‘Marketing is not selling. Marketing is building a brand in the mind of the prospect.’ – Al Ries & Laura Ries
Today a case I would like to discuss in this post is that of the Ice cream major Haagen – Dazs’ entry into the Indian market last week.
The Company which is known for its premium International quality ice-creams has angered and been boycotted by many of its potential Indian customers even before it could make them taste their brand of ice-creams. A big blow considering they are planning to open 30-40 outlets in India in the next few years.
So how did this happen? According to media reports – it seems like a case of bad marketing. A day prior to its official launch the ice-cream major decided to hold an exclusive preview and tasting of its ice-creams for its exclusive customers at its new store. Which is fine, considering the brands positioning clearly spells premium – from the location and décor of the store to the pricing of its products. Many brands do such events and exclusive dos to ensure their brand positioning is apt and only draws those customers who are ready to pay a premium for the experience they promise to offer.
The cause of the furor was not the brand’s positioning but the way they marketed that positioning. According to Rajesh Kalra a Times of India blogger who first reported the incident (his friend Ramit was denied entry into the store and he is the one who took the photograph of the banner), “The banners outside the outlet said: Exclusive Preview for International Travellers. And under that, in an even finer print, the real bombshell: Access restricted only to holders of international passports. I immediately called Ramit. “You are an international traveler, and you have a passport, so you can go in”, I said. Ramit’s response was instant: I tried to enter but they said you are not allowed for you don’t have an international passport.”
- Marketing faux pas?
To an Indian this was a big blow, he was being treated as an alien in his own country. Rajesh soon put out the pictures of these banners and a post detailing the incident across social media platforms like Facebook and Twitter. The message spread like wildfire across the social media denting the carefully cultivated brand image of Haagen Dazs in a country it had strategically invested but failed to sensitize its marketing to the sensibilities of its people.
It is not surprising to see Ban Haagen Dazs communities mushrooming on social media platforms – I believe it is the most social way to get back at a brand which dared to alienate Indians on their own soil.
Subsequent to the media report and public fury Anindo Mukherhi , MD of General Mills, which markets the brand in India clarified his stand in an interview to Economic Times, “An error was made in the creative execution, it was a wrong choice of words, and we regret the error.” Economic Times further reports, “Upon sustained queries by Economic Times to company officials about the intention of the campaign, it emerged that what Haagen-Dazs really wanted to convey was ‘Now get a taste of abroad right here in India’”.
Considering that Haagen Dazs is such an established brand it is surprising how this kind of obvious error went unnoticed by the marketing heads and strategists in the company. Or for that matter was overlooked or missed by those handling the marketing of the brand in India?
Let’s see how this could have been averted or handled a little differently without generating these anti-Haagan Dazs nationalist sentiments…
Right approach
It would have been more prudent on the part of Haagan Dazs’ Indian marketers to identify their niche customers – at least some of them – socialites, page3, diplomats etc. and send out personal invitations announcing the launch and the exclusive preview. On location instead of the controversial banners, they could have just put a simple board suggesting entry only by invitation. In addition, to be on the safe side, they could have instructed the doormen/security/organizers to be polite with the uninvited guests/passersby. People usually do not take offence if told politely that the venue is reserved for a private party and entry is only allowed by invitation.
The Choice of Right words
It would have been in the best interest of the brand to go with the simpler version of the banner– ‘Now get a taste of French Riviera right here in India’ or something to that effect. Rather than implying something which means, ‘entry into the store requires an International passport’ – which probably required the skills of the copywriter to decipher the real meaning behind it. Now, you can’t expect Indians to carry International passports in India, not even the real movers and shakers of the city.
Better planning and execution
If something this damaging escapes the eyes of the marketing experts at Haagen Dazs or General Mills then for sure it is a cause of concern for the company. Better management and timely assessment could have saved the brand such an embarrassment. It is always best to check and re-check your positioning and branding for adherence to local sensibilities, especially when entering a new market. Any layman could have indicated that the choice of words by the brand indicating racial discrimination was destined to create a furor.
A Public Apology
I am yet to see a public apology coming from the brand or its Indian marketers. What came was part of a promotional interview in Economic Times. Sometimes, for the sake of the brand it does not harm to show some humility. A word of apology as soon as this incident picked momentum on the social media would have doused the angers it ignited. Everyone makes mistakes, but the art of correcting them begins by accepting your mistake and sincerely apologizing. It becomes all the more necessary when your brand is being branded racist in a country you have or plan to invest heavily.
Attempt to win over the irate customers
To cool the matters and win over the irate public – Haagen Dazs could have gone a step ahead, posted their apology on these anti-Haagen Dazs forums, and extended an invitation to the members there to come and taste their premium brand of ice-creams, calling truce. I am sure with this small gesture they would have made a huge difference to their existing brand image not only in India but also around the world. As a result, they would have ended up turning all the negative publicity on a positive note. Even if this may not have worked, at least they would have made an impression of a brand that cares, rather than one that comes across as obnoxious.
Indifference is the worst approach in times of media crisis. It is best to accept your mistake and make amends in the right manner and on the right forum.
In Marketing they say any publicity is good publicity and possibly this media attention might have helped Haagen Dazs in getting the attention of even those Indians who may have never heard of the brand before. However, hurting the sentiments of a customer is the last thing a brand would want itself associated with….for it often leaves scars which rarely heal.
