Diageo India Raises Ad Spend 57% to ₹378 Crore Ahead of the Festive Season
Diageo's Indian arm spent ₹378 crore on advertising and promotion in the September quarter, up from ₹241 crore, and its margin fell as a result.
Why it mattersA liquor company that cannot advertise its drinks directly in India still raised marketing 57%, a sign of how much festive money flows through brand extensions, events and sponsorships.

United Spirits, the Indian arm of Diageo, spent ₹378 crore on advertising and promotion in the September 2026 quarter, up 57% from ₹241 crore a year earlier, as it stepped up spending ahead of the festive season, BestMediaInfo reported from the company's results.
Marketing rose to 11.6% of net sales value from 7.6% a year earlier, while net sales value grew 2.8% to ₹3,258 crore from ₹3,170 crore.
The quarter in numbers
- Advertising and promotion: ₹378 crore, up ₹137 crore.
- Net sales value: ₹3,258 crore, up 2.8%.
- EBITDA: ₹643 crore, down 4.3%, with the margin down 146 basis points to 19.7%.
- Prestige and Above brands: ₹3,065 crore, up 6.3%, or 94.1% of net sales value.
Why it spent more
The company called the increase "conscious pro-active A&P spending ahead of season" and linked it to the lower margin, BestMediaInfo reported. Chief executive Praveen Someshwar described the quarter as resilient and said the company kept investing behind its brands despite regulatory headwinds.
Liquor advertising is banned in India, so companies spend through brand extensions, sponsorships, events and retail promotion. The jump puts Diageo India with the consumer companies raising budgets this season, such as Nestlé India, up 46%, and against HUL, which cut its ad spend 9%.
Questions readers ask
How much did Diageo India spend on advertising in Q2 FY27?
United Spirits, Diageo's Indian arm, spent ₹378 crore on advertising and promotion in the September 2026 quarter, up 57% from ₹241 crore a year earlier.
What were United Spirits' Q2 FY27 results?
Net sales value rose 2.8% to ₹3,258 crore, while EBITDA fell 4.3% to ₹643 crore and the margin narrowed 146 basis points to 19.7%.
Why did Diageo India raise ad spend?
The company described it as deliberate, proactive spending ahead of the festive season, which it said contributed to the lower margin.
Can liquor companies advertise in India?
Direct liquor advertising is banned in India, so companies market through brand extensions, sponsorships, events and retail promotion.
Sources
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- Facts checked against 1 cited sources
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