US-based electronic water appliances maker, AO Smith, is looking at foraying into the eastern region and occupying a sizeable portion of the market by 2009.
The company is looking at introducing its water heater appliances belonging to the premium segment in Kolkata by the end of October and is eyeing at least six per cent market share initially.
The water heaters priced between Rs 5,200 and Rs 8,100 were expected to account for at least eight per cent to the total sales of the company, informed Tamal Chaudhuri, national sales and marketing manager of the company.
The water appliances maker is also eyeing close to 10 per cent market share across the country by 2010, added Chaudhuri.
For selling its products through modern retail outlets, AO Smith, has already tied up with Metro, Spencers and Reliance and talks are on with E zone and Chroma which will be finalised by the end of this month or early next month, said Chaudhuri.
According to industry sources the leading player in this segment occupies about 30 per cent market share in the Rs 650 crore water heater market which is growing at 10 per cent annually.
This apart, the company is also coming up with a manufacturing unit in Bangalore set to be operational by mid 2010-11, which will further contribute in garnering more sales. In the meantime, it is currently sourcing electronic water heaters from its manufacturig plant in Nanjing, China, which has an exclusive assembly line for production, to cater to the Indian market.
