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RUNNING HEAD: MOBILE GAMES AND APPLICATIONS IN INDIA
Marketing Mobile Games and Applications in India
Benjamin S. Cheeks
International School of Management, Paris
Author Note
This paper was submitted to fulfill the requirements of Marketing in India, MKTG
7018. I would like to thank all of the faculty and staff at Amity University, Noida, for their
support and dedication to make the first ISM – Amity Seminar a success.
Correspondence concerning this paper should be addressed to Benjamin S. Cheeks.
Email: [email protected]
MOBILE GAMES AND APPLICATIONS IN INDIA 2
Abstract
Daga, Manual, & Narasimhan (2010) believe that India is poised to become a truly
mobile-Internet society as new users leapfrog personal computers altogether and move
straight to mobile devices. This is especially true in rural India where mobile Internet use has
increased 720% to 3.6 million over the past two years alone. Mobile handsets (smartphones)
are becoming more affordable and feature rich. This explosive growth in mobile-Internet
penetration has the potential to improve the effectiveness of reaching India’s rural
community.
In order to realize this opportunity, there is a need for simpler and more
intuitive mobile applications designed specifically with the rural Indian user in mind. This
need offers a potential opportunity for entrepreneurs. This paper explores how a company
can design and market mobile games and applications to the rural consumer. It also provides
a blue print as to how such a company should build its brand.
Keywords: mobile games, mobile applications, rural India
MOBILE GAMES AND APPLICATIONS IN INDIA 3
Marketing with Mobile Games and Applications in India
Internet Use in India
The Internet and Mobile Association of India (IAMAI) and Indian Market Research
Bureau International (IMRB) (2012) reported that as of the end of December 2012, there
were 122 million active Internet users in India. Active users are defined as those that have
accessed the Internet within the past month. At 122 million users, India trails only the United
States and China in terms of total Internet users. However, with a total population in excess
of 1.25 billion, this penetration rate of less than 10% is far lower than the global average of
43%.
Rural Internet Use in India
The same report shows that the growth rate of Internet users in rural India is
outpacing that of urban India. As the urban market becomes more saturated, this trend is
expected to continue. According to the report, rural Internet users increased from 24 million
in December 2011 to 38 million at the end of December 2012; an increase in rural Internet
users of 58%. During the same time frame, Internet users in urban India increased from 72
million to 84 million, an increase of only 17%.
MOBILE GAMES AND APPLICATIONS IN INDIA 4
67 72 80 84
1724
3138
0
20
40
60
80
100
120
140
Jun 2011 Dec 2011 Jun 2012 Dec 2012
Urban
Figure 1: Active Internet Users in India, June 2011 to December 2012 in millions. The
Internet and Mobile Association of India (IAMAI) and Indian Market Research Bureau
International (IMRB) (2012).
Many of these new Internet users are accessing the Internet through their mobile
devices. The Federation of Indian Chambers of Commerce and Industry (FICCI) and KPMG
International (2012) projected that Internet connections will shift from fixed to mobile over
the next four years. It is projected that mobile Internet connections will exceed 392 million
connections in 2016, dwarfing the 51 million fixed Internet connections in that year.
Rural India is seeing a huge growth in mobile Internet. As per The Internet and
Mobile Association of India (IAMAI) and Indian Market Research Bureau International
(IMRB), (2012), at the end of June 2012, there were 3.6 million rural mobile Internet users.
This is an increase of 720% in the last two years.
This huge increase in Internet use in rural India is credited to cheaper data plans
offered by the wireless carriers as well as the increased prevalence of low cost smartphones.
The rural increase of mobile users combined with continued urban growth, will result in
MOBILE GAMES AND APPLICATIONS IN INDIA 5
mobile devices replacing personal computers as the primary means of accessing the Internet.
Smartphone ownership will grow significantly over the coming years. According to The
Federation of Indian Chambers of Commerce and Industry (FICCI) and KPMG International
(2012) the number of Internet-enabled smartphones in India will reach 58 million in 2013,
more than double the level of 2012 with rapid growth projected to continue through 2016.
Other industry experts agree with this assessment. Menezes (2012) quoted Praveen
Rajpal, CEO of Handygo Technologies, a mobile value-added service provider, when he said,
The demand for mobile Internet via smartphones is rapidly catching up in rural areas.
Whereas earlier people in B and C towns would take a year to adapt to a new
technology, today, because of the abundance of low-cost data packs, local language
content and informative apps like Mandi Bhav1, etc, rural people are having their first
Internet experience on the mobile, as handsets are more accessible than cyber cafes
in smaller towns.
1 Mandi Bhav is a mobile application that provides access to current rates for various commodities.
MOBILE GAMES AND APPLICATIONS IN INDIA 6
In a report from the global consulting firm McKinsey, Daga, Manual, & Narasimhan
(2010) stated,
We believe that it’s poised to become a truly mobile-Internet society as new users
leapfrog PCs altogether. We project that by 2015, the number of Internet users will
increase almost fivefold, to more than 350 million—28% of the population—with
more than half of those accessing the Web via mobile phones.
Daga, et al (2010) stress that to capture this opportunity, companies will need to roll
out wired and wireless broadband networks aggressively, to make smartphones and network
access more affordable, and to develop new content types. The Government of India is doing
its part. The Twelfth Five Year Plan (2012), set targets for the Telecommunications Sector to
provide mobile access to all villages and increase rural teledensity to 70 per cent by 2017. It
also targets the creation of a National Optical Fibre Network (NOFN) that would connect the
250,000 Gram Panchayats2 (GPs) in the country through Optical Cable (OFC). This initiative
aims to add nearly 100 million broadband connections by 2014.
This explosive growth in mobile Internet penetration has the potential to improve the
effectiveness of reaching India’s rural community. This is especially true for such sectors as
banking, healthcare, education, entertainment, and specific government programs.
In order for businesses that profit from mobile activity to take advantage of the
opportunity in the rural market that mobile Internet provides, a number of challenges other
than network infrastructure will need to be addressed. Merely providing the access and an
inexpensive phone is not a guarantee of a comparable increase in usage. Daga, et al (2010)
highlights an example of rural Hungary. In Hungary, over 90% of the population can afford
2 Gram Panchayat. (2013, June 16).is a local self-government at the village or small-town level in India, and the Sarpanch governs.
MOBILE GAMES AND APPLICATIONS IN INDIA 7
broadband Internet. However, only about half actually use it due to the limited availability of
local digital content and low digital literacy. There is also a need for simpler and more
intuitive mobile applications designed specifically with the rural user in mind. These
applications must be designed to work with a basic mobile device as those in the rural
population are unlikely to be able to afford a sophisticated smartphone. They will require
simple graphical interfaces and strong local language support.
Related Work
Several studies have been conducted on designing mobile games and applications
specifically for the market in rural India. Kam, Rudraraju, Tewari, & Canny (2007)
evaluated whether or not games designed with game design patterns or without game design
patterns were more engaging for children living in rural areas. However, there was an
unexpected finding: “the failure to apply patterns in a manner that is contextually and
culturally appropriately is likely to bring about poor gameplay experiences”. In other words,
more importantly than as to how the game is designed is the culture of the user. Games
enjoyed by children in one culture may not necessarily be enjoyed by those in another. Other
interesting findings from the study were the following:
• Games with brighter colors were preferred; perhaps due to colors having a dominate
role in Indian culture and festivals.
• A game containing crocodiles was poorly received. The researchers later understood
that crocodiles are often villains in Indian mythology.
• It is common in games to create time pressure to make games more challenging and
engaging. However, this received negative comments from the rural children. This
led to recommending game designers adopt an “Easy Fun” approach when designing
games for this group.
MOBILE GAMES AND APPLICATIONS IN INDIA 8
• The children sought constant feedback from the adults when performing well in the
games. It is therefore vital to take into consideration the existing power structures
when creating the games and to create a “pause” button to allow the players to show
off their proudest moments.
In a second study commissioned by Nokia, Joshi & Avasthi (2007) discuss the fact
that the majority of phones interfaces are directly adopted from the realm of computers.
However, when the mobile phone may be the first and only interaction with the Internet that
the rural user has, there exists a gap between user’s mental model of interaction with the
everyday objects and the interaction model of Internet on mobile phones. Given this
challenge, they propose a new interaction model for mobile-based browsers in order to
provide a good mobile Internet user experience and value-added interactions and services.
A second project from Nokia went even further. In this study Sapre (2008) describes
his experience with Nokia from 2008 to 2009 in Indian working to understand mobile usage
trends and create prototypes of mobile applications that would be useful to people in rural
India.
Some key findings from the study were:
• None of the phones had an interface in the local language.
• A higher rate of mobile usage amongst men as compared to women
• Children had considerable access to their parents’ phone; often performing tasks for
adults such as reading texts and saving contacts.
• Most people learned to use their phone from friends, family, or acquaintances.
• Many users could not read SMS due to the fact the text was either in English or
transliterated in Roman script.
MOBILE GAMES AND APPLICATIONS IN INDIA 9
What all of these papers have in common is the finding that the same application and
game design that works in the Western world and even in urban Indian may not always work
best in the Indian rural setting. Therefore, in order to take advantages of the growing mobile-
Internet population in rural Indian, custom applications must be developed keeping the rural
user in mind. This need offers a potential opportunity for innovators; it could significantly
improve usage among new mobile Internet. It is also the opportunity that this paper will
explore.
The Market Offering
The business services that will be offered are mobile solutions to connect businesses
with the rural Indian market. The company will provide design and development of mobile
software applications and games using the business operating model of business to businesses
(B2B). Business clients currently or plan in the near future, to market, educate or share
information with the rural Indian market. The unique selling proposition and key
distinguishing factor that sets the company apart from other businesses is that the company
provides expert knowledge and understanding of the rural mindset and culture. The company
as a B2B solution provider addresses the challenge of creating mobile software that is
designed for the rural Indian market, designed with cultural and environmental factors taken
into consideration to ensure the highest adoption rates possible.
Building the Company Brand
Although the industry for designing mobile games and applications is poised for a
high growth rate in the coming years, there is little brand awareness in the industry. There
are thousands of organizations in India that specialize in developing applications and games
for mobile phones and many more companies develop applications in-house. However, there
are none that claim to focus on the rural market or even more specifically to understand the
MOBILE GAMES AND APPLICATIONS IN INDIA 10
rural population from a culturally and contextually appropriate mobile perspective. Brand
management is a shared responsibility of the entire organisation and therefore, the brand
should be built considering the six conventions of corporate branding as laid out by Knox and
Bickerton (2003). These are brand context, brand construction, brand confirmation, brand
consistency, brand continuity, and brand conditioning. These six conventions stress the
importance of brand continuity throughout the organization and how the brand aligns with the
values of the customer and the key stakeholders.
Brand context. Brand context defines where the brand stands from the aspect of
vision, culture, image, and competitive landscape.
• Vision - The vision of the company is to develop and deliver innovative mobile
application technology to businesses that enhance the well-being of the rural Indian
community.
• Culture - The culture of the company will be based around the concept of value
creation. Applications must create value for our clients and also for the rural
consumer. Our applications and games must make the rural consumer’s life better
through entertainment, education and information, influencing positive behaviours, or
making their life easier.
• Competitive Landscape -There are several organizations that have developed
specialized applications for the rural market. These include:
- Reverie Language Technologies develops technology to translate English texts
into local languages.
- Plustxt has created a text messaging application that works with many of the local
Indian languages.
- Newshunt has an application that offers local language news.
MOBILE GAMES AND APPLICATIONS IN INDIA 11
- m.Panni designs and implements mobile-based loyalty programs that empower
underserved communities. The company focuses in the areas of safe water,
education, healthcare, energy, nutrition and mobility.
- Nano Ganesh is a GSM mobile-based remote control system that allows farmers
to use their mobile phone to control their irrigation pumps.
It is important to note that these companies either market their own application rather
than their services as application developers. This is a distinction that will need to be clear.
To conclude brand context, it is important to note that in order to properly monitor the
context of your brand, surveys of key stakeholders should be held at least yearly.
Brand construction. Brand construction describes how the brand is positioned in
accordance to customer and stakeholder value. Knox and Bickerton (2003) state that brand
construction should be developed from an understanding of the key stakeholders’ value
drivers. Key stakeholders would include customers, users, employees, and potential
employees. Other stakeholders could include the press, the government, and non-government
organizations (NGOs).
Brand confirmation . Brand confirmation is the way the brand is articulated to the
rest of the organization and all of its audiences. It will be important to work with members
throughout the organization to develop agreed statements and language that best describe the
brand position. This broad-based involvement should help to gain the commitment of the
organization to a common message.
Brand consistency. Brand consistency describes delivering clarity to all stakeholders
through its communication channels. Once the common language and message set forth in
the brand confirmation stage is determined, it is important to communicate consistently
MOBILE GAMES AND APPLICATIONS IN INDIA 12
through all channels, be they formal or informal. Knox and Bickerton (2003) suggest
creating a measurement tool upon which all corporate communication is measured.
Brand continuity . Brand continuity is the alignment of business processes with the
corporate brand. In order to achieve brand continuity it is important that everything the
business says, does, and communicates has a consistent "look and feel". To do this all
business processes that help deliver the promises to customers must be aligned through all
departments, suppliers, intermediaries, etc., as all of these pay an important role in the service
experience.
Brand conditioning. Brand conditioning is the ability to monitor and manage the
brand on a continual basis. Companies must ensure that their brand retains significance and
uniqueness as it relates to the values of their customers and other stakeholders. Knox and
Bickerton (2003) suggest creating a hierarchy of customer and stakeholder values and overlay
them against those of the corporate brand and ensure the company is delivering these needs.
This is important to perform on a regular basis as companies need to adapt to evolving needs
of customers and ever growing competition. It would be important for a company designing
mobile games and applications for the rural market to condition its brand against both
customers and the end users in the rural community.
Building a Brand in Rural India
Ali, Thumiki & Khan (2012) show that the consumer in rural India is fiercely brand loyal. It
is therefore important to build a strong brand. Seshadri (2005) lists five attributes that he
believes must be built into your brand if you are to be successful in rural India. These are
build customization, build empathy/relevance, build recognition, build word-of-mouth, and
build access.
MOBILE GAMES AND APPLICATIONS IN INDIA 13
Build customization. Many companies make the mistake of making available to the
rural market the same mobile games and applications that have a high usage rate in the urban
markets. If they do modify the game or application, they often simply strip down some of the
frills and reformat for a smaller screen. Similarly, many companies treat the rural consumer
as a single, homogenous market. There is considerable diversity within the regions that must
also be considered. Customer mobile games and applications must be developed that deliver
experiences tailored to their specific needs, values, and preferences while overcoming the
challenges unique to the rural environment.
In order to do so, the following challenges will need to be addressed:
• Language - A key challenge to overcome is language. The first 100 million users in
India are English-speaking users. In order to go forward companies must create more
vernacular content. Sapre (2008) and the team from Nokia replaced words with
pictures whenever possible.
• Data – Many of the current applications and games use a relatively large amount of
data. While data rates are expected to fall in the future, many of the applications that
make up the smartphone experience will still be too data heavy. It is crucial that
mobile applications for the rural market use as little bandwidth as possible.
• Connectivity- Connectivity also remains an issue in many parts of rural India.
Applications must also be designed to work whether or not they are connected to the
network.
• Pricing – Despite the growing interest in mobile games and applications, consumers
are still inhibited by price. Comviva (2009) found that the average cost per game
download in India is roughly Rs. 50. However, they also found that the majority of
prepaid mobile customers keep a balance of between Rs. 10 and Rs. 30. To be
MOBILE GAMES AND APPLICATIONS IN INDIA 14
successful, companies must come up with better pricing models. For example,
session-based use would allow the user a limited number of sessions with the game or
application for a lesser price. Subscription pricing is another option. In this model,
the user pays a small monthly fee to continue using the application. Finally, as we
will discuss in the build access section, bundling mobile applications and games with
the telecom service is also an option.
Build “word-of-mouth”. It is important to build word-of-mouth of your brand. In
rural communities, very strong homogeneous bonds are formed. Rural consumers are
therefore largely influenced by family and friends within the village. It is important to
identify the proper groups to build strong word-of-mouth.
For mobile applications the village youth are vitally important as opinion leaders and
demand generators. Sapre (2008) found that children have significant access to their parent’s
phone and often help with technical tasks. Rural children are also getting more and more
access to technology in the classroom. The Aakash is an inexpensive tablet aimed
specifically at the rural student community. Firstpost (2013) recently reported that 150,000
rural students in Punhab will receive Aakash tablets. Children can and many will bring
awareness to their parents of the available technologies as well as help them to understand
how to use it.
Another excellent way of generating word-of-mouth is through partnering with well-
trusted NGOs and governmental organizations. Lifebuoy did this successfully when it
teamed up with the Government of India and UNICEF in a campaign to promote hand
washing to change hygiene behavior to prevent certain disease. Additionally, a press release
in The Wall Street Journal (2013) reports that Merck and Safe Water Network, an NGO co-
MOBILE GAMES AND APPLICATIONS IN INDIA 15
founded in 2006 by actor and philanthropist Paul Newman, are using tablet-based mobile
applications to build awareness of and demand for safe water in rural communities.
Figure3: Safe Water Network's station operator helps consumers in the village of
Thodellagudem experience Tablet messaging. (PR News Foto, 2013).
Other excellent groups to target to generate positive word-of-mouth are religious
groups and women. Rajan (2010) also recommends building strong word-of-mouth for a
brand through executing customized events within the village revolving around the core
message of a brand. A publisher of mobile games might have a puppet show for the children
using the main characters in their game and then have a competition afterwards.
Build empathy/relevance. For the design of mobile games and applications,
building empathy and relevance means developing applications that delivering experiences
tailored to the needs, values, and preferences of the rural consumer. In other words, it needs
to be rooted in their culture. The brand must be seen as delivering value to the community;
whether through entertainment, knowledge and education, or simply making their life easier.
An example of such applications could be mobile games developed based upon India’s Rural
Olympics formerly known as Kila Raipur Sports Festival. Unique mobile games based upon
MOBILE GAMES AND APPLICATIONS IN INDIA 16
events such as getting run over by a tractor, seeing how many bricks you can pick up with
your teeth, or the bullock cart race could be more relevant to the rural community than Angry
Birds.
Build recognition. Seshadri (2005) discusses two key issues the must be addressed
when building brand recognition in rural India. The first is rip-off or counterfeit brands and
the other is the needs to physically demonstrate the use of the product. Counterfeit brands are
those that attempt to leverage the brand cognition of another brand by duplicating many of
the same features and designs of that brand. Applications with similar names and similar
logos are easily confused. In order to minimize this risk, it is advised that when building
brands for the rural market that companies include the brand name in the local language or
local symbolism. In addition to this frequent communications to draw the consumer’s
attention to the brand are also advised to minimize these fake encounters.
The second challenge of demonstrating the proper use of the product can be addressed
by demonstration and training of local experts. Demonstrations help to bring awareness of
the brand by arousing the villager’s interest and bringing to his attention the value of your
product. Seshadri (2005) uses the story of CavinKare to highlight this challenge.
CavinKare found that though their shampoos were getting encouraging trials from
the rural consumers, the penetration levels were extremely low. Many rural
consumers had no clue how to use a shampoo. CavinKare’s team traveled extensively
in rural pockets, caught hold of school boys to demonstrate how to lather, wash and
comb hair! This exercise had a significant impact and made the rural consumer
comfortable with the concept of using a shampoo.
Sapre (2008) found that most mobile users learned to use their device from friends
and family. It is reasonable to assume that the same would hold true for mobile applications
MOBILE GAMES AND APPLICATIONS IN INDIA 17
and games. Here again, due to their more frequent interactions with technology, the youth of
the village are excellent sources of local trainers. Referencing back to building
customization, it is also critical that development standards be developed so that terminology
and interactions is consistent across all applications. This will aid in the transfer of
knowledge from one application to the next.
In a recent study, Accenture (2013) surveyed executives at Indian firms as to the most
common marketing initiatives they were undertaking to promote their brand and their
offerings in rural India. The results are summarized in the table below.
Figure 4: Marketing and communication initiatives for promoting offerings in rural India.
Accenture (2013).
Build access. The best brand building in the world is useless if your target market
cannot access your product or service. Accenture (2013) states that 75% of executives
believe that collaborative channels will become a dominant force in the future. However,
only 4 % say their organizations are doing so. Regardless, a multi-pronged approach to reach
rural consumers is recommended.
MOBILE GAMES AND APPLICATIONS IN INDIA 18
An obvious choice for collaboration would be the mobile carriers. Increased
competition among various telecom operators, are driving mobile telecom operators in India
toward providing more value added services such as mobile games and applications.
Downloading an application to a mobile device can be as easy as sending a text message that
returns a link to the application. Many rural-Indian mobile users have already engaged in
some form of commerce on mobile devices such as downloading ringtones, music, or
wallpapers. Therefore, for many rural-Indian mobile users, there is already a trust factor.
However, as the mobile carriers have the billing right with the customers; it is important to
ensure the proper revenue share is determined.
Another distribution opportunity is the direct download of the game or application to
the user’s mobile device. Obviously, this is more labor intensive. Not only does it require
someone to load the application to the device, it must also consider different types of phones
and data connections. If this route is chosen, excellent choices to do this would be through
mobile-phone showrooms and shops. A study by Manglik, Ranjan, Narsalay, & Falk (2010),
shows that 64% of rural customers prefer to buy their mobile device at a shop in the city, and
another 26% prefer to buy them in a shop in a nearby town or village. Rural customers also
prefer to go to exclusive mobile phone showrooms to buy their devices. These showrooms
also offer excellent opportunities to advertise the mobile game and applications.
Other important distribution points for physical delivery of mobile games and
applications that cannot be overlooked are the haats and the melas. Haats are temporary
markets that are held on average once a week in a location central to a large number of
villages. Due to this fact, haats offer an opportunity to meet with a larger number of
consumers. Melas are similar to haats, but are scheduled less regularly and many have
MOBILE GAMES AND APPLICATIONS IN INDIA 19
themes. As with haats, they are an excellent opportunity to meet with a larger number of
consumers.
Conclusion
Rural Internet use is on the rise. The Internet and Mobile Association of India
(IAMAI) and Indian Market Research Bureau International (IMRB) (2012) reported that rural
Internet users increased from 24 million in December 2011 to 38 million at the end of
December 2012; an increase in rural Internet user of 58%. Due to the lack of personal
computers, many of the rural users have leapfrogged that technology and are accessing the
Internet through their mobile phones. At the end of June 2012, there were 3.6 million rural
mobile Internet users. This is an increase of 720% in the last two years. Daga, et al (2010)
predict that by 2015, the number of Internet users will increase to more than 350 million with
more than half of those accessing the Web via mobile phones.
As demand for mobile Internet grows, so will demand for mobile games and
applications. However, research has shown that mobile game and application design that
works in the Western world and even in urban Indian may not always work best in the Indian
rural setting. Therefore, in order to take advantage of the growing mobile-Internet population
in rural India, custom applications must be developed keeping the rural user in mind. This
paper has highlighted a number of the key challenges businesses will face when creating
applications for rural consumers. It also walked through the steps necessary to build a brand
around this service and how the games and applications can be marketed to a rural consumer.
In conclusion, market research demonstrates a company focused on creating mobile
applications and games for the rural Indian population would fill a gap in the mobile
development arena. The need for custom applications creates an opportunity for
entrepreneurs and entrepreneurial companies that are ready to embrace the technological
MOBILE GAMES AND APPLICATIONS IN INDIA 20
innovations of this century and have a strong desire to understand the rich cultural population
of rural India.
MOBILE GAMES AND APPLICATIONS IN INDIA 21
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