Key Highlights:

  • TV sales will drive growth for white goods market via e-tail.
  • Online white goods market is estimated to grow 50% YoY.
  • White goods market via e-tail stood at $720 million in 2017.

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Indians have started buying more domestic appliances, like television sets online. The white goods segment that comprise of large appliances used for routine housekeeping tasks have seen a rise in e-tail, a report by RedSeer Research revealed on Tuesday.

The highest demand in this category was for TV sets, the report said.

“Online white goods market (2017F) is growing at 50% y-o-y- with TV being the category driving growth. Strong sales of exclusives like Vu, Nobel Skiodo etc.- which are high quality and affordable; along with the EMI options led to high performance of TV category,” the report said.

The online white goods market stood at $480 million in 2016. It is now expected to have nearly doubled to $720 million in 2017.

The report revealed that TVs were estimated to be 60% of this million dollar market.

Online channels accounted for 5-7% of sales of appliances in FY16, an earlier report of RedSeer revealed. At the time online purchasing of white goods were only 5% of sales while organised retail accounted for 15% and 80% of sales came from other channels.

The consumer durables are currently taxed at 28% under the Goods and Services Tax regime. This the retailers said will have no impact on sales of items.