Mumbai: The 2024 Diwali festive season saw significant growth in India’s online retail sector, with Criteo, a commerce media company, revealing key insights into consumer behaviour and trends. The report highlights a 14% increase in average online sales and a 42% rise in online traffic compared to the same two-week period before Diwali in 2023, underscoring the growing importance of Diwali for India’s retail landscape.
Criteo’s analysis of shopper activity during the peak Diwali shopping period (October 18-31, 2024) shows strong momentum in consumer electronics and fashion, which together accounted for 61% of online purchases during the two weeks leading up to Diwali. Consumer electronics saw the highest share of purchases, contributing 41%, while fashion items accounted for 20%.
The data reveals that Indian shoppers are increasingly shopping earlier for the festival, with the average consumer journey spanning 15 days from product discovery to purchase, and some taking up to six weeks to finalize their decisions. Fashion saw a standout 42% increase in sales, while Consumer-Packaged Goods (CPG) also grew by 13%, reflecting a continued consumer appetite for festive-related products.
During the peak Diwali period, several product categories experienced exceptional growth:
- Home & Garden sales surged, with light ropes and strings leading the way (+204%), followed by candles (+122%) and dinnerware (+89%).
- Apparel saw a significant uptick, especially in coats and jackets (+154%), pajamas (+81%), and traditional sarees/lehengas (+78%).
- Health & Beauty products like hair styling products (+61%) and bath & body kits (+54%) also saw strong sales.
Medhavi Singh, Country Head—India at Criteo, commented on the findings: “As Diwali becomes an increasingly critical period for retail growth and customer engagement, businesses must adopt a comprehensive commerce media strategy. A full-funnel, omnichannel approach is essential for delivering seamless shopping experiences that resonate with today’s consumer.”
The report also shows a 42% increase in traffic to product description pages in October, compared to September 2024. Notably, online sales surged by 44% on September 26, with consistent growth of 38% throughout October. The fashion and consumer electronics categories led the charge, with fashion seeing a 77% sales increase and consumer electronics rising by 60%. Conversion rates also reflected strong performance, with fashion up by 20% and consumer electronics spiking by 45% on September 26.
As the festive season continues, Criteo’s data further reveals that Cost Per Click (CPC) increased by 33% in the final week leading up to Diwali, highlighting the intensifying competition and ad engagement as the holiday approached.
Criteo’s data is sourced from over 600 product categories and 19,000 advertisers globally, leveraging insights from retailers who partner with Criteo Marketing Solutions. The data is organic, encompassing all events, including those not directly attributed to Criteo campaigns, to offer a broader view of market trends.
