Diwali gifts 2024: Indians likely to spend Rs 1.8 trn, mithais top choice

What are you planning to gift your friends and family this Diwali? Will you stick with traditional sweets or opt for something new? According to a survey by LocalCircles, gifting is expected to peak this festive season, with urban India spending around Rs 1.85 trillion. From crockery to chocolates, the choices are endless.

 

The survey shows that Rs 1.2 trillion has already been spent between September and October, with a final surge expected in the last 10 days before Diwali. Gifting remains a major part of the spending spree, as well as purchases of last-minute essentials. Community social media platform LocalCircles gathered insights from over 31,000 urban households across 314 districts in India. The respondents were a mix of men and women, with 46% from tier 1 cities, 30% from tier 2, and 24% from smaller towns.

 

How are people buying their festive gifts?

 

When it comes to how people are buying gifts, a majority still prefer to shop locally. The survey found that 57% of urban households purchase gifts in person and hand-deliver them. However, online shopping is catching up fast, with 36% now choosing to order gifts online either to deliver themselves or directly ship to recipients.

 

Of the 15,801 responses to the survey’s question on gift-buying habits, 53% said they “purchase locally and hand deliver,” while 21% order online but still prefer to hand-deliver their gifts. Only 15% opt for the convenience of having their online purchases shipped directly.

 

"I prefer buying locally because I like to see the quality of the gift firsthand, but for family in another city, I rely on online stores," said a respondent. The survey confirms that when distance is a factor, people are more likely to turn to online options.

 

What are people buying this Diwali?

 

Traditional gifts remain the top choice for most, with 53% of respondents opting for sweets, bakery products, or chocolates. Dry fruits are also a popular option, chosen by 48% of those surveyed. Meanwhile, candles, fragrances, and lamps were preferred by 27% of respondents.

 

When asked about the range of gifts being considered, the responses showed a clear preference for edible and practical items:

 

53% buy traditional sweets, bakery products, or chocolates

48% opt for dry fruits

27% choose fragrances, candles, and lamps

18% buy kitchenware

16% prefer gourmet foods

12% go for home furnishings

12% buy trays, crockery, and pots

 

Household items like crockery and kitchenware are also becoming popular, with 1 in 6 respondents stating that they like to gift these practical items.

 

Online gifting: A growing trend

 

While traditional in-person shopping remains dominant, online shopping is becoming more common for gifting. According to the survey, 36% of people now buy their gifts online, reflecting the growth of e-commerce platforms during the festive season. Sales promotions and special festive offers encourage more people to shop online, especially for relatives or friends who live far away.

 

Although the shift to online gifting is noteworthy, there are still concerns. Many respondents mentioned that no single online platform offers a seamless gifting experience. One customer said, "It’s difficult to find a platform that has everything I need, and the process isn't as smooth as it could be."