Description
This PPT is about Bollywood actor Amitabh Bachchan is analysed as a brand in terms of PLC, SWOT, value proposition, brand essence in context with the Dalda ghee / oil brand.
Revival
Product Life Cycle
Understanding AB & Dalda Brand Life Cycles
Amitabh Bachchan • Arguably India's greatest ever superstar • Was named Actor of the Millennium in a BBC News Poll ahead of such luminaries as Charlie Chaplin, Sir Lawrence Olivier, and Marlon Brando • The name itself conjures up a larger-than-life image, which has become immortalized with the passage of time • The trademark deep baritone voice, the tall, brooding persona, and intense eyes • Stands for trust, credibility, status, grandeur
Dalda • The heritage brand of India that has always promised good food by retaining its original flavour • Has always stood for the quality & trust • Integral part of Indian Kitchens for years
Amitabh Bachchan
The Brand !!!
Introduction :
? The eldest son of Harivanshrai Bachchan born on 1942, a well known contemporary poet, and Teji Bachchan.
? Completed his school education from Uttar Pradesh - Sherwood College, Nainital.
? Earned an Arts degree from Delhi University. ? Began his professional career as a middle-level executive with a British firm in the east Indian city of Kolkata. ? Moved to Mumbai in 1968 for entering into the Film Industry.
Rise of the Brand in Bollywood…
? He made his debut in 1969 with the film 'Saat Hindustani„ followed by 'Parwaana (1971)', 'Reshma Aur Shera (1971)', 'Bansi Birju (1972)', 'Sanjog (1972)', 'Namak Haram (1973)', 'Saudagar (1973)', etc. which did not fare well. ? His first big hit came in 1973 with Prakash Mehra-directed 'Zanjeer', written by Salim-Javed. ? Portrayed as an image of “The Angry Young Man”. A new form of style for the society. ? His tall and dark looks gave a new kind of action hero to the people. ? Represented as a person who kept fighting with the Social System to get justice. (Eg. Deewar, Trishul & Lawaaris.)
The Fall of Brand – Amitabh Bachchan.
? “The Angry Young Man” concept of the Brand was out dated after a certain period. ? Taking Advantage of his own popularity, he entered into politics to gain more fame. ? This move backfired as he was dragged into the political corruption controversies along with the U.K based Hinduja Brothers. ? Instead of fighting against corruption, the Brand AB himself became a part of it.
? ABCL – This was the production house which initiated its hype in the market with the ill-fated Miss World Pageant.
? It also produced some films like Mani Ratnam's 'Bombay' and Shekhar Kapoor's 'Bandit Queen'.
Rising Again with Repositioning the Brand…
? In the Year 2000, “Kaun Banega Crorepati” (KBC) was one of the major break of his career after the down fall. ? He was branded as people?s messiah for helping people in earning money based on their knowledge. ? His communication skills (which included his “sayings”, “poems” etc.) made him to the best job in a more better way. His voice was his USP thereafter.
? “The Angry Young Man” was now the “People?s Man” who guided people to achieve money.
? The next step towards his success were films like 'Kabhi Khushi Kabhie Gham (2001)', 'Mohabbatein (2000)', 'Khakee (2004)', 'Black (2005)', etc.
? NRI Market entering the Local Market with advancement in technology. Giving emotions & feelings a back seat. ? Movies produced with young co-stars like Shahrukh Khan, Salman Khan, Hrithik Roshan etc. ? Individual On-Screen identity faded away due to subordinate actors. ? The IT Industry which is emerging with technological advancements is also partially responsible for the Brand to fade away.
Threats to the Brand..
-- BPL – Believe in the Best campaign in 1995. -- Television & KBC. -- People associated the struggle and success in their personal life with Brand AB -- Ability to connect with the audience first hand (in person) resulted in developing a mass appeal. -- KBC re – positioned Brand AB from a “ Fighter / Aspiring Achiever “ to a “ Achiever” category -- Film – makers encashed on this popularity and offered him different roles -- Image of a „ Father Figure „ / Credibility. -- Brand AB became Big B.
Keeping up with the times …
-- Leather jackets in KBC-2 -- Wide array of Commercials targeting every section of the society -- Playing roles which will help connect with the younger audiences. -- Displays social responsibility as he refuses to endorse alcohol , tobacco and gutka brands. Did not renew his contract with Pepsi after the pesticide controversy, polio awareness campaign. -- Association with IIFA Awards -- Brand Amitabh has now existed for over 35 years now and become a Mega Brand -- Has a awareness levels of 90 + among the people. Evolved from Cinema to television to Internet
Caution !
-- Over – exposure of Brand AB -- Concerns about the dilution of the brand. -- Emphasis of companies on younger brand ambassadors focusing on the youth of the country.
Strengths
– – – – Unconventional face, tall dark lean persona, trademark voice Developed instantly into a HIT Brand in 70?s Strong value driven characterization portrayed Gained empathy due to the AAM ADMI character who fights for his rights
Weakness
– – – Image became uncontrollable Brand Over Powered the Category Self Appointed Brand Managers / Leaders misread the Brand ( Constructed AB Type Films in piece meal fashion ) Brand Lost Context to the Category No Brand Manager
– –
Opportunity
– –
–
Threat
–
– –
Converted Weakness into Opportunities Leverage on the Nostalgic consumers’ trust to launch the BRAND in the new context Brand is capable of evolving into variety of contexts
Continuously changing times Sustainability Competition
SWOT – AB Brand
Strengths ? Talented artist ? Ability to connect with the audience ? Ability to add grandeur to films / events ? Brand?s superstar status ? Crowd puller Opportunities ? Cashing in on the superstar status ? Allowing the brand to represent more than one segment ? Explore newer avenues which are in line with the brand image and stature Weaknesses ? Labelled as a stereotype “Angry Young man” ? Did not have a brand manager ? Inability to adapt to newer contexts fast ? People?s perception of the AB Brand Threats ? Constantly changing viewer preferences ? Other contexts becoming more relevant
Tracing the AB Brand
• 1970s
– Central theme of AB films – Vijay: The angry young man fighting society for his rights – Hugely successful in films centered on an idea relevant to the times – Increase in the perceived value of Brand AB in the minds of consumer
•
1980s
– On-screen personality of AB started competing with Brand AB – The brand outgrew it?s category – Context changed with time and category lost value resulting in decline of AB Brand
•
•
1990s
– AB brand almost vanished from the market – Brand AB lost its credentials by not able to deliver what was expected
Today
– Brands superstar status still has high recall – With KBC, strengths of AB Brand used to suit consumer preferences – Brand AB recaptured it?s lost glory
“Amitabh Bachchan” - 70’s
Segment:
Hindi Movies
Target:
Youth next door
Positioning:
A humiliated, abandoned youth who fights back to be accepted in the society
Differentiation:
Excellent Personality, voice, acting
AB Brand – Product Concept
• Product 1: AB films • Product Concept 1: Entertainment for family • Product 2: KBC • Product Concept 2: Fun, entertainment and making some money • Product 3: Advertising • Product Concept 3: Helping the brand with a high recall
PRODUCT LIFE CYCLE.
-- Product life cycle implies the different stages that a product goes right from its inception to its final decline or removal from product line. It encompasses 4 things : 1). Products have limited life 2). Product sales pass through distinct stages each posing different challenges, opportunities and problems to seller. 3). Profits rise and fall during different stages of product life cycle. 4). Products require different marketing, financial, manufacturing, purchasing and human resource strategies in each life cycle stages. -- Typically a product life cycle passes through below mentioned 4 stages : 1) Introduction = Period of slow sales growth as product is introduced in market. Profit are non existent because of heavy expenses of product introduction. 2). Growth = Period of rapid market acceptance and substantial profit improvement. 3). Maturity = Slowdown in sales growth because product has achieved acceptance by most potential buyers. Profits stabilize or decline because of increased competition. 4). Decline = Sales show downward drift and profit erodes.
Amitabh Bachchan
Deewar, Trishul, Sholay, Shakti
Brand
Zanjeer
Mard, Coolie, Toofan, Jaadugar KBC Mrityudaata, Lal BaadShah
Kaante, Sarkar...
Anand, Namak Halal, Bombay to Goa Time
SWOT – Dalda Brand
Strengths ? First mover advantage ? Brand has very high recall ? Popular among middle class due to economy ? Consumers affinity with people in their 50s ? Good taste Opportunities ? Tapping the market with healthier alternatives ? Bring out economical options to cater to the price sensitive market Weaknesses ? Dalda has become synonymous with vanaspati category ? Unhealthy ? Brand failed to evolve with changing customer preferences
Threats ? Healthier alternatives to vanaspati and cooking oil ? Changing consumer preferences
Learnings from AB & Dalda Brand Life Cycles
Gave up his job in Kolkata & came to Mumbai to make it big in films Made his film debut in 1969 & won his 1st National Film Award for Best Newcomer
In the early 1930’s Hindustan Vanaspati Manufacturing Co established a factory at Sewri. In 1937, the Dalda brand was established to sell Vanaspati
Development
Introduction
Growth
Maturity
Saturation Decline
“Timing and conducive attributes to the existing environment & perceptions” – critical to any brand to emerge out of its womb
PLC – is The time from first till last customer order for a product.
Sales and Profits ($) Sales
Profits Time Product Development Losses/ Investments ($) Introduction Growth Maturity Decline
Drawing parallels
Brand Created Brand equity peaked Brand outgrew category
High
Successful transition by the brand by cashing in on the brand’s superstar status
Low 1960s 1970s
AB Brand
Brand Equity
1980s
Dalda Brand
1990s
2000s
Product Life Cycle of Brand AB
Introduction : -- „Zanjeer? gave the “angry-young man identity” to AB. -- The image reflected the socio - political environment existing at that time Growth : -- People began connecting with AB films and hence acceptance of Brand AB -- All his films in 1970s reflected a person who has been wronged by the society/system and how he fights this injustice -- Core Value of the Brand became the image of “ Liberator & Protector” . Maturity : -- Brand AB was firmly established. -- Popular and loved by the people -- Films were categorized and made on the brand – “ AB – Type Films “ Decline : -- Late 1980s onwards the Socio – Political scenario changed -- People started being more ambitious , literacy and awareness increased -- Image of the brand of being a fighter against odds needed to be re-positioned -- Damage to the brand image ( Bofors Controversy) -- Further deterioration due to the ABCL fiasco
Career Graph of Amitabh Bachchan -- Amitabh Bachchan made his filmy debut with "Saat Hindustani" in 1969 and won his first National Film Award for Best Newcomer. Since then there was no turning back for this awesome intense actor Amitabh Bachchan who delivered biggest box office hits year after year during the 70s and 80s. -- Amitabh Bachchan?s success story began with "Zanjeer" in 1973 and continued with "Deewar", "Sholay", "Muqaddar Ka Sikander", "Don", "Majboor", "Lawaaris" and several other films that made Amitabh Bachchan the unrivalled king of Bollywood. Amitabh Bachchan attained the immortal status in Indian cinema. -- Amitabh Bachchan was elected to Lok Sabha, the lower house of Indian Parliament and was a member from 1984 to 1987. He resigned his Lok Sabha seat to prove that he is not guilty of 'Bofors' scandal in which he was implicated. -- Amitabh Bachchan has also started his own production company called Amitabh Bachchan Corporation, Ltd. {ABCL} in 1996. ABCL soon went bankrupt and Amitabh Bachchan found himself in neck deep debts. Later , television show "Kaun Banega Crorepati" pulled him out this rut. Amitabh Bachchan hosted "Kaun Banega Crorepati" on Star Plus channel for five years from 2000 to November of 2005 and reportedly charged Rs.25 lakhs per week. -- He has been brand ambassador of products across industry and categories including Pepsi, Mirinda, ICICI Bank, Parker Pens, Reid & Taylor, Maruti Versa, Cadbury?s, Nerolac, Hajmola, Navratna tail, Emani Boroplus, Eveready, Dabur, Sahara city Home, D?damas, Binnani.
Learnings from AB & Dalda Brand Life Cycles
• Standing up against the erosion of values in the society • Redemption for the sins against values • Preserving the legitimacy of past • ‘AB type films’ found mass appeal as a category. And in a decade’s time Amitabh Bachchan became a household name, a brand, a legend. • Dalda became a household name • Dalda and Vanaspati were established as generic names for the same product. • Dalda was identified as a cooking medium that was economical & preserved the original pure taste of the food • Ideal for Indian sweets & snacks
Development
Introduction
Growth
Maturity
Saturation Decline
“A successful brand ensures that every attribute or feature the brand communicates has an emotional connect or benefit”
Learnings from AB & Dalda Brand Life Cycles
• Brand became larger than category • Became a prisoner of branding • Difficulty in extending the brand • Packaging the ‘AB’ with out the emotional connect
Development Introduction
• Brand managers tried to rejuvenate and manage the brand in the face of a changing category. With the entry of other edible oils, Dalda vanaspati evolved into Dalda cooking oil • Health consciousness was gaining momentum.
Growth
Maturity
Saturation Decline
“Nurturing a brand with full cognizance of lifecycle stage and critical success factors is important to extend the life cycle”
Learnings from AB & Dalda Brand Life Cycles
• Values were changing. ‘Cool’ approach to values in life • Less stigma on marginalization
• Brand AB became a prototype • Brand was rendered incapable of extension by self appointed franchisees
• Consumers were evolving and needs and
preferences were changing.
• Brand image – not able to adjust to changing needs of the time. • New Mantra : caring for your family means spending that extra rupee and getting a safer cooking medium
Development
Introduction
Growth
Maturity
Saturation Decline
“Like time and tide wait for no one, a brand also cannot remain stationery In the mind space of customers unless it changes to suit existing times”
Learnings from AB & Dalda Brand Life Cycles
• Was considered 'finished' in the late nineties after super star status for 20 years, a string of flops and failed political and business ambitions
• Bunge acquired Brand Dalda from HLL in 2003 • Is being re-established in the market in form of 6 variants of edible cooking oil • Poised to once again win back the market share and lead the category of cooking oils
• Made an unexpected comeback as host of the popular TV quiz series ‘KBC’ which put him right back on the number one spot of Bollywood actors, reaffirming his reputation as the living legend of Indian cinema with a new series of high profile films
Development Introduction Growth Maturity
Saturation Decline
Revival
“Like time and tide wait for no one, a brand also cannot remain stationery In the mind space of customers unless it changes to suit existing times”
Essence of Brand AB -- "Brand essence is the central nature of what the brand represents to all those who come
into contact with it “ Eg - Harley-Davidson motorcycles are considered by their owners to be a companion as much as a vehicle . -- Brand Essence characterizes what a brand stands for in the minds of customers and stakeholders. It embodies the brand's core competencies, advantages, culture and values. -- Incase of Brand AB ,it is the „individuality? of Amitabh Bachchan which is the greatest essence in favour of the brand. -- Reflects a personality of a man who is classic yet modern , adaptive. -- In the 1970s-80s it was the Angry Young Man image which made an impact on the people -- More recently companies like Dabur, Cadbury have used the inherent qualities of Band AB like toughness, professional, charismatic , unassuming , down-to-earth to their advantage. -- Popularity and reach to a wide audience spanning across all strata of the society. Everybody knows Amitabh Bachchan -- Survival and will to fight against odds is another essence of Brand AB.
AB Brand Essence
• Captivating • Value Driven • Super Star
(Parameter)
INTRODUCTION
GROWTH
MATURITY
DECLINE
Sales
Costs Profits
Low
High Negative Create Product Awareness and Trial
Rapidly Rising
Average Cost Rising Profits Maximize Market Share Offer product extension , service , warranty Price to penetrate Market
Peak
Low Cost High Maximize profit while defending market share Diversify brand and models price to match or best competitors Build more intensive distribution Stress brand differences and benefits
Declining
Low Cost Declining Reduce expenditure and milk the brand Phase out weak items
Marketing Objectives
Product
Offer a Basic Product
Price
Use Cost Plus
Cut Price Go selectivePhase out unprofitable outlets Reduce to level needed to retain loyal customers
Distribution
Build Selective distribution
Build intensive distribution
Advertising
Build awareness among early adopters
Build awareness and distribution in mass market
tracing the Dalda Brand
• 1960s
• • • • Dalda has its birth & genesis in 1960s Was seen as a dependable cooking medium Economical Dalda brand became synonymous with vanaspati ghee category
• Late 1970s & early 1980s
• Other edible oils entered the market • Dalda Vanaspati evolved into Dalda cooking oil
• 1990s
• Sunflower oils came in on the health platform • Cholesterol became an issue • Context changed to „Caring for one?s family means spending money to buy safer cooking medium? • Dalda as vanaspati ghee lost context
Old Core Values Context New
Delivering Dream Of Masses (Social Justice)
Brand
Customer
PLC of AB
Mard Toofan
Maturity Decline
Major Saab Bade Miya Chota Miya
Sholay
Deewar Anand Coolie
KBC
Growth
Khuda ABCL Gawah
Non Brand /Struggler
Context - SEC
25? Silver Screen
Social Obeying Authority Tyranning under Previlege Underprivilege fight the poor with rich Baap Dadaon ki Kamayee 25? idiot Box Economic Autocratic/Freedom Quick fame, instant money Live shows, events video?s dotcom Kuch Karka batana hai
AB Profile
OLD NEW
1. Create a new Category 2. Lock the category with core values 3. Can?t Play like young cupid – romantic (SRK)
1. 2. 3. 4. 5. 6.
Telling People Live their dreams. Corporate don Well Mannered and Reliable IAS Officer Corporate negotiator fighting boardroom battles New technology dotcom hero Sharp astute ace detector
AB as a brand
Personal 1. 2. 3. Real Life Aspiration Career in MNC Success in filmdom 2. 3. 4. Angry Young Man Massieh of downtrodden Delivering deram of masses Professional 1. Screen Personality
4.
5. 6. 7.
Happy husband/father
Corporate – ABCL IPCA Trapcan
Core Values
OLD
New – Context
•Angry young man •Massieh of downtrodden masses
•Caring Acheiver •Massieh of mida?s touch
•
Core Value remains the same
•
•
Consumer promise should be more
Relevant to a changing consumer context
doc_296633768.ppt
This PPT is about Bollywood actor Amitabh Bachchan is analysed as a brand in terms of PLC, SWOT, value proposition, brand essence in context with the Dalda ghee / oil brand.
Revival
Product Life Cycle
Understanding AB & Dalda Brand Life Cycles
Amitabh Bachchan • Arguably India's greatest ever superstar • Was named Actor of the Millennium in a BBC News Poll ahead of such luminaries as Charlie Chaplin, Sir Lawrence Olivier, and Marlon Brando • The name itself conjures up a larger-than-life image, which has become immortalized with the passage of time • The trademark deep baritone voice, the tall, brooding persona, and intense eyes • Stands for trust, credibility, status, grandeur
Dalda • The heritage brand of India that has always promised good food by retaining its original flavour • Has always stood for the quality & trust • Integral part of Indian Kitchens for years
Amitabh Bachchan
The Brand !!!
Introduction :
? The eldest son of Harivanshrai Bachchan born on 1942, a well known contemporary poet, and Teji Bachchan.
? Completed his school education from Uttar Pradesh - Sherwood College, Nainital.
? Earned an Arts degree from Delhi University. ? Began his professional career as a middle-level executive with a British firm in the east Indian city of Kolkata. ? Moved to Mumbai in 1968 for entering into the Film Industry.
Rise of the Brand in Bollywood…
? He made his debut in 1969 with the film 'Saat Hindustani„ followed by 'Parwaana (1971)', 'Reshma Aur Shera (1971)', 'Bansi Birju (1972)', 'Sanjog (1972)', 'Namak Haram (1973)', 'Saudagar (1973)', etc. which did not fare well. ? His first big hit came in 1973 with Prakash Mehra-directed 'Zanjeer', written by Salim-Javed. ? Portrayed as an image of “The Angry Young Man”. A new form of style for the society. ? His tall and dark looks gave a new kind of action hero to the people. ? Represented as a person who kept fighting with the Social System to get justice. (Eg. Deewar, Trishul & Lawaaris.)
The Fall of Brand – Amitabh Bachchan.
? “The Angry Young Man” concept of the Brand was out dated after a certain period. ? Taking Advantage of his own popularity, he entered into politics to gain more fame. ? This move backfired as he was dragged into the political corruption controversies along with the U.K based Hinduja Brothers. ? Instead of fighting against corruption, the Brand AB himself became a part of it.
? ABCL – This was the production house which initiated its hype in the market with the ill-fated Miss World Pageant.
? It also produced some films like Mani Ratnam's 'Bombay' and Shekhar Kapoor's 'Bandit Queen'.
Rising Again with Repositioning the Brand…
? In the Year 2000, “Kaun Banega Crorepati” (KBC) was one of the major break of his career after the down fall. ? He was branded as people?s messiah for helping people in earning money based on their knowledge. ? His communication skills (which included his “sayings”, “poems” etc.) made him to the best job in a more better way. His voice was his USP thereafter.
? “The Angry Young Man” was now the “People?s Man” who guided people to achieve money.
? The next step towards his success were films like 'Kabhi Khushi Kabhie Gham (2001)', 'Mohabbatein (2000)', 'Khakee (2004)', 'Black (2005)', etc.
? NRI Market entering the Local Market with advancement in technology. Giving emotions & feelings a back seat. ? Movies produced with young co-stars like Shahrukh Khan, Salman Khan, Hrithik Roshan etc. ? Individual On-Screen identity faded away due to subordinate actors. ? The IT Industry which is emerging with technological advancements is also partially responsible for the Brand to fade away.
Threats to the Brand..
-- BPL – Believe in the Best campaign in 1995. -- Television & KBC. -- People associated the struggle and success in their personal life with Brand AB -- Ability to connect with the audience first hand (in person) resulted in developing a mass appeal. -- KBC re – positioned Brand AB from a “ Fighter / Aspiring Achiever “ to a “ Achiever” category -- Film – makers encashed on this popularity and offered him different roles -- Image of a „ Father Figure „ / Credibility. -- Brand AB became Big B.
Keeping up with the times …
-- Leather jackets in KBC-2 -- Wide array of Commercials targeting every section of the society -- Playing roles which will help connect with the younger audiences. -- Displays social responsibility as he refuses to endorse alcohol , tobacco and gutka brands. Did not renew his contract with Pepsi after the pesticide controversy, polio awareness campaign. -- Association with IIFA Awards -- Brand Amitabh has now existed for over 35 years now and become a Mega Brand -- Has a awareness levels of 90 + among the people. Evolved from Cinema to television to Internet
Caution !
-- Over – exposure of Brand AB -- Concerns about the dilution of the brand. -- Emphasis of companies on younger brand ambassadors focusing on the youth of the country.
Strengths
– – – – Unconventional face, tall dark lean persona, trademark voice Developed instantly into a HIT Brand in 70?s Strong value driven characterization portrayed Gained empathy due to the AAM ADMI character who fights for his rights
Weakness
– – – Image became uncontrollable Brand Over Powered the Category Self Appointed Brand Managers / Leaders misread the Brand ( Constructed AB Type Films in piece meal fashion ) Brand Lost Context to the Category No Brand Manager
– –
Opportunity
– –
–
Threat
–
– –
Converted Weakness into Opportunities Leverage on the Nostalgic consumers’ trust to launch the BRAND in the new context Brand is capable of evolving into variety of contexts
Continuously changing times Sustainability Competition
SWOT – AB Brand
Strengths ? Talented artist ? Ability to connect with the audience ? Ability to add grandeur to films / events ? Brand?s superstar status ? Crowd puller Opportunities ? Cashing in on the superstar status ? Allowing the brand to represent more than one segment ? Explore newer avenues which are in line with the brand image and stature Weaknesses ? Labelled as a stereotype “Angry Young man” ? Did not have a brand manager ? Inability to adapt to newer contexts fast ? People?s perception of the AB Brand Threats ? Constantly changing viewer preferences ? Other contexts becoming more relevant
Tracing the AB Brand
• 1970s
– Central theme of AB films – Vijay: The angry young man fighting society for his rights – Hugely successful in films centered on an idea relevant to the times – Increase in the perceived value of Brand AB in the minds of consumer
•
1980s
– On-screen personality of AB started competing with Brand AB – The brand outgrew it?s category – Context changed with time and category lost value resulting in decline of AB Brand
•
•
1990s
– AB brand almost vanished from the market – Brand AB lost its credentials by not able to deliver what was expected
Today
– Brands superstar status still has high recall – With KBC, strengths of AB Brand used to suit consumer preferences – Brand AB recaptured it?s lost glory
“Amitabh Bachchan” - 70’s
Segment:
Hindi Movies
Target:
Youth next door
Positioning:
A humiliated, abandoned youth who fights back to be accepted in the society
Differentiation:
Excellent Personality, voice, acting
AB Brand – Product Concept
• Product 1: AB films • Product Concept 1: Entertainment for family • Product 2: KBC • Product Concept 2: Fun, entertainment and making some money • Product 3: Advertising • Product Concept 3: Helping the brand with a high recall
PRODUCT LIFE CYCLE.
-- Product life cycle implies the different stages that a product goes right from its inception to its final decline or removal from product line. It encompasses 4 things : 1). Products have limited life 2). Product sales pass through distinct stages each posing different challenges, opportunities and problems to seller. 3). Profits rise and fall during different stages of product life cycle. 4). Products require different marketing, financial, manufacturing, purchasing and human resource strategies in each life cycle stages. -- Typically a product life cycle passes through below mentioned 4 stages : 1) Introduction = Period of slow sales growth as product is introduced in market. Profit are non existent because of heavy expenses of product introduction. 2). Growth = Period of rapid market acceptance and substantial profit improvement. 3). Maturity = Slowdown in sales growth because product has achieved acceptance by most potential buyers. Profits stabilize or decline because of increased competition. 4). Decline = Sales show downward drift and profit erodes.
Amitabh Bachchan
Deewar, Trishul, Sholay, Shakti
Brand
Zanjeer
Mard, Coolie, Toofan, Jaadugar KBC Mrityudaata, Lal BaadShah
Kaante, Sarkar...
Anand, Namak Halal, Bombay to Goa Time
SWOT – Dalda Brand
Strengths ? First mover advantage ? Brand has very high recall ? Popular among middle class due to economy ? Consumers affinity with people in their 50s ? Good taste Opportunities ? Tapping the market with healthier alternatives ? Bring out economical options to cater to the price sensitive market Weaknesses ? Dalda has become synonymous with vanaspati category ? Unhealthy ? Brand failed to evolve with changing customer preferences
Threats ? Healthier alternatives to vanaspati and cooking oil ? Changing consumer preferences
Learnings from AB & Dalda Brand Life Cycles
Gave up his job in Kolkata & came to Mumbai to make it big in films Made his film debut in 1969 & won his 1st National Film Award for Best Newcomer
In the early 1930’s Hindustan Vanaspati Manufacturing Co established a factory at Sewri. In 1937, the Dalda brand was established to sell Vanaspati
Development
Introduction
Growth
Maturity
Saturation Decline
“Timing and conducive attributes to the existing environment & perceptions” – critical to any brand to emerge out of its womb
PLC – is The time from first till last customer order for a product.
Sales and Profits ($) Sales
Profits Time Product Development Losses/ Investments ($) Introduction Growth Maturity Decline
Drawing parallels
Brand Created Brand equity peaked Brand outgrew category
High
Successful transition by the brand by cashing in on the brand’s superstar status
Low 1960s 1970s
AB Brand
Brand Equity
1980s
Dalda Brand
1990s
2000s
Product Life Cycle of Brand AB
Introduction : -- „Zanjeer? gave the “angry-young man identity” to AB. -- The image reflected the socio - political environment existing at that time Growth : -- People began connecting with AB films and hence acceptance of Brand AB -- All his films in 1970s reflected a person who has been wronged by the society/system and how he fights this injustice -- Core Value of the Brand became the image of “ Liberator & Protector” . Maturity : -- Brand AB was firmly established. -- Popular and loved by the people -- Films were categorized and made on the brand – “ AB – Type Films “ Decline : -- Late 1980s onwards the Socio – Political scenario changed -- People started being more ambitious , literacy and awareness increased -- Image of the brand of being a fighter against odds needed to be re-positioned -- Damage to the brand image ( Bofors Controversy) -- Further deterioration due to the ABCL fiasco
Career Graph of Amitabh Bachchan -- Amitabh Bachchan made his filmy debut with "Saat Hindustani" in 1969 and won his first National Film Award for Best Newcomer. Since then there was no turning back for this awesome intense actor Amitabh Bachchan who delivered biggest box office hits year after year during the 70s and 80s. -- Amitabh Bachchan?s success story began with "Zanjeer" in 1973 and continued with "Deewar", "Sholay", "Muqaddar Ka Sikander", "Don", "Majboor", "Lawaaris" and several other films that made Amitabh Bachchan the unrivalled king of Bollywood. Amitabh Bachchan attained the immortal status in Indian cinema. -- Amitabh Bachchan was elected to Lok Sabha, the lower house of Indian Parliament and was a member from 1984 to 1987. He resigned his Lok Sabha seat to prove that he is not guilty of 'Bofors' scandal in which he was implicated. -- Amitabh Bachchan has also started his own production company called Amitabh Bachchan Corporation, Ltd. {ABCL} in 1996. ABCL soon went bankrupt and Amitabh Bachchan found himself in neck deep debts. Later , television show "Kaun Banega Crorepati" pulled him out this rut. Amitabh Bachchan hosted "Kaun Banega Crorepati" on Star Plus channel for five years from 2000 to November of 2005 and reportedly charged Rs.25 lakhs per week. -- He has been brand ambassador of products across industry and categories including Pepsi, Mirinda, ICICI Bank, Parker Pens, Reid & Taylor, Maruti Versa, Cadbury?s, Nerolac, Hajmola, Navratna tail, Emani Boroplus, Eveready, Dabur, Sahara city Home, D?damas, Binnani.
Learnings from AB & Dalda Brand Life Cycles
• Standing up against the erosion of values in the society • Redemption for the sins against values • Preserving the legitimacy of past • ‘AB type films’ found mass appeal as a category. And in a decade’s time Amitabh Bachchan became a household name, a brand, a legend. • Dalda became a household name • Dalda and Vanaspati were established as generic names for the same product. • Dalda was identified as a cooking medium that was economical & preserved the original pure taste of the food • Ideal for Indian sweets & snacks
Development
Introduction
Growth
Maturity
Saturation Decline
“A successful brand ensures that every attribute or feature the brand communicates has an emotional connect or benefit”
Learnings from AB & Dalda Brand Life Cycles
• Brand became larger than category • Became a prisoner of branding • Difficulty in extending the brand • Packaging the ‘AB’ with out the emotional connect
Development Introduction
• Brand managers tried to rejuvenate and manage the brand in the face of a changing category. With the entry of other edible oils, Dalda vanaspati evolved into Dalda cooking oil • Health consciousness was gaining momentum.
Growth
Maturity
Saturation Decline
“Nurturing a brand with full cognizance of lifecycle stage and critical success factors is important to extend the life cycle”
Learnings from AB & Dalda Brand Life Cycles
• Values were changing. ‘Cool’ approach to values in life • Less stigma on marginalization
• Brand AB became a prototype • Brand was rendered incapable of extension by self appointed franchisees
• Consumers were evolving and needs and
preferences were changing.
• Brand image – not able to adjust to changing needs of the time. • New Mantra : caring for your family means spending that extra rupee and getting a safer cooking medium
Development
Introduction
Growth
Maturity
Saturation Decline
“Like time and tide wait for no one, a brand also cannot remain stationery In the mind space of customers unless it changes to suit existing times”
Learnings from AB & Dalda Brand Life Cycles
• Was considered 'finished' in the late nineties after super star status for 20 years, a string of flops and failed political and business ambitions
• Bunge acquired Brand Dalda from HLL in 2003 • Is being re-established in the market in form of 6 variants of edible cooking oil • Poised to once again win back the market share and lead the category of cooking oils
• Made an unexpected comeback as host of the popular TV quiz series ‘KBC’ which put him right back on the number one spot of Bollywood actors, reaffirming his reputation as the living legend of Indian cinema with a new series of high profile films
Development Introduction Growth Maturity
Saturation Decline
Revival
“Like time and tide wait for no one, a brand also cannot remain stationery In the mind space of customers unless it changes to suit existing times”
Essence of Brand AB -- "Brand essence is the central nature of what the brand represents to all those who come
into contact with it “ Eg - Harley-Davidson motorcycles are considered by their owners to be a companion as much as a vehicle . -- Brand Essence characterizes what a brand stands for in the minds of customers and stakeholders. It embodies the brand's core competencies, advantages, culture and values. -- Incase of Brand AB ,it is the „individuality? of Amitabh Bachchan which is the greatest essence in favour of the brand. -- Reflects a personality of a man who is classic yet modern , adaptive. -- In the 1970s-80s it was the Angry Young Man image which made an impact on the people -- More recently companies like Dabur, Cadbury have used the inherent qualities of Band AB like toughness, professional, charismatic , unassuming , down-to-earth to their advantage. -- Popularity and reach to a wide audience spanning across all strata of the society. Everybody knows Amitabh Bachchan -- Survival and will to fight against odds is another essence of Brand AB.
AB Brand Essence
• Captivating • Value Driven • Super Star
(Parameter)
INTRODUCTION
GROWTH
MATURITY
DECLINE
Sales
Costs Profits
Low
High Negative Create Product Awareness and Trial
Rapidly Rising
Average Cost Rising Profits Maximize Market Share Offer product extension , service , warranty Price to penetrate Market
Peak
Low Cost High Maximize profit while defending market share Diversify brand and models price to match or best competitors Build more intensive distribution Stress brand differences and benefits
Declining
Low Cost Declining Reduce expenditure and milk the brand Phase out weak items
Marketing Objectives
Product
Offer a Basic Product
Price
Use Cost Plus
Cut Price Go selectivePhase out unprofitable outlets Reduce to level needed to retain loyal customers
Distribution
Build Selective distribution
Build intensive distribution
Advertising
Build awareness among early adopters
Build awareness and distribution in mass market
tracing the Dalda Brand
• 1960s
• • • • Dalda has its birth & genesis in 1960s Was seen as a dependable cooking medium Economical Dalda brand became synonymous with vanaspati ghee category
• Late 1970s & early 1980s
• Other edible oils entered the market • Dalda Vanaspati evolved into Dalda cooking oil
• 1990s
• Sunflower oils came in on the health platform • Cholesterol became an issue • Context changed to „Caring for one?s family means spending money to buy safer cooking medium? • Dalda as vanaspati ghee lost context
Old Core Values Context New
Delivering Dream Of Masses (Social Justice)
Brand
Customer
PLC of AB
Mard Toofan
Maturity Decline
Major Saab Bade Miya Chota Miya
Sholay
Deewar Anand Coolie
KBC
Growth
Khuda ABCL Gawah
Non Brand /Struggler
Context - SEC
25? Silver Screen
Social Obeying Authority Tyranning under Previlege Underprivilege fight the poor with rich Baap Dadaon ki Kamayee 25? idiot Box Economic Autocratic/Freedom Quick fame, instant money Live shows, events video?s dotcom Kuch Karka batana hai
AB Profile
OLD NEW
1. Create a new Category 2. Lock the category with core values 3. Can?t Play like young cupid – romantic (SRK)
1. 2. 3. 4. 5. 6.
Telling People Live their dreams. Corporate don Well Mannered and Reliable IAS Officer Corporate negotiator fighting boardroom battles New technology dotcom hero Sharp astute ace detector
AB as a brand
Personal 1. 2. 3. Real Life Aspiration Career in MNC Success in filmdom 2. 3. 4. Angry Young Man Massieh of downtrodden Delivering deram of masses Professional 1. Screen Personality
4.
5. 6. 7.
Happy husband/father
Corporate – ABCL IPCA Trapcan
Core Values
OLD
New – Context
•Angry young man •Massieh of downtrodden masses
•Caring Acheiver •Massieh of mida?s touch
•
Core Value remains the same
•
•
Consumer promise should be more
Relevant to a changing consumer context
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