Air Cooler is one of the appliances that keeps the atmosphere cold. The basic concept of water cooling is to find a medium that can handle and transport heat more efficiently than air. Water has a very good ability to retain heat, in the mean time stay in a liquid form. This project is to design and develop a low cost air cooler which can be used in houses and office. Secondary researches have been carried out to collect data regarding the present design of air cooler. Various types of air cooler available in the market have been identified. Ethnographic study and questionnaire survey has been done for understanding the user product interface. The issues related to current air cooler have been found out. Concepts of an air cooler with addition of a separate fan to spread the water in to the air for cooling. Air cooler with a separate fan is selected as the final concept through weighted ranking method. Colours are chosen according to its applications to make it aesthetically good. An working model of the final concept is made using thermocol along with automatic water level indicator and speed controller.