Issue of August 2005  
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Branding India

Jyoti Koul - New Delhi

Tourism has become the 'brand' new focus these days. The finance ministry, in the Union Budget 2005-06, raised the fund allocation for tourism to Rs 786 crore from Rs 500 crore in 2004-05. The allocation for tourism infrastructure is Rs 416 crore, up from Rs 279 crore last year. Aptly looking at the returns from the 'Incredible India' campaign, the government has earmarked another US $48.16 million for it in the budget.

While the government accorded high priority to domestic tourism in the budget proposals for 2005-06, allocation for its campaign has been increased five-fold - from Rs 14 crore to Rs 70 crore in the new budget.

Colours of India

The second phase of the campaign will focus on 'Intelligent India’. To that effect, tailor-made packages are on the anvil for specific markets

Renuka Chowdhury

The United Progressive Alliance government - that has always emphasised on accelerating economic growth - pumped in capital to rejuvenate the tourism sector leaving the ball in ministry's court. And now, it is busy with the new phase of the 'Incredible India' campaign.

Quoted as being "refreshing" with a vibrant theme 'Colours of India', the new campaign has a different focus than the previous one. According to Renuka Choudhury, minister of tourism, "The second phase of the campaign will focus on 'Intelligent India'." Choudhury said that it is time to tap the NRIs in UK and the US who represent about 32 per cent of the medical fraternity.

The minister, therefore, intends to promote India as an intellectual segment instead of a poor man's paradise. Therefore, tailor-made packages are on the anvil for specific markets. Which means that the focus now is on the 'target' and not the 'product'.

Perhaps the ministry drew inspiration from the states that have successfully marketed themselves separately. For instance, Kerala created a rage in the international market with a combined effort from the state and the stakeholders and can now stand on its own.

Planning and Co-ordination

Meanwhile, all eyes are set on the new campaign that has huge funds allocated to it. But the growth watchers are skeptical. They believe that the campaign has to be equally sustainable as the product it is promoting.

A tourism analyst says, "Just because the ministry has allocated funds for marketing India overseas, it cannot go ahead and create a film or produce a brochure. Marketing has to be a well-planned and co-ordinated effort. For this, one needs to identify the markets and target them accordingly."

And rightly so if the ministry wants a high return on investment. While the second phase of the 'Incredible India' campaign ('Colours of India') is yet to be launched, it must hit the nail on the head. The good news is that this time around, the ministry plans to rope in private sector as well instead of making it a singular effort.

Focus on India's Diversity

'Colours of India' is all about the rich and varied culture of India. It will showcase different cultures, cuisine, festivals, the people, and even the seasons.

Having taken a cue from the success of the first phase, where it played around Ayurveda, spa and spirituality, this phase will also use the 'niche' technique. It will therefore have a judicious mix of niche marketing promotions that will include beaches and adventure tourism packaged and branded in a new way. For instance, the ministry's 'Look East Policy', started under former tourism minister Jagmohan, tries to woo tourists from South-East Asia, China and Japan which is a Buddhist circuit.

Customised Campaigns

India has been milking the same cow for long. We should either rest the product, enhance it or
change it altogether. The aim should be to reduce over-dependence

Harsh Varma

However, according to industry analysts, the need of the hour is to develop customised campaigns for different markets. This will mean that beaches will not be promoted in Seychelles or Mauritius.

Besides, a product mix and competitive package is what will open doors for India. Further, if India wants to capture a larger slice of the cake, the focus needs to move from product to customer, from built heritage to creating visitor experiences, from sightseeing-based tourism to activity-based tourism and from transactions to building relationships. Today, visitors prefer some recreational activities to spice up their vacation. It has to be an experiential holiday.

With shorter and more activity-packed holidays on the cards, specialisation and niche product segmenting will play an important role. Hotels and travel service providers will have to innovate specific products in order to be relevant. Product diversification should be the other area of focus as select destinations slowly show signs of fatigue.

Harsh Varma, regional representative for WTO (Asia-Pacific), says, "India has been milking the same cow for long. We should either rest the product, enhance it or change it altogether. The aim should be to reduce over-dependence on them." While the products and packages are being modified, pricing is one crucial aspect that demands immediate attention.

However, the implications of this new marketing campaign can only be positive if there are concerted promotional and marketing efforts by the government, the state tourism boards and the private players. In an industry, which is so fragmented, what is actually required is not just better infrastructure but also better co-ordination and understanding together with long-term planning and foresight - a vision that is combined with venture.

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