BPL Ltd has decided not to launch the Evelux brand of television in India but promote it in Europe even as it is in the process of acquiring a plant in Slovenia.
BPL officials said the launch of the Evelux brand in India would have cut into the market share of their other BPL brands. The officials said that the Evelux brand will now be promoted in Europe. The Evelux brand is manufactured in the Slovenian plant the promoters of which have a partnership with the BPL Group.
The Solvenian plant has a capacity of half a million of TV sets which can be ramped upto around 2 million.
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The officials said that Europe is a major thrust area for BPL Ltd in the areas of colour televisions and chassis. As per its 2001-02 projections, the group plans to achieve a target of Rs 250 crore, representing a 134 per cent growth and focus on specific product revenue growth in select markets.
BPL Ltd has already chalked out a segmentation strategy for its television division. The strategy includes dividing its CTV range into five segments, with each segment addressing a specific price range.
In the top end, BPL will have cutting edge product and has already launched Loewe brand which is one of the largest selling television brands in Europe.
The next segment is the flat screen range where Matrix has been positioned to take on competition in that market. With prices starting from Rs 20,000, the segment will have an entire range of flat screen CTVs in that segment. BPL Matrix has been rated as the best flat television by the AV Max magazine, an industry specific publication.
The third segment includes its popular Studio Line range. Its price range is between Rs 18,000 and Rs 44,000. StudioLine has recorded extremely good growth. Studio Line 21 claims to deliver the most powerful sound available among all range of televisions in the world.
In the fourth segment, BPL will position a range of televisions which will specifically address the festival season discount and exchange offer market. The price range could vary between Rs 12,000 and Rs 15,000.
The fifth segment is the Prima range which is positioned as an entry level product. It is priced as low as Rs 10,000, which makes it very competitively priced in its segment.
With World Cup soccer and cricket tournaments to follow, BPL is positioning itself to take full advantage of the season.
BPL's overall market share as per ORG for the first quarter of 2001-02 is around 19 per cent which is expected to grow to around 21 per cent within a few years.
While BPL has maintained its leadership position in the CTV market across all screen-size segments as per ORG, the industry itself has seen a decline by as much as 10 per cent during the first quarter of 2001-02.
As per ORG, secondary sales for April and May 2001 has grown by 7.1 per cent and average prices have declined further with sales coming primarily from the 14 inch, 20 inch and lower end 21 inch segments.