The festive season in India is expected to generate Rs 90,000 crore in online gross merchandise value (GMV) this year, up 18-20% from last year's festive season sales, according to a report released on Sept 15.

According to a market research firm Redseer Strategy Consultants report, the industry is expected to clock a GMV of Rs 5,25,000 crore for the entire year, marking the 10th year of e-commerce festive season sales.

Over the last decade, Indian e-commerce has almost completely transformed, with the overall e-commerce industry's annual GMV increasing nearly 20 times.

According to the report, the 10th festive season sale period is even more significant this year due to the recent slowdown in consumption and nearly three years of external shocks on the economy.

"Over the last few quarters, we've seen increased GMV contributions from categories other than electronics." This is beneficial to the ecosystem because it demonstrates consumers' willingness to buy across multiple categories online, as well as more brands coming to meet their needs," said Mrigank Gutgutia, Partner at Redseer.

Continuing this trend, "we anticipate increased GMV contributions from non-electronics categories such as fashion, beauty and personal care, home and general merchandise, and more during the holiday season," Gutgutia said.

There is persistent "premiumisation" leading to rising average selling prices (ASPs), and increasing ads and promotion revenues will possibly make this year's festive season the most efficient from a margin perspective, according to the report.