markathon-august issue

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Cover Story Indian Hockey In a marketing soup? August 12 Marketing Magazine of IIM Shillong Volume 4 | Issue 2 An Interview with Mr. V. Satyanarayana Reddy Chief Executive Officer of Chennai Division, Apollo Hospitals Enterprise Limited An Interview with Prof. V. Srinivasan Professor of Management Emeritus at Stanford Business School MARKATHON

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This is the August issue of Markathon, the monthly magazine released by the Marketing Club of IIM Shillong

TRANSCRIPT

Page 1: Markathon-August Issue

Cover Story

Indian Hockey

In a marketing soup?

Augu

st 12

Marketing Magazine of IIM Shillong Volume 4 | Issue 2

An Interview with Mr. V. Satyanarayana Reddy

Chief Executive Officer of Chennai Division,

Apollo Hospitals Enterprise Limited

An Interview with Prof. V. Srinivasan

Professor of Management

Emeritus at Stanford Business School

MARKATHON

Page 2: Markathon-August Issue

Dear Readers,

It was loud, it was defiant; above all it was gloriously,

tumultuously, spine-tinglingly British. Ninety minutes of

dazzling theatre, dance, film and music; a mash-up of

cultural history delivered at breakneck speed, Danny

Boyle's opening ceremony which set off the 2012

London Olympics was a profoundly breathtaking

spectacle. The Indian contingent - around 40 athletes

and 11 officials in all - marched into the stadium with

the men in yellow Rajasthani turbans, blue blazers and

white trousers and the women in yellow sarees and

blue blazers. We sure hope India shines this year at the

London Olympics.

With a streak of 6 Olympic gold medals, the Indian

men’s Hockey team remained unbeaten from 1928 to

1956. And with a total of 8 gold, 1 silver and 2 bronze

medals, Indian men's field hockey team is the most

successful field hockey team in Olympic history. Today,

its dismal state in India is as true a fact that it is the

national sport of India. If we take to look at the reason

for this, we can go on to list various pitfalls. We may

even say that Hockey, as a sport, has been unfortunate

because of various organizational and performance

issues. But what if we say that problem lies in marketing

of Indian Hockey? Our cover story this time focuses on

this very issue and tries to address the shortcomings of

Indian hockey, marketing style.

To quote Col. John 'Hannibal' Smith from the ‘A Team’,

“I love it when a plan comes together.” We would like

to believe that Google is celebrating Markathon by

displaying a very aptly themed doodle today, the day

we release our magazine.

For our corporate Vartalaap we have with us Shri. V.

Satyanarayana Reddy, the Chief Executive Officer of

Chennai Division of Apollo Hospitals Enterprise Ltd.

Having joined Apollo in 1989, Shri. Reddy has a rich

experience on over 23 years. He shares with us his

valuable experience and the growth story of Apollo and

the healthcare industry in India.

We have another interesting personality for our

academic Vartalaap, who became famous for using

conjoint anlaysis for predicting job offers which

students at the B-school would take up. Professor V.

Srinivasan, the Adams Distinguished Professor of

Management, Emeritus at the Stanford Business School,

shares with us the finer nuances of conjoint analysis and

market research.

As always, we will try to improvise and ascertain that

together we will learn and together we will grow. Do

send in your feedback/suggestions to

[email protected]

What are you waiting for? Enjoy yet another incredible

journey that we bring to you through this issue.

Happy Reading!

Team Markathon

FROM TEAM MARKATHON

THE MARKATHON TEAM

EDITORS

G S N Aditya

Piyush Agarwal

Mayur Jain

Sowmya R

Swati Nidiganti

Umang Kulshrestha

CREATIVE DESIGNERS

Priya Kumari Agrawal

Rushika Sabnis

Page 3: Markathon-August Issue

markathon | august 2012

3

CONTENTS

FEATURED ARTICLES

PERSPECTIVES

MARKETING TO KIDS PULKIT PANDEY | IIM INDORE

4

A UNIQUE BRANDING EXERCISE – THE KAYA STORY NEHA KANWAL | IIM INDORE

7

SUBCONCIOUS TITILLATION 10 AHANA CHAKRABORTY, RUBAYET CHAKRABORTY | NITIE MUMBAI

VARTALAAP SHRI V. SATYANARAYANA REDDY CHIEF EXECUTIVE OFFICER OF CHENNAI REGION, APOLLO HOSPITALS ENTERPRISE LTD.

13

COVER STORY

INDIAN HOCKEY – IN A MARKETING SOUP SONAM MEWAR, ARPIT TRIPATHI, RAHUL BARWE | IIM S

16

VARTALAAP PROF. V. SRINIVASAN PROFESSOR AT STANFORD BUSINESS SCHOOL

23

WAR ZONE

EYE 2 EYE IS THE SUCCESS OR FAILURE OF MICROSOFT DEPENDENT ONLY ON ITS PRICING? PAYAL PATHAK | XIMB | RAM KRISHNA PANDEY | NIRMA

26

SILENT VOICE NEXUS 7 27

SPECIALS ADDICTED 28 UMANG KULSHRESTHA & G S N ADITYA | IIM S BOOKMARK 29 SOWMYA R | IIM S RADICAL THOUGHTS 30 PIYUSH | IIM S UPDATES MAYUR JAIN | IIM S 32

Page 4: Markathon-August Issue

perspective markathon | may 2011

Marketing to Kids

Pulkit Pandey | iim indore

Gone are the days when parents

used to take their children for

shopping. With changing times,

the trend seems to have been

reversed and this has certainly

not escaped the marketers’

notice. Today the role of children

in purchases is no longer limited to products that

directly influence only them. Children are now directly

or indirectly involved in the purchase of a large number

of products concerning the entire family.

Factors Contributing to the Changing Trends

A number of factors have contributed to the change. An

increase in the overall household family incomes has

been one of the major factors. Couples nowadays

prefer having children only after they have achieved

stability in their careers and are financially well-off. The

emergence of nuclear families has also played a major

role in the shifting of the

buying patterns of

households. This trend

when coupled with the fact

that both parents are

usually employed explains

the liberty given to children

in purchase decisions. The

tendency to please their

children stems from the

guilty feeling that parents

have because of not being

able to spend enough time

with their children due to

their work commitments.

The increased exposure to

television and internet is

also a major factor. The

time spent by children on

both television and internet

is significant and is also one

of the direct consequences

of the lack of parental

control due to the parents’

jobs. This has resulted in parents increasingly giving in

to the “pestering” of their children.

Psychological Aspects of Kids’ Marketing

Marketers have been trying to understand the

psychological implications of the above changes. They

have seen the reversal of trend as an opportunity and

have been quick in making attempts to capture this

growing market. The seemingly simple domain of child

psychology has been studied extensively and has

resulted in innovative means of reaching the potential

targets.

Marketers have tried to tap into the desire of the child

to be seen as an adult. The attempt to get the brands

embedded into the subconscious mind of the child has

also resulted from these analyses. Even here, marketers

recognize that brand association is more important with

older kids and younger children are more attracted to

the product characteristics.

In addition, companies

have now realized that this

market has an even

greater potential than

other markets. Families on

thrifty budgets would have

parents cutting down on

their own luxuries so that

they can cater to the

needs of their children.

Marketers have also

worked on understanding

the parents’ expectations

from the products and the

desire of parents to see

their children learn and

grow. This has resulted in

campaigns where the

parents’ needs are also

taken into consideration

and which results in a

purchase from their side.

perspective markathon | august 2012

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perspective markathon | may 2011

Role of Children in Purchase Decision

There are different roles children play in the purchases

done by the family. They can act as primary purchasers

where they buy products for themselves. This would

include food items such as chocolates, chips, biscuits

and ice-creams; clothes and accessories like watches

and goggles; sports items and video games; and study

related stuff. This is a huge market in itself. In addition

to this, the role of children as influencers has become a

lot more prominent. They have their views on almost all

purchase done by the family and are in a position to

influence the decisions taken. Finally, children are seen

as future purchasers and marketers often like to build

brand loyalties from their childhood. An investment in

this market can yield positive returns in future.

Means of Marketing

to Kids

Marketers are now

coming up with

increasingly

innovative ways of

advertisement to

kids. The traditional

way of advertisements has also become polished over

the years. There is an attempt to pass along a message

in each and every advertisement/promotional means

and this slowly leads to the development of permanent

brand associations. People often relate to Complan as a

milk drink that helps in increasing child’s height.

Similarly ParleG, by means of its “G for

Genius” campaign, tries to

position itself as a product which

is associated with the

intellectual ability of the

children.

Another popular means by

which marketers target children

is by trying to create brand

associations by using sources children

can relate to. Frequently, cartoon characters are used in

advertisements. Popular idols from Bollywood and

Sports often feature in advertisements targeted at

children. Saif Ali Khan and M.S. Dhoni are the brand

ambassadors of Lay’s and Sachin Tendulkar appeared in

Boost commercials for a long time.

Apart from television and print advertisements, other

means are employed by marketers in

their attempt to target children.

Some of the brands have a small

comic strip in popular children comics

and magazines. The concept of giving

freebies has been

exploited by a large

number of

companies in

attracting children to

their products. The

“toys” given free

with Happy Meals by

McDonalds is a

popular example.

With the increase in

the use of internet by

children, companies

by use of proper positioning in websites visited

often by children (like online gaming sites) make

sure they catch the desired attention of children.

Online contests are held to create brand awareness by

increasing competition and hence participation. Apart

from this, companies also take part in a number of

promotional activities in schools and other popular

hubs like malls. Bournvita quiz contest was started with

this aim and at present has successfully expanded to

the national level.

perspective markathon | august 2012

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Page 6: Markathon-August Issue

perspective markathon | may 2011

Other innovative measures

have also been undertaken

by companies. One of the

concept that has evolved in

recent years is Buzz

Marketing. The companies

try to create a new trend

which is actively followed by

other children. Children

have a tendency to appear

cool and imitate others who

appear so. Thus marketers

attempt to target those

children who act as trend setters among peers and this

can itself diffuse through to other children. Another

innovative idea was employed by Honda in the recently

concluded Autoexpo in Delhi. The company involved

children in contests at their location and in the

meantime parents were detailed about the various

offerings.

Ethical Considerations

With the increased exposure of

children to advertising, there is

always a tendency of

companies to resort to

unethical means in order to

increase their profits. Children,

especially younger ones, take

what they observe as true and

unbiased facts. Thus there is an

increased need of regulation

and prudent decision making

by the companies. Parents too have a major role to play

in this regard. A few positive steps have been taken by

companies in recent times. A significant example is the

announcement by major food and beverage companies

like Coca-Cola, Pepsi, Nestle and Kellogg about their

commitment to responsible marketing to children. Self-

regulation measures like these can go a long way in

helping companies tap into this huge market without

compromising on ethical conducts.

perspective markathon | august 2012

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Page 7: Markathon-August Issue

perspective markathon | may 2011

A unique rebranding exercise – The kaya story

Neha kanwal | IIm indore

Introduction

Into its 10th year of

existence now,

FMCG biggie

Marico’s subsidiary

Kaya Skin Clinic has

recently undergone a

rebranding and

repositioning setting,

an example which is

nothing short of a

hot topic of

discussion for

budding managers.

While the results of

the rebranding are

yet to be seen, the

efforts sure seem to

quickly change the

consumer perception

of the brand.

Kaya Skin Clinic has been the prime

mover in a segment that it created in

2002, that of organized skin clinics.

Competing with the large unorganized

sector, the company has been facing

financial losses from the time of its

inception and till now not been able to

get rid of the red since it entered the

Indian skin care market which is sized

INR 1850 crores today. However times

are bound to change for the skin care provider as it

takes on a new persona.

The journey till 2011

Marico was initially presented with an idea of selling

laser hair removal machines to dermatologists. Doctors

however, did not like the idea. But what got triggered

was the realization that the market for skin care needs

was growing and there was a space between doctors

and beauty parlors. Kaya was the answer to this space

and that was the positioning of the brand in the first 9

years of its existence – to provide solutions to skin

problems faced by consumers hence the name “clinic”.

But as the business grew from scratch to a turnover of

close to 300 crores, there were some consumer insights

that prompted them to change their strategy.

Triggers for change

Kaya today has more than 80 clinics in 26 cities and all

are company owned. They are the largest employer of

dermatologists in India and do not follow the franchisee

model owing to the sensitive nature of care offered.

However the word “sensitive” has been the pain point

for the brand. Targeting females of age group 21 – 45

for skin care solutions, there were some interesting

consumer insights that came up during discussions with

the TG. Some of the reasons mentioned by females for

not going to or referring Kaya to others are mentioned

as under:

Revealing the new Kaya

Down goes the “clinic” and we have a new and bold

avatar of Kaya with a new tagline to adorn the new

persona.

Beautifully crafted, the new look of the logo in itself

answers various doubts that females had related to a

skin clinic. Consider a college girl going to kaya for skin

care services when she gets a call from her mother

asking her where she is. The answer would aptly be

perspective markathon | august 2012

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Page 8: Markathon-August Issue

perspective markathon | may 2011

“Kaya” and with the clinic part being downplayed, it

should no longer be a matter of hesitation for the

females to admit going there.

The change of color to a dark

Burgundy symbolizes richness

and expertise while the rounded

edges symbolize care and

warmth.

The new color scheme was first

introduced in the Hyderabad

Centre and it wasn’t just used

for the hoardings but also to

create the inner ambience of the

Centre signifying that Kaya was a

beauty and wellness solution for

the skin. It is safe to say that the

new look does justice to the premium

positioning of the brand.

It is interesting to note that the process of zeroing down

to the burgundy color was not driven by consumer

insights like other re-positioning moves. It was the

marketing team of Kaya that shortlisted a few color

schemes and then confirmed their choice by asking

consumers on what would impact them more. Needless

to say, the result is a complete makeover of the brand

which we are witnessing today.

Evolution of consumers

The market for cosmetic surgery,

laser treatment and other high

end skin services is growing at the

rate of 10% a year according to the

head of Department of

Dermatology, Bangalore Medical

College and Research Institute.

These services which were earlier

availed only by the aged who

wanted to look younger are now

being taken up mostly by the

youth. People who were children in

the early liberalization phase are

now in their 20s and 30s and having

lived in the era where being presentable is very

important. They don’t mind spending extra bucks to

look beautiful. Add to it the growing disposable income

of the population and you get a clearer picture of why

Kaya was a wonderful business initiative by Marico.

Apt use of media

In terms of media,

skin care being a

high involvement

category, women

seek a lot of

information before

availing such

services hence it was

important for Kaya

to use the media

that hits the TG at

the right spot and so

they focused a lot on

high engagement

media such as social

media, internet,

print and outdoor.

Kaya’s advertising

spend went up from

5% in 2010 to 10%

for the current

perspective markathon | august 2012

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Page 9: Markathon-August Issue

perspective markathon | may 2011

campaign. Mass vehicles such as TV were not used till now but with the change in

positioning to a complete skin care beauty solution

brand; Kaya launched its new TV Commercial in June

targeting women who want to look beautiful indicating

a complete game change.

The chart below shows the involvement levels against

price and with Kaya being a premium prices service with

the most expensive service touching INR 1.6 Lacs, the

consumers will sure seek all the information they can

before deciding to pay a visit.

The road ahead

Kaya is set to change the retail identity of all its stores

and also bring about a change in

product packaging and even

possibly in its distribution. We

might see Kaya products adorning

the shelves of some high end

retail stores in the future.

Whatever the upcoming changes

may be, it’s pretty sure that the

change in consumer perception is

there and it seems that Kaya has

hit the right chord now. While we

wait for the measurable to be

recorded, let us continue to learn

from this unique re-branding

exercise which is being executed

by undoubtedly one of the best

marketing companies in the

country.

Comparison of Kaya’s old and new clinic ambience

perspective markathon | august 2012

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Page 10: Markathon-August Issue

perspective markathon | august 2012

SUBCONSCIOUS TITILLATION

Ahana Chakraborty, Rubayet Chakraborty| NITIE, MUMBAI

Surely you are familiar with this ring…it is the famed

“One Ring to Rule them All” from Lord of the Rings…Do

you see “Coca Cola” etched on the side? Not apparent

at first. But once you’ve seen it, you’ll probably be

thirsty for a coke. That’s exactly what Coke wants ….this

is a sample of their subliminal advertising.

Coke has been using subliminal advertising for decades.

In the 1980s Coca-Cola reintroduced its contour bottle

in South Australia with the slogan “Feel the Curves”!

The poster ad was recalled after the company

discovered the artist had hidden some rather obvious

sexual imagery in one of the ice cubes surrounding the

bottle of Coke. In yet another episode, Coke featured

the silhouette of a naked woman lying on top of its

cans. This imagery is not overt, it is meant to touch an

individual’s subconscious.

The term “subliminal” is derived from the Latin words

sub, meaning under, and limen, meaning threshold. A

subliminal message is not delivered directly. It is

typically embedded in some medium that is not

perceptible by the conscious mind. The extent to which

these messages influence buying behavior has not yet

been established. However, research has shown that on

certain occasions signals delivered below the conscious

threshold of an individual may have an effect on his

later thoughts and actions.

Marketers have not let this opportunity go waste.

Subliminal marketing practices were experimented

with, as early as 1957 when a market researcher named

James Vicary inserted the words "Eat Popcorn" and

"Drink Coca-Cola" into a movie. The words appeared for

a single frame, long enough for the subconscious to pick

up, but too short for the viewers to be aware of it. The

subliminal ads supposedly increased Coke sales by

18.1% and popcorn sales by 57.8%. It was later proved

that these results were probably faked.

But what is it that may make subliminal marketing

work? One is the mere exposure effect. Simply by

exposing a person to certain stimuli for long, breeds

familiarity and subsequent liking for the stimuli. This is a

common strategy for all marketing campaigns that

perspective markathon | august 2012

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perspective markathon | august 2012

strive to enhance visibility to customers. But in today’s

world where we build our defenses against the 10,000

ads we are exposed to everyday, fighting for consumer

mind space is a challenge. This is when attacking at a

subliminal level emerges as an option.

Perhaps the most visible element of a brand is its logo.

So why not design logos in such a way that they

communicate more than what’s apparently visible?

Some companies such as Amazon and FedEx have

achieved great success with this strategy.

The yellow arrow on Amazon’s logo may not look much

more than just a smile on the customer’s face. But

there’s also a deeper message embedded in the clever

positioning of the arrow running precisely from the

letters “a” to “z”. This positioning conveys Amazon’s

message that it sells everything from A to Z on its online

store. A less obvious but brilliant message is hidden in

the logo of FedEx. An arrow forms between the letters

“E” and “x” that conveys the speed and reliability

provided by the courier service.

Apart from logos, advertisements also form a tool for

delivering subliminal messages to consumers. Consider

the 2000 US presidential race, where TV commercial

created by George Bush's campaign team, used this

type of subliminal messaging to deride opponent Al

Gore. When the phrase 'BUREAUCRATS DECIDE'

appeared just after Gore's name was mentioned --

'RATS' flashed up for a fraction of a second. At such a

speed, the bold lettering was scarcely perceptible

except to the subconscious mind.

In a similar incident in 2007, a Mc Donalds logo,

complete with the slogan “I’m loving it” had appeared

in a single frame at the end of the show called Food

Network's Iron Chef. Similar is the case with Disney,

which attempted to use subliminal imagery by making

the silhouette of Captain Jack Sparrow in posters closely

resemble that of the iconic Mickey Mouse. The idea

here was to evoke an emotion for Pirates of the

Caribbean, similar to the one for Mickey Mouse.

Apart from repeated exposure, what may make

subliminal advertising work is their invariable link with

sex and power. An unchallenged marketing belief is that

“sex sells”. Advertisers use this aspect of human

psychology by associating their products with sexy

imagery hoping that it appeals to the consumer’s

subconscious minds. Ads with sexual implications have

been used by many companies, including Burger King

and Heineken.

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perspective markathon | august 2012

Perhaps the best example of subliminal advertising in

recent times has been done by Marlboro. Following the

ban on advertising tobacco at international sporting

events, Marlboro released the Scuderia Marlboro F1

single-seater Ferrari racecar with a barcode on it. The

barcode looks a lot like its logo…particularly when it

whizzes by at 200

mph!

As is evident,

marketers spend

significant time,

energy and money

pursuing this path.

But do these

subconscious

messages really

work? Scientific

research in this

domain is still at a nascent stage to provide a

concrete answer. The studies conducted so

far are ambiguous and contradictory. In a

study, participants’ ratings of thirst were

higher after viewing an episode of "The

Simpsons” that contained single frames of

the word "thirsty" or of a picture of Coke can.

In another case, 80% of participants displayed

a preference for a particular brand of rum when

subliminally primed by the name placed in an ad

backwards. On the contrary, research conducted

elsewhere has shown that subliminal messages produce

only one-tenth of the effects of detected messages.

Marketers seem to have given the benefit of

doubt to consumers in their attempt to try

anything to woo them. In fact, subliminal

messaging has not remained confined to visual

stimuli. Auditory stimuli have also been used –

the best example being self-help audio tapes

that claim to have a placebo effect on people

with self-esteem and memory disorders.

Another evolving domain is Scent Marketing,

where firms like food shops use synthetic

fragrances to make

customers’ mouths

water. Few know

that new cars do

not smell like plastic

and metal – they

are sprayed with oil

or leather

fragrance. In fact,

fragrances are also

used to build brand

identification and

strong sensory

association by

hotels like Sheraton and Hyatt. It is on these lines that

products like scented socks, CDs, USB sticks and papers

have been introduced into the market.

Whether or not these hidden messages truly make us

crave for stuff, as long as marketers persist in their

efforts, having strawberry scented socks is a delightful

prospect indeed!

perspective markathon | august 2012

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Vartalaap markathon|august 2012

1

An Interview with Mr. V. Satyanarayana Reddy

Chief Executive Officer of Chennai Region, Apollo Hospitals Enterprise Limited

Shri. V. Satyanarayana Reddy serves as the Chief Executive Officer of Chennai

Region of Apollo Hospitals Enterprise Ltd. Shri. Reddy has done his B.sc in

Agriculture and there after went on to do MBA and Mphil. He served as Chief

Executive Officer of Apollo Hospitals Enterprise Ltd and has been the Chief

Executive Officer at Apollo Gleneagles Hospital Limited since August 2006. Shri.

Reddy joined at Apollo Hospitals Enterprise Ltd. in April 17, 1989 and has 23

years of valuable experience which he shares with us in an insightful discussion.

Vartalaap markathon|august 2012

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Vartalaap markathon|august 2012

1

Today, Apollo Tele-Network

Foundation has emerged as India's

single largest turnkey provider in the

area of Telemedicine with over 125

peripheral centers including 10

overseas. More than 71,000 Tele-

consultations in 25 different

disciplines have been provided.

Patients have been evaluated from

distances ranging from 200 to 7500

km

Markathon: Having seen the

inside and out of health care

industry and Apollo for over 23

long years, how do you think this

industry has evolved over the

period of time?

Shri. Reddy: Before Apollo came

into existence, health care

industry was run only by

government sector, nursing

homes and Trusts. During the

1980’s super specialty facilities

were not available. Dr. Prathap C

Reddy’s vision not only brought technology but also

gave health care sector an Industry standard enabling

the financial institutions investments possible. Today

it is an over 40 billion USD sector. PE and VC

activity has also been increasing in the last

couple of years. Indian hospitals today are

on par with International standards.

Apollo Hospitals are JCIA

Accredited. Clinical outcomes

successes have increased

with latest technology

usage. Clinical

research in many

specialties has

led to

improved

disease

management and

patient care, reduced

ALOS, better BTR (Bed

Turn Over Rates) making

healthcare delivery more

sustainable. Awareness on

diseases and Preventive medicine

is taking shape nowadays. Recently an

American has to go to Apollo for a Heart

transplant, considering the cost difference giving

rise to increasing medical tourism. This is a drastic

change if compare it with the past, say two decades

back, where Indians used to go to US for cardiac

diseases.

Markathon: Today there are a

number of players emerging in the

premium healthcare segment.

What strategies does Apollo

employ in this dynamic scenario to

stay ahead of the competition?

Shri. Reddy: Firstly, Hospital bed

density is still inadequate in India

and lags behind the global

average. There is a huge gap

between supply and demand.

Frankly there is no competition for

Apollo in the health care segment,

including the premium healthcare segment.

Infrastructure and qualified clinicians are the key

resources in the health care segment. Apollo always

had the best physicians and latest technology

making competition irrelevant.

Markathon: What are the underlying

values which makes Apollo such a

strong brand in the hospital

space?

Shri. Reddy: Being

patient centric is not

a goal; it’s the

core of the

existence

for Apollo.

“Tender Loving

Care” is the way of

life we promote.

These three simple words

that have a profound impact

on everything Apollo does.

Based on this theme, Clinical

and Service excellence is

something which Apollo never

comprises on. Apollo hospitals have been one

of the pioneers of the technological revolution in

healthcare to enhance the clinical outcomes, be it

introduction of robotics or Apollo 320 slice CT scanner

or the cyber knife technology. It reflects the quest for

patients’ experiences that Apollo thrives for. That is

Vartalaap markathon|august 2012

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Vartalaap markathon|august 2012

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another value which makes Apollo the choice for

customers. Family culture in Apollo makes every

employee to go an extra mile to protect the

organizational values and deliver them to the best of

customers’ expectations.

Markathon: It is said that Education and Healthcare are

two forces which can change the face of rural India.

Though, technology enabled means such as mobile

healthcare and telemedicine have made rural India

more accessible, but is it really able to reap benefits out

of these advancements? What are the challenges that

Apollo is facing in this effort of reaching out to the rural

people?

Shri. Reddy: The first step towards Telemedicine was

starting Rural Telemedicine centre in 1999 in Aragonda

(in Andhra Pradesh). Today, Apollo Tele-Network

Foundation has emerged as India's single largest

turnkey provider in the area of Telemedicine with over

125 peripheral centers including 10 overseas. More

than 71,000 Tele-consultations in 25 different

disciplines have been provided. Patients have been

evaluated from distances ranging from 200 to 7500 km.

The advancement in technology has really helped to

penetrate in to rural India.

The challenges for Apollo in reaching to rural and semi

urban lies in cost of technology. However Apollo also

successfully ventured in to semi-urban and rural areas

to provide quality tertiary healthcare through Reach

Hospitals. Apollo Reach Hospitals operate in tier-II cities

and offer medical care at rates up to 30 per cent lower

than what is charged by other major hospitals and won

G20 Challenge on Inclusive Business Innovation’.

Markathon: Medical Tourism has seen a steady rise in

our country. How is Apollo benefitted from it and is it

taking any measures to create more visibility at a global

level?

Shri. Reddy: Medical tourism has seen a steady raise in

the country and contributes to 2 billion USD market

size. Increased healthcare standards, latest technology,

promising clinical outcomes and relatively low costs are

favoring the medical tourism industry in India. Apollo

gets its patients from across 120 countries. Apollo has

tie ups with various governments and ministries to

promote its world class offerings. Apollo has also global

partners to provide information, support and to

coordinate the visits of International patients in US,

Canada, Ethiopia, Nepal, UK, Japan, Mauritius, UAE,

Kuwait , Saudi Arabia and many other places.

International Patient Services is a dedicated department

at Apollo to take care of the International patients.

Markathon: Considering that Apollo is planning to

adopt a retail model to expand healthcare offerings,

what are the potential challenges and opportunities

that you foresee in this strategy?

Shri. Reddy: The plan to adopt a retail model is to reach

out to the masses. Apollo has already been in retail

space through pharmacy chains and is starting a

national chain of clinics that will total 200 units in three

years. The initiative will target the middle and upper

class segments. Clinics will be set up in neighborhoods,

malls and SEZs. This strategy would help Apollo to

penetrate in to market and also provide primary care to

the masses. The opportunities are huge as the target

segment has immense potential and challenges lie in

providing quality health care at the affordable cost for

customers. However having over 25 years of experience

in the healthcare segment we are confident that we will

be able to meet our objectives.

Markathon: What is your advice to budding marketers

reading this magazine?

Shri. Reddy: Today customers know more than

marketers. Thanks to technology!! Know your product

or service in detail before you promise a customer and

deliver what you have promised is the key to success. At

Apollo we promise on clinical outcomes, service levels

and compete only on it. When you market what the

product/service stands for with authenticity success is

all yours.

Vartalaap markathon|august 2012

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Cover story | Indian Hockey – in a marketing soup? markathon|august 2012

1

Indian Hockey - In a marketing soup?

Arpit | Sonam | Rahul

IIM S

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Cover story | Indian Hockey – in a marketing soup? markathon|august 2012

Introduction

Today, its dismal state in

India is as true a fact

that it is the national

sport of India. But,

hockey, yes! our

national sport, had long

served the appetite for

live entertainment of

Indian spectators. It was

a tool to satisfy our

craving of world

dominance. With a

streak of 6 Olympic gold

medals, the Indian

men’s Hockey team

remained unbeaten

from 1928 to 1956. And with a total of 8 gold, 1 silver

and 2 bronze medals, Indian

men's field hockey team is the

most successful field hockey

team in Olympic history.

Indeed, a team of hockey

legends and wizards. And, it

would be a sin, not to mention

about Major Dhyan Chand,

whose astounding skills have

been made into anecdotes

that continue to awe and inspire the world. But the

current state is not the same, not even close. Consider

this, India didn’t qualify for the Olympics in 2008

(Beijing), first time since 1928. So much for our world

dominance or so much for our glorious past. This trend

had to show on the fan following and public support for

Indian Hockey and show it did. If we take to look at the

reason for this, we can go on to list various reasons. We

may even say that Hockey, as a sport, has been

unfortunate because of various organizational and

performance issues. But what if we say that problem

lies in the marketing of Indian Hockey?

Let us first investigate what we mean by marketing

here. Marketing as a concept has evolved over the time.

From focus on production, to that on product, to that

on selling, we now talk

about focus on ‘sense-and-

respond’ and ‘Holistic

Marketing’. The essence of

‘sense-and respond’ is

being customer-centered

and that of ‘Holistic

Marketing’ is realizing the

breadth and

interdependencies of

marketing activities. Now

let us see how marketing

went wrong for Indian

Hockey and how right

marketing can improve the

state of Indian Hockey?

Let us view the Indian

Hockey as an organization, where authorities like

Hockey India or Indian Hockey Federation run the show.

The product is hockey matches and tournaments. And

the consumer, interestingly, is both the spectator and

the prospective hockey player. There are other partners

and stakeholders too, about whom we’ll discuss later.

This organization has taken a few steps to sell its

product. For instance, introducing the league format

Hockey in India in 2005 by the name of Premiere

Hockey League. It was aggressively publicized as well.

But it never went popular, or at least as popular as was

expected. Or, by the analogy, the product didn't sell.

The marketing issue here is that the organization is

stuck with the selling concept, i.e. to publicize and

advertise the product to ensure that it sells. And this is

where the marketing plot is missed. We need to see

through the ‘sense-and-respond’ concept; we need to

make Indian Hockey the way the Indian spectator or an

Indian child looking to become a sportsperson would

want. A spectator of hockey, for that matter spectator

of any sport, has two primary expectations. First,

obviously, is to see his side win the game and the

second is to witness closely contested games or as they

are called nail-biting thrillers. While the latter

expectation is still met, the former is becoming a distant

dream. And this is the reason why once a religiously

followed sport is now not given second look. And this

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Cover story | Indian Hockey – in a marketing soup? markathon|august 2012

itself is the reason

why hockey

doesn’t attract

prospective

players anymore.

But now the billion

dollar question is

how do we make

the Indian Hockey

team win? As we

said, the answer

lies in right

marketing and in

this case it's

'Holistic

Marketing'.

Holistic Marketing, as has been mentioned, derives its

strength and synergies from the interdependencies of

the breadth of activities taken up by an organization in

the name of marketing. There are four broad

components that characterize Holistic Marketing:

relationship marketing, integrated marketing, internal

marketing and performance marketing. Through these

four pillars ‘holistic marketing’ ensures that the

marketing objective, as derived from the ‘sense and

respond’ concept, is achieved. For now our objective is

to get Indian Hockey back on track or to put it bluntly,

to get Indian Hockey team win the game more often.

Let us see how ‘Holistic Marketing’ ensures this.

Relationship Marketing

It is based on the idea of developing

a long term relationship with the

key constituents of our business

who directly or indirectly affect

the success of marketing

activities of our organization.

There are four key constituents

from the view of relationship marketing:

customers, employees, marketing partners

(channels, suppliers, distributors, dealers,

agencies) and financial community (shareholders,

investors and analysts). If we take the context of Indian

Hockey, we have

already discussed

about the

customers- the

spectators and the

prospective player.

To the spectator the

best benefit, as

already discussed, is

to see a good game

of hockey and, more

often than not, see

his team win the

game. This would

ensure a sustained

support and loyalty

of this customer. And if there is support of the spectator

to make hockey popular, the prospective player

(another customer) would be attracted to hockey.

Looking at the employees, our organization analogy

would map various zone, state and other boards’

members, the staff in these bodies, the stadium and

venue staff etc. as the employees of Indian Hockey.

Being governmental bodies, there are all the chances

that bureaucracy would be pervasive. This definitely

locks up the scope of improvement for employees. But

what can be looked at is the establishment of a basic

benefits structure for the employees with a

communication that Indian hockey is

committed to the benefit of its stakeholders.

The other line of employees, rather more

important ones are the players,

coaches and support staff in the

sport of hockey in India, right

from the zone to the national

level. As an organization, their

prosperity has to be of prime

importance. It can be ensured by

practicing good remuneration,

facilities and schemes for them. This

would ensure a long term relationship and

commitment by these employees. And this

endeavor would directly show at the

performance of the Indian Hockey.

Customers

Employees

Marketing Partners

Financial Community

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Marketing partners look for the long term sustainability

on the business that partner with and financial

community looks at the returns. Objectives related to

these constituents of our business would be de facto

met with the improvement in the performance of the

Indian Hockey team.

Internal Marketing

Holistic marketing

also ensures that

each member of

the organization is

aligned to the

same mission and

vision.

Appropriate

marketing

principles should

be followed all

over the vertical

and horizontal

level.

Applying the

concept of internal

marketing to

Indian hockey we

find major

loopholes. Indian

Hockey has two governing bodies: Indian Hockey

Federation and Hockey India. With international

recognition to Hockey India from FHI but the local

support to Indian hockey Federation creates a lack of

strong leadership at the top. Though the major power

lies with HI after successfully conducting great world

cup but local state associations are still more loyal to

IHF, which made Nimbus chose to partner with the later

for World Series Hockey. This initiative was as a result

was discouraged by FIH. This further demotivates the

players. The situation has further worsened by lack of

proper pay and incentives to the players. Thus, absence

of a visionary senior management has left a lot of scope

of improvement in the internal functioning. Though, the

hiring of foreign coach, Micheal Nobbs has produced

some successful results.

Internal marketing ensures that the marketing efforts

are supported and appreciated all over the

organization. Any marketing plan shall only be

successful if it’s a comprehensive approach of

packaging, promoting and delivering the game to the

consumer to fulfill their need; entertainment. It

confirms the basic

preparedness of all

the employees to

serve the

customers and

promise excellent

service. Thus,

hiring and training

also become

crucial. Past

incidents like that

of 2008, where IHF

Secretary K.

Jothikumaran was

caught in a sting

operation taking

bribe for including

a player in the

team has created a

negative

environment. Not

to mention again what happened in Beijing Olympics

2008. Transparent approach should be followed while

selecting players. Former captain Dhanraj Pillay has

quoted one of the reasons to quit was the lack of

respect to captain in the team. According to him,

captain had a little say while choosing the team and at

the same time he was not even consulted for important

issues related to his team. All these practices discourage

and lower the spirit of the team. The proper training

and hiring of the employees are also vital for internal

marketing. The appointment of foreign coach, Micheal

Nobbs, has brought some new hope among the players.

The team has produced some successful results in past

and looking for London dreams under his guidance.

Such initiatives, of hiring appropriate talent and training

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Inte

grat

ed

Mar

keti

ng

Primary target market

Spectators

Players

Coach

Other staffs

Secondary target market

Corporate Sponsors

Advertisers

creates a big impact on any organization. Indian Hockey

should also focus more on their internal training and

camps for assuring that our players meet the

international standards.

Integrated Marketing

Integrated marketing is about creating, communicating

and delivering value to a target market. But

who is the target

market for a sport like

hockey? One will say

it’s the spectators and

the prospective players

or we may say the

consumers. A course

on sports marketing

will tell you that there

are more than just the

spectators that need to

be marketed. Other

than the spectators we

have participants

including the players

who play the sport, the coach who train them and other

support staff. These are the primary target market. The

secondary target market could be the corporate

sponsors who use sports to communicate positive and

distinctive image about their products and company to

large group of spectators or it could be the advertisers

who use this platform to promote and communicate

their products. Also, there exists a big secondary market

in the form of player’s endorsements of products where

companies use sports personalities and celebrities to

create better consumer perception towards their

products. Let us look each of them one by one by

defining the marketing goal and how it can be achieved.

Starting with players and coaches, their need is

recognition and, of course, money. Though

tournaments like World Series Hockey (WSH)

tournament, league format conceptualized recently,

provide a great platform for players to get recognition

and also earn money, they have failed miserably due to

organizational conflicts between HI and IHF. The

marketing goal here is not only to attract right talent

but also to encourage more youngsters join and

embrace the game. But we find in India, every

youngster’s role model is a ‘Sachin’ or a ‘Dravid’ and not

a ‘Prabjhoth’ or a ‘Dilip Tirkey’. How can we change

this? We see players like Sachin and Dravid regularly

attending public

conferences;

interact with

youngsters in

schools and

colleges but we

don’t often see

hockey players

doing the same. We

need our hockey

champions to

engage more

closely with our

society, if possible

on social causes to

create connect with

the youngsters.

Also, we need more

school and junior college level tournaments which

encourage youngsters to play hockey. Yes, the recent

announcement of INR 5 lakh grant by Hockey India to

each of its State Associations towards organizing senior,

junior, sub-Junior level tournaments and school level

tournaments for the first time since the start of men

and women hockey from 1927, is a good sign but

probably a bit late.

One of the most important target markets, of course, is

the spectators which include not just the people who

come to watch the match in the stadium but also the

television viewers, people following the match on radio

or newspaper. Who are our spectators? In a broad level

they are the youngsters who seek entertainment and

who generally don’t take much time to switch to other

entertainment sources. Some consumers may not be

specifically attracted to the core product which is

hockey, but to the way in which the core product is

packaged. For example, music, half time promotion,

good commentators and other entertainment can be

20

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Performance Marketing

Financial Accountability

Social Responsibility

marketing

important factors for encouraging people to watch the

match. As a marketer one needs to look at the behavior

of the consumer which could be done through a

thorough market research keeping into account the

demographics, the Psychographics and other traits of

the consumer. For instance, hockey sticks are often

projected as a tool for aggressive behavior at college.

Can we use this notion to project to our youngsters that

hockey stick is for playing and not for fighting and we

need them to play our national sport. Such market

research will help in finding the right way to

communicate to the spectators. There is a need to

brand Hockey as a sport. Like golf is seen as the game

for professionals and is used often as a tool of

interaction by businessmen and other eminent

personalities, we need to brand hockey may be a team

sport to be viewed with friends or something. Based on

it, we can provide college bulk discounts to spectators.

The idea is to connect with the people. We can even

broadcast local games in local languages to connect

with the local people. The National Basketball

Association (NBA) and Major League Baseball (MLB)

have many of their games broadcast in languages

spoken in Hispanic and Asian cultures.

We also need to engage with sponsors and advertisers.

They are the ones who

bring money into the

game. Recently, Sahara

India felicitated Indian

hockey team with a cash

incentive of INR 1.12

Crore for their brilliant

performance in FIH

Olympic qualifiers. This

shows we have a very

committed national

sponsor in the form of

Sahara India Pariwar,

but the situation is bleak

when it comes to local

or state tournaments. A

number of professional sport teams have started

initiatives to increase the diversity of their corporate

and sponsorship partners. For example, the Los Angeles

Avengers of the Arena Football League had hosted

special events to promote opportunities with local

Hispanic businesses, and Major League Baseball (MLB)

offered similar events for Native American business

owners. We also need to do the same. The state

associations need to conduct such events to build up

good relations with different sponsors. We also need

our hockey players to endorse various products. This

will start the trend of investments from sponsors and

advertisers into hockey. Few courses on public relations

will definitely help players but ultimately it all depends

on the performance of players on the field which will

give them endorsements from companies.

Performance

Marketing

The other important aspect

of holistic approach is Performance marketing. It looks

into the performance of the

various marketing activities and

efforts. The performance is

measured with respect to the

business returns obtained from

the investment in these

activities and also at the same

time handling all the concerns

with respect to the social,

ethical, legal and environmental

effects of the marketing

activities. The managers should

not only focus on the top and

bottom line of the business but

they should focus on the

complete balanced score card which accounts for

customer satisfaction, customer retention, product

quality and other such activities. Thus, the two

important parameters for performance marketing

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include financial accountability and Social responsibility

marketing.

The financial accountability of the entire fund allocated

to each activity should be established. The initiative can

be taken up initially with various state associations. The

performance of each state association can be judged by

their contribution of producing national level players.

The performance

bonuses can thus be

given to those state

associations giving

the best results. The

various other

investments for

building

infrastructure

should also monitor

as bureaucratic

intervention and

other unseen

reasons have

brought a lot of

inefficiency in the

same.

As a part of societal

marketing,

Government should

promote more of regional or local level tournament.

Young children or youths should be encouraged for the

game. Scholarships for school or college students

playing hockey shall also promote hockey at ground

root level and at the same time it assures societal

wellbeing. Tournaments at schools and distributing

hockey merchandises as the prizes can be more of such

efforts. Further, hockey players shall also involve

themselves in various social issues and working for

them in their free time. It will not only help them in

fulfilling their social responsibility but at the same time

their visibility will also increase.

Finally, can we say that good marketing can sell even a

bad product? Not exactly! Only a good selling practice

can’t sell a product, but a good holistic marketing

practice can improve a bad product by responding to

the customer’s needs and thus selling it to them by

matching their requirements. Indian hockey currently

has a poor product i.e. a poor performance that does

not have any market neither international nor domestic.

By practicing internal and performance marketing it can

improve its product quality and simultaneously

following integrated and relationship marketing it can

build the connection with its external customers and

communicate the

new product

delivery to the

market. Indian

Hockey thus needs

a holistic marketing

approach to build

the game at par

with international

level and revive the

lost brand value;

The National Sport

of India: Hockey.

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An Interview with Mr V. Srinivasan

The Adams Distinguished Professor of Management

Emeritus at the Stanford Business School

Professor V. Srinivasan, “Seenu” as he is commonly known is his circle, is the

Adams Distinguished Professor of Management, Emeritus at the Stanford

Business School. Having completed his Bachelor’s from IIT Madras as a gold

medalist, he worked for two years at L&T, prior to joining Carnegie-Mellon

University where he received his MS and PhD in Industrial Administration. He

has an expertise in the area of market research, especially in the field of conjoint

analysis where he has done interesting experiments, predicting job offers which

students at the B-school would take up.

Vartalaap markathon | august 2012

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Markathon: Can you share few of the learning from

your work experience at Larsen & Toubro which helped

you in your management journey?

Prof. Srinivasan: It has been a real joy to teach the

intelligent, diligent, and experienced students on both

campuses. Stanford has a two-year (18 months) MBA

program compared to the 12-month program at the ISB.

The Stanford program allows more “soak time” but the

ISB program is more efficient for the ISB students who

often borrow large sums of money (relative to their

incomes). An important additional difference is that the

majority of Stanford students are non-engineers but the

majority of ISB students are engineers. Consequently,

the ISB students are more inclined toward the

mathematical details of the material we cover in the

classroom.

Markathon: Your work on conjoint

analysis is highly acclaimed. It is

said that you correctly

predicted which job offer

each of your students at the

B-school would take up!

Can you share some

insights over the

applications of this

technique?

Prof. Srinivasan: Here

was another pivotal turn in

my life. As I applied to U.S.

Management programs, I

thought I was going to do an

MBA and return to the world of

business. What I learned very quickly

during the MBA program was that I was

more interested in and had greater aptitude

for research, asking and answering

important intellectual questions.

Indeed, a few of my faculty

members at Carnegie-Mellon

asked me to switch to the

doctoral program at the

end of the first semester

of my MBA. I ended up

finishing up my Ph.D. in

less than three years and getting an MBA en route.

At Carnegie-Mellon I had a roommate, Allan Shocker,

who was very much interested in marketing, which

differed from the Manufacturing Operations emphasis

that I had acquired from L&T. Our numerous

conversations led to the thought that if we can find out

what customers want, we can combine that knowledge

together with cost data and information about

competitive products to come up with products that

customers would want to buy while still allowing

companies to make greater profits. Understanding

customer preferences by indirectly asking customers to

rank hypothetical products described in terms of

multiple attributes or features became an interesting

basis for a linear programming procedure (LINMAP) that

we jointly developed,

resulting in two influential

research papers. The name

“Conjoint Analysis” itself

was coined by me and

Professor Paul Green of

Wharton in a research

paper in 1978. (There was

something called conjoint

measurement at that time,

but it is very different in

terms of focus.)

As a way of testing whether

conjoint analysis can really

predict real world behavior, I

used Stanford MBAs’ job

choices. Preliminary qualitative

research had identified eight

factors (area of the country where the

job is located, number of days in a typical

month the MBA would have to travel away

from home, salary, nature of the job,

growth rate of the company, etc.)

The MBA students completed the

conjoint analysis task prior to

receiving any job offers. At

the time of graduation they

provided us data regarding

which job offers they

actually received and what

Marketing analytics are very useful in

answering a number of questions such as

relative effectiveness of alternative

promotional decisions, customer value

analysis, and so on. India is playing a

significant role in doing marketing

analytics. Conjoint analysis is

complementary in that it answers a

different set of important marketing

questions regarding the product attributes

we should provide in a product or service

Vartalaap markathon | august 2012

24

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the attributes of each of those jobs were. We could

then use the conjoint analysis results for each MBA to

predict which job he/she would choose and compare it

with which offer each of them actually took. We were

correct three out of four times.

Conjoint Analysis is now used over 14,000 times

worldwide. It is most often used to help define the

product (or service) and associated price. Conjoint

Analysis can answer questions regarding how much the

market is willing to pay for a feature of a new product,

how much the market values one brand over another

(brand equity), defining the market in terms of benefit

segments that enable definition of product lines, and

answering numerous “what if” questions in terms of

what is likely to happen under alternative

configurations of our company’s and competitive

companies’ product and pricing moves.

Markathon: With so many factors driving the purchase

decision of consumers, what are the main

considerations while deciding on the list of attributes

for conjoint analysis?

Prof. Srinivasan: Qualitative market research (focus

groups, one-on-one interviews, ethnographic methods)

is very useful as it helps us come up with a more

complete list of attributes. I have (with my former

doctoral student, Oded Netzer, currently Associate

Professor at Columbia) developed a method called

ASEMAP designed to help us prioritize amongst these

attributes.

Markathon: With the advent of technology and social

media, data mining and data analytics have become the

order of the day. How effective would conjoint analysis

be in this setup?

Prof. Srinivasan: Marketing analytics are very useful in

answering a number of questions such as relative

effectiveness of alternative promotional decisions,

customer value analysis, and so on. India is playing a

significant role in doing marketing analytics. Conjoint

analysis is complementary in that it answers a different

set of important marketing questions regarding the

product attributes we should provide in a product or

service.

Markathon: If we talk of Brand equity measurement,

how can something as intangible as brand equity that

connects to the emotions of a consumer, be quantified?

Prof. Srinivasan: I believe we can both measure and

understand brand equity by conceptualizing brand

equity as what the brand adds in terms of incremental

(profit) contribution over and above what the

underlying product or service can provide. In a research

paper with my former doctoral student Chan Su Park,

currently a Professor at Korea University, we provide a

method that examines four different components of

brand equity: brand awareness, incremental preference

based on attribute perceptions, non-attribute based

brand equity (customer self-expression), and the

increased distribution the brand enables. Of course, we

should not expect the same degree of precision in a

brand equity study as in a conjoint analysis study.

Markathon: What would be your advice to our young

readers who aim to become successful marketers?

Prof. Srinivasan: Marketing is an exciting field because

it emphasizes both the creative side of coming up with

new ideas for products and services and communicating

them to consumers, and the scientific side of

understanding customers and marketing analytics. It is

important for students to take advantage of their time

at MBA programs by taking courses that give them

knowledge that develops both their qualitative and

quantitative skills. It is also truly important to learn

from successful examples in marketing past and present

in the world around us.

Vartalaap markathon | august 2012

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war zone | eye 2 eye markathon | june 2011

Is the success or failure of Microsoft dependent

only on its pricing?

light, and comfortable to hold. However, Microsoft has

been rather vague in coming up with a pricing and

availability plan. A lot of hype has been built around the

firm for producing its own computing hardware, the first

time in its 37 year history, instead of using original

equipment manufacturers. This fact along with the

smart coupling of physical keyboard and trackpad with a

tablet to preserve the light weight and portability of a

tablet may not be enough of a seduction to prospective

buyers.

Additionally, consumers won't be able to get the Surface

tablet until Windows 8 ships – and the Intel Core i5

Surface for Windows 8 Pro won’t be available for

another three months after that.

Moreover, the product is rumoured to have only a short-

range Wi-Fi connection that would drive prices down.

This would also mean on line usage of the tablet will

need consumers to find a Wi-Fi hotspot, which isn't

always convenient. This could hamper the tablet's

chances against the iPad and other similar devices.

Finally, the pricing strategy for the Windows RT Surface,

quoted to be at par with a “comparable ARM tablet”,

leaves technogeeks’ expectations dangling mid-air with

prices ranging wildly from those for a no-name Chinese

Android to the top-end iPad with 4G.

The success and failure of the Surface tablet would

finally rest on the ability of Microsoft to deliver on its

promises in time, an art perfected by its close

competitor-Apple.

developed their followers’ base and loyal customers.

By seeing current trends it can be easily inferred that

Microsoft is losing its ground in the smart phone’s

market as sale of NOKIA smart phones with window

Phone 7 has had lacklustre performance. Thus it

became imperative for Microsoft to prove its

presence in tablet market but its fate in tablet

market weighs heavily on the performance of

Surface.

Thus to maintain its turf Microsoft has to come up

with an outstanding product which beats its rival not

only in pricing but also in features. Microsoft Surface

will not only compete with ipad or galaxy pad but

will also compete with the ultra-book and “ipad

mini” which could be released by Apple in

September ’12 in the price band of $250-$300. Thus

low price will not serve the purpose as with new low

price innovation by its rivals, it will be difficult for

Microsoft surface to further undercut its price. Thus

it has to offer such features which can create its own

consumer base. Moreover, at this point Microsoft

needs to concern itself with building up user base

first and making money second.

Thus by seeing these challenges it is quite evident

that just lowering price will not be only option but

this product with reasonable price must also

compete with various contemporary features of

non-tablet segments.

Topic for the next issue’s Eye to Eye: “Hosting Olympics: Marketing of the Nation but is it worth

the cost?”

Your opinion (view/counterview) is invited. Word limit is 250-300. Last date of sending entries is

15th August, 2012. Include your picture (JPEG format) with the entry.

Payal Pathak

XIMB

The Microsoft Surface tablet,

available in two versions,

"Surface" and "Surface Pro",

running on the Windows RT and

Windows 8 Pro OS respectively,

was announced on June 18,

2012. Equipped with clever

features like Touch Cover and

Type Cover, the product is thin,

Microsoft’s foray into tablet

market through Microsoft

Surface is a very late entry

into a crowded market. This

market is marked by great

deal of innovation by

technology giants viz. Apple,

Samsung and Blackberry.

Moreover these tablet

manufacturers have already

“Mic

roso

ft h

as

bee

n r

ath

er v

ag

ue

in c

om

ing

up

wit

h a

pri

cin

g a

nd

ava

ilab

ility

pla

n”

“To m

ain

tain

its turf M

icroso

ft ha

s to co

me u

p w

ith a

n o

utsta

nd

ing

pro

du

ct”

26

Ram Krishn Pandey

NIRMA

war zone | eye 2 eye markathon | august 2012

Page 27: Markathon-August Issue

war zone | silent voice markathon | april 2012

15

NEXT THEME FOR SILENT VOICE: “Philips Bodygroom” Read more@ http://goo.gl/bBbTS

LAST DATE OF SENDING THE PRINT AD: 15th August, 2012 EMAIL ID: [email protected]

Send your entry in JPEG format named as SilentVoice_<Your Name>_<Institute>only.

Silent Voice

LAST MONTH’S RESULTS

Theme: “Nexus 7”

WINNER: MANSI PATIL | SIMSR, Mumbai

Congratulations!!! Mansi receives a cash prize of Rs 500!

Akshat Jain | WeSchool, Mumbai

HONORARY MENTION

war zone | silent voice markathon | august 2012

27

Page 28: Markathon-August Issue

specials | ADdicted markathon | april 2011

PRODUCT # 1: Maruti Suzuki Pvt Ltd

POSITIONING: India’s most fuel efficient cars

CREATIVE AGENCY: Publicis Capital, India

VERDICT : Catch

CONCEPT: Set in the pre independence era, the AD

tries to underplay all foreign car makers. The Ad

features “Amelia Johnson” as the first woman to fly

from England to Australia (A spoof of the famous

“Amy Johnson” who was the first lady to fly from

England to Moscow). She symbolises all the foreign

car makers and upon reaching India she is greeted by

a large crowd of eager Indians. She begins to flaunt

the specifications of her plane but the Indians are not

impressed and are unfazed by the superior

specifications. Suddenly, one Indian from the crowd

asks her “Kitna deti hai ?”, for which Amelia has no

answer and can only smile in embarrassment as she

(foreign car makers) knows that her plane is no good

when it comes to mileage.

Breaking it down: Maruti Suzuki has learnt over the

years that it cannot pass off as a luxury brand or as a

high performance brand owing to its experiences with

the Kizashi and SX4 respectively. Its cars are regarded

as fuel efficient, cost efficient and easy to maintain

cars. And Maruti Suzuki has realized over the past two

years that this is what most of the Indian automobile

consumers want. The AD is as sarcastic as it gets and

hits the nail on its head with this subtle attack at all

the foreign car makers. It conveys one simple

message: If you want a car to flaunt, you have

numerous brands; however if you want a practical,

fuel efficient car, Maruti Suzuki is your best option.

YouTube link : http://www.youtube.com/watch?v=1AyynrjP3EM

Rank 2: GoodKnight Advanced http://www.youtube.com/watch?v=0Q0eB_SKO2s

Rank 3: Cadbury Diary

http://www.youtube.com/watch?v=pidPlb9GZdo

Ad-dicted

Umang Kulshrestha, GSN Aditya| iim s

PRODUCT #2: Red Label Tea

POSITIONING: Healthy tea

VERDICT : Miss

CONCEPT: With the three disappointing ads of this

month being, Garden Vareli, Vodafone and Red, we

choose to talk on Red Label!

In short let’s reflect on the other two, starring the Cocktail fame, Diana Penty, Garden Vareli ad though being “nothing so impressive type” did not really have much of an option belonging to that typical saree TVC where you can show a beautiful girl with a flowing, patterned saree and the other Vodafone ad that just wanted to emphasise on the happy hours available from 2-4 p.m. built my hopes in the beginning with the Munnabhai MBBS déjà vu that had a carom stud, old Uncle, got shattered in some time when the carom play built on to nothing! Neither does it connect well with the point why 2-4 pm happy on Vodafone which practically does not have link with carom, despite using it symbolically for fun.

Now comes the turn of Red Label! Akshay Kumar is shown drinking tea doing possibly anything on the set; fighting, exercising and even when dancing. When Sonakshi rebukes him expressing her views that may be it was tasty but not healthy, Akshay asks the audience to call on a number to prove to Sonakshi why it was healthy because she says, “Sab bolenge tab manungi”! Firstly, the flow does not captivate the audience and secondly if some do connect, no one knows what on Earth should make the audience call on that number to prove it to “Sonakshi” that Red Label tea is healthy.Engaing the audience is good but with no incentive or drive to do it, the attempt is a waste. A mood spoiler end with a very feeble build of the entire act.

YouTube Link:

http://www.youtube.com/watch?v=JKCsNUnr6Us

Rank 2: Vodafone

http://www.youtube.com/watch?v=DPM8UNfMzLs

Rank 3: Garden Vareli

http://www.youtube.com/watch?v=ES_4qfQcHFI

28

specials | ADdicted markathon | august 2012

Page 29: Markathon-August Issue

Marketing WarFare

(20th Anniversary Issue) ; Al Ries and Jack Trout

Review by SOWMYA R

TMH Publications | Price Rs.244

To quote the words of George C.Scott,

“No bastard ever won a war by dying for his country. He

won it by making another poor dumb bastard die for his

country!”

When on the battlefield, you either survive or perish,

there is no middle ground. Marketing Warfare, written

by two legendary marketers Al Ries and Jack Trout is a

timeless classic that takes you through battles won and

lost, and prepares you for the biggest lesson of war-

“How to return from the point of no return?”

Summary

Perhaps the most basic similarity one can find between

Marketing and war is the language. We launch a

marketing campaign; promote people to higher

positions; report gains and losses and issue uniforms.

Hundreds of companies, thousands of brands, scores of

products- Marketing is indeed warfare, but it is fought

on a battlefield 6 inches wide, the mind of the

prospect! Winning this battle is a matter of possessing

the weapon called “perception”. Taking analogies from

actual battles and applying their principles to actual

business scenarios, the book enthrals the reader with

its sheer logic- the logic that irrespective of who wins

the battle, in the end the better side emerges victorious

in the war.

Organization

The book begins by outlining the four positions that a

company/brand can take on the battlefield, namely

defensive , offensive, flanking and guerrilla. The book is

then organized into 4 major sections, one devoted to

principles of each of these styles of warfare. It gives

invaluable lessons to players in each category such as:

Best defensive strategy is to have the courage to attack

yourself.

When on the offensive

find a weakness in the

leader’s strength.

Tactical surprise is key to a flank attack and the pursuit

is as critical as the attack.

In guerrilla warfare, never act like the leader no matter

how successful you get.

Following this, the book covers four wars that have

been immortalized over the years, namely: “The Cola

War”, with Coca Cola and Pepsi at loggerheads with

each other and the Uncola Campaign; “The Beer War”,

which had Heineken and Miller vying for their markets.

“The Burger War” of McDonald and Burger King is as

timeless as this book itself and finally “The Computer

War” of first vs. better products still rages on.

The final part of the book discusses Strategy and tactics

and the importance of a good general (leader) to lead

the troop as they wage war upon each other.

Verdict: 4.5/5

Needless to say, the book is gripping and is a guide to

every manager to both identify his/her position as well

as to launch and defend attacks from opponents. It is

well-structured and has abundant examples to illustrate

the elements of the battlefield.

The updated edition features the latest, most-powerful

tactics which are crucial in today’s competitive

landscape

Bottom-line

The only thing that can ensure your victory in the

combat zone is “preparedness”. War has already

broken out. It is now you who has to steer the

battleship. Grab a copy of this book and tread the path

that warriors have set foot on.

specials | bookmark markathon | august 2012

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Page 30: Markathon-August Issue

specials | radical thoughts markathon | may 2012

Did the Dark Knight rise?

Piyush agarwal | IIM S

What I write here has nothing to do with marketing, but

needs to be written nonetheless. My assumption here is

that by the time the magazine releases, most, if not all

of you would have seen ‘The Dark Knight Rises (TDKR)’

(If not, please open your browser now and book the

tickets to the next available show…seriously…RIGHT

NOW).

Before I start off, in the interest of full disclosure: I am a

true Nolanite and YES, I loved TDKR!

What led me to write this story was that a lot of people

I know really disliked the movie but I believe that they

have perhaps misunderstood the movie. They certainly

represent a very small minority as IMDB has got TDKR

on 9.1 with over a hundred and fifty thousand votes.

I’ve always taken this column as an opportunity to give

voice to the counterview by playing the devil’s

advocate. The popular opinion, I’ve usually always

found to be somewhat flawed.

Not this time though.

Here is my attempt to address some of those issues in

the limited word limit this column has been assigned

(Trust me, I can fill this whole magazine up with my

views on TDKR)

TDKR sucked, TDK was much better

'The whole is greater than the sum of its parts'. One

couldn’t find a better example to prove this philosophy

than the Dark Knight Trilogy. Nolan has brilliantly

summed up the trilogy with each installment perfectly

aligned with the theme of, FEAR, CHAOS, PAIN. TDKR is

part of a story, two thirds of which we’ve already seen

and loved. You have to watch with the bigger picture in

mind. You can’t comprehend this part in isolation. It

makes sense only if you’ve seen the other two (If you

haven’t please go on to the next section)

TDKR was much grander in comparison to TDK in the

sense that the whole city of Gotham was terrorized like

never before. In TDK joker says to Batman “See, their

specials | radical thoughts markathon | august 2012

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Page 31: Markathon-August Issue

specials | radical thoughts markathon | may 2012

morals, their code... it's a bad joke. Dropped at the first

sign of trouble. They're only as good as the world allows

them to be. I'll show you, when the chips are down,

these... these civilized people? They'll eat each other”.

This has been illustrated perfectly in TDKR. Bane

inspires anarchy in Gotham; we see the civilized eating

each other up.

Joker vs. Bane

Joker was a very entertaining character and perhaps

one of the best villains in cinematic history but amount

of artistic license which Nolan took with Bane just blew

my mind off. Bane was both physically and intellectually

a much stronger nemesis to Batman compared to Joker.

His mere physical presence was terrifying, the

modulated voice only added to the menacing persona.

Also, the kind of loyalty which Bane commanded from

his army was unparalleled as opposed to Joker who

basically took advantage of mentally disturbed

schizophrenics. In essence, both Joker and Bane

terrorized Gotham and Batman but in completely

different ways.

Weak female characters

One beef which audiences have always had with Nolan

is the absence of a strong female character in his

movies. The powerful characters of Selina Kyle

(Catwomen) and Miranda Tate (Talia al Ghul) take care

of this issue. Both characters were developed

beautifully and had depth. Everyone had their aversion

towards Anne Hathaway playing her part, but I think

she aced it.

My only non-issue with this movie is perhaps the lack of

chemistry between Miranda Tate and Bruce Wayne,

and the short screen time of Alfred. But I understand

why, given the movie already stretched to over two

hours and forty minutes and addressing these issues

would have stretched it by another half hour or so (I’m

sure fans would have loved that)

To me, a good movie is a movie which takes me by

surprise and keeps me at the edge of my seat

throughout. It should be unpredictable and keep me

guessing at every moment, making sure I guessed

everything wrong. TDKR managed to do it perfectly

well. Nolan explored and experimented with many

different emotions in this movie which audiences were

unprepared for and that’s a good thing. If you didn’t like

this movie because it was very unpredictable, you need

to redefine the way you rate mo vies.

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Page 32: Markathon-August Issue

specials | updates markathon | march 2012

BRAND LAUNCH

Nissan to launch multiple products in 2012

After a not so aggressive entry with ‘Xtrail’ SUV in

India in 2005, Nissan is coming now with a series of

launches to target the emerging car market in India

by joining the league of foreign companies who are

in full swing to push down the market share of

already established player. The product which is

first in the line is the MPV ‘Evalia’ at a starting price

of about 9 lakhs.

Raymond Limited launches ‘Makers’, the

new brand with insurance cover

The leading textile manufacturer launches an

economy brand ‘Makers’ along with the incentive

of trade promotion via insurance coverage worth

INR 10 lakhs to its retailers. The launch is

widespread as initially it is covering 2300 retail

outlets across 33 districts of the Rajasthan.

Google launches ‘Nexus 7’

After a week when Microsoft announced its entry

in tablet market, Google too announced to put its

brand over the tablets. Giving a direct competition

to Amazon’s Kindle Fire and iPad, Google unveiled

its tablet computer ‘Nexus 7’. Like its Nexus smart

phone, this too is coming with ‘Jelly Belly’ which is

the new version of Google’s Android operating

system.

BRAND WATCH

Archies in new “avatar”

First time since its inception in 1979, Archies is

doing its makeover to connect to its target

segment which mainly constitutes youth and

corporates. Archies is giving a red interior to its

retail outlets and has got big red colour and heart

shaped logo. The company which leads the 300

crore greeting cards market and has about 225

stores across the country is doing this re-branding

exercise to give itself a vibrant and young look.

Australia’s Di Bella to enter India through

the Joint Venture

With an aim to get breakeven and also to open 50

stores within 3 years of Indian presence, Di Bella,

the Australian coffee brand has formed a deal with

a local partner, Mr Sachin Sabharwal (India born

Australian entrepreneur) for a 70:30 Joint Venture.

In order to understand the market better and

diversify the financial risk, the local partner has

been allowed to take 70% stake while the rest is

held with the parent company in Australia.

International high-end luxury brands on

the path of sales promotion

Market slowdown has not even excused the

International luxury brands like Chanel, Burberry

and Christian Dior who have started discount sales

at their outlets in major cities to clear inventories

and attract first time buyers. The company feels

that this will not put any negative effect on the

brand image as this is a strategy to come closer to

the aspirations of Indian people.

P. Balaji as Nokia India’s new Vice

President and Managing Director

To give a strategic direction and operational focus

to the leading name in phones and smart phone

business in India, Nokia has appointed P. Balaji as

its Vice President and Managing Director for Indian

operation. P. Balaji is a renowned name in telecom

industry and he has handled roles across sales,

marketing, operations, strategy, product

development, and corporate relations during his 2

years of professional experience.

MEDIA

Samsonite on the online direct selling

platform

Global brand which offers a large selection of

trolleys, briefcases, handbags, laptop bags and

other accessories has come live on e-commerce

platform where every single product available in

the market is ready for purchase. Company has

provided credit and debit card facility for online

transactions and soon going to follow other e-

commerce sites by offering cash on delivery

option.

Yatra.com to take 100% stake in

Travelguru.com

specials | updates markathon | august 2012

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Page 33: Markathon-August Issue

specials | updates markathon | march 2012

The online travel company is all set to acquire full

stake in Travel guru, a brand under Travelocity.

Travel guru offers access to 6500 hotels in India

and to 72000 hotels worldwide. The company will

continue its operation under the same brand

name, the strategy used by majority of the players

during an acquisition, to help strengthen the

position of Yatra.com as the leading travel

company.

World Music festival by Radio Mirchi

On a 4 hour show for a week, Radio Mirchi is

celebrating World Music Festival by bringing in

talented and versatile actors on their show. The

channel has covered artists such as A.R. Rehman,

Anu Malik, Usha Uthup etc. with various music

genres like Sufi, Jazz, Rap, Clasical and Punjabi. The

channel is getting huge brand awareness through

different mediums like phone calls, Smses, Twitter,

Facebook etc.

AD Watch

Renault Duster Pre-launch commercial

Renault has launched its pre-launch TV commercial

for the Mini SUV Duster in one of the funniest way.

Duster is coming at a best affordable starting price

of 7.19 lakhs. The commercial shows the regrets of

people who have purchased sedans just before the

launch of Duster and company apologise to them

on their decision.

Click here to watch

Volvo to show augmented reality to engage

customers

Volvo is trying to engage newspaper readers

through the use of augmented reality and hence

using the power of integration of digital and print

media. The Swedish brand is trying to create

unique consumer engagement experience by the

use of its entire communication eco system to

capitalise on the wide reach of newspaper in India.

Cadbury gives new positioning to its

“Toblerone” brand

Cadbury-Kraft will now be the official distributor of

the famous Swiss chocolate “Toblerone”

recognised for its unique triangular shape

worldwide. The chocolate which was being

imported till now, has been positioned by Cadbury

as the gifting brand with a tagline of ‘Gift like no

one else’.

Articles are invited

“A unique rebranding exercise – The Kaya story”: Neha Kanwal | IIM Indore

She receives a cash prize of Rs.1000 & a letter of appreciation

We are inviting articles from all the B-schools of India. The articles can be specific to the regular sections of Markathon which includes:

Perspective: Articles related to development of latest trends in marketing arena.

Productolysis: Analysis of a product from the point of view of marketing.

Strategic Analysis: A complete analysis of the marketing strategy of any company or an event.

Apart from above, out of the box views related to marketing are also welcome. The best entry will receive a letter of appreciation and a cash prize of Rs 1000/-. The format of the file should be MS Word doc/docx.

We’re inviting photographs of interesting promotional events/advertisements/hoardings/banners etc. you might have come across in your daily life

for our new section “The 4th P”. Send your self-clicked photographs in JPEG format only.

The last date of receiving all entries is 15th August 2012. Please send your entries marked as <ARTICLE NAME>_<SENDERS’ NAMES>_<INSTITUTE> to [email protected].

specials | updates markathon | august 2012

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Page 34: Markathon-August Issue

Please send in your comments/feedback to:

[email protected]

Visit: www.iims-markathon.in

© Team Markathon, IIM Shillong