MAM
Sony India to up marketing spend by 25% to Rs 4.5 bn in FY’13
MUMBAI: Despite the difficult economic environment and high inflation, Japanese consumer electronics company Sony India plans to up its marketing spend by 25 per cent to Rs 4.5 billion as it aims at 30 per cent growth in sales.
The company‘s marketing spend in the previous fiscal was Rs 3.6 billion. Sales stood at Rs 63.13 billion, up from Rs 54.46 billion in the trailing fiscal.
All the brand campaigns in the previous fiscal were supported with above-the-line and below-the-line activities, including print and television commercial, Web, PR, cinema and shop-front. This fiscal Sony plans to pump up the investment, which will be in sync with the business growth.
Its brand campaigns for Cyber-shot with brand ambassador Deepika Padukone and Handycam are currently on-air. They started from last week of April and will be visible till end of May. A Vaio campaign with brand ambassador Kareena Kapoor is expected to hit next month followed by Bravia campaign in August.
The company says that it has a favourable presence over the digital domain as well and the site sony.co.in is a ready reckoner for product information, retail outlets and help guide and tutorials for product usage. It says that the site got about 30 million visits in the previous fiscal.
Sony’s Facebook page has more than 650,000 fans and over 500,000 channel views on YouTube.
The consumer electronics company also plans to enhance the existing distribution network from 10,400 to 12,200. It will also boost after-sales service with 285 service touch points across India. As per latest GFK Research Findings, Bravia is the top selling brand in all screen sizes right from 22/26 inch up to 46/55 inch.
As a matter of fact, Sony Bravia Internet TV has been the favourite in India, garnering a market share of 53 per cent of Internet TV (with Browser) sales in CY11. In the fiscal ended 31 March 2011, Sony had sold 830,000 Bravia TVs, which went up to 900,000 units by end of the previous fiscal.
The company claimed that Sony has been ranked as the number one brand that comes to consumer’s mind, when prompted with the word ‘General Electronics’, as per a Customer Equity Tracking Study done by Nielsen in March.
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.
