Tier-II and tier-III markets drive durables’ festive advertising push

New Delhi: The festive season has always been the biggest consumption moment for Indian households, and in 2025, consumer durables brands are making their most aggressive advertising bets yet. With new launches, financing schemes, and omnichannel strategies, durable makers are sharply increasing spends to capture both urban metros and aspirational Tier-II and Tier-III towns. From big-ticket appliances to entry-level electronics, brands are betting heavily on a mix of mass media visibility, digital-first innovations, and affordability-driven schemes to capture consumer demand during this crucial buying period.

Festive window = Decisive window

Durables brands are unanimous in allocating a hefty share of their annual budgets to the festive quarter. Industry leaders are unanimous that festive campaigns remain the single most decisive consumption window of the year. 

“We view the festive season as the most decisive consumption window for durables, and hence we allocate nearly 35–40% of our annual marketing budget to this period. Our strategy is not just about higher spends but sharper deployment timing campaigns with the start of the festive build-up and peaking around Dussehra and Diwali,” Nalin Kumar, CEO of KAFF Appliances, noted.

For Thermocool, the budget allocation is slightly lower but equally focused. “Thermocool, for the past 30 years, plans its biggest advertising campaigns around the festive season. Approximately 25–30% of our annual marketing budget is marked specifically for this highpoint window. During festive seasons, consumers make culturally influenced buying decisions,” Tanuj Gupta, Director Sales & Marketing, Thermocool Home Appliances, underscored.

Meanwhile, at Xiaomi India, festive campaigns are described as the centrepiece of yearly planning. “The festive season is always a very special time for Xiaomi India, as it gives us the opportunity to be a part of our consumers’ celebrations and bring joy into their homes. We plan our marketing with scale and precision, keeping in mind the excitement and anticipation this period carries. Our yearly marketing plans always place festive campaigns at the centre, with a thoughtful mix of traditional platforms like print, along with newer avenues such as digital, and influencer-led campaigns,” said Sandeep Sarma, Associate Director Marketing and PR, Xiaomi India.

Digital dominates the frontline

While television and print remain crucial during festive peaks, brands are clearly rebalancing toward digital-first activations.

“Though TV and print remain core during the festive season, Thermocool has strategically stepped up its digital presence, doubling digital expenditure by almost 40% in the past two years. Channels such as OTT, local YouTube, and Meta are now at the heart of our media mix. Influencer marketing across lifestyle and technology categories makes product features more relatable and helps reach younger consumers. Blending festive storytelling on mass media with performance-led campaigns online allows us to generate both awareness and conversions,” Gupta explained.

KAFF echoes a similar balancing act. “While television and print remain relevant for festive campaigns, we have been steadily rebalancing our media mix toward digital-first outreach. OTT, social media, and influencer-led storytelling allow us to engage younger consumers and aspirational households where decisions are increasingly shaped. We use targeted programmatic buys and regional influencer campaigns to bridge awareness with intent. That said, mass mediums continue to build credibility and reach. Our approach is a balanced mix of high-impact traditional media to drive scale, with precision-led digital to convert festive demand," said Kumar.

For Xiaomi, the combination is about reach and relatability. “While mass media gives us unmatched reach, digital commerce and social media help us engage with younger audiences in more personal and meaningful ways,” Sarma highlighted.

Growth beats in tier-II & III cities

Across brands, festive focus is shifting toward Bharat’s emerging towns and cities.

“Thermocool's growth in Tier-II and Tier-III markets is driven by a very localised festive approach. TV and radio regional-language advertising constructs cultural context, while hyperlocal outdoor activation, like wall branding and in-store displays, does not. In target states like Uttar Pradesh, Bihar, and Madhya Pradesh, we partner with local influencers to introduce product messages with relatability. Regional-language print and social media campaigns convey customised festive promotions. This multi-touchpoint strategy maximises the reach of brand presence in high-potential geographies, exactly in sync with regional consumer sentiment and aspirational buying trend,” said Gupta. 

Xiaomi also positioned these markets as central to its festive acceleration: Tier-II and Tier-III cities continue to be the heartbeat of festive growth, and we invest in regional language campaigns, hyper-local activations, and community initiatives that speak directly to their aspirations.

Meanwhile, KAFF reinforced this with its own expansion strategy. “Tier-II and tier-III markets are critical growth engines during festive sales. Our media plans prioritise regional language creatives, hyper-local outdoor, and radio campaigns to resonate with community-level aspirations. In addition, we activate dealer-level engagement programs, live demos, and experiential roadshows to drive brand trust. By tailoring our festive messaging to regional sensibilities and cultural moments, we ensure that we remain not only visible but relatable, driving higher adoption across these high-potential geographies,” Kumar highlighted.

Easy EMIs power festive demand

Zero-cost EMIs, cashback offers, and exchange programs are at the heart of festive ad messaging this year.

“Easy EMIs and exchange offers form the heart of the festive value proposition, especially in price-sensitive markets. We determine the success of these financing offers by measuring redemptions through retail, monitoring EMI-linked buys compared to outright purchases, and evaluating conversion lifts on digital, where financing is clearly communicated,” Gupta shared while highlighting Thermocool’s affordability-first lens.

Xiaomi also places affordability at the heart of its consumer promise.“Affordability has always been at the core of Xiaomi’s promise, so we emphasize Xiaomi Easy Finance, easy EMIs, exchange programs, and festive offers that make technology more accessible and help families upgrade with ease,” said Sarma.

For KAFF, such offers are democratizing premium appliances.“Financing options such as easy EMIs, exchange programs, and festive cashback offers are strong enablers of consumer decision-making in durables.”

“These offers democratise premium appliance ownership, and by amplifying them in our festive messaging, we effectively expand our consumer base,” Kumar added.

Bridging online discovery with offline purchase

Consumer durables are classic “research online, buy offline” categories, and festive campaigns are being designed accordingly.

“With the knowledge that the majority of durable purchases originate online but convert offline, we have a completely integrated festive strategy. High-intent digital marketing campaigns are executed on Google, Meta, and OTT platforms to push awareness and product discovery. At the same time, we collaborate with online platforms for festive packs and with offline stores for co-promotions and point-of-sale visibility. QR codes and lead-generation capabilities in digital advertisements navigate consumers to local stores, closing the gap between consideration and purchase,” Thermocool’s Gupta Explained.

Xiaomi echoed the seamless journey mindset. “Since consumers often research online but purchase offline, or vice versa, our approach integrates festive marketing across discovery platforms, e-commerce partners, and retail networks to create a smooth, seamless omnichannel journey,” Sarma highlighted. 

Meanwhile, KAFF closed the loop with integrated touchpoints. “Our strategy is threefold: digital discovery through social media and search-led campaigns, marketplace partnerships for visibility during online browsing, and strong point-of-sale visibility with retail partners,” Kumar said.

Durables dominate as media agencies track festive growth

Media strategists confirmed that consumer durables are among the categories driving the 2025 festive AdEx spike. “We are seeing notable budget increases from core verticals like consumer electronics, largely driven by new product cycles, aggressive festive bundling, and competitive market share battles,” said Ratnakar Bharti, VP - Media, Mudramax.

Roopali Sharma, President - North & East, Havas Media, added, “Electronics have shown clear intent to ramp up festive budgets this year.” Meanwhile, Anindya Ray, Executive VP, Lodestar UM, noted, “Among other big categories will be Home improvement products (Tiles/Plywood etc) this year”

“This year’s festive season is seeing brands in electronics and consumer durables ramp up their advertising investments, buoyed by heightened consumer demand, new launches, and peak-time sales,” Anil Pandit, Managing Partner, Publicis Media India, pointed out.