Branded Players to Dominate the Indian Ceramic Industry

Allaying fears  of demand being hit hard in the face of COVID-19 disruption, Somany Ceramics, one of India's largest retailers of floor tiles, has stated that the demand has not been hit as hard as it was feared. It is of the belief that smaller and unorganised players will be squeezed out of the market owing to cash crunch and lack of production. 

According to 18 May  Edelweiss report, demand has been better than expected - 50% as compared to 10% expectation - since Somany's showrooms opened way back on 6 May 2020. Also the company's shares rallied over 8% on 21 May. The report further added that the conversion rate is up to 80% as compared to 50% earlier. It is expected that demand from retail segment is likely to remain healthy as individual home buyers/owners are eager to complete the construction of their homes, whereas projects are likely to suffer from the liquidity squeeze and labour shortages. Tier II and tier III cities are better placed as they have lesser number of reported cases and limited labour availability issues.   

Branded players such as Somany Ceramics, Kajaria, Nitco and the likes are offering cash discounts to receive payments. The small and unorganised lot who form a major chunk of the sector do not have the bandwidth to offer such luxury. The dealers and distributors too are finding the scheme offered by the branded players attractive  and are accordingly making payments to them at the cost of the smaller and unorganised lot. This will certainly help the branded players to eat into the shares of the unbranded players. 

The demand for premium-end tiles too will be met by the domestic players, as architects' visits to China and other European nations for is possibly ruled out for a year or so. This certainly implies that the crisis at hand is an opportunity for India's branded ceramic players to regain their market share and reposition themselves.

×
×

Post Your Comment


"Content that powers your Business. News that keeps you informed."

Surfaces Reporter is one of India's leading media in Print & Digital Telecast for News on Interiors & Architecture Projects, Products, Building Materials, and the Business of Design! Since 2011, it serves as a referral for designers & architects to know about inspiring projects and source new products. If you have a Product or Project worth publishing in Surfaces Reporter, please email us hello@surfacesreporter.com or you can also submit your project online.

Like Surfaces Reporter on Facebook | Follow us on Twitter and Instagram | Subscribe to our magazine | Sign Up for the FREE Surfaces Reporter Magazine Newsletter

Hindware Italian Tiles creates Stunning Murals using Waste Tiles to promote its Sustainability Campaign | Broken But Not Waste

The entire project is part of Hindware’s commitment to sustainable design and its efforts to reduce waste.

Read more

Paving a Path to Circular Economy with Recycled Plastic Tiles | Shayna EcoUnified

Harder to recycle and a habitual part of our daily lives, plastic has become inseparable from us. Creating new plastic objects is cheaper than recycling them.

Read more

11 Reasons To Choose PVC Panels Over Ceramic Tiles

PVC panels are the go-to choice of Surface Décor material that is a very trendy choice for most home owners, architects and interior designers these days. Not only is the material sustainable but also work well at any kind of space it is installed at.

Read more

Fish Scales Repurposed into Stone-like Tiles | Scalite

Made entirely from fish scales, Scalite is a renewable byproduct of the fishing and aquaculture industries.

Read more


This is alt