What is the history of your premium brands, how do they promise to deliver better value over and above normal cement and how they have transformed over the years? How do you think your premium brands effected your top- and bottom-lines?
Dalmia Cement, country’s fourth largest producer of cement, launched its first premium brand, Dalmia DSP Cement in the year 2016. Dalmia DSP is a specialised, one-of-its-kind offering by Dalmia Cement specifically engineered for concreting or "Dhalai". The product offers several advantages which we have been able to call out as clear benefits for the customer.
Some of these are:
- It would give durable construction because of high quality concrete and long term strength.
- Optimized setting time allowing for faster progress on building homes.
- Denser concrete resulting in protection against chlorides and sulphates, seepage and corrosion.
- Better coverage and high yield of concrete; helps to get more concrete per bag of cement
- Further the product comes in innovative BOPP tamper proof and shower resistant packaging. This unique packaging ensures moisture does not impact the product, which results in better storage and product performance.
- Since its launch three years ago, the brand has captured a significant market share in the Premium Cement category, especially in the Eastern part of India. In the South and North East region, we are the pioneers in creating the premium cement category itself.
- Our premium products meets the discerning needs of the customer and delivers on a set of customer benefits which lead to customer satisfaction, loyalty and advocacy of the brand. This in turn propels growth and increase in market share.
How you have taken advantage of introduction of PPC and PSC in building your premium brands?
We have used blended cements like PPC and PSC to our advantage on the platform of sustainability. With the lowest carbon footprint in the cement world, we have been able to reinforce our commitment to sustainability.
What factors have played a strong role in your branding exercises – what worked and what not? How do you link packaging strategies to premium brands?
At Dalmia Cement, we have always remained at the forefront of innovation on product and packaging. We found through a market research exercise that packaging is an important parameter while purchasing premium cement. Therefore, we were amongst the first players to use BOPP packaging for our premium product offering and LPP bags for our mainline brand. This has worked well in growing the business over the years.
On the Brand building front we continue to streamline efforts in building memorability in the minds of consumers for our product offering and provide them a sense of assurance with our service offerings too.
Some of the levers which have played a strong role in building our brand are:
- Delivering a strong and consistent product to the customer.
- Understanding consumer needs and delivering to the promises.
- Our Influencer Marketing programs along with our Technical Services support for target groups like Masons, Contractors, Engineers and Architects have helped in enhancing our brand image through better engagement.
- Training, educating, up-skilling of our influencer community on good construction practices.
- Association with Sports particularly cricket which helped in creating awareness of the brand, projecting a national brand image and a progressive company image.
- Presence in TV media on important national dates like Independence Day or Republic Day.
- Showcasing landmark structures like Dhola Sadiya Bridge (longest road bridge in India), Chennai Metro, Kannur Airport, etc. in our communication.
- Having regional connect through local festivals association and activations. E.g. Durga Puja in East, Bihu in North East, Pongal in South just to name a few.
- Instituting prominent properties like Young Achiever Awards, Mobile Theatre Awards in North East have helped us in our brand imagery.
- Of late, our Digital initiatives through various social media handles have contributed to our brand building.
"Within cement category, we have been able to grab a significant pie of the premium market within three years of our premium brand launch.."
What are the time and costs involved in creating a premium brand for an all-India player or for a regional player? Give examples of how brand transition/ continuity is handled?
Establishing a brand is a matter of building, communicating and delivering on a promise to consumers. This can take many years whether it is in cement or any other product category.
Within cement category, we have been able to grab a significant pie of the premium market within three years of our premium brand launch. The costs of creating premium brand is typically high in the initial years mainly because of launch expenses and sustained marketing communication.
We had a strong brand in Tamil Nadu and Kerala by the name of "Vajram". We have successfully transitioned this brand to Dalmia Cement in the recent past, without disrupting the market at all. This has been possible due to proper communication to channel partners, influencers and end consumers.
How relevant will cement brands be in India after, say, 20 years, particularly when bulk cement use is rapidly growing in urban centres?
It is true that bulk cement usage is growing in urban centres in India but still a significant proportion of the demand is from non-urban areas and is likely to continue in the same manner for many years to come.
Also, bulk cement which is typically supplied through bulkers or is in the form of ready mix concrete (RMC) has its own opportunity of creating brands and delivering on a set of value propositions to its customers. It is currently being done by some players in the cement industry and is likely to grow over time.