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Tag: Godrej Group

  • Conceptualised by Creative Land Asia, the film is an ode to all the mothers

    Godrej highlights what it takes #toraiseachild

    By A Correspondent

     

    Godrej Group released a video on eve of Mother’s Day showing what it takes #toraiseachild. Conceptualised by Creative Land Asia, the film is an ode to all the mothers that don multiple hats throughout their professional and personal life and yet continue to play their role as a mother with such ease.

     

    Commenting on this, Tanya Dubash, Executive Director and Chief Brand officer, Godrej Group says, “At Godrej, we have always been extremely committed to creating an inclusive culture. Ensuring the most progressive and inclusive parental policies has always been a priority for us. This film allows us to celebrate every mother as they not just raise a child but our future.”

     

    Added Sajan Raj Kurup Founder and Creative Chairman, Creativeland Asia: ““The policies at the Godrej group are both so empowering and supportive for a parent that the film wrote itself effortlessly. As always it is a pleasure to be the creative partners who are tasked with the responsibility to bring it out with an expression that does as much justice.”

     

     

  • … of critically ill under-privileged children in the areas of heart, cancer & thalassaemia, conducted by the Genesis Foundation (text+video)

    CEOs sing a song in support…

     

    Genesis Foundation held the second edition of its one-of-a-kind fundraiser – 40 CEOs Sing for GF Kids, in Mumbai last Saturday. Business leaders from Delhi, Mumbai and Bengaluru came together once again to compete as teams, singing old, new, Hindi and English songs, to support the treatment of critically ill under-privileged children in the areas of heart, cancer and thalassaemia.

     

    The Delhi team, comprising CEOs from Jubilant Foodworks, SAP, iBus Network, Global Access Learning Solutions, Cargill India, Napino Auto and Electronics, Modern Foods and McKinsey were announced winners. The performances were evaluated by Zila Khan, Indian Sufi and classical singer, Lesle Lewis, Indian and Western fusion singer, and Ashish Manchanda, accomplisthed mixing and recording engineer, remixer and music producer.

     

    Speaking at the event, Prema Sagar, Founder Trustee, Genesis Foundation expressed her gratitude and delight, “A delightful event with every person giving their time, effort and best wishes to support critically ill children. What more can one ask for! Just like last year, I am amazed at the commitment that our CEO supporters have for the cause to come all the way from different parts of India to participate in this event. It has been an incredible year for us and I want to express our heartfelt gratitude to each person associated with not just tonight’s event but with the Foundation in any big or small way. The task at hand is huge, but our supporters give us the reassurance that it’s not impossible.”

     

    In keeping with the Genesis Foundation’s core to build a participatory culture of giving, musically inclined CEOs come together each year to raise funds for the critically ill and underprivileged children. “Over the years, the CEOs Sing events have created a community of supporters who don’t just give their time to participate in the singing events, like tonight’s 40 CEOs Sing For GF Kids, but with their influence, they also inspire their colleagues and other people to give their support to the cause of Genesis Foundation,” said Jyoti Sagar, Founder Trustee, Genesis Foundation.

     

    We spoke with the Sagars and three industry captains.

     

    Prema Sagar, Founder Trustee, Genesis Foundation

    How has the journey of Genesis Foundation been so far?

    The journey has been quite long actually. Started working with children in orphanages and then it became about thalassaemia, cancer and heart and so we started expanding and it has expanded right across the country mostly, so it has gone particularly to the South, the West and the North.

     

    Having 40 CEOs singing for a cause

    The reason why we got into music is because we wanted the children to survive and be happy and not be serious about fund raising. A lot of CEOs are bathroom singers or dinner singers so we thought why not get them on the stage. This has been going on for a few years and its been exciting not only for them but for us as well. We all become like one family because we all know each other and we get together even when we are not doing an event.

     

    Dia Mirza’s association with the Foundation

    Dia is a wonderful wonderful wonderful person whether it is about environment or about children she really believes in it and so you know that what she is giving to the foundation is also fantastic for everybody else and so I don’t want somebody who is just a brand but somebody who is really part of it and that is what Dia is all about.

     

    Jyoti Sagar, Founder Trustee, Genesis Foundation

    The Genesis Foundation journey so far?

    First of all, a bit of what Genesis Foundation does is we provide or facilitate critical medical assistance to orphans and to children from underprivileged sections of the society which we define as families whose monthly income is Rs.10000 or less and there are three areas in which we work – heart, cancer and thalassaemia major. In the last six to seven years we have been much more active. So, the journey has been amazing. This September we crossed a milestone of 1000 children lives being saved and it’s been fantastic.

     

    CEOs participation in the fundraising event.

    We have used music as medium to reach out to our supporters at large and even for fund raising and the corporate engagement in that has been quite interesting because we discovered that there were many CEOs who are very talented in music. So it turned out to be a very wonderful combination because we ended up providing this platform for CEOs to come out of the closet, so to say and to come out and perform for a very good cause. We have been doing in cities individually in Gurgaon, Delhi, Bangalore and Mumbai. The CEOs sing event for last six years now and last year we started with this idea of getting teams from banalise, Mumbai and Delhi to perform together. This one is our second edition of the 40 CEOs sing for genesis foundation.

     

    How was the response about CEOs for singing for this cause ?

    All the CEOs that you see here perform today are very kind-hearted and generous people and they are very happy to give their time. In the beginning of course when we started the process there was reluctance not that they didn’t want to do it but the typical reluctance that you have for doing something different but these people are very very willing participants and very generous supporters. We are here in Mumbai and we have CEOs who have come all the way from Bangalore, who have come all the way from Delhi and Gurgaon and these people have not only given their time but have flown here, they are going to stay here overnight and go back tomorrow on a weekend. For us, its just their commitment and their generosity which really matters and its very gratifying to see all these people give so much time for the cause of the foundation.

     

    Geetu Verma, Executive Director Foods & Refreshments, Hindustan Unilever

    Association with Genesis Foundation:

    I have actually lost count of the number of years I have been associated with Genesis. I think ever since Genesis started this particular event I have been associated with Genesis and I feel fiercely proud about the association. I think it’s a symbiotic association and I think it’s an incredible way how Prema and the Genesis team have brought passion at one level along with purpose together in such a sweet spot and in a wonderful way.

     

    How much time do you give to social causes?

    There are two causes very close to my heart, one cause is to do with women and having more women in the workplace and thats something that I advocate and promote a lot in the course of my work and wherever I get opportunities outside my workplace as well. The second cause is children, there are two causes that I support, one is Genesis Foundation for kids and the other one is St. Jude child centres. Both of these are really for giving life to children and I think it works quite seamlessly. I give whatever time I can give, sometimes have spells which are extremely busy and sometimes it’s a bit leaner but irrespective I think whatever I am able to do it gives me a lot of satisfaction.

     

    How was the experience of singing and your view on the need to unwind?

    I think everybody needs to have some creative outlet. You could be a painter, you could be a singer, you could play an instrument and I think it’s the best way to destress. I have had days which have been extremely tuff but when you come back in the evening and you switch on your own, whether its Kishor Kumar music or Sinatra and you can just sit back and chill you get transported to a different world. I love music. Music is god, music is life for me. So having opportunities like these are not something that I would ever pass out.

     

    Shireesh Joshi, COO, Strategic Marketing, Godrej Group

    Association with Genesis Foundation:

    I have been associated with Genesis Foundation and their CEO event right from the time they started back in Gurgaon in 2010. I have had the honour and pleasure of being with them in Delhi events, in Mumbai events, in Bangalore events and its been awesome trying to give back to the cause and the support through music which is my first love as well. So it’s the best of everything. A chance to give and a chance to have great fun in music with friends you love being with.

     

    How much time do you give to social causes?

    Well I have not kept count and most of the ones that I have done have of course been with Genesis and there have been quite a few over the years. So six years and counting. So yeah, I have done quite a few with them and I have managed to do a few others as well.

     

    How was the experience of singing and your view on the need to unwind?

    Many CEOs that I know have some hobby or the other. A lot of them have singing as a hobby but others have other things to do. Some paint, some write, I know people who publish books quite a bit. So people manage to do everything they love with passion no matter what or how responsible position they are in and I think if you do that it makes you do best for both. You get to be a better writer, musician or a sportsperson and you get to be a better geo because you are able to express yourself much better.

     

    Sanjiv Sarin, Managing Director & CEO, Tata Coffee

    Association with Genesis Foundation:

    I first got introduced with them because of what they have put together which I think is an awesome platform. Everybody has a brilliant time and yet is going for a good cause and over a period of time  I have seen the kind of work they are doing. I think its moved from entertainment to really appreciate and understand the depth of work that genesis has been doing.

     

    How much time do you give to social causes?

    I am actually pretty deeply involved with the Art of Living foundation. I am a corporate teacher with them and I am also involved with social projects. So it’s not that it’s only genesis foundation. Genesis is contributing of my time to somebody who is doing all this but I do tend to spend as much time as I can juggling work life and putting back to society.

     

    How was the experience of singing and your view on the need to unwind?

    I think it’s exceedingly important. One is besides the work that genesis is doing, each of the CEOs here for one day believes they can become a rockstar which I think is awesome and having been through a little bit of training and getting ready for this entire thing just shuts you off and puts you in a creative space which I think is absolutely critical for anybody right now.

     

  • FMCG revival only in Nielsen data, say CEOS of some majors

    Achche or Burre Din for FMCGs?

     

    By Sagar Malviya & Ratna Bhushan

     

    Chief Executive Officers of FMCG companies and market research firm are at loggerheads yet again, this time over what is an accurate measure of current growth in consumption.

     

    Nielsen data suggests the industry is experiencing a strong revival now, compared to last year which witnessed the slowest growth in a decade. It estimates that FMCG sales grew 11.8% in the first nine months of this calendar year compared to the 6.8% growth the industry experienced during the same months of 2014.

     

    But CEOs of FMCG companies dismiss these estimates as faulty. The market researcher is overestimating growth and is not capturing pricecuts accurately, they argue. “There are no signs of improvement and the market is not supporting demand revival,” said Sunil Duggal, CEO of Dabur.

     

    “We are well into the festive season and two weeks away from Diwali, but there’s no visible uptick in consumption. The outlook continues to look challenging,” he added.

     

    “Our sense is that demand revival is still a few quarters away,” the chairman of another leading foods maker said. “Nielsen is over reporting growth.”

     

    Dabur on Wednesday, reported a 5% domestic volume growth during the quarter ended September, but managed an 18.7% increase in consolidated net profit to Rs 341 crore.

     

    During the same period, HUL, Dabur and Jyothy Laboratories all reported sales growth that was substantially lower than the previous year. Godrej Consumer Products, with a slight improvement in revenue growth, was the only exception. Other companies are yet to announce their last quarter results.

     

    Sanjiv Mehta

    A fortnight ago, HUL’s CEO Sanjiv Mehta had said that Nielsen has failed to capture sales trend accurately for a year now. It is still showing price inflation when most companies are taking price cuts to post higher volume growth, not value growth, he had argued.

     

    Nielsen though is singing a different tune. “2015 has seen revival of conspicuous consumption. Positive macro environment, lower inflation and consumer confidence is leading to improved consumption across all key FMCG categories,” Vijay Udasi, senior VP, Nielsen India said. Nielsen said price growth rose 3.9% during last nine months ended September compared to 4.7% last year. However, companies including HUL, Procter & Gamble and Nestle have all taken average 10% price-cuts on most products from detergents and shampoo to dairy after commodity (crude oil and LAB) prices declined by 20- 50%. This, in turn, boosted growth for companies such as HUL and Godrej Consumers that saw last quarter performance entirely driven by volume growth.

     

    Consumer goods companies and Nielsen have had a love-hate relationship since more than five years, after HUL first disputed its data in 2009 when Nielsen contradicted the consumer product maker’s internal estimates as well as data from other research firms. Yet, most companies use their data regularly during presentations, especially when it shows an increased market share for their brands.

     

    But some are hopeful. “We remain optimistic that as the economy improves, the FMCG sector should see a gradual uptick in demand,” said Adi Godrej, chairman, Godrej Group, after reporting 9% increase in sales for the domestic market. The growth was entirely volume-led.

     

    Stockmarket analysts are enthused by growing sales, but they are trimming their profit estimates due to price-cuts. Still, the MSCI India Consumer Staples Index is currently trading at a 12-month forward price-to-earning ratio of 32.5x, a.29% premium to its 10 year average.

     

    “Despite sturdy commodity tailwind benefits, the sector’s margin expansion has not been striking. These elevated valuations warrant our cautious stance,” said Nitin Mathur, an analyst at French financial services firm Societe Generale.

     

    Source:The Economic Times

    Copyright © 2015, Bennett, Coleman & Co. Ltd. All Rights Reserved

    Licensed to republish

     

  • The responsibilities involve enhancing the Godrej Group’s corporate reputation and PR across its business entities

    Godrej Group moves PR mandate to Adfactors

    By A Correspondent

     

    The USD 4.5 billion Godrej Group has awarded its public relations mandate to Adfactors PR through a multi-consultancy pitch process.

     

    The responsibilities involve enhancing the Godrej Group’s corporate reputation and PR across  its business entities namely, Godrej Industries Limited, Godrej Consumer Products Limited, Godrej Properties Limited, Godrej Nature’s Basket, Godrej Appliances, Godrej Agrovet, Godrej Locking Solutions and Systems, Godrej Security Solutions, Godrej Interio and all the B2B SBU’s under Godrej and Boyce.

     

    Tanya Dubash, Chief Brand Officer, Godrej Group, said, “This is an important milestone in our communications journey. In line with our 2020 vision, we have laid down a significant foundation for growth across our businesses. I firmly believe PR and communications have a critical role to play in shaping an appropriate stakeholder perception that is conducive for us to achieve our business objectives. Adfactors PR’s ability to service large conglomerates, research orientation and diverse capabilities within the PR field was noteworthy and I look forward to some brilliant work together, going forward.”

     

    Sujit Patil, Vice President and Head Corporate Communications, Godrej Industries Limited and Associate Companies said, “Adfactors PR was selected through a robust multi-level, multi-consultancy pitch involving seven large firms. The selection panel drawn from across the Godrej businesses appreciated the firm’s understanding of our Group’s corporate reputation and PR needs. On the operations front, we were particularly impressed with the innovative servicing team structure recommended by Adfactors PR that includes specialists in account planning, research, analytics, as well as a national media relations coordinator. I feel this will ensure that our PR is more strategic and impactful.”

     

    Madan Bahal, Co-founder and Managing Director of Adfactors PR, said, “It is our privilege to work with a highly respected Indian conglomerate such as Godrej. Through its diverse offerings, the Group touches the lives of 600 million Indians every day and thereby presents unique communication opportunities. We are confident that we will deliver on the trust placed in us.”

     

    About Godrej Group

    Established in 1897, the Godrej Group has its roots in India’s Swadeshi movement. Our founder, Ardeshir Godrej, lawyer-turned-serial entrepreneur failed with a few businesses, before he struck gold with the locks business that you know today.  One of India’s most trusted brands, with revenues close to USD 4.5 billion, Godrej enjoys the patronage of over 600 million Indians across our consumer goods, real estate, appliances, agri and many other businesses. You think of Godrej as such an integral part of India that you may be surprised to know that over 25 per cent of our business is done overseas.

     

    We promise Godrejites a culture of tough love; take serious bets on them and differentiate basis performance. We also understand that our team members play multi-faceted roles and so, we strongly encourage them to explore their whole selves. Our canvas is growing. In fact, our Vision for 2020 is to be 10 times the size we were in 2010. We truly believe that while our amazing past distinguishes us, we are only as good as what we do next.

     

    About Adfactors

    Adfactors PR is India’s largest public relations firm. With a staff of over 500 professionals in four Asian countries, the firm serves more than 280 retained clients, including some of the largest corporations and financial institutions – both Indian and multinational.

     

    The firm has several market-leading practices such as corporate reputation, capital market communications, and issues and crisis. With 18 offices, Adfactors PR has the largest network of owned offices in India.

     

    It is a member of PROI Worldwide, the largest global partnership of independent public relations firms.

     

    For further information, please contact:

    Sujit Patil / Deepti Shetty

    Godrej Industries Limited and Associate Companies                                                    

    Mob: +91- 9930654976 / +91-9819836003

    Email: sujit.patil@godrejinds.com / Deepti.shetty@godrejinds.com

     

    Aditya Chatterjee

    Adfactors PR

    Mob: +91-9167008700

    Email: aditya.chatterjee@adfactorspr.com

     

  • Launches FreeG; India's first non-web based mobile browsing experience

    Godrej undertakes consumer connect initiative – Masterbrand 2.0

    By A Correspondent

     

    The Godrej Group has embarked on ‘Masterbrand 2.0’, a consumer connect initiative, aimed at providing ideas that make life brighter. As part of this initiative, the company also launched ‘FreeG’: India’s first non-web based mobile browsing experience.

     

    Celebrated for offering innovative brighter living ideas for over 100 years, Godrej reiterates its commitment of creating pathbreaking products with the launch of Masterbrand phase 2.0. The campaign showcases a slew of innovative products offered by Godrej to delight its customers. From a new age bed enabled with electronic hydraulics, a video door phone allowing continuous surveillance of two entrances of home with storing capacity of upto 100 photographs, state of the art properties, effective mosquito repellent solutions to authentic street food experience at home, these products were showcased through a series of eight television commercials that were aired on prime national channels from November 14vonwards. The commercials continue to feature Sam and Meera, the protagonists from the 2013 Masterbrand campaign.

     

    Tanya Dubash

    Speaking at the launch, Tanya Dubash, Executive Director and Chief Brand Officer, Godrej Group stated, “In this next phase of the Godrej Masterbrand journey, we continue to showcase designful and innovative products with ideas that truly make our consumers’ lives brighter, from across our diverse set of businesses. We believe that when seen collectively, this leads to a reassessment of the image of brand Godrej which in turn leads to greater consideration and sales.”

     

    In a breakthrough move, Godrej also launched, on this occasion, a first of its kind customer interface, ‘FreeG’-India’s first non-web based mobile browsing experience. FreeG is an innovative consumer interface, in the form of a mobile number- 09980899808, that allows every mobile user in the country the opportunity to experience the entire portfolio of Godrej offerings completely free of cost. It has a potential reach of 866 million consumers and is the Group’s vision of a long-term property that will straddle across all Godrej brands.

     

    Taking this forward, the launch of Masterbrand will be followed by various interactive consumer initiatives that will further communicate the idea of brighter living. With an effort to bring these ideas closer to their patrons, Godrej will also launch a number of digital films. A unique initiative in the pipeline is ‘Tweet a Tune’- a pioneering consumer engagement initiative that will witness the group in partnership with professional musicians on the song dew platform create songs inspired by tweets posted by Godrej patrons. And this is not it! Known to create brighter living offerings for not just India but across the world, Godrej leaves no stone unturned in connecting with their patrons as they attribute the songs to each patron and thereafter dedicate the same across multiple media platforms like radio and social media.

     

    Commenting on the Masterbrand 2.0 campaign strategy and the new customer interface system, Shireesh Joshi, Head-Strategic Marketing, Godrej Group said, “The next leg of our iconic Masterbrand 2.0 campaign has taken a giant leap. We are proud to showcase an entirely new set of Godrej’s ideas that make life brighter. Creatively our new campaign with Sam and Meera strikes fresh ground – insightful products in charming stories with characters that feel real; so real that they have their own social pages. And as an execution this campaign leaves behind 360 marketing to a level of cross media seamless-ness never seen before. The awareness to purchase journey is now a smooth experience that’s as rewarding as the products.”

    “The campaign revolves around a young modern couple who discover a new idea from Godrej and a new aspect to their relationship. This is a sequel to celebrating ideas that make life better that made its debut last year. The Godrej products are interwoven in this very charming episodic campaign that showcases young couples in India who are home proud, gadget proud and relationship proud. Godrej ka naya idea is the bedrock of each film where viewers discover the simplicity and joy of owning a Godrej”, says Tista Sen, National Creative Director, JWT India.

    “Driving an image that is contemporary, friendly, relevant and young this campaign re-positions the brand to a friend you cannot do without. Supported on digital and online with twitter and Facebook this seamless communication celebrates the innovation at the heart of each Godrej product and thereby celebrates life”, she adds.

  • Godrej in association with Talenthouse invites aspiring artist to design the new logo for innovation

    Godrej rolls out innovation-led contest with Talenthouse

    By a correspondent

     

    Godrej in association with SEA’s leading creative crowdsourcing platform, Talenthouse India, has recreated the magic of innovative thinking via ‘Symbol Of Innovation’ contest. The contest invites designers, artists, students and anyone with a flair for design to come up with a logo or symbol that represents innovation. The key challenge would be to intuitively convey innovation and should be universally applicable on all mediums including print, on-product stickers, television, digital platforms etc. The last date for entry is July 08 while the winners will be announced on July 31, 2014.

     

    The winner will receive a grand prize of Rs Rs 1 lakh and an exposure for their entry across the host’s social media channels. The winner will also get an opportunity to be featured on future communication by Godrej on multiple mediums.

     

    Announcing the collaboration, Shireesh Joshi, Head-Strategic Marketing, Godrej Group said, “Continuing with our commitment to foresee and develop innovation in sync to our masterbrand campaign – Ideas that makes life brighter, we have introduced this campaign to provide a unique platform to promote, showcase and cultivate innovative thinking. It’s also a good opportunity to create recognition of the unique and innovative ideas behind our products that make life brighter for our consumers.”

     

    Elaborating on this association, Arun Mehra, CEO, Talenthouse India said, “Talenthouse is fast becoming a prominent platform that collaborates with leading brands to ensure maximum consumer engagement. We are very happy with our association with Godrej and are certain that this initiative will generate a lot of interest from participants. Brands need to be a part of the consumer’s mind space rather than just plugged from the outside and this innovative initiative is reaching its consumers in a creative way.”

     

  • Moving away from product-specific brand ambassadors, Godrej has roped in Aamir Khan for its overall brand image.How well will this work?

    Master marketer AK is Godrej’s new mascot

     

    By Johnson Napier

     

    If you thought actor Hrithik Roshan was the only superstar or that current favourite Virat Kohli was the sportsperson of choice to drive growth for the products that they endorse under the Godrej portfolio, you may be mistaken. While their immense contribution in driving sales and popularity cannot be doubted, Godrej has turned to master-marketer Aamir Khan to clinch the deal for them.

     

    ‘A perfect opportunity to get width and scale for brand Godrej’
     

    The next few days will be aspirational for Shireesh Mukund Joshi, Head – Strategic Marketing, Godrej Group, as his organisation engages in an eight-part brand promotion exercise in the Indian marketplace. With Aamir Khan as its celeb-of-choice, the integrated campaign of ‘Ideas that makes life brighter‘ will focus on enhancing brand Godrej’s emotive appeal by showcasing the breadth of fresh ideas from within the group to its consumers.

     

    Excerpts from an interview with Mr Joshi on the occasion of the launch…

     

    In challenging times such as these, brands would usually go in for an all-out promotional exercise if they are engaging in repositioning or if they want to give falling numbers a fillip. What made you opt for an overall brand-Godrej promotional exercise at this juncture?

    It’s been some time since we last came out with a communication around all of our brands. If you observe, during this period we’ve achieved and done quite a lot in terms of new product launches, promotional campaigns etc. Also if you see each of the brands talk to a specific set of audiences but no one has managed to see all of them in a single piece of communication. This will be a perfect opportunity for us to get width and scale for brand Godrej. Since we have managed to accumulate a lot of products under our portfolio to showcase to the consumers, we felt the time was right to come up with a communication campaign of this scale.

     

    The emphasis for most brands in recent times has been around marketing and reaching out to the youth in a big way. How is the story same or different for brand Godrej?

    Where Godrej is concerned, it is a youth-also brand rather than just youth-only. We have products that are built for homes and diverse set of audiences. The products of today have to be designed keeping the various needs of the overall audiences in mind whether it is the youth or other audience categories. As the needs of consumers keep evolving so do our products that need to undergo a shift in terms of adjusting to the needs of the audiences.

     

    Why didn’t you stick with current favourite Virat Kohli or the dependable Hrithik Roshan to espouse the larger cause for brand Godrej? Why rope in a new celebrity?

    Both Virat Kohli and Hrithik Roshan have been used for pushing further the cause of Cinthol in the Indian marketplace. Where Aamir Khan is concerned, he will be seen endorsing brand Godrej in its entirety. So wherever there is a connect with brand Godrej we’ve set up a communication that will feature Aamir Khan as the ambassador. It is not about a particular product but is rather about endorsing common set of values across our entire product portfolio. Aamir, we thought, was the perfect fit to drive our objective in the current brand communication context.

     

    You’ve stuck with JWT to drive the creative thought process for this large exercise too…

    The entire communication has been handled effectively by JWT and we are happy with the way the range of commercials have been drafted for presentation in the coming few days.

     

    Were you looking at IPL as the platform to share the core brand objective exclusively with? Will you be pledging maximum revenues on IPL 6?

    I cannot reveal what the estimated spend is for the IPL this year but it will suffice to say that it is well balanced.

     

    What is the spike you’re expecting in volume sales or the bottomline revenue for the group from this activity?

    This is not a product or specific campaign launch. It’s a campaign that celebrates brand Godrej in India. Over a period of time as more people become aware of more products from Godrej then we will rise in consideration set. It’s a much more longer term infusion of values of the brand rather than concentrating in immediate spike in sales or revenue. We will be able to gauge the impact on sales and revenue only later.

     

    And it’s not just a division or two – the ace actor has been roped in by Godrej to endorse the overall group in India. The move follows the company’s strategy over the last five years, where the group has built on its promise towards a brighter living by creating a slew of innovative ideas. Continuing with its next phase of journey, the new integrated campaign - Ideas that make life brighter – will be focused on enhancing the brand’s emotive appeal by showcasing the breadth of fresh ideas from within the group to its consumers.

     

    While company spokespersons preferred to withhold information on the cost of getting Aamir to endorse for the group, the overall cost for the eight-part television promotional activity is being pegged in upwards of Rs 50 crore. Creative hotshop JWT has been the force behind the new commercials featuring Aamir Khan.

     

    The categories to be featured as part of the promotional activities include Appliances, Interiors, GCPL, GPL & Security Solutions.

     

    Tanya Dubash, Executive Director and Chief Brand Officer, Godrej Group, explained the AK rationale: “Over the last five years we have walked on the exciting journey of managing the Godrej brand as an invaluable strategic asset. This journey has been marked by the creation of a more contemporary entity that has created an even stronger connect with the 500 million Indians who use a Godrej product or service every day.”

     

    The new integrated campaign, ‘Ideas that make life brighter’, aims to communicate the ethos of brand Godrej to the consumers, she added. “It is our belief that this campaign will harness the strength of the masterbrand through leveraging the diverse innovations across the group and presenting them in a very engaging manner.”

     

    While such activities are a result of some repositioning exercise that brands use to boost falling sales numbers, for Godrej it is about showcasing all its products under the Godrej umbrella to enable it to attain width and scale. Shireesh Mukund Joshi, Head – Strategic Marketing, Godrej Group said, “It’s been some time since we last came out with a communication around all of our brands. If you observe, during the recent past we’ve achieved and done quite a lot in terms of new product launches, promotional campaigns etc. Also, each of the brands talk to a specific set of audiences but no one has managed to see all of them in a single piece of communication. This will be a perfect opportunity for us to get width and scale for brand Godrej.”

     

    Since the group has a lot of products under its portfolio to showcase to consumers, the time was right to come up with a communication campaign of this scale, Mr Joshi said. On the decision to get Aamir Khan over the other bunch of superstars including current ambassadors Hrithik Roshan or Virat Kohli, he said, “It is not about a particular product but is rather about endorsing a common set of values across our entire product portfolio. Aamir, we thought, was the perfect fit to drive our objective in the current brand communication context.”

     

    On the impact that such an activity will have on the overall revenue growth for the group, Mr Joshi said, “We have to realise that this is a campaign that celebrates brand Godrej in India. Over a period of time as more people become aware of more products from Godrej then we will rise in consideration set. It’s a longer-term infusion of values of the brand rather than focusing on immediate spike in sales or revenue. We will be able to gauge the impact on sales and revenue only later.”

     

    Given the timing of its launch, it is obvious that the group will look at the IPL as the platform to go big with their promotional activities. Without getting into specifics, Joshi said that it would suffice to state that the spend for the IPL has been “well-balanced”.

     

    For now, it is time for the action to move to the small screen as consumers will take a call on whether Aamir Khan does justice to the brand.

     

  • Seven listed domestic companies, which control over 70 per cent of the FMCG market, have posted an average value sales growth of 19.28 per cent in the first quarter of fiscal 2013

    FMCG biggies HUL, Godrej, Dabur report higher sales growth numbers than estimated by Nielsen

    By Sagar Malviya & Ratna Bhushan

     

    Market research firm Nielsen and India’s consumer goods companies are in sharp disagreement over growth rates in the sector. In the April-June quarter of 2012, sales growth in value terms of some of India’s biggest fast-moving consumer goods companies is higher than Nielsen’s growth estimate for the overall FMCG market, raising concerns over the world’s largest research firm’s accuracy in India.

     

    Seven listed domestic companies, which control over 70 per cent of the FMCG market, have posted an average value sales growth of 19.28 per cent in the first quarter of fiscal 2013. A Nielsen spokesperson says their figure for this period is 17.6 per cent. Even in categories such as soaps, juices, oral care and hair oils, leading players, which contribute between 60 per cent and 75 per cent to each segment, have posted much higher volume growth than what Nielsen’s data suggests. When contacted, Nielsen did not validate the numbers that ET has obtained from the research firm’s FMCG clients.

     

    For instance, Godrej Consumer Products Ltd saw a 24 per cent spurt in soap volumes even as Nielsen estimates growth for the overall segment at a sombre 5 per cent in the April-June quarter. “There is a bit of under-reporting by Nielsen. The issue lies with its statistical method,” said Adi Godrej, chairman of Godrej Group.

     

    “We generally use Nielsen’s data for market share as there isn’t any other option for us. However, for category growth, we rely on our sales numbers and listed companies’ performance,” said Vineet Agrawal, president at Wipro Consumer Care & Lighting, which saw a 15 per cent jump in volume growth in soaps in the first quarter of the fiscal year.

     

    It’s a similar story in toothpastes, a category that grew 9 per cent in volumes according to Nielsen; however, this doesn’t tally with internal sales data of Colgate and Hindustan Unilever Ltd (HUL), which together command roughly 80 per cent of the market. Colgate saw a 13 per cent rise in volume growth. For HUL also it was higher, said CFO R Sridhar at a recent financial results’ presentation.

     

    In packaged juices, Nielsen says the category grew 18-19 per cent in the April-June quarter in value terms and that Dabur grew 24 per cent. But Dabur’s quarterly sales numbers show its juice business grew 34 per cent. Dabur leads the packaged juices market with the Real brand, which accounts for more than half of all juices sold.

     

    Dabur CEO Sunil Duggal said: “Our quarterly growth numbers are generally ahead of what Nielsen reports. So we prefer to study Nielsen numbers as a longer-term trend – over a 12-month period – because that evens out errors.”

     

    Nielsen counters that the retail audit cannot be compared with sales numbers that companies report. A Nielsen spokesperson said: “The retail audit is focused on sales offtake through a sample of retail stores that tracks sales to the end consumer. It is technically incorrect to compare it to the financial results of companies, which report sales to distribution channels.” The research firm also said sales reported by companies may include those beyond retail stores from institutions such as army canteens, restaurants and transport hubs, which are outside the scope of its retail audit.

     

    An FMCG analyst points out on condition of anonymity that ignoring the Canteen Services Department (CSD), which caters to the Indian defence services, may be one explanation for the discrepancies.

     

    After all, CSD can easily qualify as India’s largest retailer with some 3,500 outlets across the country. Nielsen is no stranger to controversy on the market share front. In May 2009, HUL disputed the researcher’s data that showed a steady fall in the company’s market share across segments, saying it contradicted internal estimates as well as data from household research firm IMRB. The issue snowballed into a crisis when Dabur, Godrej and Marico echoed similar doubts over Nielsen data. Dabur and Perfetti Van Melle even went so far as to cancel Nielsen’s subscriptions in categories such as hair oils, juices, candies and confectionery.

     

    A year ago, Unilever CEO Paul Polman questioned the accuracy of Nielsen’s data for India, underlining that the country’s largest consumer product maker was still unhappy with the market researcher two years after first raising the issue. “I know you all like to write about it. But they (Nielsen) are not very accurate with what their numbers are,” Mr Polman had said while commenting on the performance of Unilever’s Indian arm.

     

    Nielsen has increased its sampling size to 22,000 outlets from 16,000 over the past three years, included more modern trade outlets and uncovered channels in rural markets, prompting some companies to be optimistic about the research firm’s data. “We are worried, but the fact remains that at least it is not deteriorating. They have been changing panels and we have to pick up points where there are issues and work with them on it,” said Saugata Gupta, CEO of Marico, which saw its hair oil business grow over 15 per cent in volumes while Nielsen’s data shows a growth of 4.7 per cent for the category.

     

    Also, companies are now slightly at ease after Nielsen decided not to share data with market analysts and investors who depend on the data to track the performance of consumer product companies and rate the stock accordingly. “While we are glad that analysts can’t access the data easily, even we have stopped taking the research seriously and rely on it just for trends. Nielsen’s numbers is not a bible to us,” said a CEO of a leading homegrown consumer firm who didn’t wish to be identified.

     

    Source: The Economic Times

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