Mamaearth increases its marketing spends by threefold; to invest in TV and digital

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December 15, 2020 8:00 AM

The company claims that 90% of the spends has been allocated to digital platforms including influencer marketing and 10% on traditional media

As per the firm, tier 2 and smaller markets amount to more than 50% of its businessAs per the firm, tier 2 and smaller markets amount to more than 50% of its business

Atmanirbhar Bharat is what everyone seems to be following as the mantra for growth and development. As a result, the market in the last few months has witnessed a rise in home-grown direct-to-consumer brands. Home-grown skincare brand Mamaearth, which claims to have seized this as an opportunity has increased its marketing spends by three times in the current fiscal. “We will continue to invest in the brand as we believe it is a very large opportunity. Brand building requires investments rather than holding back,” Varun Alagh, co-founder and CEO, Mamaearth told BrandWagon Online. The company claims that 90% of the spend has been allocated to digital platforms including influencer marketing and about 10% has been spent on traditional media, primarily television. The D2C firm further claims that its continuous marketing investments have resulted in month-on-month growth in sales. According to Alagh, in June sales doubled when compared to the pre-Covid period.

Moreover, as per the firm tier 2 and smaller markets amount to more than 50% of its business. “One of the reasons why TV is a good advertising medium is because of its reach beyond the metros. On digital too, we plan to go vernacular and drive local language communications to reach out to these markets,” Alagh added. The company launched its first television commercial recently. As per Alagh, the primary objective is to get new consumers and drive brand awareness. The company recently partnered with Viacom18’s Hindi general entertainment channel Colors for its reality show — Bigg Boss as an associate sponsor.

The company has tied-up with modern trade retail outlets such as Wellness Forever, Health & Glow, Dabur NewU, Guardian, 98.4 chemists, Mother care, Shoppers Stop, among others, as part of its expansion plan. Moreover, it claims to have over 3,000 stores across the country. “We have also expanded our warehouse and supply chain to ensure that we are able to service more consumers from tier 3 and beyond,” he added. Even as a larger part of its sales come from online channels, offline sales’ contribution has increased to 15%.

As a new-age company, it claims to have invested in sustainability to further consolidate the brand’s image. For instance, its ‘Plastic Positivity’ initiative is aimed at recycling plastic while with its ‘Plant Goodness’ initiative it has committed to plant trees for every order received. For Alagh, consumers of today buy into a brand rather than buying into products. “We have been talking about what the brand stands for and we will continue to talk about what we do as a brand beyond creating natural products,” he stated.

Read Also: Rapido bets big on performance marketing, launches its first commercial #LoveTheChase

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