Eureka Forbes

Submitted To:
Prof. Anoop Ohri

Submitted By:
Umesh Kumar
Rajkaran Chhina

In 1909 Fred Wardell of Detroit, Michigan

launched a vacuum cleaner company that
soon acquired a worldwide reputation for
high quality products, excellent relations
with its customer and dealers, and solid
marketing programs. That reputation
continues today, with Eureka ranking as a
major leader in home cleaning products.

In 1913 Eureka launched six different

models & offered various add-ons for
cleaning floors,walls,upholstery & crevices.

1915

r
G

P
d
n
a

e
z
i
r

Jury of Electrical Experts

San Francisco International Exposition

1919

2000
Vacuum Cleaners/ day

3.5 Acres

1929

No.1 Vacuum Cleaner

Company

world war II Eureka had to stop production and

its business suffered to a great extent for a
couple of years.
1945 it merged with leading heating and airconditioning equipment manufacturer William
Oil-O-Matic, which was renamed as EurekaWilliams.

Over the next years, it diversified into the

manufacture of oil burners & government
defense equipments.
1960 it merged with electronic good
manufacturer National Union Electric and
also manufactured a battery operated
automobile named Henney Kilowatt.

But not for long

1974

Eureka-Williams

1974

Illinois

1983 and then

expanded in
1997

Worlds Largest Vacuum

Cleaner Manufacturing

Mexico

1981
Electrolux brought the
Eureka brand to India in
1981 through Eureka
Forbes, a joint venture with
FGL. While Electrolux held
40% of the stake, the rest
60% was held by FGL(Forbes
Gokal Ltd.)

1982
1982 Aquamall Water
Solution Ltd. Subsidiary to
manufacture its products
1985 Established its Dealer
sales division
1986 industrial sales division
Operations
begin from
Delhi with just 10 sales
1989 exports
division
representatives.

In 1997 Eureka Forbes diversified into electronic

security solutions under the brand name
Eurovigil.

India
Direct selling
One of the first direct selling companies

Eurochamps

The company employed dynamic, highly

motivated individuals, called Eurochamps,
who projected the image of The friendly
man from Eureka Forbes

It suffered a setback in 1992-93, when profits

declined by 50% in comparison to previous
year.

However it gradually gained acceptance in

Indian market & sales picked up.

The company began advertising various media

initially to familiarize its target segments,
housewives, with its products & introduce it
to its sales force.

Advertisement
helpful salesperson who solved the
problems of housewives.
Models appeared as Friendly and
trustworthy i.e. T.V. actors

After Sale Services

Customer Care Network with over 400 CRC,
covering over 98 towns
annual maintenance contract
mobile service van(Mumbai,New Delhi)
Operation Red Zone
Water Labs (Mumbai,New Delhi,
Kolkata,Chennai,Banglore and Ahemdabad)

new water purifier against their old model

at a discounted price .
Euroclean home contest
Service call back guaranteed with in 48
hours

A relationship does not end

with a sale, It actually begins
Call Center for customer service
With in a year 5 more CRC
B2E (business to employee) exercises and
employees asked to report weekly instead
of monthly.
Ranking the salesperson according to their
performance

Regular information to suppliers and email

identities .
Online training sessions by managers
Enabled its water labs to work online

Net profit Rs 56million in 1995-96

Rs 2.29 billion in 1997-98

H
ow

ev
er

1999
Direct selling policy changed
Consumer training drive with a pager
number for demonstration and training by
salesperson.

1999
Advertising Policy Changed
Maidservant using a vacuum cleaner
Entered the water bottle market

Environment-friendly and
hygiene-oriented

Eureka Forbes Institute of Environment.

Daily measurement of air pollution in 8

metropolitan cities with NDTV and aired on
star news, also published on website like
www.ndtv.con and www.webhealthcare.com

Held free pollution control camps in 10

metropolitan cities

Result
Eureka forbes built a customer base of 2.5
million by 1999 and recorded a turnover of
Rs 3.08 billion for 1999-2000.
Besides the household segment ,its client
list included leading hotels such as The
TAJ ,The Oberoi ,The Centaur ,Four
Seasons ,Orchid International, Leela
Kempenski and corporates such as
Mahindra & Mahindra ,TCS , Bajaj auto
,Wipro Fluid and Telco

2001 Turnover of Rs 3.68 million ,32% of

which came from vacuum cleaners and 45%
from water purifiers.
2002 undisputed market leader
with 75% and 85% market share and
vacuum cleaners and water purifier.

 Asias largest direct selling

company
Customers base of more
than 6
million happy
families
Operating in over 131

Achievements
1500 customers connecting everyday
A 10,000 strong dealer sales network
A 58 distributor strong Institutional Sales
Network
4500 company trained technicians
Supported byCall Centers, Customer
Care Representatives & Mobile Service
Vans

Ranked among India's Most

AdmiredConsumer Durable Companies
Best Employers (4 times in a row)
Winner of 'Most Admired Knowledge
Enterprise' MAKE- Asia Awards
A case study at the prestigious Harvard
Business School
Winner of awards on Customer
Responsiveness
Winner of Water Digest awards

Eureka Says
We are in close and constant touch with our
customers, listening to them and
understanding their needs
We have created exciting new products and
services to satisfy their needs
We have educated them to change their
perceptions and practices

A sale is only the beginning of a

relationship

We make a special effort to let the bonds of

friendship endure through service, post
purchase training and a host of other
customer care incentives

Everyone in the company strives to make

our customers'Friends For Life'

A Friend To Society
Nana Nani Parks for our senior
citizens Inaugurated in 1999,"The Year
of Senior Citizen"
Safe drinking water to earthquake
victims in Bhuj and cyclone victims in
Andhra Pradesh

2009

Frost & Sullivan honored Eureka Forbes

Limited with dual awards, 2009 Best
Company of the Year Award in the Indian
Residential Point-of-Use Water Treatment
Systems Market and 2009 Customer Service
Leadership Award in the Indian Residential
Point-of-Use Water Treatment Systems
Market.

Vision
Happy healthy and pollution free
environment made on trust and lasting
relationships with customers.

Mission
To build sustainable relationships

Values
Mutual respect and trust

Dream

To become a 1000 Crore Company

A1.

Direct selling and with the use of

Eurochamps. Eurochamps were friendly
employs from Eureka forbes. The smartly
dressed salesman would come to their houses
and show how air/water purifiers worked.

Annual maintainance contract

Operation red zone
Mobile service vans
Water labs

A2
The company planned to spread over its
products available in retail outlets through
its dealer network, spread across 2600
dealers.
10% from dealer channel and 75% from
direct selling.

It wanted to be a one-stop-shop for products

related to providing pure water.
Expertise said its new in market so it would
have tough time.

A3

Different theme of advertisement, because

people were letting servants to use other
products but not vacuum cleaners.

Training to salespersons

Nana nani park

Free pollution control camps

A4
Yes, ofcourse. It has reached the top now, it
has been there for years.
It believe that a good relationship with the
customer is very important.
They emphasis on after sale services
resulting customer loyalty.