Learn how to prepare your warehouse, optimize deliveries, run flawless campaigns, and reduce RTOs this festive season. Step-by-step guide for festive success.
Indian consumers expect huge discounts, fast deliveries, and flawless service during festivals. In 2025, the first six days of festive sales already saw Rs. 45,000 crore GMV, up 22% YoY.
On day one, over 38 crore site visits were recorded during the Great Indian Festival, with ~70% traffic coming from outside the top 9 metros.
But behind this boom lies a battlefield of operational challenges:
- Warehouses get flooded with inventory, and older stock sits unused
- Courier networks strain, leading to surcharges, delays, and failed deliveries
- COD and fake return abuse surge, quietly eroding margins
- Ad spends balloon while some campaigns fail due to stockouts
- Marketplace settlements and deductions become labyrinthine
High-growth brands have quietly implemented readiness systems months before festival season hits. This blog shares their strategies and how you can apply them step by step.
Let’s dive in.
Inventory Management
1. Master Virtual Kits for Festive Bundles
Create virtual bundles that automatically deduct component SKUs when combos sell, preventing overselling without manual adjustments.
2. Identify Your True Festive Bestsellers
Use segmented analytics by region, sales channel, and product vertical. Monitor early-bird orders during pre-festive pushes to validate demand signals.
3. Execute Strategic Pre-Festive Liquidation
Start liquidation campaigns 6 weeks before main festive sales. Clear 30-40% of warehouse space and generate cash flow through flash sales and B2B bulk deals.
4. Bundle Slow Movers with Winners
Pair dead stock with bestsellers at attractive price points. Use virtual bundling systems so base SKUs decrement automatically.
Warehouse Management
5. Clear Warehouse Space Before Peak
Trade slow-moving inventory at acceptable margins for liquidity and space. Target 30% space clearance through automated clearance windows.
6. Set Up Flash-Sale Automation
Configure rules that prioritize prepaid or high-value orders automatically. Use queuing logic to prevent station overloads during surge periods.
7. Optimize Physical Space Layout
Implement ABC binning with fast-movers near packing stations. Re-map bins during low-traffic periods for 25-30% faster pick times.
Shipping and Delivery
8. Build Dynamic Order Routing
Route orders to the nearest warehouse with stock. Choose courier partners dynamically based on zone performance, cost, and service level agreements.
9. Implement Multi-Carrier Strategy
Set up real-time rate shopping across shipping carriers. Pre-map which carriers perform best in specific regions and activate backup systems during disruptions.
10. Pre-Negotiate Peak Season Rates
Lock in festive season rates with multiple courier partners. Keep backup partners ready to manage load spikes and avoid service degradation.
Marketing Optimization
11. Deploy Campaign Guard Technology
Check inventory in real-time before campaigns launch. Prevent ad spend waste by throttling or swapping SKUs when stock runs low.
12. Focus on Margin-Optimized Campaigns
Calculate true margins including all costs. Prioritize high-LTV customer segments and shift budget toward profitable channels.
13. Turn Packaging into Marketing
Add QR codes with referral links inside delivery boxes. Track referral funnel effectiveness and drive additional app installs post-purchase.
14. Time Your Ad Spend Strategically
Push high-margin SKUs over high-volume ones. Spend heavily on peak conversion days like Dhanteras and Diwali Eve.
Returns and RTO Management
15. Combat Fake COD Orders
Deploy fraud detection systems that flag repeat patterns and high-risk pin codes. Always confirm COD orders above certain thresholds.
16. Set Up Automated NDR Management
Create real-time alerts for failed deliveries. Automate customer outreach via WhatsApp/SMS with reattempt scheduling and address correction options.
17. Recover Undelivered Orders Fast
Use NDR automation to recover 35% of undelivered shipments within 48 hours. Automate reattempts and alternative delivery solutions.
Financial Reconciliation
18. Automate Marketplace Settlement Matching
Set up API integrations for real-time data mapping. Automatically match orders with payments, returns, and deductions for 99.9% accuracy.
19. Implement Real-Time Settlement Tracking
Map orders to payouts to returns automatically. Flag deductions for late dispatch, returns, or inventory mismatches immediately.
20. Ensure GST Compliance at Scale
Auto-calculate GST on all invoices and transactions. Maintain correct classification and tax rates per SKU across multiple warehouses.
Final Say
Festive success isn't magic, its preparation across six levers: Inventory, Warehouse, Delivery, Campaigns, RTO, Reconciliation. Brands like XYXX, Borosil, Redtape, Assembly etc., apply these practices behind the scenes to protect margins and scale without chaos.
If you want to make your festive operations seamless, margin-safe, and scalable: