Brands
Pepe Jeans London x LS Digital the dynamic duo behind record-breaking EORS sales!
Mumbai: India’s new-age independent digital marketing transformation group – LS Digital, has announced that it completed a campaign with Pepe Jeans London, a denim and casual wear jeans brand, which helped increase sales during the End of Reason Sale (EORS) event on the e-commerce website, Myntra.
Sharing her insightful thoughts, LS Digital AVP eMarket Pooja Dhamdhere said, “In this edition of the EORS, Myntra recorded 50 per cent new customer growth. We are happy to be a part of Pepe Jean’s growth journey on the platform. Both teams worked in sync to achieve the results. The fact that we were able to exceed the targets speaks a great deal about our association with the brand.”
Pepe Jeans needed a strategy that would create a buzz for its products online during Myntra’s End of Reason Sale (EORS) to increase the visibility of its range and improve the chances of making sales. LS Digital created a plan that focused on launching campaigns around the different colours in the denim category. The strategy also entailed promoting only those products that had a high stock count to maximize sales performance. Simultaneously, efforts were devoted to better-performing products while pausing underperforming categories to improve sales conversions.
The ten-day campaign was closely monitored by LS Digital to ensure performance metrics were being met. The team also ensured the reallocation of budgets for underperforming campaigns by diverting them towards the best-performing ones for optimum cost utilisation.
LS Digital’s digital marketing campaigns resulted in several wins for Pepe Jeans. The lifestyle brand saw a 76 per cent uptick in per-day revenue during the EORS period compared to the regular business as usual (BAU) period in May 2023. LS Digital also achieved a 13 per cent lower Cost per Order (CPO) compared to the target. Pepe Jeans recorded a 4.5-time increase in orders, and consumers spent 1.7 times more compared to the previous Myntra EORS event.
Pepe Jeans London deputy general manager (marketing) Priyaranjan Manay said, “Our partnership with LS Digital has been of great support in our journey to strengthen our presence on e-commerce platforms. PLA efficiency during a major sale event such as EORS was very crucial amidst other players, and driving this with an eye on the costs was very important. We have seen a great impact from this collaboration on all media metrics, including awareness, consideration, and conversion during the event.”
Brands
Microsoft faces worst quarter since 2008 financial crisis
Cloud giant battles soaring AI costs and fierce competition from nimble startups.
MUMBAI: When the tech titan starts looking a little wobbly, even the Magnificent Seven can feel the tremors because Microsoft is currently starring in its own sequel, “Clouds and Doubts.” Microsoft is on track for its worst quarterly performance since the 2008 global financial crisis, according to Bloomberg, as investors grow increasingly uneasy about rising capital expenditure and intensifying competition from nimble AI firms. The company has been pouring money into AI infrastructure, yet markets are questioning when these hefty investments will finally deliver stronger revenue growth.
At the same time, investors are shifting away from traditional software stocks amid fears that AI startups such as Anthropic and OpenAI are developing autonomous agents capable of replacing established products, including those from Microsoft. Jonathan Cofsky, portfolio manager at Janus Henderson Investors, noted growing concern that customers may bypass Microsoft and deal directly with AI vendors, potentially disrupting its core business and putting pressure on pricing and margins.
Microsoft’s stock has tumbled 25 per cent in the first quarter, putting it on course for its largest drop since a 27 per cent fall in the fourth quarter of 2008. It has also emerged as the weakest performer among the so-called Magnificent Seven technology stocks, while a broader index tracking the group has fallen 14 per cent over the same period. The shares slipped a further 1.7 per cent after markets opened on Friday, marking a potential fourth consecutive session of declines.
Cofsky pointed out that Microsoft has become more capital intensive and that improved investor confidence will hinge on assurances that software growth will not slow materially. Despite the sell-off, the stock is now trading at less than 20 times projected earnings over the next 12 months, its lowest valuation level since June 2016. Its valuation remains slightly above that of the S&P 500 Index, although it has recently traded at a discount to the broader benchmark for the first time since 2015.
Bloomberg data shows Microsoft’s capital expenditure, including leases, is expected to surge to $146 billion in fiscal 2026, up around 66 per cent from $88 billion in fiscal 2025. Spending is projected to climb further to $170 billion in fiscal 2027 and $191 billion in fiscal 2028, based on average estimates. Investors are growing cautious about such levels of spending without clearer signs of stronger growth.
Microsoft’s Azure cloud division has reported a slight slowdown in growth compared with the previous quarter, while its Copilot AI product has seen limited user traction, prompting internal changes aimed at improving performance. Ben Reitzes, an analyst at Melius Research, warned in a March note that Microsoft’s upside in Azure could be constrained as the company works to address challenges related to its AI models and Copilot offering, adding that these issues are unlikely to be resolved in the short term.
Of the 67 analysts covering Microsoft, 63 maintain buy ratings, three hold ratings and one a sell rating. The average 12-month price target of $592 implies a potential upside of more than 64 per cent, the highest on record based on data going back to 2009. The stock is also trading below its 200-day moving average by the widest margin since 2009.
Reitzes suggested the dominance of buy ratings may indicate complacency among analysts, while highlighting risks in Microsoft’s productivity and business processes segment as well as its More Personal Computing division. In contrast, Tal Liani of Bank of America reinstated coverage with a buy rating, citing durable multi-year growth prospects across cloud and AI. Jake Seltz, portfolio manager at Allspring Global Investments, maintained that Microsoft retains strong long-term value and that its AI strategy is likely to be validated over time, viewing near-term concerns as a potential opportunity for longer-term investors.
The report highlights a growing divergence in market sentiment, with optimism around long-term AI potential weighed against immediate execution risks and investor uncertainty. In the world of big tech, even the mightiest clouds can have silver linings but right now, Microsoft’s investors are scanning the horizon for clearer skies.
