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A031 Dhwani Jain

Prof. Cajetan D’souza
Integrated marketing
7th November,2022
Chamkeela case study

Q1. Who should be the target audience for market expansion? What information is
available regarding this chosen audience?

A. For its market expansion, Chamkeela should target the audience on the following basis:
Demographic
● Age: 30+ [ As millennials are becoming more health conscious the trend
of using natural or organic products is rapidly increasing among this
health group hence Chamkeela should target this age group.]
● Gender: Female [ Even though choosing a toothpaste is a personal choice
but as given in the case study, women have emerged as new shoppers in
the recent years]
● Occupation: regular jobs [ As job opportunities are rising in the
semi-urban areas, agriculture as the source of income is declining in the
rural sector hence people with lower middle class to middle class people
with regular jobs can be targeted]
● Family status: All sorts of families can be targeted.

Geographic
● Semi-urban population: They should target the semi urban population for their
expansion.
As job opportunities are increasing in the semi-urban set-up of the country, rural
population is migrating for jobs to their nearby towns, the purchasing power of the
consumers is higher in a semi-urban set-up than a rural place, also there is still a lack of
competition of brands in a semi-urban place as compared to an urban place. Also there
are organized retail stores in semi-urban places hence its a boon for the sale of the
product.
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● Northern India: As mentioned in the case study, Chamkeela already has a

stronghold in southern Indian states like Tamil Nadu, Karnataka and
Maharashtra. It should target markets in northern parts of the country.

Psychographics
● Habits : For their expansion, they should target the 24% audience which has the habit of
using toothpaste powder instead of toothpaste because out of 66% Indian households
using toothpaste, 42% already use colgate. Hence they should try and convert the habit of
ones using tooth powder
● Lifestyle: Middle class households who are dentifrice users, typically brushing once or
twice a day.

Q2. Identify the geographical markets that Chamkeela should expand into. What is the
rationale for selecting these markets?

A. According to table 17.22 we can see that in states like Madhya Pradesh, Bihar ,West
Bengal and Jharkhand the BDI of Chamkeela is lower than the CDI of toothpaste in these
states hence Chamkeela should expand into these geographical markets.

Q3. On behalf of IndiMark, prepare a full-scale media plan for Chamkeela . Specify
the budget
needed for this plan, and whether it matches the advertising spend goals set by the
brand.
State the reach and frequency goals, and the R/F levels generated by the plan. Feel free
to
make some assumptions where enough data is not available. Give rationale for the
media
mix chosen by you (from the media choices given), along with budget allocation to each
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media. Can you determine the GRPs, CPM, and CPP for this plan and for individual
media?
Now schedule the actual ad placements across media during the course of one year, as
in
the media plan.

A. situational analysis :
1. Internal factors:
a . Promotional capabilities: Chamkeela is planning to up its budget spent on advertising
from 5% of the total earning share to 9-10% looking at other toothpaste companies.

b. Nature of the product: Chamkeela is an Ayurvedic toothpaste and has the USP of use
of calcium-rich in its product, as opposed to dicalcium phospate or bone ash, which is
animal-based and used by most toothpastes as a tartar control agent. Its target market is
slightly older, It has a strong hold in states like Maharashta, Tamil Nadu and Karnataka .
The toothpaste comes in packaging of 50 gm, 100 gm and 200 gm with prices, 11.50rs,
21.50 rs and 40rs respectively. It has primarily relied on traditional advertising media,
including television, cinema advertising, and some print.

c. Media budget : 5% of the total sale

2. External factors:
a. Regulatory factors: 1. Advancement of technology in the rural set -up, more
people making use of phone and internet
2. Increased purchasing power of the rural population due to migration to small
towns for jobs
3. Increase in Organised retail stores in tows.
4. CDI of toothpaste in all over India

b. Availability of media: Indiamart makes use of media vehicles like television,

cinema advertising, and some print. According to table 17.26,
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82.4% of the urban population makes use of television and 45.4% of the rural
population does.
Cinema 5.7% of the urban population watches cinema and 2% of the rural
population does. Also 35.5% of the urban population makes use of press and
printed media and 13.8% of the rural population does.
Press 35.8 13.
c. Competitive factors: Major competitive factors for the toothpaste include, prices,
USP and function. Colgate tops the toothpaste market in white segment with 70%
volume share and dabur in the red segment with 70 % volume share. Colgate
total, pepsodent germicheck etc are examples of the paste type, promising clean
teeth and a safeguard against cavities. Gel toothpastes such as , etc. promise fresh
breath. and combine gel and paste together. Many new entrants have entered the
toothpaste category attracted by its market potential and steady growth rates.

Population, economy and market estimates :

As chamkeela is targeting middle income and low income households, according
to table 17.20, its around 140.7 and 41.0 millions respectively. The CDI of
toothpaste all over India is equal to the BDI of chamkeela.
Table 17.25 shows the rural market is witnessing robust growth. About half of Q5
HHs are actually in rural India. Q4, which is a relatively poorer but fairly well off
cousin of Q5, is approximately equally divided between rural and urban India .
NCAER analysis shows that improvement in rural infrastructure will impact
consumption more than improvement in income. Q1, Q2, Q3 households are
predominantly in rural areas.

Media objectives

1. 1.Who to advertise to?

Demographic
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● Age: 20-60 years [ As millennials are becoming more health conscious

the trend of using natural or organic products is rapidly increasing among
this health group hence Chamkeela should target this age group.]
● Gender:Male 45%, Female 55%
● Occupation: regular jobs [ As job opportunities are rising in the
semi-urban areas, agriculture as the source of income is declining in the
rural sector hence people with lower middle class to middle class people
with regular jobs can be targeted]
● Family status: All sorts of families can be targeted.

Geographic
● Semi-urban population: They should target the semi urban population for their
expansion.
As job opportunities are increasing in the semi-urban set-up of the country, rural
population is migrating for jobs to their nearby towns, the purchasing power of the
consumers is higher in a semi-urban set-up than a rural place, also there is still a lack of
competition of brands in a semi-urban place as compared to an urban place. Also there
are organized retail stores in semi-urban places hence its a boon for the sale of the
product.

● Northern India: As mentioned in the case study, Chamkeela already has a

stronghold in southern Indian states like Tamil Nadu, Karnataka and
Maharashtra. It should target markets in northern parts of the country.

Psychographics
● Habits : For their expansion, they should target the 24% audience which has the habit of
using toothpaste powder instead of toothpaste because out of 66% Indian households
using toothpaste, 42% already use colgate. Hence they should try and convert the habit of
ones using tooth powder
● Lifestyle: Middle class households who are dentifrice users, typically brushing once or
twice a day.
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2. Where to advertise?
As colgate already holds 42% market share, chamkeela should take up an
offensive stance and apply to the regions where the market for toothpaste is low.
Like the rural parts.
3. When to advertise?
As toothpaste is a daily use thing, it can be advertised all year round.
4. How to advertise?
MAB’s objective is to generate awareness among 40% of the toothpaste
consuming household. Hence we will need to take both
AS its an FMCG, the competition is higher hence its necessary to make maximum
use of color, audio and visuals to make the product stand out. The length of the
message should be kept short. Also, the use of some jingle is necessary for
remembrance of the product in the minds of the consumer. There can be
different creative executions for different audiences, for the rural population it
can advertise itself as a pocket friendly small tube which can fit anywhere
whereas for urban population, it can advertise itself as an ayurvedic toothpaste
and the benefits of Ayurveda.
5. How much to advertise?

MAB’s objective is to generate awareness among 40% of the toothpaste

consuming household. Hence we will need to take both urban and rural areas
into consideration and use a media mix taking into account both the areas.
urban
Media mix :According to the table, 17.26 , 82.4% of the urban population uses
TV and 5.7%use cinema. Cinema is a popular form of entertainment on an urban
set-up.

The table shows money per day spent on a TV ad:

States Reach % frequency cost/ad Total cost RF

In rs. /ad
In rs.
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Maharasht 82.4% 3 5230 15,690 247.2

ra

Punjab 82.4% 5 4567 22,835 412

Madhya 82.4% 5 5000 25000 412

pradesh

Tamil Nadu 82.4% 2 4324 8648 164.8

Karnataka 82.4% 3 3500 10,500 247.2

Total= 82,673 GRP=1483.

2

For 1 year, cost of ads playing on the television = 82,673x 365

=RS. 3,01,75,645
Assume the cost of producing the TV ad to be Rs. 11,00,000
Total cost of TV ad production and distribution = rs. 3,12,75,645

The table shows money per day spent on a Cinema ad:

States Reach % frequency cost/ad in Total RF

rs. cost/mont
h{ in rs.}

Maharashtr 5.7% 3 5000 78000 17.1

a

Punjab 5.7% 3 4200 78000 17.1

Madhya 5.7% 3 3500 78000 17.1

Pradesh

Tamil Nadu 5.7% 3 4800 78000 17.1

Karnataka 5.7% 3 3200 78000 17.1

Total cost= 3,90,000 GRP= 85.5

The cost of playing these ads for 12 months, = RS.46,80,000

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The cost of production is not applicable here as the same TV ads will be used
here.

Total cost of cinema production and distribution = RS.46,80,000

Rural
Media mix: According to the table, 17.26 , 45.4% of the rural population uses TV and 15.9%
uses radio. The reach of cinema is comparatively low in the rural segment hence this mix is
chosen.
TV
The table shows money per day spent on a TV ad:

States Reach % frequency cost/ad in Total RF

rs. cost/mont
h{ in rs.}

Maharashtr 45.4 4 5230 15,690 181.6

a

Punjab 45.4 5 4567 22,835 227

Madhya 45.4 5 5000 25000 227

Pradesh

Tamil Nadu 45.4 2 4324 8648 90.8

Karnataka 45.4 3 3500 10,500 136.2

Total= 82,673 GRP=

862.6

For 1 year, cost of ads playing on the television = 82,673x 365

=RS. 3,01,75,645
Assuming the Cost of producing TV add- 5,00,000
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Total cost of TV ad production and distribution = rs. 3,06,75,645

Radio

Ads during Reach [%] frequency Cost of the Total cost RF

radio ad in rs. per day in
program Per 10s rs
spot

Before 15.9 3 8000 24000 47.7

0800 hrs [
hindi
news]

Morning 15.9 2 13000 26000 31.8

mid-news
break
[hindi]

Afternoon 15.9 2 5200 10400 31.8

news
feature at
1430-1500
hrs [hindi]

Mid break 15.9 4 10400 41600 63.6

in
afternoon
news
feature
[hindi]

Before 15.9 2 4500 9000 31.8

evening at
2045 hrs
[hindi
news]

Mid break 15.9 2 9000 18000 31.8

in evening
news
[hindi]

Total = Rs. GRP=

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1,29,000 238.5

Assuming that the ads run 5 days a week for 1 year, the cumulative yearly cost =
52x5x1,29,000= rs. 3,35,40,000
Consider the cost of producing a radio ad to be rs. 22,000

Total cost of Radio ad production and distribution = rs. 3,35,62,000

Calculating CPP and CPM

1. TV [ medium of urban and rural population]

1. CPP= cost of an ad / Rating of the program or vehicle

No. of HHs who own TV = 13,40,00,000 [given]
No. of HHs who engage with the ad = 45,70,00,000
Rating of the TV ad= [13,40,00,000/ 45,70,00,000]x 100
= 29.32%
Cost of a TV ad = rs. 3,06,75,645

CPP = 3,06,75,645/29.32
CPP= RS. 10,46,236.18

2.
CPM= [Cost of running ad medium/ Total audience size]x1000

Cost of a TV ad = rs. 3,06,75,645

Total audience size= 45,70,00,000
CPM = [3,06,75,645/45,70,00,000]X1000
= RS. 67.1

RADIO [ medium of rural population]

CPM= [Cost of running ad medium/ Total audience size]x1000
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Cost of radio ad = rs. 3,35,62,000

Total audience size= 29,90,00,000
CPM = [33562000/299000000]X1000
CPM =RS. 112.24

CINEMA [ medium of Urban population]

CPM= [Cost of running ad medium/ Total audience size]x1000

Total cost of cinema ad= RS.46,80,000

Total audience size = 1,49,00,000
CPM = [46,80,000/1,49,00,000]X1000
= RS. 314.09

Total budget of media plan for Chamkeela is rs. 6,89,17,649

Q4. If you could use media other than the ones shortlisted by IndiMark, what would they
be? Obtain the rate cards and the audience profile information for the media vehicles
that you wish to use , and check the feasibility of their inclusion in the plan.

A. Apart from the media vehicles chosen by Indimark, another option can be social media.
With the advancement in digital infrastructure, as it is given in the case study, more and more
rural people are using mobile phones and people are having access to the internet.
Social media is free and user friendly for people. They can put ads on social sites like youtube
hence their audience duplication would be higher. For an enterprise like MAB, the monthly cost
of social media marketing would be around 56999 INR .
Audience profile for Social media users:
Demographics
Gender: Male 55%, Female 45%
Age: 18-40 yrs
Income: Earning more than 800 rs a day
Area: Tier 2 and tier 3 cities
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Education: High school pass { not necessary}

Marital status: not needed

Psychographics
Life style : Middle class HHs with a regular income, using social media.
Habits: Using mobile phones on a daily basis.

It is feasible to include such an audience in the plan as not only the young generation, older
people are also using social media these days , hence it's easier to capture their attention. Social
media is already a very “ reliable” source of information among the population hence it would be
easier for people to trust the product.

You tube marketing package

BASIC - for small business 10,000 inr / month

Advanced- mid sized business 18000 inr/ month

Enterprises- large business 28000 inr/ month

Second option can be the use of billboards. They attract a lot of attention and sometimes even the
untargeted customer seems to buy the product looking at the billboard repeatedly.Billboard
seems to target larger audience

Audience profile for billboard :

Demographics
Gender: Male 55%, Female 45%
Age: 18-60 years
Income: all income groups
Area: Tier 1 and tier 2 cities
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Education: High school pass { not necessary}

Marital status: not needed

Psychographics
Life style : Middle class HHs with a regular income,
Habits: Have the habit of reading boards while being on the road.

It is not so feasible to put billboards in a rural set up, because the rural population would not be
convinced by reading about a product,rather they would prefer audio-visuals which simply
explain to them the benefits of the product.

city size Starting cost [inr]

Banglore 10x15 40000

mumbai 15x40 70000

Ahemdabad 12x8 4800/sq feet

Hyderabad 40x25 45000

Chennai 30x12 41000

Delhi 20x20 90000

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