Among consumer goods, discretionary consumption is on the way to making a comeback with a good recovery in most personal care categories (soaps, hair oil, hair coloring, skin care, oral care, etc. ). But packaged food and health and hygiene categories are expected to moderate from the high base during the lockdown period.

Closing comments:

Offline retailers are expected to perform below normal in the third quarter. They will continue their efforts to restore normality in the coming quarters.

Retailers will also ask the government to play an active role in restoring demand. They are very hopeful to see tax breaks for the middle class. The tax break will put more money in the hands of consumers, who in turn will flow back into the economy as spending.