IIPM makes business education truly global: 4Ps B&M’s Pawan Chabra analyses why ‘Fly’ clicks...

IIPM : EXECUTIVE EDUCATION

What really makes a new brand take-off in a market, is it the unique brand positioning or brand equity? 4Ps B&M’s Pawan Chabra analyses why ‘Fly’ clicks...

In the concept of branding, brand association is perhaps one of the most important components worth considering. They say that if the consumer doesn’t know or trust your brand, he will simply not buy it. With a total disrespect for this often stated branding principle, one mobile handset brand has emerged from the ashes of oblivion and has suddenly rendered every thing taught at traditional branding schools, irrelevant.

Launched in June 2006, Fly (the flagship brand of Meridian Telecom) currently holds around 6% market share in the GSM handset market. With a turnover of around Rs.210 crore in the last financial year, this handset maker is aiming to touch Rs.800-1,000 crore by the end of this financial year. As its USP, Fly is known to come out with spectacularly sleek designs at affordable prices. Its unique positioning has made this brand very recognisable by the Indian consumer and its market share is being rapidly gained. “The USP of Fly is that, we follow a very selective approach towards the selection of handsets,” asserts Rajiv Khanna, CEO, Fly Mobile. Fly is primarily focusing upon the in-store branding exercise and its apparently paying off well. According to Khanna, “The company spends huge money on the in-store advertising just because of a simple reason that a buying decision is made inside the shop.” Fly strategists believe in fighting it out where the real action lies, rather than secondary mediums like the idiot box. Fly aims at attaining a market share of over 6.5% - 7% by the end of this financial year.

However, keeping in mind the immense competition in the handset market (both from branded and unbranded handset front) reaching the aimed targets will not be a cake-walk for sure. As per the industry experts, more players are expected to hit the Indian market in the coming times and the market will eventually turn out to be more competitive than ever before. Also, the existing players are quick to bombard the market with the latest handsets, which are high on brag value. Keeping the current dynamics in mind, Fly will have to do a lot of hard-work on paper as well as on the field. Interestingly, in order to side up a sizable business from jointly branded products, the company plans to come up with more handsets with aspirational tags like Tag Heuer, Levi’s and Yamaha in the coming times.

On a positive note though, according to some experts, Fly may actually survive the onslaught of other dominant players simply because of its unique distribution model other than its marketing and branding exercises. Fly hired around 1,000 employees some time back for distribution of its handsets, eliminating the middle men and is now directly in touch with the retailers. “We have a one of its kind distribution model as we know the retailers personally,” states Khanna. Moreover, campaigns like ‘Think Slim’ and ‘Wear it how you like it’ have made this brand from an- also runner - to a -well-known brand- in the Indian market. Carefully chosen brand ambassadors (Malaika Arora Khan and Ishant Sharma) deliver the core values of the company to woo the Indian consumers and the strategy has proved to be well thought out.

For more articles, Click on IIPM Article.

Source : IIPM Editorial, 2008

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

For More IIPM Info, Visit below mentioned IIPM articles.
IIPM Programme :- SUPERIOR COURSE CONTENTS
Now IIPM's World-Class Education... for everybody!!
IIPM INTERNATIONAL - NEW DELHI, GURGAON & NOIDA
IIPM - Admission Procedure
IIPM’s 36th Glorious Year of Academic Excellence
IIPM, GURGAON
4Ps Power Brand Awards 2007
When IIPM comes to education, never compromise
Why Study Abroad When IIPM Gives You 3 global Advantages!
IIPM Ranked No. 1 B-School In Global Exposre - Zee...