Air-conditioner manufacturer Blue Star Ltd is eyeing Rs 3,000 crore revenue during the current financial year from its product business, a top company official said.
According to a PTI report: The company currently retails commercial refrigerator, water purifier apart from air-conditioners and had registered Rs 2,500 crore revenue from this vertical in last financial year.
“Currently, our product portfolio is air-conditioners, commercial refrigerator, and water purifier. Of the total Rs 4,400 crore revenues registered last year, Rs 2,500 crore was contributed from our product business,” President – Sales, and Marketing, Product Business, Blue Star Ltd., C P Mukundan Menon was quoted by PTI as saying.
He said the product division constitutes 60 per cent of the total business.
Menon and senior members of the top management were here to unveil a range of water purifiers priced from Rs 7,900 to Rs 44,900.
The company has been piloting water purifiers for six months and has sold more than 20,000 units till date.
“Research and Design is by us (Blue Star) and they (water purifiers) are manufactured from contract manufacturing,” company Joint Managing Director, B Thiagarajan told PTI.
The company had invested around Rs 20 crore for research and development and hopes to garner 10 per cent market share in next three years.
According to him, the residential water purifiers market was valued at Rs 4,000 crore and was growing at a rate of 22 per cent year-on year. The company has also earmarked Rs 30 crore in advertising and sales promotion.
“We are buoyed by our initial success and plan to reach a market share of 10 per cent in about three years,” he was quoted by PTI as saying.
The water purifiers are available in 80 towns with over 135 channel partners and in over 1,000 retail points.