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Labour Pains !

The Autobiography of a
Brand Parent

Content prepared by Manosh R. Sengupta.


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Its relevance in this context
Changing Roles

Man Woman
Client Agency
father mother
Brand
Child
Off-spring

Content prepared by Manosh R. Sengupta.


Not to be reproduced without permission.
Why is the Brand so important

• It is the most valuable asset of any


organization

– all other assets can be replaced, not the brand

– it not only affects the market performance but


plays a larger role

Content prepared by Manosh R. Sengupta.


Not to be reproduced without permission.
Stake-holders

• Investors / Share holders


• Internal customers
• Market customers
• Business Partners
• Opinion builders & influencers / Future
employees

Content prepared by Manosh R. Sengupta.


Not to be reproduced without permission.
Most Valuable Brands
Rank
Brand Value '09

05 06 07 08 09

1 1 1 1 1 Coca Cola 68.73

3 3 3 2 2 IBM 60.21

2 2 2 3 3 Microsoft 56.64

4 4 4 4 4 GE 47.78

8 6 5 5 5 Nokia 34.86

8 9 7 8 6 McDonald's 32.27

24 18 10 7 Google 32

9 7 5 6 8 Toyota 31.33

5 5 6 7 9 Intel 30.64

7 8 8 9 10 Disney 28.45

Interbrand - BusinessWeek survey *All Values in $Bn


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Not to be reproduced without permission.
So, how is IMC relevant to brand?
“Communication is the one truth that guides
every aspect of our lives”

“Brand communication is every interaction


that leaves a residue with customers”

And this is driven by…


Content prepared by Manosh R. Sengupta.
Not to be reproduced without permission.
Today’s Buzz Word

• Integrated Marketing Communication

“the synergy of all communication energies”

It’s not about advertising but IMC

Content prepared by Manosh R. Sengupta.


Not to be reproduced without permission.
“IM when implemented effectively, enhances
multilateral value creation (for
shareholders, customers, employees,
organization, and wider stakeholders’
communities).”
Angus Jenkinson and Branko Sain
Implementing Integrated Marketing: The Seeboard Energy Case

IM is a measurable process for calculating ROI


ROI
• “People like short term ROI. Promising
heaven upon their passing is not nearly as
appealing as 1 in a billion chance to win the
lottery this Thursday”
- Bob Wan Kim, blogger

What gets measured, gets done


7 Levels of Integration & Challenges…1

• Vertical objectives integration:


– Communication objectives fit with marketing objectives and the
overall corporate objectives.
• Horizontal/functional integration.
– Marketing communications activities fit well with other business
functions of manufacturing, operations and human resource
management.
• Marketing mix integration:
– The marketing mix of product, price and place decisions is
consistent with the promotion decisions, e.g. with the required
communication messages.
7 Levels of Integration & Challenges… 2
• Communications mix integration:
– All the communications tools are being used to guide the
customer/consumer/client through each stage of the buying
process and all of them portray a consistent message.
• Creative design integration:
– The creative design and execution is uniform and consistent with
the chosen positioning of the product.
• Internal/external integration:
– All internal departments and all external employed agencies are
working together to an agreed plan and strategy.
• Financial integration:
– The budget is being used in the most effective and efficient way
ensuring that economies of scale are achieved and that long-term
investment is optimized.
Levels of Dysfunction
• 1st level: Functions Vs. Functions
• Working in silos
• ‘NIH’ syndrome
SOLUTION – LEADRSHIP COMMUNICATION
• 1st level: Agency Vs. Client
• Expectations – media neutral
• Output – ‘ads’
SOLUTION – IDEA
• 2nd level: Agency Vs. Agency
• Creative brief designed for ATL
• ‘other’ agencies have to comply
SOLUTION – ROLE OF ACCOUNT PLANNING
The 2nd Barrier - Mindset
PLANNED UNPLANNED UNCONSIDERED

Advertising Employee gossip Facilities


Sales promotion & behavior Service
Marketing PR WOM Distribution
DM/DR Online guerilla sites Product design
Personal selling Product performance
POP/merchandising Price
Packaging
Events/sponsorships
Customer service
Internal marketing
websites
The Harley Davidson Model

stakeholders

Create demand Produce product


LSC

provide support

LSC = Leadership
& Strategy Council
Philosophy
• IM depends on
• Uniting everyone around a collective vision of value that
connects to the identity and purpose of the organization / brand
• Depends on a profound and shared understanding of customers
and an organization can deliver value seamlessly throughout
all customer experiences across the relationship
• Also means that connecting and matching spiritual with
practical qualities: vision, purpose, values with information,
processes and systems
Argus Jenkinson, Professor of IM, Luton School of Business
Branko Sain, Research Fellow
Harley Davidson – Organization-led IM
Idea Case
Brand Vision:
Stimulate. Innovate. Liberate.

To be the most customer-focussed mobile


service brand in India, continuously
innovating to help liberate our customers
from the shackles of time & space.
Brand Mission
• The India Footprint Idea:
Anywhere connectivity…bringing India closer

• The Technology Advantage Idea


Tomorrow’s technology to enrich today

• The Customer Focus Idea


Make a single interaction a lasting relationship

• The Employee Focus Idea


Nurture the roots that nurture our ideas
Capabilities
ideas…tenacity…diplomat
• People:
• People savvy & peer relationships
• Building effective teams
• Managing & measuring work
• Technical:
• Business acumen
• Organizational agility
• Result driven
• Organizational:
• Planning, setting goals, measuring performances, evaluating
results
• Organizing resources effectively and efficiently
• Priority setting, creating focus
Critical Skills
• Marketing: to understand
• Concepts of segmentation, targeting and positioning
and their interrelation
• Marketing mix and its key components
• PLC concept and its implications
• Role of branding and different branding strategies
• Concepts of differentiation & competitive advantage
and their relevance
• Familiarity with different methods MR
The Client Brief

exposure to engagement
Exposure Models Are Failing
Exposure = Engagement

86% of TV “viewers” claim not to pay attention to regular


commercial breaks
SMG Event TV Studies

60% of people passing a poster site do not see the poster


SMG Project Visibility/Starsight

19% of magazine “readers” don’t look at the ads


SMG Print Positioning Study

77% of TIVO HHs fast-forward past commercial time


SMG TIVO Study

52% of radio “listeners” do not listen to radio ads


SMG Radio Effectiveness Study
An illuminating human truth, when discovered,
Insight inspires unique connections between consumers,
their environment and our brands

The art and science of defining a course of action that


Strategy
will effectively capture consumer attention and connect
with them in a way that inspires a desired behavior

A dynamic action or orchestration of activities and ideas


Activation
that breathes life into a strategy to involve and captivate
consumers

An inspired state of affinity. It evokes intent and leads


Captivation
to a measurable and behavioral reaction in consumers
Understanding your Target Group

A day in HIS life


Activities -Wake up, do
housework or exercise,
Activity - At home, maybe a walk, read
with family watching newspaper / listen radio,
TV. Surf the net.Or go ,have breakfast
for a late night movie 2100-2400 hrs 600-900 hrs
Media – Radio, Newspaper
Media - TV, Internet,
Cinema

Activities -Drive / By
1900-2100 hrs A weekday in life 900-1100 hrs
train to work, Read
paper / listen radio
Of Target Group while commuting, At
Activities - Back home watch TV
home with Family,
May go for a shopping Media - OOH, TV,
, May go out with Newspaper
friends at home do 1800-1900 hrs 1100-1300 hrs
housework, do
exercise Activities - At
1300-1800 hrs work, Write e-
Media - TV, In Shop mails or surf
activities, Mall internet
activation Media - Internet

Activities - Back from


Activities - At work, may be out for lunch or
work by bus/car/train,
coffee break with colleagues / Friends, Surf
Go shopping alone
Internet, Flip through magazine, At home
watch TV or do some exercise
Media - OOH, In Shop
activities
Media - Internet, OOH, In Club activation
Activities - At home, with
family, have breakfast, read
newspaper, do exercise, do
housework
Activities - At home,
with family watching Media - Print, Radio, Gym
TV. Surf the net.Or go activation
for a late night movie 2100-2400 hrs 600-900 hrs

Media - TV, Internet,


Activation
Activities - At
home, watch TV,
1900-2100 hrs A weekend in life 900-1100 hrs
Do housework, read
newspaper
Of Target Group
Activities - At Home
Media - TV,
watch TV with family,
Newspaper
Read magazine, Out with
Friends, Eating out
1800-1900 hrs 1100-1300 hrs Activities - At home
Media - TV, Internet
with family or at
friends’ place,
1300-1800 hrs Listen to Music Work
in computer
Activities - Go for a Media - OOH,
walk, or go out with Internet
car with Family or Activities - Go out for Shopping with Family or
friends friends or eating out / Movie,
By Car or Bus. At home watch TV, Housework or
Media - OOH exercise

Media - TV, OOH, In Shop/ Malls / Multiplexes


activation
People are more comfortable getting their news from multiple sources
IMC – the case of MTV
• To take a state-of-the-art look at the contemporary relationship
between media and marketing, consider MTV which has achieved a
level of communications integration only dreamed about by most
brand managers.
• Here's how it works:
• MTV hosts an event - a concert, or rave, or beach bash.
• It invites the station's primary advertisers and others to join in as event
sponsors.
• These sponsors are free to mention their participation in their own marketing,
and MTV promotes them as well in its promotional efforts.
• At the event itself, the sponsors' wares—shoes, hats, bags, t-shirts, musical
instruments, records, CDs, whatever—are handed out, sold and/or raffled off.
• It gets more interesting.
• MTV covers the event as part of its own programming schedule.
• Youth attracted to the event are wearing the sponsors' branded shorts and
shoes and hats so these brands get additional coverage as the event itself
unfolds.
• Afterwards, MTV produces and broadcasts the event, again promoting it and
giving event sponsors surrounding airtime.
• The youth —now part of the show content—become an enthusiastic, grass-
roots audience spreading the word, and creating loyalty for the participating
sponsors' products.
• Not just on the air, but also on the web and in person.

Efficient. Cost effective. Controllable. And measurable, too.


Stay Connected
• Problem:
• Customer satisfaction down.
• Caused by internal syndrome of ‘silos’
• Employee moral affected

• Task:
• Stem the rot.
• Brief:
• Bring back the ‘camaraderie’
• Strategy:
• Creative idea – ‘stay connected’
• IMC –
– level 1 – annual theme ‘stay connected’ internal programs; CFTs; partner
meets
– level 2 – ATL campaign, sponsored shows, PR
– Level 3 – customer connect programs
• Result:
• CSS & ESS scores up
Sumo ke saath jhumo
• Problem:
– In a fiercely competitive environment, to introduce a new prepaid product, whose
differentiator can be easily matched.
• Task:
– a 360 campaign that will distinguish our brand
• Brief
– ‘XXXL…’ translate to a creative idea that can be leveraged 360 to enable a
metaphorical extension on the experiential platform
• Strategy:
– Creative idea – SUMO
– IMC
• ATL – to create familiarity around the SUMO and establish linkage with product features
• BTL – SUMO shows across 12 cities. PR to create local hype. Tie-ups with local cables
to extensive coverage. One-to-one interaction with SUMOs
• Result:
– Substantial jump in brand recall
MPEG File
– ‘SUMO card’
– ESS scores up
The Experience Chain

Willingness •The ladder illustrates the buying process


of a typical customer
to pay premium
•At each level different marketing elements
aid the process
Willingness to recommend •Identifying these elements will bring sharper
focus to our marketing energies
Willingness to continue •It will also enable better / more accountability
to the process

Post purchase experience

Choose / Buy

Select

Consider

Awareness
The Experience Chain

STAGE ACTION CRITICAL ISSUES

1 AWARENESS 1. The 1st step towards gaining acceptance


2. Assumes critical significance as the category moves
towards an FMCS (Fast Moving Conumable Service)
3. But the inportant point to note is - what kind of awareness?
The qualitative factor plays a key role in influencing the right
tonality of awareness, as this leads to consideration

2 CONISDER 1. Considered to be an indicator of possible market share


2. Hence, a higher level of consideration score leads to
higher levels of acquisition
3. But the key point to note here is that consideration is
driven by RELEVANCE, which is based on -
a. content - is the brand offer off any use to me?
b. Tone & Peronality - does it refelct my attitude?
4. Is the key stage where acquisition is prime task

3 SELECT 1. The semi-final lap


2. Fall-outs at this stage can severly affect acquisitions
The Experience Chain… 2

STAGE ACTION CRITICAL ISSUES

4 CHOOSE / BUY 1. The moment of truth


2. The key drivers at this stage are Price & Consumer /
Trade Promos
3. This is a delicate point in the Brand strategy, as most
organizations lured into the trap of quick fix solutions
focus too much on these parameters without building
adequate Brand Preference - thus leading to commodification
of the Brand - the recent studies of Idea show that we are
very close to this point

5 POST PURCHASE EXPERINECE 1. The make or break stage - where all the earlier promises
comes under scrutiny
2. The sensitivity here is the 'post purchase dissonance'
syndrome, a very common affliction in most categories
3. Going by our churn analysis, a major chunk of drop-outs
happen within the initial months (6) of entry. This could be
attributed to the high degree of expectations from the category
coupled with a sense of achievement in entering into a world
which signifies progress & achievement.
4. Perhaps a certain amount of proactive councelling
at this satge will help to create greater appreciation of the
category benefits. The additional benefit being a greater
dependency on the brand
The Experience Chain… 3

STAGE ACTION CRITICAL ISSUES

6 WILLINGNESS TO CONTINUE 1. It is more profitable to retain customers than to pitch for


new ones
2. Never has it been so true than for our catregory - where
referrals & WOM play a crucial role in brand acceptance and
thus its growth
3. A lot of the factors at this stage is same as pt 5 and hence
needs to be seen in the same light

7 WILLINGNESS TO RECOMMEND 1. The ultimate acquisition tool. Brands have been built on
WOM, even where there's been no advertising - e.g.
Starbucks and our very own Barrista
2. Howvever, a satisfied customer does not mean a brand
advocator. To make someone proactively recommend a
brand, the incumbent's emotional affimity has to go beyond
just satisfaction - he has to become a BRAND PATRIOT
3. A strong army of BRAND PATRIOTS is the most effective way
to counter price wars and discounting threats

8 WILLINGNESS TO PAY PREMIUM 1. The final test of a true Brand