Pernod Ricard India ramped up advertising spends to ₹864 crore in FY25, underscoring a sharper focus on brand-building in a competitive alcohol market. The spirits major reported total income of ₹27,664 crore (+2.7% YoY) and profit of ₹1,735 crore, staying marginally ahead of Diageo India. Post its exit from Imperial Blue, the company is accelerating premiumisation, prioritising higher margins and stronger brand equity.
Why This Spend Matters
Alcohol brands are increasingly focusing on:
- Premium brand storytelling over volume-led growth
- Sustained top-of-mind presence amid regulatory constraints
- Driving margin expansion through premium portfolios
- Winning affluent, urban consumers with aspirational marketing
From Mass to Margin
By exiting value-heavy brands and boosting ad investments, Pernod Ricard signals a clear shift:
- Fewer brands, stronger narratives
- Higher ROI from focused media spends
- Long-term loyalty over short-term volumes
Strategic Takeaways
1. Premiumisation Needs Visibility
Higher-end brands demand consistent, high-impact marketing.
2. Advertising Fuels Margin Growth
Brand strength directly supports pricing power.
3. Focus Beats Scale
Sharper portfolios outperform crowded line-ups.
In a cluttered spirits market, Pernod Ricard India’s ad push reflects a disciplined bet on brand-led growth over scale alone.This isn’t just higher spend.It’s a premium play for the future.
