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How agencies deal with defaulters

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MUMBAI: The history of the advertising industry has its fair share of examples of client default on payments leading to agencies bleeding losses. A classic case is that of JWT Walter Thompson (Now known as JWT), having to wind up back in 1974 due to non-payment by clients. Although the company resurrected a few years later, it still shows that companies aren’t secure especially when clients declare themselves bankrupt.

In a fresh case that stirred the conversation about defaulting clients, media agency Madison Worldwide and creative agency Leo Burnett have filed a case against Chinese electronic brand LeEco over non-payment of dues in India. It failed to make payments for the period from January-December 2016, for which Madison is suing the company for Rs 39 crore plus interest in a Hong Kong court, while Leo Burnett has filed a case in the Bombay High Court for its dues of Rs 2.65 crore.

In a typical scenario, if an agency doesn’t pay the media on time, it stands to be blacklisted by the media and will lose its accreditation with the industry. This could be a deal-breaker for them since, without accreditation, agencies have to pay the media in advance for any further business. In such a situation, if the agency does not have a large amount of fund to spare, it might have to shut down.

Dentsu Aegis Network chairman and CEO South Asia Ashish Bhasin says, “Sometimes clients delay payments because there is a genuine reason but quite often, clients default on the payments deliberately and that puts the agency in a tight spot. Although there is a legal route, it is often cumbersome and long-drawn and agencies don’t have that kind of bandwidth. But if there is no option, that is what they have to do.”

Calling it unfair and need for stronger laws to be implemented for the same, Publicis Worldwide chief creative officer Bobby Pawar believes it should be illegal for clients to get away without paying for the services they’ve consumed. “It is very unfortunate as more often than not, it is the agency that has to bear the cost of it,” he says.

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For print ads, the credit period is usually 45 days from the month of activity. Here, the agency has to pay media, irrespective of client payment and earns only when the client pays. Non-payment or outstanding can result in blacklisting of the agency and all activities for the agency across all clients.

For television and radio, the credit period is 60 days from the month of activity. The agency has to pay only after the client pays, and earns only when payment happens. Problematic clients or habitual defaulters are closely monitored by Indian Broadcasters Federation (IBF), the regulatory body for TV and radio. Serial offenders work mostly on advance while tripartite agreements are usually the norm.

For instance, if a client owed the agency Rs 7.65 crore at a certain point in time which was long overdue, at five per cent media commission, the agency retained only Rs 38 lakh. Now if the client still has an outstanding unpaid debt of Rs 1.56 crores, the net amount is a loss of Rs 1.18 crore.

Havas Media chief finance officer Pritesh Bhatnagar believes bad debts always hit the bottom line and its impact on P&L is always significant. “Agencies need to be more prudent in agreeing to the credit terms with clients. We ensure we follow our internal credit control guidelines and policies to safeguard our interests,” he adds.

Ad agencies must compulsorily approach the Advertising Agencies Association of India (AAAI) to recover outstanding debts but with no assurance of recovery. At best, the AAAI can prevent the media from taking any new contracts from the same client.

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Extended credit lines are vital to maintaining a competitive edge and brands may be required to have credit insurance as part of a tender, to reassure stakeholders or satisfy the bank. Advertising and media companies face risks when selling and often rely on future bookings for media space and general advertising from a number of different providers. While credit checks are routinely conducted on new clients, it is impossible to track their status for the duration of the agreement. Remarking that the industry is starting to get a little more organised, Bhasin makes a point that stringent actions against such clients need to be taken not just by agencies, but also by involving various industry bodies. “It is important for agencies to do reasonable credit rating check for clients.”

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Netflix India names Rekha Rane director of films and series marketing

Streaming giant bets on a seasoned marketer who helped build Amazon and Netflix into household names

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MUMBAI: Netflix has put a proven brand builder at the helm of its films and series marketing in India, naming Rekha Rane as director in a move that signals sharper focus on audience growth and cultural cut-through in one of its most hotly contested markets.

Rane steps into the role after seven years at Netflix, where she has quietly shaped how the platform sells stories to India. Her latest promotion, effective February 2026, crowns a run that spans brand, slate and product marketing across originals, licensed content and new verticals such as games.

A strategic marketing and communications professional with roughly 15 years’ experience, Rane has spent much of her career building technology-led consumer businesses and new categories, notably e-commerce and subscription video on demand. She was part of the early push that introduced Amazon.in, Prime Video and Netflix to Indian homes, then helped turn them into everyday brands.

At Netflix, she most recently served as head of brand and slate marketing for India from March 2024 to February 2026, leading teams across media and marketing for global and local content portfolios. Before that, as manager for original films and series marketing, she led IP creation and go-to-market strategy for titles including Guns and Gulaabs, Kaala Paani, The Railway Men* and The Great Indian Kapil Show, spanning both binge and weekly-release formats.

Her earlier Netflix roles covered product discovery and promotion in India and integrated campaign strategy to drive conversations around the content slate, product awareness and brand-equity metrics.

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Before Netflix, Rane logged more than three years at Amazon in brand marketing roles in Bengaluru. There she handled national and regional campaigns for Amazon.in, worked on customer assistance programmes in growth geographies and contributed to the go-to-market strategy for the launch of Prime Video India.

Her career began well away from streaming. At Reliance Brands in Mumbai, she worked on retail marketing for Diesel and Superdry. A stint at Leo Burnett saw her work on primary research for P&G Tide, mapping Indian shoppers’ paths to purchase. Earlier still, at Orange in the United Kingdom, she rose from sales assistant to store manager, running a team and owning monthly P&L for a retail outlet.

The arc is telling. As global streamers fight for attention in a crowded Indian market, executives who understand both mass retail behaviour and digital habit-building are prized. Rane’s career sits at that intersection.

For Netflix, the bet is simple: in a market spoilt for choice, sharp marketing can still tilt the screen. And with Rane now leading the charge, the streamer is signalling it wants not just viewers, but fandom.

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Orient Beverages pops the fizz with steady Q3 gains and rising profits

Kolkata-based beverage maker reports stronger revenues and profits for December quarter.

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MUMBAI: A fizzy quarter with a steady aftertaste that’s how Orient Beverages Limited, the company that manufactures and distributes packaged drinking water under the brand name Bisleri closed the December 2025 period, as the Kolkata-based drinks maker reported improved revenues and a healthy rise in profits, signalling operational stability in a competitive beverage market.

For the quarter ended December 31, 2025, Orient Beverages posted standalone revenue from operations of Rs 39.98 crore, up from Rs 36.42 crore in the previous quarter and Rs 33.53 crore in the same quarter last year. Total income for the quarter stood at Rs 42.24 crore, reflecting consistent demand and stable pricing across its beverage portfolio.

Profit before tax for the quarter came in at Rs 3.47 crore, a sharp improvement from Rs 1.31 crore in the September quarter and Rs 0.39 crore a year ago. After accounting for tax expenses of Rs 0.79 crore, the company reported a net profit of Rs 2.68 crore, nearly three times the Rs 0.99 crore recorded in the preceding quarter.

On a nine-month basis, the momentum remained intact. Revenue from operations for the period ended December 31, 2025 rose to Rs 117.66 crore, compared with Rs 106.95 crore in the corresponding period last year. Net profit for the nine months climbed to Rs 5.51 crore, more than double the Rs 2.18 crore reported in the same period of the previous financial year.

The consolidated numbers told a similar story. For the December quarter, consolidated revenue from operations stood at Rs 45.06 crore, while profit after tax came in at Rs 2.06 crore. For the nine-month period, consolidated revenue touched Rs 133.57 crore, with net profit of Rs 4.49 crore, underscoring the group’s improving profitability trajectory.

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Operating expenses remained largely controlled, with cost of materials, employee benefits and other expenses broadly aligned with revenue growth. The company continued to operate within a single reportable segment beverages simplifying its cost structure and reporting framework.

The unaudited financial results were reviewed by the Audit Committee and approved by the Board of Directors at its meeting held on 7 February 2026. Statutory auditors carried out a limited review and reported no material misstatements in the results.

In a market where margins are often squeezed by input costs and competition, Orient Beverages’ latest numbers suggest the company has found a reliable rhythm not explosive, but steady enough to keep the fizz alive.

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Washington Post CEO exits abruptly after newsroom cuts spark backlash

Leadership change follows layoffs, protests and a bruising battle over trust.

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MUMBAI: When the presses are rolling but patience runs out, even the editor’s chair isn’t safe. The Washington Post announced on Saturday that its chief executive and publisher Will Lewis is stepping down with immediate effect, bringing a sudden end to a turbulent two-year tenure marked by financial strain, newsroom unrest and public backlash.

Lewis’s exit comes just days after the Bezos-owned newspaper announced sweeping job cuts that triggered protests outside its Washington headquarters and a wave of anger from readers and staff. While newspapers across the US are grappling with shrinking revenues and digital disruption, Lewis’s leadership had increasingly come under fire for how those pressures were handled.

The Post confirmed that Jeff D’Onofrio, a former Tumblr CEO who joined the organisation last year as chief financial officer, has taken over as CEO and publisher, effective immediately. In an email to staff, later shared by reporters on social media, Lewis said it was “the right time for me to step aside.”

The leadership change follows the announcement of large-scale redundancies earlier this week. While the Post did not officially confirm numbers, The New York Times reported that around 300 of the paper’s roughly 800 journalists were laid off. Entire teams were dismantled, including the Post’s Middle East bureau and its Kyiv-based correspondent covering the war in Ukraine.

Sports, graphics and local reporting were sharply reduced, and the paper’s daily podcast, Post Reports, was suspended. On Thursday, hundreds of journalists and supporters gathered outside the Post’s downtown office in protest, calling the cuts a blow to public-interest journalism.

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Former executive editor Marty Baron described the moment as “among the darkest days in the history of one of the world’s greatest news organisations.”

Lewis defended his record in his farewell note, saying “difficult decisions” were taken to secure the paper’s long-term future and protect its ability to publish “high-quality nonpartisan news”. But his tenure coincided with growing scrutiny of editorial independence at the Post.

Owner Jeff Bezos faced criticism for reining in the paper’s traditionally liberal editorial page and blocking an endorsement of Democratic presidential candidate Kamala Harris ahead of the 2024 US election. The move was widely seen as breaking the long-standing firewall between ownership and editorial decision-making.

According to a Wall Street Journal report, around 250,000 digital subscribers cancelled their subscriptions after the paper declined to endorse Harris. The Post reportedly lost about $100 million in 2024 as advertising and subscription revenues slid.

While the wider newspaper industry continues to battle declining print advertising and the pull of social media, some national titles have stabilised. Rivals such as The Wall Street Journal and The New York Times have managed to build sustainable digital businesses, a turnaround that has so far eluded the Post despite its billionaire backing.

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As Jeff D’Onofrio steps into the role, the challenge is stark, restore confidence inside the newsroom, win back readers who walked away, and prove that one of America’s most storied newspapers can still find its footing in a brutally competitive media landscape.

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