After Diwali Bonanza, Traders’ Focus Shifts To Lucrative Wedding Season
In India, around 48 lakh weddings from November to December 2024 likely to generate business worth Rs 6 lakh crore, says trade body
As the festive glow of Diwali fades, India's traders are already gearing up for the next big bonanza– the wedding season. With an astonishing 48 lakh weddings expected to take place in November and December 2024, businesses are bracing for a whopping Rs 6 lakh crore business. The Confederation of All India Traders (CAIT) stated that Delhi alone is poised to host 4.5 lakh weddings, generating a staggering Rs 1.5 lakh crore in revenue.
According to a study conducted by CAIT, the retail sector, encompassing both goods and services, is expected to benefit from approximately 48 lakh weddings, generating business worth nearly Rs 6 lakh crore. Last year, 35 lakh weddings during this season created business worth Rs 4.25 lakh crore.
This year, the increase in wedding dates is anticipated to bring significant growth, the trade body added. In 2023, there were 11 auspicious dates, whereas this year there are 18, further fueling the trade. Delhi alone is expected to witness 4.5 lakh weddings, contributing an estimated Rs 1.5 lakh crore to the economy.
Praveen Khandelwal, Secretary General, CAIT and MP from Chandni Chowk talked about the shift in consumer purchasing behavior, with people increasingly opting for Indian products over foreign goods, reflecting the success of Prime Minister Narendra Modi’s ‘Vocal for Local’ and ‘Atmanirbhar Bharat’ (self-reliant India) vision.
BC Bhartia, National President, CAIT provided a breakdown of expected wedding expenses, estimating that 10 lakh weddings will involve the spending of Rs 3 lakh per wedding, 10 lakh with Rs 6 lakh per wedding, 10 lakh with Rs10 lakh per wedding, 10 lakh with Rs15 lakh per wedding, 7 lakh with Rs 25 lakh per wedding, 50,000 with Rs 50 lakh per wedding, and 50,000 weddings with Rs 1 crore or more per wedding.
Khandelwal noted that these estimates are based on auspicious dates, though numerous weddings will also occur on non-auspicious dates. Additionally, various pre-wedding functions, like mehendi, sangeet, and engagements, also represent significant expenses.
Khandelwal further explained that wedding expenses are divided between goods and services, with main expenditure areas in goods including clothing, sarees, lehengas, and apparel (10 per cent), jewellery (15 per cent), electronics and appliances (5 per cent), dry fruits, sweets, and snacks (5 per cent), groceries and vegetables (5 per cent), gift items (4 per cent), and other goods (6 per cent).
In the services sector, expenditures will likely go toward banquet halls, hotels, and venues (5 per cent), event management (3 per cent), tent decoration (10 per cent), catering services (10 per cent), floral decorations (4 per cent), transportation and cab services (3 per cent), photography and videography (2 per cent), orchestra and music (3 per cent), lighting and sound (3 per cent), and other services (7 per cent).
The trade body added that a new trend emerging is the increasing spending on social media services for weddings.
Khandelwal emphasized that this extended wedding season, along with festival sales, is expected to give an unprecedented boost to the Indian economy, benefiting various industries and businesses across the country. These sectors are expected to increase production capacity, improve trade practices, and adopt more advanced digital technologies.
Diwali Bonanza
The trade body also mentioned that this year’s Diwali sales reached a record-breaking figure of Rs 4.25 lakh crore. Earlier in a joint statement, Khandelwal and Bhartia stated that an estimated 4.25 lakh crore was generated in festival trade.
This Diwali, consumer spending was distributed across various categories. Food and groceries accounted for 13 per cent, while jewelry and textiles/garments made up 9 per cent and 12 per cent, respectively. Other significant expenses included electronics and mobile phones (8 per cent), gift items (8 per cent), and automobiles, hardware, electricals, toys, and others (20 per cent).
The trade leaders added that smaller shares went to dry fruits, sweets, and snacks (4 per cent), cosmetics (6 per cent), home décor (3 per cent), kitchen utensils and equipment (3 per cent), religious and prayer items (3 per cent), confectionery and bakery products (2 per cent), and furnishings and furniture (4 per cent). Notably, the packaging industry also saw significant demand during this festive season.
