INTRODUCTION

The Onam festival, celebrated with great fervor and cultural

significance in the southern Indian state of Kerala, is not only a
time of joyous festivities but also a season of dynamic economic
activity. The local market during Onam experiences a
remarkable transformation as consumers, businesses, and
artisans come together to create a vibrant economic ecosystem.

This market analysis seeks to delve into the multifaceted

aspects of the Onam local market, providing insights into its
economic impact, consumer behavior, and key sectors that
drive this seasonal phenomenon. As we explore the dynamics
of this unique market, we will uncover how tradition, culture,
and commerce harmoniously intersect during the Onam
season, contributing to the economic vitality of Kerala.

In the following sections, we will examine various facets of the

Onam local market, including consumer spending patterns, the
influence of tradition on purchasing decisions, the role of
technology and e-commerce, and the socioeconomic impact on
local businesses and artisans. By the end of this analysis,
readers will gain a comprehensive understanding of the
economic pulse that beats within the heart of Kerala's Onam
festivities.
 MARKET ANALYSIS

1. Economic impact

• Consumer Spending: Onam drives a surge in consumer

spending, as people purchase new clothes, electronics,
household items, and gifts for family and friends. This increased
spending boosts the local economy.

• Retail Sector: Local retail businesses experience a substantial

increase in sales, particularly clothing stores, electronics shops,
and supermarkets. Many retailers offer special discounts and
promotions, which further stimulate sales.

• Tourism: Onam is a peak tourist season in Kerala. The tourism

industry, including hotels, restaurants, and tour operators,
benefits from the influx of tourists.

• Agriculture: Farmers play a crucial role during Onam by

providing fresh produce for the festival, such as fruits,
vegetables, and flowers. This boosts the agricultural sector
• Transportation: Public transportation and taxi services
experience higher demand as people travel to visit family and
friends.

• Online Shopping: The rise of e-commerce has led to an

increase in online shopping during Onam. E-commerce
platforms often launch special sales, contributing to the growth
of the online retail sector.

2.Price fluctuations

• Inflation: Prices of certain commodities may rise due to

increased demand during Onam. This can include clothing,
gold, and consumer electronics.

• Discounts and Offers: On the other hand, many

businesses offer discounts and special deals, particularly in
the weeks leading up to Onam, to attract customers. These
promotions can lead to temporary price reductions.

• Fluctuations in Food Prices: Prices of food items,

including fruits, vegetables, and spices, can experience
fluctuations as demand for ingredients needed to prepare
traditional Onam dishes rises.
3.Costumer behavior
• Pre-Planning: Customers often start planning their
purchases well in advance of Onam, taking advantage of
early bird discounts and promotions.

• Preference for Traditional Items: During Onam, there is a

strong preference for traditional clothing, jewelry, and
home decor items. Customers tend to favor products that
align with the festival's cultural significance.

• Increased Dining Out: Many people prefer dining out

during Onam, leading to a rise in restaurant and hotel
bookings.
• Online Shopping: The convenience of online shopping
attracts a growing number of customers during the festival
season. They often look for exclusive online deals and
offers.

• Gift-Giving: The exchange of gifts is a common practice

during Onam, and customers spend time and effort
selecting thoughtful presents for their loved ones.
Conclusion

Onam has a substantial economic impact on local markets in

Kerala, with increased consumer spending across various
sectors. Price fluctuations, both upward and downward, are
common during this period. Customer behavior is influenced by
cultural and traditional preferences, and businesses often tailor
their marketing strategies to capitalize on this festive season.