Khan has been in the news these days, heavily promoting his latest production, Jaane Tu… Ya Jaane Na, which is also his nephew, Imran Khan’s debut film. Recently, he has started endorsing Samsung and Parle Monaco. He has been the Titan brand ambassador for a while now.

Tata Sky is a joint venture between the Tata Group, STAR TV. In this venture TATA owns 80% and STAR TV owns a 20% stake. Tata Sky was incorporated in 2004 but was launched only in 2006. The company uses the Sky brand owned by British Sky Broadcasting.

Tata Sky, has roped in Aamir Khan as its brand ambassador. Bollywood star Aamir Khan has entered into a long-term contract with Tata Sky. Aamir Khan will be used extensively for communicating the benefits of Tata Sky to the Indian consumer. It is definitely a strategic move as the rival dish TV has signed Shah Rukh Khan. Tata Sky would use Khan to take the brand forward. He is not the first brand ambassador for the 21-month old DTH service provider. Hrithik Roshan was used during the Cricket World Cup in 2007 for select campaigns and other film stars like Kiron Kher and Paresh Rawal were also used for some campaigns which basically testimonial ads.

Khan will feature in all the Tata Sky ads in print, TV, outdoor and radio with the popular Tata Sky tag line Isko laga dala, to life jhingalala.

Rediffusion DY&R is the company’s creative agency.

M2-Magic Moments Vodka, a Radico Khaitan Ltd. brand, has recently launched its seven flavors for Indian market. The flavors are raspberry, ginger, lime, lemon grass, green apple, chocolate and orange.

The new brand is targeted at youth. The M2-Magic Moments Vodka has unique packaging which draw consumer attention. The bottles have graphics directly printed on to them, and Radico Khaitan has invested in the latest packaging decoration technology currently being used in Europe.

M2-Magic Moments  Vodka promises everything that a person’s life should have – enjoyment, fun, zest and zing. It’s a product which stands for excitement in life.

Bollywood actor Hrithik Roshan has been signed on as the brand ambassador for M2 – Magic Moments vodka. The energy and stylish modern appeal of Hrithik fits well with the international, young, energetic Magic Moments vodka brand and the experience that it promises its consumers.

All internet loves must thanks comScore Networks on releasing the survey result which claims that the India has emerged as the fastest growing country of Internet users, surpassing the growth rates in the US, China, Japan. However, India is not there in the top 10 countries in terms of average monthly hours online per unique visitor.
comScore Networks also reports that India ranked eighth in terms of number of internet users as of January 2007. The US has the largest internet population of 153 million followed by China ( 86.8 million), Japan (53.6 million), Germany (32 million) and the UK (30 million) in the top five. The growth in the internet penetration can also be attributed to the fact that India grew at 33 per cent, while the world average was 10 per cent. I believe that the Indian Internet market is still at nascent stage and we hardly have any Internet success story. Indian Internet space needs a few Indian internet brands. I believe that its not enough to have just rediff, Indiatimes, and naukri. In current business scenario the Indian Internet market one needs a path breaking indigenous idea, two a local idea with global standard execution, three experimentation with local content. In current market scenario I can only see that the market is mushroomed with too many me-too ventures. I believe that Indian market is yet not explored well and needs experimentation.
 

No wonder VC firms from Silicon Valley now focusing on India and several Indian companies as part of their portfolio. The global VC films like Sequoia India, Helion, Matrix Partners, Norwest Venture Partners, Canaan Partners, NEA IndoUS Venture Fund , and KPCB in last few years have funded various Indian internet ventures. The internet companies which got vc funding are Guruji, Travelguru, MingleBox, ApnaLoan, Shaadi, Komli, MakeMyTrip, seventymm, Yatra, Sulekha,  bharatmatrimony, cleartrip, naukri to name a few. A close look on these internet venture tells yet another story. These internet ventures can be classified into lifestyle, travel, or existing, prominent portals. All these internet ventures with low internet population are managing the revenue is a commendable task. A close look on these entire ventures also indicates that they are playing in the field which is closely linked to corporate world. Naukri is a job board; Travelguru, MakeMyTrip, Yatra are travel portals with focus on corporate or office goers.

In 1979, world’s first multiplex ‘Eaton Center’ in Toronto, Canada was opened for the general public. The Eaton Center has 18-screen movie theater complex. Eaton’s movie centers, which were a craze during the 1980s and 1990s, faded slowly and closed finally in March 2001.

In 1997 PVR established, first multiplex in India – PVR Anupam at Saket, New Delhi. The PVR Anupam changed the Indian movie exhibition landscape. Movie exhibition till mid nineties was dominated by Cinema halls – the traditionally single screen halls. Cinema halls witnessed a surge of customers mostly during the festive season and on weekends. The emergence of multiplexes changed the movie exhibition business in India. Today, all eyes in the entertainment industry have turned towards multiplexes, as they generate a larger share of revenue though they accommodate less number of seats per theater.

The emergence of new multiplexes has reduced the audience for traditional cinemas, thereby prompting some of them to transform themselves into multiplexes. The multiplex business is not only prompting traditional cinema theater owners to convert their property into multiplex but in recent times has also attracted many international players to venture into the business. No wonder the multiplex business is so lucrative that foreign entertainment giants like Time Warner, South Korean multiplex operator Megabox, and Australia’s Hoyts are in talks with real estate developers such as the DLF group, the Raheja Group and Sobha Developers to set up chains of multiplexes across the country. We should not forget that roughly a dozen Indian players have entered in the business in small or big way.

New players are trying to enter this sector and the existing players are busy expanding their horizons. In recent times the multiplex has gone beyond the metros to redefine entertainment in Tier 1 and Tier 2 cities like Lucknow, Indore, Nasik, Aurangabad, Kanpur, Amritsar. The good news for most of the movie exhibitors is that at present roughly 70 percent of the total box office collections in the country come from non metros.

These multiplex has multiple screen movie theater complex which also offers lifestyle shopping. It offers brand new experience of watching movies. Today multiplex are considered not just a part of the entertainment, it is an opportunity for family outing which include movies, shopping, eating out, gaming parlors, buying books, buying groceries, etc. Most of the multiplexes malls in India have common structure, which I believe is structure of the ideal multiplex. Ideal multiplex malls have a four to five floors with various leisure and recreation options for customers. The top floor has multiplex and rest of the floors offer facilities like shopping, eating out, gaming parlors, book shops, groceries, etc. The structure of the multiplex mall explores the consumer psychology, where customers who come with the intention of watching a movie are made to pass all the floors in the shopping mall. It increases the possibility of their making some impulsive purchases. I don’t know about other but I end up buying something every time I go to watch movies. Moreover, the multiplexes do not allow outside food and beverages into the movie theaters which offer them opportunities to sale of their own products at a premium.

The decade old Indian multiplex industry has definitely changed the movie exhibition industry in India. The multiplex industry, in India, is still in an early growth stage, and is way behind the size and scale reached in the developed countries.

In 1993, Shah Rukh Khan first appeared in three ads for tea brand Brahmaputra. The ads heralded the arrival of Shah Rukh Khan as a brand endorser of some stature. The very next year, he ended up endorsing three more brands – Hero Puch, Cinthol and Mayur Suitings. The series of his hits not only established him as a super star of film industry but also positioned him as a bankable endorser.

In 1996 he was signed by cola giant Pepsi, which can be seen as the turning point of his endorsement career. Shah Rukh Khan since then, has endorsed Bagpiper, Hyundai Santro and i10, Top Ramen noodles, Jeanne Arthes, Clinic All Clear shampoo, Emami-Sona Chandi Chyawanprash, Lux, Omega, Airtel, Nokia, sunfeast, Compaq, Home Trade, Videocon to name a few.
The superstar Shah Rukh Khan has 34 brand endorsement deals for year 2008 which is down from 37 endorsement brand in year 2007. I believe that other celebrity like Hrithik Roshan, Salman Khan, Aamir Khan and Akshay kumar have not shown great interest in the endorsement market. In the given scenario it is important to understand what makes him the most popular celebrity brand endorser around?

Shah Rukh Khan has been around for a long time, and has become a bankable name. He is the only one who has proved to be consistent for last fifteen years (since the release of his first movie in 1992). In recent past we have seen that the actors like Hrithik Roshan, Salman Khan, Aamir Khan and Akshay kumar are also consistent and bankable name of the Indian film industry but they are not the corporate world darling. In my views corporate world not only look for these two factors there are something more than this. The other important factors are – corporate friendliness, image of celebrity, brand personality of celebrity.

Marketers claim that Shah Rukh Khan’s appeal cuts across age, gender, and class, and blends the characteristics that mirror multiple identities – the ordinary middle class guy who went on to became the King. The king is a traditional and family loving Indian.

The biggest plus about the actor Shah Rukh Khan is that he holds self-made man image. The common Indian man associates with him and aspires to become Shah Rukh Khan. In last few years Akshay kumar has also attained status of self-made man which is challenge to the king. The other plus about Shah Rukh Khan is his image of down-to-earth, approachable person and his ability of straddling the classes and the masses. He is not niche actor like Aamir, and not even a down market actor like Govinda. In this parameter also Akshay kumar has taken a lead. This new image of the Bollywood star Akshay kumar can be a threat to the Shah Rukh Khan’s endorsement kingdom.

The fact that Shah Rukh Khan has been so overexposed by advertising leaves little room for credibility among consumers. I can’t imagine Shah Rukh Khan driving Huandi Santro or i10 but the fact that the Shah Rukh Khan’s fans still associate him with the products is doing wonders for him.

The celebrities are super achievers like Amitabh Bachchan, Sachin Tendulkar, Shah Rukh Khan. The celebrity has a life cycle. Among all Indian celebrities, Amitabh Bachchan is an exception. He is beyond the normal life cycle of a celebrity in terms of endorsements. Amitabh Bachchan is popular with possibly all demographic, psychographic, geographic. He commands respect across the length and breadth of India, cutting across the barriers of age, income, region and language. Today he is not only one of the successful actors but also one of the most successful endorses. Having said this I must talk about the fact that during the first two-and-a-half decades of his acting career when he was called the one-man Hindi film industry never endorsed any product.

Amitabh Bachchan
Amitabh Bachchan (Amitabh Harivansh Srivastav), born on October 11, 1942 in Allahabad, Uttar Pradesh is one of the most prominent Indian film actors of Bollywood. Amitabh Bachchan is known for his deep, baritone voice. He before entering the film industry applied for a job with All India Radio for the post of a news announcer, for which he was rejected – probably a destiny’s call. The actor also did Playback Singing for many Indian movies. The actor has also endorsed many brands and is one of the leading celebrity endorsers for Indian corporate world.

Birth of Endorser Amitabh Bachchan
In year 2000 Amitabh Bachchan, anchored Kaun Banega Crorepati (popularly known as KBC ) which positioned him into the league of the most expensive endorsers. The phenomenal success of KBC helped marketers realize that Amitabh Bachchan single-point attention-grabber. He is one Indian celebrity who could not only command attention but also lend his credibility status to the brands. He has been brand ambassador of products across industry and categories including Pepsi, Mirinda, ICICI Bank, Parker Pens, Reid & Taylor, Maruti Versa, Cadbury’s, Nerolac, Hajmola, Navratna tail, Emani Boroplus, Eveready, Dabur, Sahara city Home, D’damas, Binnani.
Amitabh Bachchan, before success of KBC had probably endorsed just one brand in mid nineties which was a corporate branding exercise for BPL. The campaign managed to position BPL as an aspirational Indian brand. After success of KBC he has endorsed brands in product categories as diverse as banking, soft drinks, batteries, paints, chocolates, automobiles, writing instruments, apparel, diet supplements, personal care and real estate.

Challenge for Endorser Amitabh Bachchan
It is believed that if the endorser is associated with many brands, exclusivity can no longer be associated with the celebrity. The audience gets confused when the same celebrity plugs many brands and hence the endorsement value gets eroded. In recent times, Amitabh Bachchan endorsement list has come down but he still endorses brands in double digits. And in my view most of his brands he endorses are doing good. I believe, if it was not Amitabh Bachchan the marketers would have been struggling with the ideas. Marketers can position Amitabh Bachchan as an action hero; an energizing personality; a jovial character; an advisor; a spokesperson; Mr. dependable and not to miss a passionate endorser – there is lot in Amitabh Bachchan which is unexplored. Having said this strongly advocate that marketers needs to use the celebrity power of Amitabh Bachchan judiciously.

The two different books positioning and differentiation says the same thing. The book by Jack Trout on differentiation – Differentiate or Die is repackaging of his book coauthored with Al Ries on positioning – Positioning: The Battle for Your Mind. In my views when Jack Trout separated from Al Ries wrote Differentiate or Die to position Trout & Partners Ltd. Truly a positioning genius. I strongly believe that it hardly matters what you call the activity of buying share of consumer mind – positioning or differentiation you are doing same thing.

Brand managers across globe are busy differentiating their products or say working hard to position them. However, the major problems with most of the companies are that they don’t understand the concept of differentiation or positioning. In most of the cases they work on differentiation for the sake of differentiation. The situations in a few cases are so grim that some brand managers really don’t know the difference between a name and a brand. Addressing similar situation, Sergio Zyman, and Armin Brott says that If you don’t keep giving customers reasons to buy from you, they won’t. Awareness is absolutely worthless if it doesn’t lead to sales. In my views one can’t blame the brand manager solely for the problem. The problem of positioning also depends on the proliferation of me-too products. Today any company can come out with almost similar product that their competitors have within a few days.
The brand managers of successful brands take their brand for granted. They don’t work on them regularly and as a result the charisma of brand goes down. It is vital to remember that even the strongest brands don’t stay their way without working on them regularly. They need repositioning or for your convenience you may call it brand maintenance. The brand needs to be renewed or redefined constantly, else it will die.

The market analyst firm also correlate branding with the data analysis and ROI of marketing; and few other marketers believe that it’s advertising which position products. In my vies branding is not only about advertising and data analysis – it’s also about understanding how consumer lives are changing and how is it impacting consumer preferences. I believe branding is also about developing and implementing strategy which is grounded on a deep understanding of consumers that connects companies. Authors, Sergio Zyman, and Armin Brott in their book The End of Advertising as We Know It says that Advertising is a lot more than just television commercials – it includes branding, packaging, celebrity spokespersons, sponsorships, publicity, customer service, the way you treat your employees, and even the way your secretary answers the phone.

Bollywood Rising

The cricket celebrity brand endorsement is declining. The number of brands endorsed by Sachin Tendulkar has dropped from ten to six over a period of five years, Rahul Dravid endorsement list has come down to six from twelve and Sourav Ganguly is endorsing barely has a couple of brands today. The only exceptions among cricket celebrity are MS Dhoni and Yuvraj Singh, who have grown their endorsements year-on-year. at the same time the film industry has gain importance in recent years. The silver screen celebrities like Shah Rukh Khan, Hrithik Roshan, Saif Ali Khan, Aamir Khan, Akshay Kumar, Sanjay Dutt, Abhishek Bachchan and John Abraham are few of the celebrity who has gained prominence in recent years.

Shah Rukh Khan’s endorsements have gone up from 6 to 18 in the same period, Hrithik Roshan’s have increased from 1 to 11 and Saif Ali Khan’s deals have doubled from 4 in 2003 to 8 now. Amitabh Bachchan, who has gone down the power list in the last two years, has managed 10 endorsements deals. Other Bollywood stars like Aamir Khan, Akshay Kumar, Sanjay Dutt, Abhishek Bachchan and John Abraham have between 3 and 7 deals in their pockets.

Cricketers were the favorites of PepsiCo till last year has signed up movie stars including Deepika Padukone, Ranbir Kapoor and Katrina Kaif.

Among women celebrities Kareena Kapoor endorsement count has gone up from two to five, while the number of brands Katrina Kaif, Kajol, Priyanka Chopra and Bipasha Basu endorse has risen from almost nil to about six to seven each. The new celebrity such as Deepika Padukone and Vidya Balan are endorsing three to four brands each. The new celebrities are in demand and they are expected to sign a few more. The best part about the silver screen is that the senior actors like Hema Malini and Juhi Chawla have multiple endorsement deals.

Gone are the days of senior cricket players like Rahul Dravid, Sachin Tendulkar, Sourav Ganguly, and Anil Kumble from the list of trusted celebrities. The number of brands endorsed by Sachin Tendulkar has dropped from ten to six over a period of five years, Rahul Dravid endorsement list has come down to six from twelve and Sourav Ganguly is endorsing barely has a couple of brands today.

The young Indian team is popular and happening. Advertisers believe that audience follow performance and they put their money on players who are showing results. The T20 team after 24 years won a world cup and they are the real heroes. Now advertisers trust young and happening players like Yuvraj Singh and MS Dhoni. In current scenario, Yuvraj Singh and MS Dhoni commands over INR 2 crore each endorsement deal. While the younger players like Rohit Sharma and Uthappa are charging around INR 30-40 lakh per endorsement.

MS Dhoni endorses 7Up, GE Money, TVS Motors, Videocon, Titan besides a plethora of other brands. Moreover he is one of the few cricket celebrities who are endorsing brands in double digits. Today advertisers prefer the silver screen celebrities over cricketers.

Katrina Kaif has replaced Aishwarya Rai Bachchan as the brand ambassador of Nakshatra Diamonds is one of the many replacements of senior queens by new celebrities in endorsement race. The bollywood queen such as Rani Mukherji, Preity Zinta and Aishwarya Rai – who were towering till recently are suddenly finding themselves out of the reckoning.

The growth of the new celebrity is also evident from the fact that senior actress such as Rani Mukherji, Preity Zinta charge between INR 85 lakh and INR 1 crore per endorsement, which is much less than what Kareena Kapoor or Katrina Kaif charges which is around INR 1.5 crore.

New celebrities such as Asin, Genelia DSouza, Katrina Kaif, Imraan Khan, Harman Baweja, Kangana Ranaut, Jiah Khan, Ranbir Kapoor, Deepika Padukone and Farhan Akhtar are attracting advertisers attention. In recent time these new celebrities have signed various endorsement deals. These new celebrities are not only signing new endorsement deal but also replacing veteran celebrity in most of the cases. The demand of the new celebrities is so high that that have option to choose from the list of brands. Jiah is said to have recently turned down INR one crore offer from the brand Miss Bikini India 2007. She refused to pose in a bikini for the brand.

No doubt this is the best phase for newcomers in Bollywood but they have to sustain themselves for another three-four films before they become a big endorsement star. A stars brand value remains intact if he or she delivers hits. It is important to maintain a high success rate to negotiate for the next big deal in terms of remuneration. The senior actress such as Rani Mukherji, Preity Zinta and Aishwarya Rai in recent past has not given any big hit and hence their brand value is depleting. The failure at the box office has also impacted the celebrity endorsement deals. In last one year Nestle India dropped Rani Mukherji, as its brand ambassador for the Munch brand of chocolates. Nestle ended a four- year association with Rani Mukherji and signed South Indian actress Trisha. The actress Trisha has also replaced Preity Zinta in the Scooty Pep advertisement. Preity Zinta in recent times has lost her association with brands such as Perk, Liril, BSNL, and Santro.