Eureka Forbes looks beyond water filters in growth plans
Shapoorji Pallonji group company Eureka Forbes, a long-time market leader in water purifiers, is on the lookout for measures to expand its range. Rachit Vats reports. Thirst for growthbusiness Updated: Mar 13, 2012 03:06 IST
Shapoorji Pallonji group company Eureka Forbes, a long-time market leader in water purifiers, is on the lookout for measures to expand its range.
With competition intensifying, the company is planning to go global through acquisitions, increase product offerings and foray into newer segments that could include fire extinguishers, air purifiers and more.
"We are in the process of establishing a substantially larger domestic and global presence and an even larger product portfolio," said Marzin Shroff, CEO (direct sales) and senior V-P (marketing), Eureka Forbes.
The company is aiming to double its current revenues of Rs 1,500 crore in three years.
"You will see us enter new global markets where there are water related issues, these may include Africa and South East Asia. On the product portfolio side we'll achieve more depth with existing brands and width with new additions and foray," Shroff said.
Hindustan Unilever, Kent RO, and other smaller players such as Tata Swach, Philips and Whirlpool are forcing Eureka Forbes to change its current strategies. The company lost market share in the water space, which was over 74% in 2004 to 60% now.
Where it is has lost market share to the new players, Eureka Forbes is looking at introducing a dozen new products including a handy bottle purifier. For this it is in talks with Milton, Disney, Nike and other companies to develop and market the product, likely to be priced at around Rs 1,000 with a three year-plus life.
"We are looking at moving up the value chain. There will be a good mix of niche and mass products and these will give us growth tomorrow," said Shroff.
This new approach will also see Eureka Forbes move away from being a true direct selling company to becoming a retail player as well.