Mr. Jagdeep Kapoor has for over 20 years put brands on the map and made his presence felt. An MBA from Jamnalal Bajaj Institute of Management Studies (1983), Jagdeep Kapoor started his career with Voltas and has successfully launched or dealt with brands like Frooti, Bailley, Halls, Saridon, Waterbury's Compund, Listerine, Panama, Chiclets etc. He started the Marketing Consultancy, Samsika in 1995 that has achieved tremendous success right from its inception. Mr. Kapoor has authored various best-selling books like “24 Brand Mantras”, “9 Brand Shaastras” and “Brand Switch”.
Our correspondents Tanmay Joshi and Pavan Wani from the Marketing Club baCzar, JBIMS, had an exclusive interview with Mr. Jagdeep Kapoor on repositioning strategies, current trends, Samsika’s projects in repositioning and much ,much more!
Read on to know more…
Q.1. Sir, it is Samsika's 15th anniversary, and we on behalf of the Marketing club and JBIMS students, firstly congratulate you for that! In 1995 you had a vision about the importance of branding that would be critical in the future and built Samsika. At this moment, where do you think brand repositioning will be 15 years down the line?
When I started the first brand marketing consultancy in India, Samsika, in 1995, there was a gap in the market. There were companies who knew about how to produce good products and services, how to handle the financial aspects and how to harness various new technologies. But when it came to devising marketing strategies and branding, only a few large companies knew how to go about doing it. Having spent around 12 years in the industry, I knew this aspect was in fact a risk worth taking, that to develop a business that will consult companies for devising brands would be a lucrative opportunity. So the purpose was clear, to consult companies on how to develop brands through marketing strategies, through brands develop business, and through business develop profits that will ultimately give benefits to the consumer. This would indeed be a good future opportunity. The move paid off and I am happy we at Samsika, could predict this future of branding well.
Now to answer your question about the future value of repositioning in the next 15 years, I think, first we must understand the value of positioning. When you build brands, you do not build brands only in factories or service sectors. You build brands in the minds and hearts of the consumers. So, hence, it becomes extremely important to position plans in terms of what the core values are. If you have got it right the first time, there should be no future thought of repositioning it even for the next 100 years. However, it might sometimes happen that due to some environmental scenarios or changing markets, a company may have to redesign its positioning. Hence, if in the future, positioning is strong, then repositioning is also going to be equally strong and here to stay. However, this is an option that should be exercised very rarely and with caution. If you reposition too much in your future course of planning, then it means something has definitely gone wrong somewhere. So, with the advent of changing markets, repositioning has to be dealt with extreme caution and I would like to end this by saying, “Do not reposition just for the sake of doing it”
Q.2. Sir, we all know what an immense contribution you have had in companies developing brands for effective positioning. Can you tell us about a challenging assignment that Samsika undertook with respect to REPOSITIONING a certain brand? How was the experience?
One example I can quote here is of a normal school brand which was thought of originally in Juhu, Mumbai. I had to reposition it, and today it is considered to be one of the topmost IB schools. I am talking about Ecole Mondial World School which was built with a proposition of “Develop, nurture, grow.” It was particularly targeted to the segment, ‘Affluence with influence’. Today that repositioning has developed so successfully that the school houses students from 29 different nationalities there! Hence, this was a great challenge to build a school model on the lines of international level that has been highly successful. Then, there were different cinema houses in different localities of Mumbai which were called Cine Magic, Cine Planet, and Cine Wonder etc. I undertook the task of enveloping the entire cluster of cinema houses to one single name, Cinemax by now repositioning it as “Enjoy, Relax, at Cinemax.” Today it is the number 1 brand in Maharashtra and number 2 in India and developing very well. One more challenging assignment was that of a certain computer peripherals manufacturing company who called their different products by different names, like a keyboard was called i-key, a speaker was called i-sound etc. I repositioned the entire gamut of products into one mother brand, which was to be called i-ball, with a repositioning tag line: “Your eye ball view, our technology new.” From a 6 crore brand, i-ball company has developed itself into a 600 crore brand. The journey of repositioning is indeed very interesting. Now we have gone into the next level of repositioning wherein from a SBU 1 of computer peripherals by i-ball, we have shifted to SBU 2, a much segmented approach with i-ball mobile phones. This repositioning will add value to the brand, by being very specific with its role, by being able to target certain needs of the consumer. For fact, the company will manufacture water proof mobile phones with a naughty branding, “Every day is a dry day” and mobile phones for senior citizens, which exclusively do not feature currently in the market, with a branding, “Old is bold.” Thus there have been many good assignments coming our way and we have repositioned the brands in genuine ways. However, there was another challenging task wherein I advsised a client not to do repositioning. A client, who is now an extremely familiar name in the stock market, by name Motilal Oswal, consulted me as he wanted to change his name. However I went to the extent of taking a risk as to advising him not to reposition his name, with the reason that the name then carried a lot of ethnic credibility.
Q.3: In your view, what are the scenarios/environmental situations which make it imperative for companies to undertake repositioning? What aspects need to be kept in mind while devising a successful brand repositioning strategy?
As I mentioned earlier, it is imperative to know that a brand is getting repositioned in the minds and hearts of the consumers. Hence, you ought to know your core values very well. The first situation where it becomes imperative for the company to implement repositioning is if the company has got the positioning wrong in the first place. It is my advice then, to go back to the drawing board, and devise strategies have a complete re-look of the brand, including name, including positioning as well as in some cases, the product or the service itself. Sometimes it may also happen that you may have got most of the elements right, but the core value which you wanted to highlight, the positioning that you may have wanted to show to the world, may have got deviated from what you intended. This can be due to several environmental reasons or let’s say market scenarios. Till the time the positioning has started developing, the market may have changed. Another factor can be competitors. Yet another important situation that can arise is the change in the mindset of the consumers. An invalid reason for repositioning can be: repositioning when your product offering itself is wrong. Further, an aspect that a company needs to bear in mind is that if the positioning itself is strong, then repositioning is not required at all. A situation can hence be of a company repositioning because its positioning was not strong in the first place. Consider the image of Mahatma Gandhi. The positioning of the core value of non-violence in Mahatma Gandhi was so strong that even now after so many years, people associate non-violence with Gandhi and Gandhi with non-violence, to the extent that leaders, both old and new, like Martin Luther king and Barack Obama follow him. The image has not and cannot be repositioned. Such is the true value of the strength of positioning if it is meant to carry out the objective of longevity of the brand. Coming back to the valid reason of repositioning in view of the changing market scenarios, my brand mantra is “Markets do not decline. They shift.” And when they shift, you may have to shift your positioning to cater to the new market demands. The needs and aspirations of the consumer in the new market now, do not match with the proposition that you may have thought of for your brand. Here, repositioning is essential. Consider the example of KFC. KFC is simply Kentucky Fried Chicken. Now to cater to the demands of the Indian consumer, they have also introduced vegetarian food service which is in itself paradoxical to the name KFC. Hence, they had to reposition their view for only non-vegetarian food to vegetarian food for the Indian palate. Similarly, we can consider the example of Mac Donalds. Who would have thought they would reposition their brand to a service called “Mac Delivery” thus understanding that the Indian consumer is fond of being served. Again, with this strategy, there may not be quick results. Consider the film industry actor Pran, who had an outstanding positioning as a villain in the industry. Once he decided to reposition himself as a character actor, initially there might have been resent in the minds of the audience about viewing him in a different manner. But finally, he proved his core value of acting and was able to reposition successfully as a character actor.
Q.4 Sir, every expert today is talking about the new logo and brand strategy of Airtel. We would be very happy to know your views on it.
I think that the brand is clearly trying to move towards a larger audience. It is also directly linked with the participation in South Africa with respect to the acquisition of Zain. The new A.R. Rehman tune is also more African than Indian and the company is clearly looking to tap global markets. It is a completely different factor to be talking about the changed logo, but I think there has been a sensible rationale behind devising this strategy aimed at understanding the sensitive demands of the African consumer. Hence, they have come up with this idea of building an international logo that would encompass the needs of not only the African consumer but also the Indian consumer. Nevertheless, only time will tell how this strategy will work, which right now seems well thought out.
Q.5. How much advisable it is for Airtel to consider a repositioning strategy for an international market, at the expense of the Indian market? How would it be accepted in both the markets?
I think what they have done is not form separate strategies for separate continents but extend their repositioning to international markets. So, it is one brand strategy coupled with a repositioning strategy to encompass South African market in addition to the Indian market. Another important point is that of competition. Airtel’s closest competitor is Vodafone, which exists as “Vodafone” throughout the world as one brand with one positioning. Hence, it is imperative that if Airtel has decide to go global and compete with brands like Vodafone, it must do so by having one name, one brand, and one cultural feel and finally a universal positioning. Hence, it in fact a development to Airtel’s pre-cursor strategy of launching Airtel as “Airtel” in South Africa. I also feel we will have to wait another year or so to see how well it will be accepted both in India as well as in South Africa. If it is accepted well throughout in the coming year, I think they would have pulled off this campaign extremely successfully.
Q.6. Sir as we spoke at length about repositioning, a lot of aspects about the strategy surfaced. What do you think are the dangers of a brand repositioning strategy?
I think what is very important here to know for the company who is carrying out this strategy is what the prime objective of this strategy is. You must ask the question “Why am I doing this?” If you are doing it because your competitor is doing it, or you are repositioning your brand just because it is in fashion, or it is a craze, then I think it is very dangerous and not recommended. It is going to backfire very badly down the line. If you have got a good, sound positioning, then I don’t think you should reposition it in a hurry. As I mentioned before, one may think of implementing this strategy to counter a highly changing market scenario. There should be no other reason to otherwise implement such a strategy.
Q.7: How is brand repositioning different in B2B than in B2C?
There is no major difference. The only aspect that changes is the audience who receives it and perceives it. In a B2B case, it will be a business that would observe your repositioning. Throughout, the concept and process remains the same.
Q.8: Sir, nowadays, many companies look for brand repositioning as a strategy to keep the brand live and kicking. A recent example is Videocon. How far do you think is their strategy sustainable?
I think in the case of Videocon, the strategy is neither feasible nor sustainable. Many consumers like I myself, have a peculiar image of the Videocon washing machine in my mind that has got engraved in the mind so strongly that is difficult to change. It has its own ‘power of the brand’. Repositioning this to something extremely different and repositioning it so often will take away from the brand its core value. People one day might even forget what Videocon was! What is very important to consider here is that the core value should not change. You may think about expanding your market and extending your core value across varied markets, but you certainly cannot change your core value. Take for example, the case of Mr. Amitabh Bacchan. He may have switched from films to television to films and again, back to television. He has, in this manner, expanded his audience. However, he has made sure that his core value has not changed. He may have changed his aura from an “Angry young man” to an “Angry old man” but he stills delights his audience with the same dialogues, same style and indeed, the same core values, the very values with which he has become famous in all these years.
Q.9: Sir, as we have now reached to a level where we understand that the core value should not be changed, and again coming back to the Airtel example, do you think it was right to change its core value by changing the tune and the logo?
Here, I would like to clarify that Airtel has in no way, changed its core value. There is a very thin line between changing the core value and repositioning, (as in Videocon) versus keeping the core value same and making some cosmetic changes by way of brand repositioning (as in Airtel) by changing a few aspects like the logo, or the tune which is a part of execution. The core value for them is still the “cutting edge”. It is far bigger than changing a logo or a tune.
Q.10: Is there any current brand that you think needs repositioning at the earliest?
Oh! There are thousands of them! Again, here, we come to the fundamental concept. Most of these brands have not done well and are lying by the wayside, because they have not focused on their core value. Here again, repositioning is not going to help them come up. It is analogical to the body of a human which is mentally and physically ill. Just changing the name of that person won’t help him to get cured. Similarly changing the name/redesigning a brand that is ‘ill’ would not help it to come up. The company needs to change the value proposition first. Then it might think of undertaking repositioning as an extension to their brand revival plans.
Sir, it was indeed a very exciting and insightful interview. The way in which you intertwined examples to explain repositioning indeed made the interview very interesting. It is always a pleasure to hear from you, sir, the expert views on current marketing strategies. On behalf of the entire Marketing Club, we thank you for having spent your valuable time with us, and providing us such delightful insights! It is an honour for us to have your constant support. Thank you very much!!
-- Interviewers Tanmay Joshi and Pavan Wani
