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Havas Media report, ET BrandEquity
With the proliferation of smartphones, accessible internet connectivity and innovative digital platforms, e-commerce in India has witnessed an unprecedented surge. These factors not only fuel online shopping adoption but also redefine consumer interactions with brands, purchase decisions, and post-purchase experiences.
Havas Media’s report, ‘Shaping consumer experiences: How India buys and how tech is shaping e-commerce adoption and experience’ is an expedition into the heart of India’s e-commerce realm.
Within consumer behaviour, gender-based segmentation shows that women are traditionally discerning by nature. Eighty-five per cent state they check reviews before shopping, and 81 per cent state they check out offers and deals before shopping.
Geography-wise, 80 per cent in the West and 78 per cent in North India enjoy having a wide range of products, while South and tier-3 cities (76 per cent) are budget-conscious.
The hustlers, i.e. both Gen Z (76 per cent) and Millennials (78 per cent), believe that comfort and convenience are more important than the price.
In terms of categories, grocery, personal care, fashion and F&B are shopped most often. Online shopping for medicines/pharmacies has seen a 33 per cent increase in the last year, while appliances are least shopped online.
A higher number of people from tier 2 and 3 cities agree that when shopping online, they end up spending more than what they would spend if they were shopping offline.
Digital has a strong play throughout the purchase journey. Google search, YouTube ads and Online shopping portals like Amazon/Flipkart are seen as the key touchpoints that help in the entire shopping journey.
It is interesting that TV advertising still commands trust. Seeing brands on a bigger platform in a relatively clutter-free environment builds consumer trust. However, consumers seek more validation when it comes to categories like health, wellness and beauty. YouTube videos and expert reviews emerge as more trusted touch points for these categories. User reviews have the highest impact on purchase decisions across generations.
Comfort and ease have become the cornerstone of online shopping allure. For time-strived city dwellers, online shopping offers ease of shopping anytime, saves travel time and offers doorstep delivery. For smaller-town shoppers, it offers accessibility, a wider choice and good deals.
Situations in which users have speculated about online shopping arise from quality uncertainty, which is the biggest concern across audience segments and regions. Data Privacy Issues also emerge on top across regions, except North, which exhibits more concerns around returns and lack of control over sellers.
Shoppers prefer shopping from top e-commerce websites like Amazon/Flipkart as it offers them ease of shopping like easier return, better service and quality products. However, consumers continue to prefer top e-commerce sites for standard and high-value products.
Brand-owned websites are considered for fashion, beauty, F&B and personal care. Consumer demand for a better experience and product quality has paved the way for “luxury” online shopping like TATA Cliq Luxury.
Forty-four per cent of shoppers discover new brands through social media. Social media is highly influential in a category where visuals have a strong play, like fashion, smartphones, grocery and make-up. Instagram has gained appeal amongst younger consumers, while Facebook continues to be influential among older generations.
The Indian market has been flooded with D2C brands in the past few years. Consumers prefer shopping lower value, discretionary products like makeup, personal care, F&B, grocery and fashion from D2C brands.
The convergence of emerging technologies such as augmented reality (AR), virtual reality (VR), intelligent chatbots like ChatGPT, voice assistants, and web 3.0 is revolutionising the world of consumer shopping.
Brands need to adopt AR/VR and conversational AI technology that are accessible 24×7 to win consumer confidence and trust. Being technology savvy is not a choice anymore but a necessity.
The report highlights that 54 per cent of respondents will engage in hybrid shopping, combining online and offline methods. Furthermore, 84 per cent have increased their online shopping budgets compared to last year. Among the women surveyed, 68 per cent see themselves as the main decision-makers for festive shopping, prioritising personal needs first, followed by family and business associates.
SOCIAL
Snapchat Explores New Messaging Retention Feature: A Game-Changer or Risky Move?
In a recent announcement, Snapchat revealed a groundbreaking update that challenges its traditional design ethos. The platform is experimenting with an option that allows users to defy the 24-hour auto-delete rule, a feature synonymous with Snapchat’s ephemeral messaging model.
The proposed change aims to introduce a “Never delete” option in messaging retention settings, aligning Snapchat more closely with conventional messaging apps. While this move may blur Snapchat’s distinctive selling point, Snap appears convinced of its necessity.
According to Snap, the decision stems from user feedback and a commitment to innovation based on user needs. The company aims to provide greater flexibility and control over conversations, catering to the preferences of its community.
Currently undergoing trials in select markets, the new feature empowers users to adjust retention settings on a conversation-by-conversation basis. Flexibility remains paramount, with participants able to modify settings within chats and receive in-chat notifications to ensure transparency.
Snapchat underscores that the default auto-delete feature will persist, reinforcing its design philosophy centered on ephemerality. However, with the app gaining traction as a primary messaging platform, the option offers users a means to preserve longer chat histories.
The update marks a pivotal moment for Snapchat, renowned for its disappearing message premise, especially popular among younger demographics. Retaining this focus has been pivotal to Snapchat’s identity, but the shift suggests a broader strategy aimed at diversifying its user base.
This strategy may appeal particularly to older demographics, potentially extending Snapchat’s relevance as users age. By emulating features of conventional messaging platforms, Snapchat seeks to enhance its appeal and broaden its reach.
Yet, the introduction of message retention poses questions about Snapchat’s uniqueness. While addressing user demands, the risk of diluting Snapchat’s distinctiveness looms large.
As Snapchat ventures into uncharted territory, the outcome of this experiment remains uncertain. Will message retention propel Snapchat to new heights, or will it compromise the platform’s uniqueness?
Only time will tell.
SOCIAL
Catering to specific audience boosts your business, says accountant turned coach
While it is tempting to try to appeal to a broad audience, the founder of alcohol-free coaching service Just the Tonic, Sandra Parker, believes the best thing you can do for your business is focus on your niche. Here’s how she did just that.
When running a business, reaching out to as many clients as possible can be tempting. But it also risks making your marketing “too generic,” warns Sandra Parker, the founder of Just The Tonic Coaching.
“From the very start of my business, I knew exactly who I could help and who I couldn’t,” Parker told My Biggest Lessons.
Parker struggled with alcohol dependence as a young professional. Today, her business targets high-achieving individuals who face challenges similar to those she had early in her career.
“I understand their frustrations, I understand their fears, and I understand their coping mechanisms and the stories they’re telling themselves,” Parker said. “Because of that, I’m able to market very effectively, to speak in a language that they understand, and am able to reach them.”Â
“I believe that it’s really important that you know exactly who your customer or your client is, and you target them, and you resist the temptation to make your marketing too generic to try and reach everyone,” she explained.
“If you speak specifically to your target clients, you will reach them, and I believe that’s the way that you’re going to be more successful.
Watch the video for more of Sandra Parker’s biggest lessons.
SOCIAL
Instagram Tests Live-Stream Games to Enhance Engagement
Instagram’s testing out some new options to help spice up your live-streams in the app, with some live broadcasters now able to select a game that they can play with viewers in-stream.
As you can see in these example screens, posted by Ahmed Ghanem, some creators now have the option to play either “This or That”, a question and answer prompt that you can share with your viewers, or “Trivia”, to generate more engagement within your IG live-streams.
That could be a simple way to spark more conversation and interaction, which could then lead into further engagement opportunities from your live audience.
Meta’s been exploring more ways to make live-streaming a bigger consideration for IG creators, with a view to live-streams potentially catching on with more users.
That includes the gradual expansion of its “Stars” live-stream donation program, giving more creators in more regions a means to accept donations from live-stream viewers, while back in December, Instagram also added some new options to make it easier to go live using third-party tools via desktop PCs.
Live streaming has been a major shift in China, where shopping live-streams, in particular, have led to massive opportunities for streaming platforms. They haven’t caught on in the same way in Western regions, but as TikTok and YouTube look to push live-stream adoption, there is still a chance that they will become a much bigger element in future.
Which is why IG is also trying to stay in touch, and add more ways for its creators to engage via streams. Live-stream games is another element within this, which could make this a better community-building, and potentially sales-driving option.
We’ve asked Instagram for more information on this test, and we’ll update this post if/when we hear back.
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