MAM
Marico ups ad spend in fiscal as focus is on growth
MUMBAI: Marico has upped its advertising and promotional spends by a mammoth 76.52 per cent for the three-month period ended 31 March 2012, reinforcing its focus on volume growth rather than margins.
The company spent Rs 1.19 billion towards advertising in the final quarter, significantly higher than Rs 671.85 million that it consumed in the year-ago period.Advertisements and promotional spends were 14.3 per cent of the net sales in the quarter.
Marico‘s advertising budget will continue to be higher in the coming fiscal as it focuses on growth through value-added products in its various segments.
Marico’s net profit for the quarter fell by 2.67 per cent to Rs 696.971 million despite cut in product prices and high volume growth due to an increase in ad spend. Net sales grew 22.89 per cent to Rs 9.18 billion compared to Rs 7.47 billion a year ago.
For the full fiscal also, Marico‘s ad spend rose 29.78 per cent to Rs 4.49 billion, from Rs 3.46 billion in the earlier year.
Interestingly, Marico had said in August last year that the company would cut it ad spends and other costs to offset input cost pressure and avoid price hike.
However, the company increased its spending on advertising and promotions in each quarter of FY’12, barring the second quarter when it remained flat.
The major chunk of the spent was on the Saffola life World Heart Day Campaign 2011, which started in Q2 and continued in Q3 of FY’12.
For the three-month period ended 31 December 2011, the company had spent Rs 1.34 billion on advertising, a 48.62 per cent jump from the earlier year. During the second-quarter of the fiscal, the advertising spends were at Rs 941.49 million.
Even in the first quarter of the fiscal, Marico had increased spend on advertisement by 9.1 per cent as it had launched new products.
For the full fiscal, the net profit stood at Rs 3.17 billion, up from Rs 2.86 billion in the previous fiscal, a 10.71 per cent increase.
Marico’s annual net sales stood at Rs 33.97 billion as opposed to Rs 31.26 billion in the last year, registering a growth of 8.66 per cent.
Brands
Axis Bank named Official Banking Partner of DP World PGTI
Partnership supports all tournaments this season to grow professional golf in India.
MUMBAI: Axis Bank just teed up a hole-in-one partnership because when a bank sponsors golf’s biggest swing in India, even the fairways feel more financially secure. Axis Bank has been appointed Official Banking Partner of the DP World Professional Golf Tour of India (DP World PGTI), strengthening its commitment to sporting excellence and community engagement while backing the growth of professional golf across the country.
Under the partnership, Axis Bank will support all DP World PGTI tournaments this season, contributing to talent development, enhanced tournament experiences and wider fan engagement. The collaboration aligns the bank’s values of precision, discipline and trust with the Tour’s focus on performance and opportunity.
Axis Bank executive director Munish Sharda said, “We are pleased to partner with DP World PGTI as its Official Banking Partner. Golf embodies precision, discipline, and a pursuit of excellence qualities that strongly reflect who we are at Axis Bank. This association also strengthens our engagement with India’s growing premium customer segments, where the sport has a deep and enduring connect.”
Professional Golf Tour of India president Kapil Dev said, “We are extremely pleased to welcome Axis Bank as a Tour Partner of the DP World Professional Golf Tour of India. Partnerships of this stature play a vital role in strengthening the foundation of the Tour, enhancing opportunities for our players, and expanding the sport’s reach across the country.”
Professional Golf Tour of India CEO Amandeep Johl added, “Axis Bank’s strong legacy of excellence, innovation, and nationwide reach aligns perfectly with DP World PGTI’s goal to elevate professional golf in India and provide greater opportunities for our players.”
In a sport where every stroke counts and every partnership drives distance, Axis Bank isn’t just backing golfers, it’s investing in the fairway to future, turning India’s greens into a stage where precision meets passion and every drive has the power to inspire.
