The changing residential demand and the increasing awareness about energy efficiency has prompted durable companies to introduce air conditioners with newer capacities.
Though the 1.5 tonne air conditioners are expected to be the conventional volume drivers, the models with capacity of one tonne and below are estimated to grow at a faster pace.
Cool Comfort
Samsung Electronics, the second largest player, has introduced newer capacities, including 0.8 tonne, 1.1 tonne and 1.6 tonne.
Voltas and Godrej Appliances are also making their presence felt in the smaller capacity segment. Market leader L G Electronics has launched its Art Cool series with an enhanced capacity of 1.5 tonne, designed to match the home decor.
Industry insiders observe that alterations in the housing sector, a significant growth driver, is impacting the Indian AC market.
Rajeev Jain, business group head AC, L G Electronics, said, "The smaller capacity air conditioners are gaining popularity due to the changing nature of new residential projects, especially in western and southern India. The average room sizes are shrinking from 250 sq ft to about 110 sq ft."
Pradeep Bakshi, vice president, sales and marketing, Voltas, says, "Markets such as Mumbai have switched over to a flat system that lacks bigger rooms. The 0.75 tonne models are sufficient to cool 100 -110 sq ft rooms. Now customers are looking at air-conditioning their drawing rooms and this might require slightly bigger capacity models."