Indian D2C Brands See 27% Rise in Orders and 45% Sales Growth Before Diwali

Direct-to-consumer (D2C) brands in India witnessed a significant surge in activity during the lead-up to Diwali this year, with the volume of daily orders increasing by 27 percent compared to the same period last year. Alongside this rise in order quantity, the total value of goods sold grew by approximately 45 percent, signaling a robust festive shopping season for online retailers.

A recent analysis conducted by ClickPost, an AI-powered platform specializing in logistics automation and post-purchase solutions for D2C and retail businesses, examined over 80 million orders from almost 400 D2C brands. The study compared two key festive shopping windows: September 20 to November 5 in 2024 versus September 1 to October 17 in 2023. The findings reveal notable shifts in consumer behavior and spending patterns during the Diwali shopping period.

The report highlights that the gross merchandise value (GMV), which represents the total monetary worth of products sold, increased at a rate 1.7 times faster than the growth in order count. This indicates that shoppers were purchasing higher-priced items rather than opting for more affordable alternatives, despite inflationary pressures on retail prices. Rather than cutting back, consumers appeared willing to invest in premium products during the festive season.

Categories that saw particularly strong sales included luxury fashion, skincare, wellness products, and jewellery. These sectors have been gaining traction among Indian consumers who are increasingly looking for quality and exclusivity in their purchases. The preference for upscale goods during Diwali aligns with the festival’s cultural significance as a time for gifting and celebration.

Interestingly, the increase in sales and order volume did not come at the expense of delivery reliability. The report states that logistics operations managed to maintain or improve delivery performance despite handling more shipments. This suggests that D2C brands and their supply chain partners have been investing in efficient order fulfillment and last-mile delivery capabilities.

The growth of D2C brands in India reflects broader trends in the retail sector, where consumers are shifting towards online channels for convenience and access to a wider range of products. The Diwali festival, one of the largest shopping events in the country, provides an important opportunity for these brands to connect directly with customers and build lasting relationships.

Direct-to-consumer models allow brands to bypass traditional intermediaries, offering better pricing and personalized experiences. This approach has helped many local and emerging businesses scale rapidly and meet evolving consumer expectations.

Looking ahead, the continued expansion of digital infrastructure and increasing smartphone penetration are expected to fuel further growth in India’s D2C market. The strong performance observed during the 2024 Diwali season underscores the sector’s potential and the shifting preferences of Indian buyers towards premium and curated product offerings.

In summary, the Diwali 2024 shopping period proved to be a lucrative time for Indian D2C brands, with a 27 percent rise in orders and a 45 percent increase in sales value driven by consumer willingness to spend on higher-end goods. Efficient logistics and growing consumer confidence in online shopping contributed to a successful festive season, setting a positive tone for the months ahead.