Cricket to give leg-up to consumer durables sales

Mumbai, July 31 | Updated: Aug 1 2005, 05:45am hrs
Earlier, cricket used to be big money for consumer durable (CD) players. But, after Indo-Pak, and, The World Cup Cricket Series, CD segment achieved only normal growth. However, the year 2005 seems different. According to industry players, while the Rs 48,000 crore consumer durable industry is expected to clock 6-7% volume growth soon due to VAT, the sales might further grow for two to three weeks as a result of ongoing Cricket Series in Sri Lanka.

In an effort to cash in on the ongoing Cricket Series in Sri Lanka, competition has once again started hotting up in the CD industry whereby players are gearing up to implement new marketing initiatives and consumer promotions.

Following the recent launch of five LCD TVs in 26, 32 and 42-inch LCD TVs, and, 42 and 63 inch new plasma panels, Samsung India Electronics is now gearing up to launch a new marketing campaign specifically to woo cricket fans. Said Samsung India, deputy managing director, Ravinder Zutshi: We hope to clock over 50% sales growth in the second-half of 2005 through the Cricket Series. Given the average spurt in CTV sales that industry normally witnesses during the cricket season to cash in on, our investment has been to the tune of 5-7% of Rs 4,900 crore total sales turnover towards the upcoming festival season wherein even the Cricket Series in Sri Lanka will coincide.

Mirc Electronics too is planning to capitalise on the interest from cricket fans by launching new television commercials of its newly launched sub-brand called Posion flats, LCDs, and, plasma TVs. According to Mirc Electronics, vice president (sales and marketing), Vivek Sharma: This will be part of our 360 degree marketing activities to aspire cricket fans for the brand. During the Cricket season, we have set a target of selling around 10,000 sets of Poison CTVs, a month.

On The Front Foot
New marketing initiatives, promos on cards
Samsung has new cricket campaign up its sleeve
Mirc plans new ads for TV brand Poison
LG, Philips shirk cricket advantage
However, officials from LG Electronics India, and, Philips India said that they would not be participating in Cricket Series. Industry players believe that interest level of marketers has reduced to some extent basically due to two reasons. One, too much of cricket is happening, and, secondly, margins and prices are increasingly coming under pressure. As a result, companies are diverting their investment focus instead to dealer activities.