Buoyed by positive consumer sentiments, East markets geared up for bumper festive season

Marketers are expecting another bumper festive season this year on the back of positive market and consumer sentiments. According industry experts, the advertising expenditures are estimated to be up by 15% compared to last year. The ICC Cricket World Cup, starting from 5^th October, is expected to give a further boost to festive season ad spends. Other major factors driving strong festive marketing spends are an upwards GDP growth rate, expected to be going up till 6.5%, low inflation rates, good monsoon season, growing demand across categories, constant digitisation, and consumer sentiments which are on the positive side. Among the categories that are increasing their ad spends are auto, electronics, consumer durables, real estate, FMCG, and e-commerce, among others.

The East markets are seeing a strong festive buzz, with Durga Puja festival a little over a month away. “It’s typical to have a lot of activity with Pujo around the corner in the East. Brands are looking to break through the clutter, so experiential ideas are being discussed, as the sheer presence of brands on the ground is staggering. How one connects the specific festival to the brand is critical. For L&K Saatchi & Saatchi, the entire East belt gears up into action during this period,” said Hindol Purkayastha, EVP & Business Head (North & East), L&K Saatchi & Saatchi.

He further added, “At a larger level, consumers are becoming more socially aware and conscious. I don’t mean value conscious here, but more aware and prudent about associating with brands that have meaning and purpose. How brands are being able to create these ideas and connect with consumers will be crucial. It’s also important to note that this is the time when brand loyalists are more open to be lured away. The propensity to switch and find a connection or value in a new brand definitely takes precedence during the festive period, and thus, brands are pushing for more innovative ways to offer value and purpose to consumers.” 

Giving an overview of how jewellery brands are geared up for the festive season, Uday Kumar Chandra, MD, P.C. Chandra Jewellers, said, “New collections are going to be launched before the festive season, specifically light gold collection and a wide range of diamond jewellery, keeping western fashion in mind. Thus, diamond and light gold jewellery show promise of growth. We have increased our spends especially on digital platforms and outside West Bengal through TV and print. Reaching out to the contemporary audience means being more visible on the digital platform. We are looking at more engagement and awareness. On the whole, the mood is very upbeat. We are doing our best to connect with the younger audience and creating more awareness outside West Bengal.”

Emami Agrotech, which is in the business of branded food manufacturing, has made specific marketing plans for this year around Durga Puja, one of the greatest religious carnivals in India. Big festivals like Durga Puja are a time when people soak themselves in festivity and crave for lip smacking food. Therefore, this is the best time for any brand, especially from the food business, to capture the minds of the consumers, who can be targeted in bulk as they go around on pandal hopping trips in large volumes.

“This year, we have tied up with around 130 local clubs across West Bengal and 100 RWAs (Housing Societies) in Kolkata for our festive banner campaigns at their Puja pandals for our food brand Emami Healthy & Tasty. In parallel to this, we are also launching an on-ground cum online consumer connect activation, celebrating women empowerment and divinity of women. As a part of this campaign, a branded canter vehicle will move around 100 locations in Bengal, while 100 selfie zones will also be put up across various puja pandals in Kolkata for people to engage with the brand. We will also be roping in a few celebrities from Bengal for digital promotion of this campaign,” shared Debasis Bhattacharyya, President - Marketing, Emami Agrotech.

He further informed, “Our festive marketing plan would be a 360-degree approach, where we will be leveraging radio, print, television, outdoor, on- ground and digital channels. Durga Puja is a time when we see huge congregation of people in and around puja pandals. On the other hand, people today engage a lot on social media also, posting about their puja fashion, food and travel updates. Therefore, our marketing plan has a certain skew towards on-ground and digital activations.”

Brands such as Godrej Capital are supporting micro, small and medium enterprises in their journey by securing them flexible loan options. Nalin Jain, CMO, Godrej Capital, said, “During the festive season, it is an opportunity for small business owners to do more business than average. At Godrej Capital, we recognise the significance of this period for micro, small, and medium enterprises (MSMEs), and are committed to supporting them in growing their businesses. We understand that reliable and flexible funding is crucial for MSMEs and to address their needs, we are actively promoting secured and unsecured loans for businesses across all markets. Godrej Capital’s key offerings are centered around providing flexibility for MSMEs, allowing them to design their own EMI plans, pay only interest for up to 12 months, and receive exciting rewards for timely repayment. Moreover, our 100% digital and quick loan approval helps them get certainty on their loan eligibility in a hassle-free manner. The flexibility in repayment allows businesses to confidently stock up on inventories, introduce new products or services, invest in machinery, expand their workforce, and more, well in advance of the festive demands.” 

He further added, “In addition to our lending products, we have also launched Nirmaan, a comprehensive business solution designed to assist MSMEs in their expansion and growth. Nirmaan goes beyond financing and offers a range of support services, including professional legal assistance, upskilling opportunities, and day-to-day operational management. At Godrej Capital, we are dedicated to enabling MSMEs and ensuring their success during the festive season and beyond. We believe that our offerings, coupled with the comprehensive support provided by Nirmaan, will enable businesses to thrive and achieve their growth objectives. In our previous business loan campaign #IssLoanMeinLoadNahi, we promoted our flexible offerings inhelping businesses achieve their growth objectives and received very encouraging customeracceptance. Our upcoming campaign will now focus on new customer segments and, the value ofleveraging our flexible financing solutions to ensure businesses are financially supported for the upcoming festive season.”

“We anticipate a vibrant festive shopping spree ahead, reflecting a positive and forward-looking trend. A significant number of consumers are ready to elevate their shopping budgets, while others are poised to maintain their spending levels and a longer festive season this year helps. Sentiments show 23% people plan to shop more during the festive period as compared to last year. Additionally, 28% of participants in our study revealed their intention to maintain their spending habits at the same level as before. Spending on household items, clothing, and home improvement categories will see more purchase. Discretionary spends like appliances, mobile phone, cars would still be impacted because of restricted rural demand and mass segment products would still be affected. But overall, our insights paint an encouraging picture for the retail landscape,” said Girish Upadhyay, Chief Marketing Officer, Axis My India.

He further said, “Offline shopping has traditionally dominated the festive season spends and will continue to do so this year. Having said that, e-commerce will increasingly play a pivotal role, with an increasing interest in festive online sales. Significantly, a notable 23% of participants in our latest Consumer Sentiment study confirmed their past participation in online festive sales and expressed their intent to maintain this pattern this year as well. Additionally, 11% of those who had not engaged in festive online sales before expressed their interest in participating this year, which means a sizeable number would be doing online shopping for the first time. This evolving trend suggests a promising market dynamic.”

According to industry sources, 84% of Indians are expected to increase their spending during the holiday season and 63% of the shoppers are showing diminished price consciousness in the pre-purchasing period, given they are open to exploring different brand options before making a purchase decision. According to 54% of the shoppers, hybrid shopping experience is preferred by them more, while according to 44% of the shoppers, they prefer online shopping more than offline ones. 36% of the buyers have started their festive shopping since the onset of September. This year some of the major highlights are hybrid shopping behaviour with attractive discounts and offers by brands, exploration, and self-love and expression as after a period of minimal celebrations, consumers are now ready to unleash their festive spirit with full fervour and joy.

According to Yogesh Dhingra, Founder, MD & CEO, Smartr Logistics, driven by India’s strong economic performance, rise in incomes, as well as increased access to internet and e-commerce platforms, India has been witnessing strong and consistent growth in consumer spending. As per a report by e-commerce aggregator, Shiprocket, consumer spending will double by 2030. The latest report on the India Consumer Sentiment Index (CSI) from Axis My India, a leading consumer data intelligence company, notes that 58% of households report an increase in overall household spending across both essential and non-essential sectors. These factors coupled with the general seasonal increase during festive months should contribute to a bumper festive season 2023.”

He added, “As a logistics and express delivery partner to many D2C, B2C, and B2B customers, Smartr Logistics has already seen increased overall volumes driven by Independence Day sales and Raksha Bandhan festivities. The trends indicate higher spending across fashion, apparel, consumer goods, electronics, and food being the most ordered products in the market. These categories attract the most shoppers during festivals, and we expect exponential purchase orders from brands catering for these products in the coming months.”

“At Kärcher India, we’re eagerly preparing to immerse ourselves in the vibrant festive season with unbridled enthusiasm. Our strategic vision entails harmoniously uniting our unwavering dedication to the Swachh Bharat campaign with the sheer joy of celebrating these special occasions. Our paramount objective is not merely to transform cleaning into a mundane task but to elevate it into a captivating and delightful experience for our cherished clientele. To align seamlessly with the festive spirit, our marketing blueprint revolves around rekindling the "WOW factor" in every cleaning endeavour.Our masterful marketing strategy for this festive season is meticulously crafted to engineer “zero moments of truth” for our discerning customers. We aspire to provide them with first-hand encounters of the transformative power that Kärcher products wield in their lives. Whether it’s preparing your abode for the arrival of guests or maintaining an immaculate outdoor space for celebratory gatherings, Kärcher is your trusted partner, ready to infuse that extra sparkle and brilliance into your festivities,” said Ayesha Prasad Narain, AGM - Marketing, Karcher India.

She further added, “This year, we’re particularly thrilled about our cutting-edge range of robotic vacuum cleaners. These cutting-edge devices are not only emblematic of our unwavering commitment to Swachh Bharat, but also symbolise a shift towards effortless and enjoyable cleaning. As the festive season approaches, they represent the perfect addition to your home, ensuring a pristine ambience without any of the usual hassles. Traditionally, the festive season is synonymous not only with investments in fashion and gastronomy, but also in household appliances. This year, Kärcher is no exception. We are fervently working towards broadening our urban customer base. Given that the festivities invariably entail comprehensive home and surroundings cleaning, we’re delighted to offer captivating bundles and combos, making it more accessible for countless Indians to experience the joy of a spotless home with Kärcher in 2023.”

Kiran James, Global Head of Marketing & Product Development, Muthoottu Mini Financiers Ltd, shared how Muthoottu Mini, a gold loan NBFC, approaches the festive season quite differently from many other brands, especially e-commerce companies whose marketing campaigns revolve around festivals. He shared, “For us, the festive period holds a unique significance because our customer base predominantly resides in rural parts of India, and their priorities during festivals differ. During festive seasons, our customers often seek to have their gold ornaments and jewellery back with them. This desire to possess their gold is linked to cultural and traditional practices where these assets hold sentimental and symbolic value. As a result, our focus during this time is on facilitating the smooth release of gold assets to our customers, aligning with their needs and preferences. Once the festival season nears its end we will start to aggressively reach out to new and existing customers with our product and offerings and try to capture a big part of the market share.” 

He further added, “We initiated a significant shift in our marketing approach during the first quarter. Instead of maintaining our previous ad spend levels, we made the strategic decision to reduce our Above-The-Line (ATL) spending. This allowed us to reallocate our resources and focus on Below-The-Line (BTL) marketing activities, particularly in our local branch communities. During this period, our main goal was to strengthen our connections with customers and enhance our visibility in these local markets. We also concentrated on re-engaging dormant customers to reignite their interest in our products and services. As a result of this deliberate shift, our ad spend may appear lower compared to the previous year. However, it reflects our intentional effort to optimize our marketing resources with a local and customer-centric approach. We believe that this strategy has been instrumental in improving our business performance and resource allocation efficiency. Moving forward, we are committed to maintaining this approach to ensure sustained growth and success.”

Home locker solutions provider Godrej Security Solutions is coming up with innovative campaigns in the wake of the festive season. Pushkar Gokhale, Business Head, Godrej Security Solutions, said, “In the forthcoming festive season, we’re introducing our ‘Desh ki Tijori’ campaign through an innovative smart van initiative. These vans are ingeniously fashioned to replicate life-sized home lockers and will embark on a journey spanning four distinct zones, commencing from Mumbai and encompassing the west, east, south, and east regions. Our aim is to give users an immersive experience with our comprehensive range of home security products. This activation campaign will debut in Mumbai and then expand with the deployment of four separate vans across these four zones, ensuring a pan-India presence. The campaign will be backed by an extensive TV and Digital ad campaign promoting our consumer offer.In response to the changing landscape of digital consumption, we have undertaken a comprehensive redesign of our marketing strategy. With the post-COVID era witnessing a significant surge in digital adoption, we have re-evaluated our media mix to effectively engage our target audience.Recognizing the critical role of digital platforms, we have chosen Google as our cornerstone platform to connect with in-market audiences actively seeking home security products. Our focus is on guiding these potential customers through the sales funnel. We are working on a lucrative offer which we can provide on our D2C website, www.shop.godrejsecure.com and get people to visit our site and avail the offer.”

He further added, “Since brand consideration is our primary objective for home lockers, we are heavily investing in brand campaigns across digital channels. We have already invested in platforms such as INshorts, MyGate, NDTV News, and MoneyControl, which serve to generate consideration for our home lockers category and introduce our offerings to new consumers. We are further looking at investing in platforms like Paytm, Quora, to target more focused users and gain visibility. Simultaneously, our captivating video campaign, ‘Bilkul Safe Hai’, starring Ayushmann Khurrana, will take centerstage, gracing the screens of leading General Entertainment Channels (GEC) on television. This exciting campaign will also shine brightly on digital platforms, encompassing Connected TV and the ever-popular YouTube, all throughout the festive season. Within the general trade sector, we have crafted a captivating incentive program for our valued customers. We’re set to reward our top five customers with an all-expenses-paid getaway for a couple, to the picturesque destination of Srinagar.”

Rashi Garodia, Business Head, Team Pumpkin, Kolkata, said, “Being a 360-degree marketing agency, we understand the significance of gearing up for the festive season that holds significant cultural meaning for individuals. Our approaches are strategically planned with the east market in mind, substantially creating campaigns that connect with larger masses and have a cultural admiration. In this fast-paced setting, brands are using integrated approaches to captivate their customers. Well, we believe in leveraging the brands through digital channels and use cutting edge marketing solutions. In comparison with previous years, this festive season the marketers are emphasising customisation and data-driven approaches to create campaigns resonating with consumer’s preferences.”