A level playing field for organized notebook brands, changing consumer aesthetics towards valuation of premium products and concentrated landscape of private schools will favor market growth.
The market for exercise notebook in India has been an evolving industry and is set to witness a decent growth over the next five years. Higher emphasis on primary literacy levels and improving enrollments in primary, secondary and higher education to sustain economic growth will bring in enough opportunities. In 2015, youth literacy rates in India were posted at 90.2%, which was higher than the global average of 89.6%. Moreover, the latest RTE Act has been ensued by government to provide free and compulsory education for all the children under the age group 6-14 years. Also, the Rashtriya Madhyamik Shiksha Abhiyan to universalize secondary education is an impressive initiative in this front. Both elementary and technical/higher education has been receiving equal thrust from the government and this will strengthen the demand base for the exercise notebook market in India.
58.3% of the population in India is aged below 30 years which indicates a huge chunk of population is either in school or some sort of educational or research institute. Moreover, the rising enrollment rates in school have been helping the market to grow at a progressive rate. Higher awareness with regards to school education in rural areas and mushrooming of small and large educational institutes to cater to this huge below 18 year population will further support the growth prospect of the exercise notebook market.
The average middle class has been allocating an aggregate of 13.2% of its annual expenditure on education and stationery which is a strong reflection of the educational aspiration that this group possesses. While there are areas where this section of the society is hesitant to expend, but education and stationery have been right at the top of the priority list. Education is treated as a ticket to better employment opportunities and higher salaries which are expected to uplift the entire family. It is projected that by FY’2026, India’s middle class population is likely to double to 547 million individuals who would form a massive 41.0% of the overall population. The growth of this group is a crucial growth driver for the stationery industry in general and exercise notebook segment in particular.
Brand diversification by various companies in order to cater to diverse customer base has widened the revenue sources for the market and the penetration level has increased significantly across regions. Aggressive marketing strategies by national and regional brands have widened the organized share of the overall market.
There has been a steady rise in the number of organized retail chain stores such as Starmark, Crossword and Oxford Bookstore across the country which has been instrumental in augmenting the demand for branded notebook for exercise notebooks especially in the organized segment. Consumers generally bundle up stationery items alongside their purchase of books. Exercise notebooks and other non-book items account for higher sales and also provide higher margins to these book chains. Therefore, there has been a significant uptrend of these chains forging tie-ups with notebook manufacturers.
The foray of e-commerce platform coupled with rise in smart phone penetration has led to higher sales of notebook through online mediums. Major E-commerce giants such as Flipkart and Amazon have expressed significant interest in this category discerned by higher SKUs. However, online purchasing behavior in notebooks is more prevalent in premium notebooks such as BILT and Paperkraft than in the mass range of notebooks.
“Brand conscious, value appreciating, new age Indian is the major target group for the players in the organized segment. The trend will result in the growth of the organized segment in the near future.” according to the Research Analyst, Ken Research.
The report titled “India Exercise Notebook Market Forecasts to 2020 – Influx of Organized Notebook Brands and Rising Spending on Education to Fuel Growth” provides detailed overview on the Exercise Notebook Market and helps readers to identify the ongoing trends in the market and anticipated growth in future depending upon changing industry dynamics in coming years. The report will help existing exercise notebook manufacturers, dealers, distributors, online and offline retailers, book shops, emerging players who wish to capitalize the market potential and investors who are looking forward to venture into the exercise notebook market in India to align their market centric strategies according to ongoing and expected trends in the future. according to the Research Analyst, Ken Research.
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