LG Electronics India Limited (LGEIL) has launched the first DTH-ready TV and is planning to target the 40 million non-cable and satellite households in India. The idea is to penetrate the rural and small towns, and tap the requirement of non-C&S households.
LG Digi Direct TV set has an in-built set top box and will be able to receive all free-to-air channels. This will comprise 33 channels, which include 17 Doordarshan channels and 12 radio channels. LG has currently introduced two models – 21-inch and 29-inch Flat. One model each of 20 inch and 21 inch in the conventional category will be introduced in March 2005. “We plan to target one lakh units of Digi Direct TV sets by the end of 2005,” said Sail Kapoor, Head –Marketing.
“The free-to-air DTH will increase the penetration in rural and semi-urban areas. Also, it is expected to increase the repeat purchase in non-C&S households,” Kapoor said while dwelling on the strategy. “The project was completed in two months and the developmental expense was around Rs 2 million,” he added.
LGEIL is targeting Rs 9,000 crore in 2005. “In the TV segment, for conventional TV, we are looking at a growth of 32 per cent from 26 per cent, last year, in flat TV, we are looking at 35 per cent growth from 27 per cent in 2004 and in CTV, we are looking at a growth of 32 per cent from 26 per cent in 2004,” he said. The company is going to push the Flat TV further as it believes that they can strengthen the position by doing so. “The flat TV contribution is going to increase from 30 per cent to 60 per cent this year,” believes Kapoor.
The Digi Direct TV has been priced at Rs 14,000 and above. CM Singh, Product Group Head of Consumer Electronics, said, “Over the last couple of years we have been extremely successful in offering customised display solutions to suit the Indian market. The introduction of Digi Direct TV will further consolidate our position in the CTV segment.”