During the first week of India’s festive season sale, which concluded on October 15, e-commerce platforms generated a Gross Merchandise Value (GMV) of approximately Rs 47,000 crore, showing a growth of around 19% compared to the first week of the festive season sale in 2022, according to a report from Redseer Strategy Consultants. Mobiles, electronics, and large appliances were the main drivers, accounting for nearly 67% of the GMV during this initial sale period. On the last day of the first week’s sale, there was a remarkable 36% year-on-year growth compared to the same day in 2022, making it the second-highest year-on-year growth recorded in a single day during this festive season.
Redseer’s report also revealed that about 55% of consumers who participated in the first week’s sales are planning to make additional purchases throughout the rest of the festive season.
More than half of these consumers intend to make purchases in the fashion category, while over 25% are considering buying products in beauty and personal care, as well as home and living categories. The data reflects two distinct consumer behaviors: one group is carefully choosing premium products at attractive prices, while the other group is shopping more frequently but focusing on value-for-money products.
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Abhishek Tandon, Engagement Manager at Redseer, noted the emergence of these two consumer segments during the initial week of the festive season as he stated, “Two Indias clearly emerged in week 1 of this festive season: one, who is holding on spending to buy premium products at the right prices, and second, who is shopping more frequently but spending on value-for-money products. This ties in with our overall consumption thesis, that while Indian consumers are holding back discretionary spending, they are willing to spend it if they get the desired value or deals.”
