- India's festive season e-commerce growth driven by premium products and value focus
- Consumer spending expected steady, but shoppers likely to be cautious amid high prices
- Amazon created 1.6 lakh seasonal jobs; Meesho anticipates 10 lakh indirect festive jobs
India's e-commerce and quick commerce players are gearing up for the festive season, expecting strong value growth as consumers show an appetite for premium products while remaining increasingly focused on discounts and value for money.
Analysts expect consumer spending to hold up, though elevated prices are likely to make shoppers more cautious and selective in their purchases.
Shubham Nimkar, research analyst at Counterpoint Research, said the festive season is likely to be "healthy in value terms, but more measured in volume terms".
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Amazon India has created over 1.6 lakh seasonal opportunities, while Meesho expects more than 10 lakh indirect seasonal jobs across sellers and logistics partners. Premium consumer electronics could see strong demand, while deal-seeking consumers are expected to time purchases around major online sales.
Rising smartphone prices, partly due to higher memory costs, could further encourage shoppers to wait for promotional events, Nimkar said.
Quick commerce is also expanding beyond groceries into categories such as fashion, electronics and beauty.
Zepto Chief Business Officer Devendra Meel said festive shopping is becoming more diverse, with platforms and brands offering festival-specific products tailored to occasions and regions.
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The broader e-commerce market is projected to nearly triple to $345 billion by 2030 from $125 billion in 2024, according to research consultancy Infisum.
The sector is expected to grow at an 18.4% compound annual growth rate and account for 10-12% of India's retail spending by the end of the decade. Non-metro markets are emerging as a key growth driver.
Snapdeal Chief Executive Officer Achint Setia said over 80% of the platform's sales come from non-metro regions, where consumers remain focused on quality and value rather than brand premiums.
Meesho said 73% of its Rakhi orders came from non-metro markets, while 66% of new D2C orders now originate from Tier II and Tier III cities, according to Infisum.
AI is also reshaping online shopping through personalised recommendations, image-based search, virtual try-ons and voice-enabled commerce.
Festive demand is expected to support seasonal employment as well.
(With PTI inputs)
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