– By Saurabh Arora
Few countries have digitalized as rapidly and to as great an extent as India over the past five years. The vision of ‘Digital India’ has been achieved on several important fronts and is gaining momentum on many others, aided by a strong government push; private sector participation; rising disposable incomes; widespread, affordable wireless connectivity; and enthusiastic public response. In fact, when it comes to smartphone usage and infotainment, it would be fair to say that we are seeing a ‘digital-first India’. It is important to understand the behaviours, preferences, and considerations of Indian consumers in this digital age, for it is the basis on which consumer-facing companies and brands must design their products and execute their marketing strategies. There are some broad trends that I believe are significant in this context.
The growing percentage of millennial and Gen Z consumers
India is currently among the youngest countries in the world, in terms of the average age of its citizens. A large and growing percentage of active shoppers today are from the millennial and Gen Z cohorts, who are both interested and fluent in the use of mainstream technologies and connected devices.
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Growing aspirations for a better lifestyle and premium products
Indian consumers, by and large, aspire for comfortable, convenient, contemporary lifestyles and seek out best-in-class products and services that will enable it for them, even if they are priced at a premium than what is comfortably affordable. This shift is evident not just in metros and tier-1 cities but also in smaller cities and towns. Many of the so-called divides between urban and rural consumers are getting thinner.
Digital discovery of products and information-based purchases
Social and online media are having a huge influence on how consumers approach their purchase decisions. Platforms such as YouTube, Instagram, Facebook, and Reddit facilitate product discovery and offer user reviews that help buyers in their decision-making. Globally, search engines and retailer websites are the top sources of pre-purchase information. India bucks the trend, with e-commerce companies emerging as the go-to source of product information for almost 60% of Indian consumers. Search engines come next, with 50% Indian consumers looking up a product on a search engine before buying it.
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