India’s consumer durables market is projected to grow at an 11% compound annual growth rate, hitting Rs 3 lakh crore by 2029. A report by GI Group Holding highlighted that young professionals, constituting 37% of fast-moving consumer durables sales, and nearly 45% of financed purchases, will be pivotal in propelling this growth.
The report revealed that 74% of Gen Z consumers opt for EMIs or ‘Buy Now, Pay Later’ options. Key decision drivers for buyers include product features (68%), reviews (61%), price (59%), and warranty (55%). While 73% prioritize value-for-money choices, almost 70% are open to investing in mid-tier or premium products based on performance.
Moreover, women are leading aspiration-led upgrades, with 61% making more aspirational purchases. The trend of replacing durables every 2-3 years is on the rise, with 46% of consumers doing so, and 63% often switching brands during upgrades. Factors like buying experience, post-purchase support, and service reliability are becoming crucial differentiators in this evolving market.
According to the report, the upcoming trend is smart living, with 42% already owning a smart device, and 67% planning their next purchase to be smart-enabled. Sonal Arora, Country Manager at GI Group Holding, emphasized the importance of personnel training, immersive retail experiences, and post-purchase assistance to adapt to these changes and capitalize on the high upgrade intent in the market.
Businesses that align with these evolving consumer preferences can develop adaptable and customer-centric strategies to cater to the needs of India’s expanding middle class, Arora noted.
