Mr. Parag Kulkarni, Senior Vice President – International and President, A. O. Smith India
The rise in demand for premium products, improving economy and positive consumer sentiments have provided an impetus for the consumer durable industry in 2023.The underlying need to improve living standards combined with the surge in the need for comfort in households, coupled with new construction have helped drive sales of consumer goods and spurred innovation in the market. Concerns about health and hygiene have risen over the past few years, which are likely to benefit manufacturers of products like water purifiers and water heaters. A. O. Smith grew higher than industry growth rate in both water heaters and water purifiers this year. Our focus on launching new age products and enhanced distribution, especially in the tier-2 and tier-3 cities, along with a 360-degree advertising campaign & strong focus on ecommerce channels led to strong growth for our organization.
People are upgrading to a more premium lifestyle and looking for products that combine technology, an ultra-modern look and cutting-edge features. These are the types of products that will continue to find traction in the market. We are anticipating good growth next year and expect premium products to continue leading demand as consumers seek out products that add value to their lifestyles. The long-term demand and consumption is likely to stay steady because of improving construction activity and strong demand in the housing sector, which we expect to continue in 2024. And at the heart of our success is our strong focus on innovation, which we continue to deliver to consumers to meet emerging consumer trends. With a large percentage of the population yet to completely embrace consumer durables, there is an opportunity in this untapped market. The consumer goods industry is constantly evolving and staying ahead of the latest product trends can help create innovative and successful products that resonate with consumers. Looking ahead to 2024, we are feeling very upbeat about what is ahead for our organization.
