MAM
Covid2019 might push traditional advertising towards negative growth
NEW DELHI: The world economy has been brought to its knees by a medical crisis called COVID-19. The pandemic has battered the situation for even the most developed nations, and India, which was already dealing with a bruised economy for the past few quarters has found itself in a bigger soup. The ongoing lockdown has desisted liquidity across industries translating into a tough time for the media and advertising world, which has slowed down the business greatly mid-March onwards.
DAN India CEO Anand Bhadkamkar tells Indiantelevision.com, “The pandemic has impacted the entire economy and the effects of it are being felt across all businesses. Manufacturing and other core businesses have been affected the most. People have stopped interacting in physical spaces. They are not moving out of their homes. Consequently, the entire economic activity has slowed down considerably. Advertising and communications tend to fuel the growth of commerce massively, thereby, accelerating its growth forward. Now, given that commerce has been badly hit, advertising is suffering equally.”
DDB Mudra Group CEO and MD Aditya Kanthy shares that advertising reflects and shapes the economy and there has been a slump in the work opportunities because of the situation. “The demand side problems are obvious. Even in categories where there is demand, there are huge supply-side/ supply chain and distribution issues. Liquidity and credit is a challenge. Advertising is dependent on all of these factors. The industry depends on marketers who have the appetite and the means to invest. That is compromised in the current market scenario. It cannot operate in isolation.”
While there has been a great surge in media consumption, both on digital and television, it is not resulting in ad monies for the platforms, given the market uncertainty. As per BARC-Nielsen data, weekly viewing minutes in week 15 of 2020, starting 11 April, grew by 40 per cent to reach 1,239 billion, as compared to 887 billion during the time period between 11 and 31 January, however, the number of advertisers dropped to 1,021, as compared to 1,378.
If Madison Media and OOH group CEO Vikram Sakhuja is to be believed, the advertising growth, which was pinned by his firm at around 10 per cent at the beginning of the year, will take a big hit in this calendar year. “We were expecting around a six per cent growth for traditional and around 28-30 per cent for digital media. However, looking at the current scenario, traditional media might observe a negative growth, while digital will also shrink considerably. We will be lucky if we can see a 1-2 per cent growth this year.”
He elaborates, “The January-March quarter was already difficult for TV because of the NTO-2.0 and the second quarter is hit by COVID impact. Third-quarter might see a rise if we have a good Diwali season but it will depend largely on the market sentiments then.”
Bhadkamkar notes, “We were hoping that advertising spends would grow by 10-10.5 per cent in 2020 as per industry estimates. Now, however, this growth is expected to be half of that. And, if the impact continues, the ill-effects would be much larger on the calendar year.”
“The first quarter has been severely impacted, and recovery might start after h2. Q3 should return with recovery but again, that is only an assumption at the current stage and depends on how COVID 19 situation improves. Certain economists are predicting that the GDP growth (that was estimated at about 4.5 per cent) by May dip up to 1.5-1.9 per cent. If that happens, we will be slipping down by more than half almost. We just have to wait and watch how things pan out. For now, everything seems very tricky. However, from a long term perspective, the outlook for India is definitely positive, once the country starts getting out of COVID 19 downturn.”
The industry insiders are hoping for some relief and support from the Indian government to pad the losses advertising industry is facing. Recently, AAAI chairman Ashish Bhasin had written to union minister of information & broadcasting Prakash Javadekar detailing a set of recommendations to support the industry.
Bhadkamkar supports the decision as he says, “The government intervention is necessary for the current situation because the pandemic has affected the advertising industry severely. The letter stresses on how the Government can help in providing the stimulus to the advertising industry and not for any add-on benefits or expecting any specific fiscal measures. At present, the liquidity is getting tighter and there is a lot of slackness in the market. Hence, we need to protect the businesses by providing more liquidity as well.”
He adds, “Right now, what is needed, is to protect the entire ecosystem because as an industry, advertising generates a lot of employment and more importantly acts as a catalyst for the growth of businesses. In my view, the letter is trying to address this and seek action towards this more so in this immediate period. Once, this lock-down ends and hopefully, we get ahead of the COVID-19 challenge at the earliest, things will come back to normal. But till then, the industry would need that additional support.”
Kanthy also believes that the government will have to extend support to the whole ecosystem. “The government’s intervention in all parts of the economy is necessary at this time, whether it is on the stimulus or on the tax side. There is a need to put some extra cash in the hands of consumers as well to stimulate some demand. From an industry perspective, it will help us in access to liquidity and credit.”
Sakhuja adds, “Government support will be really helpful right now so that brands treat advertising as an investment. Also, the government owes a lot of money to media and advertising companies. They need to pay that back as well.”
Brands
BlaBliBlu hits Rs 100 crore run rate within six months of launch
Affordable luxury fragrance brand rides youth demand and rapid adoption
NEW DELHI: BlaBliBlu has clocked an annual run rate of Rs 100 crore within just six months of launch, underlining the rapid rise of new-age fragrance brands catering to India’s young consumers.
The startup, founded by Palash Arneja along with Rajat, Kushal and Durgesh, is currently operating at a monthly run rate of Rs 8 crore. The milestone places it among the fastest-growing entrants in India’s competitive fragrance market.
BlaBliBlu’s growth story hinges on a clear gap it spotted early on. Consumers typically had to choose between expensive international perfumes and lower-priced options that often compromised on quality or longevity. The brand positioned itself in between, offering fragrances priced under Rs 1,000 while maintaining premium-like performance.
A key differentiator has been its product formulation. With a fragrance oil concentration of around 25 per cent, the company claims its perfumes deliver longer-lasting wear comparable to higher-end global brands. Combined with sleek packaging and design, the products have resonated with younger buyers looking for both style and substance.
“Reaching a Rs 100 crore annual run rate within six months is an exciting milestone that shows strong customer demand across India,” said BlaBliBlu founder Palash Arneja. He added that the brand’s focus has been on delivering premium-quality scents while keeping them accessible, supported by continuous feedback and product innovation.
Instead of relying heavily on marketing spends, the company has leaned on a product-led growth strategy. Its trial packs, priced at Rs 399, allow customers to sample multiple fragrances before committing to a full-size purchase. The option to redeem the trial cost or opt for a refund has helped reduce hesitation and build trust among first-time buyers.
Customer insight has also played a central role in shaping the brand. Before launch, the team conducted on-ground research across malls and retail spaces to understand preferences. Since then, feedback from thousands of users has fed into product development and brand decisions.
Looking ahead, BlaBliBlu plans to expand its portfolio into adjacent categories such as body washes, roll-ons and car fragrances, while also exploring niche scent offerings.
With a strong start and a clear value proposition, the brand’s early momentum suggests it is well placed to carve out a lasting space in India’s evolving fragrance market.
