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Maruti Suzuki to jack up ad spend

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Press Trust Of India Mumbai
Last Updated : Jan 21 2013 | 2:54 AM IST

The country's largest carmaker, Maruti Suzuki, may increase its marketing budget by five to 10 per cent in the current financial year.

"We do expect a five-10 per cent increase in marketing and advertising spends this fiscal," a company executive said.

The car major had spent about Rs 357 crore on brand promotion activities in the last financial year when it saw sales plunge due to a variety of reasons, including prolonged labour unrest and high interest rates. Falling sales were also attributed to the absence of a good portfolio of diesel models.

From near 50 per cent market share in the recent past, the company's share crashed to 38 per cent in the last financial year.

"The higher provisioning would come on the back of some new launches," the executive said, without revealing the number of new products that would be rolled out.

"A good amount of this allocation will be apportioned to digital publicity as this will be one key focus area," the official said, adding that as much as five to seven per cent of the total spend will go into digital advertising this year.

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First Published: Apr 16 2012 | 12:42 AM IST

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