1.

1 INTRODUCTION
Air Conditioning is one of the most i mportant invention of the 20
t h
century
without which transatlant ic flights, huge servers and many other inventions
would have been hindered. Modern Air-Condit ioning helps us control the
temperature of the environment and deals with not just heating and cooling, but
also with dehumidification, humidification, and venti lat ion, sterili ation of air
and filtration of air.
Current l y the world Air-Conditioning industry is valued at !"#$0 bil lion and
growth rate is around %&. 'uring the fiscal year 20(0- 20(( the industry had
surreal growth of ()& in spit e of the global economi c meltdown and *uroone
crisis. Asia +acific alone contributes to %%& of tot al ,-AC industry, Apart from
sales Asia stands as the world hub for Air-Conditioner product ion and China
produces over .0& of the Air-Condit ioners.
/he mai n driving factors worldwide are raising disposabl e income among
consumers in developing mar0ets, 1rowth in infrastructure, demand for higher
energy efficient solutions and replacement re2uirements in 3orth America and
*urope.
1. 2: Objective of the Project
/o compare competitors in 4nverter range of air condit ioner w.r.t price,
sali ent features and inst allation 0it.
/o ident ify 5lue "tar6 s current mar0et posit ion.
/o study about customers buyi ng preference between dealer 7 retailers
/o study on factors that influence customers buying decisions
/o study the various models of air condit ioner6 s that are displayed at
ret ail outlets 7 deal er show rooms
1. 3: Scope of the project
*l ectrical durables including Air-condit ioners sales can be directl y correl ated to
infrastructure developments i. e. new homes and growing educational
insti tutions. 4n the near future this segment wil l signifi cantl y contribute towards
a maj or chun0 of the ,A-C mar0et. ,ence to capture the mar0et share it is of
+age 1 of 49
pri me i mportance that 5lue "tar dominates this segment .
/his proj ect is undert a0en to compare the other brand inverter t ype air
condi tioner with 5lue "tar invert er Air conditioner w.r.t price, features and
service. /his proj ect also helps to understand 5lue "tars current mar0et
position. /his proj ect helps to identify top (0 inverter models and top % brands
and the reason for their leadership position.
1. 4: Type of Ree!rch
Decriptive ree!rch8 /o map the competi tion of 5lue "tar 4nverter Air-
Condit ioners model with other brand 4nvert er Air-Conditioners model w.r.t
+rice, 9eatures and "ervice, a survey was conducted to identify the top (0
inverter air condit ioner model, which have more demand in the mar0et. Also a
study was done to find the reason for this demand.
+ri mary and secondary data from various sources was used in this study.
+ri mary 'ata was used to find the top (0 4nverter Air-Condit ioner model and to
0now the customer e:pect ations. /his data will indi cate the preferences and
re2uirements in their organi at ion. /he secondary dat a was used for
identifi cat ion and generation of prospects used to select the sampl e units. /his
pri mary and secondary data is sourced across the web, magaines, and
newspapers.
A structured non disguised 2uestionnaire and a semi-structured 4nterview were
used to collect the needed data. /he 2uestionnaire had both 2uanti tative and
2ual itative 2uestions pertaining to the consumer needs, preferred attributes of
Air-Conditioners et c. /he semi-structured int erview was ai med at collecting the
organiation;s view on 5lue "tar, feasibil it y of using <oom Air-Conditioners
et c.
+ersonal 4ntervi ews were done for coll ect ing data. /he data was col lect ed from
Multi 5rand 'ealer7 <et ail =ut lets and Customers with the help of
2uestionnaire.
+age 2 of 49
/he data was col lect ed from Mult i 5rand 'eal er7 <etai l =utlets and Customers
located in Chennai.
1. ": S!#p$i%& P$!%
S!#p$i%& U%it
/he sampl ing units are Customers, Multi 5rand 'ealer and <et ail =utlets.
/he respondents are "hop Managers7 4n "hop 'emonstrators as they 0now which
model has more demand in the out lets and they 0now what influences the
customers to buy the product.
/he sampl e sie for this study is (00. /he sampl e sie comprises .0 Multi 5rand
'eal er and <et ail =ut lets and )0 Customers.
>udgment al sampling was selected for this research. /his sampl ing met hod uses
the principles of non-probabil it y techni2ue. Minit ab software is used and the
tools used are +ercent age and cross tabulat ions.
2. 1: I%'(try Profi$e
<oom Air Conditioner Mar0et in 4ndia
/he air-condit ioning mar0et in 4ndia has witnessed a rapid growth in recent
+age 3 of 49
ti mes than0s to the country;s strong economi c performance, rising household
incomes and a favorable shift in consumer percept ions towards air-condit ioner
?AC@. /he mar0et;s compounded annual growth rate ?CA1<@ has run at (.&
over the last three years. /he 4ndian AC6 s mar0et accounted for sales of more
than ). ( mil lion units in 20()-20(A. ,owever despite this rapid growth air-
condi tioner have stil l onl y reached a mere B. C& of 4ndian households according
to the most recent data. /he segment had a (). 0 per cent share ?20()@ in the
consumer appliances mar0et. According to 3at ional Council of Appl ied
*conomic research findings, onl y %2& of the )(. A mi ll ion strong mi ddle class
households in 4ndia possess AC. /he remaining AC& has not been penetrated.
/his low penetrat ion rat e il lustrates the huge opportunit y the AC industry in
4ndia is yet to seie.
4n recent years the 4ndian AC industry has been mar0ed by a fundamental shift
in the source of demand for room air-condi tioner. /his shift has seen the bul0 of
sales move away from the tradit ional l y dominant commercial sector towards the
residential sector, which now comprises B0& of the mar0et. /he AC industry in
4ndia has so far failed to full y grasp the more compl e: needs and e:pectations
of this newer, l arger and more diverse customer segment. /his lac0 of
understanding means that the AC industry is behind the curve in areas from
customer communication to easy financing. As a result, AC penetration in 4ndia
lags behind other developing mar0ets as well as other categories of consumer
durabl es in 4ndia.
/he room AC mar0et in 4ndia comprises of spl it AC and window AC. /he share
of split AC in overall sales is increasing from A$& in 9D 200.-0C to C0& in 9D
20()-(A. 5y 9D 20(C-($ the share of spli t AC is esti mated to reach $0& due to
lower noise levels, no securit y probl ems, aesthetic loo0 and space
4nvert er Air Condi tioner Mar0et
A rapidl y growing product E 4nvert er air conditioner are relat ivel y new range of
+age 4 of 49
products that have witnessed rapid growth in the air conditioning industry. 4t
currentl y constitutes F)& of overall volumes in the air condi tioner mar0et and
is e:pect ed to doubl e in volumes over the ne:t (-2 years. 1loball y, this product
is popular across many countries consti tuting F%0-(00& of the overall air
condi tioner sales.
"ource8 http8 77www.spar0capital. in7pdf7updat es74nverter&20Air
&20condi tioner.pdf
Air Condit ioning mar0et is highl y competi tive with many 4ndian and foreign
players. /he top air condit ioner brands in 4ndia are -oltas, G1, +anasonic,
'ai0in, "amsung, 1odrej , 5lue star, =nida, -ideocon and Hhirlpool. /he below
graph represents the mar0et share of maj or companies in air condit ioning
industry in 4ndia for 20()
"H=/ Anal ysis of Air- Condit ioner 4ndustry
+age ) of 49
2. 2 OR*+NI,+TION PRO-I./
4ntroduction
+age " of 49
5lue "tar Gi mit ed was founded in ($A) by the lat e Mohan / Advani. 4t started
as a modest /hree-man operation, engaged in reconditioning of refrigerators and
air condi tioners. 4n ($B$, 5lue "tar became a public li mi ted company with its
corporate head2uarters at Iasturi 5uildings in Mumbai.
/oday, 5lue "tar is 4ndia;s leading air-condi tioning and commercial
refrigerat ion company with an annual turnover of J2C00 crores, a networ0 of )0
offices, . modern manufacturing faci lit ies and around 2.00 employees.
4t fulfi lls the cooling re2uirements of a large number of corporat e, commercial
as well as residential customers and also offers e:pertise in alli ed contracting
activi ties such as el ectri cal, plumbing and fire-fighting services in order to
provide a comprehensive solution. 5lue "tar ;s other businesses include
mar0eting and maintenance of i mported professional electroni cs K industri al
syst ems, and e:ecution of industrial proj ects.
5lue "tar has business alli ances with world-renowned technology leaders such
as <heem Mfg. Co, !"AL ,itachi Medical Corp, >apanL Carel, 4tal yL 'anfoss,
'enmar0L 5it er, 1ermanyL *merson, !"AL Aerofl e:, !"AL Iit, >apanL and
many others, to offer superior products and solutions to customers.
/he Company has manufacturing faci lit ies at /hane, 'adra, 5haruch, ,i machal,
Hada and Ahmedabad, which use stat e-of-the-art manufacturing e2uipment to
ensure that the products have consistent 2ualit y and reli abil it y.
Corporat e +urpose
He are a leading 4ndian engineering company with subst antial compet ence in,
+age 0 of 49
and revenues from ) streams of businesses8
Air-condit ioning
Commerci al <efrigerat ion
+rofessional *lectronics and 4ndustri al "ystems.
As of now, our footprint is mainl y 4ndian. ,owever, we wish to progressivel y
build a sieable presence in chosen international mar0ets over the ne:t few
years.
He are a customer-focused organisat ion, del iberatel y tuned to deliver a world-
cl ass e:perience to corporate and commercial customers. As specialists, we
serve our customers with differentiated products, e:pert solutions and value-
added services.
/echni cal, engineering and contract ing e:pert ise give us our competi tive edge,
and technical manpower const itut es our 0ey resource. He wil l continue to
recruit and retain employees and business partners who relate to our customer-
oriented, speci alist 7e:pert culture. He will ma0e 5lue "tar the employer of
choi ce in our industry for we recogni e that happy employees ma0e happy
customers.
A set of (2 1uiding Corporat e -alues and 5eliefs defines our responsibi lit ies to
our sta0eholders8 customers, employees, shareholders, business partners and
societ y. 'elivering a world-class e:perience and adhering to our Corporate
-alues consti tute the two pil lars of the 5lue "tar Hay. He will ma0e conscious
efforts to align our employees and business partners with this 5lue "tar Hay.
He will strive to win the trust and admiration of all our sta0eholders by sharing
with them the fruits of business success
5usiness "egments
5lue "tar focuses on corporat e, commerci al and residenti al mar0ets. 4n
accordance with the nature of products and mar0ets, business drivers, and
competi tive positioning, the lines of business of 5lue "tar can be segmented as
follows8
*l ectro Mechanical +roj ects and +ac0aged Air-condit ioning "ystems
+age 1 of 49
/his comprises central and pac0aged air-condit ioning, el ectrical, plumbing K
fire-fighting proj ects.
/he central and pac0aged air-conditioning business involves design,
manufacturing, instal lat ion, commi ssioning and maint enance of large central
air-condi tioning plants, pac0aged air condi tioners and ducted spli t air
condi tioners. /he Company has been del ivering e:pert turn0ey cooling solutions
to a variet y of customers in the corporat e, commercial and industri al sectors.
"ystems designed by 5lue "tar have been effectivel y integrated with other
services and specifi c re2uirements of the end user.
5lue "tar ;s deep domain 0nowledge in most applications, coupled with the
stat e-of-the-art tools and software for heat load est imat ion, e2uipment siing
and air7water balancing has helped it e:ecut e solutions that effectivel y leverage
the hardware to provide opti mal cool ing. 5lue "tar;s superior proj ect
management capabi lit ies, on ti me delivery, high proj ect 2ual it y and seamless
coordination at al l levels has been a huge differentiator.
/he Company also manufactures a comprehensive range of air-condi tioning
products. A wide range of models are available in each product cat egory to
ensure that the air-conditioning system design is implement ed without any
compromise. All products have been designed on an energy-effi ciency pl atform,
and offer a host of advanced features.
5lue "tar;s product line-up includes centrifugal chill ers, screw chill ers, scroll
chi llers, fan coil units, air handling uni ts, pac0aged air condi tioners, ductable
splits and -<9 syst ems.
-<9 "yst em
5lue "tar offers -<9 syst ems with both digit al and inverter technologies. Hhil e
+age 9 of 49
the Company has been offering -<9 systems with digit al scroll technology
since 200%, a few years bac0, it also began offering a new range of eco-friendl y
-<9 syst ems with inverter technology. 5lue "tar also offers special ied air
condi tioners for critical appli cat ions such as process chillers for the process
industry. 5lue "tar ;s product range is reputed to be high on rel iabi lit y and low
on power consumpt ion.
4n addit ion to this, 5lue "tar promot es aft er-sal es service as a business, by
offering several value added services in the areas of upgrades and
enhancements, air management, water management, energy management, G**'
consult ancy for 1reen 5uildings and total facil it y management servi ces. /he
Company offers customied service solutions to various customer segments.
Customers appreciate the fact that 5lue "tar ;s responsibi lit y does not end with
merel y suppl ying air-condit ioning e2uipment. 4t offers a complet e solution right
from understanding the re2uirement to hassle-free proj ect e:ecution and
commit ted after-sales service i. e. throughout the life cycl e of the air-
condi tioning system.
/he Company also offers el ectrical contract ing proj ects and has e:pertise in the
areas of electrical design and engineering, suppl y and inst allation of entire
power systems as wel l as liaisioning, approvals, commi ssioning and asset
management.
5lue "tar has strengthened its electro mechanical portfolio by offering plumbing
K fire-fight ing solutions. Hith this, 5lue "tar offers an unmatched advant age8
*:pert end-to-end electro mechani cal solutions from a single source, thereby
providing a much larger value pac0age to al l its commercial Customers. 4ts )C
*:cell ence +rogram comprising *ngineering *:cell ence, Construction
*:cell ence and +roj ect Associat e 'evelopment programs enable moderniation
and transformat ion in the electro mechani cal proj ects business.
+age 12 of 49
Cooling +roducts
/he Cooling +roducts business comprises room air condit ioners and
refrigerat ion products K syst ems. 5lue "tar offers a wide range of contemporary
room AC products such as window, spli t, inverter, multi-invert er, cassette,
vert icool and concealed spli t air condit ioners. All the products are aestheticall y
appealing, low noise and highl y energy efficient. /he Company also
manufactures and mar0ets a comprehensive range of commercial refrigeration
products and services that cat er to the industrial, commercial and hospital it y
sectors. /hese include water cool ers, bottl ed water dispensers, deep freeers,
cold storages, bott le cool ers and ice cube machines.

Cassette K "plit AC 'eep freeers K Hater coolers
5lue "tar offers a wide range of cooling and preservation solutions including
modul ar cold rooms, pac0 houses, perishable cargo comple:es, ripening
chambers and controlled at mosphere storages. "olutions t ailor-made to suit any
industry that re2uires storage of perishabl e produce over e:t ended periods of
ti me without suffering any loss of 2ual it y E be it in loo0, feel, touch, t aste or
chemical composit ion. 4n addit ion to the agricul tural and horticultural segments,
5lue "tar offers cold storage solutions for 2uic0 service7tradi tional restaurants,
healthcare, pharma, logist ics, and froen food and dairy segments, amongst
others.
+age 11 of 49
+rofessional *lectronics K 4ndustrial "ystems
9or over five decades, the *lectronics 'ivision has been the e:clusive
distributor in 4ndia for many int ernat ional l y renowned manufacturers of hi-tech
professional electronic e2uipment and servi ces, as well as industrial products
and systems.
=ver the years, the Company has changed its business model from merel y being
a distributor to that of a system int egrator and value-added re-seller, thereby
moving up the value chain. /he Company has carved out profit able niches for
itself in most of the specialied mar0ets it operates in, such as 4ndustrial
+roj ects, 4ndustrial +roducts and "yst ems, Materi al /esting *2uipment and
"ystems ?'estruct ive 7 3on 'estruct ive@, 'ata Communi cat ion +roducts K
"ervices, /esting and Measuring 4nstruments, Anal yti cal 4nstruments and
Medical 'iagnosti c *2uipment.
*ro(p Co#p!%ie
5lue "tar 4nfo/ech Gtd
5lue "tar 4nfo/ech Gtd is a global provider of 4/ solutions and servi ces
with operations in !"A, !I, *urope, 4ndia, >apan and "ingapore. 4ts mission is
to help global enterprises derive measurabl e business outcomes through the
efficient use of informat ion technology. /he Company partners with i ts clients
to understand their business pain points and arrives at appropriate 4/ led
int ervent ions to del iver rel evant solutions to gain mar0et share and compet itive
advantage, and real ise operational efficiencies. !sing a coll aborative approach,
5lue "tar 4nfo/ech provides end-to-end services across a range of legacy and
cont emporary technologies for enterprises, software product compani es and
hardware technology vendors. 4t has wor0ed with leaders in various industries
such as Manufacturing, /elecommuni cat ion, /echnology, /ravel and ,ospitalit y,
Media K *nt ertainment, ,eal th "ciences, +harmaceuti cal and 1overnment and
enabled them to effectivel y align 4/ to deal with chal lenges due to global iat ion
and consolidation. /he Company is l isted on the 3at ional "toc0 *:change and
the 5ombay "toc0 *:change.
+age 12 of 49
5lue "tar 'esign K *ngineering Gtd
5lue "tar 'esign K *ngineering Gtd is a global provider of engineering
services to the manufacturing and archi tecture, engineering K construction
?A*C@ sectors. 5lue "tar 'esign and *ngineering draws on its parent company6 s
seven decades of e:peri ence and e:cellence in manufacturing, product
development and turn0ey proj ect e:ecution, to deliver a range of services to
customers in a variet y of industries including consumer appli ances, automot ive,
industri al machinery, hi-t ech and ,-ACK<.
5lue "tar *l ectro-Mechanical Gtd
5lue "tar *l ectro-Mechanical Gtd, a whol l y owned subsidi ary of 5lue "tar
Gi mit ed, ac2uired ' " 1upta Construction +rivate Gi mi ted, 4ndia6 s largest
independent plumbing and fire-fight ing contract ing company, in 20(0. Hith this
ac2uisition, 5lue "tar is in a position to aggressivel y pursue integrated M*+
business, and also offer standalone plumbing and fire-fighting contract ing
proj ects. 5lue "tar *lectro-Mechani cal is based out of Mumbai and has a pan-
4ndia presence. 4t can handl e comple: plumbing and fire-fight ing proj ects across
the country.
5lue "tar MK* *ngineering "dn 5hd
5lue "tar MK* *ngineering "dn 5hd, head2uart ered at Malaysia, focuses
on ta0ing care of the heat ing, ventil ation, air-conditioning and refrigerat ion
?,-AC<@ instal lation business in Malaysia. 4t also ta0es care of other
mechanical, electrical and plumbing ?M*+@ contracts for residential,
commercial and industrial purposes.
5lue "tar Matar HGG
5lue "tar Matar HGG, head2uartered at 'oha, handles the central air-
condi tioning and M*+ contracts in the Middle *ast for resident ial, commercial
and industrial purposes.
+age 13 of 49
3$(e t!r c(to#er
"ource8 5lue "tar Hebsite
+age 14 of 49
"ource8 5lue "tar Hebsite
+age 1) of 49
3. 1 .iter!t(re Revie4
5hawaniprasad and Iumari ?($C.@ have anal yed N4mpact of advert ising on
consumer durables mar0ets8 A study of <efrigerator consumerO, in this study a
ran0ing7i mportance of refrigerator among other consumer durables is studied.
"tudy of 200 owners of Al lwyn refrigerator in the twin cit ies of ,yderabad and
"ecunderabad and 'istri cts of 3iamabad and Iarimnagar in Andhra +radesh
indi cat es that a very positive impact of advert ising is found on the consumer
durabl es mar0et
.
5ayus ?($$(@ studied N/he consumer durable replacement buyerO, and found
that repl acements account for a substant ial portion of the sale of consumer
durabl es in the ! ". <esults of repl acement of automobi les indi cate that Nearl yO
repl acement buyers are more concerned with st yl ing and image and less
concerned with costs than NlateO replacement buyers.

"ri E 4M<5 ?2000@ evaluated a comparison of the educat ion and income levels
of different clust ers, and it indicated that those who give higher priorit y to
consumer el ectronic products are more educated and affluent. /he study also
revealed that transportat ion durables preceded consumer electroni c products in
the ac2uisi tion hierarchy, suggesting a tactical approach.
Adite Chat terj ee ?200A@ Air-condi tioner companies are confident that the hot
weather will lead to some cool profits. /radi tionall y, air-condi tioners have been
considered to be Nlu:uryO appliances, and therefore, the demand for air-
condi tioners have either come from the institutional segment or from affluent
homes in the top metropolitan cit ies of 4ndia. /hat;s no longer the case. Hhile
easy finance options have made air-condi tioners more affordable, companies are
also going that e:tra mi le to ma0e air-conditioners a Nmust-haveO appli ance in
more and more mi ddle class 4ndia homes.
"anj eev "inha ?20((@ said air conditioner compani es should concentrate on
three 0ey areas to differentiate them self from others are N/he first is the brand.
/he second area of e:cel lence is technology and cont inuous product innovation
at an affordabl e cost. /he third differentiator is channel and customer serviceO.
+age 1" of 49
+ramugdha Mamgain ?20((@, said 4ndi a6 s room AC mar0et is growing 20& a
year and is e:pected to touch ). B mil lion this year. "plit ACs now account for
two-thirds of the mar0et. Hit h j ust )& households having an AC, there is huge
scope for the segment. Changing lifest yle, increasing disposabl e income, fal ling
prices and wider availabili t y have all contributed to the rise in air-conditioner
sales. 'emand is rising in smal ler cit ies and towns as well as more households
j oin the buoying middl e-cl ass segment. /he country6 s mi ddle-income group is
e:pected to grow($& a year for the ne:t five years, according to a report by
bro0erage and invest ment ban0ing services provider CG"A l ast year.
According to ?CGA"+ <eport 20((@, /he <oom Air- Conditioning ?<AC@ mar0et
is dominated by spl it uni ts. =ne notable e:cept ion is 4ndia, where window and
split uni ts al most e2uall y share the <AC mar0et. Moreover, inverter uni ts are
widel y avai lable in mat ure <AC mar0ets such as the *!, >apan, and the !", and
inverter uni t sales in China are also growing rapidl y. /he >apanese mar0et is
dominated by reversible <AC units that provide both cooling and heat ing
funct ions. 'espite the variation of the <AC mar0et characterist ics according to
the economy, the mar0et has been on an upward trend over the last (0 years in
the *! and the last five years in the !" and 4ndia. !nli0e these countries, the
>apanese <AC mar0et has been constant with a slight decrease in 200$.
As per a report of 3ational Council for Applied *conomi c <esearch released in
?20()@, a famil y with an annual income between <s. ). A la0h to <s. (. la0h ?at
200$-(0 price levels@ falls in the mi ddle class category.
According to the Consumer *lectroni cs and Appliances Manufacturers
Associ ation ?C*AMA@, the esti mated <s )%, 000 crore 4ndian consumer durables
mar0et grew by onl y C-$ per cent in 20(( compared to an earl ier e:pectation of
(% per cent, mai nl y due to a slump in AC sales.
<avindra 5eleyur ?20(2@, said that 4ndia;s room air-conditioning mar0et with its
current low penetration rat e offers huge opportunit ies if the industry understand
and cat er to the shift ing needs and wants of 4ndian consumers. /he penetration
of other white goods at comparable prices is substantiall y higher, point ing out
several shortcomings in the current strat egies of the maj or AC players.
+age 10 of 49
"anj ay 0umar ?20()@, said Air condi tioners ?ACs@ are fast becoming must-haves
as consumers become increasingl y accustomed to air-conditioned environments
at the wor0place, homes, malls, cinema halls and in their cars. Hith the
consumer durabl es industry in 4ndia growing at (%& annual l y, and the fact that
the air conditioning segment remai ns among the least penetrated consumer
durabl es segments, at less than )&, more and more players are entering the AC
mar0et with hopes of tapping the growth opportuni ties. /he AC mar0et in 4ndia
currentl y has over 20 players who are fight ing for a slice of the mar0et ami dst
high hopes that i t will grow substant iall y in the future.
' " <awat ?20(A@, said /here are several factors favouring the 4ndi an air-
condi tioner mar0et growth are changing lifest yles, rise in disposable incomes
and ease of avai labi lit y will aid this growth. 5esides, most people are now using
air-condi tioned cars, wor0ing in air-conditioned environment and becoming
conscious about hygiene and pure air
+age 11 of 49
4. 1 +N+.5SIS

T+3./ 1 ho4i%& #!r6et h!re of the br!%' b!e' o% hi 'e#!%'
S.. No 3r!%'
R/SPONS/
7I% De#!%' of the
3r!%'8
Perce%t!&e
798
( 5lue "tar 0. (0&
2 'ai0in 0% .. (&
) ,itachi 0) A. )&
A G1 (B 22. $&
% Mitsubishi 0) A. )&
B +anasonic 0C ((. A&
. "amsung (0 (A. )&
C -ol tas (A 20&
$ =thers ?=nida, =1@ 0A %. .&
Tot!$ .0 1229
"ource8 +rimary "urvey, Apr->une20(A
-I*UR/ 1 ho4i%& #!r6et h!re of the br!%' b!e' o% hi 'e#!%'
Others (Onida,OG)
5.7%
Voltas
20.0%
Samsung
14.3%
anasoni!
11.4%
"itsu#ishi
4.3%
$G
22.%%
&ita!hi
4.3%
'ai(in
7.1%
)lue Star
10.0%
Pie Chart Showing Brands Market Share
-i%'i%&: /he above table shows that 22.$& respondents felt G1 has more demand,
respectively 20& respondents felt -oltas and (A.)& respondents felt "amsung. (0& of
respondents felt 5lue "tar has demand in the mar0et. 4t is inferred that G1 and -oltas air
conditioner products are more in demand.
+age 19 of 49
/A5G* 2 showi ng age group of peopl e purchasi ng ai r condi t i oner
S. No +&e
No. Of
Repo%'e%t
Perce%t!&e
798
( 20-)% A2 B0&
2 )%-%0 2C A0&
) %0-B% 00 00
A Above .0 yrs. 00 00
Tot!$ 02 122
"ource8 +rimary "urvey, Apr->une20(A
-i%'i%&: /he above table shows that B0& of the respondents belong to the age group of 20-
)% years and A0& fall under the category of )%-%0 years. "urprisingly none of them belong to
the age group of %0-B% years and Above .0 years. 4t is inferred that there is a higher percentage
?i.e. B0&@ of people in the age group of 20-)% years purchasing air conditioners. /he reason
T+3./ 3 ho4i %& r!ti %& of br!%' 4.r.t. The p!r!#eter #e%ti o%e' be$ o4 2%
):poi %t c!$ e 74here 2 i very poor !%' ) i e;tre#e$ y &oo'8
S..NO 3r!%' Price <(!$ity -e!t(re Pro'(ct Service Tot!$
+age 22 of 49
+v!i $!bi$ity S(pport
( 5lue "tar ). 0 A. % ). 0 ). 0 ). % (.. 0
2
'ai0in
). % A. % ). 0 ). 0 ). 0 (.. 0
) ,itachi 2. % A. 0 ). 0 2. % ). 0 (%. 0
A G1 A. 0 ). % %. 0 A. % A. % 2(. %
% Mitsubishi ). 0 ). 0 ). 0 2. 0 2. % (). %
B
+anasonic
). % ). % A. 0 A. 0 ). % (C. %
. "amsung A. 0 ). % %. 0 A. % A. % 2(. %
C
-oltas
A. % A. 0 ). % A. 0 A. 0 20. 0
"ource8 +rimary "urvey, Apr->une20(A
-i%'i%&: G1, "amsung and -oltas got higher ratings 2(.%72%, 2(.%72% and 2072% respectively.
/his being the reason why 'ealers7<etailers recommend these brands to customers. 5lue "tar
rated only (.72%. 4t is inferred that G1, "amsung and -oltas got higher ratings points when
compared with other brands.
/A5G* A "howi ng 4"' avai l abi l i t y at retai l out l et s
S..N
O
3R+NDS
ISD IN
OUT./TS
( 5lue "tar 0.7)%
2 'ai0in ()7)%
) ,itachi 0B7)%
A G1 2.7)%
% Mitsubishi 027)%
+age 21 of 49
B +anasonic ($7)%
. "amsung 2)7)%
C -oltas 2%7)%
"ource8 +rimary "urvey, Apr->une20(A
941!<* 2 showi ng 4"' avai l abi l i t y at ret ai l out l et s

-i%'i%&: =ut of the sample sie )% retail outlets, G1 has 4"'6s at 2. outlets, -oltas has 4"'6s
at 2% outlets and "amsung has 4"'6s at 2) outlets which is ) times higher when compared to
5lue "tar. 5lue "tar has 4"'6s at. outlets only. 4t is inferred that G1, -oltas and "amsung 4"'6s
availability in retail outlets is higher as compared to other brands. /his could be the reasons G1,
-oltas and "amsung products have more demand.
/A5G* % showi ng rat i ng of brands wi t h respect i ve t o "al es promot i on 0n %-poi nt
scal e ?where 0 i s ver y poor and % i s e:t remel y good@
S..N
O
3R+NDS
R!ti%&
( 5lue "tar 2. .
2 'ai0in 2. B
) ,itachi 2. 2
A G1 A. A
% Mitsubishi 2. 0
B +anasonic A. (
. "amsung A. 2
C -ol tas ). C
"ource8 +rimary "urvey, Apr->une20(A
+age 22 of 49
-I*UR/ 3 Sho4i %& r!ti %& of br!%' 4i th repecti ve to S!$ e pro#oti o%

Voltas Samsung Panasonic Mitsubishi LG Hitachi Daikin Blue Star
5
4

!
"
#
Brands
5
$
P
o
i
n
t

S
c
a
l
e
3.*
4.2
4.1
2.0
4.4
2.2
2.+
2.7
Chart showing Brands %atings w&r&t& Sales Promotion
-i%'i%&: G1, "amsung and +anasonic got A.A, A.2 and A.( rating points respectively. /his
shows that they are spending more money in promotional activities when compared to other
brands. 5lue "tar rated 2.. which shows that the company should give more importance to its
promotional activity. 4t is inferred that G1, "amsung and +anasonic are doing more "ales
+romotional activities when compared with other brands.
/A5G* B "howi ng whi ch brand provi des i nst al l at i on 0i t
S.. NO 3R+NDS Repo%e
( 5lue "tar 0
2 'ai0in 0
) ,itachi 0
A G1 .0
% Mitsubishi 0
B +anasonic 0
. "amsung 0
C -oltas 0
"ource8 +rimary "urvey, Apr->une20(A
9i gure A "howi ng i nst al l ati on 0i t
+age 23 of 49

-i%'i%&: G1 is the only brand that provides installation 0it along with 4nverter AC. 4f 5lue
"tar provides 4nstallation 0it in future, this may improve the sales of the product. 4t is inferred
that G1 is the only brand that provides installation 0it along with 4nverter AC.
941!<* % showi ng demand of i nvert er ai r-condi t i oner
"ource8 +rimary "urvey, Apr->une20(A
+age 24 of 49
-i%'i%&: 4n a sample sie of .0 multi-brand 'ealer7<etail outlets, only 2. respondents felt
4nverter AC has more demand, while remaining A) respondents felt that there is no demand for
4nverter AC. /he reason for this being that the people are not aware of 4nverter ACs and their
high price range. 4t is inferred that, currently there is not much demand for 4nverter AC in the
mar0et.
/A5G* . showi ng i nverter t ype ac mar0et share of t he brands based on t he demand
S. No 3R+NDS
R/SPONS/
7I% De#!%' of the
3r!%'8
Perce%t!&e 798
( 5lue "tar 0% .. 2 &
2 'ai0in 0C ((. B &
) ,itachi 0) A. ) &
A G1 (A 20. )&
% Mitsubishi 02 2. $&
B +anasonic 0B C. .&
. "amsung (0 (A. %&
C -ol tas (B 2). 2&
$
=thers ?=1,
"harp@
0% .. 2&
Tot!$ .0 1229
"ource8 +rimary "urvey, Apr->une20(A
941!<* B showi ng i nvert er t ype ac mar0et share of t he brands based on t he demand
+age 2) of 49

Blue Star
Daikin
Hitachi
LG
Mitsubishi
Panasonic
Samsung
Voltas
'thers ('G) Shar*+
Categor,
-i%'i%&: /he above table shows that 22.$& of respondents felt that -oltas has more demand
in 4nverter AC6s, 20& of respondents feel G1 and (A.)& of respondents feel "amsung. =nly
..(& of respondents felt 5lue "tar has more demand in the mar0et. 4t is inferred that -oltas and
G1 have more demand in 4nverter AC when compared with other brands.
/A5G* C "howi ng feat ures t hat cust omer focus whi l e buyi ng ai r-condi t i oner
S..NO -e!t(re Repo%e
( Air +urifyi ng 9ilt er 2(
2 Air "wing )A
) Ant i-Corrosion 9in 2.
A Auto <estart A.
% Compressor /ype 2A
B Condenser Coil /ype 2C
. *nergy "aving B%
C 4nst ant Cool %C
$
Gong 'istance +iping
9le:ibi lit y
(C
(0 <efrigerant gas .
"ource8 +rimary "urvey, Apr->une20(A
-i%'i%&: /he above table shows B% respondents felt that customers focus is on *nergy
"aving, %C respondents felt 4nstant Cooling and A. respondents felt Auto restart. 4t is inferred
that the customer is mainly focusing on *nergy "aving, 4nstant Cool and Auto <estart features
while they buying air conditioner.
+age 2" of 49
/A5G* $ showi ng t op (0 i nverter ac model based on demand
S..N
O
3R+ND TR =o'e$
Repo%
e
=RP 7i% R8
( -=G/A" (. % (C- *P 2A A)2007-
2 G1 (. 0 5"-M(2B5CAA 22 A.$$07-
) "AM"!31 (. %
A<(C,-%'AH
I
20 B0.007-
A -=G/A" (. 0 (2- *P (C )22007-
% G1 (. % 5"-M(CBCCAA (B %$$007-
B 'A4I43 Q
9/I*7I'
"*<4*"
(B
(/on- )B0007-
(. % /on- A%%007-
. "AM"!31 (. 0
A<(2,-%35H
I
(A A(B007-
C
5G!*"/A
<
(. %
C3,H(C"597C
A9
(A %2$007-
$
+A3A"=34
C
Q C"-D" "*<4*" ()
( /on-)B.007-
(. %/on- AA$007-
2 /on-%0$007-
(0
5G!*"/A
<
(. 0
C3,H(2"597C
A9
(2 )$$007-
(( ,4/AC,4 (. % <A!0(C,!*A (0 %2B007-
"ource8 +rimary "urvey, Apr->une20(A
Q <etai lers and mul ti brand deal er are not mention the model name they mention
onl y series name.
-i%'i%&: /he above table shows that 2A respondents felt that -oltas (C- *P model has more
demand. /he reason being its low price. 4t is inferred that -oltas (C- *P model and G1 5"-
+age 20 of 49
M(2B5CAA model are having more demand.
/A5G* (0 showi ng rat i ngs of paramet er t hat i nfl uence deal er t o sel l t he product s on %-
poi nt scal e ?where 0 i s very poor and % i s e:t remel y good@
S.. NO
P!r!#eter I%f$(e%ce to
Se$$ +ir:Co%'itio%er
R!ti%&
( "ales Margin A
2 "pecial 4ncent ives )
) "toc0 "uppl y %
A 1ift =ffers )
% "lab Hise /arget 2
B /rade 'iscounts )
. =ffers )
"ource8 +rimary "urvey, Apr->une20(A
-i%'i%&: 'ealer felt that the stoc0 availability is a major factor that influences them to sell
the product. /he dealer giving least importance to slab wise target. 4t is inferred that the dealer
giving more importance to stoc0 availability rather than other parameters.
+age 21 of 49
941!<* . showi ng bl ue st ar product s sal es i n ret ai l out l et s

"ource8 +rimary "urvey, Apr->une20(A
-i%'i%&: /he above table shows that %2 respondents felt that sales of 5lue "tar 4nverter AC
was Average, 0% respondents felt 1ood and (2 felt 5ad, reason being high +rice and +oor
service support. 4t is inferred that the dealer giving more importance to stoc0 availability rather
than other parameters
+age 29 of 49
9inding from Customer Muestionnaire
941!<* C showing t ype of air- condit ioner customer owned

,-V./0./
20.0%
S$,0
7+.7%
1,-'O1
3.3%
Pie Chart Showing -,*e '. /ir$Conditioner
"ource8 +rimary "urvey, Apr->une20(A
-i%'i%&: /he above table shows that ..& of respondents owned "plit AC, 20& of
respondents 4nverter AC and only )& of respondents use Hindows AC. 4t is inferred that "plit
/ype Air-Conditioner has more user when compared to other two types of Air-Conditioner.
+age 32 of 49
/A5G* (( showing which medium creating awareness about air-conditioner brand7model
S..NO =e'i(# Repo%e Perce%t!&e
( 3ewspaper 0 00
2 Magaines 0 00
)
/-
Advertisement
(0 ))&
A /hrough 9riends (0 ))&
% "ell ers 0) (0&
B =thers ?4nternet@ 0. 2A&
"ource8 +rimary "urvey, Apr->une20(A
-i%'i%&: /he above table shows that ))& of respondents felt that they get more awareness
about brands and models from /- advertisement and through 9riends. /he print media has
failed to create awareness. 4t is inferred that the customer get awareness about brand from /-
Advertisements and 9riend.
+age 31 of 49
/A5G* (2 showing ratings of parameter that influence customer while purchasing air-
conditioner 0n %-point scale ?where 0 is very poor and % is e:tremely good@
S.. NO
P!r!#eter I%f$(e%ce 4hi$e
P(rch!i%& +ir:
Co%'itio%er
R!ti%&
( 5rand 3ame A
2 +rice A. %
) /echnology A
A "ervice %
% Mualit y %
"ource8 +rimary "urvey, Apr->une20(A
-i%'i%&: /he above table shows that customer giving more importance to service and 2uality
when compared with parameters while buying AC. 4t is inferred that the customer is giving more
importance to "ervice, Muality and +rice rather than factors li0e 5rand and /echnology.
+age 32 of 49
941!<* $ showing awareness about an inverter air-conditioner

-o
43.3%
2es
5+.7%
Pie Chart Showing /wareness about an 0n1erter /ir$Conditioner
"ource8 +rimary "urvey, Apr->une20(A
-i%'i%&: /he above table shows that %.& of respondent aware of 4nverter type AC.
<emaining A.& respondents are not aware of 4nverter AC. All 5rands have failed to create
awareness about 4nverter type AC 4t is inferred that %.& percentage of people are aware of
4nverter AC, remaining people are not aware of 4nverter AC.
941!<* (0 showing awareness how an inverter air-condit ioner is different
+age 33 of 49
from normal air-conditioner

"ource8 +rimary "urvey, Apr->une20(A
-i%'i%&: /he above table shows that (.& of people 0now how inverter ac is different from
the normal ac, remaining C)& of they might not aware of how inverter ac is different from
normal ac. All brands have failed to create awareness about inverter type ac. /his could be the
reason that only )& of people in 4ndia are using inverter type ac, if you ta0e japan (00& of
people are using inverter type ac. 4t is inferred that only (.& of people 0now how inverter ac is
different from the normal ac, remaining C)& of they might not aware of how inverter ac is
different from normal ac.
941!<* (( showing 4"' influence customer purchase decision
+age 34 of 49

-o
3+.7%
2es
+3.3%
Pie Chart Showing Customer Purchase Decision 0n.luenced b, 0SD
"ource8 +rimary "urvey, Apr->une20(A
-i%'i%&: /he above table shows B)& of +eople said that 4"'6s are influencing their decision.
4"'6s 4nfluence the Customer by giving their feedbac0 and the best about their product and
hence the presenter plays a major role in customer buying the product. 4t is inferred that, 4"'6s
4nfluences the Customer by giving their feedbac0 and the best about their product and hence the
presenter plays a major role in customer buying the product. 4"'6s forR 5lue "tar retail counter
were only in . r out of )% retail outlets.
9igure (2 showing whether on-line revi ews influence the purchase
decision
+age 3) of 49

"ource8 +rimary "urvey, Apr->une20(A
-i%'i%&: /he above table shows whether =n-line reviews influence Customer purchase
decision. .)& of +eople felt that =n-line reviews are influencing their decision. /he on-line
reviews are not read by the parentsL but their children are reading =n-line reviews and they tell
their parents of the findings. 4t is inferred that =n-line <eviews about the +roduct75rand
4nfluences the Customer 5uying 'ecision
941!<* () showing awareness about blue star products
+age 3" of 49

"ource8 +rimary "urvey, Apr->une20(A
-i%'i%&: /he above table shows that .)& of +eople are aware of 5lue "tar products,
remaining 2.& of +eople are not aware of 5lue "tar +roducts. /he people are more sensitive
about high +rice. 4t is determined that a higher percentage of +eople are aware about the 5lue
"tar +roducts. .

941!<* (A showing blue star e:ist ing user level
+age 30 of 49

"ource8 +rimary "urvey, Apr->une20(A
-i%'i%&: /he table shows that A0& +eople are e:isting user of 5lue "tar +roducts,
<emaining B0& of +eople have not used 5lue "tar +roducts. /he e:isting users felt that they not
satisfied with 5lue "tar service. 4t is inferred that only A0& +eople are e:isting user of 5lue "tar
+roducts, <emaining B0& of +eople have not used 5lue "tar +roduct.
4. 2 ST+TISTIC+. +N+.5SIS
Appl yi ng Anova test for the brands ratings with respective to price, 2uali t y,
features, product avail abil it y and service support.
+age 31 of 49
S.. N
O
3r!%' Price <(!$ity
-e!t(re

Pro'(ct
+v!i$!bi $it
y
Servi ce
S(ppor
t
Tot!$
( 5lue "tar ). 0 A. % ). 0 ). 0 ). % (.. 0
2
'ai0in
). % A. % ). 0 ). 0 ). 0 (.. 0
) ,itachi 2. % A. 0 ). 0 2. % ). 0 (%. 0
A G1 A. 0 ). % %. 0 A. % A. % 2(. %
%
Mitsubis
hi
). 0 ). 0 ). 0 2. 0 2. % (). %
B
+anasoni
c
). % ). % A. 0 A. 0 ). % (C. %
. "amsung A. 0 ). % %. 0 A. % A. % 2(. %
C
-ol tas
A. % A. 0 ). % A. 0 A. 0 20. 0
"ource8 +rimary "urvey, Apr->une20(A
3r!%'
+ric
e
?P(@
P(
2
Muality
?P2@ P2
2
9eatures
?P)@ P)
2
+roduct
Availability
?PA@
PA
2
"ervice
"upport
?P%@
P%
2
5lue "tar ) $ A.% 20.2% ) $ ) $ ).% (2.2%
'ai0in
).%
(2.2
%
A.% 20.2% ) $ ) $ )
$
,itachi 2.% B.2% A (B ) $ 2.% B.2% ) $
G1 A (B ).% (2.2% % 2% A.% 20.2% A.% 20.2%
Mitsubishi ) $ ) $ ) $ 2 A 2.% B.2%
+anasonic
).%
(2.2
%
).% (2.2% A (B A (B ).%
(2.2%
"amsung A (B ).% (2.2% % 2% A.% 20.2% A.% 20.2%
-oltas
A.%
20.2
%
A (B ).% (2.2% A (B A
(B
/otal ?/@
21 121 32.)
111.2
) 29.)
114.2
) 20.)
122.0
) 21.)
12).2
)
/
2
014 932.2) 102.2) 0)".2) 112.2) 014
Mean 3.) 3.11 3."9 3.44 3.)" 3.)
>ypothei Tet
,08 S( T S2 T . . . T Sr, all the means are the same
,(8 two or more means are different from the others
Get;s test these hypotheses at U T 0. 0% significance level.
"" t ot a l T ?(0(V((C. 2%V((A. 2%V(00. .%V(0%. 2%@-?2CV)0. %V2$. %V2.. %V2C. %@
2
7A0
"" t ot a l T 2(. (
+age 39 of 49
"" a mon g T W.CA7CV$)0. 2%7CVC.0. 2%7CV.%B. 2%7CVC(2. 2%7CX-
?2CV)0. %V2$. %V2.. %V2C. %@
2
7A0
"" a mong T 0. .2%
"" wi t hi n T 2(. ( E 0. .2%
"" wi t hi n T 20. ).%
So(rce SS 'f =S -
Among 0. .2% A 0. (C(2% 0. )(()A$B$
Hithin 20. ).% )% 0. %C2(A2$
Q?according to the 9 sig7probabil it y t able with df T ?A, )%@ 9 must be at least
2. BA to reach p Y . 0%, so 9 score i not stat isticall y significant@
I%fere%ce:
,ere, Calculated -alue is lesser than the /abulated -alue, so accept the 3ull ,ypothesis and
reject the alternate hypothesis. 9rom this test, there is no significance difference in the ratings of
the brand with respective to price, 2uality, features, product availability and service support. "o
there is no difference in price, 2uality, features, product availability and service support which
offered by companies.
Comparing price, 2uali t y and servi ce paramet er whi ch i nfl uence t he cust omer
whi l e purchasi ng ai r-condi t i oner
+rice Mualit y "ervice
A. 0 %. 0 %. 0
A. 0 A. % %. 0
A. 0 %. 0 %. 0
A. % %. 0 %. 0
A. % %. 0 %. 0
+age 42 of 49
A. % %. 0 %. 0
A. % %. 0 A. %
A. % %. 0 %. 0
A. 0 %. 0 A. %
%. 0 %. 0 %. 0
A. % A. % %. 0
%. 0 %. 0 %. 0
A. % %. 0 %. 0
%. 0 %. 0 A. %
A. % A. % %. 0
%. 0 A. % %. 0
A. % %. 0 %. 0
A. % %. 0 %. 0
A. % %. 0 %. 0
A. % %. 0 %. 0
A. % %. 0 %. 0
A. % %. 0 A. %
A. % %. 0 %. 0
A. % %. 0 A. %
A. % %. 0 %. 0
A. % %. 0 %. 0
A. % %. 0 %. 0
A. % %. 0 A. %
A. % A. % %. 0
%. 0 %. 0 %. 0
"ource8 +rimary "urvey, Apr->une20(A
/-/est8 +aired /wo "ample for Means
+rice Mualit y
Mean A. %(BBBBBB. A. $(BBBBBB.
-ariance 0. 0..2$CC%( 0. 0)%$($%A
=bservat ions )0 )0
+earson Correlat ion 0. 02.2B.0$A
,ypothesied Mean
'ifference 0
df 2$
+age 41 of 49
t "tat -B. %$%A%2$.$
+?/YTt@ one-tail (. %..0.*-0.
t Crit ical one-tail (. B$$(2.02.
+?/YTt@ two-t ail ). (%A()*-0.
"ource8 1enerated in *PC*G
I%fere%ce: /he p value ?0.00@ is lesser than U value ?0.0%@, so there is "ignificance difference
between +rice and Muality.
/-/est8 +aired /wo "ample for Means
+rice "ervice
Mean A. %(BBBBBB. A. $
-ariance 0. 0..2$CC%( 0. 0A().$)(
=bservat ions )0 )0
+earson Correlat ion 0. 0)0AC%%)C
,ypothesied Mean
'ifference 0
df 2$
t "tat -B. (C%2(2C)C
+?/YTt@ one-tail A. .$.)2*-0.
t Crit ical one-tail (. B$$(2.02.
+?/YTt@ two-t ail $. %$ABA*-0.
"ource8 1enerated in *PC*G
I%fere%ce: /he p value ?0.00@ is lesser than U value ?0.0%@, so there is "ignificance difference
between +rice and "ervice.
/-/est8 +aired /wo "ample for Means
Muali t y "ervice
Mean A. $(BBBBBB. A. $
-ariance 0. 0)%$($%A 0. 0A().$)(
=bservat ions )0 )0
+earson Correlat ion -0. 22)B0B.$C
,ypothesied Mean
'ifference 0
+age 42 of 49
df 2$
t "tat 0. 2$BC$).AB
+?/YTt@ one-tail 0. )CA))(C$2
t Crit ical one-tail (. B$$(2.02.
+?/YTt@ two-t ail 0. .BCBB).CA
"ource8 1enerated in *PC*G
I%fere%ce: /he p value ?0.)C@ is greater than U value ?0.0%@, so there is 3o "ignificance
difference between Muality and "ervice.
4.3 -INDIN*S
'ealer Muestionnaire 9indings
G1 and -oltas air conditioner products are having more demand when compared to other
brands product
,igher percentage of people in the age group of 2%-)% years purchase air conditioner,
G1, "amsung and -oltas got higher ratings points; w.r.t. +rice, Muality, 9eatures, +roduct
Availability and "ervice when compare to other brands.
G1, -oltas and "amsung 4"'6s availability in retail outlets is higher when compared to
+age 43 of 49
other brands.
G1, "amsung and +anasonic are doing more "ales +romotional activity when compared
to other brands.
G1 is the only brand that provides installation 0it along with 4nverter AC.
-ery low demand for 4nverter AC in the mar0et.
-oltas and G1 have more demand in 4nverter AC6s segment when compared to other
brands
/he 'ealers felt that the customer is mainly focusing on *nergy "aving, 4nstant Cool and
Auto <estart features while they buying air conditioner.
-oltas (C- *P model and G1 5"-M(2B5CAA model are having more demand.
/he 'ealers are e:pecting 4n-"hop 'emonstrator from the company to sell the products.
'ealers felt 5lue "tar +roduct range is less when compared to other brands.

Customer Muestionnaire 9indings
"plit /ype Air-Conditioner has more user when compared to other /wo /ype Air-
Conditioner.
Customers get awareness about brand from /- Advertisements and 9riends.
Customer is giving more importance to "ervice, Muality and +rice rather than 5rand and
/echnology.
%.& percentage of people are aware of 4nverter AC, remaining people are not aware of
4nverter AC.
=nly (.& of people 0now how 4nverter AC is different from the normal AC, while
+age 44 of 49
remaining C)& are not aware of how 4nverter AC is different from 3ormal AC.
4"'6s 4nfluences the customer by giving their feedbac0 and the best about their product
and hence the 4"'6s plays a crucial role on influencing the customer buy the product.
4"'6s of 5lue "tar available only in . retail outlets out of )% outlets.
=n-line <eviews about the +roduct75rand 4nfluences the Customer 5uying 'ecision.
+eople are aware about the 5lue "tar +roducts.
=nly A0& +eople are used 5lue "tar +roducts, <emaining B0& of respondents have not
used 5lue "tar +roduct.
Customer felt the pricing and service of 5lue "tar is not so good.
4t is inferred from this hypothesis test that competitor brands in 4nverter range of air
conditioner are preferred more than 5lue "tar 4nverter range of air conditioner by
customer.
). 1 Co%c$(io%
/he study was conducted to map the competition on 4nverter "plit AC models of 20(A
line-up for various brands li0e Z'ai0in, +anasonic, Mitsubishi, "amsung, G1, -oltas,
,itachiZ with 5lue "tar.
/he study has been able to accomplish its objectives, by thoroughly analying and
identifying the top (0 inverter AC models and top % 5rands, the competitive position
among companies, customer;s awareness and perception about the company and its
products. /he company may highly be benefited by the outcome of this study.
/op (0 inverter air-conditioner model which has more demand in the mar0et.
S..NO 3R+ND TR =o'e$ =RP 7i% R8
? =OP 7i%
R8 !ppro;
( -=G/A" (. % (C- *P A)2007- A2A007-
+age 4) of 49
2 G1 (. 0 5"-M(2B5CAA A.$$07- ABB007-
) "AM"!31 (. % A<(C,-%'AHI B0.007- B00007-
A -=G/A" (. 0 (2- *P )22007- )(C007-
% G1 (. % 5"-M(CBCCAA %$$007- %$%007-
B 'A4I43 Q 9/I*7I' "*<4*"
(/on- )B0007-
(. % /on-
A%%007-
(/on- )B0007-
(. % /on-
A%2007-
. "AM"!31 (. 0 A<(2,-%35HI A(B007- A()007-
C 5G!*"/A< (. % C3,H(C"597CA9 %2$007- %2)007-
$ +A3A"=34C Q C"-D" "*<4*"
( /on-)B.007-
(. %/on-
AA$007-
2 /on-%0$007-
( /on-)B0007-
(. %/on-
AA%007-
2 /on-%0)007-
(0 5G!*"/A< (. 0 C3,H(2"597CA9 )$$007- )$%007-
(( ,4/AC,4 (. % <A!0(C,!*A %2B007- %20007-
Q <etailers and multi brand dealer are not mention the model name they mention only series
name. [ M=+ price are collected from different 'ealers and <etail outlets.
/he outcome of the study has proved that competitor brands in 4nverter range of air
conditioner are preferred mostly than 5lue "tar 4nverter range of air conditioner by
customer.
As we found from mar0et analysis the two emerging segments in this industry are
\aesthetic design; and \health conscious; customers that are beginning to shape the
mar0et. 4f company targets this two segments they may get huge benefits in the future.
4t is concluded that the company could initiate various steps based on the
recommendations given in this report. /he company by adopting few of the
recommendations, if not all, can further improve its performance and ac2uire a leading
position among other competitors in the room air conditioner mar0et.
). 2 SU**/STIONS +ND R/CO=/ND+TIONS
/his report highlights the current low penetration level of AC in 4ndia and develops a
number of effective strategies that the industry could adopt to accelerate growth and
thereby increase penetration. /hese strategies relate to financing, innovation,
communication and the selling approach. All of these strategies will need to be targeted
appropriately to both e:isting and emerging customer segments8
9inancing
*M4 =ption to the customer
/o begin with, developing easy financing options for customers will bring air conditioner
within reach of a much larger percentage of the population.
/he high up-front costs of an AC are a major barrier for adoption by many 4ndian
households. 5y providing *M4 =ption to the Customer will overcome this 5arrier. Gi0e
how Automobile 4ndustry providing *M4 =ption to the customer.
+age 4" of 49
<esearch K'evelopment
4nnovation will also play a central role in spurring industry growth if it focuses on
reducing the running cost of AC and increasing its benefits.
/he company can use 'C ,ybrid 4nverter /echnology with twin <otary Compressor.
/his combination will give the ability of the unit to continuously regulate its cooling and
heating capacity by altering the speed of the compressor in response to cooling demand.
/his 'C ,ybrid 4nverter has the benefit of high energy saving control and /win rotary
cylinder will produce low noise and low vibration.
At home user always hate running around for little things and 0eep loo0ing for smart
ways to cut down on effort and save time. 4t is important to simplify life. 9or this
company can use the following.
]ig-bee wireless technology8 /his technology brings convenience to the home user
because they no longer have to point the remote control unit towards the AC. /his
technology does not need line of sight to operate li0e other remotes which use 4nfrared
technology to communicate between the remote control unit and the AC. /his technology
allows the user to sit anywhere in his home and control the AC unit installed in any of his
room.
Mar0eting "trategy
'igital Mar0eting
Company Hebsite8 Company may give some demo on how 4nverter AC is different from
3ormal AC li0e the way ,itachi does.
+romote the products through "ocial 3etwor0 li0e 9ace boo0, /witter, and etc. Hriting
blogs will attract the young generation.
Mobile Mar0eting
He found through the survey that 20-)% age group of people are mostly buying the air
conditioner largely, so to target this age group people the company can develop some Mobile
applicationsL 5ecause now most of the people are buying smartphone, if we promote the brand
and product /hrough apps, Company can deliver rich and conte:tual content to any customer
who downloads the App K develop a more personal relationship with your customer based on
usage insights.O De$oitte pre'icte' th!t S#!rt pho%e (er i% (rb!% I%'i! 4i$$ cro 12.4
crore@.
+age 40 of 49
"ource8http877timesofindia.indiatimes.com7tech7tech-news7(0Am-urban-4ndians-to-own-
smartphone-in-20(A-'eloitte7articleshow72$BB)C$%.cms
<adio Mar0eting
3owadays Many +eople are listening to radio particularly in tier 2 and tier ) cities, this
mar0eting will help to target the tier 2 and tier ) people.
According to the study 9M radio sector in 4ndia has been growing at a compound annual rate
?CA1<@ of (A& annually and it is e:pected to grow at a CA1< of (C& in ne:t three years.
According to 4<" (2 data, radio has an estimated audience of (%.C crore people ?out of which
9M radio accounts of (0.B crore@. 4t covers 2$A cities in 4ndia.
"ource8http877articles.economictimes.indiatimes.com720(2-(2-207news7)%$))%)2^(^fm-radio-
radio-industry-private-fm
/- Advertisement
+romote the brand through "ervice which is provided by the company. Gi0e stating 3umber of
"ervice Center in 4ndia, <epair /urnaround time and displaying the company toll free number in
the Adv.
4ncreasing the retail presence
He found in the survey that most people are buying the product in retail outlets and retailer state
that they are pushing the product based on the availability of the product.
Cut down the Cost
As of now company having his manufacture plants in . location, which are located in the 3orth
and Hest <egion.so if company set up a plant in south region of 4ndia this will cut down the
Gogistics cost.
5randed +romotional 4tems
/his is the most economical and easy way to promote the 5rand. /he Company can simply put
logo or 5rand name on economical items li0e pen, 0ey chain, and table calendar and give them
away with stoc0.
Iios0 Mar0eting
He found in the survey the most of the people are not aware of 4nverter AC6s wor0ing process
and people are confused the term inverter, they of the opinion that the product wor0s without
power. /his type of mar0eting will help to create awareness about the product. 4f you see the
chart which is shown in 4ntroduction +art ?+g.3o8)@, 4n 4ndia only )& of people are using
4nverter AC this is because of lag of awareness.
"elling Approach
+age 41 of 49
/here are three major points for improvement8 customer education, solution-selling and cross-
selling8
9irstly, customer education will improve the level of awareness about the benefits of AC
and help dispel e:isting customer concerns. ,owever, customer education must not be
limited to sales staff. Any employee who comes into contact with the customer, for
e:ample service staff, must be engaged in this process.
"econdly, adopting a solution-selling approach will unveil new ways to engage the
customer. <ather than focusing on selling a product, companies should diagnose the
customer;s problem and suggest the appropriate solution. 9or this company could
conduct home surveys to identify a customer;s air-conditioning re2uirements.
/hirdly, cross-selling will allow air-conditioners to reach the larger number of customers
who have purchased other type of Air Conditioner. 5lue "tar handle many type of
+roducts li0e Central AC, Commercial refrigeration etc.., the company can use these
e:isting sales and service networ0s to identify the need for an AC and recommend a
suitable product to the Customer.
). 3 .i#it!tio%
/he study has been confined only to the dealers, retailer and customers
belonging to Chennai, 4ndia.
/he respondents; biases may have affected the findings.
+age 49 of 49