THE NEW NORMAL- NEW MARKET TRENDS

 COVID-19 has drastically changed the  buying pattern of consumers almost in all sectors. As more and more people work from home these days, they avoid venturing out into marketplaces because of the growing number of infections, hence more and more people are buying products online. Although this pandemic has become a bane for many sectors like the automobile, hospitality sector, etc., but for sectors like Consumer goods, Digital services, Ed-Tech, etc., this has been proving to be a boon resulting in increasing consumer demand, growing sales figure and increasing customer acquisition and many other parameters. I have highlighted  a few sectors where sales have been growing for the last few months and is also expected to continue trending upward in coming days.

 

Immunity Boosters

As the Unlock has started and people are gradually stepping out of their homes, households are trying to boost their health and immunity. Sales of Ayurveda products have skyrocketed during the lockdown. Companies like Dabur India Ltd. and The Himalayan Drug Company are witnessing rising demand for traditional products like Chyawanprash and Honey. Dabur Chyawanprash sales surged to 700% in the initial 3 months of lockdown (Apr to June) and the sales of honey rose close to 40%. The company is expecting the sales trend will continue to rise during the upcoming months as well. It has already launched a slew of immunity boosters such as Tulsi Drops, Giloy-Neem-Tulsi juice, and an immunity kit. More innovations are in the pipeline in view of the shift in consumer preference. The Haridwar based Patanjali Ayurvedic Company, One of the major ayurvedic companies in India, also reported a surge of 6% in YoY revenue and a nearly 40% increase in YoY profit.

 

Electrical Appliances 

Demand for large appliances in DIY (Do-It-Yourself) category has increased dramatically during this lockdown. As per economic times, sales of dishwashers have seen the highest jump at 500% growth compared to June 2019. Similarly, cloth dryers grew by 100%. This can be attributed to the reason of the absence of domestic help and other services in many big cities, people are doing things by themselves and experiencing the pain points, hence understanding the importance of these products. Philips India has recorded a surge of 60-70% in sales of its grooming products both for man and woman as the number of salons and spa-goers has reduced during this lockdown. Also, the demand for appliances like Vacuum cleaners, Big Screen TVs, Fridge and Refrigerators, Washing machines has increased for many electrical appliances companies. There also cases where because of sales surge, companies like Panasonic, Dyson, BSH Home appliances etc. are facing sold-out issues.

 

Packaged Goods

 

Sales of packaged foods have surged since March, as home-bound consumers stockpile familiar products that won’t go stale quickly. Breakfast cereals, instant noodles, rice, and cooking fats are among the products experiencing the strongest growth. The 82-year-old Parle-G recorded its highest sales figure during these lockdowns. Parle Agro Pvt. Ltd., the producer of Parle-G, has claimed a sales surge of 80-90% and a 5% increase in overall market share. This can be attributed to the reason that Governments and many NGOs distributed this product among poor and needy people. Other FMCG majors like Britannia, Nestle, etc. have seen a surge in sales and are expected to continue this growing trend even in post lockdown situation.

 

These are some of the sectors which are witnessing impressive figures in terms of sales revenue and profit.