A Seminar on BRAND-BUILDING ADVERTISING Please use the CD in the FCB-Ulka Brand Building Advertising Cases book for the advertisements and TV commercials needed for the Seminar. Posting them on the site would have made the download slower.
Seminar Structure Part I : Branding concepts Part II : Brand-building Advertising Part III : Consumer Products Part IV : Consumer Durables Part V : Services Part VI : Corporate Brands
Seminar Part I Branding Concepts
What Is a Brand? A service A packaging
A logo A product
A country
A person
A shop
Brand = Product + Images
More than just the product or the service
Add the intangible images that come to mind
Add the usage occasions that come to mind
Add the user imagery that comes to mind
Brand = Values + Added values
Brand-building : The Focus
Not just a one-off exercise
Continuously track brand appeal, brand image with target consumers
Keep re-looking at all the aspects of the brand to keep it relevant and attractive End purpose : Attract and Retain customers
Understanding Brands : Aaker’s Model Extended Core Brand Essence
• • • •
Brand as Product Brand as Organization Brand as Person Brand as Symbol Value Proposition (Emotional/Rational/Self-expressive) Credibility (Support / Proof / Story )
The Kapferer Brand Identity Prism PICTURE OF SENDER Physique
Personality
EXTERNALISATION
INTERNALISATION
Relationship
Culture
Reflection
Self-Image
PICTURE OF RECIPIENT
Brand-building Advertising Seminar
Self-test -1 Brand: Amul Draw Aaker’s model Draw Kapferer’s prism
AMUL : Aaker’s Model Extended Core
Pride Value
Available
Brand Essence:
Taste
Milk Quality
Indian
Variety Food
AMUL : Kapferer’s Prism Physique : Taste, Quality
Relationship : Sociable
Reflection : Value Oriented
Personality : Simple, Indian
AMUL
Culture : Co-operative, Sharing
Self-Image : Proud Indian, Fun loving
Brand-building: The Steps Determine the current image with consumers Define the desired image Identify focus areas for action •Product development/innovation •Packaging/delivery systems •Advertising/promotions Implement action plan with a monitoring programme Feedback to action plan
Seminar Part II Brand Building Advertising
Objective of advertising
“Build the business today and build brand value overtime”
All advertising has to pass through this objective test
How does Advertising build Brands? Building brand salience •
TOM
Unaided awareness - aided awareness
•
Building brand appeal • •
Intention to try
- trial
Reinforce usage - increase usage Building brand imagery
•
Usage imagery
- user imagery
Building Blocks for Brand-building Advertising I Market analysis Size, volume, value, growth, geographic, seasonality
Consumer analysis •Size, demographic, geographic •Usage, depth, width
Brand
Company analysis •Size, profitability, •distribution, technology
Competitor analysis Size, profitability, strengths, weaknesses
Building Blocks for Brand-building Advertising II Market analysis + consumer analysis + company analysis + competitor analysis Marketing objectives
Sales, market share, profits Marketing strategy
Product, pricing, distribution, service, packaging Advertising & sales promotion
Advertising objective Awareness, salience,Image, attitude
Advertising strategy Creative strategy,Media strategy
How Does Advertising Work I Classic Hierarchy of Effect Model Purchase Conviction Preference Liking Knowledge Awareness
How Does Advertising Work II
Hierarchy of effect model tends to assume that advertising works the same way for all product categories
Work on understanding Consumer Behaviour revealed that advertising would work differently for different products
Several new models were developed in the eighties and the nineties
One such model was the FCB Grid •
The Grid categorised products as –
High involvement Vs low involvement
–
Thinking Vs feeling
How Does Advertising Work II FCB Grid High involvement Consumer is involved with the product category; identifies with it and often takes time to decide which brand to use E.g.: TV, car, perfume, clothes, insurance (?)
Low involvement Consumer is not involved; tends to see the utilitarian values of the category; routine/quick decision making E.g.: detergents, fuel, flour, mobile service (?)
How Does Advertising Work II FCB Grid Think Vs feel Think Consumer decides using his head : ‘Rationality’ drives the choice of product/brand
Feel Consumer decides using his heart : ‘ Emotionality’ drives the choice of product/brand
Advertising to fit FCB Grid requirements THINKING I) INFORMATIVE HIGH
FEELING II) AFFECTIVE
LEARN-FEEL- DO
FEEL-LEARN-DO
III) HABITUAL
IV) SATISFACTION
DO-LEARN-FEEL
DO-FEEL-LEARN
INVOLVEMENT
LOW INVOLVEMENT
Category Differences Consumer Products
Consumer Durables
Services
Corporate
Lower values
Higher values
Indeterminate
No value
Frequent purchase
Infrequent
Indeterminate
Variable
Narrow/Broad Target customer
Narrow Target Customer
Variable
Very wide/ variable
Role of advertising in brand-building will tend to vary with category type
Brand-building Advertising Seminar FCB Grid - Self-test 2 Thinking
Feeling
High Involvement Low Involvement
Plot: car, TV, detergents, perfumes, flour, clothing, insurance, mobile
Seminar Part III Consumer Products
Consumer Products : What are they?
Low value, repeat purchase, ‘consumption’ products
Male target : Cigarettes, soft drinks, colognes
Housewife: Soaps, shampoo, cooking oil, detergents
Teenagers: Soft drinks, confectionery, stationery
Repeat usage/purchase: everyday, every week, every month
Consumer Products : Types Often low involvement, routine purchase or impulse purchase
Some consumer products could be high involvement Perfumes, Cigarettes Health aids, Baby foods
What is the consumer issue facing the brand? •
Poor awareness leading to poor trial
•
Poor repeat usage after high trial
•
Lack of desired image perceptions
What is the key task? Attracting new users Retaining existing users
Consumer Product Purchase Behaviour 1
Who decides, who buys, who influences •
Map the key influences in the purchase process
•
Example –
Toothpaste : Housewife (decision maker) Kid (influencer)
Consumer Product Purchase Behaviour 2
Limited level of information search by consumers
Often a routinised purchase or an impulse purchase
Extended problem solving only in the case of innovation –
Cream for ‘foot cracks’
Consumer Product Purchase Behaviour 3
All India Household Category penetration Soaps
99%
Washing cake
93%
Toothpaste
44%
Hair oil
77%
Analyse by SEC, Urban/Rural, Per Capita, CDI /BDI
Consumer Product Life Cycle : What stage is the product ? Introduction / Growth / Maturity / Decline
Role of Advertising
Fitting into the AIDA / hierarchy of effects model •
Awareness
•
Interest
•
Desire
•
Action
Going beyond : using product category information ; learn - feel - do ? •
Giving users the desired image messages
•
Attracting nonusers to the brand
Brand-building Advertising Seminar Self Test 3
Consumer panel data shows the following: aaaabaacbabcbabbb •
a, b, c are three brands
•
Draw three inferences from the data
•
What should be the role of advertising for Brand ‘a’ ?
Santoor : A Case of Mistaken Identity
Santoor : A Case of Mistaken Identity
Launched as a ‘Sandal + Turmeric’ soap by Wipro in 1986
Attractively priced and a good product offering
Conceived as an affordable soap with the goodness of Sandal
Till then sandal seen as a high value ingredient only available in Mysore Sandal soap
Vicco making a success of sandal + turmeric cream
Santoor : Phase I Promotion
Advertised as a ‘sandal + turmeric’ soap
Offering “age old beauty secrets of India”
Price flagged off at the end
Traditional imagery of woman in sari, temple, sandal paste
Santoor : Phase I Results
Brand attracted decent volumes : 2,500 tonnes
Got a core group of ‘Value oriented’ consumers to try and remain with the brand
But growth stopped in Year 2
No new users coming into brand !
Santoor : The Challenge
Need to retain the traditional users
Need to rapidly attract new users
Need to provide image values that will build the brand for future growth
Santoor : The Brand Interrogation
Sandal and turmeric traditional beauty aids in India
What are their roles in skin care?
Searched literature for finding how sandal and turmeric are useful for beauty care
The Secret: Skin Care •
Both are great skin care aids
•
In fact help reduce wrinkles and impart a youthful glow
Santoor : The Ingredient Vs The Benefit
Santoor selling ingredients to a set of believers
But not many knew of the benefits the brand and its ingredients offered
Why not move away from ‘ingredient’ based advertising to ‘benefit’ based advertising?
What if the core users moved away thinking the brand has changed?
Santoor : Finding the Balance
New advertising needed to present the brand in a new light to attract new users
But old users should not get alienated either!
The answer : Benefit based advertising rooted in the ingredients
“Santoor cares for your skin because it contains the goodness of sandal and turmeric”
Santoor : Skincare to Younger Looking Skin
Skin care, too broad an offer
Narrowed down to younger looking skin •
Based on product interrogation
Delivering the younger looking skin story •
“Mistaken identity”
•
A common occurrence
•
Based on a consumer insight
Santoor Press Ad
Santoor TVC : Book shop
Santoor TVC : Marriage
Santoor TVC : Aerobics
Santoor : The Growth Path
New advertising broke in 1989 - the brand sales have climbed consistently over the last 12 years
Santoor has outperformed the market constantly
Built a brand without •
Mega media budgets
•
High-power sales force
•
Major technological innovations
Brand-building Advertising Seminar Santoor : The Challenges Ahead - Self Test 4
What should be Santoor’s next moves in building a strong brand? Brand Extentions Advertising Promotions
Captain Cook Atta - Farmer to Home
Captain Cook Atta - Farmer to Home
Captain Cook Salt launched in mid eighties
After a few false starts established a strong hold in the market against Tata salt with the “free flow” feature
Captain Cook brand seen as an aggressive, combative, young brand
Plans on to extend Captain Cook to other food products
Captain Cook Atta : The Kitchen Story
Atta primarily bought as grain and milled at a local “chakki”
Housewife uncomfortable with packed branded food products
Suspected a loss of control over the cooking process
Also suspected ingredients, process, additives
Captain Cook Atta : Atta - the Centerpiece
Housewife derived self-worth from the appreciation of cooking from family members
Atta seemed to be critical to the cooking process - a major concern area
Most households were into buying grain carefully and getting it milled
Very low penetration of packed branded atta
So a problem with many dimensions!
Atta - Problem Dimensions
Atta - critical to cooking
Atta rarely bought in packed form
Ingredient of atta critical to final product
Low faith in packed food products
Unwilling to give up control over cooking
“Loss of control” - a fear
“Fear of taste back lash” - another fear
Advertising Tasks
Create awareness of the new offering ‘packed branded - atta’ from captain cook
Build conviction to try the brand by addressing key consumer concerns
Captain Cook Atta : Key Trigger
Consumer research revealed that •
Quality of grain is key
•
Consumer suspicious of quality of grain
Will the consumer try the new offering if convinced?
Captain Cook Atta: Sugar-coating
How to make the story even more credible?
How to break through the consumer apathy and incredulity?
Captain Cook: Storyline
Make the brand protagonist an expert •
Create disbelief in taste of atta •
A farmer’s wife Consumer’s current mindset
Build and anchor the story around one key issue •
Quality of the grain
Captain Cook: Media Thrust
Focussed inputs through TV medium with long format TVC
High impact, long burst of TV advertising
Supported with only outdoor medium
Captain Cook Atta TVC
Captain Cook Poster
Captain Cook : Impact
Captain Cook Atta virtually created the branded atta market
Moved consumers from ‘grain + chakki’ orientation to packed brands
High trial rate and reasonable retention attracted attention of the food majors
Leading to a boom in the branded atta market
Brand-building Advertising Seminar Captain Cook Atta: Self - Test 5
What would have been a more brand focussed message ?
Will the advertising done in 1996 work in 2002 ?
Seminar Part IV Consumer Durables
Defining Consumer Durable
Unlike consumer products (FMCG) which are ‘consumed’, a consumer durable is ‘used’ for extended periods
Since it is used and for long periods, the consumer tends to look at them differently
Consumer durables could be: •
High value: washing machine, car, scooter, TV
•
Low value: ceiling fan, mixer/grinder
Key Differences Consumer Product - Relatively low value
Consumer Durable - Relatively higher value
- Repeated purchase every - Infrequent purchase every week/month five years + - Routinized purchase - Extended problem solving behaviour purchase - Less persons involved in - More persons involved in purchase purchase - Less information sought - More information sought - More emotional decisions - More rational decisions
Types Of Consumer Durables
The more expensive more complex durables •
Cars, TVs
•
Call for more information, more search
Less expensive, less complex durables •
Sewing machine, steel cupboard
•
Call for less search
Complexity of purchase will also be dictated by the SEC of the consumer: •
Two wheeler Vs car
•
Mixie Vs cooking range
•
Fan/air cooler Vs air conditioner
Seasonality of Consumer Durable Purchase
Often consumer durables account for a large part of the household income: •
Car = 12 months income
•
TV = 1 months income
Purchase is planned out over a long period of time
Specific seasonal peaks •
Diwali : All durables
•
Pre-summer : ‘Cooling’ aids
•
Wedding season : All durables
•
September/March - Depreciation benefits
Sources Of Information
Extended search of information hence many sources of information: •
Word of mouth
:
from other users of the product/brand
•
Dealers
:
sources of deep knowledge
•
Experts
:
mechanics/service engineers
•
Advertising
:
mass media - press, TV
•
Literature
:
comparison across brands/models
•
Internet
:
In US 40% all car buyers use the net for information
Unlike consumer products many more sources are used for collecting, analysing information before a purchase decision is made
Key Areas Of Enquiry
Product oriented
Service
•
Key features of the product
•
After sales service set up
•
Models available
•
Installation and maintenance
Pricing •
Price comparison across models
•
Financing options available
Availability •
Dealer points available
•
Reputation of dealer
Running cost •
Fuel consumption, electricity consumption
A brand reputation •
Reputation of the brand
Indian Consumer Durable Penetration All India Household Penetration of key durables: Washing Machines
2.7%
Refrigerators
11.1%
Two Wheeler
4.7%
Cars
0.5%
Mixie
17.0%
Analyse penetration by Urban / Rural, SEC, Town Class, Region, etc.
Advertising Issues For Consumer Durables
Increase penetration •
Sell category benefits
•
Offer ‘value’
Increase ‘upgradation’ •
Sell higher-end features
•
Offer ‘style’
Increase per-capita usage •
Sell special ‘niche’ features
•
Offer special benefits
FCB Grid For Durables
Durable by definition are high-involvement
But are all of them rational/think?
Or is there an emotional touch?
Should all consumer durable advertising be highinvolvement - think focussed?
How To Advertise
Depends on the type of durable, the target audience, the features offered, the competition
Emotional touch will work if - features are all similar, competition high, consumer is not rational in purchase
Features based appeal if - brand offers unique features, competition is not in a position to match
Benefit based appeal if - brand model offers unique benefits (quick ice), not yet capitalized by competition
Role Of Advertising
Consumer durable advertising cannot ‘sell’ the brand since purchase is often complex
Advertising to
•
Create awareness
•
Disseminate information
•
Build conviction
•
Drive visit to dealers for –
Enquiry
–
Demonstration
The final sale is clinched at the dealer showrooms
Role Of Advertising
Often advertising’s job is to get the brand into the consumers CONSIDERATION SET
Entry into consideration set will make the consumer seek and analyse more information about the brand/model
Build conviction of current users to reduce post purchase dissonance
Aid word-of-mouth and positive ‘buzz’ about the brand
Brand-building Advertising Seminar FCB GRID for Durables - SELF Test 6
Plot :
21” colour TV
Ceiling fan Car Steel cupboard Scooter Computer
VOLTAS - MEGALAUNDRETTE: Making Impossible Possible
VOLTAS - MEGALAUNDRETTE: Making Impossible Possible
Mid 90’s - Indian consumer discovering washing machines
Decrease in excise duty making washing machines more affordable: “Do you want us to be known as a country of maids?” –
Influx of over 25 brands: •
Prime minister P V Narasimha Rao
Videocon, TVS Whirlpool, Maharaja, IFB, BPL, Godrej, National
The market getting overcrowded in a very short period
Voltas - Entry
Voltas : Top three refrigerators manufacturer
Keen on expanding portfolio and use the manufacturing and distribution network
Washing machine identified as the category to consider
Technical tie-up with Samsung for import of key components
Positioning
All washing machines claimed:
“Whitest wash” “Quickest wash” “Easy wash”
Some were using jargon to sell better cleaning: “Turbo clean”, “Pressure clean”, “Hand wash clean”
Understanding Consumers
Indian consumers traditionally used to give clothes out to laundry for washing
Influx of detergents and washing machine had reduced outside help to only ironing and dry cleaning expensive clothes
Expert cleaning still seen to be outside the home domain
‘Laundry’ cleaning seen as the ultimate
Voltas Washing Machine
The range positioned as the “LAUNDRETTE RANGE”
Voltas Launderette offers “laundry level of cleaning”
Thus moving out of the confines of the white, quick wash offered by other brands
The brand launched with a range of machines under the umbrella
Quandry: which model to promote?
Product Interrogation
Examined all the models offered by Voltas and all other Indian brands
Analysed all the claims and offers made by Indian brands
Looking for a distinctive promise that is relevant, believable and unique : The RUB TEST
The Different Differences
Voltas offered a large capacity washing machine - not matched by any other brand
Large capacity seen by Indian marketeers as just a size offering without any real value
Can size be the differentiator?
Indian families are large
Clothes tend to get dirty everyday and need to be washed
Can size be offered without diluting the key benefits of washing clean?
Voltas Megalaundrette
The brand name Megalaundrette - coined to reinforce size and ‘laundry clean’ cleaning
The promise: The biggest size in its class
The benefit: more clothes can be washed at one time - as required by large Indian families
The Campaign
TV commercial built on the incredulity of a home situation where many clothes are washed at the same time
A humourous jingle based TVC that drove home the size advantage
Without showing dirty clothes or washing
Yet giving a clean look to the brand
Voltas Megalaundrette TVC
Voltas Megalaundrette Press
The Result
Voltas Megalaundrette was primarily promoted through TV with dealer support material that played back the TV message
Voltas saw a huge income in dealer traffic - the third most enquired brand for the campaign period
Voltas Megalaundrette advertising entered advertising ‘hall of fame’
Brand-building Advertising Seminar
Voltas - Self Test 7
Is it possible to identify two more such non-primary benefits for promoting washing machines?
GODREJ Storwel - Treasuring Memories
GODREJ Storwel-treasuring Memories
A heritage brand that is over 50 years old
Origins of the brand date back to the days when Godrej used to make ‘safes’
Storwel product conceived as an affordable safe for keeping the family valuables
Godrej pioneered the product category and sold it through exclusive showrooms
Changing Consumer
The need for ‘safes’ saw a decline in the 60s and 70s with banks taking the role of safe keeping
Godrej Storwel transformed to become a reliable cupboard for keeping family clothes and valuables
The model extended to offer a variety of inside partitions
Enter The Competition
Godrej Storwel was made through a process called ‘cold rolled’ - resulting in high quality but also high price
Organized competition enters in the form of Chandan, Allwyn and numerous regional brands
Bigger threat from small unorganized players offering same looks for half the price
Quality Paradox
Godrej Storwel stood for ultimate quality in steel cupboards - no rusting, no chipping, perfect finish, no gaps etc
Local brands offered reasonable quality but the differences (like rusting/chipping) surface only after 5 to 10 years
The quality paradox was hence not perceived by the consumer who saw ‘value’ in the local brands
Selling Quality
Godrej Storwel stood for ultimate quality but •
Did the consumer want that level of quality?
•
Was the price-quality trade-off relevant?
•
Can Godrej Storwel sell on just quality?
Understanding Consumers
Godrej Storwel had a huge reservoir of goodwill with consumers
Consumers associated it with happy occasions: weddings, childbirth, growing-up
Storwel was not just seen as a steel cupboard but as a member of the family, who grows with the family
Can this be the way to sell the brand?
EMOTIONAL Vs RATIONAL APPEAL
Consumer durables are often high-involvement rational purchase
Godrej Storwel had a 50%+ premium over the local brand
Should Godrej Storwel sell on rational reasons like better steel, better fit/finish, long lasting etc.
Or should it sell on emotional reasons: warmth, family values…. Long lasting
Emotional Rescue
Can Godrej Storwel be sold on emotions, if so how?
Research revealed that Godrej Storwel is bought during specific occasions - marriage -
New baby
-
New home
Advertising route was taken to link these happy moments with Godrej Storwel
A series of jingle based commercials were produced
Pre-test To Study Impact
The TVCs tested in an animatic form to study impact and attitude change
Scored high on break through/cut through
More importantly improved attitude on
-
Good value
-
Long lasting
In fact built emotional bonding with consumers while subliminally strengthening rational benefits offered by the brand
Godrej Storwel TVC : Wedding
Godrej Storwel TVC : Mother-to-be
The Campaign
Godrej Storwel campaign on emotional plane was started in 1986 and continues today 15 years later
Godrej Storwel continues to command a premium in the market and sells in the face of newer competition
Brand-building Advertising Seminar
Godrej Storwel: Self Test 8
What other brand-building initiatives would be needed to keep Godrej Storwel strong in the next decade?
– Product initiatives – Promotion initiatives
Can you name a couple of other durable brands who have used emotional appeal?
Seminar Part V Services
What Are Services? “One day all brands will be service brands!”
When a success of an automobile depends on service network?
When a durable brand depends on the pre-sales and after-sales service?
When a consumer product purchase can be influenced by the retail environment?
Services Brand Types
Services are bought by consumers, at times without being conscious of the brand image •
A telephone service
•
An airline
•
A hotel
•
ATV channel
•
A website
•
A bank
•
A retail chain
All these and more are services that consumers buy, everyday - but are they brands?
Services Brands - Relevance
Telephone service
: MTNL Vs BPL Vs Orange
Hotel
: Taj Vs Quality Inn Vs Welcomgroup
Bank
: State Bank Vs Citibank Vs Central Bank
Branding concepts have been applied to services not too long ago - and the art is still being perfected
When a customer chooses a bank what are the reasons: -
The location
-
The word-of-mouth
-
The decor
-
The staff
-
The ‘brand’?
Services Brands - Emerging Trends
Services marketeers are discovering the power of branding and integrating all elements under a brand image umbrella
– Logo identity – Look and feel – Décor of premises – Uniform of staff – Communication
Services Brands - Image Perceptions
Often more complex than an FMCG or durable
High reliability on the human element
Every interaction with the services brand could lead to image change
Need to bring about uniformity •
Staff training is key
Coupled with pricing, decor, ease of use, location, communication
Services Penetration
All India Household penetration of a few services : Telephone Bank Account Cell Phone
6.8% 17.5% 0.2%
Analyse the data for urban / rural, SEC, regions etc.
Role Of Advertising
Services brands are built by the human involvement of customers with the brand (and its employees)
Advertising can be used to reinforce the service image
- Singapore airline
-
Singapore girl
-
friendly service
- British airways
-
world’s favourite
-
reliability
Advertising can be used to - Build awareness - for a new service or to a new segment of - Communicate features/benefits - a new service addition - Generate enquiries - call for action - Build Image - premium image, usage imagery, user imagery
customers
Services Advertising Paradigms •Two classical ways services use advertising Information Driven
Image Driven
- Introduction of new service - Image of the user - New pricing plans
- Image of the usage occasion
- New offers
- Cue type-of-desires fulfilled
- New features
- Imply self image
- Rational focus
- Emotional focus
Advertising After Sales
Services brands like airlines, banks, telecom, need to retain customers over the long term to build profitable segments
Often cost of acquiring a new customer is six times more expensive than retaining an existing customer
Special route of Direct and Customer Relationship Management are used to retail and build customer bonding
Building Customer Relationships
Services brands need to fellow a step-by-step process to build customer relationships •
Identify customers
•
Understand the need of the customers
•
Tailor value propositions
•
Test the propositions
•
Make offers to customers
•
Reward long-term usage
Building Customer Loyalty
Services brands that attract high loyalty achieve long-term success
Loyalty programmes
Frequent flyer miles
:
airlines
Bonus points
:
credit cards
Discount cards
:
retail
Coupled with the loyalty programmes services brands offer - Special services to loyal customers
-
Special prices to loyal customers
-
Special messages to loyal customer
-
And communicate regularly with them
In short make the loyal customer feel special!
Brand-building Advertising Seminar
FCB Grid - Services Brands - Self Test 9
Services come in all types •
Basic telephony
•
Shares
•
Insurance
•
Hotel
•
Airline
Bangaram Island Resort : Thank God !
Bangaram Island Resort : Thank God !
An independent island in Lacadives
Popularised by Rajiv Gandhi’s family holiday in the 90’s.
Run by the Casino group of Cochin
Bangaram Island - The Brand
Not just a hotel built on an island!
Resort conceived as a brand: “To be one with nature”
Resort built with eco-friendly material
No telephones, no TV, no cable
No alcohol, no soft drinks, nothing artificial
The Concept
Conceived as a resort with a limited number of rooms
High prices to ensure high quality up keep and nature support
Targeting the right audience
Selling The Concept To Whom?
Primary target - the sophisticated western tourist
Secondary target - the evolved domestic tourist
Tourism Hierarchy • Indian tourist moves up the hierarchy of type of holidays Visit to home town / village Pilgrimage / holy city trip Visit big city Visit hill station / beach resort Visit international big cities Visit exotic domestic locations Bangaram fitted in here
Attracting International Tourists
High cost of advertising in international press
However need to build word-of-mouth in western markets
Targeted the specific travel agents and travel writers
Invited this elite group for a holiday to Bangaram
Resulted in excellent write-ups in high profile travel and holiday journals
Attracting The Domestic Tourist
Given the size of the hotel mass media advertising is prohibitively expensive
How to target the top end holiday customer with limited budget?
How to build high-image appeal with limited spend levels?
Narrow Casting Message
Target audience definition focus let to narrow casting to the upper-upper income intelligentia in the top four cities
Further analysis revealed that reach of financial papers reasonably high with the narrow casted target
Need to appeal to this target with the right message, in the right scale
Message Focus
Message delivered has to bring out the “one with nature” theme of the brand
Message had to be attractively packaged to almost make the brand temptingly close
Build a response mechanism to capture interested target audience names
The Campaign
One ad in only one paper (Economic Times) was all that was affordable
A large sized ad that could not be missed
With a response coupon to capture data
Over 1500 responses for one ad
Build the first batch of Indian tourists to Bangaram
And they became the brand advocates!
Bangaram did not advertise again!
Bangaram Press Ad
Brand-building Advertising Seminar
BANGARAM : Self Test 10
What could be other modes of marketing communication that could have been used by Bangaram?
Escotel - Building A Cellular Family
Escotel - Building A Cellular Family
Escotel - the cellular company from the Escorts group
Licensee for western UP, Haryana and Kerala
One of the first movers in the cellular industry
Cellular Market Then
Cellular services had just entered Delhi, Bombay, Calcutta and Chennai
Relative lack of understanding of the utility values of cell phones
First users were all the status conscious
Cell phones became the status symbol of the rich and famous
High price of handsets and airtime did not help either
The Target Markets
Haryana / western UP and Kerala very different in behaviour
Haryana and western UP had typical north Indian characteristics
•
Propensity to show off
•
More talk, more show
•
Keeping-up-with-the-Jones
Kerala market significantly different •
More educated
•
More value oriented
•
More ‘international’
Escotel Challenge
A completely unknown company in telephony
No perceived knowledge base in electronics (like BPL) or telephony (Bharti)
However Escorts had a big name (in automobiles) and had a loyal support base
How to leverage this base into a useful movement?
Escotel Sansar
Created the concept of ‘Escotel Sansar’, the Escotel family
This new family stood for the new aspirations of the modern customer
Captured the ethos of Escorts: long-standing trust and value
Escotel Values
To sell the service with price plans or to sell brand values - the first challenge
Need felt to sell Escotel as a brand that stood for new hopes, new horizons, new aspirations of todays’ consumer
Avoided the price based advertising in the first full phase of launch
Escotel Customer - North / South
Tailored the message to suit the two different set of customers •
North : builder, family man, industrialist
•
South: doctor, film maker, marine exporter
While keeping the overall values similar and appealing
Escotel Press Ad 1
Escotel Press Ad 2
Escotel Press Ad 3
Escotel Press Ad 4
Escotel Launch
The effort at brand-building advertising paid off
While competition focussed only on price based advertising, Escotel’s mix of messages built a true Sansar
Leading to market dominance in all the three markets
Brand-building Advertising Seminar ESCOTEL : Self Test 11
Escotel brand advertising’s relevance in todays’ setting?
Seminar Part V Corporate Brands
What Are Corporate Brands
Corporate brands go beyond a product, a service or a product range
Depending on the branding structure used, a corporate brand can be
•
An endorser
•
A driver
•
A support
Very difficult to typecast corporate brands •
TATA
-
sometimes endorser, sometimes driver
•
GE
-
often driver
•
SONY
-
often driver
•
Reliance
-
support
•
Wipro
-
driver - endorser
Corporate Brands in the Branding Structure Corporate Brand:
Tata
Tata
Tata
(Tata)
(Tata)
Service / Product Brand: Line Brand:
Indica
‘Tea’
‘Salt’
Taj
Titan
Features:
Widetread Garden Fresh Car Tea
Product:
V2
Residency Raga Iodised Salt
Hotel
Watches
The Differences in Corporate Brands
Some corporate brands go on products: Sony Walkman, Sony Vaio
Some corporate brands stay as endorser
Some corporate brands stay out of lime light: P & G, Lever
The Differences Across Categories
Unlike FMCG brands and durable brands, corporate brands have several key differences •
Multiple products or service
•
Multiple target customers
•
Multiple target audiences
•
Not focussed on selling
•
Brand salience focussed
•
Brand image focussed
Corporate Brand Target Audiences
Varied target audiences - many stake holders •
Customers
- heavy, medium, light
•
Associates
- suppliers
•
Trade
- distributors, retailers
•
Employees potential
- across departments;
•
Shareholders
- stake holders
•
Government
- local and central
•
Industry bodies
- associations
Corporate Brand Values & Ownerships
Corporate brand values need to transcend narrow boundaries of products and services
Three large areas of focus
•
Innovation
•
Value
•
Service
“The customers decide on the fate of brands, they own the brands” : Economist
Corporate Brands reflect the Leader’s Vision
Across the world the leader’s personality reflects on the corporate brand: •
Richard Branson
- Virgin
- outrageous / young
•
Jack Welsh
- GE
- aggressive / growth
•
Karsanbhai Patel
- Nirma
- value / quality
Founder’s personality often stays on with the brand they have created: •
Akio Morita - Sony - innovation
•
Henry Ford - Ford - value
Building Corporate Brands
The founder/CEO is often the biggest medium
Use of multiple communication tools: •
Public relations - press/media coverage
•
Identity programme - logo, stationery, signage
•
Retail presence - outlets, service
•
Corporate communication - annual reports, offices, buildings
•
Advertising - media, direct, internet
Corporate Brand Advertising
Role of corporate advertising varies in consumer products, consumer durables, services and business selling environment
Corporate advertising is often beyond products and revenues
To project the deeper ethos of the brand, the one key variable that unites all that the brand offers, through various product and services
Brand-building Advertising Seminar CORPORATE BRAND’S ROLE: Self Test 12
Corporate brand is an •
Invisible endorser
•
Strong endorser
•
Driver
Categorise the following brands with examples •
Nirma
-
Britannia
-
Whirlpool
•
Unilever
-
Panasonic
-
HP
Wipro - Applying Thought
Wipro - Applying Thought
Origins in the edible oil industry
Vanaspathi manufacturing under Wipro Sunflower brand name
Diversified into soaps and toiletries in the eighties
Tasted success and expanded range into diverse areas
Wipro - Beyond Oils
Entered computer hardware business •
Super genius computers
Followed this with entry into computer services and software
Wipro lighting division, Wipro medical systems set up in 90’s
Wipro - In 1998
A Rs. 1500 + crore group
Over 70% of turnover from infotech business
Changing the profile of the corporate brand seen to •
Reflect the new energy
•
Make the corporate more attractive to investors
•
Make it a destination company for talent
Wipro - Mining Consumer Minds
What does Wipro stand for in the consumer’s minds?
Research to delve into the perceptions of consumers soaps, lighting
•
Computer hardware
•
Computer software
Wipro seen as a sensible ‘thinking’ company •
Lending to the tag line “applying thought”
Signalling A Change: A New Look
Wipro corporate logo changed to a colourful rainbow flower
The colours indicating high vibrancy, new energy, new look
Corporate identity revamped to reflect the new look
Four key missions identified •
Value
•
Innovation
•
Service
•
Integrity
How To Communicate The New Wipro
‘Applying thought’ - a rational way of doing business
Bringing the concept alive - possible through identifying specific stories that bring alive the ‘applying thought’
Present Wipro as a caring company that is: ‘thinking about you’
Wipro Corporate Campaign
Build on real life stories of applying thought •
Baby soap - with milk & almonds
•
Lighting - 30% more life
•
Hardware - built to suit tough Indian conditions
•
Software - high end telecom application
•
Service - computer service levels
Wipro Corporate Brand Activities
Press campaign supported by outdoor
Public relations to get stories on the new Wipro
Increased investor relation, corporate brochure, annual reports etc.
Wipro Press Ad 1
Wipro Press Ad 2
Wipro Press Ad 3
Wipro Corporate Brand
Brand salience improved from ‘unknown’ to ‘known’
Stock market boom aided Wipro’s climb to the top
From being in the 25th position on most admired corporate brand, Wipro climbs to top 5 in three years
Brand-building Advertising Seminar
WIPRO CORPORATE: Self Test 13
What could be other methods Wipro could use to build the Corporate brand?
Tata Lucent: Telecom Revolution
Tata Lucent: Telecom Revolution
Tata Telecom set up to manufacture EPABX systems - aimed at the large corporate segment
Tata Telecom selling through dealers and own sales executives to large accounts
Joint venture with Lucent Technologies
Lucent Technologies : Powerhouse
Lucent Technologies - the equipment company spun off from AT&T
Lucent world leader in telecom equipment catering to the large sector
Lucent’s heritage from Bell Labs of erstwhile AT&T
Bell Labs to one of the world leaders in technology patents !
Tata Lucent: Task Ahead
Tata Lucent plans to enter the high end telecom market
Target audience •
Private telecom companies
•
Cellular companies
•
Govt. Sector (telecom)
•
Large organisations
Customer Perceptions
Tata Telecom seen as a reliable telecomy partner
However not seen as technologically advanced
High trust from the Tata name but not seen as cutting edge technology
High profile competition from brands like Alcatel, Siemens and Japan companies
Need To Build Corporate Brand
Tata Lucent planning to launch a range of telecom systems under various brands like ‘Infiniti’
Will the consumer accept the high end offering?
What is the relative perceptions of Lucent?
Very low awareness of Lucent - Bell Labs connection and importance not widely known
The Need For Brand
Tata Lucent brand facing competition from Alcatel and Siemens - high-tech image
Target customers primarily telecom companies and large corporates
Why should they look at Tata Lucent! •
How big is Lucent?
•
What is their competence?
•
What can they offer?
Tata Lucent - The Campaign
Focussed on the technology achievements of Bell Labs
Highlighted the Bell Labs origin of Lucent
Presented Tata Lucent in a high tech environment
Broke through the clutter and achieved very high break through
Tata Lucent Press Ad 1
Tata Lucent Press Ad 2
Tata Lucent Press Ad 3
Tata Lucent Press Ad 4
Brand-building Advertising Seminar
TATA LUCENT - Self Test 14
Could Tata Lucent have used any other platform other than technology/innovation?
Summing Up :Brand-building Advertising in 10 Easy Steps Define brand values Understand competitive framework Understand consumer behaviour Understand the role of advertising Define the short and long term brand objectives Define communication objectives Develop communication strategy Evolve the creative strategy to drive the message Plan and place media : media strategy Build a tracking mechanism
Thank You !