Blitz Bureau
NEW DELHI: India’s e-commerce industry, which is expected to grow by 20–25 per cent annually which is nearly double the pace of the previous year, is expected to generate over Rs 1.15 lakh crore in gross merchandise value (GMV) this festive season, a report said. Repo rate cuts, increased disposable income, growing rural affluence, and pent-up demand across categories like fashion, home goods, and appliances are all helping India’s festive economy prepare for its most successful run this year, according to a report by Redseer Strategy Consultants.
Redseer predicts that India’s e-commerce industry, which will be the biggest beneficiary this festive season, will close 2025 with 17–22 per cent growth, the highest in three years, thanks to festive tailwinds. Businesses must prepare for “dual peaks” in demand, one during the holiday season and another after Diwali, when the full impact of the GST is felt.
With pre-festive growth reaching 150 per cent for quick commerce and 30 to 35 per cent for value commerce, these two types of commerce are changing the way that consumers shop. According to Redseer, when combined, they should increase festive participation outside of metro areas and reach tier-2 and tier-3 markets more deeply. The macro tailwinds are evident: lower borrowing costs due to repo rate cuts, an increase in the tax-free income limit to Rs 12 lakh (from Rs 5 lakh in fiscal 2021), and a 12 per cent increase in rural household incomes over the last four years due to improved yields and wages.
