‘Print festive spends to degrow 8% from last year’

04 Oct,2019

 

By A Correspondent

 

Shripad Kulkarni

Veteran advertising professional Shripad Kulkarni has been leading consulting assignments in the fiels of strategy, content and adsales. Having helmed teams at Carat, Percept Media and Vizeum and also running a media training and consultancy company called M:Ideas which was bought over by Carat Integra, Kulkarni is set to launch AdXforce, an end-to-end software solution for adsales, which facilitates sales process, Call calendar management and CRM.

 

Using AdXforce, Kulkarni undertook the unenviable task of forecasting the festive season spends for MxMIndia. This is the first of a three-part series. The first focuses on print, and the other two will be on television and other media (outdoor, radio and digital). This report is part of a comprehensive white paper the veteran professional and his team have worked on

 

Read on…

 

So, how did the All India festive 2019 Kick Start till Shraadh period go?

 

Again, we must note that the government infusion had not set in by then, and ad Industry had just got out of an additional adspends on TV due to ICC World Cup.

 

:: In keeping with the past year trend, Print Innovations grew at a
healthy 11%

:: Retail and Personal care grew in Print

:: Significant drop over 2019 levels in Newspapers SQC by 10%. Shradh was also a washout for print.

:: Other than Retail, all other volume contributors seem to be holding on to their spends for the Diwali phase.

 

:: So what’s the Outlook for festive 2019 looking like?

:: Going by the first weekend of Diwali Phase, positive sentiment is led by new categories. High contributors are not yet too bullish. Sentiment is crucial here, and it seems to be in place for now. This should continue into the Wedding/Holidays Season. The Diwali phase, aided by an extended 6-weeks buying season, should grow and perform better. I assume there will be no increase in rates for any media.

 

So, my forecast for the festive 2019 is that with a normal last-minute surge:

:: Print spends will be at around 8% below last year’s level

 

So what’s the bellweather Onam verdict?

 

Firstly, we must note that Onam was shrouded in the current slowdown. Latest positive infusion by the government set in after Onam

:: The upside:

:: Onam advertising bounced back from the low levels of 2018 due to the unfortunate floods.

:: A cautious but optimistic start to the Season with 12% more ads in Print than 2017.

:: Print dominance is visible – with growth in ads driven by long tail of advertisers and better performance than TV.

:: Services, Auto and HH products Sectors grew for TV and Services, Auto and also Auto grew for Print.

:: The downside

:: Significant drop over 2017 levels in TV 4% in GRPs and 7% on Duration

:: A 4% drop in SQC– reflecting the market sentiment at that time.

:: Print Innovations did not kick off in time for Onam season

:: Retail, Durables, Food & Bev and Personal Care – the volume drivers did not take off this Onam.

 

For full report, click on www.shripadkulkarni.com after 4pm today (Oct 4)

 

 

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