Chotukool Case Study Solutions

2853 Words Oct 1st, 2012 12 Pages
Marketing Case Study (2) Godrej ChotuKool: A Cooling Solution for Mass Markets

Q.1. Assess the business scenario for ChotuKool? What are the critical success factors for this product to succeed?

ChotuKool falls in to the business of refrigeration, to understand the business better let us understand the overall refrigeration business
But before that lets looks at the consumer durable market, the consumer durable market consists of products from watches to fans. With the help of the below mentioned data we can understand the penetration and reach of a consumer durable like refrigerator in comparison to a product like Television Set, car, bike or Grinder.
This will help us in having a deeper knowledge of the placement of a retrigger in the
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A study by Assocham in 2011 estimated the rural consumer durables market to grow at 40% in 2012 as a result of higher disposable income among rural consumers. The size of the home appliance market in India is pegged at `30,000 crore, with air-conditioners, refrigerators and washing machines as the largest categories, though household peneration levels are in low single-digits.

Current Scenario in India, * Refrigerators have the 2nd highest aspirational value of all consumer durables * High growth rate of the refrigerator market. * Refrigerators are manufactured in two basic designs which are referred to as Direct Cool (DC) and Frost Free (FF) refrigerator.
Godrej’s share in the refrigeration market as shown below is 18 %

Critical success factors for chotuKool:
Let us study the critical success factors on the basis of the 4p’s of marketing

Product:
Designed specifically for rural consumer
Cooling Chip
Runs on low power and invertors
Runs on battery when there’s load shedding
Colour chosen on the basis of consumer interest
Use of unconventional cooling technology
Compared to the 200 components of a refrigerator, it has only 20 components
Power consumption is comparatively less (15 to 65 W against 90 – 100W)
It has no moving components, is almost service free
ChotuKool weights only 9kg and is therefore easy to move around and transport
The operational cost is low
The average electricity bill for running the ChotuKool is only Rs 60 to Rs 70 per month

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