Just imagine how man used to survive without all the comforts of life! Modern day times have changed and how! Today, man is never pestered about anything. All he has to do is click a button and he gets everything he needs. House ware products are also a small part of that wide range of products, without which a modern home is incomplete and today, man cannot survive without all his advanced needs. Indeed, house ware products have made our life comfortable and easier than ever before. Moreover, they have also cut down the time considerably, something that we would normally require in domestic chores. Over the years, there has been a sharp increase in demand of house ware products because of a no. of factors such as rising income levels, no. of double income families, changing lifestyles, availability of credit, increasing awareness, technological advancements, etc.
House wonders
The house ware products of today are little or no where similar to their counterparts from even a few decades ago. Electronics is now a part and parcel of every function of modern day house ware products to power the host of new features that consumers expect. Today, in almost every appliance, we come to see microcontrollers and sensors incorporated in the design, which aid in keeping up with the demands for constant improvements in reliability, cost and energy efficiency.
House ware products can be segmented into 2 types: - The white goods are the bigger items like the microwave oven, washing machines etc., whereas the other type is the brown goods, which includes smaller items such as juicers, hand blenders and the rest of the kitchen appliances. Multi-versatile house ware that function as bake ware, serve ware and dinner ware is becoming increasingly popular as the casual entertaining trend continues. Amongst the many home appliances, juicers and hand blenders are seen to be the most popular for corporate gifting as they are seen to be used a lot these days in corporate offices. Durability and multi-functional products are more in demand in the corporate segment.
Juicers, hand blenders and other kitchen appliances can be easily gift wrapped and are easier for customisation as well. Also, some of the most user-friendly appliances are due to hit the market this year. Corporates always look forward to something innovative as well as of utility value to bestow upon their clients. Orbit Electrodomestics (India) Pvt. Ltd. has launched one such product, which is the induction cooker. The induction cooker is largely environment friendly and boasts of features such as safe & fast cooking, easy cleaning and has strong firepower.
Pharmaceutical, automobile and electronic companies are likely to enjoy these new products, especially since house ware products are demanded majorly by those 2 sectors.
Industry overview
India's image in the world, more so in Europe is that of a high class supplier of house ware products. The industry is sitting pretty with 60% of the market being organised. Moreover, we still have to depend on China when it comes to infrastructure and that is a big issue concerning the industry. Also, the industry is constantly being attacked by China and the grey market is constantly hampering its progress further.
Some top domestic players have dominated the market with a flurry of some of the high quality house ware products and are also expected to further consolidate their respective positions. Orbit Electrodomestics (India) Pvt. Ltd. is one amongst the top players in the market. Their presence in 14 states of the country has undoubtedly been a major factor in the house ware sector. The company is also adding to a lot of items, which it is targeting locally to towns and cities.
Production cost in Europe is rising by the day and that has meant that a majority of the European manufacturers are now looking to source home appliances such as pans, trays, cutlery, kitchen tools, mixing bowls, and various other house ware items made up of stainless steel, copper, brass, aluminum, etc. from India. Quality consciousness has led to an aura of proven caliber and efficiency and that has meant that the Indian manufacturers are now evolving by the day as they are into the continuous process of developing new designs and products for meeting the ever changing global demands. Amongst the types of houseware products, stainless steel products are in great demand. Stainless steel production in India is rapidly growing every year. Today, almost 75% of the end use market of stainless steel is still in the kitchen segment. Already the Indian stainless steel house ware sector today is producing more 5.5 lakh tones of various kinds of products, of which nearly 20% is being exported annually. In terms of market coverage, North and South America account for 30% of total exports followed by Asia (25%), Europe (20%) and Africa (20%). The companies with the low-cost labour available are rolling out new products every 6-8 months. Thus, the Indian manufacturers are giving their International counterparts a run for their money with factors such as cost-effective production techniques, availability of highly skilled workforce and a steady supply of raw materials working to their advantage. Moreover, the ability to accept smaller orders and a wide range of products also adds to the advantage of Indian manufacturers. Fiscal policies introduced by the Government have also led to reduction of import duties on consumer durables and that has also given a huge boost to the house ware sector.
The period between Diwali and New Year has been observed to be the most favourable for house ware products with respect to corporate gifting. On the other hand, the period between February and March is mostly stagnant. Moreover, the mall culture has also influenced the house ware sector as it has given manufacturers and suppliers more opportunities to showcase their products. Moreover, the biggest drawback of the mall culture has been the setback that it has given to local dealers. Malls negotiate in quantity and hence that creates a massive dent in the business of local dealers. With an expected increase of up to 100% in the year 2009-10 and with a no. of new brands also likely to be launched in India, the house ware industry is certainly expected to be on the upward curve. India, thus boasts of a very strong house ware sector.
With the standard of living going up by more than a few notches and the perceived value increasing, the house ware sector is likely to be pushed up with growth only inevitable.
