Auto Industry Boosts Ad Spending for Festive Season Amid Optimism
In anticipation of what is expected to be one of the best festive seasons in recent years, the automobile industry in India is gearing up with increased advertising budgets. Car manufacturers like Maruti Suzuki and Tata Motors are witnessing continuous growth in the auto sector, primarily due to the rising demand for personal mobility.
Carmakers have indicated a significant surge in advertising expenditure this festive season, a move they believe will directly impact sales and customer responses. This uptick in marketing efforts coincides with the ICC Men’s World Cup, prompting automobile brands to not only allocate larger budgets but also launch more products and aggressive marketing campaigns.
Maruti Suzuki, for instance, has increased its marketing budget by 15% compared to the previous year, launching campaigns in conjunction with the 6th anniversary of its ARENA channel. The company plans to roll out campaigns during the World Cup, further enhancing its promotional activities. According to the TAM Adex report on the auto industry, Maruti Suzuki India has claimed the top spot in ad volumes on TV, with a significant growth of 50% during Jan-Jun’23 compared to the same period last year.
The industry is showing remarkable growth, with an upswing of 24% in retail since the onset of the festive season during Onam in August. Senior executives from various car manufacturers, including Tata Motors and MG Motor India, express their confidence in the upcoming festive season, expecting robust sales and customer engagement.
To maximize their reach, automakers are utilizing diverse media channels, including TV, OTT platforms, radio, and digital platforms. They are placing emphasis on radio advertising and vernacular communication to connect with consumers effectively, especially in the last mile. The industry’s optimism and strategic marketing efforts suggest a thriving festive season for the Indian auto sector, with a flurry of launches, enticing campaigns, and enhanced customer experiences on the horizon.
