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While HUL Trims Its Ad Spends In Q2 & H1 FY2025; Dabur, GCPL, Marico, CPIL & More Increase FMCG AdEx This Year

During the second quarter and six months ended September 30, 2024, while it was Hindustan Unilever who trimmed its ad spends by double digit quarterly and in single digit on a half yearly basis, it was companies like Dabur India, Colgate Palmolive India and Marico which kept the FMCG adex soaring this year with GCPL showcasing a mixed sentiment.

| Published on November 5, 2024

While HUL Trims Its Ad Spends In Q2 & H1 FY2025; Dabur, GCPL, Marico, CPIL & More Increase FMCG AdEx This Year

Known to be the backbone of Indian advertising, the Fast Moving Consumer Goods (FMCG) segment which comprises a slew of listed companies like Hindustan Unilever, Godrej Consumer Products, Dabur India, Colgate Palmolive India, Marico, and more showed a mixed sentiment despite growing concerns around global macroeconomic turbulences like recession and more.

This fiscal year’s second quarter and six months ended September 30, 2024, saw some of the top advertisers of India like Hindustan Unilever drop its spending on advertising in two-digits on a quarterly basis and in single digit on a half-yearly basis while other FMCG majors like Colgate Palmolive India, Marico, Dabur India up their spending on ads either in single digit or even in two-digits and on both quarterly and half yearly basis.

Interestingly enough, it was Godrej Consumer Products which marginally reduced its spending on ads by less than a percent on a quarterly basis and upped the same by approximately 1.5% on a half yearly basis.

Here is a glimpse into the advertising spends of some of the top FMCG companies of India:

Hindustan Unilever

In the second quarter of the current fiscal year, the parent company of Surf Excel, Pears, Dove, Lakme, Brooke Bond, Quality Walls and more- Hindustan Unilever reported a 13.83% decline on a YoY basis in its spending on Advertising and Promotion. It spent a total of Rs 1,501 crores in Q2FY25 as against Rs 1,742 crores it spent on Advertising and Promotions in the corresponding quarter, last fiscal.

Continuing a similar trend on a half yearly basis as well, the FMCG major’s expense on Advertising and Promotion also reduced 2.00% YoY as the company spent Rs 3,182 crores on the same in H1FY25, as opposed to Rs 3,247 crores it had spent during H1FY24.

Godrej Consumer Products

In Q2FY25, the parent company of Good Knight, Darling, Cinthol, HIT, Godrej Expert, Godrej Aer, Godrej Ezee, Godrej Expert and many more- Godrej Consumer Products reduced its spending on Advertising and Publicity marginally by 0.54% on a YoY basis and allocated a sum total of Rs 363.95 crores on the same juxtaposed to Q2FY24 wherein its advertising expenditure amounted to Rs 365.94 crores.

However, on a half yearly basis, the FMCG major ballooned its ad expenditure by 1.22% and spent Rs 694.77 crores in H1FY25, as opposed to Rs 686.33 crores it had spent during H1FY24.

Marico

The second quarter of the current fiscal year saw Marico, the FMCG major which owns a number of household brands ranging from Parachute to Parachute Advanced, Saffola, Hair & Care, Nihar, Nihar Naturals, Livon, Set Wet, Mediker and Revive, up its spending on Advertisement and Sales Promotion from Rs 268 crores in Q2FY24 to Rs 290 crores in Q2FY25, depicting a rise of 8.21% on a YoY basis.

Similarly, the FMCG major also increased its spending on Advertisement and Sales Promotion on a half yearly basis too- by 10.42% on a YoY basis. It spent a total of Rs 530 crores in H1FY25 as against Rs 480 crores it spent during the corresponding quarter in the previous fiscal year.

Colgate Palmolive

In the second quarter of the current fiscal year ended September 30, 2024, Colgate Palmolive upped its spending on Advertising by 17.83% YoY and spent a sum total of Rs 24,272 lakh in Q2FY25 as opposed to Rs 20,599 lakh it spent in the corresponding quarter of the previous fiscal year.

On a half yearly basis too, a similar trend continued as the FMCG major’s advertising expense soared up 14.07% YoY to Rs 44,179 lakh in H1FY25, juxtaposed to Rs 38,730 lakh it had spent in the first half of the previous fiscal year.

Dabur India

Being a parent company of a slew of brands like Dabur Chyawanprash, Dabur Honey, Dabur Honitus, Dabur Pudin Hara and Dabur Lal Tail in the Healthcare space; Dabur Amla and Dabur Red Paste in the Personal Care category; and Real in the Food & Beverages category, Dabur India also upped its spending on Advertisement and Publicity by 4.20% in the second quarter of the current fiscal year to touch Rs 225.63 crores. In the corresponding period of the previous fiscal year, it spent a total of Rs 216.53 crores on Advertisement and Publicity.

Continuing a similar trend on a half yearly basis as well, the FMCG major’s expense on Advertising and Publicity spiked up 9.66% YoY as the company spent Rs 461.52 crores on the same in H1FY25, as opposed to Rs 420.87 crores it had spent during H1FY24.

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