Durables cos join the country club
You have heard about the call of the hinterland for consumer goods companies. Marketers have been rushing to rural India looking for growth as big cities are heading towards saturation. Now, a new trend is emerging where some brands in consumer electronics and mobile handsets, which are essentially late entrants or are being relaunched in India, are making small towns their first port of call.

You have heard about the call of the hinterland for consumer goods companies. Marketers have been rushing to rural India looking for growth as big cities are heading towards saturation. Now, a new trend is emerging where some brands in consumer electronics and mobile handsets, which are essentially late entrants or are being relaunched in India, are making small towns their first port of call. So brands like Kelvinator, BPL, TCL, Spice, Bird, etc are moving in the other direction. They are starting from the non-metros and then moving on to the more developed sub-markets.
Those who track the consumer goods industry in India say it has a perfect logic. In metros like Delhi, there is a clutter and a new brand has to bring an explosive differentiation to succeed. Secondly, the cost of launch or relaunch is much higher in big cities, which tends to extend the gestation period for returns. Add to it the distribution angle, where large brands dominate the shelf space of dealers in large cities.
According to Kunal Ahooja, CEO of Spice, a BK Modi Group venture targeting the upper end of the entry segment of mobile handsets under the Spice brand, “If we had started with a metro like Delhi, we would have to invest a lot as the city already has many big brands. It is only now that we are entering big cities.”
Added Anil Khera, COO of Sansui and Kelvinator, “At the time of launch, we took a strategic decision that we cannot ignore dealers in smaller towns who contribute 80% of our sales.”Kelvinator, among the most high profile brand relaunches in the Indian market in recent times, re-started from Varanasi and then moved on to Lucknow followed by Ghaziabad and Delhi.
It is following the same strategy in the eastern region by launching the brand in cities like Bhubaneshwar, Ranchi and Patna. In the case of BPL, its internal studies show that the consumer preference for the brand is stronger in non-metros. And even though it is re-launching simultaneously across both the markets, the company's focus in the future would be on non-metros. The basic rationale is to create a business in small towns where marketing costs are low and a new brand can hope to generate sizeable sales, which can also be used as a launching pad for expansion.
Chinese consumer electronics major TCL is also following a similar strategy. According to Chandramani Singh, vice-president (consumer electronics & mobile phones) at TCL India, “The cost of selling is lower in small towns and it is a deliberate move to focus their initially.”
So much so that by mid-'05, 90% of its sales were from small markets. Now it has moved towards a 70:30 ratio but is still in favour of C-class cities.The final report card on these brands are not out yet. But experts point towards the history of a number of brands across sectors including some multinational ones, which have just died down over time. These brands had followed the old strategy of starting with a big bang launch in the four metros.
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E4M Our strategy is to target younger audiences through Sports: Rajiv Dubey, Dabur
The Head of Media at Dabur India spoke exclusively to exchange4media on the World Cup, associating with Indian Idol, the company’s digital spending and much more
With quirky campaigns, memes and moment marketing, timed with the ongoing World Cup and particularly the India-Pakistan matches, Dabur India has got considerable consumer attention for its popular brands – Red Paste, Cool King Hair Oil, Chyawanprash, Dabur Vita and the recently launched Bae Fresh Gel toothpaste.
The 140-year-old company is going big on key sporting events, World Television Premiere (WTP) movies and reality shows. It is now gearing up to become the title sponsor of popular talent show ‘Indian Idol’ on Sony TV for the first time, shared Rajiv Dubey, who leads the media strategy at Dabur.
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Swapan Seth's new book 'COOL' is out
The book is a reflection of the author's 'eclectic taste across categories'
Advertising professional and art collector Swapan Seth has announced the launch of his new book COOL. The book is described as "a ready reckoner to the hip and the happening, of the known and the very unknown."
The book is a reflection of the author's "eclectic taste across categories: from boltholes to exotic hideaways."
COOL has been published by Simon & Schuster India and is available on Amazon.
Seth is an ad veteran with a long and illustrious career in the industry. He became the youngest-ever Creative Director at Clarion at age 24. He was VP at 26 at Trikaya Grey. Two years later, he started his agency Equus.
He writes for publications such as The Economic Times, Hindustan Times and India Today. This is his second book and he has previously published THIS IS ALL I HAVE TO SAY.
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Disney Star signs 9 sponsors for Asia Cup PAK
Charged by Thums Up, Nerolac Paint+, Amazon Pay, Jindal Panther, My11Circle, MRF, Samsung Galaxy Z Flip5, Wild Stone and Thums Up come on board
e4m Staff Disney Star has signed nine broadcast and digital streaming sponsors for the upcoming Asia Cup.
Charged by Thums Up, Nerolac Paint+, Amazon Pay, Jindal Panther, My11Circle, MRF, Samsung Galaxy Z Flip5, Wild Stone and Thums Up have come on board for the upcoming tournament.
As reported earlier by exchange4media, Disney Star has sought Rs 26 crore for the co-presenting sponsorship on TV and Rs 30 crore for Disney+ Hotstar.
According to industry sources, the associate sponsorship on Star Sports has been priced at Rs 19.66 crore, whereas for the ‘powered by’ sponsorship on Disney+ Hotstar, the broadcaster is seeking Rs 18 crore.
As per the information available with exchange4media, Disney+ Hotstar has three sponsorship tiers-- co-presenting (Rs 30 crore), powered by (Rs 18 crore) and associate sponsorship (Rs 12 crore). The broadcaster is offering an estimated reach of 120-140 million for co-presenting sponsors, 90-100 million for powered by and 60-70 million for associate sponsorship.
A spot buy for 10 seconds has been priced at Rs 25 lakh for the India vs Pakistan matches, while for the non-India matches, the ad rate for 10 second is Rs 2.3 lakh. The India matches plus the final for ODIs has been priced at Rs 17 lakh per 10 seconds.
Asia Cup is scheduled to be held from 30 August, 2023, to September 17, 2023.
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Sorted 360 wins creative & social media mandate of Reliance Mall
The agency will manage offline and online campaigns for Reliance Mall
Sorted 360, an integrated creative and social media agency, has won the mandate to providing brand solutions for Reliance Malls across India.
“Sorted 360 is set to enhance Reliance Malls' market presence with their unparalleled creative prowess and strategic thinking,” read a press release.
“Sorted 360's commitment to pushing the boundaries of creative communication aligns perfectly with Reliance Malls' ethos. With a pan-India presence spanning across 19 cities and growing, Reliance Malls has consistently captivated customers by offering an array of Reliance brands and third-party fashion & lifestyle brands. The mall has established an unparalleled connection with its patrons through superior quality, a remarkable value proposition, and an unmatched shopping experience,” it read further.
"We are thrilled to welcome Sorted 360 as our trusted partner in advancing our brand presence across the nation," said the Head of Marketing at Relaice Malls. "Their proven expertise in retail, shopping center management, and innovative creative strategies make them the perfect fit for our vision."
"Partnering with Reliance Malls is a testament to our commitment to shaping extraordinary brand experiences," remarked Prerana Anatharam, Co-founder of Sorted 360. "We are excited to leverage our strategic and creative acumen to further elevate Reliance Malls as the epitome of convenience, choice, and excellence."
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KlugKlug onboards Hemang Mehta as Country Manager for Indias
Mehta was most recently Head of Agency Relationships at Network 18 Media & Investments
KlugKlug has appointed Hemang Mehta as its Country Manager for India.
Mehta will play a pivotal role in driving KlugKlug's growth and expansion within the Indian market and be responsible for Sales & GTM Strategy
Prior to that, he has also represented organisations like Exponential (now VDX.tv), India Today Digital and Rediff.com. His expertise spans various domains including digital media sales, mobile marketing, media planning, and buying, social media marketing, and more.
Hemang Mehta expressed his enthusiasm about joining KlugKlug, saying, "I am thrilled to be a part of KlugKlug, a forward-thinking platform that is reshaping the influencer marketing landscape. As much as I look forward to collaborating with the exuberant team at KlugKlug, I am super excited to interact with the brands to deliver powerful data-backed Influencer solutions that will guarantee business outcomes."
Commenting on the appointment, Kalyan Kumar, Co-Founder and CEO of KlugKlug, stated, "We are excited to welcome Hemang Mehta to our team as the Country Manager for India. His extensive experience in digital media sales and marketing will be instrumental in driving our efforts to provide influencer marketing solutions to our clients. We believe Hemang's leadership will be key in scaling our operations and expanding our reach within the Indian market."
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