Godrej moves on to multi-brand outlets, from exclusive brand outlets

Posted on 29 March 2010 by BMMBoxer

Godrej Appliances, one of the largest manufacturers of Home Appliances in India has decided to focus on multi-brand outlets (MBOs), turning away from its usual exclusive brand outlets. The move will witness the presence of Videocon products in third party outlets such as Croma and south India-based retail chain Viveks.

George Menezes, COO-appliance division, Godrej & Boyce Manufacturing, added, “Consumers don’t want to go to a captive, single-br¬and store any more as they want choice across brands. That’s why EBOs don’t have the kind of sales as those sh¬own by MBOs. Unlike some of our large competitors who are focused on opening mo¬re EBOs, we have developed a three-fold strategy — increasing reach, increasing penetration and increasing extraction.”

Godrej Appliances i.e. air-conditioners, washing machines, refrigerators and microwaves will all be seen across multi-brand outlets. The decision reflects Godrej’s understanding of how today’s consumer looks for choice and opts for the best deal only after comparing price and features across various brands.

Menezes added, “We are focusing on te¬chnologies, innovation and pr¬oduct development that’s re-levant to Indian consum¬ers to counter the huge sc¬ale, design prowess and deep pockets of some of our competitors.”

The Godrej Lifespace sh¬owrooms, which earlier featured Godrej appliances will be converted into exclusive outlets for its furniture business.

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