UK-based kitchen appliances maker Kenwood today announced its entry into the Indian market with plans to garner sales of over Rs 55 crore in the next 12 months.
The company, which today launched 65 models of kitchen appliances, said it will invest $3 million (Rs 14 crore) on marketing its products in India over the next one year.
"In the next 12 months, we should be doing around $12 million (Rs 56 crore) as sales. That's what we are looking for," Kenwood Head India Operations Kishore K K told PTI.
The company said it plans to reach out to around 1000 premium outlets across 120 cities before the Diwali season. It has also tied up with all the leading retailers in the country, including Big Bazaar, Reliance Retail, Hypercity and Tata Croma.
"At present, our focus is on retail and developing the distribution channels. We have tied up with five distributors. We will try to reach out in all major cities as well as Tier II and Tier III towns in one year period," he said.
The company said it considers India as one of the potential markets to expand its growth globally.
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"We have been planning to come to India for years now. There is an enormous opportunity for growth here...We are doing quite well in the Middle East. We hope to do the same here as well," Kenwood Commercial Director Mark J Broad said.
Broad said the company has earmarked a marketing budget of $3 million and plans to bring in more products depending on the response of the market.
At present, the firm makes most of its products for the Indian market through a contract manufacturer at Coimbatore.
The company said its kitchen appliances, which includes mixers, food processors, blenders and juices, will be positioned in the premium segment with prices ranging from Rs 1000 to Rs 53,000.
In 2001, Kenwood became a part of the UK-based De'Longhi Group, which has interests in kitchen appliances, heating products, air treatment, and ironing and floorcare with revenues of 1.4 billion euro in 2009.