Yum Brands Targets India

Yum Brands--which owns Pizza Hut, KFC and Taco Bell--sees India as the next big growth market, after its ongoing success in China. KFC was among the first fast-food chains to enter China, and now it sees India as a market where it can expand and profit from changing demographics and increased demand for fast/casual food.

Already, Yum has more than 450 outlets in India and plans up to 1,000 units by 2015. One reason for Pizza Hut's popularity in India is its introduction of small 'snack' pizzas with small prices--the lowest price, in fact, of any major pizza brand. Pizza Hut Delivery (the Indian pizza unit of Yum) has more than 650,000 Facebook likes (its profile photo is at left).

The KFC India Facebook page has nearly 1,000,000 Facebook likes...and the chain's menu items are spicier than in other markets, to appeal to Indian tastes. From 2010, Yum's Taco Bell Mexican food chain has also been represented in India.

One priority is increasing and defending Yum's market share for long-term competitive strength. Another is building profits to fuel product development and future growth. Meanwhile, some local businesses are planning new fast-food chains, even as Starbucks and other U.S.-based competitors are working with local partners to enter the Indian market. Yum will have to clearly demonstrate what each of its fast-food brands stands for and consistently deliver on those brand promises in the years ahead.

Disneyland Paris: 20th Anniversary

Disneyland Paris (formerly Euro Disney) is celebrating its 20th anniversary. Its recent earnings report mentioned lower attendance, in part due to the ongoing economic slowdown. Now the theme park is adding new attractions and entertainment and staying open later as it seeks to increase attendance during this anniversary season.

With high brand recognition, Disneyland Paris attracts more visitors in a year than the Louvre. Still, it faces considerable competition. Already open--and becoming more popular--is Les Machines d'Ile in Nantes, devoted to (what else?) giant mechanical machines. North of Paris, Parc Asterix is older than Disneyland Paris and a key competitor. In the planning stages is a new Napoleon theme park, to be built south of Paris.

Another factor that could influence 2012 attendance: The exchange rate may give European families a reason to fly to Florida for DisneyWorld and tour the many other theme parks within driving distance, including Legoland, Universal Studios and SeaWorld.

Can M. Mouse and his friends bring in crowds during Disneyland Paris's anniversary year?

Entrepreneur Bruce Dickinson of Iron Maiden

Bruce Dickinson has been flying commercial jets for 10 years, when he's not onstage as lead singer with the Iron Maiden rock group.

Now he's launching a new business to provide aircraft maintenance services from a giant hangar (nicknamed Twin Peaks) in South Wales. In the coming year, Dickinson expects to have a staff of 300 working on jets of every size, even up to the Boeing 767, for airline customers.

Dickinson has flown Iron Maiden to gigs in the band's 757 'Ed Force One'. A commercial pilot with Astraeus, which went into administration in 2011, Dickinson has talked about opening an aircraft-related business in South Wales, as well as a flight training school.

Many airlines have considered outsourcing maintenance services, so there is considerable opportunity for Dickinson's new venture to build on this demand.

Year of the Dragon at Beijing Auto Show

Daimler's new 'smart Dragon' car

As many as 800,000 people are attending this week's auto show in Beijing, attracted by dozens of new concept cars and new model-year cars. China is the world's largest market for passenger vehicles; luxury cars accounted for nearly 8% of Chinese auto sales last year. SUV sales are strong, and brands such as Jeep are popular in China for the outdoor lifestyle they represent.

A number of models have been named for the Year of the Dragon, including a super-compact smart car from Daimler (above) and luxury cars such as the Rolls-Royce Year of the Dragon Phantom. The bespoke Phantom, available with many custom options, sold out the entire year's production in only 8 weeks--indicating that the appetite for upmarket consumer goods continues to be very strong in China.

The Aston Martin Dragon88 costs 5 million yuan, not as much as the Phantom, yet buyers are crowding in to look at it and pay deposits, since only 88 of these cars will be produced. For a gallery of photos from the show, click here.

Procter & Gamble goes for Olympic gold

As one of the sponsors of the 2012 London Olympic games--now only 93 days away--Procter & Gamble wants to make its corporate name as well known as the many product brands it offers: Gillette...Tide...Ariel...Duracell...Pampers...and dozens of others. (Not Pringles, which it just sold to Kellogg.)

P&G's annual worldwide marketing budget is an eye-popping £5.9 billion, and it's reportedly spending about 1% of that budget on sponsorship and marketing related to the London games. Positioning itself as the 'proud sponsor of mums', the company is offering free Olympics tickets and posting videos about the athletes and their mothers. Pop-up events, advertising and many other marketing efforts are in the works.

Why put P&G in the spotlight after decades of making brands the stars? Marc Pritchard, global marketing boss, explains that consumers want to know a lot more about who they're buying from and what that company stands for:

The reason it has become more acute recently is the transparency that has come with digital technology. People want to know who is the company behind the brands. What are the values? Are they interested in more than making money? What is its purpose?

Walmart and ethics

Traditionally, Walmart has been known for its high ethical standards, not allowing outside companies to buy even a cup of coffee for merchandise buyers, to avoid any influence or conflict of interest.

Asda, like all Walmart companies, has an ethics code governing internal activities and also standards that apply to smaller and local suppliers as well as to international suppliers.

Now reports of a major bribery scandal involving Walmart's Mexican division are raising questions about the company's commitment to ethical actions. The corporate board of directors has authorised an investigation of allegations that its Walmart de Mexico chain paid bribes to expedite permits for new stores throughout Mexico, violating not only the firm's ethical code but also U.S. laws forbidding such illegal payments. U.S. officials are also examining the evidence to determine what happened. Were bribes paid to pave the way for expansion, higher turnover and increased market share in Mexico?

Coca-Cola and the BRIC countries

Brazil, Russia, India, and China are helping to boost Coca-Cola's turnover: Its latest quarterly results show that volume growth rose by 20% in India and 9% in China, two of the company's fastest-growing markets. So what is Coca-Cola doing in the BRICs?

• In Brazil, Coca-Cola is investing heavily to expand production facilities and promote its beverages, with an eye toward the 2016 Rio Olympics.
• In Russia, Coca-Cola has opened its 15th production center in anticipation of higher demand during the 2014 Sochi Olympics.
• In India, Coca-Cola faces higher costs for raw materials, packaging, and transportation, and it has begun trying to pass these costs along in the form of higher prices as peak consumption periods approach. It recently raised some prices in India, as did its archrival, Pepsi.
• In China, Coca-Cola is using mobile marketing and social media marketing to reach out to younger consumers. It is also introducing smaller size bottles (priced lower than larger bottles) to stimulate more purchasing.

A run on Royal Mail stamps before price rises

Many people are buying Royal Mail stamps in bulk before the price of first-class postage rises by 30% on 30 April. The price increase is needed to maintain the current level of service (deliveries are made from Monday to Saturday). To save money, some European countries have slowed the delivery of mail and reduced the number of days that deliveries are made, but the UK has decided to maintain its current delivery levels for now.

Demand for postage is so high this month that Royal Mail has put a limit on the number of stamps each shop can buy before the price increase goes into effect, saying:

'We are more than happy for retailers to receive the normal commercial return they obtain on stamps and no more than that'.

'These limits are in place for all retailers so we can balance customer demand with the need to protect Royal Mail’s revenues'.

Once shops reach their order limit, Royal Mail will not restock them until after the price increase. Some charge that Royal Mail is profiteering or engaging in restriction of trade, and consumers and businesses are generally unhappy about the steep increase (not surprising--the 2005 price increase, which was much smaller, wasn't greeted with positive reaction either).

However, with the rise of digital communication, Royal Mail and other postal services have seen their volumes drop year after year. Royal Mail points out that it is now delivering fewer pieces of mail to more addresses than ever before. It asked for price increases to attempt to reach a break-even point and maintain service.

Marketing the Titanic

One hundred years ago this week, the RMS Titanic (above, leaving Belfast on a sea trial) set sail and then sank. (Test your knowledge--take the BBC's quiz here.)

After hundreds of books, movies and TV shows about the epic tragedy, the century-old event continues to capture the public's imagination and now has become a marketing theme:

James Cameron's Titanic has been released in 3D and is back in cinemas for a limited time.


Belfast's newly-opened Titanic Centre (left) tells the story of the shipyards that built the ocean-liner. The grand opening of this new building drew 30,000 people for a 3D light show. This area is attracting hundreds of thousands of tourists who want to learn the story behind the legend.

The Merseyside Maritime Museum in Liverpool has an exhibition about the Titanic. Because the White Star lines had its head office in Liverpool, the Titanic was registered in that city and has a close connection with it.

The genealogy company Ancestry has a large collection of records about the passengers, calling attention to the people (and to the hobby of genealogy, where Ancestry is a major player). Looking for ancestors? Check it out.

Marketing tourism during the Olympics

Holidays at Home - Rupert Grint

For UK tourists who will be going to the London area for this year's summer Olympics, the Holidays at Home Are Great campaign encourages visits throughout Britain and Northern Ireland with 20.12% off meals, lodging and other vacation expenses. And for those who want to escape the London crowds, the campaign encourages travel to many outlying areas (like Bridlington, where Rupert Grint likes to surf).

The Tourism Authority of Thailand is targeting Londoners in particular who want to spend two or three weeks away during the Olympics. More than 500,000 people have watched the authority's YouTube videos. Its Tumblr account posts beautiful photos of 'Amazing Thailand' and engages the audience by inviting them to share their images via Instagram, Facebook or Twitter.