Lamborghini to expand multimedia accessories business

Luxury automaker, Lamborghini, plans to expand the presence of its multimedia accessories in the country by launching the products in Kolkata, Ahmedabad, Jaipur and  Chandigarh by Diwali.

Its products are already available in Delhi, Bangalore, Chennai and Mumbai and go by the brand name 'Tonino Lamborghini'. The products under this brand include laptop bags, camera bags, mobile pouches and iPod covers, and their prices range between Rs 1,500 and Rs 7,000.

This brand's focuses  people between 18 and 40 years of age, and the company plans to market itself with the same brand ethos. "Our aim is to create a product user base by maxing out our distribution and availability points," says Ajay Mehta, managing director, MCC, the licensing company for Tonino Lamborghini in India.

The initial investment for Phase-1 of Lamborghini's operations, to consist solely of displays in fashion magazines such as Vogue and GQ in India, is about Rs 10 lakh (Rs 1 million), which will spread over the next three to six months.

The investments in phase-2 will remain roughly the same. The company is aiming at a 5 per cent market share of the Rs 500 crore (Rs million) computer bag segment in the first year, with a sale of approximately 250,000 bags.

Tonino Lamborghini products are available in selected retail outlets, namely Hotspot, Reliance, eZone and Croma, where the company pays 20-25 per cent margin to the outlet. The company has no plans to open any standalone stores, as the product range is not large enough.

Lamborghini will focus primarily on its range of laptop bags, as it feels laptop sales have shot up in India in the past two years.

"Not just the increase in sales but also the drop in prices of laptops make notebook bags our flagship product. Most of the laptops are available in the range of Rs 20,000-30,000 do not come with laptop bags," notes Mehta.

Lamborghini was started in 1946 and initially made sports cars, tractors, burners, solar panels, water treatment, air conditioners, air generators, hydraulic components, wines and golf carts.

In 1981, the brand Tonino Lamborghini was established, adding fashion and accessories to the company profile.