Moving from ACs to Electronics
Delhi-based Fedders Lloyd Group inks a JV with the Victor Company of Japan to commercially launch more than 52 JVC products across India in January 2008.business Updated: Dec 03, 2007 23:23 IST
Delhi-based Fedders Lloyd Group entered into a marketing venture with the Victor Company of Japan, better known by its consumer electronics brand JVC, to commercially launch more than 52 JVC products across India in January 2008.
The products include LCD televisions, colour televisions, camcorders and audio products. Apart from these, the company would also bring in JVC's accessories such as headphones.
Both companies are making a joint investment of $30 million in marketing and brand building.
Although the exact prices of the products are yet to be finalised, a range across the portfolio would vary between Rs 5,000 and Rs 10 lakh. "Our LCDs would be in the range of Rs 40,000 to Rs 2.5 lakh, audio products would cost between Rs 5,000 and Rs 40,000, colour televisions between Rs 5,000 and Rs 20,000 and camcorders between Rs 10,000 and Rs 1.5 lakh. The headphones would vary vary between Rs 750 and Rs 5,000," Sanjeev Wadhwa, vice president, sales & marketing, Fedders Lloyd Corporation Limited, told Hindustan Times.
The Japanese company is betting big on its camcorder range. "In the camcorder segment, we have a market share of almost 22 per cent in Japan and around 22 per cent in Europe," Kunihiko Sato, president, Victor Company, said. In the LCD category, the company has a market share of 4.5 per cent market share in these markets.
The products would be distributed across more than 2,000 dealers that Fedders Lloyd has in India to sell its other products such as air conditioners, washing machines, micro waves and DVD players, while aftersales support for JVC products will be handled exclusively by Fedders Lloyd.
On revenue sharing between the two companies, B.R. Punj, chairman and managing director, Fedders Lloyd, said, "We will buy the products from JVC and sell them in India through our distribution channels. Hence, there will be no sharing of revenue as such."
Earlier this year, the $270 million Fedders Lloyd Group forayed into the retail space for air conditioners and launched its washing machines last month.