Consumer durable major Electrolux is re-entering India at a time when Indian consumers are increasingly looking to upgrade to more premium products. The Swedish major believes India can be a key growth engine and the company will launch its entire range of products in a phased manner over the next few months..
Sudhir Patil, Commercial Director, Electrolux India, said, “ In the past few years, the Indian consumer durables industry has evolved considerably, driven by rising disposable incomes and the growing base of middle income households. This has also led to growing acceptance for premium brands like Electrolux. Infact in the past two years, consumer needs have evolved with a strong focus on health, hygiene and sustainability.”
Talking about its launch plans, Patil added, “We will launch our entire range of products in a phased manner starting this month till October ahead of the festival season. This includes refrigerators, washers and dryers, air purifiers, air-conditioners, dishwashers, vacuum cleaners, microwaves, ovens and other built-in kitchen appliances.”
The company said its air-conditioners will be manufactured in India through an OEM partner. Other appliances will be imported from its global production facilities in Poland, Italy, Germany and Thailand. “We believe India has the potential to become a key growth engine for Electrolux and at an appropriate time we will look at investing in manufacturing facilities, “ he added.
Experience centres
Talking about the distribution strategy, Patil said that the brand will be setting up a few company-owned experience centres in the top metros, “ We will also have exclusive brand stores run by our trade partners. Overall , we are looking to create a presence for the brand across 200 outlets across the country by the end of year,” he added. The brand will also be sold through multi-brand stores and the e-commerce channel. The company opened its first experience centre in New Delhi on Tuesday.
“Over the next three years, we will sharply focus on our strategic plan to create a robust ecosystem and value-chain for Electrolux. We have ambitious growth targets in India,” Patil said.
In 2005, Electrolux had announced divestment of its Indian appliance operations to Videocon Group. The agreement involved right to use the Electrolux brand for a period of time. However, the agreement ended subsequently as Videocon underwent a corporate insolvency resolution process.