Pongal fervour at a high for TN brands despite cyclone dampener

Advertisers from Tamil Nadu outline their plans for the Pongal festive season with respect to ad spends, marketing strategies, media mix and expectations

by Simran Sabherwal
Published - January 15, 2024
9 minutes To Read
Pongal fervour at a high for TN brands despite cyclone dampener

As Tamil Nadu and Andhra Pradesh celebrate the harvest festivals, Pongal and Makar Sankranti respectively, it's an auspicious time for consumers to make big purchase decisions.

Sharing his views Uday Mohan, Managing Director, Havas Media India says, “Pongal is typically a high-intensity advertising season right at the beginning of the calendar year and it is one of the biggest festivals for the southern region. This year specifically to add to the momentum, the Tamil Nadu government has also announced special incentives and cash rewards for female heads of families. Overall, the sentiment looks very positive.”

However, the devastating effects of the cyclone across the state of Tamil Nadu significantly impacted the economy which is slowly recovering. B Shankar, CEO, Fourth Dimension Media Solutions says, “Post the devastating cyclone last month, the market is slowly bouncing back to normal.”

Adds Saraswathi Anand, AVP - Marketing and Product (Language Cluster), Network18 adds, “The festivities have been impacted by heavy floods, leading to a slightly diminished sentiment surrounding the celebrations. Despite these challenges, the optimism and resilience within the community noted that hopes are still alive for joyful and meaningful observances of Pongal and Makar Sankranti. In terms of economic contributions to the festivities, there is an expectation for advertisers to continue their support at levels comparable to the previous year.”

Sharing the advertisers’ perspective on the importance of the harvest festivals, Mark Titus - AVP – Marketing, Nippon Paint India says that Pongal and Makar Sankranti hold significant importance for Nippon Paint. He says, “People traditionally repaint their homes every year before Pongal. While advancements in long-lasting paints have altered this practice, the emotional aspect of refreshing homes around Pongal persists. Given the festival's distinct celebration in various regions of Tamil Nadu and Karnataka, we focus on numerous local activities rather than a broad campaign during this period.”

For Vummidi Bangaru Jewellers or VBJ, in addition to Pongal, weddings and housewarming ceremonies have been scheduled this month. For this season, the jewellery brand is launching an exclusive bridal collection - ‘Avatara’ and focussing on its other signature collections such as the Multi-sapphire collection, Persiana collection and exclusive ranges like Infiniti and Peacock Saga.

Says Amarendran Vummidi, Managing Partner, VBJ, “We are sure customers will head to our showrooms to purchase unique jewel pieces to mark special occasions and festivals. Our contemporary and classic collections will be embraced by more customers. We have every reason to expect a whopping sales figure in the coming months.”

Leading e-commerce platform Myntra launched a Pongal campaign, ‘Palich Palich Pongal.’ The ‘Pongal Store’, live on the app, brings together a curated festive selection of 4 lakh+ styles from 1800 brands across categories.

Retailers Take The Lead

Typically, Pongal sees a surge in spending across various categories, driven by tradition, festivities, and cultural significance and this presents a significant media opportunity for advertisers in Tamil Nadu and other southern states.

Priya Iyer, COO – South, Initiative India says, “FMCG and Retail – online and offline – will remain the two biggest verticals and continue to spend money. With going local being the flavour of the season, a high number of FMCG brands will drive regional expansion during Pongal. Additionally, there will be renewed spends from Auto, Jewellery, Real Estate, Paints, to name a few. The list of top categories will remain similar to previous years.”

In addition to the above categories, building materials and real estate have also been prominent. Also, companies/brands have announced special offers and promotions, for eg. Amazon has offered up to 80% off Pongal sale, popular two-wheeler manufacturers have offered discount offers of up to Rs 7,500 on every unit purchase and Pongal special editions sarees have been launched by local retailers etc.

On his part Dinesh Rathod, Chief Executive Officer, Madison Media Omega says that while there has been a surge in media investments from FMCG & auto sector and the jewellery category, the impact of the drying of funds for start-ups has been seen. He says, “The funding winter had had its effect on all startups, and this has seen curtailed investments from this category besides a cut down from e-commerce players and online gaming apps and fantasy leagues.”

Sharing the media perspective Anand states, “Industries such as Retail Outlets, Consumer Durables, E-commerce, Food & Beverages, and Auto are expected to maintain or even increase their advertising budgets. This signals a continued focus on consumer-oriented and lifestyle products. On the other hand, sectors like Agriculture & Farming products, Textile, and Jewellery are likely to curtail their advertising spending. This reduction in budget from these sectors might be influenced by factors such as the impact of floods on agricultural activities and a potential shift in consumer priorities during the current circumstances.”

Adds Shankar, “Retailers – particularly the mobile, jewellery and textiles have been active in the market. Cinema is big in Tamil Nadu and this Pongal there are two big releases, Captain Miller and Ayalaan. While almost all categories are advertising, some have curtailed their spends this year. Brand launches during this period are not happening as they used to earlier. This year will be status quo or we will see a marginal growth when compared to last year.”

Sharing a cautionary tale, an industry veteran from a leading broadcaster present across the Southern States says that the recent cyclone has significantly impacted retailers, in particular, as they witnessed inventory damages leading to significant losses. So, while retailers have advertised, many have cut their spends with the festival this year being at best status quo when compared to last year.

The Media Mix

Looking at, Nippon Paint, the company employs a comprehensive media mix strategy to effectively engage and target consumers during the holiday season. Says Titus, “Recognising the importance of regional and linguistic diversity, Nippon Paint connects with a diverse audience through traditional media channels such as regional television, radio, and print. This strategy ensures that marketing messages resonate with the diverse cultural preferences in various zones, such as Dakshin Karnataka, Uttar Karnataka, the Cauvery Delta of Tamil Nadu, and others. In each of these zones, strategic engagement activities are implemented, with radio, out-of-home (OOH), and digital platforms serving as the primary media outlets during this festive season.”

Titus adds, “We anticipate a significant increase in in-store purchases during the festive season, as consumers tend to personally visit stores for Pongal-related shopping, home decor, and renovation needs. Online sales may also increase, particularly among customers who value the convenience of shopping from the comfort of their own homes. Exclusive online offers or discounts can boost e-commerce sales. We anticipate a 10-12% increase in sales in January compared to December.”

VBJ which boasts of a loyal customer base for its bespoke jewellery has rolled out a 360-degree campaign and is releasing TV commercials to popularize its brand and take its signature collections beyond its loyal base of customers.

Says Amarendran Vummidi, “This season, we will be venturing into TV space. Soon, creative and impressive VBJ ads will be telecast. Exclusive outdoor media including displays at Madurai, Coimbatore airports and bus shelters is also in the plan. Digital content is also consumed more and we are judiciously allocating our budgets for social media so that we can make an impression on GenZ as well. For the year ahead, it will be a balanced spend for social media, traditional way of advertising including outdoor and for TV medium.”

Looking at Myntra, the brand campaign includes an ad film and social media activations including promotion by over 50 Tamil-TG-focused creators. The campaign is expected to reach more than 30 million people with the ad film being presented to audiences across digital channels.

Sharing the media planners’ perspective Mohan says, “Retail marketers skew their ad budget towards local language media like TV, Radio, and Print. Television becomes the primary medium followed by print, digital and radio. There is an appointment budget with new theatre releases on Pongal, which is largely consumed by national advertisers, and pre-festival demand peaks with OOH and Print largely by local brands and auto category. South is a celebrity lead market hence top celebs and influencers will have a significant role in the ad campaigns in pulling the consumers towards the purchase funnel.”

On her part, Iyer says, “Most brands will adopt an omnichannel approach to reach out to consumers. With high digital penetration in southern markets, apart from Print and TV, Digital provides a layered opportunity to deliver reach and engage with customers. The use of Digital content and influencers will be high for categories like Fashion, Food, Home Décor, and brands will use a mix of celebrities and macro and mid-tier creators to reach a large set of audiences.”

She adds, “The spends in Tamil Nadu has seen double-digit growth during Pongal and is reflected across Print and TV. While TV grew by ~45% in 2023 vs. 2022, Print saw a similar increase last year with a 2x rise in spends by categories like Auto, Retail, Jewellery. We anticipate high growth in adex during Pongal with an increase of 15-20% this year too.”

However, Network18’s Anand is more cautious and says, “The year-on-year (YoY) growth in advertising expenditures, states that the overall growth is expected to be flat compared to the previous year. This stagnation to the adverse impact of heavy floods, has led major categories to reduce their spending. The analysis suggests that the challenging circumstances, likely exacerbated by the floods, have resulted in a more conservative approach to advertising budgets across various sectors. This is a realistic assessment of the economic landscape, emphasizing the influence of external factors on advertising growth in the current year.”

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