Rural Marketing - Product launch

8/10/2019 Rural Marketing - Product launch

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RURAL MARKETING

ASSIGNMENT 2

PRODUCT LAUNCH GENERATOR 5 KVA


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COMPANY

LG Electronics India Pvt Ltd ABOUT US

LG Electronics India Pvt. Ltd. is a wholly owned subsidiary of LG Electronics, South Korea.

LG Electronics India Pvt. Ltd. was formed in January 1!. "he com#any has its

manufacturin$ units in Greater %oida, &elhi, and Pune.

LG Electronics has an em#loyee base of over !',((( across the world. It has !! subsidiaries

worldwide.

RURAL MARKET

"here has been hu$e unta##ed #otential in the rural mar)et for electronic $oods. *ur s#ecial

focus on the rural and semi+urban se$ment has hel#ed us come u# with innovations in

)ee#in$ with the needs of the consumers in these areas, $ivin$ us an ed$e over com#etition.

"hus in one year we have been able to enter lower #rice #oints tar$eted at the low end

customer.

"he entry level "- is now #riced at s /,0/(, a$ainst the earlier s ,(((. Similarly, frost+

free refri$erators now be$in from s 11,/((, s from s 10,((( and microwave ovens from

s 0,(((.

"he com#any has also ta)en other initiatives li)e 0/ emote rea *ffices under the branch

offices that are em#owered to directly lin) to the central billin$ system for orders, '2( service

centres and ',0(( mobile authorised service #ersonnel for villa$es havin$ below 1(,(((residents.

"here is $ood #otential in rural areas even for #roducts in the invertors 3 $enerator se$ment.

RURAL IN!IA T"E LG #ISION

e+definin$ the #osition of Indian ural #oor by e4tendin$ the boundaries for their activities

5#roducts and services6 throu$h 7uttin$ Ed$e8 initiatives.


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PRO!UCT !E#ELOPMENT

MARKET RESEARC"

1. 9e have done some research and found out details about how the villa$ers #urchase

3 who all can influence them in buyin$ an Electronic #roduct such as $enerator.

"hey are:

+ *#inion Leaders

+ Electrician

+ ;ead of the -illa$e

+ Educated


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STRENGT"S

1. LG is a )nown and reliable brand in the rural mar)et.

'. Established *ffices and dealers.

2. Good understandin$ of the rural mar)et.

>. s on &ecember '((!, there were 1(02B1 villa$es yet to be electrified.

/. &omestic Inverter mar)et is almost s. 1((( crore.

%EAKNESS

1. Poor infrastructural facility.

'. Limited Knowled$e of consumer.2. &ifficult to chan$e #syche of rural consumer.

>. Low income of rural consumers.

OPPURTUNITY

1. ural #er ca#ita e4#enditure $rew by 11./ #ercent durin$ '((! C '((B.

'. "here has been a si$nificant chan$e in the consum#tion habits of rural India. "here

wants are chan$in$ into needs.

2. ural household saves s. 11012 on an avera$e #er annum.

T"REATS

1. ural income levels are lar$ely determined by the va$aries of monsoon.

'. %early 0(= of the rural income is tied with rural a$riculture.

2. ural onsumers have traditional outloo) and do not #refer chan$es.

4. "hreat of com#etition for chea# hinese and local #roducts.


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PRO!UCT &ROSHNI' IN#ERTORS

"he need for $enerators holds true for both urban and rural areas C multi#le daily #ower cuts

are common#lace in Indian metros, and basically all sites are e?ui##ed with $enerators that

run several hours every day. In fact, itDs not uncommon for these $enerators to run '>!20/,

since shuttin$ down and #owerin$ u# a $enerator wears more 5and costs more6 than leavin$ it

runnin$.

ural electrification currently re?uires installin$ e4#ensive, overhead electric transmission

lines. "hese transmission lines need ri$ht+of+way clearin$ that devastates more ve$etation

than the area serviced. n alternative++ onsite #ower $eneration usin$ a motor+driven electric

$enerator+ is costly and often beyond the reach of most buyers. "hese $enerators also have

short lives.

n ine4#ensive, alternative+ener$y electrification system is needed in the India.

LG has develo#ed &ROS"NI'Invertors, a #ortable, solid+state, electric $enerator based on

the thermocou#le #rinci#le es#ecially for the rural households. s#ecially confi$ured rin$ of

metal #lates #roduces a very hi$h electric+current circulation when it is heated. "he current

store of ener$y can be ta##ed to #rovide a source of ac and dc electric #ower, and electrical

ener$y can be stored overni$ht. "his $enerator o#erates with fuels, such as heat from various

wastes, solar, wood, #ro#ane, or #etroleum. It can #roduce 4 )9of #ower and its wei$ht of

!/ Ibs allows #ortability. "here are no movin$ #arts to cause vibration or to ma)e noise.

)ey advanta$e of this #roduct is that it uses a wide form of common, ener$y+#roducin$

#roducts. "hese #roducts include hay, $rass, coal, animal dun$, renewable fuels, and wood

by#roducts ultimately leadin$ to lower costs for the rural consumer.


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PRO!UCT

In rural villa$es our com#any will be #rovidin$ the battery char$in$ services also. For that it

will set u# a Generator with a char$er to char$e batteries every day.

"here will be a $enerator costin$ '(,(((+ s and attery char$er. har$er are available for

s. 2,((( to 2,/(( can char$e 2( batteries at a time and with ' shifts in > hours 0( batteries

can be char$ed to serve 0( home accounts . For 2( days of #ower su##ly, the total cost for

rechar$in$ the inverter battery would be around s.2/, whereas, each #oor household s#ends

u# to s. /( #er month to buy )erosene at $overnment subsidi@ed #rices.

$eat(res

Ha4imum out#ut of >((( 9.

Easy to store and trans#ort with sturdy fold+down carry handle and lar$e+diameter

wheels.

&elivers $reater fuel efficiency via the built+in eco+throttle which adAusts the en$ine

s#eed to meet the load demand.

Sin$le Phase

atteries 1' - attery for startin$ system

Provided with water #roof cover

En$ine filtration easily available

%o e4tra fuel costs e4#ect battery char$in$.

Documents

Rural Marketing - Product launch