Lakshmi Agencies, Guntakal
Brands Retailed: LG, Intex, and Panasonic
Annual Turnover (2016-17): Rupee; 4 crore
Projected Turnover (2016-17): Rupee; 20 percent
We face tough competition from modern trade and family chain stores, such as Croma and Vijay Sales. Such stores offer a wide range of products under one roof, whereas we market a limited number of brands. There has been a drop in sales due to unhealthy competition from online retailers as well. Price gap between online and offline retail should be decreased. Increase in price of components will further affect our sales.
Tarang Appliances Pvt. Ltd., Guwahati
Brands Retailed: LG, Samsung, and Sony
Annual turnover (2016-17): Rupee; 5.5 crore
Projected Growth (2017-18): Rupee; 6 crore
Competition exists in the market, but e-commerce does not affect our profitability. Overall, dealers are losing consumers in their respective regions as e-commerce markets dead stock at low prices. In order to overcome the tough market situation, we are resorting to various marketing strategies, for example, we have presence on social media through which we share special offers and discounts are offered to attract consumers. LED TVs contributed the maximum to our revenue in festive season sales this year.
Bhardwaj Gallery, Ghaziabad
Brands Retailed: LG and Voltas
Annual turnover (2016–2017): Rs. 36 crore
Projected Growth (2017-18): Rupee; 33 percent
Retail outlets in our neighborhood do not threaten our position in the region mainly owing to years of goodwill among our consumer base. We ensure that we offer latest models and best deals round the year. We also send updates on offers to consumers through mass messaging services. However, online marketing is hampering our growth as it has attracted those consumers who are price sensitive. But in case of large appliances we do not feel the heat. LED TVs held 65 percent share in the festive season turnover this year.
Sai Krishna Agencies, Nellore
Brands Retailed: Intex, LG, and Panasonic
Water Heaters Sales (2015-16): Rs. 27 crore
Annual turnover (2016–2017): Rs. 30 crore
With e-commerce players mushrooming in the market, we anticipate slow growth. Though they market outdated stock with heavy discounts but it does not bother price sensitive consumers. Footfall in the store has been on the decline since July 2017. Today’s consumer looks for convenience in shopping, which is why we are planning to expand our store in the next financial year and market more brands with the idea of providing a one-stop solution.
City Sales, Ahmedabad
Girdhari Lal Agrawal
Brands Retailed: Videocon, LG, Samsung, Panasonic, and Onida
Water Heaters Sales (2015-16): Rs. 2 crore
Annual turnover (2016–2017): Rs. 15 percent
Online and multibrand retailers are affecting our business. In order to gain our position back in the market, we have tied up with Bajaj Finance for tapping the price sensitivity factor. We are active on social media as well. Manufacturers and the government should together create an ecosystem for the electronics industry, which is favorable for the brick-and-mortar dealer fraternity across India. We do not mind healthy competition.
Asian Electronics, Hyderabad
Brands Retailed: Blue Star, Hitachi, Haier, LG, and Voltas
Our business is experiencing a 25–30 percent decline in sales since demonetization and GST were implemented by the government. We anticipated reasonable increase in sales during the festive season, but this year Diwali was at an all-time low. Small dealers like us are getting no support from manufacturers. They usually favor multibrand and brand-exclusive stores.