Festive Season Boost: Appliance Prices Rise, But Sales Growth Expected

Appliance manufacturers in India have increased prices of air conditioners, TVs, and washing machines by 5-8% ahead of the festive season. This is the third round of price revisions this year, with companies citing higher costs of raw materials such as copper, aluminium, steel, and crude derivatives, along with rising freight expenses and currency fluctuations.

Despite the price hikes, manufacturers are optimistic about strong demand driving double-digit sales growth during the festive season. Consumers are increasingly opting for premium products, replacements, and easy financing, which is expected to support overall value growth. Haier Appliances India CEO N S Satish expects industry-wide growth of around 10-15% during the festive season.

Companies such as LG Electronics India and Sony India also expect strong demand during the festive period, with a focus on premium products, new launches, and consumer offers. Godrej Enterprises Group Appliances Division head Kamal Nandi said existing inventory could last for around one to one-and-a-half months, meaning some products may continue to be sold at old prices through Diwali before the higher prices fully take effect.