The Albany Gazette - Premium products and financing drive Navratri appliance demand

Appliance makers and retailers reported strong Navratri demand, with premium products and instalment financing supporting sales despite inflationary pressure.

Consumer durable players and retailers stated they are witnessing strong consumer demand momentum during the Navratris period despite inflationary pressures. Leading players and retailers stated despite price hikes, they are witnessing double-digit growth led by mid and premium segments.

Large screen LED TVs, double-door and side by side refrigerators, high capacity washing machines and air-conditioners are fuelling the demand during the Navratri period, which is considered as an auspicious buying period ahead of Diwal

NS Satish, CEO, Haier Appliances India, stated, “We are seeing 30-35 per cent value growth during the Navratri period over the same period last year, led by the mid and premium segment products. Surprisingly, even the air-conditioner segment is witnessing good growth besides mid and high end segments of refrigerators and washing machines. In LED TVs too, 55 inch and above are witnessing robust demand trends.”

Players stated that the overall industry is expected to end Navratri period with 15-20 per cent value growth.

Nilesh Gupta, Director, Vijay Sales, “In the past 7-8 days of Navratri, we have clocked 20-25 per cent value growth and high single digit volume growth. Despite price hikes consumers are displaying positive sentiment and the premium segment is driving the growth supported by more attractive financing schemes.”

“Navratri has started on a strong note for BSH India, with sales in the first seven days growing over 55 per cent year on year. The growth is being driven by strong consumer demand for higher capacity premium appliances, with 9 to 10kg Bosch front load washing machines growing over 50 per cent and Bosch and Siemens top freezers and dishwashers growing over 70 per cent. We are seeing this momentum carry through to e-commerce as well,” stated Saif Khan, CEO & MD, BSH Home Appliances India.

Amazon India too stated that premium front-load washing machines, LED TVs above 55 inches and frost-free and side-by-side refrigerators are among the categories that are witnessing strong traction during the ongoing Great India Festival sale event.

Premchand Devarakonda, Chief Financial Officer, Electronic Mart India Ltd stated , “Navratri has set a positive tone for the festive season, with consumer demand for electronics and home appliances expected to gain further momentum as we move towards Diwali. Attractive pricing, bank offers and EMI options are helping consumers across price points make their festive purchases.”

Some players stated that even the mass segment and upcountry locations have witnessed an uptick in secondary sales. Kamal Nandi, Business Head and EVP-Appliances Business, Godrej Enterprises Group stated, “We are growing more than 40 per cent in terms of secondary sales. For the overall industry, secondary sales are up to the tune of 18-20 per cent.

While refrigerators and washing machines are doing well, even air-conditioners have also seen a strong growth momentum led by the premium segment. Infact, we are seeing good traction even in the mass segment and financing schemes are playing a key role.”

(K.Jones--TAG)