Indian brands create consumer conversation using Twitter

A new report shows that Indian brands are gradually turning to Twitter to create business focused conversations with their customer base.

The study by web strategy and digital marketing company Iffort looks at 66 companies across 9 business verticals analysing the purposes for which they use the micro-blogging site.

India makes top ten of Twitter users

For context, India now ranks 10th in the list of Twitter users by country - totaling 1.27% of all users.

Tweets were monitored randomly during the working week between November 2008 and February 2010. To be considered brands had to have a minimum of 100 followers, an activity period of at least 1 month and at least 50 tweets.

Moving from broadcast to conversation

While brand "broadcasts" - steady streams of news - are widespread, Iffort found more brands than expected are using the tool to create conversation for the purposes of customer service.

Headline findings

• Most active account - MSN India (38,857 tweets)
• Most followed brand- MTV India (56,560 followers)
• Most conversational brand - ICICI Bank (98.32 % tweets)
• Most Re-tweeted brand - Tatadocomo (31% tweets)
• Oldest brand - Bookmyshow.com (active since October 2007)
• Top Inactive Brands - Acer India (inactive since November 2009) and Apollo Hospitals (inactive since July 2009)

Best practice on Twitter

Iffort single out a number of brands for praise. Dell India and ICICI Bank are highlighted for customer service. Nokia India and Colors TV use the micro-blogging site effectively for brand promotion. Café Coffee Day have successfully created an online community using Twitter and Infosys provide useful company and industry updates.

Future success

While Twitter penetration will inevitably increase across business sectors, Iffort conclude that to truly engage consumers, brands must present a human and emotional dimension within their content.

Iffort also expects usage to evolve further. More companies are likely to use Twitter to conduct market research, track trends and comments about their own brand and competitor activity.

You can follow Iffort here.

March 16, 2010 1 comment

Just 7 Indian brands make the Global top 500 in 2010

The Brand Finance Global 500 report features just seven Indian brands. Despite India Inc's growth domestic brands are failing to make an impact on the global stage.

The top 500 most valuable brands in the world have grown in value by 26% to US$ 2,873 billion. The US continues to dominate the table, with 7 of the top ten, by comparison India provides just 7 of the 500, three of whom are new entrants.

India's strongest brands

Tata and Reliance are India's most valuable brands. Tata is valued at US$ 11.2 billion, up on US$ 9.9 billion in 2009. Reliance is worth US$ 7.2 billion (US$ 6.6 billion in 2009). While value has increased, each brand slips in the rankings, Tata fell to 64 from 51, Reliance fell to 107 from 93.

Airtel's value was up slightly to US$ 3.1 billion, yet similarly, its ranking plunged to 288, from 215 last year.

Indian winner

State Bank of India is India's big winner jumping to 186 (from 344), it's brand value reaching US$ 4.5 billion. In addition, Bharat Petroleum, Infosys and ICICI Bank make the list for the first time.

Emerging market comparison

India trails its BRIC contemporaries. China has 18 brands represented, including 7 new entrants, Brazil 9 (4 new entrants) and Russia 8 (3 new entrants).

Brand building versus acquisition

India Inc's recent acquisitions - Tetley Tea, Jaguar, Land Rover, Corus, Whyte & Mackay - prove that the value of brand (at least at the right price) is understood. But considering India's buoyant corporate environment and headline making economy, the countries brands are struggling to make their presence felt outside of India.

Domestic market focus, for now

India's brands are inward looking. Considering the potential of the domestic market it is understandable as Indian companies attempt to exploit domestic market opportunities. The danger is that India's brands become captive within their own cost-conscious market and uncompetitive on the global stage.

Once the domestic market matures and becomes more competitive, India's brand owners will be lured on to the international stage in greater numbers. At this point understanding the value of intangible assets will become paramount.

February 20, 2010 Add a comment

Indian cities make BPO 'locations to watch' list

Already a market leader in Business Process Outsourcing (BPO), India appears able to retain its competitive edge in the face of increased global competition. Recent findings highlight three cities ready for for future growth.

New KPMG research, "Exploring Global Frontiers - The New Emerging Destinations" identifies 31 global locations emerging as new Business Process Outsourcing (BPO) centers.

With likes of Bangalore and Chennai etc already established, findings show India outsourcing has longevity.

India's competitive edge

With 3 cities on the list - Ahmedabad, Jaipur and Nagpur - India BPO looks like it will retain a competitive edge at a time when financial pressures and multinational cost cutting is set to shake up the sector.

"Future 3"

The 3 highlighted cities share a number of characteristics, a large pool of qualified human resource, high quality education institutes, good or improving English language proficiency and local government incentives and investment.

India Inc outsourcing

But bottom line is India is cheap. In 2005 PwC published "The Evolution of BPO in India", in which they concluded, average annual cost of an Indian call center worker was US$ 7,500, compared with the States, US$ 19,000 and Australia, US$ 17,000. In addition a young population and a track record in matured cities increases pull.

India's current status as world leader - India has 35% market share of a US$ 37 billion industry and 80% of the worlds largest 500 companies outsource to India - is evidenced by the fact that a 54 member African delegation currently visit India to see Reliance BPO facilities, Indian School of Business and Infosys headquarters to understand how to build skills and create BPO competitiveness.

Future growth

Research by lobby group Nasscom and consultants Everest illustrates importance of India BPO growth. By 2012 they expect the sector to be worth US$ 50 billion, employing 2 million people (up on current labor force of 700,000).

While India sits in poll position, government and the sector must remember the 28 other cities from Belfast to Buenos Aires vying for global business. Each are investing in infrastructure to create attractive business environments, the report proves there is no place for complacency.

February 22, 2009 Add a comment