According to industry players, of late, durables market has started witnessing a phenomenal demand in B and C class towns mainly due to real estate and construction boom there. To cater to the growing demand, LG Electronics India has started production of 2 lakh air conditioners (ACs) at its Pune facility in January 2007 which is expected to be expanded further to 6 lakh units soon.
Meanwhile, Samsung India has charted out new plans to increase its Dream Home road shows from 100 to 250 in B and C class towns. TCL India Holdings Private Ltd, a 100% subsidiary of TCL Corporation, China is appointing 200 sales and service (S&S) dealers in B and C class towns to start selling split and window ACs in these cities.
Ajay Bajaj, head ACs, LG Electronics India says, We are increasing our billing points from 2,200 to 2,600 in B and C class towns in the next two months. In the second quarter of 2007, we will also look at spurring more volumes of CTVs there. This year, we expect B and C class towns to contribute 70% of our total revenues of Rs 1,600 crore.
Durables market is witnessing a phenomenal demand in B and C class towns
TCL India Holdings is introducing 20 new models of ACs which will include imports of split ACs from China and window ACs made at Baddi in Himachal Pradesh. CM Singh, chief executive officer, TCL India Holdings said, We are appointing AC specialists in all retail outlets in B and C class towns.