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The Editorial

Editor Speak
Readers,
It gives us immense pleasure to bring forth, the first edition
of Mandi. A marketing magazine at heart, we will try to
bring insights, business ideas, avenues and potential areas of
this stimulating field of business. When the team behind
this magazine sat together to brainstorm for a name that
captures the spirit of marketing, we came up with several
options. However, the name Mandi lit a collective spark in
our minds. The name captures the essence of our initiative,
an attempt to go right where the action is. Being a team of
offbeat individuals, it is only natural that we have chosen the
theme of the current edition: Offbeat Avenues in Marketing,
Marketing in FMCG, services, B2B are avenues that stare at
your face when you think of this broad field of business. In
this edition, we try to bring to light, a few areas that hold
potential, have similar or even tougher challenges, and most
importantly avenues where marketing plays a pivotal role. A
wholly students initiative, we look forward to your
feedbacks and comments.

2
6

Selling Sachin

A shot in the arm

10
12

Metaquizzics

Creating leaders

18 How Crude?
20

Beat from the street

21 Reconnaissance
22 Ad-Sense

Editor,
Gokul Kandhi
The Editorial Team
Rishabh Sachdeva
A second year PGP student from IIM Indore, an artist, a
mechanical engineer, an advertising enthusiast all rolled into
one. Great at thinking out of the box, he is learning to think
inside the box out here at IIMI.
Srikumar S
A mop of hair, a lumbering hulk, he is all what he
doesnt look like. A second year PGP student, he lives and
breathes marketing and swears by Kotler.
Tejas Bhat
A doctor by qualification, doing his second year in IIM
Indore, Tejas is an avid traveler with a strong
entrepreneurial pull. The creative energy in the team, he
also maintains the sanity of it.
U Gokul Kandhi
The ever energetic "maaple". Avid sports buff, blogger and
food junkie, his adventures with Hindi are legendary.
Impossible to miss his enthusiasm and wit.

Contact Mandi
For queries, suggestions, contributions or for that
matter, anything else related to this magazine, please
contact:
mandi.iimi@gmail.com
09300944268, 09907668411

2
Selling Sachin

Sports Marketing Where economics courts emotion


by Gokul Kandhi

When the famed Pakistani attack lined up to

players have led the field with the Saatchi &

bowl on November 15, 1989, few gave the

Saatchis Iconix the latest big name to enter the

batsman, Sachin Ramesh Tendulkar a chance.

fray. Indian tennis star Mahesh Bhupathi is

The moment he stood up in the series to smash

himself the Managing Director of Globosport,

the likes of Abdul Qadir, Imran Khan &co, a star

the biggest Indian sports management company.

was born; in the worlds of both sports and sports

Sports management can be broadly divided into

marketing.

three-

Facility

management,

Sports

Administration and Sports Marketing.


Facility Management deals with organizing and
maintaining sport infrastructure, amenities and
related activities. Sports Administration deals
with managing the sport as a whole or a smaller
entity of it. Typically it involves coordinating
with other business enterprises that have a stake
in the sport. Sports marketing deals with
applying marketing principles to sports products
In an age when sports stars were confined to

(from events to sportspersons) and marketing

stereotyped symbols of masculinity like a

non-

Vensargkar for Vigil or Farokh engineer for

computers) through associations with sports.

Brylcream, came a fresh faced kid who could

Sports marketing is a unique field. People who

endorse anything from Pepsi to AIDS awareness

provide the sport experience cannot predict the

with equal ease. In 1995, Sachin signed a record

outcome because of the spontaneous and

sports management deal worth 30 crore rupees

uncertain nature of the activity. Such unique

Wordtel for a period of five years. That was the

challenges combined with the media explosion in

proverbial tipping point of the Indian sports

sports have made sports marketing a great career

management industry.

option.

Indian sports management industry has come a

Globally sports marketing industry, covering

long way since then. A host of international

everything

sports

products

from

(from

television

cigarettes

rights

to

to

3
endorsements, sponsorships, and merchandising,

emotions in the public and hence have a

is an important sector and growing rapidly. In its

tremendous impact on the public psyche while

Global Entertainment and Media Outlook,

endorsing.

PricewaterhouseCoopers

the

personalities and sports icons, it is the sports

sports industry accounted for around $50 billion

stars who are the preferred choice because of the

in revenues in the United States in 2007, up from

universal appeal of their profession (for example,

just under $35 billion in 2001. On a global scale,

the FIFA World Cup Football has more diverse

total revenues are expected to be nearly $100

viewership than a Hollywood blockbuster) and

billion this year, compared with $70 billion in

more significantly because their achievements

2001. In India the industry has huge potential for

are real and not make-believe. It is natural that

growth and has touched almost all sports from

fans adopt the consumption patterns of their

kabbadi to golf.

sporting icons, making sports heroes the ideal fit

estimated

that

From

among

musicians,

film

for brands particularly those trading in consumer


goods and durables.

With audience of today

getting more and more diverse in needs, demands


and ideologies, sports is one of the last remaining
bastions that offer a consistent reach to a mass
audience.
Given huge prize money, the honor of playing
for the country and adulation of a frenzied
billion, why does a sportsperson desire a
Given a short shelf life, high degree of
uncertainty, and a looming threat of failure in the
playing field, what makes a marketer desire a
sportsperson?

Sportspersons make excellent

brand ambassadors, if chosen with the right


amount of diligence. They have a consistent
brand image unlike heroes and heroines (the
other big endorsement angle) who at times have
image changeovers to suit their professional life.
They are the ones who spark a multitude of

marketer? A sports person knows perfectly well


that his shelf life is getting shorter and shorter,
the vagaries of fate are tricky, and the fickle
mindedness of the audience. Adding to it the fact
that not many sports persons are equipped to take
on a career after their sporting life, they look to
cash in on the opportunity at hand. Endorsements
today pay much more than what a player could
possibly earn from his sporting ventures in his
lifetime.

Endorsement

contracts

and

the

4
consequent income thus provide a fair level of

with agencies hired by corporations to do this

financial security to the players. For a job that

type of work. In India, the craze for cricket, the

doesn't provide the benefits of a Provident Fund

huge success of IPL, the growing acceptance and

or Gratuity, one way to look at endorsements is

recognition for other sports like Golf, Tennis and

that they help in securing the athlete's future.

Formula One throw up a myriad of opportunities

Hence the verdict is out, loud and clear. In a

for a professional in this field.

country where sport is the lowest common


denominator, marketers need sportspersons for
the appeal and pull they have. In a country where
maximum public memory is only till the previous
match,

sportspersons

need

marketers

for

financial stability. In this marriage of sports and


commerce, lies the field of sports marketing.
Challenging and stimulating at the same time,
and with the proverbial tipping point crossed, it
is now time to ride the avalanche.
The career sounds glamorous, compelling and
attractive, doesnt it? Well it is all that and much
more. Hard work, persistence and ability to think
on your feet are the most important requisites of
a sports marketing profile. The jobs not only
involve event management, but also athlete
representation, TV rights, sales and distribution,
and licensing and promotion. In an era where
companies want accountability and return on
every dollar spent, bringing a Coca Cola or a
Nike to the playing field is a demanding job.
Employment comes from all angles. You can be
working for a league like EPL or a corporate or a
franchise like Manchester United or an entity like
BCCI or a player. There are also jobs available

The marketer in this field might spend the day


coordinating

the

details

of

contracts

or

negotiating with an athlete for an appearance or


commercial. There is also time spent meeting
with your peers in advertising or PR and
promotion to strategize about how to best
leverage sponsorships or assist with event
planning

and

coordination.

The

job

is

demanding, multifaceted, and requires creativity


and attention to detail.
A sportsperson is above all, a brand. Hence the
most important area of expertise required in this

5
field

is

Brand

management.

Advertising

knowledge and nuances will be a big plus for any


professional looking to enter this field. Expertise
in

complementary

business

fields

management,

like

investments,

financial

and

risk

analysis, as well as about the particular sport and


the trends in the sport will be a huge asset.
Staying up-to-date on sports investment and
market changes is also critical.
Sport has emerged as the biggest and most
enduring

form

marketing deals

of
with

entertainment.

Sports

packaging this

and

presenting to the diverse client base ranging from


viewers to fans to corporate. Challenging,
glamorous, demanding and interesting at the
same time, this field is one of the sunshine
sectors in marketing. Apart from trysts with
celebrities and high value deals, there are
invaluable perks like having a Sania Mirza or a
Sharapova as your client.

Well, thats something!!


In the early 1900s, George Smith made a living selling candy on a stick. As competition was
fierce, he endeavored to find a marketing twist which would differentiate his own product from
many others.
One day, he took a break from work to visit the track. Having placed a large amount of money
on a certain horse, he was delighted to see it win - and named his candy "Lollipops" in honor of
the victor (Lolly Pop).
Walt Disney made his first little nest egg as an 18-year-old ambulance driver in France in 1919,
shortly after the Armistice. Together with a Southern con-man he transformed brand new
German military headgear into 'sniper's helmets' by adding fake bullet holes, mud, blood and
hair, to be sold as souvenirs.

6
A shot in the arm

A look at the relevance of marketing in healthcare


Dr. Tejas Bhat

Healthcare marketing is a relatively new term in

healthcare marketing, doctors and hospital

the marketing circles. Although considered a

owners would exclaim- I am a doctor, not a

very radical concept when first introduced in

product! or If we provide quality care, people

1975 by Evanston Hospital, Illinois, USA, this

will find us by word of mouth. Not so anymore!

concept has permeated to all major healthcare

Although there is still an element of marketing

organizations and any hospital worth its salt now

by reputation, healthcare marketing is being

has a dedicated marketing team.

increasingly

recognized

as

an

important

functional discipline to be utilized in healthcare


management. It is important to realize that the
dynamics of the healthcare market has been
changing. With increasing standardization of
healthcare it is just not enough to let the quality
do the talking. Hospitals which till now used
word of mouth as the main channel (rather the
only channel) of awareness and marketing are
resorting to extensive marketing campaigns to
increase awareness and divert patients from
competitor hospitals. In short, healthcare is
Healthcare as a commodity

becoming more commoditized and all the costs

Till recently, healthcare service providers did not

are transferred to the end consumer; the patient.

consider their practice as a business. It was

The healthcare organizations like any other

rightly considered that their primary purpose was

industry are forced to strategize in terms of

the provision of medical services and that

answering questions like: Who are our target

attending to the details necessary to successfully

consumers? What is the value being provided to

provide this care, namely promotion and

the patient? How to build long term relationship

advertising of the practice, was not only

with patients so that he keeps coming back to the

unnecessary, but actually contrary to the ideals of

same hospital? This transition can be attributed

a good practice. When accosted with the term,

to various factors:

7
Rapid increase in demand resulting in

sometimes, even unethical. As a result, the


competitive arena for marketing has been left

increased competition
Excess capacity in private healthcare

wide open for the relatively new business savvy

Rising costs

practitioners or corporate houses getting into the

Healthcare turning capital intensive with

healthcare sector.
- Hospitals and Practices have to conform to

advent of technology
Consumer activism-right to choose

marketing and advertising guidelines imposed by

How is it different?

the medical licensing boards like Medical

In many aspects, marketing healthcare is not

Council of India.

vastly different from marketing a small business

- Unlike other services or products, healthcare

in other industries. Basic marketing principles

cannot be aggressively marketed; it has to be

that apply to other industries including market

subtle.

research, competitor analysis, strategic planning,

Over

positioning,

management system implemented at an 888-bed

branding,

marketing

strategies,

media options, public relations, tracking and


monitoring

processes,

also

apply

to

12-month

period,

marketing

medical center in Tennessee tracked more than


$1 million in gross revenues per month in

the

incremental business attributable to marketing

healthcare sector. However, there are several

activities. A Pennsylvania hospital's marketing

reasons healthcare marketing is approached

management

differently than marketing for other businesses

individuals contacted for the first time through

and industries. In the healthcare industry, the

system

found

that

of

1,000

hospital marketing activities, 250 became new


patients during a two-month period. A system

marketing process is complicated by many

used by an Illinois medical center determined that

unique variables.

approximately 225 new patients and $200,000 in

- A consumer may be willing to make a tradeoff

new patient business per month were related to

on the cost of a pair of shoes for ones of lower

the activities of the marketing department.

quality, but the same consumer will be reluctant


to apply the same reasoning to his health

Components of Healthcare Marketing

decisions. Healthcare is different in that quality

Marketing in a healthcare organization includes

is a necessary primary factor.

the following functions:

- Unlike in other industries, most healthcare

Marketing research: As with other organization

providers are conditioned or inclined to view

this can be used to assess consumer preferences,

marketing as inappropriate, distasteful, and

8
how consumers do their shopping, perception

example, Apollo Hospitals. The brand has gained

about the hospital among other things.

so much strength that people are now less likely

Marketing planning and strategy: Identify target

to look for specific doctors and in turn rely on

segments and decide on the strategy to capture

Apollo Hospitals to do the job for them. It is now

these segments.

assumed that the hospital employs only the best

Communication and public relations: Making the

of doctors.

target segment aware of your value proposition

Whether marketing a specific specialty of the

and USPs.

hospital like the cardiac care division, or

Patient Liaison: Acts as an intermediate between

branding the hospital as a whole, creating the

the provider and consumer. This includes

brand or personality of the organization has a

relationship marketing.

huge ripple effect on other marketing activities

Contracts and partnerships: Partnering with other

like advertising and public relations efforts. So

service

with

the all important question to ask is What makes

for

your hospital different from all the other

providers

organizations

and

and

contracts

corporate

houses

healthcare.

hospitals in the locality? If your answer is that


you provide quality care, then you need to
rethink the value proposition of your hospital;
for, all hospitals are in the business of providing
quality care or at least would advertise to do so.
More and more hospitals are choosing to select
one or two areas that they are really good at and
advertise these aggressively to patients. Thus
Escorts has positioned itself as a Cardiac
specialty centre in spite of providing treatment in
other specialties. Or you could advertise yourself
as a multi-specialty hospital if and only if you are
the only provider of such facilities in that area.
Building Relationships

Healthcare: Creating a Brand


In recent healthcare marketing, the hospital
brand does a lot to attract patients and also
create word of mouth referrals. Take for

Apart from the usual marketing activities such as


advertising (billboards, posters, handouts etc.),
public relation activities (e.g. publicizing a
successful complex surgery performed at the

9
hospital, publicizing celebrity patients), personal

service after sampling or testing that product or

selling (conducting regular health camps, using

service over time.

opinion leaders), the most important component


of

healthcare

marketing.

marketing

Recognizing

is

the

relationship
fact

that

in

healthcare, it is as important to retain existing


customers as attracting new ones and also that
healthcare choice is still determined largely by
word of mouth marketing, healthcare marketing
at the present time is moving away from
advertising

and

more

toward

relationship

Summary

building.

The role of healthcare marketing has never been

Relationship management is based on the fact

more important. With increasing competition in

that it is five times easier to obtain repeat

this sector, hospitals are exploring new ways in

business from an existing customer than it is to

which to deliver their services and attract clients

get business from a new customer. Relationship

to the same. Healthcare marketing can play a role

management acknowledges the increasing role

in

consumers play in the selection of healthcare

consumers, designing programs to meet those

providers.

needs,

Hospital

marketing

departments

determining

and

the

directing

needs

of

consumers

healthcare

to

those

identify individual consumers with whom they

programs. Such systems can also help manage

may build a relationship. Rather than waiting for

relationships with existing customers on a long-

consumers to contact them, hospitals become

term

proactive, identify previous users of the hospital


and facilitate access for these users to programs
and services that are particularly suited to their
individual

needs.

They

create

sampling

opportunities, such as health fairs and mobile


health status screenings which allow consumers
to test the organization's services as the
consumer

decision

model

suggests

that

consumers develop a preference for a product or

basis.

10
For knowledges sake only!!
1. A stock index formed by a collection of
thirteen

companies

stocks.

Metaquizzics

and was so popular that the song became

The

a hit in its own right. The song's success

companies were all related to a movie

was particularly notable in the UK where

series. This stock index was created by

it is one of the 100 best selling singles of

StockPitr. Identify the index

all time. When the company planned to


broadcast this commercial in South

2. Which

global

brand

was

recently

Africa, they wanted the ad to use an all-

launched with Its time to think HATKE

white version, due to the apartheid

as one of its taglines?

government. Identify the commercial and


the jingle

3. Connect
7. Identify this personality

a.

4. Who is the author of the Purple Cow?


5. Mark Barrauds 1898 painting with
Nipper as its model is famous by which
name
8. What is otherwise known as SOx or
6. In this 1971 commercial, young people
from around the world were shown
singing on hilltop outside Rome, Italy,

Sarbox?

11

Metaquizzics

9. This is a part of logo of which global

13. Connect

company

14. What is nomophobia?

10. Which Indian restaurant won the Food

15. Connect

Oscar for having the best wine in UK?

11. Identify the entity that sports this logo

Clue:

This

international

chain

was

involved in a lawsuit recently for the


reasons

shown.

Solutions to the quiz will be released in


the August edition of Mandi.
a.
12. Thinnovation is the Tagline of ..

12
Creating leaders
Politics and Marketing
by Rishabh Sachdeva
Introduction

Aspects of Political Marketing

If selling something to somebody could change

The most obvious stage for political marketing is

their lives, then the market place in question

election time.

A look at the relevance of marketing in healthcare


ought to be politics. A political contest can
determine
course that countries, states,
Dr. Tejas the
Bhat
communities and cultures take. Not always too
dramatically, I have to agree, but often. A
politician is a strong candidate only if there is a
right combination of issues/ideas and public
relations in his armor. This brings us to the point
that, many out there think of politics and its
contests today as nothing more than a carefully
orchestrated public relations and marketing
exercise.
Marketing and Politics
Experts consider a political contest as an apt
mirror of a market scenario. You've got an
incumbent versus a challenger. In marketing
language, that's an established product versus a

India Shining Campaign by the NDA

new entrant.
Typically, challengers don't have as much

Effort spent on campaigning spells the difference

awareness in the minds of consumers as

between being there and almost.

incumbents do. To build awareness, brand

The various aspects of campaigning would have

structures have to be created. That essentially

to be:

means that you have a brand Republican

1. Party Image Building

versus a brand Democratic in the US

2. Personality Selling

or

quoting from closer back home a toss between

3. Message Development

brand Congress and brand BJP.

4. Communication Strategy

13
5. Implementation of Strategy

worked on or maybe the message he is delivering

The idea of campaigning is to be able to

is not quite relevant.

differentiate one candidate from another. This is

Yes, the Image might be in place, but its a

especially important for a new candidate

dynamic world and political parties need to keep

contesting an incumbent.

themselves abreast with issues relevant to a

On the Indian political scene, the Congress and

voting populace. A vision for governance; an

its set of allies comprising the UPA are what one

understanding of local - socio economic issues of

might call the Secular Front, the BJP and allies,

constituencies and respect for independent

the Saffron Front and then theres the Left.

cultures are essential. It is however true that a

The point being that basically all political parties

voter is not always rational and logical in choice.

represent a certain image which in a market

Rampant ignorance, tendency to vote within

scenario could be equated to Brand Image.

caste, language, religious and cultural divides

These images remains mostly consistent as party

and deep rooted corruption at most levels of

ideologies never really change that much.

governance are some causes which could affect

Oscillations are primarily temporary.

choice. The idea still is to make the offering

Next, of course there are the all important party

worthy of consideration. So, if the Image of

leaders who at any time are the face, heart and

the party isnt enough, then the stress should be

soul of the organizations they belong to.

on combining the right Personality and the

Ideologies need a platter of charismatic, strong,

right Message. Content is an exceedingly

intelligent leaders to be sold on. Ok, maybe not

important component of the Packaging. The

always but ideally yes. In campaigns either

whole American presidential nomination race

personalities of contesting candidates or of

this year was a remarkable example of a duel

national leaders of the party are sold to citizens.

fought on dual platforms of personality and

Therefore it is not surprising that Narendra Modi

message. In fact, given that the American voter

who is the CM of Gujarat was seen recently

was

campaigning in the Kannada speaking heartland.

personalities in Obama, 46 and Clinton, 60 the

Rahul Gandhi has also been touring the country,

message became central in the contest. Obamas

although the ultimate benefit of his excursions

message of Change in a paranoid America won

remains

over Clintons call to Trust in Experience.

largely undiscovered.

His

famous

faced

with

two

equally

compelling

second name hasnt ignited voters yet. Maybe his

Once the foundations of a campaign are made,

personality isnt striking a chord and needs to be

communication becomes important. To build and

14
carry momentum is a difficult task and the right

communication process. A study says that in

choice of media and channels has to be made.

America

The strategy made, implementation follows.

Candidate centered factors and Fund raising are

Communication Strategy

core issues of a campaign communication

Communication can happen through multiple

program. In Europe - Message development rates

channels Rallies,

Television Ads, Debates,

high. In Latin America The character map of

Interviews; Print Media, Phone Banks, Direct

the candidate and party. In East Asia

Mailers and the Internet can be used effectively.

Networking with Support Groups and Political

Communication strategies studied over the past

Connections; while in India - Local issues and

few years have revealed that for incumbents, the

culture and Party support.

relationship between spending great quantities on

Communication Channels

advertising and promotions and winning the

I. Political Rallies Essentials components in

campaign was quite weak.

India

But for the challengers, there was a strong

Trucks/Rickshaws, a special stunt planting a

positive relationship between spending levels and

tree, donating, releasing a book, offering a

vote shares. However, for incumbents the

prayer; hundreds of young flag and banner

relationship between spending and votes was

bearing youth and children and of course the

more complex. While low and moderate levels of

politicians.

incumbent spending bode well for vote shares,

II. Television The concept of advertising

very high levels of incumbent spending had

political parties has not caught so much steam in

negligible effects on results. This indicates that

India. However everyone remembers the India

incumbents frequently over-spend. Therefore it is

Shining campaign of the NDA government in

important to understand investments in this

2002-03,

regard.

effectively to its downfall. The message did not

When it came to negative advertising, the results

capture the spirit of the majority of the nation at

were

negative

the point of time. Today the Bharat Nirman ads

advertising had an adverse effect on incumbents,

of the UPA government are on air at a time when

challengers tended to benefit a great deal from

the country faces a tough economic scenario; will

engaging in mudslinging.

we see a repeat of destinies?

It is also important as has been discussed that the

Apart

Message remains

opportunities for surrogate promotions through

fairly

surprising.

central

While

throughout

the

of

Image

one

that

from

some

Building,

Loud

Personality,

Speakers

believe

advertising,

on

contributed

television

offers

15
participation of spokespersons on shows like

IV. Direct Mailing / Phone Centers Not so

We the People and Big Fight aired on NDTV

well developed in India but used extensively in

among others on News Channels. In American

the west. Target segments through extensive

politics, presidential candidates grill each other

research using components of Segmentation and

in publicly telecasted debates. Also, presence on

Targeting.

expert panels and interviews can go a long way

V. The Internet The internet is an essential

in creating awareness of a partys stand.

component in todays communication strategies.

Barrack Obamas campaign team powered by a

Barrack Obamas website has been a critical cog

$500 m war chest plans to advertise during the

in the success of his nomination campaign.

Olympics broadcast later this year.

Blogs,

III. Print Media The CPI (M) has 5 daily

Discussion Forums are the rage today. In India

papers in 4 languages in India. Parties also have

the media is not very well developed if we

their very own weeklies and fortnightlies. The

consider political party websites but one can find

Congress has The Congress Sandesh, the BJP

The Kamal Sandesh and the CPI (M) has Lok

photographs and articles on them.

Lehar. In fact the CPI (M) is so active that it

V. Lobbying\Lectures\Celebrity Shows An

owns a news network agency Indian News

interesting way to connect with voters, support

Network and a publishing house Leftword

groups, community representatives and political

Books.

networks.

Video

and

newsletters,

Essential

Audio

videos,

for

Feeds,

screen

raising

Wikis,

savers,

funds

for

campaign and party activities.


Implementation - Experiments
In the recently concluded Karnataka polls the
election commission put severe restrictions on
campaign budgets and big rallies. Innovative
ideas to reach the populace spurt forth from
political parties then. A scientist turned assembly
candidate rallied in a solar car to stress on
ensuring a green Bangalore, Masks of the
contestants were distributed by one political
party amongst children, pamphlets slipped into
An Australian Political Ad

newspapers, door to door visits by candidates.

16
When the DMK came to power in Tamil Nadu,

aligned herself with Barrack Obama in this

the Chief Minister distributed free TV sets

years race and so have a host of other names;

promised to BPL families at the time of

giving Obama a wide ranging popular appeal.

elections, very much like a Customer Loyalty

Quirky, eccentric personalities like Lalu Prasad

program. The same minister also partnered a

Yadav, Bala Saheb Thackrey and Narendra Modi

number of restaurants in TN to offer a special 30

are also an essential part of politics. They affirm

- 40% discount on Dosas on his birthday this

the domination of personalities in politics.

year.

Associations

Rahul Gandhi recently conducted a cricket

Like commercial brands, political parties are

tournament

Amethi

recognized by their Logos, Color Schemes, and

constituency where Sachin Tendulkar was in

Slogans. So while the Congress is an Open

attendance. The Amethi Premier League got a

Palm, the BJP is a Lotus, the RJD is a Lamp.

lot of attention from the Indian national media.

One Slogan that inspired BJP supporters for

We have spoken already of the advertising

many years was Agli Bari Atal Bihari (Next

campaigns of two successive governments

time its Vajpayees turn).

for

villagers

in

his

India Shining and Bharat Nirman. The Radio


is another important media used extensively in
countries like South Africa.
Political Bandhs, Political Party supported union
groups, Dharnas and Road Blocks are also
interesting dimensions to the attempt of getting
heard.
Recruiting Film Stars has added the tinsel town
element to politics. We have names like
Shatrugan Sinha, Hema Malini, Jaya Bachan
among others who have joined ranks of political
parties. In American Presidential elections
endorsement of a candidate by celebrities can
help

raise

mammoth

funds

and

connect

candidates with communities. Powerful African


American figurehead Oprah Winfrey has

An Obama Campaign Ad

17
Careers in Political Marketing
1. Campaign Communication Managers
2. Fund Raising
3. Advertising Agencies
4. Opinion Pollsters
5. Message Formulation Strategy
6. News Media
7. Campaign Managers
8. Event Management

Marketing and Politics have an age old equation


which has and will always shape the road we
take. Someone once said Leaders are not born,
they are made. For a marketer that means that
there is some business to be done somewhere.

Well, thats something!!


Irked by Concorde's $97 million loss in 1981, Lord King of Wartnaby, a Conservative firebrand in the
House of Lords, assumed the helm of British Airways and appointed future British Airways flight
director Jock Lowe and another pilot (Brian Walpole) to turn the ailing company around.
"We did some research to find out who our passengers were," Lowe recalled, "and it turned out they
were presidents, chairmen, and directors, and they travelled on Concorde because that was their
entitlement in their company. So an idea formed that maybe telling them it's not that expensive - which
is what BA had been doing - is not the route.
I then had some research done which said, 'Ask them if they know how much the fare is.' Well, 80
percent of the passengers didn't know what the fare was, because it was booked by their travel company
or their P.A. When we asked them to guess, most of them guessed that the fare was higher than it
actually was. So we just said, 'Well, we'll charge them what they think they're paying.' And we gradually
put the fares up."

18
How crude?

Opinions on the oil price rise and regulation

On the day this piece is being written, crude oil


This demand/supply theory helps them target
prices stand at $142 per barrel. The lowest point
their favorite whipping boys, India and China on
A
look
at
the
relevance
of
marketing
in
healthcare
reached was $16 in the year; hold your breath,
the demand side and OPEC countries on the
not couple of decades back, but in 1999. From
supply side. Financial speculation, say some,
Dr. Tejas Bhat
1996 onwards the crude price has witnessed
supported by the OPEC secretary, General
spike after spike of price rise to stand at $142
Abdullah al-Badri. According to Badri, current
today, fuelling inflation all around the world, pun
world consumption of oil at 87 million bpd is far
intended.
exceeded by the "paper market" for oil, which
equals about 1.36 billion bpd, or more than 15
times the actual market demand. The US war on
Iraq, say a few, citing examples of how prices
dropped down during the build up to the war
seeing a quick end but rose steadily on with no
end in site. And yes, governments being
governments, what is a threat to world economy
that cannot be attributed to terrorists.

Source: Wikipedia

Why this has happened and how this mad rush is


going to come to end ? is a question every one
who matters in the Oil world is trying to answer.
The answer or the lack of it, though may lie with
the OPEC cartel, an oxymoron, in itself . For ,a
cartel should not exude power just outside it, but
should have the strength to wield power over its
members too, a fact, OPEC fails to deliver. With
no real control over member countries, no
stringent production quotas, OPEC at the end of
the day , is just a bunch of kids from different
streets who decide the game because they have
the balls, pun unintended.
Talking of the end , how exactly is this
happening? Experts, as usual, have multiple
views( Which is why I keep saying, not all of
them are experts). Demand/ Supply mechanics,
every official in the rest is ready to point out.

All this back end mechanics means just one


thing, the common man, who has to fill petrol
and cook on LPG gas everyday has no respite in
sight. And the governments seem hell bent on
doing exactly the wrong things at the right times.

INDIAN YOY PRICE BASED on WPI: Source: OEA

19
Looking the at the RSP of petrol products over
years ,from when it was Rs 24 a litre in 1999 to
Rs 60 a litre today, less than three fold increase
compared to the nine almost nine fold increase in
crude oil prices.
Though very heartening for the consumer in the
shortest of short runs( even if we keep making
noises, have bandhs and hartals to bring prices
down) it will have a devastating effect in the long
run. Petrol is currently being sold at a loss of Rs
16.34 a litre and diesel at Rs 23.49 a litre.
In the long run, this means two things. One,
spiraling loss for the state run oilcos to the tune
of Rs 2,000 billion this fiscal on sale of petrol,
diesel, domestic LPG and kerosene. Though the
government does compensates the state owned
companies upto one third of the loss due to under
realization, this is hardly enough to keep an
organization on its competitive toes. Two and the
most important aspect is, it prevents the natural
dampening price rises effect to bring down
consumption. In the face of dwindling supplies
and
burgeoning
demand,
controlling
consumption by market dynamics is the best way
out of this hole.
Deregulating fuel prices would mean the prices
of petrol, diesel and associated products are in
line with the prices. This would mean a hike Rs
16-17 in petrol and Rs 24 in diesel. Though the
nation would be hardly happy about it, this will
be a bold step in the right direction. Such a move
will have multiple effects, it will dampen
consumption, stimulate demand for alternate
fuels that will lead to innovation and yes, also
inflation. Now what do you do about the green
little monster called inflation, you might be
tempted to ask.

Fuel prices cause inflation because they are such


an integral part of consumerism in FMCG, from
cooking LPG to trucks and lorries that are part of
the supply chain. So the next best thing would be
keep diesel and LPG prices regulated while
petrol prices should be deregulated. Deregulation
petrol will help reduce losses to the tune of Rs
20000 crores. Petrol hardly forms a significant
part of the value chain in inflation and hence
would not have an adverse impact on inflation.
However, the advantages are manifold .
Consumption for private vehicles will reduce,
demand for fuel guzzlers will go down, need for
alternate fuels will be felt, sights of one man
driving a SUV will be rare and yes, it will bring
down congestion on our little roads in its own
way. And of course, maybe we can see good old
cycles back on the streets soon.

20
Beat from the street
Deepak Nagar, 19. Owner, Nagar Kirana
Stores, Rau, Indore.
Rau is a bustling small settlement just before

After striking a conversation, between bites of

entering Indore. A hub for a number of villages

Dairy Milk, I tell him of my interest in marketing

around the place, it is a small market place full of

and my attempts at understanding it better. He

activity and life. This colorful market is our

asks me straight then and there whether I have a

destination for occasional cups of tea and hot,

shop. And when I tell that I dont and I am just

tasty kachoris. So I decided to have a

an interested student, he has a look of wonder

conversation with one of the many shops that dot

mixed with worry. Something on the lines of

the market. Deadpan practical, shooting straight

Oh My God! What has this world turned into?

from his hip, our hero was a revelation from our

Intros made, the ice broken, I proceed to ask him,

world of jargons.

goad him, quiz him to come out with his ideas of


how the marketing world functions, his insights
on everything from HUL to Govind ghee.
The best part of the conversation came right at
the start. On asked what is his nature and level of
business. He replies in impeccable lingo Semiwholesaler . His explanation I buy from
wholesalers. Village shopkeepers buy from me.
He thinks he is one among the Top five in Rau.
Marriage orders, village festivals are his main
big contracts.
Next came a slew of marketing insights that I
would call Nagarisms. On asked about shelf
space the FMCG guys fight and buy for, he says:

A snapshot of his profile. Deepak Nagar was


fifteen when he entered the business world,
starting by helping out his family run food and
consumer goods store. Called the Kirana Store,
the store , deals with all FMCG goods from both
branded and unbranded players.

One has to be very careful about giving shelf


space to distributors for money, because once
they pay you , you cannot determine the product
line you want there. Imagine if I sell it to Godrej

21

Beat from the street

so I can stock Godrej NO1 and they instead use it

and products and ask to see them even if they

to keep Cinthol Deo Spray? he questions.

dont want to buy it. Oof, thats enough

And having the best ignorant face I could conjure

knowledge for the day, I resign. Before I shake

up with I ask him the difference in having

hands and take leave, I ask his opinions on the

products displayed in different places. He sports

best and most favorite brands in market, his

a smug look of confidence and drawls out

market.

When customers see new products, they feel like

His view of FMCG companies: HUL has the

trying it out, and feel they want it for some

strongest gamut of brands and brand recall, while

purpose.

ITCs FMCG products have extremely low brand

Well

thats

Kotler

on

impulse

purchases for you.

awareness.

Well, I realize, its no more a conversation, I

Dominant Brands in his market:

realize. Then I ask him about the number of

Hair Oil Parachute, Nihar

freebies companies dole out these days. For that

Edible Oil Kriti, Fortune

too he has an answer. And what an answer it

Toothpaste Colgate

was. He says in a very matter of fact manner that

Toothbrush - Pepsodent

freebies matter only when they are offered in a

Shampoo Clinic

separate pouch or packet. Only then people feel

Soap Godrej No.1

they are getting something extra. Having extra

Biscuits Parle G

twenty and thirty percent in the same SKU

Detergent Wheel, Nirma, Ghadi

doesnt influence purchase, he feels.

Chocolates Cadbury

Now, realizing I have an expert within my grasp,

Tea Goodricke

I ask him a question I thought never had an


answer. I asked him how he felt men and women
were different as customers.

Well, he had

answer for that too and what an answer it was.


Men, he says, buy bigger packs, do not haggle
much about prices and spend a extra on
cosmetics. Women he says , try out a lot of
brands, are influenced by freebies, and haggle a
lot about prices. And the final nail, women, he
says , are more knowledgeable about new brands

22
Market Watch

Reconnaissance

Debutants

Does all the weekend binge make


it difficult to catch yourself in the
mirror?
Scared that
the
first
words that you might hear
be You have put on
weight! UB has decided
to play on your thoughts,
and
introduced
Diet
Whiskey and Diet Vodka
in the US. Looking at how Kingfisher Airlines is
bleeding, maybe he will need quite a few shots
himself.
After waiting for ages, the original roadstyle
crossover SUV is
here.
The
Mitsubishi
Outlander would
be
out
this
September,
and
priced at the upside of Rs 16 lakhs. To be pitted
against Captiva, the CRV and the Grand Vitara.
One banner is crowding the Apple website, and
search crawlers frequent the site more than any
other website. IPhone 3G
is here. And considering
the withering sales of the
first version, Apple could
not have timed it any
better. Halving the price,
adding features that were

sorely missed on the earlier version. And with


pushmail integrated, the new IPhone tries to be a
Swarovski embedded Blackberry. Cheers to that!
The Hottest brand of the
season? Four letters in red!
The whole world watches 16
countries going to war. And
screen audiences in India
peaked to watch all the
colorful lady fans at the
Stadium.
She should have retired, but then here she is. 60
years old, the multibillion
dollar
Estee
Lauder brand entered
India on a back of strong
Asia sales. They opened
in Mumbai, and plan to
enter Delhi and Bangalore
shortly. And since Liz Hurley is hot on the website, should we be looking at a high-profile
promotion just like her wedding?

To Round off this


edition; a company has
found a solution for the
case of the missing
Sock. And how! By
selling three socks
instead of two, Throx
(www.throx.com) think they can remedy the age
old problem. Now that is the find of the season,
literally!

23

Ad-sense

Dear Readers,
Heartfelt thanks for your readership ad support. We
intend to make it a magazine that is as much yours as
ours. In this regard, we will be publishing two articles
every edition from the readers. The article should be in
line with the theme of that edition.

The Theme for the Next Edition is:


New Avenues in Advertising

Please send in your entries to


mandi.iimi@gmail.com
Format: MS Word, Times New Roman, Font size 12,
Word Limit: 2500 words
Everybody is invited

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