of the month - iim shillong · nostalgia marketing and chatbot marketing in the fray this month for...

nostalgia marketing and chatbot marketing in the fray this month for perspective. For these articles, we would like to congratulate Shirohi Govil from SRCC and Akshay Sharma from IIFT respectively. With the sphere of entertainment changing everyday, we discuss whether India can be the next big thing for over the top con-tent players like Netflix and Amazon prime and would like to congratulate Bharat Chadha from Amity Business School and Ashwin Mehta from IMT Ghaziabad for the same.

In the Vartalaap section, we bring to you Dr. Jacob Vakkayil, Assistant Professor at IESEG School of management, Paris. He has given some scintillating insights into the market in Europe and its comparison with India. We have also added a new section this time around, bringing to you the five must read articles of the month. This month also bring to you the story of Vanilla Coke and its failure.

As always, we have the catch and miss adver-tisements of the month and the fun corner to mind boggle you. We hope you enjoy the read and do write to us.

Cheers!Team Markathon

While most of us are still getting accustomed to the rude shock of getting back to work after the vacation, we enter the new year with a renewed sense of hope and optimism and wish our readers a very happy new year. So, a lot has happened around the world in the past year, from curren-cy being banned to a new POTUS being sworn in, the world has changed, for good or bad, only time will tell. So, amidst all this, we bring to you the January edition of the magazine.

While we’ve covered in detail about everything that has taken place in the last year, we felt its time to discuss the possible trends that could be followed in the marketing world for the upcom-ing year and have made that our cover story. We discuss about chatbots, AI and their impact. Also in the discussion is omni channel commu-nication and the role it will play. A big develop-ment in the past year has been live video and we look at its impact in the upcoming year. We also analyze the rise of snapchat and the movement from mobile friendly to mobile only. Virtual Re-ality has played a major role in the past year and a prime example is Pokemon Go and we discuss its possible applications.

Speaking of Pokemon Go and chatbots, we have

Of The MonthRavitej Vadlamani

“

“

AND HIS TEAM..!!

Aditya Arnav Suman

Himanshu Archita Raghav

EDITOR

He is our FLASH

Markathon january 2017

IIM ShillongMARKATHON

Andar Ki Baat

Cover Story 10 Marketing Trends

IN 2017

RAGHAV DHANUKA | IIM Shillong

Perspective

01Chatbot Marketing: Development of latest trendsAkshay Sharma | IIFT

06Nostalgia Marketing:

Shirohi Govil|SRCC GBO

14Dr. Jacob VakkayilAsistant Professor

IESEG School of Mangement

Vartalaap

18Can India be the next big thing for Over The Top content players like Netfilx, Amazon?

Eye 2 Eye

Ashwin Mehta

IMT Ghaziabad

Andar Ki Baat

Interviewed By:

Raghav Dhanuka | IIM Shillong

Bharat Chadha

Amity Business School

Markathon january 2017

Andar Ki BaatSpeciaLs

19LogoisticMercedes BenzArnav Khanna | IIM Shillong

20AD-dictedCatch & Miss advertise-ments of the monthRavitej Vadlamani & Suman Sourav | IIM Shillong

22 Vanilla Coke: The Wakaw Fad

Raghav Dhanuka | IIM Shillong

Jab They Failed

Let’s look at our social media marketing

Digi - Tally

27

21Fun CornerTo get the brain ticklingAditya Gaur | IIM Shillong

25UpdatesFresh from the Marketing WorldSuman Sourav | IIM Shillong


Marketing Gyan

Must Reads

Articles you just cannot afford to miss

23

IIM Shillong1MARKATHON

Background

Imagine opening a group chat and inviting a chatbot to join the conversation to assist in group booking. The bot will understand each person’s preference and would suggest travel options ac-cordingly. Well, this would make our lives a lot simpler and thus leveraging such type of a tech-nology is a top priority for brands.Pioneers in the field of technology – Microsoft and Facebook are both throwing their multibil-

Byakshay sharma

iift

january 2017

Chatbot Marketing:Development of latest

trends!

perspective

“Have you ever asked Apple’s Siri about the weather forecast for the weekend?”


january 2017perspective

lion hats into the chatbot ring. Looking at the behavior of these heavyweights, it can be safe to say that the dawn of the bot is upon us. With this, a new type of marketing has entered the fray – Chatbot marketing.

What are Chatbots?

Simply put, chatbots are AI powered robots within a messaging app that can converse with humans to answer questions. The conversation is ensured using natural language i.e. text or voice rather than using traditional websites or app user interfaces. The scope of a chatbot is always determined by the creator’s algorithmic aptitude. With a blend of both pre-set scripts and deep learning neural networks, these chat-bots can predict an accurate response to a ques-tion posed by the user. This gives rise to a form of conversation that greatly mimics the regular chat. A general shift in the consumer behavior towards messaging platforms like Facebook Messenger, Apple iMessage, WeChat, SMS etc. has been observed in the recent past. With mes-saging apps becoming ubiquitous and the com-mon man’s growing desire for efficient online services, it can be fair to assume that these bots are not disappearing in the near future and may actually go on to become the next ‘BIG’ thing.

Not many marketers are skeptical about the us-age of chatbots in marketing. From the point of view of a customer, sending a text to the bot of their choice is by no means a big feat. In addition, when this text produces results like purchasing

of a cinema ticket, booking of a taxi, ordering a take-away or getting updates about the cricket score, it does amaze him to a certain extent. Let us now have a look at some of the other ways using which this technology can be leveraged by marketers:•Turning boring emails into a fun proactive com-munication from the brand•Improving surveys and uncovering better in-sights which can be leveraged for evolution of the product, providing better customer service and reaching to new buyers•The collected data would help the company to decide on which product is to be marketed dif-ferently or which product is to be relaunched and so on.•Given the versatility of chatbot tools, it is pos-sible to program them in a manner so as to en-sure that they retain data, respond to specific keywords and offer an additional product to the customer. And this would greatly make an im-pact in the life of a customer.

Facebook’s foray into the world of chatbots:On 12th April, Facebook’s CEO Mark Zucker-



a different path altogether. Pernod Ricard em-ployed chatbots not just to inform customers about the alcohol types on offer. The chatbot ‘Cocktail Couch’ offered recipes and mixing instructions for all the people who wanted to get creative with their drinks during the festive period.

Going the Digital way:

The data collected by chatbots can be lever-aged after a certain point of time. With internet and mo-bile penetration on the rise, a massive amount of data is generated day in and day out. This is where analytics joins the party.

With the number of marketing chan-nels on the rise, it is imperative for marketers to keep all of those up-to-date. Chatbots will simplify this issue a great deal. The chatbots can be programmed to carry out tasks like scheduling content, monitoring ads, addressing the is-sues faced by the general public etc. on the go.

Keeping a tab on the performance metrics of a campaign is an im-portant attribute that a marketer possesses. The above figure gives insights on how customers react to say, a certain ad or a campaign. Chat-bots will help to fetch data instantly, avoiding the tiring process of going through vast data sets in Excel, Google Analytics etc. This will help marketers to optimize its revenue and also align their strategies properly. Today, custom-ers have become more and more impatient. The impatient customer wants instant answers to its questions. Again, this can be overcome by chatbots, thereby maintaining a healthy rela-

berg remarked that he will allow developers to build chatbots inside the Facebook Messenger app. This simply underlined Facebook’s quest to become the go-to place for its users to contact businesses, rather than contacting through third-party websites. With the words – “You will never have to call 1-800-Flowers again”, Facebook CEO wants the bots to perform acts like answering questions, processing orders, send shipping up-dates etc. which would revolutionize the way marketing is done. The Facebook Messenger app allowed retailers and information outlets to integrate bots capable of responding to us-ers’ queries instantly which provides a real opportunity to all the marketers to unleash their innovative mar-keting strategies so as to better market their brand. Christmas – An excit-ing time to interact with prospective con-sumers?Christmas is usually the time when busi-nesses are inundated with special requests from the time-starved customer requiring more and more sug-gestions. During the recent Christmas sea-son, one brands did dip a cautious toe into the water when it comes to chatbots. On-line marketplace No-tonthehighstreet built up a Facebook Messenger chatbot which advised users on what gifts are to be brought on for their loved ones. An innovative concept like this has a high chance of increasing the brand awareness and drive customers towards the brand particu-larly during the festive season when the customer tends to be quite upbeat. Another similar effort was made by the sandwich chain – ‘Pret a Manag-er’ – a chain which focuses on offering high qual-ity fresh food to its customers. They used chatbots so as to ensure that customers can find out more about the menu on offer in the midst of ambigu-ity and chaos. A drinks giant however, followed


january 2017perspectivetionship with the customer. Chatbots and marketing efforts:(I)Engagement beyond clicks: The traditional method of defining engagement as a click of an ad or play of a video is not as much valued as an active conversation with a user. The Officer Judy Hops – a creation of Disney was launched in Facebook Messenger to spur the interest of users in Disney’s Zootopia movie. What followed was a high level of engagement where users joined

Judy on a detective hunt and experienced her story firsthand. The engagement was enormous, with users spending more than 10 minutes on an average conversing with the character.

(II) Marketing is full of innovations. And these innovations inspire com-panies to come out of their shell and think the otherwise. A voter regis-tration organization part-nered with Facebook ads to drive users to a spe-cific chatbot in Facebook messenger. The chatbot posted a series of ques-tions – name, address etc. which the users hap-pily answered. Finally, the user was directed to a ‘Rock The Vote’ form

which was filled based on the details of the conversation. The only thing the user had to do was click on the ‘Submit’ button. This cam-paign tripled the voter registration sign up rates. Rather than attracting potential users to the landing pages, using bots as a medium to fetch user information turned out to be an in-novative idea. (III) Sephora’s chatbot on Kik is a tool that shares beauty tips with teenagers. After ask-

ing a series of questions to the user, the chat-box finally comes out with suggestions about the products she/he may use, beauty tips and tutorials.

Flip side:

Well, chatbots seemed to nega-tively impact Microsoft when it launched its AI powered chatbot named Tay. The mere fact that the bot ‘learns’ from whom it interacts proved to be the game changer as it started getting offensive and racist. Tay was programmed to share jokes, offer a comment on a pic-ture you send to her and so on. However, one thing that users noticed was that she would reply to racist and offensive tweets with her own commen-tary.



This was probably the last thing in Microsoft’s

mind as their intention was to build a bot capable of interacting with millenials via social media. Fi-nally, the chatbot was taken offline as the situa-tion had gone out of hands. At the end of the day, this certainly showed that a human intervention is probably required unless of course, the technol-ogy is a fool proof one.

Final Word:

The prospect of communicating with the custom-er and at the same time ensuring that the com-munication is lively, interesting and at the same time specific is something that would interest any customer. After all, who would not love a 24*7 service that connects with the users on a much deeper level? There is a reason why bots are seen to be ruling the foreseeable future which is why marketers are always looking out to cash in on us-ing their services to market their brands.

However, one thing that has to be ensured is that they are used sparingly in a way that bene-fits both the customer and the business. Human intervention should be at the helm at least some decisions or else plans could backfire as seen in the case of Microsoft’s Tay chatbot. Companies which employ chatbots and humans simultane-ously may end up winning the ultimate battle by marketing new products, sneaking in pro-motional materials and upselling customers.

IIM Shillong IIM Shillong6MARKATHON

The phrase ‘Good Old Days’ describes nostalgia in a befitting way. From the marketing perspective, nos-talgia is what strikes when one uses the ‘On this Day’ or the ‘Year in Review’ features of Facebook. When the marketing strategies tap into the emotions evoked

due to the recollection or reconstruction of the past, it is Nostalgia Marketing.

In 2016, nostalgia marketing took an astronomical po-litical hue when Donald trump won the US presidential

By Shirohi Govil

shri Ram College of CommercePost Graduate Diploma in Global Business Operations


elections by harping on the ‘Make America Great Again’ proposition which triggered an emotional yearning for the perfect past. In the UK, isolation-ism and protectionism formed the basis for the exit from the European Union, which marked another return to the old world order. This political whirl-wind exemplifies the potent force of nostalgia mar-keting.

Pokémon GO: The Uber of Mobile Gaming

In marketing parlance, the most compelling case for Nostalgia marketing is presented by Pokémon GO, a location - based mobile gaming app which merges the physical and the digital world through Augmented Reality and involves catching digital Pokémon characters overlaid on top of the physi-cal world.

The New York Times called it millennials’ “first mass-consumption nostalgia product”. According to Google’s global trends, Pokémon GO was the most-searched item online in 2016. Its astounding success saw it catapulting to the top of downloads rankings in every region where it was launched since July; with players clocking 8.7 billion kilo-meters by walking around to catch an average of 533 million digital Pokémon characters each day.

nostalgia marketing


january 2017 perspective

Games on the Augmented Reality platform have ex-isted before, but what led Pokémon GO to become unsurpassed? It was the pull of the Pokémon that the players grew up watching which snowballed into a collective yearning for the past memories of un-fettered happiness. To get off the ground, the game needed enough players available for interaction and the use of nostalgia as an emotional hook delivered just that.

Significance of Nostalgia Marketing

A. Experimental Studies: People, especially millennial are more willing to part with their money if reminded of the past, according to a study pub-lished in the Journal of Consumer Research. This is attributed to social connectedness and the shift towards digital culture which allows cataloguing themes and events. According to Deloitte, there is an incredible business opportunity to market to millen-nials, which will form 50% of the global workforce by 2020 and will control between $19 trillion and $24 trillion globally.B. Psychological Perspective: The holy grail of marketing is to reach customers on an emotional level. As consumers tend to hark back with rose-tint-ed glasses, particularly during periods of socio-eco-nomic or political uncertainty, brands can capitalize on the cushion of this nostalgia. Besides, brands which use ‘retro’ or ‘throwback’ have an element of charm in it.

Strategy and Approach of Nostalgia MarketingBrands use nostalgia in marketing either as a corner-stone or a fringe component. Marketing strategies

can consist of Character, Event and Collective nostal-gia. There are various ways in which brands engineer the nostalgia marketing strategy.Keeping old brands relevant: When an established brand like Kellogg’s promotes Cornflakes as “The Original and Best” since 1906, nostalgia scores goals and consumers kick the ball.

Bringing back an old, beloved product: Mountain Dew and Pepsi released “throwback” bottles with the retro packaging and labels, which had real cane sugar, a sweetener that has been absent from the soda since the 1980’s.

Brand back story: Brands use their origin stories as ‘heritage content’ to gain traction. In 2015, KFC brought back its mas-cot Colonel Sanders after a 14-year gap, which re-minded consumers of the brand’s authentic Southern roots and its “secret recipe.”Retro marketing or flashback branding which in-cludes the use of logos, images, songs and jingles, to create vintage feel: Traditional Indian drinks brand Paper Boat launched an advertisement around Mal-gudi Days, narrated by Gulzar, which reinforced the brand’s philosophy of “Drinks and Memories”.Impact of Nostalgia MarketingThe evocation of past to connect with the consumers can tug at the heartstrings and as the consumers take a trip down the memory lane, it can win a lasting con-nection for the brand.Connecting Generations: As nostalgia paints broad universal strokes, it generates cross-generational appeal which can sway consumers of various age groups.Shareable Content: The resurrection of past gener-ates transferable emotions which are shared along as one remarks, “Oh, do you remember that?” and this drives business.


january 2017perspectivePositive Brand Associations: The positive emotions evoked by the marketing generate positive resonance for the brand.Cost – effective: By using the pre-existing content from the past, costs are minimized as new content has not been created.Builds Familiarity: The use of past connections serves to reduce the time it takes to convert leads.At times, nostalgia marketing may work to grab eyeballs but may not change the consumer percep-tion towards the product. Microsoft’s video for the Internet Explorer the ‘Child of the ‘90s’ was la-beled the definitive nostalgia video, which started with “You might not remember us, but we met in the ‘90s” and ends with “You grew up ... so did we. Reconnect with the new Internet Explorer.” De-spite enormous positive reviews for the nostalgia,

the abhorrence for Internet Explorer did not go away.

The Way Ahead Nostalgia marketing is an effective strategy as long as it is synchronized with the current needs of the consumers and reaches them in a positive context.Consumer Research and Data Visualization: Before creating the nostalgia marketing strategy, it is imper-ative to understand target consumers and the various factors which affect their purchase decisions. Tech-niques like A/B testing can be used to learn about their preferences to couple nostalgia with the right product or service context. Personalization and co-creation: When nostalgia is about social and social is all about storytelling, brand should leverage the storytelling approach to deliver personalized content. This can be done by letting the consumers influence the social currency. This can be described by Subaru’s 2012 “First Car Story” cam-

paign (Exhibit). It allowed users to design an illus-tration of their first car and describe the fond memo-ries associated with it. The brand then transformed the information into an animated video. Combining nostalgia with SoLoMo (Social Local Mobile) mar-keting is the kernel of this strategy.

Use of new technology: The advent of Virtual re-ality, augmented reality and Internet of things has opened avenues for a digital goldmine which can drive the nostalgia marketing strategies. As an ex-ample, retailers have been using Beacon technology to track customer movements to learn more about shopping patterns. These beacons, which are small Bluetooth devices installed across the shopping ar-eas, communicate with apps installed on customers’ phones as they walk around the shopping areas to guide the shopper in real time to those sections of the store which they may have visited before.

Conclusively, creating an authentic narrative which weaves nostalgia with a forward-looking offering is the essence of Nostalgia marketing. As long as con-sumers are willing to trade all their tomorrow for a single yesterday, nostalgia marketing will show the way.


cover story january 2017

MARKETINGBUDGET

Last year, we discussed some of the trends to watch out for in 2016. While some of them are yet to make it big in terms of adaptability, others have been increasingly popular and many may even sustain through 2017. Here we have a look at the new ones as well as the popular ones from 2016. The times of 2016 introduced advanced showcasing characterized by quick web-based social networking changes and quickened noticeable quality of video. We commence the new year with new trends to move forward in the forthcoming year.

1. Marketing Automation, Chatbots & AI

Machine learning is utilizing manmade brainpower (AI) to learn client patterns and practices. This can appear as mechanization to streamline client devotion, or utilizing visit bots to help clients better interface with an organization’s support resources. We’ve likewise observed

p l a t fo rms i n c l u d e more AI c o m p o -nents to help get cli-ents all the more im-media te ly f a m i l i a r with a spe-

cific item or administration, taking instructional exercises and wiz-ards to the next level. At the point when utilized astutely, mechani-zation devices can deal with a portion of the humbler assignments so you can invest your energy in associating specifically with your intended interest group.Giving positive client experience and administration implies utiliz-

Marketing Trends in2017

Cover Story

ByRaghav Dhanuka

Cover Story

ing the force of innovation. Approaching local peo-ple for exhortation on where to eat is great, yet they don’t know whether you like hot sustenance or have a gluten narrow mindedness. Envision a chatbot who knows your preferences, aversions, and needs and can manage you on where to eat, how to travel, or where to shop. Chatbots can use AI, profound learning, and information pieces from over the web to understand and di-rect shopper conduct. In 2017, chatbots will finish a resurgence that has been taking shape since years. At the point when Google Allo propelled in September 2016, it was an-ticipated to wind up “the most noteworthy chatbot informing stage ever” with its capacity to peruse and translate messages. Be that as it may, chatbots aren’t only for Google. Taco Bell and Dominos are both as of now utilizing chatbots to empower hungry clients to effectively arrange supper. Bedding retailer Casper propelled a chatbot for restless people and night owls that is just accessible daily from 11 p.m. to 5 a.m. Forward-looking advertisers will search out chances to band together with the creators of well-known chatbots, or notwithstanding executing their own.

2. Omni-channel continues..

In the past we’ve writ-ten and talked exten-sively about the advan-tages of omni-channel advancements, which alludes to advance-ments that are made to be open from multiple stages, for example, a Campaign distributed to Facebook, implant-ed on a site, added to an Instagram bio, and shared as a point of ar-rival. We foresee this is the year we’ll see more advertisers adopt this strategy, expanding outside of only one web-based social networking stage. Subse-quently, advertisers will probably observe an expan-sion in leads gathered from different sources. Accord-

ing to a recent survey data, omni-channel campaigns received 83% more views than campaigns published only to Facebook. Also, while Facebook hosted con-tent received less interactions, the CTR for content posted on Facebook had substantially increased.Numerous advertisers will make this a stride further this year and consider advancements that are only

versatile, thinking past the desktop encounter, and mak-ing efforts and greeting pages made in light of the portable experience. This implies cam-paigns that are coherent, and simple to use on cell phones.

3. Welcome: Live Video & More surrealistic experi-ences

Live video truly took off on account of applications like Facebook Live in 2016. 2017 will be the year that advertisers truly get inventive with it. We’re hoping to see live video turn into a dynamic piece of numer-ous limited time endeavors around the world. Starting at now, it’s still hard for advertisers to catch informa-tion from live video to use for further use, yet you can try creating a landing page to take advantage of the live video viewers.As per a late article on Social Media Examiner, mar-keters are taking advantage of live video instruments like Snapchat and Periscope to boost engagement but

live video is still relatively new for most entrepreneurs. Lowe’s Black Friday offers life stream, which com-municated on Facebook Live to 32,000 individuals. From the positive response generated by this activity, we foresee that live video can be used by all types of businesses as an approach to building exposure. Insta-gram simply reported their live video highlight, and advertisers can likewise explore different avenues

regarding Facebook Live and Periscope. Facebook Live even incorporates a live sound component now, so it shall also be another dimension to watch out for.



Entrepreneurs and advertisers can exploit these free apparatuses. It makes some buzz about your live stream, particularly in case you’re communicating surprisingly. This is a decent initial step for build-ing a viewership. Furthermore, recall: your live video doesn’t need to be great! It’s a shot for individuals to find out about the general population behind the brand. However, while Lowe’s made a special effort to ad-vance and convey on the occasion, the retailer’s uti-lization of the stage demonstrates that brands of all sizes can receive the benefits of live video within so-cial networking. Individuals are additionally beginning to look up to web-based social networking as an avenue for more vicarious encounters. It’s not sufficient to post your re-actions around an occasion; you need to demonstrate to your clients what it resembles to be there. You can do this with things like live video, 360 images and video, and even sim-ply more real-time posting. The thought is to make your custom-ers feel like they’re an authentic part of the experi-ence, as it’s unfurling.Beauty brands, for example, Birchbox and Benefit Cosmetics have used Facebook Live to stream week after week fragments that offer cosmetics tips and answer questions postured amid the session, with an end goal to specifically interact with shoppers. While advertising can be a costly affair, Facebook Live empowers retailers to spend on their crusades at their own pace, since a great part of the emphasis is on engagement. As ongoing inquiries fly in from the group of onlookers, giving a more conversation-al feel to a communication, retailers can utilize this profitable time to present more up to date advance-ments or thoughts and quickly measure feedback.Live streaming will develop in prominence. Obvi-ously recorded video will easy access for facilitat-ing live item briefings, visits, instructional exercises,

launches.

4. Instagram outweighs Twitter & the Snap era begins

Individuals have been predicting the demise of Twit-ter for the previous couple of years. Twitter devel-oped itself on quick updates, yet this prompts to a flood of tweets in both directions. This was novel and energizing in the first place, but now clients are beginning to hunger for something else—bigger and more fascinating bits of substance that take off slow-er, like once a day. You can see this pattern grabbing hold as of now in Instagram. Snapchat—now called Snap—has experienced a co-lossal development and as of now, Snap has changed client desires and significant patterns in the social advertising world. It’s brought back a more minute

centered per-spective of communica-tion, prompt-ing to additional in-the -moment and live sub-stance, it’s en-couraged more versatile driv-en applica-tion advance-ments, and it’s brought ver-

tical recordings into the standard media. However, now, it’s hoping to create items outside its principle stronghold for trading messages, introducing true glasses to help clients catch first-person visual data. Expect enormous things from Snap in 2017, and tre-mendous advertising chances that they may bring about. ate online with the help of assistants such as Siri and Cortana which are mostly mobile only.

6. Content and Story-tellingStorytelling will turn into a key portion of substance showcasing. Great narrating in business is more than only a contextual study. It also showcases a shift in the mindset of audiences who are doing away with content just for the sake of it. Essentially blogging or social networking for the sake of it won’t work



organizations in 2017, once the innovation gets to be distinctly less expensive we’ll see it multiply.Digital will move from information and data to multi-

sensory communication and imitate human activities to a degree that in under three years the difference be-tween virtual and real will be practically nil. Tangible association will slowly replace physical connection and bring forth the digital-sense. For this, we should re-imagine our connections with our gadgets today as they will begin conveying touch-free interaction through vision, voice and motion acknowledgments and the sky is the limit from there. Just as you can think about someone’s thoughts and emotions their outward appearances, machines, as well, will have the capacity to perceive eyes, voice and breath for more honed prompts.

Much shall also depend upon how the banking poli-cy arrangements and encounters take off (and neither is block chain too far). If it endures long, some ex-ceptionally intriguing advancements might come our

direction. The dependence on the BFSI segment will continue disintegrating and a durable money crunch will get shoppers used to new patterns of spending less, celebrating less, tipping less and gifting less while sparing all the more, sharing progressively and maximizing more will dominate. Advertisers and in-novators should become aware of this new mentality with regards to both positioning and offering.



MARKETINGBUDGET

anymore. You have to indulge your audience with fine storytelling and enchant them with interesting narra-tives. Push publicizing will blur away and be sup-plemented with local advertising. Ad-blockers and general disdain for internet advertising are making it harder to target buyers with banners, and other push advertisements. 2016 was the year when users had had enough and took matters into their own hands. Be that as it may, publicizing and promotions aren’t leaving, they’ll only develop and evolve. Yes, content is still king, yet the sort of content that rules the web is evolving into newer avatars. Social contents, sur-veys, sites are all still essential parts of showcasing, but video will be the fury pushing ahead. Considering the achievement of recreations like Pokémon Go, ex-pect virtual and enlarged reality to take us into what’s to come. Brands that neglect to consolidate visuals and recordings will face a hard time. With the intro-duction of genuine 4G in the nation, this will present video as the de-facto frame of communication. Nar-rating through video has been discussed for some time now and 2017 is the year where we see an exponential increment in the same. This substance will be made

with the assistance of logical information. This will offer provide opportunities to particular new media agencies revolving around content creation.

7. Real Virtuality

A few organizations have started utilizing VR to in-troduce premium items. The North Face, the outdoor attire organization, has utilized VR innovation to highlight its products. This can be a good approach to promote products and services. While this pattern most likely won’t be accessible to small and medium


vartalaap january 2017

VARTALAAPAn Interview with Dr. Jacob Vakkayil

Jacob is the co-director of the IMBA program and a full-time faculty at IESEG France and teaches cours-es on organizational design, change management, inter-cultural management. Before joining IESEG, Jacob was a full-time visiting faculty at IIM Calcutta. His research interest focuses on knowledge shar-ing, learning in organizations, and the interface of business and society from an institutional perspec-tive. Apart from publications in international jour-nals he also has experience as a consultant with a number of corporates across different sectors.

Assistant Professor

IÉSEG School of Manage-

ment



but need to be more disciplined in sticking to the point and being accurate.

Markathon: What are the notable dif-ferences that you could perceive in the organizational lifestyle of the people in France and India?

There are a number of differences in meet-ings, hierarchical interaction etc. Appoint-ments are planned and fixed before meet-ings and the idea “walking in” is much less observable than in India. Completing a work in a thorough manner is also something that you would notice easily in Europe. One of the notable differences seem to be in the way flexibility of plans and processes are perceived. In India flexibility most often has positive connotations and changing plans multiple times is not always considered negatively. In Europe (even with reginal variations) there is more sanctity attached to schedules, plans and processes.

Markathon: How has your experience been with regards to the multi-brand outlets and retail shopping in France?

Markathon: You have had a long aca-demic experience both in India and France. What are the differences in the perspectives of students and teaching methodology in both the regions?

There is a big difference in the diversity of the student body at the MBA level. Unlike in India, the typical MBA class in Europe has students from multiple countries. They tend to be more experienced and come from diverse academic backgrounds. In India, engineers typically dominate the classroom and bring with them associated qualities such as numeric capabilities. Student com-ments in the classroom reflect these differ-ences. As teachers, we need to adopt differ-ent methodologies to bring out the best in these situations.

I also teach classes here in France with a number of Indian students. It is really in-teresting to note the difference when they are in an international class. This is a broad generalization, but my observation is that typically Indian students are proactive in expressing their opinions and perspectives

“The market is well developed, but

is also dynamic. Brands are under-

going changes such as Aldi”

In India, flexibility has positive con-notations, in Europe there is more

sanctity attached to schedules

“ “

vartalaap

I am not a big shopper, but look for a good quality-price equation when I do. There are a number of different formats and segment-ed offerings. The market is well-developed, but is also dynamic. Some brands are un-dergoing changes such as the case of Aldi that is transforming from a low-cost image to a good-quality image. It is also highly competitive. The large chains employ pe-riodic discounts and other offerings to at-tract customers.

Markathon: What were some of the no-table products and communication that caught your attention in the retail out-lets in France?

In terms of communication, there seems to be a dominance of celebrity advertising in India, but in Europe, it seems to be more focused on the product and the inherent values that the product represents. While shopping in France, the store front displays especially in stores such as Printemps and Galeries Lafayette. During this winter, you must have noticed intricately designed dis-plays that have become tourist attractions in themselves. On a more functional note, Apple Stores have caught my attention in many cities. I am not a user of apple prod-ucts, but the location of the stores, their décor, and the way in which products dis-played communicate their values very well.

Markathon: What were some of the im-portant features of the French retail outlets that were missing in India and that could be implemented in India?

How can similar Indian retail channels benefit from recreating the French re-tail channel experience?


vartalaap january 2017The French retail sector is much differenti-ated in its offerings. There are various for-mats, target groups, experiences offered. In fact, there is much scope in India for differ-entiated offerings. Specialized retail is an-other area. For example, in sporting goods retail, the French company Decathlon is fast expanding in India. Also, take the case of the vast sub-urban retail centers that you find commonly in Europe. I think India has great development potential here.

Markathon: With so many offline retail outlets and chains sprawled along the entire city, how have the Parisians react-ed to the online shopping wave?

Online shopping has been on the rise espe-cially for FMCG products. There are chains such as “Chronodrive” that have become successful on the basis of a mixed online-offline mode. However, for clothes and fash-ion products, I think people enjoy “crawling the stores”. The experience of shopping itself is very important especially in cities such as Paris which offer a large variety of shopping experiences.

Markathon: Many luxury outlets in France avoid attaching a price label to their products. It’s said that businesses in France pander to taste not to wealth unlike the luxury businesses in India. What is your perspective on that?

I do not know enough about this sector in both countries to make a fair comparison. However, it is interesting to note the inter-national luxury customers in France. While Chinese, Russian or Japanese speaking sales people are hired in luxury departmen-tal stores in France, unfortunately, as far as I know, Hindi still has not been featured. So

There is much scope for differentiated offerings and specialized retail in India

Advertisement is focused on the product and the inherent values that the

product represents



at least for this market, the typical Indian customer is not yet as predominant as oth-ers.

Markathon: How should global busi-nesses deal with the dilemma of “wheth-er to retain their cultural identity or absorb the local cultural values” in their effort to mar-ket their brands across different ge-ographies to become global?

There is no one-best formula. In some cul-tures, adaptation is absolutely necessary. I think, India is a good example of this. There needs to be great degree of adaption when global brands come in. Not just adaptation to the country as whole but also to its sub regions and states. However, in other large markets such as China or Japan, such ad-aptation of the brand is not always necessary to survive. American products for example can be valued precisely for their authentic Americanness and thus product adaptation might work against success. In France, you can see this difference in the approaches adopted by McDonald and Burger King both of which have become successful.

Markathon: How is the socio-cultural image of the Indian society evolving in the western world as a business destina-tion?

There is a lot of interest in India as a busi-ness destination. However, the images do not do justice to the diversity within India. Usually when people speak of India they have visions of cities such as Delhi, Mumbai or Bangalore in mind. I think the challenge for the Western person is to deveop a fine-grained understanding of market realities in India.

Markathon: What are some of the key motivations and barriers towards Euro-

pean investment decisions in India?

India is a large market that is fast-growing. There is also great deal of government invest-ment in infrastructural projects. These fac-

tors make it very interesting for large European companies to invest in In-dia. We already have collabora-tions such as transportation,

energy etc. In terms of barriers, the lack of highly devel-oped infrastructure in India is a major prob-lem. Transportation is still time consuming and there are significant uncertainties that have to be dealt with. People are aware that they need to have much more patience in India to get things done. Moreover, being a democratic country our decisions need to consider the interests of many stakeholders.

Markathon: Many French entrepreneurs have been starting up ventures in India. What are your views on this recent spike in interest of young western entrepre-neurs towards India as a destination? Also, what are the opportunities for In-dian entrepreneurs in collaborating with them or in setting up businesses cater-ing to the foreign visitors to India?

Honestly, I think there is a great potential here. Some of the entrepreneurs I know, re-alize the high growth potential of India. While they do learn about India, they can also be a source for important learnings for Indian partners. If you look at many sectors, there can be important synergies. There is poten-tial for a synergetic combination of Indian resources and European know-how. Though it varies across regions or communities, In-dians generally have deeply ingrained entre-preneurial mind-set. This is a big advantage when collaborating with others.

The challenge for the western person is to develop a fine-

grained understanding of the market realities in India

eye2eye

IIM Shillong

bharat chadhaamity business school noida

Over the top digital content system has developed a new market in India.

Gone those days when we have to wait eagerly for our favorite movie or serials to be broadcast in TV. Media has evolved tremendously from cable to DTH and now we can also watch, download any movies or shows by just pay-ing a subscription charges online. The target segment for this market are the people who love to watch online and can’t restrict themselves to what is shown on television. This segment in particular is getting inclined to the digital culture. Development in network and connectivity, grow-ing internet penetration and a huge market potential has told big players like Netflix and Amazon Prime that country like India can be the best place to expand their business. Today the major domestic player in this sphere is hotstar. The competition is getting intense in this indus-try. Optimum revenue model, quality content and cost efficient computer technologies are the key metrics that evaluate the performance of any company in this indus-try. Companies like Netflix and Amazon Prime who are already operating successfully in western countries have a bright future for this in India. They needed to design a right product and service strategy, which cater to people with multiple cultures, different languages and different mindsets as India is a diverse country. It can be the next big revolution in future if there is equilibrium between value offered and cost incurred. Netflix, which offer huge variety of content has to revise the pricing strategy for country like India where people are price sensitive and can easily shift. Today youth population of India which is found of watching movies online is digitally literate and want to explore more and more tells that there is bright future for these companies.


Can India be the next big thing for Over The Top content players like Netflix, Amazon Prime etc ?

Topic for the next issue: “Are social issues like feminism, LGBT rights etc being exploited by brands for market-ing?” Your opinion (view/counterview) is invited. Word limit is 250-300. Last date of sending entries is 15th February 2017. Include your picture (JPEG format) with the entry. Winners will receive a prize money of Rs. 500 each!

ashwin mehta Imt ghaziabad

According to Frost & Sullivan (2016), India has about 66 million unique con-nected video viewers. Video over IP is seeing high growth but it is low in absolute numbers when compared at a global level. The top drivers for Over-the-top (OTT) con-tent, in India, are the young demographic, demand for multi-screen viewing and strong international audience.But India has the slowest average internet speeds in Asia Pacific (Akamai, 2015). There are over 225 million inter-net users and only about one-third of them have access to high speed internet, a pre-requisite for seamless video consumption. Therefore, many consumers are preferring short-duration videos.Also down the line, most OTT players will be moving on the lines of Subscription Video-on-Demand. Maybe change is on the horizon, but alternative payment modes still lack penetration and a sense of comfort/ security in India.India is a diverse country so hosting a rich portfolio of con-tent across languages/ genres, content rights and ascrib-ing value to content will be hurdles to dominance in the market. Some multi-lingual companies, owning YouTube channels, are currently catering to these segments.The market lacks infrastructure and is price sensitive. With 90% households having a TV set, traditional TV services are well accepted. The OTT is at a nascent stage in the country and regulations ought to play an important role. Will Reliance Jio and its services be a game changer? Will OTT players come up with a cost benefit proposition to counter low cost cable? Consumption, content and chal-lenges will decide if India is good a choice or China among emerging markets or Japan among developed markets of-fers a more attractive opportunity. ilever was founded in 1930 by the merger of Dutch Mar-garine producer Margarine Unie and British soap maker Lever Brothers. From that moment on Unilever has gone on to become one of the largest producers and marketers of fast moving consumer goods. It is present in 190 coun-

eye2eye january 2017

18


eye2eye july 2015

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By arnav khannaIIM Shillong

Mercedes is a brand which stands for style, comfort and class. What we know today as the luxury car brand, is the hard work of 130 years and the culmination of two different companies.

Before Mercedes became Mercedes, it went by the name Daimler-Motoren-Gesellschaft. Gottlieb Daimler founded the company in 1890, and passed away in 1900. Emil Jell-inek, a racing enthusiast, was made a partner. The com-pany is named after his daughter Mercedes Jellinek. It moved to the three pointed star in 1909. The three point-ed star depicts the company’s domination over all three mediums of transportation.

Benz AG was founded in 1886, by Karl Benz who holds the credit for making the planet’s first ever automobile making it the oldest car maker of the world. The company has a long and fascinating history which makes its logo evolution a bit complicated.

Initially, Mercedes and Benz were two different companies with their own different logos. The Mercedes logo started off as a simple ellipse around the word “Mer-cedes. The ellipse was filled in black, while the text was all silver-gray. Meanwhile, the Benz logo featured the word Benz inside a circle, with a laurel wreath around it. It also featured what would eventually become the most iconic Mercedes sym-bol – the Mercedes star logo.

Due to financial pressure during World War 2, the two companies decided to merge in 1926. This led to the first official Mercedes-Benz logo, which was sil-ver and blue in color, featuring the prominent Mercedes symbol in the center of a double rimmed circle with the outer rim featuring words Mercedes and Benz along with laurel wreaths.

In 1933 the emblem was simplified to a great extent. Getting rid of the paurel wreaths and the rim of the circle and the entire company logo consisted of a simple black circle with the Mercedes tri-pointed start in the middle.

In 1989, the company changed their logo again. They replaced black with silver, giving it a more 3-dimensional look. The main reason behind this is that silver usually depicts creativity, sophistication, sleekness, and high-tech, while black tends to stand for elegance, purity, and integrity. And these are the exact char-acteristics for which the automaker wants to be known.

IIM Shillong

CATCHRMISS

AD-dicted december 2013


By Suman souravIIM Shillong

PRODUCT: Thums Up

POSITIONING: Main hoon toofani

CREATIVE AGENCY: Leo Burnett

YouTube Link: : https://www.youtube.com/watch?v=8MJmlr1MNHU

CONCEPT: Taking the toofani spirit to another level, the

new campaign starring Ran-veer Singh draws on the core idea of Main Hum Bhi Hoon, Aur Khaas Bhi. The Toofani

Thums Up drinker shines in the face of danger as he saves school-going children from a bus accident. The ad starts from Ranveer Singh saving the lives of school-going chil-dren as their bus topples and dangles off the edge of a road. The Good Samaritan approach of the film hopes to tug at heartstrings.

VERDICT: Miss

Markathon believes that In the latest commercial featur-ing the new brand ambassador Ranveer Singh, Thums Up has started its slide down in terms of creativity. Usually, Thums Up ads are nicely made and succeeded in creating that adrenaline pumping effect. This ad is a big let down both in terms of idea and execution. We have seen this plot of hero saving the bus in many films and ads; It is nothing new. Secondly, there is also a change in the nar-rative of the brand. In the earlier ad, the hero used to do big stunts for Thums Up and the brand was projected as something which even a big hero would do anything to get. Here in the new narrative, the hero and the brand are totally disconnected. Probably the argument is that the brand and the hero are one which is reflected in the new tagline “ Main Hoon Toofani “. However, the execu-tion fails to project the narrative properly.

By ravitej vadlamaniIIM Shillong

PRODUCT: Titan Raga

POSITIONING: Khud se naya rishta #MomByChoice

CREATIVE AGECY: Ogilvy & Mather

YouTube Link: https://www.youtube.com/ watch?v=TfYyAnJRkh0

CONCEPT: The film opens at a family gathering. A man raises a toast and urges a mother-to-be to deliver a speech at the gath-ering. She resists to begin with, but after a glance at her Titan Raga watch she smiles and agrees, as she receives a large cheer from those gathered. She says that she be-lieves she’ll be that type of a mother who wouldn’t be able to cook chapatis for her child, nor would she wait late at night for the child to be back home. She points towards her mother, and thanks her for the unconventional way she brought her up. She thanks her for her travel tales, for doing her PHD at the age of 45, and finally for loving her own life, as much as she loved her. She signs off that moth-erhood shouldn’t be a sacrifice, but should be a choice.

VERDICT: Catch Markathon believes that the advertisement is positioned very well and brings to light an important issue being faced by many working women in the urban areas. The adver-tisement stands up for women who choose to live their life on their own terms and not by being bound to family constraints. In doing so, the advertisement has managed to strike the right chords with its target segment (Urban Women) and serves as a good example of social marketing.

AD-dicted january 2017


fun corner january 2017

AKSHAY SETHIIM Shillong

Vanilla Coke: The Wakaw fad


jab they failed january 2017

Jab They FailedRaghav DhanukaIIM ShIllong

Coca Cola has some variants (Cherry, Vanilla) in select markets and Vanilla is one of those rare ones that found a way to India, but only to be removed off the shelves soon enough. Cherry mixed with Coke was a courtship ritual abroad much like the Indians have their Masala ThumsUp (although not a courtship ritual.) But it was only in 1985 that Coke finally gave a green signal to the official intro-duction of Cherry Coke. Vanilla Coke, much like Cherry was unofficially being produced by the fountain soda sellers who kept on innovat-ing with different reci-pes, and it was usually provided by shopkeep-ers who also sold ice-cream and therefore had the vanilla syrup. Vanilla Coke finally en-tered mainstream pro-duction in 2002 and its launch was the biggest since Coke Cherry and New Coke (which was withdrawn soon) in 1985. The advertising couldn’t bring about the real essence and significance of the fla-vor. Sales in 2004 were 35 million compared to 90 million in the inaugural year.

It was re-introduced in 2007 in the States but as Coca-Cola Vanilla and this time with a different marketing mix to the launch. But it wasn’t until 2013 that it was reintroduced in Britain where it was sacrificed in favor of healthier vari-ants such as Diet Coke with Cherry and Diet Coke with Lemon luring health conscious customers.

In India, VC was launched in 2004 and it was Coke’s first line extension in India. It targeted the high and middle in-come groups in the age of 15-30. The concept of ice-cream (flavour) in cola was appreciated in other parts of eastern Asia which led the company to eventually launch it in In-dia, where topping cola with vanilla ice cream wasn’t un-usual in the urban localities. It was priced at a slight pre-mium, which was perhaps one of the reasons behind the failure but not the main one. The taste was on the lighter side and was not meant for the target group it aimed to

appeal to. Ladies and children weren’t targeted selectively and would have formed the bulk of the loyalists. But dur-ing the market testing and blind tests, the taste was ap-proved and appreciated by the focus groups.

Wakaw, finally coming to the retro-ad starring Vivek Oberoi. The ice-creamy thanda tagline couldn’t have been better. The channels used for the communication were in-line with the strategy of targeting the youth. Apart from

ads in MTV and HBO, malls and col-leges were used for activation. Using the 70s make-up and themes was perhaps too drastic a shift in the posi-tioning. The target-ing and positioning of the product was just not proper in 2004 especially in India. The ad was portrayed as a bold move in the UK and USA unlike in India, where it was on the funnier side. More-over, as the teenag-

ers hadn’t seen the old stars, they could not absorb the true meaning of the advertisement and therefore Vivek Oberoi’s mock-Elvis avatar with bell-bottoms and thick side-burns was considered irrelevant. It also had a cult fol-lowing within a couple of years of its launch in the west, and perhaps cues weren’t taken from them before the India launch. In HongKong and Thailand it was launched with a hip-hop theme and that was a huge success. But then the initial craze among the youth, of trying some-thing new and different, “Wakaw”, died down soon as is the case with many soft-drink extensions which are strictly a fad. Perhaps the Indian palate is (or atleast used to be) too inelastic when it comes to drastically new products, even if it is plain cola with a hint of vanilla. How marketers should factor in the death of the fad after the initial hype and craze are gone, is a key consumer behavior research topic today. We feel that Coca Cola could try launching the product again in India as Coca Cola Vanilla, for the times, they are a-changing.

1) How Customers Perceive a Price is as important as the price itself

Companies are reducing prices because they believe that will boost their perceived value to consumers. But when managers reduce prices, a fundamental question sometimes goes unasked: Will customers notice and

respond as expected? Link: https://hbr.org/2017/01/how-customers-perceive-a-price-is-as-important-as-

the-price-itself

2) The Consumer Decision Journey

Consumers are moving outside the marketing funnel by changing the way they research and buy products. The article explains how marketers

should respond to the new customer journey.

Link:-http://www.mckinsey.com/business-functions/marketing-and-sales/our-insights/the-consumer-decision-journey

3) Mobile Wallets Branding Problem

An immediate positive ROI, can be found in mobile wallet solutions. Still, they have been overlooked and not received the traction they deserve?

Because mobile wallet has a branding problem.

Link:- http://www.adageindia.in/digital/digitalnext/mobile-wallets-branding-problem/articleshow/56519694.cms?from=mdr

4) Three reasons why marketers not losing sleep about demonetisation

The rural economy has not been affected as much the urban poor. Three reasons why marketers not losing sleep about demonetisation,

Link:- http://economictimes.indiatimes.com/magazines/brand-equity/three-reasons-why-marketing-experts-are-not-losing-sleep-about-demonetisation/articleshow/55833542.cms

the-price-itself

5) Will the surge in Digital Payment sustain?

The wave unleashed by demonetization and the Central government’s determination to drive the country towards a cashless society benefited

the fintech space, but will the surge in Digital Payment sustain?

Link:- http://www.adageindia.in/marketing/news/will-the-surge-in-digital-payments-sustain/article-show/56281458.cms

Sstorm, an Indian e-com-merce platform that offers innovation, technology, and trend driven international products, today announced the launch of its platform for the Indian market.The brand plans to redefine the interna-tional shopping experience and allow Indian consumers to purchase innovative prod-ucts at the same cost they are sold internationally (i.e. at their MRP), inclusive of all customs duties, taxes, and shipping costs. It is not just another Amazon or Flipkart – it brings in products that haven’t hit the Indian market ever before. Therefore, the positioning strategy of this e-commerce is unique.

Sstorm launches e-com-merce platform for Indian market

UberEATS to launch food de-livery service in India

Uber is all set to launch its food-delivery app, UberEATS very soon in India, as per the announcement on 23rd January. The company ahead of the India launch wants feedback from consumers and is also opening the floor to restaurant and delivery partners. The company will be facing major competition from the likes of Swiggy and Zomato. Ola also tried this service with Ola Café but failed miserably but Uber plans to use the same tech-nology that it uses for the transport app, and hopes to make food delivery as easy as ordering a cab.

By Suman Sourav | IIM Shillong


BBC Worldwide Signs Licensing Deal with Ama-zon India

BBC announced a deal with Amazon that will give Amazon Prime mem-bers in India access to more than 600 hours of award-winning and popu-lar factual and pre-school content from the BBC. Subscribers will also be able to watch award-win-ning and highly-rated BBC factual programs including Gandhi. This deal is done to compete with the grow-ing popularity of the Net-flix in India. Netflix does not hold much of content in this category, therefore Amazon Prime is hoping to get a large number of the subscriber through this

Amway India enters into consumer durables seg-ment

Amway, the country’s lead-ing direct selling company, has expanded its product portfolio and entered into the domain of consumer durables with the launch of Amway Queen, a premi-um cookware range. The five piece Amway Queen Cookware set has been created especially for the Indian market keeping into the consideration the culi-nary palate & food habits of Indians. Amway is tar-geting to take a leadership position in the premium cookware segment.

IIM ShillongMARKATHON 26

Our Social Media Pages have been buzz-ing all month. Check out some of our posts here!

IIM ShillongMARKATHON 27

digi-tally january 2017 digi-tally

IIM Shillong IIM ShillongMARKATHON 28

digi-tally january 2017

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aRtIcleS aRe InvIteD“Best Article”: Shirohi Govil | SRCC

She receives a cash prize of Rs.1000 & a letter of appreciation

We are inviting articles from all the B-schools of India. The articles can be absolutely any-thing related to the world of marketing but it should be an original work that is not pub-lished elsewhere. The articles can be specific to the regular sections of Markathon which

includes:

•Perspective: Articles related to development of latest trends in marketing arena.•Productolysis: Analysis of a product from the point of view of marketing.•Strategic Analysis: A complete analysis of marketing strategy of any company or an event.

Apart from above, out of the box views related to marketing are also welcome. The best entry will receive a letter of appreciation and a cash prize of Rs 1000/-. The format of

the file should be MS Word doc/docx.The last date of receiving all entries is 15th February, 2017. Please send your entries

marked as <ARTICLE NAME>_<SENDERS’ NAME(S)>_<INSTITUTE> to [email protected].

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of the month - iim shillong · nostalgia marketing and chatbot marketing in the fray this month for...

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