VIP Industries Cuts Ad Spend by 29 Percent as it Resets Strategy in FY25

VIP Industries has reported a major cut in advertising and publicity expenses for the financial year ending March 2025. The company spent Rs 138.33 crore on advertising, down from Rs 184.82 crore in the previous year, marking a steep 28.7 percent decline. Interestingly, while ad spends fell, communication expenses rose 10 percent to Rs 3.27 crore, highlighting a shift toward sharper and more targeted outreach.

The company’s revenue from operations slipped slightly to Rs 2,169.66 crore in FY25 compared to Rs 2,244.96 crore in FY24, with total expenses touching Rs 2,291.73 crore. In its annual report, VIP Industries described the year as a period of strategic reset. Rather than chasing visibility through heavy ad spends, the brand leaned into purposeful storytelling and precision engagement with customers, corporates, and channel partners.

This approach was deeply rooted in digital first strategies aimed at strengthening brand positioning and driving premiumisation. The company expanded its online portfolio with new launches like Quad Pro, designed for digital natives with advanced features. Popular additions such as Rigel and Stargaze Active came with TSA locks and anti theft zippers, appealing to functionality and lifestyle conscious consumers.

Skybags reinforced its dominance among youth by rolling out bold prints and stylish duffels tailored for fashion forward shoppers. These launches boosted brand relevance and kept the brand at the center of e commerce driven buying trends. Meanwhile, Carlton was amplified through a blend of premium print campaigns, high impact outdoor installations across key cities, and sharp digital storytelling. The report highlighted how every brand touchpoint from ad to aisle is now tightly aligned with Carlton’s premium image.

Overall, the strategy underlines a clear pivot from heavy spending to meaningful engagement, relying on digital channels and focused messaging to elevate perception and drive long term growth. VIP Industries is positioning itself not just as a luggage brand but as a storyteller of experiences, style, and values.

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