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BBD in September and late arrival of Winters, crashes Geyser Category Growth in 2022 on Flipkart

Diwali Season sales (2022) were lower by 27% compared to 2021, in unit terms for Geyser category on Flipkart - ref attached image. In value terms also, the Geyser category saw a decline of -31%. For this comparison, three months (September, October & November) data was added and compared between 2022 and 2021.

Looking at the month-wise unit growth numbers, the pictures becomes more clear - September (+18%), October(-7%) and November (-49%). Therefore, main reason of poor growth in Geyser category is the month of November 2022.

As seen from the graph in the image, among the top brands, except for Orient (1% unit growth), rest all the brands had negative growth in unit terms. With top brands like Bajaj (-36%), Havells (-38%) and Hindware (-45%) struggling, the overall category witnessed a major downward hit.

Flipkart Geyser Category BBD performance 2022 vs 2021

There was only minor movement in the minimum prices across segments - 3L, 10L and 25L (refer image). In 2022 the winters also arrived later than expected - the temperatures started dropping in the last 10 days of November.

November is the first key month in the beginning of the Geyser category season and a delay of a week or 15 days can shift the demand significantly. Therefore, we can broadly conclude that December 2022 sales should cover the ground lost in November 2022. We need to wait for the growth numbers of December 2022 to conclude the actual performance of the category this season.

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