The Teleshopping Business in India

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Case Details:

Case Code : MKTG036
Case Length : 12 Pages
Period : 1990 - 2002
Pub Date : 2002
Teaching Note : Available
Organization : Varied
Industry : Media and Advertising
Countries : India

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This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

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"The basic concept of telemarketing is that you should be offering what is not available in the retail market. Why would anybody buy from us, if we were offering what is available in the traditional marketplace? We have to keep coming out with exclusive products practically every second month or so."

- Mahesh Panna, Country Manager, Telebrands, in September 2002.

Offering 'Miraculous' Products!

"Interested in reducing that 'extra flab' on your body in a matter of hours? Would you like to grow hair on that balding pate of yours in just a few days? All you need to do is watch the television (TV) and order the 'miraculous' products being advertised through the phone."

Welcome to the world of teleshopping networks, a phenomenon that had become a part of the lives of Indian TV viewers by early 2000. Day in and day out, customers were swamped with images of models showing off their 'fabulous flat abdomens,' 'blemish-free skins,' selling disease-curing teas, wondrous kitchen and household equipment, on almost every TV channel.

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Though teleshopping networks became operational in the mid-1990s in the country, their presence was never felt as strongly as it was during the early 21^st century. A majority of these infomercials¹ were dubbed versions of English (or other foreign languages).

Many consumers found it extremely amusing to see foreigners mouthing chaste Hindi (and other regional Indian languages) while advertising these products. However, it was the nature of the products being offered by these networks that attracted the maximum attention.

Most of the infomercials featured products that claimed to provide miraculous results. There were products, which could help one reduce weight and get into shape without exercise or dieting.

There were other products that promised to make people give-up smoking and improve body posture. The range of products included creams, potions, solutions, toys etc.

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1] Infomercials are commercials (advertisements) that are intended to provide information about the product/service being advertised, in greater detail than the conventional advertisements. They are educational in nature, range from a few minutes to half-hour in length and are shown as part of the regular programming on TV channels.