A synopsis : From an article by JWT's Das
Consumer is king, but should not be. The premise being the level of equality in society. The explanatory measure.. Hofstede's power distance index (PDI)! The higher the score, the more likely brand oriented companies will face the wrath of consumers which are spoilt for choice. India is 77 whereas the world avg is 56. Explains why in India we take no time to take the service providers like Airtel to task if a connection which should take 24 hrs to fix takes even an hour more. This in the west is unlikely to happen. PDI is lesser and consumers do not relegate brands relative to themselves but treat them as equal entities! This article focuses on service brands and sites examples of cases where infuriated consumers threaten to change from airtel to vodafone OR from Hathway to Tata Sky or simply blasting a credit card seller, amongst other anectodes. The author also draws our attention to how the shabby treatment metted out to consumers in the past is now being reversed in a revenge where consumers want their due.
My take on it :
I think we are bunking some fundamentals here. No brand will be hailed until it is associated with service that satisfies. In case of India, global standards are being concertedly replicated. However, services cannot be made people proof. Recall the basic difference between a service and a good. The benefit cannot be separated from the provider! Building on this logic unless the service delivered is punctual, accurate and honest; consumers will continue to be king for service brands which over-commit and under-deliver. The author inadvertently bolsters this argument with the e.g. of Kingfisher Airlines on how their service standards have helped them attain the status of an aspirational brand. My own example of a brand that has transformed in the minds of the consumers due to sheer service fine-ness... The Indian Railways. While Hofstede's cultural indices are novel notes to this raved chant, it cannot be insulated from the rising consciousness of the consumer. Borrowing again from the same theory by Hofstede..the index on Uncertainty Avoidance also explains why consumers become exacting of a service- hence imploring special attention, thats all!
Ofcourse, choice spoils!
Finally, if consumers in the West can sue a coffee maker for their own mistake and still win a court battle, the equation moves from Power Distance, simply to Legal provisions & at times--plain eccentricities.
.......Could not help but let this picture speak a 1000 words ;-)
