To celebrate the occasion of crossing cumulative sales of over Rs 5,000 crore in five years, LG Electronics India Ltd (LGEIL) has unveiled an extravagant month-long national promotion. The estimated Rs 8-crore advertising campaign has been designed by Capital Advertising, Delhi. The 'Rs 5,000-crore LG Achievement Bash' campaign will run in the print medium only.
"This achievement means a lot to LGEIL. We want to exploit this opportunity to thank our customers and reinforce LG's commitment through this big-budget promo. Because of the professional attention that it needed we decided to call our roster agencies - Lowe Lintas and Capital Advertising to pitch for the promotion account," says Ganesh Mahalingam, general manager, marketing, LGEIL. The account went in Capital's favour.
The promotions are going to be held in all of LG's 3,000 dealer outlets and a score of other sub-dealers across the country. And on the purchase of every LG product - be it washing machine, television or air conditioner - the consumer will get an assured product free. Along with the buy, the customer will be given a form to fill for a lucky draw. The lucky draw will happen in three rounds. The first is on October 28, the second on November 5 and the final on November 17. In total, there will be 845 lucky winners. The company is spending an estimated Rs 12 crore on gifts alone. All the winners will be announced through the national dailies. The promotion has just started in Kolkata. The supporting print campaign broke on October 14. The company hopes between the months of October and November, the promo will help generate sales of 3 lakh units across all LG products nationally.
The on-ground promo efforts will be supported by product advertising in the mass media focused mainly on LG TVs. The entire television campaign has been made at an estimated Rs 5 crore. The Golden Eye television campaign and the LG corporate film is on air and the Flatron Gold and washing machine commercials will start very soon. While these product ads have been done by Lowe Lintas, the corporate film is by Capital. Incidentally, LEIL has given up the 'Digitally Yours' catch-phrase for 'Expand your life'. The company hopes to sell 6-6.6 lakh units of the Golden Eye and the Flatron Gold televisions this year.
The company claims it has seen "dramatic growth" in the last two years across all product categories despite the overall industry slump. While the consumer electronics and home appliances segments have grown by 8-10 per cent in the year 2000, LGEIL has grown by a phenomenal 80 per cent, taking its turnover to Rs 1,903 crore in the year 2000 from Rs 1,056 crore the previous year. The company has also indicated that it plans to divest 25 per cent stake in its Indian operations to the public this year and hopes to take its turnover up to Rs 2,500 crore by December 2001.
© agencyfaqs! 2001