V-Guard Industries Ltd., India’s leading consumer durable company has found it’s next big growth plan by implementing the technology of Internet of Things. IoT refers to the rapidly growing network of connected objects that are able to collect and exchange data using embedded sensors.
The company started 40 years ago with just 1,00,000 Rupees investment. Now the company has rallied up to 3,985 percent since it’s 2008 listing. V-Guard has it’s head office in Kochi and is a well managed company with strong brand value.
The company has products ranging from food mixers to fans, is betting that making a billion more connections will boost the sales further. The company now plans to integrate IoT with their products to make them ‘Smart’. “IOT is the next big step for our company as smart-phone users are expected to rise every passing day and more people are becoming tech savvy,” Managing Director Mithun Chittilappilly said. The company plans to sell ‘smart’ fans after selling water heaters and power back systems using the same technology.
The company plans to rise their sales to 12 percent in the fiscal year through March 31. The company is missing its target of 15 percent annual growth though the end of March 2022, after it passed on a higher tax rate to its customers due to the new introduction of GST.
V-Guard belives that the revenue will get a further boost as the “price premium of IOT products over normal appliances starts coming down,” Chittilappilly said.
“IOT is the future for sure and V-Guard has a kind of first-mover advantage as it’s among the top three Indian companies for products that can be upgraded with IOT services,” Aditya Bhartia, an analyst at Investec Capital Services India Pvt., said.