2024 Cricket Season Boosts Spending in Non-Metro Indian Cities: Visa Insights

Services

Equity Investment with CA Abhay

FNO Stocks with CA Abhay

Option Trading with CA Abhay

Stock Market Masterclass

Equity Trading with CA Abhay

Rising Spending Trends in Non-Metro India During 2024 Cricket Season

Team Finance Saathi

28/Jun/2024

Key Points:

Visa reports a significant surge in consumer expenditures across non-metro cities like Dharamshala, Mullanpur, and Vishakapatnam during the 2024 summer cricket season.
Online transactions rose by 23%, with notable increases in food and grocery delivery app usage during match days.
Tier-1 cities such as Kolkata and Ahmedabad also saw substantial upticks in daily PoS transactions and credit card expenditures.

The 2024 summer cricket season in India has not only been a thrilling spectacle on the field but has also witnessed remarkable shifts in consumer spending patterns across the country. According to recent insights from Visa Consulting and Analytics, non-metro cities have emerged as unexpected hubs of economic activity during this period. Cities like Dharamshala, Mullanpur, and Vishakapatnam have shown a remarkable 41%, 32%, and 20% increase respectively in daily point-of-sale (PoS) spending. This surge highlights a significant trend towards increased consumer confidence and disposable income in these regions.

Understanding the Shift towards Digital Payments

One of the most striking revelations from Visa's data is the 23% rise in online transactions during cricket match days. This surge reflects not just a preference for convenience but also a rapid adoption of digital payment methods beyond India's urban centers. As more consumers in non-metro areas embrace smartphones and internet connectivity, the convenience of digital payments for everyday transactions like groceries and meals has become increasingly evident.

Impact on Food and Grocery Delivery Apps

Visa's findings also shed light on the specific sectors benefiting from this digital revolution. Food and grocery delivery apps experienced a notable 5% increase in usage during match days. This uptick underscores a broader shift in consumer behavior towards home-based shopping experiences. With the convenience of ordering essentials with a few taps on a smartphone, consumers in places like Dharamshala and Mullanpur are redefining retail dynamics in non-urban India.

Regional Variations in Spending Patterns

While non-metro cities led the charge in spending growth, Tier-1 cities like Kolkata and Ahmedabad also reported substantial increases in daily PoS transactions. Kolkata, for instance, saw a 20% rise in PoS transactions, indicating robust economic activity during the cricket season. Similarly, Ahmedabad noted a 12% increase in credit card expenditures, highlighting the city's growing affluent consumer base and their increasing propensity for electronic payments.

Analysis of Average Transaction Sizes

Beyond the volume of transactions, Visa's data reveals intriguing insights into the average transaction sizes during the cricket season. For mass-market products, the average transaction size increased by 11%, reflecting heightened spending on everyday necessities and consumer goods. Meanwhile, mass-affluent products saw an even more substantial 12% rise in average transaction size, pointing towards increased spending on luxury items and higher-end services during this period.

Economic Implications and Future Trends

The surge in consumer spending observed during the 2024 cricket season signifies more than just a temporary economic uptick. It underscores the resilience and expansion of India's consumer economy beyond its traditional urban centers. As digital infrastructure continues to improve and digital literacy spreads, non-metro cities are poised to play an increasingly pivotal role in shaping India's economic landscape.

Conclusion

In conclusion, Visa's insights into the spending trends during the 2024 cricket season paint a compelling picture of India's evolving consumer economy. From the bustling markets of Dharamshala to the vibrant streets of Ahmedabad, the data reflects a nation embracing digital transformation and redefining retail dynamics. As we look ahead, the challenge for businesses and policymakers will be to harness these insights to foster inclusive growth and economic development across all corners of the country.

Also Read : Improvement in Indian Drug Manufacturing Facilities' USFDA Inspections Signals Strong Compliance Gro

Also Read : RBI's 29th Financial Stability Report Reveals Strong Performance and Resilience of Indian Banks

Join our Trading with CA Abhay Telegram Channel for regular Stock Market Trading and Investment Calls by CA Abhay Varn - SEBI Registered Research Analyst & Finance Saathi Telegram Channel for Regular Share Market, News & IPO Updates

Start your Stock Market Journey and Apply in IPO by Opening Free Demat Account in Choice Broking FinX & Upstox.