The Indian Markets and

The Marketing
Practices

1991

Trends

Status Now

Refrigerator production increased

Size of refrigerator market is around 9
from 0.6 million in 1986 to 1 million by million units annually2016. The
1991.
refrigerator market has been growing
at a rate of about 15% per year
50% people below subsistence level
beyond 2000

22% are below poverty line2015

Per capita consumption of soft

drinks =3 bottles/person

Per capita consumption of soft drinks =

4.72 liters per person

Projected demand for detergents by

2000 = 2.55 million tons

Total Volume of detergents (production)

= 1.9 Million tons2013

Total of 35 million TV sets were

present around 1991.

15.5 million TV sets were sold in the

year 2015 alone. LCD & LED TV sets
have grown 28% YoY in the last five
years2015

Sources: ibef, Wikipedia, Nielsen, indianmirror.com, business standard

Trends
1991

Status Now

Food Processing industry

Size of the industry in India US$50
million
Exports -70 crores
Expected annual growth not more
than 15%

Size of industry- US$ 39.7 billion

Exports- US$ 16.2 billion
During 2011-16, CAGR 11.74%

Simple methods of market

segmentation; It was recognized that
there is a simple hierarchy of needs

Newly devised Lifestyle segmentation

for market study based on the same
concept of hierarchy of needs

Entertainment and Media industry

The only monopolistic situations
present are Radio and TV ownership by
government

Large conglomerates covering all

areas of the E&M industry
Digitisation of the cable distribution
sector
FDI limit for DTH satellite and digital
cable network was raised from 74
per cent to 100 per cent by the
government
Sources: ibef, kpmg 2016, MIB, TRAI Research

Trends

Consumer Markets with

expected Fast Growth

Status Now

Personal products

Still undergoing exponential growth. Is

a $6.5 billion industry2015

Fabric Washing

15000 crore2015 . Around 80% is powder

Branded edible oil in small sizes

Indian edible oil industry is the worlds

fourth-largest industry2016

Semi-Automatic washing machines

Fully automatic growth rate of 45% and

Semi-automatic growth rate of 16% 20072008

Education in all forms

Expected to touch US$ 40 billion by

2017

Sources: economic times, niir.org, livemint, mynewsdesk.com, ibef.org,

Predicted

Trends

Status Now

Packaging will continue to hold

relevance even decades later

TRUE : Some products that have

benefitted from innovative packaging
are:
Milk Shakes Tetra packs
Soft drinks - Cans
Paper Boat - Pouches

Consumer finance business would

increase especially financing durable
and automobile purchases and credit
cards.

TRUE : Durables and card lending

registered the strongest growth in
2016. Indian consumer finance market
recorded CAGR of 16.4% during 200711. It is projected to have CAGR of
14.55%

Advertising industry
PARTLY TRUE :
(industry size in 1991 US$ 450
Industry size - US$ 7.6 billion
million)
Print contributes almost 41.2 per cent,
Radio will remain important;
TV - 38.2 per cent, digital - 11 per cent
Technology will play key role in
of the total revenue. Outdoor, Radio
Sources: ibef, Wikipedia, Nielsen, indianmirror.com,
businessmake
standardup the balance 10%.
advertising
and Cinema

Predicted

Trends

Status Now

Processed and packaged food is

TRUE : Even giants like ITC are
likely to remain small market due to
struggling for market share.
habit of consuming fresh foods by large
majority of Indians
Car-Hire and passenger transport
by air my remain small for 7-10 years.

TRUE : Air transport picked up only

after introduction of the low cost air
career Air Deccan in 2003. As for carrentals, it has become popular with Ola
and Uber in the recent years only

Moderately priced motels are likely

to become attractive

TRUE : 63% of hotel rooms in 2010

were moderately priced

Sources: ibef, Wikipedia, Nielsen, indianmirror.com, business standard

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