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Indian-made air conditioners now edging out Korean brands
Last Updated(Beijing Time):2012-09-21 15:25

Sales of Indian-made air conditioners now surpassed those with Korean brands, according to the result of a recent survey conducted here.

The market data in the GFK Nielsen Retail Audit conducted July 2012 showed that Korean brand LG's market share dropped from 19.6 percent in March 2012 to 14.6 per cent in July 2012, while Samsung 's plunged from 17.8 percent in Q1 of 2012 to 9.3 percent in July 2012.

The audit showed that Indian brand Voltas has emerged as the surprise market leader edging out the Korean majors at a time when record-high temperatures were felt throughout the country this summer.

Voltas, an Indian-owned Tata brand, increased its market share to claim leadership. Its share increased from 15.7 per cent in Q1 of 2011 to 21 percent in July 2012, according to the audit.

Pradeep Bakshi, COO of Voltas Unitary Products Business Group ( UPBG) said,"In our Cooling Products business we grew by 20 percent in volume, and almost 30 per cent in value during the summer.This growth is attributed to a prolonged summer (though a late starter); aggressive marketing around the 'All Weather' proposition, consolidation of our retail footprint in North, and expansion of our footprint in East and South India."

The company claims that Voltas UPBG division grew by 83 percent in June and 20 per cent in Q1 of FY 2013.

According to industry estimates, the sales of air conditioning units have grown by 10 percent in Q1 of current fiscal.

Bakshi said that the major growth drivers during the quarter have been Voltas and Panasonic, a Japanese brand.

While Panasonic claims to have grown 100 per cent during the quarter, Daikin, another Japanese brand, says it grew in excess of 41 percent.

Kanwal Jeet Jawa, managing director of Daikin Airconditioning India, said they have increased their market share by 2 percent during the quarter in the room air conditioner segment.

Voltas has been ranked highest among 'pure AC' brands in its equity scores. "Brand Equity Index" according to AC Nielsen, reflects an increase from 1.9 to 3.3 for Voltas.The brand has major leadership in the north Indian markets, which contribute 45 per cent of all India AC sales as the temperature soars highest in the country during summer in the region.

In markets such as Delhi, the national capital and India's northern state of Bihar, its market share was upwards of 39 per cent, according to the audit.

In India's southern states of Kerala and Karnataka, where the brand claims to be making rapid inroads, the market share was upwards of 30 percent.

Source:Xinhua 
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