Continue reading »]]> In his column in the Mint yesterday, Niranjan Rajadhyaksha writes about the fall of Nokia in the context of the Schumpeter warning on competition – that it comes not from price, or other players, but from a company’s own inability to keep up with the times and change.

Change, Schumpeter pointed out, will come in the form of new technologies, new processes, and new organisation realities… which if a company, even in a monopolistic or market leader position like Nokia was in, fails to embrace, will eventually not just lead to loss of market-share, credibility and profits, but strike at the very foundation of their existence and hence future.

Basis this theory, and its interpretation of what’s been happening with Nokia over the past couple of years, the Finnish company should be scared, very scared. Unless it suddenly develops new flexibility of strategy, thinking, and reaction to the changing environment, and dramatically breaks free from its own history and past glory.

Really large and successful firms are more likely to be challenged thus, as the “not invented here” syndrome often makes them loath to change.

Of course, Nokia is not alone in this situation, just most prominent today and hence used as an example in the article. Microsoft too is in some ways in the same (Apple) flavored soup with open source side-orders.

Niranjan further points out that Schumpeter drew an important distinction between monopoly and big businesses saying they are not interchangeable.

“…big firms could rarely protect monopoly profits in the long term. Big companies survive because of innovation and organizational agility rather than monopoly status.”

In summary I would like to point out, as one who has bought many Nokia handsets in the past (but not in the past 5 years), and as one who has friends working in senior positions at Nokia worldwide, I would like to see the company wake up and reinvent itself now. Not just in terms of products, but also in its approach to markets and marketing, and of course. I would love to see it break free of the templates of success that brought it this far. And hopefully be another example for us to read about in the future. Albeit a very successful and shining example of change.

Read the full article online here

Related Articles

• The Real Cause of Nokia’s Crisis (blogs.hbr.org)
• Microsoft and Nokia’s partnership poses challenges, say agency chiefs (prweek.com)
• Why Nokia Fell From Grace (customerthink.com)

Continue reading »]]> For all you social media evangelists and digital marketing professionals, here’s a great example of branded content with great viral potential.

It’s a joke going around on SMS and BBM:

Neil Armstrong lands on the moon, only to find two Indians already there!

“Who the F*** are you??!” he asks in dismay.

Pat comes the reply from one of the guys “Cameraman Santosh ke saath, Deepak Chourasia – Aaj Tak”

Related Articles

• And that’s how you make branded content that doesn’t make folk’s eyes bleed (community.prweek.com)
• 7 Stellar Examples of Branded Content from the Fashion Industry (mashable.com)
• Branded Content, Top Tool for Most Marketers (pamil-visions.net)

Continue reading »]]> I don’t always agree with him, nor do I like his blatant style of pushing his own agenda, but for once I agree with Mahesh Murthy in this tweet of his. All those years of building up credibility, threatened (not dashed to the ground) by keeping bad company!

I will add, this is true in both our professional and personal lives. You have to know who the people you hang out with, hang out with. Because their reputation and what they do, can imply you do the same. And more importantly, your secrets with them are at risk, if they share secrets and secret dealings with others as well.

Related Articles

• Twitter Has A (Secret) Reputation Score For Every User (techcrunch.com)

Continue reading »]]> Here’s a post I first wrote exactly five years ago to this date, on 4th November, 2005! And yes, I’ve been blogging since before most people had internet in India!

I am republishing it today, because I think it is still very relevant here in 2010, as it was in 2005. Because while technology has evolved, people haven’t as much since then. And it is always good to get back to timeless basics every now and then!

Continue reading »]]> Contrary to popular perception (and current brand behaviour all around) you don’t pussy-foot around communication when you’re in the middle of hard times.

In Hindi there’s a phrase ‘bolti-bandh’ which is quite like the English one ‘the cat got your tongue’. Which leads me to say brands that lie low in tough times, stand the risk of behind seen as a ‘scaredy cat’.

Don’t get me wrong and think I am saying that we should indulge in the loud-mouth, open-wallet communication like a lot of brands have done in the past 4-5 years.

I think we need to find the right balance between verbal diorhhea and communication constipation.

These tough times are forcing us to do what we should have been doing all along – going through a rigorous process of finding the right thing to say, and the right way to say it. They are forcing us to define a more focussed and definitive position for ourselves, and work the media planning machine like it has never been worked before.

“To whomsoever it may concern” type of communication has to give way, and the “to you, to whom it concerns” approach has to step in. And “media reach” has to give way for “media relevance”.

I know folk representing or selling mass media channels will either laugh at this perspective, or throw some ppt slides at you talking about how their mass media channel actually reaches your audience!  Sure it does, like buckshot.

Which brings me to new media and the power of narrowcast communication.

And the beauty of it is new media and narrowcast communication works whether you have loads of money, or very little of it!

New Media, New Focus.

Admittedly most new media conferences do nothing to build a case for new media. The usual suspects gather to make the usual presentations on the usual case studies which they’ve been talking about for the past 3 years!

I believe no one in this industry really talks of the complexity of new media and the dynamic roles it can play in influencing and persuading audiences.  Perhaps no one really knows.

Perhaps peope are all selling the wrong case studies as I mentioned above. I for one would like to talk of something more basic – how approximately 30lakhs spent on print advertising in one month, got a client of mine approximately 300 enquiries. At the same time, 30thousand spent on Google AdWords in the same month got the same client almost a 1000 enquiries. And the conversion rate was higher among the AdWords call-ins!

The point is, if we can focus on getting new media right, we can get a lot of focus on our brands.

New Dogs, Old Tricks.

The trick lies in layering time tested marketing techniques, with new media technology. The trick lies in using traditional best practices of advertising and public relations, and applying them to the internet and mobile communication.

New media strategy is not about building websites online, but about building a web of insights online. New media campaigns are not about fancy virals, but about creating a fever pitch of focussed communication. New media is not about clicks, but about clicking with consumers.

That’s the basic simple truth of the matter.

PR kiya to darna kya?

Another great tool in tough times is public relations. I believe if done right, public relations has far greater and longer term value than most people (including its practitioners) give it.

Public relations can helps you make the right point to the right people, who in turn can put out the right message. You use it to educate and influence the influencers.

PR is the only media which actually allows you to even put across a 10,000 word sales pitch to an audience should you so require. How’s that for talking tough and straight?!

Getting it right

I believe recession is one of the final nails in the coffin of euphoria over mass media advertising. The recession is telling you stop wasting money on buckshot, and find new ways of getting your audiences in the bag.

Lesser budgets literally mean “focus your communication, and keep is simple and effective”.

Which brings me to digital media, activation, and public relations. The perfect tools for getting it right.

But in order to use the above effectively, you have to talk tough with yourself and change decades of conventional media conditioning.

Then you will have to talk tough with your ‘Clients’ who will still demand ‘cover-my-ass TRPs and Reach’, since that’s the only RoI most Marketing Managers know…

Communicating for “closure”, not “ask me for a brochure”.

Communication in digital media, activation and public relations is different and works differently from print and television ads. When used correctly, they can put your brand in the right place at the right time like no other.

Communication in these new media/methods put more pressure on you, because they place your brand right up in the face of your audiences in a relevant context. Which means your message better be right and to the point.

And when you’re up so close to your audiences, they will be more demanding and less forgiving. Which means when you get your one shot at the audience, it better be the right one.

Which essentially means, when you talk tough, you must also be ready to walk the talk. If not, then tough luck.

Continue reading »]]> 2008 was a hard-working year for India. As perhaps it was for the rest of the world. Not only did businesses strive to keep costs down and revenue up, people worked hard to keep their jobs alive and companies afloat.

The Economic and Industries Perspective

In terms of the economy, some sectors did very well, while some not so well. Industry, Agriculture, FMCGs and the Services sector actually showed significant growth. White Goods and Electronics stayed at decent levels. But Automobile industry and the Financial Sector showed definite signs of strain and pain.

Inflation in India rose dramatically in 2008 to 11%, against a low of around 5% in the previous year. Growth which has stayed above 9% during the past 3 years, showed signs of flagging, and the country is optimistic towards this end.

Global Impact

2008 was also a year when the global economic situation played a more significant role and impact on India and its economy. Unlike the past, when India was relatively insulated from the shocks and watts of international financial power play, in 2008 the impact was clearly visible. Inflows from large international investors dried up, Indian investments in foreign markets were put on hold, and in turn the stock market took a plunge that shook the roots of many companies and individuals.

The Rise of Terrorism

Adding to the above issues, India faced new and large-scale terror strikes by religious fundamentalists from neighboring countries in 2008. While they failed to frighten the nation, they certainly had an impact on slowing down business and lowering purchasing sentiment.

Reinventing Marketing and Advertising

Not surprisingly, marketing and advertising in India also moved from being creatively brilliant to being cleverly effective. As brands tightened their purse strings, agencies opened their minds to new media and ideas beyond the press advertisement and the television commercial.

Working harder and working smarter became the norm, as Clients challenged their Advertising Agencies and Marketing Consultants to get more efficient with lesser funds.

While detailed and reliable numbers are hard to come by, the indications are that business was not as bad as it seemed. And spends were down, not because of lack of funds, but because everyone was playing the ‘wait and watch’ game.

The top trends in marketing and advertising in 2008 can be listed as the following (in no particular order):

• The year of the non-event: 2008 saw fewer large events than ever before. In the social and cultural context, India is used to having various spectacular film & television, fashion and sporting events every year. This year they were few and far between. And those which did happen, remained low key, with not much advertising or promotional support being aired. The events did what they had to do with their small and select audiences, without the hype that usually surrounds them.

The reason for this is that most events depend heavily on sponsors, who in turn depend heavily on audiences with loose and happy wallets. 2008 saw them all go into hiding, while holding on to their wallets like never before.

• A shift in media mindset and strategy: As markets and consumers became fickle, the trend of moving from ‘mass media’ to ‘new media’ became even more apparent in 2008. Previously, brands were more tentative, as marketing heads did not want to experiment with new media and preferred to stick to known communication channels. However, as budgets were tightened this year, they were forced to find new and cheaper ways to communicate, and this led them to new media.

The shift may not have been dramatic, but brands began experimenting with the internet and mobile based advertising in order to gauge its effectiveness. The results have been positive for brands, emboldening them to use the medium more. Which is why, 2009 promises to see more and exciting campaigns on the internet and mobile platform.

• The rise of celebrity endorsement: As brands started to feel the heat on budgets, the need to get noticed and stick in the consumer’s mind became even more necessary. Despite the constant controversy surrounding celebrity endorsement, more brands signed on film and sports personalities to endorse their brands in 2008.

Brands like Samsung and Idea Cellular who traditionally used celebrities, continued to do so brilliantly. However, there were a host of new brands who tried the ‘celebrity endorsement’ route for the first time, and the jury is still out whether the celebrities actually helped them in any way – these include HP and Nokia, both of which signed on Bollywood star Shahrukh Khan.

• Rise of the citizen journalist: Related to the rise of the ‘new media’ and the internet, 2008 marked the arrival of the citizen journalist, and user-generated content and views as a force to reckon with.

The range of influence is spread wide starting from the basics with users posting and commenting on new television commercials of brands, to comparing products and services, to voicing their opinions and expressing anger where required on issues related to security, culture, public interest, and the country in general.

This phenomena revealed itself as a potent force when it helped provide informative support to people during the terrorist attack on Mumbai in November, and also forced a change in the political leadership by demanding accountability for the administration’s failure in securing its people.

In marketing terms, it was evident from the fact that celebrities started blogging, and began using their blogs to market their films and endorse brands wherever possible. At the same time, marketers started advertising on specific blogs, and public relations firms targeted bloggers and their ilk with press releases and information about new products.

Recruitment advertising in traditional media was supplemented, and often replaced by recruitment news being placed on social networking sites and spread by internet-word-of-mouth.

• The year of the CFO: In the final analysis, 2008 was the year when the CFO called the shots in every aspect of advertising and marketing. Because quite simply, the CFO controlled the budgets and demanded greater accountability on spends. Unlike in the past, where ‘creative vision’ was more important, 2008 demanded ‘creative value’ from marketing departments and their agencies.

As a result, large campaigns were fewer in number, and almost all campaign took safe, tried and tested routes.

In terms of Brand leadership and trust 2008 saw a shift in the perceptions and position across the board. Two major research studies which were carried out by independent organizations reflected these changes – The Economic Times’ “Brand Equity Most Trusted Brands Survey”, and WSJ-Mint’s “Campaign Top Marketers 08” ranking.

The “Brand Equity Most Trusted Brands Survey” placed mobile handset brand Nokia right at the top, displacing long time favorite Colgate! This came as a surprise to many, because Nokia is a relatively new brand compared to others in the ranking.

The ranking also reflects the fact that consumers are now giving technology products more importance in their lives than ever before. Besides Nokia, there were eighteen non-FMCG brands that made it to the list including old favourites like Titan, HMT and Hero Honda Splendor; telecom brands like Reliance Mobile and Motorola; and four South Korean brands namely LG, LG Mobile, Samsung, and Samsung Mobile.

The WSJ-Mint “Campaign Top Marketers 08” ranking picked out those brands and companies who managed to stay ahead with their innovative products, pricing and communication, despite the global financial meltdown and sagging consumer sentiment.

The study picked the following into their ranking:

Board of Control for Cricket in India (BCCI) for its Indian Premier League (IPL) tournament. The IPL took cricket beyond being a sport, into a new form of entertainment. And of course, the IPL became a great new revenue source for the Board and its players, as well as provided an exciting new platform for brands and advertisers.

Nokia. For its mind-boggling range of products and amazing pricing strategy, that includes offerings from Rs. 1,300 to Rs. 40,000! Add to this Nokia’s incredible understanding of consumers and its amazing ability to connect with consumers of all wallet-size and interests across the country.

Colors – The Hindia General Entertainment Channel from Viacom18. Despite being the 11^th player in the market, the television channel in a short span of time rose to the top of the heap in terms of ranking and popularity with an amazing mix of shows, supported by phenomenal advertising and public relations.

ITC and its various brands in the FMCG category. Foods and personal care products were not part of ITCs core strengths and product offerings a few years ago. Today, with a dazzling array of snack foods and personal care products under the Bingo, Sunfeast, Fiama De Wills, Vivel and Superia brands, it is a name to reckon with on any given day in any given market!

The Tata Group. The Tata Group was placed in this ranking for its vision and never say die attitude. From acquiring global marquee brands like Land Rover and Jaguar, to producing the world’s cheapest car, to re-opening its Taj Mahal Palace & Tower Hotel within a month of a devastating terrorist attack, the Taj Group helps India hold its head high amidst the global financial meltdown and security threats from anti-social and anti-national elements.

The list goes on further to include: Maruti Suzuki for maintaining its leadership in an extremely tight and tough 4-wheeler market; Vodafone for its brilliant transition of millions of consumers from Hutch which it bought over in India; Hindustan Unilever for its initiatives that helped it hold onto its leadership status in a market plagued with inflation, rising costs, and aggressive competition; ICICI Bank for maintaining highest service quality standards and raising the bar in terms of products and services as India’s largest private sector bank; and Coca Cola India for unrelenting sales growth throughout the year supported by a great combination of unique products, pricing, and marketing efforts.

The Agencies Behind-the-scenes

Behind the scenes of all this activity were the advertising agencies which faced the brunt of reduced budgets and increased pressures. They all came out on top, working harder and smarter, re-inventing themselves in the face of changed consumer and economic scenarios.

The “Brand Equity Ad Agency Reckoner 2008” powered by IMRB sums up their ranking and contributions to growth of brands and the industry in India.

In the overall rankings, Ogilvy retained its No. 1 position, and JWT did a comeback at No. 2, followed by Lowe at No. 3.

Mudra, McCann Erickson, Rediffusion DYR, Leo Burnett, Contract, RK Swamy BBDO, and Draft+FCB Ulka made up the rest of the top 10 in that order.

Both Ogilvy and JWT held their positions in specific areas of Creative, Client Servicing, Account Planning, 360 Degree Solutions, Innovation, and Partnership with Clients as well.

In terms of Media Agencies, the ranking was topped by Mindshare at No. 1, followed by Madison, Starcom, Zenith Optimedia, and Allied Media in the top 5. OMS, Lodestar Universal, Maxus, Carat, and TME made up the ranking from 5 to 10.

Keeping with the changed marketing scenario and mix, the Brand Equity Ad Agency Reckoner ‘08 also added three new categories of ranking this year. They included, and were topped by:

Digital Specialist Agencies ranking was topped by Webchutney, Hungama, and contest2win.com respectively.

Design Specialist Agencies ranking included Ray+Keshavan, Elephant Stragegy+Design, and Landor at the top 3.

Brand Promotion Agencies ranking was topped by Candid Marketing, Solutions Integrated Marketing, and Encompass Events.

The Brand Equity reckoner also ranked Corcoise Films, Black Magic, and Equinox as the Top 3 Ad Production Houses in India.

In summary it was a tough year. And 2009 looks to be even tougher. But seeing the industry’s ability to stay afloat and swim well against the tide last year, the belief is that the industry will only innovate, reinvent, and accelerate in the years to come. Of course, making the assumption, is the easy part!

Continue reading »]]> “Ouch!” That’s the first thought that struck me as I picked up the newspapers this morning. No I am not referring to the coverage of the FM’s interim budget, but to the full front page ad for State Bank of India in the leading and very-expensive-to-advertise-in newspapers.

The full-frontal assault hurt for two big reasons:

1) You don’t spend this kind of money to advertise anything in today’s market scenario – especially to promote a brand we’re all well aware of.

2) The creative sucks as it reeks of a lie – SBI claims to be “The Banker to Every Indian”. Sorry to bust your bubble, but that is just not true. SBI is not my banker, and neither is it the banker for many, many people I know.

With this false claim, you the bank (SBI) and the agency (Interpublicity) are asking to be slammed by ASCI and every other body/person who monitors untruths and false claims in advertising.

Admittedly SBI is a huge bank. A respected one at that. It also has a long history with many Indians. And I personally have been a fan of its intelligent and insightful communication over the years.  But to make claims like this current one doesn’t help SBI’s reputation of trust. And to do it in this wasteful manner, is adding insult to injury.

Continue reading »]]> A couple of days back, I read an interesting article by Atul Hegde, CEO of Ignitee, on the role of digital agencies. I agree with him that the industry although nascent, is already bankrupt when it comes to ideas.

The fact is, so-called digital agencies today flood clients with the same old SEO and SEM formulas (read d-i-y google ads), pay huge money to buy banners on homepages of email portals like they’re buying conventional media, and end up making the same corny bollywood-spoof virals for every client and every job.

Not surprising, because most so-called digital agencies today are nothing more than over-grown, over-paid html or flash shops, or ex-ad guys pulling the same ‘you don’t understand creativity’ crap to pass off mediocre campaigns to un-informed clients.

Which is why at every digital conference you same the same old speakers, giving the same old spiel, and showcasing the same old case studies we’ve been seeing for years - and no one goes back to work saying ‘hey let’s put some serious money behind digital marketing and advertising!’

Quite simply, it’s time clients got more demanding, and digital agencies got more responsible.

Here’s an excerpt from Hegde’s article. And you can read the rest of it on livemint.com following the ‘more’ link.

“Fuelled by a collective banktrupty of ideas by both publishers and agencies, we have created a scenario, where the medium has paid the price of over-accountability, with campaign reports and data points providing you with orgasms, rather than information about the actual campaign and its engagement with the consumer.”

read more here>>

Continue reading »]]>

What You See Is What You Get!

The election of Barack Obama as President of the United States of America is landmark in many ways. In fact, Obama’s slogan of “change” holds true in many more ways than perhaps even the man and his spin doctors would have imagined.

But that’s not the point of this post. Enough has, and will be written about what his election symbolises and heralds.

I would like to touch upon the learnings which we as Indians and Marketing professionals in particular can gain from the US Presidential elections.

By sheer design, the US Presidential election is about people and the things they stand for. In this case it was clearly Barack versus McCain. They both had a stated agenda and a vision each. Everyone knew what both of them stood for. They cast their votes based on an informed choice. And they know who to hold responsible for failure to live up to promises.

Simple and beautiful isn’t it?

Can we say the same about the Indian election process? Can we say the same about the way companies market brands?

Party Poopers All: In India, the election process, though extremely well designed by our forefathers, has been diluted to suit the politics of our politicians and the mindlessness of the masses. Allow me to elaborate why I am taking such a stand and using such words.

In India, we vote for Parties not people. So invariably we have no idea who the two top Executives of our country (Prime Minister or President) will be, until the day he or she is actually elevated to the post!

Not surprisingly therefore the euphoria of voting for a winning party, often comes with a feeling of betrayal and being let down on finding out who takes the top spot.

Likewise in India we have Parties with a stated (and printed) manifesto, but with a completely different (unstated but expected) agenda. Secular on paper, right wing religious in reality.  Progressive on paper, corrupt in reality. The list goes on.

Of course, we have no one particular person to hold responsible for unkept promises. Which is why we are the way we are.

Brandishing Nothing: Companies of course do slightly better than Political Parties. Their brands usually do stand for something – stated or otherwise.

But the marketing process itself is so unstructured and based on individual beliefs, that the actual product value proposition and position can remain a closely guarded secret between the people who created it, and the file in which it resides.

Except for a few large global MNCs who have their entire branding and communication process documented like a religion and practiced as a culture, most other companies Brand communication is left to the whims and fancies of the people on the ground.

The result is the confusion of choice on the ground among consumers. And the winner of market share is usually the Brand that spent the most money, and not necessarily the Brand which is better.

“So Brands and Politicians, lend me your ears.
I come not to praise you, but to bury your obstuse promises and cloudy visions.

For the evil that you do, lives on in our hearts.
And the good is interned in the hidden swamps of our minds.

If you want to live up to your ambitious,
you have to give up your grievous faults”

Endnote:
While I am not a fan of all things American, I do believe there are great learnings from the US Presidential elections. We need to spot, absorb, and act on them. And that is a Change we must all look forward to!

Continue reading »]]>

Bharti

Wow. I just picked up The Times of India which I hadn’t read all day and *boom* it hit me – the full page ad revealing Bharti’s new logo and corporate identity.

I don’t much care for the ad which is sweetly written with all the right things thrown in (amateur copywriter at work) but I really like the logo.

I cannot state any particular “professional and logical” reason for liking the logo, but I just think it is refreshing, pleasant and friendly to look at.

Whatever Bharti’s reasons for choosing the colours and design, the once again sweet-pappy explanation falls short of what the logo is.

I don’t see how blue reflects depth and expansion… oh, i got it – blue for ocean and sky! Orange for passion – hmm okay. And two arrowheads signify focussed diversity… hmm okay, so that’s how you explain two arrows moving in different directions…

Well regardless of the ad, I think this is one good corporate identity change. And I humbly suggest the agency doesn’t try too hard to explain it… rather it conserve energies in making sure everyone knows it’s changed!

The logo will certainly help set Bharti apart from other companies in the telecom sector as well as be seen as more stylish than its Indian MNC counterparts in telecom (Reliance) and other categories.

See their new Corporate Identity at work here. I think the colours orange and blue need to be deeper for the web. Mixed together online, with so much white all around, they risk being “cheaply jarring”. Or maybe we’ll get used to it.