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Moneylife » companies-sectors » sector-trends » king-of-sad-times-the-kolaveri-di-against-vijay-mallya
 
King of sad times: The 'Kolaveri di' against Vijay Mallya
February 21, 2012 05:12 PM | Bookmark and Share
Moneylife Digital Team

While Jet Airways or Air India did not voluntarily cancel their flights en masse,  Kingfisher seems to be doing it routinely. But what routes the hatred towards Kingfisher's brand ambassador, Dr Mallya himself? 



With no wind beneath his wings, Dr Vijay Mallya is grounded. The more things worsen, the more menacing his critics look. Which makes us wonder, what is it about the "King of Good Times" that inspires this rage?

It is not that other airlines have not faced trouble. Even Jet Airways or Air India did not voluntarily cancel their flights en masse, which Kingfisher seems to be doing. This has angered the passengers. But what routes that hatred towards the brand ambassador, Dr Mallya himself?

Vijay Mallya took up the mantle of "the airline's host" on the behalf of the industry.
Kingfisher was projected as an airline which would provide first class service at low cost rate. So initially, food was served, television was available in-flight, and of course, there were the air hostesses. But after some years, as aviation turbine fuel (ATF) dues and debts started to pinch, all these services were withdrawn. The King of Good Times was losing his sheen.

"When you are in the public sphere, you can either keep a low profile or a high profile. And when you keep a high profile, be ready to face the flak" says V Shantakumar, a veteran adman and former CEO of Saatchi & Saatchi in India. "Mallya put his personal stamp all over it. People expected more from him and this brand that he personified. Now, they blame him and his lifestyle for the sorry state of affairs."

One might remember the Kingfisher Airline's promos, which used to be aired frequently half a decade ago, soon after its operations started. Dr Vijay Mallya appeared in a polished black suit and personally welcomed everyone to his airline. He then went on to say that he "personally selects" the staff; and that he has taught them "to show the passengers the same hospitality that they would be offered as if they are in my own home". You can watch the commercial here http://www.youtube.com/watch?v=rMvtLKJmCmM

Dr Mallya's role model was Virgin Group's self-made but larger-than-life head, Richard Branson-who acted as the brand ambassador for his own company. Dr Mallya wanted to be him, and wanted his company to become Virgin. Kingfisher attempted to shine across diverse circuits, like Virgin had done with panache. Kingfisher Airline's staff got a red uniform-remarkably similar to Virgin's; and Dr Mallya got himself a haircut like his idol. Mimicking Virgin's versatility, Kingfisher entered diverse ventures. Unfortunately, Kingfisher was ill-equipped to carry the burden of Virgin's signature flamboyance.

Dr Mallya's idea of "personal selection" worked out-ample number of flyers will vouch that Kingfisher Airline has the prettiest air hostesses. Then there are the Kingfisher calendar girls. A least of half of India's population would agree that Dr Mallya (and his son) has good taste and overwhelming good fortune.

But Kingfisher's noble proclamations on hospitality have now become the subject of many jokes. As flights continue to be grounded and reports flow in of actress Ayesha Takia's Twitter war against Kingfisher; whose ground staff allegedly tore off her sister's boarding pass, people now ask, is this the way Dr Mallya treats his guests at home?

Public perception is a complex phenomenon. Every company, organisation or brand finds a poster boy-and when it fails; his image takes the maximum beating. Our very own prime minister is a fitting example, who has come to symbolise inaction and corruption; despite many people thinking that personally, he is an honest man.

"It is not that other airlines are without troubles," said an advertising veteran, "Most airlines are making losses and they are yet to repay loans. The problem with Kingfisher is that Dr Mallya himself made it personal. And then there were repeated blunders-defiant comments about bank bailouts, continuous grounding of flights that angered passengers, and now Dr Mallya is blaming income tax department for his troubles.  And amidst everything, Dr Mallya and Kingfisher continue to flaunt themselves. It is very easy for the issue to turn personal in such a situation-because as a subject; isn't a failed personality more dramatic than a failed organisation?"

Even when the airline ran into trouble, the in-your-face flamboyance continued-the IPL franchise, Formula1 team and other luxurious ventures. The reek of money displeased some, but things worsened because the spheres where Dr Mallya had started to get involved ran into controversies. And Mallya's junior's deriding of Ms Takia's complaint did not help matters.

The bubble burst in 2011. Moreover, with the nation still seething over rampant corruption and the tremendous loss the scams caused to the airlines, talks of banks bailing out a loss-making private enterprise; owned by a Rajya Sabha member; with public money sparked an outrage. Rahul Bajaj's famous comment made headlines. Dr Mallya however, put up a defiant face and argued how the bank bailout would not use public funds.

Dr Mallya and his beloved airline now have become a staple for Internet jokes. In Twitter, someone said, "Mallya was going to clear the air in New Delhi. But his flight got cancelled." The focus, even now, seems to be more on Dr Mallya than the workings of Kingfisher Airline.

It remains to be seen what awaits the troubled airline. Meanwhile, a Facebook user has a tip: "His drinks were with you when you were needed them. Now, drink more and support Vijay Mallya when he needs you."



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13 Comments
makarand patankar 2 months ago
vijay mallys selected 95 % of cabin staff means he spent his good times selecting air hostesses. he had no time for cockpit staff,engineering staff,maintainance staff.
no wonder airline is screwed,as 95% of the time devoted there.
» Reply » Link » Report abuse
R Nandy 3 months ago
A simple bailout can be reduction in ATF duty so that the airlines are able to reduce the losses and sustain till the economy turns aroud.

(1)The airlines fares can't be increased beyond a point as the airline seats as a commodity is quite elastic in nature i.e many travellers will move to trains and buses if the fare move up beyond a point and becomes unaffordable.
So, fare increase can only track GDP growth rate.

(2)Airline as a sector is bleeding in India. AI and Spicejet is also in terrible shape.Spice jet auditors have also stated that the networth of the airline has eroded considerably.So,reduction
in ATF duty makes sense as it will help the sector as a whole.
» Reply » Link » Report abuse
Carol 3 months ago
Dr. Mallya & his son might be flamboyant and copying Mr. Richard Branson of Virgin Airlines, but let's give the duo the chance to redeem themselves. Because this is the litmus test for them to prove that they are not just flamboyant but deeply-rooted in principles of business ethics! Come'on Mr. Mallya, show us that "even the finest of diamonds has to go through rough frictions to make them appear what they become' adage true!!
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Bikram 3 months ago
The feeling of resentment is there because no normal citizen of India is ever bailed out by the government (Farmers as a vote bank routinely are and there too is a story but that for later). If someone makes a bad business decision then they should live with it. The growing perception (not untrue) is that profits are private and losses are public.
» Reply » Link » Report abuse
Krishnaraj Rao 3 months ago
Brilliant analysis.

Vijay Mallya's visibly extravagant lifestyle choices like yacht and 5-star home, and investment choices like IPL and Formula 1, may have have had a direct connection with the collapse. Diversion of funds from companies is an issue that is nowadays not discussed... seems old-fashioned and a throwback to the bad old pre-liberalization days. However, diversion and corporate fraud exist.

I feel Mallya may have bled his airline more than just a little. Now he is attracting sympathy. But when Kingfisher Airlines finally dies, his personal fortunes will probably have grown from its carcass.

Regards,
Krish
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Shibaji Dash 3 months ago
There is substance only in what is stated by Mr. AV Murthy.True Nr. Mallya needs an image make over. Hope he does it.Also he listens to contrarian advice ( which he plentifully got from his friends and executives) too and introspects. He and his scion must realise they have miles to go.
» Reply » Link » Report abuse
xanadu 3 months ago
If only the same interest father and son showed in the calendar girls, was shown in running Kingfisher airlines, the public would not have been harassed so much.What an inconvenience to the flying public who had confirmed tickets and even issued boarding passes!

Staff not getting paid their salaries,and when salaries were paid at all, not remitting TDS from such salaries to the government(income tax department), not paying the oil marketing companies for fuel, etc,etc.
And they have the gall to comment that their troubles are because their bank accounts were frozen.Why not ask the reason for such blocking of accounts?

These are only the elementary reported irregularities and many more skeletons will tumble out soon.All this when cheering for an IPL team,F1,KF calendar and what not.I suppose people will still remember the drunk Dr VM with blood shot eyes with a liquor glass in hand when an IPL match was being aired.

Why not bring in some 'spare cash' from the huge family riches and fortune to bail out Kingfisher??All the villas,yachts,private aircraft,girls,booze are from the public money.

And king of good times can happily roll on.

High time the high flying VM and Sid came crashing to the ground.Nobody will shed any tear for them.The earlier it happens the better for everyone.We can only hope the banks are not arm twisted to dole out more money to them.Sometimes it is better to allow the sick person to DIE.
» Reply » Link » Report abuse
krish 3 months ago
V.MALLYA THINKS HE IS RICHARD BRANSON OF INDIA! BUT HE DOESNT EMULATE LATTER'S BUSINESS SENSE NOR PERFORMANCE! MERELY MAKING BIKINI CALENDARS & BEING A CASANOVA DOESNT MAKE U A GOOD BUSINESSMAN!

EITHER U OUGHT TO ACCEPT YR FOLLIES & SURRENDER OR KEEP FLYING PHONYLY BY BUILDING CASTLES IN THE AIR!

» Reply » Link » Report abuse
a v moorthi besides TIHAR 3 months ago
any one who is going hammer and tongs at Mallya should pause for a moment that taxpayers like you and me foot the bill for the inefficiency of AI. Every year the Govt sinks about 3000 to 4000 crores to keep the Maharaja flying and will continue to do for another 10 years, so that AI can offe tickets to us at rates which are not sustainable. So KF and other Pvt airlines also follow the suit and the present crisis hits KF and it s a open secret that none of the Airways operating in India are in profit so the day is not far off when they will also go the KF way be it Jet or Spicejet or any one if Govt continues to sink money on AI . one other example how subsidy drives out competition is just to recall what happened to Petrol pumps started by Reliance only to be closed because Public Sector oil companies were selling at about 10-15 Rupees less per litre where as Reliance could not break even. So long live the inefficiency of AI funded by you and me with entire LS supporting the Govt for regular bail out of AI. Another point inspite of such bail out one might of seen news report that AI was even not remitting the service tax collected if any shopkeeper was found doing same he would have been giving company to our spectrum Raja as collecting service tax and not remitting to Govt is misappropriation and punishment for this to any ordinary citizen is he will be trated as SARKARI MEHMAN
» Reply » Link » Report abuse
mander 3 months ago
a very well written article ...but Bade logon ne kaha hai ..." Aap jo boo ge bohi paaooge " ( What ever you sow , shall you reap ) ..
he / kingfisher airline ...
1. lured the staff of existing airlines by paying double their salaries .....
2. lured the jet airways frequent flyer passengers in particular by doubling their mileage ...
3.lured the well (only) experienced pilots (commanders ) of indian airlines by double salaries .....
many many many more things from routes to same flight nos to fight despacthers to slots etc ...etc....etc..
AND
he/kingfisher achieved all those
BUT
can he/kingfisher ...keep 'em afloat .... so many have already left him ...
GOOD LESSON ,...........

» Reply » Link » Report abuse
bny 3 months ago
KF replies to queries sound like coming from a school kid.
Example: If they unfreeze our Accounts, we can pay salary.

If we pay salary, pilots will attend duty.

If they supply aviation fuel, our flights will take off.

Why not try if liqours can fly the planes?
» Reply » Link » Report abuse
malq 3 months ago
1) I think Kingfisher gave us pride in being part of an international quality and known Indian product - be it beer or airline.

2) Somewhere down the line, the road to good intentions was hampered by a combination of greedy political mistakes and opportunist international players hiding behind other "Indian" brands like Jet Airways, SpiceJet, GoAir, even Indigo. At least we knew who owned Kingfisher (and Deccan). Do we know who really owns the other "Indian" flag carriers? And that is important.

3) Somewhere, deep inside, I think we can expect a sudden turn somewhere. It is easy to beat on someone when they are down - but likely he is not out as yet.

What bets that the "secret" ownership of one of the other airlines in India could also well be his?

Just a thought.

And sure, the beer is great, so the brand lives on . . . globally. AND, let's face it, there are enough people with him who will still be loyal to him, going back decades.

I expect a turnaround at some stage in the mid-term - 6-18 months, and some smart accounting too.

» Reply » Link » Report abuse
Shibaji Dash 3 months ago
It is indeed sad that Kingfisher is in this trap.It's also a loss for the travellers.Travelling by Kingfisher was a sheer pleasure- hospitality + departure and arrival in time !It all boosted one's confidence. Liquor business is zero-risk. But not aviation business. May God bless Dr. Mallya( if he has faith in the Almighty).
» Reply » Link » Report abuse
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