Heat waves in several parts of the country may have reached dangerous levels, prompting the weather department to issue a warning, but they
have brought some relief to marketers of air conditioners, refrigerators, beverages and ice creams who were reeling under poor demand since Diwali.
Sales of air conditioners have jumped more than 50% year-on-year for the last fortnight and refrigerator sales are up by 18%, industry insiders said. Soft drink sales have surged 15%-20% while ice cream sales are up 30%-40%. The early and sudden onset of summer, marked by heat waves and scanty pre-monsoon rains in most parts of the country, has caught several consumer goods marketers unawares and there is already a shortage of air conditioners and refrigerators in several markets, according to trade sources. Industry experts said the early trends point to a record summer
quarter for these product segments. Cola trade insiders said both Coca-Cola and PepsiCo are seeing a revival of sorts in consumption of aerated drinks on an average of 15%-20% already. Both the beverages giants had seen sales staggering to low single digits or even sliding over the past five-six quarters. Over the last couple of months, Coca-Cola had halted production at plants in AP, Jaipur, UP and two in the Northeast, citing lack of demand. The India Meteorological Department has predicted higher than normal temperature for this month and weather websites have predicted similar weather in May as well.
(Source: The Economic Times, Mumbai, April 18, 2016)