Partner Channels: Bill Pay | Health | IT Education | Jobs | Technology | Travel
May 18, 2001
|
|
|
|
|
|
||
|
Channels: Astrology | Broadband | Contests | E-cards | Money | Movies | Romance | Search | Wedding | Women Partner Channels: Bill Pay | Health | IT Education | Jobs | Technology | Travel |
||
|
|
||
|
Home >
Money > Business Headlines > Report May 18, 2001 |
Feedback
|
|
|
Chaebols steal a march in the idiot box raceBS Corporate Bureau Korean chaebols are consolidating their position in the colour television market in spite of price cuts by the competition. According to industry estimates, during 2000-01 while most big names like BPL, Videocon, and Philips registered a slump in CTV sales with Onida clocking a modest growth, LG and Samsung reported impressive growth in numbers- 12.6 per cent and 16.1 per cent respectively. Together, the two have come to occupy a 14.5 per cent share of the Indian CTV market. In value terms, their share is higher at 17 per cent. The share of bigger players like BPL and Videocon have, at the same time, declined by around 10 per cent. Philips registered a slump of around 34 per cent in the total market (of 5.06 million), which grew just 3 per cent in value terms. While this trend may not worry market leaders who deal in enormous volumes, it is certainly helping the Koreans protect their bottomline, giving them an advantage in the long-term. Samsung's marketing head Ravinder Zutshi says that with competition losing brand equity and market-share by lowering prices (the reason why their value term growth has declined), by year-end Samsung should be able to inch up to the number two spot with a 11-12 per cent market-share. "If the market conditions were favourable, we would have done even better," he adds. Product and pricing strategy have also been the trump cards for the Japanese players. During the year, the Japanese brands maintained their steady growth through an unchanged pricing policy, focussing on niche segments such as the high-end flat TVs and large screen products. Sony registered a 10.5 per cent growth in value terms to notch up a market-share of 5.1 per cent. Matsushita Electric's Panasonic grew 16.8 per cent, to give it a 2.3 per cent market-share. While the Koreans are eloquent, Philips senior vice-president Rajeev Karwal said that the 10 per cent de-growth of BPL, Videocon should not be compared with a similar growth by players with smaller base, he added. Says Gurdeep Singh, Director (consumer products division), National Panasonic India Ltd: "We are growing primarily because we are maintaining a high-price point strategy at the high-end segment." Powered by YOU MAY ALSO WANT TO READ:
|
||||
