Mcdowell Turnover May Rise 7%
The Vijay Mallya-owned McDowell & Co Ltd is set to post a 7 per cent increase in turnover to Rs 800 crore for the financial year ended March 31, 1997, against a Rs 746-crore turnover recorded in March 1996.
The Chennai-based liquor major's business strategy over the current fiscal will focus on directing investments extensively towards building its brand equity, said Hemchandra Zaveri, general manager (marketing) of the company. The scheme will concentrate on protecting consumer franchise on its recently launched 'No 1 McDowell's Celebration Rum' brand and improving its sales in the whisky segment. McDowell, which is an established player in the whiskey segment, also has plans to enter the regular spirits market and is considering the launch of new brands there.
The launch of these brands will, however, be contingent on the market available for them and so far the plans are still at the blueprint stage, Zaveri said. The company has lined up a series of promotional events over the current financial year. Principal among the events is the ATP tennis tour to be held later this year, for which the company is the platinum sponsor. Over the next few years funds will also be channelised into promoting brands through football tournaments in the eastern region.
The company is currently hosting the McDowell IFA Cup in Calcutta, which concluded yesterday, in association with the Indian Football Association.
Horse racing will, however, remain a priority medium for brand promotion with three derby events lined up in Mumbai during the year as well as a couple of events in Chennai.
The eastern region has been an important market for the company where it has made major inroads over the last three years, particularly with its 'No 1 Celebration Rum brand.
Calcutta along with parts of the north eastern region constitute about 80 per cent of McDowell's all-India rum sales.
An important factor which contributed to the successful marketing of the Celebration brand was the advantage of the preferential excise duty in favour of rum vis-a-vis whisky, he said.