Consumer electronics and car producers are gearing up for the festive season with elevated production, aiming to seize heightened demand. CEOs from numerous companies categorical optimism, anticipating a robust rebound in client curiosity, in accordance to an ET report. Improved provide chains are anticipated to enhance considerably, as final yr’s element shortages ease.
Notable car gamers like Maruti Suzuki, Hyundai, Tata, Toyota, and Mahindra & Mahindra (M&M) are already working their crops at full capability, a month forward of their normal schedule. This transfer is pushed by the anticipation of attaining outstanding festive gross sales, using on the improved provide situations.
The electronics sector is mirroring the sentiment. Brands and contract producers have mentioned they’ll attain most production capability for the festive season by early September. Unsold stock ranges for digital items, together with smartphones, televisions, fridges, and washing machines, have returned to normalcy, underpinning the optimism.
The surge in demand witnessed throughout July and August has prompted companies to scale up their manufacturing facility output. Kerala’s Onam gross sales have reported a promising 30% development within the car sector in contrast to the earlier yr, a development that units a optimistic tone for the festive season.
Shashank Srivastava, Maruti Suzuki’s Senior Executive Officer for Marketing and Sales, emphasised that semiconductor shortages, which had been a serious bottleneck, have eased, permitting the corporate to improve production and tackle ready durations for fashionable fashions corresponding to Jimny, XL6, Fronx, Brezza, Ertiga. The firm has pending orders for as many as 342,000 automobiles, the report mentioned.
The festive season which kicks off with Onam, gathers momentum via Diwali, extending from late August to mid-November. This is adopted by the vacation season encompassing Christmas and New Year.
Festive season order books are rising for televisions and washing machines, whereas smartphones exhibit robust potential, and wearables are experiencing “real high”, shares Atul Lall, Managing Director of Dixon Technologies, a number one electronics contract producer in India. Lall expects excessive double-digit development in festive season orders over final yr.
CEOs are optimistic about this yr’s festive season, anticipating an uptick in demand, significantly for entry-level merchandise.
July noticed a considerable 18.4% enhance in passenger automobile production to 393,094 items, While Maruti Suzuki noticed a 37% surge, M&M and Hyundai additionally reported production hikes of 15% and three%, respectively.
A senior government from M&M mentioned that efforts are underway to reduce ready durations and expedite deliveries in the course of the festive season. Fresh bookings stay robust, which provides to the prevailing backlog, the chief mentioned.
In the electronics sector, companies had resorted to production cuts in June-July due to extreme unsold stock. However, gross sales have displayed a sequential enchancment since July.
Kamal Nandi, Head of Godrej Appliances enterprise, reveals a development of 18-20% in August gross sales in contrast to the earlier yr, pushed by robust Independence Day gross sales. Trade stock ranges have decreased, prompting a shift to full production capability from the earlier 70%.
While smartphone gross sales have been on an upward trajectory since July, manufacturers are being cautious about production, as identified by Tarun Pathak, Research Director at Counterpoint. He expects Apple, Samsung, and OnePlus to bolster their premium portfolios by 15-20%, aligning with the buoyant demand on this section.
Car producers undertaking promoting over 1,000,000 automobiles this yr, surpassing the 2022 determine of 892,000 items.
Major car producers keep robust production schedules, though a couple of challenges stemming from decreased demand have surfaced. Gaurav Vangaal, Associate Director of Light Vehicle Production Forecasting at S&P Global Mobility India, observes the business’s continued optimism, backed by reductions and escalated production.
Auto sellers are anticipating an excellent Diwali. Nikunj Sanghi, Managing Director at JS Fourwheel Motors and former president of the Federation of Automobile Dealers Association, foresees a record-breaking festive season if producers successfully handle inventories and cater to demand by ramping up provides.
Notable car gamers like Maruti Suzuki, Hyundai, Tata, Toyota, and Mahindra & Mahindra (M&M) are already working their crops at full capability, a month forward of their normal schedule. This transfer is pushed by the anticipation of attaining outstanding festive gross sales, using on the improved provide situations.
The electronics sector is mirroring the sentiment. Brands and contract producers have mentioned they’ll attain most production capability for the festive season by early September. Unsold stock ranges for digital items, together with smartphones, televisions, fridges, and washing machines, have returned to normalcy, underpinning the optimism.
The surge in demand witnessed throughout July and August has prompted companies to scale up their manufacturing facility output. Kerala’s Onam gross sales have reported a promising 30% development within the car sector in contrast to the earlier yr, a development that units a optimistic tone for the festive season.
Shashank Srivastava, Maruti Suzuki’s Senior Executive Officer for Marketing and Sales, emphasised that semiconductor shortages, which had been a serious bottleneck, have eased, permitting the corporate to improve production and tackle ready durations for fashionable fashions corresponding to Jimny, XL6, Fronx, Brezza, Ertiga. The firm has pending orders for as many as 342,000 automobiles, the report mentioned.
The festive season which kicks off with Onam, gathers momentum via Diwali, extending from late August to mid-November. This is adopted by the vacation season encompassing Christmas and New Year.
Festive season order books are rising for televisions and washing machines, whereas smartphones exhibit robust potential, and wearables are experiencing “real high”, shares Atul Lall, Managing Director of Dixon Technologies, a number one electronics contract producer in India. Lall expects excessive double-digit development in festive season orders over final yr.
CEOs are optimistic about this yr’s festive season, anticipating an uptick in demand, significantly for entry-level merchandise.
July noticed a considerable 18.4% enhance in passenger automobile production to 393,094 items, While Maruti Suzuki noticed a 37% surge, M&M and Hyundai additionally reported production hikes of 15% and three%, respectively.
A senior government from M&M mentioned that efforts are underway to reduce ready durations and expedite deliveries in the course of the festive season. Fresh bookings stay robust, which provides to the prevailing backlog, the chief mentioned.
In the electronics sector, companies had resorted to production cuts in June-July due to extreme unsold stock. However, gross sales have displayed a sequential enchancment since July.
Kamal Nandi, Head of Godrej Appliances enterprise, reveals a development of 18-20% in August gross sales in contrast to the earlier yr, pushed by robust Independence Day gross sales. Trade stock ranges have decreased, prompting a shift to full production capability from the earlier 70%.
While smartphone gross sales have been on an upward trajectory since July, manufacturers are being cautious about production, as identified by Tarun Pathak, Research Director at Counterpoint. He expects Apple, Samsung, and OnePlus to bolster their premium portfolios by 15-20%, aligning with the buoyant demand on this section.
Car producers undertaking promoting over 1,000,000 automobiles this yr, surpassing the 2022 determine of 892,000 items.
Major car producers keep robust production schedules, though a couple of challenges stemming from decreased demand have surfaced. Gaurav Vangaal, Associate Director of Light Vehicle Production Forecasting at S&P Global Mobility India, observes the business’s continued optimism, backed by reductions and escalated production.
Auto sellers are anticipating an excellent Diwali. Nikunj Sanghi, Managing Director at JS Fourwheel Motors and former president of the Federation of Automobile Dealers Association, foresees a record-breaking festive season if producers successfully handle inventories and cater to demand by ramping up provides.
