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Global VillaGe Pay attention to areas. “It is said that the real India lives in the villages. All marketers, both [local] the marketing and foreign, have benefted by paying potential of attention to the marketing potential of rural India rural India,” according to the guide. “Analysis of consumer purchase data over the last several years by various FirstRand was the frst African bank research agencies has shown that rural to get a banking licence in India, with markets are growing as disposable CEO Sizwe Nxasana telling a business income and literacy levels increase, and event in February: “In India we operate television access stimulates demand,” in the bottom end of the market, in the it adds. India’s top slums, where not even the Indian banks Indeed, the infuence of media has hotels are operate.” This allowed the company to changed rural consumption patterns as on par with the best in access India’s largest market, although he households have become more brand the world admitted that “margins are paper-thin”. conscious. But poor infrastructure is a “It has forced us to look at new major problem and makes large-scale ways of making money in a low margin product distribution to the countryside was from South Africa, they just wanted environment and come up with ideas and tricky. Even though the country has the to discuss cricket, cricket and more There are over innovations,” Nxasana said. An example largest density of retail outlets in the cricket,” he recalls. 240-million was the creation of low-cost and robust world, most of these stores are small ATMs manufactured with an Indian and unorganised. Reaching the market Internet users partner, which helped reduce the bank’s Nevertheless, retail standards are Cunningham and Lotter both noticed cost structure, he told the audience. growing as more formal malls are built. the proliferation of advertising in India. Several SA pharmaceutical companies, “Malls are going up in all the big cities, “There’s loads of advertising, ranging 2011 census literacy is around 73% including Cipla and Dr Reddy’s but in smaller towns regular corner from excellent to very poor, and it tends and expected to improve, which means Laboratories, are involved in joint family-owned stores are still the order to be less subtle than in South Africa. there is huge potential for newspapers ventures with Indian counterparts. of the day and informal markets are All the major brands are available,” to expand their readership, particularly Sasha Lotter*, who works in the also prevalent,” says Lotter. She says Lotter says. in vernacular languages, Deloitte says. pharmaceutical industry and travels she was amazed at the opulence of the Many of the global advertising At the same time, Internet use is between SA and India, has found doing malls and hotels. “They are beautiful agencies have offces in the country, growing. Digital advertising grew in business there professional. “Indians are and frst-world standard.” including JWT, Leo Burnett, McCann- revenue by 41% in 2012 compared to often amused when they hear that South The US Commercial guide warns that Erickson, WPP and Lowe & Partners. 7,3% growth in the print industry. “It is Africans regard India as a poor country,” marketers should be wary of thinking They feed into the sophisticated and expected to grow further on the back she says. India’s growing middle class wants extensive radio and TV network that of a rising Internet user base in India, But Lotter does fnd it more the same products as middle class has more than 700 television channels. which is slated to become world’s hierarchical than SA. “There are strong markets in the Western world. “Even While public television reaches around second largest by June 2014 with hierarchical structures and deference or among the affuent middle class, much 400-million viewers, there is also a 243-million users,” Deloitte says. unquestioned obedience to leaders is of their money is spent on need-based large and increasing number of private Social media site Facebook is hugely expected. Excessive critical questioning consumption rather than on luxury television stations. popular, with 71-million monthly active from anybody, including foreigners, is goods,” the guide says, adding that When it comes to newspapers, a BBC users in India at the end of 2012, an often frowned upon,” she says. marketers should never underestimate Country Report notes: “India’s press is increase of 54% year-on-year. Twitter the capability and competitiveness of lively. Driven by a growing middle class, is also growing in popularity, while The market the local competition. newspaper circulation has risen and new smartphone use is surging ahead. High levels of urbanisation provide The guide recommends English as titles compete with established dailies.” As parting advice, marketers should a potentially attractive market. A US the favoured language for labelling A Deloitte report entitled ‘Technology, never forget that India is cricket-mad, India’s enormous Commercial guide to India, however, products. John Cunningham, director of Media & Telecommunications India: says Deloitte, and anything related to population of 1,2-billion points out that although the bulk of Sevens furniture group, who attended Predictions 2014’ fnds that the average the sport is sure to be a winner. and free-market economy presents many potential the purchasing power appears to be a roadshow in Delhi last year, found penetration of newspapers is low – business opportunities concentrated in its urban markets, the English usage commonplace. “Everyone about 15% – although it is as much as *Not her real name as she is not majority of the population lives in rural spoke English and when they found out I 70% in urban areas. 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