In Short:
Daewoo India aims to achieve ₹500 crore in revenue by FY27 by launching 2-3 new products each quarter. The company, which re-entered India in October 2023, targets ₹1000 crore by FY29 and is focusing on brand building. They have invested ₹300 crore and hired over 100 employees. Initially, there will be no manufacturing, but plans for online sales and exclusive outlets are underway.
DAEWOO India Sets Ambitious Revenue Goals
Daewoo India, the local arm of the renowned South Korean conglomerate, has set its sights on an impressive goal of achieving ₹500 crore in revenue by FY27. To pave the way towards this target, the company plans to launch two to three innovative products each quarter. This strategy comes on the heels of their recent re-entry into the Indian market in October 2023, with a strong focus on establishing a foothold in the dynamic consumer electronics sector.
A Golden Opportunity for Korean Brands
According to HS Bhatia, the Managing Director of DAEWOO India, there’s a unique opening for Korean brands in the flourishing Indian market. Bhatia shared, “As Chinese companies encounter hurdles with investment and expansion here, we see Korean brands capitalizing on the trust factor that consumers place in us.” The company sees this as a golden opportunity to leverage its reputation and grow its market share.
Future Aspirations: ₹1000 Crore by FY29
With big dreams in mind, DAEWOO has set a target of reaching a ₹1000 crore topline by FY29. Part of this ambitious plan includes a strong emphasis on brand building over the crucial first two years. So far, the company has invested a whopping ₹300 crore to establish a solid infrastructure and expand its workforce.
Growing Team and Workforce Development
Excitingly, DAEWOO India has already brought on board over 100 employees and is eager to expand its team even further. “We’re thriving with over 100 employees now, and as our company evolves, we anticipate significant growth in both sales and service personnel,” said Bhatia.
No Manufacturing, for Now
Interestingly, Bhatia mentioned that DAEWOO will not be prioritizing manufacturing in India during its initial phase. “For the first two years, there won’t be any manufacturing,” he clarified. “Our focus is on building our plants, developing infrastructure, and managing inventory. Manufacturing could come into play as we grow, but it would require separate investment and logistics for shipping.”
Embracing the Digital Space
In a nod to the future, DAEWOO also shared insights about its plans to strengthen its supply chain and tap into the online marketplace. “Currently, about 9-10% of appliance sales happen online. We are in discussions with two major e-commerce platforms to feature our products,” a company representative stated. The intention includes launching their own website and planning exclusive brand outlets (EBOs) down the line.
Diverse Product Offerings Across India
Today, DAEWOO boasts a diverse portfolio, ranging from power electronics to kitchen appliances and mid-sized home products. With a distribution network comprising over 2,000 distributors and dealers across 11 states, the company is well-positioned to make its mark in the Indian market.
