Wednesday, 16 January 2013

Voracious readers- Group A4- Source -pitch


Social Media-Trends Forecast for 2013
·         In October 2012, India reached 60.2 million active monthly users for Facebook which makes it #3 in the ranking of all countries.
·         Mobile will support social media greatly: With most users accessing their social outreach over their smart phones, social media campaigns, applications and commerce will be made mobile-friendly to ensure accessibility at all times.
·         Importance of monitoring media trends: Brands will hire specialized agencies that will help them monitor and gauge what audiences have to say about their businesses and convert consumer perspective into higher positive experiences. With higher investments in social media, brands would rightfully need detailed insights on how they are impacting their fans and followers, how many convert into consumers and the true impact of each application or communication they disseminate via each platform.
·         While Social Commerce isn’t new, the advent of Facebook Gifts and storefront solutions will bring about a spike amongst not only e-commerce and classifieds portals but also the smaller businesses.
·         Customer relationship management on Social media will augment encouraging more brands to leverage platforms in order to create brand evangelists. Brands will trust and bestow Social CRM onto agencies with a close knit association in-house to merge expertise from both ends.
·         Social media optimization will be taken seriously. Brands would need to be educated on the impact of optimizing their social media presence in a fashion that they are SEO friendly and capitalize on the money they spend on social media marketing. 2013 will definitely see brands evolve maturely into adopting social media platforms that are apt for them versus trying to be all over the place.







·          From the Dalmia Continental group, launched in 2003, positioned as an olive oil fit for Indian cooking.
·         Expanding presence from modern retail to traditional retail.
·         Ear-marked a marketing budget of Rs. 12 crore for 2013-14.
·         With a starting price of Rs. 400, it is a semi-premium offering, present in three variants – Leonardo Olive Pomace Oil, Leonardo Olive Oil and Extra Virgin Olive Oil.

Breaking the clutter
·         According to estimates, the olive oil market in India is projected to grow at 50 per cent in 2013-14 and reach around 4752 MT this year.
·         Leonardo at 35 per cent market share is the category leader in the olive oil market followed by Figaro at 23 per cent, Borges at 14 per cent, and Bertolli at three per cent.
·         Proliferation of small international olive oil brands which together occupy a significant 25 per cent market share.
·         This cluster of smaller players, whose products have similar price, packaging and labels, pose a formidable challenge to Leonardo.

Marketing strategy
·         Leonardo’s marketing campaigns over the years have been skewed towards BTL.
·          No ATL presence till 2009, when the brand started advertising in magazines.
·         Leonardo underwent a makeover in 2011, which encompassed fresh packaging and a new communication approach.
·         ‘Go Indiano Campaign’ (created by Euro RSCG), national print campaign. This campaign will continue till August 2013.
·          Television is the next step for us
·         Broadly, print is the core marketing channel used by the brand and occupies 50 per cent of the media mix.
·          Of the total marketing spend of Rs. 6 crore for FY 11-12 roughly Rs. 20 lakh was spent on digital marketing.
·         Follows an umbrella marketing approach for all the sub-brands under Leonardo-olive oil, olives, pastas and the recently launched range of pickles.
·         The company has aggressive investment plans and plans to spend Rs. 60 crore on marketing over the next five years. For 2013-14, Rs. 12 crore is the estimated marketing budget for Leonardo.

Distribution: Eyeing Traditional Retail

·         Present in around 230 towns across the country and has a network of 285 distributors.
·         North leads the pack with a 40 per cent share followed by South, West and East.
·         Lot of demand for olive oil in Tier II & III cities, with Indore, Kanpur, Vizag, and Coimbatore being a few prominent ones.
·         The company is also nursing plans of exporting Leonardo Olive Oil to the SAARC countries this year.

Product Portfolio Expansion

·         Leonardo is growing at 100 per cent and has a share of 35 per cent in the olive oil market.
·         The brand is also launching new products under Leonardo, to maintain the same statistics in 2013.
·         In mid-2012, it launched Olive oil pickles at a price of Rs. 170. Next in line for the brand is the area of fried Indian snacks cooked in olive oil.




While shopping, does the catechism of how useful is the product, how it looks or how does one feel about the product, lead the consumer to buy the product? In the age of impulse driven purchase, are emotions in packaging the key to branding?  For example, does the chocolate of a Cadbury Celebrations’ pack make an impact or the wrapper that has got a personal message written inside that goes in to the waste-paper-basket? How important are emotions in packaging and what are the challenges? Pitch finds out.

 “We have been believing in emotions in packaging since a long time,” says Shekhar Badve, Founder Director, Strategy and Marketing, Lokusdesign. The company has been into packaging design since 10 years and claims to have worked closely with 80 prestigious clients, which includes a range of blue chip brands such as Hindustan Unilever, ITC, BP, Smirnoff, Sharp, Godrej, Havells, Cadbury, Mahindra and Mahindra, Videocon, Larsen and Toubro, Dabur, Ranbaxy, Park Avenue, Bajaj Finserve, Honeywell and Suzlon.
Badve says that unless and until one really works on the synergy of the people and the brand, one cannot move forward. “More than 90 per cent people are inertial decision makers. After all is said and done and the functionality is taken care of, people make emotional choices. In such a scenario, there is a lot of emotion involved in decision making, which is growing consciously and sub-consciously,” he adds.
Badve claims that there are stages involved when a customer goes for a product, first they would want to get attracted, then they enrol for a product and know about it, they look at the packaging and understand it and then go ahead and buy it. “There is a need of understanding what the consumer is going through while making a purchase and in lieu of that one needs to bring in the factor of emotion,” he opines.
But since the consumer sector is vast in the country and there are all types of consumers, which are hard to categorized, there are challenges in the market. One, understanding the customer and involving the customer. Second, understanding the brand and then connecting to the brand. Third, making this all tangible and something that is appeal based.
Another report by PIAI claims that Indian packaging industry is currently valued at US $13 billion and ranks 11th in the world.
Harish Bijoor, Brand Strategist and CEO, Harish Bijoor Consults, agrees with Badve on the fact that emotions are very important in packaging. His reason being, that consumers are getting very tactile and the reality is that one is very touch and feel oriented. “The packaging must be able to evoke the emotion to touch and feel, so therefore, the packaging must follow emotions very strongly,” he adds
But when we talk about packaging, is it the logo of the brand that moves us or the kind of emotion that the packaging invokes? In the end, there is a tiff between brand equity and packaging.  Badve says that he does not differentiate the two factors. Brand equity goes hand in hand with packaging. “Similarly, an ad jingle or a logo or a personality, all add to the brand. For example, Amitabh Bachchan is equal to Cadbury and vice versa, that is what the country thinks. It all depends on the categories that add to the brand and increase the equity,” he adds
While Bijoor says “Today, a brand does not play a major role as it did earlier, as much as packaging, if we compare branding and packaging.  But as a success, packaging is very important that can influence and attract the consumer to make the buy.”



Nokia, which launched its Lumia 920 series a few days ago, is looking to differentiate it from the current stream of smartphones in the market on the basis of three pillars – imaging and video, on the go entertainment, and location.
The phone comes equipped with some unique innovations on all these three aspects. It includes the latest advances in Nokia PureView imaging, has optical image stabilisation to shoot pictures and videos in low light conditions. The phone also claims to be the first integrated wireless charging smartphone and has introduced accessories like a recharge pillow by Fatboy, a wireless charging plate and a wireless charging stand, among other wireless charging accessories.
Experiential marketing at the retail outlets will be one of the core marketing channels that Nokia will be using to draw consumers to the new offerings, according to Vipul Mehrotra, Director and Head – Smartphone Devices, Nokia India. For instance, the brand is training its employees at retail stores to download the app list for potential buyers.
Nokia will also be aggressively using the digital media, along with the classical communication tools. It recently launched a digital campaign called ‘Your wish is my App’ which asked consumers what kind of apps they would like to see on their Lumia phones. The campaign will culminate into a reality show where tech experts would choose the best ideas and those will be converted into apps.
Lumia 820 and 920 have been launched in the cities of Delhi, Mumbai, Chennai, Bangalore and Hyderabad. Nokia has also announced its partnership with mobile operator s- Vodafone and Airtel for Lumia 820 and 920 respectively.

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