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How do brand ideas create wealth?

By resolving problems in peoples lives

and in the process resolving problems in their

own lives!

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The key: finding the meeting point

Brand

problem

Life problem

Insight

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The importance of problem definition

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The best treatment after a wrong

diagnosis would be

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Bring the problem to the point

wherewe

can resolve it

The job

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What can we resolve?

Not

Change product

performance

Correct pricing

Improve distribution

But maybe

Change mindsets such that

The existing performance is

valued The price seen as being

worth it

The brand worth looking out

for

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Problem definition

Translate whats happening to the business to

Whats happening to the mind of our TG

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Lets look at an example

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What business problem do you think

this ad is resolving?

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Why? Why? Why?

Sales?

Behavior?

Mindset?

Current Desired

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The enquiry pattern

Whats happening to sales?

Stagnant, declining, growing but slowly?

What behavior is causing it?

Category non trial, brand switch, down-trading, lowconsumption frequency, category bleed?

Who is the bulls eye?

Demographic, behavioral, mindset, category needstate, conceptual TG

What mindset is causing it?

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Whats the problem being resolved?

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Pitching India to James

You have started your own travel agency

Targeting foreigners visiting India

James - a potential client has written to you

He is exploring the idea of touring India amongst many other options

You need to write back to James, an e-mail selling the idea of coming to

india and discovering it through your travel agency

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Pitching India to James

25

Black

Clerical assistant in a university

Living in with Sara, a 27 year old

nurse

Both are fitness freaks and

nature lovers

With their indian friends, they

have sampled indian food and

bollywood movie/music whichthey find cool and different

45

Professor at Harvard

Married for the last 17 years

with a colleague

Fascinated with diverse cultures

and Indias rich heritage

Big fan of Ravi Shankar

Into yoga, meditation

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The point

What and how you sell depends on who you sell to

The better you know the person, better your chances

Todays focus getting a grip on the who

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Heineken

What is happening to the sales?Stagnant share in a declining category,

leading to decline in sales

behavior is causing this sales trend?WhatHeineken drinkers tendency to prefer cheaper beer at

home such as Budweiser, Miller

What mindset is causing this behavior?

mindset must we aim at changing?Whose

Heineken maybe better, but is too expensive when I

am just having a beer at home

Demographic: Males

Category behavior: Users of category

Brand behavior: Users of brand, only on social occasions

Conceptual TG:The inherently engaged, independent achieverwho does not buy into the Corono philosophy of checking out and

disengaging

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Business

issue?

Who?Is not

doing the

desired?

Why not? What?Saying

what willchange it?

How?Should we

say it?

Where?

Client brief

TG

Problem

Strategy/Brief

Creative

Media

What are his/her

anxieties/desires?

Insight

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Business

issue?

Who?Is not

doing the

desired?

Why not? What?Saying

what willchange it?

How?Should we

say it?

Where?

Client brief

TG

Problem

Strategy/Brief

Creative

Media

What are his/her

anxieties/desires?

Insight

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A good definition of the who

central to all subsequent answers

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Ultimate destination

Rich picture of the one person you are

building the brand for

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Painting a rich picture of the who

Demographic

Consumption

Category

Brand

Psychographic

Need state

Conceptual TG

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The tussle

Selling to

manyCreating for 1

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The strategic journey in defining the TG

Business

imperative

Creative

inspiration

The many we

will sell to

The one we

will create for

Filter Filter Filter

Business TG is the starting point

Communication TG a refined subset of it

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25

Communication TG vs Users

Fair & Lovely

Urban/

Rural

SEC Age

Users

Male/

Female

Source : Data shown are industry estimates

U

R E

D

C

A

B

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26

25+

Upper class

Attire western, elegant, not

college trendy

internationalmatured individualistic

past her rebellious streak

comfortable with her femininity

classic beauty

TG projection across shampoo brands

Pantene Sunsilk Clinic Plus

18-21

upper middle class

youthful college going

fashionable trendy western wear

fiesty, ambitious, rebelliousholding her own

against opposite sex

newfound independence

reflecting a feminist ideology

mother and child

middle class

mother skepticalof shampoo

child pester power

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The journey similar to the

problem definition one

Business

TG

Consumption profileCategory consumer, non consumer,

brand consumer, frequency

Demographic profileSEC, Gender, Age, town class

Communication

TG

Brand

TG

Need state

Mindset

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Each dimension has its own value

Consumption profileCategory consumer, non consumer,

brand consumer, frequency

Demographic profileSEC, Gender, Age, town class

Need state

Mindset

Measurable

Link to business goals

who if converted will give us the

numbers

Basic (but important) introduction

Key to defining problem

Giving the audience a face/picture

Defining brands idea, personality

Communication slant

What happens when either is missing?

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Where do we begin?

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Step 1. Looking at sales data

My brand sales Rs 110 crore

My brand sales last year Rs 100 crore

Category sale Rs 200 crore

Category sales last yr Rs 150 crore

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The decision matrix

What must be my sales focus?

Sales/share focus

1. Grow category?

2. Defend share?

3. Grow volume share?

4. Grow value share?

TG focus

1. Convert non users?2. Convert other brand users?

3. Retain my users?

4. Make my users use more?

Category trend

Share trend

Share/market position

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Filtering further

From usage status to more detailed profile

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Two broad bases for choosing the TG

Attractive Available

Large numbers

Willing and able to pay premium

Future

Attractive to other TGs

Heavy users

Not bonded with competition

Non rejecters of core

brand/category values

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Tea market

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Who should

Taj target?

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Step 1: Category and brand picture

Using Indexing

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Whats happening to category?

% growth

Est. Households (000s) 102% 103% 102%

Purchased 103% 103% 103%

Did not purchase 98% 103% 97%

Urban/Rural

All Urban Rural

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Whats happening to Taj?

Urban/Rural

All Urban Rural

Brooke Bond Taj Mahal 85% 93% 77%

What should be the sales/share focus?

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From what to who

Who should Taj target?

Looking at the loss profile closer

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Loss index similar across SEC A-D

Index A1 A2 B1 B2 C D E1 E2 R1 R2 R3 R4

Est. HH (000s) 104 105 103 105 103 103 103 101 106 105 102 101

Tea - Purchased

Loose 102 96 95 109 106 106 107 109 113 112 109 112

Pre - Packaged 103 107 105 103 103 101 100 97 102 104 98 94

BBond Taj Mahal 91 91 93 90 89 90 115 106 101 87 76 64

Who should be the focus?

Business focus?

Communication focus?

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Step 2. Understanding

available through data

Share of users

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Current share suggests the audience

leaning towards the brand

A1 A2 B1 B2 C D E1 E2 R1 R2 R3 R4

% Packaged '08 85% 81% 79% 74% 72% 63% 57% 49% 71% 67% 53% 43%

Taj share of PP 7% 6% 4% 3% 2% 2% 2% 2% 3% 2% 1% 1%

Higher the SEC, greater the connect with Taj

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Step 3. Understanding

attractive through data

Contribution

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And contribution from A and B the highest

Contribution 2008 2007 Contribution 2008 2007

A 368 405 29% 29% R1 141 140 15% 11%

B 277 302 22% 22% R2 222 255 23% 20%

C 239 268 19% 19% R3 323 424 33% 34%

D 188 209 15% 15% R4 283 445 29% 35%

E 216 197 17% 14% Total 969 1264

Total 1288 1381

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Summing up Taj

Step 1: Index- In a stagnant market, Taj is losing users

Implication Defend, rebuild share

Step 2: Index The user loss profile suggests similar levels

of loss from A-D Implication Image/Connect in A-D sliding?

Step 3: Share Tajs share in A/B nearly double that in

other SEC

Implication A/B attitudinally most available/connected Step 4: Contribution A and B the two largest contributors

Implication A/B also most attractive/important for Taj

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Going beyond

consumption-demographic

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The quest defining better predictors

of behavior through segmentation

Consumption Demographic profileSEC, Gender, Age, town class

Need state (Needscope)Mindset (Psychographic)

Caveat: Not an exact science

Ideal single source for all connections

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Bringing it all together

TGI

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Some other TG perspectives

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Primary vs secondary

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User vs. buyer

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Conceptual target

There is a lot of Harley Davidson in some of us, butthere is a bit of Harley in most of us

Which part of me do you connect with?

The motivational aspect

Brand ideas linked with ConceptualTarget MTV

Apple

Whirlpool

FAL

Airtel v Idea

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Next assignment

IRS/TGI runs on your brand and category

Define your sales focus

Define your TG demographic focus using

Index Share

Contribution

Create a power-point of the rationale

Mail it to me

Deadline - TBD