Join the WOOB Community TODAY!
Register Now!
Friday, November 27, 2020

Festival season sales: Over 50% consumers to shop online, says survey

This is a major jump from last year's survey when only 27% of consumers planning festive spending had indicated using e-commerce sites as their primary channel for shopping.

About 51% of consumers doing festive shopping this year will use e-commerce sites and apps as their primary channel, a sizable change from previous years, according to a survey by community platform LocalCircles. In the September 2019 survey of LocalCircles, only 27% of those planning festive spending had indicated using e-commerce sites as their primary channel for shopping.

Covid-19 has had a deep impact on the Indian economy and its businesses. The country has crossed 6 million positive cases. LocalCircles said many businesses have been struggling due to the reduced sales and flattened revenues, but the festive season is likely to throw them a lifeline.

The months of October and November are considered as festive months in India. People usually spend on major purchases during this time. New vehicles, consumer electronics, whitegoods, apparel, gifts for the family and home furnishing upgrades are some areas where Indians spend during the festive season.

Over the last few months, an increasing number of consumers have been shopping online to get things delivered at home. The primary reason for this is to reduce their exposure to crowded markets and protect themselves and their family from Coronavirus. Various e-commerce platforms have said that they have already reached the pre-Covid levels in terms of the number of orders and expect the numbers to substantially rise in the next couple of months.

- Advertisement -

The LocalCircles survey said that Indian consumer spend has significantly changed during 2020 due to the Covid-19 pandemic. An increasing number of consumers are now using e-commerce sites and calling or sending WhatsApp messages to local stores and getting home delivery. For many, shopping through these channels has become a new habit with rare visits to malls, shops and even the local market.

LocalCircles conducted an extensive study on understanding how the Indian consumer will spend during the festive season via online and offline channels. This exercise conducted at a national level and specifically in 50 top cities of India received over 300,000 responses from consumers across more than 330 districts of India. In the overall study, 63% of respondents were men while 37% participants were women. About 52% respondents were from tier-1 cities, 32% from tier-2 places and 16% participants were from tier 3 and 4 and rural districts.

- Advertisment -

Latest News

France’s No.1 milk brand Lactel now in India and ready to take the dairy market by storm

Lactel, France’s No. 1 milk brand has launched its affordable UHT toned milk 1 litre packet at an MRP of Rs 70...

Emami forays into home care segment as demand for hygiene products surges

Home grown FMCG firm, Emami announced its entry into the home hygiene and home care space.

Smaller towns emerged as ‘heroes’ for Nestle India during coronavirus pandemic: Suresh Narayanan

Smaller towns have emerged as 'heroes' for FMCG major Nestle India during the coronavirus pandemic, playing a significant role in the company's...

Post Covid-19, home products are in greater demand than they were earlier: Dipali Goenka of Welspun India

Welspun India is among the few textile companies that have weathered traditional challenges faced by the sector and emerged as one of...

Firms look to boost capacity as packaged foods fly off shelves

Packaged food companies are increasing capacity as heightened demand for packaged foods and a pivot by consumers from unbranded to branded products...

Amul to start milk procurement in three districts of Andhra Pradesh from November 20

Minister for Animal Husbandry and Dairy Development Seediri Appalaraju has said milk procurement under the AP-Amul project will start from November 20...

Nearly 40% of Raymond Consumer Care’s revenue coming from Covid-19 innovations

All consumer companies in the business of discretionary products saw their business coming to a grinding halt during the coronavirus lockdown and...

This bootstrapped startup is banking on private label organic foods to challenge online grocery giants

Mumbai-based Zama Organics has shifted its focus from B2B supply to consumer market and plans to launch an ecommerce app for its...

Online Grocery: What is the next frontier of growth?

No customer-retailer relationship is as intense as in grocery. Transactions are frequent, customer needs are mostly predictable, and sellers can count on...

After a sweet start with Apis Honey, Apis India is in expansion mode of its FMCG portfolio

Apis India is a fast-growing FMCG company in India with its third generation of entrepreneurs working at the helm. The company traces...