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Everest Brand Solutions appoints Samir Chonkar as Executive Creative Director.

       

                               Everest Brand Solutions has appointed Samir Chonkar as Executive Creative Director. Chonkar returns to Everest Brand Solutions after a successful stint at Draft FCB Ulka, where he was Creative Director since 2008, and handled a diverse portfolio of brands like Tata Indicom, Amul Ice Cream, Tata Consultancy Services, Tata Corporate and Bajaj Almond Oil among others.

For Chonkar, this assignment is more of a home coming. Armed with an art degree and passion for advertising, Samir walked into Everest in 1992 and stayed on for 14 years to create some memorable advertising for the agency’s diverse clients.

       During his stint at Everest, he worked on a slew of FMCG brands like Parle-G, Parle Monaco, Krackjack, and Hide & Seek cookies, Tortoise Mosquito Repellent, Frooti and Bailley. He handled brands ranging from Corelle to Emirates; LIC and ING Vysya to Hitachi, Siemens and SKF Bearings with aplomb. Samir’s work showed a spirited edge while working on brands like Bagpiper, Shark Tooth Vodka and Romanov.

His already well-rounded experience was further enriched by a stint at M&C Saatchi as Executive Creative Director, working on brands like Jet Airways, Franklin Templeton and Bajaj Allianz.

           D. Rajappa, President, Everest Brand Solutions, said, “Everest is delighted to welcome Samir Chonkar at a senior leadership level. In his role as Executive Creative Director, we hope Samir will not only create impactful and great campaigns but also play a mentoring role to his team. As a mature advertising professional, Samir’s vast experience across categories will benefit the select set of blue chip brands that Everest represents.”

                 "I would add to Team Everest's passion for creating effective advertising that works well for its clients," says Chonkar

           “Induction of senior professionals with exposure across categories is in line with Everest’s philosophy of offering valuable experience of mega brands and large agencies coupled with nimble-footed edge of a small agency--thus giving the best of both worlds to the clients,” added Rajappa.

                                 “I would add to Team Everest’s passion for creating effective advertising that works well for its clients,” said Chonkar. 

The next FMCG revolution is due

               Happy times are here for the Indian consumer. His every wish is coming true, and that too at discounted prices! Inflation might be skinning his knees, but if he wants to hitch a ride to his destination, he can get a good motorcycle at half the price he could get it at earlier. Forget bikes, he can now dream of getting a brand new car for Rs 1 lakh. 

  Where once having a desktop computer in the house was a luxury and laptops were only for the suits sitting in the cabins, now he can get laptops for Rs 15,000. When he thinks of getting himself a new mobile, he might not have the money to buy a Blackberry, but he can certainly buy multiple Micromax models in the same price. And we’re not even talking of the wave of cheap Chinese manufactured mobile handsets that can be found on Indian streets priced at a lowly Rs1000.

         It’s an exciting time when more and more products are being made available to more and more income brackets. It’s happening in electronics, it’s happening in automobiles, it’s even happening in consumer durables.

         But what one misses in the whole scheme of things is some scintillating new development on the FMCG (fast moving consumer goods) scene. This is the one canvas where you can make a difference to maximum people across strata. But the last real revolution that one witnessed in this space was the sachet revolution by CavinKare. 

   

     That was quite a revolution when the same shampoo that was pitched as a luxury item by the biggies was now available at 50 paise per wash. No wonder the consumers at the middle of the pyramid lapped it up and category penetration shot up. It was one of the few times when the FMCG majors got a jolt that made them sit up and take notice. The other time was when Karsenbhai Patel introduced Nirma priced at a third of Surf. In a one brilliant stroke, he gobbled chunks out of Unilever’s market share and caused multiple revisions in their market strategy.

      But since then, there has been a lull on the FMCG scene. No challenging of existing category codes, no trying to expand penetration, no new price revolution. The whole point of technology is that you can get better products at a lower price. Then why are we still paying Re 1 for. 

MAGGI MAGIC .............

HUL re-launches Red Label, ropes in Anupam Kher

The country's largest fast moving consumer goods Hindustan Unilever (HUL) today said it has re-launched Brooke Bond Red Label tea brand.

As a part of the re-launch that is aimed at changing the brand's positioning, HUL has released a new advertising campaign featuring Bollywood actor Anupam Kher.

"Red Label has been re-launched as not just a tasty but healthy drink. For the first time the brand will have a Bollywood celebrity as part of the campaign," HUL, Category Head (Beverages) Arun Srinivas said in a statement.

The company's Broke Bond portfolio also includes brands such as Taj Mahal, 3 Roses, Taaza and Sehatmand. Red Label is HUL's largest tea brand, the statement added. 

HUL, P&G, Reckitt, Kellogg's raise margins up to 25%

 Modern retail has taken a lead in its fight against consumer product companies with consumer product companies including Hindustan Unilever and Procter & Gamble increasing retailers’ margins on the wake of tough competition from the latter’s private brands. 

“Since March this year, multinationals including Hindustan Unilever, Procter & Gamble, Reckitt Benckiser and Kellogg’s have been increasing margins by 10-25% in leading supermarkets like Big Bazaar and Reliance Retail to match up with low priced private brands offered by retailers,” a top industry official said on condition of anonymity. 

These multinationals have, however, increased margins only in categories such as diapers, ketchups, floor cleaners, soups, breakfast cereals and toothbrush, where retailers’ private labels have been most active in new launches and gaining market share. 

The friction between retailers and fast-moving consumer goods players over higher margins and better shelf space has been there for some time now and hit the headlines when Future Group , the country’s largest retailer, pulled Kellogg’s breakfast cereals off the shelves of around 150 Big Bazaars.  

“Private Brands, apart from allowing retailers to differentiate their merchandise which over a period of time creates consumer loyalty to the store, make more margins than national brands,” said Devendra Chawla, business head, private brand, at Future Group. “It also helps in growing consumption and expanding category size as India is under-branded and under-penetrated in many categories.” 

Future Group, in the last one year has launched three new brands across a dozen categories. With modern retailers contributing just 6-7% to the total sales of consumer goods companies, their overall margins aren’t getting impacted drastically. But in the last few years, consumer goods companies have been aggressively trying to channel most of their resources into nascent segments like deodorants, diapers and ready-to-eat products that they feel have huge potential.

GCPL board approves merger of GHPL.

“The merger of GHPL with GCPL is an important milestone in our aspiration towards becoming a leading emerging markets FMCG company,” GCPL chairman Adi Godrej said in a statement. 

 

The company said the merger subsequent to GCPL’s acquisition of 51% stake in Godrej Sara Lee (GSLL) from erstwhile partner Sara Lee Corp, will be applicable with retrospective effective from 1 April, 2010. 

The merger will provide us with significant strategic and operational benefits. Both GCPL and GHPL have delivered outstanding performance and we believe that the merger provides us with a scale platform to accelerate our growth and profit trajectory,” Godrej said.  
      
       ccording to analysts, the integration of the two firms will help in bringing more synergies in terms of its distribution and marketing.

“There has been synergy already between the two firms, it will be higher now whether in their distribution channel or marketing,” an analyst with Angel Broking said.
           They will have a bigger basket of products to offer. Besides, there might be certain things, which were overlapping. It will help in overcoming that and help in cost saving, he added.