Maulesh Chhaya’s Post

From Motilal Oswal Learn to sell. Learn to build. If you can do both, you will be unstoppable." • Build: The ability to create value • Sell: The ability to communicate that value Doing both is an unbeatable combination -Naval Ravikant

It was Insightful discussion into the Indian consumer durable market, manufacturing landscape, and component manufacturing ecosystem. Our discussion was incredibly informative and has provided deeper understanding of the industry's current state and future prospects. I particularly appreciated your perspectives on the growth potential of the market, the challenges faced by manufacturers, and the importance of collaboration with partners to optimize supply chains and drive innovation. Thank you so much I look forward to continuing our conversation and exploring potential opportunities for collaboration.india Christian Aschenbrenner CEO PA Germany Hibtulla Bharmal CEO @cabalex connectivity india pvt ltd

🌟 A Promising First Half for the Air-Conditioning, Challange for H2 Consumer Durables Industry 🌟 Climate change brings challenges but also opens doors for new opportunities. The recent heatwaves across the country have significantly boosted the air-conditioning (AC) and consumer durables (CD) industries. **📈 Consumer Durables See Record Growth**   The ₹1.20 lakh crore CD industry, recovering post-COVID, has seen a remarkable 17% growth—the highest in recent years. Notably, 86% of this growth came from the AC sector, driven by the intense heatwaves. **🌡️ Air-Conditioning Leads the Charge**   The AC category saw a 37% growth, the highest in seven years. Demand outpaced supply, with over 50 brands, including channel stocks, selling out. The industry is on track to reach 15-16 million units this year. Market share shifts include:   - Voltas: 19% -> 17.4%   - LG: 15% -> 17.2%   - Lloyd: 8.8% -> 8.8%   - Daikin: 9.4% -> 9.5% **🤝 Opportunities for Tier 2-3 Brands**   There's a strategic opportunity for Tier 2-3 brands to differentiate with exceptional after-sales service, positioning them for the next growth phase. **🧊 Slower Growth in Refrigeration**   In contrast, the refrigeration industry grew by just 8%. Despite improved rural infrastructure and a hot summer, the lack of leadership and innovation from LG and Samsung, who are focusing on premium segments, slowed growth. **📉 Samsung's Challenges Across Categories**   Samsung is facing challenges across multiple categories, including TVs, refrigerators, washing machines, and mobile phones, with a -5% value growth in H1. **📊 Rising Stars in Refrigeration**   Brands like Whirlpool, Haier, and Lloyd are gaining market share, with Haier excelling in product, marketing, pricing, and after-sales service. **📉 Marketing Spend at a Low**   Industry-wide marketing spend is at a low, missing a crucial opportunity to drive consumer interest during peak summer. **🚀 Uncertain H2 Outlook**   The second half, driven by festivals, may face challenges due to rupee depreciation and supply chain issues leading to price increases. Without strong leadership from LG and Samsung, the CD industry could see single-digit growth in H2. **🤔 Will LG and Samsung regain momentum in H2?**   What are your thoughts on the growth prospects for the CD industry in the second half? Share your insights! #AirConditioning #ConsumerDurables #IndustryGrowth #MarketShare #Innovation #BusinessStrategy #LG #Samsung #Refrigeration #H2Outlook #Whirpool #Hair #Daikin #Lloyed #Godrej #IFB #Voltas #Bluestar #Mistubish #Hitachi

Yes, 🎉 Air Conditioning is a Growth Engine for the #ConsumerDurable Industry—With a 🎯 of Responsible Growth Before the beginning of the 2024 summer, I forecasted that the #airconditioning (AC) industry in India had the potential to grow by over 20%, considering the #GDP growth, infrastructure development, and #climatechange. As the season concludes, the #AC business has exceeded expectations, achieving a remarkable 35-40% growth. This could have reached 50% if not for disruptions in the import supply chain due to container shortages and vessel availability. Despite these challenges, brands have reported the highest-ever profits, exceeding 15%, and maintained the lowest inventory levels in the supply chain. Interestingly, this success came with reduced marketing expenses, as brands allocated stocks rather than pushing inventories to channel partners. This robust growth in the AC industry signals a significant expansion for the consumer durable industry, which is expected to see a 17-18% growth in the first half of FY 2024. However, other product categories such as #TVs, #washingmachines, #refrigerators have experienced modest growth of 5-7% in the same period. The improved penetration in the AC market is expected to reach 30 million units, with a 13% compound annual growth rate (CAGR) by 2030, considering this year's exceptional growth due to extreme climate conditions. However, with this growth comes a great responsibility. The refrigerants used in the cooling industry cause substantial environmental damage. The carbon footprint of using a 1.5-ton AC is 5.7 kg per day, resulting in approximately 957,600,000 kg of carbon emissions from this year's sales alone. Over the past decade,AC have generated around 6,840,000,000 kg of carbon emissions this year. To offset this #carbonfootprint, we would need to plant approximately 21.7 million trees annually, as one tree offsets 31.5 kg of carbon. It is imperative for the consumer durable industry to take responsibility for neutralizing this carbon footprint to protect future generations and low-income citizens, who are most affected by harsh #environmental conditions. As climate conditions worsen due to global #CO2emissions, we must create a sustainable business model that offsets environmental impacts. Brands should develop sustainable programs, such as 🌿warning labels about environmental impact when starting an AC. 🌿 Just as cigarettes carry health warnings, can we implement similar labels on AC products and remote controls? 🌿 remote displays could show the carbon footprint after using the AC. 🌿 The Government of India (GOI) could mandate tree planting to offset carbon emissions. What are your thoughts on how the consumer durable industry is currently addressing these environmental concerns, and what more can be done with the help of technology to make consumers more aware of their usage and impact? #LG #samsung #daikin #lloyed #hitachi #voltas #bluestar #ogeneral

Yes, 🎉 Air Conditioning is a Growth Engine for the #ConsumerDurable Industry—With a 🎯 of Responsible Growth Before the beginning of the 2024 summer, I forecasted that the #airconditioning (AC) industry in India had the potential to grow by over 20%, considering the #GDP growth, infrastructure development, and #climatechange. As the season concludes, the #AC business has exceeded expectations, achieving a remarkable 35-40% growth. This could have reached 50% if not for disruptions in the import supply chain due to container shortages and vessel availability. Despite these challenges, brands have reported the highest-ever profits, exceeding 15%, and maintained the lowest inventory levels in the supply chain. Interestingly, this success came with reduced marketing expenses, as brands allocated stocks rather than pushing inventories to channel partners. This robust growth in the AC industry signals a significant expansion for the consumer durable industry, which is expected to see a 17-18% growth in the first half of FY 2024. However, other product categories such as #TVs, #washingmachines, #refrigerators have experienced modest growth of 5-7% in the same period. The improved penetration in the AC market is expected to reach 30 million units, with a 13% compound annual growth rate (CAGR) by 2030, considering this year's exceptional growth due to extreme climate conditions. However, with this growth comes a great responsibility. The refrigerants used in the cooling industry cause substantial environmental damage. The carbon footprint of using a 1.5-ton AC is 5.7 kg per day, resulting in approximately 957,600,000 kg of carbon emissions from this year's sales alone. Over the past decade,AC have generated around 6,840,000,000 kg of carbon emissions this year. To offset this #carbonfootprint, we would need to plant approximately 21.7 million trees annually, as one tree offsets 31.5 kg of carbon. It is imperative for the consumer durable industry to take responsibility for neutralizing this carbon footprint to protect future generations and low-income citizens, who are most affected by harsh #environmental conditions. As climate conditions worsen due to global #CO2emissions, we must create a sustainable business model that offsets environmental impacts. Brands should develop sustainable programs, such as 🌿warning labels about environmental impact when starting an AC. 🌿 Just as cigarettes carry health warnings, can we implement similar labels on AC products and remote controls? 🌿 remote displays could show the carbon footprint after using the AC. 🌿 The Government of India (GOI) could mandate tree planting to offset carbon emissions. What are your thoughts on how the consumer durable industry is currently addressing these environmental concerns, and what more can be done with the help of technology to make consumers more aware of their usage and impact? #LG #samsung #daikin #lloyed #hitachi #voltas #bluestar #ogeneral