Experts participating in Goafest ‘09, the annual advertising festival of the Indian industry, on Friday said that companies need to be more transparent and honest while connecting with consumers during the economic downturn.
Jean-Marie Dru, chairman, TBWA Worldwide, said there is a need for transparency to connect with consumers and to be open about the company in this downturn. “Brands are not only judged by the services they offer, but also by the initiatives taken by a firm to connect with consumers,” he said. Companies should stop interrupting in what people are interested in and become the very things that people are interested in, Dru said.
Sean Finnegan, president and chief digital officer, Starcom MediaVest Group, said, “Digital tools like blogs, video and social networking allow the brand to be a participant in the conversation and, at times, guide it. They allow the consumer’s voice to be heard, and allow the brand to respond in real time.” He said brands cannot confine themselves to their corporate spaces. They have to reach out to social networks and blogs beyond their “walled garden” in a meaningful and fully transparent way.
According to Finnegan, India’s digital reach will continue to grow. Currently, only 40 million of the country’s 1.1 billion people have access to internet (about 3.5%) and internet penetration has grown 700% since 2000.
“The potential is enormous. Even if the country reaches 50% penetration it will account for more users than the entire population of the US,” he said.
Neeraj Nayar, president, the London-based Contagious Communications, said there is a fundamental need to engage consumers.
“This is a good time to take risks. Do not fret about the number of people you will reach, it’s about reaching the people you want.”
He said advertisers should focus on niche markets rather than mass audiences to connect with consumers. With consumers shying away, Dru believes this is the time to take initiatives on behalf of clients to involve with the consumers through charity and promotional work. “It is important for the industry to take initiative and build brand value despite being pressure on pricing,” said Dru.
