Festive season wraps up with 24 pc e-comm order volume surge; q-comm shines

New Delhi | The 2025 Diwali festive season wrapped up on a sparkling note for India's e-commerce sector with 24 per cent year-on-year growth in order volumes and a 23 per cent surge in gross merchandise value (GMV), according to Unicommerce, the e-commerce enablement SaaS platform.

Quick commerce apps emerged as the biggest growth driver, clinching a 120 per cent YoY jump in order volumes, followed by brand websites with a 33 per cent rise.

Marketplaces remained the dominant channel, accounting for 38 per cent of total purchases and growing 8 per cent year on year in order volumes.

Unicommerce said the insights are based on over 150 million transactions processed through its flagship platform, Uniware, during the 25-day festive period in 2024 and 2025.

"The 2025 Diwali festive season ended on a strong note for India's e-commerce sector, which recorded a 24 per cent year-on-year (YoY) growth in order volumes and a 23 per cent rise in gross merchandise value (GMV)," as per Unicommerce release.

Top-performing categories included FMCG (driven by healthy food products like fusion sweets, dry fruit combos and millet namkeens), home decor and furniture, beauty and wellness (led by makeup and hygiene), and health and pharma (fuelled by strong demand for supplements).

Tier II and III cities accounted for about 55 per cent of total orders, underlining the digital momentum and purchasing power in smaller towns.

Regionally, tier II cities led growth with a 28 per cent on year increase in orders, followed by larger ones at 24 per cent, and tier III towns at 23 per cent, reflecting widespread festive fervour across the country.

On the payments front, prepaid orders grew 26 per cent, signalling stronger trust in digital transactions, while Cash-on-Delivery (COD) orders climbed 22 per cent in volume and 35 per cent in GMV, indicating a shift toward higher-value COD purchases and deeper consumer confidence in e-commerce platforms.

"Further reinforcing this growth momentum, data from Unicommerce's logistics platform, Shipway, showed that orders were delivered faster this year, with average shipping times during the 2025 festive season 15 per cent shorter than last year," it said.

This is reflective of enhanced supply chain readiness, smarter demand forecasting, and accelerated last-mile delivery, ensuring seamless and timely fulfilment even amid peak festive demand.

As per Flipkart, this year’s festive season has been one of the most defining moments for the platform, marked by record-breaking engagement and strong participation across the country.

Strong traction was observed across Mobiles, Electronics, Large Appliances, and Fashion, all of which recorded strong category growth compared to last year, Flipkart said.

Further, the trend of premiumisation remained prominent, as customers sought high-quality and aspirational products across price ranges.

"The sustained momentum we’ve witnessed throughout the festive period reflects the growing confidence and optimism of Indian shoppers, supported by a stable and progressive economic environment," Pratik Shetty, Vice President, Growth and Marketing, Flipkart, told PTI.

The introduction of GST 2.0 has further strengthened this sentiment, Shetty said, adding that by improving market efficiency, simplifying pricing structures, and driving better value across product categories, the reforms enhanced purchasing power and enabled millions of customers to shop with greater freedom and choice this festive season.

Flipkart has seen record visits during the 2025 festive period, setting new benchmarks for engagement on the platform.

Gen Z customers continued to emerge as a driving force, shaping demand across key categories, according to the ecommerce company.

Among other trends, tier 3-plus cities also showed "impressive growth" underscoring the deepening reach of digital commerce across India, Shetty said.