More than third (78 per cent) Indians claimed that their planned expenditure during this festival season is less than Rs 10,000, according to the ‘Mood of the Nation Survey’ conducted by global research firm Ipsos.
Among the respondents (43 per cent) who said that there spend during this Diwali is less than Rs 5000 are mostly from middle and lower middle income families.
“High inflation and an uncertain economic environment are some of the main reasons for buyers cutting down on spending,” said Biswarup Banerjee, Head of Marketing Communication, Ipsos in India.
Less than two in 10 (16 per cent) Indian citizen said that their shopping budget during this Diwali is between Rs 20,000 to Rs 50,000. In this group, rich and higher middle class income families were significantly higher than middle and lower middle income families.
Only five percent of rich Indians claimed that their planned expenditure during this Diwali is more than Rs 50,000.
In Delhi, 23 per cent people claimed that their Diwali shopping budget is more than Rs 50,000 and 28 per cent people claimed that their shopping budget is between Rs 20,000 to Rs 50,000.
In Kolkata, 92 per cent people claimed that their Durga Puja shopping budget is less than Rs 10,000.
During this festival season sweets and food items (90 per cent), clothes (86 per cent), and gifts (53 per cent) are the top three planned purchases of Indian citizen. At the fourth position, feature Electronic Goods, desired to be purchased by 30 per cent people.
A very few people also plan to buy cars (Six per cent) and bikes (Five per cent). These respondents mostly belong to rich and upper middle class category.
In Delhi, the top three items are sweets and food items (100 per cent), clothes (96 per cent), electronic goods (91 per cent).
Only half (52 per cent) Indians said that they were holding up their purchase decision till Diwali in anticipation of heavy discounts. In this group who is waiting till Diwali, female respondents are significantly higher than male respondents.
Remaining half of the people are not willing to wait. Male respondents are significantly higher than female respondents who are not waiting till Diwali.
Delhi (79 per cent) and Kolkata (69 per cent) topped the list in terms of holding the purchase decision till festival season discounts are announced.
“This festive season bargain-hunting may become the preferred choice for majority of Indians as higher discounts will be definitely an added incentive for spending on desired items,” added Banerjee.