Tag: Taj Mahal

  • Tabla maestro Zakir Hussain and his tryst with tea

    Tabla maestro Zakir Hussain and his tryst with tea

    MUMBAI: Our memory of Zakir Hussain is that while he was eloquent, he preferred to let his  tabla do the talking. Whenever he stepped on stage, sat down in front of his tabla, the audience would go silent, in awe of a maestro. His endearing smile before every performance, spoke of his humility, building his connect with those who had come to hear his tabla talk. Yes, they clung on to every word he spoke too.

    Sadly, we will not be able to hear him speak any more. Zakir Hussain passed away on 15 December in a hospital in San Francisco of idiopathic pulmonary fibrosis, a condition that develops following a scarring of the lung tissue. He had been hospitalised for the past two weeks. He was only 73.

    Taj Mahal and Zakir Hussain

    What the advertising industry and lay consumers will remember him for is his  tabla playing skills during his mesmerising performances as well as for the Brooke Bond Taj Mahal  TV commercial which sprang him into the homes of all of India. And it is still etched in many of our minds from that era.

    Forbes, a few years ago gave us an insight into what went into the making of the TVC and how it chose the tabla magician to endorse the brand.

    Th tea  brand was launched in 1966 and was seen as catering to upmarket “western” consumers. Research had revealed the even the aspirational middle class had started to take to Taj Mahal tea. The company decided to relaunch it in the eighties and broad base its appeal.

    Connoisseurs of tea, research suggested, put colour, smell and taste as criteria  for choosing a tea brand. The tea leaves used in the Taj Mahal had a distinctive brown colour and an intoxicating aroma. They also had a flavour which could only come after the meticulous vetting process done by the tea master, a task that requireds immense effort and dedication.

    Taj Mahal and zakir hussein

    The relaunch therefore had to bring in Indianness into the communication. Added to the western perception of Taj Mahal tea, it would be the perfect blend to broad base the messaging and communication.

    HTA was the advertising agency and it hired film maker Sumantra Ghoshal to make the TVC. KS Chakravarthy, yes our very own Chax , and KV Pops Sridhar were at the agency then. Chaks was the  copywriter then and his love for musical instruments, especially the tabla, thought Zakir Hussain would be the perfect choice as he reflected both western and Indian values. He lived in the US, yet he played the tabla – an Indian instrument -the world over, and with the best of musicians globally. 

    It was decided that the backdrop would be the iconic Taj Mahal in Agra and the film would portray Zakir practising on his musical instrument with his long locks  of hair flying as he was immersed in his riyaaz. His dedication to riyaaz would be akin to the hours in the lab that a tea master would take to come up with the perfect blend.

    Zakir Hussain Taj Mahal Tea

    Taking a break, Zakir was seen sipping a cup of tea. And a female voice  stated “Wah Ustaad wah!” Zakir in turn replied: “Arre Huzoor, wah Taj boliye” in his inimitable style. The voice over for the commercial was given by the famed Harish Bhimani.  

    The TVC ran on state-owned broadcaster Doordarshan and it struck a chord with the masses. Not only did Zakir’s tabla playing equate the idea of perfection, the Taj Mahal monument was also rated as amongst the wonders of the world. And the rest, as they say, is history.

    The brand later used other musicians like Niladri Kumar on the sitar and Rahul Sharma on the santoor in its TVCs and Zakir, himself appeared with other celebs like Ruby Bhatia and Alisha Chinai, but what we recall even to this day is the first TVC which featured him. Such was the power of the first ad.

    Zakir would also be involved in Hollywood either making an appearance or composing music for films like Apocalypse Now, The Second Best exotic Marigold Hotel, and Monkey Man, according to ImDb.

    The son of tabla legend, Ustad Allahrakha Khan,   Zakir Hussain Allaraka Qureshi is survived by his wife Antonia Minnecola and two daughters Anisa and Isabella Querishi. He will be sorely missed by them and his two brothers Taufique and Fazal Querishi – both tabla players of renown. And of course he will be missed by millions of fans of classical Indian music and the art and style of the tabla as performed by Zakir Hussain. 
     

  • Brooke Bond Taj Mahal brings ‘Classical Musicians’ to every home with ‘Sur Ke Saath’ e-concert

    Brooke Bond Taj Mahal brings ‘Classical Musicians’ to every home with ‘Sur Ke Saath’ e-concert

    MUMBAI: Brooke Bond Taj Mahal, the premium tea brand recently launched the concept of live online Indian classical music concerts featuring gifted Indian classical musicians serenading audiences with specially curated compositions from the confines of their homes. These live performances being showcased on ‘Sur Ke Saath’, are being streamed on the official Taj Mahal Tea page on Facebook.

    Due to the current nationwide lockdown, Indian classical musicians across the geography were looking for opportunities to continue performing for their audiences. Their limitless passion to deliver symphonies to the living rooms of their audiences prompted Brooke Bond Taj Mahal to extend its 30-year old association with Classical Musicians to create ‘Sur Ke Saath’, a line-up of 24 artists performing live over two months.

    This unique initiative is also being supported by Nirali Kartik who came on-board and helped in curating for the weekly performances. Nirali is one of India’s popular Hindustani Classical Vocalist and the Brand Ambassador for Brooke Bond Taj Mahal Tea.

    Tea & Foods (HUL) vice president Shiva Krishnamurthy said, “Brooke Bond Taj Mahal’s purpose is to champion Indian Classical Music. Taj Mahal tea has always been associated with Indian Classical Music and has promoted it through some memorable and iconic advertising for over three decades. During the lockdown, classical musicians and classical music aficionados are not being able to experience the joy of live classical music performances. Brooke Bond Taj Mahal tea believes that “the show must go on” and is proud to present “Sur ke Saath”, a series of live Indian Classical Music content on digital platforms of Facebook. Our endeavour is to urge people to support Indian Classical Music by coming to Taj Mahal Tea’s Facebook page every Sunday morning at 10 am. We hope that Brooke Bond Taj Mahal’s Sur ke Saath will make people say “Wah Taj!”

    Added Kartik, “Since the beginning of time, classical music and ragas have formed the base for music across genres including pop and Bollywood, which has in-turn made them an integral part of our lives and kept us tied to our roots. Brooke Bond Taj Mahal ‘Sur ke Saath’ is an incredible initiative to support these artists. I am grateful to be associated with it and I look forward to the audiences also extending their supporting during the upcoming episodes.”

    Brooke Bond Taj Mahal ‘Sur ke Saath’ will bring to its listeners a special episode this Sunday, 28th June 2020 with their Brand Ambassador Nirali Kartik performing with other two very extremely talented artists-

    1. Sapan Anjaria will be performing Taal Vilambit Teentaal on his Tabla

    2. Followed by Nirali Kartik, who will perform Raag Miyan Malhar

    3. And finally, Debasmita Bhattacharya who will end the session with her performance of Raag Sarod

    https://www.facebook.com/TajMahalTea/videos/274139633939888/

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  • Sony Pictures Networks Productions announces T for Taj Mahal

    Sony Pictures Networks Productions announces T for Taj Mahal

    MUMBAI: Sony Pictures Networks Productions (SPN Productions), the film production arm of Sony Pictures Networks India (SPN), has announced its next release for the year ‘T for Taj Mahal’. Directed by six-time president’s national award winner Kireet Khurana, the feature film portrays a fascinating journey of social entrepreneurship through a thought provoking narrative.

    The cast includes acclaimed names such as Subrat Dutta, Ali Faulkner (Twilight Saga-Breaking Dawn), Bidita Bag (Babumoshai Bandookbaaz) Manoj Pahwa (Hey Ram) and Pitobash (Million Dollar Arm) in pivotal roles.

    Rooted in the heartland of India, the film is a relevant and timely story exploring a subject that is a big challenge in the country – the lack of education. After Piku, Azhar, Mubarakan, Poster Boys, the studio is backing yet another content driven film staying true to its aim of presenting stories that engage, evoke and entertain.

    SPNP is all set for 2 releases this year, ‘Soorma’ and ‘T for Taj Mahal’ amongst others to be announced.

    ‘T for Taj Mahal’ is produced by Sony Pictures Networks Productions and Abis Rizvi.

  • Taj Mahal, Eiffel etc: ‘Monumental Challenge’ on Sony BBC Earth starts on 23 Oct

    Taj Mahal, Eiffel etc: ‘Monumental Challenge’ on Sony BBC Earth starts on 23 Oct

    MUMBAI: Towering over cities and landscapes, six unofficial national symbols get a makeover. Watch as Big Ben, Sydney Harbour Bridge, the Eiffel Tower, the Santiago de Compostela, the Bund and the Taj Mahal are restored to their full splendour in this series, Monumental Challenge on Sony BBC Earth starting 23 October 2017, Mon-Fri at 8 pm.

    In this series, viewers will have access inside these monuments and get to meet the army of people who keep these landmarks in tip-top condition. These include emergency repair workers, expansion visionaries, and event planners for VIP clients. Combining stunning footage, impressive CGI, riveting historical background and lots of lively characters, Monumental Challenge gives fresh insight into the worlds’ most iconic landmarks – revealing the highs and lows of making these monuments great again.

    The series has a special episode featuring the seventh wonder of the world, the mystic Taj Mahal in India. The herculean task at hand is to give a facelift to this 400-year-old monument. This is a 21st century story about a 17th century fairy tale palace in a state of disrepair where the heroes are scientists and archaeologists who face daily battles against modern day evils – acid rain and marble cancer, diesel fumes and other poisonous gases – eating away at its 400-year old walls. Is this a challenge just too monumental or do these behind the scene magicians work their wand through all the despair?

  • Celebrate V-Day at ‘Epitome of Love’

    MUMBAI: Valentine’s Day, the celebration of unconditional love and passion is round the corner. What better gift could you think of to surprise your valentine with a rendezvous to one of the Seven Wonders of the World – Taj Mahal. On this Valentine’s Day, Pacific Mall brings to life the quintessence of ultimate Love, “The Taj Mahal” with a replica built specially to celebrate the Epitome of Love this Valentine Week.

    Pacific Mall – Epitome of Love – Taj Mahal

    The 18 feet high Monument with Meenakari work done is a replica of the original monument. This Magnificent monument will spellbind every person to get a picture of him or her with this iconic beauty. Pacific mall has done some special preparation for its frequenter to make their day memorable by giving variant offers and lots of shopping activities such as – offer on Gifting and Dining for couple. So, everyone get a chance to grab this opportunity and be a part of this Valentine’s celebration.

    Commenting on the initiative, Pacific Mall centre director Salim Roopani said; “We want to create the magic and epitome of love and the expression of beauty that would make your Valentines’ day celebrations really meaningful. Valentine’s Day is a day of love and warmth and it’s a good time to show your love to important people of your lives. So, we at Pacific Mall are creating the magic to give a chance to our customers to make their day unforgettable day of their lives.”

    Pacific Mall invites guests to share the bliss fulfeeling this Valentine’s Week with an amorous atmosphere and a range of dining experiences. The mall offers assured shopping vouchers worth Rs.1,000/- to customers ondining for Rs.3,000/-& above (between 7th to 14th February) at Punjab Grill, Spaghetti Kitchen, Carl’s Junior, Hinglish, Zai Unplugged, Haldiram’s, Jamie’s Pizzeria and Dunkin Donuts. Shoppers can also shop for Rs. 5,000/- for their loved ones (between 7th to 14th February) at Gifting Stores like Archies, William Penn, Rama Watch, Helios, Sunglass Hut, MacV, Carat Lane, Momentz and Perfume Couture and get gift worth Rs. 1,000/- plus a chance to win a dinner for 2 at Punjab Grill.

  • Ad spends at Hindustan Unilever shrink marginally in Q1-2017

    Ad spends at Hindustan Unilever shrink marginally in Q1-2017

    MUMBAI: Hindustan Unilver Ltd (HUL) shaved off Rs 13-odd crore in advertising spends in Q1-2017.

    According to its latest quarter (30 June 2016) financials reported yesterday, the FMCG megacorp spent Rs 879.73 crore on advertising and promotions (A&P) as compared to Rs 892.73 crore in the previous year’s corresponding period. At this level, A&P is at 11 per cent of sales and is down 60 basis points, says the company.

    Since April 2016, the company has reorganized its businesses under four main categories: home care, personal care, foods, and refreshments with a residual segment called “others” and has even reconstituted its management committee based on this structure.

    It has also started reporting its results in compliance with the Ind AS (Indian accounting system) since Q1-2017.

    HUL reported revenues of Rs 7987.4 crore as against Rs 7712.74 crore in Q1-2016. Chairman Harish Manwani said that the market conditions were challenging with growth slowing down in both volume and value terms. HUL, however, tracked ahead of the market with an improvement in its margins, he said. Both in value and volume terms, the company grew four per cent, even as operating margin swelled by 70 basis points. Operating profit in Q1-2017 stood at Rs 1542.60 crore (Q1-2016 Rs 1437.08 crore) while net profit was at Rs 1,173.90 crore in Q1-2017 (Rs 1069.17 crore in Q1-2016).

    HUL’s re-categorisation of its product portfolio means that:

    Home care includes: fabric wash, household care, water (Surf Excel, Rin, Active Wheel, SunLight, Comfort, Vim Domex, Cif and Unilever Pure).

    Personal Care includes personal wash, skin care, hair care, oral care, deodrants, cosmetics (Lux, Dove, Pears, Rexona, Hamam, Lifebuoy, Fair & Lovely, Pond’s, Vaseline, Lakme, St Ives, Clinic Plus, Sunsilk, Tresemme, Indulekha, Closeup, Pepsodent, Ayush and Axe).

    Refreshment includes: Tea, Coffee, ice-creams and frozen desserts (Taj Mahal, Red Label, 3 Roses, Taaza, Lipton, Bru, Kwality Walls, Magnum).

    Foods includes ketchups, jams soups and instant noodles (Kissan, Knorr, Annapurna.)

    The standout during the quarter was the home care segment, which saw sales expanding by seven per cent. It was followed by refreshment which grew by five per cent, food by four per cent and finally personal care which expanded by two per cent.

    The home care segment, according to the company, is witnessing growth in the fabric wash category primarily from the premium products with Surf doing well, even as the Unilever Pure water devices are reporting traction in off take.

    The refreshment segment reported a healthy growth in green and natural teas, even as ice cream and frozen desserts grew robustly in Q1-2017.

    In the foods segment, Kissan Ketchups expanded healthily, even as Knorr soups and noodles reported robust growth, says the company.

    The personal care segment witnessed a shrinkage in the personal wash category even as the skin care category grew with BB and CC creams doing well in the premium range.

    The company also completed its acquisition of Indulekha – including the trademarks Indulekha and Vayodha – from Mosons group on 7 April 2016. The acquisition is costing HUL Rs 330 crore plus a deferred consideration of 10 per cent of domestic sales from the brands, payable annually, over five years.

    HUL also said that it is going ahead with its intention to divest from any business which is not part of its core activities. This means it is offloading its 50 per cent equity stake in its 21 year old joint venture in Kimberly-Clarke Lever Private Ltd (KCCL) to its joint venture partner Kimberly-Clarke. The company produces and markets baby & child care and feminine care products under the brand Huggies and Kotex.

    Manwani, in the Q1-2017 investor report, expressed concern on recent volume trends, saying that market growth is likely to continue to remain muted but he was optimistic about the medium term impact of the monsoon and seventh commission payout. “Even though input costs could rise, the company will continue to focus on volume driven growth with an improvement in margins,” he said.

    Observers, however, opine that HUL, along with other FMCG MNCs, is under attack from a host of new home grown nimbler and hungry-for-growth competitors such as Patanjali Ayurveda. How it tackles their onslaught in the coming year will impact its performance.

  • Ad spends at Hindustan Unilever shrink marginally in Q1-2017

    Ad spends at Hindustan Unilever shrink marginally in Q1-2017

    MUMBAI: Hindustan Unilver Ltd (HUL) shaved off Rs 13-odd crore in advertising spends in Q1-2017.

    According to its latest quarter (30 June 2016) financials reported yesterday, the FMCG megacorp spent Rs 879.73 crore on advertising and promotions (A&P) as compared to Rs 892.73 crore in the previous year’s corresponding period. At this level, A&P is at 11 per cent of sales and is down 60 basis points, says the company.

    Since April 2016, the company has reorganized its businesses under four main categories: home care, personal care, foods, and refreshments with a residual segment called “others” and has even reconstituted its management committee based on this structure.

    It has also started reporting its results in compliance with the Ind AS (Indian accounting system) since Q1-2017.

    HUL reported revenues of Rs 7987.4 crore as against Rs 7712.74 crore in Q1-2016. Chairman Harish Manwani said that the market conditions were challenging with growth slowing down in both volume and value terms. HUL, however, tracked ahead of the market with an improvement in its margins, he said. Both in value and volume terms, the company grew four per cent, even as operating margin swelled by 70 basis points. Operating profit in Q1-2017 stood at Rs 1542.60 crore (Q1-2016 Rs 1437.08 crore) while net profit was at Rs 1,173.90 crore in Q1-2017 (Rs 1069.17 crore in Q1-2016).

    HUL’s re-categorisation of its product portfolio means that:

    Home care includes: fabric wash, household care, water (Surf Excel, Rin, Active Wheel, SunLight, Comfort, Vim Domex, Cif and Unilever Pure).

    Personal Care includes personal wash, skin care, hair care, oral care, deodrants, cosmetics (Lux, Dove, Pears, Rexona, Hamam, Lifebuoy, Fair & Lovely, Pond’s, Vaseline, Lakme, St Ives, Clinic Plus, Sunsilk, Tresemme, Indulekha, Closeup, Pepsodent, Ayush and Axe).

    Refreshment includes: Tea, Coffee, ice-creams and frozen desserts (Taj Mahal, Red Label, 3 Roses, Taaza, Lipton, Bru, Kwality Walls, Magnum).

    Foods includes ketchups, jams soups and instant noodles (Kissan, Knorr, Annapurna.)

    The standout during the quarter was the home care segment, which saw sales expanding by seven per cent. It was followed by refreshment which grew by five per cent, food by four per cent and finally personal care which expanded by two per cent.

    The home care segment, according to the company, is witnessing growth in the fabric wash category primarily from the premium products with Surf doing well, even as the Unilever Pure water devices are reporting traction in off take.

    The refreshment segment reported a healthy growth in green and natural teas, even as ice cream and frozen desserts grew robustly in Q1-2017.

    In the foods segment, Kissan Ketchups expanded healthily, even as Knorr soups and noodles reported robust growth, says the company.

    The personal care segment witnessed a shrinkage in the personal wash category even as the skin care category grew with BB and CC creams doing well in the premium range.

    The company also completed its acquisition of Indulekha – including the trademarks Indulekha and Vayodha – from Mosons group on 7 April 2016. The acquisition is costing HUL Rs 330 crore plus a deferred consideration of 10 per cent of domestic sales from the brands, payable annually, over five years.

    HUL also said that it is going ahead with its intention to divest from any business which is not part of its core activities. This means it is offloading its 50 per cent equity stake in its 21 year old joint venture in Kimberly-Clarke Lever Private Ltd (KCCL) to its joint venture partner Kimberly-Clarke. The company produces and markets baby & child care and feminine care products under the brand Huggies and Kotex.

    Manwani, in the Q1-2017 investor report, expressed concern on recent volume trends, saying that market growth is likely to continue to remain muted but he was optimistic about the medium term impact of the monsoon and seventh commission payout. “Even though input costs could rise, the company will continue to focus on volume driven growth with an improvement in margins,” he said.

    Observers, however, opine that HUL, along with other FMCG MNCs, is under attack from a host of new home grown nimbler and hungry-for-growth competitors such as Patanjali Ayurveda. How it tackles their onslaught in the coming year will impact its performance.

  • FY-16: Challenging markets push HUL marketing spends up 16.9 percent

    FY-16: Challenging markets push HUL marketing spends up 16.9 percent

    BENGALURU:  Indian FMCG giant Hindustan Unilever Limited (HUL) spent 16.9 percent more towards Advertisement and Promotions expense (marketing spends, ASP) in the year ended 31 March 2016 (FY-16, current year) as compared to FY-15 on a standalone basis. HUL’s standalone ASP in the current year was Rs 4,526.17 crore (14.1 percent of Total Income from operations or TIO) as compared to Rs 3872.40 crore (12.6 percent of TIO) in the previous year.

    Note: (1) The unit of currency in this report is the Indian rupee – Rs (also conventionally represented by INR). The Indian numbering system or the Vedic numbering system has been used to denote money values. The basic conversion to the international norm would be:
    (a) 100,00,000 = 100 lakh = 10,000,000 = 10 million = 1 crore.
    (b) 10,000 lakh = 100 crore = 1 arab = 1 billion.
    (2) All numbers mentioned in this report are standalone numbers of HUL, unless stated otherwise.

    HUL chairman Harish Manwani said, “In challenging markets and a deflationary cost environment, we have delivered another year ofcompetitive and profitable growth. The consistency of our performance is a result of managing our business dynamically, and executing ourstrategy with even greater rigour and discipline. Our sustained focus on investing behind brands, sharpeningour executional capabilities anddriving market development has enabled us to keep winning with consumers in a rapidly changing market.”

    Trends:

    This year, HUL’s marketing spends have been the highest in terms of absolute rupees. Over a four year period starting FY-13 until FY-16, HUL’s ASP has been the highest in terms of percentage of TIO at 14.1 percent. Even on a y-o-y basis, its ASP has been higherin terms of absolute rupees as well as on a percentage of TIO basisacross all the four quarters in fiscal 2015-16 as compared to the four quarters of fiscal 2014-15.

    For Q4-16 (quarter ended March 31, 2016, current quarter) ASP was 6 percent more year-over-year (y-o-y) at Rs 1,089.95 crore (13.7 percent of TIO) as compared to Rs 1,027.89 crore but was 4.2 percent lower quarter-over-quarter (q-o-q) as compared to Rs 1,137.79 crore (14.3 percent of TIO).

    During a sixteen quarter period starting Q1-13 until Q4-16, the Indian FMCG major’s ASP in Q1-16 was the highest in absolute rupees at Rs 1,153.39 crore (14.2 percent of TIO), while in terms of percentage of TIO in current fiscal, it was highest in Q2-16 at Rs 1,145.04 crore (14.6 percent of TIO). Please refer to Fig A below. ASP shows linear increasing trend, both interms of absolute rupees as well as in terms of ASP as percentage of TIO during the sixteen quarter period under consideration in this report.

    It is seen from Fig A, that HUL’s ASP is generally the highest in absolute rupees in Q1 of a fiscal, the only exception being FY-14, when Q2-14 and Q3-14 ASP were higher that Q1-14 ASP. However, Q1 ASP has always been higher in absolute rupees than the previous year’s Q4 ASP. Based on this trend, it is likely that HUL’s ASP in Q1-17 will be more than or equal to Rs 1,090 crore

    The company’s TIO in the current year increased 3.8 percent to Rs 31,987.17 crore as compared to Rs 30,805.62 crore in FY-15. TIO in the current quarter increased 3.5 percent y-o-y at Rs 7,945.66 crore from Rs 7,675.63 crore andwas almost flat (declined by 0.4 percent) q-o-q as compared to Rs 7,980.99 crore in Q3-16. Please refer to Fig B below. TIO shows a linear increasing trend during the sixteen quarter period under consideration in this report.

    HUL’s Profit after Tax (PAT) in FY-16 declined 5.4 percent to Rs 4,082.37 crore (12.8 percent margin) as compared to Rs 4,315.26 crore (14 percent margin). PAT in the current quarter increased by 7 percent y-o-y to Rs 1089.59 crore (13.7 percent margin) from Rs 1,018.08 crore (13.3 percent margin) and increased 12.2 percent q-o-q from Rs 971.40 crore in Q3-16. PAT shows a linear decreasing trend in terms of percentage of TIO, but indicates a linear increasing trend in terms of absolute rupees during the sixteen quarter period under consideration in this report.

    HUL’s Q1-16 report about categories

    During the quarter, the Domestic Consumer business grew at 4 percent, with 4 percent underlying volume growth. Growth in the quarter was impactedby the phasing out of Excise Duty incentives, a one-time credit for excise duty refund in the base quarter and marginal price de-growth.

    Soaps and Detergents: Volume growth partially offset by price deflation. Skin Cleansing was driven by strong volume growth on Dove, Lifebuoy and Hamam. In Laundry, growth was led by the premium segment,with Surf maintaining its strong double digit growth momentum. Comfort Fabric Conditioner delivered another strong performance on the
    back of sustained market development. Household Care performance was led by Vim liquids.
    The quarter witnessed price deflation in this segment, albeit at lower levels, arising from actions taken earlier to pass on the benefit of lowercommodity costs to consumers.

    Personal Products: Healthy underlying performance

    The reported growth for this segment was impacted by the phasing out of Excise Duty incentives, a one-time credit for excise duty refund inthe base quarter and the residual impact from the re-alignment of channel spends.

    Skin Care delivered broad based volume growth across Fair & Lovely, Pond’s and Vaseline. The performance of Fair & Lovely was led by BBcream, whilst growth in Pond’s and Lakme was driven by the premium portfolio.

    Hair Care registered another quarter of volume led growth, with Dove and TRESemmé leading the category performance.

    In Oral Care, Close Up continued to do well, while Pepsodent core was relaunched in the quarter.

    Color Cosmetics sustained innovation led double digit growth with Lakme Absolute and 9 to 5 strengthening its position in premium makeup.

    Beverages: Consistent growth

    Tea registered broad based growth, driven by market development and strengthened brand equities across the portfolio. Lipton Green Teamaintained its strong growth momentum. Bru Coffee delivered another quarter of double digit growth.

    Packaged Foods: Double digit growth sustained

    Market development continues to be a key driver of growth for this segment. Kissan delivered another robust quarter on both ketchups andjams, while the solid growth on Knorr was led by Instant Soups. Ice Creams registered double digit growth driven by sharper in-marketexecution on Kwality Walls and the extension of Magnum to new cities.

    Water: Innovation led growth

    Pureit delivered double digit growth led by the strong performance in the ‘Reverse Osmosis’ segment. The portfolio was further strengthenedwith the launch of the ‘PureitUltima with Oxytube’ device in quarter.

    Click here for HUL’s investor release.

     

     

  • FY-16: Challenging markets push HUL marketing spends up 16.9 percent

    FY-16: Challenging markets push HUL marketing spends up 16.9 percent

    BENGALURU:  Indian FMCG giant Hindustan Unilever Limited (HUL) spent 16.9 percent more towards Advertisement and Promotions expense (marketing spends, ASP) in the year ended 31 March 2016 (FY-16, current year) as compared to FY-15 on a standalone basis. HUL’s standalone ASP in the current year was Rs 4,526.17 crore (14.1 percent of Total Income from operations or TIO) as compared to Rs 3872.40 crore (12.6 percent of TIO) in the previous year.

    Note: (1) The unit of currency in this report is the Indian rupee – Rs (also conventionally represented by INR). The Indian numbering system or the Vedic numbering system has been used to denote money values. The basic conversion to the international norm would be:
    (a) 100,00,000 = 100 lakh = 10,000,000 = 10 million = 1 crore.
    (b) 10,000 lakh = 100 crore = 1 arab = 1 billion.
    (2) All numbers mentioned in this report are standalone numbers of HUL, unless stated otherwise.

    HUL chairman Harish Manwani said, “In challenging markets and a deflationary cost environment, we have delivered another year ofcompetitive and profitable growth. The consistency of our performance is a result of managing our business dynamically, and executing ourstrategy with even greater rigour and discipline. Our sustained focus on investing behind brands, sharpeningour executional capabilities anddriving market development has enabled us to keep winning with consumers in a rapidly changing market.”

    Trends:

    This year, HUL’s marketing spends have been the highest in terms of absolute rupees. Over a four year period starting FY-13 until FY-16, HUL’s ASP has been the highest in terms of percentage of TIO at 14.1 percent. Even on a y-o-y basis, its ASP has been higherin terms of absolute rupees as well as on a percentage of TIO basisacross all the four quarters in fiscal 2015-16 as compared to the four quarters of fiscal 2014-15.

    For Q4-16 (quarter ended March 31, 2016, current quarter) ASP was 6 percent more year-over-year (y-o-y) at Rs 1,089.95 crore (13.7 percent of TIO) as compared to Rs 1,027.89 crore but was 4.2 percent lower quarter-over-quarter (q-o-q) as compared to Rs 1,137.79 crore (14.3 percent of TIO).

    During a sixteen quarter period starting Q1-13 until Q4-16, the Indian FMCG major’s ASP in Q1-16 was the highest in absolute rupees at Rs 1,153.39 crore (14.2 percent of TIO), while in terms of percentage of TIO in current fiscal, it was highest in Q2-16 at Rs 1,145.04 crore (14.6 percent of TIO). Please refer to Fig A below. ASP shows linear increasing trend, both interms of absolute rupees as well as in terms of ASP as percentage of TIO during the sixteen quarter period under consideration in this report.

    It is seen from Fig A, that HUL’s ASP is generally the highest in absolute rupees in Q1 of a fiscal, the only exception being FY-14, when Q2-14 and Q3-14 ASP were higher that Q1-14 ASP. However, Q1 ASP has always been higher in absolute rupees than the previous year’s Q4 ASP. Based on this trend, it is likely that HUL’s ASP in Q1-17 will be more than or equal to Rs 1,090 crore

    The company’s TIO in the current year increased 3.8 percent to Rs 31,987.17 crore as compared to Rs 30,805.62 crore in FY-15. TIO in the current quarter increased 3.5 percent y-o-y at Rs 7,945.66 crore from Rs 7,675.63 crore andwas almost flat (declined by 0.4 percent) q-o-q as compared to Rs 7,980.99 crore in Q3-16. Please refer to Fig B below. TIO shows a linear increasing trend during the sixteen quarter period under consideration in this report.

    HUL’s Profit after Tax (PAT) in FY-16 declined 5.4 percent to Rs 4,082.37 crore (12.8 percent margin) as compared to Rs 4,315.26 crore (14 percent margin). PAT in the current quarter increased by 7 percent y-o-y to Rs 1089.59 crore (13.7 percent margin) from Rs 1,018.08 crore (13.3 percent margin) and increased 12.2 percent q-o-q from Rs 971.40 crore in Q3-16. PAT shows a linear decreasing trend in terms of percentage of TIO, but indicates a linear increasing trend in terms of absolute rupees during the sixteen quarter period under consideration in this report.

    HUL’s Q1-16 report about categories

    During the quarter, the Domestic Consumer business grew at 4 percent, with 4 percent underlying volume growth. Growth in the quarter was impactedby the phasing out of Excise Duty incentives, a one-time credit for excise duty refund in the base quarter and marginal price de-growth.

    Soaps and Detergents: Volume growth partially offset by price deflation. Skin Cleansing was driven by strong volume growth on Dove, Lifebuoy and Hamam. In Laundry, growth was led by the premium segment,with Surf maintaining its strong double digit growth momentum. Comfort Fabric Conditioner delivered another strong performance on the
    back of sustained market development. Household Care performance was led by Vim liquids.
    The quarter witnessed price deflation in this segment, albeit at lower levels, arising from actions taken earlier to pass on the benefit of lowercommodity costs to consumers.

    Personal Products: Healthy underlying performance

    The reported growth for this segment was impacted by the phasing out of Excise Duty incentives, a one-time credit for excise duty refund inthe base quarter and the residual impact from the re-alignment of channel spends.

    Skin Care delivered broad based volume growth across Fair & Lovely, Pond’s and Vaseline. The performance of Fair & Lovely was led by BBcream, whilst growth in Pond’s and Lakme was driven by the premium portfolio.

    Hair Care registered another quarter of volume led growth, with Dove and TRESemmé leading the category performance.

    In Oral Care, Close Up continued to do well, while Pepsodent core was relaunched in the quarter.

    Color Cosmetics sustained innovation led double digit growth with Lakme Absolute and 9 to 5 strengthening its position in premium makeup.

    Beverages: Consistent growth

    Tea registered broad based growth, driven by market development and strengthened brand equities across the portfolio. Lipton Green Teamaintained its strong growth momentum. Bru Coffee delivered another quarter of double digit growth.

    Packaged Foods: Double digit growth sustained

    Market development continues to be a key driver of growth for this segment. Kissan delivered another robust quarter on both ketchups andjams, while the solid growth on Knorr was led by Instant Soups. Ice Creams registered double digit growth driven by sharper in-marketexecution on Kwality Walls and the extension of Magnum to new cities.

    Water: Innovation led growth

    Pureit delivered double digit growth led by the strong performance in the ‘Reverse Osmosis’ segment. The portfolio was further strengthenedwith the launch of the ‘PureitUltima with Oxytube’ device in quarter.

    Click here for HUL’s investor release.

     

     

  • Q3-2016: HUL YoY marketing spends up 16.4%

    Q3-2016: HUL YoY marketing spends up 16.4%

    BENGALURU: Indian FMCG giant Hindustan Unilever Limited (HUL) Advertisement and Promotions expense (marketing spends, ASP) in Q3-2016 (quarter ended 31 December, 2015, current quarter, Q3-16) was 16.4 per cent more YoY at Rs 1,137.79 crore (14.3 Total Income from operations or TIO) as compared to Rs 977.12 crore (12.6 per cent of TIO), but declined 0.6 per cent QoQ from Rs 1,145.04 crore (14.4 per cent of TIO).

    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.

    Company Speak

    HUL chairman Harish Manwani said, “We have stepped up investment behind our brands and delivered another quarter of profitable volume led growth, consistent with our strategic intent. In an environment of moderating growth and benign input costs, we remain focused on innovation and market development to drive volumes competitively whilst improving operating margins. As channels and markets evolve, we continue to make strategic interventions to strengthen our portfolio and sharpen our executional capabilities to serve our consumers even better.”

    Advertising and Sales Promotion (ASP) trends

    Last quarter (Q2-16), HUL’s ASP was the highest both in terms of absolute rupees and percentage of TIO at Rs 1145.04 crore and 14.4 per cent during a 15 quarter period starting Q1-2013 until Q3-2016. The current quarter’s ASP (mentioned above) is the second highest during the same period. It must be noted than in the current fiscal (FY-2016) during all the three quarters to date, HUL’s ASP has been the highest in rupees and in terms of percentage during the period under consideration and has been above 14 per cent – in Q1-2016, it was 14.2 per cent.

    The lowest ASP in absolute rupees was in Q2-2013 at Rs 768.98 crore (12.2 per cent), while it was lowest in terms of percentage of TIO in Q4-14 at 11.8 per cent (Rs 840.34 crore). The white broken trend line indicates that ASP in absolute rupees during the period under consideration shows an upward trend. ASP in terms percentage of TIO (broken pink line) also shows an upward trend, though not as sharp as in the case of absolute rupees during the period under consideration. As a matter of fact, since Q1-2013, the company’s ASP has been the highest in absolute rupees in the first quarter (Q1) and the lowest in the second quarter (Q2), the only exception being in the year 2014, where Q2-2014 ASP was the highest in the year and was more than Q1-2014 ASP, which was second highest in that year. In FY-2013 and FY-2014, ASP was lowest in Q4, while in Q4-2015, ASP was more than in Q3-2015.

    HUL Revenue and PAT

    Please refer to Fig B above. HUL reported 2.7 per cent YoY growth in TIO in Q3-2016 at Rs 7,980.99 crore as compared to Rs 7,774.32 crore and was 0.3 per cent higher QoQ as compared to Rs 7,955.39 crore. 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 15 quarter period under consideration in this report.

    HUL’s PAT in Q3-2016 was 22.4 per cent lower YoY at Rs 971.40 crore (12.2 per cent margin) as compared to Rs 1,252.17 crore (16.1 per cent margin) and was one per cent more QoQ as compared to Rs 962.24 crore (12.1 per cent margin). During the period under consideration, HUL’s highest PAT was highest in Q1-2013 at Rs 1,331.19 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, while in terms of percentage of TIO, the linear trend is declining as indicated by the broken yellow line.

    HUL’s take on categories and its brands

    Soaps and Detergents

    Robust volume growth offset by price deflation was seen. The segment witnessed continued price deflation in the quarter given the benign input costs. Skin Cleansing was driven by strong volume growth on Dove, Pears and Lifebuoy. The liquids portfolio registered another quarter of double digit growth. In Laundry, growth momentum was sustained with both Surf and Rin growing volumes in double digit while Comfort Fabric Conditioners led market development of the category and delivered another quarter of high growth. Household Care performance was driven by Vim.

    Personal Products

    The reported growth of this segment was impacted by the delayed winter and the one-time realignment of channel spends undertaken with a view to driving its effectiveness in the marketplace Skin Care delivered volume led growth driven by Fair and Lovely, Pond’s and Lakme. Fair and Lovely continued to do well and saw an encouraging response to the BB cream. The performance of Pond’s was led by premium skin lightening while Lakme growth was buoyed by premium innovations and facewash. Hair Care maintained its strong volume led growth momentum, with Dove and TRESemmé leading the category performance. In Oral Care, the overall performance was subdued. Close Up growth was driven by impactful activation while Pepsodent Clove and Salt continued to do well. Lakme Colour Cosmetics sustained its strong innovation led growth across the core, Absolute and 9 to 5 ranges.

    Beverages

    In Tea, Red Label, Taj Mahal and 3 Roses grew well, driven by focused in-market initiatives. Lipton Green Tea registered another quarter of high growth on sustained market development. In Coffee, Bru delivered double digit growth and achieved market leadership.

    Packaged Foods

    The segment saw its ninth successive quarter of double digit growth. Sustained market development and recent innovations resulted in another quarter of double digit growth across all key brands. Kissan maintained its strong growth momentum across both Ketchups and Jams. Knorr growth was led by new variants of Instant Soups and a new range of Knorr Chef’s Masalas was introduced at the quarter end. Ice Creams delivered another strong quarter, led by Magnum and sharper in-market execution on Kwality Walls.