Using e-com for festive buying may rise 115% in 2025: Report
Total festive season 2025 spending is estimated at`2.19 lakh crore, report states
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New Delhi: An increasing number of urban Indian households are likely to opt for e-commerce and online platforms as their preferred channel for festival spending this year, according to a report by LocalCircles that also sees the recent GST rate rationalisation boosting positive sentiments for shoppers.
The Local Circles study titled ‘How urban Indian households will spend during festive season 2025’ expects a 115 per cent jump in urban households that are likely to primarily shop online.
That said, a large section of urban Indian households show continued preference to buy offline during festive season, according to the report which pointed out that 37 per cent of urban Indian households plan to spend Rs 20,000 or more this festive season, up sharply from 26 per cent in 2024.
As per the report, total festive season 2025 spending is estimated at Rs 2.19 lakh crore.
“With the government announcing GST reforms leading to reduction in prices of white goods and consumer electronics like air-conditioners, refrigerators, washing machines and televisions just ahead of the festive season, an increasing number of urban Indian households are likely to take to e-commerce and online platforms as their preferred channel for festival spending,” it said.
The key reasons identified by household consumers for this preference for online mode includes convenience, wide selection, value for money, and friendly return and refund policies.
The 2025 study, which gathered over 200,000 responses from over 44,000 urban household consumers located across 319 districts of India indicated that urban India is set for a strong festive season with higher spending and greater reliance on digital platforms.
