For the first time in many years, market leader LG Electronics India has lost market share in the refrigerator segment, down marginally from 28.6 percent (December 2004) to 28.1 percent in January 2005. The Korean company has just maintained its market share in the washing machine segment at 36 percent, according to the latest data from ORG-Gfk.
While maintaining its leadership position, LG has, however, significantly lost its hold in the direct-cool segment, where its share has slipped from 25.8 percent to 25.3 percent. In the frost-free segment, which constitutes about 20 percent of the total refrigerator market, LG’s share has come down from 35.9 percent to 35.4 percent in January 2005.
Whirlpool India has gained significant market share in January 2005 in both refrigerators and washers. The company, whose bottom line had been under pressure since last year, has improved its market share in refrigerators from 21 percent in December 2004 to 22.8 percent in January 2005 and from 13.2 percent to 15.6 percent in washing machines.
For Whirlpool, the major gains have come from the direct-cool segment, where its market share has moved up from 20 percent in December 2004 to 24.3 percent in January 2005, bringing it very close to market leader LG. Similarly, in the frost-free segment, Whirlpool is up from 18.4 percent to 19.4 percent in January 2005.
According to industry sources, it’s the third consecutive month of share growth for Whirlpool India, and this is its highest in the last 12 months. Interestingly, Whirlpool India was perhaps the only company in the sector to hike prices across its range in January by 2 to 3 percent.
Some of the other companies that have lost considerable share are Samsung Electronics India, Godrej Appliances, and Electrolux India. Samsung lost market share in washing machines from 13.8 percent in December 2004 to 12.5 percent in January 2005, and Godrej and Electrolux India are down in washing machines from 19.7 percent to 17.8 percent and 8.2 percent and 7.9 percent, respectively.
On a year-on-year basis, the refrigerators segment has grown by 7 percent (January 2004-January 2005), while the washing machines segment has grown by 14 percent. Top-end refrigerators and washers have continued to show fast growth -- frost-free refrigerators, for instance, have grown by 87 percent, and fully automatic washing machines have shown a growth of 62 percent. (The Financial Express)
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