Tourism in India

A brief introduction about the tourism industry in India

As per the Travel and Tourism Competitiveness Report 2009 by the World Economic Forum, India is ranked 11th in the Asia Pacific region and 62nd overall, moving up three places on the list of the world's attractive destinations. It is ranked the 14th best tourist destination for its natural resources and 24th for its cultural resources, with many World Heritage sites, both natural and cultural, rich fauna, and strong creative industries in the country. India also bagged 37th rank for its air transport network. The India travel and tourism industry ranked 5th in the long-term (10-year) growth and is expected to be the second largest employer in the world by 2019. India has been ranked the "best country brand for value-for-money" in the Country Brand Index (CBI) survey conducted by FutureBrand, a leading global brand consultancy. India also claimed the second place in CBI's "best country brand for history", as well as appears among the top 5 in the best country brand for authenticity and art & culture, and the fourth best new country for business.

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Introduction about the Wine industry in India

Though somrasa has been the beverage of the gods in India, until lately wine did not figure very prominently on Indian menus. To many people, names like Sauvignon Blanc, Chenin Blanc, Reisling or Chardonnay may refer to the unknown exotic. For the uninitiated, these are wines that are being made and increasingly accepted in India. Considering that alcohol still has a social taboo attached to it, it may seem paradoxical that the wine industry is growing rapidly in India. In 2001, wine consumption in the country stood at two million litres, which has surged to over 10 million litres in 2007. A recent Rabobank report says that India currently has about 60 wineries with an estimated investment of about $60 million, which is a 61% increase on 2006. Realising the need to nurture a trend of drinking wine, vineyards are going all out by organising plantation visits, informative facility tours combined with tasting sessions. These impart the nitty gritty of selecting and appreciating a wine as also the correct way to drink it. Enthusiasts are taken through the routine of ³See, Swirl, Smell and Sip´ with several vareitals and blends. Combined with the beautiful ambience of the vineyard this exercise is a sure fire winner.

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The story It was the month of January. Cold and beautiful weather. That was the time when we (my friend and I) decided to go on a road trip to Nasik. On our way to Nasik, we found a very mystic place called Chateau Indage.
µChateau Indage¶ and is just outside of Narayangaon about 80 kms from Pune on the Pune-Nasik highway. One of the primary reasons for making this trip was the fact that the Pune-Nasik highway is very good for biking. The roads are well laid and there are a lot of straights and high speed curves to enjoy the ride.

Untill 1982, Narayangaon was a small obscure dot on the map of India, which over the last two decades, has manifested itself as an international Viniculture region sprawling over 1000 acres of prime vine plantations, with additional 1500 acres under cultivation. Located in the Sahyadri valley makes it a perfect balance for the cultivation of grapes from strong disease-free vines that produce high yields. The view of the grape plantations is beautiful and the best part is the restaurant which is located at the gate of the vineyard. The restaurant has a nice rustic feel to it and it was a welcome sight with the vineyard in the background and long lines of grape vines as far as the eyes could see. We had 3 different wines, one red and two white. They were very good and all of us enjoyed each of them with 'Chantilly chardonnay¶ selected as the best among them. The food served at the restaurant was good too and the whole experience left us satisfied. It¶s very rare that we like the food at any restaurant since our taste buds have had an overdose of restaurant food, so us ¶liking¶ it means that it¶s really good.

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You can ask for wine sampling session where one person will give you a bit of History about this place, then tell how to identify different wines and of course you get to taste 6 types of wines for 250 Rs. You can also ask for a tour of the winery where again you will hear the history ( history can get a bit repetitive!!) , see how the oak casks are made, the machinery used for making wines if you are lucky and there at the right time you could see the actual process too! ( Its good to call & find out before you go) You also get to see the grape gardens and pluck some fresh grapes too... If you want to know about wines and just for a different experience it¶s a nice place to visit often.

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Branding Chateau Indage

Chateau Indage is a place which has high potential to attract tourists. The place needs some branding so that people know about its existence. In this case I have designed a strategy to achieve this goal. This includes lot of steps.

The diagram above will explain about the steps involved in branding the place.

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Asses and audit:

y What is the place about? yWhat are the markets you want to attract?
This is very important question as it will help you to understand and focus on the kind of segment of people you want to target.

yWhat are the perceptions and attitudes toward the place?
This is very important factor one should understand. This can be beneficial when one has to improve the image or perception about the place in the minds of the customers.

yWho are your competitors?
In this case there are a couple of strong competitors who have also started branding their places in order to attract customers. Few examples are Sula wines, Chateau Di¶ Ori, Tiger Hills.

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yArticulate ± how will the brand be expressed?
o o o o o o o o o o Design the brand identity Develop a tagline Capture the brand promise Hints at benefits or experience to be found Credible Easy to remember and repeat Works with the logo Use stories to articulate the brand Design the visual identity ± the logo Photography

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yActivate (Implementation)
y

Here we are going to start the implementation of the project plan by activating all our steps which has been discussed so far. Media advertising ± TV, Radio, Newspaper, magazine

‡ Direct response advertising ± mail, telephone, broadcast media, and print media ‡ ‡ Online ± websites, interactive ads Outdoor ± billboards, posters, movies, airlines, lounges

Identifying the target segment of customer to whom the destination can be marketed

This initial step is aimed at identifying the markets that exist for wine or a specific niche, analyzing the competitive situation and assessing the organization¶s strengths and weaknesses. Here we are trying to identify the group of people or organizations with wants to satisfy, money to spend, and a willingness to spend. Those who drink wine are a market. This can be further broken down into niches such as those who are health conscious, those who love the taste, those who love specific varietals, those looking for prestige and admiration, or those looking to get wasted. Each of these sub-categories may also have sub-categories.

A market analysis should only focus on those markets that have a specific need and/or want they need fulfilled and be both willing and able to purchase your wine and the whole new experience at the Vineyard. Once potential markets have been developed factors such as market size, growth, and accessibility should be assessed as well as market demographics (age, gender, education level, expenditure patterns, family life cycle stage, income, ethnicity), psycho-graphics (personality, life style, behavioral intentions, usage rates, attitudes, interests, opinions), cultural factors, and technological aptness.
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The competitive situation that exists in the industry should be developed according to, for example, who potential competitors would be for specific markets, their strengths, weakness, and what their overall plans for their product includes. This may include the price they are offering, how we are promoting our wines and the vineyards, where our wines are being distributed, etc.

Wine in India is considered as an ethnic drink which is normally consumed on special occasion or functions. Another thing is that the consumption of wine normally occurs in urban areas only and within that it is consumed by people from elite class and some of the upper middle class. It has also been noticed that wine is very popular among the young crowd especially the ladies. As I have already discussed about the market growth of wine consumption in India, it is very obvious that the foreign wine makers are looking at India as their next potential customer group. This can be a threat to the local, Indian based wine manufacturers. Currently the target audience in India by the Indian wine makers is the elite, business class people who are fond of wines and have tremendous buying power. But, the growth is tremendous and there are various options available for the customer. Taking this into consideration the wine industry has to come up with ideas to attract customers. The concept of Vineyard is working really well but it needs more of promotion and branding to attract and develop new set of customers. Developing new customer base with respect to Demographic, psychographic and behavioral segments. different

Demographic segmentation Demographic income, occupation etc. segmentation variable includes Age, gender,

Age is a very important factor of this segment and is also very important for our target customer research. So far the target audience was from the age group of above 30yrs. The reason to this was that the target audience of below 30 yrs would normally prefer drinking other alcoholic beverages. Now to attract such customers we need to do some promotional activity so that they at least know about the experience at the vineyard. Organizing parties at vineyard and inviting students from colleges and charging them nominal fee would definitely attract some people.
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Income is the most important factor here which is very crucial to understand. Visiting a vineyard would be a little expensive thing for some people and for some it may not be. So, pricing is very important so that we should not miss out some potential targets due to over pricing of the service. Chateau Indage offers the Vineyard tour for just Rs. 250 and along with it provides 5 different wine tasting. It has been very reasonable in terms of charging the customer for the tour.

Occupation: This is another variable under demographic segment which can be used as a very important key to promote the brand ³Chateau Indage´. The Vineyard should organize meets and events especially for people in the hotel and restaurant business and occupation. This way it can generate a lot of references and good relation with hotel owners and some special people with whom it can tie up and sell their products too.

Psychographic segmentation Psychographic segmentation groups customers according to their lifestyle, activities, and interests. The main variable in this segmentation is Lifestyle which refers to the kind of life the consumer or a customer lives and wants to live. This is very important for us to understand because we want to fit in our product in the lifestyle of people and want them to visit our vineyard to experience the rich feeling of wine right from where it has been produced. Some of the people are health conscious and want to live a healthy life. Most of the people have misconception about the consumption of wine but the fact is that wine has been proved very beneficial for human body. Some of the benefits of wine are mentioned below. The The The The The The The The Benefit: Benefit: Benefit: Benefit: Benefit: Benefit: Benefit: Benefit: Promotes Longevity Reduces Heart-Attack Risk Lowers Risk of Heart Disease Reduces Risk of Type 2 Diabetes Lowers Risk of Stroke Cuts Risk of Cataracts Cuts Risk of Colon Cancer Slows Brain Decline
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Such type of awareness campaigns can be arranged for such people who are not aware of the facts about the consumption of wine. Doctors should also be invited to make it more apparent that it is indeed very good for health.

Behavioral segmentation This segment is is based on actual behavior towards product and service. Some variables are. o Brand loyalty o User status: Potential, first-time, regular. o Occasions: Holiday and events that stimulate

Brand loyalty is very important aspect of a customer from a marketer or a service provider¶s point of view. A customer can be brand loyal only when he is delighted or very happy with the kind of service of experience has been provided to it. A loyal customer can visit repeatedly and also it can generate a strong positive word of mouth which will indirectly attract a lot of customers who would like to come to the vineyard and have a great experience.

User status is another aspect which has to be understood to identify who all are potential targets and who are first timers and who are regulars. This way we can have different levels of service for each type of customers. Another important factor which has to be taken care of is ³Occasions´. Study of the pattern of Indian culture and holiday seasons will help us to design better plans for customers. E.g. In winter season we can attract customers by inviting them to the vineyard for grape plucking and grape crushing which is normally not possible in any other season. This can add up to all new experience

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Customer-Based Brand Equity (CBBE Model) 

Building a strong brand involves a series of steps as part of a ³branding ladder´  A strong brand is also characterized by a logically constructed set of brand ³building blocks.´ The CBBE model helps in the following  Identifies areas of strength and weakness  Provides guidance to marketing activities

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Salience Dimensions Depth of brand awareness How well people know about your product. How good your advertising campaigns are. How attractive your logo is Breadth of brand awareness Various facilities at the vineyard Leisure and recreation Various tie ups with different hotels and business partners 

Performance Dimensions
o o o o o o o Good hospitality Great service All new experience Winery tours Well developed and clean environment Style and design Price 

Imagery Dimensions  User profiles
o Demographic & psychographic characteristics o Actual or aspirational o Group perceptions -- popularity  Purchase & usage situations o Type of channel, specific stores, ease of purchase o Time (day, week, month, year, etc.), location, and context of usage  Personality & values o Sincerity o Excitement o Competence o Sophistication  History, heritage, & experiences o Nostalgia o Memories

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Judgment Dimensions 

Brand quality
o o

Value Satisfaction 

Brand credibility
o o o

Expertise Trustworthiness Likability 

Brand consideration
o

Relevance 

Brand superiority
o

Differentiation

Feelings Dimensions

o o o o o o

Warmth Fun Excitement Security Social approval Self-respect

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Resonance Dimensions 

Behavioral loyalty
o

Frequency and amount of repeat visits 

Attitudinal attachment
o o

Love brand (Chateau Indage) Proud of brand 

Active engagement
o o o

Seek information Join club Visit web site, chat rooms

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Conclusion

Considering that alcohol still has a social taboo attached to it, it may seem paradoxical that the wine industry is growing rapidly in India. The figure that has already been mentioned are just phenomenal and still rising. India is a huge market for wine consumption if a proper branding and awareness is spread among the people and the target audience. The suggestions and recommendations involved in the assignment can definitely help Wine manufacturers and Vineyard owners to attract the customers. Recently there has been a lot of customers wanting to experience the great feel of being at such places where they can see how wine is being manufactured and also taste it at the same time. Its all together a brand new experience and this factor is very crucial to attract and bring in new visitors to such places.

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Bibliography

Kevin Lane Keller : Strategic Brand Management. (2nd edition) http://www.chateauindage.com/ http://www.chillibreeze.com/articles_various/Wine-industry.asp http://www.indianwine.com/Chateau/index.htm http://www.foodandwine.com/articles/8-health-benefits-of-drinking-wine www.marketingwine.com http://www.netmba.com/marketing/market/segmentation/ http://www.tigerhillvineyards.com/

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