Axis My India survey shows household spending increased for more than 50%

The overall household spending has increased for 55 percent of families in January across rural and urban India, according to the India Consumer Sentiment Index, a monthly analysis of consumer perception compiled by Axis My India.  In December 2022, household spending increased for 56 percent and in November 2022, it was for 59 percent.

The net score of consumer sentiments on household spending decreased by 1 percent compared to last month. It was +48 last month, which has decreased by 1 to +47 this month, the survey report said. This shows a marginal decline in the share of consumers reporting increased household spending from the month before.

The findings are based on a survey of 10,019 people across India, of which 70 percent are from rural areas and the rest of the 30 percent are from urban areas.

Compared to last year, 73 percent people said that household expenditure has increased for them compared to last year.

Spending on essentials like personal care and household items has increased for 41 percent of families, which reflects a decrease by 5 percent. The net score which was at +28 last month, decreased by two at +26 this month

Spending on non-essential and discretionary products like AC, cars, and refrigerators has increased for 7 percent of families, which reflects a decrease by a percent from last month. The net score, which was at -1 last month has increased to +2 this month, showcasing an upward sentiment

Expenses towards health-related items such as vitamins, tests, and healthy food have surged for 39 percent of families. This reflects a decrease in consumption by 3 percent from last month. The health score which has a negative connotation i.e., the lesser the spends on health items the better the sentiments, has a net score value of -27, which remained same as last month.

Consumption of media has increased for 21 percent of families, which is the same as last month. The overall, net score, which was at -2 last month, remains the same. Mobility has increased for 7 percent of the families, which reflects an increase by 1 percent from last month. The overall mobility net indicator score which was at -2 last month, has reported +2 this month.

50 percent of the surveyed thought that high costs of products and services due to inflation affected the household expense, while 19 percent mentioned that the increased expense is because of increased health related expenses.