Rural and Small Cities Rule The Spending Roost Post Covid-19 Lockdown
Last updated on February 14th, 2023 at 11:39 am
White goods and appliances are running dry on sales and are vying for the rural market to meet their targets. Despite the adverse affects of the corona virus led economic shutdowns. The advantage of a normal monsoon has added to the coffers in the rural regions while enhanced government schemes have also increased their purchasing powers.
But one is not looking at major spends but really low-ticket consumer electronics and need based low value consumer products like LED bulbs and tubes.
According to analysis by the HT Mint, most companies that draw anywhere between 10 and 20% of their sales from smaller markets are expecting quicker recovery in rural markets as these have been outside containment zones, are less affected by the pandemic and have fewer restrictions.
The guaranteed employment opportunities are reversing movement to the states and smaller towns, increasing the need for general durables. Urban markets are going to remain slow due to lockdown situations, loss of jobs and salary cuts.
Tier II, III, IV towns and rural markets will be seeing sale of products such as fans, sewing machines, home and kitchen appliances, water solutions, and water pumps. Strangely smaller cities are being looked at for sale of washing machines, direct cool refrigerators unlike in the urban markets where lockdown and containment issues also create logistic issues. Urban markets are showing pent up demand for different category of consumer durables. These include laptops, tablets, and cooling products as consumers spent more time indoors and worked from home. Cooking appliances segment has seen significant growth in mass and mid segments, as shared by representatives of the well known brand Usha Appliances.
Despite the adverse affects of the corona virus led economic shutdowns. The advantage of a normal monsoon has added to the coffers in the rural regions while enhanced government schemes have also increased their purchasing powers.
But one is not looking at major spends but really low-ticket consumer electronics and need based low value consumer products like LED bulbs and tubes.
According to analysis by the HT Mint, most companies that draw anywhere between 10 and 20% of their sales from smaller markets are expecting quicker recovery in rural markets as these have been outside containment zones, are less affected by the pandemic and have fewer restrictions.
The guaranteed employment opportunities are reversing movement to the states and smaller towns, increasing the need for general durables. Urban markets are going to remain slow due to lockdown situations, loss of jobs and salary cuts.
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Tier II, III, IV towns and rural markets will be seeing sale of products such as fans, sewing machines, home and kitchen appliances, water solutions, and water pumps. Strangely smaller cities are being looked at for sale of washing machines, direct cool refrigerators unlike in the urban markets where lockdown and containment issues also create logistic issues. Urban markets are showing pent up demand for different category of consumer durables. These include laptops, tablets, and cooling products as consumers spent more time indoors and worked from home. Cooking appliances segment has seen significant growth in mass and mid segments, as shared by representatives of the well known brand Usha Appliances.
