With consumers upbeat about the upcoming festive season after a stressful year due to the second wave of the COVID-19 pandemic, Aiwa India expects 40 per cent of its annual sales to be generated this festive season. After reentering the Indian market earlier this year, Aiwa India is currently in a setup mode, and is expecting sales of around Rs 100 crore this calendar year.
“This festive season, we are definitely seeing a positive sentiment return to the market. There is a huge boom expected in the post-pandemic world and this is expected to be seen most in the consumer electronics market. We are already seeing green shoots as far as the demand around the festive season goes and we expect this momentum to only grow from here. There is definitely going to be a major uptick in sales as compared to the last couple of years, this festive season. And as per the expected industry norm, about 40% of our annual sales will come from the festive season,” says Ajay Mehta, MD, Aiwa India. Aiwa India has introduced five new products in the audio range and personal audio devices.
The increase in consumption of consumer goods in Tier II & III cities will also be one of the key factors in leading this growth. Moreover, brands too have increased their penetration rate in these cities. Demand for durables like refrigerators, AC, and other consumer electronic goods is likely to witness an increased demand in the coming years, especially in the rural areas as the government plans to invest significantly in rural electrification. In addition, the affordable interest rates of consumer loans and the rise in disposable income are the major drivers for the growth of the market. And easy finance schemes facilitate these purchases further.
Predominantly an audio player, Aiwa sees India as one of the key markets and is expanding its product portfolio and footprints in the country. “We aim to have sales of $1 billion in the next five years. Additionally, we are going to introduce a line of premium speaker range followed by air-purifiers and TV panels by the end of this year,” adds Mehta.
On the expansion plans, Mehta told Business Today that the company is expanding its product portfolio with the upcoming launch of home audio range and a few other products such as air purifiers, TV, etc. Aiwa will also spread its retail footprints with an offline network of 1,000 stores across India including Reliance Digital & Jio stores. The company will use a mix of online and offline channels as it will help them in maintaining an optimum balance between both the channels. Business Today