Time to nourish the history of consumption.
NEW DELHI: It is expected that a rapid growth in per capita income will translate into an acceleration of consumption at almost the same rate, which will generate a greater demand for everything from televisions and motorcycles to health and education.
The consumption history of India is a story of strong consumption. One should see it from a long-term perspective and a problem here and there does not really matter. The companies are aware of this and in the next two years, the country's consumption is set for a strong growth, said the founder of Future group , Kishore Biyani .
Consumption has been one of the main concerns with the hiring of car sales for eight months in a row and consumer goods players who complain about the lukewarm demand. A key reason for the slowdown is a slower pace of expansion of economic activity with a deceleration of GDP growth to a minimum of 18 quarters in January-March. During 2018-19, the economy grew at its slowest pace in five years and economists have called for reviving investment and consumption to boost growth.
The change in consumer spending for needs such as food and beverages and transportation and communication to clothing and footwear and health and education augurs well for the industry.
Consumers have an aspiration about themselves beyond basic needs. Their non-discretionary expenses reflect the expression and ways of feeling good about themselves. Social and digital media platforms have exposed people to the world they now want to experience and express themselves, said Puma India MD Abhishek Ganguly.