In a tale of two markets, the festive season brought diverging outcomes for apparel and consumer durables, with the former witnessing a mixed bag, while the latter enjoyed positive growth. Apparel sales were characterized by a contrasting performance, with Tier-2 and -3 cities stealing the limelight, outpacing metros over the past 18-20 months. Brands such as Pepe Jeans reported a significant increase in value sales, with volume sales showing a similar trend.
Manish Kapoor, the Managing Director and CEO of Pepe Jeans revealed that the recent weeks had proven fruitful for the brand, presenting a 13% surge in value sales. This growth was fueled by the rising demand and premiumization in Tier-2 and -3 cities, which continued even after the festive period.
In the men’s apparel segment, the festive fervor picked up momentum post-Diwali, as cities experiencing cooler temperatures observed increased sales. Celio, a renowned men’s wear brand, reported robust growth post-festival season, especially in markets where the climate had become more favorable.
Satyen Momaya, CEO of Celio India, acknowledged that while some regions like the north and west (except Gujarat) faced slower sales, the south and east markets performed exceptionally well during Diwali.
Meanwhile, the consumer durables sector showcased a promising trajectory, with sales growth surpassing expectations. The Consumer Electronics and Appliances Manufacturers Association (CEAMA) reported a 20% growth rate during the festival season. The mid to premium product segments experienced higher demand, contributing to this growth.
Eric Braganza, President of CEAMA, highlighted the positive impact of the Cricket World Cup on television sales, along with the robust performance of the mid and premium segments. Daikin India, a leading player in the consumer durables market, also reported sales exceeding expectations, citing recovery from a sluggish start earlier in the year.
Television and refrigerator categories, however, demonstrated relatively weaker sales, with Vijay Sales, a prominent consumer durables retailer, recording single-digit growth in these segments. On the other hand, air conditioners, mobile phones, and laptops witnessed a surge in demand, boosting overall sales by 15% compared to the previous festival season.
Nilesh Gupta, MD of Vijay Sales, acknowledged the dominance of digital items while noting moderate sales for washing machines during the festive season.
