Indian Carpet Industry and Its SWOT Analysis

Carpet Industry is one among the industries prevailing in India since centuries. Indian Carpet Industry has always been a crucial part of Indian export industry. Moguls brought and introduced carpet weaving in India which survived and flourished greatly. Over the period, ancient weavers has transformed into modern artist who imbibe the magical colours to the Indian carpets. These artists bring aesthetic touch to the carpets by doing magic with colours and provide carpets an unusual beauty and elegance. The study revealed that the total carpet exported last year was worth Rs 2600 crores whereas the size of the domestic market was condensed to about Rs 200 crores. Carpet holds a grace and recognition from over centuries. Earlier, only a few centers in India were involved in carpet weaving but slowly, various clusters have risen in northern part of India for the same purpose. Each center has its own competitive advantage. These centers employ nearly millions of people all across the country. Mojor belts of carpets include Bhadohi, Mirzapur and Agra belt in Uttar Pradesh, Jaipur, Bikaner in Rajasthan, Panipat belt in Haryana and Kashmir belt.

Carpets are broadly classified into two categories, traditional and modern. Otherwise, Indian manufacturers make carpets in various types, these are;

o Chainstich Rugs

o Tufted Woolen Carpets

o Hand-knotted Woolen Carpets

o GABBE Woolen Carpets

o Pure Silk Carpets

o Handmade Woolen Dhurries

o Staple or Synthetic Carpets

Each type has its own individuality in terms of design, look and the wool used in its manufacturing. The variety in carpets caters to various needs of customers.

The distinct variety added to the carpets is inclusion of silk and cotton which are innovatively mixing with the wool to give an attractive look to the carpets. Silk carpets are considered high quality pieces and are comparatively high in price. Indian carpets are fundamentally following the old popular patterns such as floral, rhomboids, animal patterns and arabesques in its designs. These traditional Oriental styles are preferred even today. However, Indian carpet industry seems to be highly influenced by western patterns and designs which are giving a competitive edge to Indian traditional carpets, such as Chinese patterns and Persian designs.

Swot Analysis of Carpet Industry

Indian Carpet Industry is a unique industry which is highly unorganized but lacks proper channels. Somehow, it has managed to perform impressively in the past years. The industry has made significant contribution in Indian exports till 1990s. What was there behind the industry that drives the export? SWOT analysis brings forth the value drivers and tentative blocks this industry has experienced and experiencing even today;

Strengths- Over the years, carpet industry has flourished in India due to availability of artistic skills, cheap labour and low cost raw material, innovations in selling carpets and flexibility in manufacturing all kinds of carpets.

Weaknesses- The industry’s greatest weakness is its highly being unorganized. The carpet exporters and manufacturers lack marketing channels. Indian suppliers suffer due to poor infrastructure and internal competition, and lack professional approach and Intellectual Property Rights.

Opportunities- Home furnishing market is moving towards Carpet industry, which results in evolution of new carpet designs. It is used as a marketing tool, and gives opportunity to provide stocking and warehousing services to various players in the market.

Threats- Industry is suffering a lot due to unhealthy competition exiting within it. If not handled properly, current rebound in the industry may not be sustainable. Social evil such as Child labor has strong bonding with the industry. Hence, the industry invites risk of possible backlash on itself.

Carpet Industry in India has experienced a major change in recent years. The industry is moving towards the emergence of new market and old existing market is saturated and lost its identity. Low-end carpets manufactured in modern designs like hand-tufted carpets are highly preferred by new customer base. Chinese industry is emerging as the biggest threat to Indian carpet industry, in terms of pricing and volumes. However, innovative products range with lower volume could be a success mantra for Indian Carpet Industry. Inefficient coordination and ill management are what exist predominantly in the industry. Apart from it, industry needs to consolidate on the activities such as quality standards, cost reduction, better development of products and their on-time delivery to drive its growth.

Digital Media Vs Traditional Media – A Comparative Analysis

It is beyond doubt that social and digital media are significantly impacting consumer behavior. With the growth of the Internet, companies have realized the need to strengthen their online presence and, therefore, are spending ample amount of resources in digital marketing.

While earlier, advertising was primarily limited to newspapers, radio and television, today it has gone beyond them. Both the traditional and digital media have their own unique aspects. This article will offer a comparative analysis of both these media.

Reach

No doubt, advertising campaigns through traditional media reach a large chunk of the population. However, the message reaches an even larger number of people through online media. The Internet helps to reach a range of people within a short span of time. While traditional marketing is limited only to a particular geography, online media knows no barrier.

Cost

Digital media cuts costs significantly. Television, radio and newspaper ads are expensive. The price depends on the slot and space chosen. Using the digital platform is helpful for small firms who are tight on budget.

Media monitoring

Media monitoring is simpler in online media than traditional media. Companies can see and measure in real-time the effectiveness of their campaign and plan further activities. However, in case of traditional media real-time media monitoring is a tough task.

Dialogues and Monologues

Marketing through digital media allow dialogues between companies and clients. Through social media, clients can discuss their products and services online in real-time. Communication flows just one way in traditional media and this can lead to confusions and problems. However, in digital media communication flows both ways.

Engagement

Engagement is much higher in the digital platform.Through digital marketing, companies can encourage customers to visit their websites and test their products and services. Customers can also interact with company representatives and know more about the product. Call to action is easier through digital media as compared to traditional media.

However, it will be wrong to say that traditional marketing is dead. There are still many parts of the world, where the Internet is yet to reach and people are yet to be computer-friendly. In such cases, traditional media play a very important role in conveying the message.

Nevertheless, with time digital marketing is giving a stiff competition to traditional marketing. Digital marketing trends have changed the rules of the game and more and more companies are consolidating their online presence to stay competitive in the market.

Demand for Luxury Rental Properties in Dubai Spiked in Q2 A New Analysis From Luxhabitat

Demand for luxury rental properties in Dubai spiked in Q2

According to a new analysis from Luxhabitat, a high-end property brokerage, secondary residential market transactions in Dubai remains stable in the second quarter of 2018. The market saw a total volume of AED 12.1 billion in Q2 when compared to AED 14.4 billion in Q1.

The data reveals that over 1,400 villas and 6,652 apartments were bought and sold in the quarter.

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The report also claimed that off-plan market activity in Dubai continued to stabilise in Q2. There were several new launches during the quarter that helped stabilise it.

Off-plan transaction volumes along with the overall number of transactions fell by almost 28% from the previous quarter according to Luxhabitat. There are a total of 80,000 units scheduled for completion in 2018.

The data indicate that secondary villa sales volume is double that of off-plan sales in the quarter while the prime residential market in Q2 totalled AED 3.5 billion.

Of the areas recognised by Luxhabitat as prime residential, Business Bay were the top performers in terms of sales volume. They made a total of AED 2.3 billion in transactions and were closely followed by Mohammed bin Rashid City. The latter had an operation of AED 1.9 billion while Dubai Marina had a total of AED 1.2 billion.

Ryan Kasper Luxhabitat’s rentals director noted that rental prices continued to fall across Dubai. He claims that it is due to the considerable demand for high-end, luxury rental properties. There has been a massive spike in this area.

Kwality was initially set up as an integration unit of Kwality Ice Creams India Ltd. A prominent Indian family then acquired it in 2002Nobody from Kwality’s headquarters in New Delhi was immediately available to comment on the planned closure. There has been no further statement made by the company on their decision and have also not mentioned when the withdrawal process will begin.

“This, in turn, has sparked a trend among landlords who are reinvesting and upgrading their properties to compete with the many new and modern developments recently handed over. So far, this year has reinforced that Dubai remains one of the most active and versatile rental markets in the world,” he said.

“We anticipate stabilising rental prices as we continue to adjust to the conditions of a maturing market, which should come as positive news for everyone,” he added.

By: Anuj Sharma

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