The Marketing mix of Crompton Greaves analyses the 4Ps of Crompton Greaves, which includes the Product, Price, Place, and Promotion of Crompton Greaves. Crompton Greaves is a public limited company and a subsidiary of its parent company, Avantha Group. This multinational corporation is of Indian origin and is engaged in marketing, manufacturing, and designing products for power generation, distribution, and transmission. The company was founded in 1878 by R. E. B. Crompton and is headquartered in Mumbai, India. Crompton Greaves faces stiff competition in the market from rival companies, some of which are as follows.
- ABB
- Havells
- Schneider Electric
About Crompton Greaves
- Type: Consumer electronics company
- Industry: Consumer durables
- Founded: 1937
- Founders: R. E. B. Crompton and James Greaves
- Headquarters: Mumbai, Maharashtra, India
- Area served: India, Bangladesh
- Key people: Shantanu Khosla (Chairman) and Mathew Job (CEO)
- Number of employees: 12,000
Table of Contents
Crompton Greaves Product Strategy
Crompton Greaves deals in Industrial and electrical equipment and has a variety of products in its portfolio. It has targeted construction and power-generation companies as its target group. Crompton Greaves offers end-to-end industrial equipment and system solutions, enabling its customers to use electrical power effectively.
Crompton Greaves, a leading Indian multinational company, offers various electrical products and corporate solutions. Their product mix can be broadly categorized into several key segments.
The new Product Mix of Crompton Greaves in 2023 is as follows (Source).
- Consumer Electricals: This category includes a wide range of home appliances and consumer electrical products, such as: Fans: Ceiling fans, table fans, wall-mounted fans, and exhaust fans, Lighting: LED bulbs, tube lights, and unique lighting solutions, Pumps: Water pumps for domestic and agricultural use, Home Appliances: Geysers, air coolers, heaters, and small kitchen appliances like mixer grinders and electric kettles.
- Power Systems: These products cater to the power generation, transmission, and distribution sectors. They include: Transformers: Power and distribution transformers, Switchgear: High and low-voltage switchgear products, Protection and Control Devices: Various devices for circuit protection and management in power systems.
- Industrial Systems: Targeting industrial applications, this segment includes: Motors and Drives: High and low-voltage motors and variable-speed drives for industrial use, Automation Solutions: Products and solutions for industrial automation and control.
- Professional Lighting Solutions: This includes specialized lighting products for commercial and industrial settings, such as street lighting, floodlights, and lighting for sports arenas.
- Renewable Energy Solutions: Products and services related to renewable energy, including solar power solutions and energy-efficient products.
Crompton Greaves’s product mix reflects its focus on a wide range of electrical products and solutions, catering to consumer and other power systems business and industrial needs. Their diverse product portfolio is also designed to meet the demands of different market segments, from household consumers to large industrial clients.
Crompton Greaves Place Strategy
Crompton Greaves has become the most significant private-sector enterprise in India. It has a substantial presence in the domestic market, which has been possible because of its ability to suit and meet local needs. It has a contemporary infrastructure that serves as an inbuilt manufacturing base for power automation products and a supply chain that helps efficiently distribute its products. Crompton Greaves has spread its network geographically and set up offices for most parts of India. Its offices in the Northern Region are in Gwalior, Lucknow, Jalandhar, Jaipur and New Delhi. In Western India, offices are in Baroda, Ahmedabad, Nasik and Mumbai.
In Eastern India, offices are in Patna, Guwahati, Bhubaneswar, and Kolkata. The Southern Region offices are in Cochin, Secunderabad, Bangalore, and Chennai. In 2005, Crompton Greaves established a firm footprint in the international market and acquired manufacturing facilities in Belgium, Indonesia, and the United States. The company exports several products to nearly sixty countries in the global market through an efficient distribution channel.
Crompton Greaves places strategy in marketing management, distributing and selling its electrical products, and marketing strategy encompasses several key aspects:
- Vast Dealer Network: Crompton Greaves has established a widespread network of dealers and distributors across various regions, ensuring their products are easily accessible to customers.
- Retail Outlets: The company’s products are available in numerous retail outlets, including electrical shops, home appliance stores, and large retail chains, facilitating easy purchase by end consumers.
- Online Sales Platforms: Recognizing the importance of digital presence, Crompton Greaves offers its products through e-commerce platforms, catering to the growing trend of online shopping and reaching a broader customer base.
- Industrial and B2B Sales Channels: For its industrial systems and power systems, Crompton Greaves engages in direct sales to businesses and industries, including custom solutions tailored to specific industry needs.
- Global Presence: Apart from its strong domestic market in India, Crompton Greaves has expanded internationally, with a presence in various countries, to cater to global industrial and consumer demands.
Crompton Greaves’ place strategy effectively combines traditional retail distribution, a wide dealer network, online sales platforms, direct B2B channels, and international expansion to ensure broad and effective market reach and competitive advantage.
Crompton Greaves Pricing Strategy
Crompton Greaves is a pioneer in its chosen field, and to maintain its position, it has set up a pricing policy suitable for its company and consumers. A good understanding of its consumers’ mindset and the market condition has prompted the company to adopt a reasonable pricing policy. It has set up a team for its consumer products that evaluates the market and sets up a pricing policy of a competitive nature. This works dually as the company can tackle rival companies by setting similar prices and eliminating competition. Offering better products has helped maintain consumer loyalty. Crompton Greaves is a well-established brand, and its reasonable pricing policies have helped to garner better revenues.
Crompton Greaves’ pricing and distribution strategy in the electrical products, power equipment, and solutions sector is multi-faceted and designed to cater to a diverse customer base. Here’s an expert breakdown of their approach:
- Competitive Pricing: Crompton Greaves adopts competitive pricing for its consumer electrical products, such as fans, lighting, and small appliances. This strategy ensures that their products are attractively priced compared to competitors, making them accessible to a broad customer base.
- Value-Based Pricing for Specialty Products: The company employs a value-based pricing model for specialized products like industrial systems and high-end power solutions. Prices are set based on the perceived value and the technical features these products offer, such as energy efficiency, durability, and technological advancements.
- Dynamic Pricing Based on Market Factors: Crompton Greaves adjusts its prices in response to market conditions, raw material costs, and competitive dynamics. This active pricing strategy allows them to remain flexible and competitive.
- Segmented Pricing Strategy: The company utilizes a segmented pricing strategy to cater to different market segments. For example, premium products are priced higher, targeting consumers seeking advanced features and higher quality, while more economically priced options are available for cost-conscious consumers.
- Promotional and Discount Pricing: Crompton Greaves occasionally employs promotional and discount pricing strategies, especially during festive seasons, to boost sales and attract customers. This includes limited-time offers, bundle deals, and discounts on older models.
- Project-Based Pricing for B2B Solutions: In its B2B segment, especially for immense power and industrial systems projects, pricing is often customized and project-based. This involves negotiations and is dependent on the project’s scope, scale, and specific requirements.
Crompton Greaves’ pricing and marketing strategy effectively balances competitive and value-based pricing, considering market dynamics, customer segments, and product specialization. This approach enables them to cater to a wide range of customers, from individual consumers to large industrial clients, in the diverse electrical products and industrial solutions market.
Crompton Greaves Promotion Strategy
Crompton Greaves believes in publicizing its products to create a positive impact on its customers. It has produced several commercials for its products aired on radio and television.
The company has also taken the help of print media and published its ads in magazines, newspapers, and on billboards. In 2007, it received the Golden Peacock Innovative Product/Service Award, and recently, the Ministry of Power awarded a Certificate of Merit for its spectacular efforts.
The company was the first to receive an ISO 9000 certificate, which helped it make a bold statement in the market. Crompton Greaves continues to participate in several events to create brand awareness.
Some Recent Video ads and Print ads of Crompton Greaves are:
Crompton Greaves Consumer Electricals Limited: Shop Fans, Lights, Home Appliances & Pumps Online
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