ACI Motors, the distributor of Himoinsa and Yorpower diesel generators in Bangladesh, has emerged as the leader in the market this fiscal year 2023-24, according to its Executive Director Subrata Ranjan Das.
In a recent interview, he told The Business Standard the market size for diesel generators with 10-3,000 KVA capacity slowed down by around 8% in the past fiscal year and is projected to face the same this fiscal year too, due to the inflation and economic slowdown, while the dollar crisis made timely imports a tough job.
"However, an increasing demand for quality products and services among the ongoing projects helped us beat other brands, gain market share and emerge as the market leader," said Subrata Ranjan Das.
Of the nearly 600 diesel generators bought in 2023 for megaprojects, industries and real estate projects, Yorpower and Himoinsa's market share was 24% and 21% respectively. Tempest, FG Wilson, Ferbo, CAT and Welland Power were the followers respectively.
In value terms, ACI Motors for the first time grabbed more than one-fourth of the addressable annual market, estimated to come down to Tk375 crore in FY24, from Tk407 crore in the previous fiscal year and Tk470 crore in FY21 when a liquid money market-fuelled project spending both in the public and private sector, according to an analysis by the ACI Motors market research team.
According to Subrata Ranjan Das, ACI Motors directly imports quality generators and supplies to the end-users. With a commitment to customer satisfaction, the company provides genuine spare parts and superior after-sales service, resulting in a remarkable 94% satisfaction rate among users.
"ACI Motors remains dedicated to delivering prompt and quality service, upholding its position as a trusted provider in the backup power industry."
In FY19, ACI Motors had a revenue share of 2% in the diesel generator market that surged to 27% this year as the company secured constant hyper growth every year, he said.
"Most of the critical infrastructures, including Bangladesh National Parliament House, Dhaka Metro Rail Project, 20 medical institutes use our generators as there is no room for minimum glitch," said Subrata Ranjan Das, adding that ACI Motors is the only company offering app-based after-sales service, which has made the company unparalleled.
Frequent power outage is likely to contribute to a 40% growth in the market for petrol generators with a capacity of up to 10 KVA this fiscal year, he said, adding that ACI Motors' Yamaha petrol generators secured 12% market share both in value and volume terms, still lagging behind brands like Sakura, Honda and Bison in price sensitive market.
However, his company is growing fast in the petrol-fired generator market too as its segment revenue grew by eight times in three years.
SME businesses, livestock farming, households are the major users of petrol generators that sold over 6,000 units in 2023 and the market size was around Tk70 crore.
