Sunday, October 9, 2011
Anna Hazare - A great example of using Social Media to get scale!!!
Firstly - I am not writing here to show my support or otherwise towards Anna Hazare and his campaign against corruption....
I see the whole thing as a brilliant execution of an idea through social media - esp. when you see MNC's and other large corporations struggling with one Facebook page - one campaign on youtube a little bit of mobile and so on - Off the hand I cant recall a brand that I find visible at all Social touch points as a consumer....
But Anna - OMG he was everywhere during the time of the campaign - Facebook - pages, communities, Orkut, Youtube, Linkedin, Twitter, IVRS, email address, mobile app - I even came across a game designed on the same line as Angry Birds called Angry Anna!!!
But before getting into the whole way in which the Social Media was deployed - I would like to spend some time on why Social Media was used...even while the campaign was crazily publicized over TV, Newspaper and other free sources....
Couple of reasons that I believe made it amenable to social media and hence the success
1. A great Idea - Very Relevant to the TG - the idea of a movement against corruption - something that every Indian suffers from everyday yet is living with it as he/she is not sure what can be done about it! Everyone is living with it because they know they alone cannot change the system and here comes Team Anna and the India against Corruption! The consumer gets exactly what it wanted and wants to help and participate....
2. Campaign ability of the Idea - Getting the Consumer Participation - If this idea were not scaled up - this would have been another piece of NEWS to the janta who was anyway used to getting this sort of news every other day... But Team Anna gave an option to participate and support... I came across a page for e.g. that said - Support Team Anna in 10 ways - putting down some of the interesting ones : -
Follow ‘Janlokpal’ & Kiran Bedi on Twitter:
Join Anna Hazare on Facebook:
Join http://www.facebook.com/annahazare or https://www.facebook.com/IndiACor)
Other than the above 3 - I am sure there are a billion other reasons why the whole Anna bit could have worked but below is a great image I found that gave the campaign the scale that it got...
Below is the scene of Social Media in India....
Well the data in the above image is enough to open the eyes of the big brands to the power of social media.. while I have seen a couple of brands use a bit of it here and there in an attempt to be present for the sake of being present... the success of the Anna Hazare campaign should make all of us marketers respect the birth of the new medium to not just CONNECT but ENGAGE with the consumer!!!!
Will be sure back with more on social media!!!
Saturday, September 17, 2011
The Unorganised Markets in India - The True Market Creators!
The unorganized market is a very special market
feature in the Indian context. There are several categories where we have MNC’s
and Indian companies battling out for that 1 percent additional market share in
their respective categories… Many knowingly/unknowingly ignore that their
measure of the category size is reduced to a drop in the ocean once we add the
unorganized market figures to the category numbers…
Some categories where I feel the unorganized players are mighty
strong are beverages, snacks, candies, pickles etc in foods to Agarbattis,
floor cleaners (phenyl) etc… It is amazing how these unorganized players
operate and their size… In beverages – Fruit based drinks particularly – the
unorganized market is 10X the organized category size!!!
Some interesting
characteristics of this unorganized market that I believe helps them thrive
despite the presence of MNC’s with big bucks are listed:
1. They are very very
localized companies – thereby – they have advantages in terms of major savings
on logistics cost plus they are able to more frequently service markets with
fresher products (this model especially works brilliantly for low shelf life
products – e.g. Badam Milk down South)a. The bottle water business particularly
the bubble top business is thriving due to these extremely localized players!
2.
They do not care much for investment in branding/visibility/ etc… they heavily
discount trade and ensure that they keep their primary customer the happiest –
the Retailer… Hence these brands are generally push brands where the consumer
generally is OK with what the retailer gives – more so in captive outletsa.
Selling of local brands of Fruit Based Drinks like Sparta, Dailee in captive
outlets like Railways/Bus Stands etc. is an example
3. They have unions within
themselves which lay down clear ground rules and territories of operation so
that everyone can get a piece of the market opportunity cake a. The local
Bubble Top water dispenser provider is a case in point. They operate very very
specific to certain localities and do not disturb other markets! And just a
point they have very high service levels compared to your branded
counterpart!
4. They are able to offer local tastes, flavours, traditions in the
most authentic format… You can expect a Jeera soda / Jaljira / Aam Panna from
an XYZ brand but not so much from a Coke…
Friday, August 5, 2011
The 22 Immutable laws of Marketing - Immutable and debatable
Al Ries is one of my favorite authors... The first book I read during my MBA days was the 22 immutable laws of marketing... I loved marketing and I started loving it more... the simple book makes you start thinking for sure - you may agree/disagree with the author on some points/views - but who said marketing was only objective... In the time that I have spent with my fellow colleagues working on different brands - one thing I have realized is there is no universal agreement or disagreement on creative output.... there is no "one way or right way" of doing things.. There is my way or somebody else's way - and the route that clicks is the right way even though it might logically not be the best way...
I am sure i have managed to confuse all of you.. but that was exactly the point...Its marketing after all - to me it’s more art than science....say 60-40 types....
However for all those who have not read the book - here are the rules - like it or not - agree or disagree.... they make u think and once u start thinking - the book i think has succeeded at some level :)
1) The law of leadership – It is better to be first than it is to be better – marketing is the battle of perception, not products.
Example - we all remember who first flew over Atlantic or who the first man on the moon was but almost no-one knows who the second was.
Heineken was the first imported beer in USA and still is No. 1 imported beer. Same is the case for Miller Lite which was the first domestic light beer.
2) The law of the category – Promote the category. If you can’t be first in a category just create your own new category.
Example - If there's dominant player in imported beer, one can become the first to import light beer. If one can't be the first to fly over Atlantic, one can still be the first woman to fly over Atlantic.
3) The law of the mind – Modifies the law of leadership. Being first in the mind is most important when possible.
Example - Apple got off the ground with very little money. They had a simple, easy to remember name and a focused, creative ad plan.
4) The law of perception – It’s not a battle of products. Do not focus on the facts, “the truth” and the features. This is all good, but marketers need to sell the product around what people want and perceive. Your name, slogan, image, message, etc. all need to factor into this.
Example - Honda is a leading Japanese car manufacturer in US but only third in Japan (after Toyota and Nissan). If the quality of the car was the most important thing it should have the same position in all markets. In Japan, however, people perceive Honda as a manufacturer of motorcycles. Therefore what's important is that marketing should be focused on changing the perception.
5) The law of focus – Own a word in the mind of your prospect. Simpler words or concepts are the best. If you’re not first or a current leader, you need to reduce the scope of your operations and focus. Protect your word and continue to brand and focus on the law of the mind. Focus on a single, powerful word if possible.
Example - IBM owns "computer". FedEx owns "overnight". You can't take somebody else's word
6) The law of exclusivity – It’s hard for two competing companies to own the same word in the mind of the consumer.
Example Burger King tried to own word "fast" which was already owned by McDonald; and failed miserably. FedEx tried to take over "worldwide" from DHL.
7) The law of the ladder - Trying to get into the mind first is best but there are strategies to use to play off your competitors if you’re behind. Sometimes it’s better to be 3rd on a big ladder than first on a small ladder.
Example - Avis was No. 2 in car rental and when they advertised as "finest in rent-a-cars" they had losses because their marketing wasn't credible (you can't be "finest" being No. 2). That had profit when they switched to "Avis is only No. 2 in rent-a-cars. So why go with us? We try harder". Then they had another disastrous campaign when they started claiming "Avis is going to be No. 1".
8) The law of duality – In the long run, every market becomes a two-horse race.
Example - McDonald & Burger King. Coca-Cola & Pepsi. Nike & Reebok. Crest & Colgate.
9) The law of the opposite – Wherever the leader is strong, there is an opportunity. Turn the strength into the weakness. Don’t try to be better, be different. There are people that want to buy from the leader and there are people that absolutely don’t want to buy from the leader. Don't try to be better than the leader, try to be different.
Example - Pepsi marketed itself as a "choice for the new generation" when faced with Coca-cola's "old and established" brand.
10) The law of division – The market is an ever dividing sea of categories. Over time a category will divide and become two or more categories. Companies often don't understand that and instead think that categories are combining, believe in synergy. Leader can maintain dominance by addressing emerging categories with new brand names instead of using brand name successful in one category in a new category.
Example - Computers started as a single category but broke up into mainframes, workstations, personal computers, laptops etc.
Cars started as a single category but divided into luxury cars, sport cars, RVs, minivans etc.
11) The law of perspective – Most of time what works in the short term usually doesn’t work in the long term. It's a mistake to sacrifice long-term planning with actions to improve short-term balance sheet. Instant results might give you trouble years down the road. Focus on your core goals.
Example - Sales increase short-term profits but in long-term educates people not to buy for regular price, therefore decreasing long-term profits.
12) The law of line extension – Do not spread yourself too thin and try to be everything for everybody. Development, marketing budget, support, staff, perception, are all affected. Be strong somewhere instead of weak everywhere. Less is more. Narrow your focus.
13) The law of sacrifice –
a. Rule 1 – Minimize product line (don’t be a dept. store without focus)
b. Rule 2 – Limit your target market
c. Rule 3 – Be consistent. Have a brilliant narrow position and stick with it. DO NOT become all things to all people.
14) The law of attributes – Do not emulate the leader. Play off against the leader and offer something similar but opposite to differentiate. For every attribute, there is an opposite, effective attribute. You can own the same word as the competition. You have to find another word to own, another attribute. It doesn’t even have to be different, just a needed niche.
Example - With a name like Smucker’s it has to be good, We’re smaller and younger but more focused on you, Listerine tastes bad but something so strong has to kill a lot of germs.
15) The law of candor – Consider being honest and admit a negative but twist it into a positive.
Example - When you admit a negative, the prospect will give you a positive. Candor is disarming. It's ok to admit, as Avis did, that "Avis is only No. 2 in rent-a-cars".
16) The law of singularity – Focus on several good marketing avenues. Don’t dabble a little in everything. Trying harder does not get you to success. Make a single bold stroke that is least expected by the competition. Find out where the competitor is vulnerable.
17) The law of unpredictability – Do not assume the future. Unless you write your competitors' plans, you can't predict them. You don't know the future, you don't know what your competition will do so you have to build your company and marketing strategies to be flexible, to be able to quickly respond to changing situation.
18) The law of success – Success often leads to arrogance, and arrogance to failure. Lose your ego and be more objective. DO NOT substitute your own judgment for what the market truly wants. Do not blind yourself by success, focus. Always think like a prospect thinks and try to base that on trends and real data. Don’t try to read your prospects mind. Do not oppose your view of the world on the customer. Never lose touch with the front lines.
19) The law of failure – Do not try to fix things. Failure is to be expected and accepted. Drop things that don't work instead of trying to fix them. Don't punish for failures (if you do people will stop taking risks). Recognize a failure early and change fast. The ready, fire, aim approach – try new ideas but nobody succeeds every time. Reward new ideas and the resulting success. Do not be afraid to take risks.
20) The law of hype – When your company needs “the hype” it usually means you’re in trouble or your plan is not strong or failing. New products that are going to “revolutionize the industry” are popular candidates for hype. Real revolutions don’t come down main street with a marching band – they sneak up on your in the middle of the night.
21) The law of acceleration – Do not focus on fads. Focus on trends. Successful programs are not built on fads but on trends.
22) The law of resources – Even the best idea in the world will not go far without proper funding. Ideas without money are worthless. Without adequate funding an idea won't get off the ground. You need a lot of money to market your ideas.
Friday, November 12, 2010
Saturday, June 19, 2010
Blind Product Test VS Triad/Triangle Test - 2 interseting research tools!
We have all heard of Blind Product Testing - A method of research in which people in a sample are asked to test various products that are not identified by brand name - example - Brands X, Y, and Z. Products are tested in this manner so that respondents will be more likely to answer questions without bias or partiality toward the product because of its name or reputation, or because of previous experience with it.
In a Blind Product test we are testing a product offered by different companies under different brand names and trying to find out which one is superior. Brands can play an intriguing role on the human psyche - a detergent powder under an established brand like Ariel might seem exceedingly superior to a consumer when compared to the same detergent powder packed under the name of some unfamiliar XYZ brand. Blind Product test tries to eliminate the overpowering effect of brands on consumer judgment. It is a test to find out which product is superior when tested in blind form (i.e. with the brand names removed).
Blind product testing is a superior tool for benchmarking with competition and ensuring that while the brand is doing its job of creating an imagery in the consumers mind - the underlying product delivers the brand promise....Often good brands alone are not enough to delight todays evolved consumer needs. If the product does not deliver the promise of the brand the consumer may never try the brand again....The customer is lost. In today's competitive scenario where generating consumer trials and customer retention is very expensive - companies should continuously aim at benchmarking through simple research tools like Blind Product testing!
While Blind Product Testing aims at identifying the superior sample from amongst competitive samples in blind form - Triad Test works a little differently. Every company works for profits!!! Reduction in the cost of the product without effecting the quality of the same is a challenge that all brand custodians face on a continuous basis... Triad Test is a simple test that is conducted between 2 product samples say A and B.... The 2 products are absolutely the same except that B has some tweakings in the formulations which makes it a little cost effective. Now it is important that the consumer cannot spot the difference in the quality of the product due to the cost saving initiatives... Triad Test is used here to see whether the consumer can actually spot the difference between the current product A and the cost reduced product B. In other words it is used to answer the question - Does a sensory difference exist between samples?
ATriad test is a type of Difference test to determine if there is a sensory difference between two products. For example, a researcher may want to see if changing one ingredient in a recipe to make a certain food product will affect the taste of the final product.
Mechanics of Conducting a Triad Test
Three coded samples are presented to each panelist, and each panelist is asked to pick out which sample they feel is different from the other two. There are also sensory tests which panelists have to be trained to detect taste thresholds (such as determining the concentration of a flavor which can be identified by the panelist when introduced into a food product) or to have trained panelists describe certain characteristics that researchers are interested in studying. Sensory tests have to be conducted under controlled conditions to reduce bias (prejudice or influence) on how panelists view the product(s). The sensory room has to be free from distractions (sound, odors) to not influence peoples’ decisions of the product. Sensory testing laboratories are able to adjust the lighting, air regulation, and individual booths according to the needs of each sensory test that is conducted. Samples also have to be presented in a random order and assigned product codes, such as threedigit sample numbers, to keep food products anonymous to further reduce influencing the panelists’ decision. The sensory test measures if any differences detected are truly significant by analyzing the sensory data for statistical significance. After statistical
analysis, the researchers can make a meaningful interpretation from the results of the sensory data.
Activity Example for a brand of Fruit Drink (Current brand of Maa mango juice and one with reduced sugar content)
Start of the test by mentioning to the panelists they will be participating in a Triangle sensory test. Panelists can voluntarily participate, but should not be forced to participate because all sensory tests that include human subjects must be conducted on a voluntary basis. Explain to panelists if they participate, sensory panelists have to remain silent during the taste test and cannot share answers with their neighbors. Explain that there will be a discussion after the test
to share answers later. Mention to panelists that they will be given three Tetrapaks of Mango Juice, and that they should taste the juices from left to right. They should take a sip of water between each sample. The object of the test is to mark which of the juices is different from the other two. Only one pack of juice of the three should be marked as being different to them. If
panelists have difficulty deciding, mention to them that it is acceptable if they want to go back and forth and re-taste samples to determine the different juice sample. They may have to re-taste samples, so explain they may not want to drink juice little at a time. If they cannot tell which juice pack is different, tell them to guess. Use the provided sensory ballot as a guide if
needed. Half the panelists receive two low-sugar packs of Maa juice, with the regular Maa juice as the different sample, and the other half of the panelists receive two regular Maa Mango juice packs and one with low--sugar pack. Pass out sensory ballots, labeled packs of Maa Mango Juice and water. Allow the panelists to begin the sensory test. Enforce the quiet rule during the sensory test. After the panelists have finished the test, collect sensory ballots. After the ballots are collected, explain the hypothesis of the sensory test.
The stated scientific question is: Can the panelists detect the difference between low and regular sugar packs of Maa juice. Hypothesis testing and introducing the scientific method could be used in this lesson. For example,
H1: Panelists cannot tell a difference between low-sugar and original Maa Mango
H2:Panelists can tell a difference between low-sugar and original Maa Mango
Tally sensory ballots to determine the number of correct and non-correct responses. There is a
statistical table (T8, pg. 369 of Meilgaard et al.,1999) that can be used to determine if the total
number of correct responses for the total number of students that participated were statistically significant with a set at 0.05 and n=to the total number of participating students. There is a 1 out of 3 chance that the correct (different) cookie will be picked just by chance (guessing). After determining final results, interpret the findings back to the students. The class was able (or not able) to detect a statistically significant difference between low-sugar and original Maa mango.
Statistically significant means that the results fall below a set “confidence” level, which is usually at 95%. The researcher can be 95% confident that there truly was (or was not) a detectable
difference among the students in the class.
Sensory tests can provide companies with valuable information such as the acceptability of a new juice. If the sensory test results are promising, the company may find it worthwhile to produce the low sugar juice. If a company produced juices and then sold them without conducting sensory tests, they could potentially be taking a large risk and lose a lot of money producing a food product that will not sell.
Coding the Samples
Following can be the code sheet for the researchers reference. You have 2 samples A and B which are given to respondents as XYZ, DEF and so on. While marking on the packs ensure that X is marked on A, Y is marked on A and Z is marked on B sample.
Also we need to ensure that all the 6 variations of giving samples are given to equal number of respondents... Minimum 30 respondents should be given samples.
Questionnaire Format -
There will be 6 sets of questionnaire - sample of 1 set is as below:
In a Blind Product test we are testing a product offered by different companies under different brand names and trying to find out which one is superior. Brands can play an intriguing role on the human psyche - a detergent powder under an established brand like Ariel might seem exceedingly superior to a consumer when compared to the same detergent powder packed under the name of some unfamiliar XYZ brand. Blind Product test tries to eliminate the overpowering effect of brands on consumer judgment. It is a test to find out which product is superior when tested in blind form (i.e. with the brand names removed).
Blind product testing is a superior tool for benchmarking with competition and ensuring that while the brand is doing its job of creating an imagery in the consumers mind - the underlying product delivers the brand promise....Often good brands alone are not enough to delight todays evolved consumer needs. If the product does not deliver the promise of the brand the consumer may never try the brand again....The customer is lost. In today's competitive scenario where generating consumer trials and customer retention is very expensive - companies should continuously aim at benchmarking through simple research tools like Blind Product testing!
While Blind Product Testing aims at identifying the superior sample from amongst competitive samples in blind form - Triad Test works a little differently. Every company works for profits!!! Reduction in the cost of the product without effecting the quality of the same is a challenge that all brand custodians face on a continuous basis... Triad Test is a simple test that is conducted between 2 product samples say A and B.... The 2 products are absolutely the same except that B has some tweakings in the formulations which makes it a little cost effective. Now it is important that the consumer cannot spot the difference in the quality of the product due to the cost saving initiatives... Triad Test is used here to see whether the consumer can actually spot the difference between the current product A and the cost reduced product B. In other words it is used to answer the question - Does a sensory difference exist between samples?
ATriad test is a type of Difference test to determine if there is a sensory difference between two products. For example, a researcher may want to see if changing one ingredient in a recipe to make a certain food product will affect the taste of the final product.
Mechanics of Conducting a Triad Test
Three coded samples are presented to each panelist, and each panelist is asked to pick out which sample they feel is different from the other two. There are also sensory tests which panelists have to be trained to detect taste thresholds (such as determining the concentration of a flavor which can be identified by the panelist when introduced into a food product) or to have trained panelists describe certain characteristics that researchers are interested in studying. Sensory tests have to be conducted under controlled conditions to reduce bias (prejudice or influence) on how panelists view the product(s). The sensory room has to be free from distractions (sound, odors) to not influence peoples’ decisions of the product. Sensory testing laboratories are able to adjust the lighting, air regulation, and individual booths according to the needs of each sensory test that is conducted. Samples also have to be presented in a random order and assigned product codes, such as threedigit sample numbers, to keep food products anonymous to further reduce influencing the panelists’ decision. The sensory test measures if any differences detected are truly significant by analyzing the sensory data for statistical significance. After statistical
analysis, the researchers can make a meaningful interpretation from the results of the sensory data.
Activity Example for a brand of Fruit Drink (Current brand of Maa mango juice and one with reduced sugar content)
Start of the test by mentioning to the panelists they will be participating in a Triangle sensory test. Panelists can voluntarily participate, but should not be forced to participate because all sensory tests that include human subjects must be conducted on a voluntary basis. Explain to panelists if they participate, sensory panelists have to remain silent during the taste test and cannot share answers with their neighbors. Explain that there will be a discussion after the test
to share answers later. Mention to panelists that they will be given three Tetrapaks of Mango Juice, and that they should taste the juices from left to right. They should take a sip of water between each sample. The object of the test is to mark which of the juices is different from the other two. Only one pack of juice of the three should be marked as being different to them. If
panelists have difficulty deciding, mention to them that it is acceptable if they want to go back and forth and re-taste samples to determine the different juice sample. They may have to re-taste samples, so explain they may not want to drink juice little at a time. If they cannot tell which juice pack is different, tell them to guess. Use the provided sensory ballot as a guide if
needed. Half the panelists receive two low-sugar packs of Maa juice, with the regular Maa juice as the different sample, and the other half of the panelists receive two regular Maa Mango juice packs and one with low--sugar pack. Pass out sensory ballots, labeled packs of Maa Mango Juice and water. Allow the panelists to begin the sensory test. Enforce the quiet rule during the sensory test. After the panelists have finished the test, collect sensory ballots. After the ballots are collected, explain the hypothesis of the sensory test.
The stated scientific question is: Can the panelists detect the difference between low and regular sugar packs of Maa juice. Hypothesis testing and introducing the scientific method could be used in this lesson. For example,
H1: Panelists cannot tell a difference between low-sugar and original Maa Mango
H2:Panelists can tell a difference between low-sugar and original Maa Mango
Tally sensory ballots to determine the number of correct and non-correct responses. There is a
statistical table (T8, pg. 369 of Meilgaard et al.,1999) that can be used to determine if the total
number of correct responses for the total number of students that participated were statistically significant with a set at 0.05 and n=to the total number of participating students. There is a 1 out of 3 chance that the correct (different) cookie will be picked just by chance (guessing). After determining final results, interpret the findings back to the students. The class was able (or not able) to detect a statistically significant difference between low-sugar and original Maa mango.
Statistically significant means that the results fall below a set “confidence” level, which is usually at 95%. The researcher can be 95% confident that there truly was (or was not) a detectable
difference among the students in the class.
Sensory tests can provide companies with valuable information such as the acceptability of a new juice. If the sensory test results are promising, the company may find it worthwhile to produce the low sugar juice. If a company produced juices and then sold them without conducting sensory tests, they could potentially be taking a large risk and lose a lot of money producing a food product that will not sell.
Coding the Samples
Following can be the code sheet for the researchers reference. You have 2 samples A and B which are given to respondents as XYZ, DEF and so on. While marking on the packs ensure that X is marked on A, Y is marked on A and Z is marked on B sample.
Also we need to ensure that all the 6 variations of giving samples are given to equal number of respondents... Minimum 30 respondents should be given samples.
| AAB | XYZ | B Is different |
| ABA | DEF | B Is different |
| BAA | GHI | B Is different |
| BBA | JKL | A Is different |
| BAB | MNO | A Is different |
| ABB | PQR | A Is different |
Questionnaire Format -
There will be 6 sets of questionnaire - sample of 1 set is as below:
Internal Research study for Fruit Juice
SET 1
Please take a drink of water before testing Fruit Juice Sample. Drink Fruit Juice samples from left to right, and please take a sip of water between samples.
Place an “X” under the sample which is different than the others.
_____ _____ _____
Comments if any:
Triangle test if conducted in the manner suggested can be very useful in taking critical decisions and avoiding big losses by basing decisions on mere judgments!
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