E-commerce firms record 14% growth in sales during Independence Day
What's the story
India's e-commerce sector has reported a whopping 14% year-on-year (YoY) growth in order volumes during the recent Independence Day Sale. The data, released by Unicommerce, shows that over 35 million transactions were processed on its Uniware platform between July 31 and August 14. This spike highlights the rapid growth of digital commerce in India, particularly in smaller towns and cities.
GMV growth
Tier-3 cities major contributors to growth
Along with order volumes, the gross merchandise value (GMV) also saw a 12% increase from last year. This indicates a gradual shift toward value-driven shopping during festive seasons. Tier-3 cities emerged as the major contributors to this growth, accounting for nearly 14 million order items, almost double that of Tier-2 cities.
Market trends
Surge in home decor, furniture categories
The home decor and furniture categories witnessed a massive surge of over 200% in these markets. This indicates a major change as consumers in smaller cities are increasingly looking for lifestyle upgrades and aesthetic improvements for their homes. Tier-2 cities also saw a strong 26% growth in order volumes, with health and beauty categories witnessing significant jumps.
Category surge
What about health, beauty categories?
Nutraceuticals and supplements saw a whopping 74% jump, while makeup products rose by 57%. This shows that health consciousness and personal grooming preferences are on the rise among digitally savvy consumers. In Tier-1 cities and metros, traditional strongholds such as electronics and home appliances saw over 100% growth, while sports and fitness products jumped by 38%.
Diverse tastes
Festive sales reflect convergence of aspirations, access, technology
Across all markets, categories like toys and baby products grew by 25%, while fashion accessories rose by 19%. This indicates a growing trend of premiumization and diversification in consumer tastes. Kapil Makhija, MD & CEO of Unicommerce, said, "Festive sales are no longer just about discounts. They're a reflection of how India shops, as aspirations, access, and technology converge."