Small players have captured a major market share by selling directly through e-commerce sites. Easy availability of China made purifier components have been leveraged to make and sell purifiers on low margins.
Most of the consumers are either not aware or do not opt for AMC. Thus they are a very limited source of income. Manufacturers do not know their customers directly and hence it's difficult to upsell their AMCs.
There is no direct connect between the manufacturer and the user. Though multiple efforts are put in but the manufacturer still does not have a sure shot way to acquire complete customer information.
During servicing trips, the service technician sent by the manufacturer often engages in black marketing of spare parts directly to the consumer. This lowers the service revenues.
Most manufacturers don’t have visibility in their supply chain post the distributor level and have no actual knowledge of when a purifier has been sold. This is exploited by retailers by forging bills.
During service delivery, the problem diagnosis and resolution takes multiple visits of technician at customer site making service delivery a Cost Center rather than a Profit Center.
Mr. Ved Prakash, Delhi
Since we have started using Smart RO kit on the ROs we manufacture, our customers are overwhelmed. They are really happy with regular monitoring available on their phones. When customers are happy we are happy.
Mr. Sukhwinder Singh, Patiala
With Smart RO kit installed in our ROs we have track of customer data base. Last month we were able to grab 14 extra AMCs in Patiala itself. Hope to grow our business with IoT kits.
Mr. Paresh Desai, Gujarat
Our margins have doubled with Smart RO kit installed. Customers are happy paying extra for Smart RO. We hope we will get good ROI with these kits.