Monthly Archives: September 2010

CWG: Everybody is a player

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The 19th edition of Common wealth Games to be held in Delhi are in midst of a huge crisis. Obviously the brand CWG is floundering under the sustained media pressure and this in turn is knocking at India’s equity too.

The media has been running a sustained and high pressure campaign dubbing the Commonwealth Games as common stealth games. Everyday there is a new revelation about a misdoing or corruption. The key opinion makers too have had field day writing about what is wrong with the games.

One leading writer of popular fiction has called for the boycott of games, called it the tool of repression and has gone to the extent of saying that the games should be used a tool to overthrow the current Government and install a new regime. In saying so he is only furthering the views of the ex sports minister of India. The jingoism has sunk to a new depth.

As it happens in any prolonged debate, the facts get muddled and perceptions start to become reality. A lot of the facts and figured that are being quoted by various people are more fiction than reality. The Indian Express story on tracking the expenses is possibly the only contrary voice in the debate.

The debates are now slipping into a very predictable pattern of raising a lot of issues but offering no solution. Interestingly the Winter Olympics in Vancouver and even the impending London Olympics are not beyond criticism. There was a very harsh criticism of estimated $6Bn (yes 6Bn Dollars, and by a first world country where supposedly the infrastructure is not a problem) spent by Canada in hosting the games, and London is facing criticism on its entire branding programme, which they say isn’t ‘British’ enough.

The only fact that is absolute truth in this debate is that there has been corruption in hosting these games. It also seems that entire logistics management for hosting the games has seen a collective brain freeze.

So let’s compartmentalize the whole issue.  There are the games to be hosted and there are issues in hosting the game. Should we allow the issues to overtake the event? If the brand manager messes up with the distribution should the brand be withdrawn and consigned to dustbin? Or maybe even close the company down which owns the brand? It’s become a classic case of throwing out the baby, but keeping the bathwater.

Now this raises the crucial question: who owns the brand CWG? No, it’s not the organizing committees, it’s not the sports ministries, and it’s definitely not the Governments. The brand is truly owned by the ordinary citizens of the participating countries and the host country has a special interest in the brand for a definite period of time. The athletes who will compete in the games have special interest in the brand, so do those who have competed in past and those who aim to compete in future. Unlike what the critics may be saying about who bothers about the commonwealth club, the special interest group bothers about it. We must see the brand from this prism.

The common public of India, however skeptical it may be, wants India to hold the most spectacular games ever. For its not only the athletes who would be competing in these games, it’s the whole nation that will be competing in these games. The pride, identity and value system of a whole nation is at stake. If the games are all about triumph over adversity, hard work, dedication and going for glory than the time to display all that is now.

We all own the brand, and we must ensure that we pass the right set of legacy and heritage to the next set of trustees. For that to happen, we have to ensure that we as a nation win, and not score a self goal.

http://www.mediaworldbuzz.com

Non Conspicuous Consumption

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There is a new trend that is blowing across the world of brands.

Brands are the great story tellers of modern times. Brands reach out to a wide set of audience. And by reaching a wider set of audience they impress upon the listeners to behave in a certain way. The audience displays the fact they have bought into the stories told by the brand by showing it to the world. This creates a large society of conformists.  As this kind of behaviour is the mass produced behaviour, a set of consumers seek differentiation from their peers. When a brand tells a story of exclusivity it promotes the feeling of status.

Symbols that are well known and allow the consumers’ to make a statement of style or class or taste will always dominate the popular culture.

This very culture of wanting to assert status is also driving the counterculture of desire for pleasure and experience that are personal and private in nature. This means that every brand needs to announce the status factor to masses, but help the consumer enjoy the status impact from their purchase in a much more inconspicuous way.

The issue with status symbols is the fact that they don’t really differentiate one consumer from another; it actually creates a ‘class’ of same kind of consumers.  Is this why consumers tend to personalize their status announcing products as quikly as they leave the shelves? Possibly this is why iPhones get funky covers and cars get different accessories? Possibly they add that extra bit to bragging rights.

This search for uniqueness is driving the sales of some very interesting brands. The VW Beetle or the retro Fiat 500 is not bought for the reasons of status or prestige. They are bought for the reasons of uniqueness. Chances are everyone knows about the driver of Beetle or 500. The brand here is not adding to the status of the owner, the brand is adding to the uniqueness of the owner. It’s arming the consumers with some very potent ingredients to tell a story.

The desire for exclusivity and uniqueness is fuelling the desire for new experiences. The desire for experiences is making pleasure a bigger driver than possessions as the generator of status symbols.  This is driving consumption of brands that is not conspicuous.

Take a look at homes becoming heavens. Increasingly home owners are investing in expensive home theatre systems, or Jacuzzis that are not the centre piece of display. They are in private spaces and to be enjoyed by the owners. They are not the most visible status symbols, till the owner decides to speak about it. This whole trend is not driven by conformity, it’s driven by individuality.

If the new status symbols can be driven not by consuming and displaying an alternative way of lifestyle than it can be used to trigger a social change by which the society can start to step of the consumption conundrum.

Can this trend drive the desire to be ecologically more responsible? Be aware of citizen rights and insist on voting in elections? Will sparing some precious personal time and devoting it to philanthropy be a change driver?

Can the non conspicuous consumption be the new conversation starter?

Naxals or politicians who is the villain?

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The Naxals today assassinated a helpless and unarmed Policeman in Bihar. Nothing can be more cowardly than shooting your own country man in name of ideology or struggle or perceived injustice. As an Indian it should get your blood boiling and hang your head in shame.

Surprisingly this is not what our politicians feel. Watching them react on the tragedy will make you wonder about our own culture. Amazingly it is the people in power who have displayed extreme insensitivity towards what is happening. Probably there in lies the tale of the issues we are facing as ordinary citizens.

Take a look at what some of the leading lights have been saying.

First look at what the BJP chief of Bihar has to say. He says that he does not have the facilities that a chief minister has, and its not his job to think about the welfare of the policeman. He is not paid to do thinking for people. and saying so he has a smirk on his face. What about being a public servant?

Than there is the Chief Minister of the state who is not only an extremely qualified and educated gentleman, displays mind numbing insensitivity towards the whole affair and calls himself helpless. To see him not even condemn the act is like watching Pakistan cricket team defending its players

These two are mere politicians and they like any politician have multiple meanings for what they say and what they don’t. Possibly they know what needs to be done and possibly they are trying to do something. May be I am just being charitable

The real gem in this saga is Swami Agnivesh. This is the gentleman who has built his career as a social activist raising issues that matter and connect with public. On a TV channel during a debate he very skillfully deflected the whole issue and almost justified the killing of the policeman. Wonder why would he not stand up for the slain policeman who is braver than any Naxalite whose brief is carried by Mr. Agnivesh?

The trouble is that our political scene is now getting extremely insensitive and impolite. To hear Mr Modi say that even if the PM sweeps the floor of stadiums they wont be ready in time for CWG can only be described as height of impoliteness.

Is it that today a politicians believe that they wont connect with their constituency until they are not impolite, curt, rude and insensitive? And possibly the media specially the electronic ones believes that they too need to be loud and be insensitive to get the eyeballs?

The most cowardly act of the Naxalites can have a positive impact. Its upto us, the ordinary citizens of India to ensure that our politicians, social activists and the journalist become sensitive, responsible and see beyond their narrow constituencies. Afterall we deserve the leadership we get.

Till than we will have to bear the cross of two groups of citizens of same country going after each other.

Lets condemn the cowardly act in as many ways as we can.

The New Middle Class in India

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It is now official. First time in the history of modern India, high income households will outnumber lower income households. According to latest NCAER estimates India will have 46.7 Million households in high income category and 41 Million households in lower income category.

Households earning up to Rs 45000 per annum are dubbed as lower income households, and those earning over Rs 1.8L per annum are classified as high income households. But the real story lies in the number of households that are between Rs 45000 to 1.8 L per annum. This number has now reached estimated 141Mn households, out of a total of 228Mn households in the country. This is what is called the middle class in India. This middle class now is over 60% of the entire country. This is a stupendous turnaround that we are seeing happen to our country.

We often assume that the entire middle class is ‘one class’ and we can try and paint them in one go. The truth is that the middle class in India is a constantly evolving mix of audience. The current decade has seen a very strong growth in middle class. The economic growth, the rising prosperity, more and more people moving up ladder has created a new class of customers. These are the new members of middle class of India.

What is fuelling this new middle class? What are the trends that they will trigger? After all they are a very potent group of consumers

The new middle class has been powered by women. Just look at the long term literacy data of India and the impact women are having will be clear. The female literacy rate has risen from 8.6% in 1951 to 54% in 2001 census. The 2011 census I am sure will show that the number may have crossed 60%. Interestingly the growth of female literacy rate was 15% between 91 and 2001, as against just 11% of male literacy growth. Clearly the women are catching up with males, and this too is triggering a set of new trends.

Here’s a look at some of the new truths about the new middle class

The growth of the new middle class is powered by women. With better education they are joining the work force in a greater number. With this they are taking control of their future, having a greater say in their wedding, deciding on when to have kids and how many. Apart from the demographic impact they are also driving their partners with a greater zeal to improve their future. They are making the most of change in their demographic and social status.

The new middle class will impact the travel choices in a big way. The new found economic freedom will translate into a greater desire to explore the world. They will pack their bags and take vacations at a greater frequency than ever before. And they will not always be looking at visiting their relatives only when they do so.

The new middle class is very serious about securing their future. One of the first serious buying decision they will take will involve buying a house. They will look at buying their own house even before they decide to buy a car. There is no better way to announce the transition than by buying a house. This means that the small home segment will boom in a much bigger way in coming decade

The new middle class is truly driven by dynamism of its own members. They are literally writing their own destiny and crafting their future. They are hardworking, optimist, smart and not driven by the rules of past. They will impact the world of marketing and branding in a big way.

The new emerging reality will be very exciting