Stories
Early Shoppers Impact Festive Electronics Growth: H1 Sees 22% Rise, Festive Pegged at 15-17%
S
Storyboard•30-09-2026, 09:26
Early Shoppers Impact Festive Electronics Growth: H1 Sees 22% Rise, Festive Pegged at 15-17%
- •Electronics grew 22% in H1'25-26, a significant turnaround from a 5% contraction, making it a key driver of e-commerce acceleration.
- •Festive growth for electronics is projected at 15-17%, lower than H1 due to demand being pre-loaded by factors like GST reduction and rising component prices.
- •Major appliance and consumer electronics makers, including Blue Star, Godrej Appliances, and Haier, are raising prices from October 1st due to increased input costs.
- •Existing inventory from pre-sales in August and September is expected to cover Diwali sales at older prices, with increased prices likely post-Diwali.
- •Despite price hikes, consumer demand remains resilient, with buyers focusing on overall value (financing, warranty) rather than just the lowest price tag.
Key Questions Answered
Online electronics surged 22% in H1 2025-26, driven by a reduction in GST for large appliances from 28% to 18% in September 2025 and consumer anticipatory buying amid over 100% component inflation in DRAM and NAND memory prices.
Leading electronics makers are increasing prices due to costlier raw materials like copper, steel, aluminium, crude oil derivatives, and freight, alongside currency volatility tied to the West Asia crisis.
The share of mobiles and electronics on quick commerce platforms is projected to more than double from 7-8% during regular conditions to 14-15% during the festival season as horizontal platforms leverage quick delivery channels.
