Growth has been stagnant in some segments, although almost all sellers of durables have been hit by India's sluggish economy, which has made consumers reluctant to spend on non-essentials.
Videocon has given several senior executives new roles besides hiring people with experience in other companies.
The flagship Videocon brand, accounting for almost 75% of sales, will get premium positioning, selling products such as large-screen LED televisions, so-called side-by-side refrigerators and front-loading washing machines.
Sansui will be positioned as entry-level brand in the TV space, while Kelvinator will operate with a similar positioning in the home appliances segment. Amitabh Tiwari has been hired as national chief of sales and marketing for Sansui and Kelvinator, both under-performing brands that the group wants to revive.
Tiwari quit earlier this year from LG India as sales head and spent three months in Toshiba as sales and marketing chief before joining Videocon. CM Singh, who was chief operating officer (COO) for the north, including Bihar and Jharkhand, has been made the national COO for the Videocon brand.
Singh — also a former LG India employee — and Tiwari will be responsible for driving sales and marketing nationally for the respective brands and will report to Videocon director Aniruddh Dhoot. The new appointments are in line with the new strategy that involves leaders heading teams for individual brands, unlike the earlier structure when the business was organised according to regions.
The changes at Videocon are long overdue, said some industry experts. According to two executives, business partners of the group, the focus on individual brands is critical given that the Videocon brand's market share in home appliances has been stagnant at single digits over the past few years.
Another key hire is Sanjeev Bakshi as national sales head for brand Videocon. He was earlier head of sales at Voltas. Jyoti Shekhar, who was chief of the central region which included Maharashtra, Gujarat, Madhya Pradesh, West Bengal and the North-East, is becoming director, HR.
Arun Pal, formerly head of the southern region, has been made chief of the Kenstar small appliances business. Videocon Industries director Saurabh Dhoot said the reorganisation will support aggressive business objectives set out in brand-wise growth plans over the next three years. The company also wants to tap markets outside India's towns and cities besides trimming some of the fat.
"There is huge growth opportunity for us in the rural markets and we want to also reduce manpower cost," he said.
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