A 20-year itch?

The recent bbdo and pizza hut split has left many in the global ad-frat bewildered, given that the parting of ways came after 20 long years. But this has not been the first such occurrence and if anything client-agency relations have become more fractious with time. In fact, the last few years have really been harsh on them. While the account of Magnum Ice creams (handled by McCann Erickson) moved to Lowe Lintas, Cornetto (under Heart brand) was shifted to DDB. Similarly, Unilever’s popular deo brand Axe, which was earlier handled by Lowe, finally fell into BBH’s palette. So what is it that makes clients to shop for a step agency? Notably, it’s not always a wrecked relationship between the two (as perceived by many!), instead there are a number of factors that are responsible for this habitude. “Pizza Hut always has had multiple agencies on its board, which include O&M, JWT, et al. So it’s not exactly an account shift,” avers Ajay Jhala, CEO, BBDO India. Moreover, even a change in management at client’s organisation (or even the agency!) can lead to an account movement. As Jhala further adds, “Sometimes a sudden upheaval in the market can also prove to be major reason for the break up between the two”. It’s time that agencies catch up with the clients’ changing needs or else one could see some more break-ups, for sure!

Neha Saraiya

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Source : IIPM Editorial, 2010.

An Initiative of IIPM, Malay Chaudhuri and Arindam chaudhuri (Renowned Management Guru and Economist).

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Biding adieu to the good ol’ Devil!

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It’s been turning many eyes green for more than two decades now. But, the electronics & home appliances maker Onida has finally bid adieu to the Devil. Sriram Krishnamurthy, Vice President, Marketing & Services, Onida, reasons the sad demise...

4Ps B&M: Although Onida wanted to adopt a renewed positioning, but was it really important to drop the Devil considering that it had high recall and was instrumental in the growth of Onida, especially in the television category?
SK: Envy has lost relevance as an emotional driver of durables purchase, which has become a necessity and is no more a luxury. And, consequently the Devil loses its meaning as a representation of Envy. Therefore, we decided to move away from using the Devil as our mascot.

4Ps B&M: From ‘Neighbour’s Envy, Owner’s Pride’ to ‘Tumko Dekha To Yeh Design Aaya,” how has Onida’s communication strategy evolved?
SK: “Neighbour’s Envy” was a breakthrough campaign in the 80s and 90s and it really boosted our share in the television market. Our new campaign, “Tumko Dekha To Yeh Design Aaya” is not just a tagline or a communication strategy, but our intention to make it a reflection of our organisational culture – one of continuous customer-centered innovations.

4Ps B&M: Going forward, what is your advertising and marketing plan?
SK: We intend to re-establish ourselves as a multi-category durables brand with a strong customer-centered promise of thoughtfulness. Towards this, we plan to double our current spending of about Rs.500 million on advertising and promotions outlay to Rs.1 billion in this financial year. The ratio between various media/months is not fixed and will be re-allocated on a dynamic basis.

4Ps B&M: What does your media mix look like?
SK: Our campaign will run extensively over television. Apart from that, we are also devising a comprehensive 360-degree campaign covering all media verticals – radio, cinema, print, outdoor and digital media. We will also launche point-of-sale merchandise.


4Ps B&M: So, Onida is all set on the ‘Promotion’ front. But, what new is happening with the product considering that Onida KY Thunder Series was the last blockbuster product from the stable?
SK: All our four campaign ads – across categories – today reflect strong new innovative product propositions. However, technology is a commodity nowadays and therefore we will need continuous innovativeness to stay ahead in the consumers’ minds.

4Ps B&M: And what’s Onida’s exact positioning?
SK: Our positioning is not based on price but on ‘Thoughtful Innovations’. All Onida products represent exceptional value to customers – great quality at the right price points.

4Ps B&M: Can you elaborate on your retail strategy?
SK: We are currently working through multi-brand retail outlets. We are working on a plan for some exclusive Onida retail outlets so that customers can get to experience the entire Onida product range which is difficult to achieve in multi-brand outlet formats.

Savreen Gadhoke

For more articles, Click on IIPM Article.

Source : IIPM Editorial, 2010.

An Initiative of IIPM, Malay Chaudhuri and Arindam chaudhuri (Renowned Management Guru and Economist).

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