Retailers across apparel, fashion, electronics and food and beverages expect the ongoing weekend, which will be extended by Holi on Monday and Tuesday, to set the stage for the upcoming holiday and summer shopping season.
A dozen-odd offline retailers, brands and restaurants that FE spoke to say that the weekend of Saturday to Tuesday may see a sales uptick of around 10-15% versus last weekend, as consumers loosen their purse strings.
“The two-month-long Indian Premier League (IPL), which began on Friday, is also expected to give eating out and shopping out a boost,” said Riyaaz Amlani, founder and MD, Impresario Hospitality, which runs restaurants such as Social and Smoke House Deli.
“A combination of factors may work in favour of the Holi weekend. For one, there is pent-up demand among consumers who have been cutting back on non-essential expenditure over the last few months. Besides, the festive spirit may encourage people to step out and shop,” said Mukesh Kumar, MD & CEO, Quest Properties India and chairman of the board at the Shopping Centres Association of India (SCAI).
A report by the Retailers Association of India (RAI), an apex body of organised retailers in the country, notes that while February was sluggish from a retail demand perspective, March would be better, especially in the second half, due to festivals such as Holi.
“Consumers are recalibrating their expenditure, keeping in mind festive occasions, sale days and key shopping events. The availability of desired products through easy financing is also fueling this trend,” Kumar Rajagopalan, chief executive officer, RAI, said.
“While Hindus will celebrate Holi over an extended weekend, there is the ongoing Ramzan for Muslims, which will conclude with Eid next month. People also shop extensively in the evening after breaking the Ramzan fast, apart from eating out and visiting loved ones,” said Kumar.
Nilesh Gupta, director at Vijay Sales, an electronics retailer, said categories such as mobile phones, TVs and home appliances may see sales traction during the ongoing weekend due to Holi. Ramzan shoppers, he said, would be spread out over the month, leading up to Eid on April 10.
“We expect footfalls to grow on Saturday and Sunday, as people may shop for products to gift to their loved ones ahead of Holi,” Gupta said.
Anurag Katriar, founder, Indigo Hospitality and trustee of the National Restaurant Association of India (NRAI) says that footfalls at his five outlets in Mumbai are likely to jump by at least 10% this weekend as consumers step out to eat and have fun. “The trend across fine dining, casual dining and fast food is no different as the holiday mood begins to set in. This could pick up, as school exams will conclude by the middle of next month,” Katriar says.
An uptick in smaller towns and cities after months of a discretionary slowdown may drive footfalls into stores starting this weekend, value retailer V-Mart said.
“Sales growth should be at least 10-15% versus the previous weekend. The sales trend should improve as we step into the first quarter of FY25 with the summer season setting in,” Anand Agarwal, chief financial officer, V-Mart Retail, said.