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Post Offices to offer Railway Tickets bookings, mobile recharge & more…

Arun Prabhudesai — Fri, 18 May 2012 05:50:15 +0000

Indian Post offices are improving – They are not only becoming high-tech, but also considerably increasing the bouquet of services they offer at their outlets. According to the statement by Mr. Sachin Pilot, Communications & IT minister, postal department has entered into agreements with 8 organizations including financial institutions to sell their products through the post offices in the country.

Post Offices in India will offer following Services

Sl. No.	Name of Company / Financial Institutions	Description of product/service
1	Western Union Financial Services Inc.	International Money Transfer to India
2	MoneyGram Payment Systems Inc.	International Money Transfer to India
3	UTI Mutual Funds	Sale of UTI Mutual Funds through post offices
4	Pension Regulatory & Development Authority	Point of Presence for National Pension Scheme accounts.
5	India Post SBI tie-up	Department sells assets and liability products of SBI through identified postal outlets.
6	Ministry of Railways	Booking/cancellation of Railway Reserved Tickets under Passenger Reservation System
7	Reliance Money Infrastructure Limited.	Sale of Gold Coins.
8	Bharat Sanchar Nigam Ltd.	Sale of Recharge Coupons, Sancharnet Cards etc.

Regarding tie-ups with Western Union & Moneygram, it is not clear if it will allow only inward remittances or whether it will allow out ward remittances as well. According to me, one can only receive money, but because sending money requires lot of paperwork in India, it may not be possible to do it from Post Offices.

Another service that probably will help millions, especially in rural areas would be Booking / cancellation of Railway Tickets.

What do you think of these offerings by Indian Postal department ?

India’s Mobile Banking Adoption highest in World!

Arun Prabhudesai — Tue, 15 May 2012 12:34:34 +0000

Mobile Banking has really caught up in India – according to recently conducted survey by ACI Worldwide, 76% of Indian mobile respondents used their mobiles for banking in last 6 months. This percentage is highest across the world.

Comparatively, only 38% respondents from US, and 31% from UK used mobile banking in last 6 months. China, came in after India with 70% users using mobile banking followed by South Africa (61%). The global average for Mobile Banking adoption rate stands at 35%.

Source: Aite Group; ACI Worldwide study of 4,200 consumers in 14 countries, Q1 2012

Mobile Payment Usage

India comes in 2nd in terms of making payments on mobile. 64% of the survey respondents from India used their mobile phones to make payment atleast once in last 6 months, while Chinese led the pack with 66%. Surprisingly, only 30% of US respondents & 23% of UK respondents have made payments on mobile in last 6 months.

Importance of Mobile Payments & Money Movement

According to the survey, the countries with highest levels of mobile payment adoption also display highest importance on mobile payments and money movement. Roughly two-thirds of Indian consumers consider making payments and moving money using their mobile phone in the next three years to be “very important” to them —in contrast only one in 10 French and Canadian consumers think mobile payment is “Very Important”.

Replacing Traditional Payment Cards with Mobile Payments

Over 8 out of 10 Indians responded that they would prefer using a mobile phone to make a payments instead of traditional payment cards.

The lack of importance of mobile payments and money movement in a number of countries belies the interest that many consumers across the globe have in using their mobile phone to replace carrying payment cards. In Brazil, for example, although 39% of consumers consider mobile payment and money movement to be “very important,” 75% would use their mobile phone to replace cards.

Even in France, where just 9% of French consumers place a high importance on mobile payments and money movement, 44% express interest in replacing their payment cards.

One surprising fact in all the above findings is that western countries like US, UK, France, Germany etc. are low on mobile banking and payments. One of the reason I see is that they transact more from Desktop PC’s. Whereas in countries like India & China, majority of consumers only have mobiles on which they can carry out mobile banking / payments ( as they don’t own personal computers).

Most Popular Gadget Brands in India [eBay report]

Arun Prabhudesai — Tue, 15 May 2012 09:05:25 +0000

Ebay yesterday released “Battle of the Gadget” Rankings for the most popular gadget models & brands based on the transactions that happened on ebay between Jan 1st 2012 to March 31st 2012. The rankings showcases popular gadgets & brands across 4 categories of Laptops, Cameras, Mobile Phones & Televisions.

Samsung has been making huge strides in India, not only in smartphones, but in other categories as well – It maintained the tag of most popular Gadget Brand with 31% of market share all 4 categories of Laptops, Cameras, Mobile Phones & Televisions.

While Samsung was most popular brand for mobile handset and Television category, Nikon came up trumps in the Digital Camera category and Apple topped the laptop category.

eBay transactions have also been growing at a healthy pace – According to the report, a mobile handset was sold on ebay site every 3 minutes, a laptop every 13 minutes & a digital camera every 25 minutes!

Here are the details of Battle of Gadget Rankings:

Among Smartphones alone, Samsung captured over 35% of market share with Samsung Galaxy Note N7000 being the most popular Smart Phone. While Sony & Blackberry were neck-to-neck on the 2nd position. These 3 brands, Samsung, Sony and Blackberry, have together captured 87% of market share amongst transactions on Ebay in the smart phone category.

Delhi was the top city when it came to number of mobile phones bought across India.

Among the Dual Sim phones, Micromax is the leader, while Nokia X2-02 was the most purchased Dual SIM phone model. Bangalore consumers bought most Dual SIM phones on eBay India.

The sale of digital camera’s grew by 26% in first quarter of 2012 as compared to previous quarter on eBay India. Nikon and Canon topped the overall Digital Cameras category with 27% each. Sony came in at 3rd position.

Canon saw maximum growth in Digital Camera category with a growth of 84% over previous quarter and Canon EOS 550-D was the most purchased Digital Camera Model.

Bengaluru followed by Delhi and Chennai were the top three cities respectively, who bought maximum number of Digital Cameras.

Sony was the most popular brand when it came to compact camera’s, while Canon was the brand most bought in Digital SLR Category.

Apple jumped to top in first quarter of 2012 in number of transactions of eBay putting Dell in the 2nd position. Tablets dominated the category with 44% share and iPad 2 being the most purchased Model. Bangalore was once again forefront as the city that bought maximum gadgets in laptop category on eBay.

In the netbook category Acer was most popular with Aspire One being the most sought after netbook model. Netbook demand is now currently going down with market share now shifting towards tablets. Among the tablets, iPad 2 was the leader.

The demand for 3G enabled tablet was on rise with 30% of all tablets purchased were 3G enabled.

Television Category Rankings

Top TV Brand: Samsung
Top LCD Brand: Sony
Top LED TV Brand: Samsung
Top TV Model: Samsung 40D5000
Top LCD Model: Sony Bravia KDL 32CX520
Top LED TV Model: Samsung 40D5000
Top TV City: Bengaluru

Samsung ruled the television category with Samsung 40D5000 being the most purchased television by Indians on eBay. LCD TVs led with 55% market share followed by LED TVs with 38% market share. Bengaluru bought the most TVs in India.

eBay’s Battle of Gadget survey clearly shows that ecommerce is on the rise in India and reiterates the fact that Indians love buying gadgets online.

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Indians prefer Second Hand properties over New!

Kaushambi — Mon, 14 May 2012 14:41:14 +0000

A survey by Track2Realty has found that Indian home buyers are more interested in buying ready-to-move in properties rather than new and incomplete projects. The survey targeted the upper and middle class home buyers in 10 cities including Mumbai, Delhi, Bangalore, Calcutta, Ahmedabad, Chennai, Pune, Kochi, Patna and Chandigarh. Most of these buyers were educated professionals and were trying to buy property for the first time.

The survey pointed out that 74% of buyers would rather buy a property that was ready-to-move in, rather than a project which was still under development.

Some of the reasons given by the buyers included things like ease of projecting appreciation, reasonability of rates and charges levied by the builder, instant access to tax benefits, etc. More than half of the respondents who were home buyers also mentioned that they would prefer a ready property just because they can make a good decision based on the type of neighborhood and overall profile of a property.

So why is there a negative sentiment towards new projects and developments that have not been completed? Why would 7 out of 10 prospective home buyers in India negotiate a deal for an existing and ready-to-move in property rather than an unfinished project?

One of the first concerns seems to be delays. Construction may not happen as planned and there may be delays beyond the home buyer’s or the builder’s control. In the survey, 82% of buyers who bought properties in new projects are now regretting their decision because of delays in completion of the project.

An apparent ‘Over promising’ is also scaring away first home buyers from new developments. 72% of home buyers who did not prefer to buy new and unfinished projects complained about the lack of non-functioning amenities like club houses, swimming pools and under-equipped gyms. The buyers also show a lack of trust in builders as faulty construction and poor design were a major issue.

Benefits of buying Second Hand properties

Let’s drill into the psyche of the average property buyer who is an urban professional and is in the middle to upper class segment. Some of the obvious benefits of buying a ready-to-move in property align with the findings of the Track2Realty survey.

Buyers can see for themselves the kind of construction and design they are paying money for.
Home buyers can also survey the already functioning amenities that exist in the development.
Municipal and builder levied charges are also clear to the buyer and there are little chances of surprises.
There is virtually no chance of delays as the property has already been constructed.
Buyers can see what the neighbourhood is like and the type of environment in the apartment complex or society development. It is easier to answer questions like "Will the children enjoy it here?", "Will it be a peaceful environment?" etc.
As the property has already been owned and possibly lived in before, there are lesser chances of fraudulent paperwork.
Appreciation of property prices is one of the top things on the mind of a property buyer. In case of completed and ready-to-move in properties, buyers get a good feel of the area, surroundings and infrastructure within and outside the development premises. It seems that the satisfaction of ‘what you see is what you get’ trumps over unknown certainties of buying properties that have not been fully constructed yet.

However it should be noted that first home buyers should not shy away from purchasing new developments. There may be inherent risks of buying a project which is under construction, but such purchases can reap big rewards and can be life-changing from a monetary perspective.

One of the basic precautions that home buyers can take is to buy from reputed builders. There are no guarantees that even India’s best construction company will deliver 100%. But buying a property in a development which is under the banner of a well known builder reduces the risk factor. Reputed builders survive on branding and delivering what they promise in terms of construction quality, amenities, etc as bad publicity can harm sales in future projects.

Smartphone usage by Indians: Women love to Chat, Men love Apps

Kaushambi — Thu, 10 May 2012 12:43:29 +0000

Last week, Google did a survey with Ipsos which showed that percentage wise there were more active smartphone users in India than in US. Now, information and media giant Nielsen used ‘smartphone metering technology’ to survey smartphone usage habits of Indian men and women. Nielsen Informate Mobile Insights throws light on how men and women respondents in India are using their smartphones.

While it may be hard to believe, the average smartphone user in India clocked 81 hours of smartphone usage in March 2012. That’s more than two and a half hours daily in a 31 day month.

It is also noted that women and men spend the same amount of time on their smartphones. So the notion that Indian men are more gadget friendly than their female counterparts is definitely a thing of the past.

However the difference between the usage trends of Indian men and women is quite evident. Men spend 50% more time than women to surf the internet via their smart phones. This may very well be a blaring cue to online advertisers, hinting at the higher probability of smartphone using males looking at their advertisements on websites than females.

Men are also more likely to install and download apps. In the survey, men respondents downloaded an average of 16 apps during the month while the women downloaded 11. A characteristic male trait is to refrain from asking for directions. Apparently to avoid doing the same, men seem to prefer using the Google Maps app to look for directions. So much so, 45% of men accessed the app as compared to 32% of women.

At 29% of total usage, women spent most of their time using smartphones to access online apps.

On the contrary, men only spent 16% of their time using online apps. Aptly titled gossip queens, Indian women spent 4 times the time men spent on Instant Messaging (IM) apps.

So much so, women respondents spent on an average of 32 minutes per day using IM apps as compared to 8 for men. These apps include but are not limited to WhatsApp Messenger and Google Talk. Social Networking apps came in at second place but their usage in terms of time spent per day was nowhere near to IM apps.

A finding that didn’t come across as very surprising was that women spent 3 hours more on calls during the month than men. From 81 hours, women spent 20 hours on calls as compared to approximately 15 for men. This means that 25% of the total smartphone usage during the month by women is for calls and messages as compared to 19% for men.

It would be fair to draw a conclusion from Nielsen’s survey that men are more likely to use their smartphones to surf the internet and use utility driven apps like Google Maps. On the other hand, women are more likely to use their smartphones to communicate, use IM and social networking apps, and spend more time talking on the phone. So, women like to chat, what’s new?

How well do you know Indian North-eastern states? [Survey]

Kaushambi — Mon, 07 May 2012 13:16:02 +0000

Can you name all the states that fall within the title The Seven Sisters? Which is the second largest city in North East India after Calcutta? Mawsynram may be one of the places in India that received highest rainfall each year. But which state is it in? What it the capital city of Arunachal Pradesh? Which North Eastern states share a border with Myanmar?

Don’t shrug off these questions just because they seem like they are straight out of a GK book. Go ahead and test yourself. If find yourself fumbling with most of them, you could very well be amongst the 87% of working professionals in India who can’t even name all the states of North East India.

A survey carried out by Northeast India Image Managers or NEIim revealed some shocking facts about what the rest of India thinks and knows about its North Eastern parts. NEIim is a group of North East Indian PR, Media and Brand Management professionals that operates from Indian metros.

NEIim carried out the survey amongst 400 respondents from the communications and service industry in Delhi, Mumbai and Bangalore. This perception survey is one of the first of its kind in India. And it has carried out a purpose that needs to be addresses seriously.

The survey seems to highlight the notion that this region is often seen as an alien / foreign culture. Everyone knows about the current affairs in Bihar, Orissa and West Bengal, but beyond those borders, facts seem to be blurred. It surely does not help when Naxalite activity in Bihar, Uttaranchal and other nearby areas have aided bad publicity for the North East.

52% Indians have negative perception about the North East not because of particular instances of political instabilities there, but because they equate peace disrupting activities and characteristics of underdevelopment to the North East.

Highlights of the survey

76% respondents are clueless about the political situation of North East India. They are unaware that peace talks are going on between the Central Government and military groups of the North East.
91% respondents have no knowledge about the North East Industrial Policy. This policy essentially gives special grants and incentives for industries setting up base in this region.
75% respondents had no idea that currently the UPA coalition has a few ministers who hail from the North East.
30% professional respondents would not choose to live in the North East even if they found ideal career prospects that. This owes to the primary belief that North East India is not very developed, has less connectivity and is generally unsafe. Interestingly, 61% respondents thought that the North East could make for a good platform for corporate and multinationals to invest in.
56% respondents had no idea that the North East houses the IIT and IIM.
70% respondents couldn’t find it believable that 3 states from North East India have a higher Per Capita Income than the national average. The sentiment and confidence towards these regions was evidently low.

Reacting to such blaring figures of ignorance NEIim responded "This testifies the fact that the picture has not really changed over the years. The stories of progress and peace from Northeast have not reached the people in the rest of the country yet." Source

However the bright side of the survey was that 93% respondents wanted to know more about North East India. 42.7% respondents also endorse that the education system in India should include more focus on North Eastern states. Taking a cue from this, it would be great if the Indian media started showcasing more of North East India.

Say for instance, NDTV Good Times runs a program called The Warriors and Tribes of Nagaland. Shows like this may help influence the perception of 30% Indians who would not choose to take a vacation to the North east even though they know that it is extremely scenic. Wilson College in Mumbai hosts a college festival called Rainbow Festival. It aims to further the interests of North Eastern students enrolled in Wilson College and other colleges of Mumbai.

As far as the question of acceptance of such programs is concerned, the survey already pointed out that 56.3% respondents wanted the media and the Government to run special awareness campaigns that create positivity about this region.

It would be fair to assume that the media consumption of this set of professionals is higher than the average citizen. And if this is the state of the apparently well-informed urban respondent, we can only wonder what it’s like with the rest.

Your Passport information can be divulged through RTI!

Arun Prabhudesai — Mon, 07 May 2012 05:22:06 +0000

This piece of news has left me shocked – According to a news appearing in ToI yesterday, Indian Central Information Commission (CIC) has said that an Individual’s passport information could be disclosed under the Right to Information Act (RTI Act).

Essentially, what this means is – All your demographic information including address, education, travel details etc can be handed over to 3rd party if he/she files for an RTI for that information. According to me, this is serious invasion of privacy and something that should not be allowed.

This information came out relating to a RTI filed by Anita Singh, who wanted information which included passport details and copies of Ajeet Singh ( Indian ex-cabinet minister) while applying for passport. Although, the external affairs ministry did not disclose the details. The reason offered was that this information cannot be disclosed without taking views from the involved party.

Now, there are definitely gray areas on this subject. Let me be clear that ToI article does not detail on what grounds this information could be passed on to third party. However, CIC commissioner was quoted saying “There are some extraordinary situations where the state may be allowed to invade the privacy of a citizen”.

I do not have objection for release of information, if the RTI is filed regarding travels being done on Government expenses or divulging residential information if the concerned person is living in Government property. However, giving out any information about a person not relating to Government is a strict no-no.

Would love to hear your thought on this!

Indian Railways to offer Wi-Fi on Trains, ISRO clears Satellite connectivity

Kaushambi — Wed, 02 May 2012 05:08:52 +0000

Currently, tech savvy train commuters have only one option to access internet while travelling on trains in India – through their mobile handsets or by using a broadband stick that plugs into a USB drive. However we all know that getting a strong signal throughout a train journey is just too much to ask for. All that is set to change as exciting news of Wi-Fi on trains in India bring hopeful smiles on the face of the modern Indian.

ET reported that the Indian Railways received preliminary clearance for using the frequency of Ku band, which is primarily used for satellite communication. Railways had been waiting for the clearance since the last couple of years and it is believed that Howrah Rajdhani express will have the first link-ups. This pilot project will be the first time that moving trains will have satellite linkup to provide for internet services and will cost about Rs. 6.30 crore to implement.

However, don’t be too optimistic about using Wi-Fi on your laptop/tablet while travelling on trains in India just yet. Over the coming months, Indian Railways will test the system on the pilot project thoroughly.

During the tests, travelers on the Howrah Rajdhani will be able to access internet via their Wi-Fi enabled devices. The connection will be made via custom made antennas that will be fitted in the train. It may be believed that some sort of Wi-Fi router or hot-spot will connect individual devices. The best part about the pilot project is that the service will be free of charge, at least till the time they are testing it.

So if you happen to be travelling in Howrah Rajdhani while the pilot project is going on, don’t forget to carry your Wi-Fi enabled device to get free access to internet via satellite connectivity on the K_u band. The ticket inspector will give you a number which you will dial from your mobile phone. Shortly, you will receive a password with which you can login to the network. It is similar to how you access internet from Airport Hotspots.

While this sounds great, one can’t help but imagine the possible nightmares that passengers could face. If we are free to speculate, the fee/charge to use such a service could possibly paid by either netbanking, debit card, credit card or on-the-spot recharge facilities via the TTE.

But what happens if there is a glitch and the passenger is unable to access the system. Do passengers fill out lengthy forms and wait in queues at the railway station to claim refunds? Will there be someone on the train who can look into IT related issues?

If a passenger is unable to access the network, who decides whether it was the passenger’s device that was faulty or the train’s network? What happens if someone has relied heavily on the internet connectivity to get work done and upon boarding, sees a "Sorry, Not In Service" board? Obviously, the questions are many and just the thought of arguing with a railway official on the station over petty internet usage charges feels irritable.

Then again, we can either choose to be skeptics or applaud the terrific effort on the part of Indian Railways to modernize rail travel. Obviously, we are going to do the latter. After the launch of the IRCTC website, the Indian Railways have been on a modernization rampage. Convenient services like mobile ticketing, SMS booking confirmation as a virtual train ticket, using a screenshot of an e-ticket and booking Tatkal tickets without the interference of travel agents from 8 am to 9 am are already in place.

Services that allow tracking train schedules, tracking real time train movements and integration with Google Maps are expected to be launched soon. Indian Railways deserves a pat on the back for its modernization drive and we can only hope and pray that it continues to deliver power-packed and no-nonsense service solutions that will benefit the passengers.

And, if you are one of the lucky ones to be traveling on that Rajdhani express during the pilot, do let us know what your experience was…

Maruti Suzuki on a promotion blitz: Innovative marketing in rural areas

Kaushambi — Wed, 18 Apr 2012 12:16:44 +0000

Most of India still hasn’t forgotten how there was a time when everyone was vying to buy the Maruti Suzuki 800 or the Fronty as it was lovingly called. Fronty may have been bid goodbye after its memorable run spanning a couple of decades, but Maruti Suzuki hasn’t stopped churning super hit set of wheels – from Alto to Swift to Omni to Zen to Gypsy to Estilo to Wagon R to Ritz and now the newly launched LUV Ertiga. With a continuous churn out of successful car models suiting Indian families, Indian roads and Indian sensibilities, Maruti has also stuck to its Indian roots when it comes to marketing and promotions.

The rural market share of Maruti increased from 3.5 percent of total sales five years ago to 26 percent in 2012. Alto clinched 36 percent of rural sales in 2011, Omni hit 13.6 percent and the Wagon R accounted for 12 percent rural sales. So what magic has Maruti been yielding on the farmer clan of India and how? Let’s find out.

Maruti’s rural connection since 2008-09

In 2009, Shashank Srivastava, Chief General Manager, Marketing told Hindu Business Line states that Maruti Suzuki started paying more attention to rural markets after the economic meltdown when they realized that the recession had affected bigger cities badly. At that time, the ‘Ghar Ghar Mein Maruti’ and ‘Mera Sapna Meri Maruti’ campaigns were already afloat to target the rural segment.

Additionally, 3000 local villagers who were well versed with rural languages and behaviors were nominated as resident dealer sales executives of Maruti Suzuki, whose main job was to promote sales in their respective villages. They were further supported by over 186 extension counters. Maruti has gone the extra mile by taking villagers for factory visits, conducting detailed profiling of the villagers, their consumption patterns and their choices and capturing the attention of decision makers of the village like Sarpanch. From regular rural sporting events to sales fairs (Grameen Mahotsavs) to SMS campaigns for Gram Panchayat Members, Maruti Suzuki has done it all.

So, what’s the latest strategy up Maruti’s sleeve to lure its agrarian customers?

Video on Wheels

Off late, Maruti has been organizing road shows with film screenings. This is much like a travelling cinema that rural India is already quite familiar and fascinated with. The only difference being that the film is not set up in a tent, but inside a TATA truck fitted a Samsung LCD TV, an air conditioner and reclining seats. The film strikes a chord with the villagers because it tells a simple story of an average villager who buys a Wagon R after being persuaded by a friend who also bought a Wagon R.

The film has names that real villagers can relate to – Hari Prasad, Bimla and Duggal Ji. The host conducting the proceedings inside the truck too carries forth the experience of entertainment by mimicking Hindi film celebrities. And villagers are not allowed to leave without a brand recall mechanism. The host conducts a quiz based on the film shown and gives winners Maruti Suzuki memorabilia like caps, pens and wall clocks.

Win-Win for Maruti

Maruti has been taking advantage of a combination of change factors that rural India is witnessing. Credit finance and banking facilities are more accessible to villagers, word of mouth is stronger and they are moneyed folks. Parshu Narayanan, Creative Head and Managing Partner, Publicis Capital, the agency responsible for Maruti’s ad film aptly states "Today a rural consumer is much younger, far more exposed (to contemporary trends) and is getting more affluent".

Here’s an interesting snapshot of the kind of people that Maruti Suzuki is selling to.

Orange farmers in Nagpur
Turmeric growers in Tiruchengode, Tamil Nadu
Granite polishers in Hyderabad
Blue pottery makers in Jaipur
Madhubani painters in Madhubani, Bihar
Potato growers in West Bengal
Apple and fruit growers in Himachal Pradesh
Fishermen in Howrah
Alphonso mango growers in Ratnagiri

The future of rural marketing

Around 2 percent of the 100,000 cars that Maruti’s sells on a monthly basis sales in rural India come from very small villages (population of less than 1000 people). While that is fascinating, competitors are not lagging behind. Hyundai cashed in 32 percent of its sales in non urban markets and GM sells 30 percent of its cars in villages. On the other hand, some farmers who have become rich overnight by selling their land, are on an Audi buying rampage. They call it the car with bangles, referring to Audi’s logo!

If every automaker in India is now looking at going rural, aren’t the rural markets going to saturate soon? While automobile giants make hay while the sun shines, they’ll have to simultaneously think of new strategies and discover more niches that help them up sales in the future.