BW 12-25 JANUARY 2022

of our lives and it offers practicalities far beyond simply Custom Elevator Cabs for More Space Efficiency
knowing when to be on the right floor. One such area where Advanced technologies are helping develop custom double-
AI-based analytics is used to enhance customer experience deck elevators cabs to increase elevator space efficiency,
is Preventive Maintenance. Preventive Maintenance or Pro- along with an aesthetically pleasing experience for passen-
active Maintenance uses AI to identify potential issues in a gers. The new-age double-deck height-adjusting elevators
building’s equipment such as elevators and escalators before allow more architectural freedom. Futuristic technology
they cause problems. Services like this not only increase the enables multiple elevator cabs to function independently
valueof the buildingand prolongsthelifeoftheequipment in the same shaft. An innovation like this can dramatically
but also improves safety and transparency. lower the number of required elevator shafts and increase
leasable space.
Green Elevators
With sustainability being a concern amongst the current The manufacturing process,quality ofmaterials,andas-
generation of customers as well as the workforce, sustain- sembly of these elevator cabs must be top-notch to ensure
able and efficient elevators will be a big priority for the that all the aspects, including the cab operating panels,
industry — elevators that support sustainable and green energy-efficient lighting, and other parts always comple-
building through energy-efficient and innovative offering, ment the architecture.
healthy, functional, and sustainable materials, as well as
transparent documentation about products’ environmental Rope-Free Elevators
impacts. With efficient people flow planning and consult- Technologies can do wonders, which can even make it
ing, future-proof, adaptable buildings are created that last possible to roll out rope-free elevators. Leading compa-
for future generations. nies are investing millions of dollars to improve elevator
technologies in recent years, and one such initiative is
Due to the increasing digitisation in the industry, there rope-free elevators.
are many innovative control systems being manufactured.
Destination Control System incorporates desired destina- Rope-free elevators that move cabs with the help of linear
tion floors and the number of waiting passengers to sig- motor technology resemble the Maglev trains. Not having
nificantly improve elevator convenience and efficiency. The ropes means the motors only have to move the car, resulting
significantly improved system performance is most evident in saving energy. On top of it, this system will also enable
during intense traffic periods and rush hours. elevators to function without height restrictions and pass
through adjacent shafts.

51 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

Digitalisation is
Revolutionising
Elevator Services

By Manish Mehan CEO & MD TK Elevator India

WE ARE AT THE BEGINNING of a new elevator digitalisation era and It won’t be
the elevator service industry is in the midst of a big change. With IoT long before
platforms like MAX, elevators can virtually talk to us, tell us when elevators
they need help, and in combination with AI and machine learning recognise
even advise technicians on the cause and solution. So, we can fix passengers
elevators before customers even realise there’s an issue. The property management team and predict
doesn’t even have to place a call or track progress because, with MAX, we are way ahead. where they
This is an excellent example of how digitalisation will always be about opening new value are going
in the elevator industry. Digital services are software-defined services, delivered through based on
an IoT platform. One of the great things about software-defined services is that they are machine
flexible and can be developed quickly. This makes them ideal to respond to demands learning”
as they evolve, and indeed, customers’ needs overwhelmingly drive transformation,
particularly in elevator services.

Innovation in elevator services
Customer needs, combined with a shared vision across a competent team of people who
are aligned and driven to solve the customer’s problem, is the driving force behind a lot
of innovation. Here is an interesting example. One of our forward-looking customers
asked if we could help them make our elevators ‘touchless’. We didn’t have a product, but
with our experience in AGILE security and access control, as well as insights from robot
integrations, we went from idea to an on-board solution in a few weeks. We accomplished
it with a dynamic team of people that included our customer’s cybersecurity and IT
team, a long-time industry technology partner, and our own dedicated and intelligent
technologists. Elevator innovation is often driven by the introduction of New Interna-
tional Building Codes (IBC). For example, a code now requires an elevator cabin to be
connected to the Internet for emergency responders. With a connected cabin comes a
whole new level of digital services and sophistication.

New roles are constantly emerging for the elevator industry that encompass different
commercial, operational, and technical ways of working to deliver elevator software as
a service (SaaS). This means new opportunities for us and our customers. The elevator

52 | BW BUSINESSWORLD | 12-25 January 2022

industry will continue to change and keep pace with the speed vices too, like wayfinding. This year, we are releasing video and
of technology over the coming years. text messaging inside the elevator cabin for emergencies. This
leverages our MAX cloud connections and requires a camera
Covid as a Change Agent and digital display in the cabin. When you think about using a
Covid-19 has contributed a lot to the evolution of digital ser- camera in combination with the artificial vision and AI innova-
vices and definitely driven the advancement and adoption tions that the Gijon RIC team is working on, you see how the
of new technologies given the ubiquitous needs across our technologies work together to open up opportunities for new
customer base. For example, as we learned of a need to stand digital services, such as dynamic AGILE destination-based
6 feet away from each other to slow the spread of Covid-19, we dispatching or infotainment. In 2022, we are also looking
immediately were working with customers to help manage forward to a standard touchscreen AGILE car operating panel
social distancing in an elevator. With the easy configurability (COP) and digital Position Indicators (PIs). These innovations
of our AGILE kiosks, we can control and dispatch the eleva- can also be combined in various ways to solve problems for
tor to limit riders to 4 or less so they have space in the car to different customer personas in different building applications,
socially distance. However, when you limit passenger counts and that means more value for our customers.
on elevators, you also restrict the traffic and handling capacity
of the elevator system, so we leveraged MAX to monitor traffic Having tens of thousands of elevators connected via an IoT
and alert customers when MAX sees an increase in traffic over platform like MAX is a great advantage, which ultimately ben-
time. This helps customers keep an eye on the elevator usage efits customers, making core products and service contracts
and stay ahead of any capacity constraints too. more attractive and longer-lasting. The potential is limitless,
and with software-defined fixtures and cloud connectivity,
With this technology, we have also seen an increase in AG- maintenance services can be sold in different packages because
ILE destination dispatch upgrades. Prior to Covid-19, things inspections and other monitoring services can help keep eleva-
like a touchless smartphone app was a nice-to-have amenity for tors running in new and different ways.
building owners, adding value to their overall leasing strategy.
Today, it is essential to promoting residents’ confidence in It won’t be long before elevators recognise passengers and
buildings and helping them return to work. predict where they are going based on machine learning. In
the future, when people ride elevators, streaming services and
AGILE mobile will extend the AGILE kiosk experience to content in the cabin will not only be adapted to the time of the
smartphones and wearables, opening up the door for other ser- day but specially catered to individual passengers.

53 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

Mega Infrastructure Push

By Sandeep Gulati Regional CEO South Asia Egis India
and MD

AS WE ALL KNOW, India is currently one of structure space in the right direction.
the fastest growing economies in the world. Over the last two years or so, the Covid-19 pandemic has
Experts believe that the country is perfectly
poised to be the future global epicentre for posed unprecedented challenges and in many cases, busi-
manufacturing, engineering, tourism and ness continuity plans are being put to the test for the first
services. The government has realised that the existing time. While project implementation costs may not get im-
infrastructure can come in the way of achieving the coun- pacted in the long run, but the projects under development
try’s ambition to become a leading global economic super- are facing undue delays, owing to unfavourable geography,
power. To do away with this challenge, the government has manpower non-availability and impact of the pandemic in
pledged to invest around a trillion dollars towards robust and around the project sites.
infrastructure development. While the intention and the
funds are truly laudable, what we will also need is a verita- There is no doubt that in order to provide the much
ble pool of specialists with rich experience and expertise needed push to the economy, robust infrastructure is the
who can deliver sustainable solutions that will cater to the need of the hour. The launch of coastal roads projects and
nation’s infrastructure needs. inland waterways bears testimony to the fact that the gov-
ernment is planning to build alternative modes of trans-
Government’s infra push port to help reduce dependency on roads and rail alone
Talking from an administration perspective, for instance, for logistics.
the government has allocated Rs 111 lakh crore under the
NIP for FY2019–25. Sectors such as energy, roads, urban ECS’s impact on infra development
and railways amount to 71per cent of the projected infra- Engineering Consultancy Services is one of the many con-
structure investment in India. The online “holistic govern- sultancy domains that has seen its importance growing,
ance” system — PM Gati Shakti — aims to reduce logistics with the thrust on infrastructure services, especially in
costs and boost the economy with a planned National developing countries like India. Strong and consistent
Infrastructure Pipeline. This digital platform connects 16 emphasis on self-reliance or aatmanirbharata in India’s
ministries — including Roads and Highways, Railways, economic development programmes over the years by the
Shipping, Petroleum and Gas, Power, Telecom, Shipping, government have enabled the country to build a huge and
and Aviation — with a view to ensure holistic planning and versatile cadre of professionals with expertise and skills
execution of infrastructure projects. The initiative will go across a vast and wide-ranging spectrum of disciplines.
a long way in enabling various government departments A sizable part of this workforce makes up the country’s
to synchronise their efforts into a multi-modal network. growing consultancy sector which has been offering its ac-
cumulated experience and expertise at home and abroad.
Also, other government initiatives such as Asset Mon-
etisation Scheme and New Guidelines on Procurement, Since these consultants come with prior experience and
among others, are currently catapulting the Indian infra- exposure in projects, they bring in viable solutions that
already exists. This experience saves a lot of time and also
help in optimising available resources by reducing wastage.
Additionally, since these consultants have knowledge of
global projects and industry best-practices, the solutions
that they offer are at par with global standards.

For instance, when the intention of developing Smart
Cities were announced by the government, there was a lot
of confusion on what exactly are smart cities and what pa-

54 | BW BUSINESSWORLD | 12-25 January 2022

There is no
doubt that
in order to
provide the
much needed
push to the
economy,
robust
infrastructure
is the need of
the hour”

rameters are to be considered for a city to be called smart. with sustainable solutions. For example, a metro which is
The government then formed a panel called Smart PIT meant for smoother transportation is incomplete unless
(Project Initiation Team) to determine these factors. Egis, last mile connectivity is offered. Therefore, consultants
a consultancy firm that has widespread experience of de- with experience in similar projects can offer solutions that
veloping many smart cities around the globe was chosen as are all encompassing. Being an independent third-party
one of the members of this team to develop the framework expert, they can offer unbiased opinions which are best
for smart cities in the country. Egis has extensively worked suited for a particular project. In many cases, the reputa-
in establishing Jaipur, Ajmar, Bhubaneswar, Chandigarh tion of the consultant also adds value to the project.
and Faridabad Smart Cities.
Infrastructure is a dynamic and fast evolving domain. As
In many cases, the client or the end user may or may not such, there are always better innovations available which
be clear about the end product. Here, the consulting firm can offer sustainable solutions at minimum costs. It is not
can aptly analyse the on-ground situation and offer the possible for the clients or their teams to be on top of such
right solution keeping in mind all the parameters. The developments. The global consultants who are working
analysis and solutions are based on research, hard facts on these projects on a regular basis can help bridge the gap
and data. and ensure that the clients get the best value for the capital
invested, through risk minimisation, and leveraging newer
Infrastructure is a complex entity and more often than technology, engineering and processes.
not, problems need to be addressed at multiple levels, and

55 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

Laying Foundations
for the Future

By Ashish R. Managing Puravankara
Puravankara Director

AFTER WHAT CAN ONLY BE described as a year needs of the homebuyer will be inadequate; developers should
of remarkable resurgence and growth, the real be equipped to anticipate the expectations of tomorrow as well.
estate sector promises to scale new heights in
2022. As the demand for housing rises and the While technology will continue to bridge the gap between
builders and customers, it will also play a bigger role in shap-

government strengthens its impetus, the market ing the customer experience. With the adoption of IoT (In-

will present abundant opportunities for sellers and buyers. The ternet of Things), homes are now more automated than ever

pandemic-led uncertainties have fundamentally altered cus- before. Therefore, builders and developers would be compelled

tomer preferences and significantly impacted buying patterns. at providing intelligent homes to new homebuyers looking

Over the last 20 months, homeownership for contemporary and innovative living

has emerged as a compelling aspiration. . spaces. Homes would come pre-installed

With the widespread adoption of hy- with Google Home devices that would

bridised work structures, the need for allow residents to convert their living

multi-functional spaces and smart amen- spaces into voice-enabled smart homes,

ities will sustain in 2022. With commute- giving the resident control over compat-

to-work no longer being a prominent All the key ible smart home appliances, listen to mu-
factor, properties on the peripheries will market forces sic on demand, stay on top of their day-
witness greater traction. A recent ANA- to-day activities. Marrying tomorrow’s
ROCK study revealed that 68 per cent technology into home construction solu-
of aspiring homebuyers are looking to tions would become and should become

move to suburban areas. Health-focused a norm and not an afterthought. As the
market becomes increasingly end-user-
point towardsfeatures like access to green spaces and

designated areas for fitness will remain a driven and hinged on virtual processes,
generating trust will be a non-negotiable
strong sectortoppriorityforhomeowners.

We will also see more customers ex- growth; most imperative. With more homebuyers opt-
panding to non-apartment asset classes ing for reputed developers, the latter will

like plotted developments in larger num- realty stocks be tasked with creating a transparent and
bers. This can be attributed to the greater seamless buying experience.

flexibility and profitability margins as- are witnessing Mapping the Growth Corridors
sociated with such investments. a bullish The year 2022 will herald active growth,
innovation, and investment in the Indi-
Trust at the Centre of Business an realty space. New opportunities will
In the highly competitive real estate land-

scape, customer experience will be the emerge across residential and commer-
cial segments of the real estate industry.
market cycle”coredifferentiatorandmeasureofsuccess

for realty players. As we stand at the preci- A recent report by ANAROCK states

pice of a new era, discerning the current that new residential unit additions in-

56 | BW BUSINESSWORLD | 12-25 January 2022

creased by 90 per cent in Q3 2021. Therefore, we can predict launches and placing a greater focus on customer-driven deci-
the emergence of new housing markets that will drive the de- sions. Since the landscape is more end-user driven, developers
mand for commercial infrastructure. The report also predicts will continue to innovate on behalf of the customers and take
a 5 per cent price appreciation across the residential segment. active measures to bridge the demand-supply gap.

On the other hand, due to the aggressive hiring cycles, most Ecommerce, IT firms, startups (unicorns) in cities like Ban-
led by IT/ITes firms, coupled with an increased desire for flex- galore, Hyderabad, and Chennai are expected to be the key
ibility, coworking spaces are likely to witness a demand spike. contributors in demand for residential and commercial seg-
ments. These will also be among the most preferred markets
According to IBEF, by 2022, India will become the third- for NRI investors. With an increasing number of buyers opt-
largest market for construction across the globe. With the gov- ing for better affordability and connectivity, well-connected
ernment looking to boost the segment and a notable inflow of regions (especially peripheral areas) will likely witness a rise
FDI (13 per cent of the total share in FY21), this industry will in property prices.
be one of the drivers of economic growth in quarters ahead.
Concluding Thoughts
The sector is ready to take advantage of the surge in economic The future of Indian realty will be characterised by acceler-
activity. Therefore, data centres and warehouses will continue ated digitisation and a discerning customer base. While the
to receive attention in the year to come. concerns around the new variant continue to whirl, the sector’s
impressive recovery inspires confidence among stakeholders.
All the key market forces point towards strong sector growth; Reputed players across the segment have attempted to distil
most realty stocks are witnessing a bullish market cycle and the steep learning curve of 2020-21 into actionable strategies.
outperforming their peers. We further anticipate the bull run Hence, we are optimistic that the sector is better prepared to
to continue in 2022. navigate contingencies.

Will Some Markets do Better? Going by the market indicators, sustained government
Drawing from our on-ground research, the markets in the stimulus and industry predictions, the industry is positioned
South will see enhanced growth and recovery compared to the for exponential growth and lower volatility in 2022.
other regions. This can be attributed to developers prioritis-
ing the completion of delayed projects, limiting new project

57 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

Scripting Future
Readiness

By Niranjan Vice Chairman, National Real Estate Development
Hiranandani Corporation (NAREDCO), Founder & MD, Hiranandani Group

THE COVID PANDEMIC has defied every economic prediction, unlike a The new
long and devastating economic downturn. The economy has bounced year will be
back, core outputs have majorly reached pre-Covid levels and jobs re- dynamic as it
covery is back on track. will set off
To many, the major sectors may look remarkably the same as before new
the pandemic, but that’s not true. Some markets and sectors have changed forever innovations
due to other economic hurdles like supply chain bottlenecks. The new normal life in design,
will evolve with a ‘bigger the better’ mindset and working near home will be the new planning and
fulcrum for home-buying decisions. The new year will be dynamic as it will set off new amenities”
innovations in design, planning and amenities, befitting the preferences of modern
homebuyers. The prop and fintech will mark its strong presence in the construction
and real estate industry to make ‘evolutionary’ trends for 2022.

Young homebuyers will be the new catchphrase in the industry garnering traction
for modish homes inclusive of open layouts, flexi-spaces, home automation and
sustainability quotient. The new-age homebuyers will be skewed towards a well-
balanced holistic lifestyle that facilitates a walk-to-work trend. Thus, commercial
real estate will witness demand of dispersed portfolio with hub-and-spoke model
in peripheral twin cities and suburbs. The slew of mega infrastructure projects will
be a game-changer in developing new linkages that shall redefine the real estate
landscape in the emerging live-wire centres. Hence, we will see the ‘rise of suburbia’
-- a series of new micro-markets across India.

The shortage of skilled labour and products has raised the inflationary fears, a
major economic risk. The real estate sector has held up better against the rapid
market shifts and series of unprecedented tsunamis with surprising resiliency.
Hence, follow the highlighted emerging trends in real estate in 2022 scripting its
future readiness:

15-minute City Lifestyle: New-age consumers prefer the concept of ‘15-minute
drive’, a city wherein daily conveniences, comforts, cleanliness, and communities are
easily accessible without any long-haul commute. The concept of township culture
will enable them to live a fuller life where ease of living defines a holistic ecosystem
referred to as ‘one-stop destination’. Covid pandemics have also magnified the ongo-
ing shift away from congested and expensive downtown markets towards affordable
suburbs weaved in with robust infrastructure and social fabric. The fine blend of
meticulous planning, futuristic designing, and smart buildings will redefine the way
we live and work in a new normal.

58 | BW BUSINESSWORLD | 12-25 January 2022

‘Flexibility’ a new value proposition: The utility and func- hoods will strike a perfect social, economic,
tionality of physical real estate spaces needs to re-align with and ecological balance. The rising demand
new-normal necessities, where working, shopping, studying, from the tenants to opt for quality grade A as-
entertaining and socialising will largely continue close to sets, offering larger floor plates, better ven-
home. Flexible living being the new mantra, home has sud- tilation systems, automation, and employee
denly become the new epicentre. Residential adaptations wellness will reset the framework of com-
are going much further than just carving out spaces. With mercial spaces. The outlook for office space is
renewed emphasis on a well-balanced lifestyle, demand for still evolving based on the nature of the jobs,
inclusive spacious homes in suburban locations has gained industry prototype and location. The rising
ground. The new level of conveniences and productivity will war of talent nudges developers to offer flex-
define more the functional value of physical properties with ible and conducive office spaces. In any case,
flexibility at its core. answers will not be the same for all sectors as
future uncertainities are starkly different from
Office Reset: The ‘future of work’ will be skewed towards the past. Apparently, the economy is roaring
hybrid models enabling the ‘work near home’ concept. The back at its strongest rate fuelling the dispersed
apt coexistence of value offices and homes in neighbor- portfolio in the hub and spoke model. This will
lead to an increase in office-type employment
in 2022.

Conscious Consumerism: A trend where En-
vironmental, Social and Governance (ESG)
goals are factored into business decisions in
the backdrop of rising climate risk. The onus
of climatic risk mitigation collectively lies on
businesses, government, and consumers. A
change in consumption pattern driven by the
awareness of climatic impact will push the in-
dustry developers to look for more green living
components in the future developments. The
governance for building performance will be
further regulated with the financial risk of non-
addressing ESG issues.

Investors’ Confidence Index: The quick turn-
around and strong resiliency shown by the real
estate sector has surprised the investors’ band-
wagon. The primary narratives define the post-Covid prop-
erty market with successful IPOs, mergers & acquisitions,
record inflow of private equity and foreign direct investment
leading to positive investor sentiments. With rising GDP,
employment, and technology innovations, the stage is set for
augmented investments with increased belief in the future
of the real estate sector.
India’s rich demographic dividend and diversity will
continue to accelerate the growth wheels of the real estate
industry. This labor-intensive sector has a multiplier effect
on 270 allied industries resulting in greater employment op-
portunities. Industry is very bullish in maintaining its appeal
to investors with attractive investment potential in emerging
asset classes like data centres, warehousing, logistics, high
street retail, commercial portfolios on the back of rising
GDP growth.

59 | BW BUSINESSWORLD | 12-25 January 2022

OVERVIEW ENERGY YEAR AHEAD WHAT TO EXPECT IN 2022

T HE ENERGY SECTOR has the long shadow of
the COP26 Climate Summit hanging over it as
it strides into 2022. In an unanticipated move
on 1 November 2021, Prime Minister Narendra
Modi set new pledges at the summit in Glasgow.
He announced that India would reach net-zero emissions
by 2070, increase its installed renewable energy capacity to
500 GW (up from the previous target of 450 GW) by 2030
and cut the country’s carbon-dioxide emissions by a billion
tonnes by then.

However, on the last day of the summit, India demanded
that a particularly contentious clause be changed. Instead of
“accelerating efforts towards the phase-out of unabated coal
power and of inefficient subsidies for fossil fuels”, India’s lead
negotiator requested a call to escalate “efforts to phase down
unabated coal power, and phase out inefficient fossil-fuel
subsidies.”

This last-minute change reflected the importance of coal

Cautious Steps
Toward Green

Power

With the last-minute tweaking of a crucial clause at the COP26 Climate
Summit in Glasgow, India has set the tone for a new balance it aims to establish

in tackling climate change By Arjun Yadav

in meeting India’s energy requirements and a sense of his- companies (DISCOMs) and the threat of the Omicron variant
torical injustice. Phasing out coal altogether would have keeping the global oil demand recovery uncertain. We look at
compromised India’s energy requirements and put a spoke five trends that will drive the energy sector across renewables,
in the wheel of the planned levels of growth India hopes to power and oil and gas in 2022.
achieve. Union Minister for Environment Bhupender Yadav Energy Storage: Solar and wind energy at present con-
was quoted saying, “Fossil fuels and their use have enabled stitute the largest chunk (22.6 per cent) of India’s installed
parts of the world to attain high levels of growth. Developing renewable generation capacity. These two renewable
countries have a right to their fair share of the global carbon energy sources will be the main driving force in India’s
budget and are entitled to the responsible use of fossil fuels.” transition toward green energy in the years to come.
However, their intermittent nature on the grid is well
In the year ahead this is the balance that India will seek to known and storage of both is expensive.
maintain between transitioning toward green energy and its
energy security. These announcements give a fresh momen- Union Minister for New and Renewable Energy R. K. Sin-
tum to the adoption of renewable energy. Simultaneously, gh, in an interview in October highlighted issues related to
sectors such as power, and oil and gas, have other concerns storage. He said, “Solar power, is available only during the day
associated with them, like mounting debt of distribution and has to be stored for it to be supplied at night. This storage

60 | BW BUSINESSWORLD | 12-25 January 2022

the winter session of the Parliament, which aimed to bring

in sweeping reforms for distribution companies. Owing to

opposition from some stakeholders like farmers and the

All India Power Engineers’ Federation (AIPEF), the Bill is

once again in limbo, delaying the much-needed reforms.

The government has also dropped certain crucial clauses

from the draft Bill after consulting these stakeholders.

According to the Power Ministry’s PRAAPTI portal (Pay-

ment Ratification and Analysis in Power Procurement for

bringing Transparency in Invoicing of generators), as of De-

cember 2021, distribution companies owe more than Rs 1.02

lakh crore to power-generating companies for both conven-

tional and renewable energy. At the same time, 2022 will

mark the end of the five-year GST compensation period. With

the states already breaching their fiscal deficit estimates, the

extent to which states can continue to support discoms will

be tested.

Cleaner Sources of Energy: Global moves to reduce car-

bon emissions and to slow down climate change have led oil

and gas companies to invest in renewable energy sources to

reduce their carbon footprint and diversify offerings. Glob-

ally, this trend is being seen among oil super giants such as

TotalEnergies, ExxonMobil, Chevron and Shell. In India too,

the state-owned Oil and Natural Gas Corporation, GAIL,

IndianOil, Hindustan Petroleum Corporation, NTPC among

others, have invested in green energy projects

Development and are looking for further acquisitions. We
may very well see a fillip in their efforts to in-

of affordable corporate more renewable energy projects in
energy storage the year ahead.
Oil Demand to Bounce Back: The

is still expensive. I can’t increase the cost for the technologies OPEC+ countries and other producers have
will gain decided to boost their output of oil and gas in
the year ahead. The grouping expects

people beyond a point. If the price of storage momentum to demand for oil to reach pre-pandemic levels
comes down soon enough, probably we are not make the in 2022. However, these estimates were pre-
going to be starting any new coal-based pro- dicted before the onset of the Omicron

jects.” The development of affordable energy energy system mutation.
storage technologies will gain momentum to less fragile The International Energy Agency has taken
make the energy system less fragile.
into account the threat of the Omicron variant

Green Hydrogen Business: In his eighth and has stated that demand could be lower than

Independence Day speech, Prime Minister Narendra what was being expected. The OPEC, on the other hand, still

Modi announced the National Hydrogen Mission and believes that the impact of Omicron will be mild and brief.

emphasised that the plan involves India becoming a global Numerous countries have reimposed travel curbs which will

hub for green hydrogen production and exports. Hydrogen hurt the aviation industry and consumption.

today is where solar was 15 years ago. The sector has high In a written reply to Parliament in the recently concluded

costs associated with it and lacks a developed ecosystem. winter session, Union coal minister Pralhad Joshi said that the

However, in recent months, with announcements by both Glasgow Climate Pact does not mandate the phasing down of

Mukesh Ambani and Gautam Adani to invest in the sector, power production from coal power, reiterating India’s last-

there is fresh interest in developing and manufacturing minute change in commitment at the COP26 summit.

low-cost electrolysers to boost production of green hydro- The year 2022 will see India strive to achieve this new bal-

gen and make it affordable. ance for itself, in meeting its commitment to transition toward

DISCOMS Need Reforms: The government was sup- green energy sources to fight climate change, while safeguard-

posed to table the Electricity (Amendment) Bill, 2021 in ing the country’s energy security.

Photograph by Indiapicturebudget 61 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

Scaling Up Energy Storage

By Sameer Chairman and Jakson Group
Gupta Managing Director

ENERGY PRIME MINISTER Nar-
endra Modi made
three significant an-
nouncements at the
COP26 climate sum-
mit in Glasgow. First, that India
would be targeting net zero emis-
sions by 2070. Second being that In-
dia would be increasing its installed
renewable energy capacity target to
500 GW by 2030 and the third be-
ing cutting down of emissions by 1
billion tons by 2030. Energy storage
will have a significant role to play in
this transition and we can expect
opening up of huge opportunities in
this area in 2022. The Indian energy
sector will certainly be implement-
ing measures towards innovating
Energy Storage Systems (ESS) es-
pecially a Battery Energy Storage
System.

Electricity produced from renew-
able sources like wind and solar is
intermittent in nature and the share
of renewable energy would increase
multi-fold to meet our clean energy
targets. This would necessitate the
need of large energy storage solu-
tions for bringing stability in our
power grids. Large grid scale bat-
tery storage will help in such a sce-

62 | BW BUSINESSWORLD | 12-25 January 2022

nario by ensuring that the grid frequency remains in the around the world to sign long term purchase contracts

range of 49.9–50.05 hertz (Hz). for lithium and other raw materials. It can also consider

investing in mining activities in these regions. This will

Initiatives By The Government ensure manufacturing of Lithium-Ion batteries in India

Given how important energy storage is for India to achieve and its cost will most likely reduce to less than $100/KWh,

its climate targets, the government had announced last year in the next 2-3 years.

that it intends to come up with a comprehensive policy on

energy storage in the power sector. Among the energy stor- Battery Recycling Infrastructure Needed

age systems, batteries have emerged as an important tech- As the number of lithium ion batteries used by India

nology for reducing carbon emissions around the world. A begin to increase, another issue that is still to be ad-

Battery Energy Storage System (BESS) is a rechargeable dressed is battery recycling. According to JMK Research

Lithium ion (Li ion) based battery system that stores en- estimates, the lithium-ion battery market in India is

ergy from solar arrays or the electric grid and provides that expected to increase from 2.9 GWh in 2018 to about

energy to a home or business. 132 GWh by 2030 at a CAGR of 35.5 per cent. To reduce

In 2020, the International Energy Association (IEA) had import of raw materials and ensure sustainable battery

stated that India is going to require more battery storage manufacturing, it is important that the government

than any other country for its renewable energy targets. begins to invest early in a battery recycling infrastruc-

Over the past few years, the government has been work- ture in India. It should also consider devising suitable

ing towards meeting this requirement. policies for battery recycling that

Last year, to develop an enabling bat- results in development of a circular

tery manufacturing ecosystem in the economy of manufacturers or new

country, the government had made a enterprises involved in battery recy-

laudable announcement of an 18,100 cling in the country.

crore production-linked incentive While as of today, Li-ion is the

(PLI) scheme for a battery storage most promising solution, there is

eco-system that involves setting up 55- huge focus both, by the government

GWh manufacturing capacity for ad- While Li-ion and the industry on innovation on al-
vance chemistry cell batteries. The gov- ternate chemistries for battery stor-

ernment is also working on the world’s is the most age. Green hydrogen will eventually
largest grid-scale battery storage pro- be the most sustainable solution as

gramme, including a 13 gigawatt-hour promising far as energy storage is concerned
(GWh) facility in Ladakh and a 14 GWh solution, there which today is not economically
system in Kutch. viable.

While these measures by the gov- We are expecting pilot projects in
ernment are significant, there are still coming years and disruptions are

some issues that are required to be ad- is huge focus bound to happen in technologies
dressed by our policymakers to estab- around battery storage and hydrogen

lish an enabling battery manufacturing by the govt & which will contribute to our mission
ecosystem in India. One of these issues of being self-reliant and making In-

is the availability of raw materials for the industry dia truly atmanirbhar.
battery storage manufacturing. The India has been relying on imports

most advanced battery technology to- on alternate of oil, solar PV and batteries. Crea-
day is lithium ion batteries. But India tion of an enabling energy storage

at present has a shortage of supply of chemistries ecosystem in India will contribute
lithium. Further, Chinese state owned for battery significantly to India’s economic
firms have lithium mine concessions in growth and also provide employment
lithium surplus countries. opportunities to millions of people.
With the right policies and collabo-
Since India’s lithium requirements

are going to increase in the coming storage” rations through public-private part-
years, to address this issue it is now nerships, it is evident that in the new

time that the government consider decade, India will emerge as a global

using its partnerships with countries leader in renewable energy.

63 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

India on its Way to Become a
Solar Power Hub

By Raman Bhatia Founder and Servotech Power Systems

Managing Director

CLIMATE CHANGE REMAINS the biggest threat to humanity and our A thoughtful
planet. The devastation wrought by Typhoon Rai in the Philippines policy that
clearly recently reflects the intensification of natural disasters due to covers the
global warming. Having surpassed the warning levels already, the entire gamut
temperatures are rising at an unprecedented rate posing a serious of operations
threat of widespread destruction. This change in the earth’s climate is primarily trig- and processes
gered by increased emissions and concentration of greenhouse gases in the earth’s within the
atmosphere. In order to take a giant leap into the new era of energy transition and solar sector
achieve net-zero emission ambitions, it is highly imperative to take the challenges is what is
head-on and grab the right opportunities that could pave a path towards a future required to be
based on clean energy. formulated”

To mitigate the impact on climate and ensure a safer world for our future genera-
tions, it is high time that India aggressively promotes clean energy generation and
adoption of renewable energy technologies. The COP26 Summit held last year in
Glasgow, Scotland can be seen as a remarkable turning point for a majority of na-
tions including India, as Prime Minister Narendra Modi during his address pledged
to make India carbon-neutral by 2070. Besides this, by launching the Green Grids
Initiative - One Sun One World One Grid (OSOWOG) on the sidelines of the Sum-
mit, our Prime Minister jointly with his UK counterpart Boris Johnson has already
laid the foundation for a better world.

Another recent move of the government that could help India accomplish this
goal is the decision of eliminating the dependence on China for solar equipment
by establishing the country’s own state-of-the-art manufacturing facilities to make
the panels and components indigenously. However, the solar sector in India con-
tinues to face a number of challenges that hinders our progress towards becoming
a self-reliant solar-powered nation. The challenges if dealt with seriously could be
perceived as opportunities which could propel our progression.

Building state-of-the-art facilities
The dependency is probably one of the biggest challenges that needs to be dealt
with in order to identify the right opportunities and steer the nation towards greater
heights. The establishment of highly sophisticated manufacturing facilities in India
for production would help the nation focus better on quality uncompromisingly and
develop superior-grade solar equipment and components. The development of solar
equipment indigenously would also help the nation to execute and commission solar
projects on a larger scale. While the potential of developing high-end equipment

64 | BW BUSINESSWORLD | 12-25 January 2022

could be viewed as an opportunity to enhance the quality imports and soaring solar module prices.
and efficiency, the availability of land to establish manufac- The mandate by the government of use of
turing facilities remains to be a challenge as solar PV plants equipment from “Approved list of mod-
require a massive area of conterminous land. ule manufacturers” (ALMM) entities for
solar projects under central government
Being truly self-reliant schemes could prove to be an ultimate
With the predictions of higher demand for electricity by solution for eliminating our reliance on
2040, there is an opportunity for the solar-equipment man- the Chinese-made solar modules and
ufacturers to scale-up the production and introduce more components.
innovative solutions. But the development of solutions in
line with the expected surge in demand of electricity seems Tech & innovation as key drivers
to be nothing short of a challenge due to the high cost of Innovation & technology is one of the
most crucial aspects for creating new-age
solutions that could meet the demands
and expectations over the coming years.
An intelligent blend of cutting-edge tech-
nologies and innovation could prove to be
a gamechanger for India. The adoption of
new technologies would make transition
considerably easier for India. The need of
the hour is to modernize grids to enhance
renewable capacities and establish dedi-
cated R&D facilities employing highly-
skilled engineers armed with immense
expertise and knowledge to engage in ad-
vanced in-depth research for new findings
and move ahead in the right direction.
The practices of thorough assessments,
analysis and evaluation would undoubt-
edly complement our efforts to develop
world-class solar solutions. The techno-
logical advancements and innovation
would also help create energy-efficient
smart solutions that could be utilized to
meet the growing demand for electricity
and ensure optimal power consumption
in the right manner. Besides technology
and innovation, there is a dire need for
better cooperation, information sharing
and collaborations between countries and
regions in order to work towards a common goal of promot-
ing renewable energy technologies and solutions.

Robust policies for bridging the gaps
A thoughtful policy that covers the entire gamut of op-
erations and processes within the solar sector is what
is required to be formulated. By drafting new policies
and implementing meaningful frameworks that could
address the issues of waste management, utilization of
resources, allocation of land, investment & financing
could significantly help overcome challenges and make
the most of opportunities. .

65 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

Reviving India’s Discoms

By Suranjit CFO Tata Power
Mishra Delhi Distribution

ENERGY T HE POWER distribu-
tion companies (dis-
coms) in India seem to
be headed for tougher
days, as the financial
books of discoms are continuing
to worsen with the collective losses
swelling over Rs 1 lakh crore. This
potentially can wipe out all the prof-
its attained through improvements
in the sector over the last couple of
years.

India accounts for almost 40 per
cent of Asia’s renewable capacity ex-
pansion and is on its way to becom-
ing the third-largest growth market
after China and the US. In the next
five years, the nation is likely to add
121 GW of renewable capacity, an
86 per cent increase from existing
capacity. India is set for the fastest
rate of renewable capacity growth
among major economies in the
next five years, doubling additions
versus 2015-2020. This supports
the country’s new goal of 500 GW
of renewable capacity by 2030 and
highlights its potential to accelerate
its clean energy transition. However,
renewable power projects face risk,
according to the IEA report, due to
the ‘poor financial health’ of India’s
discoms causing delays in the sign-
ing of PPAs.

Following the second wave of re-
strictions, the discoms’ total over-
due payments have started to rise
again. As a result of which, discoms
are deferring the finalisation of wind
and solar PV PPAs while seeking to

66 | BW BUSINESSWORLD | 12-25 January 2022

renegotiate downwards the contract prices already awarded SERCs. The existing regulatory assets need to be liquidated

in competitive tenders. Belated PPA approval is one of the over the next three to five years through appropriate tariff

reasons for the delayed execution of renewable projects. changes. For the long-term viability of the sector, the regula-

According to estimates from a Niti Aayog Report, the tory functions are to be insulated from political pressures.

gross debt of discoms across India will rise to Rs 6 lakh crore • Timely payment of subsidies by the state govern-

by March 2022, primarily due to loans availed under the ment: Delays in receiving subsidy reimbursements add to

liquidity infusion scheme announced in May 2020. This the liquidity stresses of discoms. The outstanding dues of

is nearly 50 per cent higher than the debt levels at the com- subsidies to state power discoms has increased to Rs 71,000

mencement of Ujwal Discoms Assurance Yojana (UDAY) crore.

scheme. Further, the discoms’ expected net losses are pro- • Higher private sector participation and competition

jected to be in the tune of Rs 90,000 crore in FY 2021. Their in distribution: Delhi distribution unbundling and sale

financial distress has reverberated across the value chain of DVB majority stakes to Tata Power and BSES is often

and hit generation companies particularly hard. This is the cited as a model of successful privatisation. The billing and

first time that the Centre has warned banks, expressing con- collection efficiencies of Discoms in Delhi are above 91 per

cern about the financial position of distribution companies cent and 99.5 per cent, respectively, leading to an aggregate

and potential adverse impact on the banking system. AT&C loss below 8-9 per cent. Though Delhi distribution

Recently, the government floated an innovative scheme landscape is not representative of the rest of the country,

to mend the structure of the discoms with the chief intent particularly in urban and industrial areas, such private-

of refining their financial health. The sector model can be tested to bring a

total outlay for the scheme is around Rs turnaround.

3.03 lakh crore, spread over five years. • Improve cash flow, reduction in

However, more can be done to address debt and interest burden: Increasing

the issues faced by discoms. regulatory assets are creating a cash-

• Sustenance of high billing and flow gap for discoms, forcing them

collection efficiency: The overall to borrow funds to cover the revenue

AT&C loss figure in India is as high as deficit. The borrowing adds to the in-

24 per cent. Discoms need to improve In the next terest burden on the discoms, which
their billing efficiency through better ultimately affect the consumer through

metering infrastructure. Improved me- five years, higher tariff. The state regulators and
tering infrastructure can help reduce government should come out with a

thefts and improve collection efficien- the nation permanent solution to the regulatory
cy. A significant reduction in technical asset problem for the long-term viabil-

losses is possible through investment in is likely to ity of the financial health of the sector.
improving grid infrastructure. In an earlier statement by the gov-

• Reduction in power purchase ernment, the policy had stated that

cost: Discoms have locked into long- add 121 GW the privatisation of discoms should be
term, expensive power purchase agree- encouraged; it would make sense to

ments which contribute significantly of renewable consider this transitional support as a
to the power tariff. Where feasible, dis- catalyst. The significant onus of support

coms should be given an option to exit capacity, an can be controlled around a normative
such PPAs. Discoms can use time of day basis and the performance of the dis-

tariffs, enabled by advanced metering 86 per cent coms can be monitored over a stipu-
and a smart grid, to reduce the power lated period. Adopting this approach

purchase costs. Discoms could gradu- increase will ensure thatthe governmentmoves
ally increase the renewable energy (RE) away from the micro-management of

portfolio to cut procurement costs. from existing discoms, which inevitably happens if
• Conductive regulatory environ- the release of funds is linked to reform-
linked parameters. Now its time to try a
ment: Tariffs to be regularly revised

by State Electricity Regulatory Com- capacity” new approach, different from what was
mission (SERC) so that they can fairly done in the past which clearly has not

reflect the actual costs. New regulatory paid dividends despite the huge quan-

assets creation should be stopped by tum of money spent.

67 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

The Year of pre-pandemic era. These stable oil prices would provide
the capital needed to fund new and greener energy solu-
tions, like hydrogen and biofuels. Additionally, partner-

Opportunities ships with renewable energy providers would continue

to increase and see momentum considering Scope 1 and
Scope 2 emission targets.

De-carbonisation initiatives with Net Zero goal
[Report > Reduce > Reform]: Carbon / Emission re-

duction has become a key performance indicator within

the oil and gas operations which

The year 2022 would starts with a vital strategy to first
be transformational measure and Report, then devise
ideas towards reduction (Reduce),

for the oil and gas which is then followed by a complete
industry transformation (Reform). Also, the
need to meet Net Zero goals will be

driven by investments and partner-

T HE OIL INDUSTRY that ships in technologies related to car-
ended the year 2019 on
ENERGY a reasonably high note bon capture, methane detection and
was hit hard in Q1 of other such green initiatives.

Energy and operational effi-
ciency improvements for exist-
ing oil and gas assets: Given the

2020. The remainder of current situation and the constantly

2020 was just survival and an eager broadening decarbonisation direc-

wait for the vaccine that would bring tive across the industries, digitisa-

order to the world and a ray of revival tion of assets would be necessary

for all sectors. The year 2021 brought to aid optimisation, prediction and

vaccine and a ray of hope and along life extension of the existing assets.

came the revival for the oil and gas We may even witness a strong drive

industry. The revival also accelerated to maximise output from existing
assets without significant capital
investments and technological devel- By Dushyant Reddy,
opments in sustainability, net zero, infusion.
decarbonisation, carbon capture and Global Business Head, Greater adoption of technol-
other green initiatives, which were Energy, QuEST Global
ogy in every aspect of oil and gas

mere academic topics but now are operations: To boost performance

considered as serious business opportunities. It is ex- effectively and efficiently, partnerships with companies

pected that the Brent would stabilise to $70 a barrel in that bridge the divide between domain and technology

2022, thus bringing a careful balance of capital discipline would be key towards leaner and greener operations.

and investments in new sustainable opportunities. Value-driven use of IoT, data analytics and AI/ML tech-

With the economies across the world reviving, global nologies for operators to effectively analyse and imple-

oil demand is expected to reach pre-Covid-19 levels in ment strategies are essential.

early 2022. The year 2022 would be transformational Workforce challenges: High labour cost coupled

for the oil and gas industry and would be a year of con- with the need to cross-skill resources towards new en-

tinued reckoning that brings new technologies, skills, ergy space would drive oil and gas companies to rethink

business models and partnerships to the frontline, most strategies. An advantage for the industry is that remote

importantly a year where the demand will rebound. We working has opened up avenues for cross border teams

have seen our customers, consultants and competition to collaborate, which were once improbable.

build momentum on their transformational journey There are possibilities galore for the oil and gas indus-

that follows five key trends: try in the year 2022, if the world economies continue to

Boost in energy transition: In the year 2022, after make advances towards keeping the pandemic under

being volatile for nearly two years oil prices will start control. The current situation will have only a mild effect

stabilizing as the demand will start going back to the on the industry, which can be recovered soon.

68 | BW BUSINESSWORLD | 12-25 January 2022

CELEBRATING TOP 40 UNDER 40 IN HUMAN RESOURCES

#HR40Under40

BW People launches 40 Under 40 HR List - in association with BW Businessworld. It’s a hunt for 40
insightful and talented HR professionals who have the zeal to bring about a change in the industry.
Celebrating the most distinguished gathering of Forward-Thinking Human Resource Professionals
and Leaders.

HR is now not only a support function but also extended its functions to all business verticals. HRs
adapting technological disruption with AI , ML and innovating new ways of executing & performance
management. BW will reward top 40 stellar, exceptional and extraordinary HR professionals to join
the BW People 40 under 40 List of 2021.

FEBRUARY 3, 2022 JNoamniunaatriyon3D0e,a2d0lin2e2:

NOMINATE NOW

JURY MEMBERS JURY CHAIR

ANSHU NISHA VIPUL SHIV SHIVAKUMAR
BUDHRAJA NARAYANAN SINGH
Group Executive President, Corporate Strategy &
CEO COO & Director Red FM Divisional Vice President & Business Development, Aditya Birla Group
Amway India Red FM Head of HR
ADP

RUCHIRA PRABIR AARTI AVISHEK ARCHANA
CHAUDHARY JHA KELSHIKAR ROY BHASKAR

Author, Executive Coach & Founder & CEO Author & CHRO & Director CHRO
Academic Prabir Jha People Advisory Intercultural Coach Mc Cormick India Dr Reddy’s Labs

SUDHIR DR.ANNURAG For Sponsorship:
MISHRA BATRA Cynthia Majhi | [email protected] | +91 95724 35591
Somyajit Sengupta | [email protected] | +91 98182 47444
Founder & Editor in Chief & Chairman Talees Rizvi | [email protected] | +91 93106 34007
Managing Partner BW Businessworld &
Exchange4media For Speakership:
Trust Legal Sanya Kapoor | [email protected] | +91 99536 81006

For Editorial:
Resham Suhail | [email protected] | +91 98732 58128
Sugandh Bahl | [email protected] | +91 99997 15607

For Nomination Inquiries:
Ashish Kumar | [email protected] | +91 97179 22747

YEAR AHEAD WHAT TO EXPECT IN 2022

The Growing
Appetite of Solar

By Sanjeev Managing Amplus
Aggarwal Director & CEO Solar

RENEWABLE ENERGY Solar PV could ITISWELLESTABLISHED bynowwhytheworldneedsto#GoSolar.However,
cover a quarter one can’t approach this transition unilaterally. The relationship between the
of global growth of green energy consumption and its economic footprint needs to be
electricity well-coordinated to drive a natural and sustainable impact. Therefore, ef-
needs by ficiency and accuracy in product development, operational excellence, and
mid-century, asset management, packaged in a cohesive policy framework, will define the road
becoming the ahead for faster adoption of solar energy. In this aspect, it would be appropriate to
second-largest say that the entire energy ecosystem looks forward to technology advancements,
generation developments and the digitalisation of solar PV energy in 2022 and beyond.
source after
wind” India has already proven itself time and again as the leader in its innovation-led
solar transition. We are likely to outperform our energy targets, and the world is
looking at us as a coveted solar investment destination. In a comfortable yet com-
petitive situation like this, the country must look at gaining another edge over the
rest of the world by identifying befitting technology solutions that cater to the rising
demand, geographical, social, infrastructural, and institutional challenges, and the
climate-specific need for solar transition. Moreover, with digitalisation, companies
will be able to control costs better while offering cheaper and more relevant services
to the customers in addition to other possible benefits.

Digitalisation is already improving energy systems’ safety, productivity, accessi-
bility, and sustainability. For instance, at Amplus Solar, we have already developed
our in-house, state-of-the-art monitoring system ‘Hawk-Ai’ that helps us monitor
each of our 400-plus solar projects remotely. In the future, the industry might also
be able to identify who needs energy when and deliver it at the right time, in the
right place, and at the lowest possible cost. In addition, advances in data, analytics
and connectivity will continue to enable a range of new digital applications such as
smart appliances, shared mobility, and 3D printing, making energy systems more
connected, intelligent, efficient, reliable, and sustainable.

Innovative product technologies
Product enhancement of solar PV modules is another technology advancement that
will foster solar adoption across various segments. The market looks encouraging
as it is opening up to innovative technologies like ‘NanoQB’ -- a disruptive technol-

70 | BW BUSINESSWORLD | 12-25 January 2022

ogy that increases the efficiency of a solar PV module by a households in remote areas of the world
whopping 15 per cent. It helps solar cells absorb and utilise get electricity from sources such as solar
more sunlight. NanoQB is already working on more than 1 lanterns, solar home systems (SHSs) that
MW capacity in India and Japan. The government of India can power several devices, and local solar-
must push for broader and quicker adoption of this technol- based microgrids, the expansion of solar
ogy, for it not only helps the end consumer but also helps the energy at a mass scale will keep pushing
energy developer reduce the levelised cost of energy (LCOE) the product manufacturers to innovate.
by 15 per cent. Beyond the rise in the adoption of rooftop
solar, we also look forward to portable
Looking at its use context, the appetite for solar is in- solar panels, which are small-sized so-
creasing in the urban setups. While more than 73 million lar panels that are easy to install, can be
carried anywhere and can generate up
to 320W of power, depending on their
size. In an era where mobility has been
redefined, it is futuristic to align the idea
of portable clean energy with movement.

Floating solar panels
Another leap is expected in cutting down
dependency on land, given the height-
ened use of floating solar panels. The
innovation works best for a country like
India which has space constraints but
high energy demand. Installation and
maintenance of floating solar panels are
easy and safe, while they offer the benefit
of a significant reduction in evaporation
from the water surface. The next genera-
tion of floating solar panels are bound to
make an important contribution to the
clean energy revolution.

Beyond digitalisation, which is key to a
successful clean energy transition, a good
energy mix will remain the focus for the
government and the manufacturers. The
government is considering a policy to re-
strict adding new coal-fired plants. Gas
will continue to be an option to provide
firming capacity for intermittent renewa-
bles and hydrogen will dominate the re-
maining decarbonisation journey.
Solar PV could cover a quarter of global electricity needs
by mid-century, becoming the second-largest generation
source after wind. Reports suggest that the global capacity
of solar PV might reach 18 times the current levels or more
than 8 000 gigawatt by 2050 and Asia would continue to
dominate solar PV use, with over 50 per cent of installed ca-
pacity. It is a fast-evolving industry and mobilising finance
will be key. With innovations along the entire value chain
driving further, aimed at rapid cost reductions, the future
of solar is bright.

71 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

Auto for its two models –
Nexon EV and Tigor EV.
With rising fuel prices

IN THE EARLY 19TH CENTURY, Henry Ford revolution- Trends and lower battery prices,
ised the auto industry with the assembly line process the Total Cost of Own-
of mass production. Today electric mobility brings the ership is rapidly mov-
world to another revolutionary moment. Electric ve- ing in favour of electric
hicles (EVs) have seen organic growth throughout the vehicles. Charging in-
pandemic. Altogether 6,261 electric passenger vehicles (PVs)
were sold in the April-September 2021 period, marking a 234 Driving frastructure is increas-
per cent growth year-on-year (y-o-y). Software is becoming ing with companies like
critical in mobility with telematics, safety, autonomous driv- Tata Power, Magenta
ing, advanced driver assistance systems (ADAS), and many and others spreading
other features.
2022 their networks.
The year 2021 has been a bit of a mixed bag for the Indian Various auto OEMs
automotive industry. While the industry saw very high pent-
up demand, almost every car maker around the world was have announced plans
struggling because of the shortage of semi-conductors. In ad- to launch more than 25
dition to the chip shortage, the industry saw a steady rise in raw
material costs, compelling original equipment manufacturers high-range EVs in the
(OEMs)toincreasepricesof thevehicleswhilewaitingperiods
OVERVIEW AUTO were on an average above 90 days. The lockdowns and short- The pandemic Indian market by FY
agesthatcamewiththepandemicchangedthefaceof themo- 2026. Hyundai, Tata,
bility industry globally. In 2022, a whole lot of other changes
are expected to shape trends in the automotive industry. changed the face of and MG motors have
already announced
Digitisation mobility globally. In their next electric vehi-
In 2021, with multiple lockdowns, the digitisation of touch
points increased. Today consumers are used to doorstep deliv- 2022, a whole new clefor2022.Manyelec-
ery of goods. While this became mainstream for e-commerce tric vehicle startups are
players, big-ticket purchases like two-wheelers and four- wave of changes working hard to bring
wheelers too are likely to witness the penetration of this trend
in the coming years. Mercedes Benz India implemented their are expected to out products in the
Direct-2-Customer initiative in 2021 and the trend has caught
on with several other mobility majors. revolutionise trends two-wheeler and three-
wheeler segments. Ola
Digitisation offers several benefits, the biggest being trans-
parency and the ability to customise your vehicle directly from in the automotive Electric and Simple En-
the manufacturer. The Direct-2-Customer model is likely to
see a surge in 2022 with many manufacturers switching to a industry ergy have invested heav-
hybrid business model for sales. Ola Electric for example, has ily in building large-
completely done away with the dealership and delivers the Ola
S1 and S1 Pro e-scooters directly to the customer. Service for Siddharth Shankar scale manufacturing
the Ola Scooters is also done at the customers’ location. units for the upcoming

Electrification products. Auto component players have shifted their focus
Electric vehicles have seen enormous traction in 2021. Tata
Motors alone sold more than 12,000 EVs till November 2021 toward preparing to build components for electric vehicles in
and monthly booking generation has started touching 3,500
the country itself. Overall, electric vehicles will take a larger

shareof theoverallpiein2022withnewerproductsandbetter

infrastructure support.

Software Driven Mobility
With an increasing share of technology in the automotive
sector, the importance of software is becoming hard to ignore.
Advanced driver assistance systems or ADAS, a feature so far
only available in high-end cars, is now within reach with the
New MG Astor and Mahindra XUV700. We expect more
cars in 2022 to come with ADAS features. Software solutions
based on vehicle telematics and 5G will also come into the
mainstream in 2022.

As we spend more and more time in our cars, the car itself
is being looked at as a platform that can receive over-the-air
(OTA) updates just like our smartphones. The car as a platform,
can also be used to provide users with a plethora of subscrip-

72 | BW BUSINESSWORLD | 12-25 January 2022

tion services. Stellantis, which owns Abarth, With rising fuel hybrid. While on the one hand, the govern-
Alfa Romeo, Citroen, DS Automobiles, Fiat, prices and lower ment is incentivising EVs to drive adoption,
Jeep, Maserati, Peugeot, and Vauxhall, plan to on the other hand, it is tightening the emission

generate up to €20 billion in incremental an- battery prices, roadmap for ICE-based vehicles (e.g. CAFÉ
nual revenue by 2030 through connected car the Total Cost norms), thus persuading OEMs to include
tech, subscriptions, and over-the-air updates. EVs in their portfolio.

MG Motor India has already launched the MG of Ownership is Make in India
Astor with Car as a platform service, collabo-

rating with software players like Park+ and Jio. rapidly moving Across industries, the one thing that the
In 2022 we will see software playing an im- in favour of Covid-19 pandemic taught every country is to
reduce its dependence on imported products
portant role in mobility with telematics, pre-

ventive maintenance, subscription services, electric and in parallel develop a robust local supplier
OTA updates, and ADAS. vehicles ecosystem. With the government’s Atmanirb-
har Bharat and Make in India push underway,

Policies and favourable government policies such as

The year 2021 was quite a challenging year for the Indian au- the extension of FAME-II scheme till 2024 and launch of the

tomotive industry. However, from the policy perspective a production-linked incentive (PLI) scheme for the auto and

lot has been achieved. We saw scrappage policy, a first for the autocomponentsectorforaboutRs26,000crore, itistheright

country, being implemented with multiple scrappage centres time to build capabilities inwards.

coming up. Going forward, 16 state governments are likely to In a bid to develop an entire ecosystem for the chip manu-

announce progressive EV policies, of which five states have facturing industry and avoidance of any shortage in the future,

draft EV policies ready to be released soon. the government has approved a Rs 76,000 crore production

The second phase of corporate average fuel efficiency linked incentive (PLI) scheme for semiconductor and display

(CAFE) norms, designed to reduce carbon emissions from board production in the country as well.

vehicles to 113 grams per kilometre, come into effect from Policies in place therefore, propel the automotive industry

April 2022, pushing auto manufacturers to invest in more toward producing more within the country and to manufactur-

fuel-efficient cars or in cleaner technologies like electric and ing more green vehicles. Let’s call 2022 the year of the EV!

Photograph by Sanjay Sakaria 73 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

Global To Glocal Shift

By Ashok Minda Chairman & Spark Minda
Group CEO

AUTO AUTO INDUSTRY IS
adopting new tech-
nologies at a faster
pace than before. I can
quote the example of
ICE engines which took more than
five decades to mature, but looking at
the global trends, electric and fuel cell
vehicle technology are likely to ma-
ture much faster. EV Drivetrain per-
formance has improved drastically
leading to more power on the wheels,
improved mileage per charge and fast
charger solutions for vehicles.

On the vehicle front, the pandemic
acted as a catalyst to fast-track long
term objectives of improving driv-
ability, overall vehicle performance
and reducing road accidents through
artificial intelligence and machine
learning. By leveraging AI/ML
tools for supplier monitoring and
mapping, OEMs will have clear vis-
ibility and knowledge of the source
of disruption that will facilitate bet-
ter lead times to plan for mitigation
strategies.

Automotive companies are likely
to increase investments to improve
manufacturing, productivity and
higher adoption of Industry 4.0
technologies including Internet of
Things (IoT), thus reducing opera-
tional cost, increasing productivity,
product quality and improving safety
at plant level. Automation levels will
increase as auto players look to reduce
the dependence on human touch to

74 | BW BUSINESSWORLD | 12-25 January 2022

enable seamless operations during crises. four and two-wheeler categories in 2022. There has been a

significant change in consumers’ perspectives; preference

Government Support for alternative-engine vehicles has increased by 10 per cent,

Automotive industry is also witnessing disruption in the from 39 per cent in 2019 to 49 per cent in 2020. Also, 35 per

supply chain of microchip, but I am positive that this cent of buyers are willing to pay a premium of more than

crunch will influence R&D strategies here in the com- Rs 1 lakh for an EV as per a recent survey.

ing months. As we gear up to usher 2022, preparedness

of companies during the last couple of years, to make it Can India Take Centre Stage In EV Global Story?

more nimble, agile and future-ready, will come handy The automobile ecosystem in India is destined to play

even with the rising concern over Omicron. As a group, we larger roles in the global context owing to the changing

are cautiously optimistic for CY23 with favorable govern- dynamics in domestic markets of larger nations or

ment policies such as the extension of FAME-II scheme till depletion in demand for a few others. For example,

2024 and launch of the production-linked incentive (PLI) 2021 witnessed steep surge in global SUV sales when

scheme for auto and auto component sector for about Rs 98 per cent models are still ICE and countries like

26,000 crore. PLI scheme will bring a substantial stimu- France and Germany have already announced higher

lus to advance technology products for both ICE and EV levy of taxes for higher emissions and at least another

vehicles domestically. 30 countries have announced deadlines of banning

The BSVI transition which for the new registration of ICE vehicles.

first time directly upgraded the mo- Interestingly while Germany also

bility system of India vis à vis many witnessed sales of EVs reaching

developed nations indicates that soon record levels, SUV sale in China is

a scrappage policy will be rolled out. By stagnating and getting replaced with

2024, the policy also intends to bring a smaller EVs and both EU and the

balance between precarious modes of UK records 50 per cent of EVs

transport that use outdated equipment among 2021 trends of sale.

with the new ones that are electroni- We are Such global trends of dissonance
cally powered or at least supported by offer a mixed bag of foreign invest-

the concurrent trends of digitization. optimistic ments and technological collabora-
It is also estimated that India’s com- tions for the offshore companies as

mitment to the global forums about for CY23 with global players would get into hybrid-
carbon reduction will build its first heavy investments in diverse mar-

foundation with the target of outlay- favorable govt kets. This will be supplemented by
ing a major investment towards elec- the carbon targets that developed
trification of public transport, much nations will have to stand for, and

of which is reflected in various state policies like that their rising demands in ICE-
government policies. driven SUVs will only mean higher

EV Surge In India the extension emissions credited to their carbon
accounts. So, a natural gig in

A major boost towards EV compo- of FAME-II increasing investments and techno-
nents by GoI will be the game changer logical collaborations can be seen in

for growth of domestic manufac- scheme till various nations including India
turing, thus realizing the mission of which will work as a benefactor for

Atmanirbhar Bharat. During FY17- 2024 and local productions to gain global
FY20, electric vehicles recorded a launch of the stimulus, enhance exports and
growth rate of 44 per cent, with nearly implement the same into the offer-
1 million units sold in FY20. After a pe- ings of domestic markets. It seems to
riod of pandemic-induced slowdown be a win-win if India continues to

that resulted in subdued spending, PLI scheme” play along the EV track with its cost
consumer sentiment started looking competitiveness and manufacturing

up in 2021. The electric mobility space excellence during the next two

is expected to witness launches in both decades. .

75 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

AI is
Changing
the Auto
Industry for
the Better

By Vinay Founder & CarTrade
Sanghi Chairman Tech

ARTIFICIAL INTELLIGENCE or AI, is everywhere. The degree might vary, tomakers have begun implementing in-
but its influence cannot be overlooked. We almost live and breathe it. It novative technologies into their products
influences what we use, what we watch, how we shop, and now, how we and processes in order to stay one step
make, choose, and drive cars as well. Agreed, the big play for AI is self- ahead of their industry peers. Artificial
driving cars when it comes to the automotive industry. But that’s still very intelligence and data science integration
much in its infancy. What’s here and now is data science and how we employ machine have helped not just automobile manu-
learning to finally give us solutions, efficiencies, and customisation that not only makes facturers, but also component suppliers,
the consumers’ lives better, but it makes businesses sharper as well. software providers, vehicle rental firms,
and other automotive-related enterpris-
Today, the automobile sector is on the brink of a tremendous upheaval. Visionary au-

76 | BW BUSINESSWORLD | 12-25 January 2022

es. In the broadest sense, one can divide AI in the auto space a highly tailored and direct customer experience via in-car

into three categories, especially when it comes to cars. There’s systems. AI-powered infotainment systems learn about

the vehicle design and production. There’s the buying journey. their users’ habits and preferences over time. So, the next

And of course, the car itself. time users get into the car following a long day at work, the

AI ensures the environment inside is optimal for the user.

Making of the car

If used correctly, data can help close loops to deliver better The rest
products and experiences. Take vehicle design for instance. But the impact of AI is not restricted only to car manu-

With so much data being generated facturing or its associated technology

around the car driving behaviour, us- service providers. AI is also being lev-

age pattern, preference for a particu- eraged to make the car buying and sell-

lar type of feature - AI helps design- ing journey seamless for consumers.

ers and product development teams Imagine a future, where AI enabled

tailor-make future models that are customer interface systems tell you

more relevant and in-tune with what which car is the best for you based on

consumers want. They can add or sub- AI is truly your driving, penalties received, insur-
tract elements and features in a car ance claimed, and health data. AI has

based on how consumers have been and properly the capability to finely tune and cus-
using models or iterations of the car. tomise product offerings and models

Not only will this be appreciated by the here. It is down to the minutest detail.
end consumer, but it also helps use re- transforming In the upcoming years, we may also
sources more effectively. the automobile
see big infrastructural modifications
Similar efficiencies and sharp focus to the nation’s mobility systems as
can be seen in manufacturing. With automobiles become smarter. Next-
the aid of artificial intelligence and ma- generation city models would use AI
chine learning, robots are acquiring to create high-resolution 3D visuals of

automobile manufacturing skills. Ro- sector, from actual roads. Urban areas may trans-
bots are being used by key auto manu- mit routinely modified maps using

facturers to assist people in the produc- how we data from multiple high-resolution
tion of automobiles. In the near future, CCTVs, radars, neural networks, GPS,

these AI-powered robots will be able to drive to how and algorithms that use sensors. Cars
control and manage the overall factory would also receive real-time updates of

without the need for a huge workforce we engage any form of congestion in the situation
and 24x7 human supervision. with the of an emergency, owing to roadside
automobile” equipment integrated with several
The car cameras and radar systems.
One doesn’t need to fantasise about
KITT from Knight Rider anymore, In conclusion
because so much of that is already a Future AI-based technologies will add

reality in cars today. Okay, we haven’t more value to cars, helping accelerate

gotten to cars that are self-aware just production, maximise production ca-

yet, but communicating, learning, pacity, and gather data with a unique

and interacting with the human in the car is something user experience. The future economic growth fuel for the

cars are already doing today. The AI in the car learns one’s automotive sector will surely be big data. An AI/ML-based

preferred temperature setting, or most frequently navi- system using big data can correctly predict the supply-

gated destination, or even a favourite playlist if there’s one. demand volatility and also ensure a customer gets the right

And what all this does, is make car travel or commute, less product based on his or her profile. Artificial intelligence

taxing and more intuitive. is truly and properly here. It is transforming the automo-

Automakers are currently collaborating with a range of bile sector, from how we drive to how we engage with the

software businesses to develop engaging and personalised automobile. And the good news is, as an industry, not only

user experiences. This is where AI delivers user behavioural are we embracing this technology with open arms, we are

patterns to auto manufacturers to assist them in creating ready to exploit it as well.

77 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

Made in India, Used
by the World

By Sharad President, Automotive Refinishes and
Malhotra Wood Coatings, Nippon Paint India

CORPORATE IT WAS IN 2020 that a special eco-
nomic package of Rs 20,000 crore was
announced under the ‘Atmanirbhar
Bharat’ scheme by the Government of
India, based on five pillars – economy,
infrastructure, system, demography and de-
mand. An effect of such an endeavour could be
gauged by the rise in export through almost the
whole of 2021. In November 2021 for example,
exports grew 27.1 per cent to $30.04 billion.
The sectors that contributed significantly to
this jump were petroleum products, engineer-
ing goods and electronic items. Automotive
exports, in the period between April 2021 and
November 2021, grew 62 per cent. A total of
36,91,583 automobiles were exported, so no
optimism was lost and the ambition to reach
the $80 billion export mark remains solid.

The Union Cabinet recently approved incen-
tives worth $10 billion to develop semiconduc-
tors and digital display systems to make India
a global electronics hub. With states chalking
their industrial policies to boost production,
the goal of turning India into a key manufac-
turing hub for automobiles especially is being
fiercely followed. The Union and state govern-
ments have been reshaping their policies in
favour of a conducive industrial and business
environment. Consider this: The announce-
ment of the PLI auto scheme for automobiles
and auto components worth $3.49 billion is
having a highly positive effect and is expected
to bring investments of over $5.74 billion by
2026, also offering $3.54 billion in incentives
over five years. Underlining once again the in-

78 | BW BUSINESSWORLD | 12-25 January 2022

tention of the government to turn India doing its bit, but the real deal is based on

into one of the world’s most important what we as manufacturers bring to the

automotive production hub. table. And that’s where we need to look

at the world with new eyes and see the

Bright road ahead realm of what was considered to date as

The world’s economic output will exceed impossible.

$100 trillion for the first time in 2022. Omicron is a Developing high value-added tech-
India is ready to overtake France next nology-intensive products and services

year and then Britain in 2023 to become threat to the for the world market is indeed possi-
the world’s sixth-biggest economy. De- ble. We at Nippon Paint India are do-

spite setbacks forced upon us by the world today, ing our bit and our passion for develop-
pandemic, India’s place in the world’s ing export markets for our paint and

economy is secure and it is upon us to en- but I doubt coatings is driving us forward. We are
sure that we don’t lose this opportunity to building smarter supply chains, leaner
make India a manufacturing hub with a that this organisations and taking giant strides

robust export engine. in technology. We are developing our
Building our manufacturing sector understanding of international busi-

is a dream which finds resonance in will dampen ness with deeper insights into each
the world that is grappling to reduce particular aspect of every market. We

dependence on China. With the world the animal are not just aiming to be self-reliant,
order changing significantly due to geo- but increasingly outward-looking and

political developments, the challenges spirit that focusing on building our international
in front of organisations are as varied as presence. Today, we are exporting to

technology, energy, and supply chain and our economy several countries across the world,
logistics. The stress of the government particularly in the Asia Pacific, Mid-

to turn India into an R&D hub is indica- is capable of dle East and Africa. And no, our prod-
tive of how challenges could be turned unleashing” ucts are carving out their niche, not
into opportunities for growth and sus- under being low cost, but being value-
tenance. If manufacturing concepts like efficient, technology-driven and even
Industry 4.0 are helping the companies environment friendly.

to increase their efficiency, they are also

helping them to digitalise faster. Emerging trends

The shrinking time-to-market is in- Paint & coatings is a traditional sector

creasing the need for the local manufacturer as much as it and yet, so much is possible. Imagine what our entrepre-

is for exports to continue growing and innovating. The ‘At- neurs can do in other sectors. Emerging trends are being

manirbhar Bharat’ campaign and the various PLI schemes accelerated everywhere, whether ecommerce, digitisation

(for electronic components manufacture, for auto compo- of operations or the rise of hybrid workplaces. Health and

nents manufacture, for EV components and battery manu- nutrition, need to control or minimise climate change are

facture, etc) are timely and encouraging turning challenges setting in. These trends are here to stay and are likely to

into opportunities. From mitigation of energy and supply shape the future of businesses and our society.

chain challenges (the most evident being the semiconduc- Omicron is a threat to the world today, but I doubt that

tor shortage) and finding new ways to address the changing this will dampen the animal spirit that our economy is

market demands. capable of unleashing.

We may be at the beginning of a new multiyear economic

Tech intense upcycle, fuelled by rising investments, conducive govern-

As technology transfers intensify in the quest to stay profitable mental policies and stronger and more resilient manufac-

and agile, the startups are beginning to attract investment be- turing companies that have indeed become more agile,

cause of their ability to disrupt the markets. EV start-ups sans innovative, and adaptive in the ‘new normal’.

the luggage of legacy manufacturers, for example, are looking The upturn in economic sentiment is visible. As businesses,

better poised to disrupt the market than ever. we need to roll up our sleeves, reset our vision and embrace

So, now it’s time for all manufacturers to raise the game with the opportunities within our shores and beyond. The world is

a spirit that is infallible and indefatigable. The government is waiting, but not for long. The time is now.

79 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

TECHNOLOGY AND TECHNOLOGY-DRIVEN
industries thrived when most other sectors
of the economy floundered through the
pandemic that raged on through 2021. The
tech sector grew manifold and the trend is

expected to continue through 2022.

Industry experts are confident that technological won-

ders, particularly of the virtual world, will witness a strong

and steady growth, prompting BW Businessworld to scout

out the biggest and but that has changed now.
With all the upgrades over the years, there is no doubt
most defining technol- Top
ogy trends expected that the smartphone camera has influenced the nature of
through 2022. photography in a big way. Surely there will be more to come
from the world of photography through 2022.

OVERVIEW TECHNOLOGY Metaverse Tech Digitisation Comes
The Metaverse was a
buzzword coined dur- The year ahead With Risk
ing 2021, even though will see a surge According to the UK’s
National Cyber Security
most were unaware Trends
of the coinage. When in the demand Centre, the number of ran-
social media com- for increasing somware attacks in the first
pany Facebook an- quarter of 2021 was three
nounced its interest in
sustainability, times higher than those in
Metaverse, however, it In data volumes, 2019. And research from
quickly became the hot PwC shows that 61 per cent
topic of the year.
network speed of technology executives
Facebook has re- and those expect it to grow in 2022.
As 2022 begins, cyber-
cently rebranded as 2022
‘Meta’, in keeping with many growing attacks such as phishing,
its plans to create an wonders of the ransomware, and malware
online world in which attacks will only become

people can communi- digital world like more sophisticated. For
NFT and crypto this, we can largely blame
cate and interact, us- the pandemic and the in-

ing virtual reality (VR) headsets.

If you still can’t figure out what this term means, don’t currencies, crease in the amount of
in which daily activity done online and in
worry, we’ll spell it out for you. Simply put, Metaverse is the digital environment.

a kind of virtual space set, enabling people to create their

own virtual world. It is a 3D virtual space that anyone can trading volumnes In 2021 alone, the av-
erage total cost of a data
create and share with another person who is not present in are on the rise

that physical space, pretty much the way you have seen in breach in India stood at

science fiction movies. Using this Metaverse, anyone can By Abhay Shukla Rs 16.50 crore, according
to a recent IBM survey.
hang out, play, work, learn, shop and make friends virtually.

This loss was 17.85 per cent

Smartphone Camera higher compared to the cost of data breach the year before.
One can only wonder at the future as it unfolds for the
rapidly evolving mobile phone camera, considering the While this will inevitably increase the burden of those re-
fact that the technological upgrades have been tremendous
over the years. In recent years, we have seen cameras in sponsible for information security in businesses, in the
the notch, pop-up camera, wedge-shaped sliding camera,
rotating camera, under-display camera, 108MP primary long run, it will only come out as a protective environment
camera, and 100x Space Zoom, etc. These functionalities
were once strictly available for bulky and expensive DSLRs for everyone.

Virtual Currency & Assets - NFT, Crypto Boom
Since the lifting of restrictions by the Reserve Bank of India
in March 2020, cryptocurrencies have seen a sharp in-

80 | BW BUSINESSWORLD | 12-25 January 2022

crease in interest, impressive user additions Web 3.0 will be Web 3.0- Internet Revolution
on Indian exchanges and a steady increase evolving with Also referred to as the decentralised web,
in daily trading volumes. Web 3.0 is the third and upcoming genera-

According to broker discovery and com- technologies tion of the internet. It will be an improved
parison platform BrokerChooser, India has such as AI and version of the current Web 2.0 internet.
the highest number of crypto owners in
Web 3.0 is expected to help overcome

the world at 10.07 crore. Just to give you Blockchain, as privacy challenges and is anticipated to
a perspective, India’s largest stockbroker well as the in- be a decentralised version of the internet
Zerodha has been surpassed by some of the where people can choose the decentralised

country’s most popular crypto exchanges in terconnection approach to protect their sensitive personal
terms of users. Zerodha currently has over between users data. Web 3.0 was originally called the Se-
seven million users, while CoinSwitch Ku- mantic Web by World Wide Web inventor

ber has 11 million and WazirX has an 8.3 and the increas- Tim Berners-Lee and was intended to be a
million user base. ing use of the more autonomous, intelligent, and open
internet.
Just like crypto, Non-fungible tokens

(NFTs) have been around for quite some internet Web 3.0 will be evolving with technolo-
time, but only bounced back in 2021. This gies such as artificial intelligence (AI) and

year the trend is expected to explode and Blockchain, as well as the interconnection

NFT art will only grow. between users and the increasing use of the internet.

According to the WazirX exchange, Indian creators sold All in all, 2022 will move a notch higher than 2021 in

NFTs worth Rs 2.4 crore on the WazirX NFT marketplace technology adoption, going whole hog into its many inno-

till December 20, 2021. vations, as well as the risks that they entail.

Photograph by Indiapicturebudget 81 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

Web 3.0: Cryptocurrency,
Blockchain, CBDC

By Avinash CEO ZebPay
Shekhar

TECHNOLOGY THERE ARE MANY questions I’ve got this year on crypto. However, With CBDCs,
when it comes to Indian investors, few of the common questions were we look
around Central Bank Digital Currencies or CBDCs. Are they going to forward to
be cryptocurrencies? How are they going to be minted? Will CBDCs seeing a new
replace our currency? The simple answer to all of these questions is as and highly
follows: It’s all in the design of the CBDCs, and the truth is there are no concrete efficient, and
details on how a CBDC in India is going to be issued. However, here are a few smart cost-effective
speculations around it. system that
benefits the
Cashless Economy economy as
The first and foremost is that CBDCs will be an extension to building a completely well”
cashless economy. We already have high-performing digital payment services in
the country. You can easily transfer cash via these methods. So, the main question
is how is CBDC going to be different from the existing digital payment systems?
For one, the most important factor we’re looking at is if CBDCs are going to be built
on a blockchain or not. If yes, it can bring many benefits to the monetary system.
This can enable lower transaction costs and achieve settlement efficiency since the
transactions are settled on the blockchain itself.

Another major point we understand is CBCDs can be legal tender compliment-
ing the sovereign currency i.e., the Indian rupee. Here, CBDCs can improve the
economy if created with a limited supply—something like gold or bitcoin, where
we can also use it as a reserve currency for the country. If the CBDCs are issued the
same way as the Indian rupees are issued, then we are looking at another digital
form of the existing currency on a blockchain.

Additionally, there are other blockchain-related parameters we need to take
into consideration—whether CBDCs are going to be decentralised or not, will it be
permission-less or not, and so on. We have seen bitcoin as the greatest example of
a decentralised system where you have different people/nodes validating transac-
tions on a shared public ledger.

When it comes to the monetary system of a country, we need to look at the wants
and needs of the system and build something accordingly. Both centralised and
decentralised chains or public and private chains have their own benefits and draw-
backs. For example, in a public ledger, all transactions are public information. In a
decentralised system, you have multiple decision-makers involved. A centralised
digital currency can customise the coins/tokens accordingly and those parameters

82 | BW BUSINESSWORLD | 12-25 January 2022

will determine the features of a CBDC. tos and their taxation. More
importantly, it’ll provide an
Unique Requirements environment where investors,
Some countries have already started experimenting with entrepreneurs, and businesses
CBDCs and we can learn from how they have performed can confidently come into this
in their economies. space.

India, as a diverse and highly populated country, has its Crypto Regulations
unique requirements. The government is doing a fantastic We foresee India becoming a
job noting these developments and taking the next steps leading nation for all things
towards the betterment of the economy. We look forward to blockchain-related. We have
the implementation of good infrastructure around CBDCs the resources in terms of the
taking into consideration all these factors. talent pool and intellect. We
have seen Polygon, an Indian-
Great developments are happening in Decentralised born project make it big in the
Finance (DeFi) as well. We would like to see if the govern- entire crypto ecosystem. Cryp-
ment has any plans to develop systems similar to that where to regulations can promote
people can make use of CBDCs to facilitate more benefits achieving this status sooner.
through lending, borrowing and so on. Again, these are Furthermore, it can help in-
advanced systems to think of right now, but we believe this vestors to distinguish between
is going to be something very common in the future. scams and genuine projects.

Last but not the least, the most important question is the With the great global adop-
coexistence of cryptos like bitcoin or ethereum when there tion of crypto, the number of
are CBDCs. We hope to see these cryptos can be classified scam projects is also increasing. These are mainly focused
as gold or other asset classes. on those investors who still find crypto and blockchain to
be a tech-savvy sector. A regulatory framework can make it
To add to that, we look forward to the regulations from easier for every type of investor to get into crypto. However,
the government on cryptos and details of CBDCs. This we strongly recommend every investor be well educated
will further clear all doubts on the classification of cryp- about the assets they invest in.
Finally, when it comes to our business, ZebPay is one of
the oldest crypto exchanges to start functioning in India
back in 2014. Since then, we’ve been following strict KYC
and AML policies. We have always voiced for regulations
around this industry.
We will continue with our practice of self-regulation
until there is an official crypto bill from the government.
However, the recent steps taken by policymakers towards
a crypto bill—to discuss and learn the requirements and
challenges in the industry are very healthy and welcoming.
As an exchange and a business, we will adapt to the market
and will always stay compliant with applicable laws and
regulations.
To sum it up, we’re glad to see the government’s efforts
towards complete cashless payments. With CBDCs, we
look forward to seeing a new and highly efficient, and cost-
effective system that benefits the economy as well. We also
hope to see CBDCs and cryptos like bitcoin and ethereum
co-exist. CBDCs on a blockchain with a limited supply as a
concept may be very beneficial for the Indian economy.

83 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

Changing Gamification to enhance shopping
Dynamics of Digital experiences: Today, consumers rely on
Ecosystem recommendations from influencers to
discover new products from brands
By Pulkit Agrawal, Co-founder & CEO, Trell across categories. To make the shop-
ping experience more entertaining and
OVER THE PAST FEW YEARS, social media has transcended from engaging, social commerce platforms
being just a networking platform for individuals to one of the pri- have begun to gamify multiple aspects
mary forms of communication and engagement. Today, millennial of shopping, through influencer part-
and Gen Z rely on social media to make any purchase and buying nerships.
decisions leading to growth of social commerce. This has been
especially observed in smaller cities and hinterlands of India. Understanding The next year is likely to see platforms
the changing dynamics of the digital ecosystem and growth in video content leveraging time-bound tactics, quizzes,
consumption, brands are leveraging newer models like social commerce to con- contests, and virtual incentives to cre-
nect with the users. As consumer expectations evolve rapidly, brands ate a more robust consumer engage-
are exploring multiple avenues such as live commerce that leverages ment and drive sales. Gamified dynam-
influencers to make the shopping experience more interactive. Here ics such as rewards and contests help
are some trends that we expect to manifest in 2022 in the social media build a sense of healthy competition and
communication/engagement space. foster the community spirit while also
strengthening brand loyalty, reach and
Regional will lead the way: Regional language and localisation providing a new experience for users.
will be the key focus for all the industries. Creators and brands will
effectively strategise on penetrating deeper into regional markets and It will be a creator’s economy:
Tier 3 cities through relatable language content. While language is the Content creators have become inte-
key factor, creating customised content that showcases regions gral to a brand’s growth and customer
cultural nuances will be important.
reach, given that social commerce
The rise of in-app currency: Today’s consumers expect a has gained immense traction
hassle-free, efficient, and convenient shopping experience, with brands increasingly adopt-
and this includes the payment part of it. Apart from this, ing it. In the coming months,
consumers also prefer when brands incentivise the shop- we will witness a huge growth
ping experience. As the need for convenience continues in India’s creator’s economy
to grow, social commerce platforms are now intro-
ducing their own currency that work as rewards. with further impetus to user-
Customers can then use these rewards/currencies generated content. In
to shop on the platform directly. fact, some startups
are even building
Shoppable content with advanced development tools that will al-
in AR & VR: With technology taking center stage today, we low influencers to
can certainly expect shoppable content on social commerce launch their own
platforms to ease the shopping experience while boosting the D2C brands, creating
purchase decision of the users. This will not only drive engage- a micro-entrepreneur
ment but also make the shopping experience efficient while ecosystem.
reducing cart abandonment. Platforms have already started While Covid has
testing technologies such as AR (Augmented Reality) and provided a welcome ac-
VR (Virtual Reality) and we will be witnessing some major celeration to the crea-
developments on that front, especially with Meta (previously tor’s economy and social
Facebook), sharpening its focus on AR. commerce, the sectors
will undeniably thrive
in 2022 with several
trends and innovations
set to emerge. All in
all, it will be a year of
opportunities, evolu-
tion, and growth for
both brands and influ-
encers.

84 | BW BUSINESSWORLD | 12-25 January 2022



YEAR AHEAD WHAT TO EXPECT IN 2022

TECHNOLOGY

Redefining the
Role of CMOs

By Vasuta Agarwal SVP & MD - Asia InMobi
Pacific

86 | BW BUSINESSWORLD | 12-25 January 2022

IF WE WERE TO NOTE one of the most evident changes line via mobile devices, time spent online has increased, an in-
encountered during the pandemic, it would be the ep- creasing number of consumers are now shopping online, and
ochal digital-first shift in consumer behaviour – in turn the physical and digital worlds are enabling and propelling
leading to the evolution of marketing and the role of a each other forward. India has one of the largest Internet user

CMO. Paradoxically, not long ago, the tenure of a CMO bases and contributes to 25 per cent of all new Internet users

was the shortest among CXOs, challenged by this very rapid globally in 2020, tallying 734 million (according to TRAI).

digitalisation and behavioural shifts. The pandemic has just This user base – urban or rural – accesses the Internet using

put all these changes into perspective. The CMO is now back the mobile, with 90 per cent of the time spent on apps. Today,

to being the customer champion, the brand advocate, the in- brands must invest in three key aspects when building mobile

novator driving company growth, and, most importantly, the marketing maturity: Programmatic Marketing, Mobile Video

custodian of digital transformation within every organisation. Advertising, and Personalisation at Scale. Brands that are

Just over 18 months ago, as face-to-face and on-ground cognisant of their consumer’s expectations and maximise the

interactions/ data came to a complete standstill, especially potential of mobile by creating personalised and immersive

for contact-intensive services, CMOs became the key to un- experiences are bound to rise to the top in 2022.

derstanding the changing consumer trends, channelling in- Creating a data advantage in a mobile-first world: Put-

sights for new product development or enhancement, and ting data to work in this mobile-first era can give a competitive

adapting to newer strategies while ensuring brand growth advantage by building a 360-degree view of your consumer,

and resilience. This presented significant opportunities for channels, and outcomes. Over the past few months, there has

brands to be more digitally inclined, and create new methods been an unmissable, distinctive chatter in the virtual hallways

to create value, and thrive in a new envi- of the digital advertising ecosystem; the

ronment. Be it building seamless digital conversation surrounding consumer pri-

experiences, adapting to regulatory and vacy and data has occupied centre stage

consumer changes, or doubling down on in adland. Yet, what seems to have further

phygital experiences to bridge gaps. accelerated the focus on this conversation

Below are three key elements that has been the recent steps taken by tech

CMOs in India should have in mind for giants such as Apple and its release of the

their brands in the post-pandemic era: The most App Tracking Transparency framework
Rekindling the zeroth-P of market- and Google mulling the deprecation of

ing: All the conversations I have had successful cookies (which has now been delayed).
with leaders across the marketing eco- This makes it imperative for brands to

system around building brand resilience Chief build a strong data-value exchange with
boils down to three indisputable factors: consumers where consumers receive per-

purpose, authenticity, and consistency. Marketing sonalised experiences in return for their
The four Ps — Price, Place, Product, and data. In the process, brands must invest
Promotion — have long determined how in marketing technology that ensures

marketers define their strategies and ac- Officers will complete privacy compliance.
tions. But in today’s rapidly developing Disruption is the name of the game

world, a new ‘P’ — Purpose — is increas- need to be in the marketing industry. Yet, in spite
ingly becoming fundamental, above all of the pace and magnitude of change,

the four Ps we know and understand. adaptable CMOs have been able to understand,
In the current situation where we are all assimilate, and react to these changes.

learning to navigate the constantly evolv- to maximise And, as a result, the Chief Marketing
ing realities of the new normal, marketers Officer is now in the driver’s seat. Going

must ensure that purpose takes prece- the power of forward, CMOs will need to play the role
dence while driving their strategies. This of a catalyst as brands focus more intently

will not only help them stay truly relevant mobile in this on new sources of customer data, growth
but also reach consumers authentically. through innovation, end-to-end custom-
er experiences, smart media investments,
Building mobile marketing matu-

rity:Since the pandemic began, consum- digital age” and agile marketing principles. But at the
ers have found themselves more glued to end, the most successful CMOs will need

their smartphones than ever before. A to be adaptable to maximise the power of

larger share of the population is now on- mobile in this digital age.

87 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

OVERVIEW: MARKETING IT IS THAT TIME OF the year when we look at it from the
rear-view mirror and probe the many changes (read
surprises) it sprang. 2021 was certainly a game-changer
in more ways than one, unleashing significant changes
in the Indian media landscape.
The year gone by required marketers to manage an unprec-
edented crisis. 2022, on the other hand, looks to be more about
recovery, striking a balance with the newfangled changes and
cementing themselves in this consumer-centric world.

Consumer interactions and behaviours, personalisation, em-
pathy, use of technology, etc. stood out like before, but grew in
importance in response to the crisis. As a result, marketers are
constantly endeavouring to provide an enhanced immersive
experience. But there is uncertainty ahead, and so marketers
must come up with a solid plan for the short term while eyeing
long-term success. Here are some of the key marketing trends
that will continue to shine bright in 2022.

Purpose
“Businesses today are finding that doing good also means do-
ing well.” — Mark Weinberger, Global Chairman & CEO, EY
The past two years compelled organisations to redefine their

Marketers’
Melody for 2022

A quick playbook for marketers to up their game and plan their
strategies better in 2022 By Soumya Sehgal

existence beyond profit. This was applicable to everything “We see our customers as invited guests to a party, and we are
associated with them -- product delivery, employees, commu- the hosts. It’s our job every day to make every important aspect
nity engagement and more. Giving credence to the Edelman of the customer experience a little bit better.” — Jeff Bezos, CEO,
Trust Barometer findings, it revealed how 68 per cent of the Amazon
consumers believe they have the power to force corporations Marketers who have gathered that generic customer segmen-
to change, while 86 per cent of people expect CEOs to speak tation buckets and mass marketing campaigns aren’t doing
out on societal issues. well for business are halfway there on the success ladder. With
myriad touch-points and overload of information targeted to-
Companies and their stakeholders are now seen coming wards the consumers, the only way to eliminate confusion and
forward to create a more equitable and inclusive world and keep them hooked is by offering a personalised, customised and
redefine the articulation of why they exist, where the pursuit wholesome experience. Hence, a paradigm shift from a more
of profit is no longer supreme. product-focused approach to a more personalised consumer-
centric approach is the way to go.
Hyper-personalisation

88 | BW BUSINESSWORLD | 12-25 January 2022

According to London-based Omdia’s ‘India: Online Video
Trends and Omdia Consumer Research Highlights’ report,
the pandemic has been a great accelerator for the Indian SVOD
market with OTT video subscriptions reaching almost 62 mil-
lion at the end of 2020, doubling from 32 million at the end
of 2019. This indicates that behaviour is not a mere blip but
the intense online media consumption is resetting consumer
expectations and reshaping the content consumption experi-
ence. This trend is only going to strengthen in the coming years,
believe experts.

Influencer Marketing

“I think influencer marketing is going to have a golden era of a

decade. I think we’re at the beginning of it and I’m very fond of

it”— Gary Vaynerchuk

Influencer marketing was one of the key areas that thrived

in 2020, owing to increased social media usage, change in

consumer behaviour, challenges around traditional forms of

media, audiences’ interest in curated content, etc. All these

factors inspired many brands to engage with influencers to get

the word out in a relevant, topical and mindful way.

Reaffirming that this segment is on the rise, the annual In-

fluencer Marketing Benchmark Report reveals that more than

240 new influencer marketing-focused agencies and influencer

platforms came up in 2019. Also, 90 per cent

of the respondents believed influencer mar-

While marketing keting to be an effective form of marketing,
trends evolve each which will need standalone budgets in fu-
ture. Some of the trends that are expected

year, the basics in this sector are emergence of a new breed
remain the same of influencers, brand ambassadorships over
one-time deals and personalisation.

— understanding Automation through AI/ ML
the audience and “Artificial intelligence is the new electric-

A 2019 study by Accenture states that 75 communicating ity”— Andrew NG
per cent of customers are more likely to pur- with them Automation in marketing is a reality and set
chase from an organisation that offers per- to grow. We are going to see a new breed of

sonalised services based on their individual marketers who will possess technical, ana-

preferences. Hyper-personalisation, in this lytical and creative expertise. They will be

regard, is a proven strategy to reduce obstacles in the sales fun- responsible for a wide range of activities including data and

nel, eliminate the problem of ‘choice-overload’, save time and technology, business strategy, business growth, customer ex-

offer a seamless experience. And hence, a game-changer for perience besides brand building. Data driven marketing is the

marketers in 2022. future. AI and ML will become a game-changer for marketers

in the coming years, by making customer interaction more

Change in content appetite personalised and engaging. MarTech, enabled by AI and ML,

“Content isn’t king, it’s the kingdom.” — Lee Odden will be a key element in the future of business.

The Covid crisis compelled each of us to nest at home, cancel While marketing trends evolve each year, the basics remain

our social plans and turn to online media streaming to fill the the same — understanding the audience and communicating

void. There has been a notable shift from the traditional forms with them consistently and clearly. And hence, a more con-

of media to the new formats that tout exclusive content at low sumer-centric strategy will be pivotal in establishing a solid

prices to lure the audiences and probably keep them for ever. relationship in the coming year.

89 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

Supercharging
Customer Service
with AI/ML

By Vishal MD, India and Avaya
Agrawal SAARC
MARKETING

90 | BW BUSINESSWORLD | 12-25 January 2022

E VERYBUSINESSAIMStocreateasuperiorcus- Learning (ML) are no longer ‘nice to have’ technologies in
tomer experience. Customers that have had the journey of consumer experience. ML and AI are now
a positive customer experience will go out of essential components of any successful customer experi-
their way to tell their friends and family about ence endeavour.

their positive experience with your business. How far along are you in the process? Here are three sug-

Providing a great customer experience requires staying gestions for providing the experience that both staff and

updated with industry trends in order to have a clear handle customers’ desire:

on what is happening in the market, with competitors, and • Adopt AI-enabled virtual agents to deliver conversa-

with what customers’ desire. tional, round-the-clock customer assistance and, when

necessary, connect customers with a live human. When a

Contact centre employees are ambassadors client contact requires human assistance, the virtual agent

Employees in contact centres play a constantly changing intelligently directs the customer to the most competent

and evolving role. Employees in contact centres are crucial staff member based on data obtained throughout the self-

issue solvers, customer relationship managers, sales execu- service experience. Employees are given conversation in-

tives, expert advisers, business consultants, and transforma- formation, suggestions, and step-by-step directions for

tion experts, in addition to being brand ambassadors. resolving customer problems, enabling them to create a

Giving employees a desktop can make it easier for them better and more personalised customer experience.

to give the experience that customers want. By personalis- • To support the most demanding in-call apps, using

ing employee experiences with a composable employee Conversational Intelligence is vital. Consider the gains

workspace that easily brings customer in productivity and customer satis-

insights from different applications faction that organisations are achiev-

(CRM and third-party systems) into a ing by populating employee desktop

single pane of glass, you can eliminate screens with relevant information

screen switching and keep employees such as sales scripts, compliance state-

motivated and focused on delivering ments, upsell offers, FAQs, or knowl-

that amazing customer experience. edge management content based on

Customer experience backed Artificial customer words, phrases, and senti-
ment. This AI solution can automati-

by cloud cally insert call transcriptions into
CRM customer records, minimising
IntelligenceOrganisations must embrace a cus-
tomer-centric culture by empowering staff after-call work and allowing em-
every employee, regardless of job title or (AI) and ployees to focus on creating customer

location, to contribute to the customer Machine connections.
experience in order to thrive in today’s • Customers seek genuine connec-
experience economy.
tions with the companies with which

Organisations can embrace this Learning (ML) they do business. Intelligent routing
customer-centric culture by making uses criteria to match consumer (inter-

every employee, not just the customer are no longer actions, behaviour, transaction history),
service team, responsible for the cus- situational (location, weather, time,

tomer experience, thanks to seamless ‘nice to have’ day), and staff data with the appropri-
cloud-based unified communications ate resource to meet the customer’s indi-

and contact centre apps. Consider the technologies vidual needs. Customers can be routed
customer experience benefits that can depending on their personality, previ-

be achieved by allowing contact centre in the journey ous enquiries, or even the last employee
personnel to immediately connect sub- they spoke with.

ject matter experts situated in the back of consumer Having an always-on team that can
office, warehouse, a branch office, or an quickly adjust to continuously changing
employee working from home, when it consumer and market expectations is

matters the most. experience” critical to success. Cloud applications,
which can be combined to create inter-

AI is no longer ‘a nice to have’ esting experiences for a growing num-

Artificial Intelligence (AI) and Machine ber of use cases, will fuel the future.

91 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

Purpose Takes
Centre Stage

By Tapan Singhel MD & CEO Bajaj Allianz
General Insurance

MARKETING IN MY YOUNGER DAYS, I remember seeing advertise-
ments mainly in newspapers or on hoardings with sim-
ple aesthetics as its primary appeal. Those days you got
what you saw with the limited scope for any false mar-
keting. What also used to draw our attention were the
distinctive taglines or jingles which we hum to this day. Over
the years, marketing practices have transcended from tradi-
tional advertising like face-to-face sales to using the printing
press to then the television and radio to the current digital
transformation age that has changed the entire landscape
of marketing. Everywhere you look now, be it at your mobile
devices, your smartwatches, apps that you use, while brows-
ing the Internet, etc. advertising is everywhere, progressed
in a way to be available at every customer touch-point. What
drove this massive evolution of marketing was the purpose of
organisations to keep driving attention to their brand, empha-
sising the uniqueness of their offerings amidst the saturating
competition.

Need for purpose-driven marketing
Back in the day, the focus was primarily on product-centered
marketing based on facts about their products, their features,
and the benefits that the customer can get from buying their
products. Famous personalities were roped in to echo the
same brand ethos of the organisations adding that touch of
authenticity which the brands wished to achieve. This also led
to competitive marketing where brands pitted their products
against each other claiming to be superlative compared to the
other, in the end losing out of the humble advertising aesthetic.

We are in unprecedented times with the global pandemic,
where it has become more important today to listen to what
your consumers want and provide them adequate solutions
to their needs in order to endure the current crisis. Today with
the advancement in digital capabilities, hyper-personalisation
has become a key trend since customers’ needs have evolved
greatly. The narrative from what products customers must

92 | BW BUSINESSWORLD | 12-25 January 2022

purchase to why they must buy has started to take a promi- We also recently launched our #Care4Hockey campaign

nent centre stage. which is our endeavour to take an off-beat path towards

connecting with our customers by showing genuine care for

Why purpose-driven marketing? the underrated sport of hockey by supporting its develop-

We are in an age of marketing where the customer is not ment from the grassroots level. With these campaigns our

buying your products based just on your marketing strate- purpose is about improving the lives of all our stakeholders

gies but progressively the new-age radical consumer wants and contributing towards causes that need our support

to associate themselves with brands that are driven by pur- and attention.

pose with the eventual mission and vision to contribute to

the betterment of humankind. We are gradually seeing a Purpose-driven marketing is here to stay

pattern of how companies are making changes in their pro- With a gradual polarised consumer mindset, purpose will

cesses to eventually contribute and support in helping the continue to be a vital catalyst when consumers choose prod-

planet or towards the betterment of the imminent climate ucts or services of your brand as their preferred choice. Pur-

change crisis or the precarious Covid-19 virus. Organisa- pose-driven organisations tend to innately attract the right

tions must know their target customers well and under- customers and the right talent for your organisation. When

stand what causes or purpose they relate to. Building your organisations are driven by a strong sense of purpose and

campaigns around this would mean that your audience also making a difference to society, their objectives lie greater

connects with your purpose thus making them an integral than profitability and hence they tend to have a stronger

part of your company’s overarching mission. However, and loyal customer base. Even your employees become

it’s important for the purpose that your brand ambassadors for the company

brand endorses, be in alignment with since they too appeal towards the vision

the company’s brand fabric as well. The of the company.

intended purpose and your business If your brand currently exists means

proposition must be an effortless amal- you already have a vision and purpose,

gamation and must not be opted for it’s just about connecting to your cus-

since it may seem like a popular trend. tomer’s passion which resonates with

It is recommended that your purpose be With purpose- your company’s own objectives which
driven by authenticity which resonates will keep you thriving. Being a purpose-

with your brand values as well. driven driven organisation gives your custom-
ers an insight into the organisation that

Implementing purpose-driven marketing you are; it tells them that you can see
marketing the bigger picture and are making con-

As a purpose-driven organisation, we goals, your scious attempts at providing towards
realised that consumers are burdened those causes too. With purpose-driven
by everyday financial worries relating marketing goals, your brand not just

to their health, their home, their vehi- brand not gains credibility and authenticity but
cles, their assets, etc. We launched our also can help build business since other

‘Caringly Yours’ campaign with the just gains business entities will be interested in
simple thought that our customers associating with your organisation as

must be happy on a day-to-day basis well.
Always know that no matter how
credibility andand want them to live a worry-free life
by providing them with holistic solu- genuine your purpose is, it is about
tions for all their needs that encompass authenticity connecting your brand with the soci-

not just insurance but a lot more. We but also can ety in the form of stories and narratives
wanted to provide a frictionless cus- which will create the desired impact.

tomer experience to our customers at help build As a brand, if your heart is in the right
every touchpoint albeit with care as our place and you’re on the righteous path,
value proposition. Insurance is always business is incidental. Be authentic, be

a misunderstood industry and with this business” genuine, be consistent, associate with
campaign, we wanted to humanise it the right entities and together make a

and make people realise the good that difference towards the betterment of

this industry actually does for society. humanity.

93 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

Influencers to
Capitalise on Demand

By Rajesh Vohra CEO Artsana India
(Chicco)

MARKETING In 2022, OVER TIME, INFLUENCER marketing has become a major buzzword.
influencer It has emerged as the new-age tool to strengthen brand equity and
and affiliate boost brand recognition. As a modern way of brand promotion, it
programmes helps brands garner visibility and engagement by connecting with
will blend to category-relevant influencers.
help brands While the concept existed even in the pre-pandemic times, it gained prominence
garner sales during the coronavirus outbreak last year. Amidst the pandemic-induced lockdown
via the path and social distancing norms, brands leveraged the power of digital space via the
of authentic route of influencer marketing.
influencer
content” The year 2021 was when brands got an opportunity to expand their reach as
well as boost the authenticity of their campaigns by collaborating with renowned
influencers. Brands have been able to foster deeper and meaningful relationships
with their target audiences and the credit for this indeed goes to influencer market-
ing. They eventually moved away from the one-time association for single posts to
indulging in collaborations with a long-term vision. As we inch towards 2022, it is
expected that the industry will grow exponentially.

Influencer marketing in 2022
The landscape of influencer marketing is an ever-evolving one. It is projected that
the influencer marketing domain will grow at a significant pace in 2022. These
researches are indicative of the fact that the industry is growing and will provide
various opportunities to the influencers to capitalise on the rising demand.

The industry will witness various trends in 2022 as it will move forward on its
growth trajectory. Some of the expected ones are:
Content creation to boom: In 2021, the content creation community picked up pace
and it is anticipated that content creation will boom all the more in 2022. The content
creators will gain the recognition of entrepreneurs and there will also be a surge of
investment in business tools for creators as well. Brands will also now resort to content
creators for all minor and major communication with their target audiences. At Chicco,
we have always believed in providing content about our products that helps parents
make informed choices. All our associations with influences are content-driven and

94 | BW BUSINESSWORLD | 12-25 January 2022

real usage experiences of influencers who are recent mothers. that will be authentic, creative, and rele-
The go-to solution for sales generation: The new year will vant will be preferred by brands for their
be the period when influencer marketing will help garner communication. It is also the time when
online sales. The influencers will ensure this by offering a influencers will emerge to be valuable
seamless social shopping journey by harnessing the poten- messengers of brands. Brands will use
tial of live social shopping, affiliate marketing and sharing the power of influencers to spread their
authentic product recommendations. communication about their products
and services amongst the influencer’s
Furthermore, the influencer community will expand strong follower base.
affiliate programs. Brands will now want to focus on gar- Micro-influencers to dominate: One
nering sales and measuring conversions apart from social of the significant trends that will be wit-
engagement and robust digital presence. In 2022, influ- nessed in 2022 is that micro-influencers
encer and affiliate programmes will blend to help brands will dominate the influencer marketing
garner sales via the path of authentic influencer content industry. Brands will be inclined towards
within an affiliate model. them all the more due to their higher en-
Brands to adopt storytelling techniques: Storytelling gagement rates and affordability. They will
will rule the influencer marketing domain in 2022. Content prefer working with micro-influencers for
branded content as the influencer market-
ing industry will adopt the data-driven
approach. Micro-influencers will provide
brands greater ROI, higher engagement
and focused audiences. Due to their loyal
and engaged follower base, their role in
driving sales and conversions will be sig-
nificant going forward. At Chicco, our fo-
cus is more on micro-influencers because
of their authenticity, higher engagement
with their followers, trust within their
community, and seamless brand integra-
tion. We have seen significant success in
many evolved products where the concept
explanation to consumers is more detailed
and the consumer wants assurance from
one of their trusted faces.

The bottom line
Influencer marketing has become the pivotal element of
the communication strategies for brands. It has under-
gone various disruptions and revolutions over time. 2021
was filled with challenges yet had opportunities for this.
However, for influencer marketing 2022 will be filled with
growth prospects and it is equally promising for the baby
care segment.

However, the challenge is going to be the authentic and
original content. Considering that there are many influ-
encers in every domain, only those are going to establish
strong influence on their followers that have expertise and
command in their domain.

Brands will be keen on working with those who can gen-
erate differentiated content that can enable consumers to
make favourable purchase decisions.

95 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

One Size Doesn’t Fit All

By Naveen Munjal Managing Director Hero Electric Vehicles

MARKETING T HE TUMULTUOUS NATURE of the past two years has seen a dramatic It has become
shift in the marketing landscape globally. The outbreak of Covid-19 has increasingly
forced us into a rethink mode and further helped us become far more evident that
efficient in the way we conduct ourselves. consumers
Perhaps, the biggest takeaway for us at Hero Electric, from a mar- will be more
keting standpoint, is the monumental rise of hyper-personalisation being imbibed likely to
as a key resource to continue growing. It’s not hard to see why, either. The new-age purchase
digital consumer is inundated with information being dished out, and as a result, from someone
user engagement with content has gone down considerably. Customers are now whose
far more aware and demand a more personalised digital experience, including of- offerings are
fers and recommendations. In fact, according to a Google/Greenberg study, 61 per personalised”
cent of consumers expect brands to deliver tailor-made experiences to them at an
individual level.

It has become increasingly evident that consumers will be more likely to purchase
from someone whose offerings are personalised. Gone are the days of cookie-cutter
campaigns and a one-size-fits-all digital strategy. So-called ‘Spray-and-Pray’ cam-
paigns simply don’t cut it anymore!

This is where hyper-personalisation comes in. The goal is to create a loyal user
base, a highly sticky product, low customer churn, and have plenty of evangelists,
and this is done by way of combing through behavioural data, browsing behaviour,
purchase data, and personal information to create one-to-one communication
campaigns with each customer, even at large scale. The scene is set all the more
considering the average digital consumer owns in excess of three digital devices,
which all combine to generate a large amount of real-time behavioural data. The
research backs it up, too: according to a recent report by Deloitte, a successful hyper-
personalisation campaign can boost marketing ROI by 800 times.

Hyper-personalisation for deeper penetration
Hero Electric understands the pivotal role that hyper-personalisation plays in the
growth and development of any product and have invested heavily in Tier 2 and
Tier 3 cities owing primarily to the increasing penetration of the internet. Logically,
social media platforms play a very crucial role. Consumers spend in excess of four
hours a day, on average, on various social media platforms, and prefer interacting
with their brands there. Ditching automated responses and creating a more per-
sonalised campaign is one of the many layers of our hyper-personalisation drive.
There is, of course, no doubt that consumers form the backbone of a company, and
that their convenience must be put to the fore of any initiative. Our aim has been
to create a seamless offline to online transition and give them the feel of an offline
store online.

And while the concept of electric vehicles may be a fairly new one across our
country, its benefits cannot be ignored, and the task at hand has been to reach out

96 | BW BUSINESSWORLD | 12-25 January 2022

to consumers, make them aware of the growing benefits of is that there are far more inbound que-
owning an electric vehicle over a regular internal combus- ries than outbound, giving us a better
tion engine-based two-wheelers, and consequently drive understanding of customer needs and
them towards investing in a greener, more sustainable and preferences giving us a leg up on effec-
a more economically viable future. tive lead generation.

Hero Electric is handling this is by harnessing the power Adding ever greater convenience to
of social media platforms and creating targeted campaigns our customers is a big priority for us,
to create a unique one-to-one relationship with its custom- too, and our hybrid sales model intro-
ers. We are using technology and platforms like ‘Sales Force’ duced post-2020 furthered that senti-
to aid and assist our dealerships to strengthen our customer ment. It allowed customers to browse
relationships, and thereby give them the appropriate tools our website, select their desired vehicle
to convert inquiries into sales. and book it directly from there instead
of making the trip to a local dealership.
Listening to our customers is key, and a large portion The orders were subsequently fulfilled
of that is achieved thanks to our contact centres that log by local dealers closest to the customers’
our consumers’ preferences and allow us to provide the vicinity. As a direct consequence, our
most competent product experience. A byproduct of this dealers, partners and employees have
also been trained and upskilled in order
to ensure that they are able to service the
customer far better using this hybrid
method.

The results of our push towards a
hybrid model with a high level of per-
sonalisation were remarkable, our on-
line sales went up from a mere 1,000-
odd vehicles just a few years back to
over 12,000 last year. To push online
sales, we have held numerous webi-
nars and customer sessions to address
their queries and doubts re electric ve-
hicles and even came up with a three-
day return policy, which was the first of
their kind of initiatives in the automo-
tive industry.

As we delve deeper into hyper-person-
alisation to better our interaction with
our customers, banking on data derived from our investments
in artificial intelligence will be key. This, of course, involves a
deep dive into user behaviour on the internet, but while do-
ing so, we keep a very conscious eye out for not breaching any
privacy laws that every customer is entitled to.
The curtain is dropping on 2021, and it’s becoming even
more evident now that, however much hyper-personalisa-
tion dominated the year gone by, it will only serve to be a
continuous ally to companies like Hero Electric in 2022,
as the world grapples to get back on its feet and customers
become ever more aware, ever more demanding, and even
more deserving of an experience that’s bespoke for them.
In a sense, 2022 will bring even new learnings and a far
more personalised and interaction and stronger engage-
ment with our customers this coming year, with plenty of
new learnings thrown in along the way, of course.

97 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

The Great Content Play

By Bobby Pawar Chairman & Chief Havas Group
Creative Officer India

MARKETING HONEST CONFESSION, I’m seriously envious of my 16-year-old daugh-
ter and nine-year-old son. They are up to their eyeballs in content, while
all I had when I was their age was radio, cassette tapes, a few books and
four channels on a 21-inch TV with a frickin antenna.
I remember waiting for 9 p.m. to watch Phool Khile Hain Gulshan
Gulshan with Tabassum (does anyone remember her?), only to be interrupted by static
on the screen when the TV lost the signal, or by my mom who said it was time for me
to sleep. Oh, there was also Flash Gordon and He-Man. I often felt like my dad/ mom
was the evil Skeletor, making me do things I did not want to. Like, read my textbooks,
a form of content I was allergic to.

Yeah, back then most of the content had more ‘con’ than ‘tent’ if that makes any sense
at all. In the decades that followed, things changed. However, a seismic shift happened
in the last ten or so years. Why? Because of technology. You know, that thing most of us
talk about in an all-knowing tone but don’t really understand? Yeah, that.

Now we are all living in the kingdom on Screendom. A place where boredom has
become all but extinct. Damn, even the idiot box has become smart!

Video ga ga
One of the first shifts to take place is the move from the word to the visual. Reading has
become so Gen Y. The Bugles had it wrong when they released their song, ‘Video killed
the radio star’. It’s damn near put a supari on just about everything else. The status
nuevo is this if the image doesn’t move, it ain’t moving many people.

Another step change is the redefinition of the production house. No longer is
a studio (movie or otherwise) the only purveyor of content. Today’s production
house has quite literally become someone’s house. People are creating amazing
stuff from their living rooms, bedrooms, sometimes even bathrooms, armed
with nothing but their cellphone cameras and their incredible talents. And their
success is inspiring many more. For instance, my son’s current ambition is not
to be a game developer but a game reviewer and streamer. And to think, my wife
made me give up my X-box, Playstation and Nintendo because, and I quote, ‘it is
a colossal waste of time’.

The content of today
These days, content is not just consumed, it is regurgitated. People are recreating
dance steps, doing movie monologues in their own style, and participating in all
kinds of trends on IG Reels, Taka-Tak, etc. Putting yourself out there for people to
comment on is no longer so out there. Inhibitions are on their way out. Some of
them at any rate.

So, why should you care? Should you even? The answer to the latter question

98 | BW BUSINESSWORLD | 12-25 January 2022

is unless you are planning on being a Nowweare has no music, dancing or fun activities of any
marketing hermit, you should. As for alllivingin kind. Just pearls on the knowledge that can-
the former, get comfortable, because thekingdom not be strung into a necklace.
it’s going to be a long ride, I mean read. ofScreendom.
Aplacewhere Here goes.
These are some of the trends we boredomhas In recent times, there has been a huge
at Havas Group India think will only becomeallbut surge in co-viewing services, pursuant to
accelerate in our endeavour to create extinct.Damn, which many OTT platforms and broadcast-
meaningful brands, businesses and eventheidiot ers are consolidating solutions. These not
conversations. boxhasbecome only allow viewers to the watch party from
smart” different geographical locations but also
Social media platforms will innovate integrate advanced interaction amongst
to offer more immersive experiences. the viewers. Interestingly, we surmise that
These will be the confluence of deeper synchronised viewing will turn dormant
social connection tools, entertainment, consumption into a dynamic, performative
information, and commerce. one, adding new interactive features that will
incite further interactions.
AI and ML will be augmented to In addition, major broadcasters and
better predict customer behaviour pat- brands are aiming at homogenising media
terns, analyse data in real-time and content assets like movies, music, publica-
simultaneously enhance the personal tions, gaming, etc., that brings a compre-
experience. hensive solution at a fraction of the cost.
Think of it as the ‘chappan bhog’ of content.
The future of personalised content But that, as they say, is just the tip of the
marketing is adaptive content. In un- iceberg. So, what’s a dudette or dude to do?
jargon terms, it means delivering con- Keep your ears, eyes and most importantly,
tent to the user, based on who, when, mind open. Because if your mind is closed,
where, how and what device is used to you will only see and hear what you want
access the content, whereby technology to hear. Have a game plan. But be ready to
is married with creativity. It is a strat- adapt it when you get feedback from con-
egy that is designed to act as a fulcrum sumers. Read and react. Get an MBA. No,
for omnichannel personalised interac- not the kind you get at B-schools. A ‘Main
tion based on customer analytics. Oh Bas Anaadi’ hoon degree. Act like you don’t
my god, I can’t believe I used the words know enough, and you will always strive to
fulcrum and omnichannel! In the same continuously learn what it takes to succeed
sentence! Businessworld, what have in this shifting world. Peace out.
you turned me into?

Well, the Carnival of Jargon contin-
ues. Alas, unlike all carnivals this one

99 | BW BUSINESSWORLD | 12-25 January 2022

YEAR AHEAD WHAT TO EXPECT IN 2022

OVERVIEW M&E OVER THE LAST FEW MONTHS, the media and most competitive amongst emerging markets with 40-plus
entertainment industry’s recovery after the players representing all types of content providers. Moreo-
impact of the Covid-19 pandemic has been ver, the share of traditional media is slowly declining with
phenomenal and it is now set for the next increased digital adoption but there is still high headroom
wave of growth. for penetration with only 54 per cent of Indian households
As per the latest report by the Confederation of Indian having a pay TV connection compared to more than 70 per
Industry (CII) and Boston Consulting Group (BCG), the cent in China. For many households, TV continues to be
industry is set to grow to $55-70B by 2030 at a CAGR of the centre of the home and a significant part of family time.
9-11 per cent, with digital video and gaming contributing
the maximum to growth. There is good news for the music industry which is ex-
pected to reach Rs 23 billion by 2023 from Rs 15 billion
The year gone by was a challenging one for the media in 2020, growing at a CAGR of 15 per cent. According to
and entertainment industry. However, the industry has a study conducted by Kantar and VTION, an audience
shown remarkable recovery with TV ad volumes bouncing measurement and analytics company, Gaana, the stream-
back to pre-Covid levels and expected to continue growing ing service owned by Times Internet, had 30 per cent mar-
ket share, followed by JioSaavn (24 per cent), Wynk Music
Remarkable (15 per cent), Spotify (15 per cent), Google Play Music (10
Recovery for per cent), and others (6 per cent) in 2020.
M&E Sector
This year’s CII–BCG Big Picture report also appropri-

The M&E industry is set to grow to
$55-70 billion by 2030, with digital

video and gaming as the biggest
growth drivers By Ruhail Amin

in the future, driven by increased advertising on regional ately features the games sector in India captioned the “Fu-
channels and the entry of new advertisers. ture is play”. Despite sporadic regulatory hiccups, in some
states, this segment is growing at around 30 per cent per
If we look at film production and film exhibition seg- annum which is the highest among the animation and
ments, they were amongst the worst affected sectors in visual effects (AVGC) sector.
the M&E pack due to the pandemic. After a long period
of shutdown, cinema halls are now back in business. In The success of India’s media and entertainment in-
addition, streaming has provided new avenues for screen- dustry will ultimately depend on the ability to scale and
ing and broad-based the options available for producers, world-class creative talent in order to capitalise on the
artists and technicians. global opportunity in this sector. The industry is at a
critical juncture in its transformation, offering rapid
The Indian OTT sector is currently in the growing phase growth in some areas, and we hope 2022 is a new chap-
with strong subscription growth and high investment in ter in that direction.
premium and original content. The sector is one of the

Photograph by Indiapicturebudget 100 | BW BUSINESSWORLD | 12-25 January 2022