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Rediff.com  » Business » Winter is hot for apparel, food firms

Winter is hot for apparel, food firms

By Pradipta Mukherjee in Kolkata
November 23, 2006 11:52 IST
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If colas are for the summer, there are other categories patiently waiting to notch up sales during winter. These include apparels, foods and liquid detergents.

The branded menswear segment in the domestic garment sector is expected to notch up approximately 60 per cent of its annual sales during November 2006 to February 2007.

"At Raymond, 60 per cent sales come during the winter and 40 per cent during the summer," said Shreyas Joshi, president, Raymond group.

Higher sales value during the winter can be attributed to consumers' tendency to buy garments which have a higher margin.

For example, in summers, the purchase trend is mainly seen in cotton and linen garments which would typically be priced Rs 700 onwards.

During winters, heavy jackets and suits dominate sales, where prices start at Rs 4,000 level.

"In volume terms, S Kumars witnesses 60 per cent sales during winters," Tarun Joshi, communications custodian, S Kumars Nationwide, and CEO, Brandhouse Retails, says.

"Smaller towns register 30 per cent higher fabrics sales in winters than they would round the year. The spurt is triggered off by the waging wedding season during the winter months," Joshi pointed out.

In the liquid detergents category, almost 98 per cent of the sales is registered during winters.

"Liquid detergent is mainly used for washing woollen garments, and since people wear and wash woollens during winters, the sales of liquid detergents automatically go up," said Kumar Chander, vice-president -- marketing, Wipro Consumer Care and Lighting.

As much as 98 per cent of the total 'Safewash', Wipro's liquid detergent brand, is registered during winter months, November to February.

"More than 90 per cent of our total sales during the winter is clocked from North, East and parts of western India. South India contributes 10 per cent or less to our detergent turnover," Chander added.

Also, during November and February, sale of diapers and moisturising soaps go up by about 25 per cent at Wipro.

Likewise, at Emami, the Chawanprash brand clocks about 95 per cent of its sales during winters, if not more.

To push sales further, Emami launched the chocolate variant in Chawanprash this winter. Targeted at kids, chocolate Chawanprash is currently being test marketed in parts of Bengal and Delhi.

Most of the winter categories also line up discount offers and promotional campaigns during this period.

The rationale behind offering discounts during the winter is primarily to grab market share, said Chander.

"We have 10 per cent market share in liquid detergents when the total market is estimated at Rs 40 crore (Rs 400 million). Newer offers and promotional campaigns only ensure more visibility and automatically push sales," Chander added.

Agreed Aditya Agarwal, director of the Emami group. "Chawanprash is promoted as an essential winter product, so sales happen mainly during October and February. Promotions are, therefore, planned to further tempt consumers and make them feel they are getting value for money," Agarwal said.

As a promotional offer this winter, Wipro Consumer Care and Lighting has launched 'Buy 1 get 1 free' offer on `Safewash', the company's liquid detergent brand. The company has lined up offers on diapers too, where on purchase of every 5 diapers, 1 diaper is given free.

For moisturising soaps and white soaps, Wipro is offering 15 gm extra on purchase of every 100 gms of Santoor soaps.

Emami has also lined up special offers for the Sona Chandi Chawanprash variant where a discount of Rs 25 can be availed of on purchase of 1 kg of the product. Also, on purchase of 500 gm and 1 kg of the Sona Chandi variant, 50 and 100 gm, respectively, of Himani Royal Bee Honey would be offered free.

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Pradipta Mukherjee in Kolkata
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