CHENNAI: Indian consumers continue to be positive on outlook for their financial prospects for the second year running. According to global financial services major Credit Suisse, India tops the charts in its annual Emerging Consumer Scorecard for 2016.
Ranked according to current and future personal finances, inflation expectations and willingness to make major purchases, the scorecard has India in first rank, followed by China, Saudi Arabia, Indonesia, Turkey, Mexico, Brazil, South Africa and Russia.
India’s position at the top has come due to a higher than average positive outlook on current and future finances and relatively lower inflation expectations. “While there may have been a degree of disappointment in follow-through in terms of policy after the election of the new government, relative strengths still stand out in the emerging world, particularly where income is concerned,” said the survey.
India is also expected to perform better than its peers because of low penetration in many consumer categories, like smartphones(20%). The number is expected to double in the next five years.
Indian consumers stand out among global peers with higher confidence about personal financesRelatively lower inflation expectations Overall consumer sentiment in India has moderated
Kochi: The Fast Moving Consumer Goods (FMCG) segment has witnessed a flat demand during the January to March quarter of 2015-16 with net sales growth of 4.2% and net profit growth of 7.6% y-o-y. Going forward, the onset of monsoon would determine the direction of the industry. While rural demand continues to remain a drag, urban demand growth too has been below par.
“Two successive droughts, lower minimum support prices and flat growth in rural wages have resulted in rural growth falling in previous quarters. While all early indicators point to a favourable monsoon, clarity would emerge in the coming months,” according to Sameer Deshmukh, research analyst at Reliance Securities.
“A normal monsoon will be the most important factor in revival in rural demand,” Deshmukh said.
According to a the research by Reliance Securities, the new pictorial warnings on cigarettes, covering 85 per cent of pack size, would certainly have some impact on the consumers.
Patanjali products continue their dream run and the company reportedly doubled its revenues to `5,000 crore in 2015-16.
No change in demand situation in both rural and urban areas in Q4FY16 Rural demand continues to remain a drag Urban demand growth below par Early indicators point to favourable monsoon