The festival season is bringing good fortune for consumer electronics, especially the white goods business. Visible recovery signs, like momentum in the stock markets, late recovery in monsoon and the second instalment under the Sixth Pay Commission to government employees are proving to be a catalyst for markets.
“We have witnessed 25%-30% growth on a same-store basis than last festive season. There are lot of combo offers that we are giving this season like, if you are shopping for Rs1,00,000, we are offering an LG LCD television free. For those shopping above Rs15,000, we are offering different free goodies or slab offers,” says Manoj Kumar, chief executive officer, e-zone, part of the Future group.
"During the festive season, we are expecting a 30%-35% growth in sales," said Vishal Mevani, director, Kohinoor Sales. Last year, during the festive season, Kohinoor witnessed sales of about Rs20 crore, which it expects to go up to Rs25 crore on good response from consumers to its various promotional offers.
"With the Diwali season and the flow of funds from government employees, we expect our sales to go up by 8%-10%," said Nilesh Gupta, managing partner, Vijay Sales, a consumer electronics and durables retail chain in Mumbai.
According to official estimates, the total arrears payable under the Sixth Pay Commission are estimated to cost Rs293.70 billion to the government kitty.
Videocon, the consumer electronics giant, has launched some new interesting combo products, which the company claims to be "world's first" LCD TV with build in DTH set top box (STB) and a Satellite DVD, which is a DVD player with in-built DTH STB. With both these products the company is offering 2-3 months free subscription to its newly launched DTH services and free installation of dish antenna.