Pre-GST sale brings in windfall for customers

Vendors retailing everything from apparel to footwear and even furniture and consumer electronics are offering heavy discounts to entice customers in the run up to GST.  

“The GST rates, compared to the existing VAT, would be higher. Instead of paying that extra amount to the government, which is a loss, we have put up a sale to liquidate these stocks,” the managing partner at an electronics goods retailer in the city said. He added that he witnessed a jump in sales of close to 20 per cent in the past one week.

KP Vinod, an IT professional from Madipakkam, took this opportunity to revamp his wardrobe. At present, footwear less than Rs 500 is taxed at 9.5 per cent. He said, “A Woodland showroom was offering a discount of 40 per cent. So, I decided to get myself two new pairs of all-weather boots and jackets.” 

Even furniture showrooms across the city have been making a killing.  J Anusha, a designer said, “Many showrooms were offering products at a discount of 30 per cent. I got myself a fabric sofa set (3+2 combo) for Rs 17,000, which cost Rs 25,000 originally.” 

Last week, Bajaj had announced reduction in prices of its motorcycles by up to Rs 4,500 with immediate effect to pass on the expected benefit of GST to customers. 

This has piqued the curiosity of many buyers who have booked their bikes prior to the GST implementation.