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Cementing the brand

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Branding is a significant aspect in a business to establish trust and recall value amongst customers. The critical question is whether these branding techniques help in influencing the consumers to change their commodity mindset? The answer is a yes. Branding can change the perception of consumers towards a commodity and persuade them to buy a product.

We have some very good examples in the cement industry that prove how they have built cement as a brand successfully. A TV commercial launched by Ambuja cement in 2001-2002 became a huge hit and helped the company establish itself as a famous brand. The commercial it launched back then was no less than a Bollywood film scene where the two brothers shared dialogues ????haiyaaaa, ye deewar toot ti kyu nahi?? followed by another dialogue ????ootegi kaise, Ambuja Cement se jo bani hai?? The commercial delivered a clear message that Ambuja cement has compressive strength. Recently, it launched an explanatory videos series called ??azboot Ghar Ke Mazboot Adhaar?? Similarly, UltraTech Cement is known as a brand of ??he Engineers Choice?? This famous tagline depicts that the cement is been approved by qualified engineers.

Industry leaders believe that creating a brand name needs to be done keeping in mind key aspects of a business??ricing, quality, packaging, and other sales and marketing strategies.

JK Lakshmi Cement?? Mazbooti Guaranteed tagline is a prime example of how much importance the company gives to the strength of its product. In 2020, the company came up with a new campaign ????a Strength Dikha?? which is another attempt to showcase the higher strength of the brand vis-a-vis competitor.

M Ravinder Reddy, Director ??Marketing, Vicat, says ?? am quite satisfied with the journey of cement as a brand so far. If you consider the control days, the situation has changed significantly since 1982 when partial decontrol was introduced. Cement started selling as a brand since then. Initially, it was in a radius of around 400 km around the plant. Then in the year 1989, cement became an independent commodity without any controls. It was then when the cement companies started advertisements for branding. The manufacturers went from one location to multiple locations. Today if you see there is one mother brand and under it, there are a few more sub-brands. Today, cement is almost like any FMCG product.??/p>

Customer-centric approach

Many cement brands follow a customer-centric approach to grow their businesses. For instance, Ambuja Certified Technology (ACT) is a unique solution for millions of home builders in India. The value-added service addresses the three critical Ms in house building ??men, materials, and methods.

Ambuja?? ACT is based on three pillars- the right techniques, the right material, and the right people. The company claims that over 77,000 customers have taken advantage of the various onsite services. ACT is a holistic package that addresses three critical needs – Men (contractors), Materials (primarily building materials) & Methods (practices), by helping customers select the right contractor, products, and construction methods to build strong and durable homes.

??ddressing the customers??pain points is the key to winning their long-term loyalty. What we offer as ACT approach goes far beyond selling cement. While we deliver top-notch cement in terms of quality, ACT ensures that the other equally important elements in building a home come together seamlessly. The number of homes we have helped build over the years proves the value of ACT to builders,” said Neeraj Akhoury, CEO & MD, Ambuja Cements.

Similarly, UltraTech launched the first-ever pan-India multi-brand retail chain concept called-UltraTech Building Solutions (UBS) to offer a one-stop-shop solution to its customers. UBS caters to the needs of individual home builders (IHBs) and helps to engage with home builders at all stages of the construction cycle. This led customers to engage themselves with the brand while building a dream home.

Branding strategies to position a brand

Some of these leading cement players have left a remarkable impression in our minds about their products. UltraTech is known to aggressively promote its products with an aggressive strategy. It has a 90,000+ dealer and retail network all over the country and has a presence in more than 80 per cent of Indian states.

In 2014, Dalmia group launched its first-ever integrated television and multimedia brand campaign. The company demonstrated a philosophy of ??ewthink?? which leverages its proposition of a wise and young generation. With the tagline ??era Bharat Bada Ho Raha Hai?? the ideology was to re-position its brand, which has been intrinsic to the India story through its pre-and post-Independence phases.

JK White Cement got a brand refresh, which is now called JK Cement WhiteMaxX. The re-branding of JK Cement WhiteMaxX was intensified with a digital campaign, ??bSabKuchMaxX??that attracted over 10 million views on social media. The brand re-launch was done to expand and strengthen the JK White Cement portfolio bringing them under the ??axX??family of products. This includes value-added products such as JK Cement ShieldMaxX, JK Cement GypsoM. Typically, JK Cement?? media mix consists of a 360-degree strategy that includes a mix of OOH, print media, electronic media, banner ads, etc.

Recently, amidst the ongoing second wave of Covid-19, JK Super Cement has launched a new campaign for plasma donation #HumSeHaiSuraksha.
Similarly, JSW Cement introduced conversational commerce services to its customers by partnering with Yalochat ??a conversational commerce service provider, to introduce artificial intelligence-based Anytime Anywhere Business transactions for its trade customers.

However, due to the ongoing pandemic situation, companies are now focused on branding through digital media channels.

The Art of Packaging

Packaging is an integral part of building a brand. When you go to a supermarket, it is the packaging of the product that catches your eye first. Brands are working towards changing their packaging strategies to not only bring advantages to the customer but also the cement producer.

JK Lakshmi Cement was one of the first companies to introduce a coloured packaging of Cement Bag.

Rishi Fogla, Executive Director at Fogla Corp, explains, ??hen cement moves from B2B to B2C sector, the attractiveness of packaging is the first to have an encounter with the customer. The customer expects the packaging to be not just attractive, but more agile, more sophisticated and that is what we do. This is how we have been trying with cement companies for the last four to five years and I even look at it as if I am a cement user myself (we are cement for our various expansion projects). When a brand moves from a standard product to a premium one, the packaging is on the preface. It has a role to play from its journey from commodity to brand.??/p>

Fogla believes that this change in bags relates to the journey from commodity to brand. The journey has been from PP bags to PP laminated bags to BOPP bags.

Apart from packaging, other attributes also play important role in brand building. Saxena believes that a brand should also focus on the services as this is also the brand?? responsibility to provide great services like expert advice, on-site guidance, hassle-free ordering, on-time delivery, and great customer service.

Partnerships and Associations

Associating a celebrity or famous personality to your brand is the key branding strategy with the big construction or commodity brands to offer their customers a bouquet of services under one roof. Brand building is not a one-time task. From sponsoring cricket teams in IPL to having sports celebrities, cement players have engaged themselves with the best personalities to uplift their brands in the market. JK Lakshmi has Vijender Singh and Rohit Sharma as brand ambassadors.

The journey of JK Lakshmi Cement started by positioning their product on the plank of strength with a tagline of ??azbooti Guaranteed?? ??hen we progressed to a serious tone of narration depicting Nation Building with Brand Ambassador Om Puri. People associated JK Lakshmi Cement with that for close to a decade and then we moved to a more emotional campaign ??India, Ab Soch Karo Buland,??em> says Aseem Saxena, General Manager ??Marketing Services, JK Lakshmi Cement.

Similarly, UltraTech Cement has associated itself with Deccan Chargers team and Rajasthan Royals in the IPL. It has also partnered with some of India?? premier construction product companies like Berger, Pidilite, Sintex, Supreme, Astral among several others.

JSW Cement has signed Sourav Ganguly and Sunil Chhetri as its brand ambassadors. It launched a new multi-media marketing campaign ??eader?? Choice??with the two sports icons that promote the ideology of crafting a solid foundation for a better future. Apart from this, the company has partnered with a few channels and has embraced platforms like Whatsapp, Dealer App, Internal Sales app, etc. To address customer queries faster, they have rolled out an application called ??Saathi App.

Reddy believes that adding a personality or celebrity is important. He says, ??hen new cement is launched, we would engage a personality that can give confidence to the buyer. It is necessary for any new product but when the product is already established you can think of a different type of campaign. I remember at Bharathi cement, we had hired the well-known Telugu actor Surya as a brand ambassador. We came to know before he took up our assignment, he had used our cement for his own construction and was a quite satisfied customer. This gives another dimension to the entire campaign.??/p>

Pricing strategies

Ultimately, all strategies work only when your product pricing is done right. The most important factor while determining the price of a product in the cement industry is the demand across various regions, supply cost, external environmental factors like raw materials, and the overall cost of production.

For instance, some cement brands follow a principle where places with surplus supply experience lower whereas those regions where the demand is almost more than production experience higher pricing.

Overall, the cement industry has evolved as a brand by adopting best practices and strategies. A perfect mix of product, packaging, solid teamwork, and market strategies is what it takes to create a successful brand.

– MEGHA RAI

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Concrete

India’s Cement Sector Cuts Energy Use, but Worker Safety Worsens

iFOREST finds efficiency gains alongside water and safety concerns

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India’s cement sector has improved its energy and carbon efficiency, but rising groundwater use in water-stressed regions and deteriorating worker safety remain significant concerns, according to a report by the International Forum for Environment, Sustainability & Technology (iFOREST). The findings also highlighted weak policy implementation and gaps in sustainability reporting.

India, the world’s second-largest cement producer, uses about 2.54 gigajoules of energy per tonne (GJ/t), below the global average of 2.88 GJ/t. However, renewable sources accounted for only 5.1 per cent of the sector’s energy mix, indicating continued dependence on conventional sources.

The report assessed 18 cement companies against 107 Business Responsibility and Sustainability Reporting indicators for FY24 and FY25. The companies covered 87 per cent of India’s cement production. Carbon emissions intensity declined from 0.58 to 0.57 tonnes of carbon dioxide per tonne, but total emissions increased 4 per cent to 224.3 mn t, equivalent to about 6 to 7 per cent of India’s overall emissions.

Overall water withdrawal declined 9.5 per cent during the study period, while withdrawals in water-stressed areas, mainly in Rajasthan, increased by more than 20 per cent. Groundwater’s share of withdrawals in these areas rose from 27 per cent to 38 per cent, raising concerns about the sector’s impact on vulnerable water resources.

The sector employs about 228,000 people, including 63 per cent contractual workers, 3.1 per cent women and 0.07 per cent persons with disabilities. Women in key managerial roles earned 26.8 per cent less than men, while median pay for women workers fell 11.1 per cent in FY25 as men’s pay increased. Worker injuries rose 36.5 per cent to 359, and fatalities increased from 17 to 22, with workers accounting for more than 90 per cent of deaths.

iFOREST recommended cement-specific reporting guidance, standardised metrics, mandatory production disclosure and third-party verification. It also called for environmental, social and governance policies to be integrated into business strategies and implemented more effectively on the ground.

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Concrete

Ambuja Cements Expects Volume Growth to Outpace Industry in H2

Ambuja Cements sees stronger trade and institutional demand in H2 FY27.

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Ambuja Cements expects its sales volumes to grow faster than the cement industry during the second half of fiscal year 2027, as it seeks a recovery in institutional demand after a weak first half. The Gautam Adani-owned company is aiming to rebuild volumes while protecting profitability.

The company reported a 90 per cent year-on-year decline in consolidated net profit attributable to owners of the parent to Rs. 1.93 bn for the quarter ended 30 September, from Rs. 17.74 bn a year earlier. The previous year’s profit included a reversal of income-tax provisions worth Rs. 16.97 bn. Revenue from operations rose marginally to Rs. 91.66 bn from Rs. 91.3 bn.

Trade volumes increased 8.6 per cent year-on-year in the September quarter, but weaker institutional sales left overall volumes broadly unchanged. Ambuja Cements expects both trade and institutional sales to turn positive in the third and fourth quarters. Trade sales are made through dealers and distributors, while institutional or business-to-business sales involve bulk supplies to infrastructure developers, government projects and real estate companies.

The company had earlier reduced institutional sales that did not generate adequate returns. It now plans to rebuild the business selectively, while continuing to prioritise trade sales and higher-value products. Trade accounted for 74 per cent of sales in the quarter, up six percentage points from a year earlier, while premium products increased to 37 per cent of trade sales from 35 per cent. Blended cement’s share rose to 82 per cent from 77 per cent.

Ambuja Cements commissioned 4.6 mn t of capacity during the quarter. Another 3.2 mn t at Bathinda in Punjab and Jodhpur has stabilised, with the facilities expected to ramp up in the second half. A further 2.4 mn t facility at Varkala in Bihar is scheduled for commissioning during the period. Higher fuel and logistics costs remain a challenge, while the company has realised a cement price increase of about Rs. 10 per bag in October and is targeting operating costs of Rs. 4,250 per t for the full year.

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Concrete

JK Lakshmi Cement Begins Rs 110 Billion Assam Plant Project

The 2.5 MTPA integrated cement plant is expected to be completed by FY2029.

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JK Lakshmi Cement has recently laid the foundation stone for Project Kamakshi, its first integrated cement manufacturing facility in Assam, marking its entry into Northeast India. The groundbreaking ceremony was held at Umrangso village in Dima Hasao district in the presence of Assam Chief Minister Himanta Biswa Sarma.
The project involves an investment of Rs 110 billion, including the mining lease, and will have an annual cement production capacity of 2.5 million tonnes, supported by a 1 million tonne clinkerisation unit. Scheduled for completion by FY2029, the facility is expected to generate employment for over 2,000 people while catering primarily to the growing Northeast market.
The integrated plant will feature dedicated railway sidings to facilitate efficient transportation of raw materials and finished cement, strengthening supply chain reliability and regional distribution.
Vinita Singhania, Chairperson and Managing Director, JK Lakshmi Cement, said, “”Project Kamakshi is the start of a long-term relationship with Assam and the wider North East. This is a region that is building fast, and it deserves quality cement made close to home. With this plant, we want to bring scale, jobs, and dependable supply to the region. At JK Lakshmi Cement, we believe that building a stronger India goes beyond infrastructure. It is also about growing together with the communities we serve.””
The investment aligns with the company’s strategy to expand into high-growth markets beyond its established presence in Northern, Western and Eastern India. The project is also expected to support regional economic development and infrastructure growth.
JK Lakshmi Cement aims to pursue its expansion plans while working towards its long-term target of achieving net-zero emissions by 2047.

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