It is interesting how many large customer databases exist in the US? Amazon has about 300 million active users & almost 30 million users are the Amazon app monthly users. Netflix has claimed a major symbolic victory over the country’s biggest cable providers, with research showing that the streaming service now has more U.S. streaming subscribers (50.85 million) than the number of customers for the country’s largest cable companies (48.61 million). Overall subscription companies are growing. In the month of April 2017, subscription company websites had about 37 million visitors. Since 2014, that number has grown by over 800%.
And yet India has an explosion of Customer databases? Though at an early stage, not that many companies have 50 million & more customers in their database. The telecom companies are huge As of December 2016, there were over 1.1 billion mobile wireless subscribers in India. Some of the biggest mobile telecom companies in India include Bharti, Vodafone, and Idea, who have over 600 million Indian subscribers combined. Bharti has 280 million, Vodafone has 211 million & Reliance Jio is already at 123 million subscribers.
India is likely to have the second-largest Internet user base in the world, and the largest in terms of incremental growth, with 330 million to 370 million Internet users in 2015. IAMAI-IMRB report says Urban India has close to 60% Internet penetration, reflecting a level of saturation, but there are a potential 750 million users in Rural India. The number of Internet users in India is expected to reach 450-465 million by June, up 4-8% from 432 million in December 2016. So the large e-commerce & social media players in India will have substantial customer databases. Last year Flipkart reported that it had crossed the 75 million registered users milestone on its platform, with growth being led by users coming from tier-II and tier-III towns.
So India should be the “customer database capital of the world”
Flipkart, which employs over 10,000 people, had about 18 million registered users with around 3.5 million daily visits just a couple of years ago. This has now grown to 75 million registered users.
And yet that is small when you compare it to SBI(India’s largest bank), which now has 370 million savings bank account holders(after a merger with associate banks). Globally, Truecaller has over 250+million users.Out of their 250+ million global users, 150 million, or 60%, come from India alone!
India has rising levels of urbanization, rapid growth in its consumer base, and one of the most youthful demographic profiles worldwide. Almost 58 percent of the population is under 30 years of age.
How can service providers help the CMO in this context?
CMO’s are trying to understand individuals as well as markets.Help them, be proactive! Lead them.
• CMO’s in the most successful enterprises are focusing on relationships, not just transactions. Mass marketing is different from 1 to 1 marketing, guide them with expertise.
• There is a dearth of Indian case studies about how effective data led personalized marketing really is, CMO’s will listen if you tell them!
• Most CMO’s are struggling in one vital respect—return on investment (ROI). Show expertise in Marketing attribution.
• Technology is entering the marketer’s life in a Big way.Gartner suggests that by the end of this year (2017), CMO’s will spend more than CIO’s on Technology alone. Guide CMO’s to buy or run appropriate technology.