Consumer electronic major LG has recorded 27 per cent growth in sales of the residential air conditioners in the first half of 2017.
According to a PTI report: LG, which has moved to more energy-efficient inverter ACs, has also began exporting to Sri Lanka and is exploring opportunities in neighbouring markets such as Bangladesh.
“We have registered a growth of 27 per cent in AC sales in the first half (Jan-June) period. We registered good sales this year starting from February itself,” Business Head (Air Conditioners), LG Electronics India, Vijay Babu told PTI.
In 2016, the company registered AC sales of around Rs 2,500 crore, he added.
The Indian room air conditioners market is expected to be around 4.5 million units and is growing at a Compounded Annual Growth Rate (CAGR) of 15 per cent.
“This month, we have also done well. A steep growth has happened in the months of March and April,” he further told PTI.
From January 2017, LG has moved completely to inverter ACs.
LG has a line up of around 50 AC models in 2017 and has inverter models ranging from Rs 40,000 to Rs 56,000. It has 3-4 models of window ACs also, which primarily cater to the Tier III and the entry-level segment.
LG India, which manufactures entire range of ACs, is also setting up a plant to manufacture compressors. This would make its ACs more competitive in the domestic market.
“We are presently importing the compressors and planning to set up a factory soon at our Greater Noida factory,” he told PTI.
The company presently sells its range of AC from around 13,000 point of sales and has also entered into a pact with e-commerce major Amazon India to tap the growing online sales channel.