Luxe vendors reach new moneywallahs at cinemas, DTH etc

18 Sep,2014

By Vijaya Rathore

 

It is unusual for a top jewellery brand, which sells super expensive items such as a Rs 50-crore necklace through auctions, to put out advertisements in cinema halls for the popcorn-munching audience. But designer Nirav Modi’s namesake jewellery label does exactly that recently.

 

“Be it someone who earns Rs 5,000 or Rs 5 crore a month, everyone watches films in India. It is a great way to reach out to a larger set of potential buyers,” the designer reasons. “But what you show and where has to be chosen wisely.”

 

Mr Modi is one of the numerous luxury players who have started using mass media including TV, cinema, DTH and mainstream newspapers to reach out to a larger set of audience and open new areas of growth, rather than limiting themselves to the glossy sheets of lifestyle magazines and airport billboards. A host of luxury brands across categories such as luxury clothing, jewellery, automobile, watches and cosmetics, including Jaguar, Bentley and Rado, have started advertising through cinema halls and televisions.

 

The Collective, a multi-brand retail store chain that sells premium and luxury merchandise from a 100 brands in India, is contemplating tying up with DTH services providers to put out ads through the digital video recorders, while cosmetics brand Forest Essentials that markets itself as luxury ayurveda has launched television commercials.

 

“It is just a thought at the moment, but would be an interesting way to target the consumer who is not aware about the brand,” said Amit Pandey, marketing head for The Collective. He is of the view that experimenting with mediums new to luxury brands was an investment for the future. “The view is that a lot of wastage happens on mass media, but with so much new money in India, there is a huge opportunity to tap the new consumers,” he said.

 

CVL Srinivas

The luxury market in India is still minuscule and so is adspend by luxury brands. Estimates suggest that in China, luxury brands contribute 10% to the media spending, while in India it is 0.5%. That seems to be changing. “Ad spends by luxury brands in India is minuscule compared to global markets,” said CVL Srinivas, South Asia CEO of media conglomerate GroupM.

 

Source:The Economic Times

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