Under pressure from higher input costs and squeezing margins, liquor makers are attempting to woo customers through attractive packagings rather than festive season discounts.
"While input costs have increased in the current year the company has undertaken cost mitigation measures including strategic buying, use of alternate packaging...To realise purchase efficiency," United Spirits President Vijay Rekhi told PTI.
Major players in the Indian Made Foreign Liquor (IMFL) segment such as United Spirits, Radico Khaitan and Diageo are staying away from any price cuts and discounts during this festive season but concentrating more on attractive packaging and premium brands.
"We have lined up several big ticket promotions this festive season across our brands. For example, Black Dog premium Scotch Whisky and McDowell's No 1 Whisky will be available in special commemorative packs for our customers (at existing prices)," Rekhi said.
According to experts, festive season which starts from Dusshera and continues till New Year, accounts for over one- third of the total spirit sales in the country and alcohol is also used during this period for gifting.
Radico Khaitan COO Raju Vaziraney said: "The festive season sees a growth of around 20-25 per cent in sales and this time also as we have brought some new offerings with Magic Moments Vodka and its flavours, we are expecting this growth to surge further." Festivals in India bring an entire new set of seasonal opportunities for marketers, Diageo Managing Director Asif Adil said.
"A festive gift hamper customised to suit an Indian consumer's tastes is always preferred for corporate as well as personal gifting," he said. |