Tag: Rainman Consulting

  • Dial ‘M’ for Mobile & Money!

     

    By Tuhina Anand

     

    Bharti Airtel’s foray into mobile advertising or m-advertising opens up immense possibility in this space for a country likeIndiawhere mobile penetration is much higher than internet. Also the hand held device is something personal which many have the habit of checking frequently, hence the assurance that if a message is sent, the chances of it getting noticed is much higher.

     

    There are players who have been trying to explore this territory for a while but the limitation has been that they are all third party players and would need support of a telco. With Airtel’s entry, this space will get the much needed fillip and advertisers a better medium of targeted advertising.

     

    Airtel, being a leading telecom player, has the advantage of huge database and they can facilitate a targeted and customized communication for potential consumers. Mohit Beotra, Head, Emerging Business, Bharti Airtel Ltd, said: “Our perspective on mobile advertising is straight forward. We can help in targeting the right kind of customers based on the analytics. We have access to data that can help in increasing the effectiveness of a campaign. There is an opportunity for the marketers and our customers and we can help in facilitating that dialogue to reach to the right kind of people.”

     

    He added: “While we would like to open eyes to the kind of opportunity that m-advertising has for the marketers, we would also like to help them in constructing effective campaigns for them on this platform.”

     

    Airtel has a three-year deal with Mogae Digital, a company owned co-owned by Sandeep and Tanya Goyal, to be its sole and exclusive monetization partner. They will sell advertising solutions on behalf of Airtel and also drive marketing reach for the telecom giant. While it is estimated that mobile advertising will grow by more than 40 per cent in the next few years inIndia, Mr Beotra stated that these are merely figures floating around and one can’t surely put a number to it. However, he is sure that Airtel’s revenue from this venture would be significant in the coming years.

     

    A recent example of m-advertising is the launch of Life OK channel by Star which allowed the channel to target the viewers just hours before the launch as the message flashed on their screens when one finished their call thus helping in targeting the right consumers in the right place.

     

    Giving his take on Airtel’s move, V Balasubramanium, Chief Knowledge Officer & Director, Rainman Consulting, said: “It will be a catalyst for growth rather than re-defining m-advertising. It will help the m-advertising category to grow as telco companies can use the rich consumer behaviour insights they possess for an effective connect. As the effectiveness grow through their ablility to target the right consumer with the right message, then naturally more brands would flock in to this medium. This, I see, is a good start and I am sure the same will be explored by more companies. But the secret of success is how well you use your consumer intelligence from the existing data. Innovative analytics will thus play a big role for its success and that will be heart to success! As companies latch on to that then success is near the corner.”

     

    Sharon Aneja, Director, Earned Innovation & Business Head West, SMG Digital pointed out that for any one who is into the business of brand building, the real handicap is lack of information. If one has data, then half the battle is already won. She said: “Today, there is a need to get people interested at various points of purchase funnel and the communication should not stop once he or she reaches the shop floor. M-advertising can help in getting people more interested in the product even before the purchase decision is made. By taking a lead, Airtel has taken the industry leader position and set a precedent for others to follow in quality messaging and point advertising.”

     

    Ms Aneja feels that the move will open new doors, however the challenge is how one finds interesting ways to use that data. Having worked in theUKusing mobile advertising, she pointed that while the data protection rules are stringent there, the brands have used m-advertising to explore personalized messaging and targeted reach. She added: “I think in India, since it’s still the beginning of mobile advertising, one has seen a limitation in terms of offering which usually revolves around the WAP service. This however will change as technology comes into play. Also as the purchase funnel has changed, brands need to have several touch points to let the consumer experience and know more on the product. Something like location advertising would help on the mobile platform.”

     

    “The real opportunity also lies with the untapped reach which m-advertising can open up. This will give brands and marketers unprecedented reach to communicate to rural consumers which hitherto has been a challenge,” concluded Ms Aneja.

     

    Airtel’s m-advertising will be in compliance with TRAI regulation and would not reach those who have opted for DND. As Mr Beotra pointed that their customer base is huge and those on DND is not such a big number, hence in no way would those numbers affect the reach of Airtel’s m-advertising. However, the move has definitely opened up a new channel for advertisers who are pressed in today’s time to grab the attention of their consumers, both existing and potential in the cluttered market.

    Imaging: Rafiq (images: Microsoft Clipart)

     

  • Michael Wolfe on getting more from your marketing $$$s

    By A Correspondent

     

    In today’s time there is an added pressure on justifying each and every paisa spent on marketing, thus making the return on investment (ROI) all the more critical. That’s where Rainman Consulting steps in. Their core expertise lies in making ‘profit from marketing effectiveness’.

     

    Rainman recently hosted Michael Wolfe, CEO, Bottom-Line Analytics LLC who gave insight into marketing effectiveness and talked about Marketing Optimization Modeling, focusing on retail marketing applications.

     

    Wolfe gave a peek into what they do, which includes measuring the impact of the marketing investments of each program and campaign at a time, besides giving the big picture. They also determine the ROI from the marketing spends and, most importantly, providing a plan that ensures a marketer get the most out of his or her marketing budget.

     

    Wolfe explained how they do this: “The plan helps in determining what works and what doesn’t and thus showing one how to move budget from less to more productive activities. This exercise usually nets a plan which will get you 4 to 8 per cent more sales revenue, all without spending an additional dime on marketing.”

     

    “We do this with a mathematical modelling, sometimes called econometrics. We call this Marketing Optimization Modelling,” added Wolfe, who later went on to show how they achieve this.

     

    As he explained, this is basically the application of advanced econometrics towards measuring marketing effectiveness and ROI and is done through collection of media, marketing plans and POS sales data. “We assemble and validate a predictive model which casually links each of your marketing activities to retail sales. From this exercise we are able to specifically quantify the impact of media and marketing on the retail sales and provide you with direct guidance on what is working well and what is not.”

     

    The session then explained in detail the models for marketing optimization and a case study where application of this model helped in turning around the business. The simulation exercise actually helps in moving funds from less to more productive activities leading even to achieve 5-10 per cent greater revenue with the existing marketing spends. This also helps in more effective deployments by media, message, promotional event and by market.

     

    Wolfe emphasized on modelling and marketing measurement that must break out and go beyond the silos. During the discussion, he also touched upon the topic of social media ROI and steps to navigate through it.

     

    The session concluded with few keys to success that included doing what no others can do, focusing on being strategic, understanding the client’s business, never ceasing to innovate, customizing, having passion and evangelise and most importantly loving what you are doing.