Anticipating a 50% growth in demand during Diwali, LG Electronics India has this year doubled its marketing budget for the festive season to ₹100 crore, a senior company executive said.
“We are totally geared up for the festival season… Normally, we used to do TV commercials for one or two products,” Vijay Babu, VP — Home Appliances, LG Electronics India, said. “This time we are seeing huge demand for health and hygiene products and we have the products that meet these requirements. We have doubled the marketing spend this year compared to last year Diwali,” he said.
He added that the company would be spending ₹100 crore on marketing this festive season. Mr. Babu said that the company is anticipating a 50% year-on-year growth in sales in the home appliance category during the upcoming festivals of Dhanteras and Diwali.
“Majorly it’s the pent-up demand. Another reason is that now with the pandemic, people are avoiding eating out, they have cut down travels and other activities… so, these are savings for a middle-class consumer and they are upgrading and buying consumer durables,” Mr. Babu said. He added that following the lifting of curbs June onwards, the firm had witnessed high demand for high-end premium products across categories like refrigerators, dishwashers and washing machines.