Air-conditioner sales may be taking a hit with intermittent rains in the North, the South and the East playing spoilsport, but Panasonic expects its technology-backed offerings to drive sales. The company is targeting 17 per cent growth this fiscal.
Panasonic India, a wholly-owned subsidiary of Japanese electronics major Panasonic, is betting on its patented ‘Nanoe’ technology — an air-purifying system — to be the prime differentiator over its competition.
Till some time ago, inverter ACs had been the mainstay of the market, with companies coming out with offerings in that space. According to Gaurav Sah, Business Head, Air-conditioning Group, Panasonic India, the company has started introducing ‘Nanoe’ technology- enabled offerings even in entry-level inverter AC models.
“We have been growing at double digits for quite some time and will continue with the trajectory this fiscal too. The focus will be on inverter ACs and those with Nanoe technology,” he told
Air-purifying technology
Panasonic, Sah said, is positioning itself as a healthy alternative, especially at a time when there is growing concern about air pollution and falling air quality, particularly indoor air.
The company claims that the Nanoe technology can inhibit the growth of bacteria, deodorise and remove dust and finer particles (like PM2.5) from the air — even when the AC’s cooling is turned off.
The technology was earlier restricted to high-end models, which were priced above ₹ 45,000; it accounted for only 15 per cent sales in the segment in FY18. This fiscal, the numbers are likely to go up, with the technology having percolated down to include the entire inverter AC line-up (₹38,000 onwards).
The AC business clocked a turnover of around ₹ 1,375 crore last fiscal (for Panasonic India). A 10 per cent growth of over ₹1,250 crorewas reported in the year- ago period. Sales will be driven by the room- AC segment where Panasonic India has a 7 per cent marketshare. Voltas, LG, Daikin and Hitachi continue to be among the major players in the segment.
Industry sources, however, estimate AC sales this year to be lower than the 10-12 per cent annual growth witnessed in recent years. Since March this year, erratic weather conditions have already led to a near 15 per cent drop in sales over the same period last year. March, April and May are considered the peak season for AC sales.