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Market Entry Strategy6 min readDecember 13, 2025

THE 'MADRAS' MISTAKE: WHY NATIONAL BRANDS FAIL IN KERALA

Treating South India as one homogenous block is your biggest ROI killer. Here is the nuance you are missing.

There is a lazy stereotype in Indian boardrooms: "The South Strategy."

It usually involves translating a Hindi ad into Tamil, assuming that covers everyone south of the Vindhyas. Or worse, assuming Chennai culture is the same as Cochin culture.

This is the 'Madras Mistake'. And it's why your Kerala sales are flatlining.

Kerala is Not Tamil Nadu Lite

Kerala stands apart for three distinct economic reasons:

  • The Gulf Money Factor: Remittances create a unique purchasing power. A rural home in Malappuram often has better appliances than an apartment in Mumbai.
  • 100% Literacy means 100% Skepticism: Malayalis read the fine print. They are less swayed by celebrity endorsements and more by logic and peer reviews.
  • The 'Quality' Obsession: Price sensitivity exists, but value sensitivity is higher. If it looks cheap, it won't sell, even if it is cheap.

The Dubbing Disaster

We recently tested a popular national detergent ad with a focus group in Thrissur. The ad featured a loud, melodramatic 'Saas-Bahu' dynamic common in Hindi soaps.

The reaction? Laughter. Not the good kind.

"Nobody talks like this here," one woman said. The ad didn't just fail to connect; it alienated them. It signaled, "This brand doesn't know us."

How to Win the Malayali Heart

You need Hyper-Localization.

Don't just dub. Re-shoot. Use local influencers who speak the specific dialect of the region (Kasargod slang is different from Trivandrum slang). Show the product in a context that makes sense locally (e.g., using coconut oil isn't just for hair here; it's for everything).

When a national brand takes the effort to get the culture right, the loyalty they earn is permanent.

The Lisn Editorial

Marketing Strategy Team

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THE 'MADRAS' MISTAKE: WHY NATIONAL BRANDS FAIL IN KERALA | LISN Agency Blog