By Kajol Singh
Ad Spends Soar 184% In ’08, SBI Tops List With Rs 293-Cr Allocation
Advertising spends in the banking services and products categories have increased by 184.15% in 2008 to Rs 2,492.59 crore against Rs 1,499.92 crore in 2007, data from Adex Nielsen showed. Public sector banks, such as SBI, Union Bank of India (UBI), Bank of Baroda, Axis Bank and IDBI Bank, have seen an upsurge in their ad spends up to 75%. SBI has been the highest spender among banks with Rs 292.92 crore ad spend in 2008.
“Both PSU banks and private sector banks with strong Indian lineage have, by and large, remained unscathed during the slowdown. As consumers choose conservative safety over bells and whistles, PSU banks will spend much higher in the last quarter of this fiscal,” said Satbir Singh, chief creative officer, Euro RSCG, which does the advertising for Max New York Life.
UBI’s new ‘Good People To Bank With’ campaign totalled Rs 127.45 crore in 2008 as compared with Rs 13.13 crore in 2007. IDBI spent Rs 52.68 crore as against Rs 15.14 crore in 2007. The October-December 2008 quarter has seen an increase of 52.03% in ad spends by over 300 banks and financial institutions in India with a spent of Rs 714.34 crore as against Rs 469.86 crore in the same period last year.
Among the private banks, ICICI Bank has been the largest spender with a total spend of Rs 129.02 crore in 2008, of which Rs 54.22 crore was spent during the October-December period, where brand ambassador Shahrukh Khan was brought into resurrect the bank’s image, as doubts were raised about its solvency. HDFC Bank spent Rs 18.83 crore in 2008 as against Rs 80 lakh in 2007.
Royal Bank of Scotland’s (RBS) ad spends have raised from zero to Rs 17.47 crore in 2008. It has Sachin Tendulkar as its brand ambassador last year and launched its campaign at a time when people were losing confidence in it. Other foreign banks, such as American Express Bank, has seen a cut in its ad spends by 12.64% to Rs 18.44 crore in 2008 from Rs 21.11 crore in 2007. Similarly, USbased banking major Citibank, which plans to continue with its recruitment process in India despite the global slowdown, has also reduced its ad spends by 3.34% to 16.48 crore in 2008 from Rs 17.05 crore in 2007. Insurance companies have made a total ad spend of Rs 591.91 crore as compared with Rs 335.98 crore in 2007, an increase of 75.95%.
“More and more people are waking up to insurance as a guaranteed investment as mutual funds and other products have failed. Hence, insurance companies will continue to spend significantly this quarter too,” said Singh.
LIC has been the highest spender in the insurance sector with Rs 152.68 crore in 2008, up by 64.06% from last year. Max New York Life, which was official sponsor of IPL last year, was the second with Rs 66.13 crore in 2008 as against Rs 18.74 crore in 2007. Followed by ICICI Prudential with Rs 57. 25 crore and HDFC Standard Life Insurance with Rs 55.74 crore ad spend.
“We relaunched our brand with the new tagline “Karo Zyaada ka Iraada” in August last year, as we wanted to keep the momentum on. But this year, we will maintain our ad spends as business has to grow with the same budget. We will reposition our a brand during the IPL matches this year, in which we will make a reasonable presence to leverage our business,” said Anisha Motwani, senior VP, marketing, Max New York Life.
The total amount spent on print advertisements have been the highest with Rs 1,635.87 crore in 2008 as against Rs 1,499.92 crore in 2007, an increase by 9%. The spend on television has taken second place with Rs 773.91 crore in 2008, up by 24.49%, on radio it was Rs 82.81 crore.
No comments:
Post a Comment