The Indian consumer durable industry is witnessing a growth of 30 per cent owing to increase in summer sales which further lead to highest growth of 50 per cent in sales of refrigerators and air conditioners.
According to a statement from Consumer Electronics and Appliances Manufacturers Association, (CEAMA), the last quarter also saw phenomenal sales especially of displays which include conventional flat panel displays (PDPs, LCDs and flat screen TVs). The industry also witnessed a 40 per cent growth in home appliances business.
Y V Verma, President, CEAMA, said, “The consumers nowadays prefer to use devices and products in-built with smart technology and design innovations which are more advanced that makes their life easy and consume less time. The consumers not only focus on the functional benefits of the products but also on the aesthetics added with the product.”
The Indian consumer durables industry has witnessed a considerable change over the last few years. Changing lifestyle, higher disposable income coupled with greater affordability, boom in the real estate and housing industry and a surge in advertising has been instrumental in bringing about a sea change in the consumer behavior pattern.
CEAMA expects increase in sale of consumer electronics during festival season. The Southern India will witness a considerable increase in sale from July onwards owing to Onam, one of the main festivals in Kerala. Also, the industry foresees the upcoming FIFA world cup as a huge opportunity to contribute to a significant rise in TV sales. With the onset of monsoon season it is predicted that demand for washing machines will also increase.
The industry has also witnessed some interesting upcoming trends. Due to early advent of summer, March and April saw an unprecedented sale of AC. Earlier, most households used to buy a single AC. Now, on an average, there are two to three air conditioners per home.
Consumers are more aware of energy efficient appliances as they are proactively asking for star-rated refrigerators and air conditioners. The demand for LCD televisions is also huge as consumers are replacing CTVs for an LCD or LED. Rural markets and small towns have shown promising demand for durables. There are pockets of prosperity in rural India that are drivers of rural growth.