When 30-year-old Maya Nayak shifted base from Patna to Bangalore, she had to learn to cook, since maids in the metropolis were frightfully expensive. So, to overcome her cooking handicap, Nayak invested in an LG microwave oven that came with nearly 60 Indian auto-cook menus. Added utilities like a tandoor and a multi-cook menu further made the oven ideal for Indian cuisine. No wonder, LG’s Indian auto-cook microwave range went on to record a 15 per cent growth against the 10 per cent category growth.
Just like Nayak, millions of other Indian consumers are becoming more aware of advancements in technology and have begun to demand products built to their needs. Predictably, it has led to products like mobile phones, automobiles, household appliances and consumer electronics that are manufactured just for the Indian consumer. A recent report by Ernst and Young and Assocham claims that the electronics and appliances industry is expected to grow to $40 billion by 2012, witnessing a compound annual growth rate of 11 per cent for the period 2009-12.
International consumer durables players like LG Electronics realised the need to design for their consumer base in India. Moon B Shin, managing director of LG Electronics, realised it was the little details that mattered for LG consumers. Incorporating Indian preferences, LG’s made-for-India top loading washing machine and frost-free refrigerators pumped the company’s growth to 25 per cent. The overall category grew just 15 per cent.
The consumer electronics industry in India is expected to grow 10 per cent in value. Players like Godrej & Boyce realised that water shortage was one reason why consumers were hesitant to buy washing machines. Quickly, the company came up with washing machines that switched to the sleep mode in case of water shortage. Godrej & Boyce’s Kamal Nandi is also proud of recent Godrej washing machines that adjust to power cuts automatically. He claims, “Godrej has crafted washing machines in such a way that they will have a mind of their own to adjust to varied temperature and water conditions.”
Innovating for Indian masses, brands like Panasonic have launched a jar cooker at Rs 3,000 and onwards to suit Indian cooking styles. “Different states in the country use different varieties of rice and jar cookers are ideal for rice meals and ensure optimum use of fuel. The jar cooker was launched after studying the demands of the consumers and was made especially for India,” says G Gurumohan of Panasonic India.
Consumers are being wooed by majors like Samsung, which has developed the Easy View range of flat TVs, especially for the Indian market and stabiliser-free refrigerators, among other products. The most recent launch from Samsung includes frost-free refrigerator with a “Cool Pack” feature in the freezer, which ensures the temperature in the freezer and the refrigerator is maintained despite prolonged power cuts. The company smartly priced these refrigerators between Rs 16,650 and Rs 26,700.
With the consumer durables market valued at over Rs 30,000 crore, electronics companies say this is just the start of their long-term plans for the Indian consumer.