Festive Sales To Reach $12 Bn In 2024, Up 23%

The festive season is a time of joy, celebration, and connection, but in recent years, it has evolved beyond just physical gatherings and traditional rituals. The rise of digital technology has given birth to a new way of celebrating - through phygital experiences. By blending the best of both physical and digital worlds, phygital experiences offer a seamless and immersive way to enjoy the festivities. Whether it’s virtual Diwali parties with family across the globe, augmented reality shopping experiences for Christmas, or digital invitations for Eid celebrations, the merging of these realms enhances the way we engage with festivals, keeping the essence of tradition alive while embracing innovation.

A report by Datum forecast says that festive sales are expected to witness a growth of 23 per cent to reach Rs 100,000 crore ($12 billion) in 2024. Mobile and fashion categories to dominate festive spending, account for 50 per cent of sales. Quick commerce to account for $1 billion in sales (8 per cent of total online sales) – grocery and BPC to lead the growth powered by Quick Commerce. Quick commerce will account for 51 per cent of online grocery sales. Around 65 per cent of online buyers will spend more during this festive season, the report adds. Talking to Bizz Buzz, Anjum Parveez, Business Lead – Retail and Enterprise, India, Infobip, said, “Festivals provide businesses a prime opportunity to build brand loyalty and boost retention through elevated and memorable shopping experiences. In 2024, phygital experiences stand out as a key strategy for enhancing customer engagement. Shoppers now appreciate the ease of online browsing paired with the tactile touch points of physical stores. Brands can leverage this by offering personalized recommendations, promotions, and content based on customers’ preferences and behaviors.”

For example, in-store kiosks let customers place orders and access product information, while QR codes direct them to WhatsApp chats for real-time inventory and delivery options. Integrating such digital tools creates a more immersive, personalized shopping experience. Providing platforms for feedback and encouraging participation in online communities can also strengthen loyalty, as customers feel heard and part of a like-minded community of brand advocates. By blending digital and physical elements, businesses can create memorable, impactful experiences that resonate with customers long after the purchase.

Roshan Shah, Co-Founder and CEO of VoloFin said, “Festive seasons offer a unique opportunity for businesses, especially SMEs, to embrace the growing trend of phygital experiences—blending the best of physical and digital interactions.”

At VoloFin, we are witnessing a significant shift as SMEs adopt digital financing solutions to meet their seasonal demands more efficiently. Our innovative platform is transforming the industry by enabling fast, paperless factoring transactions that are not only convenient and easy but also planet friendly. With seamless integration of digital tools, we're helping businesses bridge the gap between traditional and modern finance. This ensures faster access to working capital, allowing SMEs to focus on scaling up for the festive rush while contributing to a greener planet. The future of financing is digital, and VoloFin is leading the charge in delivering a smooth, customer-centric experience, he said.

As we continue to adapt to a more connected and digitized world, phygital experiences during festive seasons have become a powerful way to bridge the gap between the digital and physical. They allow us to stay rooted in tradition while exploring new, dynamic ways to celebrate. The integration of technology into our festive experiences not only enhances convenience and engagement but also opens doors to more inclusive celebrations. As the line between the digital and physical continues to blur, one thing remains clear - festive seasons will always be about bringing people together, no matter the platform.