Panasonic targets 25% share in split AC market

Panasonic India, the Indian subsidiary of Japan headquartered Panasonic Corporation, is planning to tap the domestic air-conditioner market by launching customised products. The company, which posted 230 per cent growth last fiscal, is focusing on the consumer as well as industrial segments of air-conditioners to drive growth.

“Though we are a relatively new entrant in this category, we are aggressively focusing both on the industrial as well as consumer markets. The fact that we have launched Cube air-conditioner for the Indian market is part of our strategy to launch products suited for Indian customer requirements coupled with best technologies and concepts. This launch will help us garner a higher market share in the AC segment by tapping mass consumers,” said Suresh Bandi, head-sales, air-conditioners.

According to Ikuo Miyamoto, managing executive officer, corporate management division for Asia and Oceania, Panasonic Corporation, and managing director, Panasonic Asia Pacific, said India is a key market for Panasonic. “With a growing consumption pattern in India, we intend to introduce more products that can enhance and improve the quality of life and address specific requirements of our Indian customers,” he said.

Daizo Ito, president, Panasonic India, said, “As part of our India strategy, we have and will continue to launch localised products catering to Indian requirements besides bringing best in class technologies and concepts in consumer durables to India, which has helped us garner high growth across categories.”

“Our present market share is 5.5 per cent in the split AC segment. We are targetting a 16 per cent marker share in the coming season,” Bandi said.

He said that out of the total air-conditioning market in the country, 75 per cent was split and the remaining window. The company aims to capture 25 per cent market share in split ACs by 2012. “We are envisioning higher growth in tier II and III cities,” he said.

Currently, Panasonic is shipping the ACs into India from its factory at Kuala Lumpur. Bandi said that once the Indian factory near Haryana is commissioned in 2012, Panasonic would manufacture the ACs here. Initially, the production figures would be one million per year. The plant is being put up at a cost of Rs 4,000 crore.

Bandi said that the AC market in the country is growing at 20 per cent. Panasonic India recorded sales of Rs 2,200 crore in FY 2009. The company expects a turnover of Rs 3,200 crore in FY 2010.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • If the first 17 editions of Saarc were tragedies, Kathmandu was a sham

    Rarely has a regional grouping such as the South Asian Association of Regional Cooperation (Saarc) promised so much and delivered so little.

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Varun Dutt

By the power of wind, let there be light

In India, the development of wind power began in the ...

Zehra Naqvi

Being unrealistic can be good for you

Depression is a term that most people use very casually ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture