Business

Emami’s strategy to beat slowdown

KOLKATA: Fast moving consumer goods (FMCG) company Emami is planning to beat the slowdown in the economy with its wintercare products from which it is targeting a Rs. 200 crore turnover. Between November 2008 and January 2009, these products are expected to contribute 30 per cent of the company’s turnover.

Aditya Agarwal, Director, Emami group of companies, said that being one of the largest ad spenders, the company planned an investment of between Rs. 60 crore and Rs. 80 crore on advertising and brand promotion.

“We will be reaching out to almost 15 lakh households, pan-India, through door-to-door activities and promotions increasing our presence in a countrywide manner,” he said. Emami, which owns brands such as Boroplus and Navratna, has recently entered niche categories, petroleum jelly and glycerine soap. It is also looking at strengthening its foothold in the over-the-counter (OTC) segment with the launch of a cough syrup.

“We are targeting sales of Rs. 200 crore with the entry into new categories, growth in the consumer care division and aggressive marketing plans,” Mr. Agarwal said.

Emami grew by 22 per cent in the first half of 2008-09 with a 14 per cent rise in net profit.

It hired a U.K.-based company to repackage some of its products to give it a younger look. Part of the diversified Rs. 2,000 crore business group, Emami has units and production activities in West Bengal, Puducherry, Assam, Gujarat, Orissa, Uttarakhand and Himachal Pradesh.

© Copyright 2000 - 2009 The Hindu