During Diwali, the sales of smartphones, apparel, electronics, and consumer goods received a spike of 7-9%. Last-minute shopping spree gave the retailers a strong finish to their festive season. Poor consumer sentiment and a slowing economy have made offline retailers and consumer goods makers cautious about their festive season business in the past three quarters. The purchase of entry-level products was on the rise at a slow pace, so most of the retailers speculated that lower-income people might have shifted to discount-led online portals for their festival purchases. The wide availability of consumer financing has increased the average transaction size, and this has led to creating a change in consumption patterns.
Kishore Biyani, the founder of Future Group, stated that fashion did well in the central, exceeding the expected outcome, and their loyal customer base was supported by cashback and Future Pay. Overall sales were much better than the initially anticipated numbers, and even though there was some pessimism among the retailers, the end result was satisfying. Retailers stated that footfalls from previous year sales remained the same, but this year’s average shopping basket was bigger. The number of shoppers was less when compared to last year, but higher purchase value boosted the overall sales this year.