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"Any consumer is looking for a quick cup of coffee, or quick toast," Mr R. Ramakrishnan said. "But at a more subliminal level, she is also looking to provide satisfaction to her husband or her kid, so there is also an emotional aspect."

MUMBAI, June 30

WITH increasing pressure on her time and a desire to try new products, the consumer's expectations of home appliances has changed significantly, according to Mr R. Ramakrishnan, President & COO, Bajaj Electricals Ltd.

The company recently began marketing and servicing a range of appliances from the extensive catalogue of the $200-million Morphy Richards, maker of home appliances and personal care products. Morphy Richards, of the Glen Dimplex Group, introduced a range of irons, toasters, coffee makers, sandwich markers, food processors, hand blenders and oven toaster grills (OTG), and will soon introduce fryers, steamers, juicers and bread makers.

"There is a shakeout in the small appliances market today - some multinationals have found the going tough because of strong regional and national players, and pricing," he said. "Bajaj has a unique advantage as we can leverage our size, range and distribution, and this arrangement gives us access to a premium brand that can take on any world brand on an equal footing."

The small appliances market is estimated at Rs 1,500 crore, and includes kitchen and domestic appliances; it comprises large domestic players such as Usha, Bajaj and Maharaja, as well as regional players and MNCs such as Tefal, Philips, Braun and Moulinex. The segment is growing at 8-10 per cent per annum, and categories such as electric kettles, steam irons, juicers and coffee makers are doing particularly well.

While Bajaj has a significant competitive advantage in categories such as dry irons, OTGs and mixer-grinders, this arrangement enables the company to be present across all categories, he said. "For the dealer, it would be a one-stop shop, and for the housewife, if she is satisfied with one product, we can move her to others," he added.

Small appliances is a low-involvement, low-priority category; the consumer usually does not upgrade while replacing products, and makes a brand decision only at the point of sale, Mr Ramakrishnan said. There is also a marked distinction in consumer behaviour in various segments: "Consumers will buy new and improved fridges and TVs, but the wahi purana (same old) iron and toaster," he added.

So the positioning and communication - developed by Lemon Communications - for the Morphy Richards range are designed to generate greater consumer interest; the product's features are designed to provide an unanticipated benefit, he said. The positioning, `Think It. Get It' further reinforces this idea. "Any consumer is looking for a quick cup of coffee, or quick toast," he added. "But at a more subliminal level, she is also looking to provide satisfaction to her husband or her kid, so there is also an emotional aspect."

Bajaj plans to make the range available in 30 cities initially, in about 2,000-3,000 premium outlets, with focused POS material and in-shop demos. Having been in the market for 50 years, Bajaj understands the consumer well and, with access to the latest trends through Morphy Richards, is in a position to drive the change in the appliances market, he said. "Our goal is to drive category growth and enhance consumer involvement," he added.

The company will soon launch cooking ranges, electric chimneys and personal care products such as hair dryers, he added. Morphy Richards is also looking to outsource its requirements of some appliances such as dry irons, OTGs and mixer grinders to Bajaj Electricals, to be targeted at ethnic south Asian consumers in Europe and the UK.

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