38 lakh weddings to generate Rs 4.74 lakh crore starting November 23
The remarkable surge in Diwali sales has set an optimistic tone for India’s business community as it gears up for the upcoming wedding season starting on November 23. The Confederation of All India Traders (CAIT) forecasts an impressive business turnover of Rs 4.74 lakh crore in mainline retail, encompassing a diverse array of goods and services, as the nation prepares for approximately 38 lakh weddings.
Comparing this estimate with the figures from the previous year, where 32 lakh weddings took place during the same period with a trade valuation of Rs 3.75 lakh crore, it becomes evident that there is a notable uptick in both the number of weddings and the economic scale of associated expenditures. This growth not only underscores the vibrancy of India’s consumer economy but also signifies increased consumer confidence and purchasing power.
The wedding season, commencing on Dev Uthan Ekadashi and extending until December 15, is strategically positioned with auspicious dates in November (23, 24, 27, 28, 29) and December (3, 4, 7, 8, 9, 15). These dates carry cultural significance, further fueling the demand for various products and services integral to wedding preparations.
Businesses catering to the wedding industry, including but not limited to clothing, jewelry, event management, catering, and hospitality services, are poised to play a pivotal role in meeting the soaring demands during this festive period. This surge not only brings economic gains to businesses but also contributes to job creation and economic activity at various levels of the supply chain.
Moreover, the substantial increase in the number of weddings and associated expenditures reflects not just a seasonal trend but potentially a broader economic recovery. Consumer spending during festive seasons often serves as a barometer for economic health, and the robust performance witnessed during Diwali and the ensuing wedding season augurs well for the overall economic outlook.
As businesses strategize to meet this heightened demand, it’s expected that the positive momentum will extend beyond the wedding season, leaving a lasting impact on the trajectory of India’s economic recovery. The resilience and adaptability demonstrated by businesses in the face of challenges have positioned them well to capitalize on these opportunities and contribute to the country’s economic resurgence.
The extended period of weddings from mid-January to July 2024 promises a sustained boost for India’s business landscape. The Confederation of All India Traders (CAIT) conducted thorough consultations with trade bodies in 30 cities, which serve as distribution centers, and engaged with various stakeholders in both goods and services sectors. The collaborative effort resulted in an insightful projection that anticipates around 38 lakh weddings across the country during this period, injecting an estimated Rs 4.74 lakh crore into the market.
CAIT’s estimation takes into account not only the direct spending on wedding-related purchases but also the significant impact on the procurement of various services. This underscores the comprehensive nature of the economic activity associated with the wedding season, influencing diverse sectors such as clothing, jewelry, catering, event management, and hospitality.
Delhi, being a focal point, is expected to witness over 4 lakh weddings during this season, contributing substantially to the overall economic impact. CAIT’s national president BC Bhartia and secretary general Praveen Khandelwal have highlighted that these weddings in Delhi alone are poised to generate a business of about Rs 1.25 lakh crore.
The breakdown of expenditure patterns provided by CAIT offers a granular understanding of the economic dynamics involved. It anticipates a diverse range of wedding expenses, with approximately 7 lakh weddings incurring expenses around Rs 3 lakh, 8 lakh weddings with Rs 6 lakh, 10 lakh weddings with Rs 10 lakh, 7 lakh weddings with Rs 15 lakh, 5 lakh weddings with Rs 25 lakh, 50 thousand weddings with Rs 50 lakh, and another 50,000 weddings with expenses exceeding Rs 1 crore.
This detailed breakdown reflects the varied economic scales of weddings, indicating a wide range of opportunities for businesses catering to different segments of the market. The wedding season, therefore, not only signifies a period of cultural and familial celebrations but also serves as a substantial driver of economic activity, fostering growth and prosperity across multiple sectors throughout the specified timeframe.
The breakdown of wedding-related expenditures, as provided by CAIT members, illuminates a well-balanced distribution between goods and services, with each contributing 50 percent to the overall economic impact of the wedding season. This comprehensive understanding unveils the significant role that weddings play in driving economic activity across various sectors.
In the goods sector, the allocation of expenditures is detailed, offering a nuanced perspective on the diverse industries benefiting from the economic surge associated with weddings:
A substantial portion of the budget, 10 percent, is dedicated to textiles, emphasizing the paramount importance placed on clothing and attire for the wedding ceremony. This encompasses purchases not only for the bride and groom but also for other family members.
Jewellery, constituting 15 percent of the budget, holds a significant share of wedding-related expenses. This category includes purchases of gold, silver, and other precious and semi-precious stones, highlighting the traditional and culturally significant aspect of weddings.
The allocation of 5 percent for electronics and consumer durables underscores the role of technology and household items in wedding preparations. This may encompass purchases such as appliances, gadgets, and other electronic devices.
Food and hospitality, integral to Indian weddings, claim a 5 percent allocation for dry fruits, sweets, and savouries. This covers expenses related to the purchase of these items for various ceremonies and celebrations.
Essentials like groceries and vegetables, with a 5 percent allocation, signify the significance of food preparations and feasts during the wedding festivities.
Gifts, allocated 4 percent of the budget, play a crucial role in Indian weddings. This category includes expenses related to the purchase of gifts for guests and the bridal couple, contributing to the overall joyous atmosphere.
The remaining budget, 6 percent, is earmarked for other miscellaneous items. This category indicates a diverse range of expenditures that may include decoration, transportation, and other miscellaneous wedding-related expenses, adding to the richness and uniqueness of each celebration.
This detailed breakdown not only provides valuable insights into consumer spending patterns during weddings but also offers businesses a strategic understanding of specific market segments with the potential for increased demand. The balanced distribution between goods and services underscores the comprehensive economic impact of the wedding season on a wide array of industries, portraying weddings as not just cultural events but also significant drivers of economic activity and growth.
The flourishing wedding season is anticipated to bring about a significant boon for the services sector, with various segments poised to experience heightened demand. The detailed allocation of expenditures in the services sector offers a comprehensive overview of the diverse industries set to flourish during this period.
The allocation for venue services, comprising 5 percent, underscores the importance of selecting the right setting for wedding ceremonies. This includes expenses related to booking banquet halls, hotels, and other venues for various events associated with weddings.
Event management services, accounting for 5 percent of the budget, reflect the increasing demand for well-coordinated and memorable weddings. This category covers expenses for professional event organizers who manage and execute different aspects of the wedding, ensuring a seamless and enjoyable experience.
Tent decoration, with a substantial allocation of 12 percent, is recognized as a crucial aspect of Indian weddings, contributing to an aesthetically pleasing and festive atmosphere. This category includes expenses related to the design, setup, and embellishment of tents at various wedding venues.
With a significant allocation of 10 percent, catering services highlight the central role that food plays in wedding celebrations. This encompasses expenses related to hiring caterers and providing meals for guests, ensuring a delightful culinary experience.
Flower decoration, allotted 4 percent of the budget, contributes to the visual splendor of weddings. This category covers expenses for floral arrangements, both for venue decoration and personal adornment, enhancing the overall ambiance.
The allocation of 3 percent for travel and cab services underscores the importance of transportation during wedding festivities. This includes expenses related to guest transportation and wedding processions, ensuring smooth and efficient mobility.
In the age of visual storytelling, the allocation of 2 percent for photo and video shoots highlights the key role of capturing precious moments through professional photography and videography services.
Musical entertainment, an integral part of Indian weddings, is allocated 3 percent for orchestra and band services. This includes expenses for hiring musical groups to enhance the celebratory atmosphere with lively performances.
Creating a vibrant and engaging ambiance often involves investments in lights and sound systems, with 3 percent allocated to this category. This covers expenses related to the setup and management of lighting and sound equipment at various wedding venues.
The remaining budget, allocated as 3 percent for miscellaneous services, indicates a diverse range of expenditures. This may include services like mehndi artists, beauticians, and other specialized services that contribute to the overall grandeur of weddings.
BC Bhartia and Praveen Khandelwal express optimism that the momentum generated by wedding season sales will extend through Christmas and New Year celebrations. Furthermore, with another surge anticipated in the wedding season starting January 14, the economic impact on businesses across both goods and services sectors is expected to endure, providing sustained opportunities for growth and prosperity.
