Double or Quit

Experts believe that the firmly entrenched popularity of cruisers in targeted developed markets have contributed to Enfield’s success overseas, but volume play on the home turf may require some mass marketing measures from the niche bike maker. Not that the core team at Royal Enfield have been twiddling their thumbs. They are already expanding their target segment from the present 25+ age group to bring more of youngistan into their brand franchise. Analysts say that Bullet’s club activities, which will give the youth a sense of belonging, are set to play a significant role in expanding the Enfield brand promise for India’s youthful demographic. Proactive marketers at Enfield have already started capitalising on this asset. Their latest activities like ‘Log Out’ (focused on corporate sales) and ‘Keep Riding’ (wherein Bullet riders go on a small tour together) are specifically designed to bring a new set of young consumers under the Royal Enfield umbrella. So is there a plan to launch a two-wheeler version of Maruti’s Raid-de-Himalaya?

“Not really. Our intention is to promote Enfield riders riding together, rather than competing with each other,” clarifies Chavan.

Apart from expanding its consumer base, Enfield also has a portfolio line up to achieve the proposed doubling of its sales turnover. The company that has recently rolled out its Classic 350 and Classic 500 models (with single spring-saddle seats and vintage body coloured bumpers), will soon be launching its new and much-awaited Machismo in the Indian market. With its latest UCE technology (introduced in the Classic range), Enfield has narrowed the space for its critics to crib about Bullet’s engine issues. The new technology offers a host of advantages to the consumer namely, engine oil change after 6,000 kms instead of the earlier 3,000 kms; little or no engine adjustments, et al – changes introduced to make more heads turn in Bullet’s direction. “The company will also be launching concept models and variants at the Auto Expo next year which will make consumers more familiar about benefits of UCE technology,” avers Ravichandran.

Despite these subtle overtures to woo new target segments, Enfield is careful about not over stepping the mark in any way that could hurt its intrinsic brand association with cruise biking. Little surprise that they are sticking with their traditional media plan and continue to opt for their regular niche marketing channels. “We have no plans to turn our products into mass appealing ones. Enfield will continue marketing activities via niche media channels only,” explains Ravichandran, emphasising the company’s need to not upset the brand’s apple cart anytime soon.

Our Take: Royal Enfield’s efforts to net in India’s youngistan franchise via its clubs may fetch long-term returns. Their short term plan of netting 60,000 unit sales in 2010 are also well in sight. But, with every bike maker in India hungering to expand their target segment, doubling Bullet sales by 2013, without any major tweaking of marketing strategies, may not be the best bet for this niche player.

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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Monojit Lahiri spoke to a bunch of celebs who made sparks fly – before toasting to a ban of this absurd rule!

We live in strange and troubled times, brother …

We are allowed the manufacture and consumption of liquor – but, sorry – (hic) no advertising! Unlike the US of A where alcohol advertising has “regulatory bodies” that create standards for ethical advertising and where the concern is ‘where’ the ads are placed (mostly in media streams viewed by 70% of the audience over the drinking age) here it’s a blanket ban with no ifs, buts, why’s … When pressed, the general response (please don’t have a cardiac arrest, laughing!) is: it’s unconstitutional to propagate evil habits injurious to health and a bad influence to society. All the celebs interviewed – with the exception of the cool and gorgeously opinionated Pooja Bedi – were of the collective belief that this move was the biggest farce ever; a totally hollow, ludicrous, cosmetic and cockeyed, completely self-defeating in both intent and purpose. In today’s liberated and globalised times, with India celebrating economic prowess and quality of life at par with the West, this brain dead vetoing of publicity of a product category which is a way of life for India’s well-healed, sophisticated, aspirational constituency but freely allowing manufa

cture to scoop up titanic amounts of revenue for the exchequer, tantamounts to an epic hypocritical joke! Here’s what the heavy weights have to say …

Ad-Guru & Theatre Maestro Alyque Padamse is first off the block and takes off with all cylinders firing! “Either make Prohibition work or allow the advertising of liquor. The Government must stop this childish and absurd dilly-dallying and decide one way or the other. In today’s life and times, liquor is a part of young people’s lives and no social event is complete without it. How many kids have tea, coffee or cola’s after 8 pm? C’mon wake up and taste the … stuff! The same goes for Cigarettes. If the powers that are had any guts they would ban the manufacture of these products – not the advertising. Isn’t it amazing that they have messages like SMOKING KILLS on cigarette packs and yet these products roll out in billions of units everyday? But then Delhi is notorious for its double-think!” Film-maker Shyam Benegal agrees. “It’s so hypocritical and doesn’t make any sense at all! They don’t ban the name or the brand but just the idea it is liquor and do a quick surrogate advertising number – Kingfisher Mineral Water, Bagpiper Soda … whatever. And the argument that it will tempt the poor is silly because this segment does not connect with IMFL brands and hence advertising affecting them is a non-starter argument”. Actor & Anchor Kabir Bedi goes along this line of thinking, but with a tiny proviso. “I agree with Alyque & Shyam that while advertising should certainly be allowed, one should ensure that it shouldn’t be consciously created in a manner that it makes drinking a fashion statement or a glamorous recreation for the kids and have-nots. We know the power of clever advertising and the influence it can wield as a force of seduction. So, basically I am advocating Responsible Advertising”.

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).

For More IIPM Info, Visit below mentioned IIPM articles.
IIPM enters into media education
IIPM makes record 10,000 placements in five years

TSI exposes b school ranking scamsters Mahesh Peri of Career 360 and Premchand Palety of C fore. - For Complete Sting Operation Video Click Here
Pioneer Exposes the fraud called Mahesh Sharma and Mahesh Peri of Career 360 and Barbel Schwertfeger of mba-channel.com

IIPM: An intriguing story of growth and envy
Prof Arindam Chaudhuri of IIPM on MF HUSAIN‎
IIPM Related Links
Detail of all IIPM branches
IIPM - Admission Procedure
IIPM, GURGAON