Today I was about to start writing experience of my marketing journey. But, suddenly I thought to stop describing my experience and put a focus on those companies who come to India with hope and expectations for business and growth but had to struggle a lot to establish. I had always believed in trying to make a difference in the thinking and working of marketers by helping them with my experience and thoughts to redefine marketing in India.
I have seen how MTS and Uninor failed in India, despite having good intentions, amazing products, and vision, they could not have sustained here. There may be so many factors that were responsible such as lack of dedicated leadership, corrupt bureaucracy, and red tappism, which did not allow these Russian and Europian conglomerates to comply with the Indian way of working business.
In this article, I will not emphasize more on those reasons but share my view of an MNC and its challenges, solutions, and prospects in the Indian market.
STIHL is the world’s top-selling chain saw brand. Since its foundation more than 90 years ago, the company has grown from a one-person business into a global chainsaw and outdoor power equipment manufacturer. It was founded in 1926 at Stuttgart in Germany, which is also famous for Porsche and Mercedes-Benz. Today STIHL is opening with 40,000 dealers in 160 countries. It’s headquartered in India at Pune with a manufacturing unit.
Since it has come to India, struggling hard to capture the Indian market. From my point of view, Below are the main problem of STIHL is facing in the Indian market.
1) Deforestation:- India is trying best to restore its forest, and entire media to govt is facilitating towards this; therefore, chainsaws are perceived as enemies of trees.
2) Competition – STIHL is facing the heat of competition from its competitors, mainly local productions and also Chinese brands, which has a very aggressive pricing strategy. In the branded segment, there is another brand that is also very popular – Husqvarna Chainsaws and Equipment. Many blogs suggest that Husqvarna is the best.
3) Dealership Issues:- New dealers are not coming to this industry, only those dealers who have been associated in this industry from generation are doing good.
4) Lack of awareness – Most outdoor equipments are not even introduced to farmers yet. They don’t have any idea what this could be even possible.
STIHL is not only a chainsaw company but also an outdoor equipment manufacture that has immense potential in India. It should position itself as an outdoor power equipment company, not a chainsaw manufacturing company only. The vision should provide a smooth experience with outdoor equipment solutions with service support, which would create a differentiate from the competition.
Honestly, STIHL has a vast market to explore with so many options in its kitty. India is an agriculture-based country, and these products are very much required in the hinterlands and countryside. Plains of middle, hills of north, and jungle of coastal India should be the ideal market for STIHL. Let’s see what could be the solutions for Stihl if it dreams of having good business in the coming years.
Solution:-
1) Integrated Marketing campaign:- 1st of all Stihl should spend to create a market by advertising. A 360* marketing campaign is required to establish these products.
2) Engagement:– Stihl should focus on rural activities to engage farmers and small traders. Training camps and display Vans should run village to village to create visibility.
3) Communication and awareness:– customer relationship management would be the right solution. It is based on maintaining a bridge of continues communication between management and existing users. They should be given the opportunity of upgrade and up-selling, exclusive discounts, and they feel they must privilege of being a STIHL user. Few flagship products such as – lawn-movers, garden shredders, hedge trimmers, harvesters, sprayers, cleaning systems, cut off machines, and concrete cutters even fuel and oil should be displayed in roadshow and experience zone.
CRM Planning, Option-1
A) Selected Key dealers or Brand Shops/Display centers.
B) The period for a special offer and product display
C) Communication through SMS and local newspaper publication.
D) Store branding and shop front display.
E) Gifts for walk-in customers.
F) Telle-calling to walking customers.
G) Branding in Timber markets with signage and banners.
CRM Planning, Option-2
A) Select venues at cooperative centers, Haats, Village panchayats for three days camps across the state.
B) It should be attractive and have the regional sense, such as if it’s in Maharasthra, then set-up should be like Gateway of India or in Andhra Pradesh – Charminar.
C) Invite Big farmers and social in the neighborhood and in that area and inaugurate the display zone by them. This activity is Influence marketing, and STIHL needs such advocates in the market who has credibility and some success story around him.
D) Product consultation by trainers and professionals to farmers.
E) Special Dealer meets in the evening to discuss future promotion plans and taking the suggestion of dealers for sellouts.
F) Contest for everyone to contribute ideas to invent new products, designs, or usages.
4) Service camps and Product Launch:- A service camp is not only the camps but also provides a display center for the neighborhood and nearby villages. Product launch and re-launch must be executed in these camps. As I mentioned above that a local influencer could launch the product by cutting the ribbon and unveil the product.
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5) Fan Clubs:– There should be fan clubs across India for Stihl lovers. These fan clubs are the actual point of promotion. These clubs are an example of marketing without advertising, which is being very successful in promoting mobile phones and other products. Clubs should have regular engagement and get together somewhere in the city where users and dealers should invite to share their experience and discussion. This sort of event should sponsor by the company.
6) Association of local festivals, exhibitions, and trade fairs and align with local tradition and culture. Stihl stall with display and demo zone should be there.
7) Visibility through various co-branding activities, such as signage, community center branding, providing carry bags, and freebies to farmers, traders, shaw-mills, timber mills. STIHL can also sponsor adventure sports and sports gear or conduct craft workshops in school and vocational colleges with branded elements.
8) Factory tour – Stihl must invite big farmers, users, traders, and dealers to their manufacturing facility. It will be a fantastic experience and help the brand to expand. It is proved that word of mouth, and personal experience is the most powerful tools of advertising.
9) Free Home Demo – Stihl products can be given to individual users to experience this, even one such product which is necessary whether its chainsaw or cutter, trillers or auger can be given to village Panchayats or municipality office for demo purpose.
10) Small videos and Digital presence:- short introduction videos are beneficial to create awareness, along with this visual presentation on facebook is also necessary.
The company should also work on their website through SEO. Currently, if you search the best chainsaw in India, you will get STIHL, not on the 1st page. Therefore there should be a lot to work on websites, such as regional content and product details with dealers, and get links from other websites such as blogging sites. For more information on the digital marketing strategy, please refer to below.
Endorsement by small regional celebrities on social media. is an effective medium of communication. Even minor celebrities can endorse our product, and they don’t need to have millions of followers on social media, even thousands of followers are also useful. Today’s scenario, there are many such regional celebrities on facebook, twitter, even on tik-tok who’s enjoying millions of followers. They can act our brand ambassador along with existing users and their experience share on social media.
11) Innovation and smart solutions:- The company is already working on smart devices such as Smart Connector that can be attached to petrol-driven, electric, and cordless products. It enables to deliver valuable information about the STIHL power tool via Bluetooth, and a user can manage it through the app. its an amazing new experience, so it doesn’t need further elaboration this much here. Still, I must say, these apps and smart devices can be affordable and should each to end-users.
I welcome more ideas from the readers of this article. You may or may not work for a product like a chainsaw or a cutter, but being a marketing enthusiast must share some path-breaking ideas. There are hundreds of such brands from European countries mainly from Germany that are tying find its feet in India, and your thoughts can help everyone to prosper.