The Internet & Mobile Association''s two-day ''digital
summit'', which ended yesterday, covered various issues
on online advertising and sales ranging from the role
of the internet in the Indian economy; issues and growth
opportunities of the broadband access, an analysis of
the retail power of the web and the growth prospects of
the "online marketplace", the prospects of the
online media in the traditional media mix, and growth
opportunities of mobile marketing.
marketing, which evolved in the US earns 50 per cent of
its revenue from online advertisements and sales. India,
in comparison, is yet to tap the opportunities available
on online advertising and marketing and marketers will
have to tap the youth market to promote online advertising.
This would require adequate broadband to help the online
advertising industry grow.
revenue earned from online advertisements in India is
less than one per cent," noted Preeti Desai, president,
IAMAI. "There is a classified market of 1,800 crore
here; we will just have to search it," Desai added.
ads are interactive, enable immediate feedback (through
reply e-mails, smses) and offer an opportunity for interaction.
Says, Rohit Mull, VP marketing, Tata AIG, "We have
to extend the benefits of online medium to the traditional
media. But at the same time, is there enough integration
between mobile and net plans?"
of digital products is the highest amongst youth. 61.2
per cent Indians are below 30 years and 50 per cent are
below 25 years. 22 per cent of the advertisement products
cater to the youth and 59 per cent of the advertisements
are youth oriented. According to Raj Gupta, president,
Insight, "We need to have media for youth and develop
a youth culture as the youth spends maximum time surfing
the net. Although, reaching the youth is 26 per cent more
on the need to integrate online with the traditional,
Gupta said that 70 per cent of TV viewers avoid ads. The
avoidance is less online and much lowers on mobile SMS,
web is penetrating the social and business fabric of our
lives," said Pearl Uppal, director, sales, Yahoo
India. "It has made brand management and brand engagement
possible. Also, sales conversions and people to people
interactions are easy to measure, " she added.
the glaring difference between online and traditional
media Raj Nayak, chief executive, NDTV Media Limited.
He pointed out that people find online media more complicated
"There is a lot of mystery behind the internet.
The herd mentality of on-line advertisers need to be changed,"
he said. Drawing comparison between ad revenues earned
by the traditional media and the online medium, he said,
"Though 3.8-crore people surf the net, online media
has been able to attract only 100 advertisers and generate
ad revue estimated at Rs120 crore. TV, on the other hand
has 5,000 advertisers."
mobile marketing really effective?
Marketing the online directly or via mobile phones is
the basic component of developing a personal relation
between the target groupand the brand. Prresiding over
this session, Sandy Agarwal, managing director, Asia Pacific,
Enpocket, and Krishna Durbha, head business and marketing,
VAS, Reliance Infocom Ltd, focused on the growing opportunity
of mobile marketing in India and how leading companies
across all sectors are adopting this medium that has the
lowest ad spends with a greater reach and better effectiveness.
Agarwal said that online marketing has the fastest growth
than any other medium.
suggested that users should be engaged by constant innovations
in the services. Product launches, advertorials, opinion
polls have gained tremendous response via these media,
How feasible is the digital media for marketers and how
responsive is the audience to ads displayed on the net,
or flashed through the SMS? One of the major challenges
to it according to Sudhir Nair, associate vice president,
Grey Interactive, is that the marketers and the advertisers
have set very high standards for themselves. "For
different categories, there are different benchmarks,"
Mathias, marketing director, Motorola, felt that the digital
medium should not be used as a build up to the traditional
medium. "As the reach of the digital media spreads,
marketers will have to wake up to the reality and invest
more on talent that will think online," he prophesied.
"People get bored seeing online ads," noted
Naren Chandra, head, marketing, international banking,
ICICI. One of the methods to keep a consumer hooked to
the product online was to constantly change the display
and content of the product advertised, he suggested.
CDMA, marketing head, Dinesh Sharma, opined that dealers
and distributors should be involved in the process. A
positive of using the digital media was driven home with
an example. Mr. Sharma informed, "A company can give
its potential customer a virtual experience of using the
product, before actually buying it."
need to encourage online research in India was highlighted
by Kedar Sohoni, director, Cross-tab, who pointed out
that 50 per cent of quantitative research in the US is
is Search so Hot?
Search engines are constantly making advances to understand
and deliver, credible and relevant matches to what the
user wants. Dr Ram Prasad, CTO, Yahoo! India said,
"Deep content with structure mining, efficient updates,
social networking and a through understanding of the user
behavior, will aid in overcoming the challenges."
allows a company to locate its customer An estimated 1.1-billion
people search information on the net every month. "Search
provides best ROI on media, spent across a number of categories,
because it is performance based. A customer decides how
much he wants to pay for the product and also the cost
conversion is better than banner conversion here."
Ratish Nair, COO, Mediaturf.com , pointed out,
India has emerged a global centre for search after the
US and the UK.
of the Echo Generation
Generation next will determine the future of the online
market in India. It is these young men and women who surf
the net regularly, flash swanky mobile phones and are
more knowledgeable about the use of these gadgets and
their applications then what their parents know. The challenge
faced by online marketers is to invite and retain the
young customers; offering them a bouquet of options to
Srivastava, CEO, GroupM, South Asia, said "With the
evolution of multi channels, concept stores are designed
in such a manner so as to invite consumers to have a virtual
experience of the product they are buy and then shop online."
young are well connected, well aware and because of inter
connectivity is relatively influenced by its community
and society. The youth is a part of the social fabric
and has to be dealth with delicately and carefully. The
new generation is connected in a different way-by-way
of wireless and broadband. "The youth will control
and determine what it wants and it should be hot, happening
and big," said Srivastava.
strategies for customer acquisition
Online experience, value proposition, delivery and retention
are significant roles for customer acquisition. Follow-ups
on applications, quick services, infrastructure to meet
the requirements of the growing demands of the industry,
information, innovative technology and quick delivery
of the products ordered on line, are the key areas to
acquire customer confidence. The synopsis of the session
also included making a customer feel like a king.
Roongta, Founder and CEO ,Apnaloan.com said, "Online
companies should be able to offer a customer delight programme.
A customer should be kept informed of the status of his
deal or application."
have to arouse the interest of the customer and hand hold
new users. A customer should have easy navigability and
the companies should
offer address security concerns. The basic of any transaction
is to keep things simple," added Sharat Dhall, business
head, e-commerce, Times Internet Ltd.
Anaggh Desai, CEO, D''damas Jewellery (I) Pvt. Ltd. focused
on the need to offer a feel good product to the customers.