The Chronicles of Ayurveda!

The combination of Ayu - Life & Veda - Knowledge, is what makes the ancient Indian science of Ayurveda a holistic approach to healthy living, without confining it within the realms of treatment of diseases only. It is hardly a wonder then that this system of traditional medicine native to India is seeing a strong comeback with the likes of Patanjali, Sri Sri & more recently even Lever Ayush stepping up their new product pipeline & marketing activities around their respective ayurvedic propositions.

Going beyond the overtly visible range of consumer products, ayurveda is an alternative form of medicine that uses 600 plants, herbs & minerals described in 54 books - it provides guidelines for healthy nutrition and preventive approaches to lifestyle management for improving the quality of life. It almost seems obvious to a keen marketing eye then, that only brands with a strong pedigree of generic ayurvedic formulations would win with their consumer marketing efforts in the longer term, given the equity rub-off such a portfolio entails on the proprietary range. The success of Patanjali's retail stores today to a large extent is attributed to the presence of ~1500 Patanjali Chikitsalaya's across the country where trained vaidya's dole out generic ayurvedic prescriptions to visiting patients across a long list of ailments (check: http://patanjalivaidya.blogspot.in)

Let's analyse what role do these generic/ proprietary ayurvedic formulations play in the consumer's life. Across a range of ailments, it is surprising but true that most consumers do nothing about it during the initial 1-3 days... home remedies followed by a 'wait & watch' approach seems to be the default mechanism of dealing with it. In as basic an ailment as a cough for example, 84% Indian consumers would delay taking a cough syrup by at least a day just to be 100% sure that it's required for the treatment.

Thereafter, ayurvedic/ natural ingredients-based home remedies are used as the 'first line of defense' by most consumers. No prizes for guessing then that Himalaya has a tag-line which smartly plays to this sweet spot calling out 'sabse pehle' which is brought alive in their purifying neem face wash communication most significantly. 

These remedies form the majority of self-treatment measures across a host of common needs and ailments since they are perceived as safe without side effects as well as economical by ~60% consumers. On the flip-side though, almost 2 of 10 consumers believe these remedies need time to prepare and don't cure completely; a classic example being the home-made 'kadha' of natural ingredients that grand-mums would concoct on hearing a 'cough' in the household or for that matter the cough lozenges available at almost every corner-store across the country (yes, the Vicks cough drops are ayurvedic too!).

In the case of problem-solution drugs, OTC ayurvedic formulations are out of the purview of government-controlled pricing bodies and can be competitively priced & freely distributed across non-drug stores as well. What makes it even more attractive for marketers to enter this domain is the possibility of liberal claims as well as ability to advertise directly to consumers via national media. It comes as no surprise then, that the top FMCG as well as pharma players in the Indian market have a strong play in the ayurvedic space through a combination of brands. 

Besides, the nature of claims being made by few ayurvedic companies can almost promise anything under the sun. (Kailash Jeevan, a brand that lots of consumers swear by, is a multipurpose ayurvedic cream which claims to be effective across a range of 28 ailments: http://www.asum.com/kailas_jeevan.html)

The opportunity is not limited to the India market only. Globally, the WHO (World Health Organization) recognizes Ayurveda as 'Traditional Medicine' (TRM) and today exports contribute ~40% of the Ayurvedic market. In fact, across some of the key categories in which ayurvedic brands play, it is for a combination of the above factors that they are bigger in size vis-a-vis the pharmaceutical operators in the same categories. (CCA refers to cough, cold, allergy & VMS refers to Vitamins, Minerals, Supplements)

Across need-benefit FMCG or problem-solution OTC categories alike, consumers almost always make a choice of an ayurvedic brand in totality vis-a-vis choice of individual categories within which the ayurvedic brand plays; this enables an established ayurvedic brand to stretch across categories ensuring that almost all ayurvedic brands today are 'umbrella' brand-names not restricted to only 1-2 categories of play, but driving the relevance across a spectrum of categories deriving significant scale on their marketing and distribution efforts in the process. ~80% of the Ayurveda market today is held by the top 8 players of which 7 operate under the company brand-name with play across 3-4 significant categories at the minimum.

In sum, with the ayurvedic segment at an inflection point for varied reasons listed above, the segment would continue to see significant activity going forward as well. For companies invested in the segment with an appropriate portfolio-mix of generic & proprietary products, the growth impact over the medium term could be substantial. As for the most famous poster-boy of the segment, the by now 10k-plus crore Patanjali needs to focus on amplifying its own product benefit story vis-a-vis putting down competitors, keep away from flash-in-the-pan claims, manage the portfolio proliferation in areas relevant to consumers from an ayurvedic equity viewpoint (recent proliferation into areas like apparel seems to be driven by distributor turnover & profitability vs. consumer needs) and finally, put in place a professional structure to manage the brand after the proprietor & brand endorser. 

The Chronicles of Ayurveda will continue to see the birth & growth of 
companies with an indigenous mix of pedigree and smart marketing/ business modeling to reach out to the evolving bharatiya-at-heart consumer. Brands with an appetite for risk to venture into niches within this evolving ayurvedic space might be the next game-changers, co-creating the trajectory of this ancient Indian science as well.

Don't Let Her Go!

Your body is the tree to nurture,

Don't Let Her Go...

The day starts with the brush in your mouth,

Going to & fro...

The first meal you put into your mouth,

Defines how you will grow...

The first client you meet, your mouth's breath speaks,

How the meet will flow...

Yin & Yang call the mouth a reflection of your Self,

So don't you go slow...

The good night kiss from your spouse is what,

Defines you as a pro...

At the end of it all, your teeth are the only ones,

You'll leave behind when you go...

Your body is the tree to nurture,

Don't Let Her Go...

The above was developed as part of 'Shopper Academy' at J&J when linking our oral health brand Listerine to overall body wellness (depicted as a tree) on lines of the popular number by Passenger 'Let Her Go!' 

Tasty Bytes!

My taste buds apart, thanks to my profession as a culinary marketer, ‘Foods’ has been a recent area of interest. To put things into perspective, ‘Foods’ is among the largest industries worldwide and one of the fastest growing categories in India thanks to the favorable demographics & emergence of organized retail formats.

Trends evolve as patterns emerging in the macro-fabric of a society – reflective on the one-hand of its intuitive background whilst serving as a harbinger of the future on the other.

Certainly representative of the changing scenario, the Indian food trends culminate into a patch-worked dynamic mosaic originating from varied blocks bubbling, swelling and finally bursting into smaller homogeneous blocks; each with a colour of its own. Here’s my reading of the current scenario…

Capitalising on Home Entertainment

*‘Food cocooning’- Resurgence of family dinners and parties. Consumers re-create pleasurable and even sensual culinary experiences in their own dining rooms.

*‘Staycation’- Vacations in which people stay at home and take advantage of cheaper entertainment options like watching DVDs or sports matches.

Digital Dining

Rise of food-based phone applications viz. social networking, food by mail, online reservations

Eat Global, Buy Local
International single-cuisine restaurants are mostly out. Over a decade, the only restaurant format that really seems to have survived is multi-cuisine.

The irony is that the Indian lack of interest in finished foods is inverted when the food is in a can or bottle, and comes with a foreign label. International food in the form of the ingredients & packaged foods are flooding shops.

Eat Indian, Western Format

*Indian market at a critical mass for investment justification in new customized product solutions.

*Rise of ‘Made for India’ label.

Traditional Inside,Exotic Outside

New product launches in the snack segment – Exotic style flavours as preferred differentiators in line with consumer preference.

Comfort Foods
The food we think of when we hear the word homemade, and the food that reminds us of simpler times- Soup / Pasta sauces- Pizza- Fruit pies & cup cakes- Chocolate chip cookies.

Health & Nutrition Trend
Health - a priority issue for consumers: Calorie-reduced & fat-free as important consumer benefits.

Natural Drive
Flagging the absence of artificial colours, preservatives and flavours goes some way to dispelling consumers' concerns regarding ingredients like MSG (linked to increased rates of cancer).

Multipurpose makes inroads

*Consumers must make do with less, so products that serve several needs growing in popularity.

*More beverages labeled as snacks and snacks positioned as meals.

Exploring the ‘On the Go’ space
*Time spent out of home increasing.

*Rise in product formats to satisfy hunger ”on-the go”.

Sense Appeal & Local Motions

*After fresh, crunch is the new menu marketing claim on fine-dining menus.

*A new & diverse list of descriptors—local, artisan, seasonal, house-made, handmade, natural & organic—are increasingly being used to signal freshness, high quality, authenticity, and better flavor.

Custom Foods
Companies will need to interact with their customers so closely that they actually "co-create" value with them on an individual basis.— C K Prahalad in his book 'The New Age of Innovation', 2008.

Meet you at the supermarket

Restaurant chains are getting their brands onto those tables with supermarket products. Look for even more chains to move into the world of retail food as they seek new channels of distribution.

As the trends further emerge & re-merge... catch a bite of those 'Tasty Bytes'!

References drawn:

1. Mintel Group publications

2. India Knowledge@Wharton

3. nutritionunpugged.com

4. Tetrapak publications

5. Media publications

Chakan – A window into Rural Marketing

Our journey started early morning at 7.15 a.m. Taking the institute bus, we reached the University from where we took a PMT bus to reach the stop from where we would board the ST bus taking us directly to our destination, Chakan.

The ride in the ST bus was quite an experience – whilst for us it was an experience; it was apparent that a number of passengers were daily commuters making the trip back & forth to make ends meet back home. Most of the male passengers were dressed in the characteristic Maharashtrian attire of white dhoti-kurta & Gandhi topi on the head. On the other hand, amongst the women, the sari and salwar-kameez had an equal popularity.

Some of the noteworthy facts of the journey were the building blocks of what lay ahead for us in terms of the rural experience. It was appreciable that none of the women were standing; as soon as a woman would alight the bus, a male passenger would stand up (as though by default) and offer his seat to the woman. It seems like a paradox, given that the fairer sex is discriminated against in almost every walk of life in a country like India. But, then again, the dichotomy of the Indian male to present himself differently when making private vis-à-vis public appearances may be the cause of such behavior. Whatever be the reason, so long as the trend continues, it shall prove beneficial to the fountainhead of procreation.

The rural population is a very God-fearing or lets say God-loving populace. Most people had a dark red or sindoori tikka on their forehead.

A few people seemed to be traveling a long distance and hence had their large suitcases put up at a corner of the bus. On account of the space constraint inside the bus, the suitcases were used to sit on and not only were the owners seated, they also allowed others to be seated on the same.

On entering the bus, we purchased the tickets and requested the conductor to indicate to us the time when Chakan would arrive. We stood with the other passengers in the bus. After a few minutes the conductor came up to me and whispered to me that there was a group of passengers seated upfront that would be getting off at the next stop and hence we should move forward to secure the seats. A number of passengers had been standing since a long time awaiting their chance to be seated. The point here is that the everyday travelers look up to urbanites like us when we make our one-off trips. But, as the famous saying from Spiderman goes, we need to be cognizant of the fact that “With great power comes great responsibility!”.

A woman seated close by, not wanting her time to get wasted, was reading out of notes that were photocopies of a Marathi script printout. Once in a while, here & there, the beep of a mobile phone would suddenly break the rut of the noise made by the bus speeding away in the direction of its destination on the open highway.
Technology surely is touching people’s lives everywhere & everyday. The best part is that it is affordable enough for all to get access to it and the enrichment that it is bringing to individuals.

After a 50-minutes ride in the bus on the Pune-Nashik highway, the conductor indicated to us that the Chakan village stop had arrived. Once down from the bus, we had a look around to identify whether the rural marketing project had actually got us to a rural area or was it a misnomer for an area that had transformed into a semi-urban region.

On enquiring further, it became clear that Chakan is actually a ‘Rural Oasis’, serving as a feeder market to the villages within almost 50km radius of itself. By no stretch of imagination could it be called a rural market; generating a business volume of nearly 25 lacs every Saturday during the weekly mandi.

As per the requirement, we started gathering information for our study. Our first stop was the Gram Panchayat – the picture of a Panchayat with a group of senior people seated under a Banyan tree was completely distorted in our minds when we came across a building, which had a Reliance Infocomm mobile tower located above it. Well, the shade-providing Banyan was replaced by the communication-providing tower – an indicator of how the power dynamics in the rural areas has been undergoing a transformation with the needs and wants changing over time.
With low recreation facilities, the local politics is a major draw for the rural population – large posters announcing the victory of a candidate in the recent elections at Panchayat level were strewn all over the place with gulal and burnt fire-crackers visible in the compound.
The members of the Panchayat were extremely cooperative and forthcoming with the desired statistics about the village – they handed us a photocopy of the documents available with them.

On the way to the main market of Chakan, a few significant nuances were revealed to us. Poly bags with RIM Prepaid logo were indicative of the need for status orientation of the rural masses. Mobiles are seen as upmarket, with RIM being the more popular brand in the area. Hence, the sale of the polybags to appear upmarket in the area.

Large posters of Shivaji Maharaj & B.R.Ambedkar were indicative of the need of the rural populace for affiliation with national heroes and local posterboys. Some of the other paraphernalia on sale included fake notes like the ones sold outside primary schools. Be it the hero worship of posters or the magic realism of the notes, the take back for us was that the rural population is at the crossroads of a metamorphosis to get transformed but at the same the chrysalis that it is trying to break away from has kept the grips firm – the process is a long-drawn one, both in terms of time & effort; but the fact is that it is occurring nonetheless.

A theatre located in the main market had a poster put up which read ‘Now Showing - Harami’, an Ajay Devgan starrer film that was unheard of until then by any of us. Certainly, going by the popularity of Bollywood and the high aspirations of the rural people, there is no reason why such movies should be on screen at a time when any urban multiplex cinema boasts of not less than 7 screens, each showing a different movie – underserving these markets can certainly cost the producers dearly.

We moved on to the Bazar Samiti, which is the main location for all the trade related to agri-produce as well as animals. The local farmer there was forthcoming, explaining the technicalities and issues involved in trade. He informed that with the increasing need for communication on account of ability to make informed decisions regarding sale of agri-produce, mobile phones had become a rage among the local farmers. He also offered us tea and was not at all cursory in his invitation.

After collecting the requisite information from the market regarding the business & commerce of Chakan, we moved towards the Chakreshwar Temple & Maratha Fort, 2 main tourist destinations of Chakan. The fort was in a dilapidated state with the importance of it being the fort where the last British-Maratha battle was fought, being hidden in the background.

After the fulfilling experience, we made a beeline for the nearest restaurant on the highway for a late evening snack.

All in all, it was a satisfying day for all of us. The lesson that we would like to take back with us is that of humility. Whilst marketing is all about satisfying customer needs better than competition at a profit; in the rural context this definition does not suffice.

The attitude counts a lot – it is not only about commerce but also about the emotion behind the commerce – there has to be an attitude of ‘serving profitably’. The rural masses look upon us as torchbearers and solution providers – you fulfill their requirements and they’ll fulfill yours.