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Consistency in branding is crucial for brand recognition

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Jacob Mathew, Head Communication, Penna Cement Industries, discusses the importance of focussed marketing and branding strategies for cement companies to stay ahead of the competition.

How important do you think branding is for a cement manufacturer in today’s competitive market?
In the cement sector, brand perception is a significant factor in promoting the secondary sales demand, especially in the retail segment. It helps to create a solid and recognisable identity, differentiate the brand from competitors, build customer trust, and establish a positive reputation. A well-developed brand can significantly influence customer preference and purchasing decisions in the present market. All the major cement players have been working towards enhancing the brand recall value, which has, in turn, improved the price.

What specific strategies or initiatives do you undertake to differentiate your cement brand from competitors in terms of branding?
We have been working on our branding efforts in a manner which is more effective and can reach the right target audience. Recognised for our innovative management by Golden Peacock awards, we focus on unique value propositions such as product quality, durability, and customer service to differentiate our cement brand from competitors. We mainly target the spending via below the line activities in targeted markets and engage the customer through tailor-made influencer schemes, such as mason/contractor programmes and channel connect meets. Thus, we ensure continuous visibility and top-of-the-mind recall for Brand Penna.

How do you ensure consistency in branding across different product lines and markets?
Ensuring branding consistency is done by setting up standard brand guidelines. Consistency in branding is crucial for brand recognition and customer trust. We establish clear brand guidelines that outline the brand’s visual identity, tone of voice, and critical messages. All the activities we engage with are within the SOPs to maintain the same procedural flow in case of different markets and across various products.

Have you conducted any market research or surveys to gauge the effectiveness of your cement brand? If so, what were the key findings and how did you respond to them?
We have been engaging in various research activities to understand our brand perception and how well we are connected to the market. The ongoing process is done with the help of primary and secondary research.
Primary research is done with the use of defined questionnaires and to a targeted market conducted by our techno marketing team and the outsourced agencies. The secondary research is done through published research reports, various articles, and industry sources. All the data accumulated via the same is evaluated and comprehended to reconstruct and redefine our target markets, wherein we increase our brand activities. The key findings help us identify areas of improvement, uncover customer needs and fine-tune our marketing strategies.

What role does sustainability play in your cement branding? How do you communicate about your sustainability efforts with your customers?
Sustainability is a critical aspect of our cement branding, along with a focus on ESG. We integrate sustainability into our brand messaging by highlighting our eco-friendly manufacturing processes, use of recycled materials, and energy-efficient operations. In the case of marketing, our concentration has been mainly on increasing blended sales. We have been converting specific markets to only blended cement to initiate sustainability and understand the market’s outlook for future requirements. We have also been working on introducing new products to substitute our
high-grade cement with the launch of Penna Concrete Guard, a green cement. We continue to focus on other continuous product development and integration.

How do you leverage digital platforms and social media to enhance the visibility and reach of your cement brand?
With full accessibility to digital and social media platforms, even in the tier II and III markets, customer engagement activities and communication for brand visibility are taken up. We actively leverage digital platforms and social media to increase the visibility and reach of our cement brand. We maintain an engaging website that provides comprehensive information about our products and sustainability initiatives. We also utilise social media channels to share informative content, engage with customers and address their queries. We have adopted the latest CRM/Visualisation/Optimisation tool technologies to create data centricity to help customers and channel partners. Our channel partners can access these dedicated portals through which brand and related communication happens. Additionally, we invest in targeted digital advertising campaigns to reach specific customer segments and maximise our brand exposure.

Can you share any examples of successful marketing campaigns or initiatives that have significantly boosted your cement brand’s recognition and sales?
One of the successful marketing campaigns has been the launch of Penna Concrete Guard. With the product belonging to our premium product segment, we have increased the counter sales with the help of creating a higher secondary demand for the product. It was done with the help of concentrating our spending on specific retail-based channels to increase sales and maintain the price. With this objective, we have expanded our brand position across various markets.

How do you handle any negative brand perception or reputation challenges that may arise, such as product quality concerns or environmental impact controversies?
Understanding the brand perception across markets and customers in the way of negative or positive outcomes is essential. For all the negative perceptions, we have understood the root cause for the same and to effectively resolve the same at the earliest.
Such as, in the case of product quality concerns, our dedicated technical team gives complete assistance to the sites to understand the cause and find a workable solution as per their requirement.
On the aspect of environmental impact, we have been working towards renewable energy in the form of setting WHRs and our proposed solar power plants.

-Kanika Mathur

Concrete

UltraTech Board Approves Rs 50 bn Fundraise Via NCDs

Company to issue half a million debentures for expansion plan

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UltraTech Cement’s board of directors has approved raising Rs 5,000 crore (Rs 50 bn) through non?convertible debentures issued in rupees.

The finance committee cleared a proposal to issue up to 500,000 fully paid, unsecured, listed, rated, redeemable, rupee?denominated, non?convertible, non?cumulative debentures of Rs 1 lakh each (Rs 0.1 mn each), aggregating to the Rs 5,000 crore programme.

As of June 2026 the firm reported net debt of Rs 15,875 crore (Rs 158.75 bn) and said its capacity expansion projects under execution are backed by capital expenditure of about Rs 17,000 crore (Rs 170 bn) over the next two to two?and?a?half years.

UltraTech spent Rs 9,500 crore (Rs 95 bn) on capital expenditure in financial year 2026 and in April the group crossed 200.1 mn tonnes per annum of domestic grey cement capacity and 205.5 mn tonnes per annum of global capacity.

The chief financial officer indicated the company would take consolidated capacity beyond 242 mn tonnes per annum, with grey cement capacity reaching 212.7 mn tonnes per annum by the end of financial year 2027. He noted the net debt?to?earnings before interest, taxes, depreciation and amortisation ratio stood at 0.87 times as of June 2026 and the company was confident of ending financial year 2027 with the ratio below one time.

In the first quarter of financial year 2026?27 UltraTech’s net profit attributable to owners rose 16.8 per cent year?on?year to Rs 2,599.3 crore (Rs 25.993 bn) and revenue from operations increased 15.9 per cent to Rs 24,648.20 crore (Rs 246.482 bn). The board approval is expected to complement internal cash flows as the company advances its expansion programme.

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Concrete

Lokesh Lays Stone For Rs 31 Billion Cement Unit In Kadapa

Line-2 expansion to make Kadapa a major cement hub

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Andhra Pradesh Education and IT Minister Nara Lokesh on Wednesday laid the foundation stone for the Line-2 expansion of Dalmia Bharat Cement at Chinnakomerla village in Mylavaram Mandal in Kadapa district. The project carries an investment of Rs 31 billion (bn) and is slated for completion by the third quarter of the financial year 2028. The expansion is intended to boost industrial growth and employment generation across the Rayalaseema region.

Once commissioned, the Kadapa facility will become Dalmia Bharat’s largest integrated cement manufacturing ecosystem in southern India, creating over 1,000 direct and indirect jobs and opening new business avenues for regional micro, small and medium enterprises and transport operators. Lokesh said the expansion signalled growing corporate confidence in the state and reflected the practical ease of doing business that secured repeat investment.

He placed the project within the government’s wider economic targets and recalled the Yuvagalam padayatra commitment to generate two million (mn) jobs within five years, noting that the state would cultivate talent while industry created opportunities. Lokesh highlighted Andhra Pradesh’s competitive pursuit of major manufacturing accounts, mentioning past successes and a personal initiative to engage global investors when persuading them to anchor expansion in the state.

The plant will leverage Kadapa’s abundant limestone reserves to scale production and sustainability. Clinker capacity is planned to rise from two point five million tonnes per annum (mn tpa) to six point one mn tpa, while overall cement output will increase from three point six mn tpa to nine point six mn tpa. The unit is designed to operate on over eighty per cent renewable energy and deploy waste heat recovery, zero liquid discharge, water recycling and advanced AI systems to optimise efficiency. Industries Minister TG Bharat, BC Welfare Minister S. Savitha and Jammalamadugu MLA C. Adinarayana Reddy attended the ceremony.

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Concrete

Cement Prices to Stay Flat in Q2 FY27 as Costs Squeeze Margins

HDFC Securities warns monsoon slowdown and higher fuel costs

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HDFC Securities has said the cement industry is unlikely to register a sequential increase in prices in Q2 FY27 as monsoon-related demand moderation coincides with rising fuel and packaging costs that will squeeze margins. The brokerage observed that price gains remained modest, with increases of two to three per cent quarter-on-quarter across regions, and noted subdued offtake in May with improvement in June as a delayed monsoon supported construction activity. The brokerage added that modest pricing gains so far have been insufficient to offset the input cost escalation.

The report stated that input cost pressures intensified in Q1 FY27 owing to the West Asia conflict, which pushed up coal and pet coke prices and is expected to keep fuel costs elevated, with a likely peak in Q2 FY27. It assessed that total variable costs, including packing, could rise by around Rs 150 per t quarter-on-quarter and that lower offtake and seasonal operating deleverage could further raise operating expenditure by about Rs 50 per t quarter-on-quarter.

Overall, cement prices were estimated to remain flat in Q2 FY27 as monsoon-led demand weakness offsets limited upside in realisation, and rising fuel costs alongside seasonal deleverage were expected to compress industry margins by over Rs 100 per t quarter-on-quarter to below Rs 880 per t. The brokerage indicated that the combined impact of energy inflation and higher packing expenditure would be the principal drivers of margin contraction in the near term. HDFC Securities projected a recovery in margins in H2 FY27 should the West Asia turmoil subside and energy and packing costs cool off.

The brokerage expressed optimism on long-term demand fundamentals and said improving realisation together with an anticipated cost cool-off should support a margin rebound from H2 FY27 onward, underpinning favourable industry prospects over the medium term. Its outlook rests on monsoon normalisation and a decline in imported fuel prices in the second half of the fiscal year.

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