Many of us must have enjoyed heavy discounts on electronics and home appliances during Dussehra and Diwali, but those who have not, hurry to grab your new TV or a refrigerator before it becomes expensive. As per the sources, many electronics and home appliances companies such as Haier, Panasonic and Godrej are going to raise the prices of their electronic appliances by 5 to 7% in the coming month. These companies gave lucrative discounts on their various products during the festive season, which started from Onam and lasted until Diwali.
With decreasing Rupee value and hike in customs duty, it is getting difficult for these companies to cover the production cost. So, they have decided to increase the price of their products. Indian market is price sensitive and people tend to buy extensively during the festive seasons. Hence, the companies waited for the festive season to get over. The companies tried to absorb much of their input costs during this period so that the consumers can enjoy the discounts. However, with the tight market situation now, it has become difficult for them to give the products at the existing prices.
Panasonic India President and CEO, Manish Sharma, Haier India President, Eric Braganza and Godrej Appliances Business Head and Executive Vice President, Kamal Nandi have already confirmed the hike in prices of their products in a coming month. However, as per the reports, Sony India seems to be not interested in increasing the price.
The hike in price in the electronics and home appliances sector probably will further affect the market. As per the reports of Consumer Electronics and Appliances Manufacturers Association (CEAMA), there was a decrease in the sales volume of TV and washing machine and almost no growth in refrigerator sector in the first half of the financial year. Looking at the current devaluation of rupee and after-effects of heavy discounts, the situation seems to be not so favourable for the consumers.