Analysis of Consumer Behavior and Market Trends in the Indian Handloom Industry

Abstract

The handloom industry is a critical pillar of the Indian economy, serving as the second-largest source of employment after agriculture and supporting over 3.5 million workers, many of whom are from rural and marginalized communities. This study examines contemporary consumer behavior, preferences, and satisfaction levels to understand the industry's position in a market increasingly dominated by machine-made textiles and fast fashion.
Utilizing a descriptive research design, data was collected via a structured questionnaire from 260 respondents across various demographics. The findings reveal that while there is high appreciation for the comfort (85%) and cultural significance (61%) of handloom products, they remain primarily occasional purchases, with 33% of consumers buying only once a year. Cotton is the overwhelmingly preferred fabric (94%), and traditional motifs dominate design preferences (78%).
The research highlights significant barriers to growth, including limited accessibility, high perceived prices (70% of respondents), and a lack of awareness regarding the craftsmanship involved. Statistical analysis via Chi-Square and ANOVA tests further confirms that demographic factors such as age, gender, and income significantly influence purchasing decisions and design preferences. To ensure long-term sustainability, the study recommends enhancing digital accessibility, implementing region-specific marketing strategies, and focusing on design innovation to bridge the gap between traditional craftsmanship and modern consumer expectations.