Reliance Industries planning to jump into consumer durables market
Reliance Industries Limited (RIL) is preparing to venture into the consumer durables sector. Under the control of Mukesh Ambani, the company's plans include launching a wide array of small appliances and white goods, such as irons, fans, refrigerators, and televisions over the next several months. Initially, these products will be contract-manufactured until RIL achieves sufficient volumes for independent production.
Partnering with industry players
RIL has reportedly collaborated with several industry players who are manufacturing products for other firms as well. The company has soft-launched a range of coolers under the new brand name, Wyzr, which are currently available on Flipkart. In the near future, more product categories like food processors and electric kettles will be launched under this brand.
Expansion strategy includes acquisitions
RIL is considering acquisitions to scale up its operations in the consumer durables market. The company is reportedly seeking regional players with products that have a strong brand recall. RIL's goods will be sold across all channels, including its own platforms like Reliance Digital and other formats. This move comes as part of the company's broader strategy to expand into new markets.
Competition in consumer durables market
In the consumer durables market, RIL will be up against established industry players both domestically and globally. Market analysts have noted that displacing these brands won't be easy due to their strong brand loyalty and performance guarantees. They suggest that launching its own brands may not significantly impact the market unless RIL acquires a big player, similar to its strategy in the pharmacy, apparel, and furniture segments. At the outset, the company can still vie with more affordable Chinese brands.
