MAM
Names of media agencies pitching for Cadbury account revealed
MUMBAI: Carat, MindShare/Maximize, Madison, Mediaedge, MediaCom, Starcom and Zenith Media! These are the seven agencies that will be saying “Kuch khaas hai hum sabhi mein” (“There is something special about all of us) as they pitch for the planning and buying business of Cadbury’s which is currently under review.
As regards what the account is worth, indiantelevision.com did some number crucnhing. For the year ended 29 December 2002, the net sales of Cadbury India Limited were Rs 6846.58 million (source: www.myiris.com). Cadbury by its own admission spends anything between 10 per cent and 10.3 per cent on advertising and promotions. Therefore, it would be fair to say that the spend on advertising and promotion should be around Rs 705 million.
The media agencies have been asked to present credentials, after which two will be shortlisted (along with Carat). Following this initial exercise, a proper media brief will be given for the final pitch.
Yes, the move has been preceded by some global reconfiguration. Earlier this year, Cadbury Schweppes, London, had moved its chocolate advertising business, which analysts in the media estimate at $50 million, to Publicis Groupe’s Publicis Worldwide, New York and London. It is worth nothing that in India, both Zenith Media and Starcom, which are part of the Publicis group, are in the fray for Cadbury’s media business.
In India, Cadbury’s Dairy Milk account is handled by O&M, a WPP group company. Currently, WPP Media’s Maximize is in the reckoning for the Indian media business.
Sources say that the sudden departure of Carat Media Services’ former India CEO Meenakshi Madhvani has triggered off a panic reaction amongst clients such as Asian Paints and Cadbury’s. Asian Paints has already initiated the process and is in talks with two top media independents. It might be remembered that indiantelevision.com had broken the story about Madhvani’s departure on 8 April 2003.
Brands
Jubilant FoodWorks faces Rs 47.5 crore GST demand, plans appeal
Tax authorities flag alleged misclassification of restaurant services
MUMBAI:Â Jubilant FoodWorks Limited has landed in a tax tussle after receiving a GST demand of Rs 47.5 crore from the office of the additional commissioner of CGST and central excise in Thane, Maharashtra.
The order, issued under the provisions of the Central Goods and Services Tax Act, 2017, relates to an alleged incorrect classification of certain services under the category of restaurant services. According to the tax authorities, this classification resulted in a short payment of goods and services tax for the period between the financial years 2019-20 and 2021-22.
The demand includes Rs 47.5 crore in GST along with an equal amount as penalty, in addition to applicable interest. The order was received by the company on March 13, 2026.
In a regulatory filing to the BSE Limited and the National Stock Exchange of India Limited, the company said it disagrees with the order and believes its arguments were not adequately considered.
The company is preparing to challenge the decision and plans to file an appeal. It added that once the redressal process is complete, the demand is likely to be dropped.
Despite the sizeable figure attached to the notice, the company said it does not expect any material impact on its financials, operations or other activities.
The disclosure was signed by Suman Hegde, EVP and chief financial officer, who confirmed that the company received the order at 19:06 IST on March 13 and has already initiated steps to contest it.
The development places the quick service restaurant major in the middle of a tax debate that could hinge on how certain restaurant-linked services are classified under GST rules. For now, the company appears ready to take the matter from the tax office to the appeals desk.
