Was reading Santosh Deasi's 'Mother Pious Lady Making Sense of Everyday India, and thought that I should share something about the book. This is not a formal review per se, but more of the first-cut thoughts on the book, which I am doing because I have liked the book immensely and want others to read it..Wednesday, May 26, 2010
Mother Pious Lady- The book on Understanding India
Was reading Santosh Deasi's 'Mother Pious Lady Making Sense of Everyday India, and thought that I should share something about the book. This is not a formal review per se, but more of the first-cut thoughts on the book, which I am doing because I have liked the book immensely and want others to read it..Sunday, May 23, 2010
Indian Mobile Handset Market - Smaller Players Making a Dent!!!
It is predicted that India will have a mobile subscriber base of 1.159 Billion by the end of 2013 and become the world's largest market, from the currently fastest growing. For one who has seen the growth of the market from close quarters (though more as a consumer..) it has been a industry which has come from nowhere and gone on to become huge, though the scene on the service providers front is not very rosy especially looking at the future and the fact that the call rates are among the cheapest in the world make the life even more tough for them.But what has surprised me in the recent times, is the emergence of strong local players in the Handset market. The structure of the market is very clear, you have a dominant player in Nokia with more than half of the market under its belt and then you have a host of players jostling for the second place. And we would have cover stories devoted to players who would gain 1-2% market share to become the number two player in the market. Just to give you an idea of how competitive the market is, 28 new vendors have been added in a space of one year. So in such a competitive market how easy or difficult is it for a new player to gain market share???
There is a detailed story of How MicroMax Mobile did it in Business Today. The story goes on to tell how Sharma who founded the company saw two features battery life and signal reception being the ones which were the number one priority for many of the low-income consumers, and capitalized on the opportunity. Now this insight is not something for which you need McKinsey's study???
It was not that the emergence of these local vendors was something which happened overnight, they were making their presence felt through local ads, and I could see many people slowly buying them, like my gardner has recently brought a Lava phone. But it was this IPL which brought the focus, with many of them capitalizing on the opportunity to highlight their brands..
We have known about the first mover advantage, though the evidence on the advantage is not very clear, but it seems intuitive that if there is a gap in the price-value equation it should be the existing players who should be able to see it first and capitalize. I can understand when it happens along with a shift in the technology, but....
But it definitely provides a lot of food for thought smaller players suceeding in an extremely competitive market. And the mobile handset market is only going to become more and more crowded with time, and success of MaxMobile is only going to add to the rush...
Thursday, April 29, 2010
Wednesday, March 31, 2010
Indian Post and the Internet generation...
Postal services across the world are fighting for their survival, under the combined impact of technology and market savvy courier service agencies. And many of them have made attempts at stemming this decline by doing a re-branding exercises to transform themselves and emerge in a new avatar...Tuesday, March 30, 2010
Simply Fly - Captain Gopinath's Story
The story of Air Deccan is something which is close to many of us, it in a way symbolised the impact of liberalisation on the common man. It was with this curiosity of getting an insiders view into the story of Deccan Air that I eagerly picked up the book 'Simply Fly', though most of my expectations were met , then I wouldn't say I was fully satisfied. I would start with the reasons why I was not happy, then look at the positives, which outnumber the negatives.Wednesday, March 3, 2010
Save Our Tiger Aircel Campaign - Leveraging CSR
"Save our tiger campaign" is one more of the recent campaigns which has generated a lot of buzz . The interest is because it has managed to touch consumers emotionally on the issue of saving our national animal. My interest is more in the CSR angle to the campaign, as it is a campaign by Aircel in partnership with World Wild Life Fund. Actually there have been many more campaigns in the recent past which have tried leveraging social issues to work in favor of their brands, and the Tata Tea Jaago Re Campaign would top the list. Others which come to my immediate memory are, Idea trying to leverage issues like saving trees and 'walk-when-you-talk', Nokia and old mobile...Monday, March 1, 2010
Rin Vs Tide ad, ethical ?
Not that sort of comparison has not been done at all , Complan vs Horlicks ad controversy is still fresh in our minds. Many years back it was pepsodent versus colgate ads (but even then no direct mention of brands), and it is said that it took the marketing heads of both the companies to sit together to end the money being wasted on comparative ads.
But at a very fundamental level, marketing as an activity which is 'relative', firmly anchored against competition , be it USP or differentiation the point of reference is competition. And what has been happening till now is that companies avoided directly naming the competing brand , but use a similar coloured or looking product in their ads. But in the Rin ad the line has been crossed and HUL has very clearly shown the competing product. And people like Harish B who writes a popular blog on Indian brands, observed that by naming Tide in the ad directly 75% of the time in the ad was devoted to Tide than Rin. Link for more on his post on the issue.
On the legal front praveen , points out the small disclaimers during and at the end of the ads, should help HUL's case in the courts, but then raised the question of why such an ad in the first place. Now that P&G has gone to the court against the ad, other resort would be to go to ASCI , the body which looks into these kind of issue, but it is more of recommending agency, with no regulatory authority..
On the issue of whether it is right or wrong, ethically yes, we question the ad, but then how right or wrong is it to use a similar looking product without actually naming the competitor? or other forms of comparative advertisements that we have been seeing. But as they say too much of anything is bad, even too much of attention or focus on competition is also bad as in the process you might lose focus on your own customer???
Lastly an observation on the maturity of the blogsphere in India, there are more than 5-6 blog posts on the issue , since the ad was aired, so I thought I should also jump into the discussion :). There are discussions going on the issue on facebook, twitter and other social networking sites ...
Sunday, February 28, 2010
Rural Marketing Videos
Part One - A reality check in rural markets of Punjab, link
Part Two - Rural Immersion for Top Management at Godrej, link
Part Three - Experiences of Airtel, M&M and Hero Honda, link
Saturday, February 27, 2010
Moving beyond sachets to products for rural masses
In the recent past Nestle and GlaxoSmithkline Consumer Healthcare (GSK) have launched products that have been exclusively designed for rural. GSK's Horlicks Asha is — a low-cost variant (40 per cent cheaper than Horlicks) for rural markets only. Asha tastes slightly different and is priced at Rs 85 for a 500-gram pouch pack -– close to half the price of the original. And Nestle has launched Rs 2 and Rs 4 products — Maggi Masala-ae-Magic and Maggi Rasile Chow, meant for rural/semi urban markets to provide low-cost, light meal fortified with iron. There have been more attempts of these kind earlier , but they have been more part of a CSR initiatives, but companies like GSK and Nestle are looking at these products as profit making intitaives. More towards the BOP than the Social Business philosophy.....
A few more examples which would fit in would be 'Tata Swach' the low cost water purifier launched by Tata. For more refer the post @emergingfutures on swach . Even Tata Magic would fall into the same category...
Hopefully with this we can see many more similar initiatives in the future .
Wednesday, January 27, 2010
Moving on to the Mc and Pizza Generation
I was watching a small kid , not more than three year sitting on a typical stool in a McDonald's restrurant, waiting paitently for the Happy Meal being brought by father. The photo above was taken there which shows that the place is almost full, and the fact is that a large number of these customers are young kids who are coming more and more regularly to these joints . With almost 20 years after the first reformist budget we can see the impact of opening up of the economy, for many of these players have done the waiting period and will plan for rapid expansion in the next decade.

