Wednesday, November 8, 2000
fesub.gif (4328 bytes)
Full Story
fe.gif (834 bytes)
India's first e-business paper
flnews.gif (5153 bytes)
Search FE
-
Download
BSE Quotes
NSE Quotes
-
Think Tank
This week we focus on a complete analysis of the
industry
-
 

Videocon to invest Rs 50 cr on Web-enabled range 

Mona Mehta  
Mumbai : In a bid to spur market growth, the Rs 4,000-crore Videocon International Ltd (VIL) is embarking on a major marketing initiative to strongly focus on Web-enabled products.

In addition to introducing Videocon Internet television in October this year, the consumer durables major is now eyeing Web-enabled consumer products in other segments like refrigerators, washing machines and dishwashers. These products are slated to be launched in a few months at an investment of Rs 50 crore.

Says VIL chairman & managing director Mr VN Dhoot: "VIL is manufacturing 25,000 units of Internet televisions every month and will be marketing thembeginning this month. The company has already got orders for 25,000 units in the first month."

Mr Dhoot adds: "VIL will start marketing other consumer products around March 2001, depending on the performance of the Internet television.In effect, the company will expand the number of existing capacities of Internet televisions in India."

He added: "We are planning to price Web-enabled consumer durables Rs 3,000 higher than the existing durables in the non-Internet category." The price of Web-enabled refrigerators will range from Rs 9,000 to Rs 15,000; that of washing machines from Rs 8,000 to Rs 15,000 and dishwashers from Rs 8,000to Rs 12,000.

As part of its strategic marketing tie-ups with a host of international consumer durable companies, VIL has been marketing televisions for Toshiba and Akai brands along with the Kenstar range of kitchen appliances and audio systems. Yet another colour televisions brand, Sansui, is marketed by a VIL group company, Kitchen Appliances Ltd.

Says Mr Dhoot: "VIL has sold 4,000 Sansui and Toshiba branded colourtelevisions so far." The company is planning to market one million pieces of Web-enabled Sansui-brand colour televisions and one lakh pieces of Web-enabled Toshiba-brand colour television in the Indian market by the end of 2001.

VIL is also expanding its dealer network. Videocon's black and whitetelevisions as well as Web-enabled televisions with set-top boxes are distributed through 7,000 dealers across the major cities. Mr Dhoot said that by the end of this year the company plans to increase the distribution strength to 9,000 dealers.

VIL plans to spend Rs 150 crore on advertising and sales promotion during the current fiscal on its various products across the consumer durables basket.

Copyright © 2000 Indian Express Newspapers (Bombay) Ltd.

- Lead Stories | Corporate | Infrastructure | Commodities | Economy/Finance | BSE Today | NSE/ Markets | Strategy | Convergence | After Hours top.gif (150 bytes)Top
flame.jpg (1068 bytes) © Copyright 1999: Indian Express Newspaper(Bombay) Ltd. All rights reserved throughout the world.
This entire edition is compiled in Mumbai by The Indian Express Online Media Limited, a division of
The Indian Express Group of Newspapers. Managed by The Indian Express Online Media Limited and hosted by CerfNet.