Festive E-Commerce Sales Fall 7-10% As Smartphone, Laptop Prices Weigh On Demand

Last Updated:October 12, 2026, 08:04 IST

Online festive sales generate GMV of Rs 29,800-30,900 crore between October 7 and 10, compared with Rs 33,200 crore in the corresponding period last year.

According to Datum Intelligence, smartphones are projected to account for 30% of overall festive GMV this year, down from 35% in 2025.

India’s festive e-commerce sales have started on a weaker note this year, with gross merchandise value (GMV) declining an estimated 7-10% year-on-year in the first four days as rising smartphone and laptop prices weigh on big-ticket purchases.

Online festive sales generated GMV of Rs 29,800-30,900 crore between October 7 and 10, compared with Rs 33,200 crore in the corresponding period last year, according to e-commerce consultancy Datum Intelligence, as reported by Moneycontrol.

The subdued start comes amid higher memory and component costs that have pushed up electronics prices, prompting consumers to delay device upgrades. Smartphones and laptops, which typically account for a significant share of festive sales, are facing pressure even as categories such as fashion and beauty help sustain shopping activity.

Satish Meena, founder of Datum Intelligence, told Moneycontrol that the absence of a GST rate cut this year has also contributed to the slower start. Last year, GST rate reductions took effect on September 22, coinciding with the opening of major festive sales and encouraging purchases of big-ticket products.

Higher component costs have further affected electronics demand, Meena said, adding that smartphone sales typically drive a substantial portion of the value growth during the festive period.

As Moneycontrol reported earlier, rising memory and component costs are putting electronics demand to the test, with higher prices expected to weigh on festive purchases.

Order volumes remain strong despite slower value growth

The weaker GMV performance has not translated into an across-the-board slowdown in shopping activity. E-commerce platforms recorded around $2.5 billion, or approximately Rs 24,000 crore, in GMV over October 8 and 9, according to RedSeer Strategy Consultants. The platforms received an estimated 8-9 crore orders, with 60-65 million shoppers participating during the two-day period.

Amazon’s Great Indian Festival opened to all shoppers on October 8, while Flipkart’s Big Billion Days began accepting all customers on October 7. The platforms’ flagship festive sales offer discounts across smartphones, electronics, fashion and home appliances, making them a major driver of online consumption during the festive season.

Nikhil Dalal, associate partner at RedSeer, told Moneycontrol that the opening two days reflected a broadening of India’s festive e-commerce basket, with growth increasingly driven by order volumes and consumers distributing their spending across fashion, electronics and appliances rather than concentrating on mobile phones.

Fashion GMV grew 22-25% year-on-year during the first two days, accounting for 15-18% of overall sales, according to RedSeer. Demand was supported by shoppers in smaller towns purchasing festive wear at affordable price points.

RedSeer expects 100 million shoppers to make purchases during the first 11-day phase of the festive sales, indicating that participation could remain broad-based despite pressure on the value of purchases.

Smartphones’ share of festive sales likely to decline

Smartphones are contributing a smaller share of festive e-commerce sales this year, reflecting higher prices and a relatively weak device replacement cycle.

According to Datum Intelligence, smartphones are projected to account for 30% of overall festive GMV this year, down from 35% in 2025. Mobile sales growth is also expected to slow sharply to 6%, compared with 26% last year.

The divergence between order volumes and GMV suggests that consumers are continuing to shop but may be avoiding expensive purchases or spreading their budgets across lower-priced products and multiple categories.

With smartphones and other electronics facing cost pressures, the performance of fashion, beauty, appliances and other categories will be important in determining whether online retailers can recover momentum over the remainder of the festive shopping season.

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How did India’s festive e-commerce sales perform in the initial days?

India’s festive e-commerce sales experienced a weaker start, with gross merchandise value declining by an estimated 7-10% year-on-year in the first four days.

What factors contributed to the slower start in festive online sales?

Higher memory and component costs pushed up electronics prices, and the absence of a GST rate cut compared to the previous year contributed to the slower start.

How did order volumes and shopping categories behave despite slower value growth?

E-commerce platforms recorded around $2.5 billion in GMV with 8-9 crore orders, as shopping activity broadened with strong demand in categories like fashion.

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