Retailing: Emerson Network Eyes Entry Into Smaller Cities

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: In an effort to tap the Rs 60-crore untapped precision airconditioner (PAC) market meant for small server rooms, Emerson Network Power India Pvt Ltd — a 100 per cent subsidiary of US $15 billion Emerson Electric, US, is planning to move into smaller cities in order to promote its Liebert’s Uninterrupted Cooling Systems (UCS 24X7) PACs.

With the move the company will enter the second phase of its marketing strategy by way of penetrating cities such as Pune, Ahmedabad, Baroda, Cochin and Chandigarh.

The objective behind the move is to cater to the small information technology (IT) companies with its ‘Liebert UCS 24x7’ PACs, Mr Thanigaivelu, Corporate Champion Air Products Channel told FE.

On the company’s new plans, said Mr Thanigaivelu, “Prior to charting out plans to penetrate deeply into smaller towns, we have also recently tied up with several specialised air-conditioning dealers in order to market its Liebert UCS 24x7 precision airconditioners in major metros. It includes KNND Associates in Bangalore, Unimech in Chennai, Comfort Line in Hyderabad, Opel HVAC in Mumbai Opel HVAC, Aircon in Calcutta, and, Delhi. In addition, we would be marketing Liebert UCS 24X7 PAC through architects and builders who will influence the end-user, like the way our specialised dealers would do.”

Apart from promoting ‘Liebert UCS 24X7’ PACs, Emerson Network Power is, at present, also marketing comfort air conditioners (normal ACs) to big information technology companies such as HCL Technologies, Hughes software, Oracle, and, Data Centres. In the segment, ‘Liebert’ competes with ‘Carrier’, ‘LG’, and, ‘Bluestar’ who are also currently marketing comfort ACs in offices, but not UCS products meant for small IT companies.

Further, Mr Thanigaivelu added that so far the precision airconditioner market meant for small server rooms has remained untapped because of two factors: precision airconditioner manufacturing companies has not been able to create awareness about the availability. And, secondly, due to the higher price factors, customers are not ready to purchase the product, nor, PAC companies are able to spur more volumes of their products.

But, what has been the bottleneck faced by the companies into comfort cooling ACs, and, the need to launch UCS 24X7?