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LG

Study all the products they provide with price of every product ( Is
there a USP in their product? What technology they are using? Is
there a commercial purification arm or just domestic water
purifiers?)
USP:
Experience the Total Water Solution with innovative water purifier from LG.
From the immaculate filtration, to the hygienic storage and one-touch hot and
cold option, you'll always experience complete care when you choose an LG
water purifier.
LG uses Stainless Steel tanks (SS tanks) in LG RO water purifiers, bacteria
does not grow on the Stainless Steel tank surfaces as they do on plastic water
tanks in ordinary water purifiers.

Product
LG Instant Hot &
Cold Water
Purifier (LG ECOWHITE
WHD71RW4RP)
LG Instant Hot &
Cold Water
Purifier (LG ECO
BLACK
WHD71RB4RP)

Price

Specification

Technology

MRP
Rs.4429
0

5 filters=> Outside
Sediment+
Sediment+Pre-Carbon+
RO + Post Carbon

Multi temperature
Hot/Cold/Normal, RO
technology

MRP
Rs.4429
0

5 filters=> Outside
Sediment+
Sediment+Pre-Carbon+
RO + Post Carbon

Multi temperature
Hot/Cold/Normal, RO
technology

Hygienic Care
Beyond Purity
(WAW73JR2RP)

MRP Rs.
33990

Hygienic Care
Beyond Purity
(WAW73JW2RP)

MRP Rs.
32990

Hygienic Care
Beyond Purity
(WAW53JW2RP)

MRP
Rs.2849
0

Hygienic Care
Beyond Purity
(WAW33RW2RP)

MRP
Rs.2599
0

Hygienic Care
Beyond Purity
(WAW35RW2RP)

MRP
Rs.2499
0

Filters => Outside


Sediment+
Sediment+PreCarbon+ RO + Post
Carbon with UF & UV
Filters =>Outside
Sediment+
Sediment+PreCarbon+ RO + Post
Carbon with UF & UV
Filters =>Outside
Sediment+
Sediment+PreCarbon+ RO + Post
Carbon & UF
Filters => Outside
Sediment+
Sediment+PreCarbon+ RO + Post
Carbon
Outside Sediment+
Sediment+PreCarbon+ RO + Post
Carbon

Uses RO,UV & UF


technology

Uses RO,UV & UF


technology

uses RO & UF
technology

uses RO technology

uses RO technology

Company doesnt have any commercial arm in water purifier segment.

What are the distribution channels and how is the distribution done

Korean consumer durables major LG India plans to expand its distribution


network. It aims to grab nearly 50 per cent market share in the premium water
purifier segment.
Rajeev Jain, Sales Head, Home Appliances, LG India, said: We have been seeing
100 per cent growth month-on-month as consumer response has been very
good. We even had to airlift water purifier consignments from Korea to keep up
with the demand. We expect to grab 50 per cent market share in the premium
segment of RO water purifiers by the end of this year. The organised water
purifiers market is pegged at 2,600 crore in the country and is expected to grow
at a compounded annual growth rate of 24 per cent till 2018. LG believes its
features such as dual protection stainless steel tank are attracting consumers.

How is sales channel and the selling strategy


LG purifiers are distributed through 3 channels
Dealers have presence in online platforms like Amazon, Snapdeal etc.
LG stores have water purifiers along with other household appliances.
Many other stores like Croma sell LG water purifiers along with other
products.

What are ways of lead generation


--Where is their manufacturing
They are exporting their purifiers from Korea to India and selling to indian
market.
LG Electronics India have manufacturing unit in Noida & Pune but they are to
support other electronics product. LG is looking to have a plant in south india
for manufacturing of purifiers.
Who are the suppliers of the company component wise ( Major
components- Pumps, membrane, solenoid valve, cartridges )
Products are exported from korea to india for sales.
What area is their major market in India
LG products are of relatively higher cost & target high end customer only.
These products are slow moving hence dealers keep less stock for them.
These products are targeted mainly in tier1 or tier2 cities where people have
high purchasing power.
How is the initial customer interaction done?
Dealers sell their products through their shop mainly. Customers when visit to
the store, then these dealers show the products to them & explain features of
each of the item they have. Depending upon the customer budget &
preferences, dealer focus on the product to target.
How is their servicing of their products done? ( Service Channel)
Products are sold by the dealers who operate under the supervision of the
distributors. Customer register their product in company and they get service
of the product they purchased.

What are the revenues of the company since FY 2011

What is the marketing cost ( percentage of revenues) and which are


other major overheads
The company tied up with retailers for the direct sales of its products and
distributors for the channel sales. LG has 46 branch offices that work directly
with every field of distribution. A policy of regional distribution is maintained
and they follow the policy of stock rotation. LG products are available very
easily at all the malls and supermarkets. The company has its own wellmaintained showrooms to provide every service to its customers. Online
shopping for LG products is also possible at every shopping site. The LG
exclusive showrooms are known to be the most profitable for retailers
because of the product depth that LG has. Excellent distributors and the
companies focus on supply chain are the two reasons for the success of the
place element in the marketing mix of LG.
what are the sales incentive schemes of the companies
Company offers sales incentive to the dealers who outperform others. The
incentive may be of type like 2% of sales of store to the dealer etc. There are
sales target for every distributor that is assigned by the company, if
distributor manages to sell more products then he gets extra rewards.
Certifications
The Water Quality Associations Gold Seal Certification is one of the most
recognized international certification in the drinking water treatment industry
and provides complete assurance that the products have been rigorously
tested and comply with all the requirements of the testing standards.
Organization Structure

Dolly Choudhary
Product Manager- Water Purifier at LG Electronics
Noida Area, India
Raj Prakash
Regional Product Manager Modern Trade at LG Electronics
Chennai Area, India

Deepika Saharan
Brand Manager - Home Appliances & AC, Gurgaon, India

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