Onida rides a single horse

26 July 1999

Onida and Videocon, the two groups fighting for the number two position in India's colour TV market, have totally different strategies, and entirely different thinking behind the moves in the marketplace. While the Videocon group uses a multi-pronged, multi-brand strategy, Onida has harnessed a single brand with sub-brands to do all its work, all riding on what the group says is superior technology.

Onida rides on a premium, high-tech plank, and has managed to start climbing up the CTV market ladder successfully again. "What has helped in our revival is several new models (the launches have started speeding up since April 1999) and a revamped advertising strategy which has helped bring about total freshness to our brand," says G.L. (Gulu) Mirchandani, chairman & managing director of Mirc Electronics.

The advertising revamp has been accompanied by an amalgamation of marketing responsibilities. All-India marketing for the group has been brought under one roof, under Mirc. Earlier, while marketing for the western and southern regions were Mirc's responsibility, the north and east were looked after by Monica Electronics, based in Delhi.

Mr Mirchandani is banking on quality technology and superior aesthetics to take Onida ahead in the future. "We have very strong R&D of our own," he says. "We're constantly increasing investment here. We started out with five R&D people. We have 75 today."

He believes that slashing prices is not the best way to reach the top. "We've always sold at a premium, but we're offering TVs that are good looking, of stable quality and have a very low failure rate."

Incidentally, the Onida group is content with its technical tie-up with the Japan Victor Company, better known as JVC, which has lasted over the turbulent 1990s while other companies switched and changed partners. Mirc does not believe that multiple tie-ups on technology or brands is a better route to success.