Comments
Fast-Moving Consumer Goods (FMCG) major Godrej Consumer Products Ltd (GPCL) has ramped up its advertising spend for Raymond’s FMCG business.
The company’s half-year advertisement spend for FY23-24 was up 41.44 per cent year-on-year at Rs 686.33 crore, compared to Rs 485.25 in the same period of FY23. Further, the advertisement spends in Q2FY24 are up 28.91 per cent year-on-year at Rs 365.94 crore.
Godrej Consumer acquired Raymond Consumer Care (RCCL) in April for ₹2,825 crore. The FMCG business includes brands such as Park Avenue Deo, KS Deo, Kamasutra, and Premium, which were sold in a slump sale, while Raymond demerged its lifestyle business and merged it with RCCL.
“We do not report brand-wise investment, but in the brands (Kamasutra and Park Avenue deodorants) we are already on air and at very competitive levels within the category. As it is a low per-capita consumption category, there is a lot of scope for growth. We have long-term market development goals for the products,” said Ashwin Moorthy, CMO, India, GCPL to businessline.
GPCL has also enhanced its investment in the brands to expand its market share in the deodorant segment.
“Consumption of deodorants in India is low, and the faster the category grows, more all the players will benefit. So, I feel it’s a category that should be invested in. It is not a category that is non-growing or a zero-sum game. It’s a category that can grow in the high teens or even 20 per cent at the right levels of investment,” said Sudhir Sitapati, Managing Director and Chief Executive Officer, during the earnings call.
Chemist Network
To increase sales of Godrej Consumer and Raymond’s FMCG products, the company has devised a distribution network to reach pharmacies across the country.
“We are working closely to devise and create a chemist system which takes the best of GCPL and RCCL. So, we are setting up a new chemist system. Most of it is done, which is a consolidated solid chemist operation for both GCPL and erstwhile RCCL products.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.