Colgate-Palmolive Q2 ad spend up 23% to Rs 889 mn

MUMBAI: Colgate Palmolive, which had announced a six per cent workforce reduction globally, continues to increase its advertising expenditure in India amid intense competition in a slowdown year.

For the fiscal-second quarter, the oral care and healthcare company has increased its ad and promotional expenses by 23.02 per cent to Rs 889.2 million compared to Rs 722.8 million a year ago. The ad to revenue ratio has climbed to 11.49 per cent from 10.71 per cent in the earlier year.

The fiscal-second quarter is in line with the first three months ended June in which period Colgate-Palmolive had splurged an amount of Rs 837.2 mn, 32 per cent more than the earlier year.

Colgate-Palmolive‘s advertising and promotion spends for the half year ended 30 September grew 27.21 per cent to Rs 1.73 billion compared to Rs 1.36 billion year ago. The revenue to advertising ratio has increased from 10.45 per cent to 11.38 per cent during this period.

Revenue for the half year ended 30 September 30 was Rs 15.09 billion, a 19 per cent increase over the same period of the prior year (Rs 13.02 billion). Profit for the half year stood at Rs 2.62 billion which is 31 per cent more than the profit recorded for same period of the previous year (Rs two billion).

Colgate-Palmolive reported net sales of Rs 7.74 billion for the second quarter of the FY13 which is 18 per cent more over the same quarter of the previous year. Net profit for the quarter was Rs 1.45 billion, up 0.67 per cent from last year’s Rs 1.48 billion.

The company launched a new toothpaste variant – Colgate Total Advance Whitening and Colgate Max Fresh Ice toothpaste. These launches were coupled with the new launches in the toothbrush category in the first quarter of the year, namely Colgate 360 Battery Toothbrush. The company also launched Colgate Max Fresh toothbrush that has specially designed multi-height bristles that penetrate between teeth to clean away plaque and an advanced tongue freshener with 3 waves of multi-dimensional cleaning.

In an inflationary environment, the company’s continuing efforts and focussed programs to enhance efficiencies and reduce costs continue to yield strong, positive results helping to maintain margin and fund investments in building and strengthening brand equity and the business. Prudent price increases and cost management has enabled the company to maintain its Gross margin for the period despite significant inflationary pressure.

Colgate-Palmolive along with the Indian Dental Association (IDA) commenced its 9th edition of Oral Health Month which will be 2-month long intensive oral care awareness initiative that aims to improve the oral health condition and generate awareness about tooth cavities in the country. As part of this initiative, 13 mobile dental vans will travel across 39 cities to make basic oral care facilities accessible to the underprivileged, through the support of IDA dentists. This year through OHM, Colgate along with IDA plans to reach 3 million people over 1200 towns and cities.

Latest Reads
Multi-media ad campaign to popularise gold coin

A year after it was first launched, a multimedia advertising campaign is being launched to drive awareness around Diwali on the availability of the Indian gold coin by the Mines and Minerals Trading Corporation along with World Gold Council. Being launched this week, the campaign will cover...

MAM Media and Advertising Ad Campaigns
Vizeum launches Binary, special advisory unit for media clients

“Media business is, in the short term, headed for a tipping point, driven by the changing consumer-media interface,” emphasises Vizeum India MD Shripad Kulkarni, who strongly believes that media companies need a definitive transformation strategy in place now.

MAM Media and Advertising Media Agencies
Havas Media bags Rs 15-cr Sujata account

MUMBAI: Havas Media Group India has bagged the integrated media duties of Sujata, an Indian Consumer Electronics & Home Appliances brand for Juicer Mixer Grinders. The incumbent on the business was Exposure Media. The account will be handled out of Gurgaon office led by Uday Mohan. The...

MAM Media and Advertising Account
TV festive ad spend to reach Rs 8000 cr; experts divided

MUMBAI: The festive months of October and November are welcome months not just for you and your family, but for most Indian brands as well. After all, they eagerly wait for this early window when consumers loosen up their purse strings and put their Diwali bonuses to good use, aka, shopping.

MAM Marketing MAM
Amagi partners with BARC India to offer monitoring of geo-targeted TV ad-campaigns

Amagi Media Labs has entered into a partnership agreement with India’s apex television viewership monitoring body BARC India to help advertisers monitor geo-targeted ad-campaigns of brands across TV channels.

MAM Media and Advertising AD Agencies
iProspect conceptualises unique digital video for ICICI two-wheeler insurance

iProspect India has conceptualized and executed a unique digital video for ICICI Lombard General Insurance in their latest campaign on two-wheeler insurance.

MAM Media and Advertising AD Agencies
eBay engages consumer with live game on FB

MUMBAI: Festive season is a busy time for Indian brands, especially the e-commerce players given the shopping spree the nation witnessed around the time. Thus it becomes important to brainstorm on new and unique ways to get the consumer’s attention; something different from the unbelievable...

MAM Media and Advertising Ad Campaigns
Culture Machine & Quaker Oats aim to feed kids

As the festive mood gathers spirit in the country, Culture Machine’s digital channel Being Indian, in collaboration with Quaker Oats, have released a new campaign. Titled "Ek Muthi Sonu ke Naam", the video urges people to pause and spare a thought to the millions of children who go hungry.

MAM Media and Advertising Ad Campaigns
BTVi unveils new brand positioning

BTVi has unveiled its new positioning, #OpinionsThatCount, aimed at impacting the opinions of the influencers. With this, BTVi will be the voice and choice of the influential. An integrated campaign will be launched primarily catering to influencers, key decision makers and opinion makers.

MAM Media and Advertising People

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories