TVS Wego : Body Balance !

Brand  : Wego
Company : TVS Motors

Brand Analysis Count : # 477

TVS is on a roll these days. The company's fortune multiplied ever since it broke up with its partner Suzuki in 2001. The company made a strong comeback in the two wheeler market with TVS Victor and later created a place in the market through TVS Apache motorcycle.

In 2011, the company has entered into gear-less scooter segment with the high profile , high decibel launch of TVS Wego. Wego is a unisex scooter  with a engine capacity of 110 CC and priced around Rs 42,000. The brand directly competes with the market leader Honda Activa. TVS has already built a strong equity in the 60cc scooterette market with its market leading brand TVS Scooty.

TVS Wego is in the market at the right time. The scooter market in India is growing at a scorching pace and dominated by one big brand- Activa. A large growing market  dominated by a single player is always an attractive option . There is always a space for a second brand provided it can offer a differentiated value proposition to the customer. 

In the Indian scooter market, the competitor is Honda and it is not an easy task to offer a value proposition that beats Honda. Many players have accepted defeat in this market including the erstwhile market leader - Bajaj Auto. Hero Honda is another strong contender with its brand Pleasure which is mainly targeting the lady commuter.

TVS has created a worthy challenger to Activa by launching Wego. Going by the reviews, there is a general consensus that Wego will be accepted by the consumers. More importantly , the brand was able to find a worthwhile differentiation to fight the market leader. Wego was launched at the right time when Honda is struggling to meet the demand for Activa. The long waiting period of Activa will force many customers to look for alternatives and this offers tremendous opportunity for Wego.

Wego is well styled and adequately powered scooter and is priced along the market going rate. The brand has found a unique differentiator  and has called it Body Balance . During the Bajaj Chetak era, balance was a critical issue since the engine of Bajaj Chetak was placed on one side and caused considerable imbalance. Vespa which was the competitor of Chetak was considered to be more balanced since the spare tire was kept on the other side to balance the engine weight. 

Although modern scooters like Activa and Pleasure doesn't seem to have such an issue, the body balance focus of Wego seems to be a relevant differentiator because balance have association with stability and safety.

The website of Wego explains the body balance in a detailed manner. Unlike the other scooters, Wego has a front inclined design which gives better stability while riding. The brand chose this feature as its USP and is going all out to promote body balance as its USP.

So the opportunity is right, the product has right features and has found a reasonable differentiation and the next critical stage is to communicate the value proposition to the consumers.Wego has really disappointed in the brand communication stage.The television campaign of Wego is one of the worst ads that I have seen in recent times ( strictly personal opinion ). 

One and only best thing about the ad is that it creates a strong association between the brand and the Body Balance feature. So in that perspective, the ad does its job. But on all other counts, be it creativity, execution , the ad is totally lost. The ad can be viewed once but not worth watching second time. 

Watch the ad here : TVS Wego Body Balance

I still don't understand why that old lady is carrying a monkey doll ???

My personal opinion is that  such features are best explained using a rational theme. Here in this case, the brand has tried to use humor  and hyperbole to convey the concept of body balance and the viewer is clueless about how this body balance works in practice.The counter argument would be that a normal user will checkout the website or showroom and find about the explanation about body balance and the campaign is just to bombard the consumer with this term . So to be fair to the brand, the ad works at some level but at the cost of refinement and creative execution. 

Unlike Hero Honda Pleasure, Wego has positioned itself as a unisex scooter for modern day couples. The entire communication is targeting couples . 

Wego can offer quite a challenge to Activa. Activa is currently struggling to meet the demand and the long waiting period can cause many customers to look at Wego. Activa recently launched a print campaign assuring customers of speedy delivery once they ramp up their operations. 

The success of Wego largely will depend on the performance of the product on road. The real customer reviews and word of mouth will be the acid test for this brand. 

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Brand Update : Sprite Started Preaching Gyaan !

This summer Sprite has launched a series of campaign under the banner of University of Freshology. This heavily invested high decibel campaign is interesting because it has subtly changed the basic DNA of Sprite ( Indian context). 

Sprite belongs to the sparkling beverages segment which is having a market size of 700 million unit cases and the brand has a market share of 14% . ( Source afaqs). The brand had crafted a special place for itself by differentiating itself as a plain thirst quenching drink.

Sprite gained much traction in the market by promoting simplicity. While the other soft-drinks brand including Coke spend lot of time building hype and building castles on air, Sprite did a contra - thinking and projected itself as a drink that quenches thirst . That plain non-reverence take on the other brands made Sprite a huge hit in the market . 

Sprite was launched with a famous tagline "Bhujaye only pyas , baaki all bakwaas" ( Sprite quenches thirst while rest talk nonsense) .Over these years, the brand experimented with different taglines which were not quite successful as the first one. The brand never the less maintained its posture of a no-nonsense softdrink which was its DNA.

The recent taglines were " All taste, No Gyaan " and "Seedhi baat, no bakwaas, clear hai "

The current campaign of Sprite talks about a hypothetical " University of Freshology " . The University presided by the brand and a fictitious professor will teach youngsters to tackle difficult situations like :-

 How to ogle at girls when you are sitting with your girlfriend ?

How to handle difficult questions especially from papa or mom ? 

etc etc.

Watch the campaign here : Sprite roommate

                                          Sprite Girl friend

                                            Sprite ogling 

Even though the campaign looks quite interesting, there is nothing fresh as far as the big idea is concerned . The idea of a University is pretty stale and has been in the market before in the form of Axe Academy and Horlick's Nutrition Academy  etc. The positioning strategy of a brand posing as an expert is old fashioned strategy.

Here there are two significant changes that has happened interms of brand's positioning. The brand has moved from its core positioning as a Thirst Quencher to Freshness Provider. Thirst and Freshness, although related, are two different platforms. Thirst is a basic need while Freshness is a broader concept  ( benefit). So by shifting focus from thirst to freshness, the brand has made a  significant change in its positioning.But the current positioning has a problem. Another brand from Coca Cola stable - Limca has the positioning based on Freshness. The imagery of water splashing is shown in the commercials of Limca also.Limca has the tagline " Fresh Ho Jao " meaning " Be Fresh " . So is Sprite taking the place of Limca  ? Can two brands from the same company in the same market have same positioning ? Which is more fresh  - Limca or Sprite ? Is Limca on its way out ??? Has the company looked at the similarity in positioning of the brands in their portfolio ? 

Another significant shift is with regard to the brand personality of Sprite. All through the life, Sprite has been a ruthless critic of preaching. It had made sarcastic parodies and spoofs of brands which tried to show off or preach to customers. At one point of time, Sprite even had the tagline  "All Taste No Gyaan " means All taste No Preaching. It is saddening to see such a brand starting a university to teach some Gyaan to the consumers. This is a huge backtracking from the much publicized, much liked DNA of Sprite as a plain Thirst Quencher. The new ads of Sprite even shows the professor having a board which shows Freshology Lessons  ( Gyaan) ! What a paradox.

It is confusing why Sprite thought of such a big shift interms of the brand DNA ? The concept of a honest thirst quencher is a platform which is very strong and relevant. The scope of creative execution was also plenty. Since the brand has strongly associated with that platform, it also acted as a clear differentiator for the brand. If a consumer is asked  about Sprite, he would definitely say that its a clear drink that quenches the thirst , which is a powerful place to occupy in the consumer's mind. I feel that the brand has taken a huge risk in diluting the core positioning and altering the brand personality. The damage will be hard to repair.

Another factor which I have noticed is the audience or the TG which the brand is talking to. Sprite, in its commercials has always been male dominated. In all the campaigns except the Sania Mirza ad, main characters were male but the brand was never perceived to be a drink for men because the ladies were not shown in poor light. But in the latest two campaigns of Sprite, the brand has taken potshots on girls directly which is also a risky move for a gender- neutral product like a softdrink. There was no need to show girlfriends as jealous or boring unless the brand decides to target only male consumers. All though these issues may seem petty, its better to be careful.

The brand also has changed its tagline to " First Drink, Then Think " which may not have much relevance to the brand outside the context of the current campaign. The tagline is neither catchy nor worth remembering unlike the earlier taglines.

All those which has been discussed in this post are changes which have long-term effects. The shift in the core DNA of the brand will dilute the brand's equity which was built over the last 12 years. There is a clear sign of confusion in the brand's vision about its Manthra and Positioning. I think the brand should  First Drink and Then Think ... Clear Hai ?

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Sprite

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Honda Jazz : Why So Serious !

Brand : Honda Jazz
Company : Honda

Brand Analysis Count : # 476

Honda Jazz is an interesting marketing story. The brand, which is from world's renowned automobile company, is struggling to find its space in India's automobile market. Indian passenger vehicle market is seventh largest in the world and despite the recession, the market grew at a rate of  25.6 % in 2010. According to an estimate from ICRA, the passenger vehicle market in India is expected to touch 2.5 million units in 2011. 

The small car segment is the largest segment in the Indian passenger vehicle market with a contribution of 79% of volume sold. The small car segment is classified as A1 and A2 segments with A2 segment denoting the premium hatchback cars. The market is dominated by Maruthi , Hyundai and Tata Motors with Ford and Chevrolet gaining marketshare at a rapid place.

Honda Jazz was a much awaited small car from Honda. The brand was launched in India in 2009 quickly disappointed the consumers with its arrogant pricing. Before going into the marketing practices, a quick look at the history of the brand. Jazz had its origins way back in 2001. Jazz is the Indian version of Honda Fit which  has achieved commendable success in other markets. Everyone expected Jazz to create a new segment of premium hatchback but alas.

When Honda  announced the intention to launch a hatchback, analysts were Gung-ho  about the prospects. Main  factor behind the excitement was the huge success of Honda City which created unmatched brand equity for Honda cars. 

Honda Jazz was undoubtedly the best looking hatch on the road ( personal opinion). The car is sexy and sporty and the Honda tag ads tremendous equity on Jazz. But despite all these, the sales was lukewarm. The main reason being the arrogant pricing.

Jazz was launched at a price point of Rs 6.98- 7.33 lakhs making it one of the most expensive mini hatchbacks at that point of time. The brand was priced around 2-3 lakhs premium from the nearest comparable hatchback . 

Another significant dampener to the success of Jazz was that its price was almost near the price of the best selling Honda City. While City was 1-2 lakh more than Jazz, potential buyers could easily stretched their budget to own the best sedan in the Indian market. Jazz being a petrol car also lacked the economy factor which is a significant criterion for Indian consumers. 

Honda seemed very laid-back about this issue. The company was in an arrogant mode and displaced this issue with an attitude " if one wants to buy Jazz, let him pay this price ". And consumer opted not to pay that price. 

The company never admitted that Jazz sales were low or below expectations and maintained that they were happy at the sales figures. In my personal opinion, Jazz had the potential to be the next Swift and lost an opportunity to become one. Its ambition of creating a super-premium hatchback also was not realized because of close pricing with Honda City.

Jazz was launched with a positioning of a sporty hatch . The brand had the tagline " Why So Serious " . The brand invested very little in terms of promotions .

Watch the launch campaign  : Honda Jazz

There was nothing great in the launch campaign and the company did not do much to strengthen the positioning of Jazz as a sporty car.

Recently there was lot of activity around the brand. Honda launched a spruced up version  Jazz X with a new campaign " Bring Back the Feeling ". The campaign was clutter breaking and focused more on the feeling of exhilaration rather than rational product features.

Watch the campaign here : Jazz 

The new campaign is not going to do much for the brand. Having said that the market has matured and consumers are now open to spending more on premium hatchbacks. Lot of upmarket hatchbacks are now on road which is a good news for Jazz. But the fact that Jazz is petrol is still the Achilles heel for the brand. 

Am still confused about rationale behind the pricing of Jazz. Honda is a master marketer and why did the company chose to play down the potential of Jazz ? It is common sense to anyone looking at Indian market to observe that pricing Jazz and City in a close range can be suicidal for Jazz. 

Any ideas ??

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Dhathri : Evolution of a Corporate Brand

Corporate Brand  : Dhathri

Brand Analysis Count : #475

Kerala- the state where I belong , is famous as a consumption market with little or no manufacturing activity. The state, which is an ideal test market for most of  the consumer products, is dominated by trading & service business rather than manufacturing. Hence the number of brands that originate from Kerala is very less compared to other states.Kerala is well known for Ayurveda. The land is rich in terms of a very well organized and reputed ayurvedic treatment centers. An emerging brand in this genre is the brand Dhathri.

Dhathri Ayurveda Pvt Ltd  was started by Dr Sajikumar, a trained Ayurveda Doctor, in the early nineties. Dr Sajikumar belonged to a reputed family of Ayurvedic practitioners with a rich tradition tracing back to two centuries. Initially Dr Sajikumar's treatment centre was known as Warrier's Hospital and Pachakarma centre which later became Dhathri.

The origin of the brand Dhathri happened in 2005. Dr Sajikumar launched a hair oil under the brand name Dhathri. The hair oil quickly captured the market's attention and the brand became a blockbuster hit. The success of Dhathri hair oil prompted the company to launch a slew of products first in the hair-care segment and later in skin-care market. Interestingly the company decided to use Dhathri as the brand name for all the products across categories.

Along with the FMCG products, the company also ventured into wellness market through the launch of ayurvedic services like slimming centers under the brand Dhathri ABS clinics. Dhathri is now a Rs 250 crore company with interests in FMCG, traditional ayurvedic medicines , clinics and wellness centers.

Dhathri as a brand  is strongly associated with hair-care. The brand has followed a celebrity endorsement route towards brand building. All the launches from Dhathri is endorsed by celebrities and the consistent heavy investment in promotions has ensured that the brand had a top-of-mind recall among the consumers.The success of hair-care products prompted the brand owners to enter the skin-care segment. Dhathri extended itself by launching face-packs, skin creams and related products. Over a short period of time , the brand became an umbrella brand endorsing a plethora of products across various categories.

Watch the ads here  : Dhathri Facepack endorsed by Kavya Madhavan

                                 Dhathri hair oil endorsed by Samyukta Varma

                                 Dhathri endorsed by Usha Uthup

                                  Dheedhi shampoo endorsed by Revathi

Dhathri hair oil has positioned itself on effectiveness platform. The brand has the tagline " It really gives results " reinforces the promise of effectiveness of the product.

Later Dhathri ventured in to the shampoo and soap market with the launch of new brands - Dheedhi and Dhin. Later a toothpaste brand ( Mavila) was also launched. The company also added health-care products like Chyawanprash , diabetic supplement and a family nourisher ( Winsmart) under the Dhathri brand or endorsed by Dhathri.According to a news report, Dhathri has now 20 varieties of herbal products under its brand-line.

Along with these developments, the company adopted Dhathri as the corporate brand name and adopted the name Dhathri Ayurveda. In November 2010, Dhathri began to look at markets beyond Kerala and launched its hair care products in Tamil Nadu.

It is really good to see a regional brand spreading its wings and venturing into a highly competitive national market. But along with those good feelings comes certain thoughts on the current marketing practices of Dhathri.

There is no doubt that Dhathri has grown fast. I feel worried when brands grow fast and become too ambitious. The wide and unrelated products in the portfolio of Dhathri is a matter of concern as far as the brand is concerned. The company although has stated in their website that Dhathri is an umbrella brand , too much unrelated products will dilute the core brand.

Another important branding funda that Dhathri missed was the  core brand strategy . Dhathri has evolved from a hair-care brand to an umbrella brand but this evolution is not seen in the core brand Dhathri. When ever a brand moves from a product-focused brand to an umbrella brand, its DNA changes. The brand owners need to create a new positioning and set of brand values for the umbrella brand. The positioning and brand values of the umbrella brand should be in a  broader platform  so that the new umbrella brand can endorse a diverse set of products.

Now every product in the Dhathri brand portfolio uses the name without any common thread tying itself to the core brand. The company has left it to the consumer to create a distinct position for Dhathri which I feel is dangerous. 

Ideally Dhathri should have created a core brand strategy that should revolve around Ayurveda. The Dhathri umbrella brand should have a unique set of values and brand elements including a tagline that exemplifies its positioning. The umbrella/corporate brand should also have a set of campaigns for creating its own place and then only it should proceed to endorse other products. Each product will have their own campaign highlighting the product features and the umbrella brand will give credibility to individual products. Ideally individual products need to have a sub-brand which could later be developed as a standalone brand.
Now I think no one can answer this most important question " What is Dhathri ? " is it a soap, shampoo, hair care, skin care , food supplement or ayurvedic company that produces all these ?? As a  consumer, for me Dhathri is strongly associated with haircare products and rest of the products have secondary significance. It is important for this brand to comeout of this vague definition and project an individual powerful identity which can be used to endorse products across categories. Once that position is created rest becomes more easy.

The large number of products in the portfolio also may further create problems. The funds for brand promotion is limited and too many products will stretch the company's resources. Most of the products in the ayurvedic market are promotion driven and the growth will show as long as the brand invest in the ads. Larger the products, the thinner will be the investment for each products. This is a vicious cycle which has killed many startup brands which expanded fast riding on the success of one or two launches. 

Dhathri is aiming for a national launch and in that process may rub shoulders with powerful brands like Dabur , Himalaya etc. It is important for the brand owners to get the brand architecture correct before taking the leap.

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Brand Update : Comfort finds comfort in Madhuri Dixit

The fabric conditioner brand from HUL- Comfort has roped in the former Bollywood Diva Madhuri Dixit as the brand ambassador. The former Bollywood superstar was on a hiatus after her marriage is now on a comeback trail.

Comfort which is the niche brand from HUL was rolled out nationally in 2010 after a long period of test marketing. The brand was soft launched in some southern states as early as 2008 and it took a long time for HUL to decide national roll out. 

It is interesting to see Madhuri Dixit endorsing a product like Comfort. Interesting because she was endorsing the flagship soap brand Lux during her peak stardom days. Now she has come back on a new role of a homemaker endorsing a very small brand from HUL. 

As discussed in my earlier post on this brand, Comfort is a niche brand and the usage base is restricted to certain segments of the Rs 12700 crore Indian fabric care market. The product is priced at a premium and will be attractive to those homemakers who would like to add some extra care  to their clothes. The campaign also addresses customers in the same platform. 

The inclusion of a celebrity endorser will enhance the visibility of the brand and is expected to bring in many first-time users. Unlike the western markets, washing is not considered a chore in India. For Indian homemakers, washing clothes is a serious activity. They take pride when the clothes are meticulously clean and shining. This unique cultural trait is the opportunity that Comfort is trying to tap.

There are many factors that prevent the growth of such specialist product categories. The main reasons being inertia and price. These premium pricing coupled with the extra effort involved in using the product often make consumers postpone the patronage of such products. HUL hopes that the endorsement from Madhuri Dixit will expand the usage base for Comfort and bring in lot of new users into its fold.

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Comfort

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Sensodyne : For Sensitive Teeth

Brand : Sensodyne

Company : Glaxo Smithkline Beecham ( GSK Asia)

Brand Analysis Count : 474

In line with the strategy of bringing in global brands from its portfolio, GSK has launched its toothpaste brand Sensodyne in India. This is GSK's second foray into the Indian oral care market. Earlier the company had launched its toothpaste brand Aquafresh which was later withdrawn from the Indian market.

Sensodyne is a global leader in the premium toothpaste category ( specialist toothpastes) in various markets like USA. The brand has been around since 1960 came into GSK fold in 2001. GSK bough the brand from its original owner Block Drug Company INC.

Indian toothpaste market is worth around Rs 2750 crore and is segmented into Economy, Popular and Premium segments ( Source : Rediff). The economy segment in worth Rs 530 crores, popular segment is the largest segment with a size of Rs 1930 crores and premium segment constitutes 8% of the market with a size of Rs 260. The urban market for toothpaste is valued at around Rs 1850 crores. 

The premium segment of toothpaste market consists of products which has therapeutic benefits. The brands in this category are Colgate Sensitive, Pepsodent Sensitive, Meswak , Glister etc. These toothpastes are priced significantly higher (>30% ) than the popular segment .

Sensodyne is a toothpaste for sensitive teeth. According to media reports, around 17% of individuals in India suffer the condition of sensitive teeth. Sensitive teeth is a condition where the individual suffers sharp pain while consuming anything that is hot or cold. Since the awareness about remedy for this condition is low, most consumers avoid consuming foods that causes this pain. The fear of going to dentist and possibility of painful interventions often prompt individuals to manage the situation rather than taking remedial action. This is perhaps the most important challenge that Sensodyne faces in cracking the Indian market. 

The brand is operating in a niche. A niche is defined as a narrowly defined customer group seeking a distinctive mix of benefits. Niche is can be called as micro-segment which is small, profitable, with less number of competitors where the consumer is willing to pay a premium for the offerings. Usually niche brands commands a premium since it satisfies some distinct set of consumer needs. All these descriptions fit the category in which Sensodyne operates. The market is also expected to grow fast once the awareness sets in.

The brand is currently running a campaign in visual media with the aim of creating awareness about the condition of sensitive teeth and projects Sensodyne as the dentist's most preferred choice for this condition. Globally also Sensodyne is positioned as Dentist's choice for sensitive teeth. Along with the Above-the- Line promotions, Sensodyne is also conducting brand awareness programs among the key influencer - dentists. The brand is also conducting events called ' Chill Tests ' among consumers to spread the awareness of the condition of sensitive teeth. Sensodyne is banking on the promise that it provides relief in two weeks. 

In India Sensodyne competes with Colgate Sensitive. Colgate Sensitive has the first mover advantage over Sensodyne and has more brand visibility across channels. It will take a little while for Sensodyne to shake the position of Colgate Sensitive. 

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