With the ban of higher currency denomination in our country, here is a sneak peak into how it has affected the event industry. The businesses dealing with only cash transactions have been affected adversely whereas the demonetization has brought in a record-breaking profit margin for businesses working on cashless transactions. There is a mixed impact felt by wedding industry as clients have no cash to pay for the wedding expenses but have other digital options opened.
Below are few changes the industry is going through right now.
People can’t do transactions with small vendors like florists and grocers as they accept only cash and no other medium is an option here.
The huge payments for wedding venues or event planners are either delayed or are carried on online.
The small vendors accepting only cash have seen drastic fall in the business as 500/- and 1000/- rupee notes have been banned from its usage.
The vendors who are accepting the old currency of 500/- and 1000/- can be seen benefiting as people are ready to pay them extra.
The prices of wedding venues,vendors and materials are drastically falling which can benefit those who are able to manage the expense. As there is lot of availability, people can easily book the slots if they are planning to have wedding in few months and the venue/vendor is allowing online payment.
The vendors who are accepting credit and online payments are on demand which is easing the people’s burden left with no other options. Vendors tied-up with digital wallet companies like PayTM, MobiKwik,etc. seem to be a blessing to the clients with e-payment being the only means left for paying dues,thus, increasing their sales by 200%. With the new feature of “Nearby” letting people find nearby merchants and ATMs has diverted people towards online payment.
- With demonetization of higher denomination, vendors and companies will be forced to take their business online which will ensure a clean and transparent business between the customer and the provider. The customer will have a better track of their advance and due payments.
- Since the step was taken against black money holders, wedding planners and event management companies are being approached by such people. People are ready to pay heavy amount to get rid of the old currency and the heavy tax.
To minimize the harsh blow, Chief minister of Uttar Pradesh,Akhilesh Yadav on Wednesday requested the Centre to allow high denomination currency for paying bills in upcoming wedding season. The decision is not yet out. Till then, people will have to go through a bit of struggle or else postpone the otherwise decided date to avoid the hardship in middle of the national crisis.