Elica PB Whirlpool Kitchen Appliances Pvt Ltd, a well-known name in kitchen hoods and chimneys across the globe, has opened its first showroom in Nepal. Offering an extensive range of kitchen appliances, Elica extends novel designs that are uber-stylish and highly aesthetic and has been catering to Nepali consumers for over six years. Sangay Sherpa from The Himalayan Times caught up with Pralhad Bhutada, CEO and managing director for Elica PB, during his visit to the country, to gain insights into the company's plans for the country. Excerpts:
Are you satisfied with the market response to the Elica brand in Nepal? What are the challenges and opportunities you see here?
Elica entered Nepal around 2016-17. Nepal is an evolving market. It was something like when I first started kitchen hoods in India around 1996- 97and there were very few to none available in the market. When I first came to Nepal, I felt it similar to the situation in India in the beginning phases when people were gradually getting more aware of different kitchen products such as chimneys and hoods, etcetera. But when I arrived in Kathmandu this time, things looked very different and better in terms of growing infrastructure alongside the opening of various outlets which indicates that things are changing in Nepal as well. And, I am sure this is only the beginning for our products. I expect the region to be a very potential market for our types of products over the next decade.
The challenge we faced was the slow uptake of our products in the beginning. But we were habituated to such challenges as we had done this in India from inception and knew what was needed and where to look for it. Having experience, we understand how the market evolves. Patience has definitely been a challenge. It is a matter of time before the market moves in the right direction. We see many opportunities here as well. Having been associated with the biggest business house - CG Group of Nepal - will definitely make things much easier. The company has a wide reach over the Nepali market and we are confident that this journey will be a very successful and long-lasting relationship.
What are the similarities and differences in the market scenario of Nepal compared to India?
The similarities and difference is that this market has a lot of influence on products coming from China. So the market is getting more evolved towards Chinese-based products and not European products. With cheaper imports and affordable products in the market, it becomes a challenge for a good brand to offer high-quality products, and technology, and command the price in the market. Such a challenge will continue to exist for any brand and we are ready for that as well. We do not want to get into the absolute mass and want to be very selective about the type of clients who buy our products. I'm not suggesting that we are looking at a niche market but we are definitely looking at the upper middle class and top class of Nepal to choose our products. We have seen a similar challenge in India and we are confident that we can tackle them in Nepal as well.
Have you witnessed any changes in consumer behaviour post-pandemic? If so, how has Elica adapted to such changes?
We have been expanding our company in the last so many years and today Elica is one of the leading brands in India. Not just the leading brand, we are the best brand in the premium category. Customers also prefer Elica as we have a lot of technology-driven products. We are not a company that is focused on just selling our products, but are also trying to make our customers' lives better every day.
Initially, there was a slight impact following the spread of COVID-19 but things have settled back to how they were. Over the next few months, everything faded and now it is back to normal. I think the issues were faced globally and not just in India. People have moved on and things have normalised for businesses alongside demand.
Do you have any observations to share regarding the country?
Every time I come here, I feel that this town is developing at a much faster pace than one could imagine with the types of infrastructure and businesses that are opening here. It shocked me because I saw a similar change in China when I used to travel there in the early 2000s. Some places that were not so developed during my initial visit had changed drastically over the next five years. Many places had transformed into huge cities with good infrastructure. The evolution was so rapid that China has become completely different over the past decade. I see similar growth in Kathmandu. When I first came here, I was struggling to find a good five-star hotel. But now things have developed rapidly in terms of infrastructure, brands, and the outlook of people as well. This place is definitely moving at a faster rate and it would not be shocking if Kathmandu becomes a very ultra-modern city 10 years down the line. This is going to be a very important market for the world over the next decade.
The country is also heading towards good growth and I think there is a good future here not just for our category but for the hotel industry, appliances, and other goods.
