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LG's ad spend to stay flat at Rs 6 bn in 2012

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MUMBAI: Consumer electronics major LG will not reduce its ad spend in India despite a difficult economic environment.

The company will spend Rs 6 billion on advertising, the same as last year, as it targets sales growth of 25 per cent.

“We are only reallocating spends to a certain extent. While on television it will remain the same, we will spend slightly less on print and focus more on digital this year," LG India senior VP marketing L.K. Gupta tells Indiantelevision.com.

LG will up its digital spend by 50 per cent. Explains Gupta, "We always look at efficiencies and we are seeing good response from the digital platform.”

In a slowdown scenario, LG realises that fewer consumers are willing to buy and defer their discretionary purchases. The short term focus for LG will, thus, be on achieving in-store excellence.

"Investments will be geared to give consumers a better experience inside the store via display, demonstration and branding visibility for flagship products. At the same time, advertising will be more streamlined to deliver higher efficiency within the same budget. This will impact the media choices in print and TV media. Digital media, which plays an important role in the consumer decision journey of searching and evaluating products, will be given a bigger share to have an early influence on potential buyers," says Gupta.

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