In 2024, the air conditioning market witnessed industry-wide growth exceeding 60% as per reports. Against this backdrop, Appliance Business of Godrej Enterprises Group has been among the brands that have been consistently working on innovating its product portfolio, blending aesthetics and technology.
Last year, the company launched the Anti-Leak AC, which received an overwhelmingly positive response from consumers. Additionally, the introduction of the wooden-finish series, also known as Eon Vogue series, appealed to aesthetically conscious buyers.
The success of these products has now led the brand to introduce Smart ACs for this summer. To promote their features, it has launched a large-scale TV campaign in collaboration with the creative agency Lowe Lintas and the media agency Madison, highlighting the benefits of the Smart ACs.
Link to the ad campaigns:
Swati Rathi, Head of Marketing, Appliances Business of Godrej Enterprises Group, shared that people carefully select every element of their home décor, so appliances should be no exception. “In our new smart AC range, we maintain a strong focus on design, décor, and finishes. Consumers today want smart solutions that not only perform well but also look great. That’s precisely what our new range aims to offer,” she said
As per the brand, in addition to the standard features like voice control via Alexa and Google Assistant and remote connectivity, the new range of Smart ACs include:
- Energy Monitoring
- Remote Diagnostics
- Remote Service Support
- Temperature Control
Rathi also mentioned that for the campaign, the brand will focus on television advertising, covering both linear and connected TV, digital promotions, radio advertising, and engage consumers through offline initiatives to market its Smart ACs. Overall, the brand has increased its marketing budget by approximately 25% compared to 2024.
With the Indian Premier League (IPL) being one of the biggest media properties during the summer, Appliances Business of Godrej Enterprises Group will also be advertising during the tournament. However, the brand’s strategy is not limited to cricket alone. Rathi added, “We are also focussing on general entertainment channels (GECs), news, and other regular programming. Future campaigns for other product categories will be rolled out in due course.”
With the launch of its new range of Smart ACs, the brand has observed a shift in consumer preferences. The company has seen a surge in demand for Wi-Fi-enabled air conditioners, a feature that was not widely sought after in the past. Rathi also confirmed a noticeable shift in buying behaviour.
“There has been a rise in inquiries for Wi-Fi-enabled air conditioners, which was not a common request before. Once we introduced the feature, it gained strong consumer acceptance, with many requesting it across a wider range of AC models,” she said.
Breaking down the adoption trend, Rathi highlighted how different age groups are responding to smart AC technology:
- The 25-35 age group is the most enthusiastic about smart ACs.
- The 35-45 age group is also embracing smart features, though they are more accustomed to traditional air conditioning.
- With the influence of younger consumers, we expect adoption to grow among older demographics as well.
Appliances Business of Godrej Enterprises Group is aiming for a market share of 13 to 14% in the Indian air conditioner market for 2026. For 2025, the company expects to close at over 10% market share.
Looking beyond India, the brand has already made inroads into the Middle Eastern market and plans to expand exports next year. The company is also exploring opportunities in Europe, where a different air conditioning technology is gaining traction.
With so much in the pipeline, the brand announced that it is eyeing a 50% market share in the AC segment. Rathi stated that to achieve this, the team is focussing on building a robust portfolio to offer innovative and differentiated products, maintaining strong trade channel presence, investing heavily in marketing, and differentiating appliances rather than generic commodities.
“Our anti-leak ACs, Eon Vogue series, and new smart ACs are all part of this strategy, and we are confident in meeting our goals,” she conveyed.
