LG forays into GSM segment, launches two handset models

Our Corporate Bureau
16 October 2003

Mumbai: LG Electronics (www.lge.com), the leading consumer durable company in India and the fifth-largest mobile maker in the world, today forayed into the GSM segment with the launch of two handset models — G5300 and G7030. The handsets will be imported from Korea in the completely built unit (CBU) form.

Both the handset models come with 65K colour display and have a host of features like LMS (SMS with 3,200 characters), MMS and GPRS. The model G 5300 will be priced at Rs 13,490 and is a state-of-the-art designed product that offers rich features. The second model, G 7030, will be priced at Rs 18,990. It has a unique dual colour LCD and scrolling external screen that can be personalised. This is the first-of-its-kind feature in any mobile handset.

Says LG Electronics India managing director K R Kim: "Cashing in on our experience in this segment internationally and our brand strength in the domestic market, we plan to bring a range of mobile gizmos to the Indian consumer and hope to capture a substantial market share in this segment. LG aims at selling 4 lakh handsets during the next calendar year. LG will be present at every price point in this market segment as we will be introducing new models, which in addition to offering unique technology will also have superior designs."

LG will be using the direct-dealer channel, cutting across the different layers like national and regional distributors. Initially, there will be about 500 dealers and the strength will be gradually expanded to 2,000 dealers by the first quarter of 2004. In order to ensure an overall satisfied experience by the consumer, it will be setting up over 250 service centres across India to be present in the interiors of the country.

Says LG Electronics India product group head (mobile phones) Praveen Valecha: "This is the first time in the history of the Indian cellular industry that any player will be using the direct-dealer channel. We are very confident of making major inroads into this market segment in the next four to five months. We will fulfil every need of the consumer and it will be a roaring success."

LG will initially focus on the mid- and premium-segment of the market and provide the Indian consumers with various value-adds through its feature-rich phones. The company aims to have models for every price segment by January 2004.