In a bid to promote its new range of FM pocket radios, the Rs 1,667-crore Philips India Ltd is planning to move into the second phase of its distribution strategy. The objective is to cater to the impulsive buying habits of consumers through gifting, stationery stores and medical shops which are located closer to the vicinity of their homes.
With the move, the company hopes to sell around four lakh units of Philips’ pocket radios within a year. In the first seven months of the FM boom, the company has doubled its sales of pocket radios to about a lakh and a half pieces.
The company plans to spur its marketshare in the audio segment from 50 per cent to an additional five per cent by 2003-end on the back of its recently-launched five new models of FM pocket radios.
To usher in the festive season, the company plans to extend its existing range of Philips’ personal stereos with simple head phones to include high-end personal stereos with expensive headphone stereo priced Rs 995 onwards.
With the move, the company aims to spur its sales growth in personal stereos from additional 10 to 15 per cent and grow their marketshare in the headphone stereo category from 22 per cent to 30 per cent by 2003-end.