High-value items were predominantly purchased on prepaid in tier-1 cities, while tier-2 and tier-3 cities continued to favour cash-on-delivery (COD) for their purchases
The Republic Day sale has showcased a revival in shopper enthusiasm after a muted post-festive season consumption, as gross merchandise value (GMV) surged by 41 per cent compared to last year’s sale period. GoKwik, an ecommerce enabler shared that direct-to-consumer (D2C) brands in its network witnessed a 36 per cent order surge during the Republic Day sale period compared to last year.
Beauty and fashion categories were key drivers to this order surge, contributing 34 per cent and 26 per cent respectively. In categories, footwear stood out, with orders nearly doubling during this year’s sale period. Healthcare also witnessed a 38 per cent increase in orders compared to last year’s Republic Day sale period, as stated by GoKwik.
“With slow demand in the last few months, brands started their Republic Day sale in full flash, aiming for a revival. Inflation also hit an all-time low, and core inflation seems to be stable, hovering around 4 per cent. Add to that the chatter around budget 2025 bringing about income tax reliefs for common folks. The sentiment amongst consumers seems to be heading in a positive direction – leading to this revival in consumption we see on our network,” said Chirag Taneja, Co-Founder and CEO, GoKwik.
Electronics and home decor saw a degrowth of 22 per cent and 34 per cent compared to last year’s Republic Day sale period respectively. The company added that for the first time, prepaid orders surpassed COD orders by 11 per cent, reflecting growing trust in D2C brands and the adoption of digital payment methods.
Average order values (AOV) also saw a shift. Prepaid AOV increased from Rs 1,171 last year to Rs 1,280 this year, while COD AOV declined slightly from Rs 1,293 to Rs 1,272. High-value items were predominantly purchased on prepaid in tier-1 cities, while tier-2 and tier-3 cities continued to favour COD for their purchases.
Tier-3 cities also drove 41 per cent of the order surge during this sale period, followed by tier-1 cities at 31 per cent and tier-2 cities at 26 per cent, it added. Regionally, Maharashtra, Karnataka, Uttar Pradesh, and Delhi were the top contributors to order growth, with shares of 16.8 per cent, 9.7 per cent, 8.8 per cent, and 6.7 per cent, respectively.
