Bangalore, October , 2018: Hitachi Koki, the leading manufacturer of power tools and life-science equipment, today announced their aggressive business plans for India. Now rebranded as “HiKOKI”, the company’s India arm has been operating since 1996 and is the largest and fastest growing subsidiary in Asia (after Japan). HiKOKI India has registered steady growth over last 20 years CAGR of 16%. It is aiming to scale up its dealer count from 600 to 1000 by 2020.
Hitachi Koki (now HiKOKI) announces aggressive business plans for India
Hitachi Koki is widely known in all segments for their technologically advanced, reliable and low maintenance tools. During the Financial year 2017-18, HiKOKI India sold 3,60,000 tools and aims to sell 4,00,000 tools during FY 2018-19. Simultaneous to its rebranding efforts, the company is also launching new technology Multi Volt tools. Identifying a visible shift from corded to cordless tools among end users, HiKOKI is planning to introduce affordable, user-friendly cordless and DIY tools in the India market.
According to Mr. Dattatraya Joshi – Executive Director & Secretary, Hitachi Koki India Pvt Ltd. “The power tools market is estimated at 4000 crores and is growing rapidly at 7%, and is projected to grow at a steady pace for the next 10 years. Backed by powerful govt. initiatives to boost the manufacturing sector such as Make-in-India, Skill India etc., India gives us a unique opportunity for growth, innovation and contribution when compared to other developed countries. There is a growing demand for quality and world-class tools which can enable India to compete globally. Keeping this demand in mind, we are strengthening our business and customizing our offerings for the Indian market and its unique requirements.
We are foreseeing growth opportunities shifting to Tier II and III cities hence, we are looking to strengthen our base in this area and increase our market share. Overall, we are aiming to make India our growth engine for the coming years and our dynamic new partnership with KKR is further enabling us to accelerate this growth and pursue our goals more aggressively.”
HiKOKI India boasts of leading customers in Automobile, construction and fabrication sectors. We manufacture more than 50% of domestic requirement by volume. It also exports tools to Bangladesh, Sri Lanka and Nepal; and exports select components to other Hitachi Koki subsidiaries’ in Malaysia and Japan.
Corporate rebranding to “HiKOKI”
The corporate rebranding of Hitachi Koki to new brand HiKOKI is a major step for Hitachi Koki and its international growth strategy aimed at ensuring sustainable growth while expanding business in the nearly 150 countries in Hitachi Koki’s global network. KKR acquired Hitachi Koki in March 2017. While the company’s management remains the same, it has acquired better financial strength and autonomy which offers more scope to take decisions faster and develop products as per the market requirement.
HiKOKI India in its first step of embracing its new identity will be conducting a Mobile Vehicle Campaign where two mobile vehicles will travel throughout the country over the next six months to provide a complete experience zone for its consumers. This campaign will provide a great opportunity for HiKOKI to present its top-notch ensemble of new tools to its consumers and let them experience first-hand of Japanese technology driven quality and precision we pride ourselves on.