Group Member: Mukesh Kumar Singh Amirt Ranjan Deepenadra kumar Arvind Ravi Siriraj Tousif Raza

INTRODUCTION
Godrej & Boyce (G&B) to launch a new innovative product Chotukool-a small refrigerator. Target Market : Rural India

Price : Rs. 3500

Got good publicity through test marketing. Vice President to meet Chairman (Jamshyd Godrej) to discuss issues

Indian Refrigerator Industry

Market Value: Rs. 40 billion(2010) Reasons why refrigerator is not essential to villagers - Unaffordability - Irregularity of electricity supply - High prices (Rs. 700070000) Penetration Level : Urban : 18 % Rural : 2%

Market value of consumer durables : 250 billion Share of refrigerator = 16% Growth rate = 7-8%

Godrej & Boyce

Profile It is a $ 17 billion conglomerate. It is a manufacturing company of Godrej group. Started in 1897 Founder : Ardeshir Godrej (Lawyer-cumlocksmith) It is diversified company expanded business in fifteen areas. Present in more than 60 coutries

The Journey of Chotukool

June : 2007 The team spent time with people in village Figured out need of the consumers as: People dont buy in bulk, -so a small refrigerator will be enough for them they dont have budget to buy costly refrigerator - they wanted refrigerator in around Rs.2500 - they dont want additional cost in service operation and maintenance They dont have space to keep it - they needed refrigerator of small size They dont have enough electricity - a refrigerator independent of electricity Lowest Price : Rs. 7000 But there was huge market below this price which needed to be tapped

 Next step was to communicate all these need to R & D department to prepare design(Prototype). Once these released in market for test it got some more input to make changes Villagers used it at home and to make money too.

Manufacturing /specification

The manufacturing unit was located in satara,mumbai,india

Chotukool technology core: peltier cooling. The thermoelectric module used in Chotukool contained an array of thermocouples connected electrically in series and thermally parallel The semiconductor material used in the module was bismuth telluride.

Chotukool can work on inverter or battery and uses high end insulation to keep stuff cool for 2-3 hour during power cut.
Keeps the food stuff 20c below the ambient temperature. Lesser moving parts so require less maintenance.

Distribution: Communitybased model

NGO

Self-help groups

India Post

Micro-finance institutions

Challenges
How should they scale up operations? Lower the price to increase affordability ?

Right business model? How should they segment market ?