Tweetlevel.com, the Twitter tool re-launched by Edelman, helps brands to measure their influence on Twitter.com.
If the Twitter influence measurement tool named Tweetlevel.com is to be believed, Vodafone is one the most influential telecom brands on Twitter, compared to other leading telecom service providers such as Airtel, Idea Cellular, Aircel and Tata Docomo, as on July 27.
According to Tweetlevel.com, Vodafone (Twitter.com/vodafonein) has an influence score of 69, which is high compared to Airtel (Twitter.com/Airtel_presence, 63.3), Tata Docomo (Twitter.com/TataDocomo, 63.3), Idea Cellular (Twitter.com/IdeaCellular, 56.4), and Aircel (Twitter.com/Aircel_India, 46.9).
Similarly, Nokia (Twitter.com/NokiaIndia, 61) and Samsung (Twitter.com/samsung_india, 61) are the most influential brands on Twitter among the mobile handset manufacturer brands. Interestingly, Nokia and Samsung's dominance in the mobile handset market is reflected in their Twitter presence. Tweetlevel scores of other leading telecom brands are: BlackBerry (Twitter.com/Blackberryin, 57.6), Micromax (Twitter.com/MMXsurprise, 50.5), Videocon Mobile (Twitter.com/Vmobi, 37.3), Spice Mobile (Twitter.com/Spicemobile, 33.6) and Sony Ericsson (Twitter.com/SEIndia, 21.3).
Tweetlevel.com, which has been recently revamped and re-launched by the independent public relations firm Edelman, calculates the level of influence a person or brand possesses on Twitter. The influence score is measured on a scale of 1 to 100, with 100 as the most influential score. According to the information available on Tweetlevel.com, the tool takes into account about 40 parameters to arrive at the final influence score.
For instance, it tracks the number of followers of a user/brand and the number of people a user is following. Tweetlevel.com analyses the content curated by a user (last 30 days) to understand how much an individual creates 'engaging content', as opposed to simply broadcasting his opinion. It figures out the total number of updates and measures the frequency of posts (how often a user posts updates on Twitter). It identifies how many people engage in conversations with an individual or point to his name. Tweetlevel.com also monitors the 'Twitter Lists' curated by the user/brand, counts the number of lists a user/brand is included in and the number of people that follow these lists.
It is important to note that Tweetlevel.com only measures the influence of a brand on Twitter.com, while Klout.com, which is another major tool used by brands, is a broader tool to find out influence on social media. It incorporates data from Facebook and LinkedIn accounts of a user or brand to arrive at the influence score.
Wednesday, July 27, 2011
Tuesday, March 15, 2011
Brand of Trust
Despite Sunita Narain's report, the world seems to be still divided in two age old categories—the Coke people and the Pepsi people. Children all over India are seen drinking their favourite cold drink. Again, despite several allegations, Ramdev Baba, the most powerful health brand of India, continues to enjoy unshaken trust of his followers. When the reports claimed that the medicines prepared by Baba contained animal bones, even the most stubborn vegetarians refused to believe them.
The point is not whether these reports are correct or wrong. The point here is what makes these brands enjoy the trust of their consumers even in the midst of controversy? How do they build a bond of trust which seems almost unbreakable? That's the power of a brand and the fruits of relentless efforts that have gone into brand building. The fact is that these brands are no longer non-living entities but are friends, guides, mentors or philosophers. Consumers choose to trust them and expect them to not breach this emotional bond of friendship.
Branding in pharma
In pharma brand building, principles are no different from those of FMCG brands. However, they need to be applied with necessary modifications. (No cut paste here please!) When done so, the pharma brand has a higher tendency towards building an emotional bond with its customer be it a doctor or a patient. After all, there are a lot more 'feelings' associated with health. A doctor is always interested in a patient's feelings. He often asks, "How are you feeling?" We often 'feel' sick or we 'feel' better. Every brand manager must understand this 'feeling bond' that patients share with his medicine and strengthen it further. That's how he builds his brand.
Building brand personality
Internationally, efforts to develop brand personality starts as early as Phase II of clinical trials. Fosamax, a brand of alendronate, was much faster in articulating its personality. The brand Fosamax is meant for osteoporosis. The personality of the brand had to be that of a strong person, the person who can support you, especially when the bones have decided otherwise. The brand's basic promise lived upto the brand's personality which is ageless indepen-dence. Clinical papers written on Fosamax studied the 'independence factor' of a patient while he went about his day-to-day activities. FCB Healthcare, the advertising agency working on the brand, developed several pieces of communication that depicted strength. This strengthened robust masculine image of Fosamax.
Fundamental steps in brand building
Understanding the needs of the patient is the first crucial step in brand building. The next important task is to understand the key opinion leaders' views or needs on the disease and the molecule. Thankfully, the physicians' needs do not differ much from their patients'. In fact, fulfilling his patients' needs is the fundamental need of a physician. The second most important step is to understand the competing brand's personality. What are the gaps left by the competition that can be filled?
FCB Ulka Healthcare, had an excellent experience while working on 'Calcium Sandoz Woman'. The brand was targeted at women above 35. From purely rational perspective, Calcium Sandoz Woman did not have anything special to offer. Several other brands in the market were doing quite well. While talking to consumers, we realised that none of the existing brands in the market had a personality of a 'friend' who could understand her. She wanted someone who understands her. She wanted something that was developed especially for her keeping her needs in mind. The entire Calcium Sandoz Woman communication was developed to build the 'bridge of understanding' between the brand and the consumer. The very brand name, Calcium Sandoz Woman suggested that it was exclusively for her.
Behind a successful brand…
The essentials that go into the making of a good and strong brand name are brand name decisions, brand vocabulary, colours, style and packaging. Kantabai certainly cannot be the name of a 25-year-old young executive working in a BPO. Probably, it's the name of domestic help at your home. The name says it all. It is the first one to give the personality to the brand. Brand name is one such element which will remain constant throughout the brand's life. While other elements such as packaging, price and promotion are all subject to change, the brand name is the one enduring means of identifying a product and subsequently a crucial role in building and maintaining consumer loyalty. The word Viagra is masculine. It is formed by phonetically strong alphabets. The 'gra' in Viagra gives it male character. Lilly wanted to launch its brand for male erectile dysfunction which was positioned against Viagra. While Viagra acted for four hours, Lilly's tadalafil could act for 36 hours.
Thus, it took care of the female partner of the patient (unlike Viagra). The personality of tadalafil, therefore, had to be feminine. They chose to name it Cialis, a name formed by phonetically softer alphabets. It gave feminine personality to the brand and strengthened the brand promise.
The vocabulary of a brand gives the brand its character. Munnabhai sounds like the real Munnabhai, the minute he says Vaat laga dala. The brand vocabulary comes alive from the claims that it makes, the baseline it uses and the clinical papers it publishes. Colours are also extremely important in pharma brand building. While the colour orange connotes stimulant action, blue connotes sedation. Green and light blues connote safety, while magenta and red connote power. All of us know that a picture is more powerful than a thousand words. The butterfly of Trika evokes feelings of serenity and peacefulness—just what an anxious insomniac needs. Thus, illustrative style and mnemonic are considered the pillars of non-verbal communication.
Packaging is the brand's attire. While FMCG industry keeps experimenting with packaging, the pharma world seems conservative. In today's day and age packaging has to be perfect to win the loyalty of the consumer. When Tylenol launched its line extension for arthritic patients, it developed a unique packaging, especially for them. Opening the cap of a medicine bottle is the biggest difficulty for an arthritic patient. Tylenol made this task easy and lived up to its image of a caretaker.
Science is at the heart of every pharma brand. While retaining this scientific core, pharma brand must develop its own personality and its own character. It helps a brand strike the right chord with its consumers and prescribers, which is cherished through-out the brand's life.
Happy branding!!!
The point is not whether these reports are correct or wrong. The point here is what makes these brands enjoy the trust of their consumers even in the midst of controversy? How do they build a bond of trust which seems almost unbreakable? That's the power of a brand and the fruits of relentless efforts that have gone into brand building. The fact is that these brands are no longer non-living entities but are friends, guides, mentors or philosophers. Consumers choose to trust them and expect them to not breach this emotional bond of friendship.
Branding in pharma
In pharma brand building, principles are no different from those of FMCG brands. However, they need to be applied with necessary modifications. (No cut paste here please!) When done so, the pharma brand has a higher tendency towards building an emotional bond with its customer be it a doctor or a patient. After all, there are a lot more 'feelings' associated with health. A doctor is always interested in a patient's feelings. He often asks, "How are you feeling?" We often 'feel' sick or we 'feel' better. Every brand manager must understand this 'feeling bond' that patients share with his medicine and strengthen it further. That's how he builds his brand.
Building brand personality
Internationally, efforts to develop brand personality starts as early as Phase II of clinical trials. Fosamax, a brand of alendronate, was much faster in articulating its personality. The brand Fosamax is meant for osteoporosis. The personality of the brand had to be that of a strong person, the person who can support you, especially when the bones have decided otherwise. The brand's basic promise lived upto the brand's personality which is ageless indepen-dence. Clinical papers written on Fosamax studied the 'independence factor' of a patient while he went about his day-to-day activities. FCB Healthcare, the advertising agency working on the brand, developed several pieces of communication that depicted strength. This strengthened robust masculine image of Fosamax.
Fundamental steps in brand building
Understanding the needs of the patient is the first crucial step in brand building. The next important task is to understand the key opinion leaders' views or needs on the disease and the molecule. Thankfully, the physicians' needs do not differ much from their patients'. In fact, fulfilling his patients' needs is the fundamental need of a physician. The second most important step is to understand the competing brand's personality. What are the gaps left by the competition that can be filled?
FCB Ulka Healthcare, had an excellent experience while working on 'Calcium Sandoz Woman'. The brand was targeted at women above 35. From purely rational perspective, Calcium Sandoz Woman did not have anything special to offer. Several other brands in the market were doing quite well. While talking to consumers, we realised that none of the existing brands in the market had a personality of a 'friend' who could understand her. She wanted someone who understands her. She wanted something that was developed especially for her keeping her needs in mind. The entire Calcium Sandoz Woman communication was developed to build the 'bridge of understanding' between the brand and the consumer. The very brand name, Calcium Sandoz Woman suggested that it was exclusively for her.
Behind a successful brand…
The essentials that go into the making of a good and strong brand name are brand name decisions, brand vocabulary, colours, style and packaging. Kantabai certainly cannot be the name of a 25-year-old young executive working in a BPO. Probably, it's the name of domestic help at your home. The name says it all. It is the first one to give the personality to the brand. Brand name is one such element which will remain constant throughout the brand's life. While other elements such as packaging, price and promotion are all subject to change, the brand name is the one enduring means of identifying a product and subsequently a crucial role in building and maintaining consumer loyalty. The word Viagra is masculine. It is formed by phonetically strong alphabets. The 'gra' in Viagra gives it male character. Lilly wanted to launch its brand for male erectile dysfunction which was positioned against Viagra. While Viagra acted for four hours, Lilly's tadalafil could act for 36 hours.
Thus, it took care of the female partner of the patient (unlike Viagra). The personality of tadalafil, therefore, had to be feminine. They chose to name it Cialis, a name formed by phonetically softer alphabets. It gave feminine personality to the brand and strengthened the brand promise.
The vocabulary of a brand gives the brand its character. Munnabhai sounds like the real Munnabhai, the minute he says Vaat laga dala. The brand vocabulary comes alive from the claims that it makes, the baseline it uses and the clinical papers it publishes. Colours are also extremely important in pharma brand building. While the colour orange connotes stimulant action, blue connotes sedation. Green and light blues connote safety, while magenta and red connote power. All of us know that a picture is more powerful than a thousand words. The butterfly of Trika evokes feelings of serenity and peacefulness—just what an anxious insomniac needs. Thus, illustrative style and mnemonic are considered the pillars of non-verbal communication.
Packaging is the brand's attire. While FMCG industry keeps experimenting with packaging, the pharma world seems conservative. In today's day and age packaging has to be perfect to win the loyalty of the consumer. When Tylenol launched its line extension for arthritic patients, it developed a unique packaging, especially for them. Opening the cap of a medicine bottle is the biggest difficulty for an arthritic patient. Tylenol made this task easy and lived up to its image of a caretaker.
Science is at the heart of every pharma brand. While retaining this scientific core, pharma brand must develop its own personality and its own character. It helps a brand strike the right chord with its consumers and prescribers, which is cherished through-out the brand's life.
Happy branding!!!
Thursday, December 23, 2010
Raymond changes tack; focuses on building 'The Raymond Shop' brand
After talking about the 'The Complete Man' for decades, the company has shifted focus to promoting its retail chain - The Raymond Shop.
Incorporated in 1925, Raymond has so far been known for its positioning, 'The Complete Man'. Now, however, the textile brand has decided to move ahead by talking about its retail chain -- The Raymond Shop.
What started as a small corner shop in Ballard Estate, Mumbai, five decades ago, has grown into one of the largest retail chains in the country, with more than 550 stores in over 200 cities. The retail chain houses the company's range of men's brands, such as Raymond, Raymond Premium Apparel, Manzoni, Park Avenue, ColorPlus, Parx and Notting Hill.
Speaking on the strategy for The Raymond Shop, Rakesh Pandey, president - retail and business development, Raymond, says, "While the brand Raymond has been popular for ages, our research reflected facts like most customers are not aware that brands like Manzoni, ColorPlus, Parx and Notting Hill are part of Raymond Group and are available at The Raymond Shop. Thus, through the campaign, we wanted to tell our consumer that the shop is a one-stop destination for men, as they can find a huge range and the other Raymond brands under one roof."
However, Pandey asserts that this is not the end of the road for 'The Complete Man'. According to him, "'The Complete Man' is the positioning for brand Raymond; and while the company keeps promoting its flagship brand, it will continue with the same positioning."
He adds that the new strategy for the company is to focus on promoting the shop. Thus, in an effort to talk to its consumers about The Raymond Shop, the company has recently launched a television commercial, which is slated to be followed by many more in future.
Created by RK Swamy BBDO, the television commercial, 'Come and See' starts with three young men trying various stitched clothes from brand Raymond; and then going on to try apparel from Park Avenue, Parx and ColorPlus.
As the brand changes, the TVC shows the three men wearing various styles of clothes, to further emphasise that the retail shop has a wide range of men's apparel, from suiting fabrics to readymade clothes. The commercial ends with the tagline, "Walk in with an idea, walk out with a wardrobe," which is the positioning of the retail chain. The background score of the TVC is based on the signature Raymond tune.
For Shailen Sohoni, COO, RK Swamy BBDO, it was important to change the perception of the consumer. He elaborates, "The idea of the commercial was to showcase the complete wardrobe range of casuals, smart casuals, formals and tailoring services, offered through various group brands under one roof at The Raymond Shop."
Need of the hour?
Is it rather late in the day for Raymond to move beyond its flagship brand to promote its other offerings? Or, is it a desperate attempt to give a fresh lease of life to its fading brand appeal?
According to Cajetan Vaz, an independent brand consultant, for ages, Raymond has only been talking about its flagship brand; thus, consumers are not aware of all the brands the company houses. For example, not many are aware that the company has a kids' brand, Zapp.
He opines, "The Raymond store is a great shopping destination; and that is what the company is talking about. I don't think the timing is wrong."
Kiran Khalap, co-founder, Chlorophyll Brand and Communications Consultancy feels that Raymond is an outdated brand, and the new commercial to promote the shop is a mere attempt from the company's side to give a contemporary look to the ageing Raymond brand.
However, Jagdeep Kapoor, chairman and managing director, Samsika Marketing Consultants opines that the timing of the promotion of the shop is absolutely correct, as modern retail formats are growing fast.
He explains, "Raymond is an extremely premium and aspirational brand with a large number of stores located in every corner of the country. It's about time for the company to show itself as a solution provider for men's apparel. Also, this highlights that Raymond from here is going to grow, as it has started paying attention to not one or two, rather all of its brands."
For ideation consultant, Vinay Kanchan, the campaign is a reinforcement exercise by the company. "Though people are aware of Raymond and all of its brands, it is important to remind them time and again," adds Kanchan.
Wednesday, December 22, 2010
Donear NXG :- Garments & Apparels EBO’s
Donear Industries Limited,Mumbai, a public limited & listed company is on retail expansion spree, after the huge success and launch of their apparels value retail chain brand – D’Cot - in India, whose presence scrolls in 16 states and 140 cities with 262 stores in the country has shown a remarkable performance for the promoters and their trade partners. Donear Industries ltd now announces its foray in the premium clothing segment, by the brand `DONEAR – NXG’ Next Genration Apparels - the premium brand seeks to capture a new audience. With DONEAR – NXG..next generation apparels. Indicating the vertical integration of DONEAR fabrics to Apparels.
Initially it would have the expertise collection of Products from their own manufacturing house, produced from LA (liquid ammonia) machine. It produces zero wrinkle product of high end cotton for the bottom and top wear. Company has backed up Rs.500 crores project for backward integration,which is Asia’s second biggest project ever, wherin world class production capacity & design studio are held up with.Donear is also supplying to the top 40 garment brands nationally and internationally also exporting to 18 countries across the globe.It has also done International Collaboration for the fashion & designs to give a global experience to Indian consumers at affordable prices. Company is targeting to open 100 stores in coming year. The markets where Donear NXG will spread its wings through EBO’s (exclusive brand outlets) are Metros , Tier I & Tier II cities.
Donear NXG – next generation apparels would initially include Shirts, Trousers, Denims & T-Shirts. Company is targeting the Middle and Upper Middle class group with this brand.Managements believes NXG is fashionable yet affordable it would range in the following way : Shirts – Formal will be available from 499/- onwards Shirts – Casual will be available from Rs.549/- onwards, Trousers – Formal will be available from Rs.649/- onwards Trousers – Casual will be available from Rs.749/- onwards, Tees will be available from Rs.299/- onwards and Denims will be available from Rs.749 onwards.
Donear in a strategic move to increase its market share launched `DONEAR NXG’ targeted at the young and successful professionals & entrepreneurs who have achieved success has bashed up the milestones & who feel that they represent the future generation.
Donear NXG offers a premium and internationally styled collection with its exciting range of shirt, trousers & denims designed with the finest quality of fabrics, contemporary cuts with superb fits and soft and bold colors that brings in freshness & the transparent meaning of fashion with quality.
DONEAR” as a mother brand has a proven track record for creating new success stories. With the launch of DONEAR NXG, management believe this strategic move will take the brand to a new pinnacle. Donear NXG offers premium quality, internationally styled garments that meets with the growing consumer’s demands.
After the successful test marketing campaign of Donear NXG…next generation apparels at D’Cot stores.An exclusive collection of DONEAR NXG will be initially available at 100 exclusive brand outlets of D’Cot, which is targeted at the mid and premium audience who posses young and the dynamic personality , entrepreneurs who are high on ambition, attitude and spirit! The DONEAR NXG consumer has an assured sense of self confidence and works with ease and success despite the fact that he is unassuming and unpretentious. He believes in himself and is proud to be who he is.
After the lot of practice in the motion and research & development , and healthy experienced involved of country’s finest designers and stylists management feels the garments styles and designs are contemporary, drawing inspiration from European designs while blending them with the Indian sensibilities. The NXG products are made from 100% high-end cotton.
Soaring ambitions of young people & lure to look good becomes possible with DONEAR NXG. Donear positioning the brand DONEAR NXG as a toast to the young consumer’s progression in life – stating the next generation apparels”.
Donear NXG portrays the young and enthusiastic Indian and makes the consumer feel the world ahead by its next generation apparels. NXG is launched keeping in mind the quality, style, design & versatility of apparels which is zest of fashion and garment industry, which turns out to be for those who feel that they represent the next generation of the country, so for them it is the time to turn on to Donear NXG.
The newly launched DONEAR - NXG is engineered to make the wardrobe more appealing and exciting to the younger audience who prefer to be acknowledged as next generation people, always a step ahead.
We Believe: - Joining together is the Beginning ,
Working together is the Success.
News channels ride on 'fast speed' to attract viewers
News channels are creating speedy news capsules as an integral part of the overall content mix.
In a bid to keep pace with the fast, on-the-move life of their urban audience, news channels across the industry are creating speedy news capsules as an integral part of the overall content mix.
While it was Zee News that pioneered the idea with its News Top 10 property; today, nearly every news channel carries such capsules to keep the viewers abreast with the latest news across the day.
Broadcasters and media observers believe that such content gives a crisper update of happenings round the clock to the audience, thereby providing spikes in channel viewership.
Says Bhushan Khot, business head (Zee 24 Taas), Zee News, "There are certain target groups, who do not have the time or inclination to go through long news bulletins and want a quick shot at the major happenings at that particular day or time. The need is to take care of all types of audience, who are either regular or frequent viewers of a particular news channel."
Thus, such capsules help in not missing out on target groups, who are interested in speedy bulletins or spend less time on the news channel, he says.
According to Amit Ray, president and COO, Lintas Media Group, in addition to the traditional news format -- bulletins -- across news channels, the audience is also exposed to other formats, such as mobile and the internet.
"And these formats produce information for the audience in a much crisper manner to feed their increased news appetite. People today have a very short memory span; they want to keep themselves updated and do not want much analysis. This is where such news capsules create their own viewers," he says.
From the advertisers' point of view too, such capsules are a great pull for their target audience.
A top media executive says, on condition of anonymity, that such formats are a good branding opportunity for companies. Thus, many advertisers are interested in sponsorship deals for these news capsules.
However, while many believe that such content is the need of the hour to pull in the ever-surfing viewers; there are a few who believe that the existence of the same format across channels only proves the dearth of innovation.
Arnab Goswami, managing editor, Times Now, says, "This is one of the oldest ways of showing news to the viewers. And there is nothing fresh in it. This also shows that there is a dearth of innovation in the industry."
Another top broadcaster, on condition of anonymity, opines, "While Zee had started it once, today there is an overcrowding of such content. And to keep audiences hooked onto the channel, innovative ideas have to drop in."
In a bid to keep pace with the fast, on-the-move life of their urban audience, news channels across the industry are creating speedy news capsules as an integral part of the overall content mix.
While it was Zee News that pioneered the idea with its News Top 10 property; today, nearly every news channel carries such capsules to keep the viewers abreast with the latest news across the day.
Broadcasters and media observers believe that such content gives a crisper update of happenings round the clock to the audience, thereby providing spikes in channel viewership.
Says Bhushan Khot, business head (Zee 24 Taas), Zee News, "There are certain target groups, who do not have the time or inclination to go through long news bulletins and want a quick shot at the major happenings at that particular day or time. The need is to take care of all types of audience, who are either regular or frequent viewers of a particular news channel."
Thus, such capsules help in not missing out on target groups, who are interested in speedy bulletins or spend less time on the news channel, he says.
According to Amit Ray, president and COO, Lintas Media Group, in addition to the traditional news format -- bulletins -- across news channels, the audience is also exposed to other formats, such as mobile and the internet.
"And these formats produce information for the audience in a much crisper manner to feed their increased news appetite. People today have a very short memory span; they want to keep themselves updated and do not want much analysis. This is where such news capsules create their own viewers," he says.
From the advertisers' point of view too, such capsules are a great pull for their target audience.
A top media executive says, on condition of anonymity, that such formats are a good branding opportunity for companies. Thus, many advertisers are interested in sponsorship deals for these news capsules.
However, while many believe that such content is the need of the hour to pull in the ever-surfing viewers; there are a few who believe that the existence of the same format across channels only proves the dearth of innovation.
Arnab Goswami, managing editor, Times Now, says, "This is one of the oldest ways of showing news to the viewers. And there is nothing fresh in it. This also shows that there is a dearth of innovation in the industry."
Another top broadcaster, on condition of anonymity, opines, "While Zee had started it once, today there is an overcrowding of such content. And to keep audiences hooked onto the channel, innovative ideas have to drop in."
Tuesday, October 12, 2010
Odomos: Giving a slip to mosquitoes
Dabur, to promote its mosquito repellent oil, launched an on ground initiative reaching almost 80,000 people in 130 villages across Uttar Pradesh.
Mosquitoes have become a menace and to counter the problem, various remedies are currently in use - from repellent sprays and coils to creams and oils. However, the mosquito repellent oil category is unorganised and largely dominated by local products. Entering this segment is Dabur, with its flagship mosquito repellent brand, Odomos.
This summer, the healthcare company rolled out the mosquito repellent oil under the brand name Odomos Oil, to provide rural consumers better safety from mosquito borne diseases at an affordable price.
To strengthen the brand presence in rural areas, the company rolled out an educational campaign called Machhar Mukti Abhiyan in Uttar Pradesh. The campaign aimed at educating the rural population about the various mosquito generated diseases and their prevention.
"Although the campaign was TV-led, due to problems like lack of electricity - the media coverage is not 100 per cent. To reach out to our audience, we launched this on ground initiative," says Rama Dhamija, brand head, Odomos, Dabur India.
The campaign aims to reach more than 1.20 lakh people in 232 villages in two phases. The districts it aims to cover are Allahabad, Varanasi, Muzaffarnagar, Meerut, Saharanpur, Ghaziabad, Bulandshaher, Aligarh, Bijnor, Moradabad, Rampur, Bareilly, Kanpur, Farukhabad, Itawa, Agra, Jhansi, Lucknow, Shahjahanpur, Faizabad and Gorakhpur. The campaign is managed by the activation agency, Jagran Solutions.
In its first phase, which began on August 29 and ended on October 3, it reached about 101 villages in UP, interacting with almost 30,000 people. Districts covered in the activity include Meerut, Muzaffarnagar, Saharanpur, Bijnor, Moradabad, Rampur, Kanpur, Farukhabad and Etawah.
The brief to given to agency emphasised on educating about the mosquito related problem and to gain market share by highlighting the various ill effects of the cheap oils available in the market. "The concept had to be educative and interactive, touching the heart of the rural audience and allowing them to participate actively," says Ambika Sharma, chief operating officer, Jagran Solutions.
The objective of the campaign was four fold: first, to educate the rural population about the various diseases transmitted by mosquitoes and their prevention. Secondly, to educate the audience about the danger caused by cheap products available in the category. Thirdly, to establish Odomos Oil as the most trusted brand for the cause and finally, to induce brand trial and purchase.
To achieve the objective, the agency used flip charts to highlight various facts such as death caused by mosquito borne diseases, details and symptoms of these diseases, how to prevent these diseases and how Odomos Oil can help. These flip charts were used during the activity, which was spread over primary health centres, Asha Didis (health workers), haats, street plays and movie screening.
Various primary health centres were set up in the villages, where people could get more information on mosquito borne diseases and their cure. This was supported by health workers, who gathered the women of the village and educated them on the ill effects of using home remedies to cure mosquito borne diseases and further tell them about the product. This activity was conducted in 47 villages.
To mark the brand's presence in the haats, the agency used 'dhols' and 'nagadas' to spread the message and make announcements. People carrying these drums roamed the entire haat and brought the consumers to the kiosk area. The presence was further escalated by 15'X6' replicas of the bottle, placed near the kiosks, which were visible from a distance of a kilometre.
Again, to make the interaction fun and exciting, 'nukkad nataks' (street plays) were organised at regular intervals. The nukkad natak has primary characters such as Sukhiya (user of Odomos Oil) and Dukhiya (user of local oil). Through the play, the ill effects of local oil and the safe features of Odomos Oil were depicted.
Talking about the interactivity status of nukkad nataks, Sharma says, "Street plays are infotainment and entertainment is the heart of the country. Therefore, they are highly engaging. Secondly, we are able to use local theatres and language, which makes the connect very strong and this is not possible in any other medium. Finally, unlike TV, it is not just delivering the message but doing so in an interactive manner."
To sample the product, the agency screened movies in the evening in open areas - when density of mosquitoes is high. The movies were screened for 130 days in 130 villages. During these screening sessions, the audience was asked to apply Odomos Oil and watch the movie without any disturbance - giving them a first-hand feel of the product and its benefits. Also, in between the movies, ads of Odmos Oil were inserted at intervals of 30 minutes for four-five times, for further recall and influence.
The market in the category is dominated by cheap variants and local products with lots of ill effects. "The reasoning behind launching this kind of product was that oil costs comparatively less than cream. Also, per application usage of the oil variant is very low compared to the cream variant," says Dhamija.
The product is targeted at users of coil and local variant oils in mosquito repellent category in the rural areas. Odomos Oil has been competitively priced so that it becomes affordable for rural consumers. The creams in the category cost almost 50 per cent more than oils. A 40 ml bottle of Odomos Oil costs Rs 17, whereas a 50 mg pack of Odomos Cream costs Rs 30.
As for the market of Odomos, Dhamija says, "Odomos recorded a growth of 40 per cent in the first quarter as compared to the comparable quarter last year - and almost doubled the sales last month in comparison to the same month last year." He further adds that Odomos is one of the fastest growing brands in the company's portfolio.
Talking about UP as a market for the brand, he says that along with Tamil Nadu and Maharashtra, UP figures amongst the top three markets. However, the other two markets are more urban driven, whereas UP is more rural driven.
Mosquitoes have become a menace and to counter the problem, various remedies are currently in use - from repellent sprays and coils to creams and oils. However, the mosquito repellent oil category is unorganised and largely dominated by local products. Entering this segment is Dabur, with its flagship mosquito repellent brand, Odomos.
This summer, the healthcare company rolled out the mosquito repellent oil under the brand name Odomos Oil, to provide rural consumers better safety from mosquito borne diseases at an affordable price.
To strengthen the brand presence in rural areas, the company rolled out an educational campaign called Machhar Mukti Abhiyan in Uttar Pradesh. The campaign aimed at educating the rural population about the various mosquito generated diseases and their prevention.
"Although the campaign was TV-led, due to problems like lack of electricity - the media coverage is not 100 per cent. To reach out to our audience, we launched this on ground initiative," says Rama Dhamija, brand head, Odomos, Dabur India.
The campaign aims to reach more than 1.20 lakh people in 232 villages in two phases. The districts it aims to cover are Allahabad, Varanasi, Muzaffarnagar, Meerut, Saharanpur, Ghaziabad, Bulandshaher, Aligarh, Bijnor, Moradabad, Rampur, Bareilly, Kanpur, Farukhabad, Itawa, Agra, Jhansi, Lucknow, Shahjahanpur, Faizabad and Gorakhpur. The campaign is managed by the activation agency, Jagran Solutions.
In its first phase, which began on August 29 and ended on October 3, it reached about 101 villages in UP, interacting with almost 30,000 people. Districts covered in the activity include Meerut, Muzaffarnagar, Saharanpur, Bijnor, Moradabad, Rampur, Kanpur, Farukhabad and Etawah.
The brief to given to agency emphasised on educating about the mosquito related problem and to gain market share by highlighting the various ill effects of the cheap oils available in the market. "The concept had to be educative and interactive, touching the heart of the rural audience and allowing them to participate actively," says Ambika Sharma, chief operating officer, Jagran Solutions.
The objective of the campaign was four fold: first, to educate the rural population about the various diseases transmitted by mosquitoes and their prevention. Secondly, to educate the audience about the danger caused by cheap products available in the category. Thirdly, to establish Odomos Oil as the most trusted brand for the cause and finally, to induce brand trial and purchase.
To achieve the objective, the agency used flip charts to highlight various facts such as death caused by mosquito borne diseases, details and symptoms of these diseases, how to prevent these diseases and how Odomos Oil can help. These flip charts were used during the activity, which was spread over primary health centres, Asha Didis (health workers), haats, street plays and movie screening.
Various primary health centres were set up in the villages, where people could get more information on mosquito borne diseases and their cure. This was supported by health workers, who gathered the women of the village and educated them on the ill effects of using home remedies to cure mosquito borne diseases and further tell them about the product. This activity was conducted in 47 villages.
To mark the brand's presence in the haats, the agency used 'dhols' and 'nagadas' to spread the message and make announcements. People carrying these drums roamed the entire haat and brought the consumers to the kiosk area. The presence was further escalated by 15'X6' replicas of the bottle, placed near the kiosks, which were visible from a distance of a kilometre.
Again, to make the interaction fun and exciting, 'nukkad nataks' (street plays) were organised at regular intervals. The nukkad natak has primary characters such as Sukhiya (user of Odomos Oil) and Dukhiya (user of local oil). Through the play, the ill effects of local oil and the safe features of Odomos Oil were depicted.
Talking about the interactivity status of nukkad nataks, Sharma says, "Street plays are infotainment and entertainment is the heart of the country. Therefore, they are highly engaging. Secondly, we are able to use local theatres and language, which makes the connect very strong and this is not possible in any other medium. Finally, unlike TV, it is not just delivering the message but doing so in an interactive manner."
To sample the product, the agency screened movies in the evening in open areas - when density of mosquitoes is high. The movies were screened for 130 days in 130 villages. During these screening sessions, the audience was asked to apply Odomos Oil and watch the movie without any disturbance - giving them a first-hand feel of the product and its benefits. Also, in between the movies, ads of Odmos Oil were inserted at intervals of 30 minutes for four-five times, for further recall and influence.
The market in the category is dominated by cheap variants and local products with lots of ill effects. "The reasoning behind launching this kind of product was that oil costs comparatively less than cream. Also, per application usage of the oil variant is very low compared to the cream variant," says Dhamija.
The product is targeted at users of coil and local variant oils in mosquito repellent category in the rural areas. Odomos Oil has been competitively priced so that it becomes affordable for rural consumers. The creams in the category cost almost 50 per cent more than oils. A 40 ml bottle of Odomos Oil costs Rs 17, whereas a 50 mg pack of Odomos Cream costs Rs 30.
As for the market of Odomos, Dhamija says, "Odomos recorded a growth of 40 per cent in the first quarter as compared to the comparable quarter last year - and almost doubled the sales last month in comparison to the same month last year." He further adds that Odomos is one of the fastest growing brands in the company's portfolio.
Talking about UP as a market for the brand, he says that along with Tamil Nadu and Maharashtra, UP figures amongst the top three markets. However, the other two markets are more urban driven, whereas UP is more rural driven.
Wednesday, May 5, 2010
Samsung Mobile: The heart in your pocket
No matter where you are, you cannot be more than a phone call away from dear ones. That's the message Samsung Mobile conveys, in the latest series of commercials for its Guru series of handsets. The campaign features brand ambassador and actor, Aamir Khan.
With the baseline, 'Dil to jeb mein rakha hai', the campaign is yet another trip down emotional lane. However, it is a shift from the earlier Guru ads, which were much cheekier; and the attempt is clearly to appeal to an audience looking for an affordable phone.
The campaign, designed by Cheil Worldwide, features a main film that weaves the central plot and several other short films on the same story.
The main commercial shows Khan as Raghu, a grounded family boy and a fresh graduate. While at dinner with his family, he receives a call on his phone. He promptly switches on the loudspeaker, so that his family also gets to know, much to their delight, that he has landed himself a job in the city. The rest of the commercial shows Raghu breaking the news to his love interest and preparing to shift to the city. As he leaves, Raghu gifts a handset each to his beloved and his father, telling them that he would never be too far from their hearts.
The commercial has been directed by Anurag Kashyap. The production house is Red Ice Productions. Vedobroto Roy, creative director, Cheil Worldwide is the copywriter. The music score is by Amit Trivedi; while the lyrics for the song in the ad have been penned by Gulzar.
The brief to the agency was to build an emotional connect with the product and the consumers.
The brief was a bit tricky. Guru is the lowest end product of Samsung, but is also the most important product in the brand's portfolio. The market is flooded at this range; while the consumer too, at this level, tends to be a bit fickle -- wanting to buy the product, and at the same time, aspiring for higher-end handsets.
The emotional route is not exactly path-breaking, as the commercial brings to mind similar ads in the past. Cheil, too, acknowledges this fact. "The idea is old, but there must be something right about this kind of communication. However, the main thing is the plot and the way it is presented. The film gives us a tactical spot to further exploit the idea," Roy says.
More short films on Raghu staying in touch with his family have been shot and are on-air. The campaign, which Roy expects will run through the year, will feature more such short ads.
Speaking on the insight, Roy explains how one tends to call home a lot more in the initial days of migration. "Our target audience is mainly the ones who move to bigger cities for jobs. The ad gives our TG an assurance -- an assurance that the product will be there when you need it and your phone could be your best buddy," he says.
Views Dil Se
The campaign has been received well for its simplicity, and the connect the film establishes between the product and the consumer. While parallels with other commercials featuring similar thoughts are inevitable, experts agree that the platform is right for the phone variant.
Sandhya Srinivasan, managing partner and chief strategy officer, Law & Kenneth is of the view that the current campaign is more enjoyable than the previous Guru ads. She raises an important point of how the small-town audience would enjoy seeing the brand ambassador as one of them.
"Versus the street smart Guru of yore, this Samsung Guru ad hits a far more affable note. The small-town audience may have seen enough emotional sagas, but Aamir Khan as one of them is a refreshing one," she says.
"Most advertising that I can remember targeting the small-town consumer has often shown one-upmanship, smartness, or the winning streak. But a mobile phone, at a basic level, is the simplest way to stay connected with a loved one," she adds.
Vipin Dhyani, founder and creative director, Thoughtshop appreciates the identifiable nature of the film and the execution.
"It is a very valid plank for a variant like Guru. A guy leaving town for a job in a city and making everybody feel emotional is identifiable. The device to stay connected with a mobile is also relevant. I truly believe that the small-towners will identify with the setup, art direction, location and nuances used," he says.
Both cite examples of similar ads. Dhyani recalls the films by Nokia and Airtel to be very similar in nature. "The point is that while we will use the same set of emotions over and over again; but can we use it differently? The context can be refreshing for sure. Though we are targeting the middle class, they too look for something radically different, yet meaningful," says Dhyani.
Srinivasan, however, puts her money on the Samsung ad when compared to other commercials.
"Yes, Airtel used a similar execution style. But I think this one just attracts you with its simplicity," she says.
With the baseline, 'Dil to jeb mein rakha hai', the campaign is yet another trip down emotional lane. However, it is a shift from the earlier Guru ads, which were much cheekier; and the attempt is clearly to appeal to an audience looking for an affordable phone.
The campaign, designed by Cheil Worldwide, features a main film that weaves the central plot and several other short films on the same story.
The main commercial shows Khan as Raghu, a grounded family boy and a fresh graduate. While at dinner with his family, he receives a call on his phone. He promptly switches on the loudspeaker, so that his family also gets to know, much to their delight, that he has landed himself a job in the city. The rest of the commercial shows Raghu breaking the news to his love interest and preparing to shift to the city. As he leaves, Raghu gifts a handset each to his beloved and his father, telling them that he would never be too far from their hearts.
The commercial has been directed by Anurag Kashyap. The production house is Red Ice Productions. Vedobroto Roy, creative director, Cheil Worldwide is the copywriter. The music score is by Amit Trivedi; while the lyrics for the song in the ad have been penned by Gulzar.
The brief to the agency was to build an emotional connect with the product and the consumers.
The brief was a bit tricky. Guru is the lowest end product of Samsung, but is also the most important product in the brand's portfolio. The market is flooded at this range; while the consumer too, at this level, tends to be a bit fickle -- wanting to buy the product, and at the same time, aspiring for higher-end handsets.
The emotional route is not exactly path-breaking, as the commercial brings to mind similar ads in the past. Cheil, too, acknowledges this fact. "The idea is old, but there must be something right about this kind of communication. However, the main thing is the plot and the way it is presented. The film gives us a tactical spot to further exploit the idea," Roy says.
More short films on Raghu staying in touch with his family have been shot and are on-air. The campaign, which Roy expects will run through the year, will feature more such short ads.
Speaking on the insight, Roy explains how one tends to call home a lot more in the initial days of migration. "Our target audience is mainly the ones who move to bigger cities for jobs. The ad gives our TG an assurance -- an assurance that the product will be there when you need it and your phone could be your best buddy," he says.
Views Dil Se
The campaign has been received well for its simplicity, and the connect the film establishes between the product and the consumer. While parallels with other commercials featuring similar thoughts are inevitable, experts agree that the platform is right for the phone variant.
Sandhya Srinivasan, managing partner and chief strategy officer, Law & Kenneth is of the view that the current campaign is more enjoyable than the previous Guru ads. She raises an important point of how the small-town audience would enjoy seeing the brand ambassador as one of them.
"Versus the street smart Guru of yore, this Samsung Guru ad hits a far more affable note. The small-town audience may have seen enough emotional sagas, but Aamir Khan as one of them is a refreshing one," she says.
"Most advertising that I can remember targeting the small-town consumer has often shown one-upmanship, smartness, or the winning streak. But a mobile phone, at a basic level, is the simplest way to stay connected with a loved one," she adds.
Vipin Dhyani, founder and creative director, Thoughtshop appreciates the identifiable nature of the film and the execution.
"It is a very valid plank for a variant like Guru. A guy leaving town for a job in a city and making everybody feel emotional is identifiable. The device to stay connected with a mobile is also relevant. I truly believe that the small-towners will identify with the setup, art direction, location and nuances used," he says.
Both cite examples of similar ads. Dhyani recalls the films by Nokia and Airtel to be very similar in nature. "The point is that while we will use the same set of emotions over and over again; but can we use it differently? The context can be refreshing for sure. Though we are targeting the middle class, they too look for something radically different, yet meaningful," says Dhyani.
Srinivasan, however, puts her money on the Samsung ad when compared to other commercials.
"Yes, Airtel used a similar execution style. But I think this one just attracts you with its simplicity," she says.
Tuesday, February 23, 2010
Heart of Brand Positioning : Unique Selling Proposition
Possibly the three most famous letters in advertising, the USP made great ads and made Prasoon Joshi and Piyush Pandey Indian God father of advertising industry. According to me, they foresee the planning and the meaning of ad in their own way, that the popularity of the USP does not reflect a wide-spread understanding of the term.
USP in three parts:
* Each advertisement must make a proposition to the consumer. Not just words, not just product puffery, not just show-window advertising. Each advertisement must say to each reader: ‘Buy this product and you will get this specific benefit.
* The proposition must be one that the competition either cannot, or does not, offer. It must be unique -- either a uniqueness of the brand or a claim not otherwise made in that particular field of advertising.
* The proposition must be so strong that it can move the mass millions, i.e., pull over new customers to your product.
I would recommend thinking of the USP as something the consumer takes from the ad, rather than as something the copywriter puts into the ad.
Wednesday, December 23, 2009
Emotion vs. Logic in Sales, Marketing and Advertising
All people make buying decisions based on emotion; therefore your marketing must use emotion to sell what people want, not what you think they "need" or want them to need.
Yes, this is really, actually true. Engineers, accountants, executives, attorneys, housewives, and ministers – PhD's, delivery truck drivers and farmers – and butchers, bakers and candlestick makers – We all fundamentally make all of our decisions based one motion, not logic. Logic supports our emotions and is used to justify our decisions after we have made them. Logic plays a part, but emotion is the core ingredient.
Show me a product that people have little emotion for and I'll show you a product that's hard to sell or has very thin profit margins. Show me an ad or brochure that doesn't provoke any emotion, and I can guarantee you that it doesn't work.
Some people think emotion has no place in business-to-business marketing. Those people are absolutely 100% totally dead wrong. You can use them to write instruction manuals and employee handbooks, but keep them out of your sales and marketing department. This sort of thinking is exactly why most business-to-business marketing is so dull.
The Cardinal Sin in Marketing: Being Boring
The greatest sin in marketing is being boring.The world is a busy, cluttered place with advertisements and messages everywhere. If your message is boring, you don't stand a chance. If you can't think of anything exciting about your product, then get a different product. But don't be boring.
Please understand, there's a difference between emotion and hype.Your message doesn't need to sound like late night television in order to provoke emotion. You need to figure out what your customers love, and what they hate, what keeps them awake at night, what gives them ulcers and what catastrophic events they dread. You've got to know what aspects of their job they're emotional about and design your products, services, and marketing to address those felt needs.
All great leaders and managers, all great marketers, all great teachers and all great product designers learn how to harmonize with the emotions of the people they work with and turn them on and off at will. This of all things is the greatest and most profitable art form in marketing, and always will be.
Tuesday, December 22, 2009
Business -"Interview Nitin Paranjpe" (CEO,HUL)
From learning to play the keyboard with senior colleagues to benefitting from the parent firm’s scale and capability, leveraging is a key word in the HUL CEO's lexicon.
Nitin Paranjpe’s family used to call him a “modern-day Aurangzeb” given the distance he kept from the finer things in life. Two summers back his brother finally agreed to drop the nickname only if he could develop an ear for music, write Shyamal Majumdar and Ruchita Saxena.
Music was something for which Paranjpe had neither the time nor inclination; but determined to live up to the challenge thrown by his brother, he started taking keyboard lessons. He can now play about a 100 Hindi film music tunes and has formed an informal team of Lever-ites who play the keyboard along with him. It helped that Hindustan Unilever Limited’s (HUL) new management committee (eight top HUL managers) are in their early 40s. His family has dropped the nickname.
The 45-year-old MD & CEO of HUL says this has given him a vital lesson in life: you need not be immensely talented to succeed in a project as long as you are determined to succeed and are willing to put in that extra effort.
We are in the terrace room at HUL’s imposing headquarters at Backbay Reclamation in Mumbai. Paranjpe asks for warm water as he is suffering from a throat infection and wants us to hear him loud and clear. The youngest ever occupant of the corner office at HUL is, by his own admission, a CEO with a difference. His CV doesn’t boast an IIT or IIM badge; he is not extra fond of management books; has remained a one-company man for 21 years; returns home by 7 pm almost every day; listens to Vedanta philosophy on Sunday mornings and enjoys teaching his children over the weekends.
As an MBA student at Jamnalal Bajaj Institute, Mumbai, he used to dream of getting into Hindustan Lever (as it was then called), India’s largest FMCG company. When he finally got the “high of his life” after Hindustan Lever gave him a job, he says he would have been delighted if he could have risen to head of sales or marketing in the company.
“Any job beyond that would be a bonus. My motto has been simple: be focused on your current job and do that well,” he says. His career graph shows the management at Lever has been quite generous in doling out ‘bonuses’.
He finally realised he is a ‘lister’ — HUL jargon for those on the superfast career track — when his boss once asked him to spell out his career ambitions. Paranjpe, then a brand manager, replied he wanted to become a regional manager. He forgot about the conversation, but his boss didn’t as two weeks later he got a double promotion and was made the south India regional head. It turned out be a tough assignment as it coincided with the company’s products being boycotted in Kerala. For the first time in his life, Paranjpe realised that he was capable of managing more than he had imagined. “Every manager must have one or two tough assignments. When you have to achieve more than what available resources permit, you grow professionally as well as mentally”, Paranjpe says.
The food is an elaborate Indian fare — roti, rice, paneer, mutton korma and grilled prawns with lots of vegetables — and tastes good. Paranjpe avoids the prawns but gives us an appreciative look as we choose not to follow him. He is health conscious and plays a game of squash often. This, of course, is becoming infrequent now that his 14-year-old son is playing better than him.
As the occupant of the corner office, what’s his new strategy going to be? Paranjpe says HUL, like some its competitors, has a great strategy in place. What will make the difference is the power of execution. The company is leveraging the capabilities and scale of its parent company and focusing on the value of execution. Cost reduction through technology is another priority.
Though HUL will continue to straddle the whole pyramid as far as price points are concerned, the company also recognises the changing market dynamics of the growing number of affluent households in India for whom price is not that big an issue. There are around eight million such households in the country, and the number is expected to double in the next three years. It’s an opportunity no company can afford to ignore. As Paranjpe puts it, “It’s amazing how people are willing to pay extra for little beauty jars”.
The other piece of good news for both Paranjpe and HUL is that inflation hasn’t compressed consumer demand and net sales growth in the June quarter was the highest in the past 10 years — and growth has averaged 19 per cent in the past three quarters. Rising cost pressures are still a problem, but Paranjpe says HUL will never focus on margins at the cost of top line.
Food is one area that has been a laggard due to intense competition, but Paranjpe says the segment is reaching a tipping point. “The platform has been built for the future, things will change. Please don’t forget packaged food sales are still just 5 per cent the value of fresh foods.” So expect launches, brand extensions and innovations steadily hitting shop shelves. It helps that Unilever has a huge food portfolio that is waiting to be unleashed in India.
He graduated from the stairs to the elevator in his career when he was made the head of the laundry category during the detergents’ price war between Procter & Gamble and HUL in 2002. For the first time in his career, he suffered from self-doubt as he was unable to meet the numbers target. The top line just refused to budge as consumers shied away from HUL products, often preferring cheaper alternatives.
But the management obviously felt otherwise as he went on to become the executive director (home & personal care) soon after. The reason was obvious: the platform he built during those days helped HUL regain its glory in subsequent years.
Though HUL has changed its management strategy swiftly with changing times, Paranjpe is clear that the one practice which has and will remain constant is sending managers to rural areas early in their career. “Selling soaps to a shopkeeper in a remote village gives you invaluable lessons. You start listening to the market; you empathise with problems that a salesman faces — these are lessons no B-school can ever teach you,” he says.
Lunch is long over, but Paranjpe does not want to leave in a hurry. He says executing the new gameplan of HUL means a lot of hard work. And that often means starting work at 5 am so that he doesn’t have to compromise on the time he wants to spend with his family. He thinks his wife, who is now on a sabbatical from her job at Wipro, is better than him in multi-tasking.
The person he treats as his idol is his father, a retired IAS officer. “I didn’t have to go too far to learn the power of integrity,” Paranjpe says. His fondness for teaching his children — even his neighbours’ children at times — comes from his mother, who even at the age of 70 runs a school for under-privileged children which has over 1,000 students.
When he finally leaves HUL, Paranjpe wants management trainees feel the same excitement he did 21 years ago. “The wow factor of working for HUL must remain,” he says. His bosses would be pleased with that answer.
Nitin Paranjpe’s family used to call him a “modern-day Aurangzeb” given the distance he kept from the finer things in life. Two summers back his brother finally agreed to drop the nickname only if he could develop an ear for music, write Shyamal Majumdar and Ruchita Saxena.
Music was something for which Paranjpe had neither the time nor inclination; but determined to live up to the challenge thrown by his brother, he started taking keyboard lessons. He can now play about a 100 Hindi film music tunes and has formed an informal team of Lever-ites who play the keyboard along with him. It helped that Hindustan Unilever Limited’s (HUL) new management committee (eight top HUL managers) are in their early 40s. His family has dropped the nickname.
The 45-year-old MD & CEO of HUL says this has given him a vital lesson in life: you need not be immensely talented to succeed in a project as long as you are determined to succeed and are willing to put in that extra effort.
We are in the terrace room at HUL’s imposing headquarters at Backbay Reclamation in Mumbai. Paranjpe asks for warm water as he is suffering from a throat infection and wants us to hear him loud and clear. The youngest ever occupant of the corner office at HUL is, by his own admission, a CEO with a difference. His CV doesn’t boast an IIT or IIM badge; he is not extra fond of management books; has remained a one-company man for 21 years; returns home by 7 pm almost every day; listens to Vedanta philosophy on Sunday mornings and enjoys teaching his children over the weekends.
As an MBA student at Jamnalal Bajaj Institute, Mumbai, he used to dream of getting into Hindustan Lever (as it was then called), India’s largest FMCG company. When he finally got the “high of his life” after Hindustan Lever gave him a job, he says he would have been delighted if he could have risen to head of sales or marketing in the company.
“Any job beyond that would be a bonus. My motto has been simple: be focused on your current job and do that well,” he says. His career graph shows the management at Lever has been quite generous in doling out ‘bonuses’.
He finally realised he is a ‘lister’ — HUL jargon for those on the superfast career track — when his boss once asked him to spell out his career ambitions. Paranjpe, then a brand manager, replied he wanted to become a regional manager. He forgot about the conversation, but his boss didn’t as two weeks later he got a double promotion and was made the south India regional head. It turned out be a tough assignment as it coincided with the company’s products being boycotted in Kerala. For the first time in his life, Paranjpe realised that he was capable of managing more than he had imagined. “Every manager must have one or two tough assignments. When you have to achieve more than what available resources permit, you grow professionally as well as mentally”, Paranjpe says.
The food is an elaborate Indian fare — roti, rice, paneer, mutton korma and grilled prawns with lots of vegetables — and tastes good. Paranjpe avoids the prawns but gives us an appreciative look as we choose not to follow him. He is health conscious and plays a game of squash often. This, of course, is becoming infrequent now that his 14-year-old son is playing better than him.
As the occupant of the corner office, what’s his new strategy going to be? Paranjpe says HUL, like some its competitors, has a great strategy in place. What will make the difference is the power of execution. The company is leveraging the capabilities and scale of its parent company and focusing on the value of execution. Cost reduction through technology is another priority.
Though HUL will continue to straddle the whole pyramid as far as price points are concerned, the company also recognises the changing market dynamics of the growing number of affluent households in India for whom price is not that big an issue. There are around eight million such households in the country, and the number is expected to double in the next three years. It’s an opportunity no company can afford to ignore. As Paranjpe puts it, “It’s amazing how people are willing to pay extra for little beauty jars”.
The other piece of good news for both Paranjpe and HUL is that inflation hasn’t compressed consumer demand and net sales growth in the June quarter was the highest in the past 10 years — and growth has averaged 19 per cent in the past three quarters. Rising cost pressures are still a problem, but Paranjpe says HUL will never focus on margins at the cost of top line.
Food is one area that has been a laggard due to intense competition, but Paranjpe says the segment is reaching a tipping point. “The platform has been built for the future, things will change. Please don’t forget packaged food sales are still just 5 per cent the value of fresh foods.” So expect launches, brand extensions and innovations steadily hitting shop shelves. It helps that Unilever has a huge food portfolio that is waiting to be unleashed in India.
He graduated from the stairs to the elevator in his career when he was made the head of the laundry category during the detergents’ price war between Procter & Gamble and HUL in 2002. For the first time in his career, he suffered from self-doubt as he was unable to meet the numbers target. The top line just refused to budge as consumers shied away from HUL products, often preferring cheaper alternatives.
But the management obviously felt otherwise as he went on to become the executive director (home & personal care) soon after. The reason was obvious: the platform he built during those days helped HUL regain its glory in subsequent years.
Though HUL has changed its management strategy swiftly with changing times, Paranjpe is clear that the one practice which has and will remain constant is sending managers to rural areas early in their career. “Selling soaps to a shopkeeper in a remote village gives you invaluable lessons. You start listening to the market; you empathise with problems that a salesman faces — these are lessons no B-school can ever teach you,” he says.
Lunch is long over, but Paranjpe does not want to leave in a hurry. He says executing the new gameplan of HUL means a lot of hard work. And that often means starting work at 5 am so that he doesn’t have to compromise on the time he wants to spend with his family. He thinks his wife, who is now on a sabbatical from her job at Wipro, is better than him in multi-tasking.
The person he treats as his idol is his father, a retired IAS officer. “I didn’t have to go too far to learn the power of integrity,” Paranjpe says. His fondness for teaching his children — even his neighbours’ children at times — comes from his mother, who even at the age of 70 runs a school for under-privileged children which has over 1,000 students.
When he finally leaves HUL, Paranjpe wants management trainees feel the same excitement he did 21 years ago. “The wow factor of working for HUL must remain,” he says. His bosses would be pleased with that answer.
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