Date:01/10/2005 URL: http://www.thehindubusinessline.com/2005/10/01/stories/2005100100671900.htm

Back LG targets to double sales in AP market

Our Bureau

Hyderabad , Sept. 30

HAVING attained leadership position in almost all the consumer electronics segments in the Andhra Pradesh market, LG Electronics India Ltd (LGEIL) has chalked out a strategy to nearly double its sales turnover from this market.

The LGEIL Regional Manager, Andhra Pradesh and Karnataka, Mr P.V. Murahari Rao, told newspersons that the company has set a target of Rs 900 crore of sales turnover from the Andhra Pradesh market during the current fiscal as compared to around Rs 500 crore achieved during the last fiscal.

Stating that the company has already achieved Rs 550 crore so far during the current fiscal, Mr Rao said it expects to notch up sales of around Rs 100 crore during the next one month of festive season.

As per the latest figures for January-August, LG has emerged as the undisputable leader in most of the consumer electronics segments by garnering 40 per cent share in colour TVs, 33 per cent in refrigerators, 50 per cent in microwaves, 40 per cent in washing machines, 33 per cent in audios and 40 per cent in DVDs in the Andhra Pradesh market, Mr Rao said.

According to Mr Rao, almost all consumer electronics companies record around 30 per cent of their sales during Diwali and Dussehra. Aimed at garnering a significant share of this opportunity, LG has come out with a major promotional programme titled `Mangal Hi Mangal' with assured gifts and extended warranty on select product range.

Stating that the Andhra Pradesh market contributes 8-10 per cent of LG's national sales, Mr Rao said the company expects to record a sales of Rs 92 crore through the festive promotion offer in Andhra Pradesh as compared to Rs 48 crore achieved in the last year's festive period.

LG has earmarked Rs 60 crore towards marketing spend for the mega consumer offer and targets Rs 1,600 crore sales across the country.