This document discusses trends in consumer behavior and e-commerce in India. Some key points: - Internet and social media usage in India is growing rapidly, surpassing television in some areas, with over 150 million internet users expected by 2015. - Online platforms like Facebook and Twitter are becoming important for marketers to influence consumers as recommendations from friends and strangers impact purchasing decisions. - While e-commerce is growing, with over half of travel and classifieds moving online, Indian consumers still prefer to see products in person first before purchasing online. Local retailers also remain important. - To be successful, e-commerce in India needs a business model that fits local tastes and culture, not just replicating models

1. Consumer Behaviour in Indian
market

2. Story so far…
• Digital media is no longer a niche. At 150 million in
India, internet users cross the television and satellite
users by a long mark.
• The reach of social media platforms like Google (100
million), YouTube(31 million) and Yahoo (28 million) is
higher than the reach of the television properties like
IPL (6 million) and Star Plus (5 million).
• No of internet users expected to reach 237 million by
2015.
• 57% travel gets booked online.
• 47% of classified business is online.
• E-commerce companies are recording revenue of
crores in a day.

3. The true change is in Consumer Behaviour, which is
deeper. A Nielsen study on ‘Who do consumers trust?’
shows that recommendations by friends and then
recommendations by strangers influence decision
making. This makes Facebook and Twitter important
platforms to reach the consumers and influence the
decision making process.

4. • As over 150 million Indians surf
the internet, Indian marketers are
losing their sleep to catch them
young, in their mid-life crisis or
even after hanging up their boots.
• The challenge is immense. Out of
the $5 billion Indian advertising
industry, $900 million go to digital
marketing. The share of digital is
poised to grow larger every year
& slated to touch 30% of the total
market by 2015.

5. Influence of local cultures in the e-commerce
business....India needs a desi
model!!
• The big poster boys of e-commerce in
India are selling everything under one roof,
there is lot of focus on product categories
and $ spend on customer acquisition.

6. The trend in the Indian consumers buying
pattern is walk into the malls or retail stores
feel & experience the product, check on the
prices then place an order with a e-tailer
offering good discounts, this applies to
shoes & apparels as well.
 e-commerce in India is getting pushed
into a low margin business which can be
compensated only by increasing the
volume of sales & driving huge customer
transactions.

7. But still kirana shops are still running
and people are making the livelihood in-spite
of sprung-up malls.

8. Our masses wont eat pizzas & burgers
everyday. We need flavors of vada-pav, pani-puri,
idlis & dosas. We need a model which is
adaptive to local taste in India.

9. How much “Brand” matters??
• Consumers remember brands that perform for them –
so be it a great ‘Jet Airways’ flight or a fantastic pizza
from ‘Dominos’ – they remember these brands for
what they did for them – NOT what they pretended to
call themselves.
• Consumers don’t care about brand base lines and
logos.
• If they are good at what they are selling, they will
become the next Hertz.

10. Influence Mix
• Flipkart.com, one of India’s largest e-commerce
companies, recently kicked off their new ad
campaign ‘No Kidding, No Worries’.
• The motive of the campaign was to address the
fears people generally tend to have with online
shopping and to create the ever-important
aspect of trust.

11. But most Indian marketers still find it
challenging to cut through the
information clutter today to resonate.
Mostly because they are not used to
customers driving interactions (after all it
was one way shouting till a while back) &
taking control of the relationship they
share.

12. What are the factors that a
customer looks into while shopping
online:
Better price - Return policy - Cash on Delivery-
Faster delivery - Cash back guarantee- More choices
and deals.

13. Reference
• Chandran Krishna,on December 4,2013. Online
shopping in India – Need for an integrated experience.
What are the factors that a customer looks into while
shopping online from
http://therodinhoods.com/forum/topics/online-shopping-
in-india-need-for-an-integrated-experience?
commentId=6328457%3AComment%3A1
96212
• Economictimes, Sep 2, 2010 ,No of internet users
expected to reach 237 million by 2015 from
http://articles.economictimes.indiatimes.com/2010-09-
02/news/27624281_1_internet-users-brici-digital-consumers-
brici-countries

14. • Exchange4media, Sep 06,2011,Flipkart’s ‘No Kidding,
No Worries’ gameplan, one of India’s largest e-commerce
companies, recently kicked off their new ad
campaign ‘No Kidding, No Worries’, From
http://www.exchange4media.com/43376_flipkart%E2
%80%99s-%E2%80%98no-kidding-no-worries%
E2%80%99-gameplan.html
• Facebook, 47% of classified business is online from
https://www.facebook.com/aaptisms/info
• IAMAI,in Sep’2012,150 million internet users today
from
http://www.iamai.in/PRelease_detail.aspx?nid=2648&
NMonth=9&NYear=2012

15. • Kannan Gopikrishna on September 11, 2012.
Influence of local cultures in the eCommerce business
from http://therodinhoods.com/forum/topics/influence-of-local-
cultures-in-the-ecommerce-business-india-need?
commentId=6328457%3AComment%3A147874
• Kejriwal Alok ,on November 15, 2010. What's in a
Name?. How much “Brand” matters from
http://therodinhoods.com/forum/topics/whats-in-a-name-
1
• Mehra Vishal, JANUARY 28, 2013. DIGITAL
MARKETING TRENDS FOR 2013 IN INDIA, from
http://vishal1mehra.com/2013/01/28/digital-marketing-trends-
for-2013-in-india/
• Statisticbrain,57% travel gets booked online from
http://www.statisticbrain.com/internet-travel-hotel-booking-
statistics/