Electrolux charts out an image change

NEW DELHI: AB Electrolux is putting in place a fresh and aggressive agenda for its Indian arm Electrolux Kelvinator India. Aa a result, the Indian arm is all set to launch a range of upmarket products, elevate its positioning and improve systems and processes. Johan Bygge, senior executive v-p of AB Electrolux says: "We are putting a new organisation in place.India is an important market and has so far not been integrated enough with our global operations." As its key agenda for 2003, Bygge says Electrolux Kelvinator would put its brand and product positioning in sync with AB Electrolux worldwide. That is, it will bring in value-added product at the top-end of the spectrum. "We will put a tremendous thrust on the upmarket positioning. We will be launching a range of new products finalised with global initiatives and tested out at special product clinics in India." The products will now come at 6-7 per cent premium pricing compared to the competition. The product range would continue to be limited to refrigerators and washing machines in 2003, says Rajeev Karwal, the newly appointed CMD of Electrolux Kelvinator. While the company will try to give value-added features across the range (water dispensers on the door even in direct cool refrigerators), Karwal says most of the new launches will be in hi-end products like side-by-side refrigerators. New products will be launched only next year. Some imports would take place at the top-end too, like the internet refrigerator. On the agenda is also deeper penetration in the Indian market. "We definitely want more people to see us than they do currently." Similarly, bringing in expatriates to help update product quality, IT systems and distribution systems is on the cards. He feels India needs to take better advantage of AB Electrolux's strengths. Similarly, Bygge would be looking for higher manufacturing efficiency. The company is also busy finalising formalities for the Rs 200-crore rights issue that has been in the works for some time now. After the parent company reduced the issue size and infused Rs 50-crore as a one-time grant, SEBI gave it the go-ahead in December-end.