Philips ropes in Ravi Kant to pilot consumer electronics unit

Tuesday, August 26 1997

Philips ropes in Ravi Kant to pilot consumer electronics unit

Tina Edwin

NEW DELHI, Aug 25: Philips India has roped in Ravi Kant, who is credited with the success of Titan watches and LML Vespa scooters, to head its consumer electronics division. Kant's appointment is expected to prop up the sales of the consumer electronics division of the Indian subsidiary of the Dutch electronics giant.

Philips spokesperson, when contacted, confirmed that Kant had been appointed vice-president sound and vision to fill the vacuum created by Manohar David's departure.

Kant would be based in the Philips head office in Mumbai and report to managing director KR Ehrnreich.

Industry sources feel Kant will embark on a major revamp of the company's marketing strategy for the division that accounts for almost 50 per cent of its revenue in the country.

In 1996, following a battering in the market, Philips sales revenue plunged to Rs 1,485 crore from the previous year's Rs 1,520 crore. Net profit, during this period, dropped to Rs 8.97 crore from Rs 24.96 crore and the interest burden of the company shot up to Rs 44 crore from Rs 27.58 crore.

Kant was instrumental in drawing up a new strategy for Deepak Singhania's ailing LML in the early 90s which turned the Kanpur-based scooters company into a major competitor for market leader Bajaj Auto Ltd.

The consumer electronics division of Philips has been headless since April when the then vice president sound and vision Manohar David quit the company.The appointment of Kant, till now director-marketing, LML Ltd, ends months of uncertainty regarding David's successor.

David had quit Philips at a time when the company's consumer electronics division was going through its roughest patch in years, following the onslaught of Korean and Japanese brands and depressed conditions in the market.

Kant's strategy for increasing a product's acceptance in a depressed market revolves around improving the consumer's ability to purchase by offering exchange schemes and attractive financing options and provoking consumer interest by launching new products.