Tuesday, August 13, 2013

Mobile - the new kid on the block is taking over the media megaliths!!

Of Course! TV and Print have a long life ahead. but, Mobile as a media is rapidly making a place for itself.
 
One could have an unending debate on the above statement, as opinion today is very divided on the issue. Print in India has been around for over a century and is still growing. The advent of TV about 30 years ago started a debate on similar lines but even today both coexist and both are still growing. When Internet began its journey, again the market was abuzz with its omnipotent nature and how it would end the dominance of TV and Print. Its been about 20 years since but the balance of power has still not changed. Mobiles too, set foot in India about a decade ago and while their numbers have surpassed every other media, their role as a media has been marginal.
 
Yes, the above is true if one looks at the matter at a macro level ie at the All India level. However, if one were to look at specifc markets and segments the story is very different.  
 
Affluent Youth in Metros are a very attractive segment for media and marketers. This is a very small segment which constitutes not more than 5% of the population but is a very significant segment since consumers in this segment are very high on consumption of paid products and services, have voracious media consumption and are early adopters, influencers and change agents in society. This is an aspirational segment and a vast majority in India looks up to emulate their lifestyle. Their current media behaviour is a very good view of what the vast majority would be like in the near future.
 
Without delving too much into the numbers, lets just paint a picture of their relationship with various  media. A Smartphone or a Tablet is the primary media device in their life. They are connected 24x7 to the internet through this universal media device (UMD).
 
Yes, they read newspapers but, not the print editions. They access their favourite news brands either through their websites or news-apps installed on their smartphones. Of course! this is only when they have not already been updated through their social networks. They have special apps dedicated to each of their key interests that mash information from multiple sources and provide it in an easy snacking format that this segment is preferential to. Holding a newspaper every morning to start their day is really not a behaviour that they are habituated to and getting to read a paper edition is just incidental and not at all necessary.
 
Televsion still forms a significant part of their daily life. but, they are not unaccostomed to reaching out on their phone for their favourite content via youtube and various other mobile tv applications that are getting created everyday. Regulation of TV content and the limiting quality of display on a mobile (small size) are a barrier to them taking on to TV in a big way. However, it is just a matter of time before most of their TV viewing too shall be through their smartphones which are fast evolving into high quality multi-media devices.
 
Movies, music, socializing, information gathering, window shopping, actual shopping.. all are done via their smartphones. They value the content of the media houses across Radio, Cinema, TV & Print but interact with all the content only through their mobile phone or tablet.
 
Media companies have also seen all this but are at different stages of acceptance of this imminent reality. Their responses vary from a state of absolute denial to some who are very rapidly evolving their content and formats to suit mobile consumption.
 
Of course! the traditiional TV and Print are still the  mainstay for them from todays revenue perspective but, the situation will be very different in the near future. Mobile phones will constitue a dominant portion of their content consumption. Media brands that do not evolve will be relegated to the stone age.
 
Amongst all cell phone owners in India, smartphone ownership is less than 5% today. Imagine the situation when this ownership moves to double digit figures...
 
Mobile, is the most recent media. It is the new kid on the block. But, it is the medium which is growing at the fastest rate. And, with its growth it is phasing out other physical formats of media driving a convergence of all other media into its small screen.
 
If this scenario is too optimmistic for mobiles, let us look at a diametrically opposite segment such as the rural consumers.
 
Rural India still has a large population which is described as 'media dark' as they have extrmely low access to mass media. However, mobiles are reaching them at a faster rate everyday. In the absence of other media and various other infrastructure, this mobile is taking on a very central role in their lives. It is fast becoming their only mode of communication, information gathering and transacting. It is not long before cell phones in rural India too become their primary media devices.
 
No matter which way you take a peek at the future, the mobile is taking centrestage. Acceptance of the change is the first step for survival in the future. Media Houses, need to prepare for this future. Advertising and Communication have to upgrade their tools, techniques and philosophy to address a mobile-empowered consumer.
 
For the non-believers, I want to share this video which I saw in 2006. To many, at that time, it seemed a fantasy that would never become reality. See the video now and ponder on how much of that has already come true in the past 7 years.
 
 
The evolution and the impact of mobile on our lives and on the media business is going to be even more rapid and even more intense.
 
Yes, the mobile is taking over the media monoliths.

Saturday, August 10, 2013

Client Delight to Consumer Delight

The purpose of a brand is to add value to the life of a consumer. Anything and everything that a brand does should work towards this purpose. And, in return for this value addition to one’s life in a manner better than what other brands do; consumers patronize the brand resulting in increased market share and hence higher value for the stakeholders in the brand/ company.



But then, this is the ideal cycle of value exchange between the consumers and the stakeholders. The connection between these two ends – consumer on one end and stakeholder on the other, is not direct and simplistic. The various players between these two have their own agenda, priorities and compulsions which often vitiate this value exchange.

Nor is the consumer very discerning in the short term to really choose the brand that is the best in value addition. Most of the times, there is not much differentiation in the brand alternatives and hence the choice between brands is based on some very superficial parameters. In such a scenario, either the brand custodians work on re-engineering the brand to build better value than competitors or at least in the short term resort to tactics to enhance their brand choice over the others. It is these latter methods that brands use which often become insensitive to the brand code of “adding value” and drive brand preference even at the risk of irritating, annoying or alienating the consumers. The tragedy is that many a times, in the short term these tactics at the aggregate level do result in value addition for the stakeholders thus encouraging this behavior more and more.

Here, in this note we shall have a closer look at the manifestation of these short term tactics in the realm of advertising and communication.

In the Indian context, the structure of trade favours brands that are "more visible" than their competitors. To a large extent, the consumers also attribute a higher value to brands that are more conspicuous in their advertising. Advertising on certain media or properties does undeniably add more credibility to brands otherwise lesser known. In short, driving brand awareness in itself at times is enough to drive brand preference.

There is no harm in a brand trying to drive awareness; it is the manner of doing so which needs to be reviewed.

Not many of us have been spared of the discomfort caused by brand advertising across media. A newspaper ‘Jacket’ which is a delight for the Clients is the most irritating thing that a reader encounters early in the morning. The ‘half-jacket’ is even more irritating. Yes, these “innovations” are impossible to miss but are also often just taken off and kept away from the main newspaper. The increasing clutter in newspapers has often made us flip pages just because there are too many advertisements on the page. Of course! It is now customary behavior to shake off and drop out all loose inserts from newspapers and magazines before one settles down to read. The ‘text-pushers’, the ‘island ads’, the ‘full page ads’ are all very noticeable but all cause a disruption, an interruption and irritation for the consumer. Could each of these brand interventions have in some way added delight for the consumer instead of irritation?

The situation is not very different in other media. Flipping channels on TV to avoid advertisements is our natural response and a way of saying that “I don’t appreciate your interruption of my television viewing”. Don’t we all hate the ‘aston bands’ and ‘advertising tickers’ or ‘screen pop-ups’ that intrude while we are in the midst of watching our favourite programs?  Verbose and irritating RJs on Radio, the extremely annoying intrusions on websites, the hordes of marketing mailers, EDMs, SMSes, etc are all examples of daily brand intrusions that consumers hate but are a delight for the brand custodians at the Client side.

The sad part is that we, at the communication agencies are party to this state of affairs. During, our studies we are taught of the principle of a ‘Marketing Organization’ and imbibe the merits of ‘Consumer-Delight’ but, in practice succumb to ‘Client-Delight’ instead. Of Course! The Agency and Client, all have valid justifications and compulsions that lead them to the said behavior but, the consumer does not need excuses.. the consumer just wants value addition to his/ her life.

It is critical that Agencies focus on Consumer Delight and develop tools and techniques now to convince Clients of the merit of communication solutions that work towards the brand purpose in a manner that delights the consumer. It is important that all our brand initiatives deliver Brand-Good instead of just focusing on Brand-Speak.

Brand Experience encapsulates each and every facet of the interactions that a brand creates with its consumers. Product consumption is only one of these interactions. The interactions that brands create in media are critical parts of the brand experience and in some categories even more important than the final consumption. If we accept this role that media plays in building brand experiences, only then we will start looking at ‘media as an ingredient’ and not an  add-on used just for short-term promotion of the brand.

It is also critical for us to understand that awareness has a high decay if it is built using just superficial brand exposure but remains un-eroded if it is inculcated by building memorable and pleasant experiences for the consumers. Hence, marketers need to focus on Brand Engagements and achieve a healthy balance between plain brand exposure and value adding brand experiences. 

The onus is on all Brand Custodians to shift the focus from “Client Delight” to “Consumer Delight” and the results will show growth for the brands that do this consistently.

Friday, August 02, 2013

Sponsorships should deliver much more than brand exposure.

Sponsorships have a very respected place amongst the various advertising formats available to brands across media. As a tool, Sponsorships are excellent but ultimaltely it is the manner of application that determines its success. Many brands have used sponsorships very effectively to strengthen their relationship with consumers. However, not all instances of sponosrships that we see around us are as effective. Let us delve a little deeper into what one should expect from a sponsorship. But, first we must understand the state of regular advertising today.

 
The most common format is what we all know as an 'advertisement'. This is the spot in a commercial break either in Television, Cinema, Radio or a ad-space in Newspapers, Magazines, Website, etc. These ads are a very rude interjection by a brand into the media consumption experience of the consumer. However, as these are a means of funding for the content - the consumers express their gratitude to them by way of their attention.
 
These ads are content-agnostic. At its best, this advertising format only delivers the encoded brand message independent of the message or leave-behind of the content that they are riding. As long as the content does not grossly violate any serious brand directive and is acceptable to their consumer segments - ads can be placed along with such content. Brands use the content either to reach specific target groups or as as a context and brands that are related to this context are expected to have a better return on their investments than those that are not related to the content in any way.
 
This advertising format is over-used, abused and as a virus has started eating into content itself. Often TV programs loose their viewers during the commercial breaks; Newspaper pages with a high clutter are often skipped. Of Course! only those ads which are very high in either their information quotient or entertainment quotient get some attention while the others are punished with Ad-Avoidance. Getting noticed in such clutter is quite a challenge for brands today.
 
In this scenario, generally speaking - Sponsorships are used more as a means of standing-out in this extreme advertising clutter. Using such a wonderful tool as a sponsorship only to be "seen" is gross under-utilization of its capabilities. Given the premium at which sponsorships are available these days, one must really think hard before taking on sponsorships only for driving premium exposure.
 
Brands serve a purpose in the life of their target consumers and add value to their experiences. We often term this as the brand-benefit. The sponsorship too, must add value to the experince of the consumer and this "value" ideally should be in tandem with the benefit that the consumer expects from the brand itsef.
 
A sponsorhip as a visible entity is only a "brand logo" and hence does not have a tangible brand message attached to it. The brand message is a take-out by the consumer of the experience that the consumer gets interacting with the property. The message that a Sponsorships expresses is a function of the choice of the property being sponsored and the manner of association of the brand with the sponsored property.
 
One should consider multiple factors in deciding on a sponsorship but, the strength of association of the brand with the property is the most critical to ensure success. At the minimum, the brand provides the funding for the property and gets a sponsorship tag or logo presence. The extent of branding depends on the amount of funding. Whether a brand is a title sponsor, associate sponsor it really does not matter to the consumer. Whether the program is :"brought to you by" or "powered by" really does not interest the consumer. These are only jargons that allow media sellers to excite brand managers and enhance their own revenue. What matters is if the brand is just present as a logo or is the brand involved in delivering the experience. The higher the involvment of the brand in delivering this experience, the stronger the association and hence better the chances of the sponosrship being a valuable asset for the brand.
 
What should be this experience that the sponsorship delivers to the consumer is a million dollar question. I have seen many sponsorship executions where the connection between the experience delivered and the desired brand objective is so remote and convoluted that only the brand manager understands the connection while the execution does not deliver any brand-benefit to the consumer. The brand custodians involved in the decision need to clearly understand the communicatoin task for the brand and hence select, design and execute the property to then deliver the desired experience which can easily be associated by the consumer  - with the brand.
 
Do not use sponsorship only for brand exposure. If you only need brand exposure - regular advertising with a well crafted message and a well-designed media plan is the optimal way forward. But, if you want to go beyond brand-exposure and brand-talk and let the consumer himself taste the brand benefit in some form, then Sponsorships is the way ahead. Self-realization of the brand benefit by the consumer is far more powerful than a score of ads trying to tell him what the brand stands for.
 
Sponsorships must provide a tangible value to the desired consumer segment so that the brand gains their solidarity in return.