Navratri Festive Sales Rise 23–25% in First Two Days Following GST Cuts: Report

Consumer buying has grown this festive period, with the first two days of Navratri witnessing sales increasing 23–25 per cent over last year, according to a recent report.

Redseer, a market research firm, says this surge—driven by GST-led price cuts and increased festive sentiments—is among the best openings in recent memory.

The new GST rates, which came into effect from September 22, have reduced prices of many of the most demanded items directly. Large-screen TVs, for example, saw GST reduced from 28 per cent to 18 per cent, translating to a 6–8 per cent decrease in retail prices.

This change has led to consumers choosing to purchase higher-end models. Fashion items below Rs 2,500 now include only 5 per cent GST, and furniture too has been shifted to the 5 per cent slab, which is moving more people to make purchases.

Industry experts point out that festive shopping this year is different from other seasons. Instead of looking at discounts alone, purchasers are moving more towards aspirational buying.

Not only metro cities, but tier-2 and tier-3 urban areas are also driving growth, a sign of increasing consumer confidence and a desire for discretionary expenditure.

Online shopping platforms are seeing record traffic. Amazon reported over 38 crore visitors in the first two days of its festive sale, which was its best opening ever. Over 70 per cent of this traffic originated outside the top nine metro cities, the report added.

Product categories like smartphones, appliances, fashion items, and wellness products are all witnessing strong demand. High-end devices—like QLED and Mini-LED TVs, high-end washing machines, and flagship handsets—are especially sought after.

Small and medium businesses are also not lagging behind. Amazon reported that more than 16,000 SMBs have witnessed their sales increase three-fold relative to a typical day, with a lot of this energy originating from non-metro markets.

Redseer pointed out that the demand was so strong that e-commerce apps slowed down or crashed altogether as consumers in a hurry snapped up early-bird offers and flash sales.

Analysts opine that the synergy of GST 2.0 reforms and festive fervor has provided India's e-commerce industry with its best ever beginning in years, reflecting a transition to policy-driven consumer expenditure growth.