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
Raj Cooling Systems launches Agreyas appliances brand
Emraan Hashmi named brand ambassador for consumer appliance push.
MUMBAI: A company known for cooling solutions is now heating up its ambitions in the home appliances market. Raj Cooling Systems Pvt. Ltd. has launched a new consumer appliances brand, Agreyas, marking its entry into India’s rapidly expanding home appliances sector valued at more than Rs 1.5 lakh crore. The move represents a strategic diversification for the company, which has traditionally focused on cooling solutions for residential, commercial and industrial applications. Through Agreyas, the firm plans to tap into growing consumer demand for energy efficient and technology driven household appliances.
To build brand visibility, Agreyas has appointed Emraan Hashmi as its brand ambassador. The campaign has been developed under the banner of Zoommantra Productions, with actor and filmmaker Rohit Roy contributing to the creative direction.
The brand’s initial portfolio will include mid premium air conditioners, washing machines, geysers and other white goods designed to cater to modern Indian households seeking efficient and reliable appliances.
Raj Cooling Systems, founder and chairman Kalpesh Ramoliya said the launch aligns with the company’s broader expansion plans.
“The launch of Agreyas is in line with our vision to build a strong presence in India’s consumer electronics and home appliances market. The brand has been developed as a standalone identity to meet the evolving needs of Indian consumers,” he said.
Hashmi said the collaboration comes at a time when Indian buyers are increasingly looking for innovative and functional home solutions.
“I’m looking forward to working with Agreyas at a time when consumers are seeking more innovative and efficient home products. The brand reflects changing consumer behaviour around functionality, innovation and ease of use,” he said.
Raj Cooling Systems plans to invest around 10 million dollars in developing the brand, with an additional 5 million dollars earmarked over the next three to five years for product development and distribution expansion.
Agreyas will follow a multi channel distribution approach, selling through online platforms, retail outlets and dealer networks aimed at both urban and semi urban markets across India.
With the launch, the company is positioning Agreyas as a standalone consumer facing brand while continuing to leverage its existing manufacturing, engineering and research capabilities built through its core cooling solutions business.
