Videocon has entered the 4K Ultra High definition smart TV category with its ‘value for money’ prices. It is the first Indian brand in this category.
Ad budget Pegging its 4K Ultra High Definition Smart TVs at ₹91,000 (for 40 inches), Videocon expects its value for money pricing in this segment to beat the multinationals whose products are above ₹1.5 lakh.
“We expect to sell 5,000 units of our 4K TVs during the festival season due to our less than ₹1 lakh prices unlike the MNC brands, which barely sell 1,000 units in a year,” said CM Singh, COO, Videocon.
With flat panel TVs growing at 50 per cent, Videocon is skewing its ad spends towards its new launch during the upcoming festive season.
“We are increasing our ad budgets by 50 per cent and have a marketing budget of ₹300 crore for the year,” added Singh.
Value share With a 16 per cent value share in panel TVs, Videocon is the number four player after Sony, Samsung and LG. However, unlike some of the other players, Videocon intends continuing in the CRT (Cathod Ray Tube) segment.
“There is still demand for the CRT televisions as the category is still not dead. However, segments like LCD are over with LED televisions taking over,” he said.
New products It is also stepping up launches of new products like 7 star rated direct cool refrigerators during the festive season. “Since prices of frost free refrigerators have gone up due to the energy efficiency norms, we expect direct cool refrigerators to grow faster and there will be three new models this year,” he said.
With revenues of ₹6,000 crore from the consumer electronics business, Videocon expects to grow at 25 per cent in the segment.