Bose Corp to enter auto parts sector

US-based Bose Corporation, which is known for its premium audio systems, is entering the auto component sector through the manufacture of suspension systems for luxury cars.

Ratish Pandey, General Manager, Bose India, said, "The company has developed suspension systems for cars and has received a positive response from the auto industry. We will soon start commercial production."

Refusing to reveal the time frame for the production, he informed that the company is in talks with car manufacturers to incorporate the suspension systems in their models.

Globally, Bose acts as an original equipment manufacturer for 18 automobile companies such as Audi, Ferrari, Nissan and Porsche, amongst others, through its automotive sound division. Pandey declined to comment on being asked when these suspension systems would be introduced in India.

According to analysts, the Indian luxury car market is growing at 30 per cent annually. The yearly sales of these cars have reached 2500-3000 units last year.

Manufacturers such as Rolls-Royce, Porsche, Lamborghini, Aston Martin, Ferrari & Maserati, Jaguar, Mercedes-Benz, Maybach and BMW have already set up sales offices within the country.

In India, the $2.5 billion firm operates through professional systems and home entertainment divisions. "The home studio systems are expected to drive growth in the future. Sectors such as infrastructure, hospitality and retail are estimated to contribute a majority in the professional systems division."

Currently, Bose operates 16 exclusive stores as a part of its retail expansion plans. However, the company has taken a conscious call of not taking the organised retail route to widen its reach in India.

"The new durable retail chains are catering to a different set of premium products such as home appliances and IT products. As of now, the company wouldn't be a part of the modern chains as retail of premium audio systems requires a different environment," said Pandey.

Recently, the company has introduced a pilot retail format 'the Bose home experience' in Kolkata. The store has a dummy home model fitted with various audio visual solutions for display. Bose is focusing on expanding in smaller cities, while widening its reach in metros such as Delhi and Mumbai.