The document provides information for developing an integrated brand communication strategy for a leading ERP provider to successfully position and communicate its offerings in the ERP space. It includes a market overview of the target segment of small and medium enterprises (SMEs), the provider's product offerings and pricing, target industry segments, findings from direct interviews with SME customers regarding their perceptions and needs, and recommendations for the provider's branding and communication approach focusing on addressing SME aspirations, communicating benefits, highlighting problems SMEs face, and emphasizing monetary benefits.

1. Integrated Brand
Communication Presentation
For
“a leading ERP provider”*
* - original name masked out

2. CONTENTS
 The Task
 SME - Market Overview
 Provider’s Offering
 Target Industry Segments
 Direct Interviews
 Findings
 Approach to Provider’s branding & communication

3. TASK
To successfully position and communicate
“Provider’s”
offering in the ERP space
To create awareness among the target public

4. SME – OVERVIEW
 All firms with an investment of over Rs. 5 cr. but less than Rs 10
cr. in plant and machinery are called Small and Medium
Enterprises
 But private and foreign banks have their own definitions of
SMEs, which can be a turnover of anything between Rs 10 cr. and
Rs 700 cr.
 SMEs employ more than 28 million people
 SMEs contribute 40% of gross industrial value addition
 SMEs account for 50% of direct and indirect exports
 Indian SMEs expected average growth rate of 32% over the next
two years.

5. PROVIDER’S PRODUCT OFFERING
 Xyz 1  Xyz 4
 Xyz 2  Xyz 5
 Xyz 3  Xyz 6
PRICING
Provider’s ERP solution is priced at Rs. 1.2 Lakhs

6. TARGET INDUSTRY SEGMENTS
 Discrete manufacturing units
 Sheet metal component manufacturing
enterprises
 Process industries
 Auto component manufacturing enterprises
 Special purpose machine manufacturers

7. DIRECT INTERVIEWS

8. Direct Interviews were conducted with Managing Directors
of select SMEs who operate in the Target Industry
segments to get a better understanding of,
 Their purchasing behavior when it comes to
decision support software
 Their perceptions and expectations with regard
to ERP
 Their software and media habits

9. FINDINGS

10. PERCEPTION TOWARDS ERP
 SMEs have a strong opinion that a decent ERP
will burn a hole in their pocket
 SMEs do not want to be seen investing in a hi-fi
software to manage their small businesses
 SMEs strongly feel that they do not need an ERP
to run their business

11. PERCEPTION TOWARDS ERP
 SMEs have a decent understanding of an ERP,
but they do not specifically know how they can
profit from it
 SMEs have over time generated a phobia towards
ERP vendors. They suffer from “Say NO”
syndrome to all the efforts of ERP vendors.

12. COMMON FEARS OF SME
These were some of the fears aired by people who were positive
towards opting for an ERP apart from apprehensions with pricing.
 Complex project management
 Change management
 User resistance
 Training
 New personnel
 Upgradation issues
 Compatibility issues with the present hardware

13. TOP PAIN AREAS
SME’s face a lot of difficulties monitoring the following vital areas
of their business.
 Sales outstanding/Collections  Materials planning &
Despatch
 Purchase outstanding
 Financial planning
 Shortage & stock-out
 Inability to generate
timely business reports,
 Employees management which would help them
know the business health
 BOM of the enterprise
 Delivery schedules
 Forecasting

14. SELECTION CRITERIA FOR AN ERP
SMEs selection of a particular ERP will depend on the following.
1. Solution to pain areas/User friendly features
2. Lesser implementation & migration time
3. Service – expert service provider and not a call-center guy
4. Price & Pricing Policy
5. Ease of use by our existing staff
6. Fixed project cost
Note: „1‟ signifies highest importance & „6‟ least

15. SOFTWARE EXPOSURE OF SME
List of software packages that they use in their enterprise.
 Tally  Yahoo Messenger (Minimal)
 MS Excel  Custom-made software based
on their requirements
 MS Word
 Local/Regional ERP brands
 MS Projects
 MS Powerpoint
 Online ERP access given by Clients

16. MEDIA HABITS OF SME
List of various media brands that they spend time with
 Print Media  Radio  Internet
 The Hindu  Radio Mirchi  Google for search
 Economic Times  Big FM  Yahoo for mail
 Business Standard
 Daily Thanthi
 Dinakaran
 TV  Magazines
 Sun TV  Limited to their industry specific
 Vijay TV magazines
 NDTV

17. MEDIA HABITS OF SME
Some Common Trends
 None of the mentioned media brands are given particular
attention to
 There is a common grazing behavior spotted, where they just
focus on articles related to their business in newspapers
 TV is strictly limited to a timeframe of 9 – 10 at night
 Radio is 100% limited to their travel to & from office
 The new generation (son/daughter of the M.D.) who is taking
charge is more Internet savvy

18. BRAND AWARENESS
 SAP enjoys a good brand equity among the target
group
 Tally enjoys a unique place in the minds of the TG –
They very well know the limitations of Tally, but they
still perceive it to be the ERP that is made for them
 Oracle is known to some, but they are a bit confused
associating Oracle with ERP on the first go

19. A TYPICAL BIZ DAY 6-6:30
Wake-up
>10 Goes to 8-9 Travel
bed to office
9-10
9-9:30
Dinner &
Start work
TV
A typical day in the
life of an entrepreneur
Lunch
>8 Leaves
between 1
office/plant
&3
Note:
This is a person who has >6 Pending
3-5 High
“NO” time for anyone activities
and
pressure
zone
discussion

20. KEY DECISION MAKER(S)
 The SME Owner/Managing Director is the final
decision maker
 Since most of the SMEs are family run businesses &
partnership firms, there is a close associate in the
form of son/daughter/first or second degree
relative/partner also playing the role of a joint
decision maker

21. INFLUENCERS
IT Services
Personnel
Finance
Clients
Department
Friends from
the industry SME Family
who have 1st Managing Members
hand experience Director
of ERP

22. VERBATIM COMMENTS
I will be interested to invest in producing more rubber rather than
spending lakhs of rupees on ERP
- Mr. XYZ
- Organization XYZ
My accounts and finance persons are the one’s who are going to
provide me with reports and they will strongly oppose if I force
them to change from Tally
- Mr. XYZ
- Organization XYZ

23. Approach to Provider’s
Branding & Communication

24. ASPIRATION
There is always a strong aspiration to grow among the
SMEs.
 Addressing this aspiration quotient through all our
communication targeted at SMEs
 Communicating the fact that we can enhance their
decision making skills, in turn pushing growth at a
faster pace
Raising the question “Do you want to grow at a
better pace or not?”

25. BENEFITS
Communicating the benefits that Provider can provide
the SMEs
 Through all our communication efforts, we will only talk
about the benefits that an SME can derive from
Provider’s offering
 Taking the “Benefits” route will help us focus all our
communication efforts on what we have to offer and how
our offering will make a change for the SMEs
“We provide you with timely information that will
help you plan every step of your business on time”

26. FEAR FACTOR
Every business enterprise faces a lot of threats – and
our communication will amplify these threats.
 The danger of running out of business, simply because
there was lack of information to take timely decisions
 Converting all the small problems that a SME faces into
dangerous alarm signals that draws the attention of
SME
Just because I did not have the updated material
costing, I quoted a higher rate and “lost a huge
contract ”

27. REGULAR PROBLEMS
Since most of the SMEs are problem prone, our
communication efforts can be focused on highlighting
these problems
 Our communication will specifically revolve around day-
to-day problems that a SME faces and it can range
anywhere from stock outs to collection mismanagement
to an incorrect sales forecast
“The production guy thought that there was
enough stock, and the stock guy did not know the
SIH, ultimately the production line is waiting for
lack of stock”

28. MONETARY BENEFIT
Bringing to fore the monetary benefit that Provider’s
offering can provide a SME
 Optimal utilization of all your resources with the help of
Provider’s offering will definitely lead to increased
savings
 Save more, increase your savings, and expand your
business
“Do you really know
how to save with what you have at hand?”

29. MEDIA VEHICLES
 Direct Mailers  Radio
 Product inserts  Associate visibility
 Trade magazines (Target industry specific)
 IT Magazines (visibility)
 Partnering opportunities with Industry Regulatory
bodies/Associations/Promotion councils
 Industrial estate specific activities

30. THANK YOU