Mr. Mathew Job, MD, Grohe India, is one of the key decision makers who is involved in all strategies right from revenue generation to brand building. Mathew Job is an industry veteran with 15 years of experience in Marketing. Prior to joining Grohe he was associated with Philips Lighting as Senior Marketing Director. He has worked with Philips in India as well as abroad at different positions. Mathew Job was born in Kerala. He is an Electrical and Electronics Engineer and completed his Management Studies from the Indian Institute of Management, Kolkata.
Grohe India Pvt. Ltd. (GIPL) is a wholly owned subsidiary of Grohe, Germany and has completed three years of direct operations in India and in this time has acquired a significant position in the Indian market as one of the largest selling foreign brands. Grohe recently launched its first Indian ‘Grohe Technology Centre’ in Bangalore in November 2009. This centre is a great opportunity for people to come and experience the world of Grohe. Besides featuring the entire range of Grohe products, the Technology Centre also showcases the elements of Quality, Technology and Design. Grohe AG is headquartered in Düsseldorf, Germany and is world's largest manufacturer of single brand sanitary fittings. It employs close to 5100 employees worldwide, out of which 2600 are based in Germany. Grohe has six production plants of which three are located outside Germany, namely in Portugal, Thailand and Canada.
Replying to Anil Mascarenhas of IIFL, Mathew Job says "Our global vision is to be the market leader in every country we are present in by the year 2015."
What trends are you witnessing in the Bathroom fittings market especially when it comes to customer’s choice?
Today’s bathroom is a versatile space that serves various functions ranging from rejuvenation at the beginning of the day to relaxation at the end of it. Be it a quick wash or long leisurely indulgences, the expectations of homeowners from their bathrooms have seen a significant rise. It is no longer a question of choice because the individual looks to fulfill each of these varying needs at different instances in their daily lives. This is why it has become exceedingly vital that a single product is capable of serving multiple purposes.
Today the customer is even willing to understand the functionality of design. This trend is evident from the growing demand for shower systems, which combine the mixer, head shower, hand shower and body showers into one unit. The shower systems stand in clear differentiation, being less bulky and better in performance and design, as against existing shower panels or integrated cubicles.
Bathroom fittings in India have followed the global trend and moved towards single lever fittings from the traditional two knob fittings. Wall mounted fittings are a rising trend which again flows from the demand for better functionality. They are also gaining popularity because not only are they a great enabler for the designer but are easier to maintain due to lesser water contact with the product surface.
Are aesthetics gaining more importance?
Earlier, the selection of products was guided by either price or design with minimum consideration of functionality. The latest trends today are guided by functionality and design leading to orientation towards detail.
What are the triggers for growth in India?
There has also been a dramatic increase in the rate of construction in the past couple of years be it residential, hotels or commercial and this boom is expected to continue in the coming years as well. In addition, consumers are now willing to spend a lot more on making their bathrooms look and feel good. They are also more aware of the possibilities and the options available, this in turn allow them to make better informed choices in terms of fittings. These factors when taken together i.e. the growth rate, the increase in construction and more money flowing into the sanitary market, will ensure a robust growth for the industry in the foreseeable future.
What is your current market share in each segment? What efforts are you making to improve the same?
Our global vision is to become the market leader in every country we are present in by the year 2015.
Brief us on your product mix and new marketing strategies?
The strategy for the Indian market can be surmised in three simple points:
Availability – Ensuring the availability of Grohe products where the consumer wishes to buy them.
Acceptance – Ensuring consumers know, prefer and want to buy our brand.
Affordability – Ensuring a Grohe solution for every consumer who truly wants to enjoy water.
Any major expansion in outlets planned?
Our products would be available in more than 500 stores across the country by end of 2010.
You have products that reduce water usage. Tell us more about it.
Water is a scarce resource and must be used responsibly. Grohe leads the way on water conservation with its EcoJoy range – which sees Grohe combine outstanding design, high performance and water usage efficiency. Through our EcoJoy range Grohe uses first class materials and design innovation to ensure water usage efficiency – this directly equates to reduced water consumption and products that really do last a lifetime. Our showers have been manufactured to deliver the best possible shower experience with technology that uses the least amount of water, Grohe DreamSpray is the perfect example of this. Protecting the environment whilst achieving perfect water flow, again and again!
The Grohe EcoJoy range offers an overall water saving solution that comprises of faucets, showers, bathroom fittings and kitchen mixers. All EcoJoy products deliver a defined flow volume of 5.8 litres per minute, allowing one to save up to 50% on their water bills, meeting the requirement for the sustainable code for homes and building regulations. Reducing water consumption with GROHE EcoJoy also means less water needs to be heated so water savings thereby generate electricity savings. A 100 bedroom hotel can save up to 6.8m litres of water and 186,000 kWh of energy per year.
Now it is becoming increasingly important that people not just enjoy water, but enjoy water responsibly. The challenge in making water saving fittings popular was that no-one wanted to sacrifice comfort or the indulgence factor, which is why we came up with the EcoJoy technology which allows you to save water without compromising your comfort in any way.
Do you see new regulations coming up, which could boost the demand for such products?
Water is a scarce resource and it is very likely that regulations will come in to ensure their judicious use. There are for example energy efficiency codes being implemented in India and the day is not far when we will have water usage codes. This in turn could increase the demand for technologies like Grohe EcoJoy.
Any plans to start a production plant in India? Brief us about your plants and capacity. What is the current utilization? To what extent can you scale capacity in your existing units?
Grohe is headquartered in Düsseldorf, Germany and is world's largest manufacturer of single brand sanitary fittings. Grohe has six production plants, of which three are located outside Germany, namely in Portugal, Thailand and Canada.
Based on our market share ambitions and cost effectiveness of local manufacture, a decision will be taken at an appropriate time in the future.
What are the entry barriers? What about the unorganized market?
Just like any other industry, there is an unorganized sector in the sanitary fittings industry. As people becoming increasingly demanding in terms of quality and aspire for better lifestyle, the unorganized sector will decline over time.
What edge do you have as far as technology is concerned? How difficult is it for others to get hold of such technology?
Grohe has been a market leader in technologies. Our thermostat ranges with Grohe Turbostat technology and shower and faucet ranges with Grohe EcoJoy are now changing trends delivering a better experience to customers and helping in the conservation of water as well.
One of the most cutting edge technologies of today is Grohe Digital, employed in our top of the line Ondus range, which exudes the very essence of water. Making our products intuitive and simple in an over complicated world is key. The objective is to reduce unnecessary complexities of life with the use of technology and design.
The intelligent design of our Ondus digital touch pad provides an icon based interface for effortless operation. Backlit icons ensure good legibility even in reduced lighting and act as a further navigation aid, guiding the user through the features. The result is a technologically superior product, which the user will instantly relate to and feel comfortable using without the need to study a lengthy instruction manual.
Give us details about the Indian ‘Grohe Technology Centre’ in Bangalore.
Grohe’s first Technology Center in Asia was launched in November 2009 and is located in Bangalore. It is a place where visitors can experience the unique way in which Grohe has synergized Design, Technology and Quality into their products, allowing customers to truly Enjoy Water.
This interactive Technology Center showcases three different style segments – Authentic, Cosmopolitan and Contemporary to allow discovery of the diversity of forms and shapes and experience the brand’s philosophy in a whole new dimension. On live display at the Grohe Technology Center is the "Ondus", pegged as a revolutionary product in the sanitary fittings industry. This iconic range of luxury bath fittings is blended with pristine digital technology that ensures you a lifestyle changing experience centered around the concept of "Sensual Minimalism". One can also experience all of Grohe’s other product ranges and technologies like the SilkMove, StarLight, DreamSpray, CoolTouch etc. at the Technology Centre. The live display of the Grohe EcoJoy range highlights the brand’s commitment towards water conservation. This range offers overall water saving solutions comprising of taps, showers, bathroom fittings and kitchen mixers. Besides this, the Technology Centre will also enable Grohe to impart requisite training to plumbers and technicians.
Brief us on your international presence.
Grohe AG is Europe’s largest and the world’s leading single-brand manufacturer and supplier of sanitary fittings, holding roughly eight percent of the world market. Grohe is present in over 130 countries worldwide including USA, Canada, South America, Europe, Africa, Middle East, Asia and Australia. We have 6 production plants worldwide i.e. 3 locations in Germany: Hemer, Lahr, Porta Westfalica; 1 location in Albergaria-a-Velha, Portugal; 1 location in Rayong Province, Thailand and 1 location in Mississauga, Canada.