From Discounts to Data: How Brands Are Rethinking Diwali Shopping

A shopper wants to buy gold for Dhanteras but keeps putting off the purchase. The price could change by the hour. She is unsure about purity and does not know where to begin. A bigger discount might help, but it will not necessarily resolve her doubts.

For the jeweller, this is a problem worth understanding. Is the customer unwilling to spend, or is she waiting for a reason to feel confident about spending?

This is the question at the heart of Netcore’s Beyond the Discount, a Diwali engagement playbook that examines how retailers can use customer data to convert interest into purchases. Its central argument is simple: not every customer who hesitates needs a lower price. Some need reassurance, others need a reminder, and many need help making a decision.

The distinction matters during the festive season, when brands compete for attention with a familiar mix of promotions, limited-period offers and advertising. Instead of relying exclusively on discounts, retailers are experimenting with personalised messages, timely reminders and shopping experiences shaped around individual behaviour.

The opportunity, according to the playbook, lies in understanding what prevents a customer from buying and addressing that specific problem.

The changing festive shopper

The playbook identifies three trends in India's festive shopping market.

One in four festive shoppers is a new customer, according to figures attributed to Bain and Flipkart's 2026 research. Customers acquired in 2020 are also making more than twice as many annual transactions as they did earlier, the report says. Meanwhile, quick commerce has grown roughly twofold year on year.

The report also identifies smaller towns as a significant source of demand, attributing three-quarters of festive volume to Tier 3 towns and highlighting their contribution to shopping on Amazon, Flipkart and Meesho.

Together, these figures point to two opportunities for retailers: acquiring new customers during the festive rush and giving them reasons to return after it ends.

The playbook argues that shoppers are becoming more deliberate about purchases, with value, convenience and relevance playing an important role alongside price. A blanket discount may attract attention, but it does not necessarily address the concerns of every person who sees it.

For retailers, this changes the question from how much to discount to whom to approach, when to do so and what to offer.

Five customers, five different problems

Netcore illustrates the idea through five hypothetical shoppers, each representing a different stage of the buying journey.

Priya wants to buy her first gold jewellery during Dhanteras. Her hesitation stems from uncertainty about prices, purity and what to buy. The suggested response is to offer a way to lock in the day's rate, backed by clear information on purity and buy-back terms. The aim is to replace uncertainty with confidence.

Ajay bought a gift last Diwali but has not returned since. His problem is not necessarily price; he simply has not started thinking about gifting again. A reminder ahead of the occasion, featuring a selection based on his previous purchase, could make it easier for him to return.

Radhika has filled her cart with festive clothes but is comparing products across multiple websites. With a party approaching, she is more concerned about whether her chosen outfit will arrive on time than about saving a little more. Showing live stock availability and delivery deadlines could help her decide.

Santhosh has bought a television but has not considered the soundbar, wall mount or installation needed to complete the setup. A relevant bundle could help him understand the value of buying these together, rather than presenting the additional products as an unrelated upsell.

Then there is Nisha, who bought a lipstick during the festive season and never returned. Instead of repeatedly sending her promotional messages, the brand could offer an automatic reorder or remind her when she is likely to need a replacement.

The examples reveal a common pattern. A customer can be interested in a product and still fail to buy it because something in the process remains unresolved. The retailer's job is to identify that obstacle rather than assume a discount will overcome it.

When personalisation translates into sales

The playbook's case studies offer a glimpse of how brands are applying this approach.

Fabindia, the Indian retailer known for clothing, home products and handicrafts, used personalised campaigns and automated customer journeys across WhatsApp, email and app notifications to encourage customers to return.

According to Netcore, the programme doubled Fabindia's digital revenue and generated a ninefold return on investment. The company's case study says the programme ran over 120 days and used AI-assisted audience segmentation alongside automated journeys to re-engage registered customers and anonymous browsers.

The significance of the example lies in the emphasis on what happens after a customer first visits a website. Someone who browses a product without purchasing has already demonstrated some interest. A timely follow-up may help recover that opportunity instead of requiring the retailer to spend again to attract the same person.

The second example comes from Senco Gold & Diamonds. During Akshaya Tritiya, the jewellery retailer used personalised messages through WhatsApp, rich communication services (RCS) and SMS, with campaigns tailored to different customer groups and timed around auspicious shopping moments.

Netcore reported a twofold increase in conversions, more than 5,000 store visits and a 13% increase in campaign engagement. The approach included different messages for customers inclined to shop in stores, online buyers and digital gold investors.

For a jeweller, this is particularly relevant because the online journey does not always end with an online purchase. A customer might discover a design on a phone, receive a reminder and eventually buy the jewellery at a showroom. Connecting those interactions helps the retailer understand whether digital engagement is contributing to physical sales.

Both examples suggest that personalisation can extend beyond recommending products. It can help retailers decide which customers to contact, which channel to use and when a message might be useful.

The reported results, however, are company-reported outcomes. They illustrate what the campaigns achieved, but do not independently establish how much of the growth was caused by personalisation alone.

The value of a customer after Diwali

The festive season also presents a retention challenge. A new customer acquired through a promotional offer may not return once the sale ends.

That makes the period after the purchase as important as the transaction itself. A customer who buys a gift might need a reminder before the next occasion. Someone who purchases a beauty product could benefit from a timely replenishment prompt. An electronics buyer might need accessories or installation support.

The playbook recommends maintaining engagement across the customer lifecycle rather than treating the festive campaign as a one-time event. It also cautions against contacting everyone constantly. A customer who has just purchased a product may have no reason to receive another sales message immediately. Contacting that person too soon risks turning a useful reminder into unwanted communication.

This is where customer data becomes valuable: not simply because it allows brands to send more messages, but because it can help them decide when to remain silent.

The approach also carries practical risks. Too many messages can overwhelm customers, while inaccurate stock information or delivery promises can undermine trust. Personalisation works only when the information is relevant and the experience delivers what the message promises.

Beyond the festive sale

Netcore's playbook does not suggest that discounts have become obsolete. Price remains an important consideration, particularly when shoppers can compare similar products across retailers. Offers can still influence the final decision.

Its larger point is that price is only one part of that decision. For a first-time gold buyer, trust may matter more. For someone shopping against a deadline, delivery certainty may be decisive. For a previous customer, a reminder at the right moment may be enough.

The difference is between treating Diwali as a race to offer the biggest discount and treating it as an opportunity to understand customers better.

The first approach may win a transaction. The second, if executed well, could give retailers a reason to be remembered after the festive lights go out.