Buoyed by robust rural sector sales, Usha International Ltd said it is aiming to increase revenue from the segment to 25 percent by 2023-24.
The company is also making efforts to double rural penetration in the next two to three years, Usha International Senior VP & Head – Rural Division, Ajay Sharma.
The sector currently contributes 18-19 percent to the fan and small appliance maker’s revenue.
During the recent festive season, the company’s sales in the rural markets witnessed a growth of 25 percent, it said. “Our growth in rural segments has been twice that of urban areas. Given the humongous size and diversity of India’s rural population, it is safe to say that the value of goods and services consumed is greater in such regions. We anticipate the rural belt to be a big growth driver for India in the coming five years,” Sharma said “Our objective is to cover towns with a population in excess of 20,000… at least 50-60 percent of those having a population of more than 10,000. Usha’s products are available in nearly 80,000 villages,” he said.
The company will strive to ensure the required supply chain, logistics, inventories, and integration of rural distribution systems as it aims to double market coverage in the hinterland, the official said.
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