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What has been the most interesting sales promotion you have engineered so far?
Given our target group, farmers, it is important for us to find interesting ways to engage with them. Look at the way we deliver our premium tractor brand Arjun International (priced at Rs 17 lakh): gift wrapped, accompanied by traditional dancers, creating a proud, celebratory moment for the family. Or even the time we opted for aerial branding for the the launch of Arjun Ultra -1 DLX in 2010. An aircraft was flown over small towns and villages of Punjab carrying the brand message on a banner. It is a matter of pride for the farmer to see the brand he owns up in the skies. Even the Mahindra Tractor Mahotsav, which we hold every year, is like a mela where farmers come, interact with our teams, test drive the tractors in the driving area, discuss servicing-related issues and so on.
In keeping with this approach, we designed the 'Mileage Se Music Tak' promotion for the Uttar Pradesh (UP) market in 2010 to drive home the product proposition of Mahindra's MKM (Mileage ka Master or fuel efficient) engines. The districts of Allahabad, Aligarh, Bareilly, Agra, Kanpur and Jhansi were covered through this campaign.
The idea was to host interactive on-ground events (hosted by partner Big Live's rural division) such as taking the tractor (with a mobile studio mounted on a trolley pulled by a Mahindra tractor) to high footfall areas and giving farmers a first-hand experience of the product. The agency had various interactive events on this trolley to attract customers. Alongside these interactions, the villagers could also request for a song on the radio station Big FM.
The on-ground activation was accompanied by on-air amplification of the campaign such as the airing of interactions with the farmers, their song requests on Saturdays and Sundays between 6:00 pm and 7:00 pm.
Who did you target: new or existing customers or both?
The initiative was undertaken to engage with the younger consumer. While he may not be the actual buyer, he certainly can influence the purchase decision led by the father or an uncle. We also realised that this new-age young farmer is quite different from urban youth, has different preferences and consumes the audio visual media quite differently. Several of these young guys would actually buy the chips that can be inserted in the mobile handset and watch movies.
What kind of promotion was it? How was it designed?
We were attempting to bring alive a day in the farmer's life through this engagement. The tractor moved through these districts over a period of six weeks (May-end to mid-July). Around two-three villages were covered every day and by the end of the promotion around 125 villages were covered.
In every village, after the interactions the local dealer created a database. Personal details, information about landholding size, current tractor owned, owner's details (if different from the person sharing the data) etc were noted. The dealers then spoke to these 'prospects' about the kind of savings they would have if they booked the tractor in a month's time. Finance offers, giving benefits either in terms of interest or loan repayment duration were extended. To give an example, normally loans for tractors are repaid over a period of five years with quarterly or half-yearly repayments. We offered incentives like zero per cent interest if the loan is repaid in two years.
Apart from the core target group interactions, there was always the crowd of hangers-on that witnessed the proceedings. To be acknowledged in front of his villagers, to be heard on the radio is a matter of pride for the farmer. For instance, when we deliver the Arjun International with a troupe of traditional dancers, the entire village is present and witnesses the delivery. The campaign captured this ethos well.
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'Mileage Se Music Tak'
From the horse’s mouth
Aim
The promotion was designed for the Uttar Pradesh market to drive the product proposition of Mahindra’s MKM (Mileage ka Master or fuel-efficient) engines
Target
New age young farmers who can influence the purchase decision led by fathers or uncles
Plan
The idea was to host interactive on-ground events like taking the tractor to high footfall areas and giving farmers a first-hand experience of the product
Outcome
Customers interacted with across the 45-day period: 1,125; inquiries generated/hot leads: 450; tractor deliveries: 40 (for orders placed within the month)
What were the challenges?
Reaching every nook and corner of rural India is a challenge. But we overcame this challenge and successfully executed the campaign through seamless planning.
Who partnered you in it?
Big Live and its radio channel in UP partnered with us in this campaign. It worked quite well for both of us as this activation was done at a time when BIG FM was looking at penetrating the Hindi heartland.
What was its direct and measurable impact on the brand and its sales?
Campaigns like this are measured on two counts: the number of inquiries or the hot new prospects generated and the actual deliveries made. For us, the numbers looked like this: customers interacted with across the 45-day period: 1,125; inquiries generated/hot leads: 450; tractor deliveries: 40 (for orders placed within the month). While looking at the numbers one must remember that unlike fast moving consumer goods, these products come with a price tag of Rs 5.5-6 lakh and are bought by a customer with a largely season-based income.
Don't sales promotions incur high long-term costs for the company?
Sales promotions are mostly carried out when the market is sluggish and the consumer is hesitant to come out and make a purchase. A well executed sales promotion pays for itself. Besides, it creates excitement around the brand by engaging with the consumer in innovative ways as opposed to the regular channels. This is necessary because customers walk into a store, you are already in their consideration set. Any promotion is designed to make your way into that customer's consideration set who hasn't thought about you yet.
Sanjeev Goyle
Chief of marketing, farm equipment sector & business head, AppliTrac, M&M Ltd
