Samsung looks at increasing sales in India

Tag : Samsung
NEW DELHI: Consumer durables major Samsung is aiming for a 30 percent increase in the company's sales in the Indian market thisyear, on the back of increased research and development (R&D)activity and new product launches.

The company has appointed Olympic gold medallist Abhinav Bindra asits new brand ambassador and also plans to set up 30 additionalbrand outlets in various cities.

"We clocked a sales turnover of 1.3 billion dollars in India underour various consumer durables categories and expect to increase thefigure by 30 per cent this fiscal," Samsung India Deputy ManagingDirector R Zutshi told reporters here.

He said the company would be focussing on enhanced R&D as part ofthe effort and also bring out new products in various segments thisyear.

"We are doubling the number of our R&D engineering staff from theexisting figure of 2,000 to 4,000 within the next two years for ourNoida facility," Zutshi said. The company is planning to putspecial emphasis on the LCD TV and Flat CRT TV segments as part ofits growth strategy.

"We currently enjoy a market share of 42 per cent in the LCD TV and21 per cent in the Flat CRT TV segments and our target is toincrease our share in the two segments to 45 per cent and 26 percent, respectively, by end of the year," he said.

The company is also increasing its sales branch offices by morethan double this year. "We have 20 branch sales offices locatedacross the country and are planning to take the number to 50 by endof the current fiscal," he added.

The number of Samsung's exclusive brand shops are also set towitness an increase of 50 per cent this year. "We had 120 brandshops by end of last year and have increased the number to 150 thisyear. Our target is 180 such stores by end of 2008-09," Zutshisaid.

The company expects a growth of 80 per cent in its retail businessand is planning to tap new large format retails chains includingCroma, Reliance Retail and Aditya Birla Group.

He said Samsung is planning to bring out a series of new productsacross various segments in the approaching festive season. Thecompany is launching six new variants of its home theatre and the14.7 megapixel NV 100 HD and the 10.2 megapixel NV 9 digitalcameras this month, as part of the strategy.

Its brand ambassador Abhinav Bindra, for the period of next oneyear, would campaign for the company's all consumer electronicsproducts through print and electronic media.

Regarding the impact of inflationary pressure, Zutshi said thecompany has hiked the prices of its products across all segments byan average of five to six per cent during past few months.

"Although prices can escalate further, we hope the market willsustain," he added.