Home / Companies / News /  EESL prepares for big push into retail space
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NEW DELHI : State-run Energy Efficiency Services Ltd (EESL) plans to increase its presence in the business-to-consumer (B2C) retail space through offline and online channels, with products such as smart bulbs, inverter bulbs, energy efficient ACs, fans and induction cooking stoves with an initial investment of around 30 crore, the company’s sales head Animesh Mishra said.

In a bid to give a major push to its customer outreach, the company, a joint venture of various public sector units, plans to set up 1,000 brick-and-mortar shops across the country in a franchise model.

The company, which already has a presence in the direct-to-consumer e-commerce space with, wants to complement its online push.

In an interview, Mishra said that the initial investment in this retail push would be 30-31 crore. He noted as sales go up, investment may reach around 300 crore over the next five years.

He said the company plans to expand its retail outreach through four channels. First is the ongoing channel partner programme where local businesses and individuals who have signed up with EESL market the products and sell them both to businesses and other customers. The second mode would be the e-commerce model through its own direct-to-consumer (D2C) platform.

“We are also planning a retail outlet model, retail shops which will be EESL franchisee stores across India and the fourth one is obviously to tie up with the Department of Post and the next stage would be to tie up with CSC (common services centre)," he said. The Department of Post and CSC have already been associated with EESL. Through them, the PSU distributed its light bulbs under the Centre’s Ujala scheme.

Detailing its plan for opening offline stores, Mishra said: “We have planned a structure around it and initially, we are targeting to have at least 1,000 stores across India in the next two to three years. We will be piloting it very soon, probably starting sometime in July with 10-15 stores, largely in major tier-II and tier-III cities."

The company, in order to expand its product portfolio in the consumer appliances space, would start an appliances programme that would include “super energy efficient" ACs and light bulbs, he added. EESL is also going to launch inverter bulbs, which would give a backup of two hours after a power cut, he said. The company already has ACs under its portfolio, but retail sales are yet to pick up.

The company recently launched BLDC fans with a power consumption of 30 watts, compared with conventional fans, which consume power of 80 watts. BLDC stands for brush-less direct-current motor, which consumes less electricity.

EESL, a PSU under the Union ministry of power, also plans to add induction cooking stoves to its offerings in the future.

The company invites tenders to manufacture energy efficient appliances from manufacturing companies.

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