Dealing with Barnacles

Three years back, I went to a State Bank of India (SBI) branch in Calcutta to open a Public Provident Fund (PPF) account, which is an important savings instrument in India. SBI is the largest bank in India, it is majority-government owned with the largest number of branches: however, it faces stiff competition from other private banks such as ICICI, HDFC as well foreign ones such as Standard Chartered. You don't need to have a savings account to start a PPF; the PPF account is different but you must start the PPF in SBI and no other bank. The branch manager was an elderly guy, over 50 probably, and he joked with me, "I'm planning to stop all PPFs in my branch. What's the use? You young people open savings accounts in private banks, we operate just the PPF accounts and get nothing." I laughed and he opened the PPF.

This is an example to show how government-owned banks in India , such as SBI, are thirsty to tap deposits from the younger, upwardly-mobile and high-earning generation. They realize that most of these prospective customers are being captured by nimbler private banks fast. Banks like SBI are still looked at favourably by the older generation but that does not do them a lot of good.

To be fair, various divisions of SBI, especially the bank, are trying to market themselves aggressively as technology-friendly to acquire new customers. The bank has gone on a massive modernization drive (upgrading IT systems, computerization, online banking etc) and changed the layout of its offices. For instance, the branch I went to looks quite modern and is spacious. The TV advertisements focus on customer convenience and satisfaction and alliances with global players such as GE Money have been forged. But, one thing that struck me in that particular branch was the age profile of the employees. I could not find many young employees, the teller and other staff were mostly older people, probably over 40 and this made it difficult for me to connect with the bank. This may be true for other younger customers as well. That's not the case when you walk into a private bank which has mostly young employees, 25-35 years old, but the branch manager's age would be on the higher side.

So, what should SBI do to connect more intimately with younger customers? Firstly, hire young, smart employees, this is crucial to change the perception of SBI as a large, staid government-owned bank with old, lazy employees. Secondly, aggressively market its products. I have received calls from ICICI, HDFC to open joint accounts, senior citizen accounts (for my mother), take credit cards and have discussed savings schemes with bank representatives. I remember receiving just one offer from the credit card division of SBI, which I refused because I already had one HDFC credit card. Aggressive marketing is costly and might not provide immediate benefits in an intensely competitive market, but SBI has the financial wherewithal and the need to market itself better in order to make its presence felt.
Thirdly, it should improve customer service. I have invested in SBI Mutual Fund, a separate division of SBI, and they never send me monthly or even quarterly paper fund statements. I would ideally want them to do so, as is done by some other funds I have invested in such as Reliance Mutual Fund and HDFC Insurance. For instance, both HDFC and Reliance send me quarterly fund statements and I can also track my HDFC investment online. It could be that SBI may be trying to implement paperless transactions (though I'm not sure) but if so, they should convey the message clearly. What SBI Mutual Fund does impacts the overall brand image of SBI and also other business divisions, such as the bank.

As of now, I am a 'Barnacle' to SBI as my loyalty is quite low but my value potential is high: I am already generating value for the mutual fund division. This is true for numerous other younger customers, who SBI wish to engage with. But, SBI would need to do market its products aggressively and change the brand image further.

Only then, they can make 'True Friends' with customers whose value potential and loyalty are both high.

Demystifying Nano's marketing weaknesses

Over two years ago, Tata Motors launched the Nano in India, a car priced at around $2000 that was expected to revolutionise the domestic passenger car market. I remember telling a friend, who was in the US at that time on a project, with a lot of pride, "Obama is also talking about the Nano. Tata has done us all so proud." My friend joked, "Ask Obama if he would like to ride the Nano. This car won't even pass the stringent security tests in the US. You should see the cars on display at the Detroit Auto Show." It seems, these days, even Indians don't like the Nano, let alone Americans! The company has been reporting very disappointing sales in recent times: Nano sales slumped 29% in June this year to just 5451 units. But, other car makers such as Maruti Suzuki, Hyundai and Toyota (even other Tata brands), are doing well. Somewhere amidst the fanfare, both domestic and international, Tata lost its marketing plot and maybe even assumed that the Nano was an automatic success. Let us analyse the marketing weaknesses with the 5 C model:

Company - Tata Motors is associated with high quality cars and commercial vehicles. Technological innovation that helps to cut down cost and make vehicles affordable is also a key feature of the company. The company owns luxury car brands such as Jaguar and Land Rover, implying that Tata operates at both price spectrums of the car industry.
The problem that Tata faced in marketing the Nano was the excessive focus on the 'cheapness' of the car and not the high degree of innovation, superior design and engineering excellence that went into it. Suddenly, prospective customers were being bombarded with TV advertisements, posters and emails talking about 'low price' and not sufficiently about the other important features. They wanted to know whether Tata was lending its name to a good quality car and not just cutting corners by offering a 'cheap' car.

Competitors - Tata faces stiff competition in the Indian market from Maruti Suzuki, Hyundai, Toyota and a few other German manufacturers. The other companies offer low-cost hatchbacks but not quite as cheap as Nano. But, the cars are of high quality in terms of convenience, fuel economy and security and are usually lapped up by consumers even at higher prices. Tata's marketing weakness was the excessive focus on 'price' and not on other features such as fuel economy and security.
 
Customers - Indian customers are hard to please, especially if you are offering a 'cheap' product. They are highly aspirational and if they are convinced about the features of a product, they will go for it even at a higher price. Tata was forced to recall a huge number of Nanos and pay full compensation when the cars started catching fire shortly after launch. Customers started doubting the security features and lost faith in the product. Given that the company faced manufacturing delays and high raw material costs, customers began to doubt the marketing campaigns and whether Tata was cutting corners just to keep the price low.
 
Collaborators - Tata collaborated with a number of car parts suppliers and initially purchased various components at a low price. But, trouble started when component costs started shooting up due to high global prices of the raw materials used in the components. Reports started trickling in that Tata was having problems in controlling costs with price of components going northwards. Given that the Nano marketing campaigns focussed so much on just 'price', the whole low-cost model went astray and led to doubts among prospective customers.

Context - PESTLE analysis
Political - NA
i. Economic - Tata's intention was good, a low-cost car focussing on first-time buyers and motorbike riders. But, the excessive focus on 'low cost' was a marketing weakness.
ii. Social - Indian customers are highly aspirational and look for good quality (convenience, fuel economy, security) and not just low price. Nano marketing campaigns' price focus alienated customers.
iii. Technological - Nano was made after months of research and technological innovation. Superior design was the hallmark of the car such as putting the engine at the back to make it more spacious for taller people. However, marketing campaigns failed to sufficiently convey the message about quality, convenience and security.
iv. Legal - NA
v. Environmental - Some activists were initially concerned what effect a cheap car would have on the level of pollution. However, this did not have any major effect on the car's marketing and prospects because the Nano's influence on India's car penetration levels and the overall effect on the passenger car market were main focus areas.   

The Nano could possibly register better sales going forward but it's not likely to be substantial. Tata has not been able to market the Nano properly. Competitors are rolling out new products each month which are of sufficiently high quality though not as cheap as the Nano: even Tata is coming out with pricier cars. Motorbike riders (and other first-time buyers) would rather ride their bikes as of now or purchase a 'better' car with a car loan rather than be viewed as the owners of the world's 'cheapest' car. Times are certainly tough for the Nano!      

Sky is the limit for Aakash

Recently, an important event happened in India the day Steve Jobs passed away. On that day, the $35 tablet computer called Aakash (meaning Sky) was unveiled by a company called Datawind with basic computing functions and internet capability. This is aimed primarily at secondary and higher-secondary school students. The overarching objective is to provide a low-cost technological platform to students and expand internet penetration overtime, which is very important in India. Let us look at the segmentation, targeting and positioning for Aakash with the STP model:

  - Identify total market   - Over 40 million secondary and higher-secondary school students in India.
 
  -  Determine segmenting dimensions - The market can be segmented geographically. The proportion of secondary and higher-secondary school students is almost evenly distributed across urban and rural areas. Thus, the number of students in rural areas is around 20 million, the same as urban areas. Geographical segmentation is important, in this case, because of the disparity in usage of technology in rural and urban areas in India. This is the key factor in determining which segment to target and how to position the tablet computers.
 
  -  Profile each segment - The students in the urban areas have access to the latest technology and their families have the purchasing power to provide them computers and mobile phones, even at a higher price. On the other hand, students in rural areas do not have ready access to technology and face infrastructural deficiencies. They require low-priced computers to avail technology for educational purposes.

  -  Assess segment attractiveness - Even though the number of students in both segments are nearly the same, the rural segment is more attractive for a cheap product such as Aakash. This is because Datawind would be looking at selling higher volumes to the 20 million students and even at the low price point of $35 this would most likely help the company generate profits.
On the other hand, students in the urban areas are not an attractive segment since they already have access to better technology. Uptake for the cheap Aakash tablet is not likely to be as high as in rural areas since price is not a constraint for students in urban areas. For instance, their families can purchase tablet computers launched by Samsung and Apple at higher prices with better functionalities and applications.  

- Select target markets  - The students in rural areas are prime targets. This is because targeting this segment is profitable for Datawind because of the prospect of selling higher volumes and because of the lack of competition at such a low price point of $35. Even in the urban areas, Datawind faces low competition at the low price of $35 but the sales prospect is not good since students are technologically savvy and would prefer to buy computers with better functionalities and applications even at higher prices.

- Positioning - Datawind would have to position Aakash as a cheap technological platform that satisfies an important need of students, especially in rural areas. The marketing strategy would have to focus on conveying the long-term benefits for society, such as expansion of internet access and the positive effects on educational standards. The low price of the tablet computer can be used as a key marketing tool. Television advertisements featuring important national figures conveying such messages would be an important way of marketing the product. Social media, such as Facebook, can also be used to market the product.

Indians will be keenly observing the performance of Aakash over the next few months. The sky is surely the limit for this important innovation.  

The 'Rockstar' of Indian Dairy

It was more than half a decade ago when a dairy revolution was started in the western Indian state of Gujarat. Amul, a dairy cooperative formed in 1946 is currently the largest food brand in India and the world's largest pouched milk brand with annual revenues of $2.15 billion (FY 2011). Around 2.8 million dairy farmers jointly own the cooperative with around 735 employees in the marketing arm. The management has recently expressed an ambitious objective to join the Nestles and Danones of the world in excellence in the dairy industry. What interests me most is how has Amul been able to market its products and target the right type of customers to achieve the sort of success that it has? Is it doing anything differently because currently the Indian market is dominated by young consumers, whose needs are vastly different from the older consumer two decades back?

The answer is: Yes, Amul is trying to market itself differently as it competes with other large, global players in the lIndian market. It realizes it can't afford to be perceived as a staid old, brand which produces milk in large containers. And, it is responding by changing its marketing strategy. Let's look at the issues with the STP model:

 - Identify the total market - The total Indian market comprises 1.2 billion people. Indians across all age groups both in urban and rural areas have a strong preference for liquid milk as a principal source of protein. Fluid milk, ghee (clarified butter) and butter are the most important items consumed (USDA Foreign Agricultural Service, 2010).

 -  Determine segmenting dimensions - The Indian market can be segmented based on demographics and behaviours. The chief consumers are in the 18-30 age group both in urban and rural areas. The other consumers fall in the higher age ranges, especially those over 30. The 18-30 age group like to experiment with the dairy products that they consume (not just fluid milk, other value-added products); people in the higher age group generally stick to fluid milk.

-  Profile each segment - The 18-30 age group is fitness- conscious, spend a lot of their time on social networking, have relatively high disposable income, especially those who enter the job market at a young age of around 21-23. This is also true for young consumer in many smaller towns, which are getting increasingly connected to lifestyles in bigger metros. These young consumers don't prefer fluid milk, they like cheese products (vegetable cheese products) and generally don't like ghee (clarified butter) as well due to its fatty nature. The higher age groups (over 30) prefer fluid milk as well as ghee.

 - Assess segment attractiveness  - The 18-30 age group, rural and urban combined, comprise over 50% of the Indian consumer base. Their preference for higher value-added and expensive products makes this segment more attractive than the over-30 age segment.

-  Select target markets - The prime target segment is the 18-30 age group and Amul is following a concentrated marketing strategy by targeting this segment with new marketing tools. The over-30 age segment is not a major focus since the Amul has a ready market here with its high quality fluid milk, butter and ghee.

 - Positioning - Amul has initiated a marketing campaign to change its dull and conservative image among the youth. The company is repositioning traditional, fatty products like ghee as something which could result in a glowing skin. It is a sponsor of the Sauber Formula 1 team in the Airtel Indian Grand Prix, slated for October 30 in New Delhi. The recent ad spoof on former Pakistani fast bowler Shoaib Akhtar "Tab bhi phekta tha, aj bhi phekta hai!" (Used to fib then, and is still fibbing) drew a huge response from youngsters on Twitter. A 22-year old called the company a 'Rockstar'. There are other events and brand positioning plans in the works to connect with the young consumers.

It is still to be seen how the new marketing strategy works out in the medium to long term. But, the initial signs are encouraging for the 'Rockstar'.  

    
      

Social media - a powerful banking platform

These days almost each and every company, whichever industry segment they might belong to, tries to leverage the power of social media. Australian banks are no exception. While researching on my present marketing group project, I found that the 'Big Four' Australian banks have set up Facebook and Twitter accounts and encourage customers to interact with them through these accounts. Not just that, some of the banks have dedicated employees handling these accounts.
But, there's one Indian bank which provides a clear-cut example of how social media can help salvage a company's reputation and bring it back from the brink of disaster. ICICI Bank, the largest private bank in India, was facing a serious turmoil during the global financial crisis two years back. There were serious rumours circulating in the air about the bank's exposure to US subprime mortgages and that the bank was close to going bust. Consumer forums on the web were rife with complaints about the bank's services, especially credit cards. Customers were panicking, closing down accounts and moving to other banks. The stock price crashed by 20%  in a single day. All seemed to be lost for ICICI.
Then the bank started a concerted effort to fix the problem with a major focus on social media. Twitter and Facebook accounts were set to address all possible complaints (the twitter account emphasized the fact that the 'bank cares'). The website of the company urged the customers to engage with the bank on social media and post their complaints, opinions and suggestions there. The company management recognized the power of the online platform and acted accordingly. And, slowly but steadily, the bank recovered.
On analyzing ICICI's social media strategy closely, it becomes clear that the bank realized that it can't afford to lose existing customers, especially the high-value ones. So, in a way this was a defensive marketing strategy, in the face of adversity, aimed at maintaining their existing customer base. Profit potential from typical upper middle class customers was high and the key was to address their issues to encourage high loyalty towards ICICI's products. In effect, the objective was to turn these customers into 'true friends' instead of 'butterflies' (high profit potential but low loyalty). The following are ways in which the bank managed to become 'true friends' with customers in the next couple of years:
 - Keep up communication links but don't overmarket - Social media marketing was a potent way to achieve this. The bank engaged with customers and addressed their problems without aggressively marketing it's products on social media.
 - Ensure that value is communicated both ways - Customers understood that the bank cares about them. Successful social media marketing helped the bank earn the trust of customers.
- Nurture and defend these - The relationship has been strengthened over the last two years with multiple Facebook and Twitter accounts for different bank services. Customers continue to engage with the bank through these accounts.
 - Focus on both attitudinal and behavioural loyalty  - That the social media campaign was able to promote loyalty (both attitudinal and behavioural) is evident from the bank's healthy revenue, profit and share price growth. Complaints remain but the bank focuses on an efficient grievance redressal mechanism, especially through the social media. 

This is just an evidence of the power and reach of social media. It's not just banks in India and Australia but businesses all over the world are realizing this. And, this makes the business of buying and selling so much more interesting.
  

How to market luxury to India's rich?

Famed American fashion designer Michael Kors is keen to invest in India. Mr. Kors, revered by the rich and famous for his classic women's sportwear, adorned by the likes of Michelle Obama and Cate Blanchett, is keen to tap the small but growing Indian luxury retail market. Cracking the Indian market can be a difficult proposition and I believe he'll needs some sound advice on how to devise a suitable branding strategy. So, here I am, at your service Mr. Kors.
The first step to successful marketing of the Kors brands in India would be to enter into a licensing agreement with a local company. Local regulations allow 51% majority ownership by foreigners of single brand retail ventures and Mr. Kors should take advantage of this. Entering into a license agreement with a well-known local company has a number of advantages.

- Economics - First of all, the economics of the licensing process is lucrative. The local partner would know the target segments and can market the brands accordingly through a variety of channels. Mr. Kors doesn't need to spend a fortune on setting up distribution channels.

- Control - Mr. Kors retains control over the licensing joint venture with the 51% holding.

- Coverage - Where should the stores be opened? Does a huge investment in standalone stores make sense at the initial stages of the business? I don't think so. Rather, Mr. Kors should test the market by opening a couple of stores in five-star hotels or malls in cities such as New Delhi and Mumbai. Contact between the brands and customers is an essential tool for successful marketing and branding and Mr. Kors should facilitate this. I'm pretty sure that the rich and famous in these two cities are already quite familiar with the content, i.e. they already recognize the Kors brands. But, even if they don't, the stores in places such as the Oberoi in New Delhi and Taj Mahal Hotel in Mumbai would bring them closer to the brands. In any case, these hotels witness a steady stream of rich local and foreign businessmen and travellers so I think Mr. Kors would already have a large potential clientele here. You can't really ask for a better testing ground for luxury brands. Following the steady build-up of brand loyalty, driven by the product quality, customer service as well as tv ads, social media marketing etc, Mr. Kors could open standalone stores in upmarket localities in the two cities.

Now, I have made the suggestions based on the successful experience of other luxury retailers in India over the last four years. For instance, Hermes opened their first store in New Delhi's Oberoi hotel in 2007. They had a 51:49 licensing JV with Khanna Specialty Retail, who handled marketing and distribution of products such as the Birkin and Kelly bags. And, Hermes opened their first standalone store in Mumbai earlier this year after sufficient market testing.
Since this a path well-travelled by other big players, Mr. Kors could also benefit by trying it out. As the saying goes, "Don't change unnecessarily what is already working."     

Marketing the DVR, British-style

Recently, I was watching an Indian advertisement on television after quite sometime. It was about the Indian telecommunications company, Bharti Airtel's digital video recording (DVR) service, launched early last year. The ad was well-made, featured two top Bollywood celebrities engaged in a conversation about the service and evidently the company had spent a hefty sum on making the ad. Then, it struck me.
The ad was actually closely modeled on the way British telecommunications giant BSkyB marketed its digital video recording service, Sky+ post its launch in 2001. Sky+ was marketed as an innovation that clearly differentiated itself through the technological platform and value-added services it offered. The emphasis was to let busy family members optimize their time and record live programs which could be watched later. Celebrity couples and opinion formers on radio were deployed to engage potential customers about the benefits of the product. This is exactly how Airtel was marketing their service as well, taking a leaf out of Sky+'s book to engage Indian customers. But, there were other aspects to Airtel's new service as well. Let's see how exactly Airtel was faring with the help of the five C's.
Company -  Airtel is the leading telecom company in India, widely regarded to have kickstarted the wireless revolution in India. In the DVR space, Airtel marketed the service as technologically advanced, supporting their Bollywood ad campaign with the MPEG 4 DVB S2 platform, a first in the industry. This was clearly communicated through the ad, which also talked about the 'record from mobile' feature of the DVR service.
Collaborator -  Airtel collaborated with companies such as Alcatel Lucent and Nokia Siemens for network upgradation and management of pan-India broadband and telecom services. This collaborative aspect was made clear through newspaper and magazine articles and ads and tv ads.
Customers - Indian customers are becoming fast-acquainted with new technological developments and look for products and services which match the high standards of developed world offerings. But, on the other hand, couples and families are increasingly pressured for time largely due to work commitments. Just like Sky+, the Airtel DVR sought to connect with the consumers by providing a compatible service and communicate its benefits in saving time and watching good programs later.
Competitors - India has witnessed a convergence in communication and entertainment spheres. The marketplace in India has, therefore, become crowded with each player vies assiduously for the consumers' attention. Airtel's marketing strategy sought to outdo its competitors through product differentiation and related advantages of compatibility and communicability. Airtel's ads focused on the simplicity of the service and compatibility with mobile phone technology.
Context - Social and technological trends indicate that Indian consumers are increasingly looking to save time and watch tv programs whenever it suits them. Compatibility with different mediums such as tv and mobile has also become important. Airtel's ads focused on these two aspects with Bollywood celebrities discussing how to use the DVR, how much time will be saved and where they can watch the programs later.
The jury is still out on the success of the DVR service but Airtel does want a large share of the pie, emulating what Sky+ achieved in England.
 

The Love Affair with McAloo

When Mcdonald's set up its first restaurant in India in 1996, it faced a difficult challenge. The market for fast food in India was expected to grow fast but traditional beef burgers would be complete non-starters in a largely vegetarian and cow-revering India. Adapting their offerings to suit local tastes and preferences was the key to success and the company needed to be imaginative. Thus came to life the ubiquitous and delicious McAloo Tikki burger. Or, the special Chatpata (spicy) McAloo Tikki.

The product is simple enough. The core product is a vegetable burger made of potato, a vegetable Indians love. What makes it special, though, are the spicy augmentations that an Indian customer expects at a reasonable price. For instance, the Chatpata McAloo Tikki comes with assorted traditional Indian spices, peas, vegetable-tomato mayonnaise and onions, another vegetable that is central to most Indian cuisines, at 20 rupees (around 45 US cents). But, these are really the minimal augmentations. The extra service or enhancement that exceeds the customers’ expectations is really the superior home delivery services in most cities where McDonald's operates. This is different from the conventional 'take-away' facilities which are popular in western countries, especially in the US; the home delivery services in India, in addition to the vegetarian offering, have been extremely successful in winning customers over.

Needless to say, sales of McAloo is booming; it's the largest selling product at most McDonald franchisees and accounts for a significant proportion of revenues. Advertisements exclusively focused on the McAloo Tikki have been targeted at families. The company, bolstered by its success, intends to forge ahead, into the smaller towns and cities. But, could they think of a potential product, one that would challenge the McAloo and set the bar higher? What about a McAloo Chicken Tikki burger? Well, I'm already lovin the very idea of it!

The Power of Facebook

Last year, me and my friend were planning to set up a business research firm in India. Brainstorming various ideas on what our business model would be and how we would price our products, we stumbled upon probably the most important question. How would we target our potential customers? How would our customers know about our value proposition? That is, how would be position ourselves in the crowded marketplace? In the age of the internet and social networking, what would be the most potent way to showcase our products?
When Mark Zuckerberg found Facebook seven years ago, he meant it to be largely a website where friends would gather and socialize. But, look at the way the website has transformed businesses globally and will continue to do so over the next several years. Big multinationals can spend billions on targeting customers and positioning of brands through various marketing campaigns, small businesses find themselves at a disadvantage in this respect. Facebook and other social media channels provide them the visibility and reach.
Take for example Mona Sandhu, a small costume jewellery designer in Haryana, India. The ambitious businesswoman had a few loyal customers before she created a profile on Facebook with product descriptions. And, then, business simply boomed. She landed an order on the day she created the Facebook profile. She currently organizes various jewellery exhibitions in the US and Europe for her major clientele. Evidently, Facebook has brought her customers closer to her and helped her position her business properly in the market. Google and Twitter are other prime examples of online media channels that has enabled small businesses create a niche for themselves in the market.
These are certainly exciting times, i.e. if you are selling through online social media. Watch out for our business research company profile on Facebook!

Bring them closer

When I landed in Canberra at the beginning of the year to pursue MBA at ANU, it was the first time I was so far away from my family back in India. Naturally, the first thing that came to my mind was how could I communicate regularly with my family. International calls to India are too expensive so that option was untenable. Was there any cheaper alternative available?
Lebara Mobile came to my rescue. I came across this company at the Canberra Multicultural Festival and found that their product suited me fine. The company offers free sim cards and cheap international calls, targeted at the large number of overseas students spread across various universities in Australia. Various top-up options such as $10, $20 and $30 are available. The call rates are quite low: for instance, calls to India cost 20 cents/min (the company had a promotional offer rate of 0 cents/min when I first bought the sim). In effect, the company seeks to bring my family members closer to me and the marketing tagline 'Bring them closer' helps them connect with the customers. The company creates value for the students and makes money through the large number of subscribers.
Advertisements of the Lebara sim cards are ubiquitous in various stores in ANU and other shops in Canberra. This, I believe would be the case in Sydney, Melbourne and other cities as well. Interesting, other companies are trying to cash in as well. Just the other day, I found a company called Lyca Mobile providing free sim cards and cheap international calls to various Asian destinations.  

Sar Utha ke Jiyo

Possibly, one of the best examples of Segmentation, Targeting and Positioning (STP) is the Sar Utha ke Jiyo (Live with Respect) advertisement campaign of India's HDFC Life insurance company. HDFC Life was the first private insurer when the sector was thrown open to competition by the Indian government in 2000. And, immediately, the company came up with the sort of brand positioning for its bouquet of products that touched the heart of ordinary Indians. Self-respect is the core value for most Indians and HDFC Life struck a chord when it focussed on this fundamental value. 

The company showed its thoughtfulness by targeting its pension plans at a key market segment, i.e. the senior citizens. The advertising campaign was arrived at after extensive research with the insight that an elderly person would want to lead a life of dignity with financial independence after retirement. Dependence or financial resistance from his family is disliked by this customer segment. For instance, the tv commercial in which a grandfather lovingly gifts a bicycle to his granddaughter, who does not need to depend on her father, brings this out quite well. Apparently, the grandfather is well-off financially and is not dependent on his son post-retirement for the little pleasures of life. 

Over the last couple of years, HDFC Life has sponsored music albums and videos focused on the Live with Respect theme. They have also roped in Rajasthan Royals, an Indian Premier League (IPL) franchise, for an advertising campaign. HDFC Life is currently one of the largest private insurers in India and the over the years, Sar Utha ke Jiyo has served it well.