In the recent season of Diwali sales in October, TCL achieved 250% sales growth, mainly due to the rapid growth of mid- to high-end smart products and large-board products. However, the question arises, how TCL India performed to once again become the industry’s growth champion? It will make more sense to have an insider view on the Indian macroeconomy.
Like China’s double eleven, Indian consumers like to concentrate on shopping, and the cheapest price is on Diwali.
Known as the “Indian Discount Festival”, Diwali is the most valued festival for Indians. During the Diwali all over India are a holiday, singing and dancing. Importantly, Diwali becomes a shopping spree season for Indian consumers.
“Diwali’s sales volume has risen steadily over the years. As the Indian economy improves and consumer income increases, the Indian consumer electronics market is increasingly active. In addition to the home appliances, the sales of household appliances, kitchen appliances, and smart hardware are very good. Electronic products that are cost-effective, intelligent, and beautifully designed are more popular,” said an Indian home appliance channel that declined to be named.
Even though TCL had to struggle through the early stages in India, it is currently in a high-speed upswing. From 2017 to the first half of 2019, TCL’s average growth rate in the Indian market is much higher than that of the competitors, which is a crucial aspect for their consistently good results.
Blue Technology believes that TCL will continue to grow in India, and the growth rate during Diwali outperforms the industry for three main reasons:
First, the sports marketing effect is significant, and the user conversion rate is high. Since TCL sponsored Indian cricket, it has achieved good results. About 800 million people in India are cricket enthusiasts, so many people who are cricket lovers were impressed.
In 2019, TCL sponsored cricket activities that attracted high attention from consumers. Especially during the cricket match, offline store inquiries and purchases of TCL colour TVs increased by more than 25%, mainly due to cricket sponsorship.
Chen Shikai, general manager of India’s TCL branch, said in an interview with Blue Technology that TCL’s benefit in sponsoring cricket matches in India is to close the distance with consumers. Sports is the best bond. In 2019, India’s new consumer perception of TCL is due to TCL’s sponsorship of cricket.
Second, brand awareness is high and market demand is increasing. In the Indian market, TCL is the most well-known among Chinese colour TV brands. The sales volume in recent years has increased exponentially every year. One of the main reasons is that brand exposure has increased, and the reason for this upswing is the increase in awareness and purchase desire.
Dong Wenjun, marketing manager of TCL India, said that users who purchased TCL colour TV during Diwali this year have several obvious characteristics: First, they know TCL based on sponsorship cricket and have a desire to buy; Second, creative media communication and branding. Activities, such as the “flash” event organized in the first half of this year, attracted the attention of many young users. These groups also turned into real users of TCL. Third, word-of-mouth communication is triggering a chain reaction. Anyone who has purchased TCL products is willing to share with others.
Third, the product layout is very good and has quickly seized the high-end market. During this year’s Diwali, TCL’s sales of smart products accounted for 80%, 65% for Android smart TVs, 40% for 4k TVs, and 30% for large-size products with 55-inch or more. Also, the 4K AI TV P8 series of TCL “The next generation smart” has been favoured by consumers. With the leading intelligent technology experience and excellent product quality, it has become the main sales series of TCL.