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This tracker has been compiled from external sources and does not necessarily reflect the views of the company. Links provided will take you to the full articles appended at the end of the file.

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01. Jet To Partner UAE's Etihad

10 June, 2008

 

Etihad Airways, the national carrier of the United Arab Emirates, and Jet Airways have inked a code share agreement and reciprocal frequent flier partnership on the New Delhi-Mumbai-Abu Dhabi sectors.

 

The announcement was made here on Tuesday by Jet Airways chairman Naresh Goyal.

 

 

 

02. Jet Launches Service To China

14 June, 2008

 

Naresh Goyal-spearheaded Jet Airways has become the first Indian private air-carrier to operate a service to China by launching its Mumbai-Shanghai- San Francisco flight here on Saturday.

 

"With the introduction of the maiden service to San Francisco via Shanghai, we continue our airline's unprecedented expansion throughout North America," airline's Executive Director Saroj Datta said at the launch of the flight at the Mumbai International Airport.

 

This is the fourth new long-haul route started by Jet Airways to North America in less than one year.

 

Jet currently operates to 60 destinations across India and overseas. New York (JFK and Newark), Toronto, Brussels, London, Hong Kong, Singapore, Kuala Lumpur, Abu Dhabi, Kuwait, Bahrain, Doha and Muscat are some of the major international destinations the airlines operate to.

 

 

 

03. United Spirits To Uncork Jean-Claude Boisset Wine

28 May, 2008

 

United Spirits is inking a deal with Burgundy giant Jean-Claude Boisset in a move aimed at bolstering the domestic wine play. The development signals Vijay Mallya-led spirits behemoth’s plans to script high-profile ties in the wine world.

 

The family-owned Boisset, the biggest grape buyer in Burgundy region, and United Spirits have already struck a distribution agreement, but would deepen the arrangement through a joint venture (JV) company for selling imported mainstream and boutique labels owned by the former.

 

The four decade-old Boisset has 18 wineries, most of which is in Burgundy and the remaining spread across Beaujolais, the Rhone and California. “We are partnering Boisset in a trading relationship through our subsidiary company United Vintners,” USL president Vijay Rekhi told ET.

 

USL is also in the midst of unveiling more tieups in South Africa and New Zealand, which is not yet made official. Meanwhile, the domestic spirits giant, the world’s third-largest spirits marketer by volume, is parking its nascent wine trading business under United Vintners while Four Seasons Winery at Baramati will deal in locally-produced wines.

 

Boisset and USL are exploring the possibility of an equal joint venture to sell wines priced between Rs 700 and Rs 25,000 per bottle in India, said USL wine division head Abhay Kewadkar. “Chardonnay and Pinot Noir varietals, which originally came from Burgundy, are not easy to develop in India, and Boisset is a big player specialising in these varietals,” Mr Kewadkar added.

 

In 2007, USL acquired French sparkling wine maker Bouvet Ladubay in Loire Valley for $15 million. The distribution deal with Boisset is expected to compliment USL’s French wine portfolio, which continues to dominate the Indian market despite an onslaught from the New World.

 

It is believed that the French company is keen on developing its presence in India, which is being touted as one of the potentially big markets. This could see Boisset bringing in its wide spectrum of wines with the regular French Rabbit brand to the more exclusive labels like Chambolle Musigny and Gevrey Chambertin straddling the price bracket. India’s fledgling wine consumption estimated at 1.3-million cases (of 9 litre each) annually is projected to grow at 25% in medium to long term. Boisset has 300 hectares under direct ownership, and over 2,000 hectares locked in through contract farming.

 

Boisset’s emergence as a wine powerhouse in just forty years has been attributed to its ability to produce sustainable large quantities of generic wine with varietal character. The firm is also a controversial one for leading packaging innovations in the traditional heartlands of winemaking. For instance, Boisset was one of the first to attempt PET and tetrapak packaging apart from trying out screw caps on bottles.

 

04. ABD Launches 'Wodka Gorbatschow' In India

9 June, 2008

 

Allied Blenders & Distillers Pvt. Ltd. (ABD) today announced the launched of the 87-year-old German vodka brand 'Wodka Gorbatschow' in India. The brand is Germany's biggest vodka brand and also its third strongest spirits brand. It will be priced in India for Rs 570 for a 750 ml bottle. Wodka Gorbatschow is also among the top 15 premium vodkas in the world, and with 1.4 million cases sold it is a member of the "Club of Millionaires". In 2006, Wodka Gorbatschowwas awarded the Monde Sélection Gold Medal.

 

The brand will be locally bottled at the Aurangabad plant of Allied Blenders & Distillers Pvt. Ltd Maharashtra, which is bringing the product to the country in agreement with Wiesbaden-based winery, Henkell & Sohnlein Sektkellereien KG , Germany, which owns the brand. Wodka Gorbatschow is the first brand launch in India from the ABD-Henkell alliance.

 

The roots of the brand go back to the czarist era in St. Petersburg. In 1917 the Gorbatschow family left Russia during the October revolution and refounded the Gorbatschow Company in 1921 in Berlin. The brand is Germany's biggest vodka brand and also its third strongest spirits brand.

 

"The vodka category growth in India continues to outperform the total spirits market growth," said Deepak Roy, executive vice chairman and CEO, ABD. With such a booming economy, Indian consumers are increasingly connected to global trends and looking for new experiences, thus offering Wodka Gorbatschowsignificant potential."

 

"Wodka Gorbatschow is the first brand launch marking the ABD-Henkell alliance in India," says Deepak Roy, executive vice chairman and CEO, ABD. "The Indian market is dynamically poised for a highly evolved state, and there couldn't have been a better choice of brand than Wodka Gorbatschow to serve the ever-increasing demand for pure and high quality vodka. We are confident that the product quality will speak for itself, having done so for decades."

 

The distinctive processing of the brew is said to impart it a distinctive flavour - the filtration process is conducted at -12°C, after which the vodka is double-filtered over charcoal, making the product extremely smooth and exceptionally pure. which along with from premium-processed ingredients finally results in its soft, mild aroma-impression that the brand seeks to convey.

 

The vodka comes in a clear glass of its bottle, which the company says conveys the idea of Arctic purity. The bottle design signifies the swirling minarets of Moscow. The brand mark of the dove and the distinct brand colours of arctic blue, white and silver represent the purity and pristine clarity that the brand stands for, Allied Blenders said in a company statement, adding "With its positioning of purity, Wodka Gorbatschow has always stood for excellence and nothing less than the highest standards of quality.”

 

 

 

05. Spiralling Prices, Liquidity Crunch Put Brakes On Passenger Car Sales

11 June, 2008

 

The picture is getting clearer now. Despite a cumulative 9% growth in May compared to the same month last year, the automobile industry is showing signs of slowing down. Passenger car sales growth dropped 14.26% in May against April’s 21% while the two-wheeler sales remained flat on a sequential basis.

 

Maruti Suzuki India and Hyundai Motors posted a healthy increase in May compared to last year while Ford India sales dipped 34% to 2,003 vehicles, Mahindra Renault sales went down 45% to 1,531 cars and Honda Siel Car India figures took an 18% knock. In the two-wheeler segment, Bajaj Auto’s overall sales slipped 0.72% to 1.31 lakh units while Kinetic Motors sales declined 6% to 3,588 units. The total two-wheeler sales stood at 6.47 lakh units in May. In 2006-08, the market size for two-wheelers has reduced from 6.69 lakh units (May 2006) to 6.05 lakh units (May 2007).

 

“The actual market for two-wheelers has remained stagnant. There has not been any virtual growth and the demand is actually going down. The next few months are crucial for the auto industry, two wheelers in particular,” said a Mumbai-based auto analyst.

 

Industry leaders say rising inflation and acute liquidity crunch for auto finance is likely to impact growth in the next few months, too. “Banks are averse to financing new vehicles. Most banks and financial institutions have reduced exposure and retail budgets. We are now working with several regional banks to increase availability of finance in the market,” said a senior executive of Maruti Suzuki India.

 

According to figures released by the Society of Indian Automobile Manufacturers (SIAM), sales of buses and commercial three-wheelers were also negative in May compared to the same month last fiscal.

 

They decelerated 5.42% to 4,721 buses and 10.62% to 19,224 three-wheelers, respectively.

 

 

 

Car, Two-Wheeler Sales Go Up In May

3 June, 2008

 

Sales of cars and two wheelers in India have gone up in May 2008. Maruti Suzuki has announced a growth of 16 percent in sales at 69,000 units. Hyundai Motor India has announced a growth of 51 percent at 40,261 units. Tata Motors has announced a growth of nine percent in sales of passenger cars at 19,234 units. General Motors India has announced a growth of seven percent at 5,789 units. Hero Honda has announced a growth of 9.5 percent in sales at 3.12 lakh motorcycles. Bajaj Auto has announced a growth of eight percent at 1.79 lakh units.

 

 

 

 

06. Maruti To Focus On Rural Areas To Rev Up Car Sales

10 June, 2008

 

Passenger car leader Maruti Suzuki India (MSI) is now moving into the hinterland to rev up its car sales across the country. After securing its foothold in urban and semi-urban markets, it has launched a pan-India campaign — Mera Sapna Meri Maruti — to tap the vast potential of the rural market.

 

The strategy is backed by the past year’s massive success. The company had generated 10% of its domestic sales (32,000 cars) from its 6-month pilot project for the rural market. MSI executive officer (sales and marketing) Mayank Pareek said: “The signs of economic development are becoming more visible in rural India. We have a strong brand value there and a vast chunk of prospective car buyers prefers Maruti products. With tremendous growth in rural infrastructure, the demand for cars is going up and we are trying to tap that potential.”

 

As inflationary pressures and rising interest costs have dampened demand in the urban pockets, Maruti aims to position itself as the first mover in villages. “As per our data, 63.5% of rural buyers buy cars in cash where as only 30% buy in cash in metros. Unlike the urban market, rural areas are more insulated from monetary fluctuations and have a more stable demand,” said a senior MSI executive.

 

To increase finance penetration for rural customers and offer flexible loans linked to the harvesting season, Maruti has roped in a large number of regional rural banks as its partners. It has also tied up with bigger finance companies like Magma Shrachi Finance, Shriram Finance, the State Bank of India and M&M Finance Services, who specialise in rural financing.

 

The company is offering additional cash discounts of Rs 5,000 on entry-level car Maruti 800, Rs 3,000 on Omni and Rs 2,000 on its other smaller cars for rural customers. Under its sales strategy, it has also developed a network of 1,500 rural dealers’ sales executives for marketing in villages and develop contacts with 2.1-lakh strong panchayat representatives, who have strong influence in rural areas.  

Other auto majors are also stepping on the gas. Hyundai Motor, for instance, has launched a promotional scheme ‘Ghar Ghar Ki Pehchaan’ for panchayat functionaries and government employees in villages whereas the largest two-wheeler maker, Hero Honda, plans to start a new marketing vertical for rural areas. Other players like M&M, Pune-based two wheeler maker Bajaj Auto and TVS Motor have also launched special marketing schemes for rural markets.

 

 

 

07. New Cars Pollute More Than Old Ones: Study

3 June, 2008

 

In a complete reversal of international trends, new cars in India are spewing more greenhouse gases than older models, pushing up emissions in Delhi alone by 72% in five years (2002-07), the Centre for Science and Environment said on Monday, releasing its analysis of emission data accessed from the Automotive Research Association of India.

 

Emissions from two-wheelers in the same period, in comparison, have gone up by 61%, the analysis said. For the consumer, this might be a pointer to deteriorating fuel efficiency of new cars as well - emissions of carbondioxide are closely linked to the fuel efficiency of vehicles.

 

The ARAI had clubbed data of vehicles of different periods that CSE accessed. The cars and two-wheelers had been classified into groups ranging from 1991-96, 1996-2000, post-2000 and post-2005.

 

The post-2000 petrol cars, with engine size more than 1,400cc, emit 143gm/km of CO². In comparison, post-2005 models of same engine size emit 173gm/km, CSE said. Extrapolating the emission statistics for fuel efficiency, the centre said the figures implied that fuel economy had dropped in these cars from 16km/litre to 13km/litre.

 

But Anumita Roychowdhury, of CSE's Right to Clean Air Campaign, said, "This data is extrapolation... The ministry of surface transport has refused to share actual data."

 

Auto manufacturers share fuel economy data for car models at the time of certification of new vehicles with the government. "But the ministry withheld this information under the Right to Information Act, calling it of commercial importance and third-party information. This data is routinely published in other countries to help consumers select fuel-efficient vehicles and help governments set up fuel-economy standards," she added.

 

"At a time when we are talking of an oil crisis, it is callous for the government and industry to not even share data on fuel efficiency with the public," said Roychowdhury.

 

 

 

08. CarSalesIndia.com and MyTVS, a Unit of TVS Group, Launches a Search Engine for Used Cars

12 June, 2008

 

MyTVS a part of the renowned TVS Group providing Quality Used Cars and CarSalesIndia.com have entered into an agreement to list all MyTVS Used cars online. Now a car buyer doesn’t have to visit numerous dealer places to find the right quality used car.

Speaking on this occasion, Chairman of CarSalesIndia.com Mr Samuel Jeyakumar said, "We are happy that MyTVS cars are onboard in CarSalesIndia.com. We are committed to provide quality cars to our buyers and at the same time bring valued car buyers to MyTVS"

CarSalesIndia.com is one of India’s leading car portal empowering its users to make the best choice by providing industries best tools to compare, research and buy cars. More than 2 Lakh car search hits were recorded in May, 2008 in CarSalesIndia.com, and with over 400 cars from over 28 branches of MyTVS listed online; there is no better place for a used car buyer to go now.

 

MyTVS provides other value added services such as All Car Service, 24x7 Emergency Roadside Assistance and more. After buying a used car there is no turning back, details on a car such as accident history, Parts originality and owner history is always a matter of worry for the used car buyer. With MyTVS quality used cars; a customer can have peace of mind, and trust the TVS brand and quality of service while buying a used car.

Visit http://www.carsalesindia.com to view all MyTVS cars.

 

 

 

09. Hyundai Launches Optional Extended Warranty Scheme For Its Customers News

26 May, 2008

 

India's largest passenger car exporter, Hyundai Motor India, has launched two extended warranty schemes for its privileged customers, the first of its kind in the country. The Power Train and Comprehensive Extended warranty schemes, valid for a period of five years will be available for customers of the Hyundai i10, Santro, Getz Prime (petrol), Accent and the Verna versions.

 

The Korean car maker says that the schemes will ensure Hyundai cars owners to avail maximum warranty for their cars with minimal cost implications. The Comprehensive Extended Warranty scheme is a complete protection scheme for the car, covering mechanical, electrica, and other parts including the engine and transmission, for a period off five years or 100,000km whichever is earlier.

 

The Power Train warranty, is ideal for customers who do not want a full comprehensive warranty covering the entire car. The scheme will cover the engine and transmission parts at a minimal cost for a period of five years or 100,000km which ever occurs earlier.

 

Hyundai Motor India, seniro GM, customer care service, HMIL, B Mani said ''It has always been our endeavor to provide innovative products and service to our customers which suit their needs and lifestyle. And this Extended Warranty Scheme will only add to the levels of customer satisfaction for our customers and emphasizes our commitment to our values and products.''

 

Hyundai Motor India Limited (HMIL), a wholly owned subsidiary of Hyundai Motor Company, South Korea, is the second largest car manufacturer in India. Currently, HMIL markets 30 variants of passenger cars across segments, including the Santro in the B segment, the Getz Prime and the i10 in the B+ segment, the Accent and the Verna in the C segment, the Sonata Embera in the E segment and the Tucson in the SUV segment.

 

Hyundai Motor India registered total sales of 327,160 vehicles in 2007, an increase of 9.2 per cent compared to the previous year. In the domestic market it accounted for an increase of 7.6 per cent with 200,412 units, as compared to 2006 while overseas sales grew by 11.8 per cent, with exports of 126,748 units.  

 

 

10. Hyundai Introduces CNG Variant Of 'Accent'

9 June, 2008

 

Country's second largest carmaker Hyundai Motor India on Monday introduced CNG variant of its mid-size sedan 'Accent', which will be costlier by Rs 56,500 than the existing version.

 

The new Accent would be available in dual fuel mode - petrol and CNG, the company said in a statement. The current petrol version is available for Rs 4.99 lakh (ex-showroom).

 

"The dual fuel Accent will use Compressed Natural Gas (CNG) as an alternate fuel. The Accent comes with a 1.5 litre petrol engine which without any modification is compatible with CNG," it added.

 

HMI has tied up with the leading Korean CNG kit supplier CEV, who would provide all the components of the fitment.

 

"The kit is not only safe but with an advanced Lambda control system ensures that it meets the Euro III emission norms," it said.

 

Last year HMIL had introduced a CNG variant for its flagship model - Santro. It is currently planning to launch the LPG variants across all categories, which would be started with Santro in August.

 

Initially, CNG Accent would be launched in Delhi and the NCR in collaboration with CEV India.

 

"The Accent has been one of our best selling models ever since its launch. Offering it with a CNG kit will only add to its appeal as it will not only be cheaper to run but also eco- friendly," HMIL Managing Director H S Lheem said.

 

 

 

11. Maruti Suzuki Launches Dual-Fuel Maruti 800 Duo News

7 June, 2008

 

Car market leader Maruti Suzuki India Limited has introduced the Maruti 800 Duo, a new variant that runs on petrol as well as Liquefied Petroleum Gas (LPG), priced at Rs205,682 for Maruti 800 Standard LPG and Rs226,177 for Maruti 800 AC LPG (ex showroom New Delhi).

 

Rs 205,682 for Maruti 800 Standard LPG and Rs226,177 for Maruti 800 AC LPG," said Mayank Pareek, executive officer, marketing and sales, Maruti Suzuki. "We are happy to launch the Maruti 800 Duo on the World Environment day as it uses LPG, an environment friendly cleaner fuel. Besides, the car is economical to drive and being factory fitted, it is completely safe."

"The success of Maruti Suzuki's dual fuel models like the WagonR and the Omni Cargo is a clear reflection of the customer preference towards products that are safe and light on pocket and at the same time environment friendly. We are sure that the Maruti 800 Duo will find favour with the customers for the greater value for money to her," he added.

 

Coinciding with this launch, the company announced that it has sold almost 125,000 cars that are powered by LPG and CNG fuels - besides the Maruti 800, the company offers Omni and WagonR in dual fuel options (LPG-cum-petrol).

 

Maruti Suzuki says it pioneered the alternate fuel vhicle concept in the country by introducing factory-fitted models starting in 2001 and is the only Indain car maker to offer alternate fuel vehicles across entry level, compact and commercial segments.

 

The Maruti 800 Duo works on Gas Mixer System based on Integrated Gas Technology which results in optimum performance and superior emissions. The Maruti 800 Duo delivers a power of 35ps@5000 rpm and torque of 56Nm@2500 rpm. The LPG variant emits 10 per cent lower CO2 than the petrol variant, hence is environment friendly. The companu says the learning's from previous products like Omni LPG (2004) & Wagon R Duo (2006) have been integrated into the Maruti 800 Duo to ensure that optimum power and torque levels are maintained at the same levels as the petrol variant.

 

Maruti 800 Duo is manufactured at the company's Gurgaon plant. The components of the Maruti 800 Duo are fitted on-line along side the petrol variant of the car and the Duo is available with full warranty benefits, which are available on other car models.
The LPG kit in the Maruti 800 Duo is approved by department of explosives, tested and certified by Automotive Research Association of India.

 

 

 

12. India Q1 2008 (JFM ’08) Client PC shipments at 2.1 mn (1.9 mn in Q1 2007) up 10.1% YoY

8 June, 2008

 

Nearly 1,000 Personal Computers (PCs) were shipped every hour during January-March 2008, according to an IDC survey. In the first quarter of 2008, computer shipments stood at more than 2.1 million against 1.9 million PCs in the corresponding period last year, the survey said. 

 

This took the total shipments during 2007-08 (April-March) beyond the 8.25 million mark, recording a year on year growth of 22.3 per cent. Shipments in 2006-07 were 6.75 million.

 

The IDC study on the domestic PC market across India found shipments of commercial PCs at 5.55 million much higher than 2.71 consumer PC shipments during the year. Of the 2.03 million notebooks shipped during the year nearly two-thirds (1.34 million) were commercial notebooks.

 

IDC also completed an in-depth study that found that individuals were among the biggest buyers of “whitebox” PCs (PCs assembled by small independent shops rather than the larger brands available across the country). However, on the commercial side, buyers increasingly chose major brands –local and multinational. Flexible configurations were a key selling point for consumers. 

 

The “whitebox” study, conducted among consumer and commercial PC buyers, was supplemented by channels and components research. The study mapped PC trends in cities across the country. The primary objectives of the study were to gain insights into factors affecting buying decision, life cycles, price sensitivity, distribution channels and different end-user segments. This report also offers PC vendors with strategies and recommendations to grow the market in India.

 

With added insight into this segment of the Indian PC market, IDC has increased its market size by adding “whitebox” desktops. Vendor market shares have been reduced as a result of the market size increase, but individual vendor shipments, growth rates, and rankings are unaffected.

 

Based on IDC’s survey across the Asia Pacific region Mr. Bryan Ma, Director of Personal Systems Research at IDC Asia/Pacific, said, “What comes to light is that a larger market provides increased opportunity for growth, including the consumer and SMB sectors. Vendors who are able to cater to the specific needs of these users could stand to gain.”

 

Table 1. India PC Shipments (’000s) by Form Factor, 1Q 2008 vs. 1Q 2007  

 

 

Notes for Editors: Commercial PCs: All desktop and notebook PC units shipped to the business, government, or education markets, regardless of vendor hardware definition.

Consumer PCs: All desktop and notebook PC units shipped to the home market, regardless of vendor hardware definition. All desktop or notebook PC units not shipped to the home market are excluded from this segment.

 

 

 

13. Asus Launches U6S Notebook In Indian market

28 May, 2008

 

Asus has launched U6S notebook in the Indian market.
The 12-inch widescreen U6S is based on Intel Centrino Duo processor technology, Windows Vista operating system and a host of Asus features.

 

Stanley Wu, product manager, Notebooks, Asus India said: "The U6S is one of our premium notebooks. Observing the increasing fashion consciousness amongst the Indian people, we're sure that a product offering such as the Asus U6S will be a breath of fresh air amongst the notebooks currently available in the Indian market."

 

The U6S has a LED backlight panel. It lowers power consumption and offers better luminance for a pleasant viewing experience.

 

A built-in webcam allows instant communication without the hassle of external connections. 

 

For handsfree access, the Asus SmartLogon software recognizes its owner and grants access to the computer after a positive facial scan.

 

The U6S is incorporated with 3.5G high-speed downlink packet access (HSDPA) wireless broadband capability, allowing users to connect to the Internet across cellular networks without the need to connect the computer to a mobile phone.

 

The U6S features fingerprint authentication allows for security of data with the convenience of a finger swipe.

 

The Trusted Platform Module (TPM) encrypts data, password retention and system log on for added data protection measures.

 

In addition, Asus CopyProtect prevents unauthorized reproduction of data in the notebook, ensuring information exclusivity.

 

 

 

14. BenQ Launches New Range Of Laptops In India News

27 May, 2008

 

Taiwanese company, BenQ, has enterd the laptop business in India with the launch of a new range of laptops for the domestic market. The new sleek and designer BenQ Joybooks will be introduced in three different models - BenQ S32W, BenQ R43 and BenQ Q41.

 

BenQ Joybooks are characterised by a variety of design concepts that contribute to their striking and elegant looks. The S32W model is aimed at the corporate women, which features a silver strip with a diamond-cut logo on the outside to match the artistic POP art pattern, 3D image embedded in the svelte aluminum body and a ripple textured touchpad.. All these design elements fabricate an elegant appearance for the S32W Joybook model.

 

The BenQ Q41 Joybook is for the more savvy and technical people who seek newer and unique features in their gadgets. An interesting feature of the Q41 Joybook is the auxiliary 2.5-inch screen on the outer panel that allows users to view photos, play games and listen to music even when the Joybook's lid is closed.

 

The BenQ R43 Joybook comes with a polished deep black lid and a band with an inscribed laminar film that depicts and shines with the city skyline to give the Joybook a shimmering appearance, making it perfect for those who want to add to their glam quotient.

 

BenQ's patented UltraVivid technology increases the brightness of the screen by using the DBEFTM (Display Brilliance Enhancement Film) technology and results in providing vibrant and sharp quality pictures even in variable lighting conditions.

 

The Joybooks are powered by Intel Core2 Duo Processor and Windows Vista Premium, making them an ideal solution for multi-tasking applications and facilitating smooth functioning of the system. In addition, wireless connectivity, built-in Bluetooth, speakers, microphones and one touch back-up process for data security make the Joybooks the most technologically advanced in the category.

 

The Joybooks are expected to be priced from Rs30,000 onwards.

BenQ India Private Limited, is part of the BenQ Corporation, with business interests in three main areas such as computing products, digital media and mobile business. BenQ Corporation, founded in 1984, is one of the leading producers of digital displays, mobile phones, scanners and keyboards globally, and is a technology leader in digital projectors, storage devices, wireless technologies, and electronic components.

 

 

 

15. IPL adds zing to TV sales during April-May

4 June, 2008

 

After witnessing a near 4% dip in sales in the first quarter (January-March) of 2008, TV sales have yet again gained momentum during April-May.

 

The industry saw TV sales growing by 35% during the period, courtesy the unbridled cricket mania.

 

The surge in demand comes at a time when TV sales normally remain flat. What's more, manufacturers have seen robust demand from not just the metros but also rural markets. The industry feels the IPL-led TV sales will form a large chunk to meet the industry’s sales target of 12.5 million this year.

 

Samsung India Electronics deputy MD R Zutshi told ET: "The eyeballs which IPL generated led to incremental growth in TV sales. Our TV sales shot up by 40% during May. And we leveraged IPL by announcing a promotional offer during this period which should sustain sales growth till June."

 

Latest ORG figures reveal that overall TV sales in April grew by 34.7%.

 

 

 

16. LG Launches Its 60 Inch Plasma Television In India

23 May, 2008

 

Consolidating its position as a company pioneering in innovation and laying extreme emphasis on technology and customer care, LG Electronics India Private Limited (LGEIL), the leading consumer durable player in the country put on display for its prospective buyers its state-of-the-art, larger than life sized Plasma TV-60 inch in Hotel Park Plaza, Ludhiana for coming two weeks. Deepak Jasrotia, Regional Manager, LGEIL, H.S.Gogia, Branch Manager, Ludhiana, LGEIL, and Varun Goel from Navrang Electronics World, Ludhiana were present at the launch ceremony here in Ludhiana.

 

LG has been rapidly innovating its products for the digital consumer market in recent years, a period marked by repeated technological breakthroughs launching and innovative hi-tech digital products. With the sophisticated luxurious lifestyles back at home, 60 inch Flat Panel Display is a luxurious item for buyers who wish to enjoy in peaceful ambiance away from the cacophonic surroundings.
The plasma hosts special features of 1000cd/m2 brightness, 178 degree wide viewing angle, 3000:1 dynamic contrast ratio 0.001 ms response time, it can keep up with the fastest moving action movies and sporting events. LG Plasma TV comes with the inbuilt technology which reduces the power consumption compared to other competitors when displaying the same picture. When it comes to the sound system part of this state of the art product, it will definitely be liked by the buyers with refined taste as this plasma encompasses SRS Trusurround X.T. system and includes 10W +10W sound output and 2HDMI with HDMI-CEC Simplink.

 

Talking on the new launch and market growth Deepak Jasrotia, Regional Manager, Punjab, LGEIL, said: "LG has always been proud to bring the full spectrum of digital technology to the growing demand for its loyal customers. The innovation marks the latest technology breakthrough brought by LG and further underlines the brand commitment to offer consumers the ultimate experience."

 

Speaking on the occasion H.S.Gogia, Branch Manager, Ludhiana, LGEIL said, "It is our constant endeavor to provide the best in Flat Panel display to all our customers and exclusive display of the 60 inch Plasma in Hotel Park Plaza for the customers is an interactive step to get connected with people more closely."

 

 

 

17. ABN Amro, PayMate Tie Up For Mobile Payments

22 May, 2008

 

ABN AMRO Bank has tied up with mobile-payments provider PayMate to provide its customers with mobile payments and ticketing services.

 

Existing customers of the bank’s mobile-banking service can sign up for the service, while new customers will automatically be registered for the service when they opt for mobile-banking services.

 

The service will allow users to make utility bill-payments as well as airline and movie-ticketing through their mobile phones. PayMate had also recently tied up with LIC and Corporation Bank to enable their customers to pay insurance premia via the mobile phone. 

 

The company is also in talks with SBI to play a part in their mobile-banking offering, said Ajay Adiseshann, managing director and founder, PayMate.

 

 

 

18. ICICI To Make A Late Entry Into Pvt Banking

29 May, 2008

 

ICICI Bank is extending its retail focus to the higher end of the market. The country’s second-largest bank is making a move into the private-banking space. The bank is, however, a latecomer in this segment. It will have to face competition from a host of foreign banks like BNP Paribas, ABN Amro, Deustche Bank, Citi, HSBC, Merrill Lynch, who have been in the segment for the past few years.

 

The increasing allure for private banking in India is the growing class of millionaires (those with liquid assets of over Rs 4.3 crore) in the country, which is estimated to be at over 1 lakh. Also, as ICICI Bank officials say, only around 20% of the market is with the bigger players.

 

Private banking is more people and process-driven than capital intensive. The term refers to the personalised service provided to elite customers as against mass retail banking. ICICI Bank seems to be focussing more on the middle and the upper ends of the markets in recent times. It recently doubled the minimum average balance for its savings accounts to Rs 10,000 from Rs 5,000 earlier.

 

Like most other players in India, ICICI Bank has set $1 million as an entry threshold for private banking. The bank has 250 relationship managers globally and plans to add another 100. “We already have 2,500 customers and are looking to add 1,000 more in the next one year. We will be launching this product in all the countries where we have a presence. Globally, this is a $30-trillion opportunity and is growing at a fast pace,” says V Vaidyanathan, ED, ICICI Bank.

 

In addition to competition from existing foreign banks, the bank will face a challenge from new entrants. The world’s largest private banker, Swiss bank UBS, has got a banking license and is expected to enter the market soon. Others like Morgan Stanley have recently launched private banking in the country. There are also a host of Indian players in wealth management, where ICICI Bank has also been present for the past few years. ICICI Bank officials claim that they already have $26 billion of assets under management, of which $19 billion is in India.

 

 

 

 19. Banks Lounges To Attract Youth

 3 June 2008

 

A banking transaction basically needs only an ATM machine. But now banks seem to be in a mood to pamper their patrons with banking lounges that feature LCD TVs, libraries, WiFi internet access and coffee bars. Mainly aimed at young, trendy and tech savvy students, professionals and entrepreneurs, several banks across the country are setting up such next-gen 24/7 banking outlets of 300 to 500 sq ft. Bank of Baroda, has already opened its new-era branches christened Ur Zone in Bangalore and Pune. The new facility is a fusion of hitech and high-touch banking self-service facility.

 

"We have already opened next-gen branches in two cities. By the end of this year we plan to open more such outlets in all metros," says M D Mallya, CMD, Bank of Baroda. These lounge branches offer exclusive products and hassle-free services like single-loan application, built-in overdraft facility and products of liquidity and high returns. "After the opening of our Bangalore branch, we see an increase in the number of new accounts especially among youngsters," he says.

 

State Bank of India under its business process re-engineering programme has refurbished several of its branches that are of 3,000 sq.ft to 5,000 sq.ft. "We are creating 24/7, dedicated, 300 sq.ft lounges with access to ATM, internet banking, phone banking and other kind of hi-tech transactions in a couple of months. All branches in Bangalore will have this facility, apart from other metros and later in tier II cities," says a spokesperson from SBI.

 

Vijaya Bank and Canara Bank too are planning to venture into similar initiatives. "If market demands we will look at specialized branches exclusively to attract young crowd. But before that we need to do a lot of homework, to open state-of-the art smart branches," informs Prakash P Mallya, CMD of Vijaya Bank. Canara Bank is thinking of branches with self-assist centres in the lobby where customers can do their banking on their own.

 

Each of these branches will also have a couple of smart, well-groomed professionals who would guide customers with their queries.

 

 

 

20. Stanchart Launches Manhattan Platinum Card

5 June, 2008

 

Global lender Standard Chartered today launched Manhattan Platinum Card to offer both cash back and rewards as a standard feature on the same card to its customers.

 

The card would offer 5 per cent cash back on all departmental stores and supermarkets and five reward points per Rs 100 for all other spends, the bank said in a press release issued here today. 

"There is no other product available that offers flat rewards as high as 5 per cent as a standard feature. The customer will see the rewards as cash-back or reward points in the statement after each transaction," Stanchart's General Manager, Credit cards & Personal loans, R L Prasad said in a statement.

 

The card would carry an annual fee of Rs 2,000 and is being offered free for the first year as an introductory offer, company said.

 

The card would be initially launched in the metros and in Bangalore, it said.

 

Stanchart has 90 branches in 33 cities and a combined customer base of 21 lakh in the retail banking.

 

 

 

21. IDBI Launches Value-Added Service For Its RTGS Clients

2 June, 2008

 

IDBI Bank on Monday announced the launch of a value-added service to its real time gross settlement clients.

 

Now the bank can also give the name of the remitter along with the unique transaction reference (UTR) number in the account statement of customers for all inward RTGS transactions, a press release issued here stated.

 

This would enable customers to know the remitter details of the inward RTGS entries and facilitate better daily fund management, the release said. 

 

 

 

22. Credit Suisse Launches Wealth Management Biz

25 May, 2008

 

A growing number of wealthy individuals in India has attracted yet another foreign bank to cash in on this fast growing segment. Credit Suisse, the Zurich-headquartered bank, recently launched its wealth management operations in India. It will provide a comprehensive range of investment products and services to high net worth individuals (HNIs) and aims to become one of the top three wealth management players in the country within the next three years.

 

The number of households with bankable assets exceeding $1 million is expected to rise from 120,000 in 2007 to 300,000 in 2012. The number of wealthy individuals in the country is growing at an annual rate of 30 per cent. Credit Suisse also received a PMS (portfolio management services) licence from the Securities and Exchange Board of India (Sebi) in January this year.

 

It will provide a range of local and international investment products, including advice on capital raising, listings and succession planning, to HNIs, family-owned businesses and entrepreneurs.

 

The bank recently launched its brokerage operation and obtained a merchant banker licence in India. It plans to open offices in New Delhi and Bangalore in three years. It has a dedicated team in Dubai, London, Singapore and Zurich, which caters to the needs of non-resident Indian (NRI) clients.

 

Mihir Doshi, country head, Credit Suisse, said, “We are highly committed to the Indian market and have been building knowledge and understanding of the region for over ten years. The establishment of a local wealth management business complements our existing investment banking and securities operations and will allow us to deliver the integrated bank to our clients in India.”

 

 

 

23. ICICI Pru AMC Announces Systematic Investment Plan

23 May, 2008

 

ICICI Prudential Asset Management Co, today launched the country's first systematic investment plan with a 'top up', a feature which allows investors to increase their periodic investments.

 

Investors can increase their periodic investments through an automated route in multiples of Rs 500 on a pre-determined and regular basis.

 

This enables investors grow their wealth as their investment potential (with increase in income/salary) increases, a release issued here stated.

 

The company's Head-Retail (Sales and Distribution) Vikram Kaushal said: "ICICI Prudential AMC always provides investors efficient investment solutions. The SIP with 'top up' facility is another step in this direction, which will help investors grow their wealth in tandem with their income growth." It offers a flexibility to 'top up' investment at pre- determined intervals of six-months or 12-months and aids in faster wealth creation through increased market participation.

 

It also provides execution ease in the investment process and reduces the efforts required by investors, the release said.

 

 

 

24. Pepsico Completes National Initiative To Re-Position Kurkure

4 June, 2008

 

Packaged food firm PepsiCo India Holdings today launched in the south a commercial for its salty snack Kurkure, marking the completion of a nationwide marketing initiative.

 

The company is undertaking the initiative to re-position the brand to signify its connect with the young and confident Indian consumers who are no longer striving to be perfect in every way, but are comfortable about their imperfections. Hence the new commercials use the punchline Tedha hai par mera hai.

 

The commercial in the south features actress Simran. It will be aired on all major television channels.

 

"Consumers across the country have loved the new platform which is based on the reality that young confident Indian consumers are today as comfortable about their imperfections as they are of their attributes," Pepsico India Managing Director Deepika Warrier said in a statement.

 

 

 

25. Pepsi, Coca-Cola Unveil New Packaging For Retail Formats

27 May, 2008

 

PepsiCo and Coca-Cola are introducing new types of packaging across India to attract consumers at local retail outlets. PepsiCo has launched its latest brand Tropicana Twister in returnable glass bottles. The product is priced at Rs12 for 250 ml bottle. Coca-Cola has introduced small size packs called Pocket Maaza priced at Rs12 per pack.

 

 

 

26. Duncans Tea Ties Up With Railways

25 May, 2008

 

Duncans Tea Limited (DTL) has entered into a host of innovative marketing and distribution tie-ups with the Indian Railway Catering and Tourism Corporation (IRCTC), Bharat Petroleum Corporation, and Hindustan Petroleum Corporation to reach out to more consumers across the country with their brand of tea products.

 

According to a company release, Duncans Tea has entered into a distribution tie-up with IRCTC to serve Double Diamond tea bags to all passengers travelling on select routes.

 

Supplies to army

 

This tie-up will help the company tap the huge market potential provided by the Indian Railways.

 

DTL has also adopted unconventional marketing strategies with their exclusive tie-ups with Bharat Petroleum Corporation (BPCL) and Hindustan Petroleum Corporation (HPCL). DTL tea packets will now be available with the LPG suppliers when they go to deliver the LPG cylinders at every doorstep. In its endeavour to explore other distribution channels, Duncans Tea has also entered into a tie-up with CSD canteens of the Indian Army to cater to the armed forces even at remote locations.

 

It has also launched the tea brand ‘Sargam’ in the Army CSD Canteens at a lower price with the purpose of catering quality tea to the custodians of the nation. DTL has also tied up with Central Police Canteen, which is a new set-up to cater to other branches of the armed forces.

 

Speaking about the new tie-ups, M. C. Appaiah, COO, Duncans Tea, said the company was proud to be associated with these leading organisations and is actively exploring several alternative and innovative channels of distributions.

 

These distribution tie-ups will help us reach out to all sections, he added.

 

Tea packets will be available with the LPG suppliers

 

Alliance will help Duncans tap market potential

 

 

 

27. Functional Teas, A Key Strategy For Brooke Bond

22 May, 2008

 

With tea as a category growing at 4 per cent, Hindustan Unilever Ltd (HUL) has been taking the ‘functionality’ route for marketing its Brooke Bond franchise.

 

Mr George Koshy, Marketing Manager, HUL, said, “Having functional teas is one of the legs of our strategy.” So its 3 Roses brand, with ayurvedic ingredients, is positioned on the ‘mind sharp’ category, as is its Red Label brand, with its ‘Natural Care’ offering, while the Taaza brand harps on its ‘Thanda’ concept with its cooling herbs.

 

“Consumers feel there is a need for functional teas. Since 2005, we have had ayurvedic ingredients in our teas and this has formed one of our strategies for this category,” said Mr Koshy. On the occasion of completing 130 years and having 100 crore consumers, Brooke Bond has announced a special promotion to reward its loyal consumers by giving away 60 cups of 22 karat gold with assured prizes of Rs 15 crore.

 

Meanwhile, HUL has been trying to control its tea prices in times of inflation. “There is also inflation in the tea category and three months ago, we did raise prices between 3-4 per cent for the Brooke Bond franchise,” Mr Koshy said.

 

 

 

28. Good Day Premium To Fend Off Rivals

6 June, 2008

 

Britannia, a manufacturer of biscuits, has launched premium variants of its Good Day cookies brand. Britannia has launched three new flavours under the Good Day label, butterscotch, rum & raisin and chocolate ecstasy. The new flavours have been priced at Rs15 per pack of 75 grams, an increase of 30 percent over the existing Good Day biscuits. Good Day has a 60 percent share of the packaged cookie segment. The organised biscuit segment in India is estimated at Rs7,500 crore and growing at 18 percent annually, with cookies accounting for 16 percent of overall biscuit consumption.  

 

 

29. Trendy Treats

5 June, 2008

 

Parle has launched 20-20 cookies in two variants, Butter and Cashew Butter. Targeted at young adults, the biscuits are described as being tastier and crunchier. The products are available in 75 gm, 110 gm and 225 gm packs. They are available at all major stores.

 

 

 

30. Barista's 'Thirst Busters'

24 May, 2008

 

To beat the scorching heat, this summer Barista presents Thirst Busters which are a range of refreshing beverages to quench thirst. The range includes super-sized and indulgent cold coffees, natural fruity concoctions, which are low on fat, healthy yogurt smoothies, freshly brewed iced teas and international sandwiches. Super sized variants of all coffees include iced Caffe Mocha Grande, Brrrista Frappe Grande are the ultimate thirst busters. Indulgent coffees in rich flavours like Irish and Hazelnut. Barista has launched a new range of 100% pro biotic yogurt smoothies, icy chillers in mango and tropical flavours. The range also includes freezes, refreshing mojitos, sparkles and ice cream sundaes made of natural flavours. To complement this extensive line of beverages, Barista has launched a new range of delicious sandwiches.

 

 

 

31. Parle Monaco: The lighter side of life

23 May, 2008

 

While Aamir Khan’s blog on feeding his dog ‘Shahrukh Khan’ biscuits has made news, he has also made news by being appointed the brand ambassador for Parle Monaco. The brand associated with words like crisp, light, crunchy and salty has launched a new campaign featuring the thinking actor.

 

The campaign consists of two TV commercials. The first, titled Scratch, has a grim coach who asks sportsmen Aamir and his friends to take two more rounds of a ground. Aamir points out that the coach had recently bought a new car. To his team members warning about the coach's lack of humour, Aamir simply replies, “Toh aaj hasega”. Later, the coach is shocked to see a huge scratch on the car, which says, ‘I love u’. Aamir ostentatiously sympathises with the coach. As the coach is seething with rage, Aamir pulls out the ‘I love you’ sticker, and they all have a hearty laugh as the coach appreciates the joke. The film ends with the product shot and Aamir's voiceover, saying “Parle Monaco. Life namkeen banaiiye ”

 

The second commercial, titled Rally, shows Aamir and his friends rushing to catch a movie. As they are about to cross the road, they encounter a long election rally. Aamir’s friend is anxious about missing part of the film. Aamir reassures him. Next, the four friends act as if they are carrying a huge sheet of glass.. The people make way for them and they reach the other side. Aamir instructs his friend to turn over the glass sheet. They suddenly fling the imaginary sheet of glass towards the crowd, which, in turn, recoils in horror. Aamir and his friends have a good laugh. He waves to the crowd as they go into the theatre.

 

The campaign has been conceptualised by Everest Brand Solutions. The creative team includes creative directors Vipin Dhyani and Chetan Jagtap, and business director John Khalkho from client servicing. The films have been directed by Pushpendra Singh and produced by Flying Saucer Films.

 

About the core theme, Shalin Desai, senior product manager, Parle Products says, “When one says ‘zindagi mein namak nahi hai’ he means life is not interesting, so logically this idea of ‘life mein namak’ has always fit and worked for the Parle Monaco brand.” He adds that the idea was to have participative humour, where both parties involved laugh in the end.

 

Aamir Khan came on as brand ambassador early this year, and this is his first campaign for Parle Monaco. Commenting on the decision of taking on Khan, Desai says that their research showed that people felt he is a versatile actor. “Also, he is very selective and is not all over the place, which works in our favour.”

 

Khan has not been portrayed as a celeb in the ads, but a regular guy with smart, interesting ideas. He plays a safe, intellectual character.

 

Monaco had always communicated its being light crispy attribute in its ads, and its baseline was ‘crisp light Monaco for lighter moments’. In 2003-04, the positioning of Monaco was changed from physical to metaphorical. The baseline changed to ‘tension kyon leneka, Monaco khaneka’. In the year 2005, the brand was put on a different platform, where it spoke about making life interesting by finding humour in the most mundane activities. Thus the line ‘Life namkeen banaiye’ was coined, and was well received.

 

Vipin Dhyani, creative director, Everest Brand Solutions, says, “Monaco endorses the philosophy that you can make life interesting and turn around cynical moments.”

 

He adds that the brief from Parle for this particular campaign stated clearly that it had to be harmless pranks. An earlier ad had a ticket checker ask a guy for a ticket. He runs around, and finally when the TC catches him, he shows his ticket. Some felt that this was troubling the TC for no reason. Thus, this time the humour is subtle, and never at the cost of the others. 

 

Dhyani adds that while Scratch is targeted at teenagers, Rally is targeted at mature adults. A third film will follow soon, targeting housewives. Thus, Aamir will be talking to all segments.

 

For the record, Parle Monaco enjoys a market leader position in the salted biscuit category which makes up for 4 per cent share of the overall organised biscuit market that produces 10-11 lakh tones annually and is pegged at Rs 8,000 crore.

 

 

 

32. Peninsula In Pact With Arrow Webtex For Hospitality Biz

20 May, 2008

 

Real estate developer Peninsula Land along with clothing label manufacturer Arrow Webtex will enter into the hospitality business by forming a special purpose vehicle with an initial equity infusion of about Rs 100 crore.

 

The special purpose vehicle (SPV) would be created, which would be held 50-50 by both the joint venture (JV) partners to build hotels. In the first phase, an equity infusion of about Rs 100 crore is envisaged by both JV partners in equal proportion, the company said in a filing to the Bombay Stock Exchange.

 

This is subject to necessary approvals including board approval from both the JV partners, the company added.

 

The JV intends to build 10 hotels of 100 rooms each. The company plans to enter into cities such as Mumbai, Pune, Nagpur, Nashik, Kolhapur, Ahmedabad, Surat, Jamnagar, Mundra port.

 

The hotels are expected to be operational in the next 30 months.

 

In the phase II, the company would penetrate in southern markets targeting Karnataka, Tamil Nadu, Andhra Pradesh and Kerala, it said.

 

Shares of the company closed at Rs 94.70, down 1.51 per cent on the BSE.

 

 

 

 

33. Raheja Developers Foraying Into Hospitality Sector

11 June, 2008

 

Raheja Developers Ltd is planning to enter into hospitality sector with five hotels in the next two years. The company is converting its existing commercial project near Manesar into a hotel with 134 rooms. Raheja intends to set up five-star, business and budget hotels in and around the National Capital Region. The company is looking for a strategic partner to set up an engineering special economic zone in Gurgaon.

 

 

 

34. L&T To Build Holiday Inn Estancia Hotel

22 May, 2008

 

L&T Arun Excello Commercial projects plans to set up the Holiday Estancia hotel in Chennai at an investment of Rs150 crore. The 200-room, 75-suite hotel will be open in 2011. The hotel will part of the Estancia Integrated Township being developed by L&T and Arun Excello Urban Infrastructure. The hotel will be managed by InterContinental Hotels Group.

 

 

 

 

35. Lotus Opens Aronda

7 June, 2008

 

Lotus Resorts, a new chain of waterfront resorts from Kamat Hotels India Limited (KHIL), recently announced the opening of a new property at Aronda, near Goa. The rooms, with a breath-taking view from their glass windows, are spacious and equipped with all modern amenities like mini-bar, coffee/tea maker, telephone and cable connection.

 

Located on the backwaters of Satarda river on Kiranpani Aronda a famous port in olden times which used to transport goods to Sawantwadi..high in the jungle above the tranquil Tiracol River in north Goa, Lotus backwater Resort - Aronda is set amidst a verdant labyrinth of green mangroves and dense coconut groves. It offers a luxurious stay in natural surroundings, offering guests an opportunity to relax totally. The same values are epitomized in Lotus Resorts concise motto - 'Chill.Still.Tranquil'.

 

Lotus Backwater Resorts, Aronda is set on an island where clear blue skies and pristine water are the only companions. The ambience and backdrop of the surroundings are charming in their simplicity. The resort provides guests solitude and comfort, which melts into one luxurious experience.

 

An excellent example of a contemporary tropical house, the Lotus Resort at Aronda incorporates European and Goan style elements to create an ambience that is awe-inspiring, yet welcoming. The comfortable cottages are made of matured local wood & old Hubli teakwood to give guests a homely feel. The Heritage room with its unique open-to-the-sky bathroom adds an exotic touch.

 

For gastronomes, this is a dream come true. The Coconut Creek Coffee Shop serves the choicest coastal, Chinese, Indian and continental food. For connoisseurs of sea food, the coastal specialty section is a reason to rejoice. To host events or get-togethers, the captivating resort provides vast lawns that can accommodate 100-200 guests.

 

Kamat Hotels (India) Limited (KHIL) is today a large hospitality business group with interests in luxury hotels, budget hotels and restaurants, travel business, catering and educational institutions, departmental stores and of course, restaurants. With a turnover of over Rs 80 crores (2006) and approximately ten thousand shareholders, KHIL is listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). 

 

 

 

36. Emaar MGF Plans $1.4 bn Township

31 May, 2008

 

Emaar MGF plans to invest $1.4 billion (Rs 5,610 crore) in a leisure and residential township in Hyderabad. The project is a part of the Emaar MGF’s proposed $3 billion investment lined up to create 31 million square feet in ten locations in south India.

 

The Hyderabad leisure and residential township will have a golf course, luxury residences, large format retail facility, luxury and boutique hotels and an IT park. The project will be constructed by Multiplex Construction India, a joint venture company between Emaar MGF and Multiplex.

 

The project, which will be developed in partnership with Andhra Pradesh Industrial and Infrastructure Corporation (APIIC), is located in 531 acres near Hyderabad’s IT and financial corridor district near Gachibowli.

 

Harradine Golf, a north India-based golf course development company, will develop a golf course in 192 acres in the project. Emaar MGF is a JV between the Dubai-based real estate company Emaar Properties and MGF, another real estate company based out of India.

 

 

 

37. SSI Enters Into Development Pact With Unitech, Arihant

28 May, 2008

 

SSI has entered into a joint development agreement with the consortium of Unitech and Arihant Foundations & Housing, to develop an integrated township at its 70 acre property at Stephenson Road, Chennai.

 

The development would be mainly residential with supporting retail and commercial space. The project will completed within a period of seven years, with 4,000 units and total built-up area in excess of 7.6 million square feet.

 

The project is on a revenue sharing basis of 43:57 between SSI and the consortium. This development is expected to generate an estimated cash flow of Rs 2,000 crore for SSI during this period.

 

SSI is a growing urban infrastructure company with interests in realty, infrastructure and energy. SSI estimates its current land bank in excess of 2,000 acres in strategic locations across South India and is also developing sizable assets in the infrastructure and energy sectors in near future.

 

SSI shares ended down 2.89 per cent at Rs 136, Unitech ended at Rs 246.70, down 0.90 per cent. Arihant ended down 0.39 per cent at Rs 258.10 on BSE. 

 

 

 

38. Oberoi Constructions Enters Retail Space, Opens Mall In Mumbai

11 June, 2008

 

The Mumbai-based developer Oberoi Constructions today announced its foray into retail space development with the formal opening of the ‘Oberoi Mall,’ located at Goregaon East.

 

Mr Vikas Oberoi, Managing Director, Oberoi Constructions, said the mall was part of the 80-acre land holding held by Oberoi in Goregaon and the company intends to develop eight million sq ft in three years. Investments would be in the range of Rs 2,000 crore.

 

The Oberois would promote the concept of self-sufficiency at the location by housing shopping, office space, hospitality and schools on the premises. Five more such projects are being planned in places such as Hyderabad, Bangalore, Pune, Chennai and Kolkata, over the next five years. The cost of each would be around Rs 2,500 crore with revenue generation of about Rs 4,000 crore.

 

In January, 2007, Morgan Stanley Real Estate invested $152 million in Kingston Properties Pvt Ltd for a minority stake. Oberoi Constructions is a 100 per cent subsidiary of Kingston Properties. In 2004, Oberoi Constructions had entered into a joint venture with ICICI Venture. A second all-encompassing township such as Goregaon project in Mumbai was also in the offing, Mr Oberoi said. With a full glass façade, the Rs 210-crore mall comprises 5.5 lakh sq ft of shopping, dining and entertainment.

 

The anchors include PVR with a six-screen, 1,900 seating capacity multiplex, Lifestyle with the largest home centre outlet and Central, occupying around 60 per cent of the total space.

 

A large food court and a gaming zone at the third level constitute an additional 10-15 per cent of the retail space. The mall has two basement levels of parking with a capacity to park around 1000 cars. Over 80 per cent of the mall has been leased to international retailers. 

 

 

 

39. Retailers Adopt New Techniques To Improve Sales

7 June, 2008

 

Anonymous shoppers are becoming passe. As domestic retailers expand, they are adopting newer techniques to unravel the mysteries behind people’s buying patterns. As a result, investment on tracking consumer behaviour is at an all-time high for almost all the top-line chains, including Future Group, Reliance Retail, Landmark, Raymond, Shoppers Stop and Koutons Retail.

 

Big retailers are experimenting with a host of newer methods — IT solutions, RFID, factory visits for customers, monitoring surveillance system footage, point-of-sales system and appointing trained researchers for front line sales positions — to tap consumer behaviour. Such data is used to improve the store layout, merchandise range and service quality, all of which ultimately translate into improved sales.

 

“Mystery shoppers mainly generate information on service-related issues. But as retailers grow in scale, that alone is not enough. Hence, the need is now felt to initiate a direct touch with consumers through newer methods,” says Landmark COO Himanshu Chakrawarti. In Landmark’s case, such research has already paid off. Based on consumer feedback, the chain has introduced personal technology products like MP3 and MP4 players, which are doing very well.

 

Adds Raymond president (retail & FMCG) Aniruddha Deshmukh: “Besides mystery shopping, we use footage from surveillance cameras, which is a very useful indicator for observing customer behaviour. We also get useful feedback from our specialised premium circle programme. There’s also a point-of-sales system, which captures transactions and billing, and shows us the patterns of purchases by customers.”

 

The chains have undertaken a lot of innovations. “Shoppers Stop, for instance, does a preview of new collections to loyal customers to see their reactions. Similarly, Kirtilals, a jewellery player, flies down a group of customers to its factory units in Coimbatore for a day. Pantaloons does a lot of focus groups, as does Shoppers Stop. A direct interface with key customers elicits information and helps gauge their preferences,” Retailers Association of India CEO Gibson Vedamani told ET.

 

While global biggies like Wal-Mart, Carrefour and Tesco have adopted radio frequency identification (RFID), the likes of Future Group and Reliance Retail are in the early stages of RFID adoption. “RFID has high implementation cost. But several Indian retailers have tested such RFID solutions and this will now pick up,” said Dharmesh Lamba, country manager, Checkpoint Systems, an US-based retail technology solutions provider.

 

Till lately, there have been instances when senior management officials of retail stores used to frequent shop floor to get a first-hand view of consumer feedback. But with expansion now becoming the mantra across the sector, the chains are adopting newer solutions on the lines of their Western counterparts.

 

 

 

40. Big Retailers' Share In India To Quadruple: Report

26 May, 2008

 

The share of big retailers in India's retail industry is expected to quadruple to 16 percent by 2011/12 from 4 percent as they lure consumers through competitive pricing, a government think-tank said on Monday. 

 

"Low-income consumers save more than others through shopping at organized retail outlets. This is a result of targeted discount shopping," the Indian Council for Research on International Economic Relations (ICRIER) said in a report.

 

"It is also seen that farmers gain considerably from direct sales to organized retailers, with significant price and profit advantages as compared with selling either to intermediaries or to government regulated markets," it said.

 

India's retail industry is dominated by "mom-and-pop" stores, and modern retail faces political obstacles because of concerns million of jobs may be lost in the fragmented but fast-growing industry.

 

ICRIER said there was no evidence of a decline in employment because of big retail chains.

 

"The retail sector, left entirely in the unorganized and informal segment of the economy, could well emerge as a major bottleneck to raising productivity in both agriculture and industry," it said. Indian laws ban foreign multibrand retailers from entering its fast-growing grocery market. Germany's Metro AG and Shoprite Holdings have wholesale centres which operate on a "cash and carry" model.

 

Indian retail industry should grow by 13 percent annually to $590 billion by 2011/12 from the present $322 billion, ICRIER said in the study that surveyed family-run retailers, consumers, farmers, large and small manufacturers and intermediaries.

 

Sales of "mom-and-pop" shops are expected to grow by 10 percent every year to $496 billion in three years from $309 billion, it said.

 

 

 

41. Westside Plans Franchisee Model

10 June, 2008

 

Westside, a leading chain of lifestyle retail format of Tata group’s Trent Ltd, is planning to establish its presence in the city through the franchisee route. “We are trying to be part of the economic boom that is spreading to Tier-II and Tier-III towns through franchisee model while seeking to expand rapidly in the metros and Tier-I towns. While analysing our customer base in our 30 stores across 19 cities in the country, it was found that many were from Tier -II and Tier-III towns and were frequent buyers,” said Ms Neeti Chopra, Head- Marketing, Trent Ltd, addressing a press meet here on Monday. During the set up period, Westside will help the franchisees in the recruitment, marketing and promotional support to boost sales, replenishment of stocks, IT and merchandise support and project assistance besides investing in training the franchisee and the store workforce to adhere to the brand philosophy and standards, she added.

 

 

 

42. Elvy Launches Store In Jalandhar

16 May, 2008

 

Catalogue shopping retailer Elvy Lifestyle on Friday launched its store in Jalandhar and said the company plans open exclusive stores in major cities of northern India.

 

"We are delighted to open our new showroom in Jalandhar and fully committed to bring joy and pleasure to every aspiring consumer in Punjab," Elvy Lifestyle Managing Director Lovy Khosla said, adding the company would open their retail stores in strategically located cites.

 

He said Elvy is successful in creating a completely new channel in the Indian retail segment since its inception as catalogue shopping was quite unknown in India and has now become a new way of buying products.

 

"We offer a unique collection of lifestyle and home decorative products, which includes outdoor, serving, kitchen, bar, dicor, office, games, bedroom, junior and travel gear so what customer gets is exclusively well co-coordinated collections, good taste and lasting value.  

 

 

 

43. Future Group’s Apparel Brands To Spend Rs 25 Crore On Marketing

9 June, 2008

 

In its recent TV commercial, the Big Bazaar brand ambassador, cricketer MS Dhoni, is shown taking the fashion quotient of the brand forward.

 

The film opens with a girl parking her car in front of her house. Just then a maid quitting her job comes out cribbing from the house. As they come face to face the maid hands over the broom to the girl taking her as the new maid.

 

Just then a guy comes and says, “kachra ho gaya na madam?” He says, “Aaj kal kapde dhang ke nahin, toh izzat bhi nahin.” Cut to a shot of her transforming and coming out as a well-dressed, confident girl.

 

Impressed, the guy says, “kya baat hai madam.” He declares, “desh badla, bhes badlo. Fashion at Big Bazaar.” The ad ends with the Super: A future group idea.  

 

 

 

44. 8 Million Telephone Subscribers Added In April

2 June, 2008

 

As many as 8 million telephone connections, including both wireline and wireless, were added in April this year against 10.4 million in March, taking the total number of subscriptions to 308.51 million.

 

According to the data released by the telecom regulator TRAI, the total number of telephone connections reached 308.51 million at April-end compared to 300.51 million in March.

 

India surpassed the US to to have the world's second largest wireless network in the world after China with the addition of 10.16 million wireless subscribers at March-end.

 

The total number of wireless subscribers, including GSM, CDMA & WLL(F) base, witnessed an addition of 8.21 million subscribers with the total bases standing at 269.30 million at the end of April, Trai said .

 

A total of 10.16 million wireless subscribers was added in March.

 

The overall tele-density is 26.89 per cent at the end of April 2008 against 26.22 per cent in March.

 

In the wireline segment, the subscriber base has slightly decreased to 39.21 million in April against 39.42 million subscribers in March.
 

The total broadband subscribers base has reached 4.01 million by the end of April compared to 3.90 million by the end of March.

 

 

 

45. GSM Subscriber Base Climbs To 205 Million

12 June, 2008

 

With an addition of 6.27 million subscribers in the month of May, the total GSM subscriber base climbed up to 205 million users. However, there was a decline in the total number of subscribers added in comparison to April, with a decline of 177,000. Bharti Airtel Ltd, the country's largest mobile service provider leads the pack with the highest number of additions of 2.4 million subscribers, taking the company's subscriber base up-to 66.8 million. With these figures the company has a market share of 32.52%. Vodafone Essar with a market share of 23.10% added 1.68 million subscribers to its kitty, with which the company's user base increased to 47.4 million at the end of May. However, BPL mobile and Spice Communication were the only GSM players, who despite an absolute hike in the total number of additions, experienced a decline in the number of subscribers added in comparison to the previous month.

 

BPL mobile, which currently operates only in Mumbai, added 17,000 mobile subscribers in May, almost 1,500 less than what it added in April. With this, BPL mobile's subscriber base has increased to 1.33 million. Spice Communication, which has once again been in talks with Idea Cellular for a possible merger for the past one week, added 134,000 subscribers for the month. This is approximately 2,000 subscribers less than the company's addition for the month of April. BK Modi, chairman, Idea Cellular has been in talks with Idea Cellular for selling his stake of 40.8% in the company. Spice currently operates in two circles of Karnataka and Punjab, and has been allotted a license for operations in four more circles. The AV Birla Group company Idea Cellular, which has a 12.72% of the market, added 1.1 million customers, 62,000 more than what the company added in April. The total subscriber base of the company went up to 26 million at the month-end. The third largest GSM telco, state-run BSNL, added over 314,000 subscribers for the month, taking its total user base count up to over 36 million in May.  

 

 

 

46. Airtel Launches Kannada Mobile Services To Tap Rural Market

4 June, 2008

 

In a unique venture that will help tap the potential among the 2.2-million farmers associated with cooperative societies, Bharti Airtel on Tuesday announced the launch of its joint marketing campaign in association with Indian Farmers Fertiliser Cooperative Ltd (IFFCO) to popularise mobile telephone service in the rural areas of Karnataka.

 

Airtel has partnered with Nokia to come up with two handsets that would have the menu and SMS facilities in Kannada to promote the scheme. The Nokia monochrome 1200 model would be available at Rs 1,272, while the Nokia 1208 colour handset would be available at Rs 1,560.

 

The handsets would come along with a free Airtel mobile connection and recharge of Rs 295, lifetime validity and local calling rates at Re 1 a minute and STD charges at Rs 1.50 a minute, he said. Addressing a joint press conference here on Tuesday, Mr Venkatesh V., CEO, Mobile Services, Bharti Airtel Ltd, Karnataka, and Mr Govindarajan, Head South India, said that IKSL will harness the power of telecommunication to add value to the farm sector.

 

The Kannada mobile service will also give free of cost vital information such as mandi prices, farming techniques, weather forecasts, dairy farming and fertiliser availability through the value added service platform. The strategic alliance will enable Airtel to install its cell sites in locations provided by IFFCO with its outlets serving as service facility for distributing SIM cards and recharge cards. Mr Govindarajan said with farmers being stakeholders in IFFCO, which has 2,500 societies in Karnataka, the Grameena Mobile Kranthi campaign will get a phenomenal boost in achieving telecom penetration in the rural areas.  

 

 

 

47. Idea Buys Spice For Rs 2,176 Crore

26 June, 2008

 

In one of the biggest deals in the Indian telecom sector, Aditya Birla group’s Idea Cellular on Wednesday said it would acquire BK Modi’s Spice Communications to strengthen its position in the growing telecom market. The deal consists of four related, but distinct transactions.

 

To begin with, Idea will acquire the Modis’ 40.8% stake in Spice. Subsequently, Idea will launch the mandatory 20% open offer for the Spice shareholders, jointly with Telekom Malaysia International (TMI).
Idea will merge Spice with itself and offer a 14.99% stake to TMI through a preferential allotment. Idea will earn Rs 7,294 crore ($1.7 billion, assuming an exchange rate of Rs 43) by selling this stake to TMI. This would make it one of the largest infusions of FDI into India.
Idea has agreed to buy the Modis’ 28.14 crore shares for Rs 77.30 each, totalling Rs 2,176 crore. In addition, it will shell out Rs 544 crore, or over Rs 19 a share, to the Modis as a non-compete fee. This is under the 25% limit (with reference to the open offer price to non-promoter investors) prescribed by Sebi for any such payment.
The 14.99% preferential allotment to TMI will ensure that Idea, despite being the purchaser, ends up as a net gainer in the transaction. The net income for Idea, after making payment to the Modis, will be Rs 4,574 crore.
The Idea-TM combine will launch the open offer at Rs 77.30 jointly with TMI, which now holds 39.2%in Spice. At this stage it is not clear who will pick up how much. Idea will earn Rs 7,294 crore by selling 46.47 crore preferential shares to TMI for Rs 156.96 apiece.
According to the merger formula, Spice shareholders will get 49 Idea shares for every 100 shares they held. The payment to the Modis is being funded through internal accruals. After completion of the deal, which is expected to be done in next six months, Idea’s equity base will be expanded due to issue of fresh shares to TMI, and also because of the share swap.
On Wednesday, Idea scrip closed at Rs 102.05, up 2.9% while Spice scrip touched an all-time high of Rs 73.40, before closing at Rs 72.35, a 33% gain over the previous day’s close.
ET first reported on June 10 that Spice shares will be acquired by Idea at between Rs 77 and Rs 78 per share. On June 12, we reported that TMI will buy just under 15% stake in Idea through preferential offer and will hold around 20% in the merged entity. “Spice will be delisted and TMI’s holding in the new Idea (post-merger) will be a maximum of 20% (depending on the response to the open offer) and one non-executive board seat,” AV Birla group chairman Kumar Mangalam Birla told ET.

 

The Spice

 

How does the deal change the telecom landscape? India will now have 11 telecom operators instead of 12 & the pecking order will change. Idea set to become the fifth-largest operator with over 31 million users. It is now just 5 million subscribers away from BSNL.

 

What does it mean for Idea cellular? AV Birla Group co gets a foothold in Punjab and Karnataka, 4.4 million subscribers, a strategic investor in Telekom Malaysia and a net income of Rs 4,500 crore. Idea turns a debt-free company.

 

What have Modis and Spice shareholders gained? Modis made a cool Rs 2,720 crore by selling stake in the loss-making venture. This includes a non-compete fee of Rs 544 crore. Spice shareholders get 49 shares in Idea for every 100 shares held.

 

How does Telekom Malaysia International benefit? It becomes a strategic investor in the 5th-largest operator in India. TM has 44 m users across 10 countries; Idea adds 31m to that. TM will have one member on the new Idea board.  

 

 

 

48. Vodafone Launches New Service In Kerala

12 June, 2008

 

Vodafone Essar has launched a new Missed Call Information Service (MCIS) in Kerala. Subscribers of MCIS will receive a personalised SMS from the number of the person whose call was missed. Vodafone Essar is one of India's leading cellular service providers. 

 

 

 

49. BSNL’s “Phone Back-Up” service

12 June, 2008

 

The Bharat Sanchar Nigam Limited (BSNL) will launch a new value added service, called “Phone Back-Up”, for its mobile subscribers with effect from June 12.

 

Subscribers can copy their mobile phone data in a secured manner under the new system as a back-up.

 

The new service enables the customer to restore data stored in the mobile phone in the event of theft, loss, damage and phone upgrades.

 

Monthly subscription

 

The customer will have to pay Rs.30 as monthly subscription to avail the service. General Packet Radio Service (GPRS) subscribers can register for this service online at http://pb.bsnl.onmobile.com/bsnlwap. Non-GPRS subscribers can register by sending SMS “SUB” to 58989 free of cost, a BSNL press release said.

 

 

 

50. Airtel Launches Services In Lakshadweep

22 May, 2008

 

Airtel has launched mobile services in the Lakshadweep Islands, thereby becoming the first private mobile service operator to start functioning in the islands.

The formal inauguration of Lakshadweep Service was done by the Administrator of Lakshadweep, Mr B.V. Selvaraj, by switching on the first tower at Kavaratti on Tuesday. The first call was made by Mr Selvaraj to Mr Sanjay Kapoor, President (Mobile Services), Bharti Airtel Ltd.

 

Initially, Airtel will provide both prepaid and post-paid services in three Islands of Kavaratti, Agatti and Bangaram.

 

Sets up 2 towers

 

The company has set up two towers in Kavaratti and one each in Agatti and Bangaram.

 

Mr Vikas Singh, Chief Operating Officer, Bharti Airtel Ltd (Mobile Services), Kerala Circle, said “We are delighted at providing mobile services in the Lakshadweep Islands. Bharti has been at the forefront of the telecom growth story in India, which is one of the fastest growing mobile markets in the world. We are committed to providing world-class telecom services to our customers in Lakshadweep.”

 

The launch of Airtel’s services include: customer care services available on 121; uniform tariffs for local (Re 1/minute), STD (Rs 1.50/minute) calls as in all the 23 Airtel circles on home & roaming Airtel networks; and anytime, anywhere recharge with Airtel Easy Charge available at over 50 retail outlets across Lakshadweep.  

 

 

 

51. Auto Sales Sustain Momentum In May

11 June, 2008

 

Sales of automobiles in India have gone up in May 2008. sales of passenger vehicles have gone up by 16.58 percent at 1,41,946 units (1,21,753 units in May 2007). Sales of commercial vehicles have increased by 6.10 percent at 35,294 units (33,262 units). Sales of three-wheelers have declined by 2.54 percent at 28,274 units (29,012 units). Sales of two-wheelers have gone up by 6.99 percent at 6,47,358 units (6,05,014 units). Hero Honda has announced a growth of 10.33 percent in sales at 2,97,387 units.

 

Hero Honda And Bajaj Auto Sales Up

2 June, 2008

 

Hero Honda Motors, the largest two-wheeler manufacturer in India, reported 9.54 percent increase in motorcycle sales at 3,12,317 units in May 2008 compared to 2,85,109 units in May 2007. Bajaj Auto Ltd (BAL) reported 7.57 percent increase in sales of its motorcycles at 1,79,649 units (1,67,008 units).  

 

 

 

52. TVS To Launch Wimbledon Collection Scooters

4 June, 2008

 

Two-wheeler manufacturer TVS Motors will launch two new limited edition scooters coinciding with the Wimbledon tennis tournament this month, company officials said.

The company has signed a one-year agreement with the All England Lawn Tennis Club as the official licensee for Wimbledon Tournaments and the new scooters will be named "Wimbledon Class" and "Wimbledon Xtreme".

 

One will be a classic rendition of the Wimbledon colours, pristine white with purple and green flow-strokes and the other is an exciting red scooter with graffiti art that captures the excitement of tennis.

 

"At TVS, we constantly study the leading style and fashion trends in India and abroad to assist the development of our themes every season," said S Srinivas, the company's general manager for marketing.

 

"We observed that there is a growing trend of sports and fitness consciousness among young girls being reflected in fashion trends. They tend to identify with the tennis stars, who continue a long legacy of being style and fashion icons."

 

He said the Wimbledon collection, comprising 10,000 scooters, is a tribute to women with sporty attitude. Buyers of the Scooty Pep+ Wimbledon collection will get a complementary c-branded sweatshirt and a sporty sling bag.

 

Being a limited edition launch, the models will retail at a premium of Rs.1599 over regular colours.

 

Meanwhile, the company reported four percent growth in two wheeler sales to 112,770 units in May 2008 against 108,151 units in the corresponding period of the previous year.

 

During the month, the company's motorcycle sales posted a 10 percent growth to record 54,717 units against 49,651 units in May 2007.

 

The company exported 14,071 units last month as against 9,849 units in May 2007.

 

 

 

53. E-bike Makers Expect 5-10 Pc Jump In Sales On Fuel Price Hike

6 June, 2008

 

Domestic electronic bike makers are expecting a 5-10 per cent jump in their sales on the back of a steep hike in fuel prices, which is giving jitters to the automobile companies. Within a day of the announcement of the increase in fuel prices by Union Government, the electronic-bike manufacturers have witnessed record sales in their bikes and received lot of enquiries for setting up dealers network across the country.

 

"Hike in petrol prices is a positive development for the e-bike industry and we expect it will boost the sales of battery driven bikes by at least 5-10 per cent," Avon Cycles Senior Manager (Marketing), U S Dubey said. Similarly, Hero Cycles, which sells e-bike under Hero Electric brand, is quite upbeat over this development and hoping a big push to the e-bike sales this year.

 

"Just a day after the announcement of the hike in fuel prices, we have sold 300 e-bikes in a single day which is our highest ever sales per day," Hero Cycles Managing Director Vijay Munjal said. Besides, the company, which has 100 dedicated dealers across the country, has also received record number of enquiries from people across the country to take company's dealership for selling Hero Electric bike. "A lot of people have expressed interest in having our company's dealership which will ultimately provide impetus to e-bike sales," he said.

 

Industry experts are of the view that e-bike industry is poised to observe close to 10 per cent growth in sales in short term in view of rising petrol prices as people would prefer e-bike, whose running cost is 10 paise per km, in order to reduce their fuel bill. Presently, the e-bike market in the country stands at Rs 450 crore with the involvement of 40 players and it is expected to grow 10 times within next 4 years in the country.

 

 

 

54. New variant of Unicorn launched in Goa

6 June, 2008

 

The new variant of Honda Unicorn has been launched in Goa recently. The new-look Unicorn is currently on display at Goa Rajee Auto Pvt Ltd showrooms at Nuvem, Vasco and Ponda, Vistar Honda at Panaji and Counto Honda at Mapusa and Bicholim.

 

The new features of the new-look Unicorn include a new smart metre console and a new gear shift lever. Besides, the bike also has a mono suspension, black alloy wheels, new handle bar weights, which gives more stability. The bike also has a black robust engine for superior performance, which touches 0-60 kms in just 5 seconds and also gives a consistent mileage of 60 kms per liter. The bike also features a tuff-up tube for hassle-free ride.  

 

 

 

55. Yamaha India Launches 150cc Bike

13 June, 2008

 

Yamaha Motor India Ltd has launched a 150 cc motorcycle on 12 Jun 2008. The company has priced the new bike, YZF-R15, at Rs 97,425. Yamaha intends to offer superior products to bike enthusiasts in India. The company sells MT01, YZF-R1, Gladiator Type SS & RS, Gladiator Graffiti, G5, Alba and Crux models in the country.  

 

 

 

56. Anti-ageing Cream Goes Young

2 June, 2008

 

When consumer products major Hindustan Unilever (HUL) recently relaunched its Pond’s anti-aging skin cream range, it was not only launching a ‘new-improved’ version of the product but also responding to a larger change in the core target consumers of anti-aging products — from the middle-aged 35-40-years-old women to 20-something girls, yes, but even men too!

 

Says Oriflame India national sales manager Shilpa Ajwani: “Today, we have customers in the 20-years-plus age group who start preventive skin care through anti-aging creams and while women are still the larger consumer base, there is faster growth in demand for anti-aging products by men too. This is unlike the scenario sometime back when classically 40-years-plus women were our target customers.”

 

The company launches about six anti-aging products a month, which now account for over a quarter of its sales in India.

 

Cosmetics are conventionally bundled into three categories — skin lightning, moisturising and anti-aging. Market research firm ACNielsen puts the anti-aging cosmetic market in India at over Rs 60 crore. Though just over 2% of the country’s Rs 3,000-crore skin care market, the anti-aging segment is the fastest growing at 93% year-on-year.

 

Anti-aging cosmetics include products as diverse as anti-aging lipsticks and eye balms, facial creams, hair lotions and foot creams. Consumers pay Rs 500-6,000 for such products from brands like Mary Kay, Revlon, Schwarzkopf, Procter & Gamble, HUL, et al.

 

Schwarzkopf Professional country head Murali Sundar confirms anti-aging products’ age defying trend: “With time, usage of anti-aging products has got little to do with a person’s age. Rising consumer awareness means that people in their late twenties have started buying our anti-aging hair care products. While the bulk of our customers are still women, men are fast waking up to hair-care.”

 

While busy lifestyles and concomitant stress hasten skin aging, rising incomes and awareness are facilitating fast consumer adoption of anti-aging products. But that’s not all, for there is also another important factor at play here. Consumers today opt to prevent and correct rather than repair at a later stage. Marketers are quick to spot this trend and are responding appropriately.

 

Says HUL skin care category head Venkat Shridhar: “Today, sales of bulk of our anti-aging creams come from 28-30-years-old women. Personal care spends have increased a lot in the past 3-4 years. Easy access to parlours, supermarkets and greater exposure to media have led people to spend more on hygiene and beauty. Hence, all our communication also highlights prevention as the way out to delay aging.”

 

Agrees Mary Kay India senior marketing manager Nirupama Rao: “Anti-aging products have ceased to be prescriptive in nature. Today, they are used for preventive purposes. Consumers realise that they help in delaying the damage caused due to aging.”

 

Though the current penetration of anti-aging products is low, marketers see huge potential in the category and are prioritising for its growth. Says Devendra Shinde, marketing head, Kaya Skin Clinic, Marico’s 56-store strong skin-care division: “Our age control Botox and Fillers treatments have grown up to four times in the last year. Currently, age control packages account for 15% of our revenues and are expected to grow even more robustly.”

 

“We are witnessing a 30% year-on-year growth in the anti-aging segment. The age of consumers of anti-aging cosmetics is coming down rapidly and there is increased penetration of these products in India. This segment is expected to contribute substantially to our growth,” says Revlon India marketing director Deepak Bhandari. The company markets its anti-aging products under the Revlon Reveal brand, priced Rs 350-750.

 

 

57. Fruity beauty

5 June, 2008

 

Eminence Organics Skin Care has launched a range of products based on tropical fruit. They include coconut milk cleanser, pineapple enzyme pro peel, coconut cream masque, mango night cream, coconut sugar scrub, watermelon papaya body butter and mango enzyme body wrap. All the products are priced at Rs 3,500 and available at high-end spas and salons in Delhi, Mumbai, Kolkata, Bangalore, Chennai, Ludhiana, Goa and Pune. 

 

 

58. For Him

29 May, 2008

 

Nivea has launched Multi White Advanced Whitening Oil Control Moisturiser for Men. It claims to contain a unique oil control system and 95 per cent Vitamin C. It claims to protect the skin from premature ageing and the harmful effects of UV rays. Itis priced Rs 252 for 40 ml. 

 

 

 

59. Pond's: An Ad 'Film', Quite Literally

5 June, 2008

 

You may have caught the movie trailer of Kabhi Kabhi Pyar Mein on television recently – a film starring Priyanka Chopra, Saif Ali Khan and Neha Dhupia. But as most would have now guessed, the movie itself is just a smokescreen; it is actually a mode of advertising to announce the launch of Pond’s’ new skin whitening cream.

 

Once upon a time Pond’s recently announced the appointment of actor Priyanka Chopra as its brand ambassador, and therein started this journey. Pond’s White Beauty, as the product is called, has been launched in various markets by Unilever. The brief given to Pond’s’ agency in India, O&M, was to adapt to the Indian market the global episodic TVC created by Ogilvy in the Southeast Asian region. The story revolves around a man cheating on his girlfriend, with the latter deciding to woo him back with the help of the product.

 

“The storyline of the original seemed so Bollywoodish, we decided to treat it that way,” says Zenobia Pithawalla, senior creative director, Ogilvy & Mather. Hence, an idea was developed to give the advertising story a Bollywood twist. A fictitious film – Kabhi Kabhi Pyar Mein – was created, with Chopra, Khan and Dhupia in the lead roles. Incidentally, this is the first time that the trio have been seen together on screen, which lends the freshness factor. The whole tale is about Khan and Chopra dating each other seriously before Khan becomes a celebrity and moves away from the city. Having acquired fame, Khan changes totally, and despite his girlfriend waiting for him back home, takes up with another woman (Dhupia).

 

Chopra sees a magazine cover featuring the two and decides to have it out with Khan. She lands up in the same city and spots Khan with Dhupia. The story is about how Chopra woos Khan back by using Pond’s White Beauty, a cream that enhances dull fairness with a much needed glow.

 

The Pond’s activity is being conducted in phases. Firstly, there was a write-up in Filmfare magazine about this supposed love triangle to create buzz around the film. Next, a short trailer was unleashed on television channels (including music channels and GECs featuring movie trailer based programmes), which showed clippings from the “upcoming film” (with the super, ‘Sometimes life gives you a second chance, but are you ready?’).

 

Next, five mini-episodes are being unleashed on TV, each one revealing parts of the story bit by bit. The first one was released on June 1, and it reveals the story up till the point where Chopra catches her man with the sultry Dhupia. Just then, she sees an LCD screen in a shop, wherein there is a product display shot of Pond’s White Beauty, with a voiceover on how it can change lives. What happens next will be revealed in the next episode, leading to the ultimate revealer (the fifth episode).

 

Each episode will air after an interval of 15 days, thereby wrapping up the whole story in a little over two months. All the episodes, according to sources, were shot with a budget of Rs 3 crore.

 

Apart from the film, a print shoot was done and divided into two parts: the beauty shots and the film posters.

 

The film was shot in Bangkok over seven days by director Shoojit Sircar (of Yahaan fame). The producer was Ronnie Lahiri of Rising Sun Films. “We were told to make it like a short feature film on TV, where the story is gradually revealed in parts,” says Sircar.

 

The print shoot was handled by Farrokh Chothia. “The film posters helped in building the drama of giving it a feature film feel,” says Pithawalla. “And as no film is complete without a trailer, we cut a Bollywood style trailer.” The highlight of this trailer is the Bangkok airport sequence (showing Khan parting from Chopra in the pursuit of fame), where the shoot coincided with a flight leaving for India. “So, the queue in front of the stars was probably longer than the queue in front of the departure gates!” laughs Pithawalla.

 

Most of the sets (shots of a bedroom, a house, etc.) were erected. To show the love triangle, the treatment given to the film was totally ‘filmi’: slick, quick shots, high production values and high emotions. “The ad film is like Mills & Boons meeting Bollywood,” sums up Sircar, while adding that the product had to be woven in a subtle manner into the film.

 

Chopra was given a girl next door kind of look, with dresses dipped in soft pastel shades (including pink, Pond’s signature colour). Dhupia, on the other hand, was made to dress up fashionably in bright hues. To lend her the right look of being “the other woman”, she was even given black dresses and black under-eye makeup.

 

Khan has three looks in the film: The first is of a simple boy in love with Chopra. In the middle of the film, he acquires celebrity status, and is seen sporting polished, designer outfits that signify his style icon status. In the third and last part, when Khan comes back to Chopra, he is shown in sober clothes.

 

The production was handled by Benetone Films, while the post production was done by Phenomena Productions of Bangkok.

 

 

60. Reebok Focuses More On Kids

12 June, 2008

 

Reebok, a sports brand, is entering the kids market through the launch of its exclusive Reebok Junior stores. The company has set up seven such stores in Delhi, Mumbai, Bangalore, Hyderabad and Calcutta. To promote the Reebok Junior brand, the company has launched a `Made to Play' campaign targeted at kids aged 4-14 years. The company is also offering a return gift of Rs500 on every purchase of Rs1,000 as an introductory offer.

 

 

Reebok Sets Store By Women

2 June, 2008

 

Reebok India Company Ltd, a division of Adidas AG of Germany, has opened an exclusive outlet for selling womenswear of Reebok brand in Chennai. This is the first such retail outlet in South India, located on Khader Nawaz Khan Road, Chennai, owned by four women as franchise. The outlet will sell sportswear, casual wear and footwear products for women.

 

 

 

61. Adidas Plans Big For Euro'08

6 June, 2008

 

Sportswear and apparel major Adidas is betting big on the Euro 2008, as the largest soccer tournament in Europe kicks off tomorrow.

The company has lined up a series of campaigns across its 350 stores in India and has even tied up with music channel MTV for promotional programmes during the month-long tournament being held in Austria and Switzerland.

 

"After the success of IPL, we are now focusing on the Euro 2008 for our next big campaign covering 119 cities in India where we have presence," Adidas India Managing Director Andreas Gellner told PTI.

 

He said as part of the Euro campaign, the company has entered into collaboration with MTV India to bring 'Finger Football' tournament at Adidas stores in five major metros of the country.

 

"The Finger Football tournament will be played in our stores in Delhi, Mumbai, Kolkata, Chennai and Bangalore and shown on MTV. It will involve playing the game with little paper footballs with two fingers of the hand in a miniature field put up inside the stores," Gellner said.

 

The campaign incorporates a retail splash with all kinds of Euro 2008 products, from footwear to lifestyle articles, outdoor hoardings, messaging, and prize contest for customers making purchases of more than Rs 2,800 from an Adidas store, he added.

 

Adidas, which is one of the official sponsors of Euro 2008, considers football as another sport after cricket that can help enhance brand value in India, Gellner added.

 

"Besides direct revenue accumulation from soccer related products, the company also looks at the game as a medium to target the soccer talent in India," Gellner said.

 

 

 

Adidas On Expansion Spree, To Add 160 New Stores In 2008

8 June, 2008

 

German sportswear and apparel major Adidas is going for a major expansion across India in 2008, which will involve setting up of around 160 new stores and setting footprints in 140 cities.

 

"We are identifying properties in various cities and will set up 150-160 stores this year which is much more than 2007 figures. By 2008 end, we will reach the figure of 450 franchise stores by the end of 2008," Adidas India Managing Director Andreas Glenner said.

 

When the planned expansion completes, Adidas would have presence in 140 cities as against 119 cities currently, he added.

 

The company is expanding not only in the metros and Tier I cities but going to Tier II towns also.

 

"It is important for us to expand to smaller cities as the revenue contribution from metros and Tier I cities are equal to that coming from lower Tier II towns," Glenner said.

 

The company, which has also launched its 'Adidas Originals', the premium range of products, is also planning to add more such stores in select cities.

 

"Currently, there are two 'Originals' stores, one in Delhi and the other in Chandigarh. By mid-2009 we plan to have eight such stores," he added.

 

Commenting on the rising rentals, Glenner said while it would not stop the company expanding but "had the rents been more reasonable we would have had more stores".

 

"Retail rentals are unrealistically high and a big challenge. However, it will not slow down our growth," he said.  

 

 

Sania Sizzles 

27 May, 2008

 

The Adidas Group of Germany is preparing to launch an apparel and accessories collection named after Indian tennis player, Sania Mirza. The products under the Sania brand will be sold worldwide through Adidas stores. The lifestyle range will be introduced in Sep 2008 and the sports gear in Jan 2009. The new collection will target customers in the 15-27 age group and comprise apparel, bags, sporting gear, headgear and accessories. The portfolio of products has already been designed at the company's headquarters in Germany.

 

 

 

62. Bata Eyes Franchisee Model To Tackle Chinese Challenge

11 June, 2008

 

Amid stiff competition from Chinese shoemakers, Bata India (BIL) is exploring a brand new franchisee model to launch its upcoming retail stores. It has decided to give older members of its workforce who are close to retirement an option to quit their jobs and run the new Bata outlets as franchisees.

 

Bata India, however, has not specified who will be eligible to opt for the franchisee route. For instance, it has not defined the age limit (read: number of years away from retirement) of existing employees to opt for the franchisee scheme. Senior Bata India official told ET: “The scheme is being done to foster entrepreneurship among employees. The company, in all likelihood, will offer franchisee to employees who are experienced and have a few years of service left. They may leave the company and start afresh with this new venture.”

 

The company will own the store and provide the necessary shoe stocks. It will also give a certain commission to the franchisee owner on sales of that particular store. The franchisee owner, in turn, will be allowed to appoint his own workforce who will be trained by Bata. But the franchisee owner will have to pay his workforce out of the commission earned.

 

The company expects the scheme to receive good response, even though the unions are skeptical. All India general secretary of Bata India salesmen union Tapan Chakraborti said: “We are open to the idea of coming up with new stores with permanent employees on a new salary structure. But we do not support the policy of asking existing employees to take franchise of Bata stores. We have faith in the management and hope the it will look into it.”

 

In 2007, Bata India had opened 67 new stores and remodelled 40 existing outlets. Incidentally, better shoeline, aggressive sales pricing, optimum procurement of finished goods and better negotiation on raw materials had resulted in the improvement in margins of the shoe major in 2007.

 

The company has lined up major investments for the upcoming new stores in the country. Bata is the largest footwear retailer in India with more than 1,100 stores across the country. To maintain its leadership position and growth, the company is expanding and adding 200 new stores in next two years.

 

These stores will operate in a four-tier retail format under a new retail model - up market flagship stores, smart and trendy city stores and super stores and traditional family stores. This will help the company service its customers better in places where currently it does not have presence.

 

The company is also in the process of putting in place a strategy to retain the best talent in the company and reduce attrition rate. The shop managers at Bata retail stores have signed individual agreements and have been given performance-linked salary increase.

 

Bata India has decided to focus more on the ladies shoes category. The Indian footwear market is estimated to be about Rs 10,000 crore in value terms and is growing at 10% annually. Men’s footwear accounts for almost half of the total market with women’s shoes constituting 40% and kids’ footwear making up for the remainder.

 

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