ITV

Category: Brands

  • Q2-2016: HUL YoY marketing spends up 23.8%

    Q2-2016: HUL YoY marketing spends up 23.8%

    BENGALURU: Indian FMCG giant Hindustan Unilever Limited’s (HUL) Advertisement and Promotions expense (marketing spends, ASP) in Q2-2016 (quarter ended 30 September, 2015, current quarter) was 23.8 per cent more at Rs 1145.04 crore (14.4 per cent of Total Income from operations or TIO, approximately $176.7 million) than the Rs 925.05 crore (12.1 per cent of TIO) in Q2-2015 but was 0.7 per cent lower than the Rs 1153.39 crore (14.2 per cent of TIO) in Q1-2016.

    Note: (1) 100 lakh = 100,00,000 = 1 crore = 10 million.

    (2) All figures in this report are standalone figures filed by the company. The trends are based on the numbers submitted by the company or picked up from the company’s website. For performance of HUL’s various product lines please refer to the attached earnings release for Q1-2016.

    (3) The US dollar figures are approximately based on a conversion rate of 1US$ = Rs 64.79 at a particular time on October 19, 2015.The converted numbers have been rounded off.

    HUL chairman Harish Manwani said, “The business delivered another quarter of profitable volume-led growth. We continue to invest behind our brands and in-market executional capabilities to drive the competitiveness of our portfolio. The deflationary commodity cost environment is likely to continue in the near term and our strategy of delivering consistent and competitive growth with sustainable improvement in operating margin remains unchanged.”

    Advertising and Sales Promotion trends

    HUL’s ASP in Q1-2016 was the highest during a four quarter period starting Q1-2013 until Q2-2016 in terms of absolute rupees. Q2-2016 ASP (current quarter) in terms of percentage of TIO was the highest during the period under consideration. Further, during the period under consideration in this report, ASP in absolute rupee spends shows a marked linear increasing trend, while ASP in percentage of TIO terms shows a slight linear increasing trend. The company’s lowest ASP was in Q2-2013 at Rs 768.98 crore (12.2 per cent of TIO) in absolute rupee spends during the period under consideration, while the lowest in terms of percentage of TIO was in Q4-2014 at 11.8 per cent of TIO (Rs 840.34 crore). Please refer to Fig A above.

    If the company follows the trends of the past three fiscals, at least one or more quarter in FY-2016 will see higher ASP in terms of absolute rupees than Q1-2016.

    HUL Revenue and PAT

    Please refer to Fig B above. HUL reported 4.1 per cent growth in TIO in Q2-2016 at Rs 7955.39 crore as compared to the Rs 7639.33 crore in the corresponding year ago quarter, but was 1.8 per cent lower than the Rs 8105.13 crore in Q1-2016. The company’s TIO shows a linear increasing trend as indicated by the broken blue trend line in Fig B. TIO in Q1-2016 is the highest reported by the company during the 13 quarter period under consideration in this report.

    HUL’s PAT in Q2-2016 was lower by 2.6 per cent at Rs 962.24 crore (12.1 per cent margin) as compared to the Rs 988.1 crore (12.9 per cent margin) in Q2-2015 and was 9.1 per cent lower than the Rs 1059.14 crore (13.1 per cent margin) in Q1-2015. During the period under consideration, HUL’s highest PAT was in Q1-2013 at Rs 1331.19 crore (20.9 per cent of TIO), both in terms of absolute rupees and in percentage of TIO. While PAT in absolute rupees shows a linear increasing trend as indicated by the broken pink trend line in Fig B below, while in terms of percentage of TIO, the linear trend is declining as indicated by the broken yellow line.

    Company Speak

    During the quarter, the Domestic Consumer business grew at five per cent, with seven per cent underlying volume growth. The growth in the quarter continued to be impacted by the phasing out of Excise Duty incentives and price de-growth, as the benefit of lower commodity costs was passed on to consumers.

    Soaps and Detergents: Robust volume growth partially offset by price deflation. Skin Cleansing was driven by double digit volume growth on Dove, Pears, Hamam and Lifebuoy. The liquids portfolio registered another robust quarter.

    In Laundry, growth was led by the premium segment, with Surf maintaining its strong momentum and Rin accelerating post relaunch. Comfort Fabric Conditioner delivered another strong performance on the back of sustained market development. Household Care growth was driven by Vim, with the tubs and liquids portfolio doing well. The segment witnessed further price deflation in the quarter due to soft commodity costs.

    Personal Products: Healthy double digit growth

    Skin Care delivered broad based growth across Fair and Lovely, Pond’s, Lakme and Vaseline. Fair and Lovely continued to do well, while the performance of Pond’s was led by premium skin lightening and Lakme by Perfect Radiance and CC Cream. The facial cleansing portfolio sustained high growth.

    Hair Care maintained its momentum with another strong quarter of volume led double digit growth, as Dove growth accelerated and TRESemmé gained further ground.

    In Oral Care, Close Up registered double digit growth on the back of impactful activation.

    In Colour Cosmetics, Lakme delivered another quarter of innovation led double digit growth across the core, Absolute and 9 to 5 ranges.

    Beverages: Steady performance

    Tea growth was led by Red Label and another quarter of high growth on Lipton Green Tea, driven through impactful market activation. In Coffee, Bru Gold continued to lead category premiumisation and performed well.

    Packaged Foods: Eighth successive quarter of double digit growth

    Packaged Foods saw double digit growth across all key brands, driven by the continued focus on market development. Kissan sustained robust activation led growth across both Ketchups and Jams while Knorr growth was led by the strong performance on Instant Soups. In Ice Creams, Kwality Walls had a good quarter on sharper in-market execution and Magnum continues to perform well and delight its consumers.

    Water: Leadership sustained in a challenging market context In a soft market, Pureit continued to drive the performance of premium devices with a focus on Modern Trade and in-store execution. The business benefited from a strong performance in the e-commerce channel.

    The Board of Directors have declared an interim dividend of Rs 6.5 per equity share of face value Re 1 each, for the year ending 31 March, 2016.

  • PVR receives shareholders’ nod to raise Rs 500 crore via NCDs

    PVR receives shareholders’ nod to raise Rs 500 crore via NCDs

    MUMBAI: Multiplex chain PVR has received shareholders’ approval to raise Rs 500 crore through issuance of non-convertible debentures (NCDs) on private placement basis.

    Additionally, the shareholders also approved a dividend of Rs 1 on each equity share for FY 2014-15 at its 20th annual general meeting (AGM).

    It may be recalled that last year, the PVR board had approved a plan to raise Rs 500 crore via qualified institutional placement (QIP).

     

    As of July 2015, PVR operates 474 screens across 106 locations in 43 Indian cities, which are spread across 15 States and one Union Territory.

    For the quarter ended 30 June, 2015, PVR posted net profit of Rs 56.67 crore as compared to Rs 8.47 crore for the quarter ended 30 June, 2014. The company’s total income increased from Rs 343.24 crore for the quarter ended 30 June, 2014 to Rs 462.82 crore for the quarter ended 30 June, 2015.

  • Havells India ropes in Alia Bhatt as brand ambassador for Standard

    Havells India ropes in Alia Bhatt as brand ambassador for Standard

    MUMBAI: Standard, part of Havells India, has appointed Bollywood actress Alia Bhatt as its brand ambassador.

     

    As part of this association, Bhatt will endorse products through an advertising campaign, which is slated to be launched by end of September 2015.

     

    The ad campaign, comprising three TV commercials, has been conceptualised and executed by Mullen Lintas.

     

    In keeping with the changing consumer preferences and enhancing brand appeal to younger consumers, Standard, a key player in the electrical products segment, unveiled its new identity earlier this year.

     

    Havells India chairman and managing director Anil Rai Gupta said, “We are delighted to have Alia Bhatt as the brand ambassador for Standard brand. She truly represents the young energy of India, which will be the new positioning for the brand. We firmly believe in fulfilling the aspirations of modern day consumers who are confident, independent and do not want to settle for less. She aptly represents our brand’s ideology of style with substance and is a perfect blend of everything that the brand stands for.”

     

    Bhatt added, “I love the positioning of ‘built for young energy’ since I can completely relate to this. I believe today’s youth symbolise confidence, trust and intelligence and deserve the best in class products. Brand Standard is making that possible by fulfilling the aspirations of today’s contemporary consumers with world class products and wonderful product range.”

  • PVR launches digital interactive platforms to enhance customer engagement

    PVR launches digital interactive platforms to enhance customer engagement

    MUMBAI: With increasing digital penetration in the country, more and more companies are upping their digital game to keep abreast with the ever-changing and evolving consumer demand. Keeping that in mind, multiplex chain PVR has introduced two digital interactive platforms, which will help increase customer engagement.

     

    The two platforms – Interactive Consumer Experience (ICE) and PVR Movie Calendar – can not only connect with customers, but also take real time feedback and provide on the move information.

     

    Through the mobile based Interactive Consumer Experience, consumers can give instant feedback to PVR via SMS and USSD, a technology that allows menu based interactive communication.

     

    On the other hand, the PVR Movie Calendar will allow customers to track the movie line up at PVR for the next three months as well as enable them to set reminders for new movie releases. The PVR Movie Calendar is compatible with the iOS, Android, Windows and Mac operating systems and can also be synced with phones and gadgets.

     

    “Internet is the most powerful tool in today’s world. The way it has empowered the youth to express their opinion is commendable. Our vision is to reach out to patrons through online medium and bond with them. It is very important for us to understand consumer perspective and provide them with services, which can collaborate with their requirements. We are always keen to know how our patrons feel and expect from PVR Cinemas. All our digital innovations enable us to evangelize a wholesome cinema experience for all our loyal customers,” said PVR Cinemas CEO Gautam Dutta.

  • Zee is India’s most attractive media brand: MAB 2015

    Zee is India’s most attractive media brand: MAB 2015

    BENGALURU: Dr Subhash Chandra’s Zee has been ranked no 1 in the media category in Blue Lotus Communications’ Most Attractive Brands 2015 Report (MAB 2015) by the TRA (formerly Trust Research Advisory), which was released recently. 

     

    Zee also ranks no 1 in the Media TV category with MAB rank of 209, out of the 1000 listed brands. The Times of India (TOI) too found a place far behind at 704, which is ranked fourth in the Media-Print category.

     

    Further, among the Hindi GECs Zee is placed first followed by Star Plus with a MAB 2015 rank of 273. Colors is at no 3 within the category with a MAB 2015 rank of 312.

     

    As per the MAB 2015 report, the print media segment is headed by – DNA, which again is a brand that has a Zee (Essel) connect. DNA with an overall MAB 2015 rank of 468 was followed by Mid-Day with a MAB 2015 rank of 512. Dainaik Bhaskar ranked at 670, followed by TOI.

     
    English News channel from the Times Network – Times Now helmed by Arnab Goswami is conspicuous with its absence in the top 1000 brands. In the Hindi News category, ABP News is placed first with a MAB 2015 rank of 349, Zee News with a rank of 498 and Aaj Tak with a rank of 564. BBC with a MAB 2015 rank of 20 finds a place in Media –TV category, while CNN IBN (Media TV category rank 25) finds a place among the top 25 in the same category with a MAB 2015 rank of 972.
      

    The Radio industry is represented by the big three in the Top 1000: 92.7 Big FM takes the lead with a MAB rank of 607, Radio Mirchi 98.3 FM is placed second in the category with a MAB rank of 652, whereas Red FM 93.5 took the third spot in the category with a MAB rank of 760.

     

    The MAB 2015 was released as an attempt to bring the world of brand communications in India to a measurable matrix. The second in its series, the 2015 report is the result of comprehensive primary research conducted on the proprietary 36-traits of Attractiveness Quotient of TRA (formerly known as Trust Research Advisory) says TRA CEO N Chandramouli.  

  • AccorHotels & Adlabs to open integrated hotel & resort on 16 September

    AccorHotels & Adlabs to open integrated hotel & resort on 16 September

    MUMBAI: AccorHotels is all set to open an integrated hotel and resort property – Novotel Imagica Khopoli on 16 September. Located in the Sahyadri Hills near theme parks of Adlabs Imagica and Aquamagica in Maharashtra, the hotel, which is accessible via the Mumbai – Pune Expressway, is owned by the Adlabs Group and managed by AccorHotels. 

     

    In its opening phase, the hotel features 116 rooms, which overlook the park, pool as well as the Sahyadri Hills. The hotel plans to add another 171 rooms and suites later this year, which will also comprise rooms for specially-abled patrons. By the first quarter of 2016, the hotel plans to have an inventory of 287 rooms. Additionally, there are 20 interconnected rooms on each floor catering to larger family groups.

     

    Novotel Imagica Khopoli also features a large meeting space with a pillar-less ballroom that can accommodate approximately 460 guests. The hotel is also home to a bar and four restaurants, which offer a selection of cuisines.  

     

    AccorHotels India senior vice president – operations Jean-Michel Cassé said, “The opening of Novotel Imagica Khopoli strengthens our position in the Indian market in line with the brand’s growth strategy. The launch follows the growing trend of integrated hotels with theme parks, along with the brand’s assurance and service standards.”

     

    Adlabs Imagica’s Pooja Shetty Deora added, “We are delighted to be associated with the Novotel brand in India, and are confident that the first theme park property under AccorHotels will prove to be the preferred choice for families and holiday makers. Guests can re-live their childhood memories and treat their children to numerous marquee characters around the hotel.”

     

    To celebrate its opening, the hotel is offering one Superior room night stay with breakfast for two and theme park entry to Adlabs Imagica and Aquamagica park at Rs 10,500 on weekdays and Rs 13,300 on weekends.

  • Sony unveils TVC with James Bond’s Moneypenny – Naomie Harris

    Sony unveils TVC with James Bond’s Moneypenny – Naomie Harris

    MUMBAI: Ahead of the release of the motion picture Spectre, Sony has unveiled its ‘Made for Bond’ advertising campaign, which stars Naomie Harris as Moneypenny.

     

    Spectre, from Albert R. Broccoli’s EON Productions, Metro-Goldwyn-Mayer Studios, and Sony Pictures Entertainment, will be released in the UK on 26 October and in the US on 6 November.

     

    Packing a powerful punch, the short 60 second television commercial follows a tense chase across London’s South Bank as Moneypenny fights off mysterious villains to deliver Bond’s Xperia Z5 phone. Using state-of-the-art tools, including an advanced compact RX100 IV Cyber-shot camera, she captures surveillance in super-slow motion.

     

    The ad has been produced by the legendary British director Danny Kleinman. Created by ad agency adam&eveDDB with production company Rattling Stick, the majority of the campaign film was shot on Sony’s F65 professional 4K cinema camera, interspersed with ‘slow motion’ surveillance that can be seen through the screen of the RX100 IV camera, and photography shown on the screen of the Xperia Z5.

     

    Kleinman said, “The campaign film truly captures the excitement of the chase, being on a mission and taking the viewer on the journey, all set against an iconic London backdrop.”

     

    Harris added, “London provides the perfect setting for the campaign film. Ultimately, at the centre of Bond is Britishness, so it was really important that the ad was shot here. It is not your traditional commercial; it’s an action-packed mini movie in itself.”

     

    Sony Corporation president and CEO Kazuo Hirai said, “Sony has been a proud partner of the iconic Bond films since Casino Royale. While both the Xperia Z5 and RX100 IV are action-packed and full of features, they are also real, everyday-life gadgets. Whether being used by Moneypenny on undercover surveillance or a creative photographer who wants to take and share outstanding photography captured on social channels, they’re easy to use, pocketable and award-winning products for day-to-day and secret agent use alike.”

     

    The campaign officially launches with the TV commercial, which will first air in the UK on 1 October, 2015 and will run until 8 November. The media campaign led by MediaCom also encompasses print, retail, digital and OOH. 

     

    With its compact size, the power of the premium RX100 IV camera – featuring the world’s first 1.0 type stacked Exmor RS CMOS sensor, 40x super-slow-motion video capture at up to 960fps, and the ability to speedily read data 5x faster than previous models – makes it the perfect accessory for Moneypenny.

     

    With the fastest autofocus in a leading smartphone delivering a ground-breaking speed of just 0.03 seconds, a fingerprint sensor integrated within the iconic power button, and beautifully sleek waterproof design, the Xperia Z5 is an advanced next-generation smartphone ideal for Bond. The Xperia Z5 was recently announced on 2 September, 2015 and will be available globally from October 2015.

  • India’s Top 50 brands are worth $92.2 billion: BrandZ report

    India’s Top 50 brands are worth $92.2 billion: BrandZ report

    MUMBAI:  On the back of government’s efforts to create a more conducive business environment and brands’ successful response to the rising sense of empowerment among Indian consumers, India’s top 50 brands are now worth $92.2 billion from just under $70 billion in 2014. The finding comes from the second annual BrandZ Top 50 Most Valuable Indian Brands report released by WPP and Millward Brown.

     

    The report also indicates that the total value of India’s strongest brands has risen by a third (33 per cent) over the last year. This is the highest rate of growth achieved by any BrandZ ranking in the 10 years, exceeding that of the Global Top 100 as well as the rankings for China, Latin America and Indonesia.

    “The 2015 study shows that India is a market of great opportunities where consumers are feeling empowered, and this is increasingly reflected in their brand choices. The new Modi government is committed to creating an environment in which brands can flourish. Any brand intending to compete in India must gain deep insights into its nuances – such as the need to modernise while respecting the past, and the desire to remain fundamentally Indian,” said WPP’s The Store CEO David Roth.

    Millward Brown south Asia managing director Prasun Basu states that even with this growth there is no room for complacence.  “The top four had to grow their value by 37 per cent on average to hold on to the same positions as last year, and close to 10 per cent of the brands that made the Top 50 in 2014 have dropped out,” he pointed out.

     

    “To benefit from the continuing rise in consumer confidence and optimism brands need to understand the changing consumer, respond with innovative products and breakthrough communication, and experiment and invest in new media that reflect the spirit of the country today,” he added.

    Brands in the financial sector (+49 per cent growth) made the largest contribution to the overall increase in value, but significant lifts were also seen across most other sectors. Home and personal care brands achieved a combined increase of 32 per cent, followed by the auto aftermarket sector (28 per cent), automobile brands (27 per cent) and telecom providers (21 per cent).

    52 per cent of the brands in the Top 50 are privately-owned, evidence of India’s entrepreneurial energy. 30 per cent of the brands are owned by multinationals, which have successfully adapted to the needs of Indian consumers, becoming so embedded in their lives that they are perceived as ‘local’.

    Key highlights of the 2015 BrandZ Top 50 Most Valuable Indian Brands study are as follows:

     

    .   Financial brands dominate: With 13 brands in the Top 50 accounting for 41 per cent of its value  the financial sector has built brand strength by making a consistent effort to serve consumers better. Biggest risers: Union Bank of India (no.46, +72 per cent), Punjab National Bank (no.22, +61 per cent) and IndusInd Bank (no.13, +46 per cent).

     

    .   Home and personal care brands grew 32 per cent: Thanks to increased disposable income and spending on premium products and investment by marketers across traditional and new media. These 12 brands hold 15 per cent ($13.4 billion) of the ranking’s total brand value. Fastest risers: Lakme (no.44, +69 per cent), Lifebuoy (no.31, +49 per cent) and Colgate (no.26, +44 per cent).

     

    .   Brands with a purpose:  Indian consumers expect brands to actively participate in building a better society, and those that do have a higher brand value. Examples include Lifebuoy (no.31)  and Asian Paints (no.5) .  

     

    .   The trust factor:  In stark contrast with other markets, trust in brands is growing steadily. 33 per cent of Indian consumers say they trust brands. Among the most trusted are jeweller Tanishq (no.21) and Colgate.

     

    .   New entrants: Axis Bank, Canara Bank, MRF (tyres) and Royal Enfield are of Indian origin. The three are privately owned, and one is an SOE.

     

    .   Disruption is on the horizon – from e-commerce and mobile brands that are building scale and connecting with consumers at a frenetic pace. These are not yet eligible to be ranked in the Top 50 because they are not publicly traded.

     

    .   The BrandZ India Top 50 outperforms sensex. It has a weighted index of 30 stocks on the Bombay Stock Exchange, showing how valuable brands deliver superior returns. A stock portfolio comprised the Top 50 increased their share value 18.6 per cent between August 2014 and July 2015, while India’s sensex index increased only 1.5 per cent. The ROI produced by the BrandZ portfolio was over 12 times greater.

  • Bridgestone expands in south; launches 2 concept stores in Bangalore

    Bridgestone expands in south; launches 2 concept stores in Bangalore

    MUMBAI: Bridgestone India has expanded its reach in the south region with inauguration of two concept stores in Bangalore.

     

    The launch of concept stores in Bangalore aims to revolutionise tyre buying experience, with a focus on safety, reliability and eco-friendliness. The motto being safety of customers and workers; reliability of products; transparency in operations and promote eco-friendly products and environment both in the store and outside.

     

    With the focus to cater the customers from in and around Bangalore with the product portfolio that Bridgestone offers ranging from eco-friendly, comfort to trendy and sporty tyres  to the all new experience of enabling the  customers to view tyres as a critical purchase item which ensures their safety at all times.

     

    Bridgestone India snior general manager sales & marketing – PSR Vaibhav Saraf said, “We are pleased to launch our two new concept stores in Bangalore. This is a unique retail concept that is part of our significant expansion strategy. This initiative will add a new dimension to the retailing of tyres in the region through our unique business model of safety, reliability and environment friendly norms that will adhere to through our direct and indirect business operations. The concept store besides having our complete product range and services will offer a new experience in tyre buying for the customers. It will be also backed by well informed staff that understands the nuances of consumer requirements.”

     

    Distinctively planned, designed and built on the concepts of safety, reliability and eco-friendliness, the store will not only enhance brand presence, but it will create a strong retail identity and in the process will make Bridgestone products accessible to a much larger number of consumers.

  • Zespri International sets up Kiwifruit Quality Control & Inspection hub at Kidzania

    Zespri International sets up Kiwifruit Quality Control & Inspection hub at Kidzania

    MUMBAI: Zespri International, the world’s largest kiwifruit manufacturer, has partnered with KidZania Mumbai, a Global Indoor Theme park empowers children, helping them understand & manage their world better. With this partnership, kids can now actively engage at the Quality Control & Inspection Hub establishment in the KidZania Mumbai facility.

     

    This association between Zespri and KidZania will allow children to play the role of Kiwifruit Nutrition Experts and check the Nutrition Content in the 30-nutrient-filled Kiwifruit. Kids would be trained to undertake various tests such as Nutrition Analysis, Weight Test, and Sorting. Thereafter, they would package the same for delivery. Every child will also receive delicious Kiwifruit as part of a giveaway at the end of the activity. There are two varieties of kiwifruit – The tangy Zespri Green Kiwifruit and the sweet Zespri SunGold Kiwifruit.

     

    Daniel Mathieson, Global President of Sales and Marketing, Zespri, said, “We are very pleased to associate with KidZania. A large section of our consumers are children and they are also major influencers in any household for decision making.  This establishment is a great way to connect with the kids directly and it will also teach them what the process is like until the kiwifruit reaches the end consumers. Kids of course love the fruit but it is also important to educate them about the importance and quality of a Zespri kiwifruit.”

     

    Speaking on the new launch, Viraj Jit Singh – Chief Marketing Officer, KidZania India, said, “Zespri Kiwifruit had partnered us last year for a short activity and we are excited to have them back on a long term agreement participating in a customized activity. KidZania Mumbai believes that it’s important for kids to understand the nutritional value of products they consume and the Kiwifruit is amongst the most beneficial fruits of them all.  The Quality Control & Inspection Hub establishment will empower children to better understand the process of nutrition analysis, quality testing, packaging and shipping.”