Brands
Heineken’s challenge of advertising a product like beer
MUMBAI: Most brands can easily take up any form of promotion when it comes to advertising themselves. But some brands have the hard task of not being allowed to advertise at all. What does one do then? That is exactly what Heineken global director of integrated marketing communication Anuraag Trikha spoke about on day one of Zee Melt – ‘Beer marketing in the digital world’.
Trisha kicked off the session by pointing out the dilemma that global beer brands face, which is, to make sense of digital in selling something that you can buy at every corner of the country – beer. He noted that it is an interesting dilemma as the world is not 100 per cent digital or 100 per cent traditional and is rather a mix of both and that’s why it is complicated.
He defined his dilemma in terms of scale and relevance. “Digital is nothing but relevance because relevance is in your hands, it’s the phone you carry. What’s digital to me is how relevant are you on digital. And then comes the middle ground which is a mix of scale and relevance,” he said.
He also went on to say that he really admires music company Spotify and would quit his job at Heineken for Spotify if they offer him a job. That is solely because the music company really understands how to take big data (scale) and make it super relevant for consumers in their playlist, and that is the future of marketing where you can do relevance with scale.
He also mentioned that brands should not dismiss the power of idea, emotion and knowing their consumer while they do all their “cool” stuff and should instead balance both sides. No matter what they do, consumers should be at the heart of everything. He then went on to showcase Heineken’s case study for UEFA champions league where its major challenge was to connect with consumers who were not watching football at all or watch football at home.
Heineken’s mission for 2017 UEFA league was to inspire consumers to watch the league with friends and a few Heinekens. The problem is that 72 per cent consumers usually watch the match at home alone which is a big disadvantage for the brand as it dwells on being a social drink. Also, 64 per cent of Champions League matches is usually watched outside Europe which means people are watching the match in different time zones and they may not be in a mood to have a glass of beer at 4 am in the morning or at 3 pm in the afternoon.
Marketers around the world across all genres have to consider these variables to become the most distinctive brand, according to Trikha.
To change the scenario of drinking beer culture in Europe, Heineken got on board football coach Jose Mourinho, this time not to prep talk the footballers but rather the fans of the game.
Although 50 per cent of Heineken’s ad spend is on television, digital is extremely important for the company as it allows to connect with the audience on a one-to-one basis. It looks at every social asset and wants to leverage social, digital and all available mediums to talk to the consumer and will increase the adverting spends considerably. He also mentioned that the brand will never report to surrogate advertising and would rather prefer not adverting at all in media dark areas than going surrogate.
Brands
Jubilant FoodWorks faces Rs 47.5 crore GST demand, plans appeal
Tax authorities flag alleged misclassification of restaurant services
MUMBAI: 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.
