or increasing market share, everybody is thinking ‘virtual’. Starbucks launched a ‘mobile payment system’, which turned the smart phones of consumers into wallets. Every time a customer ordered from Starbucks, his/her account was automatically credited; and discounts, if any, were applied. Starbucks claims to have 3.6 million customers who have joined this program, very aptly named ‘My Starbucks Rewards Programme’. This will be a year when ‘virtual innovations’ will help companies reap rich dividends.

THE CONSUMER WILL OVERTAKE MARKETERS

On the flip side, the consumer of tomorrow will be very difficult to impress. He has seen it all and is armed with the technology and the know-how for avoiding your advertisements and marketing messages. You need to be totally different and very creative to actually get his attention.

One strategy that most marketers have been seen adopting is ‘shocking’ the consumer. Most of the times, it has worked. Remember the recent ‘Unhate’ campaign of Benetton, which featured some of the world’s top leaders who were not the closest of friends kissing each other on the lips? The campaign featured photos of Barack Obama kissing the Venezuelan President Hugo Chavez, France’s Nicolas Sarkozy kissing Germany’s Angela Merkel and the Pope kissing an Egyptian man. The latter did not take too kindly to it and the Vatican has vowed to take legal action against Benetton this year. But from the marketer’s point of view, the campaign worked as people remembered it, and reacted.

World Wildlife Fund (WWF) had released an ad that showed dozens of planes bearing down on New York with a tag line that read “The Tsunami Killed 100 Times More People Than 9/11”. The copy of the ad continued to state “The planet is brutally powerful. Respect it. Preserve it.” The advertisement, which was created by Brazilian design firm DDB Brasil, was globally condemned by all and had to be hastily withdrawn. Considering the fact that this advertisement appeared just once in a small local paper in Sao Paulo, it was pretty effective, for it had the power to generate a global buzz.

Consumers of tomorrow will appreciate brands that push the boundaries. Diesel did it with its “Be Stupid” campaign, which was loved by the youth everywhere. Whether the ‘shock tactics’ will work or not is debatable. However, one thing is for certain – you need to think really different. You need to be hard hitting to get noticed and be remembered. Only the best will get a reaction from the consumers, and the rest would be conveniently ignored.

The consumer of tomorrow will be impressed by the truly responsible marketer. One who genuinely takes care of its customers and the environment will have more loyal consumers. Brands like Nike and Garnier (French beauty brand) are recycling their products and the consumers are loving them for it. Nike has already recycled 25 million pairs of worn out shoes. Garnier recycles its packaging and uses it to make playground equipment. The consumer tomorrow will like you and remain loyal if, along with a good product, you show him a good recycling plan.

Be responsible and be honest if you want to impress the consumer of tomorrow. If you make a mistake, accept it. Last month, Tata Motors called back over a lakh Nano owners for an upgrade to change their starter motors free of cost. As instances of the car catching fire increased, the company took this action. Toyota, too, did the same when it called back all Etios sedans manufactured before October 8, 2011 to check their filler hose and replace them if found defective. Again, of course, it was done free of cost. More than service, it’s an intelligent strategy to build goodwill and reduce the damages done to the brand’s image.

The coming year is going to be filled with new challenges and new ways of doing business. This time, the old ways will not work. Only the one who is daringly innovative and supremely aggressive will survive.

It’s time to give your brand and your marketing plans a face-lift. It’s time to do new things this new year and discover a new you!

Thursday, November 24, 2011

IS INDIA REALLY 4 NATIONS?

SO FAR, MARKETERS HAVE LARGELY PAID ONLY LIP SERVICE TO THE CULTURAL DIVERSITY WITHIN INDIA. IT’S TIME THEY DO MUCH MORE TO LEVERAGE IT TO THEIR ADVANTAGE

Companies are worried about the coveted FDI regulations for this market. Economists are worried about its massive poverty indicators and growing inequality. Politicians are worried about their next elections as usual, but perhaps much more today about simply getting caught! Business in general is worried about favourable government policies and reforms and also about the appalling Indian version of the term “infrastructure”. And on top of all these, the common man is worried about (including infrastructure, of course) rising prices on all fronts, corrupt and inefficient systems, uncertain markets, lack of a social security net… the list is quite endless.

Welcome to “Incredible India”, the term itself a perfect fit for this country, and not just because the words are catchy and rhyme well. It’s also because of their meaning. Not great, or awesome; but ‘incredible’, in simple terms, hard to believe. And that’s how intellectuals at different points of time have described the ascent of the Indian economy.

Nevertheless, marketers love stories, and the Indian story attracts them like few do. Goldman Sachs’ BRIC report laid the groundwork followed by many others. Another exhaustive report by McKinsey in 2007 gave some important indications of where India could potentially be. It projected, with an assumed CAGR of 7.3%, that India would triple its income levels by 2025. That will bring around 291 million people out of poverty and the middle class will rise by ten times over the period to around 500 million. What’s more, 23 million people would count among the wealthy, which would be more than Australia’s current population (around 22.7 million, Australian Bureau of Statistics, October 17). And the most exciting part, of course, is that the country has a combined young & working age population (14-60 years of age) that comprises nearly 54% of the total (UN, 2009 figures). Another 31.3% are in the wings to enter this group (age 0-14 years). India’s working age population is expected to edge out China by 2028.

This is a brief of the larger India story that marketers across the globe have grown to believe; and all it seems to say is that – unless you want to be a bit player on the global stage a few decades from now; it’s imperative that you invest in India. Of course, it’s a great story for shareholders of a number of MNCs as well, who have been terribly short of good news lately. However, before you hop on to the India bandwagon, you have to understand the fact that although the macro picture makes a valid case, it’s very easy to get lost in a maze if you are unable to grasp the intricacies unique to this market.

One of the most critical and overlooked aspects of this market is culture. Generally, marketers and analysts have attempted to either club the entire India as one (using economic segmentation) and look for a unifying theme, or considered it just too diverse to really merit the time and energy in segmenting it in this manner. Either approach is dangerous. In fact, my ongoing research provides compelling logic that supports the existence of India as 4 nations – North, South, East & West – and this has profound implications for today’s marketers. These divisions have a strong historical context and continue to be extremely relevant even today.

CONSUMER PARADIGMS

Art is a very apt reflection of life. And if you look at our movies, there are a number of stereotypes that have been used to define Indians in different zones. A Punjabi is often pictured as brash, impulsive, imposing and ready to pick up a brawl, or even join an ongoing one for company sake! Conversely, a person from Tamil Nadu is pictured as relatively submissive and also deeply rigid about his style of living. Mumbai residents are typically shown as immensely practical and down to earth. And a person from the city of Kolkata will be portrayed as too passionate about his state, ready to revolt at the slightest excuse and be ready for an intellectual solution to every problem, if not a practical one.

While extreme, these stereotypes are not without basis! Some research into consumer buying habits also brings out some vital differences in the four zones. A small perception-based survey across 4 metros revealed some interesting characteristics. West Bengal, for instance, has a strong history of revolution, and they harbor a fierce sense of pride in their culture. They are highly intellectual and able to achieve their goals (financial or otherwise) through proper planning. Purchases made by them are skewed towards long term assets like real estate. New Delhi has been an epicenter of power and also attracted a mix of cultures from across India, with a larger influence from the neighbouring states of Punjab and Haryana. There is a great obsession with earning money, and perhaps an even greater one with flaunting it. Down south in Chennai, one sees a conservative society that has a deep sense of traditionalism as well as a bit of a colonial hangover. Higher education rates and rise of industries like IT here have attracted wealth to a great degree from abroad, and people here do invest in certain luxuries as well. But customs and traditions are strong influencers, visible with the amount of jewellery they buy; an integral part of traditional attire. When you look west in a city like Mumbai, there is a very strong influence of the British Raj as well as of the traders that frequented the city’s shores. The city works strongly on the ‘time is money’ mentality and is tremendously practical and pragmatic; a vivid barometer of which are the local trains, used by people of all economic classes.

Now take a look at how this reflects on purchases. The benchmark J.D. Power Asia Pacific 2011 India Escaped Shopper Study talks about how regional patterns affect purchases. Exterior designing and style dominates in the North, while the West looks for acquisition costs as well as total running costs. The South in comparison looks for utility, is extremely sensitive on price and even considers opinions of friends and family before taking a purchase decision. The Vizisense New Age Shopaholics survey analysed the trends of users on group buying sites and saw West and South leading over the North when it came to online shopping. An eBay India study showed that South Indians were the most active buyers at the site at 41% followed by West at 27%. North seems more skewed towards offline buying. Divisions in the zones also reflect in reading habits. The National Youth Readership survey 2010 reveals that the southern region leads with 24% youth readers, followed by the west and east with 22%, the north with 13%, central with 12% and north-east with 7% readers. Food patterns are a very obvious differentiator across regions. For instance, mustard and soya oil is preferred in the north, sunflower oil is used commonly in the west and cottonseed/groundnut oil is used in the south.

Besides, there is a definite distinction in terms of the kind of advertising. Milward Brown studied nearly a thousand advertisements across markets in India and concluded that only one in seven had a pan-Indian appeal. Leading advertising agency Ogilvy launched a unique initiative Ogilvy Dakshin, in recognition of the marked differences in which North and South India perceived advertising and the observation that brands who were simply doing language translations were only spending money on further disconnecting from customers. By using local actors, dialects, songs, et al, Ogilvy Dakshin campaigns have successfully delivered visible growth for brands like Coke, Thums Up, Asian Paints & Fortune Sunflower Oil. One campaign worth discussing is the Fortune Sunflower campaign, since the brand was totally out of consideration for Tamil Nadu and Karnataka. The agency devised a series of campaigns showing south Indians confessing on their issues with eating restrictions and the advertisements talked about how having food cooked in Sunflower Oil was light and one could eat to his/her heart’s content. The campaign took Fortune Oil to number 2 in Tamil Nadu. The characters were so successful that the agency created a kind of serial (actually a series of ads with them). They also held roadshows that honoured women and gave them free snacks and had other entertainment activities. But the killer was the shuttle service they organised from one music sabha to another (Chennai has a plethora of these sabhas playing Carnatic music towards the end of the year). They distributed snacks cooked in Fortune oil in the buses, roped in caterers at these sabhas to use Fortune Oil and promoted all this through a media campaign. When you get that much into the local flavor, success can’t be far away.

MAKING CULTURE WORK

When it comes to success stories, there are in fact three broad categories that you can define – Indian companies successfully adopting regional positioning, regional Indian players becoming national/ global brands and MNCs leveraging regional diversity.

In the first category, one brand that comes to mind is The Times of India (TOI). Till a little over a decade back, the English daily market in India was broadly defined as TOI in Mumbai, Statesman in Kolkata, Hindustan Times in Delhi and Hindu in Chennai. It is said that changing newspapers is as difficult as changing your cup of tea/coffee. But within a few years, TOI raised the stakes with its invitation pricing strategy and became the leading English broadsheet of not just India, but also the world (readership of 7.47 million by June 2011 as per IRS). Its success mantra to a large extent was also customisation of content to suit local audiences. Rahul Kansal, CMO, Bennett, Coleman & Co., affirms, “Kolkata for example, is a group with a highly eclectic set of interests. So we have kept an eclecticmix of contents in our Calcutta Times. We may have, on the other hand, a far more Bollywood-oriented mix in some other markets like Delhi for instance; as I don’t think it is as wide (the readership orientation). Chennai is a city where even the English reader seems far more comfortable with his own traditions. The newspaper there reflects that.” Dabur is another instance, which successfully forayed into South India using local branding, marketing strategy and brand names. For instance, it renamed its ‘Dabur’s Lal Dant Manjan’ as ‘Dabur Sivappu Pal Podi’ (red toothpowder in Tamil) for the South Indian market. It launched Dabur Herbal Toothpaste in Kerala and Tamil Nadu due to their preference for Southern products and Dabur Shwaasamrit in Karnataka and Kerala as it provides relief from cough, cold and bronchitis that’s quite common in these regions. TV advertisements were also customised to provide a more rational appeal since that works more with South Indian audiences. Parle acquired Tops and the brand successfully took around 10% of the market in West Bengal & Assam in direct competition to a strong regional brand like Bisk Farm. It also took its Jhalmuri flavoured wafers national. Similarly, ITC launched Bingo Masala Chips for North India and then took the flavour across India. Local flavours in general do have a certain appeal across the nation. Apollo Tyres used the concept of diversity as well. Company Chairman O. S. Kanwar emphasised on this thus, “North Indian truck drivers tend to overload their trucks as compared to South Indian drivers. So we researched and developed different tyres for the two segments!”

When it comes to regional brands going national, the telecom sector is full of them. Bharti Airtel itself started from New Delhi and went into more circles across India and went global through a spate of acquisitions. The most recent case of a regional brand going national is Aircel. Till around four years back, it was limited to South India. With aggressive national intent, it launched simultaneously in eight new circles. Then it made a bid for 3G licences and did a national branding for itself by using Indian cricket team captain M. S. Dhoni. It has also brought customised offers for various regions. In Odisha, it launched the Rs.30p/min. call for STD from Aircel to any other operator and a balance transfer facility for its pre-paid subscribers in Odisha and unlimited free Aircel to Aircel calling in Bihar and Jharkhand for 30 days at a price of Rs.349/-. Its 3G services are now available across India barring 3 circles. The company, which had around 31 million subscribers by end-2009, crossed 50 million in January this year. Cavincare’s story is well known, which started from founder C. K. Ranganathan’s initiative of selling Chik shampoo satchets through bicycle vendors. He later took the brand to overseas markets like Bangladesh and Sri Lanka. Another instance is Amrapali Jewels, which started with one retail store in Jaipur. Rather than being conservative, they selected the most unique pieces of jewellery from across India and set up a luxury jewellery business, which has a presence across India and in UK, US, Sri Lanka, Spain & Nigeria (they designed the entire jewellery for the Hollywood flick Troy, which really launched them on the global stage). Waghbakri tea and MTR Foods are other instances of brands that leveraged their regional strengths to go national and global.

Some MNCs have also got equal to the task. Unilever’s India arm has understood it only too well after a number of setbacks from regional players like Wipro’s Santoor, Anchor Health & Beauty, Godrej’s No.1, Ghadi & Sasa. Now it wants to act like a regional player. An interesting instance is HUL’s launch of Brooke Bond Sehatmand tea, a tea they developed for the regional (more specifically rural) market with vitamins fused into each granule, positioning it as a health supplement. They further ensured that they customised tastes to regions, like catering to South Indian taste for strong flavours and dark colours. The Bharti-Wal-Mart venture, rather than go pan-India at the outset, decided to start with Amritsar in Punjab and then go further to North India with its cash & carry stores as it found the agri-rich state to be a lucrative starting point where it could start building a strong supply chain. Actually, the company strongly believes that supply chains have to be regional in India at least for now, since national supply chains aren’t so strong yet. Nestle’s Maggi has been a traditional success story of launching regional flavours from time to time and so has Lays from Pepsico.

There have been instances of failures or setbacks for major brands too, like HUL mentioned above. Wipro’s Santoor overtook Lux in south India while Godrej No.1 overtook Lux and Lifebuoy in the north in 2009. It’s amazing how Maruti, which is considered more apt for conservative and tradition loving customers, was not accepted too well in the South as it was perceived as a North Indian firm (south just accounted for around 20% of national sales till a few years back). Through innovative campaigns like the annual Dakshin Dare rally and launch of more economical diesel variants, the company claims to have improved its standing. Coca Cola faced a different kind of failure when it refused to acknowledge or appreciate local farmer concerns over water shortages in Plachimada, Kerala, and had to shut down its plant.

All in all, it’s time marketers understood the relevance of cultural diversity in India and bring it into this ‘4 nation’ framework. And like their environment keeps telling them everyday, they cannot rest at that, as they have to also then look at diversity within regions! Besides, the post-1991 generation, which accounts for over 50% of India, is confronting traditional values as well as getting exposed to modern, global ways of living. Not much research has been done on what kind of cultural orientations this youth market will display in the coming time and whether the diversity of previous generations will diminish or get stronger. Food for thought, isn’t it?

Thursday, November 17, 2011

MOVE OVER CRICKET, HERE COME THE CARS

We are a nation that lives and breathes cricket, yet many feel that they are now getting an overdose of it. The 15-20 year olds today do not identify so much with cricket. They want something different, something fast and something trendy. Formula One seems to be the answer.

CARS VS CRICKET FOR SPONSORS

Kingfisher went ballistic with the promotions of its beer at the Indian Grand Prix held in Noida last month. Airtel was the title sponsor of the event. It ended its sponsorship of the Champions League Twenty-20 cricket even before the three-year deal ended. For a nation that is obsessed with cricket and for a sport that dominates advertising in India, when a big sponsor like Airtel backs out, is it an indication that things are changing? Is cricket facing boredom? Is there oversaturation of cricket? Perhaps. Think about it, Neo Sports, the official broadcaster of the India-West Indies series gave a 40-60% discount for a 10 second ad spot; add to that the falling viewership rating of the sport and you have your answer. Today, advertisers are looking for big sports properties other than cricket. Agreed, cricket was and will remain a religion in India, but the youth wants something more, and F1 is the sport that’s fashionable to follow and appeals to the young and restless. In spite of initial scepticism, the inaugural Formula One race was a success. To the surprise of many, the 3-day event drew a crowd of 95,000 spectators on race day.

FORMULA FOR SUCCESS

When it comes to sports, India has never really left a lasting impression. Except for cricket, there is hardly any other sport where it stands out. When it comes to international sporting events, then most often we have been left red-faced. Take the Commonwealth Games for instance, which generated a lot of bad publicity for India, and showed us in shoddy light. In contrast, the inaugural F1 race was loved by all. Finally, an international event was executed flawlessly by India. With only private players and with no government support, the event did well.

It makes complete business sense to be a part of the Formula One event. It offers global reach to both sponsors and fans alike. F1 is a far more lucrative sport than cricket. It has a reach that is much wider than cricket. The Indian Grand Prix was telecasted to 550 million viewers in 200 countries. It provides a global platform to brands, which events like T20 cricket fail to do. Consider this, there is zero audience for cricket in major economies like France, Germany, Italy, Brazil and Russia. At the end of the day, it is imperative for any sport to reach out to more people and F1 has that mass appeal.

Today, growth in businesses is going to come from emerging market like Brazil, China etc, and cricket does not excite many of them. If a global sponsor has to reach them, he needs a sport like F1 with a more global appeal. Indian companies are going global too. Many of our home-grown brands are growing fast and becoming big players in the new emerging markets.

Bagging the ‘title’ sponsorship was definitely a big deal for Airtel. For a game like Formula One, where team title sponsorships are rarely available, this was a golden opportunity for Airtel. Being the title sponsor gives one the maximum branding presence. The advantages are huge. Petronas, the international oil and gas corporation, last year renewed its title sponsorship of the Malaysian round of the Formula One and will hold the rights till 2015. In fact, this year the championship will be known as the ‘Petronas Malaysia Grand Prix’ (just as the Indian one is known as the Airtel Grand Prix). Not only will the event give Petronas huge visibility and global appeal, but will position Malaysia as a major motorsport hub and tourist destination.

In fact, that is why it is so difficult to get the title sponsorship, and it is usually contracted for a minimum of five years. The big title sponsors of Formula One have been, Vodafone, Renault, Virgin, DHL, Etihad Airways and Red Bull.

Red Bull in fact is an interesting case study. The sports drink manufacturer has spent more than $600 million in the last five years on F1 sponsorships and has its logo emblazoned on two teams’ cars. It was worth the money and effort for last year Red Bull received more than four hours of ‘free’ television airtime during the first fifteen F1 races. No one even came close to that amount of coverage save LG (LG incidentally did not invest much in cricket in India this festive season in spite of being a key player in IPL 4). More than being seen, it’s also important to be seen in the right places and F1 is ‘the’ place to be seen at for everybody. No wonder the US company Gulf Oil, which believes in being at the right place at the right time, decided to make its presence felt at the Indian F1 too.

F1 is bigger in all terms. Be it the money involved, the viewership, or even the duration of the event , it beats all sports including cricket or football. Many sports events finish in a day. F1 is a three day event where the biggest of sponsors, the biggest of companies and the biggest of business leaders hobnob. It’s a sport of big monies. Delta 3 is a company that receives all its revenues from fees that TV stations pay to screen F1 as well as the fees paid by circuits and sponsors of the sport. Despite facing the worst recession in living memory, in 2009, Delta 3 saw its revenues grow 6.4% to a record of $1.1billion. Bernie Ecclestone the founder of F1 and the CEO of Delta 3’s ultimate owner Delta Topco sure knows what will work and he definitely has a winner in his hands.

F1 NEEDS ASIA

However, with Europe reaching its saturation, with France backing out from the GP, Bernie needs a new and thriving market. Add to this the fact that UK has abolished tobacco advertising, along with the European Union , that has banned tobacco companies from sponsoring or advertising within sporting events, leaving Marlboro (from the Philip Morris International group), one of the biggest sponsors of F1, looking for new places to advertise. In fact, Marlboro had to remove its logo from the F1 Ferrari cars due to this ban. However, so high is the advantage of being associated with this sport that neither Ferrari nor Marlboro want to end their association. So they have found a new way to get out of this tricky situation. The Ferrari cars now do not (or rather cannot) carry the Marlboro logo but they now carry a ‘bar code’ design which is exactly like the bottom of the Marlboro cigarette pack! The team, after all, has a contract with Marlboro till 2011 worth a total of $1 billion and the team’s official name even now is “Scuderia Ferrari Marlboro”. Seems like a tough association to break.

Though F1 was primarily a European sport, the last decade has seen a shift ,with half the races being held in Asia (Korea, Japan, Bahrain, Abu Dhabi, India, Singapore and China) as many of the Asian countries are moving from the developing to developed nation status.

For the F1 organizers too, it makes business sense. India is a big market andits middle class is finally getting introduced to global brands. India is on the fast lane today, with its trillion-plus-dollar economy, it is Asia’s largest after Japan and China.

If F1 has helped improve India’s image on the international stage (after the debacle of the CWG), then on the flip-side India is a market with a vast potential that cannot be ignored by F1. According to a survey conducted by TAM Sports, the Indian Grand Prix garnered six times more average TRPs (television rating points) than any other Grand Prix ever held. Bookmyshow.com in three hours sold tickets worth Rs.1.5 crores.

The sponsors for long have been investing in cricket and there seems to be a fatigue creeping in. With such excitement around F1 among the Indian audience, sponsors have suddenly found new avenues to advertise in and diversify their portfolio. Not surprisingly, Amul decided to sponsor the Swiss F1 team Sauber. The sponsors are slowly warming up to the idea as is visible from the number of local brands that have associated with the sport. Red Bull and Tag Heuer have been old loyalists of the sport, but now we have Reebok, Gitanjali, Lifestyle, JK Tyre and many others joining in.

The sport is here to stay and slowly but surely it will develop a strong foothold in this market too, and give cricket a run for its money.

Be it the viewers, or the sponsors or the organizers, suddenly everybody is talking about and is excited about a new player in town. Move over cricket, the cars are here!

Thursday, October 6, 2011

TO SELL YOUR PRODUCT, GO TO THE MOVIES!

Last month, a beautiful film named Dolphin Tale hit the theatres. Based on a true story, it’s a ‘tale’ about a dolphin without a ‘tail’. It’s the story about a young boy’s efforts to convince scientists to create a prosthetic tail for this dolphin named Winter , whose tail had got amputated. In doing so, he not just changes the life of the dolphin but also of the people around him. It’s a story of grit and determination. It made the audiences cry and the producers fly high – in North America, the movie grossed $14 million from Friday to Sunday. It opened at #3 but rose to the #1 spot in the second week, something not very common.

A GOOD STORY HAS THE POWER TO CHANGE ALL BOX OFFICE RULES!

Not just is Warner Bros very happy with the performance of the film, but so is ‘Clearwater Marine Aquarium’. This is the water-park in Florida where the movie was filmed, and Clearwater cannot thank its stars enough. Even before the movie opened, visitors to the water park increased tremendously. The impact of the movie has been so great that the aquarium is now spending $12 million in expansion including a new “Dolphin Tale” exhibit. The aquarium now also has a new website and calls itself “The home of Winter”.

The dolphin’s tale of survival has worked wonders for a lot of people and a lot of brands too, apart from the Clearwater aquarium.

It shows the little boy doing all his searches, not on Google but on Gigablast which calls itself the ‘leading clean-energy search engine’ as it uses wind energy to provide 90% of the power required to run its servers. The movie also features Dell laptops and a whole lot of other brands. Both marketers and viewers are more than familiar with this form of marketing. The trick is to do it intelligently so that it creates an impact and does not look tacky. There is hardly any big film released today without brands being an integral part of them. This medium is after all the most powerful of all and can do wonders for a brand.

THE POWER OF FILMS

Some products that have benefitted the most out of in-film branding have not just been ‘products’ but rather countries. Just as Clearwater Aquarium has benefitted from the movie Dolphin Tale, so have a whole lot of other places. After Lost in Translation was released, everyone wanted to go to Tokyo. Almost all of Yash Chopra’s films have worked as powerful advertisements for Switzerland. Hrithik’s debut film Kaho Na Pyar Hai was responsible for doubling the Indian tourism to New Zealand. The latest to hit the Indian box office, Zindagi Na Milege Dobara, will do wonders for Spain.

If there is one city that has been featured innumerable times in films , then it is New York. Every year, hundreds of films feature New York and the city understands the impact this has on its tourism. So the Mayor’s Office in New York offers free filming permits, police assistance and even gives you location advice if you want to shoot a film there. After all, product placement of the city will help both the parties – for if a film is able to capture the essence of a city on camera, then it becomes the most powerful promotional tool for the city.

James Bond films have been most famous for in-film branding. When the Aston Martin was featured in the Bond film Goldfinger, it was such a big hit that the company put it on its brochure. Product placement specialist Karen Sortito ensured that BMW’s new model Z3 shone as bright as James Bond in the film Golden Eye. In fact, the in film placement was so successful that not just did the sales of the BMW, Z4 skyrocket after the movie’s release, but Karen found a long line of brands waiting at her doorstep to help them get visibility. For the next Bond film, Tomorrow Never Dies, she could well rope in $100 million worth of tie-ups with brands like Omega, L’Oreal, Avis etc.

Your product might be good but it needs the right ‘image’ to stand out in the marketplace. It has to have a distinct personality which its buyers can associate with. In film branding helps it do just that.

If there is one company that understands the power of in-film branding, it’s Apple. Think of any hit movie and chances are you will find an Apple product. Be it blockbusters like Ironman, The Social Network, Tron, The Twilight Saga, 17 Again, Transformers, Cars 2 , Green Lantern, or Rise of the Planet of the Apes, Apple has been the constant star.

When it comes to product placement dominance, this brand leads. For more than three years in a row, Apple has been the most visible brand in films. This year, it featured in 13 films. The next visible brand is Chevrolet that featured in 9 movies. In 2009, it topped the charts by featuring in 19 movies; then, again in 2010, it ranked one, for it was seen in 10 films. The next in line on visibility in movies is Nike. It appeared in 8 films. There is no formula yet to calculate ROI but it’s clear that it pays to be in the limelight! The wine company ‘Clos Du Val’ ensured that it made an appearance in 100 films by simply sending the directors of the movies free cases of its wine. The winery reported an increase of 50 percent in its sales after this!

THE IMAGE GAME

Movies do influence our buying decisions. As Andy Warhol put it beautifully years ago, “It’s the movies that have really been running things in America ever since they were invented. They show you what to do, how to do it, when to do it, how to feel about it, and how to look how you feel about it.”

Once a brand is featured in a movie, it changes its image totally. The brand develops a personality of its own based on which star uses it in the movie, where it’s used and how it’s used. Think about it – if Pepsi succeeds in convincing Spiderman to drink Pepsi in the movie, I am sure it would defeat Coke, for every child would want it, to become like Spiderman. It’s all about personality. Be it politics or business, the one with the ‘coolest’ personality always outshines others. Movies develop an aura around a brand and give it a unique personality which helps it differentiate itself from competitors and win market share. Years ago, Morgan Spurlock made a documentary on McDonald’s, titled Supersize Me. In this docu, Morgan ate only at Mc-Donald’s for a month and showed how he gained weight and developed a whole lot of health problems, proving how dangerous fast food is. The film got everyone thinking, including McDonald’s which now has introduced healthier options in its menu. That’s the power of a strong image and nothing can get stronger than the images one sees on that huge screen in the movie hall. It creates the strongest of impressions. To prove how strong ‘images’ are, Spurlock made a documentary again which got everyone talking, yet again. The documentary was titled “The Greatest Movie Ever Sold” He shows the effect of product placement and advertorial tie-ups at the movies. In fact, the title of his film itself proves how strong an impact a movie can create. The full name of his documentary is “POM Wonderful Presents the Greatest Movie Ever Sold” and the pomegranate juice manufacturer Pom Wonderful paid him $1 million for the title. Morgan made his point even before one saw the first scene of the film. He says after seeing his documentary the public would change their whole perceptions about the movies.

Yes, the key word is perception. That’s exactly what movies build and once your brand is featured in a blockbuster, it will change the way the audience looks at your brand.

So if you really want your brand to become a star, you need to head for the movies, for that’s the place where stars are made.

Thursday, September 22, 2011

HEAL THE WORLD, MAKE IT A BETTER PLACE!

Early this month, Nike did something a lot of movie fans and shoe collectors were waiting for. It created the exact replica of the shoes worn by Michael J. Fox in the popular 1989 flick ‘Back to the Future’. He wore the shoes when he travelled to 2015 in the movie. 1500 shoes were put on e-bay for auction – they were sold out faster than one could imagine; the campaign has been evidently massively successful. This sneaker is getting Nike extra attention not just because of the ‘limited edition’ of the shoes but also because all the proceeds will be donated to the Michael J. Fox Foundation for Parkinson’s disease research. To top it all, Sergey Brin has pledged to match the donations made to the foundation up to the next year (to a maximum of $50 million). The shoes have been auctioned for anywhere between $3,500 to $10,000 with the British rapper Tinie Tempah even paying $37,500 for his pair! The purchase of the year did help Tinie jump into the spotlight, but this has kept Nike in the news too and for some good reasons.

Brands need to be in the news for the right things. When a brand associates itself with the right cause, it gets noticed and spoken about, and that’s where it has a chance to overtake its competitors. Hugo Boss released a campaign this month for its perfume Boss Orange. However it was not the regular ‘glamour shoot’ that most perfume advertisements are about; instead, it talked of development of schools in Madagascar. Boss Orange has donated $300,000 to the ‘Schools of Africa’ initiative and through this campaign, it hopes to help at least 60,000 pre-school children in Africa. It used celebrities Sienna Miller and Orlando Bloom to propagate the idea that ‘every child has the right to an education’ – and Boss, along with UNICEF, would help do this “Today. To Help. Together”. When Bloom was chosen as the perfume’s brand ambassador in 2010, he said he identified with Boss Orange immediately because “it had a laid back spontaneous quality,” much like he had. So while Boss and Orlando were working on giving the brand a distinct identity, associating it with a cause made it stand out.

When a brand associates itself with a cause, it changes the total image and reputation of the company. Research has proved that firms that are socially responsible are considered by consumers to have a good reputation. In a study done by British Telecom in 2002, as much as 25% of a company’s reputation was dependant on its commitment to society.

She was called the ‘Mother Teresa’ of the business world, because she believed in not just doing business, but doing it with some heart too. Anita Roddick never forgot the African women who shared their skin care secrets with her, which she used to make her creams and lotions for her cosmetics brand ‘Body Shop’. The key to Body Shop’s success was not just its interesting products but the numerous social causes the brand stood for. It played an active role in Save the Whales campaign in 1985; again in 1989, it stood behind the cause of saving the Brazilian forests; and again in 1990, it energetically supported the petition against testing of animals. These were some of the numerous causes that Anita Roddick and Body Shop fought for and her customers (the young women) just loved her for it. This dynamic woman breathed her last four years ago in September 2007, but she showed the world how business does not just mean a crazy obsession with profits, but also a crazy obsession with the society. Body Shop gave crazily and the more it gave, the bigger it grew – and Anita Roddick soon became the fourth richest woman in Britain in 1990. CSR is a powerful tool and cannot be ignored. With the youth of today having a greater and louder voice in purchase decisions, companies that look after the society find increased customer loyalty as they increase their commitment towards the society. Customer loyalty is the one factor all brands would give their right arm for, and socially responsible organizations get it, since the customers respect them, and the word-of-mouth around these companies is so good that customers perceive their products to be more reliable and of better quality. As a result, they are ready to pay a higher price for these products and feel good about it.

When Bono, the legendary singer of the rock band U2, launched his brand ‘Product Red’, he got himself some real heavyweight partners. From American Express, Gap, Nike, to Armani, everyone announced their range of RED products, the sales of which would go to Bono’s Product Red to help fight AIDS in Africa. These brands and their products instantly got a lot of buzz and shot to fame and Bono raised $140 million.

Marks and Spencer has found a cause that is close to our hearts... useless hangers! According to a survey, some 100 million hangers are thrown away and they take as much as 100 years to degrade. So in July this year, Marks & Spencer tied up with UNICEF to launch a new campaign, which urged customers not to take the hangers home when they bought clothes from the store – and for every such purchase, the company would donate 50p to UNICEF to help it transform the lives of some of the poorest children in the world. All people had to do was make a simple choice and it made them feel good about it. Isn’t branding all about making the customer feel good? When you undertake socially responsible work, you not just make the customer feel good but you also do good to the world.

From Oprah to Lady Gaga, everyone knows what a strong impact these activities have on their fans. When Japan was hit by the earthquake this year, Lady Gaga was the first to quickly offer the ‘We pray for Japan’ wristband and encouraged her fans the ‘little monsters’ to buy the band to help the country. In just two days the bracelets made gross sales above $250,000. It was Nike that started this craze for bracelets in 2004 when it teamed up with Lance Armstrong and came up with this idea to raise funds for cancer. No one in their wildest of imaginations thought this would become a fashion item as youngsters proudly wore their cause on their wrists! Till date, more than 70 million of these bracelets have been sold and millions of dollars raised.

Last year, Oprah took up the cause of distracted driving, an issue that has led to many accidents. Oprah asked her fans to fill up a “No phone pledge” form, where they would pledge to not text or call while driving.

What’s business without a little giving! And one such self-made businessman is Renzo Rosso, the founder of Diesel clothing company. His foundation ‘Only the Brave’ pledges to change villages in Africa and remove extreme poverty. He believes brands can be used to do a lot more than just being fashion labels. Business is not just about earning but also about giving.

SOCIALLY RESPONSIBLE ADVERTISING

Business is marketing and marketing is a lot about advertising. Not just our business vision, but our advertising also should be responsible. After all, it pays to be responsible. Last month, Nivea For Men launched an advertisement for its cream, which showed a short haired, black model tossing the head of a black man with an Afro-American hair and beard. That head represented his ‘before- Nivea self’. The ad ended with the caption, “Look Like You Give A Damn…. Re-Civilize Yourself”. The ad did not go down well with the viewers as it alluded that Afro-Americans were not civilized, and people decided to not buy Nivea if it believed in such racist stuff. Nivea realized its irresponsible behaviour and quickly posted an apology on its Facebook page and withdrew the advertisement.

Advertising is a potent tool and needs to be used very carefully. Cadbury too tread on the danger line when the ad for its ‘Bliss’ range of dark chocolates ran into slight trouble this year. The chocolate bars were promoted with a strapline, “Move over Naomi, there is a new diva in town”. The black model Naomi Campbell did not take it too well and said she found it insulting, hurtful and racist. The ads were pulled out and Cadbury had to apologize to Naomi.

A little bit of sensitivity goes a long way in building a strong brand reputation. With competition increasing and with the consumer confused about product quality, these are the cues on the basis of which a consumer builds a perception about your product. Marketers should be careful about their image.

SOCIALLY RESPONSIBLE EMPLOYEES

It’s been proved that employees who work in ethically and socially responsible organizations are more committed to it. The young are choosing organizations that show a commitment towards society and are ethical. Finally, employees are your first customers, and it makes business sense to keep them happy. They have the strongest influence on ‘word of mouth’ about your brand and your business.

Be good, be responsible. That is what will help you sustain in this highly competitive world. Let’s make a commitment to not just make profits but in our own way heal the world, make it a better place.

Thursday, September 8, 2011

CRAZY AND LOVING IT

Early this month, the UK Daily Telegraph ran a strange story that went like this: “Domino’s Pizza has announced plans to conquer the final frontier by opening the first pizza restaurant on the moon”. As expected, the story became the most read story in the newspaper and got people talking. Some even smiled and wondered if its “free if not delivered in 30 minutes” rule would be applicable for this branch! Domino’s is known for its wacky marketing and this one got everybody talking. You need to get noticed if you want to stay on top of the consumer’s mind. There is too much of clutter and only the ones who dare to be different stand out and lead.

A few years back (1993), D.C. Comics released a comic book The Death of Superman. A character that had been a part of our lives for decades (Superman was born in 1938) would suddenly be no more – this created a ripple and the media covered it almost as seriously as if a head of state had passed away. As expected, the comic book sold out on the first day itself. Numerous other issues were released after this and eventually the company came out with another iconic issue, which was titled Return of the Superman. Just when D.C. Comics found the interest of the customers falling, it decided to get the excitement back into the brand by announcing the death of its most popular character! It worked.

BEAT BOREDOM TO BEAT COMPETITORS

You need to keep the excitement levels up to retain interest. Be it business or be it personal relationships; if things get stagnant, the relationship starts to falter. You may have a popular product, you may have the best quality product too, but if it gets boring, it is doomed.

Beating boredom was a challenge that these brands had to overcome. One was Ariel. A detergent is not a very interesting product category but Ariel did some interesting stuff, which got people talking about washing. At the Stockholm railway station, it set up a glass box which had clothes revolving on a stand. In front was a robot which squirted out chocolate, ketchup, jam etc. The game was, if you managed to aim well and stain a cloth, it would be washed then and there with Ariel and given to you for free (of course, stain free). The best part was that you could play this game on Facebook too! Washing suddenly became fun and got people talking about it.

So when the movie Green Lantern was about to be launched in Brazil last month, the moviemakers thought of an interesting idea. They put green LED lights on bicycle tyres and when the wheels started spinning, the lights made the logo of Green Lantern on the wheel, along with the release date of the movie. It caught the attention of the young viewers who found it cool, apart from making the cycles more visible to car drivers… which was an added bonus!

Apart from giving a good product, give people something to talk about, give them a good story and it will sell your product more. Marketing is not a one-time activity; rather, it’s a continuous process and many a time, doing something out of the ordinary just works like magic. Amazon.com has launched a new feature on Kindle (its e-reader). While reading a book, you can also send tweets to the author of the book and ask him questions. His answers will come in your e-mail. It just makes reading a bit more interactive and fun!

After all, you need to break the monotony and do different and interesting things to remain relevant. Throughout history, great entrepreneurs have not just worked on making a good product, but also on finding interesting and engaging ways to inform the public about them. Many of these stunts today have become historical events. When newspaper publisher Henri Desgrange started a bicycle race to promote his newspaper, he never in his wildest imagination thought that it would be the world’s most awaited bicycle race. Tour de France, started more than 100 years ago, today promotes a whole lot of brands and is one of the most loved events. Similarly, when Atlantic City wanted to attract tourists to its city, it thought of a novel idea of starting the Miss America Pageant in 1921. The event has snowballed into a big show watched by millions even today. Pillsbury launched its Pillsbury Bake-Off as a one time event never knowing that the idea would be such a hit that this would become its annual event. Even today, the event has not lost its popularity.

Many of these ideas are simple and not really expensive, but they work – much like some low-budget movies that work in spite of being made in a simple manner. This one gave Hollywood its famous star apart from five sequels. The movie in question is Rocky, inspired by Chuck Wepner’s fight against Ali, made on a small budget of $1000,000 the movie broke all expectations and records as it became a super hit and grossed $225,000,000!

SOUNDS CRAZY? IT WORKS!

In the 1990s, National Mutual (now a part of AXA Group) became very successful selling life insurance policies via mail. The company was doing very well and then one crazy young guy thought of offering a torch or a travel clock as an incentive. Everyone thought it was ridiculous; after all, people were taking a very important investment decision and these petty incentives would not change anything much. Nevertheless, the company went ahead with it. This crazy idea brought about a 37 percent increase in response rates!

If women can have a ‘walk-in’ closet in their homes, then why can’t boys have a ‘walk-in fridge’? Heineken Beer worked on this crazy idea and in 2009 released an online video where, in one part of the house, the girls jumped and shrieked at the sight of the hostess’ new walk-in closet, the guys in the other room freaked out at the sight of the ‘walk-in fridge’ lined with chilled Heineken! The crazy idea gave people something fresh and different to talk about and made it stand out vis-à-vis its competitors.

To promote dental hygiene, Colgate decided to make the sticks inside an ice cream bar in the shape of a tooth brush. As the child finished the ice cream, he saw the toothbrush shaped stick with a reminder, “Don’t forget”! Mothers loved it and the company got a huge PR boost.

They may sound crazy but some wacky ideas just hit the imagination of the customers – and they love it, making your brand the most talked about and remembered.

In today’s world, when it’s nearly impossible to decide rationally which product to buy solely on the basis of its attributes, it becomes absolutely necessary to ensure that your product is marketed differently and retains its freshness, is talked about and remembered.

CRAZY BUT DISASTROUS

Paramount Pictures came out with a novel way of promoting their movie Mission Impossible. They teamed up with the newspaper Los Angeles Times and selected some 4,500 newspaper boxes. Every time the customer opened his box, the theme song of the movie would start playing. The problem was that the device which played the music looked like an explosive with red wires sticking out. It terrified the unwitting customers. Some got scared and called the bomb squads, while one actually blew up a news rack and caused quite a ruckus before people realized what it was all about!

Every book that Oprah Winfrey used to talk about on her talk show became a bestseller. So Pontiac decided to use her popularity to market its cars. It teamed up with Oprah and one day all the audiences on her show got a free Pontiac. It did create a lot of buzz as everybody talked about Oprah’s generosity of giving a car to her audience; but not many remembered the brand; add to that the anger of the people who received the free gift when they were asked to pay a huge tax for it. The idea crashed. Some crazy ideas may actually be crazy. Implement them with caution.

THINK DIFFERENT

It pays to think different. As Bob Thacker of the company OfficeMax says, “Don’t make ads. Make news.” This philosophy has ensured that he spends much lesser in advertising as compared to his competitors but always catches everybody’s attention, in spite of his business being most boring. An office supply store may not be interesting but its marketing can be. During Christmas, it created a website that allowed customers to turn themselves into elves. “Elf yourself” became a hit with people sending their animated ‘elf’ avatars to their family and friends. It got 17 million unique visitors in the first year (2007) and the idea still works!

Quoting from the very famous ad of Apple, which marked the return of Steve Jobs, “Here’s to the crazy ones. The rebels. The troublemakers. The ones who see things differently. While some may see them as the crazy ones, we see genius. Because the people, who are crazy enough to think they can change the world, are the ones who do.”

So go ahead and let go, fear not to do the crazy stuff, your crazy idea could change the world!

Do not worry if you are different. Say it with pride, “I am crazy and I love it”.