Published by MBA Skool Team, Last Updated: February 20, 2017
Marketing Strategy of Havells analyses the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion). There are several marketing strategies like product innovation, pricing approach, promotion planning etc. These business strategies, based on Havells marketing mix, help the brand succeed.
Havells marketing strategy helps the brand/company to position itself competitively in the market and achieve its business goals & objectives.
Let us start the Havells Marketing Strategy & Mix to understand its product, pricing, advertising & distribution strategies:
Havells Product Strategy:
The product strategy and mix in Havells marketing strategy can be explained as follows:
Havells India is a leading Fast Moving Electrical Goods company. Havells has also got one of the biggest product basket. The product portfolio in the marketing mix of Havells India can be divided into 2 segments:
• Consumer products: It covers products sold in B2C (Business to Consumer) market. Product offered by Havells are Fans (ceiling, table, exhaust, pedestal fans), Lighting (consumer, CFL, LED lights), appliances (cooking, brewing, garment care appliances), switches, switch gear, water heater, air purifier, flexible cables, Air cooler, pumps.
• Industrial products: It covers product sold in B2B (Business to Business) market. Products sold by Havells in this category are Heavy duty fans (air circulators, Exhaust fans), professional lighting (LED luminaries, street lights etc), reactive power solution (LV PFC capacitors,agricultural duty capacitors etc), cables (HT power cables, LT power cables etc) , switch gears, motors.
Havells is focused on extending its product portfolio through use of technology to bring new Lifestyle based products like Air fryer, Air purifier, Home automation. From 2015, Havells is targeting ‘Integrated Automation and Control Solutions’ segment which focuses on products to enhance customer lifestyle.
Image: company website
Havells Price/Pricing Strategy:
Below is the pricing strategy in Havells marketing strategy:
Havells India follows a competitive pricing strategy due to presence of competition from other big players like Phillips, Bajaj electrical, Anchor etc.
Havells has always emphasized on providing quality product to its customers even some of the products may cost higher but all the products are nearby in the same price range as that of competitor’s. Also Havells as a part of Make in India initiative focuses on building products within India like Automatic Changeover with Current Limiter (ACCL) and MCB manufactured in India. Due to in-house manufacturing the company is able to control pricing as raw material is available at low cost in India. As a result, about 90% of the total revenue comes from Indian manufacturing plants. Havells also follows value added pricing strategy for some of its premium products like Home automation products but these are still affordable. This gives an overview on the pricing strategy in the marketing mix of Havells
Havells Place & Distribution Strategy:
Following is the distribution strategy in the Havells marketing mix:
Havells India has got an extensive distribution network across India covering around 1 lakh retail stores. Havells has also got 20000 distribution network globally making its distribution strategy as the differentiating factor as compared to other companies. Hence, the place strategy in the marketing mix of Havells is mostly dependent on distributors and retailers spread across geographies. Havells also operates exclusive brand store ‘Havells Galaxy’ that serves both customer and industrial segment. These stores carry entire range of product offered by Havells from fans to switches to cables and lighting products. Havells Galaxy store provides customers with better ambience and convenience. Currently Havells has more than 250 Galaxy stores across India. Moreover Havells also offers door step service under initiative ‘Havells Connect’.
Havells operates customer service team 24*7 which caters to customers from over 400 districts in 9 different languages.
Havells Promotion & Advertising Strategy:
The promotional and advertising strategy in the Havells marketing strategy is as follows:
The electrical industry is not generally brand driven. But Havells India has always emphasized on aggressive marketing strategies where the company spends about 3-4% of sales on advertising and promoting their brand as compared to just 1% spend by other competitors in electrical industry. The promotional strategy in the marketing mix of Havells uses media like TV, print, online etc to spread brand awareness. Havells is known for its ad tagline ‘shock laga kya’ for promoting their MCBs. Other prominent ads like ‘Wires that don’t catch fire’ for cables promotion as also a big hit which showed mother son relation beautifully. For fan products Havells came out with humorous ads ‘bijlee’ Because of all this beautifully designed ad campaigns Havells scores high share of voice as compared to competitiors like Crompton, usha etc. Havells has also been a part of event sponsorship for Cricket IPL and TV shows. Havells utilizes social media to promote their campaigns like ‘Bil chota dil bada’, ‘ Respect for women’ etc. Havells has been able to achieve premium brand image in minds of consumer projecting Havells as achiever and ambitious brand. This gives an overview of the marketing mix of Havells.
About Havells India:
Havells India Ltd. was founded in the year 1958 by Qimat Rai Gupta. It is one of the India’s leading electrical products manufacturing company. Havells India comes under Fast Moving Electrical Goods (FMEG) category. The company produces electrical products for both consumer and industrial segment. Havells has got a global presence in 50 countries with over 19 manufacturing locations worldwide out of which 7 are in India. Havells India has got one of the strongest distribution network across India with over 1 lakh retail outlet serving their product to customers. Havells India has its owns exclusive showrooms called as Havells Galaxy that serves as a direct sale point for both consumer and industrial products.
Interestingly about 90% of the total revenue of Havells India comes from in-house manufacturing which is in line with Make in India initiative. Some of the renown brand under Havells are REO, Standard, Crabtree, Luminance, Concord, Sylvania.
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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