LG is looking to start manufacturing of smartphones in India once it gets to a 10% market share, which it estimates could be achieved by December 2015 on the back of the just-launched G4 model. it is also planning to invest Rs 1,000 crore in 2015 on research and development (R&D) and marketing.
- The aim is to double the market share of LG and increase the contribution of the mobile business to 15% towards our overall revenue.
- LG currently has a market share of just under 5%, as per market research firm GfK. Its mobile business contributes around 10% toward overall India revenue.
- The company joins a host of overseas handset makers including Xiaomi, Motorola and Asus, apart from homebred ones such as Micromax, Lava, Intex and Karbonn, that are examining local manufacturing plans. LG will aggressively expand its smartphone range with 20 new devices across various price segments by the end of December 2015.
- LG has launched its dual-SIM flagship 4G LTE smartphone, the G4, at Rs 51,000 and aims to sell 1 lakh G4s in the next three months.
- The company will also invest an additional Rs 500 crore in marketing and promotion. A significant portion of this budget will be allocated to smartphones this year.