Voltas grabs No 2 position in AC segment with 11% market-share
12 May 2003
Currently, the South Korea-based LG Electronics is the market leader in the segment with a 25-per cent market-share. The Tatas have a 26-per cent holding in Voltas.
Voltas officials say the sales of air-conditioners zoomed by 60 per cent during the period January-December 2002 due to the unprecedented increase in the mercury levels as well as a latent demand from the residential segment.
Voltas, which had a market-share of 7 per cent in fiscal 2001-02, has recorded extraordinary growth and grabbed the No 2 slot with a market-share of 11 per cent in the domestic air-conditioner market.
"This growth was orchestrated by using a multi-pronged strategy of superior product offering, brand enhancement through integrated communication, service of the highest standard and expansion of the distribution channel. A new sub-brand called Vertis was backed by a Rs 10-crore advertising campaign. In addition to Vertis, 1.0- and 0.75-tonne compact room air-conditioners were also launched under the sub-brand Vectra," the officials add.
During 2002-03, the market-share of Samsung increased by 2 per cent while Hitachi''s market-share dropped to 10 per cent from the earlier 11 per cent. The other brands like National registered 0-per cent growth in market-share while Carrier''s share dipped by 2 per cent.
The officials say Voltas plans to tap the first-mover advantage with a slew of new products. The company plans to sustain the thrust on enhancing brand equity with increased allocation towards marketing initiatives and marketing communication.