- Sony India will pass on the 8%-10% GST reduction benefit on TV sets to consumers
- GST on TV screens above 32 inches was reduced from 28% to 18% by the government
- Sony expects a 5% to 10% increase in TV demand following the GST duty cut
Leading consumer electronics maker Sony India on Friday said it will pass on the 8%-10% benefit of the GST reduction on TV sets to consumers and expects up to 10% pick up in the demand, its Managing Director Sunil Nayyar said.
Sony India, a leading player in the rapidly evolving smart premium TV market in the country, expects a boost in consumption and is stepping up its marketing initiatives to capitalise on the momentum, he said.
The company, with a significant price advantage after GST reduction, will capture the positive consumer sentiment in the festive season sales, which has already started from South with Onam.
"With the GST reduction, we are hopeful that the entire benefit, ranging from 8% to 10%, will be passed on to the consumers. This will definitely boost consumption, especially in the 55-inch and above TV segment, where customers stand to enjoy a significant price advantage,' said Nayyar.
The government on Wednesday announced next generation GST reforms, and reduced the duty on TV screens above 32-inch screen size from 28% to 18%.
Expecting a sales increase from the 10% duty reduction, Nayyar said: "Our revised estimate is a 5% to 10% uplift in demand, up from previous projections."
Sony India is also stepping up its marketing activities and investments this Diwali season to capture and build on this positive consumer sentiment, he added.
The TV market has been experiencing slow growth over the last year, driven by several factors, including a high base and rising prices.
Essential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
