Leveraging New-Age Media in Business Development
Chandrasekaran V1,
Sasikala K2 and Hussain Ali M3
1.
Media Strategist,
Bangalore 2 &3. Statistician, Bangalore
Business development is the
creation of sustainable long-term value for an organization from customers,
markets, and relationships. This is more common and necessary in start-ups; the
role of business development evolves as a company evolves, from early stage to
being a recognized organization. The common link that connects while focusing
on seizing growth opportunities and creating value that persists for the long
term is using right communication channels should be affordable, effective and
cost efficient for any entrepreneur. Such channels act as the delivery vehicle
and the traditional practices have been costlier, declining audience, less
interactive, mass target and delayed response. The new age media has changed
everything based on how people communicate, learn and behave. The mass adoption
of such technologies is creating a distinguished wave and becoming a part of
the way people live, buy and sell. These channels enables to share customized
content without substantial cost, get real time feedback, extend content across
interlinked channels, enable many-to-many communications, etc. Though the
traditional approaches cannot be ruled out, entrepreneurs can achieve the
competitive advantage in choosing the right combination of such channels by
developing and implementing a communication strategy ahead of the curve. This
paper attempts to explore this new phenomenon and general way to deal with.
Introduction
The role of media in the growth of any
start-up business is essential in current scenario across the globe. The
conventional medium of creating awareness of any new product / company is
becoming a challenging task due to the availability of vast option for
promotions and same results in risk of getting lost in the clutter. The
existence of giant players across the medium will put the new entrants/small
timers in shadow. Making wise choice of
marketing communication required the expertise / intelligence / lot of research
in narrowing the available vehicles for communication. The expertise and
expenditure involved in conventional medium will be huge for a start-up. For
example the production of TV commercial, celebrity tie-up, creative done for
print etc., will cost you huge for every language, region, country,
continent etc., The promotional cost involved in the advertising industry alone
crosses Rs.51,365/- crores in India
(projected by Pitch Madison Report – 2016).
The below table gives us the medium-wise
consumption and projection for upcoming year:
|
INDIAN
ADVERTISING MARKET 2015 - 16
|
|||
|
Medium
|
2015
|
2016
(P)
|
Growth
(%)
|
|
TV
|
17261
|
20713
|
20.00%
|
|
Print
|
16935
|
18629
|
10.00%
|
|
Radio
|
1545
|
1823
|
18.00%
|
|
Outdoor
|
2665
|
3010
|
12.90%
|
|
Digital
|
5120
|
6656
|
30.00%
|
|
Cinema
|
465
|
535
|
15.10%
|
|
Total
|
43991
|
51365
|
16.80%
|
The above spends done across India by
the existing advertisers, which was led by Hindustan Unilever (Rs.2500/- Crs
per annum) followed by Amazon (Rs. 900 to 1000/- Crs per annum), Procter &
Gamble (Rs.700/- Crs per annum). The same is divided by language, medium,
territory etc,. The above is clearly showing the marketing / promotional budgets
involved in this country, which the start-ups can’t imagine during the
incubation or developing stage.
There are approximately 600+ Television
channels (cable operators channels excluded) in India and as per the data
available with the Government, a total of 1,05,443 newspapers/periodicals are
registered with the Registrar of Newspapers for India (RNI) as on 31st March,
2015. As on date, a total of 7762 publications are empanelled with Directorate
of Advertising and Visual Publicity (DAVP), Government of India. Many more such
publications are empanelled with the Information & Public Relations (I
& PR) department of various State Governments (DIPR). For instance, more
than 200 such small publications are empanelled with the Government of Andhra
Pradesh likewise in all the states there will be many more empanelled
publications will exist. There are 400+ radio stations (FM/AIR/Community
Radios) across India, the above mentioned details clearly explains the scenario
of toughness in promoting through conventional media. The selection of the
vehicles for the promotion becomes a huge task in the foresaid situation and
the investment will be huge for the visibility campaigns to hit hard the target
group (or the investment for a start-up is unrealistic).
Though the start-ups wish to invest on
those conventional medium the risk is high: losing the monies or not catering
to the right audience or investors. It’s better to avoid high risk during the
evolving period for the start-ups. The balance sheet of the subsequent years
matters a lot in approaching the investors, so the expenditure and revenue
(Profit & Loss) should be taken at most care during the incubation period. Then,
how to go about the basic necessity in getting the resources, potential
buyers/investors, promotional activity (with or without minimum investment). Connecting
with consumers is costly? Yes, through conventional medium. Is there any way
out to get the basic things right from the beginning? the answer is yes!
Certainly we can get all those required by using the new-age media in smart
way.
The recent growth of mobile and internet
across the globe is immense and the same reflects in Indian market. India is
No.2 in mobile internet usage across the globe (China is No.1) followed by
United States. India’s mobile-internet usage has grown up by 7400% (2000 to
2015), the growth of this medium is rapid compared to others (even other
mediums too). The new age media has changed everything based on how people
communicate, learn and behave, the mass adoption and the usability turned the
complete marketing aspect to different level. In many foreign countries the
usage of newspapers declined tremendously due to the digital news availability.
People doesn’t want to be outdated with delayed news, they expect news
instantaneously which resulted in decline of daily newspapers, whereas in India
newspaper industry is growing and expected to grow by 10% in revenue next year.
TOP 20 COUNTRIES WITH THE HIGHEST NUMBER OF
INTERNET USERS
|
|||||||
|
#
|
Country or Region
|
Population,
2015 Est |
Internet Users
Year 2000 |
Internet Users
30 Nov 2015 |
Penetration
(% Population) |
% Growth
2000 - 2015 |
|
|
1
|
1,361,512,535
|
22,500,000
|
674,000,000
|
49.5 %
|
2,895.6 %
|
||
|
2
|
1,251,695,584
|
5,000,000
|
375,000,000
|
30.0 %
|
7,400.0 %
|
||
|
3
|
321,368,864
|
95,354,000
|
280,742,532
|
87.4 %
|
194.4 %
|
||
|
4
|
204,259,812
|
5,000,000
|
117,653,652
|
57.6 %
|
2,253.1 %
|
||
|
5
|
126,919,659
|
47,080,000
|
114,963,827
|
90.6 %
|
144.2 %
|
||
|
6
|
146,267,288
|
3,100,000
|
103,147,691
|
70.5 %
|
3,227.3 %
|
||
|
7
|
181,562,056
|
200,000
|
92,699,924
|
51.1 %
|
46,250.0 %
|
||
|
8
|
255,993,674
|
2,000,000
|
78,000,000
|
30.5 %
|
3,800.0 %
|
||
|
9
|
81,174,000
|
24,000,000
|
71,727,551
|
88.4 %
|
198.9 %
|
||
|
10
|
121,736,809
|
2,712,400
|
60,000,000
|
49.3 %
|
2,112.1 %
|
||
|
11
|
64,767,115
|
15,400,000
|
59,333,154
|
91.6 %
|
285.3 %
|
||
|
12
|
66,132,169
|
8,500,000
|
55,429,382
|
83.8 %
|
552.1 %
|
||
|
13
|
168,957,745
|
100,000
|
53,941,000
|
31.9 %
|
53,841.0 %
|
||
|
14
|
88,487,396
|
450,000
|
48,300,000
|
54.6 %
|
10,633.3 %
|
||
|
15
|
94,348,835
|
200,000
|
47,300,000
|
50.1 %
|
23,550.0 %
|
||
|
16
|
109,615,913
|
2,000,000
|
47,134,843
|
43.0 %
|
2,256.7 %
|
||
|
17
|
81,824,270
|
250,000
|
46,800,000
|
57.2 %
|
18,620.0 %
|
||
|
18
|
77,695,904
|
2,000,000
|
46,282,850
|
59.6 %
|
2,214.1 %
|
||
|
19
|
49,115,196
|
19,040,000
|
45,314,248
|
92.3 %
|
138.0 %
|
||
|
20
|
67,976,405
|
2,300,000
|
38,000,000
|
55.9 %
|
1,552.2 %
|
||
|
TOP 20 Countries
|
4,921,411,229
|
257,186,400
|
2,455,770,654
|
49.9 %
|
854.9 %
|
||
|
Rest of the World
|
2,338,491,014
|
103,799,092
|
910,490,502
|
38.9 %
|
777.2 %
|
||
|
7,259,902,243
|
360,985,492
|
3,366,261,156
|
46.4 %
|
832.5 %
|
|||
|
NOTES: (1) Top 20 Internet User Statistics were updated for November
30, 2015. (2) Additional data for individual countries and regions may be
found by clicking each country name. (3) The most recent user information
comes from data published byNielsen Online, International
Telecommunications Union, Official country reports, and other trustworthy
research sources. (4) Data from this site may be cited, giving the due credit
and establishing an active link back to www.internetworldstats.com.
Copyright © 2016, Miniwatts Marketing Group. All rights reserved worldwide. |
|||||||
The ease of being connected with the
peers, professionals, colleagues etc., on the go made it possible for the
mobile growth in India/globe. The flexibility of getting connected at anytime
anywhere influenced the consumer and changed their purchase pattern in their
day to day life. The instant review/feedbacks from the peers on any product is
possible or can be surfed through internet which gives the instant solution in
purchasing decisions which is lacking in other mediums. The mobile/digital
marketing provides the solution for the start-ups to get customized target
audience with minimum spill over at affordable cost. The conversion ratio of
the new-age marketing is high compared to any other medium at present scenario
due to its reach ability to the customized audience group. The platform gives
an better solution for many organizational requirement like skilled resources
(linkedin), getting connected with like-minded communities (whatsapp, twitter, facebook),
posting profile videos (youtube / whatsapp / facebook) for promotional
activities with minimum cost or no cost across the world. This allows the users
to share their opinion on anything and everything in their own language/mode.
In such medium the consumers become carriers for both positive/negative depending
on the products quality / experience.
Conclusion:
This
new-age media got an emotional connect and hits hard to the target group without
spill-over or minimum spill over, but ROI is ensured in this medium for the
given monies.
Choices
are in finger tips! To get swap or sweep! Business requirements are moving to
clouds! Get along with the clouds or you will become passing cloud or passed
cloud! Be wise in your choice to move ahead in developing your business along
with the new-age media (digital marketing).
Reference:
Pitch
Madison Report – 2016.
Neilson
Group
Miniwatts
Marketing Group
