Mutual Funds Commodities Research Tax Planning IPO Our Team Contact Us    
Stock Report

| More

Blue Star launches 34 new models of water purifiers

Posted On: 2019-06-12 11:27:01

Blue Star has launched a premium and differentiated range of residential water purifiers comprising 34 models across various price points with RO, UV, UV LED, RO+UV, and RO+UV+UF technologies including colour variants and select models with Immuno Boost technology. The range includes nine series called Stella, Prisma, Imperia, Eleanor, Majesto, Genia, Aristo, Eternia, and Pristina with price points varying from Rs 10,900 to Rs 46,900 in the RO and its variants range; and price points from Rs 7,900 to Rs 9,900 in the UV range. When the Company forayed into the business, it was with 13 models in limited price bands. The Company has now extended the range in order to have products across various price points.

Most of the models offer double stage RO+UV protection such that the entire water passes through the RO membrane first and then the UV lamp thereby ensuring that the water is absolutely safe and pure. These purifiers are highly differentiated and offer attractive features such as hot and cold water, touch sensors, electronic dispensing, speech assist, taste enhancer, filter change alerts, aqua taste booster, super-efficient RO membrane, child lock function and aqua mineral infuser, amongst several others.

The Company is also test marketing a range of commercial water purifiers to cater to the growing demand of purified water in offices, restaurants, clinics, and other commercial establishments.

Blue Star, which completed 75 years of its existence in 2018, had entered into the residential water purifier business in October 2016 with the conviction that it would make deep inroads into this business by leveraging the trust that it has built over the years. Since then, the Company has steadily expanded its offerings and the dealer network. With around 70,000 installations across the Country, Blue Star is one of the significant players in this product category.

Now that the entry phase has been successfully accomplished, the Company intends to scale up its Water Purifiers business faster and towards this end, Blue Star has integrated the sales and service functions of Water Purifiers with that of room air conditioners to leverage the strengths of its room air conditioners business in these areas.

Industry size

The market for pure drinking water has been on the rise mainly due to deterioration in the quality of water, resulting in a spurt in water borne diseases. There is an over dependence on ground water which has significant levels of dissolved impurities. The electric residential water purifiers market in the country is pegged at about Rs 5000 crores, increasing at a CAGR of 8-9%. Interestingly, around 15-20% of the overall market comprises replacement market. About 4 million units sold every year are electric viz RO, UV, RO+UV and its variants. In terms of value, due to their higher price points, electric purifiers contribute to about 85% of the market whilst the balance comprises gravity-based purifiers.

Immuno Boost Technology

The premium models of Stella, Imperia and Eleanor series offer an innovative Immuno Boost Technology which provides alkaline antioxidant water that strengthens the defense mechanism of the human body and helps the body to stay healthy and function perfectly. The water that is purified with Immuno Boost Technology is abundant in alkaline minerals and hydrogen which help balance the metabolism. It can help in boosting one's immunity and keeping away from diseases by nourishing the body with clean, wholesome ingredients adding essential minerals, raising the pH and making the water antioxidant.

The body tries to naturally maintain the acid-alkaline balance of the blood. But when the body is overly acidic, the system has to work even harder to maintain that balance and can lead to interference with the activity of all the cells in the body. Alkaline water helps by neutralizing the acid levels of the body.

Immuno Boost Technology has an antioxidant effect that slows down or prevents oxidation thereby delaying the aging process and keeps the body healthy with a spark of life.

Sales, Distribution & Service

With regard to distribution, Blue Star water purifiers are already available in 138 towns in over 2800 stores coupled with a strong online presence through e-commerce platform. Plans are on the anvil to increase the presence to over 5000 stores in the current year by penetrating more into Tier 2/3/4 markets as well as by leveraging the Company's existing room air conditioners network.

Further, the Company has been exerting enhanced push at the point of sale with increase in the number of 'Store Sales Representatives' to 1000 due to the addition of the room air conditioners ground force. This time of the year being an off season for the room air conditioners business, these 'Store Sales Representatives' are dedicatedly generating leads for the water purifiers. In addition, Blue Star's Room AC customers are being leveraged for cross-selling and referrals. Demonstrations of Blue Star water purifiers along with easy EMI options have been made available across major outlets to help customers buy the right product with extended payment options. Visual merchandising at high footfall outlets is made available across major outlets, to help in generation of enquiries.

Since this business is service intensive, a robust customer-centric service network is the backbone. Considering that Blue Star is India's largest AC&R service provider, it believes that it can offer differentiated service in this business too and create new benchmarks in the industry. It has appointed over 300 service franchises that are being supported by a team of trained Company engineers to lead the installation and service requisites, and strong service processes have been set up. This count is expected to reach over 500 by the mid FY20.

Advertising and Sales Promotion

In terms of advertising and sales promotion, the Company has plans to invest about Rs 30 crores on water purifiers in FY20. The value proposition for the segment has been identified as 'Purity you can Trust' which has been highlighted in the Company's TV commercials. This is being supported by ads in television channels, mainline dailies, as well as digital. Just like other businesses, Blue Star will be persistent with its strategy of integrated marketing communication comprising mass media, field promotions, digital platform, Press, events and social media, apart from one-to-one marketing.

Water Digest Award 2019

In February 2019, Blue Star water purifiers, for the third time in row, were awarded as the 'Best Domestic RO+UV water purifiers' in the country at the Water Digest Awards 2019. Introduced in 2006, these prestigious awards are supported by UNESCO and the Ministry of Water Resources in India. Blue Star emerged a winner after clearing a rigorous evaluation process by an eminent jury comprising heads of several NGOs involved with the water industry apart from TERI and UNESCO.

Blue Star's Research & Innovation Center (R&I) for Water Purifiers was also awarded the 'Best Water R&D and Technological Breakthrough' for its product, 'Eternia', India's first Point-of-Use Instant UV LED water purifier.

Way forward

Speaking to the press at a conference held in Chennai, B Thiagarajan, Managing Director, Blue Star Limited adds, "With a comprehensive product portfolio across various price points and a vast distribution network including a strong online presence through the e-commerce platform, we have made good progress in this segment. The building blocks are already in place. Further, with intent to unlock synergies and upscale this business, we have integrated the sales and service functions of water purifiers with that of room air conditioners to leverage the wider distribution footprint and to enhance customer experience."

Shares of BLUE STAR LTD. was last trading in BSE at Rs.799.8 as compared to the previous close of Rs. 801.85. The total number of shares traded during the day was 3104 in over 530 trades.

The stock hit an intraday high of Rs. 809 and intraday low of 793.5. The net turnover during the day was Rs. 2492160.

Source: Equity Bulls

Click here to send ur comments or to

Other Headlines:

TCS Named 2018 Top Supplier of the year by QIAGEN

International Paper APPM Ltd announces annual outage from July 29, 2019 to Aug 28, 2019

Rajesh Exports bags new export order worth Rs. 942 crores from Germany, Europe

Indostar Capital Finance Limited and ICICI Bank Limited partner to finance Commercial Vehicles

BHEL successfully commissions Chhukha Unit-1 in Bhutan

Asian Oilfield Services receives orders of $37 mn

GAIL India Ltd fixes July 10, 2019 as record date for bonus issue

Blue Star Ltd receives single largest order from Mumbai Metro

Jubilant FoodWorks Ltd announces change in directorate

L&T Construction awarded contract for water supply and distribution in Sri Lanka

Polyplex Corporation Ltd's subsidiary to set up 60000 TPA BOPP film line project

JV Partners announce Final Investment Decision for initial two LNG train Project Development

Mahindra announces price increase for personal range of vehicles from July 1, 2019

Lawreshwar Polymers Ltd proposes name change

Thomas Cook India releases its Summer Report 2019

Asian Granito India Ltd inaugurates its largest - 25,000 sq feet tiles and Sanitaryware display showroom in Himmatnagar

ONGC Videsh Ltd, JV partners announce Final Investment Decision for initial two LNG train Project Development

Inspirisys Solutions Ltd to allot 56,25,000 shares to CAC Holdings Corporation at Rs. 54.30

HCL Technologies selected by Cricket Australia as Digital Technology Partner

Cognizant to acquire Zenith Technologies, a Leader in Life Sciences Manufacturing Technology Services

IndiGo awarded 'Best Low-Cost Airline in Central Asia/India' by Skytrax tenth year in a row

Chambal Fertilisers and Chemicals Limited updates on credit rating of Commercial Paper

NLC India Ltd commissions 100 MW solar PV power plant

RMG Alloy Steel Limited board approves issue of securities

Dabur India Ltd board to consider Q1 results on July 19, 2019

Sportking India Ltd updates on credit rating

Sundaram Multi Pap Ltd receives BB+ rating from Brickwork

Canara Bank to initiate process to sell stake in Can Fin Homes Ltd

Coromandel Engineering Company Limited to issue CNPRPS on private placement basis

Wintac Ltd board to re-initiate delisting process proposed by Veego Pharma LLC

Adlabs Entertainment Ltd announces resignation of Ms. Meghna Ghai Puri

TCS Named a Leader in Next-Gen Testing Services by NelsonHall

Trent Ltd to raise Rs. 950 crores from Tata Sons Pvt Ltd

Canara Bank to raise Rs. 6000 crores through equity issue

Infosys recognized as winner for 2019 Microsoft Global Alliance SI Partner of the Year

HCL Technologies celebrates 20 years of Innovation in Australia and New Zealand

WABAG secures One City One Operator contracts in Uttar Pradesh worth INR 1,477 Crore

Hexaware Ranks No. 1 Among the Top Service Providers in Overall Customer Satisfaction in Whitelane's IT Sourcing Study

KNR Srirangam Infra Pvt Ltd receives appointed date from NHAI

David Hennah quits Finastra to join Intellect Global Transaction Banking

V-Mart Retail Ltd opens two new stores in Bihar, Madhya Pradesh

Berger Paints India Ltd board to announce Q1 results on August 5, 2019

Saregama reinvents Carvaan with hundreds of Podcasts

KGI Bank Prepares for its Next Phase of Growth with TCS BaNCS

Capital Trust Ltd enters into business partnership agreement with IDFC Bank Ltd

CARE assigns rating to PNC Challakere Karnataka Highways Pvt Ltd

Omkar Speciality Chemicals Ltd reports Q4 FY19 results

Surya Roshni Ltd bags order for Rs. 151.88 crore

Hatsun Agro Product Ltd to commission cattle feed unit in Maharashtra

Lalit Polymers & Electronics Ltd board to consider issue of Redeemable Preference Shares

Website Created & Maintained by : Chennai Scripts
West Mambalam, Chennai - 600 033,
Tamil Nadu, India

disclaimer copyright © 2005 - 2019