From the desk of Strategic Resources For any query, discussion or feedback, please contact Pavan Chandra, Head of Strategic Resources at pchandra@zenithoptimediaindia.com, +91-124-4195100. Office Address : 10th Floor, Vatika Tower, Block-B, Sector 54 Gurgaon -122002, Haryana, India.

Volume: V

August, 2007

 

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Airlines

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Sales and Market Share

 

 

Source: Directorate General of Civil Aviation

 

 

 

Trends, Marketing Initiatives and Others

 

 

 

01. Premium Flying: A Taste Of Luxury On Air – August 06

International carriers woo premium passengers with value-added services

International carriers, such as Air India, Jet Air and Singapore Airlines, are pampering their premium passengers with a host of services, including limousine transfers, amenity kit and buffet dinners, to make flying a luxurious experience. According to Y S Shashidhar, VP at Frost & Sullivan (business research and consultancy firm), "Such value-addition will only feature on the first and business class as both combined account for only 10% of seat capacity on a long haul flight”. Over 65% of first and business class passengers in India are foreign business travellers, while rest are Indians.

 

Source: The Times of India

 

 

 

02. Inflight Shopping: Indulgence For Budget Travelers – July 29

AVAM ties up with low-cost carriers to provide in-flight shopping

Low cost carriers are planning to offer novel add-on services, to attract the traveller. Inflight shopping will be one of such add-on services. In-flight shopping service provider, AVA Merchandizing (AVAM) has signed up with low-cost carriers, including Air Deccan and SpiceJet, to provide catalogue-based in-flight shopping to their passengers. As a part of its agreement with the airliners, AVAM would train cabin crew on in-flight marketing and showcasing products such as consumer electronic goods and branded jewellery.

 

Source: livemint

 

 

 

03. Airlines Roll Out Red Carpet To Woo Women Travellers – July 29

Airlines introducing special offers to attract women business travellers

Recognising the huge potential in the women Business Traveller segment, airlines such as American Airlines, Virgin Atlantic, British Airways and Singapore Airlines are introducing various marketing strategies – women-only website, special discounts and increased facilities onboard – to woo women passengers. According to a MasterCard's Asian Lifestyles Survey conducted in 13 Asian countries, approximately 80% of the women consider travel important for their lifestyles.

 

Source: The Economic Times

 

 

 

04. Citibank, Jet Airways Enhance Co-Branded Card To Newer Heights – July 31

Citibank and Jet Airways launch two new cards

Citibank and Jet Airways have launched the super-premium Jet Airways Citibank Platinum Card and the Jet Airways CitiBusiness Card, which provide enhanced features and reward discerning frequent flyers on July 31, 2007.

 

Source: Business wire

 

 

Product Launches

 

 

05. Tiger Airways Links Two Indian Cities With Aus – July 19

On 19 July, 2007, low-fare Tiger Airways launched four new flights linking south Indian cities of Kochi and Chennai to its Australian destinations of Darwin and Perth.

 

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Alcohol

 

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06. 'India Gets Its High From Whisky' – July 25

Whisky accounts for 55% of all IMFL sold in India

The consumption of hard liquor ranges from 43 litres per capita per annum in Pondicherry to approximately half a litre in Bihar and Jharkhand, according to 2005-06 report of the ministry of food processing. In India, the highest consumption levels are recorded in Pondicherry, Chandigarh, Goa and Delhi, respectively. According to the official data, in India, whisky accounts for 55% of all IMFL sold, followed by rum at 27%, brandy at 14%, gin at 3% and vodka at 1%.

 

Source: The Times of India

 

 

Trends, Marketing Initiatives and Others

 

 

07. Diageo Ties Up With Reliance To Retail Wine – July 27

Diageo ties up with Reliance to strengthen its market share

Spirits Company Diageo has tied up with Reliance Fresh to retail its international wines portfolio in India. In a bid to strengthen its market share, Diageo will launch domestic wines at Reliance Retail outlets, along with regular liquor shops in September 2007. The company is also expected to tie up with other major retailers and malls.

 

Source: The Hindustan Times

 

 

 

08. MNCs' Local Brands Threaten UB Monopoly – August 04

Masterstroke Whisky shows remarkable sales

Diageo Radico-Khaitan sold 100,000 cases of Masterstroke Whisky, a made-in-India whisky brand, within 100 days of its launch. The instant success of a local brand launched by a multinational partnership, of Diageo and Radico-Khaitan, is being considered as the beginning of a trend in which global majors may launch local brands to challenge the UB group, which currently dominates 60% of the 115 million cases Indian made foreign liquor (IMFL) market.

 

Source: The Economic Times

 

Product Launches

 

 

09. A Bubbly Burst – July 28

On 28 July, 2007, Moet Hennessy India launched a premium champagne brand, Veuve Clicquot Ponsardin in Delhi.

 

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Cars

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Sales and Market Share

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10. Car July Sales Up 11%, Bike Dip 17% – August 09

Car sales increase by 11.18% in July

According to data released by Society of Indian Automobile Manufacturers (SIAM), domestic passenger car sales in July 2007 grew by 11.18% to 89, 548 units from 80, 543 units in July 2006.

 

Source: The Economic Times

 

 

 

11. Personal UVs Overtake Q1 Growth Of Passenger Car – July 22

PUVs register a 24.5% growth in Q1 of FY 2006-07

The personal utility vehicles (PUVs) segment, comprising of high-end utility vehicles (UVs) and sports utilitiy vehicles (SUVs), has grown by 24.5% in Q1 of FY 2007-08 in comparison to Q1 of FY 2006-07—inspite of rising interest rates and increased competition. Mahindra & Mahindra (M&M) led the segment with sales of 13,885 units (40% of the sales) in Q1 of FY 2007-08, followed by Tata Motors (Safari) with 5,941 units. According to industry experts, the introduction of new products and variants, attractive offers and discounts, and the cyclical nature of the business fuelled the growth.

 

Source: The Financial Express

 

 

Trends, Marketing Initiatives and Others
 

 

12. Volvo Plans To Promote Brand Through Ocean Race – August 10

Volvo plans to promote major global and national sports events

Volvo Cars India is planning to promote its brand in India through endorsing sports events particularly sailing. According to Paul De Voijs, Managing Director, the company will bring the ‘Volvo Ocean Race’ to India next year. Apart from promoting the brand through sailing, the company is keen on endorsing local national golfing events though the final list of events is not finalised as yet.

 

Source: Business Line

 

 

 

13. Ford Abstains From TVC For Its New Fusion Diesel Campaign – July 31

Ford India not to use television for promotion of Fusion Diesel

Ford India decided to abstain from going on TV for the new diesel variant of Ford Fusion, and has instead decided to use print, radio, web and direct mail. Scott McCormack, VP of marketing for Ford India, said, “This is a product that targets a very niche group of customers, and we know how to get to them. So we don’t have to go for something as mass as TV”. The campaign, which was launched on 17 July 2007, is likely to continue for another two and a half months.

 

Source: exchange4media

 

 

  

14. GM India Announces Industry-First Maintenance Commitment Cost; Launches New Chevrolet Aveo – August 11

General Motors India launches ‘Chevrolet Promise’ programme

General Motors India has launched the ‘Chevrolet Promise’ programme in which customers can claim a refund of the excess amount paid for maintenance, if the total maintenance cost over a period of three years or 45,000 km (whichever comes first) exceeds the fixed amount. Rajeev Chaba, president and managing director GM India, said, “This programme stems from the confidence we have in our world-class products. It establishes Chevrolet as the best in terms of cost maintenance among other exclusive product attributes”. The programme is exclusively for the Indian clientele.

 

Source: exchange4media

 

 

 

15. Budget Cars To Outshine Two-Wheelers: ASSOCHAM – August 06

Budget cars may take away 25% of motorcycle market - Study

A recent study by the Associated Chambers of Commerce and Industry of India (ASSOCHAM) reports that the much-awaited Rs 1 lakh car may take away close to 25% of the motorcycle market in the country. The report also states that while semi-urban consumers are more inclined towards buying the proposed budget car, urban consumers have not shown interest in the vehicle. According to ASSOCHAM President Venugopal N Dhoot, “The two-wheeler market in India has already shrunk to about 17.50 lakh units by June 2007 compared to a little over 18 lakh units about a year ago which will further witness a decline since consumers henceforth would have many options in the four-wheeler segment with a little price difference”. The study is based on the response of 3,000 potential customers in metros and semi-urban towns.

 

Source: The Economic Times

 

 

 

16. Volkswagen Launches India Website – August 09

Volkswagen launches website to strengthen Indian operations

Volkswagen launched its India website on 9 August, 2007.The website contains a diverse range of product information customised to the Indian market and other detailed information on Volkswagen's India offerings.

 

Source: The Economic Times

 

 

 

 

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Computers

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Sales and Market Share
 

 

Source: IDC's India Quarterly PC Tracker, 1Q 2007 Release

 

 

Trends, Marketing Initiatives and Others

 

19. International Brands Drive Indian PC Mart – August 15

Laptops outperform desktops

According to a report on the Indian personal computer (PC) market by research and advisory firm Gartner, laptops grew at 74% and desktops growth has slowed down to 3.9% due to the rapidly decreasing price differences between mobile PCs and desk-based PCs; availability of a wide portfolio of products and a push from vendors and channels to grow this segment.  In both desktops and laptops, multinational brands such as HP, Lenovo and Dell, outpaced domestic brands such as HCL, Wipro and Zenith. The key sectors, which contributed to the growth of the overall PC market, were education, small businesses and the government.

 

Source: Business Standard

 

 

 

20. PC Sales On A Northward Trend – July 19

PC sales in India register a 26% growth                   

PC sales in India crossed 6.3 million units in FY 2006-07, registering a growth of 26% in comparison to the FY 2005-06. PC sales are projected to reach 8 million units in the FY 2007-08, according to the annual data by apex IT hardware body, Manufacturers Association for Information Technology (MAIT). For the same period, the business segment (accounted for 74% of the total PC sales) registered a growth rate of 18% whereas the home PC market remained stagnant at a growth rate of 23%.

 

Source: The Financial Express

 

Product Launches

 

 

21. BenQ Unveils World’s Fastest Response Time 17 Inch Wide-Screen LCD Monitors – July 27

On 27 July, 2007, BenQ unveiled its Windows Vista compatible, new range of 17” LCD Monitors.

 

 

 

22. Wipro Unveils ‘Green’ Desktops – July 24

On 23 July, 2007, Wipro Infotech launched a range of green personal computers—Protos. These desktops consume up to 25% less power than conventional desktops.

 

 

 

23. HP Unveils New Identity And Products For Compaq – July 24

On 24 July, 2007, Hewlett-Packard India announced the launch of its new Compaq portfolio, which includes Compaq Presario V6425TU and V6406TU notebooks and Compaq Presario SG3053IL and SG3043IL desktops. These systems have Compaq’s new brand identity.

 

 

 

24. Samsung's First 'Digital Zone' Set Up In Chennai – July 23

On 23 July, 2007, Samsung India announced the introduction of its first Samsung Digital Zone, an exclusive, interactive display of the company's digital imaging products, in Chennai. 

 

 

 

25. Samsung Unveils Slew Of New Printers – July 23

On 23 July, 2007, Samsung India announced the launch of nine new models of printers, which include two mono laser printers (ML-4050N, ML-4551NDR), four multifunction printers (SCX-5530FN; SCX-6122 FN; SCX-6322 DN and SCX-6345 N) and three colour laser printers (CLP-300 N, CLX-2160 and CLX-2160N).

 

 

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Consumer Durables

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26. Flat Colour TV Sales Surge By Over 70% – July 20

CTV industry registers a 30.6% growth in sales

According to ORG data for the five-month period, January to May 2007, the sales of  colour TVs (CTV) was 42,54,700 units in terms of volume and Rs 3,975.48 crore in terms of value. The flat panel CTV segment, which formed 64.3% of the entire market, grew at a rate of 70.9% in terms of volume and 49.1% in terms of value. However, the curve CTV segment grew by 12.7% and 23.7% in terms of volume and value, respectively, for January-May 2007 from January-May 2006. LG was the leader with 25.7% of the CTV market share, followed by Samsung and Onida at 14.1% and 9.4%, respectively.

 

Source: The Hindu Business Line

 

 

 

27. White Goods Cos Shine In Premium Class – August 08

Premium products outpace category

A recent ORG-Marg study shows that sales of premium electronic products have grown at a much higher pace than their respective product categories during January-June 2007. The report claims that during January-June 2007, while total TV sales recorded a 21% growth, LCD TV sales grew by 447%double check and plasma TV by 43% compared to January-June 2006. Likewise, the frost-free segment grew 42% compared to the total refrigerator category that recorded a 15% growth. Greater consumer awareness, enhanced affordability and the profusion of attractive consumer finance schemes are considered to be the principal reasons for the sharp spurt in sales growth of high-end products.

 

Source: The Economic times

 

 

Trends, Marketing Initiatives and Others
 

 

28. Consumer Durable Majors Look At Green Option – August 07

Consumer durables consider developing eco-friendly products

Consumer durable companies are developing eco-friendly products using minimal energy or bio-fuels to expand in the rural markets and to provide solutions for electricity related problems in urban India. Dutch Electronics Company Philips is planning to launch products such as smokeless chullah (wood stove) and rechargeable lanterns. Meanwhile, home appliances company Electrolux has for the first time in India announced its design lab contest directed towards developing products that will control global warming.

 

Source: Business Standard

 

 

Product Launches

 

 

29. TCL Launches 11 New Models Of Colour TVs – August 08

Consumer Electronics company TCL India Holdings Pvt Ltd launched 11 new models of colour televisions (CTVs) on 8 August, 2007. The new models come at an entry level price of Rs 4,500 and will be available in sizes ranging from 14-29 inches.

 

 

 

30. Fedders Lloyd Launches Washing Machine Range – July 26

On 25 July, 2007, Fedders Lloyd Corporation Ltd announced its entry into a new consumer durables category with the launch of new range of Lloyd washing machines. Besides washing machines, the company also announced the launch of two new models of microwave ovens and DVD players in Kerala, for the festive season of Onam.

 

 

 

31. Samsung To Offer The Largest SlimFit TM TV Range In The Country – July 24

On 24 July, 2007, Samsung India launched a range of Flat Colour Televisions for the Indian market, which include three Ultra SlimFit TM models (21Z50/21Z57/21Z51), two SlimFit TM models (29Z57/29Z50) and two Flat TV models (29M40/21M40).

 

 

Advertising Campaigns

 

 

32. Samsung Washing Machines TVC Offers An Indian Essence– August 06

Samsung India launches new TVC for its Silver Nano range

Samsung India launched a new TVC for its Silver Nano range of washing machines, featuring TV actor Prachi Desai.  Conceptualised by Cheil Communications, the TVC shows the daughter-in-law impressing her mother-in-law by washing clothes in the Samsung Silver Nano washing machine. She demonstrates how the machine not only removes dirt, dust and odour, but also gives hot water wash. According to Nitin Makdani, DelCheil Communications, the purpose of the commercial was to convey to consumers that Indian women now have a choice. The campaign is targeted at the SEC A and B urban female.

 

Source: exchange4media

 

 

 

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Financial Services

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Sales and Market Share

Banks

Source: Indian Banks’ Association

 

 

 

Insurance

 

33. Higher Interest Rates Affect Life Insurance Biz, Q1 Premium Dips – July 31

Life Insurance industry records a 9% dip in premium collected in Q1

Increasing home loan rates and a surge in stock markets weaned away household savings from the life insurance industry, which witnessed a 9% drop in total premium collection during Q1 of FY 2007-08. The total premium fell to Rs 12,511.8 crore compared to Rs 13,737.4 crore in Q1 of FY 2006-07. During the Q1 of FY 2007-08, insurance companies sold 82.31 lakh policies.  According to data collected by insurance regulator Insurance Regulatory and Development Authority (IRDA), LIC registered a 56% decline in premium collection at Rs 8,580.84 crore in Q1 of FY 2007-08 from Rs 19,368.41 crore in Q1 of FY 2006-07.

 

Source: The Times of India

 

Mutual Funds
 

 

Source: Association of Mutual Funds of India

 

 

 

 

34. Mutual Funds Asset Base Swells By Rs 86,180 Cr In July – August 03

AUM of mutual fund industry record a 21.5% growth

According to data released by the Association of Mutual Funds in India (AMFI), the total AUM for the industry, in July 2007, stand at Rs 4,86,513.71 crore – an increase of 21.5% over Rs 4,00,332.99 crore recorded in June 2007. In July 2007, Reliance Mutual Fund maintained its top position with a growth of 10.96% over June. ICICI Prudential Mutual Fund followed Reliance MF at Rs 48,688.56 crore, recording an increase of 11.63%.

 

Source: The Hindu Business Line

 

 

Trends, Marketing Initiatives and Others

Banks

 

 

 

35. Citibank ‘Captain of Captains’ – August 07

Citibank launches online cricketing game

Citibank India in collaboration with Krishcricket, a leading provider of cricket based digital entertainment, has launched Citibank Captain of Captains, an online cricketing game. The game is related with the ‘real’ cricket season, wherein Indian team heads into a packed season with matches scheduled against Australia, Pakistan and Sri Lanka apart from the Twenty20 World Cup. Prizes include a trip to Australia to watch a Test match, Plasma TV, Laptop, Mobile Phones, iPods and more. This promotion is on till 17 October, 2007.

 

Source: Business Wire

 

 

 

36. ICICI Bank and Kingfisher Airlines Launch Co-branded Credit Card – August 04

Kingfisher and ICICI join hands to launch a co-branded credit card

Kingfisher Airlines has entered into an agreement with ICICI Bank to create a co-branded credit card on the VISA platform to provide enhanced value to its consumers. The ICICI Bank-Kingfisher Airlines credit card will offer a host of special customized features including privileged access to lounges and restaurants, free refreshments at domestic airports, access to nearly 180 golf clubs in India through special tie-ups and special packages for golf holidays across the world.

 

Source: Yahoo Finance

 

 

 

37. Indian Bank ATM To Offer Railway Ticket – August 02

Indian Bank ties up with IRCTC to provide e-booking service

Chennai-based, Indian Bank has tied up with Indian Railway Catering and Tourism Corporation (IRCTC) to provide railway tickets through its ATM network.

 

Source: The Economic Times

 

 

 

38. ICICI Bank, IBM, IFC Launch SME Toolkit – August 07

ICICI Bank, IBM and IFC join hands to l;aunch SME toolkit

On 7 August, 2007, ICICI Bank, IBM and IFC, a member of the World Bank Group, together launched an SME toolkit – an online resource centre, to help small and medium enterprises start, finance and grow their businesses.

 

Source: The Economic Times

 

 

 

39. South Canara Coop Bank’s ‘Mobile’ Service – July 25

South Canara District Central Cooperative Bank plans to initiate ‘bank-on-wheels’ service

With an intention to provide doorstep banking facility to customers, the Mangalore-based South Canara District Central Cooperative Bank Ltd is planning to introduce ‘bank-on-wheels’ (a mobile bank service) in Mangalore. Bank-on-wheels will provide all the facilities of a typical branch.

 

Source: The Hindu Business Line

 

 

 

40. PSU Banks Tune In To FM Channel – July 16

Banks to hold ‘loan melas’ in educational institutions

Owing to the government’s petition to the public sector banks (PSU banks) to reach out to students through special drives in academic campuses, banks plan to organise loan melas in educational institutions. The PSU banks have been leading in education loans. Banks have disbursed education loans of about Rs 13,399 crore as on December 2006, according to an RBI data.

 

Source: The Economic Times

 
 

Insurance

 

     

41. SBI, UTI AMC, LIC To Manage New Pension Fund – July 20

SBI, UTI AMC, LIC to handle corpus of Rs 2000 crore under NPS

The State Bank of India, UTI Asset Management Company Private Limited and Life Insurance Corporation of India have been appointed pension fund managers (PFMs) to handle a corpus of Rs 2,000 crore under the new pension system (NPS), which would be operational from 1 January, 2008. Apart from the above three entities, Canara Bank, IDBI Capital Market Services Ltd, Securities Trading Corporation of India and Punjab National Bank had expressed interest to operate as PFMs.

 

Source: The Financial Express

 

 

Product Launches

Bank

 

 

42. SBI Card Launches Two Premium Products – August 10

On August 9, 2007, SBI Card, a joint venture between SBI and GE Money, announced the launch of the ‘SBI Platinum Card’ in association with Visa International. SBI Card also announced the launch of the ‘SBI Gold & More Card’ in association with MasterCard Worldwide.

 

 

 

43. Deutsche Bank, Lufthansa Launch Credit Card – August 08

On 8 August, 2007, Deutsche Bank and German Airlines Lufthansa, in association with Visa International, announced the launch of Miles & More credit card in India. The card is available in two variants – Visa Platinum and Visa Signature.

 

 

 

44. SBI’s New ‘Cash Back Plus’ Offer On Debit Cards – August 02

On August 1, 2007, State Bank of India (SBI) launched a ‘Cash Back Plus’ offer on its debit cards effective from August 1 and valid up to October 31, 2007.  Under this offer, customers using debit cards of SBI or its associate banks for making payments of Rs. 501 or above will get up to 5% cash back.

 

 

Insurance

 

 

 

45. ING Vysya Life Launches Product For Saving Segment – August 08

On 8 August, 2007, ING Vysya Life Insurance announced the launch of 'ING Positive Life', a unit linked saving solution targeted at the regular saving segment.

 

 

 

46. Apollo Group, DKV Launch Health Insurance Firm – August 08

On 8 August, 2007, The Apollo Hospitals Group and DKV AG, Europe’s largest private health insurer, launched Apollo DKV Insurance Company – the second stand-alone health insurance company in India.

 

 

Mutual Funds

47. Merrill Lynch Launches Gold Fund In India – July 26

On 26 July, 2007, DSP Merrill Lynch Fund Managers Ltd announced the launch of an open-ended ‘World Gold Fund’ for the Indian investors.

 

 

 

48. JM Financial Launches JM Contra Fund – July 16

JM Financial Mutual Fund, on 16 July, 2007, announced the launch of JM Contra Fund, an open-ended equity fund.

 

 

Others

 

49. DSP Merrill Lynch Launches Trust Services In Delhi And Northern Region – July 20

On 20 July 2007, DSP Merrill Lynch Trust Services Limited (DSPMLTS), a wholly owned subsidiary of DSP Merrill Lynch Limited (DSPML), announced the launch of Trust Services for high net worth individuals in north India, including New Delhi. A trust is an estate planning solution that allows either an individual or a married couple to structure wealth effectively for the benefit of both current and future generations. It is governed by a trust deed that specifies the terms of the trust agreed between the settlor and the trustee.

 

 

Advertising Campaigns

 

Bank

 

 

 

50. UTI Bank To Axis Bank: What’s In A Name, Everything! – August 06

UTI Bank now re-named Axis Bank

UTI, which officially announced the change of its name to ‘Axis Bank’, on 30 July 2007, launched a campaign titled ‘UTI Bank is now Axis Bank; Everything is the same except the name’. Hemant Kaul, President-Retail Banking, Axis Bank, said, “The decision to re-brand the bank emanated from the need to move out of a scenario of brand confusion that is created by several shareholder-unrelated entities using the UTI brand. We renamed ourselves on July 30. Everything else remains the same, except for the name”. A multimedia campaign was unfolded on 1 August 2007. Created by advertising agency, O&M, the campaign seeks to reassure customers that change in name will not affect the services offered by bank. The creative platform adopted for the name change was based on twins – siblings whose names are different but are identical in every other way.

 

Source: exchange4media

 

 

Insurance

 

 

 

51. Tendulkar Bats For Aviva Life Insurance – July 21

Sachin Tendulkar features in Aviva campaign

Aviva Life Insurance has launched a new campaign, titled ‘Kal Par Control’, featuring Sachin Tendulkar. The film shows Sachin in two roles; the first Sachin takes viewers through his and brand’s philosophy of life, which is living tension-free and ‘khul ke’, while the other Sachin is enjoying and living life fully with a group of kids on the beach. The campaign is based on the insight that uncertainties and worries about future restrain people from enjoying the present.

 

Source: Exchange4media

 

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Food and Beverages

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Trends, Marketing Initiatives and Others

 

 

52. Juicy Twist For Fruit Drinks In Beverages Market – August 13

Research shows increase in the non-carbonated drinks sales

According to The 2007 India Soft Drinks Report by Canadean, the sales of still drinks such as ready-to-drink fruit or non-fruit-based drinks with a juice content lower than 25%, nectars, sweetened flavoured waters and packaged water are growing fast to acquire a major share of the Indian beverages market. The success of brands such as Mango Frooti and Appy in India has largely been the result of a decreasing demand for carbonated drinks, which have witnessed a decline over the years due to pesticide contamination charges.

 

Source: Business Standard

 

 

 

53. Food Packs To Show Nutritional Value – August 06

Implementation of new food labelling rule deferred till February 2008

The ministry of health and family welfare has deferred the implementation of new labelling rules till 20 February, 2008. The new rules were earlier due to be implemented on 20 August, 2007. The new food labelling rules have made it mandatory for producers of processed food and edible oils to compulsorily mention on their product labels the energy value of protein, carbohydrate and fat contents in food products, in terms of Kcal (kilo-calorie) per 100 gm or per 100 ml.

 

Source: The Economic Times

 

 

 

54. ‘Tea, Coffee Have Maximum Recall’ – July 30

Study shows that tea and coffee have high recall rates

Consumer Attitude Document, a study conducted in urban locations across the country and rural areas in south India, released by the Coffee Board, showed that both coffee and tea enjoy high spontaneous recall rate of 81% and 95%, respectively, followed by plain milk and carbonated soft drinks. Tea emerged as a regularly consumed beverage whereas Coffee enjoyed the ‘Family Beverage’ status in Karnataka.

 

Source: The Financial Express

 

 

 

55. Jamaican GraceKennedy Sews Up Alliance For Ready-To-Eat Foray – August 14

GraceKennedy to enter the Indian market with ready-to-eat convenience foods

The Jamaican conglomerate, GraceKennedy, is planning to enter the Indian food market with its ready-to-eat convenience foods, which include canned coconut water, coconut milk, chicken sausages, tropical juices and instant noodles. The group has entered into a marketing and distribution tie-up with Dalmia Continental, targeting retail chains and convenience stores.

 

Source: The Economic Times

 

 

 

56. Spencer’s Plans Foray Into Garment Retailing – August 11

Spencer’s mulls over foray into garment retailing

Spencer’s Retail, part of the RPG Group, is considering a foray into garment retailing. These would be exclusive stores retailing only apparel. The company is also considering partnerships and tie-ups for the garment retail venture.

 

Source: The Hindu Business Line

 

 

 

57. Veetee Foods To Foray Into Indian Health Food Segment – August 07

Veetee Fine Foods to foray into the health food segment in India

UK-based Veetee Fine Foods plans to make a foray into the health food segment in India with the launch ready-to-eat whole grains and soups in FY 2007-08. According to Veetee Fine Foods (India) Marketing Manager Rachita Mittal, the company plans to position whole grains as health food and will launch brown rice garnished with European herbs such as parsley, organo and thyme.

 

Source: The Economic Times

 

 

 

58. Small Wonders – August 01-15

Amul Butter launches redesigned packs

In a bid to strengthen its position, Amul Butter has launched new 'airline' and 'munna' packs in retail outlets. Till now, ‘airline’ packs were served mainly in flights. The ‘munna’ pack of butter weighs 25 gm and is targeted at nuclear families.

 

Source: The Brand Reporter

 

 

 

59. Svanna Foods To Launch Instant Foods And Beverages – July 28

Svanna Foods to enter the Indian market

Singapore based food and beverage company, Svanna Foods will foray in the Indian consumer market with the introduction of a range of instant beverages such as pre-mixed coffee, iced tea, sand fruit drinks with different flavours, apart from instant food products such as noodles, canned fish and a variety of sauces such as tomato, soya and chilly sauces.

 

Source: fnb news

 

 

 

60. Gear Up For Fight In Probiotics! – July 26

Industry majors launch products in the probiotic segment

Industry majors, such as Amul, Nestle, Yakult-Danone and Mother Diary, are focusing on the probiotics segment by launching new products in the market. According to Amul’s Chief General Manager, R S Sodhi, considering that consumer choices are becoming more health specific, the probiotic segment is expected to contribute 10% to the company’s overall sales over the next few years.

 

Source: The Economic Times

 

 

 

61. Gum’s The Word! – July 26

New product launches speed up growth in confectionary segment

The Rs 3,500 crore confectionery category is witnessing growth rates between 20-25% due to increasing innovation and value-added products. Cadbury had re-entered the confectionery segment with the launch of Bubbaloo bubble gum. Parle Agro also re-entered the segment with two new brands – Buttercup and Mintrox – both hard-boiled sweets in the 50 paise segment. Sanjay Purohit, Executive Director - Marketing, Cadbury India, said, “There has been a shift from basic sugar confectionery to more value-added products. The basic toffees have graduated to more ‘sophisticated’ products and people are looking for a better eat-experience product in the confectionery category”.

 

Source: The Hindu Business Line

 

 

Product Launches
 

62. Aashirvaad Launches Organic Spices – July 31

On 31 July 2007, Aashirvaad, the kitchen ingredients brand from ITC Foods announced the launch of its new range of “Aashirvaad Select Organic Spices”.

 

 

 

63. Upset With Bottlers, Coke To Bring Bonaqua – July 30

On 30 July, 2007, Hindustan Coca-Cola Bottling (HCCB), the bottling unit of Coca-Cola in India, launched Bonaqua, a water brand from Coke’s global product portfolio.

 

 

 

64. Nestle Enters Probiotic Mart – July 27

On 27 July, 2007, Nestle India forayed into the probiotic milk market by launching its new low-fat product, Nestle Nesvita Dahi.

 

 

 

65. Enjoy The Refreshing, Natural And Delicious Taste – July 27

On 27 July, 2007, Tropicana, the international juice brand from PepsiCo, launched two new exotic juice drinks – Apricot and Strawberry Twirl, at a price tag of Rs 15 for 200 ml and Rs 75 for 1 litre packs, respectively.

 

 

 

66. Mother Diary To Launch Probiotic Curd – July 26

On 27 July, 2007, Mother Dairy, a wholly owned subsidiary of National Dairy Development Board launched its 'b-active' curd.

 

 

 

67. Sunstar Confection Launches 'Aloe' – July 21

On 18 July, 2007, the Mumbai-based Sunstar Confection & Trading Pvt. Ltd. in partnership with Paldo Foods, Korea, launched ‘Aloe’, an aloe vera based ready-to-drink juice, which contains no added fat or artificial colours and has zero cholesterol. It is available in both, regular 'Classic' as well as sugar-free 'Diet' options in bottles of 500ml.

 

 

Advertising Campaigns
 

68. Pepsi Banks On ‘Cool’ Quotient For Its New ‘My Can’ Campaign – August 08

Shahrukh and John Abraham to feature in the new ‘My Can’ TVC

PepsiCo intends to attach the ‘cool’ and ‘stylish’ quotient to its image with the its new sleek packaging of ‘My Can’ for Pepsi and 7Up. The company’s new TVC will feature brand ambassadors Shah Rukh Khan and John Abraham. The two new TVCs created by advertising agency JWT shows both the stars being upstaged by a young guy for a can of Pepsi. The ‘Me on My Can’ consumer activation programme seeks to offer the youth an opportunity to be on the new Pepsi packs. Participants can also log onto the Pepsi microsite at Yahoo! for uploading their entries.

 

Source: exchange4media

 

 

 

69. Cadbury 5 Star Takes The Power Of Two, Urges People To ‘Kho Jaao’ – July 25

New TVC ‘Kho Jaao' for Cadbury 5 Star

Cadbury 5 Star has launched a new TVC with the theme ‘Kho Jaao'. The TVC follows a teaser campaign for their interactive website Lostin5star.com which stimulates real time consumer interaction in an engaging and interactive manner. Extending the idea of the TVC, where protagonists eat 5 Star and vanish, visitors to the website can upload photographs and details of friends who they want to be reported as missing. According to Sanjay Purohit, director of marketing for Cadbury India, with the growing popularity of the Internet, especially among the youth, Lostin5star.com and other media initiatives will play a significant role in enhancing brand connect with both brand loyalists and curious potential customers.

 

Source: exchange4media

 

 

 

70. Rakhi Sawant Woos ‘Majnu’ In New TVC For Mint-O Fresh Cool Green– July 23

Rakhi Sawant to feature in new Mint-O Fresh Cool Green TVC

ITC Ltd’s food division expanded the Mint-O Fresh portfolio with the launch of Mint-O Fresh Cool Green. The new product will be supported by a multi-media communication campaign including a new television commercial, created by Bangalore-based, FCB Ulka, featuring Rakhi Sawant.   The Mint-O Fresh campaign, with the tagline ‘Jab Laila ko karna tha impress to Majnu ne khaya Mint-O Fresh’, has worked well for the brand and is widely known and remembered.

 

Source: Exchange4media

 

 

 

71. Domino’s Pizza Allocates Rs 4 Cr For New Launch Calzone – July 20

New TVC for ‘Calzone’

Domino’s Pizza India Ltd has released a TVC for the recently introduced stuffed Mexican product, Calzone. Conceptualised by Contract Advertising, the TVC features a Bengali ‘Bhadrolok’, with the image of Victoria Memorial in the background, talking about Greg Chappell and cricket. It starts with the comment that Chappell’s recruitment in the team did not guarantee India’s victory, and ends with the line ‘but the new Calzone guarantees full taste’. The company has come out with a TVC for a side item, for the first time.

 

Source: Exchange4media

 

 

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Hotels

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Sales and Market Share
 

 

Source: Euromonitor Report- Travel and Tourism - India- September 2006

 

 

Trends, Marketing Initiatives and Others

 

 

72. Strong Re: Hotels Rethink Dual Tariff – August 06

Hotels consider implementation of single currency pricing in rupee rate Major hotel groups are re-considering the existing dual tariff (dollar-rupee) policy as the strengthening of the rupee against the dollar is making a significant dent in the revenues of hotel chains across India. Hence, hotels are collectively planning to implement the single currency pricing in rupee rate nationally. Barring the international hotel chain Hyatt, which introduced the non-discriminatory rupee pricing in 2005, all other major hotel groups such as The Leela, Taj and Oberoi have dual tariffs.

 

Source: The Economic Times

 

 

 

73. Govt Plans Sops To Promote Budget Hotels – July 27

Government to grant capital subsidy to encourage budget hotels

The tourism ministry plans to grant capital subsidy to new one-, two-, three-star and heritage hotels to encourage building budget hotels to meet the shortage of 150,000 rooms for events, such as the Commonwealth Games, to be held in New Delhi in 2010. “To make the scheme investor friendly, the subsidy will be paid directly and not through banks or financial institutions. This will also reduce paper work,” said MN Javed, deputy director general of the tourism ministry.

 

Source: Business Standard

 

 

Product Launches
 

74. ITC Maurya Launches Rooftop Restaurant – August 01

ITC Maurya launched its rooftop Chinese restaurant "My Humble House" in New Delhi on 1 August, 2007.  The restaurant will offer contemporary Chinese cuisine.

 

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Real Estate

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Trends, Marketing Initiatives and Others

 

75. Parsvnath Allotted Land For IT SEZ In Indore – August 03

Department of Commerce allots land to Parsvnath SEZ Ltd.

Parsvnath Developers Ltd reported that the department of commerce has allotted 30.981 hectares of land to its subsidiary, Parsvnath SEZ Ltd., for a special economic zone (SEZ) for information technology and information technology-enabled services at Lasudia Parmar in Indore, Madhya Pradesh.

 

Source: The Economic Times

 

 

Product Launches

 

 

 

76. PDL Launches Rs 50 Cr Luxury Mall In Ahmedabad – July 19

On 19 July, 2007, Parsvnath Developers Ltd (PDL) launched a luxury shopping mall cum multiplex "Parsvnath City Centre," at a cost of Rs 50 crore in Vastrapur, Ahmedabad.

 

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Retail

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Sales and Market Share
 

 

Source: Euromonitor Report- Hypermarkets - India- June 2007

 

 

Source: Euromonitor Report- Supermarkets - India- June 2007

 

 

Trends, Marketing Initiatives and Others

 

 

77. In-House Oomph To Reliance Retail Ramp – July 26

Reliance Retail to launch 100 private label brands in Reliance Hyper Marts

The Mukesh Ambani-led Reliance Retail is to launch 100 private label brands across product categories at its upcoming Reliance Hyper Marts. The first one is coming up in Ahmedabad in August 2007 and the second at Jamnagar in October 2007.

 

Source: The Economic Times

 

Product Launches

 

78. Reliance Retail Launches Largest Hypermarket – August 15

On August 15, 2007, Reliance Retail launched its new retail hypermarket under the brand name Reliance Mart in Ahmedabad. RelianceMart will feature over 95,000 products in categories ranging from fresh produce, food and grocery, home care products, apparel and accessories to non-food FMCG products.

 

 

 

79. Sahara Unique - The Retail Chain Now Offers ‘Shop N Save’ To The Customers – July 31

On 31 July, 2007, 'Sahara Unique', the retail chain of Sahara consumer products division, launched its privilege card ‘Sahara Unique Privilege Card’.

 

 

 

80. Reliance Retail Enters Dairy Sector With Liquid Milk – July 17

On 16 July 2007, Reliance Retail forayed into dairy products with a national ‘pilot’ launch of its liquid milk, Reliance Dairy Pure, in Hyderabad.

 

 

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Telecom (Service Providers)

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Source: Cellular Operators Association of India

 

 

 

81. Cell Subscriber Base Up 5.7 M In July – August 10

GSM Cellular base increases by 5.7 million in July

The total GSM cellular base in India has increased by 5.7 million in July 2007, to touch the 140 million mark. Major players such as Bharti added 2 million subscribers, BSNL added 5.5 million subscribers, while the new merged entity Vodafone Essar added 1.6 million subscribers in the month of July.

 

Source: Business Line

 

 

 

82. Top Cellular Players (Based On Revenue) – July 31

Consolidated revenues of top 12 cellular operators increase by 56.1%

Consolidated revenues of the top 12 cellular operators in India increased by 56.1%, from Rs 35,994 crore in 2005-06 to Rs 56,183 crore in 2006-07. The top 12 cellular operators, based on their subscribers, were: Bharti Airtel, Reliance Communications, Hutchinson Essar, Bharat Sanchar Nigam Ltd (BSNL), Idea Cellular, Tata Teleservices (Group), Aircel, Spice, BPL Mobile (Mumbai), Mahanagar Telephone Nigam Ltd (MTNL), BPL Mobile (Mumbai), Himachal Futuristic Communications Ltd Infotel (HFCL Infotel) and Shyam Telelink.

 

Source: Indian Business Insight

 

 

 

83.  ‘Cell Services To Cross $25 Bn By 2011’ – July 18

Gartner projects Indian cellular operators to grow at a CAGR of 18.4%

According to Gartner, revenue of Indian cellular operators is projected to grow at a compound annual growth rate (CAGR) of 18.4% to reach $25.617 billion in 2011, from $8.95 billion in 2006. With increased focus on the rural market, aggressive promotions and handset bundle offers, mobile penetration is projected to increase, from 12.7% in 2006 to 38.6% in 2011.

 

Source: The Financial Express

 

 

Trends, Marketing Initiatives and Others
 

84. Hutch Joins Hands With DoP In UP – August 10

Hutch ties up with DoP in UP to increase its reach to rural market

Private telecom operator Hutch has joined hands with the Department of Post (DoP), Uttar Pradesh Circle, to take mobile services to the masses in UP. Hutch will utilise the wide network of post offices across UP for sale of pre-paid and post-paid connections as well as pre-paid recharges and post-paid delivery collections. In addition, it will use the space in select post offices for commissioning its self-service kiosks and PCO units to provide its mobile cellular services to the consumer. The service would be initially restricted to select urban post offices, and later would cover 1700 post offices in UP.

 

Source: Business Standard

 

 

 

85. Reliance To Introduce Money Transfer Via Mobile – August 05

RCom to launch Mobile Money Order for Reliance mobiles

According to Reliance Communications’ President (of Applications, Solutions and Content Group), Mahesh Prasad, the company plans to launch a Mobile Money Order service for Reliance mobiles, which will enable people to send and receive money through their handsets. Approximately 1.5 lakh retail outlets of the company will act as collection points. The service is expected to be launched by the year-end 2007, as the company is exploring tie-ups with financial institutions for introducing this service.

 

Source: The Economic Times

 

 

Product Launches

 

 

 

86. Airtel Partners With Google For Web Services – August 06

On 6 August, 2007, Bharti Airtel Broadband and Telephone Services announced its tie up with search engine Google to provide customised services such as email, chat, and search to its subscribers.

 

 

 

87. Tata Indicom Launches Phone With Dual Technology – August 02

On 2 August, 2007, Tata Indicom launched a dual mode handset, Samsung Duo, which can run both GSM- and CDMA-based mobile connections.

 

 

 

88. Spice Launches Dual Phone – August 02

On 1 August, 2007, Spice Mobile launched the ‘Spice Dual Phone,’ in two variants — D88 which supports both GSM and CDMA active connections and D80 which supports two GSM active connections.

 

 

 

89. Spice Launches New Music Service – August 02

On 2 August, 2007, Spice Telecom announced the launch of music-based service 'Spice My FM Radio' in collaboration with 'MY FM', an FM channel, wherein the pre-paid and post-paid subscribers can listen to non-stop songs and create their favourite music albums.

 

 

 

90. Hutch Subscribers Can Now Search Callertunes For Free – July 31

On 31 July, 2007, Hutch unveiled a new service, which enables its subscribers to search for callertunes of their choice at no extra cost.

 

 

 

91. Motorola & Tata Teleservices Partner To Launch MOTO Q™ In India – July 31

On 31 July, 2007, Motorola Inc. and Tata Teleservices Ltd announced the launch of MOTO Q™ in India. Custom-built for customers who multi-task and need flexibility, MOTO Q is an all-in-one handheld device built upon the design revolution created by the Motorola RAZR™.

 

 

 

92. RCom Launches Global Calling Card For Travellers – July 24

On 24 July 2007, Reliance Communications launched a calling card for Indian travellers abroad to make calls anywhere, from any phone. It also launched ‘Reliance Passport Advantage’ for travellers coming to India, through which they can forward overseas calls to any designated number in India.

 

 

 

93. Carry World (Wide Web) In Your Pocket!! TATA Indicom Launches Plug2Surf Whiz – July 23

On 23 July 2007, Tata Indicom announced the launch of the Plug 2 Surf Whiz USB modem device, which is a wireless device that fits into a standard USB port available in most desktops and laptops and provides instant internet connectivity.

 

 

 

94. Tata Tele's Calling Cards To US – July 23

On 23 July 2007, Tata Teleservices Ltd introduced international calling cards, which enables users to make ISD calls for Rs 1.99 per minute to the US and Canada.

 

 

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Two-wheelers

 

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Sales and Market Share
 

 

Source: Auto News Bulletin May 18 – May 24, 2007 by Murad Baig Associates
 

 

 

Source: Auto News Bulletin May 18 – May 24, 2007 by Murad Baig Associates
 

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95. Passenger Vehicles & Light Commercial Vehicles Maintain Positive Growth – August 09

Two-wheeler sales witness a negative growth

According to the data released by SIAM, the two-wheeler sales during April-July 2007 decreased by 9.18% as compared to April-July 2006. Though the sales of scooters, mopeds and electric two-wheelers grew by 17.15%, 29.65% and 73.46% respectively, motorcycles, the key segment in this category, registered a decline of 15.10%. 

 

Source: SIAM

 

Product Launches

 

 

96. LML Plans Comeback With Vespa – August 14

The Kanpur-based LML (Lohia Machines) has re-entered the domestic market with the launch of its 150cc Vespa brands, NV SPL and Select II, priced at Rs. 35,000 in New Delhi.

 

 

 

97. Hero Honda Net Down, Launches Two New Bikes – July 24

On 24 July, 2007, Hero Honda Motors announced the launch of two new variants – Passion Plus (100 cc), priced at Rs 42,750 (ex-showroom Delhi) and Super Splendor (125 cc), priced at Rs. 44,150 – for drum brake and 44,900 for disc brake (ex-showroom Delhi).

  

 

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Skin Care

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Sales and Market Share

 

Source: Euromonitor Report - June 2007

 

Trends, Marketing Initiatives and Others

 

 

98. Cosmetics For The Metrosexual Man– August 14

Cosmetic companies to target ‘Metrosexual Man’

With an increasing number of men swarming the saloons for a variety of beauty treatments, the cosmetic companies are now targeting this ‘untapped´ market. According to Mohan Goenka, director of Emami Group, the market for cosmetics for men is growing in India. Apart from fairness creams, men are also buying products ranging from body lotions to wrinkle free creams.

 

Source: livemint

 

 

 

99. Esha Deol Is The New Garnier Girl – August 08

Esha Deol will be the new face of Garnier

Garnier has signed Esha Deol as the brand ambassador for its newly launched fairness cream, Garnier Light Matte. The product is available at a special introductory price of Rs. 75 (for a pack of 40 ml) at all leading stores.

 

Source: agencyfaqs

 

 

Product Launches

 

 

 

100. Oriflame Launches New Cosmetics Range In India – August 01

On 1 August, 2007, Swedish cosmetics major, Oriflame, launched a new range of cosmetics (Power Shine Lipsticks) in ten different shades.

 

 

 

101. P&G Launches Olay Total Effects – July 24

On 24 July 2007, P&G forayed into the anti-aging skin care segment, with the launch of ‘Olay Total Effects' with VitaNiacin, in the Indian market. Former Miss Universe, Sushmita Sen has been chosen as the brand ambassador.

 

 

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Sports Apparel

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..
 

 

102. UK Based Hi-Tec Sports Enters India – August 09

UK based Hi-Tec Sports enters India through master franchisee Chogori India

On 9 August, 2007, Hi-Tec Sports Plc, the UK based global sports and outdoor company, announced its entry into India. The company is a pioneer in comfortable, lightweight footwear. Hi-Tec has appointed Chogori India as its master licensee to market and distribute the brand in India, Sri Lanka, Bhutan and Bangladesh. Hi-Tec plans to launch its complete range of outdoor and court (indoor sports played on courts such as squash, badminton) shoes in India.

 

 

Source: Economic Times