With equity markets underperforming and inflation eating into the fixed deposit interests, jewellery brands are hopeful that demand for precious metals will see a solid uptick as both retail customers and investors will pour in money.
According to MP Ahammed, Chairman, Malabar Gold and Diamonds, “There is a significant rise in the demand for gold jewellery as the consumer sentiments have been on the positive side. Furthermore, we are expecting a healthy and robust festive season this year as it will offer ample opportunities for revenue growth across all jewellery categories.”
“Gold has always been a preferred saving option among Indians and in the post-Covid-19 era as we head towards the wedding and festive season, we are witnessing strong demand momentum, with good footfalls,” said Ramesh Kalyanaraman, Executive Director, Kalyan Jewellers.
Furthermore, commenting on the expectations from the forthcoming festive season, Akshay Matkar, Head of Marketing, Candere by Kalyan Jewellers, said, “When it comes to numbers, we hope to achieve a 50% year-on-year growth. Ever since the pandemic, we have seen traction coming from tier 2 cities and thus we are planning to experiment with reaching out to them as well.”
With the jewellery players eyeing a positive festive season this year, the advertising spends are likely to be more strategic and cost-efficient this year, as per industry experts.
“Approximately 90% of our ad spends are currently on digital mediums, but our main focus this year is on content marketing, as we have started to produce and cover content for all buckets. However, we are looking forward to optimising our advertising expenditure this year,” revealed Candere’s Matkar.
In addition to this, Malabar’s Ahammed stated, “Our advertising budget is highly bucketed and need-based as we decide the ad-medium post identifying our campaign’s target audience. The ‘EverAfter’ campaign which targeted millennials was thus launched on social media whereas ‘Brides Of India’ went on to be a 360-degree campaign. Therefore, we will continue with the same strategy for this festive season as well.”
“In the aftermath of the pandemic, there has been a substantial increase in the screen time of Indians across digital platforms. As a result, brands are taking a new marketing approach towards digital, social media and OTT, especially for including new content. We have also adopted a more digital-centric approach to target the next-gen consumers, through various shorter formats especially for our vernacular campaigns,” pointed out Kalyanaraman.
“Our marketing campaigns are tailored to enhance our brand recall and generate increased footfalls in our showrooms throughout the year and highlight the variety of our collection and designs, especially our light-weight gold jewellery. Recently, we also acquired the branding rights of one of the stations of Kolkata Metro and co-branded it as Senco Gold & Diamonds Karunamoyee station,” stated Suvankar Sen, MD and CEO, Senco Gold and Diamonds.
As the modern consumers’ media consumption patterns have emerged to be fragmented, each ad medium needs to be addressed differently to meet the set objectives. “In order to strengthen customer traction on the ad spectrum, we plan to continue leveraging the power of Print and Outdoor media, consistently. However, TV and Digital mediums will be our focal points for advertising in the future,” Ahammed added.
“With multiple region-specific festivals coming up before the occasion of Diwali, we aim to follow a hyperlocal product and customer outreach marketing strategy this season as we plan to widen our product portfolio with multiple region-specific jewellery collections that will cater to the distinct needs of our customers from various communities,” concluded Kalyanaraman.