3. INDUSTRY DYANAMICS
The India consumer electronics market size was valued at USD 71.2 billion in 2021 and is
expected to expand at a compound annual growth rate (CAGR) of 6.5% from 2022 to 2030 "
Future consumer electronics growth will be mostly driven by a few factors, such as increasing
demand for smartphones, speech recognition technology, artificial intelligence, and shorter
replacement cycles for numerous electronics products. While the electronics industry is made
up of three main segments—consumer electronics, electric utilities, and general electronics—
consumer electronics is the segment that is growing the fastest. Consumer electronics have
changed as a result of the development of new technologies and now interact with many
different sectors and industries, such as software, app development, robotics, artificial
intelligence, and personalised health care.
4. D-MART
Dmart is an Indian retail company that aims to serve as a one-stop store chain that offers a
variety of goods including basic household goods, personal care items, and more. The DMart
chain follows a B2C (Business to Consumer) business model, whereby the company sells its
products from the home of the maker to that of the end-user. As a result, they eliminate the
likelihood of variations brought on by strong demand and assist in giving the brand the
consistency that many others desire.
Introducing Digital Retail Stores by Dmart
D-DIGITAL
India offers a global opportunity for consumer electronics spending growth in the short to
medium term. In comparison to other emerging markets, low penetration rates indicate a better
opportunity to sell to first-time buyers as well as replacement devices to the middle class.
Looking at the current market growth of consumer electronics, ASL (D-digital) plans to venture
into consumer electronics offering world class products at great value to its consumers by
leveraging already existing retail stores and by setting up the new stores. Growth in the Indian
market for consumer electronics can be attributed to an increase in demand from households,
changing lifestyles of individuals, easier access to credit, and rising disposable incomes
TAGLINE :
D-mart would like to diversify its product portfolio and
would venture into Consumer Electronics segment
considering the growth potential for retail organized
sector and how it can leverage its strong retail chain
presence
5. BUSINESS SEGMENT
Food Category Non -Food Category
General Merchandize
and Apparel Category
Consumer
Electronics
Grociers & Staples Home care products Bed & bath T.V
Processed Food Personal care products Toys & games Laptops
Dairy Products Toiletries Crockery Smartphones
Beverages Plastic goods
Washing
Machine
Fruits & vegetables Garments Air Conditioner
Staples Footwear Refrigerator
Frozen food Utensils Headphones
Home appliances
COMPETETION
Major Competitors in retail store chain are :
Croma
Reliance digital
Vijay Sales
Major Competitors in e-commerce platforms are:
Flipkart
Amazon
Snapdeal
India's unorganised retail that stands at 90 percent, is the key towards digitising and providing
an access to new products and shopping experiences ,With terms like omnichannel, digital first,
and O2O being thrown around, Indian consumers are already ahead of the curve. They are price
and value conscious, but aspirational. While 65 percent of discovery occurs online, 97 percent
of shopping occurs offline. The winner will be the company that can provide a billion people
with an affordable, high-quality experience both online and offline. D digital would face stiff
competition in the organized sector from well-established strong retailers such as Croma,
Reliance Digital, Vijay Sales, E-retail Zone, as well as online e-commerce sites such as
Flipkart, Amazon, Tata CliQ, and Snapdeal
6. ANSOFF MATRIX
According to the Ansoff matrix, D-mart would implement the Diversification strategy. D-mart,
which has a strong presence in the organised retail industry for home care, grocery, food, and
beauty products, is looking to diversify its product portfolio to include consumer electronics in
order to capitalise on its strong hold over its retail stores.
D-digital would be capable of meeting the needs of customers through both offline stores and
online websites and applications.
SWOT ANALYSIS
Strength
Broad range of products: The D-Digital Group, which is part of ASL (Dmart) , is
present in the majority of consumer durable markets, including consumer electronics,
communication, entertainment, hygiene, home appliances, and digital devices.
D-Digital is a wholly owned subsidiary of ASL Venture. The Dmart has a long history
of successful commercial strategy, which has assisted them in creating their own vast
empire.
Private Label Brands: People prefer to invest in the private label that guarantees quality
comparable to that of brands since, when compared to other private labels, D-Digital is
perceived as being more trustworthy. One of D-Digitals' assets is its strong private label
brands, which are present in the majority of their product categories.
D-DIGITAL
7. Weakness
Ecommerce platforms : Online retailers like Amazon, who also invest much in
advertising, have received strong backing from the mainstream media. Online start-ups
of all sizes lavish a lot of money on advertising and endorsements. In contrast to this,
D -digital appears unassuming.
Relying on brands too much DMart: For its business, D-Digitalis overly reliant on the
reputation ASL has established for itself in the majority of markets. This may not
always be the best course of action.
Opportunities
Rapid Economic Growth D- Digital will have a chance to enter market because the
economy is growing more quickly than any other industrialised economy. D-Digital
already has the skills necessary to compete in the market.
Rapid technological innovation and development is raising industrial productivity and
enabling suppliers to provide a wide range of goods and services. This may enable D-
Digital to make major inroads into related products.
Consumer preferences are evolving quickly Customers today are increasingly eager to
experiment with and test new products on the market thanks to rising disposable
incomes, easy access to information, and rapid acceptance of technical products. D-
Digital must pay close attention to both broader industry trends in the Security Systems
& Services sector and in the broader Services sector.
Local Collaboration - Cooperation with regional players can open doors for the D-
Digital's expansion into foreign markets. While D-Digital can bring global procedures
and execution knowledge to the table, the local participants only have local
competence.
Growing customer base in lower price brackets as clients move from unorganised
operators to licenced businesses in the services sector. It will provide D-Digital the
chance to enter the entry level market with an uncomplicated solution.
Opportunities in the internet world - D-Digital will be able to provide new products and
services to customers in the Security Systems & Services sector as online services are
increasingly used by consumers.
Threats
Strong hold of Reliance Digital , Croma , Vijay Sales and Ezone would be new threat
to D-digital as they are new entrance in market
Ecommerce giants like amazon , flipkart , snapdeal has strong loyal customer base and
great market share in consumer electronics
8. MARKETING MIX
4P’S
Product
D-digital’s product line can be diverse, with over 6,000 items divided into nearly eight
divisions. Retail outlets can have a world-class atmosphere, and their product offerings are
expanding on a daily basis, including
Computing
Smartphone, TVs
Home Appliance
Entertainment
Kitchen Appliance
Gaming
Photography
Accessories
Some of the best brands in the industry can associate with D-digital stores and can provide an
exciting experience for shopping for what one truly desire. Samsung, HP, HTC, Microsoft,
Logitech, Cannon, Casio, Sony, Godrej, Hitachi, Dios, and L.G. are among them. D-digital
outlet must provide a diverse merchandise selection to its customers.
Place
D-mart has become a household name, and the company has successfully expanded its retail
network. D-mart stores are efficiently managed by its owner company, Avenue Supermarket
Limited, which has its headquarters in Mumbai, India. Through its network of more than 290+
stores the brand has entered the consumer market. D-digital can leverage the strong presence
of D-mart.
D-digital distribution channel includes direct selling, and it has a well-trained and
knowledgeable staff to provide individualised and sound advice to all of its customers. Stores
can be mostly located in dense areas and majorly in malls in order to attract wide customers.
Customers can benefit from D-digital stores' online outlets because they can browse every
desired item and make a decision without having to travel to a store.
9. Price
D-digital outlets must have endeared to provide a wide merchandise range that will be able to
meet each individual's personal requirements and budget. The company must keep its pricing
policy reasonable in order to penetrate consumer markets and build its own loyal customer
base. It must offer discounts and incentives on a regular basis, as well as several attractive
offers on bulk purchases, in order to increase sales. D-digital has prioritised increased sales
volume because it believes it will generate more revenue. The brand's discount pricing policy,
combined with its penetration pricing policy, can help it become one of the most sought-after
retail stores in India.
Promotion
The company is determined to make D-digital a brand name synonymous with trust and
dependability. To that end, it must implement a number of schemes that will benefit its
customers. It must establish a call centre that provides information and assistance to customers
24 hours a day, seven days a week. D-digital must make a concerted effort to provide a hassle-
free and easy shopping experience, and to that end, they must appoint trained employees who
can assist with anything.
To raise brand awareness, its website must provide customers with discounts and incentives.
D-digital can be a one-stop shop that sells a wide range of products, and its commercials and
advertisements provide free exposure to all of its brands. D-digital and other brands benefit
from this situation.
3Cs Analysis: Category, Competitor, Customer Category
Consumer Electronics Market
Category :
D-mart is venturing into new category in order to cater the customers that is consumer
electronics market. D-digital would be competent enough to cater the needs of consumers
through omnipresence. D-digital can open retail stores and can also cater to customers via
website and application.
Increased disposable income, the development of telecom infrastructure, the
appearance of low-cost smartphones, and an increase in the number of product launches
are all contributing to the growth of the smartphone market in India.
Refrigerators are expected to grow from 2022 to 2030. Rapid urbanisation, combined
with rising disposable income, has contributed to an increase in demand for
refrigerators.
Artificial intelligence (AI) is set to usher in a bright future for consumers and industrial
electronics in India.
If the government shows adequate support and focus on this sector, India is most likely
to emerge as a possible future manufacturing hub for the region.
10. Competitor:
As majority of the Indian retail industry is unorganized and to be more specific, 90% of the
Indian retail industry is unorganized. D-Digital would face competition from strong organized
retail players like Reliance Digital, Vijay Sales, Croma, E-zone and even e-commerce sites as
well.
Consumer:
1. Rising disposable income, rapid urbanisation, and the beginning of novel products into
the market are all expected to contribute to market growth in the coming years.
2. The increased purchasing power of the average Indian consumer, along with the
strengthening of the Indian residential sector, will contribute to an increase in demand
for air conditioners in the country.
3. The rising popularity of digital cameras among consumers due to their ability to
produce high-quality images has boosted demand in India.
4. The country's rising per capita income, burgeoning middle class, and rising standard of
living are driving up demand for television sets.
11. MARKET POTENTIAL
India's electronics consumer market can be divided into three product categories based on type:
digital photo equipment, home appliances, and audio & video equipment. Over the anticipated
term, the audio and video equipment industry is expected to have significant expansion. The
increase in smart technology integration into common audio and visual electrical devices, such
TVs and speakers, can be credited with this. These can be integrated with artificial intelligence
to improve user comfort and have remote monitoring and sensing capabilities. The
development of new technologies like 4K, 8K, and higher resolution systems is also a
contributing factor to the expansion of the consumer electronics sector. The major home
appliance section of the consumer electronics market is expanding as a result of the nation's
citizens' increasing disposable income. The expansion of large household appliances is being
fuelled by increased demand for the replacement of obsolete electric home appliances, rising
living standards, and an increase in the number of households. The rise of modern refrigerators
is influenced by the rising demand for energy efficiency
INDIAN CONSUMER ELECTRONICS MARKET
Forecast Period: 2022-2030
Market Size in 2021: US $ 71.2 Billion
Market Size in 2030: US $ 124.94 Billion
12. STP-Segmentation, Targeting, Positioning
Types of Segmentation:
Types Of
Segmentation
Criteria D-Digital
Geographic
Region PAN-India
City Tier 1, 2
Population Density More than 1 crore
Demographic
Age 15 - 50
Income upper and lower middle class
Occupation university students, working professionals
Psychographic
Personality
Youth
Lifestyle
Behavioural
Loyalty Oriented Loyal Customer base
User status usage of electronic item in daily life
Segmentation
In terms of geographic D-mart has presence in mostly metro and Tier 1-2 cities. Hence,
Segmenting in the same theory for D-digital would work. Segmenting in the metros and
Tier 1 & 2 cities across PAN India.
In terms of demographics, D-digital is segmented at adults between the ages of 15 and
50, primarily students, university students, upper and lower middle class, and working
professionals who seeks value for money and high-quality products.
Youths who now focuses more on maintaining typically lifestyle can be taken note of
for segmenting.
Targeting
D-digital’s targeting strategy must focus on Youths, Working Professional, Upper
Middle Class, Lifestyle freak, etc. Rising disposable income, inclination towards
adopting latest technological advancements are some of the major parameters to target.
Lower middle class seeking high quality products at affordable rate are the key target
customers.
Positioning
D-digital can position itself as a retail chain providing customers the well-known
branded electronics products of high quality and lifestyle attributed products at
affordable rates with great consumer experience and also providing amazing after sales
services too. With wide display of varieties of brands and different product categories,
D-digital can cater large section of the society
