LG earmarks Rs 100 crore as Diwali's media budget

By , agencyfaqs! | In | October 14, 2004
The company hopes to clock a turnover of Rs 1,300 crore from the Diwali festival season sale

Festival season is the time, when for a change, marketers do not have to sweat chasing consumers. Consumers go to the marketers.

Indeed, it is a welcome sight and the marketers make the most of it. Which is why LG is confident of achieving a revenue target of Rs 1,300 crore with its 'Dhoom Macha De' Diwali offer in just two months - October and November.

If the consumer electronic giant achieves its target, it will be a 44 per cent jump in revenue earned by the company last year (2003) during the festival season. The promotional offer starts off on October 14, and will end on November 15, 2004.

"This innovative scheme is part of our concerted efforts to reward our existing consumers and trade partners for loyalty shown to the LG brand. We are confident of adding excitement to this festive season with the launch of this promotion," says Salil Kapoor, head marketing, LGEIL.

Creating the excitement around the offer is the promotional campaign created by McCann-Erickson. The campaign breaks today. Talking about the campaign, Kapoor says, "While I cannot divulge much right now, I can, however, say that elements such as the excitement of the consumers, the Dhoom Macha De offer and the new brand promise - Life's Good, are all woven into the communication."

The 'Dhoom Macha De' consumer promotion has all the excitement packaged in a rocket, which the customer handpicks on purchase of a LG product. This promotional programme entails assured gifts on every purchase of LG products during the festive period. In addition, to this the winner of the bumper prize will drive home a luxury car.

The promotion involves a mega budget of over Rs 100 crore which includes spends on the print and electronic media, below-the-line activities and the gifts. Customers can avail the offer at all LG exclusive shops and LG authorized counters.

LG India is expecting to achieve a 31 per cent value growth in the electronics category over last year's turnover of Rs 495 crore, a 43 per cent value growth in appliances (Rs 317 crore was the turnover in 2003) and a 48 per cent growth in the IT category, at the end of the festive season. The revenues earned by the company in the IT category was Rs 88 crore at the close of the festive season in 2003.

A total turnover of Rs 1,300 crore is targeted from the ensuing festival season sale.

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© 2004 agencyfaqs!