LG, fastest growing TV brand, but BPL preferred brand

By S. Varadharajan

CHENNAI, AUG. 5. The market for colour television sets is possibly the most intensely competitive for any consumer durable in the country. Since 1996, the battle has been fought as much on promotions, dealer push and reduction in prices as through brand- building activities. Over the last two years, because of a sharp slowdown in demand, the brand-building efforts have gained added importance.

Given this background, the Chennai based Francis Kanoi Marketing Planning Services, has been conducting a syndicated study to track the status and image of CTV brands across the country in May every year since 1999 with sample sizes of over 30,000.

This year's study reveals that LG has been by far the fastest- growing CTV brand in India since 1999 though its market share is only around 10 per cent at present.

BPL is still the most dominant CTV brand. Its intending buyers at 28 per cent is almost twice that of the second placed Videocon (15 per cent) and Onida (15 per cent). At 61 per cent, three out of five CTV buyers across the country consider BPL as at least one of the preferred brands.

Though LG dominates the top-end in all ways, its brand has a relatively weak position in the South. The South is not only the second largest CTV market, it is also the mid-value market which is a natural for a brand like LG, the study says.

The status of BPL has had a setback in 2000 when its preference plunged to 29 per cent from 36 per cent earlier. It has lost another one per cent on preference since 2000.

Interestingly, the study declares that the one market in which LG is not too strong is the South, a market in which the other Korean brand - Samsung - is stronger. In fact, the study says that LG is where Samsung was in 1999 in terms of awareness and brand preference.

LG has also scored highly with intending buyers on several criteria that influence choice. For instance, the brand has scored 100 out of 100 for featuring the latest technology. In respect of introducing latest models, advertising frequency and imported sets it has scored 90.9 per cent. In respect of `advanced features', LG scores 76.9 per cent.

The study says BPL CTVs lag behind on the technology front as compared to LG scoring 66.7 per cent against LGs 100. In respect of `latest models' it scores 71.4 per cent against 90.9 per cent for LG. In respect of `advanced features', BPL scores 66.7 per cent against 76.9 per cent for LG.

The survey also looks at the `top five' criteria of salience in CTV brand choice among intending buyers for the three years. In 1999, `prestigious' criterion topped the list, followed by long lasting/durable, outstanding looks, exciting brand and lastly the trusted name.

In 2000 however the factor `exciting brand' comes first, followed by `trouble-free' service. In 2001 `exciting brand' has its top influence again followed by `trouble-free' service.

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