Festive carts fill early as omnichannel pivot and quick commerce reshape India’s festive playbook

India’s annual festive shopping cycle is breaking away from its traditional, concentrated calendar. Instead of cramming purchases into a hectic two-week window right before Diwali, consumers are hitting buy buttons earlier, stretching festive demand into a prolonged, multi-month spending season. This is compelling fast-moving consumer goods (FMCG) players, direct-to-consumer (D2C) brands, and e-commerce to rethink everything from supply chain logistics to shelf assortment across channels.

Data from retail enablement platform Fynd shows that D2C gross merchandise value (GMV) around Diwali expanded 47% year-on-year in 2025, accelerating from 34% in 2024, with projections anticipating a healthy 35% to 40% growth in 2026. Notably, early momentum was evident well in advance, as pre-Navratri D2C order volumes climbed 16% year-on-year by August 2025. Within fashion, consumer preferences also realigned substantially, with footwear expanding its share of fashion orders from 7% to 33% in 2025.

Last Diwali saw nationwide trade surge 25% year-on-year to hit a record ₹6.05 lakh crore, up from ₹4.25 lakh crore in 2024, according to CAIT data. Merchandise accounted for ₹5.40 lakh crore of the total, while the services sector generated the remaining ₹65,000 crore.

This year, underlying consumer sentiment paints a stable yet two-thronged picture between urban and rural markets. "Urban consumers continue to exhibit confidence, supported by improving convenience channels such as modern trade, e-commerce and quick commerce, alongside a growing willingness to experiment with new flavours, formats and premium offerings," Jyotiroop Barua, business head of confectionery at DS Group said. "Rural consumers remain relatively more value-conscious, with purchase decisions closely linked to affordability and local economic conditions. However, demand for trusted affordable brands and everyday indulgence categories continues to remain resilient."

Storefronts emerge as fulfilment nodes

Because demand is dispersing across broader geographic regions and multiple touchpoints, logistics strategies are transforming rapidly. Brands are moving away from relying strictly on heavy, centralised warehouse capacities, instead converting their physical storefronts into regional micro-warehouses.

According to Ragini Varma, chief business officer at Fynd, the challenge for sellers is no longer merely adding storage space, but fulfilling orders efficiently across platforms. Store-led fulfilment surged from 29% of orders in 2024 to 51% in 2025, overtaking traditional central warehouses for the first time. Furthermore, inventory hopping, which reroutes an order to wherever stock is physically available, saved an additional 4% of orders that would have otherwise slipped away. Varma noted that quick commerce is also playing an expanding role for last-minute gifting, occasion wear, and impulse purchases, making real-time inventory visibility vital.

At the same time, festive demand is permeating beyond major marquee festivals. Quick commerce platform Zepto reported that discovery is taking place earlier, with shoppers seeking tailored assortments for regional festivals such as Teej and Ekadashi. Devendra Meel, chief business officer at Zepto, highlighted that quick commerce is enabling brands to respond with festival-specific inventory that moves well beyond daily grocery essentials.

New-age dairy and FMCG brand Epigamia has harnessed this rapid delivery channel to fuel massive expansion. The company currently operates at an annual recurring revenue (ARR) exceeding ₹500 crore based on net sales revenue, driven by strong double-digit growth over the past two years.

Quick commerce accounts for roughly 50% to 60% of Epigamia’s business, while offline retail generates about 35% to 40%. "It's also democratising access, thereby bringing greater variety and choice to consumers well beyond the top cities. We have leveraged this opportunity to significantly expand our reach," said Ritesh Gauba, CEO, epigamia.

Managing a two-speed consumption market

While rapid delivery and digital storefronts capture high-velocity urban spend, overall FMCG performance reflects distinct regional dynamics. Sector value growth has hovered in the mid-single digits, highlighting a two-speed consumption pattern where rural volume growth outpaces urban rates.

Barua observed that while urban shoppers show strong confidence and an appetite for premium experimentation, rural buyers remain value-conscious. Consequently, navigating the upcoming quarters requires balanced price-pack architectures. In spices, staple segments like Straights and Wholes remain the primary mass-market drivers, even as premium sprinklers steadily grow.

"We remain positive about consumption over the next two quarters, with the festive period expected to support FMCG demand. However, growth is likely to remain nuanced as consumers continue to prioritise value, making the right price-pack architecture critical," he said.

However, Barua cautioned that elevated raw material costs, influenced in part by an uneven monsoon, could introduce unpredictability.

Meanwhile, horizontal e-commerce marketplaces are reinforcing their delivery speeds and regional selections to capture demand across both metro and non-metro towns. Saurabh Srivastava, vice president at Amazon India, said that ahead of the Amazon Great Indian Festival, customers across Bharat are looking to upgrade smartphones, appliances, and home decor alongside festival staples, relying on delivery timelines ranging from minutes to next-day delivery.

Last year's Amazon's Great Indian Festival drew its highest ever customer visits at 276 crore, with 70% coming from tier-2 and 3 cities.

As the season unfolds, the winners will be those who balance accessible pricing with nimble, store-backed fulfilment.