Top Story

e4m_logo.png

Home >> Marketing >> Article

Refrigerator sales way behind projections

21-August-2004
Font Size   16
Refrigerator sales way behind projections

Refrigerator sales have failed street expectations by a huge margin during the first half of the year in what is being reckoned as a double whammy wrought in by overall bearish market sentiments compounded by a delayed monsoon.

ORG data reveals that refrigerator sales grew a measly 0.6 per cent during the first six months against a projected 15-16 per cent growth for the full year, according to Mr Arvind Mediratta, Vice-President (Marketing), Whirlpool Home Appliances.

The revival of the monsoon during the latter part of the season might just help the refrigerator sector post a growth of five per cent during the second half of the year, Mr Mediratta told Business Line here. It may be recalled that assessments made earlier by the Consumer Electronics and TV Manufacturers Association (CETMA) had projected that refrigerator sales would post double-digit growth during the current year. A forecast made by Francis Kanoi Marketing Research more or less corroborated this view.

The bleak performance is seen in washing machines as well. Sales have grown by just five per cent this year, Mr Mediratta said. A strange but interesting fact is that even during a period when disposable incomes may not have just added up, both the low-income and middle-income groups have shown a preference for the high-end products in refrigerators and washing machines. This means that the Indian consumer has truly evolved, and is favourably disposed to pay a premium for conveniences and special features, according to Mr Mediratta. Manufacturers have no option but to factor this aspect in while deciding on the product mix for the future.

For instance, Mr Mediratta said, in refrigerators, the high-end frost-frees (FFs) have grown by 14 per cent even as the sector as a whole posted flat growth. In washing machines, sales of fully automatic ones registered a 27 per cent growth during the same period (5 per cent as a whole for the sector). The bulk of the market, comprising direct-cools (refrigerators) and the semi-automatics (washing machines) have either de-grown or have posted flat growth, Mr Mediratta said.

Tags

Kranti Gada joined the family business at Shemaroo in 2006 after a successful stint of over two years in marketing at Pepsi Co. She has been associated with the company for 12 years.

Exchange4media interacted with Jaspreet Chandok, Vice President and Head (Fashion) , IMG Reliance Pvt. Ltd on seamless brands integrations planned for Lakme Fashion Week, walking tall despite blazing trails like GST, demonetization and being a part of the larger cultural space

Their strategy to educate the consumers to make well informed decisions at all stages has worked out well.

Bobby Pawar, MD, CCO - South Asia, Publicis India, talks about his idea of chilling out

WhatClicks promises to be an unbiased, objective, third-party audit firm that will work with advertisers and agencies alike to help build an effective and integrated digital strategy.

V-Guard Industries, a household name for consumer electrical appliances in India, has revamped its logo in order to reflect the strength gained by the brand over the years. The company has also unveil...

The report reveals that there has been nearly 5 times more growth in video consumption in the last 12 months, with 96 percent of all usage being focused on long form video