The Connecting Link Media Agency_3 B_Micromax

8/8/2019 The Connecting Link Media Agency_3 B_Micromax

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By: The Connecting Link Media Agency

Pitch for Micromax Mobiles.


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Mobile handset category

Penetration ofmobil phones hasreached saturation level in urbanareas, The growth in the category willbe primarily from tier II and III cities,and from rural areas

New technology to differentiateoffering in terms of hardware,software and content, while keepingprices competitive

Max sales happens through

Electronics and Appliance SpecialistRetailer

Forecast category growth

Vol -68.8% (2009-14)

Val -40.9% (2009-14)

54.3

14

7.1

5.12 17.5

2009 Market Share

Nokia Sa

s g Sony LG

otorola Ot r

,

,

3

,

,

5 ,

,

5

7

Units ( ) s

n

Cat gory Introduction Mark t S ar of Top lay rs

Sal s tr nd ( al & ol)


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Current Market Trends in the Handset

category Key growth drivers Undeveloped ural Markets

Enhanced Distribution

Decreased rices of Handsets

Dual SIM phones- fastest growing segmentOverall market share increase from 3 in to 5 in

Smart phones- popular among young, urban professionals

Business enhancing applications

Facilities beyond communication- G S, WebBrowsing, Instant Messenger

Market shareof smart phones close to

3G penetration

High speed, Clarity, Faster Internet ccess

Companies offering 3G- MTNL, BSNL, irtel, Docomo

Penetration still low-Only mobilehandsets sold in were 3G

enabled


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5 .53.

55.5 .3

7. 5. ..3

5. .3 7.7.

.

5. .5 5.

3

5

7

5 7

Mobile Phone Market Share

Nokia Samsung Sony LG

New Entrants like

Micromax,, FlyMobile,

Universal, Karbonn

Effective Distribution, NewProduct Development, wide range

ofhandsets


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0

5

0

15

0

25

30

35

40

45

NokiaSamsung

LGSony

Ericcson Micromax

41

16

13

54

23

16

7

0

8

2008-2009 2009-2010

Mobile Phones TV Ad Spend Share

Source :http://www.indiantelevision.com


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64.62

76.13 76.7782 83.77

0

10

20

30

4050

60

70

80

90

Changing ownershippattern

Cellular Phone Ownership Change

SEC 1 SEC 2 SEC B1 SEC 1 SEC 2


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Entered the Indianmobilehandset market inMarch2008

Overall market sharehas increased from0.59%for the quarter ended September 30, 2008 to6.24% for the quarter endedMarch 31, 2010 40distinct mobilehandset models

Currently has strong presence in ural India and sexpanding rapidly to Urban India


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Key Handset Categories


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Media Objective

Toupgrade its Micro-Max imageperception and

be able to create a brandequity at par with thelikes ofNokia, Iphone, Samsung, LG, Motorola

andother establishedbrands

Marketing Objective

Focus on theunique functionalities of

products to further developour reputation for

innovation


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Whowerewe talking to :

1

Rural Sector

Regular features at affordableprice

2

Urban Youth

Innovative features

3

HighProfile Users

Technological Innovation

Target udience

80% sales inRural areas


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Segmentation

Demographic:

Town Class

Towns with 5lakh+Population

SEC

A1 A2 B1

R1

Age Group

16-49

Geographic:

North ZoneHaryana

HP

Delhi

Uttaranchal

Chandigarh

South ZoneKerala

AP

Karnataka

Tamil Nadu

West Zone

Maharashtra

Rajasthan

Gujarat

East Zone

West Bengal


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Who are weWho are we talkingtalking toto

Primary Target GroupPrimary Target Group

(24(24 4040

Yrs)Yrs)

Picture Courtesy: Getty Images

Mr.RahulMr.Rahul TanejaTaneja | Banking| Banking

Professional |Professional |Age:Age: 28 years28 years

StatusStatus : Married: Married

City:City: MumbaiMumbai

Occupation: Investment BankerOccupation: Investment Banker

He uses a smart phone and stays up todatewithHe uses a smart phone and stays up todatewith

the latest technological advances. Themobilethe latest technological advances. Themobile

phone is his status symbol.phone is his status symbol.

Owns a Nokia E72phonewhich is quiteold and isOwns a Nokia E72phonewhich is quiteold and is

planning tobuy a newphoneplanning tobuy a newphone


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Who areWho are wewe talking totalking to

ExperimenterExperimenter

Trend SetterTrend SetterStatus ConsciousStatus Conscious

TechTech--savvysavvy

Early adopterEarly adopter Keyed In To TheKeyed In To The

BottomBottom--lineline

Picture Courtesy: Getty ImagesPicture Courtesy: Getty Images


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Secondary Target Group

Courtesy :http://www.istockphoto.com

Age:16-23 years

Occupation: Student

- Look out for Innovative features

- Would aspire tobecome likeour

Primary TG

Age :41-49 Years

Occupation: Working

Professional

- Would still like tobehave

in the sameway as hedid

inhis early days


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Competition Insights


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HighBDI/High

CDI

LowBDI/High

CDI

HighBDI/Low

CDI

LowBDI/Low

CDI

Looking to Double its market share to10%by 2010

Target to achieve Rs 3000 crore revenue

Marketing andBranding Expense , Rs 300 crores

Strengthen retail and distribution business

Roping innewBrandAmbassador

NewModel launch

Multimedia campaign

Ref: http://www.business-standard.com/india/news/lg-eyes-10-market-share-in-mobile-handset/86184/on

0

20

40

60

80

100

120

140

160

BDI

CDI

BDI/CDI mapping for Top LG Market States


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BDI/CDI mapping for Top Nokia Market States

45%of its 2 lakh retail outlets are in therural areas

Nokia market sharedipped from64% in08-09 to 52.2% in 09-10

Nokia remained themarket leader with52% share, despite a 15% revenuedip toRs14,100 crore

Nokia introduced its first dual-SIMhandset C2 in India inAugust , amove some analysts called a startlinglylate reaction

Ref:Indian Handset Brands Grab14%MobileMarketShare http://teck.in/indian-handset-brands-grab-14-mobile-market-share.html#ixzz17XpdMAyp

0

50

100

150

200

BDI

CDI

HighBDI/High

CDI

LowBDI/High

CDI

HighBDI/Low

CDI

LowBDI/Low

CDI


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BDI/CDI mapping for Top Samsung Market States

Plan to add 6%market share from current 17%

3G handsets contribute around 5%of total

Samsung handsets soldwithdoubling target

Samsung leads the touch screen mobilemarket

withover 30% share

Samsung provides wideportfolio of around17

handsets that are 3G enabled.

Ref:

http://business.rediff.com/report/2010/sep/07/samsung-plans-

aggressive-smartphones-for-india.htm

0

50

100

150

200

BDI

CDI

HighBDI/High

CDI

LowBDI/High

CDI

HighBDI/Low

CDI

LowBDI/Low

CDI


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BDI/CDI mapping for Top SonyEricsson Market

States

Sony Ericsson, having 6%ofmarket share in

India, is looking forward to revive its fate

with feature richmultimedia phones.

Sony Ericssonhad a negative growthof49

per cent YoY by theendof FY 2008-09, as the

company didnot have any attractive

product, after the Walkman series.

The company is also adopting a newbrand

message 'make.believe' in all consumer

communication inorder to reinforce its

entertainment credentials and collaboration

with the Sony Group.

In India Sony Ericssonhad a turnover ofRs

3,083 crore in the year 2007-08. It felt down

toRs 1,554 in the year FY 2008-09, according

to &D estimates.

Ref: http://voicendata.ciol.com/content/news/109091401.asp

0

50100150

200

250300350

BDI

CDI

HighBDI/High

CDI

LowBDI/High

CDI

HighBDI/Low

CDI

LowBDI/Low

CDI


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Target Market andPrioritization

Target market will beprimarily doneon thebasis of Cellphone penetration Currently Micromax is a dominant player in theRural Arena and theobjective is toup

the image in UrbanArena

The focus is to tap the Urbanmarkets andprioritization is doneaccordingly

Another factor considered is competition activity in theparticular statesand individual BrandBDI/CDI

Target markets Include Townwith a populationof 5 Lakh + in the UrbanArena

The focus states includeMaharashtra, Delhi, Tamil-Nadu, Karnataka, Kerala, WestBengal, Chandigarh


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North Zone

Markets Nokia -

BDI

LG BDI Samsung

BDI

Sony -

BDI

CDI

Chandigarh

196

.38 93

.36 239

.92

197

.6728

189

.35

Delhi 173.15 183.78 294.23 319.302 203.82

Delhi &

urban

Environs172.50 197.15 295.03 313.6818 202.26

East Zone

Markets Nokia

-BDI

LG Samsung Sony CDI

West Bengal75.22 100.8 185.69 81.62 89.26

South Zone

Markets Nokia -BDI LG -

BDI

Samsung -

BDI

Sony -

BDI

CDI

Kerala 142.12 176.92 83.93 119.19 131.45

Tamilnadu165.67

116.61

96.58 312.0288 153.24

Andhra Pradesh

102.97 125.37

80.76

72.17 101.70

West Zone

Markets Nokia

BDI

LG

BDI

Samsung

BDI

Sony -

BDI

CDI

Maharashtra

107.10 135.76 173.72 131.69 116.06


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TV National& Regional

Print innovations

magazine &newspapers

In Films& PR

Mall ActivationEvent sponsorship

Outdoor &Digital Signages

SocialMarketing

Radio-Contentintegrationwith RJ

To Generateawareness

Opinion leader toincrease brand Image

BuildBrand image-Quality andReliability

Saliency for MicromaxFunctionalMessage

Increase reach

MEDIAMIX-2011


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Other BTL Innovations

Micromax Mobile Charging Stations : BrandedMicromax mobile charging stations at Airports,

Hotels and Cinema Halls

A loyalty Exchangeprogram for Micromax Consumersfor purchasing New Innovations

Branding at Metro Stations in Delhi, AC Buses in

Mumbai

Tieupwith a Pan India multiplex chain for promotingMicromax


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Estimated activity costingMedia Requirement Approx. Rates Break up ofCost Total Cost

Radio 8 times daily for 4months (Total Spot

960)

10 sec slot Rs.650*960 Rs 624000

Newspaper 4Ads - one in week

of first monthof a

quarter ( eachon the

Front Page) eachof

approx.. 1000 Sq.cm

4*4=16

10K per sq cm for

HT front page- all

editions

Rs.10,000*1000 sq

cm*16

Rs.16 crores

Magazine Frequency: 8 insertsin8different

magazines 2nd/3rd

monthof a quarter

8*4 = 32

Double Spread inthe first 10pages

of themagazine

Rs. 50,000 * 32days Rs. 16lakhs formonths

*Sources: star.co.in , HT Media & www.businesstoday.in


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Media Requirement Approx. Rates Break up of cost Total Cost

Billboards 5 billboards : 40*

40 ft

Rs. 12-14 lakhs /

month inhigh

traffic roads

Rs.12lakhs * 5 *4

months

2.4Crores for 4

months

Print Advertorials 12 advertorials Rs.5,000 /month Rs.5,000*12

months

6 Lakhs

EventB

asedPromotions

Derby Tie20

Lakhs/Derby20 *

5 Rs 1C

rore

Mall Promotions 50Malls in India Rs. 1 lakhs/

day/Mall

50*1 Rs. 50 lakhs

*Sources: O & M , Easycabs, imajus, Mahindra Auto

Estimated activity costing


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Media Requirement Approx. Rates Break up of cost Total Cost

IPL Spots and Joint

Promo During IPL

2 Crore 2 Month 2Crore

*Sources: star.co.in , HT Media & www.businesstoday.in

Estimated activity costing


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Team:

Jaymin Trivedi 98

Prasenjit Karmarkar 114

Rishabh Sharma 121

Satyaprem Upadhyay -126

Shradha Mishra - 131

Subhanka Roy Choudhary - 136

SvablumMalhotra 141 Vikesh P. Jain 147


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Thank You

When can we meet you next!!!

The Connecting Link Media Agency_3 B_Micromax

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