People are ready to spend more in the festive season, income of most increased: Survey – UBS Evidence Lab inside Indian consumer spending may rise this festive season

New Delhi. As soon as Shraddha is over, the festive season will begin. After this, the whole country will be immersed in the celebration of festivals from Navratri to Diwali. The good news is that this time consumers are ready to spend freely. A survey by UBS Evidence Lab India has revealed that 70 percent people are going to spend more this festive season than last year, while 18 percent people say that their spending is going to remain the same as last year. This percentage figure has been presented on the basis of 1500 respondents included in the survey. 11 percent of the respondents say that their expenditure is going to be less in this year’s festival.

Let us tell you that in this survey, 1500 people from all over India between the age of 18 to 54 years were included. All these people were from Socio-Economic Classification (SEC) A and B. A and B are the categories which include people with upper income and upper to mid income. Both these categories have a significant share as consumers.

73 percent of the respondents in this survey said that they have seen an increase in their income or it has remained stable, while 24 percent said that their income has declined. More than 70 percent of respondents said their income could increase in the next 12 months. Nearly 65 percent of the respondents said that the increase in their household income was more than inflation.

consumption related answers
About 46% of respondents are buying less personal care and packaged food compared to last year, and another 16% have not seen any significant change. Regarding purchasing of home care products, respondents were largely neutral compared to the previous year.

The survey results indicate that many people intend to purchase a 2-wheeler vehicle within the next 2 years. This time this figure was 58% among the respondents, whereas last year it was 55%. According to this, the number of people willing to buy a car has been only 50% this time as compared to 55% last year.

It also indicates that purchase intentions for smartphones within the next 2 years remain high (61% of respondents, similar to the previous survey). Improvement in purchase intentions was also seen for other consumer durables (including computers/laptops, refrigerators, ACs and TVs).