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Bosch & Siemens (BSH) - the Munich-headquartered home appliances major - is increasing its presence in the country through introducing new "global range of products" and their availability.
The company is also considering manufacturing more products in India, in next three years, as the demand for premium home and kitchen appliances surge.
"Plan is to consolidate our position in home appliances, built-in and stand-alone both", says Gunjan Srivastava, managing director and chief executive of BSH Household Appliances Manufacturing Pvt. Ltd. - the company's Indian subsidiary. BSH is currently, focusing to cater to the increasing need of upgrading and renovating Indian kitchens.
"People who are upgrading their lifestyle and want their kitchen to be a part of their living room are the target customer here. Siemens has been the driver in this segment across the world and that is what we are trying to replicate here", Srivastava said.
BSH is currently the dominant player in the European markets, holding the top slot in its home country - Germany. The Euro 11.4 billion (US$ 13.2 billion or Rs 87,280 crore) company has 43 manufacturing units in 13 countries spread across the Europe, the USA, Latin Americas and Asia - including its sole production unit in India, at Chennai.
Although, Srivastava accepts that the market for such premium products is still very small, the NRIs and newer generation, who are looking for more "global products", are driving the growth in India now.
"In last one year we have grown by 70 percent compared to 20 percent growth that the segment has witness here", he said. While, there are some 10,000 kitchens that gets renovated a year in India, Siemens - the company's premium brand in the built-in kitchen appliances segment - leads the Indian market, he claimed.
And the recent growth in India, has lead the company to consider local manufacturing. BSH currently, procures front loading washing machines in its Chennai plant, which went operational last year.
"We have already committed ourselves for manufacturing in India and more categories to be added depending up on sales and overall strategic mix in next three to five years", Srivastava said.
India, being a price sensitive market, BSH is promoting affordable stand alone home appliances under its Bosch brand, apart from focusing on its premium category products. It sells Bosch products through some 1,100 retailers and premium kitchen appliances through 200 kitchen product dealers in the country apart from 23 Siemens franchise brand stores.
"We believe, we don't have to make any extra effort to establish ourselves as a premium brand. We want to spread the message that we are a German brand and provide the best quality product in terms of advanced technology", he revealed.
