Transcript Philips TV: A Brand Known to All but yet to go a long

TV:
A brand known to all but yet to go a long
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Background
• Television Industry
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Black & White transmission in 1964 by BTV
Full color transmission in 1980
Cable TV network in 90’s
Become a necessity for household
A market of BDT 800 crore / year
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Background (contd.)
• Bangladesh’s Television Market 2005
72%
25%
3%
Major Brands
Non-brand, Chinese and Local Brands
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O thers
Background (contd.)
• Philips
– Established in 1891 in Eindhoven, the Netherlands
– Started by producing lamps
– Global leader in electronics, home appliances and
medical appliances
– Operation in 60 countries with 184,000 employees
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Background (contd.)
• Transcom Group
– Established in 1885, started with Tea Holdings
– One of the most reputed and successful business
house in the country
– Important business concerns include
• Transcom Electronics, Bangladesh Lamps, Eskayef,
Mediastar, Transcom Distribution, Transcom Beverage,
Transcom Foods etc.
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Background (contd.)
• Transcom Electronics Ltd.
– Started as Philips Bangladesh Ltd. Back in 1962
– In 1993 Transcom Group bought 60% share of Philips
Bangladesh from NV-Philips Holland
– After that it became Transcom Electronics Ltd. (TEL)
– TEL uses PHILIPS brand name in royalty basis
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Marketing Strategy
• Market Segmentation
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Necessity Product
All Age group
No gender differentiation
Lower middle class to upper class
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Marketing Strategy (contd.)
• Product
– Range of products to
meet needs of all
segments
– Product features
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Pixel Plus 2
Digital Noise Reduction
AmbiLight
Active Control System
Multiple Pictures in Mode
Wide Viewing Angle
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Marketing Strategy (contd.)
• Price
– Targeting all target segments
– Ranging from BDT 10,400 to BDT 450,000
depending on the features
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Marketing Strategy (contd.)
• Promotional & Advertising Strategy
– Trade Promotion
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Cash Re-bet
Free products for certain level
Transport Support Scheme (TSS)
Dealers incentive scheme
– Customer Promotion
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Exchange Offer / Gift offer
Financial Assistance
Cash Discount
Scratch Card
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Marketing Strategy (contd.)
Different Customer Promotions
Exchange
Offer / Gift
Offer
Financial
Assistance
Cash
Discount
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Scratch
Card
Marketing Strategy (contd.)
• Distribution Strategy
– Distribution Business Channel
• Light & Electrical Channel
• Consumer Electronic Dealer Network
– Retail Business Channel
Warehouse
Distributor
Whole Seller
Auto Van
Retailer
Distribution Network
Source: Transcom Electronics Ltd.
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Consumer
Marketing Strategy (contd.)
• Brand Strategy
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Blending into interior
Design
Event Based Marketing
Trade Show
Sponsorship
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Marketing Strategy (contd.)
• Brand Personality
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Economical
Excellence in Technology
Reliable
Sleek Look
Competency
“Household Necessity with Maximum Functionality”
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Marketing Strategy (contd.)
• Brand Equity
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Continuous enhancement in performance
Maintaining the increased reliability
Continuous value addition
Associating status and lifestyle
Excellent after-sales service
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Consumers’ Behavior
External Influences
• Demographics
– Age & Gender: All age group and gender orientation
– Education: Minimum HSC level
– Income: More than BDT 10,000
• Culture and Sub-culture
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Youth orientation
Family orientation
Group influence
Status
Materialistic
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Consumers’ Behavior (contd.)
External Influences
• Social Status
– Different communication for
different social classes
– Product features designed to tap
different social class
• Group Influence
– Consulting with peers, family
members, coleagues
– Sharing experiences
– Information and opinion influence
by the users
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Consumers’ Behavior (contd.)
Internal Influences
• Motivation
– Maslow’s Hierarchy of Needs
• Belongingness
• Esteem
– McGuire’s Need Hierarchy Model
• Need of Expression
• Need of Ego-defense
• Need of Affiliation
• Emotion
– Pleasure
• Pride, Affection, Serenity, Joy, Competence
– Arousal
• Involvement, Surgency
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Consumers’ Behavior (contd.)
Internal Influences
• Attitude
– Emotional appeal
– Value expressive vs Utilitarian
appeals
• Learning
– High involvement product
• Vicarious learning approach
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Consumers’ Behavior (contd.)
Internal Influences
• Memory
– Short-term Memory
• Repetition of advertisements
– Long-term Memory
• Connecting and evaluating
the stored information
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Consumers’ Behavior (contd.)
Internal Influences
• Perception
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Retail strategy
Brand name and Logo
Advertisement
Ambush marketing
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Consumers’ Behavior (contd.)
Internal Influences
Prestigious,
Elite,
Luxurious
● Sony
Product
Positioning
● Philips (Ideal)
● LG
● Samsung Fun,
Singer ●
Staid,
Dull,
Older
● Philips
(Actual)
Chinese
Brands ●
Practical,
Common,
Economical
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Sporty,
Stylish
Consumers’ Behavior (contd.)
Internal Influences
• Need – Benefit Analysis
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Company good will
Country origin of the product
Price
Picture/ Display quality
Sound
Durability
Design
Convenience
After sales service
Accessories
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Self-Concept and lifestyle
• Customers’ Self-Concept
– Middle Class
• Calm, economic, submissive, simple, influenced by the group
– Upper Class
• Practical, youthful, trendy, family oriented, value gratification
• Lifestyle
– Strivers
• Status oriented
• Focus on own families
• Value functional products
– Experiencers
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Action oriented
Highly ambience
Extremely spendthrift
Varity seekers, go for off beat products
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Recommendation
• Brand building activities
• Brand re-positioning
• Feature oriented advertisement for the
local market
• Customers’ need based market
segmentation and marketing strategy
• Clear and simple communication for
product differentiation
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Take Away
• Dependent on the distribution strategies rather than
marketing efforts.
• Lack of top of the mind brand awareness
• Very little or no brand building activities.
• Failed to cash the advantage of being pioneer in latest
technologies.
• Permanent image of low-price-medium-quality TV
producers.
• Enjoys the image providing value for money.
• Strong visibility in rural area
• Market penetration capability by low cost leadership
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