Consumers are willing to splurge once again on a range of products. This is just what the doctor ordered for the Indian economy.
It’s a hot Tuesday afternoon at Anant Honda, the largest dealer of Honda motorcycles in Gujarat’s Anand district. Yet, the showroom is abuzz. Salesperson Karan Shah says the beeline of customers for test rides hasn’t abated since the Central government announced a new pay scale for its employees. After a 20 per cent dip in sales last year, this year’s festive sales may hit a new record. “I have sold 30 bikes to government employees in the past one month, which has never happened earlier,” says Shah. The Seventh Pay Commission recommendations raised the basic salary of four million government employees and six million retired employees by 2.57 times. And One Rank, One Pension directly benefits 1.8 million ex-servicemen. Shah says Honda’s attractive ₹2,000 discount (3-5 per cent) scheme for government employees was the game-changer. Clearly,with the additional salary disbursement starting to take place, the feel-good sentiment has set in.
In West Bengal, Durga Puja sales have just concluded. Most retailers claim significantly higher sales than last year. According to Vasanth Kumar, Executive Director, Max Fashion Retail, like- to-like growth this year across its stores in West Bengal and Kerala (which recently celebrated Onam) have increased by 30 per cent, compared to 16 per cent last year. Anirudh Dhoot, Director, Videocon Industries, says that sales from Durga Puja and Onam grew by 15 per cent: “By Diwali, I expect 25-30 per cent jump in sales.” Videocon’s festival sales last year grew barely 10 per cent.
This story is from the November 06, 2016 edition of Business Today.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the November 06, 2016 edition of Business Today.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 8,500+ magazines and newspapers.
Already a subscriber? Sign In
Picking Up The Paytm Pieces
Paytm Founder Vijay Shekhar Sharma Is Back In The Trenches After Rbi's Recent Action Left Him Without A Banking Platform. There Are Still Some Opportunities, But He Will Have To Move Swiftly To Grab Them
PMS Vs MF The Big Fight
How do mutual funds and portfolio management services match up? Know the score on structure, rules, entry fees, charges, and tax perks to pick the right path for your financial journey
Four Levers Of Enterprise AI Strategy
Wide-scale private sector AI deployment and new AI-based business opportunities and ecosystems can truly supercharge the Indian economy
"Don't let a unique chance slip by"
JEFF MAGGIONCALDA | CHIEF EXECUTIVE OFFICER | COURSERA
THE INCOMING DISRUPTION
The disruption in the industrial sector is still unknown, but inevitable. Companies need to wake up
THE WHEEL WHISPERER
For Manan Shah, Managing Director of MICL Group, luxury cars are not about showcasing one's wealth or status. It is about personal well-being
TRIPPING WITH TECH
A road trip is an adventure like no other. While you take in the experience, get some peace of mind with these nifty gadgets
Transforming Spaces
WHETHER YOU WANT TO REDECORATE YOUR BEDROOM OR HALLWAY, A GORGEOUS WALLPAPER ADDS FLAIR TO YOUR HOME AND ALLOWS YOU TO STAMP YOUR STYLE IN YOUR NEW ABODE
ALPHATALE
MONEY MANAGERS TO THE AFFLUENT DELIVERED ROBUST RETURNS TO INVESTORS IN THE PAST YEAR, THANKS TO THE BUOYANCY IN THE MARKETS. BUSINESS TODAY DECODES THEIR STRATEGY
"THE ALTERNATIVES SPACE CAN GROW 3X IN FIVE YEARS"
Vikaas M. Sachdeva, MD of Sundaram Alternates, talks about where India's alternative investment industry is headed