Businesses Expect Strong Sales As Diwali Shoppers Balance Budget With Desires

With roads bustling and shops crowded, people are flocking to malls and markets in search of the perfect gifts to celebrate Diwali. The variety of options is vast, ranging from dinner sets and beauty hampers to gourmet food baskets, electronics, chocolates, and traditional sweets. However, shoppers face the challenge of balancing their desires with budget constraints.

Samriti Khanna, a homemaker in her 30s, understands this struggle well as she navigates the fine line between temptation and financial limits. “There’s always a pull to buy unique and lavish gifts for loved ones, but staying within budget is crucial. Finding that balance is key,” she shared with PTI.

On her shopping list are home decor items for friends, a smartwatch for her husband, board games for her children, and home appliances for household staff. “Gifting during Diwali comes with great responsibility. Figuring out a budget and deciding what to give to whom is never easy, and I doubt anyone has truly mastered it,” she added.

The festive season remains a favorite for businesses, and this year is no exception, with many retailers expecting strong sales. Bikano, a prominent name in traditional snacks, aims for a target of over “Rs 300 crores” during the festive season. Surya Roshni, a company specializing in lighting and consumer goods, noted that around “30 percent” of their sales occur during this period.

Jitendra Agrawal, CEO of Surya Roshni, remarked that people tend to spend more during the festive season, often breaking typical purchasing habits. He noted steady growth not only in urban centers but also in semi-urban areas.

Chirag Gupta, founder and CEO of premium snack brand 4700BC, is optimistic about this year’s demand, expecting a “20-25 percent” increase in sales of its festive gourmet hampers. Online retailers are also experiencing a surge in sales, with Snapdeal reporting a “1.8X growth” in order volumes during the festive sales period. Categories like women’s fashion (2.5X growth), children’s fashion (2X growth), and home decor (1.6X increase) have all seen significant growth compared to last year.

In addition to tangible gifts, digital gift cards are gaining popularity for their convenience and attractive discounts. Tata Neu’s gift card marketplace has seen over “50 percent” of existing customers returning frequently for purchases.

Alcohol brands are also experiencing a rise in popularity as gifting options. Many consumers are shifting away from traditional gifts like bed linens and crockery sets in favor of spirits. Major companies in the brewing industry, such as DeVANS Modern Breweries and Radico Khaitan, report increased demand and robust sales, having introduced new festive packs.

Mocktail brand Swizzle noted a 25 percent uptick in sales last month. Last year, the excise department reported that 64 lakh liquor bottles worth approximately Rs 121 crore were purchased in Delhi in the three days leading up to Diwali. “The association of liquor with celebration and social gatherings is strong, making it a preferred gifting choice during festivals,” said Amar Sinha, COO of Radico Khaitan Limited.

Additionally, gifting experiences is becoming increasingly popular. Instead of traditional gifts, many are opting for staycations at luxurious hotels and resorts. For example, The Claridges is offering a variety of staycation packages in scenic Uttarakhand, starting at Rs 20,000, which includes breakfast, one major meal, and options for extended stays.

MUST READ:  Celebrating Diwali Sustainably: Embracing Eco-Friendly Practices