Sector Trend - Outlook     21-Apr-16
Sector
Consumer Durables: Consumer durables and appliance growing faster than FMCG
Outlook

Consumer durables account for more than 40% of end consumer spending in India, have annual turnover of more than Rs 50000 crore and contribute more than Rs 15000 crore to revenue of Centre and State governments. The sector contributes to more than 5.5% of IIP. The urban market accounts for a major share of about 65% of total revenues in consumer durables sector, and the remaining 35% accounts for rural market. According to the Consumer Electronics and Appliances Manufacturers Association (CEAMA), the Indian market for consumer electronics and appliances is valued at US $9.7 billion in 2015 and is expected to grow to US $20.6 billion by 2020. Consumer durables market is set to become the fifth-largest in the world by 2025, driven by increased presence of organized retailed in small towns, coupled with a rise in E-commerce and easy payment options. The tremendous rise in E-commerce has really helped in smaller players in the industry to reach the customer very fast.

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