In November 2021, the French construction company Saint-Gobain launched its green home solutions, My Home range, in India. The company opined investing approximately Rs 2,500 crore (~US$335 million) in India between FY2022 and FY2023 in the brownfield and greenfield expansions, mainly in green solutions and digital platforms.
The Indian subsidiary of Saint-Gobain has already opened MyHome stores in Kochi, Mumbai, and Chennai. The stores offer new-age home products such as windows, shower cubicles, mirrors, ceilings, shutters, kitchen furnishings, roofing products, etc. The company even targets to open over 50 MyHome stores by the end of the year in Tier I, Tier-II, and Tier-III cities. Moreover, the company has the target of earning Rs 1,000 crore (~US$130 million) revenue from the home solution business in India.
Eyeing the lucrative opportunity, in November 2021, Saint-Gobain acquired a minority stake in Livspace, one of the leading end-to-end home interior, design, and installation providers in India. Notably, this investment will add up to the company's full product portfolio in the Indian residential market, which accounts for around 80% of the Indian construction market.
Despite the pandemic-led slowdown, residential construction recorded steady growth in India. The pandemic has not largely impacted the house buying budget of the customers. Moreover, with the buyers' changing taste and preference patterns, customers are willing to invest a substantial amount in furnishing and designing interiors. Therefore, considering the vibrant market, Saint-Gobain expanded the business to increase its customer base and the home interiors acquisition to capture a significant market share.
In India, there has a rising demand for green buildings which are digitally-driven, energy-efficient, and aesthetically rich. Consequently, the rise in demand for green buildings propelled the demand for resource-efficient light construction materials such as special glasses that control the sunlight in the room. With the introduction of these products, the company will offer smart and green offices and homes, a minimalistic and aesthetic look coupled with deigned partitions and sleek furniture. The company, which was growing at a CAGR of 17% in the last two decades and grew by 30 times in India, expects the expansion plan to provide a further boost to the company's growth in the coming quarters.
According to ConsTrack360, India is moving towards urbanization, and the home segment market will witness significant growth in the next six to eight quarters. Moreover, strong growth of the home segment of the Indian construction industry is expected to attract global companies to invest in this market.
