India Shopping Rewards new proposition for

India Shopping Rewards

Dec

embe

r 20

13

INDIA’S FIRST

COLLABORATIVE MARKETING PLATFORM

FOR ACCELERATED

MARKET SHARE ACQUISITION

Managed and powered by GrowBrands ……………….

GrowBrands has a set of professionals with over 5 decades of experience in managing consumer brands. GrowBrands evolves and operates Blue Ocean Strategy that creates a Win-Win experience for all participating brands

SOME BRANDS Participating in ISR …

WE HAVE PARTNERED WITH

A SPECIALIST NEC is the No.1 total solution provider in Japanese mobile NFC payment market. They provide various services in India, including e-money and e-ticket services. Also NEC led and established mobile NFC payment .

There are ‘brands …and there are ‘smart brands’

We are coming from a simple insight ….

SMART BRANDS DELIVER :

• Pleasant customer surprises

• Continuous enhancement in consumer experience

• Quantum growth at incremental investments

• A loyal customer base – strong force of repeat customers

• Retain profitability while chasing growth

WE BELIEVE SMARTNESS IS NOT INCIDENTAL

WE ARE IN THE BUSINESS OF MAKING BRANDS GROW UP TO BECOME SMART BRANDSAND ONCE THERE, STAY SMART ALWAYS!

WE DO THIS BY:

• Creating powerful marketing solutions out of simple consumer insights

• Getting Marketing 3.0 to work for the brands

• Innovating in communication where the consumer is

• Making Web 2.0 integral to our engagement strategy

• Taking technology breakthroughs to marketplaces

• Building structures which deliver results, not just concepts

THE MARKET TODAY IS A HOTBED OF CHALLENGES:

• Brand clutter - Too many options to choose from

• Savvy consumer, no longer going for impulse purchases

• No real product differentiations, all thrust on creating perceptions

• Changing consumer perceptions @ thought

• Deep discounts are the norm of the day

• Rising inflation and retail costs … down trading consumers

• Too many individual loyalty programs, eroding real benefits valued by customers

HOW DO BRANDS HOLD ON, AND GROW

• Keep having customers come back, and give repeat business

• Have a continuous stream of new customers coming into the fold

• Create delight for the customers in a way that

• Spreads word of mouth like fire in the jungle

• Expands the consumer proposition beyond the product

Smart Brands keep winning in these 3 spaces,

as regular brands keep losing here

India’s FIRST collaborative marketing platform for accelerated consumer acquisition

Introducing

MARKETING 3.0 AT THE CUTTING EDGE FOR YOU

3 cornerstones of India Shopping Rewards:

Loyalty: Never before rewards for every transaction, mean more customers coming back for repeat purchases

Assured NEW customers: Collaborative partner brands work towards sending many new customers to your outlets

Customer Delight: Wide range for redemption in various categories. Privileges to buy products of their choices by visiting partner Brands participating outlets.

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How does India Shopping Rewards work?

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Representing a comprehensive consumption basket for the consumer

APPAREL

ACCESORIES

DINING

HEALTH

TRAVELFOOTWEAR

BEAUTYHOME

I.S.R.Brand 4

Brand 6Brand 5

Brand 1

Brand 3Brand 2

Brand 7

Brand 10Brand 8

Brand 10

Brand 12Brand 11

Market Scenario:Brand 1: - Few customers are common customers of Brand 1,2 & 3

Brand 2:- Few are common customers of Brand 2 or 3

All other:- Each brand have a few common customers among a few other brands

Current Market Dynamics

What we can infer:o There are a few customers who are common to each brand.

o There are a lot many customers that are not common to each brand.

o Each brand only gets a part of other brand customers.

I.S.R.Brand 7

Brand 8Brand 9

Brand 1

Brand 3Brand 2

Brand 10

Brand 11Brand 8

Brand 4

Brand 5Brand 6

Market Scenarios:Brand 1: - Brand 1 has got many customers common to Brand 2, 3,4, 5, 7,10

Brand 2:- Brand 2 has got many customers common to Brand 1,3,5,10

All other:- Every brand has now a

greater overlap of their customers with other brands.

Projected Market Dynamics with ISR

ISR ENABLES BRANDS :

o TO SELL MORE

o TO ENHANCE PROFITS

o TO INCREASE BRAND EQUITY

o TO ADD MUSCLE TO YOUR MARKETING

Multiple mutually-exclusive brands ‘subscribe’ to ISR

How the consumer experience flows?

Approaches billing. Is enrolled into India

Shopping Rewards. KYC is recorded.

Welcome to India

Shopping Reward. Enjoy

Receives a welcome message and a unique membership number on her mobile.

MOBILE COUPON

Go ahead and redeem this coupon at over 20 partner brands. For details

Receives a cash mobile coupon (10% of the

value of purchase) for redemption with partner

brands products.

Customer walks into a partner brand outlet, makes a purchase.

Redemption

Channels

Redemption possibilities

•Customer redeems the reward coupons by buying products of ISR partner brands. •Gets cash discount for value Coupon. •Gets another Value Coupon for the value paid (5 to 10% of actual cash paid)

Through Website (which is having more than 50000 products)

Through Call centre

Or by visiting at any of the Partner Brand outlet

MORE CONSUMER BENEFITS … BEYOND REDEMPTION

Each ISR Value-Coupon to be alive for 4 months from date of issue, giving ample time to plan purchases amongst 12 to 20 partner brands

Option to gift unredeemed ‘V-Coupons’ to family and friends

Additional quarterly sweepstakes for high-performance (value + brand spread) customers (indicative): Special offers from partner brands, beyond the base level discount (exclusive product preview, additional discount etc)

CONSUMERS ARE SMART

For purchasing items of regular consumption consumers staying loyal, and moving within, India Shopping Rewards partner brands (as functional benefits are the same) earn disproportionately high (collective) rewards and sweepstakes which individual brand(s) cannot match giving an unfair advantage to the ISR partner brands over their peers


What does an ISR partner brand get?


PROJECTED GAINS

Additional walk-in & sure shot customers generated by the partner Brands; High Footfalls mean Higher Conversion• Higher Ticket size per conversion,

as the perceived discounting chain is much larger

• Increased Branding .. Buzz generation begins at other ISR brands outlets

• Significant Reduction in spends on high discounts

• Increased ROI – Increased Business sustenance

• Intelligent investments on marketing

• Continuing discounts for consumer means a strong word-of-mouth and a living BRAND AMBASSADOR

• Setting up new trend in the customer behaviour pattern

SUPPORT FROM THE ISR TEAM

Exclusivity of subscription – Not more than 2-3 brands per participating category in the programmeTurn-key marketing support to the programme spanning: Back-end software management for

Value-Coupons and tracking of rewardsCustomer service call centre for all

queries and supportTechnology support to member brands’

retail outletOngoing material development and

special days promotions in consultation with partner brands

Media management – internet, print, promotions for ISR

E-commerce outlet through ISR website for consumers seeking redemption from web

Sharing of relevant consumer behavior data, which brands can use for developing targeted marketing programmes (what is the customer spending on)


What does an ISR partner brand invest?


YOUR INVESTMENTS1. Default customer

details for extending the ISR advantage to them.

2. 20% of your incremental sales (i.e. Sales made to an ISR customer at your store)

Click icon to add picture WHAT DOES YOUR CUSTOMER GET?

Your Default customer- Gets flat Rs. 100/- Value

coupon of ISR E-shoppe An ISR customer - Flat 10% CASH BACK of his purchase value at your store

All Costs are funded by ISR


…and also re-write a few rules of marketing.


It’s a unique opportunity to join forces with like minded brands to acquire, engage and retain

customers who are spending regularly in a cluttered market-place…

NEXT STEPS: WAY FORWARD

Principal Alignment: 2 days

Commercial Agreement: 7 days

Execution Plan with Timelines: 10 days


Open for a discussion to grow your brand.


Would you still look the other way?