During this festive season, Indian e-commerce platforms are projected to collectively achieve sales of about Rs. 90,000 crore, marking an approximate growth of 18 per cent-20 per cent compared to the previous year, as indicated in a report by Redseer Strategy Consultants. The period from Navratri to Diwali is anticipated to witness around 140 million online shoppers making at least one purchase. This surge during the festivities could help recover the current downturn in e-tail, potentially reaching about 17 per cent.
Mrigank Gupta, a partner at Redseer, emphasised that the festive season tends to elevate Gross Merchandise Value (GMV) or platform sales, particularly in categories beyond electronics, such as fashion and apparel. Given the challenging economic landscape characterised by inflation and a sluggish job market due to layoffs, more customers are expected to seek online deals this festive season.
E-commerce giants like Flipkart and Amazon are rolling out an array of deals to attract users to their platforms during the festive period. Notably, even shoppers from smaller towns are increasingly embracing online shopping. Anticipating a heightened demand, companies are actively recruiting temporary staff. For instance, Flipkart has generated over 1,00,000 seasonal job opportunities across its supply chain, including fulfillment centers, sorting centers, and delivery hubs, gearing up for the festive rush. Analysts suggest that after facing obstacles like the Russia-Ukraine war and liquidity constraints in recent years, India’s consumption growth might be stabilizing towards a more consistent trajectory.
