MAM

HUL, Star end 3 months of ad negotiations

http://www.indiantelevision.com/sites/default/files/styles/smartcrop_800x800/public?itok=O0F3fnj4

MUMBAI: Hindustan Unilever (HUL), India?s largest advertiser on television, has returned to Star Network after three months of absence and hard negotiations from either sides.

The exact nature of the deal could not be ascertained as both Star and HUL were not ready to disclose the details.

Star India president ad sales Kevin Vaz confirmed the news to Indiantelevision.com but said the terms were confidential. "Yes, Hindustan Unilever is on," he said.

In a slowdown environment, FMCG companies have been increasing their ad spends as their sales have increased. Other high-spending sectors like telecom and financial services have softened their marketing expenses, thus allowing room for the FMCG companies to look for better rates on television channels who depend largely on advertising revenues.

For the fiscal ended 31 March 2012, HUL had actually reduced its spend on advertising and promotions by 3.58 per cent compared to the year-ago period. The FMCG major had spent Rs 26.97 billion on promotions, down from Rs 27.97 billion.

"Both HUL and Star needed each other. Star has powerful channels in Hindi GEC, Hindi movies, English entertainment, infotainment and regional-language genres. HUL is the largest advertiser and has increased its spends this fiscal," a media analyst said.

In the fiscal-first quarter, HUL has upped its ad and promotional spends by 29.5 per cent to Rs 8.2 billion.

HUL is present on the other entertainment networks like Zee, Sony and Viacom18.

"This neutralises the upside possibility that the other major networks could have had if HUL had stayed out of Star for a longer period," a media analyst at a broking firm said.

Zee Entertainment Enterprises Ltd chief sales officer Ashish Sehgal does not believe that an upside opportunity existed for the company. "We have already done a deal with HUL and got an upside as our flagship channel Zee TV?s ratings have seen an improvement. HUL is also increasing its overall ad spends this fiscal. There was no scope for a further upside as we have got other advertisers on board and our inventory is full for our major network channels. There is some inventory left on our smaller channels and HUL is not a spender on those," he said.

For the first quarter of this fiscal, Zeel reported 18 per cent rise in its ad revenue to Rs 4.47 billion.

The second half of this fiscal is crucial for the television networks as the previous six-month period had seen a slowdown. This also coincides with the festive season during which spread brands tend to free their wallets to promote their products.

The advertising expenditure on television is estimated to grow at 5.6 per cent to gross Rs 148.12 billion in calendar year 2012, according to a GroupM revised forecast.

"The Telecom category cut down spends substantially in the first half of the year. Financial services have been adversely affected by poorer economic conditions here as elsewhere in the world. Even consumer durables spent less in the first half of 2012 than the prior year period. Occupancy of premium inventory has decreased with advertisers choosing to stay with safer tried-and-tested formats," the WPP agency explained in its report.

The Indian economy has seen a new energy after the government?s series of reform policies including higher FDI in retail, broadcast-carriage services sector and aviation. The stock market has rallied recently and touched a 17-month high.

Advertisers, however, are still cautious and will wait longer before becoming extravagant on their marketing spends.

Latest Reads

http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/08/17/dettol.jpg?itok=2EyrNXwJ
HUL top advertiser; Dettol enters top 5 in BARC week 32

The Broadcast Audience Research Council (BARC) India has released its data for last week’s top advertisers and brands between 4 August to 10 August 2018.

MAM Marketing Brands
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/08/17/sbi.jpg?itok=OOo52eAL
SBI hands over media mandate to DDB Mudramax

Indian bank, State Bank of India (SBI), has appointed DDB Mudramax as its media agency for media duties.

MAM Marketing Brands
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/08/17/paytm_0.jpg?itok=Lv-c5eAZ
Paytm Mall targets $10 bn annualised gross sales by 2019

With the aim to garner a bigger slice of India’s growing online retail market, Paytm Mall, owned by Paytm e-commerce, has ramped-up its efforts to expand the business. 

MAM Marketing Brands
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/08/17/tyamaha.jpg?itok=hkoFhcZS
Yamaha's 'The Call of the Blue' is launched as the new exciting brand campaign

India Yamaha Motor Pvt. Ltd. developed its new brand campaign ‘The Call of the Blue’ in order to draw a parallel to its product planning, marketing and customer engagement strategies with the brand’s global image of ‘excitement, stylish and sporty’.

MAM Media and Advertising Ad Campaigns
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/08/17/jonty.jpg?itok=9Sup3Jl_
Isuzu Motors signs Jonty Rhodes as Indian brand ambassador

Isuzu motors, Japanese car manufacturer, has signed on former South African cricketer Jonty Rhodes as the brand ambassador to promote the brand and its latest product V-Cross in India. The brand will complete six years on 21 August 2018 in the Indian market.

MAM Media and Advertising People
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/08/17/UCB.jpg?itok=8WZWVqTC
UCB's first social experiment in India #UNITEDBYHOPE

Reaffirming its commitment to challenge social norms and fearlessly address issues focused on secularism and non-discrimination, United Colors of Benetton marked India’s 72nd Independence Day with a digital film titled #UnitedByHope, celebrating India’s unity in its diversity.

MAM Marketing MAM
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/08/16/money.jpg?itok=7KNzWnjT
Matrimony.com bolsters senior management team to pursue expansion plan

To pursue its ambitious growth and expansion plans, Matrimony.com recently strengthened its senior management team with experienced talent.

MAM Marketing MAM
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/08/16/mar.jpg?itok=jNxxH45I
The Advertising Club announces the Category Awards for Marquees 2018

The Advertising Club today announced the various sector and special category awards for Marquees 2018.

MAM Marketing MAM
http://www.indiantelevision.com/sites/default/files/styles/340x340/public/images/tv-images/2018/08/16/RIVERS.jpg?itok=TaXS7yhM
White Rivers Media celebrates 6th anniversary

In India, one of the fastest growing independent agencies White Rivers Media has recently completed its six years in social media and digital marketing industry.  

MAM Marketing Brands

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories