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Home appliance and consumer electronics manufacturers Samsung India Electronics and LG Electronics India Ltd (LGEIL) alone are spending nearly Rs 85 crore on promotions this Diwali and eyeing a total turnover of Rs 1,500 crore during October and November. LG, which has earmarked

Rs 62 crore on its festival promotional scheme, is looking at a Rs 1,000-crore turnover by the end of the season.

The manufacturer is offering more than 7,50,000 gifts as part of its festive offer at a total cost of Rs 37 crore. The total media spend this season for LG is around Rs 25 crore. Says Anil Arora, LGEIL’s marketing head, “We aim at selling more than 10 lakh products during the promotion, which would be 54 per cent higher over the festive season last year.” Samsung, too, is getting into the game with a Rs 15-crore spend on its Rub Ka Kamaal offer, and another

Rs 10 crore to be routed towards advertising. Samsung India director R Zutshi says, “We are targeting sales of 3,00,000 CTVs during the promotion period and will also be introducing new products in CTVs, washing machines and microwave ovens before Diwali.” The reasons that are making marketing men so upbeat about consumer spending are obvious and all around us. Says Zutshi, “Given the general economic upturn and the good monsoons this year, we expect to notch up sales of Rs 550 crore during the promotion period.”

According to Harminder Sahini, principal and associate director, KSA Technopak, “While overall consumer spending has gone up this year, the options to spend have increased for consumers. This is making companies increase promotional spending to make their products and offers most attractive.” By spending Rs seven crore on new products, Sansui is expected to sell around 2,00,000 units of CTVs, which is 20 per cent higher compared to its sales last year. Even the rural market for Sansui is expected to grow by 30 per cent this year as against 12-15 per cent last year. Videocon too has increased its ad budget by Rs 60 crore to Rs 140 crore this year, and is hoping to garner sales of Rs 300 crore, which would contribute 20 per cent to its overall annual sales turnover.

The list of promotional spenders has more manufacturers, like Kelvinator and Hero Honda. The former’s Diwali Celebration Offer will entail a promotional spend of Rs four to five crore, while Hero Honda, with nearly Rs 25 crore on gifts and Rs five crore on advertising, is aiming to clock sales of 2,00,000 units in October.

Even branded jewellery maker Tanishq is joining in. The company, which is aiming for a 40 per cent growth during this season, has launched three new collections and a silver line range, and the promotional spend is expected to be around Rs five crore.

And unlike lucky draws that used to be the norm before, nearly every manufacturer is wooing the customer with an assured gift. Like lifestyle retail store, Ebony, whose campaign ensures gifts for everyone irrespective of the amount of purchase.