Tradition remains central to how Gen Z in India celebrates Diwali, even as the generation looks to add its own personal touch to the festivities. A survey commissioned by Sanrio, the Japanese entertainment company behind global characters such as Hello Kitty, Cinnamoroll and Kuromi, and conducted by YouGov India found that 71% of respondents believe Diwali is best celebrated the traditional way, while 66% want more games, play and light-hearted moments during the festivities.

The survey also points to a preference for personal gestures over expensive gifts. Nearly two-thirds (64%) said they prefer presents that reflect an understanding of someone's habits and quirks, while 60% value gifts with personal meaning over those designed to impress on social media.

Inclusivity and smaller gatherings also feature prominently in how respondents approach the festival. Around 70% believe everyone should feel welcome and included during Diwali, while 60% prefer celebrating in smaller groups where they can be themselves. Spending time together (57%), sharing food (49%) and taking photographs or creating memories (46%) were among the activities respondents associated with feeling connected.

Childhood nostalgia continues to shape festive experiences, with 66% saying their childhood memories strongly influence how they celebrate Diwali. Recreating the excitement of receiving new things and decorating the home (35% each), along with revisiting family traditions and rituals (34%), were among the experiences they want to bring back.

Food is another avenue for self-expression, with 72% saying they enjoy cute, fun or personalised festive treats, such as themed desserts and customised sweets. More than half (54%) use food to express their personality during Diwali, while 43% share or send food to make others feel included.

City-wise findings reveal differences in how Gen Z approaches the festival. In Delhi NCR, 47% strongly favour traditional Diwali celebrations, the highest among the surveyed cities. Mumbai respondents showed a preference for festive attire, with 58% choosing traditional clothing over casual wear. In Bengaluru, 38% said they select gifts based on the recipient's needs or preferences. Hyderabad recorded the strongest emphasis on family, with 68% planning to spend time with relatives. In Chennai, 49% said sharing or sending food was a way to make others feel included.

What the findings mean for marketers

For marketers, the findings suggest that Gen Z's festive consumption is not necessarily driven by novelty or large-scale celebrations. While traditional rituals remain important, there is room for brands to build relevance through personalisation, thoughtful gifting and experiences that encourage participation and connection. The preference for smaller gatherings and meaningful gestures also points to an opportunity to move beyond broad festive messaging and create campaigns that reflect how young consumers actually celebrate. Rather than simply adding a contemporary spin to traditional imagery, brands may need to focus on the role they can play in making these occasions more personal and inclusive.

The survey covered 1,203 Gen Z respondents aged 18–29 across Delhi NCR, Mumbai, Bengaluru, Hyderabad and Chennai. It was conducted online by YouGov India on behalf of Sanrio between 7 and 14 October 2026.

Sanrio opened its first representative office in Mumbai earlier this year.

Ruchi Pangasa, director, India Operations, Sanrio India, said, "Seeing how strongly Indian Gen Z resonates with Hello Kitty’s core values as our fanbase grows across the country is truly inspiring. Hello Kitty has always embodied togetherness, friendship, and kindness - the belief that even the smallest gestures foster genuine connections. The fact that young Indians reflect these exact principles in how they celebrate Diwali underscores the deep cultural relevance of our brand in the region.”