Brands
FMCG firms boost ad spend as demand returns
MUMBAI: Major household names such as Hindustan Unilever, Dabur, Godrej Consumer Products, and Marico are preparing to loosen their purse strings, with advertising budgets set to surge by between ten and fifteen per cent through the June quarter. This aggressive marketing push comes as a relief to the industry, fuelled by a perfect storm of widening profit margins and a long-awaited recovery in consumer demand.
After several quarters of tightening belts due to volatile commodity prices, the giants of the supermarket shelves are finally seeing some breathing room. Lower input costs for raw materials like palm oil and packaging have allowed firms to pad their gross margins significantly. Rather than simply banking these profits, companies are ploughing the cash back into brand building to drive volume growth and fend off smaller rivals.
The timing is no coincidence. As the summer heat begins to bite, categories ranging from soft drinks and ice creams to soaps and cooling powders are entering their peak selling season. Companies are desperate to ensure their brands stay front of mind. This seasonal rush is being amplified by a packed sporting calendar, including the Indian Premier League and the upcoming T20 World Cup, which offer a massive platform for expensive television and digital campaigns.
Perhaps most encouraging for the industry is the shift in rural markets. After a prolonged slump where high inflation forced families to downsize their shopping baskets, demand in the countryside is showing genuine signs of life. Executives from leading firms like Dabur and Marico note that the rural consumer is returning to the fold, prompting a wave of hyper-local marketing designed to win back market share from smaller, regional competitors who had previously undercut the national brands on price.
The strategy is not just about volume, however. There is a distinct move towards premiumisation. Large manufacturers like Hindustan Unilever and Godrej are using their increased budgets to convince urban shoppers to trade up to more expensive, specialised versions of everyday essentials. Whether it is luxury skincare, liquid detergents, or health-focused food products, the message is being delivered through a heavy digital presence aimed at the affluent middle class.
Market analysts suggest this spending spree marks a transition for the sector. For the past two years, growth was largely driven by price hikes to offset costs. Now, with inflation cooling, the focus has shifted back to selling more units. If the upcoming monsoon proves favourable and the festive season delivers as expected, this double-digit increase in advertising could be the opening salvo in a sustained period of growth for the consumer goods industry.
Brands
YES Bank hands the keys to SBI veteran Vinay Tonse as it bets on a new era
Former SBI managing director appointed as YES Bank’s new MD and CEO
MUMBAI: YES Bank is done rebuilding. Now it wants to grow. The private sector lender has appointed Vinay Muralidhar Tonse as managing director and chief executive officer-designate, with RBI approval secured and a start date of April 6, 2026 confirmed. The three-year term signals the bank’s intent to shift gears from crisis recovery to full-throttle expansion.
Tonse, 60, is no stranger to scale. Most recently managing director at State Bank of India, he oversaw a retail book of roughly $800bn in deposits and advances, one of the largest in the country. Before that, he ran SBI Mutual Fund from August 2020 to December 2022, a stint that saw assets under management surge from Rs 4.32 lakh crore to Rs 7.32 lakh crore across market cycles. Add stints in Singapore and four years leading SBI’s overseas operations in Osaka, and the incoming chief arrives with a genuinely global CV.
His academic grounding is equally solid: a commerce degree from St Joseph’s College of Commerce, Bengaluru, and a master’s in commerce from Bangalore University.
The appointment follows an extensive search and evaluation process by the bank’s Nomination and Remuneration Committee. NRC chairperson Nandita Gurjar said the committee unanimously backed Tonse, citing his leadership track record, governance credentials and ability to drive the bank’s next phase of transformation.
Non-executive chairman Rama Subramaniam Gandhi was unequivocal. “I am certain that Vinay Tonse, with his vast experience as a senior banker, will propel YES Bank to its next phase of growth,” Gandhi said, adding that the bank remains focused on strengthening its retail and corporate banking franchises and expanding its branch network.
Rajeev Kannan, non-executive director and senior executive at Sumitomo Mitsui Banking Corporation, the bank’s largest shareholder, said Tonse’s experience across retail, corporate banking, global markets and asset management positioned him well to lead the lender. SMBC said it looks forward to working with Tonse and the board as YES Bank pursues its ambition of becoming a top-tier private sector lender anchored in strong governance and sustainable growth.
Tonse succeeds Prashant Kumar, who took the helm in March 2020 when YES Bank was in freefall following a severe financial crisis, and spent six years painstakingly stabilising the institution, rebuilding governance and restoring operational scale. Gandhi was generous: “The bank remains indebted to Prashant Kumar, who is responsible for much of what a strong financial powerhouse YES Bank is today.”
Tonse, for his part, struck a purposeful note. “Together with the board and my colleagues, I remain deeply committed to creating long-term value for all our stakeholders,” he said, pledging to build on Kumar’s foundation guided by his personal motto: Make A Difference.
Beyond the balance sheet, Tonse played cricket at college and club level and represented Karnataka in archery at the national championships — sports he credits with teaching him teamwork, situational leadership, discipline and focus. In quieter moments, he reaches for retro Kannada music, classic Hindi songs, and the crooning of Engelbert Humperdinck, Mukesh and Kishore Kumar.
YES Bank has its steady-handed rebuilder in Kumar to thank for survival. Now it has a scale-obsessed growth banker at the wheel. The next chapter starts April 6.
