Premium products driving festival season sales: Samsung India

Korean consumer durable major Samsung said that premium product sales grew by as much as 50 per cent in October compared to the same period last year, as consumers look to upgrade their home appliances in the festival season. The company said that overall it recorded sales growth of 32 per cent in October compared to the same period last year.

Raju Pullan, Senior Vice President, Consumer Electronics Business, Samsung India said, “In smaller towns, we witnessed a sales growth in the range of 36-40 per cent in October. But premium product sales growth was even higher at nearly 68 per cent in smaller towns. Retailers in tier-2, tier-3 and tier-4 towns have begun stocking up on premium products, in line with the changing consumer purchase trends.”

The company said a slew of new launches across categories coupled with festival offers with easy EMIs and cashbacks is also driving premium product sales. The company has also taken measures to enable its brand retail partners to engage with customers digitally through emails, WhatsApp messages and texts backed by the launch of an e-catalogue.

Strong growth trends

“We have been witnessing strong growth trends across segments. While the overall LED TV sales grew by 32 per cent in October, in the 65 inch and above segment, we witnessed a growth of 80 per cent indicating that consumers are keen to upgrade their home entertainment systems. Similarly, consumers are also upgrading to larger capacity refrigerators as they cut down on the frequency of shopping trips during the pandemic and want to stock up on fresh produce. So while the overall refrigerator segment grew by 31 per cent, frost-free refrigerators in sizes of 350 litres and above, witnessed a sales growth of 40 per cent,” he added.

The company said it is also witnessing stronger sales growth trends in fully automatic top loading and front loading washing machines of higher capacities and microwaves as consumers seek convenience for household chores in the pandemic times.

Early indicators

For the consumer durable sector Onam in Kerala and Durga Puja in West Bengal serve as early indicators for demand trends for the festival season. During Durga Puja, in West Bengal, the company recorded a sales growth of 34 per cent, while for premium products it was higher at 68 per cent. “Early trends are positive and we expect to record a growth of 30 per cent in the overall festival season. We believe these demand trends will continue till Diwali and hopefully till the end of the year,” Pullan said.

Also read:

Also read: