Waka Waka! TV sales up during the World Cup

This may not be the La Liga or the English Premier League, but the World Cup has its own flavour. This is reflecting on TV sales

The Fédération Internationale de Football Association's (FIFA) World Cup is underway and football lovers wanting to watch their favourite stars like Lionel Messi, Cristiano Ronaldo and Kaka score goals are looking to get themselves new TV sets. The sales for sets in India's football-crazy States have increased and many TV manufacturing companies, at least for the next month, are specifically setting their sights on these States to push sales.
 
States like West Bengal, Goa, Kerala and parts of the North East-especially Assam and Meghalaya- where football is popular-are pushing the sales of TV sets. "Our focus for the World Cup is restricted to these States, as that's where the action is coming from. There is a football frenzy taking place," said Anand Ramadurai, general manager, marketing, Onida.
 
The rise in sales is not just limited to the States where football is extremely popular-there also seems to be marginal hikes in sales in Maharashtra, Jharkhand, Bihar, Delhi and Orissa, according to officials.
 
Firms expect a substantial rise in sales during June to July compared to the same period last year thanks to the World Cup-some are even expecting more than 100% growth in their sales. "World Cup (TV) sales have been very encouraging, especially in the Liquid Crystal Display (LCD) segment where we expect an overwhelming response. The growth is very substantial, over 100% in both sales quantities and values," said Saurabh Dhoot, director, Videocon. While Onida sees a rise of 10% to 12% in LCD TV sales in the next month, Cathode Ray Tube (CRT) TV sales are expected to grow at their annual rate of 3% to 4%.
 
"The sales for flat panels has picked up from the 1st week of June, especially in Kerala and West Bengal," said Manish Sharma, director marketing, Panasonic India.
 
Consumers are choosing LCDs over CRTs, according to industry officials. "The consumer is looking for the upgrade from CRT to LCD and that's where lies the critical issue of availing this opportunity and creating big volumes," Mr Dhoot added.
 
Mr Ramadurai also added that consumers have been delaying their purchases and waiting for prices to drop. "LCD prices have been dropping consistently over the past 18 months or so. LCDs (32-inch) are today available for even Rs25,000, which was unheard of only a year or so back. The drop in prices has been different across companies," he said.
 
There also seems to be a demand for 'Ultra Slim' TV sets. "(For) this World Cup, the major impact is due to (the) competitive price band in (the) Ultra Slim category, which is the major value driver," added Mr Dhoot.
 
This has resulted in many firms looking to aggressively promote their products in States where football is popular. They are launching various schemes for new TV sets.
 
Haier India has launched a 'Free Kick offer' which gives the consumer a scratch card scheme, where on purchase of an LED or LCD TV above 81cm, a customer can win 100% cash back or an autograph from Haier's brand ambassador John Abraham, on an Adidas track jacket.
 
Videocon is promoting consumer offers in satellite LCDs. The scheme is supported by both outdoor & print advertising, in-shop promos and contests.

 It has also introduced a money-back scheme called 'Paisa Vasool offer" on satellite LCDs where the consumer gets a two-year subscription free.
 
Onida is offering a 'World Cup to World Cup' four-year warranty plan in States like West Bengal and Goa. It's also offering consumers scratch card money-back offers for consumers in the North East and Kerala. Onida is promoting its offers through regional TV and print ads.
 
Tongue firmly in cheek, Panasonic India's offer is called 'Hand of God'. This entitles the consumer to a sure-shot gift upon the purchase of a plasma or LCD TV.

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