Amazon's Great Indian Festival (AGIF) 2024 has kicked off with unprecedented success, marking the e-commerce giant's biggest-ever opening in the history of the event. With over 11 crore customer visits recorded in the first 48 hours alone, the sale has set new benchmarks for online shopping in India. What's particularly noteworthy is that around 80 per cent of these visits came from smaller towns and cities, often referred to as Tier 2 and Tier 3 locations.
This massive turnout reflects Amazon's growing reach beyond India's metropolitan hubs, and the platform's rising popularity among consumers in smaller urban and semi-urban areas.
The Prime Early Access period proved to be a game-changer for Amazon, witnessing the highest-ever participation from Prime members. During the event's first two days, Prime members purchased eight times more compared to an average shopping day, underscoring the platform's focus on delivering exclusive value to its loyal customer base.
The overwhelming response from Prime members further amplifies Amazon’s success in deepening customer engagement through its membership model, which provides benefits like early access to deals, free delivery, and exclusive discounts.
A key highlight of the Great Indian Festival this year has been the impressive performance of small and medium businesses (SMBs). According to Amazon, more than 8,000 sellers surpassed ₹1 lakh in sales within the first 48 hours of the sale.
Sellers from Tier 2 and Tier 3 cities have been among the biggest beneficiaries of the event. For example, Ashwini Kumar, the owner of Haryana Mart, reported a 100 per cent increase in sales compared to normal days, attributing the growth to the wider reach and customer base provided by Amazon.
Another success story emerging from the event involves women entrepreneurs, weavers, and artisans. These business owners saw tremendous demand for their products, with an average of over 1,500 units sold per minute during the sale.
Amazon’s efforts to empower local artisans and women-led businesses have paid off handsomely, as 65 percent of sellers receiving orders during the sale were from smaller towns and cities. This statistic highlights the increasing reliance on e-commerce platforms like Amazon for business expansion and income generation in India's heartland.
The role of bank offers, no-cost EMI options, and digital payment solutions cannot be overstated in the success of this year's Great Indian Festival. These offers were especially effective in driving sales for big-ticket items like smartphones, TVs, and large home appliances.
Data reveals that 1 in 5 purchases were made through EMI plans, which allow customers to spread out payments over time without additional interest. UPI transactions also surged, rising by 16 per cent compared to last year’s festival.
Amazon Pay emerged as another significant contributor, with 1 in 11 orders being paid through the Amazon Pay ICICI Co-Branded Credit Card, making it easier for customers to make larger purchases.
In terms of consumer preferences, smartphones emerged as the best-selling category during the sale. Premium brands such as Apple and Samsung led the charge, particularly in smaller towns. Astonishingly, over 75 per cent of smartphone sales came from these regions, indicating a growing appetite for high-end electronics in Tier 2 and Tier 3 cities.
In addition to smartphones, large-screen TVs also witnessed significant demand, with consumers in smaller towns showing increased interest in upgrading their home entertainment setups.
Amazon’s logistics infrastructure has played a crucial role in maintaining the smooth functioning of the sale. The company claims that over three lakh products were delivered either the same day or the next day, demonstrating the efficiency of its distribution network.
To accommodate the festive shopping surge, Amazon has hired more than 100,000 seasonal workers and expanded its fulfilment centres across the country. These steps were critical in managing the high volume of orders and ensuring timely delivery.
Amazon's Great Indian Festival 2024 has truly set new milestones in the Indian e-commerce landscape. With record-breaking sales, an overwhelming response from smaller towns and cities, and the success of small and medium businesses, the event showcases Amazon's growing reach and influence beyond the metros. The sale, which will continue throughout the month, is poised to further boost the Indian economy, empower local businesses, and cater to the ever-growing consumer demand for digital convenience and high-quality products.