Diwali drives up online sales by 49%: Criteo report
Online retail sales saw a 39% YoY boost in the two weeks leading to Diwali compared to the same period last year.
Diwali this year brought a 49% boost in online sales and a 35% jump in website visits from October 29 to November 11.
Two days prior to the festival, online sales saw a 72% uptick, according to a report by France-headquartered advertising company Criteo.
Online retail sales saw a 39% YoY boost in the two weeks leading to Diwali compared to the same period last year. Also, Diwali sales in 2022 increased by 17% compared to 2021.
More than one-third of online customers surveyed by Criteo indicated that they would spend "much more" than the previous year and shop both in physical stores and online.
Additionally, Criteo found that 34% of first-time shoppers during the period last year went on to make another purchase from the same retailer between November 2022 and March 2023.
"The significant increase in online sales, traffic, and conversion rates demonstrates that the holiday shopping season presents a great opportunity for businesses in India," said Taranjeet Singh, Managing Director, Enterprise, APAC, Criteo.
"To capitalise on the opportunity, businesses should start planning and preparing early by implementing a commerce media strategy with a full-funnel and omnichannel approach to achieve seamless shopping experiences," he added.
Shoppers started their holiday season research and shopping early, exploring products about 18.3 days before deciding to buy, as per the report. Between July and September 2023, 74% of holiday shoppers had already thought about what gifts to get and more than 50% had already bought some holiday items.
The survey indicated a growing awareness among consumers about the helpfulness of AI in their shopping journey. Around 99% of participants acknowledged finding AI beneficial in different shopping scenarios. Indian shoppers, particularly, used AI to find the best product prices (44%), explore gift ideas (43%), and gather information about the products they came across (39%).
Criteo noted that Black Friday has become a crucial event for attracting new buyers in India, with 9 out of 10 consumers expressing their willingness to explore purchases from online stores that are not part of their regular choices. Around 73% of Indian shoppers mentioned that they usually shop online during Black Friday, and 92% said they sometimes buy from online stores they don't typically consider on Black Friday.
Edited by Kanishk Singh