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Emerging Market Needs for Products
1. Business Transformation Globalization through Are needs of emerging markets truly different from developed markets? VamseeTirukkala Co-Founder & Managing Principal Zinnov Disclaimer: This presentation is solely for the use of Conference attendees, Zinnov Clients and Zinnov personnel. No part of it may be circulated, quoted, or reproduced for distribution outside the organization without prior written approval from Zinnov
2. 2 Emerging markets of Brazil, India, China and Russia represent 42% of the world’s population and economies are growing faster Real GDP Growth in 2009 Consumer Expenditure (US $ Trillion) Debt to GDP Ratio of Economies in 2009 Disposable income in emerging markets is fast catching up with developed economies and this has resulted in increased consumer spending Source: Zinnov analysis of reports from World Development Indicators Database, World Bank, CIA
11. The sheer size of the nations and unique price performance expectations makes scale a key attribute in these markets.
12. Most emerging markets lack basic infrastructure like power, road infrastructure, bandwidth etc
13. The price performance expectation of these markets are dramatically different. For $6 you can buy a coffee in the US or pay for one months education of a child in India
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16. Amit Zavery, VP of product management, Oracle Server Technologies Division
23. On-time and critical information doesn't reaches the villagers and rural inhabits
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25. Local youths pay USD 22 to get ‘franchise’ rights to be the local reporter for a village
26. He compiles the basic information of villagers like names, mobile numbers, etc and signs them up as subscribers
27. This is passed on to Ravi Ghate who sends messages to these subscribers about basic community information The Innovator Ravi Ghate Director Product Usage Qualification : 12th Pass, IInd year Diploma Failed. Innovator of the idea of Local SMS Community Newsletter Similar models are being built in parts of Africa , where mobile ubiquity can play a vital role in developing communication
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29. Uses high-end insulation to stay cool for hours without power and consumes half the energy used by regular refrigerators
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31. Entry level refrigerators in India are priced at USD 156, way above the budget of tier II, III and IV customers
32. The needs and requirements of rural consumers was a portable refrigerator
33. To be launched in 2011, touted as world’s cheapest refrigerator at USD 69 by Godrej and Boyce
34. Co-designed with village women to assure its acceptability, and distributed by members of a micro-finance group
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36. Unique water handling system which allows us to use the rig without having any water connection
60. Average number of deliveries per month is equivalent to 100-110 in comparison to 15-20 in Private clinics
61. No-Frills Delivery Model. Standardized Procedures, No Canteen, Low attrition, High Volumes
62. LifeSpring charges only USD 35 for a normal delivery compared to a average prevailing market price of USD 120
63. Standard quality protocols have been developed for provision of healthcare servicesCost of Doctor/Patient LifeSpring Asset Utilization is more than 5 times that of comparable private clinics
64. 14 About Zinnov Zinnov helps organizations globalize their business and improve people strategy. Our consulting solutions are based on rigorous research techniques, data analytics and communities Zinnov Research: http://www.zinnov.com/white_papers.php Zinnov Blog: http://zinnov.com/blog/ Zinnov Services: http://zinnov.com/services.html Zinnov Events: http://www.zinnov.com/zn_events.php @zinnov For additional details on the topic, contact info@zinnov.com
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