Booming Consumer Electronics Market in India

India has an increasingly affluent middle class population that, on the back of rapid economic growth, has made the country’s consumer electronics industry highly dynamic. The industry has been witnessing significant growth in recent years due to several factors, such as retail boom, growing disposable income and availability of easy finance schemes. But still, the consumer electronics goods, like refrigerators, microwave and washing machines, have low penetration in the country, representing vast room for future growth. This is attracting many foreign majors to the country, says our new research ""Booming Consumer Electronics Market in India”.

The report finds that since the penetration of several products like TVs and refrigerators are reaching saturation in the urban areas, the markets for these products are shifting to the semi-urban and rural areas.

This analytical research thoroughly evaluates the Indian consumer electronics industry. It briefly discusses about the current and emerging trends in the industry, underlining the future potential areas and key issues crucial for the industry development.

""Booming Consumer Electronics Market in India” offers extensive research on various consumer electronics products that are broadly classified as home appliances, audio/video appliances, mobile handsets, and PC market. It provides an insight into the emerging and potential future trend in all the categories and highlights the key strategies that need to be worked upon to get success in the highly competitive industry.

The report thoroughly analyzes the historic performance and future prospects, offering 4-year industry forecast, of following consumer electronics products:

• Washing Machines (Semi-automatic & Fully Automatic)
• Television
• Set-top Box
• Refrigerator (Frost-free & Direct Cool)
• Air Conditioner
• Microwave Oven
• MP3 Players
• Digital Camera & Camcorder
• Mobile Handsets
• PCs (Desktop & Notebook)

• Propelled by growing middle class population, changing lifestyle and rapid urbanization, the Indian consumer electronics industry is forecasted to grow at a rapid rate of 10% to 12% in the coming few years.
• Volume sales of washing machine will be driven by growth in fully automatic category during 2008-09 to 2011-12.
• The market for televisions in India is changing rapidly from the conventional CRT technology to Flat Panel Display Televisions (FPTV). Currently, the split between CRT and FPTV is around 97% and 3% respectively, and the share of FPTV is projected to increase at robust rate in near future.
• Frost-free refrigerator sales, certainly growing at a much faster pace than the direct-cool category, are anticipated to drive the Indian refrigerators market over the forecast period.
• The AC market in India is projected to grow at 30% to 35% for the coming few years.
• Driven by young population, demand for MP3 players and digital video appliances are anticipated to surge at double-digit rate in near future.
• The low penetration level of consumer electronics goods coupled with increasing preference for comfort and luxurious goods are widely attracting the foreign as well as domestic players to the industry.

1. Analyst View

2. Research Methodology

3. Industry Snapshot

4. Macroeconomic View

4.1 Economy

4.2 Demographics

4.3 Wealth Distribution

4.4 Private Consumption

4.5 Interest Rates & Inflation

5. Industry Trends

5.1 Structural Shift in Retailing

5.2 Young Energetic Consumers

5.3 Declining Prices

5.4 Increasing Customization

5.5 Growing Awareness

5.6 Seasonal Sales

5.7 Expanding Distribution Facilities

5.8 Easy Financing Schemes

5.9 Rural India: The Next Stop for Growth

6. Strategies to Tap the Industry

6.1 Products to Suit Indian Taste

6.2 Niche Segments

6.3 Brand vs Price

6.4 Selecting the Right Advertising Media

6.5 Opening of New Retail Channels

6.6 Investment in New Technologies

7. Industry Development & Forecast to 2012

7.1 Home Appliances

7.1.1 Washing Machine

7.1.1.1 Semi-automatic

7.1.1.2 Fully Automatic

7.1.2 Television

7.1.3 Set-top Box

7.1.4 Refrigerator

7.1.5 Air Conditioner

7.1.6 Microwave Oven

7.2 Audio/Video Appliances

7.2.1 MP3 Player

7.2.2 DVD Player

7.2.3 Digital Camera

7.2.4 Digital Camcorder

7.3 Mobile Handset

7.3.1 GSM

7.3.2 CDMA

7.3.3 Emerging 3G Market

7.3.4 Recent Trends & Developments

7.4 PC Market

7.4.1 Desktop

7.4.2 Notebook

7.4.3 Servers

7.4.4 Printers

7.5 Game Console

8. Indian Consumer Behavior - An Analysis

9. Potential Growth Areas

9.1 Semiconductor Industry

9.2 Advertising Industry

9.3 Manufacturing Hub

9.4 R&D Centers

9.5 Networking Products

9.6 Accessories Market

9.7 Customized Support Centers

9.8 Replacement Market

10. Areas that Need to be Addressed

10.1 Infrastructure

10.2 Distribution Channels

10.3 Geographic Diversity

10.4 Offering True Value for Money

11. Key Players Analysis

11.1 Whirlpool India Ltd.

11.2 Samsung India Electronics Pvt. Ltd

11.3 Videocon Industries Ltd.

11.4 LG Electronics India Pvt. Ltd

11.5 Sony India Pvt. Ltd

List of Figures:

Figure 4-1: India - Real GDP Growth Rate (%), 2003-04 to 2007-08

Figure 4-2: India - Unemployment Rate (%) 2001 & 2008E

Figure 4-3: India - Personal Disposable Income (in Billion US$), 2002-03 to 2007-08E

Figure 4-4: India - Per Head Personal Disposable Income (in US$), 2002-03 to 2007-08E

Figure 4-5: India - Population (in Billion), 2001-2007E

Figure 4-6: India - Population by Gender (%), 2007E

Figure 4-7: India - Median Household Income (in US$), 2002-2007E

Figure 4-8: India - Private Final Consumption Expenditure (in Rs Crore), 2001-02 to 2007-08E

Figure 7-1: India - Washing Machine Market (in Million Units), 2006-07 & 2007-08

Figure 7-2: India - Washing Machine Market by Category (%), 2007-08

Figure 7-3: India - Washing Machine Market by Player (%), 2007-08

Figure 7-4: India - Forecast for Washing Machine Market (in Million Units), 2008-09 to 2011-12

Figure 7-5: India - Semi-automatic Washing Machine Market (in Million Units), 2006-07 & 2007-08

Figure 7-6: India - Semi-automatic Washing Machine Market by Category (%), 2007-08

Figure 7-7: India - Semi-automatic Washing Machine Market by Capacity (%), 2007-08

Figure 7-8: India - Semi-automatic Washing Machine Market by Player (%), 2007-08

Figure 7-9: India - Forecast for Semi-automatic Washing Machine Market (in Million Units), 2008-09 to 2011-12

Figure 7-10: India - Fully Automatic Washing Machine Market (in Million Units), 2006-07 & 2007-08

Figure 7-11: India - Fully Automatic Top Loading Washing Machine Market by Capacity (%), 2007-08

Figure 7-12: India - Fully Automatic Front Loading Washing Machine Market by Capacity (%), 2007-08

Figure 7-13: India - Fully Automatic Washing Machine Market by Player (%), 2007-08

Figure 7-14: India - Forecast for Fully Automatic Washing Machine Market (in Million Units), 2008-09 to 2011-12

Figure 7-15: India - Television Market (in Million Units), 2006 & 2007

Figure 7-16: India - Forecast for Television Market (in Million Units), 2008-2011

Figure 7-17: India - Flat Panel TV Market (in Lakh Units), 2006 & 2007

Figure 7-18: India - Forecast for Flat Panel TV Market (in Million Units), 2008-2011

Figure 7-19: India - LCD TV Market by Player (%), Jan to Apr 2008

Figure 7-20: India - Set-top Box Market (in Million Units), 2004-05 to 2007-08E

Figure 7-21: India - Forecast for Set-top Box Market (in Million Units), 2008-09 to 2011-12

Figure 7-22: India - Refrigerator Market (in Million Units), 2005-06 & 2007-08E

Figure 7-23: India - Refrigerator Market by Segment (%), 2007-08E

Figure 7-24: India - Forecast for Refrigerator Market (in Million Units), 2008-09 to 2011-12

Figure 7-25: India - Forecast for Refrigerator Market by Segment (%), 2011-12

Figure 7-26: India - AC Market (in Million Units), 2006-07 & 2007-08

Figure 7-27: India - AC Market by Customer Segment (%), 2006

Figure 7-28: India - AC Market by Region (%), 2007-08

Figure 7-29: India - Forecast for AC Market (in Million Units), 2008-09 to 2011-12

Figure 7-30: India - Microwave Oven Market (in Million Units), 2007 & 2008

Figure 7-31: India - Microwave Oven Market by Category (in ‘000 Units), 2007 & 2008

Figure 7-32: India - Forecast for Microwave Oven Market (in Million Units), 2009-2012

Figure 7-33: India - MP3 Player Market (in Lakh Units), 2006-07 & 2007-08

Figure 7-34: India - Forecast for MP3 Player Market (in Lakh Units), 2008-09 to 2011-12

Figure 7-35: India - DVD Player Installed Base (in Million Units), 2007E & 2010F

Figure 7-36: India - Digital Camera Market (in Lakh Units), 2005-06 & 2007-08

Figure 7-37: India - Forecast for Digital Camera Market (in Million Units), 2008-09 to 2011-12

Figure 7-38: India - Digital Camcorder Market (in ‘000 units), 2005-06 to 2007-08

Figure 7-39: India - Forecast for Digital Camcorder Market (in ‘000 units), 2008-09 to 2011-12

Figure 7-40: India - Handset Market (in Million Units), 2006-07 & 2007-08

Figure 7-41: India - Handset Market (in Crore Rs), 2006-07 & 2007-08

Figure 7-42: India - Forecast for Handset Market (in Million Units), 2008-09 to 2011-12

Figure 7-43: India - GSM Handset Market (in Million Units), 2006-07 & 2007-08

Figure 7-44: India - CDMA Handset Market (in Million Units), 2006-07 & 2007-08

Figure 7-45: India - PC Market (in Million Units), 2001-02 to 2007-08

Figure 7-46: India - PC Market by Region (%), 2007-08

Figure 7-47: India - Forecast for PC Market (in Million Units), 2008-09 to 2011-12

Figure 7-48: India - Desktop Market (in Million Units), 2001-02 to 2007-08

Figure 7-49: India - Desktop Market by Segment (%), 2007-08

Figure 7-50: India - Desktop Market by Establishment Segment (%), 2007-08

Figure 7-51: India - Forecast for Desktop Market (in Million Units), 2008-09 to 2011-12

Figure 7-52: India - Notebook Market (in Million Units), 2001-02 to 2007-08

Figure 7-53: India - Forecast for Notebook Market (in Million Units), 2008-09 to 2011-12

Figure 7-54: India - Server Market (in Units), 2001-02 to 2007-08

Figure 7-55: India - Printer Market (in ‘000 units), 2001-02 to 2006-07

Figure 7-56: India - Printer Market by Segment (in ‘000 units), 2001-02 to 2006-07

Figure 7-57: India - Video Gaming Console Market (in Million US$), 2006, 2008F & 2010F

Figure 9-1: India - Semiconductor Industry (in Billion US$), 2005, 2007 & 2015F

Figure 9-2: India - EMS Industry (in Billion US$), 2005 & 2010F

Figure 9-3: India - Modem Market (in Crore Rs), 2005-06 to 2007-08

Figure 9-4: India - Router Market (in Crore Rs), 2005-06 to 2007-08

List of Tables:

Table 4-1: India - Population by Age Group (in Million), 2003-2007E

Table 4-2: India - Number of Households by Income Bracket (in Million), 2002-03 to 2007-08E

Table 4-3: India - Private Final Consumption Expenditure by Item (in Rs Crore), 2001-02 to 2006-07E

Table 7-1: India - Top Mobile Phone Players by Revenue (in Crore Rs), 2006-07 & 2007-08

Table 7-2: Urban & Rural India - Current Handset Market Characteristics

Table 7-3: India - Server Factory Revenue (in Million US$), 2006 & 2007

Table 9-1: India - Modem Market by Top Players (in Crore Rs), 2006-07 & 2007-08

Table 9-2: India - Router Market by Top Players (in Crore Rs), 2006-07 & 2007-08