E-commerce Platforms Achieve INR 47,000 Cr GMV in First Week of Festive Season Sale
Three points you will get to know in this article:
- Ecommerce platforms in India saw a 19% YoY growth in GMV, reaching around INR 47,000 Cr during the first week of the 2023 festive season sale.
- High-value items like mobiles, electronics, and large appliances accounted for nearly 67% of the GMV in the first week.
- The Flipkart Group led the festive season sales with a 63% GMV share, followed by Amazon, while Meesho ranked second in sales volume.
During the inaugural week of the 2023 festive season sale, Ecommerce platforms successfully generated a remarkable Gross Merchandise Value (GMV) of approximately INR 47,000 Crore. This marked an impressive 19% year-on-year (YoY) growth, culminating on October 15, as reported by the esteemed consulting firm, Redseer.
The primary drivers of this surge were items with elevated Average Selling Prices (ASP), notably mobiles, electronics, and large appliances. These product categories emerged as the dominant force, collectively contributing to nearly 67% of the GMV during the initial week of the sale period.
During this year’s sales period, a noteworthy shift occurred as eight out of the nine days coincided with the ‘shradh’ period, in contrast to four out of nine days in 2022. This unique timing prompted consumers to lean significantly towards “essential upgrades” during the festive season, placing a heightened focus on purchasing and upgrading high ASP categories.
According to Redseer, the concluding day of the week experienced an impressive 36% Year-over-Year increase. Sharing insights, Abhishek Tandon, engagement manager at Redseer, highlighted two prevailing themes in the first week. Firstly, buyers exhibited a tendency to judiciously invest in premium products when offered at optimal prices. Secondly, there was a notable inclination towards spending on value-for-money products. This dual dynamic captured the essence of consumer behavior during the initial week of the sales period.
In the latest assessments from Redseer, it appears that the Flipkart Group, encompassing the shopping realms of Flipkart, Myntra, and Shopsy, continued its dominance in the festive season sales of 2023, achieving an impressive 63% in GMV. Following closely behind, Amazon secured a substantial market share.
Myntra, in a recent statement, revealed a noteworthy accomplishment of approximately 460 million customer visits during this year’s festive sales. Shifting the focus to sales volume, Meesho maintained its position as the runner-up, accounting for about 25% of the total orders, a notable increase from the approximately 21% recorded in 2022. This signifies a steady upward trajectory for Meesho in the competitive landscape.
In essence, these findings underscore the dynamic landscape of the festive season, with the Flipkart Group leading the charge and players like Meesho making significant strides in sales volume. It’s worth highlighting that the e-commerce platforms experienced a significant Gross Merchandise Value (GMV) of INR 29,000 Crores in the initial four days of this year’s festive season sales.
“Fueled by convenient financing options and a palpable sense of FOMO (fear of missing out) driven by the innovative ‘pre-book/price-lock’ feature introduced for the first time, we observed a premiumization trend unfolding notably in these high Average Selling Price (ASP) categories,” emphasized Redseer.
The research firm, anticipating an 18-20% growth, forecasted the GMV of the country’s e-commerce sector to reach INR 90,000 Crores during this festive season, a noteworthy increase from INR 76,000 Crores last year.
During the first week of the 2023 festive season sale, Indian e-commerce platforms experienced a 19% YoY growth, generating a gross merchandise value (GMV) of approximately INR 47,000 Cr. High-value items such as mobiles, electronics, and large appliances contributed significantly to sales, accounting for 67% of the GMV. The Flipkart Group led the sales with a 63% GMV share, followed by Amazon. Meesho secured the second position in terms of sales volume. The research firm Redseer projected a growth of 18-20% in the country’s e-commerce sector during this year’s festive season.
