What Will Festive Shopping Look Like This Year?

The festive season is expected to bring a surge in consumer spending across India, but rising prices of smartphones, televisions and other consumer durables have emerged as a major challenge for the industry. Retailers remain optimistic that discounts, easy EMI financing, exchange offers and growing consumer interest in premium products will support sales. Vijay Sales expects the sector to register 8–10% growth compared with last year. Demand for premium televisions, AI-powered laptops, large-screen TVs, robotic vacuum cleaners, coffee machines and other advanced appliances is also gaining momentum, indicating that consumers continue to show interest in feature-rich products despite higher prices.

However, rising costs could make consumers, particularly those in the mid-range and entry-level segments, more cautious about spending. India’s average smartphone selling price rose 14.4% year-on-year in the second quarter of 2026, reaching a record level, while prices of televisions and other home appliances have also increased. Consumers in Tier-2 cities and smaller towns may postpone expensive purchases, although exchange schemes and EMI options could ease the impact. The industry is also expecting a longer festive sales window this year, with Diwali falling in November. Despite higher raw material costs, including copper and aluminium, retailers and manufacturers expect discounts, AI-enabled features, premium products and an extended promotional season to drive festive sales.