Fashion Categories to Witness Biggest Growth Amidst Festive Season in India
Fashion Categories to Witness Biggest Growth Amidst Festive Season in India

As the sales in the first festive week are likely to touch $5.9 billion this year, 63 percent of consumers are planning to spend on fashion categories compared to 56 percent last year.

According to a new report by Redseer Strategy Consultants, despite concerns around inflation and discretionary spending, customers are looking forward to spending more, and sellers on e-commerce platforms are expecting a 20 percent volume growth during the festive season.

83 percent of the respondents indicated a willingness to buy various products this festive season that began this week.

"The share of fashion in overall festive sale in the first festive week is estimated to increase by 9pp from 2018-22. Online fashion has grown 4x in the last four years compared to 3x growth for overall e-tail," said Sanjay Kothari, Associate Partner, Redseer Strategy Consultants.

Fuelling this growth is the increasing shopper base from Tier II and beyond cities, "resulting in 2.5 times growth in fashion shoppers in the last four years", Kothari added.

The positive sentiments are driven by demand for fashion, mobiles, electronics, and large appliances.

Nearly 53 percent of consumers are going to spend on electronics compared to 44 percent last year.

Festive sales will see higher participation from fashion sellers this year compared to other categories.

Redseer has predicted $11.8 billion worth of gross merchandise value (GMV) during the festive month.

 

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