The market for Commodities Branding in India is so large that no marketer can simply ignore it. It promises unlimited opportunity both in terms of size of market for a commodity to different types of commodities that can be branded. It is difficult to think of a commodity that does not have the potential to be branded. From essential commodities like water, milk, vegetables, food grains, salt, sugar to commodities like Gold, all have been branded. Tanishq’s 24 carrot gold is just one example how even gold can be branded. The huge opportunity has brought in several companies into the fold of branded commodities, both domestic and multinational. The market for many branded commodity is cluttered with numerous brands fighting for a pie of the market. Competition is cut-throat and marketers are always on their toes to look for innovative methods to differentiate their brand from the other. But the most difficult task for the marketers is to use the differentiation to create value for the consumers so that the differentiation also results into increase in revenues. Commodity selling is a challenge that presents unique opportunities for creative marketing. When marketing and selling commodities, you must resist the urge to cut prices. Instead, seek ways to protect your price by offering more value, finding unique ways to differentiate yourself, and creating powerful brands that foster price inelasticity.
Cite this article:
S.H. Honnalli, Jyoti Balagar. Branding Commodity. Asian J. Management 2(3): July-Sept., 2011 page 154-156.