The latest report by Credit Lyonnais Securities Asia (CSLA), states that the consumption patterns of urban Indians have changed as they are prioritizing travel, experiences, and food delivery, and are shifting away from traditional retail and Fast Moving Consumer Goods (FMCG) purchases.
This change can be reflected in the overwhelming demand for tickets to upcoming events. On Sunday, more than a lakh fans were lined up for tickets to the Coldplay concert in January 2025, according to the report. The tickets for the two shows were sold out within minutes. As a result, the Band added a third show to meet the demand. Meanwhile, on the black market, Coldplay's tickets are being sold at five times their original price
Apart from that, Diljit Dosanjh also made headlines by selling more than 2.5 lakh tickets at an average price of 90 dollars (Rs 7519). Similarly, concerts of Dua Lipa and Bryan Adams also sold out quickly.
The CSLA reports also stated that, in a month these concerts alone supplied more than Rs 350 to Rs 400 crore which is 40 percent of the quarterly revenue of some listed quick-service restaurants.
That report further reveals that millennials and Gen Z are shifting their expenditures on experiences, fast fashion, premium gadgets, and cosmetics and are moving away from traditional purchases like fizzy drinks and burgers.
Despite challenges faced by quick-service restaurants (QSRs), online food delivery services like Zomato Ltd. and Swiggy Ltd. are continuing to thrive, with CLSA naming Zomato its top pick.
The food delivery business of Zomato has grown over 25% quarter-on-quarter, outpacing the single-digit growth seen by QSRs.
After acquiring Paytm's ticketing business, Zomato is strategically positioned to capitalize on multiple services, from restaurant reservations to concert ticket sales, integrating food delivery, entertainment, and experiences into one app.
CLSA has maintained its ‘outperform’ rating on Zomato, with a target price of Rs 353 per share from the previous Rs 290.5, indicating a potential 21.5% upside.
According to the report, MakeMyTrip and Nykaa too are booming. Nykaa's beauty Gross Merchandise Value (GMV) increased by 28%, MakeMyTrip's airline ticket sales grew by 29%, and Trent’s fashion segment experienced 22% growth in the first quarter of fiscal 2025.