Revenge consumption & premiumisation: Decoding India’s festive drinking trends

August heralded the arrival of Ganpati, September wrapped up with Navratri and before you can even catch your breath, Diwali is just around the corner. During the festive season, restraint takes centre stage: no meat during Navratri, and certainly no "just one peg" before the Diwali pooja. But once the lights dim and the sweets run dry, the nation collectively trades laddoos for lagers.

Welcome to what can be called India’s unofficial festival: 'Revenge Consumption Weeks'—the period when alcoholic beverage brands finally uncork their greatest surge in sales for the year.

But this raises some key questions: With evolving consumer patterns, does alcohol consumption really dip during festivals? Who is drinking what, where, and when? To find out, afaqs! conducted a deep dive, reaching out to some of India’s leading alcobev brands to learn more about evolving trends, shifting preferences, and the strategies that drive sales during the festive season.

India’s alcoholic beverages market is enormous, with around 1,100 million cases sold annually—beer and Indian Manufactured Foreign Liquor (IMFL) each accounting for about 400 million cases, as per a report by The Financial Express. 

The sector is projected to hit Rs 5.3 lakh crore in revenue by FY2026, growing 8-10% yearly. By 2030, India is expected to drive about 25% of global growth in alcohol consumption, fuelled by a young population reaching legal drinking age. The country is already among the fastest-growing beer markets worldwide, says the report.

Does alcohol consumption really spike during Indian festivals?

Despite the common perception that alcohol sales decrease during major religious festivals in India, real-world data and brand insights provide a different perspective.

According to Diksha Sahgal, head of PR and corporate communications at IndoBevs, “The festive quarter consistently delivers one of the strongest revenue spikes for the alcobev industry. Weddings, social gatherings, corporate gifting, and the rise in at-home entertaining play pivotal roles. In FY25, 23% of our annual numbers alone came from the OND (October, November & December) quarter.”

Additionally, this trend aligns with government excise data and recent media reports that festivals such as Diwali, Onam, and the New Year drive record-breaking alcoholic beverage sales across multiple Indian states, including up to 44% jumps year-on-year in cities such as Delhi.

However, sales patterns are more nuanced. Vineet Sharma, VP of marketing and trade marketing at AB InBev, notes that, while some dips in consumption do occur during religious observances, the phenomenon of “revenge consumption”, when consumers make up for lost indulgences immediately after a festival, often outweighs these dips.

In other words, post-festive consumption surges more than compensate for the temporary slowdown.

Sahgal agrees, saying that the perception of India's drinking habits as skewed is not entirely accurate.

"We see the sales spiking during cultural festivals but don’t experience a dip in religious festivals like Navratri. BroCode sales saw a spike of 25% on the onset of Onam in Kerala as compared to non-festive months.”

Festival-by-festival patterns

"We may think India's drinking habits to be skewed, but that is not quite the case. We see the sales spiking during cultural festivals but don’t experience a dip in religious festivals,” says Sahgal. According to her, alcohol preferences shift notably by region and occasion:

Onam (Kerala): High demand for beer, whisky, and traditional spirits; BroCode sales reportedly spiked 25% during Onam compared to non-festive months.

Diwali (Pan-India): Strong gifting-led demand, premium labels, and at-home consumption rise; beer and RTDs find more takers among younger crowds.

Durga Puja (West Bengal): Distinct spike in whisky and premium spirits driven by family and community gatherings.

Navratri: While some expect a dip, brands and sales data suggest only a brief slowdown, followed by sharp increases after the festival. “Revenge consumption” post-Navratri is now part of the playbook for brands like InBev India, especially for portfolio leaders such as Budweiser and Corona.

Christmas/New Year: Pan-India surge across categories but especially in metros with strong gifting and party culture.

From lagers to RTDs: who is driving demand?

"Gen Z and millennials gravitate toward beers, RTDs (ready-to-drink), cocktails, and experimental formats, while older consumers continue to drive core whiskies and value SKUs. BroCode and Bonga Bonga Mystery Liqueur target LDAs and above, while Wingman positions itself as a 'young man's whisky'," says Sahgal from IndoBev.

While there’s been a noticeable rise in zero-alcohol consumption, Sharma from AB InBev India, notes that “the market for no- and low-alcohol beverages is growing, but it complements rather than replaces traditional alcobev demand”.

Amar Sinha, COO, Radico Khaitan, says, “Celebrations today are as much about experiences as they are about products. Younger audiences are driving shifts, but it’s equally about families and friends coming together, where spirits become part of the larger festive experience.”

According to Arishtam, a home-brewing brand and blog, more women are participating, challenging the historic gender skew in alcohol consumption—especially visible in premium craft spirits and whisky trends across Tier 1 cities.

How are festive drinking habits evolving?

Location is changing: IndoBevs notes that festive drinking in India has moved well beyond the old binaries of home versus out. 

"We’re watching celebrations splinter and stretch in fascinating ways—intimate house parties now look like editorial shoots, complete with curated cocktails and glassware, while bars, pop-ups, and live gigs are pulling young consumers back into the city after dark.”

Premiumisation: Sharma from AB InBev India, says, “Premiumisation is a clear trend. Consumers are experimenting with craft categories, trading up, and curating experiences.”

Gifting & discovery: Sinha from Radico highlights, “We’ve seen strong traction for our premium portfolio, as consumers increasingly look for quality and gifting-led options.”

“Also, since festivals are when people come together, this is the time when new brand discovery happens. Everyone wants to be the person who brings an exclusive liquid to the party that they can boast about,” adds Sahgal from IndoBev.  

Packaging & experience: “Interesting packaging now matters as much as what’s inside the bottle. Consumers are shopping closer to the occasion, choosing brands that elevate the entire experience, from how the product looks on a shelf to how seamlessly it fits into a curated home celebration,” says Sahgal.

Dual-consumer strategy:

• Low-ABV and RTDs cater to younger consumers moderating intake.
• Bulk, larger SKUs cater to traditional buyers.

Data-driven approach: City- and state-level excise trends, POS data, and social insights guide stock and media spend. Experiential activations, events, and immersive engagements justify premium positioning and embed our brands in cultural moments, emphasises Sahgal. 

When festive cheers meet live music

Call it coincidence or strategy, but for music artists, the festive season has become prime time to hit the stage, and for alcohol brands, it's the perfect opportunity to engage consumers.

“Celebrations today are as much about experiences as products. Digital platforms, influencers, and on-ground events like concerts play a key role, and we’ve seen strong traction for our premium portfolio as consumers seek quality gift options,” says Sinha from Radico.

Sahgal from IndoBev adds, “Our partnership with Seedhe Maut’s SMX Tour 2025 across 15 cities aligns with spaces where youth culture thrives, creating experiences and fan engagement traditional channels can’t match.” 

AB InBev highlighted Corona’s Indian debut via Lollapalooza, while Kingfisher featured at Supersonic and Sunburn, and Bacardi at NH7 Weekender.

This season’s key tie-ups are AP Dhillon with Tuborg and Johnnie Walker, Post Malone with Budweiser, Afrojack with Smirnoff, David Guetta with Tuborg & Johnnie Walker, and Lollapalooza with Corona, Budweiser, and Johnnie Walker.

These events have become crucial for brand discovery, engagement and festive relevancy.

Festive calendar as a driver

From August through January, overlapping weddings, festivals, and pay-cycle bonuses extend the high-consumption period. Premiumisation, novelty, gifting, and curated home experiences are now central to brand strategies.