The advent of inexpensive power semiconductors and digital control platforms has generated an interest in machines like switched reluctance motor (SRM) which is known for its structural simplicity. In domestic sector, however, conventional type of single phase induction motor (SPIM) is still commonly used. Most domestic appliances use fractional kilowatt motors with ratings ranging from 200 W to 800 W. This paper investigates the performance of SRM for use in a domestic application as in a water lifting pump and compares with SPIM, which is being used presently. The analysis combines the versatility of Finite Element Method with the classical design procedures. It is clear from the results that SRM gives better performance, energy saving and is cost effective as compared to the present machine and hence is a better alternative for domestic applications, in view of energy conservation.