Godrej Appliances is expanding into the small kitchen appliance sector with a line of stores by 2021-22.
“This new channel will help us in our kitchen appliances foray. However, it is still some time away and we expect the launch around 2021-22,” the company’s business head Kamal Nandi said, according to an ET report.
With the company clocking in its sales at 4000 crores in 2018-19, it is expecting to achieve a target of 5300-5400 crores for FY 2020-21. The air cooler category is now turning into organized trade like air conditioners, and it is estimated that an organised air-cooler market is around Rs 3,000 crore while the unorganized one is worth about Rs 3,500 crore.
“A lot of consumers have downgraded to air coolers from air conditioners with the starting price of air conditioners shooting up by Rs 5,000 in the last few years due to tightening of energy norms. The air cooler category has the potential to grow at 20% plus,” said Nandi.
“The penetration of air coolers is at 19-20%. It may be a highly cluttered category with lot of AC brands entering into it, but the potential is huge,” he said.