Indica is a brand that is an epitome of persistence. Tata Motors through Indica has demonstrated how to manage product lifecycle effectively. The brand which was launched in 1998 has passed through many hurdles. The brand successfully transcended the initial flaws, bad customer /expert reviews and brickbats to become one of the largest selling cars in the Indian auto industry.
The brand survived and thrived because of the constant focus of Tata Motors to improve the product continuously. More than the product innovation, it was the value proposition that forced customers to choose Indica despite all those nagging troubles. You can see lot of Indica customers cribbing about the bad service and constant trip to the service centers but sticking to the brand because of the value proposition. You cannot get a diesel car with that much space at the price at which Indica is selling ( so far).
Tata Motors has been continuously tweaking the brand over these years sometimes making quantum leap in the quality and refinement of the product. A snapshot of the brand's evolution is given below
1998 - Indica announced
2001 - Indica V2
2004 - Rejuvenated Indica V2
2005- Indica V2 Turbo Diesel
2006- Indica Xeta
2008 - Indica Vista
The brand made a quantum leap in 2008 with the launch of Indica Vista. The entire brand personality changed with the launch of Vista. The product's looks and feel had changed completely and it was a rebirth for Indica.
The changes in the product was not limited to exteriors. Indica began sporting different types of engines from Fiat which gave a new perception of quality to the brand.
At the pricing also, Tata Motors consciously raised the Vista brand to a higher level . The Vista is pricier than the original V2 thus reducing the attractiveness of the brand to the Taxi segment. At a price range of Rs 4 - Rs 5 Lakh, Indica Vista is not a cheap diesel car. It was an upward stretch by the brand.
The Indica brand portfolio consists now of three sub-brands V2, Vista and Xeta.
V2 is the most economical of the lot and is the original Indica. This product is retained because there is still huge demand for V2 at that price point. Within the V2 range, there are three variants which includes the Indicab which is for the Taxi segment. Price of this sub-brand ranges from Rs 3,50,000 - Rs 3,95,000
Next sub-brand is the Vista. Vista is the new generation Indica and Tata Motors would like this brand to take over the leadership position from V2 in future. The brand is targeting the discerning Indian consumer with its value proposition and good looks.Vista has lot of variants satisfying the various needs of the customer. The Indica Vista Aura is the premium range that sports many goodies that premium brands claim like ABS, Airbags etc. Vista also comes in Petrol version sporting the Saphire engine. Prices range from Rs 3,90,000 - Rs 4,90,000 ( apprx). Within the Vista range, customers are given lot of engine option including engines from Fiat.
Xeta is the petrol variant of Indica V2. I am not sure about the future of Xeta since the petrol segment is heavily competitive and compared to Maruti and Hyundai, Indica Xeta's value proposition is not that attractive as the diesel option. Prices range from Rs 2,72,000- Rs 3,00,000).
The positioning across the brand portfolio remains the same. All the brands focus on the value proposition. But these sub- brands sports different taglines
Indica V2- More car per car
Indica Vista- Changes Everything ( Surprise Yourself is the new tagline)
Indica Xeta - Makes much more car sense.
Vista recently relaunched itself with Drivetech 4 technology and is now sporting a new tagline Surprise Yourself .
Indica in a way is an example of good marketing practice. The brand continues to evolve and is a pleasure to watch.
CRTSY - MARKETING PRACTISE
Wednesday, May 19, 2010
Wednesday, May 12, 2010
iAds New Way of Advertising
Mobile is the undisputed champion of media across the globe with more than 4.1 billion people using mobile phones. That’s about six in 10 people, compared with less than three in 10 who access the internet through a PC. It is easy to understand why advertisers are excited about using mobile as a tool for marketing. The ubiquity of the mobile, combined with the ability to target, track, measure and reach people at key purchase decision points, quickly transforms into advertising nirvana. So why then is mobile advertising only expected to account for a paltry 2% of the digital media market’s spending in 2010 (according to eMarketer)?
Apple CEO Steve Jobs has the answer: “Because most mobile advertising really sucks.” He is right. Screens are small, which leads to disappointing creativity that makes it difficult for an ad to successfully compel a viewer to invest the time away from their current activity to click through. But Apple’s new iAd platform has these possibility to change that, at least for the projected 100 million Apple mobile device users.
It is a relatively small number of the total global mobile population, but as Jobs pointed out in his April presentation it is a very attractive demographic for advertisers. Furthermore, AdMob reported that the iPhone OS accounts for 50% of mobile web traffic and, in places such as Japan, Apple’s iPhone accounts for 72% of the smartphone market, according to Tokyo-based MM Research Institute Ltd.
With iAd, not only has Apple re-thought mobile advertising with the entire iPhone ecosystem in mind, but it has also drawn on its experience as one of the world’s most enjoyed brand advertisers, leading to several features that sets iAd apart. Users will come across iAd within an application. At first, the ad will look similar to the current small banners that are common, but the meat of the ad presents itself after a user initiates interaction.
Paramount to Jobs is that the iAd experience does not take a user away from their current app. Because of the new iPhone OS4 multitasking capabilities, a user can interact with an iAd without closing their current app and go back to where they left off when they are done with the ad. Jobs believes that if people don’t have to “pay the penalty of having to find their way back to their app” it will result in more clicks (or taps) for advertisers. An improved user experience may be just the thing the mobile advertising industry
needs to propel itself further into the plans and budgets of advertisers.
iAd intends to present advertisers a mobile ad platform with more impact, delivering “interactivity and emotion”, as Jobs puts it, by giving creatives a richer canvas to work with, blurring the line between entertainment, information, apps and advertising.
It sounds very promising, but there are questions and challenges.
One unknown is the quality of the metrics and data advertisers will be able to get on iAd campaigns. According to registered developers, there are restrictions on third-party targeting and measurement, which many
advertisers rely on for precise and unbiased information about their digital marketing.
All the data will flow through Apple, presumably on the technology that came with its recent Quattro acquisition.
Targeting will benefit from the detailed understanding Apple has about users from its iTunes and App Store behaviour, however, it is yet to be determined how well this approach will be received by marketers.
The iAd interactive and emotional experience is also not alone in the mobile
advertising market. Companies such as Medialets offer similar units, which also allow for rich and immersive creative.
Furthermore, while the number of Apple apps downloaded far surpasses any others, the Apple App Store isn’t the only game in town. Nokia, BlackBerry and others have moved into the apps distribution business. Then there is the price tag.
The Wall Street Journal recently reported that being part of the iAd launch could cost up to US$10 million, with regular campaign pricing eventually in the US$1 million range. There is no denying that Apple has proven time and time again its expertise at making technology simpler, fun and sexier. Apple has redefined categories so don’t be surprised if mobile advertising is next.
The author is Jason Kuperman, vice president, digital development, Asia Pacific, Omnicom group.
Apple CEO Steve Jobs has the answer: “Because most mobile advertising really sucks.” He is right. Screens are small, which leads to disappointing creativity that makes it difficult for an ad to successfully compel a viewer to invest the time away from their current activity to click through. But Apple’s new iAd platform has these possibility to change that, at least for the projected 100 million Apple mobile device users.
It is a relatively small number of the total global mobile population, but as Jobs pointed out in his April presentation it is a very attractive demographic for advertisers. Furthermore, AdMob reported that the iPhone OS accounts for 50% of mobile web traffic and, in places such as Japan, Apple’s iPhone accounts for 72% of the smartphone market, according to Tokyo-based MM Research Institute Ltd.
With iAd, not only has Apple re-thought mobile advertising with the entire iPhone ecosystem in mind, but it has also drawn on its experience as one of the world’s most enjoyed brand advertisers, leading to several features that sets iAd apart. Users will come across iAd within an application. At first, the ad will look similar to the current small banners that are common, but the meat of the ad presents itself after a user initiates interaction.
Paramount to Jobs is that the iAd experience does not take a user away from their current app. Because of the new iPhone OS4 multitasking capabilities, a user can interact with an iAd without closing their current app and go back to where they left off when they are done with the ad. Jobs believes that if people don’t have to “pay the penalty of having to find their way back to their app” it will result in more clicks (or taps) for advertisers. An improved user experience may be just the thing the mobile advertising industry
needs to propel itself further into the plans and budgets of advertisers.
iAd intends to present advertisers a mobile ad platform with more impact, delivering “interactivity and emotion”, as Jobs puts it, by giving creatives a richer canvas to work with, blurring the line between entertainment, information, apps and advertising.
It sounds very promising, but there are questions and challenges.
One unknown is the quality of the metrics and data advertisers will be able to get on iAd campaigns. According to registered developers, there are restrictions on third-party targeting and measurement, which many
advertisers rely on for precise and unbiased information about their digital marketing.
All the data will flow through Apple, presumably on the technology that came with its recent Quattro acquisition.
Targeting will benefit from the detailed understanding Apple has about users from its iTunes and App Store behaviour, however, it is yet to be determined how well this approach will be received by marketers.
The iAd interactive and emotional experience is also not alone in the mobile
advertising market. Companies such as Medialets offer similar units, which also allow for rich and immersive creative.
Furthermore, while the number of Apple apps downloaded far surpasses any others, the Apple App Store isn’t the only game in town. Nokia, BlackBerry and others have moved into the apps distribution business. Then there is the price tag.
The Wall Street Journal recently reported that being part of the iAd launch could cost up to US$10 million, with regular campaign pricing eventually in the US$1 million range. There is no denying that Apple has proven time and time again its expertise at making technology simpler, fun and sexier. Apple has redefined categories so don’t be surprised if mobile advertising is next.
The author is Jason Kuperman, vice president, digital development, Asia Pacific, Omnicom group.
Wagon R - 'Old Wine In New Bottle'
One of India's best selling car brand got better. Recently Maruti Suzuki launched the new Wagon R in the Indian market. The new spruced up model features the famed K Series engine and with a brand new look.
Wagon R has been a run away success since its launch in 1999. So far the company has sold around 8.8 lakh units of Wagon R (source). Infact Wagon R is the second largest selling car brand from Maruti's product portfolio.
Wagon R operates in the A2 segment of Indian car market which is witnessing most of the competition in recent times. Most of the car majors are viewing this segment seriously and some of the new brand launches like Chevrolet Beat and Ford Figo has been highly welcomed by the consumers.
This intense competition has prompted Maruti to relaunch the upgraded version of Wagon R with a new engine and renewed look. It is interesting to note that Wagon R recently launched a high profile brand campaign featuring the Celebrity Madhavan.
Maruti have aggressively responded to the competition from Chevy and Ford by keeping the price point of the new Wagon R at the range of Rs 3.5 lakh - 3.85 lakh. Maruti has taken the risk of cannibalizing other brands like Estillo and A Star. The rejuvenation is also a part of Maruti to take the brand from the Maturity stage of the lifecycle stage to the growth path.
The new launch is expected to give much needed boost to the brand. Wagon R is still relevant in the Indian market. The users have vouched for the comfort and drive-ability of this car in the urban jungle. The company feels that the brand still have lot of steam left in it.
The company is calling the new Wagon R as the Blue Eyed Boy. The brand has retained Madhavan as the brand ambassador in the new avatar also.
Most of the auto review comparing Wagon R , Figo and Beat has rated the competitors as better than Wagon R. But what will be driving this brand will be the Maruti endorsement . Although Chevy and Ford have established themselves in the Indian market, Maruti still holds tremendous brand equity among Indian consumers. But competitors are not sitting idle. When Chevy launched Spark to take on Alto, it ran a highly successful campaign guaranteeing Zero maintenance cost for three years. That gave lot of boost to the sale of Spark.
Wagon R in a way offers less risk for the discerning Indian consumers compared to the new entrants in terms of cost of maintenance, spares , service etc. That will help Wagon R hold on to its pivot position atleast for now.
CRTSY - MARKETING PRACTICE
Wagon R has been a run away success since its launch in 1999. So far the company has sold around 8.8 lakh units of Wagon R (source). Infact Wagon R is the second largest selling car brand from Maruti's product portfolio.
Wagon R operates in the A2 segment of Indian car market which is witnessing most of the competition in recent times. Most of the car majors are viewing this segment seriously and some of the new brand launches like Chevrolet Beat and Ford Figo has been highly welcomed by the consumers.
This intense competition has prompted Maruti to relaunch the upgraded version of Wagon R with a new engine and renewed look. It is interesting to note that Wagon R recently launched a high profile brand campaign featuring the Celebrity Madhavan.
Maruti have aggressively responded to the competition from Chevy and Ford by keeping the price point of the new Wagon R at the range of Rs 3.5 lakh - 3.85 lakh. Maruti has taken the risk of cannibalizing other brands like Estillo and A Star. The rejuvenation is also a part of Maruti to take the brand from the Maturity stage of the lifecycle stage to the growth path.
The new launch is expected to give much needed boost to the brand. Wagon R is still relevant in the Indian market. The users have vouched for the comfort and drive-ability of this car in the urban jungle. The company feels that the brand still have lot of steam left in it.
The company is calling the new Wagon R as the Blue Eyed Boy. The brand has retained Madhavan as the brand ambassador in the new avatar also.
Most of the auto review comparing Wagon R , Figo and Beat has rated the competitors as better than Wagon R. But what will be driving this brand will be the Maruti endorsement . Although Chevy and Ford have established themselves in the Indian market, Maruti still holds tremendous brand equity among Indian consumers. But competitors are not sitting idle. When Chevy launched Spark to take on Alto, it ran a highly successful campaign guaranteeing Zero maintenance cost for three years. That gave lot of boost to the sale of Spark.
Wagon R in a way offers less risk for the discerning Indian consumers compared to the new entrants in terms of cost of maintenance, spares , service etc. That will help Wagon R hold on to its pivot position atleast for now.
CRTSY - MARKETING PRACTICE
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