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Bumper Diwali Sales: Not revenge buying but sustainable demand, says CAIT
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The bumper Diwali sales in 2021, touted as the highest recorded till now, was not triggered by 'revenge buying' but a 'sustainable demand' trend, according to the Confederation of All India Traders (CAIT).
As per CAIT, rising vaccination levels along with lower transmission levels instilled confidence in buyers. Besides, more choices at offer in retail outlets also ensured plenty of buying opportunity for the customers.
Explaining in detail the reasons behind the whopping Rs 1.2 lakh crore worth of sales recorded this Diwali season, CAIT's Secretary General Praveen Khandelwal told IANS: "Pent-up demand as well as lesser Covid related restrictions and more choices were some of the reasons behind this year's bumper Diwali sales, which broke a 10-year record.
"This trend is sustainable and completely viable as the country has achieved a high vaccination rate and is poised to control the pandemic completely."
The massive sales recorded during this Diwali season had baffled one and all with Mahindra Group Chairman Anand Mahindra twitting: "Is this just short-lived revenge buying? Or is it the return of the 'feel-good' factor? What are your views?"
As per CAIT, it's research arm CAIT Research & Trade Development Society (CRTDS) conducted a survey on estimation of Diwali sales across states.
The survey with trade leaders of all states and in particular from 20 different cities which are considered as leading distribution centres revealed that Diwali festive season this year generated a sales of more than Rs 1.25 lakh crore across India.
"It also transpired that the lacklustre attitude of the state governments about having a firecracker policy resulted in the loss of around Rs 10,000 crore of business to small manufacturers and sellers of firecrackers," the confederation said.
Khandelwal expects the sales upswing to continue.
"It is hoped that about Rs 3 lakh crore will be infused in the markets by the end of December, which will not only improve the economy, but will also relive the business community from great financial crunch," Khandelwal said.
