The festivities have returned and so have boom times for consumer electronics companies. Samsung, Philips, LG, Electrolux and Haier are launching a vast range of digital products backed by mega promotional campaigns to woo consumers out for good bargains to celebrate the festival season.
The consumer electronics companies have allotted huge budgets for cross-media advertising campaigns during the Durga Puja/Dussehra and Diwali season. If one takes a peep into the huge investments, it is easy to get an idea of how much is at stake. Samsung has earmarked Rs 30 crore for promotions during the festival season, while LG has earmarked Rs 35 crore, out of which Rs 6-7 crore has been allotted for ad spend and Rs 25-27 crore for promotions.
“The advertising budget set by Haier is Rs 25 crore,” said T K Banerjee, President & CEO, Haier Appliances (India).
For Samsung India, the festival season kicked off with Onam. The company has launched a slew of hi-tech AV products – LCD, Plasma and DLP TVs, and home theatre systems. Its promotional campaign, ‘Pehla Kamaal Doosra Dhamaal’, is a scratch-and-win scheme.
As part of this promotion, any customer buying a Samsung product gets two chances to win exciting gifts instead of one. The first scratch or the ‘Pehla Kamaal’ reveals to the customer the sure shot or assured gift. The second scratch or the ‘Doosra Dhamaal’ reveals the bumper gift that a lucky customer could win. Freebies worth Rs 20 crore are being given away as part of this promotion.
“We expect to sell 500,000 units of CTVs and do business worth Rs 625 crore during the promotion period. We are aiming at a market share of 30 per cent in the home theatre category this year,” said Ravinder Zutshi, Deputy Managing Director, Samsung Electronics India.
Electrolux has also lined up a similar scratch card promotion – ‘Tathasthu Baba’. Customers will win assured prizes worth Rs 700 with every purchase. Sanjeev Wadhwa, GM-Marketing, Electrolux India, said, “Through this festival promotion, we intend to bring alive the dreams of our customers. With every purchase, customers can try their luck and win high-value prizes.”
Not to be left behind, LG is launching Xwave, touted as India’s first TV with wireless audio wave, and a new next generation karaoke system. Deba Ghosal, LG Product Marketing Head, Consumer Electronics, said, “We will focus more on audio this time because we think we are lagging behind in this segment.”
LG has also introduced a unique ‘Mangal Hi Mangal Offer’ for its consumers. The company has also reiterated its focus on super premium offerings for key markets. These include a hi-tech product portfolio of flagship products from key categories like high definition X-Canvas Plasma TV, Tromm Front Loading Washing Machines, Whisen Artcool ACs, DIOS Refrigerators, New Gen Karaoke Systems, X-Note Laptops, and other Internet enabled products.
LG’s promotion offer is already running in eastern markets for Durga Puja, but in other parts it will be on from October 1 to November 10. Consumers can get assured gifts on every purchase of an LG product, along with extended warranty on select products.
Ghosal added that with marketing spend of about Rs 60 crore and targeted value turnover of Rs 1,600 crore, LG India was expecting to achieve nearly 35 per cent value growth in the electronics category, 45 per cent value growth in appliances, and 80 per cent growth in the IT category by the end of the festive season.
Philips is also launching a slew of new products like TVs, music system, home theatres and DVDs. It will also dole out FIFA World Cup tickets to be held next year in Germany for soccer fans in India as a part of its promotional campaign.
For those looking for 70mm experience in the comfort of their homes, Philips has plans to introduce two new home theatre systems at around Rs 10,000 in October. Shiv Kumar, Head of Consumer Electronics at Philips, said, “The overall market size would be 45 per cent in the next four months. It will be 7-10 per cent of the sales.”
The heavyweight from China, Haier, is coming out with a ‘Lucky, Luckier & Luckiest’ offer which will offer a pack of playing cards for every purchase from any of its retail outlets. Each pack will contain a scratch card. The scratch card has three scratch areas designated as 1, 2 and 3. On scratching the ‘Trump’ card in the pack of cards, consumers can get various attractive gifts.
Said Pranay Dhabhai, Whole-time Director, Haier Appliances, “The offer is likely to be one of the biggest festive offers introduced in the market and we hope to reach out to very large number of customers through this offer. We have got assured gifts for all buyers on their purchases.” He added that Haier would focus heavily on promotion campaigns through its outlets than advertising in media.”
Happy buying, folks!