Mumbai, Jul 13 (PTI) Consumer electronics maker Philips India plans to penetrate deeper into small cities to drive growth by launching new products catering to these markets. Philips India President for consumer lifestyle business, ADA Ratnam told PTI here that they have launched some products exclusively for tier I and II cities.
"In personal care, we have launched some products exclusively for tier I and II cities, or cities where electricity is always an issue. We are not looking at these products for the metros. Apart from personal care, we will also be launching some more kitchen wares where we can penetrate in tier III cities," he said. The company is looking at products in the range of Rs 1,000 for these markets. "In beauty and hair care segment, we are not only looking at the metros but also beyond them. There is an unmet need among small town consumers," he said. Ratnam said these products have been developed using consumer insights and the company plans to launch more products in the personal care and home appliances space. "We have not only taken into account the pricing aspect but also convenience. In the home appliances space, we are looking at a range of mixer grinders, induction cook-tops for the non-metro markets," he said. The company has launched a mass market trimmer for men which allows users to complete shaving during power cuts. "We came up with a product called BT3200, which is a low-cost trimmer and it is priced at Rs 1,095.
That is our ticket to establishing an even stronger footprint in the smaller markets. Our objective is to make our products more affordable," Philips India, Director Marketing (personal care business) Anurita Chopra said. Philips is the market leader in male grooming equipment segment with over 70 per cent market share, she claimed. The domestic male grooming equipment market is estimated to be around Rs 2,100 crore. Electrical grooming equipment include shaving and trimming devices and is estimated to be around Rs 280 crore market. This market is growing at 30 per cent a year, she said. Overall, the company plans to launch 30 products this year in various categories and price points.
"Last year we launched 18 odd products and this year we will be launching at least 30 more in consumer lifestyle segment. We have launched about 14 already this year," Ratnam said. The company plans to launch a kid clipper next month, a product which parents can use to cut their child's hair. The company also plans to localise its production over the years.
"We have a factory at Nalagarh following the acquisition of Preethi Appliances. We are trying to do some products through this factory also. We also have a set of contract manufacturer who also do that. As we move along, a lot of our products will be localised," Ratnam said.