The retailers stated same-store gross sales — a key efficiency indicator — grew by 8-15% throughout this festive season. Future Group and Fabindia stated their gross sales have been among the many greatest in three years.
In the offline class, the buoyant efficiency of trend chains was additionally in stark distinction to gross sales of smartphones and televisions, which have been hit badly this 12 months by on-line discounting. Some offline retailers are providing reductions on sure invoice sizes or items, that are pushing up gross sales, executives stated.
“Consumers are buying in stores since they can touch and feel products and have realised that online stores either sell very old stock or fakes and marketplaces do not like to take ownership of those,” stated Future Retail joint MD Rakesh Biyani. He stated samestore gross sales growth for attire throughout this festive interval has been in excessive double digits.
Shoppers Stop CEO Rajiv Suri stated gross sales throughout the six weeks to Durga Puja within the East have been up by 19% over the identical interval final 12 months, whereas it was in double digits for Diwali.
“It has been one of the best festive seasons for us. Consumers tend to buy higherpriced merchandise as compared to the regular period and that trend continues,” he stated. Suri stated magnificence merchandise, ladies’s footwear and purses, ethnic put on, private equipment and fragrances drove growth.
Dubai-based Landmark Group’s two trend shops, Lifestyle and Max, stated general gross sales throughout the festive interval have been up 12% this 12 months. Same-store gross sales for these two codecs grew in excessive single digits, stated Lifestyle International MD Vasanth Kumar.
“Consumer sentiment towards brick-and-mortar stores is bullish. The average billing size is up by 2-3%. What has happened this year is that consumers are buying around 10 days before the festival as compared to 20 days earlier, but the overall consumption story is intact,” stated Kumar.
William Bissell, vice-chairman of Fabindia, stated gross sales elevated 12-14% this Diwali as in comparison with awashout within the earlier two years. “On 45 days to Bhai Dhooj, we are up by 15%,” he stated.
“Diwali has been good in the west and south, though some pockets of the north are yet to pick up,” stated Alok Dubey, Arvind Brands CEO for US Polo and Flying Machine.
The festive season – from Durga Puja to Diwali – accounts for 30-40% of annual gross sales for shopper items makers and retailers throughout merchandise akin to smartphones, electronics, attire and trend. Sales throughout the earlier two years have been impacted on account of on-line discounting, the introduction of GST in 2017 and demonetisation in 2016.