personal loss of interest or perceived value in a brand.
When brand fatigue sets in
creativity suffers and so does the sales.
Some companies get bored with
their own brands. You can see this happening to products which have been on the shelves for many years.
Today, I am presenting the typical
case study of Onida televisions.
ONIDA EARLY STORY
Onida, a leading television brand, is still
well known for its brand mascot - The Onida Devil and its punch line Neighbors Envy, Owners Pride. In the 1980s when owning a television set was considered a luxury, Onida launched its advertising campaign on the platform of envy, to promote its television range. A greenhorned devil with a long pointed tail was the spokesperson in all its ad campaigns till the 1990s. The Devil helped Onida gain substantial market share and brand recall among the customers and become one of the top three television brands in the country. In 1998, Mirc Electronics (the owner of Onida brand) decided to abandon the Onida Devil in its communication campaigns as they felt that the brand mascot no longer appealed to the Indian consumer. A classic case of brand fatigue..
er over a decade now the brand is suffering.
Onida withdrew the mascot citing the same at they have given now. The explanation give that Indian consumers no longer find Devil, w Envy, relevant. So they scrapped the famous ghbor's Envy, Owners Pride together wit ever since it changed the tagline and mascot, er found a powerful positioning . ars of drifting around, Onida brought back the much fanfare in 2004. Media and brand enthu the move and eagerly awaited the Devil in a odern avatar. But the comeback was damp brand suffered heavily due to ownership issue company. There was no brand promotion or ct launches worth talking about since 2004. re were launches, promotions were not suffici
Why Onida as a Brand is Ailing?
Internal management Problems: One of the main reasons for this is the fight between the brothers : Gulu and Sonu Mirchandani and their brother -in- law Vijay Mansukhani over the control of the Onida group. The fight has severely eroded the share of the brand and even the marketing of Onida. Onida was staging a recovery after the successful relaunch of the brand and the return of the Devil. But the family feud has made things difficult for the brand. Frequent change in Advertising: What is interesting about Onida is the branding. The creative duty of the brand has partly moved from one marketing agency to another i.e. from Rediffusion to McCann Erickson. But as usual, when the agency changes, the entire brand elements changes. For Onida, the change till now unfortunately is always for the worse. When O&M took the brand from Avenues, the famous tagline Neighbors Envy, Owners Pride and the Devil was taken off. The brand suffered for almost 10 years and has never recovered since .
The change of agency from O&M to
Reinfusion again changed things and Devil returned in a new avatar and a new tagline Nothing but the truth has now come into existence. The new arrangement is not making things better. In 2007, Onida launched a new campaign for its A/C and with a new tagline It can change your life. Now the new campaign for the air conditioner features a new Devil and the tagline has again changed to Experience the desire. Onida which already is in deep trouble is moving on to further confusion with an unnecessary change in the positioning strategy. The brand has not been able to consolidate the earlier theme based on Truth. Even before establishing it, the brand has repositioned again.
THE FOLLOWING FACTORS HAVE DILUTED ONIDAS BRAND
EQUITY:
Onida is proving to be a case
study about How to Mess up a wonderful brand .As a marketer, the ownership of the brand should be with the Company and not the agency. But what is seen is that the brand managers outsource the strategy to the ad- agency. Things are consistent till the agency handles the account. But when the agency moves on, the new agency resist continuing the existing strategy since it was crafted by the competitor. So whatever be
Comparison with competitors :Market characteristics
The consumer goods market in India is of USD 4.87 Billion. Around 45 companies cater to this market. Onida is having a very small share of this market. In the Indian market space, Brand loyalty is giving way to value-for-price contest. There is an intense competition on price. The companies are Companies focusing on product differentiation, value added offerings and exchange offers. The MNCs like LG, Sony, Samsung, Phillips and Videocon command a high market share.These brands score high on following factors:
Onida is now in one of the most difficult times. The
brand needs to come out with a product that will change the game. Changing the mascot is secondary at this point of time. Marketing Mix: Onida is facing a marketing problem along with branding problem. Everything is fine with the brand. People recognize the brand. The issue is on a larger perspective. It needs to concentrate on its entire marketing mix not just the brand elements. Onida needs to convince the consumers that its products are better designed and technologically superior. It is about managing perception .Features can be copied by competitors easily but changing perception is a difficult task.