BSH Home Appliances India, the Indian subsidiary of the renowned German manufacturer, is set to elevate its localization efforts, aiming to achieve a 75% local sourcing rate by the end of this year, up from 60%. This ambitious move is part of the company’s broader strategy to double its revenue by 2026. With a commitment to the Make in India initiative, BSH is making significant investments to enhance local production capabilities at its Chennai facility, established in 2018.

Commitment to Local Manufacturing

BSH Home Appliances India is dedicated to expanding its manufacturing footprint, producing a diverse array of products, including dishwashers, refrigerators, and washing machines. Saif Khan, the Managing Director and CEO, emphasized the importance of local sourcing in effectively managing costs and improving speed-to-market. The company’s growth strategy also includes plans for full market penetration across India by 2030, with an enhanced presence in emerging cities and a robust online expansion.

• Key Products: Dishwashers, refrigerators, washing machines, dryers, ovens, cooktops, and small appliances.
• Brands: Bosch (mass-premium), Siemens (premium), and Gaggenau (luxury).

Expanding Brand Presence

Currently, BSH operates 103 branded outlets in India, with 83 under the Bosch name and 20 for Siemens. Additionally, there are nearly 25 partnerships with retailers and dealers for the luxury Gaggenau brand. The company’s strategy is not just about expanding physical locations but also enhancing its digital footprint to reach more consumers.

Focus on Small Domestic Appliances

The small appliances sector is a major focus for BSH, aligning with the growing trend of Indian consumers seeking to elevate their home experiences. The small domestic appliances market in India is valued at approximately ₹25,000 crore ($3 billion), growing at an annual rate of 5%, with the premium segment experiencing even faster growth of 25-30%.

• Current Offerings: Mixers, juicers, coffee machines, vacuum cleaners.
• Future Additions: Air fryers are expected to launch later this year.

Khan highlighted the company’s strategy of balancing between the price-sensitive mass market and the rapidly expanding premium segment through a well-structured multi-brand portfolio. “Each brand serves unique consumer aspirations,” he mentioned, allowing BSH to address the diverse needs of customers across varying price points.

BSH Home Appliances India is not just committed to growth; it’s also focused on innovation and design, ensuring that it remains a key player in the competitive landscape of home appliances. This strategic approach will enable the company to meet the evolving demands of Indian consumers while contributing to the country’s manufacturing landscape.