Demand Estimation &

Segmentation – Color TV

Samir Daddikar
PGDM (09-11)
Roll No. 22
 Universal Demand
Annual Monthly
No. of
Household Household Color TV
Class Households % HHI
Income Income Penetration
(Mn)
(Rs.) (Rs.)

Deprived 45000 3750 134.4 71.7948717 0.05

Aspirers 145000 12083.3333 41.3 22.0619658 0.40

Middle
600000 50000 10.7 5.71581196 0.73
Class

Rich 1500000 125000 0.8 0.42735042 0.99

Source: NCAER
 Assumptions
• Consolidated Color Television industry is taken
into consideration
• Products are not classified on the basis of
features
• Products are classified only on the basis of
price
• Foreign and domestic brands are not
differentiated
 Penetration vs AHI
CTV Penetration
1.20

1.00
f(x) = 0.26 ln(x) − 2.76
R² = 1
0.80
CTV_Pen
0.60 Logarithmic (CTV_Pen)

0.40

0.20

0.00
 HH(Mn) vs AHI
HH(Mn)
160
f(x) = 441889760.59 x^-1.37
R² = 0.93
140

120

100
HHMn
80 Power (HHMn)

60

40

20

0
0 200000 400000 600000 800000 1000000 1200000 1400000 1600000
 Potential Demand
CTV Potential(Mn Min Price Max Price
AHI (Rs.) HH(Mn)
Per_HH ) Rs. Rs.

50000 - 100000 68.70 0.18 58.70 1,500 7,500

100000 -
200000 26.5 0.37 18.8 3,000 15,000

200000 -
400000 10.2 0.55 5.7 6,000 30,000

400000 -
800000 3.9 0.73 1.6 12,000 60,000

800000 -
1600000 1.5 0.91 0.4 24,000 1,20,000

1600000 -
2000000 0.3 1.03 0.1 36,000 1,80,000
 Price vs Demand
Potential Demand Potential Demand
70.00 Power (Potential Demand)
f(x) = 908416897.96 x^-1.94
R² = 0.99
60.00

50.00

40.00

30.00

20.00

10.00

0.00
Rs0 Rs20,000 Rs40,000 Rs60,000 Rs80,000 Rs100,000 Rs120,000
Price based Segmentation
Price Band (Rs.) Potential Demand(Mn)
4001-6000 62.73266843
6001-8000 31.36559181
8001-10000 18.94373802
10001-12000 12.72410118
12001-14000 9.154433817
14001-16000 6.911806649
16001-18000 5.408833721
18001-20000 4.35138535
20001-22000 3.409214612
22001-24000 2.996386755
24001-26000 2.546604582
Thank You