Coca Cola had globally publicised its voluntary decision not to market to children. But the latest ad clearly puts paid to that. Have they done wrong? or not? 4Ps B&M’s Consulting Editor Monojit Lahiri investigates...

A while ago, amidst suitable media glare and fanfare, Coke – along with a cluster of corporate global heavies – signed an agreement to categorically not initiate, indulge, involve or participate in any activity that consciously targets kids under a certain age. “We have a global Responsible Marketing Policy that covers all our beverages, and we do not market any products directly to children under 12,” says The Coca Cola Company.

They (rightly) reckoned that directly marketing Cola products to children could send out wrong signals – as the general inference is that sugary and carbonated drinks lead to not only obesity and bone loss, but a host of other health issues. In children, the effects are worse and longer lasting. While all right-thinking, concerned parents and elders applauded this fine, worthy CSR move (“Hey, the guys have a conscience, after all!”), one fine morning came along a spanking new ad of Coke (“Ummeedon Wali Dhoop, Sunshine Wali Aasha...”), which had a most hummable tune and cinematography worth its weight in gold. Shockingly, almost throughout the advertisement, children were featured singing the song – some looking quite apparently below the age of 12. Worse, the ad ends with a statement, “Millions share a Coca Cola everyday.” This magazine had instantly picked up the issue in the last fortnight and pointed out the clear fly-by given to the much touted voluntary decision of Coke to not market to children.

To its fair credit, the TVC is charmingly conceived, executed and packaged, totally children-friendly, superbly written – by McCann’s gifted, multi-faceted head honcho Prasoon Joshi – and reinforced with an eye opening series of facts juxtaposed smartly to entertain and enlighten in one fell swoop. In fact, Ummeedon Wali Dhoop, Sunshine Wali Asha, today, is a hugely loved and popular anthem with kids, everywhere, because of its simplicity, charm and inspirational tone. So, what’s the problem?

That’s exactly the problem, per se. The more children that like the ad, the more the probability of them falling for the cleverly positioned ruse. Was this an inadvertent mistake on the part of Coke (featuring children, that is) or is this a supremely shrewd advertising campaign meant to raise hackles? Veteran Ad person Esha Guha is the first to fling her glove into the arena and declare war! “Prasoon is a terrific writer... You give him a brief and he’ll give you a song! However, this entire TVC would’ve been great had not the ‘millions share a Coca Cola everyday’ come in as last line – which, to me, is a sneaky way of leveraging product placement! It’s a piece of brilliantly crafted camouflage, very creatively distracting to represent, in wonderfully inspirational and uplifting manner, hope, sunshine, optimism – the works.” Dentsu’s NCD Soumitra Karnik – ex-JWT, creative head who master-minded several award-winning campaigns, including the memorable Youngistaan – is not so sure and believes that it is a conflict of letter versus spirit. “Agreed, in theory it may have strayed a bit, but overall the TVC offers a brilliantly, optimistic, warm and feel-good vibe with great lyrics and most significantly, sung by children in joyous collectivity. Kids are our greatest change-agents and their bright shining faces, energetically singing those exalted lines, for me, scores over a technical flaw,” says Karnik. He (all set to change Dentsu into a solidly creative agency) believes that compared to the mess around (scams, end of world in 2012, drubbing at Australia) this TVC represents a welcome change. So, he’s willing to “let this one pass!”
 
Post-grad student Shrishti Jha agrees. She feels that most people are unlikely to view this TVC in a “negative and narrow-minded way” and will view it for the joyous ambience it creates, “The lyrics are outstanding and so is the overall presentation! Where does the camouflage and surrogate factor come in? It’s neither a product hard-sell at all, nor does it nudge you to lean on the Coke Corp image. Like Hum Mein Hai Hero, Ummeedon Wali Dhoop charges you up in a charming, vigorous and vibrant way infusing positive emotions in your being. I love it. So do my friends. Forget the killjoys…!” Paris-based and Santiniketan-trained graphic artist Pia Sen, is up next. The pretty and petite 32-year old (who visits India regularly is fully clued-in to this issue) comments, “The TVC is crafted in a deceptively innocent manner that gives this impression of upliftment and optimism, very successfully. Intelligently choreographed, it brings the millions share… line to form a telling conclusion about the product as a feel-good, bonding product. [Yet], for me, somewhere, it is unethical and goes against the spirit of the signed document. Like in life, intangibles and grey areas are always the trickiest.”

Mitali Lahiri, Senior Writer of the Kolkata-based Ad Agency Magnum Intergrafix, is not amused. “It’s obviously done in a clever, slick way to make friends and influence people! The chocolaty topping is suitably sensitive with radiant children looking forward to a cheerful, sunshine planet… a world that hits more on love than hate… sharing, caring, trees, mats and fairy tales in place. So far, so good – but hey, how does Coca Cola feature in all of this, guys? For a while this TVC works like a happy drug and just as you are about to succumb, Coke enters to claim millions who love Coca Cola, opens happiness! But is GenNext supposed to share happiness with less calcium in their bones, broken bones, unhealthy disposition?!”

The gurus of advertising have repeatedly said that underpromise, overdeliver. At least don’t promise what you can’t deliver. Given the killing effects of competition, is Coca Cola slowly but surely revoking the voluntary decision they had taken on a global scale? I don’t have the answer to that. All I can tell is that I love the song, but won’t let my kids have the drink. Over to you, gentle reader…!

For more articles, Click on IIPM Article

Source : IIPM Editorial, 2012

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

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Over four years after its stake sale to Bajaj auto Austrian bike maker KTM has launched its first offering in the country. CEO Stefan Pierer briefs 4Ps B&M on their strategy to gain volumes from the Indian market

Globally known for its off-road and racing motorcycles, Austrian bike maker KTM is now all set to dazzle the Indian consumer with its orange offerings. Starting with the 200 Duke, KTM is planning to expand its product line-up in alliance with its partner Bajaj Auto. Considering the fact that Bajaj Auto holds a 40% stake in KTM, the manufacturing and distribution capability of India’s second largest two-wheeler maker is expected to give a strong push to KTM’s presence in the domestic market. In fact, the company expects the Indian market to become the largest volume puller for their portfolio in the next 3-4 years. 4Ps B&M speaks exclusively to Stefan Pierer, CEO, KTM Motorcycles AG about the India plans of the company. The Business and Energy Management graduate from the Montan University in Leoben, Austria, throws light on the alliance with Bajaj, the product plans for India and export opportunities available in the domestic circuit. Edited excerpts:


KTM has been manufacturing the Duke series of motorcycles at the Bajaj Auto plant in Chakan and exporting the 125 Duke to other markets. However, the company chose to start its India operations with the launch of the 200 Duke. Why are you not introducing the 125 Duke yet? Also, what are the other products that you are planning to launch in the Indian market in the coming years?
We started manufacturing 125 Duke in February last year and we are currently exporting it to Europe and Japan. We can launch this product in the Indian market any time, but we believe that the Indian market is still not ready for such a premium product in the 125cc segment. Hence, we decided to start our journey with the 200 Duke as Honda is the benchmark in the 250cc segment. So far, we have no plans to launch the 125 Duke in the Indian market, but if there is a demand for the product, we may look at launching it at a later point in time. Apart from the 200 Duke, We are planning to launch the KTM 350 in India by 2013. We have many models in our global portfolio, but they are more of racing models and hence, they aren’t really suitable for the Indian market.

Currently, KTM sells most of its overall volumes in Europe. What kind of expectations do you have from your India operations, especially considering the fact that Bajaj Auto will be taking care of the sales and marketing of KTM products in the Indian market?
We currently have a capacity of 30,000 units at Bajaj’s Chakan plant. Out of this, we are looking at exporting close to 20,000 units this year. We can double the capacity if the product receives a huge domestic demand. In the next 3-4 years, KTM is looking at India becoming the single biggest market for our bikes. We are expecting volumes to grow up to 50,000-60,000 units in that period. India is growing not just in terms of quantity of bike units sold but also in terms of demand for bigger displacement bikes. We could expect more technology-laden bikes with bigger twin cylinder engines from KTM in India soon. India is growing not only in volumes but also in displacement. For instance, look at the plans of Honda for the domestic market. They are bringing bikes with bigger engines as they are convinced that the Indian consumer has started to move up in the segment. And as players like Honda along with other Japanese bike makers bring many more such models to the Indian market, the technology gets an immediate push.
 
As per the announced plan, the Bajaj Probiking showrooms will now be converted into KTM showrooms, which will also sell Ninja products under the same roof. How much time will this entire process take and are you comfortable enough selling your products along with the Ninja products?
All Probiking showrooms across the country will be converted into KTM showrooms within the next 4 to 6 weeks. We have no issues, especially considering the fact that KTM and Kawasaki produce motorcycles with different characteristics. These bikes do not compete with each other and we have no problems with the Ninja being sold under the same roof. Even in Europe, KTM bikes are sold in the same showrooms alongside other bikes. In fact, we believe that the multi-brand showrooms give a clear chance to the consumer to compare all the available offerings under one roof rather than moving from one showroom to the other for the same.

For more articles, Click on IIPM Article

Source : IIPM Editorial, 2012

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

For More IIPM Info, Visit below mentioned IIPM articles.

IIPM ranked No 1 B-School in India
domain-b.com : IIPM ranked ahead of IIMs
IIPM: Management Education India
Prof. Rajita Chaudhuri's Website

IIPM in sync with the best of the business world.......
Arindam Chaudhuri on Internet.....
Arindam Chaudhuri: We need Hazare's leadership
Professor Arindam Chaudhuri - A Man For The Society....
IIPM: Indian Institute of Planning and Management
Planman Technologies
IIPM Contact Info

IIPM History
IIPM Think Tank
IIPM Infrastructure
IIPM Info

IIPM: Selection Process
IIPM: Research and Publications
IIPM MBA Institute India
IIPM Best B School India

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