Big Fat Indian Wedding: At ₹10 Lakh Crore, Expenses Second Only to Food & Grocery

The Indian wedding industry, valued at around ₹10 lakh crore ($130 billion), is the second-largest expense category in India, just behind food and grocery. According to a report, the average Indian spends twice as much on weddings as they do on education.

India hosts between 8 million to 10 million weddings each year, compared to 7-8 million in China and 2-2.5 million in the U.S. “The Indian wedding industry is nearly double the size of the U.S. industry ($70 billion), though smaller than China’s ($170 billion),” stated a report by brokerage firm Jefferies.

Weddings are the second biggest consumption category in India. “If weddings were considered a retail category, they would rank second only to food and grocery ($681 billion),” the report noted.

Indian weddings are known for their elaborate ceremonies and significant spending. This industry boosts consumption in sectors like jewellery and apparel and indirectly benefits the automobile and electronics markets. Despite political efforts to limit extravagant weddings, luxury celebrations at exotic locations continue to display Indian grandeur.

“With 8 to 10 million weddings annually, India is the largest wedding destination globally. Estimated at $130 billion, the wedding industry is nearly twice the size of the U.S. industry and is a major contributor to key consumption categories,” Jefferies reported.

Indian weddings are multi-day events with various ceremonies, ranging from simple to extremely lavish. Factors like region, religion, and economic background play crucial roles in these celebrations.

The Hindu calendar, which follows the lunisolar system, adds complexity to wedding planning, as weddings are held only on auspicious days in specific months, which change every year.

“Indians, who are generally value-conscious, love to spend on weddings, often spending more than their income or wealth would suggest. This tendency to overspend is seen across all economic classes.

“The average cost of a wedding is $15,000, which is a significant multiple of per capita or household income. Interestingly, an average Indian couple spends twice as much on weddings as they do on education (from pre-primary to graduation), unlike in the U.S., where wedding expenses are less than half of education costs,” the report said.

Luxury Indian weddings often take place at exotic domestic and international locations, featuring luxurious accommodations, lavish catering with menus curated by Michelin star chefs, and performances by professional artists and celebrities.

“Given their size and scale, weddings are a key growth driver for several categories in India, such as jewellery, apparel, catering, accommodation, and travel. For instance, over half of the jewellery industry’s revenue comes from bridal jewellery, while 10% of all apparel spending is driven by wedding and celebration wear,” the report stated.

“The wedding industry also indirectly fuels various sectors, such as automobiles, consumer electronics, and paints. These industries see a spike in demand during the wedding season, and while it’s hard to quantify the full impact, industry players closely monitor wedding dates to align their marketing strategies and inventory management.” Jefferies noted that wedding planning typically begins 6-12 months in advance, with the most elaborate celebrations hosting up to 50,000 guests.

Luxury bridal lehengas often feature heavy, intricate work and can weigh up to 10 kilograms. In 2021, Italian luxury brand Bvlgari (part of the LVMH Group) launched its first India-only jewellery piece, the Mangalsutra.

“Decor is the most underestimated cost in an Indian wedding,” the report mentioned.

“Some of the most unusual food requests include chocolate pani puri, waffle dosa, and pineapple-flavored paneer.”