Liberalization has brought in radical changes in the Indian marketing scenario. Entry of multinational corporations, professionalization of marketing strategies of Indian companies, product proliferation and diversity of consumer choice are a few of them. Indian brands are unique so they need to be managed uniquely.
In a market, where products are sold at the commodity level and where there are a number of brands, branding the channel provides credibility to the company from the perception of customers. The other advantage is that a small customer feels comfortable about dealing with a branded channel member for buying one or few personal computers. Distribution is becoming as important as any other marketing element.
Disposable incomes are increasing and life-styles are also changing, so the companies need to cash on it to get the maximum customer attention for their products. High-pressure life-style changes could make any shopping activity an outlet for a certain percentage of the customers. Again, sales promotion for any brand can boost the brand loyalty and can influence the demand.
Segment related discontinuity is also becoming very important for the Indian market as it provides the marketers with new ideas to proceed with their brands. This is because now, even a lower priced brand can easily compete with a higher priced one only because of its quality and distribution strategies, which really did happen with Nirma and Surf. Greater customer involvement has been essential for any brand to grow as the market is dynamic in nature. Even if there is passive involvement, consumers may go through routine decision-making and make a repeat purchase of a brand. These repeat purchases are only due to the convenience factor rather than commitment to the factor. The market conditions decide the fate of every brand, so the companies need to discover innovative techniques to avoid these unfavorable situations.
So, to create a market leader it takes a lot from the companies as well as their every distribution channels. It is also true for the new multinationals emerging in India with their varied product range. They must learn the Indian consumer psychology to attack them from the correct direction. War between brands is a common thing in any part of this world, but it is very different in India.
So even though the companies are doing a lot of research before entering the market, they can feel lost if they don’t apply the proper and accurate measures. In this era of globalization, people are willing to try with new products; so they would definitely like to have more foreign brands – but at the same time some product categories are in existence where the Indian companies are unbeatable.
The foreign companies should learn these lessons very quickly and the Indian companies must continue with their excellent marketing strategies to compete with the global conglomerates.