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IOA study to track effectiveness of advertising, marketing, e-commerce

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MUMBAI: The Internet and Online Association (IOA) has undertaken a research study, which will provide extensive data to prove the effectiveness of advertising, marketing and e-commerce using the Internet and mobile as mediums.
 
 
The research has been awarded to IMRB. Backed by this customised primary research IMRB will help IOA develop, extend and promote integrated business strategies across online and emerging channels thus helping it’s members and industry address challenges as they arise, delivering insight to succeed in this dynamic economy.
 
 
The research is to be conducted in two phases:

Pre-research study, which will help them garner what the industry requires as research in the online advertising, e-commerce and mobile advertising segments. Before the baseline study is embarked on, a senior management research will be conducted to determine what exactly the market wants distilled in this study. The pre-research study is slated to be a qualitative study delivered by 1-1 in-depth dialogs with the senior management of marketers, advertising agencies and service providers. Based on the pre-research assessment, the final baseline research will be commenced in 24-36 cities and towns.
The Indian Internet consumer and cross media research study aims at delivering a quantitative and a qualitative study which will cover: (a) Demographics details across multiple audience groups across 26 cities – Till date not a single study exists that has taken into account net population beyond metro cities. (b) Media consumption habits vis-a-vis television and press – IOA considers the result of this research to be extremely valuable to its members and the industry at large; as it will demonstrate that the Internet can dramatically improve a marketing and sales ROI if it is a significant part of the overall media mix.
 
 
IOA president Preeti Desai said, “In today’s economy there is no greater imperative than to maximise marketing monies online. It is crucial that the Internet and Online Association give the right data tools to marketers, media planners, buyers and businesses which will unequivocally help them make educated decisions and thus increasingly cater to the connected Indians whether online or mobile. The pre-research will provide an in-depth view of market needs across all sectors and categories and hence enable us to customise research as required by the industry. The Indian Internet consumer and cross media research study after the pre-research will provide compelling proof to what all our members believe in – “Same Budget, Better Results.”
IMRB eTechnology VP and country manager Mohan Krishnan said, “The growing impact of digital media is revolutionising the media industry worldwide and in the context of the ever evolving global village, India will feel the impact much earlier than what most of us are willing to wager. The study we are conducting for IOA assumes significance in this context, as it will arm players in this industry with sophisticated and unbiased tools to monitor and evaluate their respective roles. We are very excited to be part of the larger movement towards establishing standards suited to the specific needs of this country. Prior to undertaking this consumer study, we are aiming to understand the needs of various digital media players in the market so as to take into account their needs and concerns. The results of the needs study will be out by end March 2005.”

Mediaturf COO sub-committee research member Ratish Nair said, “For a large number of advertisers, especially in the financial sector, the importance of Internet as a medium is a foregone conclusion. They use a variety of advanced metrics, which have convinced them of the power of the online medium. While there is complete transparency in the metrics for online advertising, some sectors feel there is a need to have sample based research as exists in the offline space and hence need some common measurement tools. There are a lot of questions, which in their opinion tend to be unanswered inspite of various metrics, since there is no syndicated study. Hence, we believe it is important to do a syndicated study after getting an opinion from marketers and advertisers as to what the gaps are as they feel need to be covered and hence the pre-research study. This is a step in the direction of fulfilling client expectations from the medium in more ways than one.”

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Starcom Worldwide India-West and South managing director Ravi Kiran said, “Serious Internet users will keenly await the findings of the pre-research. There may be quite a few surprises in store for us. Even more importantly, the final research, we believe, will open a few eyes and may shock the cynics.”

mOne Worldwide national director Tushar Vyas said, “The lack of research support to evaluate the medium has resulted in limited acceptance of the medium in many of the categories. A syndicated study is definitely a step in the right direction to provide the much-needed science to the art of online media planning. This study will also help evaluate the Internet as a medium in its rightful perspective and demonstrate its effectiveness.”

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Brands

Kwality Wall’s reports standalone losses following strategic HUL demerger

Ice cream major faces Rs 64 crore Ebitda loss amid commodity inflation and muted Q3 sales

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MUMBAI: Kwality Wall’s (India) Limited (KWIL) has released its first set of financial results as a standalone entity, revealing a challenging start to its independent journey. Following its successful demerger from Hindustan Unilever Limited (HUL) on 1st December 2025 and its subsequent listing on 16th February 2026, the company is navigating a transition period marked by structural changes and high input costs.

For the quarter ended 31st December 2025, the company reported revenue of Rs 222 crores. Despite the revenue base, the bottom line was impacted by several factors, resulting in an Ebitda loss of Rs 64.2 crores. When calculated on a Pre-IND AS 116 basis, the Ebitda loss stood at Rs 83.8 crores.

Organic Sales Growth (OSG) declined by 6.5 per cent year-on-year during the quarter. Volume growth, however, saw a marginal increase of 1.2 per cent. The company reported a gross margin of 41.5 per cent. Additionally, exceptional expenses amounting to Rs 94 crores were recorded, primarily linked to non-recurring costs during the transition phase.

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Performance across portfolios and channels was mixed. Within the impulse portfolio, brands such as Magnum and Cornetto recorded mid-single digit volume growth, indicating steady demand in on-the-go consumption. However, the in-home portfolio, which includes take-home packs, experienced muted consumption. The company is planning a relaunch of this category with improved offerings ahead of the 2026 season.

Quick commerce (Q-Com) continued to emerge as a strong growth driver, delivering robust double-digit growth during the quarter. Meanwhile, the company also expanded its physical distribution network by increasing the number of company-owned cabinets across markets.

Margin pressure during the quarter was driven by a combination of one-off factors and broader cost inflation. Gross margins were impacted by around 600 basis points due to trade investments made for stock liquidation. Additionally, cocoa price inflation contributed to another 400 basis points of pressure on margins.

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Deputy managing director Chitrank Goel attributed the muted performance partly to prolonged monsoons and transitional challenges linked to the GST framework. Operating expenses also increased as the company invested in establishing its standalone supply chain, operational systems and corporate infrastructure following the demerger.

Looking ahead, the management remains focused on a volume-driven growth strategy. To restore profitability, the company has initiated a cost productivity programme aimed at reducing non-consumer-facing costs. It is also working on building regional manufacturing networks to optimise logistics expenses and improve operational efficiency.

The commodity outlook for the near term remains mixed. Dairy prices are expected to remain firm due to tight supply conditions and rising fodder costs. Sugar prices may also move higher following increases in the Minimum Selling Price (MSP). While cocoa prices have moderated recently, currency depreciation has offset some of the potential cost relief for the company.

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