sources confirm that the public sector Visakhapatnam Steel Plant (VSP), popularly known as Vizag Steel, is all set to call for a creative pitch. Recently, the company released a briefing to the agencies and asked them to submit their credentials. It is learnt that towards the end of October, the agencies will be invited to make creative and strategy presentations.
Sources close to the development confirm that Vizag Steel has planned an ad spend of Rs10-12 crore for this fiscal. Prior to this, some 10 years ago, it had RK Swamy/BBDO Chennai on the business for about a year and a half. After that, the company has handled its advertising in-house.
The brief, as is learnt, has been circulated amongst eight agencies currently, the names of which could not be ascertained. After the first round of presentations, three agencies are expected to be short-listed for the final run. Vizag Steel will also probably consider media agencies, but only after it has finalised its creative agency.
Vizag Steel, which is held by Rashtriya Ispat Nigam Lts (RINL), has a turnover of Rs 9,000 crore currently. It produces TMT re- bars (known by the brand name of Vizag TMT), structurals - angles, channels, beams (known by the brand name of Vizag Ukku), and plain rounds, wire rods in coils, squares and billets. It has a market share of 15 per cent in the 'long products' market; SAIL has 10 per cent, TISCO, 7 per cent, and secondary producers, 66 per cent. About 2 per cent is met by imports.