In India, gifting is part of our culture, heritage, and social customs. Be it business or personal occasions, we are truly passionate about giving and receiving gifts.
According to Technopak, “The total size of the Indian gifting industry is about Rs 250,000 crore.”
Increased marketing activities by leading brands coupled with personalization and customization in gift products are some of the biggest drivers. Creative packaging, personalized notes, boxes with special engravings all contribute to a seamless buying experience and have significantly boosted the country's gifting market. The affluent lifestyle and influence of social media have a huge impact on unconventional gifting. In fact, high-income segments are projected to grow three-fold to 197 million households by 2030. There is an emergence of new players, challenges, and innovation.
The current online gifting market is estimated at $65 million and will scale up to $84 billion by 2024. The long-term growth prospects for India’s online gifting market remain robust, especially with the current pandemic that has affected brick-and-mortar stores. Online gifting has taken center stage with the idea of long-distance gifting made easy and accessible.
As far as our internal operations at Bateel are concerned, one of our biggest opportunities, rather an advantage, is that we can deliver across India. This is not very common in the food industry as most chocolates and sweets are very temperature sensitive. With our dates and gourmet products, we are able to cater to every serviceable pin code in the country!
For more than a decade, luxury brands have focused on wealthy consumers across metros in India. However, sales records depict that tier II and III buyers are some of the biggest consumers in the luxury sector, with e-commerce enabling this growing phenomenon. Millennials today possess a high spending power and are ruling the entire consumer market. They have a greater preference for luxury items and are regularly seeking social media as the first source of information.
Therefore, luxury houses need to innovate to nurture the beautiful idea of gifting with options that are meaningful and rooted in culture yet have a modern touch.