Top Story

e4m_logo.png

Home >> Media – Print >> Article

LG eyes rural markets

24-September-2001
Font Size   16
LG eyes rural markets

Having grabbed a leading position in the urban markets for consumer electronics, LG Electronics India has now set its eyes on the virgin rural markets. As part of its strategy, the company has prepared a detailed aggressive marketing plan for tapping the rural markets.

In a move to design its products more congenial to the Indian taste and also for further customisation, LG has earmarked around Rs 18 crores towards research and development, to be taken up in conjunction with the Indian Institute of Technology, New Delhi.

While the company has made inroads into the rural markets with its colour televisions and refrigerators, it is now pushing its air-conditioners and microwaves.

As part of its strategy to tap the rural markets, LG has initiated steps in Andhra Pradesh, Tamil Nadu, Punjab and Haryana, mainly targeting the rich and middle class of agricultural segment.

LG, which has chalked out a two-phase marketing strategy for ACs, has successfully executed the first phase by attaining a dominant market position in the window and retail segments. In the next phase, the company is targeting leadership position in split and corporate segments and also launches ductable ACs. As against a sales turnover of around Rs 220 crore achieved during last fiscal, the company hopes to attain a revenue of over Rs 310 crore during the current fiscal.

Meanwhile, the company is scheduled to launch the country's first hot and cold ACs with Korean technology by month-end. Ductable ACs would also be launched during November.

LG, which is currently enjoying a market-share of 32 per cent, expects to end this fiscal with a share of 34 per cent. As against a sales of Rs 78 crores last year, the company hopes to post a turnover of around Rs 95 crores during the current fiscal.

Tags

Vijay Mansukhani, speaks to exchange4media about the resurgence of Onida, the scope of growth of consumer electronics market in India and the reasons why Indian consumer electronics brands don’t compete on a global scale

Projjol Banerjea opens up about hiring Anne Macdonald and GroupM's Rob Norman, and the brand's new identity

Meera Iyer tells exchange4media that in FY 2016/17, bigbasket clocked a revenue of Rs 1,400 crore. The online supermarket currently stands at 70,000 orders a day, with operations in 25 cities.

CMO, Kashyap Vadapalli on the start-up’s marketing play, why it has decided to stay away from IPL and response to its furniture rental apps

Mumbai was chosen in keeping with the company's focus on featuring their proprietary technologies over undiscovered markets like South Asia

The campaign, featuring brand ambassador Farhan Akhtar, exhorts consumers to showcase their achievements through the walls of their homes.

We list a few important stories that you may have missed in the week gone by