BPL To Focus On New Market Segmentation Strategy

Mumbai: | Updated: Apr 24 2002, 05:30am hrs
In order to gain a competitive edge over rival brands in the colour television (CTV) segment, the Rs 1,705-crore BPL Ltd has recently developed a new sub-branding and market segmentation strategy.

Ajay Baijal, chief operating officer, entertainment electronics, BPL
According to Mr Ajay Baijal, chief operating officer, entertainment electronics, BPL Ltd, the overall marketing objective is to maintain and consolidate leadership in the face of competition across products, price points, markets and consumer segments. “We have developed this strategy to gain a lead across various CTV segments. Also, this strategy aims at leveraging the mother brand and creating individual sub-brands, catering to specific consumers and market segments,” he adds.

Currently, the company’s sub-brands include:

* BPL Loewe — digital designer televisions for the super premium-end of the market, for the indulgence/status seeker;

* BPL Matrix Flatscreen TV — catering to the fast-growing flat television segment, for the technology seeker;

* BPL Studioline — which is targeted at the top-end of the conventional market, for the performance seeker segment;

* The BPL Regular Range — is targeted at the middle end of the conventional market for the risk-averse value seeker;

* BPL Prima — for the black and white to CTV low-end buyer, at the recruitment end of the market.

Mr Anand Narasimha, head corporate brand management, BPL Ltd, informs that each of these sub-brands will have their own specific product, pricing, distribution and promotional strategies.

To cater to the ever-growing needs for enhancing the quality of mass entertainment, BPL is now introducing a range of home theatre systems, bundled with DVD/VCD players. Informs Mr Baijal:”BPL’s point-of-sale strategy is to use innovative merchandising formats, in addition to the conventional point-of-sale elements. These include shop-in-shop concepts mainly for home theatres and high-end TVs, special display and demo units for key products and strong branding and in-store signage.”

Mr Baijal adds that over and above the conventional in-store promotions, BPL as a brand has associated itself with entertainment events. “Music marketing has been a key driver for the brand’s growth and we have consistently sponsored music concerts,” he adds.

According to Mr Baijal, these sponsorships have been uniquely leveraged by the company through in-store tie-ups for its leading products, linked to the music concerts. “These in-store tie-ups ride on the music concert sponsorships and comprise special offers, demos and contests, at our dealer counters and have helped immensely in driving traffic and creating a positive customer experience, especially in connecting with the youth segment,” adds Mr Baijal.

The new product range of home theatres and speciality products is expected to contribute around approximately 10 to 12 per cent turnover by 2003 end, according to Mr Baijal.