Unfazed by slow start, AC industry expects double-digit growth, over 11.5 mn unit sales this season
AC industry said «favourable weather forecast of a scorching summer» and increase in disposable income are likely to push up sales.
Top manufacturers such as Daikin, Panasonic, LG Electronics, Blue Star, Godrej Appliances and Lloyd, expect up to 25 per cent growth this year, along with a substantial contribution from tier-III towns and smaller centres, which are emerging as promising markets for the category.
Sale of energy-efficient 5-star inverter-technology-based models will have a higher contribution from metro cities and other big markets, while affordable 3-star ACs will continue to dominate the semi-urban and rural markets, they said.
Brands have already introduced a new lineup with smart features such as IoT, energy-efficient models with low operational cost, hygiene features with new aesthetic designs, and started a 360-degree campaign, along with attractive finance offers, cashback, and subsidised installation to woo customers as summer sets in.
Blue Star Managing Director B Thiagarajan said «the market is expected to grow 20 per cent this summer season».
«There could be some slowdown (in sales) due to general elections and we have to closely watch it. The RBI (Reserve Bank of India) is tightening the norms for unsecured loans, which may also impact consumer finance schemes. There are reports that consumption has not yet picked up. Yet, I believe that the overall market is expected to cross 10 million units in FY24, and it should be at least 11.5 million units in FY25,» Thiagarajan told PTI.
Daikin
