Top Story

e4m_logo.png

Home >> Marketing >> Article

Lower prices heat up microwave oven sales

19-April-2005
Font Size   16
Share
Lower prices heat up microwave oven sales

With falling price points and changing lifestyles driving growth, the relatively nascent microwave oven category grew by a sizeable 84.7 per cent during the first eleven months of the last fiscal.

According to industry data, some 231,977 microwave ovens were sold during the period. However, owing to the declining prices, the value growth in the segment at 59.7 per cent was much less than the volume growth.

According to the data, LG Electronics and Samsung India dominated the segment with a collective marketshare of about 61 per cent.

LG maintained its leadership position with a market share of 41.5 per cent in the period, followed by Samsung.

IFB with a marketshare of 9.8 per cent was the third largest brand followed by home-grown brand Kenstar, which had a share of 9.5 per cent.

Interestingly, the combined market share of the rest of the Indian brands excluding Kenstar was only about 1.5 per cent.

The competition in the category is likely to hot up further with the entry of Haier and Anchor Daewoo, and with existing players charting a range of new product launches.

The purchasing patterns in the segment also hint at the market showing signs of maturing.

Industry analysts said that though the sales are predominantly in the urban areas, semi-urban towns have emerged as a key growth driver for the category.

Further, despite the low penetration of the segment, the basic, low-end models are not the only ones accounting for the chunk of total sales.

According to industry data, while the solo microwave oven models sold some 70,838 units in the period, the combination models grew 73.1 per cent with sales of 104,545 units.

Further, the convection models grew by 101.2 per cent to 56,594 units during the period.

Tags

Our typical marketing budget is usually 10 per cent of the topline spend

There are some forces impacting the way our business works. The IT/ITeS sector has changed tremendously. Platforms like Twitter have made everyone journalists. Smartphones have made everyone a photographer. The trend that we are seeing is one of hyperdigitalization, which is causing the lines between product and services to blur. For example, <a href=http://www.exchange4media.com/company/news/amaz...

The OOH sector is among the fastest growing, globally. Brands and marketers have realized its potential and impact and begun to craft medium-specific adverts. Self-regulation is not only necessary but also essential to growth of the sector. The industry needs to exercise a certain level of this self-restraint to prove its commitment to maintaining the best standards in advertising.

<b>Clients are looking for experiential solutions beyond radio or print: Abraham Thomas, Radio City 91.1 FM</b><br><br> From entering new markets to launching large format events, Radio City 91.1FM has been on a roll. The radio channel recently announced the launch of India’s biggest singing talent hunt-Radio City Super Singer Season 8. Earlier this year, the channel set up its own creative-cum...

The interesting animated rap music video encapsulates Droom’s ecosystem tools and their role in facilitating second-hand automobile transactions

Perfumes are invisible and these new ads from Skinn create a story out of this

New campaign aims at first-time users by providing ‘first-night free’ – a first-ever offering by the brand on online hotels booking