Half-truths irk customers

AGK SPEAK

What I've liked

Summer is here in all its glory and it looks like it's scorched up everything in sight including ads that I would like to talk about! I do hope that things will turn around soon, but till they do, I am going to do something I almost never do "" talk about the international work that I've liked.

There is a not-so-recent television commercial which calls for attention ""an extremely pixellated image appears on screen while a voice narrates, "This man took a destroyed nation, restored its economy and its people's pride.

During the first four years of his government, unemployment fell from six million to nine hundred thousand. This man brought the GNP up to 112per cent and doubled the per capita income.

This man increased industrial profit from 175 million marks to 5 billion marks. And reduced hyper-inflation to a maximum level of 25per cent a year.

This man loved music and painting and in his youth imagined he would pursue an artistic career." Any guesses who it is? If you guessed Hitler, you are right.

As the camera pulls out to reveal his face, the ad continues "It's possible to tell a lot of lies by telling the truth. That's why you need a newspaper which gives you the whole truth. La Salle. Everybody buys it because no one can buy its opinion."

This TVC is a beautiful illustration of why most brands fail to take off despite glorious advertising. Half-truths don't keep the customers coming.

Just like Hitler's ugly side has permanently erased his stellar achievement, some brands fail because they pick and choose what to tell the customer, little realising that the moment the customer sees the brand for what it actually is, all ad spends are permanently wasted.

Exposing your customer to partial facts can scar a brand for life. It always pays to put the brand in perspective. Because you can never hide ugly truths, forever.

What I've learned

The method behind the Midas touch

Between the years 1991 and 1996, India witnessed an unprecedented boom in a brand new field "" aqua culture. Entrepreneurs were busy collecting funds from the public to invest in this brand new pot of gold.

Everyone knew someone or the other who was making a tidy profit in shrimp or prawn farming in tiny little ponds.

I too had my share of acquaintances that struck gold. Suddenly, however, I noticed that one of my acquaintances was buying up prime real estate in Hyderabad and realised that he had channelised the public funds he collected for his aquaculture venture, into real estate for himself! Unexpectedly, he passed away leaving his investing public empty-handed and angry.

While I witnessed this unfortunate yet foolish debacle, a surprising insight dawned on me. Dhirubhai Ambani, too, began his business as a modest entrepreneur.

His first public issue was for only a couple of crores. He had shareholders who invested as little as Rs 500 in Reliance in the early days.

But look what he did with public money. He ploughed every single rupee into state-of-the-art technology to build the Nehruvian dream"" 'temples of modern India'.

Never in all his 24 years of raising debt did he divert public money into ventures other than what was stipulated. This scrupulousness and deep respect of shareholders' investments are what paid off such rich dividends for him eventually.

My guess is that many entrepreneurs lose focus when the money comes rolling in. It's surprising how simple, old-fashioned values like keeping your word can be the magic behind the elusive Midas touch! When people invest they not only hand over their money they also hand over their trust.

Lose their money, lose their trust... and you lose both for life.

agkbrandconsult@yahoo.com