ADVERTISING TOPIC: INTERNET ADVERTISING

CASE TITLE: CHAI PE CHARCHA (BJP PROMOTIONAL CAMPAIGN)

PREPARED BY:

ABHIJEET VERMA

FEBRUARY 24, 2014

PGP-CEM Entrepreneurship Development Centre, XLRI

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Online advertising, also called Internet advertising, uses the Internet to

deliver promotional marketing messages to consumers. It includes email marketing, search

engine marketing, social media marketing, many types of display advertising (including web

banner advertising), and mobile advertising.

The evolution of this form of communication

In the beginning of targeted online advertising, there were banner ads. However, they were a

failure as simply providing content didn't seem to work. The next evolution was keyword

advertising. Companies could bid on a per-click basis for certain key terms, which sent valuable

traffic to its website.

Google then took a similar idea a step further and came up with AdSense owners of websites

could sign up to have the ads placed on their sites. Next major step came in the form of Cookies,

which are little packets of information that record your visit. When you return to a website, it can

help if it remembers your last visit and you can pick up where you left off. The stage we are in at

present in the stage of evolution is technology that would scour through the cookies.

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Who are the users of this form of communication? Any profile of the marketers or firms

using this form of communication.

Internet advertising is inevitable and having an online presence is no more an option, but a

necessity. On continuum users include companies dealing in FMCG products at one end and capital goods at the other. However, the usage may vary due to the nature of the product or service on offer.

An example could be jewelry, whose presence is relatively limited as nature is such mere visuals are not enough. One needs to have a better look regarding quality (cut, clarity and color) and

other factors before the purchase.

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Industry wise Internet Advertising Spend ( FY 2012- 2013) ( in %) Industry Size Rs. 2012-2013

Automobiles BFSI

Consumer Durable E-Commerce Players

Education Electronic Media

FMCG IT

Online Publishers Telecom

Travel Print Media

Others

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The other factor which also affects the share of companies in online marketing is whether they are dealing in impulse or considered purchase. Products or service belonging to impulse purchase

category would be having a greater share in online marketing in comparison to considered purchase.

Why this form of communication is employed?

For a long time marketers had the option of either print or electronic media for advertising. They are having their own means of measuring effectiveness and corresponding drawbacks. Some of

the examples of the matrices for measuring print and electronic media are:

1. Target Rating Points (TRPs) - Equals Gross Rating (Reach X Frequency) Points times the ratio

of the specifically targeted audience to the total audience.

2. Impressions- Equals the number of exposures of an ad or commercial to the people or

households in your audience.

3. Cost per Thousand (CPM) - It is the cost to reach 1,000 people or households.

4. Cost per Point (CPP) - It is the cost to reach one percent of the audience.

Question needs to be answered as to whether they are worth the money. How efficient are they in

their measure in terms of reach, ROI and other measures. Internet advertising helps to overcome this inherent drawback as it is quantifiable. Being quantifiable is also one of the biggest

advantages of online advertising.

Less presence

Greater presence

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Other advantage of online marketing would be backing of technology which takes being efficient to the next level. Online advertising lets advertisers more accurately segment their audience and

interact with users. There are six main types of targeting.

Online advertising lets advertisers more accurately segment their audience and interact with users. Exclusive to online marketing is Behavioral and Retargeting.

Behavioral targeting increases campaign performance, and impacts conversion indicators. Behavioral targeting has become far more widespread these past few years and is used in

advertising campaigns to reach out to the right audience. By examining the browsing behavior of internet users, profiles can be established for which display advertisements can then be designed

in accordance with the internet users’ interests or purchasing habits.

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Retargeting involves advertising to internet users based on previous internet actions that did not result in a conversion (consulting a product, abandoning a purchase, visiting a website). Online

retailers are the most apt to use this targeting technique as are advertisers faced with performance challenges such as the need to boost conversion rates or online sales. Retargeting is effective

since it reminds prospective customers of the advertiser, especially for products with longer purchase cycles (tourism, automobile, large purchases).

Extending the advertising reach- Increasing the portion of online advertising in the media mix can be a way of reaching a broader population for the same budget.

Impact on the brand- Numerous studies have proved and corroborated the results that combining internet and TV advertising, for the same budget, optimizes the impact on the brand.

Display advertising boosts online searches related to the brand- Online advertising exposure stimulates online searches. Studies have demonstrated the intrinsically complementary nature of

display advertising and search. Advertisers should identify and assess this impact, so as not to underestimate the benefit of traffic generated by display advertising on search.

Display advertising promotes site engagement- Display advertising also has an impact on internet users’ behavior on the advertiser’s website, in terms of the time spent and number of

pages viewed.

Driving synergies

Online advertising has become essential to their purchases- Consumers rely increasingly on the internet as a source of information and a medium for preparing their purchases, presenting 3% more than in 200943. Internet users primarily seek reliable information by checking descriptions

of the product they wish to buy (66%), consumer reports (63%) or other websites such as those allowing consumers to compare prices (55%). In this context, t online advertising plays a key role in the purchasing process. As the internet becomes more widely used for preparing

purchases, online advertising is proving to be an effective means for driving brand awareness and guiding consumers.

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Increases sales made through Brick and Mortar network- Several international studies have

shown the impact of online advertising on physical sales. Internet users that have been exposed to online advertising are more inclined to purchase products in stores. These results highlight the

advantage for advertisers of stepping up their investments in online marketing in order to boost the effectiveness of their traditional sales channels.

Chai Pe Charcha

Chai Pe Charcha is a mega outreach programme for BJP’s Prime Ministerial Candidate Narendra

Modi, conceptualized and executed by Indian Citizens for Accountable Governance (CAG). A unique platform devised to discuss and highlight local issues with senior leaders from BJP and Narendra Modi over a cup of tea. The theme for the first edition of Chai Pe Charcha was Good

Governance.

This will be done through a video-broadcast “discussion over tea” with voters in 1,000 locations from 27 states. The discussion will be spread over 10 rounds.

Narendra Modi has started this campaign on February 15.

PROCESS

• Survey of a panel of consumers to measure the impact of advertising on sales by comparing the purchasing behaviors of those that have not been exposed to the online advertising

TARGET DELIVERABLES

• Increase in purchases by those exposed to the online advertising.

• Exposure to online advertising impacts the amount and type of purchases.

COMMENT

•Measuring the impact of advertising on offline sales requires the involvement of market research institutes in order to collect and analyse data. These analyses are carried out annualy or for major campaigns and generally cover several media.

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The massive campaign would be divided into three parts, namely share, ask, suggest. This programme is held between 6-8 pm starting February 12. The BJP also plans to use DTH,

satellite, internet, mobile phone and social media to boost the programme.

Objectives

conversation over issues which are relevant to them.

used in devising personalized election manifestos.

who would propel positivism through word of mouth for Narendra Modi and BJP prior to the General Elections due in May

Integration of various forms of social media to create a buzz.

To get the pulse of the public and make the campaign participatory in nature. This

will help to make the campaign much more effective and drive greater involvement.

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Execution

Chai pe charcha has tried to derive synergy by combining electronic media, internet, and social media with other forms of media which complements with each other and gives an impetus to the

campaign. The impetus is derived through use of holistic channels of media and reaching out to the maximum number of people at a single point of time through effectively synchronizing different channels of communication available.

Citizens for Accountable Governance started the Facebook Page for Chai Pe Charcha on January 21st

Out of home media advertisement was used in-order to create awareness about the campaign and

as a part of the integrated marketing campaign. Although BJP was using internet as the prime

medium for communication, they had put up banners and hoarding to create a buzz about this

campaign. This ensured that the message was put across different touch points and reached out to

people who might not be exposed to social media.

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The event was streamed live on the YouTube channel for about three hours and the same was

telecast on Videcon D2H Channel for television viewers. The Campaign integrated a mix of digital

technologies (DTH, Satellite, Campaign Microsite, Mobile, Whatsapp, Youtube, Twitter and

Facebook) to ensure maximum reach and participation.

The video went viral within a short span of time with over 20,000 views in one day, people really

liked the music and the lyrics of the Chai pe Charcha song. Cashing in on the popularity, the song was

available for download as a ringtone the next day itself.

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On the 6th of Feb 2014, the microsite for Chai Pe Charcha was hosted on the sub domain of Indian

CAG’s website with web based apps on the website as well as on the Facebook page. The web based

apps which were also hosted on the Facebook page offered three features i.e. Share, Ask and

Suggest. Share the content of Good Governance in your online and offline networks, ask your

questions regarding Good Governance to Narendra Modi and Suggest solutions for Good

Governance, stand a chance to win an opportunity for interacting with Narendra Modi via video

conferencing.

With Twitter the campaign received 35 thousand tweets in 24 hours- which is surprisingly strange

and shocking.

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Outcomes

The seamless integration of digital technologies with a strong offline connect and live discussions on issues relevant to the target audiences over a cup of tea was absolutely flawless in terms of reach and participation. The perfect blend of tea and technology made it one of India’s biggest digital on-ground activation in recent times. The concept for Chai Pe Charcha was phenomenal and path breaking as it served as a catalyst to expand Modi’s reach to the masses both online as well as offline. The stage was set for him to express his views and opinions over issues raised by the general public, thus strengthening his connect with the masses which might help him score BIG in the upcoming General Assembly elections. In terms of digital strategy, the timing for the campaign was spot on. Brand Modi has reached a stage wherein he has over 1 Crore followers on Facebook, 33 Lakhs on Twitter, making him the most mentioned politician on social media in India today and this is the ideal time for him to engage with the masses and convert them into brand advocates and loyalists. The campaign in itself was impeccable and quite successful in leveraging on the humble origins of Narendra Modi, the controversial remark and his huge fan following across various online mediums.