The Indian wedding industry, valued at approximately ₹10 lakh crore ($130 billion), is second only to the food and grocery sector, according to a recent report by brokerage Jefferies. The report highlights that the average Indian spends twice as much on marriage ceremonies compared to education.
India hosts between 8 million to 10 million weddings annually, surpassing the 7-8 million in China and the 2-2.5 million in the U.S. “The Indian wedding industry is nearly double the size of the industry in the U.S. ($70 billion), albeit smaller than China’s ($170 billion),” stated Jefferies.
Weddings: The Second Largest Consumption Category
Weddings in India are characterized by elaborate ceremonies and substantial spending, making them the second largest consumption category in the country, following food and grocery, which is valued at $681 billion. This grand expenditure spurs demand across various sectors such as jewellery, apparel, autos, and electronics, despite political efforts to curb luxury weddings at exotic locations.
Jefferies’ report underlines the cultural significance and economic impact of Indian weddings, noting that they are multi-day and multi-event celebrations that vary greatly depending on region, religion, and economic background.
Disproportionate Spending on Weddings
Indians, known for their value-consciousness, tend to splurge on weddings, often spending amounts disproportionate to their income or wealth. “An average Indian couple spends $15,000 on a wedding, which is a multiple of their per-capita or household income. Interestingly, this expenditure is twice that of education costs from pre-primary to graduation, a stark contrast to countries like the U.S. where wedding spending is less than half compared to education,” the report noted.
Key Growth Driver for Various Sectors
The Indian wedding industry is a major driver of growth for several categories, such as jewellery, apparel, catering, and travel. For instance, over half of the jewellery industry revenues are attributed to bridal jewellery, while 10% of all apparel spending is driven by wedding and celebration wear.
The industry also indirectly boosts other sectors like automobiles, consumer electronics, and paints. These sectors see a surge in demand during the wedding season, prompting industry players to align their marketing strategies and inventory management with wedding dates.
Long-term Planning and Massive Celebrations
Wedding planning in India typically begins 6-12 months in advance, with the most extravagant weddings hosting up to 50,000 guests.
