Indians Spend More on Weddings Than 18 Years of Education, Says Jefferies Report
A recent report from Jefferies has revealed that Indians spend much more on weddings than on 18 years of child education. The average spending on weddings in India is about Rs 1.2 million (USD 14.5 thousand). This amount is five times higher than India’s GDP per capita and over three times the average annual household income of around Rs 0.4 million (USD 4.5 thousand).
In comparison, the total expenditure on education from pre-primary to graduation for nearly 18 years is just USD 8 thousand (Rs 0.6 million). This means that wedding expenses are almost twice as much as educational investments.
Globally, India’s wedding expenditure-to-GDP ratio of 5x is much higher than in many other countries. For example, in the United States, the ratio for public education is only 0.5x and 0.1x for private education compared to wedding expenses.
India is known as the largest wedding destination globally, hosting between 8 to 10 million weddings annually. The Indian wedding market is estimated at USD 130 billion, making it much larger than that of the United States. This industry plays a crucial role in driving consumption across various sectors.
Despite being generally cost-conscious, Indian households spend a lot on weddings, a trend that may seem disproportionate to income levels. The average wedding expenditure of USD 15 thousand (Rs 1.2 million) contrasts sharply with spending on education, reflecting cultural priorities and economic behaviors unique to the country.
The wedding industry in India boosts growth in sectors such as jewellery, apparel, catering, hospitality, and travel. More than half of the jewellery industry’s revenues come from bridal jewellery, while over 10 percent of apparel expenditures are driven by wedding-related purchases and celebratory attire.
The concept of ‘Streedhan,’ where property, assets, and jewellery are given to the bride as financial security, is deeply ingrained in Indian culture, further increasing demand for jewellery and related products.
Overall, the wedding industry in India not only supports various sectors directly but also indirectly fuels demand in segments like automobiles, consumer electronics, and paints. This highlights its crucial role in the broader economy.
The disparity between wedding and education expenditures shows the complex balance between cultural practices and economic realities in India, shaping consumer behavior and market dynamics across the country.
