Mumbai – India’s Diwali sales have witnessed a major shift in 2025 – non-metro cities are now steering the country’s e-commerce growth with remarkable vigor. This festive season, the combined force of tier-2 and tier-3 cities not only matched but surpassed old purchasing records, making Bharat the true backbone of online festive shopping.
Tier-3 cities accounted for over 50% of all Diwali online orders this year, with tier-2 cities contributing another quarter. Nearly three out of four online Diwali purchases now originate outside traditional metro markets, signaling a stunning transformation in consumer behavior. Jaipur, Lucknow, Indore, Faridabad, and Coimbatore emerged as top non-metro hubs, with shoppers showing a heightened appetite for Indian wear, wedding collections, beauty essentials, and sportswear.
Speed has become a critical competitive edge. Non-metro shoppers increasingly demand same-day and hyperlocal delivery, prompting e-commerce platforms to bolster logistics. Same-day deliveries surged by 42% year-on-year, and now form almost 9% of all festive orders. Despite a staggering increase in shipment volume, platforms managed to keep average delivery time just under three days.
Traditionally, rural and semi-urban buyers have relied on cash on delivery, and that trend intensified for Diwali 2025. More than half of tier-3 orders opted for COD, while digital payments dominated big-ticket transactions, suggesting a blend of trust and aspiration among new online shoppers.
Consumers are not just buying more—they’re buying better. The average order value jumped by 32.5% year-on-year, rising from ₹3,281 in 2024 to ₹4,346 in 2025. Premium fashion, furniture, energy-efficient appliances, and even gold jewelry emerged as favorites, reflecting increased purchasing power and rising aspirations in India’s heartland.
Top brands and retailers, acknowledging the momentum from non-metro India, have launched region-focused offers, expanded wedding collections, and introduced smart fulfillment solutions. Tailored assortments, local deals, and rapid deliveries have become the new norm, designed to attract and retain this rapidly growing shopper base.
Diwali 2025 has cemented the role of non-metro cities as the growth engine for Indian e-commerce. Fast deliveries, rising spends, and local customization are setting new standards, ensuring that festive retail in India is more inclusive, dynamic, and ambitious than ever before.