Living in the moment: Indians indulge in luxury & experience-oriented spending

After spending over a year and a half within the confines of their homes, Indian consumers are now living in the moment and indulging in luxury and experience-oriented spending.

Deloitte Touche Tohmatsu India LLP (DTTILLP) unveiled wave 24, the latest analysis of its Global State of the Consumer Tracker, indicating that despite inflation, consumers are prioritising personal care and well-being as the world gradually adjusts itself to a life after the pandemic.

Their latest findings reflect that despite global inflationary concerns, Indians are looking forward to now having a balanced life, where they are not only focused on saving for the future (58 per cent) but also want to spend for experiences and goods / physical possessions (50 per cent each).


While 74 per cent Indian respondents are concerned about inflation, at the same time, 85 per cent Indian respondents plan to spend on leisure travel in the next 4 weeks, 71 per cent Indian respondents feel safe engaging with one-on-one services and 68 per cent Indian respondents feel safe going to a restaurant.

Here’s how Indians are spending to live for the moment: 74 per cent consumers planning to buy a vehicle in the next six months; 85 per cent consumers plan to spend on leisure travel in the next four weeks, 50 per cent respondents are spending more on experiences than on goods and 65 per cent consumers feel safe to take a flight and staying in a hotel.

Well-being is a priority
Most of the Indian consumers are planning to spend the most from their share of wallet on personal care and clothing (14 per cent) along with recreation, entertainment & leisure travel (14 per cent) followed by electronics & home furnishings (11 per cent).

Robust vaccination drives and an uptick in positive sentiments are the primary reasons for this shift. Several brands are offering a wide range of beauty and personal care products through e-commerce platforms. In addition, rapid urbanisation, easy internet access, and high smartphone penetration are catalysing the demand for these products across India.

Back to biz
With easing travel restrictions and the opening-up of workplaces, Indians are gearing up to resume their business travels. Sixty-nine per cent consumers are likely to travel for business within the next three months. With improving sentiments, resurgence of economic activities and a growing sense of positivity and normalcy, executives have gradually resumed business-critical travel.

Positivity on the rise
People are also becoming more positive about what the future holds. 77 per cent of consumers are optimistic about their financial situation within the next three years, as workplaces open up and COVID-19 cases show a decline.

Indian respondents are showing interest in purchasing new vehicles. 74 per cent of respondents are planning to buy a new vehicle in the next six months, while 30 per cent of the respondents who plan to replace their vehicle are likely to do so to get a vehicle with new features.

Indian respondents are also actively exploring leisure travel and the intent to travel for leisure in the next three months has seen an upward trend. 65 per cent Indian respondents feel safe about flying and staying in a hotel.