sandeep pillai 15, tybmm consumer behaviour

36
INDIAN CORE VALUES Text & Cases Consumer Behaviour Birla Institute of Technology & Management Studies Sandeep Pillai 15, TY BMM

Upload: sandeepsomanpillai

Post on 10-Apr-2015

1.452 views

Category:

Documents


7 download

TRANSCRIPT

Page 1: Sandeep Pillai 15, Tybmm Consumer Behaviour

Text & Cases

Consumer Behaviour

Birla Institute of Technology & Management Studies

Sandeep Pillai15, TY BMM

Page 2: Sandeep Pillai 15, Tybmm Consumer Behaviour

Consumer Behaviour

‘Indian Core Values’

Project submitted to Mumbai University for the partial fulfillment of the studies for the award of Bachelor’s degree of Arts in Mass Media

Submitted by: Sandeep Pillai

Under the guidance of:Bincy koshy

Department of Mass MediaBirla Institute of Technology and Management Studies

Page 3: Sandeep Pillai 15, Tybmm Consumer Behaviour

Acknowledgements

I would like to thank the following for their contribution to the production of this dissertation. Mrs. Bincy Koshy, my guide who gave moral and academic support over the whole period of the production of this report. To our librarian Mr. Kiran Raikar for making the best resources available to me and recommending books to support my work. Ms. Divya Pillai, my friend for helping me with her valued time for making me acquaintant to the subject. Finally to my parents, friends for their tea and sympathy with which they overwhelmed me through these two long months of creation, THANK YOU.

Page 4: Sandeep Pillai 15, Tybmm Consumer Behaviour

Introduction

The Subject Indian Core Values shall be divided into three sections with each of the three words in it! The first word ‘Indian’ refers the subject of being Indian or related to the social norms and structure of India. The second word to be considered shall be ‘values’. Values are simply a set of beliefs, and it is the code of conduct that these beliefs promote, drive an individual to behave in a particular way that shall make him known to the world of being related to a particular culture from which the values have evolved. Since the above given statement was quite confusing, we shall look into an attempt to understand values which has its roots in an individual’s culture and then the much wider concept of core values in the following chapters.

Page 5: Sandeep Pillai 15, Tybmm Consumer Behaviour

Dimensions of Culture and Branding

Culture is one of the major factors affecting consumer behaviour. The attitudes and values of consumers are culture-specific in a broad sense. Culture is a combination of learned beliefs, values, and customs that directs consumer behaviour in a specific society. Beliefs, values and customs are important components of culture. Customs are overt modes of behaviour that are acceptable in a specific cultural context. The different food habbits of Indians, for example, are customs that are part of region- specific culture. From the marketing point of view, products and brand communication have to take into consideration the customs existing in a specific market situation. A marketer offering an alternative for the morning cup of coffee or tea will find it extremely difficult to change the custom. But with changes in environment, customs also change and marketers can be successful if they time their products/brands and position them in an appropriate manner. A few decades ago, using nail enamel and lipstick was a taboo among many consumers, especially in villages. While nobody looks twice at someone who uses the products in urban areas, rural consumers are not averse to using them. A number of health clubs have mushroomed in urban areas because health and fitness are areas of interest to several urban consumers due to their stressed lifestyles. Zaltman the well known researcher on the qualitative aspects of marketing states that there is a link between the mind, body and the social culture. A good example of how this works, is the mental state( and physical reaction as well) of a consumer who is used to pure vegetarian food as a part of his/ her culture, when suddenly exposed to Korean cuisine full of "exotic" unusual non-vegetarian menu-- "crawling" delicacies that is a part of the country's eating culture!

Characteristics of cultureCulture is specific to context. Different countries have different cultures and, hence,

consumer behaviour also differs in different countries. This aspect is particularly important to multinational corporations which enter different markets to cater to the diverse cultural needs of consumers. The differences in perception among consumers with regard to products (and, perhaps, even brands) are based on need, usage and importance. In the US, products like cola, burgers, peanuts, popcorn and ketchup are a popular part of the culture. Tea, sandwiches, bowler hats, golf and raincoats are an intrinsic part of the English culture. Kimonos, rice, cars and cameras are synonyms with Japan while one identifies beer, music and cars with Germany. Pasta, pizza, espresso coffee, art, wine, opera and shoes are part of Italian culture and perfume, wine, cognac, cheese and champagne are intrinsic to the French culture. Samosa, tea, beeda, bicycles and incense sticks generally represents the Indian culture, though there may be sub cultural differences.

Page 6: Sandeep Pillai 15, Tybmm Consumer Behaviour

Differences across cultures have a number of implications for the marketer. Mc Donald in India does not use beef in some of the popular items on its menu as cows are sacred to a large section of Indian Consumers. Money back guarantees may reassure US consumers but not those in Latin America as they never expect their money back. Pizza Hut offers sea food delicacies in Japan. Procter & Gamble came up with different variations of its TV commercial for its disposable diapers-Pampers- for different European countries.

Sub-cultures consist of ethnic groups within a culture. These groups have common heritage, religion, beliefs, customs and experiences that differentiate them from other sub-cultures within the culture. There may be certain aspects which stand for the Indian culture, but almost every state in the country reflects a sub-culture. Dressing styles, eating habbits, festivals and religious rites and rituals are different in different Indian states. With several professional domains getting into the Indian context, sub-cultures may also be found within the professionals belonging to a specific domain. For example executives in advertising field or software field may have certain aspects of a culture that are widely adhered to within the respective group.

Culture and Consumer PerceptionThe following figure reflects how the perception of consumers is associated with the culture, of which they are apart:

The cultural aspects include perceptions of consumers about work, leisure, time, festive occasions, ethnicity and gender, which affect the meaning associated with product categories. For example, there may be differing perceptions on clothes to be worn for work and for informal occasions. Meanings can be associated with product categories of liquor and cigarettes. These meanings can vary from one market situation (country/region) to another. Gender can also trigger perceptions. Women have all along, been considered delicate, whimsical and expressive.

Page 7: Sandeep Pillai 15, Tybmm Consumer Behaviour

Aggression is more a male aspect, traditionally associated with men. Certain types of clothes are associated with women (transfer of meaning to a product. Marketers have to be sensitive to the ‘meanings’ associated with products in a specific market settings. They have to clearly communicate their message in accordance with perceptions associated with product categories, and also ensure that the respective brand gets differentiated through positioning strategies. There is also a possibility that over a period of time, the cultural meaning associated with a product category may change. For example, (cigarette) smoking was considered a ‘sinful’ act in conservative South India a few decades back. It is an accepted practice now, even in villages. Beauty parlours that were once taboos are now frequent by a significant number of urbanites. The meaning of ‘cosmetic product category’ has changed in the Indian cultural context (at least in most of the states).Consumers has moved from the plain talcum powder of the yesteryears to several cosmetic product categories. Bicycles and two-wheelers have given way to four-wheelers as status symbols. In certain categories, marketers have used ‘tradition’ to launch products. Nikhar soap from Godrej and Santoor from Wipro make use of ingredients traditionally skin/complexion care. These brands have also differentiated themselves in the crowded category of soaps using their ‘herbal’ proposition.

Using herbal products is very much part of the Indian culture and brands like lifebuoy and Hamam from Unilever, which have been a part of the culture for a long time have launched herbal variants. Cultural meanings also change because of environmental changes. Westernization has impacted the Indian marketing context with several product categories carrying Western overtones. Anti-wrinkle creams, diet soft drinks, fast foods, status-orientation in category of automobiles and jeans are a few examples to reflect the impact of Westernization in the Indian context. Even in this scenario, Arvind brand positioned its ruff &tuff jean as the aspirational Indian jeans for the Indian youth at an affordable price (when the brand was launched)

Tanishq gold jewellery has a number of ethic designs that have been associated with Indian art and culture for several generations. Jewellery, a personal item for women, has cultural association with festivals, rituals and practices, and wedding. Hence, a brand that incorporates traditional ethics designs is likely to go down well with consumers in general, though there is a small niche which may prefer Western designs.

Another approach is symbol communication. Selection of the settings formulating the appropriate imagery and presentation of the product are some aspects concerned with symbol communication. A brand of pen (like Parker or Mont Blanc) can be shown in association with a number of up-market products like wine in a vintage glass, a classical model of Mercedes or a Rolex. Such an advertisement needs no words to convey the message of the brand. Its association with other symbolic products / brands conveys the meaning. The elements portrayed in the visual reinforce the up market image of the brand.

Page 8: Sandeep Pillai 15, Tybmm Consumer Behaviour

The third approach involves organizing and formulating other aspects of the marketing mix to reinforce the symbolic image. An up-market pen brand like Mont Blanc carries a premium price, distributed through exclusive outlets or up-market malls and is created through a special raw material. Each element of the marketing reinforces the other elements of the mix.

Importance of Role AcquisitionAll consumers perform different roles at different points in time (role of a child, student,

father/ mother, executive, sports person etc). Marketers should be interested in these kinds of life stage changes or transition of consumers from one role to the other. There are three phases in role transition. The first one is separation from the old role- a business school graduate getting into a corporate job for example. The next phase is the transition from one role to another. The change to a new identity is revealed by procurement of material objects and possessions which reflect the new identity in a symbolic manner. in the example given, the consumer concerned may like to give up a number of possessions of his/ her student life and want new products/ brands (designer wear, a two wheeler, an up- market watch and a credit card which probably is positioned for aspirational executives. the final phase is incorporation which is concerned with taking on the new role/ identity. this may involve acquisition of more products/ associations which reinforce the identity chosen. this happens over a period of time- this consumer can obtain memberships of prestigious clubs, acquire an up-market automobile brand and holiday at a foreign resort.

Consumers in a transition phase represent a significant target market in most situations. Creams and lotions in the 'beauty market' essentially target unmarried consumers (women) who are likely to boom when marketers target products for consumers who are transitioning but unable to afford new versions of products/ brands. Cars and scooters traded in the second-hand markets are examples. Marketers create a perception that certain products are essential for reinforcing the transition when consumers are going through that phase. Titan's gift proposition as a gift item for the parent symbolises the growing status of the son/ daughter and their gratitude towards the relationship with parents. Wedding gifts are also oriented towards consumers who are in the transition phase. Product constellations can also be emphasized by the marketer. For example, a brand of modern retail outlet can position itself as a retail outlet for groceries/ vegetables/ commodities for young couples who are in the process of setting up home.

Page 9: Sandeep Pillai 15, Tybmm Consumer Behaviour

Indian Core Values

The Indian society is driven by a set of core values, though these may vary in the urban context. These values remain basic to the Indian culture and are strongly embedded in most sub-cultures. The variation in the urban milieu may be attributed to changing lifestyles, impact of Westernization and diffusion of technology. Even within the urban context, these values may have further variations or contradictions. Young couples working with high-technology firms may lead a typically Western lifestyle (cars, fast food and weekend holidays) but still hold on to or practice certain religious beliefs and customs which are totally ethnic in nature. In general, Indian consumers are still culture conscious in the sense that they conform to the cultural expectations of society. Core values are those

1) Which are adopted by a significant number of people

2) Which are enduring and are followed by people for a long period of time and

3) Which enable marketers to understand the behaviour of consumers

The following are some of the core values of Indians:1. Family Orientation: Family for an average Indian not only includes his own family only but also the extended family-parents, brothers and sisters. That is the reality for a majority of Indians though the joint family is fast diminishing in the urban context. The commitment of the male consumer (in some cases, the female consumer too) to the family is such that he, as the chief wage earner, supports the entire joint family. This has several marketing implications. First, the disposable income of such a consumer gets radically reduced and he/she is always looking for value-based brands at a lower price point. This logic works equally for purchases concerning self and the immediate family members. The brands at the lower end of the market in a number of product categories like tea, soap, toothpaste and shampoo typically cater to these kinds of consumers. This type of consumer also mixes up brands and offerings from the unorganized sector to balance his/her expenditure on such consumption needs. In fact the low-end brands attempt to upgrade the consumer from the offerings of the unorganized sector (unbranded and local offerings which may be marketed in an unstructured and haphazard manner). A consumer may buy a branded detergent powder like Surf to wash his/her 'special' clothes and may buy low-end washing soaps (branded but cheaper) for washing ordinary clothes (Refer Plate 12). She/he may buy shampoo sachets (small packets which are offered for around Rs. 2 to Rs 2.5-Chik shampoo was introduced at 50paise) once in a while. Such implications in terms of 'value' offerings (Re.1 is less than 5 percent of a US Dollar) will not be felt in developed countries. As the consumer feels the need to economize, he/she may also down trade- or buy less expensive brands after using higher-priced ones. Down trading occurs as the consumer's response to price increases across product categories; and also when the cost of essential services like electricity, water or cooking fuel goes up. This behaviour of consumers is important for marketers as there have been constant efforts by companies to upgrade consumers in several categories. For

Page 10: Sandeep Pillai 15, Tybmm Consumer Behaviour

example, HUL has a number of price points in almost all its product-lines. Colgate has also a number of price points- Colgate Herbal, Colgate Gel and Colgate Total brands. Consumers may down-trade at any price-point in the product-line and not necessarily at the lower end of the market (though brands towards the upper end may experience a degree of price insensitivity). Hindustan Lever introduced Surf Excel Powder detergent priced between Surf and Surf Excel brand in an attempt to move consumers of Surf to Surf Excel Powder (middle end of the market) some years back, but the toothpaste brand is Aim, with penetrative pricing at the lower end of the market. These examples reflect that price sensitivity is a part of the Indian Culture. Britannia, the brand of biscuits (the brand was built over a period of several decades) has a product line, ranging from the low-end to premium offerings for a niche market. It introduced Tiger brand of glucose biscuits (a major part if the biscuit market is in the unorganized sector and glucose biscuits are extremely popular at the low end of the market) at the low-end who are conscious of 'value' differentiate across product categories even when they are under pressure to bring down their regular consumption expenses.

2. Savings: Savings is an inherent value of Indians; given the uncertainty in income generation (a majority of the population depends on agriculture and only 24 per cent lives in urban areas and the monthly salary as a regular source of income is available only to a small cross section of the population). Unlike in the developed countries, community medical services or assured pension after retirement are not available to most consumers. Consumers fall back on their savings to celebrate festivities, very specifically weddings in the family, and spend as lavishly as possible. In the recent times, consumers have begun spending on durable products after the basic needs have been taken care of. Bicycles, watches and TVs are perhaps popular 'entry-level' purchases for the average Indian who is able to take care of the basic necessities. Savings as a habit pervades all sections of the society. Consumers belonging to all socio-economic classes are interested in jewellery and for most of them it may mean investing a considerable amount of their savings. Traditionally, jewellery is more associated with women. Families with girl children are more likely to spend their savings on jewellery. Mostly, consumers buy their jewellery from their family jewellers who have been associated with their client-families for several generations. Branded jewellery like Tanishq and Carbon cater to just about 2 per cent of the jewellery market and target an up-market niche. The popularity of installment payments for a number of products ranging from bicycles to computers can be attributed to consumers splitting savings between traditional purchases like jewellery and appliances required for a convenient living.

3. Festivities: Celebrating festivals is very much a part of India's culture in all the states. The sub-culture within a state (territory) determines the type of festival which is to be actively celebrated. For example, Pongal is not quite popular except in Tamil Nadu. Like most festivals in this country, Pongal has a special association with the farmers of the state. Durga Puja in West Bengal is celebrated with a great deal of enthusiasm every year. But it is not popular in any other states even though its variations are celebrated in other parts. Similarly, Onam in Kerala is another example of a regional festival. Such festivals are a huge opportunity for marketers. Given that 76 per cent of the Indians live in rural areas, a number of companies step up their advertising campaigns and logistics during the festive months. Asian Paints, a leading paints brand, associated its brands with festivities in Bengal and found that there was a substantial increase in its sales. Several brands in a number of product categories offer sales promotional programs during festive seasons and lakhs of consumers make use of the 'value-based' deals

Page 11: Sandeep Pillai 15, Tybmm Consumer Behaviour

during these times. A number of consumers make use of the ‘value-based' deals during these times. A number of consumers postpone their purchases, especially durables, in the hope of getting such deals. Even a niche jewellery brand like Tanishq came out with 'Oraaphis' (fraternal friendship bonds tied by girls to boys of their choice, usually in the neighbourhood) in gold on Raksha Bandhan. Gold coins with images of gods (a sign of financial prosperity) are given away as gifts by marketers of durable brands, normally through specified outlets in a city.

Shopping as a ritual: Shopping is a ritual of sorts, among both urban and rural Indians. The type of buyers, the shops they buy from and the product they purchase vary across geographical territories and the economic spectrum of consumers. Retail outlets may range from a roadside shop selling vegetables to Big Bazaar or Croma or Shopper's Stop that promises a considerable degree of ambience, variety and service over other conventional outlets. The fact that only less than 2 per cent of the products (in value terms) are retailed through departmental stores is a reflection of the fragmented nature of retailing in India, quite the reverse of what happens in developed countries. Housewives shop almost regularly for basic commodities and vegetables even though the trend may be changing in the urban context. Bargaining, especially in the case of commodities and vegetables, is an unwritten rule in the transaction process. The popular departmental store caters to the middle-class and has a sales promotion strategy for all of the year across several product categories. In the case of durable products like TV, refrigerators or two-wheelers, the average Indian consumer is oriented towards 'extended problem-solving' kind of decision making. As part of the great shopping ritual, members of a family go visiting different outlets with the objective of comparing prices and arriving at the best deal in a product category. The shopping of durables by typical Indian consumers can be associated with compensatory style of decision making, with buyers analyzing one brand after another (especially when sales promotions are advertised). It is extremely difficult to find retailers (durable categories) who refuse to sell the brand below the marked retail price in order to clinch the deal with the consumer. This has been true of FMCG products in the recent times and such shops use the signboard 'Buy and Save' to achieve big volumes.

The rural Indian scenario (a rural area is defined as a geographical region which has a population of around 5000 people and where 75 per cent of the male population is engaged in agriculture) presents a unique characteristic, which marketers have used. In a number of villages and towns (around 6, 25,000 villages) shandies are held every week and people buy the basic necessities (sometimes even durables like bicycles and watches) from these temporary markets. These are generally held one specific day in a week and retailers spread their 'product-mix' in make-shift stalls. Most of them stock fast-moving units across product categories that they buy from wholesalers near their place of trade. A number of companies make use of video-vans that arrange some kind of entertainment (most commonly, a movie) and end with a brand message. Not every village or town, of course, has this make-shift market, which attracts consumers from a number of neighbouring villages. Most consumers in semi-urban and rural areas, visit the closest market in the town/city for their purchases. Given the nature of the potential of durables (upper-end ones like refrigerators and colour television sets), brands are not in a position to have a network of outlets reaching out to most parts of the country (like FMCG companies that reach millions of outlets in rural areas). There are potential markets in villages where higher-end durable categories may be consumed, but the rural households in such categories, unlike their urban counterparts, are spread out while the latter are concentrated in a specific state (Punjab, for

Page 12: Sandeep Pillai 15, Tybmm Consumer Behaviour

instance, has a number of such households in rural areas). Marketers of durables can adopt specialized channel strategies. A brand can identify such customers, have a company-owned outlets are preferred because the company establishes contact with these consumers and can, at a later stage, attempt up-selling and cross-selling of its products. LG the brand that has a leading share in several categories of durable products opened up sales offices in semi-urban markets in an effort to reach out to consumers in the hinterland.

Mythology: Mythological stories, scriptures and music are an inherent part of the Indian culture that has attracted scores of tourists from different parts of the world. Apart from creating a brand experience in a service like tourism, toys, souvenirs and artifacts can also be drawn from the Indian cultural milieu. Such offerings are marketed in places of tourist interest but the offerings are not branded. Most of these may not even have the right quality in terms of product finish and durability. Tourism, largely promoted by Government enterprises has received considerable impetus in the form of infrastructure and service support. But there is a vast potential for creating a brand in this industry- among both foreign and domestic travellers. A value-based branding experience can create a huge market in tourism, which seems to have taken off in a big way only in the upper social crust. Local toy manufacturers cater to specific markets and a large chunk of the industry is in the unorganized sector. Branded toys with Indian cultural themes (with several elements of the marketing mix brought together) can open up attractive avenues for a brand. Even multinational brands like Leo and Mattel can develop ethnic brands and make it affordable for the masses considering the potential that exists in this sector.

Foods: As with most Asian countries, hot, spicy delicacies are popular in India too. It may be worthwhile to note that food habits have a strong link with culture and are difficult to change (Refer Plate 13). With the exception of Maggi noodles during the eighties, there has not been a 'foreign' food which has become so popular. Bread, which has been around for several decades, is still not popular barring certain urban and some semi-urban markets. But it is interesting to note that several variants of wheat flour are popular throughout India.

Page 13: Sandeep Pillai 15, Tybmm Consumer Behaviour

Changing Cultural Trends in Indian Urban markets

The urban setting is very different from the rural or semi-urban market setting. There are target segments in cities comprising professionally qualified, high-salaried people who are into the fast track of life. The cultural values of this segment reflect the trends in the urban markets (trends with regard to niche consumers that do not cover the majority of the population). This niche is strongly influenced by the lifestyle and aspirations of the West. The following values can be associated with this niche:

Success through Professional Achievement: These aspects contribute to the intrinsic and extrinsic motivational levels and are reflected in the consumption of products and brands. Possessing a middle-end car (like Opel or Honda City), membership of prestigious clubs and holidaying in a foreign resort are some such products/brands reinforce a feeling of accomplishment in the individuals and are perceived as rewards. Ceilo positioned itself as a brand for "those who arrived" when it entered India. Though the brand is no longer in the market, it is a typical example of how a brand positioned the car, a status symbol, as an aspirational offering in an appropriate context.

Involvement in Work: As a logical extension of the previous value, contemporary consumers break away from traditional work practices and are involved in high-tension, fast-paced jobs. They experience time-compression or convenience products. A variety of retail outlets across product categories have emerged in the context (ordering of groceries online, direct marketing brands, one-stop-shop stores, fast-food restaurants like McDonald or Pizza hut and grocery shops in petrol bunks are some of the examples). There is a growing need for several kinds of services which may offer high levels of satisfaction. On-call services like plumbing, bill-payment, laundry services and eateries are some of them.

Material success: Young professionals between 25 to 30 years, who are extremely conscious of their materialistic success, have emerged in the last decade. This segment is significantly and markedly different from its equivalent counterparts (in terms of education and status) two decades ago. The present day young adults have tremendous exposure to the environment through education or work experience abroad. They belong to the cutting-edge professions like software or are high profile entrepreneurs. Higher education, intelligence and aspirations of these consumers have resulted in their acquiring substantial wealth at a relatively young age in the life-cycle stages. The wealth is spent on essential products which have contributed to the service economy-health, amusement, time-compression and convenience. Besides, this segment chooses products and brands with a symbolic overtone; probably to tell the society that they have ‘arrived’. There is great demand for quality-oriented, branded services like laundry services, in-home delivery of food, baby-sitters, pet-care people and, in a small way, online marketing of essentials.

Page 14: Sandeep Pillai 15, Tybmm Consumer Behaviour

Middle-of-the-road approach to tradition: The niches of consumers, who are urban, highly educated and in upper end of the socio-economic strata adopt a middle-of-the road approach towards rituals and other cultural practices. Most are neither too permissive nor too traditional in their approach towards tradition. This is similar to the niche of Indian consumers in the West who adopt a similar approach.

Impulse gratification: While a number of consumers may be using credit-cards, the neo-urban young adults exhibit a compulsive need to buy products and services through credit cards. Some banks even attempt to get into the consideration set of such consumers by offering discounts to students of premier institutions in the hope that they may be prospective consumers interested in banking with them.

Use of hi-tech products: High-profile consumers use products like mobiles, computers and other hi-tech products in the categories of household appliances and entertainment systems. This lifestyle aspect may be of interest to marketers of high-end products like fuzzy-logic washing machines, plasma television sets and, perhaps, products using blue-tooth technology (A company with a rich database of consumers belonging to this segment can have several variations of permission marketing which essentially deals with getting the consumer involved in the brand’s messages that suits his/her interests rather than bombard the consumer with a barrage of direct mailings). This segment is oriented towards information, independent, involved in its search and has the potential and willingness to spend. A number of brands may address this segment through a media-mix. The penetration of PCs would be high among the members of this segment as would be online information processing even though, eventually these consumers may transact at a retail outlet. Several brands are positioned to this segment with lifestyle and symbolic appeals. Symbolic positioning can be backed up by a strong cognitive (information oriented) copy on the internet. Interactivity can be put to good use if the Web site can customize the information provided to the consumer. Queries are likely to be diverse in nature and TV commercials can be supplemented by the Internet. There is also a possibility for the brand to develop a brand community on the net. The urban niche is ideal for the marketers interested in one-to-one marketing or relationship marketing.

Page 15: Sandeep Pillai 15, Tybmm Consumer Behaviour

Marketing Communication- The Ethnic Way

A number of positioning strategies in the urban context reflect the growing influence of the West. But there have been successful communication campaigns which have conveyed the message effectively through the ethnic route.

There are many advantages of using the ethnic appeal (subject to the selection of the target segments). Ethnic appeals are normally drawn from the culture of a specific market which reflects the practices, rituals, taboos and behavioral orientation over generations. These may also be useful in enabling consumers to connect with familiar situations. Ethnic advertising has the ability to dramatize emotions in a specific cultural setting. Ethnic appeals can also be combined with western appeals. This can be best illustrated when comparing Titan’s advertisement with that of Godrej’s Storewell. The former has an element of dramatization woven around the ‘warmth’ expressed through the gift. The aspirational fantasy of gift-giving brought the brand into the consideration set of consumers who shopped for gifts (not just watches). Watch as a gift reflected in the picturization of the TV commercials clearly reflects a western orientation. The changing lifestyles, especially in urban markets, are conducive to such a positioning strategy. In the case of Godrej’s Storewell, the ‘emotional’ connection (though portrayed as a gift) is achieved by the backdrop of a marriage in which the bride receives the cupboard as a gift.

Ethnic RouteThere are different ways in which a brand can be positioned using the ethnic approach. It can

1) Identify specific behavior(s)/practices which are connected with the brand/product category.

2) Identify specific values in a cultural context which can be inputs to marketing communication.

3) Identify certain beliefs which needed to be considered before an advertising campaign is formulated.

4) Combine elements of a specific culture with changing cultural trends (Westernization).5) Capture a sense of nostalgia associated with a specific culture.6) Use cultural stereotypes.7) Identify specific cultural traits which can be used for product categories/brands.

A combination of several kinds of cultural dimensions makes it worthwhile for marketers to consider positioning strategies oriented towards culture.

Page 16: Sandeep Pillai 15, Tybmm Consumer Behaviour

Cultural BehaviorThere are a number of behaviours that can be associated with a specific culture. Some of

these have their origin in certain kinds of beliefs that are associated with product categories. For example, the bindi worn by Indian women is considered as an integral part of most cultures. Hence it is essential that a brand name for such a bindi should have an ethnic sounding name. A Western name is likely to be counter-productive. An interesting example of effective use of cultural behavior is the Pepsodent TV commercial few years back. Snacking on the way to school and back has been a cultural habit of Indians for many decades now. It is a behavior that can be associated with the masses. The commercial for the toothpaste captures this and the traditional behavior of the mother scolding her child. This gets the attention of viewers before the brand benefit of ‘protection’ is conveyed. Regardless of the extent to which this TV commercial contributed to the success of the brand, this example reflects the need for marketers to have insights from the daily life of consumers in a specific cultural backdrop. Even Maggi noodles (noodles is not of Indian origin) was positioned as a 2 minute convenience snack for children. The cultural practice of providing homemade snacks as food to children was the thought behind the Maggi campaign. The portrayal for whiteness in clothes led to the creation of the whitener category for clothes and Robin Blue was almost a household name before Ujala was launched. Whiteness to masses in India is the whiteness with a bluish tinge. The practice of using soap for washing clothes is so old that a brand like Ariel, which pioneered compact detergents at the upper end, had to introduce soap at the lower end of the market. It is interesting that Ariel initially advertised that soap was not required if one uses a compact detergent for washing. Samsung has introduced a washing machine to ensure that sarees do not get entangled.

Importance of Cultural ValuesCultural values are important for product categories and positioning strategies. A charm, the cigarette for the youth, was launched in the eighties and it became a rage for young smokers. Its positioning was in consonance with the changing values. ‘The spirit of freedom- Charms is the way you are’ was its punch line that stood for adventure, independence and non-conformity. The “jean” like packaging added to this appeal. However, cultural values have not changed enough for marketers to launch a cigarette for women (Ms was launched during the eighties). Values are important because they reflect culturally acceptable behavior. Valentine day cards may have been a taboo a decade ago but they have caught on, at least in urban markets. Bacardi, the liquor brand, positioned itself on the ‘Spirit of enjoyment’ (during the days of liquor advertising) and its success among the intended target audience also reflects the changing values. The launch of Closeup toothpaste during eighties was perhaps ahead of the values of those times. The ‘Closeup-Smile’ was advertised in cinema halls and was positioned at teenagers. Later, the permissiveness was marked down by using a different group in the commercial. Charms and

Page 17: Sandeep Pillai 15, Tybmm Consumer Behaviour

Closeup were one of the earliest brands, and were symbolic (along with changes in the environment) in heralding a new youth culture in the country.

There may also be certain beliefs that have an impact on marketing communication. The Indian obsession with fairness has made Fair & Lovely a strong brand. The recent TV commercial (which was later withdrawn) of the brand is based on deeply-entrenched cultural belief that a son is better than a daughter. But the daughter proves she can be as successful as a son, and the equality was possible using Fair & Lovely. Vicco turmeric cream positioned itself to the ‘brides- to-be’ to enhance their complexion. Turmeric for skin care is part of the Indian tradition in many parts of the country. Vicks Vaporub captured the emotional bond between the mother and the son to convey the benefit of the brand. Clinic special also captures the care an Indian mother showers on her daughter. The ‘family togetherness’ is a cultural aspect of India which marketers can use. Lifebuoy has re-launched as a family soap. While family soaps like Protex an All-care have not met with great success in terms of being present in the market for a long time, the ‘family’ platform for Lifebuoy may be appropriate, given the rural presence of the brand.

While Pond’s talcum powder was virtually a household name till the eighties, a significant cross-section of talcum powder users may have switched over to creams/ lotions because of the belief that “self-enhancing” powers are better with substitute products. A brand that masses accept because of a cultural belief should launch several variants/ better alternatives of the product for the same segment to ensure that the segment stays with the brand.

Asian Paints is a good example of a company’s attempts to associate its brand with several festivals in the country. For example, many families, especially in semi-urban and rural areas of Tamil Nadu, believe in repainting the house during Pongal. Asian Paints has created specific brands which are associated with such occasions.

Mixing Culture with changing trends A type of effective cultural appeal consists of mixing certain cultural beliefs with trendy products or advertising. Promise toothpaste, which had a successful run, highlighted the traditional clove oil used by the people to control toothaches. Cadbury’s recent television campaign (for Moulded chocolate) shows people of different groups enjoying the chocolate with a well known celebrity endorsing the brand. Normally, one associated chocolates with children in the brand .Normally, one associated chocolates with the children in the Indian context .But decades back the brand 5-star from Cadbury positioned itself as a “togetherness bar” towards the youth segment .(In fact, this was even before charms or Closeup addressed this segment). Snacking is a part of Indian culture. Positioning a chocolate for adults in India involves a mix of tradition and modernity, which is context, is Westernization. Chocolate, in the west, is a favorite with adults as well. Cricket has been so long part of Indian culture that Pepsi used I its campaign ‘for the younger generation’ and the associated this brand with fun that goes with the game. Ragga collection from Titan is another example of contemporary positioning with ethnic overtones.

Page 18: Sandeep Pillai 15, Tybmm Consumer Behaviour

Cultural Traits and Their importance: A few brands have used Indianness to make on their impact on their target segment. ‘Believe in the best’ which highlighted the superiority of the Indian made BPL products featuring Amitabh Bachan is an example of a specific cultural trait being used to reinforce a brand which had already built a strong image over the years. The ‘hamara Bajaj” campaign (the old and new) blends the modern lifestyles with the ethnic beliefs. The message of the positioning is that even though the current crop beliefs. The young people is western- oriented, they have a core association with the ethnic values. Ruf & tuf came up with an excellent commercial in which a modern youth reflects the cultural trait of respect for elders.”WE know English. We also know how to respect elders” was the essence of the TV commercial. The examples are old ones but they showcase the unique aspects of the Indian marketing history associated with cultural aspects.

Other Cultural Appeals: Nostalgia for a specific culture can be good appeal, especially for a brand which has been in the market for a number of years. Margo soap adopted this approach in its advertisement, in which a young woman remembers fondly her childhood days. Subsequently the brand used a well known female celebrity to endorse the goodness of neem based on her association with the elders who had recommended it. Ayurvedic concepts (now Himalaya) used the stereotype of a traditional grandmother to promote its products made from Ayurvedic preparations. Such cultural stereotypes lend credibility to the brand (refer plate 15). Bru initially used in the stereotype lend ‘the taste of filter coffee’, which is a part of the South Indian culture.

Cultural dimensions can matter too many products, and such inputs are valuable for both Indian and MNC brands.

Page 19: Sandeep Pillai 15, Tybmm Consumer Behaviour

Touch of Reality

Branding Associations and Cultural Practices

Cultural beliefs and practices can be innovatively used by brands. Meera is a herbal shampoo brand and the brand name, ingredients and packaging have strong associations with the cultural aspects associated with shampoo and beauty. The brand launched an interesting TV commercial that showed a dialog between the mother and daughter (this kind of relationship is very traditional in the Indian Culture and the mother’s tips on various aspects of life is also a traditional one) the advertisement begins by showing the daughter saying she is weak in Maths (also a frequently encountered belief among school- going children and parents). The daughter is shown fidgeting with her (also a traditional practice commonly seen) and the mother replies that her hair is also weak after noticing fallen hair in her daughter’s hands. The advertisement ends with the usage of the brand by the daughter who turns out to be strong in maths, with her also acquiring strength from the brand of shampoo.

Hamam, the popular soap brand in the southern markets introduced herbal variants and it also launched advertisements with clear images of cultural practices. One of the TV commercials begins with a man performing Suryanamaskara (a religious prayer in the culture), the lady of the house dressed in the traditional apparel and finally ending the commercial with the brand’s proposition of “auspicious beauty”.

Page 20: Sandeep Pillai 15, Tybmm Consumer Behaviour

Case Study: I: - TITAN WATCHES

(ONAM THEME AD, 1.02 Min, Malayalam)

Introduction to Product:-Titan is one of India's leading watch brands that brought about a paradigm shift in the Indian watch market, offering quartz technology with international styling. The company has a world−class design studio that constantly invents new trends in wrist watches. The brand Titan is committed to offering its consumers watches that represent the compass of their imagination. Titan's customers are therefore consistently introduced to exciting new collections, which connect, with various facets of their deep−rooted yearnings for self-expression.

Subjective Analysis:-The brand TITAN is very acclaimed a brand in terms of targeting its consumers in a very effective manner. They have positioned their product to be gifted in special occasions and to the loved ones. Here the Ad agency O & M keeping this in mind prepared the given ad for a campaign in Kerala. This campaign was done during the months of harvesting when Kerala celebrates Onam. Here not only the cultural value of celebrating a festival is emphasized but also the respect and love between the family members within which the consumer belongs to is given importance. Any consumer with a value of affection for an elderly person in family would be convinced by this ad to buy the product viz., The TITAN watch.

Page 21: Sandeep Pillai 15, Tybmm Consumer Behaviour

Case Study: II: - McDonalds Price menu 20

(Ad Doctor Babu 00:45 sec, Hindi)

Introduction to Product:-McDonald's is one of the world's largest chains of hamburger fast food restaurants, serving nearly 47 million customers daily. McDonald’s sells hamburgers, cheeseburgers, chicken products, French fries, breakfast items, soft drinks, shakes, and desserts.

Subjective Analysis:-Initially in India, McDonald’s was thought to be a restaurant catering to only students and people with modern outlook from the elite class of the society. And then the jack and Jill never turned up to the outlets. So to change their perception about the menu and to convince them about their product positioning, McDonald launched a new campaign in India about its new price menu. Of a range starting from Rs. 20/-. Now this again shows the core value of ‘saving’ within the Indian consumers. McDonald’s have adapted with the market conditions and so have the advertisers have kept that in mind while delivering the message to them.

Page 22: Sandeep Pillai 15, Tybmm Consumer Behaviour

Case Study: III: - Indigo MANZA (Full Page Colour Ad, TOI- July 29, 2010)

Introduction to Product:-Redefining the idea of technology, comfort and extravagance, this latest launched mid-size car from Tata Motors forces you to indulge in style. What makes Tata Indigo Manza to stand out from others is its spacious design.

Subjective Analysis:-The print advertisement of Indigo Manza is attached very next to this page.

Young professionals between 25 to 30 years, who are extremely conscious of their materialistic success, have emerged in the last decade. This segment is significantly and markedly different from its equivalent counterparts (in terms of education and status) two decades ago. The present day young adults have tremendous exposure to the environment through education or work experience abroad. They belong to the cutting-edge professions like software or are high profile entrepreneurs. Higher education, intelligence and aspirations of these consumers have resulted in their acquiring substantial wealth at a relatively young age in the life-cycle stages. The wealth is spent on essential products which have contributed to the service economy-health, amusement, time-compression and convenience. Besides, this segment chooses products and brands with a symbolic overtone; probably to tell the society that they have ‘arrived’. And this is the caption for the advertisement- A CAR THAT’S DESIGNED TO ANNOUNCE YOUR ARRIVAL, with a model who represents the class of young entrepreneurs as mentioned above.

Page 23: Sandeep Pillai 15, Tybmm Consumer Behaviour

Case Study: IV: - DELL laptops (Full Page Colour Ad, business today- Feb 24, 2008)

Introduction to Product:-Dell Inc. is a multinational information technology corporation based in Round Rock, Texas, United States, that develops, sells and supports computers and related products and services. Dell has grown by both organic and inorganic means since its inception. The company sells personal computers, servers, data storage devices, network switches, software, and computer peripherals. 

Subjective Analysis:-This brand is positioned to that segment of the society which is oriented towards information, independent, involved in its search and has the potential and willingness to spend, with lifestyle and symbolic appeals. Just like the ad of DELL laptops attached very next to this page that appeared in the magazine ‘business today’ on 24 Feb., 2008 has symbolic positioning about the performance of the product and its user and is backed up with a strong cognitive message in the form of copy. A number of brands may address this segment through a media-mix. This ad is designed keeping in mind about the desire to use hi-tech products within the above mentioned class of people. And this describes the core value of being ambitious to grow further and use hi-end products for high performances. A very common core value found in the Indian generation of this time.

Page 24: Sandeep Pillai 15, Tybmm Consumer Behaviour

ConclusionThe project is hoped to be one making the reader understand about the interesting subject of Indian Core Values, in the context of Consumer Behaviour in India majorly dealt with Advertising. For this few cases have been overviewed like the base of core values i.e., Culture and its characteristics, a consumer’s perception about culture etc. and then the subject in focus. Further to say, the whole of the given notes explains the way core values affects the decision making of a consumer and how important a role it plays in doing so.

Thank you.

Page 25: Sandeep Pillai 15, Tybmm Consumer Behaviour

BibliographyAdvertising Management- Rajeev Batra, John Mayers, David Aaker.

PHI

Advertising- principles and practice—Wells Burnett Moriarty.

Pearson Education

Advertising Made Simple—Frank Jeffkins

Rupa paperback

Consumer Behaviour and Branding: Concepts, Readings and Cases-The Indian Context

- By S. Ramesh Kumar

Google links.