Consumer electronics brand Salora International Ltd has entered the buoyant mobile handset market.

To be retailed under the Salora brand, the company said it will utilise its existing manufacturing and distribution network to expand its footprint pan-India.

Price range

“There is huge demand for mobile handsets, especially in the entry-level segment. We are targeting the Rs 1,500-4,000 bracket to mark our entry. We will be using our distribution to focus on the smaller towns and cities,” Mr Gopal Jiwarajka, Managing Director, Salora International Ltd, told Business Line .

In its first phase, Salora plans to launch the mobile phones in Eastern India, Delhi-NCR, Jammu & Kashmir, Himachal Pradesh and Punjab, among others.

With its entry into the business, Salora will compete with Micromax, LG, Samsung, Zen and Videocon, besides established players such as Nokia, for a slice of the mobile handset market.

Handset market

According to a Frost and Sullivan report, India has reached the coveted position of being the second-largest mobile handset market in the world after China and the growth will continue.

Salora has launched two handsets in the market and will add another eight devices over the next one year, he added. The handsets' prices start at Rs 2,499.

Sales target

The company is targeting monthly sales of about 50,000-75,000 units in the next one year.

Mr Jiwarajka said the handsets would be sourced from China and would be supported by Salora's network of 170 service centres.

A study by telecom market research firm CyberMedia Research said the country's mobile handsets segment was expected to grow at a 26.2 per cent CAGR over the 2010-2014 period to touch Rs 1.28 lakh crore in 2014.

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