LIME 4 Case Study the Hindu

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    IIM-B MEDIA THE HINDU

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    The Hindu Newspaper:

    The Market Scenario:

    The Hindu vs. TOI:

    The Hindu has been one of the oldest newspapers in India. Started in the year 1878, it commands a reputation as one of the

    most trusted newspapers of India. The newspaper, headquartered in Chennai has been the largest read English newspaper

    in South India. There are many firsts credited to The Hindu. Apart from imparting quality journalism, the premier

    publishingcompany has introducedpath-breaking innovations in the newspaper business.Among themany achievements

    and contributions, following demands specialmention: -

    1940: Firstto introduce color

    1963:Firstto own fleet ofaircraftfor distribution

    1969: Firstto adoptfacsimilesystem of page transmission

    1980:Firstto use computeraidedphoto composing

    1986: First to use satellite for facsimile transmission1994:First toadopt wholly computerized integration oftextand graphicsin pagemake-up and remote imaging

    1995:First newspaper togo onInternet

    As per Indian Readership Survey (IRS), The Hindu is the third largest read English newspaper in India and the largest read

    English Newspaper in South India (comprising Tamil Nadu, Kerala, Karnataka, Andhra Pradesh and Pondicherry). Since its

    inception, The Hindu has been known for its quality journalism and unbiased reporting. Articles printed in the pages of The

    Hindu are often considered as words written on stone. Precisely because of these, The Hindu is often recommended by

    premierMBA coachinginstitutes and iswidely read bydecisionmakers and civil serviceaspirants.

    The initial years of 90s when the country witnessed major policy changes regarding liberalization and opening up of the

    economy, the landscape of newspaper business too, like many other businesses, started changing significantly.

    Advertising revenue, which constitutes a lion's share of the total revenue which a newspaper commands, got a huge boost

    with consumerism getting new meaning in Indian society. This triggered major shifts in the way media business was

    functioning earlier. The different stake holders of the newspaper business- the readers, the advertisers, media planners, ad

    agencies all tried to embrace this change in their own ways. This made the scenario competitive for the players and they

    began to lookout for new opportunities for growth, seeking competitive edge. This in turn made newspaper companies to

    start new editions and explore new markets. So today, the Mumbai based Times of India also has an edition in Andhra

    Pradesh,Hindustan Times, the Delhi based giant has its operations even in the east India. Similarly The Hindu, the leader of

    SouthIndiaalsohaseditioninNewDelhi.

    With increasing competition, all newspapers are vying for reader's attention. The fight for readership, breaking news

    syndrome has led to some fathomable change in news content. The traditional best practices and the gold standard of

    journalism have undergone significant change. There is a growing perception among readers that some of the biggest

    mediacompanies don't quite adhere to the editorial ethics,whichare consideredpillar of newspaper offerings.

    Though TOI is the largest read English daily in India, there are a significant number of readers who express that the

    newspapers content is not what they would like to read. There is a sense of antipathy towards Times of India even among

    the readers of Times of India. For them Times of India stands for sensationalism, gossip news, Page 3 culture.

    The Hindu, on the other hand has always been revered as the trusted newspaper, setting up impeccable standards of

    journalism. The readers of The Hindu vouch for the news presented in the newspaper and their love for the newspaper can

    be gauged by the strong and positive perception that the brand enjoys in South India. It is this respect for the paper, which

    translates into huge readership and provides The Hindu no.1 newspaper status in South India.

    Times of India and The Hindu- both iconic brands have complete different brand promises and are competitors asbusinesses.

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    Times of India after its launch in 2008 in Chennai, has been trying to woo readers in a city where The Hindu has been

    the undisputed No. 1 for more than a century. In its promotion campaign in Oct 2011, TOI in Chennai urged its readersto Wake up to TOI and tried referring The Hindu as a Boring newspaper.

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    The TOI campaign, as experts in advertising and media industry commented, was a direct attack on The Hindu. Though The

    Hindu didn't react to this, The Hindu did its own brand campaign Stay ahead of times in January - March 2012. The

    campaign by The Hindu was a huge success. While Television and outdoor media had their significant impact on the

    success of the campaign, itwas the online platform,which saw a lot of buzz around the campaign. The campaign became a

    viral phenomenon on the day it was launched. Twitter, facebook and mediums like you tube saw huge number of positive

    comments for TheHindu..

    Overall, the way campaignwas received bythemediacommunity and interested readers, itreinforced some existingbeliefs

    The Hindu is a great brand with a lot of good will

    The Hindu is the only newspaper, which escapes the feeling of angst against media in general, prevailing today.

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    Timesof India, againreacted tothis& came upwith the following:

    Nice reply .. or counter advert but seriously the concept is good but the questions are plain stupid The Hindu

    cannot be pitted directly against the TOI the Hindu is far far superior intermsof quality and news content tothe TOI and

    this is one paper in India or probably the only one which doesn't come with grammatical errors however the TOI also

    covers all the news but more ina tabloid reporting formatwith loadsof grammaticalerrors

    Gaurav. C. Ail

    JANUARY27, 2012 AT 12:28PM

    times of india vs hindu....its like watching masala movie n a movie with substance...former may win at the box office, but

    latter stayswithus

    Dhivahar Reddy

    February 3 at 11:02am

    Times of India should change its name to Timepass of India

    Harish

    February 3, 2012 7:58 PM

    Nice Analysis Between two papers but why this Kolaveri towards The Times of India da ??? too much hot

    VIMAL RAJ KANNAN

    February 3, 2012 9:01 PM

    its not against TOI.... but my point is that when it comes to content the hindu beats TOI in all possible ways... TOI

    focuses too much on entertainment... the mixture is not right...

    Karthick SFebruary 4, 2012 6:49 PM

    Readers' reactions on various social networking sites and blogs

    on this war of words:

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    thanks for the compliments and yes, i accept that we should make the choice... people who want just entertainment can

    stickwith TOI... peoplelikemewho buy newspaper toknowaboutthe current happenings should gowith the hindu...

    Karthick S

    February 4, 2012 6:51 PM

    Look...it is not that TOI does not print news. It does print news...but the way it prints the Page 3 stuff...it is not page

    3 actually...it is allover the paper...Read an article in TOI and the same would be repeated twice or may be even thrice

    by the time you finish of the city edition, the monday times or whatever and the main paper. No virtue of journalism

    at all in TOI...it is only 'surviving' on sensationalism.

    freakineo

    3 months ago.

    While the campaign of The Hindu was a great success, eliciting huge positive support for the product and the brand, it can

    make the management atThe Hinduthink the following: -

    Has The Hindu brandactualized its true potential?

    Has The Hindumissed the bus byletting itself being seen asa SouthIndian paper?

    Can this immense brand appeal, which extends to geographies where The Hindu doesn't even circulate, be strengthened

    further?

    Considering that newspaper largely operates in the domain of information and knowledge, has The Hindu leveraged its

    brandappeal to themaximum?

    In times when newspaper as a medium is expected to face challenge from other mediums like internet, what responsibility

    The Hinduneedsto shoulderas a power brandin the news and information category?Many readers and media experts have opined that The Hindu should launch in cities beyond south India. In Newspaper

    business - a capital-intensive business, opening up new editions look to be obvious development strategy, but may not be

    the best solution for the newspaper company. Since advertiser interest in the newspaper is the most crucial success

    ingredient for the newspapers editions, the newspaper has to significantly invest in building readership and in turn creating

    advertisers' interest.

    Translating the immense brand value of The Hindu into business gains is the topmost priority for the management at The

    Hindu. The management at The Hindu also firmly believes in the core values of trust and credibility and in no way would

    compromise with them to seek business gains. Editorial standards, commitment towards social equality and knowledge are

    all part of he strong brand promise that The Hindu stands for.The Hindumanagement would be interested in understandingways toformulate its marketing strategyto buildon the businessand also strengthen the brandappeal.

    Through the "Stay ahead of the Times" campaign, The Hindu showed that it had conviction in its core brand values. The

    campaign got current and potential readers to sit up and take notice, and now there is a need to reinforce The Hindu's

    strengths and take the brand tothe next level. Going forward, ideasand businessinitiatives need tobe explored toencourage

    first-time buyers to turn to The Hindu, while simultaneously reassuring existing readers that they have made the right

    decision.

    More likeability for the brand among readers and advertisers .More Readership and brand loyalty which will, in turn,

    help in retaining the advertiser's interest in the newspaper

    The big questions?:

    Way Forward- The Business Opportunity/ Marketing Challenge:

    What Will Success Look Like?:

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    Specific Deliverable:

    Business Constraints and Challenges:

    Ideas and Strategies to achieve the business and brand marketing objectives.

    Being a highly capital intensive business, launching new editions is not easy, even though it may look obvious to

    increase market footprint.

    High Media Costs: Campaign Ideas involving huge expenses may not be the best of ideas, considering the current

    market situation.