Surrogate To Survive: Surrogate MarketingThursday, 16 February 2012 00:09

The essence of Surrogate marketing lies on Communicating the value of a  particularbanned or illegal  product/service  of  a  company  by  using  certain acceptable brand  extensions  of  the same company with  the same logo and brand name.It refers to intentionally utilizing a company, person, product or service to help convey themessage of another product or service. It can also be define as duplicating the brand image ofone product extensively to promote another product of the same company.

The history of surrogate marketing existed from long years backs in different connotations andapplicable not only the liquor, narcotic products but service categories also like moviepromotions and pornography market.

But it comes in limelight when a few years ago in UK, where housewives protested againstliquor and narcotic advertisements and demanded to ban on advertisement of alcoholic andnarcotic products. After ban on products this industry left with no other relaying option thansurrogate marketing.

As example, selling CDs of pornography in the name of religious mystics can be seen in streetshops, using item songs to promote the films or promoting big stars’ guest appearance as amajor role in movies, using sodas, fruit-juices, water with Liquor, Cigarette, Bidi, Tobacco brandnames can be seen on TVs and posters.

It works as a viral and opinion leader kind of way to top of the mind recall and awareness for thetarget consumer group, who can decode the message.

Surrogate marketing is now done by

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Surrogate To Survive: Surrogate MarketingThursday, 16 February 2012 00:09

1. Sponsoring events like Fashion Weeks, events like rock shows and selling other coverproducts, IPL, Formula one etc. 2. Facebook and social media like secret group sharing, page creation, chatting, mail 3. Internet, digital and print media, like TV ads, call service, SMS

A. Film Industry and surrogate marketing

Movies like low budget or low starrer uses these kind of marketing to mislead the audience, anaudience decode this message as his stereotypical way and get in to watch this movie, which istotal far related to the message.

Kollywood movies like Dhanam, Dindigul Sarathi has opted such kind of marketing, Kuselanuses the guest role of Rajneekant in its’ 90% posters to market like main actor. Bollywoodmovies like Kaal, Delhi Belly’s promotions as a ShahrukhKhan and Amir Khanacted movies can also be considered in this line.

B. Typical Alcoholic/Narcotic brands and products promoted by surrogate marketing

Brand

Communicating product

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Surrogate To Survive: Surrogate MarketingThursday, 16 February 2012 00:09

Main Product Category

Bagpiper

Water and soda, cassettes, CDs

Whisky

McDowells

Water and soda

Whisky

Red and White

Bravery awards

Cigarettes

Teachers

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Surrogate To Survive: Surrogate MarketingThursday, 16 February 2012 00:09

Bravery awards

Whisky

Kingfisher

Calendars and mineral water

Beer

Pan Parag

Pan masala

Gutkha

Johny walker

Soda

Whisky

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Surrogate To Survive: Surrogate MarketingThursday, 16 February 2012 00:09

Royal challenge

Golf accessories and mineral water

Whisky

Four square white

Water rafting and gliding

Cigarettes

Wills lifestyle

Apparels, Accessories

Cigarettes

Bacardi

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Surrogate To Survive: Surrogate MarketingThursday, 16 February 2012 00:09

Cassettes and CDs

Rum

Smirnoff, Aristocrat

Apple juice

Vodka

502 Pataka

502 Pataka Tea

Bidi

Haywards 5000

Darting kids

Beer

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Surrogate To Survive: Surrogate MarketingThursday, 16 February 2012 00:09

AC Black

Apple juice

Whisky

Surrogates as a brand personality

Using celebrities or associated persons in advertising, arouses the customer to take a chance oftrial, help them to crack the message. Suppose for example Sunny Leone is advertising for areligious movie, the customers who are aware about Sunny Leone can easily get thecommunicated message.

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Surrogate To Survive: Surrogate MarketingThursday, 16 February 2012 00:09

Communication fit for Alcoholic and narcotic industry

Being banned to the normal advertising of its core message to the audience has left orphan tothe liquor, narcotic and pornography industry, so as a possible choice they are more prone todepend on surrogate marketing, due to its effectiveness in terms creating awareness, recall andselling products to the target consume

Target Consumer base (India):

Alcoholic beverage

Industry size(crores)

Market size

Market growth

Liquor

Country liquor

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Surrogate To Survive: Surrogate MarketingThursday, 16 February 2012 00:09

Not quantified

58 million

15%

IMFL

6000

Beer

2200

70 million

10-12%

[Source: indiamarkets.com, Dec. 2011]IMFL: Indian made foreign liquor

Surrogate Ads as a smart way of marketing

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Surrogate To Survive: Surrogate MarketingThursday, 16 February 2012 00:09

Surrogate Ads are a creative & smart solution to make potential customers recall and awareabout products which are not be allowed by the law to advertise in certain type of public media.

1. Ride on some other more popular product and/or concept 2. Strong sense of positioning of brand Identity and deployment 3. It creates strong association with customers, e.g. Vodafone ads.

Impact on Stakeholders and Business environment

Positive

Negative

Economic

 

Government generates revenue

Company ends up with high cost of advertising

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Surrogate To Survive: Surrogate MarketingThursday, 16 February 2012 00:09

Profiting media by paying high advertising cost

 

Social

 

Don’t effecton others who are unaware

Misleading to younger generation

Focused to selective target segment

Challenging the ethical way of doing business

Leads to healthy environment

Leads to promote unhealthy products

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Surrogate To Survive: Surrogate MarketingThursday, 16 February 2012 00:09

Legal

 

Company doesn’t breaks the legal spectrum

 

Future Alternatives

Having high growth and market penetration of other marketing channels like, direct marketingand mobile commerce can be considered as options for these industries because of its larger impact and reachabilityto target consumers.

Take away

Finally, we conclude that for industries like, liquor, cigarette, bidi, tobacco and porn have todepend on surrogate marketing to survive and grow. Surrogacy is serving their purpose;thistrend will also be leverage by other industries to recall strong brand association and loyalconsumer base. But surrogate marketing in other industries will serve the purpose or not it isquestionable.

This article has been authored by Umesh C. S. Arya from IIM, Kozikode.

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Surrogate To Survive: Surrogate MarketingThursday, 16 February 2012 00:09

Image: Rawich / FreeDigitalPhotos.net

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