1) Because it’s much bigger than what you believe
For all who believe in funny things like ‘Digital media cannot provide reach’: there are more than 200 million people in India on Internet already (243 million- projected by June 2014). For a matter of fact, there are 40 million people on Facebook alone who’re above the age of 25. Times of India, your favorite English print ad destination, in-contrast has an all India readership(yes that fuzzy metric) of just about 7 million
AND BY 2018 INDIA WILL HAVE 526 MILLION INTERNET USERS (Says Cisco in its VNI Index Global IP Traffic Forecast and Service Adoption, 2013-2018)
2) Because there’s too much wastage happening now
Say, if your target group is young women from Delhi, there’s practically no way to buy advertising in Delhi alone. OOH isn’t there and even the most targeted GEC TV buying would buy you regions much beyond Delhi, including other parts of North India. Digital can help you buy advertising across videos, general websites, social media, mobile, apps etc. that are only accessed by young women, from Delhi and in the age-group that matters to you. Plus the various other possibilities of targeting,tracking %ge view of content, analytics, measuring overall sentiments, what’s working and what’s not so on and so forth.
3) Because you are leaving the last drop of value. And cumulatively all the last drops lost, do mean a lot
It’s impossible to differentiate long-term from competitors with products alone. And to pull ahead of the pack, it’s imperative that a business pulls every last drop from business processes*. (Read Davenport on ‘competing on analytics’) Now this demands a greater awareness of the power of digital media to collect and comprehend data. From examples of Barclays. Amex etc. on using data to foster customer loyalty, to Marriott using data to make smarter pricing decision, the business-case is big enough to make data & digital a core part of your overarching competitive strategy.
4) Because there’s that thing called ‘content’ and it’s not the same thing as your TV ad
I shall let some examples do the talking here. True it demands an eclectic mixture of out-of-the box thinking, creativity and customer understanding and is not the same as writing out a brief and choosing the script that few of your close friends like the most … but when you choose to walk the more data-driven and creative digital marketing path, the results may be overwhelming
Check how a big Brand (Dove) approached creation of web-content:
https://www.youtube.com/watch?v=iYhCn0jf46U
And here’s an example of a non-brand, but essentially proves what even a minimalistic production can achieve (if the consumer insight-ing is correct) given the power of digital medium:
https://www.youtube.com/watch?v=vr3x_RRJdd4
And this one (see the astonishing number of views), for people who only thought that they needed to buy ad space in cartoon channels to influence children:
https://www.youtube.com/watch?v=7nKBKPcycFE&list=PL86DFB681262D75CA
(Ok, these are examples of video content only … but I am happy to discuss with you the plenty examples using other formats of content)
5) Because there’re un-missable greenfield opportunities you are missing
If one big ‘C’ when it comes to Digital is content. The other, is the power of communities. It’s no rocket science really to understand the huge benefits of engaging a mighty bunch of your audience around a core interest under your Brand umbrella. And digital provides smart opportunities to you to create the platform, to market it, to get conversations going, incentivize super-fans and sustain the platform. If this still sounds Hebrew (or HTML), check the link below to see how some Brands have spotted the opportunity and reaping benefits already
http://www.cmo.com/articles/2014/4/23/_5_companies_cultiva.html
6) Because Digital is not ‘just urban’ as you thought it would be
As June 2014 projections, about 30% i.e. more than 80 million+ of Indian Internet users will come from rural India. India had more than 350 million mobile phones in rural India as of 2013 end. These are very powerful numbers and not smelling a prospect here may be a classic business hara-kiri … especially so because it is now, that possibly more than ever before, Indian businesses are looking at rural markets to fuel revenue growths and profitability
7) Because Digital is not ‘just male’ as you thought it would be
Google reported the number of Indian women on Internet back in 2013 to be about 60 million (this was when the total number of users in India was pegged to be at 150 million). 60 million,by the way, is about 9* times the peak viewership (unique) of a TV blockbuster like Mahabharata or about 8* times the peak viewership (unique) of ‘comedy nights with kapil’( as reported by TAM in 2013)- to do a bit of context-setting.
The report also noted that women who are online are relatively more affluent and younger with 75% being in the 15-34 age-group.Also In terms of top searched categories by women on Google in India, apparel and accessories were the biggest followed by food and drink, baby care, haircare and skincare.
Here are the top-searched Brands by Indian women by category:
8) Because people are searching for you, reading about competitors and it’s time you really cared …
The latest Nielsen report on ‘understanding the FMCG shopper in India’ clearly states that 1 out of every 3 modern trade buyer goes online to get information before making a purchase. And that’s still FMCG where it’s possibly more difficult than any other sector to calculate precise ROI on multi-channel advertising. The key thing to remember is that, beyond selling online and hence being able to put digital spends to some kind of a context , it’s important to realize that across buying categories, online influence is already too big a phenomenon to ignore. In fact a BCG report estimates the size of ‘Digitally influenced” purchases at about $30 billion in India in 2013 and that’s expected to surge 5X and be about $150 billion by 2016
9) Because it’s ‘strategy’. Really
If business strategy essentially hinges on understanding who to target (and who not to), understanding the products/ services to offer and how to undertake related services differently … sound understanding & implementation of digital media tools and opportunities can help a business create ‘differentiators’ across the value-chain. Even in the shorter term, true adoption of digital may get down your overall advertising cost with the same amount of reach & results, replace some bit of your costly market research with more scale & savings … and even help you save money & increase efficiencies in seemingly non-obvious areas like sourcing talent for your business etc.
Now that calls for creating a solid digital-thinking culture, hiring top-notch digital folks and immerse them completely in the Brands’ and business roadmap.Anything short and you are missing out a goldmine ( or more) of opportunities.
10) And finally, it’s adopt or perish now. Hmm … now that’s a real warning
Now I don’t want to bore you with the management type case-studies of ‘businesses failing to cope up with changing times and perishing’ here. But scary things do happen & there are examples enough …from Kodak to Nokia where big businesses really found themselves in hot waters having just-not-been-up-to-it when it comes to deciphering changing customers, environment and technologies.
Understand that social listening, analytics, mobile, search management, re-targeting, digital experiments etc. are just not buzzwords anymore and needs your focused time, attention and learning. Digital is alive and buzzing & before the elephant in the room turns out be a 2000 pound monster, spend quality time understanding him and invest in a real long-term relationship. And, when a 2000 pound monster is your best-friend, that’s quite a bit of strength on your side indeed
A recent study by Nielsen says that there are 10 million households in urban India alone that earn in the range of a humble Rs. 75,000 annually. Interestingly however, this segment’s household consumption sums up to a $2.4B USD FMCG market already. More remarkable is the fact that >50% of these households have already shifted to Branded products. Self-doubting of their livelihoods and continuously seeking a feeling of advancement, it is the introduction of Brands in their day to day lives that provide them a certain sense of attainment. With a rise of income levels, Nielsen further estimates that in the coming three years the consumption of this segment will go up by 50% to what will comprise a $3.6B USD consumptions’ market. Yes, that’s a billion dollar of domestic market freeing up seeking disruptive Brands to gain disproportionate market shares. A progress in the value chain also means that it will now accommodate products ( or services for that matter) that are beyond the basics & will also introduce ‘Brands’ in other needs’ area of life – financial products, access to Branded healthcare, education so on and so forth. However, this segment is one that’s extremely value seeking and the disruption will come from achieving a premium in volumes (from innovation in pricing/ distribution/ product design etc.) & not from demanding a premium in price. And here’s where the precise challenge for the marketer lies. Now that the segment is amply clarified, can you design/redesign your offerings & offer a range that truly connects with this market? Can you make your product discovery such easy and weave a story such compelling that it resonates with this market?
Can your Brand be the ‘someone’ whose innovation-quotient matches the aspiration-quotient of this entire 10 million and in the process create a society that’s a little more equitable & little more inclusive? Someone had coined – ‘Conscious capitalism’, once long back.
A billion dollars’ market is unfolding & waiting for its sovereigns to arrive. Takers? Anyone?
(image: courtesy google)
As Aswath Damodaran, notable professor of finance at New York University’s Stern School of Business puts it – “A Brand Is the Most Sustainable Competitive Advantage”.
Now what contribute to Brand strength are both internal and external factors. Here’s quickly; listing down all the external components that will make your Brand truly remarkable (with aid of the proprietary InterBrand methodology).
Copy these, think, fill-up at your leisure, and think again. How does your Brand fare w.r.t each of these? Go explore your own Brand truth
Here are 5 simple questions for you:
1) How ‘authentic’ is your Brand? How closely are your product/service design and delivery capacity tuned to what you promise to your customers?Ok, let’s make it infinitely simpler – Do you have the ability to deliver what you promise? Or go beyond that … ‘delight’ the customer. Think of all that you promise in your sales pitches, or write on your packaging or websites. Now think of your company back home, your people, processes etc. Any gaps that surface? Lotsa empty space here and just for you to write & think … get started
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2) How ‘relevant’ is your Brand? Do you know how your customer’s needs have evolved over time? Do you even fit what he yearns for? How close are you to meeting his decision criteria? Thought of these? Or haven’t? Go on, here …
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3) How ‘differentiated’ are you with respect to competition? We don’t buy a softdrink, we buy a Coke right? We don’t go to a pizza joint …but go to a Pizza Hut. From the coffee we drink to earphones we use, the phone we buy to the supermarket we go buy our groceries from, we are not choosing products/services, we are choosing Brands. Talk to people who have bought from you, ask them what compelled the buying. Often your customers are your best reservoirs of knowledge. Listen to them. Are you a ‘Brand’? Or just another product/ service provider? Rewind to where this article started from. A Brand Is the Most Sustainable Competitive Advantage.
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4) How ‘consistent’ is your messaging. Very often Brands communicate differently on ATL /mainline media from what they do online, on Social Media etc. As juvenile as it may get, you will astonished if you looks around- some very big organizations with fat marketing budgets lose ROI because of this infantile error. Of lets simplify … at any given point of time every customer touch point of yours should talk the same language. Coming to think of it thus the idea extends much beyond advertising & encompasses things like internal branding, retail experiences, packaging, your call center & infinite things more. Although we talk about integrated marketing communications (IMC) later, do spend some time pondering. This is one crucial area where brands like Vodafone, Pepsi etc. have got it right more often than not. Here’s your blank slate …think.
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5) How ‘omnipresent’ are you? Do you have a meaningful share of voice across media … positive word of mouth, social Media etc. How aligned is PR to your overall Marketing big picture How much have you managed to occupy conversations of your target segment(s). How much of their part of life are you? Think of Brands like Apple, Facebook, Twitter … closer home the Godrej and the Tata s. Some sense now of what I am talking right? This is one area of your Brand success that will possibly surpass all other. I hope this makes you think. And I am sure with the right thinking, your Brand will soar higher & better, than ever before.
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Here are 5 notable Indian Internet statistics – from the latest com Score India Digital Report:
1) Google and Facebook still rule the roost by a great margin. Although the aggregate number of visits across all google sites is higher than that of Facebook (remember Facebook is a ‘single’ site unlike the suite that Google has), average time spent by a visitor is considerably higher on Facebook still. Other worthy aggregators that you can’t ignore in your media plan are the Time’s group of sites, Yahoo off course and Network 18
2) Contrary to what many of us would want to believe, Twitter has actually de-grown in the last year while some specialist Social Networking sites like Pinterest ( image led content) & Tumblr ( Blogs etc.) are growing fast ( on much smaller bases off course)
3) Online retail market is highly underpenetrated in India (both in terms of reach and avg. time spent) compared to other big countries. This area will see huge growth with higher internet penetration, maturity of online payment systems, faster connections + cheaper devices & more innovative business models in this space
4) As Internet in India becomes more ‘main stream’, even the so-called non-obvious online categories are also seeing significant traction. See here for instance how categories like food, jewelry and even health care are joining the party
5) This article cannot end without stressing enough as to how online video and specifically Youtube as a video-destination site are getting bigger by the day. 54 million + Indians claim to have watched an online video in their PC out of which 31 million+ have watched videos on Youtube alone
Some pattern to the madness that your ‘Digital Media Planning’ is? (To be continued …)
The last decade or so in content consumption & marketing has been nothing like anything seen before. For starters, gulp the fact that the no of annual searches in Google has gone up to more than an estimated 2000 billion from what it used to be about 22 billion in the year of 2000. Oops that’s a mammoth number of your folks (read: customers or prospects) now trotting online. Read this in conjunction with some Desi stats: 60 million+ Indians on Facebook, 14 million + on Twitter, smartphones selling like hot samosas … so on and so forth.
Not that Brands haven’t responded. For instance, the online advertising market in India, which has grown at 30+% y-on- y for the last 2 years, is projected to reach 3000 crores by March 2014 (by the way, that’s still lesser than 1/12th of what’s spent on Print & Television combined ).
However the least understood thing about New media Marketing remains the fact that to be able to realize the full potential and demonstrate results to C-suite execs … Senior Marketeers have to back an alternate strategy. One that’s driven by creativity and content-thinking in the core. And an alternate culture that puts young Marketing guys at the forefront- people with a sound understanding of the Digital media, knowledge of Marketing fundamentals & a sense of healthy disrespect for the status quo that inspires agility and fresh thinking.
Check these screenshots for instance (from Google Trends*) – how more and more people are searching things on ‘Arts &entertainment’ and how searches on ‘Books and literature’ have steadily weakened. Come to think of it, as a content producer, it’s a great insight as to how a simple change of format makes a huge amount of difference in people either consuming the content or rejecting it altogether.
Can you re-think creating Marketing & think like a publisher? Can your boring Sales pitches be films & works of art instead?
This needs a deep sense of attunement to how fast the world is changing & how that all pervasive break neck speed calls for an evolution of thought in the worlds of Business, Brands and Marketing. Yes, it’s time you change. And the structure of your team & thinking changes too.
* Treat the Google Trends’ data as suggestive only – to get a general sense of the big shift & not as an absolute measure of data)
(An entirely non-domain & non-technical piece. Finally… )
When we sit down and introspect in the little pauses of our daily rat-races, most of us often miss the ‘big thing’ that could have happened to our lives. And the regret often stems not from having tried & failed, but not for have shaken ourselves enough to go out there and given that ‘big idea’ (Or the ‘Big Dream’, if I may put it that way) of ours a good enough try.
Now, we do stop ourselves at times for reasons that’ re environmental ( read : need to financially support our family, paying back a fat educational loan so on and so forth). However something that holds most people back than possibly any other cause does is the fear of rejection. So in our mind, we shut doors to the ‘big idea’ the moment the first potential investor says a ‘no’, the first sales call generates a rude response or a certain elder brother at a ‘large MNC’ strategically analyzes the plan to conclude that it misses one of the fundamental (read: defunct) concepts widely taught across B-school campuses in India.
Now I think if you truly have a ‘big idea’, you know the kind of stuff that’ll actually change the world of tomorrow, it’s pretty obvious that the idea will have a certain amount of ‘uniqueness quotient’ that most others around will not be able to understand … leave alone foreseeing the ‘future’ in it. Time and again history shows that successful game-changers are those who have two essential virtues: A heavy-duty belief in the ‘Big Idea’ and the ability to stay-on to your belief even if the first few naysayers you’ve met have calls your plan rubbish or impractical.
Talking of history, think it’s better to do history the talking & here I’ll leave you with a few examples from folks who made- it-happen despite phenomenal amount of initial rejections and criticism
– Walt Disney, the icon who is synonymous with creativity was fired by a newspaper editor who thought “he lacked imagination and had no good ideas.” From there, Mr. Disney went on to launch a series of start-ups, failed, went bankrupt but kept bouncing back till he hit the proverbial pot of glory
– Henry Ford, the mega innovator, actually went broke five times before he went on to form the Ford Motor Company
– Akio Morita, the founder of the Sony company, had in fact launched a rice- cooker as its first product, which failed drastically in the market and actually sold less than 100 units
– Stephen King, the uber- famous writer had his first thriller manuscript rejected 30 times before he went ahead and threw it in a dustbin. He would not have even to tried to pursue it further had it not been for his wife who encouraged him to give it just another try …
Am sure there are more of such motivational stuffs all over the internet. However, nothing works if we don’t get resolute enough to believe in ourselves, overcome the fear, anger & gloom and just go ahead with what I think I have an apt term for …
‘DOGGED DETERMINATION’
It’s time you got up. Wake up to ‘yourself’.
I meet these people often, who I call ‘The Old World Marketeers’. These are folks who have befriended ‘Skepticism’ as the dominant tool of defense. As a shield that they think will help them survive this new world where paradigms of Marketing are evolving each second with confluence of concepts like Digital, Social, Mobile, Community & Creativity, Technology, Gamification & Engagement … so on and so forth.
These are people who’ve not really comprehended the changing world beyond ‘Facebook Likes’ & love to take digs with ‘Futility of Facebook fans’ as the focal point in the pointless conversations they try to initiate from time to time.
I want to leave with you three random pieces of Big Statistics (among many that are there). And all that I expect is you spend some time, rationally analyzing where times are really heading.
– The ‘Mobile penetration’ in India is already more than the ‘TV penetration’
– All the ‘noise’ that you hear about New Media, is with a current Internet Penetration that’s just about 10% of the population. With tablets & smart-phones being rolled out under Rs 5000 & with promises of 4G that’ll give you more than 10 times existing speed at lesser than present tariffs … the ‘internet penetration’ in India will grow by leaps & bound in the coming years. The ‘noise’ would soon be the only sound that you hear
– If you go by Apple’s 2012 first quarter Sales numbers … more i-phones were sold every day than babies were born
And here are my 3 ‘Big Predictions’:
– In 5 years, The main deliverable of a Marketeer will ‘officially’ change from doing Brochures & buying Media to ‘Being able to tell a compelling Brand Story’
– In 5-7 years, the new wave of ‘Head of Marketing’s and ‘Business Heads’ across industries will only be the ones who have gone through a fair amount of grind, handling functions across the spectrum of New Media
– By 2020 :
-More than 90% of a small advertiser’s Marketing Budget will be on ‘New Media’
– The large advertisers will spend at least 75% of their Marketing budgets on ‘New Media’
I say, there’s still time to catch up. However the day when it’ll be too late, that’s not too far either
Subhadeep Bhattacharyya 