Air-conditioner maker Blue Star is looking to invest about Rs 100 crore in FY19 on new product development, R&D initiatives and advertising and brand communication, as part of its business growth plans in India.
According to a PTI report: While the company has lined up an investment of Rs 40 crore for product development and R&D, a sum of Rs 55 crore has been planned for advertisement purpose, including TV commercials supported by ads in mainline dailies, cinema and hoardings.
Besides, Blue Star has also set a target to expand its distribution in FY2019, according to a communication by the company to the stock exchanges.
The company, which currently has 150 exclusive product stores in the country, will increase it to 200 stores by the end of FY19.
“The company intends to increase its investment to Rs 40 crore in FY19 on new product development as well as R&D,” the company was quoted by PTI as saying, adding that in terms of advertising and brand communication, it has plans to invest about Rs 55 crore in the forthcoming summer season.
Blue Star Ltd, has launched 40 new models of energy-efficient 3-star and 5-star inverter split air conditioners.
As part of its business growth and expansion plans, the company will increase its expert service associates to 750 in FY19 as against 500 associates presently to provide after-sales air service.
“We are optimistic about the future prospects and once again expect to outperform the market and achieve a market share of 12.5 per cent in FY19,” B Thiagarajan, Joint Managing Director, Blue Star Ltd was quoted by PTI as saying.
He further said the room air conditioners market in India grew by 10 per cent in the period between January-December 2017, whereas Blue Star registered a growth of around 15 percent.
Currently, it enjoys a market share of 11.5 percent.