The festive season in India, which typically kicks off around September, has historically fueled a surge in consumer spending. This trend was clearly reflected in October’s UPI activity, which soared to a new record with 16.58 billion transactions amounting to Rs 23.5 Lakh Crore, a remarkable 45% increase compared to the same period last year, as per the data by NPCI.
As the spirit of celebration evolves, spending habits are shifting to reflect changing priorities. Razorpay’s Festive Insights 2024 report, analysing over 900 million online and offline transactions across its payment gateway and point-of-sale platforms, provides a unique perspective on these emerging trends.
The report highlights how Indians have gone about their festive spending.
Here are the major spending trends that dominated this Diwali season:
This festive season saw a notable shift in how Indians prioritise health. Razorpay’s report highlights a 70% surge in dietician consultations and a 27% increase in fitness equipment sales compared to last year’s Diwali season, signalling a significant cultural shift toward investing in well-being, even amid celebrations.
“Indians are increasingly placing health and wellness at the forefront, choosing to stay mindful of their physical and mental fitness, even during festive indulgences,” said Rahul Kothari, Chief Operating Officer at Razorpay.
Fashion spending saw a 2.7x surge in online clothing purchases. Jewelry and watch purchases increased by 35% online, while offline transactions at jewelry stores rose by 51%.
Another interesting trend witnessed this festive season is the 63% increase in spending on pet products.
The report also highlighted the 2.5x growth in spending on gardening supplies. As more Indians opt for creating green spaces at home, spending on plants, pots, and gardening tools surged, reflecting a rising preference for nature-inspired decor and sustainable living.
OTT platform subscriptions saw a 56% increase, while book purchases rose by 50% compared to last year.
Travel was another highlight this Diwali, with online flight bookings increasing by 3.2x and accommodation bookings jumping by 27%. Indians also indulged in culinary experiences, with a 41% surge in online food orders and a 23% increase in offline restaurant transactions.
As Rahul Kothari said, “Our Diwali Payment Trends Report reflects the vibrant pulse of how diverse we Indians are. From traditional celebrations to unique experiences, this year’s Diwali was more than just a festival; it was a mirror reflecting the nation’s evolving aspirations.”
