Metro Ortem to recast market strategy; eyes US, Europe

Metro Ortem Ltd (MOL), a Metro group company, is planning to restructure its marketing strategy in both the domestic and export markets.

To start with, the company is working on setting up an extensive distribution channel across the country.

MOL, which sells fans under the Ortem brand name, is also looking for export opportunities in the potential markets in the US and Europe with high-end models.

The company may also look for technical tie-up with an international fan manufacturing company for developing such models, specially to cater for the US market.

"While we are now ready to initiate the process of restructuring our domestic marketing plan for Ortem fans, we are also looking for broadening our opportunities in the new export markets.

"By the end of this fiscal year, we hope to export one lakh fans to African countries," Rummy Chhabra, chairman and managing director of Metro Ortem, said on Tuesday.

"A substantial number of fans are being exported to the countries in the Middle-East and Saudi Arabia. But now we are looking for opportunities in the highly potential market in the US and Europe. But we need to opt for technical upgradation of our existing models for these two markets," Chhabra said.

A new distribution channel is being set up by MOL across the country, specially in the eastern Indian market where the company already enjoys a strong market share.

The company will now strengthen its market presence in the southern states.

The company is also planning to launch a new advertising campaign, said company sources.

"For entering into a high-end product market like the US, we may need to find a technical partner for sharing technical know-how for such expensive models. We need to sell decorative fans with wooden blades and remote control. At present, we are considering the technical and commercial feasibility of entering into the US. It may take some more time before we could start sending our fans to that country," Chhabra said.

The company has recently started exports to Spain and also testing the market of Germany.

The Chinese fan manufacturers are playing an important role in the US market with their high-value products.

"In this particular market, the price starts at around Rs 10,000. The Chinese manufacturers who started working on entering into the US markets around 15 years back, are now doing a great business. Unfortunately, the Indian fan companies are yet to exploit the potential of this market," he said.

MOL, one of the major players in this segment in the African market, however, managed to take the fight head-on.

"The African market, like the Middle-East, is very price-sensitive and we are doing well because of our price positioning," Chhabra said.