THIRUVANANTHAPURAM: Boosted by a bountiful Onam, businesses in the state are betting on the upcoming festive seasons bearing more rewards. The harvest festival marks the start of a festive bonanza. After Onam comes Mahanavami and Vijaydashami in October, and Deepavali in November, culminating in Christmas-New Year’s Eve in December. Retailers in the country watch Onam seasonal sales with keen interest, considering it a bellwether of sorts.
For traders, retailers and even the state government, this was the first profitable Onam after a gap of four years. There were no festivities in 2018 and 2019, due to the floods. In 2020-21, Covid almost paralysed the economy and uprooted many smaller traders. Last year was also a wet Onam. This year saw first-time national and international brands joining in the festivities, offering attractive discounts for consumers.
This was evident in the automobile, jewellery, textile, consumer durable, personal finance, electronics and home appliances space. With the emergence of a larger middle class and a young group of aspirational professionals, new national and West Asian brands entered the fray with new marketing and advertising campaigns.
According to an official with the Lulu Group, there has been a 5-10% increase in sales at its Thiruvananthapuram mall alone this Onam season. Every big mall in the state registered increased footfall.
With Covid travel bans fully lifted, homecoming non-resident Keralites further added to the cheer. Moreover, the large number of marriages and housewarmings held in the month of Chingam — which is considered auspicious — also helped drive business.
According to traders, the actual business data would only be available in September. Street vendors also had it good. “We registered impressive sales,” a vendor in the state capital said. “It helped that there were no rains. I sold shirts and nighties for Rs 100. Earlier, people believed that street vendors sold third-rate items.
But no more. Now middle-class families are our top customers,” he said. The improved consumer spending has come as a relief to the state government. Its efforts to control the price of vegetables and essential commodities are believed to have broadened purchasing capacity. The government, on its part, issued Rs 1,762 crore as social-welfare pension, besides bonuses, advances and festival allowances for its employees.
The labour department provided Rs 136 crore as allowances to labourers and provided financial aid to employees in traditional sectors. “The government supported the public, enabling spending. This should reflect in the GST. If it doesn’t, then the government must investigate the reasons behind it,” Finance Minister K N Balagopal told TNIE. “Besides the state government, this year the private sector employees also received incentives and festival allowances. This also had a positive influence on the market. The market experienced such a surge after a gap of four years,” he said.
FESTIVE BONANZA
The harvest festival marks the start of a festive bonanza. After Onam comes Mahanavami and Vijaydashami in October, and Deepavali in November, culminating in Christmas-New Year’s Eve in December.