Usha International expects to grow 25% in 2017-18

Usha International expects sales of its mainstay sewing machines and cooking appliances segment to grow by up to 25 per cent in 2017-18, driven by expansion of network besides leveraging on e-commerce.

The company had a turnover of Rs 2,200 crore in the fiscal ended March 2016. Sewing machine and cooking appliances together contributed around 35-40 per cent.

It is also focusing on the digital medium not only as a sales channel but to use it as an advertising medium and engage with customers.

Jayati Singh, Marketing, Usha International VP, said, "We are eyeing a 50 per cent growth for cooking appliances and around 10-12 per cent for sewing machines, so the total of the two would be around 25 per cent."

Market leader in the sewing machines segment, Usha International's revenue jumped to around Rs 550 crore from Rs 150 crore in the last three years.

She said, "Sewing machines and cooking appliances together contribute to roughly 35-40 per cent of the overall revenue for the company."

Singh said the company is looking at "expanding the retail and digital touch points for consumers to come and experience the product features" in order to achieve sales growth target.

Stressing on the significance of the online channel, she said: "We have started looking at e-commerce since last year because we figured that the consumer is everywhere, so we have to be omnipresent. There is no channel today which is irrelevant".

Singh further said that the company will use e-commerce as the new channel not only for sales, but will also use it as an advertising medium.

On the expansion of retail outlets, she said, without specifying a number that the focus will be on rural markets.

She said: "The focus is to have a good balance between visibility in metros and the rural areas and we will look at traditional trade, modern trade and e-commerce for distribution."