FMCG major Emami today said it expects to achieve an over 20 per cent increase in sales of its summer brands this season to about Rs 500 crore, mainly on the back of products, including 'Navratna' and 'Boroplus'.
The company is also increasing its advertising spend by 20 per cent to around Rs 45 crore for marketing activities for its summer products.
"Summer products contribute around 50 per cent of our total turnover. This year, we expect a 20 per cent increase to Rs 500 crore from last year," Emami Group of Companies Director Harsh Agarwal told PTI.
Emami had an turnover of around Rs 800 crore in the fiscal 2008-09, while the financials for the full year 2009-10 is yet to be announced.
Some of the summer products from the Emami stable include talcum powder and lotion under its flagship brands 'Navratna' and 'Boroplus'.
"We are working on a lot of promotional activities for our summer products. For this summer season, we will be investing around Rs 45 crore on marketing, an increase by around 20 per cent as compared to last year," he said.
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The company has also signed Tamil superstar Surya to endorse its recently launched Re 1 'Himani Navaratna Cool' oil sachets in the South Indian markets.
Emami said the product was introduced last year and since then been a big hit in the South Indian states. At present, the Re 1 sachet contributes around Rs 80-90 crore of sales in the total sales of Rs 300 crore Navratna oil brand.
"Looking at the speedy growth of the sachets around the market, a new TVC is being launched. The aggressive campaign will lead to a growth of 15-20 per cent in sales of the sachets this year," Agarwal said.
Besides, the company is also currently working on a new Television commercial for its Boro plus prickly heat powder with its brand ambassador Kareena Kapoor. The company said also hired Rajkumar Hirani of 3 Idiots fame to direct the TVC, which is likely to be on air in the next few weeks.
Meanwhile, the company said it is also leveraging from the IPL fever. It has signed in cricketers Virender Sehwag, Amit Mishra and Dinesh Karthik as brand ambassadors for its Zandu Balm brand. The company has inked a 2-year contract with them.
Zandu Balm is now one of the brands owned by Emami, following the company's acquisition of Zandu Pharmaceutical Works and the subsequent business restructuring between the two companies in 2009.