Vkreate-Group B5- Source -T.V Shows

 

Headline: BRAND EQUITY: Is brand Sachin still a Winner? Jan 27, 2013

• Year 2012 ended with a sad note when the legendary Sachin Tendulkar said goodbye to ODI.
• Now this arised many a conversations among marketers and advertisers around-the-world
• Currently Sachin has 16 brands in his kitty each at a rate of 4-6Crore Rs.
• “The number of endorsing will significantly decrease from 15-20 brands to may be 5-6 brands, but the brand value wont decrease” Indranil Das Blah,COO  Kwon Entertainment .
• Rajiv Mehta, MD Puma India, said ” As the younger generation is coming in and taking over the space that these guys (Sachin, Kapil Dev,Gavskar) are occupying, I think Tendulkar definitely by 2016-17 will definitely will have a very few brands.Probably 1/3rs or 1/4^th of what he has current.”
• As per the industry the endorsement rate post retirement will hit by 50% at the number of Ads may reduce to 4-5 Ads
• There are high chance of re-negotiation as the brands like Adidas will have direct impact as Sachin will no longer be visible on the field , and hence the price may drop by 40-50%, says Mehta.

Headline: Reebok moves on and wires up a new retail and advertising plan, Feb 2, 2013

·      Last year Reeboks allegation was that its India MD and COO made an 870 crore scam which made headline news, still investigation is on in Gurgaon.

·      The sports good maker is the 4^th largest in the world is now set for a new innings in India by restructuring its business, new marketing plan etc.

·      MD Shubinder Singh and COO Vishnu Bhagat are alleged to keep warehouses, inflated sales and laundered money worth 870 crores. After a period of 8 months the company is looking for a fresh start.

·      Reebok Sales Performance:

Net Sales Comparison (Emn)

	Q1	Q2	Q3
2011	477	427	564
2012	451	336	463
% change	-7.2%	-26.2%	-25.3%

The Adidas owned brand said that Reeboks brand equity is still strong in India.

·         CMO Matt O’Toote says this has provided an opportunity to restructure their business and setup a business model for their partners. When asked about the impact of the brand on consumers he says that most of the consumers aren’t aware of the scam and those who are aware see it as a business issue and hasn’t impacted the feelings of the consumers.

·         Revamped Franchisee Model : EARLIER

Nearly 300 – 400 franchises with 800 stores.

Franchises operated on Minimum Guarantee Model (Paid 18% margin on sales and rent and operation cost)

NEW

Around 200 franchises with 500 stores

Franchises operate on Cash and Carry Model (Paid 35% margin on sales, no rent and operation cost)

·      New  Management: Erick Haskell appointed MD, India Reebok (was COO Reebok China)

1.      Currently brand building activities are at a standstill.

2.      Resources like warehouses, IT and administration are shared with Adidas to increase efficiency and reduce cost.

3.      Get marketing boost with new merchandise.

4.      Launch new retail format “Fit Hub” which is in line with its global positioning of fitness instead of performance sport like Nike.

MESSAGE BOARD, Feb 2, 2013

1.      RIM Rebrands as Blackberry: The struggling smart phone maker now calls itself Blackberry has launched the Blackberry 10 smart phone. The company thinks the latest model will help it get a grip in smart phone market. It has gone down from 20% global market share to just 3.4% in the last 3 years. Blackberry now believes “from mobile communications to mobile computing”.

2.      Brand Trust Report 2013

Rank	Brand	Lead Over next brand
1	Nokia	44%
2	Samsung	58%
3	Sony	6%