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A Study of the Impact of Values and
Lifestyles (VALS) on Brand Loyalty withSpecial Reference to English Newspapers
PRESENTED BY :-
AAYUSH (09PG)
AYUSH (09PG)JATIN (09PG379)NISHANT (09PG)RAKSHIT (09PG)
SHUBHANWITA (09PG)
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INTRODUCTION
Indian Newspaper Industry is witnessing high growth, despite the rise of the Internet and of
telecommunications as viable sources of information. Earlier all the newspapers thought that the
opportunity for them was within their own geographical area. But, in coming years publishers will be
spending over Rs.1000 crore to invade into others territories. Unless the publishers recognize the
preferences of readers, it would be unlikely that they would succeed in winning the hearts of the
customers.
This research makes an attempt to recognize the preferences and segment the readers of the English
newspapers based on their psychographic profiles by using VALS. VALS is a way of viewing people on
the basis of their attitudes, needs, wants, beliefs and demographics. This research also analyzes the
influence of psychographic factors on brand loyalty based on Brand loyalty scale and suggests the
psychographic segments to be targeted by the brands to sustain in the competitive Market environment.
Different types of market dominance strategies for various market positions are also explored.
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VALS
VALS is a way of viewing people on the basis of their
attitudes, needs, wants, beliefs and demographics. The VALS
program was created by the SRI International in 1978 in an
attempt to understand peoples personality through their
behaviors amid the changing values and lifestyles in 1970s.
The system identifies current and future opportunities by
segmenting the consumer marketplace on the basis of the
personality traits that drive consumer behavior. VALS applies
in all phases of the marketing process, from new-product
development and entry-stage targeting to communications
strategy and advertising.
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VALS reflects a real world pattern that explain the relationship
between personality traits and consumer behavior.
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VALS Segment
Factor 1: Innovators consisted of four items reflecting how this lifestyle group enjoyingthe finer things receptive to new products and technology and they are frequent
readers of wide publication.
Factor 2: Strivers contained four items describing people of this group as trendy,
fashionable and fun loving. They favor stylish products. As they are motivated, theyconcern very much about the opinion and approval of others.
Factor 3: Achievers contained three items characterizing themselves as change-leaders
and people with high self-esteem.
Factor 4: Experiencers consisted of three items reflecting how this life-style group liked
excitement, thrill, new things and challenges.
Factor 5: Survivors comprised three items classifying people in this group as those who
are limited and with less resources and living narrowly focused lives. Their primary
concern was safety.
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Factor 6: Believers consisted of three items depicting people in this group asconservative and conventional. Their education, income are modest butsufficient to meet their needs.
Factor 7: Thinkers consisted only one item classifying people in this group asthose who are interested in art, culture and history.
Factor 8: Makers consisted of two items classifying the people in this group asthose who are interested in making the things in their own way.
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IDENTIFYING MARKET
SEGMENTS AND TARGETS
Companies cannot connect with all customers in large, broad,
or diverse markets. But they can divide such markets into
group of consumers or segments with distinct needs and wants.
A company therefore needs to identify which market segments
it can serve effectively . This decision requires a keen
understanding of consumer behavior and careful strategy
thinking. To develop the best marketing plans, managers needto understand what makes each segment unique and different.
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To compete more effectively, many companies are now
embracing target marketing. Instead of scattering their
marketing efforts, they are focusing on those consumers they
have the greatest chance of satisfying.
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EFFECTIVE TARGET
MARKETING REQUIRES :
MARKET SEGMENTATION
MARKET TARGETING
MARKET POSITIONING
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LEVELS OF MARKET
SEGMENTATION
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1- MASS MARKETING In this seller engages in the massproduction, mass distribution, mass promotion of oneproduct for all buyers.
For example : coke 6.5 ounce bottle
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2- SEGMENT MARKETING A market segment consistsof a group of customers who share similar set of needsand wants. The company can offer better design, price,
disclose, and deliver the product or service.For example Santro.
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3- NICHE MARKETING A niche is more narrowly definedcustomer group seeking a distinctive mix of benefits. Itusually identifies niches by dividing segments into sub
segments.For example Ezee detergent.
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4- LOCAL MARKETING Target marketing is leading tomarketing programs tailored to the needs and wants oflocal customer groups in trading areas and
neighborhoods.For example Spiderman movie.
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5- INDIVIDUAL MARKETING The ultimate level ofsegmentation leads of segments of one, customized
marketing, or one to one marketing. Today customers
are taking more individual initiative in determining whatand how to buy.
For example Asian paints.
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BASES FOR SEGMENTING
CONSUMER MARKETS GEOGRAPHICAL SEGMENTATIONIt calls for division of the
market into different geographical units such as nations, states ,countries , regions , cities , neighborhoods .
DEMOGRAPHICS SEGMENTATION - In this we divide the
market into groups on the basis of variables such as age, familysize , family life cycle, gender, income , occupation , religion,education, race , generation, nationality and social class.
PSYCHOGRAPHIC SEGEMENTATION- It is the science of using
psychology and demographics to better understand consumers. Inthis buyers are divided into different groups on the basis ofpsychological/ personality traits lifestyles or values.
BEHAVIORAL SEGMENTATION - In this marketers dividebuyers into groups on the basis of their knowledge of , attitude
toward , use of, or response to a product.
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CLASSMATES
JAAGO RE !!!!
http://nishant.avi/http://nishant.avi/http://nishant.avi/http://nishant.avi/8/3/2019 VALS Seniors
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The Times Of India
The largest newspaper in the country with a
readership of about 13.3 million.
Founded on Nov 3, 1838 as The Bombay Times andJournal of Commerce during the British rule.
Was renamed The Times of India in 1861.
Owned by Bennett, Coleman & Co. Ltd.
Rated amongst the worlds six best newspapers.
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Undisputed leader in major cities with Mumbaileading with 15.7 lakhs readers with second beingMumbai mirror with 7.71 lakhs. DNA with 6.22lakhs.
29.19 lakhs readers in Delhi followed by HindustanTimes with 28.18 lakh readers.
Around 10 Lakhs readers in Kolkata. Second to The
Telegraph with a staggering 73 lakhs. 5.86 lakhs readers in Bangalore. Second being
Deccan Chronicle.
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Customer Profile
SEGMENTS % of readers in thesegments
Strivers 45
Innovators 30
Experiencers 15
Achievers 5
Thinkers 5
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Strivers are trendy and fun loving who favour stylishproducts.
TOI has a strong youth image and pioneer in making
Page 3 culture.Highly popular among people in the age group of 20-
39 years.
In Bangalore, 54% readers of TOI are between the
20-29 yrs age group. 52% percent readers in Mumbai,Delhi and Kolkata
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Other Supplements
City Specific supplements (Bangalore Times)
Times Wellness (Saturdays)
Education Times (Mondays)
Times Ascent (Wednesdays)
Times Life (Sundays)
Rogue (Saturdays)
ZIG WHEELS
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THE TIMES OF INDIA
http://times2.avi/http://times2.avi/8/3/2019 VALS Seniors
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For truth telling, freedom and independence,justice humaneness and contributing tosocial good
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Started in September 20,1878 as weekly and became daily inApril 1,1889.
Owned by Kasturi and sons.
Printed in 13 centers connected with high speed data lines for
news transmission.
First to introduce color printing and owns fleet of aircraft for
circulations
First to use fax for page transmission, use computer aided photo
composing and to go online.
Currently has a circulation of 1.453 millions copy with a
combined readership of 4.06 millions
Ranked 9th in National ranking and 3rd in English ranking
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Daily Supplements Monday
-- Metro Plus, Business Review, Education Plus
Tuesday
-- Metro Plus, Young World, Book Review
Wednesday
-- Metro Plus, Job Opportunity
Thursday
-- Metro Plus, Nxg
Friday
-- Friday Feature, Cinema Plus Saturday
-- Metro Plus Weekend, Property Plus
Sunday
-- Downtown, Retail Plus, Classified Open Page, Literary Review(First
Sunday).
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Cntd.
Business Line- Business Daily(largest business newspaper in India:
Agencyfaqs)
Sportstar- Weekly Sports Magazine
Frontline- Fortnightly Magazine.
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Readers Segmentation
INNOVATORS40%
STRIVERS35%
ACHIVERS20%
SURVIVORS15%
Sales
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Innovators are the major part of The Hindu customersfollowed by Strivers . Strivers are the segment to betargeted.
Image is important to Innovators. They will readdifferent categories of publications. It is evident that
most of the customers prefer the Hindu because of itsimage.
Strivers hold the second major part of the Hindu
customers, followed by Achievers and Survivors inthat order.
The Hindu follows the Market Challenger Strategy .
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The November 06, 2008 front page
ofThe New Indian Express
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Type - Daily news paper
Owner - Express Publications (Madurai) Limited
Founded - 1934 in Chennai, by V. Naidu, named as Indian
Express ,renamed in 1999 .
Circulation2,89,989 copies (source : ABC JANUARY
JULY 2008)
WebsiteExpressbuzz.com
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EditionsThe New Indian Express is now published from all
major cities in Andhra Pradesh, Karnataka, Tamil Naduand Kerala, including Chennai (Madras), Coimbatore,
Hyderabad,Thiruvananthapuram Bangalore, Kochi .In
total, it publishes from 22 centers in the south.
It is also published from Bhubaneswar in Orissa .
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Format and Circulation
The NIE achieves its biggest penetration in the state ofKerala.
In terms of the area it circulates in, the New Indian
Express covers approximately 24 per cent of the totalnational population.
At present, The New Indian Express is the Only
National Daily which publishes news of far-flung
Andaman and Nicobar Islands on everyday basis.
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The SupplementsAppear on a weekly or fortnightly basis, include
pullouts on career and education besides one on
lifestyle calledIndulge. Also a special supplement for
Saturday edition by nameZeitgeistis being published
after its re launch in 2008. The Sunday supplement is
Sunday express .
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Magazines
The New Indian Express Group of Companies also
publishes Dinamani in Tamil and Kannada Prabha in
Kannada and these magazines:Cinema Express (Tamil), Malayalam Vaarika (Malayalam)
and Tamilan Express (Tamil).
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The segmentation of TNIE readers
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Believers are motivated by ideals.
Traditional and conservative people with concrete
belief in : family,religion,community.
Moral codes deeply rooted.
Organized in large part around home, community,
social and religious organizations to which they
belong .
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Income level - Belong to Middle class .
Education level - Modest level of education
but not highly educated .
LoyaltyStrongly loyal customers, because of
them TNIE has highest amount 60% of loyal
customer among three newspapers.
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Value of TNIE to ReadersTNIE provide news in a very conservative and
traditional way, which is successful to appeal
conventional psychology and basic value ofbelievers
- This is the basic market strategy by TNIE .
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STRATEGIES TO BE FOLLOWED
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MARKET LEADER
The market leader is dominant in its industry. It has substantial market
share and often-extensive distribution arrangements with retailers. It
typically is the industry leader in developing innovative new business
models and new products. Market leaders have to defend their Market
share by retaining the existing customers. Market leader should have strong
customer base of Thinkers and Believers.
The Times of India is the pioneer in creating the page 3 culture by targeting
the strivers. Innovators are holding second major customer base of this
newspaper. It can start to target the Innovators as they extend their support
and preference to other category of publications. But they dont have
significant presence of Believers and thinkers. From the findings it is found
that Times of India is relatively having less loyal customer base compared
to other two newspapers .As a Market leader, they have to target Believers
and Thinkers to increase the loyalty base, which will make the brand travel
towards cult status.
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MARKET CHALLENGER
A market challenger is a firm in a strong, but not dominant
position that is following an aggressive strategy of trying to
gain market share. It typically targets the industry leader, but it
could also target smaller, more vulnerable competitors.
The Hindu has been steadily growing to the current circulation
of over 900,000 copies and a readership of over 3 million.
Strivers hold the second major part of The Hindu readers.
The Hindu may start to target these segments.
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MARKET FOLLOWER
A market follower is a firm in a strong, but not dominant position that is
content to stay at that position. The rationale is that by developing
strategies that are parallel to those of the market leader, they will gain much
of the market from the leader while being exposed to very little risk.
Market followers may follow two options
1. Strengthen the loyalty of existing customer base by delivering the core
benefits to their segments. They should strengthen the segment of Thinkers
and Believers as they are insulate to competitors promotions.
2. Expanding the customer base by targeting the Brand Switchers. They may
target the Experiencers, strivers and strugglers who are brand switchers to
expand the Market share. Experiencers are impulsive and rebellious. They
are variety seekers
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The New Indian express is having exclusive VALS segments
such as Believers, Makers, Achievers .The other two
newspapers do not have significant presence in these segments.
So the New Indian express may utilize and tap the potential
among these segments.
market challenger is a firm competing aggressively in
order to extend market share. A market follower is a firmnot competing aggressively; that is aiming to maintainmarket share. Some companies seek to avoid too directcompetition. They can do this by developing a market
niche; that is, the firm makes a product that serves aspecial segment of the market as a whole.
T T W T T
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STRATEGIES FOR NEW ENTRANT
Experiencers are the vulnerable segment for New entrant in the
Newspaper Market. They can be targeted to boost initial sales .
Survivors can also be targeted for initial launch, if the Newspaper
goes for low-price and consumer promotion tools.
All the Newspaper brands should concentrate on developing their
image and evolving in to changing needs of the customers. They
should address the needs of Thinkers and Believers to strengthen
their loyalty base.
General Newspapers may utilize the Innovators willingness to read
all categories of publications. Innovators may extend their loyalty to
other category of their favorite publication like Business
Newspaper, women magazine and Sports magazine etc.
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QUERIES ???