SBM-Onida

Secondary research: Situation analysis

About
Onida is the multinational home appliances manufacturing company which makes wide
range of products such as Television, AC, Washing machine etc. It has 33 branch offices and
export to various gulf and other countries. It was started in 1981, since then it has been
roller coaster ride. During start of journey, Onida was a household name known for its
cutting edge technology, unique design and Value based marketing. “Onida devil” and
“Neighbor Envy Owner Pride”-tagline are still famous. That time owing a TV was considered
to be a luxury. But since 1988, it is struggling to keep up with increasing international
competition and changing technology. Market share dropped to 8% from 20%. It tried
various repositioning and communication strategy but couldn’t keep up with growth. It also
tries to bring back the devil and saw 54% increase in sales QOQ but couldn’t hold onto it.

Problem
1. Perceived as old people brand
2. Frequent change in advertising, communication message and positioning.
3. Family feud
4. Rising foreign brands

Growth pattern (In crs)

In last few years, Onida has seen a single digit growth of about 8% YOY after a long period of
downfall or muted growth. As of 2019 start, Onida has market share of 5%,3% and 2% in TV,
washing machine and AC respectively.
 Washing Machine Share

Samsung
29% LG
43% Godrej
others

18%
10%

Growth in category/industry
As per IBEF report “In FY20, The DTH industry is expected to witness a growth of up to 6% to
US$ 2.9 billion. As of FY20, electronics, domestic appliances and air conditioner market were
estimated at US$ 0.86, US$ 1.80 and US$ 2.56 billion, respectively.” Currently 45+
companies are active in these categories and Onida has a very small market share of it.
Home appliance and electronics industry is expected to have a growth of almost 12% CAGR.

Competition analysis

Detailed consumer study

Primary research: Questionnaire 25-30

TV, AC and washing machine

1. What comes to your mind when you look at below logo? (Share any 2 words)
2. What comes to your mind when you look at the below image? (Share any 2 words)
devil
 3. What comes to your mind when you think of brand Onida? (Share any 2 words)
4. What is your opinion about following brands? (Rate on scale of 1to 7, 1 being lowest
and 7 highest)
Attributes Samsung LG Sony Onida Xiomi Panasonic Sansui Voltas Godrej
Technolog
ically
advance
Quality
Design
Price

5. Rate the below companies from 1 to 9 (Rate on scale of 1to 9, 1 being lowest and 9
highest)
Samsun LG Sony Onida Xiomi Panasonic Sansui Voltas Godrej
g

6. What is your last memory of brand Onida? (Describe in 2 words)

7. When did you last see any type of ad or information related to Onida?
a. Less than 6 months
b. 6 months to 1year
c. 1 year to 2 year
d. More than 2 year

8. What is your current or last yearly income?

a. Below 5L
b. 5 to 10L
c. 10 to 15L
d. 15 to 20L
e. 20L plus

9. Are you aware that Onida has launched new range LCD, LED and smart TVs?
a. Yes
b. No

10. While making the purchase decision what factors influence your decision?
a. (check box) Price
b. Design (overall look)
c. Quality (specifications)
d. Peer buying

11. Do you resonate Onida with any of the following? (check box)
a. Modern
b. Creative
c. Innovative
d. Value for money
e. Old fashioned
 12. Do you recognize Onida tagline “Owner’s Pride”?
a. Yes
b. No

13. What is your gender?

a. Male
b. Female
c. Others

14. What is your age?

a. Less than 20
b. 20-35
c. 36-45
d. 46 and above

15. Location?
a. Tier 1
b. Tier 2
c. Tier 3
d. Tier 4

Interview 5 consumer insight

Journey Map
Perception map
Brand audit
4Cs

Growth and revival strategy

References:
https://en.wikipedia.org/wiki/Onida_Electronics
https://www.screener.in/company/MIRCELECTR/
https://economictimes.indiatimes.com/mirc-electronics-ltd/stocks/companyid-11124.cms
https://www.mbaknol.com/management-case-studies/case-study-of-onida-brand-analysis-
and-revival-strategies/
https://casereads.com/case-study-of-onida-india-how-the-devil-made-his-return/
https://www.youtube.com/watch?v=4iSC-XAfz0M&ab_channel=theonidadevil
https://www.youtube.com/watch?v=vUT44N_h408&ab_channel=YOYOTVMalayalam
https://www.linkedin.com/pulse/onida-fallen-star-gain-its-spark-back-shruthi-vellore/
https://www.slideshare.net/DishaBedi1/onida-brand-analysis-and-revival-strategies
https://www.ibef.org/industry/consumer-durables-presentation
https://www.moneycontrol.com/news/business/companies/onida-sees-tepid-close-to-year-
with-just-8-revenue-growth-3441271.html
https://www.statista.com/statistics/1092228/india-smart-tv-market-share-by-vendor/
https://homeparticle.com/ac-brands-in-india/
https://www.statista.com/statistics/1018500/india-leading-ac-providers-market-share/
https://www.statista.com/statistics/1229887/india-market-share-of-washing-machine-by-
vendor/#:~:text=In%20financial%20year%202020%2C%20the,of%20more%20than%20ten
%20percent.