Blue Star expects its sales in the home water purifier segment to rise over Rs 400 crore in the next three years, as it targets around 10 per cent market share in the space, said a top company official.
According to a PTI report: The firm is also strengthening its retail presence across the country and aims to make its products available at nearly 3,500 sales points by the end of this fiscal, up from the present 2,000.
“We are aiming to corner around 10 percent market share of the market by FY 2020-21,” Blue Star President Sales and Marketing, Product Business, C P Mukundan Menon told PTI.
He was further quoted by PTI as saying, “This fiscal, we are targeting around Rs 85 crore to Rs 100 crore sales, and from next fiscal onwards, we would target to double our sales every year.”
On growth, Menon said that the market has huge potentials as water purifier has penetration of around six per cent of the Indian homes only. Now people are gradually opting for it as quality of water is deteriorating and people have become more health conscious with the rise in disposable income.
“We expect that this penetration level would rise by up to 22-25 percent in the next 10 years,” Menon told PTI.
The residential water purifier market is estimated to be around Rs 4,200 crore. It is growing with a CAGR of 15-20 percent with around 2.6 million units being sold every year.
The electric purifier has 85 percent market and rest 15 percent is with gravity-based purifiers. The market is largely dominated by players such as Eureka Forbes, Kent RO and Live Pure.
“The water purifier market would be around Rs 4,200 crore in the next three years and we would have a sales of above Rs 400 crore by then,” he was quoted by PTI as saying.
Besides, Blue Star, which had forayed into the segment last year, has plans to invest around Rs 35 crore in branding and promotions, Menon added.
It has a range of 35 models, priced between Rs 10,900 and Rs 44,900.