Blue Star launches 34 new models of water purifiers
Blue
Star launches 34 new models of water purifiers with RO, UV, UV LED, RO+UV, and RO+UV+UF
technologies including variants that enriches water with essential minerals
Blue Star Limited has launched a premium
and differentiated range of residential water purifiers comprising 34 models across
various price points with RO, UV, UV LED, RO+UV, and RO+UV+UF technologies
including colour variants and select models with Immuno Boost technology. The
range includes nine series called Stella, Prisma, Imperia, Eleanor, Majesto,
Genia, Aristo, Eternia, and Pristina with price points varying from Rs 10,900
to Rs 46,900
in the RO and its variants range; and price points from Rs 7,900 to Rs 9,900 in
the UV range. When the Company forayed into the business, it was with 13 models
in limited price bands. The Company has now extended the range in order to have
products across various price points.
Most of the models offer double stage
RO+UV protection such that the entire water passes through the RO membrane
first and then the UV lamp thereby ensuring that the water is absolutely safe
and pure. These purifiers are highly differentiated and offer attractive
features such as hot and cold water, touch sensors, electronic dispensing,
speech assist, taste enhancer, filter change alerts, aqua taste booster, super-efficient
RO membrane, child lock function and aqua mineral infuser, amongst several
others.
The Company is also test marketing a
range of commercial water purifiers to cater to the growing demand of purified
water in offices, restaurants, clinics, and other commercial establishments.
Blue Star, which completed 75 years of
its existence in 2018, had entered into the residential water purifier business
in October 2016 with the conviction that it would make deep inroads into this
business by leveraging the trust that it has built over the years. Since then,
the Company has steadily expanded its offerings and the dealer network. With
around 70,000 installations across the Country, Blue Star is one of the
significant players in this product category.
Now that the entry phase has been
successfully accomplished, the Company intends to scale up its Water Purifiers
business faster and towards this end, Blue Star has integrated the sales and
service functions of Water Purifiers with that of room air conditioners to
leverage the strengths of its room air conditioners business in these areas.
Industry
size
The market for pure drinking water has
been on the rise mainly due to deterioration in the quality of water, resulting
in a spurt in water borne diseases. There is an over dependence on ground water
which has significant levels of dissolved impurities. The electric residential
water purifiers market in the country is pegged at about Rs 5000 crores, increasing at
a CAGR of 8-9%. Interestingly,
around 15-20% of the overall market comprises replacement market. About 4
million units sold every year are electric viz RO, UV, RO+UV and its variants.
In terms of value, due to their higher price points, electric purifiers
contribute to about 85% of the market whilst the balance comprises
gravity-based purifiers.
Immuno
Boost Technology
The premium models of Stella, Imperia
and Eleanor series offer an innovative Immuno Boost Technology which provides
alkaline antioxidant water that strengthens the defense mechanism of the human
body and helps the body to stay healthy and function perfectly. The water that
is purified with Immuno Boost Technology is abundant in alkaline minerals and
hydrogen which help balance the metabolism. It can help in boosting one’s
immunity and keeping away from diseases by nourishing the body with clean,
wholesome ingredients adding essential minerals, raising the pH and making the water
antioxidant.
The body tries to naturally maintain
the acid-alkaline balance of the blood. But when the body is overly acidic, the
system has to work even harder to maintain that balance and can lead to
interference with the activity of all the cells in the body. Alkaline water
helps by neutralizing the acid levels of the body.
Immuno Boost Technology has an
antioxidant effect that slows down or prevents oxidation thereby delaying the
aging process and keeps the body healthy with a spark of life.
Sales,
Distribution & Service
With regard to distribution, Blue Star
water purifiers are already available in 138 towns in over 2800 stores coupled
with a strong online presence through e-commerce platform. Plans are on the
anvil to increase the presence to over 5000 stores in the current year by
penetrating more into Tier 2/3/4 markets as well as by leveraging the Company’s
existing room air conditioners network.
Further, the Company has been exerting
enhanced push at the point of sale with increase in the number of ‘Store Sales Representatives’
to 1000 due to the addition of the room air conditioners ground force. This
time of the year being an off season for the room air conditioners business,
these ‘Store Sales Representatives’ are dedicatedly generating leads for the
water purifiers. In addition, Blue Star’s Room AC customers are being leveraged
for cross-selling and referrals. Demonstrations of Blue Star water purifiers
along with easy EMI options have been made available across major outlets to help
customers buy the right product with extended payment options. Visual
merchandising at high footfall outlets is made available across major outlets,
to help in generation of enquiries.
Since this business is service
intensive, a robust customer-centric service network is the backbone. Considering
that Blue Star is India’s largest AC&R service provider, it believes that
it can offer differentiated service in this business too and create new
benchmarks in the industry. It has appointed over 300 service franchises that
are being supported by a team of trained Company engineers to lead the
installation and service requisites, and strong service processes have been set
up. This count is expected to reach
over 500 by the mid FY20.
Advertising
and Sales Promotion
In terms of advertising and sales
promotion, the Company has plans to invest about Rs 30 crores on water purifiers in FY20.
The value proposition for the segment has been identified as ‘Purity you can
Trust’ which has been highlighted in the Company’s TV commercials. This is
being supported by ads in television channels, mainline dailies, as well as digital.
Just like other businesses, Blue Star will be persistent with its strategy of
integrated marketing communication comprising mass media, field promotions,
digital platform, Press, events and social media, apart from one-to-one
marketing.
Water
Digest Award 2019
In February 2019, Blue Star water
purifiers, for the third time in row, were awarded as the ‘Best Domestic RO+UV
water purifiers’ in the country at the Water Digest Awards 2019. Introduced in
2006, these prestigious awards are supported by UNESCO and the Ministry of
Water Resources in India. Blue Star emerged a winner after clearing a rigorous
evaluation process by an eminent jury comprising heads of several NGOs involved
with the water industry apart from TERI and UNESCO.
Blue Star’s Research & Innovation
Center (R&I) for Water Purifiers was also awarded the 'Best Water R&D
and Technological Breakthrough’ for its product, ‘Eternia’, India's first
Point-of-Use Instant UV LED water purifier.
Way
forward
Speaking to the press at a conference
held in Chennai, B Thiagarajan, Managing Director, Blue Star Limited adds, “With
a comprehensive product portfolio across various price points and a vast
distribution network including a strong online presence through the e-commerce platform,
we have made good progress in this segment. The building blocks are already in
place. Further, with intent to unlock synergies and upscale this business, we have
integrated the sales and service functions of water purifiers with that of room
air conditioners to leverage the wider distribution footprint and to enhance
customer experience.”
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