Festive spending set to rise as 95 per cent of Indians plan to spend more

Mumbai: Indian consumers are preparing to spend more, shop earlier and make more conscious choices this festive season, according to Hansa Research’s Festive Insights 2026 report.

The study found that 95 per cent of consumers plan to increase their festive spending, with 67 per cent expecting to spend at least 25 per cent more than usual. Of these, 45 per cent plan to raise spending by 25-50 per cent, while 22 per cent expect to spend more than 50 per cent extra.

The optimism extends beyond wallets. Some 82 per cent of respondents said they are excited about the upcoming festive season, with Diwali emerging as the most widely celebrated festival at 85 per cent. Dussehra and Navratri followed at 73 per cent, ahead of Raksha Bandhan at 65 per cent and Ganesh Chaturthi at 60 per cent.

Fashion and apparel are expected to lead festive purchases, cited by 69 per cent of respondents. Home décor and furniture follow at 51 per cent, while electronics and gadgets account for 50 per cent.

Sweets and snacks are on the shopping list for 43 per cent of consumers, while jewellery features for 35 per cent. The numbers suggest that festive spending is stretching beyond traditional gifting and essentials into broader lifestyle purchases.

The shopping journey is also becoming increasingly digital. While 38 per cent of consumers plan to shop exclusively through online platforms, another 25 per cent intend to combine online and offline channels.

That means 63 per cent of shoppers will incorporate online platforms into their festive journey. Local markets account for 18 per cent of planned shopping, while physical retail stores account for 12 per cent.

The traditional last-minute festive rush appears to be losing some steam. Half of consumers begin shopping two to four weeks before the festival, while another 11 per cent start one to two months in advance.

Overall, 61 per cent begin their festive shopping at least a week before the festival. Only 2 per cent leave their purchases until the last minute.

Discounts and deals remain the biggest purchase trigger, influencing 60 per cent of consumers. Family traditions follow at 53 per cent, while social media and influencer recommendations influence 48 per cent.

Brand trust and legacy account for 35 per cent of purchase influence, while advertisements stand at 32 per cent.

However, brands have a recall problem. While 95 per cent of consumers prefer brands that run festive-specific advertisements or offers, only 39 per cent could recall a brand that stood out in last year’s festive campaigns.

Festive consumption is also becoming more environmentally conscious. Some 85 per cent of respondents said they consciously make eco-friendly choices while shopping.

Among these consumers, 68 per cent avoid plastic decorations, 59 per cent prefer eco-friendly packaging and 58 per cent favour gifting experiences over products. Another 48 per cent prefer shopping from local, handmade or small businesses.

The shift suggests that sustainability is moving beyond product choices to influence how consumers celebrate and where they spend their money.

When asked what they want from festive campaigns, 43 per cent chose product discounts and bundles, making value the leading preference. Cultural storytelling and emotional advertising followed at 35 per cent.

Community or cause-led campaigns appealed to 15 per cent, while 8 per cent preferred exclusive limited-edition offerings.

Hansa Research CEO Praveen Nijhara said the festive consumer is optimistic about spending but increasingly deliberate about where, how and why they spend. He highlighted earlier shopping, digital discovery and conscious consumption as key changes shaping the consumer journey.

For brands, the message is fairly simple: festive visibility is no longer enough. With consumers shopping earlier, moving between online and offline channels and looking for both value and meaning, marketers will need to stay relevant throughout the journey rather than relying on a single festive push.