Godrej & Boyce Manufacturing is set to undertake a corporate makeover, as part of an overall brand re-positioning exercise to be taken up by the group shortly. As part of this initiative, Godrej & Boyce's most public face, its appliances division, has set aside a hefty Rs 50 crore to unleash a communications blitzkrieg.
The brand repositioning of the appliance division, which accounts for a third of Godrej & Boyce's overall turnover of Rs 3,000 crore, will be in sync with the overall brand makeover of the Godrej brand being supervised by Tanya Dubash, daughter of Adi Godrej, chairman of the Godrej group.
“We are in the process of redefining our brand attributes by adding a more contemporary, stylish look,” George Menezes, chief operating officer, Godrej & Boyce Manufacturing (appliance division), said. He cited a focus on innovation and technology as the main drivers of the new look “We have thus decided to earmark 5% of our turnover on R&D,” Mr Menezes added.
“Our challenge is to make the brand relevant and compelling. For this, we are relying on innovation and technology to garner mindshare. The target is to introduce an innovation every quarter,” Kamal Nandi vice president (sales & marketing), Godrej & Boyce Manufacturing, added.
For example, ZOP, a rust-resistant zinc oxide coating on refrigerators, i-TREC, a power saving technology for AC-s and 'Force 4' technology in washing machines are some of the innovations introduced in recent months.
“Apart from refrigerators, we are betting on fast-growing segments within the consumer durable sector like air conditioners, microwaves and DVDs to drive revenue growth over the next few years,” Mr Nandi added.
Meanwhile, the division is aiming at a turnover of Rs 1,000 crore in the current year, up from Rs 750 crore it had earned last year. To meet the demand growth in refrigerators it is adding a new five-lakh unit facility at Shirval near Pune to raise its total manufacturing capacity by 50%. The new unit would come up at an investment of Rs 100 crore.