Flipkart Experiences Significant Surge in Customer Purchases Using Credit Instruments During Festive Sale

Flipkart, an e-commerce giant, reported a significant rise in customer purchases using credit options during the initial days of its annual festive sale, The Big Billion Days. The company experienced a 27-fold increase in third-party easy monthly instalment (EMI) usage compared to regular days. This surge highlights the growing preference for flexible payment methods among shoppers during the sale period.

Representative image

Credit Card Usage and Cashback Offers

The Flipkart Axis Bank credit card, offering 5% cashback on every purchase, saw a remarkable 20-fold increase in spending and an eight-fold rise in transactions compared to non-sale days. Additionally, Flipkart Pay Later EMI transactions increased by 8.5 times in daily run rates compared to the period before the sale began. These figures underscore the popularity of credit facilities during this festive shopping event.

During the first two days of The Big Billion Days, which started on September 26 for select users and September 27 for everyone else, Flipkart recorded over 33 crore user visits. This number indicates multiple repeat visits by individuals on the platform. However, the company did not disclose the number of unique visitors during this period.

Product Demand and Regional Trends

Early trends revealed a growing demand for mobiles, food and nutrition products, and grooming items. There was also an increase in demand from tier 2 cities and beyond. Flipkart Wholesale experienced two times growth during early access to The Big Billion Days, with FMCG categories witnessing three times growth.

Cleartrip, Flipkart's hospitality platform, saw a 2.5 times increase in overall users compared to pre-festive season levels. Flight bookings rose threefold, while hotel bookings increased fourfold. Popular travel destinations included Goa, Amritsar, Nainital, Varanasi, and Mussoorie.

Shopsy, Flipkart's hypervalue platform, experienced a 70% rise in customer visits and a 2.8 times increase in transactions compared to pre-festive season figures. This indicates a strong interest in budget-friendly shopping options during the sale.

Geographical Insights

Demand surged not only from major metro cities like New Delhi, Kolkata, Hyderabad, and Bengaluru but also from regions such as Medinipur, Hisar, Berhampore, Bankura, and Agartala. This widespread interest highlights the appeal of The Big Billion Days across diverse locations.

Flipkart's festive sale has demonstrated significant growth across various platforms and product categories. The increased use of credit facilities and rising demand from different regions reflect changing consumer preferences during this festive period.