MARCH 2012

Geopolitical Tomorrows: India

Niki Gomez for Future Lab

Slides to complement the Report

What’s changed recently

INDIA IS COOL BOTTOM OF THE URBAN PYRAMID MATURALISM

SOURCE: Trendwatching

India is now cool!

FashionFilmArtDesignFoodBusiness

Frida Pinto: Fashion model

Pinto crosses over into Film

Major India Art Exhibitions

Subodh Gupta

Anish Kapoor in Chicago

The Richest Man in the UK

Take over of British Icons

InfoSys Campus: emblematic architecture symbolising high-tec

National ID cards for 1.2 bn people: Silicon Valley & Indian government partnership

Sumitra Dutta- Dean of Cornell

Nitin Nohria, Dean of Harvard Business School

Booker Prize Winner

Yoga..from India to the world and back again

Chai takeover

Pride in India is Up

2. Bottom of the Urban Pyramid International companies are eyeing market

opportunities of the large number of lower income consumers in India (as Western markets flatten)

Dedication of products that tailor to their needs and price points such as ChotuKool, Akaash tablet, Lehar Gluco Plus (Pepsi Co), etc

World’s Cheapest Car by Tata

3. Maturalism: Push urban consumers in emerging markets further

Able to handle much more honest conversations, more daring innovations, more quirky flavors, more risqué experiences, these consumers increasingly appreciate brands that push the boundaries.

So if you’re a Chinese or Indian or Turkish brand, or you’re a Western brand selling to emerging markets,

2012 is the year that you can push things a bit further. 

SOURCE: Trendwatching

Diesel India: 'Sex sells. Unfortunately we sell jeans’They offered a spoof sex toy to customers

spending over USD 150. The leatherette 'Knee J' knee pads came boxed in

packaging featuring risqué retro cartoons and the tagline "Knee Jerk Reactions Guaranteed.” (2011)

SOURCE: Trendwatching

Cardiograph Corporation: Sanitol campaign

Indian personal care brand hand sanitizer Sanitol's ad campaign shows one man touching another's intimate area and another picking his colleague's nose. The ads hint at the kind of germs that consumers might have on their hands, and proving why they should use sanitizer to keep clean. (March 2011)

WHAT DO INDIAN CONSUMERS WANT?

Indian Consumers

They used to live at home with the their parents

Are now in adolescence stage. 21 yrs after liberalisation (1991).*

Following a conservative and austere period, the consumers started to consume again.

Indian Trends (source: TNS, India, 2009)

Challenged by Complexity- searching for simplicity

Natural Products- for today’s needs Experience Hunter- experience

defines and differentiates me Me, Myself and I- moving away from

collective to the personal satisfaction Interest groups- surge of niche and

unconventional interests and communities

Indian Trends

Hybrid Cultures- Indian and global, modern and traditional

Safe in my Bubble: minimise anxiety and danger

Be the Change you Want to See- youth change leadership

Instant Gratification- I want it now Women’s Emancipation Making Every Minute Count-

convenience, minimise effort and time

Indian Trends

Instant Gratification- always connected, as it happens

The Pursuit of Youth- age doesn’t matter

Pester Power- junior’s opinions count on household decisions

The Rise of Technocracy- India synonymous with technology

Infused with Technology- technology a component in every category

Indian Brands are changing

Some recent major repositioning strategies

Rise: Mahindra Agency: Strawberry Frog/Landor

From ‘Indians are second to none’ strategy at independence to

‘Spark the Rise. Don’t Accept Things as They Are’

A call to action. A challenger spirit that leads us to build ourselves better lives

A thirst for a brighter future Core values : accepting no limits,

thinking alternatively, driving positive change

Mahindra Rise TV Anthem http://vimeo.com/31561940

http://rise.mahindra.com/ Contemporary & empowering Move from mediocrity to excellence Strong online presence- use of Crowd

sourcing Indian optimism: rewarding Indian

social entrepreneurs Aiming towards global reach

Shoppers Stop

• Retailing has changed, so have we.

Aiming at • Consumers with luxury

aspirations• Younger consumers -current franchise is 25-45;

welcoming 18-25

VideoconAgency: Interbrand Singapore

• Moving from a no-frills, simple, reliable brand towards premium category products

• Environmentally conscious image• Use of animated characters, Chouw and

Mouw to help spread change• http://www.youtube.com/watch?v=h1E203

JIRKs

Maruti Suzuki

From Count on Us! to Way of Life! From reliability and affordabilityto spirit and sporty More excitement

Airtel Agency: Brand Union

• Translates globally - expansion into new markets

• Less Indian-centric• Modern, friendly, accessible• Move to 3G• http://www.themarketers.in/airtel-rebranding-why-on-earth

Foreign Brands Lead in Consumer Electronics & FMCG

Samsung LG IBM Unilever P & G Nestle

But in other sectors, Indian companies lead the way

Telecom Airtel Cement  Tractors  Paints Asian Paints Tyres Apollo Passenger Cars Tata Motors. Liquor UB.

Innovation

Disruptive Innovations

The world is looking to India for ‘disruptive innovations’

Clayton Christensen: Disruptive technologies were exactly those that did not appeal to entrenched market leaders because they tended to under-perform existing technologies and served a less-profitable consumer demographic*.

Develop ‘next practices’

Innovation- Akaash

Reva- perhaps the most energy efficient electric car(now acquired by Mahindra)

Tata Swach- A low-cost water-filter

• Uses traditional and high-tech: rice husk ash and silver nano-technology• $21 price point• Filter lasts for 200 days for a family of 5• Collaboration between Tata Chemicals, TCS, and others

Tata Watches: Titan

Lower price point as well- Sonata Rs 275 upwards Targeted women who never bought watches before. Now seen as a type

of jewelry Innovative: watches powered by light! Slimmest watch in the world!

Project Shakti, rural India (2001)

The basic objective of Project Shakti is to economically empower underprivileged rural women by creating income-generating capabilities and providing a sustainable micro-enterprise opportunity in addition to improving rural living standards through health and hygiene awareness.- Sharat Dhall, Marketing Manager -Rural, HLL

There are 25,000 women in Project Shakti across 8,000 villages in 15 states.

The entrepreneurs earn between Rs 700- 1000 a month, doubling their household incomes

Godrej Innovations- the $69 refrigerator for rural IndiaUses a cooling chip & fan similar to computers

'Godrej Chota Demo Centers’

ChotuKool creates livelihood opportunities across villages by encouraging them to be an entrepreneur. Under this venture, entrepreneurs will be trained and nurtured to establish their own outlet.

This platform would not only provide an opportunity to earn but also to grow by being part of a larger eco system, which will encourage their learning and growth. 

More Godrej Innovations

• Godrej Eon: Clever innovations in air conditioners and washing machines and appealing designs of refrigerator exteriors.

• Godrej Interio: The advent of technology infused furniture that enables a unique, enjoyable usage experience.

• GoodKnight Advanced: Successful, disruptive innovations such as smokeless mosquito repellent coils, aerosols and repellents with natural ingredients.

Exploring what it means to be Indian today

http://bit.ly/A9Eapw

THANK YOU!