Festive Spending Gets More Selective as Consumers Prioritise Value-Driven Fashion and Skincare
India’s festive shopping season is seeing consumers take a more considered approach to discretionary purchases, with value for money, product quality and practical use influencing decisions across fashion, beauty and skincare. Rather than spending freely across multiple categories, shoppers are increasingly weighing their choices and concentrating budgets on products they consider worth the price.
The trend reflects a broader shift in consumer behaviour during the 2026 festive season. Clothing remains a major shopping priority, while beauty and personal-care purchases are also attracting attention. However, consumers are comparing brands, researching products and considering discounts before making decisions.
According to the Economic Times’ report on festive shopping trends, Indian consumers continue to spend on celebrations but are paying closer attention to price, quality and utility.
Quality and Price Shape Festive Purchases
Consumers are balancing affordability with the desire for products that meet their expectations. YouGov’s India Festive Shopping Report 2026, published in September, found that 49% of surveyed consumers prioritised product quality when choosing between brands, while 42% cited price or discounts.
The report also found that 26% planned to maintain their usual festive budget while shopping more strategically.
These findings indicate that a lower price is not necessarily the only factor behind a purchase. Shoppers may be willing to spend more on an item if they believe its quality, usefulness or durability justifies the cost.
For fashion retailers, this can mean demand for versatile clothing, dependable quality and designs that can be worn beyond a single celebration. For skincare and beauty brands, communicating product benefits clearly and providing transparent pricing may help consumers make more informed choices.
The survey findings reflect reported consumer preferences and do not mean that every shopper follows the same purchasing pattern.
Source: YouGov — India Festive Shopping Report 2026
Fashion Remains a Key Festive Category
Clothing and fashion continue to occupy a prominent place in festive shopping, as consumers buy outfits for family gatherings, religious celebrations, social events and gifting.
A LocalCircles survey reported by Moneycontrol estimated urban festive spending at ₹1.97 lakh crore in 2026, down 6% from an estimated ₹2.10 lakh crore in 2025. Among households planning festive purchases, 72% expected to buy clothing, footwear or accessories.
The findings suggest that fashion remains an important spending priority even as overall discretionary budgets come under pressure.
Shoppers may respond by comparing prices across online platforms and physical stores, looking for discounts, choosing coordinated outfits that can be reused, or allocating more of their budget to a smaller number of purchases. These are potential responses to tighter budgets rather than behaviours demonstrated by every survey respondent.
Retailers face the challenge of appealing to shoppers who want festive styles while remaining conscious of affordability. Clear product information, a range of price points and dependable quality can help consumers assess whether a purchase offers value.
Source: Moneycontrol — Festive spending to dip 6% to ₹1.97 lakh crore this year, survey finds
Skincare Purchases Are Becoming More Considered
Beauty and skincare products form another part of festive shopping, including personal-care essentials, makeup, gifts and products purchased in preparation for celebrations.
Research suggests that some consumers approach these purchases with planning rather than relying entirely on impulse. A study by Snapchat and GWI involving 1,008 Gen Z internet users in India found that 53% planned most of their beauty and personal-care purchases in advance. The research also reported that 49% sought ideas or inspiration and 45% looked for advice before buying.
These findings indicate that product discovery and evaluation are important parts of the beauty-shopping journey for the surveyed group.
For skincare brands, consumers may look for clear ingredient information, suitability for their needs, product reviews and realistic explanations of benefits. Price comparisons, product sizes and promotional bundles can also affect purchasing decisions.
However, the survey focused on Gen Z internet users, so its findings should not be interpreted as representing every age group or all Indian skincare consumers.
Source: ETRetail — Gen Z’s Diwali shopping: smartphones and fashion lead the way
Discounts Matter, but Value Goes Beyond Price
Festive sales remain an important part of retail activity, offering shoppers opportunities to compare prices and purchase products within a planned budget. However, consumer research suggests that price is only one part of the decision.
Quality, trust, convenience and product usefulness can also influence which brand a shopper selects. A heavily discounted product may not appeal if consumers are uncertain about its quality or suitability, while a trusted product may justify a higher price for some buyers.
This creates an opportunity for retailers to explain the value behind their products rather than relying exclusively on large discount claims.
In fashion, this may involve highlighting fabric, fit, durability and styling versatility. In skincare, relevant information may include ingredients, usage instructions, product size and evidence supporting advertised benefits. Brands should avoid exaggerated claims, particularly about skincare results.
Promotions can still attract attention, but clear pricing and credible product information can help consumers judge whether an offer genuinely meets their needs.
Online Research and Shopping Choices
Digital platforms play an important role in product discovery, price comparisons and purchase planning. Consumers can review product details, explore different brands and compare online offers before deciding where to shop.
At the same time, physical stores allow shoppers to assess clothing fit, fabric and colour in person, or inspect packaging and product sizes. Many consumers may combine online research with in-store shopping rather than rely on one channel alone.
For retailers, this makes consistency important. Product descriptions, prices, availability and promotional conditions should be clear across channels. Beauty and skincare brands can also help customers by making usage guidance and ingredient information easy to find.
The objective is not simply to generate interest but to give shoppers enough reliable information to make a confident purchase.
What the Trend Means for Retailers
The emerging pattern presents a challenge for brands seeking festive-season growth. Consumers may continue to participate in festive shopping while becoming more selective about the number and type of products they buy.
Retailers can respond by offering products across different price ranges, explaining quality and value, and making comparisons easier. Fashion brands can focus on wearable designs and product durability, while skincare companies can emphasise clear information, suitable product options and credible claims.
At the same time, businesses should avoid assuming that all consumers are cutting back. Some surveys report strong spending intentions, while others point to more cautious household budgets. Differences in survey samples, methods and questions can help explain these contrasting results.
The evidence therefore points to a more nuanced picture: festive shopping remains important, but the factors shaping individual purchases vary by consumer, category and budget
