Indians to Curtail Festive Season Spending: Survey
Bangalore: This is a time when the Indian market sees a splurge of traditional Indian consumer spending, but this season can be a bit different.
The planned expenditure of significant number of Indians (78 percent) for this festive season is expected to be less than 10,000, according to a survey called ‘Mood of the Nation Survey’ conducted by Ipsos, global market research firm.
43 percent of the respondents, mostly from the middle and lower middle class, said that they would spend less than 5,000. This curtail of expenses during this festive season is primarily due to high inflation and less job avenues and salary packages.
Only 16 percent of the Indians said that their budget for this Diwali season is between 20,000 to 50,000. This category of people is mostly elite with a significant higher income compared to middle and lower middle income families.
This survey was conducted among 420 men and women in Delhi, Mumbai, Bengaluru, Kolkata, Chennai and Lucknow n September 2012.
“High inflation and an uncertain economic environment are some of the main reasons for buyers cutting down on spending. They are trying to save more to be able to cope with high prices of necessities,” said Biswarup Banerjee, Head, Marketing Communication, Ipsos India, as quoted by Livemint.
“Value for money will be a critical factor when it comes to shopping. Bargain hunting may become the preferred choice for a majority of Indians as higher discounts will be definitely an added incentive for spending on desired items,” Banerjee added.
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