Amid the ongoing slowdown in consumer demand, retailers and brands across categories are pinning hopes on the festive season, which typically accounts for 20-30% of annual sales. Retailers selling consumer durables, apparel and jewellery said they expect sales to be in line with the 2018 numbers. The festivities started on 1 September with Onam and will continue till Diwali in late October.

Jewellery retailers struggling with a surge in prices of the yellow metal are pushing marketing campaigns and rolling out exchange offers. Kerala-based Kalyan Jewellers, for instance, has seen a 10% jump in exchange of old gold jewellery, which prompted the company to start an exchange offer in July. It will also roll out other lucrative offers and bridal campaigns from the last week of September to boost sales during the forthcoming wedding season.

“Wedding shoppers will buy even if the prices are high. So, we are expecting the wedding season to be good for us," said Ramesh Kalyanaraman, executive director, Kalyan Jewellers. Watch and jewellery retailer Titan Co., which reported 13.3% growth in income in its jewellery division for the quarter ended 30 June, said it had launched its annual exchange offer on gold in August. It is also promoting its diamond jewellery line. The retailer has seen healthy growth for the annual event.

“This year the number of shoppers availing the exchange offer have doubled compared to last year," said Sandeep Kulhalli, senior vice president, retail and marketing, jewellery division, Titan. “We have not cut down on our marketing spends, neither have we lowered our expansion plans, or stopped the introduction of new merchandise. We have continued with the discounts and offers that we usually do, and even our exchange offer which we roll out during this time."

Jewellers, however, maintained that consumers will buy lighter jewellery sets given the high prices.