Sterling Holiday Resorts sales promo spends down 24 per cent in Q4-2014

BENGALURU: Sterling Holiday Resorts (India) Limited (Sterling Holidays) sales promotion spend (Sales Promo) Q4-2014 at Rs 2.194 crore (5.91 per cent of net sales) was (-23.99) per cent less than the Rs 2.8866 crore (8.40 per cent of net sales) in the immediate trailing quarter Q3-2014 and (-17.04) per cent less than the Rs 2.6448 crore (9.39 per cent of net sales) of the year ago quarter Q4-2013.

Note: Rs 100 lakh = Rs100,00,000 = Rs 1 crore = Rs 10 million

Over nine quarters starting from Q4-2012 until Q4-2014, Sterling Holiday’s sales promo spend shows a slight downward trend in terms on absolute rupee value, but the drop is much steeper in terms of sales promo as percentage of net sales.

Overall, the company’s net sales show an upward trend and in Q4-2014 at Rs 37.11 crore was 7.98 per cent more than the Rs 34.37 crore in Q3-2014 and was 31.70 per cent more than the Rs 28.18 crore in Q4-2013. Please refer to Fig 1 below.

Over three years starting FY-2012 until FY-2014, Sterling Holidays sales promo spend at Rs 16.48 crore and 12.50 per cent of net sales was 32.90 per cent more than the Rs 12.40 crore (11.40 per cent of net sales) in FY-2013. The company’s net sales in FY-2014 at Rs 131.89 crore was 21.28 per cent more than the Rs 108.75 crore in FY-2013. Please refer to Fig 1A below

The company has in general been a loss making company. Please refer to Fig 2 below. With a new tie up with Thomas Cook International Limited expected to be completed by the end of this year, the company expects to turn the corner.

Sterling Holidays says that the significant improvement in the company’s performance in the year is an indicator of the strong resurgence of brand Sterling, a result of the strategic turnaround initiatives over the last couple of years.

It says further that the substantial investments the company made in enhancing the overall customer holiday experience through refurbishment of its resorts and an expanded menu of recreational and culinary experiences have resulted in a healthy rise in the number of Vacation Ownership members and non-members holidaying at the company’s resorts, leading to an increase in resort occupancy to 49 per cent from 41 per cent in the previous year.

Sterling Holidays managing director Ramesh Ramanathan said, “The company’s performance has been improving consistently over the last couple of years. The synergies with Thomas Cook with their wide reach and distribution in the travel space will help us strengthen our market position, increase our occupancy levels and allow expansion to new destinations and markets.”

completed by the end of this year, the company expects to turn the corner.

Latest Reads
Cornitos unveils 'Crispy' mascot

Cornitos, the flagship brand of Greendots Health food Ltd, rolled out its new brand campaign announcing the launch of its mascot. With its inception in 2009, it is for the first time that the brand has given a face to its much-loved Nachos category.

MAM Media and Advertising Ad Campaigns
Barbie's 'Power Of Play': Mattel, BBDO remind parents

MUMBAI: Mattel Asia has launched a new video for its Barbie® brand as part of its broader initiative to empower girls. Mattel Asia, takes on the widely held belief in Asia that imaginative play is not important to a child’s development, with the release of, “The Power of Play with Barbie,” a part...

MAM Media and Advertising Ad Campaigns
Zee Mundo hires Steinbranding

MUMBAI: Steinbranding, the international design agency with headquarters in Buenos Aires, responsible for the image of more than 50 channels worldwide, was chosen by the major Indian media group, Zee Entertainment Enterprises to create the brand, naming and on-air & off-air branding for Zee...

MAM Marketing Brands
Exquisite partners with Warner Bros. consumer products

Exquisite, an innovative and experienced player in the EMEA market, has teamed up with Warner Bros. Consumer Products EMEA (WBCP EMEA), on behalf of DC Entertainment, to create the first retail loyalty programmes featuring DC Super Heroes.

MAM Marketing Brands
Cadbury Bournvita Biscuits introduces new tiffin pack

Mondelez India Foods is set to launch a new tiffin pack of its highly successful Cadbury Bournvita Biscuits with an aim to encourage consumers to make it a habit in the morning to have the biscuit.

MAM Marketing Brands
FCB Ulka wins advertising duties for AVT Premium

MUMBAI: A.V. Thomas & Company has appointed FCB Ulka Bangalore to handle the advertising duties for their flagship brand, AVT Premium. The win adds to FCB Ulka Bangalore’s portfolio which includes marquee clients like ITC Biscuits & Confectionery and Wipro Consumer Care & Lighting. AVT...

MAM Media and Advertising Account
Wringley's Doublemint tells a 'fresh' new love story

MUMBAI: Released on Youtube on 21 October, the new TVC of Wringley's Doublemint conceptualised by BBDO Indua and directed by Shoojit Sircar has already garnered over two lac views.

MAM Media and Advertising Ad Campaigns
Flipkart announces integrated brand communication campaign

There are a host of dates earmarked in India’s annual calendar where consumers wait with bated breath to partake of the celebrations. Clearly figuring in this list is the ‘The Big Billion Days’ (BBD), that has been made popular by Flipkart over the past two years. As a concept, Big Billion Day was...

MAM Media and Advertising Ad Campaigns
Colors campaign inspires men to take over Sunday chores

Colors has launched a new movement called #SundayIsHerHoliday. The campaign -- one Sunday at a time -- is inviting every man (and woman) to participate. The goal of the campaign is to inspire and help men take over the Sunday chores of women, so she can get her much needed time off.

MAM Media and Advertising Ad Campaigns

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories